-
00:00:00Thank you
-
00:00:01Thank you
-
00:00:02Yes, it is true that I am a Stanford Graduate, so don't hold that against me
-
00:00:08Okay, my son goes to Cal, so I have some linked account
-
00:00:11It is really an honor to speak at any tedx, but the open one up is really, really special
-
00:00:18So, last night, I told my wife, you know, of all places in your wildest dreams, did you ever think that I would open up tedxberkeley? And she said, honey, you're not in my wildest dreams
-
00:00:32So welcome to my life
-
00:00:35Welcome to My Life
-
00:00:38You do the seam of thinking and defining and creating is all about Innovation
-
00:00:43So my talk is about the art of innovation
-
00:00:46I use the top 10 format
-
00:00:48That's because I seen so many high-tech speakers, and I'll tell you the most high tech speakers suck
-
00:00:53So I figured out very early in my career
-
00:00:56If you use the top 10 format, at least the audience can track progress to your speech
-
00:01:00So they, if they think you suck, they know about how much longer you'll suck
-
00:01:04So I had, I have 10 key points for you, so I worked it out
-
00:01:08I've been a venture capitalist and entrepreneur or an advisor to Google
-
00:01:12I've done a lot of things, and I've learned a lot about Innovation, which I would like to pass on to you now, so that you may go and change the world
-
00:01:19Okay
-
00:01:19This is my top 10 of the art of innovation
-
00:01:22It starts with the desire to make meaning as opposed to make money
-
00:01:27Making meaning means that you change the world
-
00:01:30And I think you'll notice that if you happen to change the world, you will also probably make money
-
00:01:35But if you start off with the sole desire to make, You probably won't make money
-
00:01:40You won't make me any, you won't change the world and you will probably fail
-
00:01:45So, my first thought for you is determine how you can make meeting
-
00:01:50How can you change the world? Are some examples with apple apple wanted to democratize computers, they wanted to bring computing power to everyone
-
00:02:00That's the meaning they made with Google, they wanted to democratize information, making information available to everyone with eBay
-
00:02:08They wanted to democratize Commerce so that anyone with the website could stand toe-to-toe with any other large retailer examples of companies, making meaning and YouTube finally wanted to enable people to create video to upload video
-
00:02:26to share video
-
00:02:27So these are, this is an example of a company and the kind of meaning they made
-
00:02:32And as, you know, they all made this kind of meaning and they've been highly highly successful
-
00:02:37So, what I noticed in my Careers that if you truly want to make meaning it's the first step towards Innovation
-
00:02:44The second step is to make a mantra, a two or three, maybe four word, explanation of why you're meeting should exist
-
00:02:51This is an anti example
-
00:02:52This is the mission statement of Wendy's
-
00:02:55The mission of Wendy's is to deliver superior, quality products and services for our customers and communities to leadership in Innovation and Partnerships
-
00:03:03I have been through Wendy's many times in my life, I eat that Wendy's
-
00:03:07I've driven through Wendy's and in every occasion it has never occurred to me that the guy what you are participating in leadership, Innovation and Partnerships
-
00:03:18In
-
00:03:19Excuse me, but I thought I was just getting french fries and a hamburger
-
00:03:24This is the problem with mission statement
-
00:03:27Don't make a mission statement
-
00:03:28Make a mantra Wendy's Mantra should be healthy fast, food, three words
-
00:03:34To determine what Wendy's is trying to do someone oxymoronic but healthy, fast food, Nike Nike, and the great slogan, just do it
-
00:03:42That's a slogan
-
00:03:43A mantra explains why you should exist
-
00:03:46And the Nike Mantra is authentic athletic performance
-
00:03:50And finally, this FedEx when you absolutely positively want something somewhere, what does FedEx stand for stands for peace of mind
-
00:04:00So my second recommendation to you is that when you decide on the kind of meaning you make, try to find two or three words that describe, why that meaning should exist
-
00:04:10Not a 50-word mission statement, two or three word Mantra
-
00:04:14The third thing is a matter of perspective, perspective is Jump curves not to stay on the same stupid curve that you are not to try to do things 10% better
