The Challenge: To Create More Value in All Negotiations

The Challenge: To Create More Value in All Negotiations

LONG Tom Peters ! RE-IMAGINE EXCELLENCE/2016 BrightStar Care Annual Conference Rosemont, IL/22 September 2016 (This presentation/10+ years of presentation slides at tompeters.com; also see our annotated 23-part Monster-Master at excellencenow.com)

SERVICE JOY EXCELLLENCE ORGANIZATIONS EXIST TO SERVE. PERIOD. LEADERS LIVE TO SERVE. PERIOD. SERVICE is a beautiful word. SERVICE is character, community,

commitment. (And profit.) SERVICE is a beautiful word. SERVICE is not Wow. SERVICE is not raving fans. SERVICE is not a great experience. SERVICE is just thatSERVICE. SERVICE is in fact the highest human calling. MANAGING/ROYAL PAIN IN THE BUTT: Somebodys got to do it; punching bag for higher ups on end, surrounded

by grouchy, ungrateful employees on the other; blame magnet if things go wrong, big bosses abscond with the credit if things go right. MANAGING/PINNACLE OF HUMAN ACHIEVEMENT: The greatest life opportunity one can have [literally]; midto long-term success is no more and no less than a function of ones dedication to and effectiveness at helping team members grow and flourish as individuals and as contributing members to an energetic, enthusiastic, caring, self-renewing, futurethirsty organization dedicated to the relentless pursuit of Excellence.*

*Robert Altman, Oscar acceptance speech: The role of the Director is to create a space where the Actors and Actresses can become more than they have ever been before, more than they have dreamed of being. IF YOU (e.g., CHIEF) WORK YOUR ONE BUTT OFF HELPING YOUR TEAM MEMBERS SUCCEED AND GROW, THEY WILL WORK THEIR FIVE

[or 55 or 555] BUTTS OFF HELPING YOU [AND YOUR CUSTOMERS] THRIVE. Why in the World did you go to Siberia? An emotional, vital, innovative, joyful, creative, entrepreneurial endeavor that elicits

maximum ENTERPRISE* (*AT ITS BEST): concerted human potential in the wholehearted pursuit of EXCELLENCE in service of others.** others **Employees, Customers, Suppliers, Communities, Owners, Temporary partners

It may sound radical, unconventional, and bordering on being a crazy business idea. However as ridiculous as it soundsjoy is the core belief of our workplace. Joy is the reason my company, Menlo Innovations, a customer software design and development firm in Ann Arbor,

exists. It defines what we do and how we do it. It is the single shared belief of our entire team. Joy, Inc.: How We Built a Workplace People Love Richard Sheridan, Hard is Soft. Soft is Hard. Hard

Soft [numbers/plans] is Soft. is Hard. [people/relationships/culture] Strive for Excellence.

Ignore success. Bill Young, race car driver Joe J. Jones 1942 2015 Net Worth $21,543,672.48 Not.

In a way, the world is a great liar. It shows you it worships and admires money, but at the end of the day it doesnt. It says it adores fame and celebrity, but it doesnt, not really. The world admires, and wants to hold on to, and not lose, goodness. It admires virtue. At the end it gives its greatest tributes to generosity, honesty, courage, mercy, talents well used, talents that, brought into the world, make it better. Thats what

it really admires. Thats what we talk about in eulogies, because thats whats important. We dont say, The thing about Joe was he was rich! We say, if we can We say, if we can The thing about Joe was he took good care of people.

Peggy Noonan, A Lifes Lesson, on the astounding response to the passing of journalist Tim Russert, Russert, The Wall Street Journal, June 21-22, 2008 The Memories That Matter The people you developed who went on to stellar accomplishments inside or outside the company. The (no more than) two or three people you developed who went on to

create stellar institutions of their own. The longshots (people with a certain something) you bet on who surprised themselvesand your peers. The people of all stripes who 2/5/10/20 years later say You made a difference in my life, Your belief in me changed everything. The sort of/character of people you hired in general. (And the bad apples you chucked out despite some stellar traits.)

A handful of projects (a half dozen at most) you doggedly pursued that still make you smile and which fundamentally changed the way things are done inside or outside the company/industry. The supercharged camaraderie of a handful of Great Teams aiming to change the world. EXCELLENCE is not a long-term "aspiration. EXCELLENCE is the ultimate shortterm strategy. EXCELLENCE is

THE NEXT 5 MINUTES.* (*Or NOT.) EXCELLENCE is not an "aspiration."

EXCELLENCE is THE NEXT FIVE MINUTES. EXCELLENCE is your next conversation. Or not. EXCELLENCE is your next meeting. Or not. EXCELLENCE is shutting up and listeningreally listening. Or not. EXCELLENCE is your next customer contact. Or not. EXCELLENCE is saying Thank you for something small. Or not.

EXCELLENCE is the next time you shoulder responsibility and apologize. Or not. EXCELLENCE is waaay over-reacting to a screw-up. Or not. EXCELLENCE is the flowers you brought to work today. Or not. EXCELLENCE is lending a hand to an outsider whos fallen behind schedule. Or not. EXCELLENCE is bothering to learn the way folks in finance [or IS or HR] think.

Or not. EXCELLENCE is waaay over-preparing for a 3-minute presentation. Or not. EXCELLENCE is turning insignificant tasks into models of EXCELLENCE. Or not. CONRADS COMMANDMENT CONRAD HILTON, at a gala celebrating his career, was called to the podium and

What were the most important lessons you learned in your long and distinguished career? His answer asked, Remember

to tuck the shower curtain inside the bathtub. Amateurs talk about strategy. Professionals talk about logistics. General Omar Bradley,

commander of American troops/D-Day Observed closely: The use of I or We during a job interview.

