Distinct or … Extinct Tom Peters Seminar2000 Carpet One Tampa Convention Center 12 August 2000.
Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.
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Transcript of Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.
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Tom Peters Seminar2000 Distinct or … Extinct
Leading Minds/IIR
Copenhagen13 December 2000
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More at … tompeters.comSlides from this seminar.
Master Presentation, for in-depth.“Cool Friends” (referenced in seminar).
Discussions re this stuff.Calendar of events.
Etc.
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“In 25 years, you’ll probably be able to get the
sum total of all human knowledge on a personal
device.”Greg Blonder, VC [was Chief Technical
Adviser for Corporate Strategy @ AT&T] [Barron’s 13.11.2000]
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NOW THAT’S B-I-G!
“The period 2000-2002 will bring the single greatest change in
worldwide economic and business conditions since we came down from the trees.”
David Schneider & Grady Means, MetaCapitalism
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“The corporation as we know it, which is now 120 years old, is
not likely to survive the next 25 years. Legally and
financially, yes, but not structurally and economically.”
Peter Drucker, Business 2.0 (08.00)
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Pentium III 800MHz: $42,893.00/#Hermes Scarf: $1,964.29
Saving Private Ryan on DVD: $874.75Mercedes-Benz: $18.98
Hot-rolled steel: $0.19
Source: Fortune (20.03.00)
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“We are in a
brawl with no rules.”
Paul Allaire
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John Roth’s “Rules” [Nortel]
1. Our strategies must be tied to leading-edge customers on the attack.
2. Time cannot be sacrificed for better quality, lower cost, or even better decisions.
3. It doesn’t matter whether you develop or acquire leading technology. Our job is to provide the technology
and products our customers need.4. Success is achieved by leading change,
not waiting for it.5. We are paranoid about our leadership – willing to cannibalize our own products to maintain our edge.
Source: Abridged from The Wall Street Journal (25.07.00)
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“It used to be that the big
ate the small. Now the fast eat the slow.”Geoff Yang, IVP/ (Institutional
Venture Partners)
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Read It Again: “We don’t sell insurance
anymore. We sell speed.”
Peter Lewis, Progressive
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Structure
Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Forces @ Work I
The Destruction Imperative!
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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
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“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
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“Acquisitions are about buying market share.
Our challenge is to create markets. There is a big difference.”
Peter Job, CEO, Reuters
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“Our ideal acquisition is a small startup that has a great technology product on the drawing board that is going to come out in six to twelve months.
We buy the engineers and the next generation product. …”
John Chambers, Cisco
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Lessons from the Bees!
Since merger mania is now the rage, what lessons can the bees teach us? A simple one: Merging is not in
nature. [Nature’s] process is the exact opposite: one of growth, fragmentation and dispersal. There is no
megalomania, no merging for merging’s sake. The point is that unlike corporations, which just get bigger, bee colonies know when the time has come to split up into
smaller colonies which can grow value faster. What the bees are telling us is that the corporate
world has got it all wrong.”David Lascelles, Co-director of The Centre for the
Study of Financial Innovation [UK]
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The [New] Ge Way
DYB.com
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The Gales of Creative Destruction
+29M = -44M + 73M
+4M = +4M - 0M
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December 2000: Swiss House for Advanced Research &
Education. Cambridge, Massachusetts. Xavier
Comtesse: “You never hear a Swiss say, ‘I want to change the
world.’ We need to take more risks.”
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Brand Inside
Brand Org: Lean, Linked,
Electronic & Malleable
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Headline: “Bank of America to Cut … 10,000 Jobs”
“Middle-level and senior managers are expected to be
the principal targets of the job cutbacks.”
Source: The New York Times (29.07.2000)
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White Collar Revolution!
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108 X 5vs.
8 X 1*
* 540 vs. 8 (-98.5%)
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The Pincer 5
“Destructive” entrepreneurs/ Global Competition
“White Collar Robots”
THE INTERNET! [E.g.: GM + Ford + DaimlerChrysler]
Global Outsourcing [E.g.: India, Mexico]
Speed!!
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“A bureaucrat is an expensive
microchip.”Dan Sullivan, consultant and
executive coach
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Automation+
75% of what we do: 40 “expert” decision rules!
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“Assetless Company”
John Bryan, CEO, on selling all Sara Lee’s manufacturing
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“We have transitioned from an asset-based strategy
to a talent-based strategy.”
Jeff Skilling, COO, Enron
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Cisco, Dell =
Brand-owning companies who sell Customer
Satisfaction
Source: David Schneider & Grady Means, MetaCapitalism [e.g.: Cisco owns 2 of 38
assembly plants]
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RR on “Assetless” [J.B.] Sara Lee
“The most profitable businesses in the future will act as knowledge brokers, linking insights into what’s available
with insights into the customer’s individual needs
and preferences.”
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Advance Paradigm
Data on 165,000,000 prescriptions per year; docs and insurers have access to
records
Reduces med errors; saves $2.88 per scrip [prescribing errors]; docs save
$14,000 per year in review time
Rev in ’99: $2B; $477M in ’98Source: Business Week (09.00)
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Brand Inside
Brand Work: The Professional Service
Firm Model & The WOW Project
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So what will be the Basic Building
Block of the New Org?
