(Fire!Fire!Fire!).ppt

Rollercoaster Days:Learning to Rock&Roll!PMMI/West Palm Beach04.03.2001,“There will be more confusion in the business world in the next decade than in any decade in history.And the current pace of change will only accelerate.”Steve Case,“In 25 years,youll probably be able to get the sum total of all human knowledge on a personal device.”Greg Blonder,VC was Chief Technical Adviser for Corporate Strategy AT&T Barrons 11.13.2000,prior 900 years1900s:1st 20 years 1800s2000:10 years for paradigm shift 21st century:1000X tech change than 20th century(“the Singularity,a merger between humans and computers that is so rapid and profound it represents a rupture in the fabric of human history”)Ray Kurzweil,talk april2001,“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(08.00),“We are in a brawl with no rules.”Paul Allaire,The Kotler Doctrine:1965-1980:R.A.F.(Ready.Aim.Fire.)1980-1995:R.F.A.(Ready.Fire!Aim.)1995-?:F.F.F.(Fire!Fire!Fire!),John Roths“Rules”Nortel1.Our strategies must be tied to leading-edge customers on the attack.2.Time cannot be sacrificed for better quality,lower cost,or even better decisions.3.It doesnt matter whether you develop or acquire leading technology.Our job is to provide the technology and products our customers need.4.Success is achieved by leading change,not waiting for it.5.We are paranoid about our leadership willing to cannibalize our own products to maintain our edge.Source:Abridged from The Wall Street Journal(07.25.00),“It used to be that the big ate the small.Now the fast eat the slow.”Geoff Yang,IVP/(Institutional Venture Partners),Read It Closely:“We dont sell insurance anymore.We sell speed.”Peter Lewis,Progressive,JY:Who do you fear most,big companies or start-ups?JC:I have a list with a dozen little companies Im tracking closely.Guys who can start with a fresh sheet of paper have an enormous advantage technologically.We have to carefully integrate new capabilities into our existing product line,they dont.”Source:Jeffrey Young,Cisco Unauthorized,StructurePart I:Brand InsidePart II:Brand OutsidePart III:Brand Leadership,Part I:Brand InsidePart II:Brand OutsidePart III:Brand Leadership,Forces Work IThe Destruction Imperative!,Forget“Learn”“The problem is never how to get new,innovative thoughts into your mind,but how to get the old ones out.”Dee Hock,“Acquisitions are about buying market share.Our challenge is to create markets.There is a big difference.”Peter Job,CEO,Reuters,“Our ideal acquisition is a small startup that has a great technology product on the drawing board that is going to come out in six to twelve months.We buy the engineers and the next generation product.”John Chambers,Cisco,The New Ge WayDYB.com,The Gales of Creative Destruction+29M=-44M+73M+4M=+4M-0M,Brand InsideBrand Org:Lean,Linked,Electronic&Malleable,White Collar Revolution!,108 X 5vs.8 X 1*540 vs.8(-98.5%),RR on“Assetless”J.B.Sara Lee“The most profitable businesses in the future will act as knowledge brokers,linking insights into whats available with insights into the customers individual needs and preferences.”,Cisco,Dell=Brand-owning companies who sell Customer SatisfactionSource:David Schneider&Grady Means,MetaCapitalism e.g.:Cisco owns 2 of 38 assembly plants,Brand InsideBrand Work:The Professional Service Firm Model,The WOW Project,and The New Worker,So what will be the Basic Building Block of the New Org?,Answer:PSF!Professional Service FirmDepartment Head to Managing Partner,HR IS,etc.Inc.,“P.S.F.”:SummaryH.V.A.Projects(100%)Pioneer ClientsWOW Work(see below)Hot“Talent”(see below)“Adventurous”“culture”Proprietary Point of View(Methodology)W.W.P.F.(100%)/Outside Clients(25%)When:Now!,09.11.2000:HP bids$18,000,000,000for PricewaterhouseCoopersConsulting business!(31K bods),“These days,building the best server isnt enough.Thats the price of entry.”Ann Livermore,Hewlett Packard,The Raw Material The WOW Project!,“Reward excellent failures.Punish mediocre successes.”Phil Daniels,Sydney exec,“If there is nothing very special about your work,no matter how hard you apply yourself,you wont get noticed,and that increasingly means you wont get paid much either.”Michael Goldhaber,Wired,Minimum New Work SurvivalSkillsKit2000MasteryRolodex Obsession(vert.to horiz.