1 Mouth, 2 Ears Its amazing how this seemingly small thing simply paying fierce attention to another,

really asking, really listening, even during a brief conversationcan evoke such a wholehearted response. Susan Scott, Fierce Conversations: Achieving Success at Work and in Life, One Conversation at a Time The doctor interrupts after *

*Source: Jerome Groopman, How Doctors Think 18 18 seconds! [An obsession with] Listening is ... the ultimate mark of

Respect . Listening is ... Listening is ... Listening is ... Listening is ... Listening is ... Listening is ... Listening is ...

the heart and soul of Engagement. the heart and soul of Kindness. the heart and soul of Thoughtfulness. the basis for true Collaboration. the basis for true Partnership. a Team Sport. a Developable Individual Skill.* (*Though women Listening is ... Listening is ... Listening is ...

Listening is ... the basis for Community. the bedrock of Joint Ventures that work. the bedrock of Joint Ventures that grow. the core of effective Cross-functional Communication* (*Which is in turn Attribute #1 of are far better at it than men.) organization effectiveness.)

Best Listeners Win IF YOU DONT LISTEN, YOU DONT SELL ANYTHING. Carolyn Marland, CEO, Guardian Group **8 of 10 sales presentations fail

**50% failed sales ** presentations talking at before listening! Susan Scott, Let Silence Do the Heavy Listening, chapter title, Fierce Conversations: Achieving Success at Work and in Life, One Conversation at a Time The best way to persuade someone

is with your ears, by listening to them. Dean Rusk, former U.S. Secretary of State Core Value #1: We are Effective Suggested Listenerswe treat Listening

EXCELLENCE as the Centerpiece of our Commitment to Respect and Engagement and Community and Growth. Part ONE: LISTEN* (pp11-116, of 364)

*The key to every one of our [eight] leadership attributes was the vital importance of a leaders ability to listen. (One of Bransons personal keys to listening is notetakinghe has hundreds of notebooks.) Source: Richard Branson, The Virgin Way: How to Listen, Learn, Laugh, and Lead I always write

LISTEN on the back of my hand before a meeting. Source: Tweet viewed @tom_peters CULTURE EATS STRATEGY FOR BREAKFAST What matters most

to a company over time? Strategy or culture? WSJ/0910.13: Dominic Barton, Managing Director, McKinsey & Co.: Culture. Culture precedes

positive results. It doesnt get tacked on as an afterthought on the way to the victory stand. NFL Hall of Fame Coach Bill Walsh If I could have chosen not to tackle the IBM culture headon, I probably wouldnt have. My bias coming in was toward strategy, analysis and measurement. In comparison,

changing the attitude and behaviors of hundreds of Yet I came to see in my time at IBM that culture isnt just thousands of people is very, very hard. one aspect of the game IT IS THE GAME.

Culture eats strategy for breakfast. Ed Schein/1986 PEOPLE EAT

STRATEGY FOR BREAKFAST, LUNCH AND DINNER PEOPLE BEFORE STRATEGY Lead article, Harvard Business Review. July-August 2015, by Ram Charan, Dominic Barton, and Dennis Carey 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 Kellehers retirement after 37 years at Southwest Airlines (SWAs pilots union took out a full-page ad in USA Today

thanking HK for all he had done) ; across the way in Dallas, American Rocket Science. NOT. If you want staff to give great service, give great service to staff. Ari Weinzweig, Zingermans

Source: Small Giants: Companies That Choose to Be Great Instead of Big, Bo Burlingham What employees experience, Customers will. The best marketing is YOUR CUSTOMERS WILL NEVER BE ANY HAPPIER THAN YOUR

EMPLOYEES. happy, engaged employees. John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World 1/4,096: excellencenow.com Business has to give people enriching,

or it's simply not worth doing. rewarding lives Richard Branson Whos on Second?

Nobody comes home after a surgery saying, Man, that was the best suturing Ive ever seen! or Sweet, Instead, we talk about the people who took care of us, the ones who co-ordinated the whole procedureeveryone from the receptionist to the nurses to the surgeon. And we dont just tell stories around the they took out the correct kidney!

dinner table. We share our experiences through conversations with friends and colleagues and via social media sites. from the chapter What Does Come First? Patients Come Second: Leading Change By Changing the Way You Lead by Paul Spiegelman & Britt Berrett in the book

hostmanship The path to a culture paradoxically does not go through the guest. In fact it wouldnt be totally wrong to say that the guest has nothing to do with it. True hostmanship leaders focus on their employees. What drives exceptionalism is finding the right people and getting them to love their work and see it as a passion. ... The guest comes into the picture only when you are ready to ask, Would you prefer to stay at a hotel where the staff love their We

went through the hotel and made a ... consideration renovation. Instead of redoing bathrooms, dining rooms, and guest rooms, we gave employees new uniforms, bought flowers and fruit, and changed colors. Our focus was totally on the staff. They were the ones we wanted to make happy. We wanted them to wake up every morning excited work or where management has made customers its highest priority? about a new day at work. Jan Gunnarsson and Olle Blohm, Hostmanship:

The Art of Making People Feel Welcome. Welcome. The guest comes into the picture only when you are ready to ask, Would you prefer to stay at a hotel where the staff love their work or where management has made customers its highest

priority? 1996-2014/Twelve companies have been among the 100 best to work for in the USA every year, for all 16 years of the lists existence; along the way, theyve added/ 341,567 new jobs, or job growth of +172%: Publix Whole Foods Wegmans

Nordstrom Cisco Systems Marriott REI Goldman Sachs Four Seasons SAS Institute W.L. Gore

TDIndustries Source: Fortune/ The 100 Best Companies to Work For/0315.15 EXCELLENT customer experience depends entirely on EXCELLENT employee experience! If you want to WOW your FIRST

customers, you must WOW those who WOW the customers! In a world where customers wake up every morning asking, Whats new, whats different, whats amazing? success depends on a

companys ability to unleash initiative, imagination and passion of employees at all levels and this can only happen if all those folks are connected heart and soul to their work [their calling], their company and their mission. John Mackey and Raj Sisoda, Conscious Capitalism: Liberating the Heroic Spirit of Business ???