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Answer: PSF![Professional Service Firm]
Department Head
to …
Managing Partner, HR [IS, etc.] Inc.
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Credo: W.W.P.F.
“WORK WORTH PAYING
FOR”
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Every job done in W.C.W. is also done
“outside” … for profit!
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New OrleansApril 2000:
NAPM
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You are the … Rock Stars
of the B2B Age!
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ChicagoNovember 1999:
HRMAC
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“support function” / “cost center” / “bureaucratic
drag”
or …
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Are you “Rock Stars of the
Age of Talent”
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“P.S.F.”: Summary
H.V.A. Projects (100%)Pioneer Clients
WOW Work (see below)Hot “Talent” (see below)“Adventurous” “culture”
Point of View (Methodology)W.W.P.F. (100%)
When: Now!
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The Raw Material …
The WOW Project!
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“Reward excellent failures. Punish
mediocre successes.”
Phil Daniels, Sydney exec
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Measures
–WOW!–Beauty!–Raving Fans!–Impact!
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Brand Inside
Brand You: Distinct …
or Extinct
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2010 “Demographics”:
By 2010, full-time workers will be in the
minoritySource: MIT study (28August2000)
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“The fundamental unit of the new economy is not the corporation, but the individual. Tasks aren’t assigned and controlled through a stable chain of command but are carried out autonomously by
independent contractors - e-lancers - who join together in fluid and temporary networks to sell goods and services. When the job is done, the network dissolves and its members become independent again, circulating through the economy, seeking the next assignment.”
Thomas Malone and Robert Laubacher
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New World of Work
< 1 in 10 F500#1: Manpower Inc.
Freelancers/I.C.: 16M-25MTemps: 3M (incl. CEOs & lawyers)
Microbusinesses: 12M-27MTotal: 31M-55M
Source: Daniel Pink, Free Agent Nation
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“If there is nothing very special about your work, no matter how hard you apply
yourself, you won’t get noticed, and that
increasingly means you won’t get paid much either.”
Michael Goldhaber, Wired
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Minimum New Work SurvivalSkillsKit2000
MasteryRolodex Obsession (vert. to horiz. “loyalty”)
Finishing SkillsEntrepreneurial Instinct
CEO/Leader/BusinesspersonMistress of Improv
Sense of HumorIntense Appetite for Technology
Groveling Before the YoungEmbracing “Marketing”
Passion for Renewal
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R.D.A.
Rate: 15%?, 25%?
Therefore: Formal “Investment
Strategy”/R.I.P.
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“You must realize that how you invest your human capital matters as much as how you
invest your financial capital. Its rate of return determines your future options. Take a job for what it teaches you, not for what it pays. Instead of a potential employer asking, ‘Where do you see yourself in 5 years?’
you’ll ask, ‘If I invest my mental assets with you for 5 years, how much will they
appreciate? How much will my portfolio of career options grow?’ ”
Stan Davis & Christopher Meyer, futureWEALTH
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“Knowledge becomes obsolete incredibly fast. The
continuing professional education of adults is the
No. 1 industry in the next 30 years … mostly on line.”
Peter Drucker,Business 2.0 (22August2000)
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“The next killer application for the Internet is going to be education. Education
over the Internet is going to be so big it is going to make
email look like a rounding error.”
John Chambers
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“Our education system is a second-rate, factory-style organization, pumping out
obsolete information in obsolete ways. [Schools] are simply not
connected to the future of the kids they’re responsible for.”
Alvin Toffler, Business 2.0 (09.00)
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Seminar Y2K/Brand Inside
Message: Distinct … or
Extinct!
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Invent. Reinvent. Repeat.
Source: HP banner ad
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Brand Inside
Brand Talent: The Great War for Talent
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The Case
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“When land was the productive resource, nations battled over it. The same is
happening now for talented people.”
Stan Davis & Christopher Meyer, futureWEALTH
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“The market’s being divided up right now. We’re in a
tough competition [with the U.S. and the U.K.] for
the best brains.”Gerhard Schroeder, on Germany’s new
tech immigration policy[Frankfurter Allgemeine/02.06.00]
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“Seller’s Market”: Tomorrow’s Headline*
“Molecular biologists are up 3 points, economists
down 1/4, in moderate trading”
*futureWEALTH, Stan Davis and
Christopher Meyer
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The Talent Ten
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1. Obsession
P.O.T.* = All Consuming
*Pursuit of Talent
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From “1, 2 or 3” [JW] to … “Best talent in each
industry segment to build best proprietary intangibles” [EM]
Source: Ed Michaels, War for Talent (17.05.00)
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2. Greatness
Only The Best!
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Home Depot: 7 new growth initiatives ($20B to $100B in 5-7 years)
Arthur Blank: BEST PERSON IN THE WORLD TO HEAD EACH
INITIATIVEE.g.: COO of IKEA to head
international expansion
Ed Michaels, War for Talent (17.05.00)
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3. Performance
Up or out!
