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Title: Tom Peters Seminar2001 We Are in a Brawl with No Rules Johannesburg/23.08.2001


1
Tom Peters Seminar2001 We Are in a Brawl with
No RulesJohannesburg/23.08.2001
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.Lavender text in this file is a link.
3
Dells OptiPlex FacilityBig Job 6 to 8
hours.(20,000 per day)Parts Inventory 2
hours, 100 square feet. (Overall, 5 days vs. 50
to 90 days target is 2.5 days)
4
lt1000A.D. paradigm shift 1000s of years1000
100 years for paradigm shift1800s gt prior 900
years1900s 1st 20 years gt 1800s2000 10 years
for paradigm shift 21st century 1000X tech
change than 20th century (the Singularity, a
merger between humans and computers that is so
rapid and profound it represents a rupture in the
fabric of human history)Ray Kurzweil, talk
april2001
5
Most of our predictions are based on very linear
thinking. Thats why they will most likely be
wrong.Vinod Khosla, in GIGATRENDS, Wired
04.01
6
We are in a brawl with no rules.Paul Allaire
7
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!)
8
It used to be that the big ate the small. Now
the fast eat the slow.Geoff Yang, IVP/
(Institutional Venture Partners)
9
Message 1 All hell is breaking loose. The
current downturn is irrelevant.
10
StructurePart I Brand InsidePart II Brand
OutsidePart III Brand Leadership
11
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
12
Forces _at_ Work IThe Destruction Imperative!
13
Good management was the most powerful reason
leading firms failed to stay atop their
industries. Precisely because these firms
listened to their customers, invested
aggressively in technologies that would provide
their customers more and better products of the
sort they wanted, and because they carefully
studied market trends and systematically
allocated investment capital to innovations that
promised the best returns, they lost their
positions of leadership.Clayton Christensen,
The Innovators Dilemma
14
A pattern emphasized in the case studies in this
book is the degree to which powerful competitors
not only resist innovative threats, but actually
resist all efforts to understand them, preferring
to further their positions in older products.
This results in a surge of productivity and
performance that may take the old technology to
unheard of heights. But in most cases this is a
sign of impending death.Jim Utterback,
Mastering the Dynamics of Innovation
15
Forbes100 from 1917 to 1987 39 members of the
Class of 17 were alive in 87 18 are in 87
F100 the 18 F100 survivors underperformed the
market by 20 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
16
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)
17
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)
18
Message 2 Good management is a millstone in
chaotic times. Mind the gales of creative
destruction.
19
Brand InsideBrand Org Lean, Linked,
Internet-driven, Virtual
20
White Collar Revolution!
21
108 X 5vs. 8 X 1 540 vs. 8 (-98.5)
22
The Pincer 5Destructive entrepreneurs/ Global
CompetitionWhite Collar RobotsTHE INTERNET!
E.g. GM Ford DaimlerChryslerGlobal
Outsourcing E.g. India, MexicoSpeed!!
23
A bureaucrat is an expensive microchip.Dan
Sullivan, consultant and executive coach
24
Automation75 of what we do 40 expert
decision rules!
25
IBMs Project eLiza!
26
Dont own nothin if you can help it. If you
can, rent your shoes.F.G.
27
Message 3 Johannesburg or San Jose CA, the
forces unleashed are the same. Enormous. Fast.
28
Brand InsideBrand Work The Professional
Service Firm Model
29
So what will be the Basic Building Block of the
New Org?
30
Every job done in W.C.W. is also done outside
for profit!
31
Answer PSF!Professional Service
FirmDepartment Head to Managing Partner,
HR IS, etc. Inc.
32
Credo W.W.P.F.WORK WORTH
PAYINGFOR
33
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!
34
Message 4 W.W.P.F. or professional death.
35
Brand InsideThe Heart of the Value Creation
Revolution PSF Unbound!
36
11 September 2000
37
09.11.2000 HP bids 18,000,000,000for
PricewaterhouseCoopersConsulting business!
38
These days, building the best server isnt
enough. Thats the price of entry.Ann
Livermore, Hewlett-Packard
39
HP Sun GE IBM UPS UTC General Mills
Springs Anheuser-Busch Carpet One Delphi
Etc. Etc.
