65094625 Management Guru Tom Peters
Content
EXCELLENCE. Always. If not EXCELLENCE, what? If not EXCELLENCE now, when? EXCELLENCE is not an "aspiration." EXCELLENCE is not a "journey." EXCELLENCE is the next five minutes. Organizations exist to SERVE. Period. Leaders exist to SERVE. Period. SERVICE is a beautiful word. SERVICE is character, community, commitment. (And profit.) SERVICE is a beautiful word. SERVICE is not "Wow." SERVICE is not "raving fans.― SERVICE is not "a great experience." Service is "just" that—SERVICE.
To appreciate this presentation [and ensure that it is not a mess], you need Microsoft fonts:
NOTE:
“Showcard Gothic,” “Ravie,” “Chiller” and ―Verdana‖
Slides at …
tompeters.com
Problem #1. Opportunity #1. Slide #1.
XFX = #1
The Strategic Importance of XFX (Cross-functional eXcellence)
I intend to start using this as a ―stand alone‖ 1st slide. I believe that in most any organization of, say, more than a dozen people, the #1 issue is ―cross-functional communicationintegration.‖ It is both ―Problem #1‖ and ―Opportunity #1.‖ From intelligence pattern recognition to order execution to innovation, our INTERNAL barriers, not our competitors‘ cleverness, are the principal impediment to effectiveness. I suspect we all agree with that. But is it—AND IT RARELY IS—literally seen as ―SO1‖—Strategic Opportunity #1? (Please do me the honor of thinking about this.)
#1
cause of
employee Dis-satisfaction?
Employee retention & satisfaction:
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
The “3H Theory of Everything”
Conrad Hilton, at a gala celebrating his career, was asked …
All you need to know …
All you need to know …
Hilton Howard Herb
All you need to know …
Hilton Howard Herb
―What was the most important lesson you‘ve learned in you long and distinguished career?‖ His immediate
was asked, answer …
Conrad Hilton, at a gala celebrating his career,
“remember
to tuck the shower curtain inside the bathtub”
“Execution strategy.”
—Fred Malek
is
“In real life, strategy is actually very straightforward. Pick a general direction and implement like hell”
—Jack Welch
―On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main constituencies are your employees, your customers and your products.‖ —Jack Welch, FT, 0313.09, page 1
―The art of war does not require complicated maneuvers; the simplest are the best and common sense is fundamental. From which one might wonder how it is generals make blunders; it is because they try to be clever.‖ —Napoleon
Internal organizational excellence = Deepest “Blue Ocean”
The Score Takes Care of Itself
—Bill Walsh, SF49ers Hall of Fame football coach
―I do not rule Russia. Tenthousand clerks do.‖
—Czar Nicholas I
All you need to know …
Hilton Howard Herb
Sunday ―Drive By‖: The CEO of a very successful mid-sized
bank, in the Mid-west, attended a seminar of mine in Northern California in the mid-80s—but I remember the following as if it were yesterday. I‘ve forgotten the specific context, but I recall him saying to me, pretty much word
―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.‖
for word,
All you need to know …
Hilton Howard Herb
―You have to treat your employees like customers.‖
upon being asked his ―secret to success‖
—Herb Kelleher,
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 the Annual Meeting)
The Customer Comes Second
—Hal Rosenbluth and Diane McFerrin Peters* (*no relation)
“We are a „Life Success‟ Company.”
Dave Liniger, founder, RE/MAX
―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
All you need to know …
Hilton Howard Herb
3H: Hilton, Howard, Herb
**Sweat the details! **Stay in touch! **It‘s all about the people!
All you need to know …
Hilton Howard Herb Hsieh
Zappos 10 Corporate Values Deliver ―WOW!‖ through service. 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
4H: Hilton, Howard, Herb, Hsieh
**Sweat the details! **Stay in touch! **It‘s all about the people! **Wow!
Leader‟s oath of office
Definition of a boss/supervisor/
Cannot Do the Work That Needs to Be Done
leader:
“Leaders people. Period.”
„do‟
—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.
Servant Leadership/Robert Greenleaf
1. Do those served grow as persons? 2. Do they, while being served, become healthier wiser, freer, more autonomous, more likely themselves to become servants?
Framework 2010* Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.)
*Courtesy Tom Peters/The Un-revolutionary
Leadership is a sacred trust.*
*President, classroom teacher, CEO, shop foreman
Excellence. Service. Period.
EXCELLENCE. Always. If not EXCELLENCE, what? If not EXCELLENCE now, when? EXCELLENCE is not an "aspiration." EXCELLENCE is not a "journey." EXCELLENCE is the next five minutes. Organizations exist to SERVE. Period. Leaders exist to SERVE. Period. SERVICE is a beautiful word. SERVICE is character, community, commitment. (And profit.) SERVICE is a beautiful word. SERVICE is not "Wow." SERVICE is not "raving fans.― SERVICE is not "a great experience." Service is "just" that—SERVICE.
Non-Excellence.
―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: Jack Bogle, Enough! (chapter titles)
―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.‘‖ — John Bogle, Enough. The Measures of
Money, Business, and Life (Bogle is founder of the Vanguard Mutual Fund Group)
Five Or Less Words To The Wise
EXCELLENCE/Five Or Less Words To The Wise 4 most important words: ―What do you think?‖ (Dave Wheeler @ tompeters.com: ―Most important 4 words in an organization.‖) 4 most important words: ―How can I help?‖ (Boss as CHRO/ Chief Hurdle Removal Officer) 2 most important words: ―Thank you!‖ (Appreciation/ Recognition) 2 most important words: ―All yours.‖ (―Hands-off‖ delegation/ Respect/Trust) 3 most important words: ―I‘m going out.‖ (MBWA/Managing By Wandering Around/In touch!) 2 most important words: ―I‘m sorry.‖ (Power of unconditional apology = Stunning! Marshall Goldsmith: #1 exec issue) 5 most important words: ―Did you tell the customer?‖ (Overcommunicate) 2 most important words: ―She says …‖ (―She‖ is the customer!)
EXCELLENCE/Five Or Less Words To The Wise 2 most important words: ―Yes ma‘am.‖ (Women are more often than not the best managers.) 2 most important words: ―Try it!‖ (My only ―for sure‖ in 44 years: Herb Kelleher: ―We have a strategic plan, it‘s called doing things.‖/Bill Parcells: ―Blame no one. Expect nothing. Do something.‖) 3 most important words: ―Try it again!‖ (My only ―for sure‖ 44 years: MOST TRIES WINS.) 2 most important words: ―Good try!‖ (CELEBRATE ―good failures.‖ Richard Farson/book: Whoever Makes the Most Mistakes Wins. Samuel Beckett: ―Fail. Fail again. Fail better.‖) 3 most important words: ―At your service.‖ (Organizations exist to serve. Period. Leaders live to serve. Period.) 4 most important words: ―How are we doing?‖ (To customers, regularly.) 4 most important words: ―How was Mary‘s recital?‖ (Know your employees‘ kids.) 2 most important words: ―Let‘s party!‖ (Celebrate ―small wins‖ at the drop of a hat.)
EXCELLENCE/Five Or Less Words To The Wise 1 most important word: ―No.‖ (―To don‘ts‖ > ―To dos‖) 1 most important word: ―Yes.‖ (Hey, give it a shot/Anon. quote: ―The best answer is always, ‗What the hell.‘‖/Wayne Gretzky: ―You miss 100% of the shots you don‘t take.‖) 2 most important words: ―Lunch today?‖ (―Social stuff‖ = Secret to problem/opportunity #1:/XFX/ cross-functional Excellence.) 4 most important words: ―Thank Dick in accounting.‖ (Readily acknowledge help from other functions.) 2 most important words: ―After you.‖ (Courtesy rules.) 3 most important words: ―Thanks for coming.‖ (Civility. E.g., boss acknowledges employee coming to her/his office.) 2 most important words: ―Great smile!‖ (Note & acknowledge good attitude.) 1 most important word: ―Wow!‖ (The gold standard … for everything.) 1 most important word: ―EXCELLENT!‖ (The … ONLY … acceptable standard/aspiration.)
More than one route forward
There is more than one way to skin a cat!*
*Every project REQUIRES (if you‘re smart) an outside look by one/some Seriously Weird Cat/s—in pursuit of a whacked-out option. To consider
14,000 20,000
14,000 20,000
14,000/eBay 20,000/Amazon 30/Craigslist
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
“Insanely Great”
Steve Jobs
“Radically thrilling”
BMW
“Let us create such a building that future generations will take us for lunatics.”
—the church hierarchs at Seville
“We are crazy. We should do something when people say it is
If people say something is „good‟, it means someone else is already doing it.”
„crazy.‟
—Hajime Mitarai, Canon
“You do not merely want to be
You want to be considered the only ones who do what you do.”
the best of the best.
—Jerry Garcia
F.Y.I.
“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 …
“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:
Evolution, Extinction and Economics
—Paul Ormerod, Why Most Things Fail:
Dick Kovacevich:
You don‟t get better by being bigger. You
“Mr. Foster and his McKinsey colleagues collected detailed performance data stretching
back
40 years for 1,000
U.S. companies.
They found that
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
“ „Good management‟ was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms
listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.”
—Clayton Christensen, The Innovator‘s Dilemma
“The more successful a company, the flatter its forgetting curve.”
— Gary Hamel and C.K. Prahalad
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
―It is generally much easier to
organization
substantially.‖
kill an
than change it
—Kevin Kelly, Out of Control
―Data drawn from the real world attest to a fact that is beyond our control:
Everything in existence tends to deteriorate.‖
—Norberto Odebrecht, Education Through Work
Tom Peters‘
Excellence. Always.
MASTER 23 August 2010
Part ONE
Little =
*Thank you, Mr. Prime Minister
―Design is everything. Everything is design.‖ ―We are all designers.‖
Inspiration: The Power of Design: A Force for Transforming Everything, Richard Farson
Big carts =
Source: Walmart
Bag sizes = New markets:
Source: PepsiCo
BEGINS (and ENDS)
It
in the …
parking lot*
*Disney
7X. 7:30A-8:00P. F12A. 7:30AM = 7:15AM. 8:00PM = 8:15PM.
“No” = 2*
*Yes Bank
The Commerce Bank Model “every computer at commerce bank has a
special red key on it that
says, „found something stupid that we are doing that interferes with our ability to service the customer? Tell us about it, and if we agree, we will give you $50.‟”
Source: Fans! Not customers. How Commerce Bank Created a Supergrowth Business in a No-growth Industry, Vernon Hill & Bob Andelman
2,000,000
Don‟t like it? Don‟t pay.
Source: Granite Rock Co.
(1) LAN Installation Co. (3%)
(2) (3) Best Buy contracts (4) Best Buy purchases
(5) Best Buy‘s
“Geek Squad” (30%)
“brand promise”
Source: Best Buy (Circuit City: fire senior, hire junior)
“Paint it white!”
— On Hashem Akbari‘s [Lawrence Berkeley National lab] powerful program to significantly reduce greenhouse gas emissions; using conservative assumptions, it could emissions by cooling buildings, roads, entire cities (The Guardian, 0116.09)
reduce 44 billion tons of CO2
Industrial and Residential Buildings
39% *Electricity: 68%
*Total energy: *Carbon dioxide emissions:
*Raw materials:
30% *Non-industrial landfill: 40%
40%
Source: U.S. Green Building Council (from Green Building A to Z, Jerry Yudelson)
see green = recover 20% faster
Socks = 10,000*
*Deep Vein Thrombosis/UK
―Broken windows‖: Clean the streets, fix the broken windows, ticket the open-beer-can holders, etc, etc
= Sense of order = Crime way down
Little =
“Power Freaks” Move Things Around!
6.5
feet Away =
6.5 feet Away =
-63%
“Seconds”*
*Plate size, etc, first serving dish
Round = 2X/allx
>100 feet = 100 miles
Geologists + Geophysicists + A little bit of love =
Oil
XFX = #1* **
*Cross-functional eXcellence **Execution, Innovation, Speed
―Everything matters‖
-80%
Sunstein, etching of fly in the urinal reduces ―spillage‖ by 80%, Schiphol Airport
Source: Nudge, Richard Thaler and Cass
(1) Amenable to rapid experimentation/failure “free” (No bad “PR,” No $$) (2) Quick to implement/Quick to Roll out (3) Inexpensive to implement/ Roll out (4) Huge multiplier (5) An “Attitude” (6) Does not by and large require a “power position” from which to launch experiments.
<TGW
and …
>TGR
[Things Gone WRONG-Things Gone RIGHT]
2-cent candy
“May I clean your glasses, sir?”*
*Kingfisher Air
Music in the parking lot; professional musicians in the lobby (7/week, 3-4hrs/day) ;
Griffin:
5 pianos
volunteers (120-140 hrs arts &
entertainment per month).
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
;
none!
Press Ganey Assoc:
139,380 former patients from 225 hospitals:
none
of THE top 15 factors
determining Patient Satisfaction referred to patient‟s health outcome
P.S. directly related to Staff Interaction P.P.S. 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 budget.
Kindness is free.
Laura Gilpin, Patrick Charmel
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.” —Putting Patients First, Susan Frampton,
“Kindness is free.”
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”
—Henry Clay
―We don‘t take people to the elevator—we take them down to the street.
—David Ogilvy
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.
(of all varieties):
Relationships
“Be kind, for everyone you meet is fighting a great battle.”
—Philo of Alexandria
The Manager‟s Book of Decencies: How Small /gestures Build Great Companies.
—Steve Harrison, Adecco
The Manager‟s Book of Decencies: How Small gestures Build Great Companies. —Steve Harrison, Adecco
Servant Leadership
—Robert Greenleaf
One: The Art and Practice of Conscious Leadership —Lance Secretan,
founder of Manpower, Inc. (―What would happen if we looked at a customer and saw the face of God in them?‖)
―What would happen if we looked at a customer and saw the face of God in them? To most people it sounds like a lofty idea. But if you see the face of God in a flower, why wouldn‘t you see it in the face of a customer? If we treated customers and honored the God within them—if we loved them— we would not need a ‗quality program.‘‖ —Lance Secretan, founder of Manpower, Inc., and most
recently author of One: The Art and Practice of Conscious Leadership
Respect. Decency. Wee Gestures.
Success …
Consult everyone on everything
“Thank you” note carpet bombing
Source: Roger Rosenblatt, Rules for Aging
The “krp Theory of Everything”
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 screwups. ―Over‖-reacts to screwups of any magnitude. ―Professional‖ in all dealings. Optimistic. Understand 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.
―One kind word can warm three winter months.‖
– Japanese Proverb
―Three things in human life are important. The first is to be kind. The second is to be kind. And the third is to be kind.‖ —Henry James
―The deepest principle of human nature is the craving to be appreciated.‖
(in Timeless Wisdom, compiled by Gary Fenchuk)
—William James
Kindness = Repeat business = Profit. Equations/Expanded:
K=R=P X=S=P
eXcellence = Satisfied customers = Profit
eXcellence + Kindness = Repeat business = Profit+
X + K = R = P+
eXcellence + Kindness + Wow = Repeat business + New business = Profits++
X + K + W = R + N = P++
“Perception is all there is”
Comeback
[big, quick response]
>> Perfection
Acquire vs maintain*:
*Recession goal:
Higher ―market share‖ current customers
RESPONSE TO THE
PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM.*
*PERCEPTION IS ALL THERE IS!
THE PROBLEM IS RARELY/NEVER THE PROBLEM. THE
Potlatch.
Clinton Cornwallis Yorktown Edward VII
“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
―The [Starbucks] Fix‖ Is on …
“We have identified a „third place.‟
And I really believe
that sets us apart. The third place is that place that‘s not work or home. It‘s the place our customers come for refuge.‖ —Nancy Orsolini, District Manager
Source: Container Store/increase average sale per shopper
Q: ―Why did you buy Jordan‘s Furniture?‖ A: ―Jordan‘s is
It‟s all showmanship.”
spectacular.
Source: Warren Buffet interview/Boston Sunday Globe/12.05.04
Experience: ―Rebel Lifestyle!‖
“What we sell is the ability for a 43year-old accountant to dress in black leather, ride through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
Up,
Up,
Up,
Up
the Value-added Ladder.
The Value-added Ladder
Services Goods Raw Materials
The Value-added Ladder
Scintillating EXPERIENCES
Services Goods Raw Materials
Beyond the ―Transaction‖/ ―Satisfaction‖ Mentality
“Good hotel”/ “Happy guest”/ “Exceeded Expectations”
vs.
“Great Vacation”/ “Great Conference”/ “Operation Personal Renewal”
C
*Chief e
O*
Xperience Officer
Hire a theater director, as a consultant or FTE!
First Step (?!):
“Most executives have
no idea how to add value to a market in the metaphysical world. But
that is what the market will cry out for in the future. There is no lack of „physical‟ products to choose between.”
Jesper Kunde, Unique Now ... or Never [on the excellence of Nokia, Nike, Lego, Virgin et al.]
Words!
— Magician of Magical Moments — Maestro of Moments of Truth — Recruiter of Raving Fans — Impresario of First 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
Caution:
“ … focus on „engagement,‟ not „experience‟ …”
—Martin Buber, I and Thou, 1927 (from Steve Yastrow, We)
“A man without a smiling face must not open a shop.”
—Chinese Proverb
Planetree:
A Radical Model for New Healthcare/Healing/ Wellness Excellence
The 9 Planetree Practices 1. The Importance of Human Interaction 2. Informing and Empowering Diverse Populations: Consumer Health Libraries and Patient Information 3. Healing Partnerships: The importance of Including Friends and Family 4. Nutrition: The Nurturing Aspect of Food 5. Spirituality: Inner Resources for Healing 6. Human Touch: The Essentials of Communicating Caring Through Massage 7. Healing Arts: Nutrition for the Soul 8. Integrating Complementary and Alternative Practices into Conventional Care 9. Healing Environments: Architecture and Design Conducive to Health
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
The Patient-Family Experience
“Patients are stripped of control, their clothes are taken away, they have little say over their schedule, and they are deliberately separated from their family and friends. Healthcare professionals control all of the information about their patients’ bodies and access to the people who can answer questions and connect them with helpful resources. Families are treated more as intruders than loved ones.” Putting Patients First
— , Susan Frampton, Laura Gilpin, Patrick Charmel
Press Ganey Assoc:
139,380 former patients from 225 hospitals:
none
of THE top 15 factors
determining Patient Satisfaction referred to patient‟s health outcome
PS directly related to Staff Interaction PS 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 budget.
Kindness is free.
Laura Gilpin, Patrick Charmel
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.” —Putting Patients First, Susan Frampton,
Care Partner Programs
(IDs, discount meals, etc.)
Unrestricted visits (―Most Planetree hospitals
have eliminated visiting restrictions altogether.‖) (ER at one hospital ―has a policy of never separating the patient from the family, and there is no limitation on how many family members may be present.‖)
Collaborative Care Conferences Clinical Guidelines Discussions Family Spaces Pet Visits (POP: Patients‘ Own Pets)
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Music in the parking lot; professional musicians in the lobby (7/week, 3-4hrs/day) ;
Griffin:
5 pianos ;
volunteers (120-140 hrs arts &
entertainment per month).
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
―Planetree Look‖
Woods and natural materials Indirect lighting Homelike settings Goals: Welcome patients, friends and
family … Value humans over technology .. Enable patients to participate in their care … Provide flexibility to personalize the care of each patient … Encourage caregivers to be responsive to patients … Foster a connection to nature and beauty
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Access to nurses station:
“Happen to”
vs
“Happen with”
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Conclusion: Caring/Growth “Experience”
―It was the goal of Planetree to help patients not only get well faster but also to stay well longer.‖
—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel (Planetree Alliance/Griffin Hospital)
Care!/Love!/Spirit!
Self-Control!
Connect!/learn!/ involve!/Engage! Understanding!/Growth!
De-stress!/heal!
Whole patient & family & friends!
be well!/stay well!
“Planetree is about
human beings caring for other human beings.”
—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel (―Ladies and gentlemen serving ladies and gentlemen‖—4S credo)
f.y.i.
Griffin Hospital/Derby CT (Planetree Alliance ―HQ‖) Results:
Financially successful. Expanding programsphysically. Growing market share. Only hospital in “100 Best Cos to Work for”— 7 consecutive years, currently #6.
—―Five-Star Hospitals,‖ Joe Flower, strategy+business (#42)
All Equal Except …
“At Sony we assume that all products of our competitors have basically the same technology, price, performance and
Design is the only thing that differentiates one product from another in the marketplace.” —Norio Ohga
features.
“Design is treated like a religion at BMW.” —Fortune
“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 the
Design is the fundamental soul of a man-made creation.”
meaning of design.
—Steve Jobs
“You know a design is good when you want to lick it.”
—Steve Jobs Source: Design: Intelligence Made Visible, Stephen Bayley & Terence Conran
“With its carefully conceived mix of colors and textures,
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
Starbucks
„Every Starbucks store is carefully designed to enhance the quality of everything the customers see, touch, hear, smell or taste,‟ writes CEO Howard Schultz.”
of … the aesthetic imperative. …
-—Virginia Postrel, The Substance of Style: How the Rise of Aesthetic
Value Is Remaking Commerce, Culture and Consciousness
Hypothesis:
DESIGN is
the principal difference between love and hate!
All Time
No.1
(TP)
Ziplocs
THE DESIGNER OF MY KRUPPS/ CUISINART COFFEE-MAKER. Major Reward!
Wanted:
―Business people don‘t need to ‗understand designers better.‘ Businesspeople need to be designers.‖
—Roger Martin/Dean/Rotman Management School/ University of Toronto
―The ‗surplus society‘ has a surplus of
companies, employing
similar similar similar
with
similar
similar
people, with
educational backgrounds, coming up with
ideas, producing
prices and
similar similar
things,
quality.‖
—Kjell Nordström and Jonas Ridderstråle, Funky Business
Not optional …
C
*Chief
O*
Design
Officer
―Design is everything. Everything is design.‖ ―We are all designers.‖
Inspiration: The Power of Design: A Force for Transforming Everything, Richard Farson
“Business people don‟t need to „understand designers better.‟ Businesspeople need to be designers.”
—Roger Martin/Dean/Rotman Management School/ University of Toronto
Message (?????):
Men design for women‘s needs.
cannot
Back to the future: “beyond” micro-marketing
―Forget China, India and the Internet: Economic Growth Is Driven by
Women.‖
Source: Headline, Economist
―We Did It!‖
women surpass 50% in U.S. workforce/
–Economist cover, Jan 02.2010, as
―Women‘s economic empowerment is arguably the biggest social change of our times.‖
―All signs point to a new era of women in charge—socially, economically and politically.‖
—Alex Beam, ―Women Rule,‖ International Herald/Jan 15
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1, International Herald /Jan 18
―What do growth, expansion and prosperity have in common? In French grammar they are feminine and when it comes to facts and figures they are feminine as well. Forget China, India and even new technologies – for the past 10 years the number one vector for global growth has been women.‖
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)
―Since 1970, women have held two out of three new jobs. According to The Economist, which compiled studies from a number of research firms, the arrival of this new workforce has done more to encourage global growth than increases in capital investment and improvements in productivity. ‗Over the last 10 years the increase in women [in the workplace] in developed countries has made more of a contribution to global growth than China has,‘ concludes the British weekly.‖
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)
―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 countries. South-east 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.‖
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 in 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 labour or to be consumers with rising budgets and more autonomy to spend. They are increasingly becoming directors, managers and entrepreneurs. Some studies have even shown a correlation between the presence of women in managerial positions and a company‘s financial results. ―This is just the beginning. The phenomenon will only grow as girls prove to be more successful than boys in the school system and enroll in higher numbers in universities. For a number of observers, we have already entered the age of ‗womenomics,‘ the economy as thought out and practised by women. Those Chinese who desire that their only child be male may soon realise that a daughter could be a better investment. Bosses know full well that a team of both men and women is more creative and efficient than one comprised of only men.
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 in 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. They are increasingly becoming directors, managers and entrepreneurs. …‖
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)
―This is just the beginning. The phenomenon will only grow as girls prove to be more successful than boys in the school system and enroll in higher numbers in universities. For a number of observers, we have already entered the age of ―womenomics‖, the economy as thought out and practised by women. Those Chinese who desire that their only child be male may soon realise that a daughter could be a better investment. Bosses know full well that a team of both men and women is more creative and efficient than one comprised of only men.‖
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)
―Tipping Point‖? ―All signs point to a new era of women in charge—socially, economically and politically.‖ —Alex Beam, ―Women Rule,‖ International
Herald/Jan 15.2010
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1,
International Herald /Jan 18.2010
―We Did It!‖ –Economist cover (Jan 02.2010)
as women surpass 50% in U.S. workforce/―Women‘s economic empowerment is arguably the biggest social change of our times.‖
―Tipping Point‖/2010?
―All signs point to a new era of women in charge—socially, economically and politically.‖
—Alex Beam, ―Women Rule,‖ International Herald/Jan 15.2010
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1, International Herald /Jan 18.2010 ―Meet the lipstick entrepreneurs Trendspotters are forecasting huge gains for women in business over the next decade. We meet the new band of sisters doing it for themselves‖ —Headline, Sunday Times (UK), January 3.2010
―We Did It!‖
–Economist cover (Jan 02.2010)
as women surpass 50% in U.S. workforce/―Women‘s economic
empowerment is arguably the biggest social change of our times.‖
―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
boys in the school system.
For a number of observers, we have already entered the age of „womenomics,‟ the economy as thought out and practiced by a woman.” —Aude Zieseniss de Thuin, Women‘s
Forum for the Economy and Society
“Since 1970, women have held two out of every three new jobs created.”
—FT, 10.03.2006
“Women are the majority market”
—Fara Warner/The Power of the Purse
W>
2X (C + I)*
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 …‖ —Michael Silverstein and Kate Sayre, ―The Female Economy,‖ HBR, 09.09
$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
*―Women now drive the global economy. Globally, they control about $20 trillion in consumer spending, and that figure could climb as high as
“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, April 15
―The
most significant variable in every
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
The Perfect Answer
Jill and Jack buy slacks in black…
McDonald‘s
Cases! Cases! Cases!
(―mom-centered‖ to ―majority consumer‖; not via kids)
Nike
Home Depot (―Do it [everything!] Herself‖) P&G (more than ―house cleaner‖) DeBeers (―right-hand rings‖/$4B) AXA Financial Kodak (women = ―emotional centers of the household‖)
(> jock endorsements; new def sports; majority consumer)
Bratz (young girls want ―friends,‖ not a blond stereotype)
Source: Fara
Avon
Warner/The Power of the Purse
“Women don‟t buy
They join them.”
brands.
EVEolution
2.6 vs.
―People powered‖:
Age 3 days, baby girls 2X eye contact.
Source: Martha Barletta, Marketing to Women
“Women speak and hear a language
of connection and intimacy, and men
speak and hear a language of status and independence. Men communicate to obtain information, establish their status, and show independence. Women
communicate to create relationships, encourage interaction, and exchange feelings.”
—Judy Rosener, America‟s Competitive Secret
94%
of loans to …
women*
*Microlending; ―Banker to the poor‖; Grameen Bank;
Muhammad Yunus; 2006 Nobel Peace Prize winner
entrepreneurial in nature, and they actively participate in the tanda system [neighborhood groups who pool money and save any that‘s left over]. Regardless of whether they are homemakers or outside-the-home workers, they are responsible for any savings in the family. Patrimonio Hoy [Private Property Today, a CEMEX program to aid the poor in building homes] discovered that 70% of the women who saved were saving money in the tanda system to construct homes for their families. The men in the society consider their job done if they bring in their paycheck at the end of the day.‖ —C.K. Prahalad, from The Fortune at the Bottom of
the Pyramid, on
Mexican company that‘s the world‘s #3 cement maker
are the key drivers of savings in [Mexican] families. … They are
“CEMEX realized that women
Lorenzo Zambrano and CEMEX, the
Lesson: For projects involving children or health or education or
community development or sustainable small-business growth (most projects), women are by far the most reliable and most central and most indirectly powerful local players in even the most chauvinist settings—their characteristic process of ―implementation by indirection‖ means ―life or death‖ to sustainable project success; moreover, the expanding concentric circles of women‘s traditional networking processes is by far the best way to ―scale up‖/expand a program. (Men should not even try to understand what is taking place. Among other things, this networking indirection-largely invisible process will seemingly ―take forever‖ by most men‘s ―action now, skip steps‖ S.O.P.—and then, from out of the blue, following an eternity of rambling discussions-on-top-oframbling-discussions, you will wake up one fine morning and discover that the thing is done that everything has fallen in place ―overnight‖ and that ownership is nearly universal. Concomitant imperative; most of your (as an outsider) staff should be women, alas, most likely not visibly ―in charge.‖
For projects involving children or health or education or community development or sustainable small-business growth (most projects), are by far the most reliable and most central and most indirectly powerful local players even in the most chauvinist settings.
women
!!!!!!!!!!!!!!!!!
“People turning 50
today have
more than half of
—Bill Novelli,
their adult life ahead of them.”
50+: Igniting a Revolution to Reinvent America
55+ > 55-*
*―[55-plus] are more active in online finance, shopping and entertainment than those under 55?‖ —Forrester Research. (USA Today, 8 January 2009)
55+: +21%
(55-64:
18-44: -1%
2000-2010 Stats
+47%)
“New Customer Majority” *
*45% larger than 18-43; 60% larger by 2010
Source: Ageless Marketing, David Wolfe & Robert Snyder
44-65:
Sweetest of Sweet Spots for Marketers‖
—David Wolfe and Robert Snyder, Ageless Marketing
“Baby-boomer Women: The
―Fifty-four years of age has been the highest cutoff point for any marketing initiative I‘ve ever been involved in. Which is pretty weird when you consider age 50 is right about when people who have worked all their lives start to have some money to spend.‖ —
Marti Barletta, PrimeTime Women
―One particularly puzzling category of youthobsession is the highly coveted target of men 18-34, and it‘s always referred to as ‗highly coveted category.‘ Marketers have been distracted by men age 18-34 because they are getting harder to reach. So what? Who wants to reach them? Beyond fast food and beer, they don‘t buy much of anything. … The theory is that if you ‗get them while they‘re young,
they‘re yours for life.‘
What nonsense!”
—Marti Barletta, PrimeTime Women
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
“Marketers attempts at reaching
No market‘s motivations and needs are so poorly understood.‖
unsuccessful.
—Peter Francese, founding publisher, American Demographics
those over 50 have been miserably
LEAVE IT TO BEAVER.
Trapper:
per beaver pelt.
Source: WSJ
<$20
wdcp/“Wildlife Damage-control Professional”: $150 to
―remove‖ ―problem beaver‖;
$750-$1,000 for
Source: WSJ
flood-control piping … so that beavers can stay.
