Tom Peters’Tom Peters’

The Best DEFENSE.The Best DEFENSE.The Best OFFENSE.The Best OFFENSE.

EXCELLENCE.EXCELLENCE.

New Zealand Initiative/Auckland/13 March 2014New Zealand Initiative/Auckland/13 March 2014(Slides at tompeters.com; also see excellencenow.com)(Slides at tompeters.com; also see excellencenow.com)

““The greatest satisfaction for management has come not The greatest satisfaction for management has come not from the financial growth of Camellia itself, but rather from from the financial growth of Camellia itself, but rather from

having participated in the vast improvement in the living and having participated in the vast improvement in the living and working conditions of its employees, resulting from the working conditions of its employees, resulting from the

investment of many tens of millions of pounds into the tea investment of many tens of millions of pounds into the tea gardens’ infrastructure of roads, factories, hospitals, gardens’ infrastructure of roads, factories, hospitals,

employees’ housing and amenities. … Within the Camellia employees’ housing and amenities. … Within the Camellia Group there is a strong aesthetic dimension, an intention that Group there is a strong aesthetic dimension, an intention that

it should comprise companies and assets of the highest it should comprise companies and assets of the highest quality, operating from inspiring offices and manufacturing in quality, operating from inspiring offices and manufacturing in

state of the art facilities. state of the art facilities. … … Above all, there is a deeAbove all, there is a deepp concern for the welfare of each emconcern for the welfare of each empploloyyee. ee.

This arises not onlThis arises not onlyy from a sense of humanit from a sense of humanity,y, but also from the conviction that the lobut also from the conviction that the loyyaltaltyy of of a secure and enthusiastic ema secure and enthusiastic empploloyyee will in the ee will in the lonlongg-term -term pprove to be an invaluable comrove to be an invaluable comppany any

assetasset.”.” ——Camellia: A Very Different CompanyCamellia: A Very Different Company [$600M/$160M/$100[$600M/$160M/$100M]M]

““It may sound radical, unconventional, and bordering on It may sound radical, unconventional, and bordering on being a crazy business idea. being a crazy business idea. HoweverHowever— — as ridiculous as it as ridiculous as it sounds—sounds—jjooyy is the core belief of our work is the core belief of our workpplacelace.. Joy is the Joy is the

reason my company, Menlo Innovations, a customer reason my company, Menlo Innovations, a customer software design and development firm in Ann Arbor, software design and development firm in Ann Arbor,

exists. It defines what we do and how we do it. It is the exists. It defines what we do and how we do it. It is the single shared belief of our entire team.” single shared belief of our entire team.”

——Richard Sheridan, Richard Sheridan, Joy, Inc.: How We Built a Workplace People LoveJoy, Inc.: How We Built a Workplace People Love

““joy at work”:joy at work”: “In a world where customers wake up every “In a world where customers wake up every morning asking, ‘What’s new, what’s different, what’s morning asking, ‘What’s new, what’s different, what’s

amazing?’ amazing?’ … … success* depends on a comsuccess* depends on a comppananyy’s abilit’s abilityy to to unleash initiative, imaunleash initiative, imaggination and ination and ppassion of emassion of empploloyyees ees at all levelsat all levels ——and this can onland this can onlyy ha happppen if all those folks en if all those folks

are connected heart and soul to their are connected heart and soul to their work [their work [their ‘callin‘callingg’], their com’], their comppananyy and their mission. and their mission.””

——John Mackey and Raj SisodaJohn Mackey and Raj Sisoda,, Liberating the Heroic Spirit of BusinessLiberating the Heroic Spirit of Business

*“Contrary to conventional corporate thinking, treating retail workers much better may make *“Contrary to conventional corporate thinking, treating retail workers much better may make everyone (including their employers) much richer.” —New York Times/ everyone (including their employers) much richer.” —New York Times/ 01.05.14 (Cited in 01.05.14 (Cited in

particular, “The Good Jobs Strategy,” by M.I.T. professor Zeynep Ton)particular, “The Good Jobs Strategy,” by M.I.T. professor Zeynep Ton)

EXCELLENT customer EXCELLENT customer experience depends experience depends

entirely on …entirely on … EXCELLENT employee EXCELLENT employee

experience!experience!

If you want to WOW your If you want to WOW your customers …customers …

FIRST you must WOW FIRST you must WOW those who WOW the those who WOW the

customerscustomers!!