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“We believe companies can increase their market cap 50 percent in 3 years. Steve
Macadam at Georgia Pacific changed 20 of his 40 box plant managers to put
more talented, higher paid managers in charge. He increased
profitability from $25 million to $80 million in 2 years.”
Ed Michaels, War for Talent (17.05.00)
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4. Pay
Fork Over!
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“Top performing companies are two to four times more likely
than the rest to pay what it takes to prevent losing
top performers.”
Ed Michaels, War for Talent (17.05.00)
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So-so plant manager, $1M per year. Pay: $110,000 plus $60,000. Top plant manager,
$3-4M per year. Pay: $135,000 plus $90,000. Net:
$2-3M for $50K.
Source: Ed Michaels et al., The War for Talent, re Georgia Pacific
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5. Youth
Grovel Before the Young!
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“The Rise of the Teen Guru”
“They’re brilliant, ambitious, and almost intuitively gifted at technology. A new generation
of whiz kids are gaining unprecedented power and
authority.”Source: Cover story, Brill’s Content, 7-8/00
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“Talented people are less likely to wait their turn. We used to
view young people as trainees; now they are authorities. Arguably
this is the first time the older generation can – and must – leverage the younger generation very early in their careers.”
Ed Michaels, War for Talent (17.05.00)
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6. Diversity
Mess Rules!
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“Where do good new ideas come from? That’s simple! From
differences. Creativity comes from unlikely juxtapositions.
The best way to maximize differences is to mix ages, cultures and
disciplines.”
Nicholas Negroponte
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“Diversity defines the health and wealth of nations in a new century.
Mighty is the mongrel. … The hybrid is hip. The impure, the mélange, the adulterated, the
blemished, the rough, the black-and-blue, the mix-and-match – these people are inheriting
the earth. Mixing is the new norm. Mixing trumps isolation. It spawns creativity,
nourishes the human spirit, spurs economic growth
and empowers nations.”
G. Pascal Zachary, The Global Me: New Cosmopolitans and the Competitive Edge
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7. Women
Born to Lead!
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“Women possess leadership abilities that are particularly effective in today’s
organizations, yet their abilities remain undervalued and underutilized.
In the future, what will distinguish one organization and one country from another will be its use of human
resources. Today human resource utilization is not only a matter of social
justice but a bottom-line issue.”
Judy Rosener, America’s Competitive Secret: Women Managers
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“On average, women and men possess a number of different innate skills. And current trends suggest that many sectors of the twenty-
first-century economic community are going to need the natural
talents of women.”Helen Fisher, The First Sex: The Natural Talents of
Women and How They are Changing the World
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“AS LEADERS, WOMEN RULE: New Studies find that female managers
outshine their male counterparts on almost
every measure”Title, Special Report, Business Week, 20.11.00
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Women and new-economy
management …
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The New Economy …
Shout goodbye to “command and control”!
Shout goodbye to hierarchy!
Shout goodbye to “knowing one’s place”!
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Women’s Stuff = New Economy Match
Improv skillsRelationship-centric
Less “rank consciousness”Self determinedTrust sensitive
IntuitiveNatural “empowerment freaks” [less
threatened by strong people]Intrinsic [motivation] > Extrinsic
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Women’s Strengths: link [rather than rank] workers; favor interactive-collaborative
leadership style [empowerment > top-down decision making]; sustain fruitful collaborations;
comfortable with sharing information; see redistribution of power as victory, not surrender;
favor multi-dimensional feedback; value interpersonal & technical skills, group &
individual contributions equally; readily accept ambiguity; honor intuition as well as pure
“rationality”; inherently flexible; appreciate cultural diversity
Source: Judy B. Rosener, America’s Competitive Secret
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“TAKE THIS QUICK QUIZ: Who manages more things at once? Who puts more effort into their appearance? Who usually takes care of the details? Who finds it
easier to meet new people? Who asks more questions in a conversation? Who is a better
listener? Who has more interest in communication skills? Who is more inclined to get involved?
Who encourages harmony and agreement? Who has better intuition? Who works with a longer ‘to do’ list? Who enjoys a recap to the day’s events? Who is
better at keeping in touch with others?”
Source: Selling Is a Woman’s Game: 15 Powerful Reasons Why Women Can Outsell Men, Nicki Joy &
Susan Kane-Benson
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“Investors are looking more and more for a relationship with their
financial advisers. They want someone they can trust, someone who listens. In my experience, in general, women may be better at these relationship-building skills
than are men.”
Hardwick Simmons., CEO, Prudential Securities
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“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
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“Boys are trained in a way that will make
them irrelevant.”
Phil Slater
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Read This!
“Winning the Talent War for Women: Sometimes It
Takes a Revolution,” Douglas McCracken, HBR [11-12/2000]
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“Deloitte was doing a great job of hiring high-performing women; in fact, women often earned
higher performance ratings than men in their first years with the firm. Yet the percentage of women
decreased with step up the career ladder. … Most women weren’t leaving to raise families; they had weighed their options in Deloitte’s male-dominated culture and found them wanting.