Trapper = Redneck
WDCP = PSF/ Professional Services Provider
7X to 40X
for
―Solution‖
[rather than ―service transaction‖]
Up,
Up,
Up,
Up
the Value-added Ladder.
$50B+*
*IBM Global Services/ ―Systems integrator of choice‖
Planetary Rainmaker-in-Chief!
“Palmisano‟s strategy is to expand tech‟s borders by pushing users—and entire industries—toward radically different business models. The payoff for IBM
would be access to an ocean of revenue—Palmisano estimates it at $500 billion a year —that technology companies have never been able to touch.” —Fortune
“We want to be the air traffic controllers of electrons.”
Bob Nardelli, GE Power Systems
California Closets: “a
whole-life upgrade, not just a tidy bedroom.”
—WSJ/0329.07, ―Why the ContainerStore Guy Wants to Be Your Therapist‖
“Big Brown‟s New Bag: UPS Aims to Be the
Traffic Manager for Corporate America”
—Headline/BW/2004
MasterCard Advisors
― ‗Architecture‘ is becoming a commodity. Winners will be „Turnkey
Facilities Management‟ providers.”
SMPS Exec
(1) LAN Installation Co. (3%)
(2) (3) Best Buy contracts (4) Best Buy purchases
(5) Best Buy‘s
“Geek Squad” (30%)
“brand promise”
Source: Best Buy (Circuit City: fire senior, hire junior)
I. LAN Installation Co.
(3%)
II. Geek Squad.
(30%.)
III. Acquired by BestBuy. IV. Flagship of BestBuy Wholesale “Solutions” Strategy Makeover.
Huge: Customer
Satisfaction
versus
Customer
Success
―Customer Satisfaction‖ to ―Customer Success‖
“We‟re getting better at [Six Sigma] every day. But we really need to think about the customer‟s profitability.
Are customers‟ bottom lines really benefiting from what we provide them?”
Bob Nardelli, GE Power Systems
― ‗Results‘ are measured by the success of all those who have purchased your product or service‖ —Jan Gunnarsson & Olle Blohm, The
Welcoming Leader
“He had done nothing to sell me on his business, yet he had given me the most
Because his sole concern had been my welfare and the success of my business.”
powerful sales pitch of my life.
—Jim Penman, on learning how to sell (What Will They Franchise Next? The Story of Jim‘s Group)
Era #1/Obvious Value: ―Our ‗it‘ works, is
delivered on time‖ (―Close‖) Era #2/Augmented Value: ―How our ‗it‘ can add value—a ‗useful it‘ ‖ (―Solve‖)
Era #3/Complex Value Networks: ―How our
‗system‘ can change you and deliver „business advantage‘ ‖ (―CultureStrategic change‖)
Source: Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale
The Value-added Ladder/ OPPORTUNITY-SEEKING
Customer Success/ Gamechanging Solutions
Scintillating Experiences Services Goods Raw Materials
“The business of selling is not just about matching viable
It‟s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised by the solution. One of the key differentiators of
solutions to the customers that require them. our position in the market is our attention to managing change and making change stick in our customers‟ organization.”* (*E.g.: CRM failure rate/Gartner: 70%)
—Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale
The Value-added Ladder/ OPPORTUNITY-SEEKING
Implemented Gamechanging Solutions
Scintillating Experiences Services Goods Raw Materials
Part TWO
1977
MBWA
Managing By Wandering Around/HP
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‖
ExIn*: 1982-2002/Forbes.com
DJIA: $10,000 yields
$85,000 EI: $10,000 yields $140,050
*Forbes/Excellence Index /Basket of 32 publicly traded stocks
―Breakthrough‖ 82*
People! Customers! Action! Values!
*In Search of Excellence
Synonyms
Purity Transcendence Virtue Elegance Majesty
Antonyms
Mediocrity
Enthusiasm. Emotion. Excellence. Energy. Excitement. Service. Growth. Creativity. Imagination. Vitality. Joy. Surprise. Independence. Spirit. Community. Limitless human potential. Diversity. Profit. Innovation. Design. Quality. Entrepreneurialism.
The Peters Principles:
Wow!
Hard Is Soft Soft Is Hard
Hard Is Soft (Plans, #s) Soft Is Hard (people, customers, values, relationships)
―The 7-S Model‖
Strategy Structure Systems Style Skills Staff Super-ordinate goal
―The 7-S Model‖
(Strategy, Structure, Systems)
“Hard Ss”
“Soft SS”
(Style, Skills, Staff, Super-ordinate goal)
―The 7-S Model‖
Strategy Structure Systems Style (Corporate “Culture,” “The way we do things around here”) Skills (“Distinctive Competence/s) Staff (People-Talent) Super-ordinate goal (Vision, Core Values)
“If I could have chosen not to tackle the IBM culture head-on, I
probably wouldn‟t have. My bias coming in was toward strategy, analysis and measurement. In comparison, changing the attitude and behaviors of hundreds of thousands of people is very, very
[Yet] I came to see in my time at IBM that culture isn‟t just one aspect of the
hard.
game —it is the
game.”
—Lou Gerstner,
Who Says Elephants Can‘t Dance
“… it is the game.”
“In the end, management doesn‟t change culture. Management
invites
the workforce itself to change the culture.”
—Lou Gerstner
-fold!
Ken Kizer/VA 1997:
―culture of cover-up that pervades healthcare‖ ―Patient Safety Event Registry‖ … ―looking for systemic solutions, not seeking to fix blame on individuals except in the
thirty-fold increase
most egregious cases. The good news was a
in the number of medical
mistakes and adverse events that got reported.‖ ―National Center for Patient Safety Ann Arbor‖
Internal organizational excellence = Deepest “Blue Ocean”
Internal organizational excellence = “Brand inside”
B(I) > B(O)
“Get the strategy right, the rest will take care of itself.”
MP:
“Get the people , the culture and execution right—then the strategy will take care of itself.”
TP:
ExIn*: 1982-2002/Forbes.com
DJIA: $10,000 yields $85,000 EI: $10,000 yields $140,050
*Excellence Index/Basket of 32 publicly traded stocks
2007 Siberia
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 service of others.**
**Employees, Customers, Suppliers, Communities, Owners, Temporary partners
Cause Space
(worthy of commitment)
(room for/encouragement
for initiative)
Decency
(respect, humane)
Cause Space
(worthy of commitment)
(room for/encouragement for initiative-adventures)
Decency service
(respect, grace,
integrity, humane) (worthy of our clients‘ & extended family‘s continuing custom)
excellence
(period)
Cause Space Decency service
(worthy of commitment)
(room for/encouragement for initiative-adventures)
(respect, grace, integrity, humane)
(worthy of our clients‘ & extended
family‘s continuing custom)
excellence servant leadership
(period)
Cause Space Decency service excellence servant leadership
2007 Sydney
Organizations exist to serve. Period. Leaders live to serve. Period.
“Leaders
„SERVE‟
people. Period.”
In the spirit of Robert
Greenleaf, The Servant Leader
Servant Leadership/Robert Greenleaf
1. Do those served grow as persons? 2. Do they, while being served, become healthier wiser, freer, more autonomous, more likely themselves to become servants?
―The path to a
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 management has made customers its highest priority?‘‖
hostmanship culture
totally on 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.‖
Source: Jan Gunnarsson and Olle Blohm, Hostmanship: The Art of Making People Feel Welcome.
Instead of redoing bathrooms, dining rooms, and guest rooms, we gave employees new uniforms, bought flowers and fruit, and changed colors. Our focus was
renovation.‘
―We went through the hotel and made a ... ‗consideration
… 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.
“We are a „Life Success‟ Company.”
Dave Liniger, founder, RE/MAX
―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
My definition of a leader is someone who helps people succeed.‖
focuses on people.
—Carol Bartz, Yahoo!
―Managing winds up being the management of the allocation of resources against tasks. Leadership
“Business has to give people enriching, rewarding lives …
or it's simply not worth doing.”
—Richard Branson
“I have always believed that the purpose of the corporation is to be a blessing to the employees.”
—Boyd Clarke
“The role of the Director is to create a space where the actors and
become more than they‟ve ever been before, more than they‟ve dreamed of being.”
actresses can
—Robert Altman, Oscar acceptance speech
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/Mt Excellence
“free to do his or her
absolute best” … “allow its members to discover their greatness.”
The Dream Manager
—Matthew Kelly
―An organization can only become the-best-version-of-itself to the extent that the people who drive that organization are striving to become better-versions-of-themselves.‖ ―A company‘s purpose is to become the-best-version-of-itself. The question is:
What is an employee‘s purpose? Most would say, ‗to help the company achieve its purpose‘—but they would be wrong. That is certainly part of the employee‘s role, but an employee‘s primary purpose is to become the-bestversion-of-himself or –herself. … When a
company forgets that it exists to serve customers, it quickly goes out of business.
Our employees are our first customers, and our most important customers.‖
Words!
―Stretch‖ ―Encourage‖ ―Empower‖ vs. ―Dreams come true‖ ―Life Success Co.‖
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
Wegmans
Luiza Helena, Magazine Luiza*
*Wegmans
TP:
“How to throw $500,000 into the sea in one easy lesson!!”
< CAPEX > People!
Source: Container Store/increase average sale per shopper
#1. Strategic. Priority. Period.
―Development can help great
people be even better—
but if I had a dollar to spend, I‟d spend 70 cents getting the right person in the door.” —
Paul Russell, Director, Leadership &
Development, Google
―In short, hiring is
the most important aspect of business and yet
remains woefully misunderstood.‖
Source: Wall Street Journal, 10.29.08, review of Who: The A Method for Hiring, Geoff Smart and Randy Street
―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 up-and-comers clawed their way to all-conference and All-America teams.‖ —Bo Schembechler
(and John Bacon), ―Recruit for Character,‖
Bo‘s Lasting Lessons
―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
2/year = legacy.
―The
ONE Question‖: ―In the last year [3 years, current job],
name the …
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.‖
three people
… whose growth you‘ve
#1
cause of
employee Dis-satisfaction?
Employee retention & satisfaction:
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
Capital Asset I
**Selecting and training and mentoring one‘s pool of frontline managers can be a ―Core Competence‖ of surpassing strategic importance. **Put under a microscope every attribute of the cradle-tograve process of building the capability of our cadre of front-line managers.
Capital Asset II
I am sure you ―spend time‖ on this. My question: Is it an … …worthy of the impact it has on enterprise performance?
OBSESSION
53 = 53* **
*No ―bit players‖ **6B+ = 6B+
“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 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: Women Managers
Lawrence A. Pfaff & Assoc.
— 2 Years, 941 mgrs (672M, 269F); 360º feedback — Women: better in 20 of 20 categories; 15 of 20 with statistical significance, incl. decisiveness, planning, setting stds.) — ―Men are not rated significantly higher by any of the raters in any of the areas measured.‖ (LP)
―Forget China, India and the Internet: Economic Growth Is Driven by
Women.‖
Source: Headline, Economist
―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
boys in the school system.
For a number of observers, we have already entered the age of „womenomics,‟ the economy as thought out and practiced by a woman.” —Aude Zieseniss de Thuin, Women‘s
Forum for the Economy and Society
Part THREE
Skip the map
“Mapping your competitive position”
or …
The “Have you …” 50
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 … in the last three hours? 6. Have you thanked a frontline 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 cross-functional 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 frontline 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?
Have you in the last month taught a front-line training course?
37. 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?
the Heart of Business Strategy: 48 Things That Matter
We usually think of business strategy as some sort of aspirational market positioning statement. Doubtless that‘s part of it. But I believe that the number one ―strategic strength‖ is excellence in execution and systemic relationships (i.e., with everyone we come in contact with). Hence I offer the following 48 pieces of advice in creating a winning ―strategy‖ that is inherently sustainable.
―Thank you.‖ Minimum several times a day. Measure it. ―Thank you‖ to everyone even peripherally involved in some activity—especially those ―deep in the hierarchy.‖ Smile. Work on it. Apologize. Even if ―they‖ are ―mostly‖ to blame. Jump all over those who play the ―blame game.‖ Hire enthusiasm. Low enthusiasm. No hire. Any job. Hire optimists. Everywhere. (―Positive outlook on life,‖ not mindless optimism.) Hiring: Would you like to go to lunch with him-her. 100% of jobs.
Hire for good manners. Do not reject ―trouble makers‖—that is those who are uncomfortable with the status quo. Expose all would-be hires to something unexpected-weird. Observe their reaction. Overwhelm response to even the smallest screwups. Become a student of all you will meet with. Big time. Hang out with interesting new people. Measure it. Lunch with folks in other functions. Measure it. Listen. Hear. Become a serious student of listening-hearing. Work on everyone‘s listening skills. Practice.
Become a student of information extractioninterviewing. Become a student of presentation giving. Formal. Short and spontaneous. Incredible care in 1st line supervisor selection. World‘s best training for 1st line supervisors. Construct small leadership opportunities for junior people within days of starting on the job. Insane care in all promotion decisions. Promote ―people people‖ for all managerial jobs. Finance-logistics-R&D as much as, say, sales. Hire-promote for demonstrated curiosity. Check their past commitment to continuous learning.
Small ―d‖ diversity. Rich mixes for any and all teams. Hire women. Roughly 50% women on exec team. Exec team ―looks like‖ customer population, actual and desired. Focus on creating products for and selling to women. Focus on creating products for and selling to boomers-geezers. Work on first and last impressions. Walls display tomorrow‘s aspirations, not yesterday‘s accomplishments. Simplify systems. Constantly.
Insist that almost all material be covered by a 1-page summary. Absolutely no longer. Practice decency. Add ―We are thoughtful in all we do‖ to corporate values list. Number 1 force for customer loyalty, employee satisfaction. Make some form of employee growth (for all) a formal part of values set. Above customer satisfaction. Steal from RE/MAX: ―We are a life success company.‖ Flowers. Celebrate ―small wins.‖ Often. Perhaps a ―small win of the day.‖
Manage your calendar religiously: Does it accurately reflect your espoused priorities? Use a ―calendar friend‖ who‘s not very friendly to help you with this. Review your calendar: Work assiduously and mercilessly on your ―To don‘ts.‖—stuff that distracts. Bosses, especially near the top: Formally cultivate one advisor whose role is to tell you the truth. Commit to Excellence. Talk up Excellence. Put ―Excellence in all we do‖ in the values set. Measure everyone on demonstrated commitment to Excellence.
the recession 44
Forty-four “Secrets” and “clever Strategies” For dealing with the Recession of 2008-XXXX
I am constantly asked for “strategies/ for surviving the recession.” I try to appear wise and informed— and parade original, sophisticated thoughts. But if you want to know what‟s really going through my head, see the list that follows.
'secrets'
44 ―Secrets‖ and ―Clever Strategies‖ For Dealing with the Recession of 2007+
You come 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 screwup.
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 Superbowl 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.
Part FOUR
“The doctor interrupts after …*
*Source: Jerome Groopman, How Doctors Think
seconds
[An obsession with] Listening is ... the ultimate mark of Respect. Listening is ... the heart and soul of Engagement. Listening is ... the heart and soul of Kindness. Listening is ... the heart and soul of Thoughtfulness. Listening is ... the basis for true Collaboration. Listening is ... the basis for true Partnership. Listening is ... a Team Sport. Listening is ... a Developable Individual Skill.* (*Though women Listening Listening Listening Listening is is is is ... ... ... ... the basis for Community. the bedrock of Joint Ventures that work. the bedrock of Joint Ventures that last. the core of effective Cross-functional Communication* (*Which is in turn Attribute #1 of
organizational effectiveness.) are far better at it than men.)
[cont.]
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
... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ...
Listening is … the bedrock which underpins a Commitment to EXCELLENCE
from any other single activity.)
the engine of superior EXECUTION. the key to making the Sale. the key to Keeping the Customer‘s Business. 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
If
you agree with the above, shouldn‘t listening be ... a Core Value? If you agree with the above, shouldn‘t listening be ... perhaps Core Value #1?* (*―We are Effective Listeners—
we treat Listening EXCELLENCE as the Centerpiece of our Commitment to Respect and Engagement and Community and Growth.‖)
If you agree, shouldn‘t listening be If you agree, shouldn‘t listening be #1? If you agree, shouldn‘t listening be item‖ at every Meeting? If you agree, shouldn‘t listening be se? (Listening = Strategy.) If you agree, shouldn‘t listening be for in Hiring (for every job)?
... a Core Competence? ... Core Competence ... an explicit ―agenda ... our Strategy—per
... the #1 skill we look
If you agree, shouldn‘t listening be ... the #1 attribute we examine in our Evaluations? If you agree, shouldn‘t listening be ... the #1 skill we look for in Promotion decisions? If you agree, shouldn‘t listening be ... the #1 Training priority at every stage of everyone‘s career—from Day #1 to Day LAST? If you agree, what are you going to do about it ... in the next 30 MINUTES? If you agree, what are you going to do about it ... at your NEXT meeting? If you agree, what are you going to do about it ... by the end of the DAY? If you agree, what are you going to do about it ... in the next 30 DAYS? If you agree, what are you going to do about it ... in the next 12 MONTHS?
“You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.” —Dale Carnegie
―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
―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
*Listening is of the utmost … strategic importance! *Listening is a proper …
core value !
*Listening is … trainable
!
!
*Listening is a … profession
*Listening is a …
profession!
Listen = “Profession” = Study = practice = evaluation = Enterprise value
Enterprise value: "We
Listen = Profession = Study = practice = evaluation =
listen intently to and fully engage all with whom we work."
“if you don‟t listen, you don‟t sell anything.”
—Carolyn Marland
Questioning, the art [and ―profession‖] of.
Sales > Marketing
“Everybody lives by selling something.”
—Robert Louis Stevenson
―The
organization are …
four most important words in any
The four most important words in any organization
are …
“What do you think?”
Source: courtesy Dave Wheeler, posted at tompeters.com
Tomorrow: How many times will you ―ask the WDYT question‖?
[Count!]
[Practice
makes better!] [This is a
STRATEGIC skill!]
From Enemy/Reluctant User to Champion/Savior/Owner:
“one line of code!” Axiom
The
―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
―The deepest human need is the … need to be appreciated.‖
—William James
―Marion … glanced at the raised hands and enjoyed the interest in her work. She … gazed at her former postdoc, her rebellious child with her hand raised. ‗What do you need now?‘ she asked herself. Strange, she‘d never posed the question that way before. She‘d always considered what her postdoc demanded, what she did or did not deserve. What did she need? That was the puzzle, but as was so often the case, framing the question properly went a long way. What did she need? In that calm, clear, nearly joyous moment after her talk, the answer began to come to Marion. Ah, yes, of course, she thought with some surprise. And she called on Robin.‖
—Allegra Goodman, Intuition
(italics added)
Context: In Intuition, a stunning novel about the politics of science by Allegra Goodman, ―Marion‖ (see slide) is the head of department where some powerful research is being conducted. Among many other things, near the end of the book, correctly or not, one of the post-docs becomes a whistle blower—and creates a godawful mess. As I said, the allegations may or may not have been warranted, but in a flash (read the slide) the psychological problem which led to the post-doc‘s meltdown becomes clear, after years, to super-logical, demanding boss Marion. The play here is subtle. This may do nothing for you, but I carry the quote on the slide around with me. In my case, it is-was a bombshell upon 3rd or 4th reading, and its strength only grows—I‘ve probably read it, no kidding, 50 times now. Interpretation: Obviously (but not obviously to blunt Marion for years), the post-doc ―simply‖ needed recognition. And I think there is an enormous message here. A lot of bosses are Marions. And a lot of employees are kin to our post-doc. Of course, you may just think I‘m nuts about this one wee paragraph. Fair enough.
―Thank you‖ lingers on:
10
years
[Count ‟em!]
Tomorrow: How many times will you mange to blurt out, ―Thank you‖?
[Practice makes better!* *The engineer from
Manchester.]] [This is a STRATEGIC skill!]
*appreciation is of the utmost … strategic importance! *appreciation is a proper …
core value !
*appreciation is … trainable
!
!
*appreciation is a … profession
And the answer is ….
otis
Helen Keller. Mother Teresa.
―I long to accomplish a great and noble task, but it is my chief duty to accomplish humble tasks as though they were great and noble.‖ —Helen Keller
“We do no great things, only small things with great love.”
—Mother Teresa
#52
―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
pause
―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
Relationships
THERE ONCE WAS A TIME WHEN A
(of all varieties):
THREE-MINUTE PHONE CALL WOULD
HAVE AVOIDED SETTING OFF THE DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RUPTURE.
*effective “Repair”/Apology is of the utmost … strategic importance! *effective repair is a proper …
core value !
*effective repair is …
trainable !
*effective repair is a …
profession !
―One of the secrets of a long and fruitful life is to forgive everybody of everything every night right before going to bed.‖ —Bernard Baruch
#53
“We are thoughtful in all we do.”
Thoughtfulness is key to customer retention. Thoughtfulness is key to employee recruitment
and satisfaction. Thoughtfulness is key to brand perception. Thoughtfulness is key to your ability to look in the mirror —and tell your kids about your job.
―Thoughtfulness is free.‖
Thoughtfulness is key to speeding things up—
it reduces friction. Thoughtfulness is key to transparency and even cost containment—it abets rather than stifles truth-telling.
*Thoughtfulness is of the utmost … strategic importance! *thoughtfulness is a proper …
core value !
*Thoughtfulness is … trainable
! !
*Thoughtfulness is a … profession
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”
—Henry Clay
The Real World‘s ―Little‖ Rule Book
Ben/tea Norm/tea DDE/make friends WFBuckley/make friends-help friends Gust/Suck down Charlie/poker pal-BOF
Eddie VII/dance-flatter-mingle-learn the language Vlad/birthday party of outgroup guy‘s wife
CIO/finance network ERP installer/consult-―one line of code‖ GE Energy/make friends risk assessment GWB/check the invitation list GHWB/T-notes Hank/60 calls MarkM/5K-5M Delaware/show up
Oppy/snub Lewis Strauss
NM/smile -$4.3T/tin ear tp.com/Big 4-What do you think? Women/genes Banker/after church Total Bloody Mess/Can they pay back the loan?
#54
FLOWER POWER
#55
Five Or Less Words To The Wise
EXCELLENCE/Five Or Less Words To The Wise 4 most important words: ―What do you think?‖ (Dave Wheeler @ tompeters.com: ―Most important 4 words in an organization.‖) 4 most important words: ―How can I help?‖ (Boss as CHRO/ Chief Hurdle Removal Officer) 2 most important words: ―Thank you!‖ (Appreciation/ Recognition) 2 most important words: ―All yours.‖ (―Hands-off‖ delegation/ Respect/Trust) 3 most important words: ―I‘m going out.‖ (MBWA/Managing By Wandering Around/In touch!) 2 most important words: ―I‘m sorry.‖ (Power of unconditional apology = Stunning! Marshall Goldsmith: #1 exec issue) 5 most important words: ―Did you tell the customer?‖ (Overcommunicate) 2 most important words: ―She says …‖ (―She‖ is the customer!)
EXCELLENCE/Five Or Less Words To The Wise 2 most important words: ―Yes ma‘am.‖ (Women are more often than not the best managers.) 2 most important words: ―Try it!‖ (My only ―for sure‖ in 44 years: Herb Kelleher: ―We have a strategic plan, it‘s called doing things.‖/Bill Parcells: ―Blame no one. Expect nothing. Do something.‖) 3 most important words: ―Try it again!‖ (My only ―for sure‖ 44 years: MOST TRIES WINS.) 2 most important words: ―Good try!‖ (CELEBRATE ―good failures.‖ Richard Farson/book: Whoever Makes the Most Mistakes Wins. Samuel Beckett: ―Fail. Fail again. Fail better.‖) 3 most important words: ―At your service.‖ (Organizations exist to serve. Period. Leaders live to serve. Period.) 4 most important words: ―How are we doing?‖ (To customers, regularly.) 4 most important words: ―How was Mary‘s recital?‖ (Know your employees‘ kids.) 2 most important words: ―Let‘s party!‖ (Celebrate ―small wins‖ at the drop of a hat.)
EXCELLENCE/Five Or Less Words To The Wise 1 most important word: ―No.‖ (―To don‘ts‖ > ―To dos‖) 1 most important word: ―Yes.‖ (Hey, give it a shot/Anon. quote: ―The best answer is always, ‗What the hell.‘‖/Wayne Gretzky: ―You miss 100% of the shots you don‘t take.‖) 2 most important words: ―Lunch today?‖ (―Social stuff‖ = Secret to problem/opportunity #1:/XFX/ cross-functional Excellence.) 4 most important words: ―Thank Dick in accounting.‖ (Readily acknowledge help from other functions.) 2 most important words: ―After you.‖ (Courtesy rules.) 3 most important words: ―Thanks for coming.‖ (Civility. E.g., boss acknowledges employee coming to her/his office.) 2 most important words: ―Great smile!‖ (Note & acknowledge good attitude.) 1 most important word: ―Wow!‖ (The gold standard … for everything.) 1 most important word: ―EXCELLENT!‖ (The … ONLY … acceptable standard/aspiration.)
#56
problem #1. Opportunity #1.
X =XFX*
*Excellence = Cross-functional Excellence
Never waste a lunch!
????
% XF lunches*
*Measure! Monthly! Part of evaluation! [The PA‘s Club.]
Lunch > SAP/ Oracle
(Way) Underutilized Lever
Space! Space! Space! Space!
Geologists + Geophysicists + A little bit of love =
Oil
―Allied commands depend on mutual confidence [and this confidence] is gained, above all through the development of friendships.‖
—General D.D. Eisenhower, Armchair General* (05.08)
*―Perhaps his most outstanding ability [at West Point] was the ease with which he made friends and earned the trust of fellow cadets who came from widely varied backgrounds; it was a quality that would pay great dividends during his future coalition command
“Suck down for success!” * ** *** **** ****
*―He [Gust Avrakotos] had become something of a legend with these people who manned the underbelly of the Agency [CIA],‖ from Charlie
Wilson‘s War
**Getting to know ―the risk guys‖ [GE Power] ***―Spend less time with your customer!‖ **** *****The ATT systems sales exec
C(I) > C(E)
R.O.I.R.
Return On
Investment In Relationships
―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)
C(I) > C(E)
Lunch Kudos Learning/ Presence/Presentations Facetime C(E) Transparency Awards Co-locate/Geologists-Geophysicists Time!!!!!!!!!!!!!!!!!!!!!!!!!! Motherhood (―If don‘t take credit …) Staff C.Sat./Unicredit
The “XF-50”: 50 Ways to Enhance Cross-Functional Effectiveness and Deliver Speed, “Service Excellence” and “Value-added Customer „Solutions‟”
1. It‘s our organization to make work—or not. It‘s not ―them,‖ the outside world that‘s the problem. The enemy is us. Period. 2. Friction-free! Dump 90% of ―middle managers‖—most are advertent or inadvertent ―power freaks.‖ We are all—every one of us—in the Friction Removal Business, one moment at a time, now and forevermore. 3. No ―stovepipes‖! ―Stove-piping,‖ ―Silo-ing‖ is an Automatic Firing Offense. Period. No appeals. (Within the limits of civility, somewhat ―public‖ firings are not out of the question—that is, make one and all aware why the axe fell.) 4. Everything on the Web. This helps. A lot. (―Everything‖ = Big word.) 5. Open access. All available to all. Transparency, beyond a level that‘s ―sensible,‖ is a de facto imperative in a Burn-the-Silos strategy. 6. Project managers rule!! Project managers running XF (cross-functional) projects are the Elite of the organization, and seen as such and treated as such. (The likes of construction companies have practiced this more or less forever.) 7. ―Value-added Proposition‖ = Application of integrated resources. (From the entire supply-chain.) To deliver on our emergent business raison d'être, and compete with the likes of our Chinese and Indian brethren, we must co-operate with anybody and everybody ―24/7.‖ IBM, UPS and many, many others are selling far more than a product or service that works— the new ―it‖ is pure and simple a product of XF co-operation; ―the product is the co-operation‖ is not much of a stretch.
8. “XF work” is the direct work of leaders! 9. “Integrated solutions” = Our “Culture.” (Therefore: XF = Our culture.) 10. Partner with ―best-in-class‖ only. Their pursuit of Excellence helps us get beyond petty bickering. An all-star team has little time for anything other than delivering on the (big) Client promise. 11. All functions are created equal! All functions contribute equally! All = All. 12. All functions are ―PSFs,‖ Professional Service Firms. ―Professionalism‖ is the watchword—and true Professionalism rise above turf wars. You are your projects, your legacy is your projects—and the legacy will be skimpy indeed unless you pass, with flying colors, the ―works well with others‖ exam! 13. We are all in sales! We all (a-l-l) ―sell‖ those Integrated Client Solutions. Good salespeople don‘t blame others for screwups—the Clint doesn‘t care. Good salespeople are ―quarterbacks‖ who make the system work-deliver. 14. We all invest in ―wiring‖ the Client organization—we develop comprehensive relationships in every part (function, level) of the Client‘s organization. We pay special attention to the so-called “lower levels,” short on glamour, long on the ability to make things happen at the “coalface.” 15. We all ―live the Brand‖—which is Delivery of Matchless Integrated Solutions which transform the Client‘s organization. To ―live the brand‖ is to become a raving fan of XF cooperation.
16. We use the word “partner” until we want to barf! (Words matter! A lot!) 17. We use the word “team” until we want to barf. (Words matter! A lot!) 18. We use the word “us” until we want to barf. (Words matter! A lot!) 19. We obsessively seek Inclusion—and abhor exclusion. We want more people from more places (internal, external—the whole ―supply chain‖) aboard in order to maximize systemic benefits. 20. Buttons & Badges matter—we work relentlessly at team (XF team) identity and solidarity. (―Corny‖? Get over it.) 21. All (almost all) rewards are team rewards. 22. We keep base pay rather low—and give whopping bonuses for excellent team delivery of ―seriously cool‖ cross-functional Client benefits. 23. WE NEVER BLAME OTHER PARTS OF THE ORGANIZATION FOR SCREWUPS. 24. WE TAKE THE HEAT—THE WHOLE TEAM. (For anything and everything.) (Losing, like winning, is a team affair.) 25. “BLAMING” IS AN AUTOMATIC FIRING OFFENSE. 26. “Women rule.” Women are simply better at the XF communications stuff—less power obsessed, less hierarchically inclined, more group-team oriented.
