Slide 1

Tom Peters Seminar2001 We Are in a Brawl with No Rules! One Day/10.31.2001 Slide 2 There will be more confusion in the business world in the next decade than in any decade in history. And the current pace of change will only accelerate. Steve Case Slide 3 Uncertainty: We dont know when things will get back to normal. Ambiguity: We no longer know what normal means. Slide 4 BMcC: (1) Hierarchy vs. Network organization. (2) NWO = Doctrine as center of gravity/source of motivation; distributed support & decision- making;largely self-organizing; outside the military sphere. Slide 5 Our military structure today is essentially one developed and designed by Napoleon. Admiral Bill Owens, former Vice Chairman, Joint Chiefs of Staff Slide 6 In an era when terrorists use satellite phones and encrypted email, US gatekeepers stand armed against them with pencils and paperwork, and archaic computer systems that dont talk to each other. Boston Globe (09.30.2001) Slide 7 From: Weapon v. Weapon To: Org structure v. Org structure Slide 8 prior 900 years 1900s: 1 st 20 years > 1800s 2000: 10 years for paradigm shift 21 st century: 1000X tech change than 20 th century (the Singularity, a merger between humans and computers that is so rapid and profound it represents a rupture in the fabric of human history) Ray Kurzweil, talk april2001 Slide 9 Unless mankind redesigns itself by changing our DNA through altering our genetic makeup, computer- generated robots will take over the world. Stephen Hawking, in the German magazine Focus Slide 10 Structure Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership Slide 11 All Slides Available at tompeters.com Note: Lavender text in this file is a link. Slide 12 TOPICS. BRAND INSIDE. Forces at Work I: The Destruction Imperative. Brand Org: Lean, Linked, Internet-driven, Virtual. Brand Work: The Professional Service Firm Model. The Heart of the V.A. Revolution: PSF Unbound. Brand You: Distinct or Extinct. Redefining the Work Itself: The WOW Project. Brand Talent: The Great War for Talent. Brand Talent+: The Education Fiasco. Summary: The High Standard Deviation Enterprise & The 5 Transformations Slide 13 TOPICS. BRAND OUTSIDE. Forces at Work II: The Sameness Trap. Strategy 1A: Use E- commerce to Re-invent Everything. Strategy 1B: Embracing an e-Led Age of Self- determination. Strategy 2A: Women Rule. Strategy 2B: Welcome to Old World. Strategy 3A: Design Matters. Strategy 3B: Its the Experience. Strategy 4: Brand Power. Slide 14 TOPICS. BRAND LEADERSHIP. The Leadership50: Leading in Totally Screwed Up Times Slide 15 Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership Slide 16 Forces @ Work I The Destruction Imperative! Slide 17 Forbes100 from 1917 to 1987: 39 members of the Class of 17 were alive in 87; 18 are in 87 F100; the 18 F100 survivors underperformed the market by 20%; just 2 (2%), GE & Kodak, outperformed the market from 1917 to 1987. S&P 500 from 1957 to 1997: 74 members of the Class of 57 were alive in 97; 12 (2.4%) of 500 outperformed the market from 1957 to 1997. Source: Dick Foster & Sarah Kaplan, Creative Destruction: Why Companies That Are Built to Last Underperform the Market Slide 18 Message*: Are all CEOs bozos? Was Darwin a genius, or what? So, Boss Man, whadda you say about risk taking now? *And all that (2 of 100; 12 of 500) was in relatively placid times. Slide 19 CEOs appointed after 1985 are 3X more likely to be fired than CEOs appointed before 1985 Warren Bennis, MIT Sloan Management Review Slide 20 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 Innovators Dilemma Slide 21 A pattern emphasized in the case studies in this book is the degree to which powerful competitors not only resist innovative threats, but actually resist all efforts to understand them, preferring to 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 Slide 22 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 Slide 23 The [New] G e Way DYB.com Slide 24 The Gales of Creative Destruction +29M = -44M + 73M +4M = +4M - 0M Slide 25 Brand Inside Brand Org: Lean, Linked, Internet-driven, Virtual Slide 26 White Collar Revolution! Slide 27 108 X 5 vs. 8 X 1 = 540 vs. 8 (-98.5%) Slide 28 The Pincer 5 1. Destructive entrepreneurs/ Global Competition 2. White Collar Robots 3. THE INTERNET! [E.g.: GM + Ford + DaimlerChrysler] 4. Global Outsourcing [E.g.: India, Mexico] 5. Speed!! Slide 29 A bureaucrat is an expensive microchip. Dan Sullivan, consultant and executive coach Slide 30 Automation+ 75% of what we do: 40 expert decision rules! Slide 31 IBMs Project eLiza ! Slide 32 The Pincer 5 1. Destructive entrepreneurs/ Global Competition 2. White Collar Robots 3. THE INTERNET! [E.g.: GM + Ford + DaimlerChrysler] 4. Global Outsourcing [E.g.: India, Mexico] 5. Speed!! Slide 33 Asset less Company John Bryan, CEO, on selling all Sara Lees manufacturing Slide 34 Dont own nothin if you can help it. If you can, rent your shoes. F.G. Slide 35 Brand Inside Brand Work: The Professional Service Firm Model Slide 36 So what will be the Basic Building Block of the New Org? Slide 37 Every job done in W.C.W. is also done outside for profit! Slide 38 Answer: PSF! [Professional Service Firm] Department Head to Managing Partner, HR [IS, etc.] Inc. Slide 39 P.S.F.: Summary H.V.A. Projects (100%) Pioneer Clients WOW Work (see below) Hot Talent (see below) Adventurous culture Proprietary Point of View (Methodology) W.W.P.F. (100%)/Outside Clients (25%++) Slide 40 BMWs Designworks/USA: >50% from outside work Slide 41 eHR*/PCC** *All HR on the Web **Productivity Consulting Center Source: E-HR: A Walk through a 21 st Century HR Department, John Sullivan, IHRIM Slide 42 (1) Translate departmental affairs into discrete W.W.P.F. Products. (2) 100% go on the Web. (3) Non-awesome are outsourced (75%??). (4) Remaining Centers of Excellence are retained & leveraged to the hilt! Slide 43 Brand Inside The Heart of the Value Creation Revolution: PSF Unbound! Slide 44 09.11.2000: HP bids $18,000,000,000 for PricewaterhouseCoopers consulting business! Slide 45 These days, building the best server isnt enough. Thats the price of entry. Ann Livermore, Hewlett-Packard Slide 46 HP Sun GE IBM UPS UTC General Mills Springs Anheuser-Busch Carpet One Delphi Etc. Etc. Slide 47 We want to be the air traffic controllers of electrons. Bob Nardelli, GE Power Systems Slide 48 Customer Satisfaction to Customer Success Were getting better at [Six Sigma] every day. But we really need to think about the customers profitability. Are customers bottom lines really benefiting from what we provide them? Bob Nardelli, GE Power Systems Slide 49 GEs Six Sigma+ Approach Old view: Out of service 9 days. 4 days are transport, which is client responsibility. New view: ALL 9 DAYS ARE OUR RESPONSIBILITY! Why? 9 days = Clients World. Source: Steve Kerr, VP, GE Slide 50 The primary strategic mission for [CEOJeffrey] Immelt is to hasten GEs transformation from a low-margin manufacturer to a more lucrative services company that sells solutions as much as stuff. Newsweek/09.10.2001 (Welch raised share of services revenue from 15% to 70%) Slide 51 In GEs world there are fewer but bigger customers, so theres a vital need to maximize the relationship. Newsweek/09.10.2001 Slide 52 UPS wants to take over the sweet spot in the endless loop of goods, information and capital that all the packages [it moves] represent. ecompany.com/06.01 (E.g., UPS Logistics manages the logistics of 4.5M Ford vehicles, from 21 mfg. sites to 6,000 NA dealers) Slide 53 New Springs = Turnkey Collections. Flexible sourcing. Packaging. Merchandising. Promotion. Systems & Site mgt. Slide 54 We are a real estate facilities consulting organization, not just an interior design firm. Jean Bellas, founder, SPACE (from SMPS Marketer) Slide 55 Architecture is becoming a commodity. Winners will be Turnkey Facilities Management providers. SMPS Exec Slide 56 Problem: Everybody is going after the same space! Slide 57 Assetless Company John Bryan, CEO, on selling all Sara Lees manufacturing Slide 58 Dont own nothin if you can help it. If you can, rent your shoes. F.G. Slide 59 The move toward outsourced manufacturing represents an obvious opportunity for contract manufacturers [such as Flextronics: $93M to $15B, 93-00], but its also a potential boon to product innovation. The future of gadget-making is not about making gadgets; its about imagining them. Someone else makes the imaginary real. All that money that used to go to fund infrastructure is going into design and innovation, says Flex CEO Michael Marks. Wired/11.2001 Slide 60 Better Red than Dead?/ Better Dead than Red? We will see more and more outsourcing of discovery processes. Craig Venter Slide 61 Better Red than Dead?