Start with Why - Simon Sinek at USI

I believe in people and I like people. I'm also struck by the irony of an organization or an event like this where a group of technologists have come together to largely discuss people's problems and that we are doing it even here together as a group, which I find fascinating. All of this is that all the content you will hear today can be easily heard online. We could videotape it. I could listen to the exact same talk in front of my computer and you could sit at your desk in front of your computer and listen to it, the difference is that it is not exactly the same, all the communication of information would be exactly the same, but for the fact that you wouldn't be here and it's this, it's this interaction, it's that we are here together as a group that makes these types of events special.

In fact, if for the rest of the day all the speakers are absolutely horrible, you could go home and someone will say: how was it? Of course, I will do it again next year because I had a great time because I met all these wonderful people and this is where ideas are exchanged. the conversations in between and I am fascinated by this idea. I'm fascinated by how in a world where technology is extraordinary, the things we can dream and the things we can do, we still come together as groups to do things as People, I was also struck by something that Neil Armstrong said was grateful to be guided by people who inspired him to long for that place to listen which is such a wonderful feeling, so it begs the question of what it means.

It means leading you know why people do what they do. I am fascinated by this idea of ​​leadership and I read the same books as everyone else. I read the same books as all of you and you know, learn his leadership style and how. adjust your leadership style to fit the current situation etc., that's not leadership, that's management. All leaders have one thing and one thing only, followers, that's all, that's all, if you're a leader it means you have followers, it has nothing to do with it. with rank and it has nothing to do with intelligence it has nothing to do with seniority if people are willing to follow you you are a leader the question is what is a follower a follower someone who volunteers to go where you want to go someone who raise your hand and say "I choose to follow you", we can make people do all kinds of things using authority that doesn't make you a leader.

A leader is when someone says "I volunteer to go where you go", the question is why should someone follow you. There are only two ways to influence human behavior: you can manipulate people or you can inspire people. Examples of manipulation in the business world are things like lowering the price, if you lower the price enough people will buy from you, we know that these promotions are two for - a free toy inside or, if you are in the space of business to business, we call it added value, the concept is the same: giving away free stuff to reduce the risk of someone choosing you over the competition and it works as innovation.

What organizations like to call innovation is really novel innovation. Real innovation changes the course of industries, if not the way we live our lives. Adding a camera to your cell phone is a wonderful feature, but it's not an innovation, it's the difference between steps and leaps. The problem is that most organizations think that innovation is really new, it's the latest and greatest. The example I love to give is an American example about Colgate toothpaste, the toothpaste brand from the 1970s, there are only two options of Colgate toothpaste, do you know how many there are? now there are 27 27 different options of a toothpaste brand because what happened was the competition increased and the metric went down, whether their revenue or market share gains don't matter, the metric went down and then they added a new product and the population when it shone We are all attracted to this, the problem is that the competition copied, this is one of the problems with the competition.

You see them competing and then the metric went back down. Well it worked the first time so we'll do it again and they added another product and another product and another product and another product and before you know it you have 27 different line extensions which means your competition offers about the same amount of products at the same price about the same quality about the same service literally hundreds of toothpaste options to choose from and yet I have no data to show that people brush their teeth more now than before and the best part is What are these companies complaining about now what is their biggest challenge how do we differentiate ourselves this is very funny Yo, how can we get out of a problem that we created for ourselves?

There are all kinds of other manipulations. Fear, wonderful manipulator. If any of you are parents, you know exactly what I'm talking about. He can scare people. doing all kinds of things aspirational messages we are constantly told you have to be aspirational give people something to aspire to you know you can get people to join the gym with an aspirational message but to get them to exercise three days a week that requires a little inspiration now I can't deny that these and many other manipulations work the problem is that none of them generate loyalty the problem is that none of them generate trust and over time they cost more money someone has to pay for everything and with the The passage of time increases stress for both the buyer and the seller.

It is stressful for us to make decisions today in a world where manipulation is the norm, where we are bombarded by manipulations from all sides, from all the people who are trying to get us. Doing any number of things, whether it's voting for them, buying from them, or doing something, the question is how do we choose what's right for us. It's called stress. We literally have trouble choosing these days, but it's also stressful for sellers in a market where manipulation is the norm, how do we stand out, how do we get hurt, how do we find people to follow us, the alternative is inspiration, and there is only a few people and a few organizations that tend to rely much more on inspiration than manipulation, and me.

I'll talk about some of the biggest ones, like Apple computers or Southwest Air, our Martin Luther King, and you'll see it not only in organizations with great leaders, but also like Martin Luther King, John F. Kennedy or Nelson Mandela, and what I learned It's that, regardless of their size and regardless of their industry, every one of these leaders, every one of these organizations thinks, acts and communicates in exactly the same way and is completely opposite to everyone else. All I did was write it down and it's probably the simplest idea in the world. call it golden circle and in three concentric circles or porthole in the middle is why the center ring is how and the outer ring is what why how what is this little idea that distinguishes those with the ability to inspire versus everyone else let me define the terms very quickly every organization on the planet knows what they do these are the products you sell the services you offer everyone here knows what they do some know how they do it whether you call it your differentiating value proposition your USP or proprietary process these are the things that you think make you different or special or set you apart from the competition among others, but very, very few people and very few, very few organizations can clearly articulate why they do what they do and why they don't It is my intention to do so. making money that is the result of why I mean what is your purpose what is your cause what is your belief why does your organization exist we really need another company to do what you are doing we really need another why did you get out of bed this tomorrow and why should anyone care as a result the way we think, the way we act, the way we communicate is from the outside, it's obvious that we go from the clearest to the most confusing, we tell people what we do, we tell them how we do it.

