Tom Peters/American Express/ 06.08.2004/San Francisco

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The Passion Imperative The Leadership50Tom
Peters/American Express/ 06.08.2004/San Francisco
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Slides at tompeters.com
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Biases
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Strategy Systems Passion
Execution Porter 50 20
15 15Drucker 35
30 15 20Bennis
25 20 30
25Peters 15 20
35 30
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Successful Businesses Dozen Truths TPs
30-Year Perspective1. Insanely Great Quirky
Talent.2. Disrespect for Tradition.3. Totally
Passionate (to the Point of Irrationality) Belief
in What We Are Here to Do.4. Utter
Disbelief at the BS that Marks Normal Industry
Behavior.5. A Maniacal Bias for Execution and
Utter Contempt for Those Who Dont Get
It.6. Speed Demons.7. Up or Out. (Meritocracy
Is Thy Name. Sycophancy Is Thy Scourge.)8.
Passionate Hatred of Bureaucracy.9. Willingness
to Lead the Customer and Take the Heat
Associated Therewith. (Mantra Satan Invented
Focus Groups to Derail True Believers.)10.
Reward Excellent Failures. Punish Mediocre
Successes. 11. Courage to Stand Alone on Ones
Record of Accomplishment Against All the
Forces of Conventional Wisdom.12. A Crystal
Clear Understanding of the power of a Good Story
(Brand Power).
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Kevin Roberts Credo1. Ready.
Fire! Aim.2. If it aint broke ... Break it!3.
Hire crazies.4. Ask dumb questions.5. Pursue
failure.6. Lead, follow ... or get out of the
way!7. Spread confusion.8. Ditch your
office.9. Read odd stuff.10. Avoid moderation!
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Sir Richards RulesFollow your passions.Keep
it simple.Get the best people to help
you.Re-create yourself.Play.Source
Fortune/10.03
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The Passion Imperative The Leadership50
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Uncertainty is the only thing to be sure of.
Anthony Muh,head of investment in Asia,
Citigroup Asset Management If you dont like
change, youre going to like irrelevance even
less. General Eric Shinseki, Chief of Staff,
U. S. Army
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Mount Madness v.2004Perfect StormXCorporate
Mal-adaptivity
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The Perfect StormJobs TechnologyGlobalization
War, Warfighting Security
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14 MILLION service jobs are in danger of being
shipped overseas The Dobbs Report/USNWR/11.03/r
e new UCB study
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Jeff Immelt 75 of admin, back room, finance
digitalized in 3 years.Source BW (01.28.02)
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The world has arrived at a rare strategic
inflection point where nearly half its
populationliving in China, India and Russiahave
been integrated into the global market economy,
many of them highly educated workers, who can do
just about any job in the world. Were talking
about three billion people. Craig
Barrett/Intel/01.08.2004
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This is a dangerous world and it is going to
become more dangerous.We may not be
interested in chaos but chaos is interested in
us.Source Robert Cooper, The Breaking of
Nations Order and Chaos in the Twenty-first
Century
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Mount Madness v.2004Perfect StormXCorporate
Mal-adaptivity
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Forbes100 from 1917 to 1987 39 members of the
Class of 17 were alive in 87 18 in 87 F100
18 F100 survivors underperformed the market by
20 just 2 (2), GE Kodak, outperformed the
market 1917 to 1987.SP 500 from 1957 to 1997
74 members of the Class of 57 were alive in 97
12 (2.4) of 500 outperformed the market from
1957 to 1997.Source Dick Foster Sarah
Kaplan, Creative Destruction Why Companies That
Are Built to Last Underperform the Market
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Mount Madness v.2004Perfect StormXCorporate
Mal-adaptivity
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The Basic Premise.
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1. Leadership Is a Mutual Discovery Process.
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Ninety percent of what we call management
consists of making it difficult for people to get
things done. P.D.
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I dont know.
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Quests!
