Tom Peters’
Action Chronicles
Think-Do.ACTION.Grant+.4-40.1103

vs.
do!

“Never forget implementation , boys.
In our work, it’s what I call the ‘last 98 percent’ of the client puzzle.”
—Al McDonald, former Managing
Director, McKinsey & Co, to a project team that included TP

The (Strange) Case of Peter Drucker &
Michael Porter vs. The “Non-linearists”
HERBERT SIMON.
(Administrative Behavior.)
JAMES
MARCH. KARL WEICK.
(The Social Psychology of
Organizing.)
EUGENE WEBB. Henry
MINTZBERG.
(The Rise and Fall of Strategic Planning.)
JAMES UTTERBACK. THOMAS KUHN.
(The
Structure of Scientific Revolutions.)
CHARLES
LINDBLOM. Daniel goleman.
INNOVATION BIOGRAPHERS.*
(*Transcontinental
Railroad, Electrification, Radio, Television, Containerization, DNA,
Computers, Military History, Etc.)
MOST POLITICAL
SCIENTISTS. SILICON VALLEY. Etc.

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:
*Attitude shapes behavior
**Behavior shapes attitude

“Linearist”:
“Non-linearist”:
* “Do it right the first time” (Hero: Phil Crosby)
**Never retreat (Hero: U.S. Grant)

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”:
“Non-linearist”:

“Linearist”: think! Plan!
(r.
a.
f.*)
“Non-linearist”: Try it!
Screw it up! Fix it!
Try it again! (r.
f.
a.**)
*Ready. Aim.
Fire.
**ready. Fire.
Aim. (Or, circa 2006: fire. Fire. Fire.
)

Cheap Shot
“Linearist”: minimize cost.
“Non-linearist”: maximize revenue.

“Linearist”:
“Non-linearist”:

“Linearist”
Background: planning, marketing & finance.
“Non-linearist” background: sales & operations.

“Linearist”
“Non-linearist”

“Linearist”
“Non-linearist”

“Linearist”
“Non-linearist”

“Linearist”
“Non-linearist”
*Managing by wandering around

“Linearist” reads: michael porter.
Peter drucker.*
“Non-linearist” reads: waterman & peters.
Tom clancy.**
*Michael & peter
**Bob & tom & tom

“Linearist” reads: michael porter.
Peter drucker.
“Non-linearist” reads: doesn’t

“Linearist” preferred baseball score: 1-0.
“Non-linearist” preferred baseball score: 11-9.

“Linearist” preferred football score: 7-0.
“Non-linearist” preferred football score: 41-38.

“Linearist” criminal record: none.
“Non-linearist” criminal record: disorderly conduct.
Chronic jaywalking.

“Linearist” drives: lincoln town car. Ford explorer
(weekends).
“Non-linearist” drives: bmw. Harleydavidson
(weekends).

The (Strange) Case of Peter Drucker &
Michael Porter vs. The “Non-linearists”
HERBERT SIMON.
(Administrative Behavior.)
JAMES
MARCH. KARL WEICK.
(The Social Psychology of
Organizing.)
EUGENE WEBB. Henry
MINTZBERG.
(The Rise and Fall of Strategic Planning.)
JAMES UTTERBACK. THOMAS KUHN.
(The
Structure of Scientific Revolutions.)
CHARLES
LINDBLOM. Daniel goleman.
INNOVATION BIOGRAPHERS.*
(*Transcontinental
Railroad, Electrification, Radio, Television, Containerization, DNA,
Computers, Military History, Etc.)
MOST POLITICAL
SCIENTISTS. SILICON VALLEY. Etc.

Action!
*
Implementation!
**
The Work Itself! ***
*R.F.A.
**Execution
***WOW Projects!

“We design intelligent strategies— but they fall miles short of their for one reason. Poor organizational effectiveness which in turn leads to a gaping ‘implementation deficit.’
Tom, I want you to get a handle on the best thinking and best practices from around the world.”
—Ron Daniel (1977*)
*TP/1977/ first (?) Stanford Ph.D. thesis studying implementation per se.

1979-2006

.”
– Peter Drucker

TP/BW on BigCo Sin #1:

Excellence1982: The Bedrock “Eight Basics”
1.
2. Close to the Customer
3. Autonomy and Entrepreneurship
4. Productivity Through People
5. Hands On, Value-Driven
6. Stick to the Knitting
7. Simple Form, Lean Staff
8. Simultaneous Loose-Tight
Properties”

“Never forget implementation boys.
In our work it’s what I call the ‘missing 98 percent’ of the client puzzle.”
—Al McDonald, former Managing Director,
McKinsey & Co, to a project team that included TP

—Fred Malek (1974)
—TP (1983)

“METABOLIC
MANAGEMENT”

The Leadership11
1. Talent Management
2. Metabolic Management
3. Technology Management
4. Barrier Management
5. Forgetful Management
6. Metaphysical Management
7. Opportunity Management
8. Portfolio Management
9. Failure Management
10. Cause Management
11. Passion Management

—Kevin Kelly

“Active mutators in placid times tend to die off. They are selected against.
Reluctant mutators in quickly changing times are also selected against.”
—Carl Sagan & Ann Druyan,
Shadows of Forgotten Ancestors

“How we feel about the evolving future tells us who we are as individuals and as a civilization:
Do we search for stasis—a regulated, engineered world? Or do we embrace dynamism—a world of constant creation, discovery and competition?
Do we value stability and control or evolution and learning? Do we think that progress requires a central blueprint, or do we see it as a decentralized, evolutionary process?? Do we see mistakes as permanent disasters, or the correctable byproducts of experimentation? Do we crave predictability or relish surprise?
These two poles, stasis and dynamism, increasingly define our political, intellectual and cultural landscape.”
— Virginia Postrel, The Future and Its Enemies

