conrad hilton …. conrad hilton, at a gala celebrating his career, was called to the podium and...

CONRAD CONRAD HILTON …HILTON …

CONRADCONRAD HILTONHILTON, at a gala celebrating, at a gala celebrating his career, was called to the podium and his career, was called to the podium and

asked,asked, “What were the most important

lessons you learned in your long and

distinguished career?” His answer …His answer …

““Remember Remember to tuck the to tuck the

shower curtain shower curtain inside the inside the bathtubbathtub.”.”

Tom Peters’Tom Peters’

Re-ImagineRe-Imagine

EXCELLENCEEXCELLENCE!!2015 World Business Forum Sydney2015 World Business Forum Sydney

28 May 201528 May 2015

(Slides at tompeters.com; and our fully annotated 23-part (Slides at tompeters.com; and our fully annotated 23-part Master Compendium at excellencenow.com)Master Compendium at excellencenow.com)

In Search of ExcellenceIn Search of Excellence/1982: /1982: The Bedrock “Eight Basics”The Bedrock “Eight Basics”

1. A Bias for 1. A Bias for ActionAction2. Close to the 2. Close to the CustomerCustomer3. 3. AutonomAutonomyy and and EntreEntreppreneurshireneurshipp4. Productivity Through 4. Productivity Through PeoPeopplele5. 5. Hands OnHands On, , Value-DrivenValue-Driven6. 6. Stick toStick to the Knitting the Knitting7. 7. SimSimpplele Form, Form, LeanLean Staff Staff8. Simultaneous 8. Simultaneous Loose-TightLoose-Tight PropertiesProperties

““Breakthrough” 82*Breakthrough” 82*

People! People! Customers! Customers!

Action! Action! ValuesValues! !

**In Search of ExcellenceIn Search of Excellence

ENTERPRISEENTERPRISE* (*AT ITS BEST):* (*AT ITS BEST): An An emotionalemotional, , vitalvital, , innovativeinnovative, j, jooyyfulful, , creativecreative, , entreentreppreneurialreneurial endeavor that elicits endeavor that elicits maximum maximum

concerted humanconcerted human potential in thepotential in the wholehearted wholehearted ppursuit of ursuit of EXCELLENCE inEXCELLENCE in serviceservice of others of others.****Employees, Customers, Suppliers, Communities, Owners, Temporary partners**Employees, Customers, Suppliers, Communities, Owners, Temporary partners

““It may sound radical, unconventional, and It may sound radical, unconventional, and bordering on being a crazy business idea. bordering on being a crazy business idea. However— as ridiculous as it sounds—joy is However— as ridiculous as it sounds—joy is

the core belief of our workplace. the core belief of our workplace.

JoyJoy is the reason my company, is the reason my company,

Menlo Innovations, a customer software Menlo Innovations, a customer software design and development firm in Ann Arbor, design and development firm in Ann Arbor,

exists. It defines what we do and how we do it. exists. It defines what we do and how we do it. It is the single shared belief of our entire It is the single shared belief of our entire

team.”team.”

——Richard Sheridan, Richard Sheridan, Joy, Inc.: Joy, Inc.: How We Built a Workplace People LoveHow We Built a Workplace People Love

PUTTING PEOPLEPUTTING PEOPLE

[REALLY][REALLY] FIRSTFIRST

1/4,096: excellencenow.com1/4,096: excellencenow.com

““Business has to Business has to give people give people enriching, enriching,

rewarding lives …rewarding lives …

1/4,096: excellencenow.com1/4,096: excellencenow.com

““Business has to give people enriching, Business has to give people enriching,

rewarding lives … rewarding lives … or it's or it's simsimppllyy not not

worth worth doindoing.”g.”

——Richard BransonRichard Branson

““You have to treatYou have to treat your employees like your employees like

customers.”customers.” —Herb Kelleher—Herb Kelleher

““If you want staff to If you want staff to give great service, give give great service, give great service to staff.” great service to staff.” ——

Ari WeinzweigAri Weinzweig

““What employees experience, Customers will. The best marketing is What employees experience, Customers will. The best marketing is

happy, engaged employees.happy, engaged employees. YOUR YOUR CUSTOMERS CUSTOMERS

WILL NEVER BE WILL NEVER BE ANY HAPPIER ANY HAPPIER THAN YOUR THAN YOUR

EMPLOYEES.”EMPLOYEES.” —John DiJulius, —John DiJulius,

The Customer Service Revolution: Overthrow Conventional The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the WorldBusiness, Inspire Employees, and Change the World

