Thursday, December 17, 2009

Roy E. Disney, Walt's Nephew Dies at Age 79

Yesterday, Roy Edward Disney died of stomach cancer. Although he lived in the shadow of his famous uncle and father Roy O. Disney, he never wavered in his commitment to protect their legacy of creating arguably the most powerful entertainment empire of all time. As chairman of Disney animation, Roy E. Disney helped guide the studio to a new golden age of animation with an unprecedented string of artistic and box-office smashes that included The Little Mermaid, Beauty and the Beast, Aladdin and The Lion King. He was executive producer of Fantasia/2000, the sequel to the 1940 Disney classic, and the 2004 Oscar-nominated Destino, based on a 1945 collaboration between Walt Disney and Spanish painter Salvador Dali.

In the years after Walt's death in 1966 and his father Roy's death in 1971, Roy E. became disillusioned the Walt Disney Co., which he likened to "a real estate company that happened to be in the movie business." The company had let its feature animation film business, once the cornerstone of the company, go into a freefall. The company, Roy would later say, had lost its "creative drive."

As we write in The Disney Way..."After Roy's (Walt’s brother) death, the financial and creative growth of the company came to a standstill. During the 18 years between Walt's death in 1966 and Michael Eisner's entry as CEO in 1984, a simple question would be asked among the ranks before any decision was made: ‘What would Walt do?’

In 1984, Roy (Walt’s nephew) convinced the board to hire Michael Eisner as CEO and Frank Wells as president and COO. Eisner and Wells were consummate decision makers and quickly began to transform the sleepy little movie studio into a global entertainment enterprise now worth over $50 billion.”

Upon taking over as chief executive, Eisner asked Roy what he wanted to do. Disney responded that he wanted to revive the company's sagging animation division where morale was at an all-time low.

Fortunately, Eisner granted Disney his wish. It was Roy who persuaded Eisner and Wells to invest about $10 million in a digital ink and paint system developed by Pixar. As you can read in Innovate the Pixar Way, the early Disney-Pixar relationship laid the foundation for the soon-to-be-made fortunes of both organizations in the world of computer-generated animation. Although Michael Eisner is credited with much of the Disney turnaround in the 1980s-1990s, Roy was one of the first to realize that Michael Eisner had morphed into what we term a "hero to zero" in The Disney Way. In Chapter 12 of The Disney Way, we describe the events that we believe led to Eisner's demise. For a complete history of the “fight of the century” that prompted Roy to remove himself from the company’s board of directors, you can also read James Stewart’s Disney Wars.

In Pixar’s Blog of August 19, 2008, it is written….
“I need not remind anyone familiar that the latter part of Eisner's employment was marked by extremely bad decisions that deeply threatened the company. The suit-produced movies. The sequels-mill atmosphere. Eisner endangered Disney and its shareholders by letting his great personal dislike (to say the least) of then Pixar CEO Steve Jobs cloud his business sense, putting the relationship with Pixar into serious jeopardy. Had Disney shareholders not revolted, Disney/Pixar would almost definitely have been history, leaving Disney in a very tough situation. Fortunately they did, being led by Roy E. Disney, –who coincidentally now chairs the Disney Legends committee– and, natch, the rest is history.”

Clearly, Roy Disney was passionate about protecting "the happiest place on earth." When Bob Iger stepped in as president in late 2005, he invited Roy to return to the board of directors in an emeritus role and as a consultant.

Chief creative officer for Walt Disney and Pixar Animation Studios, John Lasseter commented, "I really credit Roy Disney completely with the renaissance of Disney animation, beginning with Little Mermaid and all the way through that great amazing series of classic Disney films."

A year ago, we were on the Disney Magic sailing the eastern Caribbean and Roy happened to be onboard promoting his film, Morning Light - the story of a real-life crew training who competed in the 44th Transpacific Yacht Race aboard a TP52 class yacht, Morning Light, owned by Roy. After we watched the film’s debut in ship’s magnificent Walt Disney Theatre, we had a chance to hear Roy speak during the Q & A session and also had the opportunity to meet him afterwards. We found him to be gracious and unassuming… following his own passions, yes, but still remaining a true force in the entertainment empire built by his famous uncle and father. Roy’s passing marks the end of an era. But the values that Walt, brother Roy and nephew Roy so passionately upheld will hopefully guide The Walt Disney Company for years to come.

Wednesday, December 16, 2009

Win an Amazon.com Gift Card - New Pixar Book!

Enter to Win McGraw-Hill’s Holiday Sweepstakes for FREE Books (Innovate the Pixar Way and others!) and Prizes! Hurry -- contests end 12/18! http://bit.ly/6iwJn9

Monday, November 30, 2009

CONGRATULATIONS TO BILL

Bill is in the running (Top 5) to win "Best Speaker/Management," an annual contest conducted by a prominent speakers bureau, Speakings Platform. If you'd like to vote for him, you can do so at:
http://www.speaking.com/top5.php. If he wins, he gets special perks and great placement on their website.

Every little bit helps! THANK YOU!

Sunday, November 29, 2009

INNOVATE THE PIXAR WAY - INTERVIEW WITH THE AUTHORS


'Innovate the Pixar Way' — West Olive is home to business consultants, authors of new book
By BEN BEVERSLUIS
The Holland Sentinel
Posted Nov 28, 2009 @ 08:15 PM
Ottawa County, MI —
First came The Disney Way, Harnessing the Management Secrets of Disney in Your Company, a Fortune Magazine Best Business Book of 1999.
Now Bill Capodagli and Lynn Jackson are the authors of Innovate the Pixar Way: Business Lessons from the World’s Most Creative Corporate Playground, released Friday.
The two are spreading Pixar’s West Coast message across the United States from our very own West Coast of Michigan. They live and write in West Olive. And in April, their book will be featured as the keynote business presentation for the Holland Area Arts Council.
Below, they talk with The Sentinel about themselves, their book and business in West Michigan.

Question: You have a national presence in the business world, but live in West Michigan. Tell a little about yourselves — who you are, what you do and, mostly, how in the world you ended up here?

A: Bill — I grew up in the Chicago area and earned degrees in economics and mathematics from Illinois State University. I spent five years in the insurance industry and over 30 years in management consulting. From 1981 to 1984, I consulted for Sealed Power (now SPX) in Muskegon. During that time, I was living at the Spring Lake Holiday Inn five days a week, and fell in love with the area. Lynn and I met when, as members of the faculty of the University of Southern Indiana, we launched their business consulting initiative. At that time, we began teaching The Disney Way principles to an international client base. In 1993, we formed Capodagli Jackson Consulting. In 1995, when we began to write The Disney Way, we searched for a tranquil getaway to do our writing. Bill brought Lynn back to West Michigan to witness firsthand the beauty and peacefulness of the area, and she was instantly captivated. That year, we purchased our home on the lake in West Olive.

Q: Which Pixar characters are each of you?

A: Bill — Doc from Cars; Lynn — Sally from Cars They both embraced an environment of mutual respect and trust at Radiator Springs.

