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Title: Tom Peters Seminar2002 We Are in a Brawl with No Rules Delhi/29October2002


1
Tom Peters Seminar2002 We Are in a Brawl
with No Rules Delhi/29October2002
2
I. NEW BUSINESS. NEW CONTEXT.
3
All Bets Are Off.
4
We are in a brawl with no rules. Paul Allaire
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
lt1000A.D. paradigm shift 1000s of years 1000
100 years for paradigm shift 1800s gt prior 900
years 1900s 1st 20 years gt 1800s 2000 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
7
2. The Destruction Imperative.
8
Forbes100 from 1917 to 1987 39 members of the
Class of 17 were alive in 87 18 in 87 F100
18 F100 survivors underperformed the market by
20 just 2 (2), GE Kodak, outperformed the
market 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
9
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
10
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
11
Conglomerates dont work James Surowiecki, The
New Yorker (07.01,2002)
12
Acquisitions are about buying market share. Our
challenge is to create markets. There is a big
difference. Peter Job, CEO, Reuters
13
ForgetgtLearn The problem is never how to get
new, innovative thoughts into your mind, but how
to get the old ones out. Dee Hock
14
It is generally much easier to kill an
organization than change it substantially.
Kevin Kelly, Out of Control
15
C.E.O. to C.D.O.
16
The New Ge Way DYB.com
17
Change the rules before somebody else does.
Ralph Seferian, VP, Oracle
18
Organize for performance customer
satisfaction. Disorganize for renewal
innovation.
19
The difficulties arise from the inherent
conflict between the need to control existing
operations and the need to create the kind of
environment that will permit new ideas to
flourishand old ones to die a timely death. We
believe that most corporations will find it
impossible to match or outperform the market
without abandoning the assumption of continuity.
The current apocalypsethe transition from a
state of continuity to state of discontinuityhas
the same suddenness as the trauma that beset
civilization in 1000 A.D. Richard Foster
Sarah Kaplan, Creative Destruction (The
McKinsey Quarterly)
20
Japans Science Gap Rice farming culture
uniqueness suppressed. Govt control of R D.
Promotion based on seniority. Consensus vs.
debate. (U.S. friends can be mortal enemies.)
Bias for C.I. vs. bold leaps. Lack of
competition and critical evaluation (peer
review). Syukuro Manabe What we need to create
is job insecurity rather than security to make
people compete more. Hideki Shirakawa, Nobel
laureate, chemistry
21
December 2000 Swiss House for Advanced Research
Education. Cambridge, Massachusetts. Xavier
Comtesse You never hear a Swiss say, I want to
change the world. We need to take more risks.
22
No Wiggle Room! Incrementalism is innovations
worst enemy. Nicholas Negroponte
23
II. NEW BUSINESS. NEW TECH.
24
3. The White Collar Revolution the Death of
Bureaucracy.
25
108 X 5 vs. 8 X 1 540 vs. 8 (-98.5)
26
E.g. Jeff Immelt 75 of admin, back room,
finance digitalized in 3 years. Source BW
(01.28.02)
27
A bureaucrat is an expensive microchip. Dan
Sullivan, consultant and executive coach
28
IBMs Project eLiza! Self-bootstrapping/
Artilects
29
Unless mankind redesigns itself by changing our
DNA through altering our genetic makeup,
computer-generated robots will take over the
world. Stephen Hawking, in the German magazine
Focus
30
4. IS/ IT/ Web On the Bus or Off the Bus.
31
The organizations we created have become
tyrants. They have taken control, holding us
fettered, creating barriers that hinder rather
than help our businesses. The lines that we drew
on our neat organizational diagrams have turned
into walls that no one can scale or penetrate or
even peer over. Frank Lekanne Deprez René
Tissen, Zero Space Moving Beyond Organizational
Limits.
32
100 square feet
33
Impact No. 1/ Logistics Distribution
WalMart Dell Amazon.com Autobytel.com
FedEx UPS Ryder Cisco Etc. Etc. Ad
Infinitum.
34
Autobytel 400. WalMart 13. Source
BW(05.13.2002)
35
WebWorld Everything Web as a way to run your
businesss innards Web as connector for your
entire supply-demand chain Web as spiders web
which re-conceives the industry Web/B2B as
ultimate wake-up call to commodity
producers Web as the scourge of slack,
inefficiency, sloth, bureaucracy, poor customer
data Web as an Encompassing Way of Life Web
Everything (P.D. to after-sales) Web forces you
to focus on what you do best Web as entrée, at
any size, to Worlds Best at Everything as next
door neighbor
36
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
37
Dawn Meyerreicks, CTO of the Defense
Intelligence Systems Agency, made one of the most
fateful military calls of the 21st century. After
9/11 her office quickly leased all the
available transponders covering Central Asia. The
implications should change everything about U.S.
military thinking in the years ahead. The U.S.
Air Force had kicked off its fight against the
Taliban with an ineffective bombing campaign, and
Washington was anguishing over whether to send in
a few Army divisions. Donald Rumsfeld told Gen.
