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On an average week
you might find Allan Baer ’76 noodling out a proposal in his rural
Chelsea, Vt., office, pitching his ideas for telecommunications “beyond
the grid” to White House bureaucrats, or out in the field anywhere from
Uganda to Venezuela, where he’s bringing telecom capabilities to people
in developing countries.
The offices of
Clay Dreslough’s computer-game business, Sports Mogul, are located in
the basement of his Chicago home, and the servers that drive his sales
are housed in Somerville, Mass. Dreslough ’93 is juggling a full-time
job as a designer with Midway Games while working on the side with his
wife, Deirdre, and partner Ian Smith to grow Sports Mogul from a
company that sells 50,000 games a year to a behemoth like Midway that
sells millions of games annually.
Holly
Gruskay ’83 has appeared on CNN to discuss the work she does analyzing
voice and data configurations for companies eager to lower telecom
costs. You would never know that her consulting business is situated in
her Scarsdale, N.Y., home where she pursues her second career: Mom to
two active children.
These are Wesleyan’s
hidden techies: a new type of entrepreneur who, thanks to the Internet,
can choose to live and work just about anywhere in the world. Because
they operate out of a home or small office with little or no signage,
they may be literally hidden from sight. And because they commonly
eschew incorporation, they are often hidden from government
statisticians.
What unites a Gruskay or
Baer or Dreslough is not only that they’ve generally selected a work
location based on quality-of-life factors, but that they use technology
creatively to drive their small companies. Advanced technology allows
them to operate what economist George Gilder and management guru Tom
Peters have dubbed “the virtual company” in which individuals work
alone or with one or two principals, and manage growth through
alliances and subcontractors.
These three
hidden techies also share a driving need to create in an unfettered
fashion. They will work with corporations and organizations when
necessary, but the incentive is usually to raise capital or to gain
experience for their next venture. Baer has never worked for anyone but
himself. Only Gruskay has spent long years in corporate settings. Now,
to her great relief, technology has allowed her a pathway to
independence.
“I was on my own, traveling
and working on network sites for GTE Corporation and then Telnext
Communications, really working in a virtual mode for years. I don’t
like working in offices. The desire for self-sufficiency was a big
factor in developing my own business,” explains Gruskay, 41, who
bubbles with enthusiasm as she describes her work and life.
She’s
what the experts in the new digital economy would call a lifestyle
entrepreneur. Gruskay has chosen to work out of her home “because I
like this work style; it gets the work done and minimizes office
politics. I have the freedom to take my kids to the playground and then
work until midnight. That’s problematic in a standard work environment.”
Over
the years Baer, 54, a Vietnam vet and a social activist turned social
entrepreneur, has developed several companies that provide training for
the disadvantaged. A California business created to provide
construction training to indigents while rehabbing buildings for
non-profit organizations brought him to the attention of the Clinton
administration and paved the way for working today with the Bush
administration on telecommunication projects. An alliance builder and
consummate marketer, Baer—who has a brooding philosophical nature—is
driven by a concern for creative freedom.
“I
don’t want any constraints on my vision. I want to control that vision,
and the only way you can flow and function is to be on your own. I
collaborate and form partnerships, but I want total control over my
projects,” he says during lunch at an organic Chinese restaurant in
Amherst, Mass.
Rural settings also matter
to Baer, who lived in a Madison, Conn., house without a flush toilet
until the age of 10. In those days Madison was a farming community, and
he grew up close to nature. Although he worked for a number of years in
the congested Bay Area of California, Baer was delighted when
technology freed him to move with his family to rural Vermont in 1990.
Creative
freedom is high on Dreslough’s list, as well. Dreslough, a
boyish-looking 32, is a classic product-manufacturing entrepreneur
who’s been spinning computer games since high school. That’s when he
made his first computer game, “Emission Impossible: the Sperm Video
Game,” a name that still makes him laugh at his adolescent
predilections.
