The Agile Scaleup

#2 Leadership Book; Dream Team; Surprise Finding; Olympic Torch

"...out-learning the competition" HEADLINES:   "Coming together is a beginning; keeping together is progress; working together is success."   Henry Ford Israel Radio Interview -- if you're looking for something to play in the background while doing email, my latest interview which aired in Israel is available online - it includes some of my latest thinking if you've missed the last couple of Summits. Latest Executive Dream Team -- Fortune has named their latest Executive Dream Team - and Gazelles200 member Roger Hardy, founder of Coastal Contacts, had his own list (and explanation) published by Fortune online - congrats Roger for your list of disruptors! The Leadership Challenge -- one of the five most important leadership books ever written is being released today. Significantly updated, the 25th anniversary 5th edition of The Leadership Challenge by Jim Kouzes and Barry Posner is the foundational book for any leadership development initiative - it's a must for every new supervisor/manager to senior leader. Their five part leadership framework is the most researched (based on 3 million pieces of data) and respected model in practice within the Fortune 500 and one we've used in our work with clients since the founding of our company. Five Practices -- here's a quick list of the five practices. Simple in concept, it's the details in how to apply each practice that makes Kouzes' and Posner's work so powerful: Model the Way Inspire a Shared Vision Challenge the Process Enable Others to Act Encourage the Heart In a way, almost all the leadership books that have followed can be mapped onto this framework and either build on or expand our understanding of each of these five practices. Over 2 Million Copies -- if the best definition of a classic worth reading is both the number of copies and years in print, The Leadership Challenge passes the "crowd" test. It's lasted because their five practices for exemplary leadership work. These practices are practical and teachable. Members of the Gazelles200 and book club will be receiving a copy of the latest edition. Surprising Outcome -- with all the talk about the importance of organizational values, it's actually the personal values of a leader that matter more - which makes sense upon reflection. Obviously, if the two value sets are aligned, it's all the more powerful. Jim Kouzes Keynoting Fortune Growth Summit -- to help celebrate this 25th anniversary of The Leadership Challenge, co-author Jim Kouzes, who has been a friend for over 15 years, is keynoting our Fortune Growth Summit in Phoenix Oct 23 - 24. The Summit is a way to absorb the best ideas and practices directly from the authors of over a dozen important business books - a mini Bill Gates-like "Think Week." Marshall Goldsmith -- author of one of the other five best biz books (What Got You Here Won't Get You There), Goldsmith's guest review of The Leadership Challenge on Amazon reinforces the importance of Kouzes' and Posner's book. He, too, recommends it to all his clients as the top biz coach in the world. Read his review here. 5 Best Leadership Books -- in case you missed it last week, in the spirit of "it takes a village of gurus", here's a link to my summary of the five most important leadership books, including The Leadership Challenge. Master the skills in these books and you're in the top 5% of leaders. Best Olympic Torch Ever -- congrats to Danny Boyle and Great Britain for an outstanding opening ceremony including an Olympic torch that speaks to the power of the crowd - a torch made up of a "village of torches" representing all the participating countries. Brilliant, simply brilliant!!

#1 Leadership Skill; 4 More; Cheating System; 3rd Edition Topgrading

"...keeping you great" HEADLINES: #1 Leadership Skill -- hiring, period. You hire the right person and life is great for many, many years; you hire the wrong person (or not the best person) and life is less great - I'll just leave it at that! And the key is Topgrading. But what if a "C" player reads Topgrading - can they cheat the system? More below, but first... 5 Best Leadership Books -- in the spirit of "it takes a village of gurus", I'm going to highlight two of the five most important leadership books ever written this week and next - precisely because they've stood the test of time and have been significantly updated. Here's a link to my summary of these five books - you master the skills in these books and you're in the top 5% of leaders. Dramatically Updated/Improved -- the first book to be extensively updated is Brad Smart's Topgrading (3rd Edition): The Proven Hiring and Promoting Method that Turbo charges Company Performance. This former doorstop of a guide has been totally rewritten and shortened by Brad, the man behind Topgrading for 35+ years. It's now truly a definitive "how to" guide for hiring which also includes 40 case studies of named companies, both large and small, who have implemented Topgrading. Triple Hiring Success Rate -- for the 40 companies highlighted, hiring performance more than tripled. Pre-Topgrading, these firms averaged just 26% high performers; after Topgrading it soared to 85% high performers. Brad has done an excellent job refining the Topgrading process and streamlining it for growth firms. As Brad notes "mis-hires are far more devastating to growth firms than to mega companies (though we'll see if Yahoo! finally made the right CEO decisions)." Additional How-To Implementation Manual -- if you go to a special link this week to order copies for your leadership team (they'll want one to refer to often) you'll also get Brad's How-To Implementation Manual and a 30-minute video summarizing his latest and most practical Topgrading tools - worth showing at a weekly or monthly management meeting. Can "C" Players Cheat the System -- Brad addresses this specific situation in one of his blog posts entitled "How A Players vs. C Players Answer Topgrading Questions. He also includes a handy chart that compares the specific responses for various questions. He also wrote an excellent piece, including a chart, that compares the competencies of high performing leaders vs. B and C leaders. Complete Online Course-- in addition, Brad has a full 12 step online course that teaches each step; links to forms you can use (like the time-saving Pre-screening Interview form); and examples of interviews. This is must training for all leaders and managers with hiring responsibilities.

