Monday, January 30, 2012
The Promises We Keep
"The promises we are most likely to keep are the ones made to an empty wine bottle."
Business 101 - Its the Culture Stupid!
One company started in a garage, another started in the founder's kitchen. And both became number one independently in respective markets. Both Triconex and Wonderware soared during a recession, tearing down barriers and creating new markets while forging intimate bonds with customers. They were unique brands, building new solutions. There were no boundaries, no limits.
It's the culture, stupid! Employees bought into it and only a few cashed out. Not that there is anything wrong with the later, that's why they call them capitalists. When times are good, investors are called angels, and when times are bad, they are called other names.
The culture of employee-centric companies gave the buzz to investors, distributors, and finally customers themselves. The marketing department could supply the party hats and swag, but it was the culture that branded them. Products became solutions and the companies were your partners to help you grow.
The History of a Safer World is a love story - about business.
It's the culture, stupid! Employees bought into it and only a few cashed out. Not that there is anything wrong with the later, that's why they call them capitalists. When times are good, investors are called angels, and when times are bad, they are called other names.
The culture of employee-centric companies gave the buzz to investors, distributors, and finally customers themselves. The marketing department could supply the party hats and swag, but it was the culture that branded them. Products became solutions and the companies were your partners to help you grow.
The History of a Safer World is a love story - about business.
Sunday, January 29, 2012
A Chef, an Astronaut, and 3 Sisters who can really Sing!
In October of 1994, Wonderware rented the Doubletree Hotel in Anaheim for a Distributor's conference. After the conference, nearly 700 Wonderware distributors and their guests boarded buses to a secret location. They were going to a party and the host did not want anyone leaving the gala early with their own transportation. They were going to a memorable party - and the location turned out to be the Santa Monica airport museum. Even the bus ride was merry with mystery and excitement - after all - this was a Wonderware party! The guest disembarked and entered the huge dining hall to a generous buffet and no-host bar.
The extravaganza was just beginning. There was a buzz, growing louder, and then the roar of a helicopter arriving near the entrance. Out of the chopper stepped Alan Shepard - the first American in space. The buzz had become a roar and then a nonstop chant! You could not contain the excitement, managing the guests was another matter.
Uber-salesman Jerry Brooks introduced the Alan Shepard. Jerry Brooks spoke as if he was the coolest sales Vice-President on the planet and he was introducing his boyhood idol, who was the one man in the room who had actually left the planet on two occasions, once in orbit and once on the moon. (For the record, Jerry Brooks had every reason to be the coolest Vice-President on the planet, he was in the 4th year of driving 50% growth in sales for Wonderware).
Mr. Shepard gave a memorable speech, with self deprecating humor and narrated a thoughtful history of the Apollo program, in which he himself played a crucial role. He challenged the crowd during his speech to put Wonderware on the moon, and why the hell not? Many in the audience were at an age when the Apollo space program was a pivotal childhood memory. He even invited Jerry and his wife Roxanne to join him in Pebble Beach for a round of golf when their schedules could be arranged. Tragically, Mr. Shepard became ill soon after and died only four years later.
After Mr. Shepard's speech, the crowd could not have been more sure that this was going to be one of the most memorable evenings in their lives when suddenly, an even greater buzz surged through the audience. The elegant roar of a Lear jet got closer. An announcer focused their attention once again towards the entrance.
This time a Lear Jet arrived and pulled up to the entrance. Then the room exploded once again with excitement. Out from the Lear Jet came the Pointer Sisters who belt out a spectacular song and dance set performed at the height of their powers. They were not yet a nostalgia act - they were superstars!
Sitting in the front row was the man who planned and paid for the evening, Dennis Morin. He was throwing a spectacular party for the customers and employees who rocketed his company to 50% annual growth for the past 5 years. He was proud, he was emotional, and hosted the party with the energy of a lion.
From David Smith, Wonderware's Marketing VP: "At the end of the evening, they ran out of booze. Even Mr. Shepard, who had asked for a glass of wine after a long day, had to be told there was nothing left. He was gracious about it as Wonderware executives scrambled to find him a glass of something without success."