40
We want to be the air traffic controllers of
electrons.Bob Nardelli, GE Power Systems
41
Customer Satisfaction to Customer
SuccessWere getting better at Six Sigma
every day. But we really need to think about the
customers profitability. Are customers bottom
lines really benefiting from what we provide
them?Bob Nardelli, GE Power Systems
42
GEs New Six Sigma ApproachOld view Out of
service 9 days. 4 days are transport, which is
client responsibility.New view ALL 9 DAYS ARE
OUR RESPONSIBILITY! Why? 9 days Clients
World.Source Steve Kerr, VP, GE
43
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/06.01 (E.g., UPS
Logistics manages the logistics of 4.5M Ford
vehicles, from 21 mfg. Sites to 6,000 NA dealers)
44
SpringsCollections.Flexible sourcing.Packaging
.Merchandising.Promotion.Design.Systems
Site mgt. Turnkey.
45
Architecture is becoming a commodity. Winners
will be Turnkey Facilities Management
providers.SMPS Exec
46
We are a real estate facilities consulting
organization, not just an interior design
firm.Jean Bellas, founder, SPACE (from SMPS
Marketer)
47
eHR/PCCAll HR on the WebProductivity
Consulting CenterSource E-HR A Walk through a
21st Century HR Department, John Sullivan, IHRIM
48
100 goes on the Web.Non-awesome is
outsourced.Centers of Excellence are leveraged
to the hilt!
49
Maybe one or more of your PSFs becomes the
tail that wags the dog called Market Cap?????
E.g. engineering-IS-logistics-customer service
50
The e-conomy is one of re-intermediation, where
new technologies make it possible to radically
increase complexity and efficiency with the
introduction of new marketplaces. In these
markets, value chains constantly reorganize as
the demands of the consumer and business
change.Thomas Koulopoulos, Delphi Group
51
Lessons from the bush (1) Specialization-excelle
nce. (Or death.) (2) No wasted motion/ no
bureaucratic B.S. (Inet does this.) (3)
Hyper-interdependence.
52
Message 5 WHERE IS YOUR VALUE ADDED?
53
Brand InsideBrand You Distinct or Extinct
54
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
55
Minimum New Work SurvivalSkillsKit2001MasteryRo
lodex Obsession (vert. to horiz.
loyalty)Entrepreneurial InstinctCEO/Leader/Bus
inessperson/CloserMistress of ImprovSense of
HumorIntense Appetite for TechnologyGroveling
Before the YoungEmbracing MarketingPassion
for Renewal
56
Brand You, Big Time!I AM AN ARMY OF ONE
57
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
58
My ancestors were printers in Amsterdam from
1510 or so until 1750 and during that entire time
they didnt have to learn anything new.Peter
Drucker, Business 2.0 (08.22.00)
59
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)
60
26.3
61
3 Weeks in MayTraining Prep 187Work
41(Other 17)
62
1 vs. 367
63
Divas do it. Violinists do it. Sprinters do it.
Golfers do it. Pilots do it. Soldiers do it.
Surgeons do it. Cops do it. Astronauts do it. Why
dont businesspeople do it very much?
64
Invent. Reinvent. Repeat.Source HP banner ad
65
Work-Life BalanceMadeleine McGrath the
Suicide Hotline
66
Message 6 MESSAGE 2001 SELF-SUFFICIENCY!
67
Brand InsideRedefining the Work Itself The WOW
Project
68
Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec
69
Words WOW! Insanely great! BHAG (Big Hairy
Audacious Goal). Make Something Great. Astonish
Me. Make It Immortal.
70
My GOAL Radicalize Audiences!Hint These are
Radical times!
71
Learn not to be careful. Photographer Diane
Arbus to her students (Careful The sidelines,
per Harriet Rubin in The Princessa)
72
Message 7 BHAG or bust!
73
Brand InsideBrand ActionGetting Started a
Personal Perspective
74
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.
75
Topic Boss-free Implementation of STM /Stuff
That MATTERS!
76
Worlds Biggest Waste Selling Up
77
THE IDEA Model F4 Find a Fellow Freak Faraway
78
Heart of the MatterF2F!/K2K!/1_at_T/R.F!A.Fre
ak to Freak/Kook to Kook/One at a Time/
Ready.Fire!Aim.
79
THE TOOLPrototyping Mania!
80
You cant be a serious innovator unless and
until you are ready, willing and able to
seriously play. Serious play is not an
oxymoron it is the essence of innovation.Micha
el Schrage, Serious Play
81
Think about It!?Innovation Reaction to the
PrototypeMichael Schrage
82
Fail faster. Succeed sooner.David Kelley/IDEO
83
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!
84
BOTTOM LINEThe Enemy!
85
Joe J. Jones 1942 2001 HE WOULDA DONE
SOME REALLY COOL STUFF BUT HIS BOSS
WOULDNT LET HIM!
