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LONG Tom Peters’ Re-Imagine EXCELLENCE ! HR Indiana Indianapolis/27 August 2014

LONG Tom Peters’ Re-Imagine EXCELLENCE ! HR Indiana Indianapolis/27 August 2014 Slides at tompeters.com (Also see our 23-part Master Compendium at excellencenow.com). OPENERS. Wegmans (was #1 in USA) Container Store (was #1 in USA) Whole Foods Costco Publix Darden Restaurants

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LONG Tom Peters’ Re-Imagine EXCELLENCE ! HR Indiana Indianapolis/27 August 2014

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  1. LONG Tom Peters’ Re-ImagineEXCELLENCE! HR Indiana Indianapolis/27 August 2014 Slides at tompeters.com (Also see our 23-part Master Compendium at excellencenow.com)

  2. OPENERS

  3. Wegmans (was #1 in USA) Container Store (was #1 in USA) Whole Foods Costco Publix Darden Restaurants Build-A-Bear Workshops Starbucks

  4. Wegmans (was #1 in USA) Container Store (was #1 in USA) Whole Foods Costco Publix Darden Restaurants Build-A-Bear Workshops Starbucks

  5. 2X

  6. “The greatest satisfaction for management has come not from the financial growth of Camellia itself, but rather from having participated in the vast improvement in the living and working conditions of its employees, resulting from the investment of many tens of millions of pounds into the tea gardens’ infrastructure of roads, factories, hospitals, employees’ housing and amenities. … Within the Camellia Group there is a strong aesthetic dimension, an intention that it should comprise companies and assets of the highest quality, operating from inspiring offices and manufacturing in state of the art facilities.… Above all, there is a deep concern for the welfare of each employee. This arises not only froma sense of humanity, but also fromthe conviction that the loyalty of a secure and enthusiastic employee will in the long term prove to be an invaluable company asset.”—Camellia: A Very Different Company($600M/$160M/$100M)

  7. “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.

  8. 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!

  9. 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, per Csikszentmihalyi, 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 ISthe 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?) growth and profitability.

  10. “The notion that corporate law requires directors, executives, and employees to maximize shareholder wealth simply isn’t true. There is no solid legal support for the claim that directors and executives in U.S. public corporations have an enforceable legal duty to maximize shareholder wealth. The idea is fable.”—Lynn Stout, professor of corporate and business law, Cornell Law school, in The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public

  11. “On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main are your employees, your customers and your products.”—Jack Welch, FT, 0313.09, page 1

  12. Top Team/Circa 2014CEOCOO Chief Operating OfficerCPO (CTO)CFO CITO CDEO (CSMO)CDTO CSCO CSMO

  13. Top Team/Circa 2014CEO/Chief Executive OfficerCOO/Chief Operating OfficerCPO/Chief People Officer (CTO/Chief Training Officer)CFO/Chief Financial OfficerCITO/Chief Innovation & Tempo Officer CDEO/Chief Design & Experience Officer(CSMO/Chief Social Media Officer)CDTO/Chief Digital Technology OfficerCSCO/Chief Supply Chain OfficerCSMO/Chief Sales & Marketing Officer

  14. 6/2/3* *It takes Jerry Seinfeld SIX MONTHS to develop TWO or THREE MINUTES of new material (documentary: Comedian)

  15. “G-E-N-I-U-S” Getting more and more cantankerous (short tempered!) 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 to give customers a great experience.

  16. CONTEXT

  17. “The American economy [GNP/2010] is about as big as the next three together —two of which, Japan and Germany, are allies of over sixty years’ standing. … Taking the longer view [espoused by declinists] , one would expect that the American share of the global economy had been shrinking as the various upstarts kept rising. Over the past 40 years, though, the U.S. share has remained remarkably constant. USA share of world GDP was 27 percent in 1970 and 25.4 percent in 2012. So somebody else must be contracting faster than the United States to make room for the expanding rest. The losers in the great GDP race are the two great risers of the past, Europe and Japan.”—Josef Joffe, publisher-editor of Die Zeit, in The Myth of America’s Decline: Politics, Economics, and a Half Century of False Prophecies

  18. “Not Dead Yet” BRIC/2011: $11T/$4K per capita USA/2011: $16T/$48K per capita USA/2000: 4% population/ 30% world GDP USA/2010: 4% population/ 28% world GDP Source: Daniel Gross, The Myth of American Decline and the Growth of a New Economy

  19. iPad/$4 billionof $300 billion negative USA trade balance with China (2011)

  20. Cost/Profit Components:Total labor 7%(Chinese labor: 2%)Materials 31%Distribution: 15%Profit: 47%Landed iPad cost: $275 = ImputedUSA negative trade balance with China(Actual China cost: $10)Source: Personal Computing Industry Centre (Economist)

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

  22. “Mr. Foster and his McKinsey colleagues collected detailed performance data stretching back 40 years for 1,000 U.S. companies.They found thatNONEofthe long-term survivors managed to outperform the market. Worse, the longer companies had been in the database, the worse they did.”—Financial Times

  23. GeneticsRoboticsInformaticsNanotechnology

  24. 1/721: “The greatest shortcoming of the human race is our inability to understand the exponential function.” —Albert A. Bartlett

  25. China/Foxconn: 1,000,000robots/next 3 years Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee

  26. “Automation has become so sophisticated that on a typical passenger flight, a human pilot holds the controls for a grand total of …3minutes. [Pilots] have become, it’s not much of an exaggeration to say, computer operators.” Source: Nicholas Carr, “The Great Forgetting,” the Atlantic, 11.13

  27. “Meet Your Next Surgeon: Dr. Robot” Source: Feature/Fortune/15 JAN 2013/on Intuitive Surgical’s da Vinci/multiple bypass heart-surgery robot

  28. “Just like other members of the board, the algorithm gets to vote on whether the firm makes an investment in a specific company or not. The program will be the sixth member of DKV's board.” Source: Business Insider, 13 May 2014: “A Hong Kong VC fund has just appointed an algorithm to its board.”

