To appreciate
this presentation [and
ensure that it is not a mess], you
need Microsoft fonts:
NOTE:
“Showcard Gothic,”
“Ravie,” “Chiller”
and “Verdana”
Excellence.
Always.
If not Excellence,
what?
If not Excellence
now, when?
Conrad Hilton …
Re-Imagine:
Excellence
NOW
Tom Peters/8 November 2011
[Revised 14 November 2011]
Business Results Group/Johannesburg
(slides @ tompeters.com)
Conrad Hilton, at a gala celebrating his
career, was called to the podium and
“What were the
most important
lessons you learned
in your long and
distinguished
career?” His answer …
asked,
“remember
to tuck the
shower curtain
inside the
bathtub.”
You get ’em in the
door with “location,
location, location”—and
a terrific architect. You
keep ’em coming back
with the tucked in
shower curtain!*
*Profit rarely comes from transaction #1;
it is a byproduct of transaction #2, #3, #4 …
is
“Execution
strategy.”
—Fred Malek
You beat
yourself!
Sports:
“Execution is
the job of the
business
leader.”
—Larry Bossidy & Ram Charan/
Execution: The Discipline of Getting Things Done
“When assessing candidates, the
first thing I looked for was energy
and enthusiasm for execution:
Does she talk about the thrill
of getting things done, the
obstacles overcome, the role
her people played —or does she
keep wandering back to strategy or
philosophy?”
—Larry Bossidy, Execution
WOW!!
Observed closely: The use of
or
“we”
“I”
during a
job interview.
Source: Leonard Berry & Kent Seltman, chapter 6, “Hiring for Values,”
Management Lessons From Mayo Clinic
“The head of one of the large management consulting firms
asks [members of a client organization, ‘And what do you
do that justifies your being on the payroll?’ The great
majority answer, ‘I run the accounting department,’ or ‘I am
in charge of the sales force’ … Only a few say, ‘It’s my job
to give our managers the information they need to make
the right decisions,’ or ‘I am responsible for finding out
what products the customer will want tomorrow.’ The man
who focuses on efforts and stresses his downward
authority is a subordinate no matter how exalted his rank
But the man who focuses on
contributions and who takes
responsibility for results, no matter
how junior, is in the most literal sense
of the phrase, ‘top management.’ He
holds himself responsible for the
performance of the whole.” —Peter Drucker
or title.
“Execution is a
systematic
process
of rigorously
discussing hows and whats,
tenaciously following through, and
ensuring accountability.”
—Larry Bossidy & Ram Charan/ Execution:
The Discipline of Getting Things Done
Operationalizing: It’s Gotta Add up!
(1) sum of Projects =
Goal (“Vision”)
(2) sum of Milestones =
On-time project
(3) rapid Review +
Truth-telling =
accountability
“Realism is
the heart of
execution.”
—Larry Bossidy & Ram Charan/Execution:
The Discipline of Getting Things Done
Does/will the next
presentation you give/
review allot more
time to the process/
details/politics of
“implementing” than
to the “analysis of the
problem/opportunity”?
When The “Enemy” Really Wins
“Lose Your Nemesis”: “Obsessing about your
competitors, trying to match or best their
offerings, spending time each day wanting to
know what they are doing, and/or measuring
your company against them—these activities
have no great or winning outcome. Instead
you are simply prohibiting your company from
finding its own way to be truly meaningful to
its clients, staff and prospects. You block your
company from finding its own identity and
engaging with the people who pay the bills. …
Your competitors have never paid your bills
and they never will.” —Howard Mann, Your Business Brickyard:
Getting Back to the Basics to Make Your Business More Fun to Run*
“Costco figured out the
big, simple things and
executed with total
fanaticism.”
—Charles Munger, Berkshire Hathaway
Excellence in
Execution =
Deepest “Blue
Ocean”
“The score
takes care of
itself.”
—Bill Walsh
People First!
People Second
People Third!
eople Fourth
“Business has to give people enriching,
or it's
simply not
worth
doing.”
rewarding lives …
—Richard Branson
Please re-read
and think long
and hard on
this one!
(Please.)
“Business has to give people enriching,
or it's
simply not
worth
doing.”
rewarding lives …
—Richard Branson
People First!
People Second
People Third!
eople Fourth
“You have to
treat your
employees like
customers.”
—Herb Kelleher,
upon being asked his “secret to success”
Source: Joe Nocera, NYT, “Parting Words of an Airline Pioneer,”
on the occasion of Herb Kelleher’s retirement after 37 years at Southwest
Airlines (SWA’s pilots union took out a full-page ad in USA Today
thanking HK for all he had done) ; across the way in Dallas, American
Airlines’ pilots were picketing AA’s Annual Meeting)
"When I hire
someone, that's
when I go to
work for
them.”
—John DiJulius, "What's the Secret to
Providing a World-class Customer Experience"
"When I hire someone, that's when I
go to work for them.” —John DiJulius
So what
ONE
THING will you to do
TODAY to foster
employees’/an
employee’s growth?
“Employees who
don't feel significant
rarely make
significant
contributions.”
—Mark Sanborn
“Leadership is about how
you make people feel—
about you, about the
project or work you’re
doing together, and
especially about
themselves.” —Betsy Myers,
Take the Lead: Motivate, Inspire, and Bring Out
the Best in Yourself and Everyone Around You
“I didn’t have a ‘mission
statement’ at Burger King. I had
a dream. Very simple. It was
something like, ‘Burger King is
250,000 people, every one of
whom gives a shit.’ Every one.
Accounting. Systems.
Not just the drive through.
Everyone is ‘in the brand.’ That’s
what we’re talking about,
nothing less.” — Barry Gibbons
Amen!
“What creates trust,
in the end, is the
leader’s manifest
respect for
the followers.”
— Jim O’Toole, Leading Change
“We are ladies
and gentlemen
serving ladies and
gentlemen.”
—Horst Schulze (Ritz Carlton Credo)
"If you want staff to
give great service,
give great service to
staff."
—Ari Weinzweig, Zingerman's
If you want to
WOW your
customers then
must first WOW
those who WOW the
customers!
“My
employees
are my #1
Customer.”
Carry it around on a card:
EMPLOYEES FIRST, CUSTOMERS SECOND:
Turning Conventional Management Upside Down
Vineet Nayar/CEO/HCL Technologies
“hostmanship”/
“consideration
renovation”
hostmanship
“The path to a
culture paradoxically does not go through
the guest. In fact it wouldn’t be totally wrong to say that the guest has nothing to
do with it. True hostmanship leaders focus on their employees. What drives
exceptionalism is finding the right people and getting them to love their work and
see it as a passion. ... The guest comes into the picture only when you are ready to
ask, ‘Would you prefer to stay at a hotel where the staff love their work or where
“We went
through the hotel and made a ...
‘consideration renovation.’ Instead of
redoing bathrooms, dining rooms, and
guest rooms, we gave employees new
uniforms, bought flowers and fruit, and
changed colors. Our focus was totally on
management has made customers its highest priority?’”
the staff. They were the ones we wanted
to make happy. We wanted them to wake up every morning excited
about a new day at work.” —Jan Gunnarsson and Olle Blohm, Hostmanship:
The Art of Making People Feel Welcome.
“ … The guest comes into
the picture only when you
are ready to ask, ‘Would you
prefer to stay at a hotel
where the staff love their
work or where management
has made customers its
highest priority?’”
Zabar’s
Parking
Garage*
*Retail Superstars: Inside the 25 Best Independent Stores in America, by George Whalin
List 5 (10?) (2?)
“Zabar’s garage”
equivalents
in your
organization. …
Have you added a
“Zabar’s garage”equivalent in the
last 90 days???
“We are a
‘Life Success’
Company.”
Dave Liniger, founder, RE/MAX
“The organization would
ultimately win not
because it gave agents
more money, but
because it gave them
a chance for better
lives.” —Phil Harkins & Keith Hollihan,
Everybody Wins, on
RE/MAX
By definition, the
manager cannot do all
the work herself.
Hence, effectively, the
manager's sole task is
to make others—one at
a time—successful.
If the manager’s sole task is to
make team members
successful— then what is
your [manager] plan to
make each individual
more successful within
the coming week?
“No matter what the
situation, [the great manager’s] first
response is always to think
about the individual
concerned and how things
can be arranged to help that
individual experience
success.”
—Marcus Buckingham,
The One Thing You Need to Know
“I believe that you
can get everything
in life you want if you
will just help enough
other people get what
they want.” —Zig Ziglar
Brand =
Talent.
Our Mission
To develop and manage talent;
to apply that talent,
throughout the world,
for the benefit of clients;
to do so in partnership;
to do so with profit.
WPP
… no less than
Cathedrals
in which the full and
awesome power of the
Imagination and Spirit and
native Entrepreneurial flair
of diverse individuals is
unleashed in passionate
pursuit of … Excellence.
‘do’
“Leaders
people.
Period.”
—Anon.
Oath of Office: Managers/Servant Leaders
Our goal is to serve our customers brilliantly and profitably over
the long haul.
Serving our customers brilliantly and profitably over the long
haul is a product of brilliantly serving, over the long haul, the
people who serve the customer.
Hence, our job as leaders—the alpha and the omega and
everything in between—is abetting the sustained growth and
success and engagement and enthusiasm and commitment to
Excellence of those, one at a time, who directly or indirectly
serve the ultimate customer.
We—leaders of every stripe—are in the “Human Growth and
Development and Success and Aspiration to Excellence
business.”
“We” [leaders] only grow when “they” [each and every one of our colleagues] are
growing.
“We” [leaders] only succeed when “they” [each and every one of our colleagues]
are succeeding.
“We” [leaders] only energetically march toward Excellence when
“they” [each and every one of our colleagues] are energetically marching
toward Excellence.
Period.
“Tom, you
left out one
thing …”
“Tom, you left out one
Leaders
enjoy
leading!”
thing …
7 Steps to Sustaining Success
You take care of the people.
The people take care of the service.
The service takes care of the customer.
The customer takes care of the profit.
The profit takes care of the re-investment.
The re-investment takes care of the re-invention.
The re-invention takes care of the future.
(And at every step the only measure is EXCELLENCE.)
7 Steps to Sustaining Success
You take care of the people.
The people take care of the service.
The service takes care of the customer.
The customer takes care of the profit.
The profit takes care of the re-investment.
The re-investment takes care of the re-invention.
The re-invention takes care of the future.
(And at every step the only measure is EXCELLENCE.)
Three
People!
“The
ONE Question”: “In the last year [3 years, current job],
three
people
name the …
… whose growth you’ve
most contributed to. Please explain where they were at the
beginning of the year, where they are today, and where they are
heading in the next 12 months. Please explain … in painstaking
detail … your development strategy in each case. Please tell me
your biggest development disappointment—looking back, could you
or would you have done anything differently? Please tell me about
your greatest development triumph—and disaster—in the last five
years. What are the ‘three big things’ you’ve learned about helping
people grow along the way?”
“Unremarkable” except
for RESULTS: Superb
people developer
(her/his folks invariably
amazed at what
they’ve accomplished!)
2/year =
legacy.
Promotion Decisions
“life and
death
decisions”
Source: Peter Drucker, The Practice of Management
“A man should never
be promoted to a
managerial position if his
vision focuses on people’s
weaknesses rather than on
their strengths.” —Peter Drucker,
The Practice of Management
Andrew Carnegie’s Tombstone Inscription …
Here lies a man
Who knew how to enlist
In his service
Better men than himself.
Source: Peter Drucker, The Practice of Management
“The leaders of Great
Groups … love talent
… and know where to find
revel in …
the talent of
others.”
it. They …
—Warren Bennis & Patricia Ward Biederman,
Organizing Genius
From
sweaters to
people!*
Les Wexner:
*Limited Brands founder Les Wexner queried on astounding longterm success—said, in effect, it happened because he got
as excited about developing people as he had been about
predicting fashion trends in his early years
53 = 53
People are not
“Standardized.”
Their evaluations
should not be
standardized. Ever.
Standardized Evaluations?
NFL players?
World Cup team players?
Actors in a theater company?
Dancers in a ballet company?
Etc.
Etc.
“The key difference between checkers and
chess is that in checkers the pieces all move
the same way, whereas in chess all the pieces
Discover what
is unique about each
person and capitalize
on it.”
move differently. …
—Marcus Buckingham, The One Thing You Need to Know
Evaluating people =
#1 differentiator
Source: Jack Welch/Jeff Immelt on GE’s
strategic skill (
!!!!)
#1
“In most companies, the Talent Review Process is a
farce. At GE, Jack Welch and his two top HR people
visit each division for a day. They review the top 20 to
50 people by name. They talk about Talent Pool
The Talent
Review Process is a
contact sport at GE;
it has the intensity and
the importance of the
budget process at most
companies.”
strengthening issues.
—Ed Michaels, War for Talent
70 cents
“Development can help great
but if
I had a dollar to
spend, I’d spend 70
cents getting the
right person in the
door.”
people be even better—
—Paul Russell, Director, Leadership and Development, Google
the
most important
aspect of business
and yet remains woefully
misunderstood.”
“In short, hiring is
Source: Wall Street Journal, 10.29.08,
review of Who: The A Method for Hiring,
Geoff Smart and Randy Street
KEY Idea: Student/Professional
Have you read
any/some
Who: The A
Method for
Hiring????
books like:
“How to throw
$500,000 into
the sea in one
easy lesson!!”
TP:
< CAPEX
> People!
Source: Container Store/Goal: increase average sale per shopper
“C-level”?
Heroism: Training >
Patriotism
Why is intensiveextensive training
obvious for the army &
navy & sports teams &
performing arts
groups--but not for
the average business?
In the Army, 3-star
generals worry about
training. In most
businesses, it's a “ho
hum” mid-level staff
function.
(1) Training merits
“C-level” status!
(2) Top trainers should
be paid a king’s
ransom—and be of
the same caliber as
top marketers or
researchers.
No company ever
Expended too much
thought/Effort/
$$$$ on training!*
*ESPECIALLY … small company
Meanwhile in
Rochester NY …
Wegmans.
Wegmans:
#1
100 Best Companies to Work for/2005
84%: Grocery stores “are all alike”
46%: additional spend if customers have an
“emotional connection” to a grocery store
rather than “are satisfied” (Gallup)
“Going to Wegmans is not just shopping,
it’s an event.” —Christopher Hoyt, grocery consultant
“You cannot separate their
strategy as a retailer from
their strategy as an
employer.”
—Darrell Rigby, Bain & Co.