-
00:04:26When we were creating the Macintosh, we were not trying to make a slightly better Apple to or a slightly better MS-DOS machine
-
00:04:34We were trying to jump to the next curb of personal Computing
-
00:04:38The greatest example of this occurs in the ice business, Ice 10
-
00:04:44in the late, 1800s early 1900s
-
00:04:46It was an ice harvesting business in the United States
-
00:04:49This meant that Bubba and Junior during winter would go to a frozen lake or Pond cut blocks of ice
-
00:04:55Nine million pounds of ice was harvested in 1900
-
00:04:58Their idea of innovation was bigger, horse more horses, bigger
-
00:05:04Sleigh sharper saw, it was fundamentally wait for Winter live in a Coal City, cut blocks of ice 30 years later, we have ice 20
-
00:05:13Now, we have the ice factory, major technological breakthrough
-
00:05:18It did not have to be winter, it did not have to be a cold City, you froze, water, centrally and delivered
-
00:05:24It via the Iceman in the ice truck
-
00:05:27Imagine the Breakthrough
-
00:05:29This was no more limitations by climate
-
00:05:33No more limitations by season, you could have an ice factory, 30 years go by, we have ice, 30
-
00:05:40refrigerator curve
-
00:05:41Now, No, it's not
-
00:05:43A matter of, can you freeze water centrally, can you put it in the truck? Can you deliver the ice two people? Now, everybody could have their own personal Ice, Factory a piece
-
00:05:54See, if you will a personal chiller The very interesting story about all of these curves is that none of the organizations that were ice Harvesters, became ice factories and Ice Factories, do not become refrigerator companies,
-
00:06:09because most companies to Define themselves in terms of what they do, not the benefits, they provide
-
00:06:15If you define yourself, as we cut blocks of ice out of lakes, you remain and Ice Harvester
-
00:06:21If you define yourself, as we freeze water centrally, you remain an ice factory
-
00:06:26If you define yourself, as we make a mechanical gadget called a refrigerator, then you stay on the refrigerator curve, great, Innovation, occurs, when you get to the next curve
-
00:06:37When you go from telephone, The internet, when you go from Daisy wheel printer to a laser printer to 3D printing, great on division, occurs on the next curve
-
00:06:47The fourth thing is to roll the dice
-
00:06:49See these are the five qualities of great Innovation
-
00:06:52Innovation is D, lots of features, lots of functionality
-
00:06:56This is a picture of a Fanning sandal made by Reef, arguably the deepest and deliver made, every saint has one primary purpose to protect your feet
-
00:07:05If you look at that Circle area, that's a metal clip
-
00:07:08That metal clip is for the sandal to open beer bottles
-
00:07:12The Scandal has twice the functionality twice
-
00:07:15The depth of any other sandal in the world
-
00:07:19Great products are also intelligent
-
00:07:20When you look at it, you said somebody understood my pain
-
00:07:24Somebody understood my problem
-
00:07:25This is a GT500, Shelby, Mustang, 650 horsepower
-
00:07:29For those of you who do not read the horsepower and muscle cars, this is 68
-
00:07:35Priuses
-
00:07:39I would love to buy one of these cars
-
00:07:4159 years old, going through, midlife crisis
-
00:07:43Feelings of impotency
-
00:07:44I would love
-
00:07:45I would love to buy this car to compensate for my feelings of inadequacy
-
00:07:50However, I have two teenage, boys, ones, 18 ones, 20, And I know that no matter how carefully I plan it there may be instances where they may drive my car and the thought of them in
-
00:08:02a 650 horsepower, car is immoral
-
00:08:07I have learned
-
00:08:07However, the four makes a very intelligent product, hold of Mikey
-
00:08:11And what the Mikey enables you to do is program, the top speed of the car, into the key very intelligent product
-
00:08:19Great products are also complete, it's the totality of the product
-
00:08:23If the software business is not just the software, it's not just the DVD, it's the webinar, this the documentation, it's the Android developers
-
00:08:32If you have an eye, if you have an Android
-
00:08:35It's the iOS developers
-
00:08:37If you have an iOS phone it's the totality great products are also empowering
-
00:08:42They make you more creative more productive
-
00:08:45They enhance you they changed the meaning of your life
-
00:08:48This is a picture of a MacBook Air
-