We are different or we are better or we are special and we expect some kind of behavior, a vote, a purchase, support, whatever it is, but not those leaders with the ability to inspire, regardless of their size, regardless of their industry, each one of them he thinks. acts and communicates from the inside out let me give you an example. I use Apple frequently just because it's there to understand and we all understand it if Apple was like everyone else a piece of communication it would sound like this we make great computers they are beautifully designed simple to use and easy to use I want to buy from a man that's normal here it is our new car has you know excellent gas mileage leather seats tinted windows here is our law firm we went to the best schools we have the best lawyers we all go to In our cases we work with all the biggest firms.

This is normal. This is how Apple really communicates. They

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with why everything we do. They say we believe in challenging the status quo. We believe in thinking differently. The way we challenge the status quo is by making our products beautifully designed, user-friendly and easy to use - we just happen to make great computers. I want to buy one, it actually feels different. All I did was reverse the order of the information when it

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s to show us that it's not what you do that matters, it's why. You do it and what you do simply serves as tangible proof of what you believe that people don't buy what you do, they buy why you do it.

This is why everyone in this room is perfectly comfortable with the idea that Apple sells computers, we are also perfectly comfortable with the idea that Apple sells mp3 players, phones, and DVRs. Apple is just a company, it's all they are, it's a corporate structure, each of their competitors has equal and open access to the same resources. agencies the same consultants the same talent the same media it's a zero-sum game the difference is that all your competitors have defined themselves by what they do we make computers Apple has defined itself by why they exist to challenge the status quo to give a individual the opportunity to confront Big Brother and choose a simple alternative, everything they say and everything they do simply serves as proof.

Dell makes perfectly good products there, every bit qualified to make every product Apple makes and a few years ago they tried. A few years ago, Dell released mp3 players and PDAs and no one bought one. It doesn't make sense, why would we buy an mp3 player from a computer? But we do it every day because what matters is not what you do, but why you do it. and people don't buy what you do, they buy why you do it for this little idea to work we have to have three things one you have to know why you do what you do if you don't know why you do what you do how will someone else do it ?

You have to be clear about why - you have to have discipline about how you hold yourself and your people accountable to your own guiding principles and your own values ​​and thirdly, you have to be consistent in everything you say and everything you say. Whatever you do has to prove what you believe. This is the concept behind authenticity. People always tell us that you have to be authentic. People prefer to buy from the authentic brand. Prefer to vote for the authentic candidate. What does that mean? How is authenticity implemented? If I send you home to work tomorrow and say please, the next thing you do I want to make sure it's more authentic, what's the first thing you're going to do?

I have no idea what authenticity means, it's the things you say and the things. Do you really think this is a caveman thing? The reason the human race is so successful is not because we are the strongest, it is not even because we are the most intelligent, it is because we are social animals, it is because we have the ability to form communities and cultures. community what is a culture is a group of people with a common set of values ​​and beliefs what is a country is a group of people with a common set of values ​​and beliefs what is a company should be a group of people with a common set of values ​​and beliefs when we are surrounded by people who believe what we believe, something extraordinary happens.

Trust arises, make no mistake, trust is a feeling. Trust is a human experience. Simply doing everything you say you're going to do doesn't mean people will trust you. It just means that you are trustworthy and we all have friends who are completely ignorant and yet we trust them. Trust is a feeling that is born from a common set of values ​​and beliefs and our very survival depends on our ability to find those people so that we can build trust when we trust them and they trust us, we are more willing, we are more likely to that we take risks to explore and experiment, which certainly requires failure, all withthe confidence that if we turn around or fall and make a It's a mistake for someone within our community to come to our aid or watch our backs or help us get up without trust we still have the will to survive the difference is that it's every man by himself without confidence you know we all try to take each other out the way we got a victory we got we have to compete we have to live we have to survive this is what happened at Lehman Brothers Lehman Brothers was very, very good at what he did very, very good at how he did it, but there was no sense of purpose or cause or why so that brought the company together and at the slightest tremor everything collapsed not in months or in weeks in days that company collapsed in days and that is because Because when the stress started to appear all the individuals said: "I'm out of here I have to take care of number one I have mouths to feed I have bills to pay you are not the first organization that goes through the difficult Sometimes you are not the first organization that suffers a financial scandal, the difference is in great organizations, great cultures and great communities, when there is stress, the organization comes together to solve the problem.

Without trust, we retreat and things collapse into the most basic human aspect. The desire on the planet is to feel like we belong again. We are social animals and we all have the innate ability to do this. If I ask you to go out on the street and find all the people who believe what you believe, you know exactly what to do. You are going to start a conversation with someone. Either you have good chemistry with that person or you don't get along with them quickly or it will take some time. The point is that you know how to do it.

Our survival depends on it. It's called dating it's called making friends it's called networking we know how to do it the problem is that it's not scalable but if you know the symbols to look for it becomes much easier if I ask you to go out on the street and find all the people who wear red hats it's easy there is one there is one there is one there is one there is one there is one are easy to spot because you know what to look for this is what we do when we look for certain symbols and we are sure that we read things about each other every time The decision we make in our lives as individuals or as organizations is a piece of communication, it is our way of saying something about who we are and what we believe, in an attempt to track people so that they can trust us and we can trust us. them, there are people who walk around with harley-davidson logos on their bodies, directly on tattoos, this is a corporate logo, some of them don't even own the product, but it has nothing to do with the company, it has to do with them because Harley is so clear in what they believe because they are so disciplined in how they do it and they are so consistent in what they do, that it gets to the point that everything they say and everything they do now serves as a symbol of what they believe.

