L to R - Michael Fertik, Jeff Taylor, Russell Simmons, Karen Beattie, Martha Stewart, Muhammad Yunnis, George Clooney

On Monday I had the fortune of participating in the Growth Faculties Leadership Summit. Six leaders, with different styles and methods took to the stage to share what they had learned about leadership.

Martha Stewart at 70, gave an energetic and passionate insight into her life and the creation of her personal brand. She did speak of how her role now is about rebuilding the business after the decline following her incarceration. Though she believes that her brand remains what it was. (I understand that in the US not all would agree with her).

Her story is engaging and fascinating and there was much to learn.

Martha said:
“Without an open mind you can’t be a great success”
“I’m fundamentally curious”
“If you write a book you become an ‘expert’”
“Never ever talk down to the customer & we need to be where our customers need and want us to be”
“Everyone needs to believe in what they are doing.”

She started her career as a model, then moved into stock broking, before starting her catering business. There is no doubt that this is a woman who has been completely driven since her childhood and at 70 she is equally driven. The question I was left with is “Does she define her success in dollars – or in the contribution to others, I was unclear on this.”

Muhammad Yunnis

How different the next speaker was… Muhammad Yunis, Nobel peace prize winner (who I had seen in September). He shared with the group the notion of Social Business – a new business model. Businesses that are created solely to solve a problem. Not to provide dividends – but also not a charity or not for profit.

Muhammad said:
“I asked myself the question can I make myself useful for other human beings?”
“I try to solve problems by creating a social business”
“It is easy to undermine the value of others if you are disconnected.”
“Crisis is in the conceptual construct in the theory of economics.”
“Most business is based on selfishness – and this is not sustainable as we are now seeing with the economic crisis’s.”
“Charity dollars only have one life as it goes out, it does not come back – social business dollars go around to be self funding.”
“Human creativity is endless but often we cannot see.”
“You can change the world if you can solve the tiny problems that then get replicated.”

Then we had the father of hip hop speak, Russell Simmons, who discovered the music and poetry of the streets back in 1972 – and it took him years to bring that culture to light, in music, film, clothes and TV. He too has influenced culture – it has been altered forever. Here is a man that is consumed by his passion for art, expression and poetry. He believes that you cannot create greatness with a commercial outcome in mind. Commercial outcome will come when greatness is created.

Russell said:
“Some people say keep your eye on the prize – but I don’t agree. If you keep looking at the prize you are likely to bump into things along the way.”
“Most industries are blind to new things coming.”
“I aspire to a post racial America – we are a long way from that – and Hollywood is really blind, it is not inclusive.”
“I believe that people will see what is cool in each other – this is aspirational.”
“My passion gave me a different life, I found a way to express myself – most of those I grew up with are either dead or in jail – every person needs to find their purpose.”
“If you want a long career then you need to make sure that your life’s work is the expression of what you really are – not what you think people think they want you to be.”
“No matter how rich you are you can only sit at one seat at a time.”
“Wealth comes from making your work meaningful – it is a state of consciousness.”
“Business often starts from a pure vision of creative expression this often gets lost. Come back to it.”
“I believe in economic justice in the US – a bigger conversation must take place about equality.”

George Clooney

Then we had actor George Clooney speak about his work in Sudan.

[It is interesting to note that for this session the organizers had sold seats just for this speaker – so the numbers in the audience swelled to double – so we have a nobel peace prize winner with a lifetime of changing the world – but who people want to see and hear from is the celebrity. This paradox was not lost on George Clooney.]

George said:
“I now have the ability to use my celebrity to shine the light on areas that only have darkness – I can bring these issues to the world.”
“When people try to discredit your intentions – simply know more than they do about the issue.”
“You have to be involved – see it, feel it, be there, understand, know the facts, the people.”
“It is easier to be in advocacy than politics – you don’t have to compromise and you can stay truly focused on the issue.”
“Success I understand to be just for a mere moment in time. – That moment I need to use to turn it into something worthwhile.”
“I don’t take myself seriously – but I do take my work seriously.”
“The role of the leader is to say ‘Put down your pencils and hand in your work.’ – to know when to bring the plan together.”
“Leaders need a clear voice that says ‘This is what we are going to do.’ As well as robust diplomacy, individual belief and an understanding of the power of shared voice.’”=

Jeff Taylor founder of monster.com took to the stage to admit that Australia was the only place where he had failed in creating his job board business. However he did succeed in 50 countries with 6000 employees. Jeff gave his view on why each person needs to be his or her own CEO. That is ‘you are the CEO of your own life’ and he shared his ‘FAME’ concept.

