Transcript Document 7115112

Tom Peters’
Re-Imagine
!
EXCELLENCE
MINI-Master/06 November 2013
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Execution
Conrad
Hilton …
CONRAD HILTON, at a gala celebrating
his career, was called to the podium and
“What were the
most important
lessons you learned
in your long and
distinguished
career?” His answer …
asked,
“Remember
to tuck the
shower curtain
inside the
bathtub.”
IS
“EXECUTION
STRATEGY.”
—Fred Malek
“In real life, strategy
is actually very
straightforward.
Pick a general
and
implement
like hell.”
direction
…
—Jack Welch
“EXECUTION IS
THE JOB OF
THE BUSINESS
LEADER.”
—Larry
Bossidy & Ram
Charan/ Execution: The Discipline of Getting Things Done
“The art of war does not
require complicated
maneuvers; the simplest are
the best and common sense is
fundamental. From which one
might wonder how it is
generals make blunders; it
is because they try to
be clever.”
—Napoleon
“When assessing candidates, the first
thing I looked for was energy and
Does
she talk about the thrill
of getting things done,
the obstacles overcome,
the role her people
played —or does she keep
enthusiasm for execution.
wandering back to strategy or
philosophy?” —Larry Bossidy, Execution
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Context
2013
“Train Passengers
Too Distracted By
Phones to Notice
Gunman”
—Headline, HuffingtonPost, 1009.13
Context
GRIN
G
R
I
N
enetics
obotics
nformatics
anotechnology*
China/Foxconn:
1,000,000
robots/next 3 years
Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee
Legal industry/Pattern Recognition/
Discovery (e-discovery algorithms):
500
lawyers to …
ONE
Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee
Robot Wars!
“The combination of new
market rules and new
technology was turning the
stock market into, in effect,
a war of
robots.”
—Michael Lewis, “Golman’s Geek
Tragedy,” Vanity Fair, 09.13
“Algorithms have already written symphonies
as moving as those composed by
Beethoven, picked through legalese with
the deftness of a senior law partner,
diagnosed patients with more accuracy than a
doctor, written news articles with the
smooth hand of a seasoned reporter, and
driven vehicles on urban highways with far
better control than a human
driver.”
Automate This: How
Algorithms Came to Rule the World
—Christopher Steiner,
“The root of our problem is not
that we’re in a Great Recession
or a Great Stagnation, but rather
that we are in the early
Great
Restructuring
throes of a
.
Our technologies are racing ahead,
but our skills and organizations
are lagging behind.”
Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee
“Human level
capability has not
turned out to be a
special stopping point
from an engineering
perspective. ….”
Source: Illah Reza Nourbakhsh, Professor of Robotics, Carnegie Mellon, Robot Futures
Post-Great Recession:
Equipment
expenditures +26%
Payrolls flat
Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee
Your principal moral
obligation as a leader is to develop
the skillset, “soft” and “hard,” of
every one of the people in your
charge (temporary as well as
semi-permanent) to the maximum
extent of your abilities. The
good news: This is also the
#1 mid- to long-term …
Tom’s TIB* #1:
profit maximization strategy
* This I Believe (courtesy Bill caudill)
!
BIG DATA
“Predictions
based on
correlations lie
at the heart of
big data.”
Source: Big Data: A Revolution That Will Transform How We Live,
Work, and Think, by Viktor Mayer-Schonberger and Kenneth Cukier
The Crowd Sourced Performance Review
“By harnessing the ‘wisdom of crowds,’
many subjective observations taken
together provide a more objective and
accurate picture of an employee’s
performance than a single subjective
judgement. It averages out prejudice or
baggage on the part of both manager and
employee.” —
The Crowd Sourced Performance Review
Eric Mosley,
“Flash forward to dystopia. You work in a chic
cubicle, sucking chicken-flavor sustenance from
a tube. You’re furiously maneuvering with a
joystick … Your boss stops by and gives you a
look. ‘We need to talk about your loyalty to this
The organization you work
for has deduced that you are
considering quitting. It predicts
your plans and intentions,
possibly before you have even
conceived them.”
Predictive Analytics:
company.’
—Eric Siegel,
The Power to Predict Who Will Click, Buy, Lie, or Die (based on a real case, an
HP “Flight risk” PA model developed by HR, with astronomical savings potential)
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Excellence
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
“Breakthrough” 82*
People!
Customers!
Action!
Values!
*In Search of Excellence
“Why in the
World did you
go to Siberia?”
An emotional, vital,
innovative, joyful, creative,
entrepreneurial endeavor that elicits
maximum
Enterprise* (*at its best):
concerted human
potential in the
wholehearted pursuit of
EXCELLENCE in
service of others.**
**Employees, Customers, Suppliers, Communities, Owners, Temporary partners
Hard is Soft.
Soft is Hard.
“If I could have chosen not to tackle the IBM culture head-on,
I probably wouldn’t have. My bias coming in was toward
strategy, analysis and measurement. In comparison, changing
the attitude and behaviors of hundreds of thousands of people
Yet I came to see in
my time at IBM that culture
isn’t just one aspect of the
is very, very hard.
game
—IT IS THE
GAME.”