27. Every member of our team is an honored contributor. ―XF project Excellence‖ is an ―all hands‖ affair. 28. We are our XF Teams! XF project teams are how we get things done. 29. ―Wow Projects‖ rule, large or small—Wow projects demand by definition XF Excellence. 30. We routinely attempt to unearth and then reward ―small gestures‖ of XF co-operation. 31. We invite Functional Bigwigs to our XF project team reviews. 32. We insist on Client team participation—from all functions of the Client organization. 33. An ―Open talent market‖ helps make the projects ―silo-free.‖ People want in on the project because of the opportunity to do something memorable—no one will tolerate delays based on traditional functional squabbling. 34. Flat! Flat = Flattened Silos. Flat = Excellence based on XF project outcomes, not power-hoarding within functional boundaries. 35. New ―C-level‖? We more or less need a “C-level” job titled Chief Bullshit Removal Officer. That is, some kind of formal watchdog whose role in life is to make cross-functionality work, and I.D. those who don‘t get with the program. 36. Huge (H-U-G-E) co-operation bonuses. Senior team members who conspicuously shine in the ―working together‖ bit are rewarded Big Time. (A million bucks in one case I know—and a non-cooperating very senior was sacked.)
37. Get physical!! “Co-location” is the most powerful “culture changer. Physical X-functional proximity is almost a guarantee (yup!) of remarkably improved co-operation—to aid this one needs flexible workspaces that can be mobilized for a team in a flash. 38. Ad hoc. To improve the new ―X-functional Culture,‖ 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.‖ 39. ―Deep dip.‖ Dive three levels down in the organization to fill a senior role with some one who has been pro-active on the XF dimension. 40. Formal evaluations. Everyone, starting with the receptionist, should have an important XF rating component in their evaluation. 41. Demand XF experience for, especially, senior jobs. The military requires all would-be generals and admirals to have served a full tour in a job whose only goals were cross-functional. Great idea! 42. Early project ―management‖ experience. Within days, literally, of coming aboard folks should be ―running‖ some bit of a project, working with folks from other functions—hence, ―all this‖ becomes as natural as breathing. 43. ―Get ‘em out with the customer.‖ Rarely does the accountant or bench scientist call one the customer. Reverse that. Give everyone more or less regular ―customer-facing experiences.‖ One learns quickly that the customer is not interested in our in-house turf battles!
44. Put ―it‖ on the–every agenda. XF ―issues to be resolved‖ should be on every agenda—morning project team review, weekly exec team meeting, etc. A ―next step‖ within 24 hours (4?) ought to be part of the resolution. 45. XF ―honest broker‖ or ombudsman. The ombudsman examines XF ―friction events‖ and acts as Conflict Resolution Counselor. (Perhaps a formal conflict resolution agreement?) 46. Lock it in! XF co-operation, central to any value-added mission, should be an explicit part of the ―Vision Statement.‖ 47. Promotions. Every promotion, no exceptions, should put XF Excellence in the top 5 (3?) evaluation criteria. 48. Pick partners based on their ―co-operation proclivity.‖ Everyone must be on board if ―this thing‖ is going to work; hence every vendor, among others, should be formally evaluated on their commitment to XF transparency—e.g., can we access anyone at any level in any function of their organization without bureaucratic barriers? 49. Fire vendors who don‘t ―get it‖—more than ―get it,‖ welcome ―it‖ with open arms.‖ 50. Jaw. Jaw. Jaw. Talk XF cooperation-value-added at every opportunity. Become a relentless bore! 51. Excellence! There is a state of XF Excellence per se. Talk about it. Pursue it. Aspire to nothing less.
#57
Attending to the “Last 98%”: The New “Management Science,” or “Hard” Is “Soft,” “Soft” Is “Hard”
S = ƒ ( ___ )
Success Is a Function of …
S = ƒ(#&DR; -2L, -3L, 4L; I&E)
Number and depth of relationships 2, 3, and 4 levels down, inside and outside the organization
S = ƒ(SD>SU)
Sucking down is more important than sucking up—the idea is to have the entire organization working for you.
S = ƒ(#non-FF, #non-FL)
Number of friends, number of lunches with people not in my function
S = ƒ(#FF)
Number of friends in the finance function-organization
S = ƒ(OF)
Oddball friends
S = ƒ(PDL)
Purposeful, deep listening—this is very hard
S = ƒ(#PK―W‖P) S = ƒ( #PK―L‖P)
# of people you know in the ―wrong‖ places # people you know in ―low‖ places
S = ƒ(#EODD3MC)
Number of end-of-the-day difficult (you‘d rather avoid) ―3-minutecalls‖ that soothe raw feelings, mend fences, etc
S = ƒ(UFP, UFK, OAPS)
Unsolicited favors performed, UFs involving co-workers‘ kids, overt acts politeness-solicitude toward co-workers‘ spouses, parents, etc.
S = ƒ(#TN)
Number of thank you notes sent
S = ƒ(A#C, PTS/―OLC‖, SAPA)
Absolute # of consultations, perception of being taken seriously (Responsible for ―one line of code‖), small acts of public appreciation
S = ƒ(SU)
Showing up (Woody Allen, Delaware‘s ridiculous influence on the U.S. Constitution)
S = ƒ(#&DR; -2L, -3L, 4L, I&E)
Success is a function of: Number and depth of relationships 2, 3, and 4 levels down inside and outside the organization
S = ƒ(SD>SU)
Number of friends not in my function
Sucking down is more important than sucking up—the idea is to have the [your] entire organization working for you.
S = ƒ(#non-FF, #non-FL) S = ƒ(#XFL/m)
Number of lunches with colleagues in other functions per month
S = ƒ(#FF)
Number of friends in the finance organization
Loser:
―He‘s such a suck-up!‖
―He‘s such a suck-down.‖
Winner:
S =ƒ(#PK―W‖P) S = ƒ(#PK―L‖P)
# of people you know in the ―wrong‖ places # people you know in ―low‖ places
???????
―Success doesn‘t depend on the number of people you know; it depends on the number of people you know in
or
high places!‖
―Success doesn‘t depend on the number of people you know; it depends on the number of people you know in
low
places!‖
It helps to know people in …
high
places!‖
It helps
more
to know people in …
low
places!‖
450/8
Lisbon/New Biz:
Weeks
to …
Minutes (!!!!)
footprint to provide effective financial solutions for its customers by providing a gateway to diverse markets.’”
—Charles Handy
“One bank is currently claiming to … „leverage its global
“I assume that it is just saying that it is there to „help its customers wherever they are‟.”
—Charles Handy
50%
90K in U.S.A. ICUs on any given day; 178 steps/day in ICU.
stays result
in ―serious complication‖
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
**Peter Pronovost, Johns Hopkins, 2001 **Checklist, line infections **1/3rd at least one error when he started **Nurses/permission to stop procedure if doc, other not following checklist **In 1 year, 10-day line-infection rate:
11% to …
0%
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
**Docs, nurses make own checklists on whatever process-procedure they choose **Within weeks, average stay in
ICU down
50%
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
Beauty. Grace. Clarity. Simplicity.
First Steps: ―Beauty Contest‖! 1. Select one form/document: invoice, airbill, sick leave policy, customer returns claim form. 2. Rate the selected doc on a scale of 1 to 10 [1 = Bureaucratica Obscuranta/Sucks; 10 = Work of Art] on four dimensions:
3. Re-invent! 4. Repeat, with a new selection, every 15 working days.
Beauty. Grace. Clarity. Simplicity.
The Commerce Bank Model “every computer at commerce bank has a
special red key on it that
says, „found something stupid that we are doing that interferes with our ability to service the customer? Tell us about it, and if we agree, we will give you $50.‟”
Source: Fans! Not customers. How Commerce Bank
Created a Super-growth Business in a No-growth Industry, Vernon Hill & Bob Andelman
CGRO*
*CGRO/Chief Grunge Removal Officer (CDC/Chief of De-complexification) (CAO/Chief Anti-systems Officer) (CBSD/Chief BS Destruction Officer)
3M‟s Innovation Crisis: How Six Sigma Almost Smothered Its Idea Culture
Source: Title/Cover Story, BW, 0611.07 (“What‟s remarkable is how fast a culture can be torn apart,” 3M lead scientist; ―In an innovation economy, [6 Sigma] is no longer a cure all‖/BW)
―Rikyu was watching his son Sho-an as he swept and watered the garden path. ‗Not clean enough,‘ said Rikyu, when Sho-an had finished his task, and bade him try again. After a weary hour, the son turned to Rikyu: ‗Father, there is nothing more to be done. The steps have been washed for the third time, the stone planters and the trees are well sprinkled with water, moss and lichens are shining with a fresh verdure; not a twig, not a leaf have I left on the ground.‘ ‗Young fool,‘ chided the tea-master, ‗that is not the way a garden path should be swept.‘ Saying this, Rikyu stepped into the garden, shook a tree and scattered over the garden gold and crimson leaves, scraps of the brocade of autumn! What Rikyu demanded was not cleanliness alone, but the beautiful and the natural also.‖ —Kakuzo Okakura, The Book of Tea
“What Rikyu demanded was not cleanliness alone, but the beautiful and the natural also.”
—Kakuzo Okakura, The Book of Tea
Part FIVE
ry it. Try it. Try it ry it. Try it. Screw i p. Try it. Try it. Try Try it. Try it. Try i ry it. Screw it up. it ry it. Try it. try it
What makes God laugh?
People making plans!
"Life is what happens while you're busy making other plans.” —John Lennon
“We have a „strategic plan.‟ It‟s called doing things.”
— Herb Kelleher
A man approached JP Morgan, held up an envelope, and said, ―Sir, in my hand I hold a guaranteed formula for success, which I will gladly sell you for $25,000.‖ ―Sir,‖ JP Morgan replied, ―I do not know what is in the envelope, however if you show me, and I like it, I give you my word as a gentleman that I will pay you what you ask.‖ The man agreed to the terms, and handed over the envelope. JP Morgan opened it, and extracted a single sheet of paper. He gave it one look, a mere glance, then handed the piece of paper back to the gent.
And paid him the agreed upon $25,000.
1. Every morning, write
a list of the things that need to be done that day.
2.
Do them.
Source: Hugh MacLeod/tompeters.com/NPR
“This is so simple it sounds stupid, but it is amazing
how few oil people really understand that
you only find oil if you drill wells.
when you‟re drawing maps and studying logs, but you have to drill.”
You may think you‟re finding it
Source: The Hunters, by John Masters, Canadian O & G wildcatter
―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
By the time our rivals are ready with wires and screws, we are on version
#5.
#10. It gets back to planning
versus acting: We act from day one; others plan how to plan— for months.” —Bloomberg by Bloomberg
“Experiment fearlessly”
Source: BusinessWeek, Type A Organization Strategies/ ―How to Hit a Moving Target‖—Tactic #1
Success = Relentless bumbling
"I think it is very important for you to do two things: act on your temporary conviction as if it was a real conviction; and when you realize that you are wrong, correct course very quickly.‖ —Andy Grove
“We ground up more pig brains!”
READY. FIRE!
―We are in a brawl with no rules.‖
Paul Allaire/Xerox: TP:
―There‘s
[literally]
only one
Screw Around Vigorously!
possible answer …
BLAME NOBODY. EXPECT NOTHING. DO SOMETHING.
Source: Locker room sign posted by football coach Bill Parcells
#61
Culture of Prototyping
―Effective prototyping may
innovative organization can hope to have.‖ —Michael Schrage
the most valuable core competence an
be
Think about It!?
Innovation = Reaction to the Prototype
Source: Michael Schrage
“You can‟t be a serious innovator unless and until you are ready, willing and able to seriously play. „Serious play‟ is not an oxymoron; it is the essence of innovation.”
—Michael Schrage, Serious Play
“Learn not to be careful.”
—Photographer Diane Arbus to her students (Careful = The sidelines, from Harriet Rubin in The Princessa)
#62
“Fail . Forward. Fast.”
High Tech CEO, Pennsylvania
“Fail . Fail again. Fail better.”
—Samuel Beckett
Sam‟s Secret #1!
Read This!
Whoever Makes the Most Mistakes Wins: The Paradox of Innovation
Richard Farson & Ralph Keyes:
―In business, you reward people for taking risks. When it doesn‘t work out you promote them-because they were willing to try new things. If people tell me they skied all day and never fell down, I tell them to try a different mountain.‖
—Michael Bloomberg (BW/0625.07)
“If people tell me they skied all day and never fell down, I tell them to try a different mountain.”
—Michael Bloomberg (BW/0625.07)
―It is not enough to ‗tolerate‘ failure— you must failure.‖
‗celebrate‘
Most Mistakes Wins)
—Richard Farson (Whoever Makes the
“Reward
excellent failures.
Punish mediocre
successes.‖
Phil Daniels, Sydney exec
We learn from our failures. Period.* Failure to acknowledge failure is a fatal disease. Treating failure like a disease is a fatal disease.
*Doctors, soldiers, pilots, musicians, etc.
“The secret of fast progress is inefficiency, fast and furious and numerous failures.”
—Kevin Kelly
―Natural selection is death. ...
Without huge amounts of death, organisms do not change over time. ... Death
is the mother of structure. ... It took four billion years of death ... to invent the human mind ...‖ — The Cobra Event
“The Silicon Valley of today is built less atop the spires of earlier triumphs than upon the rubble of earlier debacles.”—Newsweek/ Paul Saffo
#63
1/4,000
“You miss
100% of
the shots you never take.”
—Wayne Gretzky
#64
“Human creativity is the ultimate economic resource.”
The Rise of the Creative Class
—Richard Florida,
“It is nothing short of a miracle that modern methods of instruction have not yet entirely strangled the holy curiosity of inquiry.”
—Albert Einstein
“The key question isn‟t „What fosters creativity?‟ But it is why in God‟s name isn‟t everyone creative? Where was the human potential lost? How was it crippled? I think therefore a good question might be not why do people create? But why do people not create or innovate? We have got to abandon that sense of amazement in the face of creativity, as if it were a miracle if anybody created anything.”
—Abe Maslow
“Every child is born an artist. The trick is to remain an artist.” —Picasso
―No man ever became great except through many and great mistakes.‖
—William Gladstone
―I have missed more than 9,000 shots in my career. I have lost almost 300 games. On 26 occasions I have been entrusted to take the game winning shot—and missed. And I have failed over and over and over again in my life. And that is why I succeed.‖ —Michael Jordan
Muhammad Yunus:
―All human beings
were in the caves we were all selfemployed . . . finding our food, feeding ourselves. That‘s where human history began . . . As civilization came we suppressed it. We became labor because they stamped us, ‗You are labor.‘ We forgot that we are entrepreneurs.‖
Source: Muhammad Yunus/The News Hour—PBS/1122.2006
are entrepreneurs. When we
#65
The Limits of “Systems Thinking”:
Surprise, Transformation & Excellence Through Spontaneous Discovery
The Limits of ―Systems Thinking‖: Surprise, Transformation & Excellence Through Spontaneous Discovery (1 of 2)
This summer was the summer of brush clearing. And, it turned out, much more. It started as simple exercise. After a day or two, scratches from head to toe, and enjoyment, I set myself a goal of clearing a little space to get a better view of one of the farm ponds. That revealed something else … to my surprise. At a casual dinner, I sat next to a landscaper, and we got to talking about our farm and my skills with clipper, saw, etc. In particular, she suggested that I do some clearing around a few of our big boulders. Intrigued, I set about clearing, on our main trail, around a couple of said boulders. I was again amazed at the result. That in turn led to attacking some dense brush and brambles around some barely visible rocks that had always intrigued me—which led to ―finding,‖ in effect, a great place for a more or less ―Zen garden,‖ as we‘ve taken to calling it. Which led to … more and more. And more. (Especially a rock wall, a hundred or so yards long, that is a massive wonder— next year I‘ll move up the hill behind it—I can already begin to imagine what I‘ll discover, though my hunch will be mostly ―wrong,‖ and end up leading me somewhere else.)
The Limits of ―Systems Thinking‖: Surprise, Transformation & Excellence Through Spontaneous Discovery (2 of 2)
To make a long story short: I now have a new hobby, and maybe, ye gads, my life‘s work for years to come. This winter I‘ll do a little, but I also plan to read up on outdoor spaces, Zen gardens, etc; visit some rock gardens—spaces close by or amidst my travels; and, indeed, concoct a more or less plan (rough sketches) for next spring‘s activities—though I‘m sure that what I do will move forward mostly by what I discover as I move forward. (what discovers itself may actually be a better way to put it—there‘s a ―hidden hand‖ here.) As I‘m beginning to see it, this is at least a 10-year project—maybe even a multi-generation project. I proceeded by trial and error and instinct, and each experiment led to/suggested another experiment (or 2 or 10) and to a greater understanding of potential—the ―plan,‖ though there was none, made itself. And it was far, far better (more ambitious, more interesting, more satisfying) than I would have imagined. In fact, the result to date bears little or no relationship to what I was thinking about at the start—a trivial self-designed chore may become the engine of my next decade; the ―brushcutting project‖ is now leading Susan and I to view our entire property, and what it might represent, in a new light. I was able to do much more than I‘d dreamed—overall, and project by project. ―Systems thinking‖? It would have killed the whole thing. Is ―everything connected to every thin else‖? Well, duh. But I had no idea how everything was connected to everything else until I began (thank you, Michael Schrage) ―serious play.‖
I proceeded by trial and error and instinct, and each experiment led to/suggested another experiment (or 2 or 10) and to a greater understanding of potential—the ―plan,‖ though there was none, made itself. And it was far, far better (more ambitious, more interesting, more satisfying) than I would have imagined. In fact, the result to date bears little or no relationship to what I was thinking about at the start—a trivial self-designed chore may become the engine of my next decade; the ―brushcutting project‖ is now leading Susan and I to view our entire property, and what it might becomerepresent, in a new light.
Note (more of the same): Last year I got a pacemaker for Christmas (13 December, actually); the #1 no-no is using a chain saw. (The magnetic field is fearsome.) Taking that warning a step farther, I decided to do this project entirely with hand tools. Of course that means more exercise—a good thing. But the ―great wonder,‖ again unexpected, is that the resultant slowness and quiet is the de facto engine of my entire spontaneous discovery process. Note: Some of you will have discovered my implicit debt to the economist-of-freedom, F.A. Hayek. His stunningly clear view of market capitalism as a ―spontaneous discovery process‖ is my intellectual bedrock, my ―context‖ for three decades in Silicon Valley, and now even for my recreational pursuits (which are, as noted, becoming so much more than that).
―How do I know what I think until I see what I say.‖
—C.K. Chesterton
―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 ―This is so simple it sounds stupid, but it is amazing how few oil people really understand that you only find oil if you drill wells. You may think you‘re finding it when you‘re drawing maps and studying logs, but you have to drill.‖ —The Hunters, by
John Masters, Canadian Oil & Gas wildcatter
―Experiment fearlessly‖
—BusinessWeek, in a Special Report, on the premier innovation strategy of the best innovators
―The secret of fast progress is inefficiency, fast and furious and numerous failures.‖ —Kevin Kelly, founding editor, Wired
#66
―SkunkWorks‖/ ―ParallelUniverse‖
―the
solution‖
Source: Scott Bedbury (Others: 3M, Google, Shell, NAVFAC)
Build a ―School on top of a school‖/ContinuingExec Ed (The Parallel
Universe Strategy)
Forward, march:
The “Sri Lanka Stratagem”
#67
Where to look for ―Playmates‖:
F.F.F.F.
(Find a Fellow Freak Faraway)
Playmate!* Playpen! Prototype!
*Can be Client, supplier … as well as Insider
Demos! Heroes! Stories!
―A key – perhaps the key – to leadership is the
effective communication of a story.‖
Leading Minds: An Anatomy of Leadership
—Howard Gardner,
“Storytelling is the core of culture.”
—Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell
Best story wins!
―Never doubt that a small group of committed people can change the world. Indeed it is the only thing that ever has.‖
—Margaret Mead
#68
Find ‟em!
“Somewhere in your organization, groups of people are already doing things differently and better. To create lasting change, find these areas of positive deviance and fan the flames.”
—Richard Pascale & Jerry Sternin, ―Your Company‘s Secret Change Agents,‖ HBR
“Some people look for
things that went wrong and try to fix them. I look for things that went right, and try to build off them.”
—Bob Stone (Mr ReGo)
―Never doubt that a small group of committed people can change the world. Indeed it is the only thing that ever has.‖
—Margaret Mead
#69
We are the company we keep
―You will become like the five people you associate with the most—this can be either a blessing or a curse.‖
—Billy Cox
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
―[CEO A.G.] Lafley has shifted P&G‘s focus on inventing all its own products to developing
example, Mr. Clean Magic Eraser, based on a product found in an Osaka market.‖ —Fortune
others‟ inventions at least half the time.
One successful
The ―We are what we eat‖ axiom: At its core, every (!!!) relationship-partnership decision (employee, vendor, customer, etc) is a strategic decision about:
―Innovate, ‗Yes‘ or ‗No‘ ‖
Repeat: WE ARE WHO
WE HANG OUT WITH. (There's an incipient scorecard on this ... EVERY DAY.)
The ―We are what we eat‖
Axiom II:
“Hang out with „cool‟ and thou shalT become more cool. Hang out with „dull‟ and thou shalT become more dull. Period.”
“Don‟t benchmark, futuremark!”
Impetus: ―The future is already here; it‘s just not evenly distributed‖ —William Gibson
“To grow, companies need to break out of a vicious cycle of competitive benchmarking and imitation.”
—W. Chan Kim & Renée
Stop Copying a Rival,‖ Financial Times
Mauborgne, ―Think for Yourself —
“Companies have defined so much „best practice‟ that they are now more or less identical.”
—Jesper Kunde, Unique Now ... or Never
“Future-defining customers may account for only 2% to 3% of your total,
CUSTOMERS:
but they represent a crucial window on the future.”
Adrian Slywotzky, Mercer Consultants
“How do dominant companies lose their position? Two-
thirds of the time, they pick the wrong competitor to worry about.”
—Don Listwin, CEO,
Openwave Systems/WSJ
―Who‘s the most interesting person you‘ve met in the last 90 days? How do I get in touch with them?‖
—Fred Smith
―Freak Fridays‖
—once a
month invite somebody interesting, in any field, to have lunch with your gang
―Normal‖ =
“o for 800”
"The reasonable man adapts himself to the world. The unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends upon the unreasonable man.” —GB Shaw,
Man and Superman: The Revolutionists' Handbook.
“The
Bottleneck …
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:
“The
At the top!”
— Gary Hamel/Harvard Business Review
―d‖iversity
―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.”
the Power of Diversity Creates Better Groups, Firms, Schools, and Societies Diversity
—Scott Page, The Difference: How
Can you pass the …
―Squint test‖?
Vanity Fair:
―What is your most marked characteristic?‖
Mike Bloomberg:
―Curiosity.‖
“Do one thing
every day that scares you.”
—Eleanor Roosevelt
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!
―The Billion-man Research Team: Companies offering work to online communities are reaping the benefits of ‗crowdsourcing.‘‖
—Headline, FT, 0110.07
Rob McEwen/CEO/ Goldcorp Inc./ Red Lake
Source:
gold
Wikinomics: How Mass Collaboration Changes Everything, Don Tapscott & Anthony Williams
All You Need to Know About ―Sources of Innovation‖ …
All You Need to Know About ―Sources of Innovation‖:
Angry people!
status quo]
[angry with the
F(Anger/Passion) >>>> f(Pushback from Threatened Fat-cats & Bureau-crats)
Iron Innovation Equality Law:
The quality and quantity and imaginativeness of innovation shall be the same in all functions —e.g., in HR and
purchasing as much as in marketing or product development.*
*This is …
Strategic!
of your Top 5 Strategic Initiatives/Key Projects score 8 or higher [out of 10] on a ―Weird‖/ ―Profound‖/ ―Wow‖/―Game- changer‖ Scale?
Innovation Index: How many
Inno16
The INNO16: Innovation‘s ―Sixteen Imperatives‖
(1) Try it.
(―1/40‖: ―Whoever tries the most stuff wins.‖)
(―R.F.A.‖/Ready. Fire. Aim.)
(2) Celebrate failure.
―Whoever makes the most mistakes wins.‖ ―Fail. Fail again. Fail better.‖ ―Reward excellent failures. Punish mediocre successes.‖
(3) Decentralize. (Organic growth bias.) (4) Parallel Universe.
1% ―play money‖ Internal VC fund ―Skunkworks‖
(5) ―We are what we eat‖: We are who we spend time with.‖ (6) ―d‖iversity. (Every dimension.) (7) Co-invent with (all) outsiders. (Exploit electronic
communities.)
The INNO16: Innovation‘s ―Sixteen Imperatives‖ (Cont.)
(8) ―Strategic‖ Listening = Core competence. (9) Hire and promote 100% innovators. (10) XFX/Cross-functional Excellence!! (#1?) (11) Chief Complexity/Systems Destruction Officer. (12) R&D Equality.
All functions equal. (VA centerpiece./All staff VA-meisters.) Innovator‘s characteristic = Angry. CEO=Innovation ―bias.‖ (―You must be …‖/Gandhi)
(13) Top quartile R&D spending (So, too, our
(14) All projects
standard.‖)
partners.)
(Must have something new.) (―WOW
(15) Fun! (Enjoy breaking the rules.) (16) All businesses!!
De-central-iza-tion!
The True Logic* of Decentralization:
6 divisions = 6 “tries”
6 divisions = 6 DIFFERENT leaders = 6 INDEPENDENT “tries” = Max probability of “win”
6 divisions = 6 very DIFFERENT leaders = 6 very INDEPENDENT “tries” = Max probability of “far out”/”3-sigma” “win”
*―Driver‖: Law of Large #s
―Best practice‖ =
ZERO Standard
Deviation
“„Decentralization‟ is not a piece of paper. It‟s not me. It‟s either in your heart, or not.”
—Brian Joffe/BIDvest
Enemy
#1
I.C.D.
Note 2: Jim Burke‘s 1-word vocabulary: ―No.‖
Inherent/Inevitable/ Immutable Centralist Drift
Note 1:
“If if feels painful and scary—that‟s real delegation”
—Caspian Woods, small biz owner
“Ninety percent of what we call „management‟ consists of making it difficult for people to get things done.”
– Peter Drucker
Can‘t Live Without ‘em, Can‘t live With ‘em
Office A, Executive Row:
C.I.O.
C.S.D.O./ Chief Systems Destruction Officer
Office B (Across the hall):
(007 License)
*
*Chief of Anti-matter; Deputy Chief, Grunge Removal Section; Chief, Crap Accretion Police; Chief, Office of Bullshit Detection; K.I.S.S. Kops
volcanic struggle!
“Centralization” vs. “Decentralization” = Everything
Institute of Public Administration, last question … Centralization vs Decentralization = EVERYTHING (Business, government, child-rearing) Jefferson vs Hamilton (D.C. vs ―states rights‖) Nelson, Grant: simple-clear-brief orders, then lots of leeway Ike (and CEO Koppers): plan like hell and burn the plan (literally) Ceaselessly talk through the values, then enormous space within Bossidy: 2-page strategy (pre-Welch, strategy doc was budget doc) Katrina: USCG (―history of trusting their captains‖) vs US Navy Rommel on Americans in North Africa No autonomy, no resilience (Yunus: ―We‘re all entrepreneurs‖) CIO; across the hall anti-CIO (Mr Build, Mr Destroy) Drucker: ―Ninety percent …‖ ICD/Inherent Centralist Drift Gary Hamel and ―sell by‖ ―Anthropological analysis,‖ McKinsey Degree of staff diversification is also Cent. vs De-cent issue (homogeneity grows over time) Jim Burke: ―No.‖ (Watson: ―never do a System 360 today‖) Norberto Odebrecht and 2nd Law Thermodynamics (Foster‘s data) Sloan: Dynamic approach, never get it right TP: dynamic approach, never get it right, lean ―big time‖ toward decentralization, open warfare on ―necessary‖ systems
Ex-ecu-tion!
“In real life, strategy is actually very straightforward. Pick a general direction and implement like hell”
—Jack Welch
“Execution is
the job of the business leader.‖
—Larry Bossidy & Ram Charan/ Execution: The Discipline of Getting Things Done
“Execution is a
systematic process
—Larry Bossidy & Ram Charan/ Execution:
of rigorously
discussing hows and whats, tenaciously following through, and ensuring accountability.”
The Discipline of Getting Things Done
(1) sum of Projects = Goal (“Vision”)
(2) sum of Milestones = project (3) rapid Review + Truth-telling = accountability
“Costco figured out the big, simple things and executed with total fanaticism.”
—Charles Munger, Berkshire Hathaway
“almost inhuman disinterestedness in … strategy”
—Josiah Bunting on
U.S. Grant (from Ulysses S. Grant)
U. S. Grant *No interest in grand strategy. *Do the thing until it is done. *Do not over complicate. *Do the next thing. *Pleasure in perseverance per se. *Not ask for help or advice. *Not complain of difficulties or ask for more time or resources McClellan: delay; plead for more forces Grant: ―When do I start? What I want is to advance.‖
Source: Josiah Bunting, Ulysses S. Grant
Excellence in Execution = Deepest “Blue Ocean”
Ac-counta-bil-ity!
“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)
30% MH: 80%
CF:
(no salesfolk)
(salesfolk)
6:15A.M.
DECENTRALIZATION. EXECUTION. ACCOUTABILITY. 6:15A.M.
Part SIX
“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 …
“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:
Evolution, Extinction and Economics
—Paul Ormerod, Why Most Things Fail:
“Mr. Foster and his McKinsey colleagues collected detailed performance data stretching
back
40 years for 1,000
U.S. companies.
They found that
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
―Forbes100‖ from 1917 to 1987
members of the Class of ‘17 were alive in ‘87; 18 in ‘87 F100; 18 F100 ―survivors‖ significantly underperformed the market;
: 39
just
2 (2%), GE & Kodak,
outperformed the market from 1917 to 1987.
S&P 500 from 1957 to 1997:
‘97;
12 (2.4%) of 500 outperformed the market from 1957 to 1997.
74 members of the Class of ‘57 were alive in
Why Companies That Are Built to Last Underperform the Market
Source: Dick Foster & Sarah Kaplan, Creative Destruction:
―It‘s just a fact:
Survivors underperform.”
—Dick Foster
Dick Kovacevich:
You don‟t get better by being bigger. You
―The difficulties … arise from the inherent conflict between the need to control existing operations and the need to create the kind of environment that will permit new ideas to flourish—and old ones to die a
believe that most corporations will find it impossible to match or outperform the market without abandoning the assumption of continuity. … The current apocalypse—the
transition from a state of continuity to state of discontinuity—has the same suddenness [as the trauma that beset civilization in 1000 A.D.]‖
Richard Foster & Sarah Kaplan, ―Creative Destruction‖ (The McKinsey Quarterly)
timely death. … We
“ „Good management‟ was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms
listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.”
—Clayton Christensen, The Innovator‘s Dilemma
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
“The more successful a company, the flatter its forgetting curve.”
