OPEN SOURCE MANAGEMENT THE NEW LEADERS!!! www.opensourcemanagement.it 1

Quality Relationships Quality opportunities and quality people Social Impact Personal Growth Financial Success Values Spirituality Quality Relationships Knowledge

19% CONTROLS 85% WEALTH

Slides www.paoloruggeri.net

1) SUSTAINABLE STRATEGY OPEN SOURCE MANAGEMENT 1) SUSTAINABLE STRATEGY www.osmconsultgroup.com 5

Who am I? Technician? Manager? Entrepreneur?

Passive (Automatic) Income Royalties (books, franchises, licenses) Bond coupons Pensions Rental income (apartments or companies) Interests Company Profits (Dividends)

I I HAVE A JOB

I I HAVE A JOB II I OWN A JOB

I I HAVE A JOB III I OWN A SYSTEM II I OWN A JOB

I I HAVE A JOB III I OWN A SYSTEM II I OWN A JOB IV I MANAGE MANY SYSTEMS

Passive Income > Life Style

a) Pay profit sharing (dividend) Make company flourish! a) Pay profit sharing (dividend) a1) Invest part of the capital outside the company b) Build a system that can be duplicated b1) Build passive income for the company

RICH STRATEGY 1) Improve your exchange value 2) Control and measure money (3) Build a company that will pay you a dividend) 4) Spend less than what you make. (Save to build a capital) 5) Invest the capital to build passive income

A company generates only the money it thinks it may need

2) LEARN TO BUILD A FLOURISHING COMPANY OPEN SOURCE MANAGEMENT 2) LEARN TO BUILD A FLOURISHING COMPANY www.osmconsultgroup.com 16

GDP BULGARIA 2009-2015 +3,3%

1) GENERATE VALUE

Comfort Zone Uncomfortable = = Consuming value Creating value

Take up a challenge Take a scary (or tough) decision

JUMP INTO THE FUTURE

2) EMBRACE MARKETING

€ £ ¥ $ ???

A) UNDERSTAND MARKETS Age group 20-34: There are 700.000 male to 646.500 female Bars, social networks, personal care for young adults

GDP Growth Bulgaria 2009-2015: +3,3% E-Commerce Growth Bulgaria 2010-2015: +300%

D1. On a scale from 0 to 5 how much those results/services from our company may be interesting for you/your company? (0 means not interesting and 5 very interesting). 4.1 Se “oggi” o “all’inizio, a cosa attribuisci maggiormente questo miglioramento/peggioramento del rapporto? SERVICE/RESULT VOTE 0-5 1A. Delivery within 24 hours 1B. Online orders 1C. Pleasant and caring employees 1D. Special training on the products/services 1E. 24 hours maintenance 1F. Possibility of renting to own 1G. Etc 1H. 1J. 28

MARKETING: BIDIMENSIONAL Website Trade shows Advertising

MARKETING: TRIDIMENSIONAL Events Alliances Relationships Social Networks

Age: 11 Occupation: primary school student

Clients are engaged to promote the company (Apple, sharing on social networks, etc)

People LOVE what you do

Find the killer!

If you are not really set in pursuing a goal, your brain will not show you all the opportunities that exist to make real progress

3) DECIDE WHAT YOU WANT (YOU «DREAM YOUR WAY OUT» OF A PROBLEM)

Prototype fast!

Ready Fire Aim Ready Aim

4) THE WORLD IS BASED ON 2

ARE YOU “BETTING” ON THE RIGHT PEOPLE?

5 characteristics of people that should work with you

MBS SCHOOL IN BULGARIA 30 September 1 October 2016, Sofia

NO CHANGE 2 months of patient training and no results or change (things go back on your plate) Your attempts to motivate the person backfire or are used against you If productivity keeps low, either the person has a difficult personal situation, either she has another goal

NO CHANGE 2 months of patient training and no results or change (things go back on your plate) Your attempts to motivate the person backfire or are used against you If productivity keeps low, either the person has a difficult personal situation, either she has another goal

5) Hire at least a sales superstar (and train yourself to become really good at it) Sales in a modern company are a religion

I AM NOT CLOSING CAUSE (I am the source thus I can learn) EFFECT (It is the customer, the market, etc)

LOGIC MAKES PEOPLE THINK-EMOTIONS MAKE PEOPLE ACT 51

Now that you have experienced an emotion you’d be willing to help

When do people buy?

People buy (except e-commerce) when: a) They feel their need has been understood b) When they like and are attracted by the salesperson c) When they have experienced an emotion

Understanding Real Needs Effort Building the rapport Understanding Real Needs Present the solution Emotion Overcome objections Close 57

CUSTOMER NEED PROPOSAL 58 58 58

Characteristics of the Great Salesperson Listen with interest Dont do unto others what you wouldn’t want done to you Be a friendly and likeable person (be excited about your work) Be always available outside work hours People have to perceive you really are a hard working person.

6) Set up the business so that many people can be successful and make money

7) TIME!!!!

