What My Trip to Alaska Taught Me About Innovation in Business

WP&YR Railroad

“If you’re stagnant, you’re dead!”

Who said that?

In the remote town of Skagway, Alaska, there exists a railroad (I say remote because it took us several days to get there!). Not just any railroad. The White Pass & Yukon Route (WP&YR) Railroad.

No, it does not connect Alaska to the rest of the United States. Started in 1898 and built over the course of 26 months, it goes straight up from the town of Skagway at sea level to ascend nearly 3000 feet at the Summit in a short span of just 20 miles. This particular railroad was built in challenging terrain and harsh weather conditions in one of the coldest climates in North America. At the time of its completion, it was the northernmost railroad in the Western Hemisphere.

Because of the steep grades, solid rock, cliffhanging turns, and other engineering design challenges, building the WP& YR railroad seemed like an impossible task at the time. Dynamite had not yet come into popular use so immense quantities of black powder were used for blasting, which made it that much harder to do. Steam engines can’t go over a certain grade (slope) because the tinder box would potentially ignite if it were exposed out of the water. In spite of all these obstacles the railroad was built and was designated an International Historic Civil Engineering Landmark in 1994 (a prestigious award shared by the Eiffel Tower, Statue of Liberty, and the Panama Canal to name a few).

So why was this railroad built and what can it tell us about business?

#1) Sometimes you have to overcome huge obstacles in order to achieve success. Against all odds and even in the above described conditions, the railroad was built. It exists today as a reality and as a testament to “can-do” mentality, persistence, and determination. The vision of the railroad triumphed over the challenges. Do you have a vision?

#2) That you can’t do it alone. The WP& YR railroad became a reality because the right people came together at the right time (coincidence or synchronicity?) to get it built. It took commitment, persistence,  determination, “know-how,” and teamwork (labor); ultimately the same principles that apply in business. Having others on your “team” – even if it’s a virtual team of coaches, mentors and peers – who support you is critical to business success.

#3) Innovation! This is the single most important factor that can ultimately determine your success or failure in business. In my report “The Top 10 Mistakes that New Entrepreneurs Make” I list 9 other things. (To get a copy fill in your name and email address on the right.) If you can’t innovate and change with the times, you will not survive (ie. “If you’re stagnant, you’re dead”)! Originally built as a passage for miners to haul supplies to the Klondike (and bring the gold back down) during the Gold Rush of the late 1800s, the WP&YR is still running today, because of its ability to innovate.

Completed in July of 1900, the railway was actually finished after the zenith of the gold rush had already passed. For years it has survived because of its ability to evolve. After the gold rush, the WP&YR continued to haul freight, passengers, and ore, becoming an economic lifeline to the north. Over time it diversified into a full-fledged transportation company that included wharves, stage lines, barges, hotels, pipelines, and trucks, among other things. In the 1950s, the WP&YR company was the first to pioneer the intermodal shipment of goods in a container by ship, train, and truck. In 1988, the company reinvented itself yet again as a tourist attraction.

Even though the railroad itself is still in the same permanent location (it hasn’t moved in 100+ years), it has survived because of innovation. Today it hauls tourists in open air cars, who take in the spectacular and breathtaking views. I can tell you firsthand that there’s absolutely nothing like it!

So now I ask you:

What challenges are you facing right now?

What is your vision?

What did you like best about this post?

Who said “If you’re stagnant, you’re dead!”?

Has anyone else ridden the WP&YR?