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Tom Peters’ EXCELLENCE. ALWAYS. The Basics. 03 October 2008. NOTE : To appreciate this presentation [and ensure that it is not a mess ], you need Microsoft fonts: “Showcard Gothic,” “Ravie,” “Chiller” and “Verdana”. L(+21) = L(-21). Leadership(21A.D.) = Leadership(21B.C.). walk.

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slide2

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

slide6

Sunday “Drive By”:The CEO of a very successful mid-sized bank, in the Mid-west, attended a seminar of mine in Northern California in the mid-80s—but I remember the following as if it were yesterday. I’ve forgotten the specific context, but I recall him saying to me, pretty much word for word,“Tom let me tell you the definition of a good lending officer. After church on Sunday, on the way home with his family, he takes a little detour to drive by the factory he just lent money to. Doesn’t go in or any such thing, just drives by and takes a sniff.”

slide11

“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.”

slide12

George Crile (Charlie Wilson’s War) on Gust Avrakotos’ strategy:“He had become something of a legend with these people who manned the underbelly of the Agency [CIA].”

slide13

General David Petraeus’ “White lines along the road”:

“Secure and serve the population.

Live among the people.

Promote reconciliation.

Move mounted, work dismounted;

situational awareness can only be

achieved by operating face-to-face,

not separated by ballistic glass.

Walk.*”

—David Petraeus, Men’s Journal (06.08)

* “I love that last one for its simplicity.” —DP

slide16

MBWA, Grameen Style!“Conventional banks ask their clients to come to their office. It’s a terrifying place for the poor and illiterate. … The entire Grameen Bank system runs on the principle that people should not come to the bank, the bank should go to the people. … If any staff member is seen in the office, it should be taken as a violation of the rules of the Grameen Bank. … It is essential that [those setting up a new village Branch] have no office and no place to stay. The reason is to make us as different as possible from government officials.” Source: Muhammad Yunus, Banker to the Poor

slide20

The Real World’s “Little” Rule Book

Ben/tea

Norm/tea

DDE/make friends

WFBuckley/make friends-help friends

Gust/Suck down

Charlie/poker pal-BOF

Eddie VII/dance-flatter-mingle-learn the language

Vlad/birthday party of outgroup guy’s wife

CIO/finance network

ERP installer/consult-“one line of code”

GE Energy/make friends risk assessment

GWB/put Jim on the invitation list

GHWB/T-notes

Hank/60 calls

MarkM/5K-5M

Delaware/show up

Oppy/snub Lewis Strauss

NM/smile

-$4.3T/tin ear

TP/3M, I’m sorry

tp.com/Big 4-What do you think?

Women/genes

Banker/after church

Total Bloody Mess/Can they pay back the loan?

slide23

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”

slide24

“Breakthrough” 82*

People!

Customers!

Action!

Values!

*In Search of Excellence

slide28

“You have to treat your employees like customers.”—Herb Kelleher, complete answer, upon being asked his “secrets to success”

Source: Joe Nocera, NYT, “Parting Words of an Airline Pioneer,” on the occasion of Herb Kelleher’s retirement after 37 years at Southwest Airlines (SWA’s pilots union took out a full-page ad in USA Today thanking HK for all he had done; across the

way in Dallas American Airlines’ pilots were picketing the Annual Meeting)

slide29

“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

slide31

Why in the

World did you

go to Siberia?

slide32

Enterprise* ** (*at its best):An emotional, vital, innovative, joyful, creative, entrepreneurial endeavor that elicits maximum

concerted human

potential in the wholeheartedservice of others.****Employees, Customers, Suppliers, Communities, Owners, Temporary partners

slide33

… 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.

slide37

“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

slide39

“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

slide41

Our MissionTo develop and manage talent;to apply that talent,throughout the world, for the benefit of clients;to do so in partnership; to do so with profit.WPP

slide44

The Dream Manager—Matthew Kelly“An organization can only become the-best-version-of-itself to the extent that the people who drive that organization are striving to become better-versions-of-themselves.” “A company’s purpose is to become the-best-version-of-itself. The question is: What is an employee’s purpose? Most would say, ‘to help the company achieve its purpose’—but they would be wrong. That is certainly part of the employee’s role, but an employee’s primary purpose is to become the-best-version-of-himself or –herself. … When a company forgets that it exists to serve customers, it quickly goes out of business.Our employees are our first customers, and our most important customers.”

