Transcript EXCELLENCE. ALWAYS. Tom Peters/26April2006/Phoenix P.P.E.E.R.R.E. People. Product. Execution. Enthusiasm. Relentless. Re-invent. Excellence. EXCELLENCE. ALWAYS. Tom Peters/26April2006 Slides at … tompeters.com EXCELLENCE. ALWAYS.

EXCELLENCE.
ALWAYS.
Tom Peters/26April2006/Phoenix
P.P.E.E.R.R.E.
People.
Product.
Execution.
Enthusiasm.
Relentless.
Re-invent.
Excellence.
EXCELLENCE.
ALWAYS.
Tom Peters/26April2006
Slides at …
tompeters.com
EXCELLENCE.
ALWAYS.
Synonyms
Purity
Transcendence
Virtue
Elegance
Majesty
Antonyms
Mediocrity
EXCELLENCE.
1982.
Excellence1982: The Bedrock “Eight Basics”
1.
2.
3.
4.
5.
6.
7.
8.
A Bias for Action
Close to the Customer
Autonomy and Entrepreneurship
Productivity Through People
Hands On, Value-Driven
Stick to the Knitting
Simple Form, Lean Staff
Simultaneous Loose-Tight
Properties”
What is In Search of Excellence about:
People. Emotion. Engagement.
Exuberance. Action-Execution.
Empowerment. Independence. Initiative.
Imagination. Great Stories. Incredible
Adventures. Trust. Caring. Fun. Joy.
Customer-centrism. Profit. Growth.
“Brand You.” “Dramatic Differences.”
Experiences that Make You “Gasp.”
Excellence. Always.
EXCELLENCE.
ALWAYS.
“Why in the
world did
you go to
Siberia?”
The Peters
Principles: Enthusiasm.
Emotion. Excellence. Energy.
Excitement. Service. Growth.
Creativity. Imagination. Vitality.
Joy. Surprise. Independence.
Spirit. Community. Limitless
human potential. Diversity. Profit.
Innovation. Design. Quality.
Entrepreneurialism. Wow.
An emotional,
vital, innovative, joyful, creative,
entrepreneurial endeavor that
elicits maximum concerted
human potential in the
wholehearted service
of others.***
Business* ** (*at its best):
**Excellence. Always.
***Employees, Customers, Suppliers, Communities, Owners, Temporary partners
The
Ultimate
Business:
Creative
Endeavor.
The
Ultimate
Business:
Personal
DevelopmentGrowth
Experience.
The
Ultimate
Business:
Transcendent
Service
Opportunity.
EXCELLENCE.
ALWAYS.
People.
Product.
Execution.
Enthusiasm.
Relentless.
Re-invent.
Excellence.
People Power:
The
Talent50
1. People
First!
“The Creative Age
is a wide-open
game.”
—Richard Florida,
The Rise of the Creative Class
Whoops: Jack
didn’t have a
vision!*
*GE = “Talent Machine” (Ed Michaels)
2. Soft Is
Hard.
Message: Leading
“Talent” is all about
Love: Passion, Enthusiasms,
Appetite for Life, Engagement,
Commitment, Great Causes &
Determination to Make a Damn
Difference, Shared Adventures,
Bizarre Failures, Growth,
Insatiable Appetite for Change.
3. FUNDAMENTAL
PREMISE: We Are in an Age
of Talent/Creativity/
Intellectual-capital Added.
“Human creativity
is the ultimate
economic
resource.”
—Richard Florida,
The Rise of the Creative Class
Agriculture Age (farmers)
Industrial Age (factory workers)
Information Age (knowledge
workers)
Conceptual Age (creators and
empathizers)
Source: Dan Pink, A Whole New Mind
4. Talent
“Excellence” in
Every Part of Every
Organization.
Wegman’s:
#1/100
“Best Companies to
Work for”/2005
5. P.O.T./
Pursuit Of
Talent =
OBSESSION.
“The leaders of Great
Groups love talent and
know where to find it.
They revel
in the
talent of others.”
—Warren Bennis & Patricia Ward Biederman, Organizing Genius
Les Wexner: From
sweaters to …
people!
Leaders “do”
people!
6. Talent Masters
Understand
Talent’s
Intangibles.
Q: “If it were your $100K [life’s
savings] and my $100K, what
sort of Waiters would we
look for?”
A:
“Enthusiasts!”
Visibly energetic/Passionate/
Enthusiastic/Joyous … about everything.
Impatient/Action fanatic.
Curious
No. 1/Bosses: “Dramatically” exceptional
talent selection & development record.