This was 1994 and the party would continue to the next year when there were new beginnings - and departures of key figures.
The extravaganza was just beginning. There was a buzz, growing louder, and then the roar of a helicopter arriving near the entrance. Out of the chopper stepped Alan Shepard - the first American in space. The buzz had become a roar and then a nonstop chant! You could not contain the excitement, managing the guests was another matter.
Uber-salesman Jerry Brooks introduced the Alan Shepard. Jerry Brooks spoke as if he was the coolest sales Vice-President on the planet and he was introducing his boyhood idol, who was the one man in the room who had actually left the planet on two occasions, once in orbit and once on the moon. (For the record, Jerry Brooks had every reason to be the coolest Vice-President on the planet, he was in the 4th year of driving 50% growth in sales for Wonderware).
Mr. Shepard gave a memorable speech, with self deprecating humor and narrated a thoughtful history of the Apollo program, in which he himself played a crucial role. He challenged the crowd during his speech to put Wonderware on the moon, and why the hell not? Many in the audience were at an age when the Apollo space program was a pivotal childhood memory. He even invited Jerry and his wife Roxanne to join him in Pebble Beach for a round of golf when their schedules could be arranged. Tragically, Mr. Shepard became ill soon after and died only four years later.
After Mr. Shepard's speech, the crowd could not have been more sure that this was going to be one of the most memorable evenings in their lives when suddenly, an even greater buzz surged through the audience. The elegant roar of a Lear jet got closer. An announcer focused their attention once again towards the entrance.
This time a Lear Jet arrived and pulled up to the entrance. Then the room exploded once again with excitement. Out from the Lear Jet came the Pointer Sisters who belt out a spectacular song and dance set performed at the height of their powers. They were not yet a nostalgia act - they were superstars!
Sitting in the front row was the man who planned and paid for the evening, Dennis Morin. He was throwing a spectacular party for the customers and employees who rocketed his company to 50% annual growth for the past 5 years. He was proud, he was emotional, and hosted the party with the energy of a lion.
From David Smith, Wonderware's Marketing VP: "At the end of the evening, they ran out of booze. Even Mr. Shepard, who had asked for a glass of wine after a long day, had to be told there was nothing left. He was gracious about it as Wonderware executives scrambled to find him a glass of something without success."
This was 1994 and the party would continue to the next year when there were new beginnings - and departures of key figures.
History of a Safer World - The Gambler
On April Fool’s Day, 1987, Dennis Morin put his last few coins, most of it borrowed, into a slot machine, above which was the banner "jackpot." It came up all 7's. He not only won the jackpot, but won the whole damn casino. He already had a name for it, called Wonderware.
25 years after hitting the big one, his bet is still paying off. Over 700,000 licenses have been sold globally since the payoff. In reality, though it was a gamble, it didn't take place in Las Vegas, but mostly in the kitchen of Dennis's apartment as he cooked up InTouch with some close friends.
Dennis ran the casino from 1987 through 1994. In 1995, he got bored. Something happened. The casino kept paying off, but Dennis left.
Why did he leave? What made Wonderware great - and have a lasting legacy - with a business culture that presaged the social and search companies of the Silicon Valley? Was it luck, timing, or the passion of the founders and employees?
They will tell us in the History of a Safer World....
25 years after hitting the big one, his bet is still paying off. Over 700,000 licenses have been sold globally since the payoff. In reality, though it was a gamble, it didn't take place in Las Vegas, but mostly in the kitchen of Dennis's apartment as he cooked up InTouch with some close friends.
Dennis ran the casino from 1987 through 1994. In 1995, he got bored. Something happened. The casino kept paying off, but Dennis left.
Why did he leave? What made Wonderware great - and have a lasting legacy - with a business culture that presaged the social and search companies of the Silicon Valley? Was it luck, timing, or the passion of the founders and employees?
They will tell us in the History of a Safer World....
