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slide2
LONGTom Peters’ EXCELLENCE. ALWAYS.ZIM Integrated Shipping ServicesNEWAVE08/AgenTeam02 July 2008/Macau (Taipa-Coloane)
slide3

NOTE:To appreciate this presentation [and ensure that it is not a mess], you need Microsoft fonts:“Showcard Gothic,”“Ravie,”“Chiller”and“Verdana”

slide4

Auckland/pmtaipei/vpsingapore/pmbangkok/dpmflandersamsterdam/MPsbarcelona/maKuala Lumpur/CMlisbon/madublin/pmbuenos airessão pauloWarsaw/MPslondon/mpsmilanSEOUL/Mamexico d.f./mistanbul/dpmdubai/rfmoman/rfmusastockholm/mpsmauritius/pmjohannesburgbucharest/CM

slide7

“Allied commands depend on mutual confidence

[and this confidence]

is gained, above all

through the development

of friendships.”

—General D.D. Eisenhower,

Armchair General* (05.08)*“Perhaps his most outstanding ability [at West Point] was

the ease with which he made friends and earned the trust

of fellow cadets who came from widely varied backgrounds;

it was a quality that would pay great dividends during his future coalition command

slide14

1. Have you in the last 10days …visited a customer?2. Have you called a customer … TODAY? * *Note: See APPENDIXONE for full list

slide17

“New technology, by itself, has little economic benefit. … The economic benefits arise not from innovation itself, but from the entrepreneurs who eventually discover ways to put innovation to practical use— and, most critically, from the organizationalchanges through which businesses reshape themselves to take advantage of new technology.”—Marc Levinson, The Box:

How the Shipping Container Made the World Smaller and

the World Economy Bigger

reward excellent failures punish mediocre successes phil daniels sydney exec
“Rewardexcellent failures. Punishmediocre successes.”Phil Daniels, Sydney exec
slide23

“I am often asked by would-be entrepreneurs seeking escape from life within huge corporate structures, ‘How do I build a small firm for myself?’ The answer seems obvious:Buy a very large one and just wait.”—Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics

slide24

“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

slide26

“Data drawn from the real world attest to a fact that is beyond our control:Everything in existence tends to deteriorate.”—Norberto Odebrecht, Education Through Work

slide31
Or … Goldmann Produktions(11/50%/$5M/”dip and coat,” expensive pigments vs “through coloring,” fades Bekro Chemie)
slide34

“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

slide35

“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

slide36
“Experiment fearlessly”Source: BW0821.06, Type A Organization Strategies/ “How to Hit a Moving Target”—Tactic #1
slide37

Culture of Prototyping“Effective prototyping may be themost valuablecore competence an innovative organization can hope to have.”—Michael Schrage

slide40

Excellence1982: The Bedrock “Eight Basics”

1. A Bias for Action

2. Close to the Customer

3. Autonomy and Entrepreneurship

4. Productivity Through People

5. Hands On, Value-Driven

6. Stick to the Knitting

7. Simple Form, Lean Staff

8. Simultaneous Loose-Tight Properties”

slide43
Messin’ with their minds: He who has the quickest “O.O.D.A. Loops”* wins!*Observe. Orient. Decide. Act. /Col. John Boyd
slide47
Enemy #1I.C.D.Note 1:Inherent/Inevitable/Immutable Centralist DriftNote 2: Jim Burke’s 1-word vocabulary: “No.”
slide48

The True Logic* of Decentralization:6 divisions = 6 “tries”6 divisions = 6 DIFFERENT leaders = 6 INDEPENDENT “tries” = Max probability of “win”6 divisions = 6 very DIFFERENT leaders = 6 very INDEPENDENT “tries” = Max probability of “far out”/”3-sigma” “win”*“Driver”: Law of Large #s

slide51
Decentralization vs Centralization = “That’s AllThere Is”(from childrearing 101 to the Federalist Papers to Org.2007)
slide53
“Execution is thejobof the businessleader.”—Larry Bossidy & Ram Charan/ Execution: The Discipline of Getting Things Done
slide54

(1) sum of Projects = Goal (“Vision”)(2) sum of Milestones = project(3) rapid Review + Truth-telling = accountability

slide56

“GE has set a standard of candor. … There is no puffery. … There isn’t an ounce of denial in the place.”—Kevin Sharer, CEO Amgen, on the “GE mystique” (Fortune)

slide63

90K in U.S.A. ICUs on any given day; 178 steps/day in ICU.50% stays result in “serious complication”Source: Atul Gawande, “The Checklist” (New Yorker, 1210.07)

slide64

**Peter Pronovost, Johns Hopkins, 2001**Checklist, line infections**1/3rd at least one error when he started**Nurses/permission to stop procedure if doc, other not following checklist**In 1 year, 10-day line-infection rate:11% to … 0%Source: Atul Gawande, “The Checklist” (New Yorker, 1210.07)

slide65

**Docs, nurses make own checklists on whatever process-procedure they choose**Within weeks, average stay in ICU down 50%Source: Atul Gawande, “The Checklist” (New Yorker, 1210.07)

slide66

“Beware of the tyranny of making SmallChanges to SmallThings. Rather, make Big Changes to BigThings.”—Roger Enrico, former Chairman, PepsiCo

slide67

“Beware of the tyranny of making SmallChanges to SmallThings.Rather, make BigChanges to Big Things … using Small, Almost Invisible Straightforward Levers with Big Systemic Impact.”—TP

slide68

“Everything matters”

-80%

Source:Nudge, Richard Thaler and Cass Sunstein, etching of fly in the urinal

reduces “spillage” by 80%, Schiphol Airport

slide72

**Stanford/Hagadorn/Interdisciplinary raison d’être**Conoco/geologists-geophysicists**Old HP/R&D-Sales**Schlumberger IPM-IBM Global Services- UPS Logistics, HP-EDS (“bet the company” on integrating others’ product and service delivery throughout the supply chain)**GSK/7 CEDDs**Chiat/Day**Batalden/DHMC/“clinical microsystems”**JCS assignment pre-Flag**Etc.**Etc.

slide73

The “XF-50”: 50 Ways to Enhance Cross-Functional Effectiveness and Deliver Speed, “Service Excellence” and “Value-added Customer ‘Solutions’”

slide74

1. It’s our organization to make work—or not. It’s not “them,” the outside world that’s the problem. The enemy is us. Period.

