WEBVTT - Yum Co-Founder on Turning Insight Into Action 0:00:00.120 --> 0:00:06.760 Bloomberg Audio Studios, podcasts, radio news. 0:00:07.160 --> 0:00:11.640 This is Bloomberg BusinessWeek with Carol Messer and Tim Stenebeck 0:00:12.160 --> 0:00:15.320 on Bloomberg Radio. 0:00:16.280 --> 0:00:17.400 A low. 0:00:21.320 --> 0:00:26.920 Ways, Well, if you were to call up Central Casting 0:00:26.960 --> 0:00:29.720 and say get me a CEO, I think it's fair 0:00:29.800 --> 0:00:33.080 to say they would not get you. Our next guest. 0:00:34.120 --> 0:00:36.920 He's a self described trailer park kid who lived in 0:00:36.960 --> 0:00:39.720 twenty three states before even getting to high school. He 0:00:39.760 --> 0:00:42.120 went to college, but he didn't get an MBA from 0:00:42.159 --> 0:00:43.840 an Ivy League school, like so many of those who 0:00:43.840 --> 0:00:47.199 do end up leading companies. He started as a copywriter 0:00:47.240 --> 0:00:49.120 at a local ad agency just out of college, and 0:00:49.120 --> 0:00:52.320 from there worked his way up to become an EVP COO, 0:00:52.520 --> 0:00:56.360 president and ultimately co founder and president and then CEO 0:00:56.400 --> 0:00:59.320 and chairman of Young Brands. It's the largest fast food 0:00:59.320 --> 0:01:01.720 operator in the world world based on number of restaurants. 0:01:01.800 --> 0:01:04.640 It's the parent company of KFC, Pizza Hut, and Taco Bell. 0:01:05.200 --> 0:01:08.240 And he attributes his success to a simple thing, being 0:01:08.319 --> 0:01:11.559 an active learner. It's what he writes this new book about. 0:01:11.720 --> 0:01:14.119 We're talking about David Novak. He chronicles all of this 0:01:14.160 --> 0:01:16.160 in a new book it's out today. It's called How 0:01:16.240 --> 0:01:20.119 Leaders learn master the habits of the world's most successful people. 0:01:20.400 --> 0:01:23.520 David joins us here in the Bloomberg Interactive at Brokers Studio. 0:01:23.560 --> 0:01:28.080 Welcome Tim. Thanks for that really outstanding introduction. You're welcome 0:01:28.319 --> 0:01:31.640 the least likely CEO ever. I love it. 0:01:33.280 --> 0:01:34.840 Well, you know, that's actually where I want to start, 0:01:35.040 --> 0:01:37.760 because you've got a really interesting story, especially as a 0:01:37.800 --> 0:01:40.280 young person. How did you end up living in twenty 0:01:40.280 --> 0:01:41.639 three places before high school? 0:01:41.760 --> 0:01:44.080 Well, my dad was a government surveyor, so he did 0:01:44.120 --> 0:01:48.760 the longitude and latitude points and mark maintenance surveying in 0:01:49.120 --> 0:01:52.240 basically small town America. I was born in Beeville, Texas. 0:01:52.560 --> 0:01:54.920 Lived in small towns, never on the East coast, never 0:01:54.960 --> 0:01:59.000 on the west coast, Detroit Lakes, Minnesota, Dodge City, Kansas. 0:01:59.040 --> 0:02:01.120 I'm the only person you know that's lived in Dodge City, 0:02:01.200 --> 0:02:06.120 Kansas twice. We moved every three months. We hooked up 0:02:06.120 --> 0:02:09.000 the government trucks. My dad was with the surveying party, 0:02:09.080 --> 0:02:12.079 so we had like fifteen families and we all lived 0:02:12.080 --> 0:02:15.440 in trailers, and we moved from trailer park to trailer park. 0:02:15.200 --> 0:02:17.280 And so you're with the same families the whole time. 0:02:17.360 --> 0:02:19.560 Yeah, I had in my neighborhood I thought everybody did it. 0:02:19.560 --> 0:02:22.080 Everybody says, how could you live in a trailer and 0:02:22.280 --> 0:02:24.600 move all that time? But it was actually an I 0:02:24.639 --> 0:02:29.119 think idellic upbringing. You know, I learned when you move 0:02:29.160 --> 0:02:31.520 into new environments all the time, you have to learn 0:02:31.600 --> 0:02:37.040 how to scope out situations, new situations, learn you know people. 