what if your product killed seven people
would you spend a hundred million dollars to fix that problem this problem
happened to a company in June actually in August 1982 were seven people on the
east side of Chicago had extra strength tylenol tablets that were laced with
cyanide there was a crazy person a lone wolf who was out there who decided to
disrupt that company's business the company realized there was a lot of
panic so they went straight away into a public
relations campaign to reassure everybody and then they went and purchased all the
products from east coast through the west coast from every pharmacist for 100
million US dollars so they could define some new tamper-proof bottles and stop
the problem
what we going to talk about is introducing trust as a business currency
the company that I spoke about some of you might have heard was called Johnson
& Johnson they were one of their subsidiaries had this issue in this
problem now when you see what happened to the stock of Johnson & Johnson they
literally had a nosedive of 16.9% they lost a hundred and thirty million
dollars of the market capitalization which was seven hundred and fifty
million before this happened but when disruption comes how do you
respond to make a difference and the difference was marked by April the
following year where they stock price at the all-time low had risen up they ended
up making closer to nine hundred and sixty million for the capitalization and
increased by over three hundred and sixteen million dollars of their value
but why should I mention about something that happened in nineteen eighty-two how
does that relate to today the 8th of August September even I live in the
future I can't remember where I am so the reality is that something happened
to me recently in my business and in my life there disrupted what was happening
I was at home one day and I spoke to my wife and she asked me one simple
question she said how do you feel and I responded I'm overwhelmed
without even thinking my wife said to me Elias it's time for you to change your
confession the words that come out of your mouth I was so angry how could she
say this is my wife she should be very happy from
your darling I'm so sorry oh no no no I was so angry that she
wasn't helpful like that though I turned on my heels and I just stormed out of
the house and I went to my next meeting well he can hardly blame me because when
you think about this this has happened since my birth where was I born in the
country called Libya maybe some of you've heard of Libya now if I wasn't
sitting here with a suit but you saw this man Colonel Muammar Gadhafi or as
we like to call him Uncle Mo what would you think of me would you think of me
as potentially another terrorist well the honest truth is I'm not a terrorist
but when I was growing up there were acts of terrorism every day being played
on me let me explain my father used to call me an idiot
now please hear me right my father was a good man but he only did the best that
he could do with the information that he had the imprint from his father and his
father's father so as we were in this environment where we were living there
my father called me an idiot all the time allegedly at the age of maybe four
or five years old my mother said I went up to her and said mum can I have a
knife so I can stab my dad in the back and kill him I can't tell if this is a
true story or a planted memory but every time my mother could share the story she
would tell people and tell people and tell people how do you think that
affected the relationship between myself and my father oh I'm not very good in
fact I couldn't find any place that could be further away than New Zealand
if I went any further I'd fall off the edge of
world as I left living in England to go to New Zealand but now I'm a New Zealand
citizen and I sit here today as evidence to you that whatever has happened in
your past it's just a reflection of where you are now but what can happen in
the future is completely different let me explain a little bit about me when I
came to New Zealand I wasn't a superstar but I did become a general manager for a
car leasing company with a portfolio of a hundred and sixty million dollars I
was the president of a political party that contested the 2008 general election
and I was a senior consultant in the IT telecommunications sector where
literally we had twenty four customers who build 450 million dollars every year
today I stand in front of you as the president of the global speakers
Federation a billion dollar industry that has a reach in excess of 53,000
people worldwide that conservatively you're influencing today at least 50
million households every year through the presentations you give the training
you deliver or the books that you author
now I want to go back and think about when I was in the corporate world when I
was a senior consultant I'm gonna put up this simple statistic 80% can anybody
tell me what 80% stands for what do you think this stands for
80% 20% was very good what other ideas do we have 80% of what victory another
very good guess well let me explain what the 80% means in the projects are we
delivered people would pay millions of dollars ten times ten or twenty million
dollars to make a change in their company and that change had a business
case to either reduce the cost or to increase the revenue but 80% if not more
of these projects never delivered the return on investment and the reason for