1996-2014/12 companies every year/ 1996-2014/12 companies every year/ 341,567 new jobs/+172%:341,567 new jobs/+172%:

PublixPublixWhole FoodsWhole FoodsWegmansWegmansNordstromNordstromCisco SystemsCisco Systems

MarriottMarriottREIREIGoldman SachsGoldman Sachs

Four SeasonsFour SeasonsSAS InstituteSAS InstituteW.L. GoreW.L. GoreTDIndustriesTDIndustriesSource: Source: FortuneFortune/ “The 100 Best Companies to Work / “The 100 Best Companies to Work For”/0315.15For”/0315.15

Training = Training = InvestmentInvestment

#1#1!!

In the Army, In the Army, 33--star star ggeneralsenerals worry about worry about

training. In most training. In most businesses, it's a businesses, it's a

“ho-hum” mid-level “ho-hum” mid-level staff function.staff function.

Bet #4:Bet #4: >> 8 of 10 >> 8 of 10 CEOs, in 45-min CEOs, in 45-min “tour d’horizon” “tour d’horizon” of their biz, would of their biz, would NOTNOT mention mention training.training.

What is the best What is the best reason to go reason to go berserk over berserk over

training?training?

What is the best reason to go What is the best reason to go bananas over training?bananas over training?

GREED.GREED.

(It pays off.)(It pays off.)

(Also: Training should be an official part of(Also: Training should be an official part of

the the R&DR&D budget and a capital expense.) budget and a capital expense.)

Is your CTO/Chief Training Officer your top paid “C-level” job (other than CEO/COO)?Is your CTO/Chief Training Officer your top paid “C-level” job (other than CEO/COO)?If not, why not?If not, why not?Are your top trainers paid as much as your top marketers and engineers?Are your top trainers paid as much as your top marketers and engineers?If not, why not?If not, why not?

Are your training Are your training courses so good courses so good they make you … they make you … jump up & down jump up & down with glee?with glee?If not, why not?If not, why not?Randomly stop an employee in the hall: Can she/he meticulously describe her/his development plan for the next Randomly stop an employee in the hall: Can she/he meticulously describe her/his development plan for the next 12 months?12 months?If not, why not?If not, why not?Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, the military?the military?If “people/talent first” and hyper-intense continuous training are laughably obviously for them, why not you? If “people/talent first” and hyper-intense continuous training are laughably obviously for them, why not you?

Is your CTO/Chief Training Officer your top paid “C-level” job (other than CEO/COO)?Is your CTO/Chief Training Officer your top paid “C-level” job (other than CEO/COO)?If not, why not?If not, why not?

Are your top trainers paid as much as your top marketers and engineers?Are your top trainers paid as much as your top marketers and engineers?If not, why not?If not, why not?

Are your training courses so good they make you giggle and tingle?Are your training courses so good they make you giggle and tingle?If not, why not?If not, why not?

Randomly stop an employee Randomly stop an employee in the hall: in the hall: Can she/he Can she/he meticulouslmeticulouslyy describe describe her/his develoher/his developpment ment pplan lan for the next 12 monthsfor the next 12 months??If not, why not?If not, why not?

Why is your world of business any different than the (competitive) world of rugby, football, Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, opera, theater, the military?the military?If “people/talent first” and hyper-intense continuous training are laughably obviously for If “people/talent first” and hyper-intense continuous training are laughably obviously for them, why not you? them, why not you?

11stst-Line Bosses -Line Bosses [Cadre of] = [Cadre of] =

Productivity Asset Productivity Asset

#1#1!!

Is there Is there ONEONE “secret” “secret” to productivity and to productivity and

employee satisfaction?employee satisfaction?

YESYES!!

The Quality of your The Quality of your FULLFULL CADRECADRE of … of …1st-line Leaders.1st-line Leaders.

““People People leave leave

manamanaggersers not not companies.”companies.”

——Dave WheelerDave Wheeler

WOMEN RULEWOMEN RULE!!

““Women are rated higher in fully Women are rated higher in fully 12 of the 16 competencies that go 12 of the 16 competencies that go into outstanding leadership. into outstanding leadership. And And two of the traits where women two of the traits where women outscored men to the highest outscored men to the highest degree — taking initiative and degree — taking initiative and driving for results — have long driving for results — have long been thought of as particularly been thought of as particularly

male strengths.”male strengths.”

