long tom peters’ excellence. bedrock. then. now. tomorrow. world strategy summit st. regis...

LONGLONG

Tom Peters’Tom Peters’

EXCELLENCEEXCELLENCE..BEDROCKBEDROCK..

THENTHEN.. NOW NOW.. TOMORROWTOMORROW..

World Strategy SummitWorld Strategy SummitSt. Regis Saadiyat Island Resort/Abu DhabiSt. Regis Saadiyat Island Resort/Abu Dhabi

17 November 2015 (Revised 19 November 2015)17 November 2015 (Revised 19 November 2015)

(Today’s slides and 10+ years of presentation slides at (Today’s slides and 10+ years of presentation slides at tompeters.comtompeters.com; ; also see our annotated 23-part Master Compendium at also see our annotated 23-part Master Compendium at excellencenow.comexcellencenow.com))

EXECUTIONEXECUTIONPEOPLEPEOPLE

INNOVATIONINNOVATIONLEADERSHIPLEADERSHIPLISTENINGLISTENING

EXCELLENCEEXCELLENCE

EXECUTIONEXECUTION

Conrad’s Conrad’s Commandment Commandment ……

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.”.”

You get ’em You get ’em inin the door the door with “location, location, with “location, location, location”—and gorgeous location”—and gorgeous appointments. appointments. You keepYou keep

’em ’em comincoming g backback **with the tucked in with the tucked in shower curtain.shower curtain.

*Profit rarely/never comes from transaction #1; *Profit rarely/never comes from transaction #1; it is a byproduct of transaction it is a byproduct of transaction #2, #3, #4#2, #3, #4 … …

““EXECUTION EXECUTION ISIS STRATEGY.”STRATEGY.”

—Fred Malek—Fred Malek

““In real life, strategyIn real life, strategy is actually very is actually very

straightforward. Pickstraightforward. Pick a general direction a general direction … … andand imimpplementlement likelike hellhell.”.” —Jack Welch—Jack Welch

““Amateurs talk Amateurs talk about strategy. about strategy.

Professionals talk Professionals talk about logistics.”about logistics.”

——General Omar Bradley, General Omar Bradley, commander of American troops/D-Daycommander of American troops/D-Day

People People

((REALLYREALLY)) FirstFirst

FIRST WOW THE WOWERS:FIRST WOW THE WOWERS:

THE CUSTOMER COMES THE CUSTOMER COMES FIRST. BUT THE PEOPLE FIRST. BUT THE PEOPLE

WHO SERVE THE WHO SERVE THE CUSTOMER COME CUSTOMER COME

“MORE FIRST.”“MORE FIRST.”

““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 ANY WILL NEVER BE ANY HAPPIER THAN HAPPIER THAN

YOUR EMPLOYEESYOUR 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

Rocket Science. Rocket Science. NOT.NOT.

““If you want staff to If you want staff to give great service, give great service, give great service give great service

to staff.” to staff.” ——Ari Weinzweig, Zingerman’s Ari Weinzweig, Zingerman’s

Source: Source: Small Giants: Companies That Choose to Be Small Giants: Companies That Choose to Be Great Instead of Big, Great Instead of Big, Bo BurlinghamBo Burlingham

““You have to You have to treat your treat your

employees like employees like customers.”customers.” —Herb —Herb

Kelleher, upon being asked his “secret to success”Kelleher, upon being asked his “secret to success”

Source: Joe Nocera, Source: Joe Nocera, NYTNYT, “Parting Words of an Airline Pioneer,” , “Parting Words of an Airline Pioneer,” on the occasion of Herb Kelleher’s retirement after 37 years at on the occasion of Herb Kelleher’s retirement after 37 years at

Southwest Airlines Southwest Airlines (SWA’s pilots union took out a full-page ad in (SWA’s pilots union took out a full-page ad in USA USA TodayToday

thanking HK for all he had done) thanking HK for all he had done) ; across the way in Dallas, American ; across the way in Dallas, American Airlines’ pilots were Airlines’ pilots were picketingpicketing AA’s Annual Meeting)AA’s Annual Meeting)

EXCELLENT EXCELLENT CUSTOMER EXPERIENCECUSTOMER EXPERIENCEdepends … depends … entirely …entirely …

onon EXCELLENT EXCELLENT

EMPLOYEE EXPERIENCEEMPLOYEE EXPERIENCE!!If you want to WOW your If you want to WOW your

customers … customers … FIRSTFIRST

you must WOW those whoyou must WOW those who WOW the customers!WOW the customers!

Profit Through “Putting People First” Business Book ClubProfit Through “Putting People First” Business Book Club

