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I was happy to receive a published copy of The SAIC Solution, 2nd Edition today. The book is now available to purchase on Amazon.com. This update has been in the works for some time and I am pleased to see it in print.

As you may be aware, I completely revised the last couple of chapters, taking a closer look at SAIC’s governance and how the board failed to advocate for the company’s employee ownership culture after I left the company. This in my opinion fundamentally changed SAIC forever — and not for the better.

You can read more about the behind-the-scenes events that led to this unfortunate outcome, along with my advice to other founders and CEOs who want to avoid the dilution or entire loss of the company culture that they worked so hard to create and build.

* * *

Earlier this month, my wife Betty, daughter Mary Ann, and son Jim attended the 73rd Anniversary Stars and Stripes Ball sponsored by the San Diego chapter of the USO (photos below). The event was a fundraiser for the organization, which does important work for active-duty military and their families. We are proud to support the USO, and look forward to their 75th anniversary in San Diego in a couple of years.

— Bob

Photos by Melissa Jacobs/sandiegophoto.com.

I would like to take a moment to notify readers of this blog that Mike Daniels will speak on the topic of “The Core Values That Turned $4.7 Million into $19 Billion in Value Creation” in Washington DC on Monday, May 12th. The event is a part of the 2014 Lumen Leadership Speaker Series, and it will take place from 12 noon to 1:30pm at the Metropolitan Club at 1700 H Street NW in Washington. As you can probably guess, Mike’s presentation will center on SAIC’s acquisition of Network Solutions, and how we successfully grew it. Mike will also discuss how to identify investment targets during economic opportunity wave cycles. If you are interested in attending, please call the Lumen Institute at 862-432-1368.

I would like to take time to thank Bob Harris and Keith Nightingale for the letters you recently sent me.

Bob’s Easter letter was a very interesting recounting of his career starting at General Atomic in January 1968 after he graduated with a Ph.D. in particle physics. Soon after he joined GA to work for me, Gulf Oil bought the company, and I left to start SAI in February 1969. When Bob’s contract ended at GA, he joined me at SAI, becoming one of the company’s earliest employees in June 1970.

Thank you, Bob, for the letter and for your summary of the lessons that you learned at SAI. I hope you had an enjoyable Easter, and that you will send me copies of your big-picture books when they are published.

* * *

Keith sent me a paper he wrote on the meaning of Normandy in commemoration of the 70th anniversary of the Normandy Invasion in 1944. Keith’s story centered on a small village in France by the name of Hemevez. Each year the townspeople honor 7 American parachutists of the 82nd Airborne Division who were captured by the Germans and executed on June 6, 1944.

Some years ago I visited the Normandy beaches and battlefields where so many Americans lost their lives in the name of freedom. It was a very sobering experience. We owe our World War II veterans, both living and dead, a great and eternal debt. Thank you Keith for sending me your paper.

* * *

As I mentioned last week, Ron Arnold chartered the America’s Cup replica yacht America for Betty and me and a small group of friends to tour San Diego Bay. I have included a few photos from that very enjoyable day.

— Bob

I would like to congratulate Dylan Bayerl, who has been named a Beyster PhD Fellow for the 2014-2015 school year at the University of Michigan College of Engineering. This is a great accomplishment, and I know that Dylan worked hard to earn his fellowship.

I look forward to meeting Dylan within the next month or two, and I wish him much success in the future. His photo is included below.

* * *

Speaking of photos, Ron Arnold scheduled some interesting excursions on San Diego Bay over the past few weeks while my boat Solutions has been hauled out of the water for annual maintenance and repairs. A number of my friends and SAIC colleagues have been able to join me, which has made these trips particularly enjoyable.

A couple of Fridays ago, Ron chartered one of the San Diego Seal Tour amphibious vehicles for a 90-minute tour of the Bay. Joining us were Paul Kouris, Barb Schmidt, and book contest winner Bill Proffer.

And last Friday we went out for a sail on America, which is a 139-foot replica of the yacht that won the original America’s Cup competition. This is something I have wanted to do for the past four years, and we had a perfect day out on the water.

We had quite a group on this trip, including my wife Betty, Malin Burnham, Chuck Nichols, Jim Hakeem, Mark Waldschmidt, Scott Graham, Don Wyatt, Troy Sears, Ron’s son Conner, and others. I have included a couple of photos from our Seal Tour.

— Bob

I was very concerned to read a recent article in the Washington Post about the resignation of Leidos COO Stuart Shea. According to the article, Shea’s resignation may be linked to the ongoing decline in the company’s revenues and profits.

Leidos reported an 18% drop in fourth quarter revenues from 2012 to 2013, and a 75% drop in fourth quarter profit from 2012 to 2013. I am disappointed with these financial results and hope that they are a temporary aberration. I also hope that the split up of SAIC into two separate companies has not had a negative effect on the ability of Leidos to win new business, and to make a profit on the business that it has.

— Bob

As you know, ICANN and the Internet have been in the news lately. It seems that there is a move within the Obama administration to transfer responsibility for the domain name system from ICANN to some as-yet unnamed international body.

I personally do not think this is a good idea. While our own Congress is not currently a very good model of democracy in action, and the administration seems to be stuck in neutral, I doubt that some UN-type group is going to do a better job governing the domain name system. In fact, it may do far worse.

Of course, there are no guarantees either way, because ICANN has its own problems. As Esther Dyson, founding chairperson of ICANN, said in an interview for our book, Names, Numbers, and Network Solutions, “We over-regulated some stuff, and we under-regulated other stuff. We got everybody to despise us. We didn’t listen. And, unfortunately, it hasn’t gotten much better since.”

Mike Daniels, my coauthor on Names, Numbers, and Network Solutions, has been busy being interviewed in the media because of this possible shift in Internet governance. As the book describes, we were very much involved in the evolution of the domain name system and the development of ICANN and other Internet organizations, so Mike is a valuable source of information about this time in the Internet’s history.

Mike was interviewed on March 27 about governance of the domain name system by Jim Blasingame on Small Business Radio. Here are links to the three interviews:

— Bob


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