KEEPING YOUR COMPETITIVE ADVANTAGE

Make or Break CultureTM

Dan BarnettCEO/ Owner, The Primavera CompanyInternational Speaker/ ConsultantChair, Vistage Advisory BoardsCell: 775.843.0517Email: dan@makeorbreakexecution.com dan.barnett@vistagechair.comTwitter: @DCBarnett Website: www.makeorbreakexecution.com

Chair Excellence AwardVistage International 2015

The 500 ClubVistage International 2014

Overseas Speaker of the Year TEC Australia 2011- 2012

Fast Track Speaker of the YearVistage International 2010

U. S. Speaker of the YearTEC Canada 2009

We hire human beings

Beliefs

Behaviours

Results

CultureLimbic

NeoCortex

THE RESULT

What is Your Culture?Beliefs

Mission

Vision

BehaviourValues

Activity

Rituals

Leadership Perspective

Review

CultureAssumptions, beliefs, values, customs and

behaviours of an organisations employees,

supervisors and leaders.

Culture

“The way we do things around here.”

Enron had a Values StatementFirst item on the list was “Integrity”

The only real value at Enron was “20% growth every year and we don’t care how you get it”.

Culture is Not a Values Statement

The actual company valuesas opposed to the

nice sounding values in your statement are shown by

who gets rewarded, promoted, hired or let go

Private Label Market Share6

8

10

12

14

16

18

Gross Margin $

41% Increase

45% Increase

WeyerhaeuserHow much should you invest in Culture?

Culture: Quality

Culture Is not “soft” It is about Performance It takes Performance to a Higher Level

Defines “high performers” who also

do things “the right way”

Pillsbury: Van de Kamp’sCulture Delivers What Customers Want - Hire for Culture First

Culture: Freshness The Tribe

1981 19870%

5%

10%

15%

20%

25%

30%28%

20%

11%

22%

Market Share

Mrs. Paul's

Van de Kamp's Frozen Fish

Year 1 Year 6

What is Your Culture?All Good Performance Starts with Clear Direction

Mission: (External Focus – Broadcast to the World – Your Customers Want It)

Inspires your people to do their personal best. What mountain do we want to climb? More than a business case. It is what we stand for.

Vision: (Internal Focus – The future - for your people) Describes the future Start with your people – they create your success

- Clear and Specific – Measurable

What is Your Culture?

Mission (Inspires your people, your customers want it -

broadcast to the world): ___________________________________________________________________________________________________________________________________________________

Vision (Describes your future to your people - internal): ___________________________________________________________________________________________________________________________________________________

What is Your Culture?Beliefs

Mission

Vision

BehaviourValues

Activity

Rituals

Leadership Perspective

Dan’s Creed Treat people the way

you want to be treated Make the Numbers Have Fun

63

172

0

20

40

60

80

100

120

140

160

180

1991 1994

Sales (Millions)

Juicy Juice

Sales (Millions)

Nestlé : Juicy JuiceGet Everyone on Board : Lead It Yourself

Year 1 Year 3

What are Your Values?

Values:

1. _________________________________

2. _________________________________

3. _________________________________

4. _________________________________

5. _________________________________

It is not “soft” Rank Order Your Values

Include something like: Make the Numbers, Sustainable Results, Do More with Less

Vistage Membership, 1957 - Present

13,011

12,173

10,700

9,201

6,440

7,508

4,369

2,174

49026815050

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

1957 - 1997 4,000 Members in 40 Years

2003 - 2006 4,000 Members in 3 Years

1997 - 2003 4,000 Members in 5 Years

14,400

2008

Vistage: Convert Values to BehavioursValues: 1. Trust 2. Growth 3. Challenge 4. Caring

(Added “Hard Work” and “Fresh Thinking”)

Convert Values to Behaviour

Value: _____________________________

Behaviours: (List several behaviours that you want to see around that value)

1. _________________________________

2. _________________________________

3. _________________________________

4. _________________________________

Repeat for Each Value

Culture Rituals

Consistent Behaviours Do something 100 times and it becomes

embedded in you. 10,000 times and you are a master

Create Rituals that focus your people on certain behaviours consistently.

Daily huddles Repeat a Value before Every Meeting Weekly reviews Book-club Monthly all-hands meeting

Create a Ritual for Your Core Behaviours

Core Behaviour ____________________

Ritual (Repeat for all core behaviours)

_________________________________

_________________________________

It Takes 10,000 Repetitions to Master Something

Culture

Language A common language creates a sense of

belonging “Mistakes” versus “Learning Moment” “Tribe” versus “Company” “Juiceville” versus the “Juice Division” “Maniacs” versus “Committed” “Warrior’s Spirit”, “Servant's Heart”, “Fun-Luving

Attitude”

Culture Leadership Perspective

What do you stand for as a leader

Mine Do what you say you will - Integrity Listen to and respect others Try new things – courage Learn from your mistakes Treat others the way you want to be treated Make the numbers Work hard Have fun

What is Your Leadership Perspective?

Leadership Perspective: (What you stand for as a leader)

1. _________________________________

2. _________________________________

3. _________________________________

Develop these with your leaders

- - -

10. ______________________________________

Culture – get extraordinary results from people

Define your Culture Lead the Culture yourself

Reinforce every day Not soft – people get recognized, rewarded, promoted or let go

Invest in your Culture

Extraordinary Culture Customers Want It – competitive advantage Hire for culture first Performance Reviews/ Bonuses – accountability and recognition Language – sense of belonging Rituals – Consistent Behaviors Leadership Perspective – consistent leadership