0:02:37.120 --> 0:02:40.519 It really helped me with my people instincts. I always 0:02:40.600 --> 0:02:45.000 learned your like one one friend away from happiness. My 0:02:45.080 --> 0:02:47.320 mom always checked me in these schools and she said, David, 0:02:47.320 --> 0:02:48.799 you better make a friend because we're. 0:02:48.720 --> 0:02:50.799 Leaving and hello. 0:02:51.000 --> 0:02:54.040 I also learned that when you go into a new situation, 0:02:54.240 --> 0:02:57.960 tim it's really nice when you have somebody come up 0:02:58.000 --> 0:03:00.680 and make you feel welcome. So, as I moved up 0:03:01.000 --> 0:03:03.920 the ladder in business, I when I saw new people 0:03:03.960 --> 0:03:06.359 come in, I always made it a priority to come 0:03:06.400 --> 0:03:08.680 in and come up and say welcome to the team, 0:03:08.840 --> 0:03:11.560 Glad you're here. But there are all kinds of learnings 0:03:11.560 --> 0:03:15.240 I got from that upbringing, one of which is you 0:03:15.280 --> 0:03:17.560 just can't stereotype people. You know, there's no such thing 0:03:17.560 --> 0:03:22.600 as trailer trash. I had fifteen families. All they wanted 0:03:22.600 --> 0:03:25.120 for their kids to was live the American dream. When 0:03:25.120 --> 0:03:29.200 I played little League Baseball I had, I had, you know, 0:03:29.440 --> 0:03:31.880 ten people out there watching me, other people lucky to have. 0:03:31.880 --> 0:03:33.280 One of their parents there. 0:03:33.520 --> 0:03:37.400 It was very supportive and encouraging, and that environment it 0:03:37.560 --> 0:03:40.360 was something I really tried to take into the corporate 0:03:40.400 --> 0:03:41.120 world as well. 0:03:41.920 --> 0:03:44.520 So can you walk us through a little bit more 0:03:44.560 --> 0:03:47.280 of your career path and then we'll get into your book. 0:03:47.320 --> 0:03:49.320 But I think everyone is so curious, you know, how 0:03:49.320 --> 0:03:52.080 did you go from this kid in the trailer park 0:03:52.120 --> 0:03:54.840 to eventually CEO of the multi national. 0:03:54.880 --> 0:03:56.920 Well, it has a lot to do with the book. 0:03:57.000 --> 0:03:59.720 You know how leaders learned because you don't have a 0:03:59.840 --> 0:04:03.119 very untraditional path. I went to the University of Missouri. 0:04:03.120 --> 0:04:05.400 I got a bachelor in journalism. My first two years 0:04:05.400 --> 0:04:07.880 I was a very poor student, but then I found 0:04:07.920 --> 0:04:10.760 out I loved advertising, and I majored in advertising, and 0:04:10.800 --> 0:04:13.480 then I became really turned on. I started learning everything 0:04:13.480 --> 0:04:16.320 that I possibly could about it. I graduated in nineteen 0:04:16.360 --> 0:04:19.120 seventy four, and that was back when inflation was almost 0:04:19.400 --> 0:04:22.000 twenty percent. I know, we talked about it now, and 0:04:22.080 --> 0:04:23.600 you know how hard it is to get jobs and 0:04:23.680 --> 0:04:25.960 journalism anyway, But I got the first job I got 0:04:26.040 --> 0:04:30.400 was a copywriter at a really small advertising agency in Washington, 0:04:30.480 --> 0:04:33.440 d C. I liked that a lot, and then I 0:04:33.520 --> 0:04:37.599 moved on into account management in the advertising world, worked 0:04:37.600 --> 0:04:40.560 on Heinz fifty seven sauce. Then I went to Dallas 0:04:40.839 --> 0:04:43.200 and ran the Tostitos account and work my way up 0:04:43.200 --> 0:04:46.400 the Freedom account, which was a part of PepsiCo. 0:04:46.040 --> 0:04:47.360 And there I had a lot. 0:04:47.240 --> 0:04:49.920 Of success with the senior management there and they recommended 0:04:49.920 --> 0:04:52.480 me to go to PepsiCo to run marketing for pizzad 0:04:53.040 --> 0:04:55.279 And I was the first non MBA to ever go 0:04:55.360 --> 0:04:57.240 to PepsiCo and to run a marketing department. 