The Challenge: To Create More Value in All Negotiations

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Tom Peters Excellence. Always. Shanghai/
25-27 April 2009
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NOTE To appreciate this presentation and
ensure that it is not a mess, you need Microsoft
fonts Showcard Gothic, Ravie, Chiller
and Verdana
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HISTORY/BIASES
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HISTORY/BIASESENGINEER (CIVIL)1986/SCHOLAR
EXCHANGE PROGRAM CALIFORNIA 35/CALIFORNIAN/
SILICON VALLEY/ENTREPRENEURSHIPBRIC!/BUSINES
SMANLUCKY/IN GENERAL/64 COUNTRIESNOTHING NEW
UNDER THE SUN/ PEOPLE. PEOPLE. PEOPLE.
ACTION gt TALK, EXECUTION gt PLANS
EXCELLENCE (WHAT ELSE?) HARD IS SOFT. SOFT
IS HARD.DONT RUSH (WELL DO WHAT WE DO.
WE WONT DO WHAT WE DONT DO.)
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AGENDAPart ONE EXCELLENCE. ALWAYS./25.04Part
TWO INNOVATION IMPERATIVE,
the NEXT STEP/26.04Part THREE
PEOPLE-PEOPLE-PEOPLE.
PERIOD./26-7.04Part FOUR LEADERSHIP for
EXCELLENCE
INNOVATION/27.04
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AGENDAPart ONE EXCELLENCE.ALWAYS./25.04Part
TWO INNOVATION IMPERATIVE,
the NEXT STEP/26.04Part THREE
PEOPLE-PEOPLE-PEOPLE.
PERIOD./26-7.04Part FOUR LEADERSHIP for
EXCELLENCE
INNOVATION/27.04
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Part ONE
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The doctor interrupts after Source Jerome
Groopman, How Doctors Think
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18
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Conrad Hilton, at a gala celebrating his career,
was asked, What was the most important lesson
youve learned in your long and distinguished
career? His immediate answer
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remember to tuck the shower curtain inside the
bathtub
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Execution is strategy. Fred Malek
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Listening is of the utmost strategic
importance!Listening is trainable !(
Strategic listening will be a core course in
TPs MBA/GTD curriculum!)
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The Heart of Business Strategy 48 Things
That Matter See Appendix ONE
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Thank you. Minimum several times a day.
Measure it. Thank you to everyone even
peripherally involved in some
activityespecially those deep in the
hierarchy. Smile. Work on it. Apologize. Even if
they are mostly to blame. Jump all over
those who play the blame game. Hire
enthusiasm. Low enthusiasm. No hire. Any
job. Hire optimists. Everywhere. (Positive
outlook on life, not mindless optimism.) Hiring
Would you like to go to lunch with him-her.
100 of jobs.
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Nothing is so contagious as enthusiasm.
Samuel Taylor Coleridge
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I am a dispenser of enthusiasm. Ben Zander
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Mapping your competitive position or
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The Have you 50See Appendix TWO
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1. Have you in the last 10 days
visited a customer?2. Have you called a
customer TODAY?
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In Search of
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In Search of Excellence
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Excellence can be obtained if you ... care
more than others think is wise ... risk more
than others think is safe ... dream more than
others think is practical ... expect
more than others think is
possible. Source Anon. (Posted _at_ tompeters.com
by K.Sriram, November 27, 2006 117 AM)
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If not Excellence, What? If Not Excellence
Now, When? Excellence. Always. Period.
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EXCELLENCE PurityTranscendenceVirtueElegance
MajestyOR Mediocrity
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Insanely Great
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Radically thrilling BMW
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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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You do not merely want to be the best of the
best. You want to be considered the only ones who
do what you do. Jerry Garcia
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Do one thing every day that scares you.
Eleanor Roosevelt
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Tom Peters Excellence. Always. Shanghai/
25 April 2009
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Tom Peters Excellence. now. More than
ever. Shanghai/25 April 2009
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Slides at tompeters.com
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1977Palo Alto
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MBWA
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1982
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Excellence1982 The Bedrock Eight
Basics 1. A Bias for Action 2. Close to the
Customer 3. Autonomy and Entrepreneurship 4.
