Human Resource Management PDF

HUMAN RESOURCE
MANAGEMENT
Student Workbook
Contents
Agenda Day One
Session 1: Introduction and Overview....................................................................................... 4
Course Overview..................................................................................................................................... 4
This agenda will, of course, vary in accordance with special programs for individual classes
as well as days and time........................................................................................................................ 4
Learning Objectives............................................................................................................................... 4
Introduction to SG course site and log-in (optional).................................................................. 7
Session 2: HRM in a Strategic Perspective................................................................................ 24
1. What is Strategy?................................................................................................................................. 24
Session 3: The Strategic Basics....................................................................................................... 41
Mission Statement.................................................................................................................................. 41
Vision Statement..................................................................................................................................... 41
Values.......................................................................................................................................................... 41
Business Strategies:................................................................................................................................ 46
Session 4: From Personnel Management to Human Resource Management (HRM)
61
Session 5: Strategic Leadership Theories – introduction.................................................. 77
Service Management (1)....................................................................................................................... 77
Management by Objectives (1).......................................................................................................... 77
Value based Management (1)............................................................................................................. 84
Quality Management (1) and Total Quality Management (2)................................................. 92
Total Quality Management.................................................................................................................. 105
Business Excellence Model (2)............................................................................................................ 109
Balance Scorecard (1)............................................................................................................................. 92
Lean and Kaizen (2)................................................................................................................................. 105
Learning Organization (2).................................................................................................................... 109
Agenda Day Two.........................................................................................................................74

Session 1: Opening of Day Two.................................................................................................74
Session 2: Management theories (continued)...................................................................74
Session 3: Corporate Culture......................................................................................................83
1. Hofstede’s Power Structures in Society. ................................................................................84
2. Cultural Impact...............................................................................................................................88
3. Three Levels of Culture................................................................................................................90
4. Corporate Culture and Change Management....................................................................94
Session 4: Personnel Policy.........................................................................................................97
A case:.....................................................................................................................................................97
Purpose of having Personnel Policies:........................................................................................98
Who are the stakeholders?.............................................................................................................99
Who defines the Personnel Policies?...........................................................................................99
Personnel Policy Contents..............................................................................................................99
Staff Policy – Disease Policy – an Example............................................................................. 100
Staff Policies - Typical Items ........................................................................................................ 101
Staff Policies - Form........................................................................................................................ 101
Criteria for Success:......................................................................................................................... 101
Personnel Policy Implementation:............................................................................................ 102
Agenda - Day Three................................................................................................. 104

Session 1: Opening of Day Three........................................................................................... 104
Session 2: Workforce Planning............................................................................................... 104
Workforce Planning – Composition of Staff.......................................................................... 105
Staff Structure................................................................................................................................... 108
Staff Projections............................................................................................................................... 111
Employees Plan................................................................................................................................ 113
Individual Plans................................................................................................................................ 113
Workforce Planning: Adds-on..................................................................................................... 114
Session 3: Attracting Employees........................................................................................... 115
Session 4: Recruitment Process ........................................................................................... 119
Session 5: Recruitment: Job Analysis, Job Profile, Employee Profile...............122
Job Analysis....................................................................................................................................... 122
Agenda – Day Four................................................................................................... 129

Session 1: Opening of Day Four............................................................................................. 129
Session 2: Recruitments: Job Analysis, Job Profile, Employee Profile (continued) 129
Session 3: Recruitments: Job Advertisements................................................................ 130
Session 4: Recruitments: Preparing Job Interview....................................................... 133
Session 5: Recruitments - Interview Techniques........................................................... 140
Basic Interview Techniques.......................................................................................................... 140
Questioning technique................................................................................................................. 141
Agenda Day Five.......................................................................................................... 145
Session 1: Opening of Day Five.............................................................................................. 145
Session 2: Development of Employees - The Concept of Competency............... 146
What is Strategic Competency Development?..................................................................... 146
Competencies / Skills / Qualifications ?................................................................................... 147
Session 3: Development of Employees – Learning Objectives: (17).................... 151
Blooms taxonomies:....................................................................................................................... 152
Session 4: Development of Employees – Learning Concept.................................... 159
Early Cognitive Theories............................................................................................................... 159
The Basics of Behaviourism:........................................................................................................ 161
Constructivism................................................................................................................................. 163
Late Cognitive Theory.................................................................................................................... 163
Activity Theory................................................................................................................................. 166
Action Learning................................................................................................................................ 167
Sum up on the Instructivist Approach:.................................................................................... 170
Sum up on the Constructivist Approach:............................................................................... 171
Session 5: Development of Employees ............................................................................. 172
What is gap analysis?..................................................................................................................... 172
Competence Requirements......................................................................................................... 174
Session 6: Management Styles............................................................................................... 176
Theory X and Theory Y ................................................................................................................. 176
Ichak Adizes....................................................................................................................................... 177
Agenda Day Six............................................................................................................. 180

Session 1: Opening of Day 6.................................................................................................... 180
Session 2: Situational Leadership......................................................................................... 180
Session 3: How to Retain People........................................................................................... 189
Reward Systems............................................................................................................................... 189
Motivation.......................................................................................................................................... 193
Why should people stay?.............................................................................................................. 203
Session 4: Redundancy, Retirements, and Resignations........................................... 208
Agenda Day Seven................................................................................................... 212

Session 1: Opening of Day 7.................................................................................................... 213
Session 2: Types of Conversation ......................................................................................... 213
Session 3: Communicative Tools - Transactional Analysis........................................ 215
Background Information on Transactional Analysis........................................................... 220
Philosophy of Transactional Analysis....................................................................................... 220
The concept of Assertiveness..................................................................................................... 226
Session 5: Communicative Tools - Active Listening...................................................... 239
Session 6: Communicative Tools - Feedback................................................................... 239
To Give Feedback............................................................................................................................. 242
Agenda Day eight...................................................................................................... 244

Session 1: Day Eight..................................................................................................................... 244
Session 2: Communicative Tools - Questioning Techniques.................................... 244
Basic Interviewing Techniques (Coaching Techniques)..................................................... 244
Cleaving – Open Questions ........................................................................................................ 246
Session 3: Conflict Resolution................................................................................................. 247
Session 4: Role Plays.................................................................................................................... 254
AGENDA DAY 1
Human Resource Management 1
Agenda day
Agenda Day One
Time Contents
Session 1:
Introduction and overview

09.00-10.00 • Introduction of trainer
• Introduction of participants
• Course overview
• What is the Human Resource Management about?
Session 2:
10.00-11.00 HRM in a strategic perspective:

• What is strategy?
• What is a good strategist?
Session 3:
11.00-12.00 The strategic basics:

• Mission, Vision, and values statements
Lunch Break
12.00-13.00
Session 3 (continued)
13.00-14.45
Session 4:
14.45-15.45
From Staff Administration to Human Resource Management (HRM)
Session 5:
15.45-16.00
Strategic Leadership theories – Brief introduction
Session 6:
Workshop Wrap-Up
8
Human Resource Management Agenda day 1
Session 1: Introduction and Overview
Course Overview
Overall agenda for the 9 days:
This agenda will, of course, vary in accordance with special programs for individual classes as well
as days and time.
Basic textbook for this Human Resource Course:
Henrik Stordal & Arne Steen Sørensen, Human Resources – For further
Day Date Time Topic
Introduction
Sat 09.00-17.00
HRM from a Strategic Point of View
HRM from a strategic Point of View
Sun 08.00-17.00 Organizational Culture
Staff Politics
Workforce Planning
Sat 08.00-17.00
Recruitment
Workforce Planning
Sun 08.00-17.00
Recruitment
Development of Employees
Sat 08.00-17.00
How to Retain People
How to Retain People

Sun 08.00-17.00
Dismissals and Resignations
Communicative Tools
Sat 08.00-17.00
Handling Conflicts
Communicative Tools
Sun 08.00-17.00
Handling Conflicts
Sat 08.00-17.00 Pulling it all together
Mon Deadline for Project Report
Sat Final test
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Learning Objectives
Upon completion of this course the student is expected to be able to perform Human Resource
functions at all levels of an enterprise in order to
• attract and recruit employees
• maintain and retain employees
• develop employees
• phase out employees (dismissals and retirements)
Furthermore the student has achieved a basic knowledge of how to handle Human Resources from
a strategic point of view.
Introduction to SG course site and log-in (optional)
SkillsGroup Course site:
http://training.skillsgroup.com
You will receive a log-in code from your teacher.
Creating Google Document

To create a shared document, use the following procedure:
1. You need the email addresses of people you want to share the document with.
2. Create a Google doc: https://www.google.com/accounts/ServiceLogin?service=writely&passiv

e=true&nui=1&continue=http% 3A% 2F% 2Fdocs.google.com% 2F & follow-up = http% 3A%
2F% 2Fdocs.google . com% 2F & ltmpl = homepage & rm = false
3. Open a Google Account if you do not have a one already.
4. Share the document with 2-3 fellow participants
5. Make a joint name and address list.
6.
Installation and use of Skype (optional)
For those not already having a Skype address, ask them to follow this procedure:
10
1. Select your Skype address (no space between words – i.e. ernesthemmingway)
2. Download Skype: http://www.skype.com/intl/en/
3. Follow the instructions for downloading and installation
4. Add Skype addresses from the Google doc to your Skype account
3. Test the chat and voice chat with one or more of the participants.
1. Use of Course Site
Assignment: Murder at the Black Horse
When he was found dead, Mister A had a large fracture and was bleeding from the side of his head
1.
and from deep wounds in his throat and neck.
2. Mister C attacked mister A around 22:10 at the parking lot at the inn named ”The Black Horse”
A man who was getting off bus number 38 outside ”The Black Horse” saw Mister A with his face
3.
covered in blood.
4. A broken bottle covered in blood was found at the parking lot outside ”The Black Horse”
5. Mister A’s body was found 23:15.