——Harvard Business ReviewHarvard Business Review

““Research Research [by McKinsey & Co.][by McKinsey & Co.] suggests that to succeed, suggests that to succeed,

start by promoting start by promoting women.”women.”

——Nicholas Kristof, “Twitter, Women, and Power,” Nicholas Kristof, “Twitter, Women, and Power,” NYTimesNYTimes

““In my experience, women In my experience, women make much better make much better

executives than men.”executives than men.” —Kip —Kip

Tindell, CEO, Container StoreTindell, CEO, Container Store

For One [For One [BIGBIG] Thing …] Thing …

““McKinsey & Company found that McKinsey & Company found that the international companies with the international companies with more women on their corporate more women on their corporate

boards boards far outperformedfar outperformed the average the average company in return on equity and company in return on equity and

other measures. Operating profit other measures. Operating profit

was …was … 56%56% higher.”higher.”

Source: Nicholas Kristof, “Twitter, Women, and Power,” Source: Nicholas Kristof, “Twitter, Women, and Power,” NYTimesNYTimes, 1024.13, 1024.13

TECH TSUNAMI TECH TSUNAMI AND THE MORAL AND THE MORAL

IMPERATIVE:IMPERATIVE:PEOPLE PEOPLE

DEVELOPMENTDEVELOPMENT

China/Foxconn:China/Foxconn:

1,000,000

robots/next robots/next 3 years years

Source:Source: Race AGAINST the Machine, Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfeeErik Brynjolfsson and Andrew McAfee

““Since Since 19961996, manufacturing , manufacturing employment in China itself has actuallyemployment in China itself has actually

fallefallenn

by an estimatedby an estimated 2525 p percentercent..

That’s overThat’s over 30,000,00030,000,000 fewerfewer Chinese workers in that Chinese workers in that

sector, even while output soared by sector, even while output soared by 70 percent70 percent.. It’s not that American workers It’s not that American workers

are being replaced by Chinese workers. It’s that both are being replaced by Chinese workers. It’s that both American American andand Chinese workers are being made more efficient Chinese workers are being made more efficient

[replaced] by automation.”[replaced] by automation.”

——Erik Brynjolfsson and Andrew McAfee, Erik Brynjolfsson and Andrew McAfee, The Second Machine Age: The Second Machine Age: Work, Progress, and Prosperity in a time of Brilliant TechnologiesWork, Progress, and Prosperity in a time of Brilliant Technologies

IoT/Sensor Pills:IoT/Sensor Pills: “Proteus Digital Health is one of several “Proteus Digital Health is one of several pioneers in sensor-based health technology. pioneers in sensor-based health technology. They make a They make a silicon chip the size of a grain of sand that is embedded silicon chip the size of a grain of sand that is embedded into a safely digested pill that is swallowed. When the into a safely digested pill that is swallowed. When the chip mixes with stomach acids, the processor is powered chip mixes with stomach acids, the processor is powered by the body’s electricity and transmits data to a patch by the body’s electricity and transmits data to a patch worn on the skin. That patch, in turn, transmits data via worn on the skin. That patch, in turn, transmits data via Bluetooth to a mobile app, which then transmits the data Bluetooth to a mobile app, which then transmits the data to a central database where a health technician can to a central database where a health technician can verify if a patient has taken her or his medicationsverify if a patient has taken her or his medications. .

““This is a bigger deal than it may seem. In 2012, it was This is a bigger deal than it may seem. In 2012, it was estimated that people not taking their prescribed medications estimated that people not taking their prescribed medications cost cost $258 BILLION$258 BILLION in emergency room visits, hospitalization, in emergency room visits, hospitalization, and doctor visits. An average of and doctor visits. An average of 130,000130,000 Americans die each Americans die each year because they don’t follow their prescription regimens year because they don’t follow their prescription regimens closely enough..” [The FDA approved placebo testing in April closely enough..” [The FDA approved placebo testing in April 2012; sensor pills are ticketed to come to market in 2015 or 2012; sensor pills are ticketed to come to market in 2015 or 2016.]2016.]

Source: Robert Scoble and Shel Israel, Source: Robert Scoble and Shel Israel, Age of Context: Mobile, Sensors, Data and Age of Context: Mobile, Sensors, Data and the Future of Privacythe Future of Privacy

““Human level capability has not turned Human level capability has not turned out to be a special stopping point fromout to be a special stopping point from

an engineering perspective.”an engineering perspective.”