(Routinely transformed lives/Was a magnet for
fantastic people)
Outrageously high standards (exudes the
pursuit of excellence)
Smells of integrity
7. HR Is
“Cool.”
Chicago:
HRMAC
“support function” /
“cost center” /
“bureaucratic drag”
or …
Are you …
“Rock Stars
of the
Age of Talent”?
“HR doesn’t tend to hire
a lot of independent
thinkers or people who
stand up as moral
compasses.” —Garold Markle,
Shell Offshore HR Exec (FC/08.05)
8. HR Sits at
The Head
Table.
A review of Jack and Suzy Welch’s Winning claims there are but two
key differentiators that set GE “culture” apart from the herd:
First: Separating financial forecasting and performance
measurement. Performance measurement based, as it usually is, on budgeting
leads to an epidemic of gaming the system. GE’s performance measurement is
divorced from budgeting—and instead reflects how you do relative to your past
performance and relative to competitors’ performance; ie it’s about how you actually
do in the context of what happened in the real world, not as compared to a gamedabstract plan developed last year.
Second: Putting
HR on
a par with finance
and marketing.
DD$21M
9. Re-name
“HR.”
Talent
Department
People Department
Center for Talent Excellence
Seriously Cool People Who
Recruit & Develop
Seriously Cool People
Etc.
10. There Is an
“HR Strategy”/
“HR Vision”
“Omnicom very simply is
about talent. It’s about
the acquisition of talent,
providing the atmosphere
so talent is attracted
to it.” —John Wren
Our Mission
To develop and manage talent;
to apply that talent,
throughout the world,
for the benefit of clients;
to do so in partnership;
to do so with profit.
WPP
EVP/
IBP?*
What’s your company’s …
*Employee Value Proposition, per Ed Michaels et al., The War for Talent;
IBP/Internal Brand Promise per TP
EVP/IBP = Remarkable
challenges, rapid professional
growth, wholesale respect,
deep satisfaction, fun,
stunning opportunities,
exceptional rewards, amazing
peer group, full membership in
Club Adventure, maximized
future employability
11. Acquire
for Talent!
Omnicom's acquisitions: “not for
“buying
talent;” “deepen a
size per se”;
relationship with a client.”
Source: Advertising Age
12. There Is a
FORMAL
Recruitment
Strategy.
“Busy Executives
Fail To Give
Recruiting
Attention It
Deserves”
—Headline, WSJ, 1121.05
Cirque
du
Soleil!
13. There Is a FORMAL
“Strategic” Leadership
Development Strategy.
DD: 0 to 60mph
in a flash
(months)
Five MYTHS About Changing Behavior
*Crisis is a powerful impetus for change
*Change is motivated by fear
*The facts will set us free
*Small, gradual changes
are always easier to
make and sustain
*We can’t change because our brains become
“hardwired” early in life
Source: Fast Company/05.2005
14. There is a
“World Class”
Leadership
Development
CENTER.
Crotonville!
15. There Is a
FORMAL
STRATEGIC HR
Review Process.
“In most companies, the Talent Review Process is a
farce. At GE, Jack Welch and his two top HR people visit
each division for a day. They review the top 20 to 50
people by name. They talk about Talent Pool
The Talent Review
Process is a contact sport at
GE; it has the intensity and the
importance of the budget
process at most companies.”
strengthening issues.
—Ed Michaels
16. “People”/
Talent” Reviews
Are the FIRST
Reviews.
17.
HR Strategy =
BUSINESS
Strategy.
#1/100
Wegman’s:
Best Companies to Work for
84%: Grocery stores “are all alike”
46%: additional spend if customers have an “emotional connection” to
a grocery store rather than “are satisfied” (Gallup)
“Going to Wegman’s is not just shopping, it’s an event.”
—Christopher
Hoyt, grocery consultant
“You cannot separate
their strategy as a retailer
from their strategy as an
employer.”
—Darrell Rigby, Bain & Co.
18. Make it a
“Cause Worth
Signing Up For.”
“People want to be part of
something larger than
themselves. They want to be
part of something they’re
really proud of, that they’ll
fight for, sacrifice for , trust.”
—Howard Schultz, Starbucks (IBD/09.05)
19. Unleash
“Their” Full
Potential!
“Firms will not ‘manage the careers’
of their employees. They will
provide opportunities to
enable the employee to
develop identity and
adaptability and thus be in
charge of his or her own
career.”
