Monday, January 12, 2009

Momentum; P = MV

For a while now I’ve been quietly exploring the concept of momentum as applied to organizations. My interest in this topic stems from a desire to serve as a catalyst for turning Ideas into Organizations. Fundamentally, I believe that an idea is the seed of any organization and that there is a process to actualizing ideas through the collective efforts of people.

To explore this topic, I looked at STEM theory, Organizational Development theories, and many others, however most skipped over the piece of information I was desperately looking for, “How does it actually turn from an idea into an organization, and then how does it not fall apart?” I found most comfort in a simple physics theory that coincidentally shares it’s initials with my company's. P (or momentum) = MV, Mass times Velocity or Michailidis Ventures.

In true human nature, the coincidence convinced me I was on the right track and so I started to investigate the physics metaphor further. Now, please excuse my elementary understanding of Kinematics, but I understand it something like this.

A given mass has inertia, and it will stay in a steady state until a force acts on it. For example, a small snowball resting on top of a sheet of ice will just sit there as a snow ball, with mass but without motion. Once a force (F=ma) affects the mass it will start to move in a direction. If the force stops acting on the mass (and no other force acts on it), it will maintain its velocity and have momentum. If we push it, our snowball will slide across the ice at a steady speed (forget friction and bear with me for a second). As other forces exert themselves on the mass its momentum will change. Friction, will try to slow the snowball down. But let’s say that we gave it a hard enough push to make it to the end of the ice sheet where a gentle slope awaits our snowball. It will start to roll down the hill because another force is acting on it, gravity. This is when our snowball really starts to take off. Because of gravity it is accelerating and its momentum is constantly increasing. But, that is only half the formula. As we all know, the snowball will also pick up more snow as it rolls down the hill increasing its mass, so momentum is increasing because of mass and velocity.

So let us investigate this through the lens of an organization.

  1. What is mass in terms of an organization?
  2. What is velocity?
  3. What is the the first force that pushes our mass?
  4. What is the friction that tries to slow down our mass?
  5. What is the significance of the sheet of ice?
  6. What is the tipping point when new forces like gravity start to act on our mass?
  7. What is Gravity?
  8. Why & How does our mass attract more mass as it rolls down the hill?
  9. What might happen at the end of the hill?

Answers:

  1. In my opinion mass in organizational terms is resources, and the first resource can be as small and simple as the idea. First step, define the idea.
  2. Velocity is speed in a direction. We need to get moving, but don’t worry about how fast. Speed will come. Let’s first focus on direction. Direction is guided by intention, so it is with focused intention that we can move forward. Our second step is to clarify our intention and make a plan.
  3. The first force that pushes our mass is resourcefulness. Our ability to strategize how we will amass investments in the form of time, money and other support is that first push.
  4. As with the snow ball on the sheet of ice, there is no truly frictionless surface in real life. Other priorities, lack of time or simple lack of faith can create the friction which stop our idea before it really gets moving. Become committed!
  5. In our example, the sheet of ice represents a near frictionless surface for our idea to get its start. Likewise, try to replicate this situation when working with your idea. Think about possible road blocks and clear the way for your idea to keep sliding along easily. This can be done as simply as clearing your schedule for a few hours a week to work on your idea uninterrupted.
  6. The tipping point, at the top of our hill is when our idea actually becomes an organization by involving other forces. And by forces, I mean people. Organizations are about people. It is people who are the source of all additional forces that will affect the organization, whether they are investors, customers, or strategic partners. The next step is to create Buy-in.
  7. Gravity is when we shift from push to pull. Allow this to happen by delegating responsibility to others. It will help them feel a sense of ownership and solidify their commitment to the organization.
  8. As our snowball rolled down the hill, it collected more mass. This made the snowball bigger and increased its momentum. What causes this is friction, but this time it is working with us as opposed to against us. Surface friction between our organization and everything it comes in contact with cause some of those things to let go of old bonds and join our organization. In this way many customers may break existing spending habits and instead prefer to do business with our organization. Or, an investor may choose to take some funds out of savings and investment them in our enterprise. We must facilitate this process by increasing our surface area, or rather our exposure. Spread the organizations message. (I’m assuming here that the message is a strong quality message that was clearly defined and elaborated, starting in step 1.)
  9. It is important for us to realize that as we roll along we must stay focused on direction & innovate. If our snowball meets the end of a hill it will stop. If it hits a tree it will crash and break. We must always seek the path we want to continue on make sure the road ahead is clear.

Assume, as I read in the Tao of Pooh, that the idea found you. You must realize that you are the first resource of this idea. You are its initial mass. In essence the idea already tipped once, when you joined forces with it. As you develop the idea you are adding mass to it in the form of clarification and substance. As you clarify intention, you are not only creating direction, but you are also adding mass in the form of a plan. A plan is a simple, yet invaluable, first resource. Likewise, when others first come into contact with the idea, it will be new for them. They will most likely commit a little of themselves at first, and more as time goes on if they find it pleasantly rewarding. Also, direction is constantly tweaked as more resources are amassed in the form of knowledge and understanding. The process goes on and on, but if we can understand the process we can become aware of what we should be focusing on to actualize our ideas into organizations.

January 12, 2009

Stavros Michailidis

(c) Stavros Michailidis 2009