2. Friction-free! Dump 90% of “middle managers”—most are advertent or inadvertent “power freaks.” We are all—every one of us—in the Friction Removal Business, one moment at a time, now and forevermore.

3. No “stovepipes”! “Stove-piping,” “Silo-ing” is an Automatic Firing Offense. Period. No appeals. (Within the limits of civility, somewhat “public” firings are not out of the question—that is, make one and all aware why the axe fell.)

4. Everything on the Web. This helps. A lot. (“Everything” = Big word.)

5. Open access. All available to all. Transparency, beyond a level that’s “sensible,” is a de facto imperative in a Burn-the-Silos strategy.

6.Project managers rule!! Project managers running XF (cross-functional) projects are the Elite of the organization, and seen as such and treated as such. (The likes of construction companies have practiced this more or less forever.)

7. “Value-added Proposition” = Application of integrated resources. (From the entire supply-chain.) To deliver on our emergent business raison d’etre, and compete with the likes of our Chinese and Indian brethren, we must co-operate with anybody and everybody “24/7.” IBM, UPS and many, many others are selling far more than a product or service that works—the new “it” is pure and simple a product of XF co-operation; “the product is the co-operation” is not much of a stretch.

slide76

????

% XF lunches*

*Measure!

slide77

???????“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!”

slide78

Promote “FRSs” (Friction Reduction Specialists—nobody can figure out what they “do’” but when they’re around things mysteriously get done (Women? Not clear)FRSs kin to HROs, IROs (Hurdle Removal Officers, Impedance Reduction Officers)

slide79

8. “XF work” is the direct work of leaders!

9. “Integrated solutions” = Our “Culture.” (Therefore: XF = Our culture.)

10. Partner with “best-in-class” only. Their pursuit of Excellence helps us get beyond petty bickering. An all-star team has little time for anything other than delivering on the (big) Client promise.

11. All functions are created equal! All functions contribute equally! All = All.

12. All functions are “PSFs,” Professional Service Firms. “Professionalism” is the watchword—and true Professionalism rise above turf wars. You are your projects, your legacy is your projects—and the legacy will be skimpy indeed unless you pass, with flying colors, the “works well with others” exam!

13. We are all in sales! We all (a-l-l) “sell” those Integrated Client Solutions. Good salespeople don’t blame others for screw-ups—the Clint doesn’t care. Good salespeople are “quarterbacks” who make the system work-deliver.

14. We all invest in “wiring” the Client organization—we develop comprehensive relationships in every part (function, level) of the Client’s organization. We pay special attention to the so-called “lower levels,” short on glamour, long on the ability to make things happen at the “coalface.”

15. We all “live the Brand”—which is Delivery of Matchless Integrated Solutions which transform the Client’s organization. To “live the brand” is to become a raving fan of XF co-operation.

slide80

16. We use the word “partner” until we want to barf! (Words matter! A lot!)

17. We use the word “team” until we want to barf. (Words matter! A lot!)

18. We use the word “us” until we want to barf. (Words matter! A lot!)

19. We obsessively seek Inclusion—and abhor exclusion. We want more people from more places (internal, external—the whole “supply chain”) aboard in order to maximize systemic benefits.

20. Buttons & Badges matter—we work relentlessly at team (XF team) identity and solidarity. (“Corny”? Get over it.)

21. All (almost all) rewards are team rewards.

22. We keep base pay rather low—and give whopping bonuses for excellent team delivery of “seriously cool” cross-functional Client benefits.

23. WE NEVER BLAME OTHER PARTS OF THE ORGANIZATION FOR SCREWUPS.

24. WE TAKE THE HEAT—THE WHOLE TEAM. (For anything and everything.) (Losing, like winning, is a team affair.)

25. “BLAMING” IS AN AUTOMATIC FIRING OFFENSE.

26. “Women rule.” Women are simply better at the XF communications stuff—less power obsessed, less hierarchically inclined, more group-team oriented.

slide81

27. Every member of our team is an honored contributor. “XF project Excellence” is an “all hands” affair.

28. We are our XF Teams! XF project teams are how we get things done.

29. “Wow Projects” rule, large or small—Wow projects demand by definition XF Excellence.

30. We routinely attempt to unearth and then reward “small gestures” of XF co-operation.

31. We invite Functional Bigwigs to our XF project team reviews.

32. We insist on Client team participation—from all functions of the Client organization.

33. An “Open talent market” helps make the projects “silo-free.” People want in on the project because of the opportunity to do something memorable—no one will tolerate delays based on traditional functional squabbling.

34. Flat! Flat = Flattened Silos. Flat = Excellence based on XF project outcomes, not power-hoarding within functional boundaries.

35. New “C-level”? We more or less need a “C-level” job titled Chief Bullshit Removal Officer. That is, some kind of formal watchdog whose role in life is to make cross-functionality work, and I.D. those who don’t get with the program.

36.Huge (H-U-G-E) co-operation bonuses. Senior team members who conspicuously shine in the “working together” bit are rewarded or punished Big Time. (A million bucks in one case I know—and a non-cooperating very senior was sacked.)

slide82

37.Get physical!! “Co-location” is the most powerful “culture changer. Physical X-functional proximity is almost a guarantee (yup!) of remarkably improved co-operation—to aid this one needs flexible workspaces that can be mobilized for a team in a flash.