—Mario Andretti

—James Yorke, mathematician, on chaos theory in The New Scientist

—Jay Chiat

—Marshall McLuhan

O.O.D.A.
Loops
* Observe. Orient. Decide. Act./Col. John Boyd

—John Boyd
BOYD: The Fighter Pilot Who Changed
the Art of War (Robert Coram)

70-10
*Boyd/O.O.D.A. Loops/Mike Leach/Texas Tech

70-10/Nebraska/
Unk QB 643 yards
K.State/ Linemen spread wide/All legals go out for pass/Defenders confused & tire
(Boyd/Tempo is not speed/“Re-arrange the mind of the enemy”—T.E. Lawrence)/
“By changing the geometry of the game, and pushing the limits of space and time on the gridiron, Mike Leach is taking Texas
Tech to some far out places .”
—Michael Lewis ( NY Times, on Mike Leach/Texas Tech)

“In war, delay is fatal.”
—Napoleon
“The only way to whip an army is to go out and fight it.”
—Grant
“ … demonstrating the tactic that would become his hallmark: the immediate move to seek out the enemy and attack him”
— John Mosier, on Grant
“A good plan executed right now is far preferable to a ‘perfect’ plan executed next week.”
—Patton

*Churchill, Grant, Patton, Welch, Bossidy, Nardelli
(GE execs), UPS, FedEx, Microsoft/Gates-Ballmer,
Eisner, Weill, eBay, Nixon-Kissinger, Gerstner, Rice,
Jordan, Armstrong

GRANT
NELSON
BOYD
FISHER
BOSSIDY
PEROT
MASTERS
HERB
McDONALD
PETERS-WATERMAN
HAMLET+

—Grant
Source: John Mosier, Grant

“He never credited the enemy with the capacity to take the offensive.”/185 “tenacity [like Wellington]”/187 “I haven’t despaired of whipping them yet” [at a very low point]/195 “Both sides seemed defeated and whoever assumed the offensive was sure to win.”/200
… “inchoate bond [between Grant and soldiers]”/201 … “The genius of Grant’s command style lay in its simplicity. Grant never burdened his division commanders with excessive detail. … no elaborate staff conferences, no written orders prescribing deployment. … Grant recognized the battlefield was in flux. By not specifying movements in detail, he left his subordinate commanders free to exploit whatever opportunities developed.” /202 “If anyone other than
Grant had been in command, the Union army certainly would have retreated.” /204 Lincoln (urged to fire Grant): “I can’t spare this man; he fights.” / 205 “Grant turned defeat into Union victory.”/206
“moved on intuition, which he often could not explain or justify.”/208 “instinctive recognition that victory lay in relentlessly hounding a defeated army into surrender.”/213 Nathan Bedford
Forrest, successful Confederate commander: “amenable to no known rules of procedure, was a law unto himself for all military acts, and was constantly doing the unexpected at all times and places.”/213

“The genius of Grant’s command style lay in its simplicity. Grant never burdened his division commanders with excessive detail. … no elaborate staff conferences, no written orders prescribing deployment. … Grant recognized the battlefield was in flux.
By not specifying movements in detail, he left his subordinate commanders free to exploit whatever opportunities developed.”
—Jean Edward Smith/GRANT

“A generation of American officers had been schooled to believe the art of generalship required rigid adherence to certain textbook theorems.”/151 “The nature of Grant’s greatness has been a riddle to many observers. … did not hedge his bets … disregarded explicit instructions … nothing to fall back on … violating every maxim held dear by the military profession … new dimension: ability to learn from the battlefield … finished near the bottom of his [West Point] class in tactics … carried the fight to the enemy … maintain the momentum of the attack … military greatness is the ability to recognize and respond to opportunities presented .”/152-3 “Grant had an aversion to digging in.”/153 “Grant had an intangible advantage. He knew what he wanted.”/153 “Grant’s seven-mile dash changed the course of the war.”/157 “The one who attacks first will be victorious.”/158 “dogged” / 159 “unconditional surrender”/162
“simplicity and determination”/166 “quickness of mind that allowed him to make on the spot adjustments … [his] battles were not elegant setpiece operations” /166 “[other Union general] preferred preparation to execution … became a friend of detail … suffered from ‘the slows’ …”/170 Message to Halleck from McClellan: “Do not hesitate to arrest him” [following great victory]/172 … “learned how to withstand attacks from the rear” [Army politics]/179

“The commanding general would be in the field”/228 Lincoln:
“What I want, and what the people want, is generals who will fight battles and win victories. Grant has done this and I propose to stand by him.”/231 “retains his hold upon the affections of his men”/232
“Grant’s moral courage—his willingness to choose a path from which there could be no return —set him apart from most commanders … were [Grant and Lee] were uniquely willing to take full responsibility for their actions.”/ 233 “ … modest … honest … nothing could perturb … never faltered …”/233 “plan was breathtakingly simple but fraught with peril”/235 “demonstrating the flexibility that had become his hallmark”/238 “But like any West
Point trained general, he had difficulty comprehending what Grant was up to …”/240 “recognized the value of momentum … throw off balance … blitzkrieg … traveling light … headquarters in the saddle” / 243 “acted as quartermaster”/243 [rushed away so that he couldn’t receive Halleck’s order] … “like Lord Nelson … telescope to his blind eye” … “pressing ahead on his own” / 245 “focus on the enemy’s weakness rather than his own”/250

“recognized the value of momentum … throw
[opponent] off balance … blitzkrieg … traveling light
… headquarters in the saddle”
—Jean Edward Smith/GRANT

“The art of war does not require complicated maneuvers; the simplest are the best, and common sense is fundamental.
From which one might wonder how it is generals make blunders; it is because they try to be clever.”
—Napoleon on Simplicity, from Napoleon on Project Management by Jerry Manas.

