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Page 1: Space power! Tom Peters/0415.09. NOTE: To appreciate this presentation [and ensure that it is not a mess ], you need Microsoft fonts: Showcard Gothic,

Space Space power! power!

Tom Peters/0415.09Tom Peters/0415.09

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NOTENOTE:: To appreciateTo appreciate this presentation this presentation [and ensure [and ensure

that it is not a that it is not a messmess],], you need you need Microsoft fonts:Microsoft fonts:

“Showcard Gothic,”“Showcard Gothic,” “Ravie,”“Ravie,” “Chiller”“Chiller”

andand “Verdana”“Verdana”

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PremisePremise

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““Power Power Freaks” Move Freaks” Move

Things Around!Things Around!

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ManagingManaging spacespace—broadly defined —broadly defined

here—is an incredibly powerful way to bring here—is an incredibly powerful way to bring about change. Moreover, it is a “change tool” about change. Moreover, it is a “change tool”

that’s typically underutilized. And a change tool that’s typically underutilized. And a change tool that’s readily available because of the fact that that’s readily available because of the fact that

others are unaware of the potency of the tool or others are unaware of the potency of the tool or the degree to which small changes in “space the degree to which small changes in “space

management” can have enormous management” can have enormous consequences. I thought I’d collect a few consequences. I thought I’d collect a few

examples here, from the mundane to the grand, examples here, from the mundane to the grand, to make the point. And, obviously, I hope to to make the point. And, obviously, I hope to

pique your interest if you don’t happen to be a pique your interest if you don’t happen to be a fanatic on this topic …fanatic on this topic …

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Cases:Cases: #1#1

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Geologists + Geologists + Geophysicists + Geophysicists +

A little bit of love =A little bit of love =

OilOil

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A story from my McKinsey days: In an oil company engagement, we A story from my McKinsey days: In an oil company engagement, we were looking at variation in companies’ success in finding oil. It’s not were looking at variation in companies’ success in finding oil. It’s not

as simple as I’m making it here, but one company did stand out—as simple as I’m making it here, but one company did stand out—and one variable seemed to be of extraordinary importance. and one variable seemed to be of extraordinary importance.

Throughout history, all functional organizations are at war with all Throughout history, all functional organizations are at war with all other functional organizations. (The famed and ever so potent “silos other functional organizations. (The famed and ever so potent “silos

problem.”) Scientists are amongst the worst actors. In oil-finding problem.”) Scientists are amongst the worst actors. In oil-finding there are two particularly important scientific regimes. Geologists—there are two particularly important scientific regimes. Geologists—

who like rocks. And geophysicists—who like data about rocks. who like rocks. And geophysicists—who like data about rocks. (I greatly overstate.) At any rate they are historically warring (I greatly overstate.) At any rate they are historically warring

tribes. tribes. The “terrific” oil-finding company was The “terrific” oil-finding company was the only one which co-mingled—physicallythe only one which co-mingled—physically—the two groups—the two groups.. The “synergy”—normally a word that The “synergy”—normally a word that

scares me—that came from this co-mingling was, it appeared, to the scares me—that came from this co-mingling was, it appeared, to the company and to us, through results and interviews, was company and to us, through results and interviews, was

extraordinary.extraordinary.

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#2#2

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Stanford’s Multi-Stanford’s Multi-disciplinary disciplinary

Center, GSK’s Center, GSK’s CEDDs …CEDDs …

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Space as strategy:Space as strategy: Stanford’s Stanford’s

president says the great institution’s destiny will come president says the great institution’s destiny will come via multi-disciplinary research. Such is the nature of the via multi-disciplinary research. Such is the nature of the great problems confronting the world. Executing such a great problems confronting the world. Executing such a strategy has many parts. But one of the most important strategy has many parts. But one of the most important is a physical building which will be specifically devoted is a physical building which will be specifically devoted

to multi-disciplinary research. Along the same lines, to multi-disciplinary research. Along the same lines, GlaxoSmithKline aimed to speed up drug discovery via GlaxoSmithKline aimed to speed up drug discovery via multi-disciplinary teams. Again, a major component was multi-disciplinary teams. Again, a major component was

space space (a “home”)(a “home”) for each of the firm’s for each of the firm’s CEDDs/Centers for Excellence in Drug Discovery.CEDDs/Centers for Excellence in Drug Discovery.