Productivity Through People 5. Hands On,
Value-Driven 6. Stick to the Knitting 7. Simple
Form, Lean Staff 8. Simultaneous Loose-Tight
Properties
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Breakthrough 82 People! Customers! Action!
Values! In Search of Excellence
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Hard Is SoftSoft Is Hard
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Hard Is Soft (Plans, s)Soft Is Hard (people,
customers, values, relationships))
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ExIn 1982-2002/Forbes.comDJIA 10,000 yields
85,000 EI 10,000 yields 140,050
Forbes/Excellence Index /Basket of 32
publicly traded stocks
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Importance of Success Factors by Various
Gurus/(Unreliable) Estimates by Tom Peters
Strategy Systems People
Passion Porter 50 20
20 10 Drucker 25 35
25 15
Bennis 25 20 30
25 Peters 15
20 35 30
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2007Siberia
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Why in the World did you go to Siberia?
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Enterprise (at its best) An emotional,
vital, innovative, joyful, creative,
entrepreneurial endeavor that elicits maximum
concerted human
potential in the wholehearted service of
others.Employees, Customers, Suppliers,
Communities, Owners, Temporary partners
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Business Excellence The Ultimate Creative
Endeavor.
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Business Excellence The Ultimate Personal
Development-Growth Experience.
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Business Excellence The Ultimate Transcendent
Service Opportunity.
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To me business isnt about wearing suits or
pleasing stockholders. Its about being true to
yourself, your ideas and focusing on the
essentials. Richard Branson
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2007Sydney
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Organizations exist to serve. Period. Leaders
live to serve. Period.
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no less than Cathedrals in which the full and
awesome power of the Imagination and Spirit and
native Entrepreneurial flair of diverse
individuals is unleashed in passionate pursuit of
Excellence.
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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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Leaders Mt Everest Testfree to do his or
her absolute best allow its members to
discover their greatness.
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Cause (worthy of commitment)Space (room
for/encouragement
for initiative) Decency (respect,
humane)
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Cause (worthy of commitment)Space (room
for/encouragement
for initiative-adventures) Decency
(respect, grace,
integrity, humane)
service (worthy of our clients extended

familys continuing custom)excellence (period)
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Cause (worthy of commitment)Space (room
for/encouragement for initiative-adventures)
Decency (respect, grace, integrity, humane)
service (worthy of our clients extended

familys continuing custom)excellence (period)
servant leadership
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Cause Space Decency serviceexcellence
servant leadership
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2009Shanghai
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2009Shanghai(Amsterdam)(Helsinki)(Tallinn)(V
ilnius)(San Antonio)(Bogota)(Abu Dhabi)
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You have to treat your employees like
customers. Herb Kelleher, complete answer, upon
being asked his secrets to success Source
Joe Nocera, NYT, Parting Words of an Airline
Pioneer, on the occasion of Herb Kellehers
retirement after 37 years at Southwest Airlines
(SWAs pilots union took out a full-page ad in
USA Today thanking HK for all he had done across
the way in Dallas American Airlines pilots were
picketing the Annual Meeting)
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The Customer Comes Second Hal Rosenbluth and
Diane McFerrin Peters (no relation)
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We are a Life Success Company.Dave Liniger,
founder, RE/MAX
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Managing winds up being the management of the
allocation of resources against tasks. Leadership
focuses on people. My definition of a leader is
someone who helps people succeed. Carol Bartz,
Yahoo!
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The Dream Manager Matthew KellyAn
organization can only become the-best-version-of-i
tself to the extent that the people who drive
that organization are striving to become
better-versions-of-themselves. A companys
purpose is to become the-best-version-of-itself.
The question is What is an employees purpose?
Most would say, to help the company achieve its
purposebut they would be wrong. That is
certainly part of the employees role, but an
employees primary purpose is to become
the-best-version-of-himself or herself. When a
company forgets that it exists to serve
customers, it quickly goes out of business. Our
employees are our first customers, and our most
important customers.
