EXCELLENCE. ALWAYS. Tom Peters/Re-imagine! Grand Hyatt/Muscat/24 April 2006 LONG “Organizations are not machines. That has been the central message of all my books. They are living communities of individuals. To describe them we need to use the language of communities and the language of individuals. That means a mix of words we use in politics and in ordinary everyday life. The essential task of leadership (a word from political theory, unlike the word ‘manager’) is to combine the aspirations and needs of individuals with the purposes of the larger community to which they all belong.” —Charles Handy P.P.E.E.R.E. People. Product. Execution. Enthusiasm. Relentless. Excellence. EXCELLENCE. ALWAYS. Slides at … tompeters.com EXCELLENCE. 1982. 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” What is In Search of Excellence all about: People. Emotion. Engagement. Exuberance. Action-Execution. Empowerment. Independence. Initiative. Imagination. Great Stories. Incredible Adventures. Trust. Caring. Fun. Joy. Customer-centrism. Profit. Growth. “Brand You.” “Dramatic Differences.” Experiences that Make You “Gasp.” Excellence. Always. ExIn*: 1982-2002/Forbes.com DJIA: $10,000 yields $85,500 EI: $10,000 yields $140,050 *Excellence Index /Basket of 32 publicly traded stocks EXCELLENCE. ALWAYS. Synonyms Purity Transcendence Virtue Elegance Majesty Antonyms Mediocrity The Peters Principles: Enthusiasm. Emotion. Excellence. Energy. Excitement. Service. Growth. Creativity. Imagination. Vitality. Joy. Surprise. Independence. Spirit. Community. Limitless human potential. Diversity. Profit. Innovation. Design. Quality. Entrepreneurialism. Wow. An emotional, vital, innovative, joyful, creative, entrepreneurial endeavor that elicits maximum concerted human potential in the wholehearted service of others.*** Business* ** (*at its best): **Excellence. Always. ***Employees, Customers, Suppliers, Communities, Owners, Temporary partners The Ultimate Business: Creative Endeavor. The Ultimate Business: Personal DevelopmentGrowth Experience. The Ultimate Business: Transcendent Service Opportunity. EXCELLENCE. ALWAYS. First-level Scientific Success: Beyond Brains First-level Scientific Success The smartest guy in the room wins” Or … First-level Scientific Success Fanaticism Persistence-Dogged Tenacity Patience (long haul/decades)-Impatience (in a hurry/”do it yesterday”) Passion Energy Relentlessness (Grant-ian) Enthusiasm Driven (nuts!) (Brutal?) Competitiveness Entrepreneurial Pragmatic (R.F!A.) Scrounge (“gets” the logistics-infrastructure bit) Master of Politics (internal-external) Tactical Genius Pursuit of (Oceanic) Excellence! High EQ/Skillful in Attracting + Keeping Talent/Magnetic Prolific (“ground up more pig brains”) Egocentric Sense of History-Destiny Futuristic-In the Moment Mono-dimensional (“Work-life balance”? Ha!) Exceptionally Intelligent Exceptionally Clever (methodological shortcuts/methodological genius) Luck First-level Scientific Success/Short Form Scientific Success (Nobel-level) = Genius + Execution + Master of Soft Skills + Enthusiasm + Magnetism + Destiny (sense of) + Energy Translation: Biz Bonanza Success = DDMMSTERL = DramaticDifference + “Business” Acumen/Money + Good “Marketing” Instinct/“Ice-to-Eskimos” Sales Skills + Stellar Talent + Aim for Excellence + Resilience/Tenacity/Adaptability + Luck (The “Necessary Nine”: What Every Small Biz Requires to Excel.) (Big, too.) EXCELLENCE. ALWAYS. Summary: WallopWal*Mart16* *Or: Why it’s so absurdly easy to beat a GIANT Company The “Small Guys” Guide: Wallop Wal*Mart16 *Niche-aimed. (Never, ever “all things for all people,” a “miniWal*Mart.) *Never attack the monsters head niche business and lukewarm customers.) on! (Instead steal *“Dramatically Different” (La Difference ... within our community, our industry regionally, etc … is as obvious as the end of one’s nose!) (THIS IS WHERE MOST MIDGETS COME UP SHORT.) *Compete on value/experience/intimacy, not price. (You ain’t gonna beat the behemoths on cost-price in 9.99 out of 10 cases.) *Emotional bond with Clients, BIGGIES ON EMOTION/CONNECTION!!) Vendors. (BEAT THE $415/SqFt/Wal*Mart $798/SqFt/Whole Foods 7X. 730A800P. F12A.* *’93-’03/10 yr annual return: CB: 29%; WM: 17%; HD: 16%. Mkt Cap: 48% p.a. EXCELLENCE? ALWAYS? Franchise Lost! TP: “How many of you [600] crave really a new Chevy?” NYC/IIR/061205 This is not a “mature category.” This is an “undistinguished category.” The “Small Guys” Guide: Wallop Wal*Mart16 *Niche-aimed. (Never, ever “all things for all people,” a “miniWal*Mart.) *Never attack the monsters head niche business and lukewarm customers.) on! (Instead steal *“Dramatically Different” (La Difference ... within our community, our industry regionally, etc … is as obvious as the end of one’s nose!) (THIS IS WHERE MOST MIDGETS COME UP SHORT.) *Compete on value/experience/intimacy, not price. (You ain’t gonna beat the behemoths on cost-price in 9.99 out of 10 cases.) *Emotional bond with Clients, BIGGIES ON EMOTION/CONNECTION!!) Vendors. (BEAT THE “This is an essay about what it takes to create and sell something remarkable. It is a plea for originality, passion, guts and daring. You can’t be remarkable by following someone else who’s remarkable. One way to figure out a theory is to look at what’s working in the real world and determine what the successes have in common. But what could the Four Seasons and Motel 6 possibly have in common? Or Neiman-Marcus and Wal*Mart? Or Nokia (bringing out new hardware every 30 days or so) and Nintendo (marketing the same Game Boy 14 years in a row)? It’s like trying The thing that all these companies have in common is that they have nothing in common. They are outliers. to drive looking in the rearview mirror. They’re on the fringes. Superfast or superslow. Very exclusive or very cheap. Extremely big or extremely small. The reason it’s so hard to follow the leader is this: The leader is the leader precisely because he did something remarkable. And that remarkable thing is now taken—so it’s no longer remarkable when you decide to do it.” —Seth Godin, Fast Company/02.2003 The “Small Guys” Guide: Wallop Wal*Mart16 *Hands-on, emotional leadership. (“We are a great & cool & intimate & joyful & dramatically different team working to transform our Clients lives via Consistently Incredible Experiences!”) *A community star! (“Sell” local-ness per se. Sell the hell out of it!) *An incredible experience, from the first to last moment—and then in the followup! (“These guys are cool! They ‘get’ me! They love me!”) *DESIGN DRIVEN! (“Design” is a premier weapon-in-pursuit-of-the sublime for small-ish enterprises, including the professional services.) The “Small Guys” Guide: Wallop Wal*Mart16 *Employer of choice. (A very cool, well-paid place to work/learning and growth experience in at least the short term … marked by notably progressive policies.) (THIS IS EMINENTLY DO-ABLE!!) *Sophisticated use of information technology. (Small-“ish” is no excuse for “small aims”/execution in IS/IT!) *Web-power! (The Web can make very small very big … if the product-service is super-cool and one purposefully masters buzz/viral marketing.) *Innovative! (Must keep renewing and expanding and revising and re-imagining “the promise” to employees, the customer, the community.) The “Small Guys” Guide: Wallop Wal*Mart16 *Brand-Lovemark* (*Kevin Roberts) Maniacs! (“Branding” is not just for big folks with big budgets. And modest size is actually a Big Advantage in becoming a local-regional-niche “lovemark.”) *Focus on How stupid.) women-as-clients. (Most don’t. *Excellence! (A small player … per me … has no right or reason to exist unless they are in Relentless Pursuit of Excellence. One earns the right—one damn day and client experience at a time!— to beat the Big Guys in your chosen niche!) EXCELLENCE. ALWAYS. Donnelly’s Weatherstrip Service Weymouth MA Cirque du Soleil! And the Winner is … 1. Audacity of Vision 2. Innovation/R&D/Design 3. Talent Acquisition & Development 4. Resultant “Experience” 5. Strategic Alliances 6. Operations 7. Financial Management 8. Overall/Sustaining Excellence 9. “Wow!” 10. Lovemark! Tattoo Brand: What % of users would tattoo the brand name on their body? Top 10 “Tattoo Brands”* Harley .… 18.9% Disney .... 14.8 Coke …. 7.7 Google .... 6.6 Pepsi .... 6.1 Rolex …. 