Category Archives: think

Steve Jobs’s Best Quotes – Digits – WSJ

Steve Jobs’s Best Quotes – Digits – WSJ.

Steve Jobs has stepped down as CEO of Apple, the company he founded and turned into the largest technology company in the world. Although his tenure as CEO will be remembered for ushering in fundamental changes in the way people interact with technology, he has also been known for his salesmanship, his ability to turn a phrase – and a knack for taking complicated ideas and making them easy to understand. Below, a compendium of some of the best Steve Jobs quotes.

On Technology

“It takes these very simple-minded instructions—‘Go fetch a number, add it to this number, put the result there, perceive if it’s greater than this other number’––but executes them at a rate of, let’s say, 1,000,000 per second. At 1,000,000 per second, the results appear to be magic.” [Playboy, Feb. 1, 1985]

***

“The problem is I’m older now, I’m 40 years old, and this stuff doesn’t change the world. It really doesn’t.

“I’m sorry, it’s true. Having children really changes your view on these things. We’re born, we live for a brief instant, and we die. It’s been happening for a long time. Technology is not changing it much — if at all.

“These technologies can make life easier, can let us touch people we might not otherwise. You may have a child with a birth defect and be able to get in touch with other parents and support groups, get medical information, the latest experimental drugs. These things can profoundly influence life. I’m not downplaying that.

“But it’s a disservice to constantly put things in this radical new light — that it’s going to change everything. Things don’t have to change the world to be important.” [Wired, February 1996]

***

“I think it’s brought the world a lot closer together, and will continue to do that. There are downsides to everything; there are unintended consequences to everything. The most corrosive piece of technology that I’ve ever seen is called television — but then, again, television, at its best, is magnificent.” [Rolling Stone, Dec. 3, 2003]

On Design

“We think the Mac will sell zillions, but we didn’t build the Mac for anybody else. We built it for ourselves. We were the group of people who were going to judge whether it was great or not. We weren’t going to go out and do market research. We just wanted to build the best thing we could build.

When you’re a carpenter making a beautiful chest of drawers, you’re not going to use a piece of plywood on the back, even though it faces the wall and nobody will ever see it. You’ll know it’s there, so you’re going to use a beautiful piece of wood on the back. For you to sleep well at night, the aesthetic, the quality, has to be carried all the way through.” [Playboy, Feb. 1, 1985]

***

“Design is a funny word. Some people think design means how it looks. But of course, if you dig deeper, it’s really how it works. The design of the Mac wasn’t what it looked like, although that was part of it. Primarily, it was how it worked. To design something really well, you have to get it. You have to really grok what it’s all about. It takes a passionate commitment to really thoroughly understand something, chew it up, not just quickly swallow it. Most people don’t take the time to do that.

“Creativity is just connecting things. When you ask creative people how they did something, they feel a little guilty because they didn’t really do it, they just saw something. It seemed obvious to them after a while. That’s because they were able to connect experiences they’ve had and synthesize new things. And the reason they were able to do that was that they’ve had more experiences or they have thought more about their experiences than other people.

“Unfortunately, that’s too rare a commodity. A lot of people in our industry haven’t had very diverse experiences. So they don’t have enough dots to connect, and they end up with very linear solutions without a broad perspective on the problem. The broader one’s understanding of the human experience, the better design we will have. [Wired, February 1996]

***

“For something this complicated, it’s really hard to design products by focus groups. A lot of times, people don’t know what they want until you show it to them.”

“That’s been one of my mantras — focus and simplicity. Simple can be harder than complex: You have to work hard to get your thinking clean to make it simple. But it’s worth it in the end because once you get there, you can move mountains.” [BusinessWeek, May 25, 1998, in a profile that also included the following gem: “Steve clearly has done an incredible job,” says former Apple Chief Financial Officer Joseph Graziano. “But the $64,000 question is: Will Apple ever resume growth?”]