that was because of what I call corporate terrorists what is a corporate
aerosol we can think of terrorism in terms of September 11 but let me explain
corporate terrorists before we go about September 11 in corporate terrorists
these are the people in the business that are not engaged either disengaged
or actively disengaged now if you're in a boat and you're rowing those who are
disengaged row in the opposite direction from you those who are actively
disengaged are spending their time drilling holes in the hull trying to
sink your boat this is how people operate in the corporate businesses
around us but on September 11 2001 I just come back from a trip to Munich and
on the way I was in my parents house in Wimbledon and London about to go on a
flight to Chicago and I realized that there was one wardrobe malfunction on
this ordinary Tuesday I had failed to pack a tie and I was about to travel
business class now this was 2001 when you were expect
to look the part for business class so I went from Wimbledon to Heathrow and the
first thing I looked for at the airport was Thai Rak to find a tire to put on
they called us from the lounge to go to United you a 9:00 to 9:00 and we
continued on a very uneventful flight until after we finished lunch and I was
sitting there with my laptop making some notes I don't know if it was the look of
panic from the crew or the horrible sound that I heard which I later found
out was the sound of dumping fuel from the aeroplane the captain came on and he
said ladies and gentlemen captain Ballard said ladies and gentlemen let me
reassure you first of all there's nothing wrong with the aeroplane however
there has been a major incident in America and FAA have shut down the
airspace we have to divert to gander Newfoundland we were one of 38
aeroplanes disruption from terrorism disrupted our lives
here's a short video that we have about what was happening that day which were
found from USA Today
September 11th 2001 My partner and i were finishing a vacation in Europe and
the plane also haven't dropped elevation really quickly and then made a turn to
the right it looked like I was sudden we were fine to the North Pole how crazy is
that all of a sudden the captain came on and
he said due to a terrorist attack in the United States we'll be landing in gander
Newfoundland the off about an hour so I got a call from the manager saying we're
expecting some planes to land in Gander looks like that the interface is gonna
be shut down because there was a parachute pack on United States this was
a tiny town population 9,000 and once those 38 planes of landed the end of the
6,500 stranded passengers nearly doubling their population and I have to
admit I've never heard that place before but essentially it's a small island
province in Canada on the northeast tip of North America the question is what
were they going to do with us and all of a sudden we're looking to our Airport
and here comes 7,000 people it's okay we it was just came up gave up their
time their food their homes and everything we knew
on the way together I hate the whole town Connie came together even just
getting prepared for when they all landed to welcome them to our home
people of candor they've been cooking all day and they've taken the time to
set television because they knew that's what we wanted to see with the images of
what was going on they serve telephones and there are people that make calls
over 30 different countries and they said don't worry about paying us any
money just make the call doesn't matter where your problem car
you are it doesn't matter what religion you are doesn't matter what sexual
orientation you are is people and you need to help you help them
I was a little bit nervous you know being a gay couple in a foreign country
we small town but we were treat treated like everybody else we don't became like
one big family when the last plane lifts standard and we were at the airport
talking to the passengers when we saw the tears of joy and the small
conversation we were that was something that I'll never
forget and has changed my life our people responded and that they
that's something that I'll always remember
disruption it takes leadership to counter disruption to counterterrorism
corporate or otherwise in fact rudy giuliani
who was voted by Time magazine as the person of the year showed some real
leadership he was very visible he was very
empathetic standing in the shoes of the people from New York Fire Department who
had to deal with this and created a vision for how New York could rebuild
and carry on despite the situation so I want to take some ideas to say to you
when you're dealing with corporate terrorists either within your business
or within your clients business how do you help and there are four states when
you look at corporate terrorism let me explain these states for you quite
quickly the very first state is what I call dysfunctional this is when people
are not cooperating with you they're trying to sabotage you they're trying to
stab you in the back make the project fail there is some disharmony in there
and if you don't take care when you're in this state the jars are go to the
second set which is called separation this is where you're good people in your
company start early because of the poor morale in the company your customers
lose faith with you and you now start to lose money if you do not stop this you
will get into what we call administration which leads to