5.6 Nike …. 4.6 Adidas …. 3.1 Absolut …. 2.6 Nintendo …. 1.5 *BRANDsense: Build Powerful Brands through Touch, Taste, Smell, Sight, and Sound, Martin Lindstrom EXCELLENCE. ALWAYS. And the “M” Stands for … ? “Systems Integrator of choice.”/BW Gerstner’s IBM: (“Lou, help us turn ‘all this’ into that long-promised ‘revolution.’ ” ) IBM Global Services* Services Corp.): $55B (*Integrated Systems “By making the Global Delivery Model both legitimate and mainstream, we have brought the battle to our territory. That is, after all, the purpose of strategy. We have become the leaders, and incumbents [IBM, Accenture] are followers, forever playing catch-up. … However, creating a new business innovation is not enough for rules to be changed. The innovation must impact clients, competitors, investors, and society. We have seen all this in spades. Clients have embraced the model and are demanding it in even greater measure. The acuteness of their circumstance, coupled with the capability and value of our solution, has made the choice not a choice. Competitors have been dragged kicking and screaming to replicate what we do. They face trauma and disruption, Investors have grasped that this is not a passing fancy, but a potential restructuring of the way the world operates and how value will be created in the future.” —Narayana Murthy, chairman’s letter, Infosys Annual but the game has changed forever. Report “Big Brown’s New Bag: UPS Traffic Manager for Corporate America” Aims to Be the —Headline/BW/2004 “SCS”/Supply Chain Solutions: 750 locations; $2.5B; fastest growing division; 19 acquisitions, including a bank Source: Fast Company And … MasterCard Advisors Huge: Customer Satisfaction Customer versus Success EXCELLENCE? ALWAYS? “ ‘Disintermediation’ [outsourcing] is overrated. Those who fear disintermediation should in fact be afraid of irrelevance—disintermediation is just you’ve become irrelevant to your customers.” another way of saying that … —John Battelle/Point/Advertising Age/07.05 Chicago: HRMAC “support function” / “cost center” / “bureaucratic drag” or … Are you … “Rock Stars of the Age of Talent” DD$21M A review of Jack and Suzy Welch’s Winning claims there are but two key differentiators that set GE “culture” apart from the herd: First: Separating financial forecasting and performance measurement. Performance measurement based, as it usually is, on budgeting leads to an epidemic of gaming the system. GE’s performance measurement is divorced from budgeting—and instead reflects how you do relative to your past performance and relative to competitors’ performance; ie it’s about how you actually do in the context of what happened in the real world, not as compared to a gamed-abstract plan developed last year. Second: Putting HR on a par with finance and marketing. EXCELLENCE. ALWAYS. “support function” / “cost center” / “bureaucratic drag” or … Answer: Core Mechanism: “Game-changing Solutions” PSF (Professional Service Firm “model”/The Organizing Principle) + Brand You (“Distinct” or “Extinct”/The Talent) + Wow! Projects (“Different” vs “Better”/The Work) The “PSF35”: Thirty-Five Professional Service Firm Marks of Excellence The PSF35: The Work & The Legacy 1. CRYSTAL CLEAR POINT OF VIEW (E very Practice Group: “If you can’t explain your position in eight words or less, you don’t have a position”—Seth Godin) 2. DRAMATIC DIFFERENCE (“We are the only ones who do what we do”—Jerry Garcia) 3. Stretch Is Routine (“Never bite off less than you can chew”—anon.) 4. Eye-Appetite for Game-changer Projects (Excellence at Assembling “Best Team”—Fast) 5. “Playful” Clients (Adventurous folks who unfailingly Aim to Change the World) 6. Small “Uneconomic” Clients with Big Aims 7. Life Is Too Short to Work with Jerks (Fire lousy clients) 8. OBSESSED WITH LEGACY (Practice Group and Individual: “Dent the Universe”—Steve Jobs) 9. Fire-on-the-spot Anyone Who Says, “Law/Architecture/Consulting/ I-banking/ Accounting/PR/Etc. has become a ‘commodity’ ” 10. Consistent with #9 above … DO NOT SHY AWAY FROM THE WORD (IDEA) “RADICAL” ????? Do good (excellent?!) work Make a lot of money Point of View! PSF + BY + WP + DD + E = UVA PSF (Professional Service Firm) + BY (Brand You) + WP (WOW Projects) + DD (Dramatic Difference) + E (Excellence) = UVA (Unassailable Value-Added) EXCELLENCE. ALWAYS. Fleet Manager Rolling Stock Cost Minimization Officer vs/or Chief of Fleet Lifetime Value Maximization Strategic Supply-chain Executive Customer Experience Director (via drivers) “Big Brown’s New Bag: UPS Traffic Manager for Corporate America” Aims to Be the —Headline/BW/2004 Cost (at All Costs*) Minimization Professional? Or/to: Full Partner- “Purchasing Officer” Thrust #1: Leader in Lifetime Value-added Maximization? (*Lopez: “Arguably ‘Villain #1’ in GM tragedy”/Anon VSE-Spain) HCare CIO: “Technology Executive” (workin’ in a hospital) Full-scale, Accountable (life or death) Member-Partner of XYZ Hospital’s Senior Or/to: Healing-Services Team (who happens to be a techie) EXCELLENCE. ALWAYS. Better By Design: A National Strategy NZ = Design Excellence EXCELLENCE. ALWAYS. “Management has a lot to do with answers. Leadership is a function of questions. And the first question for a ‘Who do we intend to be?’ leader always is: Not ‘What are we going to do?’ but ‘Who do we intend to be?’” —Max De Pree, Herman Miller Ah, kids: “What is your vision for the future?” “What have you accomplished since your first book?” “Close your eyes and imagine me immediately doing something about what you’ve just said. What would it be?” “Do you feel you have an obligation to ‘Make the world a better place’?” EXCELLENCE. ALWAYS. Organizing Genius / Warren Bennis and Patricia Ward Biederman “Groups become great only when everyone in them, leaders and members alike, is free to do his or her absolute best.” “The best thing a leader can do for a Great Group is to allow its members to discover their greatness.” Yes!!!!!!!!!!!!!!!!! “free to do his or her absolute best” … “allow its members to discover their greatness.” “We are a ‘Life Success’ Company’ Dave Liniger, founder, RE/MAX EXCELLENCE. ALWAYS. Core Mechanism: “Game-changing Solutions” PSF (Professional Service Firm “model”/The Organizing Principle) + Brand You (“Distinct” or “Extinct”/The Talent) + Wow! Projects (“Different” vs “Better”/The Work) “You are the storyteller of your own life, and you can create your own legend or not.” —Isabel Allende “Tell me, what is it you plan to do with your one wild and precious life?” —Mary Oliver “One who does less than he can is a thief.” —Gandhi EXCELLENCE. ALWAYS. “The First step in a ‘dramatic’ ‘organizational change program’ is obvious—dramatic personal change!” —RG “You must be the change you wish to see in the world.” Gandhi “To change minds effectively, leaders make particular use of two tools: the stories that they tell and the lives that they lead.” —Howard Gardner, Changing Minds MBWA* *HS/25+ You = Your calendar* *Calendars NEVER lie!! EXCELLENCE. ALWAYS. Tom Peters/Novosibirsk/14 April 2006 De-central-iza-tion! Ex-ecu-tion! Ac-counta-bil-ity! 6:15A.M. De-central-iza-tion! “‘Decentralization’ is not a piece of paper. It’s not me. It’s either in your heart, or not.” —Brian Joffe/BIDvest Ex-ecu-tion! “too much talk, too little do” TP/BW on BigCo Sin #1: “Execution is the job of the business leader.” —Larry Bossidy & Ram Charan/ Execution: The Discipline of Getting Things Done “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 Ac-counta-bil-ity! “Realism is the heart of execution.” —Larry Bossidy & Ram Charan/Execution: The Discipline of Getting Things Done “GE has set a standard of candor. … There is no puffery. … There isn’t an ounce of denial in the place.” —Kevin Sharer, CEO Amgen, on the “GE mystique” (Fortune) 6:15A.M. EXCELLENCE. ALWAYS. “Nothing is so contagious as enthusiasm.” —Samuel Taylor Coleridge EXCELLENCE. ALWAYS. Insanely Great Language! “Insanely Great.” —Steve Jobs Radically Thrilling Language! “Radically Thrilling.” —BMW Z4 (ad) “Astonish me!” /S.D. “Build something great!” /H.Y. “Make it immortal!” /D.O. Gaspworthy! EXCELLENCE. ALWAYS. The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it. Michelangelo Stay Hungry. Stay Foolish. Steve Jobs EXCELLENCE. ALWAYS. “It’s always showtime.” —David D’Alessandro, Career Warfare All You Need to Know* *more or less New Game China! China! China! THREE BILLION NEW CAPITALISTS —Clyde Prestowitz New Economy?! Sergey + Larry > Harvard “the metabolically dominant soldier” Source: Radical Evolution: The Promise and Peril of Enhancing Our Minds, Our Bodies—and What It Means to Be Human, Joel Garreau “The corporation as we know it, which is now 120 years old, is not likely to survive the next 25 years. Legally and financially, yes, but not structurally and economically.” —Peter Drucker “This is a dangerous world and it is going to become more dangerous.” “We may not be interested in chaos but chaos is interested in us.” Source: Robert Cooper, The Breaking of Nations: Order and Chaos in the Twenty-first Century Cause “Create a ‘cause,’ not a ‘business.’’ —Gary Hamel “People want to be part of something larger than themselves. They want to be part of something they’re really proud of, that they’ll fight for, sacrifice for , trust.” —Howard Schultz, Starbucks (IBD/09.05) Quest “I don’t know.” Source: Karl Weick “The role of the Director is to create a space where the actor or actress can become more than they’ve ever been before, more than they’ve dreamed of being.” —Robert Altman, Oscar acceptance “In the end, management doesn’t change culture. Management invites the workforce itself to change the culture.” —Lou Gerstner Artist Leader Job 1 Paint Portraits of Excellence! Point of View! Best Story “Storytelling is the core of culture.” —Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell “It is necessary for the President to be the No. 1 actor.” nation’s FDR People “Leaders ‘do’ people.” —Anon. Les Wexner: From sweaters to people! “Connoisseur of Talent” Source: Colleague on PARC’s Bob Taylor Did We Say “Talent Matters”? “The top software developers are more productive than average software developers not by a factor of 10X or 100X, or even 1,000X, but 10,000X.” —Nathan Myhrvold, former Chief Scientist, Microsoft “We believe companies can increase their market cap 50 percent in 3 years. Steve Macadam at Georgia- changed 20 of his 40 box plant managers to put more talented, higher paid managers in charge. He increased profitability from Pacific $25 million to $80 million in 2 years.” —Ed Michaels, War for Talent 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 DD$21M People Employees: “Are there enough weird people in the lab these days?” V. Chmn., pharmaceutical house, to a lab director Decency “It was much later that I realized Dad’s secret. He gained respect by giving it. He talked and listened to the fourthgrade kids in Spring Valley who shined shoes the same way he talked and listened to a bishop or a college president. He was seriously interested in who you were and what you had to say.” —Sara Lawrence-Lightfoot, Respect Amen! “What creates trust, in the end, is the leader’s manifest respect for the followers.” — Jim O’Toole, Leading Change Grace “The two most powerful things in existence: a kind word and a thoughtful gesture.” —Ken Langone “The deepest human need need to be appreciated.” is the —William James “Thank you” Intangibles “Hard is soft. Soft is hard.”* *In Search of Excellence Selfmanagement You = Your Calendar “You can’t lead a cavalry charge if you think you look funny on a horse.” —John Peers, President, Logical Machine Corporation Curiosity “Why?” Ears “If you don’t listen, you don’t sell anything.” —Carolyn Marland/MD/Guardian Group Conformity “While everything may be it is also increasingly the same.” better, —Paul Goldberger on retail, “The Sameness of Things,” The New York Times “To grow, companies need to break out of a vicious cycle of competitive benchmarking and imitation.” —W. Chan Kim & Renée Mauborgne, “Think for Yourself —Stop Copying a Rival,” Financial Times/08.11.03 Conformity “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/“Strategy or Revolution”/Harvard Business Review Dramatic Difference Point of View!/Point of Dramatic Difference! PSF! Donnelly’s Weatherstrip Service Weymouth MA “[Immelt] is now identifying technologies with which GE systematically set out to build entirely new industries” will … —Strategy+Business, Fall 2005 SET THE AGENDA.* (Period.) Great Companies … * “disturb the sleep of … AGENDA SETTERS: “Set the Table”/ Pioneers/ Questors/ Adventurers US Steel … Ford … Toyota … Sears … GM … ITT … The Gap … Limited … Wal*Mart … Tesco … P&G … 3M … Intel … IBM … Apple … Nokia … Cisco … Dell … MCI … Sun … Microsoft … Google … Enron … Schwab … GE … Laker … Southwest … People Express … Ogilvy … Virgin … eBay … Amazon … Sony … Amgen … BMW … CNN … Nike “But what if [former head of strategic planning at Royal Dutch Shell] Arie De Geus is wrong in suggesting, in The Living Company, that firms should aspire to live forever? Greatness is fleeting and, for corporations, it The ultimate aim of a business organization, an artist, an athlete or a stockbroker may be to explode in a dramatic frenzy of value creation during a short space of time, rather than to live forever.” will become ever more fleeting. —Kjell Nordström and Jonas Ridderstråle, Funky Business Action “Ninety percent of what we call ‘management’ consists of making it difficult for people to get things done.” – Peter Drucker “We have a ‘strategic’ plan. It’s called doing things.” — Herb Kelleher “This is so simple it sounds stupid, but it is amazing you only find oil if you drill wells. how few oil people really understand that You may think you’re finding it when you’re drawing maps and studying logs, but you have to drill.” Source: The Hunters, by John Masters, Canadian O & G wildcatter “While many people big oil finds with big companies, over the years about 80 percent of the oil found in the United States has been brought in by wildcatters such as Mr Findley, says Larry Nation, spokesman for the American Association of Petroleum Geologists.” —WSJ, “Wildcat Producer Sparks Oil Boom in Montana,” 0405.2006 “Never forget implementation boys. In our work it’s what I call the ‘missing 98 percent’ of the client puzzle.” —Al McDonald Try It Try It Try It Sam’s Secret #1! “Fail faster. Succeed sooner.” —David Kelley/IDEO De-central-iza-tion! Ex-ecu-tion! Ac-counta-bil-ity! 6:15A.M. Focus “Dennis, you need a ‘Todon’t ’ List !” “I used to have a rule for myself that at any point in time I wanted to have in mind — as it so happens, also in writing, on a little card I carried around with me — the three big things I was trying to get done. Three. Not two. Not four. Not five. Not ten. Three.” — Richard Haass, The Power to Persuade “We will not, I repeat not, pretend to be ‘all things to all people.’” —CEO, Investec (03.06) K.I.S.S. 450/8 Danger: S.I.O. (Strategic Initiative Overload) “I wanted GE to operate with the speed, informality, and open communication of a corner store. Corner stores often have strategy right. With their limited resources, they have to rely on laser-like focus on doing one thing very well.” —Jack Welch/Fortune/04.05 Change “If you don’t like change, you’re going to like irrelevance even less.” —General Eric Shinseki, Chief of Staff. U. S. Army “I’m not comfortable unless I’m uncomfortable.” —Jay Chiat “The most successful people are those who are good at ‘plan B.’” —James Yorke, mathematician, on chaos theory in The New Scientist Change We become who we hang out with! Measure “Strangeness”/Portfolio Quality Staff Consultants Vendors Out-sourcing Partners (#, Quality) Innovation Alliance Partners Customers Competitors (who we “benchmark” against) Strategic Initiatives Product Portfolio (LineEx v. Leap) IS/IT Projects HQ Location Lunch Mates Language Board “Don’t benchmark, futuremark!” Impetus: “The future is already here; it’s just not evenly distributed” —William Gibson Forget 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 Big Change No Wiggle Room! “Incrementalism is innovation’s worst enemy.” Nicholas Negroponte “Beware of the tyranny of making Small Changes to Small Things. Rather, make Big Changes to Big Things.” —Roger Enrico, former Chairman, PepsiCo Five MYTHS About Changing Behavior *Crisis is a powerful impetus for change *Change is motivated by fear *The facts will set us free *Small, gradual changes are always easier to make and sustain *We can’t change because our brains become “hardwired” early in life Source: Fast Company/05.2005 “Wealth in this new