1. 2001 AME Annual Conference We Are in a Brawl with No Rules! Tom Peters/10.10.2001

2. All Slides Available at … tompeters.com

3. “There will be more confusion in the business world in the next decade than in any decade in history. And the current pace of change will only accelerate.” Steve Case

4. Uncertainty: We don’t know when things will get back to normal. Ambiguity: We no longer know what “normal” means.

5. BMcC: (1) Hierarchy vs. “Network organization.” (2) NWO = “Doctrine as center of gravity”/source of motivation; distributed support & decision- making;largely self-organizing; “outside the military sphere.”

6. “Our military structure today is essentially one developed and designed by Napoleon.” Admiral Bill Owens, former Vice Chairman, Joint Chiefs of Staff

7. “I don’t like the looks of this. Seeing as how crazy and scattered entrepreneurs have beaten the crap out of the monoliths over the last 44 years in almost every situation, I don’t like the situation. … The actual terms of engagement work against us. For some time, it’s going to be ugly.” Rich Karlgaard, Publisher, Forbes

8. From: Weapon v. Weapon To: Org structure v. Org structure

9. Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership

10. Forces @ Work I The Destruction Imperative!

11. Forbes100 from 1917 to 1987: 39 members of the Class of ’17 were alive in ’87; 18 are in ’87 F100; the 18 F100 “survivors” underperformed the market by 20%; just 2 (2%), GE & Kodak, outperformed the market from 1917 to 1987. S&P 500 from 1957 to 1997: 74 members of the Class of ’57 were alive in ’97; 12 (2.4%) of 500 outperformed the market from 1957 to 1997. Source: Dick Foster & Sarah Kaplan, Creative Destruction: Why Companies That Are Built to Last Underperform the Market

12. “Good management was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.” Clayton Christensen, The Innovator’s Dilemma

13. Forget>“Learn” “The problem is never how to get new, innovative thoughts into your mind, but how to get the old ones out.” Dee Hock

14. The [New] G e Way DYB.com

15. The Gales of Creative Destruction +29M = -44M + 73M +4M = +4M - 0M

16. Brand Inside Brand Org: Lean, Linked, Internet-driven, Virtual

17. White Collar Revolution!

18. 108 X 5 vs. 8 X 1 = 540 vs. 8 (-98.5%)

19. The Pincer 5 1. “Destructive” entrepreneurs/ Global Competition 2. “White Collar Robots” 3. THE INTERNET! [E.g.: GM + Ford + DaimlerChrysler] 4. Global Outsourcing [E.g.: India, Mexico] 5. Speed!!

20. “Asset less Company” John Bryan, CEO, on selling all Sara Lee’s manufacturing

21. “Don’t own nothin’ if you can help it. If you can, rent your shoes.” F.G.

22. Brand Inside Brand Work: The Professional Service Firm Model

23. So what will be the Basic Building Block of the New Org?

24. Every job done in W.C.W. is also done “outside” …for profit!

25. Answer: PSF! [Professional Service Firm] Department Head to … Managing Partner, HR [IS, etc.] Inc.

26. “P.S.F.”: Summary H.V.A. Projects (100%) Pioneer Clients WOW Work (see below) Hot “Talent” (see below) “Adventurous” “culture” Proprietary Point of View (Methodology) W.W.P.F. (100%)/Outside Clients (25%++)

27. BMW’s Designworks/USA: >50% from outside work

28. eHR*/PCC** *All HR on the Web **Productivity Consulting Center Source: E-HR: A Walk through a 21 st Century HR Department, John Sullivan, IHRIM

29. (1) Translate departmental affairs into discrete W.W.P.F. “Products.” (2) 100% go on the Web. (3) Non-awesome are outsourced (75%??). (4) Remaining “Centers of Excellence” are retained & leveraged to the hilt!