Although he’s been
“building games all my life,” and will tell you that his “number one
goal is to make a good living doing this,” Dreslough isn’t averse to
occasional stints in organizational settings, as his recent decision to
join Midway illustrates. But he also knows that he’s an entrepreneur at
heart who loves the creativity but hates the selling side of running a
business.
These Wesleyan alumni are part
of what Carnegie-Mellon professor Richard Florida has dubbed “the
creative class” in his book The Rise of the Creative Class; Daniel Pink
calls the “free agents” in his book Free Agent Nation; and this author
has termed “hidden tech” workers in an article for the Boston Globe
Magazine. “Hidden tech” refers to a subset of the national and even
global economy, involving a growing number of virtual companies. These
are small operations run by one or two individuals who develop and sell
products or services from a home or small office and leverage the
Internet/Web, along with a wide array of advanced technologies, to
drive their companies.
The hidden tech
economy includes, but is not limited to, hard-core “techies”—people
like software programmers or hardware developers. Professionals as
disparate as lawyers, patent agents, jewelry retailers, management
trainers, content providers, graphic artists, Web designers, and
marketing specialists all operate virtual companies. Ranging in age
from 20s to post-retirement, they are developing operations that may be
small in terms of financials, but are potent in terms of the alliances
and contacts they maintain worldwide.
Joel
Kotkin, an expert on the new digital economy, calls the locales
attracting hidden-tech entrepreneurs, many of which are college
communities, “Valhallas.” In his book The New Geography he cites a
“critical shift” in the population of the countryside from the poor and
elderly to the new knowledge worker. Nationwide, he notes that “the
most powerful magnets” for this new, lifestyle entrepreneur, “are those
areas with the greatest physical attraction, such as rural New England.”
The
hidden tech culture is characterized more by anecdote than by
statistics. Joyce Jacobsen, a Wesleyan professor of economics, points
out that this trend has not been studied systematically. She views the
hidden tech phenomenon as “a new form of clustering that’s driven by
like-mindedness and lifestyle.” As for how widespread this trend is and
what impact it will eventually have on the work place, Jacobsen says no
one knows.
Some data is available from a
recent pilot study of 75 hidden tech companies in the Pioneer Valley of
Massachusetts, just up I-91 from Wesleyan in the northern tier of what
this region now calls “New England’s Knowledge Corridor.” Published by
Western Massachusetts Electric Company and conducted by this author,
the study describes the influx to this region of highly-educated baby
boomers from major urban areas over the course of the last 30 years.
The
report finds that quality of life is the driving force from the move
out of organizations and urban centers to development of mainly (85
percent) home-based companies in a college community. Following a
spouse is also a common reason for making the change, along with moving
to an area where there are friends and family and other like-minded
knowledge workers.
One of the more
intriguing findings involves the mindset of the individuals at the
vanguard of the hidden tech movement. The majority consider themselves
to be running “global” companies, even if they have a potpourri of
global, national, regional, or local clients. They work in 20 foreign
countries on four continents and in at least half of the states in this
country. A highly innovative and creative lot who all have at least
bachelor degrees, many with advanced degrees, 30 percent of the
Valley’s hidden tech population are hard-core techies. Half of the
sample is engaged in some form of research and development.
What’s
clear to anyone who knows Wesleyan intimately, including Jacobsen and
many other Wesleyan faculty members, support staff, and administrators
interviewed for this article, is that Wesleyan provides a fertile
environment for the sort of entrepreneur who is joining the hidden tech
movement—a person who has found a creative way of employing technology
to drive business goals, whether those be maintaining a lifestyle,
promoting a social concern or the arts, manufacturing tech products, or
consulting from a home setting.
By
fostering interdisciplinary programs, independent thinking, and
creatively weaving technology into course offerings, Wesleyan is doing
exactly what Florida says institutions of higher education must do to
prepare students for “the creative age.” He believes that colleges and
universities have to “get away as much as possible from the classroom,”
which he has dubbed “an outmoded concept handed down from the Greeks.