Q: You earned a national spotlight with the 1999 best-seller The Disney Way. How did that book change your lives?

A: Prior the writing The Disney Way, we helped clients create collaborative, customer-centric, innovative cultures. We would work with executives and teams over a period of two to four years to help them transform their organizations. After the success of the book, our business shifted from 10 percent speaking engagements and 90 percent long-term consulting engagements to 90 percent speaking engagements and 10 percent consulting. Our speaking engagements vary from 30-minute keynote presentations to three-day seminars on leadership, customer service and innovation.

Q: The Disney Way, now Innovate the Pixar Way. Sounds kind of “left coast.” And yet your roots are firmly planted here in the Midwest. Talk about any difficulties — or advantages — of that perspective.

A: One of our discoveries during our vast international team development experience is that the shared values of people from different nations greatly outweigh their differences. Similarly, we have found through working with teams from all around the U.S. that they have more in common than the stereotypic perception would lead you to believe. It makes no difference whether a person is from India or Brazil or Los Angeles or Holland, Michigan, all human beings want to be respected, trusted and their ideas valued.

Q: The world already has untold numbers of business advice books. Why another one? What’s new under the sun?

A: Ask any child to talk about Woody and Buzz Lightyear, Nemo or Lightning McQueen, and you will believe you’re hearing a story about a trusted friend. These characters were born in the corporate playground known as Pixar. Today, any organization has two choices … they can either provide boring, unimaginative products and services that any of their competitors can copy, or they can create 3D Technicolor, innovative, magical experiences for their customers that only they can provide. And what better example than Pixar, with 10 blockbuster hits in a row grossing well over $5 billion and costing a little over $1 billion to make? Innovate the Pixar Way brings to life how Pixar has established a culture that breeds innovation. Innovation does not come from a miraculous revelation on the road to Damascus. It comes from habitual, non-stop, Pixar-style collaboration!

Q: You don’t have to give away the whole book for free, but tease us with a few of your favorite lessons from Pixar.

A: There are 13 chapters in the book and an appendix highlighting six other “corporate playgrounds.” The book is filled with Pixarian ideas. Here are five ideas you can put to use immediately:
• Begin with the story. Don’t just rework your old and boring product or service — destroy, demolish, eradicate it! Then, once you have totally wiped out the old, think like a director of a play and visualize the major pieces of the production. It all begins with the story that emotionally connects you and your product with your customer.
• Instill mutual respect and trust. Pixar cofounder Alvy Ray Smith told us, “If you are going to have really talented people, it is important to have mutual respect and dignity across organizational lines.”
• Make work fun. Pixar director Andrew Stanton has great advice for preventing emotional burnout. “Laugh hard, twice daily.” Fun is a key element in creating an innovative environment.
• Collaborate. Collaboration at Pixar means bringing together the skills, ideas and personality styles of an entire team to achieve a shared vision.
• Quality is the best business plan. This is the mantra of John Lasseter. Never compromise quality… you do, you’re dead in the water.

Q: Sure, the movie business needs innovation. But how does it apply to making seat liners — or newspapers, for that matter?

A: Innovation is critical to every business. Did you ever wonder why it took so long for the fast-food hamburger business, started by White Castle back in 1912, to become such a staple of the American way of life? It took a creative visionary like Ray Kroc, who was influenced by another visionary — Henry Ford and his assembly line production innovations. Likewise, the discount department store has been around for more than a century; Woolworth dime stores date back to 1879. Again, it took creative visionaries like Sam Walton and West Michigan’s own Fred Meijer to revolutionize the one-stop shopping experience. Creativity abounds in all organizations — they simply have to unleash it.

Q: West Michigan industry was built on some significant innovation: Steelcase, way back when, Herman Miller, Haworth, BuhlerPrince. What are your thoughts about them and how they’re doing?

A: For the second consecutive year, Herman Miller has the distinct honor of being named to Fortune magazine’s 100 Best Places to Work For. They are one of three Michigan-based companies to appear on the list and the only representative from the office furniture industry. Brian Walker, Herman Miller president and CEO, endorsed Innovate the Pixar Way. Herman Miller’s culture is like Pixar is many ways - collaborative, risk-taking, great employee spirit and a dedication to quality no matter what.

Lynn: As a board member of the Holland Area Arts Council, I have been so fortunate to be part of a network of many of the most innovative leaders and champions of the arts in our community. Although it’s clear that most local organizations have been seriously affected by the economic turndown, our hope is that these innovative leaders will be well positioned to grow when we emerge from this uncertain business cycle.

Q: We hear from the governor, from MEDC, from Lakeshore Advantage that innovation is badly needed for Michigan’s future. No secret there. What do you see for West Michigan’s future, “to infinity and beyond?” Any bright spots?

A: We believe that innovation needs to be stimulated at the grass roots level — innovation comes from collaboration within organizations, not from government stimulus. For example, Lee Iacocca took over as chairman of Chrysler in 1978 and orchestrated a government $1.5 billion loan. However, he was afforded the freedom to innovate, the result being the first of the K-Car line, the Dodge Aries and the Plymouth Reliant and in 1983, the first minivan. The minivan went on to lead the automobile industry in sales for 25 years. As a result of these innovations, Chrysler was able to repay the government-backed loans seven years earlier than expected. Today, the government seems to be creating an environment of control rather than innovation. Creativity demands awareness — attention to managing the failures that happen on the path to success. The reason this is such a daunting task for most organizations is that they bog down in bureaucracy, hoping and praying a problem won’t turn into a crisis or going on a witch hunt to find someone to blame. Creative people in any industry must learn that failure really is, as Pixar University Dean Randy Nelson put it, “that negative space around success.”

Q: Where can you learn more about how to implement the Pixar principles in West Michigan?

A: The Holland Area Arts Council is hosting the keynote presentation, Innovate the Pixar Way, at the Pinnacle Center on April 20, 2010. For more information, please contact the HAAC at (616)396-3278.

Sunday, November 8, 2009

Dare to Make a Difference – A Tribute to a Legendary Educator: Jan Drees 1946-2009

As we were preparing to write this week’s blog, we received the sorrowful news of the death of our dear friend Jan Drees, founder and retired principal of the Downtown School of Des Moines, Iowa. We featured Jan and her tremendous leadership at the Downtown School in our 2007 revised edition of The Disney Way. Bill first met Jan in 1999 when he was the keynote speaker at Des Moines’ Business Expo. A few days before his keynote, Jan called our office and asked if Bill could address the school board while he was in town. She wanted her colleagues to learn how Dream, Believe, Dare Do -- The Disney Way principles -- applied to the field of education.

Bill told Jan that he had some definite opinions regarding the problems in public education, and cautioned her that his message might ruffle the feathers of her board members. This was exactly what Jan Drees wanted to hear! To say the least, Bill does not believe in a conventional approach to teaching. Ever since 1983 when the National Commission on Excellence in Education declared the US “a nation at risk”, Bill has championed a learning model that is still contrary to that of the public school system. When Bill and Jan realized they shared the same passion for reinventing the traditional model of education, a bond was formed between them. Jan once told us, “I look for teachers who do not want to be the power person in the classroom. I don’t want teachers who feel ‘I’m the boss, you’re the student, now go sit down.’ I want teachers who are child-centered!”