—Lou Gerstner, Who Says Elephants Can’t Dance
“What matters most
to a company over time?
Strategy or culture?
WSJ/0910.13:
Dominic Barton, MD, McKinsey & Co.:
“Culture.”
EXCELLENCE is not
an "aspiration.”
EXCELLENCE is …
THE NEXT FIVE
MINUTES.
Excellence is the next five
minutes …
OR NOT.
“Mr. Watson, how
long does it take to
achieve
Excellence?”
Source: Thomas Watson, legendary Chairman/CEO, IBM
minute”
“One minute. You
make up your mind
to never again do
something that is not
excellent.”
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Leading:
MBWA
3K/5M
Source: Mark McCormack
“Most managers spend a great deal of time thinking about what they plan to do, but relatively little time thinking about what
they plan not to do. As a result, they become so caught up … in fighting the fires of the moment that they cannot really
attend to the long-term threats and risks facing the organization. So the first soft skill of leadership the hard way is to
cultivate the perspective of Marcus Aurelius: avoid busyness, free up your time, stay focused on what really matters.
Let me put it bluntly: every leader should
routinely keep a substantial portion of
his or her time—I would say as much as
50
percent—unscheduled.
…
Only when you have substantial ‘slop’ in your schedule—unscheduled time—will you have the space to reflect on what you
are doing, learn from experience, and recover from your inevitable mistakes. Leaders without such free time end up tackling
issues only when there is an immediate or visible problem. Managers’ typical response to my argument about free time is,
Yet we waste so much time in
unproductive activity—it takes an enormous effort on the part of the
leader to keep free time for the truly important things.”
‘That’s all well and good, but there are things I have to do.’
—Dov
Frohman (& Robert Howard), Leadership The Hard Way: Why Leadership Can’t Be Taught—
And How You Can Learn It Anyway (Chapter 5, “The Soft Skills Of Hard Leadership”)
You = Your
calendar*
*The calendar
NEVER
lies.
Don’t >
Do*
* “Don’t-ing” must be systematic
> WILLPOWER
“If there is any
one
‘secret’
to effectiveness, it is concentration.
Effective executives do first things
first …
and they do
one thing at a
time.”
—Peter Drucker
“It’s always
showtime.”
—
“You must
be
the change you wish
to see in the world.”
Gandhi
“I am a
dispenser of
enthusiasm.”
—Ben Zander
“A leader is
a dealer in
hope.”
—Napoleon
#1 Failing
“If I had to pick one
failing of CEOs, it’s
that they don’t read
enough.”
—Co-founder of one of the largest
investment services firms in the USA/world
“What is your most
marked characteristic?”
Vanity Fair:
Mike Bloomberg:
“Curiosity.”
Leading
1 Mouth,
Ears
“The doctor
interrupts
after …*
*Source: Jerome Groopman, How Doctors Think
18 …
18 …
seconds!
[An obsession with] Listening is ... the ultimate mark
of
Listening
Listening
Listening
Listening
Listening
Listening
Listening
is
is
is
is
is
is
is
...
...
...
...
...
...
...
Listening
Listening
Listening
Listening
is
is
is
is
...
...
...
...
the heart and soul of Engagement.
the heart and soul of Kindness.
the heart and soul of Thoughtfulness.
the basis for true Collaboration.
the basis for true Partnership.
a Team Sport.
a Developable Individual Skill.* (*Though women
are far better at it than men.)
the basis for Community.
the bedrock of Joint Ventures that work.
the bedrock of Joint Ventures that grow.
the core of effective Cross-functional
Communication* (*Which is in turn Attribute #1 of
organization effectiveness.)
[cont.]
Respect
.
*8 of 10 sales presentations fail
*50% failed sales
talking
“at” before
listening!
presentations …
—Susan Scott, “Let Silence Do the Heavy Listening,” chapter title, Fierce
Conversations: Achieving Success at Work and in Life,
One Conversation at a Time
*Listening is of the
utmost … STRATEGIC
importance!
*Listening is a proper …
CORE VALUE !
*Listening is … TRAINABLE !
*Listening is a …
PROFESSION !
MBWA
4
“The
4 most
important
words in any
organization are …
THE FOUR MOST IMPORTANT WORDS IN ANY ORGANIZATION
“WHAT
DO YOU
THINK?”
ARE …
Source: courtesy Dave Wheeler, posted at tompeters.com
“Employees who
don't feel significant
rarely make
significant
contributions.”
—Mark Sanborn
Leading
Acknowledgement
!
“The deepest principle
in human nature is the
craving* to be
appreciated.”
—William James
*“Craving,” not “wish” or “desire” or “longing”/Dale
Carnegie, How to Win Friends and Influence People
(“The BIG Secret of Dealing With People”)
“Acknowledge” …
perhaps the most
powerful word (and
idea) in the English
language—and
manager’s tool kit!