***

“This is what customers pay us for–to sweat all these details so it’s easy and pleasant for them to use our computers. We’re supposed to be really good at this. That doesn’t mean we don’t listen to customers, but it’s hard for them to tell you what they want when they’ve never seen anything remotely like it. Take desktop video editing. I never got one request from someone who wanted to edit movies on his computer. Yet now that people see it, they say, ‘Oh my God, that’s great!’” [Fortune, January 24 2000]

***

“Look at the design of a lot of consumer products — they’re really complicated surfaces. We tried to make something much more holistic and simple. When you first start off trying to solve a problem, the first solutions you come up with are very complex, and most people stop there. But if you keep going, and live with the problem and peel more layers of the onion off, you can often times arrive at some very elegant and simple solutions. Most people just don’t put in the time or energy to get there. We believe that customers are smart, and want objects which are well thought through.” [MSNBC and Newsweek interview, Oct. 14, 2006]

On His Products

“I don’t think I’ve ever worked so hard on something, but working on Macintosh was the neatest experience of my life. Almost everyone who worked on it will say that. None of us wanted to release it at the end. It was as though we knew that once it was out of our hands, it wouldn’t be ours anymore. When we finally presented it at the shareholders’ meeting, everyone in the auditorium gave it a five-minute ovation. What was incredible to me was that I could see the Mac team in the first few rows. It was as though none of us could believe we’d actually finished it. Everyone started crying.” [Playboy, Feb. 1, 1985]

***

Playboy: We were warned about you: Before this Interview began, someone said we were “about to be snowed by the best.”

[Smiling] “We’re just enthusiastic about what we do.” [Playboy, Feb. 1, 1985]

***

“We made the buttons on the screen look so good you’ll want to lick them.” [On Mac OS X, Fortune, Jan. 24, 2000]

***

“It will go down in history as a turning point for the music industry. This is landmark stuff. I can’t overestimate it!” [On the iTunes Music Store, Fortune, May 12, 2003]

***

“Every once in a while a revolutionary product comes along that changes everything. … One is very fortunate if you get to work on just one of these in your career. Apple’s been very fortunate it’s been able to introduce a few of these into the world.” [Announcement of the iPhone, Jan. 9, 2007]

On Business

“You know, my main reaction to this money thing is that it’s humorous, all the attention to it, because it’s hardly the most insightful or valuable thing that’s happened to me.” [Playboy, Feb. 1, 1985]

***

“Being the richest man in the cemetery doesn’t matter to me … Going to bed at night saying we’ve done something wonderful… that’s what matters to me.” [The Wall Street Journal, May 25, 1993]

***

Q: There’s a lot of symbolism to your return. Is that going to be enough to reinvigorate the company with a sense of magic?

“You’re missing it. This is not a one-man show. What’s reinvigorating this company is two things: One, there’s a lot of really talented people in this company who listened to the world tell them they were losers for a couple of years, and some of them were on the verge of starting to believe it themselves. But they’re not losers. What they didn’t have was a good set of coaches, a good plan. A good senior management team. But they have that now.” [BusinessWeek, May 25, 1998]

***

“Innovation has nothing to do with how many R&D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R&D. It’s not about money. It’s about the people you have, how you’re led, and how much you get it.” [Fortune, Nov. 9, 1998]

***

“The cure for Apple is not cost-cutting. The cure for Apple is to innovate its way out of its current predicament.” [Apple Confidential: The Real Story of Apple Computer Inc., May 1999]

***

“The problem with the Internet startup craze isn’t that too many people are starting companies; it’s that too many people aren’t sticking with it. That’s somewhat understandable, because there are many moments that are filled with despair and agony, when you have to fire people and cancel things and deal with very difficult situations. That’s when you find out who you are and what your values are.

“So when these people sell out, even though they get fabulously rich, they’re gypping themselves out of one of the potentially most rewarding experiences of their unfolding lives. Without it, they may never know their values or how to keep their newfound wealth in perspective.” [Fortune, Jan. 24, 2000]

***

“The system is that there is no system. That doesn’t mean we don’t have process. Apple is a very disciplined company, and we have great processes. But that’s not what it’s about. Process makes you more efficient.

“But innovation comes from people meeting up in the hallways or calling each other at 10:30 at night with a new idea, or because they realized something that shoots holes in how we’ve been thinking about a problem. It’s ad hoc meetings of six people called by someone who thinks he has figured out the coolest new thing ever and who wants to know what other people think of his idea.