— Gary Hamel and C.K. Prahalad
―A pattern emphasized in the case studies in this book is the degree to which powerful competitors not
further their positions in older products. This results in a surge of productivity and performance that may take the old technology to unheard of heights. But in most cases this is a sign of impending death.‖
—Jim Utterback, Mastering the Dynamics of Innovation
only resist innovative threats, but actually resist all efforts to understand them, preferring to
―It is generally much easier to
organization
substantially.‖
kill an
than change it
—Kevin Kelly, Out of Control
―Data drawn from the real world attest to a fact that is beyond our control:
Everything in existence tends to deteriorate.‖
—Norberto Odebrecht, Education Through Work
―When asked to name just one big merger that had lived up to expectations, Leon Cooperman, former cochairman of Goldman Sachs‘ Investment Policy Committee,
answered:
I‟m sure there are success stories out there, but at this moment I draw a blank.”
—Mark Sirower, The Synergy Trap
“Not a single company that qualified as having made a sustained transformation ignited its leap with a big acquisition or merger. Moreover,
comparison companies—those that failed to make a leap or, if they did, failed to sustain it—often tried to make themselves great with a big acquisition or merger. They failed to grasp the simple truth that while you can buy your way to growth, you cannot buy your way to greatness.” —Jim Collins/Time/2004
―MERGERS: Why Most Big Deals Don‘t Pay Off. A BusinessWeek analysis
shows that 61% of buyers destroyed shareholder wealth.‖ —BusinessWeek
―Mergers and acquisitions get the headlines, but studies
show they often end up destroying shareholder value instead of creating it. That‘s one reason why organic growth is so prized by corporations and investors. In fact, if you compare the stock performance of a new index of 23 companies that are masters of organic growth to the S&P500, the Organic Growth Index beat the S&P500 handily, 31% vs. 22% over the year ending January 2004. And looking further back at a five-year period ending in 2002, the OGI walloped the S&P500, 25% vs. 3%.”
—Fortune.com/06.03.2004 (The OGI includes Wal*Mart, Sysco, Harley-Davidson, Bed, Bath & Beyond, NVR)
“Almost every personal friend I have in the world works on Wall Street. You can buy and sell the same company six times and everybody makes
but I‟m not sure we‟re actually innovating. … Our challenge is to
money, take nanotechnology into the future, to do personalized medicine …” —Jeff Immelt/2005
―Don‘t ever use that word ‗synergy.‘ It‘s a The only thing that works is natural law. Given enough time, natural relationships will develop between our businesses.‖ —Barry Diller, responding to a
hideous
word.
student question, address at the Harvard Business School (from Marshall Goldsmith, What Got You Here Won‘t Get You There)
Did one of ‘em ever turn to the other and say: “Wow I
wonder what unimaginable new tools, otherwise not possible, will be quickly brought forth for our customers because of this deal?”
Did one of ‘em ever turn to the other and say: “Wow, I
wonder what unimaginable new tools, otherwise not possible, will be brought forth for my daughter Alice, age 17, because of this deal?”
―Not long ago, I heard one studio chief utter the unthinkable: „What would
happen if I made a movie I actually looked forward to seeing?‟ ‖
—Peter Bart, Editor in Chief, Variety; former Paramount exec, ―Hollywood‘s Model Doesn‘t Produce Art, or Much Profit‖ (NYT/0721.06)
There‘s “A” and then there‘s “A.”
Winning the Merger Game
Is
Possible
--Lots of deals --Little deals --Friendly deals
--Stay close to core competence --Strategy is easy to understand
Source: ―The Mega-merger Mouse Trap‖/Wall Street Journal/02.17.2004 / David Harding & Sam Rovit, Bain & Co./re Comcast-Disney
No: People. No: Product. No: Value to customer. Yes: Dilution, other control and shareowning issues. Yes: Scale-as-power. Yes: Market share.
Yes: People. Yes: Product. Yes: Value to customer. No: Dilution, other control and shareowning issues. No: Scale-as-power. No: Market share.
―On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main constituencies are your employees, your customers and your products.‖ —Jack Welch, FT, 0313.09, page 1
―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: Jack Bogle, Enough! (chapter titles)
“To me business isn‟t about wearing suits or pleasing stockholders. It‟s about being true to yourself, your ideas and focusing on the essentials.” —Richard Branson
#4 Japan #3 USA #2 China
#1 Germany
Reason!!!
Mittelstand
Jim’s Group
Jim Penman/ Jim‘s Group
Jim‘s Dog Wash
Jim‘s Driving School Jim‘s Fencing Jim‘s Floors Jim‘s Painting Jim‘s Paving Jim‘s Pergolas [gazebos] Jim‘s Pool Care Jim‘s Pressure Cleaning Jim‘s Roofing Jim‘s Security Doors Jim‘s Trees Jim‘s Window Cleaning Jim‘s Windscreens
Jim‘s Mowing Canada Jim‘s Mowing UK Jim‘s Antennas Jim‘s Bookkeeping Jim‘s Building Maintenance Jim‘s Carpet Cleaning Jim‘s Car Cleaning Jim‘s Computer Services
What Will They Franchise Next? The Story of Jim‘s Group
Note: Download, free, Jim Penman‘s book:
Jim‟s Group: Jim Penman.*
1984: Jim‘s Mowing. 2006: Jim‘s Group. 2,600 franchisees (Australia, NZ, UK). Cleaning. Dog washing. Handyman. Fencing. Paving. Pool care. Etc. ―People first.‖ Private. Small staff. Franchisees can leave at will. 0-1 complaint per year is norm; cut bad ones quickly.
*Ph.D. cross-cultural anthropology; mowing on the side Source: MT/Management Today (Australia), Jan-Feb 2006
Basement Systems Inc.
*Basement Systems Inc. *Larry Janesky *Dry Basement Science
(115,000!)
*1990: $0; 2003: $13M;
2007:
$62,000,000
Joel Resnick/Flemington NJ
(referenced in Fame Junkies)
The Red Carpet Store
etc. PRSX/ Paragon Railcar Salvage*
*Salvaged railcars into bridges, etc.
*Lived in same town all adult life
*First generation that‘s wealthy/ no parental support *―Don‘t look like millionaires, don‘t dress like millionaires, don‘t eat like millionaires, don‘t act like millionaires‖
*―Many of the types of businesses [they] are in could be classified as ‗dull-normal.‘ [They] are welding contractors, auctioneers, scrap-metal dealers, lessors of portable toilets, dry cleaners, re-builders of diesel engines, paving contractors …‖
Source: The Millionaire Next Door, Thomas Stanley & William Danko
Small Giants: Companies That Choose To Be Great Instead Of Big
—by Bo Burlingham
Small Giants/Bo Burlingham
"First, I could see that, unlike most entrepreneurs, their founders and leaders had recognized the full range of choices they had about the type of company they would create." "Second, the leaders had overcome the enormous pressures on successful companies to take paths they had not chosen and did not necessarily want to follow." "Third, 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.'" "Fourth, they cultivated exceptionally intimate relationships with customers and suppliers, based on personal contact, one-on-one interaction, and mutual commitment to delivering on promises."
Small Giants/Bo Burlingham
"Fifth, the companies also had what struck me as unusually intimate workplaces." "Sixth, I was impressed by the variety of corporate structures and modes of governance that these companies had come up with." "Finally, 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."
Retail Superstars: Inside the 25 Best Independent Stores in America
—by George Whalin
Jungle Jim‘s International Market/―shoppertainment‖ Abt Electronics Zabar‘s Bronner‘s Christmas Wonderland Ron Jon Surf Shop. Junkman‘s Daughter Smoky Mountain Knife Works Hartville Hardware
Source: Retail Superstars: Inside the 25 Best Independent Stores in America, George Whalin
WallopWalmart16*
*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 business and lukewarm customers.)
on! (Instead steal niche
*―Dramatically Different‖
*Emotional bond with Clients, ON EMOTION/CONNECTION!!)
(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.)
Vendors. (BEAT THE BIGGIES
“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 NeimanMarcus 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 to drive
The thing that all these companies have in common is that they have nothing in common.
looking in the rearview mirror.
They are outliers. 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
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 out of it!) *An
star! (―Sell‖ local-ness per se. Sell the hell
incredible experience, from the first to last moment—and then in the follow-up! (―These guys
are cool! They ‗get‘ me! They love me!‖) *DESIGN DRIVEN! (―Design‖ is a premier weapon-inpursuit-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-regionalniche ―lovemark.‖) *Focus *
Excellence!
on women-as-clients. (Most don‘t. How stupid.)
(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!)
The Small*Mart Revolution: How Local Businesses Are Beating Local Competition
—Michael Shuman
odds are best in tightly drawn markets, not big, sprawling ones‖
—Title/ Bruce Greenwald & Judd Kahn/HBR09.05
“All Strategy Is Local: True competitive advantages are harder to find and maintain than people realize. The
Focus:
Muhammad Yunus:
―All human beings
were in the caves we were all selfemployed . . . finding our food, feeding ourselves. That‘s where human history began . . . As civilization came we suppressed it. We became labor because they stamped us, ‗You are labor.‘ We forgot that we are entrepreneurs.‖
Source: Muhammad Yunus/The News Hour—PBS/1122.2006
are entrepreneurs. When we
Conscious measurement
of your Top 5 Strategic Initiatives/Key Projects score 8 or higher [out of 10] on a ―Weird‖/ ―Profound‖/ ―Wow‖/―Game- changer‖ Scale?
Innovation Index: How many
“gurugate”: The Gurus‟ fixation with “the wrong stuff”*
*Not ―they,‖ but ―us.‖
Over-rated:
Big companies! Public companies! “Cool” industries! Stability (“Built to last”)! Famous CEOs! Men!
Under-rated:
*SMEs! *Private companies! *“Dull” industries! *Productive churn: Built to Rock the World! *Laudable CEOs! *Women!
Part SEVEN
#1 Truthteller …
You = Your calendar*
*Calendars
never
lie
“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
“Dennis, you need a …
„To-don‟t ‟
List !”
Don‘t > Do*
* ―Don‘t-ing,‖ 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
John Sawhill/Major Strategic
―What areas should the Conservancy focus on and more important—
Initiative:
what activities should we stop doing?‖
Source: Bill Birchard, Nature‟s Keepers: The Remarkable Story of How The Nature Conservancy Became the Largest Environmental Organization in the World
#89
“You must
the change you wish to see in the world.”
Gandhi
be
―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)
“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
effectively, leaders make particular use of two
―To change minds
tools: the
stories that they tell and the lives
—Howard Gardner, Changing Minds
that they lead.‖
#90
“Nothing is so contagious as enthusiasm.”
—Samuel Taylor Coleridge
“I am a dispenser of enthusiasm.”
—Ben Zander
“[Ronald Reagan] radiated an almost transcendent happiness.”
Half-full Cups:
—Lou Cannon
―Swimmers and colleagues remember a man of almost boundless energy and passion, pointing to his preternatural cheerfulness at 6A.M. practices. —Stanford magazine, on Richard Quick,
women‘s swimming coach (13 NCAA championships,
the Olympic teams he coached won 59 medals)
―He‘d look you in the eye and tell you that you could do it. He was so genuine and passionate that you‘d start to believe it yourself.‖
—Jessica Foschi, All American and NCAA champion
[It had mostly] to do with body language, with the impact Mandela‘s manner had on people he met. First there was his erect posture. Then there was the way he shook hands. The effect was both regal and intimidating, were it not for Mandela‘s warm gaze and his big, easy smile. … Coetzee was surprised by
found themselves chatting amiably. … Mandela‘s willingness to talk in Afrikaans, his knowledge of Afrikaans history.‖ Coetzee: ―He was a born leader. And he was affable. He was obviously well liked by the hospital staff and yet he was respected even though they knew he was a prisoner.‖
and the Game that Made a Nation. (Mandela meets surreptitiously with justice minister after decades in prison—and turns on the charm)
Source: John Carlin, Playing the Enemy: Nelson Mandela
―Mandela, a model host [in his prison hospital room] smiled grandly, put [Justice Minister Kobie] Coetzee at his ease, and almost immediately, to their quietly contained surprise, prisoner and jailer
―Ultimately the smile was symbolic of how Mandela molded himself. At every stage of his life he decided who he wanted to be and created the appearance—and then the reality—of that person. He became who he wanted to be.‖ —from ―Look the
Part‖ (Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel)
―In the election in 1994, his smile was the campaign. That smiling iconic campaign poster—on billboards, on highways, on street lamps, at tea shops and fruit stalls. It told black voters that he would be their champion and white voters that he would be their protector. It was the smile of the proverb ‗tout comprendre, c‘est tout pardoner‘—to understand is to forgive all. It was political Prozac for a nervous electorate.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Ultimately the smile was symbolic of how Mandela molded himself. At every stage of his life he decided who he wanted to be and created the appearance—and then the reality—of that person. He became who he wanted to be.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Some call it a blind spot, others naïveté, but Mandela sees almost everyone as virtuous until proven otherwise. He starts with an assumption you are dealing with him in good faith. He believes that, just as pretending to be brave can lead to acts of real bravery, seeing the good in other people improves the chances that they will reveal their better selves.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Mandela sees the good in others both because it is in his nature and in his interest. At times that has meant being blindsided, but he has always been willing to take that risk. And it is a risk. … Mandela goes out on a limb and makes himself vulnerable by trusting others. … We rarely equate risk with trying to see what is decent, honest, and good in the people in our daily lives. ... ‗People will feel I see too much good in people, and I‘ve tried to adjust because whether it is so or not, it is something I think is profitable. It‘s a good thing to assume, to act on the basis that others are men of integrity and honor, because you need to attract integrity and honor. I believe in that.‘‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Mandela … consciously chose to err on the side of generosity. By behaving honorably, even to people who may not deserve it, he believes you can influence them to behave more honorably than they otherwise would. This sometimes proved to be a useful tactic, particularly after he was released from prison, when his open, trusting attitude made him appear to be a man who could rise above bitterness. When he urged South Africans to ‗forget the past,‘ most of them believed that he had. This had a double effect: It made whites trust Mandela more and it made them feel more generous toward the people they had so recently oppressed.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
Smiling begets a warmer environment. ( Thanking begets an environment of mutual appreciation. Enthusiasm begets enthusiasm. Love begets love. Energy begets energy. Wow begets Wow. Optimism begets Optimism. Honesty begets honesty. Caring begets caring. Listening begets engagement. __________ begets _____________
“It’s always
showtime.”
—David D‘Alessandro, Career Warfare
“eighty percent of success is showing up.”
—Woody Allen
Give good tea!
When Adams joined Franklin in Paris in 1779, he was scandalized by the late hours and French lifestyle his colleague had adopted, says [Stacy Schiff, in A Great Improvisation] Adams was clueless that it was through the dropped hints and seemingly offhand remarks at these salons that so much of French diplomacy was conducted. … Like the Beatles arriving in America, Franklin aroused a fervor—his
of state as rigorously as John Adams. face appeared on prints, teacups and chamber pots. The extraordinary popularity served Franklin‘s diplomatic purposes splendidly. Not even King Louis XVI could ignore the enthusiasm that had won over both the nobility and the bourgeoisie. …‖
to be that of a flirtatious old man, too busy visiting the city‘s fashionable salons to pursue affairs
Franklin‘s miracle was that armed only with his canny personal charm and reputation as a scientist and philosopher, he was able to cajole a wary French government into lending the fledgling American nation an enormous fortune. … The enduring image of Franklin in Paris tends
simple brown suit and a fur cap. …
―In the same bitter winter of 1776 that Gen. George Washington led his beleaguered troops across the Delaware River to safety, Benjamin Franklin sailed across the Atlantic to Paris to engage in an equally crucial campaign, this one diplomatic. A lot depended on the bespectacled and decidedly unfashionable 70-year-old as he entered the world‘s fashion capitol sporting a
Source: ―In Paris, Taking the Salons By Storm: How the Canny Ben Franklin Talked the French into Forming a Crucial Alliance,‖ U.S. News & World Report, 0707.08
Make friends!
―Allied commands depend on mutual confidence [and this confidence] is gained, above all through the development of friendships.‖
—General D.D. Eisenhower, Armchair General* (05.08)
*―Perhaps his most outstanding ability [at West Point] was the ease with which he made friends and earned the trust of fellow cadets who came from widely varied backgrounds; it was a quality that would pay great dividends during his future coalition command
“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
The Real World‘s ―Little‖ Rule Book
Ben/tea Norm/tea DDE/make friends WFBuckley/make friends-help friends Gust/Suck down Charlie/poker pal-BOF
Eddie VII/dance-flatter-mingle-learn the language Vlad/birthday party of outgroup guy‘s wife
CIO/finance network ERP installer/consult-―one line of code‖ GE Energy/make friends risk assessment
GWB/check the invitation list
GHWB/T-notes Hank/60 calls MarkM/5K-5M Delaware/show up
Oppy/snub Lewis Strauss
NM/smile -$4.3T/tin ear tp.com/Big 4-What do you think? Women/genes Banker/after church Total Bloody Mess/Can they pay back the loan?
#92
(Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel)
―Some call it a blind spot, others naïveté, but Mandela sees almost everyone as virtuous until proven otherwise. He starts with an assumption you are dealing with him in good faith. He believes that, just as pretending to be brave can lead to acts of real bravery, seeing the good in other people improves the chances that they will reveal their better selves.‖ —from ―See the Good in Others‖
―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)
#93
The ―19 Es‖ of EXCELLENCE Enthusiasm! (Be an irresistible force of nature! Be fire! Light fires!) Exuberance! (Vibrate—cause earthquakes!) Execution! (Do it! Now! Get it done! Barriers are baloney! Excuses are for wimps! Accountability is gospel! Adhere to coach Bill Parcells‘ doctrine: ―Blame nobody!! Expect nothing!! Do something!!‖) Empowerment! (Respect! Appreciation! Ask until you‘re blue in the face, ―What do you think?‖ Then: Listen! Liberate! 100.00% innovators!) Edginess! (Perpetually dance at the frontier and a little, or a lot, beyond.) Enraged! (Maintain a permanent state of mortal combat with the status-quo!) Engaged! (Addicted to MBWA/Managing By Wandering Around. In touch. Always.) Electronic! (Partner with the whole wide world 60/60/24/7 via all manner of electronic community building and entanglement. Crowdsourcing Encompassing! (Relentlessly pursue diversity of every flavor! Diversity per se generates big returns!) (Seeking superb leaders: Women rule!) Emotion! (The alpha! The omega! The essence of leadership! The essence of sales! The essence of design! The essence of life itself! Acknowledge it! Use it!)
wins!)
The ―19 Es‖ of EXCELLENCE
Empathy! (Connect! Connect! Connect! Click with others‘ reality and aspirations! ―Walk in the other person‘s shoes‖—until the soles have holes!) Ears! (Effective listening in every encounter: Strategic Advantage No. 1! Believe it!) Experience! (Life is theater! It‘s always showtime! Make every contact a ―Wow‖ ! Standard: ―Insanely Great‖/Steve Jobs; ―Radically Thrilling‖/BMW.) Eliminate! (Keep it simple!! Furiously battle hyper-complexity and gobbledygook!!) Errorprone! (Ready! Fire! Aim! Try a lot of stuff, make a lot of booboos. CELEBRATE the booboos! Try more stuff, make more booboos! He who makes the most mistakes wins! Fail! Forward! Fast!) Evenhanded! (Straight as an arrow! Fair to a fault! Honest as Abe!) Expectations! (Michelangelo: ―The greatest danger for most of us is not Eudaimonia! (The essence of Aristotelian philosophy: True happiness is pursuit of the highest of human moral purpose. Be of service!
that our aim is too high and we miss it, but that it is too low and we hit it.‖)
Always!)
EXCELLENCE! (The only standard! Never an exception! Start NOW!
No excuses!)
PXEX = People. eXecution. Error. eXcellence.
“Excellence …
can be obtained if you: ... care more than others think is wise; ... risk more than others think is safe; ... dream more than others think is practical; ... expect more than others think is possible.”
Source: Anon. (Posted @ tompeters.com by K.Sriram, November 27, 2006 1:17 AM)
The EXCELLENCE 15
People 1st/ ―‗Cathedral‘ for human development‖ Best 1st-line managers Quality of relationships (Internal/External) Try it! Try it again! Passion!/Energy!/Wow! Unstinting commitment to innovation by ALL Excellence at ―Plan B‖/Adaptability Fanatic about execution XFX/Cross-functional eXcellence Integrity/Decency/Thoughtfulness/Character LX/Listening eXcellence Commitment to SERVICE Commitment to EXCELLENCE Servant leadership
The end
Tom Peters‘
EXCELLENCE. ALWAYS. Leadership.
Muscat/03 August 2010
Excellence:
The
Leadership
50
bedrock.
1. Leaders …
serve.
Organizations exist to serve. Period.
Leaders live to serve. Period.
The Basic Mechanism.
2. Leadership Is a
Mutual Discovery Process.
…
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.”
Leaders‘ ―Mt Everest Test‖
“free to do his or her absolute best” … “allow its members to discover their greatness.”
The Leadership Types.
3. Great Leaders on White Horses Are
Important – but
Great Talent Developers (Type I Leadership) are the Bedrock
of Organizations that Perform Over the Long Haul.
Whoops:
Jack didn‘t have a vision!
4. But There Are Times
When the “visionary” ―Type‖ (Type II Leadership) Matters!
“A leader is a dealer in hope.”
—Napoleon
5. Find the
“Businesspeople”! (Type III Leadership)
I.P.M.
(Inspired
Profit Mechanic)
6. All Organizations
Need … the Golden
Leadership Triangle.
The Golden Leadership Triangle:
(1) Talent Fanatic … (2) Visionary … (3) Inspired Profit Mechanic.
7. Leadership Mantra #1:
IT ALL DEPENDS!
Renaissance Men are … a snare,
a myth, a delusion!
8. The Leader Is
Rarely/Never the
Best Performer.
The Leadership Dance.
9. Leaders …
SHOW UP!
“A body can pretend to care, but they can‟t pretend to be there.”
— Texas Bix Bender
10. Leaders …
LOVE the MESS!
under control, you‟re just not going fast enough.”
“If things seem
—Mario Andretti
11. Leaders
“We have a „strategic‟ plan. It‟s called doing things.”
— Herb Kelleher
12. Leaders
Re
-do.
―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
By the time our rivals are ready with wires and screws, we are on version
#5.
#10. It gets back to planning
versus acting: We act from day one; others plan how to plan— for months.” —Bloomberg by Bloomberg
13. BUT … Leaders
Know
When to Wait.
Tex Schramm:
The
“too hard”
box!
14. Leaders Are …
Optimists.
Hackneyed but none the less
true:
LEADERS SEE CUPS AS “HALF FULL.”
“[Ronald Reagan] radiated an almost transcendent happiness.”
Half-full Cups:
—Lou Cannon
15. Leaders
FOCUS!
“Dennis, you need a …
„To-don‟t ‟
List !”
16. Leaders … Send
V-E-R-Y Clear
Signals
About What‘s Important!
―Really Important Stuff‖: Roger‟s
Rule of Three!
Danger:
S.I.O.
(Strategic Initiative Overload)
If It Ain‟t Broke … Break It.
17. Leaders …
FORGET!/
Leaders …
DESTROY!
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
“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:
Buy a very large one and just wait.”
—Paul Ormerod, Why Most Things Fail:
Evolution, Extinction and Economics
18. BUT … Leaders
Have to Deliver, So They Worry About ―Throwing the Baby Out with the Bathwater.‖
“Damned If You Do, Damned If You Don‟t, Just Plain Damned.”
Subtitle in the chapter, ―Own Up to the Great Paradox: Success Is the Product of Deep Grooves/ Deep Grooves Destroy Adaptivity,‖ Liberation Management (1992)
19. Leaders …
HONOR THE USURPERS.
Saviors-in-Waiting
Disgruntled Customers Upstart Competitors Rogue Employees Fringe Suppliers
Source: Wayne Burkan, Wide Angle Vision
20. Leaders Make
[Lots of] Mistakes – and
MAKE NO BONES ABOUT IT!
“Fail faster.
Succeed sooner.”
—David Kelley/IDEO
“Fail . Fail again. Fail better.”
—Samuel Beckett
―No man ever became great except through many and great mistakes.‖
Timeless Wisdom, compiled by Gary Fenchuk)
—William Gladstone (from
21. Leaders Make …
BIG MISTAKES!
excellent failures. Punish mediocre successes.”
—Phil Daniels
“Reward
Create.
22. Leaders Know that THERE‘S
MORE TO LIFE THAN ―LINE EXTENSIONS.‖ Leaders Love to …
CREATE NEW MARKETS.
―Acquisitions are about buying market share. Our
challenge is to create markets.
There is a big difference.‖
—Peter Job, CEO, Reuters
23. Leaders … Make Their Mark /
Leaders …
Do Stuff That Matters
I was interested in creating things I would be proud of.” —Richard Branson
“I never, ever thought of myself as a businessman.
24. Leaders Push Their
Organizations …
W-a-y Up the Valueadded Chain.
“Every project we undertake starts with
the same question:
„How can we do what has never been done before?‟”
—Stuart Hornery, Lend Lease
25. Leaders Push Past
Service ―Transactions‖
to … Scintillating
Experiences.
“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
Experience: ―Rebel Lifestyle!‖
“What we sell is the ability for a 43year-old accountant to dress in black leather, ride through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
26. Leaders
LOVE the
New Technology!
Power Tools For Power Strategies
27. Needed? Type IV
Leadership:
Technology Dreamer-True Believer
The Golden Leadership Quadrangle: (1) Talent
Fanatic … (2) Visionary … (3) Inspired Profit Mechanic …
(4) Technology DreamerTrue Believer.
Talent.
28. Leaders …
DO TALENT!
Brand = Talent.
29. When It Comes
to … Leaders Always Go Berserk!
TALENT
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
30. Leaders Listen.
Leaders
Consult.
Passion.
31. Leaders …
“Sell”
PASSION!
Gary Hamel:
“Create a „cause,‟ not a „business.‟ ”
32. Leaders Know:
ENTHUSIASM BEGETS ENTHUSIASM!
“Nothing is so contagious as enthusiasm.”
—Samuel Taylor Coleridge
―Swimmers and colleagues remember a man of almost boundless energy and passion, pointing to his preternatural cheerfulness at 6A.M. practices.‖
—Stanford magazine, on Richard Quick, women‘s swimming coach (13 NCAA championships, the Olympic teams he coached won 59 medals)
―He‘d look you in the eye and tell you that you could do it. He was so genuine and passionate that you‘d start to believe it yourself.‖
—Jessica Foschi, All American and NCAA champion
33. Leaders Are …
in a Hurry
“We don‟t sell insurance
anymore.
We sell speed.”
Peter Lewis, Progressive
“Metabolic Management”
34. Leaders
Focus on the
SOFT STUFF!
“Hard” is
“soft.” “Soft” Is “hard.”
Message: Leadership 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 “Job” of Leading.
35. Leaders Know It‘s ALL SALES ALL THE TIME.
If you don‟t
LOVE
SALES … find
another life. (Don‘t pretend
you‘re a ―leader.‖)
36. Leaders
LOVE
―POLITICS.‖
If you don‟t LOVE
POLITICS … find
another life.
(Don‘t pretend you‘re a ―leader.‖)
All success is a Matter of implementation. All implementation is a matter of politics.
37. But … Leaders Also
Break a Lot of China.
Characteristics of the ―Also rans‖*
―Minimize risk‖ ―Respect the chain of command‖ ―Support the boss‖ ―Make budget‖
*Fortune, ―Most Admired Global Corporations‖
38. Leaders
Give …
RESPECT!
“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.
Source: 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
“Thank
You.”
39. Leaders Say
―The deepest human
need to be appreciated.”
need is the
William James
FLOWER POWER
40. Leaders
Are …
Curious.
The Three Most Important Letters …
WHY?
41. Leadership Is
a…
Performance.
“It is necessary for the President to be the nation‟s
No. 1 actor.”
FDR
42. Leaders … Are
The Brand
“You must
the change you wish to see in the world.”
Gandhi
be
“It’s always
showtime.”
—David D‘Alessandro, Career Warfare
43. Leaders …
Have a
GREAT STORY!
―A key – perhaps the key – to leadership is the effective
communication of a story.”
Howard Gardner Leading Minds: An Anatomy of Leadership
Leader Job 1
Paint Portraits of Excellence!
Introspection.
44.
Leaders …
Enjoy Leading.
“Tom, you left out one thing …”
45. Leaders
LAUGH!
46. Leaders … KNOW THEMSELVES.
Individuals (would-be leaders) cannot engage in a liberating mutual discovery process unless they are
comfortable with their own skin. (―Leaders‖ who are not
comfortable with themselves become petty control freaks.)
Questions: What do others think of you? [Are you sure?] What do you think of you? [Are you sure?] What is your impact on others? [Are you sure?] What is your impact on others? [Are you sure?] What is your impact on others? [Are you sure?] What are the ―little things‖ you (perhaps unconsciously) do that cause people to shrivel—or blossom? [Are you sure?] What do you want? [Are you sure?] Are you aware of your changing moods? [Are you sure?] How fragile is your ego? [Are you sure?] Do you have a true confidant? [Are you sure?] Do you perform brief or not-so-brief self-assessments? Do you talk too much? [Are you sure?] Do you know how to listen? [Are you sure?] Do you listen? [Are you sure?] What is your style of ―hashing things out‖? Are you perceived as (a) arrogant, (b) abrasive (c) attentive, (d) genuinely interested in people, (e) etc? [Are you sure?] Are you flexible? Have you changed your mind about anything important in a while? Are you comfortable-uncomfortable with folks on the front line? Do you think you‟re “in touch with the pulse of things around here”? [Are You Sure?] Are you too emotional/intuitive? Are you too unemotional/rational? Do you spend much time with people who are new to you? [Do you think questions like this are “so much BS”?]
47. But …
Leaders have
MENTORS.
Upon having the Leadership Mantle placed upon one‘s head, he/she
shall hear the unvarnished truth again!*
to lay it on with no jelly.)
never
(*Therefore, she/he needs one faithful compatriot
The End Game.
48. Leaders
are …
RELENTLESS.
“Success seems to be
largely a matter
of hanging on after others have let go.”
—William Feather, author
49. Leaders
???:
“Leadership is the PROCESS of ENGAGING PEOPLE in CREATING a LEGACY of EXCELLENCE.”
“LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON ROLLER BLADES.”
50. Leaders Free the Lunatic Within!
“You can‟t behave in a calm, rational manner. You‟ve got to be out there on the lunatic fringe.”
— Jack Welch
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!
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
51. Leaders
Relentlessly Pursue …
Excellence
“Excellence can be obtained if you: ... care more than others think is wise; ... risk more than others think is safe; ... dream more than others think is practical; ... expect more than others think is possible.”
Source: Anon. (Posted @ tompeters.com by K.Sriram, November 27, 2006 1:17 AM)
Excellence Is a Universal Striving. If Not Excellence, What?
