Coming this morning when you're proud for
us we had one hundred

on my calendar growth particularly

appreciate everybody
coming out of your life

without the present.

Was a nice

life the idea

of the size of our

party.

Without Thank you Neal.

Apparently I'm a little
yellow today it appears that

something in the cabling has gone
somewhat at the last minute here so

I think we'll be OK through most of it but
there's a connector here is was.

Well I've tried to jiggle factor.

You know that's the technical term for
that I guess and and

it doesn't appear to be getting there but
we're

set said Malmo stop that
already at we I demand

about that everyone about that the
Georgia Tech thing their football team.

Right.
They have a football.

I got understand all of this stuff.

OK here's the deal what we do is
we help companies business leaders

find it fast track innovations that
win more lose less to make more money.

Anybody interested.

OK so you're at the right place.

The goal of this.

I've been doing this for a lot of years
site as he mentioned I better not but

I since age twelve went to
the University of Maine got a degree

in chemical engineering.

Then I went into Procter and Gamble I
took this Satanic I mean their logo.

I added shades and a mohawk for
some reason they didn't see the humor in

this except the legal department
said please cease and desist but

can you send us one size larger
one extra large T. shirt.

I said a record putting products and
services on the market in marketing

my dad hopes I go back to get an honest
job back on the in the engineering side.

But what I'm most proud of is I was
called a high maintenance subordinate.

Which is something to be very come out
of when you're in the blue blooded halls

of Procter and Gamble.

I started my company I was very fortunate.

It's very hard to start companies today in
particular it's very hard to get financing

it's very difficult.

I was very lucky.

I was able to get support from
three major financial institutions

were willing to give me
credit really hard to do.

Visa Master Card or another visa card.

Well we said through his question you
need to get the terms differently so

you could use wonder if you know
what I'm talking about right.

That's the way I financed the company and

my wife my high school sweet hack
work double shifts at the hospital.

So it's kind of a simple system.

We did this and
we've been very blessed and

with that comes
a responsibility to give back.

I was born in Maine and up in Maine
retired out of the country they said that

when you do good got to get back out.

Help us do that a number
of different ways.

Ten years ago I went to the North Pole
recreating had my parents

last asked to the pole raised
a million dollars for charity focused

on helping parents inspire their children
to be a book about it next year and

a whole program we're going to do.

I'm doing the winning ways program what
I'm playing corporate Robinhood take

in the wealth of wisdom I've gotten from
the corporate people who have been very

blessed to work with many years and turned
around and bring it out to the masses.

And we through the M.E.P.

network of folks like here at Georgia Tech
are able to do that at a cost in price.

That's like a penny on the dollar compared
to what the corporate people pay.

Tied to I don't want to miss what
the people pay me because it seems wrong.

But let me tell you it's a great
country we live in saying it's cool.

I the my thing.

I am most proud of in my life
my wife inspired which was with

the College of piping Celtic
performing arts of Canada.

My mother was from Canada.

And in Prince Edward Island Canada this
little colleague started cited by a fellow

by the name of Scott Macaulay.

Which teaches Ireland use how to
play the bagpipes in the drums.

Where people Scottish and
have ancestry and

proportionately imprints around it
anywhere else outside of Scotland and

Ireland and so my wife and
I started a scholarship fund or

any island child age eighteen thousand
can take bagpipe lessons at no cost.

We have funded some
thirty thousand lessons.

Now.

To be clear bagpipes some think this
is an evil thing that we're doing.

But this from his kids and fisherman's
kids these people had no money.

The poorest province in Canada went to the
North American Championship and compete

against adults because the right used to
have competed against adults and they won.

They took thirty years in the world
championship in Scotland and

as they said will be back.

And so it is a great blessing to be able
to do these things and so I thank you for

taking the time to listen to me here today
the rantings of a maniac because I am

traveling the country doing this and the
urgency of what we need to do is so big.

The challenges that you face are huge and

I truly feel like we are back at the time
of one thousand nine hundred eighty one.

It's happening all over again.

One thousand nine hundred eighty one.

But was it.

Recession Japan.

The whole moment.

Japanese are buying things and
now it's not Japan China.

We won before who won again.

But we can change what we did back then.

Deming read a revolution.

The M.E.P.
network not dukkha but the M.E.P.

network is about to lead
that revolution again.

And I'm going to go at this it's going
to be like drinking through a fire hose.

There's no need for
you to take any notes on what I'm saying.

Because a fax can get you all
aside without the yellow cask you

can get all of what I'd like you to do
however is when you see something or

hear something that connects it connects
the dots that can help you in your

business put that down because that's
your return on investment from the stock.

Don't worry about the stuff that's open.

We'll give it to you take those
notes three quick questions.

Number one have your profit margins grown
in the last five or ten years profit

margins your profit margins grown
in the last five or ten years.

If they haven't which is rare to find.

That it's time.

If you to fire some customers.

Sign for your fire suppression
some of these customers got to go.

Or it's like the guy up in Wisconsin told
me he says dead no you don't fire them.

Here's what I did I got kind of fed up for
making harder for less money.

I was getting squeezed on both ends.

So what I did is I took an effort to go
get some new customers at the same time

I just raise my prices.

He said Those people have at least
money on him for six to eight months.

Just a few folks if you're not
making a higher profit margin than

you were that means you're working harder
for less and that's wrong it's wrong.

Number two if you lost your job.

What customer could you survive if not

you need to diversify the portfolio
because you don't have a job.

You were captive you
are a prisoner right now.

It's wrong and number three.

Are you having fun.

Are you having fun if not it's
wrong to take action now.

Life is too short.

My very dear friend Scott Macaulay
who led the college of piping

twenty years ago started it at age fifty
one two days ago passed away of cancer.

I tell you this because
it's on my mind but

also because all of us
know life is too short.

It's time to do it now.

I'm also going to fulfill a promise
that I made in the state of

Michigan in Detroit to an old gentleman.

Just seventy's she was sitting there
like I was doing this morning and

I do the saffron I was meeting one on one
with companies in the gentleman was there

in his team was there they
were talking about things and

I'm talking about the need to get
back to the Strat when it was.

When you were spun in the beginning when
you started to get Dad started to your

grandad and to get that spirit back that
we've lost get that entrepreneurial spirit

back and
as I'm talking the gentleman started to

he said to the team he said
let's remember these kids

were running the company now they were all
over one side he was over to the left.

He started to cry.

Afterwards that gentleman came up to
me and he said Doug I apologize for

crying I'm old I'm in my seventy's now
when it happens you know I said no

that's OK sir I respect what you've
done is great is not I want you to know

it's important for you to know why I
cry and if you could as you travel

around would you please tell that
to other manufacturing people.

He said the reason I cried is because you
talked about getting back to the stock

and to doing it.

It took me back to the beginning of the
company when I was there with my brother

my brother's not with us
now it's not with us.

But at the beginning it was so
much fun we could hardly sleep.

It was so much fun we could
hardly sleep and he says.

Doug the last twenty years I've been
funny and he says it's time for

us to change and he says I'm old but
it's time for us to change.

We deserve to have fun doing this
stuff that's what it's about folks I

bring you good news.

The good news is that against this
strike remember what we're looking at.

Profit growth is not random.

It is not random.

There are group producible lessons and
laws that we apply can increase

your odds I cannot wave a magic wand to
make it work but I can get you to play

the odds and give you strategies
that have the potential to win.

And set a loose.

Right.

Profitability.

You know so I'm not talking cost I'm
not talking about I'm talking per.

OFFIT margin.

Why the fact is that when a company
goes out of business only one in seven

leave debt.

Only one in seven.

Only rich stupid people go
bankrupt with a lot of debt.

Pretty good.

We're conservative we manage
our money we don't go

out your way eighty percent of
the time the reason a company

stops is because the owner decides
it's just not worth the effort.

I met with some folks this morning and I
said a couple times I said you don't have

a business you have a job a business means
you make more than just a good wage.

You taken the risk you take in the effort.

You deserve more.

You deserve more.

The principles and
the systems that we're outlining here

are based on the total quality management
principles of Dr W. Edwards Deming.

Is Deming top US ninety four percent of
failures to do the System six percent to

do the work or.

It is the system that is broken.

Not the people working how
they will not resolve it.

It is we must change the system by
which we go about improving our

profit margin by dad worker Deming
at national corporation southern

New Hampshire where Deming
first came back from Japan.

N.B.C. did the story of
Japan can why can't we.

And it set off the movement known as
quality Six Sigma lean whichever riot or

flavor you want.

It's about systemically strategically
looking at the whole and management take

responsibility for the future of the
organization that's why it's about my dad

tells a story the time the big three
automakers came in Nashua New Hampshire

met in the boardroom with the doctor
he saw Dr Deming on the way out.

He said.
So when you think.

Over twenty five years ago.

Deming shook his head and

said they don't get it they
think it's about manufacturing.

They think it's about people
in the factory and it's not as

Deming went on to say the factory opposit
only three percent of the opportunity for

company improvement the paper says
the six sigma lean is about that May.