Jeff said:
“F:  Create a workplace where people can be a Free agent”
“A: Train like an Athlete, ready to play the game of your life.”
“M: Prepare like a Marketer, know your key message.
“E: Engage like an entrepreneur.”

The final speaker for the day was Michael Fertik speaking on reputation. As a marketer of course I have understood always that as individuals and as a business the only thing we really have is our reputation. Michael shared with us how volatile social media has made reputation – and that we have no control.

72% of employers apparently look at social media as part of their recruitment strategy – and 49% have changed their intentions of employing an individual based on what they learned.

Face recognition software will mean that we have no privacy and that anywhere anytime our image can be ‘tainted’. This is true for companies and individuals – and bad stories whether true or not hang around online forever.

What a special day… A day of learning, being in the presence of greatness, inspiration and debate. I was most fortunate to attend a dinner with 60 others at the Shangri La with the speakers. This is where I had the chance to ask the questions that I had wanted to during the day.

Well-done Growth Faculty for putting together such an event…

Customers look different now

This week we have seen the demise of Fletcher Jones and the opening of Top Shop. My 15 year old daughter texted me, saying ‘I’m even more excited than when Zara opened – it is British and I love it – when can we go?”

Many Australian retailers are left thinking “what happened – where did our customers go?”. We are in the peak of Christmas season and there is not one retailer in Australia who is not holding their breath and ‘hoping’.  As we know however ‘hope’ is not a strategy.

From the online world I can see so clearly what is likely to happen over the next few years. But I don’t have a massive infrastructure or team – I don’t have to move a mammoth organisation into the position of competing against global players.

Think of the traditional retail customer experience: we battle the traffic, search for a parking spot, deal with lousy weather – and then try to find someone to serve us– when we finally do find someone to assist we discover that the retailer does not have the color, quantity or size you need. No wonder people are choosing online… it is soooo easy.

I’d hate to be in the business of having to have all the right stock in all the right places at all the right times – being served by all the right people… how hard is that?

What can retail businesses learn from the entertainment business?

What if retail outlets became show rooms – where as a buyer once your color and style are determined you have your item delivered at no extra cost direct to you the very next day. Not schlepping your purchases from store to store – wasting hours, with hurting feet – that would be an experience.

Retail in Australia is about to make a massive shift and not all will make it. I hate to say it – but it is all about the experience. In speaking to the MD of  Chanel Australia he says that their concept stores go from strength to strength – people love being immersed in the brand – and you just simply cannot achieve the same experience in a department store.

Fletcher Jones did not grow with it customers. I have just come from a business lunch in the city – half the attendees were wearing jeans….

Please retailers – wake up  – listen to your customers and give them something worth fighting for. I understand that the reason why Top Shop is opening stores here – is because they have been shipping so much product here via their website they realised what a fantastic market it is.

Bring innovation back to retail… for instance young Eliza Roberts (11) has started her first business  – in the northern beaches of Sydney she has started a Pet Birthday cake business… in the first month she sold 30 cakes. She knows her market, she provides fab service – and people are very much getting the ‘entertainment value’ of being able to talk about the experience of their purchase.

Retailers it is time you gave your customers a ‘good time.’

Kofman’s basic premise is two fold: Firstly that great leader’s take responsibility for their actions, as well as how they choose to react to any situation that presents itself.

Secondly, a clear sense of purpose is critical to successful leadership. A leader cannot buy commitment (as I have said on many times– “no amount of money will keep people happy long term if you don’t capture their hearts and minds.”, and “discretionary effort something people choose to give, it is not something you can ask for”)– which means that it is up to the leader to inspire people to ‘the noble cause.’

“If a leader demonstrates that his purpose is noble, that the work will enable people to connect with something large – more permanent than their material existence – people will give the best of themselves to the enterprise” Mihaly Csikszentmihalyi

Clearly the actions we take as a leader speak very loudly to those around us.

