A venture team is a temporary grouping of organization members for generating new ideas. So that creative thinking is not stifled, team members are freed of the organization’s bureaucracy and in many cases have a separate location and facilities. These separate entities are known as skunk works.
Major corporations such as IBM, 3M Company, Dow Chemical, and Texas Instruments have used venture teams to solve technical problems and promote change. For Motor Company used skunk works to keep the new mustang alive. Faced with tight budgets, tough time constraints, and an uncertain vision of the new mustang, Ford formed the 400 members “Team Mustang” Team members thought of themselves as independent stockholders of the “Mustang Car Company” in converted furniture warehouse, got approval to move Ford into “Chunk teams” with responsibility for every “chunk” of the car. Mustang Car Company did away with many elements of the traditional hierarchy and many restrictive rules and procedures.
The result: the fundamentally redesigned new Mustang was completed in three years and for about $700 million-25 per cent less time and 30 per cent less money than for any comparable new car programme in Ford’s recent history.