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Leaders-Mentors-Teachers Do Not Transform
People! Instead leaders-mentors-teachers (1)
provide a context which is marked by (2) access
to a luxuriant portfolio of meaningful
opportunities (projects) which (3) allow people
to fully (and safely, mostlycaveat they dont
engage unless theyre mad about something)
express their innate curiosity and (4) engage in
a vigorous discovery voyage (alone and in small
teams, assisted by an extensive self-constructed
network) by which those people (5) go to-create
places they (and their mentors-teachers-leaders)
had never dreamed existedand then the
leaders-mentors-teachers (6) applaud like hell,
stage photo-ops, and ring the church bells 100
times to commemorate the bravery of their
followers explorations!
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Organizing Genius / Warren Bennis and Patricia
Ward BiedermanGroups become great only when
everyone in them, leaders and members alike, is
free to do his or her absolute best.The best
thing a leader can do for a Great Group is to
allow its members to discover their greatness.
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The Leadership Types.
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2. Great Leaders on Snorting Steeds Are Important
but Great Talent Developers (Type I Leadership)
are the Bedrock of Organizations that Perform
Over the Long Haul.
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Whoops Jack didnt have a vision!
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T.A. 3
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3. But Then Again, There Are Times When This
Cult of Personality (Type II Leadership) Stuff
Actually Works!
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A leader is a dealer in hope.Napoleon
(TPs writing room pics)
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4. Find the Businesspeople! (Type III
Leadership)
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I.P.M. (Inspired Profit Mechanic)
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5. All Organizations Need the Golden Leadership
Triangle.
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The Golden Leadership Triangle (1) Talent
Fanatic-Mentor (2) Creator-Visionary (3)
Inspired Profit Mechanic.
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6. Leadership Mantra 1 IT ALL DEPENDS!
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Renaissance Men are a snare, a myth, a delusion!
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7. The Leader Is Rarely/Never the Best Performer.
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33 Division Titles. 26 League Pennants. 14 World
Series Earl Weaver0. Tom Kelly0. Jim
Leyland0. Walter Alston1AB. Tony LaRussa132
games, 6 seasons. Tommy LasordaP, 26 games.
Sparky Anderson1 season.
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The Leadership Dance.
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8. Leaders SHOW UP!
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Rudy!
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9. Leaders LOVE the MESS!
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Im not comfortable unless Im
uncomfortable.Jay Chiat
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10. Leaders DO!
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We have a strategic plan. Its called doing
things. Herb Kelleher
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The Kotler Doctrine1965-1980
R.A.F.(Ready.Aim.Fire.)1980-1995
R.F.A.(Ready.Fire!Aim.)1995-????
F.F.F.(Fire!Fire!Fire!)
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11. Leaders Re-do.
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If Microsoft is good at anything, its avoiding
the trap of worrying about criticism. Microsoft
fails constantly. Theyre eviscerated in public
for lousy products. Yet they persist, through
version after version, until they get something
good enough. Then they leverage the power theyve
gained in other markets to enforce their
standard.Seth Godin, Zooming
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12. BUT Leaders Know When to Wait.
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Tex Schramm The too hard box!
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13. Leaders Are Optimists.
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Hackneyed but none the less true LEADERS SEE
CUPS AS HALF FULL.
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Half-full Cups Ronald Reagan radiated an
almost transcendent happiness.Lou Cannon,
George (08.2000)
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14. BUT Leaders Are Realists/Leaders Win
Through LOGISTICS!
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The Gus Imperative!
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15. Leaders DELIVER!
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It is no use saying We are doing our best. You
have got to succeed in doing what is necessary.
WSC
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When assessing candidates, the first thing I
looked for was energy and enthusiasm for
execution. Does she talk about the thrill of
getting things done, the obstacles overcome, the
role her people playedor does she keep wandering
back to strategy or philosophy? Larry Bossidy,
Honeywell/AlliedSignal, in Execution
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16. Leaders FOCUS!
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To Dont List
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I used to have a rule for myself that at any
point in time I wanted to have in mind as it so
happens, also in writing, on a little card I
carried around with me the three big things I
was trying to get done. Three. Not two. Not four.
Not five. Not ten. Three. Richard Haass, The
Power to Persuade
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17. Leaders Set CLEAR DESIGN SPECS.