Tommy Franks to give the initiative to 250
Special Forces already on the ground. They used
satellite phones, Predator surveillance drones,
and GPS- and laser-based targeting systems to
make the air strikes brutally effective. In
effect, they Napsterized the battlefield by
cutting out the middlemen (much of the militarys
command and control) and working directly with
the real players. The data came in so fast that
HQ revised operating procedures to allow
intelligence analysts and attack planners to work
directly together. Their favorite tool,
incidentally, was instant messaging over a secure
network.Ned Desmond/Broadbands New Killer
App/Business 2.0/ OCT2002
38
Case CRM
39
Anne Busquet/ American Express Not Age of the
Internet Is Age of Customer Control
40
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 Nordström and Jonas
Ridderstråle, Funky Business
41
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
42
Amen! The Age of the Never Satisfied
Customer Regis McKenna
43
CRM has, almost universally, failed to live up
to expectations. Butler Group (UK)
44
CGEY (Paul Cole) Pleasant Transaction vs.
Systemic Opportunity. Better job of what we do
today vs. Re-think overall enterprise strategy.
45
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
46
Inet allows you to dream dreams you could
never have dreamed before!
47
Dont rebuild. Reimagine. The New York Times
Magazine on the future of the WTC space in Lower
Manhattan/09.08.2002
48
Supposejust supposethat the Web is a new world
were just beginning to inhabit. Were like the
earlier European settlers in the United States,
living on the edge of the forest. We dont know
whats there and we dont know exactly what we
need to do to find out Do we pack mountain
climbing gear, desert wear, canoes, or all three?
Of course while the settlers may not have known
what the geography of the New World was going to
be, they at least knew that there was a
geography. The Web, on the other hand, has no
geography, no landscape. It has no distance. It
has nothing natural in it. It has few rules of
behavior and fewer lines of authority. Common
sense doesnt hold here, and uncommon sense
hasnt yet emerged. David Weinberger, Small
Pieces Loosely Joined
49
III. NEW BUSINESS. NEW VALUE PROPOSITION.
50
5. The PSF Solution The Professional Service
Firm Model.
51
So what will be the Basic Building Block of the
New Org?
52
Every job done in W.C.W. is also done outside
for profit!
53
Answer PSF! Professional Service
Firm Department Head to Managing Partner,
HR IS, etc. Inc.
54
TP to NAPM You are the Rock Stars of the
B2B Age!
55
Message You are Re-invention Evangelists!
56
eHR/PCC All HR on the Web Productivity
Consulting Center Source E-HR A Walk through a
21st Century HR Department, John Sullivan, IHRIM
57
Model PSF
58
(1) Translate ALL departmental
activities into discrete W.W.P.F.
Products. (2) 100 go on the Web. (3)
Non-awesome are outsourced (75??). (4)
Remaining Centers of Excellence are
retained leveraged to the hilt!
59
Typically in a mortgage company or financial
services company, risk management is an
overhead, not a revenue center. Weve become more
than that. We pay for ourselves, and we actually
make money for the company.Frank Eichorn,
Director of Credit Risk Data Management Group,
Wells Fargo Home Mortgage (Source sas.com)
60
6. The Heart of the Value Added Revolution PSFs
Unbound/ The Solutions Imperative.
61
Base Case The Sameness Trap
62
While everything may be better, it is also
increasingly the same. Paul Goldberger on
retail, The Sameness of Things, The New York
Times
63
We make over three new product announcements a
day. Can you remember them? Our customers
cant! Carly Fiorina
64
Customers will try low cost providers
because the Majors have not given them any clear
reason not to. Leading Insurance Industry
Analyst
65
The surplus society has a surplus of similar
companies, employing similar people, with similar
educational backgrounds, coming up with similar
ideas, producing similar things, with similar
prices and similar quality. Kjell Nordström
and Jonas Ridderstråle, Funky Business
66
Companies have defined so much best practice
that they are now more or less identical. Jesper
Kunde, Unique Now ... or Never
67
The Big Day!
68
09.11.2000 HP bids 18,000,000,000 for
PricewaterhouseCoopers consulting business!
69
These days, building the best server isnt
enough. Thats the price of entry. Ann
Livermore, Hewlett-Packard
70
Gerstners IBM Systems Integrator of choice.
Global Services 35B. Pledge/99 Business
Partner Charter. 72 strategic partners, aim for
200. Drop many in-house programs/products.
(BW/12.01).
71
We want to be the air traffic controllers of
electrons. Bob Nardelli, GE Power Systems
72
Customer Satisfaction to Customer
Success Were 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
73
Keep In Mind Customer Satisfaction versus
Customer Success
74
E.g. UTC/Otis Carrier boxes to integrated
building systems
75
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)
76
Omnicom 57 (of 6B) from marketing services
77
Customers will try low cost providers
because the Majors have not given them any clear
reason not to. Leading Insurance Industry
Analyst
78
Getting Beyond Lip Service! No longer are we
only an insurance provider. Today, we also
offer our customers the products and services
that help them achieve their dreams, whether its
financial security, buying a car, paying for home
repairs, or even taking a dream vacation.Martin
Feinstein, CEO, Farmers Group
79
Core Logic (1) 108X5 to 8X1/ eLiza/ 100sf.
