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October 31, 2006

More From The Elegant Solution

Filed under: Innovation,Jack Covert Selects — Todd Sattersten @ 11:38 am
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I just like The Elegant Solution alot. You are going to see a Jack Covert Selects on it this month. This morning, I posted a podcast that I did with Matt a couple of weeks ago.

Here is another story I had not heard before:

According to neuroscientist Dr. William Calvin, author of Ascent of Mind, we’re hardwired with a natural ballistic ability–the innate and uniquely human ability to throw an object and hit a moving target. Only humans have the genetic ability to think ahead, to project ourselves into the future, and to launch a plan of attack that hits the objective.

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Matthew May/The Elegant Solution Interview

Filed under: Audio — Todd Sattersten @ 11:35 am
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This week’s interview is with Matthew May, author of The Elegant Solution: Toyota’s Formula for Mastering Innovation.

Toyota’s growing dominance in the automotive sector is not by luck or chance. Much has been written about the company’s operations and the Toyota Production System. What has been missing is a book that describes what Toyota’s management philosophy and innovation is at the heart of that.

Matt’s assignment from Toyota University was :

We need to translate the Toyota Production System for the knowledge worker. We really want to figure out how to bring the levels of employee productivity, engagement, continuous improvement and constant creativity found in our Toyota factories and warehouses to the corporate environment.

We talk about what innovation is, what qualities do organizations need to foster innovation, and how tension between measurements can create more innovative solutions.

mp3, 37:36, 25.8MB

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Tom Peters Is Crazy

Filed under: General Management — Tom Ehrenfeld @ 7:37 am
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In a good way of course. In this great post titled http://www.tompeters.com/entries.php?note=009343.php>Henry Mintzberg Is Crazy, Peters lauds Mintzbergs The Rise and Fall of
Strategic Planning
as probably my favorite management book of the past 25
years. In a rambling (Tom Peters? No!) post, Peters touches upon James
Bond, Peter Drucker, Herbert Simon, and more. Great quote:

The point of all this, relative to the German reporter’s comment about
Mintzberg, and implication about me, is that we are not “nutters.” We come
from a clear academic lineageand are simply recent manifestations thereof.
We both have contempt for the rationalists among us. (Mintzberg, amazingly,
may be a more vociferous critic of Biz Schools than I am.) Our “advice,”
such as it is, comes from the premise of the ineluctable mess with which we
(and our institutions) are permanently surrounded.

Jack, Todd and I all enjoyed this post. Personally, I love the way that
Peters uses his rich knowledge of business ideas to cite entire books as a
form of managerial shorthand. He can dig deep through a trove of managerial
know-how and point to a few key works, such as Mintzbergs book, as a way of
sharing key information in more than a simple sound bite. He is a master at
riffing on business books, extracting the core ideas and weaving them into
a cool short piece, in this case about the merits of mess versus the
benefits of policies.

However, on a personal level, I felt the attached pdf of a Peters
presentation weakened the power of his argument. I am a huge
Tom Peters fanbut Im not sure that I want to slog through what writer
Annie Lamott calls a shitty first draft of his thinking. After citing the
importance of chaos and looseness, Peters then undermines his point by
presenting a sloppy and unedited powerpoint meant to amplify this point.
Even the most powerful ideas about the power of spontaneity benefit from a
second draft.

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October 30, 2006

Innovation Games by Luke Hohmann

Filed under: Misc. — 800-CEO-READ @ 3:22 pm
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This piece comes from Luke Hohmann’s Innovation Games. It’s a guide that helps intiate collaborative play. Below, you’ll find the preface to Luke’s book followed by the game Remember the Future. Read and then play.

Preface

Innovation Games are fun ways to collaborate with your customers to better understand their needs. You can use them to discover new business opportunities, drive strategy and product road map decisions, improve the effectiveness of sales and service organizations, fine-tune marketing messages, and create more intimate, durable relationships with your customers. You can also use them to better understand the people that you care about the most, from your family and friends to close business colleagues. To illus-trate,
here are ways some companies and people have used Innovation Games:

Understanding complex product-relationships — When Wyse Technologies, Inc. wanted to gain a better understanding of how their customers perceived the business and technical relationships between the products and services provided by Wyse and those provided by other technology providers, they played Spider Web with a select group of customers at their Customer Advisory Board meeting.