Fortunately, Jan had a great deal of support in her hometown of Des Moines. In 1990, her Downtown School “dream” became the focus of a partnership between the Des Moines Business Alliance and the Des Moines School District. Jan was named executive director of the Alliance and spent three years researching what worked and what failed in other institutions. Jan said, “The research is clear: When you give students an experience, the learning is much more memorable – much better than if they read it or hear a lecture.” The Downtown School was a true collaboration between business, the school district, teachers, students and parents. This consortium took the best-of-the-best and created the Downtown School. Launched in 1993 with 45 students, the Downtown School’s premise was that everyone is there to learn by true experience and discovery. Jan and her team created a world- class learning environment. In their first two years of operation, 2038 educators, school board members and business people visited the Downtown School from 22 states and 10 countries. When Jan retired in 2006, there were nearly 300 students enrolled and 900 on a waiting list.

On the issues of hiring teachers, challenging tenure agreements, parent participation, grading, and drugging students with Ritalin who suffer ADHD (When we initially interviewed Jan, she told us that she had only one student who was taking Ritalin; the national average would have suggested 15!), Jan dared to challenge conventional educational “wisdom.” In The Disney Way, you can read more about the phenomenal results of the Downtown School.

After Jan’s retirement from the Downtown School, she became known for her work with the Great Ape Trust of Iowa whose mission is to “provide sanctuary and an honorable life for great apes, study their intelligence, advance their conservation and provide unique educational experiences about great apes.” Jan was their K-12 education director who helped create the Great Ape Academy. The Academy, an interdisciplinary education program -- the only public education program of its kind in the world -- grants more than 1,000 Des Moines school students the opportunity to learn more about great apes and related topics. As Jan stated at the official launch of the Academy in 2007, “the education program will introduce students to real-world problems, require them to seek solutions and inspire them to become the scientists of the future. Students want to be involved in solving problems, and they have worthwhile, valuable ideas about how to do that.” she said. “They are going to be handed serious, complex issues, and they will learn that the choices and decisions they make today will have an impact on the Earth and its inhabitants.”

Jan Drees certainly made an impact on this Earth and countless inhabitants –we treasure the impact she made on our lives, both personally and professionally. Jan’s dear friend, former assistant principal of the Downtown School, and current director of the Business/Education Alliance’s Professional Development Center, Renee Harmon, was the one who contacted us to tell us that Jan had passed on. We were unable to attend the funeral this past week, but Renee graciously described Jan’s visitation, vigil service and funeral to us. A few of Renee’s words seem fitting to repeat here: “a room filled with flowers and honors from those throughout the country. . .stories of Jan…words of love, respect and wisdom. She would have been humbled by their words and would have disliked being the center of attention, but what an honor to have so many love and respect you. A traditional catholic funeral. . .the room filled with past students, parents and teachers from the Downtown School. . .business and community leaders added to the number who honored her service and life of love…What a tribute…

If you are a business leader, why should you be concerned about the quality of education? For one thing, it makes good business sense. Businesses spend an estimated $3.7 billion a year on remedial reading, writing and mathematics skills for high school students entering the workforce. The Alliance for Education reports that nearly 33% of incoming college freshmen have to take some form of remedial reading or mathematics classes. The national high school graduation rate is 69.2%. We are not only failing our students… we are failing our teachers as well. Fifty percent of new teachers leave the profession within their first 5 years. Turnover is costing our public educational systems over $7 billion a year. Insanity may be defined as “doing the same thing and expecting different results.” That is what school districts have been doing for decades! How many of your businesses could survive with just a 69.2% production yield and 33% customer defect rate? We can’t just copy old, boring, ineffective ways of teaching—we need to destroy, demolish, eradicate, nuke, vaporize and zap the educational system! Then, as Jan Drees did, create a 3D Technicolor, unique, memorable, engaging educational experience for students, teachers and parents.

As leaders in the business community, let Jan’s legacy inspire you to dare to make a difference. The future of our country is on the line, the US is still “a nation at risk.” We need to learn from Jan’s example and continue her legacy of excellence in education whenever and wherever possible. You can make a difference in your community’s educational system with non-stop collaboration; the courage to challenge conventional wisdom; trust and a mammoth dose of respect for your collaborators.

Friday, October 30, 2009

Why Collaboration is Important in Schools and in the Business Workplace – The Pixar and OMA Models

Last week, we addressed the importance of unleashing your childlike potential by trying something new, learning from the experience (yes…even failing!) and trying again. This is one of the hallmarks of Pixar’s phenomenal success that we reveal in the soon to be released Innovate the Pixar Way – Business Lessons from the World’s Most Creative Corporate Playground. The Tucson Unified School District’s (TUSD) Opening Minds through the Arts student achievement program (OMA) is a fantastic example of how to unleash the true potential of our greatest treasure – our children. (If you have not visited edutopia.org to watch these students in the learning process, you are missing something great – what they can teach us is amazing).

This week, we will reveal another hallmark of Pixar’s success formula -- collaboration. And, we’ll share why the OMA student achievement program is a shining example of Pixar-style collaboration in the public school system!

When you think of the term “collaboration,” you might be thinking about networking, cooperation, coordination and or partnerships. While these may seem like synonyms for the term, actually each has unique differences:

Networking: an informal sharing of information with loose links between individuals; usually informal communication; no decision making and little, if any, leadership.
Example: trade shows, professional society meetings

Cooperation: central body of individuals collected together to ensure that some task is completed with formal links and structured communication; complex decision making with multiple leadership often representing conflicting agendas.
Example: Design and implementation of a new software system requires cooperation between user departments and information technology to complete the task. They rarely share a common vision and often have conflicting objectives.

Coordination: multiple groups of individuals with clearly defined roles; communication is usually on an as-needed basis; autonomous leadership and decision making within each group.
Example: On an automotive assembly line, the car body must be completed before the door assembly can be attached. Obviously, these two departments must coordinate their efforts.

Partnerships: multiple groups coming together willing to share ideas and resources; roles are usually formal, but communication often informal; leadership is shared with formal decision making among members. Example: Packaging vendor and production line managers work together to optimize packaging requirements and efficiencies.

Now for Collaboration: one group with a shared vision; spontaneous communication where ideas are freely shared; consensus decision making with highly trusted and trusting leadership.
Example: New product development team with dedicated representation from engineering, marketing, finance, procurement, etc. A team in which members rally around a common vision rather than their individual departmental objectives.

At Pixar, the mantra “art is a team sport” represents the very essence of learning and working in a collaborative fashion. Fittingly, Pixar University’s crest is “Alienus Non Diutius”, meaning alone no longer.

Collaboration at Pixar is bringing together the skills, ideas and personality styles of an entire team to achieve a shared vision; “Yes, and” (rather then “No, this is better”) is part of Pixar’s common lexicon that fosters collective creativity, and keeps the vibe and energy in the room upbeat and alive.

