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#<br />

14<br />

Michael Sikorsky<br />

company Robots and Pencils | location Calgary | Founded 2009<br />

<strong>Follow</strong><br />

<strong>the</strong><br />

<strong>talent</strong><br />

opposites<br />

attract<br />

Sikorsky is a<br />

programmer<br />

by trade (a.k.a.<br />

<strong>the</strong> robot); his<br />

wife and business<br />

partner, Camille,<br />

is a designer<br />

(a.k.a. <strong>the</strong> pencil).<br />

124 THAT’LL NEVER WORK<br />

photographs by Colin Way


Robots and Pencils<br />

Born in a Calgary basement, this<br />

mobile app-maker marries great<br />

programming with beautiful<br />

design. The company’s employees<br />

enjoy a supportive culture designed<br />

to nurture creative risk-takers.<br />

The only catch for prospective<br />

employees: Owner Michael<br />

Sikorsky demands a minimum<br />

commitment of a decade→<br />

SSome people wait for <strong>the</strong> perfect<br />

idea, but that’s not my style. We don’t<br />

even know what we don’t know, so<br />

let’s start learning—that’s my style.<br />

When Apple launched its original<br />

iPhone in 2007, my wife, Camille, and I<br />

knew that apps would be massive, and<br />

we wanted to be part of it. One evening,<br />

while we were trying to think up<br />

an idea, we went to <strong>the</strong> movies. In <strong>the</strong><br />

lobby, <strong>the</strong>re was a machine that, for a<br />

quarter, would tell you how much your<br />

date was crushed out on you at <strong>the</strong> moment—<strong>the</strong>se<br />

