HRmaster (short) Tom Peters/HR.com/

Slides at … tompeters.com

V.A. Moment … 1Y/2N: Commerce Bank 2 Pizzas: JB Plastic Bulldozer: MD

XYZ Corp: Complete Vision & Values Any Service or Product is yours for absolutely NO CHARGE if any employee says—or implies—to you at any point … “It’s Not My Fault.” V. Big Cheese, Founder, CEO & Dictator

Employee Manual Item 1.0. I.N.M.F. = F.O.

#1

Tom Peters’ Re-Imagine! Business Excellence in a Disruptive Age HR.com/Phoenix/26October2004

Re-imagine! Summer 2004: Not Your Father’s World I.

26

“We’re now entering a new phase of business where the group will be a franchising and management company where brand management is central.” —David Webster, Chairman, InterContinental Hotels Group “InterContinental will now have far more to do with brand ownership than hotel ownership.” —James Dawson of Charles Stanley (brokerage) Source: International Herald Tribune, 09.16, on the sacking of CEO Richard North, whose entire background is in finance

My Story.

A Coherent Story: Context-Solution-Bedrock Context1: Intense Pressures (China/Tech/Competition) Context2: Painful/Pitiful Adjustment (Slow, Incremental, Mergers) Solution1: New Organization (Technology, Web+ Revolution, Virtual-“BestSourcing,”“PSF” “nugget”) Solution2: No Option: Value-added Strategy (Services- Solutions-Experiences-DreamFulfillment “Ladder”) Solution3: “Aesthetic” “VA” Capstone (Design-Brands) Solution4: New Markets (Women, ThirdAge) Bedrock1: Innovation (New Work, Speed, Weird, Revolution) Bedrock2: Talent (Best, Creative, Entrepreneurial, Schools) Bedrock3: Leadership (Passion, Bravado, Energy, Speed)

1. Re-imagine Everything: All Bets Are Off.

“One Singaporean worker costs as much as … 3 … in Malaysia 8 … in Thailand 13 … in China 18 … in India.” Source: The Straits Times/

“Thaksinomics” (after Thaksin Shinawatra, PM)/ “Bangkok Fashion City”/ “managed asset reflation” (add to brand value of Thai textiles by demonstrating flair and design excellence) Source: The Straits Times/

2. Re-imagine Permanence: The Emperor Has No Clothes!

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

3. Re-imagine Organizing I: IS/IT Leads the (Virtual) Way!

07.04/TP In Nagano … Revenue: $10B FTE: 1* *Maybe

Not “out sourcing” Not “off shoring” Not “near shoring” Not “in sourcing” but … “Best Sourcing”

4. Re-imagine the Organizing II: The Professional Service Firm (“PSF”) Imperative.

Sarah: “ Papa, what do you do?” Papa: “I’m ‘overhead.’ ”

Sarah: “ Daddy, what do you do?” Papa: “I manage a ‘cost center.’ ”

Sarah: “ Daddy, what do you do?” Papa: “I’m a ‘bureaucrat.’ ”

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

“Typically in a mortgage company or financial services company, ‘risk management’ is an overhead, not a revenue center. We’ve become more than that. We pay for ourselves, and we actually make money for the company.” —Frank Eichorn, Director of Credit Risk Data Management Group, Wells Fargo Home Mortgage (Source: sas.com)

Eichorning Mantra: “ Eichorn it!”

5. Re-imagine Business’ Basic Value Proposition: PSFs Unbound/ The “Solutions Imperative.”

And the “M” Stands for … ? Gerstner’s IBM: “Systems Integrator of choice.” (BW) IBM Global Services: $35B

“Big Brown’s New Bag: UPS Aims to Be the Traffic Manager for Corporate America” —Headline/BW/

6. Re-imagine Enterprise as Theater I: A World of Scintillating “Experiences.”

“ 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

The “Experience Ladder” Experiences Services Goods Raw Materials

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

7. Re-imagine Enterprise as Theater II: Embracing the “Dream Business.”

“The sun is setting on the Information Society—even before we have fully adjusted to its demands as individuals and as companies. We have lived as hunters and as farmers, we have worked in factories and now we live in an information-based society whose icon is the computer. We stand facing the fifth kind of society: the Dream Society. … Future products will have to appeal to our hearts, not to our heads. Now is the time to add emotional value to products and services.” —Rolf Jensen/The Dream Society:How the Coming Shift from Information to Imagination Will Transform Your Business