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#3#3

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>100 >100 feet = feet = 100 100

milesmiles

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It was the only chart we used in It was the only chart we used in In Search of ExcellenceIn Search of Excellence! ! It arrived courtesy the research of Tom Allen and his It arrived courtesy the research of Tom Allen and his colleagues at MIT. Studying communication patterns, colleagues at MIT. Studying communication patterns, they discovered that people more than a hundred feet they discovered that people more than a hundred feet

apart might as well, in terms of communication apart might as well, in terms of communication frequency, be 100 miles apart!. Internet or no Internet frequency, be 100 miles apart!. Internet or no Internet

(these days), that is nothing short of … (these days), that is nothing short of …

stunning!stunning! And the implications are And the implications are

nothing short of profound!nothing short of profound!

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#4#4

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It It BEGINSBEGINS (and (and ENDSENDS) )

in the …in the …

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parkingparking lotlot**

*Disney*Disney

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Space of a sort. The psychology is clear. An enormous Space of a sort. The psychology is clear. An enormous share of our perception of something is determined by share of our perception of something is determined by

first and last impressions. “Duh,” you say. To which I say, first and last impressions. “Duh,” you say. To which I say, “Okay, I know you know that—but do you truly “Okay, I know you know that—but do you truly

OBSESSOBSESS on the design and management of … on the design and management of …

Beginnings and EndingsBeginnings and Endings? ?

The longtime master of this is Disney. Disney, in its The longtime master of this is Disney. Disney, in its parks, puts as much effort into the design of the “parking parks, puts as much effort into the design of the “parking

lot experience” as it does into their rides. In particular, lot experience” as it does into their rides. In particular, the parking lot attendants are considered primo members the parking lot attendants are considered primo members

of the “performance arts” team—selection, uniforms, of the “performance arts” team—selection, uniforms, training, etc of those attendants is a no-baloneytraining, etc of those attendants is a no-baloney

strategicstrategic issue. issue.

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#5#5

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RoundRound = =

2X/all2X/allx

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Table shapeTable shape … as a … as a

“strategic” variable? Yup! At a round table there are more “strategic” variable? Yup! At a round table there are more or less twice as many comments as there are at a square or less twice as many comments as there are at a square table—moreover, the % of people who participate shoots table—moreover, the % of people who participate shoots

through the roof in the round (more equitable) through the roof in the round (more equitable) environment.environment.

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#6#6

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see see greengreen = recover = recover

20% 20% fasterfaster

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If patients see If patients see greenerygreenery through their window, recovery time may shrink by as through their window, recovery time may shrink by as

much as 20%. much as 20%.

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#7#7

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““Paint it Paint it white!”white!”

— — On Hashem Akbari’s [Lawrence Livermore labs] powerful programOn Hashem Akbari’s [Lawrence Livermore labs] powerful program to significantly reduce greenhouse gas emissions; using conservativeto significantly reduce greenhouse gas emissions; using conservative

assumptions, it could assumptions, it could reduce 44 billion tons of CO2reduce 44 billion tons of CO2 emissions by cooling buildings, roads, entire cities (emissions by cooling buildings, roads, entire cities (The GuardianThe Guardian, 0116.09), 0116.09)

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Okay, it’s not really space except in a convoluted way Okay, it’s not really space except in a convoluted way (roof = space), but it is such a great story: In effect, a few (roof = space), but it is such a great story: In effect, a few

cans of white paint would change the world. Paint (or cans of white paint would change the world. Paint (or otherwise coat) roofs, roads, etc otherwise coat) roofs, roads, etc

WHITE WHITE —and save—and save

44 Billion Tons44 Billion Tons of CO2. of CO2.

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#8#8

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Trash the Trash the waste waste

baskets …baskets …

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… … paper paper recycling recycling

soars!soars!

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No waste baskets under individual desks No waste baskets under individual desks

leads to a jump, in fact leads to a jump, in fact leapleap,,

in paper recycling. in paper recycling.