It is above the person. about who they are, who they think they are, and the reason we want to post those symbols is to attract people who believe what we believe. You could lie, you could tell people what we think they want to hear and they'll still be attracted to you, except they'll be attracted to the lie and then when they realize it's not true, they'll have a hard time building trust. This is what Tiger Woods did to us, he lied to us, he told us what he thought we wanted to hear and we thought it was great the difference is that we found out it was a lie and now he is having a hard time rebuilding trust if I told him that a footballer cheated his wife and slept with a hundred women, would you care?

It's not because we expected it, it's because it's authentic, it's because it's because it's who they are, but not with the Tigers, he chose to lie to us, it's not actually the behavior that offended them, it's that it's inconsistent with our expectations. Does everything you say and everything you do have to prove what you believe? As I said, the most basic human desire is to feel like we belong and it is so remarkably powerful. How many of you are from Paris? Most of you, yes, oh, quite a few of you. Okay, are you friends with everyone in Paris?

Why not? Why not? But when you go to Leone and you meet someone like a ham from Paris and you're best friends and when you go to the United States and you're on vacation and you're standing there in New York and you're riding the subway and you hear French being spoken behind you and you turn around and say where you're from they say León we say we're from Paris and you're best friends because when you're in an environment where you don't feel like you belong, you look for anyone who can share the same values ​​and beliefs that you in order to begin to form relationships of trust and the surprising thing is that those relationships are real. those relationships are real and another family will tell you: if you ate at this restaurant, you have to go to this restaurant and you will take your family to this restaurant because complete strangers on the subway told you so;

That's crazy if that happened here. If someone took the Metro and turned you around and told you to go to a restaurant, you would go like this. The most basic human desire on the planet is to feel that we belong and that we have the innate ability to adapt to make sense of those things. that this is the reason why this couldn't be recreated on our computers is because as human beings it's our biology that gives us this ability, it's this ability to read each other, you know, the blogosphere gets very upset with me when I speak about this and how you know you can't replace these human experiences with these human feelings over the Internet, they get so mad at me and yet every year 20,000 bloggers descend on Las Vegas to have a big conference they call blogsphere blog world .

My question is why could it? I do it online because nothing can recreate that feeling of the human coming together, nothing I'm telling you is my opinion, it's actually based on the principles of biology if you look at a cross section of the human brain. Looking from the top down you see that the human brain evolved in three main areas that correspond precisely to this little idea. The outer area is our neocortex. Our Homo Sapien brain, responsible for all our rational and analytical thinking and language. The middle two sections make up our limbic brains and our limbic brains are responsible for all of our feelings like trust and loyalty.

It is also responsible for all human behavior, all decision making, and has no capacity for language. This is why you can't ask people why you do it. do business with us why you like him why you like us they can't tell you the part of the brain that controls behavior doesn't control language and so they rationalize that this is the reason why the question why do you love your husband or why You love your wife? It is a difficult question. Why do you love your wife? Don't know. That's where most people start and then they start saying things and they start rationalizing.

She's fun. He's known her forever. She is always there for me when I need her. She sounds like the house pet and those are not necessarily the qualities for marriage My sister says about my brother-in-law My sister says about my brother-in-law I never imagined I would marry a guy like him, right? What I'm saying is that before I got married I had a list of all the attributes I wanted in my future husband and he has none of them and I still fell in love with him anyway. I want to spend the rest of my life with him and start a family with him and it's a human experience that we have a hard time putting into words and that's why we try to rationalize and then we say things that don't make sense she completes me I don't know what that means that means I have a left arm on a left leg and I'm looking for someone with a right arm and a right leg and together we can make one, I mean it's silly what we're trying to do is put into words the feelings we have towards another person or organization with the part of the brain that does not control language and that is why we rationalize or invent things we do exactly the same thing at work we talk about people who understand it and that type no matter how much information I show him, no matter how much information I give him, You just don't understand it, what is it?

How do we find people who understand it before doing business with them only to realize that they don't understand it? What we try to do is put into words the feelings we have towards other people this common set of values ​​and beliefs with the part of the brain that does not control language this sense of belonging and the sense of community is so powerful the example that I love to set and it scares me every time I talk about it, what is our most valuable possession on the planet. Come on, what is the most valuable possession on the planet.

Our children are very good. So let's say you want to go out with your wife or husband and you need a babysitter. You have two options. Choice number one is a 16-year-old girl who lives right down the street and has barely any experience as a babysitter. Option number two is a 32 year old girl who doesn't know where she just moved to the neighborhood and she has ten years of experience as a babysitter. you choose a 16 year old boy you choose a 16 year old boy you would rather entrust your most valuable possession on the planet your children to someone in your community with no experience rather than someone from outside you don't know where with vast amounts of experience, then, Why do we do it differently at work?

Why are we so concerned about someone's CV, where they have worked, how long they have worked and how much money they made for our competitors and yet we never think to ask what they believe? what they value we can trust you you can trust us leadership is the ability to stand on the street corner with your own red hat and just talk about what you believe good red hat has red hat has red hat here and all Other people wearing red hats, whether they know their own self or not, whether they can see their own red hat or not, we are eerily drawn to you because what you can do is put into words the way they look. themselves, what you are able to do is express it.

In words the values ​​and beliefs that they hold dear and are drawn to you because they feel they can trust you they can begin to form a community around you this is what leadership is. Leadership puts our own desires and our own values ​​and our own beliefs into words. There is an inextricable link between leadership and communication. Those who lead are those who can speak clearly about what they believe and those who can speak clearly about what they believe are those who They lead, let's imagine that we are on a tour, a three-hour tour on a boat and we are stranded on a desert island.

