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[Replay] Transformative Influence with Walt Rakowich
06/17/21 • 52 min
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At the Heart of Business with Hubert Joly
Hubert Joly is a senior lecturer of Business Administration at Harvard Business School and former Chairman and CEO of Best Buy. He is also a member on the board of directors at Johnson & Johnson and at Ralph Lauren. He has been recognized as one of the top 100 CEOs in the world by Harvard Business Review, one of the top 30 by Barron’s, and one of the 10 in the US by Glassdoor. His most recent book, The Heart of Business: Leadership Principles for the Next Era of Capitalism, is a playbook for facilitating the re-foundation of business and capitalism. It chronicles his journey turning Best Buy around from the brink of extinction to being ranked 75 on the Fortune 500 list. Hubert joins Marcel Schwantes to discuss what lies at the heart of business, and how to foster a good work environment.Marcel asks Hubert what he believes business is about. “At the heart of business... is the pursuit of a noble purpose, putting people at the center, embracing all stakeholders, and treating profit as an outcome, not the goal,” Hubert responds. [2:56]There are three imperatives to an organization and tackling them in the correct sequence leads to optimal outcomes: a people imperative - having the right teams properly motivated and equipped; a business imperative - having happy customers who you sell good products to;a financial imperative - about profit. [9:35]“The old model of leadership portrayed a leader as a superhero here to save the day, probably the smartest person in the room, and, unfortunately, too driven by power, fame, money or glory,” Hubert claims. “This [type of leadership] doesn’t work... [people] want to be part of the journey and the solution.” [15:45]Hubert debunks the concept of perfectionism as a key to success; he shares how demonstrating his imperfection actually helped create the right environment for optimal performance at work. “The quest for perfection is evil. Seeing imperfections as an obstacle to perfection, which was the goal, creates an inhuman environment that destroys the heart of your business,” he remarks. [19:04]Marcel asks Hubert about the formula for turning around a company in financial distress. Hubert breaks down his strategy for rescuing Best Buy. “Sometimes the approach to change management is to change [the] management,” he adds. [26:58]“Operational progress creates routine degrees of freedom, so sometimes you have to start with the basics before you think about creating an amazing future,'' Hubert advises. He describes the five ingredients for creating a fabulous work environment, which are: connecting dreams, developing authentic human connections, fostering autonomy, achieving mastery, and putting the wind at your back. [31:52]Marcel asks Hubert how he thinks a leader loves. “Work is love made visible... Business is about embracing all stakeholders... This is a beautiful friendship you’re building with all stakeholders, treating all of them, in a sense, as customers.” [45:15]ResourcesHubert Joly on LinkedIn The Heart of Business: Leadership Principles for the Next Era of Capitalism
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[Replay] How I Got There with JT McCormick
Marcel Schwantes calls this episode “one of the most authentic and real and raw conversations” he has ever had. His guest, JT McCormick, is the CEO of Scribe Media, a multimillion-dollar publishing company that has been ranked the number one Top Company Culture in America by Entrepreneur magazine, and number two Best Place to Work in Texas. JT is the author of I Got There: How a Mixed Race Kid Overcame Racism, Poverty and Abuse to Arrive at The American Dream. He joins Marcel to chat about his amazing life story - his journey from scrubbing toilets at a restaurant to becoming President of a million-dollar software company, and now CEO of Scribe Media - and to share the lessons he learned along the way.JT says, “If you wake up in the morning and your feet hit the ground, you’ve got to be excellent... Anything that’s not excellent in my life I’m the only one that can change it, so there’s no need to complain about it, just get to work.” [3:45]“My why is to be a phenomenal husband, a phenomenal father, a phenomenal CEO. And then I would say fourth on the list is to give back to the communities which I came from.” [5:07]Marcel asks JT how he overcame all the adversity of his early life. He replies that he refused to be a victim. He decided, at age eight, not to spend his time trying to get everyone to like him, because some people just would not. This early lesson spared him years of grief. Another fundamental lesson he learned was to believe in himself. [8:38]“I just tend to look at things from a positive standpoint... I choose to figure out, How can we make a positive out of a negative situation?” [10:20]JT shares his journey from scrubbing toilets to President of a software company. Two lessons he learned were to be the best at whatever he did, and the magic of compound interest. [12:22]When JT was promoted to President, it struck him that he was only as good as the people he surrounded himself with. As such, his focus shifted to finding the greatest people to surround the company and himself with. [17:03]“If you are in a leadership position, you're only a leader if you serve,” JT argues. He describes how the principle of putting people first is lived out at Scribe Media. [18:05]Marcel asks, “How does a company become number one in the category of culture?” JT responds that it’s a matter of the little actions taken every day to live out your principles. At Scribe Media, they work with each other, not for JT. They bring their whole selves to work: he doesn’t believe in a work self vs a home self. He shares several practices they adopt at the company that build the culture. [22:37]JT and Marcel discuss Scribe Media’s Culture Bible, which is freely accessible to the public. They talk about three of the principles listed in the Culture Bible: Do right by people;Bring your whole self to work;Ask questions. [26:46]“A lot of times you can eliminate questions in transparency,” JT points out. [33:21]JT explains why he disagrees with the remote work trend. [35:37]“What’s your best advice for business owners trying to stay resilient during these crazy stressful times?” Marcel asks. JT advises leaders to put their people first, be transparent, be visible and let people know where they stand. Let people feel safe, he adds, and if you have to pivot or make other tough decisions, make them early and let people know so that you can set their expectations. [39:35]JT teaches through sharing his mistakes. [44:19]“I can't become something that I don't even know exists,” JT says. “...I believe if people just know what's possible they can strive to achieve that.” [46:19]“I live by a formula: Mindset, choices and hard work equals success.” [48:48]ResourcesJT McCormick on [email protected] Got There: How a Mixed Race Kid Overcame Racism, Poverty and Abuse to Arrive at The American Dream
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