86
Characteristics of the Also ransMinimize
riskRespect the chain of commandSupport the
bossMake budgetFortune, article on Most
Admired Global Corporations
87
The greatest dangerfor most of usis not that
our aim istoo highand we miss it,but that it
istoo lowand we reach it.Michelangelo
88
Message to scientists It AINT about the
science. Its NEVER about the science. Its
ALWAYS about the PASSION for the IDEA.
89
Fact 1000s of PLAUSIBLE drug candidates. Winners
based mostly on desire tenacity of Project
Manager/Team
90
Sales2001
91
The Sales25 Great Salespeople 1.
Know the product. (Find cool mentors, and use
them.)2. Know the company.3. Know the customer.
(Including the customers consultants.) (And
especially the corporate culture.)4. Love
internal politics at home and abroad.5.
Religiously respect competitors. (No badmouthing,
no matter how provoked.)6. Wire the customers
org. (Relationships at all levels
functions.)7. Wire the home teams org. and
vendors orgs. (INVEST Big Time time in
relationships at all levels functions.) (Take
junior people in all functions to client
meetings.)
92
Great Salespeople 8.
Never overpromise. (Even if it costs you your
job.) 9. Sell only by solving problems-creating
profitable opportunities. (Our product solves
these problems, creates these unimagined
INCREDIBLE opportunities, and will make you a ton
of moneyheres exactly how.) (IS THIS A
PRODUCT SALE OR A WOW-ORIGINAL SOLUTION YOULL
BE DINING OFF 5 YEARS FROM NOW? THAT WILL BE
WRITTEN UP IN THE TRADE PRESS?)10. Will involve
anybodyincluding mortal enemiesif it enhances
the scope of the problem we can solve and
increases the scope of the opportunity we can
encompass.11. Know the Brand Story cold live
the Brand Story. (If not, leave.)
93
Great Salespeople 12.
Think Turnkey. (Its always your problem!)13.
Act as orchestra conductor You are responsible
for making the whole-damn-network respond.
(PERIOD.)14. Help the customer get to know the
vendors organization build up their
Rolodex.15. Walk away from bad business. (Even
if it gets you fired.)16. Understand the idea of
a good loss. (A bold effort thats sometimes
better than a lousy win.)17. Thinks those who
regularly say Its all a price issue suffer
from rampant immaturity shrunken
imagination.18. Will not give away the store to
get a foot in the door. 19. Are wary
respectful of upstartsthe real enemy.20. Seek
several cool customerswholl drag you into
Tomorrowland.
94
Great Salespeople
21. Use the word partnership obsessively,
even though it is way overused. (Partnership
includes folks at all levels throughout the
supply chain.)22. Send thank you notes by the
truckload. (NOT E-NOTES.) (Most are for little
things.) (50 of those notes are sent to those
in our company!) Remember birthdays. Use the word
we. 23. When you look across the table at the
customer, think religiously to yourself HOW CAN
I MAKE THIS DUDE RICH FAMOUS GET HIM-HER
PROMOTED? 24. Great salespeople can
affirmatively respond to the query in an HP
banner ad HAVE YOU CHANGED CIVILIZATION
TODAY?25. Keep your bloody PowerPoint slides
simple!
95
The Flypaper/Epidemic Strategy Trolling for
would-be Revolutionary(ies). Age rank size of
org do not matter/passion rules (Gaps 27-yr-old
Rajat OSHA Maine Anthem NH). (Hmmmm. Maybe size
rank do matter??) (I wont help you get
promoted. I will help you start a
revolution/epidemic.) Help the infected one(s)
become carriers study epidemiology. MBSA.
96
Message 8 POWERLESSNESS IS A LOAD OF BULL!
97
Brand InsideBrand Talent The Great War for
Talent
98
When land was the productive asset, nations
battled over it. The same is happening now for
talented people.Stan Davis Christopher
Meyer, futureWEALTH
99
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)
100
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)
101
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
102
We have transitioned from an asset-based
strategy to a talent-based strategy.Jeff
Skilling, CEO, Enron
103
Message Some people are better than other
people. Some people are a helluva lot better than
other people.
104
What gets measured gets done. What gets paid
for gets done more. What gets paid a lot for
gets done a lot more.
105
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
106
Women and new-economy management
107
The New Economy Shout goodbye to command and
control!Shout goodbye to hierarchy!Shout
goodbye to knowing ones place!