Nice Companies Finish First: Why Cutthroat Management Is Over—and Collaboration Is In, Nice Companies Finish First: Why Cutthroat Management Is Over—and Collaboration Is In, by Peter Shankman with Karen Kellyby Peter Shankman with Karen KellyUncontainable: How Passion, Commitment, and Conscious Capitalism Built a Business Where Everyone Uncontainable: How Passion, Commitment, and Conscious Capitalism Built a Business Where Everyone Thrives, Thrives, by Kip Tindell, CEO Container Storeby Kip Tindell, CEO Container StoreConscious Capitalism: Liberating the Heroic Spirit of Business, Conscious Capitalism: Liberating the Heroic Spirit of Business, by John Mackey, CEO Whole by John Mackey, CEO Whole Foods, and Raj SisodiaFoods, and Raj SisodiaFirms of Endearment: How World-Class Companies Profit from Passion and Purpose, Firms of Endearment: How World-Class Companies Profit from Passion and Purpose, by Raj by Raj Sisodia, Jag Sheth, and David WolfeSisodia, Jag Sheth, and David WolfeThe Good Jobs Strategy: How the Smartest Companies Invest in Employees to Lower Costs The Good Jobs Strategy: How the Smartest Companies Invest in Employees to Lower Costs and Boost Profits, and Boost Profits, by Zeynep Ton, MITby Zeynep Ton, MITJoy, Inc.: How We Built a Workplace People Love, Joy, Inc.: How We Built a Workplace People Love, by Richard Sheridan, by Richard Sheridan, CEO Menlo InnovationsCEO Menlo InnovationsEmployees First, Customers Second: Turning Conventional Management Upside Down, Employees First, Customers Second: Turning Conventional Management Upside Down, by by Vineet Nayar, CEO, HCL TechnologiesVineet Nayar, CEO, HCL TechnologiesPatients Come Second: Leading Change By Changing the Way You LeadPatients Come Second: Leading Change By Changing the Way You Lead by Paul by Paul Spiegelman & Britt BerrettSpiegelman & Britt BerrettThe Customer Comes Second: Put Your People First and Watch ’Em Kick Butt, The Customer Comes Second: Put Your People First and Watch ’Em Kick Butt, by Hal Rosenbluth, former CEO, Rosenbluth Internationalby Hal Rosenbluth, former CEO, Rosenbluth InternationalIt’s Your Ship: Management Techniques from the Best Damn Ship in the Navy, It’s Your Ship: Management Techniques from the Best Damn Ship in the Navy, by Mike Abrashoff, former commander, USS Benfoldby Mike Abrashoff, former commander, USS BenfoldTurn This Ship Around; How to Create Leadership at Every Level, Turn This Ship Around; How to Create Leadership at Every Level, by L. David Marquet, former commander, SSN Santa Feby L. David Marquet, former commander, SSN Santa FeSmSmall Giants: Companies That Choose to Be Great Instead of Big, all Giants: Companies That Choose to Be Great Instead of Big, by Bo Burlinghamby Bo BurlinghamHidden Champions: Success Strategies of Unknown World Market LeadersHidden Champions: Success Strategies of Unknown World Market Leaders, by Hermann Simon, by Hermann SimonRetail Superstars: Inside the 25 Best Independent Stores in AmericaRetail Superstars: Inside the 25 Best Independent Stores in America, , by George Whalinby George WhalinJoy at Work: A Revolutionary Approach to Fun on the Job, Joy at Work: A Revolutionary Approach to Fun on the Job, by Dennis Bakke, former CEO, by Dennis Bakke, former CEO, AES CorporationAES CorporationThe Dream Manager, The Dream Manager, by Matthew Kellyby Matthew KellyThe Soft Edge: Where Great Companies Find Lasting Success, The Soft Edge: Where Great Companies Find Lasting Success, by Rich Karlgaard, publisher, by Rich Karlgaard, publisher, ForbesForbesDelivering Happiness: A Path to ProfitsDelivering Happiness: A Path to Profits, by Tony Hsieh, Zappos, by Tony Hsieh, ZapposCamellia: A Very Different CompanyCamellia: A Very Different CompanyFans, Not Customers: How to Create Growth Companies in a No Growth WorldFans, Not Customers: How to Create Growth Companies in a No Growth World, by Vernon Hill, by Vernon HillLike a Virgin: Secrets They Won’t Teach You at Business SchoolLike a Virgin: Secrets They Won’t Teach You at Business School, by Richard Branson , by Richard Branson

THE THE MORAL MORAL IMPERATIVEIMPERATIVE::

PEOPLE PEOPLE DEVELOPMENTDEVELOPMENT

“SOFTWARE IS EATING THE WORLD.” —Marc Andreessen/2014

“The intellectual talents of highly trained professionals are no more protected from automation than is the driver’s left turn.” —Nicholas Carr, The Glass Cage: Automation and Us

“If you think being a ‘professional’ makes your job safe, think again.” —Robert Reich

“MEET YOUR NEXT SURGEON: DR. ROBOT” ——Fortune Fortune on Intuitive Surgical’s da Vinci /multiple bypass heart-surgery roboton Intuitive Surgical’s da Vinci /multiple bypass heart-surgery robot

“Ten Million Jobs at Risk from Advancing Technology: UP TO 35 PERCENT OF BRITAIN'S JOBS WILL BE

ELIMINATED BY NEW COMPUTING AND ROBOTICS TECHNOLOGY OVER THE NEXT 20 YEARS, SAY EXPERTS

[Deloitte/Oxford University].” —Headline, —Headline, TelegraphTelegraph (UK) (UK)

“A bureaucrat is an expensive microchip.”

——Dan Sullivan, consultant and executive coachDan Sullivan, consultant and executive coach

CORPORATE MANDATE #1 2015:CORPORATE MANDATE #1 2015: 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 extent of your abilities. The

bonus: bonus: This is also theThis is also the #1 mid- to lon#1 mid- to longg-term-term … …

p profit maximization straterofit maximization strategy!gy!

In In Good Business, Good Business, Mihaly Csikszentmihalyi argues Mihaly Csikszentmihalyi argues persuasively that business has become the center persuasively that business has become the center of society. As such, an obligation to community is of society. As such, an obligation to community is front & center. Business as societal bedrock, per front & center. Business as societal bedrock, per Csikszentmihalyi, has the RESPONSIBILITY to Csikszentmihalyi, has the RESPONSIBILITY to increase the … increase the …

““SUM OF HUMAN WELL-SUM OF HUMAN WELL-BEING.”BEING.” Business is Business is NOTNOT “part of the “part of the community.” In terms of how adults collectively community.” In terms of how adults collectively

spend their waking hours: Business spend their waking hours: Business ISIS the the community. And should act accordingly. The community. And should act accordingly. The (REALLY) good news: Community mindedness is a (REALLY) good news: Community mindedness is a great way (the BEST way?) to have great way (the BEST way?) to have spirited/committed/customer-centric work force—spirited/committed/customer-centric work force—and, ultimately, increase (maximize?) growth and and, ultimately, increase (maximize?) growth and profitability.profitability.

““We are a We are a

‘‘LifeLife SuccessSuccess’’ Company.”Company.”

Dave Liniger, founder, RE/MAX

““The role of the Director is to The role of the Director is to create a space where the create a space where the

actors and actresses canactors and actresses can become more than become more than thetheyy’ve ever been ’ve ever been

before,before, more than themore than they’y’ve ve dreamed of beindreamed of being.”g.”

——Robert Altman, Oscar acceptance speechRobert Altman, Oscar acceptance speech

TRAININGTRAINING = = InvestmentInvestment

#1#1!!

