Issue Y2K The Great War for Talent_ - Tom Peters.ppt

Document Sample
Issue Y2K The Great War for Talent_ - Tom Peters.ppt Powered By Docstoc
					     Tom Peters’
Re-Imagine!
Business Excellence
 in a Disruptive Age
       08.10.2003
    Slides at …


tompeters.com
It is the foremost task—
  and responsibility—
  of our generation to
     re-imagine our
   enterprises, private
   and public .—from the
    Foreword, Re-imagine
  “Uncertainty is the only
 thing to be sure of. –Anthony Muh,
 head of investment in Asia, Citigroup Asset Management


  “If you don’t like change,
     you’re going to like
irrelevance even less.” —General Eric
                Shinseki, Chief of Staff,
                      U. S. Army
   “Uncertainty
    is the only
    thing to be
  sure of.”                         —Anthony Muh, head of

investment in Asia, Citigroup Asset management (FT/03.27.2003)
“If you don’t like
  change, you’re
   going to like
 irrelevance even
less.” —General Eric Shinseki, Chief of
            Staff, U. S. Army
“Either we modernize or
we will be modernized by
the unremitting force of
the markets.” —Gerhard Schroeder
You must become an ignorant man again
And see the sun again with an ignorant eye
And see it clearly in the idea of it.

         —Wallace Stevens/“Notes Toward a Supreme Fiction”
 Sequenom/David Ewing Duncan/Wired11.02
 “Sequenom has industrialized the SNP [single
    nucleotide polymorphisms] identification
   process.” “This, I’m told, is the first time a
 healthy human has ever been screened for the
full gamut of genetic-disease markers.” “On the
  horizon: multi-disease gene kits, available at
  Wal*Mart, as easy to use as home-pregnancy
  tests.” “You can’t look at humanity separate
   from machines; we’re so intertwined we’re
 almost the same species, and the difference is
                getting smaller.”
 “Help! There’s nobody in the
 cockpit. In the future, will the
airlines no longer need pilots?”

  Grumman Global Hawk/
24 hours/ Edwards to South
         Australia
      Source: The Economist/12.21.2002
   “There will be more
 confusion in the
business world in the next
decade than in any decade in
history. And the current pace of
 change will only accelerate.”
            Steve Case
 “IT MAY SOMEDAY BE SAID THAT THE 21ST
CENTURY BEGAN ON SEPTEMBER 11, 2001. …

    “Al-Qaeda represents a new and
     profoundly dangerous kind of
organization—one that might be called
 a ‘virtual state.’ On September 11 a virtual
    state proved that modern societies are
vulnerable as never before.”—Time/09.09.2002
 “The deadliest strength of America’s new adversaries
     is their very fluidity, Defense Secretary Donald
 Rumsfeld believes. Terrorist networks, unburdened by
fixed borders, headquarters or conventional forces, are
  free to study the way this nation responds to threats
      and adapt themselves to prepare for what Mr.
      Rumsfeld is certain will be another attack. …

  “ ‘Business as usual won’t do it,’ he said. His
 answer is to develop swifter, more lethal ways
to fight. ‘Big institutions aren’t swift on their feet
  in adapting but rather ponderous and clumsy
    and slow.’ ”—The New York Times/09.04.2002
From:   Weapon v.
        Weapon

To:   Org structure v.
      Org structure
 “Our military structure
today is essentially one
    developed and
      designed by
      Napoleon.”
Admiral Bill Owens, former Vice Chairman, Joint Chiefs of Staff
 “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.
“In an era when terrorists use satellite
                         US
  phones and encrypted email,
 gatekeepers stand armed
 against them with pencils
and paperwork, and archaic
computer systems that don’t
    talk to each other.”
        Boston Globe (09.30.2001)
 “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 military’s 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/“Broadband’s New Killer App”/Business 2.0/
                                     OCT2002
   “The mechanical speed of
    combat vehicles has not
increased since Rommel’s day,
  so the difference is all in the
    operational speed, faster
  communications and faster
   decisions.” —Edward Luttwak, on the
 unprecedented pace of the move toward Baghdad
 “At Big Electronics
Show, the Buzz Is All
About Connections” —
    headline, New York Times/
01.13.2003/ Consumer Electronics
               Show
   “Our entire facility is digital. No paper, no film, no
medical records. Nothing. And it’s all integrated—from
  the lab to X-ray to records to physician order entry.
      Patients don’t have to wait for anything. The
      information from the physician’s office is in
registration and vice versa. The referring physician is
 immediately sent an email telling him his patient has
   shown up. … It’s wireless in-house. We have 800
notebook computers that are wireless. Physicians can
walk around with a computer that’s pre-programmed. If
the physician wants, we’ll go out and wire their house
    so they can sit on the couch and connect to the
    network. They can review a chart from 100 miles
     away.—David Veillette, CEO, Indiana Heart Hospital
                  (Healthleaders/12.2002)
“If early soldiers idealized Napoleon or
    Patton, network-centric warriors
  admire Wal*Mart, where point-of-sale
scanners share information on a near real-
time basis with suppliers and also produce
 data that is mined to help leaders develop
new strategic or tactical plans. Wal*Mart is
 an example of translating information into
   competitive advantage.”—Tom Stewart,
                Business 2.0
     The New Infantry Battalion/
     New York Times/12.01.2002
   “Pentagon’s Urgent Search for
  Speed.” 270 soldiers (1/3rd normal
  complement); 140 robotic off-road
 armored trucks. “Every soldier is a
sensor.” “Revolutionary capabilities.”
Find-to-hit: 45 minutes to 15 minutes
         … in just one year.
           Eric’s Army

Flat.
Fast.
Agile.
Adaptable.
Light … But Lethal.
Talent/ “I Am an Army of One.”
Info-intense.
Network-centric.
“Float like a
  butterfly.
Sting like a
   bee.” —Ali
“We must not only transform our armed forces
but the Defense Department that serves them—
   by encouraging a culture of creativity and
intelligent risktaking. We must promote a more
entrepreneurial approach: one that encourages
  people to be proactive, not reactive, and to
  behave less like bureaucrats and more like
 venture capitalists; one that does not wait for
threats to emerge and be ‘validated,’ but rather
    anticipates them before they appear and
develops new capabilities to dissuade them and
 deter them.” —Donald Rumsfeld, Foreign Affairs
               I Believe …

1. Change will accelerate. DRAMATICALLY.
2. We will RE-INVENT THE WORLD IN THE
   NEXT TWO GENERATIONS. (Business …
  Health Care … Politics … War …
  Education … Fundamentals of Human
  Interaction.)
3. OPPORTUNITIES are matchless.
4. You are either … ON THE BUS …
   or … OFF THE BUS.
5. I WANT TO PLAY! AND YOU?
“How we feel about the evolving future tells us who we
 are as individuals and as a civilization: Do we search
  for stasis—a regulated, engineered world? Or do we
   embrace dynamism—a world of constant creation,
 discovery and competition? Do we value stability and
   control or evolution and learning? Do we think that
 progress requires a central blueprint, or do we see it
as a decentralized, evolutionary process?? Do we see
  mistakes as permanent disasters, or the correctable
      byproducts of experimentation? Do we crave
    predictability or relish surprise? These two poles,
stasis and dynamism, increasingly define our political,
  intellectual and cultural landscape.” —Virginia Postrel,
                The Future and Its Enemies
Successful Businesses’ Dozen Truths: TP’s 30-Year Perspective

1. Insanely Great & Quirky Talent.
2. Disrespect for Tradition.
3. Totally Passionate (to the Point of Irrationality) Belief in What
   We Are Here to Do.
4. Utter Disbelief at the Bullshit that Marks “Normal Industry Behavior.”
5. A Maniacal Bias for Execution … and Utter Contempt
   for Those Who Don’t “Get It.”
6. Speed Demons.
7. Up or Out. (Meritocracy Is Thy Name. Sycophancy Is Thy Scourge.)
8. Passionate Hatred of Bureaucracy.
9. Willingness to Lead the Customer … and Take the Heat Associated
   Therewith. (Mantra: Satan Invented Focus Groups to Derail True
   Believers.)
10. “Reward Excellent Failures. Punish Mediocre Successes.”
11. Courage to Stand Alone on One’s Record of Accomplishment
    Against All the Forces of Conventional Wisdom.
12. A Crystal Clear Understanding of Brand Power.
  I. NEW
BUSINESS.
   NEW
CONTEXT.
1.All Bets
  Are Off.
          <1000A.D.: paradigm shift: 1000s of years
             1000: 100 years for paradigm shift
                  1800s: > prior 900 years
                 1900s: 1st 20 years > 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
   Vernor Vinge/Mr. Singularity
“The transition time from human
history to post-human singularity
    time, Vinge thinks, will be
astonishingly short—maybe one
   hundred hours from the first
    moment of computer self-
  awareness to computer world
  conquest.”—Esquire/12.2002
  “We are at a pivotal point in
  history. … We are at one of a
 half dozen turning points that
  have fundamentally changed
the way societies are organized
for governance.” —Philip Bobbitt, The Shield
    of Achilles: War, Peace, and the Course of History
  “There’s going to be a
fundamental change in the
  global economy unlike
anything we have had since
the cavemen began bartering.”
    Arnold Baker, Chief Economist,
     Sandia National Laboratories
    “In 25 years, you’ll
probably be able to get the
  sum total of all human
 knowledge on a personal
         device.”
 Greg Blonder, VC [was Chief Technical
 Adviser for Corporate Strategy @ AT&T]
          [Barron’s 11.13.2000]
“I genuinely believe we
 are living through the
  greatest intellectual
  moment in history.”
     Matt Ridley, Genome
 “We are in a
brawl with no
   rules.”
   Paul Allaire
“Strategy meetings held once
or twice a year” to “Strategy
meetings needed several
     times a week”
  Source: New York Times on Meg Whitman/eBay
  2. The
Destruction
Imperative.
“It is generally much
    easier to kill an
  organization than
       change it
    substantially.”
     Kevin Kelly, Out of Control
C.E.O.
  to


C.D.O.
 “Wealth in this new regime flows
   directly from innovation, not
optimization. That is, wealth is not
 gained by perfecting the known,
  but by imperfectly seizing the
             unknown.”
Kevin Kelly, New Rules for the New Economy
“Analysts said we don’t care about revenue,
 just give us the bottom line. They preferred
 cost cutting, as long as they could see 2 or
  3 years of EPS growth. I preached revenue
   and the analysts’ eyes would glaze over.
   Now revenue is ‘in’ because so many got
   caught, and earnings went to hell. They
said, ‘Oh my gosh, you need revenues
      to grow earnings over time.’
              Well, Duh!”
Dick Kovacevich, Wells Fargo (in ABA Banking Journal)
   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.
S&P 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
    “Mr. Foster and his McKinsey
    colleagues collected detailed
performance data stretching back 40
years for 1,000 U.S. companies. They
  found that none of the long-term
survivors managed to outperform the
market. Worse, the longer companies
 had been in the database, the worse
   they did.”—Financial Times/11.28.2002
         Survivors
“It’s just a fact:

   underperform.”
           —Dick Foster
          Rate of Leaving F500




    1970-1990:

 Source: The Company, John Micklethwait & Adrian
Wooldridge (1974-200: One-half biggest 100 disappear)
   “Far from being a
   source of comfort,
bigness became a code
  for inflexibility.”                    —John
  Micklethwait & Adrian Wooldridge, The Company
 “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
new 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 Innovator’s Dilemma
      Forget>“Learn”
“The problem is never how
   to get new, innovative
 thoughts into your mind,
but how to get the old
     ones out.”
        Dee Hock
        Success Kills!

“The more successful a
company, the flatter its
   forgetting curve.”
    — Gary Hamel and C.K. Prahalad
“When asked to name just one big merger
 that had lived up to expectations, Leon
   Cooperman, former cochairman of
   Goldman Sachs’ Investment Policy
                   I’m sure
   Committee, answered:
  there are success stories
    out there, but at this
   moment I draw a blank.”
      Mark Sirower, The Synergy Trap
“Conglomerates
don’t work” —James
Surowiecki, The New Yorker (07.01,2002)
“MERGERS: Why Most Big
  Deals Don’t Pay Off. A
 BusinessWeek analysis
shows that 61% of buyers
  destroyed shareholder
  wealth.” —BusinessWeek/10.14.2002
     Market Share, Anyone?

— 240 industries; Market-share leader
 is ROA leader 29% of the time
— profit / ROA leaders: “aggressively
 weed out customers who generate
 low returns”
Source: Donald V. Potter, Wall Street Journal (15 June 1998)
“Acquisitions are about
buying market share.
Our challenge is to
create markets. There
is a big difference.”
      Peter Job, CEO, Reuters
“Active mutators in placid
times tend to die off. They
   are selected against.
   Reluctant mutators in
quickly changing times are
  also selected against.”
     Carl Sagan & Ann Druyan,
   Shadows of Forgotten Ancestors
           “Survival of the Fittest Not the Fattest”/John Kay/FT03.27.2003

 “I have heard it from people who make pharmaceuticals and from people who make
defense equipment. From executives in utilities and executives in advertising. Among
    banks and law firms. .. They all expect their industry to develop the way the car
   industry has. In an increasingly globalized marketplace, maturing industries will
   become steadily more concentrated. Only a small number of big companies will
                                        survive.
“There is one problem with these analogies. What is said about the motor industry is
   not true.The peak of concentration in the automobile industry was reached in the
early 1950s and since then there has been a substantial decline. However you look at
 it, small carmakers have been steadily gaining market share at the expense of large
 ones. Back in the 1960s, the 10 largest carmakers had a market share of 85 percent;
 today it is about 75 percent. Concentration has fallen, even though weak firms have
                      been repeatedly absorbed through mergers.
“As markets evolve, differentiation becomes steadily more important. Success in the
   motor industry comes not from size or scale, but from developing competitive
advantages in operations and marketing those advantages internationally. The same
     is true in pharmaceuticals and defense equipment, utilities and banking,
                          telecommunications and media.”
                Lessons from the Bees!
“Since merger mania is now the rage, what lessons can
  the bees teach us? A simple one: Merging is not in
nature. [Nature’s] process is the exact opposite: one of
    growth, fragmentation and dispersal. There is no
   megalomania, no merging for merging’s sake. The
point is that unlike corporations, which just get bigger,
 bee colonies know when the time has come to split up
   into smaller colonies which can grow value faster.
   What the bees are telling us is that the
   corporate world has got it all wrong.”
   David Lascelles, Co-director of The Centre for the
          Study of Financial Innovation [UK]
“The Industrial Revolution was about scale: vast
   factory complexes, skyscrapers and railway
grids concentrating power in the hands of rulers
 of large territories: not only responsible rulers
  such as Bismarck and Disraeli, but Hitler and
   Stalin too. But the post-Industrial Revolution
 empowers any one with a cellular phone and a
bag of explosives. America’s military superiority
  guarantees that such new adversaries will not
 fight according to our notions of fairness: they
 will come at us by surprise, asymmetrically, at
 our weakest points.” —Robert Kaplan, Warrior Politics
                   TP on Acquisitions

1. Big + Big = Disaster. (Statistically.)
   (There are exceptions; e.g., Citigroup.)
2. Big (GE, Cisco, Omnicom) acquires small/specialist = Good
    … if you can retain Top Talent.
3. Odds on achieving “projected synergies” among Mixed
   Big “cultures”: 10%.
4. Max Scale Advantages are achieved at a smaller size than
   imagined.
5. Attacked by Big, Mediocre Medium marries Mediocre
   Medium to “bulk up.” Result: Big Mediocrity … or worse.
6. Any size—if Great & Focused—can win, locally or globally.
7. Increasingly, Alliances deliver more value than mergers
   —and clearly abet flexibility.
           A Baker’s Dozen Merger Messages: Private Sector & DHS/BTSD

1. Attitude Rules: Opportunity or Pain in …
2. Unique time for Deep Re-assessment. (WE MUST RE-INVENT THE
   ESSENTIAL IDEA OF HOMELAND SECURITY.)
3. THIS SORT OF THING ONLY HAPPENS ONCE EVERY SEVERAL
   DECADES! (I.E.: Don’t blow the Main Chance!)
4. Avoid getting totally caught up in (necessary) details. (KEEP YOUR EYE
   ON THE B-I-G OPPORTUNITY.)
5. Let’s assume you only hold this job for the next few months. MAKE A
   DAMN DIFFERENCE EVERY DAMN DAY.
6. What happens in the next few months is the principal basis by which your
   entire professional career will be judged.
7. How well (IMAGINATIVELY!!!) you do this matters to 280,000,000 Americans.
8. Every morning, say quietly to yourself, “GROW UP.” Forget Age Old Turf
   Disputes. (TURF WARFARE IS OSAMA’s-TERRORISM’s NO. 1 OPPORTUNITY.)
9. Inclusiveness matters. Be incredibly careful about Respect & Involvement.
10. Score some Quick Wins. (Rudy’s Rule.) Needed: New Behaviors. Focus
    on the Positives. (Bob’s Rule.)
11. BE INSANELY LAVISH IN PRAISE OF SMALL ACTS OF COOPERATION. (Be
    publicly brutal to the smallest act of turf warfare.)
12. “GOOD” DECISIONS MADE TODAY BEAT “GREAT” DECISIONS DELAYED FOR
    MONTHS. MOMENTUM & MORALE MATTER. DELAY = CANCER.
13. VISIBILITY RULES!
 The [New] Ge Way



DYB.com
  Top-performing Companies

 “Extremely contentious
   boards that regard
dissent as an obligation
and that treat no subject
 as undiscussable.” —Jeffrey
    Sonnenfeld, Yale School of Management
  “Change the
  rules before
 somebody else
does.”
     —Ralph Seferian, VP, Oracle
     “Most of our
predictions are based
on very linear thinking.
 That’s why they will
most likely be wrong.”
Vinod Khosla, in “GIGATRENDS,” Wired 04.01
The Gales of Creative Destruction


+29M = -44M + 73M

  +4M = +4M - 0M
   “The secret of fast
       progress is
inefficiency, fast and
 furious and numerous
        failures.”
       Kevin Kelly
 RM: “A lot of companies in the
          Valley fail.”
  RN: “Maybe not enough fail.”
RM: “What do you mean by that?”
RN: “Whenever you fail, it means
   you’re trying new things.”

       Source: Fast Company
   “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)
“... natural selection is death. ... Without
huge amounts of death, organisms do not
change over time. ... Death is the mother of
structure. ... It took four billion years of
death ... To invent the human mind ...”
              — The Cobra Event
   Silicon Valley Success
      [Failure?] Secrets

“Pursuit of risk”: 4 of 20 in V.C.
portfolio go bust; 6 lose money;
     6 do okay; 3 do well;
     1 hits the jackpot
       Source: The Economist
  Axiom (Hypothesis): We have
been screwed by Benchmarking
 … Best Practice … C.I./Kaizen.
  Axiom (Hypothesis): We need
  Masters of Discontinuity/
  Masters of Ambiguity … in
  discontinuous/ambiguous
            times.
“Organize” for …
performance & customer
satisfaction.


“Disorganize” for …
renewal & innovation.
   “Rose gardeners face a choice every spring: how to prune our roses. The
long-term fate of a rose garden depends on this decision. If you want to have
    the largest and most glorious roses of the neighborhood, you will prune
    hard. You will reduce each rose plant to a maximum of three stems. This
 represents a policy of low tolerance and tight control. You force the plant to
  make the maximum use of its available resources, by putting them into the
    the rose’s ‘core business.’ However, if this is an unlucky year [late frost,
  deer, green-fly invasion], you may lose the main stems or the whole plant!
Pruning hard is a dangerous policy in an unpredictable environment. Thus, if
   you are in a spot where you know nature may play tricks on you, you may
   opt for a policy of high tolerance. You will leave more stems on the plant.
     You will never have the biggest roses, but you have a much-enhanced
chance of having roses every year. You will achieve a gradual renewal of the
  plant. In short, tolerant pruning achieves two ends: (1) It makes it easier to
  cope with unexpected environmental changes. (2) It leads to a continuous
      restructuring of the plant. The policy of tolerance admittedly wastes
  resources—the extra buds drain away nutrients from the main stem. But in
     an unpredictable environment, this policy of tolerance makes the rose
   healthier. Tolerance of internal weakness, ironically, allows the rose to be
         stronger in the long run.”—Arie De Geus, The Living Company
             Japan’s Science Gap *
 Rice farming culture: uniqueness suppressed.
  Gov’t 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
 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.”
  “The Word(s)” on Vitality:
        Gary Hamel

  “Sell By” [jettison old crap]
Spin Out [support entrepreneurs]
   Spin In [buy young firms]
   No Wiggle Room!