slide49

“One of the defining characteristics [of the change] is that it will be less driven by countries or corporations and more driven by real people.It will unleash unprecedented creativity, advancement of knowledge, and economic development. But at the same time, it will tend to undermine safety net systems and penalize the unskilled.”—Clyde Prestowitz, Three Billion New Capitalists

slide50

“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

slide53

New Work SurvivalKit.2008

1. MASTERY!(Best/Absurdly Good at Something!)2. “Manage” to Legacy(All Work = “Memorable”/“Braggable” WOW Projects!)

3. A “USP”/UNIQUE SELLING PROPOSITION 4. Rolodex Obsession(From vertical/hierarchy/“suck up” loyalty to

horizontal/“colleague”/“mate” loyalty)5. ENTREPRENEURIAL INSTINCT(A sleepless … Eye for Opportunity! 6.CEO/LEADER/BUSINESSPERSON/CLOSER(CEO, Me Inc. 24/7!)7. Master of Improv(Play a dozen parts simultaneously, from

Chief Strategist to Chief Toilet Scrubber)8. Sense of Humor(A willingness to Screw Up & Move On)

9. Comfortable with Your Skin(Bring “interesting you” to work!)10. Intense Appetite for Technology(E.g.: How Cool-Active is your

Web site? Do you Blog?)11. EMBRACE “MARKETING”(Your own CSO/Chief Storytelling Officer)12. PASSION FOR RENEWAL(Your own CLO/Chief Learning Officer)

13. EXECUTION EXCELLENCE!(Show up on time! Leave last!)

slide54
“The only thing you have power over is to get good at what you do. That’s all there is; there ain’t no more!”—Sally Field
slide56

Conrad Hilton, at a gala celebrating his life, was asked, “What was the most important lesson you’ve learned in you long and distinguished career?” His immediate answer …

slide57

Conrad Hilton, at a gala celebrating his life, was asked, “What was the most important lesson you’ve learned in you long and distinguished career?” His immediate answer: “remember to tuck the shower curtain inside the bathtub”

slide62

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.

slide63

1. Have you in the last 10days …visited a customer?2. Have you called a customer … TODAY? * * *

slide64

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.)

slide65

The “XF-50”: 50 Ways to Enhance Cross-Functional Effectiveness and Deliver Speed, “Service Excellence” and “Value-added Customer ‘Solutions’”**Entire “XF-50” List is an Appendix to the LONG version of this presentation, posted at tompeters.com

slide67

GSK/CEDDConoco/geologists-geophysicistsFlag requirement/joint staffStanford/X-disc #1Dartmouth-Hitchcock/micro-systems3M Austin/physical

slide69

????

% XF lunches*

*Measure!

slide71

“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

slide73

“The onething you need to know about sustained individual success: Discover what you don’t like doing and stopdoing it.”—Marcus Buckingham, The One Thing You Need to Know

slide77

In How Doctors Think, Harvard Med doc Jerome Groopman tells us that the best way to get a fix on what ails a patient is to get the patient talking openly about his-her problem.

Great.

But the research shows that docs, on average, leap to a conclusion and interrupt their patients after … 18 seconds.

(Docs are hardly alone. This is a disease present in almost all specialists and professionals. “Listening” for a professional invariably means … talking.)

slide79

“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)

slide80

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.

slide81

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

*Watergate, M Stewart, BR

**And: PERCEPTION IS ALL THERE IS!

slide82
Success …Consult everyone on everything“Thank you” note carpetbombingSource: Roger Rosenblatt, Rules for Aging
slide83

“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)

buy in ownership authorial bragging rights born again champion one line of code
“Buy in”- “Ownership”-Authorial bragging rights-“Born again” Champion = OneLineofCode!
slide85
TP:People are always ready to tell their story!See also: “The story leaner’s edge” (Steve Farber) “The dream manager” (Matthew Kelly)
slide87

???????“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!”

slide91
“Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”—Henry Clay
slide93

Press Ganey Assoc:139,380 former patients from 225 hospitals:noneof THE top 15 factors determining Patient Satisfaction referred to patient’s health outcomePSdirectly related to StaffInteractionPSdirectly correlated with Employee SatisfactionSource: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel

slide94

“There is a misconception that supportive interactions require more staff or more time and are therefore more costly. Although labor costs are a substantial part of any hospital budget, the interactions themselves add nothing to the budget. Kindness is free. Listening to patients or answering their questions costs nothing. It can be argued that negative interactions—alienating patients, being non-responsive to their needs or limiting their sense of control—can be very costly. … Angry, frustrated or frightened patients may be combative, withdrawn and less cooperative—requiring far more time than it would have taken to interact with them initially in a positive way.”—Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel

slide98

Conrad Hilton, at a gala celebrating his life, was asked, “What was the most important lesson you’ve learned in you long and distinguished career?” His immediate answer: “remember to tuck the shower curtain inside the bathtub”

slide99

“You have to treat your employees like customers.”—Herb Kelleher, upon being asked his “secret to success”Source: Joe Nocera, NYT, “Parting Words of an Airline Pioneer,”

on the occasion of Herb Kelleher’s retirement after 37 years

at Southwest Airlines (SWA’s pilots union took out a full-page

ad in USA Today thanking HK for all he had done; across the

way in Dallas American Airlines’ pilots were picketing the

Annual Meeting)

