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ONBOARDMAGNIX TECHNOLOGY06 PURPOSE 09 CULTURE 17 30HERITAGE LEGACY Building for Why this is Understanding A lasting the future our strategy our past impact



ONBOARDWelcome Onboard 01Our Story 03One Amazing Journey 04Our Purpose 06The Culture Strategy 09Our House Values 12Beliefs & Behaviours 14The Clermont Group 17magniX Leaders Members 25Legacy 30Lessons in Leadership 36Recommended Reading 39How We Play The Game 43



ONBOARDWelcome Onboard Always remember Imagine a future in which you could commute to work in a shared where you came flying vehicle that would take-off and land from a parking lot near yourfrom and where you home and office. In this future, you could live in places that right now would be prohibitive just because of the drive times. are going Imagine a future in which your supplies show up at your doorstep within hours, and shopping can be done from stores which are not near by. Imagine a future where your vacation takes you to far away lands, but you don’t have to spend hours in traffic or parking getting to and from the airports, rather flying to the airport in a short range transport. Imagine a future where all this is done without noise and without pollution. Now stop imagining, because at magniX, you will be working on making that future a reality. I am happy to welcome you to magniX! You are joining us at an exciting time as we work to lead the aerospace industry and shape the culture of transportation as we know it. At magniX I am sure you will find we play to win. We can only achieve this successfully if we work together as a team and do so with a strong culture of success. A culture which both respects and creates legacy, one which encourages continuous learning and self-development, and thrives on a shared consciousness of team members, enabling the achievement of great things. In 1903, Orville and Wilbur Wright fulfilled human kind’s dream of powered flight.Today, we work to fulfill the dream of electric flight. I look forward to working with you as we make this dream a reality. Kind Regards Roei Ganzarski CEO 1



ONBOARD Our Story Architects of Culture in TransportationWe envision a world where our high-power-density electric motors power airplanescleanly and more efficiently, in a way that benefits the environment and lowers costs for consumers. We see a world where the skies are as open as roads are today,allowing people to embark on journeys that might otherwise never have been made.W hen he was a boy, our founder, Our Future Tony Guina wanted to follow in the Aeroplanes connect continents, countries, and cultures. footsteps of the legendary Croatian They shrink boundaries, power commerce, and expand scientist Nikola Tesla, his countryman our sense of possibility. For the past century, the world, and hero. Like Nikola Tesla had a century before,Tony and our understanding of our world has been wanted to pioneer a new understanding of energy, to transformed, while planes have only gradually transform the way we think of powering the machines evolved and improved. that move our world. Having dreamt the impossible, in 2009,Tony began assembling a skilled team to translate By working with world class partners, magniX is ideas into prototypes, and eventually, products. bringing to market an advanced electric propulsion system for aircraft.We know from history that a Discovering Our Calling disruption in aircraft design has always come about Between 2009 and 2016, magniX continued to from revolution in the propulsion systems. magniX is develop the core of our technological capabilities, and working to revolutionise the way the world flies by we searched for ways that our high-power-density transforming the way aircraft are powered. magniX will permanent magnet and superconducting motors could shape culture by enabling cheaper, cleaner transport serve the marketplace. solutions and influence and inspire more aircraft companies to become electric by demonstrating a Today, magniX is 100% owned by the Clermont Group, sustainable air travel solution. an international business group founded in 1986 by New Zealand-born entrepreneur Richard F. Chandler. We are a company that stands for more than the As part of Clermont’s family, magniX enjoys the support products it creates, or the change it unleashes. magniX of an organisation with an entrepreneurial heritage, has always been – and always will be – a business a values-based culture, and a long-term outlook on anchored in values, and inspired by the belief that the building and growing businesses. impossible is possible. 3

One Amazing Journey From Dreams to Reality4

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Our Purpose We believe the future belongs to the Dreamers. Dreamers that dare to act on the belief that we are capable of shaping culture and making a difference in the world of transportation. Dreamers that exclusively pursue seemingly impossible challenges because we truly want to build a better place for the next generation. We believe that impossibility is not a fact. It's an opinion. Impossible is not a declaration. It's a Dare. Our greatest glory is not in never failing, but in rising every time we fail. Adapting fast and learning quickly is our ante to play. We choose to be extraordinary and dedicate ourselves to our work because there is no tomorrow unless we build it today.6

ONBOARDTaking Territory in Aviation “Film provides an opportunity to marry the power of ideas with the power of images” Steven Bochco American television producer 7



ONBOARD The Culture Strategy Why Culture doesn’t just Beat Strategy, it Must Be the Strategy Brent Gleeson is a Navy SEAL combat veteran with multiple tours to Iraqand Africa. Upon leaving SEAL Team 5, Brent turned his battlefield lessons to the world of business and has become an accomplished writer, and speaker on topics ranging from leadership to building high performance teams.C ulture – and its application to strategy engagement and retention as “urgent.” Due and results – is now a core focus of great to globalization, a wider array of employment organizations that “get it.” Volumes of opportunities and organizational transparency driven research from global consulting firms by sites like LinkedIn, Glassdoor and Indeed, the power is in the hands of the job-seeker, not the employer.coupled with my own experiences as a business owner And today’s top talent cares deeply about the culture, purpose and work environment. That means thatand consultant point to the fundamental belief that most companies out there have some work to do.there is a distinct correlation between culture and An organization that has a clearly defined culture which aligns with their core objective? Naval Specialfinancial performance. I address this topic thoroughly Warfare (NSW) Home to the Navy SEAL and SWCCin my new book, TakingPoint, which is about leading (Special Warfare Combatant-Craft Crewmen) teams.organizational transformation and the role culture The Navy SEAL training and selection process is now widely depicted in many books, movies andplays in successfully leading change. online resources. But you really can’t understand the almost surreal essence of this environment unlessBut many companies fall significantly short in you experience it for yourself. BUD/S is the first sixdoing four things: months of the long training pipeline and is designed to develop the world’s most elite and sophisticated1. Clearly defining their culture special operators – warriors that are aligned behind a clear and concise mission narrative.2. Managing that culture3. Aligning culture with strategy and desired results4. Leveraging culture during times of changeIn the 2017 Deloitte Human Capital Trends report,senior executives and human resources professionalsfrom across the globe rated the areas of culture, 9

An organization that doesn’t actively create the culture it wants will end up with a culture anyway.To Defeat Our Nation’s Enemies gets put up on a PowerPoint slide once or twice a year ten minutes after you talk about the corporateThe irony is that the training after BUD/S only mission statement or annual strategic initiatives.gets more challenging – and peak performanceis everything. The small handful of students that But treating culture like an afterthought isn’t just foolish.graduate from BUD/S go on to SQT (SEAL It’s detrimental. Because an organization that doesn’tQualification Training), which consists of many actively create the culture it wants will end up withmore months of arduous training. The students a culture anyway. It will be the disorganized total ofare constantly under the microscope being tested its employees’ thoughts and experiences – based onon their physical and tactical perfection in all things everything from how they’re treated to where they sit.Naval Special Warfare. That kind of “ad-hoc” culture can have some positives. You can think of it like a big tailgate party before aAs the saying goes, “You either manage your culture or football game. If you happen to end up with the rightit will manage you.” The NSW community does a very people, and the weather holds out, and everybody endsdeliberate and thorough job of building, managing and up liking the food, the party will be a fun experience.protecting our culture – the shared beliefs, mindsets,values and rituals that have been forged over decades But high-performance organizations don’t leave thoseof relentless training and brutal combat. Like any kinds of details to chance. They make the consciousorganization, it isn’t perfect and we have our flaws. decision to build and define a culture that attractsBut our culture is not haphazard, it’s by design – it’s and retains the right team members, promotes thewhat fuels our ability to be nimble, adapt to change organization’s values and reinforces those valuesand defend those who can’t defend themselves. throughout the company with consistent action.If you make it through training – and that’s a big if, And their culture is aligned with specific strategicsince only a few out of every beginning class of 200 objectives – culture matches strategy.or so candidates survives to the end – your fellowSEALs know you’re coming in with an extreme level of So why is this so important to talk about howtraining, toughness and willingness to be a part of the culture impacts change? Because so many organizationsmost feared and elite special operations fighting force get it wrong. There is a common thread among thein existence. They know you’re a “culture fit.” highest-performing organizations that prioritizing culture beats business strategy every time. I’d like toDeveloping and protecting the culture is one of the take that theory a step further. For companies that willmost sacred parts of the SEAL experience, but if you thrive in the 21st century - culture will BE the strategy.listen to a lot of conversation in the business world,“culture” isn’t much more than a soft buzzword that10