38. Ad hoc. To improve the new “X-functional Culture,” little XF teams should be formed on the spot to deal with an urgent issue—they may live for but ten days, but it helps the XF habit, making it normal to be “working the XF way.”

39. “Deep dip.” Dive three levels down in the organization to fill a senior role with some one who has been pro-active on the XF dimension.

40. Formal evaluations. Everyone, starting with the receptionist, should have an important XF rating component in their evaluation.

41. Demand XF experience for, especially, senior jobs. The military requires all would-be generals and admirals to have served a full tour in a job whose only goals were cross-functional. Great idea!

42. Early project “management” experience. Within days, literally, of coming aboard folks should be “running” some bit of a project, working with folks from other functions—hence, “all this” becomes as natural as breathing.

43. “Get ’em out with the customer.” Rarely does the accountant or bench scientist call one the customer. Reverse that. Give everyone more or less regular “customer-facing experiences.” One learns quickly that the customer is not interested in our in-house turf battles!

slide83

44. Put “it” on the–every agenda. XF “issues to be resolved” should be on every agenda—morning project team review, weekly exec team meeting, etc. A “next step” within 24 hours (4?) ought to be part of the resolution.

45. XF “honest broker” or ombudsman. The ombudsman examines XF “friction events” and acts as Conflict Resolution Counselor. (Perhaps a formal conflict resolution agreement?)

46. Lock it in! XF co-operation, central to any value-added mission, should be an explicit part of the “Vision Statement.”

47. Promotions. Every promotion, no exceptions, should put XF Excellence in the top 5 (3?) evaluation criteria.

48. Pick partners based on their “co-operation proclivity.” Everyone must be on board if “this thing” is going to work; hence every vendor, among others, should be formally evaluated on their commitment to XF transparency—e.g., can we access anyone at any level in any function of their organization without bureaucratic barriers?

49. Fire vendors who don’t “get it”—more than “get it,” welcome “it” with

open arms.”

50. Jaw. Jaw. Jaw. Talk XF cooperation-value-added at every opportunity. Become a relentless bore!

51.Excellence! There is a state of XF Excellence per se. Talk about it. Pursue it. Aspire to nothing less.

slide88

“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.[Yet] 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

slide93

“The capacity to develop close and enduring relationships is the mark of a leader. Unfortunately, many leaders of major companies believe their job is to create the strategy, organization structure and organizational processes—then they just delegate the work to be done, remaining aloof from the people doing the work.”—Bill George, Authentic Leadership

fyi sustainable competitive advantage relationship based advantage period
FYI:“Sustainable competitive advantage” = “Relationship-based advantage” (period.)
slide97

“The four most important words in any organization

are …‘What do you think?’ ”

Source: courtesy Dave Wheeler,

posted at tompeters.com, source of

original unknown (0609.08)

slide98

18”

Source: How Doctors Think, Jerome Groopman

slide101

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.

slide102

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

slide104
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”—Henry Clay
slide105

The Manager’s Book of Decencies: How Small /gestures Build Great Companies.—Steve Harrison, Adecco

slide107

Attending to

the “Last 98%”:

The New

Management “Science,” or …

“Hard Is Soft,

Soft Is Hard”

NOTE: Complete section at APPENDIX 2

slide108

S = f( ___ )

Success Is a

Function of …

slide109

S = ƒ(#&DR; -2L, -3L, 4L; I&E)

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 entire organization working for you.

S = ƒ(#non-FF, #non-FL)

Number of friends, number of lunches with people not in my function

S = ƒ(#FF)

Number of friends in the finance function-organization

S = ƒ(OF)

Oddball friends

S = ƒ(PDL)

Purposeful, deep listening—this is very hard

the value added ladder bedrock raw materials farmers and miners degree weightlifting
The Value-added Ladder/ “BEDROCK” Raw Materials**Farmers and Miners (“Degree”: Weightlifting)
the value added ladder things goods raw materials engineers and factory workers degree engineering
The Value-added Ladder/ THINGSGoods*Raw Materials*Engineers and Factory Workers (Degree: Engineering)
the value added ladder transactions services goods raw materials clerks degree process engineering
The Value-added Ladder/TRANSACTIONSServices*Goods Raw Materials *Clerks (Degree: Process Engineering)
slide118

wdcp/“Wildlife Damage-control Professional”:$150 to “remove” “problem beaver”; $750-$1,000 for flood-control piping … so that beavers can stay.Source: WSJ

slide124

And the “M” Stands for … ?Gerstner’s IBM:“Systems Integrator of choice.”/BW(“Lou, help us turn ‘all this’ into that long-promised ‘revolution.’ ” )IBM Global Services*(*Integrated Systems Services Corp.):$55B

slide125

Planetary Rainmaker-in-Chief!“Palmisano’s strategy is to expand tech’s borders by pushing users—and entire industries—toward radically different business models.The payoff for IBM would be access to an ocean of revenue—Palmisano estimates it at $500 billion a year—that technology companies have never been able to touch.”—Fortune

slide126

“By making the Global Delivery Model both legitimate and mainstream, we have brought the battle to our territory. That is, after all, the purpose of strategy. We have become the leaders, and incumbents [IBM, Accenture] are followers, forever playing catch-up. … However, creating a new business innovation is not enough for rules to be changed. The innovation must impact clients, competitors, investors, and society. We have seen all this in spades. Clients have embraced the model and are demanding it in even greater measure. The acuteness of their circumstance, coupled with the capability and value of our solution, has made the choice not a choice. Competitors have been dragged kicking and screaming to replicate what we do. They face trauma and disruption, but the game has changed forever.Investors have grasped that this is not a passing fancy, but a potential restructuring of the way the world operates and how value will be created in the future.”—Narayana Murthy, chairman’s letter, Infosys Annual Report

slide127

“THE GIANT STALKING BIG OIL: How SchlumbergerIs Rewriting the Rules of the Energy Game.”:“IPM [Integrated Project Management] strays from [Schlumberger’s] traditional role as a service provider and moves deeper into areas once dominated by the majors.”