My father told me as a child “Do as a say not as I do.” Which he said tongue-in-cheek, but I always a bit confused by this – my mother would say “people will judge you by the jobs you don’t like doing – not the ones you do”… As great people said:

“What you do speaks so loud that I cannot hear what you say.” Emerson

“We must be the change we want to see in the world.” Gandhi

Simply ‘Actions speak louder than words’ which both my parents drilled into me.

As leaders what we ‘do’ moment by moment creates the culture around us. I cannot expect people to arrive on time for a meeting if I do not do so myself. I must pitch in a lead by example if we are in need of extra support in answering customer emails. Quite simply our actions set the tone – and the values.

“As the leadership team goes so goes the rest of the organization”. So the question remains do you operate from a clear sense of purpose and do you take responsibility?

Too often people blame the circumstance or someone else – because somehow we find it difficult to fess up to ‘I stuffed up’.  For example, the traffic did not make me late – I didn’t leave early enough. So often we find excuses to justify our own behavior.

How would it be different if you said to yourself –  ‘Anything that effects me is my problem and I am part of the problem’

• Consider: “You are the pilot to your own life.”
• Consider: “What is your businesses noble purpose?”

How would you explain to your child your company’s purpose in a way that makes you proud? (and maybe this applies to parenting too)

Volunteering at Our Big Kitchen - with Best Buddies

Kahlil Gibran: “You give but little when you give of your possessions. It is when you give of yourself that you truly give.”

You would expect that I would write a blog at this time of year about the importance of giving – Christmas is everywhere, especially at RedBalloon. However here’s a thought: One of the greatest gifts you can give is your time – and when you do – you will experience a euphoria, which is very good for your own well-being.

Basically when you give – you get… This has long been document as part of the five elements of well-being outlined by the New Economic Forum; but here are some statistics that I just discovered: A 2006 report found that adult Australians who volunteer has increased from 24 percent in 1995 to 58 percent. Being a volunteer is incredibly good for your health (as well as the recipient). It has been referred to as ‘the helpers high’ – which is the sense of satisfaction and comfort that is created from knowing that you have done something to assist another human being.

Professor Stephen G Post tells us “focusing on others causes a shift from our unhealthy preoccupation with ourselves and reduces the stress-related wear and tear on our body and soul.”

Giving doesn’t need to be extravagant or formal – but it does need to be regular to have ongoing benefits to your well-being. A simple visit to the local retirement home for a game of scrabble, or reading in a class room at the local pre-school all work all would do the trick.

Here’s some facts:

• Regular volunteers will live longer
• Volunteers are less likely to experience depression, and they are more satisfied with life
• People who spend on others are happier – than when they spend it on themselves.

So perhaps this year you could put on your Christmas wish list – “half a day every month to volunteer in my community” – and you will be the better for it.

As Winston Churchill famously said “We make a living by what we get, but we make a life by what we give.”

A very proud winner of the National Award in the Industry Category

RedBalloon has had a wonderful week of celebration by winning three prestigious awards. Whilst there are many businesses far larger than us, doing amazing things – it is such an honor to be on the same stage as those businesses. Could small be the new big? What could large businesses learn from us about absolute commitment to the employee experience – and as a result the customer experience. How wonderful to be recognized in this way.

Last night I had the privileged of being part of the Ernst Young Entrepreneur of the Year program. A spectacular night surrounded by passionate, persistent people who have a tolerance for risk said our MC Peter Burner.

Congratulations to Michael Malone from iiNet who won the title of Australian Entrepreneur of the Year 2011. (For more about the event and the other winners).

Peter Burner interviewed each of the winners as we took to the stage to accept our awards. I had reflected before arriving at the event about my entrepreneurial journey to date. I was there on behalf of many many people.

This is what I had planned to say:

Thank you to those people who:

Loved me, you made me believe in myself
Cared, you made me feel worthwhile
Shared their wisdom, you inspired me to learn
Laughed, you made my world fun
Listened, you made me feel loved
Challenged me, you made me play a bigger game
Said ‘no’ – you made me more determined.
Disliked me, you made me stronger

Thank you

Megan Bromley accepting the AHRI HR Practioner of the Year award

In addition, I congratulate the team on making the Deloitte Tech Fast 50 again – And a big amazing congratulations to Megan Bromley – Employee Experience Manager, RedBalloon for being named by AHRI as the HR Practitioner of the year…WOW!