Randy Nelson, dean of Pixar University stated, “Collaboration for Pixar means, amplification… by hooking up a number of human beings who are listening to each other… finding the most articulate way to get a high fidelity notion across to a broad range of people so they can each pull on the right lever.” Wow! What a definition. We just love those words, “high fidelity notion across a broad range of people.” Randy stresses the importance of “making your partner look good.” It’s not important that someone’s original idea might be flawed. It’s up to the team members to “plus” each idea presented within the group to achieve an exciting and productive end result that was truly born through a collaborative effort.


In the creation of OMA, bringing the right team of collaborators together was the key. Joan Ashcraft, director of fine and performing arts at TUSD and co-founder of OMA, said, “I was so grateful to have Gene Jones (founding “dreamer” and champion of OMA) say to me, ‘just do it…find people that support your dreams.’” Roger Pfeuffer, former superintendent of the TUSD, said that it was imperative that the “dream” team collaborate to develop an arts integration curriculum to develop fully functioning individuals. Roger explained, “The OMA model isn’t an add-on--it’s got to be part of the core.”

Collaboration at OMA is the antithesis of the traditional public school system model. OMA classroom teachers work with both arts integration specialists and teaching artists to integrate the art form being utilized at a particular grade level with regular lesson plans for language arts, math and science. Not only does the classroom teacher’s lesson plan enhance the work of the OMA arts integration specialist and teaching artists, their work is reinforced in his or her classroom so that students truly understand the concepts being taught. What a novel idea!

And as OMA cofounder Jan Vesely added, “We integrated art and music into the learning because I believe that higher order thinking comes when you integrate.” Isn’t that what we want for our future innovators… “higher order thinking?”

A “high fidelity notion across a broad range of people” is exactly what OMA is doing. Art and music are no longer a “coordinated” effort between the music teacher and the classroom teacher. Rather it is a collaboration that brings together the classroom teacher, the arts integration specialist, the school principal and the student in an exceptional education experience.

So what can you do? Is your goal to provide memorable, unique, engaging, “3D Technicolor” customer experiences? If so, challenge your team to create a shared vision, keep the communication lines open, build upon one another’s ideas, and most importantly, create an environment of mutual trust and respect.

Innovation does not come from a miraculous revelation on the “road to Damascus.” It comes from a passionate dedication to non-stop Pixar-style collaboration!

Next Blog: Why business should be concerned about our educational system

Friday, October 23, 2009

How an Arts Integration School Program relates to Pixar Innovation

You may ask, “Why include an elementary school in a business book about innovation?” In today’s blog, we will address the first of several reasons. As we present in Innovate the Pixar Way, one of the keys to the phenomenal success of Pixar is their ability to and their passion for unleashing the inner childlike potential, creativity and dreams of their people. So, what better place to study childlike potential than in a place that practices an innovative, art-centered approach to education? In an economy where many schools are reducing or eliminating their art and music programs, Tucson’s Opening Minds through the Arts student achievement program (OMA) is thriving. In fact, OMA has become a leader in a national movement to integrate arts education with core curriculum.

In OMA, grade school children are learning reading, writing, math and science NOT by sitting in a classroom and listening to a teacher tell them what will be on Friday’s quiz. OMA students learn by experiencing opera, dance or music. Yet, the word “experience” doesn’t adequately describe this innovative learning process. Go to edutopia.org and watch these students! Bill has had the opportunity to observe many of OMA’s classes, and is amazed at how totally immersed the students are in their artistic adventure. They are learning by discovery and ah-has… not by an “expert teacher” screwing off their heads and pouring facts in that they will likely forget two days after every quiz!

In December, our youngest grandchild Sophia will be two years old. It was great fun watching her learn how to walk. First she discovered her feet. When she would lie on her stomach, she realized that she couldn’t see her feet and she would get so frustrated. Soon she discovered how to roll over, and was overjoyed that she could once again see her toes. Next came the crawling, standing and walking while holding onto furniture and then one day, she discovered she could walk (and climb!). Many of us have watched with anticipation as our children, grandchildren, nieces and nephews go through this discovery process. If Sophie’s parents would have said, “Ok Sophie, you are now 13 months old and it is time that you learn to walk. Put one foot ahead of the other and walk across the room. Practice this all week on Friday we will have our walking test.” How absurd! No parent would ever do this. Babies learn from discovery, trial and error and their experiences. But when children reach school age, all their natural trying and discovery learning process is replaced with repetitive memorization and standardized lesson plans.

So why is unleashing that childlike potential – the discovery learning process -- so important in the workplace? For the same reason it’s important at OMA! Pixar allows creativity to, as president Ed Catmull says, “…come from where it comes from.” Remember… if you tell your employees what to do, they may forget; if you show them, they may remember; but if you involve them in the process, they learn and will reach creativity and performance levels that surprise even themselves.

Next Blog: Why collaboration is important in school and work.

Friday, October 16, 2009

The Pixar Book is Coming!

The Pixar book is coming soon!

You will learn how to animate your team and unleash their creative…The Pixar Way.

In Innovate the Pixar Way, we reveal how Pixar has reawakened the innovative spirit of Walt Disney. And, we explore how president Ed Catmull and chief creative officer John Lasseter and the rest of Pixar’s “brain trust” have built an organization on a simple philosophy, “Quality is the best business plan.” It makes no difference if you are making a movie that takes four years or serving a customer that takes four minutes, you have only chance to deliver that magical, magnetic, enchanting experience for your customer. We offer examples of how it’s done – and explain what it takes to get your people to achieve greatness by unleashing the power to dream like a child; believe in their playmates; dare to jump in the water and make waves; and do unleash their childlike potential.

We also share how Google, Griffin Hospital, Men’s Wearhouse, OMA (Opening Minds through the Arts) student achievement program, Nike, Target and the Internet shoe giant, Zappos unshackle their peoples’ imaginations and do outrageously great things. By getting your team to Innovate the Pixar Way you, too, can discover the magic that will help your business stay ahead of the competition, attract the best talent, and fatten the bottom line!

Sunday, October 4, 2009

Pixar's Innovative Spirit

Pixar's innovation spirit will be forever linked to Walt Disney himself. Walt Disney once said, "Every child is born blessed with a vivid imagination. But just as a muscle grows flabby with disuse, so the bright imagination of a child pales in later years if he ceases to exercise it." Truly creative people exhibit a level of enthusiasm for imagination and discovery that harkens back to the days of childhood. Indeed, innovation begins with a beginner's mind...this was true of Walt Disney, and is true of Pixar cofounder and president, Ed Catmull and Pixar chief creative officer John Lasseter!

Friday, October 2, 2009

How Can we Adopt "Pixar Innovation"?

First and foremost is to begin with your story. Ask any Pixar employee what their secret to success is, and they will tell you, "The story is king." It doesn’t matter if you are making movies, manufacturing refrigerators, or selling hot dogs…you must have a story or a dream around which people can rally.