  29. Persado(vs. copywriter): emotion words, product characteristics, “call to action,” position of text, images Up To $250 To Spend On All Ships In All Destinations. 2 Days Left (1.3%) vs. No kidding! You Qualify to Experience An Incredible Vacation With Us :-) (4.1)“A creative person is good but random. We’ve taken the randomness out by building an ontology of language” —Lawrence Whittle, head of sales Source: Wall Street Journal/ 0825.14/ “It’s Finally Time to Take AI Seriously”

  30. Walmart SV =1,500

  31. IoT/The Internet of Things IoE/The Internet of Everything M2M/Machine-to-Machine Ubiquitous computing Embedded computing Pervasive computing Industrial Internet 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!)

  32. “Human level capability has not turned out to be a special stopping point from an engineering perspective. ….” Source: Illah Reza Nourbakhsh, Professor of Robotics, Carnegie Mellon, Robot Futures

  33. “The root of our problem is not that we’re in a Great Recession or a Great Stagnation, but rather that we are in the early throes of a Great Restructuring. Our technologies are racing ahead, but our skills and organizations are lagging behind.” Source: Race AGAINST the Machine, Erik Brynjolfsson and Andrew McAfee

  34. “The median worker is losing the race against the machine.” —Erik Brynjolfsson and Andrew McAfee, Race Against The Machine

  35. “Predictions based on correlations lie at the heart of big data.” Source: Big Data: A Revolution That Will Transform How We Live, Work, and Think, by Viktor Mayer-Schonberger and Kenneth Cukier

  36. The Crowd Sourced Performance Review “By harnessing the ‘wisdom of crowds,’ many subjective observations taken together provide a more objective and accurate picture of an employee’s performance than a single subjective judgment. It averages out prejudice or baggage on the part of both manager and employee.”—Eric Mosley, The Crowd Sourced Performance Review

  37. “Flash forward to dystopia. You work in a chic cubicle, sucking chicken-flavor sustenance from a tube. You’re furiously maneuvering with a joystick … Your boss stops by and gives you a look. ‘We need to talk about your loyalty to this company.’The organization you work for has deduced that you are considering quitting. It predicts your plans and intentions, possibly before you have even conceived them.”—Eric Siegel, Predictive Analytics: The Power to Predict Who Will Click, Buy, Lie, or Die (based on a real case, an HP “Flight risk” PA model developed by HR, with astronomical savings potential)

  38. “I can’t tell you how many times we passed up hotshots for guys we thought were better people… and watched our guys do a lot better than the big names, not just in the classroom, but on the field—and, naturally, after they graduated, too. Again and again, the blue chips faded out, and our little up-and-comers clawed their way to all-conference and All-America teams.” —Bo Schembechler & John Bacon), “Recruit for Character,” Bo’s Lasting Lessons

  39. Biz 2014: Get Aboard the “S-Train” SM/Social Media. SX/Social eXecutives. SE/Social Employees. SO/Social Organization. SB/Social Business.

  40. Seven Characteristics of the Social Employee 1. Engaged 2. Expects Integration of the Personal and Professional 3. Buys Into the Brand’s Story 4. Born Collaborator 5. Listens 6. Customer-Centric 7. Empowered Change Agent Source: Cheryl Burgess & Mark Burgess, The Social Employee

  41. Marbles, a Ball and Social Employees ay IBM “Picture a ball and a bag of marbles side by side. The two items might have the same volume—that is, if you dropped them into a bucket, they would displace the same amount of water. The difference, however, lies in the surface area, Because a bag of marbles is comprised of several individual pieces, the combined surface area of all the marbles far outstrips the surface area of a single ball. The expanded surface area represents a social brand’s increased diversity. These surfaces connect and interact with each other in unique ways, offering customers and employees alike a variety of paths toward a myriad of solutions. If none of the paths prove to be suitable, social employees can carve out new paths on their own.”—Ethan McCarty, Director of Enterprise Social Strategy, IBM (from Cheryl Burgess & Mark Burgess, The Social Employee

  42. Circa 3013: And YOUTH Shall Lead Us …60 IS THE NEW 40!70 IS THE NEW 50!And/Or …35 IS THE NEW 65?**Pace of obsolescence STAGGERING/ACCELERATING

  43. AND YOU …

  44. “If I had to pick one failing of CEOs, it’s that … —Co-founder of one of the largest investment services firms in the USA/world

  45. “If I had to pick one failing of CEOs, it’s that …they don’t read enough.”

  46. “In my whole life, I have known no wise people (over a broad subject matter area) who didn’t read all the time — none. Zero. You’d be amazed at how much Warren [Buffett] reads — and how much I read.” —Charlie Munger (Berkshire Hathaway)

  47. !

  48. Kevin Roberts’ Credo1. Ready. Fire! Aim.2. If it ain’t broke ... Break it!3. Hire crazies.4. Ask dumb questions.5. Pursue failure.6. Lead, follow ... or get out of the way!7. Spread confusion.8. Ditch your office.9. Read odd stuff.10.AVOID MODERATION!

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

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