30. Brand Inside The Heart of the Value Creation Revolution: PSF Unbound!

31. 09.11.2000: HP bids $18,000,000,000 for PricewaterhouseCoopers consulting business!

32. “These days, building the best server isn’t enough. That’s the price of entry.” Ann Livermore, Hewlett-Packard

33. HP … Sun … GE … IBM … UPS … UTC … General Mills … Springs … Anheuser-Busch … Carpet One … Delphi … Etc. … Etc.

34. “We want to be the air traffic controllers of electrons.” Bob Nardelli, GE Power Systems

35. “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, GE Power Systems

36. GE’s Six Sigma+ Approach Old view: Out of service 9 days. 4 days are transport, which is client responsibility. New view: ALL 9 DAYS ARE OUR RESPONSIBILITY! Why? 9 days = Client’s World. Source: Steve Kerr, VP, GE

37. “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/06.01 (E.g., UPS Logistics manages the logistics of 4.5M Ford vehicles, from 21 mfg. sites to 6,000 NA dealers)

38. New Springs = Turnkey Collections. Flexible sourcing. Packaging. Merchandising. Promotion. Systems & Site mgt.

39. Brand Inside Brand Talent: The Great War for Talent

40. “When land was the scarce resource, nations battled over it. The same is happening now for talented people.” Stan Davis & Christopher Meyer, futureWEALTH

41. The Talent Ten

42. 1. Obsession P.O.T.* = All Consuming *Pursuit of Talent

43. Model 24/7: Sports Franchise GM

44. 2. Greatness Only The Best!

45. From “1, 2 or you’re out” [JW] to … “Best Talent in each industry segment to build best proprietary intangibles” [EM] Source: Ed Michaels, War for Talent (05.17.00)

46. 3. Performance Up or out!

47. “We believe companies can increase their market cap 50 percent in 3 years. Steve Macadam at Georgia-Pacific changed 20 of his 40 box 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 (05.17.00)

48. Message: Some people are better than other people. Some people are a helluva lot better than other people.

49. 4. Pay Fork Over!

50. “Top performing companies are two to four times more likely than the rest to pay what it takes to prevent losing top performers.” Ed Michaels, War for Talent (05.17.00)

51. What gets measured gets done. What gets paid for gets done more. What gets paid a lot for gets done a lot more.

52. 5. Youth Grovel Before the Young!

53. “Why focus on these late teens and twenty- somethings? Because they are the first young who are both in a position to change the world, and are actually doing so. … For the first time in history, children are more comfortable, knowledgeable and literate than their parents about an innovation central to society. … The Internet has triggered the first industrial revolution in history to be led by the young.” The Economist [12/2000]

54. 6. Diversity Mess Rules!

55. “Diversity defines the health and wealth of nations in a new century. Mighty is the mongrel. … The hybrid is hip. The impure, the mélange, the adulterated, the blemished, the rough, the black-and-blue, the mix-and-match – these people are inheriting the earth. Mixing is the new norm. Mixing trumps isolation. It spawns creativity, nourishes the human spirit, spurs economic growth and empowers nations.” G. Pascal Zachary, The Global Me: New Cosmopolitans and the Competitive Edge

56. 7. Women Born to Lead!

57. “AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure” Title, Special Report, Business Week, 11.20.00

58. The New Economy … Shout goodbye to “command and control”! Shout goodbye to hierarchy! Shout goodbye to “knowing one’s place”!

59. Women’s Strengths Match New Economy Imperatives: Link [rather than rank] workers; favor interactive-collaborative leadership style [empowerment beats top-down decision making]; sustain fruitful collaborations; comfortable with sharing information; see redistribution of power as victory, not surrender; favor multi-dimensional feedback; value technical & interpersonal skills, individual & group contributions equally; readily accept ambiguity; honor intuition as well as pure “rationality”; inherently flexible; appreciate cultural diversity Source: Judy B. Rosener, America’s Competitive Secret

60. 8. Weird The Cracked Ones Let in the Light!