“Incrementalism
 is innovation’s
 worst enemy.”
     Nicholas Negroponte
          Just Say No …

 “I don’t intend to be
known as the ‘King of
    the Tinkerers.’ ”
  CEO, large financial services company
             (New York, 5-99)
 “The rules of the marketplace may be
  cruel, but they have taught us three
   valuable lessons. If we rest on our
laurels, we will wither. If we stop being
bold, we will rot. If we don’t take leaps
of faith, we cannot lead.”— J.B. Martin, UCSF
   Source: Susan Gould, Kerry Weiner, Barbara Levin, Free Agents
 Jim & Tom.
Joined at the
hip.   Not.
     Huh?
“Quiet, workmanlike, stoic
leaders bring about the big
  transformations.”—JC
                         Pastels?
    T. Paine/P. Henry/A. Hamilton/T. Jefferson/B. Franklin
            A. Lincoln/U. S. Grant/W. T. Sherman
                     TR/FDR/LBJ/RR/JFK
                          M.L. King
                         C. de Gaulle
                          M. Gandhi
                         W. Churchill
                         M. Thatcher
                           Picasso
                            Mozart
                 Copernicus/Newton/Einstein
 J. Welch/L. Gerstner/L. Ellison/B. Gates/S. Ballmer/S. Jobs/
                         S. McNealy
A. Carnegie/J. P. Morgan/H. Ford/J.D. Rockefeller/T. A. Edison
  Herman Melville on JPJ:
   “intrepid, unprincipled,
  reckless, predatory, with
     boundless ambition,
 civilized in externals but a
  savage at heart.” —from Evan
Thomas, John Paul Jones: Sailor, Hero, Father
           of the American Navy
Audie Murphy was the most
 decorated soldier in WW2.
He won every medal we had
to offer, plus 5 presented by
 Belgium and France. There
 was one common medal he
         never won …
 … the Good
Conduct medal.
“Men with no vices
  have very few
  virtues.” —A. Lincoln
“Whenever anything is being done, I have learned,
it is being done by a monomaniac with a mission.”

               — Peter Drucker

“What set Edison apart was that, with all his
boundless exaggeration, he conveyed the feeling
that he would succeed. No matter what the
obstacles, he would pound away until they were
demolished.”

                — Robert Conot, biographer
“A really new idea at first has only one believer.”

      — John Masters, wildcatter, Canadian Hunter

“The reasonable man adapts himself to the world;
the unreasonable one persists in trying to adapt
the world to himself. Therefore all progress
depends on the unreasonable man.”

      — George Bernard Shaw
“All great truths begin as
      blasphemies.”
       — George Bernard Shaw
 Jim Collins vs. Michael Maccoby

    “quiet, workmanlike, stoic”
                 vs.


“larger-than-life leaders”/ “egoists,
   charmers, risk-takers with big
  visions”: Carnegie, Rockefeller,
 Edison, Ford, Welch, Jobs, Gates
“But what if [former head of strategic planning
at Royal Dutch Shell] Arie De Geus is wrong in
suggesting, in The Living Company, that firms
   should aspire to live forever? Greatness is
  fleeting and, for corporations, it will become
     ever more fleeting. The ultimate aim of a
business organization, an artist, an athlete or a
stockbroker may be to explode in a dramatic
  frenzy of value creation during a short
  space of time, rather than to live forever.”
      Kjell Nordström and Jonas Ridderstråle,
                   Funky Business
     Built to Last v. Built to Flip
“The problem with Built to Last is that it’s a
  romantic notion. Large companies are
   incapable of ongoing innovation, of
           ongoing flexibility.”
 “Increasingly, 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)
           “The Futility of Size …

“Virtualization is the recognition
   that territorial size does not
 solve economic problems. …
Economic access must become
  the substitute for increasing
              domain.”
    Richard Rosecrance, The Rise of the Virtual State
“In Italy for 30 years under the Borgias
   they had warfare, terror, murder,
       bloodshed—and produced
     Michelangelo, da Vinci and the
 Renaissance. In Switzerland they had
brotherly love, 500 years of democracy
      and peace, and what did they
      produce—the cuckoo clock.”
  Orson Welles, as Harry Lime, in “The Third Man”
Warren Bennis & Patricia Ward Biederman/


        Great
  Organizing Genius:


 Groups Don’t
Last Very Long!
   W.A. Mozart
    1756 – 1791

HE CHANGED THE WORLD
        AND
 ENRICHED HUMANITY
“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)
  “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 flourish—and 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 apocalypse—the transition from a state
of continuity to state of discontinuity—Has the same
 suddenness [as the trauma that beset civilization in
                      1000 A.D.]”
 Richard Foster & Sarah Kaplan, “Creative Destruction” (The McKinsey Quarterly)
  The Three Levels of Innovation

     Transformational
            Substantial
           Incremental
Source: Dick Foster, Business 2.0 (05.01) Note:
Each level requires totally different processes!
     Jane Jacobs:   Exuberant
Variety vs. the Great Blight of Dullness.
  F.A. Hayek: Spontaneous

  Discovery Process.
 Joseph Schumpeter: the Gales of

 Creative Destruction.
                AGAINST
 Eglin Flag: “100%
       ZERO DEFECTS”
  “General, if you’re not having
accidents, your training program is
not what it should be. … You need
       to kill some pilots.”

     BOYD: The Fighter Pilot Who Changed
        the Art of War (Robert Coram)
 “Perfection is achieved only
by institutions on the point of
           collapse.”
        — C. Northcote Parkinson
     OODA Loop/Boyd Cycle
  “Unraveling the competition”/ Quick
  Transients/ Quick Tempo (NOT JUST
     SPEED!)/ Agility/ “So quick it is
disconcerting” (adversary over-reacts or
under-reacts)/ “Winners used tactics that
 caused the enemy to unravel before the
    fight” (NEVER HEAD TO HEAD)
       BOYD: The Fighter Pilot Who Changed
          the Art of War (Robert Coram)
     “Fast Transients”
“Buttonhook turn” (YF16:
“could flick from one maneuver to
 another faster than any aircraft”)

   BOYD: The Fighter Pilot Who Changed
      the Art of War (Robert Coram)
“Blitzkrieg is far more than lightning
  thrusts that most people think of
when they hear the term; rather it was
 all about high operational tempo
      and the rapid exploitation of
 opportunity.”/ “Arrange the mind of
     the enemy.”—T.E. Lawrence/
  “Float like a butterfly, sting like a
               bee.”—Ali
       BOYD: The Fighter Pilot Who Changed
          the Art of War (Robert Coram)
           F86 vs. MiG/Korea/10:1
  Bubble canopy (360 degree view)
   Full hydraulic controls (“The F86
driver could go from one maneuver to
 another faster than the MiG driver”)
MiG: “faster in raw acceleration and
 turning ability”; F86: “quicker in
       changing maneuvers”
 BOYD: The Fighter Pilot Who Changed the Art of War (Robert Coram)
“Maneuverists”
    BOYD: The Fighter Pilot Who
Changed the Art of War (Robert Coram)
  II. NEW
BUSINESS.
NEW TECH.
  3. The White
Collar Revolution
 & the Death of
 Bureaucracy.
108 X 5
         vs.



8X1
 = 540 vs. 8 (-98.5%)
   “The coefficient of
friction associated with
the grunge of business
       is amazing!”
      Michael Schrage
“A bureaucrat is an
    expensive
    microchip.”
  Dan Sullivan, consultant and
       executive coach
     IBM’s Project

   eLiza!*
* “Self-bootstrapping”/ “Artilects”
“Don’t own nothin’
 if you can help it.
  If you can, even
  rent your shoes.”
        F.G.
   “Organizations will still be
critically important in the world,
     but as ‘organizers,’ not
     ‘employers’!” — Charles Handy
    “The virtual corporation is
 research, development, design,
 marketing, financing, legal, and
other headquarters functions wth
     few or no manufacturing
capabilities – a company with
   a head but no body.”
 Richard Rosecrance, The Rise of the
            Virtual State
Ford: “Vehicle                             brand
owner” (“design, engineer, and
  market, but not actually make”)

  Source: The Company, John Micklethwait & Adrian Wooldridge
   “UPS used to be a
trucking company with
technology. Now it’s a
 technology company
with trucks.”          —Forbes, upon naming UPS
     “Company of the Year” in Y2000
                    EKGs
Deep Blue Redux*: 2,240
 … 1,120 heart attacks.
Hans Öhlin          (50 yr old chief of coronary care, Univ of


           : 620.
         Lund/SW)


   Lars Edenbrandt’s
     software: 738.
          *Only this time it matters!
      “Most physicians believe that
diagnosis can’t be reduced to a set of
 generalizations—to a ‘cookbook.’ …
 How often does my intuition lead me
astray? The radical implication of the
        Swedish study is that the
individualized, intuitive approach that
lies at the center of modern medicine
  is flawed—it causes more mistakes
 than it prevents.” —Atul Gawande, Complications
 Probable parole violations: Simple model
(age, # of previous offenses, type of crime)
             beats M.D. shrinks.

100 studies: Statistical formulas > Human
          “In virtually all
    judgment.
 cases, statistical thinking
   equaled or surpassed
human judgment.”—Atul Gawande,
                Complications
“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
   Vernor Vinge/Mr. Singularity
“The transition time from human
history to post-human singularity
    time, Vinge thinks, will be
astonishingly short—maybe one
   hundred hours from the first
    moment of computer self-
  awareness to computer world
  conquest.”—Esquire/12.2002
    N.W.O./Holy Moly:
Unemployment up 2%
 … real wage growth
 highest since 60s …
productivity soaring.
      Source: BW/02.11.2002
                E.g. …

Jeff Immelt: 75% of “admin, back
 room, finance” “digitalized” in




                    years.

         Source: BW (01.28.02)
       BW Cover/02.2003

 “IS YOUR JOB NEXT? A
New Round of GLOBALIZATION Is
 Sending Upscale Jobs Offshore.
 They Include Chip Design, Basic
    Research—even Financial
Analysis. Can America Lose These
    Jobs and Still Prosper?”
      Everybody’s Doin’ It!
     “The leading Indian
outsourcers reckon that the
    key to their long-term
 prosperity is bagging ever
  larger deals and moving
  ever higher up the value
   chain.” —The Economist/01.11.2003
  “GE is a champion of India’s scientists,
    technicians, business analysts and
  graduates, thousands of whom work at
 the U.S. conglomerate’s offshore service
  centers in India. They are the low-cost,
     high capability vanguard of GE’s
  outsourcing to India. Along the way, GE
    has transformed its cost structure,
enhanced its ability to provide technology
services and incubated a rare world-class
       industry in India.” —FT/06.03.03
 4. IS/ IT/
Web … “On the
Bus” or “Off the
    Bus.”
       2.5G, 3G, 4G
         Windows
         Symbian
           Java
        Bluetooth
          Wi-Fi
 PCs-PDAs-Cell“phones”
E-business vs. M-business
           Etc.
Outsider’s view: (1) Billions are
  being spent, even in a down
market. (2) NOBODY HAS A
  CLUE AS TO WHO THE
WINNERS—AND LOSERS—
WILL BE. (3) Yet you must play.
        Now. Hard. Fast.
square feet
         Dell’s OptiPlex Facility
       Big Job: 6   to 8 hours.
               (80,000 per day)




Parts Inventory:

            square feet.
   “Our entire facility is digital. No paper, no film, no
medical records. Nothing. And it’s all integrated—from
  the lab to X-ray to records to physician order entry.
      Patients don’t have to wait for anything. The
      information from the physician’s office is in
registration and vice versa. The referring physician is
 immediately sent an email telling him his patient has
   shown up. … It’s wireless in-house. We have 800
notebook computers that are wireless. Physicians can
walk around with a computer that’s pre-programmed. If
the physician wants, we’ll go out and wire their house
    so they can sit on the couch and connect to the
    network. They can review a chart from 100 miles
     away.—David Veillette, CEO, Indiana Heart Hospital
                  (Healthleaders/12.2002)
The Real “News”: X1,000,000


TowTruckNet.com
   Impact No. 1/ Logistics &
          Wal*Mart …
Distribution:
Dell … Amazon.com …
  Autobytel.com …
FedEx … UPS … Ryder
… Cisco … Etc. … Etc.
    … Ad Infinitum.
Autobytel:$400.
Wal*Mart: 13%.

     Source: BW(05.13.2002)
“If early soldiers idealized Napoleon or
    Patton, network-centric warriors
  admire Wal*Mart, where point-of-sale
scanners share information on a near real-
time basis with suppliers and also produce
 data that is mined to help leaders develop
new strategic or tactical plans. Wal*Mart is
 an example of translating information into
   competitive advantage.”—Tom Stewart,
                Business 2.0
    Supply-chain
From:

   Optimization
 To:Design-chain
   Optimization
   Source: Cadence Design Systems
 “At Big Electronics
Show, the Buzz Is All
About Connections” —
    headline, New York Times/
01.13.2003/ Consumer Electronics
               Show
NTT/DoCoMo/i-motion/“remote control
  for your life”/“If Tokyo and DoCoMo
   are the first capitals of the wireless
 Internet industry, Helsinki and Nokia
 have been the wellsprings of mobile
telephony—Finland leads the world in
both Internet connections and mobile
           phones per capita.”
     Source: Howard Rheingold/Smart Mobs
     m-“On” or Out of the Loop
    “Managers in Finland always keep
   their phones on. Customers expect
fast reactions. And if you can’t reach a
  superior, you make many decisions
     yourself—managers who want to
  influence decisions of subordinates
 must keep their phones open.” —Risto
Linturi, Finnish m-guru, in Howard Rheingold’s Smart
                         Mobs
                WebWorld = Everything
     Web as a way to run your business’s innards
Web as connector for your entire supply-demand chain
Web as “spider’s 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 World’s Best at Everything
                 as next door neighbor
       Jargon Bath!
    Bureaucracy free …
 Systemically integrated …
     Internet intense …
    Knowledge based …
 Time and location free …
 “Instantly” responsive …
    Customer centric …
Mass customization enabled.
              Translation …
    Bureaucracy free = Flat org, no B.S.
Systemically integrated = Whole supply chain
         tightly wired/ friction-free
   Internet intense = Do it all via the Web
      Knowledge based = Open access
Time and location free = Whenever, wherever
  “Instantly” responsive = Speed demons
Customer centric = Customer calls the shots
Mass customization enabled = Every product
    and service rapidly tailored to client
                requirements
Message: eCommerce   is not a
  technology play! It is a
 relationship, partnership,
     organizational and
communications play, made
      possible by new
        technologies.
 Message: There   is no such
thing as an effective B2B or
   Internet-supply chain
   strategy in a low-trust,
        bottlenecked-
 communication, six-layer
        organization.
“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
Read It Closely: “We     don’t sell

           We
insurance anymore.

 sell speed.”
       Peter Lewis, Progressive
     The New Infantry Battalion/
     New York Times/12.01.2002
   “Pentagon’s Urgent Search for
  Speed.” 270 soldiers (1/3rd normal
  complement); 140 robotic off-road
 armored trucks. “Every soldier is a
sensor.” “Revolutionary capabilities.”
Find-to-hit: 45 minutes to 15 minutes
         … in just one year.
  “There’s no use trying,” said Alice.
“One can’t believe impossible things.”
   “I daresay you haven’t had much
practice,” said the Queen. “When I was
  your age, I always did it for half an
  hour a day. Why, sometimes I’ve
believed as many as six impossible
     things before breakfast.”
              Lewis Carroll
     I’net …

… allows you to
 dream dreams
you could never
 have dreamed
    before!
“Don’t rebuild.
 Reimagine.”
The New York Times Magazine on the future of
the WTC space in Lower Manhattan/09.08.2002
“Suppose—just suppose—that the Web is a new world
  we’re just beginning to inhabit. We’re like the earlier
  European settlers in the United States, living on the
edge of the forest. We don’t know what’s there and we
don’t 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 doesn’t hold
   here, and uncommon sense hasn’t yet emerged.”
          David Weinberger, Small Pieces Loosely Joined
“Hyperlinks subvert
   hierarchy!”
  The Cluetrain Manifesto
      [ Words to Live By …
     “Hierarchy is an
 organization with its face
toward the CEO and its ass
  toward the customer.”
   Kjell Nordström and Jonas Ridderstråle,
               Funky Business]
Case:   CRM
Anne Busquet/ American Express
  Not: “Age of the Internet”

       “Age of
      Is:

      Customer
      Control”
       Amen!


“The Age of the
Never Satisfied
  Customer”
    Regis McKenna
“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
  “Parents, doctors, stockbrokers,
 even military leaders are starting to
  lose the authority they once had.
There are all these roles premised on
 access to privileged information. …
What we are witnessing is a
collapse of that advantage,
 prestige and authority.”
          Michael Lewis, next
“A seismic shift is underway in
    healthcare. The Internet is
 delivering vast knowledge and new
choices to consumers—raising their
  expectations and, in many cases,
     handing them the controls.
[Healthcare] consumers are driving
   radical, fundamental change.”
   Deloitte Research, “Winning the Loyalty
          of the eHealth Consumer”
 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
       Psych 101:
Strongest Force on Earth?

My need to be in
perceived control
 of my universe!
“CRM has, almost
universally, failed
   to live up to
 expectations.”
     Butler Group (UK)
No! No! No! FT: “The aim [of
CRM] is to make customers
 feel as they did in the pre-
electronic age when service
    was more personal.”
Rebuttal: (1) Service sucked in the
“pre-electronic” age. (2) NewGen
 believes in the screen! (So do I.)
     One Person’s Opinion
 TP to reporter:   “Service is
MUCH better! Would you go
 back to bank tellers and phone
operators? Value that I place on
  a “smile”: 3 on a scale of 10.
 Value I place on fast & accurate
“digital” response: 11 on a scale
              of 10!!
  CGE&Y (Paul Cole): “Pleasant
Transaction” vs.“Systemic
Opportunity.” “Better job
of what we do today” vs. “Re-
      think overall
enterprise strategy.”
Here We Go Again: Except It’s Real This Time!

  Bank online: 24.3M (10.2002); 2X Y2000.

   Wells Fargo: 1/3rd; 3.3M; 50%
                            lower
attrition rate; 50% higher growth in
balances than off-line; more likely to
 cross-purchase; “happier and stay
     with the bank much longer.”

         Source: The Wall Street Journal/10.21.2002
Richard Rosecrance, The
Rise of the Virtual State:
Wealth and Power in the
    Coming Century
          “The Futility of Size …
     “[Regarding this issue] the new
  process of virtualization fully exerts
 itself. Virtualization is the recognition
    that territorial size does not solve
   economic problems. … Economic
access must become the substitute for
            economic domain.”
           Richard Rosecrance,
        The Rise of the Virtual State
 TP: Skill at creating,
exploiting, and exiting
crucial alliances beats
  ownership of fixed
        assets.
    What’s the Common Denominator?

    The Dutch … the British … the
Rothschilds … Cargill … Sumitomo …
  the KGB … the CIA … Mossad …
  Enron … Wal*Mart … McKinsey …
FedEx … UPS … Mr. Speaker … Henry
Kissinger … Executive secretaries …
   the Corner Grocer … Women-in-
              general?
Masters of information acquisition,
manipulation, dissemination, and
            utilization.
          Networkmeisters.
                 Agile.
              Temporary.
         Virtual is thy name.

Motto: Applied information is power/wealth.
   III. NEW
BUSINESS. NEW
    VALUE
 PROPOSITION.
 5. The “PSF
  Solution”:
 The Professional
Service Firm Model.
     “ Daddy,
  Sarah:
what do you do?”
Daddy:“I’m a ‘cost
     center.’ ”
So what will be the
  Basic Building
   Block of the
    New Org?
 Every job done
in W.C.W. is also
 done “outside”
  …for profit!
          Answer: PSF!
   [Professional Service Firm]

    Department Head
             to …

Managing Partner,
  HR [IS, etc.] Inc.
TP to NAPM:   You are the …

   Rock Stars
     of the
    B2B Age!
Message: You are
  Re-invention
  Evangelists!
TP to HRMAC:   You are the …

   Rock Stars
  of the Age of
     Talent!
DD$21M
  Talent
Department
        “P.S.F.”: Summary
         H.V.A. Projects (100%)
            Pioneer Clients
        WOW Work (see below)
        Hot “Talent” (see below)
       “Adventurous” “culture”
Proprietary Point of View (Methodology)
W.W.P.F. (100%)/Outside Clients (25%++)
              When: Now!
     BMW’s
Designworks/USA:
>50% from outside
      work
G.M. = The Recruitment and
Development of Top Talent.
        [Period!]
 V.C. = Bets on “Talent.”
Bets on Projects. [Period!]
Dept. Head I = Sports G.M.