Collaboration is not an option if you want to be innovative. It’s about bringing people together who listen to one another and are truly interested in each other -- each one bringing a unique perspective to the table. Randy Nelson, Dean of Pixar University, describes collaboration as “a way to get a high-fidelity notion across to a broad range of people…" Now, that’s a great definition.

Collaboration is the heart of Innovate the Pixar Way!

Friday, September 25, 2009

Pixar’s “Dream Retreats”

In our best-selling book, The Disney Way, we write that “Dream Retreats Inspire Creativity.” The “dream retreat” frees people from their daily routines and places them in an atmosphere that encourages a “childlike” expression of their dreams. Many of our clients have derived enormous benefits from allowing their employees to gather off-site to begin a planning process for creative change that ultimately revolutionizes a culture.

In our soon-to-be-released book, Innovate the Pixar Way, we describe how the original Toy Story team came together in a “dream retreat” to bring to life a story about buddies—guys who might have had a rocky start to their relationship but who became friends for a greater cause. They were living the theme song…You’ve Got a Friend in Me!

This month, John Lasseter spoke to a group at the first annual D23 Convention (Bob Iger, President and CEO of The Walt Disney Company, decided to organize a “Disney fan” convention dubbed D23 – the “D” for Disney {obviously!} and “23” for the year 1923 when Walt Disney launched his studio.) during which he described how he and his Toy Story “buddies” gathered for a retreat to create the widely anticipated Toy Story 3’s main story, themes and new characters. He discussed how the story of Andy growing up and going to college was inspired by his own real life experiences in sending his now grown children off to college. (Toy Story 3’s release on June 18th, 2010 will be here before we know it!)
Pixar’s founding values of collaboration and mutual respect were solidified during the process of making Toy Story in the early 1990s. As Pixar co-founder, Alvy Ray Smith, explained to us, “If you are going to have a really talented group of people, it’s really important to have mutual respect and dignity across the technical and graphical divide.” Creative people flourish when they unite in a trusting environment to forge new frontiers. And certainly, in their “dream retreats”, the Pixar Toy Story “buddies” create stories that last forever.

Thursday, September 24, 2009

Is Disney Attempting to Bring Back Walt-Disney inspired Leadership into its Studios?

In yesterday’s Forbes article – “Disney’s Choice” – Dorothy Pomerantz writes, “Disney Chief Executive Bob Iger unceremoniously fired the popular Dick Cook as head of Walt Disney Studios, a position he had held since 2002.” Not surprising to us, John Lasseter, Chief Creative Officer at Pixar and Disney Animation Studios, is a top candidate for Cook’s job. Perhaps Disney CEO Bob Iger envisions John Lasseter infusing Disney Studios with the same “Walt Disney-like” magic that he brings to Pixar. As we write in our upcoming book, Innovate the Pixar Way (see Amazon.com), Bob Iger deserves credit for giving Pixar the autonomy that fosters unbridled creative culture. Like was true of Walt Disney, Pixar isn’t pressured to sacrifice the “story” for the sake of chasing profits and compromising their desire to remain true to who they are. Up, Pixar’s most recent blockbuster, is a classic example John Lasseter’s passion for innovation and quality. John’s credo is “Quality is the best business plan”… one that isn’t shared by many of the profit-driven naysayers. As Pomerantz writes, “…Up was roundly derided by Disney analysts who felt sure that the tale of an old widower setting out on an adventure in a house lifted by balloons would never appeal to children. The movie has since earned $420 million at the worldwide box office and is Disney's seventh-highest grossing film in the U.S.”

John Lasseter said, “We (Pixar) have a company culture that celebrates being pioneers.” Clearly Disney needs more pioneering at this point in time! In Innovate the Pixar Way, we describe how the all-too-often overlooked intangible cultural measures – employee loyalty, freedom and collaboration keep the Pixar “band” playing. Maybe Disney Studios will bring back the Walt Disney-like culture of yore…we are staying tuned!

Wednesday, September 23, 2009

Alvy Ray Smith - cofounder of Pixar's Innovative Playground

Alvy Ray Smith, one of Pixar’s cofounders, was our best resource for understanding how Pixar's innovative and playful culture was born. Alvy told us, "When I sit around and watch the animators, it seems that they have managed to hold onto childhood. They surround themselves with toys, and they just have a lot of fun like kids. That’s one of the reasons they are so damn much fun to be around--they’re sort of constantly fun--playful--setting up little secret rooms--you just don’t know what they are going to do next.” Unfortunately, however, most organizations have no interest in and no knowledge of what it takes to produce such an collaborative, innovative, and energizing environment. It begins with creating a culture where imagination--the very thing that kept us so interested in discovering and trying new things when we were young--is cherished and rewarded.

Tuesday, September 22, 2009

What can be learned from Pixar's Innovative "Playground"?

At Pixar, dreaming like a child, believing in their playmates, daring to jump in the water and make waves and doing whatever it takes to unleash their childlike potential – dream, believe, dare, do – are the keys. Walt Disney applied these same principles when he was leading his studio almost a century ago, and Ed Catmull and John Lasseter live these principles today.

Monday, September 21, 2009

Why Did We Write a Book on Pixar's Innovation?

For the past thirty years, we have studied Disney’s culture, wrote a best-selling book called The Disney Way, and continue to speak to thousands of people every year about Walt Disney’s success principles…dream, believe, dare, do. We were fascinated to watch Disney progress from being the premiere blockbuster movie studio to relying on a handful of storytelling pioneers in computer animation now known as Pixar – which became part of Disney in 2006. It was interesting to learn that Pixar leaders Ed Catmull and John Lasseter modeled their organization upon Walt Disney’s original studio. Pixar honors the legacy of Walt Disney by refusing to take shortcuts, by bringing the story to life in each and every movie they make, and by living a simple formula: "Quality is the best business plan of all."

Friday, September 18, 2009

Innovate the Pixar Way - Endorsements

Thanks so much to our wonderful Innovate the Pixar Way Endorsers:

Carol Lawrence, Singer, Dancer, Actress, National Spokesperson for the Opening Minds through the Arts student achievement program:
“Creativity makes it possible for our dreams to become real — my life is my proof. This book puts all those possibilities in the hands of the reader...for those who will be creating the future.”

Ken Blanchard, Management Expert and Best-selling Author: “Bill and Lynn have done it again! Innovation the Pixar Way details how this playful organization provides a working environment that encourages imagination, inventiveness, and joyful collaboration. If you dream of creating a more positive climate in your company, this book might just make your dreams come true.”

George Zimmer, CEO Men’s Wearhouse: “Dreaming like a child, having fun and nurturing creativity are all a part of the success of Men’s Wearhouse. This book is essential to managers who have lost sight of the importance of fun in the workplace.”I guarantee it!

Stephen Covey, Management Expert and Best-selling Author: “This tremendous book brings the magic and genius of Pixar to the page and lets us in on the secrets and intuitive synergy of such a successful company.”