“And it comes from saying no to 1,000 things to make sure we don’t get on the wrong track or try to do too much. We’re always thinking about new markets we could enter, but it’s only by saying no that you can concentrate on the things that are really important. [BusinessWeek, Oct. 12, 2004]

On His Competitors

Playboy: Are you saying that the people who made PCjr don’t have that kind of pride in the product?

“If they did, they wouldn’t have made the PCjr.” [Playboy, Feb. 1, 1985]

***

“Some people are saying that we ought to put an IBM PC on every desk in America to improve productivity. It won’t work. The special incantations you have to learn this time are the “slash q-zs” and things like that. The manual for WordStar, the most popular word-processing program, is 400 pages thick. To write a novel, you have to read a novel––one that reads like a mystery to most people. They’re not going to learn slash q-z any more than they’re going to learn Morse code. That is what Macintosh is all about.” [Playboy, Feb. 1, 1985]

***

“The only problem with Microsoft is they just have no taste. They have absolutely no taste. And I don’t mean that in a small way, I mean that in a big way, in the sense that they don’t think of original ideas, and they don’t bring much culture into their products.”

“I am saddened, not by Microsoft’s success — I have no problem with their success. They’ve earned their success, for the most part. I have a problem with the fact that they just make really third-rate products.” [Triumph of the Nerds, 1996]

***

“I wish him the best, I really do. I just think he and Microsoft are a bit narrow. He’d be a broader guy if he had dropped acid once or gone off to an ashram when he was younger.” [On Bill Gates, The New York Times, Jan. 12, 1997]

On Predicting the Future

“I’ll always stay connected with Apple. I hope that throughout my life I’ll sort of have the thread of my life and the thread of Apple weave in and out of each other, like a tapestry. There may be a few years when I’m not there, but I’ll always come back. [Playboy, Feb. 1, 1985]

***

“The most compelling reason for most people to buy a computer for the home will be to link it to a nationwide communications network. We’re just in the beginning stages of what will be a truly remarkable breakthrough for most people––as remarkable as the telephone.” [Playboy, Feb. 1, 1985]

***

“The desktop computer industry is dead. Innovation has virtually ceased. Microsoft dominates with very little innovation. That’s over. Apple lost. The desktop market has entered the dark ages, and it’s going to be in the dark ages for the next 10 years, or certainly for the rest of this decade.

“It’s like when IBM drove a lot of innovation out of the computer industry before the microprocessor came along. Eventually, Microsoft will crumble because of complacency, and maybe some new things will grow. But until that happens, until there’s some fundamental technology shift, it’s just over.” [Wired, February 1996]

***

The desktop metaphor was invented because one, you were a stand-alone device, and two, you had to manage your own storage. That’s a very big thing in a desktop world. And that may go away. You may not have to manage your own storage. You may not store much before too long. [Wired, February 1996]

On Life

“It’s more fun to be a pirate than to join the navy.” [1982, quoted in Odyssey: Pepsi to Apple, 1987]

***

“When you’re young, you look at television and think, There’s a conspiracy. The networks have conspired to dumb us down. But when you get a little older, you realize that’s not true. The networks are in business to give people exactly what they want. That’s a far more depressing thought. Conspiracy is optimistic! You can shoot the bastards! We can have a revolution! But the networks are really in business to give people what they want. It’s the truth.” [Wired, February 1996]

***

“I’m an optimist in the sense that I believe humans are noble and honorable, and some of them are really smart. I have a very optimistic view of individuals. As individuals, people are inherently good. I have a somewhat more pessimistic view of people in groups. And I remain extremely concerned when I see what’s happening in our country, which is in many ways the luckiest place in the world. We don’t seem to be excited about making our country a better place for our kids.” [Wired, February 1996]

***

“You can’t connect the dots looking forward; you can only connect them looking backwards. So you have to trust that the dots will somehow connect in your future. You have to trust in something — your gut, destiny, life, karma, whatever. This approach has never let me down, and it has made all the difference in my life.” [Stanford commencement speech, June 2005]

***

“Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work. And the only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it. And, like any great relationship, it just gets better and better as the years roll on. So keep looking until you find it. Don’t settle.” [Stanford commencement speech, June 2005]

***

“When I was 17, I read a quote that went something like: “If you live each day as if it was your last, someday you’ll most certainly be right.” It made an impression on me, and since then, for the past 33 years, I have looked in the mirror every morning and asked myself: “If today were the last day of my life, would I want to do what I am about to do today?” And whenever the answer has been “No” for too many days in a row, I know I need to change something.