Many, dissatisfied with a culture they perceived as endemic to professional service firms, switched
professions.”
Douglas McCracken, “Winning the Talent War for Women” [HBR]
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“The process of assigning plum accounts was largely unexamined. …
Male partners made assumptions: ‘I wouldn’t put her on that kind of
company because it’s a tough manufacturing environment.’ ‘That
client is difficult to deal with.’ ‘Travel puts too much pressure on women.’ ”
Douglas McCracken, “Winning the Talent War for Women” [HBR]
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TP: When it comes to the New Economy … men & women are
NOT equal as managers.
WOMEN ARE … SIMPLY … BETTER!
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Opportunity!
U.S. G.B. E.U. Ja.
M.Mgt. 41% 29% 18% 6%
T.Mgt. 4% 3% 2% <1%
Peak Partic. Age 45 22 27 19
% Coll. Stud. 52% 50% 48% 26%
Source: Judy Rosener, America’s Competitive Secret: Women Managers
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8. Weird
The Cracked Ones Let in the Light!
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The Cracked Ones Let in the Light
“Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found
among non-conformists, dissenters and rebels.”
David Ogilvy
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Axiom: Never hire anyone without an aberration in their
background!
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9. Opportunity
Make It an Adventure!
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“H.R.” to “H.E.D.” ???
Human Enablement Department
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“Firms will not ‘manage the careers’ of their employees. They
will provide opportunities to enable the employee to develop
identity and adaptability and
thus be in charge of his or her own career.”
Tim Hall et al., “The New Protean Career Contract”
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10. Leading Genius
We are all unique!
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One size NEVER fits all. One size fits one. Period.
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44 Players = 44 Projects =
44 different success measures
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Insights from 80,000 managers:
“People don’t change much.“Don’t waste time trying to put in
what was left out.“Try to draw out what was left in.
“That is hard enough.”
Source: Marcus Buckingham & Curt Coffman, First, Break All the Rules: What the World’s
Greatest Managers Do Differently
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Employee retention & satisfaction:
Overwhelmingly, based on their immediate manager!
Source: Marcus Buckingham & Curt Coffman, First, Break All the Rules: What the World’s
Greatest Managers Do Differently
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Managing: “The people thing” [Inspire one]
[Cool!]Leading: “The vision
thing” [Inspire all] [Cool!]
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Mantra2000
Talent = Brand
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Brand Inside
Brand Action:Getting Started … a
Personal Perspective
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The following slide begins the “Boss-Free Implementation of
Stuff That Matters” Section. The slides in this section are heavily
annotated.
Use Normal or Notes Page View to access the notes.
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Topic: Boss-free
Implementation of STM /Stuff That
MATTERS!
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I. THE IDEA
“4Fs”: Find a
Fellow Freak
Faraway
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Heart of the Matter
F2F!*
*Freak to Freak … or K2K [Kook to Kook]
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World’s Biggest Waste …
Selling “Up”
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II. THE NUGGET
Do Something. Do Anything.
Get Going.Now.
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Reframers’ Rules:
Rule 1: Never accept an assignment as given! (Please.)
Rule 2: You’re never so powerful as when you are “powerless”!
Rule 3: Every “small” project contains the entire
enterprise DNA!
![Page 120: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/120.jpg)
III. BOTTOM LINE
The Enemy!
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Epitaph from Hell … Epitaph from Hell …
Joe T. Jones Joe T. Jones
1942 – 2000 1942 – 2000
HE WOULDA DONE SOME HE WOULDA DONE SOME
REALLY COOL STUFF REALLY COOL STUFF
BUT …BUT …
HIS BOSS WOULDN’T LET HIM! HIS BOSS WOULDN’T LET HIM!
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Characteristics of the “Also rans”*
“Minimize risk”“Respect the chain of
command”“Support the boss”
“Make budget”
*Fortune, article on “Most Admired Global Corporations”
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The greatest dangerfor most of us
is not that our aim istoo high
and we miss it,but that it is
too lowand we reach it.
Michelangelo
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Brand InsideReprise:
THINK WEIRD: The High Standard
Deviation Enterprise
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Reprise: Brand Inside
The White Collar Revolution & The Web [DYB.com!]
PSF as Building Block [Work Worth Paying For!]
Work Worth Paying For = WOW Projects!
Brand You [Everybody!]
The Great War for Talent!
Boss-free Implementation of STM! [F2F]
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New Economy: Was-Is • Pine-paneled Office• Address: 1 Big Man Plaza• Secretary• Suit • Formal • Rank conscious• Pretense (“Failures are
for fools.”)• I love “Yes men”• Self-contained
• Seat 9B, UA233• Address: [email protected]• Typing: 60 WPM• Casual M-F• Approachable• We are a HOT Team • Screwing up is as normal
as breathing• I love Misfits!• I love partners
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Renewal = The Weird 10 = The “High S.D.” Enterprise/Individual
Pioneer [Weird] Acquisitions
Pioneer [Weird] Customers & Alliance Partners [Measure the Customer-Partner Portfolios’ S.D./Weirdness Index]
Divide & Conquer/“Sell-by” [Lessons from the Bees, Sir Richard, Gary H.]