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Danger S.I.O. (Strategic Initiative Overload)
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JackWorld/1_at_T (1) Neutron Jack. (Banish
bureaucracy.) (2) 1, 2 or out Jack. (Lead or
leave.) (3) Workout Jack. (Empowerment, GE
style.) (4) 6-Sigma Jack. (5) Internet Jack.
(Throughout) TALENT JACK!
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18. Leaders Send V-E-R-Y Clear Signals About
Design Specs!
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Ridin with Roger What have you done to
DRAMATICALLY IMPROVE quality in the last 90 days?
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If It Aint Broke Break It.
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19. Leaders FORGET!/Leaders DESTROY!
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ForgetgtLearnThe problem is never how to get
new, innovative thoughts into your mind, but how
to get the old ones out.Dee Hock
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20. BUT Leaders Have to Deliver, So They Worry
About Throwing the Baby Out with the Bathwater.

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Damned If You Do, Damned If You Dont, Just
Plain Damned.Subtitle in the chapter, Own Up
to the Great Paradox Success Is the Product of
Deep Grooves/ Deep Grooves Destroy Adaptivity,
Liberation Management (1992)
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Therefore Leadership ArtTherefore MBA
Useless
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15 Leading Biz SchoolsDesign/Core
0Design/Elective 1Creativity/Core
0Creativity/Elective 4Innovation/Core
0Innovation/Elective 6Source DMI/Summer 2002
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21. Leaders HONOR THE USURPERS.
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Saviors-in-WaitingDisgruntled
CustomersUpstart CompetitorsRogue
EmployeesFringe SuppliersWayne Burkan, Wide
Angle Vision
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22. Leaders Make Lotsa Mistakes and MAKE NO
BONES ABOUT IT!
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Sam is not afraid to fail.
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23. Leaders Make BIG MISTAKES!
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Reward excellent failures. Punish mediocre
successes.Phil Daniels, Sydney exec (and, de
facto, Jack)
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Create.
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24. Leaders Know that THERES MORE TO LIFE THAN
LINE EXTENSIONS. Leaders Love to CREATE NEW
MARKETS.
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No one ever made it into the Business Hall of
Fame on a record of line extensions.
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Acquisitions are about buying market share. Our
challenge is to create markets. There is a big
difference. Peter Job, CEO, Reuters

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25. Leaders Make Their Mark / Leaders Do
Stuff That Matters
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Management has a lot to do with answers.
Leadership is a function of questions. And the
first question for a leader always is Who do we
intend to be? Not What are we going to do? but
Who do we intend to be? Max De Pree, Herman
Miller
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Ah, kids What is your vision for the future?
What have you accomplished since your first
book? Close your eyes and imagine me
immediately doing something about what youve
just said. What would it be? Do you feel you
have an obligation to Make the world a better
place?
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26. Leaders Push Their Organizations W-a-y Up the
Value-added/ Intellectual Capital Chain
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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
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WHAT CAN BROWN DO FOR YOU?
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The sun is setting on the Information
Societyeven before we have fully adjusted to its
demands as individuals and as companies. We have
lived as hunters and as farmers, we have worked
in factories and now we live in an
information-based society whose icon is the
computer. We stand facing the fifth kind of
society the Dream Society. The Dream Society
is emerging this very instantthe shape of the
future is visible today. Right now is the time
for decisionsbefore the major portion of
consumer purchases are made for emotional,
nonmaterialistic reasons. Future products will
have to appeal to our hearts, not to our heads.
Now is the time to add emotional value to
products and services. Rolf Jensen/The Dream
SocietyHow the Coming Shift from Information to
Imagination Will Transform Your Business
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27. Leaders LOVE the New Technology!
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100 square feet
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28. Needed? Type IV Leadership Technology
Dreamer-True Believer
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The Golden Leadership Quadrangle (1) Talent
Fanatic-Mentor (2) Creator-Visionary (3)
Inspired Profit Mechanic (4) Technology
Dreamer-True Believer
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Talent.
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29. When It Comes to TALENT Leaders Always
Swing for the Fences!