% OF PEOPLE WITH DREAMS 100% THE DREAM MANAGER by Matthew Kelly

AN ORGANIZATION CAN ONLY BECOME THEBEST-VERSION-OF-ITSELF TO THE EXTENT THAT THE PEOPLE WHO DRIVE THAT ORGANIZATION ARE STRIVING TO BECOME BETTER-VERSIONSOF-THEMSELVES. A companys purpose is to become the-best-version-of-itself. The question is: What is an employees purpose? Most would say, to help the company achieve its purposeBUT THEY WOULD BE WRONG. That is certainly part of the employees role, but an employees 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. Profit Through Putting People First Business Book Club Nice Companies Finish First: Why Cutthroat Management Is Overand Collaboration Is In, by Peter Shankman with Karen Kelly Uncontainable: How Passion, Commitment, and Conscious Capitalism Built a Business Where Everyone Thrives, by Kip Tindell, CEO Container Store

Conscious Capitalism: Liberating the Heroic Spirit of Business, by John Mackey, CEO Whole Foods, and Raj Sisodia Firms of Endearment: How World-Class Companies Profit from Passion and Purpose, by Raj Sisodia, Jag Sheth, and David Wolfe The Good Jobs Strategy: How the Smartest Companies Invest in Employees to Lower Costs and Boost Profits, by Zeynep Ton, MIT Joy, Inc.: How We Built a Workplace People Love, by Richard Sheridan, CEO Menlo Innovations Employees First, Customers Second: Turning Conventional Management Upside Down, by Vineet Nayar, CEO, HCL Technologies

Patients Come Second: Leading Change By Changing the Way You Lead by Paul Spiegelman & Britt Berrett The Customer Comes Second: Put Your People First and Watch Em Kick Butt, by Hal Rosenbluth, former CEO, Rosenbluth International Its Your Ship: Management Techniques from the Best Damn Ship in the Navy, by Mike Abrashoff, former commander, USS Benfold Turn This Ship Around; How to Create Leadership at Every Level, by L. David Marquet, former commander, SSN Santa Fe Small Small Giants: Companies That Choose to Be Great Instead of Big, by Bo Burlingham Hidden Champions: Success Strategies of Unknown World Market Leaders,

Leaders, by Hermann Simon Retail Superstars: Inside the 25 Best Independent Stores in America, America, by George Whalin Joy at Work: A Revolutionary Approach to Fun on the Job, by Dennis Bakke, former CEO, AES Corporation The Dream Manager, by Matthew Kelly The Soft Edge: Where Great Companies Find Lasting Success, by Rich Karlgaard, publisher, Forbes Delivering Happiness: A Path to Profits,

Profits, by Tony Hsieh, Zappos Camellia: A Very Different Company Fans, Not Customers: How to Create Growth Companies in a No Growth World, World, by Vernon Hill Like a Virgin: Secrets They Wont Teach You at Business School, School, by Richard Branson Hiring Development can help great people be even better but

if I had a dollar to spend, Id 70 cents spend getting the right person in the door. Paul Russell, Director, Leadership and

Development, Google The ultimate filter we use [in the hiring process] is that we only hire nice people. When we finish assessing skills, we do something called running the gauntlet. We have them interact with 15 or 20 people, and everyone of them have what I call a blackball vote, which means

they can say if we should not hire that person. I believe in culture so strongly and that one bad apple can spoil the bunch. There are enough really talented people out there who are nice, you dont really need to put up with people who act like jerks. Peter Miller, CEO Optinose (pharmaceuticals) When we talk about the qualities we want in people,

empathy is a big one. If you can empathize with people, then you can do a good job. If you have no ability to empathize, then its difficult to help people improve. One way that empathy manifests itself is courtesy. Its not just a Everything becomes harder. veneer of politeness, but actually trying to anticipate someone elses needs and meeting

them in advance. Stewart Butterfield, co-founder/CEO Slack, founder Flickr I cant tell you how many times we passed up hotshots for guys we thought were better people and watched our guys do a lot better than the big names, not just in the classroom, but on the fieldand,

naturally, after they graduated, too. Again and again, the blue chips faded out, and our little up-and-comers clawed their way to allconference and All-America teams. Bo Schembechler & John Bacon), Recruit for Character, Bos Lasting Lessons Its simple, really,

Tom. Hire for s, and, above all, promote for s. Starbucks regional manager, on why so many smiles at Starbucks shops We look for ...

listening, caring, smiling, saying Thank you, being warm. Colleen Barrett, former President, Southwest Airlines "When I hire someone, that's when I go to

work for them. John DiJulius, "What's the Secret to Providing a World-class Customer Experience" Training = Investment 1!

# 3-star generals worry In the Army, about training. In most businesses, it's a hohum mid-level staff function.

Why (why why why why why why why why why is intensiveextensive training obvious for the army & navy & sports teams & performing why why why why) not

arts groupsbut for the average business? >> 8 of 10 CEOs, in 45-min tour dhorizon of their biz, would NOT mention training. Bet #4:

Is your CTO/Chief Training Officer your top paid C-level job (other than CEO/COO)? If not, why not? Are your top trainers paid as much as your top marketers and engineers? If not, why not? Are your training courses so good they make you giggle and tingle? If not, why not?