Our Mission

TO DEVELOP AND MANAGE TALENT;TO DEVELOP AND MANAGE TALENT;TO APPLY THAT TALENT,TO APPLY THAT TALENT,

THROUGHOUT THE WORLD, THROUGHOUT THE WORLD, FOR THE BENEFIT OF CLIENTS;FOR THE BENEFIT OF CLIENTS;TO DO SO IN PARTNERSHIP; TO DO SO IN PARTNERSHIP;

TO DO SO WITH PROFIT.TO DO SO WITH PROFIT.

WPP

CORPORATE MANDATE #1 2014:CORPORATE MANDATE #1 2014: Your Your principal moral obligation as a principal moral obligation as a

leader is to develop the skillset, leader is to develop the skillset, “soft” and “hard,” of every one “soft” and “hard,” of every one

of the people in your charge of the people in your charge (temporary as well as semi-(temporary as well as semi-permanent) to the maximum permanent) to the maximum

extent of your abilities. The good extent of your abilities. The good news: This is also thenews: This is also the

#1 mid- to long-term … #1 mid- to long-term … profit maximization strategy! profit maximization strategy!

1/4,096: excellencenow.com1/4,096: excellencenow.com

““Business has to give people enriching, Business has to give people enriching,

rewarding lives … rewarding lives … or it's or it's simsimppllyy not not

worth worth doindoing.”g.”

——Richard BransonRichard Branson

““The greatest shortcoming of the human race is our The greatest shortcoming of the human race is our inability to understand the inability to understand the exponential function.”*.”*

——Albert A. BartlettAlbert A. Bartlett (*GRIN/Genetics + Robotics + Informatics + Nanotechnology)(*GRIN/Genetics + Robotics + Informatics + Nanotechnology)

““The root of our problem is not that we’re in a ‘Great The root of our problem is not that we’re in a ‘Great Recession’ or a ‘Great Stagnation,’ but rather that we Recession’ or a ‘Great Stagnation,’ but rather that we are in the early throes of a are in the early throes of a Great Restructuring. Our Our

technologies are racing ahead, but our skills and technologies are racing ahead, but our skills and organizations are lagging behind.” organizations are lagging behind.” —Erik Brynjolfsson and Andrew —Erik Brynjolfsson and Andrew

McAfee, McAfee, Race Against the MachineRace Against the Machine

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

““Human level capability has not turned out to be a Human level capability has not turned out to be a special stopping point from an engineering special stopping point from an engineering

perspective. ...” perspective. ...” ——Illah Reza Nourbakhsh, Illah Reza Nourbakhsh, Robot FuturesRobot Futures

((“I believe that 90 percent of white-collar/‘knowledge-“I believe that 90 percent of white-collar/‘knowledge-work’ jobs—which are 80 percent of all jobs—in the U.S. work’ jobs—which are 80 percent of all jobs—in the U.S. will be either destroyed or altered beyond recognition in will be either destroyed or altered beyond recognition in

the next 10 to 15 years.”the next 10 to 15 years.” —Cover/Time/22 May 2000/Tom Peters)

AUTOMATE THIS: HOW ALGORITHMS CAME TO RULE THE WORLDAUTOMATE THIS: HOW ALGORITHMS CAME TO RULE THE WORLD (Book title, by Christopher Steiner)(Book title, by Christopher Steiner)

““Automation has become so sophisticated that on a Automation has become so sophisticated that on a typical passenger flight, a human pilot holds the controls typical passenger flight, a human pilot holds the controls

for a grand total offor a grand total of … … 33 minutesminutes. . [Pilots] have [Pilots] have become, it’s not much of an exaggeration to say, become, it’s not much of an exaggeration to say,

computer operators.”computer operators.” ——Nicholas Carr, Nicholas Carr, The AtlanticThe Atlantic, 11.13, 11.13

““The combination of new market rules and new The combination of new market rules and new

technology was turning the stock market into, in effecttechnology was turning the stock market into, in effect,,

aa warwar of robotsof robots.”.” —Michael Lewis—Michael Lewis

““Almost all health care Almost all health care ppeoeopple get is le get is ggoinoingg to be done to be done bbyy al alggorithms orithms within a decade or twowithin a decade or two.”.” —Michael —Michael