“Above all the troops appreciated Grant’s unassuming manner. Most generals went about attended by a retinue of immaculately tailored staff officers. Grant usually rode alone, except for an orderly or two to carry messages if the need arose. Another soldier said the soldiers looked on Grant ‘as a friendly partner, not an arbitrary commander.’ Instead of cheering as he rode by, they would ‘greet him as they would address one of their neighbors at home. ‘Good morning, General,’ ‘Pleasant day, General’ … There was no nonsense, no sentiment; only a plain businessman of the republic, there for the one single purpose of getting that command over the river in the shortest time possible.’” [Grant: 5-feet 8-inches with a slouch]/232 After the victory at Chattanooga: “The [Union senior] officers rode past the Confederates smugly without any sign of recognition except by one. ‘When General Grant reached the line of ragged, filthy, bloody, despairing prisoners strung out on each side of the bridge, he lifted his hat and held it over his head until he passed the last man of that living funeral cortege. He was the only officer in that whole train who recognized us as being on the face of the earth.’” / 281 “Grant was unhappy about going into winter quarters. He saw no reason to keep the army idle, and the pause would give the rebels time to reorganize.”/282

“The
[Union senior] officers rode past the
Confederates smugly without any sign of recognition except by one. ‘When
General Grant reached the line of ragged, filthy, bloody, despairing prisoners strung out on each side of the bridge, he lifted his hat and held it over his head until he passed the last man of that living funeral cortege. He was the only officer in that whole train who recognized us as being on the face of the earth.’*”
*quote within a quote from diary of a Confederate soldier

From LEE KENNETT’s SHERMAN: “Grant tended to be a simple listener when these two strategies [for taking Vicksburg] were being discussed. His own preference may have been impelled as much by natural inclination as by any arguments he heard. He wrote afterward: ‘One of my superstitions had always been when I started to go anywhere or to do anything, not to turn back, or stop, until the thing intended was accomplished .’ ”/ 202

CWVA to MBWA
: “In these days of telegraph and steam I can command while traveling and visiting about.”
—U.S. Grant
Managing by wandering around”
—HP circa 1980
Source: Ulysses S. Grant, by Geoffrey Perret

TP’s take:
Intuition takes precedence (listen attentively but act on intuition) … Move today > perfect plan tomorrow [subsequent Patton line] … Great advantage: When moving, you know what you’re up to and you’re moving [the one sitting still is, thence, always reactive]
[Boyd: quickest O.O.D.A. loops/Observe. Orient. Decide. Act.
Disorient enemy] … Action!
... Keep moving!
… Engage!
… Offense!
[weaknessstrength: can’t even imagine enemy counter-attacking; little conception of defense] … Momentum! …. Keep ’em off balance
… … Adjust … Adapt … … Opportunism ! … Constantly revise in accordance with conditions and opportunities in the field [life = excellence at “Plan B”] … Doggedness … Relentless!!
[trait shaped in early childhood] … Never retreat … Simplicity!
… Wide latitude for division commanders … minimum written orders, conferences, etc
… keep his own council … HQ is Grant & his horse … no retinue!
… commune with soldiers /exude quiet confidence/Approachable … decent … Self-accountability! … Evade orders (or ignore) … Share harm & hardship … total victory/ demand “unconditional surrender”—G’s first claim to fame [Nelson: other Admirals avoid loss, friend and foe as in Grant’s case vs Nelson’s seek victory] …
[Life 101: politics between the Generals:
E.g., Grant & Halleck]

"The art of war is simple enough. Find out where your enemy is. Get at him as soon as you can. Strike at him as hard as you can and as often as you can, and keep moving on."
—Grant, courtesy Richard Cauley at tompeters.com
(original source unknown)

“One of my superstitions had always been when I started to go anywhere or to do anything,
, or stop, until the thing intended was accomplished.”
—Grant

On NELSON:

The Nelson Baker’s Dozen
1. Simpleclear scheme (“Plan”) (Not wildly imaginative) (Patton: “A good plan executed with vigor right now tops a ‘perfect’ plan executed next week.”)
2. SOARING/BOLD/CLEAR/UNEQUIVOCAL/WORTHY/NOBLE/INSPIRING
“GOAL”/“MISSION”/“PURPOSE”/“QUEST”
3. “Conversation”: Engagement of All Leaders
4. Leeway for Leaders: Select the Best/Dip Deep/Initiative demanded/Accountability swift/Micromanagement absent
5.
LED BY “LOVE”
(Lambert),
NOT “AUTHORITY”
(Identify with sailors!)
6. Instinct/Seize the Moment/“Impetuosity” (Boyd’s “OODA Loops”: React more quickly than opponent, destroy his “world view”)
7. VIGOR! (Zander: leader as “Dispenser of Enthusiasm”)
8. Peerless Basic Skills/Mastery of Craft (Seamanship)
9. Workaholic! (“Duty” first, second, and third)
10. LEAD BY CONFIDENT & DETERMINED & CONTINUOUS & VISIBLE EXAMPLE (In
Harm’s Way) (Gandhi: “You must be the change you wish to see in the world”/
Giuliani: Show up!)
11. Genius (“Transform the world to conform to their ideas,” “Triumph over rules”)
(Gandhi, Lee-
Singapore) , not Greatness (“Make the most of their world”)
12. Luck! (Right time, right place; survivor) (“Lucky Eagle” vs “Bold Eagle”)
13. Others principal shortcoming: “ADMIRALS MORE FRIGHTENED OF LOSING
THAN ANXIOUS TO WIN”
Source: Andrew Lambert, Nelson: Britannia’s God of War

