Manhole Cover

Madness and More ….

Chicagoland’s

Mystery Disappearances …

New Economy?!

Sergey + Larry >

Harvard/370

“If you don’t like change,

you’re going to like irrelevance even less.” —General Eric

Shinseki, Chief of Staff. U. S. Army

“In Tom’s world, it’s always better to try a

swan dive and deliver a

colossal belly flop than to step timidly off the board while holding your nose.” —Fast Company

/October2003

EXCELLENCE.

ALWAYS.American Gem Society/Breaking Barriers

Tom Peters/28April2006/Orlando

Slides at …

tompeters.com

EXCELLENCE.

1982.

Excellence1982: The Bedrock “Eight Basics”

1. A Bias for Action2. Close to the Customer3. Autonomy and Entrepreneurship4. Productivity Through People5. Hands On, Value-Driven6. Stick to the Knitting7. Simple Form, Lean Staff8. Simultaneous Loose-Tight Properties”

What is In Search of Excellence all about:

People. Emotion. Engagement. Exuberance. Action-Execution. Empowerment. Independence. Initiative. Imagination. Great

Stories. Incredible Adventures. Trust. Caring. Fun. Joy.

Customer-centrism. Profit. Growth. “Brand You.” “Dramatic Differences.” Experiences that Make You “Gasp.” Excellence.

Always.

ExIn*: 1982-2002/Forbes.com

DJIA: $10,000 yields $85,000 EI: $10,000 yields $140,050

*Excellence Index /Basket of 32 publicly traded stocks

EXCELLENCE.

ALWAYS.

Synonyms

PurityTranscendence

VirtueEleganceMajesty

Antonyms

Mediocrity

EXCELLENCE.

ALWAYS.

Summary:

WallopWal*Mart16*

*Or: Why it’s so absurdly easy to beat a GIANT Company

The “Small Guys” Guide: Wallop Wal*Mart16

*Niche-aimed. (Never, ever “all things for all people,” a “mini-Wal*Mart.)

*Never attack the monsters head on! (Instead steal niche business and lukewarm customers.)

*“Dramatically Different” (La Difference ... within our

community, our industry regionally, etc … is as obvious as the end of one’s nose!) (THIS IS WHERE MOST MIDGETS COME UP SHORT.)

*Compete on value/experience/intimacy, not price. (You ain’t gonna beat the behemoths on cost-price in 9.99 out of 10 cases.)

*Emotional bond with Clients, Vendors. (BEAT THE BIGGIES ON EMOTION/CONNECTION!!)

$798

$415/SqFt/Wal*Mart$798/SqFt/Whole

Foods

EXCELLENCE?

ALWAYS?

This is not a “mature

category.”

This is an “undistinguishe

d category.”

Franchise Lost!

TP: “How many of you [600] really

crave a new Chevy?”

NYC/IIR/061205

EXCELLENCE!

ALWAYS!

$798

7X. 730A-800P.

F12A.**’93-’03/10 yr annual return: CB: 29%; WM: 17%;

HD: 16%. Mkt Cap: 48% p.a.

“It’s simple, really, Tom. Hire for s,

and, above all, promote for s.”

—Starbucks middle manager/field

#1/100

“Best Companies to

Work for”/2005

Wegmans

Cirque du Soleil!

Donnelly’s Weatherstrip

Service

Weymouth MA

EXCELLENCE?

ALWAYS?

????????

Weenie of the year,

2006 …

????????

6/44

P&G

EXCELLENCE.

FOUND.

“To be a leader in consumer

products, it’s critical to have

leaders who represent the population we

serve.” —Steve Reinemund/PepsiCo

EXCELLENCE.

FOUND.

“Women are the

majority market”

—Fara Warner/The Power of the Purse

The Perfect Answer

Jill and Jack buy slacks in black…

1. Men and women are different.2. Very different.3. VERY, VERY DIFFERENT.4. Women & Men have a-b-s-o-l-u-t-e-l-y nothing in common.5. Women buy lotsa stuff.

6. WOMEN BUY A-L-L THE STUFF.7. Women’s Market = Opportunity No. 1.8. Men are (STILL) in charge.9. MEN ARE … TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN.10. Women’s Market = Opportunity No. 1.

10. Women’s Market =

Opportunity No. 1.

“Women don’t buy

brands. They join them.”

EVEolution

2.6 vs. 21

EXCELLENCE.

FOUND.

10.6

EXCELLENCE.

FOUND.

2000-2010 Stats

18-44: -1%

55+: +21%(55-64: +47%)

44-65: “New Customer Majority” *

*45% larger than 18-43; 60% larger by 2010Source: Ageless Marketing, David Wolfe & Robert Snyder

“Baby-boomer Women: The Sweetest of

Sweet Spots for Marketers” —David Wolfe and

Robert Snyder, Ageless Marketing

EXCELLENCE.

FOUND.

Fastest growing demographic:

Single-person Households (>50% in London, Stockholm, etc)

Source: Richard Scase

Duh.

Women.Women business owners.

Boomers-Geezers.Single-adults (Urban)

EXCELLENCE.

VALUE ADDED.

$55B

MasterCard Advisors

Trapper: <$20 per beaver pelt.

Source: WSJ

WDCP*: $150 to remove

“problem beaver”; $750-$1,000 for flood-control piping … so that beavers can

stay.