——Illah Reza Nourbakhsh, Illah Reza Nourbakhsh, Robot Futures/2013Robot Futures/2013

““SOFTWARE IS EATING THE WORLD.”SOFTWARE IS EATING THE WORLD.”

——Marc Andreessen/2014Marc Andreessen/2014

““The computers are in control. We just The computers are in control. We just live in their world.”live in their world.” —Danny Hillis, Thinking Machines/2011—Danny Hillis, Thinking Machines/2011

““The intellectual talents of hiThe intellectual talents of higghlhlyy trained trained pprofessionals are no more rofessionals are no more

pprotected from automation than is the rotected from automation than is the driver’s left turndriver’s left turn.”.”

——Nicholas Carr,Nicholas Carr, The Glass Cage: Automation and Us The Glass Cage: Automation and Us

The New Logic: Scale w/o EmploymentThe New Logic: Scale w/o Employment

Kodak: 1988/Kodak: 1988/145,000 employees; 2012/bankruptemployees; 2012/bankrupt

Instagram: 30,000,000 customers/Instagram: 30,000,000 customers/

13 employees employees

(WhatsApp: 450,000,000 (WhatsApp: 450,000,000

customers/ customers/ 55 employees/ employees/Valued @ $19,000,000,000)Valued @ $19,000,000,000)

Source: Robert Reich’s Blog/0317.15Source: Robert Reich’s Blog/0317.15

CORPORATE MANDATE #1 2014:CORPORATE MANDATE #1 2014: Your Your principal moral obligation as a principal moral obligation as a

leader is to develop the skillset, leader is to develop the skillset, “soft” and “hard,” of every one “soft” and “hard,” of every one

of the people in your charge of the people in your charge (temporary as well as semi-(temporary as well as semi-permanent) to the maximum permanent) to the maximum

extent of your abilities. The good extent of your abilities. The good news: news: This is also theThis is also the

#1 mid- to lon#1 mid- to longg-term-term … … p profit maximization straterofit maximization strategy!gy!

Lesson49:Lesson49: WTTMSWWTTMSW

WHOEVERWHOEVERTRIESTRIESTHETHEMOSTMOSTSTUFFSTUFFWINSWINS

READY.READY.

FIREFIRE!!AIM.AIM.

H. Ross Perot (vs. H. Ross Perot (vs. “Aim! Aim! Aim!”“Aim! Aim! Aim!”/EDS vs. GM/1985)/EDS vs. GM/1985)

““EXPERIMENT EXPERIMENT FEARLESSLY”FEARLESSLY”

Source: BusinessWeek, “Type A Organization Strategies: How to Hit a Moving Target”—Tactic #1Tactic #1

“RELENTLESS TRIAL“RELENTLESS TRIAL AND ERROR” AND ERROR”

Source: Source: Wall Street JournalWall Street Journal, cornerstone of effective approach to “rebalancing” company, cornerstone of effective approach to “rebalancing” company portfolios in the face of changing and uncertain global economic conditions (11.08.10) portfolios in the face of changing and uncertain global economic conditions (11.08.10)

““FAIL. FORWARD. FAST.”FAIL. FORWARD. FAST.”—High Tech CEO, Pennsylvania

“FAIL FASTER. “FAIL FASTER. SUCCEED SOONER.”SUCCEED SOONER.”

—David Kelley/IDEO

“MOVE FAST. “MOVE FAST.

BREAK THINGS.”BREAK THINGS.” —Facebook—Facebook

““REWARDREWARD EXCELLENT EXCELLENT FAILURES. FAILURES. PUNISHPUNISH MEDIOCRE MEDIOCRE

SUCCESSES.”SUCCESSES.”—Phil Daniels, Sydney exec—Phil Daniels, Sydney exec

LBTLBTs***s*** *Little BIG Things *Little BIG Things **A variation on WTTMSW **A variation on WTTMSW

Big carts =Big carts =

1.5X1.5XSource: WalmartSource: Walmart

Bag sizes = New markets:Bag sizes = New markets:

$B$BSource: PepsiCoSource: PepsiCo

2X:2X: “When Friedman“When Friedman

slisligghtlhtly y curvedcurved the right angle of the right angle of

an entrance corridor to one property, an entrance corridor to one property, he was ‘amazed at the magnitude of he was ‘amazed at the magnitude of

change in pedestrians’ behavior’—the change in pedestrians’ behavior’—the percentage who entered increased percentage who entered increased

from from oneone--thirdthird to nearly to nearly twotwo--thirdsthirds.”.”