61. The Cracked Ones Let in the Light “Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found among non-conformists, dissenters and rebels.” David Ogilvy

62. 9. Opportunity Make It an Adventure!

63. “H.R.” to “H.E.D.” ??? H uman E nablement D epartment

64. 10. Leading Genius We are all unique!

65. Beware Lurking HR Types … One size NEVER fits all. One size fits one. Period.

66. 48 Players = 48 Projects = 48 different success measures

67. MantraM3 Talent = Brand

68. What’s your company’s … EVP? Employee Value Proposition, per Ed Michaels et al., The War for Talent

69. EVP = Challenge, professional growth, respect, satisfaction, opportunity, reward Source: Ed Michaels et al., The War for Talent

70. Brand Inside Reprise: THINK WEIRD: The High Standard Deviation Enterprise

71. Saviors-in-Waiting Disgruntled Customers Off-the-Scope Competitors Rogue Employees Fringe Suppliers Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees

72. CUSTOMERS: “Future- defining customers may account for only 2% to 3% of your total, but they represent a crucial window on the future.” Adrian Slywotzky, Mercer Consultants

73. COMPETITORS: “The best swordsman in the world doesn’t need to fear the second best swordsman in the world; no, the person for him to be afraid of is some ignorant antagonist who has never had a sword in his hand before; he doesn’t do the thing he ought to do, and so the expert isn’t prepared for him; he does the thing he ought not to do and often it catches the expert out and ends him on the spot.” Mark Twain

74. Employees: “Are there enough weird people in the lab these days?” V. Chmn., pharmaceutical house, to a lab director (06.01)

75. Suppliers: There is an ominous downside to strategic supplier relationships. An SSR supplier is not likely to function as any more than a mirror to your organization. Fringe suppliers that offer innovative business practices need not apply.” Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees

76. Message: TAKE SOMEONE NEW & WEIRD TO LUNCH TODAY OR TOMORROW. [Inundate yourself with weird.]

77. Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership

78. Forces @ Work II The Sameness Trap

79. Quality Not Enough! “While everything may be better, it is also increasingly the same.” Paul Goldberger on retail, “The Sameness of Things,” The New York Times

80. “We make over three new product announcements a day. Can you remember them? Our customers can’t!” Carly Fiorina

81. “The ‘surplus society’ has a surplus of similar companies, employing similar people, with similar educational backgrounds, working in similar jobs, coming up with similar ideas, producing similar things, with similar prices and similar quality.” Kjell Nordstrom and Jonas Ridderstrale, Funky Business

82. “Companies have defined so much ‘best practice’ that they are now more or less identical.” Jesper Kunde, Unique Now... Or Never

83. Brand Outside Strategy 1A : Use E-Commerce to Re-invent Everything!

84. Cisco! 90% of $20B (=$50M/day) Annual savings in service and support from customer self-management: $550M (P.S.: C.Sat e >> C.Sat h)

85. Secret Cisco: Community! Customer Engineer Chat Rooms/Collaborative Design ($1B “free” consulting) (45,000 customer problems a week solved via customer collaboration)

86. WebWorld = Everything Web as a way to run your business’ innards Web as connector for your entire supply-demand chain Web as “spider’s web” which re-conceives the industry Web/B2B as ultimate wake-up call to “commodity producers” Web as the scourge of slack, inefficiency, sloth, bureaucracy, poor customer data Web as an Encompassing Way of Life Web = Everything (P.D. to after-sales) Web forces you to focus on what you do best Web as entrée, at any size, to World’s Best at Everything as next door neighbor

87. Message: eCommerce is not a technology play! It is a relationship, partnership, organizational and communications play, made possible by new technologies.

88. Message: There is no such thing as an effective B2B or Internet-supply chain strategy in a low-trust, bottlenecked- communication, six-layer organization.