(2) Dept. to PSF/ WWPF. (3) V.A. via PSFs
Unbound/ Solutions/ Customer Success.
80
IV. NEW BUSINESS. NEW BRAND.
81
7. A World of Scintillating/ Awesome/ WOW
Experiences.
82
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
83
Club Med is more than just a resort its a
means of rediscovering oneself, of inventing an
entirely new me. Source Jean-Marie Dru,
Disruption
84
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
85
Bob Lutz I see us as being in the art business.
Art, entertainment and mobile sculpture, which,
coincidentally, also happens to provide
transportation. Source NYT 10.19.01
86
Lexus sells its cars as containers for our sound
systems. Its marvelous.Sidney Harman/ Harman
International
87
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
88
Hmmmm(?) Only Words Story Adventure Smile
Focus Plot Passion
89
8. Experiences Embracing the Dream Business.
90
DREAM A dream is a complete moment in the life
of a client. Important experiences that tempt the
client to commit substantial resources. The
essence of the desires of the consumer. The
opportunity to help clients become what they want
to be. Gian Luigi Longinotti-Buitoni
91
Common Products Dream Products Maxwell
House Starbucks BVD
Victorias Secret Payless
Ferragamo Hyundai
Ferrari Suzuki
Harley Davidson Atlantic City
Acapulco New Jersey
California Carter
Kennedy Conners
Pele CNN
Millionaire Source Gian Luigi Longinotti-Buitoni
92
Emotional Design that Interprets Dreams Zero
defects Only the starting point. Love at first
sight. Design for the five senses. Develop to
expand the Main Dream. Design so as to seduce
through the peripheral senses. Source Gian
Luigi Longinotti-Buitoni
93
The marketing of Dreams (Dreamketing) Dreamketing
Touching the clients dreams. Dreamketing The
art of telling stories and entertaining. Dreamketi
ng Promote the dream, not the product. Dreamketin
g Build the brand around the main
dream. Dreamketing Build the buzz, the hype,
the cult. Source Gian Luigi Longinotti-Buitoni
94
Building the Creative
Organization Choose a creator The cultural
leader who gives the company an aesthetic point
of view. Hire eclectically Hire collaborators
with different cultures and past histories in
order to balance rigor with emotion. Prepare
vertically Develop a rigorous understanding of
the product and the client. Develop horizontally
Promote curiosity in unrelated disciplines. Lead
emotionally Engender passionate dedication
through vision and freedom. Build for the long
haul Creativity requires a lifetime
commitment. Source Gian Luigi Longinotti-Buitoni
95
Constantly Magnify Perceived Value Maximize your
value-added by fulfilling the dreams of your
clients. Only invest in what is valuable for your
client. Dont let the short-term results weaken
the long-term value of your brand. Balance
rigorous control of the financial endeavor with
the emotional management of your brand. Build a
financial structure that allows risk-taking NO
RISKSNO DREAMS. Establish long-term price
power in order to avoid the trap of the
commodity product. Source Gian Luigi
Longinotti-Buitoni
96
9. The Mostly Ignored Soul of Experiences
Design Rules!
97
Designs place in the universe.
98
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
99
Design is treated like a religion at
BMW. Fortune
100
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
101
Bottom Line.
102
Design is WHAT WHY I LOVE. LOVE.
103
Design is WHY I GET MAD. MAD.
104
Design is never neutral.
105
Hypothesis DESIGN is the principal difference
between love and hate!
106
THE BASE CASE I am a design fanatic. Though
not artistic, I love cool stuff. 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-experience stands out or
doesnt. Furthermore, its another one of those
things that damn few companies put
consistently on the front burner.
107
Message (?????) Men cannot design for womens
needs.
108
Perhaps the macho look can be interesting if
you want to fight dinosaurs. But now to survive
you need intelligence, not power and aggression.
Modern intelligence means intuitionits female.
Source Philippe Starck, Harvard Design
Magazine (Summer 1998)
109
10. Women Roar.
110
????????? Home Furnishings 94 Vacations 92
(Adventure Travel 70/ 55B travel
equipment) Houses 91 D.I.Y. (home projects)
80 Consumer Electronics 51 Cars 60
(90) All consumer purchases 83 Bank Account
89 Health Care 80
111
2/3rds working women/ 50 working wives gt
50 80 checks 61 bills 53 stock (mutual fund
boom) 43 gt 500K 95 financial decisions/ 29
single handed
112
91 women ADVERTISERS DONT UNDERSTAND US.
(58 ANNOYED.) Source Greenfield Online for
Arnolds Womens Insight Team (Martha Barletta,
Marketing to Women)
113
Carol Gilligan/ In a Different Voice Men Get
away from authority, family Women Connect Men
Self-oriented Women Other-oriented Men
Rights Women Responsibilities
114
FemaleThink/ Popcorn Men 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.
