4 secrets of succesful organisations

8/20/2019 4 Secrets of Succesful Organisations

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OTHER BOOKS BY BUD BILANICHSupervisory Leadership and the Ne !a"tory# $ettin%E&traordinary Thin%s Done on the Shop !'oor Usin% (a'ues toTurn (ision into Rea'ity

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A D (A N C E * R A I S E

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!our Se"rets o+ Hi%h *er+or,in% Or%ani-ations.An e'e%ant'y si,p'e /ut "o,p'ete e&p'anation o+ the /estprin"ip'es o+ 'eadership0 This /oo1 serves as a re,inder o+ thepoer and i,portan"e o+ doin% the /asi"s e''0 It /e'on%s in theready re+eren"e se"tion o+ any thou%ht+u' ,ana%er02 Karen Katen3E&e"utive (i"e *resident3 *+i-er In"4 *resident3 *+i-er $'o/a'*har,a"euti"a's .Si,p'e /ut poer+u' "on"epts "o,e to 'i+e inthis very reada/'e /oo10 Anyone interested in "reatin% a hi%h

per+or,in% or%ani-ation i'' /ene+it +ro, the ideas in it02 ChaseCarey3 Chair,an and CEO3 !o& Te'evision $roup .This /oo1 is 5a,pa"1ed ith use+u'3 rea'6or'd in+or,ation0 It pinpoints thei,portan"e o+ ,ovin% /eyond ,ere %ood intentions to a"tion0 BudBi'ani"h has %iven /usiness peop'e everyhere a ,ode' +or truesu""ess0 Buy it3 read it3 USE IT72 Eri" Harvey3 *resident o+ the8a'1 the Ta'1 Co,pany and author o+ the popu'ar 8a'1 the Ta'1/oo1 series


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.Bud Bi'ani"h does a %reat 5o/ o+ e&p'ainin% the "o,p'e&ities o+/usiness in the 9:st "entury and in o++erin% a si,p'e3 easy6to6useset o+ ideas any 'eader "an use to "reate a hi%h per+or,in%or%ani-ation02 Lee Bo',an and Terry Dea'3 "o6authors3 Leadin%ith Sou' .I 'oved this 'itt'e /oo10 It as +un to read and ,ade

,e thin10 It thrusts the reader into the ,ind o+ a CEO and shoshat it ta1es to "reate and ,aintain a hi%h per+or,in%or%ani-ation0 I;, /uyin% a "opy +or a'' o+ ,y "'ients02


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.A %reat story +u'' o+ isdo, that app'ies to 'eaders o+ a'' typeso+ or%ani-ations3 re%ard'ess o+ ,ission0 I;ve ,ade a a''et6si-ed"ard o+ the +our se"rets and use the, in ,y day6to6day or10C'arity3 "o,,it,ent3 e&e"ution and re'ationships or1 +or ,e02


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.Bud Bi'ani"h;s story o+ Dia,ond In"0 i'' prove he'p+u' to anyoneantin% to understand ho to %ain ,ore "'arity and /ui'de++e"tive re'ationships in any type o+ or%ani-ation02 *au' R0Sauera"1er3 Chair,an o+ the Board3 *resident > CEO3 =inera'sTe"hno'o%ies In"0 .!or%et a'' the 'atest /oo1s on the se"rets o+

,ana%e,ent0 This /oo1 %oes to the essen"e o+ /usiness su""ess/y des"ri/in% via one inte%rated e&a,p'e hat your or%ani-ation,ust do to /e"o,e a hi%h'y "o,petent +or"e in a "o,p'e&environ,ent02 Bi'' Ra'ston3 C!O and Head o+ Consu'tin%3 SRIConsu'tin% Business Inte''i%en"e .$reat ideas and +un to read0 A,ust6have too' +or anyone in a 'eadership position interested in"reatin% a hi%h per+or,in% or%ani-ation02 *atsi Kra1o++3 *sy0D03*u/'isher3 Coa"hin% =atters .A 9?6"arat %e, o+ a /oo14 "'ear3

,u'ti6+a"eted and spar1'in% in its si,p'i"ity02 Bi'' Ha'dane3Ha'dane Dio%enes E&e"utive Sear"h


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.Bi'ani"h presents a "'ear +ra,eor1 +or "reatin% a hi%hper+or,in% or%ani-ation0 Co,panies invo'ved in a ,er%er ou'd doe'' to heed the advi"e in this /oo102 =it"he'' L0 =ar1s3 author3


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.The author o+ Supervisory Leadership and Usin% (a'ues to Turn(ision Into Rea'ity stri1es a%ain7 Bud Bi'ani"h has ritten a /oo1ith rea' heart3 e&p'ainin% ho to re'ease pent6up ener%y andrevive the enthusias, needed to "reate a hi%h per+or,in%or%ani-ation0 It is a use+u' too' +or a'' 'eaders02 Sa''y Si,pson3

Dire"tor Hu,an Resour"es3 !'uid Syste,s $roup3 DanaCorporation .At =i"roso+t3 e e,p'oy pre"ision thin1in%0 The+irst step in this pro"ess is a %ono6%o; de"ision0 This /oo1 is a%o0; It i'' put you on the ri%ht path toard su""ess0 The rest isup to you02


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.Bud Bi'ani"h 1nos hat CEOs need to 1no0 Read this /oo1 i+ you ant to 1no it too02 De/ra Benton3 author3 Se"rets o+ a CEOCoa"h and Ho to Thin1 Li1e a CEO


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Beyond the !'avor o+ the =onth to Lastin% Resu'ts

BUD BILANICH

F S0 Co'orado B'vd03 G ) Denver3 CO ?9J ) ?00?J


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Copyri%ht 9??9 /y !ront Ro *ress0 A'' ri%hts reserved0 Nopart o+ this pu/'i"ation ,ay /e used or reprodu"ed3 stored in aretrieva' syste,3 or trans,itted in any +or, or /y any ,eans3e'e"troni"3 ,e"hani"a'3 photo"opy3 re"ordin% or otherise ithoutthe prior ritten "onsent o+ the pu/'isher0 *u/'ished /y !rontRo *ress F S0 Co'orado B'vd03 G Denver3 CO ?9J M?6?J

ISBN :696:6 Li/rary o+ Con%ress Contro' Nu,/er#9??9:?J


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D E D I C AT E D T OBrennan !rederi"1 Nee'' : 6 9??? .!ree as a /ird no 0 0 02


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ACKNO8LED$E=ENTS

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ritin% a /oo1 is not easy0 Atte,ptin% to than1 a'' the peop'e

ho have he'ped ,a1e this /oo1 possi/'e is a',ost as di++i"u't0

!irst3 I;d 'i1e to than1 Cathy3 ,y onder+u' i+e0 8ithout her3 I"ou'd never ,ana%e ,y di++i"u't trave'3 "onsu'tin% and ritin%s"hedu'e0 Over the years I;ve had the %ood +ortune o+ or1in%ith ,any peop'e ho have provided ,e ith the insi%ht I neededto rite this /oo10 Tony =adda'una3 Nat Ri""iardi3


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ACKNO8LED$E=ENTS

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Severa' o+ ,y +riends and "o''ea%ues read and "o,,ented on the,anus"ript0 8arren =ersereau3 Don Kir1patri"13 Bo/ Barton andI spent severa' hours dis"ussin% everythin% a/out the /oo13 +ro,its "ontent to its desi%n0 Than1s %uys3 I oe you7


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!ORE8ORDERIC

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BY

HAR(EY

O

ne o+ the +un thin%s a/out ritin% a /oo1 is that you %et to ,eet

a 'ot o+ interestin% peop'e on"e the /oo1 is pu/'ished0 A+ter 8a'1the Ta'1 as pu/'ished3 Bud Bi'ani"h as one o+ the ,ostinterestin% peop'e A' Lu"ia and I had the %ood +ortune to ,eet0Bud "a''ed us a+ter he read our /oo10 He said that he 'i1ed our

ideas and anted to dis"uss the, +urther0 He +'e to Da''as oneday a/out ei%ht years a%o to ta'1 a/out the re'ationship /eteenor%ani-ationa' va'ues and hi%h per+or,an"e0 That ,eetin% ,ar1edthe /e%innin% o+ an interestin% and reardin% pro+essiona' andpersona' re'ationship /eteen Bud and ,e0 !our Se"rets o+ Hi%h*er+or,in% Or%ani-ations is Bud;s third /oo10 Li1e the other to3it is +u'' o+ pra"ti"a' isdo, presented in an entertainin%3 easy6to6read3 don6to6earth ,anner0 Bud shares ,y /e'ie+ that si,p'e

is /etter than "o,p'e&0 His /oo1s re+'e"t his a/i'ity to %rapp'eith "o,p'e& "on"epts and present the, in an easi'yunderstanda/'e ,anner0 This /oo1 te''s the story o+ Dia,ond In"0and Brennan Nee''3 its CEO0 As you read3 you;'' 'earn the +ourse"rets o+ Dia,ond;s su""ess# C'arity3 Co,,it,ent3 E&e"ution and


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Re'ationships0 8hi'e these ,ay sound 'i1e "o,,on6sense3 =o,6and6app'e6pie ideas3 don;t)

!ORE8ORD

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thin1 that you on;t 'earn anythin% +ro, readin% this /oo10Throu%h a variety o+ rea'6'i+e e&a,p'es3 Bud ,a1es the ideas"o,e a'ive0 S,a''6/usiness oners3 CEOs o+ pu/'i" "o,panies3

,idd'e ,ana%ers3 'eaders o+ not6+or6pro+it or%ani-ations anyone in a position o+ 'eadership i'' +ind nu,erousopportunities to put the ideas and "on"epts presented in !ourSe"rets o+ Hi%h *er+or,in% Or%ani-ations to or1 every day0 At8a'1 the Ta'1 Co,pany3 e use ,any o+ the ideas su%%ested inthis /oo1 every day0 8hen I sa the tit'e o+ this /oo13 Iondered i+ it ou'd 'ive up to e&pe"tations0 A+ter readin% it3 I"an une@uivo"a''y say that it does0 It is a @ui"1 read3 +u'' o+

insi%ht+u' in+or,ation on "reatin% hi%h per+or,in% or%ani-ations0I invite you to +o''o Brennan Nee'' and Dia,ond In"0;s 5ourney+ro, ,edio"rity to hi%h per+or,an"e0 You;'' en5oy the read /ut,ore i,portant'y3 you;'' +ind this /oo1 to /e +u'' o+ nu%%ets that

you i'' /e a/'e to put to %ood use as you %o a/out "reatin% youron hi%h per+or,in% or%ani-ation0 There is a +i+th se"ret in !ourSe"rets o+ Hi%h *er+or,in% Or%ani-ations0 8hi'e the "on"epts o+C'arity3 Co,,it,ent3 E&e"ution and Re'ationships are rather

si,p'e and strai%ht+orard3 it ta1es persisten"e3 dedi"ation and"oura%e to app'y the, "onsistent'y0 Therein 'ies the "ha''en%e o+the /oo10 !our Se"rets o+ Hi%h *er+or,in% Or%ani-ations"ha''en%es the reader to %o /eyond his or her initia'


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!ORE8ORD

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thou%ht3 that .this is 5ust "o,,on sense02 It "ha''en%es us to /epersistent3 dedi"ated and "oura%eous enou%h not 5ust to espousethese +our se"rets3 /ut to 'ive the, in our day6to6day 'ives0 !ro,persona' e&perien"e3 I "an %uarantee that those o+ you ho ta1eup the "ha''en%e and "onsistent'y app'y these +our se"rets i''

"reate or%ani-ations hose per+or,an"e i'' e&"eed your i'destdrea,s0Eri" Harvey is the "o6author o+ 8a'1 the Ta'1 and $et theResu'ts You 8ant and CEO o+ the 8a'1 the Ta'1 Co,pany inDa''as3 Te&as0


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CONTENTS

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Introdu"tion 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 :SECTION : Re+'e"tions on Breadth and Si,p'i"ity Chapter :Chapter 9 Chapter Chapter A Si,p'e Sy,/o' o+ a !ar6Rea"hin% Idea 0 0 0 0 0 Introdu"in% the !ourSe"rets 0 0 0 0 0 0 0 0 0 0 0 0 0 0 The De"ision 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 :F Be%innin% o+ a Dia'o%ue 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 : SECTION 9C'arity Chapter F Chapter J Chapter Chapter Chapter The=ission as =ap 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 9F Chartin% the Course 0 0 0 00 0 0 0 0 0 0 0 0 0 0 0 0 0 0 9 =ission E'e,ents# Strate%i" $uide 0 0 0 0 0 0 0 0 0F $uidin% *rin"ip'es +or De"ision6=a1in% 0 0 0 0 0 : $ettin% C'earon C'arity 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 SECTION Co,,it,ent Chapter:? Chapter :: !indin% .Dia,onds in the Rou%h2 0 0 0 0 0 0 0 0 0 FFBui'din% Co,,it,ent +ro, Day One 0 0 0 0 0 0 F


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Chapter :9 Chapter : Chapter : Chapter :F Chapter :J

Bui'din% Co,,it,ent Throu%h Learnin% 0 0 0 0 J Reardin%Co,,it,ent 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 J =utua'A""ounta/i'ity 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0F Leadin% +or Co,,it,ent3*art : 0 0 0 0 0 0 0 0 0 0 : Leadin% +or Co,,it,ent3 *art 9 0 0 0 0 0 0 0 0 0 0 SECTION E&e"ution

Chapter : Chapter : Chapter : Chapter 9?