liquidation or the finish of your company you have to get into your third
state which we call partnership this is when you start to introduce trust as a
business currency you start to look and understand the culture of the company
and how to engage those who are disengaged until you come to the fourth
state which is the meeting of the minds where
you can now start to measure the engagement and understand what motivates
everybody because you now have the right culture and trust in an organization to
see this graphically you go from dysfunction you've ready
invested millions of dollars nothing's happening with a project you start to
lose your good people and soon you're an administration until you can climb out
and eventually come to the meeting of the minds and that's a state we want
people to go but as a senior consultant I used to think about this and I looked
at it the wrong way because we look at it from the aspect of the product the
process or the people and we noticed the people who are the problem but quite
often we start with the product or the process so the question is who are these
corporate terrorists because they are everywhere and what I want to show you
is a mechanism of how to discover these people so let's look at aware of the
problem lies and the problem we first thought was are the operational level
where it was the product the process the people that was the trouble it's not
that we actually went to the second level tactical because we now apply HR
with the policy the truth is that the issue starts at the sea level at the
chief executive officer in his or her team and we have to work with them to
help them understand that it's a cultural change and we do that by
introducing trust as a business currency and that's the most important thing for
us in fact all of this is available in my book liberating leadership potential
I have a few copies of that available here while I'm in Berlin but from the
information we've developed an amazing consulting methodology is producing some
fantastic results and I've written a white paper about how we address this in
corporates now I don't have the time to explain this everybody here today but by
show of hands would like a copy of the white paper
actually if you can Greg you do me a favor can you just take a business card
and give it to my colleague Greg and send the business cards to one side
please thank you and Greg will collect those for me I'll make sure you get that
so let me again explain the solution is in the conflict level and we really have
to understand how to figure out this conflict level at a later stage now when
you look at what happens with corporate terrorism the counter corporate
terrorism approach that's identified by the EU is the conflict cycle so what we
say is there's four elements you start off with an early warning system and
then you look for conflict management and from that you go into conflict
prevention and then post conflict resolution in fact the Organization for
Security and Cooperation in Europe says the line between crime and terror have
become blurred so how do we build trust well let me look at this simple model of
how to build trust TR UST and the first thing in building
trust and you have to think about this even with your clients and your
customers is to look at a transparency how transparent are you with your
communication with your clients and how you work your way through this are you
taking preventive action are you doing anti radicalization these are things
that we have to look at because you go from transparency to a ring of steel
who's involved in your ring of steel do you have a group of people that you can
go to on a regular basis who will build up and support you we've had situations
in the past where we've had with Gordon Gecko in Wall Street making silos of
individual areas to strip out what they can get now we have to go from the silo
to the cooperation and this is something as speakers in your own business you
have to think how do we cooperate and collaborate to make a bigger pie so if
you look at all of these there's a risk and you have to understand that risk and
when you look at this here are some of the top 10 issues the number one issue
is brand and reputation cybercrime is consistently rising and we also have the
retention of our top talent these are risks you have to understand let me
explain a little bit about the risk of your brand in 2015 Harris poll came out
with this our Q which is the reputation quo show and there are two companies who
had a very interesting experience within a couple of years of each other the
first company you probably heard as a company called Samsung and in 2015
Samsung were number three on this rating and at number five was Johnson & Johnson
who he spoke about before now Samsung some might remember had a very
unfortunate situation in 2016 with the Galaxy Note 7 who's heard of that yeah
what happened to them by the end of 2016 into 2017 well quite dramatic Samsung
crashed down to number 49 but Johnson and Johnson who already knew how to
build trust went up one space into number four cybersecurity becomes the
next aspect of building trust what are you doing on security and how are you
helping your clients because when you look at the figures behind security this
is the frightening thing 80 billion malicious scans a day and this is just
from one ISP there are seven hundred and eighty thousand records lost every day
to hacking and 300,000 new malware is every day being produced
