Productive Paranoia #1. Extra Oxygen Canisters- Its What You Do Before The Storm Comes

Great By ChoiceLeading Above the Death LineSydne CollierAmanda HainesJacob JohnsonEric LaunerKatie ShawZach SlagleMark Weyandt

OverviewProductive Paranoia

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Paranoia 3Productive Paranoia10x lead with productive paranoia

Conditions unexpectedly change violently and fastContinuously asking What if?

The only mistakes you can learn from are the ones you survive

10X Journey and the Death LineDeath LineBad EventsGood Events10X JourneyStay above the Death LineProductive Paranoia #1.Extra Oxygen Canisters- Its What You Do Before The Storm ComesOxygen Canisters= cash reserves and a conservative balance sheet

Intel cash position reaches 40 percent of annual revenues

Worried about the 5 percent where catastrophe could devastate the industry 10xers and Remaining Productively ParanoidWhat they do before the storm comes is what matters most

Started building buffers and shock absorbers as a habit early on

Being prepared for the Black Swan eventSouthwest AirlinesOnly Airline Prepared for 9-11

Stock price rise at the end of 2001

Only airline to turn a profit in 2002

Red BullKeep Growing in different markets

Involved in many different sports including owning a formula one racing team and an MLS team

Productive Paranoia 2: Bounding Risk10x Companies and the risks

Death Line Risk

Asymmetric Risk

Uncontrollable riskDeath Line RiskType Of Decision10X CompaniesComparison CompaniesNumber of Decisions Analyzed5955Decisions Involving Death Line Risk10% of Decisions36% of decisions

Asymmetric RiskType of Decisions Made10X CompaniesComparison CompaniesNumber of Decisions Analyzed5955Decisions Involving Asymmetric Risk15% of Decisions36% of Decisions

Uncontrollable RiskType of Decisions Made10X CompaniesComparison CompaniesNumber of Decisions Analyzed5955Decisions Involving Uncontrollable Risk42% of Decisions73% of Decisions

Productive Paranoia 3ZOOM OUT SENSE CONDITIONS, TIME, RISK, PLANS

zoom in execution

Red Bull MarketingZoom Out Realizing problems with marketing

Zoom In Created new marking scheme that they could afford

Execution Buzz marketing/word of mouthYouth cultureExtreme sportsDance music partiesStudent brand managers

ConclusionProductive Paranoia

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