History of a Safer World - Triple Modular Redundancy
Triple Modular Redundancy (TMR) is a fault-tolerant process that utilizes a two out of three (2oo3) voting scheme to produce a single output from three independent inputs. This technology was developed in the 1960's for the Apollo space program. Imagine if Nasa control in Houston had an indication that a latch on a space vehicle became unhinged. If there was only a single indication, then immediate action would have to be taken to abort the mission and protect the astronauts. A TMR based system would ensure that three readings would be processed, thus avoiding a system shutdown due to a false reading. Therefore, TMR technology provided both safety and availability to critical missions.
As the Apollo space program finished in the 1970's due to waning public support, TMR technology was in the public domain for private companies to exploit. But which markets could support such a technology and which companies would be bold enough to invest in it? An obvious target would be the petro-chemical industry, whose global refineries processed volatile chemicals each day and were responsible for the production and transportation of hazardous waste. Plus, they had a lot of money.
The first company to exploit the TMR concept for a safety market was August Systems, based in Washington State, founded in 1978. They were followed by a second company, called Triplex. In September 1983, a third TMR company was started, Triconex. Over the next decade, the competition between the three independent companies would be brisk, spirited, and very, very expensive.
By 1991, a winner was declared.
More to follow.....
As the Apollo space program finished in the 1970's due to waning public support, TMR technology was in the public domain for private companies to exploit. But which markets could support such a technology and which companies would be bold enough to invest in it? An obvious target would be the petro-chemical industry, whose global refineries processed volatile chemicals each day and were responsible for the production and transportation of hazardous waste. Plus, they had a lot of money.
The first company to exploit the TMR concept for a safety market was August Systems, based in Washington State, founded in 1978. They were followed by a second company, called Triplex. In September 1983, a third TMR company was started, Triconex. Over the next decade, the competition between the three independent companies would be brisk, spirited, and very, very expensive.
By 1991, a winner was declared.
More to follow.....
Saturday, January 28, 2012
The Capitalist Seducer
"My management style is seduction - I seduce employees into falling in love with their jobs" Dennis Morin
Dennis Morin's taste in art runs from the outrageous, the grotesque, and the objectionable. It could also describe the way he runs a business.
Dennis Morin is a damn fool.
Foolish enough to have found one of history's greatest entrepreneurial success stories, and conceive its flagship product, InTouch, which connected operators who monitor and control factory processes.
"InTouch was a product that really didn't do much - but customers loved it!"
Imagine such a product, an idea, a solution that indeed doesn't really do much, but customers spend millions, it’s the number one product in its market, to become part of the user community. It was a Walkman, an IPod, and the next big thing before anyone knew what hit them.
The company is Wonderware, founded on April Fool’s Day, 1987. By the time it began operations in 1989, it was clear that they were going to intimidate competitors, charm customers, and not quite enter new markets as much as drive straight through them. At breakneck speed.
The founding Wonderware team shared an origin with another Orange County, California company, Triconex. In February 1986, Triconex was still a struggling startup that re-organized and focused its remaining resources on hardware development. Several members of the software development staff left during the re-organization, including Dennis Morin. Within two years, much of the core Triconex software development team left to follow Dennis to Wonderware. Included were Phil Huber, Cole Chevalier, Bill Urone and Jerry Cuckler.
The automation industry was conservative, resistant to change, and did not generally buy new technology from startup companies. Items like safety systems or in Wonderware's case, a graphical set of Windows based tools to build operator displays called Human Machine Interfaces (HMIs) were largely developed in house or bought from large, established vendors like Honeywell or Rockwell Automation.
Wonderware was different. Rebellious, fresh ideas, creative, outlandish, and California cool. By 1991, both Triconex and Wonderware were mentioned in Business Week, a national publication, as two of the 250 fastest growing small companies in America. The small part did not last. In 1994, a survey of investment analysts rated Wonderware ahead of Cisco Systems for growth potential and returns.
In an era from the fall of the Berlin Wall to the dawn of the dot.com economy, Triconex and Wonderware defied gravity, expectations, and competitors to rule their respective markets.
By the end of 1995 however, the party was over, it was time to serve the wine. Millions were gained and lost. Some who followed the vision became rich, others who came in early and contributed greatly did not.
What happened in 1995? We shall see.