ONBOARDYou either manage your culture, or it will manage you.According to a 2013 survey of more than 22,000 This consistency of action happens with big decisionsbusiness executives by the Katzenbach Center at and small ones. My friend and colleague GordonStrategy&, most leaders understand the key point Lansford runs J.E. Dunn Construction, one of theI just mentioned – that culture plays a critical role largest commercial builders in the country. Whenin achieving great financial performance – and he took over as CEO, one of his core missions wassuccessfully leading and managing change. to establish a culture of transparency, honesty and accountability. And he was determined to show thatAs I pointed to earlier, defining and managing culture the people are J.E. Dunn’s greatest asset.is more important than ever. According to a 2017Gallop pole, only 33% of the workforce in the United We have a saying in the SEAL Teams - “Take careStates is engaged – the rest being passively or actively of your gear and your gear will take care of you.”disengaged. Globally, that number sinks to only 17% Similarly, when you take care of your people, they willengagement. You can see why this is a serious problem. in turn take care of you (the business). Gordon, like other great business leaders, understands that if youCulture is reflective of leadership and culture is what take care of your people, they will take care of thedrives engagement. customers - which leads to great financial return. And great financial returns equals happy shareholders! Weak culture = Low engagement Great culture = High engagement One of the ways he did this was by changing the way employees are evaluated – separating it from theAccording to Fortune’s Best Companies list and usual career development process. And candidatesGlassdoor’s Best Places to Work list (data complied for executive positions in the company have to showthrough employee surveys), organizations like with their record that the company’s people haveHubspot, Nextflix, Apple, Google and many more been their primary consideration. Over the pastrate the highest primarily due to how actively they three years, by focusing on promoting a culture offocus on maintaining a great culture. For example, open communication, trust and accountability – andNetflix’s Culture Manifesto is one of the most widely rewarding these behaviors – the company has seenviewed documents on the Internet. And most of the measurable growth and the financial returns to provecompanies that are winning when it comes to culture it. And more importantly, you can feel it when youand being the “best places to work” are doing so walk into the office.by actually being the best PLACES to work. Theyinvest heavily in cultural experiences and the It’s way more than a catchphrase.workplace environment. 11

Our House Values Are you Ready to Learn about the “Secret Sauce”? At magniX, we believe that culture is strategy. Your skills are not as important as your heart. We would like these values to be the foundation for the culture we are building within the house.Do or do not, there is no try Data driven in our approachWhen a challenging task is presented to us, we Before we embark on any activity, we must knowdon’t accept defeat before attempting the task. why we are doing it and be able to measureSaying we will “try” is to say we expect failure to its impact and evaluate its success. If we can’tbe an option. We don’t believe we will fail before measure something, we don’t know if we havewe even begin. We will always plan for success improved. Starting something is always exciting.and put ourselves in a position where good things There are many unknowns and many ways for uscan happen. We play to win. Winning is crucial to to shape the outcome. It is not good enough tous. We don’t settle for second best and we’re not be second best or to “almost” have got there. Weinterested in merely taking part. We are hungry have to finish well so that the legacy will be onefor success. We are here, not to try but to that is glorioustransform the industry and to shape culture withour products. Our business is customer and culture centricSurrender the ME for the WE Great technology doesn’t mean you have a great business. We exist because of our customers,One Team. One Mission. The team always comes and our ability to solve their problems. Webefore the individual. It’s not good enough for never turn away an opportunity to talk to ourour individual department to win, we must win customers. Without customers and their needas company or we don’t win at all. We will watch for our products, our mission cannot be realised.what we say and who we say it to. We do whatwe say we will do. We do not play games and we Excellence is daily innovationdo not offer empty promises. All elements mustcome together perfectly for us to have a strong We happily embrace change because that isData driven in our approachmarket. what drives progress. We accept that in every season there is a change of pace, change of direction and a change in focus. We will not grow weary in the progress of change that brings us closer to our goals; we embrace change as one step nearer to where we need to go.12

ONBOARDConsistency is key Always remember where we come from, and remember where we are goingBeing consistent is the key to achieving greatresults. We are not looking for the short sprints We are mindful of who we are and where weof excellence or great attitude at the start of come from. We honor our heritage and we valuethe project. There is no space for ultra-ego our uniqueness.personalities in magniX. We value what is right Our tribe is unified by purpose and values. Weover who is right. We are quick to admit our are part of a house that believes that anythingmistakes and we take ownership over our work. is possible and gives us access to the necessaryWe need to be consistent capital resource. We are fiercely protective of our reputation and know that our products willBeware of the little foxes be a testimony to the culture and quality of our company. We will power flight.Conflicts in the workplace can be like little foxes.People get hurt and frequently hold grudges against Only dead fish go with the flowanother person which often results in unnecessaryoffice politics. We must be bold to have open We are disruptors. We constantly challengeand difficult conversations with our co-workers to the status quo because we believe the value ofmanage conflict in a healthy way. When managed asking questions. Just as Mark Twain says “It iscorrectly, resolved conflicts will led to a stronger wiser to find out, than suppose”. At magniX,team and trust to be forged. we expect everyone to be curious, always asking “why?” and finding out how things can beWhy not today? improved. We move with calculated conviction and purpose. We’re up for the challenge andTomorrow cannot be our default response to the refuse to accept something because it’s easier.task on hand. We must look at every task with Nothing and no one at magniX is above beingurgency to execute it today. The only way we questioned. We base our decisions on solidcan win in the marketplace is operate at ludicrous information, and go looking for it when it’s notmode as the default mode. The key is to activate provided to us.work streams today. Start the ball rolling andput yourself in a position where good things can Safety is everyone’s responsibilityhappen. This shared conciseness is how we build achampionship winning business. keeping yourself and others safe is a collaborative effort. magniX accepts the fullPassion is the extra mile legal and moral responsibility to provide a safe and healthy workplace but our internalPassion for your work goes beyond the 9 – 5 responsibility system is advocated at every levelhours. When you are passionate about what your of our organisation. It’s our joint responsibilityare working on, you give everything to make it to protect each other, hold one anothergreat. Being passionate is where amazing things accountable, as well as to detect and correcthappen. We consistently make an intentional anomalies if they arise.effort to sow vision into the hearts and mindsof our people because we understand peopleneed a vision to be passionate about. It’s all inall the time, we cannot afford to be passive inour attitude. Unwavering commitment is ourminimum expectation. 13