   Dept. Head II = V.C.
eHR*/PCC**
      *All HR on the Web
**Productivity Consulting Center

Source: E-HR: A Walk through a 21st Century HR
      Department, John Sullivan, IHRIM
Is There a There There: The Ericsson Case
1. 50+% Mfg to Solectron/Flextronics
2. Substantial R&D to India
3. Division for licensing technology
4. JV with Sony on “crown jewel” handsets
5. Net: “a wireless specialist that
depends on services more than
manufacturing, on knowledge more
than metal”
            Source: BW/11.04.02
Model PSF …
(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!
  “Typically in a mortgage company or
    financial services company, ‘risk
management’ is an overhead, not a revenue
 center. We’ve 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)
  What Do I “Do” First?


One Minute
Excellence!*
       *Thomas Watson
  Culture Change is not “Corporate.”
 Culture Change is not a “Program.”
Culture Change does not take “Years.”
Culture Change does not start “Today.”
 Culture Change starts Right   Now!
           Culture Change
      Lives in the Moment!
          Culture Change is
     Entirely in Your Hands!
6. The Heart of the Value
   Added Revolution:
PSFs Unbound/ The
    “Solutions
   Imperative.”
Base Case: The
Sameness Trap
“Companies have defined
 so much ‘best practice’
that they are now more or
      less identical.”
 Jesper Kunde, Unique now ... or never
“While everything may
        it is also
be better,
   increasingly
    the same.”
 Paul Goldberger on retail, “The Sameness of Things,”
                 The New York Times
“When we did it
 ‘right’ it was
   still pretty
  ordinary.”
 Barry Gibbons on   “Nightmare No. 1”
 “When McDonald’s first started
 exporting its formula of quality,
 cleanliness and service, it was
something of a novelty. … These
  days, quality, cleanliness and
service are a given—and people
are becoming more interested in
what they are eating.” —FT/12.21.2002
“Nobody brags about
      going to
  McDonald’s”—SF
professional. Subway
   > McD’s (USA).
 “Customers will try ‘low cost
                  the
providers’ … because
  Majors have not
given them any clear
   reason not to.”
      Leading Insurance Industry Analyst
“This is a dying business. Everybody’s
going after the same writers, the same
    concepts, the same audience.”
— Network TV exec, to Fortune (12 January 1998)
      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 it’s financial
security, buying a car, paying for home
    repairs, or even taking a dream
vacation.”—Martin Feinstein, CEO, Farmers Group
“We make over three new
product announcements a
 day. Can you remember
them? Ourcustomers
       can’t!”
       Carly Fiorina
“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
 Funky Business: “To succeed we
   must stop being so goddamn
normal. In a winner-takes-all world,

       normal =
       nothing.”
      “This is an essay about what it takes to create and sell
something remarkable. It is a plea for originality, passion, guts
and daring. You can’t be remarkable by following someone else
  who’s remarkable. One way to figure out a theory is to look at
     what’s working in the real world and determine what the
 successes have in common. But what could the Four Seasons
and Motel 6 possibly have in common? Or Neiman-Marcus and
 Wal*Mart? Or Nokia (bringing out new hardware every 30 days
or so) and Nintendo (marketing the same Gameboy 14 years in
  a row)? It’s like trying to drive looking in the rearview mirror.
The thing that all these companies have in common is that they
   have nothing in common. They are outliers. They’re on the
 fringes. Superfast or superslow. Very exclusive or very cheap.
   Extremely big or extremely small. The reason it’s so hard to
    follow the leader is this: The leader is the leader precisely
   because he did something remarkable. And that remarkable
   thing is now taken—so it’s no longer remarkable when you
         decide to do it.” —Seth Godin, Fast Company/02.2003
 “The Internet is the most effective profit-
  killer on earth … it stimulates a TRUE
 FREE MARKET; and a real free market is
 the most dangerous of marketplaces for
companies selling the SAME OLD STUFF.
To those with COURAGE, free markets are
  great—they help kill off the deadwood
 competitors who don’t have the courage
   to change—making way for them to
LEVERAGE their DRAMATIC DIFFERENCE
    into profitable growth.”—Doug Hall
                 Fight ’til Death!
“I thought, ‘What a dreadful mission I have in life.’
   I’d love to get six-thousand restaurants up to
 spec, but when I do it’s ‘Ho-hum.’ It’s bugged me
    ever since. It’s one of the great paradoxes of
 modern business. We all know distinction is key,
and yet in the last twenty years we have created a
  plethora of ho-hum products and services. Just
      go fly in an airplane. It could be such an
 enlightening experience. Ho-hum. We swim in an
   ocean of ho-hum, and I’m going to fight it. I’m
               going to die fighting it.”
                  — Barry Gibbons
The   Day!
  09.11.2000: HP bids
$18,000,000,000
           for
PricewaterhouseCoopers
  consulting business!
“These days, building
 the best server isn’t
  enough. That’s the
    price of entry.”
   Ann Livermore, Hewlett-Packard
           Systems
 Gerstner’s IBM:

   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).
“You are headed
  for commodity
 hell if you don’t
have services.”—Lou
 Gerstner on IBM’s coming
     revolution (1997)
 AT&T: President David Dorman:
 Back to long distance … but with
  “bundles of lucrative corporate
  services” for the likes of Merrill
     Lynch, MasterCard, Hyatt.
Consumer: Dump 25M subscribers
  (50%)—hold on to high enders.
           Source: BW/05.20.2002
Is There a There There: The Ericsson Case
1. 50+% Mfg to Solectron/Flextronics
2. Substantial R&D to India
3. Division for licensing technology
4. JV with Sony on “crown jewel” handsets
5. Net: “a wireless specialist that
depends on services more than
manufacturing, on knowledge more
than metal”
            Source: BW/11.04.02
      Everybody’s Doin’ It!
     “The leading Indian
outsourcers reckon that the
    key to their long-term
 prosperity is bagging ever
  larger deals and moving
  ever higher up the value
   chain.” —The Economist/01.11.2003
“We want to be the
    air traffic
  controllers of
   electrons.”
  Bob Nardelli, GE Power Systems
   “Customer Satisfaction” to
     “Customer Success”
   “We’re getting better at [Six
 Sigma] every day. But we really
need to think about the customer’s
   profitability. Are customers’
bottom lines really benefiting from
     what we provide them?”
     Bob Nardelli, GE Power Systems
Keep In Mind:   Customer
Satisfaction
versus          Customer
   Success
Was: “Big Iron”
Transformer Dudes
Division.

      Traffic Controllers
Is: Air
of Electrons.
Was: Bunchof Guys Who
Make Circuit Breakers
Division.

Is: GE   Industrial Systems.
 GE’s New Six Sigma Approach
Old 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 =
        Client’s World.
      Source: Steve Kerr, VP, GE
       E.g. …

 UTC/Otis + Carrier:
boxes to “integrated
 building systems”
       Units of
Leased AC:

    “Coolth”
 Nardelli’s goal ($50B to $100B by 2005):
“… move Home Depot beyond selling
‘goods’ to selling ‘home services.’ …
     He wants to capture home
 improvement dollars wherever and
     however they are spent.”
 E.g.: “house calls” (At-Home Service: $10B by ’05?) …
“pros shops” (Pro Set) … “home project management”
   (Project Management System … “a deeper selling
                      relationship”).

              Source: USA Today/06.14.2002
 John Deere
Landscapes:
“This is our
  future.”
  “A little-known fact: Siemens is
now the world’s largest application
   service provider* to the health
 business. Digitally stored X rays,
 recordkeeping, the cameras that
 guide surgeons in the operating
    theater—all run on Siemens
      software.” —Forbes/09.16.2002
*E.g.: “Siemens is giving Health South an all-digital ‘hospital of the future.’ ”
 “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)
“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 it’s
financial security, buying a car, paying
   for home repairs, or even taking a
   dream vacation.”—Martin Feinstein, CEO,
               Farmers Group
“VISIONS OF A BRAND-NAME
OFFICE EMPIRE. Sam Zell is not a man
  plagued by self doubt. Mr. Zell controls public
 companies that own nearly 700 office buildings
in the United States. … Now Mr. Zell says he will
    transform the real estate market by turning
   those REITs into national brands. … Mr. Zell
 believes [clients] will start to view those offices
  as something more than a commodity chosen
  chiefly by price and location.” –New York Times
                    (12.16.2001)
   “ ‘Architecture’ is
becoming a commodity.
Winners will be ‘Turnkey
Facilities Management’
       providers.”
         SMPS Exec
“We are a ‘real estate
 facilities consulting’
organization, not just
  an ‘interior design’
          firm.”
Jean Bellas, founder, SPACE (from SMPS Marketer)
Omnicom:   57%              (of

 $6B) from marketing services
                          And the Winners Are …

Televisions –12%
Cable TV service +5%
Toys -10%
Child care +5%
Photo equipment -7%
Photographer’s fees +3%
Sports Equipment -2%
Admission to sporting event +3%
New car -2%
Car repair +3%
Dishes & flatware -1%
Eating out +2%
Gardening supplies -0.1%
Gardening services +2%

Source: WSJ/05.16.03
           (1) 108X5 to
 Core Logic:
 8X1/ eLiza/ 100sf. (2)
Dept. to PSF/ WWPF. (3)
V.A. via PSFs Unbound/
“Solutions”/ “Customer
        Success.”
            Model2002/3/4/5/??


         Dell* + IBM** =
             Magic
                *Cut (ALL) the bullshit
**Add (LOTSA) “soft”/“integrative”/“experiences” value
    The Seagate
Exception. (Paradox?
    Possibility?)
     7. The …
Solutions25.*
 *NO MORE “SILOS.” NO MORE
   “STOVEPIPES.” (DAMN IT.)
1. It’s the (OUR!) organization, stupid!
2. Friction free!
3. No STOVEPIPES!
4. “Stovepiping” is a F.O.—Firing Offense.
5. ALL on the web! (ALL = ALL.)
6. Open access!
6. Project Managers rule! (E.g.: Control the purse
    strings and evals.)
7. VALUE-ADDED RULES! (Services Rule.)
    (Experiences Rule.) (Brand Rules.)
8. SOLUTIONS RULE! (We sell SOLUTIONS.
    Period. We sell PRODUCTIVITY &
    PROFITABILITY. Period.)
9. Solutions = “Our ‘culture.’ ”
10. Partner with B.I.C. (Best-In-Class). Period.
 “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.
“Once devised in Riyadh, the tasking order took hours
 to get to the Navy’s six aircraft carriers—because the
   Navy had failed years earlier to procure the proper
 communications gear that would have connected the
       Navy with its Air Force counterparts. … To
compensate for the lack of communications capability,
 the Navy was forced to fly a daily cargo mission from
   the Persian Gulf and Red Sea to Riyadh in order to
pick up a computer printout of the air mission tasking
   order, then fly back to the carriers, run photocopy
  machines at full tilt, and distribute the documents to
  the air wing squadrons that were planning the next
       strike.” –Bill Owens, Lifting the Fog of War
Duh???*: “We’ve come up with a solution.
    … We’ve begun to create a form of
communications that is much better than
 we had before, and that’s allowed us to
 gather better data. We’ve finally realized
   that we have an interplay with other
  hospitals and with pre-hospital.”—Dr. Ben
 Honigman, ER, U. Colorado Hospital, on “diverts” (Denver
                     Post/05.05.02)


  *Internet + Data + Open data exchange + Barrier busting
12. All functions contribute equally—IS, HR, Finance,
    Purchasing, Engineering, Logistics, Sales, Etc.
13. Project Management can come from any function.
14. WE ARE ALL IN SALES. PERIOD.
15. We all invest in “wiring” the customer
    organization.
16. WE ALL “LIVE THE BRAND.” (Brand = Solutions.
    That MAKE MONEY FOR OUR CUSTOMER-
     PARTNER.)
17. We use the word “PARTNER” until we all want to
    barf!
18. We NEVER BLAME other parts of our organization
    for screw-ups.
19. WE AIM TO REINVENT THIS INDUSTRY!
20. We hate the word-idea “COMMODITY.”
21. We believe in “High tech, High touch.”
22. We are DREAMERS.
23. We deliver . (PROFITS.) (CUSTOMER SUCCESS.)
24. If we play the “SOLUTIONS GAME” brilliantly, no
    one can touch us!
25. Our TEAM needs 100% I.C.s (Imaginative
    Contributors). This is the ULTIMATE “All Hands”
    affair!
KEY WORDS: Partners with our
Customers in creating
Memorable, Value-added
Solutions/ Successes/
Experiences.
WHICH REQUIRES: Total
Enterprise Responsiveness …
beyond functional walls.
              “Supply Chain” 2000:
  “When Joe Employee at Company X launches his
  browser, he’s taken to Company X’s personalized
 home page. He can interact with the entire scope of
 Company X’s 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 don’t
 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)
   IV. NEW
BUSINESS. NEW
   BRAND.
 8. A World of
 Scintillating/
Awesome/ WOW
“Experiences.”
“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
“Club Med        is more
than just a ‘resort’; it’s a
means of rediscovering
 oneself, of inventing an
   entirely new ‘me.’ ”
    Source: Jean-Marie Dru, Disruption
  “The [Starbucks] Fix” Is on …
  “We have identified a ‘third
place.’ And I really believe that
sets us apart. The third place is
 that place that’s not work or
   home. It’s the place our
customers come for refuge.”
    Nancy Orsolini, District Manager
“Guinness as a brand
  is all about community.
It’s about bringing people
    together and sharing
stories.”—Ralph Ardill, Imagination, in re
           Guinness Storehouse
     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
WHAT CAN BROWN DO FOR YOU?
        From “Service’ to “Cause”


  7X. 730A-
 800P. F12A.*
*Plus: WOW Department’” “Kill a Stupid Rule” contests,
 etc. 2001R: 34%; P: 29%; ’90-’00: 2,048%. Commerce
          Bank/NJ ($10B). Source: FC05.02.
The “Experience Ladder”

   Experiences
     Services
      Goods
   Raw Materials
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): $10.00
1990: Party @ Chuck E. Cheese
(experience economy) $100.00
            Message:
 “Experience” is the
 “Last 80%”
P.S.: “Experience” applies to all work!
 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):     $10.00
  1990: Party @ Chuck E. Cheese
(experience economy)      $100.00
       “I see us as being in
Bob Lutz:
   the art business. Art,
entertainment and mobile
     sculpture, which,
   coincidentally, also
    happens to provide
     transportation.”
            Source: NYT 10.19.01
         Experience It!
 “Living Room, To Go: Cars of
 the future will be sanctuaries,
   with mood lighting, aroma
therapy and massage seats. For
    long drives: movies and
       popcorn” —headline,
        Newsweek/11.25.2002
“Lexus sells its cars as
   containers for our
  sound systems. It’s
  marvelous.”—Sidney Harman/
        Harman International
It’s All About EXPERIENCES: “Trapper” to
  “Wildlife Damage-control Professional”

 Trapper: <$20 per beaver pelt.
WDCP: $150/“problem beaver”;
 $750-$1,000 for flood-control
   piping … so that beavers
           can stay.
            Source: WSJ/05.21.2002
  “Car designers need to create a
    story. Every car provides an
 opportunity to create an adventure.
                  …
  “The Prowler makes you smile.
Why? Because it’s focused. It has a
plot, a reason for being, a passion.”
Freeman Thomas, co-designer VW Beetle; designer
                   Audi TT
Hmmmm(?): “Only” Words …
        Story
      Adventure
        Smile
       Focus
        Plot
       Passion
“It’s a question of how to marshal our resources. I’d
like us to be   really great in four or five
  areas. We have to make some hard choices.
               we’ve got to get a
“The big challenge is,
   story about science that’s
 completely understandable. To get
  money in wholesale amounts, you’ve got to sell
                  concepts.”
        Larry Small, Smithsonian Institution
       Plot It!
Williams Sonoma … 5
 Crate & Barrel … 7+
Smith & Hawken … 8
 Sharper Image … 9
     LL Bean … 3
  LAN Installation Co.
             to

Geek Squad (2% to 30%/Minn.)
“Music Worth Paying For:
 Paul McCartney, rapper
Jay-Z and other acts beat
  the digital pirates by
 cashing in on concerts”
      —Forbes cover/07.07.03
“When Pete Rozelle ran
  the league, it was a
football business and a
good one. Now it’s truly
   an entertainment
  business.” —Paul Much,
      Investment Advisor
           Hire a
  First Step (?!):

theater director, as
  a consultant or
       FTE!
    Experience …



Cirque du Soleil
DO YOU MEASURE UP?*



       *If not, why not?
Words!
— Magician of Magical Moments
— Maestro of Moments of Truth
— Recruiter of Raving Fans
— Impresario of First Impressions
— Wizard of WOW
— Captain of Brilliant Comebacks
— Director of Electronic Customer Experiences
— Conductor of Customer Intimacy
— King of Customer Community
— Queen of Customer Retention
— CEO of Ownership Experience
— Managing Director of After-sales Experience
     “Quality Service”

 “... Superb, graceful,
    beautiful, divine,
wonderful, an aesthetic
        gesture”
    — James Hillman, Kinds of Power
          Lay-Z-Boy
  Experience = Brand = Expert
Sales and Design Consultants +
Unique In-store Design Tools +
 In-home Design Assistance +
Superior Delivery + Satisfaction
    Guarantee + Pixie Dust
 “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, Unique now ... or never [on the
 excellence of Nokia, Nike, Lego, Virgin et al.]
The SAU/Straight Academic Underpinning
  “That people in an advanced economy
spend more on weightless intangibles than
on three-dimensional objects causes some
     folks of literal bent to feel vaguely
 uncomfortable, but the trend should be of
 no concern. The greater value, and more
      eager expenditure, comes in the
      psychological domain.” —Robert Reich
Extraction & Goods:
  Male dominance
    Services &
Experiences: Female
    dominance
“Women don’t buy
      They
brands.

join them.”
    EVEolution
The “Experience Ladder”


  Experiences
    Services
     Goods
  Raw Materials
Ladder Position   Measure

Solutions         Success
(Experiences)


Services          Satisfaction

Goods             Six-sigma
<TGW
 vs.


>TGR
9. Experiences+:
 Embracing the
     “Dream
   Business.”
  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
Common Products                “Dream” Products
Maxwell House                  Starbucks
BVD                            Victoria’s 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
            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
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
 The marketing of Dreams (Dreamketing)
   Dreamketing: Touching the clients’
                dreams.
Dreamketing: The art of telling stories and
              entertaining.
Dreamketing: Promote the dream, not the
                product.
Dreamketing: Build the brand around the
              main dream.
   Dreamketing: Build the “buzz,” the
          “hype,” the “cult.”
        Source: Gian Luigi Longinotti-Buitoni
       Constantly Magnify Perceived Value
    Maximize your value-added by fulfilling the
               dreams of your clients.
  Only invest in what is valuable for your client.
    Don’t 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 RISKS—NO DREAMS.
Establish long-term “price power” in order to avoid
        the trap of the commodity product.

         Source: Gian Luigi Longinotti-Buitoni
(Revised) Experience Ladder
 Dreams Come True
Awesome Experiences
     Solutions
     Services
      Goods
   Raw Materials
      Safe, On-time and ...

“We defined personality as a
  market niche. We seek to
 amaze, surprise, entertain.”
       — Herb Kelleher, SWA / LUV
          Furniture vs. Dreams
 “We do not sell ‘furniture’ at Domain. We
   sell dreams. This is accomplished by
 addressing the half-formed needs in our
  customers’ heads. By uncovering these
needs, we, in essence, fill in the blanks. We
convert ‘needs’ into ‘dreams.’ Sales are the
             inevitable result.”
      — Judy George, Domain Home Fashions
Pretzel Crumb-less-ness Plus ...
“The Ritz-Carlton experience enlivens the
senses, instills well-being, and fulfills even
the unexpressed wishes and needs of our
guests.”
      — from the Ritz-Carlton Credo
      Credo Update (P.C. Version)

“The Ritz Carlton experience ... conforms to
               requirements.”
10. The       “Soul”
       [Mostly Ignored]


  of “Experiences”:
Design Rules!
Design Myths.
         Unconventional
       [Design] Messages

Not about ... “Lumpy Objects”!
  Not about ... $79,000 objects
 The I.D. [International Design] Forty*

 Airstream … Alfred A. Knopf … Apple
     Computer … Amazon.com …
 Bloomberg … Caterpillar … CNN …
 Disney … FedEx … Gillette … IBM …
  Martha Stewart … New Balance …
Nickelodeon … Patagonia … The New
      York Yankees … 3M … Etc.
              * List No. 1, 1999
       Unconventional
     [Design] Messages

Not about ... “Lumpy Objects”!