Vassar/MetaMedVassar/MetaMed

““EXPERIMENT EXPERIMENT FEARLESSLY”FEARLESSLY”**

Source: BusinessWeek, “Type A Organization Strategies: How to Hit a Moving Target”—Tactic #1Tactic #1

“RELENTLESS TRIAL“RELENTLESS TRIAL AND ERROR” AND ERROR”**

Source: Source: Wall Street JournalWall Street Journal, cornerstone of effective approach to “rebalancing” company, cornerstone of effective approach to “rebalancing” company portfolios in the face of changing and uncertain global economic conditions portfolios in the face of changing and uncertain global economic conditions

((**Ready. Fire. Aim.Ready. Fire. Aim. —H.R. Perot. —H.R. Perot. WTTMSWWTTMSW —TP —TP Fail. Forward. Fast.Fail. Forward. Fast. —D. —D. Kelley)Kelley)

Training As Training As InvestmentInvestment

#1#1

Is your CTO/Chief Training Officer your top paid “C-level” Is your CTO/Chief Training Officer your top paid “C-level” job (other than CEO/COO)?job (other than CEO/COO)?If not, why not?If not, why not?

Are your top trainers paid as much as your top Are your top trainers paid as much as your top marketers and engineers?marketers and engineers?If not, why not?If not, why not?

Are your training courses so good they make you giggle Are your training courses so good they make you giggle and tingle?and tingle?If not, why not?If not, why not?

Randomly stop an employee in the hall: Can she/he Randomly stop an employee in the hall: Can she/he meticulously describe her/his development plan for the meticulously describe her/his development plan for the next 12 months?next 12 months?If not, why not?If not, why not?

Why is your world of business any different than the Why is your world of business any different than the (competitive) world of rugby, football, opera, theater, (competitive) world of rugby, football, opera, theater, the military?the military?If “people/talent first” and hyper-intense continuous training are If “people/talent first” and hyper-intense continuous training are laughably obviously for them, why not you? laughably obviously for them, why not you?

Gamblin’ ManGamblin’ Man

Bet:Bet: >> 5 of 10 CEOs see training >> 5 of 10 CEOs see training as expense rather than as expense rather than investment.investment.Bet:Bet: >> 5 of 10 CEOs see training >> 5 of 10 CEOs see training as defense rather than offense.as defense rather than offense.Bet:Bet: >> 5 of 10 CEOs see training >> 5 of 10 CEOs see training as “necessary evil” rather than as “necessary evil” rather than “strategic opportunity.”“strategic opportunity.”Bet:Bet: >> 8 of 10 CEOs, in 45-min >> 8 of 10 CEOs, in 45-min “tour d’horizon” of their “tour d’horizon” of their business, would not mention business, would not mention training.training.

Education As Education As

PriorityPriority #1#1

““Every child is born an artist. Every child is born an artist. The trick is to remain an The trick is to remain an

artist.”artist.” —Picasso—Picasso

““All human beings are All human beings are entrepreneurs.”entrepreneurs.” —Muhammad Yunus—Muhammad Yunus

““Human creativity is the Human creativity is the ultimate economic resource.”ultimate economic resource.”

——Richard FloridaRichard Florida

"Creativity can no longer be "Creativity can no longer be treated as an elective.”treated as an elective.” —John Maeda—John Maeda

RADICALRADICAL curricular revision curricular revision imperative. imperative. (STEM/STE(STEM/STEAAM.)M.)

RADICALRADICAL digital strategy. digital strategy.REVOLUTIONARYREVOLUTIONARY new approach to new approach to teacher recruitment/development.teacher recruitment/development.RADICALRADICAL re-assessment of tertiary re-assessment of tertiary

education education (E.g., “MOOC-ization.”)(E.g., “MOOC-ization.”)

RADICALRADICAL re-assessment business re-assessment business ed.ed.

RADICALRADICAL role re-assessment by role re-assessment by corporations.corporations.

(Good news: Nobody’s got it right. Kids are doing it without you—if you’ll let (Good news: Nobody’s got it right. Kids are doing it without you—if you’ll let them.)them.)

!!

““I am often asked by would-be entrepreneurs seeking escape from I am often asked by would-be entrepreneurs seeking escape from life within huge corporate structures, ‘How do I build a small firm life within huge corporate structures, ‘How do I build a small firm

for myself?’ The answer seems obvious …for myself?’ The answer seems obvious … BuBuyy a a ververyy lar largge one e one and and jjust waitust wait.”*.”* ——Paul Ormerod, Paul Ormerod, Why Most Things Fail: Evolution, Extinction and EconomicsWhy Most Things Fail: Evolution, Extinction and Economics

*”Stretching back 40 years for 1,000 [largest] U.S. companies. *”Stretching back 40 years for 1,000 [largest] U.S. companies.

