The concept is not new. The results are. How a true, tried and tested way to lead is still proving to be one of the most effective management styles. Yet adoption is still in its infancy

1. Open book management
Guide to powerful cultural change
delivering rapid financial
improvements
By Mick Holly and Andre Gien
www.finacialstatementstory.com

2. What is Open Book Management (OBM)
 It’s a culture, its what leaders want and are passionate about
 It’s a way for people to know and understand how they, and the
business is performing
 Its about empowering people to think and act as business
owners
 MOST IMPORTANTLY ITS ABOUT TRUST

3. The fundamentals to effective open book
management
 Mutual respect and trust
 Sound compensation system based on performance
and feedback
 A culture that encourages learning and growth

4. Other great benefits
 Create a culture of discovery
 Driving real problem not symptoms
 Enable people to focus on measureable activities
 That improve financial performance

5. How do I get there
 The secret is to start slow
 Then keep at it knowing it’s a slow process
 Start with the basic concepts
 Develop diagnostic skills
 Scale the learning
 Observe the “new behavior”
 Keep the process sustainable

6. What does open book management deliver
The ultimate benefit is feeling of OWNERSHIP
Ownership is the most powerful form of engagement

7. The Basic concepts
yes it is about how we make money and create wealth
How we make money is a good start
Then how do we keep our money
When we keep our money what do we do with it

8. Using stories
Stories are a powerful way to engage and
get people connected with the mission
The treasure map is a vehicle to tell all
kind of stories that help the open book
management process

9. Let the characters tell the story
Revenue is Vanity Profit is Sanity Cash is King
Learn what happens when the characters work
together and what happens when they don’t
Vanity is responsible
for revenues and
growing sales
Sanity maintains the focus
on cost helping to achieve
good growth
The King need no introduction
he is all about cash and
keeping it in his coffers

10. The treasure map
 Used to integrate
 The way we make money
 With the way we create wealth
 Into the 5 chapters of the financial statement story
 Removes distraction placing financial performance on the center
stage
 Its interactive
 Its engaging
 Creating simultaneous learning and discovery
 Driving meaningful actions and accountability

11. Now
Future
Revenue
Profit growth
5% EBIT
growth
$15,727
Gross
profit 24%
$20,000
26%
Benefit
Treasure
Money making machine Wealth creation engine
Total
Investment
Now
Future
Now
Future
$10,400 $15,000
Treasure and Future map
Growth %
Profitability %
Working
capital
Cash required
Returns
Self funded
???
-1.85% 5%
13.8% <15%
10C 34C
$10B
16% <22%
Division targeted
growth
New markets
Change
working capital
to be competitive
weapon
Significant culture
change
We have to do
this within a
10% operating
cost
EPS growth 25%
The Story

12. Make the story interactive

13. Observe behavior changes
Before After

14. Let us help you on your open book
journey
We deliver an open book methodology
that can be replicated by you.
Lets chat when you have some time
andregien@financialstatementstory.com
mickholly@financialstatementstory.com

15. Andre Gien
Andre is our Evidence Wizard. He combines the Passion of intuition with the Power of
Evidence to weave amazing stories that reveal the secrets and treasures that are locked
within financial statements.
He has deployed the financial statement story discipline in over 150 different companies
releasing more than $500million in value and more importantly, demystifying the financial
statements for thousands of people.
Andre's favorite quote:
"If you change the way you look at things, the things you look at change"
andregien@financialstatementstory.com
Mick Holly
Mick is Chief Treasure Hunter. Over the last 30 years Mick has consulted with the world’s
leading companies to identify and implement performance improvements. He has
discovered that behind every person and company is a story. Sometimes it’s a rocking
adventure, sometimes a comedy, a mystery, a drama and on occasion, a tragedy. Going
beyond mundane numbers and engaging in the story is the key to helping companies and
individuals build corporate and personal wealth.
mickholly@financialstatementstory.com
Facilitators