115
Read This Barbara Allan Peases Why Men Dont
Listen Women Cant Read Maps
116
It is obvious to a woman 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
117
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
118
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
119
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
120
Senses Vision Men, focused Women,
peripheral. Hearing Womens discomfort level I/2
mens. Smell Women gtgt Men. Touch Most sensitive
man lt Least sensitive women. Source Martha
Barletta, Marketing to Women
121
Read This Book EVEolution The Eight Truths
of Marketing to Women Faith Popcorn Lys
Marigold
122
EVEolution Truth No. 1 Connecting Your Female
Consumers to Each Other Connects Them to Your
Brand
123
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
124
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
125
Women dont buy brands. They join
them. EVEolution
126
Not! Year of the Woman
127
Enterprise Reinvention! Recruiting Hiring/Rewardi
ng/Promoting Structure Processes Measurement Stra
tegy Culture Vision Leadership THE BRAND ITSELF!
128
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 Alto resident THIS IS EVEN
BIGGER THAN THE INTERNET! Tom Peters
129
11. It all adds up to THE BRAND.
130
The Heart of Branding
131
WHO ARE WE?
132
Most companies tend to equate branding with the
companys marketing. Design a new marketing
campaign and, voilà, 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,
Unique Now ... or Never
133
WHATS OUR STORY?
134
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
135
Apple opposes, IBM solves, Nike exhorts, Virgin
enlightens, Sony dreams, Benetton protests.
Brands are not nouns but verbs. Source
Jean-Marie Dru, Disruption
136
DO THE HOUSEKEEPERS CLERKS BUY IT? ARE YOU
V-E-R-Y SURE?
137
EXACTLY HOW ARE WE DRAMATICALLY DIFFERENT?
138
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 Source Jump Start Your Business
Brain, Doug Hall
139
They consumer goods company have acquired a
bunch of products, which is what everyone is
doing. But whats the point, the message, the
story line, the Big Idea that makes it all
hang together? Exec, major consumer goods
company
140
WHY DOES IT MATTER TO THE CLIENT?
141
EXACTLY HOW DO I PASSIONATELY CONVEY THAT
DRAMATIC DIFFERENCE TO THE CLIENT ?
142
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)
Try em on a skeptical Client!
143
Branding Is-Is Not Table TNT is not
TNT is TNT is not Juvenile
Contemporary Old-fashioned Mindless
Meaningful Elitist Predictable
Suspenseful Dull Frivolous
Exciting Slow Superficial
Powerful Self-important
144
Salt is salt is salt. Right? Not when it comes
in a blue box with a picture of a little girl
carrying an umbrella. Morton International
continues to dominate the U.S. salt market even
though it charges more for a product that is
demonstrably the same as many other products on
the shelf. Tom Asaker, Humanfactor Marketing
145
VI. NEW BUSINESS. NEW YOU.
146
12. Re-inventing the Individual Brand You/ You
Inc./ Free Agent Nation (Or Else.)
147
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
148
If you dont like change, youre going to like
irrelevance even less. General Eric Shinseki,
Chief of Staff, U. S. Army
149
In Store International Equality, Intranational
Inequality The new organization of society
implied by the triumph of individual autonomy and
the true equalization of opportunity based upon
merit will lead to very great rewards for merit
and great individual autonomy. This will leave
individuals far more responsible for themselves
than they have been accustomed to being during
the industrial period. It will also reduce the
unearned advantage in living standards that has
been enjoyed by residents of advanced industrial
societies throughout the 20th century. James
Davidson William Rees-Mogg,The Sovereign
Individual
150
13. Toward Work that Matters The WOW Project.
151
Reward excellent failures. Punish mediocre
successes. Phil Daniels, Sydney exec
152
Lets make a dent in the universe.
Steve Jobs
153
The greatest danger for most of us is not that
our aim is too high and we miss it, but that it
is too low and we reach it. Michelangelo
154
Characteristics of the Also rans Minimize
risk Respect the chain of command Support the
boss Make budget Fortune, article on Most
Admired Global Corporations
155
14. Boss Job One The Talent Obsession.
156
Brand Talent. Duh.
157
The Talent Ten
158
1. Obsession P.O.T. All Consuming Pursuit
of Talent
159
Model 25/8/53 Sports Franchise GM
160
The leaders of Great Groups love talent and
know where to find it. They revel in the talent
of others. Warren Bennis Patricia Ward
Biederman, Organizing Genius
161
2. Greatness Only The Best!
162
From 1, 2 or youre out JW to Best
Talent in each industry segment to build best
proprietary intangibles EM Source Ed
Michaels, War for Talent
163
3. Performance Up or out!
164
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
165
Message Some people are better than other
people. Some people are a helluva lot better than
other people.