The Spirit o+ Operationa' E&"e''en"e 0 0 0 0 0 0 0 Strate%i"

=etri"s +or E&e"ution 0 0 0 0 0 0 0 0 0 0 :? The =etri"s o+Su""ess 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 :? =ana%in% the 8hite Spa"e 0 0 0 0 0 00 0 0 0 0 0 0 :: SECTION F Re'ationships

Chapter 9: Chapter 99 Chapter 9 Chapter 9

Dan"in% Ba"1ard3 $ra"e+u''y 0 0 0 0 0 0 0 0 0 0 0 :9 Lon%6ter,*artners# Bui'din% Trust ith Truth 0 0 :9 Su""eedin% /y He'pin%

Others Su""eed 0 0 0 0 : Ba'an"in% the Seesa o+ Cost andua'ity 0 0 :


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SECTION J The EndPAnd a Ne Be%innin% Chapter 9F Chapter9J Chapter 9 Chapter 9 !ad Sur+in% and the *ro%ra, Trap 0 0 0 00 0 0 0 :F Out'inin% Breadth and Si,p'i"ity 0 0 0 0 0 0 0 0 :Ce'e/ratin% Do"u,ented Su""ess 0 0 0 0 0 0 0 0 0 :F Advi"e +or theRoad Ahead 0 0 0 0 0 0 0 0 0 0 0 0 0 :FF

A+terord 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 :J:Author;s Note 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 :J


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INTRODUCTION

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+ there;s one trend I;ve noti"ed in ,y or1 ith "orporate

'eaders durin% the 'ast @uarter "entury3 it;s the tenden"y to

sear"h +or the si'ver /u''et the one pro%ra, that i'' so've a''o+ their pro/'e,s0 Top e&e"utives o+ten add one ,ana%e,ent +adto another ithout %ivin% ade@uate thou%ht to the e++e"t these"o,/ined initiatives have on the peop'e in their or%ani-ations0This is no surprise0 In re"ent years3 'eaders have /een invited to/e"o,e Servant Leaders3 Rea' Chan%e Leaders3 Trans+or,ationa'Leaders3 *rin"ip'e6Centered Leaders3 En'i%htened Leaders3(an%uard Leaders3 Situationa' Leaders and 8or1in% Leaders0

They have /een e&horted to 'ead +ro, the heart and to 'ead ithsou'0 They;ve /een to'd that 'eadership is an art and as1ed to ta1ethe 'eadership "ha''en%e0 By and 'ar%e3 their response has /een to%ra/ on to the 'atest +ad3 and institute one pro%ra, a+teranother0 Here are 5ust a +e o+ the +ads that 'eaders o+ U0S06/ased "o,panies have i,posed on their peop'e in the re"ent past#Reen%ineerin%3 Ba'an"ed S"ore"ard3 E"ono,i" (a'ue Added3 Tota'ua'ity =ana%e,ent3 Si& Si%,a3 8or1out Sessions3 and Do It

Ri%ht the !irst Ti,e0 They;ve instituted tea,6/ui'din% pro%ra,sand ritten "orporate ,ission3 vision:


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INTRODUCTION

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and va'ues state,ents0 They;ve reor%ani-ed into 'eanor%ani-ations3 +'at or%ani-ations3 ,atri& or%ani-ations3 and'earnin% or%ani-ations0 They;ve +o"used on "han%in% their"orporate "u'ture and redoin% their per+or,an"e ,ana%e,entpro%ra,s0 They;ve hired "oa"hes and ,entors0 This 'ist is +ar

+ro, /ein% a''6in"'usive3 /ut you %et the pi"ture0 =ost o+ thesepro%ra,s /e%in ith a 'ot o+ +an+are0 There is a /i% 1i"1o++,eetin%3 in hi"h senior 'eaders tout the /ene+its o+ the nepro%ra,0 This is +o''oed /y so,e trainin% in hi"h +a,i'iar"on"epts are %iven ne na,es0 Steerin% "o,,ittees andi,p'e,entation tea,s are "reated0 *i'ot pro5e"ts are run0 A'' o+this ta1es a "oup'e o+ years0 And then senior 'eadership 1i"1s o++a ne pro%ra,0 The net resu't is a ave o+ "yni"is,3 e&pressed

/est /y a phrase heard in a'' types o+ or%ani-ations .+'avor o+the ,onth02 It doesn;t have to /e this ay0 It;s ti,e to %et /a"1to the /asi"s0 I /e'ieve that there is a set o+ si,p'e yet universa'prin"ip'es that3 hen app'ied ri%orous'y and "onsistent'y3 'ead toor%ani-ationa' hi%h per+or,an"e0 These prin"ip'es are C'arity3Co,,it,ent3 E&e"ution and Re'ationships0 By the ti,e you +inishthis /oo13 you i'' /e a/'e to "ate%ori-e a'' o+ the +ads ,entioneda/ove into one o+ these +our prin"ip'es0

9


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INTRODUCTION

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I;ve ritten this /oo1 to provide 'eaders ith a +ra,eor1 +or"reatin% their on hi%h per+or,in% or%ani-ations0 =y intent is toprovide a too' that i'' assist 'eaders in not %ettin% /'inded /y thehype over the 'atest ,ana%e,ent +ad0 =y advi"e to you is si,p'e0Keep the +our prin"ip'es o+ C'arity3 Co,,it,ent3 E&e"ution and

Re'ationships in ,ind3 and pay attention to hat is a'ready in p'a"ein your or%ani-ation0 I+ you do3 you i'' /e a/'e to 5udi"ious'yse'e"t and i,p'e,ent on'y those initiatives that i'' enhan"e theper+or,an"e o+ your or%ani-ation0 You on;t %et "au%ht in the+'avor6o+6the6,onth trap0


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SECTION

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Re+'e"tions on Breadth and Si,p'i"ity

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CHA*TER :

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A Si,p'e Sy,/o' o+ a !ar6Rea"hin% Idea

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;'' /e 'eavin% no0 Is there anythin% e'se you need /e+ore I %oQ2

Brennan Nee'' 'oo1ed up +ro, his e6,ai' to see his assistant .No

than1s0 I have a +e ,ore thin%s to do3 and then I;'' /e 'eavin%

standin% at the door0 ,yse'+32 he said0 .Don;t +or%et you have thatreporter "o,in% to see you to,orro02 .Ho "ou'd IQ It;s notevery day that so,eone +ro, a nationa' /usiness ,a%a-ine "a''s,e up and te''s ,e they ant to do a pro+i'e on ,e32 he 'au%hed0.8e''3 you;ve rea''y turned this p'a"e around in the ti,e you;ve/een here32 rep'ied the assistant0 .Yes3 /ut not ithout a 'ot o+

hard or1 +ro, the peop'e around ,e 'i1e you0 No %et out o+here and %o ho,e to your +a,i'y0 8ear your /est suit to,orro0=ay/e you;'' %et into a pi"ture or to02


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SECTION :# RE!LECTIONS

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As his door "'osed3 Brennan sat /a"1 and re+'e"ted on hat heas %oin% to say to the reporter0 As he 'et his thou%hts ander/a"1 over his :? years as the CEO o+ Dia,ond In"03 he toyed iththe one persona' ite, on his des10 It as a "ard/oard /ar "oasterthat He'en Yee3 his Chie+ Operatin% O++i"er3 had had 'a,inated

+or hi,0 She had %iven it to hi, the day she a""epted his o++er to 5oin hi, at Dia,ond0 On one side o+ the "oaster as anadvertise,ent +or a 'o"a' ,i"ro /re0 On the other as a dia%ra,in Brennan;s handritin%0 It 'oo1ed 'i1e this0


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CHA*TER 9

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Introdu"in% the !our Se"rets

B

rennan;s ,ind dri+ted to :? years /e+ore at a 'o"a' "a+ here

he as ,eetin% ith He'en to as1 her to /e"o,e Dia,ond;s COO0He had 5ust /een o++ered the Dia,ond CEO position0 He'en as atop e&e"utive ith Dia,ond;s "hie+ riva'3 *'atinu,3 the /i%%estrevenue produ"er and ,ost pro+ita/'e "o,pany in the industry0 In+a"t3 it as ru,ored that she ,i%ht so,eday /e"o,e the CEOthere0 Brennan had ,et He'en Yee hen he served ith her onthe /oard o+ an industry %roup0 He ad,ired her inte''i%en"e and

pra%,ati" sty'e0 He 1ne that she as the 1ind o+ person heneeded to he'p hi, turn around Dia,ond0 Dia,ond as a "o,panythat had never 'ived up to its potentia' and Brennan 1ne it ou'd/e a tou%h sa'e3 /ut he as "onvin"ed that3 or1in% to%ether3 heand He'en "ou'd "reate so,ethin% spe"ia'0 And they had0 Dia,ondas no the undisputed industry


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'eader0 Its ,ar1et "apita'i-ation had @uadrup'ed in the past :? years0 It had re"orded ? strai%ht @uarters o+ re"ord %rothand as one o+ 8a'' Street;s dar'in%s0 Dia,ond had /een in"'udedon severa' .=ost Ad,ired2 'ists +or the past seven years3 and had/een re"o%ni-ed as .One o+ A,eri"a;s :?? Best Co,panies to

8or1 !or2 +or the past +ive years0 8hen the "o,pany announ"edit as addin% :?? positions to its sa'es +or"e3 it re"eived ,orethan F3??? resu,es0 Brennan and He'en had turned a 'u,/erin%3s'o6rea"tin% "o,pany into a s'ee1 pro+it6produ"in% ,a"hine0Brennan as on top o+ the or'd0 8a'' Street 'oved hi,0 His/oard 'oved hi,0 Dia,ond e,p'oyees 'oved hi,0 He as %oin% toannoun"e his retire,ent at the ne&t /oard ,eetin% and su%%estthat He'en /e na,ed his su""essor so,ethin% no one3 not even

He'en3 1ne yet0 He had no dou/t that the /oard ou'd approve0He'en deserved 5ust as ,u"h "redit as he +or Dia,ond;s su""ess0As he 'oo1ed at the "oaster3 he thou%ht o+ his dis"ussion ithHe'en that 'on%6a%o ni%ht0 They had 5ust +inished their "o++eehen he ,ade his pit"h0 He to'd her that he had /i% p'ans +orDia,ond and that he ou'd need a partner to ,a1e those p'ans"o,e true0 He'en as s1epti"a' at +irst0 .Brennan3 you 1no I a,the president o+ *'atinu,;s /i%%est division and they 'i1e ,e

there0 8ith a 'itt'e 'u"13 I "ou'd end up in the top 5o/ so,e day02:?


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CHA*TER 9

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.I 1no32 said Brennan0 .But I;, o++erin% you the "han"e to/e"o,e Dia,ond;s COO ri%ht no0 And I;, not %oin% to /e around+orever0 I+ thin%s or1 out the ay I thin1 they i''3 Dia,ond i''/e +irst in the industry in the ne&t de"ade3 and you;'' /e the onerunnin% it02 .OK0 You;ve %ot ,y interest32 He'en said0 .But hat

,a1es you thin1 you "an turn around Dia,ond3 'et a'one overta1e*'atinu,Q2 .Breadth and si,p'i"ity32 said Brennan0 .$o on32 He'ensaid0 .That;s it32 he said0 .That;s itQ2 .A"tua''y3 yes32 said Brennan0.A'' su""ess+u' "o,panies are /ui't on a so'id +oundation0 Breadthand si,p'i"ity are the +oundation that i'' ena/'e us to ta1eDia,ond to the top o+ our industry0 Let ,e e&p'ain0 !irst3 youhave to approa"h thin%s +ro, a /road perspe"tive0 The or'd is a"o,p'i"ated p'a"e0 There is no si'ver /u''et3 no one path to

su""ess0 To /e su""ess+u'3 you ,ust de+ine a set o+ /road"on"epts that /e"o,e the /asis on hi"h you /ui'd anor%ani-ation0 These "on"epts /e"o,e the e'e,ents that drive

your su""ess02 .=a1es sense32 said He'en0 .But these e'e,ents o+su""ess need to /e si,p'e enou%h that everyone in the "o,pany"an understand the, and "onsistent'y app'y the,0 It ,i%ht soundparado&i"a'3 /ut you need to /e /road::


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and si,p'e at the sa,e ti,e32 Brennan +inished0 .Knoin% you3 I;,sure you a'ready 1no hat these /road /ut si,p'e e'e,ents are32He'en said0 This as the opportunity +or hi"h Brennan had /eenaitin%0 He pu''ed out a +e't6tipped ,ar1er3 %ra//ed the "oasterand started ritin% as he ta'1ed0 .I;ve /een thin1in% a/out these

ideas and re+inin% the, ever sin"e I as in /usiness s"hoo'32 hesaid0 .I dis"ussed the, ith the /oard in ,y intervies0 I thin1it;s hy they hired ,e to run Dia,ond02 Brennan rote .hi%hper+or,an"e2 in the ,idd'e o+ the "oaster3 and dre a "ir"'earound it0 Then he divided the spa"e surroundin% the "ir"'e into+our @uadrants0 .Here;s the ay I see it32 he said0 .Hi%hper+or,an"e3 hoever you de+ine it pro+ita/i'ity3 sto"1 pri"e3*E ratio3 sa'es3 hatever is rea''y dependent on +our +a"tors0