Luiza Helena,
Magazine
Luiza
4 Words!
four most
important
words in any
“The
organization are …
The four most important words in any organization
are …
“What do
you
think?”
Source: courtesy Dave Wheeler, posted at tompeters.com
“WDYT” =
Certification of me as
a person of
Importance whose
opinion is valued.
Tomorrow: How
many times will you
“ask the WDYT
question”?
[Count ’em!!]
[Practice makes better!] [This is a
STRATEGIC skill!]
Helping
Some Help With Helping …
Help works when the recipient subsequently feels
smarter—not dumber.
Regularly help too soon—and you will set up expectation of
inaction until your "help" is provided.
Help poorly conveyed spawns powerlessness
and resentment in recipient.
Helping requires a sniper's rifle or surgeon's
scalpel—not a shotgun or machete.
Helping strategies vary [significantly] from individual to
individual—leave the “cookie cutter” at home.
Effectively "helping" may be the most difficult
leadership task of all!
"Help" is only truly successful when the recipient
says, and believes: "I did it myself!"
Near truism: Nobody wants help. But we would
all liked to have received help.
Guitarist Robert Fripp: "Don't be helpful. Be available.
Helpful people are a nuisance."
“To be an effective
leader, you have to
first have a desire
and a commitment to
helping people.”
—Harry Rhoads, Co-founder and CEO,
Washington Speakers Bureau
New day.
New Game.
“Things don’t stay the same. You
have to understand that not only
your business situation changes,
but the people you’re working with
aren’t the same day to day.
Someone is sick. Someone is
having a wedding. You must gauge
the mood, the thinking level of the
team that day.” —Coach K [Krzyzewski]
230 workdays
= 230 “rosters”
“What …
Precisely …
Is your goal
for your team
for … today??
2%
/98%
“Be kind, for
everyone you
meet is fighting a
great battle.”
—Philo of Alexandria
2%
/98%
“I believe that it is more
important for a leader to be
trained in psychiatry than
cybernetics. The head of a big
company recently said to me, ‘I
am no longer a Chairman.
I have had to become a
psychiatric nurse.’ Today’s
executive is under pressure
unknown to the last
generation.” —David Ogilvy
Goal/Skill #1:
The “Adaptive”
Organization
There is a lot of talk about “adaptive organizations,” as
there should be. In these perilous and fast-changing
times, adaptivity is arguably Skill/Goal #1—and the bones
of those, old and young, who failed to adapt litter the
landscape.
Books can be and have been and will be written about the
topic. Dozens of ’em. But I want to pound a stake into the
ground. I doubtless wildly over-simplify, but I insist that
there is a one-variable answer to the adaptivity issue—
moreover, treatment of that variable is “the” answer to
this conundrum and it has been with us, unchanged, for
eons. It has been the determining success-fail, life-death
factor for companies and armies alike.
Adaptivity is more or less a 100%
function of the workforce and how it is recruited
and developed and encouraged and
appreciated—or not.
In short:
Enterprise adaptivity a function of more
energy
and spirit and
engagement of
and autonomy
granted to the
workforce.
or less only one thing:
Goal/Skill #1: The “Adaptive” Organization
Adaptive organizations will have workforces which …
*Are hired for attitude and character and proven teamwork as
much or more than for skill
*Are respected and trusted and visibly appreciated and
celebrated
*Are in on pretty much everything in an environment of
information sharing and transparency
*Are trained and re-trained ad infinitum—you can, in effect, never
spend too much time or money on training and re-training
*Treat “learning new stuff”—each and every day —as a near holy
responsibility
*Believe that every one of us and every outsider has something
worthy to teach us
*Are routinely exposed to an “insane” variety of outsiders who
offer constant stimulation and direct challenges to conventional
organizational/marketplace wisdom
*Are given the autonomy (with concomitant accountability) to
and encouragement to “try it,” almost any “it,” at the drop of a
hat—and then try it and try it again and again
Adaptive organizations
will have workforces
which are hired for
attitude and character
and proven teamwork
as much or more than
for skill.
“I can’t tell you how many
times we passed up hotshots
for guys we thought were
better people … and watched our
guys do a lot better than the big
names, not just in the classroom, but
on the field—and, naturally, after they
graduated, too. Again and again, the
blue chips faded out, and our little upand-comers clawed their way to allconference and All-America teams.”
—Bo Schembechler (and John Bacon), “Recruit for
Character,” Bo’s Lasting Lessons
Goal/Skill #1: The “Adaptive” Organization (cont.)
Adaptive organizations will have workforces which …
*Are guaranteed that “useful failures” are cheered rather than
jeered
*Are bound by a creed that shouts “good enough is never good
enough”
*Are all “dreamers with deadlines,” committed to pursuit of the
novel and disruptive—and equally committed to flawless and
timely execution
*Laugh a lot at themselves and their foibles and pratfalls
*Are, while civil to a fault, irreverent about damn near anything
other than integrity and decency
*Are responsible for each other’s mentoring and growth
*Believe that their role—each and everyone—is to serve, to serve
each other and to serve each member of our family of
organizations (vendors, customers, communities, etc)
*Are diverse to a fault—not legalistically diverse, but from every
background imaginable
*Are insistent that each and every one is treated as an utterly
indispensable member of the team—there are no bit players
*Relentlessly pursue no less than EXCELLENCE in all we do, in
tough times even more than in times of economic good health
The Memories
That Matter.
The Memories That Matter
The people you developed who went on to
stellar accomplishments inside or outside
the company.
The (no more than) two or three people you developed who went on to
create stellar institutions of their own.
The long shots (people with “a certain something”) you bet on who
surprised themselves—and your peers.
The people of all stripes who 2/5/10/20 years
later say “You made a difference in my life,”
“Your belief in me changed everything.”
The sort of/character of people you hired in general. (And the bad
apples you chucked out despite some stellar traits.)
A handful of projects (a half dozen at most) you doggedly pursued that
still make you smile and which fundamentally changed the way
things are done inside or outside the company/industry.
The supercharged camaraderie of a handful of Great Teams aiming to
“change the world.”
The Memories That Matter
Belly laughs at some of the stupid-insane things you and your mates
tried.
Less than a closet full of “I should have …”
A frighteningly consistent record of having
invariably said, “Go for it!”
Not intervening in the face of considerable loss—recognizing that to
develop top talent means tolerating failures and allowing the
person who screwed up to work their own way through and out of
their self-created mess.
Dealing with one or more crises with particular/memorable aplomb.
CIVILITY
Demanding …
… regardless of circumstances.
Turning around one or two or so truly dreadful situations—and
watching almost everyone involved rise to the occasion (often to
their own surprise) and acquire a renewed sense of purpose in the
process.
Leaving something behind of demonstrable-lasting worth. (On short as
well as long assignments.)
The Memories That Matter
Having almost always (99% of the time) put “Quality” and “Excellence”
ahead of “Quantity.” (At times an unpopular approach.)
A few “critical” instances where you stopped short and could have
“done more”—but to have done so would have compromised your and
your team’s character and integrity.
A sense of time well and honorably spent.
The expression of “simple” human kindness and consideration—no
matter how harried you may be/may have been.
Understood that your demeanor/expression of character always set
the tone—especially in difficult situations.
Never (rarely) let your external expression of enthusiasm/
determination flag—the rougher the times, the more your expressed
energy and bedrock optimism and sense of humor showed.
The respect of your peers.
A stoic unwillingness to badmouth others—even in private.
The Memories That Matter
An invariant creed: When something goes amiss, “The buck stops with
me”; when something goes right, it was their doing, not yours.
A Mandela-like “naïve” belief that others will
rise to the occasion if given the opportunity.
A reputation for eschewing the “trappings of power.” (Strong selfmanagement of tendencies toward arrogance or dismissiveness.)
Intense, even “driven” … but not to the point of being careless of others
in the process of forging ahead.
Willing time and again to be surprised by ways of doing things that are
inconsistent with your “certain hypotheses.”
Humility in the face of others, at every level,
who know more than you about “the way
things really are.”
Bit your tongue on a thousand occasions—and listened, really
really listened. (And been constantly delighted when, as a result, you
invariably learned something new and invariably increased your
connection with the speaker.)
The Memories That Matter
Unalloyed pleasure in being informed of the fallaciousness of your
beliefs by someone 15 years your junior and several rungs below you
on the hierarchical ladder.
Selflessness. (A sterling reputation as “a guy always willing to help out
with alacrity despite personal cost.”)
As thoughtful and respectful, or more so, toward thine “enemies” as
toward friends and supporters.
Always and relentlessly put at the top of your list/any
list being first and foremost “of service” to your
internal and external constituents. (Employees/Peers/
Customers/Vendors/Community.)
Treated the term “servant leadership” as holy writ. (And “preached”
“servant leadership” to others—new “non-managerial” hire or old
pro, age 18 or 48.)
The Memories That Matter
Created the sort of workplaces you’d like your kids to
inhabit. (Explicitly conscious of this “Would I want my
kids to work here?” litmus test.)
A “certifiable” “nut” about quality and safety and integrity. (More or
less regardless of any costs.)
A notable few circumstances where you resigned rather than
compromise your bedrock beliefs.
Perfectionism just short of the paralyzing variety.
A self- and relentlessly enforced group standard of
“EXCELLENCE-in-all-we-do”/“EXCELLENCE in our
behavior toward one another.”
Joe J. Jones
1942 – 2010
Net Worth
$21,543,672.48
Not.
People First!
People Second
People Third!
eople Fourth
Re-Imagine:
Excellence
NOW
Tom Peters/8 November 2011
[Revised 14 November 2011]
Business Results Group/Johannesburg
(slides @ tompeters.com)
Service/
Character/
Excellence/
Immoderation
Service
Organizations
exist to serve.
Period.
Leaders live to
serve. Period.
Be of Service.
Always.
Service is a
beautiful word.
NOT ... "Wow service"
or "raving fans“
or "experience."
"Just" ... SERVICE
Character
“Character is more crucial now
than ever, because in times of
great uncertainty past
performance is no indicator of
future performance. Experience
falls away and all you’re left
with is character.” —David Rothkopf, founder
of a firm that helps chief executives manage risks
“It is not enough for an agency to
be respected for its professional
competence. Indeed, there isn’t much
to choose between the competence
of big agencies.
“What so often makes the difference is
the character of the men and women who
represent the agency at the top level,
with clients and the business community.
“If they are respected as admirable
people, the agency gets business—
whether from present clients or
prospective ones.” —David Ogilvy
“Managers have lost dignity over the
past decade in the face of wide spread
institutional breakdown of trust and
self-policing in business. To regain
society’s trust, we believe that business
leaders must embrace a way of looking
at their role that goes beyond their
responsibility to the shareholders to
include a civic and personal
commitment to their duty as
institutional custodians. In other
words, it is time that management
became a profession.” —Rakesh Khurana & Nitin Nohria,
“It’s Time To Make Management a True Profession,” HBR/10.08
“At a party …
“At a party given by a billionaire
on Shelter Island, Kurt Vonnegut
informs his pal, Joseph Heller,
that their host, a hedge fund
manager, had made more money
in a single day than Heller had
earned from his wildly popular
novel Catch-22 over its whole
history. Heller responds …
“At a party given by a billionaire on Shelter Island, Kurt Vonnegut
informs his pal, Joseph Heller … that their host, a hedge fund
manager, had made more money in a single day than Heller had
earned from his wildly popular novel Catch-22 over its whole
‘Yes, but I
have something
he will never
have …
history. Heller responds …
Source: John Bogle, Enough. The Measures of Money, Business, and
Life (Bogle is founder of the Vanguard Mutual Fund Group)
At a party given by a billionaire on Shelter Island, Kurt
Vonnegut informs his pal, Joseph Heller … that their
host, a hedge fund manager, had made more money in a
single day than Heller had earned from his wildly
popular novel Catch-22 over its whole history. Heller
responds … Yes, but I have something he will never have
…
enough.
Source: John Bogle, Enough. The Measures of Money, Business, and
Life (Bogle is founder of the Vanguard Mutual Fund Group)
“Too Much Cost, Not Enough Value”
“Too Much Speculation, Not Enough
Investment”
“Too Much Complexity, Not Enough Simplicity”
“Too Much Counting, Not Enough Trust”
“Too Much Business Conduct, Not Enough
Professional Conduct”
“Too Much Salesmanship, Not Enough
Stewardship”
“Too Much Focus on Things, Not Enough Focus
on Commitment”
“Too Many Twenty-first Century Values, Not
Enough Eighteenth-Century Values”
“Too Much ‘Success,’ Not Enough Character”
Source: Chapter titles from Jack Bogle, Enough.
Excellence
Why in the
World did you
go to Siberia?
An emotional,
vital, innovative, joyful,
creative, entrepreneurial
endeavor that elicits maximum
Enterprise* (*at its best):
concerted human
potential in the
wholehearted
pursuit of EXCELLENCE in
service of others.**
**Employees, Customers, Suppliers, Communities, Owners, Temporary partners
Excellence1982: The Bedrock “Eight Basics”
1.
2.
3.
4.
5.
6.
7.
8.
A Bias for Action
Close to the Customer
Autonomy and Entrepreneurship
Productivity Through People
Hands On, Value-Driven
Stick to the Knitting
Simple Form, Lean Staff
Simultaneous Loose-Tight
Properties”
“Breakthrough” 82*
People!
Customers!
Action!
Values!
*In Search of Excellence
Hard is Soft.
Soft is Hard.
“The first step is to measure what
can easily be measured. This is okay
as far as it goes. The second step is
to disregard that which cannot be
measured, or give it an arbitrary
quantitative value. This is artificial
and misleading. The third step is
to presume that what cannot be
measured is not very important.
This is blindness. The fourth step is
to say that what cannot be measured
does not really exist. This is suicide.”
—Daniel Yankelovich (from Enough!, by Jack Bogle)
EXCELLENCE is not
an "aspiration.”
EXCELLENCE is …
THE NEXT FIVE
MINUTES.
EXCELLENCE is not an "aspiration."
EXCELLENCE is … THE NEXT FIVE MINUTES.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
EXCELLENCE
Or not.
is your next conversation.
is your next meeting.
is shutting up and listening—really listening.
is your next customer contact.
is saying “Thank you” for something “small.”
is the next time you shoulder responsibility and apologize.
is waaay over-reacting to a screw-up.
is the flowers you brought to work today.
is lending a hand to an “outsider” who’s fallen behind schedule.
is bothering to learn the way folks in finance [or IS or HR] think.
is waaay “over”-preparing for a 3-minute presentation.
is turning “insignificant” tasks into models of … EXCELLENCE.