Stephen Covey Dies; All 7 Habits; 8th Habit

"...out-learning the competition (sharpen the saw)" HEADLINES: Stephen Covey Dead at 79 -- the author of the mega-bestseller, 7 Habits of Highly Effective People, died yesterday from complications from a biking accident in April. Here's a link to CNN's Obituary for Stephen. 7 Habits -- in honor of Stephen, it's worth reviewing his 7 Habits (something borrowed completely from the Wikipedia entry for his book). Please take 2 minutes to read this summary and thoughtfully choose one habit on which to focus between now and Sept 30 (Habit 5 for me): Independence or Self-Mastery The First Three Habits surround moving from dependence to independence (i.e., self mastery): Habit 1: Be Proactive Take initiative in life by realizing that your decisions (and how they align with life's principles) are the primary determining factor for effectiveness in your life. Take responsibility for your choices and the consequences that follow. Habit 2: Begin with the End in Mind Self-discover and clarify your deeply important character values and life goals. Envision the ideal characteristics for each of your various roles and relationships in life. Create a mission statement. Habit 3: Put First Things First Prioritize, plan, and execute your week's tasks based on importance rather than urgency. Evaluate whether your efforts exemplify your desired character values, propel you toward goals, and enrich the roles and relationships that were elaborated in Habit 2. Interdependence The next three have to do with Interdependence (i.e., working with others): Habit 4: Think Win-Win Genuinely strive for mutually beneficial solutions or agreements in your relationships. Value and respect people by understanding a "win" for all is ultimately a better long-term resolution than if only one person in the situation had gotten his way. Habit 5: Seek First to Understand, Then to be Understood Use empathic listening to be genuinely influenced by a person, which compels them to reciprocate the listening and take an open mind to being influenced by you. This creates an atmosphere of caring, respect, and positive problem solving. Habit 6: Synergize Combine the strengths of people through positive teamwork, so as to achieve goals no one person could have done alone. Get the best performance out of a group of people through encouraging meaningful contribution, and modeling inspirational and supportive leadership. Self Renewal The Last habit relates to self-rejuvenation: Habit 7: Sharpen the Saw Balance and renew your resources, energy, and health to create a sustainable, long-term, effective lifestyle. It primarily emphasizes on exercise for physical renewal, prayer (mediation, yoga, etc.) and good reading for mental renewal. It also mentions service to the society for spiritual renewal. 8th Habit -- and Stephen Covey's additional habit is "find your voice and inspire others to find theirs", embodied in his book by the same name. Take another minute to review this Wikipedia overview of the book including the "6 cancers" that inhibit greatness. No Insight Thursday -- we're on our way into the jungles of Panama this week with limited access to the internet. I'll have another insight out late next week.

