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Title: Lessons in Leadership: Tom Peters SeminarM3 Rollercoaster Days: Learning to


1
Lessons in LeadershipTom Peters SeminarM3
Rollercoaster Days Learning to Rock
Roll!MSP/13Feb2001
2
More at tompeters.comSlides from this
seminarMaster Presentation, for in-depth
annotated Special Presentations Women Rule!,
Design!, etc..Cool Friends (referenced in
seminar).Discussions re this stuff.Calendar of
events.Etc.
3
There will be more confusion in the business
world in the next decade than in any decade in
history. And the current pace of change will only
accelerate.Steve Case
4
Rollercoaster Days2001 Blood on retails
streets Montgomery Wards, Bradlees, Sears,
Penney. Layoffs/10K Chrysler 27K, Lucent,
WorldCom, GM. GE 80,000??? Inet driven.
Other Big Sara Lee, Ford, Caterpillar. Human
cloning within 1 year. First space tourist.
5
The corporation as we know it, which is now 120
years old, is not likely to survive the next 25
years. Legally and financially, yes, but not
structurally and economically.Peter Drucker,
Business 2.0 (08.00)
6
We are in a brawl with no rules.Paul Allaire
7
S.A.V.
8
The Kotler Doctrine1965-1980
R.A.F.(Ready.Aim.Fire.)1980-1995
R.F.A.(Ready.Fire!Aim.)1995-????
F.F.F.(Fire!Fire!Fire!)
9
John Roths Rules Nortel1. Our strategies
must be tied to leading-edge customers on the
attack.2. Time cannot be sacrificed for better
quality, lower cost, or even better
decisions.3. It doesnt matter whether you
develop or acquire leading technology. Our job is
to provide the technology and products our
customers need.4. Success is achieved by leading
change, not waiting for it.5. We are paranoid
about our leadership willing to cannibalize our
own products to maintain our edge.Source
Abridged from The Wall Street Journal (07.25.00)
10
It used to be that the big ate the small. Now
the fast eat the slow.Geoff Yang, IVP/
(Institutional Venture Partners)
11
Read It Again We dont sell insurance
anymore. We sell speed. Peter Lewis,
Progressive
12
StructurePart I Brand InsidePart II Brand
OutsidePart III Brand Leadership
13
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
14
Forces _at_ Work IThe Destruction Imperative!
15
ForgetgtLearnThe problem is never how to get
new, innovative thoughts into your mind, but how
to get the old ones out.Dee Hock
16
When asked to name just one big merger that had
lived up to expectations, Leon Cooperman, former
cochairman of Goldman Sachs Investment Policy
Committee, answered Im sure there are success
stories out there, but at this moment I draw a
blank.Mark Sirower, The Synergy Trap
17
Acquisitions are about buying market share. Our
challenge is to create markets. There is a big
difference. Peter Job, CEO, Reuters
18
Our ideal acquisition is a small startup that
has a great technology product on the drawing
board that is going to come out in six to twelve
months. We buy the engineers and the next
generation product.
John Chambers, Cisco
19
Lessons from the Bees!Since merger mania is
now the rage, what lessons can the bees teach
us? A simple one Merging is not in nature.
Natures process is the exact opposite one of
growth, fragmentation and dispersal. There is no
megalomania, no merging for mergings sake. The
point is that unlike corporations, which just get
bigger, bee colonies know when the time has come
to split up into smaller colonies which can grow
value faster. What the bees are telling us is
that the corporate world has got it all
wrong.David Lascelles, Co-director of The
Centre for the Study of Financial Innovation UK
20
Built to Last v. Built to FlipThe problem with
Built to Last is that its a romantic notion.
Large companies are incapable of ongoing
innovation, of ongoing flexibility.Increasingl
y, successful businesses will be ephemeral. They
will be built to yield something of value and
once that value has been exhausted, they will
vanish.Fast Company (03-00)
21
The New Ge WayDYB.com
22
The Gales of Creative Destruction29M -44M
73M4M 4M - 0M
23
Message Destroy to create!
24
Brand InsideBrand Org Lean, Linked,
Electronic Malleable
25
Headline Bank of America to Cut 10,000
JobsMiddle-level and senior managers are
expected to be the principal targets of the job
cutbacks.Source The New York Times
(07.29.2000)
26
White Collar Revolution!
27
108 X 5vs. 8 X 1 540 vs. 8 (-98.5)
28
The Pincer 5Destructive entrepreneurs/ Global
CompetitionWhite Collar RobotsTHE INTERNET!
E.g. GM Ford DaimlerChryslerGlobal
Outsourcing E.g. India, MexicoSpeed!!
29
A bureaucrat is an expensive microchip.Dan
Sullivan, consultant and executive coach
30
Automation75 of what we do 40 expert
decision rules!
31
Assetless CompanyJohn Bryan, CEO, on selling
all Sara Lees manufacturing
32
Dont own nothin if you can help it. If you
can, rent your shoes.F.G.
33
We have transitioned from an asset-based
strategy to a talent-based strategy.Jeff
Skilling, COO, Enron
34
Cisco, Dell Brand-owning companies who sell
Customer SatisfactionSource David Schneider
Grady Means, MetaCapitalism e.g. Cisco owns 2
of 38 assembly plants
35
RR on Assetless J.B. Sara LeeThe most
profitable businesses in the future will act as
knowledge brokers, linking insights into whats
available with insights into the customers
individual needs and preferences.
36
Advance ParadigmData on 165,000,000
prescriptions per year docs and insurers have
access to recordsReduces med errors saves
2.88 per scrip prescribing errors docs save
14,000 per year in review timeRev in 99 2B
477M in 98Source Business Week (09.00)
37
Message The W.C.R. is inevitable. Lead it. Or
get swallowed by it.