Brian Walker, President and CEO, Herman Miller, Inc.: “Encouraging dreams, embracing risk, cultivating and empowering talented and collaborative teams, celebrating both achievement and failure—Capodagli and Jackson share these and other great hallmarks of innovation management through a compelling narrative of Pixar's successful culture. This insightful work is a great primer for leaders who are looking to unleash creative potential and instill a sense of joy and playfulness in their organizations."

Wednesday, August 26, 2009

UPCOMING BOOK - NOVEMBER, 2009!


UPCOMING BOOK - WILL BE ON-LINE SOON AT AMAZON.COM and BARNES AND NOBLE.COM

Thursday, June 25, 2009

Become a Culture Warrior!

Maintaining the culture of the organization should be the number one priority for any CEO. A study by the American Quality and Participation Association identified the most important attributes of choosing an employer: Salary 7%; Flex Hours 10%; Benefits 14%; and Responsibility 24%...yet Culture at 45% accounted for nearly as much as the rest of the field. Lou Gerstner led IBM’s turnaround in the 1990’s – from losing $8 billion in 1993 to making $8 billion in 2002, and creating over 65,000 jobs. He said, “If I could have chosen not to tackle the IBM culture head-on, I probably wouldn’t have. My bias coming in was toward strategy, analysis and measurement. In comparison, changing the attitude and behaviors of hundreds of thousands of people is very, very hard. Yet I came to see in my time at IBM that culture isn’t just one aspect of the game – it is the game.”


Become your company’s Culture Warrior by:
· Creating your dream or vision for the organization or team
· Establishing the values that will help guide decision-making
· Communicating your dream and values to all stakeholders

We don’t mean simply plastering the dream and values on a wall or on the back of business cards! Take every opportunity to communicate your dream again and again to everyone who touches your organization – employees, potential employees, stockholders, suppliers and customers. Once your culture is in place, be persistent and consistent. Never ever compromise your dream or values…once you do, you’re dead. This is a journey that is well worth your time. Don’t just celebrate your culture, live it. Remember, culture is not just one aspect of the game it is – it is the game!

Sunday, June 7, 2009

We're Back!

We can’t believe it has been three months since our last posting. We have been very busy with keynote presentations and working on our fourth book. Just this week, we sent the manuscript to McGraw-Hill! (more about the book in upcoming blogs).

We would like to address a comment a reader had made regarding the Four Seasons Hotels and Resorts staffing policy. The reader indicated that they had “massive layoffs” due to this economy. It is true that the Four Seasons delayed or cancelled several construction projects resulting in layoffs. Our sources at the Four Seasons tell us that there have been additional layoffs for certain positions, but that they have not compromised their commitment to “staff to an extraordinary level of service.” The point is that in troubled economic times, layoffs are often unavoidable. In too many organizations, however, the first reaction is to cut frontline workers and compromise service levels rather than evaluating positions that do not have a direct customer interface.

Monday, February 23, 2009

What if We All Chose Not to Participate in the Recession?

Most mornings, we wake up and feel pretty good...that is, of course, until we turn on the financial news. The doom and gloom pundits are busy spewing their morning chatter: highest unemployment in twenty years; some call for more government stimulus, others say less; some call for bailing out defaulted mortgages, others say don’t. It’s enough to make you want to go back to sleep or have a breakfast of Bloody Marys!

Recently, one of our favorite radio personalities stated that he has decided not to participate in the recession. Now, it’s hard to criticize a positive attitude, but the economic numbers aren’t any cause of celebration. A radio host can afford to be a bit flippant about the economy; after all, it makes for good debate with call-in listeners. But then we started thinking, why not look at the glass as half full? Even with 8% unemployment, 92% are employed; and yes, 7% of mortgages are in default, but 93% of us pay our mortgages every month.

The latest issue of Fortune magazine cites their identified 2009 “100 Best Companies to Work For” (several of which we are proud to say are featured in the revised edition of The Disney Way). The Fortune study is arguably the most extensive survey in corporate America, with more than 81,000 employees from over 353 companies participating. The final decision and ranking are both based on the survey as well as a detailed cultural company audit.

Of these top 100 companies, 70 are now hiring at least 50 positions! The top 50 companies have added over 38,000 jobs in 2008. We know from our extensive research at several of these companies that they are driven by long-term vision, mutual respect and trust, and compassionate customer centric service. We don’t know if these organizations have gone so far as to openly admit they are not participating in the recession, but we do think they see the glass half full, not half empty. Their posture is consistent in planning for long-term growth rather than reacting to short- term fear.

After 9/11, many of the hospitality companies experienced massive layoffs due to the sudden downturn in travel. Isadore Sharp, CEO and founder of the Four Seasons Hotels and Resorts, refused to lay off one employee. Four Seasons is one of the outstanding companies that is featured in the 2007 edition of The Disney Way. Shortly after 9/11, we interviewed Isadore who told us that he has invested a great deal in each and every employee. He went on to say that when the economy picks up, he will need these well- trained and loyal employees to meet the demand. However, Isadore took measures in the short-term to elevate decreased business, but without compromising the Four Seasons long-term future. The company put a freeze on new hires, slowed down or stopped new construction, and encouraged employees to take any accrued vacation. As a result of the 2001 attacks, Southwest Airlines took similar measures without laying off any employees. When the economy did recover, Southwest Airlines and Four Seasons were positioned to best serve their customers. We do not believe it is any accident that Southwest Airlines in one of the very few airlines to consistently generate a profit and that most authorities cite Four Seasons as the best luxury hotel chain in the world.

If you are a business leader, you can learn a great deal from these companies. Instead of reacting to short-term fear, plan for the long-term with cautious optimism.

Monday, February 16, 2009

Partnerships

True partnerships must be built on cooperation, trust, and extraordinary levels of communication. Focus on gaining win-win agreements and don’t allow greed to kill a good relationship.

Anyone who goes to EPCOT at Walt Disney World can experience partnerships in action. The World of Energy, partnered with Exxon; Test Track, partnered with General Motors; the partnerships with the many countries around the world -- the list goes on and on.
But as successful as Disney has been with its partnerships, the company fell into a trap that kills many organizations. That trap is greed. In 1985 Disney owned only 14% of the hotel space in Walt Disney World during the time when EuroDisney was being planned. The remaining 86% of the hotel rooms were operated in partnerships with other hotel chains. When Disney opened EuroDisney (now Disneyland Paris), the company did not partner with any European hotels. Disney wanted it all. As a result, the Walt Disney Company made some very costly, strategic mistakes that may have been avoided with the proper partnerships.

Developing partnerships or strategic alliances is not just for the Fortune 500 large multi-national organizations. PriceWaterhouseCoopers studied 436 immerging companies, and after conducting extensive interviews with the CEOs, they determined that 43% of the companies established long-term strategic alliances with suppliers and customers. These organizations grew 31% faster, introduced 79% more new products and recouped their investment 20% faster.

Take a lesson from Disney: be committed to your partnerships for the long-term.