EXCELLENCE
is … THE
NEXT FIVE
MINUTES.
Or not.
EXCELLENCE is
a personal
choice … not
an institutional
choice!
Immoderation
Kevin Roberts’ Credo
1. Ready. Fire! Aim.
2.
3.
4.
5.
6.
7.
8.
9.
If it ain’t broke ... Break it!
Hire crazies.
Ask dumb questions.
Pursue failure.
Lead, follow ... or get out of the way!
Spread confusion.
Ditch your office.
Read odd stuff.
10.
Avoid moderation!
Highlights
EXCELLENCE.
Now.
EXCELLENCE.
Always.
EXCELLENCE. Now. EXCELLENCE. Always.
1. People first, second, third, fourth … /The “business”
of leaders is people: to inspire/engage/provide a
trajectory of opportunity—enterprise of every size
and type as “cathedral” for human development.
"When I hire someone, that's when I go to work for
them.” —John DiJulius
1A. Customer comes 2nd/ If you want to best “Wow!”
customers then you must first Wow! those who serve
the customers./"If you want staff to give great
service, give great service to staff.”—Ari Weinzweig,
Zingerman's/ “You have to treat your employees like
customers.” —Herb Kelleher, on his #1 “secret to
success.”
1B. Manager’s sole raison d’etre: Make each of my team
members successful!
1C. Effective organizations: No bit players!
People First!
People Second
People Third!
eople Fourth
EXCELLENCE. Now. EXCELLENCE. Always.
1D. Appreciation. Acknowledgement. “The deepest
human need is the need to be appreciated.” —
Believe it! A few kind words are often remembered
for years!
1E. 1st line supervisors. Every organization’s … most
important … leadership cadre. Productivity is largely
determined by the caliber of the 1st line boss.
Selection and development of your “sergeants” must
become an “obsession”—almost all do a half-assed
job.
1F. Weird/ There are no “normals” in the history
books!/Insure a healthy supply of oddballs/Diversity of
every flavor = Fresh perspectives! Better decisions!
1G. Memories That Matter. And don’t./ “People stuff”
sticks with you: You’ll look back on the handful of
people you developed who proceeded to change the
world—and the multitude (if you’ve earned it) who
say, “I grew most when I worked with you.” Ever seen
a tombstone engraved with the deceased’s net worth?
EXCELLENCE. Now. EXCELLENCE. Always.
2. You/me: Businesses no longer coddle. You’re in
charge!/ “Brand you” —stand out for something
valuable, or else; learn something new every day, or
else!/“Distinct or Extinct!”
3. Organizations Exist to Serve. PERIOD.
4. EXECUTION/ “Don’t forget to tuck the shower curtain
into the bath tub.” —Conrad Hilton on
his “sweat the details” obsession and #1 “success
secret”/ “Execution is strategy.”
—Fred Malek/ “Execution is the leader’s job #1.”—Larry
Bossidy
4A. “They do … ONE BIG THING at a time.” —Drucker on
successful managers’ #1 trait.
4B. Resilience circa 2011: Understand it. Hire for it.
Promote for it. Obsess on it.
EXCELLENCE. Now. EXCELLENCE. Always.
5. MBWA/Managing By Wandering Around/ Starbucks’
Schultz visits 25 stores a week/ “In touch” is “not
optional”/You = Your calendar/Calendars never lie!
5A. Listening per se = Candidate for Core Value #1/
Listening per se is a profession./“If you don’t listen,
you don’t sell anything.”/Docs interrupt patients after
… 18 seconds. And you?
5B. “What do you think?” “How can I help?” —MBWA
8/Eight words, repeated like a mantra while
“wandering around,” that unlock engagement/
success for multitudes.
5C. Innovate by “Hanging out” /“You are what you
eat.”/ “You will become like the five people you
associate with the most —a blessing or a curse.”/
Want “cool”? Expose yourself to cool! /Manage
“hanging out” zealously-formally —with customers,
interesting outsiders, etc.
EXCELLENCE. Now. EXCELLENCE. Always.
5D. K = R = P (Kindness = Repeat business = Profit.)
“Hard is soft. Soft is hard.” —#1 finding In Search of
Excellence. Kindness is “hard”—and pay off in $$$$.
5E. Apology Power—Awesome power: 3-minute “I’m
sorry” call heals anything—do it religiously!/”Overthe-top” response to even small booboo strengthens
customer relationships!
EXCELLENCE. Now. EXCELLENCE. Always.
6. “Little BIG Things”/Focus on “multipliers”: Wal*Mart
goes to big shopping cart = +50% “big stuff” sales
boost!/“Wash your Hands” —save thousands of lives
P.A. in hospitals!
6A. “Little BIG Things”: SMEs bedrock of all economies.
Nurture them. SME’s battle cry
per George Whalin: “Be the best. It’s the only market
that’s not crowded.”
7. Apple > Exxon in market cap courtesy … DESIGN! /The
big “Duh”: “Cool beats un- cool!”/Design candidate for
“best way to differentiate goods-services in
competitive markets.”
7A. TGRs/Things Gone Right. Wagon Wheel restaurant,
Gill MA—clean restroom with fresh flowers.—we
remember such touches more or less forever/
Manage-measure TGRs.
7B. Scintillating Experiences. Howard Schultz on
Starbucks: “At our core, we’re a coffee
company, but the opportunity we have to extend the
brand is beyond coffee; it’s entertainment.”
EXCELLENCE. Now. EXCELLENCE. Always.
8. WOMEN Buy! WOMEN Rule! WOMEN’s World! Women buy
80% of everything—$28T world market/“Why Warren
Buffett Invests Like a Girl”—e.g., studies harder-holds
longer-less frenzied buying and selling/Women’s
leadership style fits 21st century less-hierarchical
enterprise./Evidence clear— Women well on the way to
21st century economic domination! Brazil’s President
Dilma Rousseff at UN: “the century of women.”
9. Web-Social Media/ “Everyone becomes our valued
partner, a member of our community—and
watchdog”/The Power of Co-creation —my “Top Biz
Book for 2010”/SM can be lynchpin of transformative
strategy—for organizations of every shape and size!
10. Value added via transformation from “Customer
satisfaction” to “ customer success” —huge differenceopportunity! /E.g., IBM Global Services, from
afterthought to $60B/UPS Logistics/MasterCard
Advisors/ IDEO, help clients create “culture of
innovation”/“The Geek Squad”—Best Buy's #1 strategic
point of differentiation.
EXCELLENCE. Now. EXCELLENCE. Always.
11. Innovation “secret” #1: “Most tries wins.” / “A Bias for
Action”—excellence trait #1, In Search of Excellence
/“Ready. Fire! Aim.” —Ross Perot//“Instead of trying to
figure out the best way to do something and sticking
to it, just try out an approach and keep fixing it.”
—Bert Rutan
11A. Try a lot = Fail a lot /“Fail. Forward. Fast.”/ “Fail
faster, succeed sooner”—David Kelley /“Reward
excellent failures, punish mediocre successes”/
Whoever Makes the Most Mistakes Wins —Richard
Farson
11B. “You miss 100% of the shots you never take.”
—Wayne Gretzky
EXCELLENCE. Now. EXCELLENCE. Always.
12. Live WOW!/Zappos creed … “WOW Customers”/
eBay 14,000 employees, Amazon 20,000
employees, Craig’s List 30 employees; regardless of
issue, Where’s your “Wild and Wooly Craig’s
List Option”?/ Final point in superstar adman Kevin
Roberts’ Credo: “Avoid moderation!”
13. EXCELLENCE is a personal choice … not an
institutional choice!
EXCELLENCE is not an “aspiration” —it’s the next five
minutes!
13A. EXCELLENCE. Always. If not EXCELLENCE, What?
If not EXCELLENCE Now, When?
EXCELLENCE is a
personal choice
… not an
institutional choice!
EXCELLENCE is not
an “aspiration” —it’s
the next five minutes!
Four [really]
First things
Before First
Things …
If the regimental commander lost most of his
2nd lieutenants and 1st lieutenants and captains
If he
lost his sergeants it
would be a
catastrophe. The Army and the
and majors, it would be a tragedy.
Navy are fully aware that success on the
battlefield is dependent to an extraordinary
degree on its Sergeants and Chief Petty
Officers. Does industry have the same
awareness?
“In great armies, the
job of generals is to
back up their
sergeants.”
—COL Tom Wilhelm, from Robert Kaplan,
“The Man Who Would Be Khan,” The Atlantic
The
sergeants
run the
army. Period.
#1
cause of
employee
Dis-satisfaction?
Employee retention & satisfaction & productivity:
Overwhelmingly
based on the
first-line
manager!
Source: Marcus Buckingham & Curt Coffman, First, Break All the Rules:
What the World’s Greatest Managers Do Differently
TEN “Obvious” Questions Concerning Your First-line Supervisors
5. Do you have the ... ABSOLUTE BEST TRAINING &
CONTINUING DEVELOPMENT PROGRAMS IN THE INDUSTRY
(or some subset thereof) … for first-line supervisors?
6. Do you formally and rigorously ... mentor ... first-line
supervisors?
7. Are you willing, pain notwithstanding, to ... leave a first-line
supervisor slot open ... until you can fill the slot with
somebody spectacular? (And are you willing to use some word
“spectacular”
like ...
... in judging applicants for
the job?)
8. Is it possible that … promotion decisions … for first-line
supervisors are as, or even more, important than promotion
decisions for the likes of VP slots? (Hint: Yes.)
9. Do you consider and evaluate the quality of your …
set/CADRE ….
full
of first-line supervisors?
10. Are your first-line supervisors accorded the respect that
the power of their position merits?
TEN “Obvious” Questions Concerning Your First-line Supervisors
1. Are you, Big Boss, a ... formal student … of first-line
supervisor behavioral excellence?* (*Yes, this sort of thing can
be formally studied.)
2. Do you absolutely understand and act upon the fact that the
first-line boss is the … KEY LEADERSHIP ROLE …
in the organization? Technical mastery is important—but
secondary.
3. Does HR single out first-line supervisors individually and
collectively for tracking purposes and special/“over the top”
developmental attention?
4. Do you spend gobs and gobs (and then more and more gobs
and gobs) of time ... selecting … the first-line supervisors? Are
your selection criteria consistent with the enormity of the
impact that first-line bosses will subsequently have?
Do you absolutely
understand and act
upon the fact that the
first-line boss is the …
KEY LEADERSHIP
ROLE … in the
organization?
“People leave
managers not
companies.”
—Dave Wheeler
E.g.: Do you have the ...
ABSOLUTE BEST
TRAINING &
DEVELOPMENT
PROGRAMS
IN THE INDUSTRY ...
(or some subset thereof)
for first-line supervisors?
I am sure you “spend time”
on this. My question: Is it an
OBSESSION
…
…worthy of the impact it has
on enterprise performance?
Suggested addition to your statement of Core
“We are obsessed with
developing a cadre of 1st line
managers that is second to
none—we understand that this
cadre per se is arguably one of
our top two or three most
important ‘Strategic Assets.’”
Values:
STRIKING
A NERVE …
18-month report:
XFX = #1*
*Cross-Functional eXcellence
explicitly &
visibly &
relentlessly
manage to XFX
standard!
Lunch!
Never
waste a
lunch!
“Personal relationships
are the fertile soil from
which all advancement,
all success, all
achievement in real
life grow.” —Ben Stein
“Allied commands depend on
mutual confidence
and this confidence is
gained, above all
development
of friendships.”
through the
—General D.D. Eisenhower, Armchair General*
*“Perhaps his most outstanding ability [at West Point]
he made friends and earned
the trust of fellow cadets who came from
widely varied backgrounds; it was a quality that would pay
was the ease with which
great dividends during his future coalition command.”
% XF
lunches*
*
Measure!
Monthly! Part of
evaluation! [The PAs Club.]
XFX: Social
accelerators …
XFX/Typical Social Accelerators
1. EVERYONE’s [more or less] JOB #1: Make friends in other
functions! (Purposefully. Consistently. Measurably.)
2. “Do lunch” with people in other functions!! Frequently!!
(Minimum 10% to 25% for everyone? Measured.)
3. Ask peers in other functions for references so you can
become conversant in their world. (It’s one helluva sign of ...
GIVE-A-DAMN-ism.)
4. Religiously invite counterparts in other functions to your
team meetings. Ask them to present “cool stuff” from “their
world” to your group. (Useful. Mark of respect.)
5. PROACTIVELY SEEK EXAMPLES OF “TINY” ACTS OF “XFX”
TO ACKNOWLEDGE—PRIVATELY AND PUBLICALLY. (Bosses:
ONCE A DAY … make a short call or visit or send an email of
“Thanks” for some sort of XFX gesture by your folks and some
other function’s folks.)
6. Present counterparts in other functions awards for service
to your group. Tiny awards at least weekly; and an “Annual AllStar Supporters [from other groups] Banquet” modeled after
superstar salesperson banquets.
Present counterparts in other
functions recognition/awards for
service to your group: Tiny
awards at least weekly. An
“Annual All-Star Supporters
[from other groups] Banquet”
modeled after [and equivalent
to!] superstar salesperson
banquets.
XFX/ Typical Social Accelerators
7. Routinely discuss—A SEPARATE AGENDA ITEM—good and
problematic acts of cross-functional co-operation at every
Team Meeting.
8. When someone in another function asks for assistance,
respond with … more … alacrity than you would if it were the
person in the cubicle next to yours—or even more than you
would for a key external customer. (Remember, XFX is the key
to Customer Retention which is in turn the key to “all good
things.”)
9. Do not bad mouth ... “the damned accountants,” “the bloody
HR guy.” Ever. (Bosses: Severe penalties for this—including
public tongue-lashings.)
10. Get physical! “Co-location” may well be the most powerful
“culture change lever.” Physical X-functional proximity is
almost a … guarantee … of remarkably improved cooperation—to aid this one needs flexible workspaces that can
be mobilized for a team in a flash.
11. Establish “adhocracy” as S.O.P. To improve the new “Xfunctional Culture” (and business results), little XF teams
should be formed on the spot to deal with an urgent issue—
they may live for but ten days, but it helps the XF habit,
making it normal to be “working the XF way.”
The subtext of many,
if not all, of these ideas
is moving from implicit
to explicit focus on
XFX—it should noisily
intrude into [literally]
every discussion!
XFX/ Typical Social Accelerators
12. Early project “management” experience. Within days, literally,
of coming aboard folks should be “running” some bit of a bit of a
bit a project, working with folks from other functions—hence, “all
this” becomes as natural as breathing.