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

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

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

Gamblin’ ManGamblin’ Man

Bet #1: Bet #1: >> 5 of 10 CEOs see >> 5 of 10 CEOs see training as expense rather training as expense rather than investment.than investment.Bet #2: Bet #2: >> 5 of 10 CEOs see >> 5 of 10 CEOs see training as defense rather training as defense rather than offense.than offense.Bet #3: Bet #3: >> 5 of 10 CEOs see >> 5 of 10 CEOs see training as “necessary evil” training as “necessary evil” rather than “strategic rather than “strategic opportunity.”opportunity.”

Tom’s World:Tom’s World:

(1) CTO pay > CFO(1) CTO pay > CFO

(2) Trainer pay > (2) Trainer pay > Engineer/Engineer/ MarketerMarketer

(3) Typical Training(3) Typical Training Course Makes YouCourse Makes You Jump JoyJump Joy

What is the What is the

#1#1 reason to reason to

go berserk over go 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.)

11stst-Line Bosses -Line Bosses (Cadre of) = (Cadre of) =

Productivity Asset Productivity Asset

#1#1!!

If the regimental commander lost most of his If the regimental commander lost most of his 2nd lieutenants and 1st lieutenants and 2nd lieutenants and 1st lieutenants and

captains and majors, it would be a tragedy. captains and majors, it would be a tragedy.

If he lost his If he lost his serserggeants it would eants it would be a catastrobe a catastropphehe. . The The

Army and the Navy are fully aware that Army and the Navy are fully aware that success on the battlefield is dependent to an success on the battlefield is dependent to an extraordinary degree on its Sergeants and extraordinary degree on its Sergeants and Chief Petty Officers. Does industry have the Chief Petty Officers. Does industry have the

same awareness?same awareness?

Employee retention Employee retention && satisfaction satisfaction && productivity: productivity: OverwhelminOverwhelminggllyy

based on the based on the

first-line first-line manamanagger!er!

Source: Marcus Buckingham & Curt Coffman, Source: Marcus Buckingham & Curt Coffman, First, Break All the First, Break All the Rules: What the World’s Greatest Managers Do DifferentlyRules: What the World’s Greatest Managers Do Differently

““People People leave leave

manamanaggersers not not companies.”companies.”

——Dave WheelerDave Wheeler

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.

WHYWHY NOTNOT??**********

Why in the Why in the World did youWorld did you go to go to SiberiaSiberia??

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

““Business has Business has to give people to 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

Our Mission

TO DEVELOP AND MANAGE TALENT;TO DEVELOP AND MANAGE TALENT;TO APPLY THAT TALENT,TO APPLY THAT TALENT,

THROUGHOUT THE WORLD, THROUGHOUT THE WORLD, FOR THE BENEFIT OF CLIENTS;FOR THE BENEFIT OF CLIENTS;TO DO SO IN PARTNERSHIP; TO DO SO IN PARTNERSHIP;

TO DO SO WITH PROFIT.TO DO SO WITH PROFIT.

WPP

INNOVATION INNOVATION ENGINEENGINE

INNOVATION INNOVATION OBSESSION:OBSESSION:BUILDING A BUILDING A

LEARNING LABLEARNING LAB

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)

““On s’engage On s’engage et puis on et puis on voit!voit!”” ** —Napoleon —Napoleon

**“One jumps into the fray, then “One jumps into the fray, then figures out what to do next.”figures out what to do next.”

(Ready. Fire. Aim.)(Ready. Fire. Aim.)

LessonLesson4949**::

WTTMSWWTTMSW

*Only thing I’ve learned “for sure” in last 49 years, since 1*Only thing I’ve learned “for sure” in last 49 years, since 1stst management job—1966-2015. management job—1966-2015.

WWHOEVERHOEVER

TTRIESRIES

TTHEHE

MMOSTOST

SSTUFFTUFF

WWINSINS

““WE HAVE A WE HAVE A STRATEGIC PLAN. STRATEGIC PLAN.

IT’S CALLED ‘DOING IT’S CALLED ‘DOING THINGS.’ ”THINGS.’ ” —Herb Kelleher—Herb Kelleher

“DON’T ‘PLAN.’ “DON’T ‘PLAN.’ DO STUFF.”DO STUFF.”

—David Kelley/IDEO

““We made mistakes, of course. Most of them were We made mistakes, of course. Most of them were omissions we didn’t think of when we initially wrote the omissions we didn’t think of when we initially wrote the

software. software. We fixed them by doing it over and over, We fixed them by doing it over and over, again and again.again and again. We do the same today. While our We do the same today. While our competitors are still sucking their thumbs trying to competitors are still sucking their thumbs trying to

make the design perfect, we’re already on prototype make the design perfect, we’re already on prototype

versionversion ##55.. By the time our rivals are ready By the time our rivals are ready

with wires and screws, we are on version with wires and screws, we are on version

##1010.. It gets back to It gets back to planning versus actingplanning versus acting: : We act We act from day onefrom day one; ; others plan how others plan how

toto planplan——for monthsfor months.”.”

——Bloomberg by BloombergBloomberg by Bloomberg

““FAIL. FORWARD. FAIL. FORWARD. FAST.”FAST.”

—High Tech CEO, Pennsylvania

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

—David Kelley/IDEO

“MOVE FAST. “MOVE FAST.

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

““In business, you In business, you REWARDREWARD people for taking people for taking RISKS.RISKS. WHEN IT DOESN’T WORK OUTWHEN IT DOESN’T WORK OUT

YOU YOU PROMOTE PROMOTE THEM THEM —because they were —because they were willing to try new things.”willing to try new things.” —Michael Bloomberg—Michael Bloomberg

““What really matters isWhat really matters is that companies that don’t continue to that companies that don’t continue to

experiment— experiment— COMPANIES THAT DON’T COMPANIES THAT DON’T EMBRACEEMBRACE FAILURE FAILURE — eventually get in a — eventually get in a

desperate position, where the only thing they desperate position, where the only thing they can do is make a ‘Hail Mary’ bet at the end.” can do is make a ‘Hail Mary’ bet at the end.”