108
Womens Stuff New Economy MatchImprov
skillsRelationship-centricLess rank
consciousnessSelf determinedTrust sensitive
IntuitiveNatural empowerment freaks less
threatened by strong peopleIntrinsic
motivation gt Extrinsic
109
Womens Strengths Link rather than rank
workers favor interactive-collaborative
leadership style empowerment gt top-down decision
making sustain fruitful collaborations
comfortable with sharing information see
redistribution of power as victory, not
surrender favor multi-dimensional feedback
value interpersonal technical skills, group
individual contributions equally readily accept
ambiguity honor intuition as well as pure
rationality inherently flexible appreciate
cultural diversitySource Judy B. Rosener,
Americas Competitive Secret
110
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
111
Boys are trained in a way that will make them
irrelevant.Phil Slater
112
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
113
Axiom Never hire anyone without an aberration
in their background!
114
Are there enough weird people in the lab these
days?V. Chmn., pharmaceutical house, to a lab
director (06.01)
115
Would Craig Venter (Luciano Benneton) come to
work for us?
116
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
117
EnronCOO Louise Kitchen, F, 29 created
EnronOnline as Skunkworks
118
Beware Lurking HR Types One size NEVER fits
all. One size fits one. Period.
119
48 Players 48 Projects 48 different success
measures
120
Model 24/7 Sports Franchise GM
121
33 Division Titles. 26 League Pennants. 14 World
Series Earl Weaver0. Tom Kelly0. Jim
Leyland0. Walter Alston1AB. Tony LaRussa132
games, 6 seasons. Tommy LasordaP ,26 games.
Sparky Anderson1 season.
122
Why Dont Most Biz Mgrs. Think This
Way?Coaching is winning players over. Phil
JacksonNot planning, implementing, clear
communication, getting the org chart right.
123
Goal of the Year No. 1 Find-Develop-Mentor ONE
Extraordinary Person.CEO, large financial
advisory firm, April 2001
124
MantraM3Talent Brand
125
Whats your companys EVP?Employee Value
Proposition, per Ed Michaels et al., The War for
Talent
126
EVP Challenge, professional growth, respect,
satisfaction, opportunity, rewardSource Ed
Michaels et al., The War for Talent
127
Message 9 Think JACK. Vision 0. Talent ALL.
128
Brand InsideBrand Talent The Education Fiasco
129
The main crisis in school today is
irrelevance.Daniel Pink, Free Agent Nation
130
My wife and I went to a kindergarten
parent-teacher conference and were informed that
our budding refrigerator artist, Christopher,
would be receiving a grade of Unsatisfactory in
art. We were shocked. How could any childlet
alone our childreceive a poor grade in art at
such a young age? His teacher informed us that he
had refused to color within the lines, which was
a state requirement for demonstrating
grade-level motor skills. Jordan Ayan, AHA!
131
How many artists are there in the room? Would
you please raise your hands. FIRST GRADE En mass
the children leapt from their seats, arms waving.
Every child was an artist. SECOND GRADE About
half the kids raised their hands, shoulder high,
no higher. The hands were still. THIRD GRADE At
best, 10 kids out of 30 would raise a hand,
tentatively, self-consciously. By the time I
reached SIXTH GRADE, no more than one or two kids
raised their hands, and then ever so slightly,
betraying a fear of being identified by the group
as a closet artist. The point is Every school
I visited was was participating in the
suppression of creative genius.Gordon
MacKenzie, Orbiting the Giant Hairball A
Corporate Fools Guide to Surviving with Grace
132
Losing the War to Bismarck
133
Schools were designed by Horace Mann, E.L.
Thorndike, and others to be instruments of the
scientific management of a mass population.
Schools are intended to produce, through the
application of formulas, formulaic human beings
whose behavior can be predicted and controlled.
To a very great extent, schools succeed in doing
this. But in a society that is increasingly
fragmented, in which the only genuinely
successful people are independent, self-reliant,
and individualistic, the products of school and
schooling are irrelevant.A Different Kind of
Teacher, John Taylor Gatto
134
J. D. Rockefellers General Education Board
(1915) In our dreams people yield themselves
with perfect docility to our molding hands. The
task is simple. We will organize children and
teach them in a perfect way the things their
fathers and mothers are doing in an imperfect
way.John Taylor Gatto, A Different Kind of
Teacher
135
Every time I pass a jailhouse or school, I feel
sorry for he people inside.Jimmy Breslin,
07.11.2001, on summer school in NYC If they
havent learned in the winter, what are they
going to remember from days when they should be
swimming?
136
The best evidence that our schools are set up to
school and not be usefully educationally lies
in the look of the rooms where we confine kids.