38
Brand InsideBrand Work The Professional
Service Firm Model The WOW Project
39
So what will be the Basic Building Block of the
New Org?
40
Answer PSF!Professional Service
FirmDepartment Head to Managing Partner,
HR IS, etc. Inc.
41
New OrleansApril 2000 NAPM
42
You are the Rock Stars of the B2B Age!
43
ChicagoNovember 1999HRMAC
44
support function / cost center /
bureaucratic dragor
45
Are you Rock Stars of the Age of Talent
46
Credo W.W.P.F.WORK WORTH
PAYINGFOR
47
Every job done in W.C.W. is also done outside
for profit!
48
P.S.F. SummaryH.V.A. Projects (100)Pioneer
ClientsWOW Work (see below)Hot Talent (see
below)Adventurous cultureProprietary Point
of View (Methodology)W.W.P.F. (100)/Outside
Clients (25) When Now!
49
The Raw Material The WOW Project!
50
Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
51
Every project we take on starts with a question
How can we do whats never been done
before?Stuart Hornery, CEO, Lend Lease
52
Message PSF and WOW Projects are minimum W.C.R.
survival strategies. (And a better way to live.)
53
Brand InsideBrand You Distinct or Extinct
54
2010 DemographicsBy 2010, full-time workers
will be in the minoritySource MIT study
(28August2000)
55
If there is nothing very special about your
work, no matter how hard you apply yourself, you
wont get noticed, and that increasingly means
you wont get paid much either.Michael
Goldhaber, Wired
56
Minimum New Work SurvivalSkillsKit2000MasteryRo
lodex Obsession (vert. to horiz.
loyalty)Finishing SkillsEntrepreneurial
InstinctCEO/Leader/BusinesspersonMistress of
ImprovSense of HumorIntense Appetite for
TechnologyGroveling Before the YoungEmbracing
MarketingPassion for Renewal
57
AssignmentConstruct a 1/8-page or 1/4-page ad
for Brand You for the Yellow Pages
58
You are the storyteller of your own life, and
you can create your own legend or not.Isabel
Allende
59
Brand You, Big Time!I AM AN ARMY OF ONE
60
R.D.A.Rate 15?, 25?Therefore Formal
Investment Strategy/R.I.P.
61
You must realize that how you invest your human
capital matters as much as how you invest your
financial capital. Its rate of return determines
your future options. Take a job for what it
teaches you, not for what it pays. Instead of a
potential employer asking, Where do you see
yourself in 5 years? youll ask, If I invest my
mental assets with you for 5 years, how much will
they appreciate? How much will my portfolio of
career options grow? Stan Davis Christopher
Meyer, futureWEALTH
62
Knowledge becomes obsolete incredibly fast. The
continuing professional education of adults is
the No. 1 industry in the next 30 years mostly
on line.Peter Drucker,Business 2.0
(22August2000)
63
Invent. Reinvent. Repeat.Source HP banner ad
64
Message Distinct or Extinct.
65
Brand InsideBrand Talent The Great War for
Talent
66
The Case
67
When land was the productive asset, nations
battled over it. The same is happening now for
talented people.Stan Davis Christopher
Meyer, futureWEALTH
68
The Talent Ten
69
1. ObsessionP.O.T. All ConsumingPursuit
of Talent
70
From 1, 2 or 3 JW to Best talent in
each industry segment to build best proprietary
intangibles EMSource Ed Michaels, War for
Talent (05.17.00)
71
2. GreatnessOnly The Best!
72
Home Depot 7 new growth initiatives (20B to
100B in 5-7 years)Arthur Blank BEST PERSON IN
THE WORLD TO HEAD EACH INITIATIVEE.g. COO of
IKEA to head international expansionEd
Michaels, War for Talent (05.17.00)
73
3. PerformanceUp or out!
74
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 (05.17.00)
75
4. PayFork Over!
76
Top performing companies are two to four times
more likely than the rest to pay what it takes to
prevent losing top performers.Ed Michaels,
War for Talent (05.17.00)
77
We value engineers like professional athletes.
We value great people at 10 times an average
person in their function.Jerry Yang, Yahoo
78
So-so plant manager, 1M per year. Pay 110,000
plus 60,000. Top plant manager, 3-4M per year.
Pay 135,000 plus 90,000. Net 2-3M for
50K.Source Ed Michaels et al., The War for
Talent, re Georgia Pacific
79
5. Youth Grovel Before the Young!
80
Why focus on these late teens and
twenty-somethings? Because they are the first
young who are both in a position to change the
world, and are actually doing so. For the first
time in history, children are more comfortable,
knowledgeable and literate than their parents
about an innovation central to society. The
Internet has triggered the first industrial
revolution in history to be led by the
young.The Economist 12/2000
81
Talented people are less likely to wait their
turn. We used to view young people as trainees
now they are authorities. Arguably this is the
first time the older generation can and must
leverage the younger generation very early in
their careers.Ed Michaels, War for Talent
(05.17.00)
82
6. DiversityMess Rules!
83
Where do good new ideas come from? Thats
simple! From differences. Creativity comes from
unlikely juxtapositions. The best way to maximize
differences is to mix ages, cultures and
disciplines.Nicholas Negroponte
84
Diversity defines the health and wealth of
nations in a new century. Mighty is the mongrel.
The hybrid is hip. The impure, the mélange, the
adulterated, the blemished, the rough, the
black-and-blue, the mix-and-match these people
are inheriting the earth. Mixing is the new norm.