silly, silly experiences for<br />

a quarter. And so I was like, “We’ll just<br />

pick one of those.”<br />

We turned it around virtually in<br />

days, and we called it Crushfactor. It<br />

was just us. We were a cliché: husband<br />

and wife, mom and pop, in our basement<br />

office. We didn’t even understand<br />

what you were supposed to do<br />

in an app store. We were just trying to<br />

think of anything to get started. Crushfactor<br />

didn’t do very well, though. I<br />

hate even talking about it.<br />

A lot of companies have one<br />

strength—ei<strong>the</strong>r <strong>the</strong> design is really<br />

good or <strong>the</strong> software’s really good. It’s<br />

rare to have both. I was inspired by a<br />

lecture that scientist and novelist C.P.<br />

Snow made at Cambridge in 1959, in<br />

which he talks about how <strong>the</strong> world<br />

is split between <strong>the</strong> sciences and <strong>the</strong><br />

humanities. He believed many of <strong>the</strong><br />

world’s problems were rooted in this<br />

split and argued for one culture. That<br />

was <strong>the</strong> founding idea behind Robots<br />

and Pencils. Camille is a designer, and<br />

I’m a programmer. So I’m <strong>the</strong> original<br />

robot, and she’s <strong>the</strong> original pencil.<br />

Now, we are very, very focused on<br />

saying no. If you never say no, you<br />

probably don’t have a very strong<br />

strategy. My go-to motto is that none<br />

of <strong>the</strong> world’s best restaurants are<br />

Number of<br />

iPhones sold by<br />

year (millions)<br />

2007----- 1.4<br />

2008----- 11.6<br />

2009----- 20.7<br />

2010----- 40<br />

2011------ 72.3<br />

2012------ 125.1<br />

2013------ 150.3<br />

2014 ----- 69.2<br />

126 THAT’LL NEVER WORK THAT’LL NEVER WORK 127


Robots and Pencils<br />

“<br />

Focus is key—none<br />

of <strong>the</strong> world’s<br />

best restaurants<br />

are buffets.<br />

buffets. We wanted to become amazing<br />

through focus, and I didn’t think it was<br />

realistic to work across three or four<br />

platforms when we started. I thought,<br />

“Let’s get good at one thing—let’s be<br />

amazing at mobile for iOS.” We’ve<br />

designed for iPad since 2010, but when<br />

we started, <strong>the</strong> iPad didn’t even exist.<br />

I have two favourite projects. Spy vs.<br />

Spy was a game based on <strong>the</strong> classic<br />

Mad Magazine comic that debuted in<br />

1961. In <strong>the</strong> summer of 2012, that app<br />

was a global hit. I still don’t believe it.<br />

We started this company, and within<br />

a couple years we were No. 1 in almost<br />

every single app store we were<br />

in, including <strong>the</strong> United States, <strong>the</strong><br />

United Kingdom, Canada, Australia<br />

and Germany—all <strong>the</strong> ones that matter.<br />

We made it to No. 4 in Japan. It was<br />

mind-blowing. We were thrilled.<br />

The o<strong>the</strong>r one was PencilCase,<br />

which we debuted at Macworld in<br />

2014. It was named <strong>the</strong> most interesting<br />

program at <strong>the</strong> event by famed<br />

Apple journalist David Morgenstern.<br />

PencilCase lets anyone build apps—no<br />

coding experience required—and it’s<br />

been really interesting watching that<br />

happen. Financial services companies<br />

use it to create interactive sales tools<br />

and to help explain some of <strong>the</strong>ir complex<br />

financial products. It’s been used<br />

for travel apps and interactive comics<br />

and books, and some designers have<br />

been using it as a prototyping tool.<br />

Our headquarters is in a renovated<br />

heritage building in Calgary. I love being<br />

in Canada, and I think <strong>the</strong> people<br />

here are awesome. I think every city<br />

sends a message, and Calgary says,<br />

“Sure, you can do it—I don’t care if<br />

you’ve never done it before.” In today’s<br />

world, it doesn’t really matter where<br />

you live—<strong>the</strong> world is disintermediated<br />

and dematerialized, which means<br />

you can have impact from anywhere.<br />

But even in <strong>the</strong> technology business,<br />

people will still say that interesting<br />

things only come out of <strong>the</strong> Bay Area<br />

Your mission:<br />

to escape <strong>the</strong><br />

embassy with<br />

a top-secret<br />

briefcase,<br />

locating a<br />

missing passport,<br />

money, key and<br />

secret plans<br />

before beating<br />

your booby-traploving<br />

opponent<br />

to <strong>the</strong> airport.<br />

or Silicon Valley. If you need venture<br />

capitalists, it probably makes sense<br />

to be where <strong>the</strong>y are, but I can’t play<br />

<strong>the</strong> game of “Get money, sell company.”<br />

I’ve been through that cycle a<br />

few times, and it was one of <strong>the</strong> worst<br />

experiences. Back in 2002, I sold a<br />

software company that I co-founded,<br />

Servidium, to a Chicago-based outfit.<br />

When you sell your company, I think<br />