When the man got off the bus, he saw Mister A sitting on the wall at the parking lot, holding his
6.
head.
7. A large wrench with Mister A’s blood on was found in a garbage bin near ”The Black Horse”.
8. Mister C saw Mister A in the bar and started threatening him.
9. Mister A had an affair with Mister C’s wife.
10. The bartender saw Mister B leave the bar 22.10.
11. At 22.00, mister C entered the bar and ordered a beer.
12. Mister B’s fingerprints were found on the wrench.
13. Mister C and Mister A left the bar at 22:05 while quarrelling.
14. The bartender said that mister A and mister B were regulars at ”The Black Horse”.
15. Mister B had been sitting alone at ”The Black Horse” drinking.
16. Mister A’s body was found in the alley behind ”The Black Horse”.
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17. Mister C’s fingerprints were found on the broken bottle.
18. Mister A had been dead an hour, according to the medical staff working at the police.
A regular on his way to ”The Black Horse” had seen mister B open the boot of his car at the parking lot
19.
just after 22.10.
20. The bar maid found mister A very attractive.
21. Blood from mister A was found at the parking lot and in the alley.
22. Mister C had told mister A that he’d kill him.
23. The bartender said that mister B occasionally handed an envelope over the table to Mr. A
24. Mister A and Mister B had meet from time to time at ”The Black Horse”.
25. The police could not find Mister B after the murder.
26. Bus nr. 38 stopped outside ”The Black Horse” at 22.12
27. It was easy to see that the body had been dragged some way.
Mister C was not at home when the police visited him to ask a few questions after the body was
28.
found.
Assignment
The group split up in two detective teams:
• Dr Watson team
• Sherlock Holmes team
The participants in each team then split into three minor groups, working in groups of 1-3. For example:
Communication about how to clear up the murder goes through the computer exclusively – and you are
not allowed to use voice or video conferences. You are not allowed to have face-to-face conversations
either. Use the debate forum on http://skillsgroup.training.com and a Google for collaboration within
your team.
Write your final solution in a Google doc and share it with your teacher.
Who are the best detectives?
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The two teams have to find a solution to the following questions:
• Murderer?
• Time?
• Place?
• Weapon?
• Motive?
Please find facts about the murder in a separate Google doc shared with you by your trainer.
Source: www.shutterstock.com
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Session 2: HRM in a Strategic Perspective
1. What is Strategy?
For the topic HRM in a Strategic Perspective we have developed an e-learning module covering the
following sub-topics:
Topic 1: What is Strategy?

Topic 2: The Strategic Basics
Topic 3: From Personnel Management to HRM
Topic 4: A Historical View
Definitions of Strategy:
Originally it is a military term - what the generals regarded best would be the best approach:
Greek: Stratego = to lead an army (generalship)
In the military, strategy often refers to maneuvering troops into position before the enemy is actually
engaged. In this sense, strategy refers to the deployment of troops. Once the enemy has been
engaged, attention shifts to tactics. Here, the employment of troops is central. Substitute ”resources”
for troops and the transfer of the concept to the business world begins to take form.
George Steiner, a professor of management, is generally considered a key figure in the origins and
development of strategic planning. His book, Strategic Planning, is close to being a holy book on the
subject. Yet, in his book Strategic Planning Steiner does not bother to define strategy except in the
following notes at the end of his book.
• Strategy is that which top management does that is of great importance to the organization.
• Strategy refers to basic directional decisions, that is, to purposes and missions.
• Strategy consists of the important actions necessary to realize these directions.
• Strategy answers the question: What should the organization be doing?
• Strategy answers the question: What are the ends we seek and how should we achieve them?
14
Henry Mintzberg, in his 1994 book, The Rise and Fall of Strategic Planning points out that people
use ”strategy” in several different ways, the most common being these four:
1. Strategy is a plan, a ”how,” a means of getting from here to there.

2. Strategy is a pattern in actions over time; for example, a company that regularly markets very
expensive products is using a ”high end” strategy.
3. Strategy is position; that is, it reflects decisions to offer particular products or services in particular
markets.
4. Strategy is perspective, that is, vision and direction.
“Mintzberg argues that strategy emerges over time as intentions collide with and accommodate
a changing reality. Thus, one might start with a perspective and conclude that it calls for a certain
position, which is to be achieved by way of a carefully crafted plan, with the eventual outcome and
strategy reflected in a pattern evident in decisions and actions over time. This pattern in decisions
and actions defines what Mintzberg called ”realized” or emergent strategy.” Business Review.
Despite the diverging definitions of the term strategy we can sum up that all seem to agree that
strategy can be characterized as
Good and realistic plans to get from A to B
What is a Good Strategist?

Assignment (group work):
How do you perceive
A good Leader A good Manager A good strategist
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Session 3: The Strategic Basics
For the topic HRM in a Strategic Perspective has been developed an e-learning module covering
the following sub-topics:

The strategic basics of an organization are the vision, mission, objectives, and values statements as
well as individual business strategies. These statements and strategies are coherently influenced by
the surrounding world locally as well as globally and may be changed in accordance with changes
in society.
Below you will find examples of events from the surrounding world which are beyond the control
of the organization:
• It may be a specific event like the 11th September, 2001.
• It may be developmental events like technological advancements
• It may be political events like the increased focus on CO2 and the greenhouse effect and thus a
greater environmental awareness
• And, currently, we can see the worldwide financial crisis
All these events and factors affect the world economy and the global economic climate - and this
will have an impact on the national economic climate and decisions, i.e. purchasing habits and life
patterns - and especially employment.
For companies such impacts from the outside appear in relation to products, customers, economic
conditions, and supplier relations etc.
For example, environmental awareness has caused falling prices in European countries for cars. Big
campaigns for environmental consciousness and awareness and political initiatives have forced
manufacturers and car dealers to reduce prices. The global impacts of such environmental aware-
ness, rising oil prices, etc. will have an influence on business strategies and it also means that busi-
nesses have to adapt to such conditions very quickly.
Events and political decisions like this are totally beyond the control of business leadership - but it
is of great importance to have a finger on the pulse on what is going on in the world. Such factors
should always be kept in mind when working with the company’s strategic foundation.
Before embarking upon defining the strategic foundation or basics, it is always a good idea to do a
SWOT analysis.
16
Human Resource Management Agenda day1
Pháp Hoàn Lao Khách Nhà Người Công

Luật Cảnh động Hàng cung sở nghệ
cấp hữu
Ảnh hưởng toàn cầu – Xu hướng địa phương
Tổ chức
Sứ mệnh Tầm nhìn Mục tiêu
Chiến lược Chiến lược Chiến lược nhân Chiến lược Chiến lược
sản phẩm khách hàng sự Marketing kinh tế
Người lao động
17
SWOT Analysis
Tích cực Tiêu cực
Điểm yếu
Điểm mạnh
Thiếu các kỹ năng, năng lực cần
Năng lực và kỹ năng kỹ thuật tốt
thiết
Kênh phân phối tốt
Khó tiếp cận kênh phân phối
Khách hàng ổn định
Chủ Khó khăn trong việc giữ khách hàng
quan Chất lượng sản phẩm
Chất lượng sản phẩm thấp
Phân bổ chức năng hiệu quả
Dịch vụ nghèo nàn
Hoạt động hành chính tốt
Dây chuyền sản xuất lỗi thời
Yếu kém trong khâu quản trị
Cơ hội Thách thức
Nhu cầu tiêu dùng thay đổi Nhu cầu tiêu dùng thay đổi
Các thị trường mở rộng về mặt địa lý Đóng cửa một số thị trường địa lý
Khách
Tiến bộ khoa học kỹ thuật Tiến bộ khoa học kỹ thuật
quan
Sự can thiệp của nhà nước Sự can thiệp của nhà nước
Thuế cá nhân giảm Thuế tăng
Các kênh phân phối mới Các kênh phân phối mới
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Strengths
What is good internally in the organization compared to competitors?
Weaknesses
What is less good internally in the organization compared to competitors?
Opportunities
New markets and expansion of existing business conditions, ‘better times’, government
action, legislation, etc..
Threats
Competitors, supplier opportunities, business cycles, “bad times”, fashion, interest rates,
legislation, etc.
Following a SWOT analysis we shall focus on definitions of the different statements that
form the strategic basics.
When referring to ‘The Strategic Basics’ is meant the organisation’s mission statement, its
vision statement, its values, and its objectives. After having formulated these statements,
business strategies for the individual departments of the organization can be formulated.
A brief definition of the strategic terms:
= Philosophy / existence (the overall purpose of the organization). Description of the

Mission Statement
purpose of the organization – why are we here?
= Overall goal – sometimes called the picture of the company in the future (Where do
Vision Statement
we want to go?)
= The core priorities in the organization’s culture, what drives members’ priorities and
Values
how they truly act in the organization.
= A goal or objective is a projected state of affairs that a person or a system plans or

Objectives
intends to achieve.
= Strategies are mainly directed at the organization’s core processes: Market