0:04:57.320 --> 0:04:59.640 Was was this before or after you invented cool ranch 0:04:59.680 --> 0:04:59.920 to ride? 0:05:00.320 --> 0:05:03.080 It was after I invented the cool ranch Doritos. 0:05:03.160 --> 0:05:04.120 That was part of the success that. 0:05:05.600 --> 0:05:05.800 Yeah. 0:05:05.880 --> 0:05:06.800 Can you tell us about that? 0:05:06.880 --> 0:05:07.680 Yeah? I write about in. 0:05:07.680 --> 0:05:09.520 The book because you know, one of the learnings I 0:05:09.560 --> 0:05:13.720 have is that you can really, uh multiply your creativity 0:05:13.760 --> 0:05:16.120 and your innovation by being a pattern thinker. 0:05:16.600 --> 0:05:18.560 So we had nacho Cheese to. 0:05:18.560 --> 0:05:20.480 Ritos, which was really doing well, but it was starting 0:05:20.480 --> 0:05:22.159 to slow down a little bit. So we were looking 0:05:22.200 --> 0:05:24.000 for a new product idea for free to lay. 0:05:24.600 --> 0:05:26.560 So I said, team, let's go to the. 0:05:26.240 --> 0:05:28.600 Grocery store and see what's happening there. So we walked 0:05:28.640 --> 0:05:30.080 up and down each aisle and we got to the 0:05:30.160 --> 0:05:34.159 salad dressing aisle and we saw that ranch flavor salad 0:05:34.240 --> 0:05:37.400 dressings was the most popular new flavor that had been introduced. 0:05:37.760 --> 0:05:41.279 So I came back and I called Dennis Hurd, the 0:05:41.320 --> 0:05:43.440 head of R and D for Free to Lay, and 0:05:43.480 --> 0:05:45.080 I said, you think we could do a ranch flavored 0:05:45.080 --> 0:05:47.159 Dorito And he said absolutely. 0:05:46.600 --> 0:05:48.120 And I'll tell you when. 0:05:48.160 --> 0:05:51.080 I when those those cool ranch stritos came off the 0:05:51.160 --> 0:05:52.640 line and we had them, we knew we had a 0:05:52.640 --> 0:05:55.680 home run. Tasted great, and then we we learned from 0:05:55.880 --> 0:05:59.520 from nacho cheese doritos. Nacho cheese is you have a 0:05:59.560 --> 0:06:01.240 known quan of ea cheese and you want to put 0:06:01.279 --> 0:06:03.080 a unique image to it, which is not just. So 0:06:03.120 --> 0:06:05.400 he said, what can we call our ranch flavored to edo? 0:06:05.400 --> 0:06:07.599 And we call it cool ranch to Rito's and the 0:06:07.680 --> 0:06:09.080 rest is rest is history. 0:06:09.120 --> 0:06:12.680 I mean, now you've got, you know, taco shells made 0:06:12.680 --> 0:06:15.000 out of Dorito's. 0:06:14.360 --> 0:06:18.080 Dorito's and ranch flavored and you know, So that's again 0:06:18.720 --> 0:06:22.039 pattern thinking where you take two seemingly unrelated things and 0:06:22.080 --> 0:06:25.159 you bring them together and you come up with big ideas. 0:06:25.240 --> 0:06:28.719 You know, I always say most innovation is a derivative 0:06:28.760 --> 0:06:29.839 of something else that's. 0:06:29.720 --> 0:06:31.240 Going on somewhere in the world. 0:06:31.760 --> 0:06:34.720 And as a learner, you need to be curious enough 0:06:34.760 --> 0:06:36.880 to see what's going on out there, and then asking 0:06:36.920 --> 0:06:39.359 yourself a very simple question, you know, how could I 0:06:39.400 --> 0:06:42.920 apply this to my business? Or if you're learning from 0:06:42.960 --> 0:06:45.520 an individual, what is that individual doing that I could 0:06:45.520 --> 0:06:48.760 do to propel my career or make me better, make 0:06:48.800 --> 0:06:50.240 me stronger at what I do. 0:06:50.760 --> 0:06:53.880 So at what point in your career did you come 0:06:53.920 --> 0:06:56.000 to this idea that you talk about in the book 0:06:56.160 --> 0:06:59.000 Active Learning? Was there a particular moment that you remember 0:06:59.080 --> 0:07:00.000 it kind of struck you? 0:07:00.240 --> 0:07:02.839 Well, you know what happened to me