Understanding product evolution – Rally Software Development had a more focused objective: they wanted specific feedback on how to prioritize features in upcoming product releases. After considering Buy a Feature, 20/20 Vision, and Prune the Product Tree, three games that help prioritize features, they ultimately chose Prune the Product Tree as the game that allowed them to best capture customer feed-back on their development plans.

Understanding sales needs – QUALCOMM used Product Box in an internal sales training exercise to identify critical customer success factors and relate these to product benefits. Another company, Ticket-master, used Buy a Feature in an internal sales meeting to prioritize the features that the sales team felt would help them accomplish their objectives.

Identifying areas for improvement – Aladdin Knowledge Systems, Inc., QUALCOMM, and Precision Qual-ity Software have all used Speed Boat to identify key areas for improvement in their product and service offerings.

Prioritizing market needs — Emerson -Climate Technologies provides the Intelligent Store, a broad and comprehensive architecture that combines unique equipment, software, and services to solve food safety, energy management, and facilities management needs. Emerson used Spider Web, Speed Boat, and 20/20 Vision at their 2006 Technology Advisory Council meeting to better understand market needs rela-tive to all aspects of the Intelligent Store.

Understanding hidden desires — Andre Gous’s stepdaughter Karen was having trouble finding just the right used car. Andre runs Precision Quality Software and is a recognized expert on various software re-quirements engineering techniques. Andre tried using traditional requirements engineering to help her clarify her objectives. Unfortunately, after 45 minutes, they were no closer to the goal of defining her ideal car, and Karen was starting to become a little frustrated with the process. Andre
tried Product Box, and in short order they had identified exactly what Karen was looking for in her “new” used car (you can read the entire story at the Innovation Games forum, www.innovationgames.com).

Creating strategic plans–SDForum is the leading Silicon Valley not-for-profit organization providing an unbiased source of information and insight to the technology community for 20 years. Laura Merling, Ex-ecutive Director of SDForum, used Remember the Future to create a five-year vision for how their organi-zation will evolve to meet the needs of new technology entrepreneurs in Silicon Valley and around the world.

These stories illustrate the broad range in which people like you, for professional and personal reasons, are using Innovation Games. You can use Innovation Games to accomplish these and other goals. If you use these games, you’ll come to understand what your customers really want. You’ll have fun doing it. Perhaps more importantly, they’ll have fun doing it. Armed with this understanding, you’ll be able to create the breakthrough innovative products that are the foundation of lasting success. This book will
show you how.

How This Book Is Organized

This book is organized into three parts.

Part One: The Why and the How of Innovation Games

Part One provides a comprehensive overview of Innovation Games. Starting with why you might want to play them in the first place, it will cover some of the different ways in which you can use the games and answer some of the common questions we get from people who are considering the games. Part One describes an easy-to-use process for -selecting, planning, playing, and postprocessing the results of a game in ways that benefit you and your customers. This process has been used successfully in many games. At the
end of Part One you’ll have the foundation you need to move forward with one or more specific games.

Part Two: The Games

In Part Two you’ll learn the details about each game, from “what makes the game work” to specific advice on planning, playing, and postprocessing the results. It is helpful to start by briefly skimming each game, making notes on how you might apply it. You’ll probably find that one or two games catch your eye more than the others. This is not an accident; these are the games most likely to help you address your most pressing concerns. Go back to these games and carefully read each one in detail. When you’re finished,
you should have a good understanding of how these games can meet your needs and how to modify the general process described in Part One to put them in action. Along the way, by reading about how other companies have used them, you’ll gain insight and inspiration about how you can apply these games.

Part Three: Tools and Templates

Part Three is designed to help you use Innovation Games by providing you with a variety of tools and templates to plan, play, and process the results of a game. It includes such things as sample invitation letters, general materials and supply checklists, advice on preparing event venues and facilitating the games, and frequently asked questions.