Pioneer Assignments/Pioneer Projects/Pioneer Partners [F2F: Freak-to-Freak/ 4F: Find a Fellow Freak Faraway]
Hire Weird [Diversity]/Train Weird/Promote Weird/Pay Gobs & Promote Fast & Cherish “Six Sigma” Talent/Appoint a Weird Board
Weed Un-weird [“One Sigma” “Talent,” etc.]
Hang out with Weird [Univ. of Weird]/Lunch with Weird/Read & Surf Weird/Vacate Weird
R.A.F. to R.F.A. to F.F.F. [O.O.D.A. Loops/Prototyping Mania]
Sense of Humor [Rhapsodize Over Thine Cool Failures!]
Re-enforce a “Culture of Disrespect”/PassionatePiracy
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Saviors-in-Waiting
Disgruntled CustomersFringe CompetitorsRogue Employees
Edge SuppliersWayne Burkan, Wide Angle Vision: Beat the
Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue
Employees
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Forces @ Work II
The Commodity Trap
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Quality Not Enough!
“While everything may be better, it is also increasingly the
same.”Paul Goldberger on retail, “The Sameness
of Things,” The New York Times
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“We make over three new product announcements a
day. Can you remember them?
Our customers can’t!”Carly Fiorina
![Page 133: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/133.jpg)
“The ‘surplus society’ has a surplus of
similar companies, employing
similar people, with similar educational backgrounds, working in
similar jobs, coming up with similar
ideas, producing similar things, with
similar prices and similar quality.”
Kjell Nordstrom and Jonas Ridderstrale, Funky Business
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The “10X/10X Phenomenon”
10 Times Better/
10 Times Less Different
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Brand Outside
Strategy 1:
Lead the Customer!
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“If you worship at the throne of the voice of the customer, you’ll get only
incremental advances.”Joseph Morone, President,
Bentley College
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“These days, you can’t succeed as a company if you’re consumer led –
because in a world so full of so much constant change, consumers can’t
anticipate the next big thing.
Companies should be idea-led and consumer-
informed.”Doug Atkin, partner, Merkley Newman Harty
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“Our strategies must be tied to leading edge
customers on the attack. If we focus on the defensive
customers, we will also become defensive.”
John Roth, CEO, Nortel
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Brand Outside
Strategy 2:Use E-Commerce to
Re-invent Everything!
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OVERVIEW
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www.cyveillance.com
30.08.2000/0521GMT:
2,461,940,629
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www.cyveillance.com
12.12.2000/1727GMT:
3,218,537,194
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104 days, 12 hours, 06 minutes …
+756,596,565
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Tomorrow Today: Cisco!
90% of $20B (=$50M/day)75% mfg. outsourced; 50% of orders routed to supplier who ships direct
Gross margin: 65%; Net margin: 28%
Annual savings in service and support from customer
self-management: $550M
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COMMUNITY SERVICES!/ CUSTOMER CONTROL!
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Tomorrow Today: Cisco!
90% of $20B; save $550M
C.Sat e >> C.Sat H
Customer Engineer Chat Rooms/Collaborative
Design ($1B “free” consulting) (45,000 customer problems a week solved via
customer collaboration)
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Cisco’s Secret
Trust (Openness to partners!!!!!)
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Welcome to
D.I.Y. Nation!“Changes in business processes will emphasize self service. Your costs as
a business go down and
perceived service goes up because customers are conducting it
themselves.” Ray Lane, Oracle
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Anne Busquet/ American Express
Not: “Age of the Internet”
Is: “Age of Customer Control”
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“The Web enables total transparency. People with
access to relevant information are beginning to challenge any type of
authority. The stupid, loyal and humble customer, employee, patient
or citizen is dead.”
Kjell Nordstrom and Jonas Ridderstrale, Funky Business
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“In the network economy, the Website becomes the company’s primary interface to the customer.
The user interface becomes the marketing materials, store front,
store interior, sales staff and post-sales support all rolled into one.”
Jakob Nielsen, Designing Web Usability
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One Person’s Opinion [11.2000]
TP to reporter: “Service is MUCH better! Would you go
back to bank tellers and phone operators? Value that I place on a smile: 3 on a scale of 10. Value I place on fast “digital”
response: 11 on a scale of 10!!”
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RADICAL STRATEGIES
REQUIRED
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“One cannot be tentative about this. Excuses like ‘channel
conflict’ or ‘marketing and sales aren’t ready’ cannot be allowed. Delay and you risk being cut out of your own market, perhaps not by traditional competitors but by companies you
never heard of 24 months ago.”