Here we are all stranded on the desert island. The question is how are we going to get off the island? Well, one of them gets up and says, I'm going. to guide we like that we are social animals we appreciate leadership and he stands up and says okay, who has ideas? Do you think we should light a fire? I like it good. You think we should look for food. Good. Do you think we should build a boat? Like, okay, let's vote at the same time someone else gets up and says, when we were getting to the beach I saw some mosques on the west side of the island and I saw some smoke, which means there's a fishing village there. . and if we can get to that fishing village we can find help now we are going to have to go through this forest to get there and I don't know how to get through the forest I am going to need help but if you want to help us, welcome and if you don't want to help, don't worry , when we get help, we will come back and look for you the question I have for you is Who do you want to follow?

Who do you want to follow? We still want to follow the second guy. There is no data to prove that this fishing village exists. There are no photographs and no one else saw it. The only thing we have is his conviction, his absolute belief in the existence of that world that we cannot see and his ability to express that future state in words that appealed to them and we will volunteer to go with it, maybe even take a personal risk. I don't know how to get to the forest. I don't know how to cut down trees, but I will. go because I think it is important not for me but for the group as a whole the irony is that our very survival depends on our ability to help each other this is the irony and here we go we gather together we choose to take the risk we choose to follow each other we offer ourselves to follow him and we go through these forests and it is difficult and we have to cross rivers and go around rocks and cut down trees and finally we get to where he said the fishing village is and there is no fishing village.

Did he lie to us? simply scammed was all this a big joke is this not at all is all this in vain and we say where is the fishing village? you said there was a fishing village like you said if we could get here we would survive and he turns to us and I say I think there was a fishing village but that doesn't matter because look what we were able to do, we were able to get through that forest together, that It means we can choose absolutely any direction on this island and we can get there.

That's called leadership when people believe what you believe they will work.for you with blood, sweat and tears when they don't believe what you believe they work for your money the goal is not to surround yourself with everyone who needs what you have the goal is to surround yourself with people who believe what you believe there are a million reasons why people will do business with you that has nothing to do with you, you find yourself with a checklist that they have, they hate your competition more, there is a difference between repeat business and loyalty, you see, repeat business means I will do business with you again and again and again loyalty means I am willing to turn down a better product at a better price to continue doing business with you and it is the loyal those who feel they belong those who doing business with you gives them some sense of identity or belonging those are the ones that do very well for them and the reason is that it becomes personal it becomes personal we use these symbols we use these companies we use these leaders we use these organizations as tangible ways to say something about who we are this is why the one that people with Macintosh computers love to open their computers in airports they love for us to see the computer they are using how many of you? love your Macintosh computer or know someone who loves your Macintosh computer it's okay, rationally speaking, based on facts and figures, correct data, objectively speaking, Macs are inferior computers they are at least 25% more expensive, sometimes double the price than their PC counterparts, there is less software, there are fewer peripherals and I know this because I switched to a Mac, they are absolutely slower, rationally speaking, no one should buy one, but they do it again and again. again and again and when they decide that they are going to buy one they do not make any competitive comparison comparative they do not compare the price in the data and the characteristics of one product with another they simply decide that that is the one I want and they go and choose it and if you ask to someone who loves their Mac why you love your Mac, they don't answer well.

You see, I see myself as someone who likes to challenge the status quo and that's why it's very important to me. I surround myself with all the people, products and brands to show the outside world who I am because I'm using these things as symbols to tell them. to people who I am in an attempt to attract people who believe what I believe. I can start to form strong bonds of trust because my own survival depends biologically on it, that's what happens in the part of the brain that controls behavior but not language, and so they rationalize that it's the user interface, it's the simplicity, it's the design and they say things that don't make sense I'm a creative person whatever that means at the end of the day what they're doing is using this symbol to say something about who they are that's why people with Macs will never put large stickers. of your families on top of their computers will never happen to cover up that beautiful shiny Apple never ever and have you ever seen a dirty Macintosh that's why you clean it how many of you broke out the glass cleaner just to clean your HP?

That never happens, people with Macs sit there and clean their computers really well because we have to keep them clean, because it's a symbol of Who I am and when you tell them you know you bought a crappy computer, they start foaming. in their mouth and they start to get angry and they will probably call you an idiot and the reason they take it so personally is because you didn't insult their computer, you insulted them because Apple is very clear about what they believe so discipline and how they do it and they are so consistent in what they do that the symbol now serves as a representation of who I think I am and if I surround myself with enough symbols and I am consistent enough, you will know something about me, it's the same thing. as a flag what is a flag a flag is just a logo a flag is just a symbol who cares about the flag but we don't get angry when we see people burning our flag why do we get angry because you are attacking me?

I mean I'm attacking you, I just burned my own property, no we get angry because it's a symbol of our values ​​and beliefs and when you attack the flag it's the same as attacking me, where do you think the mafia comes from? Now you killed my cousin. I have to kill your whole family, you can do anything to me it is because we protect those within our community, we protect those who believe what we believe, so much so that when you attack someone who believes what I believe it is so if you are attacking us so if you are attacking me and at the same time we will protect each other, this is what great organizations are great organizations are communities, cultures, common sets of values ​​and beliefs where we will fight for each other and work for each other and help each other others even at great personal sacrifice because, ironically, my own survival depends on it.