—Tim Hall et al., “The New Protean Career Contract”
“We are a
‘Life Success’
Company’
Dave Liniger, founder, RE/MAX
“No matter what the situation,
[the great manager’s] first response is
always to think about the
individual concerned and how
things can be arranged to help
that individual experience
success.” —Marcus Buckingham,
The One Thing You Need to Know
20. Set Sky
High
Standards.
Did We Say “Talent Matters”?
“The top software developers are more
productive than average software
developers not by a factor of 10X or 100X,
or even 1,000X, but
10,000X.”
—Nathan Myhrvold, former Chief Scientist, Microsoft
21. Enlist
Everyone in
Challenge
Century21.
“There is no job
that is Australia’s
God-given right
anymore.”
—Tom Peters/10.26.2005
Distinct
Extinct
…
or …
New Work SurvivalKit.2006
1. Mastery! (Best/Absurdly Good at Something!)
2. “Manage” to Legacy (All Work = “Memorable”/“Braggable” WOW Projects!)
3. A “USP”/Unique Selling Proposition (R.POV8: Remarkable Point of
View … captured in 8 or less words)
4. Rolodex Obsession (From vertical/hierarchy/“suck up” loyalty to
horizontal/“colleague”/“mate” loyalty)
5. Entrepreneurial Instinct (A sleepless … Eye for Opportunity! E.g.: Small
Opp for Independent Action beats faceless part of Monster Project)
6. CEO/Leader/Businessperson/Closer (CEO, Me Inc. Period! 24/7!)
7. Master of Improv (Play a dozen parts simultaneously, from
Chief Strategist to Chief Toilet Scrubber)
8. Sense of Humor (A willingness to Screw Up & Move On)
9. Comfortable with Your Skin (Bring “interesting you” to work!)
10. Intense Appetite for Technology (E.g.: How Cool-Active is your
Web site? Do you Blog?)
11. Embrace “Marketing” (Your own CSO/Chief Storytelling Officer)
12. Passion for Renewal (Your own CLO/Chief Learning Officer)
13. Execution Excellence! (Show up on time! Leave last!)
22. Pursue
the Best!
“best person
in the
world”
—Arthur Blank
From “1, 2 or you’re out” [JW]
to …
“Best Talent
in
each industry segment to
build best proprietary
intangibles” [EM]
Source: Ed Michaels, War for Talent
Not “out sourcing”
Not “off shoring”
Not “near shoring”
Not “in sourcing”
but …
“Best Sourcing”
23. Up or
Out.
“We believe companies can increase their market cap 50
percent in 3 years. Steve Macadam at Georgia-Pacific
changed 20 of his 40 box
plant managers to put more
talented, higher paid
managers in charge. He increased
profitability from
in
$25
million to
$80
2 years.” —Ed Michaels, War for Talent
million
24. Ensure that
the Review
Process Has
INTEGRITY.
25 =
100*
* “But what do I do that’s more important than developing
people? I don’t do the damn work. They do.”—GS
25. Pay Up!
“Top performing companies
are two to four times more
likely than the rest to pay
what it takes
prevent losing top
performers.”
to
—Ed Michaels,
War for Talent
26. Training I:
Train! Train!
Train!
3 Weeks in May
“Training” & Prep: 187
“Work”: 41
(“Other”: 17)
1%
vs.
367%
Divas do it. Violinists do it.
Sprinters do it. Golfers do it.
Pilots do it. Soldiers do it.
Surgeons do it. Cops do it.
Astronauts do it. Why don’t
businesspeople do it?
“Knowledge becomes
obsolete incredibly fast. The
continuing professional
education of adults is the
No. 1 industry in the next 30
years … mostly on line.”
Peter Drucker, Business 2.0
27. Training II:
100% “Business
People.”
28. Training III:
100%
LEADERS.
“I start with the premise
that the function of
leadership is to produce
more leaders, not more
followers.”
—Ralph Nader
29. Training IV:
Boss as Trainerin-Chief.
“Workout” = 24
DPY in the
Classroom
30. Training V:
The REAL
Bedrock of the
“Talent Thing.”
“My wife and I went to a [kindergarten] parent-teacher
conference and were informed that our budding refrigerator
artist, Christopher, would be receiving a grade of
Unsatisfactory in art. We were shocked. How could any
child—let alone our child—receive a poor grade in art at such
His teacher informed
us that he had refused to color
within the lines, which was a
state requirement for
demonstrating ‘grade-level
motor skills.’ ” —Jordan Ayan, AHA!
a young age?