——Natasha Dow Schull, Natasha Dow Schull, Addiction By Design: Machine Gambling in Las VegasAddiction By Design: Machine Gambling in Las Vegas

(1)(1) AMENABLE TO RAPID AMENABLE TO RAPID EXPERIMENTATION/FAILURE “FREE” EXPERIMENTATION/FAILURE “FREE” (NO BAD “PR,” NO $$)(NO BAD “PR,” NO $$)(2)(2) QUICK TO IMPLEMENT/QUICK TO QUICK TO IMPLEMENT/QUICK TO ROLL OUTROLL OUT(3)(3) INEXPENSIVE TO IMPLEMENT/ INEXPENSIVE TO IMPLEMENT/ ROLL OUTROLL OUT(4)(4) HUGE [POTENTIAL] MULTIPLIER HUGE [POTENTIAL] MULTIPLIER(5) (5) AN “ATTITUDE” [WTTMSW/ AN “ATTITUDE” [WTTMSW/ “ “SERIOUS PLAY”]SERIOUS PLAY”](6)(6) DOES NOT BY AND LARGE REQUIRE DOES NOT BY AND LARGE REQUIRE A “POWER POSITION” FROM WHICHA “POWER POSITION” FROM WHICH TO LAUNCH EXPERIMENTS.TO LAUNCH EXPERIMENTS.

““You can’t be a serious You can’t be a serious innovator unless and until innovator unless and until you are ready, willing and you are ready, willing and

able to seriously play.able to seriously play.

‘‘Serious Serious plplaay’y’ isis not an oxymoron; it is not an oxymoron; it is

the the essenceessence of of innovationinnovation.”.”

—Michael Schrage,—Michael Schrage, Serious PlaySerious Play

WSJ/0910.13:WSJ/0910.13: “What matters most “What matters most to a company over time? to a company over time?

Strategy or culture? Strategy or culture?

Dominic Barton, Managing Director, McKinsey & Co.:Dominic Barton, Managing Director, McKinsey & Co.:

“Culture.“Culture.””

WTTMSWTTMSASTMSUASTMSUTFTFWW

WHOEVERWHOEVERTRIESTRIESTHETHEMOSTMOSTSTUFFSTUFFANDANDSCREWSSCREWSTHETHEMOSTMOSTSTUFFSTUFFUP UP THETHEFASTESTFASTESTWINSWINS

We Are WhatWe Are What We Eat. We Eat.

We Are Who We We Are Who We Spend Time Spend Time

With.With.

““You will become You will become like the five people like the five people you associate with you associate with the most—this can the most—this can

be either a blessing be either a blessing or a curse.”or a curse.” —Billy Cox—Billy Cox

The “We are what we eat”/ The “We are what we eat”/ “We are who we hang out with”“We are who we hang out with”

Axiom: Axiom: At its core, At its core, evereveryy (!!!) (!!!)

relationship-partnership decision relationship-partnership decision (employee, vendor, customer, etc., (employee, vendor, customer, etc., etc.) is a etc.) is a stratestrateggicic decision about: decision about:

“Innovate,“Innovate, ‘ ‘YesYes’ ’ oror ‘No’ ” ”

InnovateInnovate or Die: or Die:

Measure It!Measure It!

Innovation IndexInnovation Index:: How many of your Top 5Top 5

Strategic Initiatives/Key Projects score 88 or or higherhigher [out of 10] on a

“Weird”“Weird”//“Profound”“Profound”/ / “Wow”“Wow”//“Game-“Game-

changer”changer” Scale? (At least 3???)

TGRs:TGRs:8/808/80

CustomersCustomers describing their service describing their service

experience as “superior”: experience as “superior”: 88%%ComComppaniesanies describing describing

the service experience they provide the service experience they provide asas

“ “superior”: superior”: 8080%%——Source: Bain & Company survey of 362 companies, reported in John DiJulius,Source: Bain & Company survey of 362 companies, reported in John DiJulius,

What's the Secret to Providing a World-class Customer Experience?What's the Secret to Providing a World-class Customer Experience?

Conveyance: Kingfisher Air Conveyance: Kingfisher Air Location: Approach to New DelhiLocation: Approach to New Delhi

““May I clean May I clean your glasses, your glasses,

sir?”sir?”