Forum for Readers, Game Players, and Facilitators

In addition to this book, the people who use Innovation Games have found creative ways to extend them and are sharing their experiences with others at www.innovationgames.com. I invite you to join this com-munity, share your own experiences, and provide help and encouragement to others. Most of all, have fun with what follows.

-Luke Hohmann,Founder and CEO, Enthiosys, Inc., lhohmann@enthiosys.com

———————————–

Remember the Future

Understand Your Customers’ Definition of Success

“What should our product do?” Ah, yes, the seemingly open-ended question that many times isn’t that open ended at all. Most of the time, what your product should do is some reasonable extrapolation of what it has done in the past. Your cell phone should have better signal strength, longer battery life, and be lighter. So should your laptop. And your car should be safer, faster, more stylish, and get better gas mileage. The question “What should our product do?” is therefore often trivially answered: “Your product
should be better.” Which should make you wonder, are you asking the right question? And are you asking it in the right way?

The Game

Hand each of your customers a few pieces of paper. Ask them to imagine that it is sometime in the future and that they’ve been using your product almost continuously between now and that future date (it could be a month, quarter, year, or, for strategic planning purposes, five years or even a -decade-pick a time frame that is appropriate for your research goals). Now, ask them to go even further-an extra day, week, month. Ask your customer to write down, in as much detail as possible, exactly what your product
will have done to make them happy (or successful or rich or safe or secure or smart; choose the set of adjectives that works best for your product).

Note: The phrasing of the question is extremely important. You’ll get different results if you ask “What should the system do?” instead of “What will the system have done?” (If you’re skeptical, just try it.)

Why It Works

This game is based on numerous studies in cognitive psychology that have examined how we think about the future. When we ask the question “What will our product do?” we’re left with an open-ended future, one in which every possible future is equally plausible. Of course, this isn’t strictly true, and to answer the question we will pick a possible future and describe it. However, the lack of a concrete outcome means that we don’t have to deal with the details of how our product will have done it. Others will tend
to judge our answers as “hollow” or “lacking substance,” because there is no requirement that this is actually the future that will materialize.

The results change rather dramatically when we alter the wording of the question. When we ask “What will our product have done?” we are thinking of a future event as one that already has occurred-”remembering” the future. Because this event is “in the past,” we must mentally generate a sequence of events that caused this event to have occurred. We not only have a more concrete idea of what the product did, we can begin to answer the question “How did the product do it?” Others will tend to judge our answers as
more richly detailed, more sensible, and more plausible, precisely because if an outcome or future is thought of as already accomplished, it can be more easily described.

This isn’t to say that the event we envision will actually occur, or that each customer who plays the game will generate the same result. Actually predicting the future is not really the purpose of Remember the Future (although if you have success in doing this, please let me know). What is important is that Remember the Future enables you to not only understand your customers’ definition of success, but also their understanding of how that successful outcome happened.

Remember the Future-From 1997!

I often use Remember the Future whenever I want to generate a detailed plan of how I’m going to successfully complete a project, from planning the release of a software project, closing a large or complex sale, preparing for a conference, or even planning an Innovation Game (as suggested in Part One). The earliest picture I have of using Remember the Future to help plan events is a Polaroid from Dave Smith, who facilitated this game for the Aurigin team in 1997 to plan the installation of a complex software
system (Figure 2.6 is a scan of that Polaroid). The project was successfully completed, in large part because this game enabled everyone to focus on the specific sequence of events that resulted in a fully deployed system.

Preparing for the Game

It helps to draw a timeline to make certain you’re really remembering a future event as if it were the past. In Figure 2.7, the current date is February 2. In step 1, we project forward into the future to March 30 and ask our customer to remember their use of our product as of March 15 (a date that is in the future).

Framing the Question

It can take time for a team playing Remember the -Future to become comfortable with the wording of the question. The best way to do this is to practice with both forms of the question for a given product. Let’s suppose that one of the benefits of your product is that it helps customers save money.

