excellence. always. tom peters/excellence overview/20june2006
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EXCELLENCE. ALWAYS. Tom Peters/Excellence Overview/20June2006. 25. Good Night and Good Luck. Chicagoland’s Mystery Disappearances …. THREE BILLION NEW CAPITALISTS —Clyde Prestowitz. 43,000. - PowerPoint PPT PresentationTRANSCRIPT
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EXCELLENCE.
ALWAYS.Tom Peters/Excellence Overview/20June2006
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25
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Good Night and Good
Luck.
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Chicagoland’s
Mystery Disappearances …
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THREE BILLION NEW CAPITALISTS
—Clyde Prestowitz
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43,000
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“Deutsche Bank Moves Half of Its Back-office Jobs to India”/
headline/FT/0327; 500 of 900 Research;
JPMorgan Chase—30% back-office by 12.31.07
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Wal*Mart + Home Depot + Walt Disney +
Intel + Microsoft + Pfizer = Flat
Source: “Blue Chip Blues”, Cover, BW, 0417.06
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New Economy?!
Genentech09, Amgen09
> Merck09 (70K-3/394B-5)
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Good Morning and Good
News.
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New Economy?!
Sergey + Larry >
Harvard/370
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“Forget China, India and the
Internet: Economic Growth Is Driven
by Women.” —Headline, Economist,
April 15, 2006, Leader, page 14
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EXCELLENCE. THE
MANDATE.
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“If you don’t like change,
you’re going to like irrelevance even less.” —General Eric
Shinseki, Chief of Staff. U. S. Army
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“It is not the strongest of the
species that survives, nor the most intelligent, but the one most
responsive to change.” —Charles Darwin
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“We are in a brawl with
no rules.” —Paul Allaire
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Sam’s Secret
#1!
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“We made mistakes, of course. Most of them were omissions we didn’t think of when we
initially wrote the software. We fixed them by doing it over and over, again and again. We
do the same today. While our competitors are still sucking their thumbs trying to make the design perfect, we’re already on prototype
version No. 5. By the time our rivals are ready with wires and screws, we are on version
No. 10. It gets back to planning versus acting: We act from day one; others plan how to plan—
for months.” —Bloomberg by Bloomberg
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"I think it is very important for you to do two things: act on your temporary conviction as if it was a
real conviction; and when you realize that you are
wrong, correct course very quickly.” —Andy Grove
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“This is so simple it sounds stupid, but it is amazing how few oil people really
understand that you only find oil if you drill wells. You may
think you’re finding it when you’re drawing maps and
studying logs, but you have to drill.”
Source: The Hunters, by John Masters, Canadian O & G wildcatter
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“Reward excellent failures.
Punish mediocre
successes.”Phil Daniels, Sydney exec
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Nelson’s secret:
“[Other] admirals more frightened of losing than
anxious to win”
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EXCELLENCE. STARTERS.
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Radio City Music HallSeptember 2005
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Franchise Lost!
TP: “How many of you [600] really
crave a new Chevy?”
NYC/IIR/061205
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P.P.E.E.R.R.E.
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People.Product.
Execution.Enthusiasm.Relentless.Re-invent.Excellence.
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Franchise Lost!
TP: “How many of you [600] really
crave a new Chevy?”
NYC/IIR/061205
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My (Les’s) Dinner with Henri
JUSTWHATIZZITUMAKE?
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My (Les’s) Dinner with Henri
JUST WHAT IS IT YOU MAKE?
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Did one of ’em ever turn to the other and say: “Wow, I
wonder what unimaginable new
tools, otherwise not possible, will be
brought forth for my daughter Alice, age
17, because of this deal?”
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EXCELLENCE. THE WORD.
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Synonyms
PurityTranscendence
VirtueEleganceMajesty
Antonyms
Mediocrity
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EXCELLENCE.
GAMECHANGER1982.