Six Market Profiles 1. Adventures for Sale 2. The Market for Togetherness, Friendship and Love 3. The Market for Care 4. The Who-Am-I Market 5. The Market for Peace of Mind 6. The Market for Convictions Rolf Jensen/The Dream Society: How the Coming Shift from Information to Imagination Will Transform Your Business

Six Market Profiles 1. Adventures for Sale/IBM 2. The Market for Togetherness, Friendship and Love/IBM 3. The Market for Care/IBM 4. The Who-Am-I Market/IBM 5. The Market for Peace of Mind/IBM 6. The Market for Convictions/IBM Rolf Jensen/The Dream Society: How the Coming Shift from Information to Imagination Will Transform Your Business

Experience Ladder/TP Dreams Come True Awesome Experiences Solutions Services Goods Raw Materials

’70s: Cost (BCG’s “cost curves”) ’80s: TQM-CI (Japan) ’90s: Service ’00s: Solutions/Experiences ’10s: Dream Fulfillment

8. Re-imagine the “Soul” of Enterprise: Design Rules!

“Having spent a century or more focused on other goals—solving manufacturing problems, lowering costs, making goods and services widely available, increasing convenience, saving energy—we are increasingly engaged in making our world special. More people in more aspects of life are drawing pleasure and meaning from the way their persons, places and things look and feel. Whenever we have the chance, we’re adding sensory, emotional appeal to ordinary function.” — Virginia Postrel, The Substance of Style: How the Rise of Aesthetic Value Is Remaking Commerce, Culture and Consciousness

9. Re-imagine the Fundamental Selling Proposition: “It” all adds up to … THE BRAND (THE STORY).

“WHAT’S OUR DREAM?”

“WHAT’S OUR STORY?”

Story > Brand

“We are in the twilight of a society based on data. As information and intelligence become the domain of computers, society will place more value on the one human ability that cannot be automated: emotion. Imagination, myth, ritual - the language of emotion - will affect everything from our purchasing decisions to how we work with others. Companies will thrive on the basis of their stories and myths. Companies will need to understand that their products are less important than their stories.” Rolf Jensen, Copenhagen Institute for Future Studies

10. Re-imagine the Roots of Innovation: THINK WEIRD … the High Value Added Bedrock.

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

Measure “Strangeness”/Portfolio Quality Staff Consultants Board Vendors Out-sourcing Partners (#, Quality) Innovation Alliance Partners Customers Competitors (who we “benchmark” against) Strategic Initiatives Product Portfolio (LineEx v. Leap) IS/IT HQ Location Lunch Mates Language

11. Re-imagine the Customer I: Trends Worth Trillion$$$ … Women Roar.

????????? 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% (90%) All consumer purchases … 83% Bank Account … 89% Household investment decisions … 67% Small business loans/biz starts … 70% Health Care … 80%

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.

12. Re-imagine the Customer II: Trends Worth Trillion$$$ … Boomer Bonanza/ Godzilla Geezer.

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

“The New Consumer Majority [age 44-65] is the only adult market with realistic prospects for significant sales growth in dozens of product lines for thousands of companies.” —David Wolfe & Robert Snyder, Ageless Marketing

13. Re-imagine Excellence I: The Talent Obsession.

Brand = Talent.

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

“The leaders of Great Groups love talent and know where to find it. They revel in the talent of others.” Warren Bennis & Patricia Ward Biederman, Organizing Genius

14. Re-imagine Excellence II: Meet the New Boss … Women Rule!

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

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: Women Managers

15. Re-imagine Excellence III: New Education for A New World

“My wife and I went to a [kindergarten] parent- teacher conference and were informed that our budding refrigerator artist, Christopher, would be receiving a grade of Unsatisfactory in art. We were shocked. How could any child—let alone our child—receive a poor grade in art at such a young age? His teacher informed us that he had refused to color within the lines, which was a state requirement for demonstrating ‘grade-level motor skills.’ ” Jordan Ayan, AHA!