I+ a "o,pany ta1es "are o+ these +our /road /ut si,p'e +a"tors3it has to su""eed02 .You;ve %ot ,y attention32 He'en said0 .Don;t1eep ,e in suspense0 8hat are these +our ,a%i" +a"torsQ2Brennan %rinned0 He had hoped this ou'd interest He'en0 She'oved ,ode's and as a'ays 'oo1in% +or si,p'e ays to des"ri/e"o,p'e& issues0 In his ,ind3 his +our6+a"tor ,ode' as e'e%ant inits si,p'i"ity0 .OK0 !a"tor Nu,/er One is C'arity0 You;ve %ot to /e"'ear a/out

:9


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CHA*TER 9

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ho you are and here you;re %oin%0 You have to ,a1e sure thateveryone in the "o,pany is "'ear a/out it too32 he said0 He'ensee,ed interested3 /ut asn;t so'd yet0 Brennan too1 a deep/reath and "ontinued0 .The se"ond +a"tor is Co,,it,ent0 You;ve%ot to ,a1e sure that everyone in the "o,pany is "o,,itted to

the "o,pany and here it;s %oin%0 This is our 5o/0 8e''3 ri%ht noit;s sti'' on'y ,y 5o/3 /ut it i'' /e ,u"h easier i+ I have you tohe'p ,e32 he said0 He'en see,ed ,ore interested no0 She 'eaned+orard and said3 .8hat are the other to +a"torsQ2 .E&e"utionis the third32 said Brennan0 .No ,atter ho %ood your p'ans are3and ho "o,,itted your peop'e3 you have to e&e"ute to /esu""ess+u'0 In ,y ,ind3 e&e"ution ,eans doin% the ri%ht thin%s3ri%ht0 .!ina''y3 no /usiness e&ists in a va"uu,3 so the 'ast +a"tor is

Re'ationships0 8e have to /ui'd so'id3 ,utua''y /ene+i"ia're'ationships ith i,portant outside %roups0 Our "usto,ers andsupp'iers "o,e to ,ind i,,ediate'y0 But I /e'ieve re'ationships %o/eyond those0 8e 'ive in a hi%h'y re%u'ated or'd0 8e need todeve'op positive3 not adversaria'3 re'ationships ith ourre%u'ators0 8e need to deve'op the sa,e types o+ re'ationshipsith the "o,,unities in hi"h e do /usiness0 8e need to ,a1ea'' o+ these %roups +ee' as i+ they are our partners02

:


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Brennan as a',ost out o+ /reath /y the ti,e he as +inished0His +a"e as +'ushed as he 'oo1ed up at He'en and as1ed3 .8hatdo you thin1Q2

:


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The De"ision

H

e'en s,i'ed0 !ro, her "o,,ittee or1 ith Brennan3 she

1ne he as an intense %uy0 But she had never seen hi, thise&"ited a/out anythin%0 .You;ve /een or1in% on these ideas +orho 'on%Q2 .Ever sin"e I as in /usiness s"hoo'32 he said0 .I;ve"han%ed3 added3 de'eted3 %one /a"1 and added a%ain0 I thin1a/out this ,ode' a'' the ti,e0 I;, open to "han%in% it3 /ut this ishat I;, %oin% to start ith hen I ta1e over at Dia,ond ne&t,onth0 Do you ant to 5oin ,eQ2 He'en said3 .This is a /i% de"ision

+or ,e0 I have a 'ot o+ ti,e invested in *'atinu,3 and they;ve /een%ood to ,e0 Let ,e thin1 a/out it02 8ith that3 she pi"1ed up herpurse0 .I;ve %ot to %et ho,e32 she said0 As she stood to 'eave3 sheput the "oaster into her 5a"1et po"1et0:F


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Brennan had another "up o+ "o++ee3 paid the "he"1 and 'e+t0 Todays 'ater3 he re"eived a "ourier de'ivery0 Inside as the "oaster3'a,inated0 A handritten note said3 .You;ve %ot ,e0 You 1no I'i1e to ta1e "o,p'e& issues and ideas and ,a1e the, si,p'e0 Yourideas +or runnin% Dia,ond are 5ust that0 $ive ,e a "a'' to set up a

ti,e to dis"uss ,y responsi/i'ities3 "o,pensation3 start date3 et"0HY2 No3 :? years 'ater3 Brennan sat /a"1 in his "hair and s,i'edto hi,se'+0 .And the rest3 as they say3 is history32 he said a'oud0He turned o++ his 'aptop3 pa"1ed his /rie+"ase3 "a''ed +or the "arand 'e+t +or ho,e0 As usua'3 he as the 'ast one to 'eaveDia,ond;s o++i"es0 To,orro3 he ou'd /e one o+ the +irst peop'ethere0

:J


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Be%innin% o+ a Dia'o%ue

A

t pre"ise'y :? o;"'o"1 the ne&t ,ornin%3 Brennan;s assistant3

"'ad in a ne suit3 1no"1ed on the door and announ"ed the arriva'o+ 5ourna'ist *atri"ia Henderson and photo%rapher =att=i'os-es1i0 Brennan e'"o,ed the,0 .I;ve invited He'en Yee tosit in on our "hat32 he said0 .She;s our COO and is as responsi/'e+or Dia,ond;s su""ess as anyone02 *atri"ia 'oo1ed a 'itt'esurprised /ut didn;t say anythin%0


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.Than1s +or your 1ind ords3 *atri"ia0 But it hasn;t /een a'' ,ydoin%0 He'en has p'ayed a /i% part in our su""ess3 as has everyoneat Dia,ond32 he said0 He'en s,i'ed and said3 .You are a'ays oneto share the "redit and ta1e the /'a,e3 Brennan0 I a%ree thateveryone at Dia,ond has ,ade a /i% "ontri/ution to our su""ess0

But it a'' started ith your ideas0 I re,e,/er the ni%ht e sat atthat "a+ and you s1et"hed out your ideas on that "oaster0 I 1nethen that Dia,ond as %oin% to /e a /i% su""ess hether I 5oinedor not0 Your ideas ere e'e%ant in their /readth and si,p'i"ity02*atri"ia as interested no0 She re"o%ni-ed a %ood an%'e +or astory hen she sa one0 .8hat are you ta'1in% a/outQ2 .Brennanhas a'ays /een a student o+ or%ani-ations0 He /rou%ht his ideasa/out ho e++e"tive or%ani-ations or1 to Dia,ond and put the,

to or1 here0 You;ve seen the resu'ts32 He'en said0 .Te'' ,e ,ore32said *atri"ia0 .On the ni%ht Brennan re"ruited ,e3 he s1et"hedout his ideas a/out hi%h per+or,an"e on the /a"1 o+ a "oaster32He'en said0 .I too1 that "oaster ith ,e and thou%ht a/out hathe said0 8hen I de"ided to 5oin Dia,ond3 I had the "oaster'a,inated and sent it to Brennan ith a note a""eptin% his o++er0That;s it ri%ht over there32 she said3 pointin% to Brennan;s des10:


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*atri"ia pi"1ed up the "oaster0 .C'arity3 Co,,it,ent3 E&e"ution3Re'ationships32 she said in a so,ehat disappointed tone0 .Ithou%ht I as %oin% to /e 'oo1in% at the /asis o+ Dia,ond;ssu""ess0 These ideas see, to /e "o,,on sense and prettysi,p'e02 .=y point e&a"t'y32 Brennan said0 .*eop'e tend to over

"o,p'i"ate thin%s0 Runnin% a /usiness isn;t easy3 /ut it;s not ashard as a 'ot o+ peop'e ,a1e it0 Yes3 these are /asi" ideas0 But you;'' noti"e that they en"o,pass a 'ot0 Breadth and si,p'i"ity arethe +oundation o+ this ,ode'0 8e;ve +ound that a /roadperspe"tive3 "oup'ed ith si,p'e ideas that are pra"ti"ed everyday3 'eads to %reat /usiness resu'ts0 8e /ui't Dia,ond on the+oundation o+ C'arity3 Co,,it,ent3 E&e"ution and Re'ationships0I+ you ta'1 to any/ody here3 they "an te'' you a/out ea"h o+ the,3

hy they;re i,portant to our su""ess3 and ho they %et p'ayedout every day02 .You sound a /it evan%e'isti" a/out this stu++32*atri"ia said0 .I;, surprised0 I e&pe"ted you to /e a hardheaded/usiness,an02 .I a,32 said Brennan0 .And these are the +ourthin%s I;, the ,ost hardheaded a/out0 Ri%ht3 He'enQ2 .Ri%ht3Brennan32 He'en said3 as they /oth 'au%hed0 .OK0 I+ I;ve %ot thisri%ht3 the to o+ you /ui't Dia,ond into the poer+u' "o,pany itis today /y app'yin% +our ideas# C'arity3 Co,,it,ent3 E&e"ution3

Re'ationships32 *atri"ia said0 .I;, hoo1ed0:


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*atri"ia;s Notes) Hi%h per+or,an"e is the resu't o+ /readth and si,p'i"ity0 ) A/road perspe"tive ,ust /e "oup'ed ith si,p'e ideas and "on"eptsthat are pra"ti"ed every day0 ) !our si,p'e "on"epts are these"rets to hi%h per+or,an"e# CLARITY o+ purpose and dire"tion The sin"ere CO==IT=ENT o+ everyone in the or%ani-ation S1i''+u' EECUTION o+ the thin%s that ,atter =utua''y/ene+i"ia' RELATIONSHI*S ith i,portant "onstituen"iesoutside o+ the or%ani-ation


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SECTION

9

C'arity


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CHA*TER F

)

The =ission as =ap

B

rennan3 He'en3 *atri"ia and the photo%rapher a'1ed +ro, his

o++i"e

to the re"eption area0 It as ni"e3 not ostentatious /ut e''appointed0 .Loo1 around0 8hat do you seeQ2 as1ed Brennan0*atri"ia 'oo1ed around0 Severa' o++i"es opened o++ a "entra' area0In the open area3 +our ad,inistrative assistants ere en%a%ed inthe typi"a' a"tivities# anserin% the phone3 s"hedu'in%appoint,ents3 typin%0 There as a 'ar%e "on+eren"e roo,3 hi"h

she suspe"ted as the /oardroo,0 .I;, not sure0 This 'oo1s 'i1eany other 'ar%e "o,pany;s e&e"utive suite to ,e32 she said0 .Loo1at the a''s0 8hat do you seeQ2 Brennan as1ed0 *atri"ia 'oo1ed0 .Isee so,e ni"e artor13 a 'ot o+ p'a@ues %iven to Dia,ond +or yourphi'anthropi" e++orts3 the Dia,ond ,ission nothin% out o+ theordinary02 She didn;t say so3 /ut she as %ettin% a 'itt'e annoyed0A+ter a''3 she as the one ho as supposed to /e as1in% the@uestions0

9F


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CHA*TER F

)

.In +a"t3 surprisin%'y +e "o,panies use their ,ission to a"tua''y%uide their /usiness0 At Dia,ond3 e use our ,ission to he'p us"reate a sense o+ "'arity +or everyone ho or1s here32 Brennansaid0 .Re,e,/er3 I to'd you C'arity as one o+ our +our su""ess+a"torsQ 8e''3 it a'' starts ith our ,ission0 He'en "an te'' you

a/out ho e "a,e up ith our ,ission02 .Let;s %o to ,y o++i"e32said He'en0 .8e "an sit don there and I;'' e&p'ain it to you02 Thephoto%rapher3 sensin% he ou'd not /e needed +or a hi'e3 as1ed+or dire"tions to the "a+eteria and e&"used hi,se'+0 Brennanturned to %o to his o++i"e0 .Aren;t you "o,in%Q2 *atri"ia as1ed0.You;re in %ood hands ith He'en32 he said0

9


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SECTION 9# CLARITY

)

.There ere a +e s,ir1s around the ta/'e0 8ith the e&"eptiono+ Brennan and ,e3 these ere a'' Dia,ond o'd6ti,ers0 They had%otten used to the idea o+ /ein% Nu,/er To3 and headin% +or/ein% Nu,/er Three0 You have to re,e,/er that in those daysDia,ond as not a /ad "o,pany3 5ust a ,edio"re one0 =ost peop'e

had /e"o,e pretty "o,p'a"ent0 They put in their ti,e3 "o''e"tedtheir "he"1s and hoped that their /onus this year ou'd /e /i%%erthan 'ast year0 Bonuses a'ays in"reased /e"ause ourper+or,an"e ,etri"s ere not a "ha''en%e0 Anyone "ou'd ,eetthe, ithout /rea1in% a seat0 .Brennan handed out a set o+sti"1y notes to everyone around the ta/'e0 He as1ed the, tothin1 +or a ,o,ent and rite don the anser to this @uestion#8hy is Dia,ond in /usinessQ; .It as interestin% to at"h0 A +e

peop'e started ritin% i,,ediate'y0 =ost 5ust sat there ithstunned e&pressions on their +a"es0 You;d have thou%ht Brennanhad as1ed the, to e&p'ain un"ertainty theory in 9F ords or 'ess0.Brennan as patient0 He aited :F ,inutes unti' everyone had+inished ritin%0 Then he as1ed every/ody to ta1e their sti"1ynote and post it on the hite /oard at the +ront o+ the roo,0 You"ou'd te'' so,e peop'e ere un"o,+orta/'e ith this3 /ut Brennanas the /oss so they +i%ured they needed to p'ay the %a,e02

He'en too1 a sip o+ "o++ee and "ontinued0 .Loo1in% /a"1 at it3?