Source: BusinessWeek cover story, January 2008

slide128

“Big Brown’s New Bag: UPS Aims to Be the Traffic Manager for Corporate America”—Headline/BW“UPS wants to take over the sweet spot in the endless loop of goods, information and capital that all the packages [it moves] represent.”—ecompany.com (E.g., UPS Logistics manages the logistics of 4.5M Ford vehicles, from 21 mfg. sites to 6,000 NA dealers)

we want to be the air traffic controllers of electrons bob nardelli ge power systems
“We want to be the air traffic controllers of electrons.”Bob Nardelli, GE Power Systems
slide131

California Closets:“a whole-life upgrade, not just a tidy bedroom.”—WSJ/0329.07, “Why the Container-Store Guy Wants to Be Your Therapist”

slide133

“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, then chief of GE Power Systems

slide134
The Value-added Ladder/TRANSFORMATIONCustomer Success/ Gamechanging SolutionsServicesGoods Raw Materials
slide135

“The business of selling is not just about matching viable solutions to the customers that require them. It’s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised by the solution. One of the key differentiators of our position in the market is our attention to managing change and making change stick in our customers’ organization.”* (*E.g.: CRM failure rate/Gartner: 70%)—Jeff Thull, The Prime Solution: Close the Value Gap, Increase Margins, and Win the Complex Sale

slide136

Era #1/Obvious Value: “Our ‘it’ works, is delivered on time” (“Close”)Era #2/Augmented Value: “How our ‘it’ can add value—a ‘useful it’ ” (“Solve”)Era #3/Complex Value Networks: “How our ‘system’ can change you and deliver ‘business advantage’ ” (“Culture-Strategic change”)Source: Jeff Thull, The Prime Solution: Close the Value Gap, Increase Margins, and Win the Complex Sale

slide137

The Value-added Ladder/TRANSFORMATIONCustomer Success through Implemented Gamechanging Solutions*ServicesGoods Raw Materials *Subject-matter Professionals and Organization Effectiveness Experts (Degree: MBA, Organizational Psychology)

slide140
“Organizations will still be critically important in the world, but as ‘organizers,’ not ‘employers’!”— Charles Handy
slide143
Are you the …“Principal Engine of Value Added”*E.g.: Your R&D budget as robust as the New Products team?
slide146

The PSF35: The Work & The Legacy1.CRYSTAL CLEAR POINT OF VIEW

(E very Practice Group: “If you can’t explain your position in eight

words or less, you don’t have a position”—Seth Godin)2. DRAMATIC DIFFERENCE (“We are the only ones who do what

we do”—Jerry Garcia)3. Stretch Is Routine (“Never bite off less than you can chew”—anon.)4. Eye-Appetite for Game-changer Projects (Excellence at Assembling

“Best Team”—Fast) 5. “Playful” Clients (Adventurous folks who unfailingly Aim to Change

the World)6. Small “Uneconomic” Clients with Big Aims

7. Life Is Too Short to Work with Jerks (Fire lousy clients)8. OBSESSED WITH LEGACY (Practice Group and Individual: “Dent the

Universe”—Steve Jobs)9. Fire-on-the-spot Anyone Who Says, “Law/Architecture/Consulting/

I-banking/ Accounting/PR/Etc. has become a ‘commodity’ ”

10. Consistent with #9 above … DO NOT SHY AWAY FROM THE

WORD (IDEA) “RADICAL”

slide148

The PSF35: The Client Experience11. Always team with client: “full partners in achieving memorable results”(Wanted: “Chimeras of Moonstruck Minds”!)12. We will seek assistance Anywhere to assemble the Best-in- Planet Team for the Project13. Client Team Members routinely declare that working with us was “the Peak Experience of my Career”14. The job’s not done until implementation is “100.00% complete” (Those who don’t “get it” must go)15.IMPLEMENTATION IS NOTCOMPLETE UNTIL THE CLIENT HAS EXPERIENCED “CULTURE CHANGE”16.IMPLEMENTATION IS NOTCOMPLETE UNTIL SIGNIFICANT “TECHNOLOGY TRANSFER HAS TAKEN PLACE-ROOT(“Teach a man to fish …”)17.The Final Exam: DID WE MAKE A DRAMATIC, LASTING, GAME-CHANGING DIFFERENCE?

slide149

“The business of selling is not just about matching viable solutions to the customers that require them. It’s equally about managing the change process the customer will need to go through to implement the solution and achieve the value promised bythe solution.”*(*E.g.: CRM failure rate/Gartner: 70%)—Jeff Thull, The Prime Solution: Close the Value Gap, Increase Margins, and Win the Complex Sale

slide150

UniCredit Group/ UniCredito Italiano* **—3rd party measurement—Customer-initiated measurement—Primary $$$$ incentives—“Factories”—Primary Corporate Initiative—Etc*#13**TP/#1

ideal finance staffer full scale business partner cfo to the each department she serves
Ideal “finance staffer”:Full-scale “business partner” [CFO?] to the/each department she serves.
slide152

Ideal “finance staffer”: **Full-scale “business partner”

[CFO?] to the/each department

she serves.