<TG<TGWandand … …

>TG>TGRR[Things Gone [Things Gone WRONG-Things Gone -Things Gone RIGHTRIGHT]]

LLBBTs > Ts > BBBBTSTS

“Courtesies of a small “Courtesies of a small and trivial character and trivial character are the ones which are the ones which

strike deepest in the strike deepest in the grateful and grateful and

appreciating heart.”appreciating heart.”

—Henry Clay

Social Business/ Social Business/ Customer Customer

EngagementEngagement

““Customer enCustomer enggaaggement is ement is movinmovingg from relativel from relativelyy

isolated market transactions isolated market transactions to deeplto deeplyy connected and connected and

sustained social sustained social relationshirelationshippss.. This basic change in This basic change in how we do business will make an impact how we do business will make an impact

on just about everything we do.”on just about everything we do.”

Social Business By Design: Transformative Social Media StrategiesSocial Business By Design: Transformative Social Media Strategies For the Connected CompanyFor the Connected Company —Dion Hinchcliffe & Peter Kim —Dion Hinchcliffe & Peter Kim

““What used to be “What used to be “word of mouthword of mouth” ”

is now “is now “word of mouseword of mouse.” .” You You are either creatinare either creatingg

brand ambassadors or brand ambassadors or brand terrorists doinbrand terrorists doingg brand assassinationbrand assassination.”.”

——John DiJulius, John DiJulius, The Customer Service Revolution: Overthrow The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the WorldConventional Business, Inspire Employees, and Change the World

Welcome to the Age of Social Media:Welcome to the Age of Social Media: “It “It takes 20 takes 20 yyears to build ears to build

a rea repputation and five utation and five minutes to ruin itminutes to ruin it.. Also, Also, the Internet and technology have the Internet and technology have

made customers more demanding., made customers more demanding., and they expect information, and they expect information,

answers, products, responses, and answers, products, responses, and resolutions sooner than ASAP.”resolutions sooner than ASAP.” —John —John

DiJulius, DiJulius, The Customer Service Revolution: Overthrow ConventionalThe Customer Service Revolution: Overthrow Conventional

Business, Inspire Employees, and Change the WorldBusiness, Inspire Employees, and Change the World

Welcome to the Age of Social Media:Welcome to the Age of Social Media:

““The customer is The customer is in comin compplete lete control of control of

communicationcommunication.”.”——John DiJulius, John DiJulius, The Customer Service Revolution: Overthrow The Customer Service Revolution: Overthrow

Conventional Business, Inspire Employees, and Change the WorldConventional Business, Inspire Employees, and Change the World

““I would rather enI would rather enggaagge in a e in a Twitter conversation with a Twitter conversation with a

sinsinggle customer than see our le customer than see our comcomppananyy attem attemppt to attract the t to attract the

attention of millions in a attention of millions in a coveted Sucoveted Supper Bowl commercialer Bowl commercial..

Why? Because having people discuss your brand directly with you, actually Why? Because having people discuss your brand directly with you, actually connecting one-to-one, is far more valuable—not to mention far cheaper!. …connecting one-to-one, is far more valuable—not to mention far cheaper!. …

““Consumers want to discuss what they like, the companies they support, and the Consumers want to discuss what they like, the companies they support, and the organizations and leaders they resent. They want a community. They want to be organizations and leaders they resent. They want a community. They want to be

heard.heard.““[I]f we engage employees, customers, and prospective customers in meaningful [I]f we engage employees, customers, and prospective customers in meaningful

dialogue about their lives, challenges, interests, and concerns, we can build a dialogue about their lives, challenges, interests, and concerns, we can build a community of trust, loyalty, and—possibly over time—help them become advocates community of trust, loyalty, and—possibly over time—help them become advocates

and champions for the brand.”and champions for the brand.”

——Peter Aceto, CEO, Peter Aceto, CEO, TangerineTangerine (from the Foreword to (from the Foreword to A World Gone Social: A World Gone Social: How Companies Must Adapt to SurviveHow Companies Must Adapt to Survive, by Ted Coine & Mark Babbit), by Ted Coine & Mark Babbit)

BIG DATA BIG DATA

BIG $$$$$$BIG $$$$$$!!

““Caesars’ Caesars’ Entertainment Entertainment have bet have bet

their future on their future on harvestinharvestingg ppersonal ersonal

data rather than data rather than develodeveloppiningg the fanciest the fanciest

pproroppertieserties.”.” —Adam Tanner, —Adam Tanner,

What Stays in Vegas: What Stays in Vegas: The World of Personal Data—Lifeblood of Big The World of Personal Data—Lifeblood of Big Business—and the End of Privacy as We Know itBusiness—and the End of Privacy as We Know it

Women BUY Women BUY [Everything][Everything]!!