Randomly stop an employee in the hall: Can she/he meticulously describe her/his development plan for the next 12 months? If not, why not? Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, the military? If people/talent first and hyper-intense continuous training are laughably obviously for them, why not you? Is your CTO/Chief Training Officer your top paid C-level job (other than CEO/COO)? If not, why not?

Are your top trainers paid as much as your top marketers and engineers? If not, why not? Are your training courses so good they make you giggle and tingle? If not, why not? Randomly stop an employee in the hall: Can she/he meticulously describe her/his development plan for the next 12 months?

If not, why not? Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, the military? If people/talent first and hyper-intense continuous training are laughably obviously for them, why not you? Your [boss] job is [much] safer if every one of your team members

is committed to Boss & RPD: RPD/Radical Personal Development. Actively support one and all! What is the

#1 reason to go berserk over training? What is the best reason to go bananas over training? GREED. (It pays off.)

(Also: Training should be an official part of the R&D budget and a capital expense.) The topic is probably the oldest and biggest debate in What is more important: How well you hire, or the training and culture you bring your employees into? Customer service.

While both are very important, 75 percent is the Customer service training and the service culture of your company . Do you really think that Disney has found 50,000 amazing service-minded

people? There probably arent 50,000 people on earth who were born to serve. Companies like Ritz-Carlton and Disney find good people and put them in such a strong service and training environment that doesnt allow for accept anything less than excellence. John DiJulius, The Customer Service Revolution: Overthrow Evaluation (53 = 53) EVALUATING

#1 PEOPLE = DIFFERENTIATOR Source: Jack Welch, now Jeff Immelt, on !!!!) GEs top strategic skill ( People are NOT

Standardized. Their evaluations should NOT be standardized. EVER. ! Me (The [All Important]

Development of Self) Being aware of and how you affect everyone around you is yourself

what distinguishes a superior leader. Edie Seashore How can a high-level leader like _____ be so out of touch with the truth about himself? Its more common than you In fact, the higher up the ladder a

leader climbs, the less accurate his selfassessment is likely to be. would imagine. The problem is an acute lack of feedback [especially on people issues]. Daniel Goleman (et al.), The New Leaders The biggest problem I shall ever face: the management o Dale Carnegie. Dale Carnegie, diary of

"Everyone thinks of changing the world, but no one thinks of changing himself." Leo Tolstoy 1 -LINE CHIEFS

ST If the regimental commander lost most of his 2nd lieutenants and 1st lieutenants and captains and majors, it would be a tragedy. IF HE LOST HIS SERGEANTS IT WOULD BE A CATASTROPHE. The Army and the Navy are fully aware that success on the battlefield is dependent to an

extraordinary degree on its Sergeants and Chief Petty Officers. Does industry have the same awareness? People leave managers not companies. Dave Wheeler SOFTWARE IS

EATING THE WORLD: 3-MINUTE WARNING Software is eating the world. Marc Andreessen Automation has become so

sophisticated that on a typical passenger flight, a human pilot holds the controls for a grand total of 3 minutes . [Pilots] have become, its not

much of an exaggeration to say, computer operators. Source: Nicholas Carr, The Great Forgetting, The Atlantic, Atlantic, 11.13 Meet Your Next Surgeon: Dr. Robot Source: Feature/Fortune/15 JAN 2013/on Intuitive Surgicals da Vinci

/multiple bypass heart-surgery robot MetaMed [Michael Vassar/ founder] is creating a better information system and new class of people to manage it.

Almost all health care people get is going to be donehopefullyby algorithms within a decade or two. We used to rely on doctors to be experts, and weve crowded them into being something like factory workers, where their job is to see one patient every 8 to 11 minutes and implement a by-the-book solution. Im talking about creating a new expert

professionmedical quants, almost like hedgefund managers, who could do the high-level analytical work of directing all the information that flows into the worlds hard drives. Doctors would now be aided by Vassars new information experts who would be aided by advanced artificial intelligence.New York / 0624.13 The intellectual talents of highly trained professionals are no more protected from

automation than is the drivers left turn. Nicholas Carr, The Glass Cage: Automation and Us If you think being a professional makes your job safe, think again. Robert Reich Sensor Pills: Proteus Digital Health is one of several pioneers in sensorbased health technology. They make a silicon chip the size

of a grain of sand that is embedded into a safely digested pill that is swallowed. When the chip mixes with stomach acids, the processor is powered by the bodys electricity and transmits data to a patch worn on the skin. That patch, in turn, transmits data via Bluetooth to a mobile app, which then transmits the data to a central database where a health technician can verif y if a patient has taken her or his medications . This is a bigger deal than it may seem. In 2012, it was estimated that people not

$258 BILLION in emergency room visits, hospitalization, and doctor visits. An average of 130,000 Americans die taking their prescribed medications cost each year because they dont follow their prescription regimens closely enough (The FDA approved placebo testing in April 2012; sensor pills are ticketed to come to market in 2015 or 2016.) Source: Robert Scoble and Shel Israel, Age of Context: Mobile, Sensors, Data and the Future of Privacy IoT/The Internet of Things

IoE/The Internet of Everything M2M/Machine-to-Machine Ubiquitous computing Embedded computing Pervasive computing Industrial Internet Etc.* ** *** *More Than 50 BILLION connected devices by 2020 Ericsson

**Estimated 212 BILLION connected devices by 2020IDC ***By 2025 IoT could be applicable to $82 TRILLION of output or approximately one half the global economyGE [The WAGs to end all WAGs!] China/Foxconn:

1,000,000 robots/next 3 years Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee Since 1996, manufacturing employment in China itself has actually fallen 25 percent 30,000,000

by an estimated Thats over fewer . Chinese workers in that sector, even while output soared by 70 percent. Its not that American workers are being replaced by Chinese workers. Its

that both American and Chinese workers are being made more efficient [replaced] by automation. Erik Brynjolfsson and Andrew McAfee, The Second Machine Age: Work, Progress, and Prosperity in a Time of Brilliant Technologies Betterment/ Ambitions of a Robo Adviser could put tens of thousands of U.S.

investment advisors out FT/1217.14/ THE MORAL IMPERATIVE: PEOPLE DEVELOPMENT Your principal moral obligation as a

leader is to develop the skillset, soft and hard, of every one of the people in your charge (temporary as well as semipermanent) to the maximum extent of your abilities. The bonus: This is also the #1 mid- to long-term profit maximization strategy! CORPORATE MANDATE #1 2016: #3: Provide a prideworthy job.*

#2: Help people be successful at their current job.** #1: Help people grow/ prepare for an uncertain future.*** *Provide a secure job.NOT POSSIBLE IN 2015. **Success is NOT enough, circa 2015. ***Societyand profitabilitydemands this. (Or should!) The role of the Director is to

create a space where the actors and actresses can become more than theyve ever been before, more than theyve dreamed of being. Robert Altman, Oscar acceptance speech 50:

Lesson WTTMSW WHOEVER TRIES THE MOST STUFF WINS

READY. FIRE! AIM. H. Ross Perot (vs Aim! Aim! Aim!/EDS vs GM/1985) We made mistakes, of course. Most of them were omissions we didnt 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, were already on prototype #5 . #10. It gets back to version By the time our rivals are ready

with wires and screws, we are on version planning versus acting: We act from day one; others plan how to planfor months. Bloomberg by Bloomberg FAIL. FORWARD. FAST. High Tech CEO, Pennsylvania

FAIL FASTER. SUCCEED SOONER. David Kelley/IDEO WTTMSASTMSUTFW WHOEVER TRIES THE MOST STUFF

AND SCREWS THE MOST STUFF UP THE FASTEST WINS EXPERIMENT

FEARLESSLY Source: BusinessWeek, Type A Organization Strategies: How to Hit a Moving Target TACTIC #1 RELENTLESS TRIAL AND ERROR Source: Wall Street Journal, Journal, cornerstone of effective approach to rebalancing company portfolios in the face of changing and uncertain global economic conditions

We Are What We Eat. We Are Who We Hang Out With. Diversity: IT IS HARDLY POSSIBLE TO OVERRATE THE VALUE OF PLACING HUMAN BEINGS IN CONTACT WITH PERSONS DIS-SIMILAR TO THEMSELVES, AND WITH MODES OF THOUGHT AND

ACTION UNLIKE THOSE WITH WHICH THEY ARE FAMILIAR. SUCH COMMUNICATION HAS ALWAYS BEEN, AND IS PECULIARLY IN THE PRESENT AGE, ONE OF THE PRIMARY SOURCES OF PROGRESS. John Stuart Mill You will become like the five people you associate with the mostthis can be either a blessing

or a curse. Billy Cox The We are what we eat/ We are who we hang out with every !!! Axiom: At its core,

( ) relationship-partnership decision (employee, vendor, customer, etc., strategic etc.) is a decision about: Innovate,

Yes or No AND THE WINNERS ARENT/ARE S&P 500 +1/-1* *Every

! 2 weeks Source: Richard Foster (via Rita McGrath/HBR/12.26.13 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 Source: Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics 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 Buy a very large

one and just wait. obvious: Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics 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 AND THE WINNERS ARENT/ARE

THE RED CARPET STORE (Joel Resnick/Flemington NJ) *Basement Systems Inc. (Larry Janesky/Seymour CT) *Dry Basement Science (100,000++ copies!) *1990: $0; 2003: $13M;

2010: $80,000,000 ! The Magicians of Motueka (PLUS) W.A. Coppins Ltd.* (Coppins Sea Anchors/ PSA/para sea anchors) *Textiles, 1898; thrive on

wicked problems U.S. Navy STLVAST (Small To Large Vehicle At Sea Transfer); custom fabric from W. Wiggins Ltd./Wellington (specialty nylon, Dyneema, from DSM/Netherlands) e.g., Going Social: Location and Size Independent Today, despite the fact that were just a little swimming pool company in Virginia, we have the most trafficked

swimming pool website in the world. Five years ago, if youd asked me and my business partners what we do, the answer would have been simple, We build in-ground We are the best teachers in the world on the fiberglass swimming pools. Now we say, subject of fiberglass swimming pools, and we also happen to build

them. Jay Baer, Youtility: Youtility: Why Smart Marketing Is About Help, Not Hype Retail Superstars: Inside the 25 Best Independent Stores in America by George Whalin

JUNGLE JIMS INTERNATIONAL MARKET, FAIRFIELD, OH : An adventure in shoppertainment, begins in the parking lot and goes on to 1,600

cheeses and 1,400 hot saucenot to mention 12,000 wines priced from $8,000 a bottle; all this is brought to you by 4,000

varieties of $8- vendors. Customers from every corner of the globe. BRONNERS CHRISTMAS WONDERLAND, FRANKENMUTH, MI , POP 5,000:

98,000 -square-foot shop features ornaments, 50,000 6,000 Christmas

trims, and anything else you can name pertaining to Christmas. Source: George Whalin, Retail Superstars: Inside the 25 Best Independent Stores in JUNGLE JIMS/Shoppertainment: The props can also be a bit bizarre. Two mens and womens Porta Potties situated in the front area of the store look as though they

belong on a construction site rather than in a food store. But they are false fronts, and once through the doors, customers find themselves in beautifully appointed restrooms. These creative facilities were recognized as AMERICAS BEST RESTROOM in the Sixth Annual competition sponsored by Cintas Corporation, a supplier of restroom cleaning and hygiene products.