regime flows directly from innovation, not optimization. That is, wealth is not gained by perfecting the known, but by imperfectly seizing the unknown.” —Kevin Kelly, New Rules for the New Economy “Reward excellent failures. Punish mediocre successes.” Phil Daniels, Sydney exec Big Bigger Biggest ?????? “I don’t believe in economies of You don’t get better by being bigger. You get worse.” scale. —Dick Kovacevich/Wells Fargo/Forbes/08.04 (ROA: Wells, 1.7%; Citi, 1.5%; BofA, 1.3%; J.P. Morgan Chase, 0.9%) “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 “Forbes100” from 1917 to 1987: 39 members of the Class of ’17 were alive in ’87; 18 in ’87 F100; 18 F100 “survivors” underperformed the market by 20%; just 2 (2%), GE & Kodak, outperformed the market 1917 to 1987. S&P 500 from 1957 to 1997: 74 members of the Class of ’57 were alive in ’97; 12 (2.4%) of 500 outperformed the market from 1957 to 1997. Source: Dick Foster & Sarah Kaplan, Creative Destruction: Why Companies That Are Built to Last Underperform the Market Exit, Stage Right … CEO “departure” rate, 1995-2004: +300% Source: Booz Allen Hamilton (per USA Today/06.13.05) New Economy?! Genentech09, Amgen09 > Merck09 (70K-3/394B-5) Relentless “This [adolescent] incident [of getting from point A to point B] is notable not only because it underlines Grant’s fearless horsemanship and his determination, but also it is the first known example of a very important peculiarity of his character: Grant had an extreme, almost phobic dislike of turning back and retracing his steps. If he set out for somewhere, he would get there somehow, whatever the difficulties that lay in his way. This idiosyncrasy would turn out to be one the factors that made him such a formidable general. Grant would always, always press on— turning back was not an option for him.” —Michael Korda, Ulysses Grant Agressive “[Other] admirals more frightened of losing than anxious to win” Nelson’s secret: Speed “We don’t sell insurance anymore. We sell speed.” Peter Lewis, Progressive Tempo He who has the quickest O.O.D.A. Loops* wins! *Observe. Orient. Decide. Act. / Col. John Boyd Richard & Kevin Sir Richard’s Rules: Follow your passions. Keep it simple. Get the best people to help you. Re-create yourself. Play. Kevin Roberts’ Credo 1. Ready. Fire! Aim. 2. If it ain’t broke ... Break it! 3. Hire crazies. 4. Ask dumb questions. 5. Pursue failure. 6. Lead, follow ... or get out of the way! 7. Spread confusion. 8. Ditch your office. 9. Read odd stuff. 10. Avoid moderation! Passion & Enthusiasm I am a dispenser of enthusiasm.” —Ben Zander “A man without a smiling face must not open a shop.” —Chinese Proverb* *Courtesy Tom Morris, The Art of Achievement Hustle “Most important, upped the energy level at he Motorola.” —Fortune on Ed Zander/08.05 Sunny “Ronald Reagan radiated an almost transcendent happiness.” Half-full Cups: —Lou Cannon Create “A focus on cost-cutting and efficiency has helped many organizations weather the downturn, but this approach will Only the constant pursuit of innovation can ensure long-term success.” ultimately render them obsolete. —Daniel Muzyka, Dean, Sauder School of Business, Univ of British Columbia (FT/09.17.04) “Acquisitions are about buying market share. Our challenge is to create markets. There is a big difference.” —Peter Job, CEO, Reuters Revenue Top Line, Anyone? Point (Advertising Age), to Phil Kotler: “Who should the CMO [Chief Marketing Officer] report Kotler: “Maybe a to?” Chief Revenue Officer—the cost side has been squeezed, now companies have to focus on top-line growth—or maybe a Customer Officer. Chief (TP: Or maybe both!) C *Chief O* Revenue Officer Sell Sell Selll . “Everyone lives by selling something.” – Robert Louis Stevenson No Limits “You can’t behave in a calm, rational manner. You’ve got to be out there on the lunatic fringe.” — Jack Welch Leadership23 Tom Peters/Novosibirsk/14April2006 Leadership23 1. Enthusiasm. Energy. Exuberance. 2. Action. Execution. 3. Tempo. Metabolism. 4. Relentless. 5. Master of Plan B. 6. Accountability. 7. Meritocracy. 8. Leaders “do” people. Mentor. (“Success creation business.”) 9. Women. Diversity. 10. Integrity. Credibility. Humanity. Grace. 11. Realism. 12. Cause. Adventures. Quests. Leadership23 13. Legacy. 14. Best story wins. 15. On the edge. (“Wildest fantasy of a dreamy mind.”) 16. “Reward excellent failures. Punish mediocre successes.” 17. Different > Better. (“Only ones who do what we do.”) 18. MBWA. Customer MBWA. 19. Laughs. 20. Repot. Curiosity. Why? 21. You = Calendar. “To Don’t.” Two. 22. Excellence. Always. 23. Nelsonian! (“Other admirals more afraid of losing than anxious to win.”) Kevin Roberts’ Credo 1. Ready. Fire! Aim. 2. If it ain’t broke ... Break it! 3. Hire crazies. 4. Ask dumb questions. 5. Pursue failure. 6. Lead, follow ... or get out of the way! 7. Spread confusion. 8. Ditch your office. 9. Read odd stuff. 10. Avoid moderation! Sir Richard’s Rules: Follow your passions. Keep it simple. Get the best people to help you. Re-create yourself. Play. Source: Fortune on Branson Leadership23L* *Long Version Leadership23 1. Enthusiasm. Energy. Exuberance. 2. Action. Execution. 3. Tempo. Metabolism. 4. Relentless. 5. Master of Plan B. 6. Accountability. 7. Meritocracy. 8. Leaders “do” people. Mentor. (“Success creation business.”) 9. Women. Diversity. 10. Integrity. Credibility. Humanity. Grace. 11. Realism. 12. Cause. Adventures. Quests. 13. Legacy. 14. Best story wins. 15. On the edge. (“Wildest chimera of a moonstruck mind.”) 16. “Reward excellent failures. Punish mediocre successes.” 17. Different > Better. (“Only ones who do what we do.”) 18. MBWA. Customer MBWA. 19. Laughs. 20. Repot. Curiosity. Why? 21. You = Calendar. “To Don’t.” Two. 22. Excellence. Always. 23. Nelsonian! (“Other admirals more afraid of losing than anxious to win.”) People Power! People Power: “Brand You” Days People Power: The Talent50 People Power: “Brand You” Days “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 “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 “You are the storyteller of your own life, and you can create your own legend or not.” —Isabel Allende “Imagine you are sitting next to a stranger at dinner and you have to describe your job in one sentence that they can understand. If you fail this test, you are either a nuclear physicist or your job shouldn’t exist.” —Lucy Kellaway/personal relevance test/FT/0206.06 Personal “Brand Equity” Evaluation – I am known for [2 to 3 things]; next year at this time I’ll also be known for [1 more thing]. – My current Project is challenging me … – New things I’ve learned in the last 90 days include … – My public “recognition program” consists of … – Additions to my Rolodex in the last 90 days include … – My resume is discernibly different from last year’s at this time … R.D.A. Rate: 15%?, 25%? Therefore: Formal “Investment Strategy”/ R.I.P.* *Renewal Investment Plan “Knowledge becomes obsolete incredibly fast. The continuing professional education of adults is the No. 1 industry in the next 30 years … mostly on line.” —Peter Drucker Distinct … or … Extinct New Work SurvivalKit.2006 1. Mastery! (Best/Absurdly Good at Something!) 2. “Manage” to Legacy (All Work = “Memorable”/“Braggable” WOW Projects!) 3. A “USP”/Unique Selling Proposition (R.POV8: Remarkable Point of View … captured in 8 or less words) 4. Rolodex 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. Master of Improv (Play a dozen parts simultaneously, from Chief Strategist to Chief Toilet Scrubber) 8. Sense of Humor (A willingness to Screw Up & Move On) 9. Comfortable with Your Skin (Bring “interesting you” to work!) 10. Intense Appetite for Technology (E.g.: How Cool-Active is your Web site? Do you Blog?) 11. Embrace “Marketing” (Your own CSO/Chief Storytelling Officer) 12. Passion for Renewal (Your own CLO/Chief Learning Officer) 13. Execution Excellence! (Show up on time! Leave last!) Joe J. Jones 1942 – 2006 HE WOULDA DONE SOME REALLY COOL STUFF BUT … HIS BOSS WOULDN’T HIM! LET T. J. Peters 1942 – 2--- HE WAS A PLAYER! “It’s always showtime.” —David D’Alessandro, Career Warfare Getting to WOW Through Mastery of … The Sales25. Getting Things Done: Power & The Implementation34. Presentation Excellence: The PresX56 The Interviewing Excellence: The IntX31 People Power: The Talent50 1. People First! “The Creative Age is a wide-open game.” —Richard Florida, The Rise of the Creative Class Whoops: Jack didn’t have a vision!