/ Better Dead than Red? If we completely outsourced all of our genetic analysis, wed be held hostage by outside people. Brian Spear, Director of Pharmacogenomics, Abbott Labs Slide 62 NC2001: Furniture company outsources all mfg. to Asian firm. Asian firm gets financing, buys NC company. Hmmm!!?? Slide 63 Brand Inside Brand You: Distinct or Extinct Slide 64 If there is nothing very special about your work, no matter how hard you apply yourself, you wont get noticed, and that increasingly means you wont get paid much either. Michael Goldhaber, Wired Slide 65 Minimum New Work SurvivalSkillsKit2001 Mastery Rolodex Obsession (vert. to horiz. loyalty) Entrepreneurial Instinct CEO/Leader/Businessperson/Closer Mistress of Improv Sense of Humor Intense Appetite for Technology Groveling Before the Young Embracing Marketing Passion for Renewal Slide 66 Sams Secret #1! Slide 67 Minimum New Work SurvivalSkillsKit2001 Mastery Rolodex Obsession (vert. to horiz. loyalty) Entrepreneurial Instinct CEO/Leader/Businessperson/Closer Mistress of Improv Sense of Humor Intense Appetite for Technology Groveling Before the Young Embracing Marketing Passion for Renewal Slide 68 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? youll 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 Slide 69 Invent. Reinvent. Repeat. Source: HP banner ad Slide 70 Brand Inside Redefining the Work Itself: The WOW Project Slide 71 Reward excellent failures. Punish mediocre successes. Phil Daniels, Sydney exec Slide 72 Language matters! Wow! BHAG! Takes your breath away! Slide 73 Intimidate their [users] imaginations Wheres the revolution? J. Allard, on the Xbox Slide 74 Lets make a dent in the universe. Steve Jobs Slide 75 Wanted: ONE Architect A lean, elegant programming product must present to each of its users a coherent mental model of the application. The most important action is the commissioning of some one mind to be the projects architect, who is responsible for the conceptual integrity of all aspects of the product perceivable by the user. The architect forms and owns the mental model of the product that will be used to explain its use to the user. Frederick Brooks, Anniversary Edition of The Mythical Man-Month Slide 76 The Strategy: Demo mania! New Hall of Fame! Slide 77 Leaders aiming to change their world troll for & identify palpable heroes, who executed palpable projects then they point to these people and say to the masses, See, here it is, done by one of your own. (And then they deep-dip a few of those heroes to demo their seriousness.) Slide 78 Brand Inside Brand Action: Getting Started a Personal Perspective Slide 79 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. Slide 80 Topic: Boss-free Implementation of STM /Stuff That MATTERS! Slide 81 Worlds Biggest Waste Selling Up Slide 82 THE IDEA: Model F4 F ind a F ellow F reak F araway Slide 83 Heart of the Matter F2F!/K2K!/ 1@T/R.F!A.* *Freak to Freak/Kook to Kook/ One at a Time/ Ready.Fire!Aim. Slide 84 THE NUGGET Do Something. Do Anything. Get Going. Now. Slide 85 Opportunity ALWAYS Knocks VFCJ* Strategy *Volunteer For Crappy Jobs Slide 86 Is It The Oh-Hell-I-Wish-It-Were- Over Memorial Day picnic or The First Annual S eriously K ewl C elebration of Our Incredible Staff Slide 87 Is It Wrestle the damn Safety Manual into line with the ridiculous new OSHA Regs? Or A stealth opportunity to address the War for Talent via a thoroughgoing review of how safety and environmental issues contribute to making this a Great Place to Work? Slide 88 Reframers Rules: Rule 1: Never accept an assignment as given! (Please.) Rule 2: Youre never so powerful as when you are powerless! Rule 3: Every small project contains the entire enterprise DNA! Slide 89 BOTTOM LINE The Enemy! Slide 90 Joe J. Jones 1942 2001 HE WOULDA DONE SOME REALLY COOL STUFF BUT HIS BOSS WOULDNT LET HIM! Slide 91 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 Slide 92 Characteristics of the Also rans* Minimize risk Respect the chain of command Support the boss Make budget *Fortune, article on Most Admired Global Corporations Slide 93 Sales2001 Slide 94 The Sales25 : Great Salespeople 1. Know the product. (Find cool mentors, and use them.) 2. Know the company. 3. Know the customer. (Including the customers consultants.) (And especially the corporate culture.) 4. Love internal politics at home and abroad. 5. Religiously respect competitors. (No badmouthing, no matter how provoked.) 6. Wire the customers org. (Relationships at all levels & functions.) 7. Wire the home teams org. and vendors orgs. (INVEST Big Time time in relationships at all levels & functions.) (Take junior people in all functions to client meetings.) Slide 95 Great Salespeople 8. Never overpromise. (Even if it costs you your job.) 9. Sell only by solving problems-creating profitable opportunities. (Our product solves these problems, creates these unimagined INCREDIBLE opportunities, and will make you a ton of moneyheres exactly how.) (IS THIS A PRODUCT SALE OR A WOW-ORIGINAL SOLUTION YOULL BE DINING OFF 5 YEARS FROM NOW? THAT WILL BE WRITTEN UP IN THE TRADE PRESS?) 10. Will involve anybodyincluding mortal enemiesif it enhances the scope of the problem we can solve and increases the scope of the opportunity we can encompass. 11. Know the Brand Story cold; live the Brand Story. (If not, leave.) Slide 96 Great Salespeople 12. Think Turnkey. (Its always your problem!) 13. Act as orchestra conductor: You are responsible for making the whole-damn-network respond. (PERIOD.) 14. Help the customer get to know the vendors organization & build up their Rolodex. 15. Walk away from bad business. (Even if it gets you fired.) 16. Understand the idea of a good loss. (A bold effort thats sometimes better than a lousy win.) 17. Think those who regularly say Its all a price issue suffer from rampant immaturity & shrunken imagination. 18. Will not give away the store to get a foot in the door. 19. Are wary & respectful of upstartsthe real enemy. 20. Seek several cool customerswholl drag you into Tomorrowland. Slide 97 Great Salespeople 21. Use the word partnership obsessively, even though it is way overused. (Partnership includes folks at all levels throughout the supply chain.) 22. Send thank you notes by the truckload. (NOT E- NOTES.) (Most are for little things.) (50% of those notes are sent to those in our company!) Remember birthdays. Use the word we. 23. When you look across the table at the customer, think religiously to yourself: HOW CAN I MAKE THIS DUDE RICH & FAMOUS & GET HIM-HER PROMOTED? 24. Great salespeople can affirmatively respond to the query in an HP banner ad: HAVE YOU CHANGED CIVILIZATION TODAY? 25. Keep your bloody PowerPoint slides simple! Slide 98 Brand Inside Brand Talent: The Great War for Talent Slide 99 When land was the scarce resource, nations battled over it. The same is happening now for talented people. Stan Davis & Christopher Meyer, futureWEALTH Slide 100 The Talent Ten Slide 101 1. Obsession P.O.T.* = All Consuming *Pursuit of Talent Slide 102 Model 24/7: Sports Franchise GM Slide 103 2. Greatness Only The Best! Slide 104 From 1, 2 or youre out [JW] to Best Talent in each industry segment to build best proprietary intangibles [EM] Source: Ed Michaels, War for Talent (05.17.00) Slide 105 3. Performance Up or out! Slide 106 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 (05.17.00) Slide 107 Message: Some people are better than other people. Some people are a helluva lot better than other people. Slide 108 4. Pay Fork Over! Slide 109 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 (05.17.00) Slide 110 What gets measured gets done. What gets paid for gets done more. What gets paid a lot for gets done a lot more. Slide 111 5. Youth Grovel Before the Young! Slide 112 Why focus on these late teens and twenty- somethings? Because they are the first young who are both in a position to change the world, and are actually doing so. For the first time in history, children are more comfortable, knowledgeable and literate than their parents about an innovation central to society. The Internet has triggered the first industrial revolution in history to be led by the young. The Economist [12/2000] Slide 113 6. Diversity Mess Rules! Slide 114 Diversity defines the health and wealth of nations in a new century. Mighty is the mongrel. The hybrid is hip. The impure, the mlange, 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 Slide 115 7. Women Born to Lead! Slide 116 AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure Title, Special Report, Business Week, 11.20.00 Slide 117 The New Economy Shout goodbye to command and control! Shout goodbye to hierarchy! Shout goodbye to knowing ones place! Slide 118 Womens 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 Source: Judy B. Rosener, Americas Competitive Secret Slide 119 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 days events? Who is better at keeping in touch with others? Source: Selling Is a Womans Game: 15 Powerful Reasons Why Women Can Outsell Men, Nicki Joy & Susan Kane-Benson Slide 120 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 Slide 121 Its Girls, Stupid! 