K=R=P
“Courtesies of a small and
trivial character are the
ones which strike deepest
in the grateful and
appreciating heart.”
—Henry Clay
Kindness =
Repeat Business =
Profit.
139,380 former
patients from 225 hospitals:
Press Ganey Assoc:
NONE
of THE top 15
factors determining Patient Satisfaction
referred to patient’s health outcome.
Instead: directly related to Staff
Interaction; directly correlated with
Employee Satisfaction
Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
“There is a misconception that supportive interactions
require more staff or more time and are therefore more
costly. Although labor costs are a substantial part of any
hospital budget, the interactions themselves add nothing to
KINDNESS
IS FREE.
the budget.
Listening to patients
or answering their questions costs nothing. It can be argued
that negative interactions—alienating patients, being nonresponsive to their needs or limiting their sense of control—
can be very costly. … Angry, frustrated or frightened
patients may be combative, withdrawn and less
cooperative—requiring far more time than it would have
taken to interact with them initially in a positive way.”
—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel
(Griffin Hospital/Derby CT; Plantree Alliance)
Meeting Power
!
#1
Meetings =
leadership
opportunity
Every meeting that
does not stir the imagination
and curiosity of attendees and
increase bonding and cooperation and engagement
and sense of worth and
motivate rapid action and
enhance enthusiasm is a
permanently lost opportunity.
Meeting:
Responsiveness/
Apology/
“I’m sorry!”
“I regard apologizing as the
most magical, healing,
restorative gesture human
beings can make. It is the
centerpiece of my
work with executives who
want to get better.”
—Marshall Goldsmith, What Got You Here Won’t Get You There:
How Successful People Become Even More Successful.
THERE ONCE
WAS A TIME WHEN A
Relationships
(of all varieties):
THREE-MINUTE
PHONE CALL WOULD
HAVE AVOIDED SETTING OFF THE
DOWNWARD SPIRAL THAT
RESULTED IN A COMPLETE
RUPTURE.*
*divorce, loss of a BILLION $$$ aircraft sale, etc., etc.
THE PROBLEM IS
RARELY/NEVER THE
PROBLEM. THE
RESPONSE TO THE
PROBLEM INVARIABLY
ENDS UP BEING THE
REAL PROBLEM.*
*PERCEPTION IS ALL THERE IS!
Acquire vs. maintain:
5X*
*Hence: Service >> Sales (!!)
XFX =
#1
XFX = #1*
*Cross-Functional eXcellence
NEVER
WASTE A
LUNCH!
XFX/Typical Social Accelerators
1. EVERYONE’s [more or less] JOB #1: Make friends in other functions!
(Purposefully. Consistently. Measurably.)
2. “Do lunch” with people in other functions!! Frequently!! (Minimum
10% to 25% for everyone? Measured.)
3. Ask peers in other functions for references so you can become
conversant in their world. (It’s one helluva sign of ... GIVE-A-DAMNism.)
4. Religiously invite counterparts in other functions to your team
meetings. Ask them to present “cool stuff” from “their world” to your
group. (Useful. Mark of respect.)
PROACTIVELY SEEK EXAMPLES OF “TINY”
ACTS OF “XFX” TO ACKNOWLEDGE—
PRIVATELY AND PUBLICALLY. (Bosses: ONCE
A DAY … make a short call or visit or send an
email of “Thanks” for some sort of XFX
gesture by your folks and some other
function’s folks.)
5.
6. Present counterparts in other functions awards for service to your
group. Tiny awards at least weekly; and an “Annual All-Star
Supporters [from other groups] Banquet” modeled after superstar
salesperson banquets.
THE WHOLE POINT HERE IS THAT
“XFX” IS
ALMOST CERTAINLY THE #1 OPPORTUNITY
FOR STRATEGIC DIFFERENTIATION. WHILE
MANY WOULD LIKELY AGREE, IN OUR
MOMENT-TO-MOMENT AFFAIRS, XFX PER SE IS
NOT SO OFTEN VISIBLY & PERPETUALLY AT
THE TOP OF EVERY AGENDA. I ARGUE HERE
FOR NO LESS THAN …
VISIBLE.
CONSTANT.
OBSESSION.
Teva Canada: Supply chain
excellence achieved. Share-Point/
troubleshooting/Strategy-Nets/
hooked to other functions; Moxie
social tools, document editing, etc.
Social Business By Design: Transformative Social Media
Strategies For the Connected Company —Dion Hinchcliffe & Peter Kim
Leading
The
1st Line
Honcho.
If the regimental commander lost most of his
2nd lieutenants and 1st lieutenants and captains
If he
lost his sergeants it
would be a
catastrophe. The Army and the
and majors, it would be a tragedy.
Navy are fully aware that success on the
battlefield is dependent to an extraordinary
degree on its Sergeants and Chief Petty
Officers. Does industry have the same
awareness?
“People leave
managers not
companies.”
—Dave Wheeler
Leading
Leaders
Do
People.
You CHOSE
to be a leader. Hence
you CHOSE to devote
the rest of your
professional career to
Leaders
DO
People:
DEVELOPING PEOPLE.