Mixing trumps isolation. It spawns creativity,
nourishes the human spirit, spurs economic
growth and empowers nations.G. Pascal
Zachary, The Global Me New Cosmopolitans and the
Competitive Edge
85
7. WomenBorn to Lead!
86
AS LEADERS, WOMEN RULE New Studies find that
female managers outshine their male counterparts
in almost every measureTitle, Special Report,
Business Week, 11.20.00
87
On average, women and men possess a number of
different innate skills. And current trends
suggest that many sectors of the
twenty-first-century economic community are going
to need the natural talents of women.Helen
Fisher, The First Sex The Natural Talents of
Women and How They Are Changing the World
88
Women and new-economy management
89
The New Economy Shout goodbye to command and
control!Shout goodbye to hierarchy!Shout
goodbye to knowing ones place!
90
Guys want to put everybody in their hierarchical
place. Like, should I have more respect for you,
or are you somebody thats south of me?Paul
Biondi, Mercer Consultants from Its Not
Business, Its Personal, Ronna Lichtenberg
91
Womens Stuff New Economy MatchImprov
skillsRelationship-centricLess rank
consciousnessSelf determinedTrust sensitive
IntuitiveNatural empowerment freaks less
threatened by strong peopleIntrinsic
motivation gt Extrinsic
92
TAKE THIS QUICK QUIZ Who manages more things
at once? Who puts more effort into their
appearance? Who usually takes care of the
details? Who finds it easier to meet new
people? Who asks more questions in a
conversation? Who is a better listener? Who
has more interest in communication skills? Who
is more inclined to get involved? Who
encourages harmony and agreement? Who has
better intuition? Who works with a longer to
do list? Who enjoys a recap to the days
events? Who is better at keeping in touch
with others?Source Selling Is a Womans Game
15 Powerful Reasons Why Women Can Outsell Men,
Nicki Joy Susan Kane-Benson
93
Investors are looking more and more for a
relationship with their financial advisers. They
want someone they can trust, someone who listens.
In my experience, in general, women may be better
at these relationship-building skills than are
men.Hardwick Simmons, CEO, Prudential
Securities
94
Boys are trained in a way that will make them
irrelevant.Phil Slater
95
Its Girls, Stupid!1996 8.4M women, 6.7M men
in college (est 9.2 to 6.9 in 2007) more women
than men in high-level math and science
coursesMore girls in student govt., honor
societies girls read more books, outperform boys
in artistic and musical ability, study abroad in
higher numbersBoys do rule crime, alcohol,
drugs, failure to do homework (41)Source The
Atlantic Monthly (May2000)
96
Read This!Winning the Talent War for Women
Sometimes It Takes a Revolution Douglas
McCracken, HBR 11-12/2000
97
Deloitte was doing a great job of hiring
high-performing women in fact, women often
earned higher performance ratings than men in
their first years with the firm. Yet the
percentage of women decreased with step up the
career ladder. Most women werent leaving to
raise families they had weighed their options in
Deloittes male-dominated culture and found them
wanting. Many, dissatisfied with a culture they
perceived as endemic to professional service
firms, switched professions.Douglas McCracken,
Winning the Talent War for Women HBR
98
The process of assigning plum accounts was
largely unexamined. Male partners made
assumptions I wouldnt put her on that kind of
company because its a tough manufacturing
environment. That client is difficult to deal
with. Travel puts too much pressure on women.
Douglas McCracken, Winning the Talent War for
Women HBR
99
Alert to Women Message S. Estrich Re-invent
the Culture!
100
Obeying the rules is obeying their rules.
Women can never be powerful as long as they try
to be in charge in the same way men take
charge.Harriet Rubin, The Princessa
Machiavelli for Women
101
Okay, you think Ive gone tooooo far. How about
this DO ANY OF YOU SUFFER FROM TOO MUCH TALENT?
102
63 of top 2,500 earners in F5008 Big 5
partners 14 partners at top 250 law firms7
movie directors43 new med students 26 med
faculty 7 deans28 women VPs in line
jobsSource Susan Estrich, Sex and Power
103
8. WeirdThe Cracked Ones Let in the Light!
104
The Cracked Ones Let in the LightOur business
needs a massive transfusion of talent, and
talent, I believe, is most likely to be found
among non-conformists, dissenters and
rebels.David Ogilvy
105
Axiom Never hire anyone without an aberration
in their background!
106
9. OpportunityMake It an Adventure!
107
H.R. to H.E.D. ???Human
Enablement Department
108
  • Firms will not manage the careers of their
    employees. They will provide opportunities to
    enable the employee to develop identity and
    adaptability and
  • thus be in charge of his or her own career.
  • Tim Hall et al., The New Protean Career
    Contract

109
10. Leading GeniusWe are all unique!
110
Beware Lurking HR Types One size NEVER fits
all. One size fits one. Period.
111
44 Players 44 Projects 44 different success
measures
112
Insights from 80,000 managersPeople dont
change much.Dont waste time trying to put in
what was left out.Try to draw out what was left
in.That is hard enough.Source Marcus
Buckingham Curt Coffman, First, Break All the
Rules What the Worlds Greatest Managers Do
Differently
113
Employee retention satisfaction
Overwhelmingly, based on their immediate
manager!Source Marcus Buckingham Curt
Coffman, First, Break All the Rules What the
Worlds Greatest Managers Do Differently
114
Managing The people thing Inspire
oneCool!Leading The vision thing Inspire
all Cool!
115
MantraM3Talent Brand
116
Whats your companys EVP?Employee Value
Proposition, per Ed Michaels et al., The War for
Talent
117
EVP Challenge, professional growth, respect,
satisfaction, opportunity, reward EVP The
companys fingerprint B.P.Source Ed
Michaels et al., The War for Talent
118
Message Talent rules! Women leaders rule! Become
Talent Obsessed! Become EVP Obsessed!