13. Work proactively to give as large as possible numbers of
people temporary assignments in other functions—especially
Finance.
14. “Get ’em out with the customer.” Rarely does the accountant
or bench scientist call on the customer. Reverse that. Give
everyone more or less regular “customer-facing experiences.”
She or he learns quickly that the customer is not interested in
our in-house turf battles!
15. Consider creating a special role, or even position. Specialty
chemical company Buckman Labs established “knowledge
transfer facilitators,” effectively former “middle managers,” with
100% of discretionary pay based on success at spurring
integration across previously impermeable barriers.
XFX/: Typical Social Accelerators
16. Formal evaluations. Everyone, starting with the receptionist,
should have a significant XF rating component in their
evaluation. (The “XFX Performance” should be among the Top 3
items in all managers’ evaluations.)
17. Every functional unit should have strict and extensive
measures of “customer satisfaction” based on evaluations from
other functions of its usefulness and effectiveness and valueadded to the enterprise as a whole.
18. Demand XF experience for, especially, senior jobs. For
example, the U.S. military requires all would-be generals and
admirals to have served a full tour in a job whose only goals
were cross-functional achievements.
19. “Deep dip.” Dive three levels down in the organization to fill a
senior role with some one who has been noticeably pro-active on
adding value via excellent cross-functional integration.
20. XFX is … PERSONAL … as well as about organizational
effectiveness. PXFX [Personal XFX] is arguably the #1
Accelerant to personal success—in terms of organizational
career, freelancer/Brand You, or as entrepreneur.
Excellence!
21.
There is a “State of XF Excellence” per
se. Talk it up constantly. Pursue it. Aspire to nothing less.
Everyone,
starting with the
receptionist, should have a
significant XFX rating
component in their
evaluation. (The “XFX
Performance” should be
among the Top 3 items in all
managers’ evaluations.)
Formal evaluations.
Promote into
functional leadership
positions based
primarily on …
temperament.
ALL HAIL …
THOSE
WHO
HELP!
GIVE THE “OTHER
GUYS” THE CREDIT
FOR EVERY-DAMNTHING AS A MATTER
OF COURSE— NEVER
EVER FORGET THIS.
More than “performance
evaluation/award”
More than “team accomplishment
evaluation/award.”
Rather: Specific and frequent and
VISIBLE recognition to
INDIVIDUALS who have helped
INDIVIDUALS in other functions—
or, for that matter, our own group.
E.g. BIG VISIBLE RECOGNITION
for specific acts, small acts more
than large acts, of selflessly
helping others per se.
THEY ALL GOTTA SEE THE
ONE WHO SACRIFICED
TO HELP SOMEONE
GET IMMEDIATE FEEDBACKKUDOS. (PERHAPS MORE
RECOGNITION THAN THE
“PRINCIPAL” “DOER.”)
“You’re
spending too
much time
with your
customers!”
[bill-paying]
C(I)>C(E)
“Success doesn’t depend on the number of
people you know; it depends on the number
high places!”
of people you know in
or
“Success doesn’t depend on the number of
people you know; it depends on the number
of people you know in
‘low’
places!”
Loser:
“He’s such a
suck-up!”
Winner:
“He’s such a
suck-down.”
“Suck down
for
success!”
If you can make
someone junior to
you look good to
their boss—you
will have made a
supporter for life!
C(I) > C(E)
(1) “Unfair”
“internal market
share”! (2) Have your
whole organization
zealously working to
make you successful!
Goal/s:
Case:
Healthcare
"When I was in medical school, I
spent hundreds of hours looking
into a microscope—a skill I never
needed to know or ever use. Yet
I didn't have a single class that
taught me communication or
teamwork skills—something I
need every day I walk into the
hospital.” —Peter Pronovost, Safe Patients, Smart Hospitals
William Mayo, 1910, on the Clinic’s
Two Core Values:
Patient-centered care
Team medicine
(“medicine as a cooperative science”)
Source: Leonard Berry & Kent Seltman, “Orchestrating the Clues of Quality,” Chapter 7 from
Management Lessons From Mayo Clinic
“Teamwork
isn’t
optional.”
—Fast Company
on the Mayo Clinic, from Leonard Berry & Kent Seltman, , “Practicing Team Medicine,”
Chapter 3 from Management Lessons From Mayo Clinic
“Competency is
irrelevant if we don’t
share common
values.”
—Mayo Clinic exec, from Leonard Berry & Kent Seltman,
“Orchestrating the Clues of Quality,” Chapter 7 from Management Lessons From Mayo Clinic
hundreds of
times better here
“I am
[than
because of
the support system. It’s like
you were working in an
organism; you are not a
single cell when you are out
there practicing.’”
in my prior hospital assignment]
—quote from Dr. Nina Schwenk, in
Chapter 3, “Practicing Team Medicine,” from Leonard Berry & Kent Seltman,
from Management Lessons From Mayo Clinic
XFX.
#1.
NOW.
one damn
Act of XFX
Enhancement
every day!
THE WHOLE POINT HERE IS THAT
“XFX” IS
ALMOST CERTAINLY THE #1 OPPORTUNITY
FOR STRATEGIC DIFFERENTIATION. WHILE
MANY WOULD LIKELY AGREE, IN OUR
MOMENT-TO-MOMENT AFFAIRS, XFX PER SE IS
NOT SO OFTEN VISIBLY & PERPETUALLY AT
THE TOP OF EVERY AGENDA. I ARGUE HERE
FOR NO LESS THAN …
VISIBLE.
CONSTANT.
OBSESSION.
Suggested addition to your statement of Core
“We will not rest until
seamless cross-functional
integration/communication
has become our primary
source of value-added.
EXCELLENCE in crossfunctional integration shall
become a daily operational
passion for 100% of us.”
Values:
“The doctor
interrupts
after …*
*Source: Jerome Groopman, How Doctors Think
18 …
seconds!
[An obsession with] Listening is ... the ultimate mark
of
Listening
Listening
Listening
Listening
Listening
Listening
Listening
is
is
is
is
is
is
is
...
...
...
...
...
...
...
Listening
Listening
Listening
Listening
is
is
is
is
...
...
...
...
the heart and soul of Engagement.
the heart and soul of Kindness.
the heart and soul of Thoughtfulness.
the basis for true Collaboration.
the basis for true Partnership.
a Team Sport.
a Developable Individual Skill.* (*Though women
are far better at it than men.)
the basis for Community.
the bedrock of Joint Ventures that work.
the bedrock of Joint Ventures that grow.
the core of effective Cross-functional
Communication* (*Which is in turn Attribute #1 of
organizational effectiveness.)
[cont.]
Respect
.
“I wasn’t bowled over by [David Boies]
intelligence … What impressed me was
that when he asked a question, he waited
He not only
listened … he made me feel
like I was the only person
in the room.”
for an answer.
—Lawyer _____, on his first,
inadvertent meeting with renown attorney David Boies, from Marshall
Goldsmith, “The One Skill That Separates,” Fast Company
“It was much later that I realized
Dad’s secret. He gained respect by
giving it. He talked and listened to
the fourth-grade kids in Spring Valley
who shined shoes the same way he
talked and listened to a bishop or a
He was
seriously interested in
who you were and what
you had to say.”
college president.
—Sara Lawrence-Lightfoot, Respect
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
Listening
is
is
is
is
is
is
is
is
is
is
is
is
is
is
is
is
is
...
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EXECUTION
the engine of superior
.
the key to making the Sale.
the key to Keeping the Customer’s Business.
Service.
the engine of Network development.
the engine of Network maintenance.
the engine of Network expansion.
Social Networking’s “secret weapon.”
Learning.
the sine qua non of Renewal.
the sine qua non of Creativity.
the sine qua non of Innovation.
the core of taking diverse opinions aboard.
Strategy.
Source #1 of “Value-added.”
Differentiator #1.
Profitable.* (*The “R.O.I.” from listening is higher than
from any other single activity.)
Listening is … the bedrock which underpins a Commitment to
EXCELLENCE
“It’s amazing how this
seemingly small thing—
simply paying fierce
attention to another, really
asking, really listening,
even during a brief
conversation—can evoke
such a wholehearted
response.”
Fierce Conversations:
—Susan Scott,
Achieving Success at Work and in Life, One Conversation at a Time
“Aggressive
listening”
Best Listeners Win …
“if you don’t
listen, you don’t
sell anything.”
—Carolyn Marland
**8 of 10 sales
presentations fail
**50% failed sales
presentations … talking
“at” before listening!
—Susan Scott, “Let Silence Do the Heavy Listening,” chapter title,
Fierce Conversations: Achieving Success at Work and in Life,
One Conversation at a Time
Listen = “Profession”
= Study = practice =
evaluation =
Enterprise value
Is there a full-bore
training course in
100%
"Listening" for
of employees, CEO
to temps? If not, There
[damn well] ought to be.
“Fierce conversations
often do take time.
The problem is,
anything else takes
longer.”
—Susan Scott, Fierce Conversations:
Achieving Success at Work and in Life, One Conversation at a Time
Is there a full-bore
training course in
100%
"Listening" for
of employees, CEO
to temps? If not, There
[damn well] ought to be.
Suggested addition to your statement of Core
“We are Effective
Listeners—we treat
Listening EXCELLENCE as
the Centerpiece of our
Commitment to Respect
and Engagement and
Community and Growth.”
Values:
Bitch all you
want, but
meetings
are what you
[boss] do!
Meetings = #1
leadership
opportunity
#1 thing bosses
do. Therefore, 100% of
Meetings are
those meetings:
EXCELLENCE.
ENTHUSIASM.
ENGAGEMENT.
LEARNING. TEMPO.
Every meeting that
does not stir the imagination
and curiosity of attendees and
increase bonding and cooperation and engagement
and sense of worth and
motivate rapid action and
enhance enthusiasm is a
permanently lost opportunity.
Meeting:
FYI: This is … not
… a rant about
“conducting
better meetings.”
Meeting = Theater
Prepare for a
meeting/every meeting
as if your professional
life and legacy
depended on it.
It does.
Prep! Prep!! Prep!!!
Meetings.
Phone calls.
Emails.
Conversations.
MBWA
“I’m always stopping by our
at least 25
a week. I’m also in other
stores—
places: Home Depot, Whole Foods,
Crate & Barrel. … I try to be
a sponge to pick up as much
as I can. …” —Howard Schultz
Source: Fortune, “Secrets of Greatness”
3K/5M
Source: Mark McCormack
3,000 miles for
a 5-minute
face-to
-face meeting
Even when
times are tight
… don’t short
change travel!
MBWA
Managing By Wandering Around/HP
MIA: Origins of Our Financial Chaos …
The CEO of a very successful
mid-sized bank, in the Midwest,
attended a seminar of mine in
northern California in the mid’80s—but I remember the
following, pretty much word for
word, as if it were yesterday …
MIA: Origins of Our Financial Chaos …
“Tom, let me tell you the
definition of a good lending
officer. After church on Sunday,
on the way home with his
family, he takes a little detour
to drive by the factory he just
lent money to. Doesn’t go in or
any such thing, just drives by
and takes a look.”
MBWA 8
MBWA 12
MBWA 8:
Change the World With EIGHT Words
What do you think?*
How can I help?**
*Dave Wheeler: “What are the four most important words in the boss’ lexicon?”
**Boss as CHRO/Chief Hurdle Removal Officer **********************************
MBWA 12:
Change the World
With TWELVE Words
What do you think?*
How can I help?**
What have you learned?***
*Dave Wheeler: “What are the four most important words in the boss’ lexicon?”
**Boss as CHRO/Chief Hurdle Removal Officer **********************************
***What [new thing] have you learned [in the last 24 hours]? ********************* *
You = Your
calendar
You = Your
calendar*
*The calendar
never
lies.
Your calendar
knows Precisely
what you
really care about.
Do you????
“Dennis, you need a …
‘To-don’t ’
List !”
Don’t >
Do*
* “Don’ting” must be systematic >
WILLPOWER
“The one thing you need
to know about
sustained individual
success: Discover what
you don’t like doing and
stop
doing it.”
—Marcus Buckingham, The One Thing You Need to Know
one
“If there is any
‘secret’
to effectiveness, it is
concentration. Effective
executives do first things first
and they do
one thing at a
time.”
…
—Peter Drucker
“It’s always
showtime.”
—
“You must
be
the change you
wish to see in the
world.”
Gandhi
“It is necessary
for the President
to be the
nation’s No. 1
actor.”
FDR
“It’s always
showtime.”
—David D’Alessandro, Career Warfare
“I am a
dispenser of
enthusiasm.”
—Ben Zander
“Nothing is so
contagious as
enthusiasm.”
—Samuel Taylor Coleridge
“The leader must have
infectious optimism. …
The final test of a leader
is the feeling you have
when you leave his
presence after a
conference. Have you a
feeling of uplift and
confidence?”
—Field Marshall Bernard Montgomery
“A leader is
a dealer in
hope.”
—Napoleon
Be explicit!
Hire for it!
Promote for it!
“Make it fun to work at your
agency. … Encourage
Get rid
of sad dogs
who spread
doom.”
exuberance.
—David Ogilvy
“A man
without a
smiling face
must not open
a shop.”
—Chinese Proverb
Monday/Tomorrow/Courtesy NFL:
“Script” your
first 5-10
“plays.” (I.e., carefully
launch the day/week in a
purposeful fashion.)
Me first!
“To develop
others, start with
yourself.”
—Marshall Goldsmith
“Being aware of
yourself and how you
affect everyone around
you is what
distinguishes a superior
leader.” —Edie Seashore (Strategy +
Business #45)
“Leadership is self-knowledge.
Successful leaders are those who are
conscious about their behavior and
the impact it has on the people
around them. They are willing to
examine what behaviors of their own
may be getting in the way. … The
toughest person you will ever lead is
yourself. We can’t effectively lead
others unless we can lead ourselves.”
—Betsy Myers, Take the Lead: Motivate, Inspire, and Bring
Out the Best in Yourself and Everyone Around You
“How can a high-level leader like _____ be so out
of touch with the truth about himself? It’s more
common than you would imagine. In fact, the
higher up the ladder a leader climbs,
the less accurate his self-assessment is
likely to be. The problem is an acute lack of
feedback [especially on people issues].”
—Daniel Goleman (et al.), The New Leaders
"Everyone thinks
of changing the
world, but no one
thinks of changing
himself"
- Leo Tolstoy
"You will never change
your life until you change
something you do daily.
