WEBVTT

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Hey, what's up, man? We made it to another week.

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Oh, happy Friday. And since we've done this for

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a year, guess what we get to do? We get to do

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a year in review. Hang on. Yeah, you know what?

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I remember when we first set out on this little

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venture, and kind of like my experience in gardening,

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it was kind of like, let's just see if we can

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get to our first milestone, which was, and I

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remember you saying, it's a low bar, Toby. It's

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only one a week. And, uh, there were weeks where

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it was kind of a struggle, you know, where it'd

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be like a, uh, 11th hour call. Let's jump on

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and make a recording. So yeah, I'd love to hear,

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I'd love to hear, uh, on reflection. What are

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some of the, maybe some of the episodes or topics

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that stand out to you? Yeah, let's go back. If

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we go back to one of our first ones, which was.

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Process it process has to be discoverable and

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transferable. I love it. Number, that was episode

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two. That was an early on, but it was early.

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A really cool tenant that we talked about. Yeah,

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and I think most of the time, process is driven

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from above, right? So a manager, an executive

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says, we're gonna go do a thing. Which basically

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does the telephone game down to the boots and

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the ground. And at the end, you end up with the

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telephone game, which is like, we don't know

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what we're doing and we don't know what was said

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originally, but we're doing a thing because nothing

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is more permanent than a temporary solution.

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Nothing is more permanent except for a one -time

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modeling exercise in Excel that becomes an integral

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part of every month's reporting. We cover that

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somewhere out there, but yes. Process is not

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typically this intelligent design. It's usually

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like ad hoc bubble gum and duct tape until we

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realize it's bubble gum and duct tape. So correct

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and transferable and discoverable though. Talk

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about, talk about those key elements that we

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first touched. I think if you have a process

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that's discoverable, meaning I can find it and

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I had a new know how to do the thing, whatever

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the thing is, even if the thing is running a

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meeting. Um, it has to be, you have to be able

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to go find it somewhere. Right and then the other

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the other key is like, okay Is it transferable

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meaning like if you and I went to NASA and we

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picked up a document on you know nuclear something

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or other or Transfusion or fuel usage it right?

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It would not be transferable, but that's a bit

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of a funny story, but that's kind of how we do

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our process, right? Where one person builds it.

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They think everybody thinks the way that they

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do. And so the process is elegant, but it's for

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them, but it's not transferable to anyone. Boy,

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it's so true, right? Even if you can find it,

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can you do anything with it? And ultimately,

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therein lies the conundrum. As we build process

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and as we bring people in to use the processes

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we've designed, can they make good use of it?

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And can they take over ownership when we're ready

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to move on to the next thing? Which I think,

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as I recall, that was probably a key element

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we talked about, because you and I are a bit

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of restless souls. We're happy to build it, but

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it doesn't mean that we want to be there forever

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during the feeding and maintenance. And some

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folks, that's where they thrive. Yep. Well, I

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think the other thing we talked about is like,

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in order for something to be discoverable and

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transferable, it's one thing if it's a one -off,

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but if you're going to be doing the same thing

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in three years or six months, you approach it

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a little bit differently. You approach it with

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an iterative model, not with the, here's my PowerPoint,

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it's complete, do the meeting and we're done.

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Right. But the silly thing is most businesses

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run most of their processes like it's a PowerPoint,

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it's delivered, mic drop, and we're out. And

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all the people are left picking up the pieces

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and they don't know how or what the next steps

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are. Chris, the piece that I'll touch on that

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comes to mind, and I don't know that we necessarily

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covered it at the time, but it is a very specific

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gift to be able to... Turn an idea into a repeatable

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process and I think that too often times, you

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know There's certain functions that do get romanticized

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or oh my gosh Wouldn't it be nice to only be

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worrying about new things and not taking care

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of the business that we've built Yeah, and so

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that the piece maybe that I'll offer just my

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final thought around transferable and discoverable

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is that recognizing those people that Develop

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process that is easily discoverable that feels

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intuitive Yep, those people are the crown jewels.