Beliefs & Behaviours Right Decisions Today, Right Destinations Tomorrow We are called to be a market leader of our territory Proceed with confidence in our business and customer relationships, knowing our boundaries, understand the importance of seasons and when to say “No.” Innovation Right beliefs lead secures our legacy to right behavioursFailing fast and staying ahead of the When wrong behavior is demonstrated byrelevance curve for our customers. our people, we seek to find out where theRelentless in our pursuit of making wrong believing has occurred. Setting the the impossible possible. right context is an intentional and time consuming process that we do not shy away from. Our business is built upon cultural shaping products utilising cutting edge technology We work on greenfield products, pushing the boundaries of what is possible in our industry. Our mission is to utilise technology to create products that inspire a generation to believe in the impossible.14

ONBOARDWe judge ourselves by our intentions and others by their behaviour. Stephen M.R. Covey American Writer Great stories inspire people People want to be part of a story and not just a business. Leaders of the house need to share and communicate stories and our purpose. When our people retell the stories, this strengthens our company. We win and lose as a team Culture first, strategy second.The language we use is “We” not “I”. Invest in our culture to see throughWe intentionally create environments the stormy seasons, with the rightwithin the office to foster teamwork. culture, leaders are formed. Cultural shaping products engage customers emotionally and commercially A focus on delivering great user experienceand simplicity in design is how we engage our customers emotionally. Through economic benefits and reliability is how we engage our customers commercially. 15



ONBOARDThe Clermont Group Building a Generational House Clermont’s Founder Richard F. Chandler tells the story of how the Group’s heritage is characterised by dreaming big,independent thinking, and boldness in the face of opportunity.M y grandfather, Edward F. Chandler American industry – people such as Henry Ford, John (1860 – 1925) began my family’s D. Rockefeller, JP Morgan, and Andrew Carnegie. entrepreneurial story in San Francisco, where he established his advertising But while I think my father inherited some of hisbusiness. From California he moved to Australia, and family’s entrepreneurial calling, it was my Croatian-bornthen on to New Zealand, where he founded Chandler mother, Marija, who had the courage to take great risks.& Co, which would grow into a dynamic business under Growing up in Europe during World War II, and cominghis leadership, opening offices in the cities of  Wellington, from a country that had been caught up in EuropeanChristchurch, and Dunedin. Chandler & Co managed wars for centuries, she had an intuitive sense of riskadvertising on trams and railway cars. It also introduced being the partner of destiny.billboard advertising to New Zealand. My father started off as a beekeeper in a small farmingMy grandfather died before my father’s first birthday, so community called Matangi, outside of Hamilton, Newmy father really did not know his father. T  he business Zealand. He made a type of honey, known as ‘Manukawas eventually taken over by one of the managers who honey’ that nobody wanted to buy in the 1950s. T  odaypaid a regular dividend to my grandmother but, in many it is widely sought after and recognised for its healthways, my American-born grandfather’s entrepreneurial and medicinal properties. After meeting and marryingjourney is where this story begins. in Croatia, my parents returned to New Zealand and settled down to married life, raising three young boys inWhen my father, Robert Chandler, was starting out in rural tranquillity.business, he read widely. In particular, he was interestedin books that included early American success literature: However, the honey business was troublesome at best,the writings of Orison Swett Marden, Dale Carnegie, being dependent on the weather and consumer tastes.Theand Napoleon Hill. He was very much influenced by industry survived mainly on government subsidies. Onethe concept of  ‘mind over matter’ and the idea that ‘if day, my parents realised the limited future of beekeepingyou can dream it, you can do it’. T  hese authors inspired, and decided they should try something different.and were inspired by the titans of early 20th-century 17

EDWARD F. CHANDLER The Founder of Chandler & Co emigrated from the United States to New Zealand in 1903.First, my mother started a small business from home 15 years. I know it sounds impossible, but that is exactlymaking wedding dresses. A short time later, they sold what happened and Chandler House was born.the beekeeping business and used the money to buildapartments for the rental market in Hamilton.Then one This is where it all started to come together for myday, they came across a department store in the wrong parents. My mother’s willingness to take a risk, pairedpart of town and, in a stroke of inspiration, decided with my father’s belief that everything is possible arethat this would be their next step. qualities that have really influenced me in the decisions that I have made, and continue to make.Armed with a mindset that anything is possible butwith only $5,000 in his pocket, my father walked into Humble Beginnings in New Zealandthe shop and asked the owner if he would like to With my father as CEO and my mother travelling thesell the business.That man said yes. My father then world to source merchandise, my parents createdasked:  “Would you consider leaving a large amount what quickly became one of New Zealand’s leadingof the purchase price in as a first mortgage on the department stores, which was where my personalproperty?” T  he man said yes. My father walked out business story began.paying a deposit of just 2.5 per cent (exactly the $5,000that he had) of the $200,000 purchase price.That man, I was 13 when my parents started the business andColin Ross, never asked for the mortgage to be repaid; they imbued me with a good work ethic from a younghe was just happy receiving interest on it for the next age. I always had to work for my pocket money.18

ONBOARDI either mowed lawns or worked in the store. My By 1986, my brother and I knew that New Zealand’sparents lived and breathed the business. Every night at economic boom was unsustainable. Building cranesthe dinner table, they would go through the challenges dotted the skyline of Auckland.they faced. While other families would go for picnicson Sunday afternoons, ours were filled with trips to Just as my parents left the familiar world of beekeepingthe store where we rearranged merchandise and for property development and then retail, we decidedchecked out our competitors’ window displays. to leave New Zealand at the top of an economic cycle to seek opportunities in larger countries. WeLondon and Back established an investment business, Sovereign Global,After completing two university degrees and spending and moved to Monaco. A European location wouldtwo years in an accounting firm, I decided it was time position us to see investment opportunities in theto test myself in an international setting. I resigned East and the West.from my job, packed my bags, and left New Zealandfor London with nothing but a conviction that I had to Important Lessons from New Zealandwork for KPMG, which was, and still is, one of the best There are valuable lessons to be learnt from thisfirms in its field. When I went to KPMG to enquire phase. The genesis of the Clermont Group’s history isabout a position, I was told there were no places in building businesses in challenging environments. Andavailable. I said: “Look, I have come all the way from the retail industry in the late 1970s and early 1980sNew Zealand, could I at least see the head of HR?” He in New Zealand was certainly that, with its small andwas on holiday. I replied: “Well, I am going to stay in a demanding market of just three million people.hotel just down the road, here is my CV, could you askhim to give me a call when he gets back?” The fashion business requires new collections to be designed and delivered every three months. FashionMost people would not leave their country without has a short shelf life. You must be extremely fast andthe promise of a job, much less wait for days as I did, you have to be very close to your customers. Youwith no clue as to whether KPMG’s head of HR would must anticipate what the market wants and updateever call me back. But he did. I remember saying to your merchandise quickly. I did not realise it at thathim: “I do not care how much you pay me, just put me time, but it was training me to anticipate cycles inwith the best team you have.” So, for a year I worked the stock market.with Douglas Flint (later the Group Chairman of HSBCHoldings) before I returned to the family business. Running a fashion business in a small market with a volatile economy was very difficult. If we got theYou could say that I inherited my mother’s courage and product range even slightly wrong, we would have hadmy father’s belief in all things being possible. If there to give away what was not sold. In fashion, you knowis anything to be learnt from this story, it is that great your failures instantly. They sit on the garment racks.dreams demand great risks and come with great tests There is no room for error.of character, perseverance, and commitment. Onemust be prepared to pay the price. I did, however, realise a few things from the experience. First, most businesses are destined to failAt 22, I moved back to New Zealand where I spent the unless you know how to lead change. Standing still isnext four years as a women’s wear stylist. Although it never an option as the tide of change will take youwas a difficult economic environment in the country out, so, if you want to survive, you have to be ahead ofthen – inflation was high, as were interest rates – the curve. Second, to never operate in a small markettogether with my parents and my brother Christopher, because there is no margin for error. And, finally, thatwe transformed a single department store into a chain everything is cyclical – if you can recognise marketof 10 stores, supported by three manufacturing plants. cycles, you have a very valuable skill set. 19