“Remembering that I’ll be dead soon is the most important tool I’ve ever encountered to help me make the big choices in life. Because almost everything — all external expectations, all pride, all fear of embarrassment or failure — these things just fall away in the face of death, leaving only what is truly important. Remembering that you are going to die is the best way I know to avoid the trap of thinking you have something to lose. You are already naked. There is no reason not to follow your heart.” [Stanford commencement speech, June 2005]

***

“I think if you do something and it turns out pretty good, then you should go do something else wonderful, not dwell on it for too long. Just figure out what’s next.” [NBC Nightly News, May 2006]

***

And One More Thing

“No one wants to die. Even people who want to go to heaven don’t want to die to get there. And yet death is the destination we all share. No one has ever escaped it. And that is as it should be, because Death is very likely the single best invention of Life. It is Life’s change agent. It clears out the old to make way for the new. Right now the new is you, but someday not too long from now, you will gradually become the old and be cleared away. Sorry to be so dramatic, but it is quite true.

“Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma — which is living with the results of other people’s thinking. Don’t let the noise of others’ opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.” [Stanford commencement speech, June 2005]

How to create advertising that sells

“How to create advertising that sells”

By David Ogilvy

Ogilvy & Mather has created over $1,480,000,000 worth of advertising. Here, with all the dogmatism of brevity are 38 of the things we have learned.

1.  The most important decision. We have learned that the effect of your advertising on your sales depends more on this decision than on any other: how should you position your product? Should you position Schweppes as a soft drink – or as a mixer?  Should you position Dove as a product for dry skin or as a product which gets hands really clean?  The results of your campaign depend less on how we write your advertising than how your product is positioned.  It follows that positioning should be decided before the advertising is created.  Research can help.  Look before you leap.

2.  Large promise. The second most important decision is this:  what should you promise the customer?  A promise is not a claim, or a theme, or a slogan.  It is a benefit for the consumer.  It pays to promise a benefit which is unique and competitive, and the product must deliver the benefit your promise.  Most advertising promises nothing.  It is doomed to fail in the marketplace.  ”Promise, large promise, is the soul of an advertisement”  – said Samuel Johnson.

3.  Brand image. Every advertisement should contribute to the complex symbol which is the brand image.  95% of all advertising is created ad hoc.  Most products lack any consistent image from one year to another.  The manufacturer who dedicates his advertising to building the most sharply defined personality for his brand gets the largest share of the market.

4. Big ideas. Unless your advertising is built on a big idea, it will pass like a ship in the night. It takes a big idea to jolt the consumer out of his indifference – to make him notice your advertising, remember it and take action. Big ideas are usually simple ideas. Said Charles Kettering, the great General Motors inventor: “this problem, when solved, will be simple.” Big, simple ideas are not easy to come by. They require genius – and midnight oil. A truly big one can be continued for 20 years – like our eye patch for Hathaway shirts.

 

5. A first-class ticket. It pays to give most products an image of quality – a first-class ticket. Ogilvy & Mather  has been conspicuously successful in doing this – for Pepperidge, Hathaway, Mercedes Benz, Schweppes, Dove and others. If your advertising looks ugly, consumers will conclude that  your product is shoddy and they will be less likely to buy it.

6. Don’t be a bore. Nobody was ever bored into buying a product. Yet most advertising is impersonal, detached, cold – and dull. It pays to involve the customer. Talk to her like a human being. Charm her. Make her hungry. Get her to participate.

7. Innovate. Start trends – instead of following them. Advertising which follows a fashionable fad or is imitative, is seldom successful. It pays to innovate, to blaze new trails. But innovation is risky unless you pre-test your innovation with consumers. Look before you leap.

8.  Be suspicious of awards. The pursuit of creative awards seduces creative people from the pursuit of sales.  We have been unable to establish any correlation whatever between awards and sales.  At Ogilvy and Mather, we now give an annual award for the campaign which contributes the most to sales. Successful advertising sells the product without drawing attention to itself, it rivets the consumer’s attention on the product.  Make the product the hero of your advertising.