The secret of your
success is found in your
daily routine." -- John C. Maxwell
The “Have
you …” 50
“Mapping your
competitive
position”
or …
A pal wrote a Harvard Business Review cover
article titled “Mapping Your Competitive
Position.” He’s a fine fellow whose work I
unstintingly admire—and have frequently
endorsed without reservation. But for some
reason (the financial crisis?) the title got to
me when I chanced upon it in an airport
magazine shop.
So I wrote the list that follows.
Instead of that abstract “mapping” project,
have you …
1. Have you in the
last 10 days …
visited a customer?
2. Have you called a
customer …
TODAY ?
1. Have you … in the last 10 days … visited a
customer?
2. Have you called a customer … TODAY?
3. Have you in the last 60-90 days … had a seminar in which several folks from the customer’s
operation (different levels, different functions, different divisions) interacted, via facilitator, with
various of your folks?
4. Have you thanked a front-line employee for a
small act of helpfulness … in the last three
days?
5. Have you thanked a front-line employee for a small act of helpfulness …
last three hours?
in the
6. Have you thanked a front-line employee for carrying around a great attitude … today?
7. Have you in the last week recognized—publicly—one of your folks for a small act of crossfunctional co-operation?
8. Have you in the last week recognized—publicly—one of “their” folks (another function) for a
small act of cross-functional co-operation?
9. Have you invited in the last month a leader of another function to your weekly team priorities
meeting?
10. Have you personally in the last week-month called-visited an internal or external customer to
sort out, inquire, or apologize for some little or big thing that went awry? (No reason for doing
so? If true—in your mind—then you’re more out of touch than I dared imagine.)
11. Have you in the last two days had a chat with someone (a couple of levels down?) about specific deadlines
concerning a project’s next steps?
12. Have you in the last two days had a chat with someone (a couple of levels down?) about specific deadlines
concerning a project’s next steps … and what specifically you can do to remove a hurdle? (“Ninety percent of
what we call management consists of making it difficult for people to get things done.”—Peter “His eminence”
Drucker.)
13. Have you celebrated in the last week a “small” (or large!) milestone reached? (I.e., are you a milestone
fanatic?)
14. Have you in the last week or month revised some estimate in the “wrong” direction and apologized for making
a lousy estimate? (Somehow you must publicly reward the telling of difficult truths.)
15. Have you installed in your tenure a very
comprehensive customer satisfaction scheme for
all internal customers? (With major consequences for hitting or missing the mark.)
16. Have you in the last six months had a week-long, visible, very intensive visit-“tour” of external customers?
17. Have you in the last 60 days called an abrupt halt to a meeting and “ordered” everyone to get out of the office,
and “into the field” and in the next eight hours, after asking those involved, fixed (f-i-x-e-d!) a nagging “small”
problem through practical action?
18. Have you in the last week had a rather thorough discussion of a “cool design thing” someone has come
across—away from your industry or function—at a Web site, in a product or its packaging?
19. Have you in the last two weeks had an informal meeting—at least an hour long—with a front-line employee to
discuss things we do right, things we do wrong, what it would take to meet your mid- to long-term aspirations?
20. Have you had in the last 60 days had a general meeting to discuss “things we do wrong” … that we can fix in
the next fourteen days?
21. Have you had in the last year a one-day, intense offsite with each (?) of your
internal customers—followed by a big celebration of “things gone right”?
22. Have you in the last week pushed someone to do some family thing that you fear
might be overwhelmed by deadline pressure?
23. Have you learned the names of the children of everyone who reports to you? (If
not, you have six months to fix it.)
24. Have you taken in the last month an interesting-weird outsider to lunch?
25. Have you in the last month invited an interesting-weird outsider to sit in on an
important meeting?
26. Have you in the last three days discussed something interesting, beyond your
industry, that you ran across in a meeting, reading, etc?
27. Have you in the last 24 hours injected into a meeting “I ran across this interesting
idea in [strange place]”?
28. Have you in the last two weeks asked someone to report on something, anything
that constitutes an act of brilliant service rendered in a “trivial” situation—restaurant,
car wash, etc? (And then discussed the relevance to your work.)
29. Have you … in the last 30 days … examined
in detail (hour by hour) your calendar to evaluate the
degree “time actually spent” mirrors your “espoused
priorities”? (And repeated this exercise with everyone on
team.)
30. Have you in the last two months had a presentation to the group by a “weird”
outsider?
31. Have you in the last two months had a presentation to the group by a customer,
internal customer, vendor featuring “working folks” 3 or 4 levels down in the vendor
organization?
32. Have you in the last two months had a presentation to the group of a cool,
beyond-our-industry ideas by two of your folks?
33. Have you at every meeting today (and forever more) re-directed the conversation
to the practicalities of implementation concerning some issue before the group?
34. Have you at every meeting today (and forever more) had an end-of-meeting
discussion on “action items to be dealt with in the next 4, 48 hours”? (And then
made this list public—and followed up in 48 hours.) And made sure everyone has at
least one such item.)
35. Have you had a discussion in the last six months about what it would take to get
recognition in local-national poll of “best places to work”?
36. Have you in the last month approved a cool-different training course for one
of your folks?
37. Have
you … in the last month … taught a front-line
training course?
38. Have you in the last week discussed the idea of Excellence? (What it means, how
to get there.)
39. Have you in the last week discussed the idea of “Wow”? (What it means, how
to inject it into an ongoing “routine” project.)
40. Have you in the last 45 days assessed some major process in terms of the
details of the “experience,” as well as results, it provides to its external or internal
customers?
41. Have you in the last month had one of your folks attend a meeting you were supposed to go
to which gives them unusual exposure to senior folks?
42. Have you in the last 60 (30?) days sat with a trusted friend or “coach” to discuss your
“management style”—and its long- and short-term impact on the group?
43. Have you … in the last three days … considered a
professional relationship that was a little rocky and made
a call to the person involved to discuss issues and
smooth the waters? (Taking the “blame,” fully deserved
or not, for letting the thing-issue fester.)
44. Have you in the last … two hours … stopped by someone’s (two-levels “down") officeworkspace for 5 minutes to ask “What do you think?” about an issue that arose at a more or
less just completed meeting? (And then stuck around for 10 or so minutes to listen—and
visibly taken notes.)
45. Have you … in the last day … looked around you to assess whether the diversity pretty
accurately maps the diversity of the market being served? (And …)
46. Have you in the last day at some meeting gone out of your way to make sure that a normally
reticent person was engaged in a conversation—and then thanked him or her, perhaps
privately, for their contribution?
47. Have you during your tenure instituted very public (visible) presentations of performance?
48. Have you in the last four months had a session specifically aimed at checking on the
“corporate culture” and the degree we are true to it—with all presentations by relatively junior
folks, including front-line folks? (And with a determined effort to keep the conversation
restricted to “real world” “small” cases—not theory.)
49. Have you in the last six months talked about the Internal Brand Promise?
50. Have you in the last year had a full-day off site to talk about individual (and group)
aspirations?
Get started on 2 or 3 of
these …
TODAY.
Perhaps [you and/or
your group] pick off 1 or
2 a week?
The Recession 44:
Forty-four “Secrets”
and “clever Strategies”
For dealing
Progressively with the
Great Recession of 2007++
In 2007-2009, I was constantly
asked for “strategies/
‘secrets'
for surviving the
Great Recession.” I tried to appear
wise and informed—and parade
original, sophisticated thoughts.
But if you want to know what’ was
really going through my head, see
the list that follows …
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2007++
You come in earlier.
You leave later.
You work harder.
You may well work for less; and, if so, you
adapt to the untoward circumstances with a
smile—even if it kills you inside.
You volunteer to do more.
You dig deep and always bring a good attitude
to work.
You fake it if your good attitude flags.
You literally practice your "game face" in the
mirror in the morning, and in the loo
mid-morning.
You give new meaning to the idea and intensive
practice of “visible management.”
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2008-XXXX
You take better than usual care of yourself and
encourage others to do the same—physical
well-being determines mental well-being and
response to stress.
You shrug off shit that flows downhill in your
direction—buy a shovel or a “pre-worn”
raincoat on eBay.
You try to forget about “the good old days”—
nostalgia is self-destructive.
You buck yourself up with the thought that
“this too shall pass”—but then remind yourself
that it might not pass any time soon, and so
you re-dedicate yourself to making the
absolute best of what you have now.
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2008-XXXX
You work the phones and then work the
phones some more—and stay in touch with
positively everyone.
You frequently invent breaks from routine,
including “weird” ones—“changeups” prevent
wallowing and bring a fresh perspective.
You eschew all forms of personal excess.
You simplify.
You sweat the details as never before.
You sweat the details as never before.
You sweat the details as never before.
You raise to the sky and maintain at all
costs the Standards of Excellence by which
you unfailingly evaluate your own performance.
You are maniacal when it comes to responding
to even the slightest screw-up.
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2008-XXXX
You find ways to be around young people and
to keep young people around—they are less
likely to be members of the “sky is falling”
school.
You learn new tricks of your trade.
You remind yourself that this is not just
something to be “gotten through”—it is the
Final Exam of character.
You network like a demon.
You network inside the company—get to know
more of the folks who “do the real work.”
You network outside the company—get to
know more of the folks who “do the real
work” in vendor-customer outfits.
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2008-XXXX
You thank others by the truckload if good
things happen—and take the heat yourself if
bad things happen.
You behave kindly, but you don't sugarcoat or
hide the truth--humans are startlingly
resilient and rumors are the real killers.
You treat small successes as if they were
Super Bowl victories—and celebrate and
commend accordingly.
You shrug off the losses (ignoring what's going
on in your tummy), and get back on the
horse and immediately try again.
You avoid negative people to the extent you
can—pollution kills.
You eventually read the gloom-sprayers the
riot act.
44 “Secrets” and “Clever Strategies” For
Dealing with the Recession of 2008-XXXX
You give new meaning to the word "thoughtful.“
You don’t put limits on the flowers budget—
“bright and colorful” works marvels.
You redouble, re-triple your efforts to "walk in
your customer's shoes." (Especially if the
shoes smell.)
You mind your manners—and accept others’
lack of manners in the face of their strains.
You are kind to all mankind.
You keep your shoes shined.
You leave the blame game at the office door.
You call out the congenital politicians in no
uncertain terms.
You become a paragon of personal accountability.
And then you pray.
No peacetime generals in
the history books: You
will be measured by what
you accomplish during
tough times. (And
remembered by how
you accomplished it.)
K=R=P
“Courtesies of a small and
trivial character are the
ones which strike
deepest in the grateful
and appreciating heart.”
—Henry Clay,
American Statesman (1777-1852)
"Let's not forget
that small
emotions are the
great captains of
our lives."
–—Van Gogh
“Kindness
Is Free.”
139,380 former
patients from 225 hospitals:
Press Ganey Assoc:
none
of THE top 15 factors
determining Patient Satisfaction
referred to patient’s health outcome.
Instead: directly related to Staff
Interaction; directly correlated with
Employee Satisfaction
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
“There is a misconception that supportive interactions require
more staff or more time and are therefore more costly.
Although labor costs are a substantial part of any hospital
budget, the interactions themselves add nothing to the
Kindness is
free.
budget.
Listening to patients or answering
their questions costs nothing. It can be argued that negative
interactions—alienating patients, being non-responsive to
their needs or limiting their sense of control—can be very
costly. … Angry, frustrated or frightened patients may be
combative, withdrawn and less cooperative—requiring far
more time than it would have taken to interact with them
initially in a positive way.”
Source: Putting Patients First, Susan Frampton,
Laura Gilpin, Patrick Charmel
(Griffin Hospital/Derby CT; Plantree Alliance)
K=R=P
Kindness =
Repeat Business =
Profit.
K = R = P/Kindness = Repeat business = Profit
Kindness:
Kind.
Thoughtful.
Decent.
Caring.
Attentive.
Engaged.
Listens well/obsessively.
Appreciative.
Open.
Visible.
Honest.
Responsive.
On time all the time.
Apologizes with dispatch for screw-ups.
“Over”-reacts to screw-ups of any magnitude.
“Professional” in all dealings.
Optimistic.
Understands that kindness to staff breeds kindness to others/outsiders.
Applies throughout the “supply chain.”
Applies to 100% of customer’s staff.
Explicit part of values statement.
Basis for evaluation of 100% of our staff.
Kindness … WORKS!
Kindness … PAYS!
Acknowledgement/
Appreciation/
“Thank you!”
“The deepest
human need is
the need to be
appreciated.”
William James
"Appreciative words are
the most powerful force
for good on earth.”
—George W. Crane, physician, columnist
“The two most powerful
things in existence:
a kind word and a
thoughtful gesture.”
—Ken Langone, co-founder, Home Depot
A good friend scored a
big win yesterday—
her "target" was feeling
un-acknowledged; by
“merely” “showing up,”
she, in effect,
acknowledged that
person.
“Acknowledge” …
perhaps the most
powerful word (and
idea) in the English
language—and
manager’s tool kit!
Acknowledge and appreciate
and succeed. (That's all,
folks. No kidding.)
Boil it down, and all we want
is to be acknowledged. Get
that, routinely offer such
acknowledgement—and you
couldn't fail if you tried.
“Employees
who don't feel
significant rarely
make significant
contributions.”
Repeat:
—Mark Sanborn
Tomorrow: How many
times will you mange to
blurt out, “Thank you”?
[Count ’em!]
[Practice makes better!] [This is a STRATEGIC skill!]
R.I.P.* (or A.I.P.**):
Minimum …
5 per day
*RECOGNITION Investment Plan
**ACKNOWLEDGEMENT Investment Plan
“We look for ...
listening, caring,
smiling, saying
‘Thank you,’ being
warm.”
— Colleen Barrett, former President, Southwest Airlines
Responsiveness/
Apology/
“I’m sorry!”
“I regard apologizing as the
most magical, healing,
restorative gesture human
beings can make. It is the
centerpiece of my
work with executives who
want to get better.”
—Marshall Goldsmith, What Got You Here Won’t Get You There:
How Successful People Become Even More Successful.
With a new and forthcoming policy on
apologies … Toro, the lawn mower folks,
reduced the average cost of settling a
$115,000 in 1991 to
$35,000 in 2008 … and the
claim from
company hasn’t been
to trial in the last
15 years!
“Keep a short enemies
list. One enemy can do
more damage than the
good done by a
hundred friends.”