——Jeff BezosJeff Bezos

““It is not enough to ‘tolerate’ failure— It is not enough to ‘tolerate’ failure— YOU YOU MUST ‘MUST ‘CELEBRATE’CELEBRATE’ FAILURE.” FAILURE.”

——Richard Farson (Richard Farson (Whoever Makes the Most Mistakes WinsWhoever Makes the Most Mistakes Wins))

‘‘PROMOTE’ PROMOTE’ ‘EMBRACE’ ‘EMBRACE’

‘CELEBRATE’‘CELEBRATE’

““EXPERIMENT EXPERIMENT FEARLESSLY”FEARLESSLY”

Source: Source: BusinessWeekBusinessWeek, “Type A Organization Strategies: How to Hit a Moving Target”, “Type A Organization Strategies: How to Hit a Moving Target”

——TACTIC TACTIC #1#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 portfolios in the face of changing and uncertain global economic conditions

CULTURAL CULTURAL CONVERSION:CONVERSION:

ORGANIZATIONORGANIZATION ASAS VIBRANTVIBRANT ““ALLALL HANDSHANDS” ” LEARNINGLEARNING LABLAB

““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

WTTMSWTTMSASTMSUASTMSUTFTFWW**

*Whoever Tries The Most Stuff*Whoever Tries The Most Stuff And Screws The Most Stuff UpAnd Screws The Most Stuff Up The FastestThe Fastest Wins Wins

Innovation = VarietyInnovation = Variety

We Are WhatWe Are WhatWe Eat.We Eat.

We Are Who WeWe Are Who We Hang Out With. Hang Out With.

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

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

Diversity: Diversity: ““IT IS HARDLY POSSIBLE TO IT IS HARDLY POSSIBLE TO OVERRATE THE VALUE OF PLACING OVERRATE THE VALUE OF PLACING HUMAN BEINGS IN CONTACT WITH HUMAN BEINGS IN CONTACT WITH PERSONS DIS-SIMILAR TO THEMSELVES, PERSONS DIS-SIMILAR TO THEMSELVES, AND WITH MODES OF THOUGHT AND AND WITH MODES OF THOUGHT AND ACTION UNLIKE THOSE WITH WHICH ACTION UNLIKE THOSE WITH WHICH THEY ARE FAMILIAR. SUCH THEY ARE FAMILIAR. SUCH COMMUNICATION HAS ALWAYS BEEN, COMMUNICATION HAS ALWAYS BEEN, AND IS PECULIARLY IN THE PRESENT AND IS PECULIARLY IN THE PRESENT AGE, ONE OF THE PRIMARY SOURCES AGE, ONE OF THE PRIMARY SOURCES OF PROGRESSOF PROGRESS.”.” —John Stuart Mill—John Stuart Mill

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’ ” ”

““The Billion-man The Billion-man Research Team: Research Team:

Companies offering Companies offering work to online work to online

communities are communities are reaping the benefits of reaping the benefits of

crowdsourcing.”crowdsourcing.” —Headline, —Headline, FTFT

““Who’s the most Who’s the most interesting person interesting person you’ve met in the you’ve met in the last 90 days? How last 90 days? How do I get in touch do I get in touch

with them?”with them?” —Fred Smith—Fred Smith

Start by considering Start by considering the last 10 people the last 10 people you went to lunch you went to lunch

with. “Same-same” with. “Same-same” or “stretch-stretch”?or “stretch-stretch”?

“The Bottleneck is at the …The Bottleneck is at the … “Where are you likely to find people “Where are you likely to find people

with the with the least diversitleast diversityy of ex of expperienceerience, , the the larlarggest investment in the est investment in the ppastast,,

and the g and the greatest reverence for reatest reverence for industrindustryy do doggmama … …

Top of the Top of the Bottle”Bottle”

— Gary Hamel/— Gary Hamel/Harvard Business ReviewHarvard Business Review

XFX =XFX = #1#1

XFX = XFX = #1#1**

*Cross-Functional *Cross-Functional eXcellence*eXcellence*(Absence thereof is source of 90% of missed opportunities—no kidding.) (Absence thereof is source of 90% of missed opportunities—no kidding.)

NEVERNEVER WASTEWASTE AA LUNCHLUNCH!!

% XF % XF lunches*lunches***MeasureMeasure!!

Monthly! Part of evaluation! Monthly! Part of evaluation!

XFX/Typical XFX/Typical SOCIALSOCIAL* Accelerators* Accelerators

1. EVERYONE’s (more or less) JOB #1: Make friends in other 1. EVERYONE’s (more or less) JOB #1: Make friends in other functions! (Purposefully. Consistently. Measurably.)functions! (Purposefully. Consistently. Measurably.)2. “Do lunch” with people in other functions!! Frequently!! 2. “Do lunch” with people in other functions!! Frequently!! (Minimum 10% to 25% for everyone? Measured.)(Minimum 10% to 25% for everyone? Measured.)3. Ask peers in other functions for references so you can become 3. Ask peers in other functions for references so you can become conversant in their world. (It’s one helluva sign of ... GIVE-A-DAMN-conversant in their world. (It’s one helluva sign of ... GIVE-A-DAMN-ism.) ism.) 4. Religiously invite counterparts in other functions to your team 4. Religiously invite counterparts in other functions to your team meetings. Ask them to present “cool stuff” from “their world” to meetings. Ask them to present “cool stuff” from “their world” to your group. (Useful. Mark of respect.)your group. (Useful. Mark of respect.)

5. 5. PROACTIVELY SEEK EXAMPLES OF “TINY” ACTS OF PROACTIVELY SEEK EXAMPLES OF “TINY” ACTS OF “XFX” TO ACKNOWLEDGE—PRIVATELY AND “XFX” TO ACKNOWLEDGE—PRIVATELY AND PUBLICALLYPUBLICALLY. (Bosses: . (Bosses: ONCE A DAYONCE A DAY … make a short call … make a short call or visit or send an email of “Thanks” for some sort of or visit or send an email of “Thanks” for some sort of XFX gesture by your folks and some other function’s XFX gesture by your folks and some other function’s folks.)folks.) 6. Present counterparts in other functions awards for service to 6. Present counterparts in other functions awards for service to your group. Tiny awards at least weekly; and an “Annualyour group. Tiny awards at least weekly; and an “Annual All-Star All-Star Supporters (from other groups) Banquet” modeled after superstar Supporters (from other groups) Banquet” modeled after superstar salesperson banquets.salesperson banquets.