What we need more today is not just to talk about technology, what technology can do, that's very good, but the question is why. Technology exists in the first place. Why do you have technology? What is the point? Why should I care? How are you helping me? on a very, very human level. Innovation doesn't come from telling people to find better technology. Innovation comes from solving problems that are deeply personal to me, we salute Apple as this great innovative organization, the most innovative organization in the world, blah blah blah, where does it come from? Steve Jobs, by the way, do you know how many of the ideas Apple sells today? many Steve Jobs came up with zero none of them did not come up with Apple Steve Wozniak came up with Apple he did not come up with iTunes or the iPod or iPhone like all the people within his organization what Jobs was able to do was put into words by what they came to work what he was able to put into words was why the company exists, it gave people something to build, this is what they were looking for, just like Neil Armstrong talked about that longing and giving people some kind of longing. and they will solve the problem this is what entrepreneurship is entrepreneurship is not starting a business entrepreneurship is solving a problem 35 years ago, when Apple, before there was Apple, Steve Jobs and Steve Wozniak, we are standing in a garage in Cupertino , California, and they made something they called the little blue box that allowed people to avoid paying long distance rates on their phone bills at a time when there was only one long distance phone company, they were challenging Ma Bell for the existing telephone monopoly and then They founded Apple and challenged the big blue IBM, the existing status quo monopolistic computing platform and then they challenged Microsoft and then they challenged the music industry and then they challenged the telephone industry.

Now your problem is challenging the publications and whether you are on television or film. you are next, it is just a repeating pattern, it is other people in the organization who came to work and looked for things that restricted human opportunity, they looked for things that held the individual down and gave to people, they use technology as a way That people give that people question that giving them a choice is remarkable and it's a repeating pattern, even if you look at all of their advertising and all of their communications over the last few decades, it's all exactly the same as that 1984 commercial, that wonderful Ridley Scott commercial that the woman comes across. the Orwellian scene and he throws the hammer across the screen is an individual challenging the status quo and then you have hello, I'm a Mac, hello, I'm a PC, an individual and you have a person standing there listening to their iPod, it's always a individual is always an individual, it is always AI and Jobs constantly talks about the revolution this and the revolution that is a cause thinking differently is a belief it is not a product differentiating making a mistake what distinguishes one organization from another is not simply what you do it is why you do it and if people believe what you believe they will feel attracted to you as if you were theirs the objective is not to surround yourself with people who need what you have the objective is to surround yourself with people who believe what you believe and the reason why It's because of something called the law of diffusion of innovations.

If you don't know the law, you definitely know the terminology. What the law of diffusion tells us. The standard deviation bell curve is that the first two and a half percent of our population. They are our innovators, the next thirteen and a half percent of our population are our early adopters, the next thirty-four percent are your early majority, then your late majority and the last 16% are your laggards. The only reason these people use touch-tone phones is because you can't buy rotary phones anymore, we all fit in at different times and for various reasons along this standard deviation what the law of diffusion tells us is that this population , innovators and early adopters, they feel very comfortable trusting their guts, they are very comfortable making intuitive decisions remember that biology the part of the brain that controls decision making does not control language but it does control feelings This is where gut decisions come from.

There's no part of your stomach that controls decision making and it's not in your blood and it's not in your bones and it's not in your soul and you're not following your heart you know, let's win hearts. and minds is winning minds and minds this is why we talk about decisions feeling good we say it just feels true, why would we use the verb feel to describe a decision? It's because the part of the brain that controls feelings controls decision making. That's why they just don't control language and that's why we attribute it to different parts of these people's bodies.

They are very comfortable trusting their guts and making those intuitive decisions. This population is more cynical, more practical. They absolutely care about things like price, quality, service, and features. The problem is that they won't try something until someone else has tried it first. They are the people who have to reduce our price, offer, added value and propose all the promotions we have to reduce the risk of trying something unknown. These people happily try new things that have never been tried before simply to mirror something they believe is the problem. The thing is, you can't achieve mass market success or mass market acceptance of an idea until you achieve 15 to 18 percent market penetration.

This is the turning point. It is a social phenomenon. The problem is that it is difficult to get there when I saw. around 15 to 18 percent I don't mean the mass population, I mean the 15 to 18 percent of people who believe what you believe, it's easy to get 10 percent if you ignore everything I'm telling you today. I promise you that you will be able to get ahead. 10 percent loyalty you have about 10 percent of your customers who love you not the way you like it it's rational I love you it's emotional you ask someone if you like your job I really like my job I get paid well I like the people I work with I like the challenge.

Do you love your job? I wouldn't go that far, since we know there is a hierarchy, like rational love is emotional, right, it's easy to get around 10 percent, the law of averages will say you have around 10 percent, but it's hard to get. . this tipping point this is what Jeffrey Moore talks about in his book crossing the chasm this is the chasm so the question is how do you get those people and this is where leadership matters this is when you talk about what you think I'll give you two examples. I will give you a business example in a social example in the United States.

We have a brand called TiVo, which is a DVR brand. TiVo basically invented the category and has been around for about 11 or 12 years when you ask any company. why your company failed or why your product failed they will usually give you a combination of four reasons they will tell you that you were undercapitalized you didn't have enough money that's very popular poorly executed that's a common one no, we didn't do it You had a good product, we had people bad, had the wrong people or bad market conditions, that explains absolutely all the failures. TiVo had the recipe for success.

They had everything we consider we need for success when their product was introduced. From eleven years ago to today, it is the highest quality product on the market, no one will argue that it is an incredibly fantastic product, so the execution is impeccable. People hire the best engineer as money could buy market conditions. TiVo's unaided knowledge is through the roof. we used it as a verb on TiVo stuff and they had venture capital in the wazoo, so money was no object, money was no object. Tebow is a business and financial failure, they never made any money and when his company went public the stock launched around $40 or $50 and then plummeted very quickly and except for a couple of small issues it never traded above of the $10 and the reason is because they took this brilliant product, this brilliant piece of technology and tried to tell the mass market what the product does.