Monday, February 9, 2009

The Only Thing We Have to Fear is Fear Itself

This glimmer of hope came in 1933 from President Roosevelt’s first inaugural address: “And so, my fellow Americans, ask not what your country can do for you, ask what you can do for your country.” We baby boomers also remember this call to action from John F. Kennedy. And, we remember Ronald Reagan saying, "I hope I have appealed to your greatest hopes and not your worst fears.” Contrast these positive messages with, “a failure to act, and act now, will turn crisis into a catastrophe." President Obama, Feb. 4th, 2009.

The cloud of fear that is hanging over Washington reminds me once again of Dr. Edwards Deming’s teachings. Dr. Deming, known as the father of the Japanese post-war industrial revival, was also regarded by a great many U.S. business leaders as the “father of modern day quality management.” One of his now infamous 14 points for transforming a business was number 8: “Drive out fear. Encourage effective two-way communication and other means to drive out fear throughout the organization so that everybody may work effectively and more productively for the company.”

Dr. Deming, FDR, JFK, and Reagan realized that fear is not a method for motivating a workforce. Throughout our consulting careers, we have seen the damage that fear can produce within individuals, teams and departments. When fear is the motivating force, failure is the results. Employees fail to question, to innovate, to report ineffective and even unsafe processes. Catalysts for fear, whether they be supervisors or policies, must be removed! Deming once said, "The economic loss from fear is appalling!" Has anything really changed?

We witness both political party representatives attempting to jump start the economy with an economic “stimulus” package. It’s clear to us that we are just about to make a trillion dollar decision based on fear. Doesn’t anyone remember President Kennedy’s posture on economic stimulus: “federal government's most useful role is not to rush into a program of excessive increases in public expenditures, but to expand the incentives and opportunities for private expenditures.” He went on to say, “I do not underestimate the obstacles which the Congress will face in enacting such legislation. No one will be satisfied. Everyone will have his own approach, his own bill, his own reductions. A high order of restraint and determination will be required …But a nation capable of marshaling these qualities in any dramatic threat to our security, is surely capable, as a great free society, of meeting a slower and more complex threat to our economic vitality.”

I do not underestimate the obstacles that Congress will face in enacting such legislation. No one will be satisfied. Everyone will have his or her own approach, his or her own bill, his or her own reductions. Obviously, a high order of restraint and determination will be required. But, those qualities seem to be more visible when there is a major threat to our national security, not to our economic vitality.

The current cover story of Newsweek is, “We Are All Socialists Now.” The article states, “As entitlement spending rises over the next decade, we will become even more French.” Even in these troubling economic times, our GDP is five times larger than France (sixth largest world economy) and three times larger than Japan (second largest world economy). We cannot practice capitalism during an economic upturn and socialism during a downturn. Do we really want the great government “business minds” who have been running the U.S. Post Office, Amtrak, and Medicare to now be running the banks, insurance companies and car manufacturers?

Reagan enjoyed poking fun at the insufficiencies of socialistic systems. He once quipped, “A Russian man goes to the official agency (to buy a car), puts down his money and is told that he can obtain delivery of his automobile in exactly 10 years. ‘Morning or afternoon,’ the purchaser asks. ‘Ten years from now, what difference does it make?’ replies the clerk. ‘Well,’ says the car-buyer, ‘the plumber’s coming in the morning.’”

Fear has no place in private or public sector management. I like French food and wine but certainly not their socialistic political system. Let’s always remember JFK’s timeless words, “The strength of our free economy rests the hope of all free nations. We shall not fail that hope — for free men and free nations must prosper and they must prevail.”

Tuesday, February 3, 2009

The Day the Music Stopped and The Day Rational Business Died

Fifty years ago today in a frozen field near Clear Lake, Iowa, an airplane carrying Buddy Holly, Ritchie Valens, J.P. (the Big Bopper) Richardson and pilot Roger Peterson crashed, killing all three rock stars and their pilot.

George Lucas' 1973 cinematic love letter to the “teen car culture” of the early 1960s, "American Graffiti," includes the memorable line: "Rock 'n' roll's been going downhill ever since Buddy Holly died."

Fifty-nine years before the infamous 1959 plane crash, a business legend was born in Sioux City, Iowa…W. Edwards Deming. By 1959, Dr. Deming was well into his transformation of the Japanese manufacturing industry. He is regarded as having had more impact upon Japanese manufacturing and business than any other individual. Despite being considered somewhat of a hero in Japan, he was only beginning to win widespread recognition in the U.S. at the time of his death in 1993.

To echo the words of George Lucas, “Rational business has been going downhill ever since Dr. Deming died.” Ten years before Dr. Deming’s death, Bill Capodagli had the privilege of working with and being trained by Dr. Deming.

Dr. Deming’s teachings of Profound Knowledge were comprised of four parts:
1. Appreciation of a system: understanding the overall processes involving suppliers, producers, and customers (or recipients) of goods and services;
2. Knowledge of variation: the range and causes of variation in quality, and use of statistical sampling in measurements;
3. Theory of knowledge: the concepts explaining knowledge and the limits of what can be known;
4. Knowledge of psychology: concepts of human nature.

The System of Profound Knowledge is the basis for application of Deming's famous 14 Points for Management:
1. Create constancy of purpose toward improvement of product and service, with the aim to become competitive and stay in business, and to provide jobs.
2. Adopt the new philosophy. We are in a new economic age. Western management must awaken to the challenge, must learn their responsibilities, and take on leadership for change.
3. Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place.
4. End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move towards a single supplier for any one item, on a long-term relationship of loyalty and trust. 5. Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease cost.
6. Institute training on the job.
7. Institute leadership. The aim of supervision should be to help people and machines and gadgets to do a better job. Supervision of management is in need of overhaul, as well as supervision of production workers.
8. Drive out fear, so that everyone may work effectively for the company.
9. Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems of production and in use that may be encountered with the product or service.
10. Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. Such exhortations only create adversarial relationships, as the bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.
11. Eliminate work standards (quotas) on the factory floor. Substitute leadership.
Eliminate management by objective. Eliminate management by numbers, numerical goals. Substitute workmanship.
12. Remove barriers that rob the hourly worker of his right to pride of workmanship. The responsibility of supervisors must be changed from sheer numbers to quality. Remove barriers that rob people in management and in engineering of their right to pride of workmanship. This means, inter alia, abolishment of the annual or merit rating and of management by objective.
13. Institute a vigorous program of education and self-improvement.
14. Put everyone in the company to work to accomplish the transformation. The transformation is everyone's work.

In the early 1980s, Dr Deming was warning American business about what he called “The Seven Deadly Diseases” (also known as the "Seven Wastes"):
1. Lack of constancy of purpose
2. Emphasis on short-term profits
3. Evaluation by performance, merit rating, or annual review of performance
4. Mobility of management
5. Running a company on visible figures alone
6. Excessive medical costs
7. Excessive costs of warranty, fueled by lawyers who work for contingency fees

Short-term mentality, excessive medical costs, lack of purpose…sounds like the editorial page from one of today’s newspapers. We never listened to Dr. Deming back in the 1980s. The future of rational business rests on the embracement of his teachings even more today. Instead of throwing money at the problem in the form of a TRILLION DOLLAR stimulus package, let’s apply Deming’s system of Profound Knowledge.

