Tom Peters Seminar2001 Rollercoaster Days: Learning to … Rock & Roll! 06.19.2001

1. Tom Peters Seminar2001Rollercoaster Days:Learning to … Rock & Roll!06.19.2001

2. More at …tompeters.comSlides from this seminar;Master Presentation, for in-depth; annotated Special Presentations [Women Rule!, Design!, etc.].“Cool Friends” (referenced in seminar).Discussions re this stuff.Calendar of events.Lavender text in this file is a link.

3. “There will be more confusion in the business world in the next decadethan in any decade in history. And the current pace of change will only accelerate.”Steve Case

4. <1000A.D.: paradigm shift: 1000s of years1000: 100 years for paradigm shift1800s: > prior 900 years1900s: 1st 20 years > 1800s2000: 10 years for paradigm shift21st 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

5. Forbes100 from 1917 to 1987: 39 members of the Class of ’17 were alive in ’87; 18 are in ’87 F100; the 18 F100 “survivors” underperformed the market by 20%; just 2 (2%), GE & Kodak, outperformed the market from 1917 to 1987.S&P 500 from 1957 to 1997: 74 members of the Class of ’57 were alive in ’97; 12 (2.4%) of 500 outperformed the market from 1957 to 1997.Source: Dick Foster & Sarah Kaplan, Creative Destruction: Why Companies that Are Built to Last Underperform the Market

6. “Good management was the most powerful reason [leading firms] failed to stay atop their industries. Precisely because these firms listened to their customers, invested aggressively in technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.”Clayton Christensen, The Innovator’s Dilemma

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

8. S.A.V.

9. 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!)

10. Read It Closely:“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 corporation as we know it, which is now 120 years old, isnot likely to survive the next 25 years.Legally and financially, yes, but not structurally and economically.”Peter Drucker, Business 2.0 (08.00)

20. Built to Last v. Built to Flip“The problem with Built to Last is that it’s a romantic notion. Large companies are incapable of ongoing innovation, of ongoing flexibility. Increasingly, successful businesses will be ephemeral. They will be built to yield something of value – and once that value has been exhausted, they will vanish.”Fast Company (03-00)

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

22. The [New] Ge WayDYB.com

23. Brand InsideBrand Org:Lean, Linked, Internet-driven, Virtual

24. 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 (07.29.2000)

25. White Collar Revolution!

26. 108 X 5vs. 8 X 1= 540 vs. 8(-98.5%)

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

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

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

30. IBM’s Project eLiza!

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

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

33. “Don’t own nothin’ if you can help it. If you can, rent your shoes.”F.G.

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

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

38. 11 September 2000

39. 09.11.2000: HP bids $18,000,000,000for PricewaterhouseCoopersConsulting business!

40. [“These days, building the best server isn’t enough. That’s the price of entry.”Ann Livermore, Hewlett-Packard]

41. HP … Sun … GE … IBM … UPS … UTC … General Mills … Springs … Anheuser-Busch … Carpet One … Etc. … Etc.

42. “UPS wants to take over the sweet spot in the endless loop of goods, information and capital that all the packages [it moves] represent.”ecompany.com/06.01 (E.g., UPS Logistics manages the logistics of 4.5M Ford vehicles, from 21 mfg. Sites to 6,000 NA dealers)

43. “ ‘Architecture’ is becoming a commodity. Winners will be ‘Turnkey Facilities Management’ providers.”SMPS Exec

44. eHR*/PCC***All HR on the Web**Productivity Consulting CenterSource: E-HR: A Walk through a 21st Century HR Department, John Sullivan, IHRIM

45. 100% goes on the Web.Non-awesome is outsourced.Centers of Excellence are leveraged to the hilt!

46. Maybe one [or more] of your “PSFs” becomes the tail that wags the dog called Market Cap????? [E.g.: engineering-IS-logistics-customer service]

47. The Raw Material … The WOWProject!

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

49. “Learn not to be careful.”Photographer Diane Arbus to her students (Careful = The sidelines, per Harriet Rubin in The Princessa)

50. Brand InsideBrand You: Distinct … or Extinct