They tried to convince with facts and figures what the product does, they told the mass market that we have a productthat pauses live TV, skips commercials, memorizes your viewing habits and records on your behalf without you even asking, and the cynical practical majority said no. I need it I don't like it I don't want it you're scaring me and they didn't buy one there are some that did some of the early adopters that did but it didn't make a difference and the company has done very poorly imagine if they had told this population why what the product exists, imagine if they had said if you are the type of person who wants to have complete control over every aspect of your life, boy do we have a product for you?

It stops live. TV skips commercials, memorizes your viewing habits, and records on your behalf without you even asking right now. What the product does serves tangible reasons to believe it. They are not the reasons you use to convince someone to choose you over the competition. first of all it's not what you do that matters but why you do it and people don't buy what you do they buy why you do it I'll give you my favorite example it's a social example in the summer of 1963 250,000 people showed up at the mall in Washington DC to hear Martin Luther King give his famous I Have a Dream speech, no invitation was sent and there was no website to check the date, how do you do that?

How many emails did you receive to be here? today and there are only a few hundred people, two hundred and fifty thousand dr. King was not the only man in that country who knew what had to change to achieve civil rights there, he was not the only great orator, he was not the only man who suffered in a pre-civil rights America, in fact, he was He wasn't even the perfect man, he had his complexities, we just don't talk about those things, the difference is that he didn't go around telling people what we have to do, what we have to do, he went and told them. people I believe I believe and people who believed what they believed took their cause and made it their own and they told the people what they believed and those people took that cause and made it their own and they told the people what they believed and behold, on the right day at the right time a quarter of a million people showed up to hear him speak how many of them showed up for him zero showed up for themselves it's what they believed about America it's the America they wanted to live in It was the country they wanted to raise their children in, and it inspired them to ride the bus for eight hours and stand in the sun in Washington in August just to listen to him speak.

Showing up was one of the things they did to show what they believed in and by the way, it gave them the I have a dream speech not the I have a planned speech no one was inspired by any plan ever the goal is not to talk about what you do the goal is talking about what you believe and the people who believe what you believe are drawn to you as if you were their own because you helped them put into words the way they see themselves and the things you say and the things What you do gives them the ability to tell others what they believe to make tangible those symbols and those products and those services say something about who they are and they will say with pride I love working with that company that's why we talk in sales it's about relationships I love My boy, we always talk about when we have a good relationship with a company because it's a human experience.

It's a human experience. Make no mistake, all these things we're talking about, like trust and loyalty, are human experiences. Technology and the Internet are wonderful things to speed up transactions. There are wonderful things about connecting people to absolutely disseminate information, but it's very, very difficult to form. strong human bonds through the Internet, as we talk in the world of blogs, the Internet can coexist and technology can coexist with the human experience, but it cannot replace the human experience. Your friends are not on Facebook. You know, and your network is not there. LinkedIn and you're not having conversations on a blog, you're not having a dialogue on Twitter, those are not human experiences.

If you compare the way we actually have conversations where we interrupt each other, advance ideas versus the way people communicate online, it's kind of like that. about my idea my idea my idea hey that's a good idea Steve who agrees with my idea my idea hey you're an idiot my idea my idea and if you ask any retailer on the planet who has ever created a blog for their customers give feedback the number of innovations that have come from the comments on those blogs the answer is zero none because people just use it to bitch and complain and there is no vulnerability or risk in doing things online which is why we push each other out There's something like risk requires this vulnerability requires this and when you feel like someone is willing to tell you something genuine about who they are, you can begin to form strong bonds of trust.

There is something called the Paris social relationship. A real relationship is when we know a lot. about each other we start to learn about each other a parasocial relationship is that one person knows more about the other than about you and you start to form a strong bond except it's one sided this is what happens with fame with celebrities that we know everything about them but they don't even know that we exist and we know about their lives we know about their social lives we know who they are dating we know about their careers and we follow them as if they were there our friends and we call them they call each other by their name stack, right, we call them by their first name as if we knew them, it is a parasocial relationship in which we feel that we know them but they don't know us, the problem is that all those associated feelings are absolutely real they feel absolutely real the opportunity for innovation is not just telling people in the outside world you know do this make opportunities to bring people together so that the feeling is mutual so that we work together to advance a problem so that we work together to get there to that fishing village because our own survival depends on it, if people don't feel that you are also in this with them, if they don't believe in what you believe, then there won't be any strong human bond. the opportunity is to articulate your vision of the future that doesn't exist yet what your vision is what your fishing village is and you are laying it out so clearly that other people can understand it as clearly as you can and can tell others about them they want to go there and they will risk blood, sweat and tears to help you get there, not for you but for themselves, they will watch your back and help you explore like that 16 year old kid you hired to babysit your kids. because they understand you they understand you they know that you are the same they know that you believe what you believe this is the objective human relations real trust real loyalty that is not born from products and services but from beliefs and values ​​that exist Leaders and there are those who lead Leaders occupy a position of power or influence, but those who lead inspire us and whether they are individuals or organizations, we follow those who lead not because we have to but because we want to.

We follow those who lead, not for them but for us this is for those who want to find someone who inspires them this is for those who want to inspire those around them thank you very much thank you very much we have left some time for questions so that you have any questions I'm happy to feel anything, yeah okay, do you think why does it have to evolve at some point? I've already done this, this is CT and my second question will be what you haven't talked about much about how yes, she is more important than what's in your diagram, yes, so can you be sure?

I'll answer the questions in reverse order, how it's about process and structure, how we do things and in the business world today, this is tactics and this is strategy, you know, or we set a goal. and we figure out the strategy to get there and if we don't reach the goal, we change the goal, we change the strategy and then that's business, but really what makes great organizations move forward is that they understand this fishing village, this place far from the future this vision of the future why this purpose or cause and the structures and the processes that build how they are going to do it, what they are going to do, you know, in terms of actions, everything is driven by that, not by the goals.