[McKinsey researchers] found that [McKinsey researchers] found that NONENONE of the long- of the long-

term survivors managed to outperform the market.” term survivors managed to outperform the market.” —Financial Times—Financial Times

MITTELSTANDMITTELSTAND**

**“agile creatures darting between “agile creatures darting between the legs of the multinational the legs of the multinational monsters”monsters” ((Bloomberg BusinessWeek, Bloomberg BusinessWeek, 10.10)10.10)

THE RED THE RED CARPET CARPET STORESTORE

(Joel Resnick/Flemington NJ)(Joel Resnick/Flemington NJ)

The Magicians of Motueka (PLUS)The Magicians of Motueka (PLUS)!!

W.A. Coppins Ltd.*W.A. Coppins Ltd.*(Coppins Sea Anchors/(Coppins Sea Anchors/PSA/para sea anchors)PSA/para sea anchors)

*Textiles, 1898; thrive on *Textiles, 1898; thrive on “wicked problems”“wicked problems”——e.g., e.g., U.S. NavyU.S. Navy STLVAST (Small To Large Vehicle At Sea STLVAST (Small To Large Vehicle At Sea

Transfer); custom fabric from Transfer); custom fabric from W. WiW. Wiggggins Ltdins Ltd./Wellington ./Wellington

(specialty nylon, “Dyneema,” from (specialty nylon, “Dyneema,” from DSMDSM/Netherlands)/Netherlands)

““BE THE BEST.BE THE BEST. IT’S THE ONLY IT’S THE ONLY MARKET THAT’S MARKET THAT’S NOT CROWDED.”NOT CROWDED.”

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

RETAIL SUPERSTARS: INSIDE THE 25 BEST RETAIL SUPERSTARS: INSIDE THE 25 BEST INDEPENDENT STORES IN AMERICAINDEPENDENT STORES IN AMERICA—George Whalin—George Whalin

JUNGLE JIM’S INTERNATIONAL MARKET, FAIRFIELD, OH:JUNGLE JIM’S INTERNATIONAL MARKET, FAIRFIELD, OH: ““An adventure in ‘shoppertainment,’ begins in the parking An adventure in ‘shoppertainment,’ begins in the parking

lot and goes on to lot and goes on to 1,6001,600 cheeses and, yes, cheeses and, yes,

1,4001,400 varieties of hot sauce—not to mention 12,000 varieties of hot sauce—not to mention 12,000

wines priced from wines priced from $8-$$8-$8,0008,000 a bottle; all a bottle; all

this is brought to you by this is brought to you by 4,0004,000 vendors. vendors.

Customers come from every corner of the globe.”Customers come from every corner of the globe.”

BRONNER’S CHRISTMAS WONDERLAND, FRANKENMUTH, MI, BRONNER’S CHRISTMAS WONDERLAND, FRANKENMUTH, MI, POP 5,000:POP 5,000: 98,000-square-foot “shop” features 98,000-square-foot “shop” features

6,0006,000 Christmas ornaments, Christmas ornaments, 50,000 50,000 trims, and anything else you can name pertaining to trims, and anything else you can name pertaining to

Christmas.Christmas.

“ ‘“ ‘Commodity’ is a Commodity’ is a state of mind. state of mind.

ANYTHINGANYTHING can be can be DRAMATICALLYDRAMATICALLY differentiated.”differentiated.”

Location/Size Independent:Location/Size Independent: “Today, despite the “Today, despite the fact that we’re jfact that we’re just a little swimminust a little swimmingg ppool ool

comcomppananyy in Vir in Virgginiainia, we have the most trafficked , we have the most trafficked swimming pool website in the world. Five years swimming pool website in the world. Five years

ago, if you’d asked me and my business ago, if you’d asked me and my business partners what we do, the answer would have partners what we do, the answer would have been simple, ‘We build in-ground fiberglass been simple, ‘We build in-ground fiberglass

swimming pools’ Now we say,swimming pools’ Now we say, ‘We are the ‘We are the

best teachers … best teachers … inin thethe worldworld … on the subject of … on the subject of

fiberglass swimming pools, and fiberglass swimming pools, and we also happen to build them.’”we also happen to build them.’”