* *GE = “Talent Machine” (Ed Michaels) “When land was the scarce resource, nations battled over it. The same is happening now for talented people.” Stan Davis & Christopher Meyer, futureWEALTH 2. Soft Is Hard. Message: Leading “Talent” is all about Love: Passion, Enthusiasms, Appetite for Life, Engagement, Commitment, Great Causes & Determination to Make a Damn Difference, Shared Adventures, Bizarre Failures, Growth, Insatiable Appetite for Change. 3. FUNDAMENTAL PREMISE: We Are in an Age of Talent/Creativity/ Intellectual-capital Added. “Human creativity is the ultimate economic resource.” —Richard Florida, The Rise of the Creative Class Agriculture Age (farmers) Industrial Age (factory workers) Information Age (knowledge workers) Conceptual Age (creators and empathizers) Source: Dan Pink, A Whole New Mind 4. Talent “Excellence” in Every Part of Every Organization. Wegman’s: #1/100 “Best Companies to Work for”/2005 5. P.O.T./ Pursuit Of Talent = OBSESSION. “The leaders of Great Groups love talent and know where to find it. They revel in the talent of others.” —Warren Bennis & Patricia Ward Biederman, Organizing Genius Les Wexner: From sweaters to … people! 6. Talent Masters Understand Talent’s Intangibles. Q: A: “If it were your $50K [life’s savings] and my $50K, what sort of Waiters would we look for?” “Enthusiasts!” Visibly energetic /Passionate/Enthusiastic … about everything. Engaging/Inspires others. (Inspires the interviewer!) Loves messes & pressure. Impatient/ Action fanatic. A finisher. Exhibits: Fat “WOW Project” Portfolio. (Loves to talk about her work.) Smart. Curious/ Eclectic interests/ A little (or more) weird. Well-developed sense of humor/ Fun to be around. ****** No. 1 re bosses: Exceptional talent selection & development record. (Former co-workers: “Did you visibly grow while working with X?” /“How has the department/team grown on a ‘world-class’ scale during X’s tenure?”) 7. HR Is “Cool.” Chicago: HRMAC “support function” / “cost center” / “bureaucratic drag” or … Are you … “Rock Stars of the Age of Talent”? “HR doesn’t tend to hire a lot of independent thinkers or people who stand up as moral compasses.” —Garold Markle, Shell Offshore HR Exec (FC/08.05) 8. HR Sits at The Head Table. DD$21M A review of Jack and Suzy Welch’s Winning claims there are but two key differentiators that set GE “culture” apart from the herd: First: Separating financial forecasting and performance measurement. Performance measurement based, as it usually is, on budgeting leads to an epidemic of gaming the system. GE’s performance measurement is divorced from budgeting—and instead reflects how you do relative to your past performance and relative to competitors’ performance; ie it’s about how you actually do in the context of what happened in the real world, not as compared to a gamed-abstract plan developed last year. Second: Putting HR on a par with finance and marketing. 9. Re-name “HR.” Talent Department People Department Center for Talent Excellence Seriously Cool People Who Recruit & Develop Seriously Cool People Etc. 10. There Is an “HR Strategy”/ “HR Vision” “Omnicom very simply is about talent. It’s about the acquisition of talent, providing the atmosphere so talent is attracted to it.” —John Wren 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 EVP/ IBP?* What’s your company’s … *Employee Value Proposition, per Ed Michaels et al., The War for Talent; IBP/Internal Brand Promise per TP EVP/IBP = Remarkable challenges, rapid professional growth, wholesale respect, deep satisfaction, fun, stunning opportunities, exceptional rewards, amazing peer group, full membership in Club Adventure, maximized future employability 11. Acquire for Talent! Omnicom's acquisitions: “not for “buying talent;” “deepen a size per se”; relationship with a client.” Source: Advertising Age 12. There Is a FORMAL Recruitment Strategy. “Busy Executives Fail To Give Recruiting Attention It Deserves” —Headline, WSJ, 1121.05 Cirque du Soleil! Cirque du Soleil: Talent (12 full-time scouts, database of 20,000). R&D (40% Controls (shows are profit centers; partners like Disney offset costs; $100M on $500M). Scarcity builds buzz/brand (1 new show per year. “People tell me of profits; 2X avg corp). we’re leaving money on the table by not duplicating our shows. They’re right.” —Daniel Lamarre, president). Source: “The Phantasmagoria Factory”/Business 2.0/1-2.2004 13. There Is a FORMAL Leadership Development Strategy. DD: 0 to 60mph in a flash (months) Five MYTHS About Changing Behavior *Crisis is a powerful impetus for change *Change is motivated by fear *The facts will set us free *Small, gradual changes are always easier to make and sustain *We can’t change because our brains become “hardwired” early in life Source: Fast Company/05.2005 14. There is a “World Class” Leadership Development CENTER. Crotonville! 15. There Is a FORMAL STRATEGIC HR Review Process. “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 16. “People”/ Talent” Reviews Are the FIRST Reviews. 17. HR Strategy = BUSINESS Strategy. #1/100 Wegman’s: Best Companies to Work for 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 Wegman’s 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. Cirque du Soleil! 18. Make it a “Cause Worth Signing Up For.” “People want to be part of something larger than themselves. They want to be part of something they’re really proud of, that they’ll fight for, sacrifice for , trust.” —Howard Schultz, Starbucks (IBD/09.05) 19. Unleash “Their” Full Potential! “Firms will not ‘manage the careers’ of their employees. They will provide opportunities to enable the employee to develop identity and adaptability and thus be in charge of his or her own career.” —Tim Hall et al., “The New Protean Career Contract” A “Life Success Company” RE/MAX: Source: Everybody Wins, Phil Harkins & Keith Hollihan “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 20. Set Sky High Standards. Did We Say “Talent Matters”? “The top software developers are more productive than average software developers not by a factor of 10X or 100X, or even 1,000X, but 10,000X.” —Nathan Myhrvold, former Chief Scientist, Microsoft 21. Enlist Everyone in Challenge Century21. Distinct Extinct … or … New Work SurvivalKit.2006 1. Mastery! (Best/Absurdly Good at Something!) 2. “Manage” to Legacy (All Work = “Memorable”/“Braggable” WOW Projects!) 3. A “USP”/Unique Selling Proposition (R.POV8: Remarkable Point of View … captured in 8 or less words) 4. Rolodex 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. Master of Improv (Play a dozen parts simultaneously, from Chief Strategist to Chief Toilet Scrubber) 8. Sense of Humor (A willingness to Screw Up & Move On) 9. Comfortable with Your Skin (Bring “interesting you” to work!) 10. Intense Appetite for Technology (E.g.: How Cool-Active is your Web site? Do you Blog?) 11. Embrace “Marketing” (Your own CSO/Chief Storytelling Officer) 12. Passion for Renewal (Your own CLO/Chief Learning Officer) 13. Execution Excellence! (Show up on time! Leave last!) 22. Pursue the Best! “best person in the world” —Arthur Blank From “1, 2 or you’re out” [JW] to … “Best Talent in each industry segment to build best proprietary intangibles” [EM] Source: Ed Michaels, War for Talent 23. Up or Out. “We believe companies can increase their market cap 50 percent in 3 years. Steve Macadam at Georgia-Pacific changed 20 of his 40 box plant managers to put more talented, higher paid managers in charge. He increased profitability from $25 million to $80 million in 2 years.” —Ed Michaels, War for Talent 24. Ensure that the Review Process Has INTEGRITY. 25 = 100* * “But what do I do that’s more important than developing people? I don’t do the damn work. They do.”—GS 25. Pay Up! “Top performing companies are two to four times more likely than the rest to pay what it takes prevent losing top performers.” to —Ed Michaels, War for Talent Costco *$17/hour (42% above Sam’s); very good health plan; low t/o, low shrinkage *Low margins (“When I started, Sears, Roebuck was th Costco of the country, but they allowed someone to come in under them”—Jim Sinegal) Source: “How Costco Became the Anti-Wal*Mart/NYT/07.17.05 26. Training I: Train! Train! Train! 