Nelson’s Way: A Baker’s Dozen/Short
1. Simple scheme.
2. Noble purpose!
3. Engage others.
4. Find great talent, let it soar!
5. Lead by Love!
6. Trust your gut, not the focus group: Seize the Moment!
7. Vigor!
8. Master your craft.
9. Work harder than the next person.
10. Show the way, walk the talk, exude confidence! Start a Passion
Epidemic!
11. Change the rules: Create your own game!
12. Shake of the pain, get back up off the ground, the timing may well be right tomorrow! (E.g., Get lucky!)
13. By hook or by crook, quash your fear of failure, savor your quirkiness and participate fully in the fray!
Source: Andrew Lambert, Nelson: Britannia’s God of War

* Observe. Orient. Decide. Act.
/Col. John Boyd

“Blitzkrieg is far more than lightning thrusts that most people think of when they hear the term; rather it was all about high operational tempo and the rapid exploitation of opportunity.”
—Robert Coram, Boyd
“Re-arrange the mind of the enemy”
—T.E. Lawrence
“Float like a butterfly, sting like a bee”
—Ali
BOYD: The Fighter Pilot Who Changed the Art of War (Robert Coram)

F86 vs. MiG/Korea/10:1
Bubble canopy (360 degree view)
Full hydraulic controls (“The F86 driver could go from one maneuver to another faster than the MiG driver”)
MiG: “faster in raw acceleration and turning ability”; F86: “quicker in changing maneuvers”
BOYD: The Fighter Pilot Who Changed the Art of War (Robert Coram)

USMC COL Mike Wyly:
“kept the enemy off-balance; they knew Delta
Company [RVN] could show up anywhere, anytime”
BOYD: The Fighter Pilot Who Changed the Art of War (Robert Coram)

Fisherisms
Do right and damn the odds.
Stagnation is the curse of life.
The best is the cheapest.
Emotion can sway the world.
Mad things come off.
Haste in all things.
Any fool can obey orders.
History is a record of exploded ideas.
Life is phrases.
Source: Jan Morris, Fisher’s Face, Or, Getting to Know the Admiral

“I saw that leaders placed too much emphasis on what some call high-level strategy, on intellectualizing and philosophizing, and not enough on implementation.
People would agree on a project or initiative, and then nothing would come of it.”
—Larry Bossidy & Ram Charan/
Execution: The Discipline of Getting Things Done

—Larry Bossidy & Ram
Charan/ Execution: The Discipline of Getting Things Done

“ Execution is a
of rigorously discussing hows and whats, tenaciously following through, and ensuring accountability.”
—Larry Bossidy & Ram Charan/ Execution:
The Discipline of Getting Things Done

The Leader’s Seven Essential Behaviors
*Know your people and your business
*Insist on realism
*Set clear goals and priorities
*Follow through
*Reward the doers
*Expand people’s capabilities
*Know yourself
Source: Larry Bossidy & Ram Charan/ Execution: The Discipline of Getting Things Done

Action8/ VPMR+ /Peters on Bossidy
* Knowledge/External Focus
(Competitors/Customers)
* Realism/Truth-telling
*
Vision
*
Projects
(Must add up to Vision)
*
Milestones
* Commitment/Energy
*
RapidReview
* Consequences
(+/-)

“The person who is a little less conceptual but is absolutely determined to succeed will usually find the right people and get them together to achieve objectives. I’m not knocking education or looking for dumb people. But if you have to choose between someone with a staggering IQ and an elite education who’s gliding along, and someone with a lower IQ but who is absolutely determined to succeed, you’ll always do better with the second person.”
—Larry Bossidy (Larry Bossidy & Ram Charan/
Execution: The Discipline of Getting Things Done)

Duct Tape Rules!
“Andrew Higgins, who built landing craft in WWII, refused to hire graduates of engineering schools.
He believed that they only teach you what y ou can’t do in engineering school. He started off with 20 employees, and by the middle of the war had 30,000 working for him. He turned out 20,000 landing craft. D.D. Eisenhower told me,
‘Andrew Higgins won the war for us. He did it without engineers.’ ” —Stephen Ambrose/ Fast Company

Ross Perot (vs “ Aim! Aim! Aim!”
/EDS vs GM/1985)

“ This is so simple it sounds stupid, but it is amazing how few oil people really understand that
You may think you’re finding it when you’re drawing maps and studying logs, but you have to drill.”
Source: The Hunters , by John Masters, Canadian O & G wildcatter

Source: The Hunters , by John Masters, Canadian O & G wildcatter

Source: The Hunters , by John Masters, Canadian O & G wildcatter

— Herb Kelleher

“Never forget
boys. In our work it’s what I call the
of the client puzzle.”
—Al McDonald

Tom Peters/ Business Week /07.1978
(Principal #1/first anticipation of “Excellence”)

In Search of Excellence /1982/The Bedrock “Eight Basics”
1.
2. Close to the Customer
3. Autonomy and Entrepreneurship
4. Productivity Through People
5. Hands On, Value-Driven
6. Stick to the Knitting
7. Simple Form, Lean Staff
8. Simultaneous Loose-Tight
Properties”

vs

A>B vs
B>A

CK Chesterton : “How do I know what I think until I see what I say?”
Reporter: “Mr Drucker, why are you still giving speeches at 90?”
PD : “How else can I figure out what I’m thinking?”