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CHA*TER J

)

the resu'ts ere pretty ,u"h hat you ,i%ht e&pe"t0 They erea'' over the p'a"e0 At one e&tre,e3 there ere a +e sti"1ies thatsaid to ,a1e ,oney0; At the other e&tre,e3 there as one thatsaid3 to o++er produ"ts and servi"es that i'' /ene+it ,an1ind0; In/eteen3 there ere sti"1ies that said thin%s 'i1e3 to serve our

"usto,ers e''3; to provide hi%h @ua'ity produ"ts3; to "reateshareho'der va'ue0; You %et the idea0 .Brennan 'oo1ed at the %roupand said3 Loo1 at this# :? di++erent peop'e and :? di++erentansers to the si,p'e @uestion3 8hy are e in /usinessQ; I+ edon;t 1no3 ho "an e e&pe"t the :F3??? peop'e in this "o,panyto 1noQ 8e;re not %oin% to 'eave this @uestion unti' e "an a''a%ree on one anser0 I;, not sure hat that anser is3 /ut e;d/etter /e a/'e to "o,e up ith it i+ e;re %oin% to 'ead this

"o,pany into the +uture0; .So e spent the rest o+ that daydis"ussin% hy e;re in /usiness0 The anser to that @uestion/e"a,e our ,ission state,ent0 8e use it in our re"ruit,entadvertisin%0 8e use it in our 5o/ intervies0 It;s the +irst thin%peop'e hear in our orientation pro%ra,0 It is +unda,enta' to usand provides "'arity +or every Dia,ond e,p'oyee0 8e a'' 1no hye;re here and hat e are "o''e"tive'y tryin% to a""o,p'ish02*atri"ia had /een 'istenin% ith rapt attention0 .I hear hat

you;re sayin%3 /ut I;, a 'itt'e "on+used0 Your ,ission state,ent'oo1s a 'ot:


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SECTION 9# CLARITY

)

'i1e ,any other ,ission state,ents I;ve seen32 she said0 .8hat,a1es yours so spe"ia'Q2 .8e use it to %uide our /usiness32 saidBrennan as he a'1ed into the roo, and sat don0 .8e 1no our,ission state,ent isn;t uni@ue0 I+ you thin1 a/out it3 as youo/vious'y have3 *atri"ia3 ,ost "orporate ,ission state,ents sound

very si,i'ar to /e the /est in our industry3 to do,inate our,ar1et3 to /e Nu,/er One3 to provide e&"eptiona' shareho'derreturns3 to "reate va'ue0 These are the thin%s you;'' +ind in the,ission state,ents o+ ,ost /usinesses0 .I /e'ieve e have /eensu""ess+u' at Dia,ond /e"ause e;ve ,ade our ,ission state,ent"o,e a'ive +or our peop'e0 To ,ost Dia,ond peop'e3 our ,issionstate,ent is ,ore than the ords on the p'a@ue on the a''0 Theyunderstand the ,ar1ets e;re in3 ho our "usto,ers are and hat

e need to do to serve the, /etter than our "o,petition0 They1no hy e do the thin%s e do3 and ho hat they do every day+its into the /i% pi"ture0 .Our ,ission is a 'eadership too'0 8eor1 very hard to he'p a'' o+ our peop'e 'in1 it to their individua'

5o/s0 8e %o out o+ our ay to he'p peop'e ,a1e a "onne"tion/eteen the Dia,ond ,ission and their 5o/s0 8e /e'ieve that i+our peop'e 1no and understand our ,ission3 they i'' see thattheir 5o/s are i,portant0 .Our 'eaders are responsi/'e +or he'pin%

their peop'e see9


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CHA*TER J

)

e&a"t'y ho their day6to6day responsi/i'ities tie into our ,ission0They re+er to the ,ission in per+or,an"e +eed/a"1 sessions0They rein+or"e their peop'e ho a"t in a ,anner that is"onsistent ith the ,ission0 They a'so redire"t those +e peop'eho a"t in a ,anner that is in"onsistent ith our ,ission02 .And

ho do you %et the, to do a'' o+ thatQ2 as1ed *atri"ia0 .In ,ost"o,panies3 you "an hard'y +ind so,eone ho "an repeat the,ission ithout 'oo1in% at a p'a@ue or a''et "ard02 .The shortanser is that everythin% pro"eeds +ro, our ,ission32 saidBrennan0 .I thin1 this is a %ood ti,e +or you to ,eet


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CHA*TER

)

=ission E'e,ents# Strate%i" $uide

B

rennan and *atri"ia 'e+t He'en and ,ade their ay to


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.This isn;t as "o,p'i"ated as it sounds0 8e have a set o+ ,issione'e,ents0 These e'e,ents de+ine hat e need to do in order to+u'+i'' our ,ission0 I+ a proposa' isn;t dire"t'y re'ated to one or,ore ,ission e'e,ents3 it isn;t a %ood strate%i" +it0 .8hat arethese ,ission e'e,entsQ2 as1ed *atri"ia0 .8e have three# produ"t

and servi"e @ua'ity3 "usto,er satis+a"tion and +inan"ia'per+or,an"e32 said


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CHA*TER

)

around0 8hen e "hoose to do so,ethin% 'i1e this3 e ta1e it veryserious'y0 8e %ive it the resour"es and ,ana%e,ent support itneeds to su""eed0 .The +irst @uestion the e&e"utive tea, as1edthe president o+ our Consu,er Division as3 8hat ,issione'e,ents are re'ated to "y"'e ti,e redu"tionQ; Her anser as

"usto,er satis+a"tion and +inan"ia' per+or,an"e0 I+ e redu"e"y"'e ti,e e "an avoid /a"1orders and i,prove our inventoryturns0; .On"e she %ot over that hurd'e3 she e&p'ained the "y"'eti,e redu"tion pro5e"t her division as p'annin% to i,p'e,ent0Her tea, had deve'oped tar%ets that ou'd a''o us to ,easurethe pro5e"t;s su""ess3 and a p'an that they /e'ieved ou'd resu'tin ,eetin% or e&"eedin% those tar%ets0 This part o+ theiroperatin% p'an /e"a,e part o+ the Dia,ond operatin% p'an0 8e

have si,i'ar "onversations ith ea"h o+ our operatin% divisionsevery year0 .Let ,e te'' you a/out ho e rite our strate%ies32


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CHA*TER

)

to deve'op their annua' /usiness p'ans0 And individua' e,p'oyeesuse /oth the strate%i" and annua' p'ans to deve'op theiro/5e"tives0 .Distri/utin% the strate%i" p'an has the addedadvanta%e o+ he'pin% us ,a1e sure that our annua' /usiness p'ansare driven /y our strate%i" p'an32


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.In +a"t3 hen e +irst started this approa"h3 e,p'oyeeo/5e"tives had to /e a""o,panied /y a "itation notin% the pa%eand para%raph o+ the division;s annua' p'an to hi"h they erere'ated0 8e don;t do this any,ore /e"ause e +ound that it isunne"essary0 Seein% ho your individua' or1 +its into the /i%

pi"ture has /e"o,e su"h a part o+ Dia,ond;s "u'ture that e no'on%er need these "itations0 Hoever3 i+ you as1 ,ost peop'e +or a"itation +or one o+ their o/5e"tives3 they "an te'' you02 .OK0 I %etit32 said *atri"ia0 .You esta/'ish "'arity /y usin% your ,ission tode"ide hat %ets into your annua' /usiness p'an3 and then you haveeveryone in Dia,ond deve'op o/5e"tives /ased on hat;s in thep'an0 That;s a'' there is to "'arityQ2 .No32 said Brennan3 hosee,ed to have an un"anny a/i'ity +or shoin% up at 5ust the ri%ht

ti,e0 .That;s part o+ it3 /ut not a''0 Our %uidin% prin"ip'es p'ay a/i% part in "reatin% "'arity3 too02 .$uidin% prin"ip'esQ2 as1ed*atri"ia0 .Yes32 said Brennan0 .Co,e ith ,e3 and I;'' ta1e you toso,e/ody ho "an e&p'ain02 .Than1s3


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CHA*TER

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$uidin% *rin"ip'es +or De"ision6=a1in%

B

rennan stopped three doors don the ha''0 .This is Sandra Ne'son0

She;s our (* o+ HR0 She is pro/a/'y the /est person to ta'1 tore%ardin% the Dia,ond %uidin% prin"ip'es0 Sandra3 this is *atri"ia0She;s doin% an arti"'e on Dia,ond and ants to 1no a/out theour %uidin% prin"ip'es02 .Hi3 *atri"ia0 It;s ni"e to ,eet you0 8hydon;t e sit over hereQ 8ou'd you 'i1e so,ethin% to drin1QCo++eeQ 8aterQ2 .8ater ou'd /e %reat32 *atri"ia said0 Sandra;sassistant /rou%ht to /ott'es o+ ater0 .8hat ou'd you 'i1e to

1no a/out the Dia,ond %uidin% prin"ip'esQ2 she as1ed0 .!irst o+a''3 hat are theyQ 8hat do you ,ean /y the ter, %uidin%prin"ip'esQ2 *atri"ia as1ed0 .Thin1 o+ it this ay32 said Sandra0.=ost peop'e have a set o+ va'ues they use to %uide their 'ives08e;ve ta1en that "on"ept and e&tended it to our or%ani-ation02:


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.Te'' ,e ,ore32 *atri"ia said0 .Let ,e as1 you a @uestion3 *atri"ia08hat are the +e prin"ip'es or /e'ie+s that are ,ost i,portantto you persona''yQ2 *atri"ia thou%ht +or a ,inute0 .=y +a,i'y3persona' honestyP I don;t 1noP02 .That;s OK32 said Sandra0 .Bearith ,e +or a ,inute02 *atri"ia nodded0 She "ontinued3 .You say

your +a,i'y is one o+ the ,ost i,portant thin%s to you0 Do youever "onsider your +a,i'y hen you have to ,a1e a de"isionQ2 .A''the ti,e32 *atri"ia said0 .Can you %ive ,e a spe"i+i" e&a,p'eQ2Sandra as1ed0 *atri"ia thou%ht +or a ,o,ent0 .Last year I aso++ered an opportunity to head up our editoria' o++i"es in Chi"a%o0It as a %reat o++er0 But I turned it don /e"ause ,y 1ids had

5ust started at a ne s"hoo' that they rea''y 'i1ed3 and I didn;tant the, to have to ,ove02 .So your "on"ern +or your +a,i'y

%uided your de"ision6,a1in% pro"ess in this "ase32 said Sandra0.Yes02 .That;s e&a"t'y ho %uidin% prin"ip'es or10 8e have +ourDia,ond %uidin% prin"ip'es0 8e e&p'ain the, to everyone the +irst9


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day they start or10 Then e te'' the,3 8henever you;re indou/t3 thin1 a/out the %uidin% prin"ip'es0 They;'' he'p you ,a1e a%ood de"ision0; .You used your persona' %uidin% prin"ip'e o+ +a,i'yto he'p you ,a1e hat as pro/a/'y a very di++i"u't persona'de"ision0 8e as1 Dia,ond peop'e to use the Dia,ond %uidin%

prin"ip'es to he'p the, ,a1e /usiness de"isions0 Our /usinessenviron,ent is +u'' o+ "han%e and a,/i%uity0 The Dia,ond %uidin%prin"ip'es he'p our peop'e ,a1e %ood de"isions hen there is no"'ear6"ut anser02 .8hat are these %uidin% prin"ip'esQ Ho did

you deve'op the,Q2 *atri"ia as1ed0 .As I;ve said3 there are +ourDia,ond %uidin% prin"ip'es# Respe"t +or the Individua'3 Inte%rity3Ni,/'eness3 Servi"e0 8e didn;t deve'op the,0 8e dis"overedthe,02 .Dis"overed the,Q 8hat did you do3 ,ount a sear"h

partyQ2 *atri"ia 'au%hed0 Sandra s,i'ed0 .You "ou'd say that0Dia,ond is an o'd and proud "o,pany0 $ranted3 e had /een 'ivin%on our reputation /e+ore Brennan %ot here0 But he as s,artenou%h to 1no that e had a proud tradition a tradition o+/ein% +air to our peop'e3 p'ayin% /y the ru'es3 /ein% @ui"1 torespond to opportunities and standin% /y our produ"ts andservi"es0