Jack Welch [07.00/Forbes.com]
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“We’ve put the word out to all of our suppliers: by the end of the year [2000] we’ll only do purchasing
over the Internet.”John Paterson, C.P.O., IBM
[$50B from 18,000 suppliers]
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ACT NOW, ACT FAST,
KEEP ACTING
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“It’s better to be first with less than last with more. Success on
the Web isn’t just about time to market, it’s also about
‘time to learning.’ ”
Jeff Levy, eHatchery
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SUMMARY: REINVENT
EVERYTHING
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WebWorld = Everything
Web as a way to run your business’ innardsWeb as connector for your entire supply-demand chain Web as “spider’s web” which re-conceives the industry
Web/B2B as ultimate wake-up call to “commodity producers”
Web as the scourge of slack, inefficiency, sloth, bureaucracy, poor customer data
Web as an Encompassing Way of LifeWeb = Everything (P.D. to after-sales)
Web forces you to focus on what you do bestWeb as entrée, at any size, to World’s Best at Everything
as next door neighbor
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Message: eCommerce is not a technology play! It is a
relationship, partnership, organizational and
communications play, made possible by new
technologies.
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Message: There is no such thing as an effective B2B or
Internet-supply chain strategy in a low-trust,
bottlenecked-communication, six-layer
organization.
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A DREAMER’S MEDIUM!
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“There is no use trying,” said Alice. “One can’t believe impossible things.”
“I daresay you haven’t had much practice,” said the Queen. “When I was
your age, I always did it for half an hour a day. Why, sometimes I’ve
believed as many as six impossible things before breakfast.”
Lewis Carroll
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I’net …
… allows you to dream dreams you could never have imagined before!
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“Banking is
necessary. Banks are not.”
Dick Kovacevich, Wells Fargo
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Brand Outside
Strategy 3: Fighting Back via
Systems Integration!
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THE CASE
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B2B
1999 – 2004: 50X
2004: $7.4TSource: GartnerGroup (per Reuters 26.01.00)
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GM/Ford/DaimlerChrysler (02-27)
Covisint$240B (+$500B)
I.P.O.
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Goal?
Drive profits to zero!*
*Remember AMR and “dynamic pricing.”
![Page 171: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/171.jpg)
Message: “BOX” SELLERS LOSE!
![Page 172: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/172.jpg)
THE RESPONSE
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Message: Racing up the V.A. Ladder. Doing More & More … & More & More & More … for/with the Customer and the Supply-Demand Chain!
![Page 174: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/174.jpg)
“We want to be the air traffic
controllers of electrons.”
Bob Nardelli, GE Power Systems
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ENRON operates networks throughout the world to develop and enhance energy and
broadband communication services. Networks, unlike vertically integrated business structures,
facilitate the flow of information and expertise. We can spot market signals faster and respond more quickly. Networks empower individuals, freeing
them to craft innovative and substantive solutions to customer problems. Networks are the foundation
of our knowledge-based businesses, and they provide exceptional returns and value for our
shareholders.
from the 2000 Annual Report
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09.11.2000: HP bids $18,000,000,000
for PricewaterhouseCoopers
Consulting bus! (31,000 bods)
![Page 177: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/177.jpg)
“These days, building the best server isn’t enough. That’s the
price of entry.”
Ann Livermore, Hewlett Packard
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Brand Outside
Strategy 4:
Design Matters!
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All Equal Except …
“At Sony we assume that all products of our competitors have basically the same
technology, price, performance and
features. Design is the only thing that differentiates one product from another in the
marketplace.”Norio Ohga
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“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
meaning of design. Design is the fundamental soul
of a man-made creation.”Steve Jobs
![Page 181: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/181.jpg)
Message: “Great - Cool Stuff” Matters.
Great & Cool Trumps Not-So-Great &
Ho Hum!
![Page 182: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/182.jpg)
Message iMac:
“Great Stuff” Takes Guts!!
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Unconventional [Design] Messages
Not about ... “Lumpy Objects”!
Not about ... $79,000 objects
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The I.D. [International Design] Forty*
Airstream … Alfred A. Knopf … Apple Computer … Amazon.com …
Bloomberg … Caterpillar … CNN … Disney … FedEx … Gillette … IBM … Martha Stewart … New Balance …
Nickelodeon … Patagonia … The New York Yankees … 3M … Etc.
* List No. 1, 1999
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Design Transforms even the [Biggest] Corporations!
TARGET … “the champion of America’s new design democracy” (Time)
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Design “is” … WHAT &
WHY I LOVE. LOVE.
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I LOVE my ZYLISS Garlic Peeler!
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Design “is” … WHY I
GET MAD. MAD.
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Wanted: Dead [preferably] or Alive: THE DESIGNER OF
MY CORDLESS PHONE. Major
Reward!
![Page 190: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/190.jpg)
Design is never neutral.
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Hypothesis: DESIGN is the principal difference
between love and hate!
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THE BASE CASE: I am a design fanatic. Personally, though not “artistic,” I’m a cool-stuff guy. I love what
I love and I hate what I hate. [Openly.] But it goes [much] further, far beyond the personal. Design has
become a professional obsession. I - SIMPLY – BELIEVE THAT DESIGN PER SE IS
THE PRINCIPAL REASON FOR EMOTIONAL ATTACHMENT [or detachment] RELATIVE TO A
PRODUCT OR SERVICE OR EXPERIENCE. Design, as I see it, is arguably the #1 determinant of
whether a product-service-experience stands out … or doesn’t. Furthermore, it’s “one of those things” …
that damn few companies put – consistently – on the front burner.
