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Title: Tom%20Peters


1
Tom PetersEXCELLENCE. ALWAYS.X.Always/Fir
st Data CorporationOmaha/20 September 2006
2
Slides at tompeters.com
3
EXCELLENCE. THE MANDATE.THE SAD FACTS.
4
THREE BILLION NEW CAPITALISTS Clyde Prestowitz
5
If you dont like change, youre going to
like irrelevance even less. General Eric
Shinseki, Chief of Staff. U. S. Army
6
It is not the strongest of the species that
survives, nor the most intelligent, but the one
most responsive to change. Charles Darwin
7
Forbes100 from 1917 to 1987 39 members of the
Class of 17 were alive in 87 18 in 87 F100
18 F100 survivors significantly underperformed
the market just 2 (2), GE Kodak,
outperformed the market from 1917 to 1987.SP
500 from 1957 to 1997 74 members of the Class of
57 were alive in 97 12 (2.4) of 500
outperformed the market from 1957 to
1997.Source Dick Foster Sarah Kaplan,
Creative Destruction Why Companies That Are
Built to Last Underperform the Market
8
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 Buy a very
large one and just wait. Paul Ormerod, Why
Most Things Fail Evolution, Extinction and
Economics
9
It is generally much easier to kill an
organization than change it substantially.
Kevin Kelly, Out of Control
10
Message/Implication go for it!C.E.O. to
C.D.O.
11
EXCELLENCE. THE WORD.
12
SynonymsPurityTranscendenceVirtueEleganceMaj
estyAntonymsMediocrity
13
Why in the world did you go to Siberia?
14
Business (at its excellent best) An
emotional, vital, audacious, innovative, joyful,
frightening, risky, creative, entrepreneurial
endeavor that breathes life fire into our
work elicits maximum concerted human potential
in the wholehearted effort to help others
reach places theyd never dreamed they could
go.Employees, Customers, Suppliers,
Communities, Owners, Temporary partners
15
The role of the Director is to create a space
where the actors and actresses can become more
than theyve ever been before, more than theyve
dreamed of being. Robert Altman, Oscar
acceptance speech
16
Astonish me! (SD).Build something great!
(HY).Make it immortal! (DO)Insanely
great (SJ)
17
In-sane-ly-great
18
EXCELLENCE. VALUE ADDED.UP THE LADDER.
19
EXCELLENCE I. SOLVE IT.
20
55B
21
Up, Up, Up, Up the Value-added Ladder.
22
The Value-added Ladder/ OPPORTUNITY-SEEKING
Gamechanging SolutionsServicesGoods Raw
Materials
23
EXCELLENCE.NECESSITY.OPPORTUNITY.
24
Disintermediation is overrated. Those who
fear disintermediation-outsourcing should in fact
be afraid of irrelevance outsourcing is just
another way of saying that youve become
irrelevant to your customers. John
Battelle/Point/Advertising Age/07.05
25
ChicagoHRMAC
26
support function / cost center/ overhead
or
27
Are you Rock Stars of the Age of Talent
28
Department Head to Managing Partner, IS
HR, RD, etc. Inc.
29
Core MechanismGame-changing Solutions PSF
(Professional Service Firm model/The
Organizing Principle) Brand You(Distinct or
Extinct/The Talent) Wow! Projects
(Different vs Better/The Work)
30
Core MechanismGame-changing Solutions PSF
(Professional Service Firm model/The
Organizing Principle) Brand You(Distinct or
Extinct/The Talent) Wow! Projects
(Different vs Better/The Work)
31
Astonish me! (SD).Build something great!
(HY).Make it immortal! (DO)Insanely
great (SJ)
32
Big Idea Corporation as Mega-PSF
(Professional Service Firm) Virtual
Collection of Entrepreneurially-minded
Professionals (Talent/Roster)
Creating/Applying Intellectual Capital (Work
Product)
33
Agriculture Age (farmers)Industrial Age (factory
workers)Information Age (knowledge
workers)Conceptual Age (creators)Murakami
Teruyasu Age of Creation IntensificationSourc
e Dan Pink, A Whole New Mind
34
EXCELLENCE. ATTITUDE.TRANSFORMATION.PSF.
35
HCare CIO Technology Executive (workin in a
hospital) Or/to Full-scale, Accountable (life
or death) Member-Partner of XYZ Hospitals
Senior Healing-Services Team (who happens to be a
techie)
36
EXCELLENCE II. EXPERIENCE IT.
37
Experiences are as distinct from services as
services are from goods. Joe Pine Jim
Gilmore, The Experience Economy Work Is Theatre
Every Business a Stage
38
Experience Rebel Lifestyle!What we sell is
the ability for a 43-year-old accountant to dress
in black leather, ride through small towns and
have people be afraid of him.Harley exec,
quoted in Results-Based Leadership
39
Up, Up, Up, Up the Value-added Ladder.