00:08:50If you's a Macintosh, it becomes one with you, it makes you more creative and more powerful more productive Windows
-
00:08:59If the fight you have to wrestle windows to the brown, you need to defeat windows
-
00:09:05And finally, great products are elegant, somebody cared about the user interface
-
00:09:09So as you go through life and you're trying to jump curves, ask yourself Am I creating something that's deep and intelligent and complete and empowering and elegant, am I rolling the dice? See, the fifth thing
-
00:09:24is I stole from something
-
00:09:26I stole something from Bobby
-
00:09:27McFerrin had a great song
-
00:09:28Don't Worry
-
00:09:29Be Happy
-
00:09:31but what innovators do is don't worry be crappy, which is to say when you have the first refrigerator, there might be elements of crap Enis to it when you have the first Laser printer
-
00:09:45There may be elements of crapping his do it when you have the first Macintosh
-
00:09:48Thanks to my efforts
-
00:09:49There was no software
-
00:09:50There was no hard disc, not enough RAM to slow a chip
-
00:09:54Lots of elements of crappy, but if you waited for the perfect world and you waited till the chips are cheap enough and fast enough, and everything was in place, you would never ship
-
00:10:04And I learned a very valuable lesson, don't worry, be crap when you have jump to the next curve, it's okay to have elements of crap Enos to your Revolution
-
00:10:14I am not saying you should ship crap
-
00:10:17I am saying that you should ship things that are revolutionary Innovative on the next curve that have elements of craftiness to it
-
00:10:27biotech people ignore this like, Number six, number six is to let a Hundred Flowers Blossom
-
00:10:34I stole this from German my love though, not clear to me
-
00:10:37He ever implemented is letting a Hundred Flowers Blossom means that the station
-
00:10:43You may think you have in mind exactly who your user is exactly what your customers, what they should do with your product
-
00:10:49And you may be surprised if the people are going to use your product and raise, you did not anticipate
-
00:10:53It is going to be people
-
00:10:54You did not anticipate would be using it at all
-
00:10:57And when this occurs hallelujah, thank God
-
00:11:01That it's occurring
-
00:11:01Positioning and branding, ultimately comes down to what the consumer decides, not to what you decide soaked with McIntosh
-
00:11:09We thought we had a spreadsheet database and we're processing machine
-
00:11:11We were 2043 there
-
00:11:13What made McIntosh successful with all this page maker pacemaker, created a field of flowers called desktop publishing, desktop publishing was what saved Macintosh, not spreadsheet database, a word processor
-
00:11:25If we Focused on spreadsheet database, and One processor and ignored desktop publishing app would be dead today
-
00:11:32Dead today would be a different world
-
00:11:34We all have phones with real keypads
-
00:11:36We have phones with the battery lasted for more than a day filled with a GPS
-
00:11:39Actually work
-
00:11:40It would be a different world
-
00:11:41All this page make, it was a gift from gotha Apple because it's saved Apple, I believe in God
-
00:11:47And one of the reasons why I believe in God is there is no other explanation for apples continued survival than the existence of God
-
00:11:53Let a Hundred Flowers Blossom, don't to be proud
-
00:11:59Take your best shot with positioning and branding
-
00:12:01But then, when customers use your product, if they say, it's a desktop publishing machine
-
00:12:06Hallelujah, declare Victory
-
00:12:07It is now a desktop publishing machine number seven people, great product, great service
-
00:12:14Great Innovation polarized people
-
00:12:16This is at evil, People like me
-
00:12:19Who travel up
-
00:12:20I love people with 40-volt in our house
-
00:12:22I need to time-shift a lot of TV
-
00:12:24I love to watch TV now, there are people who also hate evil
-
00:12:29People who hate people usually work for large Brands and advertising agencies because people like me we watch advertising one day a year about a week ago, we watch Super Bowl ads
-
00:12:42The rest of the year were fast-forwarding through TV with Tivo through ads Great product, Polaroid people agency, you hate people for me, you love people, you can love or hate Harley-Davidson, you can love or hate
-
00:12:56a Macintosh, you can love or hate an iPhone
-
00:12:59I'm not saying that you should intentionally piss people off
-