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That's how you scale any organization Yep, because

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they have to make everybody feel part of the

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community instead of always on the outside So

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episode two was transferable and discoverable.

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Yep, and I would say that those like those people

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are your biggest levers Gosh, because if you

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if you can and the reality is that if you can

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leverage for deep That's where scale comes from.

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All right, next favorite topic from last year.

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I don't remember exactly what episode, I think

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you have this, but was when we talked about Elon

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entering the government and the process that

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he would run into, which is not his corporation.

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It's funny because... Elon's been a recurring

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topic, probably in a lot of conversations over

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the last year, but yeah, this was early December,

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episode nine last year, when all of a sudden

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we were talking about what the heck is going

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on? You know? Yeah. What is it that, you know,

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as you think back to that, you know, we had,

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we were kind of talking about at this point,

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he had his Doge organization that - Yep. Eliminate

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all the dumb processes. Yep. So what is it that's

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sticking in your brain from from that first one?

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You know, we first started talking about what

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is this? What does this look like? I mean, I

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would say that I mean, I'd have to go back and

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listen, but I would say that we predicted the

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challenge accurately and wrongly at the same

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time. Right. Meaning we predicted the difficulty

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that he would run into. Yeah, I don't think we

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necessarily predicted how like how it would end

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up where it really became You know, you've got

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two alphas, you know two billionaires in a squabble.

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Like I didn't we didn't necessarily predict that

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Right and it's very interesting because you know,

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they have they have you know Elon had to play

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by some set of rules that he didn't like And

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bended that bent, you know did what CEOs do oftentimes

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which is bending their reality with their distortion

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field or whatever. I think you say that well.

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You say it better than I do. But I think he leaned

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into the marketing, which I think if you were

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to go back and do an analysis of it, it was mostly

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marketing. It totally was. the master of the

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hype cycle. And yeah, the first time I'd heard

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that phrase, the reality distortion field was

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credited Steve Jobs because he could walk into

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a room and basically make people believe in something

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that they'd never seen, tasted, touched, or experienced

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and catapulted us forward. And I think Elon evidences

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that same kind of wild gift in a way that grows

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things. It is funny, though, to watch two alphas

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probably who both thought the other one was working

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for them, right? And they were both kind of confounded.

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And a little bit of ketamine in the mix doesn't

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necessarily make very predictable outcomes. But

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you're right. We had, at that point in time,

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people that we'd never heard of were given access

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to the most proprietary data, which You know,

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the subsequent year, it's been unclear where

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some of that landed, but it does raise this question

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of what does that mean? And what, a year on,

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you know, what unintended consequences are going

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to happen? I'm sure that the team that went in

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was very good at transferring data and digging

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in and discovering what was available. And we

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know the data today is the same as Crown Jewels.

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You know, it's a fountain for sure. so much of

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our world revolves around trading data. But I

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found it really fascinating that it was a little

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bit of the Dunning -Kruger effect that I know

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we've touched on several times where you know

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a little bit and you feel brilliant. And then

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all of a sudden you learn a little bit more and

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only then begin to realize how novice you are

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on the topic. And I think that that first collision

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of very smart, savvy, data -minded people They

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just ran roughshod over what has been long standing

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process that's been built over decades in our

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young country. And so that was a, what a swirl,

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you know, enriched. Oh yeah. Well, what's interesting

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is like they were even publishing on their site

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on all the things that, all the projects that

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they could figure out and they were doing it,

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it was all veiled, right? And the New York Times

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found within their HTML, they included the actual

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like the requisition or number so that they could

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actually go back and fact -check them. Well,

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then they discovered it and then it disappeared.

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And so like what's interesting is they did a

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bit of a shell game because people want to believe

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that governments are inefficient. And the reality

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is, roads cost something. I mean, the system

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of giving us infrastructure that no private company

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is ever going to want to pay for is expensive.

