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LONG Tom Peters’ Re-Imagine EXCELLENCE ! Firebirds Annual Managers Awards Meeting Marriott Harbor Beach Resort & Spa/30 March 2015 (For more see tompeters.com.

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Presentation on theme: "LONG Tom Peters’ Re-Imagine EXCELLENCE ! Firebirds Annual Managers Awards Meeting Marriott Harbor Beach Resort & Spa/30 March 2015 (For more see tompeters.com."— Presentation transcript:

1 LONG Tom Peters’ Re-Imagine EXCELLENCE ! Firebirds Annual Managers Awards Meeting Marriott Harbor Beach Resort & Spa/30 March 2015 (For more see tompeters.com and our fully annotated 23-part Master Compendium [“Mother of All Presentations”] at excellencenow.com)

2 “YOUR CUSTOMERS WILL NEVER BE ANY HAPPIER THAN YOUR EMPLOYEES.”

3 Conveyance: Kingfisher Air Location: Approach to New Delhi

4 “May I clean your glasses, sir?”

5 “What employees experience, Customers will. The best marketing is happy, engaged employees. Your customers will never be any happier than your employees.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

6 “It may sound radical, unconventional, and bordering on being a crazy business idea. However— as ridiculous as it sounds—joy 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.” —Richard Sheridan, Joy, Inc.: How We Built a Workplace People Love

7 “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* *Only person to push Peter Drucker around! Radio City Music Hall!

8 “ Caesars’ Entertainment have bet their future on harvesting personal data rather than developing the fanciest properties.” —Adam Tanner, What Stays in Vegas: The World of Personal Data—Lifeblood of Big Business—and the End of Privacy as We Know it

9 Master or Mauled in the Age of Social Media: “What used to be “word of mouth” is now “word of mouse.” You are either creating brand ambassadors or brand terrorists doing brand assassination.” “What used to be “word of mouth” is now “word of mouse.” You are either creating brand ambassadors or brand terrorists doing brand assassination.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

10 CONRAD HILTON …

11 CONRAD HILTON, at a gala celebrating his career, was called to the podium and asked, His answer … CONRAD HILTON, at a gala celebrating his career, was called to the podium and asked, “What were the most important lessons you learned in your long and distinguished career?” His answer …

12 “ Remember to tuck the shower curtain inside the bathtub.”

13 “ Amateurs talk about strategy. Professionals talk about logistics.” —Omar Bradley, commander of American troops/D-Day

14 “COSTCO FIGURED OUT THE BIG, SIMPLE THINGS AND EXECUTED WITH TOTAL FANATICISM.” —Charles Munger, Berkshire Hathaway

15 People ! Customers ! Action ! Values !

16

17 Excellence1982: The Bedrock “Eight Basics” 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 Properties

18 “Breakthrough” 82* People! People!Customers!Action! Values ! *In Search of Excellence

19 In Search of Excellence/twitterized/127 characters including quotation marks and spaces: “Cherish your people. Cuddle your customers. Wander around. ‘Try it’ beats ‘talk about it.’ Pursue EXCELLENCE. Tell the truth.”

20 EXCELLENCE is not a “long- term” "aspiration.” EXCELLENCE is the ultimate short-term strategy. EXCELLENCE is … THE NEXT 5 MINUTES.* NEXT 5 MINUTES.* (*Or NOT.)

21 People:1/4,096

22 “Business has to give people enriching, rewarding lives …

23 1/4,096: excellencenow.com “Business has to give people enriching, rewarding lives … or it's simply not worth doing.” —Richard Branson

24 “You have to treat your employees like customers.” —Herb Kelleher, upon being asked his “secret to success” Source: Joe Nocera, NYT, “Parting Words of an Airline Pioneer,” on the occasion of Herb Kelleher’s retirement after 37 years at Southwest Airlines (SWA’s pilots union took out a full-page ad in USA Today thanking HK for all he had done) ; across the way in Dallas, American Airlines’ pilots were picketing AA’s Annual Meeting)

25 “May I help you down the jetway.”

26 “We look for... listening, caring, smiling, saying ‘Thank you,’ being warm.” — Colleen Barrett, former President, Southwest Airlines

27 “It’s simple, really, Tom. Hire for s, and, above all, promote for s.” “It’s simple, really, Tom. Hire for s, and, above all, promote for s.” —Starbucks regional manager, on why so many smiles at Starbucks shops

28 “hostmanship”/ “consideration renovation”

29 “ The path to a hostmanship culture paradoxically does not go through the guest. In fact it wouldn’t 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 work or where management has made customers its highest priority?’” “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 about a new day at work.” —Jan Gunnarsson and Olle Blohm, Hostmanship: The Art of Making People Feel Welcome.

