Manhole Cover Madness and More ….

Chicagoland’s Mystery Disappearances …

New Economy?! Sergey + Larry > Harvard/370

“If you don’t like change, you’re going to like irrelevance even less.” —General Eric Shinseki, Chief of Staff. U. S. Army

“ In Tom’s world, it’s always better to try a swan dive and deliver a colossal belly flop than to step timidly off the board while holding your nose.” —Fast Company /October2003

EXCELLENCE. ALWAYS. American Gem Society/Breaking Barriers Tom Peters/28April2006/Orlando

Slides at … tompeters.com

EXCELLENCE

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”

What is In Search of Excellence all about: People. Emotion. Engagement. Exuberance. Action-Execution. Empowerment. Independence. Initiative. Imagination. Great Stories. Incredible Adventures. Trust. Caring. Fun. Joy. Customer-centrism. Profit. Growth. “Brand You.” “Dramatic Differences.” Experiences that Make You “Gasp.” Excellence. Always.

ExIn*: /Forbes.com DJIA : $10,000 yields $85,000 EI : $10,000 yields $140,050 * Excellence Index /Basket of 32 publicly traded stocks

EXCELLENCE. ALWAYS.

Synonyms Purity Transcendence Virtue Elegance Majesty Antonyms Mediocrity

EXCELLENCE. ALWAYS.

Summary: WallopWal*Mart16* *Or: Why it’s so absurdly easy to beat a GIANT Company

The “Small Guys” Guide: Wallop Wal*Mart16 * Niche-aimed. (Never, ever “all things for all people,” a “mini-Wal*Mart.) * Never attack the monsters head on! (Instead steal niche business and lukewarm customers.) *“Dramatically Different” (La Difference... within our community, our industry regionally, etc … is as obvious as the end of one’s nose!) (THIS IS WHERE MOST MIDGETS COME UP SHORT.) * Compete on value/experience/intimacy, not price. (You ain’t gonna beat the behemoths on cost-price in 9.99 out of 10 cases.) * Emotional bond with Clients, Vendors. (BEAT THE BIGGIES ON EMOTION/CONNECTION!!)

$798

$415/SqFt/Wal*Mart $798/SqFt/Whole Foods

EXCELLENCE? ALWAYS?

This is not a “mature category.”

This is an “ undistinguished category.”

Franchise Lost! TP: “ How many of you [600] really crave a new Chevy?” NYC/IIR/061205

EXCELLENCE! ALWAYS!

$798

7X. 730A- 800P. F12A.* *’93-’03/10 yr annual return: CB: 29%; WM: 17%; HD: 16%. Mkt Cap: 48% p.a.

“It’s simple, really, Tom. Hire for s, and, above all, promote for s.” —Starbucks middle manager/field

#1/100 “ Best Companies to Work for” /2005

Wegmans

Cirque du Soleil !

Donnelly’s Weatherstrip Service Weymouth MA

EXCELLENCE? ALWAYS?

???????? Weenie of the year, 2006 …

???????? 6/44

P&G

EXCELLENCE. FOUND.

“To be a leader in consumer products, it’s critical to have leaders who represent the population we serve.” —Steve Reinemund/PepsiCo

EXCELLENCE. FOUND.

“Women are the majority market” —Fara Warner/The Power of the Purse

The Perfect Answer Jill and Jack buy slacks in black…

1. Men and women are different. 2. Very different. 3. VERY, VERY DIFFERENT. 4. Women & Men have a-b-s-o-l-u-t-e-l-y nothing in common. 5. Women buy lotsa stuff. 6. WOMEN BUY A-L-L THE STUFF. 7. Women’s Market = Opportunity No Men are (STILL) in charge. 9. MEN ARE … TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN. 10. Women’s Market = Opportunity No. 1.

10. Women’s Market = Opportunity No. 1.

“Women don’t buy brands. They join them.” EVEolution

2.6 vs. 21

EXCELLENCE. FOUND.

10.6

EXCELLENCE. FOUND.

Stats 18-44: -1% 55+: +21% (55-64: +47%)

44-65: “New Customer Majority” * *45% larger than 18-43; 60% larger by 2010 Source: Ageless Marketing, David Wolfe & Robert Snyder

“Baby-boomer Women: The Sweetest of Sweet Spots for Marketers” —David Wolfe and Robert Snyder, Ageless Marketing

EXCELLENCE. FOUND.