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Excellence1982: The Bedrock “Eight Basics”
1. A Bias for Action2. Close to the Customer3. Autonomy and Entrepreneurship4. Productivity Through People5. Hands On, Value-Driven6. Stick to the Knitting7. Simple Form, Lean Staff8. Simultaneous Loose-Tight Properties”
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What is In Search of Excellence all about:
People. Emotion. Engagement. Exuberance. Action-Execution. Empowerment. Independence. Initiative. Imagination. Great
Stories. Incredible Adventures. Trust. Caring. Fun. Joy.
Customer-centrism. Profit. Growth. “Brand You.” “Dramatic Differences.” Experiences that Make You “Gasp.” Excellence.
Always.
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ExIn*: 1982-2002/Forbes.com
DJIA: $10,000 yields $85,000 EI: $10,000 yields $140,050
*Forbes/Excellence Index /Basket of 32 publicly traded stocks
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A Comment on Tom Peters in the Context of the Reagan Revolution …
“Tom Peters and Steve Jobs did more to make business cool ‘for the rest of us’ than any
others.” —Rich Karlgaard, publisher, Forbes
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EXCELLENCE.
CAUSES.ADVERSARIES.
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Hardball: Are You Playing to Play or Playing to Win? by George Stalk & Rob Lachenauer/HBS Press
“The winners in business have always played hardball.” “Unleash massive and overwhelming force.” “Exploit
anomalies.” “Threaten your competitor’s profit sanctuaries.” “Entice your competitor into retreat.”
Approximately 640 Index entries: Customer/s
(service, retention, loyalty), 4. People (employees, motivation, morale,
worker/s), 0. Innovation (product development, research &
development, new products), 0.
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M.I.A.*: Talk. (Present.) Listen. (Interview.) Sell. (Life = Sales.) Do. (Execution-
Implementation.) Talent. (Recruit-Develop-Retain.) Project Management. (Create. Solicit
support. Execution. Adoption-Client “Culture Change.”) Product. (“It.”) Innovation. (Design.
Creativity. “Buzz-building.” Politics.) Leadership. (USMA, etc.) E.Q. (Connect.) “Culture”
Change. (Lasting impact.) Diversity. (Cross-
cultural Effectiveness.) Career Creation. (Brand You life-lifestyle.) Wellness. (Life.)
*B.Schools (“M.I.A.” or at most “B.I.A.”—barely in action)
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Causes/1966-2006
Implementation/Small Wins (Stanford GSB/PhD thesis; 1st on implementation per se)
EXCELLENCE (as a worthy business pursuit)
Management Style/Corporate CultureSoft “Ss”/7-S (Waterman-Peters complete “business model”; waaaaay beyond Strategy & Structure)
Structure > Strategy (“We shape our structures, then they shape us …”—Churchillian paraphrase)
Soft Change Levers (> structure; symbols, patterns & settings)
Close to the Customer (novel idea, circa 1982)
MBWA (Managing By Wandering Around—courtesy a much more intimate than today HP)
Productivity through People (novel idea, circa 1982)
Chaos/Crazy Times Call for Crazy OrganizationsMiddle-sized companies are cool Re-imagine!/Innovate or Die!Small-ish/Scale & Synergy limits-delusions/anti-Big Mergers
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Causes/1966-2006
Women/Market opportunityWomen/Leaders (right for the times)
Design/Design-as-soulWow! (Hot language)
Weird!Passion!/Enthusiasm!/Exuberance! (as Leader Lever #1)
Brand You (or else)
PSF = Bedrock (add value or bust—every group must demonstrate economic viability)
PSF + Brand You + WOW Projects = New Biz LogicSales/+R > -C (increasing revenue more important than cutting cost)
HealthCare/Wellness-Safety-H5N1Brand = Talent (best roster wins)
New VA Ladder/Products-Services-SOLUTIONS-EXPERIENCES-DREAMKETING (Dream Marketing)-LOVEMARKDifferent > > BetterBoomers & Geezers/marketing to new “mega-segment”
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Adversaries
B-schools (crappy at soft skills, implementation, leadership)
Strategy-is-allBy-the-numbers managementDis-passionate managementFocus groupsIntuition discountedLeading as an intellectual taskLeading without passionCool language in Hot timesDilbert (accepting cubicle slavery)
Bigness per se (severe scale limitations—even at Microsoft)
White guys! (not really, but enough already)
18-44 emphasis in marketing (geezers > youth for foreseeable future)
-Cost > +Revenue (cost cutting more important than organic revenue growth)
CI (continuous improvement in an age of discontinuous world)
LESS THAN THE NO-HOLDS-BARRED PURSUIT OF EXCELLENCE
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EXCELLENCE. RE-DEFINED.