Within 12 months of leaving New Zealand, the Richard and Christopher Chandler at Yuganskneftegazeconomy collapsed and did not recover for 15 years. Siberia, Russia, 1996.Many large businesses failed and the largest bankwas rescued in a government bail-out. By the beginning of 1987, interest rates in Hong Kong were at a historic low. And confidence in Hong KongBRICs and Bold Investments was at an all-time low. This was largely due to theWith these experiences and revelations in hand, political uncertainty caused by the British government’smy brother and I entered a golden period with our announcement that it would return Hong Kong to theinvestments. We were very fortunate to catch the Chinese in 1997. We were able to buy several central cityopening up of the emerging markets: we were one of office buildings at the bottom of the real-estate market.the first foreign investors in Brazil, and later in Russia. We also started to invest in stocks at that time.There is no denying that we witnessed volatile times in One day, we walked into a stockbroker’s office andthose markets, but volatility also meant that there was an asked them what we should buy. They advised us toopportunity to buy low, sell high, and then come back and buy Jardines, Swire, or Hutchison. “What about thebuy low again. This is never easy to do in the heat of a crisis. property stocks,” we asked. They said property was in a terrible cycle and that we should not touch them.I wonder how many people would be happy having100 per cent of their assets in Russia, like we did, for Now, the minute someone says something is terrible,10 years? That takes courage, conviction, and belief. I usually want to own it. So I asked if I could speak toAnd we didn’t always get it right. After the Asian the property analyst, who was a young fellow calledcrisis in 1997, the Russian government defaulted on its Anthony Teo. I asked him what he would buy if hedebt, the ruble collapsed and the stock market fell 95 were investing himself. His answer was Sino Land – aper cent in dollar terms. It is a big advantage to be a developer that had had some problems with a weakprivate company. We can take a long-term view. Andwe can invest in crises and support countries withcapital when short-term investors are leaving.People used to ask me: “What do you do?” I wouldanswer: “Well, if you open a newspaper, and if thereis a crisis, we are probably investing in the middle of it.”From a young age, I was never bothered about gainingapproval from other people. My father used to tellus: “If you want to make a mistake, trust an expert.”So I think I was born with, or at least inherited, acontrarian streak.The Fragrant Harbour of Hong KongNowhere was this more evident than during our timein Hong Kong. When my brother and I arrived inHong Kong in 1986, we encountered a very depressedeconomy. The property market had soared between1971 and 1981, only to crash as developers floodedthe market with an over-supply of new office space.The global recession of the early 1980s compoundedthe problem.20

ONBOARDCentury Square, Hong Kong, 1987. Timing the Cycle The countries, companies, and context may haveproperty market and excessive debt. Anthony varied over the years but our approach did notthought it would rebound as the property cycle in change much. Whether it was the fashion businessHong Kong recovered. So I started buying Sino Land in New Zealand operating on 90-day cycles; or howshares. A couple of years later, there was an article we were just one day from significantly mistimingin the South China Morning Post that said Sino Land the equity market cycle in Hong Kong and losing ahad been the best-performing stock in Hong Kong in significant portion of our capital; or how timing ourthe previous two years. investment well in Japan resulted in our greatest financial success as a firm – they all tell the story ofThis was an important moment for me because it the importance of seeing the cycles and acting boldly.was the first time that I had confirmation of what I Insight must be partnered with action.came to understand over time was a prophetic giftfor stock markets. Maybe it was beginner’s luck but In 2006, my brother and I agreed to demerge ourit gave me so much confidence moving forward. And investment portfolios and we both established ourin life, confidence is key to taking calculated risks. own firms, which, in my case, was Orient Global.  [Note: For the next 20 years, from 1986 to 2006,Sovereign Global would achieve an annualised return Two years later I returned to another crisis in Russia,of 40 per cent. When Richard took over leadership which was undergoing economic turmoil during theof Chandler House in 1982, family net assets were Global Financial Crisis. The Russian stock exchange$2 million. When Sovereign Global was demerged in index had fallen by 73 per cent and foreign investors2006, net assets had grown to $6 billion.] were pulling their capital from the troubled country. Oil prices had collapsed. I saw that Sberbank, Russia’s largest financial institution, was significantly undervalued. Given its structural importance to the country, I believed it would survive the crisis and emerge to thrive. Sberbank comprised 50 per cent of the country’s banking sector. It was a national champion in a large economy going through a time of crisis – a playbook that we had followed before in Brazil, Russia, and Japan. Sberbank did recover, and it created another quantum-leap, resulting in more than US$2 billion in gains. A Name for All Seasons Fast forward to today and after some thoughtful re-evaluation, the business was rebranded as the Clermont Group in 2016. While there is value in having an association with a founder’s name (for example, in a crisis you can look at that name and think, what would, for instance, JP Morgan do in a particular situation), I wanted a name with an elegant, timeless quality that reflected my values. Clermont was that name. 21

HERITAGE ZONE Clermont Group’s officein Singapore, January 2017

ONBOARDDeveloping a Stronger Business Model Programme so that our young leaders can beIn thinking about legacy and businesses that stand the mentored by Champions working on the front linestest of time, it became apparent that a business cannot of human development.last if it depends on one person with a particular giftor skill set. So in 2015, I set out to design a ‘built to We understand that culture is sustainabilitylast’ business model. and we are vigilant not to let the business outrun the culture. Sometimes businesses fail becauseThe new model would take the best of what their products or services become obsolete but, aswas good about our ability to see cycles and time frequently, businesses fail because the culturemarkets, and partner it with a division of operating is not strong enough to manage prosperity.businesses. This model shares many similarities withWarren Buffett’s Berkshire Hathaway. Alexander the Great led one of the greatest empires in history, but his reign lasted only 12 years. WhileToday, the Clermont Group comprises these two Alexander’s Greek phalanx was formidable on thedivisions: Clermont Holdings and Clermont Capital. battlefield, he overran his assignment in Persia byThe former builds our operating companies and the attacking India. He was dead at 32. The Frenchlatter seeks out opportunities in equity emperor, Napoleon, was renowned for battlefieldcapital markets. strategy, but he too succumbed to overreach, losing most of his army on the winter march back to FranceOur business model is anchored in a strong after conquering Moscow in 1812. The point I amunderstanding of our business lane and territories. trying to make is this: governance and culture areWe have a sense of which countries and industries not only established to navigate the company throughwe are called to operate in, and we are careful about trials, tribulations, and crises; they also help us navigatestepping outside these territories. We are focusing our way through victories, praise, and prosperity.on building an orchard of Champion businesses inlarge economies. Hence, healthcare in Vietnam and I often refer to Clermont as a House, rather thanthe Philippines make sense as the former has some a business. I do so because I think of Clermont as a90 million people and the latter 100 million people. family and the people as sons and daughters. TogetherLikewise, financial services and energy are industries we are building a legacy. And a central part ofwhere you can grow world-scale companies. the legacy is the House itself.The Clermont System I believe that business is a story lived out in seasonsAs part of our built to last initiative, we introduced and that story can become a valuable legacy of lessons,the Clermont Council, which manages the governance wisdom, and inspiration. We are building a book ofand oversees the culture of the organisation, and the testimonies to inspire the leaders that come afterClermont Academy to build elite business teams. us to dream big and act boldly, just as I built on myWe also launched the Clermont Field Service father’s dreams. 23