30 “ … 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?’”

31 Rocket Science. NOT. “If you want staff to give great service, give great service to staff.” “If you want staff to give great service, give great service to staff.” —Ari Weinzweig, Zingerman’s Source: Small Giants: Companies That Choose to Be Great Instead of Big, Bo Burlingham

32 EXCELLENT customer experience depends … entirely … on EXCELLENT on EXCELLENT employee experience! If you want to WOW your customers, FIRST you must WOW those who must WOW those who WOW the customers! WOW the customers!

33 “G-E-N-I-U-S” Getting more and more cantankerous (short tempered!) about this: Job #1 (& #2 & #3) about this: Job #1 (& #2 & #3) is to abet peoples' personal growth. All other good things flow there from. My idea of a gen-u-ine "genius“ "breakthrough" idea: If you work your heart out to help people grow, they'll work their hearts out "breakthrough" idea: If you work your heart out to help people grow, they'll work their hearts out to give customers a great experience. to give customers a great experience.

34 “What employees experience, Customers will. The best marketing is happy, engaged employees. Your customers will never be any happier than your employees.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

35 “In a world where customers wake up every morning asking, ‘What’s new, what’s different, what’s amazing?’ success depends on a company’s 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

36 Wegmans (was #1/Best Company to Work For in USA) Container Store (was #1/Best Company to Work For in USA) Whole Foods CostcoPublix Darden Restaurants Build-A-Bear Workshops Starbucks

37 1996-2014/12 companies every year/ 341,567 new jobs/+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

38 100 Best Companies to Work for, 1984-2009: Plus 3.5% per annum risk adjusted returns Source: Fortune/“The 100 Best Companies to Work For”/0315.15/Alex Edmunds, Wharton

39 “Contrary to conventional corporate thinking, treating retail workers much better may make everyone (including their employers) much richer.” * ** *Duh! **Cited in particular, The Good Jobs Strategy, by M.I.T. professor Zeynep Ton.

40 The Good Jobs Strategy: How the Smartest Companies Invest in Employees to Lower Costs & Boost Profits —Zeynep Ton, MIT Sloan School Notes: Cases all retail, including Costco and Trader Joe’s. E.g., Costco: Average hourly pay $20.89 —40% greater than #1 competitor, Sam’s Club.

41 Profit Through Putting People First Business Book Club Nice Companies Finish First: Why Cutthroat Management Is Over—and 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 The Customer Comes Second: Put Your People First and Watch ’Em Kick Butt, by Hal Rosenbluth, former CEO, Rosenbluth International It’s 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 Giants: Companies That Choose to Be Great Instead of Big, by Bo Burlingham 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

42 Brand = Talent.

43 TO DEVELOP AND MANAGE TALENT; TO APPLY THAT TALENT, THROUGHOUT THE WORLD, FOR THE BENEFIT OF CLIENTS; TO DO SO IN PARTNERSHIP; TO DO SO WITH PROFIT. Our Mission TO DEVELOP AND MANAGE TALENT; TO APPLY THAT TALENT, THROUGHOUT THE WORLD, FOR THE BENEFIT OF CLIENTS; TO DO SO IN PARTNERSHIP; TO DO SO WITH PROFIT. WPP

44 "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"

45 “I start with the premise that the function of leadership is to produce more leaders, not more followers.” — Ralph Nader

46 “I didn’t have a ‘mission statement’ at Burger King. I had a dream. Very simple. It was something like, ‘Burger King is 250,000 people, every one of whom gives a shit.’ Every one. Accounting. Systems. Not just the drive through. Everyone is ‘in the brand.’ That’s what we’re talking about, nothing less.” — Barry Gibbons, former CEO, Burger King

47 THE DREAM MANAGER — by Matthew Kelly “AN ORGANIZATION CAN ONLY BECOME THE- BEST-VERSION-OF-ITSELF TO THE EXTENT THAT THE PEOPLE WHO DRIVE THAT ORGANIZATION ARE STRIVING TO BECOME BETTER-VERSIONS- OF-THEMSELVES.” “A company’s purpose is to become the-best-version-of-itself. The question is: What is an employee’s purpose? Most would say, ‘to help the company achieve its purpose’— BUT THEY WOULD BE WRONG. That is certainly part of the employee’s role, but an employee’s primary purpose is to become the-best-version-of-himself or –herself. … When a company forgets that it exists to serve customers, it quickly goes out of business. OUR EMPLOYEES ARE OUR FIRST CUSTOMERS, AND OUR MOST IMPORTANT CUSTOMERS.”