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“It is not the strongest of the
species that survives, nor the most intelligent, but the one most
responsive to change.” —Charles Darwin
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Great Companies … SET THE
AGENDA.*
(Period.)
* “disturb the sleep of …
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AGENDA SETTERS: “Set the Table”/ Pioneers/ Questors/ Adventurers
US Steel … Ford … Toyota … Sears … GM … ITT … The Gap … Limited …
Wal*Mart … Tesco … P&G … 3M … Intel … IBM … Apple … Nokia …
Cisco … Dell … MCI … Sun … Microsoft … Google … Enron …
Schwab … GE … Laker … Southwest … People Express … Ogilvy … Virgin
… eBay … Amazon … Sony … Amgen … BMW … CNN … Nike
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Built to Last vs Built for Impact
“But what if [former head of strategic planning at Royal Dutch Shell] Arie De Geus is wrong in suggesting, in The
Living Company, that firms should aspire to live forever? Greatness is fleeting and, for corporations, it
will become ever more fleeting. The ultimate aim of a business organization, an artist, an athlete or a stockbroker may be to explode in a dramatic frenzy of value creation during a
short space of time, rather than to live forever.” —Kjell Nordström and Jonas Ridderstråle, Funky Business
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EXCELLENCE.
RENOVATION2006.
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X06/Excellence2006: The Bedrock Baker’s Dozen
1. A Bias For Action/Culture of Execution = Job One! 2. DECENTRALIZATION! ACCOUNTABILITY! 3. Fail. Forward. Fast.4. Velocity! Tempo! “Metabolic Management” Matters! 5. INNOVATE … or Die.6. A Damn Good Product. A Damn Cool Product.7. Ride the Value Added Curve to the Sky: Insure “Gamechanging Solutions”; Provide “Spellbinding Experiences”; Become a “Dream Merchant”; Strive to Be a “Lovemark;” Seek “Tattoo Brand” status.8. Relentlessly Pursue the “Big Two” Markets: Women, Boomers & Geezers. 9. Best Talent Wins! Women Rule! HR at the Head Table!
10. Educate for Creativity, Entrepreneurship & “Brand You” Independence.11. Demanded: Radical Technology Strategies! 12. Passion! Enthusiasm! Energy! Excitement! Relentlessness! 13. No Less Than EXCELLENCE. Ever.
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X06/Excellence2006: The Bedrock Baker’s Dozen
1. A Bias For Action/A “Culture of Execution” = Job One! (Must be a Systematic Discipline.)
2. DECENTRALIZATION! ACCOUNTABILITY! (Tom’s “Top Two,” 1965-2005.)
3. Fail. Forward. Fast. (“Reward Excellent Failures, Punish Mediocre Successes.” “Most tries wins.”)
4. Velocity! Tempo! “Metabolic Management” Matters! (Hustle! Adapt! Win the “O.O.D.A. Loop” War—Confuse Your Competitors!)
5. INNOVATE … or Die. (“Game-changers” or Bust! Lead the Customer! Shout “NO” to Imitation!)
6. A Damn Good Product. A Damn Cool Product. (Pursue “Dramatic Difference.”
Design Rules!)