——Jay Baer, YJay Baer, Youtility: Why Smart Marketing Is About Help, Not Hypeoutility: Why Smart Marketing Is About Help, Not Hype

Biz 2014: Get Aboard the “S-Train”Biz 2014: Get Aboard the “S-Train”

SMSM/Social Media./Social Media.

SXSX/Social eXecutives./Social eXecutives.

SESE/Social Employees./Social Employees.

SOSO/Social /Social Organization.Organization.

SBSB/Social Business./Social Business.

““Insanely great”Insanely great” —Steve Jobs—Steve Jobs

““RadicallRadically y thrillinthrilling”g” —BMW—BMW

““Astonish me!”Astonish me!” ——Sergei DiaghilevSergei Diaghilev

““Build something great!”Build something great!” —Hiroshi Yamauchi/CEO Nintendo, to a game designer—Hiroshi Yamauchi/CEO Nintendo, to a game designer

“Make it immortal!”“Make it immortal!” —David Ogilvy, to an ad copywriter—David Ogilvy, to an ad copywriter

Raise your sights!Raise your sights!Blaze new trails!Blaze new trails!Compete with the immortals!Compete with the immortals!——David Ogilvy, on Ogilvy & Mather’s corporate cultureDavid Ogilvy, on Ogilvy & Mather’s corporate culture

Wanted by Ogilvy & Mather International: Wanted by Ogilvy & Mather International: Trumpeter SwansTrumpeter Swans —David Ogilvy—David Ogilvy

““Every project starts with the same question:Every project starts with the same question: ‘How can we do what has never been done before?’” ‘How can we do what has never been done before?’”——Stuart Hornery, Lend LeaseStuart Hornery, Lend Lease

““Let us create such a building that future generations will take us for …Let us create such a building that future generations will take us for … lunatics.”lunatics.” —church hierarchs at —church hierarchs at SevilleSeville

““We are crazy. We are crazy. We should do something when people say it is ‘crazy.’ When people say something is We should do something when people say it is ‘crazy.’ When people say something is ‘good,’ it means someone else is already doing it.”‘good,’ it means someone else is already doing it.” —Hajime Mitarai, former CEO, Canon—Hajime Mitarai, former CEO, Canon

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

Kevin (“Lovemarks”) Roberts’ CredoKevin (“Lovemarks”) Roberts’ Credo

1.1. Ready. Fire! Aim.Ready. Fire! Aim.2.2. If it ain’t broke ... Break it! If it ain’t broke ... Break it!3.3. Hire crazies. Hire crazies.4.4. Ask dumb questions. Ask dumb questions.5.5. Pursue failure. Pursue failure.6.6. Lead, follow ... or get out of the way! Lead, follow ... or get out of the way!7.7. Spread confusion. Spread confusion.8.8. Ditch your office. Ditch your office.9.9. Read odd stuff. Read odd stuff.

10.10. Avoid moderation!Avoid moderation!Note: Note: TWOTWO Americans; Americans; EIGHTEIGHT non-Americans (Scotsman, 2 Japanese, Aussie, Russian, German, Spaniard, Kiwi) non-Americans (Scotsman, 2 Japanese, Aussie, Russian, German, Spaniard, Kiwi)

VALUE ADDEDVALUE ADDED

As Strategy As Strategy #1#1DESIGN DESIGN

As “Tool”As “Tool” #1#1

Design Design RulesRules!!

APPLEAPPLE market cap market cap > Exxon Mobil* ** > Exxon Mobil* **

*August 2011*August 2011

****“Design is “Design is treated like a relitreated like a religgionion at BMW.” at BMW.” —Fortune—Fortune

))

““Only one Only one company can be company can be the cheapest. All the cheapest. All others must use others must use … design.”… design.” —Rodney Fitch, Fitch & —Rodney Fitch, Fitch &

Co. (Source: Co. (Source: Insights and Definitions of DesignInsights and Definitions of Design, the [UK] Design , the [UK] Design

Council)Council)

WomenWomen BUY BUYWomenWomen RULE RULE

diversitydiversity WINS WINS

““Forget CHINA, Forget CHINA, INDIA and the INDIA and the

INTERNET: Economic INTERNET: Economic Growth Is Driven by Growth Is Driven by

WOMENWOMEN.”.”