3 Weeks in May “Training” & Prep: 187 “Work”: 41 (“Other”: 17) 1% vs. 367% Divas do it. Violinists do it. Sprinters do it. Golfers do it. Pilots do it. Soldiers do it. Surgeons do it. Cops do it. Astronauts do it. Why don’t businesspeople do it? “Knowledge becomes obsolete incredibly fast. The continuing professional education of adults is the No. 1 industry in the next 30 years … mostly on line.” Peter Drucker, Business 2.0 27. Training II: 100% “Business People.” 28. Training III: 100% LEADERS. “I start with the premise that the function of leadership is to produce more leaders, not more followers.” —Ralph Nader 29. Training IV: Boss as Trainerin-Chief. “Workout” = 24 DPY in the Classroom 30. Training V: The REAL Bedrock of the “Talent Thing.” “My wife and I went to a [kindergarten] parent-teacher conference and were informed that our budding refrigerator artist, Christopher, would be receiving a grade of Unsatisfactory in art. We were shocked. How could any child—let alone our child—receive a poor grade in art at such His teacher informed us that he had refused to color within the lines, which was a state requirement for demonstrating ‘grade-level motor skills.’ ” —Jordan Ayan, AHA! a young age? “Thomas Stanley has not only found no correlation between success in school and an ability to accumulate wealth, he’s actually found a negative correlation. ‘It seems Ye gads: that school-related evaluations are poor predictors of economic success,’ Stanley concluded. What did predict success was a willingness to take risks. Yet the success-failure standards of most schools penalized risk takers. Most educational systems reward those who play it safe. As a result, those who do well in school find it hard to take risks later on.” Richard Farson & Ralph Keyes, Whoever Makes the Most Mistakes Wins 15 “Leading” Biz Schools 0 Design/Core: Design/Elective: 1 0 Creativity/Core: Creativity/Elective: 4 0 Innovation/Core: Innovation/Elective: 6 Source: DMI/Summer 2002/Research by Thomas Lockwood 31. Wide-open Communication: NO BARRIERS. “The organizations we created have become tyrants. They have taken control, holding us fettered, creating barriers that hinder rather than help our businesses. The lines that we drew on our neat organizational diagrams have turned into walls that no one can scale or penetrate or even peer over.” —Frank Lekanne Deprez & René Tissen, Zero Space: Moving Beyond Organizational Limits 32. Respect! “What creates trust, in the end, is the leader’s manifest respect for the followers.” — Jim O’Toole, Leading Change “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 He was seriously interested in who you were and what you had to say.” bishop or a college president. —Sara Lawrence- Lightfoot, Respect “Empowerment” = Trust Source: Barry Gibbons 33. Embrace the Whole Individual. 34. Build Places of “Grace.” Rodale’s on “Grace” … elegance … charm … loveliness … poetry in motion … kindliness ... benevolence … benefaction … compassion … beauty 35. MBWA*: Visible Leadership! *Managing By Wandering Around “The first and greatest imperative of command is to be present in person. Those who impose risk must be seen to share it.” —John Keegan, The Mask of Command 36. Thank You! “The deepest human need need to be appreciated.” is the —William James 37. Promote for “people skills.” (THE REST IS DETAILS.) “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?” Bossidy, Honeywell/AlliedSignal, in Execution —Larry 38. Honor Youth. “Why focus on these late teens and twentysomethings? Because they are the first young who are both in a position to change the world, and are actually doing so. … For the first time in history, children are more comfortable, knowledgeable and literate than their parents about an innovation central to society. … The Internet has triggered the first industrial revolution in history to be led by the young.” The Economist 39. Provide Early Leadership Assignments. The WOW! Project 40. Create a FORMAL System of Mentoring. W. L. Gore Quad/Graphics 41. Diversity! “To be a leader in consumer products, it’s critical to have leaders who represent the population we serve.” —Steve Reinemund/PepsiCo “We want our associate population to mirror our customer population at every level, from the executive suite all the way to the retail floor.” —Larry Johnston, CEO, Albertsons 42. WOMEN RULE. “AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure” Title, Special Report/BusinessWeek “On average, women and men possess a number of different innate skills. And current trends suggest that many sectors of the twentyfirst-century economic community are going to need the natural talents of women.” Helen Fisher, The First Sex: The Natural Talents of Women and How They Are Changing the World Women’s Strengths Match New Economy Imperatives: Link [rather than rank] workers; favor interactive-collaborative 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. —Judy B. Rosener, America’s Competitive Secret “TAKE THIS QUICK QUIZ: Who manages more things at once? Who puts more effort into their appearance? Who usually takes care of the details? Who finds it easier to meet new people? Who asks more questions in a conversation? Who is a better listener? Who has more interest in communication skills? Who is more inclined to get involved? Who encourages harmony and agreement? Who has better intuition? Who works with a longer ‘to do’ list? Who enjoys a recap to the day’s events? Who is better at keeping in touch with others?” Source: Selling Is a Woman’s Game: 15 Powerful Reasons Why Women Can Outsell Men, Nicki Joy & Susan Kane-Benson Hazel Blears, England’s first female police minister (per The Times, 7 March): “Blears believes the new [neighborhood policing, “broken windows”] approach requires skills other than the police’s traditional ‘control and command’ style, and she clearly thinks women officers are right for the task. ‘Many of the women in the service are very good at getting other people to join the police in fighting crime. The police need new skills around influence. When we talk about neighborhood policing and antisocial behavior you have to be able to draw in other people to help you resolve these problems.’ Blears leaves an impression in everything she says that her belief is that women officers may be much better at this than their male colleagues, but, of course, she is much too politic to say so.” U.S. M.Mgt. 41% T.Mgt. 4% Peak Partic. Age 45 % Coll. Stud. 52% G.B. E.U. Ja. 29% 18% 6% 3% 2% <1% 22 27 19 50% 48% 26% Source: Judy Rosener, America’s Competitive Secret ???????? The Core Argument 1. We are in a War for Talent. 2. The war will intensify. 3. Women are under-represented in our leadership ranks. 4. Women and men are different. 5. Women’s strengths match the New Economy’s leadership needs—to a striking degree. 6. Women are also the principal purchasers of goods and services—retail and commercial. 7. Ergo, women are a large part of “the answer” to the War for Talent issue/opportunity. 43. Hire (& Protect!) Weird! The Cracked Ones Let in the Light “Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found among non-conformists, dissenters and rebels.” —David Ogilvy “Are there enough weird people in the lab these days?” —V. Chmn., pharmaceutical house, to a lab director Saviors-in-Waiting Disgruntled Customers Off-the-Scope Competitors Rogue Employees Fringe Suppliers Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees Why Do I love Freaks? (1) Because when Anything Interesting happens … it was a freak who did it. (Period.) (2) Freaks are fun. (Freaks are also a pain.) (Freaks are never boring.) (3) We need freaks. Especially in freaky times. (Hint: These are freaky times, for you & me & the CIA & the Army & Avon.) (4) A critical mass of freaks-in-our-midst automatically make us-whoare-not-so-freaky at least somewhat more freaky. (Which is a Good Thing in freaky times—see immediately above.) (5) Freaks are the only (ONLY) ones who succeed—as in, make it into the history books. (6) Freaks keep us from falling into ruts. (If we listen to them.) (We seldom listen to them.) (Which is why most of us—and our organizations—are in ruts. Make that chasms.) 44. We Are All Unique. One size NEVER fits all. One size fits Beware Standardized Evals: one. Period. 