Jack Cowen - Founder and Exec Chairman of Competitive Foods

Jack Cowen started his presentation at the EY Entrepreneurs workshop with a quote “An entrepreneur needs to be a cross between a microbiologist and an astronomer.” He believes that true entrepreneurs are special in that they can be both detailed and visionary.

He was a judge in the EY Global Entrepreneur of the year program in Monte Carlo for 2010. It was a delight to have him in the room sharing his insights – not just from his own amazing entrepreneurial journey – but also from the many business founders he has met along the way.

He made the following observation: Those businesses that own the technology or the system, ie they have a level of exclusivity gain great advantage. They have the magic of what people will pay for and it makes it difficult for competitors to invade that space. If a business cannot own the technology (or systems and processes) then it must own the brand.

Jack reflected following the EY event that in his opinion the six traits of great entrepreneurs are:

1. We have a fundamental curiosity – we want to explore things.
2. We are persistent beyond reason
3. We search for better ways to do things – we agitate for change
4. We are endlessly positive in every part of our lives
5. We are focused and able to run lean and mean
6. We have exemplary people skills – we understand leverage and that we cannot do it on our own.

One red dress looks like another.

I was fascinated to learn that there is a Buy Nothing New Month in Australia. I love this idea… though of course retailers will not… (I’m sure the liquor retailers don’t like Dry July either.)  I was in the US last summer on holiday with my family and I was completely overwhelmed by the consumerism. (And quite frankly everything began to look the same). I heard that 10% of all women’s clothes sold in Australia are never worn. It is shear waste. I wondered if I could go a year without purchasing anything new for myself. No shoes, clothes or accessories. I have not managed it completely… but I did go for 8 months without anything new for myself personally.

Clearly this aligns to what we believe at RedBalloon– which is all about buying less “stuff” and instead living in the moment and enjoying shared experiences. Our photo albums and our memories are what we treasure.

With self storage one of the fastest growing industries in Australia – do we really need any more stuff? And just think what all this waste is doing to the environment… recycling starts with reusing.

In our little bit for the planet, RedBalloon has a green program, as you would expect… it is the least we can do.

My personal “lose pledge”, earlier in the year to stop buying unnecessary items for my wardrobe – really changed how I viewed shopping. I have learned to really appreciate the things I do have… More more more does not mean better… and where on earth would I store anything else?. I just didn’t need any more new clothes or shoes – they wouldn’t make life any more fabulous, they wouldn’t make me smarter or more efficient, buying new clothes wouldn’t do something worthwhile for the planet. Instead they were just accumulating in the back, front and sides of my wardrobe. So much so that my daughter recently took up her own recycling task of selling my shoes on eBay… I may have a young entrepreneur on my hands. I can gladly report that I have stuck to my guns and found an invigorated sense of enthusiasm in combining my old favourites to create “new” outfits. Red is red after all.

I also believe strongly in giving to others who need it more – RedBalloon is a gifting company, and the team is generous with its time and spirit, and this spirit of generosity is shown in all that we do. For instance, we have a program called ‘We Care,’ where each RedBallooner gets one day  to go and work for the charity or cause of their choice.  I send my pre-loved outfits to a charity called Dress for Success, which dresses women ready for job interviews and employment… (I can only imagine how many women are turning up for job interviews wearing red.) We also run office clothes swaps a couple of times a year, which are organised by one of our corporate account managers (and chief story-teller) Arielle.

So, here’s the challenge… what do you ‘not need’ ask yourself the question ‘Do I really need this?’… I have a friend who has argued that his wife is ‘saving him into the poor house’ she just cannot resist a deal.  You don’t save money if you buy stuff you don’t need (or even like.)

Have fun – it’s a game. Clothes swaps are the new black.