9.  Psychological Segmentation. Any good agency knows how to position products for demographic segments of the market – for men, for young children, for farmers in the south, etc.  But Ogilvy and Mather has learned that it often pays to position for psychological segments of the market.  Our Mercedes-Benz advertising is positioned to fit non-conformists who scoff at “status symbols” and reject flim-flam appeals to snobbery.

10.  Don’t bury news. It is easier to interest the consumer in a product when it is new than at any other point in its life.  Many copywriters have a fatal instinct for burying news.  That is why most advertising for new products fails to exploit the opportunity that genuine news provides.  It pays to launch your new product with a loud boom-boom.

11.  Go the whole hog. Most advertising campaigns are too complicated.  They reflect a long list of marketing objectives.  They embrace the divergent views of too many executives.  By attempting too many things, they achieve nothing.  It pays to boil down your strategy to one simple promise – and go the whole hog in delivering that promise.

What Works Best In Television

12.  Testimonials. Avoid irrelevant celebrities.  Testimonial commercials are almost always successful – if you make them credible.  Either celebrities or real people can be effective.  But avoid irrelevant celebrities whose fame has no natural connection with your product or your customers.  Irrelevant celebrities steal attention from your product.

13. Problem-solution (don’t cheat!) You set up a problem that the consumer recognizes. And you show how your product can solve that problem. And you prove the solution. This technique has always been above average in sales results, and it still is. But don’t use it unless you can do so without cheating: the consumer isn’t a moron. She is your wife.

14. Visual demonstrations. If they are honest, visual demonstrations are generally effective in the marketplace. It pays to visualize your promise. It saves time. It drives the promise home. It is memorable.

15. Slice of life.
These playlets are corny, and most copywriters detect them. But they have sold a lot of merchandise, and are still selling.

16. Avoid logorrhea. Make your pictures tell the story. What you show is more important than what you say. Many commercials drown the viewer in a torrent of words. We call that logorrhea, (rhymes with diarrhea.) We have created some great commercials without words.

17. On-camera voice. Commercials using on-camera voice do significantly better than commercials using voice over.

18.  Musical Backgrounds. Most commercials use musical backgrounds.  However, on the average, musical backgrounds reduce recall of your commercial.  Very few creative people accept this.   But we never heard of an agency using musical background under a new business presentation.

19.  Stand-ups. The stand-up pitch can be effective, if it is delivered with straightforward honesty.

20.  Burr of singularity.
The average consumer now sees 20,000 commercials a year; poor dear.  Most of them slide off her memory like water off a duck’s back.  Give your commercials a flourish of singularity, a burr that will stick in the consumer’s mind.  One such burr is the mnemonic device or relevant symbol – like the crowns in our commercials for Imperial Magazine.

21.  Animation and cartoons.
Less than 5% of television commercials use cartoons or animation.  They are less persuasive than live commercials.  The consumer can not identify herself with the character in the cartoon and cartoon’s do not invite belief.  However, Carson-Roberts, our partners in Los Angeles, tell us that animation can be helpful when you are talking to children.  They should know, they have addressed more than 600 commercials to children.

22.  Salvage commercials.
Many commercials which test poorly can be salvaged.  The faults revealed by the test can be corrected.  We have doubled the effectiveness of a commercial simply be re-editing it.

23.  Factual versus emotional.
Factual commercials tend to be more effective than than emotional commercials.  However, Ogilvy & Mather has made some emotional commercials, which have been successful in the marketplace.  Among these are our campaigns for Maxwell House Coffee and Hershey’s Milk Chocolate.

24.  Grabbers.
We have found that commercials with an exciting opening hold their audience at a higher level than commercials which begin quietly.

What Works Best In Print?

25. Headline. On the average, five times as many people read the headline as read the body copy.  It follows that, if you don’t sell the product in your headline, you have wasted 80% of your money.  That is why most Ogilvy and Mather headlines include the brand name and the promise.

26.  Benefited headline. Headlines that promise to benefit sell more than those that don’t.

27.  News and headlines. Time after time we have found that it pays to inject genuine news into headlines.  The consumer is always on the lookout for new products or new improvements in an old product, or new ways to use an old product.  Economists – even Russian economists – approve of this.  They call it “informative” advertising.  So do consumers.