48 The7-StepMethod

49 7 Steps to Sustaining Success You take care of the people. The people take care of the service. The service takes care of the customer. The customer takes care of the profit. The profit takes care of the re-investment. The re-investment takes care of the re-invention. The re-invention takes care of the future. (And at every step the only measure is EXCELLENCE.)

50 7 Steps to Sustaining Success: And it starts with … You take care of the people.

51 Training = Investment #1 !

52 6/2/3* *It takes Jerry Seinfeld SIX MONTHS to develop TWO or THREE MINUTES of new material (documentary: Comedian)

53 2X

54 Basketball coach John Wooden, perhaps the best coach of anything, ever: “I was never much of a game coach, but I was a pretty good practice coach.” Hall of fame football coach Bill Walsh on preparation: “The score takes care of itself.”

55 In the Army, 3-star generals worry about training. In most businesses, it's a “ho-hum” mid-level staff function.

56 Why (whywhywhywhywhywhywhywhywhywhy whywhywhy) is intensive- extensive training obvious for the army & navy & sports teams & performing arts groups—but for the average business? Why (why why why why why why why why why why why why why) is intensive- extensive training obvious for the army & navy & sports teams & performing arts groups—but not for the average business?

57 Is your CTO /Chief Training Officer your top paid “C-level” job (other than CEO/COO)? Are your top trainers paid/cherished as much as your top marketers/ engineers?

58 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?

59 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?

60 Boss & RPD: Your (boss) job is safer if every one of your team members is committed to RPD /Radical Personal Development. Actively support one and all!

61 Gamblin’ Man Gamblin’ Man Bet #1: >> 5 of 10 CEOs see training as expense rather than investment. Bet #2: >> 5 of 10 CEOs see training as defense rather than offense. Bet #3: >> 5 of 10 CEOs see training as “necessary evil” rather than “strategic opportunity.”

62 Bet #4: >> 8 of 10 CEOs, in 45-min “tour d’horizon” of their biz, would NOT mention training.

63 What is the best reason to go bananas over training? GREED. (It pays off.) (NB: Training should be an official part of the R&D budget and a capital expense.) the R&D budget and a capital expense.)

64 “training, TRAINING and M-O-R-ET-R-A-I-N-I-N-G” —CINCPAC/Commander-In-Chief Pacific Chester Nimitz to CNO/Chief of Naval Operations Ernest King /1943 (punctuation Nimitz’s, NOT mine); when Pearl Harbor occurred, U.S. Navy preparation was found wanting—the crews’ training, Nimitz firmly believed, was more important than the number U.S. Navy preparation was found wanting—the crews’ training, Nimitz firmly believed, was more important than the number of available war ships. of available war ships.

65 “The topic is probably the oldest and biggest debate in Customer service. What is more important: How well you hire, or the training and culture you bring your employees into? 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 aren’t 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 doesn’t allow for accept anything less than excellence.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

66 “Only businesses built on the premise that employee and Customer loyalty are their strongest assets are the ones that thrive and emerge as market leaders for the long term. These businesses realize that Customer service training is an investment, not an expense.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

67 Hiring

68 Observed closely: The use of “I” or “We” during a job interview. job interview. Source: Leonard Berry & Kent Seltman, chapter 6, “Hiring for Values,” Management Lessons From Mayo Clinic

69 2/Year = Legacy

70 Promotion Decisions “life and death decisions” Source: Peter Drucker, The Practice of Management

71 “A man should never be promoted to a managerial position if his vision focuses on people’s rather than on their.” —Peter Drucker, The Practice of Management “A man should never be promoted to a managerial position if his vision focuses on people’s weaknesses rather than on their strengths.” —Peter Drucker, The Practice of Management

72 Self- Evaluation

73 “To develop others, start with yourself.” —Marshall Goldsmith

74 “Being aware of yourself and how you affect everyone around you is what distinguishes a superior leader.” —Edie Seashore (strategy + business #45)

75 “How can a high-level leader like _____ be so out of touch with the truth about himself? It’s more common than you would imagine. The problem is an acute lack of feedback [especially on people issues].” —Daniel Goleman (et al.), The New Leaders “How can a high-level leader like _____ be so out of touch with the truth about himself? It’s more common than you would imagine. In fact, the higher up the ladder a leader climbs, the less accurate his self-assessment is likely to be. The problem is an acute lack of feedback [especially on people issues].” —Daniel Goleman (et al.), The New Leaders

76 "Everyone thinks of changing the world, but no one thinks of changing himself." —Leo Tolstoy

77 1 st -Line Bosses (Cadre of) = Productivity Asset #1 ! 1 st -Line Bosses (Cadre of) = Productivity Asset #1 !