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.You;ve pro/a/'y a'ready heard a/out our 8hy are e in/usinessQ; ,eetin% hen Brennan +irst %ot here02 *atri"ia noddedand Sandra ent on0 .A/out a ,onth a+ter that ,eetin%3 Brennan%ot us a'' to%ether a%ain0 This ti,e hen he handed out thesti"1ies3 he as1ed us to 'ist the reasons one per sti"1y e

ere proud to /e a part o+ Dia,ond0 .A+ter every/ody postedtheir sti"1ies3 e 'oo1ed at hat as there0 8e started 'oo1in%+or the,es %roupin% those that see,ed to +it to%ether and'eavin% the out'iers a'one0 8e +ina''y a%reed there ere +our"o,,on threads that ran throu%h everythin%0 .8e +o"used onthose and %ave ea"h o+ the, a na,e0 The resu'ts ere Respe"t+or the Individua'3 Inte%rity3 Ni,/'eness and Servi"e0; 8e too1the individua' sti"1ies that +or,ed these %roupin%s and used

the, to rite three6 or +our6senten"e des"riptors o+ hat e,eant /y ea"h headin%0 .8hen e ere +inished32 Sandra"ontinued3 .e +e't e had "aptured the %ood thin%s a/outDia,ond;s "u'ture thin%s that it ,a1es sense to rein+or"e itha'' our peop'e0 These /e"a,e our %uidin% prin"ip'es0 8e;re proudo+ the,0 They "apture the spirit o+ Dia,ond0 Our shorthand na,e+or the, is the Dia,ond 8ay0; 8e as1 our peop'e to 1eep theDia,ond 8ay in ,ind as they %o a/out their day6to6day /usiness0

8e use the ter,s %uidin% prin"ip'es3 va'ues


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and Dia,ond 8ay inter"han%ea/'y0 8hatever e "a'' the,3 a'' o+our senior 'eaders use the, to %uide their a"tions0 8ith the'eaders settin% the e&a,p'e3 e /e'ieve e have the ri%ht to as1a'' Dia,ond peop'e to use the, to %uide their a"tions andde"isions as e''02 .You ,ean every/ody;s /ehavior is "onsistent

ith these %uidin% prin"ip'es a'' the ti,eQ2 *atri"ia as1ed0 .No32said Sandra0 .These %uidin% prin"ip'es set so,e pretty hi%hstandards0 8e a'' try to 'ive up to the,0 So,eti,es e s'ip0So,eti,es e even have trou/'e de"idin% hi"h /ehaviors are"onsistent ith the, and hi"h are not0 But hat ,a1es Dia,onddi++erent +ro, a 'ot o+ p'a"es is that e use our s'ips as 'earnin%opportunities0 8e 1eep tryin% and e 1eep %ettin% /etter at it0.8e don;t have a /i% po'i"y and pro"edure ,anua'0 In +a"t3 i+ it

eren;t +or re%u'atory re@uire,ents3 I dou/t e ou'd havepo'i"ies and pro"edures at a''0 Our pro"edure ,anua' is ,ini,a'/e"ause e e&p'ain the %uidin% prin"ip'es to our peop'e and as1the, to use the, as a %uide +or their persona' /ehavior andde"ision6,a1in% at or10 .This is interestin%32 said *atri"ia0 .Ithin1 I;, startin% to %et a pretty %ood idea o+ ho you ,ana%e"'arity around here02 .Thin1 a/out it +or a hi'e0 I thin1 you;'' seethat it ,a1es sense32 Sandra said0 .Li1e ,ost thin%s e do at

Dia,ond3 it;s aF


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de"eptive'y si,p'e "on"ept0 8e or1 hard at ,a1in% it or102Sandra stood up0 .It;s %ettin% 'ate3 and I have a +e thin%s to do/e+ore I 'eave +or the day0 Let ,e %et you /a"1 to Brennan0 I;,sure you have a +e ,ore @uestions +or hi,02

J


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$ettin% C'ear on C'arity

.8Brennan0

e''3 ho did it %oQ2 Brennan as1ed *atri"ia0

.It as interestin%32 *atri"ia said0 .I;, startin% to %et a pretty

%ood %rasp on C'arity3 /ut I haven;t heard anythin% a/outCo,,it,ent3 E&e"ution or Re'ationships02 .Te'' ,e hat you'earned a/out C'arity3 Dia,ond sty'e32 said .8e''3 as /est I "ante''3 it revo'ves around to thin%s# the Dia,ond ,ission and the

Dia,ond %uidin% prin"ip'es32 said *atri"ia0 .$o on32 said Brennan0.The ,ission is a state,ent o+ hy you are in /usiness0 It he'ps you ,a1e strate%i" de"isions0 It a'so drives your /usiness p'annin%pro"ess at the "orporate and division 'eve's32 she "ontinued0.8hat e'seQ2


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.Oh3 I a',ost +or%ot0 Dia,ond e,p'oyees use the /usiness p'ansas a %uide hen they are settin% annua' o/5e"tives32 *atri"ia said0.Ri%ht32 said Brennan0 .No hat a/out the Dia,ond 8ayQ2 .The%uidin% prin"ip'es3 you ,ean0 You use the, as %uides +or day6to6day de"ision6,a1in%32 she said0 .They;re 1ind o+ 'i1e the persona'

va'ues e a'' use to %uide our 'i+e de"isions02 .You;ve /een ta'1in%ith Sandra32 Brennan 'au%hed0 .She;s the one ho "a,e up iththat ana'o%y3 and it;s a %ood one0 In +a"t3 I;ve "o,e to thin1 o+our %uidin% prin"ip'es as the Dia,ond va'ues0 They are "ore to usas an or%ani-ation0 8e or1 hard to ,a1e sure e a"t in a ,anner"onsistent ith the,0 .I e&pe"t everyone in Dia,ond to e,/ra"eour %uidin% prin"ip'es0 I;, tou%hest on ,yse'+ and the peop'e"'osest to ,e hen it "o,es to the,0 I+ e don;t e&e,p'i+y the,3

ho "an e e&pe"t the other :3?? Dia,ond peop'e toQ2 .Itsee,s so si,p'e32 said *atri"ia0 .I+ I %et it3 the Dia,ond prin"ip'eo+ C'arity %oes so,ethin% 'i1e this0 One3 de"ide hy you;re in/usiness0 To3 "o,,uni"ate this to every/ody0 Three3 /ui'd your"orporate and operatin% unit /usiness p'ans around it0 !our3 havepeop'e /ase their o/5e"tives on their /usiness unit /usinessp'ans02 .And +ive3 %ive every/ody +eed/a"1 on ho they;re doin%32said Brennan0


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.But that;s on'y ha'+ o+ it32 said *atri"ia3 ar,in% to the tas10

.The se"ond part is to identi+y the thin%s that are "ore to your"o,pany and pu/'ish the,0 You "a'' the, %uidin% prin"ip'es3 /ut

you "ou'd 5ust as easi'y "a'' the, va'ues0 They de+ine the Dia,ond8ay0 You e&pe"t everyone espe"ia''y 'eaders to a"t in a

,anner "onsistent ith these %uidin% prin"ip'es02 .8hat e'seQ2Brennan as1ed0 *atri"ia thou%ht +or a +e se"onds0 .You te''peop'e to use the %uidin% prin"ip'es as %uides +or de"ision6,a1in%3and you trust the, to ,a1e the ri%ht de"isions02 Brennan sat /a"1in his "hair and s,i'ed0 .You;ve %ot it02 .But it see,s so si,p'e32*atri"ia said0 .That;s it e&a"t'y32 Brennan rep'ied0 .I never "'ai,edthat this stu++ is ro"1et s"ien"e0 It;s not even /rain sur%ery32 he'au%hed0 .But serious'y3 that;s a ,ainstay o+ ,y 'eadership "redo

si,p'i"ity0 Breadth is the other part0 And don;t +or%et3 ehaven;t dis"ussed Co,,it,ent3 E&e"ution or Re'ationships yet02 .I1no32 said *atri"ia0 .8e''3 hy don;t you "o,e /a"1 to,orro ande;'' ta'1 a 'itt'e ,ore a/out the other three si,p'e ideas that,a1e up the Dia,ond 'eadership phi'osophy32 Brennan said0 .It;s adea'0 I;'' /e here at nine02


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*atri"ia;s NotesCLARITY ) =ission is the +irst 1ey to C'arity0 Hi%h per+or,in%or%ani-ations use their =ission to drive their /usiness0 ) =issionE'e,ents de+ine hat it ta1es to a"hieve the =ission and to he'pthe =ission "o,e a'ive +or peop'e in the or%ani-ation0 ) Anor%ani-ation;s =ission shou'd drive its Strate%i" Business *'an0 )Individua' *er+or,an"e O/5e"tives shou'd /e deve'oped usin% theStrate%i" Business *'an as a /ase0 ) An or%ani-ation;s (a'ues or$uidin% *rin"ip'es he'p ,e,/ers 1no ho to a"t in a,/i%uoussituations0 They ,ust re+'e"t the very +a/ri" o+ the or%ani-ationand every/ody ,ust pra"ti"e the,0 ) !or,a' 'eaders ,ust /e ro'e

,ode's +or the or%ani-ation;s (a'ues or $uidin% *rin"ip'es0Leaders ,ust "ondu"t the,se'ves in a ,anner "onsistent ith the$uidin% *rin"ip'es at a'' ti,es0


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Co,,it,ent


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!indin% .Dia,onds in the Rou%h2

*

atri"ia arrived at Brennan;s o++i"e at #F a0,0 the ne&t day0

Brennan 'oo1ed up as his assistant ushered her in0 .You;re ear'y02.I hope that;s not a pro/'e,32 she said0 .I as thin1in% a/outso,e o+ the thin%s I heard here yesterday0 I as up3 so I de"idedto "o,e ear'y and %et a %ood start on the day02 Brennan s,i'ed0.No pro/'e, at a''0 In +a"t3 it;s one o+ the thin%s I anted todis"uss ith you today0 Arrivin% ear'y /e"ause you;re interestedin and e&"ited a/out hat you;re doin% is one o+ the @ua'ities o+ a

Dia,ond in the Rou%h0;2 .Dia,ond in the Rou%hQ2 *atri"ia as1ed0.That;s hat e "a'' peop'e ho are %ood "andidates +ore,p'oy,ent here32 Brennan "hu"1'ed0 .Re,e,/er yesterday3 Isaid that Co,,it,ent is one o+ the +our +a"tors on hi"hDia,ond is /ui'tQ2FF


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*atri"ia nodded0 .Our se'e"tion pro"ess is here e /e%in /ui'din%"o,,it,ent32 Brennan said0 .8e re+er to pro,isin% "andidates asDia,onds in the Rou%h0; A'' Dia,onds in the Rou%h share "ertain@ua'ities0 An ea%erness to %et on ith thin%s is one o+ those@ua'ities0 .I on;t /ore you ith a des"ription o+ a'' o+ the

Dia,ond in the Rou%h "hara"teristi"s0 But you shou'd 1no thate use the, in our se'e"tion pro"ess0 8e /e'ieve that i+ e +indpeop'e ho are a %ood +it +or us Dia,onds in the Rou%h it;seasier to /ui'd "o,,it,ent02 .But don;t you orry a/out %ettin%too in/redQ2 *atri"ia as1ed0 .I+ every/ody is the sa,e3 here i''

you %et ne ideasQ 8ho i'' "ha''en%e the status @uoQ2 Brennans,i'ed0 .Another Dia,ond in the Rou%h "hara"teristi" diversityo+ thin1in%3 the a/i'ity and i''in%ness to "ha''en%e a""epted

pra"ti"es0 Are you 'oo1in% +or a 5o/Q You see, as i+ you ou'd +itin rea' e'' around here0 .You;re ri%ht a/out va'uin% diversity o+thin1in%3 thou%h0 8e aren;t 'oo1in% +or peop'e ho are a'' thesa,e0 In +a"t3 one o+ the thin%s e pri-e ,ost is diversity o+thou%ht0 I+ you read our Respe"t +or the Individua'; %uidin%prin"ip'e3 you;'' see that e rea''y pri-e and en"oura%edi++eren"es o+ opinion0 That;s the ay e 'earn +ro, ea"h other0FJ


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s"reenin%3 e invite the, /a"1 to ,eet a%ain ith the hirin%,ana%er0 He or she +o"uses this intervie on the te"hni"a' parto+ the 5o/3 overa'' "he,istry ith his or her depart,ent and3 o+"ourse3 the Dia,ond in the Rou%h "hara"teristi"s0 .8hi'e a 'ot o+peop'e are invo'ved in our se'e"tion pro"ess3 the hirin% ,ana%er

a'ays ,a1es the +ina' de"ision0 A+ter a''3 he or she has to 'iveith the person0 .8e +ee' that i+ e start ith peop'e ho are a%ood +it3 e are a 'on% ay toard %ainin% their "o,,it,ent0 Oneo+ the /i%%est ,ista1es o+ ,y "areer as hirin% an individua' ithe&"e''ent te"hni"a' s1i''s3 e&perien"e and re+eren"es3 /ut ho