TP: No plan, total accountability
TK: Perfect plan, no accountability*
*LG & IBM

—Bernardo Bertolucci

Source: BW 0821.06, Type A Organization Strategies/ “How to Hit a Moving Target ”— Tactic #1

/
(TP/19 77 ; KW;EJW)

“We made mistakes, of course. Most of them were omissions we didn’t think of when we initially wrote the software. We fixed them by doing it over and over, again and again. We do the same today. While our competitors are still sucking their thumbs trying to make the design perfect, we’re already on prototype version
No. 5 .
By the time our rivals are ready with wires and screws, we are on version
No.
10 .
It gets back to planning versus acting: We act from day one; others plan how to plan— for months.”
—Bloomberg by Bloomberg

—Hamlet, II. i

—Bernardo Bertolucci

not
not
—
Brian Joffe/BIDvest

—Caspian Woods, small biz owner

“HOW THE COAST GUARD
GETS IT RIGHT”
—Headline, Time, 10.31.2005
* Autonomy
* Flexibility
* “Perhaps the most important distinction of the Coast
Guard is that it trusts itself”

The True Logic* of Decentralization:
6 divisions = 6 “tries”
6 divisions = 6 DIFFERENT leaders =
6 INDEPENDENT “tries” = Max probability of “win”
6 divisions = 6 very DIFFERENT leaders = 6 very INDEPENDENT
“tries” = Max probability of “far out”/”3-sigma” “win”
*“Driver”: Law of Large #s

—Larry Bossidy & Ram
Charan/ Execution: The Discipline of Getting Things Done

“ Execution is a
of rigorously discussing hows and whats, tenaciously following through, and ensuring accountability.”
—Larry Bossidy & Ram Charan/ Execution:
The Discipline of Getting Things Done

“I saw that leaders placed too much emphasis on what some call ‘highlevel strategy,’ on intellectualizing and philosophizing, and not enough on implementation.
People would agree on a project or initiative—and then nothing would come of it.”
—Larry Bossidy & Ram Charan/
Execution: The Discipline of Getting Things Done

“The person who is a little less conceptual but is absolutely determined to succeed will usually find the right people and get them together to achieve objectives. I’m not knocking education or looking for dumb people.
But if you have to choose between someone with a staggering
IQ and an elite education who’s gliding along, and someone with a lower IQ but who is absolutely determined to succeed, you’ll always do better with the second person.”
—Larry Bossidy/ Execution:
The Discipline of Getting Things Done

"I think it is very important for you to do two things: act on your temporary conviction as if it was a real conviction; and when you realize that you are wrong, correct course very quickly.”
—Andy Grove

“Never forget
boys. In our work it’s what I call the
of the client puzzle.”
—Al McDonald

—Larry Bossidy & Ram Charan/ Execution:
The Discipline of Getting Things Done

—Larry Bossidy & Ram Charan/ Execution:
The Discipline of Getting Things Done

—Kevin Sharer, CEO Amgen, on the “GE mystique” (Fortune)

6:15A.M.

????????

A man approached JP Morgan , held up an envelope, and said, “Sir, in my hand I hold a guaranteed formula for success, which I will gladly sell you for $25,000.”
“Sir,” JP Morgan replied, “I do not know what is in the envelope, however if you show me, and I like it, I give you my word as a gentleman that I will pay you what you ask.”
The man agreed to the terms, and handed over the envelope.
JP Morgan opened it, and extracted a single sheet of paper.
He gave it one look, a mere glance, then handed the piece of paper back to the gent.
And paid him the agreedupon $25,000 …

2.
1. Every morning, write a list of the things that need to be done that day.
Source: Hugh MacLeod/tompeters.com/NPR

DECENTRALIZATION.
EXECUTION.
ACCOUTABILITY.
6

And the “M” Stands for … ?
Gerstner’s IBM:
“Systems
Integrator of choice.”/BW
(“Lou, help us turn ‘all this’ into that long-promised ‘revolution.’ ” )
IBM Global Services*
(*Integrated Systems $55B
Services Corp.):

Planetary Rainmaker-in-Chief!
“Palmisano’s strategy is to expand tech’s borders by pushing users —and entire industries —toward radically different business models.
The payoff for IBM would be access to an ocean of revenue —Palmisano estimates it at $500 billion a year —that technology companies have never been able to touch.” — Fortune

“By making the Global Delivery Model both legitimate and mainstream, we have brought the battle to our territory. That is, after all, the purpose of strategy. We have become the leaders, and incumbents [IBM, Accenture] are followers, forever playing catchup. … However, creating a new business innovation is not enough for rules to be changed. The innovation must impact clients, competitors, investors, and society. We have seen all this in spades. Clients have embraced the model and are demanding it in even greater measure. The acuteness of their circumstance, coupled with the capability and value of our solution, has made the choice not a choice. Competitors have been dragged kicking and screaming to replicate what we do. They face trauma and disruption, but the game has changed forever.
Investors have grasped that this is not a passing fancy, but a potential restructuring of the way the world operates and how value will be created in the future.”
—Narayana Murthy, chairman’s letter, Infosys Annual Report

“Big Brown’s New Bag: UPS
Aims to Be the
—Headline/ BW /2004

“SCS”/Supply Chain
Solutions:
750 locations;
$2.5B; fastest growing division; 19 acquisitions, including a bank
Source: Fast Company

“Security ‘devices’” to
“Turnkey security solutions”
(A/C, elevators, DIY, photo shops, etc, etc)

Home Depot Business
ToolBox:
Payroll processing.
Credit card processing. Personnel paperwork. Mobile phones. Shipping.
Health insurance .
12K customers
(plumbers, electricians, small homebuilders and contractors).
Source: Forbes , 0918.06

Gamechanging “Solutions”: Bet-the-Company
IBM
UPS
Xerox
MasterCard
GE
BestBuy

I. LAN Installation Co.
(3%)
II. Geek Squad.
(30%.)
III. Acquired by BestBuy.
IV.
Flagship of BestBuy
Wholesale “Solutions”
Strategy Makeover.