"Leadership is a
gift. It's given by
those who follow.
You have to be
worthy of it.”
—General Mark Welsh, Commander, U.S. Air Forces Europe
“I start with the premise
that the function of
leadership is to
produce more
leaders, not more
followers.”
—Ralph Nader
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
People
Business Has to
Give People
Enriching,
Rewarding Lives
1/4,096: excellencenow.com
“Business has to give people enriching,
OR IT'S
SIMPLY NOT
WORTH
DOING.”
rewarding lives …
—Richard Branson
“You have to
treat your
employees like
customers.”
—Herb Kelleher,
upon being asked his “secret to success”
Source: Joe Nocera, NYT, “Parting Words of an Airline Pioneer,”
on the occasion of Herb Kelleher’s retirement after 37 years at Southwest
Airlines (SWA’s pilots union took out a full-page ad in USA Today
thanking HK for all he had done) ; across the way in Dallas, American
Airlines’ pilots were picketing AA’s Annual Meeting)
"When I hire
someone, that's
when I go to
work for
them.”
—John DiJulius, "What's the Secret
to Providing a World-class Customer Experience"
… NO LESS THAN
CATHEDRALS
IN WHICH
THE FULL AND AWESOME
POWER OF THE IMAGINATION
AND SPIRIT AND NATIVE
ENTREPRENEURIAL FLAIR OF
DIVERSE INDIVIDUALS IS
UNLEASHED IN PASSIONATE
PURSUIT OF … EXCELLENCE.
Oath of Office: Managers/Servant Leaders
Our goal is to serve our customers brilliantly and profitably over
the long haul.
Serving our customers brilliantly and profitably over the long
haul is a product of brilliantly serving, over the long haul, the
people who serve the customer.
Hence, our job as leaders—the alpha and the omega and
everything in between—is abetting the sustained growth
and success and engagement and enthusiasm and
commitment to Excellence of those, one at a time, who
directly or indirectly serve the ultimate customer.
We—leaders of every stripe—are in the “Human Growth and
Development and Success and Aspiration to Excellence
business.”
“We” [leaders] only grow when “they” [each and every one of our colleagues] are
growing.
“We” [leaders] only succeed when “they” [each and every one of our colleagues]
are succeeding.
“We” [leaders] only energetically march toward Excellence when
“they” [each and every one of our colleagues] are energetically marching
toward Excellence.
Period.
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
“The role of the Director is to
create a space where the actors
become
more than they’ve ever
been before,
more than they’ve
dreamed of being.”
and actresses can
—Robert Altman, Oscar acceptance speech
Brand =
Talent.
A 15-Point Human Capital Development Manifesto
1. Corporate social responsibility” starts at home—i.e.,
inside the enterprise! MAXIMIZING GDD/Gross
Domestic Development of the workforce is the primary
source of mid-term and beyond growth and
profitability—and maximizes national productivity and
wealth.
2. Regardless of the transient external situation,
development of “human capital” is always the #1
priority. This is true in general, in particular in difficult
times which demand resilience—and uniquely true in
this age in which IMAGINATIVE brainwork is de facto the
only plausible survival strategy for higher wage nations.
(Generic “brainwork,” traditional and dominant “whitecollar activities, is increasingly being performed by
exponentially enhanced artificial intelligence.)
Source: A 15-Point Human Capital Asset Development Manifesto/
World Strategy Forum/The New Rules: Reframing Capitalism/Seoul/0615.12
The Memories
That Matter
The Memories That Matter
The people you developed who went on to
stellar accomplishments inside or outside
the company.
The (no more than) two or three people you developed who went on to
create stellar institutions of their own.
The long shots (people with “a certain something”) you bet on who
surprised themselves—and your peers.
The people of all stripes who 2/5/10/20 years
later say “You made a difference in my life,”
“Your belief in me changed everything.”
The sort of/character of people you hired in general. (And the bad
apples you chucked out despite some stellar traits.)
A handful of projects (a half dozen at most) you doggedly pursued that
still make you smile and which fundamentally changed the way
things are done inside or outside the company/industry.
The supercharged camaraderie of a handful of Great Teams aiming to
“change the world.”
People
Hiring.
“development can help great people
be even better— but
if
I had a dollar to spend, I’d
70 cents
spend
getting the right person in
the door.”
—Paul Russell, Director, Leadership and
Development, Google
the
most important
aspect of business
and yet remains woefully
misunderstood.”
“In short, hiring is
Source: Wall Street Journal, 10.29.08,
review of Who: The A Method for Hiring,
Geoff Smart and Randy Street
People
Evaluating.
EVALUATING
#1
PEOPLE =
DIFFERENTIATOR
Source: Jack Welch, now Jeff Immelt on
GE’s top strategic skill (
!!!!)
53 = 53
People are NOT
“Standardized.”
Their evaluations
should NOT be
standardized.
EVER.
SelfEvaluation.
“Being aware of yourself
and how you affect
everyone around you is
what distinguishes a
superior leader.”