166
4. Pay Fork Over!
167
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)
168
5. Youth Grovel Before the Young!
169
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
170
6. Diversity Mess Rules!
171
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
172
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
173
7. Women Born to Lead!
174
AS LEADERS, WOMEN RULE New Studies find that
female managers outshine their male counterparts
in almost every measure Title, Special Report,
Business Week, 11.20.00
175
Womens Strengths Match New Economy Imperatives
Link rather than rank workers favor
interactive-collaborative leadership style
empowerment beats top-down decision making
sustain fruitful collaborations comfortable with
sharing information see redistribution of power
as victory, not surrender favor
multi-dimensional feedback value technical
interpersonal skills, individual group
contributions equally readily accept ambiguity
honor intuition as well as pure rationality
inherently flexible appreciate cultural
diversity. Source Judy B. Rosener, Americas
Competitive Secret
176
Opportunity!
  • U.S.
    G.B. E.U. Ja.
  • M.Mgt. 41 29 18
    6
  • T.Mgt. 4 3 2
    lt1
  • Peak Partic. Age 45 22 27
    19
  • Coll. Stud. 52 50 48 26
  • Source Judy Rosener, Americas Competitive
    Secret

177
8. Weird The Cracked Ones Let in the Light!
178
The Cracked Ones Let in the Light Our 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
179
Deviants, Inc. Deviance tells the story of
every mass market ever created. What starts out
weird and dangerous becomes Americas next big
corporate payday. So are you looking for the next
mass market idea? Its out there way out
there. Source Ryan Matthews Watts Wacker,
Fast Company (03.02)
180
9. Opportunity Make It an Adventure!
181
H.R. to H.E.D. ??? Human
Enablement Department
182
10. Leading Genius We are all unique!
183
Beware Lurking HR Types One size NEVER fits
all. One size fits one. Period.
184
48 Players 48 Projects 48 different success
measures.
185
MantraM3 Talent Brand
186
Whats your companys EVP? Employee Value
Proposition, per Ed Michaels et al., The War for
Talent
187
EVP Challenge, professional growth, respect,
satisfaction, opportunity, reward Source Ed
Michaels et al., The War for Talent
188
The Top 5 Revelations Better talent
wins. Talent management is my job as
leader. Talented leaders are looking for the
moon and stars. Over-deliver on peoples dreams
they are volunteers. Pump talent in at all
levels, from all conceivable sources, all the
time. Source Ed Michaels et al., The War for
Talent
189
IX. NEW BUSINESS. NEW LEADERSHIP.
190
15. The Passion Imperative The Leadership50
191
The Basic Premise.
192
1. Leadership Is a Mutual Discovery Process.
193
I dont know.
194
Leaders-Teachers Do Not Transform People!
Instead leaders-mentors-teachers (1) provide a
context which is marked by (2) access to a
luxuriant portfolio of meaningful opportunities
(projects) which (3) allow people to fully (and
safely, mostlycaveat they dont engage unless
theyre mad about something) express their
innate curiosity and (4) engage in a vigorous
discovery voyage (alone and in small teams,
assisted by an extensive self-constructed
network) by which those people (5) go to-create
places they (and their mentors-teachers-leaders)
had never dreamed existedand then the
leaders-mentors-teachers (6) applaud like hell,
stage photo-ops, and ring the church bells 100
times to commemorate the bravery of their
followers explorations!
195
Ninety percent of what we call management
consists of making it difficult for people to get
things done. P.D.
196
The Leadership Types.
197
2. Great Leaders on Snorting Steeds Are Important
but Great Talent Developers (Type I Leadership)
are the Bedrock of Organizations that Perform
Over the Long Haul.
198
25/8/53 (Damn it!)
199
3. But Then Again, There Are Times When This
Cult of Personality (Type II Leadership) Stuff
Actually Works!
200
A leader is a dealer in hope. Napoleon
(TPs writing room pics)
201
4. Find the Businesspeople! (Type III
Leadership)
202
I.P.M. (Inspired Profit Mechanic)
203
5. All Organizations Need the Golden Leadership
Triangle.
204
The Golden Leadership Triangle (1)
Creator-Visionary (2) Talent Fanatic-Mentor-V.C.
(3) Inspired Profit Mechanic.
205
6. Leadership Mantra 1 IT ALL DEPENDS!
206
Renaissance Men are a snare, a myth, a delusion!
207
7. The Leader Is Rarely/Never the Best Performer.
208
The Leadership Dance.
209
8. Leaders SHOW UP!
210
P.S. Mark McCormack 5,000 miles for a 5 min.
meeting!
211
9. Leaders LOVE the MESS!
212
If things seem under control, youre just not
going fast enough. Mario Andretti
213
10. Leaders DO!
214
The Kotler Doctrine 1965-1980
R.A.F. (Ready.Aim.Fire.) 1980-1995
R.F.A. (Ready.Fire!Aim.) 1995-????
F.F.F. (Fire!Fire!Fire!)