Ajman and stemming off right ninety four
percent of the problems management six

percent of the work we need willing
workers which means we need to

give them the systems and
the methods and the methodology and

that's what we're here to do
is to give you a framework.

I can't fix your company.

Only you can do it but what I can do
is I give you systems and methods and

principles that can increase your
odds of success to make that happen.

It's gravity data.

Factual data supports all of
the dimensions that we're talking about

how data process complexity what we do
projects a tool you really want to waste

project where you we do contract
charting of the session

by control shop brainstorming we can
control chart any way we measure monitor.

And we talk about this
forecast to profit growth

we talk about current customers
current capabilities.

Where we have to discover new ideas and
systems that improve profit margin.

And this is where we tend to put a lot of
energy and products good and it helps.

You can really make transformational
changes to get those we need to push out.

We need to take our current capabilities
and adapt the product in the promise.

Adapt.

It's not a matter of taking the existing
product and just trying to sell it to

someone else the way it is if that would
happen they would be buying it already.

We usually have to adapt the product and
adapt

the promise we're making the message the
sales message where we want to call it up.

To that customer.

We have to adapt we have
to change something.

And we want to do it in a way
that we make more money.

At the same time we go out here
to new products and services.

With current customers but

it's not enough to be reactive we cannot
ask customers what they want to do it.

That's not going to do it for

filling what they do is reactive it
doesn't work we need to be proactive.

We need to pray.

Actively bring them things in
these two cases we need to answer

one of two questions in the first case
we have to say what is it that we do

who pay the most money for
what makes us unique.

And the bottom case what's
the biggest problem that customer has

that they're willing to
pay the most money for.

The last area is to diversify the profit
for for we do new products or

new customers and
we don't want you to do this.

We don't want you to do it because in most
cases the risk factor is too great and

the energy required to do it is too great.

We have a fixed amount of energy
right we see Obama candy factory

as the candy keeps coming by.

You can't be doing everything we need to
have something constant Be it the current

capabilities so
working off I base my current customers.

Now depending upon your organization.

One of the arms too will
feel more comfortable.

The fact is that there's no difference in
the ability of both of them to make you

more money and if you do it right.

Both of them and make you more money.

It's a matter of where
your comfort zone is.

I'm going to talk a little bit more
about the top right because we

actually have a solution.

Coming next year that's going to help
you tap into that in a less risky way.

Now we measured the group.

We have a sample of people from the group
to see where the team is because

I said we want to hear about this.

I got to know what about my audiences.

So we measure the team against
webcast the room here.

So this is the state of manufacturing
in this great state of Georgia.

What do we know we saw omega three
groups concerned running and good.

Got hundreds of thousands
of the database and

in fact one of the things
a team can do is at no cost.

They can set up
an assessment of your team.

We can have your folks just fill
it out online take five minutes we

can tell you where your team sits and
with that knowledge we can then design and

guide take that agreement with
the need accelerated of nations so.

Minus nine in the warning zone
urgency to take action isn't great.

So we're feeling OK yes success
within a day I know that won't hurt.

But maybe we don't live an exit door
because we don't want to do something

that's not going to mark
be a human condition but

make sense courage to take act discuss and
sound right.

Courage to take action
courage to take action.

And eight the way it was at the start of
your company I can tell you that there

were met way when the founder said I got
an idea that one away it was that's wrong.

Folks.

That's wrong.

Balance thinking style you're
more balanced which is different.

Different than what I've spoken to
many other groups I was up in was

up in the Midwest up in Kansas said they
were totally left brain logical rational.

The good thing is I couldn't
hurt their feelings.

Because they had no feelings.

So I have to be more sensitive

here today create a medium
a short leash you're

not wasting your money you don't have to
pay it out because there isn't any of it.

Relative to what is world class
optimistic towards taking action.

Now let's talk about execution.

Because well done is better than what
I said is Franklin said it's not about

finding the ideas ideas are easy it's
about making them happen which is why when

he weighs the primary over half my time
is focused on getting her dad doing it.

The trouble is a process where is

a team here sufficient
resources to get the job done.

People cooperate.

This isn't right folks
got to get together.

You have to get my
method to come together.

I remember you like each other.

Usually this doesn't grow
up until about November.

We measure teams respect for

senior leaders has a cyclical thing
as it expands to the end of year and

bonuses it's amazing how these
numbers come up in November December.

Talents used Ralph quality of work done
by the group a great place to work

folks it's time to stop the madness.

It's time to stop the madness.

The challenge China.

It's simple.

They have a strategy focus on innovation.

We're going to reduce dependence on
foreign technology that I do this by

graduating more engineers and
investing in small to mid-size companies.

That's the key and the reason to do this
because when it comes to the i Pod They

only get three percent of the net
revenue the rest of it goes to the IT

actual property owners in Japan.

That's where the money is.

Now as I talk about this and
you may turn around and say Doug Yeah but

I'm not really directly affected
by this but let me tell you this.

Well economy it's here it's here and
it's great and

we need to leverage it we need
to buy off inside the fence.

We take advantage of it.

Got knock at SA comes to me after one
of these programs and I'm talking

to my sister how can I help he says I just
lost half my business to a company from

Pakistan and see what do you make he says
I make less for firefighters firefighters.

Yeah I mean I know city
budgets are tight but.

You know red blooded American
company Arkansas buying my grants

to set up just doesn't seem right.

I said how much cheaper were they.

He says.

Doug That's the worst part.

He says the cost of production
is less that would be clear but

they're selling them for
more money they got a better glove.

It's more flexible.

If I was a firefighter I'd want to use the
Pakistani gloves to focus these countries.

I'm not just going to stay where they
are maybe Japan when I was born was a job.

And they get smart real quick.

You watch the Olympics.

You see any buildings bill
like Third Wave cities.

They've been Chicago all
they've got the next one.

Twenty five million college students get
hot high definition video wirelessly

to devices individual devices that each
one of them is giving with classes.

The investment going on in school such as
this makes what we did with the G.I. Bill.

Look like peanuts.

They get.

They get it now we've got it.

But we've got to stand up and
play off and not defense make it happen.

The question is are you ready.

Are you ready to lead your company
towards increased profits because

that's what we're going to do.

I'm going to give you ten questions
I'd like to get a piece of paper and

a pencil out now and
there will be no public flogging.

There will be no public embarrassment
of any sort and were we not asked

to raise your hands to admit where
you are already sort this evaluation

that you're going to do is your valuation
of your organization and where it stands.

So much for human for you.

Only I'm going to ask
you ten questions for

you to rate your sales and then I've
been doing this all over the country.

So I have national day that so

that you can see where you
Organization stacks up first others.

On your ready mass to grow your process.

OK first question.

How good are you at finding
in fast tracking ideas for

significant increases in profitability
finding in fast tracking.

Zero not great ten well plus or

somewhere in between your organization
if you work for a nonprofit consider too

because you've got to balance
a budget like everybody else does.

How good are you it finding
in fast tracking ideas for

significant increases in profitability.

Not great.

Classes somewhere between
just put out a number.

Here's the deal folks.

I talk to for people with a Tommy
cheese I'm Mike it's tough.

Now we're getting hit all
the folks up at Bain consulting

up in Boston have done a bunch of data
on this and they tracked industries.

And what they find is as the what they
call the experience doubles prices go down

so experience would be
the Number Six take time to say

we sell a million pounds of something when
we start two million pounds prices go down

another would you prefer to
supply goes up price goes down.

Common Economic thing.

What they're finding is is as
the table about of experience goes

on in an industry prices go down.

We have heard of Moore's Law
our doubling of chips.

Well here's what happens in industry
after industry after industry.

Prices go down.

Established Products to establish
customers the prices will go down

that is called life.

Don't write about it.

Don't be surprised by it.

Don't consider yourself a victim of it.

It's like gravity.

It just happens.

So all we can react to it and
say I can't believe that's happening.

But we can proactively take
advantage of this phenomena and

keep moving ourselves with
innovation to move ourselves ahead.

You know what promise you have to do
today versus yesterday some believable.

You are not a victim.

This is the world economy and it's been
this way for hundreds of years and

will be this way for
hundreds of more years.

I Basic my interest simple
if you're not unique.

You better be cheap.

If you're not unique.

You better be cheap and quite frankly
if you're not meaningfully unique.

You better be cheap.

It's that simple.

And that is the complete
program right there.

If you're not meaningfully
unique you better be cheap.

So you know I was talking
about the customers.

So if a going to go take I
capabilities what you need

capability that we could
take to new customers.

When we take in the customer.

What is unique about our customer's
problems that we could bring them a new

program to.

We've got to do something that no
one else can do to make this work.

The M.E.P. network with
the Georgia Tech folks are proud of

is that it was largest system dedicated to
helping small a mid-sized manufacturing

companies in the world in the world
the next biggest would be over in England.

Which one that was built very
similar to off of the M.E.P.

model that was built there.