Rooms with no clocks, no telephones, no fax
machines, no stamps, no envelopes, no maps, no
directories, no private space in which to think,
no conference tables on which to confer. Rooms in
which there isnt any real way to contact the
outside world where life is going on.A
Different Kind of Teacher, John Taylor Gatto
137
Schools Kafka-like rituals enforce sensory
deprivation on classes of children held in
featureless rooms sort children into rigid
categories by the use of fantastic measures such
as age-grading, or standardized test scores
train children to drop whatever they are occupied
with and to move as a body from to room at the
sound of a bell, buzzer, horn, or klaxon keep
children under constant surveillance, depriving
them of private time and space John Taylor
Gatto, A Different Kind of Teacher
138
Kafka-like rituals (cont.) assign children
numbers constantly, feigning the ability to
discriminate qualities quantitatively insist
that every moment of time be filled with
low-level abstractions forbid children their
own discoveries, pretending to posess some vital
secret to which children must surrender their
their active learning time to acquire.John
Taylor Gatto, A Different Kind of Teacher
139
Doing Stuff that Matters!
140
Education, at best, is ecstatic. At its best,
its most unfettered, the moment of learning is a
moment of delight. This essential and obvious
truth is demonstrated for us every day by the
baby and the preschool child. When joy is
absent, the effectiveness of the learning
process falls and falls until the human being is
operating hesitantly, grudgingly,
fearfully.George Leonard, Education and
Ecstasy 1968
141
Children learn what makes sense to them they
learn through the sense of things they want to
understand.Frank Smith, Insult to Intelligence
142
During the first years of life, youngsters all
over the world master a breathtaking array of
competences with little formal tutelage.
Howard Gardner, The Unschooled Mind
143
We underrate our brains and our intelligence.
Formal education has become such a complicated,
self-conscious, and over-regulated activity that
learning is widely regarded as something
difficult that the brain would rather no do.
Such a belief is probably well-founded if the
teachers are referring to their efforts to keep
children moving through the instructional
sequences that are prescribed as learning
activities in school. We are all capable of
huge and unsuspected learning accomplishments
without effort.Frank Smith, Insult to
Intelligence
144
The Learners ManifestoThe brain is always
learning.Learning does not require
coercion.Learning must be meaningful.Learning
is incidental.Learning is collaborative.The
consequences of worthwhile learning are
obvious.Learning always involves
feelings.Learning must be free of risk.Frank
Smith, Insult to Intelligence
145
Actual content may not be the issue at all,
since we are really trying to impart the idea
that one can deal with new areas of knowledge if
one knows how to learn, how to find out about
what is known, and how to abandon old ideas when
they are worn out. This means teaching ways of
developing good questions rather than memorizing
known answers , an idea that traditional schools
simply dont cotton to at all, and that
traditional testing methods are unprepared to
handle. Roger Schank, The Connoisseurs Guide
to the Mind
146
Most important 3 letters Why?
147
Message 10 From the U.S.A. to S.A. education
demands a revolution.
148
Brand InsideReprise THINK WEIRD The High
Standard Deviation Enterprise
149
Saviors-in-WaitingDisgruntled CustomersFringe
CompetitorsRogue EmployeesEdge SuppliersWayne
Burkan, Wide Angle Vision Beat the Competition
by Focusing on Fringe Competitors, Lost
Customers, and Rogue Employees
150
The highest performing companies have
well-developed systems for killing ideas their
customers dont want. As a result, these
companies find it very difficult to invest
adequate resources in disruptive
technologieslower margin opportunities that
their customers dont wantuntil they want them.
And by then its too late.Clayton Christensen,
The Innovators Dilemma
151
Message TAKE SOMEONE NEW WEIRD TO LUNCH TODAY
OR TOMORROW. Inundate yourself with weird.
152
Tomorrows Organizations Itinerant Potential
Machines
153
TALENT POOL TO DIE FOR. Youthful. Insanely
energetic. Value creativity. Risk taking is
routine. Failing is normal if youre
stretching. Want to make their bones in the
revolution. Love the new technologies. Well
rewarded. Dont plan to be around 10 years from
now.
154
TALENT POOL PLUS. Seek out and work with
worlds best as needed (its often needed). We
aim to change the world, and we need gifted
colleagueswho well may not be on our payroll.
155
BRASSY-BUT-GROUNDED-LEADERSHIP. Say I dont
knowand then unleash the TALENT. Have a vision
to be DRAMATICALLY DIFFERENTbut dont expect the
co. to be around forever. Will scrap pet
projects, and change course 180 degreesand take
a big write-off in the process. NO REGRETS FROM
SCREW-UPS WHOSE TIME HAS NOT-YET-COME. GREAT
REGRETS AT TIME WASTED ON ME TOO PRODUCTS
AND PROJECTS.
156
BRASSY-BUT-GROUNDED-LEADERSHIP. (Cont.)