89. “Ebusiness is about rebuilding the organization from the ground up. Most companies today are not built to exploit the Internet. Their business processes, their approvals, their hierarchies, the number of people they employ … all of that is wrong for running an ebusiness.” Ray Lane, Kleiner Perkins

90. “There’s no use trying,” said Alice. “One can’t believe impossible things.” “I daresay you haven’t had much practice,” said the Queen. “When I was your age, I always did it for half an hour a day. Why, sometimes I’ve believed as many as six impossible things before breakfast.” Lewis Carroll

91. I’net … … allows you to dream dreams you could never have dreamed before!

92. 100 square feet

93. Brand Outside Strategy 2A : Women Rule!

94. ????????? Home Furnishings … 94% Vacations … 92% Houses … 91% Consumer Electronics … 51% Cars … 60% (90%) All consumer purchases … 83% Bank Account … 89% Health Care … 80%

95. ???? 80%

96. Riding Lawnmowers

97. $4.8T > Japan 9M/27.5M/$3.6T > Germany

98. Brand Outside Strategy 2B : Welcome to “Old World”!

99. “ ‘Age Power’ will rule the 21 st century, and we are woefully unprepared.” Ken Dychtwald, Age Power: How the 21 st Century Will Be Ruled by the New Old

100. Subject: Marketers & Stupidity “ It’s 18-44, stupid!”

101. Subject: Marketers & Stupidity Or is it: “18-44 is stupid, stupid!”

102. 2000-2010 Stats 18-44: -1% 55+: +21% (55-64: +47%)

103. Aging/“Elderly” $$$$$$$$$$$$ “I’m in charge!”

104. Brand Outside Strategy 2C : Welcome to “Green World”!

105. And #3: GREEN ?????: 50% to 36%: Protect Environment > Economic Growth. 58% to 34%: Protect Plants & Animals > Preserve Private Property Rights.

106. No : “Target Marketing” Yes : “Target Innovation” & “Target Delivery Systems”

107. Brand Outside Strategy 3A : Design Matters!

108. All Equal Except … “At Sony we assume that all products of our competitors have basically the same technology, price, performance and features. Design is the only thing that differentiates one product from another in the marketplace.” Norio Ohga

109. “We don’t have a good language to talk about this kind of thing. In most people’s vocabularies, design means veneer. … But to me, nothing could be further from the meaning of design. Design is the fundamental soul of a man-made creation.” Steve Jobs

110. THE BASE CASE: I am a design fanatic. Personally, though not “artistic,” I’m a cool-stuff guy. I love what I love and I hate what I hate. [Openly.] But it goes [much] further, far beyond the personal. Design has become a professional obsession. I – SIMPLY – BELIEVE THAT DESIGN PER SE IS THE PRINCIPAL REASON FOR EMOTIONAL ATTACHMENT [or detachment] RELATIVE TO A PRODUCT OR SERVICE OR EXPERIENCE. Design, as I see it, is arguably the #1 determinant of whether a product-service-experience stands out … or doesn’t. Furthermore, it’s “one of those things” … that damn few companies put – consistently – on the front burner.

111. Brand Outside Strategy 3B : It’s the Experience!

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

113. “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

114. 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

115. The “Experience Ladder” Experiences Services Goods Raw Materials

116. 1940: Cake from flour, sugar (raw materials economy): $1.00 1955: Cake from Cake mix (goods economy): $2.00 1970: Bakery-made cake (service economy): $10.00 1990: Party @ Chuck E. Cheese (experience economy) $100.00

117. Message: “Experience” is the “Last 80%” P.S.: “Experience” applies to all work!

118. Brand Outside Strategy 4 : BRAND POWER!

119. “WHO ARE YOU [these days] ?” TP to Client

120. “Most companies tend to equate branding with the company’s marketing. Design a new marketing campaign and, voila, you’re on course. They are wrong. The task is much bigger. It is about fulfilling our potential … not about a new logo, no matter how clever. WHAT IS MY MISSION IN LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW DO I MAKE SURE THAT WHAT I HAVE TO OFFER THE WORLD IS ACTUALLY UNIQUE? The brand has to give of itself, the company has to give of itself, the management has to give of itself. To put it bluntly, it is a matter of whether – or not – you want to be … UNIQUE … NOW.” Jesper Kunde, A Unique Moment