**Not cop—obsessed instead with

value-added

**Integration first, “stovepipe”

secondary

**MBWA/bigtime

**Networker to the rest of Finance

slide153

The PSF35: The People & The Leadership18. TALENT FANATICS (“Best-Coolest place to work”) (PERIOD)19. EYE FOR THE PECULIAR (Hiring: Go beyond “same old,

same old”) 20. Early Opportunities (vs. “Wait your turn”) 21. Up or Out (Based on “Legacy”/Mentoring as much as

“Billings”/“Rainmaking”)22. Slide the Old Aside/Make Room for Youth (Find oldsters

new roles?)23. TALENT IS OBSESSED WITH RENEWAL FROM DAY #1 TO

DAY #“R” [R = Retirement]24. Office/Practice Leaders Evaluated Primarily on

Mentoring-Team Building Skills

25. A “PROPRIETARY” TALENT DEVELOPMENT PROCESS (GE)

26. Team Leadership Skills Valued Early27. Partner with B.I.W. [Best In World] Outsiders as Needed

and to Infuse Different Views

slide154

The PSF35: The Firm & The Brand28. EAT-SLEEP-BREATHE-OOZE INTEGRITY (“My life

is my message”—Gandhi)

29. Excellence+ in EXECUTION… 100.00% of the Time30. “Drop everything”/“Swarm” to Support a Harried-On

The Verge Team31. SPEND ON R&D LIKE A TECH FIRM.

32. A PROPRIETARY METHODOLOGY (FBR, McKinsey,

Chiat Day, IDEO, old EDS)

33. BRAND MANIACS(Organize Around a Point of View Worth

BROADCASTING)

34. PASSION! ENTHUSIASM!

35.EXCELLENCE. ALWAYS.

slide155

Static/ImitativeIntegrity.Quality.Continuous Improvement.Superior Service (Exceeds Expectations.)Completely Satisfactory Transaction.Smooth Evolution.Market Share.Dynamic/DifferentDramatic Difference!Disruptive!Insanely Great! (Quality++++)Life-(Industry-)changing Experience!Game-changing!WOW!Surprise!Delight!Breathtaking!Punctuated Equilibrium!Market Creation!

slide156

EXCELLENCE =Flawless EXECUTION+ Continuous IMPROVEMENT+ Brilliantly Trained PEOPLE+Gamechanging QUESTS + WEIRD Rosters +GASPWORTHY Results

slide159

“Purchasing Officer” Thrust #1:Cost (at All Costs*) Minimization Professional?Or/to:FullPartner-Leader in Lifetime Value-added Maximization?(*Lopez: “Arguably ‘Villain #1’ in GM tragedy”/Anon VSE-Spain)

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Fleet ManagerRolling Stock CostMinimization Officervs/orChief of Fleet Lifetime Value MaximizationStrategic Supply-chain ExecutiveCustomer Experience Director (via drivers)

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HCare CIO: “Technology Executive”(workin’ in a hospital)Or/to:Full-scale, Accountable(life or death)Member-Partner of XYZ Hospital’s Senior Healing-Services Team(who happens to be a techie)

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PSF Transformation: Credit Department/TrekWasIsCredit DeptFinancial ServicesHammer on dealers untilMake dealers successful so theythey payCAN payAR sold to 3rd partyTrek is the commercial financialcommercial co.Company23 employees12 employeesOversee peak AR of $70MOversee peak AR of $160MIdentify risky dealersIdentify opportunitiesCost CenterProfit CenterNo productsProducts: Consulting, MC/Visa,Stored value of gift cards, Gift cardperipherals, Online paymentsSource: John Burke/0330.06

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Big Idea:“Corporation” as Mega-“PSF”(Professional Service Firm*)* “Virtual” Collection of Entrepreneurially-minded Professionals (“Talent”/“Roster”) Creating/Applying Intellectual Capital (“Work Product”)

slide164
Are you the …“Principal Engine of Value Added”*E.g.: Your R&D budget as robust as the New Products team?
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The FEVP/Fundamental Enterprise Value-Added Proposition-Equation/Mark2008(1) 100% “WOW PROJECTS”(New Org “DNA”/“The Work”)+ (2) Incredible “TALENT”Transformed into (3) Entrepreneurial “BRAND YOUs” and (4) Given Room-to-Roam & Launched on Awesome “QUESTS”= (5) Internal “Rockin’ PSFs” (Staff Depts. Morphed into Wildly Innovative Professional Service Firms) … (6) Which Coalesce to Transform the FEVP/Fundamental Enterprise Value Proposition from “Superior Products & Services” to “ENCOMPASSING SOLUTIONS” &“GAME-CHANGING CLIENT SUCCESS”

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“Experiences are as distinct from services as services are from goods.”—Joe Pine & Jim Gilmore, The Experience Economy: Work Is Theatre & Every Business a Stage

slide169

“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

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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

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The Value-added Ladder/ MEMORABLE CONNECTIONSpellbinding Experiences*Customer Success/Implemented Gamechanging SolutionsServicesGoods Raw Materials*Theatrical Skills (Degree: Theater Arts)

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Beyond the “Transaction”/ “Satisfaction” Mentality“Good hotel”/ “Happy guest”/“Exceeded Expectations”vs.“Great Vacation”/ “Great Conference”/ “Operation PersonalRenewal”

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The “Hang Out Axiom”:At its core, every (!!!) relationship-partnership decision (employee, vendor, customer, etc) is a strategic decision about: “Innovate, ‘Yes’ or ‘No’ ”

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Measure “Strangeness”/Portfolio QualityStaffConsultantsVendorsOut-sourcing Partners (#, Quality)Innovation Alliance PartnersCustomersCompetitors (who we “benchmark” against)Strategic Initiatives Product Portfolio (LineEx v. Leap)IS/IT ProjectsHQ LocationLunch MatesLanguageBoard