Dennis Morin's taste in art runs from the outrageous, the grotesque, and the objectionable. It could also describe the way he runs a business.
Dennis Morin is a damn fool.
Foolish enough to have found one of history's greatest entrepreneurial success stories, and conceive its flagship product, InTouch, which connected operators who monitor and control factory processes.
"InTouch was a product that really didn't do much - but customers loved it!"
Imagine such a product, an idea, a solution that indeed doesn't really do much, but customers spend millions, it’s the number one product in its market, to become part of the user community. It was a Walkman, an IPod, and the next big thing before anyone knew what hit them.
The company is Wonderware, founded on April Fool’s Day, 1987. By the time it began operations in 1989, it was clear that they were going to intimidate competitors, charm customers, and not quite enter new markets as much as drive straight through them. At breakneck speed.
The founding Wonderware team shared an origin with another Orange County, California company, Triconex. In February 1986, Triconex was still a struggling startup that re-organized and focused its remaining resources on hardware development. Several members of the software development staff left during the re-organization, including Dennis Morin. Within two years, much of the core Triconex software development team left to follow Dennis to Wonderware. Included were Phil Huber, Cole Chevalier, Bill Urone and Jerry Cuckler.
The automation industry was conservative, resistant to change, and did not generally buy new technology from startup companies. Items like safety systems or in Wonderware's case, a graphical set of Windows based tools to build operator displays called Human Machine Interfaces (HMIs) were largely developed in house or bought from large, established vendors like Honeywell or Rockwell Automation.
Wonderware was different. Rebellious, fresh ideas, creative, outlandish, and California cool. By 1991, both Triconex and Wonderware were mentioned in Business Week, a national publication, as two of the 250 fastest growing small companies in America. The small part did not last. In 1994, a survey of investment analysts rated Wonderware ahead of Cisco Systems for growth potential and returns.
In an era from the fall of the Berlin Wall to the dawn of the dot.com economy, Triconex and Wonderware defied gravity, expectations, and competitors to rule their respective markets.
By the end of 1995 however, the party was over, it was time to serve the wine. Millions were gained and lost. Some who followed the vision became rich, others who came in early and contributed greatly did not.
What happened in 1995? We shall see.
History of a Safer World - The Duty of an Historian
"The duty of an historian is to be accurate, not truthful"
"Plan for failure, but do not prepare for it"
"A visionary knows the limits of their enterprise, but inspires those who do not"
"Plan for failure, but do not prepare for it"
"A visionary knows the limits of their enterprise, but inspires those who do not"
History of a Safer World - My Generation
A generation, or to use our parent's term: "Back in my day!" used to mean a period of 25 years - or roughly the development cycle of new products from General Motors
The new generation, with apologies to sugar water vendors, now more closely parallels Moore's law. It is really a time span of 3 years today for our children, and is roughly the development cycle of Apple products.
The generation gap is shrinking fast, and measured by apps!
The new generation, with apologies to sugar water vendors, now more closely parallels Moore's law. It is really a time span of 3 years today for our children, and is roughly the development cycle of Apple products.
The generation gap is shrinking fast, and measured by apps!
Globalization - Triumph and Consequences
In December, 2010, the Triconex factory moved most of its operations from Irvine, California to Reynosa, Mexico. Over 100 people lost their jobs. It was a triumph and consequence of globalization. The factory had produced the high-end Triconex safety controllers for the past twenty-five years.
When the factory started production, in 1986, there was a rigid and relentless commitment to quality, largely led by Denny Harris, who had joined the company from Ford. In the sprawling diversity of Orange County, Triconex was staffed by largely by Hispanic and Asian immigrants. The engineering drew from the booming local aerospace industry and tended towards Caucasian, Indian and Eastern European descent.
The manufacturing move to lower cost areas meant that the core product, the Tricon, would be more cost competitive. Some jobs would stay, and the project engineering department would grow and keep hiring. Administrative tasks would largely be outsourced overseas and sales and marketing functions largely centralized in the U.S. corporate headquarters.