Visionary leaders matched by leaders with
shrewd business sense HOW DO WE TURN A PROFIT
ON THIS GORGEOUS IDEA? Appreciate market
creation as much as or more than market share
growth. ARE INSANELY AWARE THAT MARKET LEADERS
ARE ALWAYS IN PRECARIOUS POSITIONS, AND THAT
MARKET SHARE WILL NOT PROTECT US, IN TODAYS
VOLATILE WORLD, FROM THE NEXT KILLER IDEA AND
KILLER ENTREPRENEUR. (Gates. Ellison. Venter.
McNealy. Walton. Skilling. Case. Etc.)
157
ALLIANCE MANIACS. Dont assume that the best
resides within. WORK WITH A SHIFTING ARRAY OF
STATE-OF-THE-ART PARTNERS FROM ONE END OF THE
SUPPLY CHAIN TO THE OTHER. Including vendors
and consultants and especially PIONEERING
CUSTOMERS who will pull us into the future.
158
TECHNOLOGY-NETWORK FANATICS. Run the
whole-damn-company, and relations with all
outsiders, on the Internet at Internet speed.
Reluctant to work with those who dont share
this (radical) vision.
159
POTENTIAL MACHINES-ORGANISMS. Dont know whats
coming next. But are ready to jump at
opportunities, especially those thatt
challenge-overturn our own way of doing things.
160
Message 11 Normal Death.
161
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
162
Forces _at_ Work IIThe Sameness Trap
163
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
164
We make over three new product announcements a
day. Can you remember them? Our customers
cant!Carly Fiorina
165
Companies have defined so much best practice
that they are now more or less identical.Jesper
Kunde, A Unique Moment
166
Message 12 Normal Death.
167
Brand OutsideStrategy 1Use E-Commerce to
Re-invent Everything!
168
Dells OptiPlex FacilityBig Job 6 to 8
hours.(20,000 per day)Parts Inventory 2
hours, 100 square feet. (Overall, 5 days vs. 50
to 90 days target is 2.5 days)
169
Enron eWorld Price a structured trade, per
John Arnold, 26 Early 1999 30 times a day. 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 (1/2001)
170
Cisco!90 of 20B (50M/day)Annual savings
in service and support from customer
self-management 550M
171
Secret Cisco Community!C.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
Webcor. Construction. Web site for each project.
Instant info on status to employees, subs,
architects. Mgt costs cut by 2/3rds. Huge time
shrinkage.Source Business Week (09.00)
173
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
174
Anne Busquet/ American ExpressNot Age of the
InternetIs Age of Customer Control
175
The Age of the Never Satisfied
CustomerRegis McKenna
176
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
177
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.Ray Lane,
Kleiner Perkins
178
Supply Chain 2000When Joe Employee at
Company X launches his browser, hes taken to
Company Xs personalized home page. He can
interact with the entire scope of Company Xs
world customers, other employees, distributors,
suppliers, manufacturers, consultants. The
browser that is, the portal resembles a My
Yahoo for Company X and hooks into every network
associated with Company X. The real trick is that
Joe Employee, business partners and customers
dont have to be in the office. They can log on
from a cell phone, Palm Pilot, pager or home
office system.Red Herring (09.2000)
179
Theres 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
180
Inet allows you to dream dreams you could
never have dreamed before!
181
Believe in the Internet MORE THAN EVER.Andy
Grove, Cover quote, Wired (June 2001)
182
Message 13 THE WORLD WILL NEVER BE THE SAME.
BELIEVE IT.
183
Brand OutsideStrategy 2Women Rule!
184
?????????Home Furnishings 94Vacations
92Houses 91Consumer Electronics 51 Cars
60 (90)All consumer purchases 83 Bank
Account 89Health Care 80
185
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
186
4.8T gt Japan9M/27.5M/3.6T gt Germany
187
Carol Gilligan/ In a Different VoiceMen Get
away from authority, familyWomen ConnectMen
Self-orientedWomen Other-orientedMen
RightsWomen Responsibilities
188
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.
189
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!)
190
Read This Barbara Allan Peases Why Men Dont
Listen Women Cant Read Maps
191
It is obvious to a women when another woman is
upset, while a man generally has to physically
witness tears or a temper tantrum or be slapped
in the face before he even has a clue that
anything is going on. Like most female mammals,
women are equipped with far more finely tuned
sensory skills than men. Barbara Allan
Pease, Why Men Dont Listen Women Cant Read
Maps
192
Resting State 30, 90 A woman knows her
childrens friends, hopes, dreams, romances,
secret fears, what they are thinking, how they
are feeling. Men are vaguely aware of some short
people also living in the house.Barbara
Allan Pease, Why Men Dont Listen Women Cant
Read Maps
193
As a hunter, a man needed vision that would
allow him to zero in on targets in the distance
whereas a woman needed eyes to allow a wide arc
of vision so that she could monitor any predators
sneaking up on the nest. This is why modern men
can find their way effortlessly to a distant pub,
but can never find things in fridges, cupboards
or drawers.Barbara Allan Pease, Why Men
Dont Listen Women Cant Read Maps
194
Female hearing advantage contributes
significantly to what is called womens
intuition and is one of the reasons why a woman
can read between the lines of what people say.