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#9#9

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6.56.5 feet Away feet Away ==

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6.56.5 feet Away feet Away = =

--6363% % “Seconds”*“Seconds”*

*Plate size, etc, first serving dish*Plate size, etc, first serving dish

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Amazing as it sounds, experiments suggest it’s true: If a Amazing as it sounds, experiments suggest it’s true: If a serving plate is six-and-a-half feet away, the number of serving plate is six-and-a-half feet away, the number of second helpings does down by almost two-thirds. And second helpings does down by almost two-thirds. And

on it goes: on it goes: smaller platessmaller plates, less food , less food

consumed. First plate out is vegetables, and, yes, more consumed. First plate out is vegetables, and, yes, more vegetables are consumed.vegetables are consumed.

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#10#10

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Parking lot Parking lot location + Van location + Van

schedule +schedule +Elevator speed + Elevator speed +

Food court Food court location …location …

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Sprint, in its old incarnation, did a bunch of “little” things Sprint, in its old incarnation, did a bunch of “little” things

to enhance fitness and health. The to enhance fitness and health. The parking lotparking lot

is a quarter mile from the office—and theis a quarter mile from the office—and the vansvans are are

scheduled infrequently. The scheduled infrequently. The elevatorselevators are are

maddeningly slow in a three-floor building. The maddeningly slow in a three-floor building. The food food courtcourt is not centrally located—it’s as far away from is not centrally located—it’s as far away from

as many people as possible.as many people as possible.

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#11#11

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Big carts =Big carts =

1.5X1.5XSource: Wal*MartSource: Wal*Mart

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Wal*Mart increased shopping cart size—and saw its big-Wal*Mart increased shopping cart size—and saw its big-item purchases soar by item purchases soar by

50%.50%.

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#12#12

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Bag sizes = New markets:Bag sizes = New markets:

$B$BSource: PepsiCoSource: PepsiCo

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Frito Lay went through a period years ago of trying to Frito Lay went through a period years ago of trying to develop “blockbuster” products—to no avail. At one develop “blockbuster” products—to no avail. At one

point the idea of changing bag sizes surfaced—hardly a point the idea of changing bag sizes surfaced—hardly a blockbuster! New bag sizes were added—and revenue blockbuster! New bag sizes were added—and revenue soared by perhaps more than a billion $$$. Turns out: soared by perhaps more than a billion $$$. Turns out:

New bag size = New New bag size = New marketmarket. Standard bag sales stayed the same . Standard bag sales stayed the same

(no cannibalization), while the picnic-tailgate party (no cannibalization), while the picnic-tailgate party big big bagbag sales-“market” went through the roof! sales-“market” went through the roof!

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#13#13

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3M’s nooks, 3M’s nooks, Apple’s dorm Apple’s dorm

commons room commons room look look

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In a new HQ in Austin, 3M designed little sitting areas In a new HQ in Austin, 3M designed little sitting areas

near the restrooms—informal, near the restrooms—informal, multi-disciplinary multi-disciplinary noodling increased markedly.noodling increased markedly. Apple, in a Apple, in a

new R&D center designed seating areas: The ones new R&D center designed seating areas: The ones decorated formally went virtually unused; the ones with decorated formally went virtually unused; the ones with

low ceilings and comfy, unimposing low ceilings and comfy, unimposing furniturefurniture were always beehives of activity. were always beehives of activity.

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#14#14

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““Broken windows”: Clean Broken windows”: Clean the streets, fix the broken the streets, fix the broken windows, ticket the open-windows, ticket the open-beer-can holders, etc, etcbeer-can holders, etc, etc

== Sense of orderSense of order = Crime way down= Crime way down

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The “broken windows” theory of policing has created no The “broken windows” theory of policing has created no less than a revolution. To make a long story short, and a less than a revolution. To make a long story short, and a complex story simple: If you work on the “little” things complex story simple: If you work on the “little” things

that connote order— that connote order— fix broken fix broken windows, clean up sidewalkswindows, clean up sidewalks

—a community’s crime rate often tumbles. Issuing —a community’s crime rate often tumbles. Issuing citations for little things—such as an open alcohol citations for little things—such as an open alcohol

container—adds to the potency of the idea.container—adds to the potency of the idea.