The triumph of globalization was a company that was more cost competitive by outsourcing business functions and the consequences were that people lost their job. In an irony, the overwhelming number of people who lost their jobs at the Irvine factory that day were Hispanic - and their jobs were being sent to Mexico.
Triconex was a hardware company, with significant manufacturing costs. Wonderware was a pure software solutions play, and their factory was intellectual property. Still, among the lessons that Dennis Morin learned while working at Triconex was a culture of relentless quality. Employees at both companies knew they were producing the best products in market leading companies.
Peter Drucker, the famed economist and management guru, once said that all jobs should be outsourced except that of the CEO. He meant that businesses must continuously outsource tasks that can be done cheaper elsewhere (consequences) - and higher end jobs will continue to grow (triumph).
In the History of a Safer World, both Triconex and Wonderware operated locally but defined themselves globally from the start of their business. This bold and visionary template allowed the companies to thrive from their origin in a high cost area to succeed in the international marketplace. Twenty-five years after the founding, it is still a template for success.
Because the visionary founders knew why they were building the products, customers wanted to know what they were building and become part of the user community. The secret sauce was the hiring of risk-taking employees who formed a collective ego to change the world - and knew they had a chance to make more money here than anywhere else.
When the factory started production, in 1986, there was a rigid and relentless commitment to quality, largely led by Denny Harris, who had joined the company from Ford. In the sprawling diversity of Orange County, Triconex was staffed by largely by Hispanic and Asian immigrants. The engineering drew from the booming local aerospace industry and tended towards Caucasian, Indian and Eastern European descent.
The manufacturing move to lower cost areas meant that the core product, the Tricon, would be more cost competitive. Some jobs would stay, and the project engineering department would grow and keep hiring. Administrative tasks would largely be outsourced overseas and sales and marketing functions largely centralized in the U.S. corporate headquarters.
The triumph of globalization was a company that was more cost competitive by outsourcing business functions and the consequences were that people lost their job. In an irony, the overwhelming number of people who lost their jobs at the Irvine factory that day were Hispanic - and their jobs were being sent to Mexico.
Triconex was a hardware company, with significant manufacturing costs. Wonderware was a pure software solutions play, and their factory was intellectual property. Still, among the lessons that Dennis Morin learned while working at Triconex was a culture of relentless quality. Employees at both companies knew they were producing the best products in market leading companies.
Peter Drucker, the famed economist and management guru, once said that all jobs should be outsourced except that of the CEO. He meant that businesses must continuously outsource tasks that can be done cheaper elsewhere (consequences) - and higher end jobs will continue to grow (triumph).
In the History of a Safer World, both Triconex and Wonderware operated locally but defined themselves globally from the start of their business. This bold and visionary template allowed the companies to thrive from their origin in a high cost area to succeed in the international marketplace. Twenty-five years after the founding, it is still a template for success.
Because the visionary founders knew why they were building the products, customers wanted to know what they were building and become part of the user community. The secret sauce was the hiring of risk-taking employees who formed a collective ego to change the world - and knew they had a chance to make more money here than anywhere else.
Do I really want to work for Wonderware?
"I started in the early days of Wonderware. Everyone in the tech business wanted to work there, it was the Facebook or Google of its day. On my first day, I went in early, brought my lunch, and stayed to about 5:30 that evening. I left the building to have dinner with a friend, and on my way out noticed that the parking lot was still nearly full. After dinner, I dropped off my dinner companion who left her car at the Wonderware parking lot. The lot was still 3/4 full. I went to meet another friend and we went to a movie. After the movie was over about 10 PM, I was just curious enough to check out the Wonderware parking lot, as it was near my apartment. The parking lot was still more than 1/2 full. I had to ask myself, do I really want to work here?"
"I decided I did. Dennis Morin was a business genius. He understood why people wanted to work at Wonderware. The changing the world thing was important, sure, but Dennis knew that people wanted to work for him because it was a chance to make more money than you could anywhere else. He was very generous with stock options. When Wonderware had their successful IPO in July, 1993, the parking lot was full of new cars for employees the following week. The price of a new car was about the size of the average employee cash haul from the IPO."
