Michael Dell and Shaquille O’Neal planned their work and worked their plans.

Dell understood the formulas, and followed the rules, of efficiency.

O’Neal understood the formulas and followed the rules of basketball.

Each of them faithfully followed a Structural plan.

Michael Dell invented nothing, improvised nothing, and innovated only once. But that single innovation made him a billionaire. Dell’s innovation was to bring tested, reliable, proven methods of cost-cutting to the manufacturing and distribution of computers. When all his competitors were selling through retailers, Dell sold direct to consumer. This made his costs lower and his profits higher.

Michael Dell’s strengths are discipline, professionalism, and Structural thinking.

Likewise, Shaq says, “I didn’t invent basketball, but I am really good at executing the plays.” Discipline, professionalism, and Structural thinking made Shaq an extraordinary basketball player. These same characteristics also made him an amazing operator of fast-food franchises.

“The most Shaq ever made playing in the NBA was $29.5 million per year. Now, it’s estimated that the big man is bringing in roughly $60 million per year, much of which is coming from his portfolio of fast-food businesses around the U.S.”

– 24/7wallst.com

Shaq didn’t invent car washes or Five Guys Burgers and Fries, but he owns more than 150 of each.

Michael Dell and Shaquille O’Neal are masters of Structural planning and thinking.

Structural thinking relies on proven elements and best practices. “Gather the best pieces and processes and connect them together like LEGO blocks. What could possibly go wrong?”

Structural planning and thinking:

Invent, Improvise, Innovate?

“NO, because those things are untested. We want to avoid mistakes.”

Reliable, Tested, Proven?

“YES!”

Steve Jobs and Michael Jordon are masters of Gestalt planning and thinking.

Gestalt planning and thinking:

Invent, Improvise, Innovate?

“YES!“

Reliable, Tested, Proven?

“NO, because those things are predictable. We want to be different.“

The fundamental idea of Gestalt thinking is that the behavior of the whole is not determined by its individual elements; but rather that the behavior of the individual elements are determined by the intrinsic nature of the whole.

It is the goal of Gestalt thinking to determine the nature of the whole, the finished product.

Gestalt thinkers who can fund their experiments and survive their mistakes often become paradigm shifters and world-changers.

Steve Jobs got off to a slow start because he refused to use MS-DOS, the operating system that everyone else was using. But he was sensitive to the needs and hungers of the marketplace. When Steve Jobs had a crystal-clear vision of the things that people would purchase if those things existed, he brought those things into existence.

Structural thinkers rely on planning and execution. Gestalt thinkers rely on poise and flexibility, often deciding on small details at the last split-second. Ask a Gestalt thinker why they do this and most of them will tell you, “I decide at the last minute because that is when I have the most information.”

The reason you never knew what Michael Jordan was going to do is because Michael Jordan had not yet decided. Michael’s internal vision was simple and clear: “Put the basketball through the hoop.” With the clarity of that crystal vision shining brightly in his mind, Michael could figure out everything else along the way.

Gestalt thinkers like Steve Jobs and Michael

“We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.”

“Life… Liberty… and the pursuit of Happiness.”

We published those words 229 years ago when we declared our independence from Britain. That document was the earliest expression of what has come to be known as the American dream.

Jefferson’s Declaration did not free us from the tyranny of Britain. It merely communicated our collective desire to be unfettered and unrestrained.

Do we now feel unfettered and unrestrained? I think not.

It seems to me that our current view of the American dream sees raw ambition as “the pursuit of happiness.”

Ambition is like sexual hunger. It is satisfied with accomplishment only for a moment, and then the hunger returns. Ambition will lead you to momentary satisfaction, but it will not lead you to happiness.

John D. Rockefeller, the world’s first billionaire, was worth 1% of the entire U.S. economy when he was asked,

“How much money does it take to make a man happy?”

Rockefeller answered, “Just a little bit more.”

Ambition is never contented.

Am I condemning ambition? I promise you that I am not. I am merely pointing out the deep chasm that separates the unending hunger of ambition from the high and lofty contentment of happiness.