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I have always believed that the purpose of the
corporation is to be a blessing to the
employees. Boyd Clarke
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The role of the Director is to create a space
where the actors and actresses can become more
than theyve ever been before, more than theyve
dreamed of being. Robert Altman, Oscar
acceptance speech
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No matter what the situation, the great
managers first response is always to think
about the individual concerned and how things can
be arranged to help that individual experience
success. Marcus Buckingham, The One Thing You
Need to Know
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Business has to give people enriching, rewarding
lives, or it's simply not worth doing. Richard
Branson
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Leaders SERVE people. Period. inspired by
Robert Greenleaf
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Good News 2009 Leadership is a sacred
trust.President, classroom teacher, CEO, shop
foreman
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• 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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The four most important words in any
organization are
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The four most important words in any
organization are What do you think?
Source courtesy Dave Wheeler, posted at
tompeters.com
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Diverse groups of problem solversgroups of
people with diverse toolsconsistently
outperformed groups of the best and the
brightest. If I formed two groups, one random
(and therefore diverse) and one consisting of the
best individual performers, the first group
almost always did better. Diversity trumped
ability. Scott Page, The Difference How the
Power of Diversity Creates Better Groups, Firms,
Schools, and Societies Diversity
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2009Annus HorribilisElizabeth II/1985
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1 Resource for Troubled Times Committed. Engag
ed. Growing. Respected. Trusted. Informed. People.

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Forty-four Secrets and clever Strategies For
dealing with the Recession of 2008-XXXX
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I am constantly asked for strategies/
'secrets' for surviving the recession. I try to
appear wise and informedand parade original,
sophisticated thoughts. But if you want to know
whats really going through my head, see the list
that follows.
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You come
earlier. You leave later. You work harder. You
may well work for less and, if so, you adapt
to the untoward circumstances with a
smileeven if it kills you inside. You volunteer
to do more. You dig deep and always bring a good
attitude to work. You fake it if your good
attitude flags. You literally practice your "game
face" in the mirror in the morning, and in the
loo mid-morning. You give new meaning to the
idea and intensive practice of visible
management.
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You take better
than usual care of yourself and encourage
others to do the samephysical well-being
determines mental well-being and response to
stress. You shrug off shit that flows downhill in
your directionbuy a shovel or a pre-worn
raincoat on eBay. You try to forget about the
good old days nostalgia is self-destructive. Y
ou buck yourself up with the thought that
this too shall passbut then remind yourself
that it might not pass any time soon, and so
you re-dedicate yourself to making the
absolute best of what you have now.
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You work the
phones and then work the phones some moreand
stay in touch with positively everyone. You
frequently invent breaks from routine,
including weird oneschangeups prevent
wallowing and bring a fresh perspective. You
eschew all forms of personal excess. You
simplify. You sweat the details as never
before. You sweat the details as never
before. You sweat the details as never
before. You raise to the sky and maintain at all
costs the Standards of Excellence by which you
unfailingly evaluate your own performance. You
are maniacal when it comes to responding to
even the slightest screw-up.
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You find ways to
be around young people and to keep young
people aroundthey are less likely to be
members of the sky is falling school. You
learn new tricks of your trade. You remind
yourself that this is not just something to be
gotten throughit is the Final Exam of
character. You network like a demon. You network
inside the companyget to know more of the
folks who do the real work. You network outside
the companyget to know more of the folks who
do the real work in vendor-customer outfits.
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You thank others
by the truckload if good things happenand take
the heat yourself if bad things happen. You
behave kindly, but you don't sugarcoat or hide
the truth--humans are startlingly resilient
and rumors are the real killers. You treat small
successes as if they were Superbowl
victoriesand celebrate and commend
accordingly. You shrug off the losses (ignoring
what's going on in your tummy), and get back on
the horse and immediately try again. You avoid
negative people to the extent you canpollution
kills. You eventually read the gloom-sprayers
the riot act. 