*It’s the “social stuff”—not the software—that makes all the *It’s the “social stuff”—not the software—that makes all the difference in sustaining XFX. difference in sustaining XFX.

The Future The Future Is SmallIs Small

“I am often asked by I am often asked by would-be entrepreneurs would-be entrepreneurs seeking escape from life seeking escape from life within huge corporate within huge corporate structures, structures, ‘How do I build a small firm for myself?’ The answer The answer

seems obviousseems 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 myself?’ The answer seems

obvious: BuBuyy a ver a veryy larlarggee

one and one and jjust ust waitwait.”.” —Paul Ormerod, Why Most Things

Fail: Evolution, Extinction and Economics

““Mr. Foster and his McKinsey colleagues Mr. Foster and his McKinsey colleagues collected detailed performance data stretching collected detailed performance data stretching

back back 4040 years for years for 1,000 U.S. companies.U.S. companies. TheTheyy found that found that

NONE ofof

the lonthe longg-term survivors mana-term survivors managged ed to outto outpperform the market. Worse, erform the market. Worse, the lonthe longger comer comppanies had been in anies had been in

the database, the worse thethe database, the worse theyy did did.” .” —Financial Times—Financial Times

M & A success rate asM & A success rate as measured by adding value to themeasured by adding value to the

acquirer:acquirer:

15%Source: Mark Sirower, Source: Mark Sirower, The Synergy TrapThe Synergy Trap

The Future The Future Is SmallIs Small

——book, by Gervais Williams, superstar fund manager, book, by Gervais Williams, superstar fund manager,

FT/1217.14:FT/1217.14: ““Research shows that new and Research shows that new and small comsmall comppanies create almost all the anies create almost all the

new new pprivate sector rivate sector jjobs and are obs and are disdispproropportionatelortionatelyy innovative innovative.”.”

THETHE RED RED CARPET CARPET STORESTORE

(Joel Resnick/Flemington NJ)(Joel Resnick/Flemington NJ)

““BE THE BEST. BE THE BEST. IT’S THE ONLY IT’S THE ONLY

MARKET THAT’S MARKET THAT’S NOT CROWDED.”NOT CROWDED.”

From: From: Retail Superstars: Inside the 25 BestRetail Superstars: Inside the 25 Best Independent Stores in America,Independent Stores in America, George Whalin George Whalin

The Magicians of The Magicians of MotuekaMotueka (PLUS) (PLUS)!!

W.A. Coppins Ltd.*W.A. Coppins Ltd.*(Coppins Sea Anchors/(Coppins Sea Anchors/PSA/para sea anchors)PSA/para sea anchors)

*Textiles, 1898; thrive on *Textiles, 1898; thrive on “wicked problems”“wicked problems”——e.g., e.g., U.S. NavyU.S. Navy STLVAST (Small To Large Vehicle At Sea STLVAST (Small To Large Vehicle At Sea

Transfer); custom fabric from Transfer); custom fabric from W. WiW. Wiggggins Ltdins Ltd./Wellington ./Wellington

(specialty nylon, “Dyneema,” from (specialty nylon, “Dyneema,” from DSMDSM/Netherlands)/Netherlands)

““BE THE BEST. BE THE BEST. IT’S THE ONLY IT’S THE ONLY

MARKET THAT’S MARKET THAT’S NOT CROWDED.”NOT CROWDED.”

From: From: Retail Superstars: Inside the 25 BestRetail Superstars: Inside the 25 Best Independent Stores in America,Independent Stores in America, George Whalin George Whalin

My “love affair” … My “love affair” … Middle-Middle-sized Niche- sized Niche-

or Micro-niche or Micro-niche Dominators!Dominators!**

*"Own" a niche through EXCELLENCE/INNOVATION*"Own" a niche through EXCELLENCE/INNOVATION!!((Writ large: Germany’s Writ large: Germany’s MITTELSTANDMITTELSTAND —“agile —“agile

creatures darting between the legs of the multinational creatures darting between the legs of the multinational monsters”monsters” ) )

Hidden Champions* of the 21Hidden Champions* of the 21stst Century: Century: Success Secrets of Unknown World Market Success Secrets of Unknown World Market

LeadersLeaders//Hermann Simon Hermann Simon (*1, 2, or 3 in world market; <$4B; low public awareness)(*1, 2, or 3 in world market; <$4B; low public awareness)

Baader (Iceland/80% fish-Baader (Iceland/80% fish-processing systems)processing systems)

Gallagher (NZ/electric Gallagher (NZ/electric fences)fences)

W.E.T. (heated car seat W.E.T. (heated car seat tech)tech)

Gerriers (theater curtains Gerriers (theater curtains and stage equipment)and stage equipment)

Electro-Nite (sensors for Electro-Nite (sensors for the steel industry)the steel industry)

Essel Propack (India/tooth Essel Propack (India/tooth paste tubes)paste tubes)

SGS (product auditing and SGS (product auditing and certification)certification)

DELO (specialty adhesives)DELO (specialty adhesives)

Amorim (Portugal/cork Amorim (Portugal/cork products)products)

EOS (laser sintering)EOS (laser sintering)Beluga (heavy-lift Beluga (heavy-lift

shipping)shipping)Omicron (tunnel-grid Omicron (tunnel-grid

microscopy)microscopy)Universo (wristwatch Universo (wristwatch

hands)hands)Dickson Constant Dickson Constant

(technical textiles)(technical textiles)O.C. Tanner (employee O.C. Tanner (employee

recognition/$400M)recognition/$400M)Hoeganaes (powder Hoeganaes (powder

metallurgy supplies)metallurgy supplies)

““BE THE BEST. BE THE BEST. IT’S THE ONLY IT’S THE ONLY

MARKET THAT’S MARKET THAT’S NOT CROWDED.”NOT CROWDED.”