This system is dedicated to helping
small and midsize companies for

profit margins to do with lean reducing
costs are increased profits and

we do is unique in many ways to
improve meaningful uniqueness.

To increase price driven profit so we can
move that top line number so we get it.

I can move the bottom line down to the top
line up either way I get more money and

that's what I'm after.

Now we do this we're talking about
choices because we want to give you

choices because the more choices you
have the smarter decisions you make

you wouldn't take all your money in
your family can put it in one stock and

hope a miracle occurred at the ridiculous.

Well hoping all your growth is
going to happen from one thing

is just as ridiculous.

And there's a balance here.

Because we have so much energy.

So we need to focus by the same
time as a focus we need to have

another one coming behind it.

So if this one doesn't work out.

We've got another entrepreneurs
call it the back door.

It's not to put if I try something and
it doesn't work.

I've got a back to if that doesn't work.

I've got a plan B.
We need to be thinking of those things.

Those companies would make choice for
grass grow faster.

And frankly if you've got choices.

It also means you have freedom.

Freedom from being able to say no.

When a customer asked for a deal.

It's inappropriate you
can say no if you kid.

You do not have freedom.

And that's wrong.

That's wrong number two I get are you
developing new customers or markets.

My first box that I want you go to.

See if I get a new customer I
can say no I'm profitable one.

But if I can't get a new customer then I
have to say yes I mean this is kind of

a simple game here.

So how do you get a new customers or
markets study of almost ten thousand

businesses separated high versus low sales
what we found is that those companies that

had more SAS had almost ten times more
customers and three times more revenue

per customer in other words the most
powerful force was number of customers.

Number of customers.

And people turn around Seattle to
actually get a little bit more from

the existing customer.

Let's nice but the fact of

the matter is what you've got to do is
you've got to drive yourself out there to

get new customers which means you've
got to have a meaningful difference.

Interestingly among that was customers
when we are going after these.

It's the revenue per purchase How much do
we get per purchase almost three times for

a variety of people turn around say
die but new customers cost money.

We have companies we have some deep
financial information we look at them and

we look at those that did
new my kids first is those

that were focused on existing.

But we found is that not only did new
markets bring in more profits they brought

in more sales and

profits if you're doing it right when
you go after those new customers or

you bring a new product that offers to
meaningful difference you make more money.

If you're not making more
money doing it wrong.

Nobody voluntarily walks
into a commodity market.

You got to think about it.

We talked about
the Vietnamese benefaction.

That would be the great
state of Michigan for

thousand dead companies
in the last four years.

Four thousand because of
the incompetence of the auto industry.

And I'm saying nice compared to the way
Deming would say today they missed it.

They missed it.

Where in Michigan those companies who turn
around and take in their capabilities to

new customers using the problem that
we're talking about here are not

only getting more growth they're making
more money they're making more money

now to be clear we don't want
Georgia to get where Michigan was

because it's ugly because the options
you have and the body count is too big.

When you really hit bottom like they have
in Michigan then you're forced to do

it but then the challenge is some of
them as they say it was too late.

They had no energy left to do it.

They don't energy left to do it.

I got here taking advantage
of export opportunities.

Export opportunities.

He knew about the percentage of sales out
of this country today versus yesterday.

You know we're talking about a lot of
people coming here border we didn't go

into their

fact of matter is when we look at the
number of developed in developed nations

this twice as many outside nineteen more
in developing nations any questions.

Often it's not defense and

the fact of the matter is yes it's
coming from whatever the hell is done.

Maybe giving you a discount.

You are on sale in Canada right now.

I mean at some master.

The fact of the matter is
is that at this market.

The exchange rate has gone some upside
down right now we should be taking

advantage of this stuff doesn't
rush in the state talking to a guy

who is talking to him but talking to
politics all this foolishness is going on.

I said you know what you think.

And he.
Rob Ben on my life he says I've been

a Democrat.

He says you know kind of liberal up here.

He says but I'm voting for
the Republicans.

He's right.

He says if they get rid of NAFTA I'm dead.

I say excuse me a couple of I said yes.

NAFTA stepped best thing to
happen to small manufacturing.

I said well that's not what you hear you
say that's because people don't get it.

He said I send a truck north every

single week I make double the profit
margin on my ship to Canada.

Because of the exchange rate and

he says it's no Housel to take
it that way bus ticket sales.

The group number one most profitable
office all over the world.

The boss gets a big group
where Monterrey Mexico.

Folks.

The Georgia Tech folks can
connect you to these resources.

There are resources assistance available
to help you get to these other countries.

We can sit and whine about to come and
then or we can go get it.

Go get it.

The finance is a big imagine if you
had a thirty percent price decrease.

How much extra money you
could make you got it.

But are we taking advantage of it.

I got a guy in Wisconsin
the end of a dirt road as

he says I'm at the end of civilization.

He makes bad one.

Here are crap.

OK he's into it.

Up there.

OK.

They're shipping this
stuff all over the world.

He says and this market spent awesome
force because he's taking advantage of

his a company in Long Island
they have meaning factory

commonground I didn't
know this without me.

The Hamptons I'm like What are you doing.

As it turns out there are still
manufacturers out there.

This guy to the point of remember
I said we got to new customers or

markets we need to adapt.

We need to adapt this guy makes
navigational systems for planes and boats.

Only makes.

Fancy ones but he also makes my rants one
way and swear the thing before G.P.S.

they're under the dirt in fact
nobody really use them anymore.

Well that's not actually true.

In most of the world when you go into
a group up your plane is using land.

Because that's all they have locally.

So do it.

This guy had bought up everybody the bait
away and he's the last guy standing.

I said what you're saying our system.

He says we step aside
the fax machine every morning

he says in all these other countries.

Nobody can get him any more so
we're selling replacement parts and

that he says I found a big business.

It's bigger now for
me than it was before but

he's had to adapt and
to adjust to this new market.

Sometimes the stuff that the developing
nations is overbuilt were

designed you get easy stuff you know how
to do that can be worth a lot more to

another country if we think about it but
to be successful.

The Emperor had if you're not unique.

You better be cheap.

If you're not unique.

You better be cheap.

You've got to be unique.

If you want customers to pay the shipping
cost or the alternative method.

The group up in northern
Michigan is using.

Is that he said it doesn't make sense for

opera Cian to have pipes to be
shipped from here to Scandinavia.

So instead what we've done is
we have a proprietary patent but

we have a trade secret on
the way we do we do it.

We got a lot of knowledge here pretty
smart they now have two mice and

sees one cat in Texas and
one in Scandinavia.

The thing Rice is a technology for
who use this to make pipes and

they get something called mailbox money.

You know where check comes to royalty
which has a profit margin to me.

John I'm always kind of on this one
I might get on the security stuff.

The profit margin on a royalty check
is one hundred percent That's right.

Now imagine if.

Ten percent of your sales have
one hundred percent margin.

Imagine if you could monetize your IP.

Your wisdom that you have the trade
secrets that you have and

you could connect and develop and
partner with others in other places.

That's what we're talking about.

But people say Doug but
why do you do about this and I want to do.

Well let me tell you
the boss made your charge.

I check around check your week and
you know we went first.

We went to Scotland.

I go next week to Scotland.

I have to spend a week in Scotland.

Wow I Scotland.

Right.
Do we have an office across cultural

simple because I like Often adults cotch.

Very professional system I had here.

And I play golf a rabbit I drink
Scotch very professionally.

Would you want to go where do you want to
go the opportunities are men stop there.

But we need to take and change our
attitude we need to play off and

start defense but when we show Rob We
gotta tell people what we're doing so

well how good are you at developing
effective sales or marketing messages

your shop in the country to make
your pitch how good are you

at having the right thing to say how
good is your organisation of doing that.

That's a question.

Message Is it actually killing it all for
the benefit of a real reason to believe or

five times more effective than there
was to talk about features and stuff.

Because I'm a loss of marketing
physics because I think physics rocks.

I always thought it was cool.

It's based on reverse engineering
thousands of ideas to

identify what increase
your odds of success.

Because straight into three dimensions or
benefit real reason to believe in dramatic

difference over benefit what's in it for
me the customer.

Reason to Believe.

Why can I believe I get that benefit.

Dramatic difference.

What is the.

That benefit versus what
I would get otherwise

the first was ever a benefit you Tripoli
affected to see your marketing message by

overtly bluntly directly telling customers
what's in it for them making it clear.

Small business Somerset Prince
Edward Island had to sign out front.

The owner was having troubles
I stood a fact was it

seems the time ever carrying food crime.

What I mean could be a food
store extra restaurant.

The owner said I thought it was cute.

I'm not interested in cute.

So we changed the sign restaurant.

So if I called tonight the sign would
not be says that it's a miracle.

I said What's that.

Stephanie says Doc I want to add to the
tables I got to the third table asked him

a problem and they said the sign.

For the first time in five years.