THE ELECTRIC AVIATION AGE NO FUEL NO EMISSIONS LESS NOISE FIRST/LAST MILE MIDDLE MILE LONG HAUL 25 50 100 1000 MILE >1000 MILES MILE RANGE RANGE RANGE CONNECTING COMMUNITIES 1 cent increase in Aviation creates 4.9% Fuel costs = ~ 30% of all ights are <500 miles in range $/gallon of fuel = of human-caused 30%-50% of emissions of CO2 and yet represent only$200M of cost for the airline operating other greenhouse 11% of passenger US airline industry. gases. costs. movements. Average Stage Length Flown by ~ 40% of all Narrow Body ights today are Aircraft of the 16 <1000 miles in largest US airlines: range. 803 miles.POWERING FLIGHT24

ONBOARD magniX Leaders magniX team works hard but plays hard as well At magniX, we have a saying, “ Surrender the Me for the We”. The combination mix of our team is critical to our success. We believe that having the right people and beliefs into the company creates the rightatmosphere for our creativity to thrive. Each member of the House adds an amazing and unique blend of talent, personality and ideas to our mission. 25

Roei Ganzarski CEO aka Ganzy As CEO of magniX, Roei Ganzarski is based in our global headquarters in the United States. He is a graduate of Wharton’s Advanced Management Program, earned an MBA from the University of Washington, and a BA in Economics from The University of Haifa. Prior to magniX, Roei was CEO of BoldIQ, a global provider of dynamic real-time scheduling optimization software which, under Roei’s leadership, grew from a seed software startup to a profitable multi-million dollar SaaS company. Before BoldIQ, Roei was Chief Customer Officer for Boeing’s Flight Services division where he led all worldwide customer and market facing operations. Roei’s background encompasses experience in private investment banking, corporate finance, advertising, and the military, and he currently sits on the Washington Technology Industry Association Board. Scott Sandler CFO Leading manufacturing companies in automotive, aerospace and media, Scott has a rich mix of finance, operations and engineering experience. As an expert in revenue growth and operational efficiency, he has lead several finance divisions in companies like SpaceX, Ford and other exciting start ups. Scott holds a masters in Aeronautical Engineering from MIT and an MBA from University of Michigan. Caryn Niles Chief of Staff Caryn holds a MA in International Law from George Washington University and a BA in Literature from the University of Texas at Austin. She has spent most of her adult life moving house in pursuit of various interests: from mandarin study at National Taiwan Normal University to Peace Corps service in Sichuan, China; later becoming a wine merchant in Portland, OR; a teacher in Washington, DC; and a marketing consultant in Syracuse, NY. From 2008-2017 she was a Program Manager at Boeing, at Flight Services and in Airplane Development on the 777X Wing. She is thrilled to find herself serving magniX as we bring the future to aviation. Caryn is a sailor, photographer, yogi, bookworm, wife, and grandma.26

David Sercombe ONBOARD 27Chief Design EngineerDavid has worked for the last 12 years in Guina Developments/GuinaEnergy, which later became magniX. He specialises in the design, modellingand prototyping of permanent magnet and superconducting motors andgenerators. He was one of the key driving forces behind the design anddevelopment of the magni5.Everyone in the office knows and admits that David is a genius. He is evenhas three computers just to keep up with him. He has a great collection ofone liner jokes and he is one of the funniest guys you will meet. When hehas a ‘win’ moment, he will start a drumming smash action.Steffen GeriesProgram Manager aka SteffA passionate Systems Engineer and Program Manager, Steffan has worked invarious aircraft and helicopter programs like Eurofighter, Cougar, H145, CH-53. He is still blown away by the chance to change the world by contributingto something so great, whilst living in one of the most beautiful parts of theworld. He loves when a plan comes together.A self-confessed Space geek, falling on his knees for the achievements ofApollo. Given the lack of mountains here to raceboard which he lovedto do back in Germany, Steff is learning to kite surf. His curious natureand eagerness to try anything must be the secret behind his big smile andhappiness.Daniel CharlesProject LeaderDaniel joins magniX as a seasoned entrepreneur and business advisor.Before joining magniX, he has been working on private equity investmentsfor an international business group. Prior to that, he spent the last decade ofhis career working in motorsports in F1, Formula 3 and World Rally Racingin the area of marketing and business development. He has worked onprojects with Fujitsu, Tony Robbins, Mobil 1 and 3M. He is excited to bringhis marketing and business experience to promoting the future of electricflight. He also serves as the investor relation liaison for magniX

John Kells Director of Supplier Managment JK has a Bachelor of Engineering in Mechanical. He first worked for Guina Energy (now magniX) before leading a team at Turbosmart. He then worked as a design engineer at Brevini Australia, specialising in industrial gearboxes and custom drives, then working for AVL powertrain where he was contracted to Ford as a driveline engineer at the Ford Development Centre. John is a competitive squash player. He walks around the office with his racket challenging people to verse him. John takes great pride in styling his hair, do not ever touch his hair, ever. Luciano Serra Director, Certification and Safety aka Lu Luciano has a wealth of experience in project planning and project execution, through involvement and management of multiple projects for different areas of activity. His ability to clearly analyse and communicate status on multiple working levels and proven negotiation and leadership skills inside multidisciplinary environments make him an industry powerhouse. International work experience in Germany, Japan, Canada and Brazil has facilitated a diverse background, favouring the ability to effectively work with Government agencies, shop floor employees, technical teams and top management. His advanced knowledge of airworthiness regulations worldwide, including aircraft Type Certification, design change approvals and operational requirements make him a great asset to the magniX team. His experience includes Change Product Rule Delegate for the Bombardier DAO. Dr. Youcef Abdelli Head of Power Electronics, Software and Hardware Youcef received his Ph.D. degree in electrical engineering from the Polytechnic School of the University of Nantes, France. He has worked in the aerospace industry for all his career in companies like Airbus, Safran and Liebherr Aerospace. He is our power electronics expert and he has been involved in the design, analysis, and validation of various power electronics solutions for military and civil airplanes. He brings a fantastic personality to the office and is always a ball of fun to be around.28

ONBOARDRobert CrinerHead of Aircraft Integration aka Bobby the BaristaBobby the Barista, worked for 13 years as an Aerospace Engineer. Hehas worked on programs such as the Boeing 787, Lockheed Martin  F-35,Gulfstream G650, Google X, Airbus A350 and much more.Bob is a coffee connoisseur. He once brought his entire home-brewedcoffee machine to the office which created a huge mess. He loves to giveand receive Hi-5s and watches karate movies on the weekends with hischildren.Jorge AlejandreHead of ProductionJorge began his studies in 2002 with a Bachelor of Engineering, completinghis Masters in 2015. Most recently and relevantly, Jorge has worked withTesla, but has also been involved with Holden, Amcor, and SMR to namejust a few.Jorge has a passion for travel and seeing the world. He loves to MountainBike but as a family man first, spends most of his time enjoying them andtaking his young family to the movies.Stuart JohnstoneHead of Motor DesignStuart studied Physics from Glasgow University. Stuart started his career asa magnet physicist for Scientific Magnetics (UK) where he gained experiencewith cryogenic and superconducting technology. He worked on a variety ofprojects from small science magnets to beamline magnets as well as MRIdevices. He is an expert when it comes to things which are really, really cold. 29