Ye gads: “Thomas Stanley has not only found no correlation between success in school and an ability to accumulate wealth, he’s actually found a negative correlation. ‘It seems that school- related evaluations are poor predictors of economic success,’ Stanley concluded. What did predict success was a willingness to take risks. Yet the success-failure standards of most schools penalized risk takers. Most educational systems reward those who play it safe. As a result, those who do well in school find it hard to take risks later on.” Richard Farson & Ralph Keyes, Whoever Makes the Most Mistakes Wins

16. Re-imagine Leadership for Totally Screwed Up Times: The Passion Imperative.

“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

Start a Crusade!

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

Make It a Grand Adventure!

“ Ninety percent of what we call ‘management’ consists of making it difficult for people to get things done.” – Peter Drucker

“I don’t know.”

Quests!

Organizing Genius / Warren Bennis and Patricia Ward Biederman “Groups become great only when everyone in them, leaders and members alike, is free to do his or her absolute best.” “The best thing a leader can do for a Great Group is to allow its members to discover their greatness.”

Yes!!!!!!!!!!!!!!!!! “free to do his or her absolute best” … “allow its members to discover their greatness.”

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

Dispense Enthusiasm!

BZ: “I am a … Dispenser of Enthusiasm!”

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

#4

New Economy. New Biz Degrees. Tom Peters/

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MBA

15 “Leading” Biz Schools Design/Core: 0 Design/Elective: 1 Creativity/Core: 0 Creativity/Elective: 4 Innovation/Core: 0 Innovation/Elective: 6 Source: DMI/Summer 2002

“There is little evidence that mastery of the knowledge acquired in business schools enhances people’s careers, or that even attaining the MBA credential itself has much effect on graduates’ salaries or career attainment.” —Jeffrey Pfeffer (tenured professor, Stanford GSB/2004)

Hardball: Are You Playing to Play or Playing to Win? by George Stalk & Rob Lachenauer/HBS Press “The winners in business have always played hardball.” “Unleash massive and overwhelming force.” “Exploit anomalies.” “Threaten your competitor’s profit sanctuaries.” “Entice your competitor into retreat.” Approximately 640 Index entries: Customer/s (service, retention, loyalty), 4. People ( employees, motivation, morale, worker/s), 0. Innovation ( product development, research & development, new products), 0.

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MFA (Master of Fine Arts)

“The past few decades have belonged to a certain kind of person with a certain kind of mind—computer programmers who could crank code, lawyers who could craft contracts, MBAs who could crunch numbers. But the keys to the kingdom are changing hands. The future belongs to a very different kind of person with a very different kind of mind—creators and empathizers, pattern recognizers and meaning makers. These people—artists, inventors, designers, storytellers, caregivers, consolers, big picture thinkers—will now reap society’s richest rewards and share its greatest joys.” —Dan Pink, A Whole New Mind

“The MFA is the new MBA.” —Dan Pink, A Whole New Mind

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MMM 1 (Master of Metaphysical Management)

“We’re now entering a new phase of business where the group will be a franchising and management company where brand management is central.” —David Webster, Chairman, InterContinental Hotels Group “InterContinental will now have far more to do with brand ownership than hotel ownership.” —James Dawson of Charles Stanley (brokerage) Source: International Herald Tribune, 09.16, on the sacking of CEO Richard North, whose entire background is in finance

“Most executives have no idea how to add value to a market in the metaphysical world. But that is what the market will cry out for in the future. There is no lack of ‘physical’ products to choose between.” Jesper Kunde, Unique Now... or Never [on the excellence of Nokia, Nike, Lego, Virgin et al.]

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MMM 2 /MM (Master of Metabolic Management/Master of Madness)

“The organizations we created have become tyrants. They have taken control, holding us fettered, creating barriers that hinder rather than help our businesses. The lines that we drew on our neat organizational diagrams have turned into walls that no one can scale or penetrate or even peer over.” —Frank Lekanne Deprez & René Tissen, Zero Space: Moving Beyond Organizational Limits.