Not about ... $79,000 objects
Design Transforms even the
  [Biggest] Corporations!

TARGET … “the champion of
 America’s new design democracy”
 (Time) “Marketer of the Year 2000”
         (Advertising Age)
 Lady Sensor, Mach3, and …
  $70M on developing the
OralB CrossAction toothbrush
23 patents, including 6 for the
         packaging

Source: www.ecompany.com [06.00]
  Design2002

 LISTERINE’s …

PocketPaks
  Westin’s …

Heavenly
  Bed
Design’s place in
 the universe.
     And Tomorrow …
“Fifteen years ago companies
 competed on price. Now it’s

      Tomorrow
quality.

  it’s design.”
           Robert Hayes
          All Equal Except …
“At Sony we assume that all products of
our competitors have basically the same
  technology, price, performance and
        Design is the only
 features.
thing that differentiates one
product from another in the
       marketplace.”
             Norio Ohga
“Design is treated
like a religion at
     BMW.”
      Fortune
 “The new Beetle fails at
most categories. The only
 thing it doesn’t fail in is
drop-dead charm.”
 Jerry Hirshberg, Nissan Design International
Auto Designers at Milan Fashion Shows!

  “Welcome to the world of the
  celebrity car designer, a new
breed increasingly responsible
 for the fortunes of the world’s
big car companies. We live in a
   designer world, and the car
designers are at its heart.” —The
           Economist/12.21.2002
          Object of Desire!
 “Every now and then, a design comes
along that radically changes the way we
 think about a particular object. Case in
point: the iMac. Suddenly, a computer
is no longer an anonymous box. It is a
sculpture, an object of desire,
 something that you look at.”
        Katherine McCoy & Michael McCoy,
          Illinois Institute of Technology
  “The good 10 percent of
American product design comes
 out of big-idea companies that
  don’t believe in talking to the
    customer. They're run by
 passionate maniacs who make
 everybody’s life miserable until
    they get what they want.”
   Bran Ferren, Applied Minds/Wired 1-2001
  “We don’t have a good language to talk
 about this kind of thing. In most people’s
vocabularies, design means veneer. … But
 to me, nothing could be further from the

          Design is
  meaning of design.

the fundamental soul
        of a man-made creation.”
             Steve Jobs
   Check Out the Language:
 “Tomorrow it’s design …”
“Design is the only thing …”
  “Design is … religion ...”
   “Drop-dead charm …”
    “Object of desire …”
  “Passionate maniacs …”
   “Fundamental soul …”
Bottom Line.
Design “is” … WHAT &
WHY I LOVE.   LOVE.
I   LOVE     my ZYLISS
     Garlic Peeler!
 All Time   No.1 (TP)

Ziplocs
Design “is” … WHY I
GET MAD.   MAD.
  Wanted: THE
DESIGNER OF MY
 RADIO SHACK
 PHONE. Major
    Reward!
Design is never   neutral.
     DESIGN is the
Hypothesis:


principal difference
 between love and
       hate!
 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 doesn’t.
    Furthermore, it’s another “one of those things”
 that damn few companies put – consistently – on the
                      front burner.
  Message (?????): Men
cannot design for women’s
         needs.
“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 intuition—it’s female.”
  Source: Philippe Starck, Harvard Design Magazine (Summer 1998)
         Step No. 1:
    NOTEBOOK
     POWER!
[Start recording the awesome & the
               awful]
             User …

   STOP
 BLAMING
YOURSELF!                   (Don
Norman/Design of Everyday Things)
              The Designer’s Ring
   “For years I thought that Dante should have
  established a ‘designer’s ring’ in his Hell. If any
   designer’s product raised a blister, caused a
  bruise, ripped a stocking, or caused any of the
     thousand things that frustrate us with the
products we use, that designer would be assigned
 the designer’s ring in Hell and forced to use that
 product for all of eternity.” — James Pirki, designer
                         and
                    professor, Syracuse University
   “Sometimes I have
 episodes of wild fury in
 rental cars. It’s not road
rage. It’s more like design
           rage.”
      Susan Casey,
    www.ecompany.com
   Design Case I …
    Thomas Hine: The Total
 Package: The Secret History
   and Hidden Meanings of
Boxes, Bottles, Cans and Other
    Persuasive Containers
    “Packages have
personality. They create
 confidence and trust.
 They spark fantasies.
They move the goods!”
  —Thomas Hine/The Total Package
 “The most fundamental difference
  between a traditional market and
the places through which you push
your cart is that in modern retailing
   all the selling is done without
   people. It replaces people with
 packages.” —Thomas Hine/The Total Package
Oatmeal/1870: “horses and a few
         stray Scots”
Oatmeal/1890/Quaker: “a delicacy
for the epicure, a nutritious dainty
  for thr invalid, a delight to the
             children”
     Difference: Packaging!
       Thomas Hine/The Total Package
 “During the thirty minutes you spend on
 an average trip to the supermarket, about
  thirty thousand different products vie to
 win your attention and ultimately to make
   you believe in their promise. When the
door opens, you enter an arena where your
emotions are in play—and a walk down the
aisles is an exercise in self-definition. Few
experiences in life offer the visual intensity
    of a Safeway, a Krogers. …”—Thomas
             Hine/The Total Package
  Research: customers aware of
11,000 packages in 1,800 seconds
        walking the aisles.


Opportunity = 1/6
                 th second!
   Source: Thomas Hine/The Total Package
  “Packaging strives at once to offer excitement
 and reassurance. It promises something newer
  and better, but not necessarily different. When
   we talk about a tourist destination, or even a
  presidential contender, being packaged that’s
  not really a metaphor. The same projection of
 intensified ordinariness, the same combination
    of titillation and reassurance, are used for
laundry detergents, theme parks and candidates
     alike.”—Thomas Hine/The Total Package
    “What’s important to
 recognize is that fast-food
and hotel chains are not like
 packages, but that they are
packages—packaged places
  and experiences.” —Thomas
      Hine/The Total Package
  “One, consumers really do not
distinguish between a product and
   its package. Two, consumers
relate emotionally not to the facts
         (the realities) of the
     product/packages they are
 involved with, but rather to their
 perceived realities.” —Walter Stern in
      Thomas Hine/The Total Package
11. Design+ =
 “Beautiful”
  Systems.
Fred S.’s “mediocre”
 thesis. Herb K.’s
      napkin.
 Great design =
   One-page
business plan (Jim
      Horan)
There Are Lawyers … and Then There Are
      Lawyers: John De Laney/ICM

  ANYTHING TRULY
 IMPORTANT CAN BE
  BOILED DOWN TO
    1/3 RD PAGE.
K.I.S.S.:   Gordon Bell (VAX

daddy):500/50.        Chas.
Wang (CA): Behind schedule?

   Cut least
productive 25%.
      have. Must
Systems: Must

  hate. / Must
design. Must un-
   design.
  Mgt. Team
includes … EVP
 (S.O.U.B.)
Executive Vice President, Stomping Out Unnecessary Bullshit
“Ninety percent of what
we call ‘management’
consists of making it
difficult for people to
get things done.” – P.D.
   First Steps: “Beauty Contest”!
1. Select one form/document: invoice, air bill,
   sick leave policy, customer returns-claim
   form.
2. Rate the selected doc on a scale of 1 to 10 [1 =
   Bureaucratica Obscuranta/ Sucks; 10 = Work
                     Beauty.
   of Art] on four dimensions:
   Grace. Clarity. Simplicity.
3. Re-invent!
4. Repeat, with a new selection, every 15 working
   days.
                  Was
 “Deposits may be made by a minor and
 withdrawals thereof may be made by a
minor without the consent of a parent or
   guardian, neither of whom, in that
capacity, shall have any right to attach or
   interfere in any manner with such
       deposits or withdrawals.”
                    Is

     “Minors may make deposits and
withdrawals from their accounts without the
   consent or interference of a parent or
                guardian.”
                                Was

“This Grievance Procedure must be used if the nature of the complaint
    deals with the quality of services given to the Member, including
complaints about waiting times, physician demeanor and behavior, or
    adequacy of facilities (as opposed to whether or not a particular
service is a Covered service and what amount, if any, should be paid).
Also, this Grievance Procedure will be applied under all circumstances
to any Universal Healthcare supplemental products which the Member
    may have bought independently from this SeniorPlus plan. If the
nature of the Member’s complaint deals with a Covered Service stated
  in this SeniorPlus or the level of payment associated with this plan,
 please refer to the Medicare Appeals procedure, stated in Section X.”

                        Source: Siegel & Gale
                             Is

“If you have a complaint about quality of service received,
   waiting times, physician behavior, or the adequacy of
    medical facilities, please use our grievance process.

  “lf you have a complaint about coverage or payment,
       please use the Medicare Appeals procedure
                    (see Section X).”

                    Source: Siegel & Gale
12. “It” all adds up
   to … THE
   BRAND.
The Heart of
Branding …
“WHO ARE
  WE?”
  “Most companies tend to equate branding with the
     company’s marketing. Design a new marketing
    campaign and, voilà, you’re 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
“WHAT’S
  OUR
STORY?”
“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
                    Companies will
to how we work with others.
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
 “Apple opposes, IBM solves,
Nike exhorts, Virgin enlightens,
    Sony dreams, Benetton
 protests.    … Brands are
not nouns but verbs.”
     Source: Jean-Marie Dru, Disruption
          ALL
    Message:
‘BUSINESS MODELS’
  ARE IN FACT …
      BRAND
   STATEMENTS!
    DO THE
HOUSEKEEPERS
& CLERKS “BUY
 IT”?
    [ARE YOU V-E-R-Y SURE?]
  “EXACTLY
 HOW ARE WE
DRAMATICALLY
 DIFFERENT?”
1st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or
             2 > 3 or 4/“One Great Thing.”
             Source #1: Personal Passion)

  2ND Law: REAL REASON TO BELIEVE (Stand &
                       Deliver!)


      3RD   Law: DRAMATIC
 DIFFERENCE (Execs Don’t Get It:
               See the next slide.)

 Source: Jump Start Your Business Brain, Doug Hall
             2 Questions:
    “How 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
“You do not merely want to
be the best of the best. You
 want to be considered
 the only ones who do
     what you do.”
        Jerry Garcia
“A great company
 is defined by the
     fact that it
 is not compared
   to its peers.”
  Phil Purcell, Morgan Stanley
   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, Tom’s of Maine
 “We’re not going to be driven
  by where we think a funding
agency would like to see us go.
We’re going to build our case …
 and then find an organization
     that agrees with us.”
Stephen Spongberg, Polly Hill Arboretum
“WHY DOES IT
 MATTER TO
THE CLIENT?”
“EXACTLY HOW DO I
  PASSIONATELY
   CONVEY THAT
    DRAMATIC
DIFFERENCE TO THE
     CLIENT ?”
“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!
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
  can’t be faked. REAL Branding is
   a systemic, 24/7, all departments,
             all hands affair.
 Rules of “Radical Marketing”
 Love + Respect Your Customers!
Hire only Passionate Missionaries!
Create a Community of Customers!
       Celebrate Craziness!
  Be insanely True to the Brand!

    Sam Hill & Glenn Rifkin, Radical Marketing
    (e.g., Harley, Virgin, The Dead, HBS, NBA)
     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
   Message …



Is Not >> Is
  “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
       What Can [Can’t] Be Branded?
“Branding is not a problem if you have the
 right mentality. You go to your team and
   you pin up a $200 Swiss Army Watch.
  Competing in the ridiculously crowded
 sub-$200 watch market, they made it into
    a brand name, named after the most
irrelevant and useless thing in history [the
 Swiss Army]. And you say, ‘Gang, if they
          can do it, we can do it.’ ”
                Barry Gibbons
 V. NEW
BUSINESS.
  NEW
MARKETS.
 13. Trends I:

Women
 Roar.
Women & the
Marketspace.
           ?????????
     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%
????
Riding Lawnmowers
  2/3rds working women/
50+% working wives > 50%
        80% checks
         61% bills
  53% stock (mutual fund boom)
       43% > $500K
 95% financial decisions/
    29% single handed
               1970-1998

 Men’s median income: +0.6%
Women’s median income: + 63%


 Source: Martha Barletta, Marketing to Women
$4.8T > Japan
9M/27.5M/$3.6T
  > Germany
  Business Purchasing Power

Purchasing mgrs. & agents: 51%
          HR: >>50%
     Admin officers: >50%


 Source: Martha Barletta, Marketing to Women
Women-owned Bus.

U.S. employees > F500
employees worldwide
 Source: Martha Barletta, Marketing to Women
   New golfers … 37%
   Basketball … 13.5M
1 in 27 (’70) … 1 in 3 (’96)
1874 … Jock Strap
  1977 … Jogbra

   1977 ... 25K

 1996 … 42  M
    Yeow!

   1970 … 1%


2002 …   50%
OPPORTUNITY

 NO.   1!*
       [* No shit!]
        91% women:
   ADVERTISERS DON’T
    UNDERSTAND US.
    (58% “ANNOYED.”)
Source: Greenfield Online for Arnold’s Women’s Insight Team
           (Martha Barletta, Marketing to Women)
Carol Gilligan/ In a Different Voice

  Men: Get away from authority, family
           Women: Connect

         Men: Self-oriented
        Women: Other-oriented

           Men: Rights
       Women: Responsibilities
Men: Individual perspective. “Core
           unit is ‘me.’ ”
       Pride in self-reliance.

Women: Group perspective. “Core
  unit is ‘we.’ ” Pride in team
        accomplishment.

     Source: Martha Barletta, Marketing to Women
      FemaleThink/ Popcorn
“Men and women don’t think the same
  way, don’t communicate the same
way, don’t buy for the same reasons.”
 “He simply wants the transaction
 to take place. She’s interested in
creating a relationship. Every place
       women go, they make
           connections.”
   “Men seem like loose cannons. Men
   always move faster through a store’s
aisles. Men spend less time looking. They
usually don’t like asking where things are.
    You’ll see a man move impatiently
 through a store to the section he wants,
   pick something up, and then, almost
     abruptly he’s ready to buy. For a
   man, ignoring the price tag is almost
             a sign of virility.”
 Paco Underhill, Why   We Buy* (*Buy this book!)
“Shopping: A Guy’s Nightmare or a
    Girl’s Dream Come True?”

     “Buy it and be gone”
                      vs.
  “Hang out and enjoy the
       experience”
  Source: The Charleston [WV] Gazette/06.22.2002
  How Many Gigs You Got, Man?

“Hard to believe … Different criteria”
 “Every research study we’ve done
  indicates that women really care
  about the relationship with their
              vendor.”
         Robin Sternbergh/ IBM
         Not a Morality Play

“It is critical that we all understand
     that IBM is not marketing to
women entrepreneurs because it is
 the thing to do, or even the right
  thing to do. We’re marketing to
women entrepreneurs because it is
  a huge opportunity.” — Cherie Piebes
        Women's View of Male
           Salespeople

   Technically knowledgeable;
assertive; get to the point; pushy;
  condescending; insensitive to
         women’s needs.
 Source: Judith Tingley, How to Sell to the Opposite Sex
          (Martha Barletta, Marketing to Women)
Women as Healthcare Decision Makers

        — read vociferously
           — want choices
       — value convenience
 — look for small signs of sensitivity
          (gowns that close)
    Source: Cheryl Stone, Rynne Marketing Group
            Women and Healthcare

    — Women are more dissatisfied
 — Women are frustrated by the way they
      are treated and spoken to
             by physicians
   — Women seek more information
  — Women are more pressed for time
— Women make most healthcare decisions
            and purchases
   Source: Patricia Braus, Marketing Health Care to Women
           Women and Financial Advisors

             Women want ...
                — a plan
           — to be listened to
   — to read about it and think about it

            Women do not want ...
         — a high-pressure sales pitch

Source: Kathleen Boyd, SVP, Wheat First Butcher Singer (now part of Wachovia
                                Securities)
 Read This: Barbara & Allan Pease’s

 Why Men Don’t
Listen & Women
Can’t Read Maps
    “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 Don’t Listen & Women Can’t Read Maps
   “Resting” State: 30%, 90%: “A
    woman knows her children’s
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 Don’t Listen & Women Can’t Read Maps
  “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 Don’t Listen & Women Can’t Read Maps
      “Female hearing advantage
  contributes significantly to what is
 called ‘women’s intuition’ and is one
of the reasons why a woman can read
between the lines of what people say.
Men, however, shouldn’t despair.
 They are excellent at imitating
       animal sounds.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
                Senses
Vision: Men, focused; Women,
          peripheral.
Hearing: Women’s discomfort
        level I/2 men’s.
    Smell: Women >> Men.
 Touch: Most sensitive man <
    Least sensitive women.
Source: Martha Barletta, Marketing to Women
Sensitivity to differences: Twice as
         many card stacks.

   More “contextual,” “holistic.”

“People powered”: Age 3 days, baby
       girls 2X eye contact.

    Source: Martha Barletta, Marketing to Women
Barbara & Allan Pease, Why Men Don’t Listen &
 Women Can’t 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.
“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 Don’t Listen &
           Women Can’t Read Maps
                  Stress* **

 Men: Fight or flee

 Women: Seek the company of
        friends

*Source: UCLA, “Female Response to Stress: Tend and
Befriend, Not Fight or Flight”/Psychological Review
**90% of stress research: men
   We Really … Don’t Get It!
Review of “Unfaithful”: “ … the
latest entry in the category of
    male directors’ clueless
  fantasies concerning what
women fantasize about in their
    nonexistent free time.”
      Source: Julie Iovine, NYT (05.19.2002)
Men & Women on Thelma & Louise.
 MEN: Sundance Kid; women who
get angry, swear, go to bars, leave
  their mate. WOMEN: women
controlled by the men in their lives,
  who would rather be dead than
            oppressed.
         Source: Judy Rosener,
       America’s Competitive Secret
 [“The Hollywood scripts that
men write tend to be direct and
    linear, while women’s
   compositions have many
conflicts, many climaxes, and
       many endings.”
Helen Fisher, The First Sex: The Natural
 Talents of Women and How They Are
         Changing the World]
“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, America’s Competitive Secret
    “I only really understand
myself, what I’m really thinking
 and feeling, when I’ve 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
Editorial/Men: Tables, rankings.*

Editorial/Women: Narratives that
cohere.*


*Redwood (UK)
         Initiate Purchase

Men: Study “facts & features.”

Women: Ask lots of people for
          input.

   Source: Martha Barletta, Marketing to Women
Storytelling: Men start
  with the headline.
Women start with the
       context.
  Source: Martha Barletta, Marketing to Women
Tomboy Tools. E.g.:
   smaller, lighter in weight.
  Tupperware “party” model.
  “Darcy Winslow is a leading
   figure in Nike Goddess, a
 companywide grassroots team
whose goal is a once-and-for-all
shift in how a high-testosterone
 outfit sells to, designs for, and
communicates with women.” —Fast
            Company/08.2002
   “Women weren’t comfortable in
 our stores. So I figured out where
 they would be comfortable—most
  likely their own homes. The [first
Nike Goddess] store has more of a
 residential feel. I wanted it to have
furnishings, not fixtures. Above all,
   I didn’t want it to be girlie.” —John
            Hoke, designer, Nike
     Read This Book …

  EVEolution:
 The Eight Truths of
Marketing to Women
  Faith Popcorn & Lys Marigold
   EVEolution: Truth No. 1

Connecting Your Female
  Consumers to Each
Other Connects Them to
      Your Brand
 “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
                   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 today’s
                     skills?”
                  EVEolution
2.6   vs.
            The New New Jiffy Lube
“In the male mold, Jiffy Lube was going all out
 to deliver quick, efficient service. But, in the
female mold, women were being turned off by
   the ‘let’s get it fixed fast, no conversation
              required’ experience.”
    New JL: “Control over her environment.
Comfort in the service setting. Trust that her car
  is being serviced properly. Respect for her
            intelligence and ability.”
                   EVEolution
    Lowe’s …
Gets it.                1989:
13%/“lumber shop” … 2002: >50%
 “War has broken out over
  your home-improvement
   dollar, and Lowe’s has
superpower Home Depot on
 the defensive. It’s not-so-
    secret ploy: Lure
   women.” —Forbes.com
   “Home Depot is still very much a guy’s
  chain. But women, according to Lowe’s
research, initiate 80 percent of all home-
      improvement purchase decisions,
especially the big ticket orders like kitchen
   cabinets, flooring and bathrooms. ‘We
  focused on a customer nobody in home
improvement has focused on. Don’t get me
       wrong, but women are far more
discriminating than men,’ says CEO Robert
   Tillman, 59, a Lowe’s lifer.” —Forbes.com
  Yes!: “Crest Spinoff Targets
    Women”—cover story,
         Ad Age/06.03.02

Crest Rejuvenating Effects.
 “Chicks in charge” team.
 $50M launch. Packaging.
      Taste. Features.
“Mattel Sees Untapped Market for
 Blocks: Little Girls”—Headline,
          WSJ/04.06.02
“Last year more than 90% of Lego sets
 purchased were for boys. Mattel says
    Ello—with interconnecting plastic
   squares, balls, triangles, squiggles,
flowers and sticks, in pastel colors and
 with rounded corners—will go beyond
       Lego’s linear play patterns.”
“Women don’t buy
      They
brands.

join them.”
    EVEolution
        Purchasing Patterns

Women: Harder to convince; more
    loyal once convinced.