From: From: Retail Superstars: Inside the 25 BestRetail Superstars: Inside the 25 Best Independent Stores in America,Independent Stores in America, George Whalin George Whalin

InnovateInnovate or Die: or Die:

Measure It!Measure It!

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

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???)

Innovation IndexInnovation Index:: Move Move every project (definition) every project (definition)

22 notches up on the notches up on the

“WOW Scale”“WOW Scale”

… … THISTHIS WEEKWEEK. .

““INSANELY GREAT”INSANELY GREAT”STEVE JOBSSTEVE JOBS

“RADICALLY THRILLING”“RADICALLY THRILLING” BMW

“ASTONISH ME”“ASTONISH ME” SERGEI DIAGHLEV, TO A LEAD DANCER

“BUILD SOMETHING GREAT”“BUILD SOMETHING GREAT” HIROSHI YAMAUCHI, NINTENDO, TO A SENIOR GAME DESIGNER

“MAKE IT IMMORTAL”“MAKE IT IMMORTAL” DAVID OGILVY, TO A COPYWRITER.

““You can’t behave You can’t behave in a calm, rational in a calm, rational

manner. You’ve got manner. You’ve got to be out there on to be out there on the the lunaticlunatic frinfringgee.”.”

— Jack Welch— Jack Welch

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!!

LEADERSHIPLEADERSHIP(Selected Topics)(Selected Topics)

2525!!

MBWAMBWA((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, places: Home Depot, Whole Foods, Crate & Barrel. I try to be a sponge to Crate & Barrel. I try to be a sponge to pick up as much as I can.”pick up as much as I can.” —Howard Schultz—Howard Schultz

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

44

““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

AcknowledgementAcknowledgement!!

““The deepest principle The deepest principle in human nature is the in human nature is the

cravingcraving** to be to be appreciated.”appreciated.”

—William James—William James

**“‘Craving,’ not ‘wish’ or ‘desire’ or ‘longing,’” “‘Craving,’ not ‘wish’ or ‘desire’ or ‘longing,’” per Dale Carnegie, per Dale Carnegie, How to Win Friends and Influence People How to Win Friends and Influence People

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

““AcknowledAcknowledggee” … ” … perhaps the most perhaps the most

powerful word (and powerful word (and idea) in the English idea) in the English

language—andlanguage—and in the manager’s tool in the manager’s tool

kit!kit!

4.13 4.13 WOMEN RULEWOMEN RULE!!

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

promoting women.”promoting women.”——Nicholas Kristof, “Twitter, Women, and Power,” Nicholas Kristof, “Twitter, Women, and Power,” NYTimesNYTimes

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

than men.”than men.”

——Kip Tindell, CEO, Container StoreKip Tindell, CEO, Container Store

““Women are rated higher in fully Women are rated higher in fully

1212 of the of the 1616 competencies that competencies that go into outstanding leadership. go into outstanding leadership. And two of the traits where And two of the traits where

women outscored men to the women outscored men to the highest degree — highest degree — takintakingg initiative and drivininitiative and drivingg for for resultsresults — have long been — have long been

thought of as particularly male thought of as particularly male strengths.”strengths.”

——Harvard Business Review/Harvard Business Review/20142014

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

““I speak to you with a feminine I speak to you with a feminine voice. It’s the voice of democracy, voice. It’s the voice of democracy,

of equality. I am certain, ladies of equality. I am certain, ladies

and gentlemen, and gentlemen, that this will that this will be the women’s centurbe the women’s centuryy. .

In the Portuguese language, words In the Portuguese language, words such as life, soul, and hope are of such as life, soul, and hope are of the feminine gender, as are other the feminine gender, as are other words like courage and sincerity.”words like courage and sincerity.”

——President President Dilma RousseffDilma Rousseff of Brazil, of Brazil, 1st woman to keynote the United Nations General Assembly1st woman to keynote the United Nations General Assembly

““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

Can you pass the …Can you pass the …

“Squint “Squint test”test” **??

*Does the Exec Team more or less mirror the market being served?*Does the Exec Team more or less mirror the market being served?

Leading MeLeading Me!!

““Being aware of Being aware of

yourself yourself and how and how yyou affect ou affect evereveryyone one

around around yyouou is is what what distindistingguishesuishes a a

superior leader.”superior leader.” —Edie Seashore—Edie Seashore

““How can a high-level leader like _____ How can a high-level leader like _____ be so out of touch with the truth about be so out of touch with the truth about

himself? It’s more common than you himself? It’s more common than you

would imagine. would imagine. In fact, the higher up the ladder a leader climbs, the less

accurate his self-assessment is likely to be. The problem is an acute lack of The problem is an acute lack of

feedback [especially on people issues].”feedback [especially on people issues].”

—Daniel Goleman (et al.), —Daniel Goleman (et al.), The New LeadersThe New Leaders

““To develop To develop others, start others, start

with with yyourselfourself.”.”

—Marshall Goldsmith—Marshall Goldsmith

““The biggest problem I shallThe biggest problem I shall ever face: the management of ever face: the management of

Dale Carnegie.” Dale Carnegie.” —Dale Carnegie, diary of—Dale Carnegie, diary of

CULTURE 1CULTURE 1STST

McKinsey:McKinsey: CultureCulture > > StrateStrategygyWall Street Journal, Wall Street Journal, 0910.13:0910.13: “What matters “What matters

most to a company over time? most to a company over time? Strategy or culture?”Strategy or culture?”

Dominic Barton, Managing Director, Dominic Barton, Managing Director,

McKinsey & Co.:McKinsey & Co.: “Culture.”“Culture.”

McKinsey:McKinsey: PeoPeopplele > > StrateStrategygy

““People Before Strategy”People Before Strategy” —title, —title, lead article,lead article, Harvard Business Review Harvard Business Review July-August 2015, July-August 2015,

by McKinsey MD Dominic Barton et al.by McKinsey MD Dominic Barton et al.