  1. Imagine it is one year in the future. How will our product save you money?
  2. Imagine it is one year in the future. How has our product saved you money?

Consider your own response to these questions. In the first form, you might find yourself wondering about the many possible ways your product could save money, but not feeling comfortable with any one way.

Contrast this with the second form of the question, in which you’re likely to start thinking of very specific ways in which your product saved you money.

Vary the timeline to get different results. If you want to understand more about your near-term product plans, choose weeks, months, or quarters. If you want to understand more about how customers envision very general topics or issues regarding strategic evolution, consider projecting a decade or more into the future.

Practice how you phrase the question and how you present the game to your customers. This is especially important, as outlined in the sidebar “Framing the Question.”

You can structure this game to deal with more than one question. This approach is suitable for strategic planning purposes, when you have multiple facets of the future that you want to explore. This also allows this game to scale to rather large group sizes.

Consider letting customers know about the broad topics you’d like to explore before the game to allow them to mentally prepare for the game.

Materials

  • One easel with flip chart paper for each group of customers playing the game, plus an additional easel for the facilitator

Playing the Game

Because this game is one of the easiest to play, there isn’t a lot of need for detailed advice. But don’t be misled by the simplicity of the game-the magic lies in the discussion of how your customers perceive their future. To get to this discussion, you can

  • Encourage customers to work individually, letting them know that at the end of the game each will be asked to present their results to the group.
  • Request that customers work as a group, which is useful for when you want a chosen group of customers to work together answering a common question. If you choose this option, appoint a group leader who is responsible for capturing the results of the group and being the spokesperson during the discussion phase.

It is the Richness of Detail That Matters

What distinguishes Remember the Future from simply asking about a future event is the level of detail that customers generate when answering questions framed in the future tense of the verb. Suppose, for example, that we’d like to get a sense about who will win the next FIFA World Cup.

The simplest way to frame the question is, “Who will win the next FIFA World Cup?” Asked this way, you’re likely to answer with just enough detail to justify your prediction: “France emerged as the lone European country to make it through the quarter-finals through a combination of excellent goal tending and solid free kicks. They easily won their semi-finals and turned in a great match in the finals.”

Framing it in the future-perfect tense results in, “Imagine that it is the day after the next FIFA World Cup. Who will have won?” You might also say France, but notice that right away your mind is drawn to answering why did France win? The easiest way to put your mind at ease it to answer that question. And the more detail you put into answering the question, the better you feel.

The end result is often more like, “France was the unlikely winner after a grueling set of matches played over several weeks. Their goalkeeper was spectacular in the first round, establishing the French team as the team to beat. In the quarter-finals, the French goal keeper made more than 12 saves, giving his team confidence to aggressively and relentlessly attack Brazil, resulting in the lone and deciding goal in the 80th minute of play. The aggressive play continued in the semi-finals, where the French outscored
Argentina 3 to nil. Finally, the combination of aggressive attacking and continued brilliant goal tending allowed the French to beat Mexico 2 to 1 in the finals.”

It is important to note that in both cases we can see plausible explanations of how the future will unfold. The second example, however, contains the rich and detailed explanations of the future that you can leverage to better understand your customers’ definition of success.

  • Encourage customers to work any way they choose, either individually or as a team.

During the presentation phase, give a few minutes for each person to describe his or her answers. Then explicitly invite other participants to comment on this particular version of the future.

Processing the Results

The primary processing step for this game is to compare your current product development road maps with your newfound understanding of how your customers perceive their future. The following areas are worthy of exploration:

  • To what extent do your road maps result in a product that meets your customers’ perceptions of their future requirements?
  • To what extent do your customers’ -vision of their future significantly alter your plans? How? Why?

———

This excerpt comes from Innovation Games: Creating Breakthrough Products Through Collaborative Play by Luke Hohmann, published by Addison-Wesley Professional, Copyright 2007 Luke Hohmann

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Local Coverage for Carly Event

Filed under: Uncategorized — Todd Sattersten @ 1:42 pm
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Here is the story that ran Saturday in the Milwaukee Journal-Sentinel about Carly Fiorina and her talk.