1996: 8.4M women, 6.7M men in college (est: 9.2 to 6.9 in 2007); more women than men in high-level math and science courses More girls in student govt., honor societies; girls read more books, outperform boys in artistic and musical ability, study abroad in higher numbers Boys do rule: crime, alcohol, drugs, failure to do homework (4:1) Source: The Atlantic Monthly (May2000) Slide 122 Okay, you think Ive gone tooooo far. How about this: DO ANY OF YOU SUFFER FROM TOO MUCH TALENT? Slide 123 63 of 2,500 top earners in F500 8% Big 5 partners 14% partners at top 250 law firms 43% new med students; 26% med faculty; 7% deans Source: Susan Estrich, Sex and Power Slide 124 Encouraging signs: CEO, HP. CEO, eBay. CEO, Avon. CEO, Mirant. CEO, Xerox. President, Pharmaceutical Group, Pfizer. President, Chevron Products. Co- CEO, Kraft. President, PepsiCo. CEO, Ogilvy & Mather. COO, Enron Americas. COO, Colgate-Palmolive. President, Southwest Airlines. Slide 125 8. Weird The Cracked Ones Let in the Light! Slide 126 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 Slide 127 Are there enough weird people in the lab these days? V. Chmn., pharmaceutical house, to a lab director (06.01) Slide 128 9. Opportunity Make It an Adventure! Slide 129 H.R. to H.E.D. ??? H uman E nablement D epartment Slide 130 10. Leading Genius We are all unique! Slide 131 Beware Lurking HR Types One size NEVER fits all. One size fits one. Period. Slide 132 48 Players = 48 Projects = 48 different success measures Slide 133 MantraM3 Talent = Brand Slide 134 Whats your companys EVP? Employee Value Proposition, per Ed Michaels et al., The War for Talent Slide 135 EVP = Challenge, professional growth, respect, satisfaction, opportunity, reward Source: Ed Michaels et al., The War for Talent Slide 136 Brand Inside Brand Talent+: The Education Fiasco Slide 137 Losing the War to Bismarck Slide 138 My wife and I went to a [kindergarten] parent-teacher conference and were informed that our budding refrigerator artist, Christopher, would be receiving a grade of Unsatisfactory in art. We were shocked. How could any childlet alone our childreceive a poor grade in art at such a young age? His teacher informed us that he had refused to color within the lines, which was a state requirement for demonstrating grade-level motor skills. Jordan Ayan, AHA! Jordan Ayan Slide 139 How many artists are there in the room? Would you please raise your hands. FIRST GRADE: En mass the children leapt from their seats, arms waving. Every child was an artist. SECOND GRADE: About half the kids raised their hands, shoulder high, no higher. The hands were still. THIRD GRADE: At best, 10 kids out of 30 would raise a hand, tentatively, self-consciously. By the time I reached SIXTH GRADE, no more than one or two kids raised their hands, and then ever so slightly, betraying a fear of being identified by the group as a closet artist. The point is: Every school I visited was participating in the suppression of creative genius. Gordon MacKenzie, Orbiting the Giant Hairball: A Corporate Fools Guide to Surviving with Grace Slide 140 J. D. Rockefellers General Education Board (1906): In our dreams people yield themselves with perfect docility to our molding hands. The task is simple. We will organize children and teach them in a perfect way the things their fathers and mothers are doing in an imperfect way. John Taylor Gatto, A Different Kind of Teacher Slide 141 An Unnatural Way to Learn Slide 142 Schools Kafka-like rituals: enforce sensory deprivation on classes of children held in featureless rooms sort children into rigid categories by the use of fantastic measures such as age-grading, or standardized test scores train children to drop whatever they are occupied with and to move as a body from room to room at the sound of a bell, buzzer, horn, or klaxon keep children under constant surveillance, depriving them of private time and space John Taylor Gatto, A Different Kind of Teacher Slide 143 Kafka-like rituals (cont.): assign children numbers constantly, feigning the ability to discriminate qualities quantitatively insist that every moment of time be filled with low- level abstractions forbid children their own discoveries, pretending to possess some vital secret to which children must surrender their active learning time to acquire. John Taylor Gatto, A Different Kind of Teacher Slide 144 Doing Stuff that Matters! Slide 145 During the first years of life, youngsters all over the world master a breathtaking array of competences with little formal tutelage. Howard Gardner, The Unschooled Mind Slide 146 The Learners Manifesto The brain is always learning. Learning does not require coercion. Learning must be meaningful. Learning is incidental. Learning is collaborative. The consequences of worthwhile learning are obvious. Learning always involves feelings. Learning must be free of risk. Frank Smith, Insult to Intelligence Slide 147 Toms Edu3M Manifesto* *Manifesto for Education in the 3 rd Millennium Slide 148 Education3M Learning is a normal state. Children are learnavores. Prodigious feats of learning are common as dirt. [Watch an H.S. QB studying game film.] We learn at different rates. We learn in different ways. Boys and girls learn [very] differently. In a class of 25, there are 25 different trajectories. Learning in 40-minutes blocks is bullshit. Learning for tests is utterly insane. There are numerous rigorous evaluation schemes, of which testing is but oneand abnormal, by real world standards. Slide 149 Education3M We learn most/fastest/most completely when we are passionate about what we are learning and it matters to us. [Salience rules!] Think EBI/LBI: Education by Interest/ Learning by Internship. Classrooms are abnormal places. We need changes of pace. [Japanese recesses between each class.] International test scores are not correlated with hours-per-year in class. Big classes are slightly problematic. Big schools suck. Period. Slide 150 Education3M All thisthe right stufffits the NWW/New World of Work hand-in-glove. [NWW = Age of Creativity.] U.S. schools circa 2001 are a vestige of the Prussian-Fordist model, more interested in shaping behavior than stoking the fires of lifelong learning. Cutting art-music budgets is truly dumb. Learning is a matter of Intensity of Engagement, not elapsed time. [Aargh: 11 minutes on the Battle of Gettysburg.] Teachers need enough space-time-flexibility to get to know kids as individuals. Scientific discovery processes and the teaching of science are utterly at odds. [Exploration vs. spoon-feeding.] Slide 151 Education3M Our toughest learning achievement mastering our native languagedoes not require schools, or even competent parents. [It does require a desperate need-to-know.] Great teachers are great learners, not imparters- of-knowledge. Great teachers ask great questionsthat launch kids on lifelong quests. The world is not about right & wrong answers; it is about the pursuit of increasingly sophisticated questionsjust ask a ski instructor or neurosurgeon. Slide 152 Education3M Most schools spend most of their time setting up contexts in which kids learn not to like particular subjects. [Evidence shows that such anti- learning sticks!] Vigorous exploration is normal until you are incarcerated in a school. Bite size education-learning is neither education nor learning. Learning takes place rapidly on the cheerleading squad, the football team, the school newspaper, the drama club, at the after-class job--just not in the hyper-structured classroom. Slide 153 Education3M The school reform movement is a giant step backwards embracing the Prussian-Fordist paradigm with renewed vigorat exactly the wrong time. There are large numbers of superb schools, superb principals, superb teachers; sadly, they not only fail to infect the [largely timid] rest, but are ordinarily supplanted by wusses & wimps. Alas, the teaching profession does not ordinarily attract cool dudes & dudettes. Schools of education should by and large have their charters revoked. Slide 154 Education3M Stability is dead; education must therefore educate for an unknowable, ambiguous, changing future; thence, learning to learn & change is far more important than mastery of a static body of facts. Education must develop in youth the capabilities for engaging in intense concentrated involvement in an activity. [James Coleman, 1974.] [Hint: It doesnt.] [Hint: Understatement.] Slide 155 Brand Inside Reprise: THINK WEIRD: The High Standard Deviation Enterprise Slide 156 Saviors-in-Waiting Disgruntled Customers Off-the-Scope Competitors Rogue Employees Fringe Suppliers Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees Slide 157 CUSTOMERS: Future- defining customers may account for only 2% to 3% of your total, but they represent a crucial window on the future. Adrian Slywotzky, Mercer Consultants Slide 158 COMPETITORS: The best swordsman in the world doesnt need to fear the second best swordsman in the world; no, the person for him to be afraid of is some ignorant antagonist who has never had a sword in his hand before; he doesnt do the thing he ought to do, and so the expert isnt prepared for him; he does the thing he ought not to do and often it catches the expert out and ends him on the spot. Mark Twain Slide 159 Employees: Are there enough weird people in the lab these days? V.Chmn., pharmaceutical house, to a lab director (06.01) Slide 160 Suppliers: There is an ominous downside to strategic supplier relationships. An SSR supplier is not likely to function as any more than a mirror to your organization. Fringe suppliers that offer innovative business practices need not apply. Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees Slide 161 The Top Creators of Shareholder Value Accept depressed earnings for several quarters to support hot product Expense rather than capitalize new venture costs Bonuses without caps Source: Fortune (09.17.201) Slide 162 Message: TAKE SOMEONE NEW & WEIRD TO LUNCH TODAY OR TOMORROW. [Inundate yourself with weird.] Slide 163 Brand Inside NewGov2001 Slide 164 WE NEED IDEAS! Slide 165 Ideas > Leadership Slide 166 NO: Good govt YES: EFFECTIVE Govt (in altered/ambiguous times) Slide 167 A Plea for virtual [RESPONSIVE] government Slide 168 Agile. Slide 169 WALLS MUST FALL! Slide 170 The W.O.G. (Work-of- Government): Insta/ Targeted WOW (B.H.A.G.) Project Teams (with clout) Slide 171 Experiments rule! Slide 172 Failures rule! Slide 173 Talent matters! Slide 174 New Heroes/ Hall of Fame Slide 175 IS/IT to the Max! Slide 176 Streamlined procurement (esp. IS/IT) Slide 177 P.S.: The CONSTITUTION matters! (Life, liberty & the pursuit of happinessand the Bill of Rights) REPRESENTATIVE GOVT matters. (Filter the worst of mass sentimentsHobbes rules) Slide 178 Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership Slide 179 Forces @ Work II The Sameness Trap Slide 180 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 Slide 181 We make over three new product announcements a day. Can you remember them? Our customers cant! Carly Fiorina Slide 182 The surplus society has a surplus of similar companies, employing similar people, with similar educational backgrounds, coming up with similar ideas, producing similar things, with similar prices and similar quality. Kjell Nordstrom and Jonas Ridderstrale, Funky Business Slide 183 Companies have defined so much best practice that they are now more or less identical. Jesper Kunde, A Unique Moment Slide 184 10X/10X Slide 185 Brand Outside Strategy 1A : Use E-Commerce to Re-invent Everything! Slide 186 Dells OptiPlex Facility Big Job: 6 to 8 hours. (80,000 per day) Parts Inventory: 100 square feet. Slide 187 Cisco! 90% of $20B (=$50M/day) Annual savings in service and support from customer self-management: $550M (P.S.: C.Sat e >> C.Sat h) Slide 188 Secret Cisco: Community! Customer Engineer Chat Rooms/Collaborative Design ($1B free consulting) (45,000 customer problems a week solved via customer collaboration) Slide 189 Webcor. Construction. Web site for each project. Instant info on status to employees, subs, architects. Mgt costs cut by 2/3rds. Huge time shrinkage. Source: Business Week (09.00) Slide 190 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 Slide 191 Psych 101: Strongest Force on Earth? My need to be in perceived control of my universe! Slide 192 WebWorld = Everything Web as a way to run your business innards Web as connector for your entire supply-demand chain Web as spiders 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 Life Web = Everything (P.D. to after-sales) Web forces you to focus on what you do best Web as entre, at any size, to Worlds Best at Everything as next door neighbor Slide 193 Message: eCommerce is not a technology play! It is a relationship, partnership, organizational and communications play, made possible by new technologies. Slide 194 Slide 195 Message: There is no such thing as an effective B2B or Internet-supply chain strategy in a low-trust, bottlenecked- communication, six-layer organization. Slide 196 Ebusiness is about rebuilding the organization from the ground up. Most companies today are not built to exploit the Internet. Their business processes, their approvals, their hierarchies, the number of people they employ all of that is wrong for running an ebusiness. Ray Lane, Kleiner Perkins Slide 197 Jargon Bath! Bureaucracy free Systemically integrated Internet intense Knowledge based Time and location free Instantly responsive Customer centric Mass customization enabled. Slide 198 Translation Bureaucracy free = Flat org, no B.S. Systemically integrated = Whole supply chain tightly wired/ friction free Internet intense = Do it all via the Web Knowledge based = Open access Time and location free = Whenever, wherever Instantly responsive = Speed demons Customer centric = Customer calls the shots Mass customization enabled = Every product and service rapidly tailored to client requirements Slide 199 Theres no use trying, said Alice. One cant believe impossible things. I daresay you havent had much practice, said the Queen. When I was your age, I always did it for half an hour a day. Why, sometimes Ive believed as many as six impossible things before breakfast. Lewis Carroll Slide 200 Inet allows you to dream dreams you could never have dreamed before! Slide 201 Case: CRM Slide 202 UBIQUITY! Its the cars, not the tires, that squeal: NYT/Circuits/10.25.01): E-ZPass (6M in NE), tests with McDs, gas stations and parking lots next. OnStar (GM/1.5M). Plus: black boxes, GPS (the case of the $450 ticket), CA smog offenders. Slide 203 CRM has, almost universally, failed to live up to expectations. -- Butler Group (UK) Slide 204 No! No! No! FT: The aim [of CRM] is to make customers feel as they did in the pre- electronic age when service was more personal. Rebuttal: (1) Service sucked in the pre-electronic age. (2) NewGen believes in the screen! (So do I.) Slide 205 One Persons Opinion 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 & accurate digital response: 11 on a scale of 10!! Slide 206 M. Rogers: -5% defections = +25% to +85% profit. Lose 15% to 35% p.a. 69% defect as a result of lousy sales or service experience. (Q:But is this the point???? A: Yes. No.) Slide 207 CGE&Y (Paul Cole): Pleasant Transaction vs. Systemic Opportunity. Better job of what we do today vs. Re- think overall enterprise strategy. Slide 208 Customer Service is DEAD. One-to-One is DEAD. Welcome to: ???? [??? = We live together in seamless- responsive harmony with all Members of the Value Chain. We Create together. We Fulfill together. We Learn together. We Adjust together. All old categories which imply separation and linearity and hierarchy and do-it-to-themism must die.] Slide 209 Inet allows you to dream dreams you could never have dreamed before! Slide 210 Message CRM: Madness = 600 CRM vendors. ???: Do it all or do something. Past: over-invest in low- value customers. Idea: better experience, not off-load work to customer. Relationship = f(dialogue & knowledge & duration). Key: new attitudes, DESTRUCTION of functional barriers to info & action. Slide 211 Brand Outside Strategy 1B : Embracing an e-Led Age of Self-Determination Slide 212 Parents, doctors, stockbrokers, even military leaders are starting to lose the authority they once had. There are all these roles premised on access to privileged information. What we are witnessing is a collapse of that advantage, prestige and authority. Michael Lewis, next Slide 213 Anne Busquet/ American Express Not: Age of the Internet Is: Age of Customer Control Slide 214 Amen! The Age of the Never Satisfied Customer Regis McKenna Slide 215 Impact #1: Healthcare Slide 216 HealthCare2001 Consumerism X Demographics X IS/Internet X Info Consolidators X Genetics & Devices = YIKES! Slide 217 1. Consumerism (Patient- centric Healthcare) Slide 218 A seismic shift is underway in healthcare. The Internet is delivering vast knowledge and new choices to consumersraising their expectations and, in many cases, handing them the controls. [Healthcare] consumers are driving radical, fundamental change. Deloitte Research, Winning the Loyalty of the eHealth Consumer Slide 219 Todays Healthcare Consumer: skeptical and demanding Source: Ian Morrison, Healthcare in the New Millennium Slide 220 Consumer Imperatives Choice Control (Self-care, Self-management) Shared Medical Decision-making Customer Service Information Branding Source: Institute for the Future Slide 221 Consumerism: HMO backlash (e.g., plans with more choice). Alternative Medicine, Wellness & Prevention. Info availability (disease, health, docs, support groups, outcomes). Self-care (chronic disease). High expectations (genetics, etc.) Boomers (see below). Slide 222 He shook me up. He put his hand on my shoulder, and simply said, Old friend, you have got to take charge of your own medical care. Hamilton Jordan, No Such Thing as a Bad Day (on a conversation with a doctor pal, following Jordans cancer diagnosis) Slide 223 Savior for the Sick vs. Partner for Good Health Source: NPR/VPR 08.15.00 Slide 224 Make time for your most important asset. Your health. Ad for Mayo Clinic Executive Health Program/Jacksonville, Orlando Airport Slide 225 2. Demographics : The BOOMERS Reach 55! Slide 226 Boomer World From jogging to plastic surgery, from vegetarian diets to Viagra, they are fighting to preserve their youth and defy the effects of gravity. M.W.C. Howgill, Healthcare Consumerism, the Information Revolution and Branding Slide 227 Message Boomer: (1) There are l-o-t-s of us. (2) We have the $$$$$$. (3) Were/ Im in charge! (4) Well take no guff from anyone. (5) We know the emperor has no clothes. Slide 228 3. The IS/Web REVOLUTION Slide 229 Were in the Internet age, and the average patient cant email their doctor. Donald Berwick, Harvard Med School Slide 230 Henry Lowe, U. of Pitt. School of Medicine: Broadband, Internet-based, multimedia electronic medical records Slide 231 Without being disrespectful, I consider the U.S. healthcare delivery system the largest cottage industry in the world. There are virtually no performance measurements and no standards. Trying to measure performance is the next revolution in healthcare. Richard Huber, former CEO, Aetna Slide 232 As unsettling as the prevalence of inappropriate care is the enormous amount of what can only be called ignorant care. A surprising 85% of everyday medical treatments have never been scientifically validated. For instance, when family practitioners in Washington were queried about treating a simple urinary tract infection, 82 physicians came up with an extraordinary 137 strategies. Demanding Medical Excellence: Doctors