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#15#15

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Deduction Deduction vs.vs. cash cashx

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Major recessionary issue: getting people into the stores Major recessionary issue: getting people into the stores and spending! If a government incentive comes in the and spending! If a government incentive comes in the

form a reduced payroll tax deduction form a reduced payroll tax deduction shown on a shown on a pay stubpay stub, people tend to pay little attention and , people tend to pay little attention and

thence save the money. (Not a bad idea in most thence save the money. (Not a bad idea in most circumstances—but not right now.) If the incentive circumstances—but not right now.) If the incentive

comes in the form of a comes in the form of a checkcheck, it’s seen as a windfall, , it’s seen as a windfall, and most of it will end up in the stores’ coffers! and most of it will end up in the stores’ coffers!

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#16#16

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401(k) active opt-in:401(k) active opt-in: 45%45%401(k) as default:401(k) as default: 86%86%Source: Source: New York TimesNew York Times, 1202.08 (research by Richard, 1202.08 (research by Richard Thaler, co-author Thaler, co-author NudgeNudge))

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Design a form one way or another … and the world is Design a form one way or another … and the world is turned upside down—or not. When opting in or out of a turned upside down—or not. When opting in or out of a

401(k) plan, if 401(k) plan, if opting in is the default opting in is the default option … option … 86%86% sign up. But if one must sign up. But if one must take an take an

action to opt inaction to opt in … only … only 45%45% sign up. Hence a sign up. Hence a tiny format leads to doubling or halving an incredibly tiny format leads to doubling or halving an incredibly important decision regarding one’s future financial important decision regarding one’s future financial

wellbeing.wellbeing.

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#17#17

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Promised vs Delivered:Promised vs Delivered:

+15%+15%Source; Elgin Corrugated BoxSource; Elgin Corrugated Box

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A specialty corrugated cardboard box company, Elgin A specialty corrugated cardboard box company, Elgin Corrugated Box, was fanatic about finishing and Corrugated Box, was fanatic about finishing and

delivering orders on or ahead of time. To get the most delivering orders on or ahead of time. To get the most bang-for-the-buck from this obsession, they changed bang-for-the-buck from this obsession, they changed their invoice. After each order description, they added their invoice. After each order description, they added

two columns: two columns: ORDER DUE.ORDER DUE. ORDER ORDER ARRIVEDARRIVED. Given their practices, the “Arrived” was . Given their practices, the “Arrived” was

unfailinglyunfailingly on or before the “Due” date. By the simple on or before the “Due” date. By the simple fact of the two columns which fact of the two columns which visibly reminded visibly reminded the the

customer of Elgin’s timeliness … revenues increased by customer of Elgin’s timeliness … revenues increased by an estimated 15%.an estimated 15%.

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#18#18

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Item #1Item #1

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You want Customer Retention to become an You want Customer Retention to become an obsession. There are a raft of ways to make that obsession. There are a raft of ways to make that

happen, including blunderbuss shots like a happen, including blunderbuss shots like a significantly altered incentive scheme. But there significantly altered incentive scheme. But there

are visual ways as well. And one of the most are visual ways as well. And one of the most powerful is to ensure that at every meeting on powerful is to ensure that at every meeting on

any topic—HR and IS as much as marketing—the any topic—HR and IS as much as marketing—the

FIRST ITEMFIRST ITEM on the/any Agenda is on the/any Agenda is

ALWAYSALWAYS … Customer Retention. … Customer Retention. PrimacyPrimacy and and RepetitionRepetition thereof are in fact powerful thereof are in fact powerful

beyond measure.beyond measure.

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#19#19

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Walls of Walls of yesterday? yesterday?

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Walls of Walls of tomorrow?tomorrow?