Olympic Opportunity; Pricing Strategies; Elliott Jacques; Whining Children

"...keeping you great" HEADLINES: (ALERT - main Growth Summit hotel sold out - options below) Olympic Opportunity -- 2012 London - Gazelles has arranged for a limited number of highly discounted Week 1 packages with 5 star accommodations - more below, but first, speaking of pricing... Pricing Strategies -- many companies spend considerable effort monitoring the precise amounts they pay their suppliers; yet when it comes to setting prices it's more of an educated guess - lifting a finger to the winds of the market and deciding price in a somewhat random fashion - and leaving significant money on the table. Robert F. Sherlock, author of Daring Caution: The Executive's Guide to Pricing Improvement, will help refocus you back on price. Experienced Executive -- Robert Sherlock, a former corporate staff member of GE who held increasingly responsible marketing and sales management positions in four GE operating businesses; Sherlock also founded and ran a venture-funded logistics company and was VP Marketing for Wickes Inc., an $850 million distributor of building materials. This depth of experience is reflected in his book (book club members will be receiving a copy). Online Seminar -- on the heels of X-Prize founder Peter Diamandis' online seminar posted last week, yesterday we posted Sherlock's 51 minute presentation. Specifically, the seminar will help you: Define your pricing goals and strategy Improve how your company makes pricing decisions Raise prices without driving down your sales volume Increase buyers' willingness to pay This is the perfect topic for a broader monthly management meeting or marketing meeting. As always, there's a money back guarantee if you don't find the online seminar valuable. Elliott Jaques Part 2 -- from last week's insight, several people asked where they might get more detailed information on Dr. Elliott Jaques approach to organizational design - making sure they have the right people at the right levels in the company. Go to the Requisite Organization International Institute. Thanks to insight reader Kevin Earnest, a mentor of Jaques research partner and widow Kathryn Cason and her daughter, Rebecca Cason, who is President of the Institute. Kevin has applied Jaques ideas to dozens of organizations. Note's Kevin, "Everyone always talks about the Jim Collins phrase "getting the right people on the bus"; Elliott Jaques provided a more science-based approach to judging a person's current and future potential capability to ensure CEOs can, in fact, do that." Children Driving You Nuts This Summer? -- one of my favorite parenting blogs is Kirk Martin's "Celebrate Calm". His latest provides practical approaches and phrases to use if your children are whining, fighting, or exclaiming "I'm bored" (with four children, we're not immune to these situations, especially during the summer break!). My favorite hint: Your kids are whining in the car as you head on vacation. "I'm bored." Smile, look back through the rear view mirror and say, "Wow, that must be awful. Boredom is a choice. So what are YOU going to do about it?" Yes, let them own their boredom. Don't fix it. Otherwise, they become dependent on you to fix all of their problems...and they never learn how to. (Many of you married someone who never grew up. Don't perpetuate the cycle.) Scan Martin's blog for more. Olympic opportunity -- 2012 London Olympics -- Adam Dailey of Ludus Tours (EO member and one of the MIT-EMP grads) is the Official Hospitality Provider for USA Track & Field and 19 other sports federations. Adam attened my class a couple weeks ago and followed up with an offer to provide my readers with some travel packages during the first week of the London Olympic Games at his direct cost. He has the top 5 star hotel in all of London (as per tripadvisor.com) with tickets for less than $3000 per person. If you want to take advantage of this, please contact Adam directly at [email protected]. For more info. Alternative Hotel for Fortune Growth Summit -- the main hotel has sold out, but right next door (complimentary shuttle service provided) is the sister property. If you plan to attend, at least book your rooms - and remember, best seats go to the largest teams and earliest to put down a deposit ($250/exec). Here's info on the hotel next door (same conference rate): Wild Horse Pass Hotel & Casino 5040 Wild Horse Pass Blvd. Chandler, AZ 85226 800-946-4452 Group Name: Gazelles/FORTUNE Growth Summit Room rate: $174/nt. + tax Cut-off date: September 21, 2012 See you in Phoenix.

India Investment; Org Chart Challenges; Peter Diamandis Online; David Rich's Move to Barcelona