““If I could have chosen not to tackle the IBM culture head-If I could have chosen not to tackle the IBM culture head-on,on,

I probably wouldn’t have. My bias coming in was toward I probably wouldn’t have. My bias coming in was toward strategy, analysis and measurement. In comparison, strategy, analysis and measurement. In comparison, changing the attitude and behaviors of hundreds of changing the attitude and behaviors of hundreds of

thousands of people is very, very hard.thousands of people is very, very hard. Yet I Yet I came to see in my time at came to see in my time at IBM that IBM that cultureculture isn’t just isn’t just

one aspect of the game one aspect of the game ——IT IS THE IT IS THE GGAMEAME.”.”

——Lou Gerstner, Lou Gerstner, Who Says Elephants Can’t DanceWho Says Elephants Can’t Dance

Hard is Soft.Hard is Soft.Soft is Hard.Soft is Hard.

Hard Hard (numbers/plans)(numbers/plans) is Soft. is Soft.Soft Soft (people/relationships/culture)(people/relationships/culture) is Hard. is Hard.

I left out I left out one one (BIG)(BIG) thing …thing …

““Tom, you left out one Tom, you left out one

thing …thing … Leaders Leaders enenjjooyy

leadinleading!”g!”

Les Wexner:Les Wexner: FROM FASHION FROM FASHION TRENDS GURU TO JOYTRENDS GURU TO JOY

FROM PICKINGFROM PICKING//DEVELOPING PEOPLEDEVELOPING PEOPLE!*!*

*Limited Brands founder Les Wexner queried on astounding *Limited Brands founder Les Wexner queried on astounding (>>Welch) longterm growth & profitability: It happened, he said, (>>Welch) longterm growth & profitability: It happened, he said,

because because ““I I ggot as excited ot as excited about develoabout developping ing

ppeoeopplele”” as he had been about predicting fashion as he had been about predicting fashion

trends in his early years.trends in his early years.

"When I hire "When I hire someone, that's someone, that's

when when I I ggo to o to work for work for

themthem.”.” —John DiJulius,—John DiJulius, "What's the Secret to "What's the Secret to

Providing a World-class Customer Experience"Providing a World-class Customer Experience"

Meetings Meetings

ROCKROCK!!(Make that: (Make that: SHOULDSHOULD Rock) Rock)

(Make that (Make that CANCAN Rock) Rock)(Make that (Make that MUSTMUST Rock) Rock)

Complain all Complain all you want, you want,

but but meetinmeetinggss are what you are what you

(boss/leader)(boss/leader) do .

Meetings =Meetings = #1#1

leadership opportunity* **leadership opportunity* **

(*pure (*pure THEATERTHEATER))

(**prep prep prep prep(**prep prep prep prep!!))

Meeting:Meeting: EverEveryy meetin meetingg that that does not stir the imadoes not stir the imaggination ination and curiosity of attendees and curiosity of attendees and increase bondinand increase bondingg and and

co-oco-opperation and eneration and enggaaggement ement and sense of worth and and sense of worth and

motivate ramotivate rappid action and id action and enhance enthusiasm is a enhance enthusiasm is a

ppermanentlermanentlyy lost o lost opppportunitortunity.y.

LISTENING: LISTENING: IN A LEAGUEIN A LEAGUE OF ITS OWNOF ITS OWN*

*Central to virtually … EVERYTHING!*Central to virtually … EVERYTHING!

1818

“The doctor interrupts after …*

*Source: Jerome Groopman, How Doctors Think

18 …

18 … seconds!

(An (An obsessionobsession with) Listening is ... the ultimate mark with) Listening is ... the ultimate mark

of of RespectRespect..

Listening is ... the heart and soul of Listening is ... the heart and soul of EngagementEngagement..Listening is ... the heart and soul of Listening is ... the heart and soul of KindnessKindness..Listening is ... the heart and soul of Listening is ... the heart and soul of ThoughtfulnessThoughtfulness..Listening is ... the basis for true Listening is ... the basis for true CollaborationCollaboration..Listening is ... the basis for true Listening is ... the basis for true PartnershipPartnership..Listening is ... a Listening is ... a Team SportTeam Sport..Listening is ... a Listening is ... a Developable Individual SkillDevelopable Individual Skill.* .* (*Though women (*Though women are are farfar better at it than men.) better at it than men.)

Listening is ... the basis forListening is ... the basis for CommunityCommunity..Listening is ... the bedrock of Listening is ... the bedrock of Joint Ventures that workJoint Ventures that work..Listening is ... the bedrock of Listening is ... the bedrock of Joint Ventures thatJoint Ventures that growgrow..Listening is ... the core of Listening is ... the core of effective Cross-functional effective Cross-functional Communication.Communication.* * (*Which is in turn Attribute #1 of (*Which is in turn Attribute #1 of organization effectiveness.)organization effectiveness.)

Listening is ... the engine of Listening is ... the engine of superior superior EXECUTIONEXECUTION..Listening is ... the key to Listening is ... the key to making the making the SaleSale..Listening is ... the key to Listening is ... the key to Keeping the Customer’s BusinessKeeping the Customer’s Business..Listening is ... Listening is ... ServiceService..Listening is ... the engine of Listening is ... the engine of Network developmentNetwork development..Listening is ... the engine of Listening is ... the engine of Network maintenanceNetwork maintenance..Listening is ... the engine of Listening is ... the engine of Network expansionNetwork expansion..Listening is ... Listening is ... Social Networking’s “secret weapon.”Social Networking’s “secret weapon.”Listening is ... Listening is ... LearningLearning..Listening is ... the Listening is ... the sine qua non of sine qua non of RenewalRenewal..Listening is ... the Listening is ... the sine qua non of sine qua non of CreativityCreativity..Listening is ... the Listening is ... the sine qua non of sine qua non of InnovationInnovation..Listening is ... the core of Listening is ... the core of taking diverse opinions aboardtaking diverse opinions aboard..Listening is ... Listening is ... StrategyStrategy..Listening is ... Listening is ... Source #1 of “Value-addedSource #1 of “Value-added.”.”Listening is ... Listening is ... Differentiator #1Differentiator #1..Listening is ... Listening is ... ProfitableProfitable.*.* (*The “R.O.I.” from listening is higher than(*The “R.O.I.” from listening is higher than from any other single activity.)from any other single activity.)