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Yeah. Where's my ROI on clean water? It's a weird

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world, and I'm willing to bet we touched on it

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back in the day, but as I sit here now, kind

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of rehashing our best recollection of it, It's

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a strange thing when those things that we might

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otherwise think of as inalienable rights in a

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first world country, just basic access to food,

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water, shelter and purpose, right? The ability

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to get up in the morning and make a contribution

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of some sort that people feel increasingly separated

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at times or like those things are no longer accessible.

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And so I remember at the moment it was both,

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I'm not a big fan boy, but I also much like I'll

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say Mitch McConnell is wildly effective regardless

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of your political leanings, Elon has also proven

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to be a wildly effective individual in terms

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of marshaling large teams and doing previously

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unimaginable things. And so in the moment I was

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concerned and also a little bit fascinated. And

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now a year on, It's fallen out of the news cycles

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behind the million and one other things including

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the frog marching arm -in -arm with inflatable

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unicorns here in the war zone of Portland. That's

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right. You are close to the war zone. Be safe,

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my friend. Let's shift topics to one of the ones

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that we did later, which is why in business,

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oftentimes there is this idea of, there's this

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idea of make versus buy. And we spent some time

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talking about try versus buy. Yeah. This was,

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this was episode 43. So it was a late spring,

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early summer. Yep. Thanks with you about this.

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Cause I really liked the language of try versus

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buy instead of make. Make so much certainty to

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it, as I recall, that I like this idea of try

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versus buy. I think if you found those magical

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people that understood process and you could

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just send them loose and give them a charter

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and fixing things with the boots in the ground,

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I think you would almost always win with try.

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As long as you had an executive sponsor. I can't

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think of any tool out there that is not bad -mouthed

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when some human goes and mucks it up. Including

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a shovel. That's my favorite example, like perhaps

00:13:37.059 --> 00:13:39.299
one of the simplest tools, but if you've ever

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tried to spade a garden with a dull shovel and

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then been given a sharpened shovel, it feels

00:13:47.179 --> 00:13:51.259
like your muscles have redoubled, you know? The

00:13:51.259 --> 00:13:53.080
same, the same, I guess would be true of trying

00:13:53.080 --> 00:13:56.919
to chop firewood with a dull axe versus, you

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know, having a sharpened axe for the task. Yeah.

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And to your point about try, it's a little bit

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of learning and also not assuming that you know

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everything right out of the gates. There's a

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discovery and it's uncomfortable and it makes

00:14:10.100 --> 00:14:13.179
us feel stupid and incompetent. And that usually

00:14:13.179 --> 00:14:16.799
means we're learning something. Yep. So try versus

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buy. Buy is fast. Especially if we have the right

00:14:19.639 --> 00:14:22.279
experts at the table. What's interesting about

00:14:22.279 --> 00:14:27.940
buying is it can be a fool's errand. And what

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I mean by that is the difficulty is getting the

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budget allocated. And then once the budget is

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allocated, basically people just expect it to

00:14:39.480 --> 00:14:42.899
match the marketing that is on whatever website

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of the SaaS system that you just went and bought.

00:14:47.019 --> 00:14:53.860
Yeah. And so the executives kind of have their

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ability to let go once the budget is allocated

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versus the people that are left to implement.

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And oftentimes by that time, you know, the executive

00:15:05.779 --> 00:15:09.840
or the sponsor has changed their focus to the

00:15:09.840 --> 00:15:15.330
next fire. When I've been successful at just

00:15:15.330 --> 00:15:17.529
implementing new process and new SaaS tools,

00:15:17.710 --> 00:15:21.669
you just have a very, very strong executive sponsor.