and Accountability in the Information Age, Michael Millenson Slide 233 In health care, geography is destiny. Dartmouth Medical School 1996 report, from Demanding Medical Excellence: Doctors and Accountability in the Information Age, Michael Millenson Slide 234 Practice variation is not caused by bad or ignorant doctors. Rather, it is a natural consequence of a system that systematically tracks neither its processes nor its outcomes, preferring to presume that good facilities, good intentions and good training lead automatically to good results. Providers remain more comfortable with the habits of a guild, where each craftsman trusts his fellows, than with the demands of the information age. Michael Millenson, Demanding Medical Excellence Slide 235 CDC 1998: 90,000 killed and 2,000,000 injured from nosocomial [hospital-caused] drug errors & infections Slide 236 Patient by patient, problem by problemdrug reactions, hospital caused infectionsSalt Lake Citys LDS Hospital has attacked treatment- caused injuries and deaths. One of the secrets of LDSs success is a custom- built clinical computer system that may serve as a national model for how to save patient lives. Demanding Medical Excellence: Doctors and Accountability in the Information Age, Michael Millenson Slide 237 Tufts Health to issue doctor report cards Boston Globe 10.25.2001 Slide 238 4. Information Consolidators: The Network Maestros Slide 239 America has twice as many hospitals and physicians as it needs. Med Inc., Sandy Lutz, Woodrin Grossman & John Bigalke Slide 240 WebMD (or heirs & assigns) Slide 241 5. Genetics & Devices Slide 242 Recognizing that a single misspelled gene means the difference between being poisoned and being cured was the first victory for the new science of pharmacogenetics. Newsweek (06.25.01) Slide 243 Pharmacogenomics could fundamentally change the nature of drug discovery and marketing, rendering obsolete the pharmaceutical industrys practice of spending vast amounts of time and money to craft a single medicine with mass-market appeal. The Industry Standard (05.28.01) Slide 244 BIG DRUG MAKERS TRY TO POSTPONE CUSTOM REGIMENS. Most drugs dont work well for about half the patients for whom they are prescribed, and experts believe genetic differences are part of the reason. The technology for genetic testing is now in use. But the technique threatens to be so disruptive to the business of big drug companies it could limit the market for some of their blockbuster products that many of them are resisting its widespread use. The Wall Street Journal (06.18.2001) Slide 245 There is no question in my mind that the future of heart surgery is in robotics. Dr. Robert Michler, OSU Med Center, upon the FDAs approval of robotic partial- bypass surgery Slide 246 Golden Age of Patient-centric, Genetics- driven Healthcare Looms! Current status: $1.3T. 70M uninsured. 90K killed and 2M injured p.a. in hospitals. 85% treatments unproven. Cure depends on locale in which treated. 50% prescriptions not work. 2X docs. 2X hospitals. IS primitive. Accountability & measurement nil. And everybodys mad and feels powerless: docs, patients, nurses, insurers, employers, hospital administrators and staff. Slide 247 Message: Embrace R & R [radical and rapid] Change or Become Historys Footnote Slide 248 Brand Outside Strategy 2A : Women Rule! Slide 249 ????????? Home Furnishings 94% Vacations 92% Houses 91% Consumer Electronics 51% Cars 60% (90%) All consumer purchases 83% Bank Account 89% Health Care 80% Slide 250 ???? 80% Slide 251 Riding Lawnmowers Slide 252 2/3rds working women/ 50+% working wives > 50% 80% checks 61% bills 53% stock (mutual fund boom) 43% > $500K 95% financial decisions/ 29% single handed Slide 253 $4.8T > Japan 9M/27.5M/$3.6T > Germany Slide 254 New golfers 37% Basketball 13.5M 1 in 27 (70) 1 in 3 (96) Slide 255 1874? Slide 256 1874 Jock Strap 1977 Jogbra 1977... 25K 1996 42 M Slide 257 Yeow! 1970 1% 2002 50% Slide 258 OPPORTUNITY NO. 1! * [* No shit!] Slide 259 Carol Gilligan/ In a Different Voice Men: Get away from authority, family Women: Connect Men: Self-oriented Women: Other-oriented Men: Rights Women: Responsibilities Slide 260 FemaleThink/ Popcorn Men and women dont think the same way, dont communicate the same way, dont buy for the same reasons. He simply wants the transaction to take place. Shes interested in creating a relationship. Every place women go, they make connections. Slide 261 Men seem like loose cannons. Men always move faster through a stores aisles. Men spend less time looking. They usually dont like asking where things are. Youll see a man move impatiently through a store to the section he wants, pick something up, and then, almost abruptly hes ready to buy. For a man, ignoring the price tag is almost a sign of virility. Paco Underhill, Why We Buy* (*Buy this book!) Paco Underhill Slide 262 Read This: Barbara & Allan Peases Why Men Dont Listen & Women Cant Read Maps Slide 263 It is obvious to a woman when another woman is upset, while a man generally has to physically witness tears or a temper tantrum or be slapped in the face before he even has a clue that anything is going on. Like most female mammals, women are equipped with far more finely tuned sensory skills than men. Barbara & Allan Pease, Why Men Dont Listen & Women Cant Read Maps Slide 264 Resting State: 30%, 90%: A woman knows her childrens friends, hopes, dreams, romances, secret fears, what they are thinking, how they are feeling. Men are vaguely aware of some short people also living in the house. Barbara & Allan Pease, Why Men Dont Listen & Women Cant Read Maps Slide 265 As a hunter, a man needed vision that would allow him to zero in on targets in the distance whereas a woman needed eyes to allow a wide arc of vision so that she could monitor any predators sneaking up on the nest. This is why modern men can find their way effortlessly to a distant pub, but can never find things in fridges, cupboards or drawers. Barbara & Allan Pease, Why Men Dont Listen & Women Cant Read Maps Slide 266 Female hearing advantage contributes significantly to what is called womens intuition and is one of the reasons why a woman can read between the lines of what people say. Men, however, shouldnt despair. They are excellent at imitating animal sounds. Barbara & Allan Pease, Why Men Dont Listen & Women Cant Read Maps Slide 267 Read This Book EVEolution: The Eight Truths of Marketing to Women Faith Popcorn & Lys Marigold Faith Popcorn Slide 268 EVEolution: Truth No. 1 Connecting Your Female Consumers to Each Other Connects Them to Your Brand Slide 269 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 Slide 270 Women dont buy brands. They join them. EVEolution Slide 271 What If 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 todays skills? EVEolution Slide 272 Not!! Year of the Woman Slide 273 Enterprise Reinvention! Recruiting Hiring/Rewarding/Promoting Structure Processes Measurement Strategy Culture Vision Leadership THE BRAND ITSELF! Slide 274 Honey, are you sure you have the kind of money it takes to be looking at a car like this? Slide 275 27 March 2000: email to TP from Shelley Rae Norbeck I make 1/3 rd more money than my husband does. I have as much financial pull in the relationship as he does. Id say this is also true of most of my women friends. Someone should wake up, smell the coffee and kiss our asses long enough to sell us something! We have money to spend and nobody wants it! Slide 276 STATEMENT OF PHILOSOPHY: I am a businessperson. An analyst. A pragmatist. The enormous social good of increased womens power is clear to me; but it is not my bailiwick. My game is haranguing business leaders about my fact-based conviction that womens 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 Alto resident THIS IS EVEN BIGGER THAN THE INTERNET! Tom Peters Slide 277 If we are single, they say we couldnt catch a man. If we are married, they say we are neglecting him. If we are divorced, they say we couldnt keep him. If we are widowed, they say we killed him. Kathleen Brown, on the joys of female political candidacy Slide 278 Stupid! Slide 279 Ad from Furniture /Today (04.01): MEET WITH THE EXPERTS!: How Retailings Most Successful Stay that Way Presenting Experts: M = 16 ; F = ?? (94% = 272) Slide 280 0 Slide 281 The Furniture Industry doesnt understand BRANDING doesnt understand FASHION doesnt understand WOMEN doesnt understand SPEED & RESPONSIVENESS & VALUE-ADDED SERVICES doesnt understand EXCITING RETAIL PRESENTATION & EXPERIENCE MARKETING. And is run by old, conservative white guys who dont even understand what they dont understand. Slide 282 Prescription SHE is the Consumer. (PERIOD.) SHE is the Brand. (PERIOD.) 75% women designers* (*Men CANNOT design for women. PERIOD.) 