28.  Simple headlines.
Your headline should telegraph what you want to say – in simple language.  Readers do not stop to decipher the meanings of obscure headlines.

29.  How many words in a headline? In headline tests conducted with cooperation from a big department store, it was found that headlines of 10 words or longer sold more goods than short headlines.  In terms of recall, headlines between 8-and-10 words are most effective.  In mail order advertising, headlines between 6-and-12 words get the must coupon returns.  On the average, long headlines sell more merchandise than short ones – headlines like our “At 60 miles an hour, the loudest noise in this new Rolls-Royce comes from the electric clock.”

30.  Localize headlines. In local advertising, it pays to include the name of the city in your headline.

31.  Select your prospects.
When you advertise your product which is consumed by a special group, it pays to flag that group in your headline – mothers, bedwetters, going to Europe?

32. Yes, people read long copy. Readership falls off rapidly up to 50 words, but drops very little between 50 and 500 words (this page contains 1,909 words, and you are reading it). Ogilvy & Mather has used long copy – with notable success – from Mercedes Benz, Cessna Citation, Merrill Lynch, and Shell Gasoline. “The more you tell, the more sell.”

33. Story appeal and picture. Ogilvy & Mather has gotten noticeable results with photographs, which suggest the story. The reader glances at the photograph and asks himself, “what goes on here?” Then he reads the copy to find out. Harold Rudolph called this magic element “story appeal.” The more of it you inject into your photograph, the more people look at your advertisements. It is easier said than done.

34. Before and after. Before and after advertisements are somewhat above average in attention value. Any form of visualized contrast seems to work well.

35. Photographs versus art work.
Ogilvy & Mather has found that photographs work better than drawing – almost invariably. They attract more readers, generate more appetite appeal, are more believable, are better remembered, pull more coupons, and sell more merchandise.

36. Use captions to sell.
On the average, twice as many people read the captions under photographs as read the body copies. It follows that you should never use a photograph without putting a caption under it; and each caption should be a miniature advertisement for the product – complete with the brand name and promise.

37: Editorial layout. Ogilvy & Mather has had more success with editorial layouts, than with addy Layouts. Editorial layouts get higher readership than conventional advertisements.

38: Repeat your winners. Scores of great advertisements have been discarded before they have begun to pay off.  Readership can actually increase with repetition – up to five repetitions.

Below, please see the incredible, original, 1,900 word ad: “How to create advertising that sells” written by David Ogilvy that actually ran in newspapers back in the 60’s and 70’s as an ad for Ogilvy & Mather.

“Nothing is original…”

“Nothing is original. Steal from anywhere that resonates with inspiration or fuels your imagination. Devour old films, new films, music, books, paintings, photographs, poems, dreams, random conversations, architecture, bridges, street signs, trees, clouds, bodies of water, light and shadows. Select only things to steal from that speak directly to your soul. If you do this, your work (and theft) will be authentic. Authenticity is invaluable; originality is nonexistent.”