Business Strategies strategies, Products and Service Strategies, Human Resource Strategies, Finance
strategies, etc.
19
Mission Statement
Description of the organization’s existence – why are we here?
• Purpose and aim of the organization

• The organization’s primary stakeholders: clients, stockholders, etc.
• Responsibilities of the organization toward these stakeholders
• Products and services offered
Example:
Falck has existed in Denmark since 1906.
Since then, Falck’s mission has been to prevent accidents, emergency situations and illness, save
distressed and ill people and help mitigate effects of illness and distress.
Vision Statement
• The vision statement is an expression of the direction the company wishes to go.
• The vision statement is the company’s guiding star.
• The vision statement is the management foundation of the company and describes a desired
outcome.
Example:
Jysk’s Vision
We will be the leading company in the European Market within everything for:
• Bedrooms
• Bathrooms
• Kitchens
• Windows
• Terraces
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The vision statement must be realistic, ambitious, and measurable.
Values
In general, values mean important and enduring beliefs or ideals shared by the members of a culture/
organization about what is good or desirable and what is not. Values exert major influence on the
behavior of an individual and serve as broad guidelines in all situations.
A company’s values statement is an overall expression of the values the company which its
stakeholders have decided to follow and also guidelines for how employees and management will
be committed to live up to these values.
Example:
• Merchant
• Service-minded, cost-conscious,
• credible, targeted and professional
• Colleague
• Helpful, mutual respect, flexible,
• open, honest and straightforward, positive
• Team spirit
• Dedicated, loyal, cooperative,
• Right and duty to react, JYSK Ambassador
From the website:

“Our values are based on three words Merchant-ship, Colleagues, Team Spirit. With them in mind we
are able to provide customers with a good offer for many years to come.”
Assignment
Group work: Work in groups of 3-4
Write proposals for the

• mission statement, 30 min.
• vision statement, 30 min.
• values! 30 min.
Choose the company you work for or the company you

have used for your business plan.
Each group prepares a presentation of their results.
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HRM in a Strategic Perspective
HRM strategies = Catalyst or Binder for all the Business strategies or put in other words: The operational
human resource strategy is based on the overall business strategy.
In knowledge-intensive companies Human Resource Management would certainly be part of all the
business strategies.
To sum up - what is important in strategic thinking!
• To involve and engage employees in the process

• To understand the industry and its environment
• To link the changes in the environment to skills
• To combine creative processes (new business and product opportunities) with formal planning
Business Strategies:
Definition:
The organization’s business strategies are all the strategies that are directly related to the company’s
operation to be carried out.
These strategies reflect the overall direction of a company.
They express the operational actions needed to lead the company toward the formulated vision and
overall goal.
Chiến lược nhân sự và chiến

Tầm nhìn như một ngọn hải lược kinh doanh
đăng của tổ chức
HRM-Strategien er “cement-
en” som skaber rammer og
sammenhaeng
Mission
Forrretning
Values
The topic about HRM and strategy is one of the most crucial topics within the field of Human Resource
Management. Therefore, it should be given special attention in this course – the purpose being to
clarify the strategic thinking in relation to Human Resource Management.
See the below case or visit Danfoss’s website to get more information.
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Danfoss – a Case
Vision
Danfoss will be the leading company on the global market within our core business. Being a highly
respected company we will improve life quality for man by mastering advanced technologies for the
benefit of customers’ solutions while at the same time create value for all our stakeholders
Core Values
• We build our business on trust

• We will be a safe and reliable choice
• We are enthusiastic about technology and what it can do for people
• We will be global in behavior - with the local strength and presence
• We will be environmentally and socially responsible
Staff at Danfoss
We are a group of committed people with a meaningful work in an environment that supports
personal development and commitment, both as a group and as individuals.
One of Danfoss’ most important resources is our employees. Therefore, the employees as well as
management development are essential elements of the organization’s efforts to ensure its continued
existence. Developing the necessary skills and with a focus on a good atmosphere and environment
will lead to satisfied employees and thus a further development of the organization.
Source: www.shutterstock.com Ảnh: www.shutterstock.com
23
Session 4: From Personnel Management to Human
Resource Management (HRM)

Personnel Management Human Resource Management
Administrative work in focus HR Strategy in focus
Staff policies Objectives and results in focus
Rights and duties Lists of Activities
Job descriptions Flexibility
Job confirmation Integration Contract
Working hours and salary in focus Take part in the corporate culture
Employee Interview and information Manager/employee dialogue and negotiation

Promotion following inventories of Promotion / career paths
advancements – mainly based on years of
employment (HRD)
HRM + Managers of individual

Personnel Manager
departments
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Terms such as Personnel Management or Personnel Administration are often used in a more
restricted sense compared to the term Human Resource Management. The concept of Personnel
Management includes all the activities that are necessary to keep a staff.
First and foremost it is about managing the paperwork

• around recruiting a workforce
• around payrolls and benefits
• around administrating the work-life needs of the employees
It is also very much about the employees’ rights and duties or so called person-
nel policies which, of course, should conform to current regulations.
Finally it is about formulating job descriptions or formulating the tasks and

requirements specified in the job descriptions.
The Human Resources Management (HRM) function is also about Personnel

Management but it is also something more than that.
It is important to point out that HRM involves not only the HRM depart-
ment or the people dealing with personnel management it also
involves the managers of all the individual departments of the
company. Workforce planning, maintaining, development, retain-
ing of the department staff as well as defining job requirements
and performance should all be seen in the light of the business
strategy of the department and the overall strategies in the
organization. Therefore, in HRM the managers of an organization
are forced to express their objectives in a specific and clear way
that can be understood and undertaken by the workforce.
The terms “Human Resource Management” and “Human Resources” (HR)

have largely replaced the term “personnel management” as a description of
the processes involved in managing people in organizations. In simple terms, HRM
means employing people, developing their resources, utilizing, maintaining and
compensating their services in tune with the job and organizational require-
ments.
Thus, the Human Resources Management (HRM) function of a company

includes a variety of activities, and their main tasks are deciding what staffing
needs you have and whether to use independent contractors or hire employees
to fill these needs, recruiting and training the employees, ensuring they are high
performers, dealing with performance issues, and ensuring your personnel and man-
agement practices conform to various regulations.
One significant manager task in relation to HRM is to make provisions to integrate his or her staff
members in the department as well as the organization as a whole to ensure that all staff members
are part of the corporate culture. This also implies that the individual needs and career plans of the
employees should be taken into consideration when agreeing on a contract with the organization.
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For most employees today it is not a question of job performance according to a specific job de-
scription from 8 am to 4 pm day in and day out. Today most jobs require flexibility in regard to job
descriptions as the job requirements may undergo rapid changes in accordance with changes in
the surrounding society and consequently also changes in business strategies. On the other hand,
the employee may also ask for flexibility in regard to working hours for a period of time with small
children to take of or when following different programs for personal development. Therefore, to-
day it is more a negotiation between employer and employee about job performance, career plans,
working hours, and benefits than a so called job confirmation. This agreement between employer
and employee is called an integration contract or a psychological contract.
Some people distinguish a difference between Human Resources Management (HRM) as a major
management activity and Human Resource Development (HRD) as a profession. Those people
might include HRM in HRD, explaining that HRD includes a special focus and strong emphasis on
activities to develop personnel inside of organizations, including activities as career planning, per-
sonal development, training, organization development, etc.
To sum up on this the concept of HRM strongly emphasizes the significant role of
• Strategy and objectives

• Personal development, and
• Flexibility
when dealing with human resources.
Historic View:

The HRM function and/or HRD profession have undergone tremendous change over the past 40-50
years. Many years ago, large organizations considered the “Personnel Department” mostly to man-
age the paperwork around hiring and paying people. More recently, organizations consider the
“HRM Department” as playing a major role – in accordance with the top management decisions - in
staffing, training and helping to manage people so that people and the organization are perform-
ing at maximum capability in a highly fulfilling manner.
In the 50s focus was put on efficiency -> mass production

• Production line technology, specialization of tasks
• Inspired by Taylor and Scientific Management
• Piecework compensation as motivator
In the 60s the focus is on human relationships

• Inspired by Herzberg, Maslow, and McGregor
• Motivation is based on the individual employee’s needs
26
In the 70s the focus is on strategic planning
• Recession required companies to concentrate on survival in weakening markets
• Increased awareness of having a long term overview not least because of rising energy prices.
In the 80s the focus is on corporate culture

• The challenge was primarily to find a balance between external market changes and internal
strengths, or being prepared for changes.
In the 80s and early 90s focus is on quality and efficiency

• ISO certification
• TQM (all workflows mapped and standardized)
In the 90s the focus is on flat organizational structures

• Employees must be given responsibility and must be trusted. The path from employee to man-
agement must be short.
• Focus on flexibility and problem-solving activities.
At the turn of the millennium focus is on self-management
• Self-organization and self-management due to independent and cross-organizational networks

in a knowledge society
• The values and objectives of a company should guide the individual employee to independent
and responsible solving of assignments.
Human relations
Human Relations emphasizes the importance of the formal organization in the workplace as well as
the social relations in the work group. The foundation for this management form has been founded
on the Hawthorne experiments conducted in the 1920s by Roethlisberger, Dickson, and Mayo.
Human resource
Human Resource emphasizes the importance of motivation of employees by organizing the work
in a way that made it possible to satisfy the underlying needs of the employees. The spirit behind
this management theory is inspired by Maslow’s needs hierarchy. However, the two psychologists,
Douglas McGregor and Frederick Hertzberg, should be given the credit for this stage of leadership
and management development.
Human Resource Management

