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2 Tom Peters Excellence. Always. Innovate.
Or Die. ExpoManagement Mexico Centro de
Exposiciones Banamex/10 November 2010 (Slides at
tompeters.com)
3Paul Ormerod 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
4I 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
5Mr. Foster and his McKinsey colleagues collected
detailed performance data stretching back 40
years for 1,000 U.S. companies. They found that
none of the long-term survivors managed to
outperform the market. Worse, the longer
companies had been in the database, the worse
they did. Financial Times
6Data drawn from the real world attest to a fact
that is beyond our control Everything in
existence tends to deteriorate. Norberto
Odebrecht, Education Through Work
7 The Innovate or Die 18
8 1
9 try it. Try it. Try it. Try it. Try it. Try it.
Try it. Try it. Screw it up. Try it. Try it. Try
it. Try it. Try it. Try it. Try it. Screw it up.
it. Try it. Try it. try it. Try it. Screw it up.
Try it. Try it. Try it.
1/45
10READY.FIRE!AIM.Ross Perot (vs Aim! Aim!
Aim! /EDS vs GM/1985)
11Experiment fearlesslySource BusinessWeek,
Type A Organization Strategies/ How to Hit a
Moving TargetTactic 1
12We 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 5. By the
time our rivals are ready with wires and screws,
we are on version 10. It gets back to planning
versus acting We act from day one others plan
how to planfor months. Bloomberg by Bloomberg
13Excellence1982 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
14 1A
15Fail. Forward. Fast.High Tech CEO,
Pennsylvania
16Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
17The secret of fast progress is inefficiency,
fast and furious and numerous failures.Kevin
Kelly
18Read This!Richard Farson Ralph Keyes Whoever
Makes the Most Mistakes Wins The Paradox of
Innovation
19It is not enough to tolerate failureyou must
celebrate failure. Richard Farson (Whoever
Makes the Most Mistakes Wins)
20 1B
21You miss 100 of the shots you never take.
Wayne Gretzky
22 2
23The Parallel Universe Axiom
24SkunkWorks/ ParallelUniversethe 1
solutionSource Scott Bedbury (Others 3M,
Google, Shell, NAVFAC)
25SkunkWorks/ Skunks (!!!)
26Somewhere in your organization, groups of people
are already doing things differently and better.
To create lasting change, find these areas of
positive deviance and fan the flames.
Richard Pascale Jerry Sternin, Your
Companys Secret Change Agents, HBR
27 3
28Little BIGThank you, Mr. Prime Minister
29 Big carts 1.5X Source Walmart
30 Bag sizes New markets B Source
PepsiCo
31Socks 10,000
32see green recover 20 faster
33 4
34XFX 1
35 Never waste a lunch!
36 ???? XF lunches Measure! Monthly! Part of
evaluation! The PAs Club.
37 XFX Social Accelerators. 1.
EVERYONEs more or less JOB 1 Make friends in
other functions! (Purposefully. Consistently.
Measurably.) 2. Do lunch with people in other
functions!! Frequently!! (Minimum 10 to 25 for
everyone? Measured.) 3. Ask peers in other
functions for references so you can become
conversant in their world. (Its one helluva sign
of ... GIVE-A-DAMN-ism.) 4. Invite counterparts
in other functions to your team meetings.
Religiously. Ask them to present cool stuff
from their world to your group. (B-I-G deal
useful and respectful.) 5. PROACTIVELY SEEK
EXAMPLES OF TINY ACTS OF XFX TO
ACKNOWLEDGEPRIVATELY AND PUBLICALLY. (Bosses
ONCE A DAY make a short call or visit or send
an email of Thanks for some sort of XFX gesture
by your folks and some other functions
folks.) 6. Present counterparts in other
functions awards for service to your group. Tiny
awards at least weekly and an Annual All-Star
Supporters from other groups Banquet modeled
after superstar salesperson banquets. 7.
DiscussA SEPARATE AGENDA ITEMgood and
problematic acts of cross-functional co-operation
at every Team Meeting.
38 XFX Social Accelerators. 8.
When someone in another function asks for
assistance, respond with more alacrity than
you would if it were the person in the cubicle
next to yoursor even more than you would for a
key external customer. (Remember, XFX is the key
to Customer Retention which is in turn the key to
all good things.) 9. Do not bad mouth ... the
damned accountants, the bloody HR guy. Ever.