Someone said the sign confusing our
customers is not a strategy for

success support your business
card play business card again

no public flogging no embarrassment
take you kind of put in

front of all your business contacts
the stuff on story some of you.

I think this on the idea
that story might be.

I've just put it back
in because I like it.

We laugh at it we think it's
funny we think it's funny.

So petty business card.

I go ahead and circle the only right
benefit on the front of the business card.

Right right.

He's got that season time Epicurean food
line Greg Craig just circle circle circle.

Yeah we got a little problem here.

So you see they don't charge
you extra to put that on.

Now if this was Tom Peters who wrote the
foreword to my third book term or do it.

Something like this he would go
up to somebody and he'd look for

someone that it said C.E.O.
chief god big cheese or something.

Because he likes to really pound and
then he would look at it and

he'd say it's not there
to be nothing circled and

so he forced the cheap big cheese to
write down what is the over a benefit.

Then he would take his cell phone out.

And he would call the office and
ask the same question.

And then not getting satisfaction he
would then talk to the vice president or

Byron de vice president of marketing and
this Trang would go on for ten or

fifteen minutes of which point the C.E.O.

is ready to crawl under the table because
if they do get answers they are totally

different and the fact of the matter
is what we're talking about here is not

advertising we're talking about
constancy a purpose stemming call it.

We're talking about a clarity with regards
to whether it's the purpose of your sation

when I get a organization I
want to know why we're here.

What is our purpose when the service
person say I want to know what

if your game plan to fail us.

You know is it the turnaround.

I need to know what is the purpose.

Variable What is it safety I get it.

I screw it up.

I don't go cheap on a bank that could
break that could cause a problem.

When I talk to the person at the
receptionist when I go to the website when

I talk to the owner I see the same thing.

Cingular constant see a purpose.

That's your job.

That's your job to make that clear.

Here's something I don't
get P.C.'s Dana said.

I don't understand that one or
this one here I am tak.

I am happy for you.

Right.

This right enough.

I just know people who write knowledge
about the letter he apparently forks.

This is ridiculous.

It's absurd.

Check this out.

Compositions are not of course produced
with the compositions a stable

actress blah blah blah blah blah Your lot
of stuff sometimes with inventors and

technologies and universities and
you end up with these things you know

what the hell is that what we
do with tech translation program

we help them translate it to the first
cancer say fast food wrapper.

Protection without the chemicals that have
been found a cost cancer six weeks later

they had a contract this family would be
in New York tallies with this rap for

the first time helping people get it.

We can't require our
customers to figure it out.

Here's another one this is an M.E.P.
client.

This is honest to god this is what was
on the website this is what was in

their marketing materials.

This is a direct quote of
the finest quality facet available

made from heavy cast brass patterns copper
tubing with stainless steel movement

accessories these facets are actually
they come hydrants I designed built and

tested last for the life of
your plumbing system there Rob.

Asked.
OK though.

Now sales will solve.

OK.

So we got talkin and.

Well come to find out it provides three
times greater flown one thousand vs six

gallons per minute twenty five.

P.S.-I in the stalls and half the time
using a standard wanted three eight strip

it versus chiseling a three
inch hole just before

I came in I got an e-mail from from
the general manager of the company

guess we'd gone through this with him and
his dad Doug do you think this is better.

So maybe this is what he had before.

This is this new thing this literally
just got here thirty minutes ago.

Commercial heavy commercial rock hydrant
the contractor's choice half the time

double a flop with sharks
to bring it to life.

They've been failing and don't need to
make up for not affect in product here.

But they gotta get out of the wrong
way and tell their story.

You have great products you
have great people I know it.

We just need to tell a story.

We need to tell a story and

focus everybody on coming together
against that which we're doing.

I'm not time.

Going to feature speeches that
benefits the facts the figures.

I want to know the benefit
What's it going to do for me.

What's he going to do benefits or
what I will receive enjoy experience

in exchange for
my time travel trust and money.

H.-H. Greg they saw stuff.

Best Buy I get it.

Now here's a company.

This is Ron it's right
got me Ali retaining.

Company's name is quick check.

They make barbecue cookers
they make barbecue cookers for

people who compete in
barbecue competitions.

And I got to be honest with you.

People are competing barbecue
competitions are really weird.

Five thousand miles to win
a hundred dollar prize.

These are real people.

Well this guy said that was best
barbecue cookers what they claim and

I asked him I said so let makes
a great and he went on I say come on.

Was it good.

I said I've always thought of it.

Tommy self-made man I was one of
these I probably quality at people.

I said tell me big.

I was kind of irritated.

I had had enough coffee.

And finally I said to myself.

Sally Hey good then.

OK Rob or find someone somewhere else.

Well that irritated him.

Because he was the owner of the founder
and I finally got Pascal a crap

all that pride and
he said well we win all the competitions.

So what I mean is that we are you

know all the champions use I
could check wins all the time.

Fifteen twenty times we won.

So I got my computer
hooked up that wireless

card to the center that it's going to be
big By the way this Internet I'm just

telling me internet miss is what
you do and I said on your website.

He said What do you do and I said well
I want to see the list of champions or

you're not going to see that I see.

It's all you're not going to see
that I said Is this a secret

your life and I never said I could tell
because you've got the same secrets

you get things and
it doesn't seem right let me tell you.

Paul said eight Boston.

If you're telling the truth and
I'm not asking you to do anything but

tell a day in truth.

It is respectful of clients.

So I made a challenge to him I said
you put it right you put this up for

twenty four hours.

Not by one I was so irritated.

So we added up to the website added
the fact that it takes you to the when

the circus twenty three went in the past
two years with the whole listing and

they got the same winner's circle
saying on the website now.

Well out here it catered him so much that.

He said smarty pants surfing.

That's the way it is.

This is what helped me with my other
one C. because I'm trying to sell it to

people who don't know who go
to barbecue competitions.

So we sell them electric once stood
a wood fired their electric you put

the wood in it but it isn't a flame it
gives the heat it's an electric element.

And so while that she's just go get
somebody to take it to a competition.

Let him use the new fangled way or
we can do that.

Yes convince I'm just human
somebody can't do that.

He says it's illegal.

Bandit competition.

You can't use an electric cooker in
a competition which is his market.

I said Well how about if you're really
some people who don't go to competitions.

You said we don't sell to them.

I said you got the idea.

OK we're getting to
the hard stuff here folks.

OK so
I said let's think about that customer and

one of the benefits remember how I said
adapt the product and the proper promise.

So we're going for people to do
barbecue car profs we've got people who

don't compete we've got to make a change.

Not the same We've got to change.

So what do we do we change the message
change the message this a little

electric cooker is illegal in competitions
that gives users unfair advantages even he

makes it too easy to make perfect barbecue
every time not enable you to buy one.

I see go up as a go to
File I buy him now as I

mentioned I promised him that I would
buy one of these quick checks and

I am not only a customer
I'm a repeat customer.

And let me tell you right now.

I don't get paid for memory by paying for
them but I got the small run but

you don't want that one you want a nice
one C. cuz this one's got an electric

probably goes down in the ME The other day
I took four slabs to really set it up put

it going with it when it hits temperature
she goes down to handling temperature

damn best ribs you ever seen you look
like a miracle cooker in these words.

So if you know what I'm telling
this contact cook check tell him.

Doug sencha if you want
to do barbecue going

to get your neighbor going crazy
the quick check what it's like and

idiot can do it if I can
do it anybody can do it.

The key was changing the mindset.

I think that difference in one case
is spending all the time it Bob.

If you cook off with experts
knowing the nuances of this another

case of dealing with jobs like me who
don't know squat who want to go do it.

It requires a different mindset to
work with this new customer and

it requires adaptation to make that work.

Now some of you are sitting there saying
God That's nice for consumer products but

I selling dust Creel stuff.

Rid of Mandalay stuff.

Bio stuff and
steal stuff which structural joke.

That's not how we do it in our business.

See I have a tech service person
who goes in and calls on.

Yes that person goes in.

And calls on their geek.

Geek to geek and geeky geeky geek and

you talk about the curvature
of the molecular slowly.

And this is a joyous experience for
the geek DOS and

then what does the Geek do the geek
turns around and talks through.

Accounting Droid.

Accounting droid doesn't speak it to

accounting truly can only
understand one thing.

Corporate Accounting drooly
can only look at it and

says two percent price increase reject.

Have a have a bad reject.

Here's Rex's man you know the company
they're assholes for years and nobody and

I tried man I didn't do it.

So it's I'm going to have
to suck it up on this one.

And by the way they look at your
account you haven't given us a discount

recently so I think I may have screwed
things up for you a little bit but

you know I'll make it up
to you on the next one.

Now the fact is that two percent cost on
a total quality basis a ten percent and

makes cross.

Whose job was it to quantify that.

The fact that you could install
a facet half the time whose job was

it your job your job to
get that message out.

We need to tell people what is
it that makes a difference.

And Rob the benefit get them excited
reason to believe closes the sale because

it's not enough to just make the promise.