00:13:02But I'm telling you that great product, polarize, people don't be afraid of polarizing people Panthers, who said burn, baby bird
-
00:13:13What, what innovators in business do, is they turn Baby Trend? They take version one and they make it 11, 12, 13, 14, 15 20,
-
00:13:21the hardest thing in the world, because to be an innovator, you need to be in denial, you need to be in denial because the naysayers are going to tell you can't be done, shouldn't be done
-
00:13:30It is necessary for those people, but as soon as you ship, you need to flip that bit and start listening to people and turn your product change it
-
00:13:40Change it and change it and keep evolving it
-
00:13:44Number 9 is all the marketing
-
00:13:46You need to know
-
00:13:47It is to Niche by self
-
00:13:49It's a very simple chart on the vertical axis
-
00:13:51We measured uniqueness
-
00:13:53on the horizontal axis, we measure value
-
00:13:55This is a 2 by 2 Matrix
-
00:13:56Those are you when you graduate, if you go to work for McKenzie, you'll be charging 5 million dollars for people to figure out that they want to be in the upper right hand corner of this
-
00:14:04chart
-
00:14:06Let's go to all Corners in the bottom right corner, that's where you have something of Great Value
-
00:14:10But it's not unique
-
00:14:12there, you have to compete on price
-
00:14:13This is what I called the Dale Corner slap
-
00:14:17The same operating system on the same Hardware, you have to compete on price and the opposite corner
-
00:14:22You have something truly unique,
-
00:14:24only you do it but it is of no value in that corner
-
00:14:26You are just plain stupid butt
-
00:14:30Lift or we call that the USC Corner, the bottom left corner
-
00:14:35the bottom is for, The bottom of corn is what I call thecom
-
00:14:43Corner in thecom
-
00:14:44corner
-
00:14:44You have something that's not valuable and not unique
-
00:14:47like buying dog food online
-
00:14:49We buy dog food online
-
00:14:50You pay as much for the dog food because you have to pay for shipping and handling and then you have to be at home when UPS drops off the dead, toucan
-
00:14:57So it's not It's not valuable in it
-
00:15:02Stupid people like me because there was petscom,
-
00:15:04we decided we had to have our own portfolio petscom
-
00:15:07so there were multiple ways to spend the same amount of money on dog food less conveniently
-
00:15:12That's the worst Corner
-
00:15:13Not valuable, not unique
-
00:15:15You want to be in his, the upper right hand corner in that corner
-
00:15:18You are unique
-
00:15:20or I go to movies
-
00:15:21I can only buy tickets with Fandango
-
00:15:23When you take kids to movie, you really want to know you have a ticket before you go
-
00:15:27By the way, may I highly recommend The Lego Movie
-
00:15:31It is a fantastic movie
-
00:15:33Trust me, when I tell you to see The Lego Movie Fandango, the only way you can buy a ticket Breitling emergency watch, the only wants can save your life, pull out the big knob puts out
-
00:15:43an emergency signal Smart Car
-
00:15:47Everybody has parallel to the curb when there's lots of parking
-
00:15:50How many of us have a car that can park perpendicular to the curb? If you're an engineer, you make a product that's unique
-
00:15:58and drive your marketing person, you communicate to the world that your product is unique
-
00:16:02and valuable number 10
-
00:16:04Perfect
-
00:16:05Your pitch
-
00:16:05If you're in innovator, you have to learn to pitch to key points about pitching first, customize your introduction, start with something customized to the audience
-
00:16:19This is a picture of an LG washer and dryer
-
00:16:21I use these pictures to introduce my speech in Latin America
-
00:16:24When I was speaking to the LG management, however to tell you the backstory behind it, I was already in Brazil when I thought about what I should use the picture or LG washer and dryer so
-
00:16:34I didn't have pictures not something I carry with me
-
00:16:36You do pictures of your washer and dryer
-
00:16:38So I sent a text message to my two older boys
-
00:16:41One of them was in the office right now
-
00:16:43His name is Nick older boy, younger boy, Noah
-
00:16:46So I sent him a message saying, you know, get off the Call of Duty that I bought you on the Xbox that I bought you with a house that I bought
-
00:16:54You take your iPhone that I bought
-
00:16:55You go downstairs, both of, you take pictures of the LG washer and dryer
-
00:16:59I need it right away
-
00:17:0150 minutes ago by nothing happens, right? So again, Nick is the older boy, he's a cowboy