3h howard hilton herb stay in touch sweat the details it s the people stupid
3H: Howard, Hilton, Herb**Stay in touch!**Sweat the details!**It’s the people, stupid!
basement systems inc larry janesky dry basement science 115 000 1990 0 2003 13m 2007 62 000 000
*Basement Systems Inc.*Larry Janesky*Dry Basement Science(115,000!)*1990: $0; 2003: $13M; 2007: $62,000,000
slide105

Jim’s Mowing Canada

Jim’s Mowing UK

Jim’s Antennas

Jim’s Bookkeeping

Jim’s Building Maintenance

Jim’s Carpet Cleaning

Jim’s Car Cleaning

Jim’s Computer Services

Jim’s Dog Wash

Jim’s Driving School

Jim’s Fencing

Jim’s Floors

Jim’s Painting

Jim’s Paving

Jim’s Pergolas [gazebos]

Jim’s Pool Care

Jim’s Pressure Cleaning

Jim’s Roofing

Jim’s Security Doors

Jim’s Trees

Jim’s Window Cleaning

Jim’s Windscreens

Note: Download, free, Jim Penman’s book:

What Will They Franchise Next? The Story of Jim’s Group

slide106

Jim’s Group:Jim Penman.* 1984: Jim’s Mowing. 2006: Jim’s Group. 2,600 franchisees (Australia, NZ, UK). Cleaning. Dog washing. Handyman. Fencing. Paving. Pool care. Etc.“People first.” Private. Small staff. Franchisees can leave at will. 0-1 complaint per year is norm; cut bad ones quickly.*Ph.D. cross-cultural anthropology; mowing on the sideSource: MT/Management Today (Australia), Jan-Feb 2006

slide107

*Lived in same town all adult life*First generation that’s wealthy/ no parental support*“Don’t look like millionaires, don’t dress like millionaires, don’t eat like millionaires, don’t act like millionaires”*“Many of the types of businesses [they] are in could be classified as ‘dull- normal.’ [They] are welding contractors, auctioneers, scrap-metal dealers, lessors of portable toilets, dry cleaners, re-builders of diesel engines, paving contractors …”Source: The Millionaire Next Door, Thomas Stanley & William Danko

slide109

“Forget China, India and the Internet: Economic Growth Is Driven by Women.”—Headline, Economist, April 15, 2006, Leader, page 14

slide110

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

slide111

10 UNASSAILABLE REASONS WOMEN RULE

Women make [all] the financial decisions.Womencontrol [all] the wealth.

Women [substantially] outlive men.

Women start most of the new businesses.

Women’s work force participation rates have

soared worldwide.

Women are closing in on “same pay for same

job.”

Womenare penetrating senior ranks rapidly

[even if the pace is slow for the corner

office per se].

Women’sleadership strengths are exceptionally well

aligned with new organizational effectiveness

imperatives.

Women are better salespersons than men.

Women buy [almost] everything—commercial

as well as consumer goods.

So what exactly is the point of men?

slide114

“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

slide116

“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

slide117

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

reward excellent failures punish mediocre successes phil daniels sydney exec
“Rewardexcellent failures. Punishmediocre successes.”Phil Daniels, Sydney exec
the secret of fast progress is inefficienc y fast and furious and numerous failures kevin kelly
“The secret of fast progress is inefficiency, fast and furious and numerous failures.”—Kevin Kelly
slide123

Kevin Roberts’ Credo1. 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!

i m not comfortable unless i m uncomfortable jay chiat
“I’m not comfortable unless I’m uncomfortable.”—Jay Chiat
slide125

"Life is not a journey to the grave with the intention of arriving safely in one pretty and well preserved piece, but to skid across the line broadside, thoroughly used up, worn out, leaking oil, shouting ‘GERONIMO!’ ”

—Bill McKenna, professional motorcycle racer

(Cycle magazine 02.1982)