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44 Secrets and Clever Strategies For Dealing
with the Recession of 2008-XXXX You give new
meaning to the word "thoughtful. You dont put
limits on the flowers budget bright and
colorful works marvels. You redouble, re-triple
your efforts to "walk in your customer's
shoes." (Especially if the shoes smell.) You
mind your mannersand accept others lack of
manners in the face of their strains. You are
kind to all mankind. You keep your shoes
shined. You leave the blame game at the office
door. You call out the congenital politicians in
no uncertain terms. You become a paragon of
personal accountability. And then you pray.
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Excellence.
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The 19 Es ofExcellence
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If Not Excellence, What? If Not Excellence Now,
When? The 19 Es of Excellence Enthusiasm. (Be
an irresistible force of nature!) Energy. (Be
fire! Light fires!) Exuberance. (Vibratecause
earthquakes!) Execution. (Do it! Now! Get it
done! Barriers are baloney! Excuses are for
wimps!
Accountability is gospel! Adhere to the Bill
Parcells doctrine Blame
nobody! Expect nothing! Do
something!) Empowerment. (Respect and
appreciation! Always ask, What do you think?
Then
Listen! Liberate! Celebrate! 100 innovators or
bust!) Edginess. (Perpetually dancing at the
frontier, and a little or a lot beyond.) Enraged.
(Determined to challenge change the status
quo!) Engaged. (Addicted to MBWA/Managing By
Wandering Around. In touch. Always.) Electronic.
(Partners with the world 60/60/24/7 via
electronic community building
and entanglement of every sort.
Crowdsourcing/doing power!) Encompassing.
(Relentlessly pursue diverse opinionsthe more
diversity the merrier!
Diversity per se works!)
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If Not Excellence, What? If Not Excellence Now,
When? The 19 Es of Excellence Emotion. (The
alpha. The omega. The essence of leadership. The
essence of sales. The
essence of marketing. The essence. Period.
Acknowledge it.) Empathy. (Connect, connect,
connect with others reality and aspirations!
Walk in the other
persons shoesuntil the soles have
holes!) Experience. (Life is theater! Make
every activity-contact memorable! Standard
Insanely
Great/Steve Jobs Radically Thrilling/BMW.) Eli
minate. (Keep it simple!) Errorprone. (Ready!
Fire! Aim! Try a lot of stuff and make a lot of
booboos and then try
some more stuff and make some more
booboosall of it at the speed of
light!) Evenhanded.
(Straight as an arrow! Fair to a fault! Honest as
Abe!) Expectations. (Michelangelo The
greatest danger for most of us is not that our
aim is too
high and we miss it, but that it is too low and
we reach it. Amen!) Eudaimonia. (Pursue the
highest of human moral purposethe core of
Aristotles
philosophy. Be of service. Always.) Excellence.
(The only standard! Never an exception! Start
now! No excuses! If not
Excellence, what? If not Excellence now,
when?)
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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
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APPENDIX ONE The Heart of Business Strategy 48
Things That Matter
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We usually think of business strategy as some
sort of aspirational market positioning
statement. Doubtless thats part of it. But I
believe that the number one strategic strength
is excellence in execution and systemic
relationships (i.e., with everyone we come in
contact with). Hence I offer the following 48
pieces of advice in creating a winning strategy
that is inherently sustainable.
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Thank you. Minimum several times a day.
Measure it. Thank you to everyone even
peripherally involved in some
activityespecially those deep in the
hierarchy. Smile. Work on it. Apologize. Even if
they are mostly to blame. Jump all over
those who play the blame game. Hire
enthusiasm. Low enthusiasm. No hire. Any
job. Hire optimists. Everywhere. (Positive
outlook on life, not mindless optimism.) Hiring
Would you like to go to lunch with him-her.
100 of jobs.
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Hire for good manners. Do not reject trouble
makersthat is those who are uncomfortable
with the status quo. Expose all would-be hires to
something unexpected-weird. Observe their
reaction. Overwhelm response to even the
smallest screw-ups. Become a student of all
you will meet with. Big time. Hang out with
interesting new people. Measure it. Lunch
with folks in other functions. Measure
it. Listen. Hear. Become a serious student of
listening-hearing. Work on everyones listening
skills. Practice.