119
Brand InsideBrand ActionGetting Started a
Personal Perspective
120
The following slide begins the Boss-Free
Implementation of Stuff That Matters Section.
The slides in this section are heavily
annotated.Use Normal or Notes Page View to
access the notes.
121
Topic Boss-free Implementation of STM /Stuff
That MATTERS!
122
This is all I know in the world!Tom Peters
123
THE IDEA4Fs Find a Fellow Freak Faraway
124
Heart of the MatterF2F!Freak to Freak
or K2K Kook to Kook
125
Worlds Biggest Waste Selling Up
126
THE NUGGETDo Something. Do Anything.Get
Going.Now.
127
Opportunity ALWAYS Knocks VFCJ
StrategyVolunteer For Crappy Jobs
128
Is It The Oh-Hell-I-Wish-It-Were-Over
Memorial Day picnicor The First Annual
Seriously Kewl Celebration of Our Incredible
Staff
129
Is It Wrestle the damn Safety Manual into line
with the ridiculous new OSHA Regs?Or A
stealth opportunity to address the War for Talent
via a thoroughgoing review of how safety and
environmental issues contribute to making this a
Great Place to Work?
130
Is It Fix these bloody customer problems that
have cropped up with the new 2783B?Or A
chance to work with a hotshot, young division GM
on using the Internet/Internet Speed to
revisit the entire process of how we get customer
input before and during the fact into the
heart of the Product Design Process?
131
Reframers RulesRule 1 Never accept an
assignment as given! (Please.)Rule 2 Youre
never so powerful as when you are
powerless!Rule 3 Every small project
contains the entire enterprise DNA!
132
THE TOOLPrototyping Mania!
133
Culture of PrototypingEffective prototyping
may be the most valuable core competence an
innovative organization can hope to
have.Michael Schrage

134
Fail. Forward. Fast.High-tech exec, PA
135
Success is the ability to go from failure to
failure without losing your enthusiasm.Winston
Churchill (as quoted by John Peterman)
136
THE SOFT STUFF Connect!
137
Message Its Community Organizing, stupid!See
Saul Alinskys Rules for Radicals
138
BOTTOM LINEThe Enemy!
139
Epitaph from Hell Joe T. Jones 1942 2000
HE WOULDA DONE SOME REALLY COOL STUFF BUT
HIS BOSS WOULDNT LET HIM!
140
Characteristics of the Also ransMinimize
riskRespect the chain of commandSupport the
bossMake budgetFortune, article on Most
Admired Global Corporations
141
The greatest dangerfor most of usis not that
our aim istoo highand we miss it,but that it
istoo lowand we reach it.Michelangelo
142
Message Think EPITAPH!
143
Brand InsideReprise THINK WEIRD The High
Standard Deviation Enterprise
144
Renewal The Weird 10 The High S.D.
Enterprise/IndividualPioneer Weird
AcquisitionsPioneer Weird Customers
Alliance Partners Measure the Customer-Partner
Portfolios S.D./Weirdness IndexDivide
Conquer/Sell-by Lessons from the Bees, Sir
Richard, Gary H.Pioneer Assignments/Pioneer
Projects/Pioneer Partners F2F Freak-to-Freak/
4F Find a Fellow Freak FarawayHire Weird
Diversity/Train Weird/Promote Weird/Pay Gobs
Promote Fast Cherish Six Sigma
Talent/Appoint a Weird BoardWeed Un-weird One
Sigma Talent, etc. Hang out with Weird
Univ. of Weird/Lunch with Weird/Read Surf
Weird/Vacate Weird R.A.F. to R.F.A. to F.F.F.
O.O.D.A. Loops/Prototyping Mania Sense of
Humor Rhapsodize Over Thine Cool
Failures!Re-enforce a Culture of
Disrespect/PassionatePiracy
145
Saviors-in-WaitingDisgruntled CustomersFringe
CompetitorsRogue EmployeesEdge SuppliersWayne
Burkan, Wide Angle Vision Beat the Competition
by Focusing on Fringe Competitors, Lost
Customers, and Rogue Employees
146
Button-down Org
H.S.D.E. .
  • Acquire for market share
  • Suck up to biggest customers
  • Pursue strategic vendors
  • Bigger is better
  • Accept assignments as given
  • Hire 4.0s from top schools
  • Promote when theyve paid their dues
  • Appoint a prestigious board
  • Hang out with my pals
  • R.A.F.
  • Be professional at all times/Honor thine elders
  • Acquire for innovation
  • Partner with cool customers
  • Seek out pioneering vendors
  • Break it up to refresh
  • Reframe all tasks to innovate
  • Hire intriguing, wherever
  • Promote tomorrow if the work product is weird and
    WOW
  • Appoint an interesting, headstrong board
  • Take a freak to lunch today
  • F.F.F.
  • Stay loose, stay cool/The hell with thine elders

147
But dont we need some grout between the tiles?
148
Message TAKE SOMEONE NEW WEIRD TO LUNCH TODAY
OR TOMORROW.
149
N.W.O. Was Is
Is
  • Pine-paneled Office
  • Address 1 Big Man Plaza
  • Secretary
  • Suit
  • Formal
  • Rank conscious
  • Pretense (Failures are
  • for fools.)
  • I love Yes men
  • Self-contained
  • Seat 9B, UA233
  • Address Anne_at_Corp.com
  • Typing 60 WPM
  • Casual M-F
  • Approachable
  • We are a HOT Team
  • Screwing up is as normal as breathing
  • I love Misfits!