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“Diverse groups of problem solvers—groups of people with diverse tools—consistently outperformed groups of the best and the brightest. If I formed two groups, one random (and therefore diverse) and one consisting of the best individual performers, the first group almost always did better. …Diversitytrumped ability.” —Scott Page, The Difference: How the Power of Diversity Creates Better Groups, Firms, Schools, and Societies Diversity

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“We believe companies can increase their market cap 50 percent in 3 years. Steve Macadam at Georgia-Pacific …changed 20 of his40box 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

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Employee retention & satisfaction:Overwhelmingly, based on their immediatemanager!Source: Marcus Buckingham & Curt Coffman, First, Break All the Rules: What the World’s Greatest Managers Do Differently

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“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

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PARC’s Bob Taylor:“Connoisseur of Talent”(from Warren Bennis & Patricia Ward Biederman, Organizing Genius)
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… no less than Cathedralsin which the full and awesome power of the Imagination and Spirit and native Entrepreneurial flairof diverse individualsis unleashed in passionate pursuit of … Excellence.

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“People want to be part of something larger than themselves. They want to be part of something they’re really proud of, that they’ll fight for,sacrifice for ,trust.”—Howard Schultz, Starbucks (IBD/09.05)

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“The role of the Director is to create a space where the actors and actresses canbecome more than they’ve ever been before, more than they’ve dreamed of being.”—Robert Altman, Oscar acceptance speech

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Relentless: “One of my superstitions had always been when I started to go anywhere or to do anything,notto turnback,or stop, until the thing intended was accomplished.”—Grant

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“Excellence can be obtained if you:

... care more than others think

is wise; ... risk more than others think

is safe; ... dream more than others think

is practical; ... expect more than others think

is possible.”

Source: Anon. (Posted @ tompeters.com by

K.Sriram, November 27, 2006 1:17 AM)

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Excellence Is

a Universal Striving.

If Not Excellence, What? If not excellence now, when?

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While waiting last week [early December 2007] in the Albany airport to board a Southwest Airlines flight to Reagan, I happened across the latest Harvard Business Review, on the cover of which was a yellow sticker. The sticker had on it the words “Mapping your competitive position.” It referred to a feature article by my friend Rich D’Aveni. His work is uniformly good—and I have said as much publicly on several occasions dating back 15 years. I’m sure this article is good, too—though I didn’t read it. In fact it triggered a furious negative “Tom reaction” as my wife calls it. Of course I believe you should worry about your “competitive position.”But instead of obsessing on competitive position and other abstractions, as the B-schools and consultants would always have us do, I instead wondered about some “practical stuff” which I believe is more important to the short- and long-term health of the enterprise, tiny or enormous.

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“Unfortunately many leaders of major companies believe their job is to create the strategy, organization and organization processes—remaining aloof from the people doing the work.”—George Kohlrieser, Hostage at the Table (GK is, among other things, a hostage negotiator with a 95% success rate)

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1. Have you in the last 10 days … visited a customer?

2. Have you called a customer … TODAY?

3. Have you in the last 60-90 days … had a seminar in which several folks from the customer’s operation (different levels, different functions, different divisions) interacted, via facilitator, with various of your folks?

4. Have you thanked a front-line employee for a small act of helpfulness … in the last three days?

5. Have you thanked a front-line employee for a small act of helpfulness … in the

last three hours?

6. Have you thanked a frontline employee for carrying around a great attitude … today?

7. Have you in the last week recognized—publicly—one of your folks for a small act of cross-functional co-operation?

8. Have you in the last week recognized—publicly—one of “their” folks (another function) for a small act of cross-functional co-operation?

9. Have you invited in the last month a leader of another function to your weekly team priorities meeting?

10. Have you personally in the last week-month called-visited an internal or external customer to sort out, inquire, or apologize for some little or big thing that went awry? (No reason for doing so? If true—in your mind—then you’re more out of touch than I dared imagine.)

1 have you in the last 10 days visited a custome r 2 have you called a customer today
1. Have you in the last 10 days … visited a customer?2. Have you called a customer … TODAY?
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Blog1231.07

FLASH!

FLASH!

FLASH!

FOR IMMEDIATE ACTION!

FOR IMMEDIATE ACTION!

FOR IMMEDIATE ACTION!

OLD YEAR’S RESOLUTION!

Call (C-A-L-L!) (NOT E-MAIL!) 25-50 (NO LESS THAN 25) people … TODAY * …to thank them for their support this year (2007) …

and wish them and their families and colleagues a

Happy 2008!** *** **** ***** ******

*Today = TODAY = N-O-W (not “within the hour”)

**Remember: ROIR > ROI. ROIR = Return On Investment in Relationships.

Success = f(Relationships).

***This is the most important piece of advice I have provided this year.

****This is … Not Optional.

*****Trust me: This is fun!!!!

******Trust me: This “works.”

Happy 2008!!!

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11. Have you in the last two days had a chat with someone (a couple of levels down?) about specific deadlines concerning a project’s next steps?

12. Have you in the last two days had a chat with someone (a couple of levels down?) about specific deadlines concerning a project’s next steps … and what specifically you can do to remove a hurdle? (“Ninety percent of what we call management consists of making it difficult for people to get things done.”—Peter “His eminence” Drucker.)

13. Have you celebrated in the last week a “small” (or large!) milestone reached? (I.e., are you a milestone fanatic?)

14. Have you in the last week or month revised some estimate in the “wrong” direction and apologized for making a lousy estimate? (Somehow you must publicly reward the telling of difficult truths.)

15. Have you installed in your tenure a very comprehensive customer satisfaction scheme for all internal customers? (With major consequences for hitting or missing the mark.)

16. Have you in the last six months had a week-long, visible, very intensive visit-“tour” of external customers?

17. Have you in the last 60 days called an abrupt halt to a meeting and “ordered” everyone to get out of the office, and “into the field” and in the next eight hours, after asking those involved, fixed (f-i-x-e-d!) a nagging “small” problem through practical action?