To appreciate this presentation [and ensure that it is not a mess], you need Microsoft fonts:
NOTE:
“Showcard Gothic,” “Ravie,” “Chiller” and ―Verdana‖
Slides at …
tompeters.com
Problem #1. Opportunity #1. Slide #1.
XFX = #1
The Strategic Importance of XFX (Cross-functional eXcellence)
I intend to start using this as a ―stand alone‖ 1st slide. I believe that in most any organization of, say, more than a dozen people, the #1 issue is ―cross-functional communicationintegration.‖ It is both ―Problem #1‖ and ―Opportunity #1.‖ From intelligence pattern recognition to order execution to innovation, our INTERNAL barriers, not our competitors‘ cleverness, are the principal impediment to effectiveness. I suspect we all agree with that. But is it—AND IT RARELY IS—literally seen as ―SO1‖—Strategic Opportunity #1? (Please do me the honor of thinking about this.)
#1
cause of
employee Dis-satisfaction?
Employee retention & satisfaction:
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
The “3H Theory of Everything”
Conrad Hilton, at a gala celebrating his career, was asked …
All you need to know …
All you need to know …
Hilton Howard Herb
All you need to know …
Hilton Howard Herb
―What was the most important lesson you‘ve learned in you long and distinguished career?‖ His immediate
was asked, answer …
Conrad Hilton, at a gala celebrating his career,
“remember
to tuck the shower curtain inside the bathtub”
“Execution strategy.”
—Fred Malek
is
“In real life, strategy is actually very straightforward. Pick a general direction and implement like hell”
—Jack Welch
―On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main constituencies are your employees, your customers and your products.‖ —Jack Welch, FT, 0313.09, page 1
―The art of war does not require complicated maneuvers; the simplest are the best and common sense is fundamental. From which one might wonder how it is generals make blunders; it is because they try to be clever.‖ —Napoleon
Internal organizational excellence = Deepest “Blue Ocean”
The Score Takes Care of Itself
—Bill Walsh, SF49ers Hall of Fame football coach
―I do not rule Russia. Tenthousand clerks do.‖
—Czar Nicholas I
All you need to know …
Hilton Howard Herb
Sunday ―Drive By‖: The CEO of a very successful mid-sized
bank, in the Mid-west, attended a seminar of mine in Northern California in the mid-80s—but I remember the following as if it were yesterday. I‘ve forgotten the specific context, but I recall him saying to me, pretty much word
―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.‖
for word,
All you need to know …
Hilton Howard Herb
―You have to treat your employees like customers.‖
upon being asked his ―secret to success‖
—Herb Kelleher,
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 the Annual Meeting)
The Customer Comes Second
—Hal Rosenbluth and Diane McFerrin Peters* (*no relation)
“We are a „Life Success‟ Company.”
Dave Liniger, founder, RE/MAX
―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
All you need to know …
Hilton Howard Herb
3H: Hilton, Howard, Herb
**Sweat the details! **Stay in touch! **It‘s all about the people!
All you need to know …
Hilton Howard Herb Hsieh
Zappos 10 Corporate Values Deliver ―WOW!‖ through service. 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
4H: Hilton, Howard, Herb, Hsieh
**Sweat the details! **Stay in touch! **It‘s all about the people! **Wow!
Leader‟s oath of office
Definition of a boss/supervisor/
Cannot Do the Work That Needs to Be Done
leader:
“Leaders people. Period.”
„do‟
—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.
Servant Leadership/Robert Greenleaf
1. Do those served grow as persons? 2. Do they, while being served, become healthier wiser, freer, more autonomous, more likely themselves to become servants?
Framework 2010* Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.) Excellence = People first, second, third. And fourth. (And fifth and sixth and seventh.)
*Courtesy Tom Peters/The Un-revolutionary
Leadership is a sacred trust.*
*President, classroom teacher, CEO, shop foreman
Excellence. Service. Period.
EXCELLENCE. Always. If not EXCELLENCE, what? If not EXCELLENCE now, when? EXCELLENCE is not an "aspiration." EXCELLENCE is not a "journey." EXCELLENCE is the next five minutes. Organizations exist to SERVE. Period. Leaders exist to SERVE. Period. SERVICE is a beautiful word. SERVICE is character, community, commitment. (And profit.) SERVICE is a beautiful word. SERVICE is not "Wow." SERVICE is not "raving fans.― SERVICE is not "a great experience." Service is "just" that—SERVICE.
Non-Excellence.
―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: Jack Bogle, Enough! (chapter titles)
―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.‘‖ — John Bogle, Enough. The Measures of
Money, Business, and Life (Bogle is founder of the Vanguard Mutual Fund Group)
Five Or Less Words To The Wise
EXCELLENCE/Five Or Less Words To The Wise 4 most important words: ―What do you think?‖ (Dave Wheeler @ tompeters.com: ―Most important 4 words in an organization.‖) 4 most important words: ―How can I help?‖ (Boss as CHRO/ Chief Hurdle Removal Officer) 2 most important words: ―Thank you!‖ (Appreciation/ Recognition) 2 most important words: ―All yours.‖ (―Hands-off‖ delegation/ Respect/Trust) 3 most important words: ―I‘m going out.‖ (MBWA/Managing By Wandering Around/In touch!) 2 most important words: ―I‘m sorry.‖ (Power of unconditional apology = Stunning! Marshall Goldsmith: #1 exec issue) 5 most important words: ―Did you tell the customer?‖ (Overcommunicate) 2 most important words: ―She says …‖ (―She‖ is the customer!)
EXCELLENCE/Five Or Less Words To The Wise 2 most important words: ―Yes ma‘am.‖ (Women are more often than not the best managers.) 2 most important words: ―Try it!‖ (My only ―for sure‖ in 44 years: Herb Kelleher: ―We have a strategic plan, it‘s called doing things.‖/Bill Parcells: ―Blame no one. Expect nothing. Do something.‖) 3 most important words: ―Try it again!‖ (My only ―for sure‖ 44 years: MOST TRIES WINS.) 2 most important words: ―Good try!‖ (CELEBRATE ―good failures.‖ Richard Farson/book: Whoever Makes the Most Mistakes Wins. Samuel Beckett: ―Fail. Fail again. Fail better.‖) 3 most important words: ―At your service.‖ (Organizations exist to serve. Period. Leaders live to serve. Period.) 4 most important words: ―How are we doing?‖ (To customers, regularly.) 4 most important words: ―How was Mary‘s recital?‖ (Know your employees‘ kids.) 2 most important words: ―Let‘s party!‖ (Celebrate ―small wins‖ at the drop of a hat.)
EXCELLENCE/Five Or Less Words To The Wise 1 most important word: ―No.‖ (―To don‘ts‖ > ―To dos‖) 1 most important word: ―Yes.‖ (Hey, give it a shot/Anon. quote: ―The best answer is always, ‗What the hell.‘‖/Wayne Gretzky: ―You miss 100% of the shots you don‘t take.‖) 2 most important words: ―Lunch today?‖ (―Social stuff‖ = Secret to problem/opportunity #1:/XFX/ cross-functional Excellence.) 4 most important words: ―Thank Dick in accounting.‖ (Readily acknowledge help from other functions.) 2 most important words: ―After you.‖ (Courtesy rules.) 3 most important words: ―Thanks for coming.‖ (Civility. E.g., boss acknowledges employee coming to her/his office.) 2 most important words: ―Great smile!‖ (Note & acknowledge good attitude.) 1 most important word: ―Wow!‖ (The gold standard … for everything.) 1 most important word: ―EXCELLENT!‖ (The … ONLY … acceptable standard/aspiration.)
More than one route forward
There is more than one way to skin a cat!*
*Every project REQUIRES (if you‘re smart) an outside look by one/some Seriously Weird Cat/s—in pursuit of a whacked-out option. To consider
14,000 20,000
14,000 20,000
14,000/eBay 20,000/Amazon 30/Craigslist
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
“Insanely Great”
Steve Jobs
“Radically thrilling”
BMW
“Let us create such a building that future generations will take us for lunatics.”
—the church hierarchs at Seville
“We are crazy. We should do something when people say it is
If people say something is „good‟, it means someone else is already doing it.”
„crazy.‟
—Hajime Mitarai, Canon
“You do not merely want to be
You want to be considered the only ones who do what you do.”
the best of the best.
—Jerry Garcia
F.Y.I.
“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 …
“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:
Evolution, Extinction and Economics
—Paul Ormerod, Why Most Things Fail:
Dick Kovacevich:
You don‟t get better by being bigger. You
“Mr. Foster and his McKinsey colleagues collected detailed performance data stretching
back
40 years for 1,000
U.S. companies.
They found that
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
“ „Good management‟ was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms
listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.”
—Clayton Christensen, The Innovator‘s Dilemma
“The more successful a company, the flatter its forgetting curve.”
— Gary Hamel and C.K. Prahalad
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
―It is generally much easier to
organization
substantially.‖
kill an
than change it
—Kevin Kelly, Out of Control
―Data drawn from the real world attest to a fact that is beyond our control:
Everything in existence tends to deteriorate.‖
—Norberto Odebrecht, Education Through Work
Tom Peters‘
Excellence. Always.
MASTER 23 August 2010
Part ONE
Little =
*Thank you, Mr. Prime Minister
―Design is everything. Everything is design.‖ ―We are all designers.‖
Inspiration: The Power of Design: A Force for Transforming Everything, Richard Farson
Big carts =
Source: Walmart
Bag sizes = New markets:
Source: PepsiCo
BEGINS (and ENDS)
It
in the …
parking lot*
*Disney
7X. 7:30A-8:00P. F12A. 7:30AM = 7:15AM. 8:00PM = 8:15PM.
“No” = 2*
*Yes Bank
The Commerce Bank Model “every computer at commerce bank has a
special red key on it that
says, „found something stupid that we are doing that interferes with our ability to service the customer? Tell us about it, and if we agree, we will give you $50.‟”
Source: Fans! Not customers. How Commerce Bank Created a Supergrowth Business in a No-growth Industry, Vernon Hill & Bob Andelman
2,000,000
Don‟t like it? Don‟t pay.
Source: Granite Rock Co.
(1) LAN Installation Co. (3%)
(2) (3) Best Buy contracts (4) Best Buy purchases
(5) Best Buy‘s
“Geek Squad” (30%)
“brand promise”
Source: Best Buy (Circuit City: fire senior, hire junior)
“Paint it white!”
— On Hashem Akbari‘s [Lawrence Berkeley National lab] powerful program to significantly reduce greenhouse gas emissions; using conservative assumptions, it could emissions by cooling buildings, roads, entire cities (The Guardian, 0116.09)
reduce 44 billion tons of CO2
Industrial and Residential Buildings
39% *Electricity: 68%
*Total energy: *Carbon dioxide emissions:
*Raw materials:
30% *Non-industrial landfill: 40%
40%
Source: U.S. Green Building Council (from Green Building A to Z, Jerry Yudelson)
see green = recover 20% faster
Socks = 10,000*
*Deep Vein Thrombosis/UK
―Broken windows‖: Clean the streets, fix the broken windows, ticket the open-beer-can holders, etc, etc
= Sense of order = Crime way down
Little =
“Power Freaks” Move Things Around!
6.5
feet Away =
6.5 feet Away =
-63%
“Seconds”*
*Plate size, etc, first serving dish
Round = 2X/allx
>100 feet = 100 miles
Geologists + Geophysicists + A little bit of love =
Oil
XFX = #1* **
*Cross-functional eXcellence **Execution, Innovation, Speed
―Everything matters‖
-80%
Sunstein, etching of fly in the urinal reduces ―spillage‖ by 80%, Schiphol Airport
Source: Nudge, Richard Thaler and Cass
(1) Amenable to rapid experimentation/failure “free” (No bad “PR,” No $$) (2) Quick to implement/Quick to Roll out (3) Inexpensive to implement/ Roll out (4) Huge multiplier (5) An “Attitude” (6) Does not by and large require a “power position” from which to launch experiments.
<TGW
and …
>TGR
[Things Gone WRONG-Things Gone RIGHT]
2-cent candy
“May I clean your glasses, sir?”*
*Kingfisher Air
Music in the parking lot; professional musicians in the lobby (7/week, 3-4hrs/day) ;
Griffin:
5 pianos
volunteers (120-140 hrs arts &
entertainment per month).
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
;
none!
Press Ganey Assoc:
139,380 former patients from 225 hospitals:
none
of THE top 15 factors
determining Patient Satisfaction referred to patient‟s health outcome
P.S. directly related to Staff Interaction P.P.S. 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 budget.
Kindness is free.
Laura Gilpin, Patrick Charmel
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.” —Putting Patients First, Susan Frampton,
“Kindness is free.”
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”
—Henry Clay
―We don‘t take people to the elevator—we take them down to the street.
—David Ogilvy
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.
(of all varieties):
Relationships
“Be kind, for everyone you meet is fighting a great battle.”
—Philo of Alexandria
The Manager‟s Book of Decencies: How Small /gestures Build Great Companies.
—Steve Harrison, Adecco
The Manager‟s Book of Decencies: How Small gestures Build Great Companies. —Steve Harrison, Adecco
Servant Leadership
—Robert Greenleaf
One: The Art and Practice of Conscious Leadership —Lance Secretan,
founder of Manpower, Inc. (―What would happen if we looked at a customer and saw the face of God in them?‖)
―What would happen if we looked at a customer and saw the face of God in them? To most people it sounds like a lofty idea. But if you see the face of God in a flower, why wouldn‘t you see it in the face of a customer? If we treated customers and honored the God within them—if we loved them— we would not need a ‗quality program.‘‖ —Lance Secretan, founder of Manpower, Inc., and most
recently author of One: The Art and Practice of Conscious Leadership
Respect. Decency. Wee Gestures.
Success …
Consult everyone on everything
“Thank you” note carpet bombing
Source: Roger Rosenblatt, Rules for Aging
The “krp Theory of Everything”
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 screwups. ―Over‖-reacts to screwups of any magnitude. ―Professional‖ in all dealings. Optimistic. Understand 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.
―One kind word can warm three winter months.‖
– Japanese Proverb
―Three things in human life are important. The first is to be kind. The second is to be kind. And the third is to be kind.‖ —Henry James
―The deepest principle of human nature is the craving to be appreciated.‖
(in Timeless Wisdom, compiled by Gary Fenchuk)
—William James
Kindness = Repeat business = Profit. Equations/Expanded:
K=R=P X=S=P
eXcellence = Satisfied customers = Profit
eXcellence + Kindness = Repeat business = Profit+
X + K = R = P+
eXcellence + Kindness + Wow = Repeat business + New business = Profits++
X + K + W = R + N = P++
“Perception is all there is”
Comeback
[big, quick response]
>> Perfection
Acquire vs maintain*:
*Recession goal:
Higher ―market share‖ current customers
RESPONSE TO THE
PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM.*
*PERCEPTION IS ALL THERE IS!
THE PROBLEM IS RARELY/NEVER THE PROBLEM. THE
Potlatch.
Clinton Cornwallis Yorktown Edward VII
“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
―The [Starbucks] Fix‖ Is on …
“We have identified a „third place.‟
And I really believe
that sets us apart. The third place is that place that‘s not work or home. It‘s the place our customers come for refuge.‖ —Nancy Orsolini, District Manager
Source: Container Store/increase average sale per shopper
Q: ―Why did you buy Jordan‘s Furniture?‖ A: ―Jordan‘s is
It‟s all showmanship.”
spectacular.
Source: Warren Buffet interview/Boston Sunday Globe/12.05.04
Experience: ―Rebel Lifestyle!‖
“What we sell is the ability for a 43year-old accountant to dress in black leather, ride through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
Up,
Up,
Up,
Up
the Value-added Ladder.
The Value-added Ladder
Services Goods Raw Materials
The Value-added Ladder
Scintillating EXPERIENCES
Services Goods Raw Materials
Beyond the ―Transaction‖/ ―Satisfaction‖ Mentality
“Good hotel”/ “Happy guest”/ “Exceeded Expectations”
vs.
“Great Vacation”/ “Great Conference”/ “Operation Personal Renewal”
C
*Chief e
O*
Xperience Officer
Hire a theater director, as a consultant or FTE!
First Step (?!):
“Most executives have
no idea how to add value to a market in the metaphysical world. But
that is what the market will cry out for in the future. There is no lack of „physical‟ products to choose between.”
Jesper Kunde, Unique Now ... or Never [on the excellence of Nokia, Nike, Lego, Virgin et al.]
Words!
— Magician of Magical Moments — Maestro of Moments of Truth — Recruiter of Raving Fans — Impresario of First 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
Caution:
“ … focus on „engagement,‟ not „experience‟ …”
—Martin Buber, I and Thou, 1927 (from Steve Yastrow, We)
“A man without a smiling face must not open a shop.”
—Chinese Proverb
Planetree:
A Radical Model for New Healthcare/Healing/ Wellness Excellence
The 9 Planetree Practices 1. The Importance of Human Interaction 2. Informing and Empowering Diverse Populations: Consumer Health Libraries and Patient Information 3. Healing Partnerships: The importance of Including Friends and Family 4. Nutrition: The Nurturing Aspect of Food 5. Spirituality: Inner Resources for Healing 6. Human Touch: The Essentials of Communicating Caring Through Massage 7. Healing Arts: Nutrition for the Soul 8. Integrating Complementary and Alternative Practices into Conventional Care 9. Healing Environments: Architecture and Design Conducive to Health
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
The Patient-Family Experience
“Patients are stripped of control, their clothes are taken away, they have little say over their schedule, and they are deliberately separated from their family and friends. Healthcare professionals control all of the information about their patients’ bodies and access to the people who can answer questions and connect them with helpful resources. Families are treated more as intruders than loved ones.” Putting Patients First
— , Susan Frampton, Laura Gilpin, Patrick Charmel
Press Ganey Assoc:
139,380 former patients from 225 hospitals:
none
of THE top 15 factors
determining Patient Satisfaction referred to patient‟s health outcome
PS directly related to Staff Interaction PS 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 budget.
Kindness is free.
Laura Gilpin, Patrick Charmel
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.” —Putting Patients First, Susan Frampton,
Care Partner Programs
(IDs, discount meals, etc.)
Unrestricted visits (―Most Planetree hospitals
have eliminated visiting restrictions altogether.‖) (ER at one hospital ―has a policy of never separating the patient from the family, and there is no limitation on how many family members may be present.‖)
Collaborative Care Conferences Clinical Guidelines Discussions Family Spaces Pet Visits (POP: Patients‘ Own Pets)
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Music in the parking lot; professional musicians in the lobby (7/week, 3-4hrs/day) ;
Griffin:
5 pianos ;
volunteers (120-140 hrs arts &
entertainment per month).
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
―Planetree Look‖
Woods and natural materials Indirect lighting Homelike settings Goals: Welcome patients, friends and
family … Value humans over technology .. Enable patients to participate in their care … Provide flexibility to personalize the care of each patient … Encourage caregivers to be responsive to patients … Foster a connection to nature and beauty
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Access to nurses station:
“Happen to”
vs
“Happen with”
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
Conclusion: Caring/Growth “Experience”
―It was the goal of Planetree to help patients not only get well faster but also to stay well longer.‖
—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel (Planetree Alliance/Griffin Hospital)
Care!/Love!/Spirit!
Self-Control!
Connect!/learn!/ involve!/Engage! Understanding!/Growth!
De-stress!/heal!
Whole patient & family & friends!
be well!/stay well!
“Planetree is about
human beings caring for other human beings.”
—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel (―Ladies and gentlemen serving ladies and gentlemen‖—4S credo)
f.y.i.
Griffin Hospital/Derby CT (Planetree Alliance ―HQ‖) Results:
Financially successful. Expanding programsphysically. Growing market share. Only hospital in “100 Best Cos to Work for”— 7 consecutive years, currently #6.
—―Five-Star Hospitals,‖ Joe Flower, strategy+business (#42)
All Equal Except …
“At Sony we assume that all products of our competitors have basically the same technology, price, performance and
Design is the only thing that differentiates one product from another in the marketplace.” —Norio Ohga
features.
“Design is treated like a religion at BMW.” —Fortune
“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 the
Design is the fundamental soul of a man-made creation.”
meaning of design.
—Steve Jobs
“You know a design is good when you want to lick it.”
—Steve Jobs Source: Design: Intelligence Made Visible, Stephen Bayley & Terence Conran
“With its carefully conceived mix of colors and textures,
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
Starbucks
„Every Starbucks store is carefully designed to enhance the quality of everything the customers see, touch, hear, smell or taste,‟ writes CEO Howard Schultz.”
of … the aesthetic imperative. …
-—Virginia Postrel, The Substance of Style: How the Rise of Aesthetic
Value Is Remaking Commerce, Culture and Consciousness
Hypothesis:
DESIGN is
the principal difference between love and hate!
All Time
No.1
(TP)
Ziplocs
THE DESIGNER OF MY KRUPPS/ CUISINART COFFEE-MAKER. Major Reward!
Wanted:
―Business people don‘t need to ‗understand designers better.‘ Businesspeople need to be designers.‖
—Roger Martin/Dean/Rotman Management School/ University of Toronto
―The ‗surplus society‘ has a surplus of
companies, employing
similar similar similar
with
similar
similar
people, with
educational backgrounds, coming up with
ideas, producing
prices and
similar similar
things,
quality.‖
—Kjell Nordström and Jonas Ridderstråle, Funky Business
Not optional …
C
*Chief
O*
Design
Officer
―Design is everything. Everything is design.‖ ―We are all designers.‖
Inspiration: The Power of Design: A Force for Transforming Everything, Richard Farson
“Business people don‟t need to „understand designers better.‟ Businesspeople need to be designers.”
—Roger Martin/Dean/Rotman Management School/ University of Toronto
Message (?????):
Men design for women‘s needs.
cannot
Back to the future: “beyond” micro-marketing
―Forget China, India and the Internet: Economic Growth Is Driven by
Women.‖
Source: Headline, Economist
―We Did It!‖
women surpass 50% in U.S. workforce/
–Economist cover, Jan 02.2010, as
―Women‘s economic empowerment is arguably the biggest social change of our times.‖
―All signs point to a new era of women in charge—socially, economically and politically.‖
—Alex Beam, ―Women Rule,‖ International Herald/Jan 15
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1, International Herald /Jan 18
―What do growth, expansion and prosperity have in common? In French grammar they are feminine and when it comes to facts and figures they are feminine as well. Forget China, India and even new technologies – for the past 10 years the number one vector for global growth has been women.‖
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)
―Since 1970, women have held two out of three new jobs. According to The Economist, which compiled studies from a number of research firms, the arrival of this new workforce has done more to encourage global growth than increases in capital investment and improvements in productivity. ‗Over the last 10 years the increase in women [in the workplace] in developed countries has made more of a contribution to global growth than China has,‘ concludes the British weekly.‖
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)
―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 countries. South-east 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.‖
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 in 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 labour or to be consumers with rising budgets and more autonomy to spend. They are increasingly becoming directors, managers and entrepreneurs. Some studies have even shown a correlation between the presence of women in managerial positions and a company‘s financial results. ―This is just the beginning. The phenomenon will only grow as girls prove to be more successful than boys in the school system and enroll in higher numbers in universities. For a number of observers, we have already entered the age of ‗womenomics,‘ the economy as thought out and practised by women. Those Chinese who desire that their only child be male may soon realise that a daughter could be a better investment. Bosses know full well that a team of both men and women is more creative and efficient than one comprised of only men.
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 in 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. They are increasingly becoming directors, managers and entrepreneurs. …‖
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)
―This is just the beginning. The phenomenon will only grow as girls prove to be more successful than boys in the school system and enroll in higher numbers in universities. For a number of observers, we have already entered the age of ―womenomics‖, the economy as thought out and practised by women. Those Chinese who desire that their only child be male may soon realise that a daughter could be a better investment. Bosses know full well that a team of both men and women is more creative and efficient than one comprised of only men.‖
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)
―Tipping Point‖? ―All signs point to a new era of women in charge—socially, economically and politically.‖ —Alex Beam, ―Women Rule,‖ International
Herald/Jan 15.2010
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1,
International Herald /Jan 18.2010
―We Did It!‖ –Economist cover (Jan 02.2010)
as women surpass 50% in U.S. workforce/―Women‘s economic empowerment is arguably the biggest social change of our times.‖
―Tipping Point‖/2010?
―All signs point to a new era of women in charge—socially, economically and politically.‖
—Alex Beam, ―Women Rule,‖ International Herald/Jan 15.2010
―A Tradition Falls and Women Rise: A Changing Germany Seeks to Blend Family, Careers and Schooling‖ —p.1, International Herald /Jan 18.2010 ―Meet the lipstick entrepreneurs Trendspotters are forecasting huge gains for women in business over the next decade. We meet the new band of sisters doing it for themselves‖ —Headline, Sunday Times (UK), January 3.2010
―We Did It!‖
–Economist cover (Jan 02.2010)
as women surpass 50% in U.S. workforce/―Women‘s economic
empowerment is arguably the biggest social change of our times.‖
―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
boys in the school system.
For a number of observers, we have already entered the age of „womenomics,‟ the economy as thought out and practiced by a woman.” —Aude Zieseniss de Thuin, Women‘s
Forum for the Economy and Society
“Since 1970, women have held two out of every three new jobs created.”
—FT, 10.03.2006
“Women are the majority market”
—Fara Warner/The Power of the Purse
W>
2X (C + I)*
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 …‖ —Michael Silverstein and Kate Sayre, ―The Female Economy,‖ HBR, 09.09
$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
*―Women now drive the global economy. Globally, they control about $20 trillion in consumer spending, and that figure could climb as high as
“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, April 15
―The
most significant variable in every
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
The Perfect Answer
Jill and Jack buy slacks in black…
McDonald‘s
Cases! Cases! Cases!
(―mom-centered‖ to ―majority consumer‖; not via kids)
Nike
Home Depot (―Do it [everything!] Herself‖) P&G (more than ―house cleaner‖) DeBeers (―right-hand rings‖/$4B) AXA Financial Kodak (women = ―emotional centers of the household‖)
(> jock endorsements; new def sports; majority consumer)
Bratz (young girls want ―friends,‖ not a blond stereotype)
Source: Fara
Avon
Warner/The Power of the Purse
“Women don‟t buy
They join them.”
brands.
EVEolution
2.6 vs.
―People powered‖:
Age 3 days, baby girls 2X eye contact.
Source: Martha Barletta, Marketing to Women
“Women speak and hear a language
of connection and intimacy, and men
speak and hear a language of status and independence. Men communicate to obtain information, establish their status, and show independence. Women
communicate to create relationships, encourage interaction, and exchange feelings.”
—Judy Rosener, America‟s Competitive Secret
94%
of loans to …
women*
*Microlending; ―Banker to the poor‖; Grameen Bank;
Muhammad Yunus; 2006 Nobel Peace Prize winner
entrepreneurial in nature, and they actively participate in the tanda system [neighborhood groups who pool money and save any that‘s left over]. Regardless of whether they are homemakers or outside-the-home workers, they are responsible for any savings in the family. Patrimonio Hoy [Private Property Today, a CEMEX program to aid the poor in building homes] discovered that 70% of the women who saved were saving money in the tanda system to construct homes for their families. The men in the society consider their job done if they bring in their paycheck at the end of the day.‖ —C.K. Prahalad, from The Fortune at the Bottom of
the Pyramid, on
Mexican company that‘s the world‘s #3 cement maker
are the key drivers of savings in [Mexican] families. … They are
“CEMEX realized that women
Lorenzo Zambrano and CEMEX, the
Lesson: For projects involving children or health or education or
community development or sustainable small-business growth (most projects), women are by far the most reliable and most central and most indirectly powerful local players in even the most chauvinist settings—their characteristic process of ―implementation by indirection‖ means ―life or death‖ to sustainable project success; moreover, the expanding concentric circles of women‘s traditional networking processes is by far the best way to ―scale up‖/expand a program. (Men should not even try to understand what is taking place. Among other things, this networking indirection-largely invisible process will seemingly ―take forever‖ by most men‘s ―action now, skip steps‖ S.O.P.—and then, from out of the blue, following an eternity of rambling discussions-on-top-oframbling-discussions, you will wake up one fine morning and discover that the thing is done that everything has fallen in place ―overnight‖ and that ownership is nearly universal. Concomitant imperative; most of your (as an outsider) staff should be women, alas, most likely not visibly ―in charge.‖
For projects involving children or health or education or community development or sustainable small-business growth (most projects), are by far the most reliable and most central and most indirectly powerful local players even in the most chauvinist settings.
women
!!!!!!!!!!!!!!!!!
“People turning 50
today have
more than half of
—Bill Novelli,
their adult life ahead of them.”
50+: Igniting a Revolution to Reinvent America
55+ > 55-*
*―[55-plus] are more active in online finance, shopping and entertainment than those under 55?‖ —Forrester Research. (USA Today, 8 January 2009)
55+: +21%
(55-64:
18-44: -1%
2000-2010 Stats
+47%)
“New Customer Majority” *
*45% larger than 18-43; 60% larger by 2010
Source: Ageless Marketing, David Wolfe & Robert Snyder
44-65:
Sweetest of Sweet Spots for Marketers‖
—David Wolfe and Robert Snyder, Ageless Marketing
“Baby-boomer Women: The
―Fifty-four years of age has been the highest cutoff point for any marketing initiative I‘ve ever been involved in. Which is pretty weird when you consider age 50 is right about when people who have worked all their lives start to have some money to spend.‖ —
Marti Barletta, PrimeTime Women
―One particularly puzzling category of youthobsession is the highly coveted target of men 18-34, and it‘s always referred to as ‗highly coveted category.‘ Marketers have been distracted by men age 18-34 because they are getting harder to reach. So what? Who wants to reach them? Beyond fast food and beer, they don‘t buy much of anything. … The theory is that if you ‗get them while they‘re young,
they‘re yours for life.‘
What nonsense!”
—Marti Barletta, PrimeTime Women
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
“Marketers attempts at reaching
No market‘s motivations and needs are so poorly understood.‖
unsuccessful.
—Peter Francese, founding publisher, American Demographics
those over 50 have been miserably
LEAVE IT TO BEAVER.
Trapper:
per beaver pelt.
Source: WSJ
<$20
wdcp/“Wildlife Damage-control Professional”: $150 to
―remove‖ ―problem beaver‖;
$750-$1,000 for
Source: WSJ
flood-control piping … so that beavers can stay.
Trapper = Redneck
WDCP = PSF/ Professional Services Provider
7X to 40X
for
―Solution‖
[rather than ―service transaction‖]
Up,
Up,
Up,
Up
the Value-added Ladder.
$50B+*
*IBM Global Services/ ―Systems integrator of choice‖
Planetary Rainmaker-in-Chief!
