Tom Peters Seminar2000 Distinct or … Extinct Leading Minds/IIR Copenhagen 13 December 2000

1. Tom Peters Seminar2000Distinct or … ExtinctLeading Minds/IIRCopenhagen13 December 2000

2. More at …tompeters.comSlides from this seminar.Master Presentation, for in-depth.“Cool Friends” (referenced in seminar).Discussions re this stuff.Calendar of events.Etc.

3. “In 25 years, you’ll 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] [Barron’s 13.11.2000]

4. NOW THAT’S B-I-G!“The period 2000-2002 will bring the single greatest change in worldwide economic and business conditions since we came down from the trees.”David Schneider & Grady Means, MetaCapitalism

5. “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)

6. Pentium III 800MHz: $42,893.00/#Hermes Scarf: $1,964.29Saving Private Ryan on DVD: $874.75Mercedes-Benz: $18.98Hot-rolled steel: $0.19Source: Fortune (20.03.00)

7. “We are in abrawl with no rules.”Paul Allaire

8. John Roth’s “Rules” [Nortel]1. Our strategies must be tied toleading-edge customers on the attack.2. Time cannot be sacrificedfor better quality, lower cost, or even better decisions.3. It doesn’t matter whether you develop or acquire leading technology.Our job is to provide the technology and products our customers need.4. Success is achieved byleading 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 (25.07.00)

9. “It used to be that the big ate the small. Now the fast eat the slow.”Geoff Yang, IVP/ (Institutional Venture Partners)

10. Read It Again:“We don’t sell insurance anymore.Wesell speed.”Peter Lewis, Progressive

11. StructurePart I: Brand InsidePart II: Brand OutsidePart III: Brand Leadership

12. Part I: Brand InsidePart II: Brand OutsidePart III: Brand Leadership

13. Forces @ Work IThe Destruction Imperative!

14. 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

15. “When asked to name just one big merger that had lived up to expectations, Leon Cooperman, former cochairman of Goldman Sachs’ Investment Policy Committee, answered:I’m sure there are success stories out there, but at this moment I draw a blank.”Mark Sirower, The Synergy Trap

16. “Acquisitions are about buying market share. Our challenge is to create markets. There is a big difference.” Peter Job, CEO, Reuters

17. “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

18. Lessons from the Bees!Since merger mania is now the rage, what lessons can the bees teach us? A simple one: Merging is not in nature. [Nature’s] process is the exact opposite: one of growth, fragmentation and dispersal. There is no megalomania, no merging for merging’s sake. The point is that unlike corporations, which just get bigger, bee colonies know when the time has come to split up into smaller colonies which can grow value faster. What the bees are telling us is that the corporate world has got it all wrong.”David Lascelles, Co-director of The Centre for the Study of Financial Innovation [UK]

19. The [New] Ge WayDYB.com

20. The Gales of Creative Destruction+29M = -44M + 73M+4M = +4M - 0M

21. December 2000: Swiss House for Advanced Research & Education. Cambridge, Massachusetts. Xavier Comtesse: “You never hear a Swiss say, ‘I want to change the world.’ We need to take more risks.”

22. Brand InsideBrand Org:Lean, Linked, Electronic & Malleable

23. Headline: “Bank of America to Cut … 10,000 Jobs”“Middle-level and senior managersare expected to be the principal targets of the job cutbacks.”Source: The New York Times (29.07.2000)

24. White Collar Revolution!

25. 108 X 5vs. 8 X 1** 540 vs. 8 (-98.5%)

26. The Pincer 5“Destructive” entrepreneurs/ Global Competition“White Collar Robots”THE INTERNET![E.g.: GM + Ford + DaimlerChrysler]Global Outsourcing[E.g.: India, Mexico]Speed!!

27. “A bureaucrat is an expensive microchip.”Dan Sullivan, consultant and executive coach

28. Automation+75% of what we do: 40 “expert” decision rules!

29. “AssetlessCompany”John Bryan, CEO, on selling all Sara Lee’s manufacturing

30. “We have transitioned from an asset-based strategy to a talent-based strategy.”Jeff Skilling, COO, Enron

31. Cisco, Dell =Brand-owning companies who sell Customer SatisfactionSource: David Schneider & Grady Means, MetaCapitalism [e.g.: Cisco owns 2 of 38 assembly plants]

32. RR on “Assetless” [J.B.] Sara Lee“The most profitable businesses in the future will act as knowledge brokers, linking insights into what’s available with insights into the customer’s individual needs and preferences.”

33. Advance ParadigmData on 165,000,000 prescriptions per year; docs and insurers have access to recordsReduces med errors; saves $2.88 per scrip [prescribing errors]; docs save $14,000 per year in review timeRev in ’99: $2B; $477M in ’98Source: Business Week (09.00)

34. Brand InsideBrand Work: The Professional Service Firm Model & The WOW Project

35. So what will be the Basic Building Block of theNew Org?

36. Answer: PSF![Professional Service Firm]Department Headto …Managing Partner, HR [IS, etc.] Inc.

37. Credo: W.W.P.F.“WORKWORTH PAYINGFOR”

38. Every job done in W.C.W. is also done “outside” … for profit!

39. New OrleansApril 2000:NAPM

40. Youare the …Rock Stars of the B2B Age!

41. ChicagoNovember 1999:HRMAC

42. “support function” / “cost center” / “bureaucratic drag”or …

43. Are you “Rock Stars of the Age of Talent”

44. “P.S.F.”: SummaryH.V.A. Projects (100%)Pioneer ClientsWOW Work (see below)Hot “Talent” (see below)“Adventurous” “culture”Point of View (Methodology)W.W.P.F. (100%)When: Now!

45. The Raw Material … The WOW Project!

46. “Reward excellent failures. Punish mediocre successes.”Phil Daniels, Sydney exec

47. Measures • WOW! • Beauty! • Raving Fans! • Impact!

48. Brand InsideBrand You: Distinct … or Extinct

49. 2010 “Demographics”:By 2010, full-time workers will be in the minoritySource: MIT study (28August2000)

50. “The fundamental unit of the new economy is not the corporation, but the individual. Tasks aren’t assigned and controlled through a stable chain of command but are carried out autonomously by independent contractors - e-lancers - who join together in fluid and temporary networks to sell goods and services. When the job is done, the network dissolves and its members become independent again, circulating through the economy, seeking the next assignment.” Thomas Malone and Robert Laubacher