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When Steve Jobs returned from the wilderness to Apple When Steve Jobs returned from the wilderness to Apple a few years ago, he ordered all signs of past glory a few years ago, he ordered all signs of past glory

removed from the premises. The walls and halls wouldremoved from the premises. The walls and halls would

be be harbingers of tomorrow’s harbingers of tomorrow’s dreamsdreams, not reminders of yesterday’s , not reminders of yesterday’s

accomplishments. I remember years ago seeing a picture accomplishments. I remember years ago seeing a picture of a retired CEO in his study—walls covered with photos of a retired CEO in his study—walls covered with photos of the great men he’d met in the past. Not all bad, but the of the great men he’d met in the past. Not all bad, but the

guy didn’t look all that old, and I remember thinking, guy didn’t look all that old, and I remember thinking, “How sad, no sign of tomorrow.” I think this idea is “How sad, no sign of tomorrow.” I think this idea is

important.important.

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#20#20

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4F/FFFF4F/FFFF* = Peters (F**) * = Peters (F**) + Waterman (Closet + Waterman (Closet

F**) + F**) + SFSF (F***) (F***) =ISOE (F****)/Re-=ISOE (F****)/Re-invention of McKinseyinvention of McKinsey**FFind a ind a FFellow ellow FFreak reak FFarawayaraway****FFreak, Closet reak, Closet FFreakreak***San Francisco = ***San Francisco = FFaraway Home of araway Home of FFreaksreaks********FFreak-ish Product (reak-ish Product (In Search of ExcellenceIn Search of Excellence) )

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Place that looks like a Place that looks like a skunk lives there =skunk lives there =

Skunkworks = Skunkworks = InnovationInnovation

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I call it the “4F Strategy.” Or: I call it the “4F Strategy.” Or: Find a Fellow Find a Fellow Freak FarawayFreak Faraway. It’s nigh on impossible to get a . It’s nigh on impossible to get a

real innovation going close to headquarters. Big League corporate real innovation going close to headquarters. Big League corporate politics makes a mess of things. Got a great idea as an HQ staffer? politics makes a mess of things. Got a great idea as an HQ staffer? Find a testbed (“playground,” a prominent friend calls it) a long way Find a testbed (“playground,” a prominent friend calls it) a long way from the power center—and a Fellow Freak (“playmate”) and get on from the power center—and a Fellow Freak (“playmate”) and get on

with it. The project that launched with it. The project that launched In Search of ExcellenceIn Search of Excellence was was conducted in San Francisco, roughly 3,000 miles away from conducted in San Francisco, roughly 3,000 miles away from

McKinsey’s HQ. There’s more to the story, obviously, but the several McKinsey’s HQ. There’s more to the story, obviously, but the several degrees of separation made a huge difference. Another moniker for degrees of separation made a huge difference. Another moniker for

all this is the all this is the “Skunkworks”“Skunkworks” idea, pioneered by idea, pioneered by

Lockheed to hastily build such aircraft as the SR-71 spy plane, Lockheed to hastily build such aircraft as the SR-71 spy plane, crucial to Cold War success. The point (redux): When you need crucial to Cold War success. The point (redux): When you need

something Weird & Quick—put a streamlined team of Weirdos in the something Weird & Quick—put a streamlined team of Weirdos in the boonies! While there’s more to the story, the idea of a Tight-knit, boonies! While there’s more to the story, the idea of a Tight-knit, Spartan Band of Renegades burrowed in a Distant Den has been Spartan Band of Renegades burrowed in a Distant Den has been

proven to work time and time again.proven to work time and time again.

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#21#21

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MBWMBWAA

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When Bob Waterman and I wrote When Bob Waterman and I wrote In Search of ExcellenceIn Search of Excellence in in 1982, business was “by the numbers”—and the Americans 1982, business was “by the numbers”—and the Americans were struggling (to put it mildly) with hands on, tactile stuff, were struggling (to put it mildly) with hands on, tactile stuff,

like Japanese quality. Then, at Hewlett Packard, welike Japanese quality. Then, at Hewlett Packard, we were introduced to the famed “HP Way,” the centerpiece of were introduced to the famed “HP Way,” the centerpiece of which was in-touch management. HP had a term for this … which was in-touch management. HP had a term for this …

MBWA.MBWA. (Managing By (Managing By Wandering Around.)Wandering Around.) Bob Bob

and I immediately fell in love. Not only was the idea per se and I immediately fell in love. Not only was the idea per se important and cool, but it symbolized everything we were important and cool, but it symbolized everything we were

coming to cherish—enterprises where bosses-leaders were in coming to cherish—enterprises where bosses-leaders were in immediate touch with and emotionally attached to workers, immediate touch with and emotionally attached to workers,

customers, the product. The idea is as important or more customers, the product. The idea is as important or more important in fast-paced 2009 as it was in 1982.important in fast-paced 2009 as it was in 1982.