   Men: Snap decision; fickle.

  Source: Martha Barletta, Marketing to Women
   Not   !
“Year of the
 Woman”
 Enterprise Reinvention!
          Recruiting
 Hiring/Rewarding/Promoting
           Structure
          Processes
         Measurement
           Strategy
            Culture
            Vision
          Leadership
THE BRAND ITSELF!
 “Honey, are you
sure you have the
 kind of money it
    takes to be
 looking at a car
    like this?”
      STATEMENT OF PHILOSOPHY: I am a
 businessperson. An analyst. A pragmatist. The
  enormous social good of increased women’s
 power is clear to me; but it is not my bailiwick.
   My “game” is haranguing business leaders
  about my fact-based conviction that women’s
       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
 27 March 2000: email to TP from
      Shelley Rae Norbeck
     “I make 1/3rd more money than my
  husband does. I have as much financial
‘pull’ in the relationship as he does. I’d say
   this is also true of most of my women
 friends. Someone should wake up, smell
the coffee and kiss our asses long enough
  to sell us something! We have money to
         spend and nobody wants it!”
   “If we are single, they say we
  couldn’t catch a man. If we are
      married, they say we are
neglecting him. If we are divorced,
 they say we couldn’t keep him.
 If we are widowed, they say we
             killed him.”
 Kathleen Brown, on the joys of female political candidacy
Psssst! Wanna
see my “porn”
  collection?
Norwegian Law: Boards must have




 at least

            women.
                         Duh!
    “We want our associate population to mirror our
customer population at every level, from the executive
 suite all the way to the retail floor. In the marketplace,
 basically what I want to do is draw a concentric circle
  around every one of our 2,300 stores, and I want the
 assortment in that store to match the ethnicity of the
   neighborhood it’s in. Some neighborhoods are all
Hispanic, so we can put in a full Hispanic format. That’s
     what Super Saver is. All the signage is in both
  languages. There’s a 100 percent Spanish-speaking
 staff in the store.”—Larry Johnston, CEO, Albertsons
Ass Of The Year2002: Maurice Greenberg, A.I.G.,
  on the Company’s New (All Male) Leadership Team

  “In a lot of countries of the world, it
 would be very difficult for a woman to
       be a good CEO. … I have a
responsibility to do the best we can for
           shareholders.” * **
             *Source: New York Times/05.05.02
  **Wouldn’t you love to watch him tell that … face-to-
face … to Margaret Thatcher or Carly Fiorina? (I would.)
     Ad from Furniture /Today (04.01):
    “MEET WITH THE EXPERTS!: How
Retailing’s Most Successful Stay that Way”


   Presenting Experts: M =       16;


 F=   ??                (94% = 272)
“Each time a ‘women’s movie’ is
  a success [e.g., First Wives
Club] everybody is surprised all
  over again. But if any action
   movie is a hit, it instantly
 spawns a dozen knockoffs.” —
     Exec [F], major Hollywood studio
Stupid!
Stupid: “Amazing, now that I
 think about it. A bunch of
guys --developers, architects,
   contractors, engineers,
  bankers--sitting around
designing shopping centers.
 And the ‘end users’ will be
  overwhelmingly women!”
Instructions: 1. Purchase ticket to
 symphony … 7:30 p.m. show. 2.
 Drink three large bottles of water
     between 3 p.m. and 7 p.m.
  3. X-dress. 4. Wait in queue at
 Ladies at Intermission. 5. Realize
   what total wretches you are.
    6. Seize a microphone and
apologize publicly to every woman
             in the hall.
“Customer is King”:          4,440
  “Customer is Queen”:              29
   Source: Steve Farber/Google search/04.2002
“Women Beat Men
at Art of Investing”
Source: 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)
   Investment Club Returns

Women-only clubs 1997 … 17.9%
       Mixed … 17.3%
     Men-only … 15.6%


     Source: National Assoc. Investors
Value Line: Top State* Investment
           Clubs 2000

     8 … All male
      19 … Coed
   22 … All FEMALE
   * VT & Maine not included; D.C. included
    JBQ: Stop Treating Women Investors Like Idiots!
   “Why all this focus on women and our lack of
investment guts? A far greater problem, it seems to
  me, is trigger-happy speculation, mostly by men.
 The kind of guys whose family savings went south
  with the dot-coms. Imagine a list of their money
   mistakes: Shoot from the hip. Overtrade their
 accounts. Believe they’re smarter than the market.
   Think with their mouse rather than their brain.
  Praise their own genius when stocks go up. Hide
           their mistakes from their wives.”
              Source: Newsweek 01.08.01
                       Notes to the CEO

--Women are not a “niche”; so get this out of
  the “Specialty Markets” group.
--The competition is starting to catch on.
 (E.g.: Nike, Nokia, Wachovia, Ford, Harley-Davidson, Jiffy Lube,
 Charles Schwab, Citigroup, Aetna.)
--If you “dip your toes in the water,” what makes
   you think you’ll get splashy results?
--Bust through the walls of the corporate silos.
--Once you get her, don’t let her slip away.
--Women ARE the long run!

        Source: Martha Barletta, Marketing to Women
1. Men and women are different.
2. Very different.
3. VERY, VERY DIFFERENT.
4. Women & Men have a-b-s-o-l-u-t-e-l-y
   nothing in common.
5. Women buy lotsa stuff.
6. WOMEN BUY A-L-L THE STUFF.
7. Women’s Market = Opportunity No. 1.
8. Men are (STILL) in charge.
9. MEN ARE … TOTALLY, HOPELESSLY
   CLUELESS ABOUT WOMEN.
10. Women’s Market = Opportunity No. 1.
  14. Trends II:
   Boomer
  Bonanza/
Godzilla Geezer.
Subject: Marketers & Stupidity


   “It’s 18-44,
      stupid!”
 Subject: Marketers & Stupidity


        “18-44 is
Or is it:

      stupid,
      stupid!”
  2000-2010 Stats

 18-44: -1%
55+: +21%
 (55-64: +47%)
    Aging/“Elderly”


 $$$$$$$$$$$$
“I’m in charge!”
“NOT ACTING THEIR
AGE: As Baby Boomers
 Zoom into Retirement,
Will America Ever Be the
        Same?”
      USN&WR Cover/06.01
Member Growth: 1987 – 1997

  18 – 34: 26%
  35 – 49: 63%
50+: 118%
         Source: IHRSA
                      50+
$7T wealth (70%)/$2T annual income
   50% all discretionary spending
79% own homes/40M credit card users
   41% new cars/48% luxury cars
    $610B healthcare spending/
      74% prescription drugs
     5% of advertising targets
      Ken Dychtwald, Age Power: How the 21st
       Century Will Be Ruled by the New Old
  “Advertisers pay more to reach the kid
because they think that once someone hits
 middle age he’s too set in his ways to be
susceptible to advertising. … In fact this
 notion of impressionable kids and
  hidebound geezers is little more
than a fairy tale, a Madison Avenue
    gloss on Hollywood’s cult of
     youth.”—James Surowiecki (The New
             Yorker/04.01.2002)
      Read This!

  Carol Morgan &
   Doran Levy,
 Marketing to the
Mindset of Boomers
 and Their Elders
   “Marketers attempts at
reaching those over 50 have
      been miserably
 unsuccessful. No market’s
 motivations and needs are
 so poorly understood.”—Peter
   Francese, founding publisher, American
                Demographics
 “Households headed by someone
  40 or older enjoy 91% ($9.7T) of
our population’s net worth. … The
  mature market is the dominant
    market in the U.S. economy,
      making the majority of
   expenditures in virtually every
category.” —Carol Morgan & Doran Levy, Marketing to
         the Mindset of Boomers and Their Elders
  “The mature market
 cannot be dismissed
  as entrenched in its
brand loyalties.”                         —Carol Morgan &
Doran Levy, Marketing to the Mindset of Boomers and Their
                          Elders
   “Focused on assessing the
  marketplace based on lifetime
   value (LTV), marketers may
  dismiss the mature market as
 headed to its grave. The reality is
that at 60 a person in the U.S. may
 enjoy 20 or 30 years of life.” —Carol
Morgan & Doran Levy, Marketing to the Mindset of Boomers and
                       Their Elders
 “While the average American age
  12 or older watched at least five
movies per year in a theater, those
    40 and older were the most
 frequent moviegoers, viewing 12
 or more a year.”—Carol Morgan & Doran Levy,
   Marketing to the Mindset of Boomers and Their Elders
   “Women 65 and older spent $14.7
 billion on apparel in 1999, almost as
much as that spent by 25- to 34-year-
  olds. While spending by the older
  women increased by 12% from the
  previous year, that of the younger
  group increased by only 0.1%. But
     who in the fashion industry is
currently pursuing this market?” —Carol
Morgan & Doran Levy, Marketing to the Mindset of Boomers and
                       Their Elders
   “Take the Road Less
Traveled”—Advertising Age
  headline re Sony, upon
 targeting “Zoomers,” the
    neglected 34% of
  its customers who are
        age 50+
“ ‘Age Power’ will
rule the        21
           century,st

and we are woefully
    unprepared.”
Ken Dychtwald, Age Power: How the 21st
    Century Will Be Ruled by the New Old
No: “Target Marketing”
Yes:       “Target
Innovation” & “Target
Delivery Systems”
                “Elderly”

— Purchase “experiences” more than
          just “things”
— Convenience / Comfort / Access /
            Need to be
     appreciated = Top Priorities

      Source: Ken Dychtwald, Age Wave
Hispanics:    38.5%
 growth, 1990-2000, vs. 9.3%
           overall*


      *Source: Communispace/2003
    “Relative to the
 demand, the success
  stories are pitifully
few” —Andrew Nuttney, Research Director, The
Research & Advisory Group; on marketing effectively
                  to Hispanics
   VI. NEW
BUSINESS. NEW
    WORK.
15. Toward Work
that Matters: The
WOW Project.
“Reward excellent
 failures. Punish
     mediocre
   successes.”
   Phil Daniels, Sydney exec
  Language
matters! Wow!
BHAG! “Takes
 your breath
   away!”
“Let’s make a
 dent in the
  universe.”
     Steve Jobs
      Your Current Project?
1. Another day’s work/Pays the
   rent.
4. Of value.
7. Pretty Damn Cool/Definitely
   subversive.
10. WE AIM TO CHANGE THE
    WORLD. (Insane!/Insanely
    Great!/WOW!)
  Measures

–WOW!
–Beauty!
–Raving Fans!
–Impact!
Language
 matters!
    “We shape our
 buildings. Thereafter
they shape us.”—WSC
 “We shape our
words. Thereafter
   they shape
    us.”—TJP
  “Astonish me!” / S.D.

“Build something great!” /
          H.Y.
    “Immortal!” / D.O.
Legacy
TP: “Your ‘signature’ is not
   ‘I work for Dow.’ It’s, ‘I
accomplished [INCREDIBLY
  COOL PROJECT] while I
was associated with Dow.’”*
 *Terms: Signature. Portfolio. Projects. Braggables.
  Herman Edwards: “I picked up one of
 those Jets books and I told them, ‘What
 you do as a football team is your legacy.
  When you’re 80 years old, what you’ve
 done will be in this book and no one can
take that away from you. Your grandkids,
 your kids after that, they will know what
 you did. It’s about leaving your name in
                   stone.”

       Source: The New York Times (12.31.02)
  “What the dot-com boom made
vivid was that a significant portion
        of the workforce was
       disenchanted with the
conventional office landscape and
was looking for a viable alternative
   to the cubicle.” —Lise Anne Couture,
 designer/Metropolis/“Reimagining Work”/11.2002
NEW WORK
  … NEW
 SPACES
“The fact is, a person is so far
 formed by his surroundings,
   that his state of harmony
    depends entirely on his
       harmony with his
   surroundings.” —Christopher
 Alexander, The Timeless Way of Building
  “What the dot-com boom made
vivid was that a significant portion
        of the workforce was
       disenchanted with the
conventional office landscape and
was looking for a viable alternative
   to the cubicle.” —Lise Anne Couture,
 designer/Metropolis/“Reimagining Work”/11.2002
  “I think it’s a chicken and egg
      proposition: do furniture
    manufacturers make cubes
because of the demand, or is the
    demand there because it’s
artificially created by the absence
of any real alternatives?” —Lise Anne
   Couture, designer/Metropolis/“Reimagining
                 Work”/11.2002
                Why Not?
 “My ideal office wouldn’t
have a chair. You would do
two things there: stand up
 or lie down. These are the
    body’s most natural
positions.” —Niels Diffrient, designer and
    F500 consultant/Metropolis/“Reimagining
                 Work”/11.2002
  16. WOW
Projects for the
“Powerless”: A
Surefire Recipe.
 Topic: Boss-free
Implementation of
 STM /Stuff That
   MATTERS!
World’s Biggest Waste …

 Selling “Up”
THE IDEA:   Model F4

   Find a Fellow
   Freak Faraway
  F2F!/K2K!/
 1@T/R.F!A.*
*Freak to Freak/ Kook to Kook/ One at a Time/ Ready.Fire!Aim.
           And …


   K2KK*
   S2SS**
   *Kook to Kooky Kustomer
**Skunk to Scintillating Supplier
   BOTTOM LINE



The Enemy!
    Joe J. Jones
     1942 – 2002
HE WOULDA DONE SOME
  REALLY COOL STUFF
       BUT …
HIS BOSS WOULDN’T   LET
        HIM!
Characteristics of the “Also rans”*

      “Minimize risk”
   “Respect the chain of
        command”
    “Support the boss”
      “Make budget”
*Fortune, article on “Most Admired Global Corporations”
    Kurt Carlson to
    young Marilyn
Carlson: “If you don’t
 like Sunday School,
change it!” (She did.)
“Nobody gives you
 power. You just
  take it.”—Roseanne
  “ ‘Obeying the rules’ is
    obeying their rules.
   [Women] can never be
powerful as long as they try
to be in charge in the same
  way men take charge.”
            Harriet Rubin,
 The Princessa: Machiavelli for Women
  “Conformity is the
jailer of freedom and
     the enemy of
       growth.”
         — J.F.K.
 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
Epitaphs
 from
  Hell
   Joe J. Jones
    1942 – 2002

HE WOULDA DONE SOME
 REALLY COOL STUFF
       BUT …
 HIS BOSS WOULDN’T
      LET HIM!
  Joe J. Jones
  1942 – 2002


HE MADE BUDGET!
(AGAIN & AGAIN.)
  Joe J. Jones
   1942 – 2002


HIS NET WORTH WAS
   $11,000,000.
   Joe J. Jones
    1942 – 2002


 HE HIT QUARTERLY
EARNINGS TARGETS 44
  TIMES IN A ROW.
WHO WILL GO TO
STOCKHOLM? (Damn it.)
  If you are not
 prepared to be
 fired over your
beliefs … you are
 working on the
wrong project - TP
   “To Be
somebody or to
Do something”
 BOYD: The Fighter Pilot Who Changed
    the Art of War (Robert Coram)
   IMPLEMENTATION
SECRETS. Credibility. Demos
& End Runs & Being There. Mr.
OSHA Maine. Find three COs. Seek
  determined alumnae. Go to
 Bangkok. (Forget: “How do I
erase the old?” Supplant rather
   than change the regnant
          heirarchs.)
 It’s politics,
stupid!  (Play or sit on the sidelines.)
17. Bringing WOW
 Work to Fruition:

 The Sales   25.
         The Sales25: Great Salespeople …
1. Know the product. (Find cool mentors, and use them.)
2. Know the company.
3. Know the customer. (Including the customer’s
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 customer’s org. (Relationships at all levels &
functions.)
7. Wire the home team’s org. and vendors’ orgs.
(INVEST Big Time time in relationships at all levels & functions.)
(Take junior people in all functions to client meetings.)
 It’s politics,
stupid!  (Play or sit on the sidelines.)
               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 money—here’s exactly how.”) (IS THIS A “PRODUCT
SALE” OR A WOW-ORIGINAL SOLUTION YOU’LL BE DINING OFF
5 YEARS FROM NOW? THAT WILL BE WRITTEN UP IN THE
TRADE PRESS?)
10. Will involve anybody—including mortal enemies—if
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.)
                 Great Salespeople …
12. Think “Turnkey.” (It’s 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 vendor’s
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
that’s sometimes better than a lousy win.)
17. Think those who regularly say “It’s 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 upstarts—the real enemy.
20. Seek several “cool customers”—who’ll drag you into
Tomorrowland.
                    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!
   18. Boss Work:
   Demos, Heroes,
Stories … Or: Starting
   a WOW Projects
      Epidemic.
      “Ordering”
Premise:

Systemic Change
is a Stupid Waste
     of Time!
Demos!
Heroes!
Stories!
         “Lead
Leapfrog Group:


      Frogs”
               Demo = Story
“A key – perhaps the key –
    to leadership is the
effective communication
       of a story.”
Howard Gardner, Leading Minds: An Anatomy of Leadership
         MB                   A!*


*Managing By Story-ing Around/David Armstrong
    Culture of Prototyping
“Effective prototyping may be
  the most valuable
 core competence an
 innovative organization can
       hope to have.”
        Michael Schrage
    Think about It!?
Innovation = Reaction to
     the Prototype
       Michael Schrage
 He who has the
quickest O.O.D.A.
  Loops* wins!
*Observe. Orient. Decide. Act. /
       Col. John Boyd
“Find something small
   that you can turn
around. If you’re on a 9-
game losing streak, you
 need to start with one
 great inning.”—Rudy
 REAL Org Change: Demos & Models (“Model
Installations,” “ReGo Labs”)/ Heroes (mostly extant: “burned
   to reinvent gov’t”)/ Stories & Storytellers (Props!)/
 Chroniclers (Writers, Videographers, Pamphleteers, Etc.)/
 Cheerleaders & Recognition (Pos>>Neg, Volume)/
    New Language (Hot/Emotional/WOW)/ Seekers
  (networking mania)/ Protectors/ Support Groups/
 End Runs—“Pull Strategy” (weird alliances, weird
     customers, weird suppliers, weird alumnae-JKC)/ Field
     “Real People” Focus (3 COs) (long way away)/
 Speed (O.O.D.A. Loops—act before the “bad guys” can react)
           C.f., Bob Stone, Lessons from an Uncivil Servant
   “Some people look for
things that went wrong and
             I look for
try to fix them.
things that went right
  and try to build on
 them.”   —Bob Stone/ Mr.Rego/ Lessons from an
           Uncivil Servant
  Stories … Paint me a picture …
Story “infrastructure” … Demos …
 Quick prototypes … Experiments
    … Heroes … Renegades …
   Leadfrogs … Skunkworks …
  Demo Funds … V.C. … G.M. …
   Roster … Portfolio … Stone’s
       Rules … JKC’s Rules
   VII. NEW
BUSINESS. NEW
     YOU.
19. Re-inventing the
Individual: Welcome
   to a Brand You
        World
 “If there is nothing
 very special about
your work, no matter how
 hard you apply yourself you
  won’t get noticed, and that
increasingly means you won’t
    get paid much either.”
       Michael Goldhaber, Wired
“What strategic motto will dominate this
  transition from nation-state to market-
   state? If the slogan that animated the
 liberal, parliamentary nation-states was
‘make the world safe for democracy,’ what
 will the forthcoming motto be? Perhaps
 ‘making the world available,’ which is to
  say creating new worlds of choice and
  protecting the autonomy of persons to
    choose.” —Philip Bobbitt, The Shield of Achilles:
          War, Peace, and the Course of History
    “better material
welfare” vs. “maximize
 the opportunity of its
people”       —Philip Bobbitt, The Shield of Achilles:
    War, Peace, and the Course of History
   “In a global economy, the
    government cannot give
anybody a guaranteed success
story, but you can give people
 the tools to make the most of
their own lives.” —WJC, from Philip Bobbitt,
The Shield of Achilles: War, Peace, and the Course of History
     New World of Work
        < 1 in 10 F500
      #1: Manpower Inc.
Freelancers/I.C.: 16M-25M
Temps: 3M (incl. CEOs & lawyers)
Microbusinesses: 12M-27M
  Total: 31M-55M
 Source: Daniel Pink, Free Agent Nation
“JUST GOT LAID
  OFF? HIRE
YOURSELF!”—Cover
 story, Forbes, 12 May 2003
Minimum New Work SurvivalSkillsKit2002
                Mastery
 Rolodex Obsession (vert. to horiz. “loyalty”)
        Entrepreneurial Instinct
  CEO/Leader/Businessperson/Closer
           Mistress of Improv
            Sense of Humor
    Intense Appetite for Technology
      Groveling Before the Young
        Embracing “Marketing”
          Passion for Renewal
 Sam’s
Secret #1!
Minimum New Work SurvivalSkillsKit2001
                Mastery
 Rolodex Obsession (vert. to horiz. “loyalty”)
        Entrepreneurial Instinct
  CEO/Leader/Businessperson/Closer
           Mistress of Improv
            Sense of Humor
    Intense Appetite for Technology
      Groveling Before the Young
        Embracing “Marketing”
          Passion for Renewal
 “My ancestors were printers in
Amsterdam from 1510 or so until
  1750, andduring that
 entire time they didn’t
 have to learn anything
          new.”
  Peter Drucker, Business 2.0 (08.22.00)
“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)
     3 Weeks in May

“Training” & Prep: 187
      “Work”: 41
     (“Other”: 17)
1%
 vs.