7. Ride the Value Added Curve to the Sky: Insure “Gamechanging Solutions”; Provide “Spellbinding Experiences”; Become a “Dream Merchant”; Strive to Be a “Lovemark;” Seek “Tattoo Brand” status.8. Relentlessly Pursue the “Big Two” Markets: Women, Boomers & Geezers. (WOMEN Buy Everything. BOOMERS & GEEZERS Have All the Money!)
9. Best Talent Wins! Women Rule! HR at the Head Table! (“Weird” Matters Most! A Workplace to Brag About! Educate for Creativity!)
10. Educate for Creativity, Entrepreneurship & “Brand You” Independence. (The schools have it all wrong!)
11. Demanded: Radical Technology Strategies! (“Incrementalism” Is for Wimps!)
12. Passion! Enthusiasm! Energy! Relentlessness! (Hard Is Soft! Soft Is Hard!) 13. No Less Than EXCELLENCE. Ever. (Excellence … the #1 Thing That Vaults Us Out of Bed in the Morning, and Matters in the Long run.)
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EXCELLENCE.
ALWAYS.
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“Why in the world did you go to Siberia?”
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The Peters Principles: Enthusiasm.
Emotion. Excellence. Energy. Excitement. Service. Growth.
Creativity. Imagination. Vitality. Joy. Surprise. Independence. Spirit. Community. Limitless human potential. Diversity. Profit. Innovation. Design.
Quality. Entrepreneurialism. Wow.
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Business* ** (*at its best): An emotional, vital, innovative, joyful,
creative, entrepreneurial endeavor that elicits
maximum concerted human potential in the
wholehearted service of others.***
**Excellence. Always.***Employees, Customers, Suppliers, Communities, Owners, Temporary partners
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Business: The Ultimate Creative
Endeavor.
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Business: The Ultimate Personal
Development-Growth
Experience.
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Business: The Ultimate
Transcendent Service
Opportunity.
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EXCELLENCE.
YOU & ME.
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“In Tom’s world, it’s always better to try
a swan dive and deliver a colossal belly flop than to
step timidly off the board while holding
your nose.” —Fast Company
/October2003
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“This is the true joy of Life, the being used for a purpose recognized by yourself as a mighty one … the being a
force of Nature instead of a feverish, selfish little clod of
ailments and grievances complaining
that the world will not devote itself
to making you happy.” —GB Shaw/Man and Superman
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“My only goal is to have no goals. The goal, every time, is that film, that very moment.” —Bernardo Bertolucci
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“Life is not a journey to the grave with the
intention of arriving safely in a pretty and well-preserved body—but
rather a skid in broadside, thoroughly used up, totally worn out, and
loudly proclaiming, ‘Wow, what
a ride!’ ” —anon.
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EXCELLENCE.
TRANSCENDENCE.THRILLS.
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Radically Thrilling Language!
“Radically Thrilling.”
—BMW Z4 (ad)
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CTO**Chief Thrills Officer
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Synonyms
PurityTranscendence
VirtueEleganceMajesty
Antonyms
Mediocrity
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CTO**Chief Transcendence Officer
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EXCELLENCE. WOW. NOW.
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CWO**Chief WOW Officer
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C!O*Chief ! Officer
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“It’s always
showtime.”
—David D’Alessandro, Career Warfare
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EXCELLENCE.LET.US.
MARCH.
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“In classical times when Cicero had finished
speaking, the people said, ‘How well he spoke,’ but when Demosthenes had finished speaking,
they said, ‘Let us march.’” —Adlai Stevenson
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“Never doubt that a small group of
committed people can change the
world. Indeed it is the only thing that ever has.” —Margaret Mead
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EXCELLENCE.
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You only find oil if you drill
wells.
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IT’s always showtime.
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let us march.
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EXCELLE ALWAYS.