Latest / The Pivot Podcast with Fexingo: How Businesses Change Direction and Survive Disruption / How a Nuclear Submarine Changed Its Mission Mid-Deployment
Transcript
- Lucas: So picture this: you're commanding a nuclear-powered fast-attack submarine, about 360 feet long, cruising at roughly 30 knots submerged, 500 feet below the surface. And then, without warning, you hit something solid. Luna: This is the USS San Francisco? The collision in 2005? Lucas: Exactly. January 8, 2005, about 350 miles south of Guam. The submarine slammed into an uncharted seamount—basically an underwater mountain. The impact was so violent that the forward sonar dome was crushed, the pressure hull was breached in several places, and one sailor, Petty Officer Joseph Allen Ashley, was killed. Sixty more were injured, some critically. Luna: And yet, that submarine didn't just survive—it completely changed its mission and served for another decade. Lucas: That's the pivot we're looking at today. The USS San Francisco was a Los Angeles-class attack submarine, built to hunt enemy subs and surface ships. But after the collision, it became something else entirely: a test bed for new technology, a platform for undersea warfare experiments, and eventually, a deterrent in the Pacific. The Navy didn't just repair it; they reimagined it. Luna: It reminds me of something we've talked about on this show before—how a crisis can force a pivot that actually makes the organization stronger. Kind of like how Fujifilm had to reinvent itself after film photography collapsed, or how Domino's realized they had to become a tech company to survive. Lucas: Right. And I think the submarine story is especially powerful because it wasn't a market disruption—it was a literal crash. The decision to pivot came from a place of necessity, not strategy. But the way the Navy handled it offers lessons for any business facing a sudden, existential shock. Luna: Before we dive deeper—and I only mention this because these kinds of conversations have genuinely shaped how I think about resilience at my own work—if you find value in these stories, listener support is what keeps this show ad-free and independent. It's a small way to say these episodes matter. You can find us at buy me a coffee dot com slash fexingo. Lucas: Yeah, and we really appreciate that. So back to the sub—immediately after the collision, the crew was in survival mode. The submarine managed to surface, and it was towed to Guam. Initial assessments said it was a total loss. The forward third of the boat was essentially a crumpled wreck. Luna: But the Navy decided not to scrap it. Why? I mean, a nuclear submarine is expensive, but repairing that kind of damage must have been nearly as costly as building a new one. Lucas: It was. The initial estimate was around $170 million for repairs. But here's the thing: the Navy had a shipyard availability problem. The only shipyard capable of building a new Los Angeles-class submarine was already maxed out. So the calculus shifted. They realized that repairing the San Francisco, even at great expense, would get a submarine back in the water faster than building a new one from scratch. Luna: So speed was the driving factor. That's interesting—in business, we often think about cost first, but sometimes time to market or time to capability matters more. Lucas: Exactly. And the repair itself was a masterclass in creative problem-solving. The entire bow section—from the forward escape trunk to the sonar dome—had to be replaced. But the Navy didn't have a spare bow lying around. So they took the bow from another submarine, the USS Honolulu, which was being decommissioned early due to budget cuts. They literally cut off the front of one sub and attached it to another. Luna: That's like salvaging the engine from a totaled car and putting it into another chassis. But with a nuclear submarine, the tolerances must be insane. Lucas: Incredibly tight. The new bow was 60 feet long and had to align with the pressure hull within fractions of an inch. The repair took three years, from 2005 to 2008, and cost about $170 million. But it worked. The San Francisco was back in service by 2009. Luna: But that's not the pivot yet, right? That's just a repair. The real pivot came after. Lucas: Right. When the San Francisco returned to service, it didn't return to its original mission. The Navy realized that the submarine had a unique opportunity. Because of the extensive repairs, it had a newer, more advanced sonar system and a modernized combat system. So instead of deploying it as a standard attack sub, they assigned it to the Naval Undersea Warfare Center as an experimental platform. Luna: So it became a test bed for new technologies—like a flying laboratory, but underwater. Lucas: Exactly. For the next several years, the San Francisco tested new sonar arrays, unmanned underwater vehicles, and advanced communications systems. It conducted research on acoustic propagation and torpedo countermeasures. It wasn't just a submarine anymore; it was a mobile R&D facility. Luna: And that required a different kind of crew, different training, different operational tempo. That's a huge organizational pivot. Lucas: It is. And it wasn't easy. The crew had to be cross-trained in experimental procedures. They worked closely with civilian scientists. The chain of command had to adapt to a more collaborative, less hierarchical mode of operation. That's a lesson for any company that tries to shift from a production-oriented culture to an innovation-oriented one. Luna: I can imagine some resistance. 'We're sailors, not scientists.' How did they manage that? Lucas: Leadership was key. The commanding officer, Captain Mark Davis, was reportedly very open to the new mission. He framed it as an extension of the submarine's core purpose—defending the nation by advancing undersea warfare. That reframing helped the crew buy in. And he made sure the scientists felt welcome, even though they weren't military. Luna: So the pivot wasn't just technical; it was cultural. And that's often the hardest part. Lucas: Exactly. And the San Francisco's story didn't end there. In 2014, the Navy decided to extend its service life by another five years, past its original decommissioning date. By then, it was one of the oldest Los Angeles-class subs in the fleet, but it was also one of the most capable, thanks to all the upgrades. Luna: So the collision, which was a disaster, actually extended the life of the submarine. That's a remarkable turnaround. Lucas: It is. The San Francisco was finally decommissioned in 2016, after 35 years of service. That's longer than any other submarine of its class. And it served in the Pacific, doing surveillance and deterrent patrols, right up to the end. Luna: I think there's a broader lesson here about how organizations respond to catastrophic failure. Most companies would have written off the asset, taken the insurance money, and moved on. But the Navy saw an opportunity in the wreckage. Lucas: That's the pivot mindset. It's not about avoiding disaster; it's about recognizing that disaster can be a catalyst for reinvention. The question is whether you have the leadership, the culture, and the creative problem-solving ability to turn a crisis into an opportunity. Luna: And it also shows that pivots don't have to be planned years in advance. Sometimes they're forced upon you. The key is to be flexible enough to adapt. Lucas: Right. The USS San Francisco didn't set out to become an experimental platform. It set out to do its job, hit a mountain, and then had to figure out what to do next. The pivot was emergent, not strategic. And that's a powerful reminder for any leader listening. Luna: So what's the takeaway for a business leader? If your company faces a sudden shock—a product failure, a regulatory change, a PR crisis— Lucas: Don't just think about damage control. Think about what new capabilities you might develop in the process of fixing the problem. The San Francisco got a new bow, a new sonar, a new mission. What could your crisis give you? Luna: That's a great question to leave listeners with. Thanks, Lucas. Lucas: Thanks, Luna. And thanks to everyone who supports the show. We'll be back with another story of reinvention soon.