Legacy Going for the Gap In his book Legacy, best-selling author James Kerr goes deep into the heart of the world’s most successful sporting team, the legendary All Blacks of New Zealand, to reveal powerful and practical lessons for leadership and business.S omewhere over the Indian Ocean, on a long, the tall, personable mental skills coach. ‘You can’t disconsolate flight between South Africa and work all week and then have Saturday night through New Zealand, the new All Blacks assistant to Monday off where you bloody drink and sink.’ coach, Wayne Smith, turned to Darren Graham Henry, the head coach, had only recentlyShand, his team manager, and told him, ‘We have a been entrusted with the top job in New Zealand sport. After the debacle, Smith slipped him a notedysfunctional team – if it’s not fixed, I won’t be back.’ insisting that we ‘fix this thing.’The All Blacks had just lost to South Africa 40-26, It was the beginning of a long, painstaking and oftenfinishing last in the annual Tri-Nations tournament. painful process that eventually led to Rugby WorldFor a team attuned to winning, and with the highest Cup glory. What these men – Henry, Smith, Hansen,‘kill rate’ in world sport, it was a disaster. But, as Bob Enoka, Shand, together with the players – achievedHowitt tells it in Final Word, worse was to follow that is a case study in transformational culture change, itsnight at the team hotel. lessons applicable well beyond the rugby field.A ‘Court Session’, a mock trial fuelled by the forced Will Hogg believes that effective organizational changeconsumption of alcohol, had left some very famous requires four key stages. The absence of any onefaces chronically drunk; some so much so that they factor, the management consultant says, will inhibitwere worried for their lives. It was later reported that culture change and often make it impossible:some of the Springbok players, billeted in the same Four Stages for Organizational Change:hotel and returning from a meal to celebrate their • A Case for Changeseries victory, had to extract various All Blacks from • A Compelling Picture of the Futurehallways, bushes and gutters and put them in the • A Sustained Capability to Changerecovery position. Something had to change. • A Credible Plan to Execute‘The way we were going was not going to cut themustard in the professional era,’ says Gilbert Enoka,30

ONBOARDThe Case for Change for the All Blacks was clear. Fourth, the team required a Credible Plan toPerformance was sub-par, both on and off the field. Execute. In this the leadership, with their unique shared‘I wasn’t in the room,’ says former All Blacks captain, structure, excelled. Steered by Henry, the men wereAnton Oliver, ‘but it started by Tana [Umaga, the then able to develop and deploy a self-reflective, self-captain] saying, “I don’t really want to play, I’m scared adjusting plan that developed the technical, tactical,of playing. I’m not enjoying it.” Everyone had been physical, logistical and psychological capabilities oflocked in their own little islands feeling the same thing.’ their collective.They had lost, to use Gilbert Enoka’s phrase, ‘thebeing of team’. There was a strong case for change. The plan traversed years, seasons, series, weeks, days and even the seconds the match clock travelled as it countedNext, the team required a Compelling Picture of the down to the final whistle. It was a plan executed in publicFuture. In the next chapter we look at the role of on the field of play, but calibrated behind the scenes,purpose and personal meaning, and how a three-day and which led to the most successful period of All Blackscrisis meeting set the framework that would culminate rugby in history. And a small gold cup.in Rugby World Cup victory. We shouldn’t be too surprised that the All BlacksFirst, though, there needed to be a clear strategy for culture had begun to rot from the inside. Unlesschange. This was articulated by Graham Henry (as intervention occurs, all organizational cultures do.reported in Final Word and repeated in interviews) The Court Sessions, a hangover from the days ofas the creation of ‘an environment . . . that would amateurism and a by-product of New Zealand’s widerstimulate the players and make them want to take binge drinking culture, were merely a symptom ofpart in it’. Henry realised that the world was changing a more general and inevitable process, described inand the All Blacks, like any other business – ‘and it is graphic form by the Sigmoid Curve.a business’ – were competing on the open market forthe best human resources. He reasoned that an active Though it is tempting to see life, business, society andfocus on personal development and leadership would success as part of a linear progression of constant andcreate capacity, capability and loyalty. neverending refinement and growth, the opposite is true. Like most things in nature, cultures are subject toThird, the team required the right Sustained Capability a more cyclical process, of ebb and flow, growth andto Change. This meant eliminating players who were decline. According to Charles Handy (in The Emptyseen as hindering the chance for change and, more Raincoat), this cycle has three distinct phases:importantly, building the capability of those who Learning, Growth and Decline.remained and those who joined. This centred ona ‘dual-management’ model in which responsibility In the Learning Phase, we often experience dips inwas ‘handed over’ to the players so that they had, in actual performance as we feel our way through theHenry’s phrase, ‘more skin in the game’. unfamiliar. Think of Tiger Woods relearning his golf swing or the teething period in which a new CEOIt also involved – and this is where Henry the gets to grips with the issues of an organization.educator excelled – the creation of a learningenvironment, which acted as a stepladder of personal Then once the learning has become embeddedand professional development. The creation of a and momentum builds, so growth accelerates. This‘Leadership Group’ as well as ‘Individual Operating is the Growth Phase. Rewards follow. Praise andUnits’ in which players took increasing responsibility for blandishments too. Soon we’re on top of the gameteam protocols, principles and culture, gave structure and on top of the world. We’re invincible, our sto this strategy. Captain Richie McCaw believes it to uccess assured. And so begins the Fall.be the most important innovation of Henry’s reign. 31

It was a plan executed in public on the field of play, but calibrated behind the scenes, and which led to the most successful period of All Blacks rugby in history.The Decline Phase hits us much like the early This is the quintessence of kaizan, the Japanese notiontwinges of arthritis in a middle-aged person. At first of continuous improvement. ‘The idea,’ writes Bunjian anomaly, it eventually becomes the painful norm. Tozawa, in a professional white paper, ‘is to nurtureSoon we’re staring at the hollowed-out cheeks of the company’s human resources.’ Originally, kaizan wasan old person in the mirror, wondering whatever less a productivity enhancer than a ‘culture creator’,happened to our gilded youth. a way in which Japanese business could engage and inspire their workforce – to, in Graham Henry’sThe key, of course, is when we’re on top of our strategic statement, ‘stimulate the players and makegame, to change our game; to exit relationships, them want to take part in it’.recruit new talent, alter tactics, reassess strategy.To make what Handy describes as ‘Sigmoid leaps’, The military have an acronym: VUCA: Volatile,a series of scalloped jumps along the Sigmoid Uncertain, Complex and Ambiguous. VUCACurve, outwitting inevitability. describes a world prone to sudden change, unknown consequence and complex, shifting interrelationships;As a leader this is one of our primary responsibilities, one that is difficult to decipher, impossible to predict.and the skill comes in timing these leaps: when toaxe your star performer; when to blood new talent; For the military-industrial complex, VUCA meanswhen to change your game-plan altogether. As the asymmetric warfare, geopolitical instability andEncyclopedia of Leadership asks: What steps do unreliable loyalties. For business, it means structuralyou need to consider taking so you can prepare for collapse, credit crises, reputation damage. Forthe second curve, without prematurely leaving your individuals, it represents career insecurity, rising prices,current success (on the first curve) behind? housing market illiquidity and an uncertain future.32