  • I love partners

150
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
151
Forces _at_ Work IIThe Commodity Trap
152
Quality Not Enough!While everything may be
better, it is also increasingly the same.Paul
Goldberger on retail, The Sameness of Things,
The New York Times
153
We make over three new product announcements a
day. Can you remember them? Our customers
cant!Carly Fiorina
154
The surplus society has a surplus of similar
companies, employing similar people, with similar
educational backgrounds, working in similar jobs,
coming up with similar ideas, producing similar
things, with similar prices and similar
quality.Kjell Nordstrom and Jonas
Ridderstrale, Funky Business
155
Companies have defined so much best practice
that they are now more or less identical.Jesper
Kunde, A Unique Moment
156
Message Similar kills! Stomp out the Sameness
Epidemic!
157
Brand OutsideStrategy 1Lead the Customer!
158
If you worship at the throne of the voice of
the customer, youll get only incremental
advances.Joseph Morone, President, Bentley
College
159
These days, you cant succeed as a company if
youre consumer led because in a world so full
of so much constant change, consumers cant
anticipate the next big thing. Companies should
be idea-led and consumer-informed.Doug Atkin,
partner, Merkley Newman Harty
160
Our strategies must be tied to leading edge
customers on the attack. If we focus on the
defensive customers, we will also become
defensive.John Roth, CEO, Nortel
161
Nypro!
162
Message Seek out freaks! Listen to your
intuition. Rock Roll on the fringes!
163
Brand OutsideStrategy 2Use E-Commerce to
Re-invent Everything!
164
OVERVIEW
165
Tomorrow Today Cisco!90 of 20B
(50M/day)75 mfg. outsourced 50 of orders
routed to supplier who ships directGross
margin 65 Net margin 28Annual savings in
service and support from customer
self-management 550M
166
Enron eWorld 30 times a day (price a structured
trade/early 1999, per John Arnold, 26) late
2000 30 times per minute.Long-term gas
contract, 1989 9 months, 400 deals late 90s 2
weeks, 2 per week late 2000 5 such deals per
daySource www.ecompany.com (1-2/2001)
167
GM/Ford/DaimlerChrysler/Renault/Nissan/Oracle/Com
merceOneCovisint (02.2000)240B
(500B)90,000 Suppliers2-3,000/Car42 to
12-18 MonthsSource Business2.0 (02.2001)
168
Next Up for the Web Small Bus!IDC (01.22.01)
Small bus eCommerce revenue will grow from 12B
in 1999 to 110B in 2003 (75 p.a.). There are
25.5 small bus and home bus
169
The Internet is not going away but flawed
business models are. fool.com. All
these people running around saying the Internet
is dead thats ridiculous. Advertising
Age.Sabre Inet revenues 201.
170
COMMUNITY SERVICES!/ CUSTOMER CONTROL!
171
Tomorrow Today Cisco!90 of 20B save
550MC.Sat e gtgt C.Sat HCustomer Engineer
Chat Rooms/Collaborative Design (1B free
consulting) (45,000 customer problems a week
solved via customer collaboration)
172
Welcome to D.I.Y. Nation!Changes in business
processes will emphasize self service. Your costs
as a business go down and perceived service goes
up because customers are conducting it
themselves. Ray Lane, Oracle
173
The concept of being always on, always
connected, is very powerful. Companies are
going to need to reach consumers across all the
different transmission media and devices across
wireless, on cell phones, into cars, onto
airplanes, into cabs, into the home and TV set.
Its not just the message now youve got a
connection, what do you do with that?Marc
Andreessen Mosaic, Netscape, Loudcloud
174
Anne Busquet/ American ExpressNot Age of the
InternetIs Age of Customer Control
175
The Web enables total transparency. People with
access to relevant information are beginning to
challenge any type of authority. The stupid,
loyal and humble customer, employee, patient or
citizen is dead.Kjell Nordstrom and Jonas
Ridderstrale, Funky Business
176
Simplicity!
177
Most companies would do more business on the
Internet if they fired their entire marketing
department and replaced it with people who could
produce interactive content that actually made it
easier for users to buy.Jakob Nielsen, Nielsen
Norman Group
178
SWASimple!!!!!!!!!!!! (customers call because
the process is so easy they cant believe theyre
done)30 of revenues directly from site (vs. 6
for others)Source Business Week (09.00)
179
RADICAL STRATEGIES REQUIRED
180
One cannot be tentative about this. Excuses like
channel conflict or marketing and sales arent
ready cannot be allowed. Delay and you risk
being cut out of your own market, perhaps not by
traditional competitors but by companies you
never heard of 24 months ago.Jack Welch
07.00/Forbes.com
181
Weve put the word out to all of our suppliers
by the end of the year 2000 well only do
purchasing over the Internet.John Paterson,
C.P.O., IBM 50B from 18,000 suppliers
182
WebWorld Everything Web as a way to run your
business innardsWeb as connector for your
entire supply-demand chain Web as spiders web
which re-conceives the industryWeb/B2B as
ultimate wake-up call to commodity
producersWeb as the scourge of slack,
inefficiency, sloth, bureaucracy, poor customer
dataWeb as an Encompassing Way of LifeWeb
Everything (P.D. to after-sales)Web forces you
to focus on what you do bestWeb as entrée, at
any size, to Worlds Best at Everything as next
door neighbor
183
Message eCommerce is not a technology play! It
is a relationship, partnership, organizational
and communications play, made possible by new
technologies.
184
Message There is no such thing as an effective
B2B or Internet-supply chain strategy in a
low-trust, bottlenecked-communication, six-layer
organization.