—Edie Seashore (Strategy + Business #45)
“The biggest
problem I shall
ever face: the
management of
Dale Carnegie.”
—Dale Carnegie, diary of
People
Training.
In the Army, 3-star
generals worry about
training. In most
businesses, it's a “ho
hum” mid-level staff
function.
I would hazard a guess
that most CEOs see IT
investments as a
“strategic necessity,”
but see training
expenses as “a
necessary evil.”
“C-level”
(1) Training merits
“C-level” status!
(2) Top trainers should
be paid a king’s
ransom—and be of
the same caliber as
top marketers or
researchers.
3. Three-star generals and admirals (and
symphony conductors and sports coaches and
police chiefs and fire chiefs) OBSESS about
training. Why is it likely (Dead certain?) that in
a random 30-minute interview you are unlikely
to hear a CEO touch upon this topic? (I would
hazard a guess that most CEOs see IT
investments as a “strategic necessity,” but see
training expenses as “a necessary evil.”)
4. Proposition/axiom: The CTO/Chief TRAINING
Officer is arguably the #1 staff job in the
enterprise, at least on a par with, say, the CFO
or CIO or head of R&D. (Again, external
circumstances—see immediately above—are
forcing our hand.)
Source: A 15-Point Human Capital Asset Development Manifesto/
World Strategy Forum/The New Rules: Reframing Capitalism/Seoul/0615.12
People
Promoting:
2/year =
Legacy.
Promotion Decisions
“life and
death
decisions”
Source: Peter Drucker, The Practice of Management
“A man should never
be promoted to a
managerial position if his
vision focuses on people’s
weaknesses rather than
on their
strengths.”
—Peter Drucker, The Practice of Management
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Innovation
/47
(No kidding)
Lesson47:
WTTMSW
WHOEVER
TRIES
THE
MOST
STUFF
WINS
“READY.
FIRE.
AIM.”
H. Ross Perot (vs “Aim! Aim! Aim!” /EDS vs GM/1985)
“We made mistakes, of course. Most of them were omissions
We
fixed them by doing it over and over,
again and again. We do the same today. While our
we didn’t think of when we initially wrote the software.
competitors are still sucking their thumbs trying to make the
design perfect, we’re already on prototype version
#5.
By the time our rivals are ready with wires and
screws, we are on version
#10.
It gets
back to planning versus acting: We act
from day one; others plan how to plan—
for months.” —Bloomberg by Bloomberg
Culture of Prototyping
“Effective prototyping may
THE MOST
VALUABLE CORE
COMPETENCE an
be
innovative organization can
hope to have.” —Michael Schrage
“FAIL.
FORWARD.
FAST.”
High Tech CEO, Pennsylvania
“REWARD
excellent failures.
PUNISH mediocre
successes.”
—Phil Daniels, Sydney exec
WTTMSASTMSUTFW
WHOEVER
TRIES
THE
MOST
STUFF
AND
SCREWS
THE
MOST
STUFF
UP
THE
FASTEST
WINS
1/4,096
100%
1/5,000
“YOU MISS
100%
OF
THE SHOTS YOU
NEVER TAKE.”
—Wayne Gretzky
“WE HAVE A
‘STRATEGIC
PLAN.’ IT’S
CALLED DOING
THINGS.”
— Herb Kelleher
Pursuing
Inefficiency
“The secret of fast
progress is
inefficiency, fast
and furious and
numerous failures.”
—Kevin Kelly
“The Silicon Valley of
today is built less atop
the spires of earlier
triumphs than upon
the rubble of earlier
debacles.”
—Paul Saffo
“The difference between Bach and his forgotten peers isn’t
necessarily that he had a better ratio of hits to misses. The
difference is that the mediocre might have a dozen ideas,
while Bach, in his lifetime, created more than a thousand
full-fledged musical compositions. A genius is a genius,
psychologist Paul Simonton maintains, because he can put
together such a staggering number of insights, ideas,
theories, random observations, and unexpected
connections that he almost inevitably ends up with
something great.
‘Quality,’
Simonton writes,
‘is a probabilistic
function of quantity.’”
—Malcolm Gladwell, “Creation Myth,” New Yorker, 0516.11
Innovation
We Are
What
We Eat
“You will become like
the five people you
associate with the
most—this can be
either a blessing or a
curse.”
—Billy Cox
The “We are what we eat”/
“We are who we hang out with”
Axiom: At its core, every (!!!)
relationship-partnership decision
(employee, vendor, customer, etc.,
etc.) is a strategic decision about:
“Innovate,
‘Yes’ or ‘No’ ”
Measure/Manage: Portfolio “Strangeness”/ “Quality”
1. Customers
2. Vendors
3. Out-sourcing Partners
4. Acquisitions
5. Purposeful “Theft”
6. Diversity/“d”iversity
7. Diversity/Crowd-sourcing
8. Diversity/Weird
9. Diversity/Curiosity
10. Benchmarks
11. Calendar
12. MBWA
13. Lunch/General
14. Lunch/Other functions
15. Location/Internal
16. Location/HQ
17. Top team
18. Board
“DON’T
BENCHMARK,
FUTURE
MARK!”