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#21A#21A

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““20-20-minute minute

rule”rule” —Craig Johnson/30 yrs

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Craig Johnson, a famed Venture Capitalist Craig Johnson, a famed Venture Capitalist

for three decades …for three decades … refuses to refuses to invest in companies invest in companies that are more than a that are more than a 20-minute drive from 20-minute drive from his office.his office. To guide them through To guide them through

the serpentine path ahead, he insists that he the serpentine path ahead, he insists that he must be in constant touch as banker, must be in constant touch as banker,

advisor, friend.advisor, friend.

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#21B#21B

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Pat pays a Pat pays a visit …visit …

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Pat Carrigan was GM’s first woman assembly plant boss. She was Pat Carrigan was GM’s first woman assembly plant boss. She was tough as nails. Upon taking, she immediately went to the plant floor tough as nails. Upon taking, she immediately went to the plant floor and paid a visit to the local union boss. They had to partner or lose and paid a visit to the local union boss. They had to partner or lose

the plant—that was her message. But the real message was the visit the plant—that was her message. But the real message was the visit

itself. The union chief told me in a TV interview, itself. The union chief told me in a TV interview, “In all my “In all my years here, whenever there was an issue, I years here, whenever there was an issue, I was summoned to the factory boss’ office . was summoned to the factory boss’ office . Literally, Tom, in over a decade in this role, Literally, Tom, in over a decade in this role, a plant boss has never walked to the shop a plant boss has never walked to the shop

floor, knocked on the door to my little floor, knocked on the door to my little office, and asked if they could come in for office, and asked if they could come in for a chat.”a chat.” There’s the There’s the concept concept of partnership. And the of partnership. And the realityreality of of

partnership. That visit per se was as important as the verbal partnership. That visit per se was as important as the verbal message. (Obviously this act did not save GM. But a lot more like it message. (Obviously this act did not save GM. But a lot more like it

just might have.)just might have.)

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#21C#21C

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WALKWALK

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The key to the dramatic strategy shift The key to the dramatic strategy shift instituted by General David Petraeus instituted by General David Petraeus

in Iraq was working with in Iraq was working with neighborhoods. In his office, he had a neighborhoods. In his office, he had a giant poster with his four (only four) giant poster with his four (only four)

principles that marked his new principles that marked his new Strategy. The last was in enormous in Strategy. The last was in enormous in

size—and in red. Namely: size—and in red. Namely:

WALKWALK. In a world of soldiers . In a world of soldiers

in armed Humvees, a human-physical in armed Humvees, a human-physical presence was key to a new approach.presence was key to a new approach.

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#22#22

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We We areare the the companycompany we keepwe keep

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““You will become You will become like the five people like the five people you associate with you associate with the most—this can the most—this can

be either a blessing be either a blessing or a curse.”or a curse.” —Billy Cox—Billy Cox

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We are what we eat … obviously. And we are who we We are what we eat … obviously. And we are who we hang out with—just as obviously. These are throw away hang out with—just as obviously. These are throw away

lines—but in my opinion are truly lines—but in my opinion are truly PROFOUNDPROFOUND lines as well. These lines, as the Cox quote suggests, are lines as well. These lines, as the Cox quote suggests, are good news or bad news—VERY good news or VERY bad good news or bad news—VERY good news or VERY bad

news often enough. But the GREAT news is that this news often enough. But the GREAT news is that this frequently invisible variable is frequently invisible variable is

CONTROLLABLECONTROLLABLE—and controllable from a —and controllable from a less-than-powerful position. Manage “hang out with” as a less-than-powerful position. Manage “hang out with” as a

strategic strategic variable—and you can move mountains! variable—and you can move mountains!