367%
 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 don’t
  businesspeople do it?
Edward Jones’ Training Machine*

146 hours/employee/year
   New hires: 4X avg.
     3.8% of payroll
  * #1, “The 100 Best Companies To Work
            For”/Fortune/01.2003
          R.D.A.
      Rate: 15%?, 25%?

Therefore: Formal “Investment
      Strategy”/R.I.P.
Invent. Reinvent. Repeat.



       Source: HP banner ad
    “I’m someone who’s always tried
systematically to destroy the very basis
   of my record-buying public. That’s
what keeps me alive. You destroy what
 you did before and you’re free to carry
                  on.”
      — Neil Young on staying power, in ICON
Personal “Brand Equity” Evaluation
– I am known for [2 to 3 things]; next year at this time I’ll
  also be known for [1 more thing].
– My current Project is challenging me …
– New things I’ve learned in the last 90 days include …
– My public “recognition program”
  consists of …
– Additions to my Rolodex in the last 90 days include …
–My resume is discernibly different
 from last year’s at this time …
    T.T.D./Assignment

Construct a 1/8-page or
   1/4-page ad for
 Brand You … for the
    Yellow Pages
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
 “You are the storyteller
of your own life, and you
  can create your own
     legend or not.”
       Isabel Allende
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
   “Carpenters bend wood;
fletchers bend arrows; wise
  men fashion themselves.”
           — Buddha
  “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?’
you’ll 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
           Thriving in 24/7 (Sally Helgesen)

START AT THE CORE. Nimbleness only possible if we
  “locate our inner voice,” take regular inventory of
                    where we are.
  LEARN TO ZIGZAG. Think “gigs.” Think lifelong
  learning. Forget “old loyalty.” Work on optimism.
  CREATE OUR OWN WORK. Articulate your value.
 Integrate your passions. I.D. your market. Run your
                   own business.
WEAVE A STRONG WEB OF INCLUSION. Build your
 own support network. Master the art of “looking
                 people up.”
  THE I work for a
 company called Me
STREET JOURNAL
  Adventures in Capitalism
 THE rise up and flee
your cubicle STREET
     JOURNAL
  Adventures in Capitalism
  Bill Parcells’ World/
   Brand You World!

BLAME NOBODY!
EXPECT NOTHING!
 DO SOMETHING!
      NY Post (9/99)
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
20. Boss Job One:
 The Talent
 Obsession.
“When land was the scarce
 resource, nations battled
    over it. The same is
    happening now for
     talented people.”
Stan Davis & Christopher Meyer, futureWEALTH
 “Historically, smart
 people have always
 turned to where the
 money was. Today,
 money is turning to
where the smart people
   are.” —FT/06.03.03
“In a curious reversal, instead of
  people moving to jobs, I was
   finding that companies were
 moving to or forming in places
 that had skilled people.” —Richard
    Florida, The Rise of the Creative Class
   “The Creative Class derives its
identity from its members’ roles as
  purveyors of creativity. Because
   creativity is the driving force of
    economic growth, in terms of
  influence the Creative Class has
   become the dominant class in
 society.” —Richard Florida, The Rise of the Creative
                   Class (38M, 30%)
“Seller’s Market”: Tomorrow’s Headline*

“Molecular biologists are
 up 3 points, economists
       down 1/4, in
    moderate trading”
    *futureWEALTH, Stan Davis and
           Christopher Meyer
        Age of Agriculture
          Industrial Age
Age of Information Intensification
 Age of Creation Intensification
 Source: Murikami Teruyasu, Nomura Research Institute
Brand =
Talent.
                Talent!

Tina Brown: “The first thing
 to do is to hire enough
talent that a critical mass
  of excitement starts to
          grow.”
    Source: Business2.0/12.2002-01.2003
The Talent Ten
  1. Obsession

P.O.T.* = All
Consuming
   *Pursuit of Talent
Model   25/8/53
Sports Franchise GM*

         *48 = $500M
  “In most companies, the Talent Review
Process is a farce. At GE, Jack Welch and
 his two top HR people visit each division
   for a day. They review the top 20 to 50
  people by name. They talk about Talent
   Pool strengthening issues. The Talent
Review Process is a contact sport at GE; it
has the intensity and the importance of the
budget process at most companies.”—Ed
                  Michaels
   “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
  PARC’s Bob Taylor:

“Connoisseur
  of Talent”
 Les Wexner: From
sweaters to people!
     Talent (Not) on His Mind
Norman Pearlstine, Editor-in-Chief,
  Time Inc. asked a magazine’s
   managing editor to name 10
   people outside Time that the
  magazine should pursue: “He
    said, I can’t think of any.’ ”

      Source: New York Times/05.12.2003
   Visibly energetic/ Passionate/ Enthusiastic … about
                          everything.
          Engaging/ Inspires others. (Inspires the
                         interviewer!)
                Loves messes & pressure.
                 Impatient/ Action fanatic.
                         A finisher.
Exhibits: Fat “WOW Project” Portfolio. (Loves to talk about
                           her work.)
                           Smart.
    Curious/ Eclectic interests/ A little (or more) weird.
   Well-developed sense of humor/ Fun to be around.
                             ******
No. 1 re bosses: Exceptional talent selection & development
    record. (Former co-workers: “Did you visibly grow while
    working with X?” / “How has the department/team grown
          on a ‘world-class’ scale during X’s tenure?”)
    2. Greatness

Only The Best!
From “1, 2 or you’re out” [JW]
            to …

  “Best Talent in
each industry segment to
  build best proprietary
    intangibles” [EM]
    Source: Ed Michaels, War for Talent
 “Differentiation is all about being
 extreme, rewarding the best and
weeding out the ineffective. … You
   build strong teams by treating
individuals differently. Just look at
  the way baseball teams pay 20-
game winning pitchers and 40-plus
  homerun hitters.”—Jack Welch
  3. Performance

Up or out!
  “We believe companies can increase their
   market cap 50 percent in 3 years. Steve
                    changed 20 of
Macadam at Georgia-Pacific
 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
            people are
Message: Some
  better than other
people. Some people
  are a helluva lot
  better than other
       people.
   4. Pay

Fork Over!
“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)
    5. Youth

Grovel Before
 the Young!
  “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]
8 Minutes*
—Dr. Sugata Mira, NIIT/ New Delhi/
             1999**

                   *Ignorance to Surfing
 **And then there’s oya yubi sedai, the “thumb generation”
   6. Diversity

Mess Rules!
  “Where do good new ideas come
      from? That’s simple! From
  differences. Creativity comes
 from unlikely juxtapositions.
The best way to maximize differences
     is to mix ages, cultures and
             disciplines.”
          Nicholas Negroponte
  “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
    CM Prof Richard Florida on
“Creative Capital”: “You cannot
   get a technologically
innovative place unless it’s
    open to weirdness,
eccentricity and difference.”
     Source: New York Times/06.01.2002
                         Duh!
    “We want our associate population to mirror our
customer population at every level, from the executive
 suite all the way to the retail floor. In the marketplace,
 basically what I want to do is draw a concentric circle
  around every one of our 2,300 stores, and I want the
 assortment in that store to match the ethnicity of the
   neighborhood it’s in. Some neighborhoods are all
Hispanic, so we can put in a full Hispanic format. That’s
     what Super Saver is. All the signage is in both
  languages. There’s a 100 percent Spanish-speaking
 staff in the store.”—Larry Johnston, CEO, Albertsons
 “Expose yourself to the best
things humans have done and
 then try to bring those things
   into what you are doing.”
 Steve Jobs, on the eclectic nature of the
      teams he concocts; people of
“extraordinary tastes” with “intriguing
             backgrounds”
    7. Women

Born to Lead!
“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
      8. Weird
The Cracked Ones
 Let in the Light!
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
       enough
“Are there
weird people in
 the lab these days?”
 V. Chmn., pharmaceutical house, to a lab director (06.01)
             “Deviance tells
 Deviants, Inc.
  the story of every mass
  market ever created. What
   starts out weird and dangerous
becomes America’s next big corporate
payday. So are you looking for the next
mass market idea? It’s out there … way
              out there.”
Source: Ryan Matthews & Watts Wacker, Fast Company (03.02)
         “The Bottleneck is at the
            Top of the Bottle”

 “Where are you likely to find people
 with the least diversity of experience,
the largest investment in the past, and
  the greatest reverence for industry
                 dogma?
               At the top!”
      — Gary Hamel, “Strategy or Revolution/
           Harvard Business Review
 9. Opportunity

Make It an
Adventure!
“H.R.” to “H.E.D.” ???


    Human
    Enablement
    Department
    “Firms will not ‘manage the
careers’ of their employees. They
   will provide opportunities to
 enable the employee to develop
   identity and adaptability and
  thus be in charge of his or her
            own career.”
Tim Hall et al., “The New Protean Career Contract”
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, mostly—caveat: “they”
don’t engage unless they’re “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 existed—and 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!
  Talent
Department
       People Department

   Center for Talent Excellence

Seriously Cool People Who Recruit
 & Develop Seriously Cool People

               Etc.
   10. Leading Genius

We are all unique!
 Beware Lurking HR Types …

  One size
NEVER fits all.
 One size fits
 one. Period.
    48 Players =
    48 Projects =
48 different success
     measures.
    MantraM3


Talent = Brand
  What’s your company’s …




Employee Value Proposition, per Ed
   Michaels et al., The War for Talent
  EVP = Challenge,
professional growth,
respect, satisfaction,
 opportunity, reward
Source: Ed Michaels et al., The War for Talent
   Talent’s “Big Two” Rules

 GREAT Finance Dept. =
 GREAT Football Team
DIFFERENCES Among Cello
  Players = DIFFERENCES
     Among Hotel GMs
           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 people’s 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
ADDENDA: Tom Peters’

      The

Talent50
               The Talent50
1. People first!
2. Soft is Hard.
3. FUNDAMENTAL PREMISE: We are in an Age
   of Talent/ Creativity/ Intellectual-capital
   Added.
4. Talent “excellence” in every part of the
   organization.
5. P.O.T./Pursuit Of Talent = Obsession.
6. HR sits at The Head Table.
7. HR is “cool.”
                    The Talent50
8. Re-name “HR.” (Talent Department, Center of Talent
   Excellence)
9. There’s an HR Strategy
10. There is a FORMAL Recruitment Strategy.
11. There is a FORMAL Leadership Development
    Strategy.
12. There is a “world class” Leadership Development
    Center.
13. There is a FORMAL-STRATEGIC HR Review
    Process.
14. The “Top100,” and every unit’s Top10, are
   consciously managed.
                  The Talent50
15. “People/Talent Reviews” are the FIRST reviews.
16. HR Strategy = Business Strategy.
17. Make it a Cause Worth Signing Up For..
18. Set Sky High Standards.
19. Enlist everyone in
    Challenge Century21.
20. Pursue the Best!
21. Up or Out.
22. Ensure that the Review Process has INTEGRITY.
23. Pay!
                The Talent50
24. Training I: Train! Train! Train!
25. TII: 100% “business people.”
26. TIII: 100% Leaders.
27. TIV: Boss as Trainer-in-Chief.
28. Open Communication I: NO BARRIERS.
29. Open Communication II: Share Information.
    (ALL!)
30. Respect!
31. INTEGRITY!
32. Treat the Whole Individual.
                 The Talent50
33. Places of “grace.”
34. MBWA: The “Rudy Rule.”
35. Thank You!
36. Promote for “people skills.”
    (ALL ELSE IS SECONDARY.)
37. Honor youth.
38. Early leadership assignments.
39. Fast Tracking is the norm.
40. Create a System of Mentoring.
                  The Talent50
41. Diversity!
42. Diversity starts on the Board of
    Directors.
43. WOMEN RULE.
44. Weird Wins.
45. We are all unique.
46. Bosses “win people over.”
47. GOAL: Adventures of Mutual
    Discovery.
48. Foster Independence.
49. Enthusiasm!
       The Talent50




50.   Talent =
      Brand.
21. Meet the New Boss:
  Women Rule!
“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
      Lawrence A. Pfaff & Assoc.
 — 2 Years, 941 mgrs (672M, 269F); 360º
                 feedback
— Women: 20 of 20; 15 of 20 with statistical
significance, incl. decisiveness, planning,
               setting stds.)
— “Men are not rated significantly higher by
   any of the raters in any of the areas
             measured.” (LP)
     The New Economy …
    Shout goodbye to
 “command and control”!
Shout goodbye to hierarchy!
Shout goodbye to “knowing
       one’s place”!
“Guys want to put everybody
 in their hierarchical place.
  Like, should I have more
 respect for you, or are you
   somebody that’s south
            of me?”
Paul Biondi, Mercer Consultants [from It’s Not
 Business, It’s Personal, Ronna Lichtenberg]
 “Society is based on male
standards with women seen
as anomalies deviating from
the male norm.” — Bi Puvaneu, Institute
        for Future Studies (Stockholm)
      Women’s 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, America’s Competitive Secret
    “On average, women and men
possess a number of different innate
skills. And current trends suggest
  that many sectors of the twenty-
first-century economic community
    are going to need the natural
         talents of women.”
 Helen Fisher, The First Sex: The Natural Talents of
  Women and How They Are Changing the World
 “American women possess leadership
abilities that are particularly effective in
today’s organizations, yet their abilities
 remain undervalued and underutilized.
 In the future, what will distinguish one
   organization and one country from
     another will be its use of human
   resources. Today human resource
utilization is not only a matter of social
     justice but a bottom-line issue.”
  Judy Rosener, America’s Competitive Secret
“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 day’s events?
    Who is better at keeping in touch with others?”

Source: Selling Is a Woman’s Game: 15 Powerful Reasons Why
  Women Can Outsell Men, Nicki Joy & Susan Kane-Benson
“Investors are looking more and more
 for a relationship with their financial
 advisers. They  want someone
they can trust, someone who
listens. In my experience, in general,
    women may be better at these
 relationship-building skills than are
                men.”
  Hardwick Simmons, CEO, Prudential Securities
                 Work’s Rewards

F: Relationships, respect, self-realization.
    M: Title, salary, power. (“In all my
research with men, I’ve never once heard
   a mention about the importance of
              relationships.”)
 Source: Susan Rice, former Director of Communications,
       BBDO Europe (from “A Dignified Woman”)
  “Thank you”



 17 Men: 8
4 Women: 19
Ass Of The Year2002 (?): Maurice Greenberg, A.I.G., on
       the Company’s New (All Male) Leadership Team

  “In a lot of countries of the world, it
 would be very difficult for a woman to
       be a good CEO. … I have a
responsibility to do the best we can for
           shareholders.” * **
             *Source: New York Times/05.05.02
  **Wouldn’t you love to watch him tell that … face-to-
face … to Margaret Thatcher or Carly Fiorina? (I would.)
Okay, you think I’ve gone tooooo far.

      DO ANY
 How about this:

OF YOU SUFFER
  FROM TOO
MUCH TALENT?
63 of 2,500 top earners in F500
      8% Big 5 partners
14% partners at top 250 law firms
43% new med students; 26% med
      faculty; 7% deans

 Source: Susan Estrich, Sex and Power
“It’s time for U.S. organizations
 to act. No other country in the
world has a comparable supply
of professional women waiting
to be called into action. This is
America’s competitive secret.”
Judy B. Rosener, America’s Competitive Secret
                 Opportunity!
                 U.S.          G.B. E.U. Ja.
M.Mgt.           41%           29% 18% 6%
T.Mgt.           4%            3%   2%   <1%
Peak Partic. Age 45            22   27   19
% Coll. Stud.    52%           50% 48% 26%


Source: Judy Rosener, America’s Competitive Secret
               It’s Girls, Stupid!
1996: 8.4M women, 6.7M men in college (est:
9.2 to 6.9 in 2007); more women than men in
    high-level math and science courses
More girls in student govt., honor societies;
girls read more books, outperform boys in
artistic and musical ability, study abroad in
               higher numbers
Boys do rule: crime, alcohol, drugs, failure to
             do homework (4:1)

       Source: The Atlantic Monthly (May2000)
  M-F GPAs: All: 2.92M vs. 3.07F;
  Arts: 3.08M, 3.13F; Bus: 2.79M,
2.96F; Science/Math: 2.98M, 3.18F;
   Eng/CompSci: 2.96M, 3.17F.

 % Professional Degrees: F ’77:
 19%; F ’94: 41% (45% Ph.D.s)
  “THE NEW GENDER
GAP: From kindergarten
to grad school, boys are
  becoming the second
     sex”—Cover story,
  BusinessWeek/26 May 2003
Girls lead: Student gov’t, music &
   performing arts, yearbook &
  newspaper, academic clubs.

   Boys lead: Sports, learning
   disabilities, diagnosed with
     emotional disturbances
   Source: The New Gender Gap/BusWeek/05.26.03
                 Degree Gap*

Wom:Men/Bachelor’s … 2000: 133;
         2010: 142

Wom:Men/Master’s … 2000: 138;
         2010: 151
  * Whites, Blacks, Hispanics, Asians, Native Americans

   Source: The New Gender Gap/BusWeek/05.26.2003
  Workforce participation rate:
   Women … soaring; men …
          declining.

 Voter participation rate: Men …
plummeting; women … declining
  Source: The New Gender Gap/BusWeek/05.26.2003
“Boys are trained in
a way that will make
  them irrelevant.”
     Phil Slater
            Read This!

 “Winning the Talent War
for Women: Sometimes It
   Takes a Revolution”
 Douglas McCracken, HBR [11-12/2000]
  “Deloitte was doing a great job of hiring high-
 performing women; in fact, women often earned
higher performance ratings than men in their first
years with the firm. Yet the percentage of women
decreased with step up the career ladder. … Most
women weren’t leaving to raise families; they
had weighed their options in Deloitte’s male-
dominated culture and found them wanting.
Many, dissatisfied with a culture they perceived as
 endemic to professional service firms, switched
                   professions.”
Douglas McCracken, “Winning the Talent War for Women” [HBR]
    “The process of assigning plum
accounts was largely unexamined. …
 Male partners made assumptions:
   ‘I wouldn’t put her on that kind of
     company because it’s a tough
 manufacturing environment.’ ‘That
client is difficult to deal with.’ ‘Travel
puts too much pressure on women.’ ”
Douglas McCracken, “Winning the Talent War
           for Women” [HBR]
Goldsmith College research (UK): Gender
 stereotypes re-enforced. Men who extoll
  successes rewarded, women not. Men
 who face interviewer head on upgraded;
 women who look at floor or use sidelong
   glances do better. Women who nod
 repeatedly do better, not men. Men who
give long answers score well, women who
 give short answers do well. (College grads
     seeking jobs; HR interviewers—2 M, 2F.)
       Source: The Observer/ London/ 01.12.2003
 “Would Congress [the
Boardroom] be a different
place if half the members
     were women?”
From Sex and Power, Susan Estrich
Norwegian Law: Boards must have




 at least

            women.
 22. Brand Talent+:
Addressing the
  Education
   Fiasco
“At the ultimate stage, competition
among nations will be competition
 among educational systems, for
 the most productive and richest
  countries will be those with the
   best education and training.”
         Richard Rosecrance,
      The Rise of the Virtual State
Losing the War
 to Bismarck
 (and Rockefeller)
J. D. Rockefeller’s General Education Board
(1906):   “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
“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 child—let alone our child—receive a poor
                         His teacher
grade in art at such a young age?
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!
“How many artists are there in the room? Would you please raise
  your hands. FIRST GRADE: En masse 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 participating
in the suppression of creative genius.”
Gordon MacKenzie, Orbiting the Giant Hairball: A Corporate Fool’s Guide to Surviving with Grace
An Unnatural
   Way to
  “Learn”
   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 room 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
   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 possess some vital
secret to which children must surrender their
        active learning time to acquire.”