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And I've been able to work with the boots on

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the ground. And some of my proudest moments are

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when I've created something with people that

00:15:31.549 --> 00:15:33.250
are actually going to be using it on a day in

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and day out basis. And they're providing really

00:15:36.370 --> 00:15:40.970
great feedback in what should be done. And sometimes

00:15:40.970 --> 00:15:43.470
it's, you know, I oftentimes go back to, you

00:15:43.470 --> 00:15:48.009
know, the Six Sigma, which is, you know, really

00:15:48.009 --> 00:15:51.889
an operational item and not necessarily a process

00:15:51.889 --> 00:15:54.970
thing, but I think, you know, I think one sigma

00:15:54.970 --> 00:16:00.529
is 66%, two sigmas, you know, two sigmas, I think

00:16:00.529 --> 00:16:04.950
85, and then you get to 90, or then you get to

00:16:04.950 --> 00:16:09.610
95 and 97. But the difficulty of moving up that

00:16:09.610 --> 00:16:13.990
rate in the sigmas is exponentially difficult.

00:16:14.710 --> 00:16:18.529
And most of the time, people want that 99 .9

00:16:18.529 --> 00:16:22.429
% accuracy out of their process, whereas it would

00:16:22.429 --> 00:16:24.549
be three times as easy if you just dropped three

00:16:24.549 --> 00:16:27.129
percentage points and just went to 97 point whatever.

00:16:28.330 --> 00:16:31.269
Yeah. I mean, Chris, it's an interesting point

00:16:31.269 --> 00:16:36.639
you make. Six Sigma allows for three defects

00:16:36.639 --> 00:16:43.559
per million. Can you imagine if all of our business

00:16:43.559 --> 00:16:46.059
processes were operating like that? Not that

00:16:46.059 --> 00:16:49.200
every transaction goes through smoothly, but

00:16:49.200 --> 00:16:52.500
that we're finding the defects early enough on

00:16:52.500 --> 00:16:54.340
that they don't get to the end of it in their

00:16:54.340 --> 00:16:58.919
errors. Three errors per million. Payroll teams

00:16:58.919 --> 00:17:02.470
would love that. I love your point though that

00:17:02.470 --> 00:17:05.150
as we think about try versus buy into your example

00:17:05.150 --> 00:17:07.029
about working directly with people that have

00:17:07.029 --> 00:17:10.029
to take ownership of the process once it's completed,

00:17:10.849 --> 00:17:13.190
the more we involve them in it, the earlier that

00:17:13.190 --> 00:17:17.190
ownership begins and the less wasted energy just

00:17:17.190 --> 00:17:19.849
as we have to give those operational teams that

00:17:19.849 --> 00:17:22.930
little bit of breathing room to be present to

00:17:22.930 --> 00:17:25.410
the conversations and to bring their expertise

00:17:25.410 --> 00:17:28.250
into the dialogue so that as we build process,

00:17:28.250 --> 00:17:31.210
as we harden process, it reflects the wisdom

00:17:31.210 --> 00:17:34.650
that's already there. I think you make an excellent

00:17:34.650 --> 00:17:37.289
point about executives cut checks, but everybody

00:17:37.289 --> 00:17:40.609
else lives with the consequences. And so, as

00:17:40.609 --> 00:17:42.589
I talked about a lot through the last year, you

00:17:42.589 --> 00:17:46.329
and I were comparing and contrasting the process

00:17:46.329 --> 00:17:48.630
ownership and leadership that you've played such

00:17:48.630 --> 00:17:51.529
a vital role in the last many years of your career,

00:17:51.650 --> 00:17:53.269
whereas I've been consulting and coming in from

00:17:53.269 --> 00:17:57.369
the outside. And the most staggering thing to

00:17:57.369 --> 00:18:01.269
me as a young professional doing project work

00:18:01.269 --> 00:18:03.230
and trying to affect change and how businesses

00:18:03.230 --> 00:18:06.089
operate was that it had nothing to do with the

00:18:06.089 --> 00:18:08.650
technical excellence of the process. It had everything

00:18:08.650 --> 00:18:11.329
to do about stakeholder engagement and making

00:18:11.329 --> 00:18:14.829
sure that people had clear ownership, which kind

00:18:14.829 --> 00:18:16.930
of links back to the transferable and discoverable,

00:18:17.190 --> 00:18:20.910
right? Totally. Yeah. Try versus buy. I think

00:18:20.910 --> 00:18:23.710
try is so empowering too, in that it helps us

00:18:23.710 --> 00:18:26.450
flex new muscles or new ways of thinking. Yeah.