“Strategy meetings held once or twice a year” to “Strategy meetings needed several times a week” Source: New York Times on Meg Whitman/eBay

“How we feel about the evolving future tells us who we are as individuals and as a civilization: Do we search for stasis—a regulated, engineered world? Or do we embrace dynamism—a world of constant creation, discovery and competition? Do we value stability and control? Or evolution and learning? Do we think that progress requires a central blueprint? Or do we see it as a decentralized, evolutionary process? Do we see mistakes as permanent disasters? Or the correctable byproducts of experimentation? Do we crave predictability? Or relish surprise? These two poles, stasis and dynamism, increasingly define our political, intellectual and cultural landscape.” —Virginia Postrel, The Future and Its Enemies

“We are in a brawl with no rules.” Paul Allaire

“If it works, it’s obsolete.” —Marshall McLuhan

“If things seem under control, you’re just not going fast enough.” Mario Andretti

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MGLF (Master of Great Leaps Forward)

Re-imagine General Electric “Welch was to a large degree a growth-by-acquisition man. ‘In the late ’90s,’ Immelt says, ‘we became business traders, not business growers. Today organic growth is absolutely the biggest task of everyone of our companies. If we don’t hit our organic growth targets, people are not going to get paid.’ … Immelt has staked GE’s future growth on the force that guided the company at it’s birth and for much of its history: breathtaking, mind-blowing, world-rattling technological innovation.” —“GE Sees the Light”/Business 2.0/July 2004

“To grow, companies need to break out of a vicious cycle of competitive benchmarking and imitation.” —W. Chan Kim & René Mauborgne, “Think for Yourself —Stop Copying a Rival,” Financial Times/

Innovation! NOT Imitation

“This is an essay about what it takes to create and sell something remarkable. It is a plea for originality, passion, guts and daring. You can’t be remarkable by following someone else who’s remarkable. One way to figure out a theory is to look at what’s working in the real world and determine what the successes have in common. But what could the Four Seasons and Motel 6 possibly have in common? Or Neiman-Marcus and Wal*Mart? Or Nokia (bringing out new hardware every 30 days or so) and Nintendo (marketing the same Game Boy 14 years in a row)? It’s like trying to drive looking in the rearview mirror. The thing that all these companies have in common is that they have nothing in common. They are outliers. They’re on the fringes. Superfast or superslow. Very exclusive or very cheap. Extremely big or extremely small. The reason it’s so hard to follow the leader is this: The leader is the leader precisely because he did something remarkable. And that remarkable thing is now taken—so it’s no longer remarkable when you decide to do it.” —Seth Godin, Fast Company/

“Beware of the tyranny of making Small Changes to Small Things. Rather, make Big Changes to Big Things.” —Roger Enrico, former Chairman, PepsiCo

Bottom line: No promotion to senior levels of public or private enterprise should ever again be granted to anyone who does not present a CV saturated by a clear and compelling demonstration of sustained commitment to Radical Change. Do we wish for “good strategists”? Why not! But the heart of the matter goes far beyond any plan, no matter how brilliant. The heart of the matter is Heart & Will... a record of upsetting apple carts, dislodging “establishments,” and fundamentally altering deep-rooted “cultures” to embrace change of the most primal sort. I titled my most recent book Re-imagine! Business Excellence in a Disruptive Age. “Excellence” in a “disruptive age” is not excellence amidst placid waters. The notion of excellence itself changes... dramatically. We need our public and private Churchills, leaders who can re-imagine, who can call forth wellsprings of daring and guts and spirit and spunk, from one and all, to topple the way things may have been for many generations—and who inspire us to venture forth into today’s and tomorrow’s whitewaters with insouciance and bravado and determination.

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

MTD (Master of Talent Development)

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

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

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

GGWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate)

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

“We have a ‘strategic’ plan. It’s called doing things.” — Herb Kelleher

A man approached JP Morgan, held up an envelope, and said, “Sir, in my hand I hold a guaranteed formula for success, which I will gladly sell you for $25,000.” “Sir,” JP Morgan replied, “I do not know what is in the envelope, however if you show me, and I like it, I give you my word as a gentleman that I will pay you what you ask.” The man agreed to the terms, and handed over the envelope. JP Morgan opened it, and extracted a single sheet of paper. He gave it one look, a mere glance, then handed the piece of paper back to the gent. And paid him the agreed-upon $25,000.

1. Every morning, write a list of the things that need to be done that day. 2. Do them. Source: Hugh MacLeod/tompeters.com/NPR

“When assessing candidates, the first thing I looked for was energy and enthusiasm for execution. Does she talk about the thrill of getting things done, the obstacles overcome, the role her people played—or does she keep wandering back to strategy or philosophy?” —Larry Bossidy, Honeywell/AlliedSignal, in Execution

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

DE! (Doctor of Enthusiasm) (!)