Men, however, shouldnt despair. They are
excellent at imitating animal sounds.Barbara
Allan Pease, Why Men Dont Listen Women Cant
Read Maps
195
Barbara Allan Pease, Why Men Dont Listen
Women Cant Read Maps Women love to talk. Men
talk silently to themselves. Women think aloud.
Women talk, men feel nagged. Women multitask.
Women are indirect. Men are direct. Women talk
emotively, men are literal. Men listen like
statues. Boys like things, girls like people.
Boys compete, girls cooperate. Men hate to be
wrong. Men hide their emotions.
196
When a woman is upset, she talks emotionally to
her friends but an upset man rebuilds a motor or
fixes a leaking tap.Barbara Allan Pease, Why
Men Dont Listen Women Cant Read Maps
197
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)
198
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
199
Read This Book EVEolution The Eight Truths
of Marketing to WomenFaith Popcorn Lys
Marigold
200
EVEolution Truth No. 1Connecting Your Female
Consumers to Each Other Connects Them to Your
Brand
201
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
202
Women speak and hear a language of connection
and intimacy, and men speak and hear a language
of status and independence. Men communicate to
obtain information, establish their status, and
show independence. Women communicate to create
relationships, encourage interaction, and
exchange feelings.Judy Rosener, Americas
Competitive Secret
203
I only really understand myself, what Im
really thinking and feeling, when Ive talked it
over with my circle of female friends. When days
go by without that connection, I feel like a
radio playing in an empty room.Anna Quindlen
204
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
205
Women dont buy brands. They join them.Faith
Popcorn, EVEolution
206
Enterprise Reinvention!RecruitingHiring/Rewardi
ng/PromotingStructure ProcessesMeasurementStra
tegyCulture VisionLeadershipTHE BRAND ITSELF!
207
Honey, are you sure you have the kind of money
it takes to be looking at a car like this?
208
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
209
Ad from Furniture /Today (04.01)MEET WITH THE
EXPERTS! How Retailings Most Successful Stay
that WayPresenting Experts M 16F
??(272?)
210
0
211
Amazing, now that I think about it. A bunch of
guys --developers, architects, contractors--sittin
g around designing shopping centers. And the end
users will be overwhelmingly women!
212
Message 14 OPPORTUNITY 1!
213
Brand OutsideStrategy 3Design Matters!
214
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
215
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
216
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
217
Design is WHAT WHY I LOVE. LOVE.
218
I LOVE my ZYLISS Garlic Peeler!
219
Design is WHY I GET MAD. MAD.
220
Wanted Dead preferably or Alive THE DESIGNER
OF MY RADIO SHACK PHONE. Major Reward!
221
Design is never neutral.
222
Hypothesis DESIGN is the principal difference
between love and hate!
223
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.
224
Message 15 In an Age of Soft, DESIGN Rules!
225
Brand OutsideStrategy 4Its the Experience!
226
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
227
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
228
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
229
The Experience LadderExperiences
ServicesGoods Raw Materials
230
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) 10.001990
Party _at_ Chuck E. Cheese (experience economy)
100.00
231
Client Were not like Nike! We sell paper clips
, 9mm bolts, who can be bothered?JK The
whole world can be bothered if you brand them
well. Nike does not actually sell shoes. Nike
sells the experience of using Nikes, the feeling
of being a winner. And they condense the message
into just three words Just Do It! It is a
question of being the only one, of offering the
market something unique.Source Jesper Kunde,
A Unique Moment
232
Message Experience is the Last
80Experience applies to all work!
233
HP RevisitedPWC Consultants lead Business
Re-invention Process (Experience
Economy)Fabulous Customer Service (Service
Economy)Terrific Servers (Goods Economy)
234
Message 16 Experience Home to tomorrows
Market Cap!
235
Brand OutsideStrategy 5BRAND POWER!