It's not enough to just make the promise
customer trust is at an odd time lot of

people don't believe ninety
three percent of simmers

don't believe the advertising
major companies.

Sixty four percent don't believe
the news media get their facts straight.

And this is reported by the news media.

So we're not really sure your
benefits should demand reasonable

even the way to do it is to be real tell
the truth and do what you promise tell

the truth about what makes a great
success funny sitting there a chance.

Ronnie puts up lobster launches nine
ninety five fresh Island Seafood

bed early a GREAT that.

Are you for
lobster business is great say great

the Dundrum two dollars brass tax
the lobster festival nine ninety five.

It's different because we have a system
where I do a serious drops in half.

I says to find out about reasonably
be said I think it was important.

So when you state that you get reason to
believe in writing a good but then every

time you just assume everybody knows quick
check makes great cookers we assume it.

So we change the sign
the original Gram a lot so lunch

is three chefs three years while cooking
competition battle us course she insists

on saying the original I said to find
it's only been three weeks I mean c'mon.

Where are you going to go game set match

benefit get some excited reason
to believe close a sale.

Is a chemical course take up a reminder.

They subtile of my time because
of the process called Q.C.

A We can see all the time because
a problem with Tunnel is natural stone.

If it gets stained if you don't treat it.

It gets stained and screwed.

They got me some risk you
see a product that fails.

They have fire that distribution
group are another one.

It fails again they go to the money
race program in the column

created the idea was on the path and
says I got it.

We didn't give a reason
to believe what I Q.

Siewert.

I said why he said it's

simple it's because it's baked
in instead of painted on.

I literally use three different for and

I bake it down into the top
bake it into the stone.

They take a side to a store.

They're now looking at one
little pile store in Vermont is

doing almost two hundred thousand
dollars in revenue in ceiling time and

this is in the middle of nowhere.

And I've got commitments to take
a signature why they expect to go

from a twenty million dollar company
to a fifty million dollars company and

that's the owner says it's just absurd.

The money you can make when you're
when you're doing something extra mad.

The different versions of.

How good you are providing
a numeric benefit quantified.

We talked about twice as fast.

You know the new research I papa said half
the cost twice the speed how good are you

communicating that benefit communicating
a member of your organization doing that.

We want customer pay and
that's about being specific.

You know if you make a generic claim like
free some pepper every Tuesday night for

your restaurant.

I mean everybody's got rough patches and
I'm just being honest.

Well let me tell you folks if you tell
me what makes you great is our service

our quality of people.

I'm laughing at you because
it's the same thing.

I mean yet to beat everybody that says
I got crappy people crappy service.

Everybody says they're good on some basis.

But that doesn't mean that these
can't be your point of difference in

fact they usually are the key is I
can't get you to think deeply about it.

Think deeper and be more specific
where possible put numbers on what

service hundred percent blubbering
twenty four hours we keep inventory so

you don't have to call the ASEM
squishy way to suppress

work to the same quality as theirs for
six mo she says

what your winning ways may discover that
they had advantages that never met map.

Leveraged people are service people
get it right the first time.

Each has at least ten years of experience.

I get it.

It's that level that we
need to push these things.

See we can start with confusion to
features to clear benefits we need to get

to specific and
numeric benefit advantages really drive

it really drive but
my customers are really interested in

rare price you don't understand my markets
different my customers are different.

Ladies and gentleman lead price is
a specific and numeric benefit.

If you're not unique.

You better be cheap.

If you're not unique.

You've got to be cheap.

So the natural gravitational way.

A number increases your odds of
success by some fifty two percent.

It's about qualifying and
using engineering minds to do it.

And one of the elements that we need to
be looking at is intense debating future

needs run by talk to a product or

talk about being proactive versus reactive
sound good to you being proactive

anticipating customers needs taking those
established customers and pushing it.

How good is your
organization to doing that.

A future focus has been
found to be ten times more

successful than a voice
of the customer approach

proactive versus reactive reactive
it's just doing business.

That's just service an account that's
just that's just the cost a business

that's not move in the peanut we
got to take it to a further level

we need to be proactive as we do
it to me said to customers ask for

electric light now they never asked for
it to produce a produced it.

Don't ask for kind of a telephone or
ask for a cot machine or fax machine.

Innovation has not come from
the customers it comes from the producer

from people who are responsible for
themselves of only themselves to satisfy.

It's about leading or

seventy four percent of ask me what
they want to be said faster horses.

Let me take those established
customers a break on new products

we need to lead lead not react.

We need to lead.

If we want to make more money.

We need to lead see a clear vision of
the future we're going also creates

urgency in the present your company it
not only helps you with the sales It

helps you with your staff and it gives
a purpose to what you're doing back.

Deming said it where you have to be
five years from now by what method do we

reach that goal.

That is the purpose of management.

The sustainability of the organization
it's up to you do identify this.

Mask remember we had a company way
whatever we can make we were selling

next step customers would have been
a rock where do we become a job shop or

number three we lead in
anticipate the future.

That's what we have to do
you want to make more money.

Number seven.

How good do you have manage leverage in
green sustainability hot topic these days.

I'll go to you at leveraging
these dimensions.

Now I don't care about your politics and
I'm not here to do it.

Al Gore or George Bush or
any of that kind of stuff.

I am only here was one singular purpose
which is to help you win more lose

less and make more money.

So my talk about green is not about
saving the earth and the environment but

rather it's focused on how
you can make more money and

that's all I'm interested
in talking about.

That's a focal point.

The fact is that the public has spoken and
for

whatever reason they have
decided this is a port.

And the U.S. Spanaway is way
behind the rest of the planet.

This is the USA down here with
regards to their openness to taking

the stuff changed.

This is not a fad.

This is something that's just plain here.

And so we got to get with it.

Or we're going to be out.

As a change out these green customers

can help you make money to race
one way is the thought leaders

these people we did studies we looked at
thousands some forty thousand adults.

And they are the thought leaders
the people that are on the green bandwagon

influencers.

These are people that others come
to to ask for their ideas and

advice if you get a green customer.

It's like one and
a half customers or three customers.

It's not one customer.

So it's important to be in
the spaces of thought leaders.

They're also the realist not
fanatics they're not tree

huggers it's a different world out
there willing to accept compromises in.

Looking at total value.

So the second way you can make money
on it because the thought leaders and

they multiply your or your efforts to get
your word out and the second way is that

it's a way for you to do dramatic
differences with consequences.

You can make ugly products and they will
not buy them because they are green.

So take your steel or don't finish it.

The whole way less cost imports some fire
price and call it Green what a great

country we live in it's not really
that easy but it's not far from it.

The foolishness is going on right now
never to make them put it together.

If you have remember a kid you got to go
to a kid X. unbelievable my daughter's

over that and I don't know if I get if I
get stoned for this or something here but

she's at Mississippi State in
the in the vet program over there.

And then we went and we got a little house
down there in Stockwell because she's

there for a long time and for she and
some friends are standing there and

it was put together from a Kia which
was great because it went in smal but

I don't know how to however
get it out of here.

You know I mean it was it
was it was a two cases.

It took to put it together
two cases of beer.

It took to get everything together.

So I suggest the beer to come with
the kid it seems like a package deal

they should think about that but
wait but it's unbelievable.

And if you go there they have reason
to believe signs up to show you to show

you why the costs are what they are they
make mine are looking expensive.

I mean it's only it is beyond company but
I mean if actually you gotta go

walk through this thing to see other
thing about They've changed the game.

It was mine lower was in my blood.

Same thing with reuse reuse refill react.

People have new staff they would have done
before the world changed but to do this.

How did you team working together
to do dramatic profit building.

To some all your team see you got
to get that we got to hang together

with separately we got bring
a whole team together.

How good is your team of doing this.

Based on his Mme Alexandre one thousand
nine hundred fifty three fifty four Hour.

The idea was take the suits
to get him back like kooks.

Reality is a state of work in fact
most people don't like brainstorming

the classic way to get your team
become together to create ideas.

That's kept people said I really
respect effect it's a brainstorming

unfortunate runs completely
contrary to my reclusive nature.

They're my personal favorite quite frankly
brainstorming makes me bored crabby makes

me itch inside like yes crash here this.

I've taken six thousand teams

measured time by Paddy control charting
the largest quantitative measurement

of the effectiveness of brainstorming
separate panels about a way to quality and

quantity of ideas counting the I
put measuring stick cetera.

And it comes to an equation either
Eureka The big idea comes from stimulus

stimulating the brain raised.

Exponentially to the diversity.

Divided by the fear.

As I fears grow up or

ability create a screw down I now bring
you back to our courage to take action.

Scores.

This is a problem.

This is a problem that's why
Georgia Tech is here and

that's why the only piece here and
it's where the holes here.

That's how we got to deal.

The consequences you brain
strumming brain draining or

what we call the suck method of creativity
where we suck ideas out of my head.

Tends to be a short experience for most of
us when we need to do is to feed it with

stimulus sights sounds ideas spoke
assist principles methods Scraton G.'s.