—Bill Walsh (from The Score Takes Care of Itself)
Relationships
(of all varieties):
THERE
ONCE WAS A TIME WHEN A
THREE-MINUTE
PHONE CALL WOULD
HAVE AVOIDED SETTING OFF THE
DOWNWARD SPIRAL THAT RESULTED
IN A COMPLETE RUPTURE.*
*divorce, loss of a BILLION $$$ aircraft sale, etc., etc.
The completed “three-minute
call” often-usually-invariably
leads to a strengthening
of the relationship. It not only
acts as atonement but also
paves the path for a “better
than ever” trajectory. And
having taken the initiative per
se is worth its weight in …
MAKE THE
DAMN CALL.
THE PROBLEM IS
RARELY/NEVER THE
PROBLEM. THE
RESPONSE TO THE
PROBLEM INVARIABLY
ENDS UP BEING THE
REAL PROBLEM.*
*PERCEPTION IS ALL THERE IS!
Comeback
[big, quick response]
>>
Perfection
Acquire vs. maintain:
5X*
*Hence: Service >> Sales (!!)
“Will you guys
please come up
front. Will you
guys please move
to the rear.”
—TP
Service >
Sales
R.O.I.R.
Return On
Investment In
Relationships
R.O.I.R.
>>
R.O.I.
“The capacity to develop close and
enduring relationships is the mark
of a leader. Unfortunately, many
leaders of major companies believe
their job is to create the strategy,
organization structure and
organizational processes—then they
just delegate the work to be done,
remaining aloof from the people
doing the work.” —Bill George,
Authentic Leadership
What …
PRECISELY … is
this week’s
Relationship
Investment
Plan?????
Track & Manage …
your investments in
relationships/your
relationships portfolio
as closely as you
would track &
manage budget
numbers.
TGRs/
LBTs
Customers describing their
service experience as
“superior”:
8%
Companies describing
the service experience they
provide as
“superior”:
80%
—Source: Bain & Company survey of 362 companies, reported in John DiJulius,
What's the Secret to Providing a World-class Customer Experience?
2,000,000
7X.
7:30A-8:00P.
F12A.
7:30AM = 7:15AM.
8:00PM = 8:15PM.
Conveyance: Kingfisher Air
Location: Approach to New Delhi
“May I
clean your
glasses,
sir?”
“Let me
help you
down the
jetway.”
BEGINS
(and ENDS)
It
in the …
parking
lot*
*Disney
Carl’s
StreetSweeper
FLOWER
POWER*
*Thanks, Stanley Marcus!
With the help of Stanley Marcus (Neiman
Marcus), superstar car dealer Carl Sewell
created a showroom with no cars—but superb
floral arrangements.
The idea is first and foremost to get the
prospect to engage with “the Sewell family”
approach to car ownership.
(FYI:
Flowers
always “work”!)
<TGW
and …
>TGR
[Things Gone WRONG-Things Gone RIGHT]
TGRs.
Manage ’em.
Measure ’em.*
*I use “manage-measure” a lot. Translation: These are
not “soft” ideas; they are exceedingly important things
that can be managed—AND measured.
“Experiences are
as distinct
from services
as services are
from goods.”
—Joe Pine & Jim Gilmore, The Experience Economy:
Work Is Theatre & Every Business a Stage
“At our core, we’re a
coffee company, but the
opportunity we have to
extend the brand is
it’s
entertainment.”
beyond coffee;
—Howard Schultz (“The Starbucks Aesthetic,” NYT)
C
*Chief e
O*
Xperience Officer
First Step (?):
Hire a …
theater
director
Words!
— Magician of Magical Moments
— Maestro of Moments of Truth
— Recruiter of Raving Fans
— Impresario of First Impressions
—Chief of Last Impressions
— Wizard of WOW!
— Captain of Brilliant Comebacks
— Director of Electronic Customer Experiences
— Conductor of Customer Intimacy
— King of Customer Community
— Queen of Customer Retention
— CEO of Ownership Experience
— Managing Director of After-sales Experience
Little =
“If God spoke to me by
saying, ‘Mark, you’re down
to your last three words:
What would you want to say
to your fellow humans that
would make the most
positive impact?’ It would
be a close call between
Love Thy Neighbor and …
“
If God spoke to me by saying, ‘Mark, you’re down to your last three words: What
would you want to say to your fellow humans that would make the most positive
impact?’ It would be a close call between Love Thy Neighbor and …
Wash
Your
Hands!”
—Mark Pettus, M.D., The Savvy Patient
DVT/Socks =
10,000 Lives!
Big carts =
Source: Walmart
120-oz container to ketchup-bottle size
laundry-detergent concentrate (100%
conversion): 1/4th packaging; 1/4th
weight; 1/4th cost to ship; 1/4th
space on ships, trucks, shelves. 3
years: 95M #s plastic resin saved,
125M #s cardboard conserved,
400M less gallons of water
shipped, 500K gallons less diesel
fuel, 11M less #s CO2 released)
Source: Force of Nature: The Unlikely Story of Walmart’s
Green Revolution, Edward Humes
(1) Half-day/Generate
25 ideas
(2) One week/5 experiments
(3) One month/Select best 2
(4) 60-90 days/Roll out
Design!
Design Rules!
APPLE market cap
> Exxon Mobil*
*August 2011
“Design is everything.
Everything is design.”
“We are all designers.”
Inspiration: The Power of Design: A Force for
Transforming Everything, Richard Farson
“Only one company
can be the cheapest.
All others must use
design.”
—Rodney Fitch, Fitch & Co.
Source: Insights, definitions of design, the Design Council [UK]
“Designers are people who think with
their hearts.” —James, age 10
I would like to be a designer because you could
make things that would help people.” —Jade, age 10
“If there was no design, there would be nothing
to do, and nothing would progress or get better.
The world would fall apart.” —Anna, age 11
“My favourite design is the Nike ‘tick’ because I
t makes me feel confident—even though I am
not so good at sports.” —Raoul, age 11
Source: Insights, definitions of Design, the Design Council [UK]
“Design is
treated like
a religion at
BMW.”* —Fortune
*APPLE market cap > Exxon Mobil (August 2011)
All Equal Except …
“At Sony we assume that all
products of our competitors
have basically the same
technology, price, performance
Design is the
only thing that
differentiates one
product from another in
the marketplace.” —Norio Ohga
and features.
“We don’t have a good language to talk
about this kind of thing. In most people’s
vocabularies, design means veneer. …
But to me, nothing could be further from
Design is
the fundamental
soul of a man-made
creation.”
the meaning of design.
—Steve Jobs
“With its carefully conceived mix of colors and textures,
Starbucks
aromas and music,
is more
indicative of our era than the iMac. It is to the Age of
Aesthetics what McDonald’s was to the Age of
Convenience or Ford was to the Age of Mass
Production—the touchstone success story, the exemplar
‘Every
Starbucks store is carefully
designed to enhance the quality
of everything the customers see,
touch, hear, smell or taste,’ writes
of … the aesthetic imperative. …
CEO Howard Schultz.”
—Virginia Postrel, The Substance of Style: How the Rise of Aesthetic
Value Is Remaking Commerce, Culture and Consciousness
“Packages
… are
about containing and labeling and
informing and celebrating. They
are about power and flattery and
trying to win people’s trust. They
are about beauty and
craftsmanship and comfort. They
are about color, protection,
survival.” –Thomas Hine, The Total Package
Charles Handy: “One bank is currently claiming to …
‘leverage its global
footprint to provide
effective financial solutions
for its customers by
providing a gateway to
diverse markets.’”
“I assume that it is just saying that it
‘help its
customers
wherever they
are’.”
is there to …
—Charles Handy
“I make all the launch teams
tell me what the magazine’s
five words
or less. You can’t
about in
run alongside millions of
consumers and explain what
you mean. It forces some
discipline on you.”
—Ann Moore, CEO, Time Inc., on new mags
Hypothesis:
DESIGN is
the principal
difference
love
and hate!*
between
*Not “like” and “dislike”
Design is …
never
neutral.
O*
C
*Chief
Design
Officer
“Businesspeople don’t
need to ‘understand
designers better.’
Businesspeople need
to be designers.”
—Roger Martin/Dean/Rotman Management School/University of Toronto
Design is …
*The reception area
*The loo
*Dialogues at the call center
*Every electronic [or paper] form
*Every business process “map”
*Every email
*Every meeting agenda/setting/etc.
*Every square meter of every facility
*Every new product proposal
*Every manual
*Every customer contact
*A consideration in every promotion decision
*The presence and ubiquity of an “Aesthetic sensibility”/
“Design mindfulness”
*An encompassing “design review” process
*Etc.
*Etc.
Design As Governmental Competitiveness Strategy
New Zealand
(“Better By Design”)
Korea
Vermont
Hypothesis: Men
cannot
design for women’s
!!??
needs
… this will be
the woman’s
century …
“I speak to you with a feminine
voice. It’s the voice of democracy,
of equality. I am certain, ladies
and gentlemen, that this will be
the woman’s century. In the
Portuguese language, words
such as life, soul, and hope are
of the feminine gender, as are
other words like courage and
sincerity.” —President Dilma Rousseff of Brazil,
1st woman to keynote the United Nations General Assembly
“Forget China, India
and the Internet:
Economic Growth Is
Driven by
Women.”
Source: Headline, Economist
“Forget China, India and the
Internet: Economic Growth Is Driven
by Women.” [Headline.] “Even today in the modern,
developed world, surveys show that parents still prefer to have
a boy rather than a girl. One longstanding reason boys have
been seen as a greater blessing has been that they are expected
to become better economic providers for their parents’ old age.
Yet it is time for parents to think again. Girls may now be a better
investment. Girls get better grades in school than boys, and in
most developed countries more women than men go to
university. Women will thus be better equipped for the new jobs
of the 21st century, in which brains count a lot more than brawn .
“… And women are more likely to provide sound advice on
investing their parents’ nest egg—e.g.: surveys show that
women consistently achieve higher financial returns than men
do. Furthermore, the increase in female employment in the rich
world has been the main driving force of growth in the last
couple of decades. Those women have contributed more to global
GDP growth than have either new technology or the
new giants, India and China.”
Source: Economist, April 15, Leader, page 14
“Since 1970, women
have held two
out of every
three new jobs
created.”
—FT/2006
“The increased number of women in the working
population compensates for the negative demographic
effects of an ageing population and lower birth rates.
The same trend is now also visible in emerging
Southeast Asia’s economic
success is due primarily to women,
who hold two-thirds of the jobs in
the export industry, the region’s
most dynamic sector.”
countries.
Source: “Women Are Drivers of Global Growth,” Aude Zieseniss de Thuin, founder
and president of the Women’s Forum for the Economy and Society (FT)
“One thing is certain: Women’s rise to power, which is
linked to the increase in wealth per capita, is happening
in all domains and at all levels of society. Women are no
longer content to provide efficient labor or to be
consumers with rising budgets and more autonomy to
spend. … This is just the beginning. The phenomenon
will only grow as girls prove to be more successful than
For a number of
observers, we have already
entered the age of
‘womenomics,’ the economy as
thought out and practiced
by a woman.”
boys in the school system.
—Aude Zieseniss de Thuin, Women’s Forum for the Economy and Society
“Goldman Sachs in Tokyo has
developed an index of 115
companies poised to benefit
from women’s increased
purchasing power; over the
past decade the value of shares
in Goldman’s basket has risen by
96%, against the Tokyo
stockmarket’s
rise of 13%.” —Economist
WOMEN
Are The
Market
W = 28T > 2(C + I)
W = 28T > 2(C + I)*
*Women = $28 trillion > twice China + India combined
W>
2X (C + I)*
*“Women now drive the global economy. Globally, they control about $20
trillion in consumer spending, and that figure could climb as high as
$28 trillion in the next five
years
. Their $13 trillion in total yearly earnings could reach $18
trillion in the same period.
In aggregate, women represent a growth market bigger than China and
India combined—more than twice as big in fact. Given those numbers, it would be foolish to ignore or underestimate
the female consumer. And yet many companies do just that—even ones that are confidant that they have a winning
strategy when it comes to women. Consider Dell’s …”
Source: Michael Silverstein and Kate Sayre, “The Female Economy,” HBR, 09.09
“Women are
the majority
market”
—Fara Warner/The Power of the Purse
Women as Decision Makers/Various sources
Home Furnishings … 94%
Vacations … 92% (Adventure Travel … 70%/ $55B travel equipment)
Houses … 91%
D.I.Y. (major “home projects”) … 80%
Consumer Electronics … 51% (66% home computers)
Cars … 68% (influence 90%)
All consumer purchases …
83% *
Bank Account … 89%
Household investment decisions … 67%
Small business loans/biz starts … 70%
Health Care …
80%
*In the USA women hold >50% managerial positions including >50% purchasing officer
positions; hence women also make the majority of commercial purchasing decisions.
most significant
variable in every
“The
sales situation is the
gender
of the buyer, and
more importantly, how the
salesperson communicates
to the buyer’s gender.”
—Jeffery Tobias Halter, Selling to Men, Selling to Women
Sales/Aftersales Process
1.
2.
3.
4.
5.
Kick-off – women
Research – women
Purchase – men
Ownership – women
Word-of-mouth – women
Source: Marti Barletta
The Perfect Answer
Jill and Jack buy
slacks in black…
Cases! Cases! Cases!
McDonald’s
(“mom-centered” to F as
“majority consumer”; not via kids)
Home Depot (“Do it [everything!] Herself”)
P&G (more than F as “house cleaner”)
DeBeers (“right-hand rings”/$4B)
AXA Financial
Kodak (women = “emotional centers of the household”)
Nike
(> jock endorsements; new def sports; majority consumer)
Avon
Bratz (young girls want “friends,” not a blond stereotype)
Source: Fara
Warner/The Power of the Purse
“We simply had
stopped being
relevant to women.”
—Kay Napier, SVP Marketing, McDonald’s (Fara Warner, The
Power of the Purse, “From Minority to Majority: McDonald’s
Discovers the Woman Inside the Mom”)
“Women [in women-only focus groups]
told us that all moms are
women, but not all women
are moms—so why weren’t
we trying to reach all
women? We realized we
should be finding the woman
inside the mom.” —Carol Koepke,
marketing director, McDonald’s (Fara Warner, The Power of
the Purse, “From Minority to Majority: McDonald’s
Discovers the Woman Inside the Mom”)
Lowe’s
“Home Depot is still very much a guy’s
chain. But women, according to Lowe’s
research, initiate 80 percent of all
home-improvement purchase decisions—
especially the big ticket orders
like kitchen cabinets, flooring and
bathrooms. ‘We focused on a customer
nobody in home improvement has focused
Don’t get me wrong, but
women are far more
discriminating than men,’ says
on.