Human Resource Management is a management form and organizational structure that has been
developed at American research centers inspired by the Japanese corporate governance of the
1970s and 1980s. The theory is based on administration and optimization of staff resources, seen
from a value oriented standpoint.
27
Session 5: Strategic Leadership Theories – introduction
Purpose of leadership theories:
Hãy đọc các bài viết tay ngoài các lý thuyết quản lý bên dưới. Bạn có thể chọn để đọc các tài liệu bổ
sung để đạt được sự hiểu biết đầy đủ về các lý thuyết trong câu hỏi.
1. To improve economic results
2. To improve products and quality for the benefit of the

customer
3. To make the most appropriate use of employees by

providing the best development opportunities
4. To show consideration for all stakeholders (owners,

suppliers, communities, etc.)
Background Information – Leadership Theories
(1): Very important. Students are expected to be able fully to understand this theory and to apply it.
(2): Important. Students are expected to be able to describe the main principles of this theory.
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Service Management (1)
Service Management is integrated into Supply Chain Management as the joint between the actual
sales and the customer. The aim of high performance Service Management is to optimize the service-
intensive supply chains, which are usually more complex than the typical finished-goods supply
chain. Most service-intensive supply chains require larger inventories and tighter integration with
field service and third parties. They also must accommodate inconsistent and uncertain demand
by establishing more advanced information and product flows. Moreover, all processes must be
coordinated across numerous service locations with large numbers of parts and multiple levels in
the supply chain.
Among typical manufacturers, post-sale services (maintenance, repair and parts) comprise less than
20 percent of revenue. But among the most innovative companies in Service, those same activities
often generate more than 50 percent of the profits.
Development
Traditionally overlooked as a ‘necessary evil’, Service Management is moving to the forefront as a
business strategy. To maintain growth and customer loyalty in a competitive environment, leading
companies are now recognizing the need to improve Service and Service Parts Management
capabilities.
Benefits
The main drivers for a company to establish or optimize its Service Management practices are varied:
• High service costs can be reduced, i.e. by integrating the service and products supply chain.
• Inventory levels of service parts can be reduced and therefore reduce total inventory costs.
• Customer service or parts/service quality can be optimized.
• Increasing service revenue.
• Reduce obsolescence costs of service parts through improved forecasting.
• Improve customer satisfaction levels.
• Reduce expediting costs - with optimized service parts inventory, there is no need to rush orders
to customers.
• Minimize technician visits - if they have the right part in hand, they can fix the problem on the
first visit.
Components
Generally, Service Management comprises six different capabilities that companies should consider
for optimization:
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Agenda day
• Service strategy and service offerings

o Service Strategy Definition
o Service Offerings Definition & Positioning
o Go-To-Market Strategy
o Service Portfolio Management
• Spare parts
o Parts Supply Management
o Inventory Management
o Parts Demand Management
o Fulfillment Operations & Logistics
o Service Parts Management
• Returns, repairs and warranties
o Warranty & Claims Management
o Reverse logistics
o Returns Processing
o Remanufacturing
• Field Service Management or Field force effectiveness
o Technician Enablement
o Mobility
o E-learning
o Activity Scheduling
o Service Billing
• Customer management
o Order Management & Availability
o Channel & Partner Management
o Customer Insight
o Technical Documentation
• Assets, Maintenance, Task Scheduling, Event Management
o Remote Monitoring
o Diagnostics & Testing
o Asset Management/Optimization
o Configuration Management
From Wikipedia
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Management by Objectives (1)
Management by Objectives (MBO) is a process of agreeing upon objectives within an organization

so that management and employees agree to the objectives and understand what they are in the
organization.
The term “management by objectives” was first popularized by Peter Drucker in his 1954 book ‘The
Practice of Management’.
The essence of MBO is participative goal setting, choosing course of actions and decision making.
An important part of the MBO is the measurement and the comparison of the employee’s actual
performance with the standards set. Ideally, when employees themselves have been involved with
the goal setting and the choosing the course of action to be followed by them, they are more likely
to fulfill their responsibilities.
The MBO Process
Unique features and advantage of the MBO process:

The principle behind Management by Objectives (MBO) is to create empowered employees who
have clarity of the roles and responsibilities expected from them, understand their objectives to be
achieved and thus help in the achievement of organizational as well as personal goals.
Some of the important features and advantages of MBO are:
1. Motivation – Involving employees in the whole process of goal setting and increasing employee
empowerment increases employee job satisfaction and commitment.
2. Better communication and Coordination – Frequent reviews and interactions between superiors
and subordinates helps to maintain harmonious relationships within the enterprise and also
solve many problems faced during the period.
3. Clarity of goals – With MBO, came the concept of SMART goal i.e. goals that are:
o Specific
o Measurable
o Achievable
o Relevant, and
o Time bound.
The goals thus set are clear, motivating and there is a linkage between organizational goals and
performance targets of the employees.
The focus is on future rather than on past. Goals and standards are set for the performance for the
future with periodic reviews and feedback.
In some sectors (Healthcare, Finance etc.) many add ER to make SMARTER, The ER can have many
meanings including
• E=End-minded R=Ritualistic
• E=Energizing, Exciting and Ethical Goals or E=Evaluate R=Reviewed and Resourced or R= Redo
Goals or Recorded
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• E=Ecological - consider ’whole’ self R=Reasons and Reward
Domains and levels
Objectives can be set in all domains of activities (production, services, sales, R&D, human resources,
finance, information systems etc.).
Some objectives are collective, for a whole department or the whole company, others can be
individualized.
Practice
Objectives need quantifying and monitoring. Reliable management information systems are needed
to establish relevant objectives and monitor their “reach ratio” in an objective way. Pay incentives
(bonuses) are often linked to results in reaching the objectives
Limitations
There are several limitations to the assumptive base underlying the impact of managing by objectives,
including:
1. It over-emphasizes the setting of goals over the working of a plan as a driver of outcomes.
2. It underemphasizes the importance of the environment or context in which the goals are set.
That context includes everything from the availability and quality of resources, to relative buy-in by
leadership and stake-holders. As an example of the influence of management buy-in as a contextual
influencer, in a 1991 comprehensive review of thirty years of research on the impact of Management by
Objectives, Robert Rodgers and John Hunter concluded that companies whose CEOs demonstrated
high commitment to MBO showed, on average, a 56% gain in productivity. Companies with CEOs
who showed low commitment only saw a 6% gain in productivity.
3. Companies evaluated their employees by comparing them with the “ideal” employee. Trait
appraisal only looks at what employees should be, not at what they should do.
4. It did not address the importance of successfully responding to obstacles and constraints as
essential to reaching a goal. The model didn’t adequately cope with the obstacles of:
• Defects in resources, planning and methodology,

• The increasing burden of managing the information organization challenge,
• The impact of a rapidly changing environment, which could alter the landscape enough to make
yesterday’s goals and action plans irrelevant to the present.
When this approach is not properly set, agreed and managed by organizations, in self-centered
thinking employees, it may trigger an unethical behavior of distorting the system of results and
financial figures to falsely achieve targets that were set in a short-term, narrow, bottom-line fashion.
The use of MBO needs to be carefully aligned with the culture of the organization. While MBO is not
as fashionable as it was before the ‘empowerment’ fad, it still has its place in management today. The
key difference is that rather than ‘set’ objectives from a cascade process, objectives are discussed
and agreed, based upon a more strategic picture being available to employees. Engagement of
employees in the objective setting process is seen as a strategic advantage by many
A saying around MBO and CSF’s -- “What gets measured gets done”- is perhaps the most famous
aphorism of performance measurement; therefore, to avoid potential problems SMART and SMARTER
objectives need to be agreed upon in the true sense rather than set.
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Arguments Against Source: www.shutterstock.com
MBO has its detractors, notably among them W. Edwards Deming, who argue that a lack of
understanding of systems commonly results in the misapplication of objectives.
One trap is not differentiating between common and special cause. Deming had a simple
demonstration to illustrate Common Cause Variation. He would suspend a funnel
over a table and cover the table with a paper, marking the point on the paper
above which the funnel was suspended. He would then repeatedly drop a
marble into the funnel, which would roll and eventually come to rest some
distance from the point under the funnel, and each time he would mark
the resting point. Eventually, it could be seen that the resting points
were distributed around the point under the funnel and a circle could
be drawn representing a boundary where predictably all marbles
would come to rest. This distribution is attributable to common cause.
A manager could set an objective, saying that marbles should be as
close to the point under the funnel as possible, and easily express
this objective using the SMART(ER) criteria. With an understanding
of common cause, it is possible to calculate the probability of a
marble meeting the objective, but the objective itself does not
change the quality inherent to the system. Unfortunately, it is
human nature to assume that there is something better about
random events that meet arbitrary objectives, and assign
their superiority to a non-existent special cause. For example,
the manager might say that the person who dropped the
marble that met the objective was more diligent than the
the person who’s drop did not; it is likely that the two are
indistinguishable and no such special cause exists.
This does not mean that there is no way to meet objectives.
Deming concluded his demonstration by lowering the funnel
over a fresh sheet of paper and dropping another series of
marbles through it. This is a systemic change that results in a
change in the system’s quality, the reduction of the boundary
radius. This change could potentially meet the objective
set by the manager, but is also the basis of a second trap;
a single SMART(ER) objective is not necessarily the best
criteria for judging the fitness of potential solutions. There
are numerous cases of employees meeting their managers’
objectives by contravening policy, regulations, ethical
considerations and laws. Point 7 of Deming’s encourages
managers to abandon objectives in favor of leadership
because he felt that a leader with an understanding of systems
was more likely to guide workers to an appropriate solution than
the incentive of an objective.
Deming also stressed the point that a leader must have an understanding
of systems because there is a third trap, incorrectly assuming that improving a
component of the system always improves the whole system. A business system is usually made
33
up of interdependent components. A simple example of this is a hypothetical factory that makes
products from raw materials, with its two components being a stocking facility for raw materials
and an assembly facility for making products from raw materials. The manager of this factory has
noted that production is 100 units a day on average, but the stock room holds enough raw materials
to make 150 units a day. Seeing this as wasteful, the manager sets the objective that stock must be
reduced. The problem is that the 150 units of raw materials may coincide with an upper control limit
of production. If the assembly facility produces its average of 100 units a day with a assembly process
that varies from 50 to 150 units a day, the assumed beneficial reduction of raw materials will also
cause a detrimental reduction of productivity, as the factory will no longer have the raw materials
on hand to make up for the days when the system fails to produce. A leader with an understanding
of systems could observe the interdependence and make adjustments to the assembly process
that would allow the reduction of stock. A manager using only objectives would likely blame the
assembly team of slipping when in fact they had made no change at all. Deming points out that
Drucker also warned managers that a systemic view was required and felt that Drucker’s warning
went largely unheeded by the practitioners of MBO.
A more fundamental and authoritative critique comes from Walter A. Shewhart / W. Edwards Deming,
the fathers of Modern Quality Management, for whom MBO is the opposite of their founding
Philosophy of Statistical Process Control.
From Wikipedia
Value based Management (1)
What is Value-Based Management?