215
Strategy meetings held once or twice a year to
Strategy meetings needed several times a week
Source New York Times on Meg Whitman/eBay
216
11. Leaders Re-do.
217
If Microsoft is good at anything, its avoiding
the trap of worrying about criticism. Microsoft
fails constantly. Theyre eviscerated in public
for lousy products. Yet they persist, through
version after version, until they get something
good enough. Then they leverage the power theyve
gained in other markets to enforce their
standard. Seth Godin, Zooming
218
12. BUT Leaders Know When to Wait.
219
Tex Schramm The too hard box!
220
13. Leaders Are Optimists.
221
Hackneyed but none the less true LEADERS SEE
CUPS AS HALF FULL.
222
14. Leaders DELIVER!
223
It is no use saying We are doing our best. You
have got to succeed in doing what is necessary.
WSC
224
When assessing candidates, the first thing I
looked for was energy and enthusiasm for
execution. Does she talk about the thrill of
getting things done, the obstacles overcome, the
role her people playedor does she keep wandering
back to strategy or philosophy? Larry Bossidy,
Honeywell/AlliedSignal, in Execution
225
15. BUT Leaders Are Realists/Leaders Win
Through LOGISTICS!
226
16. Leaders FOCUS!
227
To Dont List
228
17. Leaders Set CLEAR DESIGN SPECS.
229
Danger S.I.O. (Strategic Initiative Overload)
230
JackWorld/1_at_T (1) Neutron Jack. (Banish
bureaucracy.) (2) 1, 2 or out Jack. (Lead or
leave.) (3) Workout Jack. (Empowerment, GE
style.) (4) 6-Sigma Jack. (5) Internet Jack.
(Throughout) TALENT JACK!
231
18. Leaders Send V-E-R-Y Clear Signals About
Design Specs!
232
Ridin with Roger What have you done to
DRAMATICALLY IMPROVE quality in the last 90 days?
233
Its Relationships, Stupid.
234
19. Leaders Trust in TRUST!
235
Credibility!
236
If It Aint Broke Break It.
237
20. Leaders FORGET!/ Leaders DESTROY!
238
Cortez!
239
Leaders dump the ones who brung em Nokia, HP,
3M, PerkinElmer, Corning, etc.
240
21. BUT Leaders Have to Deliver, So They Worry
About Throwing the Baby Out with the Bathwater.

241
Damned If You Do, Damned If You Dont, Just
Plain Damned. Subtitle in the chapter, Own Up
to the Great Paradox Success Is the Product of
Deep Grooves/ Deep Grooves Destroy Adaptivity,
Liberation Management (1992)
242
22. Leaders HONOR THE USURPERS.
243
Saviors-in-Waiting Disgruntled
Customers Upstart Competitors Rogue
Employees Fringe Suppliers Wayne Burkan, Wide
Angle Vision
244
Corporate consciousness is predictably centered
around the mainstream. The best customers,
biggest competitors, and model employees are
almost invariably the focus of attention. Wayne
Burkan, Wide Angle Vision Beat the Competition
by Focusing on Fringe Competitors, Lost
Customers, and Rogue Employees
245
CUSTOMERS 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
246
COMPETITORS The best swordsman in the world
doesnt need to fear the second best swordsman in
the world no, the person for him to be afraid of
is some ignorant antagonist who has never had a
sword in his hand before he doesnt do the thing
he ought to do, and so the expert isnt prepared
for him he does the thing he ought not to do and
often it catches the expert out and ends him on
the spot. Mark Twain
247
Employees Are there enough weird people in the
lab these days? V. Chmn., pharmaceutical house,
to a lab director (06.01)
248
Suppliers There is an ominous downside to
strategic supplier relationships. An SSR supplier
is not likely to function as any more than a
mirror to your organization. Fringe suppliers
that offer innovative business practices need not
apply. Wayne Burkan, Wide Angle Vision Beat
the Competition by Focusing on Fringe
Competitors, Lost Customers, and Rogue Employees
249
Enormous sums of money are invested to reduce
cycle time, improve quality, reengineer Much of
this money is simply wasted. The waste is due to
companies inability to develop wide-angle vision
and tap into the power of the edge. Wayne
Burkan, Wide Angle Vision Beat the Competition
by Focusing on Fringe Competitors, Lost
Customers, and Rogue Employees
250
Leaders know WE BECOME WHO WE HANG OUT WITH!
251
23. Leaders Make Lotsa Mistakes and MAKE NO
BONES ABOUT IT!
252
Fail faster. Succeed sooner. David Kelley/IDEO
253
24. Leaders Make BIG MISTAKES!
254
The Silicon Valley of today is built less atop
the spires of earlier triumphs than upon the
rubble of earlier debacles.Newsweek/ Paul Saffo
(03.02)
255
Create.
256
25. Leaders Know that THERES MORE TO LIFE THAN
LINE EXTENSIONS. Leaders Love to CREATE NEW
MARKETS.
257
No one ever made it into the Business Hall of
Fame on a record of line extensions.