Jon Gwynne - Wonderware Training Instructor
"I decided I did. Dennis Morin was a business genius. He understood why people wanted to work at Wonderware. The changing the world thing was important, sure, but Dennis knew that people wanted to work for him because it was a chance to make more money than you could anywhere else. He was very generous with stock options. When Wonderware had their successful IPO in July, 1993, the parking lot was full of new cars for employees the following week. The price of a new car was about the size of the average employee cash haul from the IPO."
Jon Gwynne - Wonderware Training Instructor
Friday, January 27, 2012
We live in a Safer World today because of Triconex and Wonderware!
Despite rare and much-publicized accidents, the world sleeps safer each evening because our power plants, factories, refineries, and other facilities that use or store dangerous materials are kept safe (Triconex) and plant operators connected (Wonderware).
These Orange County, California companies designed, built, and brought safety and connectivity solutions to thousands of factories, and their communities. They also established a business culture that only Apple Computer can match in business history. User intimacy was just a marketing term until Apple made this connection with customers with consumer products in the 1980's. Triconex and Wonderware took this several steps further, creating user excitement in the industrial world with products that are critical to our safety and way of life, not just entertainment or our leisure time. Customers not only brought their products, they stood in line to be part of the experience, excitement, and 'California Cool' culture! And everyone wanted to work for them!
The soon to be published History of a Safer World is an astounding story of an entreprenurial triumph during uncertain times. As the political and social landscape changed when the Berlin Wall fell, the world lapsed into a global recession. From Bauhaus laboratories, visionaries and risk-taking engineers built beautiful objects that provided critical solutions to the industrial world. The timing could not have been more perfect for the automation skies to open and shine on the evangelical sun culture of Orange County, California.
This extraordinary tale took place in a space between Hollywood and Disneyland, and presaged the rise of the social and seach .com economy. Those who built and connected a safer world were passionate about the technology and how design follows utility. It will be a challenge for us not to feel the same after meeting them.
These Orange County, California companies designed, built, and brought safety and connectivity solutions to thousands of factories, and their communities. They also established a business culture that only Apple Computer can match in business history. User intimacy was just a marketing term until Apple made this connection with customers with consumer products in the 1980's. Triconex and Wonderware took this several steps further, creating user excitement in the industrial world with products that are critical to our safety and way of life, not just entertainment or our leisure time. Customers not only brought their products, they stood in line to be part of the experience, excitement, and 'California Cool' culture! And everyone wanted to work for them!
The soon to be published History of a Safer World is an astounding story of an entreprenurial triumph during uncertain times. As the political and social landscape changed when the Berlin Wall fell, the world lapsed into a global recession. From Bauhaus laboratories, visionaries and risk-taking engineers built beautiful objects that provided critical solutions to the industrial world. The timing could not have been more perfect for the automation skies to open and shine on the evangelical sun culture of Orange County, California.
This extraordinary tale took place in a space between Hollywood and Disneyland, and presaged the rise of the social and seach .com economy. Those who built and connected a safer world were passionate about the technology and how design follows utility. It will be a challenge for us not to feel the same after meeting them.
Wednesday, January 25, 2012
The History of a Safer World - A Business Love Story
The History of a Safer World is a Tale of Seduction,
As Told by Engineers
From Orange County, California
In an Age of Globalization
In an Era
A Story of Technology Demystified
Visionaries built beautiful things
The History of a Safer World
Employees fell in love with their jobs. Some who followed the vision became rich, others did not.
As Told by Engineers
Risk takers formed a collective ego to change the world.
From Orange County, California
An astounding triumph of entrepreneurship occurred in the evangelical sun culture of Orange Country, California.
In an Age of Globalization
Two companies, Triconex and Wonderware, operated locally but defined themselves globally.
In an Era
From the fall of the Berlin Wall to the dawn of the Dot.com economy.
A Story of Technology Demystified
From Bauhaus laboratories, they built solutions for markets they created.
Visionaries built beautiful things
Leaders knew the limits of their enterprises, but inspired employees who did not.
The History of a Safer World
Is a Business love story told by those who created and connected a safer world.
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