Simply put, VBM is a business philosophy and management system for competing effectively in the
global marketplace, based upon the inherent value, dignity and empowerment of each person-
particularly each employee, customer and supplier. As a customer-focused “service” philosophy,
Value-Based Management (VBM) is built upon a shared set of core values. As a management system,
VBM offers a logical framework for designing a company’s
structures and processes to instill an ownership culture
that enables the organization to carry on its mission most
effectively.
Value-Based Management follows the market-oriented

theory of economic justice first advanced by the ESOP
inventor Louis Kelso and the philosopher Mortimer
Adler. The Kelso-Adler concepts underlying VBM reveal
a systematic approach for enabling each member to: 1)
participate fully as a worker and owner in the company,
2) receive a fair distribution based on what he or she
contributes to the company as a worker and owner, and
3) organize with other members to correct problems
or defects in the system affecting participation and
distribution. (See chapters 4 and 9 in Curing World Poverty:
The New Role of Property, John H. Miller, ed., Arlington, VA:
Center for Economic and Social Justice, 1994.)
34
Value-Based Management marries the quality, educational
and participation aspects of Total Quality Management and
Open Book Management, with the equity and ownership
concepts underlying employee stock ownership plans
(ESOPs). VBM provides a structured system for diffusing
power down to the level of each person in the company.
VBM also offers workers an opportunity to participate as
first-class shareholders in the company’s equity growth,
and in monthly and annual profits on a profit center basis.
A VBM system typically incorporates an employee

stock ownership plan (ESOP), individual and team
performance feedback (i.e. frequent and formula-based
cash profit sharing), ownership education and sharing
of financial information, and structured participatory
management and governance. VBM also reinforces within
ongoing information and education programs, a broad
understanding by all employee-shareholders of the
interdependency among every person, department, and
profit center in serving the customer and competing in Source: www.shutterstock.com
the marketplace.
Experience has shown that where reinforced by a Value-Based Management system and culture of
ownership, workers become empowered to make better decisions, discipline their own behavior,
and work together more effectively as a team. Because each person contributes, risks and shares as
an owner, as well as a worker, VBM helps unite everyone’s self interest around the company’s bottom-
line and corporate values.
A New Philosophy of Leadership

Value-Based Management calls for a new philosophy of leadership. It holds that an “authentic” leader
sees him- or herself as a teacher, as well as the ultimate servant. A true leader is one who empowers
others to realize their hidden potential, not one who rules by fear or refuses to be accountable to
others. VBM is catalyzed by such leaders; but it is developed and sustained from the ground-up.
A well-designed Value-Based Management system sharpens and crystallizes the leader’s philosophy
around a set of universal moral principles. Through a participatory, company-wide process, these
principles are refined and embedded within the organization, laying the foundation for an ongoing
ownership-sharing culture.
According to VBM, a leader should always strive to empower and encourage people to be responsible
for and make decisions in areas directly affecting their lives and work, and at the level of their
competence. Power, responsibility and accountability over policy should be decentralized, to avoid
potential abuses which occur when these are centralized or concentrated. Those in higher levels
within an organization should avoid making decisions which can be made most efficiently and
competently by those at lower levels.
Value-Based Management is not village democracy where every decision is voted upon by all
members of the company. Nor is it “management by committee.” Rather, VBM builds checks-and-
35
balances in the company’s governance and accountability system. It protects the property rights of
all shareholders, but allows executives flexibility to make traditional executive decisions.
The ESOP: A Vital Key to a VBM Culture

The purpose of Value-Based Management is to help empower people and raise their human dignity
and quality of life, both inside and outside the workplace. Its principal economic means for achieving
this end is expanded capital ownership.
Value-Based Management offers every worker the most effective tools to become a co-owner of the
place where he works. The Employee Stock Ownership Plan (ESOP) was created to provide workers
with access to capital credit-previously available only to those with significant accumulated assets-
and to pay for their shares out of future corporate profits which they help the company to earn.
But in terms of Value-Based Management, the ESOP by itself is insufficient. Without a clear articulation
of shared moral values and the systematic dispersion of power and accountability in a company,
the ESOP can be used as a tool to exploit workers and deprive them of their ownership rights, thus
violating the fundamental principles of justice underlying Value-Based Management. In contrast, an
ESOP based on VBM principles respects the property rights of every shareholder.
The Basic Elements of Value-Based Management

Value-Based Management can also be described as an ethical framework for succeeding in business.
As such, VBM balances moral values with material values.
VBM’s three components of value are realized in:
1. A foundation of universal moral values, starting with the intrinsic value of each person-each
employee, customer and supplier.
2. Success in the marketplace based on delivering

maximum value-higher quality at lower prices-to
the customer.
3. Rewards based on the value people contribute

to the company-as individuals and as a team, as
workers and as owners.
Within a VBM system, these aspects of value can

be implemented in a business by:
1. Creating structures of corporate governance

and management based on shared moral values,
as expressed in a written set of:
a. company core values (ethical principles which

define the culture and clarify the social purposes
and mission of the organization); and
b. a code of ethics (describing a set of virtues or

36
“habits” to be encouraged, which guide individual behavior toward strengthening the company’s
culture and interpersonal harmony).
Ideally these core values and code of ethics are agreed upon by consensus by every person in the
company, and are subject to periodic review and improvement (as with Herman Miller Inc.’s “renewal
process”). These serve as the “compass” for guiding corporate objectives, policies, and other decisions;
they also provide a basis for judging people’s behavior.
2. Maximizing value for the customer. VBM expresses a simple formula for any business to follow for
succeeding in the competitive marketplace:
V = Q/P
where V=Value, Q=Quality, and P=Price
This states that Value delivered to the customer increases as Quality of the good or service increases,
and/or its Price decreases. Within a VBM culture, everyone in the company has a self-interest in
providing “service to the customer,” because ultimately it is the customer who “signs” every employee’s
paycheck.
3. Structuring the company’s compensation and reward system to enable every person in the
company to be rewarded for the value of their contributions to the company. This is one of the
fundamental aspects of ownership. It reflects the “correct” principle of distributive justice contained
within the Kelso-Adler theory of economic justice, where a person’s returns are based on performance
and contribution, not charity. Basic VBM compensation and reward systems would include:
a. monthly, bimonthly or quarterly bonuses linked to each worker’s profit center within the company,
b. annual, corporate-wide performance bonuses based on formulas tying each worker’s contributions
to overall company profits, and
c. a structured, profit-based program of share ownership (i.e. annual ESOP contributions),

supplemented by cash dividend payouts to reinforce long-term ownership consciousness.
Building Systems for Sharing Risks, Responsibilities and Rewards