258
26. Leaders Make Their Mark / Leaders Do
Stuff That Matters
259
I never, ever thought of myself as a
businessman. I was interested in creating things
I would be proud of. Richard Branson
260
27. Leaders Push Their Organizations W-a-y Up the
Value-added/ Intellectual Capital Chain
261
09.11.2000 HP bids 18,000,000,000 for
PricewaterhouseCoopers Consulting business!
262
28. Leaders LOVE the New Technology!
263
100 square feet
264
29. Needed? Type IV Leadership Technology
Dreamer-True Believer
265
The Golden Leadership Quadrangle (1)
Creator-Visionary (2) Talent Fanatic-Mentor-V.C.
(3) Inspired Profit Mechanic. (4) Technology
Dreamer-True Believer
266
Talent.
267
30. When It Comes to TALENT Leaders Always
Swing for the Fences!
268
Message Some people are better than other
people. Some people are a helluva lot better than
other people.
269
31. Leaders Manage Their EVP/Internal Brand
Promise.
270
MantraM3 Talent Brand
271
32. Leaders LOVE RAINBOWS for Pragmatic Reasons.
272
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
273
Passion.
274
33. Leaders Out Their PASSION!
275
G.H. Create a cause, not a business.
276
34. Leaders Know ENTHUSIASM BEGETS ENTHUSIASM!
277
BZ I am a Dispenser of Enthusiasm!
278
35. Leaders Focus on the SOFT STUFF!
279
Soft Is Hard - ISOE
280
The Job of Leading.
281
36. Leaders Know Its ALL SALES ALL THE TIME.
282
TP If you dont LOVE SALES find another life.
(Dont pretend youre a leader.) (See TPs
The Project50.)
283
37. Leaders LOVE POLITICS.
284
TP If you dont LOVE POLITICS find another
life. (Dont pretend youre a leader.)
285
38. But Leaders Also Break a Lot of China
286
39. Leaders Give RESPECT!
287
  • It was much later that I realized Dads secret.
    He gained respect by giving it. He talked and
    listened to the fourth-grade kids in Spring
    Valley who shined shoes the same way he talked
    and listened to a bishop or a college president.
    He was seriously interested in who you were and
    what you had to say.
  • Sara Lawrence-Lightfoot, Respect

288
40. Leaders Say Thank You.
289
The two most powerful things in existence a
kind word and a thoughtful gesture. Ken
Langone, CEO, Invemed Associates from Ronna
Lichtenberg, Its Not Business, Its Personal
290
41. Leaders Are Curious.
291
TP/08.2001 The Three Most Important Letters
WHY?
292
42. Leadership Is a Performance.
293
It is necessary for the President to be the
nations No. 1 actor. FDR
294
43. Leaders Are The Brand
295
The BRAND lives (OR DIES) in the minutiae of
the leaders moment-to-moment actions.
296
44. Leaders Have a GREAT STORY!
297
Leaders dont just make products and make
decisions. Leaders make meaning. John Seeley
Brown
298
You must be the change you wish to see in the
world. Gandhi
299
Introspection.
300
45. Leaders Enjoy Leading.
301
Bertelsmans Reinhard Mohn wasnt a creative
type. What got him juiced was the art of running
an organization and motivating the people who
work there. Fortune/05.27.2002
302
Warren, I know you want to be president. But
do you want to do president?
303
46. Leaders KNOW THEMSELVES.
304
Individuals (would-be leaders) cannot engage in a
liberating mutual discovery process unless they
are comfortable with their own skin. (Leaders
who are not comfortable with themselves become
petty control freaks.)
305
47. But Leaders have MENTORS.
306
The Gospel According to TP Upon having the
Leadership Mantle placed upon thine head, thou
shalt never hear the unvarnished truth again!
(Therefore, thy needs one faithful compatriot to
lay it on with no jelly.)
307
48. Leaders Take Breaks.
308
Zombie! Zombie! Zombie! Zombie!
309
The End Game.
310
49. Leaders ???
311
LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON
ROLLER BLADES
312
50. Leaders Know WHEN TO LEAVE!
313
XI. NEW BUSINESS. NEW RULES.
314
15/Bonus Toms 60TIBs TIB This I
Believe
315
1. TECHNICOLOR RULES! (Passion Moves
Mountains!) 2. Audacity Matters! 3. Revolution
Now! 4. Question Authority! ( Hire
Disrespectful People.) 5. Disorganization Wins!
(LOVE THE MESS!)
316
6. Think 3M Markets Matter Most. ONLY EXTREME
COMPETITION STAVES OFF STALENESS. (You can
take the boy out of Silicon Valley, but you cant
take Silicon Valley out of the boy!) 7. Three
Hearty Cheers for Weirdos. (Bill Gates, Steve
Jobs, Larry Ellison, Scott McNealy, Craig
Venter et al.) 8. Message 2003 Technology
Change (Info-sciences, Biosciences) Is in Its
Infancy! (WE AINT SEEN NOTHIN YET!) 9.