That we can focus on the similar sets
off a chain reaction of ideas so

let me give an example you
come up with ideas for

we're going to make a should take a blank
piece of paper or you could have stimulus.

OK.

Which ones he.

Here.

So why do we sit there with
a blank piece of paper.

Why don't we can use this because
something in our school system taught us

still talking on other people's paper
was cheating and the professors here.

Look at other people's paper.

You can't publish your paper unless
you can cite the professors.

It's not we

need to open up our minds to that
stimulus stimulus sparks a brain.

We can't grow new brain cells
the some are coming out but

we haven't really shown a way
to do that effectively.

When we can do.

Brad we know we can do it with
some great new snaps or so

wiring between the brain cells
Stress kills brain cells

some things I did at the University
of Maine kill brain cells.

What we can do is use stimulus to do it.

And right as we got to California took
wraps an impoverished environment.

He gave them challenges he then put them
in an enriched environment with toys games

and things to play with to engage in
short have to grow up to be smarter.

They were dense they had more normal
connections to running between the sounds

and they could solve mazes faster.

Interestingly he had people are viewing
the environment and it did no good.

Do you mean my talk will do no good.

You need to get engaged in the process and
applying it to yours for us to grow snaps.

Resurrects right because the reason why
children's toys are so bright like colors.

Now I can see the thought balloons and
some of you are thinking.

Doug.
That's cool for

the kids the grand kids
I'll remember that but

I did some of those
university things too and.

Well I'm old.

What chance is there for
me when I bring you good news

we did a study at the end of season
senior center we had senior citizens

take the tolerance test of creativity
which actually came up out here somewhere.

From words down the serious
someone giving a person

the test I might be game one hour still.

Melissa every week Monday through Friday
and Friday we came to be portion of

the test significant increase
across the board quantity and

quality of ideas largest growth
was with Lady age ninety two.

So raise a gentleman up to ninety two you
can groom your brain power and after that.

Who cares if the opportunity is there but
we need to engage it but we do.

On Friday night we get together with the
same people we go to the same muskrat we

want the same food we go to
a restaurant or a movie all day and

I don't know I may not like
the movie I don't know.

Let's go do a sequel so we know how
it's going to turn out this is not

growing our brains people we've got
a great minds open ourselves up.

We need to man.

How to Look innocently what we
studied in the business we didn't know

squat about the business we make stupid
mistakes and the results we want.

Now we know everything in
the fractional mail kills all ideas.

I talk to people like you talk to
your management team right now and

I can ask about ideas they said they
won't do that they won't do that.

Well he's got all that what I
wanted out and then to you.

The boss not say.

Have they told you this or do they'll say.

No I never had that idea because
your facts have got a virtual no.

They shut it down before it even gets here
they shut it down before it even gets

hopped on my God I'm an expert
on wisdom said we find ourselves

looking at the same I doubt about we now
see it in a dramatically different way we

experience now the ballot is sometimes
more significant way of understanding

what is going to give you three quick
test my my three children first.

His daughter told me they want
to Mississippi State big but

big bus thing is something I and
something is going to great K.

think we're equipped Yes of
course Troy pointed to the flour.

Unfortunately I asked why
her answer was simple straw.

Everybody knows a straw is more fun
than a glass to drink for three or

four years old so obvious and
alternative answer.

Just as good.

Just as good as the other.

Not a question.

She's a Smith College taken engineering.

Senior this year she's looking
at a design like this.

My wife might want to remember before she
goes into school ask her what it is she

says windmill lady says propellor
Christine says women want to fight ensues

lady she's my wife on the way out
says Miss Ali want to apologize for

that my wife says yet
no no I want to apologize for

Christian if my husband he encourages or
that way.

She says the way he said No I
think it could be a win.

Mel Robbins that have to be a propeller it
can't be a wood Miller can't be a beanie

topper can't be a willing to take.

Shot side down.

Last My son who's a senior in high school.

Brad when he was younger he was
very proud of the fact that he

had learned how to dress himself and he'd
been told that his socks had to match.

He would dress himself.

To dress himself like this and we would
go out and some nice little old lady and

the man would turn around and
say Sonny did you dress yourself or

you see yesterday.

And she would say socks don't match and
he would say yes they do.

And she was you know they don't.

Yes they do.

And once again a fight would ensue.

One of them things.

My wife or I would have to grab and
explain to the lady I'm exaggerating for

effect because it usually wasn't this
clear that Brad tripped the concept

of socks match and
interpret it in different way.

His socks always match
some part of his clothes.

Now I think about it for
a moment which is the smug or

understanding of the concept
of socks after match.

I'm not saying much better but it does
seem like it has some merits that we need

to open ourselves up and
the number one way to do it to date.

I am most proud of a bad date is what
I gather this is saying to the sister

versity it's not just about age and sex
and race and it's not just about right.

So right thing to do politically
correct or all the rest which it is.

Yes yes and yes.

Police gentlemen capitalist diversity is a
capitalist business building tool that can

help you make more money.

I'm not talking about putting up with
diversity I'm talking about infusing yet

throwing kerosene on it and inflaming it.

If you don't have an exponential
kick in your ability to do it.

You must engage your people and
bring them together we run

sessions where I have ten fifteen people
from a company to kids of the record.

Speak any English to
the head problem in Spanish.

The management team can
spot in the management team

looks at all the ideas
with no names on it.

Somebody have some
translating back in English.

These kids were talking and in there the
management team has to pick three ideas

the to write two of the four ideas from
those two kids that don't know nothing.

They know a whole lot and
you have facts my notes rocks the factory

let me tell you you may say they may not
have come to the rather for college.

They may not be as educated.

My father was a machinist my son my
brother in law is a machinist you go

out of their garage you look at
their bio they come to my house.

They have rebuilt the B.M. place.

These people may not be a smart but
the people you've got know how to

help you make more money if
we teach them and use them.

That's what it's about
similar similar aims if we

have a look alike something like comes we
see the same thing beauty beauty beauty.

If instead we have walk our brains.

We're our brains.

We see the stimulus the roles
we see beauty we see vitamin C.

T. gets real sips a very concentrated
vitamin C. we see rays matter with

the petals on the top and
the tangle with the rows of the teeth.

Yes my friends
the North American melting pot.

It isn't a melting pot.

It's a sour bag.

I want to keep the robustness
the edge the really

I'll put it through a sieve to
get the same that's no good.

We need a way to me.

That come together but

to paraphrase Tom Peters leveraging
diversity is not for wimps.

It takes guts.

It takes guts.

I told scene if I got ten people
who will I see about ten a great

ninety you are cost savings opportunity.

Of course that used to be
a lot funnier than it is today

this laughing people are logical
rational right brain that are visionary.

But we must all hang together or
hang separately.

This is often not
universally bad to the death

this sudden not your device you know only
happens never never land it done right or

no my friends the way to do it is what
Apple cost simultaneous engineering which

is going to all the groups
to work together.

The market with the i
Pod is not the design.

It's not the play here.

It's not the i Tunes software
the miracle is they all work together.

And even though it pains me to say it
even the lawyers did a hell of a good

job negotiating the ninety
nine Cent songs.

It is making them come together.

I can tell you that this is a miracle.

This is a miracle that all of
these things work together.

I bought a sunny television last Christmas
I was tired of having so many remotes.

So I bought the semi D.V.D. player and
the semi T.V. from the Sony store.

And I asked the guy so

this means I don't have to tell
you the same amount that's it.

Well no not really.

There's actually two different remotes.

And it's such a power you don't want
to split just drop was it somebody to

make one Molex this is
not this how people.

That's why we need your whole
company working together.

From the same as to the support equipment

those companies will become seamless
that works together is a miracle.

It is America.

We were meant stimulus in diversity this
way following the timing process a plan to

study act he changed to
each changed it from.

Plan to check to study because he said.

Checking our pockets is not enough
we need to study in his later years.

When we did this individual
insights trust in the individual

paid ideation and we took a team from
back in the individual office the idea.

It's not a group crap we can trust in and

get anybody individuals to do it and
we take them through the process.

We take them through the process that way.

Now some people say but Doug.

There's no I in team and
maybe no I in team.

But as Michael Jordan
says the reason when.

Innovations and ideas are about
enabling the individual bringing

that individual to life capturing
the spirit in the ideas and that person.

Don and the whole gang here can help
you with marketing messages customers

markets meeting tensely get you
thinking hard about this business and

your team thinking hard about it
than you've ever thought before.

What I think we look at is passions and

assets is a company the green company
to make sure we are a Kansas.

Where asset is never
thought anything right.

Dad and granddad pack rats have warehouses
full of everything they've ever done.

And clothing the guys for the metals for
the military where I wanted to.

So I put together an idea
of a new troop tribute line

making a donation to the I
met needs program for

that we have to win now baby boomers
can have not met McCance but an actual

version of the thing the granddad
had her dad had now they can do it.

And they built a business
now from this and

they're opening up their eyes new things.

The most impressive part is the daughter.

