Guiding Principles

I admire organizations that have a strong corporate culture, which usually begins with a clear sense of purpose. In some cases, it's a "mission statement." In other cases, it's a statement of values or guiding principles. You might even call it a conscience. Regardless of how it is defined, it is critical. It's certainly no coincidence that the most successful companies infuse these principles into everything they do.

It's hard to believe you can boil a company like Nike down to 2 words, but they can: Nike claims to Bring Inspiration and Innovation to Every Athlete in the World. Meanwhile, the BBC asks potential employees to test their personal values against the company's to determine whether the candidate would fit in (Take the test here). In Kansas City, Sprint promotes its value internally as a "single, ownable idea," while other companies, like Disney, go so far as to implement "service standards," defining not only what they do, but how they do it.

It all starts with a clear understanding of WHAT the organization does- and better yet, WHY it matters. This is where the company finds its value. I'm always suprised by how many organizations get by without a clear sense of purpose. Instead of empowering employees to be creative and collaborative, purpose-less organizations breed employees who are often risk-averse, siloed and territorial. Yet, for those with a clear and well-articulated purpose, the best organizations go a step further by not only defining the WHAT and the WHY, they also articulate HOW their mission will be manifested. This permeates all levels from the chief executive to the entry-level hourly.

Fortune Magazine annually lists the 100 Best Companies to Work For, including Google (this year's no. 1) and Kansas City's very own American Century Investments (no. 15). A common thread? Every company on the list provides its employees with a clear purpose, and they are rewarded with loyalty and productivity- which is just as good for morale as it is for the bottom line.

Graduation Speech

This past weekend, I was invited to give the graduation address at Ellinwood High School, in Central Kansas. The principal there invited me after hearing me speak at a Kansas Honors Banquet. It was humbling, especially when I discovered one of the student speakers I had to follow was a 6-time state champion in forensics (i.e. public speaking). A tough act to follow.

Speaking to this generation is tough. Their sense of history is very different from mine. For instance, they've known nothing but war in their lifetimes, being born into the Gulf War. I struggled to think of the most significant events of the past ten years that were not tragedies- there were only a few. Still, this group brings more hope and optimism for change than the generations that preceded them. Expectations for the Class of 2007 are high. An excerpt from the opening of my speech is below:

And now seniors, the class of 2007, I want to address you for a while. After all, today is about you- and all about what’s next. But I’ve got news for you- yesterday was all about you too. And tomorrow… well, I’ll get to that in a minute.

It’s a lot to take in, with families in attendance, you’re sitting there with your friends, you’ve got after-parties to think about. I recognize the important role of the commencement speech- in that it will be forgotten as soon as I leave the stage. With apologies to Abraham Lincoln, who stated at Gettysburg: “The world will little note nor long remember what we say here.” Still, “it is altogether fitting and proper that we should do this.”

Or perhaps it would be just as meaningful to quote another influential figure of modern history. As Ferris Bueller said, on the occasion of his momentous “Day Off:” “Life moves pretty fast. If you don’t stop and look around once in awhile, you could miss it.”

Members of the graduating class, I implore you- on this day- to stop, and look around. Life does move pretty fast. And you don’t want to miss what’s next.

To read the entire speech, click here.

LIVESTRONG DAY 2007

Today was LIVESTRONG DAY, when the Lance Armstrong Foundation (LAF) mobilizes thousands of cancer survivorship advocates throughout the country. Delegates from every state met with elected officials in Washington D.C., while hundreds of local events took place across the country- all organized by volunteers.

A quick glance on the LAF web site showed there were no events organized in my community, so I immediately thought of what I could do. Surely I could do something. Anything. At the very least, I could hand out LIVESTRONG wrist bands and tell local school children about Lance Armstrong's amazing story.

Sure, cancer is a weighty subject for kids, yet it affects 3 out of every 4 families in America. How do you talk about cancer with kids? At least Armstrong's story provides an optimistic- even inspiring- way to look at the disease, so I attempted- after reading one too many Dr. Seuss books- to tell it in verse. Here's an excerpt:

Lance finally got better, but it took awhile
When he was all better he just had to smile

The doctor said "Wait, I want you to know
Your cancer could always come back tomorrow."

Lance said, "Okay, there’s just one thing to do:
We’ll have to fight cancer, but I’ll need your help too."

(Read entire story here)

After reading to my daughter's class of 4 and 5-year-olds, I showed them a video sent by the LAF, then collected penny donations from the class to help fight cancer. Everyone who donated will receive a yellow LIVESTRONG wrist band from the LAF. It's not much, but it's something. And who knows, maybe one of these kids will cure cancer one day.

Mac or PC?

"Hello, I'm a Mac."
"...And I'm a PC."
Apple's brilliant ad campaign, which starts with this simple exchange between two actors, attempts to assign personality traits to both Apple's core products (no pun intended) and their competitors' products, such as a Microsoft's recently-released Vista operating system.

It works for two reasons. Apple exploits what has been a foundation of the brand since its inception- it has personality. In fact, Apple's brand essence is so easily defined, practically anyone could tell you. Apple computers are fun, easy to use, well-designed and powerful. That's all they've ever been. That's why they are one of my "Best Brands." In fact, they have so successfully branded themselves in the industry, that they have defined it- bringing me to my next point.

Quick- name another industry that defines itself by whether you have the minority market-shareholder product vs. everything else? I can't do it. Do you use Skippy or peanut butter? Do you drive a Honda or a car? Perhaps in an industry with a dominant leader in terms of mindshare (Harley Davidson?) this is possible, but Apple has done what few companies could ever dream of doing- differentiating themselves to the point of defining the category for consumers. Try to purchase software, a computer game or a peripheral and odds are the first question you'll get asked is "Mac or PC?"

In reality, a computer from Apple is still a PC (remember, that's a personal computer), it just doesn't run Windows (well, except that it can), nor is it a UNIX box, nor can it run Linux, etc. (well...). Anyway, by now you get the point. Macs are different. Apple is different. And they're for people who are different. Which of course begs the question- are you different or are you just like everybody else?

Starbucks: A best Brand

I'm currently reading Joseph Michelli's book "The Starbucks Experience" to gain insights on how such a well-branded company carefully crafted its image. Michelli wondered too, and when he approached Starbucks about his idea, he was surprised to receive full support and unfettered access at all levels. Such openness may be suprising at first glance, but that alone tells you everything you need to know about Starbucks' success; Everyone from the CEO to the baristas behind the counter embody the brand with clarity, consistency and passion.

Wait a minute here, I thought we were just talking about coffee? Exactly. Passion is critical, whether you're curing cancer or just making a cup of coffee. Communicating passion, however, is easier said than done. That's why I am enjoying this book. Filled with nuggets on employee empowerment strategies, complete with great anecdotes, one statistic jumped off the page. Long considered one of the nation's best employers, with an employee (Starbucks calls them "partners") satisfaction rate at an unheard of 82%, Michelli writes:

"But the treatment that partners receive at Starbucks goes well beyond stock options and health insurance. For example, partners are given extensive training in product knowledge, guiding principles for success, personal empowerment, and the importance of creating warm customer experiences. In stunning contrast to most Fortune 500 companies, Starbucks consistently spends more on training than it does advertising" (page 8).

Makes sense. The most effective marketing is a positive customer experience, which in this case goes beyond just premium coffee. That is why Starbucks remains a dominant market leader despite new competition from unlikely sources like McDonald's and Dunkin' Donuts. While taste tests may induce trial, it's the "Starbucks Experience" that has solidified their market position and makes Starbucks a Best Brand.