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Our Best Product Came From Work Nobody Approved

TL;DR: The most valuable product the firm I worked for ever sold started as two people fixing something on the side because a machine was slow and it bothered them. Nobody asked for it, nobody funded it, and nobody could have forecast it. When budgets tighten, that kind of work is the first thing cut, and there’s no way to prove in advance what you’re cutting.

Some of the best work I’ve been part of started without anybody’s permission, and I think the habit of assigning every hour kills more good products than bad strategy ever has. Protect a small amount of unassigned time and you keep the only condition under which unplanned products get built.

Where do software products come from?

Some come from research. Somebody studies a market, finds a gap, writes a plan, and gets it funded. Others come from an engineer who was annoyed. The second kind never appears on a roadmap, because a roadmap is a list of things somebody decided to do. Nobody puts down that in March an engineer will get irritated enough about a slow machine to fix it on a weekend. Both kinds produce real products. Only one of them can be planned, so companies build processes around that one and eliminate the conditions the other needs.

Planned products versus products nobody approved
Attribute Planned product Unplanned product
Where it starts Someone studies a market, finds a gap, gets it funded An engineer annoyed enough to fix something
On the roadmap Yes, it’s a thing somebody decided to do Never; nobody can schedule irritation
Order of events Plan first, then the work The thing first, strategy assembled around it
Predictability Result is predictable Nobody could have forecast it
Whether it works Unknown until the work is done Answered before any planning meeting
What it needs Process, budget and approval Unassigned time nobody audits

Why does performance work never get funded?

Because a successful performance project has nothing to show at the end.

New features demo. Integrations demo. A dashboard demos. Performance work produces the absence of a problem, and absence is the hardest thing in technology to get paid for. Ask for two weeks to make something faster and the question comes back: faster by how much, and what does that buy us. Both are fair questions and neither has an answer before the work is done.

So the work doesn’t get approved. And then somebody does it anyway, on their own time, because they have to use the thing every day and it’s driving them out of their mind.

I have a lot of sympathy for that engineer. Using a slow tool every day while being told there’s no budget to fix it wears good people down, and the companies that do it are spending goodwill they’ll never see on any report.

What happened when two engineers fixed a slow machine on their own time?

At the consulting firm where I spent my early career, Steve Davis and another engineer built a disk defragmenter for the operating system we all worked on.

There was no company mandate. Nobody assigned it, nobody scheduled it, and it didn’t appear in any plan. They did it themselves, on the side, because disks got fragmented and everything slowed down and they were tired of it. It worked. Performance before and after wasn’t marginally different. It was different by orders of magnitude. Then somebody looked at what they had and realized it was a product.

How do you turn an internal tool into a product?

You decide the market is bigger than the one you built it for. The original tool served the operating system our clients ran. The firm judged the larger opportunity to be on the other major platform of the era, so the work turned into a port and a plan.

I led that side of it. We also decided to bundle and not ship a single utility, so it became a set of disk tools instead of one defragmenter. One person handled the defragmenter, another handled a directory program.

How an unapproved fix became the firm's best productA sequence of steps showing how the disk defragmenter became a product. Two engineers, annoyed by fragmented disks, built it on their own time with no mandate. It ran orders of magnitude faster, someone recognized it as a product, and the firm ported it to the other major platform and bundled it into a set of disk tools.How an unapproved fix became the firm's best product1Engineers get annoyedFragmented disks slow everythingdown2Built on the sideTwo engineers fix it with nomandate or schedule3It worksPerformance improves by orders ofmagnitude4Seen as a productSomebody realizes the tool couldsell5Ported to new marketMoved to the other major platformof the era6Bundled as disk toolsDefragmenter plus a directoryprogram in one set
How an unapproved fix became the firm's best productA sequence of steps showing how the disk defragmenter became a product. Two engineers, annoyed by fragmented disks, built it on their own time with no mandate. It ran orders of magnitude faster, someone recognized it as a product, and the firm ported it to the other major platform and bundled it into a set of disk tools.How an unapproved fix became thefirm's best product1Engineers get annoyedFragmented disks slow everything down2Built on the sideTwo engineers fix it with no mandate orschedule3It worksPerformance improves by orders ofmagnitude4Seen as a productSomebody realizes the tool could sell5Ported to new marketMoved to the other major platform of the era6Bundled as disk toolsDefragmenter plus a directory program inone set

The thing came first and the strategy was assembled around it afterward.

None of that was possible before the side project existed. The strategy came second. The thing came first and we assembled the strategy around it afterward. That’s the opposite of how the story usually gets told. I loved working on it for exactly that reason. The hardest question in any product, whether the thing works, had been answered before a single planning meeting was held, and all we had to do was take something good to more people.