75% women reps. Cool retail spaces in high-rent districts (a la Ethan Allen). Match furniture with accessories i.e., create an experience. FOCUS ON RELATIONSHIPS-FOR-LIFE, not transactions. Slide 283 Brand Outside Strategy 2B : Welcome to Old World! Slide 284 Age Power will rule the 21 st century, and we are woefully unprepared. Ken Dychtwald, Age Power: How the 21 st Century Will Be Ruled by the New Old Slide 285 Subject: Marketers & Stupidity Its 18-44, stupid! Slide 286 Subject: Marketers & Stupidity Or is it: 18-44 is stupid, stupid! Slide 287 2000-2010 Stats 18-44: -1% 55+: +21% (55-64: +47%) Slide 288 NOT ACTING THEIR AGE : As Baby Boomers Zoom into Retirement, Will America Ever Be the Same? USN&WR Cover/06.01 Slide 289 Member Growth: 1987 1997 18 34: 26% 35 49: 63% 50+: 118% Source: IHRSA Slide 290 Aging/Elderly $$$$$$$$$$$$ Im in charge! Slide 291 50+ $7T wealth (70%)/$2T annual income 50% all discretionary spending 79% own homes/40M credit card users 41% new cars/48% luxury $610B healthcare spending/74% prescription drugs 5% of advertising targets Ken Dychtwald, Age Power: How the 21 st Century Will Be Ruled by the New Old Slide 292 Stupid! Slide 293 Brand Outside Strategy 2C : Welcome to Green World! Slide 294 And #3: GREEN ?????: 50% to 36%: Protect Environment > Economic Growth. 58% to 34%: Protect Plants & Animals > Preserve Private Property Rights. Slide 295 E.g.: Genetically Altered Food Would eat: M, 71%; F, 50% Give to children: M, 59%; F, 37% Pay more for non-altered: M, 35%; F, 47% Source: www.pulse.org & USA Today Slide 296 No : Target Marketing Yes : Target Innovation & Target Delivery Systems Slide 297 Brand Outside Strategy 3A : Design Matters! Slide 298 Unconventional [Design] Messages Not about... Lumpy Objects! Not about... $79,000 objects Slide 299 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 Slide 300 Unconventional [Design] Messages Not about... Lumpy Objects! Not about... $79,000 objects Slide 301 Design Transforms even the [Biggest] Corporations! TARGET the champion of Americas new design democracy (Time) Marketer of the Year 2000 (Advertising Age) Slide 302 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 Slide 303 We dont have a good language to talk about this kind of thing. In most peoples 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 Slide 304 Design is WHAT & WHY I LOVE. LOVE. Slide 305 I LOVE my ZYLISS Garlic Peeler! Slide 306 Design is WHY I GET MAD. MAD. Slide 307 Wanted: THE DESIGNER OF MY RADIO SHACK PHONE. Major Reward! Slide 308 Design is never neutral. Slide 309 Hypothesis: DESIGN is the principal difference between love and hate! Slide 310 THE BASE CASE: I am a design fanatic. Personally, though not artistic, Im 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 doesnt. Furthermore, its one of those things that damn few companies put consistently on the front burner. Slide 311 Message: Men cannot design for womens needs. Period. Slide 312 Philippe Starck Slide 313 Today the problem is not how to produce more to sell more. The fundamental question is that of the products right to exist. And it is the designers right and duty to question the legitimacy of the product. Philippe Starck Slide 314 My main task when I was artistic director at Thompson for four years: to make the company virtuous. Not because there was a desire to do evil, but because they had simply forgotten their purpose in lifeto be of service. Philippe Starck Slide 315 I invented the slogan Thompson: From Technology to Love. That completely repositioned the problem. Because now we were saying that technology wasnt an end in itself, but just a meansand that the real goal was what had always been there, the original priority, humanity, whose ultimate criterion is love. That connects back to the idea of the friendly object, the good object. Philippe Starck Slide 316 [At Thompson] I outlawed the word consumer in all company meetings, and insisted it be replaced by the words my friend, my wife, my daughter, my mother, or myself. It doesnt sound the same at all, if you say: It doesnt matter, its shit, but the consumers will make do with it, or if you start over again and say, Its shit, but it doesnt matter, my daughter will make do with it. All of a sudden, you cant get away with it anymore. There is an enormous task to be done with this kind of symbolic repositioning. Philippe Starck Slide 317 Today, 80 per cent of objects are unnecessarily macho. Yet it is plain: The intelligence of a truly modern society must be feminine. Apart from a machine pistol, I cant think of many objects which actually need to be extravagantly masculine. Philippe Starck Slide 318 Brand Outside Strategy 3B : Its the Experience! Slide 319 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 Slide 320 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 thats not work or home. Its the place our customers come for refuge. Nancy Orsolini, District Manager Slide 321 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 Slide 322 The Experience Ladder Experiences Services Goods Raw Materials Slide 323 1940: Cake from flour, sugar (raw materials economy): $1.00 1955: Cake from Cake mix (goods economy): $2.00 1970: Bakery-made cake (service economy): $10.00 1990: Party @ Chuck E. Cheese (experience economy) $100.00 Slide 324 Message: Experience is the Last 80% P.S.: Experience applies to all work! Slide 325 1940: Cake from flour, sugar (raw materials economy): $1.00 1955: Cake from Cake mix (goods economy): $2.00 1970: Bakery-made cake (service economy): $10.00 1990: Party @ Chuck E. Cheese (experience economy) $100.00 Slide 326 Bob Lutz: (1) I see us as being in the art business. Art, entertainment and mobile sculpture, which, coincidentally, also happens to provide transportation. (2) Focus groups can be misleading. (What did you like about that movie you just saw? Was there enough violence? Was the car chase long enough?) (3) Design must be Priority No. 1. Source: NYT 10.19.01 Slide 327 Brand Outside Strategy 4 : BRAND POWER! Slide 328 WHO ARE YOU [these days] ? TP to Client Slide 329 Most companies tend to equate branding with the companys marketing. Design a new marketing campaign and, voila, youre on course. They are wrong. The task is much bigger. It is about fulfilling our potential not about a new logo, no matter how clever. WHAT IS MY MISSION IN LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW DO I MAKE SURE THAT WHAT I HAVE TO OFFER THE WORLD IS ACTUALLY UNIQUE? The brand has to give of itself, the company has to give of itself, the management has to give of itself. To put it bluntly, it is a matter of whether or not you want to be UNIQUE NOW. Jesper Kunde, A Unique Moment Jesper Kunde Slide 330 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 Slide 331 Brand Promise Exercise: (1) Who Are WE? (poem/novella/song, then 25 words.) (2) List three ways in which we are UNIQUE to our Clients. (3) Who are THEY (competitors) ? (ID, 25 words.) (4) List 3 distinct us/them differences. (5) Try results on your teammates. (6) Try em on a friendly Client. (7) Big Enchilada: Try em on a skeptical Client! Slide 332 1 st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/One Great Thing. Source #1: Personal Passion) 2 ND Law: REAL REASON TO BELIEVE (Stand & Deliver!) 3 RD Law: DRAMATIC DIFFERENCE (Execs Dont Get It: See the next slide.) Source: Jump Start Your Business Brain, Doug Hall Slide 333 2 Questions How likely are you to purchase this new product or service? (95% to 100% weighting by execs) How unique is this new product or service? (0% to 5%*) *No exceptions in 20 years Doug Hall, Jump Start Your Business Brain Slide 334 Message: Branding is B.S. long- term if the product is not supercalifragilisticexpealidocious (e.g., see sections on Design & Experience above) Slide 335 The Heart of Branding Slide 336 WHO ARE WE? Slide 337 WHATS OUR STORY? Slide 338 EXACTLY HOW ARE WE DRAMATICALLY DIFFERENT? Slide 339 WHY DOES IT MATTER TO THE CLIENT? Slide 340 EXACTLY HOW DO I PASSIONATELY CONVEY THAT DIFFERENCE TO THE CLIENT Slide 341 Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership Slide 342 The Leadership50 Leading in Totally Screwed Up Times Slide 343 The Leadership 50 Slide 344 1. Leaders Cede Control. Slide 345 I dont know. Slide 346 1A. Leaders Try Not to Screw Things Up Slide 347 Ninety percent of what we call management consists of actions that make it difficult for people to get things done. P.D. My goal is not to motivate them. Its to not de-motivate em. N.D. fball coach Slide 348 1B. Leadership Is a Mutual Discovery Process. Slide 349 I am inalterably opposed to organization change, empowerment, motivation. The goal: to awaken the latent talent already within, by providing opportunities worthy of the individuals investment of her or his most precious resources time and emotional commitment. Slide 350 Leaders-Teachers Do Not Transform People! Instead leaders-mentors-teachers (1) provide a context which is marked by (2) access to a luxuriant portfolio of meaningful opportunities (projects) which (3) allow people to fully (and safely, mostlycaveat: they dont engage unless theyre mad about something) express their innate curiosity and (4) engage in a vigorous discovery voyage (alone and in small teams, assisted by an extensive self-constructed network) by which those people (5) go to-create places they (and their mentors-teachers- leaders) had never dreamed existedand then the leaders-mentors-teachers (6) applaud like hell, stage photo-ops, and ring the church bells 100 times to commemorate the bravery of their followers explorations! Slide 351 2. Great Leaders on Snorting Steeds Are Important but Great Managers/Talent Developers (Type I Leadership) are the Bedrock of Organizations that Perform Over the Long Haul. Slide 352 Whoops: Jack didnt have a vision! Slide 353 25/8/53 Slide 354 2A. Just One: Great Leading = Great Mentoring. Slide 355 T.A.: 3 Slide 356 Goal of the Year No. 1*: Find- Develop-Mentor ONE Extraordinary Person. *CEO, large financial advisory firm, April 2001 Slide 357 3. But Then Again, There Are Times When This Cult of Personality (Type II Leadership) Stuff Actually Works! Slide 358 A leader is a dealer in hope. Napoleon Slide 359 4. Find the Businesspeople! (Type III Leadership) Slide 360 I.P.M. (Inspired Profit Mechanic) Slide 361 4A. All Organizations Need the Golden Leadership Triangle. Slide 362 The Golden Leadership Triangle: (1) Creator- Inventor-Visionary (2) Talent Fanatic (3) Inspired Profit Mechanic. Slide 363 Project Team Golden Triangle (1) Champion-Maniac. (2) Implementer-Pol. (3) Schedule & Budgets Fanatic. Slide 364 5. Leadership Mantra #1: IT ALL DEPENDS! Slide 365 Renaissance Men are a snare, a myth, a delusion! Slide 366 6. The Leader Is Rarely/Never the Best Performer. Slide 367 33 Division Titles. 