Source: Headline, Economist

““Women are Women are THETHE majority market” majority market” —Fara Warner/—Fara Warner/The Power of the PurseThe Power of the Purse

““AS AS LEADERS, LEADERS, WOMEN WOMEN

RULERULE:: New Studies find that New Studies find that

female managers outshine their male female managers outshine their male counterparts in almost every measure”counterparts in almost every measure”

TITLE/ Special Report/ TITLE/ Special Report/ BusinessWeekBusinessWeek

““Research suggests thatResearch suggests that to succeed, start by to succeed, start by promoting women.”promoting women.”

““McKinsey & Company found that the international McKinsey & Company found that the international companies with more women on their corporate boards companies with more women on their corporate boards

far outperformed the average company in return on far outperformed the average company in return on equity and equity and

other measures. Operating profit was other measures. Operating profit was 5656 percent percent

higher.”higher.”

Source: Nicholas Kristof, “Twitter, Women, and Power,” Source: Nicholas Kristof, “Twitter, Women, and Power,” NYTimesNYTimes, 1024.13, 1024.13

“The Bottleneck is at the …The Bottleneck is at the … “Where are you likely to find people “Where are you likely to find people

with the with the least diversitleast diversityy of ex of expperienceerience, , the the larlarggest investment in the est investment in the ppastast,,

and the g and the greatest reverence for reatest reverence for industrindustryy do doggmama … …

Top of the Top of the Bottle”Bottle”

— Gary Hamel/— Gary Hamel/Harvard Business Review*Harvard Business Review*

* * “You will become like the five people you associate with the “You will become like the five people you associate with the most—this can be either a blessing or a curse.” most—this can be either a blessing or a curse.” —Billy Cox—Billy Cox

Leading:Leading:The ONE ThingThe ONE Thing

The THREE RulesThe THREE Rules

““If I had to pickIf I had to pick oneone failing of CEOs, it’s failing of CEOs, it’s

that theythat they don’tdon’t readread

enouenougghh.”.”

——Co-founder of one of the world’s largest and most successful Co-founder of one of the world’s largest and most successful investment services firms (November 2013)investment services firms (November 2013)

Michael Raynor and Mumtaz Ahmed’: Michael Raynor and Mumtaz Ahmed’: THE THREE RULES: THE THREE RULES: How Exceptional Companies Think*How Exceptional Companies Think*::

1. 1. Better before cheaper.Better before cheaper.2. 2. Revenue before cost.Revenue before cost.3. 3. There are no other rules.There are no other rules.(*From a database of over 25,000 companies from hundreds of industries covering 45 years, they uncovered (*From a database of over 25,000 companies from hundreds of industries covering 45 years, they uncovered 344 companies that qualified as statistically “exceptional.”)344 companies that qualified as statistically “exceptional.”)

Jeff Colvin, Jeff Colvin, FortuneFortune: “The Economy Is Scary … But Smart : “The Economy Is Scary … But Smart Companies Can Dominate”:Companies Can Dominate”:

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

Enterprise* (*at its best):Enterprise* (*at its best): An emotional, vital, An emotional, vital, innovative, joyful, creative, innovative, joyful, creative, entrepreneurial endeavor that elicits entrepreneurial endeavor that elicits maximum maximum

concerted humanconcerted human potential in thepotential in the wholehearted pursuit of wholehearted pursuit of EXCELLENCEEXCELLENCE in service of othersin service of others.****Employees, Customers, Suppliers, Communities, Owners, Temporary partners**Employees, Customers, Suppliers, Communities, Owners, Temporary partners

In Search of In Search of KIWI KIWI

EXCELLENCEEXCELLENCE

ASSERTIONS: A BAKER’S DOZEN (1/4)ASSERTIONS: A BAKER’S DOZEN (1/4)