VBM is designed to “institutionalize” shared responsibility, shared risks and shared rewards within
the company’s ongoing structures and processes. The key management areas affected by the VBM
transformation process include:
• Corporate values and vision
• Leadership style and skills
• Corporate governance
37
• Open Book Management
• Operations (policies and procedures)
• Communications and information sharing
• Training and education
• Pay and rewards
• Grievances and adjudication
• Collective bargaining with labor unions
• Employee shareholder education and participation
• Future planning
Allied Plywood Corporation: A VBM Work in Progress
It has often been said that building an ownership culture is more of an ongoing process than a single
event. One example of how various elements of Value-Based Management are being incorporated in
this process can be seen in the case of Allied Plywood Corporation.
Allied Plywood Corporation, a 100% employee-owned company headquartered in Alexandria,
Virginia, can sum up the secret of its phenomenal success in a single sentence: “Working together
to give customers the highest quality service.” But what makes this phrase real for Allied’s customers
and employees, and more than just empty advertising, is Allied Plywood’s incentive system, today
widely acknowledged as a model of ownership sharing. Underlying its unique incentive system is a
value-based philosophy and management system called the “Allied Way.”
Primarily a wholesale distributor of wood and related products, Allied Plywood was founded in 1951
in Ohio by Ed and Phyllis Sanders, a husband-and-wife team who moved their business to Virginia
in 1956. Allied Plywood’s business includes selling softwood plywood, hardwood plywood, interior
paneling, particle boards, sheathing, kitchen laminates, adhesives, cabinets and hardware, solid
surfaces, and hardwood lumber. Their market is primarily new home builders, remodelers, cabinet
makers and sign shops, from Baltimore, Maryland to Atlanta, Georgia.
To survive in the highly competitive Washington market, the Sanders

immediately began sharing profits with employees through a highly
motivational monthly and year-end cash bonus system. On
September 30, 1977, the company adopted its Employee Stock
Ownership Plan (ESOP) as an added ownership sharing benefit.
This provided a gradual means for employees to take over
the company as the Sanders prepared for retirement. At
that time, the Sanders owned 2,920 or 83% of the 3,512
outstanding shares of the company, with the balance held
by 8 employees and the company’s legal counsel.
For each of the next 5 years, the Sanders sold some of their
shares to employees through the ESOP, financing the purchases
38
with cash contributed by the company from profits. On July 1, 1982, the Sanders sold their remaining
control block of shares to employees through a “leveraged” ESOP, which borrowed the funds from
a local bank. Within 20 months the buyout loan was repaid in full. Today, Allied Plywood is a 100%
employee-owned company with 99% of its shares held in an ESOP trust for the benefit of employees.
Since the ESOP was adopted, the workforce increased from nineteen (including the two owners) to
over 194 employees in September, 1997. After the employees took control, the company expanded
from its one Alexandria warehouse to sixteen locations in four states stretching from Frederick,
Maryland to Marietta, Georgia. From $6 million in sales in 1977 and $6.2 million in the slump year of
1982 when the employees took over, volume has increased to gross sales of $66.5 million in 1997,
representing a compound rate of growth of 17.1% over the 15 years following the employee buyout.
Productivity as measured in sales per full-time employee is impressive, close to $350,000 in 1997.
This record was achieved despite a major slowdown in the home building industry and the normal
productivity declines associated with opening up new facilities. Even in 1990, a year of severe
recession in the housing industry, productivity was over 17% higher than before the ESOP.
Fixed wages are relatively modest compared to those of the company’s competitors, but they are only
a fraction of total compensation for people working at Allied. For example, variable pay supplements
through Ownership Sharing (monthly and annual bonuses plus ESOP benefits) have ranged from a
low of 34% to over 300% more than annual fixed pay over the first 20 years of the ESOP. This “cushion”
has helped to spread the pain of lean years, so that the pressure for layoffs is radically less than for
most U.S. employers. Thus, the Allied team can keep the “family of workers” employed during hard
times in the U.S. economy.
Substantial discretionary year-end bonuses have been paid almost every year, based on the value
of each individual’s contribution to the company. Employees generally receive an additional 10% to
25% above their total fixed and variable income in the form of tax-deferred ESOP benefits. Variable
compensation (i.e., risk-sharing) has ranged from 25% to 77% of total compensation, while fixed pay,
normally the greatest proportion of pay for most workers, has been as low as 23% of what Allied
workers received as compensation and benefits. This adds flexibility and job security within Allied
Plywood, far greater than with its competitors.
Management estimates productivity (sales per employee) to be significantly higher that of the
competition. Total cash compensation for Allied drivers and warehousemen in good years is
about twice that of non-union drivers, and over a third more than unionized drivers in competing
companies. Employer contributions toward retirement benefits for employees of competing
companies range from 0% to 15% of annual cash compensation, compared to 10% to
25% through Allied’s ESOP.
Allied Plywood’s return on investment (ROI), a basic measure of

financial efficiency, has varied from a low of 42% to a high of
86.7% since the ESOP was established. Because the company
deliberately pays out most of its profits to its employees in the
form of Ownership Sharing benefits, these profits are added
back in determining the “true” after-tax ROI for comparison
with traditionally-owned companies, where a ROI of 20% is
considered excellent.
Since 1982, policy has been controlled by a 5-person board

of directors who also serve as the trustees of the ESOP trust,
the legal owner of over 99% of the company’s voting shares. In
39
December 1997, 30 employee representatives, including the top executives, came together for three
and one-half days in a highly structured “Syntegration” retreat facilitated by a team based in Ontario,
Canada. Among other major decisions, they agreed by consensus to restructure the board, with
three members to be nominated by a broadly-representative Ownership Council and elected on
a one-share, one-vote basis by the non-management employees, and three to be nominated by a
Management Council and elected on a one-share, one-vote basis by the executives. Those six board
members will nominate and elect three “outside” directors to offer a balanced perspective on the
board.
Day-to-day executive decisions (including hiring and firing, basic compensation and discretionary
year-end bonuses) are made by the President and Secretary-Treasurer, with frequent meetings of
the Management Council consisting of key management executives and the top manager of each
warehouse/profit center. Major investment decisions are implemented only after consultations
with all employees. As a result of the Syntegration retreat, an Ownership Council was established
as a “grassroots” advisory body to the board. Corporate governance remains generally informal and
open, with responsibility widely dispersed at the workplace.
Allied operates on the basis of two-way accountability. Employees are accountable to their immediate
supervisors for the quality of their work. These evaluations count heavily in year-end discretionary
bonuses and promotions. Ultimately, the company as a whole is accountable to the customers.
Allied’s “Goals” Program allows each employee to measure on a monthly basis how successfully
the customers are being served. Monthly bonus checks linked directly to 20% of a profit center’s
monthly profits give immediate feedback to each employee on the financial ups-and-downs of his
profit center. (A decision was made in 1998 to reduce this percentage from 30% in order to increase
funds available for annual distributions and to bring fixed compensation levels closer to market
wage rates.) “Goals” for determining these checks are posted daily once sales exceed the break-even
point for the month.
This monthly financial accountability system is reinforced by periodic group meetings, annual
bonuses, and individualized ESOP statements reflecting changes in the appraised value of each
share and each person’s share of annual contributions and total accumulations. All employees who
have been on the Allied payroll since the ESOP was installed have accumulated accounts close to
or exceeding $100,000. At some point, dividends may be paid on each employee’s equity stake to
reinforce Allied’s Ownership Sharing philosophy. Each person receives an ESOP handbook when he
or she first joins the company.
Conclusion: The Benefits of Value-Based Management

Certainly there is no perfect company, and like any other company, Allied Plywood Corporation must
struggle with the challenges of a changing market, a changing work force, and its own expansion,
while remaining true to its core values. Value-Based Management, however, is offering a systematic
way of creating, maintaining, and perfecting “the Allied Way” for the good of all its employee-owners.
What are the Benefits of VBM for Management?

By moving from an autocratic to a more participatory, value-based mode, a company’s leadership
can spread around some of management’s typical operational “headaches.” This gives managers
more time to focus on the company’s long-range, strategic needs, rather than spending most of
their time putting out brush fires.
What are the Benefits of VBM for employees?
40
A workplace that operates according to the principles of Value-Based Management empowers
employees as workers and as owners. VBM creates a corporate culture where work can be more
satisfying and economically rewarding.
What are the Benefits of VBM for Labor Unions?

Just as VBM involves a transformation of the modern corporation, it also involves the transformation
of labor unions within VBM companies, offering labor representatives new and more important roles
than they have played within the present adversarial system of labor-management relations. Unions
can help deliver a higher degree of economic justice and far greater rights for their members than
the false security and wage system “crumbs” now bargained for within today’s labor-management
framework.
What are the Benefits of VBM for the Company as a Whole?

Experience within a growing number of companies indicates that the more that people’s self interests
are unified within a management system reflecting the principles of Value-Based Management,
the greater will be customer and employee satisfaction. From this can flow increased cost savings,
increased sales, and increased profits.
By offering solid principles and a logic for building an ongoing ownership culture, Value-Based
Management helps to create an environment which respects the dignity of all forms of productive
work. VBM recognizes that, regardless of a person’s function or role in the company, we are all workers.
The success of Value-Based Management comes when each person-from the CEO and supervisor to
the machine operator and receptionist-feels that they own and benefit from the VBM process and
share in the results as full participants in their company and its culture.
1. Quality Management (1) and Total Quality Management (2)
Quality Management
Quality management can be considered to have three main