26 League Pennants. 14 World Series: Earl Weaver0. Tom Kelly0. Jim Leyland0. Walter Alston1AB. Tony LaRussa132 games, 6 seasons. Tommy LasordaP, 26 games. Sparky Anderson1 season. Slide 368 7. Leaders LOVE the MESS! Slide 369 If things seem under control, youre just not going fast enough. Mario Andretti Slide 370 7A. Leadership Is Improv! Slide 371 Duct Tape Rules! Andrew Higgins, who built landing craft in WWII, refused to hire graduates of engineering schools. He believed that they only teach you what you cant do in engineering school. He started off with 20 employees, and by the middle of the war had 30,000 working for him. He turned out 20,000 landing craft. D.D. Eisenhower told me, Andrew Higgins won the war for us. He did it without engineers. Stephen Ambrose/Fast Company Slide 372 7B. Leaders Groove on AMBIGUITY! Slide 373 Most of our predictions are based on very linear thinking. Thats why they will most likely be wrong. Vinod Khosla, in GIGATRENDS, Wired 04.01 Slide 374 8. Leaders DO! Slide 375 The Kotler Doctrine: 1965-1980: R.A.F. (Ready.Aim.Fire.) 1980-1995: R.F.A. (Ready.Fire!Aim.) 1995-????: F.F.F. (Fire!Fire!Fire!) Slide 376 [ ISOE #1: A Bias for Action] Slide 377 8A. Leaders Re -do. Slide 378 If Microsoft is good at anything, its avoiding the trap of worrying about criticism. Microsoft fails constantly. Theyre eviscerated in public for lousy products. Yet they persist, through version after version, until they get something good enough. Then they leverage the power theyve gained in other markets to enforce their standard. Seth Godin, Zooming Seth Godin Slide 379 Sony Electronics has a well- earned reputation for persistence. The companys first entry into a new field often isnt very good. But, as it has shown in laptops, Sony will keep trying until it gets it right. Business Week (5/01) Slide 380 8B. Leaders Are PLAYFUL. Slide 381 You cant 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 Michael Schrage Slide 382 Axiom: Never trust a boss with no toys in his/her office! Slide 383 9. BUT Leaders Know When to Wait. Slide 384 Tex Schramm: The too hard box! Slide 385 Axioms: (1) Pick your battles carefully. (2) Sometimes inaction promotes sorting out & preserves options. Slide 386 10. Leaders DELIVER! Slide 387 10A. Leaders KNOW They Can Make a Difference! Slide 388 Leaders dont want to win. Leaders need to win. #49 Slide 389 10B. Leaders Are Optimists. Slide 390 Half-full Cups: [Ronald Reagan] radiated an almost transcendent happiness. Lou Cannon, George (08.2000) Slide 391 11. BUT Leaders Are Realists/Leaders Win Through LOGISTICS! Slide 392 The Gus Imperative! Slide 393 12. Leaders FOCUS! Slide 394 To Dont List Slide 395 Leaders dump the ones who brung em Nokia, HP, 3M, PerkinElmer, Corning, Enron, etc. Slide 396 Cortez! Slide 397 13. Leaders Trust in TRUST ! Slide 398 Credibility ! Slide 399 13A. Leaders Infuse the Dreaded-All Important Evaluation Process with CREDIBILITY! Slide 400 25 = 100 Slide 401 Talent-minded leaders: (1) treat the evaluation process strategically ; (2) invest enormous amounts of personal time in it (to give it credibility & amass data); (3) depend on dialogue & plain English, not obscure, standardized instruments. Slide 402 14. Leaders Understand the Ultimate Power of RELATIONSHIPS. Slide 403 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, Americas Competitive Secret Judy Rosener Slide 404 14B. Leaders Wire the Joint! Slide 405 Winners wire. Losers are slaves to rank. Slide 406 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 days events? Who is better at keeping in touch with others? Source: Selling Is a Womans Game: 15 Powerful Reasons Why Women Can Outsell Men, Nicki Joy & Susan Kane-Benson Slide 407 14C. Leaders Are Natural EMPOWERMENT FREAKS! Slide 408 15. Leaders Know Women Roar/ Women Rule. Slide 409 AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure Title, Special Report, Business Week, 11.20.00 Slide 410 Womens 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, Americas Competitive Secret Slide 411 Boys are trained in a way that will make them irrelevant. Phil Slater Slide 412 15A. Oh Yeah and Women Buy All the Stuff Slide 413 $4.8T > Japan 9M/27.5M/$3.6T > Germany Slide 414 16. Leaders LOVE RAINBOWS for Pragmatic Reasons. Slide 415 Diversity defines the health and wealth of nations in a new century. Mighty is the mongrel. The hybrid is hip. The impure, the mlange, 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 Slide 416 16A. Leaders Pursue Poets! Slide 417 Gardners MI7: Logical- mathematical, Linguistic, Spatial, Musical, Bodily-kinesthetic, Interpersonal, Intrapersonal. Slide 418 Expose yourself to the best things humans have done, and then try to bring those things into what youre doing. Steve Jobs Slide 419 17. Leaders FORGET!/ Leaders DESTROY! Slide 420 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 Innovators Dilemma Slide 421 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 Slide 422 The [New] G e Way DYB.com Slide 423 The Word(s) on Vitality: Gary Hamel Sell By [jettison old crap] Spin Out [support entrepreneurs] Spin In [buy young firms] Slide 424 18. BUT Leaders Have to Deliver, So They Worry About Throwing the Baby Out with the Bathwater. Slide 425 Damned If You Do, Damned If You Dont, 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) Slide 426 19. Leaders HONOR THE USURPERS. Slide 427 Saviors-in-Waiting Disgruntled Customers Upstart Competitors Rogue Employees Fringe Suppliers Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees Slide 428 20. Leaders HANG OUT WITH FREAKS! Slide 429 Message: TAKE SOMEONE NEW & WEIRD TO LUNCH TODAY OR TOMORROW. [Inundate yourself with weird.] Slide 430 21. Leaders Make [Lotsa] Mistakes and MAKE NO BONES ABOUT IT! Slide 431 Sams Secret #1! Slide 432 Fail faster. Succeed sooner. David Kelley/IDEOIDEO Slide 433 22. Leaders Make BIG MISTAKES! Slide 434 Reward excellent failures. Punish mediocre successes. Phil Daniels, Sydney exec (and, de facto, Jack) Slide 435 Learn not to be careful. Photographer Diane Arbus, to her students Slide 436 22A. Leaders Honor Mistakes & Create Blame-free Cultures. Slide 437 Accountability: YES! Never-ending witch hunts: NO! Slide 438 23. Leaders Set DESIGN SPECS. Slide 439 JackWorld/ 1@T : (1) Neutron Jack. (Banish bureaucracy.) (2) 1, 2 or out Jack. (Lead or leave.) (3) Workout Jack. (Empowerment, GE style.) (4) 6-Sigma Jack. (5) Internet Jack. (Throughout) TALENT JACK! Slide 440 23A. Leaders Send V-E-R-Y Clear Signals About Design Specs! Slide 441 Ridin with Roger: What have you done to DRAMATICALLY IMPROVE quality in the last 90 days? Slide 442 24. Leaders Know When to CHALLENGE (BURN) Design Specs! Slide 443 The chump-to- champ-to-chump cycle used to be three generations. Now its about five years. Bill McGowan Slide 444 25. Leaders Know that THERES MORE TO LIFE THAN LINE EXTENSIONS. Leaders Love to CREATE NEW MARKETS. Slide 445 No one ever made it into the Business Hall of Fame on a record of line extensions. Slide 446 Acquisitions are about buying market share. Our challenge is to create markets. There is a big difference. Peter Job, CEO, Reuters Slide 447 The Top Creators of Shareholder Value Accept depressed earnings for several quarters to support hot product Expense rather than capitalize new venture costs Bonuses without caps Source: Fortune (09.17.201) Slide 448 26. Leaders Pursue DRAMATIC DIFFERENCE! Slide 449 1 st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/One Great Thing. Source #1: Personal Passion) 2 ND Law: REAL REASON TO BELIEVE (Stand & Deliver!) 