Revenue Builders Podcast: "Navigating Energy Challenges and Innovations with Carl Coe"

Episode Date: September 25, 2025
Host(s): John McMahon, John Kaplan (Force Management)
Guest: Carl Coe, Chief of Staff for the US Secretary of Energy

Episode Overview

In this engaging episode, John Kaplan and John McMahon reconnect with longtime friend and colleague Carl Coe, now Chief of Staff to the US Secretary of Energy. The conversation traces Carl’s journey from high-achieving tech sales leader to his current high-stakes government role, providing a rare insider’s look at the Department of Energy (DOE), its transformative challenges, and the culture shifts driving national energy innovation. Carl shares lessons learned from both private sector and federal leadership, highlights the impact of AI and modernization efforts, and offers actionable advice for sellers seeking to partner with government agencies.

Key Discussion Points and Insights

1. Carl Coe’s Background and Career Trajectory

• PTC Days: Carl reflects on his formative years at Parametric Technology Corporation, emphasizing values that still drive him:
  • “Think big, be incredibly urgent. Don’t take no for an answer. Literally push farther, harder than you think you can. And outwork, out-hustle, out-compete. That’s what PTC was. That’s what we’re trying to do here.” — Carl Coe [05:53]
• Career Progression: After 17 years at PTC, Carl led and grew multiple software companies before transitioning—somewhat unexpectedly—to government service.
  • “I bought a little tiny software company... We ran our play. We had good tech, we had good customers, and we had great salespeople and crushed it...” [09:15]
• Entry into DOE: A chance networking conversation led Carl to DOE, turning a temporary advisory into a pivotal leadership post.
  • “Five minutes in, it’s like they’d never heard of Scott Cooper. They had no idea who that guy was. I work for them now, literally.” [16:20]

2. Lessons in Leadership: Private Sector vs. Government

• Foundational Traits:
  • "Know your product, know your customer, know the problem you’re solving. Build champions. Don’t cut corners. Follow the math. Four demos a week. Do the right thing, you’ll get there.” — Carl [13:14]
• EQ and Social Awareness: Kaplan credits Carl's people skills and high EQ as key to his success in both business and government.
  • "You were very socially aware... customers really love that about you." — Kaplan [15:10]
• Adapting Best Practices: Carl shares key business practices that translate to federal leadership:
  • “Lose the small battles, win the big ones.” [26:35]
  • “Make more deposits than withdrawals…when it comes time for you to ask for something, they’re happy to do it.” [27:06]

3. Inside DOE: Modernization and Cultural Change

• Process Over People: Carl dispels stereotypes about federal workers:
  • “It’s not the people, it’s the process and the way that any bureaucracy works.” [21:12]
• Deep Dive into Operations: DOE consists of 45 core offices and four distinct agencies—requiring massive coordination and systemic modernization, especially in IT:
  • “You just can’t believe how far behind the government is in their tech stack.” [22:10]
• Early Retirement over Layoffs: A humane approach to workforce reduction—offered alternatives so employees chose their path:
  • “We didn’t end up having to do a riff of one single employee.” [23:50]
• Driving Urgency:
  • “The hours put in were incalculable. These people just put their entire lives completely on hold and worked in a way that only Elon could drive.” [24:50]

4. AI, Energy Capacity, and the 'Manhattan Project 2.0'

• AI’s Energy Demands:
  • “We have the exact same power capacity in the country that we had in 1985... Now we need to literally double from 1.2 to 2.4 terawatts of power over the coming years.” [33:04]
• International Competition:
  • “China today is creating about 1.2 terawatts of incremental power every 18 months. They’re creating a United States level of power capacity every year or two.” [34:01]
• Solution Pathways:
  • Heavy focus on natural gas, nuclear (including micro and small reactors), and rapid infrastructure deals—such as foreign investment from Korea.
  • “We will win this battle, but our barrier, our challenge, is capacity... This is Manhattan Project 2.0.” [34:02]
• Permitting and AI:
  • DOE initiative PermitAI targets regulatory streamlining to accelerate infrastructure build-out.