was when I 0:07:02.880 --> 0:07:05.360 started loving what I did, I wanted to learn everything 0:07:05.360 --> 0:07:07.920 I could about it. And then when I was, you know, 0:07:08.000 --> 0:07:10.640 at Young Brands as a CEO, I was always interviewing 0:07:10.680 --> 0:07:13.560 people and it really hit me that the avid learner 0:07:14.160 --> 0:07:16.600 is really what you want because they love what they 0:07:16.640 --> 0:07:18.640 do and they're trying to get better. And then when 0:07:18.640 --> 0:07:20.520 I was writing this book, I started out with the 0:07:20.560 --> 0:07:22.800 thought of being an avid learner, and I said, no, 0:07:22.880 --> 0:07:25.920 it's more than that. Because you can be a learner 0:07:25.920 --> 0:07:28.240 and be BookSmart, but if you don't put it into use, 0:07:28.280 --> 0:07:31.320 if you don't make it active, you're not really applying 0:07:31.360 --> 0:07:34.160 it like you should. So I said, what we're really 0:07:34.200 --> 0:07:37.000 talking about here is teaching people how to be active 0:07:37.080 --> 0:07:40.800 learners in their life and in their business. So it 0:07:40.840 --> 0:07:42.840 was sort of a progression, Emily. 0:07:45.040 --> 0:07:47.400 Despite the fact that you are no longer CEO and 0:07:47.480 --> 0:07:50.120 chairman of Young Brands, you've still been actively learning and 0:07:50.160 --> 0:07:52.040 you have a podcast I should note that has had 0:07:52.080 --> 0:07:54.960 millions of downloads How Leaders Lead. Some of the folks 0:07:54.960 --> 0:07:58.280 on the podcast are featured in the book and vice versa. 0:07:58.440 --> 0:08:00.800 You have some incredible names featured in the Tom Brady, 0:08:01.040 --> 0:08:04.720 Eric Church, Jamie Diamond, Andrew Nui. Talk a little bit 0:08:04.760 --> 0:08:06.800 about who you wanted to feature in the book and 0:08:06.960 --> 0:08:09.840 really the message and how their message sort of ties together. 0:08:10.120 --> 0:08:12.600 Well, I've done about one hundred and eighty podcasts so far, 0:08:12.920 --> 0:08:16.880 and I just really was looking for stories that would amplify, 0:08:17.400 --> 0:08:19.480 you know, the points that I wanted to make about, 0:08:19.600 --> 0:08:22.040 you know, how to be an active learner, like how 0:08:22.080 --> 0:08:27.160 to prepare you know, Yamini Rangon, she's the CEO of HubSpot. 0:08:27.320 --> 0:08:29.000 I got to tell you she was so prepared for 0:08:29.120 --> 0:08:31.440 my podcast that she made me want to do a 0:08:31.440 --> 0:08:34.480 good job for her, you know. And but that preparation 0:08:34.720 --> 0:08:38.199 is so important, and all the great leaders really have preparation, 0:08:38.880 --> 0:08:40.960 you know. So it's I just kind of picked the 0:08:41.040 --> 0:08:44.440 leader and the story that would amplify the points that 0:08:44.440 --> 0:08:45.040 I wanted to make. 0:08:45.160 --> 0:08:47.240 Yeah, talk about that from the Tom Brady perspective, because 0:08:47.240 --> 0:08:48.960 people might look at Tom Brady and say, this guy, 0:08:49.520 --> 0:08:51.720 you know what, during his career was good enough at football, 0:08:52.080 --> 0:08:56.400 but he's still his routine. The prep that he did 0:08:56.679 --> 0:08:58.160 was just remarkable. 0:08:57.960 --> 0:08:58.640 Absolutely, you know. 0:08:58.640 --> 0:09:01.000 And I think people ask me a lot of times 0:09:01.000 --> 0:09:02.880 who's the most impressive leader I've ever met. I think 0:09:02.920 --> 0:09:05.520 it is Tom Brady really, because he knows his trade, 0:09:05.880 --> 0:09:09.320 he knows how to inspire his teammates, he knows how 0:09:09.360 --> 0:09:11.920 to raise the bar, he knows how people are different. 