Huge:
versus

Up,
Up,
Up,
Up the Value-added Ladder.

The Value-added Ladder/ STUFF ‘N’ THINGS

The Value-added Ladder/Stuff & TRANSACTIONS

The Value-added Ladder/ OPPORTUNITY-SEEKING
Services
Goods
Raw Materials

Era #1/Obvious Value : “Our ‘it’ works, is delivered on time” (“Close”)
Era #2/Augmented Value
: “How our ‘it’ can add value —a ‘useful it’ ” (“Solve”)
Era #3/Complex Value Networks : “How our
‘system’ can change you and deliver
‘business advantage ’ ” (“Culture-
Strategic change”)
Source: Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale

“The business of selling is not just about matching viable solutions to the customers that require them.
It’s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised by the solution.
One of the key differentiators of our position in the market is our attention to managing change and making change stick in our customers’ organization.” * (*E.g.: CRM failure rate/Gartner: 70%)
—Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale

To The Mat:
The “5 Damn Its”
Women.
Brand you.
R.f.a.
EXCELLENCE. ALWAYS.

“ ‘Disintermediation’ is overrated. Those who fear disintermediation-outsourcing should in fact be afraid of irrelevance; ‘outsourcing’ is just another way of saying that …
—John Battelle/ Point/Advertising Age /07.05

Sarah:
Mom
:

“support function” /
“cost center”/
“overhead”

Are you …

Department Head to …
[HR, R&D, etc.]

“Typically in a mortgage company or financial services company, ‘risk management’ is an overhead, not a revenue center. We’ve become more than that.
— Frank Eichorn, Director of
Credit Risk Data Management Group, Wells Fargo Home Mortgage
(Source: sas.com)

Mantra:

Answer:

Core Mechanism
:
“Game-changing Solutions”
(Professional Service Firm “model”/The Organizing Principle
)
+
(“Distinct” or “Extinct”/The Talent
)
+
(“Different” vs “Better”/The Work
)

The New Enterprise Value-Added Equation/Mark2006
(1) 100%
“WOW PROJECTS”
(New Org “DNA”/“The Work”)
+
(2) Incredible
“TALENT”
Transformed into
(3) Entrepreneurial
“BRAND YOUs” and
(4) Launched on Awesome
“QUESTS FOR EXCELLENCE”
=
(5) Internal
“Rockin’ PSFs”
(Staff Depts. Morphed into Wildly
Innovative Professional Service F irms) …
(6) Which Coalesce to Transform the FEVP/Fundamental Enterprise
Value Proposition from “Superior Products & Services” to
“ENCOMPASSING SOLUTIONS” &
“GAME-CHANGING CLIENT SUCCESS”

Big Idea/“Meta”-Idea/Premier “Engine of Value Added”
(1) The Talent : “Best Roster” of Entrepreneurialminded Brand Yous.
(2) The (Virtual) Organization: Internal or
External
“PSF”/Professional Service Firm working with “Best Anywhere” = Engine of
Value Added through the Application of Creative
“Intellectual Capital”
(3) The Work Product : “Game Changer”/
“Gaspworthy” WOW Projects

Core Mechanism
:
“Game-changing Solutions”
PSF
(Professional Service Firm “model”/The Organizing Principle
)
+
Brand You
(“Distinct” or “Extinct”/The Talent
)
+
(“Different” vs “Better”/The Work
)

“Astonish me!”
(SD)
.
“Build something great!”
(HY) .
“Make it immortal!”
(DO)
“Insanely great”
(SJ)

“Solutions World”: The

Big Idea:
“Corporation” as
(Professional Service
Firm*)
* “Virtual” Collection of Entrepreneurially-minded
Professionals (“Talent”/“Roster”) Creating/Applying
Intellectual Capital (“Work Product”)

Core Mechanism
:
“Game-changing Solutions”
Brand You(S)
(“Distinct” or “Extinct”/The Talent
)
+
Wow! Project(s)
(“Different” vs “Better”/The Work
)
=
PSF(S)
(Professional Service Firm “model”/The Organizing Principle
)
=
“Corporation” as
“MegaPSF”

Agriculture Age
(farmers)
Industrial Age
(factory workers)
Information Age
(knowledge workers)
Conceptual Age*
(creators)
*Murakami Teruyasu: “Age of Creation Intensification”
Source: Dan Pink, A Whole New Mind

The
:
Thirty-Five
Professional Service Firm
Marks of Excellence

The PSF35: The Work & The Legacy
1.
CRYSTAL CLEAR POINT OF VIEW
(E very Practice Group: “If you can’t explain your position in eight words or less, you don’t have a position”—Seth Godin)
2. DRAMATIC DIFFERENCE (“We are the only ones who do what we do”—Jerry Garcia)
3. Stretch Is Routine (“Never bite off less than you can chew”—anon.)
4. Eye-Appetite for Game-changer Projects (Excellence at Assembling
“Best Team”—Fast)
5. “Playful” Clients (Adventurous folks who unfailingly Aim to Change the World)
6. Small “Uneconomic” Clients with Big Aims
7. Life Is Too Short to Work with Jerks (Fire lousy clients)
8. OBSESSED WITH LEGACY (Practice Group and Individual: “Dent the
Universe”—Steve Jobs)
9. Fire-on-thespot Anyone Who Says, “Law/Architecture/Consulting/
Ibanking/ Accounting/PR/Etc. has become a ‘commodity’ ”
10. Consistent with #9 above … DO NOT SHY AWAY FROM THE
WORD (IDEA) “RADICAL”

?????
(excellent?!)