“Palmisano‟s strategy is to expand tech‟s borders by pushing users—and entire industries—toward radically different business models. The payoff for IBM
would be access to an ocean of revenue—Palmisano estimates it at $500 billion a year —that technology companies have never been able to touch.” —Fortune
“We want to be the air traffic controllers of electrons.”
Bob Nardelli, GE Power Systems
California Closets: “a
whole-life upgrade, not just a tidy bedroom.”
—WSJ/0329.07, ―Why the ContainerStore Guy Wants to Be Your Therapist‖
“Big Brown‟s New Bag: UPS Aims to Be the
Traffic Manager for Corporate America”
—Headline/BW/2004
MasterCard Advisors
― ‗Architecture‘ is becoming a commodity. Winners will be „Turnkey
Facilities Management‟ providers.”
SMPS Exec
(1) LAN Installation Co. (3%)
(2) (3) Best Buy contracts (4) Best Buy purchases
(5) Best Buy‘s
“Geek Squad” (30%)
“brand promise”
Source: Best Buy (Circuit City: fire senior, hire junior)
I. LAN Installation Co.
(3%)
II. Geek Squad.
(30%.)
III. Acquired by BestBuy. IV. Flagship of BestBuy Wholesale “Solutions” Strategy Makeover.
Huge: Customer
Satisfaction
versus
Customer
Success
―Customer Satisfaction‖ to ―Customer Success‖
“We‟re getting better at [Six Sigma] every day. But we really need to think about the customer‟s profitability.
Are customers‟ bottom lines really benefiting from what we provide them?”
Bob Nardelli, GE Power Systems
― ‗Results‘ are measured by the success of all those who have purchased your product or service‖ —Jan Gunnarsson & Olle Blohm, The
Welcoming Leader
“He had done nothing to sell me on his business, yet he had given me the most
Because his sole concern had been my welfare and the success of my business.”
powerful sales pitch of my life.
—Jim Penman, on learning how to sell (What Will They Franchise Next? The Story of Jim‘s Group)
Era #1/Obvious Value: ―Our ‗it‘ works, is
delivered on time‖ (―Close‖) Era #2/Augmented Value: ―How our ‗it‘ can add value—a ‗useful it‘ ‖ (―Solve‖)
Era #3/Complex Value Networks: ―How our
‗system‘ can change you and deliver „business advantage‘ ‖ (―CultureStrategic change‖)
Source: Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale
The Value-added Ladder/ OPPORTUNITY-SEEKING
Customer Success/ Gamechanging Solutions
Scintillating Experiences Services Goods Raw Materials
“The business of selling is not just about matching viable
It‟s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised by the solution. One of the key differentiators of
solutions to the customers that require them. our position in the market is our attention to managing change and making change stick in our customers‟ organization.”* (*E.g.: CRM failure rate/Gartner: 70%)
—Jeff Thull, The Prime Solution: Close the Value Gap,
Increase Margins, and Win the Complex Sale
The Value-added Ladder/ OPPORTUNITY-SEEKING
Implemented Gamechanging Solutions
Scintillating Experiences Services Goods Raw Materials
Part TWO
1977
MBWA
Managing By Wandering Around/HP
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‖
ExIn*: 1982-2002/Forbes.com
DJIA: $10,000 yields
$85,000 EI: $10,000 yields $140,050
*Forbes/Excellence Index /Basket of 32 publicly traded stocks
―Breakthrough‖ 82*
People! Customers! Action! Values!
*In Search of Excellence
Synonyms
Purity Transcendence Virtue Elegance Majesty
Antonyms
Mediocrity
Enthusiasm. Emotion. Excellence. Energy. Excitement. Service. Growth. Creativity. Imagination. Vitality. Joy. Surprise. Independence. Spirit. Community. Limitless human potential. Diversity. Profit. Innovation. Design. Quality. Entrepreneurialism.
The Peters Principles:
Wow!
Hard Is Soft Soft Is Hard
Hard Is Soft (Plans, #s) Soft Is Hard (people, customers, values, relationships)
―The 7-S Model‖
Strategy Structure Systems Style Skills Staff Super-ordinate goal
―The 7-S Model‖
(Strategy, Structure, Systems)
“Hard Ss”
“Soft SS”
(Style, Skills, Staff, Super-ordinate goal)
―The 7-S Model‖
Strategy Structure Systems Style (Corporate “Culture,” “The way we do things around here”) Skills (“Distinctive Competence/s) Staff (People-Talent) Super-ordinate goal (Vision, Core Values)
“If I could have chosen not to tackle the IBM culture head-on, I
probably wouldn‟t have. My bias coming in was toward strategy, analysis and measurement. In comparison, changing the attitude and behaviors of hundreds of thousands of people is very, very
[Yet] I came to see in my time at IBM that culture isn‟t just one aspect of the
hard.
game —it is the
game.”
—Lou Gerstner,
Who Says Elephants Can‘t Dance
“… it is the game.”
“In the end, management doesn‟t change culture. Management
invites
the workforce itself to change the culture.”
—Lou Gerstner
-fold!
Ken Kizer/VA 1997:
―culture of cover-up that pervades healthcare‖ ―Patient Safety Event Registry‖ … ―looking for systemic solutions, not seeking to fix blame on individuals except in the
thirty-fold increase
most egregious cases. The good news was a
in the number of medical
mistakes and adverse events that got reported.‖ ―National Center for Patient Safety Ann Arbor‖
Internal organizational excellence = Deepest “Blue Ocean”
Internal organizational excellence = “Brand inside”
B(I) > B(O)
“Get the strategy right, the rest will take care of itself.”
MP:
“Get the people , the culture and execution right—then the strategy will take care of itself.”
TP:
ExIn*: 1982-2002/Forbes.com
DJIA: $10,000 yields $85,000 EI: $10,000 yields $140,050
*Excellence Index/Basket of 32 publicly traded stocks
2007 Siberia
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 service of others.**
**Employees, Customers, Suppliers, Communities, Owners, Temporary partners
Cause Space
(worthy of commitment)
(room for/encouragement
for initiative)
Decency
(respect, humane)
Cause Space
(worthy of commitment)
(room for/encouragement for initiative-adventures)
Decency service
(respect, grace,
integrity, humane) (worthy of our clients‘ & extended family‘s continuing custom)
excellence
(period)
Cause Space Decency service
(worthy of commitment)
(room for/encouragement for initiative-adventures)
(respect, grace, integrity, humane)
(worthy of our clients‘ & extended
family‘s continuing custom)
excellence servant leadership
(period)
Cause Space Decency service excellence servant leadership
2007 Sydney
Organizations exist to serve. Period. Leaders live to serve. Period.
“Leaders
„SERVE‟
people. Period.”
In the spirit of Robert
Greenleaf, The Servant Leader
Servant Leadership/Robert Greenleaf
1. Do those served grow as persons? 2. Do they, while being served, become healthier wiser, freer, more autonomous, more likely themselves to become servants?
―The path to a
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 management has made customers its highest priority?‘‖
hostmanship culture
totally on 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.‖
Source: Jan Gunnarsson and Olle Blohm, Hostmanship: The Art of Making People Feel Welcome.
Instead of redoing bathrooms, dining rooms, and guest rooms, we gave employees new uniforms, bought flowers and fruit, and changed colors. Our focus was
renovation.‘
―We went through the hotel and made a ... ‗consideration
… 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.
“We are a „Life Success‟ Company.”
Dave Liniger, founder, RE/MAX
―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
My definition of a leader is someone who helps people succeed.‖
focuses on people.
—Carol Bartz, Yahoo!
―Managing winds up being the management of the allocation of resources against tasks. Leadership
“Business has to give people enriching, rewarding lives …
or it's simply not worth doing.”
—Richard Branson
“I have always believed that the purpose of the corporation is to be a blessing to the employees.”
—Boyd Clarke
“The role of the Director is to create a space where the actors and
become more than they‟ve ever been before, more than they‟ve dreamed of being.”
actresses can
—Robert Altman, Oscar acceptance speech
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/Mt Excellence
“free to do his or her
absolute best” … “allow its members to discover their greatness.”
The Dream Manager
—Matthew Kelly
―An organization can only become the-best-version-of-itself to the extent that the people who drive that organization are striving to become better-versions-of-themselves.‖ ―A company‘s purpose is to become the-best-version-of-itself. The question is:
What is an employee‘s purpose? Most would say, ‗to help the company achieve its purpose‘—but they would be wrong. That is certainly part of the employee‘s role, but an employee‘s primary purpose is to become the-bestversion-of-himself or –herself. … When a
company forgets that it exists to serve customers, it quickly goes out of business.
Our employees are our first customers, and our most important customers.‖
Words!
―Stretch‖ ―Encourage‖ ―Empower‖ vs. ―Dreams come true‖ ―Life Success Co.‖
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
Wegmans
Luiza Helena, Magazine Luiza*
*Wegmans
TP:
“How to throw $500,000 into the sea in one easy lesson!!”
< CAPEX > People!
Source: Container Store/increase average sale per shopper
#1. Strategic. Priority. Period.
―Development can help great
people be even better—
but if I had a dollar to spend, I‟d spend 70 cents getting the right person in the door.” —
Paul Russell, Director, Leadership &
Development, Google
―In short, hiring is
the most important aspect of business and yet
remains woefully misunderstood.‖
Source: Wall Street Journal, 10.29.08, review of Who: The A Method for Hiring, Geoff Smart and Randy Street
―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 up-and-comers clawed their way to all-conference and All-America teams.‖ —Bo Schembechler
(and John Bacon), ―Recruit for Character,‖
Bo‘s Lasting Lessons
―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
2/year = legacy.
―The
ONE Question‖: ―In the last year [3 years, current job],
name the …
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.‖
three people
… whose growth you‘ve
#1
cause of
employee Dis-satisfaction?
Employee retention & satisfaction:
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
Capital Asset I
**Selecting and training and mentoring one‘s pool of frontline managers can be a ―Core Competence‖ of surpassing strategic importance. **Put under a microscope every attribute of the cradle-tograve process of building the capability of our cadre of front-line managers.
Capital Asset II
I am sure you ―spend time‖ on this. My question: Is it an … …worthy of the impact it has on enterprise performance?
OBSESSION
53 = 53* **
*No ―bit players‖ **6B+ = 6B+
“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 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: Women Managers
Lawrence A. Pfaff & Assoc.
— 2 Years, 941 mgrs (672M, 269F); 360º feedback — Women: better in 20 of 20 categories; 15 of 20 with statistical significance, incl. decisiveness, planning, setting stds.) — ―Men are not rated significantly higher by any of the raters in any of the areas measured.‖ (LP)
―Forget China, India and the Internet: Economic Growth Is Driven by
Women.‖
Source: Headline, Economist
―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
boys in the school system.
For a number of observers, we have already entered the age of „womenomics,‟ the economy as thought out and practiced by a woman.” —Aude Zieseniss de Thuin, Women‘s
Forum for the Economy and Society
Part THREE
Skip the map
“Mapping your competitive position”
or …
The “Have you …” 50
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 … in the last three hours? 6. Have you thanked a frontline 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 cross-functional 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 frontline 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?
Have you in the last month taught a front-line training course?
37. 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?
the Heart of Business Strategy: 48 Things That Matter
We usually think of business strategy as some sort of aspirational market positioning statement. Doubtless that‘s part of it. But I believe that the number one ―strategic strength‖ is excellence in execution and systemic relationships (i.e., with everyone we come in contact with). Hence I offer the following 48 pieces of advice in creating a winning ―strategy‖ that is inherently sustainable.
―Thank you.‖ Minimum several times a day. Measure it. ―Thank you‖ to everyone even peripherally involved in some activity—especially those ―deep in the hierarchy.‖ Smile. Work on it. Apologize. Even if ―they‖ are ―mostly‖ to blame. Jump all over those who play the ―blame game.‖ Hire enthusiasm. Low enthusiasm. No hire. Any job. Hire optimists. Everywhere. (―Positive outlook on life,‖ not mindless optimism.) Hiring: Would you like to go to lunch with him-her. 100% of jobs.
Hire for good manners. Do not reject ―trouble makers‖—that is those who are uncomfortable with the status quo. Expose all would-be hires to something unexpected-weird. Observe their reaction. Overwhelm response to even the smallest screwups. Become a student of all you will meet with. Big time. Hang out with interesting new people. Measure it. Lunch with folks in other functions. Measure it. Listen. Hear. Become a serious student of listening-hearing. Work on everyone‘s listening skills. Practice.
Become a student of information extractioninterviewing. Become a student of presentation giving. Formal. Short and spontaneous. Incredible care in 1st line supervisor selection. World‘s best training for 1st line supervisors. Construct small leadership opportunities for junior people within days of starting on the job. Insane care in all promotion decisions. Promote ―people people‖ for all managerial jobs. Finance-logistics-R&D as much as, say, sales. Hire-promote for demonstrated curiosity. Check their past commitment to continuous learning.
Small ―d‖ diversity. Rich mixes for any and all teams. Hire women. Roughly 50% women on exec team. Exec team ―looks like‖ customer population, actual and desired. Focus on creating products for and selling to women. Focus on creating products for and selling to boomers-geezers. Work on first and last impressions. Walls display tomorrow‘s aspirations, not yesterday‘s accomplishments. Simplify systems. Constantly.
Insist that almost all material be covered by a 1-page summary. Absolutely no longer. Practice decency. Add ―We are thoughtful in all we do‖ to corporate values list. Number 1 force for customer loyalty, employee satisfaction. Make some form of employee growth (for all) a formal part of values set. Above customer satisfaction. Steal from RE/MAX: ―We are a life success company.‖ Flowers. Celebrate ―small wins.‖ Often. Perhaps a ―small win of the day.‖
Manage your calendar religiously: Does it accurately reflect your espoused priorities? Use a ―calendar friend‖ who‘s not very friendly to help you with this. Review your calendar: Work assiduously and mercilessly on your ―To don‘ts.‖—stuff that distracts. Bosses, especially near the top: Formally cultivate one advisor whose role is to tell you the truth. Commit to Excellence. Talk up Excellence. Put ―Excellence in all we do‖ in the values set. Measure everyone on demonstrated commitment to Excellence.
the recession 44
Forty-four “Secrets” and “clever Strategies” For dealing with the Recession of 2008-XXXX
I am constantly asked for “strategies/ for surviving the recession.” I try to appear wise and informed— and parade original, sophisticated thoughts. But if you want to know what‟s really going through my head, see the list that follows.
'secrets'
44 ―Secrets‖ and ―Clever Strategies‖ For Dealing with the Recession of 2007+
You come 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 screwup.
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 Superbowl 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.
Part FOUR
“The doctor interrupts after …*
*Source: Jerome Groopman, How Doctors Think
seconds
[An obsession with] Listening is ... the ultimate mark of Respect. Listening is ... the heart and soul of Engagement. Listening is ... the heart and soul of Kindness. Listening is ... the heart and soul of Thoughtfulness. Listening is ... the basis for true Collaboration. Listening is ... the basis for true Partnership. Listening is ... a Team Sport. Listening is ... a Developable Individual Skill.* (*Though women Listening Listening Listening Listening is is is is ... ... ... ... the basis for Community. the bedrock of Joint Ventures that work. the bedrock of Joint Ventures that last. the core of effective Cross-functional Communication* (*Which is in turn Attribute #1 of
organizational effectiveness.) are far better at it than men.)
[cont.]
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
... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ...
Listening is … the bedrock which underpins a Commitment to EXCELLENCE
from any other single activity.)
the engine of superior EXECUTION. the key to making the Sale. the key to Keeping the Customer‘s Business. 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
If
you agree with the above, shouldn‘t listening be ... a Core Value? If you agree with the above, shouldn‘t listening be ... perhaps Core Value #1?* (*―We are Effective Listeners—
we treat Listening EXCELLENCE as the Centerpiece of our Commitment to Respect and Engagement and Community and Growth.‖)
If you agree, shouldn‘t listening be If you agree, shouldn‘t listening be #1? If you agree, shouldn‘t listening be item‖ at every Meeting? If you agree, shouldn‘t listening be se? (Listening = Strategy.) If you agree, shouldn‘t listening be for in Hiring (for every job)?
... a Core Competence? ... Core Competence ... an explicit ―agenda ... our Strategy—per
... the #1 skill we look
If you agree, shouldn‘t listening be ... the #1 attribute we examine in our Evaluations? If you agree, shouldn‘t listening be ... the #1 skill we look for in Promotion decisions? If you agree, shouldn‘t listening be ... the #1 Training priority at every stage of everyone‘s career—from Day #1 to Day LAST? If you agree, what are you going to do about it ... in the next 30 MINUTES? If you agree, what are you going to do about it ... at your NEXT meeting? If you agree, what are you going to do about it ... by the end of the DAY? If you agree, what are you going to do about it ... in the next 30 DAYS? If you agree, what are you going to do about it ... in the next 12 MONTHS?
“You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.” —Dale Carnegie
―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
―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
*Listening is of the utmost … strategic importance! *Listening is a proper …
core value !
*Listening is … trainable
!
!
*Listening is a … profession
*Listening is a …
profession!
Listen = “Profession” = Study = practice = evaluation = Enterprise value
Enterprise value: "We
Listen = Profession = Study = practice = evaluation =
listen intently to and fully engage all with whom we work."
“if you don‟t listen, you don‟t sell anything.”
—Carolyn Marland
Questioning, the art [and ―profession‖] of.
Sales > Marketing
“Everybody lives by selling something.”
—Robert Louis Stevenson
―The
organization are …
four most important words in any
The four most important words in any organization
are …
“What do you think?”
Source: courtesy Dave Wheeler, posted at tompeters.com
Tomorrow: How many times will you ―ask the WDYT question‖?
[Count!]
[Practice
makes better!] [This is a
STRATEGIC skill!]
From Enemy/Reluctant User to Champion/Savior/Owner:
“one line of code!” Axiom
The
―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
―The deepest human need is the … need to be appreciated.‖
—William James
―Marion … glanced at the raised hands and enjoyed the interest in her work. She … gazed at her former postdoc, her rebellious child with her hand raised. ‗What do you need now?‘ she asked herself. Strange, she‘d never posed the question that way before. She‘d always considered what her postdoc demanded, what she did or did not deserve. What did she need? That was the puzzle, but as was so often the case, framing the question properly went a long way. What did she need? In that calm, clear, nearly joyous moment after her talk, the answer began to come to Marion. Ah, yes, of course, she thought with some surprise. And she called on Robin.‖
—Allegra Goodman, Intuition
(italics added)
Context: In Intuition, a stunning novel about the politics of science by Allegra Goodman, ―Marion‖ (see slide) is the head of department where some powerful research is being conducted. Among many other things, near the end of the book, correctly or not, one of the post-docs becomes a whistle blower—and creates a godawful mess. As I said, the allegations may or may not have been warranted, but in a flash (read the slide) the psychological problem which led to the post-doc‘s meltdown becomes clear, after years, to super-logical, demanding boss Marion. The play here is subtle. This may do nothing for you, but I carry the quote on the slide around with me. In my case, it is-was a bombshell upon 3rd or 4th reading, and its strength only grows—I‘ve probably read it, no kidding, 50 times now. Interpretation: Obviously (but not obviously to blunt Marion for years), the post-doc ―simply‖ needed recognition. And I think there is an enormous message here. A lot of bosses are Marions. And a lot of employees are kin to our post-doc. Of course, you may just think I‘m nuts about this one wee paragraph. Fair enough.
―Thank you‖ lingers on:
10
years
[Count ‟em!]
Tomorrow: How many times will you mange to blurt out, ―Thank you‖?
[Practice makes better!* *The engineer from
Manchester.]] [This is a STRATEGIC skill!]
*appreciation is of the utmost … strategic importance! *appreciation is a proper …
core value !
*appreciation is … trainable
!
!
*appreciation is a … profession
And the answer is ….
otis
Helen Keller. Mother Teresa.
―I long to accomplish a great and noble task, but it is my chief duty to accomplish humble tasks as though they were great and noble.‖ —Helen Keller
“We do no great things, only small things with great love.”
—Mother Teresa
#52
―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
pause
―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
Relationships
THERE ONCE WAS A TIME WHEN A
(of all varieties):
THREE-MINUTE PHONE CALL WOULD
HAVE AVOIDED SETTING OFF THE DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RUPTURE.
*effective “Repair”/Apology is of the utmost … strategic importance! *effective repair is a proper …
core value !
*effective repair is …
trainable !
*effective repair is a …
profession !
―One of the secrets of a long and fruitful life is to forgive everybody of everything every night right before going to bed.‖ —Bernard Baruch
#53
“We are thoughtful in all we do.”
Thoughtfulness is key to customer retention. Thoughtfulness is key to employee recruitment
and satisfaction. Thoughtfulness is key to brand perception. Thoughtfulness is key to your ability to look in the mirror —and tell your kids about your job.
―Thoughtfulness is free.‖
Thoughtfulness is key to speeding things up—
it reduces friction. Thoughtfulness is key to transparency and even cost containment—it abets rather than stifles truth-telling.
*Thoughtfulness is of the utmost … strategic importance! *thoughtfulness is a proper …
core value !
*Thoughtfulness is … trainable
! !
*Thoughtfulness is a … profession
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”
—Henry Clay
The Real World‘s ―Little‖ Rule Book
Ben/tea Norm/tea DDE/make friends WFBuckley/make friends-help friends Gust/Suck down Charlie/poker pal-BOF
Eddie VII/dance-flatter-mingle-learn the language Vlad/birthday party of outgroup guy‘s wife
CIO/finance network ERP installer/consult-―one line of code‖ GE Energy/make friends risk assessment GWB/check the invitation list GHWB/T-notes Hank/60 calls MarkM/5K-5M Delaware/show up
Oppy/snub Lewis Strauss
NM/smile -$4.3T/tin ear tp.com/Big 4-What do you think? Women/genes Banker/after church Total Bloody Mess/Can they pay back the loan?
#54
FLOWER POWER
#55
Five Or Less Words To The Wise
EXCELLENCE/Five Or Less Words To The Wise 4 most important words: ―What do you think?‖ (Dave Wheeler @ tompeters.com: ―Most important 4 words in an organization.‖) 4 most important words: ―How can I help?‖ (Boss as CHRO/ Chief Hurdle Removal Officer) 2 most important words: ―Thank you!‖ (Appreciation/ Recognition) 2 most important words: ―All yours.‖ (―Hands-off‖ delegation/ Respect/Trust) 3 most important words: ―I‘m going out.‖ (MBWA/Managing By Wandering Around/In touch!) 2 most important words: ―I‘m sorry.‖ (Power of unconditional apology = Stunning! Marshall Goldsmith: #1 exec issue) 5 most important words: ―Did you tell the customer?‖ (Overcommunicate) 2 most important words: ―She says …‖ (―She‖ is the customer!)
EXCELLENCE/Five Or Less Words To The Wise 2 most important words: ―Yes ma‘am.‖ (Women are more often than not the best managers.) 2 most important words: ―Try it!‖ (My only ―for sure‖ in 44 years: Herb Kelleher: ―We have a strategic plan, it‘s called doing things.‖/Bill Parcells: ―Blame no one. Expect nothing. Do something.‖) 3 most important words: ―Try it again!‖ (My only ―for sure‖ 44 years: MOST TRIES WINS.) 2 most important words: ―Good try!‖ (CELEBRATE ―good failures.‖ Richard Farson/book: Whoever Makes the Most Mistakes Wins. Samuel Beckett: ―Fail. Fail again. Fail better.‖) 3 most important words: ―At your service.‖ (Organizations exist to serve. Period. Leaders live to serve. Period.) 4 most important words: ―How are we doing?‖ (To customers, regularly.) 4 most important words: ―How was Mary‘s recital?‖ (Know your employees‘ kids.) 2 most important words: ―Let‘s party!‖ (Celebrate ―small wins‖ at the drop of a hat.)
EXCELLENCE/Five Or Less Words To The Wise 1 most important word: ―No.‖ (―To don‘ts‖ > ―To dos‖) 1 most important word: ―Yes.‖ (Hey, give it a shot/Anon. quote: ―The best answer is always, ‗What the hell.‘‖/Wayne Gretzky: ―You miss 100% of the shots you don‘t take.‖) 2 most important words: ―Lunch today?‖ (―Social stuff‖ = Secret to problem/opportunity #1:/XFX/ cross-functional Excellence.) 4 most important words: ―Thank Dick in accounting.‖ (Readily acknowledge help from other functions.) 2 most important words: ―After you.‖ (Courtesy rules.) 3 most important words: ―Thanks for coming.‖ (Civility. E.g., boss acknowledges employee coming to her/his office.) 2 most important words: ―Great smile!‖ (Note & acknowledge good attitude.) 1 most important word: ―Wow!‖ (The gold standard … for everything.) 1 most important word: ―EXCELLENT!‖ (The … ONLY … acceptable standard/aspiration.)
#56
problem #1. Opportunity #1.
X =XFX*
*Excellence = Cross-functional Excellence
Never waste a lunch!
????
% XF lunches*
*Measure! Monthly! Part of evaluation! [The PA‘s Club.]
Lunch > SAP/ Oracle
(Way) Underutilized Lever
Space! Space! Space! Space!
Geologists + Geophysicists + A little bit of love =
Oil
―Allied commands depend on mutual confidence [and this confidence] is gained, above all through the development of friendships.‖
—General D.D. Eisenhower, Armchair General* (05.08)
*―Perhaps his most outstanding ability [at West Point] was the ease with which he made friends and earned the trust of fellow cadets who came from widely varied backgrounds; it was a quality that would pay great dividends during his future coalition command
“Suck down for success!” * ** *** **** ****
*―He [Gust Avrakotos] had become something of a legend with these people who manned the underbelly of the Agency [CIA],‖ from Charlie
Wilson‘s War
**Getting to know ―the risk guys‖ [GE Power] ***―Spend less time with your customer!‖ **** *****The ATT systems sales exec
C(I) > C(E)
R.O.I.R.
Return On
Investment In Relationships
―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)
C(I) > C(E)
Lunch Kudos Learning/ Presence/Presentations Facetime C(E) Transparency Awards Co-locate/Geologists-Geophysicists Time!!!!!!!!!!!!!!!!!!!!!!!!!! Motherhood (―If don‘t take credit …) Staff C.Sat./Unicredit
The “XF-50”: 50 Ways to Enhance Cross-Functional Effectiveness and Deliver Speed, “Service Excellence” and “Value-added Customer „Solutions‟”
1. It‘s our organization to make work—or not. It‘s not ―them,‖ the outside world that‘s the problem. The enemy is us. Period. 2. Friction-free! Dump 90% of ―middle managers‖—most are advertent or inadvertent ―power freaks.‖ We are all—every one of us—in the Friction Removal Business, one moment at a time, now and forevermore. 3. No ―stovepipes‖! ―Stove-piping,‖ ―Silo-ing‖ is an Automatic Firing Offense. Period. No appeals. (Within the limits of civility, somewhat ―public‖ firings are not out of the question—that is, make one and all aware why the axe fell.) 4. Everything on the Web. This helps. A lot. (―Everything‖ = Big word.) 5. Open access. All available to all. Transparency, beyond a level that‘s ―sensible,‖ is a de facto imperative in a Burn-the-Silos strategy. 6. Project managers rule!! Project managers running XF (cross-functional) projects are the Elite of the organization, and seen as such and treated as such. (The likes of construction companies have practiced this more or less forever.) 7. ―Value-added Proposition‖ = Application of integrated resources. (From the entire supply-chain.) To deliver on our emergent business raison d'être, and compete with the likes of our Chinese and Indian brethren, we must co-operate with anybody and everybody ―24/7.‖ IBM, UPS and many, many others are selling far more than a product or service that works— the new ―it‖ is pure and simple a product of XF co-operation; ―the product is the co-operation‖ is not much of a stretch.
8. “XF work” is the direct work of leaders! 9. “Integrated solutions” = Our “Culture.” (Therefore: XF = Our culture.) 10. Partner with ―best-in-class‖ only. Their pursuit of Excellence helps us get beyond petty bickering. An all-star team has little time for anything other than delivering on the (big) Client promise. 11. All functions are created equal! All functions contribute equally! All = All. 12. All functions are ―PSFs,‖ Professional Service Firms. ―Professionalism‖ is the watchword—and true Professionalism rise above turf wars. You are your projects, your legacy is your projects—and the legacy will be skimpy indeed unless you pass, with flying colors, the ―works well with others‖ exam! 13. We are all in sales! We all (a-l-l) ―sell‖ those Integrated Client Solutions. Good salespeople don‘t blame others for screwups—the Clint doesn‘t care. Good salespeople are ―quarterbacks‖ who make the system work-deliver. 14. We all invest in ―wiring‖ the Client organization—we develop comprehensive relationships in every part (function, level) of the Client‘s organization. We pay special attention to the so-called “lower levels,” short on glamour, long on the ability to make things happen at the “coalface.” 15. We all ―live the Brand‖—which is Delivery of Matchless Integrated Solutions which transform the Client‘s organization. To ―live the brand‖ is to become a raving fan of XF cooperation.
16. We use the word “partner” until we want to barf! (Words matter! A lot!) 17. We use the word “team” until we want to barf. (Words matter! A lot!) 18. We use the word “us” until we want to barf. (Words matter! A lot!) 19. We obsessively seek Inclusion—and abhor exclusion. We want more people from more places (internal, external—the whole ―supply chain‖) aboard in order to maximize systemic benefits. 20. Buttons & Badges matter—we work relentlessly at team (XF team) identity and solidarity. (―Corny‖? Get over it.) 21. All (almost all) rewards are team rewards. 22. We keep base pay rather low—and give whopping bonuses for excellent team delivery of ―seriously cool‖ cross-functional Client benefits. 23. WE NEVER BLAME OTHER PARTS OF THE ORGANIZATION FOR SCREWUPS. 24. WE TAKE THE HEAT—THE WHOLE TEAM. (For anything and everything.) (Losing, like winning, is a team affair.) 25. “BLAMING” IS AN AUTOMATIC FIRING OFFENSE. 26. “Women rule.” Women are simply better at the XF communications stuff—less power obsessed, less hierarchically inclined, more group-team oriented.
27. Every member of our team is an honored contributor. ―XF project Excellence‖ is an ―all hands‖ affair. 28. We are our XF Teams! XF project teams are how we get things done. 29. ―Wow Projects‖ rule, large or small—Wow projects demand by definition XF Excellence. 30. We routinely attempt to unearth and then reward ―small gestures‖ of XF co-operation. 31. We invite Functional Bigwigs to our XF project team reviews. 32. We insist on Client team participation—from all functions of the Client organization. 33. An ―Open talent market‖ helps make the projects ―silo-free.‖ People want in on the project because of the opportunity to do something memorable—no one will tolerate delays based on traditional functional squabbling. 34. Flat! Flat = Flattened Silos. Flat = Excellence based on XF project outcomes, not power-hoarding within functional boundaries. 35. New ―C-level‖? We more or less need a “C-level” job titled Chief Bullshit Removal Officer. That is, some kind of formal watchdog whose role in life is to make cross-functionality work, and I.D. those who don‘t get with the program. 36. Huge (H-U-G-E) co-operation bonuses. Senior team members who conspicuously shine in the ―working together‖ bit are rewarded Big Time. (A million bucks in one case I know—and a non-cooperating very senior was sacked.)