40
The Value-added Ladder/ MEMORABLE
CONNECTIONSpellbinding Experiences
Gamechanging SolutionsServicesGoods Raw
Materials
41
EXCELLENCE III. DREAM IT.
42
Furniture vs. DreamsWe do not sell furniture
at Domain. We sell dreams. This is accomplished
by addressing the half-formed needs in our
customers heads. By uncovering these needs, we,
in essence, fill in the blanks. We convert
needs into dreams. Sales are the inevitable
result. Judy George, Domain Home Fashions
43
Up, Up, Up, Up the Value-added Ladder.
44
The Value-added Ladder/ EMOTIONDreams Come
TrueSpellbinding Experiences Gamechanging
SolutionsServicesGoods Raw Materials
45
Big Blue
46
The (NEW) Value-added LadderDreams Come
TrueSpellbinding Experiences Gamechanging
SolutionsServicesGoods Raw Materials
47
EXCELLENCE.NEW MARKETS.ENORMOUS.
OPPORTUNITIES.
48
Women are the majority market Fara
Warner/The Power of the Purse
49
She knows more about the Volvo than the
salesman who greets her at the door. But how is
she treated? As if she has a low IQ , is slightly
hard of hearing , and really has no right to be
buying a luxury car and if she brought a male
friend with her, odds are 101 that the clueless
salesperson spent most of his time speaking to
him . Selling to Men, Selling to Women, Jeffery
Tobias Halter
50
Selling to men The TRANSACTION ModelSelling to
Women The RELATIONAL ModelSource Selling
to Men, Selling to Women, Jeffery Tobias Halter
51
Women dont buy brands. They join
them.EVEolution
52
1. Men and women are different.2. Very
different.3. VERY, VERY DIFFERENT.4. Women
Men have a-b-s-o-l-u-t-e-l-y nothing in
common.5. Women buy lotsa stuff.6. WOMEN BUY
A-L-L THE STUFF.7. Womens Market Opportunity
No. 1.8. Men are (STILL) in charge.9. MEN ARE
TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN.
53
10. Womens Market Opportunity No. 1.
54
Goldman Sachs in Tokyo has developed an index of
115 companies poised to benefit from womens
increased purchasing power over the past decade
the value of shares in Goldmans basket has risen
by 96, against the Tokyo stockmarkets rise of
13. Economist, 15 April 2006
55
EXCELLENCE. OPPORTUNITY.
56
2000-2010 Stats18-44 -155 21(55-64
47)
57
44-65 New Customer Majority 45 larger
than 18-43 60 larger by 2010Source Ageless
Marketing, David Wolfe Robert Snyder
58
The New Customer Majority is the only adult
market with realistic prospects for significant
sales growth in dozens of product lines for
thousands of companies. David Wolfe Robert
Snyder, Ageless Marketing
59
EXCELLENCE. INNOVATE. OR. DIE.
60
A focus on cost-cutting and efficiency has
helped many organizations weather the downturn,
but this approach will ultimately render them
obsolete. Only the constant pursuit of innovation
can ensure long-term success. Daniel Muzyka,
Dean, Sauder School of Business, Univ of British
Columbia (FT/2004)
61
More Than 1 RD spending, last 25
years/USA?
62
GM
63
EXCELLENCE.INNOVATION. TACTICS.
64
We become who we hang out with!
65
Measure Strangeness/Portfolio
QualityStaffConsultantsVendorsOut-sourcing
Partners (, Quality)Innovation Alliance
PartnersCustomersCompetitors (who we
benchmark against) Strategic Initiatives
Product Portfolio (LineEx v. Leap)IS/IT
ProjectsHQ LocationLunch MatesLanguageBoard
66
try it. Try it. Try it. Try it. Try it. Try it.
Try it. Try it. Try it. Try it. Try it. Try it.
Try it. Try it. Try it. Try it. try it. Try it.
Try it. try it. Try it. Try it. Try it. Try it.
Try it.
67
We have a strategic plan. Its called doing
things. Herb Kelleher
68
READY.FIRE!AIM.Ross Perot (vs Aim! Aim!
Aim! /EDS vs GM/1985)
69
We made mistakes, of course. Most of them were
omissions we didnt 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,
were 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 planfor months. Bloomberg
by Bloomberg
70
Experiment fearlesslySource BW0821.06, Type
A Organization Strategies/ How to Hit a Moving
TargetTactic 1
71
S.A.V.
72
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 youre finding it when youre drawing maps
and studying logs, but you have to drill.
Source The Hunters, by John Masters, Canadian
O G wildcatter
73
Excellence1982 The Bedrock Eight Basics 1. A
Bias for Action 2. Close to the Customer 3.
Autonomy and Entrepreneurship 4. Productivity
Through People 5. Hands On, Value-Driven 6. Stick
to the Knitting 7. Simple Form, Lean Staff 8.
Simultaneous Loose-Tight Properties
74
tolerate encourage? failure
75
Fail . Forward. Fast.High Tech CEO,
PennsylvaniaFail faster. Succeed
Sooner.David Kelley/IDEO
76
Sams Secret 1!