78 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?

79 Employee retention & satisfaction & productivity: Overwhelmingly based on the first-line manager! Source: Marcus Buckingham & Curt Coffman, First, Break All the Rules: What the World’s Greatest Managers Do Differently

80 “People leave managers not companies.” —Dave Wheeler

81 Is there ONE “secret” to productivity and employee satisfaction? YES ! The Quality of your FULL CADRE of … 1st-line Leaders.

82 E.g.: Do you have the... ABSOLUTE BEST TRAINING & DEVELOPMENT PROGRAMS IN THE INDUSTRY... (or some subset thereof) for first-line supervisors? for first-line supervisors?

83 WOMEN RULE !

84 “I speak to you with a feminine voice. “I speak to you with a feminine voice. It’s the voice of democracy, of equality. It’s the voice of democracy, of equality. I am certain, ladies and gentlemen, that this will be the woman’s century. In the Portuguese language, words such as life, soul, and hope are of the feminine gender, as are other words like courage and sincerity.” — President Dilma Rousseff of Brazil, 1st woman to keynote the United Nations General Assembly (2011) keynote the United Nations General Assembly (2011)

85 “Research suggests that to succeed, start by promoting women.” Source: Nicholas Kristof, “Twitter, Women, and Power,” NYTimes, 1024.13

86 “In my experience, women make much better executives than men.” —Kip Tindell, CEO, Container Store, from UNCONTAINABLE

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

88 “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 (Courtesy: Dan Rockwell/Leadership Freak)

89 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, 1024.13

90 THE MORAL IMPERATIVE: PEOPLE DEVELOPMENT

91 CORPORATE MANDATE #1 2014: 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 semi-permanent) to the maximum extent of your abilities. The good news: This is also the #1 mid- to long-term … profit maximization strategy!

92 In Good Business, Mihaly Csikszentmihalyi argues persuasively that business has become the center of society. As such, an obligation to community is front & center. Business as societal bedrock, has the RESPONSIBILITY to increase the “SUM OF HUMAN WELL-BEING.” Business is NOT "part of the community." In terms of how adults collectively spend their waking hours … BUSINESS IS THE COMMUNITY. And should act accordingly. The (REALLY) good news: Community mindedness is a great way (THE best way?) to have spirited/committed/ customer-centric work force—and, ultimately, increase (maximize?) profitability! is a great way (THE best way?) to have spirited/committed/ customer-centric work force—and, ultimately, increase (maximize?) profitability!

93 “The role of the Director is to create a space where the actors and actresses can become more than they’ve ever been before, more than they’ve dreamed of being.” more than they’ve dreamed of being.” —Robert Altman, Oscar acceptance speech

94 #3: Provide a pride- worthy job.* worthy job.* #2: Help people be successful at their successful at their current job. current job. #1: Help people grow/ prepare for an prepare for an uncertain future.** uncertain future.** *“Provide a secure job.”—NOT POSSIBLE IN 2014. **Society—and profitability—demands this. (Or should!)

95 1 /48

96 Lesson48: WTTMSW

97 WHOEVERTRIESTHEMOSTSTUFFWINS

98 Excellence82: The Bedrock “Eight Basics” Excellence82: 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 Properties

99 “ WE HAVE A STRATEGIC PLAN. IT’S CALLED ‘DOING THINGS.’ ” —Herb Kelleher “DON’T ‘PLAN.’ DO STUFF.” “ WE HAVE A STRATEGIC PLAN. IT’S CALLED ‘DOING THINGS.’ ” —Herb Kelleher “DON’T ‘PLAN.’ DO STUFF.” —David Kelley/IDEO

100 READY. FIRE! AIM. H. Ross Perot (vs “Aim! Aim! Aim!” /EDS vs GM/1985)

101 “FAIL. FORWARD. FAST.” “FAIL FASTER. SUCCEED SOONER.” “MOVE FAST. BREAK THINGS.” —Facebook “FAIL. FORWARD. FAST.” —High Tech CEO, Pennsylvania “FAIL FASTER. SUCCEED SOONER.” —David Kelley/IDEO “MOVE FAST. BREAK THINGS.” —Facebook

102 “I What really matters is that companies that don’t continue to experiment— companies that don’t embrace failure —they eventually get in a desperate position, where the only thing they can do is make a ‘Hail Mary’ bet at the end.” —Jeff Bezos at Business Insider “Ignition” conference, 1202.14

103 WTTMSASTMSUTFW

104 WHOEVERTRIESTHEMOSTSTUFFANDSCREWSTHEMOSTSTUFFUPTHEFASTESTWINS

105 TGRs: 8/80

106 Customers describing their service experience as “superior”: 8 % Companies describing the service experience they provide as the service experience they provide as “superior”: 80% “superior”: 80% —Source: Bain & Company survey of 362 companies, reported in John DiJulius, What's the Secret to Providing a World-class Customer Experience?