53 Players = 53 Projects = 53 different success measures. 45. Capitalize on Strengths. “The key difference between checkers and chess is that in checkers the pieces all move the same way, whereas in chess all the pieces move differently. … Discover what is unique about each person and capitalize on it.” —Marcus Buckingham, The One Thing You Need to Know “The mediocre manager believes that most things are learnable and therefore that the essence of management is to identify ach person’s weaker areas and eradicate them. The great manager believes the opposite. He believes that the most influential qualities of a person are innate and therefore that the essence of management is to deploy these innate qualities as effectively as possible and so drive performance.” —Marcus Buckingham, The One Thing You Need to Know 46. Bosses “Win People Over.” “Coaching is winning players over.” PJ: 47. GOAL: Voyages of Mutual Discovery. “I don’t know.” Quests! Organizing Genius / Warren Bennis and Patricia Ward Biederman “Groups become great only when everyone in them, leaders and members alike, is free to do his or her absolute best.” “The best thing a leader can do for a Great Group is to allow its members to discover their greatness.” Leadership’s Mt Everest! “free to do his or her absolute best” … “allow its members to discover their greatness.” 48. Foster Independence. “You must realize that how you invest your human capital matters as much as how you invest your financial capital. Its rate of return determines your future options. Take a job for what it teaches you, not for what it pays. Instead of a potential employer asking, ‘Where do you see yourself in 5 years?’ you’ll ask, ‘If I invest my mental assets with you for 5 years, how much will they appreciate? How much will my portfolio of career options grow?’ ” Source: Stan Davis & Christopher Meyer, futureWEALTH 49. Enthusiasm! “It’s simple, really, Tom. Hire for s, and, above all, promote for s.” —Starbucks follower/WS analyst 50. Talent = Brand. The Top 5 “Revelations” Better talent wins. Talent management is my job as leader. Talented leaders are looking for the moon and stars. Over-deliver on people’s dreams – they are volunteers. Pump talent in at all levels, from all conceivable sources, all the time. Source: Ed Michaels et al., The War for Talent The Talent50 1. People first! 2. Soft is Hard. 3. FUNDAMENTAL PREMISE: We are in an Age of Talent/ Creativity/ Intellectual-capital Added. 4. Talent “excellence” in every part of the organization. 5. P.O.T./Pursuit Of Talent = Obsession. 6. HR sits at 7. HR is “cool.” The Head Table. Brand = Talent. “I have always believed that the purpose of the corporation is to be a blessing to the employees.” —Boyd Clarke Message: Leading “Talent” is all about Love: Passion, Enthusiasms, Appetite for Life, Engagement, Commitment, Great Causes & Determination to Make a Damn Difference, Shared Adventures, Bizarre Failures, Growth, Insatiable Appetite for Change. The Irreducible209 A frustrated participant at a seminar for investment bankers in Mauritius listened impatiently to my explanation of differences of opinion among me, Mike Porter, Gary Hamel, Jim Collins, etc. Finally, he’d had enough. “What, if anything,” he asked, “do you believe ‘for sure’?” I mumbled something, but his query started rumbling around in my mind. Three days later, wandering on a Sunday in London, the idea of “the irreducibles” occurred to me—and I started jotting down notes on stuff I do indeed believe “for sure.” Before I knew it, a few days later, the list had grown to 209 items. Hence “The Irreducible209” that follows. Tom Peters 1. 2. 3. 4. Hare 1, Tortoise 0. (Hare-y times.) Tempo. (O.O.D.A.) MBWA. Appreciation. (“Motivator” #1.) (Can’t be faked. Good.) 5. Decency. 6. Hurry. 7. Time out. 8. One matters. 9. Big change. Short time. (Alt not work.) 10. Excellence. Always. 11. Passion. Energy. Hustle. Enthusiasm. Exuberance. (Move mountains. No alt.) 12. You must care. 13. Emotion. 14. Hard is soft. (Soft is hard.) 15. 16. 17. 18. 19. 20. 21. 22. 23. Men. Women. Different. Contend. Connect. Women. Buy. All. (RU listening?) Quality. (“Mind-blowing.” Beyond 6-Sigma.) Re-invent. Re-pot. (Required.) Jaywalk. Big change. Small # of people. (Always.) Experiment. Now. Failure. Normal. Most failures, most success. (Fail. Forward. Fast.) 24. “Reward excellent failures. Punish mediocre successes.” 25. Women leaders. (Altered times.) 26. Extremism. (Good business. Bad politics.) 27. Innovation source. Only. Extreme irritation. 28. Smile. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. You must care. Mentor. (Highest ROI.) Best “roster” wins. Wow. (Okay in biz.) We all have customers. (Biz. Personal.) All contacts = Experiences. Cirque du Soleil. (Peerless.) Leaders create space for growth. Quests. (Only.) High aspirations, “high” results. (Self-fulfilling prophecy.) 39. Attitude 1, Skills 0. (Mostly.) (Attitude 1, Skill 0.3?) 40. Sometimes: Skill 1, Attitude 0.1. 41. Must “love,” not “like.” 42. Wegman’s.” (No excuses. “Mere” groceries.) 43. Less than your best. Cheating. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. Brand You. (No alt.) Self-sufficiency. (Biggest LT turn-on.) In the moment. The moment wins. Tomorrow = Never. Action 1, Plan 0.1. “Execution” can be a “system.” Realism. Own up. Move on. Accountability. Work hard > Work smart. (Mostly.) Feedback. Necessary. Fast. (R.F.A. in “RFA times.”) 56. Customers. Listen. Lead. (Paradox.) 57. “On stage.” Always. (GW, FDR, RG = Supreme actors.) 58. 59. 60. 61. 62. 63. 64. 65. 66. Master statistical analysis. Excellence = Set the table. Legacy. (Will it have mattered?) “Great.” (Why not?) Radicals rule. (Think … Olympics.) !!! = Good. Red 1, Brown 0. (Red times.) Talk. Listen. (“Big 2.” Master.) Politics. (Normal-inevitable state of affairs. Master.) 67. Student. Forever. 68. “Why?” (Question #1.) 69. Don’t belittle. 70. Respect. 71. All we have: this moment. (“Moments matter most”?) 72. Now. (Procrastination. Death.) 73. 74. 75. 76. Exercise. Paint. (Leader. Portraits of Excellence.) Best story wins. “You must be the change you wish to see in the world.” 77. Two “big ones.” Max. (Priorities.) 78. No “I” in Team. (“I” in Win.) 79. “I” in Win. (No “I” in Team.) 80. Different 1, Better 0. (Better = 0.1) 81. Imitation = Mistake. (Learn, from who?) 82. Choose/battle the “right” competitor. 83. Schools. Creativity. Entrepreneurship. (Not.) 84. MBAs. Creativity. Entrepreneurship. Leadership. (Not.) 85. Design. Under-rated. Wildly. (Still.) (Everything.) 86. 87. 88. 89. You = Calendar. (Calendar. Never. Lies.) Laugh. Handshake. (Quantity. Quality.) Don’t fold your hands in front of your chest. Ever. (Never.) 90. Grace. (“Works” in biz.) 91. Weird. Wins. (Weird times.) 92. Crazy times. Crazy orgs. 93. Internet. All. 94. Women. Boomers-Geezers. Market. All. 95. Passion. (Repeat. So what?) 96. Energy. (Repeat. So what?) 97. Hustle. (Repeat. So what?) 98. Enthusiasm. (Repeat. So what?) 99. Exuberance. (Repeat. So what?) 100. Smile. (Repeat. So what?) 101. Care. (Repeat. So what?) 102. Simplicity. Redundancy. Resilience. Bloodymindedness. Visible optimism. (Success.) 103. Act. (Repeat. So what?) 104. Appreciate. (Repeat. So what?) 105. Fun. (Biz. Why not?) 106. Joy. (Biz. Why not?) 107. Sales = Life. 108. Marketing = Life. 109. Long-term. “Top line.” 110. Great company = Creates the most individual success stories. (RE/MAX) 111. Talent first, performance byproduct. 112. Sustained Wow* 1, “Shareholder value,” 0.2 (*Product, People.) 113. Commitment, by invitation only. 114. Creativity, by invitation only. 115. HR = #1. (Ought to.) 116. Face-to-face. (5K miles, 5 minutes.) 117. Negotiation. Make all winners. (Save face.) 118. Grace makes enemies friends. 119. Network. 120. Invest in relationships. (Think ROIR. Return On Investment in Relationships.) 118. Relationship investment. Forethought. Calendar item. Intensity. 119. Innovation. Easy. (Hang out with weird.) 120. Weird = Win. (Weird times.) 121. “The bottleneck is at the top of the bottle.” 122. Good Board = Weird Board. (At least, surprising.) 123. No contention, no progress. 124. “Crucial conversations.” “Crucial confrontations.” (Study. Learn. Do.) 125. Honest feedback. 126. Gaspworthy. Yes. 127. “Insanely great.” 128. “Astonish me.” 129. “Make it immortal.” 