0:09:12.280 --> 0:09:16.840 He treated Gronk different than Walker Welker. You know, he 0:09:16.960 --> 0:09:20.080 just understood, you know, how to pull all the levers, 0:09:20.080 --> 0:09:22.560 and he was active is an active learner right now. 0:09:22.600 --> 0:09:25.800 I know he's getting ready for the broadcast booth, and 0:09:25.960 --> 0:09:27.520 I guarantee you he's going to want to be the 0:09:27.559 --> 0:09:32.040 best color commentator for Fox that he can possibly possibly 0:09:32.080 --> 0:09:34.120 be because that's who he is. But I know he's 0:09:34.120 --> 0:09:36.559 spending time with Nance, I know he's learning a lot 0:09:36.559 --> 0:09:39.360 from other people, and you know that's what he's that's 0:09:39.360 --> 0:09:42.080 what he's into. And like he went to Tom House right 0:09:42.200 --> 0:09:45.640 to learn how to throw the football and throw it better. Now, 0:09:45.640 --> 0:09:48.080 he could have gone to Tom House and learn and 0:09:48.160 --> 0:09:50.000 go back and do the same old thing, and he's doing. No. 0:09:50.120 --> 0:09:52.960 He turned it into action and improved his footwork and 0:09:53.000 --> 0:09:55.199 he thinks that's how his career was extended. 0:09:55.360 --> 0:09:57.520 I want to get right back to David Novak. He's 0:09:57.520 --> 0:09:59.920 the co founder and former CEO and chairman of Young Brands. 0:10:00.040 --> 0:10:02.160 He's here with us in the Bloomberg Interactive Brokers studio. 0:10:02.200 --> 0:10:04.200 He's got a brand new book out. It's called How 0:10:04.280 --> 0:10:09.040 Leaders Learn Master the Habits of the World's Most Successful People. David, 0:10:09.080 --> 0:10:11.199 I want to go back to a question that Emily 0:10:11.240 --> 0:10:15.000 asked a little earlier and sort of ask it in 0:10:15.040 --> 0:10:17.600 a different way and just kind of like here, No, 0:10:17.640 --> 0:10:22.720 it was a really good question, but it's just like 0:10:23.720 --> 0:10:25.840 I want to know when you realize, like when you 0:10:25.920 --> 0:10:28.880 realized at the when that you were an active learner like, 0:10:29.040 --> 0:10:31.520 was it when you sat down to write this book, 0:10:31.960 --> 0:10:34.200 or was it at some point in your career you 0:10:34.280 --> 0:10:38.080 realized that the reason I'm moving faster in the corporate 0:10:38.080 --> 0:10:40.800 world than my peers is because I'm doing this. Did 0:10:40.840 --> 0:10:42.520 you realize it at the time or did you only 0:10:42.559 --> 0:10:44.400 know it when you sat down to think about your career. 0:10:46.120 --> 0:10:50.079 I think I've realized it over time. I don't know 0:10:50.160 --> 0:10:53.440 if there's exact epiphany point. But the one thing that 0:10:53.520 --> 0:10:56.880 I've always done a lot of. 0:10:56.920 --> 0:11:00.200 Is self reflection and self awareness. So I started that 0:11:00.440 --> 0:11:02.880 very early on in my career and. 0:11:02.840 --> 0:11:05.559 Would always like, if I was working in one job, 0:11:05.920 --> 0:11:08.280 I'd look at my boss and I'd figure out, what 0:11:08.320 --> 0:11:10.440 does that person have that I don't have? How do 0:11:10.520 --> 0:11:13.160 I get that skill so I could move up? And 0:11:13.200 --> 0:11:17.280 I constantly tried to get better and better. And I 0:11:17.280 --> 0:11:19.360 always told people, I'm not going to tell you I'm 0:11:19.360 --> 0:11:20.920 the smartest guy in the room, but I don't think 0:11:20.920 --> 0:11:24.040 there are too many people that are better at learning 0:11:24.200 --> 0:11:25.880 and collaborating than I am. 0:11:26.520 --> 0:11:28.880 That's exactly why I wanted to ask this was because 0:11:29.440 --> 0:11:33.120 I don't think a lot of people make time for 0:11:33.160 --> 0:11:36.640 self reflection for their career as much as they should, 0:11:37.080 --> 0:11:42.120 and I'm wondering how you can work that into your 0:11:42.200 --> 0:11:44.360 day to day at your job, Like what tips do 0:11:44.360 --> 0:11:46.400 you have for folks who are listening right now who 0:11:46.480 --> 0:11:48.320 might say themselves, you know what I do? Go to 0:11:48.360 --> 0:11:50.120 work every day and I think a lot about my job, 0:11:50.120 --> 0:11:51.800 but I don't like take a step back and kind 0:11:51.840 --> 0:11:55.840 of look at the thirty thousand foot view of my career. 