Impetus: “The future is already here; it’s just not evenly distributed” —William Gibson
“DON’T
BENCHMARK,
‘OTHER’ MARK!”
WE ARE THE
COMPANY
WE KEEP!
MANAGE IT!
We Are What
We Eat: The
“Fred Smith
Question”
“Who’s the most
interesting person
you’ve met in the last
90 days? How do I
get in touch with
them?”
—Fred Smith
Ouch
!
“The Bottleneck …
“The Bottleneck is at the …
“Where are you likely to find people with
the least diversity of experience, the
largest investment in the past,
and the greatest reverence for
industry dogma …
Top of the
Bottle”
— Gary Hamel/Harvard Business Review
Wheels Rarely
Need To Be
Re-invented
“Where planners * raise high expectations
but take no responsibility for meeting them,
searchers prefer to work case-by-case, using
trial and error to tailor solutions to individual
problems, fully aware that most remedies must
be homegrown.” —WSJ, 0822.06 (on malaria eradication,
and hedge fund manager Lance Laifer)
[*“Planners [WHO, World Bank, etc] see poverty as a
technical engineering problem that their
answers will solve.” —William Easterly]
“All sorts of approaches need to be
tried and we need feedback.” —Roger Bate
“Somewhere in your
organization, groups of
people are already doing
things differently and
better. To create lasting
change, find these areas of
positive deviance and fan the
flames.”
—Richard Pascale & Jerry Sternin,
“Your Company’s Secret Change Agents,” HBR
“Some people look for
things that went wrong
and try to fix them. I
look for things that went
right, and try to build off
them.”
—Bob Stone (Mr ReGo)
Innovate
or Die:
Measure It!
Innovation Index: How many
of your Top 5 Strategic
Initiatives/Key Projects
score 8 or higher [out of 10]
on a “Weird”/“Profound”/
“Wow”/“Game-changer”
Scale? (At least 3???)
Iron Innovation Equality Law:
The quality and
quantity and
imaginativeness
of innovation shall be
the same in all
functions —e.g., in HR and
purchasing as much as in marketing or
product development.*
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Value Added
TGRs
Customers describing their service
experience as “superior”:
8%
Companies describing
the service experience they provide as
“superior”:
80%
—Source: Bain & Company survey of 362 companies, reported in John DiJulius,
What's the Secret to Providing a World-class Customer Experience?
<TGW
and …
>TGR
[Things Gone
WRONG-Things Gone RIGHT]
Conveyance: Kingfisher Air
Location: Approach to New Delhi
“May I clean
your glasses,
sir?”
BEGINS
(and ENDS)
It
in the …
PARKING
LOT*
*Disney
C
*Chief e
O*
Xperience Officer
TGRS.
MANAGE ’EM.
MEASURE ’EM.*
*I use “manage-measure” a lot. Translation: These are
not “soft” ideas; they are exceedingly important things
that can be managed—AND measured.
Value Added/“Social Business”/CNO:
Chief
Ngagement
e
Officer
“Customer engagement is
moving from relatively isolated
market transactions to deeply
connected and sustained
social relationships. This basic
change in how we do business
will make an impact on just
about everything we do.”
Social Business By Design: Transformative Social Media
Strategies For the Connected Company —Dion Hinchcliffe & Peter Kim
Marbles, a Ball and Social Employees ay IBM
“Picture a ball and a bag of marbles side by side. The
two items might have the same volume—that is, if you
dropped them into a bucket, they would sisplace the
same amount of water. The difference, however, lies in
the surface area, Because a bag of marbles is
comprised of several individual pieces, the
combined surface area of all the marbles far
outstrips the surface area of a single ball. The
expanded surface area represents a social brand’s
increased diversity. These surfaces connect and
interact with each other in unique ways, offering
customers and employees alike a variety of paths
toward a myriad of solutions. If none of the paths prove
to be suitable, social employees can carve out new
paths on their own.” —Ethan McCarty, Director of Enterprise Social Strategy,
IBM (from Cheryl Burgess & Mark Burgess,
The Social Employee
IBM Social Business Markers/2005-2012
*433,000 employees on IBM Connection
*26,000 individual blogs
*91,000 communities
*62,000 wikis
*50,000,000 IMs/day
*Facebook: 200,000 employees
*LinkedIn: 295, 000 employees/
800,000 followers of the brand
*Twitter: 35,000
Source: IBM case, in Cheryl Burgess & Mark Burgess,
Employee
The Social
Seven Characteristics of the Social Employee
1. Engaged
2. Expects Integration of the
Personal and Professional
3. Buys Into the Brand’s Story
4. Born Collaborator
5. Listens
6. Customer-Centric
7. Empowered Change Agent
Source: Cheryl Burgess & Mark Burgess,
The Social Employee
SB/SE
> SM*
*“Social BUSINESS”/“Social EMPLOYEE”/“Social Media”
Value Added
LBTs*
*Little BIG Things
Big carts =
Source: Wal*Mart
2X: “When Friedman
slightly
curved
the right angle of an
entrance corridor to one property, he
was ‘amazed at the magnitude of change
in pedestrians’ behavior’—the percentage
onethird to nearly two-thirds.”
who entered increased from
—Natasha Dow Schull, Addiction By Design: Machine Gambling in Las Vegas
Glaring Eyes:
-62%
Source: PLOS ONE (via The Atlantic CITIES /0429.13)
(1) Amenable to rapid
experimentation/
failure “free” (PR, $$)
(2) Quick to implement/
Quick to Roll out
(3) Inexpensive to
implement/Roll out
(4) Huge multiplier
(5) An “Attitude”
Value Added
DESIGN
!