“A leader is a dealer in hope.” Napoleon (+TP’s writing room pics)

USN&WR/What traits do successful activists share? Studs Terkel, age 91: “They have hope, and they imbue others with hope.”

Hackneyed but none the less true: LEADERS SEE CUPS AS “HALF FULL.”

New Economy Biz Degree Programs MBA (Master of Business Administration) MFA (Master of Fine Arts) MMM1 (Master of Metaphysical Management) MMM2/MM (Master of Metabolic Management, or Master of Madness) MGLF (Master of Great Leaps Forward) MTD (Master of Talent Development) G/GWGTD w/o C (Guy/Gal Who Gets Things Done without Certificate) DE (Doctor of Enthusiasm)

#3

Creativity: Short Takes Tom Peters/

Frameworks

Age of Agriculture Industrial Age Age of Information Intensification Age of Creation Intensification Source: Murikami Teruyasu, Nomura Research Institute

Agriculture Age (farmers) Industrial Age (factory workers) Information Age (knowledge workers) Conceptual Age (creators and empathizers) Source: Dan Pink, A Whole New Mind

“The Dawn of the Creative Age” “There’s a whole new class of workers in the U.S. that’s 38- million strong: the creative class. At its core are the scientists, engineers, architects, designers, educators, artists, musicians and entertainers whose economic function is to create new ideas, new technology, or new content. Also included are the creative professions of business and finance, law, healthcare and related fields, in which knowledge workers engage in complex problem solving that involves a great deal of independent judgment. Today the creative sector of the U.S. economy, broadly defined, employs more than 30% of the workforce (more than all of manufacturing) and accounts for more than half of all wage and salary income (some $2 trillion)—almost as much as the manufacturing and service sectors together. Indeed, the United States has now entered what I call the Creative Age.” —“America’s Looming Creativity Crisis”/ Richard Florida/ HBR/10.04

TP’s “New World of Work”/Circa 1995 Context: White-collar Bloodbath Work: WOW Projects! Individual: Brand You Org: PSF (Professional Service Firm) “Model”

#7

Tom Peters Squares Off with Jim Collins. Or: The Case for … Technicolor ! Tom Peters/

I. Good to Great II. Built to Last III. Quiet, Humble Leaders

Good to Great: Fannie Mae … Kroger … Walgreens … Philip Morris … Pitney Bowes … Abbott … Kimberly-Clark … Wells Fargo

Great Companies … SET THE AGENDA. (Period.)

AGENDA SETTERS: “Set the Table”/ Pioneers/ Questors/ Adventurers US Steel … Ford … Macy’s … Sears … Litton Industries … ITT … The Gap … Limited … Wal*Mart … P&G … 3M … Intel … IBM … Apple … Nokia … Cisco … Dell … MCI … Sun … Oracle … Microsoft … Enron … Schwab … GE … Southwest … Laker …People Express … Ogilvy … Chiat/Day … Virgin … eBay … Amazon … Sony … BMW … CNN …

I. Good to Great II. Built to Last III. Quiet, Humble Leaders

Built to Last v. Built to Flip “The problem with Built to Last is that it’s a romantic notion. Large companies are incapable of ongoing innovation, of ongoing flexibility.” “Increasingly, successful businesses will be ephemeral. They will be built to yield something of value – and once that value has been exhausted, they will vanish.” Fast Company

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

“The difficulties … arise from the inherent conflict between the need to control existing operations and the need to create the kind of environment that will permit new ideas to flourish—and old ones to die a timely death. … We believe that most corporations will find it impossible to match or outperform the market without abandoning the assumption of continuity. … The current apocalypse—the transition from a state of continuity to state of discontinuity—has the same suddenness [as the trauma that beset civilization in 1000 A.D.]” Richard Foster & Sarah Kaplan, “Creative Destruction” (The McKinsey Quarterly)

“The corporation as we know it, which is now 120 years old, is not likely to survive the next 25 years. Legally and financially, yes, but not structurally and economically.” Peter Drucker, Business 2.0

I. Good to Great II. Built to Last III. Quiet, Humble Leaders

Huh? “Humility: The Surprise Factor in Leadership … bosses with Gung- ho Qualities and Charisma May Be Out of Fashion” —Headline/FT/ re JCollins/10.03 (TP: scribble: “Nelson, Wellington, Montgomery, Disraeli, Churchill, Thatcher”)