107 “May I clean your glasses, sir?”

108 It BEGINS (and ENDS ) in the …

109 PARKING LOT* *Disney

110 TGR (Things Gone -Things Gone RIGHT ) TGR (Things Gone WRONG -Things Gone RIGHT )

111 “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

112 “ IT’S ALWAYS SHOWTIME.” —David D’Alessandro, Career Warfare

113 TGRs: K = R = P

114 “Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.” "Let's not forget that small emotions are the great captains of our lives." —Van Gogh “The deepest principle in human nature is the craving to be appreciated.” —William James “The deepest urge in human nature is the desire to be important.” —John Dewey “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 “The deepest principle in human nature is the craving to be appreciated.” —William James “The deepest urge in human nature is the desire to be important.” —John Dewey

115 “When dealing with people, remember you are not dealing with creatures of logic, but with creatures of emotion, creatures bristling with prejudice and motivated by pride and vanity.” —Dale Carnegie (from Timeless Wisdom, compiled by Gary Fenchuk) (from Timeless Wisdom, compiled by Gary Fenchuk)

116 Press Ganey Assoc: 139,380 former patients from 225 hospitals: NONE of THE top 15 factors determining P atient S atisfaction referred to patient’s health outcome. Instead: directly related to Staff Interaction; directly correlated with Employee Satisfaction Source: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel

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

118 K = R = P

119 Kindness = Repeat Business = Profit. Profit.

120 TGRs: 3 Minutes

121 “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, What Got You Here Won’t Get You There: How Successful People Become Even More Successful.

122 THERE ONCE WAS A TIME WHEN A THREE-MINUTE PHONE CALL WOULD HAVE AVOIDED SETTING OFF THE DOWNWARD SPIRAL THAT RESULTED IN A COMPLETE RUPTURE.* Relationships (of all varieties) : THERE ONCE WAS A TIME WHEN A 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.

123 THE PROBLEM IS RARELY/NEVER THE PROBLEM. THE RESPONSE TO THE PROBLEM INVARIABLY ENDS UP BEING THE REAL PROBLEM. (OPPORTUNITY) (OPPORTUNITY).

124 3K/5M Source: Mark McCormack

125 TGRs: LBTs* *Little BIG Things

126 Big carts = 1.5X 1.5X Source: Walmart

127 Bag sizes = New markets: $B $B Source: PepsiCo

128 2X: “When Friedman slightly curved the right angle of an entrance corridor to one property, he was ‘amazed at the magnitude of change in pedestrians’ behavior’—the percentage who entered increased from one-third to nearly two-thirds.” —Natasha Dow Schull, Addiction By Design: Machine Gambling in Las Vegas

129 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)

130 Social Business/ Customer Engagement

131 Welcome to the Age of Social Media: “The customer is in complete control of communication.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

132 Welcome to the Age of Social Media: “It takes 20 years to build a reputation and five minutes to ruin it. 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: Overthrow Conventional Business, Inspire Employees, and Change the World Business, Inspire Employees, and Change the World

133 Welcome to the Age of Social Media: “What used to be “word of mouth” is now “word of mouse.” You are either creating brand ambassadors or brand terrorists doing brand assassination.” —John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

134 “I would rather engage in a Twitter conversation with a single customer I 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 valuable—not 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, and—possibly over time—help them become advocates and champions for the brand.” —Peter Aceto, CEO, Tangerine (from the Foreword to A World Gone Social: How Companies Must Adapt to Survive, by Ted Coine & Mark Babbit)

135 Going “Social”: Location and Size Independent “Today, despite the fact that we’re just a little swimming pool company in Virginia, we have the most trafficked swimming pool website in the world. Five years ago, if you’d 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.’” —Jay Baer, Youtility: Why Smart Marketing Is About Help, Not Hype

136 “Customer engagement is moving from relatively isolated market transactions to deeply connected and sustained social relationships. This basic change in how we do business will make an impact on just about everything we do.” Social Business By Design: Transformative Social Media Strategies For the Connected Company —Dion Hinchcliffe & Peter Kim For the Connected Company —Dion Hinchcliffe & Peter Kim