(Bosses Severe penalties for thisincluding
public tongue-lashings.) 10. Get physical!!
Co-location may well be the most powerful
culture change lever. Physical X-functional
proximity is almost a guarantee of remarkably
improved co-operationto aid this one needs
flexible workspaces that can be mobilized for a
team in a flash. 11. Formal evaluations.
Everyone, starting with the receptionist, should
have a significant XF rating component in their
evaluation. (The XFX Performance should be
among the Top 3 items in all managers
evaluations.) 12. Demand XF experience for,
especially, senior jobs. For example, the U.S.
military requires all would-be generals and
admirals to have served a full tour in a job
whose only goals were cross-functional
achievements. 13. XFX is PERSONAL as well as
about organizational effectiveness. PXFX
Personal XFX is arguably the 1 Accelerant to
personal successin terms of organizational
career, freelancer/Brand You, or as entrepreneur.
39THE WHOLE POINT HERE IS THAT XFX IS ALMOST
CERTAINLY THE 1 OPPORTUNITY FOR STRATEGIC
DIFFERENTIATION. WHILE MANY WOULD LIKELY AGREE,
IN OUR MOMENT-TO-MOMENT AFFAIRS, XFX PER SE IS
NOT SO OFTEN VISIBLY PERPETUALLY AT THE TOP OF
EVERY AGENDA. I ARGUE HERE FOR NO LESS THAN
VISIBLE. CONSTANT. OBSESSION.
40 5
411980 Strategic Thrust Overlay
42 GEWorkoutVA/ServiceSix
SigmaInflationRD/Business
DevelopmentRisk Management
43 GBTD TacticsSmall but
powerful Central Staff Line-likeSenior
Homegrown Boss StaffEnormous Incentives
/EvalLine Accountability Not Matrix
Demo-led Emergent MethodologyTour of
External ExcellenceBlitz TrainingCentral
Unit/Finite LifeSpeed!Goal Culture Change!
44 6
45Decentralization is not a piece of paper. Its
not me. Its either in your heart, or not.
Brian Joffe/BIDvest
46Enemy 1I.C.D.Note 1 Inherent/Inevitable/Imm
utable Centralist DriftNote 2 Jim Burkes
1-word vocabulary No.
47 7
484 Japan3 USA2 China1 Germany
49 Reason
Mittelstand!E.g. Goldmann Produktion
50Be the best. Its the only market thats not
crowded. From Retail Superstars Inside the 25
Best Independent Stores in America, George Whalin
51 8
52We are the company we keep
53The We are what we eat axiom At its core,
every (!!!) relationship-partnership decision
(employee, vendor, customer, etc) is a strategic
decision about Innovate, Yes or No
54Measure 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
55CEO A.G. Lafley has shifted PGs focus on
inventing all its own products to developing
others inventions at least half the time. One
successful example, Mr. Clean Magic Eraser,
based on a product found in an Osaka market.
Fortune
56Dont benchmark, futuremark! Impetus The
future is already here its just not evenly
distributed William Gibson
57CUSTOMERS Future-defining customers may account
for only 2 to 3 of your total, but they
represent a crucial window on the
future.Adrian Slywotzky, Mercer Consultants
58 8A
59 Whos the most interesting person youve met in
the last 90 days? How do I get in touch with
them? Fred Smith
60Do one thing every day that scares you.
Eleanor Roosevelt
61 8B
62The Bottleneck
63The Bottleneck Is at the Top of the
BottleWhere are you likely to find people
with the least diversity of experience, the
largest investment in the past, and the greatest
reverence for industry dogma At the top!
Gary Hamel/Harvard Business Review
64 9
65The Billion-man Research Team Companies
offering work to online communities are reaping
the benefits of crowdsourcing. Headline,
FT, 0110.07
66Rob McEwen/CEO/Goldcorp Inc./Red Lake
goldSource Wikinomics How Mass Collaboration
Changes Everything, Don Tapscott Anthony
Williams
67(No Transcript)
68 10
69The doctor interrupts after Source
Jerome Groopman, How Doctors Think
7018 seconds
71An obsession with Listening is ... the ultimate
mark
of Respect. Listening is ... the
heart and soul of Engagement. Listening is ...
the heart and soul of Kindness. Listening is ...
the heart and soul of Thoughtfulness. Listening
is ... the basis for true Collaboration. Listening
is ... the basis for true Partnership. Listening
is ... a Team Sport. Listening is ... a
Developable Individual Skill. (Though women
are far better at it
than men.) Listening is ... the basis for
Community. Listening is ... the bedrock of Joint
Ventures that work. Listening is ... the bedrock
of Joint Ventures that last. Listening is ... the
core of effective Cross-functional
Communication (Which is in turn
Attribute 1 of
organizational effectiveness.) cont.