121. “Brand Promise” Exercise: (1) Who Are WE? (poem/novella/song, then 25 words.) (2) List three ways in which we are UNIQUE … to our Clients. (3) Who are THEY (competitors) ? (ID, 25 words.) (4) List 3 distinct “us”/”them” differences. (5) Try “results” on your teammates. (6) Try ’em on a friendly Client. (7) Big Enchilada: Try ’em on a skeptical Client!

122. 1 st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/“One Great Thing.” Source #1: Personal Passion) 2 ND Law: REAL REASON TO BELIEVE (Stand & Deliver!) 3 RD Law: DRAMATIC DIFFERENCE (Execs Don’t Get It: See the next slide.) Source: Jump Start Your Business Brain, Doug Hall

123. 2 Questions “How likely are you to purchase this new product or service?” (95% to 100% weighting by execs) “How unique is this new product or service?” (0% to 5%*) *No exceptions in 20 years – Doug Hall, Jump Start Your Business Brain

124. “WHO ARE WE?”

125. WHAT’S OUR STORY?

126. “EXACTLY HOW ARE WE DRAMATICALLY DIFFERENT?”

127. “ WHY DOES IT MATTER TO THE CLIENT?”

128. “EXACTLY HOW DO I PASSIONATELY CONVEY THAT DIFFERENCE TO THE CLIENT ”

129. Part I: Brand Inside Part II: Brand Outside Part III: Brand Leadership

130. The Leadership50 Leading in Totally Screwed Up Times

131. 1. Leaders Cede Control.

132. “I don’t know.”

133. 1A. Leadership Is a … Mutual Discovery Process.

134. Leaders-Teachers Do Not “Transform People”! Instead leaders-mentors-teachers (1) provide a context which is marked by (2) access to a luxuriant portfolio of meaningful opportunities (projects) which (3) allow people to fully (and safely, mostly—caveat: “they” don’t engage unless they’re “mad about something”) express their innate curiosity and (4) engage in a vigorous discovery voyage (alone and in small teams, assisted by an extensive self-constructed network) by which those people (5) go to-create places they (and their mentors-teachers- leaders) had never dreamed existed—and then the leaders-mentors-teachers (6) applaud like hell, stage “photo-ops,” and ring the church bells 100 times to commemorate the bravery of their “followers’ ” explorations!

135. 2. Great Leaders on Snorting Steeds Are Important – but Great Managers/Talent Developers (Type I Leadership) are the Bedrock of Organizations that Perform Over the Long Haul.

136. P.S.: Jack didn’t have a vision!

137. 3. But Then Again, There Are Times When This “Cult of Personality” (Type II Leadership) Stuff Actually Works!

138. “A leader is a dealer in hope.” Napoleon

139. 4. Find the “Businesspeople”! (Type III Leadership)

140. I.P.M. (Inspired Profit Mechanic)

141. 4A. All Organizations Need the Golden Leadership Triangle.

142. The Golden Leadership Triangle: (1) Creator- Inventor-Visionary … (2) Talent Fanatic … (3) Inspired Profit Mechanic.

143. 5. Leadership Mantra #1: IT ALL DEPENDS!

144. Renaissance Men are … a snare, a myth, a delusion!

145. 6. The Leader Is Rarely/Never the Best Performer.

146. 33 Division Titles. 26 League Pennants. 14 World Series: Earl Weaver—0. Tom Kelly—0. Jim Leyland—0. Walter Alston—1AB. Tony LaRussa—132 games, 6 seasons. Tommy Lasorda—P, 26 games. Sparky Anderson—1 season.