137 “We’re moving toward an age of nearly perfect information. Review sites, shopping apps on smartphones, an extended network of acquaintances available through social media, and unprecedented access to experts mean that consumers operate in a radically different, socially interactive information environment.* … Consumers tend to make better decisions and become less susceptible to context or framing manipulations. For businesses, it means marketing is changing forever.” —Itamar Simonson and Emanuel Rosen, Absolute Value: What Really Influences Customers in the Age of (Nearly) Perfect Information *Google: ZMOT (ZERO Moment Of Truth)

138 ZMOT : ZERO Moment Of Truth/Google* “You know what a ‘moment of truth’ is. It’s 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

139 “Amy Howell [social marketer extraordinaire, founder of Howell Marketing] ignites epidemics. In a good way, of course. Epidemics of excitement. Epidemics of business connections. Epidemics of influence.” —Mark Schaeffer, ROI/Return on Influence: The Revolutionary Power of Klout, Social Scoring, and Influence Marketing Power of Klout, Social Scoring, and Influence Marketing

140 Walmart SV = 1,500 Walmart SV = 1,500

141 “ Caesars’ Entertainment have bet their future on harvesting personal data rather than developing the fanciest properties.” —Adam Tanner, What Stays in Vegas: The World of Personal Data—Lifeblood of Big Business—and the End of Privacy as We Know it

142 “Software is eating the world.” —Marc Andreessen

143 IoT/The Internet of Things IoE/The Internet of Everything IoE/The Internet of Everything M2M/Machine-to-Machine M2M/Machine-to-Machine Ubiquitous computing Ubiquitous computing Embedded computing Embedded computing Pervasive computing Pervasive computing Industrial Internet Industrial Internet Etc.* ** *** Etc.* ** *** *“ More Than 50 BILLION connected devices by 2020” —Ericsson **Estimated 212 BILLION connected devices by 2020—IDC ***“By 2025 IoT could be applicable to $82 TRILLION of output or approximately one half the global economy”—GE (The WAGs to end all WAGs!)

144 SENSOR PILLS: “… Proteus Digital Health is one of several pioneers in sensor-based 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 body’s 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 the body’s 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 to a central database where a health technician can verify 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 taking their prescribed medications cost $258 BILLION in emergency room visits, hospitalization, and doctor visits. An average of 130,000 Americans die each year because they don’t 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

145 “Since 1996, manufacturing employment in China itself has actually fallen by an estimated 25 percent. That’s over 30,000,000 fewer Chinese workers in that sector, even while output soared by 70 percent. It’s not that American workers [AND Japanese workers] are being replaced by Chinese workers. It’s 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

146 Women BUY (Everything] !

147 “Forget CHINA, INDIA and the INTERNET: Economic Growth Is Driven by WOMEN.” Source: Headline, Economist

148 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 combined—more than twice as big in fact. Given those numbers, it would be foolish to ignore or underestimate the female consumer. And yet many companies do just that—even ones that are confidant that they have a winning strategy when it comes to women. Consider Dell’s …” Source: Michael Silverstein and Kate Sayre, “The Female Economy,” HBR, 09.09

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

150 Women as Decision Makers/Various sources Home Furnishings … 94% Vacations … 92% (Adventure Travel … 70%/ $55B travel equipment) Houses … 91% D.I.Y. (major “home projects”) … 80% Consumer Electronics … 51% (66% home computers) Cars … 68% (influence 90% ) All consumer purchases … 83% * Bank Account … 89% Household investment decisions … 67% Small business loans/biz starts … 70% Health Care … 80% *In the USA women hold >50% managerial positions including >50% purchasing officer positions; hence women also make the majority of commercial purchasing decisions.

151 “The MOST SIGNIFICANT VARIABLE in EVERY sales situation is the GENDER of the buyer, and more importantly, how the salesperson communicates to the buyer’s gender.” “The MOST SIGNIFICANT VARIABLE in EVERY sales situation is the GENDER of the buyer, and more importantly, how the salesperson communicates to the buyer’s gender.” —Jeffery Tobias Halter, Selling to Men, Selling to Women

152 The Perfect Answer Jill and Jack buy slacks in black…

153

154 Sales/After-sales Process Sales/After-sales Process 1. Kick-off – Women 2. Research – Women 3. Purchase – 3. Purchase – Men 4. Ownership – Women 5. Word-of-mouth – Women Source: Martha Barletta, Marketing to Women: How to Increase Your Share of the World’s Largest Market