236
WHO ARE YOU these days ?TP to Client
237
The idea that business is just a numbers affair
has always struck me as preposterous. For one
thing, Ive never been particularly good at
numbers, but I think Ive done a reasonable job
with feelings. And Im convinced that it is
feelings and feelings alone that account for
the success of the Virgin brand in all of its
myriad forms.Richard Branson
238
In the funky village, real competition no longer
revolves around marketshare. We are competing for
attention mindshare and heartshare.Kjell
Nordstrom and Jonas Ridderstrale, Funky Business
239
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
240
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
241
Scott Bedbury/ Nike, StarbucksA Great Brand
taps into emotions. Emotions drive most, if not
all, of our decisions. A brand reaches out with
a powerful connecting experience. Its an
emotional connecting point that transcends the
product.A Great Brand is a story thats never
completely told. A brand is a metaphorical story
that connects with something very deep - a
fundamental appreciation of mythology. Stories
create the emotional context people need to
locate themselves in a larger experience.
242
Most executives have no idea how to add value to
a market in the metaphysical world. But that is
what the market will cry out for in the future.
There is no lack of physical products to choose
between.Jesper Kunde, A Unique Moment on the
excellence of Nokia, Nike, Lego, Virgin et al.
243
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
244
Brand Promise Exercise (1) Who Are WE?
(poem/novella/song, then 25 words.) (2) List
three ways in which we are UNIQUE to our
Clients. (3) Who are THEY (competitors)? (ID, 25
words.) (4) List 3 distinct us/them
differences. (5) Try results on your
teammates. (6) Try em on a friendly Client. (7)
Big Enchilada Try em on a skeptical Client!
245
1st Law Mktg Physics OVERT BENEFIT (Focus 1 or
2 gt 3 or 4/One Great Thing. Source 1
Personal Passion)2ND Law REAL REASON TO
BELIEVE (Stand Deliver!)3RD Law DRAMATIC
DIFFERENCE (Execs Dont Get It See the next
slide.)Source Jump Start Your Business Brain,
Doug Hall
246
2 QuestionsHow likely are you to purchase this
new product or service? (95 to 100 weighting
by execs)How unique is this new product or
service? (0 to 5)No exceptions in 20 years
Doug Hall, Jump Start Your Business Brain
247
Message REAL Branding is personal. REAL
Branding is integrity. REAL Branding is
consistency freshness. REAL Branding is the
answer to WHO ARE WE? WHY ARE WE HERE? REAL
Branding is why I/you/we all get out of bed in
the morning. REAL Branding cant be faked.
REAL Branding is a systemic, 24/7,
all-departments, all-hands affair.
248
WHO ARE WE?
249
WHATS OUR STORY?
250
EXACTLY HOW ARE WE DRAMATICALLY DIFFERENT?
251
WHY DOES IT MATTER TO THE CLIENT?
252
EXACTLY HOW DO I PASSIONATELY CONVEY THAT
DIFFERENCE TO THE CLIENT
253
Message 17 WHO ARE YOU?
254
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
255
Part I Brand InsidePart II Brand OutsidePart
III Brand Leadership
256
I dont know.Karl Weick
257
The leader who says I dont know essentially
says that the group is facing a new ballgame
where the old tools of logic may be its undoing
rather than its salvation. To drop these tools is
not to give up on finding a workable answer. It
is only to give up on one means of answering that
is ill-suited to the unstable, the unknowable,
the unpredictable. To drop the heavy tools of
rationality is to gain access to lightness in the
form of intuitions, feelings, stories,
experience, active listening, shared humanity,
awareness in the moment, capability for
fascination, awe, novel words and empathy. -
Karl Weick
258
BossMessage2001 YOU CANT KEEP UP! YOU DONT
HAVE THE ANSWERS!
259
If things seem under control, youre just not
going fast enough.Mario Andretti
260
Brand LeadershipPassion Rules!
261
Message Leadership is all about love! Passion,
Enthusiasms, Appetite for Life, Engagement,
Commitment, Great Causes Determination to Make
a Damn Difference, Shared Adventures, Bizarre
Failures, Growth, Insatiable Appetite for
Change. Otherwise, why bother? Just read
Dilbert. TPs final words CYNICISM SUCKS.
262
Create a Cause, not a business. Gary Hamel,
Fortune (06.00), on re-inventing a company
(Exemplar 1 Charles Schwab)
263
A key perhaps the key to leadership is
the effective communication of a story.Howard
Gardner Leading Minds An Anatomy of Leadership
264
Ben Zander I am a dispenser of enthusiasm.
265
You must be the change you wish to see in the
world.Gandhi
266
A leader is a dealer in hope.Napoleon
267
Id rather regret the things I have done than
the things I have not.Lucille Ball
268
Lets make a dent in the universe.
Steve Jobs
269
Message 18 GOOD LUCK!
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