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Design Rules! [Literally]
Palm Beach County’s U.C.B.* [*Utterly Confusing Ballot]
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Brand Outside
Strategy 5:
It’s the Experience!
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“Experiences are as distinct from services as services are from
goods.”Joseph Pine & James Gilmore, The
Experience Economy: Work Is Theatre & Every Business a Stage
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Experience: “Rebel Lifestyle!”
“What we sell is the ability for a 43-year-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
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“Car designers need to create a story. Every car provides an
opportunity to create an adventure. …“The Prowler makes you smile. Why? Because it’s focused. It has a plot, a
reason for being, a passion.”
Freeman Thomas, co-designer VW Beetle; designer Audi TT
![Page 198: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/198.jpg)
Hmmmm(?): “Only” Words …
StoryAdventure
Smile Focus
PlotPassion
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Brand Outside
Strategy 6:
Women Rule!
![Page 200: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/200.jpg)
?????????
Home Furnishings … 94%Vacations … 92%
Houses … 91%Bank Account … 89%
Health Care … 80%Consumer Electronics … 51%
Cars … 60% (90%)Etc.
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48% working wives > 50%80% checks
61% bills53% stock (mutual fund boom)
43% > $500K95% financial decisions/
29% single handed
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Women … 50+%(!!!) of Web users; 6 of 10 new users; 83% of wired women are primary decision makers for family
healthcare, finances, education.
Source: Business Week; Jupiter Communications
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$4.8T > Japan
9M/27.5M/$3.6T > Germany
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Yeow!
1970 … 1%
2002 … 50%
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OPPORTUNITY
NO. 1!*
[* No shit!]
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Carol Gilligan/ In a Different Voice
Men: Get away from authority, familyWomen: Connect
Men: Self-orientedWomen: Other-oriented
Men: RightsWomen: Responsibilities
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FemaleThink/ Popcorn
“Men and women don’t think the same way, don’t communicate the same
way, don’t buy for the same reasons.”
“He simply wants the transaction to take place. She’s interested in creating a relationship. Every place women go,
they make connections.”
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Women and Healthcare
Women are … more dissatisfied, frustrated by the way they are treated and spoken down to by physicians, seek more information, are more pressed for
time … and make 75% of health care decisions and control 2/3 of health care $
$$$ [and constitute 2/3 of health care employees].
Source: Patricia Braus, Marketing Healthcare to Women
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Women and Financial Advisors
Women want … a plan, to be listened to, to be taken seriously, to read about it, to think about it.
Women do not want … an in-your-face sales pitch
Source: Kathleen Boyle, Wheat Boyle Butcher Singer
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“Women Beat Men at Art of Investing”
Source: Miami Herald, reporting on a study by Profs. Terrance Odean and Brad Barber, UC Davis (Cause: Guys are “in and out” of
stocks more often; women choose carefully and hold on for the long term)
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Marketing to Women: Help Them Save Time!
80% … work86% … cook
58% … run errands with kids38% … take child to school
21% … go to the gym21% … take outside classes
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How Many Gigs You Got, Man?
“Hard to believe … Different criteria”
“Every research study we’ve done indicates that women really care about the relationship with their
vendor.”
Robin Sternbergh/ IBM
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Read This Book …
EVEolution: The Eight Truths of Marketing to Women
Faith Popcorn & Lys Marigold
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EVEolution: Truth No. 1
Connecting Your Female Consumers to Each
Other Connects Them to Your Brand
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“The ‘Connection Proclivity’ in women starts early. When asked,
‘How was school today?’ a girl usually tells her mother every
detail of what happened, while a boy might grunt, ‘Fine.’ ”
EVEolution
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Weight Watchers International “Model”
“What if ExxonMobil or Shell dipped into their credit card database to help commuting women
interview and make a choice of car pool partners?”
“What if American Express made a concerted effort to connect up female empty-nesters
through on-line and off-line programs, geared to help women re-enter the workforce with today’s
skills?”
EVEolution
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“Women don’t buy
brands. They join them.”
Faith Popcorn, EVEolution
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Not!!
“Year of the Woman”
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Enterprise Reinvention!
RecruitingHiring/Rewarding/ Promoting
Structure Processes
MeasurementStrategyCulture Vision
Leadership
THE BRAND ITSELF!
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“What kind of car does Mommy want?”
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“Honey, are you sure you have the kind of money it takes to be looking at a car like
this?”
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“I didn’t know [company] were giving
company cars to secretaries.”
Source: UK financial services CEO, 12/99
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THIS JUST MIGHT BE THE BIGGEST “THING” IN THIS
SEMINAR. [PLEASE: THINK ABOUT IT!]