*Remarkable Point Of View/8 Words or less/“If you can’t state your position in eight words or less you don’t have a position.”—SG

“ If you can’t write your movie idea on the
you ain’t got a movie.”
—Samuel Goldwyn

The PSF35: The Client Experience
11. Always team with client: “full partners in achieving memorable results” (Wanted: “Chimeras of Moonstruck Minds”!)
12. We will seek assistance Anywhere to assemble the Best-in-
Planet Team for the Project
13. Client Team Members routinely declare that working with us was “the Peak Experience of my Career”
14. The job’s not done until implementation is
“100.00% complete” (Those who don’t “get it” must go)
15.
IMPLEMENTATION IS NOT COMPLETE UNTIL
THE CLIENT HAS EXPERIENCED “CULTURE
CHANGE”
16.
IMPLEMENTATION IS NOT COMPLETE UNTIL
SIGNIFICANT “TECHNOLOGY TRANSFER HAS
TAKEN PLACE-ROOT (“Teach a man to fish …”)
17.
The Final Exam: DID WE MAKE A DRAMATIC,
LASTING, GAME-CHANGING DIFFERENCE?

“The business of selling is not just about matching viable solutions to the customers that require them.
It’s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised by the solution .”*
(*E.g.: CRM failure rate/Gartner: 70%)
— Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale

UniCredit Group/
UniCredito Italiano* **
—3 rd party measurement
—Customer-initiated measurement
—Primary $$$$ incentives
—“Factories”
—Primary Corporate Initiative
—Etc
*#13
**TP/#1

The PSF35: The People & The Leadership
18. TALENT FANATICS (“Best-Coolest place to work”) (PERIOD)
19. EYE FOR THE PECULIAR (Hiring: Go beyond “same old, same old”)
20. Early Opportunities (vs. “Wait your turn”)
21. Up or Out (Based on “Legacy”/Mentoring as much as
“Billings”/“Rainmaking”)
22. Slide the Old Aside/Make Room for Youth (Find oldsters new roles?)
23. TALENT IS OBSESSED WITH RENEWAL FROM DAY #1 TO
DAY #“R” [R = Retirement]
24. Office/Practice Leaders Evaluated Primarily on
Mentoring-Team Building Skills
25. A “PROPRIETARY” TALENT DEVELOPMENT PROCESS (GE)
26. Team Leadership Skills Valued Early
27. Partner with B.I.W. [Best In World] Outsiders as Needed and to Infuse Different Views

The PSF35: The Firm & The Brand
28. EAT-SLEEP-BREATHE-OOZE INTEGRITY (“My life is my message”—Gandhi)
29. Excellence+ in EXECUTION
… 100.00% of the Time
(No such thing as a “small sins”/World Series Ring to the Batboy!)
30. “Drop everything”/“Swarm” to Support a Harried-On
The Verge Team
31. SPEND AS AGGRESSIVELY ON R&D AS A TECH FIRM OR
CIRQUE DU SOLEIL
32. A PROPRIETARY METHODOLOGY (FBR, McKinsey, Chiat Day, IDEO, old EDS)
33. Web (Technology) Obsession
34. BRAND/“LOVEMARK” MANIACS (Organize Around a Point of View Worth BROADCASTING: “You must be the change you wish to see in the world”—Gandhi)
35 . PASSION! ENTHUSIASM!
(Passion & Enthusiasm have as much a place at the Head Table in a “PSF” as in a widgets factory: “You can’t behave in a calm, rational manner. You’ve got to be out there on the lunatic fringe”—Jack Welch)

The PSF35: The Firm & The Brand
28.
EAT-SLEEP-BREATHE-OOZE INTEGRITY (“My life is my message”—Gandhi)
29. Excellence+ in
EXECUTION … 100.00% of the Time
30. “Drop everything”/“Swarm” to Support a Harried-On
The Verge Team
31.
SPEND ON R&D LIKE A TECH FIRM.
32.
A PROPRIETARY METHODOLOGY
(FBR, McKinsey,
Chiat Day, IDEO, old EDS)
33.
BRAND MANIACS
(Organize Around a Point of View Worth
BROADCASTING)
34 .
PASSION! ENTHUSIASM!
35.
EXCELLENCE. ALWAYS.

“PSF” Nirvana

Answer:

PSF + BY +
WP = VA

+ DD +
E = UVA

PSF + BY +
WP + DD +
E = UVA

PSF
(Professional
Service Firm) +
BY
(Brand You) +
WP
(WOW
Projects) +
DD
(Dramatic Difference)
+
E
(Excellence) =
UVA
(Unassailable
Value-Added)

Answer:

“Big Brown’s New Bag: UPS
Aims to Be the
—Headline/BW/2004

I. LAN Installation Co.
(3%)
II. Geek Squad.
(30%.)
III. Acquired by BestBuy.
IV.
Flagship of BestBuy
Wholesale “Solutions”
Strategy Makeover.

Static/Imitative
Integrity.
Quality.
Continuous Improvement.
Superior Service (Exceeds Expectations.)
Completely Satisfactory Transaction.
Smooth Evolution.
Market Share.
Dynamic/Different
Dramatic Difference!
Disruptive!
Insanely Great!
(Quality++++)
Life-(Industry-)changing Experience!
Game-changing!
WOW!
Surprise!
Delight!
Breathtaking!
Punctuated Equilibrium!
Market Creation!