     John Taylor Gatto, A Different Kind of Teacher
 Doing Stuff
that Matters!
 “What actually correlates with success are not
grades but ‘engagement’—genuine involvement
 in courses and campus activities. Engagement
   leads to ‘deep learning.’ That’s very different
from just memorizing stuff for an exam. As Russ
  Edgerton of the Pew Forum on Undergraduate
 Learning notes, ‘What counts is what students
 do in college, not who they are or where they
go to college, or what their grades are.’” —John
            Merrow/USA Today/02.2003
“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
“Children should be taught in
an active way by doing things
 and playing games. It’s very
 different to what is taught in
schools which involves sitting
      back and absorbing
 information.” —Edward de Bono/The
         Independent/10.28.2002
        The Learner’s Manifesto
      The 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
  “Really bright
   kids who just
  needed to get
excited” —teacher, Oakley
         School
    Tom’s
    Edu3M
   Manifesto*
*Manifesto for Education in the 3rd Millennium
                  Education3M
           Learning is a normal state.
            Children are learnavores.
 Prodigious feats of learning are common as dirt.
           [Watch an H.S. QB studying game film.]
             We learn at different rates.
             We learn in different ways.
        Boys and girls learn [very] differently.
 In a class of 25, there are 25 different trajectories.
      Learning in 40-minutes blocks is bullshit.
         Learning for tests is utterly insane.
There are numerous rigorous evaluation schemes,
of which testing is but one—and abnormal, by “real
                  world” standards.
                   Education3M
We learn most/fastest/most completely when we
are passionate about what we are learning and it
           matters to us. [Salience rules!]
      Think EBI/LBI: Education by Interest/
            Learning by Internship.
       Classrooms are abnormal places.
We need changes of pace. [Japanese recesses after each
                        class.]
International test scores are not correlated with
            hours-per-year in class.
Big classes are slightly problematic. Big schools
                  suck. Period.
                   Education3M
We learn most/fastest/most completely when we
are passionate about what we are learning and it
           matters to us. [Salience rules!]
      Think EBI/LBI: Education by Interest/
            Learning by Internship.
       Classrooms are abnormal places.
We need changes of pace. [Japanese recesses after each
                        class.]
International test scores are not correlated with
            hours-per-year in class.
Big classes are slightly problematic. Big schools
                  suck. Period.
                    Education3M
“All this”—the right stuff—fits the NWW/New World
    of Work hand-in-glove. [NWW = Age of Creativity.]
     U.S. schools circa 2001 are a vestige of the
Prussian-Fordist model, more interested in shaping
 behavior than stoking the fires of lifelong learning.
      Cutting art-music budgets is truly dumb.
Learning is a matter of Intensity of Engagement, not
 elapsed time. [Aargh: 11 minutes on the Battle of Gettysburg.]
 Teachers need enough space-time-flexibility to get
             to know kids as individuals.
 Scientific discovery processes and the teaching of
science are utterly at odds. [Exploration vs. spoon-feeding.]
                    Education3M
    Our toughest “learning achievement”—
   mastering our native language—does not
 require schools, or even competent parents. [It
         does require a desperate need-to-know.]
Great teachers are great learners, not imparters-
                  of-knowledge.
Great teachers ask great questions—that launch
             kids on lifelong quests.
   The world is not about “right” & “wrong”
 answers; it is about the pursuit of increasingly
    sophisticated questions—just ask a ski
          instructor or neurosurgeon.
                  Education3M
 Most schools spend most of their time setting
   up contexts in which kids learn not to like
  particular subjects. [Evidence shows that such anti-
                    learning sticks!]
 Vigorous exploration is normal … until you are
            incarcerated in a school.
    “Bite size” education-learning is neither
             education nor learning.
Learning takes place rapidly on the cheerleading
squad, the football team, the school newspaper,
the drama club, at the after-class job--just not in
        the hyper-structured classroom.
                      Education3M
The “school reform” “movement” is a giant step …
   backwards … embracing the Prussian-Fordist
    paradigm with renewed vigor—at exactly the
                        wrong time.
There are large numbers of superb schools, superb
principals, superb teachers; sadly, they not only fail
   to infect the [largely timid] rest, but are ordinarily
          supplanted by wusses & wimps.
 Alas, the teaching profession does not ordinarily
          attract “cool dudes & dudettes.”
 Schools of “education” should by and large have
                their charters revoked.
                     Education3M
   Stability is dead; “education” must
therefore “educate” for an unknowable,
  ambiguous, changing future; thence,
 learning to learn & change is far more
   important than mastery of a static
              body of “facts.”
    “Education” must “develop in youth the
capabilities for engaging in intense concentrated
 involvement in an activity.” [James Coleman, 1974.]
         [Hint: It doesn’t.] [Hint: Understatement.]
  “The boys who made the
   best ‘Grotties’ usually
turned out to be nonentities
   later; boys who hated
  Groton did much better.”
FDR biographer John Gunther (quoted in Whoever Makes the
   Most Mistakes Wins, Richard Farson & Ralph Keyes)
Ye gads: “Thomas Stanley has not only found no
  correlation between success in school and an
ability to accumulate wealth, he’s actually found
   a negative correlation. ‘It seems that school-
     related evaluations are poor predictors of
economic success,’ Stanley concluded. What did
 predict success was a willingness to take risks.
    Yet the success-failure standards of most
 schools penalized risk takers. Most educational
   systems reward those who play it safe. As a
result, those who do well in school find it hard to
                take risks later on.”
  Richard Farson & Ralph Keyes, Whoever Makes the Most Mistakes Wins
The NAESP …
Attributes of Those Who “Made” the 10th
           Grade History Book
– Committed!
– Determined to make a difference!
– Focused!
– Passionate!
– Irrational about their life’s project!
– Ahead of their time / Paradigm busters!
– Impatient! / Action Obsessed
Attributes of Those Who “Made” the 10th Grade
                History Book
  –Made lots of people mad!
  –Flouted the chain of command!
  –Creative / Quirky / Peculiar! / Rebels! /
   Irreverent!
  –Masters of improv / Thrive on chaos
   / Exploit chaos!
Attributes of Those Who “Made” the 10th Grade
                History Book
  –Made lots of people mad!
  –Flouted the chain of command!
  –Creative / Quirky / Peculiar! / Rebels! /
   Irreverent!
  –Masters of improv / Thrive on chaos
   / Exploit chaos!
Attributes of Those Who “Made” the 10th Grade
                 History Book

  –Forgiveness > Permission
  –Bone honest!
  –Flawed as the dickens!
  – “In touch” with their followers’
   aspirations
  –Damn good at what they do!
   VIII. NEW
BUSINESS: (NEW)
 BRAND INSIDE
    RULES
 Message   2002 …

BI > BO
        Brand Inside Rules!

“I came to see in my time
 at IBM that culture isn’t
  just one aspect of the
game—it is the game.”                          —Lou
   Gerstner, Who Says Elephants Can’t Dance?
          Brand Inside Rules!
 “If I could have chosen not to tackle
 the IBM culture head-on, I probably
wouldn’t have. My bias coming in was
      toward strategy, analysis and
     measurement. In comparison,
changing the attitude and behaviors of
 hundreds of thousands of people is
   very, very hard.” —Lou Gerstner, Who Says
             Elephants Can’t Dance?
  23. THINK
WEIRD … the HVA/
 High Value Added
     Bedrock.
 “We are crazy. We should do
something when people say it is
       If people say
  ‘crazy.’
something is ‘good’, it
means someone else is
  already doing it.”
       Hajime Mitarai, Canon
The Cortez Strategy!
        The
 THINK WEIRD:

High Standard
  Deviation
 Enterprise.
                Saviors-in-Waiting

 Disgruntled Customers
Off-the-Scope Competitors
     Rogue Employees
      Fringe Suppliers

Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on
    Fringe Competitors, Lost Customers, and Rogue Employees
 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
  “If you worship at the
throne of the voice of the
customer, you’ll get only
incremental advances.”
   Joseph Morone, President,
        Bentley College
“These days, you can’t succeed as a
 company if you’re consumer led –
because in a world so full of so much
 constant change, consumers can’t
    anticipate the next big thing.
Companies should be idea-
   led and consumer-
       informed.”
 Doug Atkin, partner, Merkley Newman Harty
   “The future has
already happened. It’s
    just not evenly
     distributed.”
     Adrian Slywotzky
“Generally, disruptive technologies
underperform established products
 in mainstream markets. But they
   have other features that a few
    fringe (and generally new)
        customers value.”
Clayton Christensen, The Innovator’s Dilemma
    W.I.W?


  20 of 26
7 of top 10*
*P&G: Declining domestic sales
 in 20 of 26 categories; 7 of top 10
       (The “billion-
categories.

  dollar” problem.)
   Source: Advertising Age 01.21.2002/BofA Securities
  Primary Obstacles to “Marketing-driven Change”

1. Fear of “cannibalism.”
2. “Excessive cult of the
consumer”/ “customer driven”/
“slavery to demographics, market
research and focus groups.”
3. Creating “sustainable
advantage.”
     Source: John-Marie Dru, Disruption
Account planning
has become “focus
group balloting.”
     —Lee   Clow
 “Chivalry is dead. The new code of conduct is
 an active strategy of disrupting the status quo
to create an unsustainable series of competitive
   advantages. This is not an age of defensive
 castles, moats and armor. It is rather an age of
cunning, speed and surprise. It may be hard for
 some to hang up the chain mail of ‘sustainable
      advantage’ after so many battles. But
 hypercompetition, a state in which sustainable
 advantages are no longer possible, is now the
           only level of competition.”
 Rich D’Aveni, Hypercompetition: Managing the Dynamics of
                   Strategic Maneuvering
       Ways to Raise a Purple Cow
 “Think small. One vestige of the TV-
industrial complex is a need to think
mass. If it doesn’t appeal to everyone,
  the thinking goes, it’s not worth it.
   Think of the smallest conceivable
market—and describe a product that
overwhelms it with remarkability. Go
              from there.”
   Source: Seth Godin, Fast Company (02.2003)
  “HAVE MBAs KILLED OFF MARKETING?                          Prof
   Rajeev Batra says: ‘What these times call for is more creative
and breakthrough reengineering of product and service benefits,
but we don’t train people to think like that.’ The way marketing is
  taught across business schools is far too analytical and data-
   driven. ‘We’ve taken away the emphasis on creativity and big
  ideas that characterize real marketing breakthroughs.’ In India
   there is an added problem: most senior marketing jobs have
    been traditionally dominated by MBAs. Santosh Desai, vice
 president, McCann Erickson, an MBA himself, believes in India
   engineer-MBAs, armed with this Lego-like approach, tend to
    reduce marketing into neat components. ‘This reductionist
 thinking runs counter to the idea that great brands must have a
    core, unifying idea.’ ”—Businessworld/04Nov2002/“Why Is
                      Marketing Not Working?”
Great “Merchants” * I have known:

      Sam (Walton)
      Les (Wexner)
     Mickey (Drexler)
        *The fingertips of a safecracker.
   The Fatal Assumption: “Analysis
        Produces Synthesis”
  “Planning by its very nature defines and
preserves categories. Creativity, by its very
  nature, creates categories or rearranges
 established ones ... The key is integration
   rather than de-composition, based on
 holistic images rather than linear words.”
                — Henry Mintzberg,
       The Rise and Fall of Strategic Planning
“BIG DRUG MAKERS TRY TO POSTPONE
CUSTOM REGIMENS. Most drugs don’t work
well for about half the patients for whom they are
      prescribed, and experts believe genetic
      differences are part of the reason. The
 technology for genetic testing is now in use. But
the technique threatens to be so disruptive to the
  business of big drug companies – it could limit
     the market for some of their blockbuster
   products – that many of them are resisting its
                 widespread use.”
         The Wall Street Journal (06.18.2001)
COMPETITORS: “The      best swordsman
 in the world doesn’t 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 doesn’t do the
  thing he ought to do, and so the expert isn’t
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
“The short road to ruin is to
emulate the methods of your
        adversary.”
         — Winston Churchill
  Employees: “Are there
  enough weird
people in the lab these
                    days?”
V. Chmn., pharmaceutical house, to a lab director (06.01)
                   is an ominous
   Suppliers: “There
  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
  Top-performing Companies

 “Extremely contentious
   boards that regard
dissent as an obligation
and that treat no subject
 as undiscussable.” —Jeffrey
    Sonnenfeld, Yale School of Management
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
         “The Bottleneck is at the
            Top of the Bottle”

 “Where are you likely to find people
 with the least diversity of experience,
the largest investment in the past, and
  the greatest reverence for industry
                 dogma?
               At the top!”
      — Gary Hamel, “Strategy or Revolution/
           Harvard Business Review
“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
    “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
 We become
who we hang
 out with!
   Message: TAKE
  SOMEONE NEW &
  WEIRD TO LUNCH
TODAY OR TOMORROW.
 [Inundate yourself with weird.]
     WEIRD IDEAS THAT WORK: (1) Hire slow learners (of the
      organizational code). (1.5) Hire people who make you
   uncomfortable, even those you dislike. (2) Hire people you
 (probably) don’t need. (3) Use job interviews to get ideas, not
to screen candidates. (4) Encourage people to ignore and defy
superiors and peers. (5) Find some happy people and get them
    to fight. (6) Reward success and failure, punish inaction.
(7) Decide to do something that will probably fail, then convince
yourself and everyone else that success is certain. (8) Think of
     some ridiculous, impractical things to do, then do them.
(9) Avoid, distract, and bore customers, critics, and anyone who
just wants to talk about money. (10) Don’t try to learn anything
  from people who seem to have solved the problems you face.
    (11) Forget the past, particularly your company’s success.
 Bob Sutton, Weird Ideas That Work: 11½ Ideas for Promoting,
            Managing, and Sustaining Innovation
Kevin Roberts’ Credo
1. Ready. Fire! Aim.
2. If it ain’t broke ... Break it!
3. Hire crazies.
4. Ask dumb questions.
5. Pursue failure.
6. Lead, follow ... or get out of the way!
7. Spread confusion.
8. Ditch your office.
9. Read odd stuff.
10. Avoid moderation!
   Advice to Corporate Leaders: “Consider the
 metaphor of the windmill: You can harness raw
  power but you can’t control it. … Hire artists,
    clowns, or other disrupters to come in and
challenge your corporate environment. … Hire a
corporate anthropologist to analyze how tolerant
    your organization is of deviants and other
  innovators. … Once the anthropologist
leaves, hire a shaman to drive out the
    evil spirits of conformity. …”
Source: Ryan Matthews & Watts Wacker, Fast Company (03.02)
             “Deviance tells
 Deviants, Inc.
  the story of every mass
  market ever created. What
   starts out weird and dangerous
becomes America’s next big corporate
payday. So are you looking for the next
mass market idea? It’s out there … way
              out there.”
Source: Ryan Matthews & Watts Wacker, Fast Company (03.02)
 “ ‘Giant’ projects contain within them the
  almost certain seeds of mediocrity. The
   very fact of their size causes constant
scrutiny and thence ‘political’ interference.
Such ‘oversight’ drains the passion of the
    champions and risks—to the point of
    certainty—fatal ‘dumbing down’ and
   thence loss of the very distinction and
  quirkiness sought in the first place.”—
              Exec, Hollywood
    Innovation Source No. 1*:

PPPs/Personally Pissed-off
              People

“Branson started Virgin Atlantic
because flying other airlines was
   so dreadful.” —Fortune/05.13.2002
     *And there is no No. 2!
                 Renewal = The Weird 10 =
            The “High S.D.” Enterprise/Individual
                    Pioneer [Weird] Acquisitions
 Pioneer Customers & Alliance Partners [Measure the Portfolio’s S.D.]
Divide & Conquer/“Sell-by” [Lessons from the Bees, Sir Richard, Gary H.]
        Pioneer Assignments/Pioneer Projects [F2F & K2K]
   Hire Weird [Diversity]/Train Weird/Promote Weird/Pay Gobs &
Promote Fast & Cherish “Six Sigma” Talent/Appoint a Weird Board
              Weed Un-weird [“One Sigma” “Talent,” etc.]
       Hang out with Weird [Univ. of Weird]/Lunch with Weird/
                Read & Surf Weird/Vacate Weird
     R.A.F. to R.F.A. to F.F.F. [O.O.D.A. Loops/Prototyping Mania]
           Sense of Humor [Rhapsodize Over Thine Failures]
            Re-enforce a “Culture of Disrespect”/Piracy
 Big Idea/s

  V.C.
  GM
Portfolio
 Roster
24. Brand Inside
      The
Summary:
10 Basics
 Message   2002 …

BI > BO
           The Brand Inside        10
BI1. The Execution Imperative: An “Action Culture”
BI2. Cherish Failures
BI3. Dent the Universe: WOW Projects/BHAGs
BI4. “Tell Me a Story”: Demo Mania
BI5. Cut the Crap: WebWorld = ALL
BI6. “Beautiful” Systems
BI7. The Modified Basis for Value Added: The New
     “Brand Inside Warriors”
BI8. Talent Time
BI9. The “HSDE”: Weird Begets Weird
BI10. A Brand New/Brand You World
Jesper Kunde’s Challenge:
  All business processes
should be aligned with the
   Brand/Value Promise.
Think … Brand Driven
      Systems!
IX. NEW BUSINESS.
NEW LEADERSHIP.
  25. The Passion
  Imperative:   The


Leadership
The Basic
Premise.
1. Leadership Is a …
    Mutual
  Discovery
   Process.
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, mostly—caveat: “they”
don’t engage unless they’re “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 existed—and 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!
Organizing Genius / Warren Bennis and Patricia
              Ward Biederman


 “Groups become great only when
  everyone in them, leaders and
members alike, is free to do his or her
         absolute best.”

