Team 3:Andrew West, Andrea Lapotaire, Andrew Stack, Jessica Sharpless, Taylor Carrol l

GREAT BY CHOICEAN OVERVIEW

CLEAR PERFORMANCE MARKERS

Set pace towards goalHard, but manageable

SELF-IMPOSED CONSTRAINTS

Safe guards to stay on trackPrevent straying from main goal

APPROPRIATE TO THE ENTERPRISE

Do not copy othersCreate march according to own

personality/environment

LARGELY WITHIN YOUR CONTROL

Be your own architectCreating your own “20 Mile March” will:

Give a sense of autonomy Craft to own specific needs

A PROPER TIMEFRAME

Long enough to accommodate unforeseen setbacks

Short enough to not lose motivation

DESIGNED AND SELF-IMPOSED BY THE ENTERPRISE

Do not set goals that can be out of your control

Set goals that you can achieve through your actions

ACHIEVED WITH HIGH CONSISTENCY

Success relies on consistency“Be the consistent tortoise”

What are Bullets?an empirical test aimed at learning what works and

that meets 3 criteria: low cost: the size of the bullet grows as the

enterprise grows; a cannonball for a million dollar enterprise might be a bullet for a billion enterprise.

Low risk: does not mean high probability of success; low risk means that there are minimal consequences if the bullet goes awry or hits nothing.

Low distraction: low distraction from the overall enterprise; it might be very high distraction for one or a few individuals.

FIRE BULLETS, THEN CANNONBALLS

Fire bulletsAssess: Did the bullets hit anything?Consider: Do any of your successful bullets merit

conversion to a big cannonball?Convert: Concentrate resources and fire a cannonball once

calibrated.Don’t fire uncalibrated cannonballTerminate bullets that show no evidence of eventual

success

EMBRACE THE “FIRE BULLETS, THEN CANNONBALLS”

Wal-Mart opened it’s first supercenter in 1988 in Washington, Missouri This would be considered the bullet to see if this

supercenter would be successfulWas successful, so started to slowly expand into other

areasBy 1995, there were 239 supercenters

Cannonball

WAL-MART

If a bullet is a miss, do not fire the cannonball and learn from the mistake

http://www.youtube.com/watch?v=6dhRotIbQgU

LEARNING FROM BULLET’S MISTAKES

Luck is defined by meeting these three test: Some significant aspect of the event occurs largely or

entirely independent of the actions of the key actors in the enterprise

The event has a potentially significant consequence The event has some element of unpredictability

Are 10X companies luckier?

RETURN ON LUCK

Four possible return on luck scenarios Great return on good luck Poor return on good luck Great return on bad luck Poor return on bad luck

10Xers assume they’ll get a spate of bad luck and prepare ahead of time

RETURN ON LUCK

Hope for the best, plan for the worst

“As soon as there is life, there is danger”- Ralph Waldo Emerson

Be prepared

PRODUCTIVE PARANOIA

Build cash reserves and buffers

Bound Risk

Zoom out, Zoom in

PRODUCTIVE PARANOIA

SMaC stands for Specific, Methodical, and consistent.The more uncertain, fast-changing, and forgiving your

environment, the more SMaC you need.

SMAC

A set of durable operating practices that create a replicable and consistent success formula It is clear and concrete Gives clear guidance on what to do and what not to do Reflects empirical validation and insight about what

actually works and why

SMAC RECIPE

Developing a SMaC recipe, adhering to it, and amending it correlate with 10X success

Requires the three 10X behaviors: Empirical creativity (for developing and evolving it) Fanatic discipline (for sticking to it) Productive paranoia (for sensing necessary change)

SMAC RECIPE

Amendments can be made to one element or ingredient while leaving the rest of the recipe intact.

Two approaches: Exercising empirical creativity-internally driven (fire bullets,

then cannonballs) Exercising productive paranoia-externally focused (zoom

out, then zoom in)

AMENDING A SMAC RECIPE

Low Prices, Anytime, AnywhereConvenient Shopping-only have to make one shop for

everything you need

WALMART’S SMAC RECIPE