Jim Jarmush

Seth’s Blog: Why you might choose to be in favor of transparency

Why you might choose to be in favor of transparencyThousands of doctors have signed up for a service that, among other things, they can use to try to prohibit patients from posting reviews. You can read a bit about it here.In Iowa, in a surprisingly similar move, the state government is moving ahead with a law that will make it a crime to take or possess videotapes of factory farming that might harm the commercial interests of the farmer.In both cases, an organization is trying to maintain power by hiding information from the public. Can you imagine being arrested for possession of a photo of a pig?It’s easy to argue that from the public’s point of view, laws like this are a bad idea. The public certainly benefits from the outing of bad doctors and from the improved hygeine of factory farms. In that sense, it’s unethical for doctors and legislators to subvert their responsibilities by ordering the unempowered to shut up.I think it’s interesting to think about from the doc’s point of view and the chicken farmer, as well. The temptation is for those in charge to defend the status quo by fighting transparency. This ignores a simple truth:When book reviews are posted, book sales go up.Yes, the argument of fairness matters. The patients have no choice, the chickens certainly have no choice and the consumers don’t have much choice either. There’s an argument that goes beyond choice, though… it turns out that transparency increases profitability.If every chicken coop has a video camera in it, quality will obviously go up. Confidence in the product will go up. Employee behavior will improve as well, because it’s hard to torture a chicken if you know you’re going to get caught.But wait, you might argue… if we have to take better care of the chickens, our costs will go up as well.Here’s the thing: when consumers get used to transparency, they’re also more interested in the quality of what you sell, and are more likely to willingly pay extra. They’ll certainly cross the street to buy from an ethical provider. And once people start moving in that direction, the cost of being an unethical provider gets so high that you either change your ways or fade away.Chicken farms don’t need a law prohibiting possession of images. They need a producer who will make a ton of great true chicken movies. Inundate us with images of cleanliness and quality instead of blacking us out. Don’t race to the bottom you might win. Instead, force your competition to race you to the top instead.[Aside: the same objection happened when we started regulating hygeine in restaurant kitchens. Yes, it got more expensive to clean the pots and kill the rodents, but it was okay, because post-Duncan Hines, demand for quality went up enough to more than pay for it.]The same argument holds true for doctors. Once information about good doctors becomes widespread, patients will be more willing to seek out those doctors, rewarding the ones who consistently take better care of their patients. The entire profession doesn’t suffer we’ll still go to a doctor merely the careless doctors will.One more: A leading politician in India is arguing that bribery in certain transactions ought to be legalized. Why? Because if the briber feels free to rat out the bureaucrat, bribery goes down.In all three cases, sunlight is an antiseptic and the marketplace rewards those that behave–and the entire market grows when the standards increase.Consumers and those that want their admiration ought to reward those in favor of transparency what a great opportunity for McDonald’s. And the antidote for speech a provider doesn’t like isn’t a contract or a law. The antidote to speech you don’t like is more speech.

via Seth’s Blog: Why you might choose to be in favor of transparency.

Delegate or die: the self-employed trap

Delegate or die: the self-employed trap. | Derek Sivers.

Most self-employed people get caught in the delegation trap.

You’re so busy, doing everything yourself.
You know you need help, but to find and train someone would take more time than you have!
So you keep working harder, until you break.

Here’s my little tale of how I broke into the delegation mindset:

In 2001, CD Baby was three years old.
I had eight employees but I was still doing “everything else” myself.
Working 7am to 10pm, seven days a week, everything still went through me.

Every five minutes, my employees had a question for me:

*

“Derek, some guy wants to change the album art after it’s already live on the site. What do I tell him?”

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“Derek, can we accept wire transfer as a form of payment?”

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“Derek, someone placed two orders today, and wants to know if we can ship them together as one, but refund him the shipping cost savings?”

It was hard to get anything done while answering questions all day.
I felt like I might as well just show up to work and sit on a chair in the hallway, just answering employees’ questions, full-time.

I hit my breaking point.
I stopped going to the office and shut off my phone.
Then I realized I was running from my problems instead of solving them.
I had to fix this, or I’d be ruined.

After a long introspective night of thinking and writing, I got myself into the delegation mindset.

I had to make myself un-necessary to the running of my company.

The next day, as soon as I walked in the door, someone asked, “Derek, someone whose CDs we received yesterday has now changed his mind and wants his CDs shipped back.  We’ve already done the work, but he’s asking if we can refund his set-up fee since he was never live on the site.”

This time, instead of just answering the question, I called everyone together for a minute.

I repeated the situation and the question for everyone.

I answered the question, but more importantly, I explained the thought process and philosophy behind my answer.

“Yes refund his money in full. We’ll take a little loss. It’s important to always do whatever would make the customer happiest, as long as it’s not outrageous. A little gesture like this goes a long way to him telling his friends we’re a great company. Everyone always remember that helping musicians is our first goal, and profit is second. You have my full permission to use that guideline to make these decisions yourself in the future. Do what makes them happiest. Make sure everyone who deals with us leaves with a smile.”

I asked around to make sure everyone understood the answer.

I asked one person to start a manual, and write down the answer to this one situation, and write down the philosophy behind it.

Then everyone went back to work.

Ten minutes later, new question.
Same process:

1.

Gather everybody around.

2.

Answer the question, and explain the philosophy.

3.

Make sure everyone understands the thought process.

4.

Ask one person to write it in the manual.

5.

Let them know they can decide this without me next time.