 “The best thing a leader can do for a
Great Group is to allow its members to
      discover their greatness.”
“I don’t
know.”
“Ninety percent of what
 we call ‘management’
  consists of making it
difficult for people to get
    things done.” – P.D.
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
“Firms will not ...
“ ‘manage’ employees’ careers ...
“[They] will provide opportunities and
resources ... to enable the employee to
develop identity and adaptability and thus
be in charge of his or her own career.”
Source: Douglas T. Hall and Jonathan Moss,
“The New Protean Career Contract” (Organizational Dynamics)
   The
Leadership
  Types.
  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.
25/8/53*
   (*Damn it!)
 Whoops: Jack
didn’t have a vision!
T.A.:
3. But Then Again, There
  Are Times When This
  “Cult of Personality”
(Type II Leadership) Stuff
    Actually Works!
“A leader is a
  dealer in
   hope.”
         Napoleon
  (+TP’s writing room pics)
    4. Find the
 “Businesspeople”!
(Type III Leadership)
I.P.M.   (Inspired Profit
   Mechanic)
5. All Organizations
Need the Golden
  Leadership
   Triangle.
The Golden Leadership
 Triangle: (1) Creator-
Visionary … (2) Talent
Fanatic-Mentor-V.C. …
   (3) Inspired Profit
        Mechanic.
   The Essential Tension
— Keeper of the Flame of Creation
  (Brahma = Creator)
— Keeper of the Flame of Preservation
  (Vishnu = Preserver)
— Keeper of the Flame of Destruction
  (Shiva = Destroyer)
6. Leadership Mantra
      ALL
    #1: IT
  DEPENDS!
Renaissance Men
are … a snare, a
myth, a delusion!
  7. The Leader Is
Rarely/Never the
Best Performer.
  33 Division Titles. 26
 League Pennants. 14
World Series: Earl Weaver—0.
 Tom Kelly—0. Jim Leyland—0.
   Walter Alston—1AB. Tony
LaRussa—132 games, 6 seasons.
 Tommy Lasorda—P, 26 games.
  Sparky Anderson—1 season.
   The
Leadership
  Dance.
8. Leaders …
SHOW UP!
 “The first and greatest
imperative of command
   is to be present in
   person. Those who
  impose risk must be
 seen to share it.” —John
  Keegan, The Masks of Command
“A body can pretend
  to care, but they
 can’t pretend to be
   there.”
         — Texas Bix Bender
         P.S. …

        5,000
Mark McCormack:

miles for a 5
min. meeting!
9. Leaders …
 LOVE the
  MESS!
“I’m not comfortable
       unless
I’m uncomfortable.”
       —Jay   Chiat
“If things seem
under control,
you’re just not
     going
 fast enough.”
   Mario Andretti
10. Leaders
 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!)
“We have a ‘strategic’
plan. It’s called doing
        things.”
       — Herb Kelleher
“You miss 100 percent
of the shots you don’t
        take.”
       — Wayne Gretsky
11. Leaders

Re     -do.
  “If Microsoft is good at anything, it’s
   avoiding the trap of worrying about
   criticism. Microsoft fails constantly.
 They’re eviscerated in public for lousy
products. Yet they persist, through
 version after version, until they get
   something good enough. Then they
  leverage the power they’ve gained in
other markets to enforce their standard.”
              Seth Godin, Zooming
  “The lesson is the importance of
  relentless readjustment. At
  Microsoft they never get it right,
but they’re constantly, relentlessly
 adjusting. And somehow, through
   constant readjustment practice
  over time, they gradually weave
their way to the right place.” —George
         Colony, Forrester Research
   “Sony Electronics has a well-
 earned reputation for persistence.
  The company’s first entry into a
new field often isn’t very good. But,
 as it has shown in laptops, Sony
 will keep trying until it gets
           it right.”
         Business Week (5/01)
 “If it works,
it’s obsolete.”
    —Marshall McLuhan
12. BUT … Leaders
Know When to

     Wait.
 Tex Schramm:   The
“too hard”
      box!
 13. Leaders Are …
Optimists.
Hackneyed but none the less
   LEADERS SEE
true:
 CUPS AS “HALF
     FULL.”
           “[Ronald
Half-full Cups:
Reagan] radiated an
almost transcendent
   happiness.”
       Lou Cannon, George (08.2000)
14. Leaders …
DELIVER!
 “Leaders don’t
 ‘want to’ win.
Leaders ‘need
   to’ win.”
       #49
“It is no use saying ‘We
are doing our best.’ You
 have got to succeed in
      doing what is
    necessary.” —WSC
“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 played—or does she keep
     wandering back to strategy or
       philosophy?” —Larry Bossidy,
     Honeywell/AlliedSignal, in Execution
  15. BUT …
  Leaders Are
Realists/Leaders
 Win Through
  LOGISTICS!
 The “Gus
Imperative”!
16. Leaders
FOCUS!
“To   Don’t ”
       List
          It’s T-H-R-E-E, Stupid!
 “I used to have a rule for myself that at any
 point in time I wanted to have in mind — as
it so happens, also in writing, on a little card
   I carried around with me — the three big
  things I was trying to get done. Three. Not
    two. Not four. Not five. Not ten. Three.”
       — Richard Haass, The Power to Persuade
 17. Leaders …
  Set CLEAR
DESIGN SPECS.
Danger:   S.I.O.        (Strategic
      Initiative Overload)
JackWorld/  1@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!
   18. Leaders …
 Send V-E-R-Y
Clear Signals About
   Design Specs!
Ridin’ with Roger: “What   have
       you done to
    DRAMATICALLY
 IMPROVE quality in the
     last 90 days?”
If It Ain’t
Broke …
Break It.
19. Leaders …
 FORGET!/
  Leaders …
DESTROY!
      Forget>“Learn”
“The problem is never how
   to get new, innovative
 thoughts into your mind,
but how to get the old
     ones out.”
        Dee Hock
   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.
S&P 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
Cortez!
Leaders “dump     the
ones who brung
 ’em” —Nokia, HP, 3M,
 PerkinElmer, Corning, etc.
20. BUT … Leaders
Have to Deliver, So They
Worry About “Throwing
 the Baby Out with the
      Bathwater.”
 “Damned If You
Do, Damned If You
 Don’t, 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)
21. Leaders …
HONOR THE
USURPERS.
     Saviors-in-Waiting

Disgruntled Customers
 Upstart Competitors
  Rogue Employees
   Fringe Suppliers
  Wayne Burkan, Wide Angle Vision
       WE
 Leaders know …

BECOME WHO
  WE HANG
   WITH!
22. Leaders Make
[Lotsa] Mistakes
 – and MAKE NO
BONES ABOUT IT!
DG to TP: “Sam
is not afraid
  to fail.” *
*NASA failing #1, from the shuttle disaster report (July 2003):
      “fear of retribution by lower-level employees.”
“Fail faster.
  Succeed
  sooner.”
   David Kelley/IDEO
  Fail.
Forward.
Fast.
    –High-tech Exec
“No matter. Try
  again. Fail
  again. Fail
better.” —Samuel Beckett
“Success is the ability
  to go from failure to
 failure without losing
   your enthusiasm.”
      Winston Churchill
    (as quoted by John Peterman)
   “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)
 23. Leaders Make …
BIG MISTAKES!
    “Reward
   excellent
 failures. Punish
mediocre successes.”
 Phil Daniels, Sydney exec (and, de facto, Jack)
   Silicon Valley Success
      [Failure?] Secrets

“Pursuit of risk”: 4 of 20 in V.C.
portfolio go bust; 6 lose money;
     6 do okay; 3 do well;
     1 hits the jackpot
       Source: The Economist
Create.
   24. Leaders Know that
  THERE’S MORE TO LIFE
THAN “LINE EXTENSIONS.”
Leaders Love to CREATE NEW
         MARKETS.
 “Acquisitions are about
buying market share. Our
 challenge is to
 create markets.
There is a big difference.”
       Peter Job, CEO, Reuters
 No one ever made it
into the Business Hall
of Fame on a record of
   “line extensions.”
25. Leaders … Make
  Their Mark /
Leaders … Do Stuff

 That Matters
“I never, ever thought of myself
  as a businessman.I was
 interested in creating
   things I would be
  proud of.” —Richard Branson
   “In 1933, Thomas J.
    Watson Sr. gave a
  speech at the World’s
    Fair, ‘World Peace
through World Trade.’ We
  stood for something,
     right?” —Sam Palmisiano
1st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or
                    4/“One Great Thing.”
                 Source #1: Personal Passion)

 2ND Law: REAL REASON TO BELIEVE (Stand & Deliver!)


        3RD Law: DRAMATIC
 DIFFERENCE (Execs Don’t Get It:
“intent to purchase” – 100%; “unique” – 0% to
                     5%)

     Source: Jump Start Your Business Brain, Doug Hall
Legacy!
  Herman Edwards: “I picked up one of
 those Jets books and I told them, ‘What
 you do as a football team is your legacy.
  When you’re 80 years old, what you’ve
 done will be in this book and no one can
take that away from you. Your grandkids,
 your kids after that, they will know what
 you did. It’s about leaving your name in
                   stone.”

       Source: The New York Times (12.31.02)
  CEO Assignment2002 (Bermuda):
“Please leap forward to 2007, 2012, or
 2022, and write a business history of
         What will have
  Bermuda.
  been said about your
  company during your
        tenure?”
Ah, kids: “What is your vision for
  the future?” “What have you
  accomplished since your first
   book?” “Close your eyes and
imagine me immediately doing
  something about what you’ve
   just said. What would it be?”
     “Do you feel you have an
 obligation to ‘Make the world a
           better place’?”
 26. Leaders Push Their
          W-a-y Up
Organizations
 the Value-added/
Intellectual Capital
       Chain
  09.11.2000: HP bids
$18,000,000,000
           for
PricewaterhouseCoopers
  Consulting business!
 27. Leaders
LOVE the
New Technology!
square feet
28. Needed? Type IV
  Leadership:
  Technology
 Dreamer-True
     Believer
  The Golden Leadership
  Quadrangle: (1) Creator-
   Visionary … (2) Talent
 Fanatic-Mentor-V.C. … (3)
Inspired Profit Mechanic. (4)
 Technology Dreamer-True
          Believer
Talent.
29. When It Comes to
  TALENT …
Leaders Always Swing
   for the Fences!
          Talent’s Rules
1. Talent = 25/8/53
2. Some people are better than
   other people. Some people are a
   helluva lot better than other
   people
3. Think “Roster”
4. Think “V.C.”
5. Talent = Brand
6. Talent is what leaders do.
30. Leaders Don’t
Create “Followers”:
THEY CREATE
  LEADERS!
    “I start with the
    premise that the
function of leadership
  is to produce more
   leaders, not more
  followers.”—Ralph Nader
Brand You, Big Time!


 I AM AN
ARMY OF
   ONE
 31. Leaders “Win
Followers Over”
WHAT AN IDIOT: “Instead
of employees being in the driver’s
  seat, now we’re in the driver’s
             seat.”
  “Coaching
PJ:

 is winning
players over.”
     “Quality Service”

 “... Superb, graceful,
    beautiful, divine,
wonderful, an aesthetic
        gesture”
    — James Hillman, Kinds of Power
“I didn’t have a ‘mission statement’ at
  Burger King. I had a dream. Very
simple. It was something like, ‘Burger
 King is 250,000 people, every one of
    whom gives a shit.’ Every one.
  Accounting. Systems. Not just the
  drive through. Everyone is ‘in the
   brand.’ That’s what we’re talking
         about, nothing less.”
             — Barry Gibbons
Passion.
32. Leaders …
   Out Their

PASSION!
G.H.:“Create a
‘cause,’ not a
 ‘business.’ ”
“Vision is a love
 affair with an
 idea.”       —Boyd Clarke & Ron
  Crossland, The Leader’s Voice
 “Coca-Cola was Roberto Goizueta’s
painting. It was never finished, and he
was never totally satisfied with it. But
he had the Sistine Chapel in his head,
  and he was always working on it.”
            — Warren Buffett
33. Leaders Know:
 ENTHUSIASM
   BEGETS
 ENTHUSIASM!
BZ: “I am a …
 Dispenser of
Enthusiasm!”
“I overcame every single one of my
personal shortcomings by the sheer
  passion I brought to my work.”
 “Don’t become too predictable.”
“Swim upstream. Go the other way.
  Ignore conventional wisdom.”

                     Source: Sam Walton
  Hint: All this gets much harder as you become bigger.
 “You can’t behave in a calm,
rational manner. You’ve got to
  be out there on the lunatic
       fringe.” — Jack Welch,
        on GE’s quality program
34. Leaders Are …
 in a Hurry
   The Urgency
Factor: LEADERS
… have a distorted
 sense of time. (E.g.:
Rummy thinks he asked months ago … it was
        the day before yesterday.)
 35. Leaders
 Focus on the
SOFT STUFF!
“Soft” Is
 “Hard”
   - ISOE
 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. TP’s final words: CYNICISM SUCKS.]
“Ph.D. in leadership. Short course: Make a
short list of all things done to you that you
 abhorred. Don’t do them to others. Ever.
Make another list of things done to you that
  you loved. Do them to others. Always.”
                 — Dee Hock
The “Job” of
  Leading.
 36.   Leaders Know It’s

ALL SALES ALL
  THE TIME.
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
“Everybody lives by
selling something.”
    — Robert Louis Stevenson
  If you don’t LOVE
TP:
   SALES … find
another life. (Don’t pretend
      you’re a “leader.”) (See TP’s
             The Project50.)
 37. Leaders
  LOVE
“POLITICS.”
TP:If you don’t LOVE
  POLITICS … find
another life. (Don’t pretend
       you’re a “leader.”)
38.   But … Leaders Also

Break a Lot of
    China
   If you’re not
pissing people off,
you’re not making
   a difference!
39. Leaders
  Give …
RESPECT!
   “It was much later that I realized Dad’s
 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
                           was
 bishop or a college president. He
seriously interested in who you
were and what you had to say.”
      Sara Lawrence-Lightfoot, Respect
  Mr. Sam’s Rules
      Commit.
       Share.
      Motivate.
   Communicate.
    Appreciate.
     Celebrate.
       Listen.
Exceed expectations.
 Control expenses.
  Swim upstream.
                   Trust
“ ‘Empowerment has become the biggest gap
   between walk and talk in America. I hear
 CEOs stand at podiums and say, ‘How do we
  get rid of five thousand more?’ We should
forget the word empowerment and go back to
plain English. Empowerment is nothing more
          than a fancy word for trust.”
               — Barry Gibbons
                 Amen!

“What creates trust, in the
    end, is the leader’s
 manifest respect for the
followers.” — Jim O’Toole, Leading Change
      Trust: Delegated Ability to Fail
  “ ‘Trust’ is the delegated ability to fail ... the
ability for me or the security guy or the janitor
to go out there and make a difference and add
   value to the level that they can fail. It’s not
 natural to ‘captains of industry,’ and until we
    fix it we’ll never have empowerment that
           means anything.”— Barry Gibbons
40. Leaders Say
“Thank
 You.”
“The two most powerful things
              a kind
    in existence:

        word and a
        thoughtful
         gesture.”
 Ken Langone, CEO, Invemed Associates [from Ronna
     Lichtenberg, It’s Not Business, It’s Personal]
 “The deepest human
        need to
need is the
be appreciated.”
       William James
      The Rule of Positioning

  “If you can’t describe your
position in eight words or less,
  you don’t have a position.”
    — Jay Levinson and Seth Godin, Get What You
                  Deserve!
             “We look for ...

 “... listening, caring,
smiling, saying ‘Thank
  you,’ being warm.”
— Colleen Barrett, President, Southwest Airlines
41. Leaders
  Are …
 Curious.
         The Three Most
TP/08.2001:
   Important Letters …
42. Leadership
    Is a …
Performance.
“It is necessary for the
  President to be the
         No. 1
  nation’s
      actor.”
          FDR
 “You can’t lead a
 cavalry charge if
   you think you
  look funny on a
horse.” —John Peers, President, Logical
           Machine Corporation
Seven Seconds to Make an Impression
— Amp up your attitude [It’s energy,
  stupid!]
— Recognize “face value” [no “poker face”]
— Give your message a mission [don’t
  forget your agenda]

Source: Roger Alles, CEO, Fox News, Fast Company
“Find something small
   that you can turn
around. If you’re on a 9-
game losing streak, you
 need to start with one
 great inning.”—Rudy
43.   Leaders …   Are
  The Brand
 “You must be
 the change you
wish to see in the
     world.”
       Gandhi
 The BRAND lives (OR
DIES) in the “minutiae”
of the leader’s moment-
  to-moment actions.
 44. Leaders …
     GREAT
Have a
   STORY!
“A key – perhaps the key –
     to leadership is
       the effective
     communication
       of a story.”
           Howard Gardner
Leading Minds: An Anatomy of Leadership
“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
                    Companies will
to how we work with others.
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
Leaders don’t just make products
      and make decisions.

Leaders make
meaning.           – John Seely Brown
  Stories … Paint me a picture …
Story “infrastructure” … Demos …
 Quick prototypes … Experiments
    … Heroes … Renegades …
   Leadfrogs … Skunkworks …
  Demo Funds … V.C. … G.M. …
   Roster … Portfolio … Stone’s
       Rules … JKC’s Rules
Introspection.
45. Leaders …
Enjoy Leading.
“Warren, I know you
    want to ‘be’
 president. But do
  you want to ‘do’
    president?”
  “[Bertelsman’s Reinhard]
Mohn wasn’t 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
 46. Leaders …
   KNOW
THEMSELVES.
  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.)
47. But … Leaders
have   MENTORS.
                  Upon
 The Gospel According to TP:

  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.)
48. Leaders …
Take Breaks.
Zombie!
Zombie!
Zombie!
Zombie!
The End
 Game.
49. Leaders
  ???:
  “Leadership is the
     PROCESS of
ENGAGING PEOPLE in
CREATING a LEGACY
  of EXCELLENCE.”
“ ‘It’s only business,
 not personal’ … IT
    ALWAYS IS
   PERSONAL.”
   “Hire smart – go
bonkers – have grace –
 make mistakes – love
 technology – start all
     over again.”
“LEADERS NEED TO
 BE THE ROCK OF
  GIBRALTAR ON
 ROLLER BLADES”
50. Leaders Know
 WHEN TO
  LEAVE!
   X. NEW
BUSINESS. NEW
   RULES.
26. Tom’s
60TIBs*
 *TIB = This I Believe
1. TECHNICOLOR RULES! (Passion
   Moves Mountains!)
2. Audacity Matters!
3. Revolution Now!
4. Question Authority! (& Hire
   Disrespectful People.)
5. Disorganization Wins! (LOVE THE
   MESS!)
6. Think 3M: Markets Matter Most. ONLY EXTREME
   COMPETITION STAVES OFF STALENESS. (You can
   take the boy out of Silicon Valley, but you can’t 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 AIN’T 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.)
11. “Permanence” Is a Snare & a Delusion.
    (Forget “Built to Last.” It’s Yesterday’s
    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.)
16. Boring Begets Boring. (Cool Begets Cool.)
17. Think “Portfolio.” (We’re All V.C.s.)
18. Perception Is All There Is. (“Insiders” …
    ALWAYS … overestimate the Radicalism of
    What They’re 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!
21. Haste Makes Waste. (SO GO WASTE!)
22. Screw-ups 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.)
26. Diversity’s 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” > “Quality” & “Satisfaction.” (The
    Traditional Value-added Equation Is Being Set on
    Its Ear.)
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?”)
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.”)
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. De Gaulle.
45. Pursue Adventure … in Every Task.
46. EXCELLENCE … Is a State of Mind.
    (Excellence Takes a Minute.) (No Bull.)
47. SHOW UP! (If You Care, You’re There.)
48. YOUR CALENDAR KNOWS ALL. (You =
    Calendar.) (Mind Your “TO DON’T” List.)
49. LIFE IS SALES. (The Rest Is Details.)
50. Boss Mantra #1: “I DON’T KNOW.” (“I Don’t
    Know” = Permission to Explore.)
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 Wouldn’t
    Let Him.”
53. Change Takes However Long You Think It
    Takes. (Eschew … “Incrementalism.”)
54. Respect! (Rule 1: Don’t Belittle!)
55. “Thank You” Trumps All!
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.)
Successful Businesses’ Dozen Truths: TP’s 30-Year Perspective

1. Insanely Great & Quirky Talent.
2. Disrespect for Tradition.
3. Totally Passionate (to the Point of Irrationality) Belief in What
   We Are Here to Do.
4. Utter Disbelief at the Bullshit that Marks “Normal Industry Behavior.”
5. A Maniacal Bias for Execution … and Utter Contempt
   for Those Who Don’t “Get It.”
6. Speed Demons.
7. Up or Out. (Meritocracy Is Thy Name. Sycophancy Is Thy Scourge.)
8. Passionate Hatred of Bureaucracy.
9. Willingness to Lead the Customer … and Take the Heat Associated
   Therewith. (Mantra: Satan Invented Focus Groups to Derail True
   Believers.)
10. “Reward Excellent Failures. Punish Mediocre Successes.”
11. Courage to Stand Alone on One’s Record of Accomplishment
    Against All the Forces of Conventional Wisdom.
12. A Crystal Clear Understanding of Brand Power.
 Have you
  changed
civilization
   today?
  Source: HP banner ad
  “Dream as if
you’ll live forever.
 Live as if you’ll
   die today.”
     —James Dean
    T. J. Peters
     1942 – 2---

HE WOULDA DONE SOME
 REALLY COOL STUFF
       BUT …
 HIS BOSS WOULDN’T
      LET HIM!
    T. J. Peters
    1942 – 2---

HE WAS A PLAYER!
“May you live
all the days of
your life.”   — Jonathan Swift
 “If you ask me what I
have come to do in this
   world, I who am an
 artist, I will reply: I am
here to live my life out
       loud.” — Émile Zola
It is the foremost task—
  and responsibility—
  of our generation to
     re-imagine our
   enterprises, private
 and public. —from the Foreword,
Re-imagine: Business Excellence in a Disruptive Age
Thank You

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:1
posted:5/7/2012
language:English
pages:966
handongqp handongqp
About