URGENT VS. IMPORTANT What is that activity that when done regularly for the next months (years) would make a huge difference for your company?

Parkinson’s Law «The amount of time we have available to complete a task … …will be the amount of time needed to complete it».

3) BUILD A POCKET SIZED MULTINATIONAL OPEN SOURCE MANAGEMENT 3) BUILD A POCKET SIZED MULTINATIONAL www.osmconsultgroup.com 64

«At HSBC we believe that in the future even the smallest company will have to be multinational»

1) International. or Expansion = Innovation. 2) Find in Bulgaria (or in your country) a partner with your same drive to be successful (don’t associate with people who have different goals)

3) Ethics: having a high ethics when dealing with people from different cultures is essential 4) Find the right people in the foreign country. Try to develop with them a quality relationship that is not just business.

5) Learn to keep enthusiastic even when dealing with really difficult or boring things

6) Work by steps. International expansion requires time 6) Work by steps. International expansion requires time. Dont give up even if at the beginning you dont get results. 7) Build an international recognized brand for your company

Be Committed to the process

Ready Fire Aim Ready Aim

4) LEARN TO BUILD CAPITAL AND MAKE IT YELD A RETURN OPEN SOURCE MANAGEMENT 4) LEARN TO BUILD CAPITAL AND MAKE IT YELD A RETURN www.osmconsultgroup.com 79

You cannot change the outside if you first dont change the inside

Passive Income > Life Style

First Question: Do you have capital?

Capital = amount of money that you can invest (and that you dont need)

No Capital Solve a problem Exchange in abundance Excitement Cost Control Cash flow Duplicate

How to build Capital Sell and collect as much as you can Spend less than you make Make them before you spend them Build a «cushion» of cash to protect yourself in case of downfall (Pay dividend each year) Dont spend reserves in case of difficult times Think with your head as far as finance Fare pratica su questo + spiegare che un’azienda produce solo i soldi che le servono e a che cosa ti servono i soldi.

Golden Rule Dont buy for speculation. Buy only things you’d like to keep forever. Think at the value of things!

Second Rule With the exception of some local stock markets and those overvalued companies (fads) everything that goes down sooner or later will go up again. You have to be patient and not need the money

Build a high yeld Bond Fund. Today’s pick: Country Maturity Coupon Value today Net Yeld Currency Argentina Par 38 2038 2,26% 63,76 6,53% EUR Turkey 30 11,875 2020 168,5 3,74% USD Portugal 24 5,25% 2024 5,625% 100,29 4,48 % Petrobras 40 Srn 6,875% 2040 6,875% 88,75 6,02%

Build a Nasdaq Fund (My pick today) Google (Alphabet) Facebook Amazon

INVEST IN REAL ESTATE WHERE YOU WOULD LIVE OPEN SOURCE MANAGEMENT INVEST IN REAL ESTATE WHERE YOU WOULD LIVE www.osmconsultgroup.com 90

RULES 1) Buy only what you would have no problem in keeping because you like it. Would you live in that apartment/house/etc? 2) A real estate unit should produce a 3-4% net rental income per year. Otherwise it is overvalued. 3) Or buy if it is a location you really like (would you live there?) and you see you could buy it at a decent price. 4) If you have money buy everything you like because it will increase in value.

Today I would buy… Apartments in Key West, land in the Keys (Florida) Florence, city center Forest or agricultural land around Bologna (small parcel) Sao Paulo Avenida Paulista (but I would do it for speculation, therefore I dont do it)

COMPANIES Invest in companies that produce cash flow Innovate the market with a sustainable business model (low cost) Start companies with your best employees

BUILDING THE EMOTIONAL BATTERY OPEN SOURCE MANAGEMENT BUILDING THE EMOTIONAL BATTERY www.osmconsultgroup.com 94

The new gasoline is spiritual The specialists will not solve problems. Only «high emotional tone» individuals will

Faith

Lets first see who you definitely not are…

Exercise

MANY (ALL???) OF THE PRACTICE AND ATTITUDES THAT BRING ABOUT PROSPERITY ARE COUNTER – INTUITIVE, THAT IS TO SAY APPARENTLY GOING AGAINST LOGIC

COUNTERINTUITIVE PRINCIPLES Exchange in abundance To persuade someone you need to listen People buy the salesperson and not the product or service Technical competence is less important than relationship skills When you do something unethical in reality, you’ll lose more than what you make The story is more important than the product

To improve someone’s negative sides, you need to work on his positive sides. If your main motivation is money, you will always have money problems If you relinquish (give up- abandon) contested properties, you’ll end up owning much more. If you want things to change…you have to change first If you want to make new customers, you need to be willing to waste them

To be a great leader who gets people to do things, you need to be willing to serve. If you want to have more time, you need to set aside time in you calendar reserved for important things Reality is an illusion, while illusion is the true reality.

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Quality Relationships Quality opportunities and quality people Social Impact Personal Growth Financial Success Values Spirituality Quality Relationships Knowledge