37. Get physical!! “Co-location” is the most powerful “culture changer. Physical X-functional proximity is almost a guarantee (yup!) of remarkably improved co-operation—to aid this one needs flexible workspaces that can be mobilized for a team in a flash. 38. Ad hoc. To improve the new ―X-functional Culture,‖ 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.‖ 39. ―Deep dip.‖ Dive three levels down in the organization to fill a senior role with some one who has been pro-active on the XF dimension. 40. Formal evaluations. Everyone, starting with the receptionist, should have an important XF rating component in their evaluation. 41. Demand XF experience for, especially, senior jobs. The military requires all would-be generals and admirals to have served a full tour in a job whose only goals were cross-functional. Great idea! 42. Early project ―management‖ experience. Within days, literally, of coming aboard folks should be ―running‖ some bit of a project, working with folks from other functions—hence, ―all this‖ becomes as natural as breathing. 43. ―Get ‘em out with the customer.‖ Rarely does the accountant or bench scientist call one the customer. Reverse that. Give everyone more or less regular ―customer-facing experiences.‖ One learns quickly that the customer is not interested in our in-house turf battles!
44. Put ―it‖ on the–every agenda. XF ―issues to be resolved‖ should be on every agenda—morning project team review, weekly exec team meeting, etc. A ―next step‖ within 24 hours (4?) ought to be part of the resolution. 45. XF ―honest broker‖ or ombudsman. The ombudsman examines XF ―friction events‖ and acts as Conflict Resolution Counselor. (Perhaps a formal conflict resolution agreement?) 46. Lock it in! XF co-operation, central to any value-added mission, should be an explicit part of the ―Vision Statement.‖ 47. Promotions. Every promotion, no exceptions, should put XF Excellence in the top 5 (3?) evaluation criteria. 48. Pick partners based on their ―co-operation proclivity.‖ Everyone must be on board if ―this thing‖ is going to work; hence every vendor, among others, should be formally evaluated on their commitment to XF transparency—e.g., can we access anyone at any level in any function of their organization without bureaucratic barriers? 49. Fire vendors who don‘t ―get it‖—more than ―get it,‖ welcome ―it‖ with open arms.‖ 50. Jaw. Jaw. Jaw. Talk XF cooperation-value-added at every opportunity. Become a relentless bore! 51. Excellence! There is a state of XF Excellence per se. Talk about it. Pursue it. Aspire to nothing less.
#57
Attending to the “Last 98%”: The New “Management Science,” or “Hard” Is “Soft,” “Soft” Is “Hard”
S = ƒ ( ___ )
Success Is a Function of …
S = ƒ(#&DR; -2L, -3L, 4L; I&E)
Number and depth of relationships 2, 3, and 4 levels down, inside and outside the organization
S = ƒ(SD>SU)
Sucking down is more important than sucking up—the idea is to have the entire organization working for you.
S = ƒ(#non-FF, #non-FL)
Number of friends, number of lunches with people not in my function
S = ƒ(#FF)
Number of friends in the finance function-organization
S = ƒ(OF)
Oddball friends
S = ƒ(PDL)
Purposeful, deep listening—this is very hard
S = ƒ(#PK―W‖P) S = ƒ( #PK―L‖P)
# of people you know in the ―wrong‖ places # people you know in ―low‖ places
S = ƒ(#EODD3MC)
Number of end-of-the-day difficult (you‘d rather avoid) ―3-minutecalls‖ that soothe raw feelings, mend fences, etc
S = ƒ(UFP, UFK, OAPS)
Unsolicited favors performed, UFs involving co-workers‘ kids, overt acts politeness-solicitude toward co-workers‘ spouses, parents, etc.
S = ƒ(#TN)
Number of thank you notes sent
S = ƒ(A#C, PTS/―OLC‖, SAPA)
Absolute # of consultations, perception of being taken seriously (Responsible for ―one line of code‖), small acts of public appreciation
S = ƒ(SU)
Showing up (Woody Allen, Delaware‘s ridiculous influence on the U.S. Constitution)
S = ƒ(#&DR; -2L, -3L, 4L, I&E)
Success is a function of: Number and depth of relationships 2, 3, and 4 levels down inside and outside the organization
S = ƒ(SD>SU)
Number of friends not in my function
Sucking down is more important than sucking up—the idea is to have the [your] entire organization working for you.
S = ƒ(#non-FF, #non-FL) S = ƒ(#XFL/m)
Number of lunches with colleagues in other functions per month
S = ƒ(#FF)
Number of friends in the finance organization
Loser:
―He‘s such a suck-up!‖
―He‘s such a suck-down.‖
Winner:
S =ƒ(#PK―W‖P) S = ƒ(#PK―L‖P)
# of people you know in the ―wrong‖ places # people you know in ―low‖ places
???????
―Success doesn‘t depend on the number of people you know; it depends on the number of people you know in
or
high places!‖
―Success doesn‘t depend on the number of people you know; it depends on the number of people you know in
low
places!‖
It helps to know people in …
high
places!‖
It helps
more
to know people in …
low
places!‖
450/8
Lisbon/New Biz:
Weeks
to …
Minutes (!!!!)
footprint to provide effective financial solutions for its customers by providing a gateway to diverse markets.’”
—Charles Handy
“One bank is currently claiming to … „leverage its global
“I assume that it is just saying that it is there to „help its customers wherever they are‟.”
—Charles Handy
50%
90K in U.S.A. ICUs on any given day; 178 steps/day in ICU.
stays result
in ―serious complication‖
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
**Peter Pronovost, Johns Hopkins, 2001 **Checklist, line infections **1/3rd at least one error when he started **Nurses/permission to stop procedure if doc, other not following checklist **In 1 year, 10-day line-infection rate:
11% to …
0%
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
**Docs, nurses make own checklists on whatever process-procedure they choose **Within weeks, average stay in
ICU down
50%
Source: Atul Gawande, ―The Checklist‖ (New Yorker, 1210.07)
Beauty. Grace. Clarity. Simplicity.
First Steps: ―Beauty Contest‖! 1. Select one form/document: invoice, airbill, sick leave policy, customer returns claim form. 2. Rate the selected doc on a scale of 1 to 10 [1 = Bureaucratica Obscuranta/Sucks; 10 = Work of Art] on four dimensions:
3. Re-invent! 4. Repeat, with a new selection, every 15 working days.
Beauty. Grace. Clarity. Simplicity.
The Commerce Bank Model “every computer at commerce bank has a
special red key on it that
says, „found something stupid that we are doing that interferes with our ability to service the customer? Tell us about it, and if we agree, we will give you $50.‟”
Source: Fans! Not customers. How Commerce Bank
Created a Super-growth Business in a No-growth Industry, Vernon Hill & Bob Andelman
CGRO*
*CGRO/Chief Grunge Removal Officer (CDC/Chief of De-complexification) (CAO/Chief Anti-systems Officer) (CBSD/Chief BS Destruction Officer)
3M‟s Innovation Crisis: How Six Sigma Almost Smothered Its Idea Culture
Source: Title/Cover Story, BW, 0611.07 (“What‟s remarkable is how fast a culture can be torn apart,” 3M lead scientist; ―In an innovation economy, [6 Sigma] is no longer a cure all‖/BW)
―Rikyu was watching his son Sho-an as he swept and watered the garden path. ‗Not clean enough,‘ said Rikyu, when Sho-an had finished his task, and bade him try again. After a weary hour, the son turned to Rikyu: ‗Father, there is nothing more to be done. The steps have been washed for the third time, the stone planters and the trees are well sprinkled with water, moss and lichens are shining with a fresh verdure; not a twig, not a leaf have I left on the ground.‘ ‗Young fool,‘ chided the tea-master, ‗that is not the way a garden path should be swept.‘ Saying this, Rikyu stepped into the garden, shook a tree and scattered over the garden gold and crimson leaves, scraps of the brocade of autumn! What Rikyu demanded was not cleanliness alone, but the beautiful and the natural also.‖ —Kakuzo Okakura, The Book of Tea
“What Rikyu demanded was not cleanliness alone, but the beautiful and the natural also.”
—Kakuzo Okakura, The Book of Tea
Part FIVE
ry it. Try it. Try it ry it. Try it. Screw i p. Try it. Try it. Try Try it. Try it. Try i ry it. Screw it up. it ry it. Try it. try it
What makes God laugh?
People making plans!
"Life is what happens while you're busy making other plans.” —John Lennon
“We have a „strategic plan.‟ It‟s called doing things.”
— Herb Kelleher
A man approached JP Morgan, held up an envelope, and said, ―Sir, in my hand I hold a guaranteed formula for success, which I will gladly sell you for $25,000.‖ ―Sir,‖ JP Morgan replied, ―I do not know what is in the envelope, however if you show me, and I like it, I give you my word as a gentleman that I will pay you what you ask.‖ The man agreed to the terms, and handed over the envelope. JP Morgan opened it, and extracted a single sheet of paper. He gave it one look, a mere glance, then handed the piece of paper back to the gent.
And paid him the agreed upon $25,000.
1. Every morning, write
a list of the things that need to be done that day.
2.
Do them.
Source: Hugh MacLeod/tompeters.com/NPR
“This is so simple it sounds stupid, but it is amazing
how few oil people really understand that
you only find oil if you drill wells.
when you‟re drawing maps and studying logs, but you have to drill.”
You may think you‟re finding it
Source: The Hunters, by John Masters, Canadian O & G wildcatter
―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
By the time our rivals are ready with wires and screws, we are on version
#5.
#10. It gets back to planning
versus acting: We act from day one; others plan how to plan— for months.” —Bloomberg by Bloomberg
“Experiment fearlessly”
Source: BusinessWeek, Type A Organization Strategies/ ―How to Hit a Moving Target‖—Tactic #1
Success = Relentless bumbling
"I think it is very important for you to do two things: act on your temporary conviction as if it was a real conviction; and when you realize that you are wrong, correct course very quickly.‖ —Andy Grove
“We ground up more pig brains!”
READY. FIRE!
―We are in a brawl with no rules.‖
Paul Allaire/Xerox: TP:
―There‘s
[literally]
only one
Screw Around Vigorously!
possible answer …
BLAME NOBODY. EXPECT NOTHING. DO SOMETHING.
Source: Locker room sign posted by football coach Bill Parcells
#61
Culture of Prototyping
―Effective prototyping may
innovative organization can hope to have.‖ —Michael Schrage
the most valuable core competence an
be
Think about It!?
Innovation = Reaction to the Prototype
Source: Michael Schrage
“You can‟t be a serious innovator unless and until you are ready, willing and able to seriously play. „Serious play‟ is not an oxymoron; it is the essence of innovation.”
—Michael Schrage, Serious Play
“Learn not to be careful.”
—Photographer Diane Arbus to her students (Careful = The sidelines, from Harriet Rubin in The Princessa)
#62
“Fail . Forward. Fast.”
High Tech CEO, Pennsylvania
“Fail . Fail again. Fail better.”
—Samuel Beckett
Sam‟s Secret #1!
Read This!
Whoever Makes the Most Mistakes Wins: The Paradox of Innovation
Richard Farson & Ralph Keyes:
―In business, you reward people for taking risks. When it doesn‘t work out you promote them-because they were willing to try new things. If people tell me they skied all day and never fell down, I tell them to try a different mountain.‖
—Michael Bloomberg (BW/0625.07)
“If people tell me they skied all day and never fell down, I tell them to try a different mountain.”
—Michael Bloomberg (BW/0625.07)
―It is not enough to ‗tolerate‘ failure— you must failure.‖
‗celebrate‘
Most Mistakes Wins)
—Richard Farson (Whoever Makes the
“Reward
excellent failures.
Punish mediocre
successes.‖
Phil Daniels, Sydney exec
We learn from our failures. Period.* Failure to acknowledge failure is a fatal disease. Treating failure like a disease is a fatal disease.
*Doctors, soldiers, pilots, musicians, etc.
“The secret of fast progress is inefficiency, fast and furious and numerous failures.”
—Kevin Kelly
―Natural selection is death. ...
Without huge amounts of death, organisms do not change over time. ... Death
is the mother of structure. ... It took four billion years of death ... to invent the human mind ...‖ — The Cobra Event
“The Silicon Valley of today is built less atop the spires of earlier triumphs than upon the rubble of earlier debacles.”—Newsweek/ Paul Saffo
#63
1/4,000
“You miss
100% of
the shots you never take.”
—Wayne Gretzky
#64
“Human creativity is the ultimate economic resource.”
The Rise of the Creative Class
—Richard Florida,
“It is nothing short of a miracle that modern methods of instruction have not yet entirely strangled the holy curiosity of inquiry.”
—Albert Einstein
“The key question isn‟t „What fosters creativity?‟ But it is why in God‟s name isn‟t everyone creative? Where was the human potential lost? How was it crippled? I think therefore a good question might be not why do people create? But why do people not create or innovate? We have got to abandon that sense of amazement in the face of creativity, as if it were a miracle if anybody created anything.”
—Abe Maslow
“Every child is born an artist. The trick is to remain an artist.” —Picasso
―No man ever became great except through many and great mistakes.‖
—William Gladstone
―I have missed more than 9,000 shots in my career. I have lost almost 300 games. On 26 occasions I have been entrusted to take the game winning shot—and missed. And I have failed over and over and over again in my life. And that is why I succeed.‖ —Michael Jordan
Muhammad Yunus:
―All human beings
were in the caves we were all selfemployed . . . finding our food, feeding ourselves. That‘s where human history began . . . As civilization came we suppressed it. We became labor because they stamped us, ‗You are labor.‘ We forgot that we are entrepreneurs.‖
Source: Muhammad Yunus/The News Hour—PBS/1122.2006
are entrepreneurs. When we
#65
The Limits of “Systems Thinking”:
Surprise, Transformation & Excellence Through Spontaneous Discovery
The Limits of ―Systems Thinking‖: Surprise, Transformation & Excellence Through Spontaneous Discovery (1 of 2)
This summer was the summer of brush clearing. And, it turned out, much more. It started as simple exercise. After a day or two, scratches from head to toe, and enjoyment, I set myself a goal of clearing a little space to get a better view of one of the farm ponds. That revealed something else … to my surprise. At a casual dinner, I sat next to a landscaper, and we got to talking about our farm and my skills with clipper, saw, etc. In particular, she suggested that I do some clearing around a few of our big boulders. Intrigued, I set about clearing, on our main trail, around a couple of said boulders. I was again amazed at the result. That in turn led to attacking some dense brush and brambles around some barely visible rocks that had always intrigued me—which led to ―finding,‖ in effect, a great place for a more or less ―Zen garden,‖ as we‘ve taken to calling it. Which led to … more and more. And more. (Especially a rock wall, a hundred or so yards long, that is a massive wonder— next year I‘ll move up the hill behind it—I can already begin to imagine what I‘ll discover, though my hunch will be mostly ―wrong,‖ and end up leading me somewhere else.)
The Limits of ―Systems Thinking‖: Surprise, Transformation & Excellence Through Spontaneous Discovery (2 of 2)
To make a long story short: I now have a new hobby, and maybe, ye gads, my life‘s work for years to come. This winter I‘ll do a little, but I also plan to read up on outdoor spaces, Zen gardens, etc; visit some rock gardens—spaces close by or amidst my travels; and, indeed, concoct a more or less plan (rough sketches) for next spring‘s activities—though I‘m sure that what I do will move forward mostly by what I discover as I move forward. (what discovers itself may actually be a better way to put it—there‘s a ―hidden hand‖ here.) As I‘m beginning to see it, this is at least a 10-year project—maybe even a multi-generation project. I proceeded by trial and error and instinct, and each experiment led to/suggested another experiment (or 2 or 10) and to a greater understanding of potential—the ―plan,‖ though there was none, made itself. And it was far, far better (more ambitious, more interesting, more satisfying) than I would have imagined. In fact, the result to date bears little or no relationship to what I was thinking about at the start—a trivial self-designed chore may become the engine of my next decade; the ―brushcutting project‖ is now leading Susan and I to view our entire property, and what it might represent, in a new light. I was able to do much more than I‘d dreamed—overall, and project by project. ―Systems thinking‖? It would have killed the whole thing. Is ―everything connected to every thin else‖? Well, duh. But I had no idea how everything was connected to everything else until I began (thank you, Michael Schrage) ―serious play.‖
I proceeded by trial and error and instinct, and each experiment led to/suggested another experiment (or 2 or 10) and to a greater understanding of potential—the ―plan,‖ though there was none, made itself. And it was far, far better (more ambitious, more interesting, more satisfying) than I would have imagined. In fact, the result to date bears little or no relationship to what I was thinking about at the start—a trivial self-designed chore may become the engine of my next decade; the ―brushcutting project‖ is now leading Susan and I to view our entire property, and what it might becomerepresent, in a new light.
Note (more of the same): Last year I got a pacemaker for Christmas (13 December, actually); the #1 no-no is using a chain saw. (The magnetic field is fearsome.) Taking that warning a step farther, I decided to do this project entirely with hand tools. Of course that means more exercise—a good thing. But the ―great wonder,‖ again unexpected, is that the resultant slowness and quiet is the de facto engine of my entire spontaneous discovery process. Note: Some of you will have discovered my implicit debt to the economist-of-freedom, F.A. Hayek. His stunningly clear view of market capitalism as a ―spontaneous discovery process‖ is my intellectual bedrock, my ―context‖ for three decades in Silicon Valley, and now even for my recreational pursuits (which are, as noted, becoming so much more than that).
―How do I know what I think until I see what I say.‖
—C.K. Chesterton
―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 ―This is so simple it sounds stupid, but it is amazing how few oil people really understand that you only find oil if you drill wells. You may think you‘re finding it when you‘re drawing maps and studying logs, but you have to drill.‖ —The Hunters, by
John Masters, Canadian Oil & Gas wildcatter
―Experiment fearlessly‖
—BusinessWeek, in a Special Report, on the premier innovation strategy of the best innovators
―The secret of fast progress is inefficiency, fast and furious and numerous failures.‖ —Kevin Kelly, founding editor, Wired
#66
―SkunkWorks‖/ ―ParallelUniverse‖
―the
solution‖
Source: Scott Bedbury (Others: 3M, Google, Shell, NAVFAC)
Build a ―School on top of a school‖/ContinuingExec Ed (The Parallel
Universe Strategy)
Forward, march:
The “Sri Lanka Stratagem”
#67
Where to look for ―Playmates‖:
F.F.F.F.
(Find a Fellow Freak Faraway)
Playmate!* Playpen! Prototype!
*Can be Client, supplier … as well as Insider
Demos! Heroes! Stories!
―A key – perhaps the key – to leadership is the
effective communication of a story.‖
Leading Minds: An Anatomy of Leadership
—Howard Gardner,
“Storytelling is the core of culture.”
—Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell
Best story wins!
―Never doubt that a small group of committed people can change the world. Indeed it is the only thing that ever has.‖
—Margaret Mead
#68
Find ‟em!
“Somewhere in your organization, groups of people are already doing things differently and better. To create lasting change, find these areas of positive deviance and fan the flames.”
—Richard Pascale & Jerry Sternin, ―Your Company‘s Secret Change Agents,‖ HBR
“Some people look for
things that went wrong and try to fix them. I look for things that went right, and try to build off them.”
—Bob Stone (Mr ReGo)
―Never doubt that a small group of committed people can change the world. Indeed it is the only thing that ever has.‖
—Margaret Mead
#69
We are the company we keep
―You will become like the five people you associate with the most—this can be either a blessing or a curse.‖
—Billy Cox
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
―[CEO A.G.] Lafley has shifted P&G‘s focus on inventing all its own products to developing
example, Mr. Clean Magic Eraser, based on a product found in an Osaka market.‖ —Fortune
others‟ inventions at least half the time.
One successful
The ―We are what we eat‖ axiom: At its core, every (!!!) relationship-partnership decision (employee, vendor, customer, etc) is a strategic decision about:
―Innovate, ‗Yes‘ or ‗No‘ ‖
Repeat: WE ARE WHO
WE HANG OUT WITH. (There's an incipient scorecard on this ... EVERY DAY.)
The ―We are what we eat‖
Axiom II:
“Hang out with „cool‟ and thou shalT become more cool. Hang out with „dull‟ and thou shalT become more dull. Period.”
“Don‟t benchmark, futuremark!”
Impetus: ―The future is already here; it‘s just not evenly distributed‖ —William Gibson
“To grow, companies need to break out of a vicious cycle of competitive benchmarking and imitation.”
—W. Chan Kim & Renée
Stop Copying a Rival,‖ Financial Times
Mauborgne, ―Think for Yourself —
“Companies have defined so much „best practice‟ that they are now more or less identical.”
—Jesper Kunde, Unique Now ... or Never
“Future-defining customers may account for only 2% to 3% of your total,
CUSTOMERS:
but they represent a crucial window on the future.”
Adrian Slywotzky, Mercer Consultants
“How do dominant companies lose their position? Two-
thirds of the time, they pick the wrong competitor to worry about.”
—Don Listwin, CEO,
Openwave Systems/WSJ
―Who‘s the most interesting person you‘ve met in the last 90 days? How do I get in touch with them?‖
—Fred Smith
―Freak Fridays‖
—once a
month invite somebody interesting, in any field, to have lunch with your gang
―Normal‖ =
“o for 800”
"The reasonable man adapts himself to the world. The unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends upon the unreasonable man.” —GB Shaw,
Man and Superman: The Revolutionists' Handbook.
“The
Bottleneck …
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:
“The
At the top!”
— Gary Hamel/Harvard Business Review
―d‖iversity
―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.”
the Power of Diversity Creates Better Groups, Firms, Schools, and Societies Diversity
—Scott Page, The Difference: How
Can you pass the …
―Squint test‖?
Vanity Fair:
―What is your most marked characteristic?‖
Mike Bloomberg:
―Curiosity.‖
“Do one thing
every day that scares you.”
—Eleanor Roosevelt
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!
―The Billion-man Research Team: Companies offering work to online communities are reaping the benefits of ‗crowdsourcing.‘‖
—Headline, FT, 0110.07
Rob McEwen/CEO/ Goldcorp Inc./ Red Lake
Source:
gold
Wikinomics: How Mass Collaboration Changes Everything, Don Tapscott & Anthony Williams
All You Need to Know About ―Sources of Innovation‖ …
All You Need to Know About ―Sources of Innovation‖:
Angry people!
status quo]
[angry with the
F(Anger/Passion) >>>> f(Pushback from Threatened Fat-cats & Bureau-crats)
Iron Innovation Equality Law:
The quality and quantity and imaginativeness of innovation shall be the same in all functions —e.g., in HR and
purchasing as much as in marketing or product development.*
*This is …
Strategic!
of your Top 5 Strategic Initiatives/Key Projects score 8 or higher [out of 10] on a ―Weird‖/ ―Profound‖/ ―Wow‖/―Game- changer‖ Scale?
Innovation Index: How many
Inno16
The INNO16: Innovation‘s ―Sixteen Imperatives‖
(1) Try it.
(―1/40‖: ―Whoever tries the most stuff wins.‖)
(―R.F.A.‖/Ready. Fire. Aim.)
(2) Celebrate failure.
―Whoever makes the most mistakes wins.‖ ―Fail. Fail again. Fail better.‖ ―Reward excellent failures. Punish mediocre successes.‖
(3) Decentralize. (Organic growth bias.) (4) Parallel Universe.
1% ―play money‖ Internal VC fund ―Skunkworks‖
(5) ―We are what we eat‖: We are who we spend time with.‖ (6) ―d‖iversity. (Every dimension.) (7) Co-invent with (all) outsiders. (Exploit electronic
communities.)
The INNO16: Innovation‘s ―Sixteen Imperatives‖ (Cont.)
(8) ―Strategic‖ Listening = Core competence. (9) Hire and promote 100% innovators. (10) XFX/Cross-functional Excellence!! (#1?) (11) Chief Complexity/Systems Destruction Officer. (12) R&D Equality.
All functions equal. (VA centerpiece./All staff VA-meisters.) Innovator‘s characteristic = Angry. CEO=Innovation ―bias.‖ (―You must be …‖/Gandhi)
(13) Top quartile R&D spending (So, too, our
(14) All projects
standard.‖)
partners.)
(Must have something new.) (―WOW
(15) Fun! (Enjoy breaking the rules.) (16) All businesses!!
De-central-iza-tion!
The True Logic* of Decentralization:
6 divisions = 6 “tries”
6 divisions = 6 DIFFERENT leaders = 6 INDEPENDENT “tries” = Max probability of “win”
6 divisions = 6 very DIFFERENT leaders = 6 very INDEPENDENT “tries” = Max probability of “far out”/”3-sigma” “win”
*―Driver‖: Law of Large #s
―Best practice‖ =
ZERO Standard
Deviation
“„Decentralization‟ is not a piece of paper. It‟s not me. It‟s either in your heart, or not.”
—Brian Joffe/BIDvest
Enemy
#1
I.C.D.
Note 2: Jim Burke‘s 1-word vocabulary: ―No.‖
Inherent/Inevitable/ Immutable Centralist Drift
Note 1:
“If if feels painful and scary—that‟s real delegation”
—Caspian Woods, small biz owner
“Ninety percent of what we call „management‟ consists of making it difficult for people to get things done.”
– Peter Drucker
Can‘t Live Without ‘em, Can‘t live With ‘em
Office A, Executive Row:
C.I.O.
C.S.D.O./ Chief Systems Destruction Officer
Office B (Across the hall):
(007 License)
*
*Chief of Anti-matter; Deputy Chief, Grunge Removal Section; Chief, Crap Accretion Police; Chief, Office of Bullshit Detection; K.I.S.S. Kops
volcanic struggle!
“Centralization” vs. “Decentralization” = Everything
Institute of Public Administration, last question … Centralization vs Decentralization = EVERYTHING (Business, government, child-rearing) Jefferson vs Hamilton (D.C. vs ―states rights‖) Nelson, Grant: simple-clear-brief orders, then lots of leeway Ike (and CEO Koppers): plan like hell and burn the plan (literally) Ceaselessly talk through the values, then enormous space within Bossidy: 2-page strategy (pre-Welch, strategy doc was budget doc) Katrina: USCG (―history of trusting their captains‖) vs US Navy Rommel on Americans in North Africa No autonomy, no resilience (Yunus: ―We‘re all entrepreneurs‖) CIO; across the hall anti-CIO (Mr Build, Mr Destroy) Drucker: ―Ninety percent …‖ ICD/Inherent Centralist Drift Gary Hamel and ―sell by‖ ―Anthropological analysis,‖ McKinsey Degree of staff diversification is also Cent. vs De-cent issue (homogeneity grows over time) Jim Burke: ―No.‖ (Watson: ―never do a System 360 today‖) Norberto Odebrecht and 2nd Law Thermodynamics (Foster‘s data) Sloan: Dynamic approach, never get it right TP: dynamic approach, never get it right, lean ―big time‖ toward decentralization, open warfare on ―necessary‖ systems
Ex-ecu-tion!
“In real life, strategy is actually very straightforward. Pick a general direction and implement like hell”
—Jack Welch
“Execution is
the job of the business leader.‖
—Larry Bossidy & Ram Charan/ Execution: The Discipline of Getting Things Done
“Execution is a
systematic process
—Larry Bossidy & Ram Charan/ Execution:
of rigorously
discussing hows and whats, tenaciously following through, and ensuring accountability.”
The Discipline of Getting Things Done
(1) sum of Projects = Goal (“Vision”)
(2) sum of Milestones = project (3) rapid Review + Truth-telling = accountability
“Costco figured out the big, simple things and executed with total fanaticism.”
—Charles Munger, Berkshire Hathaway
“almost inhuman disinterestedness in … strategy”
—Josiah Bunting on
U.S. Grant (from Ulysses S. Grant)
U. S. Grant *No interest in grand strategy. *Do the thing until it is done. *Do not over complicate. *Do the next thing. *Pleasure in perseverance per se. *Not ask for help or advice. *Not complain of difficulties or ask for more time or resources McClellan: delay; plead for more forces Grant: ―When do I start? What I want is to advance.‖
Source: Josiah Bunting, Ulysses S. Grant
Excellence in Execution = Deepest “Blue Ocean”
Ac-counta-bil-ity!
“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)
30% MH: 80%
CF:
(no salesfolk)
(salesfolk)
6:15A.M.
DECENTRALIZATION. EXECUTION. ACCOUTABILITY. 6:15A.M.
Part SIX
“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 …
“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:
Evolution, Extinction and Economics
—Paul Ormerod, Why Most Things Fail:
“Mr. Foster and his McKinsey colleagues collected detailed performance data stretching
back
40 years for 1,000
U.S. companies.
They found that
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
―Forbes100‖ from 1917 to 1987
members of the Class of ‘17 were alive in ‘87; 18 in ‘87 F100; 18 F100 ―survivors‖ significantly underperformed the market;
: 39
just
2 (2%), GE & Kodak,
outperformed the market from 1917 to 1987.
S&P 500 from 1957 to 1997:
‘97;
12 (2.4%) of 500 outperformed the market from 1957 to 1997.
74 members of the Class of ‘57 were alive in
Why Companies That Are Built to Last Underperform the Market
Source: Dick Foster & Sarah Kaplan, Creative Destruction:
―It‘s just a fact:
Survivors underperform.”
—Dick Foster
Dick Kovacevich:
You don‟t get better by being bigger. You
―The difficulties … arise from the inherent conflict between the need to control existing operations and the need to create the kind of environment that will permit new ideas to flourish—and old ones to die a
believe that most corporations will find it impossible to match or outperform the market without abandoning the assumption of continuity. … The current apocalypse—the
transition from a state of continuity to state of discontinuity—has the same suddenness [as the trauma that beset civilization in 1000 A.D.]‖
Richard Foster & Sarah Kaplan, ―Creative Destruction‖ (The McKinsey Quarterly)
timely death. … We
“ „Good management‟ was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms
listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.”
—Clayton Christensen, The Innovator‘s Dilemma
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
“The more successful a company, the flatter its forgetting curve.”