CEO Robert Tillman.”
—Forbes.com
“Women don’t ‘buy’
They
‘join’ them.”
brands.
—Faith Popcorn, EVEolution
Selling to men:
The
TRANSACTION Model
Selling to Women:
The
RELATIONAL Model
Source: Selling to Men, Selling to Women, Jeffery Tobias Halter
Men: Individual perspective.
“Core unit is ‘me.’ ”
Pride in self-reliance.
Women: Group perspective.
“Core unit is ‘we.’ ” Pride in
team accomplishment.
Source: Martha Barletta, Marketing to Women
Purchasing Patterns
Harder to convince;
more loyal once convinced.
Women:
Men:
Snap decision; fickle.
Source: Martha Barletta, Marketing to Women
2.6 vs.
WOMEN
RULE!
… this will be
the woman’s
century …
“Headline 2020:
Women Hold
80 Percent of
Management and
Professional Jobs”
Source: The Extreme Future: The Top Trends That Will
Reshape the World in the Next 20 Years, James Canton
“AS LEADERS,
WOMEN
RULE:
New Studies find that
female managers outshine their male
counterparts in almost every measure”
TITLE/ Special Report/ BusinessWeek
Women’s Strengths Match New
Economy Imperatives: Link [rather than
rank] workers; favor interactivecollaborative leadership style
[empowerment beats top-down decision
making]; sustain fruitful collaborations;
comfortable with sharing information; see
redistribution of power as victory, not
surrender; favor multi-dimensional feedback;
value technical & interpersonal skills,
individual & group contributions equally;
readily accept ambiguity; honor intuition as
well as pure “rationality”; inherently
flexible; appreciate cultural diversity.
Source: Judy B. Rosener, America’s Competitive Secret: Women Managers
Women’s Negotiating Strengths
*Ability to put themselves in their
counterparties’ shoes
*Comprehensive, attentive and detailed
communication style
*Empathy that facilitates trust-building
*Curious and attentive listening
*Less competitive attitude
*Strong sense of fairness and ability to persuade
*Proactive risk manager
*Collaborative decision-making
Source: Horacio Falcao, Cover story/May 2006, World Business, “Say It
Like a Woman: Why the 21st-century negotiator will need the female touch”
!!!!!!!!!!!!!!!
14 168*
to
*Leadership Positions/D&T/1992-2002/WIAR
(Women’s Initiative Annual Report)
“Women Beat
Men at Art of
Investing”
Source: Headline, Miami Herald, reporting on a study by Profs. Terrance Odean and
(Cause: Guys are “in and out” of
stocks more often; women choose carefully
and hold on for the long term)
Brad Barber, UC Davis
Warren Buffett
Invests Like a Girl:
And Why You
Should Too
—Louann Lofton,
Portrait of a Female Investor
1. Trade less than men do
2. Exhibit less overconfidence—more likely to know
what they don’t know
3. Shun risk more than male investors do
4. Less optimistic, more realistic than their male
counterparts
5. Put in more time and effort researching possible
investments—consider details and alternate points
of view
6. More immune to peer pressure—tend to make
decisions the same way regardless of who’s watching
7. Learn from their mistakes
8. Have less testosterone than men do, making them
less willing to take extreme risks, which, in turn,
could lead to less extreme market cycles
Warren Buffett Invests Like a Girl: And Why You
Should Too, Louann Lofton, Chapter 2, “The Science Behind the Girl”
Source:
“Power Women 100”/Forbes 10.25.10
26 female CEOs of Public Companies:
Vs. Men/Market:
+28% *
(*Post-appointment)
Vs. Industry:
+15%
“The growth and
success of womenowned businesses is
one of the most
profound changes
taking place in the
business world
today.” —
Margaret Heffernan, How She Does It
*Women
*Women
*Women
*Women
*Women
decide.
save.
spend.
start businesses.
rule.
*Women
*Women
*Women
*Women
*Women
decide
save
spend
start businesses
rule
*In the developed world
*In the developing world
[Developing = Growing middle class]
*The trend is accelerating
Girl
Power!
“Investment in girls’
education may well be
the highest-return
investment available
in the developing
world.”
—Larry Summers (as chief economist at the World Bank)
“Progress is
achieved
through
women.”
—Bernard Kouchner,
founder, Doctors Without Borders (and French foreign minister)
“There are countless reasons rescuing girls is the right thing to do. It’s also
the smart thing to do. Consider the virtuous circle: An extra year of primary
school boosts girls’ eventual wages by 10-20%. An extra year of secondary
school adds 15-25%. Girls who stay in school for seven or more years marry
four years later and have two fewer children than girls who drop out. Fewer
When
girls and women earn income, they
re-invest 90% in their families.
They buy books, medicine, bed
nets. For men the figure is more
like 30-40%. ‘Investment in girls’ education may well be the
dependents per worker allows for greater economic growth. …
highest-return investment available in the developing world,’ Larry Summers
wrote when he was chief economist at the World Bank. The benefits are so
obvious, you wonder why we haven’t paid attention. Less than two cents of
every development dollar goes to girls—and that
is a victory compared to a few years ago when it was something
like one-half cent. Roughly 9 of 10 youth programs are aimed at boys. …”
—Nancy Gibbs, “The Best Investment: If you really want to fight poverty, fuel
growth and combat extremism, try girl power,” TIME (0214.2011)
“Are men
obsolete?”
—Headline, USN&WR
“Men Are
Finished”
Source: Slate conference 0920/NYU
Men employed, full or parttime … 63% (lowest since recordkeeping began/1948)
Median inflation adjusted
wages, men 30-50 with jobs,
1969-2009: $33K,
-27%
Source: “The Slow Disappearance of the American
Working Man,” Bloomberg Businessweek/08.11
Blame nobody.
Expect nothing.
Do something.
“One of the defining
characteristics [of the
change] is that it will be less
driven by countries or
corporations and more driven
by real people. It will unleash
unprecedented creativity, advancement of
knowledge, and economic development. But
at the same time, it will tend to undermine
safety net systems and penalize the
unskilled.” —Clyde Prestowitz, Three Billion New Capitalists
Globalization1.0: Countries globalizing (1492-1800)
Globalization2.0: Companies globalizing (18002000)
Globalization3.0
:
(2000+)
Individuals
collaborating
& competing globally
Source: Tom Friedman/The World Is Flat
HAROLD H. HESITANT
B.A. M.S. Ph.D.
1942 – 2011
HE WANTED TO DO SOME
REALLY COOL STUFF
BUT …
HIS BOSS WOULDN’T
LET HIM!
“Life is not about
waiting for the storm
to pass; it's about
learning to dance in
the rain.”
—Ted Rubin
Blame nobody.
Expect nothing.
Do something.
Source: Football coach Bill Parcells, locker room poster
“If there is nothing
very special about
your work … no matter
how hard you apply yourself
you won’t get noticed, and
that increasingly means you
won’t get paid much either.”
—Michael Goldhaber, Wired
The Rule of Positioning
“If you can’t describe
your position in
eight words or less,
you don’t have a
position.”
— Jay Levinson and Seth Godin,
Get What You Deserve!
“You are the
storyteller of your
own life, and you
can create your own
legend or not.”
—Isabel
Allende
Distinct
or …
Extinct.
“BRAND YOU.”
NO OPTION.
“Nobody gives
you power.
You just
take it.”
—Roseanne
The Brand You50: Fifty Ways to Transform Yourself
from an “Employee” into a Brand That Shouts
Distinction, Commitment, and Passion!
B.L.D.
BLD: Fact is, you CAN
take ANY damned
attitude YOU choose
to work today!
In fact, it's your …
BLD/Biggest
Life
Decision!
New Work Survival Kit 2011+++++
1. Mastery! (Best/Absurdly Good at Something!)
2. “Manage” to Legacy (All Work = “Memorable”/“Braggable” WOW
Projects!)
3. “USP”/Unique Selling Proposition (R.POV8: Remarkable Point of
View … captured in 8 or less words)
4. Networking Obsession (From vertical/hierarchy/“suck up” loyalty
to horizontal/“colleague”/“mate” loyalty)
5. Entrepreneurial Instinct (A sleepless … Eye for Opportunity!
E.g.: Small Opp for Independent Action beats faceless part of
Monster Project)
6. CEO/Leader/Businessperson/Closer (CEO, Me Inc. Period! 24/7!)
7. Mistress of Improv (Play a dozen parts simultaneously, from
Chief Strategist to Chief Toilet Scrubber)
8. Sense of Humor (A willingness to Screw Up, Shrug & Move On)
9. Comfortable with Your Skin (Bring “interesting you” to work!)
10. Intense Appetite for Technology (E.g.: Are you a “leading edge
user” of Social Media?)
11. Embrace “Marketing” (Your own CSO/Chief Storytelling Officer)
12. Obsessed with Renewal (Your own CLO/Chief Learning Officer)
13. Execution Excellence! (Show up early! Leave last!)
14. EXCELLENCE. PERIOD.
Personal “Brand Equity” Evaluation
– My current Project is challenging me in these
ways …
– New things I’ve learned in the last 90 days
include …
– I am known for [2 to 3 things]; next year at this
time I’ll also be known for [1 more thing].
– My public “recognition program”
consists of …
– Substantial additions to my Network in the last
90 days include …
– My resume is
different
discernibly
from last year’s
at this time as follows …
"The illiterate of the
21st Century will not
be those who cannot
read or write, but
those who cannot
learn, unlearn and
relearn."
—Alvin Toffler
Brand Equity DEPRECIATION:
Rate: 15%?, 25%?
Therefore: Formal
“Investment
Strategy”/
F.R.I.P.*
*FORMAL Renewal Investment Plan
“Do one thing
every day that
scares you.”
—Eleanor Roosevelt
All You Need
to Know About
the Aging
Population/
Market
Date: 1/1/11
Activity: USA Boomers
start turning 65
Rate:
1 every 8 seconds
Duration: 20 years
Impacted: EVERYTHING
50/50
7/13
1/8/20
22/1/10
22/1/10 (USA adult
population will have grown
by 23 million between 2006
and 2016. Ages 18-49 will
have grown by one million,
age 50+ will have grown
by 22 million)
!!!!!!!!!!!!!!!!!
“People turning 50
more
than half of
today have
their adult life
ahead of them.”
—Bill Novelli,
50+: Igniting a Revolution to Reinvent America
Average # of cars purchased per
household, “lifetime”:
13
Average # of cars bought per household
after the “head of household” reaches
age 50:
7
Source: Marti Barletta, PrimeTime Women
Boomers:
70% will inherit/
$300K average/
Top 8 million $1.5M
average/
Total inheritance
$8.4 Trillion
Source: Forbes/0411.11
50/50
7/13
(At age 50, we have 50% of our adult life
ahead of us)
(An American will buy 13 cars in the course
of a lifetime—7 after the age of 50)
22/1/10
1/8/20
8.4
(USA adult population will have
grown by 23 million between 2006
and 2016. Ages 18-49 will have
grown by 1 million, age 50+ will
have grown by 22 million)
(One USA boomer will turn 65 every 8
seconds for the next 20 years)
(Boomers inherit $8.4 trillion in next few years.)
55+ > 55-*
*“[55-plus] are more active in online
finance, shopping and entertainment than
those under 55?”—Forrester Research
(USA Today, 8 January 2009)
44-65:
“New
Customer
Majority”
Source: Ageless Marketing, David Wolfe & Robert Snyder
“The New Customer
only
Majority is the …
… adult market with
realistic prospects for
significant sales growth
in dozens of product lines
for thousands of
companies.”
—David Wolfe & Robert Snyder, Ageless Marketing
“Baby-boomer
Women: The
Sweetest of
Sweet Spots for
Marketers”
—David Wolfe and Robert Snyder, Ageless Marketing
“Marketers attempts at reaching
those over 50 have been miserably
No market’s
motivations and
needs are so
poorly understood.”
unsuccessful.
—Peter Francese, founding publisher, American Demographics
We are the Aussies & Kiwis & Americans & Canadians.
We are the Western Europeans & Japanese. We are the
fastest growing,
the biggest, the
wealthiest, the
boldest, the most
(yes) ambitious,
the most
experimental &
exploratory, the
most different, the most indulgent, the most difficult &
demanding, the most service & experience obsessed,
the most vigorous, (the least vigorous,) the most health
conscious, the most female, the most profoundly
important commercial market in the history of the
we will be the
Center of your universe
for the next twenty-five
years. We have arrived!
world—and
“agile creatures
darting between
the legs of the
multinational
monsters"
“I am often asked by
would-be entrepreneurs
seeking escape from life
within huge corporate
structures, ‘How do I
build a small firm for
myself?’ The answer
seems obvious …
Source: Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics
“I am often asked by would-be entrepreneurs seeking escape from
life within huge corporate structures, ‘How do I build a small firm for
Buy a
very large
one and just
wait.”
myself?’ The answer seems obvious:
—Paul Ormerod, Why Most Things Fail:
Evolution, Extinction and Economics
You don’t
get better
by being
bigger. You
Dick Kovacevich:
“Mr. Foster and his McKinsey colleagues
collected detailed performance data stretching
back
40 years for 1,000
They found that
U.S. companies.
none
of
the long-term survivors managed to
outperform the market. Worse, the
longer companies had been in the
database, the worse they did.”
—Financial Times
M & A success rate as measured
by adding value to the
acquirer:
15%
Source: Mark Sirower, The Synergy Trap
“Data drawn from the real world
attest to a fact that is beyond
Everything
in existence tends
to deteriorate.”
our control:
—Norberto Odebrecht, Education Through Work
#4 Japan
#3 USA
#2 China
#1 Germany
MittELstand* **
*
“agile creatures darting between
the legs of the multinational
monsters" (Bloomberg BusinessWeek, 10.10)
**E.g. Goldmann Produktion
Retail Superstars:
Inside the 25 Best
Independent Stores
in America
—by George Whalin
Jungle Jim’s International Market, Fairfield, Ohio: “An
adventure in
‘shoppertainment,’
as Jungle Jim’s
1,600
cheeses and, yes, 1,400 varieties of hot
sauce —not to mention 12,000 wines priced
from $8 to $8,000 a bottle; all this is brought to
you by 4,000 vendors. Customers come from every
call it, begins in the parking lot and goes on to
corner of the globe.”
Bronner’s Christmas Wonderland, Frankenmuth, Michigan,
98,000-square-foot “shop” features the
likes of 6,000 Christmas ornaments, 50,000
trims, and anything else you can name if it pertains to
pop 5,000:
Christmas.