155 We (old farts like me] Got the $$$$$$

156 1/8/20 1/8/20

157 !!!!!!!!!!!!!!!!! “PEOPLE TURNING 50 TODAY HAVE MORE THAN HALF OF THEIR ADULT LIFE AHEAD OF THEM.” “PEOPLE TURNING 50 TODAY HAVE MORE THAN HALF OF THEIR ADULT LIFE AHEAD OF THEM.” —BILL NOVELLI, 50+: IGNITING A REVOLUTION TO REINVENT AMERICA

158 “In 2009, households headed by adults ages 65 and older... had 47 times as much net wealth as the typical household headed by someone under 35 years of age. In 1984, this had been a less lopsided 10-to-1 ratio.” Source: Pew Research/10.11

159 44-65: “NEW CUSTOMER MAJORITY” Source: Ageless Marketing, David Wolfe & Robert Snyder

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

161 “Fifty-four years of age has been the highest cutoff point for any marketing initiative I’ve ever been involved in. —Martha Barletta, PrimeTime Women “Fifty-four years of age has been the highest cutoff point for any marketing initiative I’ve ever been involved in. Which is pretty weird when you consider age 50 is right about when people who have worked all their lives start to have some money to spend.” —Martha Barletta, PrimeTime Women

162 The (ENORMOUS] “Services Added” Opportunity

163 IB M to I B M

164 U P S to UP S

165 “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

166 “How the NFL Stole March Madness” Source: Headline, Wall Street Journal, 0325.15

167 Roll Out the Red Carpet!

168 S&P 500 +1/-1* *Every … 2 weeks ! Source: Richard Foster (via Rita McGrath/HBR/12.26.13

169 I am often asked by would-be entrepreneurs seeking escape from life within huge corporate structures, The answer seems obvious … “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

170 Buy a very large one and just wait.” “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: Buy a very large one and just wait.” —Paul Ormerod, Why Most Things Fail: Evolution, Extinction and Economics

171 “Data drawn from the real world attest to a fact that is beyond our control: —Norberto Odebrecht, Education Through Work “Data drawn from the real world attest to a fact that is beyond our control: EVERYTHING IN EXISTENCE TENDS TO DETERIORATE.” —Norberto Odebrecht, Education Through Work

172 THE RED CARPET STORE (Joel Resnick/Flemington NJ)

173 *Basement Systems Inc. (Larry Janesky/Seymour CT) *Dry Basement Science (100,000++ copies!) *1990: $0; 2003: $13M; 2010: $80,000,000

174 “BE THE BEST. IT’S THE ONLY MARKET THAT’S NOT CROWDED.” From: Retail Superstars: Inside the 25 Best Independent Stores in America, George Whalin Independent Stores in America, George Whalin

175 Retail Superstars: Inside the 25 Best Independent Stores in America —by George Whalin

176 1,600 cheeses 1,400 varieties of hot sauce 12,000 wines priced from $8 to $8,000 a bottle $8 to $8,000 a bottle 6,000 Christmas ornaments 50,000 trims PASSION

177 JUNGLE JIM’S INTERNATIONAL MARKET, FAIRFIELD, OH: “An adventure in ‘shoppertainment,’ begins in the parking lot and goes on to 1,600 cheeses and 1,400 varieties of hot sauce—not to mention 12,000 wines priced from $8-$ 8,000 a bottle; all this is brought to you by 4,000 vendors. Customers from every corner of the globe.” $8-$ 8,000 a bottle; all this is brought to you by 4,000 vendors. Customers from every corner of the globe.” BRONNER’S CHRISTMAS WONDERLAND, FRANKENMUTH, MI, POP 5,000 : 98,000-square-foot “shop” features 6,000 Christmas ornaments, 50,000 trims, and anything else you can name pertaining to Christmas. …”

178 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 value—not for EPS. They keep developing human capital. They get radically customer-centric.

179 25 !

180 “I’m always stopping by our stores— at least 25 a week. I’m 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”

181 MBWA

182 3,000 miles for a 5-minute face-to- face meeting

183 Monday Morning —

184 Monday/Tomorrow/Courtesy NFL: “Script” your first 5-10 “plays.” (I.e., carefully launch the day/week in a purposeful fashion.)