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STATEMENT OF PHILOSOPHY: I am a businessperson. An analyst. A pragmatist. The enormous social good of increased women’s
power is clear to me; but it is not my bailiwick. My “game” is haranguing business leaders
about my fact-based conviction that women’s increasing power – leadership skills
and purchasing power – is the strongest and most dynamic force at work in the American
economy today. Dare I say it as a long-time Palo Altan … THIS IS EVEN BIGGER THAN THE
INTERNET!
Tom Peters
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Speaking of Enormous
[Missed] [Huge] Opportunities ...
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Subject: Marketers & Stupidity
It’s 18-44, stupid!
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Subject: Marketers & Stupidity
Or is it: 18-44 is stupid, stupid!
![Page 228: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/228.jpg)
2000-2010 Stats
18-44: -1%55+: +21%
(55-64: +47%)
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Aging/“Elderly”
$$$$$$$$$$$$“I’m in charge!”
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Priorities: Aging/“Elderly”
Experiences … Convenience … Comfort
… Access … Respect!
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“Such a critical mass of older women with a tradition
of rebellion and independence and a way of
making a living has not occurred before in history.”
Gerda Lerner, historian
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Brand Outside
Strategy 7:
BRAND POWER!
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Brand It! Now, More Than Ever!
“The increasing difficulty in differentiating between products and
the speed with which competitors take
up innovations will assist in the rise and rise of the brand.”
Gillian Law and Nick Grant, Management [New Zealand]
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“We are in the twilight of a society based on data. As information and intelligence become the domain of computers, society will place more value on the one human ability that cannot be automated: emotion.
Imagination, myth, ritual - the language of emotion - will affect everything from our purchasing decisions
to how we work with others. Companies will thrive on the basis of their stories and myths. Companies will need to understand
that their products are less important than their stories.”
Rolf Jensen, Copenhagen Institute for Future Studies
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Scott Bedbury/ Nike, Starbucks
“A Great Brand taps into emotions. Emotions drive most, if not all, of our decisions. A brand reaches out with a powerful connecting experience. It’s an
emotional connecting point that transcends the product.
“A Great Brand is a story that’s never completely told. A brand is a metaphorical story that
connects with something very deep - a fundamental appreciation of mythology.
Stories create the emotional context people need to locate themselves in a larger experience.”
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“Corporate Religion is a completely new way of thinking about companies. Today, the product is still the main communication
highway in the company. When companies make the shift to selling solutions, brands and attitudes … communicating the company’s
attitudes and values becomes the decisive parameter for success. It
demands that you find out who you are as a company.”
Jesper Kunde, Corporate Religion
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Brand = You Must Care!
“Success means never letting the competition
define you. Instead you have to define yourself based on a point of view you care deeply
about.” Tom Chappell, Tom’s of Maine
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“WHO ARE YOU [these days] ?”
TP to Client
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Calling the Corporate Shrink!
“Organizational Psychotherapy”/
WHO WE ARE!
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“In the funky village, real competition no longer revolves
around marketshare. We are competing for attention –
mindshare and heartshare.”Kjell Nordstrom and Jonas Ridderstrale,
Funky Business
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Brand = Special = Passion = Plot =
Compelling Mythology = Cause = Connection = Heart = Integrity &
Trust
![Page 242: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/242.jpg)
Rules of “Radical Marketing”
Love + Respect Your Customers!Hire only Passionate Missionaries!Create a Community of Customers!
Celebrate Craziness!Be insanely True to the Brand!
Sam Hill & Glenn Rifkin, Radical Marketing (e.g., Harley, Virgin, The Dead, HBS, NBA)
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Brand Leadership
Passion Rules!
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“Leadership is a performance. You have to be
conscious of your behavior, because everybody else is.”
Carly Fiorina
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“You must be the change you want
to see in the world.”
Gandhi
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Brand Leadership!
“A key – perhaps the key – to leadership is the effective
communication of a story.”
Howard Gardner Leading Minds: An Anatomy of Leadership
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“Create a Cause, not a ‘business.’ ”
Gary Hamel, Fortune (06.00), on re-inventing a company (Exemplar #1:
Charles Schwab)
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“A leader is a dealer in hope.”
Napoleon
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Brand Leadership:ENTHUSIASM RULES!
“I am a dispenser of enthusiasm.”/ Ben
Zander
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Leadership 2000
Talent-obsessed (Great>>>Good)Opportunity Structure (Fast, Cool,
Accountable, Rewarding) Pursuit of a Cause (Brand-driven)
Content-driven (“PSF”/WOW! Projects)State-of-the-Art (Technology!)
Adventuresome Culture (Disrespect, Short Memory, Sense of Humor)Culture of Hyper-urgency
Enthusiast-in-Chief
![Page 252: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/252.jpg)
Tom Peters SeminarY2K
Message: Distinct … or
Extinct!
![Page 253: Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000.](https://reader038.fdocuments.in/reader038/viewer/2022110403/56649e685503460f94b64e36/html5/thumbnails/253.jpg)
Have you changed civilization today?
Source: HP banner ad
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“If things seem under control, you’re just
not going fast enough.”
Mario Andretti