147. 7. Leadership Is Improv!

148. Duct Tape Rules! “Andrew Higgins, who built landing craft in WWII, refused to hire graduates of engineering schools. He believed that they only teach you what you can’t do in engineering school. He started off with 20 employees, and by the middle of the war had 30,000 working for him. He turned out 20,000 landing craft. D.D. Eisenhower told me, ‘Andrew Higgins won the war for us. He did it without engineers.’ ” Stephen Ambrose/Fast Company

149. 8. Leaders DO!

150. The Kotler Doctrine: 1965-1980: R.A.F. (Ready.Aim.Fire.) 1980-1995: R.F.A. (Ready.Fire!Aim.) 1995-????: F.F.F. (Fire!Fire!Fire!)

151. 8A. Leaders Re -do.

152. “If Microsoft is good at anything, it’s avoiding the trap of worrying about criticism. Microsoft fails constantly. They’re eviscerated in public for lousy products. Yet they persist, through version after version, until they get something good enough. Then they leverage the power they’ve gained in other markets to enforce their standard.” Seth Godin, Zooming

153. 9. BUT … Leaders Know When to Wait.

154. Tex Schramm: The “too hard” box!

155. Axioms: (1) Pick your battles carefully. (2) Sometimes inaction promotes sorting out & preserves options.

156. 10. Leaders Are Optimists.

157. “Leaders don’t ‘want to’ win. Leaders ‘need to’ win.” #49

158. “[Ronald Reagan] radiated an almost transcendent happiness.” Lou Cannon, George (08.2000)

159. 11. BUT … Leaders Are Realists/Leaders Win Through LOGISTICS!

160. The “Gus Imperative”!

161. 12. Leaders FOCUS!

162. “To Don’t ” List

163. 13. Leaders Trust in TRUST !

164. Credibility !

165. 13A. Leaders Infuse the Dreaded-All Important “Evaluation Process” with CREDIBILITY!

166. 25 = 100

167. 14. Leaders Understand the Ultimate Power of RELATIONSHIPS.

168. 14A. Leaders Say “Thank You.”

169. “The deepest human need is the need to be appreciated.” William James

170. 14B. Leaders Wire the Joint!

171. Winners wire. Losers are slaves to rank.

172. 14C. Leaders Are Natural EMPOWERMENT FREAKS!

173. 15. Leaders Know … Women Roar/ Women Rule.

174. “AS LEADERS, WOMEN RULE: New Studies find that female managers outshine their male counterparts in almost every measure” Title, Special Report, Business Week, 11.20.00

175. 16. Leaders LOVE RAINBOWS – for Pragmatic Reasons.

176. “Diversity defines the health and wealth of nations in a new century. Mighty is the mongrel. … The hybrid is hip. The impure, the mélange, the adulterated, the blemished, the rough, the black-and-blue, the mix-and-match – these people are inheriting the earth. Mixing is the new norm. Mixing trumps isolation. It spawns creativity, nourishes the human spirit, spurs economic growth and empowers nations.” G. Pascal Zachary, The Global Me: New Cosmopolitans and the Competitive Edge

177. 17. Leaders FORGET!/ Leaders DESTROY!

178. “Good management was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.” Clayton Christensen, The Innovator’s Dilemma

179. 18. BUT … Leaders Have to Deliver, So They Worry About “Throwing the Baby Out with the Bathwater.”

180. “Damned If You Do, Damned If You Don’t, Just Plain Damned” Subtitle in the chapter, “Own Up to the Great Paradox: Success Is the Product of Deep Grooves/ Deep Grooves Destroy Adaptivity,” Liberation Management (1992)

181. 19. Leaders … HONOR THE USURPERS.

182. Saviors-in-Waiting Disgruntled Customers Upstart Competitors Rogue Employees Fringe Suppliers Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees

183. 20. Leaders HANG OUT WITH FREAKS!

