Ibm Ceo Quotes

recent IBM poll of fifteen hundred CEOs identified creativity as the number-one “leadership competency” of the future.

If you want to increase your success rate, double your failure rate. Thomas J. Watson, Former Chairman and CEO of IBM

I believe the principles of structural revolution are the same,” Lou Gerstner pointed out in the middle of his positive transformation of IBM. “First, it takes personal commitment on the part of the CEO. This is not a job you can delegate. Second, it takes a willingness to confront and expel the people and the organizations that are throwing up roadblocks to the changes you consider critical.

By 1996 Apple’s share of the market had fallen to 4% from a high of 16% in the late 1980s. Michael Spindler, the German-born chief of Apple’s European operations who had replaced Sculley as CEO in 1993, tried to sell the company to Sun, IBM, and Hewlett-Packard. That failed, and he was ousted in February 1996 and replaced by Gil Amelio, a research engineer who was CEO of National Semiconductor. During his first year the company lost $1 billion, and the stock price, which had been $70 in 1991, fell to $14, even as the tech bubble was pushing other stocks into the stratosphere.

The quality most desirable in a CEO? According to a global survey conducted by IBM of 1,500 top executives in sixty countries: creativity.

A good chief executive is essentially a hard-to-automate decision engine, not unlike IBM’s Jeopardy!-playing Watson system. They have built up a hard-won repository of experience and have honed and proved an instinct for their market. They’re then presented inputs throughout the day—in the form of e-mails, meetings, site visits, and the like—that they must process and act on. To ask a CEO to spend four hours thinking deeply about a single problem is a waste of what makes him or her valuable. It’s better to hire three smart subordinates to think deeply about the problem and then bring their solutions to the executive for a final decision.

IBM Watson is now doing cognitive cooking, inventing unique recipes that combine ingredients and flavors in new ways.

there is no perfect fit when you’re looking for the next big thing to do. You have to take opportunities and make an opportunity fit for you, rather than the other way around. The ability to learn is the most important quality a leader can have.”13 Virginia Rometty, IBM’s first female CEO, told the

The Secrets of Skunk: Part Two At the Lockheed skunk works, Kelly Johnson ran a tight ship. He loved efficiency. He had a motto—“be quick, be quiet, and be on time”—and a set of rules.6 And while we are parsing the deep secrets of skunk, it’s to “Kelly’s rules” we must now turn. Wall the skunk works off from the rest of the corporate bureaucracy—that’s what you learn if you boil Johnson’s rules down to their essence. Out of his fourteen rules, four pertain solely to military projects and can thus be excluded from this discussion. Three are ways to increase rapid iteration (a topic we’ll come back to in a moment), but the remaining seven are all ways to enforce isolation. Rule 3, for example: “The number of people with any connection to the project should be restricted in an almost vicious manner.” Rule 13 is more of the same: “Access by outsiders to the project and its personnel must be strictly controlled by appropriate security measures.” Isolation, then, according to Johnson, is the most important key to success in a skunk works. The reasoning here is twofold. There’s the obvious need for military secrecy, but more important is the fact that isolation stimulates risk taking, encouraging ideas weird and wild and acting as a counterforce to organizational inertia. Organizational inertia is the notion that once any company achieves success, its desire to develop and champion radical new technologies and directions is often tempered by the much stronger desire not to disrupt existing markets and lose their paychecks. Organizational inertia is fear of failure writ large, the reason Kodak didn’t recognize the brilliance of the digital camera, IBM initially dismissed the personal computer, and America Online (AOL) is, well, barely online. But what is true for a corporation is also true for the entrepreneur. Just as the successful skunk works isolates the innovation team from the greater organization, successful entrepreneurs need a buffer between themselves and the rest of society. As Burt Rutan, winner of the Ansari XPRIZE, once taught me: “The day before something is truly a breakthrough, it’s a crazy idea.” Trying out crazy ideas means bucking expert opinion and taking big risks. It means not being afraid to fail. Because you will fail. The road to bold is paved with failure, and this means having a strategy in place to handle risk and learn from mistakes is critical. In a talk given at re:Invent 2012, Amazon CEO Jeff Bezos7 explains it like this: “Many people misperceive what good entrepreneurs do. Good entrepreneurs don’t like risk. They seek to reduce risk. Starting a company is already risky . . . [so] you systematically eliminate risk in those early days.

Tom Watson, though, held his team and himself to a different standard. As he explained to his men in 1930 at the outset of the Depression, “No man deserves any special credit for being an average man. It is the men who are striving to be above the average who are the men who build business—they are the men who build nations.” This belief applied to every person, including himself as the person holding the title of the CEO, because a policy was “a policy for the entire organization; not for just one man.” The average, in his eyes, was “the average” because the “above average” carried the rest. He was determined to be one of the great CEOs who would carry the rest.

A major study conducted by IBM found that the single most sought after trait in CEOs is creativity.

Would you like me to give you a formula for success? It’s quite simple, really. Double your rate of failure. You are thinking of failure as the enemy of success. But it isn’t at all. You can be discouraged by failure, or you can learn from it. So go ahead and make mistakes. Make all you can. Because remember, that’s where you will find success.”   Thomas Watson, former chairman and CEO of IBM

I often suggest they think about making a limited investment, putting aside maybe only 1 percent of their budget for special projects to test out a new idea. In this way, risk stops being scary and becomes R&D. Talk to private sector CEOs and they will be quick to point out that R&D is the lifeblood of innovative companies. Yes, some things will fail as you discover what works and what doesn’t. But as Einstein reportedly said, “You never fail until you stop trying.” This is true whether you’re launching a program, developing a product, or starting a movement. I’ve often heard people from the social sector protest, “But we don’t have funding for R&D!” My response is to remind them of the words of one of our greatest modern-day innovators, Steve Jobs: “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 one hundred 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.” You don’t need a big budget in order to experiment. “You never fail until you stop trying.” —ALBERT EINSTEIN Realistically, budgets are often stretched and funding for programs “locked.” I see this especially with foundations or government programs, which can have rigid protocols. When nonprofits or governments experiment and fail, those failures are often labeled as waste or fraud or abuse, which discourages more risk taking.

Lancaster hired Anand Sharma, CEO of TBM Consulting Group and a man named by Fortune magazine as one of America’s Heroes of Manufacturing, to assist the company in a dramatic and swift turnaround. They shut down the assembly line one weekend, turned off the IBM material planning system the company had invested millions of dollars in, and said, “We’re never going back to doing things the way we did, and within five days we have to have a new way of doing things.” With Sharma’s guidance the forty team members selected for the reinvention mapped the firm’s current processes, collectively designed new ones, and set a series of objectives.

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