EXCELLENCE
=
Flawless
EXECUTION
+ Continuous
IMPROVEMENT
+ Brilliantly Trained
PEOPLE
+
Gamechanging
QUESTS
+
WEIRD
Rosters +
GASPWORTHY
Results

EXCELLENCE.
ATTITUDE.
TRANSFORMATION.
PSF.

Are you the …
*E.g.: Your
R&D budget as robust as the New Products team?

Fleet Manager
Rolling Stock Cost
Minimization Officer vs/or
Chief of Fleet Lifetime
Value Maximization
Strategic Supply-chain Executive
Customer Experience Director
(via drivers)

“Purchasing Officer” Thrust #1:
(at All Costs*)
Cost
Minimization
Professional
?
Or/to:
Full Partner-
Leader in Lifetime
Value-added
Maximization
?
(*Lopez: “Arguably ‘Villain #1’ in GM tragedy”/Anon VSE-Spain)

HCare CIO :
“Technology
Executive”
(workin’ in a hospital)
Or/to:
Full-scale,
Accountable
(life or death)
Member-Partner of XYZ
Hospital’s Senior
Healing-Services
Team
(who happens to be a techie)

Was
PSF Transformation: Credit Department/Trek
Is
Credit Dept
Hammer on dealers until they pay
AR sold to 3 rd party commercial co.
23 employees
Oversee peak AR of $70M
Identify risky dealers
Cost Center
No products
Financial Services
Make dealers successful so they
CAN pay
Trek is the commercial financial
Company
12 employees
Oversee peak AR of $160M
Identify opportunities
Profit Center
Products: Consulting, MC/Visa,
Stored value of gift cards, Gift card peripherals, Online payments
Source: John Burke/0330.06

<$20
Source: WSJ

WDCP*:
$150 to remove
“problem beaver”;
$750-
$1,000 for flood-control piping … so that beavers can stay.
*
“Wildlife Damage-control Professional”
Source: WSJ

—Steve Jobs

Your Current Project?
1. Another day’s work/Pays the rent.
4. Of value.
7. Pretty Damn Cool/Definitely
10.
subversive.
WE AIM TO CHANGE THE
WORLD.
(Insane!/Insanely
Great!/WOW!)

“Astonish me!”
(S.D)
.
“Build something great!”
(H.Y.) .
“Make it immortal!”
(D.O.)

— TP

—S.H.

A “position” is not an
“accomplishment.”
—TP

WOW!
Projects:
Nuts & Bolts
(a few)

*Can be Client, supplier … as well as Insider

*Can be Client, supplier … as well as Insider

Where to look for “Playmates”:
F.F.F.F.
(Find a Fellow Freak Faraway)

Forward, march:

Where NOT to look for “Playmates”:
UP

Culture of Prototyping
“ Effective prototyping may be the most valuable core competence an innovative organization can hope to have.”
—Michael Schrage

Starting a

Premise:

“Somewhere in your organization, groups of people are already doing things differently and better. To create lasting change, find these areas of positive deviance and fan the flames.”
—Richard Tanner Pascale & Jerry
Sternin, “Your Company’s Secret Change Agents,” HBR

“Some people look for things that went wrong and try to fix them.
I look for things that went right, and try to build off them.”
—Bob Stone
(Mr ReGo)

Demo = Story
“A key – perhaps the key – to leadership is the effective communication of a story.”
—Howard Gardner, Leading Minds:
An Anatomy of Leadership

REAL Org Change: Demos & Models
(“Model
Installations,” “ReGo Labs”)/ Heroes (mostly extant: “burned to reinvent gov’t”)/ Stories & Storytellers
(Props!)/
Chroniclers
(Writers, Videographers, Pamphleteers, Etc.)/
Cheerleaders & Recognition
(Pos>>Neg, Volume)/
New Language
(Hot/Emotional/WOW)/
Seekers
(networking mania)/
Protectors
/
Support Groups
/
End Runs —“Pull Strategy”
(weird alliances, weird customers, weird suppliers, weird alumnae-JKC)/
Field “Real
People” Focus
(3 COs) (long way away)/
Speed
(O.O.D.A. Loops —act before the “bad guys” can react)
C.f., Bob Stone, Lessons from an Uncivil Servant

JKC
1. Scour for renegades; wine & dine.
2. Go outside for funds.

(AP)

Build a “School on top of a school”/Continuing -
Exec Ed (The Parallel
Universe Strategy)

Stories … Paint me a picture … Story
“infrastructure” … Demos
… Quick prototypes …
Experiments … Heroes …
Renegades … Skunkworks
… Demo Funds … V.C.
… G.M.
… Roster … Portfolio …
Stone’s Rules … JKC’s Rules

Tempo:
*Observe. Orient. Decide. Act. / Col. John Boyd

Subversive Change
Be(very)ware “genetic constraints” (history’s looong arm)
You must “do” Gandhi
Hire weird (fulltime or temp)
Find the extant crazies (troll for them via offers to join weird project teams)
Create a (quiet) “Crazies Club”/Keep extendin’ the Web
Create “boondocks projects” by the truckload (with partners of every flavor)
Understand: Yours is a “protection racket”
Sky High Standards!! (There’s a deadly serious reason for
“all this”—life or death)
TP Heroes: Allan Puckett; Bob Stone; Jill Ker Conway;
Kelly Johnson; John Boyd

Never doubt that a small group of committed people can change the world. Indeed it is the only thing that ever has.”
—Margaret Mead

SP: “But can you turn a ‘defensive player’ into an ‘offensive player’?”
TP: “Yes! Work with him/her to re-frame their principal project to the point that their ego is fully engaged and it becomes something of a ‘life compulsion.’ ” *
* “If you and I had $150K in the bank and on the line and the day before the opening the Fire Inspector …”

EX
AYS