130. “Will you remember it in 20 years?” 131. No small opportunities. (Reframe.) 132. One playmate, one playpen = Enough. 133. End run. Sensible. 134. Allies are there for the finding. 135. Find successes. Build on successes. (Pos > Neg. Encourage > Fix.) 136. Somebody’s doing it today. Find ’em. 137. Someone is living 2016 in 2006. (Find ’em. Study ’em.) 138. Don’t “benchmark,” “futuremark.” (2016. Happening. Somewhere.) 139. “PMA.” It works. 140. There are no experts. (You are the expert.) 141. Life is short. 142. “Sustained success.” Fat chance. Make today matter. (“Sustained.” Ha.) 143. Collaborate. (Networked world.) 144. Go solo. (Individual. Unit of Intellectual Capital.) 145. There are no “perfect” plans. (Do. Wins.) 146. Plans motivate. (Right or wrong. Sense of purpose.) 147. Never rest. 148. Get some sleep. 149. Winning = Embracing paradox. 150. Ambiguity = Opportunity. 151. Resilience. 152. Relentless-ness. 153. None. Above. Comeuppance. (GM. Sears. U.S. Steel. DEC.) 154. Be yourself. Period. 155. Never work with jerks. Including customers. (Life. Too short.) 156. Under-promise, over-deliver. 157. Talent. (Powerful word.) 158. “Customer = Anyone whose actions affect your results.” 159. Competition stinks. (Seek the soft spots where you can dominate.) 160. K.I.S.S./Keep It Simple, Stupid. 161. Beauty. (Good biz word.) 162. “See the beauty in a hamburger bun.” (Go. Ray.) 163. 164. 165. 166. Own up. Quick. ( Denial. Cancer.) Celebrate. Often. 78 people = 78 approaches. (Each. Unique.) Weed. Ceaselessly. (Prune. Stupid. Rules. Non-stop.) 167. Get out of the way. (You = The problem.) 168. Smile. Sunny. Optimism. (If it kills you.) 169. Flowers. (Cheery workplace.) 170. Enjoy. (Or get the hell.) 171. Be intolerant of “sour.” (1 = Major pollution) 172. No “quick trigger” on promotion. (Too important.) 173. Evaluation = Lots of study-time. 174. Evaluation = “Life or death” to evaluee. 175. “360” evaluation. No fad. 176. Exit when you’re done. (Done. Sooner than you think.) 177. Today. Now. My Project. Am. Is. I. Period. 178. “Beautiful” systems. (Good biz phrase. Not oxymoron.) 179. Build on strengths > Fix weaknesses. 180. “To don’t” = “To do.” (“To don’t” > “To do” ?) 181. Leaders “Do” People. (Period.) 182. Leaders enjoy leading. 183. Serious leadership training = Serious. 184. Priorities. Obvious. (Or else.) 185. 5 “Priorities” = 0 Priorities. (3 “Priorities” = 0 Priorities?) 186. People. First. Last. Always. 187. It. Is. Always. The. People. 188. Handshake. (Quantity. Quality.) 189. Don’t fold your hands in front of your chest. Ever. (Never.) 190. Simplicity. Redundancy. Resilience. Bloody-mindedness. Visible optimism. (Success.) (Repeat.) 191. Employee Entrance = Guest Entrance. 192. Put the customer SECOND. (Thanks, Hal.) 193. Flowers. (Or did I say that before? No matter if I did.) 194. Big Mergers don’t work. Small acquisitions can/do work—if you don’t screw with their energy. 195. Instinctively “head for the front line.” (In all contexts.) 196. Success = DDMMPR/"D-squared, M-squared, PR” = DramDiff + Money-Financial Acumen + Good “Marketing” Instincts + Stellar People + Resilience (The “fab five”: What. Every. Small. Biz. Needs.) (Big too.) 197. Core Mechanism (“Game-changing Solutions”): PSF (Professional Service Firm “model”) + Wow! Projects (“Different” vs “Better”) + Brand You (“Distinct” or “Extinct”) 198. 2011/2016 has already happened. Find it. 199. Kids “know” kids. Oldies “know” oldies. Women “know” women. (Staff accordingly.) 200. Everybody is my customer. 201. Cosset “vendors.” 202. I want to run a Housekeeping department. (And you?) 203. The military doesn’t follow the “military model.” (Initiative = Excellence.) 204. No such thing as “going to absurd lengths” to serve the Customer. (HSM & Lefties.) 205. Forget the “customer.” All = “Clients.” 206. It takes decades to get over “sleights.” (So don’t sleight.) 207. Don’t “dumb down.” Ever. NO LESS THAN EXCELLENCE. EVER. 209. EXCELLENCE. ALWAYS. 208. Tom’s 60TIBs* *TIB = This I Believe EXCELLENCE. ALWAYS. 1. TECHNICOLOR RULES! (Passion Moves Mountains!) 2. Audacity Matters! 3. Revolution Now! 4. Question Authority! (& Hire Disrespectful People.) 5. Disorganization Wins! (LOVE THE MESS!) 6. Think 3M: Markets Matter Most. ONLY EXTREME COMPETITION STAVES OFF STALENESS. (You can take the boy out of Silicon Valley, but you can’t take Silicon Valley out of the boy!) 7. Three Hearty Cheers for Weirdos. (Bill Gates, Steve Jobs, Larry Ellison, Scott McNealy, Craig Venter et al.) 8. Message 2006: Technology Change (Infosciences, Biosciences) Is in Its Infancy! (WE AIN’T SEE NOTHIN’ YET!) 9. Everything Is Up For Grabs! Volatility Is Thy Name! (Forever & Ever. Amen.) RE-INVENT … OR DIE! 10. Big Stinks. (Mostly.) (VERY Mostly.) 11. “Permanence” Is a Snare & a Delusion. (Forget “Built to Last.” It’s Yesterday’s Idea.) (Try “Built for Impact.”) 12. “Kaizen” (Continuous Improvement) Is VDS/ Very … Dangerous … Stuff. 13. DESTRUCTION RULES! 14. Forget It! (“Learning” = Easy. “Forgetting” = Nigh on Impossible.) 15. Innovation Is Easy: Hang Out with Freaks. (Employees, Board Members, Customers, Suppliers, Alliance Partners, Consultants.) 16. Boring Begets Boring. (Cool Begets Cool.) 17. Think “Portfolio.” (We’re All V.C.s.) 18. Perception Is All There Is. (“Insiders” … ALWAYS … overestimate the Radicalism of What They’re Up To.) 19. Action … ALWAYS … Takes Precedence. Think: R.F!A./Ready. Fire! Aim. (REWARD SUCCESS. REWARD FAILURE. PUNISH … INACTION.) 20. He Who Makes & Tests the Quickest & Coolest Prototypes Reigns! 21. Haste Makes Waste. (SO GO WASTE!) 22. Screwups are … the … Mark of Excellence. (“Do It Right the First Time” Is a Very Stupi Idea.) 23. Play Hard! Play Now! (Cherish Play!) 24. TALENT TIME! (He/She Who Has the Best “Roster” Rules!) 25. Re-do Education. Totally. (FOSTER CREATIVITY … NOT UNIFORMITY.) (THE NOISIEST CLASSROOM WINS.) 26. Diversity’s Hour Is Now! SHE 27. … Is the Best Leader! 28. MARKETING MANTRA: Embrace the “BIG THREE” Demographics. (1) SHE … is the Customer. (For everything.) (2) Rapidly Aging Boomers Have … ALL THE MONEY. (3) Green Matters. (TRILLIONS OF $$$$$ Are at Stake.) (NOBODY … Gets It.) (Mere “Programs” Will Not Suffice.) 29. Re-boot Healthcare. (UNDERSTATEMENT.) 30. WHAT ARE WE SELLING? “Experiences” & “Solutions” > “Quality” & “Satisfaction.” (The Traditional Value-added Equation Is Being Set on Its Ear.) 31. DESIGN = New Seat of the Soul. 32. Branding Is for … EVERYONE. He Who Has the … BEST STORY … Takes Home the Marbles. 33. DRAMATIC DIFFERENCE = Only Difference. 34. WORDS/Language Matters … a Lot. (E.g.: Three Hearty Cheers for “Wow”!) 35. WHAT MATTERS IS STUFF THAT MATTERS. (Query #1: “Are You Proud of It?”) 36. eALL. (IS/IT: Half-way = No Way.) 37. DREAM … Big! DREAM … Enormous! DREAM … Gargantuan! (These Are XXX Times.) 38. THINK MIKE! (Michelangelo: “The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it.”) 39. There Is Only … ONE BIG ISSUE: (Crappy) Crossfunctional Communication. 40. Stop Doing Dumb Stuff. (SYSTEMATIZE THE PROCESS OF “UNDUMBING.”) 41. Beautiful Systems Are … BEAUTIFUL. 42. The … WHITECOLLAR REVOLUTION … Will Devour Everything in Its Path. 43. Take Charge of Your Destiny! BrandYou Moment! DISTINCT … OR EXTINCT! 44. “Powerlessness” Is a State of Mind! Think: King. Gandhi. DeGaulle. 45. Pursue Adventure … in Every Task. 46. EXCELLENCE … Is a State of Mind. (Excellence Takes a Minute.) (No Bull.) 47. SHOW UP! (If You Care, You’re There.) 48. YOUR CALENDAR KNOWS ALL. (You = Calendar.) (Mind Your “TO DON’T” List.) 49. LIFE IS SALES. (The Rest Is Details.) 50. Boss Mantra #1: “I DON’T KNOW.” (“I Don’t Know” = Permission to Explore.) 51. Management Role 1: GET OUT OF THE WAY. (Clear the Way.) (“Manager” = Hurdle Removal Professional.) 52. Epitaph from Hell: “He Woulda Done Some Truly Cool Stuff … But His Boss Wouldn’t Let Him.” 53. Change Takes However Long You Think It Takes. (Eschew … “Incrementalism.”) 54. Respect! (Rule 1: Don’t Belittle!) 55. “Thank You” Trumps All! 56. Integrity Matters! Integrity = Credibility. (Dennis K. Is a Jerk.) 57. SOFT IS HARD. HARD IS SOFT. (Numbers Are Soft. People Are Not.) 58. Try Sunny! (Sunny Begets Sunny. Gloomy Begets Gloomy.) 59. DISPENSE ENTHUSIASM ! 60. FUN …Is Not a 4Letter Word. So, too … JOY. (And GRACE.) The End. EXCELLENCE. ALWAYS.