Tom Peters’ Excellence ! Dignity Health 2017 Operations COO/CEO Retreat 09 May/San Francisco

1. Tom Peters’ Excellence! Dignity Health 2017 Operations COO/CEO Retreat 09 May/San Francisco (This presentation/10+ years of presentation slides at tompeters.com; also see our annotated 23-part Monster-Master at excellencenow.com)

2. Tom Peters’ Excellence: Hello humankindness! Dignity Health 2017 Operations COO/CEO Retreat 09 May/San Francisco (This presentation/10+ years of presentation slides at tompeters.com; also see our annotated 23-part Monster-Master at excellencenow.com)

3. Happy National Nurses Week 2017!**H-in-C [Healer-in-Chief]

4. Conveyance:Kingfisher Air Location:Approach to New Delhi

5. “May I clean your glasses, sir?”

6. “Courtesies of a small and trivial character are the ones which strike deepest in the grateful and appreciating heart.”—Henry Clay "Let's not forget that small emotions are the great captains of our lives."–—van Gogh

7. 1/80**Post-interview “Thank you” notes

8. !!!!!!Small >>>Big

9. EXCELLENCE!

11. Joe J. Jones 1/3/39 – 3/23/17 Net Worth$21,543,672.48*(*When the NYSE closed on 3/22/17)

12. “In a way, the world is a great liar. It shows you it worships and admires money, but at the end of the day it doesn’t. It says it adores fame and celebrity, but it doesn’t, not really. The world admires, and wants to hold on to, and not lose, goodness. It admires virtue. At the end it gives its greatest tributes to generosity, honesty, courage, mercy, talents well used, talents that, brought into the world, make it better. That’s what it really admires. That’s what we talk about in eulogies, because that’s what’s important. We don’t say, ‘The thing about Joe was he was rich!’ We say, if we can …

13. “ … We say, if we can … ‘The thing about Joe was he took good care of people.’” —Peggy Noonan, “A Life’s Lesson,” on the astounding response to the passing of journalist Tim Russert, The Wall Street Journal, June 21-22, 2008

14. EXCELLENCE is not a “long-term” "aspiration.” EXCELLENCE is the ultimate short-term strategy. EXCELLENCE is … THE NEXT5MINUTES.* (*Or NOT.)

15. EXCELLENCE is not an "aspiration." EXCELLENCE is … THE NEXT FIVE MINUTES. EXCELLENCE is your next conversation. Or not. EXCELLENCE is your next meeting. Or not. EXCELLENCE is shutting up and listening—really listening. Or not. EXCELLENCE is your next customer contact. Or not. EXCELLENCE is saying “Thank you” for something “small.” Or not. EXCELLENCE is the next time you shoulder responsibility and apologize. Or not. EXCELLENCE is waaay over-reacting to a screw-up. Or not. EXCELLENCE is the flowers you brought to work today. Or not. EXCELLENCE is lending a hand to an “outsider” who’s fallen behind schedule. Or not. EXCELLENCE is bothering to learn the way folks in finance [or IS or HR] think. Or not. EXCELLENCE is waaay “over”-preparing for a 3-minute presentation. Or not. EXCELLENCE is turning “insignificant” tasks into models of … EXCELLENCE. Or not.

16. Step Up ToCreating/Living/Maintaining a Vibrant Culture

17. Wall Street Journal:“What matters most to a company over time? Strategy or culture?” Dominic Barton, Managing director, McKinsey:“Culture.” Ed Schein, MIT:“Culture eats strategy for breakfast.”

18. “If I could have chosen not to tackle the IBM culture head-on, I probably wouldn’t have. My bias coming in was toward strategy, analysis and measurement. In comparison, changing the attitude and behaviors of hundreds of thousands of people is very, very hard.Yet I came to see in my time at IBM that culture isn’t just one aspect of the game —IT IS THE GAME.” —Lou Gerstner, Who Says Elephants Can’t Dance

19. “What’s remarkable is how fast a culture can be torn apart.” —top 3M scientist Source: “3M’s Innovation Crisis: How SixSigma Almost Smothered Its Idea Culture,” Cover story, BusinessWeek

20. “Starbucks had become operationally driven, about efficiency as opposed to the romance. We’d lost the soul of the company.” —Howard Schultz on Starbucks’ problems which caused Him to reclaim the CEO job (Shultz calls his association with Starbucks “a love story.”)