5ust didn;t +ee'; @uite ri%ht to ,e0 He as %one in nine ,onths3/ut those nine ,onths ere he'' +or hi, and +or ,e0 .So espend a 'ot o+ ti,e +indin% the peop'e ho are 'i1e'y to +'ourish

here0 It o+ten ta1es a 'itt'e ti,e on the +ront end3 /ut it saves a'ot o+ heada"he3 hearta"he and ,oney in the end02 .I %et thepi"ture32 said *atri"ia0 .It;s not easy to %et a 5o/ at Dia,ond02.You;re ri%ht3 it;s not32 said Brennan0 .But e very se'do, ,a1e ano++er that is not a""epted0 By the ti,e e;re ready to ,a1e ano++er3 "andidates are ready to 5oin us02

F


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Bui'din% Co,,it,ent +ro, Day One

B

rennan said3 .Let;s ta'1 a/out so,e o+ the other ays e %o

a/out /ui'din% "o,,it,ent02 *atri"ia nodded and started herre"order0 .I;, a'' ears02 Brennan too1 a deep /reath and p'un%edin0 .The 5o/ o+ /ui'din%

"o,,it,ent %ets underay in earnest the +irst day on the 5o/0Sin"e e start peop'e in their ne 5o/s on =onday3 e haveorientation sessions every =onday0 A ,e,/er o+ the Dia,ond

E&e"utive Co,,ittee or I 1i"1 o++ every orientation session doneat head@uarters0 8e do these orientation sessions hether oneperson or :?? are 5oinin% us on a %iven =onday0 .*eop'e ho 5oinus at re,ote 'o"ations 'i1e sa'es o++i"es or ,anu+a"turin% andR>D +a"i'ities see a tape o+ ,e e'"o,in% the, to Dia,ond0 It;sessentia''y hat I say to the peop'e I ,eet in person on'y a'itt'e ,ore po'ished3 sin"e I had a s"ript andF


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did nu,erous ta1es32 he "hu"1'ed0 .8hat e'se happens in thisorientationQ2 *atri"ia as1ed0 .A 'ot o+ the 1inds o+ thin%s that

you;d e&pe"t0 8e e&p'ain our /ene+its and %et peop'e enro''ed in ahea'th pro%ra, and the ?:10 8e do a /rie+ revie o+ Dia,ond;shistory0 =ost o+ the peop'e ho 5oin us 1no a/out our re"ent

history3 so e provide the, ith a @ui"1 'oo1 at the :9? yearsthat pre"eded the past :?0 .A'so3 e do so,e thin%s that you,i%ht not e&pe"t0 8e dis"uss the Dia,ond %uidin% prin"ip'es indetai'0 8e have a /rie+ video that des"ri/es ea"h o+ the,0 Thene do so,e or1shops3 "ase studies rea''y3 to %et peop'e thin1in%a/out various situations they ,i%ht +a"e0 8e he'p the, reasonout hat they ,i%ht do3 usin% the %uidin% prin"ip'es to ,a1ede"isions0 .The %oa' o+ a'' this is to ,a1e peop'e +ee' e'"o,e and

in"'uded0 8e spend so ,u"h ti,e on our orientation /e"ause eant to ,a1e sure that peop'e ho 5oin us +ee' as i+ e treatthe, ith the respe"t and di%nity they deserve0 8e ant a''Dia,ond peop'e to +ee' that they are va'ued +or their uni@ue/a"1%rounds3 ta'ents and s1i''s02 .8ho "ondu"ts these orientationsessionsQ2 *atri"ia as1ed0 .Hu,an Resour"esQ2 .Yes and no0 HRhand'es the te"hni"a' stu++3 'i1e /ene+its si%n6up0J?


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But e se'e"t a ne %roup o+ orientation 'eaders annua''y0 It;srea''y a @uarter6ti,e position0 They 1eep their re%u'ar 5o/s3 itha so,ehat redu"ed or1'oad0 They "ondu"t the sessions everyee1 and have so,e ti,e to prepare and de/rie+ ea"h ee10Condu"tin% the orientation sessions /e"o,es part o+ their annua'

o/5e"tives0 8e usua''y +ind that our /est peop'e are the ones hoapp'y +or the orientation positions02 .Don;t peop'e see this aspotentia''y da,a%in% to their "areersQ I ,ean one6+ourth o+ theiro/5e"tives are ta1en up /y non6va'ue6added or132 *atri"ia said0.On the "ontrary3 'eadin% orientation sessions is one o+ the ,osti,portant thin%s a Dia,ond person "an do32 said Brennan0.Orientation is a "riti"a' "o,ponent o+ the "o,,it,ent /ui'din%pro"ess3 and Co,,it,entP2 .Pis one o+ your +our su""ess

+a"tors32 *atri"ia 'au%hed0 .No you;re %ettin% it32 said Brennan0*atri"ia s,i'ed0 .I;, /e%innin% to see ho Dia,ond too1 si,p'e"on"epts and used the, to "reate a /usiness poerhouse32 shethou%ht0

J:


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Bui'din% Co,,it,ent Throu%h Learnin%

.I

see ho your orientation di++ers +ro, that o+ a 'ot o+

"o,panies32 said *atri"ia0 .On the day I started ith ,y "o,pany3they %ave ,e a /un"h o+ /ene+it +or,s to +i'' out and return3introdu"ed ,e to the %uy in the o++i"e ne&t to ,ine3 shoed ,ehere the /athroo, as and to'd ,e ho to %et to the "a+eteria0That as ,y orientation02 .Un+ortunate'y3 that;s the ay it is at a'ot o+ p'a"es32 said Brennan0 It as 'i1e that here too3 unti' e"han%ed thin%s02 .Se'e"tion and orientation0 8hat e'se do you do

to /ui'd "o,,it,entQ2 as1ed *atri"ia0 .Let;s ta1e another a'132said Brennan0 This ti,e they 'e+t the /ui'din% in hi"h Brennanhad his o++i"e3 and a'1ed a"ross the street0 .8e'"o,e to ourLearnin% Center32 said Brennan0 .Learnin% is one o+ the ays inhi"h e /ui'd "o,,it,ent0J


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their on pa"e02 .On "o,pany ti,eQ2 as1ed *atri"ia0 .O+ "ourse32said Brennan0 .The "o,pany /ene+its3 so hy shou'dn;t e providepeop'e the ti,e to 'earnQ 8e do +ind that so,e peop'e 'i1e to"o,e in /e+ore or a+ter or13 so the Center is open +ro, F#?a0,0 to ::#?? p0,0 8e have a ? per"ent usa%e rate on the

e@uip,ent0 .8e a'so de'iver our se'+6pa"ed instru"tion via the8e/0 8e put the "ourses up on the Dia,ond intranet0 That ay3peop'e don;t have to "o,e to the Learnin% Center0 They "ana""ess the ,ateria' at their des1 or at ho,e0 8e;ve /een %ettin%a 'ot o+ positive +eed/a"1 on our 8e/6/ased instru"tion0 .Ho,u"h trainin% do your peop'e %et in a yearQ2 *atri"ia as1ed0 .Itdepends0 But e /ud%et ? hours per year per person not"ountin% se'+6pa"ed instru"tion0 *eop'e or1 out the ti,e they

spend in trainin% ith their ,ana%er32 said Brennan0 .In any %iven year3 so,e peop'e ,ay /e /e'o ? hours3 and others ,ay e&"eedit02 .Ei%hty hours that;s to ee1s32 said *atri"ia0 .Yes3 itsee,s 'i1e a 'ot32 Brennan said0 .But you have to re,e,/er thate are in a hi%h'y "o,petitive environ,ent0 =ar1et de,ands andte"hno'o%y "han%e rapid'y0 Our "o,petition is a'ays 'oo1in% +or a"hin1 in our ar,or0 8e ant to ,a1e sure that our peop'eJF


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have the 1no'ed%e and s1i''s ne"essary to ensure Dia,ond;ssu""ess0 8e thin1 o+ it as an invest,ent3 not an e&pense0.Another thin%3 e "ondu"t ,ost o+ our trainin% ourse'ves0 Thereare a 'ot o+ +ine trainin% vendors out there and e pur"hase,ateria's +ro, @uite a +e o+ the,0 Hoever3 e see trainin% as a

"u'ture6/ui'din% a"tivity0 As I;ve said3 e use this Learnin% Centerto he'p our peop'e deve'op the s1i''s they need to 1eep us"o,petitive3 /ut e a'so use it to tea"h the, the Dia,ond 8ay0Every pro%ra, ,a1es an e&p'i"it "onne"tion to one or ,ore o+ our,ission e'e,ents and %uidin% prin"ip'es0 .8e 'i1e to use Dia,ondpeop'e to "ondu"t our trainin%0 In +a"t3 an assi%n,ent to theLearnin% Center is @uite a p'u,0 8e use these assi%n,ents todeve'op our hi%h potentia' peop'e0 8e;ve +ound that peop'e rea''y

'earn a su/5e"t hen they have to tea"h it0 A+ter to years here3,ost peop'e are ready to ta1e on a 5o/ ith si%ni+i"antresponsi/i'ity0 .O+ "ourse3 e have a s,a'' %roup o+ edu"ationpro+essiona's ho spend their "areers at the Learnin% Center0Tea"hin% and 'earnin% is their "areer path0 Hoever3 over the

years3 severa' o+ these peop'e have de"ided to try their hand atan operationa' 5o/0 =ost o+ the, have done @uite e''3 too02 .Youdeve'op peop'e /y havin% the, deve'op othersQ2 as1ed *atri"ia0

JJ


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!ro, hat she o/served3 *atri"ia thou%ht they su""eeded @uitee''0 She spotted an open "arre' and 'o%%ed on to a one6hour se'+6pa"ed "ourse on stress ,ana%e,ent0 A+ter she as +inished3 shepro,ised herse'+ she ou'd resu,e the dai'y e&er"ise re%i,enshe had 'et 'apse durin% the past +e ,onths0 By this ti,e3 it as

"'ose to J#?? p0,0 As she 'e+t the Learnin% Center3 she sa the'i%ht as on in Brennan;s o++i"e0 She thou%ht a/out droppin% in to"hat a/out hat she had seen at the Learnin% Center3 /ut de"idedto %o ho,e and revie her notes +or the arti"'e0 She had an ::#??a0,0 appoint,ent ith Brennan the ne&t day to dis"uss theDia,ond Reard Syste,0

J


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Reardin% Co,,it,ent

.S

o you;re here to ta'1 a/out our approa"h to reards32

Brennan said3 as he ushered *atri"ia into his o++i"e and o++eredher a "up o+ "o++ee0 .Yes02 .Reards are another too' e use to/ui'd "o,,it,ent32 Brennan /e%an0 .The "on"ept /ehind ourreards syste, is si,p'e0 8e /e'ieve that peop'e "ontinue to dothe thin%s +or hi"h they are rearded0 There+ore3 e +o"us onreardin% peop'e +or per+or,an"e

that enhan"es our /otto, 'ine and re+'e"ts the Dia,ond 8ay0.This is not as di++i"u't as it ,i%ht see, at +irst %'an"e0 I+ peop'e,eet their o/5e"tives3 they %et rearded0 I+ they e&"eed theiro/5e"tives3 their reards e&"eed the reards o+ the peop'e ho,ere'y ,eet their o/5e"tives0 .Dia,ond peop'e %et to types o+,onetary reardssa'aryJ


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in"reases and sto"1 options0 Li1e ,ost "o,panies3 e use sa'arysurveys to set our annua' sa'ary in"reases0 8e atte,pt to positionourse'ves in the upper @uarti'e o+ "o,panies in our industry and inthe "o,,unities in hi"h e operate0 8e ant to attra"t the topta'ent3 so e pay very "o,petitive sa'aries0 8e don;t position

ourse'ves as the top6payin% "o,pany in our industry0 8e /e'ievee "an attra"t the ta'ent e need /y /ein% in the top @uarti'e0.8e a'so have a very 'i/era' sto"1 option pro%ra,32 Brennan"ontinued0 .8e en"oura%e e,p'oyee onership o+ Dia,ond sto"108e;ve +ound that options are the /est too' to %et our peop'einvested in our "o,pany0 A'' o+ our e,p'oyees parti"ipate in thesto"1 option pro%ra,0 .E,p'oyees re"eive options /ased on theirper+or,an"e0 These options are not auto,ati"0 Ea"h ,ana%er has

a "ertain a''ot,ent o+ options avai'a/'e0 The ,ana%er ,ay "hooseto %rant the, a'' to one individua' or to sp'it the, even'y a,on%a'' o+ his or her e,p'oyees0 This rare'y happens thou%h3 as our,ana%ers are pretty %ood at di++erentiatin% e,p'oyeeper+or,an"e0 .Our "o,pensation depart,ent is avai'a/'e to advise,ana%ers havin% a di++i"u't ti,e assi%nin% options0 8e antoptions to /e an in"entivenot a disin"entive +or our peop'e3 soe or1 hard at ensurin% the /est per+or,ers %et the /est

option pa"1a%es32 said Brennan0?


