William Esrey

Sprint Chairman Emeritus Bill Esrey on innovation

William “Bill” Esrey is Sprint Corp.’s former CEO and current Chairman Emeritus. Wikipedia describes him as the person who led the company as it “developed from a rural telephone company into a multi billion dollar international corporation.” Bill’s also served as the Chairman of Japan Telecom, and is now Chairman of Spectra Energy and a member of the General Mills board of directors. With all of this experience and a Harvard Business School degree under his belt, here’s perspective from Bill:

Q: From the standpoint of a Fortune 500 CEO, what’s your #1 advice for inventive people looking to achieve success in the marketplace?

Bill: My main thought is that one has to have a competitive advantage to succeed. The competitive advantage can come in many flavors or colors. However, a me-too company or product will have a tough time creating a sustainable environment. Also, most competitive advantages do not last forever, so if you have one, you should immediately be at work trying to create the next one. At Sprint, when we entered the long distance business against AT&T, which had a near monopoly, our competitive advantage was a 100% fiber optic network which gave superior quality at a cheaper price. When Sprint later entered the wireless business, it adopted a then virtually unknown digital technology called CDMA when most established competitors used analog. This offered noticeable competitive advantages.

Q: How do you assess a new product—any new product—that makes its way to you?

Bill: I first use my own intuition as an initial reaction. I try to think about how significant the product could be to our company, and whether it is really distinctive. By distinctive, I mean does it do something better than an alternative, does it do it in a more pleasing way, and the bottom line is: is the product such that it will catch attention as a useful or helpful device. If all this is a positive, I will generally have it assessed on a more specific basis to understand the quality and cost of the product and how much better it is than whatever else is out on the market.

Q: What do you see as the importance of innovation?

Bill: Innovation to me is an idea or a product that will allow an individual or a group to do something better, cheaper or different than what is the standard.

Q: What’s one thing you think every inventor should know about the business of new products, that could help them advance their ideas into big companies like a Sprint?

Bill: If you can get your idea or product in front of the right person, it can make the difference between success and being ignored. To find the right person who has an open mind is easier said than done. Often, advice from an insider or someone that is willing to get the product in front of the right person is invaluable. The person helping does not need to endorse the product, just see that it gets to the right person who is willing to take a look at it.

Q: Any major mistakes you’ve seen inventors make, that you’d like to warn other inventive people to steer clear of?

Bill: Not listening to the other side. You need to listen carefully to feedback. I am not suggesting that feedback is always right—it isn’t, but it should be considered carefully and not rejected out of hand if the feedback is negative. Also, bigger organizations move much more slowly [than most inventors can or wish to move]. You just have to accept that sometimes, as you will not be able to change it.

Q: Can you tell us about the most recent new product that wowed you?

Bill: Yes I can, but no I won’t. I am working on two new products now, both invented and patented by a brilliant man. One is just completing development and should go commercial by the end of this year. Its existence is not known as there are large established competitors out there and this would be a disruptive technology. For the moment, I am happy that the sleeping dogs are content until we come along.

Q: What’s your favorite invention of all time, and why?

Bill: Probably the transistor. It has led to so much of the technical world we all live in and benefit from today.