Dancing in the Conversation at EO Amsterdam University

I don’t really like the word ‘networking’ – it implies something forced or not easy (I think the term should remain the domain of IT folks). I was recently at the EO conference in Amsterdam and one of my friends asked me if I was going to ‘network’ there – which made me cringe. I know people have said of me that “You’re a great ‘networker’!” I don’t necessarily think that I am, given that you will rarely see me at a ‘networking event.’… But what I am, is fundamentally interested in people… and I really like meeting people (and catching up with people I have known forever.). One thing I do know is that in the early days of RedBalloon when no one had ever heard of it – it was really important for me to get out and about and meet people – to put a face to a website as it were.

When I ask people I meet what they do – I am curious; but ideally I would love them to capture my imagination so that I can A, remember it and B, introduce them to other people that might be interesting or relevant to them.

The more real the conversation you have with someone when you meet them at a business event the more likely they are to remember which business card is yours, from the many that they collected (though this is not a quantity game – having one real conversation is worth 50 superficial one’s). But please no wearing the heart on the sleeve either – no one is really interested in your life story when you have just met.

One of the most useful things for me when meeting people is to simply ask lots of questions – but then again I am a very curious person so it comes naturally. And hint here – DO really listen to the answer and recall it…

Here are some questions that might take your conversations to a bit of a deeper level.

What makes the thing you do special?
What do you guarantee?
What do your customers say about you?
Do you have a purpose?
What is your BHAG? (you might have to explain this one)
By which values is your company driven?
Where did your values come from?
If you could swap places with another human being alive today who would it be?
What do you like most in other people?
Who do you respect the most?

Just thought I’d share – because in my opinion no one really wants to be ‘networked at.’ I personally don’t ever ‘script’ the sort of questions I will ask – my curiosity allows that to happen naturally – my intention here is to get you thinking beyond the obvious standard run of the mill questions that every one asks. It is about dancing in the conversation– and PS these events are not a place to ‘sell’ to people – they are a place to create relationships – never talk at people… it is very ho hum.

‘Networking’ events are an opportunity to GIVE not to GET – be generous with your time, listen deeply and be truly interested and you never know you might end up meeting a friend for life.

Kofi Annan introduced as 'father, son, brother and uncle' an ordinary man

In my presentations on leadership I often use the Think Different Apple TV ad (below) as an example to inspire… and there it was at the EO Amsterdam University I attended last week. Learning is not necessarily about new thoughts but reconnecting to ideas, concepts and theories you have already discovered. Ideas come back to us when they are most needed.

The MC did not read a bio of Kofi Annan to introduce him, he simply said “I present a father, son and brother and uncle.” His introduction simple and connecting to the audience.

As you look at the video below consider all these people are someone’s child, and most probably parents – whilst we think of them as ‘amazing’ they too are just human – I ask myself “As another human being what bigger game could I play?” Challenge yourself to consider the same thing…

“Here’s to the crazy ones

The misfits.
The rebels.
The troublemakers.
The round pegs in the square holes.
The ones who see things differently.
They’re not fond of rules.
And they have no respect for the status quo.
You can quote them.
Disagree with them
Glorify or vilify them…
About the only thing you can’t do is ignore them.
Because they change things.
They invent things.
They imagine.
They heal.
They explore.
They create.
They inspire.
They push the human race forward.
Maybe they have to be crazy.

How else can you stare at an empty canvas and see a work of art? Or sit in silence and hear a song that’s never been written? Or gaze at a red planet and see a laboratory on wheels?

While some see them as the crazy ones, we see genius. Because the people who are crazy enough to think they can change the world, are usually the ones who do.”

In Nelson Mandela’s 1994 inauguration speech he too challenged people to ‘get out of our own way’. The piece below was also printed in our work books at the EO event.

“Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness, that frightens us. We ask ourselves: who am I to be brilliant, gorgeous, talented and fabulous? Actually, who are you not to be? There is nothing enlightened about shrinking so that other people won’t feel insecure around you. Your playing small does not serve the world. And when we let our own light shine, we unconsciously give other people permission to do the same!”

This says to me.. no more ‘buts’ – the bigger the challenge the greater the opportunity – and it takes ordinary people to get on with it.

The originals, Beth Kyle, Mark Dureden, Kirsten Munachen, Kathy Mason - where the values stories came from

As we approach our 10 years anniversary I realize that not everyone knows the origins of the way we do things. Megan, the RedBalloon employee experience manager, asked me to document where our values came from.