BE THE BEST. ITS THE ONLY MARKET THATS NOT CROWDED. From: Retail Superstars: Inside the 25 Best Independent Stores in America, George Whalin Michael Raynor and Mumtaz Ahmed: THE THREE RULES: How Exceptional Companies Think*:

1. Better before cheaper. 2. Revenue before cost. 3. There are no other rules. (*From a database of over 25,000 companies from hundreds of industries covering 45 years, they uncovered 344 companies that qualified as statistically exceptional.) Jeff Colvin, Fortune: The Economy Is Scary But Smart Companies Can Dominate: They manage for valuenot for EPS. They get radically customer-centric.

THEY KEEP DEVELOPING HUMAN CAPITAL. TGRs & the 8/80 Fiasco: Towards EXPERIENCES That Rock! (& Are Remembered)

Customers describing their service experience as superior: 8% Companies describing the service experience they provide as superior:

80% Bain & Company survey of 362 companies Source: , reported in John DiJulius, What's the Secret to Providing a World-class Customer Experience? Conveyance: Kingfisher Air Location: Approach to New Delhi

May I clean your glasses, sir? Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart. Henry Clay "Let's not forget that small

emotions are the great captains of our lives." van Gogh 7X. 7:30A-8:00P. Fri/12A. 7:30AM = 7:15AM. 8:00PM = 8:15PM. (+2,000,000 dog biscuits) Source: Vernon Hill, Fans, Not Customers (the story of Commerce Bank, the folks who revolutionized East Coast retail banking) TGR [Things Gone WRONG-Things Gone RIGHT] TGRS. MANAGE EM. MEASURE EM.*

*I use manage-measure a lot. Translation: These are not soft ideas; they are exceedingly important things that can be managedAND measured. TGRs (on steroids): V )BTs L(

ery Bag sizes = New markets: $B Source: PepsiCo Big carts = 1.5X

Source: Walmart Las Vegas Casino/2X: slightly curved When Friedman the right angle of an

entrance corridor to one property, he was amazed at the magnitude of change in pedestrian behaviorthe percentage who one-third to nearly two-thirds. entered increased from Natasha Dow Schull, Addiction By Design: Machine Gambling in Las Vegas

Machine Gambling Pleasing odor #1 vs. pleasing odor #2: +45% revenue Source: Effects of Ambient Odors on Slot-Machine Useage in Las Vegas Casinos, reported in Natasha Dow Schull, Addiction By Design: Machine Gambling in Las Vegas (66% revenue, 85% profit) Glaring Eyes:

-62% Source: PLOS ONE (via The Atlantic CITIES /0429.13) 45% 86% 401(k) active opt-in: 401(k) as default:

Source: New York Times, 1202.08 (research by Richard Thaler, co-author Nudge) 120-oz container to ketchup-bottle size laundrydetergent concentrate (100% conversion): 1/4th packaging; 1/4th weight; 1/4th cost to ship; 1/4th space on ships, trucks, shelves. 3 years: 95M #s plastic resin

125M #s cardboard conserved, 400M less gallons of water shipped, 500K gallons less diesel fuel, 11M saved, less #s CO2 released) Source: Force of Nature: The Unlikely Story of Walmarts Green Revolution, Revolution, Edward Humes

DVT/Socks = 10,000 Lives! (1) AMENABLE TO RAPID EXPERIMENTATION/FAILURE FREE (NO BAD PR, NO $$) (2) QUICK TO IMPLEMENT/QUICK TO ROLL OUT (3) INEXPENSIVE TO IMPLEMENT/

ROLL OUT (4) HUGE [POTENTIAL] MULTIPLIER (5) AN ATTITUDE [WTTMSW/ SERIOUS PLAY] (6) DOES NOT BY AND LARGE REQUIRE A POWER POSITION FROM WHICH TO LAUNCH EXPERIMENTS. Social Business/ Customer Engagement/ Customer Control/

Brand Ambassadors/ Brand Assassins/ Social Epidemiologists/ Etc./Etc. Welcome to the Age of Social Media* [*Applies to 100% of us] The customer is in complete control of communication. What used to be word of mouth is

now word of mouse. You are either creating brand ambassadors or brand terrorists doing brand assassination. It takes 20 years to build a reputation and five minutes

to ruin it. Welcome to the Age of Social Media: Also, the Internet and technology have made customers more demanding., and they expect information, answers, products, responses, and resolutions sooner than ASAP. John DiJulius, The Customer Service Revolution

I would rather engage in a Twitter conversation with a single customer than see our company attempt to attract the attention of millions in a coveted Super Bowl commercial. Why? Because having people discuss your brand directly with you, actually connecting one-to-one, is far more valuablenot to mention far cheaper!. Consumers want to discuss what they like, the companies they support, and the organizations and leaders they resent. They want a community. They want to be

heard. [I]f we engage employees, customers, and prospective customers in meaningful dialogue about their lives, challenges, interests, and concerns, we can build a community of trust, loyalty, andpossibly over timehelp them become advocates and champions for the brand. Tangerine Peter Aceto, CEO, (from the Foreword to A World Gone Social, by Ted Coine & Mark Babbit) (FYI: See Peter Acetos book Weology.)

Going Social: Location/Size Independent Today, despite the fact that were just a little swimming pool company in Virginia, we have the most trafficked swimming pool website in the world. Five years ago, if youd asked me and my business

partners what we do, the answer would have been simple, We build in-ground fiberglass swimming pools. Now we say, We are the best teachers in the world on the subject of fiberglass swimming pools, and we also happen to build them.