185 4, 8, 12

186 “The 4 most important words in any organization are …

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

188 MBWA 8 : Change the World With EIGHT Words What do you think?* How can I help?** *Dave Wheeler: “What are the four most important words in the boss’ lexicon?” **Boss as CHRO/Chief Hurdle Removal Officer **********************************

189 Are you a full-fledged “professional” when it comes to helping?

190 MBWA 12 : Change the World With TWELVE Words What do you think?* How can I help?** What have you learned?*** *Dave Wheeler: “What are the four most important words in the boss’ lexicon?” **Boss as CHRO/Chief Hurdle Removal Officer ********************************** ***What (new thing] have you learned (in the last 24 hours]? ********************* *

191 Acknowledgement !

192

193 "Appreciative words are the most powerful force for good on earth.” for good on earth.” —George W. Crane, physician, columnist “The two most powerful things in existence: a kind word and a kind word and a thoughtful gesture.” thoughtful gesture.” —Ken Langone, co-founder, Home Depot

194 “Acknowledge” … perhaps the most powerful word (and idea) in the English language—and manager’s tool kit!

195 “Employees who don't feel significant rarely make significant contributions.” —Mark Sanborn

196 “People want to be part of something larger than themselves. They want to be part of something they’re really proud of, that they’ll fight for, sacrifice for, trust.” “People want to be part of something larger than themselves. They want to be part of something they’re really proud of, that they’ll fight for, sacrifice for, trust.” —Howard Schultz, Starbucks

197 “ You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.” “ You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.” —Dale Carnegie

198 “Leadership is about how you make people feel— about you, about the project or work you’re doing together, and especially about themselves.” —Betsy Myers, Take the Lead: Motivate, Inspire, and Bring Out the Best in Yourself and Everyone Around You

199 #1 #1

200

201 Meetings ROCK ! (Make that: SHOULD Rock]

202 Bitch all you want, but meetings are what you (boss/leader] do! are what you (boss/leader] do!

203 Meetings are #1 thing bosses do. Therefore, 100% of those meetings: EXCELLENCE. ENTHUSIASM. ENGAGEMENT. LEARNING. TEMPO. WORK-OF-ART. DAMN IT.

204 18

205 “The doctor interrupts after …* *Source: Jerome Groopman, How Doctors Think

206 18 …

207 18 … seconds !

208 (An obsession with] Listening is... the ultimate mark of Respect. of Respect. Listening is... the heart and soul of Engagement. Listening is... the heart and soul of Kindness. Listening is... the heart and soul of Thoughtfulness. Listening is... the basis for true Collaboration. Listening is... the basis for true Partnership. Listening is... a Team Sport. Listening is... a Developable Individual Skill.* (*Though women are far better at it than men.) are far better at it than men.) Listening is... the basis for Community. Listening is... the bedrock of Joint Ventures that work. Listening is... the bedrock of Joint Ventures that grow. Listening is... the core of effective Cross-functional Communication* (*Which is in turn Attribute #1 of Communication* (*Which is in turn Attribute #1 of organization effectiveness.) organization effectiveness.)(cont.]

209 *8 of 10 sales presentations fail *50% failed sales presentations … talking “at” before listening! —Susan Scott, “Let Silence Do the Heavy Lifting,” chapter title, Fierce Conversations: Achieving Success at Work and in Life, One Conversation at a Time

210 Suggested Core Value #1: “We are Effective Listeners—we treat Listening EXCELLENCE as the Centerpiece of our Commitment to Respect and Engagement and Community and Growth.”

211 LISTEN = “PROFESSION” = STUDY = PRACTICE = EVALUATION = ENTERPRISE VALUE

212 “I always write ‘LISTEN’ on the back of my hand before a meeting.” Source: Tweet viewed @tom_peters

213 100%

214 Leaders: Communications failure …

215 100%* *Your fault!

216 0/800

217 “Normal” = “0 for 800” *There are … ZERO … “normal people” in the history books.

218 “ INSANELY GREAT” STEVE JOBS “RADICALLY THRILLING” “ INSANELY GREAT” STEVE JOBS “RADICALLY THRILLING” BMW

219 “Astonish me!” “Build something great!” “Make it immortal!” “Astonish me!” (Sergei Diaghilev, to a lead dancer) “Build something great!” ( Hiroshi Yamauchi, Nintendo, to a senior game designer) “Make it immortal!” (David Ogilvy, to a copywriter).

220 “ You can’t behave in a calm, rational manner. You’ve got to be out there on the lunatic fringe.” — Jack Welch

221 Muhammad Yunus: “All human beings are entrepreneurs. When we were in the caves we were all self-employed, finding our food, feeding ourselves. That’s where human history began... As civilization came we suppressed it. We became labor because they stamped us, ‘You are labor.’ We forgot that we are labor.’ We forgot that we are entrepreneurs.” are entrepreneurs.” Source: The News Hour/PBS/1122.2006

222


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