ONBOARDIt’s about going for the gap,adapting quickly to change by creating anadaptive culture.For leaders, it means dealing with decisions that Decide: This is the point of choice; where weinvolve incomplete knowledge, sketchy resources and determine the best course of action. We cut awaythe vicissitudes of human nature. the extraneous by making a decision.In his seminal paper ‘Destruction and Creation’, the Act: We execute; acting swiftly and decisively to takemilitary strategist John R. Boyd created a theory with advantage of the moment. We then go back to thedirect applicability to a fast-changing environment. beginning and observe the effect of our actions. And‘To maintain an accurate or effective grasp of reality,’ so the loop continues.he argued, ‘one must undergo a continuous cycle ofinteraction with the environment to assess its constant Boyd’s analysis of dogfights over Korea had shown thatchanges.’ He asked himself, ‘how do we create the the pilots who got inside the OODA loop first weremental concepts to support decision making activity?’ those who survived. To prevail in conflict, Boyd says, we ‘must be able to form mental concepts of observedHis answer was the Decision Cycle or OODA Loop. reality, as we perceive it, and be able to change theseOODA stands for Observe, Orient, Decide and concepts as reality itself begins to change’.Act. It is quick to apply, and useful for everydaydecision-making. Boyd’s theories are remarkably similar to those of Alexander Vasilyevich Suvorov, a Russian general bornObserve: This is data collection through the senses; in 1719 who wrote the military manual The Science ofvisual, auditory, tactile, olfactory, taste – as well as Victory. He believed in:more modern metrics. Like an animal sniffing the wind,we gather the raw material for response. • Hystrota, playing a fast-paced gameOrient: This is analysis, synthesizing all available data • Glazometer, making quick decisions that disorientinto a single, coherent ‘map of the territory’ – a the oppositionworking theory of our options. • Natisk, acting aggressively to seize the competitive advantage 33

That is, move rapidly into a commanding position, dysfunction endemic, the management had to act andassess your unfolding options quickly and clearly, attack act quickly. In his report to New Zealand Rugby Unionwith absolute and ruthless commitment – assess, at the end of that year (as recounted in Bob Howitt’sadjust and repeat. Or as the All Blacks would put it: Final Word), Graham Henry identified his key areas of focus:Go for the gap. • Sufficient leadership, knowledge and confidence toFor Boyd, Suvorov and the All Blacks, adaptation is not implement the game plana reaction, but a systematic series of actions. It isn’tjust reacting to what’s happening in the moment, it is • The transference of leadership and thereforebeing the agent of change. This is achieved through a responsibility from the coaches to the playersstructured feedback loop – by building the adaptiveprocess into the very way we lead. • The development of leadership ability and composureHow does this work in practice? Kevin Roberts, CEOof Saatchi & Saatchi, talks about 100-day plans: • The necessity for the group to understand their identity – who they are, what they stand for, and“Getting started is deceptively simple. First list around their collective and individual responsibilities as 10 things you need to achieve over the next 100 All Blacks days. Start each plan with an Action Verb and use no more than 3 words each. Make sure each action The following chapters outline the actions the is measurable and that each one is a stretch. You’ll leadership took to turn their vision into action – and know when something is a real stretch and when the 15 key lessons we can learn and apply to our own you’re just creating a list with things you can tick off. particular field of play. So that we too can go for Review your list every Friday morning. When the 100 the gap. Days comes round, the goal is to have each item checked off. All you need to do then is get a sheet Go for the Gap of A4 paper and get started.” Momentum swings faster than we think. One momentWhereas once 50 per cent of his time was spent on we’re on top of the world, the next falling off theassessment, he explains, and 20 per cent on execution, other side. The role of the leader is to know when totoday all information is instantaneous. Consequently reinvent, and how to do it.70 per cent of his time – and that of the company’sother leaders – is now spent on execution. The Sigmoid Curve means that when we’re at the top of the game, it’s time to change our game. The key isA committed All Blacks fan, Roberts, who was born not losing momentum. As the military have discovered,in Britain and made his home in New Zealand, was the best form of attack is a continuous feedback loopinstrumental as head of Saatchi & Saatchi Wellington and, as we know from kaizan, this process is best whenin developing the All Blacks’ brand in the professional it involves your people.era. When asked what he’s learned from the All Blacksand how they inspire him, he answers: ‘It’s about going The teams that will thrive in this VUCA worldfor the gap.’ It’s about adapting quickly to change by are those who act quickly and decisively to seizecreating an adaptive culture. competitive advantage; adjusting and readjusting along the way. You either adapt, or you lose; and sustainableIn 2004, the All Blacks faced a precipice. With results competitive advantage is achieved by the developmentdeclining, key players threatening to leave and cultural of a continuously self-adjusting culture. Adaption is not a reaction, but continual action, so plan to respond.34

ONBOARD 35

5 lessons I learned aboutleadership as a sergeant in the Israeli army A Purity of Arms I grew up in the United States, but volunteered to spend two and a half years in one of Israel’s toughest military units J oining the military was never a thought These are the five key lessons I learned as a result of that had crossed my mind, until – during this incredible opportunity: college – I came across a review of a book called “A Purity of Arms.” But many companies fall significantly short in Something about the book resonated doing four things:with me and I found myself passionate about theopportunity to join the Army and try to be a part of a 1. Clearly defining their culturesmall, elite group. 2. Managing that cultureI was curiously drawn to the seemingly impossiblechallenges described in the book. This is how I got on 3. Aligning culture with strategy and desired resultsthe path of becoming a sergeant in the paratroopers,serving as a sniper for the entire battalion. 4. Leveraging culture during times of changeI arrived in Israel, with no friends or family for support. In the 2017 Deloitte Human Capital Trends report,I didn’t know more than a few words of Hebrew. senior executives and human resources professionalsWithin six months, I was fluent, and after spending from across the globe rated the areas of culture,two years enduring grueling physical challenges and engagement and retention as “urgent.” Duelearning to work with diverse teams under pressure, to globalization, a wider array of employmentI emerged a changed person and walked away with a opportunities and organizational transparency drivenstrong set of valuable, lifelong leadership skills. by sites like LinkedIn, Glassdoor and Indeed, the power is in the hands of the job-seeker, not the employer.These vital lessons learned during my time in Israel And today’s top talent cares deeply about the culture,have shaped the person I am today as well as the purpose and work environment. That means thatleadership approach I take with all teams I manage. most companies out there have some work to do. An organization that has a clearly defined culture36

ONBOARDwhich aligns with their core objective? Naval Special a fellow soldier to physically push or pull me the lastWarfare (NSW) Home to the Navy SEAL and SWCC mile. This approach allowed me to build up confidence(Special Warfare Combatant-Craft Crewmen) teams. in myself and my unit.The Navy SEAL training and selection process isnow widely depicted in many books, movies and he lesson I took away from this is that you can pushonline resources. But you really can’t understand your boundaries to overcome difficult challenges. Andthe almost surreal essence of this environment unless by doing so, you will develop a strong sense that youyou experience it for yourself. BUD/S is the first six can accomplish anything that you put your mind to—amonths of the long training pipeline and is designed virtuous cycle.to develop the world’s most elite and sophisticatedspecial operators – warriors that are aligned behind Teaming to “take that hill”a clear and concise mission narrative. In the army, we were just a bunch of guys with guns until we had a mission with clear goals from ourYou have to earn it commanders. Our leaders would tell us “what hill toWhen a soldier enters a combat unit in the Israeli take,” but would not tell us how to get there – thatmilitary, he has nothing. A lot of hard work and effort was always up to us.go toward earning every single piece of equipmentthrough a series of physical challenges, culminating in Commanders consistently encouraged us to work as aan 80-mile march to earn the unit’s beret. Each task team to make the best possible decisions together toseems difficult–if not impossible–at first. accomplish our goal. I learned to be my teams’ biggestThere were days when I thought that I might not be advocate and supporter, and give them room to growable to finish, but each time I did– even if I needed and fail. We were taught to study our mistakes so we learned as individuals and teams what happened, how to do things differently and avoid making the same mistakes again. In the end, it was important to lead my teams based on simple, strategic goals and give them the confidence to trust their abilities, and the space in which to succeed. Leaders need to be generalists not specialists Effective leaders are generalists who hire outstanding specialists. Nobody can be an expert in everything; but you need to learn just enough of everything to manage your team and step in if needed. Just like in sports, where the best coaches need to understand every position on the field, effective leaders need to cross-train to understand all areas of the business. You may be a specialist at one thing, but knowing what others do around you (and how to do it, too) is vital. The way I view this in a business setting is: instead of spending your entire career working in the marketing department, spend some time working in sales, 37