1. We are in the midst of unprecedented (“exponential”) change1. We are in the midst of unprecedented (“exponential”) change—at once exciting and frightening. And wholly independent of —at once exciting and frightening. And wholly independent of geographic location. geographic location. 2. The principal role of the state is to provide for the betterment 2. The principal role of the state is to provide for the betterment and development of its citizens—PEOPLE FIRST.and development of its citizens—PEOPLE FIRST.3. Businesses—small/large/one at a time—are THE engine of 3. Businesses—small/large/one at a time—are THE engine of national human capital development. (AND must necessarily act national human capital development. (AND must necessarily act accordingly.)accordingly.)4. PUTTING PEOPLE FIRST … maximizes mid- to long-term growth 4. PUTTING PEOPLE FIRST … maximizes mid- to long-term growth and financial success for businesses of every size and flavor. (PPF and financial success for businesses of every size and flavor. (PPF is NOT a “soft” idea/strategy. It is the … ultimate “hard” is NOT a “soft” idea/strategy. It is the … ultimate “hard” idea/strategy. idea/strategy. In Search of ExcellenceIn Search of Excellence: “Hard is soft. Soft is : “Hard is soft. Soft is hard.”)hard.”)5. Putting people first means by definition that … SUPERB/MIND-5. Putting people first means by definition that … SUPERB/MIND-BLOWING TRAINING & DEVELOPMENT IS INVESTMENT PRIORITY BLOWING TRAINING & DEVELOPMENT IS INVESTMENT PRIORITY #1.#1.5A. “Insane” commitment to training and development is 5A. “Insane” commitment to training and development is effectively guaranteed (!) to mitigate if not reverse “brain drain.” effectively guaranteed (!) to mitigate if not reverse “brain drain.” (Make NZ a net top-talent attractor via … “GUARANTEED” (Make NZ a net top-talent attractor via … “GUARANTEED” EXCELLENCE IN HUMAN CAPITAL DEVELOPMENT. Why the hell EXCELLENCE IN HUMAN CAPITAL DEVELOPMENT. Why the hell not?)not?)

ASSERTIONS: A BAKER’S DOZEN (2/4)ASSERTIONS: A BAKER’S DOZEN (2/4)

6. Education requires almost a 180-degree reversal—age 4 to 84. 6. Education requires almost a 180-degree reversal—age 4 to 84. Creativity is long-term national resource #1—and schools (all Creativity is long-term national resource #1—and schools (all around the world) are “excellent” at mercilessly destroying around the world) are “excellent” at mercilessly destroying creativity and its handmaiden, entrepreneurial instinct. creativity and its handmaiden, entrepreneurial instinct. (NOBODY … is “doing it right”—which in and of itself presents an (NOBODY … is “doing it right”—which in and of itself presents an enormous opportunity!)enormous opportunity!)6A. The new technologies must be unabashedly AND relentlessly 6A. The new technologies must be unabashedly AND relentlessly AND creatively AND audaciously applied to education—age 4 to AND creatively AND audaciously applied to education—age 4 to 84. (Beware the tenacity of the descendants of Ned Ludd!)84. (Beware the tenacity of the descendants of Ned Ludd!)6B. A significant share of the VERY best and VERY brightest of 6B. A significant share of the VERY best and VERY brightest of our university graduates must be radically (BIG incentives) our university graduates must be radically (BIG incentives) induced to do “national service” as teachers for a limited period induced to do “national service” as teachers for a limited period of time. (Remember: “Exponential” change—youth is imperative of time. (Remember: “Exponential” change—youth is imperative in our teacher corps.)in our teacher corps.)7. Giant companies are long-term … LOSERS. (The evidence is … 7. Giant companies are long-term … LOSERS. (The evidence is … UNEQUIVOCAL.)UNEQUIVOCAL.)7A. Which is to say UNEQUIVOCALLLY: The strength of a nation 7A. Which is to say UNEQUIVOCALLLY: The strength of a nation in general, and the likes of NZ in particular, is its MITTLESTAND in general, and the likes of NZ in particular, is its MITTLESTAND … smallish to middle-sized specialist superstars committed to … … smallish to middle-sized specialist superstars committed to … “OUTRAGEOUSLY HIGH VALUE ADDED.”“OUTRAGEOUSLY HIGH VALUE ADDED.”