“In
the world of technology people learn by doing things. We have to get
away from the idea that creativity takes place divorced from the world.
Why else do entrepreneurs drop out of college? Why did Bill Gates leave
Harvard? Michael Dell was running his company from his dorm room at the
University of Texas. Both of them should have been able to do this work
as part of their education,” he insists.
Wesleyan
has earned some renown in college technology circles for creative
interplay of IT and the curriculum. Ironically, the old “Wes Tech”
nickname may hold more truth than anyone imagined.
Both
Dan Dougherty, a Wesleyan professor of computer science, and
Barbara-Jan Wilson, who knows many alumni in her capacity as vice
president for university relations, believe the process of nurturing
the creative entrepreneur spirit starts with the kinds of students who
attend the university. “Wesleyan selects people more likely to do
this—people who can think with both halves of their brains and make
creative connections,” says Dougherty, who is currently on leave at
Worcester Polytechnic Institute in Worcester, Mass.
Wilson
agrees, adding, “Our admission office looks for independent, creative
self-starters. We try to look beyond SATs and grades as the only
criteria, grading applicants based on intellectual curiosity. These are
the people who are going to want to create things in their basement and
not necessarily be slotted into a corporate environment.”
When
students are admitted, they enter a liberal arts environment that’s
permeated with technology on a level that university IT experts
consider noteworthy for a school of Wesleyan’s size. Although Wesleyan
is not MIT or Carnegie-Mellon, on the forefront of developing
technology, it is fast gaining a national reputation for its
cutting-edge use of technology as part of everyday campus life and in
teaching. In this way, Wesleyan is providing students the technology
background they need to thrive professionally today—tools that are
crucial to success for lawyers, doctors, artists, Web retailers, or
software developers. Whether purposely or not, the school is providing
the technology groundwork necessary to operate a hidden tech company.
Tom
Warger, who consults for universities nationwide on information
technology, lauds Wesleyan for its “well-developed and mature IT
infrastructure supporting centers of computer-related expertise for
media and data analysis, as well as labs specialized for individual
academic disciplines.” Citing the school’s new 10-year, $26-million
program to build server, network, and database systems, which he calls
“a bold, strategic move,” he praises Wesleyan for providing
“competitive advantages relative to larger institutions of higher
education, with whom Wesleyan competes for students and faculty.”
“If
you visit Wesleyan, you’d be amazed at the types of things that faculty
routinely use in their classrooms,” says John Meerts, vice president
for information technology at Wesleyan. “There are, of course,
projectors and computers, but also DVD players, video systems, sound
systems, touch panels that control the lights and close the blinds—all
fairly sophisticated. We’ve also added course management systems such
as Blackboard and WebCT that help faculty put content on the Web or
interact with students.” Meerts made these comments to University
Business, where he was featured on the cover of the December 2002
edition, the same edition that credited Wesleyan with developing some
of the most innovative uses of technology in any American college
setting.
Meerts is finding a new breed of
student, “the Nintendo generation,” who have “high expectations about
using technology in all aspects of their experience on campus.” He’s
meeting younger faculty, also part of this generation, who are eager to
use technology as a teaching tool “both inside and outside the
classroom.” Students need no encouragement to be cross-disciplinary,
according to Dougherty, and are experimenting with combining fields
such as the arts and music with technology —some “really cool stuff.
There’s a rich subculture of music and computer science.”
One
faculty member actively driving thought and discussion on
entrepreneurship is Peter Kilby. A long-time professor of economics,
Kilby has taught a course titled Entrepreneurship and Economic
Development for about 30 years. He estimates a little more than 400
students have taken the course. While his focus is on the role and
sources of recruitment of entrepreneurs in various socio-historical
contexts, the course always attracts some students whose primary
interest is vocational. He hasn’t tracked graduates to determine how
many have become entrepreneurs themselves, but Kilby knows of several
who have gone on to develop well-known companies or to earn major
reputations in their fields.