The notion seems almost silly today, but 50 years ago not even the musical pioneers themselves were certain that rock 'n' roll would survive much into the 1960s, whether before or after the Day the Music Died. "Buddy Holly totally was the model for the Beatles and everything that came after," says Dion DiMucci, the Bronx-born rock troubadour with blues roots and a doo-wop streak who remains the sole surviving headliner from the 1959 tour.

Will Dr. Deming’s teachings be reborn and become a model for business in this new century; or will this truly be the day that rational business as we knew it in the 1980s died?

Tuesday, January 27, 2009

Train for Success

In these trying economic times, the training budget is a sure casualty. Even in good times, most companies today spend less than 1% of their payrolls on training. World-class organizations are spending 5% or more of their payrolls on training.
There are two elements to consider when setting up your training processes: hard skills (job processes) and soft skills (culture and attitude). Most organizations do a fair job of teaching the hard skills of the job. The soft skills are at best glossed over, or at worst completely ignored. It is important to create a customer-centric culture in good economic times; in times of economic uncertainty, however, it’s a necessity.
How much soft skills training do your employees receive? Is it reserved for the higher level “professionals?” Success comes from unleashing the talents and ideas all employees, not just the so-called "professional" managers. The attitude that "the front-liners are non-professionals," translates into behaviors that damage organizations.
The Walt Disney Company sends every new employee through a multi-day Traditions course on the Disney culture prior to on-the-job training. But remember… training alone is not the answer. All training must be reinforced through focused experiences and continuous feedback.
During your next rounds of budget cuts, try to maintain the core elements of soft training that instill your culture, vision and values. Economic times will get better. Will you be ready for the up turn with a core group of employees who radiate your culture? Or will you be trying to catch up to the world-class competition?

Monday, January 19, 2009

The Motivated or Not So Motivated Workforce

A 2006 Gallup study of U.S. workers discovered alarming facts about their interest in work. 29% of the employees reported they were engaged in their work; 56% of respondents said they were not engaged in their work and 15% actually admitted they were actively disengaged!
When asked, “Do I feed off the creativity of my colleagues?”, 61% of the engaged employees strongly agreed, while only 9% of the disengaged workers gave the same answer. 85% of the engaged employees stated that they had grown in their ability to positively affect the company’s customers while only 19% of the disengaged felt the same.
The Gallup study calculated that lower productivity of actively disengaged workers cost the U.S. economy $328 BILLION! Instead of relying on massive government bailouts, we should find ways to make the work environment more exciting and unleash the potential of the entire workforce.

Monday, January 12, 2009

Why People Work

Some time ago, a Fortune magazine study surveyed all levels of management, from CEOs to frontline supervisors, “why they worked” – (excluding financial reasons) what was the real meaning to them…

Fortune’s three top reasons “Why People Work”:
1. To make the world a better place
2. To belong to a team
3. To perfect their own technical skills

Do not underestimate the power of these values. One of our consulting roles at Bristol-Myers Squibb Corporation was facilitating infant formula production teams. One of the teams would meet for one hour, once a week, to analyze needed improvements in quality and productivity. Approximately six months after the team began their team journey, they presented several recommendations to management. Bill was involved in one of the management debriefs during which a manager, after listening to the impressive team results, asked the team members, “How do like this team concept?” A member named Sue responded, telling them that she was always proud to tell people she worked for Bristol-Myers Squibb. However, she also said that when people asked her about the specifics of her job, she would always change the subject. Here’s why: Sue was a line attendant assigned to watch the bottles and cans being filled with formula, day after day. If there happened to be a problem, she was there to correct it. Since the line worked fairly smoothly most of the time, the job was routine and boring. Sue went on the tell the managers that when she became part of a team, she was reenergized and now tells people that she is “a member of a team who’s job it is to produce the best quality infant formula for the most affordable price for mothers and babies throughout the world.”

Talk about pride in workmanship! The small change to her job – attending a team meeting one hour once a week – led to both a huge change in her desire to excel and her fulfillment level at work.

Similarly, a clear VISION – making a difference in society and in the lives of customers – can make a major impact on the productivity and commitment of an entire organization’s workforce. Consider an industrial parts distributor. For them, a vision of merit would include striving to be the most cost effective and provide the most efficient service to the building industry. A successful construction industry greatly contributes to the economic success of the region. A healthy local economy means more jobs, better schools, and more opportunities. Most people can find meaning in their careers if they simply rethink the impact their roles have on the community.

Monday, January 5, 2009

You Can't Save Your Way to Success

It is the beginning of a new year, and many are making their New Year’s resolutions. Given these turbulent times, many companies are trying to “save their way to success.” While cost reductions and reductions in staff may be necessary, too many companies jump into these efforts with little or no long-term thinking. The result: no effect on the bottom line (reducing customer service ultimately reduces sales) or, at best, short-term, shallow results. The first element of a cost reduction process must be a Disneyesque Dream or visioning process.

Questions that must be answered:
1. How do the guiding members of the organization envision the future?
2. How will success be measured?
3. What kind of organizational culture is necessary to achieve success?
4. What are the values and principles that guide the company?

Keys to Successful Dream/Visioning:
· Invite all direct reports to participate. CEOs need the collective energies of the entire team.
· Start with the story of where you would like the company to be in ten years, and work backwards. If you feel you can readily achieve that vision, you have not allowed yourself to dream.
· Do a thorough investigation of the driving forces affecting your business. These include suppliers, competitors, customers, distribution channels, and technology. Make sure to look outside your own environment; do not assume you know all the external forces that are affecting your business.
· Create a plan that is customer focused. The best reason to be in business is to provide "blow their socks off" products and services to your customers.
· Once you have established your plan, share it with all employees. Too many strategic plans are kept under lock and key simply because the CEO does not want the competition to know the company strategy. Unfortunately, the employees don’t know the plan either. How can an organization accomplish great feats if the “players” don’t understand the goal?
· Include specific, measurable objectives as part of your plan. Here’s an argument that doesn’t compute: "We cannot commit to measurements that are so far out in the future." How will you know that you have achieved your vision if you cannot measure it?
· The best way to establish strategic alliances with your key suppliers is to involve them in the planning process. Don’t forget to ask your key customers if they agree with your strategies; find a good facilitate who will assist in eliciting honest feedback and protect them from defensive “corporate” behaviors.
· Test how well the plan is being executed by doing the following:
1. Hold a meeting with your team two months after the completion of the strategic plan, and ask all members to bring their calendars.
2. If you determine they have been spending over 60% of their time on strategic customer-focused issues, your chances for accomplishing your vision are pretty good. If you want to do even better, discuss how everyone can begin spending 80% to 90% on these issues.

In these troubled times, we need to envision how we can add even more value to our customers rather than cutting costs and services.
Focus on long-term service, not short-term savings.