Design Rules!
APPLE market cap
> Exxon Mobil*
*August 2011
“Design is
treated like
a religion at
BMW.”* —Fortune
*APPLE market cap > Exxon Mobil (August 2011)
DESIGN is the
principal difference
love and
hate!*
between
*Not “like” and “dislike”
Hot Language
“INSANELY GREAT”
STEVE JOBS
“RADICALLY THRILLING”
BMW
“Only one company
can be the cheapest.
All others must use
design.”
—Rodney Fitch, Fitch & Co.
Source: Insights, definitions of design, the Design Council [UK]
C
*Chief
O*
Design Officer
Initiate a …
“Design Review”
Today
(Of Everything)
DESIGN =
THE LAST
WORD!
Hypothesis: Men
cannot
design for women’s
!!??
needs
Value Added
“… this will be
the woman’s
century …”
President Dilma Rousseff of Brazil, 1st woman to keynote the United Nations General Assembly (2011)
“Forget CHINA,
INDIA and the
INTERNET: Economic
Growth Is Driven by
WOMEN.”
Source: Headline, Economist
Women BUY*
*EVERYTHING
W>
2X (C + I)*
*“Women now drive the global economy. Globally, they control about $20
trillion in consumer spending, and that figure could climb as high as
$28 trillion
in the next five years. Their
$13 trillion in total yearly earnings could reach $18 trillion in the same
period. In aggregate, women represent a growth market bigger than China and India combined—more than
twice as big in fact. Given those numbers, it would be foolish to ignore or underestimate the female consumer. And
yet many companies do just that—even ones that are confidant that they have a winning strategy when it comes to
women. Consider Dell’s …”
Source: Michael Silverstein and Kate Sayre, “The Female Economy,” HBR, 09.09
“Women are
THE majority
market”
—Fara Warner/The Power of the Purse
Women as …
55%
Purchasing managers: 42%
Wholesale/retail buyers: 52%
Purchasing agents:
Employee health-benefit
plans:
60%
Source: Martha Barletta/TrendSight Group/0517.11
!
Women RULE
“AS
LEADERS,
WOMEN
RULE:
New Studies find that
female managers outshine their male
counterparts in almost every measure”
TITLE/ Special Report/ BusinessWeek
Women’s Negotiating Strengths
*Ability to put themselves in their
counterparties’ shoes
*Comprehensive, attentive and detailed
communication style
*Empathy that facilitates trust-building
*Curious and attentive listening
*Less competitive attitude
*Strong sense of fairness and ability to persuade
*Proactive risk manager
*Collaborative decision-making
Source: Horacio Falcao, Cover story/May 2006, World Business, “Say It
Like a Woman: Why the 21st-century negotiator will need the female touch”
“Headline 2020:
Women Hold
80
Percent of
Management and
Professional Jobs”
Source: The Extreme Future: The Top Trends That Will
Reshape the World in the Next 20 Years, James Canton
“Research suggests
that to succeed,
start by promoting
women.”
—Nicholas Kristof, “Twitter, Women, and Power,” NYTimes, 1024.13
“Success” >>
“Satisfaction”
M
IBM
IB
to
$55B*
*IBM Global Services/
“Systems integrator of choice”
“You are headed
for commodity
hell if you don’t
have services.”
—Lou Gerstner, on IBM’s coming revolution (1997)
“THE GIANT STALKING BIG OIL:
Schlumberger
How
Is Rewriting the Rules of the
Energy Game.”: “IPM [Integrated
Project Management] strays from
[Schlumberger’s] traditional role
as a service provider and moves
deeper into areas once dominated
by the majors.”
Source: BusinessWeek cover story, January 2008
I. LAN Installation Co.
II. Geek Squad.
(3%)
(30%.)
III. Acquired by Best Buy.
IV. FLAGSHIP OF BEST BUY
WHOLESALE “SOLUTIONS”
STRATEGY MAKEOVER.
Huge: “Customer
Satisfaction with
product/Service”
to
“CUSTOMER
SUCCESS”
Universal Value Added:
The
PSF
(or bust)
Solution
“ ‘Disintermediation’ is overrated. Those who fear disintermediation-outsourcing
should in fact be afraid of irrelevance; ‘outsourcing’ is just another
you’ve become
irrelevant to your
customers.”
way of saying that …
—John Battelle/Point/Advertising Age
“A bureaucrat is an
expensive microchip.”