5. Incentives, Workforce Development, and the Skills Gap

• Energy Subsidies and Market Effects:
  • “Wind and solar subsidies...bastardized the market... 20 years later... we’re about 84% fossil fuels. It just didn’t solve the problem.” [37:28]
  • Focused, time-limited incentives now target nuclear and geothermal only to revive those industries.
• Trades and Education Challenge:
  • “That’s a huge initiative for the country and it’s actually really, really good for the country... when you bring the manufacturing back, it’s not just the manufacturing jobs, it’s all the jobs to build the infrastructure.” [40:00]
  • DOE is partnering with advocates like Mike Rowe to re-popularize trades and support infrastructure jobs.

6. Advice for Sellers Targeting DOE and the Government Market

• Understand the Problem Before Selling:
  • “You better understand your customer, you better understand what their initiatives are, you better know what their buying patterns are.” [44:53]
  • Don't skip the steps: “He came to me with a proposal for a $50 million deal... I said, who’s asking for this? No one... he skipped every single step…” [46:15]
• Procurement Modernization:
  • DOE now pushes for tech transformation and consolidation across labs, offering new opportunities for vendors:
    • “We’ve just kicked off a massive initiative where we’re driving efficiency across all 17 national labs. At the top of the list... tech transformation, tech consolidation.” [52:18]
• Speed, ROI, and Cloud:
  • Example of an 8-figure deal completed in five weeks due to real business need and urgency.
  • “This administration... most of us are entrepreneurs or business people. Show us strong ROI, show us a strong business case, show us a strong implementation plan — we’re going to do it.” [48:22]
  • Growing comfort with cloud solutions, ongoing reassessment of FedRAMP’s obstacles, and rising cybersecurity spending.

Notable Quotes & Memorable Moments

• On Urgency and Mission:
  • “He [Elon Musk] sees no barrier. He sees there’s no rest, there’s no barrier when you’re on mission.” — Carl Coe [25:10]
• On Internal Culture:
  • “If you don’t have an organization like this with behind you, as opposed to pushing against you, you got no shot.” — Carl [25:50]
• On Impact:
  • “This is not a choice. This is a national imperative.” [34:02]
• On the American Worker:
  • “There’s honor in it. It’s a job that you should be proud of... It’s not limiting. It’s unlimited. If you start there.” [42:36]
• On Government Sales:
  • “You might take a little bit of a haircut to do a consolidated contract, but you’re locked in across all 17 labs. If I’m a seller into the government right now, I’m pretty pumped because good decisions are going to get made and your upside is huge.” [53:06]
• On Government as a Team Sport:
  • “The truth is he’s put the 27 Yankees together, the best team you could possibly put together, the smartest minds that have achieved incredible things, put them together to solve these big problems that the country’s facing.” [35:17]
• Closing Reflection:
  • “I’m incredibly grateful. I can’t believe I get to do this. It’s the hardest thing I’ve ever done, mentally, physically, being away from home. But, man, I’m just so lucky and fortunate and I’m proud of it.” — Carl Coe [59:00]

Important Timestamps

• Career reflections and lessons from PTC: [04:42]–[13:14]
• Path to DOE and role at Doge (with Elon Musk): [16:33]–[19:52]
• DOE’s approach to modernization and change management: [20:17]–[24:06]
• AI’s energy impact and ‘Manhattan Project 2.0’: [31:34]–[36:36]
• Skills gap, workforce development, and education system: [39:47]–[43:14]
• Best practices for selling to DOE/government: [44:25]–[54:05]
• DOE procurement, lab consolidation, and sales speed: [52:18]–[54:45]
• Cybersecurity and commitment to cloud: [55:09]–[57:07]
• Closing thoughts and gratitude: [58:25]–[60:17]

Final Takeaways

• DOE is in full-tilt transformation mode, driven by a new culture of urgency, innovation, and accountability.
• Massive opportunity exists for tech vendors, particularly those focused on AI, modernization, cloud, and cybersecurity—with a premium on understanding real agency needs and navigating procurement processes smartly.
• Addressing the nation's energy and workforce challenges will require collaboration across industry, government, and education—embracing both traditional trades and next-gen technologies.
• Mission and urgency matter: Whether in business or public service, focusing on the ‘why’ and winning big battles over small ones is what moves the needle.

An inspiring, candid episode for anyone interested in business leadership, technology’s impact on government, and selling into the public sector.