— Gary Hamel and C.K. Prahalad
―A pattern emphasized in the case studies in this book is the degree to which powerful competitors not
further their positions in older products. This results in a surge of productivity and performance that may take the old technology to unheard of heights. But in most cases this is a sign of impending death.‖
—Jim Utterback, Mastering the Dynamics of Innovation
only resist innovative threats, but actually resist all efforts to understand them, preferring to
―It is generally much easier to
organization
substantially.‖
kill an
than change it
—Kevin Kelly, Out of Control
―Data drawn from the real world attest to a fact that is beyond our control:
Everything in existence tends to deteriorate.‖
—Norberto Odebrecht, Education Through Work
―When asked to name just one big merger that had lived up to expectations, Leon Cooperman, former cochairman of Goldman Sachs‘ Investment Policy Committee,
answered:
I‟m sure there are success stories out there, but at this moment I draw a blank.”
—Mark Sirower, The Synergy Trap
“Not a single company that qualified as having made a sustained transformation ignited its leap with a big acquisition or merger. Moreover,
comparison companies—those that failed to make a leap or, if they did, failed to sustain it—often tried to make themselves great with a big acquisition or merger. They failed to grasp the simple truth that while you can buy your way to growth, you cannot buy your way to greatness.” —Jim Collins/Time/2004
―MERGERS: Why Most Big Deals Don‘t Pay Off. A BusinessWeek analysis
shows that 61% of buyers destroyed shareholder wealth.‖ —BusinessWeek
―Mergers and acquisitions get the headlines, but studies
show they often end up destroying shareholder value instead of creating it. That‘s one reason why organic growth is so prized by corporations and investors. In fact, if you compare the stock performance of a new index of 23 companies that are masters of organic growth to the S&P500, the Organic Growth Index beat the S&P500 handily, 31% vs. 22% over the year ending January 2004. And looking further back at a five-year period ending in 2002, the OGI walloped the S&P500, 25% vs. 3%.”
—Fortune.com/06.03.2004 (The OGI includes Wal*Mart, Sysco, Harley-Davidson, Bed, Bath & Beyond, NVR)
“Almost every personal friend I have in the world works on Wall Street. You can buy and sell the same company six times and everybody makes
but I‟m not sure we‟re actually innovating. … Our challenge is to
money, take nanotechnology into the future, to do personalized medicine …” —Jeff Immelt/2005
―Don‘t ever use that word ‗synergy.‘ It‘s a The only thing that works is natural law. Given enough time, natural relationships will develop between our businesses.‖ —Barry Diller, responding to a
hideous
word.
student question, address at the Harvard Business School (from Marshall Goldsmith, What Got You Here Won‘t Get You There)
Did one of ‘em ever turn to the other and say: “Wow I
wonder what unimaginable new tools, otherwise not possible, will be quickly brought forth for our customers because of this deal?”
Did one of ‘em ever turn to the other and say: “Wow, I
wonder what unimaginable new tools, otherwise not possible, will be brought forth for my daughter Alice, age 17, because of this deal?”
―Not long ago, I heard one studio chief utter the unthinkable: „What would
happen if I made a movie I actually looked forward to seeing?‟ ‖
—Peter Bart, Editor in Chief, Variety; former Paramount exec, ―Hollywood‘s Model Doesn‘t Produce Art, or Much Profit‖ (NYT/0721.06)
There‘s “A” and then there‘s “A.”
Winning the Merger Game
Is
Possible
--Lots of deals --Little deals --Friendly deals
--Stay close to core competence --Strategy is easy to understand
Source: ―The Mega-merger Mouse Trap‖/Wall Street Journal/02.17.2004 / David Harding & Sam Rovit, Bain & Co./re Comcast-Disney
No: People. No: Product. No: Value to customer. Yes: Dilution, other control and shareowning issues. Yes: Scale-as-power. Yes: Market share.
Yes: People. Yes: Product. Yes: Value to customer. No: Dilution, other control and shareowning issues. No: Scale-as-power. No: Market share.
―On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main constituencies are your employees, your customers and your products.‖ —Jack Welch, FT, 0313.09, page 1
―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: Jack Bogle, Enough! (chapter titles)
“To me business isn‟t about wearing suits or pleasing stockholders. It‟s about being true to yourself, your ideas and focusing on the essentials.” —Richard Branson
#4 Japan #3 USA #2 China
#1 Germany
Reason!!!
Mittelstand
Jim’s Group
Jim Penman/ Jim‘s Group
Jim‘s Dog Wash
Jim‘s Driving School Jim‘s Fencing Jim‘s Floors Jim‘s Painting Jim‘s Paving Jim‘s Pergolas [gazebos] Jim‘s Pool Care Jim‘s Pressure Cleaning Jim‘s Roofing Jim‘s Security Doors Jim‘s Trees Jim‘s Window Cleaning Jim‘s Windscreens
Jim‘s Mowing Canada Jim‘s Mowing UK Jim‘s Antennas Jim‘s Bookkeeping Jim‘s Building Maintenance Jim‘s Carpet Cleaning Jim‘s Car Cleaning Jim‘s Computer Services
What Will They Franchise Next? The Story of Jim‘s Group
Note: Download, free, Jim Penman‘s book:
Jim‟s Group: Jim Penman.*
1984: Jim‘s Mowing. 2006: Jim‘s Group. 2,600 franchisees (Australia, NZ, UK). Cleaning. Dog washing. Handyman. Fencing. Paving. Pool care. Etc. ―People first.‖ Private. Small staff. Franchisees can leave at will. 0-1 complaint per year is norm; cut bad ones quickly.
*Ph.D. cross-cultural anthropology; mowing on the side Source: MT/Management Today (Australia), Jan-Feb 2006
Basement Systems Inc.
*Basement Systems Inc. *Larry Janesky *Dry Basement Science
(115,000!)
*1990: $0; 2003: $13M;
2007:
$62,000,000
Joel Resnick/Flemington NJ
(referenced in Fame Junkies)
The Red Carpet Store
etc. PRSX/ Paragon Railcar Salvage*
*Salvaged railcars into bridges, etc.
*Lived in same town all adult life
*First generation that‘s wealthy/ no parental support *―Don‘t look like millionaires, don‘t dress like millionaires, don‘t eat like millionaires, don‘t act like millionaires‖
*―Many of the types of businesses [they] are in could be classified as ‗dull-normal.‘ [They] are welding contractors, auctioneers, scrap-metal dealers, lessors of portable toilets, dry cleaners, re-builders of diesel engines, paving contractors …‖
Source: The Millionaire Next Door, Thomas Stanley & William Danko
Small Giants: Companies That Choose To Be Great Instead Of Big
—by Bo Burlingham
Small Giants/Bo Burlingham
"First, I could see that, unlike most entrepreneurs, their founders and leaders had recognized the full range of choices they had about the type of company they would create." "Second, the leaders had overcome the enormous pressures on successful companies to take paths they had not chosen and did not necessarily want to follow." "Third, 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.'" "Fourth, they cultivated exceptionally intimate relationships with customers and suppliers, based on personal contact, one-on-one interaction, and mutual commitment to delivering on promises."
Small Giants/Bo Burlingham
"Fifth, the companies also had what struck me as unusually intimate workplaces." "Sixth, I was impressed by the variety of corporate structures and modes of governance that these companies had come up with." "Finally, 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."
Retail Superstars: Inside the 25 Best Independent Stores in America
—by George Whalin
Jungle Jim‘s International Market/―shoppertainment‖ Abt Electronics Zabar‘s Bronner‘s Christmas Wonderland Ron Jon Surf Shop. Junkman‘s Daughter Smoky Mountain Knife Works Hartville Hardware
Source: Retail Superstars: Inside the 25 Best Independent Stores in America, George Whalin
WallopWalmart16*
*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 business and lukewarm customers.)
on! (Instead steal niche
*―Dramatically Different‖
*Emotional bond with Clients, ON EMOTION/CONNECTION!!)
(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.)
Vendors. (BEAT THE BIGGIES
“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 NeimanMarcus 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 to drive
The thing that all these companies have in common is that they have nothing in common.
looking in the rearview mirror.
They are outliers. 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
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 out of it!) *An
star! (―Sell‖ local-ness per se. Sell the hell
incredible experience, from the first to last moment—and then in the follow-up! (―These guys
are cool! They ‗get‘ me! They love me!‖) *DESIGN DRIVEN! (―Design‖ is a premier weapon-inpursuit-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-regionalniche ―lovemark.‖) *Focus *
Excellence!
on women-as-clients. (Most don‘t. How stupid.)
(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!)
The Small*Mart Revolution: How Local Businesses Are Beating Local Competition
—Michael Shuman
odds are best in tightly drawn markets, not big, sprawling ones‖
—Title/ Bruce Greenwald & Judd Kahn/HBR09.05
“All Strategy Is Local: True competitive advantages are harder to find and maintain than people realize. The
Focus:
Muhammad Yunus:
―All human beings
were in the caves we were all selfemployed . . . finding our food, feeding ourselves. That‘s where human history began . . . As civilization came we suppressed it. We became labor because they stamped us, ‗You are labor.‘ We forgot that we are entrepreneurs.‖
Source: Muhammad Yunus/The News Hour—PBS/1122.2006
are entrepreneurs. When we
Conscious measurement
of your Top 5 Strategic Initiatives/Key Projects score 8 or higher [out of 10] on a ―Weird‖/ ―Profound‖/ ―Wow‖/―Game- changer‖ Scale?
Innovation Index: How many
“gurugate”: The Gurus‟ fixation with “the wrong stuff”*
*Not ―they,‖ but ―us.‖
Over-rated:
Big companies! Public companies! “Cool” industries! Stability (“Built to last”)! Famous CEOs! Men!
Under-rated:
*SMEs! *Private companies! *“Dull” industries! *Productive churn: Built to Rock the World! *Laudable CEOs! *Women!
Part SEVEN
#1 Truthteller …
You = Your calendar*
*Calendars
never
lie
“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
“Dennis, you need a …
„To-don‟t ‟
List !”
Don‘t > Do*
* ―Don‘t-ing,‖ 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
John Sawhill/Major Strategic
―What areas should the Conservancy focus on and more important—
Initiative:
what activities should we stop doing?‖
Source: Bill Birchard, Nature‟s Keepers: The Remarkable Story of How The Nature Conservancy Became the Largest Environmental Organization in the World
#89
“You must
the change you wish to see in the world.”
Gandhi
be
―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)
“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
effectively, leaders make particular use of two
―To change minds
tools: the
stories that they tell and the lives
—Howard Gardner, Changing Minds
that they lead.‖
#90
“Nothing is so contagious as enthusiasm.”
—Samuel Taylor Coleridge
“I am a dispenser of enthusiasm.”
—Ben Zander
“[Ronald Reagan] radiated an almost transcendent happiness.”
Half-full Cups:
—Lou Cannon
―Swimmers and colleagues remember a man of almost boundless energy and passion, pointing to his preternatural cheerfulness at 6A.M. practices. —Stanford magazine, on Richard Quick,
women‘s swimming coach (13 NCAA championships,
the Olympic teams he coached won 59 medals)
―He‘d look you in the eye and tell you that you could do it. He was so genuine and passionate that you‘d start to believe it yourself.‖
—Jessica Foschi, All American and NCAA champion
[It had mostly] to do with body language, with the impact Mandela‘s manner had on people he met. First there was his erect posture. Then there was the way he shook hands. The effect was both regal and intimidating, were it not for Mandela‘s warm gaze and his big, easy smile. … Coetzee was surprised by
found themselves chatting amiably. … Mandela‘s willingness to talk in Afrikaans, his knowledge of Afrikaans history.‖ Coetzee: ―He was a born leader. And he was affable. He was obviously well liked by the hospital staff and yet he was respected even though they knew he was a prisoner.‖
and the Game that Made a Nation. (Mandela meets surreptitiously with justice minister after decades in prison—and turns on the charm)
Source: John Carlin, Playing the Enemy: Nelson Mandela
―Mandela, a model host [in his prison hospital room] smiled grandly, put [Justice Minister Kobie] Coetzee at his ease, and almost immediately, to their quietly contained surprise, prisoner and jailer
―Ultimately the smile was symbolic of how Mandela molded himself. At every stage of his life he decided who he wanted to be and created the appearance—and then the reality—of that person. He became who he wanted to be.‖ —from ―Look the
Part‖ (Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel)
―In the election in 1994, his smile was the campaign. That smiling iconic campaign poster—on billboards, on highways, on street lamps, at tea shops and fruit stalls. It told black voters that he would be their champion and white voters that he would be their protector. It was the smile of the proverb ‗tout comprendre, c‘est tout pardoner‘—to understand is to forgive all. It was political Prozac for a nervous electorate.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Ultimately the smile was symbolic of how Mandela molded himself. At every stage of his life he decided who he wanted to be and created the appearance—and then the reality—of that person. He became who he wanted to be.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Some call it a blind spot, others naïveté, but Mandela sees almost everyone as virtuous until proven otherwise. He starts with an assumption you are dealing with him in good faith. He believes that, just as pretending to be brave can lead to acts of real bravery, seeing the good in other people improves the chances that they will reveal their better selves.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Mandela sees the good in others both because it is in his nature and in his interest. At times that has meant being blindsided, but he has always been willing to take that risk. And it is a risk. … Mandela goes out on a limb and makes himself vulnerable by trusting others. … We rarely equate risk with trying to see what is decent, honest, and good in the people in our daily lives. ... ‗People will feel I see too much good in people, and I‘ve tried to adjust because whether it is so or not, it is something I think is profitable. It‘s a good thing to assume, to act on the basis that others are men of integrity and honor, because you need to attract integrity and honor. I believe in that.‘‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
―Mandela … consciously chose to err on the side of generosity. By behaving honorably, even to people who may not deserve it, he believes you can influence them to behave more honorably than they otherwise would. This sometimes proved to be a useful tactic, particularly after he was released from prison, when his open, trusting attitude made him appear to be a man who could rise above bitterness. When he urged South Africans to ‗forget the past,‘ most of them believed that he had. This had a double effect: It made whites trust Mandela more and it made them feel more generous toward the people they had so recently oppressed.‖
From ―See the Good in Others,‖ Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel
Smiling begets a warmer environment. ( Thanking begets an environment of mutual appreciation. Enthusiasm begets enthusiasm. Love begets love. Energy begets energy. Wow begets Wow. Optimism begets Optimism. Honesty begets honesty. Caring begets caring. Listening begets engagement. __________ begets _____________
“It’s always
showtime.”
—David D‘Alessandro, Career Warfare
“eighty percent of success is showing up.”
—Woody Allen
Give good tea!
When Adams joined Franklin in Paris in 1779, he was scandalized by the late hours and French lifestyle his colleague had adopted, says [Stacy Schiff, in A Great Improvisation] Adams was clueless that it was through the dropped hints and seemingly offhand remarks at these salons that so much of French diplomacy was conducted. … Like the Beatles arriving in America, Franklin aroused a fervor—his
of state as rigorously as John Adams. face appeared on prints, teacups and chamber pots. The extraordinary popularity served Franklin‘s diplomatic purposes splendidly. Not even King Louis XVI could ignore the enthusiasm that had won over both the nobility and the bourgeoisie. …‖
to be that of a flirtatious old man, too busy visiting the city‘s fashionable salons to pursue affairs
Franklin‘s miracle was that armed only with his canny personal charm and reputation as a scientist and philosopher, he was able to cajole a wary French government into lending the fledgling American nation an enormous fortune. … The enduring image of Franklin in Paris tends
simple brown suit and a fur cap. …
―In the same bitter winter of 1776 that Gen. George Washington led his beleaguered troops across the Delaware River to safety, Benjamin Franklin sailed across the Atlantic to Paris to engage in an equally crucial campaign, this one diplomatic. A lot depended on the bespectacled and decidedly unfashionable 70-year-old as he entered the world‘s fashion capitol sporting a
Source: ―In Paris, Taking the Salons By Storm: How the Canny Ben Franklin Talked the French into Forming a Crucial Alliance,‖ U.S. News & World Report, 0707.08
Make friends!
―Allied commands depend on mutual confidence [and this confidence] is gained, above all through the development of friendships.‖
—General D.D. Eisenhower, Armchair General* (05.08)
*―Perhaps his most outstanding ability [at West Point] was the ease with which he made friends and earned the trust of fellow cadets who came from widely varied backgrounds; it was a quality that would pay great dividends during his future coalition command
“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
The Real World‘s ―Little‖ Rule Book
Ben/tea Norm/tea DDE/make friends WFBuckley/make friends-help friends Gust/Suck down Charlie/poker pal-BOF
Eddie VII/dance-flatter-mingle-learn the language Vlad/birthday party of outgroup guy‘s wife
CIO/finance network ERP installer/consult-―one line of code‖ GE Energy/make friends risk assessment
GWB/check the invitation list
GHWB/T-notes Hank/60 calls MarkM/5K-5M Delaware/show up
Oppy/snub Lewis Strauss
NM/smile -$4.3T/tin ear tp.com/Big 4-What do you think? Women/genes Banker/after church Total Bloody Mess/Can they pay back the loan?
#92
(Mandela‘s Way: Fifteen Lessons on Life, Love, and Courage, by Richard Stengel)
―Some call it a blind spot, others naïveté, but Mandela sees almost everyone as virtuous until proven otherwise. He starts with an assumption you are dealing with him in good faith. He believes that, just as pretending to be brave can lead to acts of real bravery, seeing the good in other people improves the chances that they will reveal their better selves.‖ —from ―See the Good in Others‖
―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)
#93
The ―19 Es‖ of EXCELLENCE Enthusiasm! (Be an irresistible force of nature! Be fire! Light fires!) Exuberance! (Vibrate—cause earthquakes!) Execution! (Do it! Now! Get it done! Barriers are baloney! Excuses are for wimps! Accountability is gospel! Adhere to coach Bill Parcells‘ doctrine: ―Blame nobody!! Expect nothing!! Do something!!‖) Empowerment! (Respect! Appreciation! Ask until you‘re blue in the face, ―What do you think?‖ Then: Listen! Liberate! 100.00% innovators!) Edginess! (Perpetually dance at the frontier and a little, or a lot, beyond.) Enraged! (Maintain a permanent state of mortal combat with the status-quo!) Engaged! (Addicted to MBWA/Managing By Wandering Around. In touch. Always.) Electronic! (Partner with the whole wide world 60/60/24/7 via all manner of electronic community building and entanglement. Crowdsourcing Encompassing! (Relentlessly pursue diversity of every flavor! Diversity per se generates big returns!) (Seeking superb leaders: Women rule!) Emotion! (The alpha! The omega! The essence of leadership! The essence of sales! The essence of design! The essence of life itself! Acknowledge it! Use it!)
wins!)
The ―19 Es‖ of EXCELLENCE
Empathy! (Connect! Connect! Connect! Click with others‘ reality and aspirations! ―Walk in the other person‘s shoes‖—until the soles have holes!) Ears! (Effective listening in every encounter: Strategic Advantage No. 1! Believe it!) Experience! (Life is theater! It‘s always showtime! Make every contact a ―Wow‖ ! Standard: ―Insanely Great‖/Steve Jobs; ―Radically Thrilling‖/BMW.) Eliminate! (Keep it simple!! Furiously battle hyper-complexity and gobbledygook!!) Errorprone! (Ready! Fire! Aim! Try a lot of stuff, make a lot of booboos. CELEBRATE the booboos! Try more stuff, make more booboos! He who makes the most mistakes wins! Fail! Forward! Fast!) Evenhanded! (Straight as an arrow! Fair to a fault! Honest as Abe!) Expectations! (Michelangelo: ―The greatest danger for most of us is not Eudaimonia! (The essence of Aristotelian philosophy: True happiness is pursuit of the highest of human moral purpose. Be of service!
that our aim is too high and we miss it, but that it is too low and we hit it.‖)
Always!)
EXCELLENCE! (The only standard! Never an exception! Start NOW!
No excuses!)
PXEX = People. eXecution. Error. eXcellence.
“Excellence …
can be obtained if you: ... care more than others think is wise; ... risk more than others think is safe; ... dream more than others think is practical; ... expect more than others think is possible.”
Source: Anon. (Posted @ tompeters.com by K.Sriram, November 27, 2006 1:17 AM)
The EXCELLENCE 15
People 1st/ ―‗Cathedral‘ for human development‖ Best 1st-line managers Quality of relationships (Internal/External) Try it! Try it again! Passion!/Energy!/Wow! Unstinting commitment to innovation by ALL Excellence at ―Plan B‖/Adaptability Fanatic about execution XFX/Cross-functional eXcellence Integrity/Decency/Thoughtfulness/Character LX/Listening eXcellence Commitment to SERVICE Commitment to EXCELLENCE Servant leadership
The end
Tom Peters‘
EXCELLENCE. ALWAYS. Leadership.
Muscat/03 August 2010
Excellence:
The
Leadership
50
bedrock.
1. Leaders …
serve.
Organizations exist to serve. Period.
Leaders live to serve. Period.
The Basic Mechanism.
2. Leadership Is a
Mutual Discovery Process.
…
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.”
Leaders‘ ―Mt Everest Test‖
“free to do his or her absolute best” … “allow its members to discover their greatness.”
The Leadership Types.
3. Great Leaders on White Horses Are
Important – but
Great Talent Developers (Type I Leadership) are the Bedrock
of Organizations that Perform Over the Long Haul.
Whoops:
Jack didn‘t have a vision!
4. But There Are Times
When the “visionary” ―Type‖ (Type II Leadership) Matters!
“A leader is a dealer in hope.”
—Napoleon
5. Find the
“Businesspeople”! (Type III Leadership)
I.P.M.
(Inspired
Profit Mechanic)
6. All Organizations
Need … the Golden
Leadership Triangle.
The Golden Leadership Triangle:
(1) Talent Fanatic … (2) Visionary … (3) Inspired Profit Mechanic.
7. Leadership Mantra #1:
IT ALL DEPENDS!
Renaissance Men are … a snare,
a myth, a delusion!
8. The Leader Is
Rarely/Never the
Best Performer.
The Leadership Dance.
9. Leaders …
SHOW UP!
“A body can pretend to care, but they can‟t pretend to be there.”
— Texas Bix Bender
10. Leaders …
LOVE the MESS!
under control, you‟re just not going fast enough.”
“If things seem
—Mario Andretti
11. Leaders
“We have a „strategic‟ plan. It‟s called doing things.”
— Herb Kelleher
12. Leaders
Re
-do.
―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
By the time our rivals are ready with wires and screws, we are on version
#5.
#10. It gets back to planning
versus acting: We act from day one; others plan how to plan— for months.” —Bloomberg by Bloomberg
13. BUT … Leaders
Know
When to Wait.
Tex Schramm:
The
“too hard”
box!
14. Leaders Are …
Optimists.
Hackneyed but none the less
true:
LEADERS SEE CUPS AS “HALF FULL.”
“[Ronald Reagan] radiated an almost transcendent happiness.”
Half-full Cups:
—Lou Cannon
15. Leaders
FOCUS!
“Dennis, you need a …
„To-don‟t ‟
List !”
16. Leaders … Send
V-E-R-Y Clear
Signals
About What‘s Important!
―Really Important Stuff‖: Roger‟s
Rule of Three!
Danger:
S.I.O.
(Strategic Initiative Overload)
If It Ain‟t Broke … Break It.
17. Leaders …
FORGET!/
Leaders …
DESTROY!
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
“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:
Buy a very large one and just wait.”
—Paul Ormerod, Why Most Things Fail:
Evolution, Extinction and Economics
18. BUT … Leaders
Have to Deliver, So They Worry About ―Throwing the Baby Out with the Bathwater.‖
“Damned If You Do, Damned If You Don‟t, Just Plain Damned.”
Subtitle in the chapter, ―Own Up to the Great Paradox: Success Is the Product of Deep Grooves/ Deep Grooves Destroy Adaptivity,‖ Liberation Management (1992)
19. Leaders …
HONOR THE USURPERS.
Saviors-in-Waiting
Disgruntled Customers Upstart Competitors Rogue Employees Fringe Suppliers
Source: Wayne Burkan, Wide Angle Vision
20. Leaders Make
[Lots of] Mistakes – and
MAKE NO BONES ABOUT IT!
“Fail faster.
Succeed sooner.”
—David Kelley/IDEO
“Fail . Fail again. Fail better.”
—Samuel Beckett
―No man ever became great except through many and great mistakes.‖
Timeless Wisdom, compiled by Gary Fenchuk)
—William Gladstone (from
21. Leaders Make …
BIG MISTAKES!
excellent failures. Punish mediocre successes.”
—Phil Daniels
“Reward
Create.
22. Leaders Know that THERE‘S
MORE TO LIFE THAN ―LINE EXTENSIONS.‖ Leaders Love to …
CREATE NEW MARKETS.
―Acquisitions are about buying market share. Our
challenge is to create markets.
There is a big difference.‖
—Peter Job, CEO, Reuters
23. Leaders … Make Their Mark /
Leaders …
Do Stuff That Matters
I was interested in creating things I would be proud of.” —Richard Branson
“I never, ever thought of myself as a businessman.
24. Leaders Push Their
Organizations …
W-a-y Up the Valueadded Chain.
“Every project we undertake starts with
the same question:
„How can we do what has never been done before?‟”
—Stuart Hornery, Lend Lease
25. Leaders Push Past
Service ―Transactions‖
to … Scintillating
Experiences.
“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
Experience: ―Rebel Lifestyle!‖
“What we sell is the ability for a 43year-old accountant to dress in black leather, ride through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
26. Leaders
LOVE the
New Technology!
Power Tools For Power Strategies
27. Needed? Type IV
Leadership:
Technology Dreamer-True Believer
The Golden Leadership Quadrangle: (1) Talent
Fanatic … (2) Visionary … (3) Inspired Profit Mechanic …
(4) Technology DreamerTrue Believer.
Talent.
28. Leaders …
DO TALENT!
Brand = Talent.
29. When It Comes
to … Leaders Always Go Berserk!
TALENT
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
30. Leaders Listen.
Leaders
Consult.
Passion.
31. Leaders …
“Sell”
PASSION!
Gary Hamel:
“Create a „cause,‟ not a „business.‟ ”
32. Leaders Know:
ENTHUSIASM BEGETS ENTHUSIASM!
“Nothing is so contagious as enthusiasm.”
—Samuel Taylor Coleridge
―Swimmers and colleagues remember a man of almost boundless energy and passion, pointing to his preternatural cheerfulness at 6A.M. practices.‖
—Stanford magazine, on Richard Quick, women‘s swimming coach (13 NCAA championships, the Olympic teams he coached won 59 medals)
―He‘d look you in the eye and tell you that you could do it. He was so genuine and passionate that you‘d start to believe it yourself.‖
—Jessica Foschi, All American and NCAA champion
33. Leaders Are …
in a Hurry
“We don‟t sell insurance
anymore.
We sell speed.”
Peter Lewis, Progressive
“Metabolic Management”
34. Leaders
Focus on the
SOFT STUFF!
“Hard” is
“soft.” “Soft” Is “hard.”
Message: Leadership 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 “Job” of Leading.
35. Leaders Know It‘s ALL SALES ALL THE TIME.
If you don‟t
LOVE
SALES … find
another life. (Don‘t pretend
you‘re a ―leader.‖)
36. Leaders
LOVE
―POLITICS.‖
If you don‟t LOVE
POLITICS … find
another life.
(Don‘t pretend you‘re a ―leader.‖)
All success is a Matter of implementation. All implementation is a matter of politics.
37. But … Leaders Also
Break a Lot of China.
Characteristics of the ―Also rans‖*
―Minimize risk‖ ―Respect the chain of command‖ ―Support the boss‖ ―Make budget‖
*Fortune, ―Most Admired Global Corporations‖
38. Leaders
Give …
RESPECT!
“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.
Source: 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
“Thank
You.”
39. Leaders Say
―The deepest human
need to be appreciated.”
need is the
William James
FLOWER POWER
40. Leaders
Are …
Curious.
The Three Most Important Letters …
WHY?
41. Leadership Is
a…
Performance.
“It is necessary for the President to be the nation‟s
No. 1 actor.”
FDR
42. Leaders … Are
The Brand
“You must
the change you wish to see in the world.”
Gandhi
be
“It’s always
showtime.”
—David D‘Alessandro, Career Warfare
43. Leaders …
Have a
GREAT STORY!
―A key – perhaps the key – to leadership is the effective
communication of a story.”
Howard Gardner Leading Minds: An Anatomy of Leadership
Leader Job 1
Paint Portraits of Excellence!
Introspection.
44.
Leaders …
Enjoy Leading.
“Tom, you left out one thing …”
45. Leaders
LAUGH!
46. Leaders … KNOW THEMSELVES.
Individuals (would-be leaders) cannot engage in a liberating mutual discovery process unless they are
comfortable with their own skin. (―Leaders‖ who are not
comfortable with themselves become petty control freaks.)
Questions: What do others think of you? [Are you sure?] What do you think of you? [Are you sure?] What is your impact on others? [Are you sure?] What is your impact on others? [Are you sure?] What is your impact on others? [Are you sure?] What are the ―little things‖ you (perhaps unconsciously) do that cause people to shrivel—or blossom? [Are you sure?] What do you want? [Are you sure?] Are you aware of your changing moods? [Are you sure?] How fragile is your ego? [Are you sure?] Do you have a true confidant? [Are you sure?] Do you perform brief or not-so-brief self-assessments? Do you talk too much? [Are you sure?] Do you know how to listen? [Are you sure?] Do you listen? [Are you sure?] What is your style of ―hashing things out‖? Are you perceived as (a) arrogant, (b) abrasive (c) attentive, (d) genuinely interested in people, (e) etc? [Are you sure?] Are you flexible? Have you changed your mind about anything important in a while? Are you comfortable-uncomfortable with folks on the front line? Do you think you‟re “in touch with the pulse of things around here”? [Are You Sure?] Are you too emotional/intuitive? Are you too unemotional/rational? Do you spend much time with people who are new to you? [Do you think questions like this are “so much BS”?]
47. But …
Leaders have
MENTORS.
Upon having the Leadership Mantle placed upon one‘s head, he/she
shall hear the unvarnished truth again!*
to lay it on with no jelly.)
never
(*Therefore, she/he needs one faithful compatriot
The End Game.
48. Leaders
are …
RELENTLESS.
“Success seems to be
largely a matter
of hanging on after others have let go.”
—William Feather, author
49. Leaders
???:
“Leadership is the PROCESS of ENGAGING PEOPLE in CREATING a LEGACY of EXCELLENCE.”
“LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON ROLLER BLADES.”
50. Leaders Free the Lunatic Within!
“You can‟t behave in a calm, rational manner. You‟ve got to be out there on the lunatic fringe.”
— Jack Welch
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!
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
51. Leaders
Relentlessly Pursue …
Excellence
“Excellence can be obtained if you: ... care more than others think is wise; ... risk more than others think is safe; ... dream more than others think is practical; ... expect more than others think is possible.”
Source: Anon. (Posted @ tompeters.com by K.Sriram, November 27, 2006 1:17 AM)
Excellence Is a Universal Striving. If Not Excellence, What?