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Become a student of information extraction-
interviewing. Become a student of presentation
giving. Formal. Short and spontaneous. Incredib
le care in 1st line supervisor selection. Worlds
best training for 1st line supervisors. Construct
small leadership opportunities for junior
people within days of starting on the
job. Insane care in all promotion
decisions. Promote people people for all
managerial jobs. Finance-logistics-RD as
much as, say, sales. Hire-promote for
demonstrated curiosity. Check their past
commitment to continuous learning.
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Small d diversity. Rich mixes for any and
all teams. Hire women. Roughly 50 women on
exec team. Exec team looks like customer
population, actual and desired. Focus on
creating products for and selling to
women. Focus on creating products for and
selling to boomers-geezers. Work on first and
last impressions. Walls display tomorrows
aspirations, not yesterdays
accomplishments. Simplify systems. Constantly.
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Insist that almost all material be covered by a
1-page summary. Absolutely no longer. Practice
decency. Add We are thoughtful in all we do to
corporate values list. Number 1 force for
customer loyalty, employee satisfaction. Make
some form of employee growth (for all) a
formal part of values set. Above customer
satisfaction. Steal from RE/MAX We are a life
success company. Flowers. Celebrate small
wins. Often. Perhaps a small win of the day.
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Manage your calendar religiously Does it
accurately reflect your espoused priorities?
Use a calendar friend whos not very
friendly to help you with this. Review your
calendar Work assiduously and mercilessly on
your To donts.stuff that
distracts. Bosses, especially near the top
Formally cultivate one advisor whose role is
to tell you the truth. Commit to
Excellence. Talk up Excellence. Put Excellence
in all we do in the values set. Measure everyone
on demonstrated commitment to Excellence.
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APPENDIX TWOThe Have you 50
100
1. Have you in the last 10 days
visited a customer?2. Have you called a
customer TODAY?
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1. Have you in the last 10 days visited a
customer? 2. Have you called a customer
TODAY? 3. Have you in the last 60-90 days had
a seminar in which several folks from the
customers operation (different levels, different
functions, different divisions) interacted, via
facilitator, with various of your folks? 4. Have
you thanked a front-line employee for a small act
of helpfulness in the last three days? 5. Have
you thanked a front-line employee for a small act
of helpfulness in the last three hours? 6.
Have you thanked a frontline employee for
carrying around a great attitude today? 7. Have
you in the last week recognizedpubliclyone of
your folks for a small act of cross-functional
co-operation? 8. Have you in the last week
recognizedpubliclyone of their folks (another
function) for a small act of cross-functional
co-operation? 9. Have you invited in the last
month a leader of another function to your weekly
team priorities meeting? 10. Have you personally
in the last week-month called-visited an internal
or external customer to sort out, inquire, or
apologize for some little or big thing that went
awry? (No reason for doing so? If truein your
mindthen youre more out of touch than I dared
imagine.)
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11. Have you in the last two days had a chat with
someone (a couple of levels down?) about specific
deadlines concerning a projects next steps? 12.
Have you in the last two days had a chat with
someone (a couple of levels down?) about specific
deadlines concerning a projects next steps and
what specifically you can do to remove a hurdle?
(Ninety percent of what we call management
consists of making it difficult for people to get
things done.Peter His eminence Drucker.) 13.
Have you celebrated in the last week a small
(or large!) milestone reached? (I.e., are you a
milestone fanatic?) 14. Have you in the last week
or month revised some estimate in the wrong
direction and apologized for making a lousy
estimate? (Somehow you must publicly reward the
telling of difficult truths.) 15. Have you
installed in your tenure a very comprehensive
customer satisfaction scheme for all internal
customers? (With major consequences for hitting
or missing the mark.) 16. Have you in the last
six months had a week-long, visible, very
intensive visit-tour of external customers? 17.
Have you in the last 60 days called an abrupt
halt to a meeting and ordered everyone to get
out of the office, and into the field and in
the next eight hours, after asking those
involved, fixed (f-i-x-e-d!) a nagging small
problem through practical action? 18. Have you in
the last week had a rather thorough discussion of
a cool design thing someone has come
acrossaway from your industry or functionat a
Web site, in a product or its packaging? 19.