18. Have you in the last week had a rather thorough discussion of a “cool design thing” someone has come across—away from your industry or function—at a Web site, in a product or its packaging?

19. Have you in the last two weeks had an informal meeting—at least an hour long—with a frontline employee to discuss things we do right, things we do wrong, what it would take to meet your mid- to long-term aspirations?

20. Have you had in the last 60 days had a general meeting to discuss “things we do wrong” … that we can fix in the next fourteen days?

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UniCredit Group/ UniCredito Italiano* **—3rd party measurement—Customer-initiated measurement—Primary $$$$ incentives—“Factories”—Primary Corporate Initiative—Etc*#13**TP/#1

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The director of staff services at the giant financial services firm, UniCredit Group, installed the most thorough internal customer satisfaction measures scheme I have seen—with exceptional rewards for those who make the grade with their internal customers.

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21. Have you had in the last year a one-day, intense offsite with each (?) of your internal customers—followed by a big celebration of “things gone right”?

22. Have you in the last week pushed someone to do some family thing that you fear might be overwhelmed by deadline pressure?

23. Have you learned the names of the children of everyone who reports to you? (If not, you have six months to fix it.)

24. Have you taken in the last month an interesting-weird outsider to lunch?

25. Have you in the last month invited an interesting-weird outsider to sit in on an

important meeting?

26. Have you in the last three days discussed something interesting, beyond your industry, that you ran across in a meeting, reading, etc?

27. Have you in the last 24 hours injected into a meeting “I ran across this interesting idea in [strange place]”?

28. Have you in the last two weeks asked someone to report on something, anything that constitutes an act of brilliant service rendered in a “trivial” situation—restaurant, car wash, etc? (And then discussed the relevance to your work.)

29. Have you in the last 30 days examined in detail (hour by hour) your calendar to evaluate the degree “time actually spent” mirrors your “espoused priorities”? (And repeated this exercise with everyone on team.)

30. Have you in the last two months had a presentation to the group by a “weird” outsider?

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All we have is our time. The way we spend our time is our priorities, is our “strategy.”Your calendar knows what you really care about. Do you?

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31. Have you in the last two months had a presentation to the group by a customer, internal customer, vendor featuring “working folks” 3 or 4 levels down in the vendor organization?

32. Have you in the last two months had a presentation to the group of a cool, beyond-our-industry ideas by two of your folks?

33. Have you at every meeting today (and forever more) re-directed the conversation to the practicalities of implementation concerning some issue before the group?

34. Have you at every meeting today (and forever more) had an end-of-meeting discussion on “action items to be dealt with in the next 4, 48 hours? (And then made this list public—and followed up in 48 hours.) And made sure everyone has at least one such item.)

35. Have you had a discussion in the last six months about what it would take to get recognition in local-national poll of “best places to work”?

36. Have you in the last month approved a cool-different training course for one

of your folks?

37. Have you in the last month taught a front-line training course?

38. Have you in the last week discussed the idea of Excellence? (What it means, how

to get there.)

39. Have you in the last week discussed the idea of “Wow”? (What it means, how

to inject it into an ongoing “routine” project.)

40. Have you in the last 45 days assessed some major process in terms of the details of the “experience,” as well as results, it provides to its external or internal customers?

slide245

41. Have you in the last month had one of your folks attend a meeting you were supposed to go to which gives them unusual exposure to senior folks?

42. Have you in the last 60 (30?) days sat with a trusted friend or “coach” to discuss your “management style”—and its long- and short-term impact on the group?

43. Have you in the last three days considered a professional relationship that was a little rocky and made a call to the person involved to discuss issues and smooth the waters? (Taking the “blame,” fully deserved or not, for letting the thing-issue fester.)

44. Have you in the last … two hours … stopped by someone’s (two-levels “down") office-workspace for 5 minutes to ask “What do you think?” about an issue that arose at a more or less just completed meeting? (And then stuck around for 10 or so minutes to listen—and

visibly taken notes.)

45. Have you … in the last day … looked around you to assess whether the diversity pretty accurately maps the diversity of the market being served? (And …)

46. Have you in the last day at some meeting gone out of your way to make sure that a normally reticent person was engaged in a conversation—and then thanked him or her, perhaps privately, for their contribution?

47. Have you during your tenure instituted very public (visible) presentations of performance?

48. Have you in the last four months had a session specifically aimed at checking on the “corporate culture” and the degree we are true to it—with all presentations by relatively junior folks, including front-line folks? (And with a determined effort to keep the conversation restricted to “real world” “small” cases—not theory.)

49. Have you in the last six months talked about the Internal Brand Promise?

50. Have you in the last year had a full-day off site to talk about individual (and group) aspirations?

slide247

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

Is “Soft,” “Soft”

Is “Hard”

slide250

FLOWERPOWER

FLOWERPOWER

slide252

S = ƒ( ___ )

Success Is a

Function of …

slide253

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

slide254

SF50:

50 “Equations” on achieving success … at pretty much anything

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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

s pk w p s pk l p of people you know in the wrong places people you know in low places
S =ƒ(#PK“W”P)S = ƒ(#PK“L”P)# of people you know in the “wrong” places# people you know in “low” places
slide261

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

slide262

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.

slide263

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.

slide264

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.

slide265

S= ƒ(TSHRO)

Time spent ... Hurdle Removing for Others

slide266

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).

slide267

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

buy in ownership authorial bragging rights born again champion one line of code
“Buy in”- “Ownership”-Authorial bragging rights-“Born again” Champion = OneLineofCode!
slide269

“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

slide270

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)

slide272

“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

slide273

S= ƒ(CM)

Conscious calendar management

(the calendar never lies)

slide276

S = ƒ(CPRM, TS)

Conscious-planned Relationship management, time spent thereon

slide281

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

fyi sustainable competitive advantage relationship based advantage period282
FYI:“Sustainable competitive advantage” = “Relationship-based advantage” (period.)
slide283

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

slide284

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.