your meaning bubble pops and you go<br />

into an existential crisis. At <strong>the</strong> end<br />

Forget Silicon<br />

Valley—Robots<br />

and Pencils is<br />

headquartered<br />

in Calgary. But it<br />

also has offices<br />

in Winnipeg,<br />

Colorado, Texas,<br />

and London.<br />

Why? Because<br />

that’s where <strong>the</strong>y<br />

happened to find<br />

great people.<br />

128 THAT’LL NEVER WORK THAT’LL NEVER WORK 129


Robots and Pencils<br />

of <strong>the</strong> day, if you’re into making and<br />

building stuff, you can’t care how many<br />

zeroes are in your bank account. Businesspeople<br />

sometimes do, but people<br />

who are makers don’t really care.<br />

I discovered something doing Robots<br />

and Pencils: I think most people who<br />

are in <strong>the</strong> capital business do not know<br />

how to build great companies. Because<br />

my past companies always had financing,<br />

I thought that was how you did<br />

it—get <strong>the</strong> funding first. I didn’t realize<br />

that building a great team and having<br />

money aren’t connected at all. They’re<br />

two different objectives. My objective<br />

is to build an amazing company, one<br />

that attracts <strong>the</strong> best people in <strong>the</strong><br />

world to come and share in <strong>the</strong> rewards.<br />

For venture capitalists, it’s like,<br />

“I’ve got a 10-year window on my fund<br />

and I need to reach a certain internal<br />

rate of return for my limited partner.”<br />

That said, Robots and Pencils is a very<br />

successful company. The growth numbers<br />

are crazy—an 84-percent cumulative<br />

annual growth rate over five years,<br />

or 4,971 percent total. It works. We<br />

have no debt, no financing, fast-growing<br />

revenue and a good bottom line.<br />

As for hiring, people are our most<br />

So far, Robots<br />

and Pencils has<br />

developed more<br />

than 250 apps<br />

that have been<br />

downloaded by<br />

more than 77<br />

million people.<br />

“<br />

If you follow <strong>the</strong><br />

<strong>talent</strong>, you get an<br />

unfair share<br />

of hyper-<strong>talent</strong>ed<br />

people.<br />

important assets. I don’t think about<br />

having staff; I think about having<br />

<strong>talent</strong>. I call it FTT: <strong>Follow</strong> <strong>the</strong> Talent.<br />

We find pockets of <strong>talent</strong>ed people,<br />

and that’s where we build an office.<br />

It gives us access to an unfair share of<br />

hyper-<strong>talent</strong>ed people. Take our managing<br />

director in Winnipeg: He can’t<br />

move for personal reasons, but he is so<br />

good, he attracts people who want to<br />

work with him. We had to ei<strong>the</strong>r build<br />

an office around him or not work with<br />

him—those were our only two options.<br />

So now we have an office in Winnipeg,<br />

two offices in <strong>the</strong> U.S.—Austin and<br />

Denver—and one in London. We’ll be<br />

coming to Toronto soon, too.<br />

When I talk to someone who has<br />

<strong>talent</strong>, I’m very straightforward that<br />

I need a 10-year commitment. That’s<br />

very awkward. People think I’m<br />

crazy. But if you’re building something<br />

compelling, it automatically<br />

must also be repelling. There will be<br />

people who love it, and <strong>the</strong>re should<br />

be people who hate it. The reason we<br />

need to work toge<strong>the</strong>r for a long time<br />

is so that we can follow you and watch<br />

ideas emerge. PencilCase and Spy vs<br />

Spy both emerged from <strong>the</strong> <strong>talent</strong>, not<br />

from <strong>the</strong> management. My job is to let<br />

<strong>talent</strong> feel free to have <strong>the</strong>se thoughts.<br />

To support this, we avoid internal silos.<br />

We don’t care about <strong>the</strong> vertical—<br />

we’re vertical-agnostic. If you think<br />

about amazing innovation, people are<br />

always talking about it being cross-disciplinary<br />

or interdisciplinary, but<br />

everyone ends up going into <strong>the</strong>ir silos.<br />

The breakthrough comes when <strong>the</strong><br />

finance person talks to <strong>the</strong> physicist.<br />

We want to stay in breakthrough<br />

mode all <strong>the</strong> time. We’re just at <strong>the</strong><br />

beginning of our story. Our vision is to<br />

be at least a 100-year-old company. I<br />

actually want it to be 1,429 years old,<br />

because <strong>the</strong>n Robots and Pencils will<br />

be <strong>the</strong> oldest company on <strong>the</strong> planet. ■<br />

According to<br />

<strong>the</strong> Guinness<br />

Book of World<br />

Records, <strong>the</strong><br />

oldest business<br />

in <strong>the</strong> world is<br />

<strong>the</strong> Nisiyama<br />

Onsen Keiunkan,<br />

a hot-spring<br />

hotel in Japan—it<br />

was founded in<br />

705 A.D. and has<br />

been run by <strong>the</strong><br />

same family for<br />

52 generations.<br />

130 THAT’LL NEVER WORK THAT’LL NEVER WORK 131

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