Is thinking about now going into business
where before she could see no hope and

as a Dad was pretty happy.

I mean the line continuously driving
dramatic difference where you

are continuously driving
dramatic difference.

Driving dramatic difference because
it's a continual game that we have to do

the secret to higher profit margins
new customers new markets it's simple.

It's called dramatic difference.

Dramatic difference.

All the data shows that
clearly monopoly come oddity.

It's about being the first to
do one of the ONLY to do what

companies are patents are patents
foul up cross-examine the faster.

Let me tell you something.

It is not the patent
because this describes

the document from bashing tin
has not only an impact on it.

Sometimes it can add up.

But it's not the document.

The difference is a state of mind.

The state of mind of the organization
is extremely different companies

that are looking to get proprietary
dimensions in dramatic differences

versus those that are not it is a state
of mind that encompasses the culture.

The compass as a culture.

You actually can get a patent if you
know the laws of marketing physics to

get a patent you have to have
three things that must be useful.

Let's call them for benefit misstep claims
of how that's called real reason to

believe you must have be not a matter
be assessed call dramatic difference.

Where is the best place to look for

any nation inspiration study of industrial
companies what we found competitive

customer sourcing
non-significant relationship.

Demographics static no industry
trends scouting never had technology

scouting and
he had dramatically different product.

However to be clear dramatically
different ideas cause operational chaos.

So my last question is how good is your
system for executing product profit

projects that offer dramatic difference
how good is your system for doing so.

Ten How British used as a system.

Ninety four percent of problems into the
system six percent are due to the rocker.

So what is the system and
the method by which we have to do.

The people who are the best
of this in the start ups.

Started companies for

all of the failures the people like to
make fun of fact is the ten times more

successful the big companies when
it comes to making innovation ship.

Still being in business after three years.

Small companies since we had one or

two more than two thirds of our radical
innovations that have led to dramatic of

seismic transformations the economy a bit
adopted improved in developed by small

companies small companies that's
the attitude must get back to

where also all the jobs so
approaches car preparation and

it's a system for helping people do this
includes a number of elements we have

a Scotlands a project to spend steady days
exploring not to have a team but a scout

somebody owns an intrinsically and they
come back and report Yes Now yes right.

Yes we should do it now we should.

Yes we should do it but
we should change and

eighty percent of the time if
they've done their job right.

The answer is yes but
it's not play and play and plan.

Play and do study act play and
you study act play and

you study at number two
they can affect the death

threats the product the product
promise the product in the business.

The profitability that
we're going to make.

Dealing with the death threats up front.

And before I fail fast real
cheap Get Smart cycles

the learning problem through
our fast feel cheap.

Rapid cycles and lastly back out.

I believe that by today it's hip to
be called open source innovation to

connect and develop I to brands
to be doing it for years.

Which is that we resource we
don't try to do it all ourselves.

It's about the ego.

Reducing it.

Remember we talked about the case
where we need to discover ideas

we need to adapt to.

I need to lead.

Well I've been here to diversify this

passage portfolio of the challenge that
we face is that the risk becomes big.

So what we want you to do is while it's
true that you could do it yourself What we

want you to do through the M.E.P. network
is we want you to figure out how to

connected to mop so that you move yourself
from here down to here or here to here.

So what I want you to do is if you're
going to do this I can help you find

a technology that you can then
do the commercialization of for

your current customers or
if you've got a product we can help

you find a customer who can buy the
products that you get the product to that.

Customer your current capabilities.

So we want to drive you out
of here to reduce the risk.

And there's a system being put together
open source innovation Procter and

Gamble's gone from twenty percent
ideas from the outside to now fifty or

fifty percent of ideas
come from the outside.

It's about connecting the gap with other
folks outside were billing the U.S.

a national innovation marketplace
which will allow you to

find infiltrate is the sixty seconds for
other small businesses around the world.

It's going to get entrepreneurs and
investors a fair shot and a second

route to market you're going to be able to
buy products technologies that are low.

Development status and

then resell them at a higher status
because the greatest value happens is when

you get the thing to shipping even badly
the valuation has gone up dramatically.

She can make that happen.

We have companies open to buy right now.

Corporations ready to buy ideas.

There's actually about sixty of them
up here but here's just some samples.

Small mid-size companies are using the
market to find technologies one company

has with this morning I was talking about
connecting them to somebody else another

M.E.P. cried when discussions
with others to add them in.

See the most valuable approach is for you
to take a technology to put it in a small

business if I'm an inventor or I want to
put in a small business because my value

goes up so up I believe in this so
much that this fall.

I hear my contract came to me
my car was SAS playing cards.

So as I'm well used to work
with us playing card and

then roll he he when he got fired.

He got fired and
well he still was a management so that was

still not compete even though we got fired
when the day the nine compete ran out.

He decided to get the bastards.

So he figured out a coding in
Chicago paper in Switzerland and

a printer in China.

He put together a psychotic
awesome Vegas Vegas

brand Sat Sun to Wal-Mart turns around and

I got a fifty share in Walmart continually
innovating with new cards new types

of cards you types of stock materials
connecting and developing to make it work.

But it's about two bucks for
a deck of cards and

he says that nobody sells for
no sauce for like four bucks and yeah.

He says Can you help me create
a new No he says I know you did.

Board games and

that early years I said yeah I'll do
that if I don't have the time I said.

But a week later he dropped
off a bottle of Scotch whisky.

This was a very valuable
bottle of Scotch whisky and

I said maybe thinking about when I wake
up sitting by the play one day and

I got this idea for a game and
I put it together and do it well.

Next thing you know I'm traveling and

all of a sudden I get a phone
call the star gets muck.

I don't rap.

He's like they bought it I said what
you mean he says well they take it.

National.

I said yes or no way.

Sure enough he took that to hand
me a prototype and he pitched it.

And saw it sold.

It's called was your
magazine the packaging it

says eighty five percent
on a player surveyed.

Respect commanded you by me are seven out
of ten board card game lover surveyed

recommend man if you want to talk.

Well two days ago.

Right now every week I
get an e-mail from Mark

because he can look inside
the ram my system and

I'm actually I don't think I'm supposed
to show you this but well that's life.

Because he has the actual sales not
into the stores because we know

it's like come under cost decks
that are going to help but

he's got the sales out of the stores now.

This is August.

OK this is not a good sign
that this is not prime time.

Well here's what the chart looks like.

And he says it's taken off like
nothing that they've seen before.

Now the cool news is this.

I know the people of Bill Bradley
the vice president marketing lives three

blocks from where my daughter just.

Houses in Northampton Mass.

Well I think what the conversation is
going to be like with Bill Bradley

now see before I could be
talking I got an invention.

Now I say Well we're coming back here.

To your RAM soon at Tolly different

negotiations at this point the reality
is that now selling it as a business.

Instead of as an invention of the math

changes all of the math changes
in the value there is tremendous.

We got to respect the unknown unknowns
not plan study study study but

we got to do plan to study acting
I fasted actually get smart.

We got to get it into our culture nest
become part of what we lived when you

started the company that's what you did
then we became intelligent and rich and.

And pompous get over it.

We got to go back to the roots.

We scrambled we made this
stuff happen you got it.

It's in the D.N.A. you know how to do
this where we really feel that we lit up.

New ideas and have the ideas come and
we have a portfolio of ideas.

So if one idea doesn't work.

There's another one right behind it.

And world leadership
decides when pressed on

if we hit bedrock we get a big a good bit.

New mold.

If we have rock we try
something else to be honest.

Some people say you don't have
persistence and dedication and

you're right but I'm rich so
who cares make more money.

Set up your numbers but your title that

you total up again I'm not going to bash
anybody but just add if you're told.

That's your ability to grow your business.

Sometimes people say
that's was pretty quick.

All I needed was two hands.

OK here's how you compare.

Going to give me grades in
percentiles ninetieth percentile

would be ascribed seventy
one Colorado day.

The school above sixty three is eightieth
percentile fifty eight and then we have.

Fine and fabulous.

Some people say dead but if you subtract
one hundred What's that mean they said

well if I subtract one hundred
that's your opportunity for grabs.

Somebody said I got today.

Thanks.

We laugh about it but
the fact is that there is good news.

The good news is that you can do it but
we get ourselves into a cycle of losing as

a company ages in the offerings to
copy and we don't know what to do we

need to get into a cycle of winning where
we get ideas we tell people about and

we get new customers and profits and
this gives us more choice for

growth and that's what we're here to do is
to help you make more money team down here

is world class you've got one of
the best piece systems anywhere.

Part of it comes from a great school
in the school based programs here

is just awesome.

But it requires a new mindset
we bring the team together

with the Georgia Tech folks with
our technologies behind it.

They're connected to our folks we're
running the research we're connecting with

them all through the process doing it.

We can find a fast track ideas for growth.

We have a two thousand and
nine version in because of the good

work that your folks have and their
commitment to helping the national system.