Our values are such an integral part of life at RedBalloon – and they have been a part of us for nine of the ten years. (I dedicated a whole chapter to them in ‘I want she’s having’) Kirsten Munachen, business development manager at the time and I attended Verne Harnish’s first Rockafeller Habits seminar in Sydney. Both of us were incredulous and inspired to discover what amazing resources were available to RedBalloon in its start up phase – we were not alone – others had travelled this path before. We could learn from other great businesses.

Verne’s key message was about vision, values and alignment (though he might not have used that language). It was Kirsten and I who at that workshop identified our sense of purpose.

Jim Collins in his book ‘Good to Great’ implored that great organizations have a set of values – they truly embrace. It does not matter what those values are – but that the organization has them, and lives by them is important.

A great way to discover an orgnizations values is to explore the folklore of the business. It is the people, and their actions that create the stories that make a business what it is.

As Kirsten and I sat around the table… we had a good laugh as we talked about what made RedBalloon RedBalloon. What was a true RedBallooner?

We wrote down a whole lot of stories and then we grouped them together in similar topics… we didn’t want too many – and we wanted them to be memorable. So this is what we came up with in 2003… and they continue to serve us very well.

Do what you say you’re going to do. (Integrity)

Kirsten and I both talked about our frustration of working in large businesses and how often it was our managers who did not follow through. We (and most of the other RedBallooners at the time) had done the personal development course Landmark Forum and we all had learned about how integrity and the strength of one’s word is very powerful. We did not want to be just another organization that ‘tried’ to fulfill on what it promised. Simply we were going to put our word to it… and get it done. Kirsten gave the example of working with Fuji Xerox as our first corporate client – and they asked us to build a special system for them as an incentive program. We did not have the capability at the time. I put my word to it – and said ‘we don’t have it now but we will by July’ and though I didn’t know how I was going to make it happen – we delivered – and Fuji Xerox went on to be a great and ongoing corporate customer.

Generosity of our time and knowledge.

Obviously we are in the gifting business so it would make sense that ‘generosity’ is one of our values. Both of us had been frustrated with automated telephone services of large organization (for many years we resisted voicemail because I insisted we answer phones). Beth Kyle answered phones as part of her role (not so formal as our customer experience team now)… and one day she had a very upset customer on the phone because her partner was in Kalgoorlie and she did not know how to get him his gift (this was before we had email vouchers)… Beth contacted her brother who from time to time had to go to Kalgoorlie from Perth for business…. And she convinced him to drive the voucher out to the customer… unbelievably generous and legendary customer service. Folklore was created.

Leadership

We had both seen bottlenecks in corporate life when projects stalled because no one would make a decision – or worse management by committee. We wanted everyone to feel like an ‘owner’ and that they could get things done. One of our colleagues at the time Mark Deurden, ColdFusion developer exemplified leadership. We could come back from a client or potential partner meeting and say ‘Can we have..?’ he would always answer “Of course – it will just take time and money”. He had an unbelievable ‘can do’ attitude. Sometimes he had no idea how he was going to build what we had invented… but he went off and discovered it. And always took responsibility for the out come.

Sense of Humor and fun

I had worked in some pretty serious places – I had also worked at Apple. At Apple we worked hard and played hard. And I always went home thinking my day had been worthwhile. I wanted to work at a place that I wanted to work in. It might sound selfish – but if I was going to choose to be away from my children then it had better be worthwhile. We laughed a lot in the early days… I think we still do. We never took ourselves to seriously. If ever I got a bit dramatic about something – Kirsten would remind me “Did anyone die? –Then it is all okay…”

Being a little dog with a big dog attitude.

This was about being risk takers, flexible and courageous – ‘Having more front than Myer’. This came from picking up the phone and talking to anyone. Kirsten would pick up the phone with such an air of authority when talking to potential corporate clients – and the majority of the time she got the appointment.– she was like a terrier dog – once she got hold of an idea – she wouldn’t let go (she was ‘not so tall’ feisty and determined. Most of all it was the contractors and Kathy Mason who endlessly and relentlessly pursued potential suppliers. We often felt we had to ‘beg’ to do business with them. Dexter never seemed worried about our relative smallness… he treated everyone as an equal – and so did we.

Those days were so very different, yet I am so proud that the essence of who we are remains.