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Michael Lewis Channels The Wisdom of Bill Purcells

Filed under: General Management,Human Resources/Organizational Development,Leadership — Tom Ehrenfeld @ 11:16 am
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For folks like me who still consider Michael Lewiss Moneyball one of the top five books ever written on developing talent, his new book screams for
my reading time. And in the meantime, how about this great quote taken from Lewiss article What Keeps Bill Parcells Awake At Night (This appeared yesterday in the new New York Times Sunday sports magazine, titled Play):

At halftime theres no chance for a speech several of the Cowboys reappear
on the field four minutes after they left but Parcells has taken
precautions. This morning, before the game, he called a meeting of the
players without the assistant coaches. I dont want to talk with the
coaches around, he told me beforehand. I want the players to know that I
am trying to make a point. This morning, he broke into his personal binder,
took out the story of Vito Antuofermo and read it to his players. All week
long it wasnt strategy that occupied him; it was character. Theres a
tendency to believe that, to be successful, a pro football coach must have a
gift for the chessboard aspect of the game. But strategy isnt what chiefly
interests Parcells. His success depends on his ability to demand, and to
receive, higher levels of performance from his players. He doesnt say so
explicitly, but his actions speak for him: he spends much more time thinking
about getting inside his players heads, and their skins, than about
anything else. He tries to make them uncomfortable. On a baseball team or a
golf team, this sort of pressurized approach might lead to a team-wide
nervous breakdown. In football at least for him it works magic.

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October 27, 2006

Carly Talks About Tough Choices

Filed under: General Business,General Management — Todd Sattersten @ 3:08 pm
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Carly Fiorina Book Signing

I just wanted to thank everyone who attended our morning event with Carly Fiorina. She gave a great talk on change, management, and leadership. After the speech, Carly signed books of all the attendees.

I want to thank all of the folks at Portfolio allowing us to be a part of the tour.

Stay tuned for our 2007 plans…

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China Shakes The World wins Book Award

Filed under: Global Business,Publishing Industry — Todd Sattersten @ 5:00 am
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China Shakes The World by James Kynge is the 2006 winner of the Financial Times & Goldman Sachs Book of The Year Award. Read the coverage here.

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October 26, 2006

Carly Fiorina in MKE tomorrow

Filed under: Misc. — Todd Sattersten @ 1:13 pm
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Here is our one last mention that Carly Fiorina will be at the Midwest Airlines Center in Milwaukee tomorrow. The breakfast starts at 7:30am tomorrow. Tickets are available at the door for $45.

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Bill Taylor Interview from OnMilwaukee.com

Filed under: General Management,Innovation,Marketing — Todd Sattersten @ 11:00 am
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I wanted to repost the great interview that our friends at OnMilwaukee.com did with Bill Taylor. They wrote this leading up to the live event we had two weeks ago.

On Thursday, Bill Taylor, one of the co-founders of the cutting-edge business and lifestyle magazine, Fast Company, is in town talking about his new book “Mavericks at Work: Why The Most Original Minds in Business Win.” He collaborated with former Fast Company colleague Polly Lebarre on the project.

OnMilwaukee.com is a media sponsor of Thursday’s event, and took a few minutes to get Taylor’s take on media, business and his book.

OMC: Define success.

Taylor: I’d never suggest that my definition of success should be anyone else’s definition, but here’s how I think about it: Can I make use of my natural talents to do work that means something to me, that makes even a little bit of a positive impact in the world, and that creates something of value in the marketplace? I firmly believe that there is an iron-clad connection between the values you believe in and fight for — as a company or as an individual — and the economic value your create. That’s how you do your best work — and how material success also feels like “real” success.

OMC: What two albums do you need on your iPod for a long trip?

Taylor: I am the world’s most passionate Bruce Springsteen fan — I have a bootleg of the famous 1975 Milwaukee “bomb scare” show at the Uptown Theater. So my first choice has to be a Bruce album, probably “Darkness on the Edge of Town.” Second album has to be Bob Dylan’s “Highway 61 Revisited.” I know, I’m showing my age. Hey, the truth hurts.