Women BUYWomen BUY

[Everything][Everything] !!

““Forget CHINA, Forget CHINA, INDIA and the INDIA and the

INTERNET: Economic INTERNET: Economic Growth Is Driven by Growth Is Driven by

WOMENWOMEN.”.”

Source: Headline, Economist

W W > > 2X2X (C + (C + I)*I)*

**“Women now drive the global economy. Globally, they control about “Women now drive the global economy. Globally, they control about $20 trillion in consumer spending, and that figure could climb as high as $20 trillion in consumer spending, and that figure could climb as high as

$28 trillion$28 trillion in the next five years. in the next five years.

Their $13 trillion in total yearly earnings could reach $18 trillion in the Their $13 trillion in total yearly earnings could reach $18 trillion in the same period.same period. In aggregate, women represent a growth market bigger than China and India combined—more 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. 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 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 …”comes to women. Consider Dell’s …”

Source: Michael Silverstein and Kate Sayre, “The Female Economy,” Source: Michael Silverstein and Kate Sayre, “The Female Economy,” HBRHBR, 09.09, 09.09

““Women areWomen are THETHE majority majority

market”market” —Fara Warner/—Fara Warner/The Power of the PurseThe Power of the Purse

Women as Decision Makers/Various sourcesWomen as Decision Makers/Various sources

Home Furnishings … Home Furnishings … 94%94%Vacations … Vacations … 92%92% (Adventure Travel … 70%/ $55B travel equipment)(Adventure Travel … 70%/ $55B travel equipment)

Houses … Houses … 91%91%D.I.Y. D.I.Y. (major “home projects”)(major “home projects”) … … 80%80%

Consumer Electronics … Consumer Electronics … 51%51% (66% home computers)(66% home computers)

Cars … Cars … 68%68% (influence (influence 90%90%))

AllAll consumerconsumer p purchasesurchases … … 83%83% **

Bank Account … Bank Account … 89%89%Household investment decisions … Household investment decisions … 67%67%Small business loans/biz starts … Small business loans/biz starts … 70%70%

Health Care … Health Care … 80%80%*In the USA women hold *In the USA women hold >50%>50% managerial positions including managerial positions including >50%>50% purchasing officer positions purchasing officer positions; ;

hence women also make the majority of hence women also make the majority of commercialcommercial purchasing decisions. purchasing decisions.

Can you pass the …Can you pass the …

“Squint “Squint test”test” ??

WeWe [Old Farts like me] [Old Farts like me] GotGot

thethe $$$$$$$$$$$$

USAUSA

11 BOOMER BOOMER

turns turns AGE AGE 6565

Every Every 88 SECONDS SECONDS

For the next For the next 2020 YEARS YEARS

50@50:50@50:

“PEOPLE TURNING 50 “PEOPLE TURNING 50

TODAY HAVE TODAY HAVE MORE MORE THANTHAN HALFHALF OF OF

THEIR ADULT LIFE AHEAD THEIR ADULT LIFE AHEAD OF THEM.”OF THEM.” —Bill Novelli, 50+: IGNITING A REVOLUTION TO

REINVENT AMERICA

7/137/13 [Cars >50][Cars >50]

47X47X [$$$ 65+, 35-] [$$$ 65+, 35-]

55+55+ >> 55-55- [Web $$$][Web $$$]

44-6544-65:: “NEW “NEW CUSTOMER CUSTOMER MAJORITY”MAJORITY”

Source: Source: Ageless MarketingAgeless Marketing, David Wolfe & Robert Snyder, David Wolfe & Robert Snyder

LEADERSHIPLEADERSHIP““I ‘DO’ I ‘DO’

PEOPLE”PEOPLE”

Les Wexner:Les Wexner: FROM FROM FASHION TRENDS GURU FASHION TRENDS GURU

TO JOYTO JOY FROM PICKINGFROM PICKING//

DEVELOPING PEOPLEDEVELOPING PEOPLE!*!**Limited Brands founder Les Wexner queried on astounding *Limited Brands founder Les Wexner queried on astounding

longterm growth & profitability: It happened, he said, longterm growth & profitability: It happened, he said,

because because “I got as excited about “I got as excited about developing people”developing people” as he had been about as he had been about

predicting fashion trends in his early years.predicting fashion trends in his early years.