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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

slide286

S= ƒ(RCV)

Reduced customer visits (& more time on internal “customer” relationships—that allow us to deliver on customer promises)

S= ƒ(U“PIATI”)

Understanding … “Perception is all there is!”

S= ƒ(“EM”/NSTLT; “F”ITU, -80%)

“Everything matters”/No such thing as a “little thing”—etching of fly in the urinal in Amsterdam airport reduces “spillage” by 80%

S= ƒ(A“L”IOE)

Attention to “little” Indicators Of Excellence—e.g. fresh flowers

at the reception desk

S= ƒ(“GGT”)

“Give good tea”—Ben Franklin in Paris in 1777, Norm Schwarzkopf with the Saudi Crown Prince during Gulf War I; effectiveness at socializing with the “power behind the throne”

slide288

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

slide289

S= ƒ(3X“O”C)

“Over”-communicate (status, problems)

by a factor of three

slide290

THE PROBLEM IS RARELY/

NEVER THE PROBLEM.THE RESPONSE TO THE PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM.

slide291

FLOWERPOWER

S = ƒ(Thank you notes

per Day, flowers

given per Month,

Acts of Appreciation

per Week)

the deepest human need is the need to be appreciated william james
“The deepest human need is the need to be appreciated.”William James
slide293
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”—Henry Clay
slide294

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

slide298

S = ƒ(G)

Grace

S = ƒ(GA)

Grace toward adversary

S = ƒ(GW)

Grace toward the wounded in bureaucratic firefights

S = ƒ(PD)

Purposeful decency

S = ƒ(MB“TSS”MR)

Purposeful management of this Soft Stuff by people reporting to me

S = ƒ(EC, MMO)

Emotional connection, mgt & maintenance of

S = ƒ(IMDOP)

Investment in Mastery of detailed organizational processes

slide299

“What I learned from my years as a hostage negotiator is that we do not have to feel powerless—and that bonding is the antidote to the hostage situation.”—George Kohlrieser, Hostage at the Table (GK’s negotiation success rate is >95%)

slide300

S = ƒ(H-TS)

Time spent on Hiring

S = ƒ(TSPD, TSP-L1)

Time spent on promotion decisions, especially for 1st level managers

S = ƒ(%“SS,” H-PD)

% soft stuff involved in Hiring, Promotion decisions

S = ƒ(%WLP)

% women in leadership positions

S = ƒ(TWA, P, NP)

Time wandering around, purposeful, non-planned

S = ƒ(SBS)

Slack built into Schedule

slide301

“AS LEADERS, WOMEN RULE:New Studies find that female managers outshine their male counterparts in almost every measure”TITLE/ Special Report/ BusinessWeek

slide302

Women’s Negotiating Strengths*Ability to put themselves in their counterparties’ shoes*Comprehensive, attentive and detailed communication style*Empathy that facilitates trust-building*Curious and attentive listening*Less competitive attitude*Strong sense of fairness and ability to persuade*Proactive risk manager*Collaborative decision-makingSource: Horacio Falcao, Cover story/May 2006, World Business, “Say It Like a Woman: Why the 21st-century negotiator will need the female touch”

slide303
This “relationship stuff” comes naturally to women (for starters, from the genes); and is painfully difficult for many-most men.
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“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

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S = ƒ(%TM“TSS,” PM“TSS,” D“TD”“TSS”)

% of time, measured, on This Soft Stuff, purposeful management of this Soft Stuff, daily “to do” concerning “this Soft Stuff”

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Q: But where’s

the beef?

A: This is

the beef!

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“The terms ‘hard facts,’ and ‘the soft stuff’ used in business imply that data are somehow real and strong while emotions are weak and less important.”—George Kohlrieser, Hostage at the Table

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O(B) = ƒ(XX)

O(B), the “blueness” of one’s “ocean” [think Blue Ocean Strategy, the popular book], is directly proportional to one’s eXcellence in eXecution/XX, per me. [If one finds a “strategic” “blue ocean,” one will, especially in today’s world, copied immediately; the only “defense”—possibility of sustaining success—is XX/eXcellence in eXecution. Think EXXON MOBIL; they and their rivals know where the hydrocarbons are—but EXXON MOBIL handily out-executes the competition.]

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“Equations” #48, #49 and #50 are more about organizational effectiveness than individual effectiveness—and thus round out this brief presentation.

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S(O) = ƒ(XXFX)

The single most important cause of failure to execute effectively is the lack of effective cross-functional communication-execution. Hence, Organizational Success is a function of eXcellence (X) in cross-functional (XF) eXecution (X). Attached as Appendix II is my: The “XF-50”: 50 Ways to Enhance Cross-Functional Effectiveness and Deliver Speed, “Service Excellence” and “Value-added Customer ‘Solutions.’”

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S(O) = ƒ(X“SIT”)

In 1982 in In Search of Excellence, Bob Waterman and I wrote about the idea of “MBWA,” or Managing By Wandering Around; we came across “MBWA” at Hewlett-Packard, then a much smaller company, and it was love at first sight! For reasons described in Appendix III, I recently returned to the centrality of that notion—and created a list of 50 “Have Yous.” That is, instead of worrying ceaselessly about “strategy” and “blue oceans,” how good a job have you done at Staying In Touch with your extended internal and external “organizational family”? That is: S(O), Organizational Success, is a function of X “SIT,” eXcellence at Staying In Touch.

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“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.[Yet] 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

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FLOWERPOWER

FLOWERPOWER