OMC: Does a “rise in tides lift all boats?”

Taylor: The answer is no, both in business and society, I’m afraid to say. The story of our times is the “disappearing middle.” Everywhere I look, whether it’s in the computer business or the auto business, or whether it’s in society itself, there seem to be big winners, big losers and not a lot of companies or people just moving along in the middle. That’s why the stakes are so high — and why it’s so important to think hard about how you compete as a company and work as an individual.

OMC: How do companies turn ideas into money?

Taylor: Actually, the only way to win big in the marketplace today is to stand for something distinctive and disruptive — to stand for a powerful set of ideas. Every industry in the world is plagued by overcapacity, oversupply and utter sensory overload. We already have too much of everything — cars, computers, cell phones, banks, you name it. In this kind of hyper-competitive environment, the companies that thrive are the ones with a distinctive point of view.

Think Southwest Airlines, Pixar Animation Studios, Starbucks Coffee Company. As one of our maverick CEOs said, “Every great company has reinvented the business that it’s in.” That’s why ideas matter. The only sustainable form of business leadership is thought leadership — generating better ideas and making smarter adjustments than the competition.

OMC: What’s next for media?

Taylor: More choices, more grassroots participation, more variety in every way imaginable. That said, I am not one of the blog-crazed cheerleaders for the demise of the so-called mainstream media. For the life of me, I can’t figure out why the Wall Street Journal and the New York Times and the Los Angeles Times can’t figure out how to become incredibly prosperous businesses — Google and Craigslist notwithstanding. But whether or not they succeed as businesses, as a society we can’t afford them to become shadows of their former selves. No other institution has the brainpower, the time, and the resources to figure out what’s really going on in the world. To all those bloggers out there who like to dance on the grave of the mainstream media I say, be careful what you wish for…you might just get it.

OMC: Any suggestions for the owners of OnMilwaukee.com?

Taylor: I learned a long time ago not to offer detailed advice on other people’s businesses — they quickly realize how little you really know. So I’d suggest that you keep asking yourself a small number of questions that I believe are at the heart of being a maverick:

Is there a distinctive and disruptive sense of purpose behind everything you do?

If you went out of business tomorrow, who would miss you and why?

Why would great people want to be part of your organization?

Do you work as distinctively as you compete?

OMC: How has competition changed?

Taylor: Competition is both more intense and more lackluster than ever before. Intense in the sense that in every industry, there are more rivals, from more parts of the world, offering better products, at lower prices, with better quality than at any point in human history. Think about how much computing power you can buy for two thousand bucks. Think about how cheap it is to make a cell phone call or send an e-mail. And yet, competition is lackluster in the sense that most big companies in most industries seem to compete in identical ways. How is it that all cars look so alike, or that all airline service is so lousy, or that every TV network copies from every other TV network? That’s why this hyper-competition opens up so much room for mavericks. If you do something truly different, people notice.

OMC: Who is your pick to win the World Series?

Taylor: I am lifelong New Englander, which means I’m a die-hard Red Sox fan. So my only must-have in the Series chase is for the Yankees to lose. That said, I am both picking and rooting for the Oakland A’s. They’ve got the “maverick” approach to building a team — they can’t outspend the competition, so they out-think the competition. Plus, Billy Beane, the general manager of the A’s, did a great blurb for our book — so rooting for his team is the least I can do. Go A’s!

OMC: Finally, why should I buy your book?

Taylor: Because it offers new and exciting and compelling answers to some of the most basic questions in business — questions that are center stage for entrepreneurs, executives in big companies, even people running a business on the Internet or out of their house. What does it mean to have an effective strategy — how do you create value in the marketplace? How do you forge enduring connections with customers — how do you stand out from the crowd when the crowd gets bigger, better, and louder every year? How do you unleash innovation — where do ideas come from? How do you win the battle for talent–how do you attract more than your fair share of the best people in your field.

This is both a how-to book and a what-if book. It is meant to persuade people of the power of business at its best — and we think the companies and characters we discovered in the course of research deliver on that promise.

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