MBWA/25MBWA/25((MManaging anaging BBy y WWandering andering AAround)round)

““I’m always stopping by our I’m always stopping by our

stores— stores— at least at least 2525

a weeka week.. I’m also in other I’m also in other

places: Home Depot, Whole Foods, Crate places: Home Depot, Whole Foods, Crate & Barrel. I try to be a sponge to pick up & Barrel. I try to be a sponge to pick up

as much as I can.”as much as I can.” —Howard Schultz—Howard Schultz

Source: Source: FortuneFortune, “Secrets of Greatness”, “Secrets of Greatness”

AcknowledgementAcknowledgement!!

““The deepest The deepest urgeurge

in human nature in human nature is the desire to is the desire to

be important.”be important.” —John —John

DeweyDewey(In Dale Carnegie, (In Dale Carnegie, How to Win Friends and Influence How to Win Friends and Influence

People People (“The BIG Secret of Dealing With People”)(“The BIG Secret of Dealing With People”)

““Employees who Employees who don't feel significant don't feel significant

rarely make rarely make significant significant

contributions.”contributions.” —Mark Sanborn—Mark Sanborn

““The The 44 most most

important important wordswords in any in any

organization are …organization are …

THE FOUR MOST IMPORTANT WORDS IN ANY ORGANIZATIONTHE FOUR MOST IMPORTANT WORDS IN ANY ORGANIZATION

ARE …ARE … “WHAT “WHAT DO DO YOUYOU THINK?”THINK?”

Source: courtesy Dave Wheeler, posted at tompeters.com Source: courtesy Dave Wheeler, posted at tompeters.com

33

Relationships (of all varieties): THERE ONCE THERE ONCE WAS A TIME WHEN A WAS A TIME WHEN A

THREETHREE--MINUTEMINUTE PHONEPHONE CALLCALL WOULD WOULD

HAVE AVOIDED SETTING OFF THE HAVE AVOIDED SETTING OFF THE DOWNWARD SPIRAL THAT DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RESULTED IN A COMPLETE

RUPTURE.RUPTURE.**

*Divorce, loss of a BILLION $$$ aircraft sale, etc., etc.*Divorce, loss of a BILLION $$$ aircraft sale, etc., etc.

THE PROBLEM IS THE PROBLEM IS RARELY/RARELY/NEVERNEVER THE THE

PROBLEM. THEPROBLEM. THE

RESPONSERESPONSE TO THE TO THE PROBLEM INVARIABLY PROBLEM INVARIABLY ENDS UP BEING THE ENDS UP BEING THE

REAL PROBLEM.REAL PROBLEM.[OPPORTUNITY][OPPORTUNITY].

Meetings ROCKMeetings ROCK!![Make that: SHOULD Rock][Make that: SHOULD Rock]

Complain all Complain all you want, you want,

but but meetinmeetinggss are what you are what you [boss/leader][boss/leader] dodo!!

Meetings are Meetings are #1#1 thing thing

bosses bosses dodo. Therefore, . Therefore, 100%100%

of those meetings:of those meetings: EXCELLENCE. EXCELLENCE. ENTHUSIASM. ENTHUSIASM. ENGAGEMENT. ENGAGEMENT.

LEARNING. TEMPO. LEARNING. TEMPO. WORK-OF-ARTWORK-OF-ART.. DAMNDAMN ITIT..

1818

“The doctor interrupts after …*

*Source: Jerome Groopman, How Doctors Think

18 …

18 … seconds!

Suggested Suggested Core Value Core Value #1:#1: “We are Effective “We are Effective

Listeners—we treat Listening Listeners—we treat Listening EXCELLENCEEXCELLENCE as the as the Centerpiece of our Centerpiece of our

Commitment to Respect and Commitment to Respect and Engagement and Community Engagement and Community

and Growth.”and Growth.”

7878

Kevin Roberts’ CredoKevin Roberts’ Credo

11. Ready. Fire! Aim.. Ready. Fire! Aim.2. If it ain’t broke ... Break it!2. If it ain’t broke ... Break it!3. Hire crazies.3. Hire crazies.4. Ask dumb questions.4. Ask dumb questions.5. Pursue failure.5. Pursue failure.6. Lead, follow ... or get out of the way!6. Lead, follow ... or get out of the way!7. Spread confusion.7. Spread confusion.8. Ditch your office.8. Ditch your office.9. Read odd stuff.9. Read odd stuff.

10. AVOID MODERATIONAVOID MODERATION!!