business development and then move back into the succeed. I try to lead all my teams in a way that allowsmarketing group. This will give you a much wider, them to fail, but requires them to learn from eachricher view of all aspects of the business, allowing you failure.to approach your job from a broader perspective. If I had to sum up my experience in one sentence,Get your hands dirty I’d have to say it was learning how much can beThe military experience most people undergo in Israel accomplished when everyone acknowledges andhas an immeasurable impact on the lives of everyone recognizes the support of the team around them, forin that small country. All men must serve at least three without your team, you are nothing.years, and women serve two years. Teamwork is required, even in the loneliest of roles.The experience is challenging and profound– everyone While you may not have the opportunity to spendleaves with lessons learned that cannot be found in any time in a tough combat unit, I hope that by sharingIvy League institution. I worked side-by-side with men some of my most valuable lessons, I can help instill andand women that exuded a sense of leadership and develop a stronger inner leader in you.confidence that have been hard to find elsewhere.No job was too small for anyone. Commanders,Officers and Sergeants were getting dirty, sleepingin tents, leading marches. If we were cold, wet andsleepless, they were too. That approach built instantand enduring respect with the teams and instilled inme the belief that you don’t ask someone on yourteam to do something that you wouldn’t do yourself.More often than not, doing something together as ateam has much stronger results and helps cement astrong overall team dynamic.Get knocked down 5 times, get back up 6The biggest lesson I learned was that you canaccomplish anything you put your mind to. If a dooris slammed in your face, figure out how to solve theproblem to get through it.While in the military, we knew we would have tomarch 80 miles to earn our green beret. Early on,everyone on the team said it would be impossible. Butas you go through the training, the leaders build youup to have the confidence to wholeheartedly believe itcan be done. Through that experience, we learned tostay focused and persevere.In a business setting, we often see colleagues hita wall and give up on a project or goal, but with alittle courage and guidance, a good leader can helpthem gain the confidence they need to try again and38

ONBOARDRecommended Reading Where we go for Innovation, Explanation and Inspiration Of all things, I liked books best. Nikola Tesla Essentialism Greg Mckeown The Way of the Essentialist isn’t about getting more done in less time. It’s about getting only the right things done.  It is not  a time management strategy, or a productivity technique. It is a systematic discipline for discerning what is absolutely essential, then eliminating everything that is not, so we can make the highest possible contribution towards the things that really matter.   Legacy James Kerr The All Blacks are the world’s most successful sporting outfit, undefeated in over 75% of their international matches over the last 100 years. What is the secret of their success? And what can we - as individuals, companies and teams - learn from them? In Legacy, best-selling author James Kerr is embedded deep into the heart of the All Blacks’ set-up to reveal 15 powerful and pragmatic lessons in leadership. The Hard Things About Hard Things Ben Horowitz In The Hard Thing About Hard Things, Ben Horowitz, cofounder of Andreessen Horowitz and one of Silicon Valley’s most respected and experienced entrepreneurs, draws on his own story of founding, running, selling, buying, managing, and investing in technology companies to offer essential advice and practical wisdom for navigating the toughest problems business schools don’t cover. A great read for all business managers. 39

Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future Ashlee Vance Veteran technology journalist Ashlee Vance offers an unprecedented look into the remarkable life of the most daring entrepreneur of our time.  Elon Musk paints a portrait of a complex man who has renewed American industry and sparked new levels of innovation – from PayPal to Tesla, SpaceX, and SolarCity – overcoming hardship, earning billions, and making plenty of enemies along the way. Zero to One Peter Thiel Doing what someone else already knows how to do takes the world from 1 to n, adding more of something familiar. But when you do something new, you go from 0 to 1. The next Bill Gates will not build an operating system. The next Larry Page or Sergey Brin won’t make a search engine. Tomorrow’s champions will not win by competing ruthlessly in today’s marketplace. They will escape competition altogether because their businesses will be unique. Good to Great Jim Collins Can a good company become a great company and if so, how? In Good to Great Collins concludes that it is possible, but finds there are no silver bullets. Collins and his team of researchers began their quest by sorting through a list of 1,435 companies, looking for those that made substantial improvements in their performance over time. They finally settled on 11. Good to Great is one of those books that managers and CEOs will be reading and rereading for years to come. Extreme Ownership Jocko Willink and leif babin Combat, the most intense and dynamic environment imaginable, teaches the toughest leadership lessons, with absolutely everything at stake. Jocko Willink and Leif Babin learned this reality first-hand on the most violent and dangerous battlefield in Iraq. In gripping, firsthand accounts of heroism, tragic loss, and hard-won victories, they learned that leadership – at every level – is the most important factor in whether a team succeeds or fails.40

ONBOARDTeam of TeamsGeneral McChrystalWhen faced with an ever changing enemy, General McChrystal discarded acentury of conventional wisdom and remade the Task Force, in the midst of agrueling war, into something new: a network that combined extremely transparentcommunication with decentralized decision-making authority. Leaders lookedat the best practices of the smallest units and found ways to ext­end them tothousands of people on three continents. The Task Force became a “team ofteams” – faster, flatter, more flexi­ble – and beat back Al Qaeda.The Goal: A Process of Ongoing ImprovementEliyahu M. Goldratt and Jeff CoxWritten in a fast-paced thriller style, The Goal, a gripping novel, is transformingmanagement thinking throughout the world. It is a book to recommend to yourfriends in industry - even to your bosses - but not to your competitorsPowerfulPatty McCordWhen it comes to recruiting, motivating, and creating great teams, Patty McCordsays most companies have it all wrong. McCord helped create the unique andhigh-performing culture at Netflix, where she was chief talent officer. In hernew book, Powerful: Building a Culture of Freedom and Responsibility, sheshares what she learned there and elsewhere in Silicon Valley.One MissionChris FussellThis practical guide will help leaders in any field implement the Team of Teamsapproach to tear down their silos, improve collaboration, and avoid turf wars. Bycommitting to one higher mission, organizations develop an overall capability thatfar exceeds the sum of their parts.  From Silicon Valley software giant Intuit to agovernment agency on the plains of Oklahoma, organizations have used Fussell’smethods to unite their people around a single compelling vision, resulting insuperior performance. One Mission will help you follow their example to amore agile and resilient future. 41

Plan your work, then work your plan.42

ONBOARDHow We Play The Game Building the Shared Consciousness Within Our Team08:30 09:00 13:00M O N D AY M O N D AY F R I D AY Stand Ups Engineering Meeting Team LearningMornings at MagniX begin with a The Engineering Meeting is for Every week we gather togetherStand Up meeting where the team everyone to catch up on our as a team for 1 hour to listenleaders will give a brief update product development progress. to a presentation by one of ourof activity to keep up to speed We will focus on clear deliverables team members. The topics maywith the progress of individual for each aspect of the engineer cover specific engineering orwork streams. Each Stand Up is work stream. If any project is management lessons dependingexpected to last 15 minutes. Be behind schedule, we will need to on who is the speaker. This ison time so that we can keep the develop plans to add resource a great opportunity to learnsession efficient. to that. from team members in their field of expertise. We keep the• Keep the progress update short • Update the status of each meetings casual and attendees and sweet. Focus on what was work stream on asana before are encourage ask questions and planned, what was done and the event dialogue through the session. what will be the target for today • List down issues or chokepoints • It is advisable to take down• Whenever possible, leave in your project notes from the sessions questions and detailed discussions offline after the • Be on time so that we can meeting ends keep the session efficient• Take the time to pen your thoughts before the stand up so that your briefing will be clear and on topic 43

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