Listening is … the bedrock which underpins a Listening is … the bedrock which underpins a Commitment toCommitment to EXCELLENCEEXCELLENCE

##11

Suggested Suggested Core Value Core Value #1:#1: “We are Effective Listeners“We are Effective Listeners—we treat Listening —we treat Listening EXCELLENCEEXCELLENCE

as the Centerpiece of our as the Centerpiece of our Commitment to Respect and Commitment to Respect and

Engagement and Community and Engagement and Community and Growth and Innovation and Growth and Innovation and

Profitability.”Profitability.”

Part Part ONEONE: : LISTENLISTEN** (pp(pp1111--116116, of 364), of 364)

**““The keThe keyy to ever to everyy one of our [ei one of our [eigght] leadershiht] leadershipp attributes was the vital imattributes was the vital impportance of a leader’s ortance of a leader’s abilitabilityy to listen to listen.”.” (One of Branson’s personal keys to listening(One of Branson’s personal keys to listening

is notetaking—he has is notetaking—he has hundredshundreds of notebooks.) of notebooks.)

Source: Source: Richard BransonRichard Branson,, The Virgin Way: How to The Virgin Way: How to ListenListen, Learn, Laugh, and Lead, Learn, Laugh, and Lead

A ProfessionA Profession

*Listening is of the*Listening is of the

utmost … utmost … STRATEGICSTRATEGIC importance! importance!

*Listening is a proper … *Listening is a proper …

CORECORE VALUE VALUE !! *Listening is … *Listening is … TRAINABLE TRAINABLE !!

*Listening is a … *Listening is a …

PROFESSION PROFESSION !!

Step Step #1#1***Right now*Right now

““I always writeI always write ‘LISTEN’‘LISTEN’ on on the back of my hand the back of my hand before a meeting.”before a meeting.”

Source: Tweet viewed @tom_petersSource: Tweet viewed @tom_peters

EXCELLENCEEXCELLENCE

X140/5X140/5

EXCELLENCE “TWITTERIZED”:EXCELLENCE “TWITTERIZED”: <140 Characters:<140 Characters:

Cherish your people, Cherish your people, cuddle your customers, cuddle your customers, wander around, “try it” wander around, “try it” beats “talk about it,” beats “talk about it,” Excellence or else, tellExcellence or else, tell

the truth.the truth.126 with spaces/Q.E.D.126 with spaces/Q.E.D.

EXCELLENCE is EXCELLENCE is

notnot notnot notnot a “long-a “long-

term” "aspiration.”term” "aspiration.”

EXCELLENCE is EXCELLENCE is notnot a “long-term” a “long-term” "aspiration.”"aspiration.”

EXCELLENCE EXCELLENCE isis the ultimate short- the ultimate short-term strategy. EXCELLENCE term strategy. EXCELLENCE isis … …

THETHE

NEXTNEXT 55 MINUTESMINUTES..**

(*Or (*Or NOTNOT.).)

EXCELLENCE is not an "aspiration." EXCELLENCE is not an "aspiration." EXCELLENCE is … THE NEXT FIVE MINUTES.EXCELLENCE is … THE NEXT FIVE MINUTES.

EXCELLENCE is your next conversation.EXCELLENCE is your next conversation.Or not.EXCELLENCE is your next meeting.EXCELLENCE is your next meeting.Or not.EXCELLENCE is shutting up and listening—really listening.EXCELLENCE is shutting up and listening—really listening.Or not.EXCELLENCE is your next customer contact.EXCELLENCE is your next customer contact.Or not.EXCELLENCE is saying “Thank you” for something “small.”EXCELLENCE is saying “Thank you” for something “small.”Or not.EXCELLENCE is the next time you shoulder responsibility and apologize.EXCELLENCE is the next time you shoulder responsibility and apologize.Or not.EXCELLENCE is waaay over-reacting to a screw-up.EXCELLENCE is waaay over-reacting to a screw-up.Or not.EXCELLENCE is the flowers you brought to work today.EXCELLENCE is the flowers you brought to work today.Or not.EXCELLENCE is lending a hand to an “outsider” who’s fallen behind EXCELLENCE is lending a hand to an “outsider” who’s fallen behind schedule.schedule.Or not.EXCELLENCE is bothering to learn the way folks in finance (or IS or HR) EXCELLENCE is bothering to learn the way folks in finance (or IS or HR) think.think.Or not.EXCELLENCE is waaay “over”-preparing for a 3-minute presentation.EXCELLENCE is waaay “over”-preparing for a 3-minute presentation.Or not.EXCELLENCE is turning “insignificant” tasks into models of … EXCELLENCE. EXCELLENCE is turning “insignificant” tasks into models of … EXCELLENCE. Or not.

EXECUTIONEXECUTIONPEOPLEPEOPLE

INNOVATIONINNOVATIONLEADERSHIPLEADERSHIPLISTENINGLISTENING

EXCELLENCEEXCELLENCE

EXECUTIONEXECUTION/SHOWER CURTAIN /SHOWER CURTAIN FETISHFETISH

PEOPLEPEOPLE/“MORE FIRST” THAN /“MORE FIRST” THAN CUSTOMERS-TRAINING-CUSTOMERS-TRAINING-11STST LINE LEADERS-JOY- LINE LEADERS-JOY-

MORAL REQUISITEMORAL REQUISITEINNOVATIONINNOVATION/TRIES-SCREWUPS-/TRIES-SCREWUPS-

PACE-DIVERSITY-XFX-SMEsPACE-DIVERSITY-XFX-SMEsLEADERSHIPLEADERSHIP/MBWA-WOMEN RULE-/MBWA-WOMEN RULE-

CULTURE FIRSTCULTURE FIRSTLISTENINGLISTENING/CORE VALUE #1/CORE VALUE #1

EXCELLENCEEXCELLENCE//PERIODPERIOD