What does slack mean in an engineering organization?

Unassigned capacity. Hours not allocated to anything in particular.

Slack is the first casualty when budgets tighten, and cutting it is easy to justify. Every hour is now attached to a deliverable and the numbers improve immediately. What disappears is invisible, because it was never on a list. Nobody writes down the products nobody built because nobody had a spare afternoon. I think this is among the most destructive habits in management, and the people it hurts aren’t the ones who chose it. The engineers who’d have built the next useful thing lose their spare hours to status reports, while the executives who cut the margin get a better quarter and never learn what it cost them. I’m not arguing for a formal program. Twenty percent time is a large-company answer to a large-company problem and it usually decays into another meeting. The small-company version is simpler and cheaper. Don’t schedule every hour. Leave a margin, don’t ask what it produced, and accept that most of it produces nothing.

How do you spot a side project worth backing?

Somebody built it without being asked, and then other people started using it.

Nobody writes down the products nobody built because nobody had a spare afternoon.

That second half is the test and it’s a good one, because adoption without promotion is hard to fake. When a tool spreads through a team because it’s useful, the market research has already happened.

Ask two questions when you find one. Who else has started using this, and what were they doing before. If the answer to the second is something slow and painful, you may be looking at a product.

The mistake is the other reaction. A manager who discovers unapproved work and asks who authorized it won’t get told about the next one, and there’s always a next one. That reaction makes me furious. Asking who authorized it teaches your best people to hide their best work, and a company that has trained its engineers to hide things has lost something no process will bring back.

My take

Cut the slack and you kill the next product, and you’ll never see the bill. Our most valuable product started as two engineers fixing a slow machine because it bothered them. Nobody funded it and nobody could have forecast it. Protect some unassigned hours on your team, even when budgets tighten. Watch for the people who fix things nobody asked them to fix, and back them. The strategy can come later.

What did the defragmenter project prove about planning?

The plan followed the product instead of producing it.

Something annoyed two engineers. They fixed it on their own time and the result was orders of magnitude better than what existed. Only then did anyone think about markets, ports, or bundles. Every company would prefer this to run the other way, and for most work it does. The plan comes first, the work follows, and the result is predictable. That’s how the majority of anything gets built and there’s nothing wrong with it.

Protect the exception anyway. It costs a margin of unassigned time and the discipline to not ask what that margin produced, and I think any manager who won’t pay that is trading the company’s future for a tidier spreadsheet. The defragmenter would never have existed under a boss who scheduled every hour, and I’d bet most companies have killed something like it without ever knowing.

Frequently Asked Questions

Should a small company copy twenty percent time?
Not as a formal program, since formal programs need administration a small company can’t spare. Leaving some hours unassigned and not auditing them accomplishes the same thing at no overhead.
Who owns software an employee builds on their own time?
Usually the employer, depending on the jurisdiction, the contract, and whether company equipment was involved. Settle it in writing before anything becomes valuable, because the conversation is much harder once revenue is attached.
How do you justify performance work to a budget holder?
Attach it to a cost that already exists, such as hours lost waiting, support tickets, or infrastructure spend to compensate for slowness. Performance work funded on its own merits rarely gets approved, because the benefit has no number until afterward.
What is the risk of unapproved internal tools?
Tools built quickly by one person often lack documentation, testing, and a second owner. That’s manageable while the tool is small and becomes a real problem once a team depends on it. Adopt useful ones formally instead of letting them stay unofficial.
How do you decide whether an internal tool has a market?
Look for people outside the team who want it, and for what they currently do instead. Internal adoption proves the problem is real. External demand proves somebody would pay, and those are separate findings.
Does cutting slack time save money?
In the current quarter, yes, and the saving is easy to measure. What it costs is unmeasurable, because nobody records the work that was never started. Cut it knowing that the tradeoff is real even though only one side of it appears in a report.

Sources

About the Author
Richard Lowe, professional ghostwriter

Richard Lowe is a professional ghostwriter and author with 113+ books authored and 54+ ghostwritten. Before writing full time he spent 33 years in enterprise technology, including 20 years as Director of Computer Operations and Technical Services at Trader Joe's. He writes nonfiction, fiction and memoir, and works with executives and experts on books that build authority.

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Disclaimer

The views and opinions expressed in this blog post are solely those of Richard Lowe and are based on personal experience and research. This content is for informational purposes only and should not be construed as professional legal, financial, accounting, or business advice. Always consult with qualified professionals before making important business or legal decisions. Richard Lowe is not a lawyer, accountant, or licensed professional advisor, and this content does not establish any professional relationship.

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