72 Listening is ... the engine of superior
EXECUTION. Listening is ... the key to making the
Sale. Listening is ... the key to Keeping the
Customers Business. Listening is ... the engine
of Network development. Listening is ... the
engine of Network maintenance. Listening is ...
the engine of Network expansion. Listening is ...
Social Networkings secret weapon. Listening is
... Learning. Listening is ... the sine qua non
of Renewal. Listening is ... the sine qua non of
Creativity. Listening is ... the sine qua non of
Innovation. Listening is ... the core of taking
Diverse opinions aboard. Listening is ...
Strategy. Listening is ... Source 1 of
Value-added. Listening is ... Differentiator
1. Listening is ... Profitable. (The R.O.I.
from listening is higher than
that from any other single
activity.) Listening is the bedrock which
underpins a Commitment to
EXCELLENCE
73Listening is of the utmost strategic
importance!Listening is a proper core
value ! Listening is trainable !
Listening is a profession !
74 11
75The four most important words in any organization
are
76The four most important words in any
organization are What do you think?
Source courtesy Dave Wheeler, posted at
tompeters.com
77 no less than Cathedrals in which the full and
awesome power of the Imagination and Spirit and
native Entrepreneurial flair of diverse
individuals is unleashed in passionate pursuit of
Excellence.
78 Oath of Office Managers/Servant
Leaders Our goal is to serve our customers
brilliantly and profitably over the long
haul. Serving our customers brilliantly and
profitably over the long haul is a product of
brilliantly serving, over the long haul, the
people who serve the customer. Hence, our job as
leadersthe alpha and the omega and everything
in betweenis abetting the sustained growth and
success and engagement and enthusiasm and
commitment to Excellence of those, one at a
time, who directly or indirectly serve the
ultimate customer. Weleaders of every
stripeare in the Human Growth and
Development and Success and Aspiration to
Excellence business. We leaders only grow
when they each and every one of our
colleagues are growing. We leaders only
succeed when they each and every one of our
colleagues are succeeding. We leaders
only energetically march toward Excellence when
they each and every one of our colleagues
are energetically marching toward
Excellence. Period.
79 We are a Life Success Company.Dave Liniger,
founder, RE/MAX
80 Managing winds up being the management of the
allocation of resources against tasks. Leadership
focuses on people. My definition of a leader is
someone who helps people succeed. Carol Bartz,
Yahoo!
81The 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
82 Brand Talent.
83Our 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
84Muhammad Yunus All human beings are
entrepreneurs. When we were in the caves we were
all self-employed . . . finding our food, feeding
ourselves. Thats where human history began . . .
As civilization came we suppressed it. We became
labor because they stamped us, You are labor.
We forgot that we are entrepreneurs. Source
Muhammad Yunus/The News HourPBS/1122.2006
85 12
86Iron Innovation Equality Law The quality and
quantity and imaginativeness of innovation shall
be the same in all functions e.g., in HR and
purchasing as much as in marketing or product
development.
87 13
88Conveyance Kingfisher Air Location Approach to
New Delhi
89May I clean your glasses, sir?Kingfisher
Air
902-cent candy
917X. 730A-800P. F12A.730AM 715AM.800PM
815PM.
92parking lotDisney
93 It BEGINS (and ENDS) in the
94ltTGWand gtTGRThings Gone WRONG-Things
Gone RIGHT
95Experiences are as distinct from services as
services are from goods. Joe Pine Jim
Gilmore, The Experience Economy Work Is Theatre
Every Business a Stage
96Starbucks Shaper of Culture At our core,
were a coffee company, but the opportunity we
have to extend the brand is beyond coffee its
entertainment. Howard Schultz (The Starbucks
Aesthetic, NYT, 10.22.06)
97 CXOChief eXperience Officer
98 14
99Design is treated like a religion at BMW.
Fortune
100We 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
101Hypothesis DESIGN is the principal difference
between love and hate!