0:11:56.000 --> 0:11:58.240 Well, I think that's a great point toom because I 0:11:58.240 --> 0:12:00.400 think if it's important, you got to put pross some 0:12:00.480 --> 0:12:04.320 discipline around it to really make sure that happens. I 0:12:04.360 --> 0:12:07.120 think it starts out with an annual assessment that you 0:12:07.240 --> 0:12:09.960 make of yourself. And I always did what I called 0:12:09.960 --> 0:12:12.240 the three by five card exercise with the four x 0:12:12.360 --> 0:12:15.000 six it really doesn't matter, but on one half of 0:12:15.040 --> 0:12:17.199 the card, I write down this is what I am today, 0:12:17.240 --> 0:12:20.000 basis everything I know. And then on the other half 0:12:20.040 --> 0:12:21.800 I write down, this is what I need to be 0:12:21.880 --> 0:12:25.920 tomorrow to be even more effective. And that was where 0:12:25.960 --> 0:12:28.760 I would start on the self reflection. And then what 0:12:28.840 --> 0:12:30.840 I would do is I would send out my three 0:12:30.960 --> 0:12:33.520 x five card to the top fifty leaders and they 0:12:33.520 --> 0:12:36.040 would send me theirs, and then we would talk about 0:12:36.080 --> 0:12:38.720 how we were doing on that throughout the year in 0:12:38.720 --> 0:12:44.160 addition to going through our objectives, and then how do 0:12:44.200 --> 0:12:45.640 you build it into your day to day. 0:12:45.840 --> 0:12:49.680 Well, I always started out the night before. 0:12:50.320 --> 0:12:52.360 I would always think about what I needed to get 0:12:52.400 --> 0:12:55.199 done the next day, and then I would think about 0:12:55.320 --> 0:12:58.440 who I had to influence, what the issues were going 0:12:58.520 --> 0:13:01.880 to be, and I get myself paired to leverage whatever 0:13:01.960 --> 0:13:04.960 skills I need to have to make a successful meeting. 0:13:05.400 --> 0:13:07.960 Then in the morning, I wake up and I would 0:13:08.000 --> 0:13:12.120 always work out to get my physical being moving, and 0:13:12.160 --> 0:13:16.599 then also taking time to have personal reflection and I 0:13:16.640 --> 0:13:18.840 would write down I write down three gratitudes because I 0:13:18.840 --> 0:13:20.680 think one of the best things you can do as 0:13:20.679 --> 0:13:23.600 a leader is go in to work with your mood 0:13:23.640 --> 0:13:27.760 elevator high. You know that you make your best decisions 0:13:27.760 --> 0:13:30.880 when you're grateful and you're in that state of gratitude. 0:13:31.320 --> 0:13:35.360 You make your worst decisions when you're angry, revengeful, down 0:13:35.360 --> 0:13:37.400 at the very bottom of the elevator. So I always 0:13:37.440 --> 0:13:39.640 try to move myself up to at least six or 0:13:39.679 --> 0:13:42.439 seven in the mood elevator, which is curious and interested 0:13:42.960 --> 0:13:47.199 because I really believe that you have to bring your 0:13:47.640 --> 0:13:51.079 positive energy to work. People got to be looking at 0:13:51.080 --> 0:13:54.160 you and saying, okay, thanks are good. You know, if 0:13:54.200 --> 0:13:56.559 you're walking around like e or and you're the head 0:13:56.559 --> 0:13:58.080 of the company, that's a bad thing. 