Michael
Sciola, director of the Career Resource Center, doesn’t need convincing
that Wesleyan could be a breeding ground for hidden tech entrepreneurs.
He encounters students at his center all the time “with five great
ideas of ‘how I want to change the world’ and ‘I want to know how to do
all of them.’ We’ve even coined a term for them—multipreneurs—that is,
people who knit all of these different ideas and interests and values
together to create multiple opportunities.
“The
faculty are so creative at using technology and at responding to what’s
happening in the world that our students are prepared to take advantage
of the chaotic and dynamic workplace. Our students don’t want a job in
a cubicle; they want to create a new reality,” he says.
And
Sciola isn’t surprised that Wesleyan alumni would be developing telecom
for the global market in Vermont or pushing computer games from a
bedroom in Chicago. “Not everyone in the workplace could wrap their
heads around working out of an attic. That’s a relatively new
phenomenon for many. People who come through Wesleyan have always had a
flexible world view and want to take advantage and be actively engaged
in advancing new thought and practices.”
Gruskay,
Baer, and Dreslough concur that Wesleyan played pivotal roles in
developing their personal sense of themselves as entrepreneurs. Their
interests ranged from music and Spanish for Gruskay to philosophy for
Baer, and sports and public policy for Dreslough. They knit their
psyches together through intellectual, creative, and emotional pursuits.
Only
Dreslough could be described as a classic techie who toyed with
computers his whole life, and he majored in government, not computer
science. But like many baby boomers with a liberal arts bent, these
three have gravitated to the dynamic technology industry, and they
enjoy the opportunities that technology provides them.
Technology
allows Baer far greater reach for his career pursuits. “I was doing
entrepreneurship without advanced technology. Certainly, I would have
only been able to manage projects on a local basis. Now I can expand my
geographical universe globally to wherever the grid goes and also
expand wireless telecom to make people independent of the grid.”
That’s
the exhilarating side of the hidden tech phenomenon. Since the dot-com
debacle and economic downturn of recent years, Dreslough, particularly,
has been working hard to keep his company afloat. Baer jokes about his
ability to “manage debt.”
“Some days,” Dreslough says, “I feel like chucking it. I’m increasingly frustrated at making the business run.”
That
was on a bad day. With some additional funding in his pocket, a new job
in Chicago to inspire him, and a new home, Dreslough seems far more
buoyed in 2003 than he was in the fall of 2002. Stay tuned for the next
chapter …
Which is how it goes in the
entrepreneurial world in general, and particularly for the small
entrepreneur operating virtually. Jonathan Harber ’86 should know. A
self-avowed “serial entrepreneur,” who has evolved four companies “out
of my second bedroom,” he now operates SchoolNet, which has its
headquarters in Manhattan and a small office in Washington, D.C.
SchoolNet provides management software for public school districts.
Harber’s
career underscores that some hidden tech entrepreneurs eventually move
from virtual operations to larger-scale, office-based businesses. He
believes that Wesleyan “happens to spawn a number of
entrepreneurs—independent thinkers who take initiative and create
companies.” To leverage their talent and resources, he and several
other Wesleyan alumni have created The Wesleyan Entrepreneurs Circle
(see box).
How many entrepreneurs have
emerged from Wesleyan? A scan of the Wesleyan alumni database produces
pages of alumni who are self-employed—everyone from filmmakers to
providers of financial services. To date, no actual numbers are
available on Wesleyan grads operating virtual companies.
Asked
what Wesleyan can do to foster the hidden tech sort of
entrepreneurship, Jacobsen suggests that promoting “alumni networking
would be very important to provide students a notion of a pathway. This
could be a big phenomenon for Wesleyan, if not the world. We do attract
kids who want to work on the fringes of the system—not selling in or
out, people who have multiple careers. I have no data to back this up,
but I believe that Wesleyan is at the forefront.”
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