21. “Shareholders very seldom love the brands they have invested in. And the last thing they want is an intimate relationship. They want measurability, increasing returns (always) and no surprises (ever). Imagine a relationship with someone like that! “No wonder so many brands lost the emotional thread that had led them to their extraordinary success and turned them instead into metric-munchers of the lowest kind. Watch for the sign: ‘Heads, not hearts, at work here.’ ” Source: Kevin Roberts, Saatchi & Saatchi, Lovemarks: The Future Beyond Brands

22. “The notion that corporate law requires directors, executives, and employees to maximize shareholder wealth simply is not true. There is no solid legal support for the claim that directors and executives in U.S. public corporations have an enforceable legal duty to maximize shareholder wealth. The idea is fable.”—Lynn Stout, professor of corporate and business law, Cornell Law school, in The Shareholder Value Myth: How Putting Shareholders First Harms Investors, Corporations, and the Public

23. “On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy. … Your main constituencies are your employees, your customers and your products.” —Jack Welch, FT, 0313.09, page 1

24. Under-emphasizing the Soft Edge “Far too many companies invest too little time and money in their soft-edge excellence. … The three main reasons for this mistake are: “1. The hard edge is easier to quantify. “2. Successful hard-edge investment provides a faster return on investment. “3. CEOs, CFO, chief operating officers, boards of directors, and shareholders speak the language of finance.” Source: The Soft Edge, Rich Karlgaard

25. Soft-Edge Advantages “1. Soft-edge strength leads to greater brand recognition, higher profit margins, … [It] is the ticket out of Commodityville. “2. Companies strong in the soft edge are better prepared to survive a big strategic mistake or cataclysmic disruption … “3. Hard-edge strength is absolutely necessary to compete, but it provides only a fleeting advantage.” Source: The Soft Edge, Rich Karlgaard

26. "When I was in medical school, I spent hundreds of hours looking into a microscope—a skill I never needed to know or ever use.Yet I didn't have a single class that taught me communication or teamwork skills—something I need every day I walk into the hospital.” —Peter Pronovost, Safe Patients, Smart Hospitals (Pronovost is the principal instigator of the checklist movement. FYI:Checklists virtually useless without massive culture change.)

27. Putting People [REALLY] First/ People Before Strategy

28. “PEOPLE BEFORE STRATEGY” —Lead article, Harvard Business Review. July-August 2015, by McKinnsey MD Dominic Barton, Ram Charan,and Dennis Carey

29. “You have to treat your employees like customers.” —Herb Kelleher, Southwest Airlines, upon being asked his “secret to success” “If you want staff to give great service, give great service to staff.” —Ari Weinzweig, Zingerman’s, in Bo Burlingham’s Small Giants: Companies That Choose to Be Great Instead of Big “What employees experience, Customerswill. The best marketing is happy, engaged employees.YOUR CUSTOMERS WILL NEVER BE ANY HAPPIER THAN YOUR EMPLOYEES.”—John DiJulius, The Customer Service Revolution: Overthrow Conventional Business, Inspire Employees, and Change the World

30. “Nobody comes home after a surgery saying, ‘Man, that was the best suturing I’ve ever seen!’ or ‘Sweet, they took out the correct kidney!’Instead, we talk about the people who took care of us, the ones who co-ordinated the whole procedure—everyone from the receptionist to the nurses to the surgeon.And we don’t just tell stories around the dinner table. We share our experiences through conversations with friends and colleagues and via social media sites.” — Paul Spiegelman and Britt Berrett,PATIENTS COME SECOND: Leading Change By Changing the Way You Lead