An old man named Paul wrote a letter to a young man named Timothy 2,000 years ago. Near the end of that letter, Paul wrote about old people and hypocrites and slavery and wealth.

Paul then added two sentences that have echoed in my brain for the past 60 years.

“To know God and to be deeply contented is the true definition of wealth. For we brought nothing into this world, and it is certain we can carry nothing out.”

Happiness cannot spread its wings while wearing the handcuffs of our ambitions. The shining light of Hope is made of a stronger and happier substance than our dark dreams of future accomplishment.

Ambition can bring you recognition, reputation, and riches. But those are no substitute for friendships, family, and contentment; for these are the three strong cords from which happiness is woven.

Have you figured it out yet? Happiness is not material. It is relational.

With whom do you have a meaningful relationship?

Roy H. Williams

We have solved the mystery of the roving reporter!

The wizard received this email from Italy a couple of days ago:

Dear Roy and Pennie,

Talya and I found this quaint restaurant with tables in its wine cellar and thought you’d love this place. (I don’t drink, but thought it appropriate to pose with a glass of wine — which our son-in-law ordered.) If your future plans bring you to Vincenza, Italy, this is one stop you won’t regret. Avital sends her warmest regards.

– DEAN

(You will find the photo that accompanied this email on the final page of today’s rabbit hole. I’m Ian Rogers.)

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RANDOM QUOTE:

“As we start looking for the good, our focus automatically is taken off the bad.”

- Susan Jeffers

THE WIZARD TRILOGY

“If we train our children only to harvest, who will plant the seed?”

I wrote those words after contemplating the short-sightedness of so-called, “performance marketing,” on March 11, 2010.

“Performance marketing” is the new name for direct response advertising. It works best when it extracts the value from a well-known brand. Its objective is to bring in a lot of money quickly.

That is why business owners are attracted to it.

But here’s the caveat: value cannot be extracted from a brand unless it has first been created. You cannot squeeze a good reputation dry unless you first build a good reputation.

Do you see the problem? When you have finally squeezed the last ounce of value from a good reputation, you don’t have a good reputation anymore.

As I was contemplating that last line I just wrote, the words “extraction of value” popped into my mind. I typed those words into the Google search bar. The AI Overview that appeared at the top of the page whispered to me in a conspiratorial tone:

“‘The extraction of value’ refers to the process of capturing or appropriating value from other stakeholders, often through exploiting a monopoly or manipulating competitive market processes, rather than creating new value.” – WIKIPEDIA

The eight words that leaped out of the paragraph were, “exploiting… or manipulating… rather than creating new value.”

Do you remember that famous scene in the movie There Will Be Blood when Daniel says to Eli,

“If you have a milkshake, and I have a milkshake, and I have a straw… There it is. that’s the straw, you see? Watch it. Now my straw reaches acroooooooss the room and starts to drink your milkshake. I… drink… your… milkshake! I drink it up!”

That is the voice of performance marketing.

The healthy alternative to performance marketing is sales activation within a relational ad campaign.

Sales activation is like shearing the wool from a sheep. You can do it again and again and the creature is never diminished by it.

Performance marketing is like slaughtering that poor sheep, piece by piece. It is painful, and there is nothing left when you are done.

I apologize for putting that horrible image into your mind, but we are talking about your business.

I’m sorry if I stepped over the line.

Roy H. Williams

You will find 4 examples of what the wizard calls “sales activation within a relational ad campaign” on the first page of the rabbit hole. I can hear what you are thinking right now. And to that, I say, “You’re welcome.” – Indy Beagle

Roving reporter Rotbart will be away on a secret mission in Italy for the next two weeks. He didn’t tell us exactly what it was, but here are our top 3 guesses. One: He is studying the original manuscripts of Leonardo Da Vinci for a special series of investigative reports to be aired on PBS this autumn. Two: The roving reporter was invited to the Vatican to meet with the Pope. Three: There is no secret mission. He is just eating gelato at a seaside cafe with his lovely wife, Talya, while gazing at the beautiful Mediterranean Sea. We will update you next week when we know more. – Ian Rogers