After two months of this, there were no more questions.

Then I showed someone how to do the last of the stuff that was still my job.
As part of learning it, they had to document it in the manual, and show it to someone else, too.
(Learn by teaching.)

Now I was totally un-necessary.

I started working at home – not going into the office at all.

I had even taught them my thought-process and philosophy about hiring new people.
So our two newest employees were entirely found, interviewed, hired, and trained by them.
They used that manual to make sure every new employee understood the philosophy and history, and knew how to make decisions for themselves.

I’d call in once a week to make sure everything was OK.
It was.
They didn’t even have any questions for me.

Because my team was running the business, I was free to actually improve the business!

I moved to California, just to make it clear that the running of things was up to them.

I was still working 12-hour days, but now I was spending all my time on improvements, optimizations and innovations.
To me, this was the fun stuff.
This was play, not work.

While I was away, my company grew from $1M to $20M in four years.

There’s a big difference between being self-employed and being a business owner.

Being self-employed feels like freedom until you realize that if you take time off, your business crumbles.

To be a true business owner, make sure you could leave for a year, and when you came back, your business would be doing better than when you left.

(If you’re interested in this stuff, read a book called “E-Myth Revisited” by Michael Gerber.)

Three ways to help people get things done

A friend sent me a copy of a new book about basketball coach Don Meyer. Don was one of the most successful college basketball coaches of all time, apparently. It’s quite a sad book—sad because of his tragic accident, but also sad because it’s a vivid story about a misguided management technque.

Meyer’s belief was that he could become an external compass and taskmaster to his players. By yelling louder, pushing harder and relentlessly riding his players, his plan was to generate excellence by bullying them. The hope was that over time, people would start pushing themselves, incorporating Don’s voice inside their head, but in fact, this often turns out to be untrue. People can be pushed, but the minute you stop, they stop. If the habit you’ve taught is to achieve in order to avoid getting chewed out, once the chewing out stops, so does the achievement.

It might win basketball games, but it doesn’t scale and it doesn’t last. When Don left the room (or the players graduated), the team stopped winning.

A second way to manage people is to create competition. Pit people against one another and many of them will respond. Post all the grades on a test, with names, and watch people try to outdo each other next time. Promise a group of six managers that one of them will get promoted in six months and watch the energy level rise. Want to see little league players raise their game? Just let them know the playoffs are in two weeks and they’re one game out of contention.

Again, there’s human nature at work here, and this can work in the short run. The problem, of course, is that in every competition most competitors lose. Some people use that losing to try harder next time, but others merely give up. Worse, it’s hard to create the cooperative environment that fosters creativity when everyone in the room knows that someone else is out to defeat them.

Both the first message (the bully with the heart of gold) and the second (creating scarce prizes) are based on a factory model, one of scarcity. It’s my factory, my basketball, my gallery and I’m going to manipulate whatever I need to do to get the results I need. If there’s only room for one winner, it seems these approaches make sense.

The third method, the one that I prefer, is to open the door. Give people a platform, not a ceiling. Set expectations, not to manipulate but to encourage. And then get out of the way, helping when asked but not yelling from the back of the bus.

When people learn to embrace achievement, they get hooked on it. Take a look at the incredible achievements the alumni of some organizations achieve after they move on. When adults (and kids) see the power of self-direction and realize the benefits of mutual support, they tend to seek it out over and over again.

In a non-factory mindset, one where many people have the opportunity to use the platform (I count the web and most of the arts in this category), there are always achievers eager to take the opportunity. No, most people can’t manage themselves well enough to excel in the way you need them to, certainly not immediately. But those that can (or those that can learn to) are able to produce amazing results, far better than we ever could have bullied them into. They turn into linchpins, solving problems you didn’t even realize you had. A new generation of leaders is created…

And it lasts a lifetime.

Seth’s Blog: Three ways to help people get things done.

Seth’s Blog: Art is what we call…

the thing an artist does.

It’s not the medium or the oil or the price or whether it hangs on a wall or you eat it. What matters, what makes it art, is that the person who made it overcame the resistance, ignored the voice of doubt and made something worth making. Something risky. Something human.

Art is not in the eye of the beholder. It’s in the soul of the artist.

Seth’s Blog: Art is what we call….