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.So the peop'e ho %et the ,ost options are the peop'e ho didthe /est in their per+or,an"e a%ainst o/5e"tivesQ2 *atri"ia as1ed0.Yes and no32 said Brennan0 .Intan%i/'es are o+ten the de"idin%+a"tor in a''o"atin% options0 8e +o"us on resu'ts3 /ut e are a'sointerested in ho those resu'ts ere a"hieved0 !or e&a,p'e3

peop'e ho "onsistent'y set a positive ,ode' +or the Dia,ond 8ayare 'i1e'y to re"eive a /etter option %rant than those ho ,ere'y"ondu"t the,se'ves in a""ordan"e ith our %uidin% prin"ip'es02 .Ithin1 I 1no the anser to this @uestion32 *atri"ia said3 ./ut I;''as1 it anyay0 8hat happens to peop'e hose /ehavior does notre+'e"t your %uidin% prin"ip'esQ2 .The +irst year that happensthey %et no options32 Brennan said0 .There usua''y isn;t a se"ond

year0 *eop'e either %et the ,essa%e and "han%e their /ehavior3 or

e as1 the, to 'eave us0 8e;re not very to'erant o+ peop'e hoaren;t i''in% to "ondu"t the,se'ves in a ,anner "onsistent ithour %uidin% prin"ip'es0 .You 1no *atri"ia3 ith a'' o+ this ta'1a/out sa'ary and options3 I;, +a''in% into the trap I a'ays te'' ourpeop'e to avoid32 Brennan said0 .!ro, hat I;ve said so +ar3 you,i%ht thin1 I /e'ieve "o,pensation and /ene+its are the 1ey to ane++e"tive reard syste,0 You do have to pay peop'e e'' or yourun the ris1 o+ 'osin% the, to your "o,petition0 But "o,pensation

and /ene+its are not the:


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1ey to an e++e"tive reard syste,0 Leadership is0 8e re'y on our,ana%ers to rein+or"e the Dia,ond 8ay3 and there;s no dou/tthat "o,pensation and sto"1 options are to o+ the /i%%est too'sthey have at their disposa'0 .Hoever3 I /e'ieve that ,eanin%+u'"onversations /eteen peop'e and their ,ana%ers are ,ore

i,portant than +inan"ia' reards0 *eop'e are interested in hattheir /oss thin1s a/out the, and their per+or,an"e0 They ant apat on the /a"1 hen they do so,ethin% %ood0 And /e'ieve it ornot3 they a'so ant to hear a/out it hen they ,a1e a ,ista1e or"ause a pro/'e,02 Brennan "ontinued3 .Our ,ana%ers 1no thatto o+ their ,ost i,portant 5o/s are rein+or"in% hi%hper+or,an"e and appropriate /ehavior3 and redire"tin% 'oper+or,an"e and inappropriate /ehavior0 This %oes /a"1 to hat I

said as e /e%an this "onversation0 *eop'e "ontinue to do thethin%s +or hi"h they %et rearded0; The reverse is a'so true0=ost peop'e ,a1e a "han%e in /ehaviors that earn the, ne%ative+eed/a"1 +ro, their /oss0 .8e te'' our ,ana%ers to ,a1e surethat a'' o+ the peop'e ho or1 +or the, 1no hat they aresupposed to do3 and have the too's they need to /e a/'e to do a%ood 5o/0 .8e use deve'op,ent opportunities as a reard3 too0Dia,ond ,ana%ers %o out o+ their ay to +ind assi%n,ents that

i'' he'p9


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their peop'e %ro and prepare +or +uture pro,otions0 8e stret"hour /est peop'e /e"ause e 1no that rea''y %ood peop'e +ind ne"ha''en%es reardin%02


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=utua' A""ounta/i'ity

.8

e a'so reard peop'e ho are i''in% to sa"ri+i"e +or the

%ood o+ the entire /usiness32 Brennan said0 .This a'' sounds very%ood in theory32 *atri"ia said3 o/vious'y s1epti"a'3 ./ut ho does itor1 in pra"ti"eQ2 .Let ,e %ive you an e&a,p'e32 said Brennan0.=utua' a""ounta/i'ity is one o+ the thin%s e strive +or aroundhere0 =utua' a""ounta/i'ity is 5ust a +an"y ay o+ sayin%3 8e;rea'' in this to%ether0; 8e ant our peop'e to do to thin%s hen it"o,es to ,utua' a""ounta/i'ity0 !irst3 e ant the, to 1eep an

eye on the /i% pi"ture0 Never +or%et that e;re in /usiness toserve our "usto,ers0 Se"ond3 e ant the, to he'p ea"h otherout0 8e te'' the,3 !o"us on doin% your 5o/ e''3 /ut /e i''in% to'end a hand to a "o6or1er or depart,ent that needs your he'p0;2*atri"ia nodded /ut sti'' 'oo1ed so,ehat "on+used0F


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Brennan 'eaned toard her and said3 .OK0 Let;s /e even ,orespe"i+i"0 In si,p'e ter,s3 sa'es and ,ar1etin% peop'e have theresponsi/i'ity +or "reatin% a de,and +or Dia,ond produ"ts0Ri%htQ2 *atri"ia nodded0 .On the other hand3 ,anu+a"turin%peop'e have the responsi/i'ity +or produ"in% hi%h @ua'ity Dia,ond

produ"ts at a 'o "ost32 he "ontinued0 .I;, ith you so +ar32*atri"ia said0 .One o+ the ays that sa'es and ,ar1etin% "an"reate de,and +or Dia,ond produ"ts is /y o++erin% a variety o+SKUs0 This is espe"ia''y true in our Consu,er Division0 So,epeop'e pre+er our produ"ts in individua' pa"1s3 others 'i1e three6pa"1s3 sti'' others 'i1e si&6pa"1s0 So i+ you;re a sa'es and,ar1etin% person3 you ant the a/i'ity to present our produ"ts ina variety o+ pa"1a%in% presentations0 In this ay3 you;re 'i1e'y to

have a pa"1a%e that ,eets the needs o+ ,ore "usto,ers than i+ you have on'y one presentation0 To put it si,p'y3 ,ore pa"1a%in%presentations are 'i1e'y to e@ua' ,ore sa'es3 and ,ore sa'es addup to ,ore reards +or the sa'es and ,ar1etin% peop'e0 =a1esper+e"t sense3 doesn;t itQ2 Brennan as1ed0 *atri"ia nodded0 Hes,i'ed and "ontinued3 .No 'et;s thin1 a/out the ,anu+a"turin%peop'e0 They don;t %enerate sa'es or any other type o+ revenue0 InJ


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+a"t3 one "ou'd ar%ue that not on'y do they not /rin% in any,oney4 they spend a 'ot o+ it0 It "osts a 'ot to operate a p'ant0Our ,anu+a"turin% peop'e are %ood0 They 1no that they "an"ontri/ute to our /otto, 'ine /y de"reasin% their "osts0 Theyoperate /y the o'd sayin%3 A penny saved is a penny earned0;2 .I;,

sti'' ith you32 said *atri"ia0 .$ood32 Brennan said0 .One o+ theays you "an 1eep "osts don in a ,anu+a"turin% environ,ent isto set up the e@uip,ent3 'o"1 it in and do 'on% produ"tion runs0 A'ot o+ ti,e and ,oney are spent on e@uip,ent "han%eover02 .Andthe ,ore SKUs you have3 the ,ore o+ten you need to "han%e over

your e@uip,ent32 said *atri"ia0 Brennan s,i'ed0 .E&a"t'y02 .No'et;s 'oo1 at ho this "an i,pa"t our reard syste,32 he"ontinued0 .Sa'es and ,ar1etin% peop'e %et rearded +or se''in% a

'ot o+ produ"t0 One o+ the /est ays +or the, to se'' a 'ot o+produ"t is to provide "usto,ers ith a ide variety o+ "hoi"es0.On the other hand3 ,anu+a"turin% peop'e %et rearded +or1eepin% their "osts don0 One o+ the /est ays o+ 1eepin% your,anu+a"turin% "osts don is to have +eer presentations3 hi"hi'' a''o you to have 'on%er produ"tion runs3 hi"h i'' in"rease

your e++i"ien"ies3 hi"h ,eans 'oer "osts and hi%her reards


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+or the ,anu+a"turin% peop'e02 .I "an see here this "an "auseso,e pro/'e,s32 said *atri"ia0 .*eop'e are at "ross6purposes02.They don;t have to /e32 said Brennan0 .As I said3 e +o"us on,utua' a""ounta/i'ity0 8e try to "reate in6in situationsherever e "an0 8e hand'ed the sa'es and

,ar1etin%,anu+a"turin% pro/'e, /y %ettin% our ,anu+a"turin%peop'e invo'ved very ear'y in the ne produ"t deve'op,entpro"ess0 =anu+a"turin% parti"ipates in a'' o+ our dis"ussionsre%ardin% pa"1a%e desi%n0 .Be+ore e did this3 e ou'dso,eti,es +ind ourse'ves in a situation in hi"h sa'es and,ar1etin% had "o,,itted to a parti"u'ar pa"1a%e desi%n on'y to+ind out that our ,anu+a"turin% +a"i'ities didn;t even have thee@uip,ent ne"essary to produ"e that type o+ pa"1a%e0 Not on'y

ou'd this de'ay produ"t 'aun"hes hi"h had a ne%ative i,pa"ton sa'es and ,ar1etin% peop'e;s reards3 /ut ,anu+a"turin% "ostsa'so ou'd s1yro"1et as they had to /uy and insta'' nee@uip,ent3 hurtin% their "han"es +or e&"e''ent reards0 No/odyou'd /e happy and everyone ou'd /e pointin% their +in%er at theother %uy32 Brennan said0 .Severa' years a%o e restru"tured ourreard syste, to +o"us on overa'' pro+ita/i'ity0 8e +o"us +irst ondivisiona' per+or,an"e and then Dia,ond;s "orporate

per+or,an"e0 Individua' per+or,an"e


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a%ainst %oa's is a distant third0 No3 e +ind that individua's and%roups ho previous'y ere at odds ith one another or1 e''to%ether0 .To %et /a"1 to the e&a,p'e e;ve /een usin%3 ourConsu,er Division ,anu+a"turin% peop'e understand the need +ora variety o+ produ"t presentations3 and a""ept the +a"t that

so,ehat +re@uent "han%eovers are an inte%ra' part o+ our/usiness0 They;ve %otten @uite %ood at strea,'inin% the"han%eover pro"ess and in"reasin% the e@uip,ent up ti,e0 .On theother hand3 their sa'es and ,ar1etin% "ounterparts have %otten,u"h ,ore sophisti"ated in understandin% our "usto,ers; needsand ants0 This ,a1es the, 'ess 'i1e'y to initiate a pa"1a%in%"han%e every ti,e a "usto,er says3 It ou'd /e %reat i+P0; Theya'so have %ained an appre"iation +or hat it ta1es +or their

,anu+a"turin% "o''ea%ues to ,a1e hat appears at +irst %'an"e to/e a si,p'e "han%e02 .It ,a1es sense to ,e32 *atri"ia said0 .But itsee,s a',ost too si,p'e02 Brennan sat /a"1 in his "hair0 .You,i%ht thin1 o+ this as "o,,on sense3 or a typi"a' "ross6+un"tiona'"ontinuous i,prove,ent pro5e"t hi"h it is0 Hoever3 it ou'dnot or1 i+ e did not %et our a"t to%ether and put the reardssyste,s into p'a"e to +a"i'itate it0 Re,e,/er3 peop'e "ontinue todo the thin%s +or hi"h they %et


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rearded0 By "reatin% a reard syste, that +osters anden"oura%es "o''a/oration and ,utua' a""ounta/i'ity3 e are so'vin%severa' pro/'e,s0 Interdepart,enta' /i"1erin% has %one don0Sa'es "ontinue to rise and ,anu+a"turin% "osts "ontinue toi,prove02

?