Fastest growing demographic: Single-person Households (>50% in London, Stockholm, etc) Source: Richard Scase

Duh. Women. Women business owners. Boomers-Geezers. Single-adults (Urban)

EXCELLENCE. VALUE ADDED.

$55B

MasterCard Advisors

Trapper: <$20 per beaver pelt. Source: WSJ

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

I. LAN Installation Co. (3%) II. Geek Squad. (30%.) III. Acquired by BestBuy. IV. Flagship of BestBuy Wholesale “Solutions” Strategy Makeover.

Huge: Customer Satisfaction versus Customer Success

The Value-added Ladder/Opportunity-seeking Gamechanging Solutions Services Goods Raw Materials

EXCELLENCE. VALUE ADDED.

“ 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

“ Club Med is more than just a ‘resort’; it’s a means of rediscovering oneself, of inventing an entirely new ‘me.’ ” Source: Jean-Marie Dru, Disruption

“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

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

The Value-added Ladder/Memorable Connection Spellbinding Experiences Gamechanging Solutions Services Goods Raw Materials

Warren Goes Shopping …

Q: “Why did you buy Jordan’s Furniture?” A: “Jordan’s is spectacular. It’s all showmanship.” Source: Warren Buffet interview/ Boston Sunday Globe/

One company’s answer: C X O* *Chief e X perience Officer

Extraction & Goods: Male dominance Services & Experiences: Female dominance

EXCELLENCE. VALUE ADDED.

Flower Power!

EXCELLENCE. VALUE ADDED.

DREAM: “A dream is a complete moment in the life of a client. Important experiences that tempt the client to commit substantial resources. The essence of the desires of the consumer. The opportunity to help clients become what they want to be.” —Gian Luigi Longinotti-Buitoni

The Value-added Ladder/Emotion Dreams Come True Spellbinding Experiences Gamechanging Solutions Services Goods Raw Materials

Furniture vs. Dreams “We do not sell ‘furniture’ at Domain. We sell dreams. This is accomplished by addressing the half- formed needs in our customers’ heads. By uncovering these needs, we, in essence, fill in the blanks. We convert ‘needs’ into ‘dreams.’ Sales are the inevitable result.” — Judy George, Domain Home Fashions

C DM* *Chief Dream Merchant

C L O* *Chief Lovemar k Officer

EXCELLENCE. ALWAYS.

“What Isn’t Matter Is What Matters” —section title, Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell

Gas ………….….. $1.75 per gallon Lipton Iced Tea.. $9.52 per gallon Ocean Spray …... $10.00 Gatorade ……….. $10.17 Diet Snapple …... $10.32 STP brake fluid.. $33.60 Pepto-Bismol ….. $ Vicks NyQuil …... $ Evian water ……. $21.19 ($50B-$200B) Source: Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell (2004)

VA “Teaching Moment” “Andy pointed to a molding, about halfway up the wall …”

EXCELLENCE. ALWAYS.

. “Everyone lives by selling something.” – Robert Louis Stevenson

Sell Sell Sell

C R O* *Chief Revenue Officer

EXCELLENCE. ALWAYS.

“Storytelling is the core of culture.” —Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell

Market Power = Story Power = Dream Power

C ST O* *Chief Storytelling Officer

EXCELLENCE. ALWAYS.

Brand = Talent.

“We are a ‘Life Success’ Company’ Dave Liniger, founder, RE/MAX

Health: Century21.Job # 1 (HC21.J1)

Childhood Obesity > Terrorism

“If God spoke to me by saying, ‘Mark, you’re down to your last three words: What would you want to say to your fellow humans that would make the most positive impact?’ It would be a close call between Love Thy Neighbor and Wash Your Hands. A close third would be Move, Move, Move.” —Mark Pettus, M.D., The Savvy Patient “The most important thing you can do to keep from getting sick is to wash your hands. ” —CDC/National Center for Infectious Diseases

EXCELLENCE. ALWAYS.

“The First step in a ‘dramatic’ ‘organizational change program’ is obvious—dramatic personal change!” —RG

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

25

EXCELLENCE. ALWAYS.

The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it. Michelangelo

Radically Thrilling Language! “Radically Thrilling.” —BMW Z4 (ad)

C W O* *Chief WOW Officer

EXCELLENCE. ALWAYS.

“Nothing is so contagious as enthusiasm.” —Samuel Taylor Coleridge

“ It’s always showtime.” —David D’Alessandro, Career Warfare

EXCELLE ALWAYS.

Synonyms Purity Transcendence Virtue Elegance Majesty Antonyms Mediocrity