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Talents Big7 Rules1. Talent
25/8/53. 2. Some people are better than
other people. Some people are a helluva lot
better than other people.3. Women are the best
leaders for the New Economy4. Think
Roster5. Think V.C.6. Talent is what
leaders do. 7. Talent Brand
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30. Leaders Dont Create Followers THEY CREATE
LEADERS!
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I start with the premise that the function of
leadership is to produce more leaders, not more
followers.Ralph Nader
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31. Leaders Win Followers Over
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WHAT AN IDIOT Instead of employees being in the
drivers seat, now were in the drivers seat.
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PJ Coaching is winning players over.
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I didnt have a mission statement at Burger
King. I had a dream. Very simple. It was
something like, Burger King is 250,000 people,
every one of whom gives a shit. Every one.
Accounting. Systems. Not just the drive through.
Everyone is in the brand. Thats what were
talking about, nothing less. Barry Gibbons
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Passion.
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32. Leaders Out Their PASSION!
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G.H. Create a cause, not a business.
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Aside
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Jim Tom. Joined at the hip. Not.
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Good to Great Fannie Mae Kroger Walgreens
Philip Morris Pitney Bowes Abbott
Kimberly-Clark Wells Fargo
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Great Companies SET THE AGENDA. (Period.)
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AGENDA SETTERS Set the Table/ Pioneers/
Questors/ AdventurersUS Steel Ford Macys
Sears Litton Industries ITT The Gap
Limited CitiGroup American Express American
Express WalMart PG 3M Intel IBM
Apple Nokia Cisco Dell MCI Sun
Oracle Microsoft Enron Schwab GE
Southwest Laker People Express Ogilvy
Chiat/Day Virgin eBay Amazon Sony BMW
CNN
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Huh?Humility The Surprise Factor in
Leadership bosses with Gung-ho Qualities and
Charisma May Be Out of Fashion Headline/FT/re
JCollins/10.03 (TP scribble Nelson,
Wellington, Montgomery, Disraeli, Churchill,
Thatcher)
114
WellingtonNelsonDisraeliChurchillMontgomeryTh
atcher
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Huh?Quiet, workmanlike, stoic leaders bring
about the big transformations.--JC
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Humble Pastels?T. Paine/P. Henry/A.
Hamilton/T. Jefferson/B. FranklinA. Lincoln/U.S.
Grant/W.T. ShermanTR/FDR/LBJ/RR/JFKPatton/Monty/
HalseyM.L. King/C. de Gaulle/M. Gandhi/W.
ChurchillPicasso/Mozart/Copernicus/Newton/Einstei
n/Djarassi/Watson H. Clinton/G. Steinem/I.
Gandhi/G. Meir/M. Thatcher E. Shockley/A.
Grove/J. Welch/L. Gerstner/L. Ellison/B.
Gates/S. Jobs/S. McNealy/T. Turner/R. Murdoch/W.
Wriston A. Carnegie/J.P. Morgan/H. Ford/S.
Honda/J.D. Rockefeller/T.A. Edison
Rummy/Norm/Henry/Wolfie Elizabeth Cady
Stanton/Susan B. Anthony/Martha Cary
Thomas/Carrie Chapman Catt/Alice Paul/Anna
Elizabeth Dickinson/Arabella Babb
Mansfield/Margaret Sanger
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intrepid, unprincipled, reckless, predatory,
with boundless ambition, civilized in externals
but a savage at heart.
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Herman Melville on JPJ intrepid, unprincipled,
reckless, predatory, with boundless ambition,
civilized in externals but a savage at heart.
from Evan Thomas, John Paul Jones Sailor, Hero,
Father of the American Navy
119
In Italy for 30 years under the Borgias they had
warfare, terror, murder, bloodshedand produced
Michelangelo, da Vinci and the Renaissance. In
Switzerland they had brotherly love, 500 years of
democracy and peace, and what did they
producethe cuckoo clock.Orson Welles, as
Harry Lime, in The Third Man
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33. Leaders Know ENTHUSIASM BEGETS ENTHUSIASM!
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BZ I am a Dispenser of Enthusiasm!
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You cant behave in a calm, rational manner.