“Thomas Stanley has not
only found no correlation
between success in school
and an ability to accumulate
wealth, he’s actually found a
negative correlation. ‘It seems that
Ye gads:
school-related evaluations are poor predictors of economic success,’
Stanley concluded. What did predict success was a willingness to
take risks. Yet the success-failure standards of most schools
penalized risk takers. Most educational systems reward those who
play it safe. As a result, those who do well in school find it hard to
take risks later on.” —Richard Farson & Ralph Keyes,
Whoever Makes the Most Mistakes Wins
15 “Leading” Biz Schools
0
Design/Core:
Design/Elective: 1
0
Creativity/Core:
Creativity/Elective: 4
0
Innovation/Core:
Innovation/Elective: 6
Source: DMI/Summer 2002/Research by Thomas Lockwood
31. Wide-open
Communication:
NO BARRIERS.
“The organizations we created have
become tyrants. They have taken
control, holding us fettered, creating
barriers that hinder rather than help
our businesses. The lines that we
drew on our neat organizational
diagrams have turned into walls
that no one can scale or penetrate
or even peer over.” —Frank Lekanne Deprez & René
Tissen, Zero Space: Moving Beyond Organizational Limits
32. Respect!
“It was much later that I realized Dad’s secret. He
gained respect by giving it. He talked and listened
to the fourth-grade kids in Spring Valley who shined
shoes the same way he talked and listened to a
He was
seriously interested in
who you were and what
you had to say.”
bishop or a college president.
—Sara Lawrence-
Lightfoot, Respect
“What creates trust,
in the end, is the
leader’s manifest
respect for the
followers.”
— Jim O’Toole, Leading
Change
“Empowerment” =
Trust
Source: Barry Gibbons
33. Embrace
the Whole
Individual.
34. Build
Places of
“Grace.”
Rodale’s on “Grace” …
elegance … charm …
loveliness … poetry in
motion … kindliness ...
benevolence …
benefaction …
compassion … beauty
35. MBWA*:
Visible
Leadership!
*Managing By Wandering Around
“The first and greatest
imperative of command
is to be present in
person. Those who
impose risk must be
seen to share it.”
—John Keegan,
The Mask of Command
36. Thank
You!
“The deepest human need
need to be
appreciated.”
is the
—William James
37. Promote for
“people skills.”
(THE REST IS
DETAILS.)
“When assessing candidates, the first
thing I looked for was energy and
enthusiasm for execution. Does she
talk about the thrill of getting
things done, the obstacles
overcome, the role her
people played —or does she keep
wandering back to strategy or
philosophy?” —Larry Bossidy, Honeywell/AlliedSignal, in Execution
38. Honor
Youth.
“Why focus on these late teens and twentysomethings? Because they are the
first young who are both in a
position to change the world, and
are actually doing so. … For the first
time in history, children are more comfortable,
knowledgeable and literate than their parents
about an innovation central to society. … The
Internet has triggered the first industrial
revolution in history to be led by the young.”
The Economist
39. Provide Early
Leadership
Assignments.
The
WOW!
Project
40. Create a
FORMAL
System of
Mentoring.
W. L. Gore
Quad/Graphics
41. WOMEN
RULE.
“AS LEADERS,
WOMEN RULE: New
Studies find that female
managers outshine their
male counterparts in
almost every measure”
Title, Special Report/BusinessWeek
“On average, women and men
possess a number of different innate
skills. And current trends suggest
that many sectors of the twentyfirst-century economic
community are going to need the
natural talents of women.”
Helen Fisher, The First Sex: The Natural Talents of Women
and How They Are Changing the World
Women’s Strengths Match New Economy
Imperatives: Link [rather than rank] workers;
favor interactive-collaborative leadership style
[empowerment beats top-down decision
making]; sustain fruitful collaborations;
comfortable with sharing information; see
redistribution of power as victory, not
surrender; favor multi-dimensional feedback;
value technical & interpersonal skills,
individual & group contributions equally;
readily accept ambiguity; honor intuition as
well as pure “rationality”; inherently flexible;
appreciate cultural diversity. —Judy B. Rosener,
America’s Competitive Secret
U.S.
M.Mgt.
41%
T.Mgt.
4%
Peak Partic. Age 45
% Coll. Stud.
52%
G.B. E.U. Ja.
29% 18% 6%
3%
2%
<1%
22
27
19
50% 48% 26%
Source: Judy Rosener, America’s Competitive Secret
????????
????????
The Core Argument
1. We are in a War for Talent.
2. The war will intensify.
3. Women are under-represented in our senior
leadership ranks.
4. Women and men are different.
5. Women’s strengths match the New Economy’s
leadership needs—to a striking degree.
6. Women are also the principal purchasers
of goods and services—retail and commercial.
7. Ergo, women are a large part of “the answer”
to the War for Talent issue/opportunity.
