Episode 852 - The Man Who Reimagined Las Vegas: Leadership Lessons from Steve Wynn

0:04 Helping leaders motivate their people to a higher level of performance through strong human relations, team building, and goal achieving. This is the 7-Minute Leadership Podcast with your host, Paul Falavolito. Hello, everyone, and welcome to the 7-Minute Leadership Podcast. It's episode 852. Imagine walking into Las Vegas in the early 1970s. The casinos are smoky, the hotels are aging, and the entire city has built its reputation around one thing, gambling. Now, imagine a young businessman looking at the same city and seeing something completely different. He sees luxury resorts, world-class entertainment, beautiful architecture, incredible restaurants, and an opportunity to turn an ordinary hotel stay into an unforgettable experience. is Steve Wynn.

1:05 And whether you've stayed at the Bellagio, walked through the Mirage, or visited Wynn Las Vegas, you've experienced a piece of the business philosophy that helped transform the Las Vegas hospitality industry. Today we're talking about vision, taking control of your business, creating an experience people remember, and a fascinating marketing idea called Tayo. And there's another important lesson in this story about accountability that every leader needs to hear. So let's get into it. Lesson number one, see what everyone else is missing. When Steve Wynn arrived in Las Vegas, he eventually became involved with the Golden Nugget. He took control of the business in 1973. And at the time, the Golden Nugget was an established downtown casino. Wynn saw opportunities

2:02 to improve its performance, expand the property, and attract a different type of customer. He invested in the business and helped transform its financial performance, and then he started thinking bigger. In 1989, Wynn opened The Mirage, a resort that helped redefine what a Las Vegas vacation could look like. Think about this. A massive tropical resort in the middle of the Nevada desert. An erupting volcano out front. Incredible entertainment, beautiful surroundings. An entire experience designed to capture people's attention.

2:44 Wynn understood something that every leader should understand. People remember experiences. And when you create an experience worth remembering, people talk about it. So here's your leadership lesson. Look at your organization today and ask yourself one question. What are we doing simply because that's how our industry has always done it?

3:09 Maybe you're running a hotel and your check-in process hasn't changed in 20 years. Maybe you're running an ambulance service and your onboarding process consists of handing a new employee a stack of paperwork. Maybe you're running a corporate office where your employees spend more time attending meetings than actually accomplishing anything meaningful. Somewhere inside your organization is an opportunity to rethink the experience. Make sure you find it. Lesson number two, toot your own horn. And this is one of my favorite business stories associated with Steve Wynn. It's a story about advertising, saving money, and taking control of how your company tells its story. And as the story goes, back in the day, Wynn wasn't particularly interested in paying

4:04 outside marketing agencies their 6% commission. So he reportedly came up with a different idea. Create your own advertising agency and give it a name that nobody would ever forget. TIO, which stands for Toot Your Own Horn. And I absolutely love that name. Think about the philosophy behind it for a second. Why should another company have complete control over telling your story when you understand your business better than anybody?

4:39 Wynn's documented business strategy placed considerable importance on marketing, brand recognition, and creating memorable guest experiences. And the Tayo story illustrates a business principle that still remains relevant today. Every organization needs to understand how to tell its own story. Think about the number of businesses that accomplish incredible things every single day, and yet nobody outside their organization knows about them.

5:11 Their employees do extraordinary work, their customers have amazing experiences, their team solves difficult problems, and nobody talks about it. So here's something I want you to consider. Your organization should be its own biggest advocate. Start documenting your success stories. Show people what your employees accomplish. Share the incredible experiences your customers have. And when your organization accomplishes something meaningful, tell people about it. That's how you build awareness and create opportunities for your business. And there is another important point here. You don't necessarily need to create your own advertising agency. You need to understand the value of controlling your message. Your reputation is being built every single day.

6:06 Make sure your organization is actively participating in that process. Lesson number three. Your employees are the experience. Now, let's talk about something that I find particularly interesting about Wynn's approach to hospitality. You can build the most beautiful hotel in the world. You can install million-dollar chandeliers and create incredible attractions. And eventually, somebody has to check the guest into their room. Somebody has to serve dinner. Somebody has to clean that room and make sure everything works. And that's where leadership becomes incredibly important. When the Mirage opened, the organization had to hire and train thousands of employees.

6:56 Wynn assembled an experienced management team and placed considerable emphasis on service. The goal was to create an experience that would bring guests back. And here's where I want you to pay attention. Your employees are delivering the promises your marketing department makes. Think about that for a second. Your marketing department can spend millions convincing customers that your organization is incredible. And one poorly trained employee can completely change that customer's perception. If you're promising exceptional service, your employees need the training and resources to deliver it. If you're promising professionalism, your supervisors need to demonstrate it. And if you're promising excellence, your organizational standards need to support that promise.

7:54 Every interaction matters. This is especially important for leaders working in hospitality, healthcare, public safety, and other service industries. And lesson number four, surround yourself with people who make your vision possible. One of the interesting things about Wynn's career is his relationship with designer Roger Thomas. Thomas helped design the interiors of Wynn's major resorts, including the Mirage, Bellagio, and Wynn Las Vegas. Wynn had a vision for what he wanted to create. Thomas had the design experience to help bring that vision to life. Their working relationship lasted for decades. And there's an important leadership lesson here. You can have an extraordinary idea and still need extraordinary people

8:53 to execute it. Your responsibility as a leader includes recognizing talent and giving people meaningful opportunities to contribute. Think about the people working inside your organization right now. Are you taking advantage of their experience? Are you asking for their ideas? Are you giving them opportunities to improve the organization? Somewhere on your team, there's probably somebody who has an incredible idea that you've never heard, so make time to hear it.

9:27 Lesson number five, your personal conduct is part of your leadership legacy. There's another part of Steve Wynn's story that deserves our attention. In 2018, Wynn resigned as chairman and CEO of Wynn Resorts following allegations of sexual misconduct involving employees. Wynn denied the allegations. The Nevada gaming regulators subsequently investigated the company's handling of complaints and Wynn Resorts received a $ 20 million fine in 2019. The company acknowledged serious failures by former executives to investigate certain allegations, and this brings us to a very important leadership lesson. Your organization needs accountability at every level, including the executive office. Employees must

10:25 have a safe way to report concerns. Those concerns need to be investigated appropriately, and the standards you established must apply to the people responsible for enforcing them. Your business accomplishments become part of your legacy, too. Your treatment of people becomes part of that legacy, too. As leaders, we are responsible for protecting the people who trust us with their careers. That's a responsibility worth remembering. So here's what I want you to take away from today's episode. Look for opportunities that other people are overlooking. Make your organization's story worth telling. And invest in the employees responsible for delivering your promises. And remember that your personal conduct matters

11:24 every single day. Take a moment today and ask yourself this question. What could my organization become if I challenged one outdated assumption? You might discover an opportunity that's been sitting right in front of you. This has been the 7-Minute Leadership Podcast, and I thank you for listening. For more Paul Falavelito podcasts, visit paulfalavelito.com.