185
Ebusiness is about rebuilding the organization
from the ground up. Most companies today are not
built to exploit the Internet. Their business
processes, their approvals, their hierarchies,
the number of people they employ all of that is
wrong for running an ebusiness. In a true
ebusiness, customers can come to your Website and
evaluate products, be connected to the supply
chain to get commitment for delivery and pricing.
It also includes all the tangential services like
billing and customer service, which should be
automatic and simultaneous.Ray Lane, Kleiner
Perkins
186
A DREAMERS MEDIUM!
187
There is no use trying, said Alice. One cant
believe impossible things. I daresay you
havent had much practice, said the Queen. When
I was your age, I always did it for half an hour
a day. Why, sometimes Ive believed as many as
six impossible things before breakfast.Lewis
Carroll
188
Inet allows you to dream dreams you could
never have imagined before!
189
We want to be the air traffic controllers of
electrons.Bob Nardelli, GE Power Systems
190
ENRON operates networks throughout the world to
develop and enhance energy and broadband
communication services. Networks, unlike
vertically integrated business structures,
facilitate the flow of information and expertise.
We can spot market signals faster and respond
more quickly. Networks empower individuals,
freeing them to craft innovative and substantive
solutions to customer problems. Networks are the
foundation of our knowledge-based businesses, and
they provide exceptional returns and value for
our shareholders.from the 2000 Annual Report
191
These days, building the best server isnt
enough. Thats the price of entry.Ann
Livermore, Hewlett Packard
192
09.11.2000 HP bids 18,000,000,000for
PricewaterhouseCoopersConsulting bus! (31,000
bods)
193
Message Survivors will move all their operations
to the Web. Now. Web Encompassing or else.
194
Brand OutsideStrategy 3Design Matters!
195
All Equal Except At Sony we assume that all
products of our competitors have basically the
same technology, price, performance and features.
Design is the only thing that differentiates one
product from another in the marketplace.Norio
Ohga
196
Whats imperative is the creation of a style
that becomes a culture linking you to the
community. You can only do that through good
design. Anita RoddickSource Design Council
UK
197
We dont have a good language to talk about
this kind of thing. In most peoples
vocabularies, design means veneer. But to me,
nothing could be further from the meaning of
design. Design is the fundamental soul of a
man-made creation.Steve Jobs
198
Message Great - Cool Stuff Matters. Great
Cool Trumps Not-So-Great Ho Hum!
199
Unconventional Design MessagesNot about ...
Lumpy Objects!Not about ... 79,000 objects
200
The I.D. International Design FortyAirstream
Alfred A. Knopf Apple Computer Amazon.com
Bloomberg Caterpillar CNN Disney FedEx
Gillette IBM Martha Stewart New Balance
Nickelodeon Patagonia The New York Yankees
3M Etc. List No. 1, 1999
201
Design Transforms even the Biggest
Corporations!TARGET the champion of
Americas new design democracy (Time) Marketer
of the Year 2000 (Advertising Age)
202
Design is WHAT WHY I LOVE. LOVE.
203
I LOVE my ZYLISS Garlic Peeler!
204
Design is WHY I GET MAD. MAD.
205
Wanted Dead preferably or Alive THE DESIGNER
OF MY RADIO SHACK PHONE. Major Reward!
206
Design is never neutral.
207
Hypothesis DESIGN is the principal difference
between love and hate!
208
THE BASE CASE I am a design fanatic.
Personally, though not artistic, Im a
cool-stuff guy. I love what I love and I hate
what I hate. Openly. But it goes much
further, far beyond the personal. Design has
become a professional obsession. I - SIMPLY
BELIEVE THAT DESIGN PER SE IS THE PRINCIPAL
REASON FOR EMOTIONAL ATTACHMENT or detachment
RELATIVE TO A PRODUCT OR SERVICE OR EXPERIENCE.
Design, as I see it, is arguably the 1
determinant of whether a product-service-experienc
e stands out or doesnt. Furthermore, its one
of those things that damn few companies put
consistently on the front burner.
209
MessageServices are Not Intangible!You
give off hundreds of design cues daily!YOU
ARE A DESIGNER!
210
First Steps Beauty Contest!
  • Select one form/document invoice, air bill, sick
    leave policy, customer returns-claim form
  • Rate the selected doc on a scale of 1 to 10 1
    Bureaucratica Obscuranta/ Sucks 10 Work of
    Art on three dimensions Beauty, Grace, Clarity
  • Re-invent!
  • Repeat, with a new selection, every 15 working
    days.

211
Design Rules! LiterallyPalm Beach Countys
U.C.B. Utterly Confusing Ballot
212
Message Design is the wellspring of branding.
Great design takes guts and is soul deep.
213
Brand OutsideStrategy 4Its the Experience!
214
Experiences are as distinct from services as
services are from goods.Joseph Pine James
Gilmore, The Experience Economy Work Is Theatre
Every Business a Stage
215
The Starbucks Fix Is on We have
identified a third place. And I really believe
that sets us apart. The third place is that place
thats not work or home. Its the place our
customers come for refuge.Nancy Orsolini,
District Manager
216
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
217
Car designers need to create a story. Every car
provides an opportunity to create an adventure.
The Prowler makes you smile. Why? Because its
focused. It has a plot, a reason for being, a
passion.Freeman Thomas, co-designer VW Beetle
designer Audi TT
218
Hmmmm(?) Only Words StoryAdventureSmile
FocusPlotPassion
219
PlotWilliams Sonoma 5 was 10Crate Barrel
8Sharper Image 9Smith Hawken 8Garnet
Hill 9L.L. Bean 4 was 9Colonial
Williamsburg ?