components: quality control, quality assurance and quality
improvement. Quality management is focused not only on product
quality, but also the means to achieve it. Quality management
therefore uses quality assurance and control of processes as well as
products to achieve more consistent quality.
Quality management evolution
Quality management is a recent phenomenon. Advanced civilizations that supported the arts
and crafts allowed clients to choose goods meeting higher quality standards than normal goods.
In societies where art and craft (and craftsmanship) were valued, one of the responsibilities of a
master craftsman (and similarly for artists) was to lead their studio, train and supervise the work of
their craftsmen and apprentices. The master craftsman set standards, reviewed the work of others
and ordered rework and revision as necessary. One of the limitations of the craft approach was
41
that relatively few goods could be produced, on the other hand an advantage was that each item
produced could be individually shaped to suit the client. This craft based approach to quality and the
practices used were major inputs when quality management was created as a management science.
During the industrial revolution, the importance of craftsmen was diminished as mass production and
repetitive work practices were instituted. The aim was to produce large numbers of the same goods.
The first proponent in the US for this approach was Eli Whitney who proposed (interchangeable)
parts manufacture for muskets, hence producing the identical components and creating a musket
assembly line. The next step forward was promoted by several people including Frederick Winslow
Taylor a mechanical engineer who sought to improve industrial efficiency. He is sometimes called “the
father of scientific management.” He was one of the intellectual leaders of the Efficiency Movement
and part of his approach laid a further foundation for quality management, including aspects like
standardization and adopting improved practices. Henry Ford also was important in bringing process
and quality management practices into operation in his assembly lines. In Germany, Karl Friedrich
Benz, often called the inventor of the motor car, was pursuing similar assembly and production
practices, although real mass production was properly initiated in Volkswagen after world war two.
From this period onwards, North American companies focused predominantly upon production
against lower cost with increased efficiency.
Walter A. Shewhart made a major step in the evolution towards quality management by creating
a method for quality control for production, using statistical methods, first proposed in 1924. This
became the foundation for his ongoing work on statistical quality control. W. Edwards Deming
later applied statistical process control methods in the United States during World War II, thereby
successfully improving quality in the manufacture of munitions and other strategically important
products.
Quality leadership from a national perspective has changed over the past five to six decades. After
the second world war, Japan decided to make quality improvement a national imperative as part of
rebuilding their economy, and sought the help of Shewhart, Deming and Juran, amongst others. W.
Edwards Deming championed Shewhart’s ideas in Japan from 1950 onwards. He is probably best
known for his management philosophy establishing quality, productivity, and competitive position.
He has formulated 14 points of attention for managers, which are a high level abstraction of many
of his deep insights. They should be interpreted by learning and understanding the deeper insights
and include:
• Break down barriers between departments
• Management should learn their responsibilities, and take on leadership
• Improve constantly
• Institute a programme of education and self-improvement
In the 1950s and 1960s, Japanese goods were synonymous with cheapness and low quality, but
over time their quality initiatives began to be successful, with Japan achieving very high levels of
quality in products from the 1970s onward. For example, Japanese cars regularly top the J.D. Power
customer satisfaction ratings. In the 1980s Deming was asked by Ford Motor Company to start a
quality initiative after they realized that they were falling behind Japanese manufacturers. A number
of highly successful quality initiatives have been invented by the Japanese (see for example on this
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page: Taguchi, QFD, Toyota Production System. Many of the methods not only provide techniques
but also have associated quality culture (i.e. people factors). These methods are now adopted by the
same western countries that decades earlier derided Japanese methods.
Customers recognize that quality is an important attribute in products and services. Suppliers
recognize that quality can be an important differentiator between their own offerings and those
of competitors (quality differentiation is also called the quality gap). In the past two decades this
quality gap has been greatly reduced between competitive products and services. This is partly due
to the contracting (also called outsourcing) of manufacture to countries like India and China, as well
internationalization of trade and competition. These countries amongst many others have raised
their own standards of quality in order to meet International standards and customer demands.
The ISO 9000 series of standards are probably the best known International standards for quality
management.
There are a huge number of books available on quality. In recent times some themes have become
more significant including quality culture, the importance of knowledge management, and the role
of leadership in promoting and achieving high quality. Disciplines like systems thinking are bringing
more holistic approaches to quality so that people, process and products are considered together
rather than independent factors in quality management.
The influence of quality thinking has spread to non-traditional applications outside of walls of
manufacturing, extending into service sectors and into areas such as sales, marketing and customer
service.
Quality improvement
There are many methods for quality improvement. These cover product improvement, process
improvement and people based improvement. In the following list are methods of quality
management and techniques that incorporate and drive quality improvement—
1. ISO 9004:2000 — Guidelines for performance improvement.
2. ISO 15504-4: 2005 — Information technology — Process assessment — Part 4: Guidance on

use for process improvement and process capability determination.
3. QFD — Quality Function Deployment, also known as the House of Quality approach.
4. Kaizen — Japanese for change for the better; the common English usage is continual
improvement.
5. Zero Defect Program — created by NEC Corporation of Japan, based upon Statistical Process
Control and one of the inputs for the inventors of Six Sigma.
6. Six Sigma — 6σ, Six Sigma combines established methods such as Statistical Process Control,
Design of Experiments and FMEA in an overall framework.
7. PDCA — Plan, Do, Check, Act cycle for quality control purposes. (Six Sigma's DMAIC method
(Design, Measure, Analyze, Improve, Control) may be viewed as a particular implementation of this.)
8. Quality circle — a group (people oriented) approach to improvement.
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Agenda day
9. Taguchi methods — statistical oriented methods including Quality robustness, Quality loss
function and Target specifications.
10. The Toyota Production System — reworked in the west into Lean Manufacturing.
11. Kansei Engineering — an approach that focuses on capturing customer emotional feedback
about products to drive improvement.
12. TQM — Total Quality Management is a management strategy aimed at embedding awareness
of quality in all organizational processes. First promoted in Japan with the Deming prize which was
adopted and adapted in USA as the Malcolm Baldrige National Quality Award and in Europe as the
European Foundation for Quality Management award (each with their own variations).
13. TRIZ — meaning "Theory of inventive problem solving"
14. BPR — Business process reengineering, a management approach aiming at 'clean slate'
improvements (That is, ignoring existing practices).
Proponents of each approach have sought to improve them as well as apply them to enterprise
types not originally targeted. For example, Six Sigma was designed for manufacturing but has spread
to service enterprises. Each of these approaches and methods has met with success but also with
failures.
Some of the common differentiators between success and failure include commitment, knowledge
and expertise to guide improvement, scope of change/improvement desired (Big Bang type
changes tend to fail more often compared to smaller changes) and adaption to enterprise cultures.
For example, quality circles do not work well in every enterprise (and are even discouraged by some
managers), and relatively few TQM-participating enterprises have won the national quality awards.
There has been well publicized failures of BPR, as well as Six Sigma. Enterprises therefore need to
consider carefully which quality improvement methods to adopt, and certainly should not adopt
all those listed here.
It is important not to underestimate the people factors, such as culture, in selecting a
quality improvement approach. Any improvement (change) takes time to implement,
gain acceptance and stabilize as accepted practice. Improvement must allow
pauses between implementing new changes so that the change is stabilized and
assessed as a real improvement, before the next improvement is made (hence
continual improvement, not continuous improvement).
Improvements that change the culture take longer as they have to overcome
greater resistance to change. It is easier and often more effective to work
within the existing cultural boundaries and make small improvements
(that is Kaizen) than to make major transformational changes. Use of
Kaizen in Japan was a major reason for the creation of Japanese industrial
and economic strength.
On the other hand, transformational change works best when an enterprise

faces a crisis and needs to make major changes in order to survive. In
Japan, the land of Kaizen, Carlos Ghosn led a transformational change at
Nissan Motor Company which was in a financial and operational crisis. Well
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organized quality improvement programs take all these factors into account when selecting the
quality improvement methods.
Quality standards
The International Organization for Standardization (ISO) created the Quality Management System
(QMS) standards in 1987. They were the ISO 9000:1987 series of standards comprising ISO 9001:1987,
ISO 9002:1987 and ISO 9003:1987; which were applicable in different types of industries, based on
the type of activity or process: designing, production or service delivery.
The standards are reviewed every few years by the International Organization for Standardization.
The version in 1994 was called the ISO 9000:1994 series; comprising of the ISO 9001:1994, 9002:1994
and 9003:1994 versions.
The last major revision was in the year 2000 and the series was called ISO 9000:2000 series. The ISO
9002 and 9003 standards were integrated into one single certifiable standard: ISO 9001:2000. After
December 2003, organizations holding ISO 9002 or 9003 standards had to complete a transition to
the new standard.
ISO released a minor revision, ISO 9001:2008 on 14 October 2008. It contains no new requirements.
Many of the changes were to improve consistency in grammar, facilitating translation of the standard
into other languages for use by over 950,000 certified organisations in the 175 countries (as at Dec
2007) that use the standard.
The ISO 9004:2000 document gives guidelines for performance improvement over and above the
basic standard (ISO 9001:2000). This standard provides a measurement framework for improved
quality management, similar to and based upon the measurement framework for process assessment.
The Quality Management System standards created by ISO are meant to certify the processes and
the system of an organization, not the product or service itself. ISO 9000 standards do not certify the
quality of the product or service.
In 2005 the International Organization for Standardization released a standard, ISO 22000,
meant for the food industry. This standard covers the values and principles of ISO 9000
and the HACCP standards. It gives one single integrated standard for the food industry
and is expected to become more popular in the coming years in such industry.
ISO has also released standards for other industries. For example Technical
Standard TS 16949 defines requirements in addition to those in ISO 9001:2008
specifically for the automotive industry.
ISO has a number of standards that support quality management. One group
describes processes (including ISO 12207 & ISO 15288) and another describes
process assessment and improvement ISO 15504.
The Software Engineering Institute has its own process assessment and
improvement methods, called CMMi (Capability Maturity Model — integrated)
and IDEAL respectively.
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Quality terms
• Quality Improvement can be distinguished from Quality Control in that Quality Improvement is
the purposeful change of a process to improve the reliability of achieving an outcome.
• Quality Control is the ongoing effort to maintain the integrity of a process to maintain the
reliability of achieving an outcome.
• Quality Assurance is the planned or systematic actions necessary to provide enough confidence
that a product or service will satisfy the given requirements for quality.
2. Total Quality Management
Total Quality Management (TQM) is a business management strategy aimed at embedding