Wellington Nelson Disraeli Churchill Montgomery Thatcher

“Humble” Pastels? T. Paine/P. Henry/A. Hamilton/T. Jefferson/B. Franklin A. Lincoln/U.S. Grant/W.T. Sherman TR/FDR/LBJ/RR/JFK Patton/Monty/Halsey M.L. King/C. de Gaulle/M. Gandhi/W. Churchill Picasso/Mozart/Copernicus/Newton/Einstein/Djarassi/Watson H. Clinton/G. Steinem/I. Gandhi/G. Meir/M. Thatcher E. Shockley/A. Grove/J. Welch/L. Gerstner/L. Ellison/B. Gates/ S. Jobs/S. McNealy/T. Turner/R. Murdoch/W. Wriston A. Carnegie/J.P. Morgan/H. Ford/S. Honda/J.D. Rockefeller/ T.A. Edison Rummy/Norm/Henry/Wolfie Elizabeth Cady Stanton/Susan B. Anthony/Martha Cary Thomas/Carrie Chapman Catt/Alice Paul/Anna Elizabeth Dickinson/Arabella Babb Mansfield/Margaret Sanger

“the wildest chimera of a moonstruck mind” —The Federalist on Jefferson’s Louisiana Purchase

Herman Melville on JPJ: “intrepid, unprincipled, reckless, predatory, with boundless ambition, civilized in externals but a savage at heart.” —from Evan Thomas, John Paul Jones: Sailor, Hero, Father of the American Navy

“a vainglorious self- promoter spoiling for a fight” —Arthur Koestler on Galileo

“In my experience, all successful commanders are prima donnas, and must be so treated.” —George S. Patton

Jim Collins vs. Michael Maccoby “quiet, workmanlike, stoic” vs. “larger-than-life leaders”/ “egoists, charmers, risk-takers with big visions”: Carnegie, Rockefeller, Edison, Ford, Welch, Jobs, Gates

“In Italy for 30 years under the Borgias they had warfare, terror, murder, bloodshed—and produced Michelangelo, da Vinci and the Renaissance. In Switzerland they had brotherly love, 500 years of democracy and peace, and what did they produce—the cuckoo clock.” Orson Welles, as Harry Lime, in The Third Man

#5

Tom Peters’ The Talent 50

The Talent50 1. People first! 2. Soft is Hard. 3. FUNDAMENTAL PREMISE: We are in an Age of Talent/ Creativity/ Intellectual-capital Added. 4. Talent “excellence” in every part of the organization. 5. P.O.T./Pursuit Of Talent = Obsession. 6. HR sits at The Head Table. 7. HR is “cool.”

The Talent50 8. Re-name “HR.” (Talent Department, Center of Talent Excellence) 9. There’s an HR Strategy 10. There is a FORMAL Recruitment Strategy. 11. There is a FORMAL Leadership Development Strategy. 12. There is a “world class” Leadership Development Center. 13. There is a FORMAL-STRATEGIC HR Review Process. 14. The “Top100,” and every unit’s Top10, are consciously managed.

The Talent “People/Talent Reviews” are the FIRST reviews. 16. HR Strategy = Business Strategy. 17. Make it a Cause Worth Signing Up For Set Sky High Standards. 19. Enlist everyone in Challenge Century Pursue the Best! 21. Up or Out. 22. Ensure that the Review Process has INTEGRITY. 23. Pay!

The Talent Training I: Train! Train! Train! 25. TII: 100% “business people.” 26. TIII: 100% Leaders. 27. TIV: Boss as Trainer-in-Chief. 28. Open Communication I: NO BARRIERS. 29. Open Communication II: Share Information. (ALL!) 30. Respect! 31. INTEGRITY! 32. Treat the Whole Individual.

The Talent Places of “grace.” 34. MBWA: The “Rudy Rule.” 35. Thank You! 36. Promote for “people skills.” (ALL ELSE IS SECONDARY.) 37. Honor youth. 38. Early leadership assignments. 39. Fast Tracking is the norm. 40. Create a System of Mentoring.

The Talent Diversity! 42. Diversity starts on the Board of Directors. 43. WOMEN RULE. 44. Weird Wins. 45. We are all unique. 46. Bosses “win people over.” 47. GOAL: Adventures of Mutual Discovery. 48. Foster Independence. 49. Enthusiasm!

The Talent Talent = Brand.