what is the cost will the cost to business and cyber Security's over six
hundred billion dollars a year that's point eight percent of the global GDP
this is what is being spent on again cyber security banks spent three times
as much as other institutions and business emails now being compromised so
five billion dollars a year since just 2015 in New Zealand as an example
they're becoming so sophisticated they hack into your email for building
companies and for real estate and they say please we create a false ur invoice
to a fake bank account please pay your deposit fifty thousand euro a hundred
thousand euro and people pay in good faith because it looks so authentic but
it's all happening in terms of security at the moment and finally what are you
doing to track your corporate terrorism plan and there's many things that you
can look at and you can look at the aspects when you track it if you
understand that the employee engagement increases by twelve percent if you know
that if you're engaged and your clients can be engaged then they will outperform
their peers by 147 percent these are things that you can help your clients
with it costs two hundred and four thousand euro to make the bad hire in a
company in your expertise what can you help and how can you help things so
let's pause a moment and let me introduce you to my friend Charlie
Charlie and I play golf and I went out with Charlie one day we were there ready
to play golf I went and I hit the first ball and it went straight which for me
was very unusual Charlie came behind me and his ball went even straighter and
further another twenty meters well on the second tee I thought I'm going to
make sure and I hit a good shot and Charlie's
he hits falls over the big heart attack when I got home that evening I spoke to
my wife and I said hmm so how did it go I said not so good on the second tee
Charlie had a heart attack so that's awful was it yeah all afternoon who was
hit the ball and dragged Charlie hit the ball and dragged charlie now charlie
doesn't necessarily only have to be a person I talked to you about Samsung and
their product the Galaxy Note 7 the only product we know that will spontaneously
combust but what did Samsung do they did not build trust they did not address the
problems and the issues which were going viral on social media what was the cost
the cost was 19 billion dollars sixteen point four billion euro of losses that
they experienced when you look at this they had a five billion dollar recall
program their share price went down 33 percent as I said they ended up a
sixteen point four billion euro loss so what do you want to do you want to get
trust as the end game and the question is what can you do right now we're being
disrupted all the time we've been disrupted by Ted and TEDx we're being
disrupted by LinkedIn and thought leaders in there
we've been disrupted by many different areas where people are coming to us and
taking away some of our business so here's something you can do you might
want to write this down why not use your or o a our what does that mean it means
about ownership accountability and responsibility this is what you can do
in your business what Samsung failed to do
so let's review what we've had so far very simple the four stages if we do not
get out of separation we can go and lose our business we have to be aware that
things if they don't change for us might mean that we don't have any future and
we got to get into partnership and then meeting of the minds we realized that
everything in the solution is the conflict level about building trust with
your clients and with other organizations so the question is again
what can you do now well I've mentioned before use your or ownership
accountability responsibility but that's not the only thing you can do
let me explain five other small components that you can add in because
you can start with four elements and again this is what the EU recommend in
counterterrorism the first thing is to prevent so look for early warning what's
happening with your clients what are you doing that is stopping and disrupting
your business how many times you go back and ask them why did I not win that
contract to be the key note supplier or the trainer in your organization so if
you go from prevent then you go in to protect what are you doing to protect
yourself you have mentors here at GSA who are you going to for your coaching
your mentoring and what are you doing that actually allows you to have
something different that's there are you using a mastermind as a matter of
interest who here is part of a mastermind so just look around you the
number of hands that are up those who have the hands up I can guarantee are
probably more likely to have good or better stronger businesses and those who
operate by themselves so what are you going to do to find somebody who can
mentor you and mastermind with you you have to look and pursue and
and all those opportunities what are you doing to look at social media let me
explain how social media is starting to affect us did you know that here in
Berlin there's over 300,000 CCTV cameras in
operation today every day when you're walking around sometimes even in the
lift people can see you even though you don't think they're watching a number of
years ago I was speaking in Connecticut in America and our keynote speaker who
opened the conference explained that two weeks before the conference he was the
CEO of a billion-dollar corporation that supplied food and beverage in the sports