102CDOChief Design Officer
103 National Strategy! New Zealand Korea
104 15
105Forget China, India and the Internet Economic
Growth Is Driven by Women. Source Headline,
Economist
106- W gt 2X (C I)
- Women now drive the global economy. Globally,
they control about 20 trillion in consumer
spending, and that figure could climb as high as
28 trillion in the next five years. Their 13
trillion in total yearly earnings could reach 18
trillion in the same period. In aggregate, women
represent a growth market bigger than China and
India combinedmore than twice as big in fact.
Given those numbers, it would be foolish to
ignore or underestimate the female consumer. And
yet many companies do just thateven ones that
are confidant that they have a winning strategy
when it comes to women. Consider Dells - Source Michael Silverstein and Kate Sayre, The
Female Economy, HBR, 09.09
107Women are the majority market Fara
Warner/The Power of the Purse
108One thing is certain womens rise in power,
which is linked to the increase in wealth per
capita, is happening in all domains and at all
levels of society. Women are no longer content to
provide efficient labour or to be consumers with
rising budgets and more autonomy to spend. They
are increasingly becoming directors, managers and
entrepreneurs. Some studies have shown a
correlation between the presence of women in
managerial positions and a companys financial
results. This is just the beginning. The
phenomenon will only grow as girls prove to be
more successful than boys in the school system
and enroll in higher numbers in universities. For
a number of observers, we have already entered
the age of WOMENOMICS, the economy as thought
out and practiced by women. Those Chinese who
desire that their only child be male may soon
realise that a daughter could be a better
investment. Bosses know full well that a team of
both men and women is more creative and efficient
than one comprised of only men. Source Women
Are Drivers of Global Growth, Aude Zieseniss de
Thuin, founder and president of the
Womens Forum for the Economy and Society (FT)
109Power Women 100/Forbes 25.10.1026 CEOs Public
CompaniesVs. Men/Market 28
(Post-appointment)Vs. Industry 15
110Women decideWomen saveWomen spendWomen
rule
111 16
112 !!!!!!!!!!!!!!!!! People turning 50 today have
more than half of their adult life ahead of
them. Bill Novelli, 50 Igniting a Revolution
to Reinvent America
1137/13
11444-65 New Customer Majority 45 larger
than 18-43 60 larger by 2010Source Ageless
Marketing, David Wolfe Robert Snyder
115Marketers attempts at reaching those over 50
have been miserably unsuccessful. No markets
motivations and needs are so poorly understood.
Peter Francese, founding publisher, American
Demographics
116 17
117Tweet 10.05.10 Word "commodity" obscene!
"Commodity" state of mind! ANYTHING ... can be
differentiated numerous wayslogistics, quality
of relationship, co-development of new use ...
11850BIBM Global Services/Systems
integrator of choice
119Big Browns New Bag UPS Aims to Be the Traffic
Manager for Corporate America Headline/BW
UPS wants to take over the sweet spot in the
endless loop of goods, information and capital
that all the packages it moves represent.
ecompany.com (E.g., UPS Logistics manages the
logistics of 4.5M Ford vehicles, from 21 mfg.
sites to 6,000 NA dealers)
120MasterCard Advisors
121The Value-added Ladder Customer Success/
Gamechanging SolutionsServicesGoods Raw
Materials
122 18
123 Zappos 10 Corporate ValuesDeliver
WOW! through service.Embrace and drive
change.Create fun and a little weirdness.Be
adventurous, creative, and open-minded.Pursue
growth and learning.Build open and honest
relationships with communication.Build a
positive team and family spirit.Do more with
less.Be passionate and determined.Be
humble. Source Delivering Happiness, Tony
Hsieh, CEO, Zappos.com
12414,00020,000
12514,00020,00030
12614,000/eBay20,000/Amazon30/Craigslist
127Insanely Great Steve Jobs
128Radically thrilling BMW
129We are crazy. We should do something when
people say it is crazy. If people say something
is good, it means someone else is already doing
it.Hajime Mitarai, Canon
130The greatest dangerfor most of usis not that
our aim istoo highand we miss it,but that it
istoo lowand we reach it.Michelangelo
131 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!
132Innovation Index How many of your Top 5
Strategic Initiatives/Key Projects score 8 or
higher out of 10 on a Weird/ Profound/
Wow/Game-changer Scale?
133 Excellence. Always. Innovate. Or Die.