ZMOT : ZERO Moment Of Truth/Google* You know what a moment of truth is. Its when a prospective customer decides either to take the next step in the purchase funnel, or to exit and seek other options. But what is a zero moment of truth? Many behaviors can serve as a zero moment of truth, but what binds them together is that the purchase is being researched and considered before the prospect even enters the classic sales funnel In its research,

Google found that 84% of shoppers said the new mental model, ZMOT, shapes their decisions. Jay Baer, Youtility: Why Smart Marketing Is About Help, Not Hype *See www.zeromomentoftruth.com for ZMOT in booklength format

Women BUY [Everything] ! Forget CHINA, INDIA and the INTERNET: Economic Growth Is Driven by

WOMEN. Source: Headline, Economist W> 2X (C + I)* *Women now drive the global economy. Globally, they control about $20 trillion in consumer spending, and that figure could climb as high as

$28 TRILLION in the next five years. Their $13 trillion in total yearly earnings could reach $18 trillion in the same period. In aggregate, women represent a growth market bigger than China and India combinedmore than twice as big in fact. Given those numbers, it would be foolish to ignore or underestimate the female consumer. Women are

THE majority market Fara Warner/The Power of the Purse Women as Decision Makers/Various sources Home Furnishings Vacations 92%

94% (Adventure Travel 70%/ $55B travel equipment) 91% D.I.Y. 80% Consumer Electronics 51% Cars 68% (influence 90%) Houses

(major home projects) (66% home computers) All consumer purchases Bank Account 83% * 89% 67%

Small business loans/biz starts 70% Health Care 80% Household investment decisions *In the USA women hold >50% managerial positions including >50% purchasing officer positions; positions; hence women also make the majority of commercial purchasing decisions. Women [USA] as

55% Purchasing managers: 42% Wholesale/retail buyers: 52% Purchasing agents: Employee health-benefit plans: 60% Source: Martha Barletta/TrendSight Group/0517.11

MOST SIGNIFICANT VARIABLE in EVERY The sales situation is the GENDER of the buyer, and

more importantly, how the salesperson communicates to the buyers gender. Jeffery Tobias Halter, Selling to Men, Selling to Women THE TRANSACTION MODEL Selling to men: Selling to Women: THE

RELATIONAL MODEL Source: Selling to Men, Selling to Women, Jeffery Tobias Halter Women dont buy They join them. brands.

Faith Popcorn, EVEolution Purchasing Patterns Harder to convince; more loyal once convinced. Women: Men:

Snap decision; fickle. Source: Martha Barletta, Marketing to Women 2.6 vs. 21 Value-Added

on Steroids: The [ENORMOUS] [UBIQUITOUS] Services Added Opportunity Rolls-Royce now earns MORE from tasks such as managing clients

overall procurement strategies and maintaining aerospace engines it sells than it does from making them. Economist PS UPS U

to Its all about solutions. We talk with customers about how to run better, stronger, cheaper supply chains. We have 1,000 engineers who work with customers

Bob Stoffel, UPS senior exec UPS = United Problem Solvers I. LAN Installation Co. II. Geek Squad. (3% local market share)

(30% local market share with name change.) III. Acquired by Best Buy. IV. FLAGSHIP OF BEST BUYs WHOLESALE SOLUTIONS STRATEGY MAKEOVER. LEADERSHIP: SOME STUFF MBWA 25*

*Managing by Wandering Around MBWA (Managing By Wandering Around) Im always stopping by our stores

at least 25 a week. Im also in other places: Home Depot, Whole Foods, Crate & Barrel. I try to be a sponge to pick up as much as I can. Howard Schultz Source: Fortune, Secrets of Greatness

0 Every year, for 25 years, is a startup. For that matter, every event is a start up. No customers. Not one single satisfied customer! I take nothing

for granted. Jose Salibi Neto, HSM Group I left out one [BIG] thing Tom, you left out one Leaders enjoy leading!

thing I DO PEOPLE Les Wexner: FROM FASHION TRENDS GURU TO JOY FROM PICKING/ DEVELOPING PEOPLE!* *Limited Brands founder Les Wexner queried on astounding

(>>Welch) longterm growth & profitability: It happened, he said, I got as excited about developing people because as he had been about predicting fashion trends in his early years.

LEADERSHIP R.O.I.R.* >>> R.O.I. *Return On Investment in Relationships 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 processesthen they just delegate the work to be done, remaining aloof from the people doing the work. Bill George, Authentic Leadership If I had to #1

pick the failing of CEOs, its that If I had to pick one failing of they dont read enough.

CEOs, its that THE FRED SMITH QUESTION Whos the most interesting person youve met in the last 90 days? How do I get in touch

with them? Fred Smith ! WOMEN RULE Research suggests that to succeed, start by promoting women.

[by McKinsey & Co.] Nicholas Kristof, Twitter, Women, and Power, NYTimes In my experience, women make much better executives than men. Kip Tindell, CEO, Container Store

Women are rated higher in fully 12 of the 16 competencies that go into outstanding leadership. And two of the traits where women outscored men to the highest degree taking initiative and driving for results have long been thought of as particularly male

strengths. Harvard Business Review/2014 AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure

TITLE/ Special Report/ BusinessWeek For One [BIG] Thing McKinsey & Company found that the international companies with more women on their corporate boards far outperformed the average company in return on equity and other measures. Operating profit was

56% higher. Source: Nicholas Kristof, Twitter, Women, and Power, NYTimes, NYTimes, 1024.13 Can you pass the Squint test ?