industry in Canada but he was in a private hotel in the lifts by himself
and he had a friend's dog which he started to pull on the chain and kick by
himself in a lift unfortunately there was a camera and somebody saw this
within one hour it was viral and by the next day he had to step down from his
position and he had to pay $100,000 to animal welfare if you don't think people
are watching you think again 1984 I think George Orwell big brother finally
look at a respond what are you doing that produces more opportunity for you
that will disrupt the market because if you have just one keynote for example is
that going to be enough or do you have some more products that you can produce
which will help you to go and that's another step with your clients often we
look at this and we say to ourselves and I was asked this question when I
joined National Speakers Association in New Zealand are you a consultant that
speaks or are you a speaker that consults
let me ask that again are you a consultant that speaks or a speaker that
consults I would encourage you to become a speak of that consult because you can
speak and take an audience and you can find the two or three people in that
audience who you can go back into and say what is the problem that we can help
you with with all these products that we have online programs our book our
training maybe it's an affiliation with another member of GSA or of PSA uki or
in Holland who are you working with or even from New Zealand that can work
together with you because this is about adding value to your client a question I
would ask you is what is the cost of the problem that you solve if you're just
solving a hundred euro problem why do you expect to check for ten thousand
euro
are you solving a million euro problem because when you do that for your
clients they will pay you much much more to come in and sort the problem so here
we go just about to finish you'll be happy five things for you to consider in
your business the five A's and these five A's are an avoidance strategy sorry
for the size of the screen what are you avoiding out there and for the avoid
we're talking about again the social media what are you doing online offline
because the two are now the same
how many stories you hear of somebody whose reputation and brand has been
destroyed by something that they thought was not being recorded the second thing
is to automate what can you automate in your business what tools are available
for you to work smarter whether its buffer app or whether it's Infusionsoft
or whether it's East speakers because as members of GSA you get free basic
membership with a speakers for your profile as a speaker are using tools to
work smarter not just harder are you aligning have you got
partnerships that are going to be important for you and people you can
mastermind with if you can find people who can help you think there's a great
old Jewish proverb that says as iron sharpens iron so does the countenance of
a good friend in other words if you talk with somebody else you can become
sharper because of what they know after that you might want to amalgamate if you
have many many many many products let me ask you and encourage you to niche into
one small area where you're one centimeter wide but one kilometer deep
and you're known as the counter corporate terrorist person or you're
known for your individual area of expertise because people pay for the
expertise that solves the million euro problem much better than somebody who
can just come and make you laugh and by the way it's good to laugh and finally I
would encourage you to acquire this is a business and you have to remember
there's part of your business you don't have to go out and sell are you making
those phone calls are you picking up the phone and speaking somebody in
fact a number of years ago they did big research and they said what is the
killer app for a smartphone and in the telecommunications sector that I came
from we spent years and tens of millions of dollars making this research and
eventually they found the killer app for cell phones anybody want to know voice
you speak to people and people want to connect with people if you can connect
again with your clients use the phone make a personal connection in fact if
you think of four G's that you have in your business what's going to help you
to grow what's going to help you to get what's going to help you to create gold
and what's going to help you to get by at the end of the day spend most of your
time on how you can get and grow your business 80% of your time is either
sending out proposals making phone calls creating your new keynote or having
coffee with somebody that you can just say hello how much does a coffee cost
here in Berlin or in Germany three euro how much is a average speaking
opportunity in in in Germany it's how much would the average be five thousand
euro is a good return on investment three euro for a coffee because you are
remembered by your client well as I come to finish my time with you we've been
here for half an hour maybe 40 minutes I want to take you back to something that
I said at the beginning and this is the most important thing as you wonder and
you're overwhelmed with how much I have to do in this disruptive industry
let me go to the wise words from a very wise woman my wife because everything
starts when you change your confession thank you very much
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