"...keeping you great" HEADLINES: Peter Diamandis Now Online -- Receiving one of only a handful of standing ovations in the history of our Summits, Peter's powerful presentation at the FORTUNE Leadership Summit, based on his book Abundance, is now available online (no risk fee). More below, but first... India Investment Hotspot -- Coke, IKEA, and other big firms are betting on India even as its growth slows - the reason? Some key open market reforms, like letting some retailers own 100% of their Indian businesses! Take three minutes to scan this article for some other hints. And I agree with the article - bureaucracy in India probably reduces GDP growth by 2 to 3 percentage points. The population seems genuinely fed-up and substantive changes are being made. I remain bullish on India!! Organizational Structure Challenges -- twice this week clients/friends asked for help on organizational structure challenges - something that becomes more acute around 350 employees or more. It reminded me of the work of the late Elliott Jacques, a great Canadian guru. As noted in this NY Times piece: Dr. Jaques investigated what he called the "time frame" of the individual. He found that some workers are capable of planning and carrying out tasks that take three months to a year; those people, he said, are suited to the role of manager. A smaller group, capable of one- to two-year assignments, should serve as department leaders. General managers should be able to handle 2- to 5-year projects and division presidents 5- to 10-year strategies. Corporate chiefs should be able to think in terms of 10 to 20 years. The Real Peter Principle -- so, my application of Dr. Jacques ideas? The real Peter Principle (people are promoted beyond their capabilities) is a question of a leader's comfort with various time frames. There are people that are great at delivering "this week" but really can't see beyond their own nose and shouldn't be promoted. So consider time frame a critical aspect in placing people at the right level in your organization. Nominate Top Women Entrepreneurs -- FORTUNE magazine is seeking nominations for the top women entrepreneurs from around the world - revenues between $1 million and $25 million The winners will be invited to FORTUNE's "Most Powerful Women" conference Oct 1- 3 in Laguna Niguel hosting the most powerful women biz leaders of the Global 500 firms. For more info: David Rich Moving to Barcelona -- I continue to encourage entrepreneurs and executives to move to Barcelona for a year (or two or three). David Rich, founder/CEO of ICC Decision Services, a leading provider of mystery shopping services to major retailers, is the latest to make the move with his wife and three children. Read his blog post post for more details on why he's making the move. For me, a chance to immerse the children in Spanish; a great city from which to do global business; and the lifestyle can't be beat. And the international school, BFIS, is excellent and just hired one of the top headmasters from the US. Peter Diamandis (founder X Prize) Seminar -- earlier this year I pointed to Peter's amazing TED talk. But it's the details on how growth firms can use prizes to crowd source solutions (one gold mine owner spent a few hundred thousand to find $32 million in gold); the future technologies we should be applying to our business models; and the message of abundance that helps us "play to win" vs. "play not to lose" is why Peter's 53 minute presentation is worth showing to your management team and children. And his presentation is segmented by his slides so you can easily move to whatever part of the presentation interests you - our unique online presentation capability. And as always, there's a full money back guarantee. Have everyone in your organization invest 53 minutes.

Leadocracy; 12 Books; Avoid Stagnation; Microsoft WPC; Michael Dell

"...out-learning the competition"

HEADLINES: 

Leadocracy is a refreshingly simple solution to the problem of government dysfunction.
	H. Wayne Huizenga, Founder Waste Management, Blockbuster, AutoNation

"A" Player Executives -- Brad Smart, co-creator of Topgrading, found that "A" player executives read on average 24 books per year vs. B and C players. Below is a way to read 12 quickly...but first;

Send out Five -- Leadocracy, Geoff Smart's new book is officially released TODAY. Geoff is the co-creator of the Topgrading hiring methodology and applies best practices of recruiting and hiring from his #1 bestseller Who: The A Method of Hiring to the challenge of fixing broken government. Order five copies on Amazon by clicking here and send to your local government leaders (Gazelles 200 and book club members will each receive two copies to send out). A well functioning government is critical to growth companies and the economies in which we operate.

Avoid Stagnation -- In the book Geoff reveals an out-of-the-box idea for how to avoid career stagnation--do a stint in government! Yes you! It's something I did (US Department of Education in the Reagan Administration) which gave me tremendous insight into and demystified the big black box of government, providing me a sense of where and how to influence the process.

Microsoft Next Week -- if you're attending Microsoft's World Partner Conference (WPC) next week, please stop in on my two presentations on Tuesday:

Running a First Rate Marketing Function - 2pm - 3pm July 10 The Crucial Pivot: Demand Driven Biz Models - 3:30pm - 4:30pm July 10

Michael Dell, Marc Andreessen, Mark Pincus -- tune in LIVE online (complimentary) for FORTUNE's upcoming Brainstorm Tech conference in Aspen, where the innovators of the Fortune 500 meet the next generation of leaders to shape the future of business - July 16 - 18. Tune into the one-on-one with Michael Dell at 12:55pm ET Tuesday July 17, for instance. Here's a link to see the full agenda and to register for the virtual conference - pick and choose a few key presentations and tune-in.

12 Books -- invest two days and "read" the equivalent of 12 books. We're back in Phoenix Oct 23-24 for the Growth Summit, Sheraton Wild Horse Pass Resort. Here's a look at this year's list of keynote speakers representing a dozen of the most important business books ever written (see how many you've already read) - come learn directly from the gurus I've handpicked to bring you the ideas you need to out-learn and out-compete in the marketplace. And just $250 deposit to hold a seat - balance not due until Sept 23 (helps you hold onto your cash!).