Have you in the last two weeks had an informal
meetingat least an hour longwith a frontline
employee to discuss things we do right, things we
do wrong, what it would take to meet your mid- to
long-term aspirations? 20. Have you had in the
last 60 days had a general meeting to discuss
things we do wrong that we can fix in the
next fourteen days?
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21. Have you had in the last year a one-day,
intense offsite with each (?) of your internal
customersfollowed by a big celebration of
things gone right? 22. Have you in the last
week pushed someone to do some family thing that
you fear might be overwhelmed by deadline
pressure? 23. Have you learned the names of the
children of everyone who reports to you? (If not,
you have six months to fix it.) 24. Have you
taken in the last month an interesting-weird
outsider to lunch? 25. Have you in the last month
invited an interesting-weird outsider to sit in
on an important meeting? 26. Have you in the last
three days discussed something interesting,
beyond your industry, that you ran across in a
meeting, reading, etc? 27. Have you in the last
24 hours injected into a meeting I ran across
this interesting idea in strange place? 28.
Have you in the last two weeks asked someone to
report on something, anything that constitutes an
act of brilliant service rendered in a trivial
situationrestaurant, car wash, etc? (And then
discussed the relevance to your work.) 29. Have
you in the last 30 days examined in detail (hour
by hour) your calendar to evaluate the degree
time actually spent mirrors your espoused
priorities? (And repeated this exercise with
everyone on team.) 30. Have you in the last two
months had a presentation to the group by a
weird outsider?
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31. Have you in the last two months had a
presentation to the group by a customer, internal
customer, vendor featuring working folks 3 or 4
levels down in the vendor organization? 32. Have
you in the last two months had a presentation to
the group of a cool, beyond-our-industry ideas by
two of your folks? 33. Have you at every meeting
today (and forever more) re-directed the
conversation to the practicalities of
implementation concerning some issue before the
group? 34. Have you at every meeting today (and
forever more) had an end-of-meeting discussion on
action items to be dealt with in the next 4, 48
hours? (And then made this list publicand
followed up in 48 hours.) And made sure everyone
has at least one such item.) 35. Have you had a
discussion in the last six months about what it
would take to get recognition in local-national
poll of best places to work? 36. Have you in
the last month approved a cool-different training
course for one of your folks? 37. Have you in
the last month taught a front-line training
course? 38. Have you in the last week discussed
the idea of Excellence? (What it means, how to
get there.) 39. Have you in the last week
discussed the idea of Wow? (What it means,
how to inject it into an ongoing routine
project.) 40. Have you in the last 45 days
assessed some major process in terms of the
details of the experience, as well as results,
it provides to its external or internal customers?
105
41. Have you in the last month had one of your
folks attend a meeting you were supposed to go to
which gives them unusual exposure to senior
folks? 42. Have you in the last 60 (30?) days sat
with a trusted friend or coach to discuss your
management styleand its long- and short-term
impact on the group? 43. Have you in the last
three days considered a professional relationship
that was a little rocky and made a call to the
person involved to discuss issues and smooth the
waters? (Taking the blame, fully deserved or
not, for letting the thing-issue fester.) 44.
Have you in the last two hours stopped by
someones (two-levels down") office-workspace
for 5 minutes to ask What do you think? about
an issue that arose at a more or less just
completed meeting? (And then stuck around for 10
or so minutes to listenand visibly taken
notes.) 45. Have you in the last day looked
around you to assess whether the diversity pretty
accurately maps the diversity of the market being
served? (And ) 46. Have you in the last day at
some meeting gone out of your way to make sure
that a normally reticent person was engaged in a
conversationand then thanked him or her, perhaps
privately, for their contribution? 47. Have you
during your tenure instituted very public
(visible) presentations of performance? 48. Have
you in the last four months had a session
specifically aimed at checking on the corporate
culture and the degree we are true to itwith
all presentations by relatively junior folks,
including front-line folks? (And with a
determined effort to keep the conversation
restricted to real world small casesnot
theory.) 49. Have you in the last six months
talked about the Internal Brand Promise? 50. Have
you in the last year had a full-day off site to
talk about individual (and group) aspirations?