But also make an offer that they're going
to be able to get the two thousand and

nine version ahead of others and
included in the two thousand and

nine is an even deeper
focus against profits.

And constant growth innovations
Israel's factual sales forecasts.

One of the problems we know that
exists is we all know everybody in

the room agrees that innovation is good.

Everybody agrees I know that the problem
is that when we look at a change.

All we can see is the cost of the problems
we can't see the opportunity.

So what we've built is with the help
of the National Institutes standards

technologies.

We've got the system answers
the fundamental question How much

of going to solve.

The system the trends around it does
modeling of the number of customers we

break the staff upright and

we give you some simple ways to take
you through doing all of this map we

run a money cow simulations we run some
two hundred thousand simulations for

various levels of fact added Now
a fifth level of Mikey's support for

niche categories and we give you probably
odds of what you got to get so now you can

turn the uncertainty of innovation into
a manageable business opportunity.

We've turned around a dam this response
mid-size businesses don't forecast for

them for the pharmaceutical industry
commercial plumbing home construction bio

scientists working equipment.

The fact is you know more than
you think you know what this

does this doesn't show the value of assets
shows the value of a business owner who

understands the business.

What we can do is help take that
knowledge that is late and within you

by you giving us worst case Press case
Press casting putting in probabilities.

We can help you understand
exactly how much you can sell so

that you can make a mockery here decision.

If you do it first folks here
in Georgia will get access

to this ahead of the rest of the country.

And we're going to take it at my cost
I'm going to take care of the upgrades

that you can get those if you do
a project here with the team here.

So if you can get into that
the only thing I ask is feedback

as a system is going on that we continue
to get feedback from you to help.

It's not necessary change survive
it's not mandatory diving said.

The key issue I'd like to end with the
issue of fear fear shuts us down before we

start how many times last
six weeks six months.

If you fail spectacularly stepped over it.

Or you say well I used to but
I'm adult now.

We gotta step over.

I stepped over the edge of the high Arctic
sixty hundred miles north of Alaska

came to one of hundreds of pressure
ridges and open water leads and.

Smack ice going to run
the saddest fast we can.

It's a rebel us one it sticks to
the forest goes this way instead of

this the team starts to go across to
get across that looks right side now to

the right my leaping next thing
you know I'm taken aback.

People say Doug what's it like
to swim in the Arctic Ocean.

It's not what you think my first
reaction was Damn this is one.

I mean I've got some money is forty two
plus thirty two was like a heat wave

my second but if you have five
minutes to get up before you die.

And then being a bit of a mathematician
I said you know how to think of

this is there like a plus or
minus trace maybe

I just pass I could start to put myself
up there with my team exposed in fear.

Well actually my face and
they were moving backwards.

I said hey I speak for
all of us and I reached

up and sixty nine your cookie pieces
reached out to pull me out of the water.

I said Corky thanks.

See when the ice cream to crack
everywhere short Wistrom softly

Come spread eagle over the edge to me.

This is corked I don't mention
I'm actually a person so

what's the matter chord.

He says that for

the last three nights I've been
dreaming I was going to follow him.

So when you fell and
I felt really good at this point.

I mean with a snap of save as
much water as possible and

I am faced with the challenge in.

Dear.

Seven years today I was in try back
up when the towers got hit and

that was scary but we didn't know enough
to be really scared not like this scared.

This is when your car body temperature has
gone down and everything tells you you've

lost feelings in your feet and
your fingers and that you want to

change your clothes guaranteed hypothermia
finite but very real chance of death

only two people have died with add up here
in seven trips with it to the public.

Against all odds.

I put my skis on and
skied as hard as I possibly could.

To increase the heat from the inside
in because I get impatient

has to come from the inside it must
be incredibly quick they knew.

I did that and troll and
I like to say it was because I had great

servitude of courage but the reality is
I had made them into the same advantage.

We're here to bring you which is ripe for

a fast clip cheap in training we
had to bomb until we ski through

hell when the ice and if we panicked
we had to get up and do it again.

I know because I got to do it twice.

Fail fast felt cheap gives you courage.

Cornell University did a study gaseous
is one of the most read in life

seventy five percent most read
actions not taken as most actions

taken if they turn up at all you see if
you change your company you can today

do you speak your mind in protest and
it's a disaster time can heal the pain.

But if you don't change the company you
don't grab the date you don't speak your

mind you end up living a life
of what it could assure that

folks were going to push
it out on a Christian

which is younger was a karate class a
class full of boys took a lot of teasing.

The only girl in the class but

a karate was sad a reach child would
try to break a board the first way but

the board the second try and
third tried and they both failed.

It was Chris's turn.

She got a subset up on
the maps my wife and

I watched she got that look in her face
seen the same Look at her mother's face.

And with a kick.

She kicked about
the backyard was very quiet.

I asked her I said Christian what we
think she says Dad you know us girls

we can do anything boys can do and
I just had to show it.

It was a Christian kicking she
had all the nice sunny showers.

She's going to Charlotte's
chapel that's where when you do

my bit over benefit that makes
a meaningful difference to your customer.

That's what gives you the courage.

That's what gives you the courage quick
secret to success right wing left wing

First the right wing gym KUSA somebody a
shop for a second group tell me the secret

to success in thirty seconds he says
talking to a quick in one word.

What's that.
He says Love.

What your customers your products
from yourself and I say and

you talk a passion he says
now you can pick passion.

I'm talking genuine authentic love.

OK that's the right brain version.

Now the left brain version from an Amos
Crowley was studying students as to what

they plan to do to a friend who are going
to reputable job at a reputable firm.

And then there were the weirdos.

Half are going to go
into their own business.

What the hell to pay for all that college
kids going into starting a car wash.

On a credit card take a job for

less money never taught their kid
the value of a dollar spoiled them.

And in the other credit.

She's my kids become a bleeding
heart working for a nonprofit.

Or at it.

Where to go run screaming that
marks twenty years later for

the number of millionaires I'm
not saying this is success but

this is the left brain logical one.

So we're going to stay very factual.

Check for the number million is not
of the first there was one in out of

the Second there were one hundred.

Because my friends it's the same we need
to offer a meaningful difference to our

cost and when we do something that makes
a meaningful difference works and we must

throw ourselves in and we must love and
throw ourselves in C. to make this how.

Happen.

We need benefits reasonably dramatic
differences stimulus diversity of fear but

the way we drive not fear my
friends is by going back and

serving the customers to make
a meaningful difference now lives.

That's what it's about that's what
it's about to be nice if we could

launch a company and take stock of
the reality is it runs out of jet fuel.

So we need to relaunch.

And that's what we're here to
talk about that's were talking.

Three questions I asked at the front
if your profit margins grow

your last number of customers are you
having fun yet that's what it's about.

Now some of you will sit there and
you'll say good targets.

You know I make a right
now I'm OK mate now.

When I'm in a company and for imports
consummate I.Q. my praises Doug I was

a kid I just lost half my business
sixty percent of it he says for

years I was laid to my customers six
of the eight members of management.

I was tight with the corporation just
fired my six guys and I got nothing.

It's right as we go to
the holiday season the turkey.

You see it starts out
living a very nice life.

It's kept warm.

It's fed every day.

It's a good relationship.

The turkey is like
a world this is good man.

I got a good life.

And then one day in November.

It gets really crappy.

I don't want you for Thanksgiving dinner.

You know that.

We got to do it folks.

Now I'm traveling the country and people
say why are my daughter trolling went

through this program as part of a class
thing somehow she got credit for it and

did it she had to read the paper.

Afterwards she went to the train
to readers as the dawn

began you've been through.

And she wrote something with her
permission I'd like to repeat it.

She said.
Too often today companies

are really struggling.

They've been beaten up or
have no courage left.

You're requiring ways puts courage
back into companies to give them

a kick start again.

I really like learning how
to put hope I really like

learning how to put hope back into people.

That's what it's about folks.

We're here to help.

It's been frankincense long as I have
observed the web I have observed that

wrong is always going more wrong in the
right however post comes light lot right

at last I do believe I
believe that you can change.

I can believe that your
culture can change.

I'm traveling the country.

We were connected with one of
the very best here at Georgia Tech.

I like to end my talk to say my end
every talking every book that I do.

It's a quote from Ben Franklin
sorry lead my life.

It's tough.

I like my view on life and it's my
challenge to you as you do it in fact when

I've laid to rest at the one of her church
St Thomas it'll be carved in my tombstone.

It's Ben Franklin said America's first
great entrepreneur an inventor said over

two hundred years ago abstracted away
start life in the grave will be sleeping

enough up sluggard waste not life and
the grave will be sleeping enough.

Deep inside all of us
as a little voice and

little voice that tells us what we
should do and what we must do folks

it's time to believe to believe in
that little voice to believe in

our people to believe we can change our
culture to believe we can transform our

relationships with our existing customers
to believe we can get new customers.

To believe in the power of technology and
ideas to transform to make things better.

So what he waiting for
get up you know keep going.

Thank you very much.

Or when.
You open the.