Source: George Whalin, Retail Superstars
“Be the best.
It’s the only
market that’s
not crowded.”
From: Retail Superstars: Inside the 25 Best
Independent Stores in America, George Whalin
Lessons [for Everyone] from Retail Superstars!
1. Courses/Workshops/Demos/Engagement
2. Instructional guides/material/books
3. Events & Events & Events …
4. Create “Community” of customers
5. Destination
6. Women-as-customer
7. Staff selection/training/retention (FANATICISM)
8. Fanaticism/Execution
9. Design/Atmospherics/Ambience
10. Tableaus/Products-in-use
11. Flow/starts & finishes (Disney-like)
12. 100% orchestrated experience/focus: “Moments of truth”
13. Constant experimentation/Pursue Little BIG Things
14. Social Media/Ongoing conversation with customers
15. Community star
16. Aim high
17. PASSION
Small Giants:
Companies That Choose to Be
Great Instead of Big
Small Giants: Companies that Chose to
Be Great Instead of Big (Bo Burlingham)
“They cultivated exceptionally intimate relationships with
customers and suppliers, based on personal contact, one-onone interaction, and mutual commitment to delivering on
promises.
“Each company had an extraordinarily intimate relationship
with the local city, town, or county in which it did business
-- a relationship that went well beyond the usual concept of
`giving back.’
“The companies had what struck me as unusually intimate
workplaces.
“I noticed the passion that the leaders brought to what the
company did. They loved the subject matter, whether it be
music, safety lighting, food, special effects, constant torque
hinges, beer, records storage, construction, dining, or
fashion."
EX10/Entrepreneurial eXcellence TEN
1. “Insane” Passion for and commitment to
the idea. (“You must be able to see the beauty
in a hamburger bun.”)
2. Can explain the idea in Simple English [Etc.]
and Excite others about its Uniqueness in ONE
MINUTE (or less).
3. Good ACCOUNTANT (Loves the #s)/“Wise-man
[-woman]”/50-50 Partner.
4. Devotee of the Experimental Method (“Try
it. Now.” Fail. Forward. FAST.)/Master of
“Plan B”/Relentless/RESILIENT.
5. Patience in HIRING/“Great place to work”
from the get-go.
6. “d”iversity (Any-all dimensions)/M-F balance.
7. Exude Decency-Character-Integrity.
8. Playfulness/Fun.
9. Sweat the details (EXECUTION = Strategy).
10.
EXCELLENCE. Period.
“Satisfaction”
to
“Success”
Huge: Customer
“Satisfaction with
product/Service”
versus
Customer
“Success”
M
IB
to
B
I
M
$55B*
*IBM Global Services/
“Systems integrator of choice”
Planetary Rainmaker-in-Chief!
“[CEO Sam] 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
UPS
“WHAT CAN BROWN DO FOR YOU?”
“It’s all about solutions. We
talk with customers about
how to run better, stronger,
cheaper supply chains. We
have 1,000 engineers who
work with customers …”
—Bob Stoffel, UPS senior exec
“THE GIANT STALKING BIG OIL: How
Schlumberger Is
Rewriting the Rules of the Energy
Game.”: “IPM [Integrated Project
Management] strays from
[Schlumberger’s] traditional role
as a service provider and moves
deeper into areas once dominated
by the majors.”
Source: BusinessWeek cover story, January 2008
“We’ll do
just about anything
an oilfield owner
would want, from
drilling to
production.”
IPM’s Chief:
MasterCard
Advisors
I. LAN Installation Co.
II. Geek Squad.
(3%)
(30%.)
III. Acquired by Best Buy.
IV. Flagship of Best Buy
Wholesale “Solutions”
Strategy Makeover.
“ ‘Results’ are
measured by the
success of all those
who have purchased
your product or
service” —Jan Gunnarsson & Olle Blohm,
The Welcoming Leader
“We Are
What
We Eat.”
We
are What We
Eat/We Are the
company
we keep
The “Hang Out Axiom I”:
“You will become
like the five people
you associate with
the most—this can
be either a blessing
or a curse.”
—Billy Cox
“Spend
time with ‘Interesting,’ and
thou shall become more
interesting. Spend time
with ‘dull’ and thou shall
become more dull.”
The “Hang Out Axiom II”:
We Are the
company
we keep!
Manage it!
Measure/Manage: Portfolio “Strangeness”/ “Quality”
1. Customers
2. Vendors
3. Out-sourcing Partners
4. Acquisitions
5. Purposeful “Theft”
6. Diversity/“d”iversity
7. Diversity/Crowd-sourcing
8. Diversity/Weird
9. Diversity/Curiosity
10. Benchmarks
11. Calendar
12. MBWA
13. Lunch/General
14. Lunch/Other functions
15. Location/Internal
16. Location/HQ
17. Top team
18. Board
The “We are what we eat”/
“We are who we associate with”
Axiom: At its core, every (!!!)
relationship-partnership decision
(employee, vendor, customer, etc,
etc) is a strategic decision about:
“Innovate,
‘Yes’ or ‘No’ ”
“Futuredefining customers may
account for only 2% to
3% of your total, but
CUSTOMERS:
they represent a
crucial window on the
future.”
—Adrian Slywotzky, Mercer Consultants
“[CEO A.G.] Lafley has shifted P&G’s focus on
inventing all its own products to developing …
others’
inventions at
least half the
time.
One successful
example, Mr. Clean Magic Eraser, based on a product
found in an Osaka market.” —Fortune
“Don’t
benchmark,
futuremark!”
Impetus: “The future is already here; it’s just
not evenly distributed” —William Gibson
“Don’t
benchmark,
‘Other’ mark!”
“To grow, companies need to
break out of a vicious cycle of
competitive benchmarking and
imitation.”
—W. Chan Kim & Rene Mauborgne, “”Think for Yourself —Stop Copying a
Rival,” Financial Times/08.11.03
“Companies have defined so
much ‘best practice’ that
they are now more or less
identical.”
—Jesper Kunde, Unique Now ... or Never
“The short road
to ruin is to
emulate the
methods of your
adversary.”
— Winston Churchill
Whoops …
“The
Bottleneck …
“The Bottleneck … Is at
the Top of the Bottle”
“Where are you likely to find people
with the least diversity of experience,
the largest investment in the past,
and the greatest reverence for
industry dogma …
At the top!”
— Gary Hamel/Harvard Business Review
Diversity/
Curiosity/
Creativity
“Diverse groups of problem solvers—groups
of people with diverse tools—consistently
outperformed groups of the best and the
brightest. If I formed two groups, one
random (and therefore diverse) and one
consisting of the best individual performers,
the first group almost always did better. …
Diversity trumped
ability.”
—Scott Page, The Difference:
How the Power of Diversity Creates Better Groups,
Firms, Schools, and Societies
Diversity … per se
… is a key … maybe
the key … to
effective and
innovative
decision making.
“Who’s the most
interesting person
you’ve met in the
last 90 days? How
do I get in touch
with them?”
—Fred Smith
Vanity Fair:
“What is your most marked
characteristic?”
Mike Bloomberg:
“Curiosity.”
“Do one thing
every day that
scares you.”
—Eleanor Roosevelt
“Normal” =
“o for 800”
CQ/Curiosity
Quotient*
*Hire for it in more or less 100% slots/Promote for it
Co-creation
Rob McEwen/CEO/
Goldcorp Inc./
Red Lake
gold
Wikinomics: How Mass
Collaboration Changes Everything,
Don Tapscott & Anthony Williams
Source:
“The Billion-man
Research Team:
Companies offering
work to online
communities are
reaping the benefits of
‘crowdsourcing.’”
—Headline, FT
Forgetfulness
Forget>“Learn”
“The problem is never
how to get new,
innovative thoughts
into your mind, but
how to get the old
ones out.”
—Dee Hock
Forgetting >>
Learning
The “We are what we eat”/
“We are who we hang out with”
Axiom: At its core, every (!!!)
relationship-partnership decision
(employee, vendor, customer, etc,
etc) is a strategic decision about:
“Innovate,
‘Yes’ or ‘No’ ”
R.F.A.
READY.
FIRE.
AIM.
H. 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
you only
find oil if you
drill wells.
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,
wildly successful Canadian Oil & Gas wildcatter
“We have a
strategic plan.
It’s called …
doing things.”
—Herb Kelleher
“What are Rutan’s management rules? He
insists he doesn’t have any. ‘I don’t like
rules,’ he says. ‘Things are so easy to change
if you don’t write them down.’ Rutan feels
good management works in much the same
Instead
of trying to figure out the best
way to do something and
sticking to it, just try out an
approach and keep fixing it.”
way good aircraft design does:
—Eric Abrahamson & David Freedman, Chapter 8, “Messy Leadership,”
from A Perfect Mess: The Hidden Benefits of Disorder
“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
#5.
By
the time our rivals are ready with wires and screws, we
are on version
#10. It gets back to
planning versus acting: We act
from day one; others plan how
to plan—for months.”
—Bloomberg by Bloomberg
Culture of Prototyping
“Effective prototyping may
the most
valuable core
competence an
be
innovative organization can
hope to have.” —Michael Schrage
/45
In Search of Excellence /1982:
The Bedrock “Eight Basics”
1.
2.
3.
4.
5.
6.
7.
8.
A Bias for Action
Close to the Customer
Autonomy and Entrepreneurship
Productivity Through People
Hands On, Value-Driven
Stick to the Knitting
Simple Form, Lean Staff
Simultaneous Loose-Tight
Properties
Lesson45:
WTTMSW
Whoever
Tries
The
Most
Stuff
Wins
Better yet:
WTTMSASTMSUTFW
Whoever
Tries
The
Most
Stuff
And
Screws
The
Most
Stuff
Up
The
Fastest
Wins
“Experiment
fearlessly”
Tactic #1
Source: BusinessWeek, “Type A Organization Strategies: How to Hit a Moving Target”—
“relentless trial
and error”
Source: Wall Street Journal, cornerstone of effective approach to “rebalancing” company
portfolios in the face of changing and uncertain global economic conditions (11.08.10)
Stay Hungry.
Stay Foolish.
Steve Jobs
“Fail.
Forward.
Fast.”
“Fail.
Forward.
Fast.”
High Tech CEO, Pennsylvania
“Fail faster.
Succeed
Sooner.”
David Kelley/IDEO
“No matter.
Try again.
Fail again.
Fail better.”
—Samuel Beckett
Read It
Richard Farson & Ralph Keyes:
Whoever Makes
the Most Mistakes
Wins: The Paradox
of Innovation
“The secret of fast
progress is
inefficiency, fast
and furious and
numerous failures.”
—Kevin Kelly
“Reward
excellent failures.
Punish mediocre
successes.”
—Phil Daniels, Sydney exec
“It is not enough to
‘tolerate’ failure—
you must
‘celebrate’
failure.”
—Richard Farson (Whoever Makes the
Most Mistakes Wins)
“No man ever
became great
except through
many and great
mistakes.”
—William Gladstone
(from Timeless Wisdom, compiled by Gary Fenchuk)
1/5000
BLAME NOBODY.
EXPECT NOTHING.
DO SOMETHING.
Source: Locker room sign posted by NFL
football coach Bill Parcells
“You miss
100% of
the shots you
never take.”
—Wayne Gretzky
Wow
Zappos 10 Corporate Values
Deliver
“WOW!”
Embrace and drive change.
Create fun and a little weirdness.
Be adventurous, creative and open-minded.
Pursue growth and learning.
Build open and honest relationships with
communication.
Build a positive team and family spirit.
Do more with less.
Be passionate and determined.
Be humble.
Source: Delivering Happiness, Tony Hsieh, CEO, Zappos.com
through service.
“Insanely Great”
Steve Jobs
“Radically thrilling”
BMW
“We are crazy. We should do
something when people say
If people
say something is
‘good’, it means
someone else is
already doing it.”
it is ‘crazy.’
—Hajime Mitarai, Canon
Skinning
Cats
There is more
than one way to
skin a cat!*
REQUIRES
*Every project
(if you’re smart) an
outside look by one/some Seriously Weird Cat/s
—in pursuit of whacked-out options.
14,000
20,000
14,000/eBay
20,000/Amazon
30/Craigslist
“There’s no use trying,’ said
Alice. ‘One cannot believe
impossible things.’ ‘I daresay
you haven’t had much practice,’
said the Queen. ‘When I was
your age, I always did it for half
an hour a day. Why, sometimes
I’ve believed as many as six
impossible things before
breakfast.’” — Lewis Carroll
Where’s
your “Craig’s List
Every project:
[WOW!]
option”?
“We all agree your
theory is crazy. The
question, which
divides us, is
whether it is crazy
enough.”
—Niels Bohr, to Wolfgang Pauli
Kevin Roberts’ Credo
1. Ready. Fire! Aim.
2.
3.
4.
5.
6.
7.
8.
9.
If it ain’t broke ... Break it!
Hire crazies.
Ask dumb questions.
Pursue failure.
Lead, follow ... or get out of the way!
Spread confusion.
Ditch your office.
Read odd stuff.
10.
Avoid moderation!
"Life is not a journey to the
grave with the intention of
arriving safely in one pretty
and well preserved piece, but
to skid across the line
broadside, thoroughly used
up, worn out, leaking oil,
shouting ‘GERONIMO!’ ”
—Bill McKenna, professional motorcycle racer
(Cycle magazine 02.1982)
"The object of life's
journey is not to arrive at
the grave safely in a well
preserved body, but rather
to skid in sideways, totally
worn out, shouting, 'Holy
Shit, What a
Ride!!!’ ”
—Mavis Leyrer
(feisty OCTOGENARIAN, living in Seattle)
“I WANT TO BE THOROUGHLY
USED UP WHEN I DIE. … Life is
no ‘brief candle’ to me. It is a
sort of splendid torch which I
have got hold of for the
moment, and I want to make it
burn as brightly as possible
before handing it on to future
generations.” —George Bernard Shaw
“If I had any epitaph that I
would rather have more than
any other, it would be to say
disturbed
the sleep of my
generation.”
that I had …
—Adlai Stevenson
“If you ask me what I
have come to do in
this world, I who am
an artist, I will reply:
I am here to live my
life out loud.”
— Émile Zola
People First!
People Second
People Third!
eople Fourth
Epigraph/s
“Business
has to give
people enriching,
rewarding lives …
or it's simply not
worth doing.” —
Richard Branson
Excellence.
Always.
If not Excellence,
what?
If not Excellence
now, when?