—Dan Sullivan, consultant and executive coach
The Professional Service Firm50: Fifty Ways to Transform
Your “Department” into a Professional Service Firm
Whose Trademarks Are Passion and Innovation!
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow Now
Star Power
Beyond BIG
“I am often asked by
would-be entrepreneurs
seeking escape from life
within huge corporate
structures, ‘How do I build
a small firm for myself?’
The answer seems
obvious …
Source: Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics
“I am often asked by would-be entrepreneurs seeking escape from
life within huge corporate structures, ‘How do I build a small firm for
Buy a
very large
one and just
wait.”
myself?’ The answer seems obvious:
—Paul Ormerod, Why Most Things Fail:
Evolution, Extinction and Economics
“Mr. Foster and his McKinsey colleagues collected
detailed performance data stretching back
years for
1,000
found that
U.S. companies.
40
They
NONE
of
the long-term survivors managed to
outperform the market. Worse, the
longer companies had been in the
database, the worse they did.”
—Financial Times
“Data drawn from the real world
attest to a fact that is beyond
EVERYTHING
IN EXISTENCE TENDS
TO DETERIORATE.”
our control:
—Norberto Odebrecht, Education Through Work
Star Power
Beyond BIG
Mid-size
Superstars
Enter:
MITTELSTAND* **
*“agile creatures darting between the legs of
the multinational monsters” (Bloomberg BusinessWeek, 10.10)
**E.g. Goldmann Produktion
THE RED
CARPET
STORE
(Joel Resnick/Flemington NJ)
Motueka, New Zealand
Coppins Sea
Anchors*
*PSA/Para-sea
anchors
Retail Superstars:
Inside the 25 Best
Independent Stores
in America
—by George Whalin
Jungle Jim’s International Market, Fairfield, Ohio: “An
adventure in
‘shoppertainment,’
as Jungle Jim’s
1,600
cheeses and, yes, 1,400 varieties of hot
sauce —not to mention 12,000 wines priced
from $8 to $8,000 a bottle; all this is brought to
you by 4,000 vendors. Customers come from every
calls it, begins in the parking lot and goes on to
corner of the globe.”
Bronner’s Christmas Wonderland, Frankenmuth, Michigan,
98,000-square-foot “shop” features the
likes of 6,000 Christmas ornaments, 50,000
trims, and anything else you can name if it pertains to
pop 5,000:
Christmas.
Source: George Whalin, Retail Superstars
“BE THE BEST.
IT’S THE ONLY
MARKET THAT’S
NOT CROWDED.”
From: Retail Superstars: Inside the 25 Best
Independent Stores in America, George Whalin
Small Giants:
Companies That Choose to Be
Great Instead of Big
Star Power
Beyond BIG
Enter:
You & Me
Muhammad Yunus:
“All human
beings are
entrepreneurs. When we
were in the caves we were all self-employed . .
. finding our food, feeding ourselves. That’s
where human history began . . . As civilization
came we suppressed it. We became labor
because they stamped us, ‘You are labor.’
We forgot that we are entrepreneurs.”
Distinct or extinct!
“We are in no danger of
running out of new
combinations try. Even
if technology froze today, we have more
possible ways of configuring the
different applications, machines, tasks,
and distribution channels to create new
processes and products than we could
ever exhaust.” —Erik Brynjolfsson and Andrew McAfee, Race
Against the Machine: How the Digital Revolution Is Accelerating Innovation,
Driving Productivity and Irreversibly Transforming Employment and the Economy
“Human
creativity
is the ultimate
economic
resource.”
—Richard Florida
USA 1996-2007
Highest rate
entrepreneurial activity
(firms founded):
Ages
55-64
Lowest rate: Ages 20-34
Source: Dane Stangler, Kauffman Foundation (Economist)
*Execution
*Context
*Excellence
*Leading
*People
*Innovation
*Value Added
*Star Power
*Wow!
Now!
Wow! Now!
14,000
20,000
14,000/eBay
20,000/Amazon
30/Craigslist
Where’s
your “Craig’s List
Every project:
[WOW!]
option”?
“If things seem
under control,
you’re just not
going fast
enough.”
—Mario Andretti
Fragile: Breaks easily.
Resilient: Bounces back.
Get jazzed by
and progress/innovate
as a result of being
knocked about.
Antifragile:
— With credit to Nassim Nicholas Taleb
(Antifragile: Things That Gain From Disorder )
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
Kevin Roberts’ Credo
1. Ready. Fire! Aim.
2.
3.
4.
5.
6.
7.
8.
9.
If it ain’t broke ... Break it!
Hire crazies.
Ask dumb questions.
Pursue failure.
Lead, follow ... or get out of the way!
Spread confusion.
Ditch your office.
Read odd stuff.
10.
AVOID MODERATION!
G
R
I
N
enetics
obotics
nformatics
anotechnology*
#1: GRIN and BEAR it? GRIN and
SAVOR it?
*Decision