00:18:27.109 --> 00:18:29.690
You know? We can't ride the bike for our kids.

00:18:29.829 --> 00:18:31.829
At some point we have to teach them how to do

00:18:31.829 --> 00:18:34.329
it and then know that they're going to tip over

00:18:34.329 --> 00:18:36.690
and they're going to be wobbly and then they

00:18:36.690 --> 00:18:41.549
get scraped up a little bit. Perfect, man. Well,

00:18:41.589 --> 00:18:44.789
that's a, that's a year in review. What a good

00:18:44.789 --> 00:18:47.950
year, Chris. I'm excited for year two. I don't

00:18:47.950 --> 00:18:50.430
quite know what it's going to entail. I do know

00:18:50.430 --> 00:18:53.690
that and just want to acknowledge you've had

00:18:53.690 --> 00:18:58.400
a recent shift. Oh yeah. I'm very excited about

00:18:58.400 --> 00:19:01.039
our ability to do more intensive collaboration

00:19:01.039 --> 00:19:05.119
in the Magic Button Labs world and bring a lot

00:19:05.119 --> 00:19:11.019
of these practices directly to bear. I've loved

00:19:11.019 --> 00:19:14.240
all of your contributions in that advisory role

00:19:14.240 --> 00:19:17.400
and now just super excited to see you stepping

00:19:17.400 --> 00:19:20.700
up and taking over some leadership roles to help

00:19:20.700 --> 00:19:23.789
drive that organization forward. do amazing things

00:19:23.789 --> 00:19:25.589
for clients. At the very least, I'll be able

00:19:25.589 --> 00:19:27.410
to say, hey, I tried an experiment and it didn't

00:19:27.410 --> 00:19:31.089
work. That's right. Actually, I will predict,

00:19:31.190 --> 00:19:33.910
I'll be like, hey, I tried to get people to change

00:19:33.910 --> 00:19:36.950
and this was really hard. I think that's going

00:19:36.950 --> 00:19:40.529
to be the outcome. I think so. Well, and I think

00:19:40.529 --> 00:19:43.430
in the year ahead too, I look forward to having

00:19:43.430 --> 00:19:48.630
some, doing some engagements together and potentially

00:19:48.630 --> 00:19:51.750
talking with more people in this space, whether

00:19:51.750 --> 00:19:54.599
they're professionals that we know that are doing

00:19:54.599 --> 00:19:57.220
this or thought leaders around, you know, how

00:19:57.220 --> 00:19:59.160
people are coming at process that differently,

00:19:59.160 --> 00:20:01.900
but also potentially clients that, you know,

00:20:01.900 --> 00:20:03.819
we've been able to help would be an exciting

00:20:03.819 --> 00:20:06.640
addition to, to some of these things. Yeah. I

00:20:06.640 --> 00:20:11.180
hope I, my, my very small goal is that we continue

00:20:11.180 --> 00:20:14.059
to do this weekly, but we have at least, at least

00:20:14.059 --> 00:20:16.900
four interviews. That's that I think that's doable.

00:20:18.299 --> 00:20:20.640
That seems very doable. I'm full of optimism.

00:20:20.880 --> 00:20:24.269
It's the season. Leaves are changing and pumpkin

00:20:24.269 --> 00:20:26.630
spice lattes are flowing in everybody's blood.

00:20:26.829 --> 00:20:30.190
That's right. Four guests in this next year.

00:20:30.349 --> 00:20:32.309
Let's do it. All right. Sounds good, man. Talk

00:20:32.309 --> 00:20:33.789
to you soon. Great. Sure. See you.