Well, objectives are waypoints, so I have a very different read on waypoints. By the way, I don't think any of these pieces are more or less important than each other, they are all equally important. It's just that a lot of people talk about process and a lot of people talk about product, right, we don't even have a word for this, like I said, strategy, tactics, we don't even have a word for this, the point is that every organization on the planet works. on all three levels, but most of us are only aware of two of them, so the reason I mainly talk about this one is because that is the missing piece and you need to have all three for the system to be in balance. , but they are all about how it is not more important than what Thomas Eddins Edison said, vision without execution is a hallucination, true, you can have all the vision in the world, but if you don't execute, who cares, it's like that example of fishing village, you know someone could have it. he stood up with the same vision of that village and just left without the ability to communicate it, then he has no value, you know he is a visionary, he is not a leader, you know there are many people who are excellent communicators, but they have no vision , so they are great communicators but they are not leaders.

They give a big speech about how we have to work together, but then we don't have to leave the island, so I don't think it's more important, but there are a lot of people. who talk about these things and much more about these things than I do, so it's the three pieces and in terms of your first question, why does it evolve and the answer is no, you only have one, why does each individual only have one And and you And it is born from your upbringing you know that we are products of our childhood you know who we are who we are what is the sum total of these three things my beliefs my values ​​and what I do to the outside world who we are comes from our teachers our parents and the experiences we had when we were young, our Y's are fully formed probably by the time we're 18 or 19 and that never changes the rest of our lives, our chances of living in balance or not feeling fulfilled by the work we do or don't do and sometimes we make correct decisions and we execute and with companies it is the same, what is the reason why a company is born in the foundation of that company, you know in the foundation that the company is one of the things that an entrepreneur has done to give life to something that believes that big companies usually solve a real human problem the companies that really fight to survive are the ones that just look for some market opportunity and invest money in it because they can't recover people commit to anything, they can't raise people to sacrifice, the best they can do is offer them a big bonus and that doesn't appeal to everyone.

There is a great history of the space program. It was November 1963, sorry, November. 1969 and it was Apollo 12, so Apollo 11 had already landed on the moon in July and this was the second lunar mission and obviously all the press was there and everyone was excited and everything was wonderful and a journalist was walking around NASA and She finds someone wearing a NASA badge and says, can I talk to you? He said absolutely and she starts asking him questions and he knew everything about the Saturn 5 program and he was excited and it was amazing and he talked about how they're putting a man on the moon and we're going to do it again and he knew everything and after about a half hour and 45 minutes she said so what do you do specifically for NASA? and he said: oh, I'm the janitor, the point is when the cause is clear, everyone within the organization is equally emotionally invested in it and most of us talk about superior technology, the only people who think that's cool are engineers, what if your receptionist isn't that emotionally invested in it?

It's not clear to you why the CEO, the receptionist, and everyone else should commit to this. They all have different jobs. Everyone has different responsibilities. You know it's not the CEO's job to control it. The CEO's job is to keep talking. about the fishing village and reminding people why they come to work, then you have the CEO or the CFO, who is the operator, who figures out how we are going to make that vision a reality, we do ourselves a disservice in business When making a leadership line we say that the CEO is number one and the CFO or CEO is number two and all these guys think they are in line for this job, right, it's not true, it's one and it's parallel and this work is very, very far in the future and this work is about now, how we are going to build, you know, these guys can do very well in the world, but they will never change the world and they will never build multi-billion euro businesses. . change the world or build multi-billion dollar businesses if they knew the right thing and you see that they alwaysYou see in large organizations any social organization that has ever achieved something great is always an association between the why and the how you know Steve Jobs and Steve Wozniak Bill Gates Paul Allen and it was Bill Gates who had the vision of putting a PC in every desk, but it was Paul Allen who built the company Walt Disney Roy Disney Walt Disney was the one who talked about good, clean family fun, but it was Roy Disney. who created the fad built the company came up with Buena Vista came up with a license and it goes on and on and on and you see these types of partnerships everywhere the amazing thing is when you look at the history of the partnership Steve Jobs and Steve Wozniak grew tall together in high school in California Bill Gates and Paul Allen grew up together in Seattle and dropped out of Harvard together Roy Disney and Walt Disney were brothers JFK RFK you, they go on and on and on and what you What I see is that these big Partnerships are always childhood friends or family, which doesn't mean you have to do business with childhood friends or family, but it means the quality of the relationship, trust, and the fact that you share common values. and the beliefs are much greater if you grew up the same way, then we are all a product of our upbringing, including a company, a company comes from its founders, you know, Richard Branson has over 300 companies, each one of those companies is his, why we when you see the word virgin we know virgin Cola Virgin Trains virgin weddings we know what to expect and it is a reflection of your own personality because what your company is is one of the things that you have done in your own life to say something about who is. listen to Bill Gates' TED talk when he talks about the bill and bill gate Bill from the Melinda Gates Foundation that he talked about is optimistic, he talks about productivity and human potential and if you replace the word mosquito nets with a PC, it's the speech exactly what he uttered in the 1970s what he is doing is different why he is doing it is exactly the same a company is born from companies why it is born in the beginning whether it is clear or not it is a different story but it comes from the founding of the organization and never, never changes, it may collapse and have to rebuild itself in collapses, but it never changes, it is silent, it describes much of your company and the why and identifies them with a founder and a type, yes. they are those companies those that survive, the founders have a lot to do.