184. Message: TAKE SOMEONE NEW & WEIRD TO LUNCH TODAY OR TOMORROW. [Inundate yourself with weird.]

185. 21. Leaders Make [Lotsa] Mistakes – and MAKE NO BONES ABOUT IT!

186. Sam’s secret #1!

187. 22. Leaders Make BIG MISTAKES!

188. “Reward excellent failures. Punish mediocre successes.” Phil Daniels, Sydney exec (and, de facto, Jack)

189. 23. Leaders Set DESIGN SPECS.

190. JackWorld/ 1@T : (1) Neutron Jack. (Banish bureaucracy.) (2) “1, 2 or out” Jack. (Lead or leave.) (3) “Workout” Jack. (Empowerment, GE style.) (4) 6-Sigma Jack. (5) Internet Jack. (Throughout) TALENT JACK!

191. 23A. Leaders Send V-E-R-Y Clear Signals About Design Specs!

192. Ridin’ with Roger: “What have you done to DRAMATICALLY IMPROVE quality in the last 90 days?”

193. 24. Leaders Know When to CHALLENGE (BURN) Design Specs!

194. “The ‘chump-to- champ-to-chump cycle’ used to be three generations. Now it’s about five years.” Bill McGowan

195. 25. Leaders Know that THERE’S MORE TO LIFE THAN “LINE EXTENSIONS.” Leaders Love to CREATE NEW MARKETS.

196. No one ever made it into the Business Hall of Fame on a record of “line extensions.”

197. “Acquisitions are about buying market share. Our challenge is to create markets. There is a big difference.” Peter Job, CEO, Reuters

198. 26. Leaders Pursue DRAMATIC DIFFERENCE!

199. 1 st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/“One Great Thing.” Source #1: Personal Passion) 2 ND Law: REAL REASON TO BELIEVE (Stand & Deliver!) 3 RD Law: DRAMATIC DIFFERENCE (Execs Don’t Get It: “intent to purchase” – 100%; “unique” – 0% to 5%) Source: Jump Start Your Business Brain, Doug Hall

200. 27. Leaders Push Their Organizations W-a-y Up the Value-added/ Intellectual Capital Chain

201. 09.11.2000: HP bids $18,000,000,000 for PricewaterhouseCoopers Consulting business!

202. 28. Leaders LOVE the New Technology!

203. I’net … … allows you to dream dreams you could never have dreamed before!

204. 28A. Needed? Type IV Leadership: Technology Dreamer-True Believer

205. The Golden Leadership Quadrangle: (1) Creator- Inventor-Visionary … (2) Talent Fanatic … (3) Inspired Profit Mechanic. (4) Technology Dreamer-True Believer

206. 29. When It Comes to TALENT … Leaders Always Swing for the Fences!

207. Message: Some people are better than other people. Some people are a helluva lot better than other people.

208. 30. Leaders Don’t Create “Followers”: THEY CREATE LEADERS!

209. Brand You, Big Time! I AM AN ARMY OF ONE

210. 31. Leaders “Win Followers Over”

211. WHAT AN IDIOT: “Instead of employees being in the driver’s seat, now we’re in the driver’s seat.”

212. PJ: “Coaching is winning players over.”

213. 32. Leaders “Manage” Their EVP/Internal Brand Promise.

214. Talent = Brand

215. EVP = Challenge, professional growth, respect, satisfaction, opportunity, reward Source: Ed Michaels et al., The War for Talent

216. 33. Leaders Know “It’s My Fault.”

217. You recruited ’em. You hired ’em. You trained ’em. You evaluated ’em. You “motivated” ’em.

218. 34. Leaders have MENTORS.

219. The Gospel According to TP: Upon having the Leadership Mantle placed upon thine head, thou shalt never hear the unvarnished truth again!* (*Therefore, thy needs one faithful compatriot to lay it on with no jelly.)

