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2. Parts 6 and 7.1Tom Peters’ EXCELLENCE. ALWAYS.New Master/21 August 2008

3. Slides at …tompeters.com

4. Ten PartsP1.1, P1.2, P1.3, P1.4/GenericP2/LeadershipP3/TalentP4/“Value-added Ladder”P5/“New” Markets P6/“The Equations”P7.1/ImplementationP7.2/ActionP8/13 “Guru Gaffes”P9/Health“care”P10/“The Lists”

5. Ten PartsP1.1, P1.2, P1.3, P1.4/GenericP2/LeadershipP3/TalentP4/“Value-added Ladder”P5/“New” Markets P6/“The Equations”P7.1/ImplementationP7.2/ActionP8/13 “Guru Gaffes”P9/Health“care”P10/“The Lists”

6. part six

7. Attending to the “Last 98%”: The New “Management Science,” or “Hard” Is “Soft,” “Soft” Is “Hard”

8. Alternate title …

9. Attending to the “Last 98%”: flower power! Tom Peters/09 April 2008

10. FLOWERPOWER

11. Hold in your mind the idea of “flower power”—more to come!

12. S = ƒ( ___ ) Success Is a Function of …

13. SF50: Success Is a Function of* ... *What follows are not in fact true mathematical formulae—obviously. Nonetheless, in tribute to my own scientific background, and, more important, that of many seminar participants, I have chosen this format—which seems to work for those of “my ilk” to whom it has been exposed

14. SF50: 50 “Equations” on achieving success … at pretty much anything

15. S = ƒ(#&DR; -2L, -3L, 4L, I&E) Success is a function of: Number and depth of relationships 2, 3, and 4 levels down inside and outside the organization S = ƒ(SD>SU) Sucking down is more important than sucking up—the idea is to have the [your] entire organization working for you. S = ƒ(#non-FF, #non-FL) Number of friends not in my function S = ƒ(#XFL/m) Number of lunches with colleagues in other functions per month S = ƒ(#FF) Number of friends in the finance organization

16. Loser:“He’s such a suck-up!”Winner:“He’s such a suck-down.”

17. Never* waste a lunch! *More or less

18. S =ƒ(#PK“W”P)S = ƒ(#PK“L”P)# of people you know in the “wrong” places# people you know in “low” places

19. ???????“Success doesn’t depend on the number of people you know; it depends on the number of people you know in highplaces!”or“Success doesn’t depend on the number of people you know; it depends on the number of people you know in low places!”

20. It helps to know people in …highplaces!”

21. It helps more to know people in …lowplaces!”

22. Gust Avarkotos’ “boiler room” CIA palsWalter’s “enabler” P.M. Thank You notesFlexirent’s XSec’s Customer PA lunchesAnybody’s XSecAnybody’s PAAll customer Purchasing Dept receptionistsSecy Chaffee’s letter writerMcKinsey report prep staffMcKinsey research staffAdmiral’s AideCongressional Committee staff drafterCongressman’s appropriate LAAnybody in Finance

23. The previous entries are shorthand for stories about “low level” relationships determining “high level” decisions—or at least having surprising impact. Flexirent is an Australian consumer financial services company. Its offerings are mostly made through retailers—and following the “80-20 rule,” a small # of retailers control a large share of Flexirent’s business. The Executive Secretary-“PA” (Personal Assistant) to Flexirent’s CEO is a bright, energetic, outgoing person. Along the way, and not accidentally, she has developed very close relationships to the Pas of most of the CEOs of Flexirent’s major customers. Among other things, she more or less regularly (quarterly, roughly) takes her PA pals out for lunch. The goal on both sides is clear, understood and shameless—to enhance unvarnished communications among these true “power players.” One can only imagine the number of times, over, say, five years, that this “back channel” (“front Channel,” in reality) has paved the way for success and staved off disasters. The rest of the entries on the slide are of the same ilk.

24. S = ƒ(OF) Number of oddball friends S = ƒ(PDL) Purposeful, deep listening—this is very hard S = ƒ(“DSTM,” EH, TTAGFG) Don’t shoot the messenger—embrace him! Truth-tellers are gifts from God! S + ƒ(#EODD3MC) Number of end-of-the-day difficult (you’d rather avoid) “3-minutecalls” that sooth raw feelings, mend fences, etc. S = ƒ(UFP, UFK, OAPS) Unsolicited favors performed, UFs involving co-workers’ kids, overt acts politeness-solicitude toward co-workers’ spouses, parents, etc.

25. Relationships(of all varieties):THERE ONCE WAS A TIME WHEN A THREE-MINUTEPHONECALL WOULD HAVE AVOIDED SETTING OFF THE DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RUPTURE.

26. S= ƒ(TSHRO) Time spent ... Hurdle Removing for Others

27. Peter Drucker once famously said, “Ninety-percent of what we call ‘management’ consists of making it difficult for people to get things done.” There is more than a grain of truth to that. On the other side, and there can be an “other side,” I see the manager’s principal role as identifying things that get in people’s way (by asking them!) and meticulously getting those things out of their way. Thence, you could cal the boss the CIRO, or Chief Impedance Reduction Officer, or my choice, CHR, Chief Hurdle Remover. In any event the idea is that this is a/the primary task the boss performs—and that it is a systematic, pro-active affair (e.g., on the daily agenda).