* “Wildlife Damage-control Professional”

Source: WSJ

I. LAN Installation Co. (3%)

II. Geek Squad. (30%.)

III. Acquired by BestBuy.

IV. Flagship of BestBuy Wholesale “Solutions” Strategy Makeover.

Huge: Customer Satisfaction versus

Customer

Success

The Value-added Ladder/Opportunity-seeking

Gamechanging Solutions

ServicesGoods

Raw Materials

EXCELLENCE.

VALUE ADDED.

“Experiences are as distinct

from services as services are from

goods.” —Joe Pine & Jim Gilmore, The Experience Economy:

Work Is Theatre & Every Business a Stage

“Club Med is more than just a ‘resort’; it’s a means of rediscovering oneself, of inventing an

entirely new ‘me.’ ”

Source: Jean-Marie Dru, Disruption

“The [Starbucks] Fix” Is on …

“We have identified a

‘third place.’ And I

really believe that sets us apart. The third place is that place that’s not work or home. It’s the place our customers

come for refuge.”

Nancy Orsolini, District Manager

Experience: “Rebel Lifestyle!”

“What we sell is the ability for a 43-year-old accountant to dress in

black leather, ride through small towns and have people be

afraid of him.”Harley exec, quoted in Results-Based Leadership

The Value-added Ladder/Memorable Connection

Spellbinding Experiences

Gamechanging SolutionsServicesGoods

Raw Materials

Warren Goes Shopping …

Q: “Why did you buy Jordan’s Furniture?”

A: “Jordan’s is spectacular. It’s all

showmanship.”

Source: Warren Buffet interview/Boston Sunday Globe/12.05.2004

One company’s answer:

CXO*

*Chief eXperience Officer

Extraction & Goods: Male dominance

Services & Experiences: Female

dominance

EXCELLENCE.

VALUE ADDED.

Flower Power!

EXCELLENCE.

VALUE ADDED.

DREAM: “A dream is a complete moment in the life

of a client. Important experiences that tempt the client to commit substantial resources. The essence of

the desires of the consumer. The opportunity to help

clients become what they want to be.”

—Gian Luigi Longinotti-Buitoni

The Value-added Ladder/Emotion

Dreams Come True

Spellbinding Experiences Gamechanging Solutions

ServicesGoods

Raw Materials

Furniture vs. Dreams

“We do not sell ‘furniture’ at

Domain. We sell dreams. This is

accomplished by addressing the half-formed needs in our

customers’ heads. By uncovering these needs, we, in essence, fill in the blanks. We

convert ‘needs’ into ‘dreams.’ Sales are the

inevitable result.” — Judy George,

Domain Home Fashions

CDM*

*Chief Dream Merchant

CL O*

*Chief Lovemark Officer

EXCELLENCE.

ALWAYS.

“What Isn’t Matter Is

What Matters” —section title, Branded Nation: The Marketing of

Megachurch, College Inc., and Museumworld, James Twitchell

Gas ………….….. $1.75 per gallonLipton Iced Tea .. $9.52 per gallonOcean Spray …... $10.00Gatorade ……….. $10.17Diet Snapple …... $10.32STP brake fluid .. $33.60Pepto-Bismol ….. $123.20Vicks NyQuil …... $178.13Evian water ……. $21.19 ($50B-$200B)

Source: Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell (2004)

VA “Teaching Moment”

“Andy pointed to a molding, about halfway up the

wall …”

EXCELLENCE.

ALWAYS.

. “Everyone lives by selling

something.”

– Robert Louis Stevenson

SellSellSell

CRO*

*Chief Revenue Officer

EXCELLENCE.

ALWAYS.

“Storytelling

is the core of culture.”

—Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell

Market Power = Story Power

= Dream Power

CSTO*

*Chief Storytelling Officer

EXCELLENCE.

ALWAYS.

Brand =

Talent.

“We are a ‘Life

Success’ Company’

Dave Liniger, founder, RE/MAX

Health:Century21.Job # 1

(HC21.J1)

Childhood Obesity > Terrorism

“If God spoke to me by saying, ‘Mark, you’re down to your last three words: What would you want to say to

your fellow humans that would make the most positive impact?’ It would be a close call between Love Thy

Neighbor and Wash Your Hands . A close third would be Move,

Move, Move.” —Mark Pettus, M.D., The Savvy Patient

“The most important thing you can do to keep

from getting sick is to wash your hands. ” —CDC/National Center for Infectious Diseases

EXCELLENCE.

ALWAYS.

“The First step in a ‘dramatic’

‘organizational change program’ is obvious—

dramatic personal change!” —RG

“You must

be the

change you wish to see in the

world.”Gandhi

25

EXCELLENCE.

ALWAYS.

The greatest dangerfor most of us

is not that our aim istoo high

and we miss it,but that it is

too lowand we reach it.

Michelangelo

Radically Thrilling Language!

“Radically Thrilling.”

—BMW Z4 (ad)

CWO*

*Chief WOW Officer

EXCELLENCE.

ALWAYS.

“Nothing is so contagious as enthusiasm.”

—Samuel Taylor Coleridge

“It’s always

showtime.”

—David D’Alessandro, Career Warfare

EXCELLE ALWAYS.

Synonyms

PurityTranscendence

VirtueEleganceMajesty

Antonyms

Mediocrity