I'm great at whiteboarding, as that's a very good question. You know, the biggest challenge any organization has is its own success. Listen, because when a company is founded, it exists. in some kind of metric, you know, euros or money or any other kind of metric or yen or dollars or whatever or time right, all organizations exist on these two planes and when they are founded, what they do and why They do it are inextricably linked and that's because the company is small and you know the visionary founder or founders, you know they have a crazy idea and they take a lot of risks and only passion is what drives them because the probability of failure It is very high and they are crazy. and they're angry and they inspire their friends to join them, which is also crazy and everyone understands it because we all hang out together and you know, the big challenge is your own success when you start selling more and making more. all right and what they're doing starts to go like this and you have to hire someone who hires someone who hires someone who hires someone who has to make a decision based on what and then the And starts to go like this we were talking about that before we talk about Dunbar's number, you know, we know that humans can handle 150 successful relationships and beyond that it is very difficult and even online they found out that Dunbar's number is clean, where people still can only handle 150 relationships in line, so it begs the philosophical question: does this start happening at 150?

I don't know, but this is called division and the symptoms of division are when you start to become more obsessed with what your competition is doing versus what you're doing in a small way. companies don't obsess over their competition they can't afford and the more successful the company is, they literally obsess over competitors every morning, everyone at Microsoft worries about what Apple is doing every morning, everyone at Apple doesn't They don't care what Microsoft is doing, it's true, they don't know how much market research Apple does before launching a zero product because they don't care, because what they are doing is taking their worldview and their beliefs. the world and they are bringing it to life in products that they believe reflect that and those who are attracted to those products are attracted to them viscerally and the whole concept of asking our customers what they want, the whole process is not authentic, is it?

You know? or is it what you think, when you start to obsess more about the competition, when you start to ask others more about who you should be, when the veterans, the people who have been there for a while, start to say yes, no longer It's like it used to be. Well, I mean, I know we're making more money than before and I know we're growing faster than ever, but you know, I don't know, it's just not the same, you know, young people don't understand, no, no, they can . I don't put it into words, but it feels different, these are simply symptoms of division, stress goes up, passion goes down, symptoms of division, and if you look, there are many organizations that have gone through division, you know that Steve Jobs was kicked out of his own company in 1985, the company was like that and then Steve Jobs came back and Mike Dell left Dell and Mike Devils was forced to come back and Howard Schultz Starbucks and Howard Schultz were forced to come back and it's not that These guys are God's gift to management is that, because they are the founders, just being there reminds people why they come to work, whether they can put it into words or not, as a different problem and so Therefore, the biggest challenge most companies face in succession. not finding someone to manage the company, which is leading people, you know that you can't lead, nobody manages a company, you manage people, you manage a company, a company is nothing more than a structure and the funny thing is when the Companies start having financial problems, they hire someone to solve this, but this is what became confusing, so the succession opportunity is not to hire a brilliant engineer, but to hire someone who does not want to reinvent the Y, but rather simply take the torch that was already lit. and I say now I will take it to the next generation, it is not lost on me that the average lifespan of a company on the Fortune 1000 list is approximately 40 years and it is not lost on me that 80% of the DAO index are companies that are 35 years old . years or less, in other words, it's about the lifespan of a career, you know, about 40 years, it's not lost on me that companies go through a split and things start to fragment; in other words, very, very few companies have achieved succession and the reason is that they take these visionary CEOs and replace them with the CEO or the CFO, they take a visionary and replace him with a structure builder and always They do that, even even at Apple they are talking about it, do you know what they are talking about?

Tim Cook takes over and that makes me nervous and Jobs will say oh but he's been around forever and he knows the business as well as I do and I trust him and it's true that because of that association, the problem is that the guy is not a visionary in the way you think you see the world and therefore, yes, you understand the company, but you can only think in steps forward, not leaps forward, and as soon as I hear a CFO or CEO, oh, if they were good at their job, they take charge of the company. going through a split, I can promise something interesting, just a quick comment about Steve Jobs.

Do you know why this guy is so special? You know he can't really be the most amazing leader in the world as Dell is a pretty extraordinary guy. and you know Gates is a pretty remarkable guy and they're all visionaries and they all built notable organizations, they all change the way we live our lives, every single one of those guys, so what is it about this guy, Steve Jobs, that seems to keep going? do it where others have lost Steve Jobs has gained something that none of the others have he is seriously dying he is dying think about the people who take big risks in the world young people take big risks because they don't realize the Take risks ahead, this is why the entrepreneurs you know have that youthful spirit or tend to be young and if you want advice you always ask an old man because old people, men don't care, so you They will say exactly what they need.

Think about it and there's something that comes with youth or age where you don't realize or are at peace with your own mortality. It's this piece in the middle where we worry about what our friends will think, what magazines will think, what the press will think. they will think what our colleagues will think what our employers will think what I think this is insecurity that I have to provide for my family Steve Jobs doesn't have that because he is dying and that's why he still acts like a small child or an old man he asked you know what will Wall Street think he doesn't care about Wall Street things, it's just that someone young or someone old doesn't care what Wall Street thinks, so I think my theory could be one of the reasons why Steve Jobs is such a remarkable executive it's not because he's a genius, it's because he's seriously dying.

I mean, they always tell us what you would do if you died tomorrow, right? and when, when we have transcendental events like the one I experienced. I lived until 9/11. I watched Those Buildings Fall Down and it changes you for a short time and then we go back to the way things were and we come to terms with their mortality and we realize that we only have one life to live and why am I doing this. I should take the risk. everything and have fun and I should take three months off and go on vacation because we'll imagine having that every day it's like why do we do so much the week before we go on vacation?

Because there is a deadline, a deadline I never thought of. about that thank you very much