77
Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
78
TP1 Netscape!Where would you rather have
worked for those 5 years, Netscape or
IBM-HP-Microsoft-Oracle? (Where, 25 years from
now, would you rather to be able to tell
someonee.g., grandchildthat you worked?)
79
EXCELLENCE. 4/40.
80
4/40
81
De-cent-ral-iz-a-tion!
82
Ex-e-cu-tion!
83
Execution is the job of the business leader.
Larry Bossidy Ram Charan/ Execution The
Discipline of Getting Things Done
84
Ac-count-a-bil-ity!
85
GE has set a standard of candor. There is no
puffery. There isnt an ounce of denial in the
place. Kevin Sharer, CEO Amgen, on the GE
mystique (Fortune)
86
615A.M.
87
EXCELLENCE. BEDROCK.TALENT.
88
Hire very good people!
89
We believe companies can increase their market
cap 50 percent in 3 years. Steve Macadam at
Georgia-Pacific changed 20 of his 40 box plant
managers to put more talented, higher paid
managers in charge. He increased profitability
from 25 million to 80 million in 2 years.
Ed Michaels, War for Talent
90
INVITE THEM TO JOIN US IN A JOURNEY TO EXCELLENCE!
91
The role of the Director is to create a space
where the actor or actress can become more than
theyve ever been before, more than theyve
dreamed of being. Robert Altman, Oscar
acceptance
92
PUT HR AT THE HEAD OF THE HEAD TABLE. BEST
PEOPLE. NOBLEST MISSION.
93
DD21M
94
A review of Jack and Suzy Welchs Winning claims
there are but two key differentiators that set GE
culture apart from the herd First Separating
financial forecasting and performance
measurement. Performance measurement based, as it
usually is, on budgeting leads to an epidemic of
gaming the system. GEs performance measurement
is divorced from budgetingand instead reflects
how you do relative to your past performance and
relative to competitors performance i.e., its
about how you actually do in the context of what
happened in the real world, not as compared to a
gamed-abstract plan developed last year.
Second Putting HR on a par with finance and
marketing.
95
LIVE FOR TALENT!
96
Our MissionTo develop and manage talentto
apply that talent,throughout the world, for the
benefit of clientsto do so in partnership to
do so with profit.WPP
97
Brand Talent.
98
EXCELLENCE. WOMEN.RULE.
99
AS LEADERS, WOMEN RULE New Studies find that
female managers outshine their male counterparts
in almost every measureTitle, Special
Report/BusinessWeek
100
WOMEN DOMINATE ECONOMIC GROWTH.
101
Forget China, India and the Internet Economic
Growth Is Driven by Women. Headline, Economist,
April 15, 2006, Leader, page 14
102
Impact! Add It Up!Primary
markets/Everything (Men buy things that other
men will buy for women. I buy things that women
want.successful jeweler/F. Women are the
majority market Fara Warner/The Power of the
Purse. Women as Purchasing Officers, CIOs,
etc.)Greater global workforce participation rate
(bigger contributor to GDP growth than
technology, China, IndiaEconomist)Higher wages
(more seniority, promotionseven if not to CEO
greater pay equityeven if not equal)Business
decision makers (more seniority,
promotionseven if not to CEO)Women-owned
businesses (answer to the Glass Ceiling10.6M in
USA recipients of micro-lendingdeveloping
world)
103
EXCELLENCE. BEDROCK.LEADERSHIP.
104
EXCELLENCE.ENTHUSIASM.ENERGY. PASSION.
105
Nothing is so contagious as enthusiasm.
Samuel Taylor Coleridge
106
Most important, he upped the energy level at
Motorola. Fortune on Ed Zander/08.05
107
EXCELLENCE. SHOWING UP.
108
You must be the change you wish to see in the
world.Gandhi
109
The First step in a dramatic organizational
change program is obviousdramatic personal
change! RG
110
EXCELLENCE. STRETCH.
111
The greatest dangerfor most of usis not that
our aim istoo highand we miss it,but that it
istoo lowand we reach it.Michelangelo
112
Kevin Roberts Credo1.
Ready. Fire! Aim.2. If it aint broke ... Break
it!3. Hire crazies.4. Ask dumb questions.5.
Pursue failure.6. Lead, follow ... or get out of
the way!7. Spread confusion.8. Ditch your
office.9. Read odd stuff.10. Avoid moderation!
113
EXCELLENCE. OFFENSE.
114
On NELSON other admirals more frightened of
losing than anxious to win
115
"Life is not a journey to the grave with the
intention of arriving safely in one pretty and
well preserved piece, but to skid across the line
broadside, thoroughly used up, worn out, leaking
oil, shouting GERONIMO! Bill McKenna,
professional motorcycle racer (Cycle magazine)
116
You only find oil if you drill wells. The
Hunters, by John Masters, Canadian O G
wildcatter
117
Insanely great
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