0:13:58.440 --> 0:14:02.360 I saw something on Twitter that was about reframing the 0:14:02.640 --> 0:14:04.560 things that you tell yourself when you're going into work, 0:14:04.640 --> 0:14:07.560 So saying I get to go to work today instead 0:14:07.559 --> 0:14:08.200 of saying I. 0:14:08.240 --> 0:14:08.839 Have to go. 0:14:09.320 --> 0:14:12.320 Just these little simple changes have they've helped me? I mean, 0:14:12.360 --> 0:14:14.839 I love getting to We. 0:14:14.800 --> 0:14:17.200 Write about in the book we talk about just adding 0:14:17.240 --> 0:14:21.080 one little word yet you know I haven't done it 0:14:21.240 --> 0:14:24.040 yet exactly, just to add that, just reframe it a 0:14:24.080 --> 0:14:27.640 little bit, and you know, flip the script. Somebody's you know, 0:14:27.800 --> 0:14:30.600 telling you you can't do something, you know, asking well, 0:14:30.640 --> 0:14:31.440 how would. 0:14:31.160 --> 0:14:32.000 You do it right? 0:14:32.800 --> 0:14:33.040 You know. 0:14:33.240 --> 0:14:36.000 One another kind of like cliche that you hear a 0:14:36.040 --> 0:14:39.440 lot is people say learn from your mistakes, learn from 0:14:39.640 --> 0:14:44.000 your failures. You had a failure that was made fun 0:14:44.040 --> 0:14:47.000 of on SNL. Can you tell us about, you know, 0:14:47.160 --> 0:14:50.000 how how that went down and how you act to actually. 0:14:49.680 --> 0:14:51.480 Learned from your failure? 0:14:51.600 --> 0:14:51.760 Right? 0:14:52.360 --> 0:14:54.720 What you're talking about is crystal pepsi. When I went 0:14:54.760 --> 0:14:58.640 to pepsi, the category was declining carbonate soft drinks needed 0:14:58.640 --> 0:15:01.480 a real boost. When I looked around on to find reality, 0:15:02.160 --> 0:15:06.200 looked at the market, I saw that the clear beverages 0:15:06.240 --> 0:15:09.720 were really doing well. Clearly Canadian water, anything it had 0:15:09.720 --> 0:15:12.920 any kind of healthy overtones or perception seemed to be working. 0:15:12.960 --> 0:15:15.400 So I was sitting in my office one day and 0:15:15.440 --> 0:15:18.160 I said, what if we came up with a clear cola? 0:15:18.880 --> 0:15:20.760 And you know, I thought it was a great idea. 0:15:20.840 --> 0:15:22.880 I called Roger and Rico. They had a Pepsi and 0:15:22.880 --> 0:15:23.520 I said, what do you think? 0:15:23.560 --> 0:15:25.200 He is great? You know, I think I could be good. 0:15:25.240 --> 0:15:26.840 You know, check it out with consumers. So I go 0:15:26.880 --> 0:15:28.200 to consumers. They love it. 0:15:28.560 --> 0:15:30.880 Now I think I've really got a great idea. I 0:15:30.960 --> 0:15:34.880 rush it into test market. He goes into Boulder, comes 0:15:34.880 --> 0:15:38.560 off the line. You know, Dan Rather, CBS News says, today, 0:15:38.800 --> 0:15:41.000 you know, Pepsi launched crystal Pepsi. 0:15:41.480 --> 0:15:42.760 You know, I think I'm a genius. 0:15:42.840 --> 0:15:46.680 Now I go to the Pepsicola bottlers and they say, David, 0:15:46.840 --> 0:15:48.600 this is a really good idea. There's only one problem 0:15:48.680 --> 0:15:51.160 with it, and what's that? And they said, doesn't taste 0:15:51.240 --> 0:15:53.720 enough like pepsi. And I said, well, we don't want 0:15:53.760 --> 0:15:56.280 it to taste like pepsi because it's a different kind 0:15:56.280 --> 0:15:58.480 of pepsi. And they said, well, doesn't have enough colon notes. 0:15:58.760 --> 0:16:00.680 Oh, yes it does. We don't want to have too. 0:16:00.560 --> 0:16:04.760 Many colonotes because we'll cannibalize based pepsi. So I totally 0:16:04.760 --> 0:16:08.280 dismissed what they had to say, and so I was 0:16:08.320 --> 0:16:11.240 a heat seeking missile got it on the Super Bowl. 0:16:11.440 --> 0:16:13.800 It was the only product in the history of Pepsicola 0:16:13.880 --> 0:16:17.080 Company that was premium priced as an introduction because the 0:16:17.080 --> 0:16:21.400 Pepsicola bottler said that it wasn't going to be around 0:16:21.440 --> 0:16:23.920 that long, you know, because they knew they could sell 0:16:23.960 --> 0:16:25.120 a lot of it, but then it. 0:16:25.040 --> 0:16:28.520 Wouldn't be a repeat and so we launched it. Guess 0:16:28.520 --> 0:16:29.200 what happens. 