“loyalty”)Finishing SkillsEntrepreneurial InstinctCEO/Leader/BusinesspersonMistress of ImprovSense of HumorIntense Appetite for TechnologyGroveling Before the YoungEmbracing“Marketing”Passion for Renewal,“Knowledge becomes obsolete incredibly fast.The continuing professional education of adults is the No.1 industry in the next 30 years mostly on line.”Peter Drucker,Business 2.0(22August2000),Invent.Reinvent.Repeat.Source:HP banner ad,Brand InsideBrand Talent:The Great War for Talent,“When land was the productive asset,nations battled over it.The same is happening now for talented people.”Stan Davis&Christopher Meyer,futureWEALTH,“We have transitioned from an asset-based strategy to a talent-based strategy.”Jeff Skilling,COO,Enron,From“1,2 or youre out”JW to“Best Talent in each industry segment to build best proprietary intangibles”EMSource:Ed Michaels,War for Talent(05.17.00),“We believe companies can increase their market cap 50 percent in 3 years.Steve Macadam at Georgia Pacific changed 20 of his 40 box plant managers to put more talented,higher paid managers in charge.He increased profitability from$25 million to$80 million in 2 years.”Ed Michaels,War for Talent(05.17.00),Message:Some people are better than other people.Some people are a helluva lot better than other people.,“Top performing companies are two to four times more likely than the rest to pay what it takes to prevent losing top performers.”Ed Michaels,War for Talent(05.17.00),So-so plant manager,$1M per year.Pay:$110,000 plus$60,000.Top plant manager,$3-4M per year.Pay:$135,000 plus$90,000.Net:$2-3M for$50K.Source:Ed Michaels et al.,The War for Talent,re Georgia Pacific,What gets measured gets done.What gets paid for gets done more.What gets paid a lot for gets done a lot more.,“Why focus on these late teens and twenty-somethings?Because they are the first young who are both in a position to change the world,and are actually doing so.For the first time in history,children are more comfortable,knowledgeable and literate than their parents about an innovation central to society.The Internet has triggered the first industrial revolution in history to be led by the young.”The Economist 12/2000,“Talented people are less likely to wait their turn.We used to view young people as trainees;now they are authorities.Arguably this is the first time the older generation can and must leverage the younger generation very early in their careers.”Ed Michaels,War for Talent(05.17.00),“Where do good new ideas come from?Thats simple!From differences.Creativity comes from unlikely juxtapositions.The best way to maximize differences is to mix ages,cultures and disciplines.”Nicholas Negroponte,The Cracked Ones Let in the Light“Our business needs a massive transfusion of talent,and talent,I believe,is most likely to be found among non-conformists,dissenters and rebels.”David Ogilvy,“AS LEADERS,WOMEN RULE:New Studies find that female managers outshine their male counterparts in almost every measure”Title,Special Report,Business Week,11.20.00,Women and new-economy management,The New Economy Shout goodbye to“command and control”!Shout goodbye to hierarchy!Shout goodbye to“knowing ones place”!,Womens Stuff=New Economy MatchImprov skillsRelationship-centricLess“rank consciousness”Self determinedTrust sensitive IntuitiveNatural“empowerment freaks”less threatened by strong peopleIntrinsic motivation Extrinsic,“TAKE THIS QUICK QUIZ:Who manages more things at once?Who puts more effort into their appearance?Who usually takes care of the details?Who finds it easier to meet new people?Who asks more questions in a conversation?Who is a better listener?Who has more interest in communication skills?Who is more inclined to get involved?Who encourages harmony and agreement?Who has better intuition?Who works with a longer to do list?Who enjoys a recap to the days events?Who is better at keeping in touch with others?”Source:Selling Is a Womans Game:15 Powerful Reasons Why Women Can Outsell Men,Nicki Joy&Susan Kane-Benson,“Boys are trained in a way that will make them irrelevant.”Phil Slater,Okay,you think Ive gone tooooo far.How about this:DO ANY OF YOU SUFFER FROM TOO MUCH TALENT?,MantraM3Talent=Brand,Whats your companys EVP?Employee Value Proposition,per Ed Michaels et al.,The War for Talent,EVP=Challenge,professional growth,respect,satisfaction,opportunity,reward EVP=“The companys fingerprint”=B.P.Source:Ed Michaels et al.,The War for Talent,Goal of the Year No.1*:Find-Develop-Mentor ONE Extraordinary Person.*CEO,large financial advisory firm,April 2001,Brand InsideReprise:THINK WEIRD:The High Standard Deviation Enterprise,Saviors-in-WaitingDisgruntled CustomersFringe CompetitorsRogue EmployeesEdge SuppliersWayne Burkan,Wide Angle Vision:Beat the Competition by Focusing on Fringe Competitors,Lost Customers,and Rogue Employees,Button-down Org H.S.D.E.,Acquire for market shareSuck up to biggest customersPursue“strategic vendors”Bigger is betterAccept assignments as givenHire 4.0s from“top schools”Promote when theyve“paid their dues”Appoint a“prestigious”boardHang out with my palsR.A.F.Be“professional”at all times/Honor thine elders,Acquire for innovationPartner with cool customersSeek out pioneering vendorsBreak it up to refreshReframe all tasks to innovateHire“intriguing,”whereverPromote tomorrow if the work product is weird and WOWAppoint an interesting,headstrong boardTake a freak to lunch todayF.F.F.Stay loose,stay cool/The hell with thine elders,“But dont we need some grout between the tiles?”,N.W.O.:Was Is Is,Pine-paneled OfficeAddress:1 Big Man PlazaSecretarySuit Formal Rank consciousPretense(“Failures are for fools.”)I love“Yes men”Self-contained,Seat 9B,UA233Address:AnneCTyping:60 WPMCasual M-FApproachableWe are a HOT Team Screwing up is as normal as breathingI love Misfits!I love partners,Part I:Brand InsidePart II:Brand OutsidePart III:Brand Leadership,Forces Work IIThe Commodity Trap,Quality Not Enough!