ASSERTIONS: A BAKER’S DOZEN (3/4)ASSERTIONS: A BAKER’S DOZEN (3/4)

7B. New-tech allows locals following any path to be global to 7B. New-tech allows locals following any path to be global to an unprecedented degree—i.e., “micro-multinationals.”an unprecedented degree—i.e., “micro-multinationals.”7B1. “Social business” is a buzzphrase that turns out to be 7B1. “Social business” is a buzzphrase that turns out to be “the real thing.” Radical social engagement practices are “the real thing.” Radical social engagement practices are changing the definitions everything from “organizing” to changing the definitions everything from “organizing” to “financing” to “service/customer experience” to “marketing” “financing” to “service/customer experience” to “marketing” … to the essence of the brand itself. … to the essence of the brand itself. 7C. There are no industry limitations to “Mittelstand-ing”: 7C. There are no industry limitations to “Mittelstand-ing”: ANYTHING is fair game, not just the likes of software/bio-tech.ANYTHING is fair game, not just the likes of software/bio-tech.7D. “Commodity” is a [DISASTROUS] state-of-mind. With 7D. “Commodity” is a [DISASTROUS] state-of-mind. With determination and an unwavering commitment to innovation determination and an unwavering commitment to innovation and excellence … ANYTHING can be DRAMATICALLY and excellence … ANYTHING can be DRAMATICALLY differentiated.differentiated.7E. Listen to Steve Jobs/BMW: Embrace terms such as 7E. Listen to Steve Jobs/BMW: Embrace terms such as “Insanely Great” and “Radically Thrilling.” (Which can apply to “Insanely Great” and “Radically Thrilling.” (Which can apply to a supply chain system as well as a scintillating product.)a supply chain system as well as a scintillating product.)7F. Public sector-ites: Dramatic improvements in support for 7F. Public sector-ites: Dramatic improvements in support for ease-of-doing-business can be accomplished w/o legislation; ease-of-doing-business can be accomplished w/o legislation; government agencies are invariably their own worst enemies.government agencies are invariably their own worst enemies.8. An effective economy, long-term, is built upon: (1) No-holds-8. An effective economy, long-term, is built upon: (1) No-holds-barred human capital development. And: (2) RELENTLESS barred human capital development. And: (2) RELENTLESS EXPERIMENTATION. (“Ready. FIRE. Aim.” “Fail. Forward. EXPERIMENTATION. (“Ready. FIRE. Aim.” “Fail. Forward. Fast.”)Fast.”)

ASSERTIONS: A BAKER’S DOZEN (4/4)ASSERTIONS: A BAKER’S DOZEN (4/4)

8A. Many/most “eggs in one or two baskets” (products, 8A. Many/most “eggs in one or two baskets” (products, partners) is a perilous strategy in general and … LITERALLY partners) is a perilous strategy in general and … LITERALLY INSANE … in tumultuous times. [Hint: these are “tumultuous INSANE … in tumultuous times. [Hint: these are “tumultuous times” of “exponential” change.]times” of “exponential” change.]9. A failure to fully take advantage of the talents and energy 9. A failure to fully take advantage of the talents and energy of WOMEN is a sign of … STAGGERING of WOMEN is a sign of … STAGGERING ECONOMICECONOMIC IGNORANCE.IGNORANCE.9A. Women are the premier purchasers of … EVERYTHING. 9A. Women are the premier purchasers of … EVERYTHING. Men are incapable of designing products for women. Women Men are incapable of designing products for women. Women tend to be significantly better leaders in the emerging, less tend to be significantly better leaders in the emerging, less hierarchical world. COMPANIES WITH BALANCED F-M hierarchical world. COMPANIES WITH BALANCED F-M LEADERSHIP TEAMS PERFORM DRAMATICALLY BETTER LEADERSHIP TEAMS PERFORM DRAMATICALLY BETTER [FINANCIALLY, ETC.] THAN M-DOMINATED INSTITUTIONS.[FINANCIALLY, ETC.] THAN M-DOMINATED INSTITUTIONS.10. READ. READ. READ. READ. READ. READ. READ. READ.10. READ. READ. READ. READ. READ. READ. READ. READ.11. EXCELLENCE is a state of mind. If not EXCELLENCE … 11. EXCELLENCE is a state of mind. If not EXCELLENCE … why the hell bother to get up in the morning?why the hell bother to get up in the morning?12. “WOW” is a state of mind. If not WOW … why the hell 12. “WOW” is a state of mind. If not WOW … why the hell bother to get up in the morning?bother to get up in the morning?13. New Zealand IS special. New Zealand IS different. Short-13. New Zealand IS special. New Zealand IS different. Short-term economic panaceas should not stand in the way of a term economic panaceas should not stand in the way of a strategy based upon “Insanely-High-Value-Added-The-Kiwi-strategy based upon “Insanely-High-Value-Added-The-Kiwi-Way.” Timidity is a loser’s approach amid exponential Way.” Timidity is a loser’s approach amid exponential change.change.