-
00:17:08You know the other one is high school
-
00:17:10Still this is what happens
-
00:17:11This is the text message
-
00:17:12I sent Nick a text message
-
00:17:14Did you get my text message? Cuz I don't see the pictures
-
00:17:16Nick response Noah his younger brother said he would take the pictures by the way
-
00:17:20Can you get us some free TV? Welcome to my life and then you see my bottom respond
-
00:17:28I don't think so, Nick
-
00:17:30Welcome to My Life
-
00:17:32The key here is to customize your introduction when I spoke in Moscow, I opened up with this lied and I said, wow, you Russians have big balls
-
00:17:43When I spoke in Istanbul, I opened up with this picture of me in the Grand Bazaar, that guy behind me, is the shopkeeper
-
00:17:48He is really happy
-
00:17:49You know why he's really happy because he's thinking this dumbass American Tourist is going to buy this Fizz
-
00:17:55This verse has been in my family for three generations
-
00:17:58I finally found somebody stupid enough to buy this fast
-
00:18:01Trust me when I tell you, if you'd open up a speech in this temple with a thing like that, my picture like that
-
00:18:06You own the audience, customize your introduction has slides
-
00:18:1110-20-30 rule of presentations
-
00:18:13The optimal number of slide in a presentation is 1010
-
00:18:17You're all Cal people
-
00:18:19You're not stupid
-
00:18:19You know? I'm way past 10
-
00:18:21You may be thinking, I'm a hypocrite
-
00:18:22How should I explain this? I will explain it
-
00:18:25You are not the me
-
00:18:26Okay, bye
-
00:18:29Turn fly
-
00:18:30You should be able to give these 10 slides in 20 minutes, 20 minutes
-
00:18:34Yes, you may have an hour slot but to this day, unfortunately 95% of the world uses Windows laptop
-
00:18:40Those people need 40 minutes to make it work with a projector
-
00:18:44The last thing is the optimal size font is 30 points
-
00:18:47A good rule of thumb is figure out who the oldest person is in the yard if they bite his or her age by 260 year old / 230, 5000 / 225 points
-
00:18:55Do they may be pitching a sixteen-year-old? We see that
-
00:18:58They God bless you, use the eight point five
-
00:19:0111 as a bonus to my friends here Cal
-
00:19:04Don't let the bozos grind you down and the more Innovative
-
00:19:09You are the more
-
00:19:09They'll try to grind you down there two kinds of puzzles in the world
-
00:19:12OK
-
00:19:14Google of a person Rusty car Japanese watch and look at that person a while
-
00:19:22What a loser that person is not dangerous because that person is so obviously a loser
-
00:19:27Only a loser would listen to that loser because you're not losers, you won't listen to that person hints
-
00:19:33That person is not dangerous
-
00:19:34The dangerous both was dressed in all black
-
00:19:37The dangerous Bowls in the old, a lot of stuff that ends in
-
00:19:40I like Armani Maserati, Lamborghini
-
00:19:43Ferrari
-
00:19:44Okay
-
00:19:45Audi's
-
00:19:46Okay
-
00:19:46Rare exception? That's the dangerous bulls will because you think rich and famous parses to smart, but rich and famous parsis to Lucky, not smart, at least half the time
-
00:19:59So I believe the flu you need to be exposed to possess to be
-
00:20:03So that when you encounter big bows off today, if you have already built up the antigen, I'm going to expose you to stumble sauciety
-
00:20:09I think there's a World Market for maybe five computers, Thomas Watson of IBM computer
-
00:20:15I have all the computers
-
00:20:19The anticipated in the world in my house today
-
00:20:22This telephone is too many shortcomings to be seriously considered as a means of communication devices
-
00:20:27Inherently of no value to us Western Union
-
00:20:30Internal memo 1876 Western Union roped-off telephony in a 1876 Western Union
-
00:20:37Western Union should be PayPal today
-
00:20:41There's no reason why anyone would want a computer in their home kennels and great innovator
-
00:20:46Great entrepreneur said this about computers
-
00:20:49There's no reason to have a computer in your whole computer in your home today to the court of the kennels and there's no reason he was a great innovator
-
00:20:57Treated me, good entrepreneur, but he was so successful on
-
00:21:01Let us see the ice factory curved
-
00:21:03He could not appreciate the next curve
-
00:21:07The refrigerator care
-
00:21:08And that is the art of innovation
-
00:21:11Thank you very much
-
00:21:12Thank you
-
00:21:13Thank you very much