3 RD Law: DRAMATIC DIFFERENCE (Execs Dont Get It: intent to purchase 100%; unique 0% to 5%) Source: Jump Start Your Business Brain, Doug HallDoug Hall Slide 450 26A. Leaders Make Their Mark / Leaders Do Stuff That Matters Slide 451 Today the problem is not how to produce more to sell more. The fundamental question is that of the products right to exist. And it is the designers right and duty to question the legitimacy of the product. Philippe Starck Slide 452 My main task when I was artistic director at Thompson for four years: to make the company virtuous. Not because there was a desire to do evil, but because they had simply forgotten their purpose in lifeto be of service. Philippe Starck Slide 453 27. Leaders Push Their Organizations W-a-y Up the Value-added/ Intellectual Capital Chain Slide 454 09.11.2000: HP bids $18,000,000,000 for PricewaterhouseCoopers Consulting business! Slide 455 28. Leaders LOVE the New Technology! Slide 456 Inet allows you to dream dreams you could never have dreamed before! Slide 457 100 square feet Slide 458 28A. Needed? Type IV Leadership: Technology Dreamer-True Believer Slide 459 The Golden Leadership Quadrangle: (1) Creator- Inventor-Visionary (2) Talent Fanatic (3) Inspired Profit Mechanic. (4) Technology Dreamer- True Believer Slide 460 29. When It Comes to TALENT Leaders Always Swing for the Fences! Slide 461 Message: Some people are better than other people. Some people are a helluva lot better than other people. Slide 462 30. Leaders Dont Create Followers: THEY CREATE LEADERS! Slide 463 Brand You, Big Time! I AM AN ARMY OF ONE Slide 464 31. Leaders Win Followers Over Slide 465 WHAT AN IDIOT: Instead of employees being in the drivers seat, now were in the drivers seat. Slide 466 PJ: Coaching is winning players over. Slide 467 32. Leaders Manage Their EVP/ Internal Brand Promise. Slide 468 MantraM3 Talent = Brand Slide 469 EVP = Challenge, professional growth, respect, satisfaction, opportunity, reward Source: Ed Michaels et al., The War for TalentEd Michaels Slide 470 33. Leaders Know Its My Fault. Slide 471 You recruited em. You hired em. You trained em. You evaluated em. You motivated em. Slide 472 33A. Leaders Dont Scapegoat / Allow Scapegoating. Slide 473 34. Leaders have MENTORS. Slide 474 The Gospel According to TP: Upon having the Leadership Mantle placed upon thine head, thou shalt never hear the unvarnished truth again!* (*Therefore, thy needs one faithful compatriot to lay it on with no jelly.) Slide 475 35. Leaders Out Their PASSION! Slide 476 ! Slide 477 ! Slide 478 ! Slide 479 ! Slide 480 ! Slide 481 ! Slide 482 ! Slide 483 ! Slide 484 ! Slide 485 ! Slide 486 ! Slide 487 G.H.: Create a cause, not a business. Slide 488 Lets make a dent in the universe. Steve Jobs Slide 489 36. Leaders Know: ENTHUSIASM BEGETS ENTHUSIASM! Slide 490 BZBZ: I am a DISPENSER OF ENTHUSIASM! Slide 491 36A. Leaders Know that Culture Change Takes But a Minute. No Bull! Slide 492 What Do I Do First? One Minute Excellence!* *Thomas Watson Slide 493 Culture Change is not Corporate. Culture Change is not a Program. Culture change does not take Years. Culture Change does not start Today. Culture Change starts Right Now! Culture Change Lives in the Moment! Culture Change is Entirely in Your Hands! Slide 494 37. Leaders Know Its ALL SALES ALL THE TIME. Slide 495 Sales2001 Slide 496 TP: If you dont LOVE SALES find another life. (Dont pretend youre a leader.) Slide 497 38. Leaders LOVE POLITICS. Slide 498 TP: If you dont LOVE POLITICS find another life. (Dont pretend youre a leader.) Slide 499 38A. But Leaders Also Break a Lot of China Slide 500 If youre not pissing people off, youre not making a difference! Slide 501 39. Leaders Give RESPECT! Slide 502 It was much later that I realized Dads 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 college president. He was seriously interested in who you were and what you had to say. Sara Lawrence-Lightfoot, Respect Slide 503 40. Leaders LISTEN! Slide 504 See Stephen! (Empathetic Listening) Slide 505 40A. Leaders Say Thank You. Slide 506 The deepest human need is the need to be appreciated. William James Slide 507 The two most powerful things I know in existence: a kind word and a thoughtful gesture. Ken Langone, CEO, Invemed Associates [from Ronna Lichtenberg, Its Not Business, Its Personal] Slide 508 41. Leaders SHOW UP! Slide 509 Rudy! Slide 510 Leaders are living individuals whom employees smell, feel, touch their presence. #49 Slide 511 It is impossible to claim that all good teachers use similar techniques: some lecture nonstop and others speak very little; some stay close to their material and others loose the imagination; some teach with the carrot and others with the stick. But in every instance, good teachers share one trait: a strong sense of personal identity infuses their work. Dr. A is really there when he teaches. Mr. B has such enthusiasm for his subject. You can tell that this is really Prof. Cs life. Parker Palmer, The Courage to Teach Slide 512 P.S. Mark McCormack: 5,000 miles for a 5 min. meeting. Slide 513 42. Leadership Is a Performance. BELIEVE IT. Slide 514 You must be the change you wish to see in the world. --M.G. Slide 515 It is necessary for the President to be the nations No. 1 actor. FDR Slide 516 43. Leaders Have a GREAT STORY! Slide 517 A key perhaps the key to leadership is the effective communication of a story. Howard Gardner Leading Minds: An Anatomy of Leadership Slide 518 Early in my career in the law I learned that he who has the best story wins. JQ Adams/A Hopkins to T Joadson/M Freeman Slide 519 Stories of identity narratives that help individuals think about and feel who they are, where they come from, and where they are headed constitute the single most powerful weapon in the leaders arsenal. Howard Gardner, Leading Minds: An Anatomy of Leadership Slide 520 Leaders dont just make products and make decisions. Leaders make meaning. John Seeley Brown Slide 521 44. Leaders Seed & Pursue & Recognize (Weird) Demos. Slide 522 44A. Leaders Create BUZZ! Slide 523 L.B.I.W.D. (Leading By Inducing Weird Demos) Slide 524 Leaders aimed on changing their world identify palpable heroes, who executed palpable projects they point to these people and say to the masses, See, here it is, done by one of your own. (And then they deep-dip a few of those heroes to demo their seriousness.) Slide 525 45. Leaders Focus on the SOFT STUFF! Slide 526 Soft Is Hard Slide 527 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.] [Otherwise, why bother? Just read Dilbert. TPs final words: CYNICISM SUCKS.] Slide 528 Goodbye, said the fox. Now here is my secret, a very simple secret: It is only with the heart that one can see rightly; what is essential is invisible to the eye. What is essential is invisible to the eye, the little prince repeated, so that he would be sure to remember. Antoine de Saint-Exupery, The Little Prince Slide 529 46. Leaders SERVE. Slide 530 Robert Greenleaf: Servant Leadership Slide 531 47. Leaders KNOW THEMSELVES. Slide 532 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.) Slide 533 47A. Leaders LAUGH! Slide 534 48. Leaders Are Graceful. Slide 535 My favorite word is grace whether its amazing grace, saving grace, grace under fire, Grace Kelly. How we live contributes to beauty whether its how we treat other people or the environment. Celeste Cooper, designer Slide 536 Rodales on Grace elegance charm loveliness poetry in motion kindliness.. benevolence benefaction compassion beauty Slide 537 GRACE. An evening sunset in Vermont in October. A vase with one rose on the dining room table. A smile, any smile. A smile from a loved one when you do something really stupid. A hand from a stranger, when you slip. A colleague who goes the extra mile (or inch) and doesnt call attention to it. A little thank you for something you didnt think the other person had noticed. Any sunrise. A comfy couch. Comfy sweats. A faithful dogs slobbery greeting when you get home, at 2a.m., from a 4-day bus trip. Home. A unique pattern of ice crystals on the window on a frigid morning. A warm, half-hour bath. The silence of the forest. The first cherry blossoms in California in February, or D.C. in April. Paris. Slide 538 49. Leaders ??? : Slide 539 LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON ROLLER BLADES Slide 540 Hire smart go bonkers have grace make mistakes love technology start all over again. Slide 541 Its only business, not personal IT ALWAYS IS PERSONAL. Slide 542 Leadership is the PROCESS of ENGAGING PEOPLE in CREATING a LEGACY of EXCELLENCE. Slide 543 Boss Talk/WSJ Provide a simple, clear, exciting & energizing focus. Obsess on TALENT. Speed > Perfection. (Clarity, motivation, rapid adjustment.) Leap > Line extension. (Beware me-too, perfecting yesterday.) Tell the truth. Control your calendar. Get out of the office. Listen to customers face-to-faceat their place. Slide 544 Juergen Schrempp/DaimlerChrysler Digital decision making/ the danger of the deadly wish for harmony Slide 545 Branding: Kevin Roberts: The great brands have mystery and sensuality. Apple is the most sensual product since the vibrator./ Tina Brown: You should be able to throw a magazine on the floor at any page and know whose magazine it is./ Slide 546 The Perils of Me-too: Stephen Hardis (Eaton): Dont have your resources trapped in areas that are inherently zero-sum games with a very marginal return./ Phil Condit (Boeing): Just doing what your competitor does is the biggest opportunity to lose money. Douglas and Lockheed built tri-jets to the identical specs and beat each other silly. Slide 547 Jeff Bezos: Its easy to let the in- box side of your life overwhelm you, so you become a totally reactive person. The only remedy I know is to set aside some fraction of your time as your own. I use Tuesdays and Thursdays as my proactive days, when I try not to schedule meetings. Slide 548 Jeff Bezos: I'm often encouraging people to go faster, even if it means a worse initial product. I want us to start learning. The cost of trying to avoid mistakes is huge in terms of speed. Slide 549 Robert Miller (Federal-Mogul), on Turnarounds: (1) Tell the truth. Play it straight. (2) Make decisions. Dont study things to death. (3) Listen to your customers. They are usually more perceptive than you are about what needs to be done. Slide 550 50. Leaders Know WHEN TO LEAVE! Slide 551 Thank You!