220
The Experience LadderExperiences
ServicesGoods Raw Materials
221
1940 Cake from flour, sugar (raw materials
economy) 1.00 1955 Cake from Cake
mix (goods economy) 2.00 1970
Bakery-made cake (service economy) 10.001985
Party _at_ Chuck E. Cheese (experience economy)
100.00
222
Message Experience is the last 80.
Experience applies to all work!
223
Brand OutsideStrategy 5Women Rule!
224
?????????Home Furnishings 94Vacations
92Houses 91Consumer Electronics 51 Cars
60 (90)All consumer purchases 83 Bank
Account 89Health Care 80
225
????80
226
Riding Lawnmowers
227
48 working wives gt 5080 checks61 bills53
stock (mutual fund boom)43 gt 500K95
financial decisions/ 29 single handed
228
Women 50(!!!) of Web users 6 of 10 new
users 83 of wired women are primary decision
makers for family healthcare, finances,
education.Source Business Week Jupiter
Communications
229
4.8T gt Japan9M/27.5M/3.6T gt Germany
230
New golfers 37Basketball 13.5M1 in 27
(70) 1 in 3 (96)
231
1874?
232
1874 Jock Strap1977 Jogbra1977 ...
25K1996 42M
233
Yeow!1970 12002 50
234
OPPORTUNITY NO. 1! No shit!
235
Carol Gilligan/ In a Different VoiceMen Get
away from authority, familyWomen ConnectMen
Self-orientedWomen Other-orientedMen
RightsWomen Responsibilities
236
FemaleThink/ PopcornMen and women dont think
the same way, dont communicate the same way,
dont buy for the same reasons.He simply
wants the transaction to take place. Shes
interested in creating a relationship. Every
place women go, they make connections.
237
Men seem like loose cannons. Men always move
faster through a stores aisles. Men spend less
time looking. They usually dont like asking
where things are. Youll see a man move
impatiently through a store to the section he
wants, pick something up, and then, almost
abruptly hes ready to buy. For a man,
ignoring the price tag is almost a sign of
virility.Paco Underhill, Why We Buy (Buy
this book!)
238
Women and HealthcareWomen are more
dissatisfied, frustrated by the way they are
treated and spoken down to by physicians, seek
more information, are more pressed for time and
make 75 of health care decisions and control
2/3 of health care and constitute 2/3 of
health care employees.Source Patricia Braus,
Marketing Healthcare to Women
239
Women and Financial AdvisorsWomen want a
plan, to be listened to, to be taken seriously,
to read about it, to think about it.Women do
not want an in-your-face sales pitchSource
Kathleen Boyle, Wheat Boyle Butcher Singer
240
Women Beat Men at Art of InvestingSource
Miami Herald, reporting on a study by Profs.
Terrance Odean and Brad Barber, UC Davis (Cause
Guys are in and out of stocks more often women
choose carefully and hold on for the long term)
241
Marketing to Women Help Them Save Time!80
work86 cook58 run errands with kids38
take child to school21 go to the gym21
take outside classes
242
How Many Gigs You Got, Man?Hard to believe
Different criteria Every research study weve
done indicates that women really care about the
relationship with their vendor. Robin
Sternbergh/ IBM
243
Read This Book EVEolution The Eight Truths
of Marketing to WomenFaith Popcorn Lys
Marigold
244
EVEolution Truth No. 1Connecting Your Female
Consumers to Each Other Connects Them to Your
Brand
245
The Connection Proclivity in women starts
early. When asked, How was school today? a girl
usually tells her mother every detail of what
happened, while a boy might grunt, Fine.
EVEolution
246
What If What if ExxonMobil or Shell dipped
into their credit card database to help commuting
women interview and make a choice of car pool
partners?What if American Express made a
concerted effort to connect up female
empty-nesters through on-line and off-line
programs, geared to help women re-enter the
workforce with todays skills?EVEolution
247
Women dont buy brands. They join them.Faith
Popcorn, EVEolution
248
Not!!Year of the Woman
249
Enterprise Reinvention!RecruitingHiring/Rewardi
ng/PromotingStructure ProcessesMeasurementStra
tegyCulture VisionLeadershipTHE BRAND ITSELF!
250
Honey, are you sure you have the kind of money
it takes to be looking at a car like this?
251
THIS JUST MIGHT BE THE BIGGEST THING IN THIS
SEMINAR. PLEASE THINK ABOUT IT!
252
Psssst! Wanna see my porn collection?
253
27 March 2000 email to TP from Shelley Rae
Norbeck I make 1/3rd more money than my
husband does. I have as much financial pull in
the relationship as he does. Id say this is also
true of most of my women friends. Someone should
wake up, smell the coffee and kiss our asses long
enough to sell us something! We have money to
spend and nobody wants it!
254
STATEMENT OF PHILOSOPHY I am a businessperson.
An analyst. A pragmatist. The enormous social
good of increased womens power is clear to me
but it is not my bailiwick. My game is
haranguing business leaders about my fact-based
conviction that womens increasing power
leadership skills and purchasing power is the
strongest and most dynamic force at work in the
American economy today. Dare I say it as a
long-time Palo Altan THIS IS EVEN BIGGER THAN
THE INTERNET!Tom Peters
255
If we are single, they say we couldnt catch a
man. If we are married, they say we are
neglecting him. If we are divorced, they say we
couldnt keep him. If we are widowed, they say
we killed him.Kathleen Brown, on the joys of
female political candidacy
256
Message WHAT AN overlooked OPPORTUNITY!
Please pay attention.
257
Brand OutsideStrategy 5AWelcome to Old
World!
258
Speaking of Enormous Missed Huge
Opportunities ...