Womens Negotiating Strengths *Ability to put themselves in their counterparts 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-making Source: Horacio Falcao, Cover story/May 2006, World Business, Say It Like a Woman: Why the 21st-century negotiator will need the female touch TAKE THIS QUICK QUIZ: 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 days events? Who is better at keeping in touch with others? Selling Is a Womans Game: 15 Powerful Reasons Why Women Can Outsell

Men, Nicki Joy & Susan Kane-Benson Source/from the back cover: Portrait of a Female Investor 1. Trade less than men do 2. Exhibit less overconfidencemore likely to know what they dont know 3. Shun risk more than male investors do 4. Less optimistic, more realistic than their male counterparts

5. Put in more time and effort researching possible investmentsconsider details and alternate points of view 6. More immune to peer pressuretend to make decisions the same way regardless of whos watching 7. Learn from their mistakes 8. Have less testosterone than men do, making them less willing to take extreme risks, which, in turn, could lead to less extreme market cycles Warren Buffett Invests Like a Girl: And

Why You Should Too, Louann Lofton, Chapter 2, The Science Behind the Source: Girl ! Acknowledgement The deepest urge in human nature

is the desire to be important. John Dewey The deepest principle in human nature is the craving to be appreciated. William James Employees who

don't feel significant rarely make significant contributions. Mark Sanborn Acknowledge perhaps the most powerful word (and idea) in the English languageand

in the managers tool kit! 4 The 4 most important words in any

organization are THE FOUR MOST IMPORTANT WORDS IN ANY ORGANIZATION WHAT DO YOU THINK? ARE Source: courtesy Dave Wheeler, posted at tompeters.com

2 THAN K YOU Little >> Big CEO Doug Conant 30,000

handwritten sent Thank you notes to employees during the 10 years he ran Campbell Soup. [approx 10/day] Source: Bloomberg BusinessWeek

I regard apologizing as the most magical, healing, restorative gesture human beings can make. It is the centerpiece of my work with executives who want to get better. Marshall Goldsmith,

Goldsmith, What Got You Here Wont Get You There: How Successful People Become Even More Successful. K=R=P "Let's not forget that small emotions are the great captains of our lives." Van Gogh

K=R= P Kindness = Repeat Business = Profit. K = R = P/Kindness = Repeat business = Profit Kindness: Kind.

Thoughtful. Decent. Caring. Attentive. Engaged. Listens well/obsessively. Appreciative. Open. Visible. Honest. Responsive.

On time all the time. Apologizes with dispatch for screw-ups. Over-reacts to screw-ups of any magnitude. Professional in all dealings. Optimistic. Understands that kindness to staff breeds kindness to others/outsiders. Applies throughout the supply chain. Applies to 100% of customers staff. Explicit part of values statement. Basis for evaluation of 100% of our staff.

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 interactionsalienating patients, being non-responsive to their needs or limiting their sense of controlcan be very costly. Angry, frustrated or frightened patients may be combative, withdrawn and less cooperativerequiring 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 (Griffin Hospital/Derby CT/Planetree Alliance)

The 9 Planetree Practices 1. The Importance of Human Interaction 2. Informing and Empowering Diverse Populations: Consumer Health Libraries and Patient Information 3. Healing Partnerships: The importance of Including Friends and Family 4. Nutrition: The Nurturing Aspect of Food 5. Spirituality: Inner Resources for Healing 6. Human Touch: The Essentials of Communicating Caring Through Massage 7. Healing Arts: Nutrition for the Soul

8. Integrating Complementary and Alternative Practices into Conventional Care 9. Healing Environments: Architecture and Design Conducive to Health Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel 2/3 IM SORRY *******************

THERE ONCE WAS A TIME WHEN A Relationships (of all varieties): THREE-MINUTE PHONE CALL WOULD HAVE AVOIDED SETTING OFF THE

DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RUPTURE.* *Divorce, loss of a BILLION $$$ aircraft sale, etc., etc. THE PROBLEM IS RARELY/NEVER THE PROBLEM. THE RESPONSE TO THE

PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM.* PROBLEM *PERCEPTION IS ALL THERE IS! Toro, the lawn mower folks, reduced the average cost of settling a claim from With a new and forthcoming policy on apologies $115,000 in 1991 to $35,000 in 2008and the company hasnt been to trial in the last

15 years! The VA hospital in Lexington, Massachusetts, developed an approach, totally uncharacteristic in healthcare, to apologizing for errorseven when no patient request or In 2000, the systemic mean VA hospital malpractice settlement throughout the United States was claim was made. $413,000; the Lexington VA hospital settlement number was $36,000

and there were far fewer per patient claims to begin with.) Source: John Kador, Effective Apology 100

The problem with communication is the illusion that it has been accomplished. George Bernard Shaw Leaders: Communications failure

100%* *Your fault! 14 = 14 Practicing We -ism

Observed closely: The use of I or We during a job interview.

I am hundreds of times better here [than in my prior hospital assignment] because of the support system. Its like you were working in an organism; you are not a single cell when you are out there

practicing. quote from Dr. Nina Schwenk, in Chapter 3, Practicing Team Medicine, from Leonard Berry & Kent Seltman, from Management Lessons From Mayo Clinic RULE 2016; Kevin Roberts Credo 1. Ready. Fire! Aim.

2. 3. 4. 5. 6. 7. 8. 9. If it aint broke ... Break it! Hire crazies.

Ask dumb questions. Pursue failure. Lead, follow ... or get out of the way! Spread confusion. Ditch your office. Read odd stuff. 10. AVOID MODERATION!

INSANELY GREAT STEVE JOBS RADICALLY THRILLING BMW ASTONISH ME SERGEI DIAGHLEV, TO A LEAD DANCER BUILD SOMETHING GREAT HIROSHI YAMAUCHI, NINTENDO, TO A SENIOR GAME DESIGNER

MAKE IT IMMORTAL DAVID OGILVY, TO A COPYWRITER. Never miss a good chance to shut up. Will Rogers

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