Youve got to be out there on the lunatic
fringe. Jack Welch
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34. Leaders Are in a Hurry
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The Urgency Factor LEADERS have a distorted
sense of time. (E.g. Rummy thinks he asked
months ago it was the day before yesterday.)
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35. Leaders Focus on the SOFT STUFF!
126
Soft Is Hard- ISOE
127
Message Leadership is all about love! Passion,
Enthusiasms, Appetite for Life, Engagement,
Commitment, Great Causes Determination to Make
a Damn Difference, Shared Adventures, Bizarre
Failures, Growth, Insatiable Appetite for
Change. Otherwise, why bother? Just read
Dilbert. TPs final words CYNICISM SUCKS.
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The Job of Leading.
129
36. Leaders Know Its ALL SALES ALL THE TIME.
130
TP If you dont LOVE SALES find another life.
(Dont pretend youre a leader.) (See TPs
The Project50.)
131
37. Leaders LOVE POLITICS.
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TP If you dont LOVE POLITICS find another
life. (Dont pretend youre a leader.)
133
38. But Leaders Also Break a Lot of China
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If youre not pissing people off, youre not
making a difference!
135
39. Leaders Give RESPECT!
136

• It was much later that I realized Dads secret.
  He gained respect by giving it. He talked and
  listened to the fourth-grade kids in Spring
  Valley who shined shoes the same way he talked
  and listened to a bishop or a college president.
  He was seriously interested in who you were and
  what you had to say.
• Sara Lawrence-Lightfoot, Respect

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Ph.D. in leadership. Short course Make a short
list of all things done to you that you abhorred.
Dont do them to others. Ever. Make another list
of things done to you that you loved. Do them to
others. Always. Dee Hock
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40. Leaders Say Thank You.
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The two most powerful things in existence a
kind word and a thoughtful gesture.Ken
Langone, CEO, Invemed Associates from Ronna
Lichtenberg, Its Not Business, Its Personal
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We look for ...... listening, caring,
smiling, saying Thank you, being warm.
Colleen Barrett, President, Southwest Airlines
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41. Leaders Are Curious.
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The Three Most Important Letters WHY?
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42. Leadership Is a Performance.
144
It is necessary for the President to be the
nations No. 1 actor.FDR
145
You cant lead a cavalry charge if you think you
look funny on a horse. John Peers, President,
Logical Machine Corporation
146
43. Leaders Are The Brand
147
You must be the change you wish to see in the
world.Gandhi
148
44. Leaders Have a GREAT STORY!
149
A key perhaps the key to leadership is
the effective communication of a story.Howard
Gardner Leading Minds An Anatomy of Leadership
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Introspection.
151
45. Leaders Enjoy Leading.
152
Warren, I know you want to be president. But
do you want to do president?
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46. Leaders KNOW THEMSELVES.
154
Individuals (would-be leaders) cannot engage in a
liberating mutual discovery process unless they
are comfortable with their own skin. (Leaders
who are not comfortable with themselves become
petty control freaks.)
155
47. But Leaders have MENTORS.
156
The Gospel According to TP Upon having the
Leadership Mantle placed upon thine head, thou
shalt never hear the unvarnished truth again!
(Therefore, thy needs one faithful compatriot to
lay it on with no jelly.)
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48. Leaders Take Breaks.
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Zombie!Zombie!Zombie!Zombie!
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The End Game.
160
49. Leaders ???
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Leadership is the PROCESS of ENGAGING PEOPLE in
CREATING a LEGACY of EXCELLENCE.
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Hire smart go bonkers have grace make
mistakes love technology start all over
again.
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LEADERS NEED TO BE THE ROCK OF GIBRALTAR ON
ROLLER BLADES
164
50. Leaders Know WHEN TO LEAVE!
165
T. J. Peters 1942 2--- HE WOULDA DONE
SOME REALLY COOL STUFF BUT HIS BOSS
WOULDNT LET HIM!
166
T. J. Peters 1942 2--- HE WAS A PLAYER!
167
If you ask me what I have come to do in this
world, I who am an artist, I will reply I am
here to live my life out loud. Émile Zola