220. 35. Leaders Out Their PASSION!

221. G.H.: “Create a ‘cause,’ not a ‘business.’ ”

222. “ Let’s make a dent in the universe.” Steve Jobs

223. 36. Leaders Know: ENTHUSIASM BEGETS ENTHUSIASM!

224. BZ: “I am a … dispenser of enthusiasm!”

225. 37. Leaders Know It’s ALL SALES ALL THE TIME.

226. TP: If you don’t LOVE SALES … find another life. (Don’t pretend you’re a “leader.”)

227. 38. Leaders LOVE “POLITICS.”

228. TP: If you don’t LOVE POLITICS … find another life. (Don’t pretend you’re a “leader.”)

229. 39. Leaders Give … RESPECT!

230. “It was much later that I realized Dad’s secret. He gained respect by giving it. He talked and listened to the fourth-grade kids in Spring Valley who shined shoes the same way he talked and listened to a bishop or a college president. He was seriously interested in who you were and what you had to say.” Sara Lawrence-Lightfoot, Respect

231. 40. Leaders LISTEN!

232. See Stephen!

233. 41. Leaders … SHOW UP!

234. Rudy!

235. 42. Leadership Is a Performance. BELIEVE IT.

236. “You must be the change you wish to see in the world.” --M.G.

237. “It is necessary for the President to be the nation’s No. 1 actor.” FDR

238. 43. Leaders Have a GREAT STORY!

239. “A key – perhaps the key – to leadership is the effective communication of a story.” Howard Gardner Leading Minds: An Anatomy of Leadership

240. “Stories of identity – narratives that help individuals think about and feel who they are, where they come from, and where they are headed – constitute the single most powerful weapon in the leader’s arsenal.” Howard Gardner, Leading Minds: An Anatomy of Leadership

241. 44. Leaders Create BUZZ!

242. “You have to market the intelligence.” Herbert Meyer, former Special Asst. to the Director of Central Intelligence (Hardball/10.01.01)

243. 45. Leaders Seed & Pursue & Recognize (Weird) “Demos.”

244. Leaders aimed on changing their world identify palpable heroes, who executed palpable projects —they point to these people and say to the masses, “See, here it is, done by one of your own.” (And then they “deep-dip” a few of those heroes to demo their seriousness.)

245. L.B.I.W.D. (Leading By Inducing Weird Demos)

246. 46. Leaders Focus on the SOFT STUFF!

247. Soft is Hard!

248. Message: Leadership is all about love! [Passion, Enthusiasms, Appetite for Life, Engagement, Commitment, Great Causes & Determination to Make a Damn Difference, Shared Adventures, Bizarre Failures, Growth, Insatiable Appetite for Change.] [Otherwise, why bother? Just read Dilbert. TP’s final words: CYNICISM SUCKS.]

249. 47. Leaders KNOW THEMSELVES.

250. Individuals (would-be leaders) cannot engage in a liberating mutual discovery process unless they are comfortable with their own skin. (“Leaders” who are not comfortable with themselves become petty control freaks.)

251. 48. Leaders Are Graceful.

252. “My favorite word is grace – whether it’s amazing grace, saving grace, grace under fire, Grace Kelly. How we live contributes to beauty – whether it’s how we treat other people or the environment.” Celeste Cooper, designer

253. Rodale’s on “Grace” … elegance … charm … loveliness … poetry in motion … kindliness.. benevolence … benefaction … compassion … beauty

254. TP: Especially in times of stress/ confusion!

255. 49. Leaders ??? :

256. “LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON ROLLER BLADES”

257. “ ‘It’s only business, not personal’ … IT ALWAYS IS PERSONAL.”

258. “Hire smart – go bonkers – have grace – make mistakes – love technology – start all over again.”

259. 50. Leaders Know WHEN TO LEAVE!

260. Thank You!