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Leadin% +or Co,,it,ent3 *art :

B

rennan and *atri"ia ere havin% 'un"h in the Dia,ond "a+eteria

to days 'ater0 *atri"ia too1 a /ite o+ her sa'ad0 .I;, startin% to%et a +ee' +or ho you /ui'd "o,,it,ent around here# se'e"tion3orientation3 edu"ation3 reard syste,s0 They a'' ,a1e senseindividua''y3 /ut hen you put the, to%ether as you have3 theyrein+or"e one another02 .Than1s32 said Brennan0 .But e haven;tta'1ed a/out the ,ost i,portant aspe"t o+ the Co,,it,ent+a"tor yet02 *atri"ia 'oo1ed a /it surprised3 /ut aited0 By no3

she 1ne Brennan as 'eadin% up to so,ethin%0 .Leadership32 hesaid0 .Everyone here has the responsi/i'ity to /ui'd "o,,it,ent/y e&er"isin% 'eadership0 8e e&pe"t a'' o+ our peop'e to dohatever it ta1es to /ui'd "o,,it,ent and "reate a "o''e"tivesense o+ spirit0 *eop'e "an /e 'eaders no ,atter hat their 5o/32Brennan said0:


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.8hen I visit ith "usto,ers3 they te'' ,e they "an a'ays spot aDia,ond sa'es rep0 They say that our peop'e drive "'eaner "ars3dress /etter and are ,ore prepared0 To ,e this is 'eadership08hen youn% peop'e 5oin our sa'es or%ani-ation3 they 'isten to hate say in trainin% /ut ,ore i,portant'y3 they see hat their ,ore

e&perien"ed "o''ea%ues a"tua''y do in the +ie'd0 And hat they seeis a %roup o+ pro+essiona's ho "are a/out the i,a%e they "reate+or Dia,ond0 They see a ho'e sa'es +or"e o+ 'eaders ho don;teven have to say anythin% to 'ead0 Their a"tions spea1 +orthe,se'ves02 Brennan "ontinued3 .It;s the sa,e in our,anu+a"turin% and distri/ution 'o"ations0 Dia,ond peop'e 'oo1 out+or one another0 8hen one o+ our peop'e sees a "o''ea%ueen%a%in% in a potentia''y unsa+e a"t3 the +irst person 'eads /y

stoppin% hatever he or she is doin% and /rin%in% the potentia'"onse@uen"es o+ the unsa+e a"t to the other person;s attention0They do this /e"ause they "are a/out their "o6or1ers and/e"ause it is the responsi/'e thin% to do +or the /usiness0 .You;''+ind a ,i''ion tiny e&a,p'es o+ peop'e steppin% up and 'eadin%every day0 One o+ the thin%s you;'' noti"e around here is hopun"tua' peop'e are0 8e start and end ,eetin%s on ti,e0 I+ theperson ho is "ondu"tin% the ,eetin% doesn;t ta1e it upon hi,se'+

or herse'+ to ,ana%e ti,e appropriate'y3 you "an /et so,eonee'se i''0 .*eop'e a'so sho 'eadership throu%h 'itt'e "ourtesies08hen9


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,eetin%s end3 the peop'e ho are in attendan"e put their "o++ee"ups and nap1ins in the trash0 They do this /e"ause they rea'i-eother Dia,ond peop'e are 'i1e'y to /e in that "on+eren"e roo, ina +e ,inutes3 and they shou'dn;t have to pi"1 up other peop'e;strash as they /e%in their ,eetin%0 I+ so,eone +or%ets3 you "an /e

sure that one o+ his "o''ea%ues i'' re,ind hi, either /ya"tions or ords0 .8e en"oura%e peop'e to 'ead /y their a"tions3and e reard the, +or it0 =ana%ers are a'ays on the 'oo1out+or so,eone ho has stepped up and 'ed0 8hen they +ind'eadership in a"tion3 they ,a1e a point o+ te''in% the person a/outit0 I "ou'd %o on and on a/out this /e"ause I;, proud o+ our peop'eand the ay they a""ept the responsi/i'ity o+ 'eadership02 .8hata/out the peop'e in +or,a' 'eadership ro'esQ2 *atri"ia as1ed0

.8ith the hi%h e&pe"tations you have o+ non6,ana%e,ent peop'e3 you ,ust have rea''y hi%h e&pe"tations o+ your ,ana%ers02 .8edo32 said Brennan0 .8e te'' our ,ana%ers that in addition to,eetin% their /usiness %oa's3 they have the i,portantresponsi/i'ity o+ /ui'din% and sustainin% the Dia,ond "u'ture and"reatin% the ne&t %eneration o+ Dia,ond 'eaders0 8e;re seriousa/out this0 8e ho'd the, a""ounta/'e +or it0 .8e insist that our'eaders treat everyone +air'y and ith


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respe"t0 8e never 'et the, +or%et that they are the 'in1 /eteenDia,ond and our peop'e0 There+ore3 e e&pe"t the, to"o,,uni"ate ith their peop'e3 ,a1in% sure that they are e''in+or,ed0 8e a'so te'' the, that "o,,uni"ation or1s to ays08e ant our 'eaders to en"oura%e their peop'e to e&press their

opinions and ideas0 And3 hen so,eone has a %ood idea3 e antour 'eaders to a"t on it0 Dia,ond 'eaders are open to %ood ideasand su%%estions3 no ,atter hat the sour"e02 Brennan paused to'et hat he;d 5ust said sin1 in0 .8e te'' our 'eaders to ,a1e surethat their peop'e 1no hat;s e&pe"ted o+ the,3 have the too'sand resour"es they need to do their 5o/3 and then %et out o+ theay and 'et the, per+or,0 8e ant our peop'e to 'earn and %ro0Our 'eaders en"oura%e their peop'e;s deve'op,ent0 They

re"o%ni-e the, +or doin% a %ood 5o/3 and they he'p the, i,provein areas here they are a 'itt'e ea10 .Li1e I 5ust said3 'eadershipat Dia,ond is as ,u"h a/out /ui'din% the "u'ture and deve'opin%peop'e as it is a/out ,eetin% /usiness %oa's02 .I+ I 1no you and I thin1 I;, /e%innin% to you have so,e pretty "'ear ideaso+ hat it ta1es to /e a Dia,ond 'eader32 *atri"ia said0 .Ri%hta%ain32 said Brennan0 .Dia,ond 'eaders share to i,portant"hara"teristi"s0 !irst3 they a'' are hi%h'y e++e"tive as peop'e and

se"ond3


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they have e''6deve'oped 'eadership s1i''s0 8e /e'ieve thatpersona' e++e"tiveness is a prere@uisite +or 'eadershipe++e"tiveness02 .8hoa there3 those are so,e pretty /road"on"epts you;re tossin% around32 said *atri"ia0 .*ersona'e++e"tivenessQ Leadership e++e"tivenessQ 8hat do you do have

a'' o+ your 'eaders read The Seven Ha/its o+ Hi%h'y E++e"tive*eop'eQ2 Brennan "hu"1'ed0 .That ,i%ht not /e a /ad idea0 I 'i1ehat Stephen Covey has to say0 But that;s not the point0 I /e'ievepeop'e ,ust /e responsi/'e adu'ts3 a/'e to +un"tion at a hi%h 'eve'o+ persona' e++e"tiveness3 /e+ore they "an even thin1 a/out'eadin% others02 .8hat;s the ,a%i" +or,u'aQ2 *atri"ia as1ed0.There is no ,a%i" +or,u'a3 /ut there are severa' "hara"teristi"se 'oo1 +or in aspirin% 'eaders0 !irst o+ a''3 e 'oo1 +or peop'e ho

de,onstrate stron% persona' inte%rity0 I+ our 'eaders don;t"ondu"t the,se'ves in a responsi/'e and ethi"a' ,anner3 e "an;te&pe"t our peop'e to do so0 .Se"ond3 e ant 'eaders ho have astron% sense o+ persona' responsi/i'ity0 8e are interested indeve'opin% peop'e ho have de,onstrated the i''in%ness toidenti+y pro/'e,s and so've the, on their on0 .Third3 e 'oo1 +orpeop'e ho are aare o+ the,se'ves and those around the,0 8e/e'ieve that in order to /e an e++e"tive

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'eader3 you ,ust +irst have an understandin% o+ ho you are your stren%ths and ea1nesses0 You ,ust a'so have the a/i'ity tounderstand the peop'e around you0 You "ou'd "a'' this"hara"teristi" e,pathy0 .Ne&t e 'oo1 +or peop'e ho areadapta/'e0 8e have +ound that %ood 'eaders are ,ore +'e&i/'e

than they are ri%id0 .8e a'so insist on stron% "o,,uni"ation s1i''s0Our 'eaders ,ust /e "o,+orta/'e in +ront o+ a %roup as e'' as inone6to6one "onversation0 They a'so need to have the a/i'ity toe&press the,se'ves e'' in ritin%0 .!ina''y3 e 'oo1 +or peop'eho are appropriate'y a,/itious0 By that I ,ean peop'e ho antto /ui'd a "areer ith us /y steppin% up and 'eadin%0 8e;re notinterested in peop'e ho are tryin% to "'a their ay to the top0;But e have +ound that persona' a,/ition3 app'ied appropriate'y3

is a "o,,on "hara"teristi" o+ su""ess+u' Dia,ond 'eaders0 .Thesethin%s or1 +or us0 8e don;t pretend to su%%est that they;reri%ht +or other "o,panies3 /ut they de+ine the type o+ person eant as a 'eader around here0 I /e'ieve that every /usiness has toset /asi" standards o+ persona' e++e"tiveness that areprere@uisites +or 'eadership0 8ithout a 'eve' o+ persona'e++e"tiveness3 no one "an su""ess+u''y 'ead others32 said Brennan0.Let ,e ,a1e sure I;ve %ot the,32 said *atri"ia0 .You 'oo1 +or

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Leadin% +or Co,,it,ent3 *art 9

B

y no3 they ere +inished ith their 'un"h and on their ay

/a"1 to Brennan;s o++i"e0 .On"e e have identi+ied potentia''eaders3 e +o"us on deve'opin% the, in three areas32 Brennansaid0 .8hat are theyQ2 as1ed *atri"ia0 .!irst3 they need to havethe a/i'ity to deve'op and "o,,uni"ate a "'ear and "o,pe''in%vision o+ the +uture they are "reatin%0 Se"ond3 e e&pe"t the, to/e a/'e and i''in% to a"t as a positive ro'e ,ode'0 And third3 theyhave to /e i''in% and a/'e to deve'op others0 Let ,e te'' you a

'itt'e ,ore a/out ea"h o+ these "hara"teristi"s32 Brennan said0.!irst3 Dia,ond 'eaders need to /e visionary and inspirationa'0 8e'oo1 +or peop'e ho "an +i%ure out here our /usiness shou'd /eheadin%3 and "an en'ist others to %et on /oard and ,a1e it happen0


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BEIN$ A DIA=OND ROLE =ODEL !o"us on hat;s i,portantAs1 'ots o+ @uestions A'ays rein+or"e the Dia,ond 8ay Be "a',Reard the %ood Chan%e the not so %ood .!ina''y3 i+ you;re %oin%to /e an e++e"tive Dia,ond 'eader3 you ,ust /e i''in% and a/'e todeve'op others +or 'eadership positions0 8e ant our 'eaders to

/e the 1ind o+ peop'e ho have the se'+"on+iden"e to prepareothers to ta1e their 5o/0 A 'ot o+ 'eadership 'essons are 'earnedthe hard ay throu%h e&perien"e0 Hoever3 e have +ound that'eaders "an a""e'erate others; 'earnin% /y sharin% theire&perien"es /oth %ood and /ad0 Our 'eaders are not a+raid toad,it their ,ista1es and te'' peop'e hat they 'earned +ro,the,0 .I+ I sound a 'itt'e intense on this su/5e"t3 it;s /e"ause Ia,32 Brennan said0 .In ,y opinion3 our "ontinued su""ess as an

or%ani-ation has a 'ot to do ith our a/i'ity to "reate the ne&tand +uture %enerations o+ 'eaders and to 1no hen to stepaside and 'et the, ta1e "har%e02:


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*atri"ia;s NotesCO==IT=ENT ) Co,,it,ent /e%ins ith the Se'e"tion pro"ess0Hi%h per+or,in% or%ani-ations a"tive'y re"ruit the type o+ peop'eho i'' /e a %ood +it0 ) Hi%h per+or,in% or%ani-ations useOrientation as a "o,,it,ent6/ui'din% too'0 Senior ,ana%ers p'ay asi%ni+i"ant ro'e in the Orientation pro"ess0 ) Trainin% pro%ra,snot on'y tea"h s1i''s3 /ut a'so +o"us on ho to app'y the s1i''s in a,anner "onsistent ith the or%ani-ation;s =ission and $uidin%*prin"ip'es0 ) Reard Syste,s are desi%ned to +oster "o,,it,ent/y reardin% the type o+ /ehavior that is "onsistent ith theor%ani-ation;s =ission and $uidin% *rin"ip'es0 ) Reard Syste,s

+o"us on ,ore than ,oney0 They are /ased on the idea thateveryone ants to /e appre"iated0 *eop'e "ontinue to do thethin%s +or hi"h they %et rearded0 8ords o+ en"oura%e,ent andpats on the /a"1 are the 1eys to e++e"tive reards0


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) A'' ,e,/ers o+ hi%h per+or,in% or%ani-ations de,onstrateLeadership /y he'pin% one another and e&e,p'i+yin% hi%h"o,,it,ent0 ) !or,a' 'eaders ,ust /e hi%h'y e++e"tive peop'e# 6*ersona' inte%rity 6 *ersona' responsi/i'ity 6 E,pathy 6Adapta/i'ity 6 $ood "o,,uni"ation s1i''s 6 Appropriate'ya,/itious ) Additiona' Leadership s1i''s# 6 (ision the a/i'ity to+i%ure out here the or%ani-ation shou'd /e %oin%3 and to en'istothers in %ettin% there 6 Ro'e =ode'in% 'eaders e&e,p'i+y"o,,it,ent in these ays# ) Spend their ti,e on hat they say isi,portant ) As1 a 'ot o+ @uestions# 6 To point peop'e in the ri%htdire"tion


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6 To he'p peop'e deve'op their "riti"a' thin1in% s1i''s 6 To he'ppeop'e arti"u'ate hat they a'ready 1no ) Re,ain "a', in "rises )Reard /ehavior "onsistent ith the or%ani-ation;s $uidin%*rin"ip'es ) Redire"t /ehavior that is in"onsistent ith the$uidin% *rin"ip'es 6 *eop'e Deve'op,ent share e&perien"esM/oth positive and ne%ative and 'essons 'earned0 Leaders arei''in% to ad,it

4 secrets of succesful organisations

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