28. S = ƒ(A#C, PTS/“OLC”, SAPA) Absolute # of consultations, perception of being taken seriously (Responsible for “one line of code”), small acts of public appreciation S = ƒ(1D) Seeking the assignment of writing first drafts, minutes, etc. (1787) S = ƒ(#SEAs) Number of solid relationships with Executive Assistants S = ƒ(%UL/w-m) % useful lunches per week, month S = ƒ(FG, FOC-BOF, CMO) Favors given, favors owed collectively, balance of favors, conscious management thereof

29. “Buy in”- “Ownership”-Authorial bragging rights-“Born again” Champion = OneLineofCode!

30. “It works this way, Tom. You’re talking to a guy who’s important to implementation down where the rubber meets the road. He’s skeptical—he either really is, or it’s the act he chooses to play. You go over the thing with him and he has a thousand objections. You nod your head a lot, and take copious notes. Then you go back to your guys, and you find a few places where you can very specifically accommodate him. You make the changes, even if they are pretty ugly. Then you go back to him, and show him exactly what you’ve done. You have a ‘born again’ supporter. You took him seriously—and through the changes, he’s now your co-inventor, your savior. Now he’s doing the selling for you. Hey, the whole damn thing wouldn’t have worked were it not for his interjections—that’s the way he frames it to his folks. I tell you, it never fails.”Source: Australian IS-IT chief, mid-sized company in financial services

31. S = ƒ(SU) Showing up (Woody Allen, Delaware’s ridiculous influence on the Constitution of the USA) S = ƒ(KSU, R) Keep showing up; relentlessness (U.S. Grant!!) S = ƒ(DW, TMSTTOG) Drill wells, try more stuff than the other guy (John Masters, Mike Bloomberg)

32. “Ninety percent of success is showing up.” —Woody Allen

33. “This is so simple it sounds stupid, but it is amazing how few oil people really understand that you only find oil if you drill wells.You may think you’re finding it when you’re drawing maps and studying logs, but you have to drill.” Source: The Hunters, by John Masters, Canadian O & G wildcatter

34. “We made mistakes, of course. Most of them were omissions we didn’t think of when we initially wrote the software. We fixed them by doing it over and over, again and again. We do the same today. While our competitors are still sucking their thumbs trying to make the design perfect, we’re already on prototype version#5.By the time our rivals are ready with wires and screws, we are on version #10.It gets back to planning versus acting: We act from day one; others plan how toplan—for months.”—Bloomberg by Bloomberg

35. S= ƒ(CM) Conscious calendar management (the calendar never lies)

36. You = Your calendar**Calendars neverlie!

37. “You must bethe change you wish to see in the world.”Gandhi

38. S = ƒ(CPRM, TS) Conscious-planned Relationship management, time spent thereon

39. R.O.I.R.

40. Far more important than “ROI”!

41. Return On Investment In Relationships

42. FYI:“Relationship power” = “Monopoly power”

43. The goal is clear—an “unfair” share of attention from an internal staffer, a vendor, a customer. We unabashedly pursue through good-better-best relationshiops de facto monopoly—the monopolization of other important folks’ love and affection, as it were.

44. FYI:“Sustainable competitive advantage” = “Relationship-based advantage” (period.)

45. Some Resources: Relationships The Manager’s Book of Decencies: How Small Gestures Build Great Companies—Steve Harrison Respect—Sara Lawrence-Lightfoot Hostmanship: The Art of Making People Feel Welcome— Jan Gunnarsson & Olle Blohm (leader as host to his- her employees) The SPEED of Trust: The One Thing that Changes Everything—Stephen M.R. Covey The Dream Manager—Matthew Kelly The Customer Comes Second: Put Your People First and Watch ’Em Kick Butt—Hal Rosenbluth and Diane McFerrin Peters (no relation—be delighted if she was) Crucial Conversations—Kerry Patterson, Joseph Grenny, Ron McMillan, Al Switzler Crucial Confrontations—Kerry Patterson, Joseph Grenny, Ron McMillan, Al Switzler Influence: Science and Practice—Robert Cialdini Emotional Intelligence: Why It Can Matter More Than IQ—Daniel Goleman

46. A few of my favorite “reads” on this topic—especially #1. The idea of “competitive-advantage-through-decency” is extraordinary. Of course, “we know this”—but to see it spelled out this way may change the course of your professional life.

47. S = ƒ(TN/d, FG/m, AA/d) Thank you notes per Day, flowers given per Month, Acts of Appreciation per Day S = ƒ(WLHAO) Willingness to laugh heartily at oneself S = ƒ(PTA100%A“T”S, E“NMF, TTT) Proactive, timely, 100% apologies for “tiny” screw-ups, even if not my fault (it always takes two to tango) S = ƒ(AMR, NBS-SG) Acceptance of mutual responsibilities for all affairs, no blame-shifting, scape-goating S = ƒ(RP, PRP>>P) Never forget, and act accordingly: Response to the screwup- problem and perception thereof is (far, far) more important than the problem itself! S = ƒ(APLSLFCT) Awareness, perception of little snubs—and lightening fast correction thereof

48. S = ƒ(TN/d, FG/m, AA/d) Thank you notes per Day, flowers given per Month, Acts of Appreciation per Day S = ƒ(WLHAO) Willingness to laugh heartily at oneself S = ƒ(RP, PRP>>P) Never forget, and act accordingly: Response to the screwup- problem and perception thereof is (far, far) more important than the problem itself! S = ƒ(APLSLFCT) Awareness, perception of little snubs—and lightening fast correction thereof

49. THE PROBLEM IS RARELY/ NEVER THE PROBLEM.THE RESPONSE TO THE PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM.

50. S = ƒ(Thank you notes per Day, flowers given per Month, Acts of Appreciation per Week)