“While everything may be better,it is also increasingly the same.”Paul Goldberger on retail,“The Sameness of Things,”The New York Times,“We make over three new product announcements a day.Can you remember them?Our customers cant!”Carly Fiorina,“The surplus society has a surplus of similar companies,employing similar people,with similar educational backgrounds,working in similar jobs,coming up with similar ideas,producing similar things,with similar prices and similar quality.”Kjell Nordstrom and Jonas Ridderstrale,Funky Business,“Companies have defined so much best practice that they are now more or less identical.”Jesper Kunde,A Unique Moment,Brand OutsideStrategy 1:Lead the Customer!,“If you worship at the throne of the voice of the customer,youll get only incremental advances.”Joseph Morone,President,Bentley College,“Our strategies must be tied to leading edge customers on the attack.If we focus on the defensive customers,we will also become defensive.”John Roth,CEO,Nortel,Brand OutsideStrategy 2:Use E-Commerce to Re-invent Everything!,Tomorrow Today:Cisco!90%of$20B(=$50M/day)75%mfg.outsourced;50%of orders routed to supplier who ships directGross margin:65%;Net margin:28%Annual savings in service and support from customer self-management:$550M,Enron eWorld:“Price a structured trade,”per John Arnold,26:Early 1999:30 times a day.Late 2000:30 times per minute.Long-term gas contract.1989:9 months,400+deals.Late 90s:2 weeks,2 per week.Late 2000:5 such deals per daySource:(1-2/2001),“This is the first meter of a 10-kilometer race.Eventually,all markets will come to resemble todays foreign exchange market.”Hamid Biglari,Head of Corporate Strategy,Citigroup,in“GIGATRENDS,”Wired 04.01,Tomorrow Today:Cisco!90%of$20B;save$550MC.Sat e C.Sat HCustomer Engineer Chat Rooms/Collaborative Design($1B“free”consulting)(45,000 customer problems a week solved via customer collaboration),Welcome to D.I.Y.Nation!“Changes in business processes will emphasize self service.Your costs as a business go down and perceived service goes up because customers are conducting it themselves.”Ray Lane,Oracle,“One cannot be tentative about this.Excuses like channel conflict or marketing and sales arent ready cannot be allowed.Delay and you risk being cut out of your own market,perhaps not by traditional competitors but by companies you never heard of 24 months ago.”Jack Welch 07.00/F,“Weve put the word out to all of our suppliers:by the end of the year 2000 well only do purchasing over the Internet.”John Paterson,C.P.O.,IBM$50B from 18,000 suppliers,WebWorld=Everything Web as a way to run your businesss innardsWeb as connector for your entire supply-demand chain Web as“spiders web”which re-conceives the industryWeb/B2B as ultimate wake-up call to“commodity producers”Web as the scourge of slack,inefficiency,sloth,bureaucracy,poor customer dataWeb as an Encompassing Way of LifeWeb=Everything(P.D.to after-sales)Web forces you to focus on what you do bestWeb as entre,at any size,to Worlds Best at Everything as next door neighbor,“Ebusiness is about rebuilding the organization from the ground up.Most companies today are not built to exploit the Internet.Their business processes,their approvals,their hierarchies,the number of people they employ all of that is wrong for running an ebusiness.”Ray Lane,Kleiner Perkins,“There is no use trying,”said Alice.“One cant believe impossible things.”“I daresay you havent had much practice,”said the Queen.“When I was your age,I always did it for half an hour a day.Why,sometimes Ive believed as many as six impossible things before breakfast.”Lewis Carroll,Inet allows you to dream dreams you could never have imagined before!,Brand OutsideStrategy 3:Design Matters!,All Equal Except“At Sony we assume that all products of our competitors have basically the same technology,price,performance and features.Design is the only thing that differentiates one product from another in the marketplace.”Norio Ohga,“We dont have a good language to talk about this kind of thing.In most peoples vocabularies,design means veneer.But to me,nothing could be further from the meaning of design.Design is the fundamental soul of a man-made creation.”Steve Jobs,Design“is”WHAT&WHY I LOVE.LOVE.,I LOVE my ZYLISS Garlic Peeler!,Design“is”WHY I GET MAD.MAD.,Wanted:Dead preferably or Alive:THE DESIGNER OF MY RADIO SHACK PHONE.Major Reward!,Design is never neutral.,Hypothesis:DESIGN is the principal difference between love and hate!,THE BASE CASE:I am a design fanatic.Personally,though not“artistic,”Im a cool-stuff guy.I love what I love and I hate what I hate.Openly.But it goes much further,far beyond the personal.Desig