42. Diversity!
“To be a leader in
consumer products,
it’s critical to have
leaders who represent
the population we
serve.”
—Steve Reinemund/PepsiCo
“We want our associate
population to mirror our
customer population at
every level, from the
executive suite all the way to
the retail floor.”
—Larry Johnston, CEO,
Albertsons
43. Hire
(& Protect!)
Weird!
The Cracked Ones Let in the Light
“Our business needs a massive
transfusion of talent, and talent, I
believe, is most likely to be found
among non-conformists,
dissenters and
rebels.”
—David Ogilvy
“Are there
enough weird
people in the lab
these days?”
—V. Chmn., pharmaceutical
house, to a lab director
Saviors-in-Waiting
Disgruntled Customers
Off-the-Scope Competitors
Rogue Employees
Fringe Suppliers
Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on
Fringe Competitors, Lost Customers, and Rogue Employees
Why Do I love Freaks?
(1) Because when Anything Interesting happens … it was a freak
who did it. (Period.)
(2) Freaks are fun. (Freaks are also a pain.) (Freaks are never boring.)
(3) We need freaks. Especially in freaky times. (Hint: These are freaky
times, for you & me & the CIA & the Army & Avon.)
(4) A critical mass of freaks-in-our-midst automatically make us-whoare-not-so-freaky at least somewhat more freaky. (Which is a Good
Thing in freaky times—see immediately above.)
(5) Freaks are the only (ONLY) ones who succeed—as in, make it into
the history books.
(6) Freaks keep us from falling into ruts. (If we listen to them.) (We
seldom listen to them.) (Which is why most of us—and our
organizations—are in ruts. Make that chasms.)
44. We Are All
Unique.
One
size NEVER fits
all. One size fits
Beware Standardized Evals:
one.
Period.
53 Players =
53 Projects =
53 different
success measures.
45. Capitalize
on Strengths.
“The key difference between
checkers and chess is that in
checkers the pieces all move
the same way, whereas in chess
all the pieces move differently.
… Discover what is unique
about each person and
capitalize on it.”
—Marcus Buckingham,
The One Thing You Need to Know
“The mediocre manager believes that most
things are learnable and therefore that the
essence of management is to identify ach
person’s weaker areas and eradicate them.
The great manager believes the opposite.
He believes that the most influential
qualities of a person are innate and
therefore that the essence of
management is to deploy these innate
qualities as effectively as possible
and so drive performance.” —Marcus
Buckingham, The One Thing You Need to Know
46. Bosses
“Win People
Over.”
“Coaching
is winning
players over.”
PJ:
47. GOAL:
Voyages of
Mutual
Discovery.
“I don’t
know.”
Quests!
Organizing Genius / Warren Bennis
and Patricia Ward Biederman
“Groups become great only when
everyone in them, leaders and
members alike, is free to do his or
her absolute best.”
“The best thing a leader can do for a
Great Group is to allow its
members to discover their
greatness.”
Leadership’s Mt Everest!
“free to do his or her
absolute best” …
“allow its members to
discover their
greatness.”
48. Foster
Independence.
“You must realize that how you invest your human
capital matters as much as how you invest your
financial capital. Its rate of return determines your
future options. Take
a job for what it
teaches you, not for what it pays.
Instead of a potential employer asking,
‘Where do you see yourself in 5 years?’
you’ll ask, ‘If I invest my mental assets
with you for 5 years, how much will they
appreciate? How much will my portfolio
of career options grow?’ ”
Source: Stan Davis & Christopher Meyer, futureWEALTH
49. Enthusiasm!
“It’s simple, really,
Tom. Hire for s,
and, above all,
promote for s.”
—Starbucks follower/WS analyst
50. Talent
= Brand.
The Top 5 “Revelations”
Better talent wins.
Talent management is my job as leader.
Talented leaders are looking for the
moon and stars.
Over-deliver on people’s dreams – they
are volunteers.
Pump talent in at all levels, from all
conceivable sources, all the time.
Source: Ed Michaels et al., The War for Talent
The Talent50
1. People first!
2. Soft is Hard.
3. FUNDAMENTAL PREMISE: We are in an Age
of Talent/ Creativity/ Intellectual-capital
Added.
4. Talent “excellence” in every part of the
organization.
5. P.O.T./Pursuit Of Talent = Obsession.
6. HR sits at The Head Table.
7. HR is “cool.”
Brand =
Talent.
“I have always believed
that the purpose of the
corporation is to be a
blessing to the
employees.”
—Boyd Clarke
50. Talent
= Brand.