259
Subject Marketers StupidityIts 18-44,
stupid!18-24 XFL
260
Subject Marketers StupidityOr is it 18-44
is stupid, stupid!
261
2000-2010 Stats18-44 -155 21(55-64
47)
262
Aging/ElderlyIm in charge!
263
Priorities Aging/ElderlyExperiences
Convenience Comfort Access Respect!
264
Such a critical mass of older women with a
tradition of rebellion and independence and a way
of making a living has not occurred before in
history.Gerda Lerner, historian
265
Message WHAT AN overlooked OPPORTUNITY!
266
Brand OutsideStrategy 6Embracing an Age of
Self-Determination
267
Imagine a world where a citizen could search the
globe to assemble my government, the ultimate
in customized,customer-centric services. Health
care from the Netherlands, business incorporation
in Malaysia Don Tapscott
268
Greenspan Discovers Investors Are the
EconomySource Headline, AOL, 01.26.01
269
Managing Benefits Let Workers Do It Source
Headline, Money Medicine, New York Times
(12.06.00) cited are specialist companies such
as eBenX and Vivius of Minneapolis
270
The control revolution. The potentially
monumental shift in control from institutions to
individuals made possible by new technology such
as the Internet. The conflict over such change
between individuals and powerful entities
(governments, corporations, the media).Source
Introduction, The Control Revolution, Andrew
Shapiro
271
Announcing Cingular. In the hope that every
single person experiences the sheer joy of
self-expression.Source ad, for Cingular
Wireless
272
Greater opportunity for women is probably the
most significant gain for human freedom in the
last century.Andrew Sullivan, The New Republic
273
Savior for the Sickvs. Partner for Good
Health Source NPR/VPR 08.15.00
274
Online Medical Records Seen Empowering
PatientsSource Headline, Boston Globe,
07.31.2000, re 1K docs and 700K patients _at_
CareGroup
275
drkoop.com The best prescription is knowledge.
276
THE FUTURE Patients Rule!Control Over Aging!
MF Cosmetic Surgery, Viagra Targeted
Therapies High Expectations The Internet!
meds, expert consultation, info-knowledge incl.
outcome data own recs, interaction with peers
docs, awareness that experts arentAlt
Therapies! more visits, some insurer
recognitionAwareness medicine as front-page
news, adsBoomers! s, , Ethos of
self-controlPrevention/WellnessHMO no-choice
RevoltAge of Talent Be nice, boss!Speed!
surgicenters, out-patient, self-admin regimens
277
The Specialist Syndrome and the
OVERWHELMING Case for Patient
Self-determinationLisa Gubernick gets 8
significantly different opinions from 8 docs re
her back pain Wall Street Journal 10.06.00
278
The Grameen loan is not simply cash. It
becomes a kind of ticket to self-discovery and
self-exploration.Muhammad Yunus
279
Sooooo Is your strategy centered around
customer-client empowerment self-determination?
Hint This means letting go of traditional
sources of power!
280
Corporate Resistance to ItIt all goes back
to fear of losing control!The Cluetrain
Manifesto
281
Message We are in a Peoples customer/
patient/ citizen/ etc. Revolution.
282
Brand OutsideStrategy 7BRAND POWER!
283
We are in the twilight of a society based on
data. As information and intelligence become the
domain of computers, society will place more
value on the one human ability that cannot be
automated emotion. Imagination, myth, ritual -
the language of emotion - will affect everything
from our purchasing decisions to how we work with
others. Companies will thrive on the basis of
their stories and myths. Companies will need to
understand that their products are less important
than their stories.Rolf Jensen, Copenhagen
Institute for Future Studies
284
Most companies tend to equate branding with the
companys marketing. Design a new marketing
campaign and, voila, youre on course. They are
wrong. The task is much bigger. It is about
fulfilling our potential not about a new logo,
no matter how clever. WHAT IS MY MISSION IN
LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW
DO I MAKE SURE THAT WHAT I HAVE TO OFFER THE
WORLD IS ACTUALLY UNIQUE? The brand has to give
of itself, the company has to give of itself, the
management has to give of itself. To put it
bluntly, it is a matter of whether or not you
want to be UNIQUE NOW.Jesper Kunde, A
Unique Moment
285
Brand You Must Care!Success means never
letting the competition define you. Instead you
have to define yourself based on a point of view
you care deeply about. Tom Chappell, Toms of
Maine
286
WHO ARE YOU these days ?TP to Client
287
Jesper Kundes Challenge All business processes
should be aligned with the Brand/Value Promise.
Think Brand Driven Systems!
288
Message Branding is personal. Branding is
integrity. Branding is what I care about and why
it matters.Branding cant be faked. Branding is a
systemic, 24/7 affair.
289
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
290
TP to TP Should I merge the Brand and Leadership
sections?
291
Brand LeadershipPassion Rules!
292
Leadership is a performance. You have to be
conscious of your behavior, because everybody
else is. Carly Fiorina
293
It is necessary for the President to be the
nations No. 1 actor.FDR
294
You must be the change you wish to see in the
world.Gandhi
295
Brand Leadership!A key perhaps the key to
leadership is the effective communication of a
story.Howard Gardner Leading Minds An
Anatomy of Leadership
296
Create a Cause, not a business. Gary Hamel,
Fortune (06.00), on re-inventing a company
(Exemplar 1 Charles Schwab)
297
Brand LeadershipENTHUSIASM RULES!Ben Zander
I am a dispenser of enthusiasm.
298
A leader is a dealer in hope.Napoleon
299
Ronald Reagan radiated an almost transcendent
happiness.Lou Cannon, George (08.2000)
300
Message Leadership is all about love! Passion,
Engagement, Great Causes, Shared Adventures,
Growth.
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