31. Press Ganey Assoc:139,380 former patients from 225 hospitals:NONEOF THE TOP 15 FACTORS DETERMINING PATIENT SATISFACTION REFERRED TO PATIENT’S HEALTH OUTCOMEPSatdirectly related to StaffInteractionPSatdirectly correlated with Employee SatisfactionSource: Putting Patients First, Susan Frampton, Laura Gilpin, Patrick Charmel

32. “It may sound radical, unconventional, and bordering on being a crazy business idea. However— as ridiculous as it sounds—joy is the core belief of our workplace. Joy is the reason my company, Menlo Innovations, a customer software design and development firm in Ann Arbor, exists. It defines what we do and how we do it. It is the single shared belief of our entire team.” —Richard Sheridan, Joy, Inc.: How We Built a Workplace People Love

33. Hiring

34. Conveyance:Southwest AirlinesLocation:Albany, NY; boarding flight to BWI

35. 1/9,000 (!) “May I help you down the jetway. …”

36. “We look for ... listening, caring, smiling, saying ‘Thank you,’ being warm.” — Colleen Barrett, former President, Southwest Airlines

37. “The ultimate filter we use [in the hiring process] is that we only hire nice people.… When we finish assessing skills, we do something called ‘running the gauntlet.’ We have them interact with 15 or 20 people, and everyone of them have what I call a ‘blackball vote,’ which means they can say if we should not hire that person. I believe in culture so strongly and that one bad apple can spoil the bunch.There are enough really talented people out there who are nice, you don’t really need to put up with people who act like jerks.” —Peter Miller, CEO Optinose (pharmaceuticals)

38. Observed closely: The use of“I”or“We”during a job interview. Source: Leonard Berry & Kent Seltman, chapter 6, “Hiring for Values,” Management Lessons From Mayo Clinic

39. “I am hundreds of times better here[than in my prior hospital assignment]because of the support system. It’s like you were working in an organism; you are not a single cell when you are out there practicing.’” —quote from Dr. Nina Schwenk, in Chapter 3, “Practicing Team Medicine,” from Leonard Berry & Kent Seltman, from Management Lessons From Mayo Clinic

40. "The personnel committees on all three campuses have become aggressive in addressing the issue of physicians who are not living the Mayo value of exhibiting respectful, collegial behavior to all team members. Some physicians have been suspended without pay or terminated.” —Leonard Barry & Kent Seltman, Management Lessons from Mayo Clinic

41. Leading

42. “The role of the Director is to create a space where the actors and actresses canbecome more than they’ve ever been before, more than they’ve dreamed of being.” —Robert Altman, Oscar acceptance speech

43. WINNERS & LOSERS AND THE WINNERS AREN’T/ARE

44. “Mr. Foster and his McKinsey colleagues collected detailed performance data stretching back 40 years for1,000U.S. companies.They found thatNONEofthe long-term survivors managed to outperform the market. Worse, the longer companies had been in the database, the worse they did.” —Financial Times

45. WINNERS & LOSERS AND THE WINNERS AREN’T/ARE

46. “AMERICA’S BEST RESTROOM” —Sixth Annual competition sponsored by Cintas Corporation, a supplier of restroom cleaning and hygiene products; from Retail Superstars: Inside the 25 Best Independent Stores in America, by George Whalin

47. “WE WANT THEM IN OUR STORES.”7X. 7:30A-8:00P. Fri/12A.7:30AM = 7:15AM.8:00PM = 8:15PM.(+2,000,000 dog biscuits)Source: Source: Fans! Not Customers. How to Create Growth Companies in a No Growth World, Vernon Hill with Bob Andelman

48. 2,000,000

49. YESBANK**Commerce Bank

50. “YESBANK”: “When we had a processing problem with MasterCard, it came to our attention that a customer couldn’t pay for their airline flights. A Metro Bank team member stepped in. She put the customer’s flights on her personal credit card so that the customer could still take advantage of a good deal, and later—with their permission, of course— transferred the money from their account.” Source: Fans! Not Customers. How to Create Growth Companies in a No Growth World, Vernon Hill with Bob Andelman