Everything Is Up For Grabs! Volatility Is Thy
Name! (Forever Ever. Amen.) RE-INVENT OR
DIE! 10. Big Sucks. (Mostly.) (VERY Mostly.)
317
11. Permanence Is a Snare a Delusion.
(Forget Built to Last. Its Yesterdays
Idea.) 12. Kaizen (Continuous Improvement) Is
Dangerous. 13. DESTRUCTION RULES! 14. Forget
It! (Learning Easy. Forgetting Nigh
on Impossible.) 15. Innovation Is Easy Hang Out
with Freaks. (Employees, Board Members,
Customers, Suppliers, Alliance Partners,
Consultants.)
318
16. Boring Begets Boring. (Cool Begets Cool.) 17.
Think Portfolio. (Were All V.C.s.) 18.
Perception Is All There Is. (Insiders
ALWAYS overestimate the Radicalism of
What Theyre Up To.) 19. Action ALWAYS Takes
Precedence. Think R.F!A./Ready. Fire!
Aim. (REWARD SUCCESS. REWARD FAILURE.
PUNISH INACTION.) 20. He Who Makes
Tests the Quickest Coolest Prototypes
Reigns!
319
21. Haste Makes Waste. (SO GO WASTE!) 22.
Screwups are the Mark of Excellence.
(Do It Right the First Time Is a Very Stupid
Idea.) 23. Play Hard! Play Now! (Cherish
Play!) 24. TALENT TIME! (He/She Who Has the Best
Roster Rules!) 25. Re-do Education.
Totally. (FOSTER CREATIVITY NOT
UNIFORMITY.) (THE NOISIEST CLASSROOM WINS.)
320
26. Diversitys Hour Is Now! 27. SHE Is the
Best Leader! 28. MARKETING MANTRA Embrace the
BIG THREE Demographics. (1) SHE is the
Customer. (For everything.) (2) Rapidly
Aging Boomers Have ALL THE MONEY. (3)
Green Matters. (TRILLIONS OF Are at
Stake.) (NOBODY Gets It.) (Mere
Programs Will Not Suffice.) 29. Re-boot
Healthcare. (UNDERSTATEMENT.) 30. WHAT ARE WE
SELLING? Experiences Solutions gt
Quality Satisfaction. (The
Traditional Value-added Equation Is Being Set on
Its Ear.)
321
31. DESIGN New Seat of the Soul. 32. Branding
Is for EVERYONE. He Who Has the BEST
STORY Takes Home the Marbles. 33.
DRAMATIC DIFFERENCE Only Difference. 34.
WORDS/Language Matters a Lot. (E.g.
Three Hearty Cheers for Wow!) 35. WHAT MATTERS
IS STUFF THAT MATTERS. (Query 1 Are You
Proud of It?)
322
36. eALL. (IS/IT Half-way No Way.) 37. DREAM
Big! DREAM Enormous. DREAM Gargantuan.
(These Are XXXL Times.) 38. THINK MIKE!
(Michelangelo The greatest danger for
most of us is not that our aim is too high
and we miss it, but that it is too low and
we reach it.) 39. There Is Only ONE BIG ISSUE.
Cross- functional Communication. 40. Stop
Doing Dumb Shit. (SYSTEMATIZE THE PROCESS
OF UN-DUMBING.)
323
41. Beautiful Systems Are BEAUTIFUL. 42. The
WHITE-COLLAR REVOLUTION Will Devour
Everything in Its Path. 43. Take Charge of Your
Destiny! BrandYou Moment! DISTINCT OR
EXTINCT! 44. Powerlessness Is a State of Mind!
Think King. Gandhi. DeGaulle. 45. Pursue
Adventure in Every Task.
324
46. EXCELLENCE Is a State of Mind.
(Excellence Takes a Minute.) (No Bull.) 47. SHOW
UP! (If You Care, Youre There.) 48. YOUR
CALENDAR KNOWS ALL. (You Calendar.) (Mind
Your TO DONT List.) 49. LIFE IS SALES. (The
Rest Is Details.) 50. Boss Mantra 1 I DONT
KNOW. (I Dont Know Permission to
Explore.)
325
51. Management Role 1 GET OUT OF THE WAY.
(Clear the Way.) (Manager Hurdle Removal
Professional.) 52. Epitaph from Hell He Woulda
Done Some Truly Cool Stuff But His Boss
Wouldnt Let Him. 53. Change Takes However
Long You Think It Takes. (Eschew
Incrementalism.) 54. Respect! (Rule 1 Dont
Belittle!) 55. Thank You Trumps All!
326
56. Integrity Matters! Integrity Credibility.
(Dennis K. Is a Jerk.) 57. SOFT IS HARD. HARD
IS SOFT. (Numbers Are Soft. People Are
Not.) 58. Try Sunny! (Sunny Begets Sunny.
Gloomy Begets Gloomy.) 59. DISPENSE
ENTHUSIASM! 60. FUN Is Not a 4-Letter Word. So,
too JOY. (And GRACE.)
327
Have you changed civilization today? Source HP
banner ad
328
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