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Measure “Strangeness”/Portfolio QualityMeasure “Strangeness”/Portfolio Quality

StaffStaffConsultantsConsultants

VendorsVendorsOut-sourcing Partners Out-sourcing Partners (#, Quality)(#, Quality)

Innovation Alliance PartnersInnovation Alliance PartnersCustomersCustomers

Competitors Competitors (who we “benchmark” against)(who we “benchmark” against)

Strategic Initiatives Strategic Initiatives Product Portfolio Product Portfolio (Line Extension v. Leap)(Line Extension v. Leap)

IS/IT ProjectsIS/IT ProjectsHQ LocationHQ LocationLunch MatesLunch Mates

LanguageLanguageBoardBoard

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The “We are what we eat”The “We are what we eat” Axiom I: Axiom I: At its core, At its core, evereveryy (!!!) (!!!)

relationship-partnership relationship-partnership decision (employee, vendor, decision (employee, vendor,

customer, lunchmate, etc) is a customer, lunchmate, etc) is a stratestrateggicic decision about: decision about:

“Innovate,“Innovate, ‘Yes’ or ‘Yes’ or ‘No’

””

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The “We are what we eat”The “We are what we eat”

Axiom II: Axiom II: “Hang out “Hang out with ‘cool’ and thou with ‘cool’ and thou shalT become more shalT become more cool. Hang out with cool. Hang out with ‘dull’ and thou shalT ‘dull’ and thou shalT become more dull. become more dull.

Period.”Period.”

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Let me put it as plainly as I can: Let me put it as plainly as I can: I THINK-I THINK-INSIST THAT “HANG OUT” [ON INSIST THAT “HANG OUT” [ON

DAMN NEAR ANY DIMENSION] IS DAMN NEAR ANY DIMENSION] IS

THE THE #1#1 MANAGEMENT- MANAGEMENT-

LEADERSHIP TOOL IN LEADERSHIP TOOL IN DETERMINING THE DETERMINING THE

INNOVATIVENESS—OR LACK INNOVATIVENESS—OR LACK THEREOF—OF AN THEREOF—OF AN ORGANIZATION!ORGANIZATION!

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ConclusionConclusion

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Little =Little =

BIBIGG

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(1)(1) Amenable to rapid Amenable to rapid experimentation/failure experimentation/failure

“free” “free” (No bad “PR,” No $$)(No bad “PR,” No $$)(2)(2) Quick to implement/Quick to Quick to implement/Quick to Roll outRoll out(3)(3) Inexpensive to implement/ Inexpensive to implement/ Roll outRoll out(4)(4) Huge multiplier Huge multiplier(5)(5) An “Attitude” An “Attitude”(6) (6) Does not by and large require aDoes not by and large require a “ “power position” from which power position” from which

toto launch experiments.launch experiments.

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The wonder of “all this” is that it has The wonder of “all this” is that it has enormous enormous power potentialpower potential, and it’s , and it’s inexpensive, inexpensive, quick quick andand does not require a top job does not require a top job

from which to launch experiments! The bad news (if it is from which to launch experiments! The bad news (if it is

that) that it is an that) that it is an “attitude”“attitude” rather than a program— rather than a program—one needs to be convinced of the potential and must be one needs to be convinced of the potential and must be willing to try a lot of stuff (tiny modifications to a single willing to try a lot of stuff (tiny modifications to a single

variable spell doom—or remarkable success).variable spell doom—or remarkable success).

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(1)(1) Half-day/25 ideasHalf-day/25 ideas(2)(2) One week/5 One week/5

experimentsexperiments(3) (3) One month/Select best One month/Select best

22(4) (4) 60-90 days/Roll out60-90 days/Roll out

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““Design is Design is evereveryythinthing. g. Everything is Everything is desidesiggnn.”.”

““We are We are allall designers.” designers.”

Inspiration:Inspiration: The Power of Design: A Force for The Power of Design: A Force for Transforming Everything, Transforming Everything, Richard FarsonRichard Farson

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Go for it!Go for it!