0:16:29.560 --> 0:16:33.200 You know, everybody buys it, but the repeats very low 0:16:33.240 --> 0:16:35.000 because it didn't taste enough like pepsi. 0:16:35.040 --> 0:16:35.560 They were right. 0:16:36.280 --> 0:16:39.640 And the learning that I had is that, you know, 0:16:40.520 --> 0:16:42.440 one thought I always had was some people say it 0:16:42.480 --> 0:16:44.240 can't be done every step of the way, and that 0:16:44.280 --> 0:16:45.680 means you, as the leader, you. 0:16:45.720 --> 0:16:46.720 Got to just step up. 0:16:46.760 --> 0:16:48.840 You got to get it done no matter what, because 0:16:48.880 --> 0:16:52.080 they don't get what you get. Well, the first thing 0:16:52.080 --> 0:16:54.360 you got to ask yourself is are they right or not, 0:16:55.040 --> 0:16:58.280 And I was such a heat seeking missile to get 0:16:58.320 --> 0:17:01.600 this into the marketplace. I didn't really I knew I 0:17:01.760 --> 0:17:03.800 was right and I didn't care what anybody else had 0:17:03.800 --> 0:17:04.159 to say. 0:17:04.240 --> 0:17:06.159 We have thirty seconds left. But talk about how you 0:17:06.240 --> 0:17:08.080 recovered from that and kept moving forward. 0:17:08.240 --> 0:17:12.200 Well, what I learned was You've always got to overcome 0:17:12.240 --> 0:17:15.600 the barriers and obstacles, and you know you need to 0:17:15.880 --> 0:17:17.840 get the input, and you need to be a much 0:17:17.880 --> 0:17:18.720 better listener. 0:17:19.000 --> 0:17:20.600 And I've never forgotten that lesson. 0:17:21.400 --> 0:17:23.880 David, thanks for joining us. Really appreciate it. 0:17:23.920 --> 0:17:24.280 Thank you. 0:17:24.480 --> 0:17:26.960 David Novak is the co founder and former CEO and 0:17:27.040 --> 0:17:30.480 chairman of Young Brands. His new book it's out now. 0:17:30.520 --> 0:17:33.320 It's called How Leaders Learn Master The Habits of the 0:17:33.320 --> 0:17:38.200 World's Most Successful People. Got some great interviews in the book, 0:17:38.200 --> 0:17:42.440 including Condolly's of Rice, Tom Brady, Eric Church, Jamie Diamond, 0:17:42.520 --> 0:17:46.160 among many many others. He's also got a podcast out 0:17:46.520 --> 0:17:48.479 with a lot of the folks who I just mentioned 0:17:48.520 --> 0:17:52.400 and more executives who see's interviewed. It's called How Leaders Lead, 0:17:52.760 --> 0:17:56.000 and he also includes stories from his own life too. Again, 0:17:56.040 --> 0:17:58.760 the new book, How Leaders Learned Master the Habits of 0:17:58.800 --> 0:18:02.480 the World's most successful people, Well Emily. Twenty five years ago, 0:18:03.040 --> 0:18:06.879 the singer, songwriter, dancer, superstar Usher Raymond Fourth, known to 0:18:06.920 --> 0:18:10.560 all of us simply as Usher, Usher start an organization 0:18:10.640 --> 0:18:13.480 two in its own words, transform the lives of under 0:18:13.520 --> 0:18:18.000 resourced youth through a comprehensive program which develops passion driven 0:18:18.080 --> 0:18:22.119 global leaders. Since then, the now nonprofit has worked with 0:18:22.160 --> 0:18:25.359 more than fifty thousand young people Here in the US, 0:18:25.840 --> 0:18:28.919 We've got with us Kresha Moore, President and CEO of 0:18:29.040 --> 0:18:32.720 Usher's New Look, also known as the unl Foundation. Krisha 0:18:32.760 --> 0:18:36.200 joins us here in the Bloomberg Interactive Brokers Studio. Welcome, 0:18:36.560 --> 0:18:37.560 Thank you, Tim and Emily. 0:18:37.680 --> 0:18:39.600 Nice to see you and be able to share a 0:18:39.600 --> 0:18:40.840 little bit more about you and l. 0:18:40.840 --> 0:18:42.560 Well, and welcome to New York because I believe based 0:18:42.600 --> 0:18:43.160