awareness of quality in all organizational processes. TQM has been widely used in manufacturing,
education, hospitals, call centers, government, and service industries, as well as NASA space and
science programs.
Definition
When used together as a phrase, the three words in this expression have the following meanings:
Total: Involving the entire organization, supply chain, and/or product life cycle
Quality: With its usual definitions, with all its complexities
Management: The system of managing with steps like Lead, Staff, provisioning and organizing
As defined by the International Organization for Standardization (ISO):
«TQM is a management approach for an organization, centered on quality, based on the participation
of all its members and aiming at long-term success through customer satisfaction, and benefits to all
members of the organization and to society.» ISO 8402:1994
A comprehensive definition
Total Quality Management is the organization-wide management of quality. Management consists of

planning, organizing, directing, control, and assurance. Total quality is called total because it consists
of two qualities: quality of return to satisfy the needs of the shareholders, or quality of products.
3. Business Excellence Model (2)
Business excellence is the systematic use of quality management principles and tools in business
management, with the goal of improving performance based on the principles of customer focus,
stakeholder value, and process management. Key practices in business excellence applied across
functional areas in an enterprise include continuous and breakthrough improvement, preventative
management and management by facts. Some of the tools used are the balanced scorecard, the Six
Sigma statistical tools, process management, and project management.
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Business excellence, as described by the European Foundation for Quality Management (EFQM),
refers to “outstanding practices in managing the organization and achieving results, all based
on a set of eight fundamental concepts.” These concepts are “results orientation, customer focus,
leadership and constancy of purpose, management by processes and facts, people development
and involvement, continuous learning, innovation and improvement; partnership development, and
public responsibility.”
In general, business excellence models have been developed by national bodies as a basis for award
programs. For most of these bodies, the awards themselves are secondary in importance to the
widespread adoption of the concepts of business excellence, which ultimately leads to improved
national economic performance. By far the majority of organizations that use these models do so for
self-assessment, through which they may identify improvement opportunities, areas of strength, and
ideas for future organizational development. Users of the EFQM Excellence Model, for instance, do
so for the following purposes: self-assessment, strategy formulation, visioning, project management,
supplier management, and mergers. The most popular and influential model in the western world is
the Malcolm Baldrige Award Model (also known as the Baldrige model, the Baldrige criteria, or the
criteria for performance excellence), launched by the US government. More than 60 national and
state/regional awards base their frameworks upon the Baldrige criteria.
When used as a basis for an organization’s improvement culture, the business excellence criteria
within the models broadly channel and encourage the use of best practices into areas where their
effect will be most beneficial to performance. When used simply for self-assessment, the criteria can
clearly identify strong and weak areas of management practice so that tools such as benchmarking
can be used to identify best-practice to enable the gaps to be closed. These critical links between
business excellence models, best practice, and benchmarking are fundamental to the success of the
models as tools of continuous improvement.
The essence of the Methodology is to concentrate in a perfect blend of Focus between Proceses,
Technologies and Resources (Human, Financial, etc.)
The main idea is that neither of those elements can be improved by itself and it needs to be balanced
and improved in a blend with the other two.
Process Phases - Because of the blend of different methodologies that have specific phases within
their processes Business Excellence drives results through four well defined phases: Discover/Define,
Measure/Analyze, Create/Optimize, Monitor/Control.
Those phases evolve continuously within the ever-growing organization, driving constant monitoring,
optimization and re-evaluation.
Retrieved from “http://en.wikipedia.org/wiki/Business_excellence”
4. Balance Scorecard (1)
Balanced Scorecard Basics
The balanced scorecard is a strategic planning and management system that is used extensively in
business and industry, government, and nonprofit organizations worldwide to align business activities
47
to the vision and strategy of the organization, improve internal and external communications, and
monitor organization performance against strategic goals. It was originated by Drs. Robert Kaplan
(Harvard Business School) and David Norton as a performance measurement framework that added
strategic non-financial performance measures to traditional financial metrics to give managers
and executives a more ‘balanced’ view of organizational performance. While the phrase balanced
scorecard was coined in the early 1990s, the roots of the this type of approach are deep, and include
the pioneering work of General Electric on performance measurement reporting in the 1950’s and
the work of French process engineers (who created the Tableau de Bord – literally, a “dashboard” of
performance measures) in the early part of the 20th century.
The balanced scorecard has evolved from its early use as a simple performance measurement
framework to a full strategic planning and management system. The “new” balanced scorecard
transforms an organization’s strategic plan from an attractive but passive document into the
“marching orders” for the organization on a daily basis. It provides a framework that not only provides
performance measurements, but helps planners identify what should be done and measured. It
enables executives to truly execute their strategies.
This new approach to strategic management was first detailed in a series of articles and books
by Drs. Kaplan and Norton. Recognizing some of the weaknesses and vagueness of previous
management approaches, the balanced scorecard approach provides a clear prescription as to what
companies should measure in order to ‘balance’ the financial perspective. The balanced scorecard is
a management system (not only a measurement system) that enables organizations to clarify their
vision and strategy and translate them into action. It provides feedback around both the internal
business processes and external outcomes in order to continuously improve strategic performance
and results. When fully deployed, the balanced scorecard transforms strategic planning from an
academic exercise into the nerve center of an enterprise.
Kaplan and Norton describe the innovation of the balanced scorecard as follows:
“The balanced scorecard retains traditional financial measures. But financial measures tell the story
of past events, an adequate story for industrial age companies for which investments in long-term
capabilities and customer relationships were not critical for success. These financial measures are
inadequate, however, for guiding and evaluating the journey that information age companies must
make to create future value through investment in customers, suppliers, employees, processes,
technology, and innovation.”
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Financial
“To succeed
financially,
Objectives
Initiatives
Measures
how should
Targets
we appear to
our sharehold-
ers?”
•
•
•
•
Customer Internal Busi-
“To achieve ness Processes
our vision, Vision and “To satisfy our
Objectives
Objectives
Initiatives
Initiatives
how should we shareholders and
Measures
Measures
Strategy
Targets
Targets
appear to our customers, what
customers?” business process-
es must we excel
at?”
•
•
•
•
•
•
•
•
Learning and
Growth
“To achieve
Objectives
our vision, how

Initiatives
Measures
will we sustain
Targets
our ability to
change and
improve?”
•
•
•
•
Adapted from The Balanced Scorecard by Kaplan & Norton
Perspectives
The balanced scorecard suggests that we view the organization from four perspectives, and to
develop metrics, collect data and analyze it relative to each of these perspectives:
The Learning & Growth Perspective

This perspective includes employee training and corporate cultural attitudes related to both
individual and corporate self-improvement. In a knowledge-worker organization, people -- the
only repository of knowledge -- are the main resource. In the current climate of rapid technological
change, it is becoming necessary for knowledge workers to be in a continuous learning mode.
Metrics can be put into place to guide managers in focusing training funds where they can help
the most. In any case, learning and growth constitute the essential foundation for success of any
49
knowledge-worker organization.
Kaplan and Norton emphasize that ‘learning’ is more than ‘training’; it also includes things like
mentors and tutors within the organization, as well as that ease of communication among workers
that allows them to readily get help on a problem when it is needed. It also includes technological
tools; what the Baldrige criteria call “high performance work systems.”
The Business Process Perspective

This perspective refers to internal business processes. Metrics based on this perspective allow
the managers to know how well their business is running, and whether its products and services
conform to customer requirements (the mission). These metrics have to be carefully designed
by those who know these processes most intimately; with our unique missions these are not
something that can be developed by outside consultants.
The Customer Perspective

Recent management philosophy has shown an increasing realization of the importance of
customer focus and customer satisfaction in any business. These are leading indicators: if
customers are not satisfied, they will eventually find other suppliers that will meet their needs. Poor
performance from this perspective is thus a leading indicator of future decline, even though the
current financial picture may look good.
In developing metrics for satisfaction, customers should be analyzed in terms of kinds of customers
and the kinds of processes for which we are providing a product or service to those customer groups.
The Financial Perspective

Kaplan and Norton do not disregard the traditional need for financial data. Timely and accurate
funding data will always be a priority, and managers will do whatever necessary to provide it.
In fact, often there is more than enough handling and processing of financial data. With the
implementation of a corporate database, it is hoped that more of the processing can be centralized
and automated. But the point is that the current emphasis on financials leads to the “unbalanced”
situation with regard to other perspectives. There is perhaps a need to include additional financial-
related data, such as risk assessment and cost-benefit data, in this category.
Strategy Mapping
Strategy maps are communication tools used to tell a story of how value is created for the organization.
They show a logical, step-by-step connection between strategic objectives (shown as ovals on the
map) in the form of a cause-and-effect chain. Generally speaking, improving performance in the
objectives found in the Learning & Growth perspective (the bottom row) enables the organization
to improve its Internal Process perspective Objectives (the next row up), which in turn enables the
organization to create desirable results in the Customer and Financial perspectives (the top two
rows).
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Balanced Scorecard Software
The balanced scorecard is not a piece of software. Unfortunately, many people believe that
implementing software amounts to implementing a balanced scorecard. Once a scorecard has been
developed and implemented, however, performance management software can be used to get the
right performance information to the right people at the right time. Automation adds structure and
discipline to implementing the Balanced Scorecard system, helps transform disparate corporate data
into information and knowledge, and helps communicate performance information. More about
Software
5. Lean and Kaizen (2)
LEAN
Lean manufacturing or lean production, which is often known simply as “Lean”, is a production
practice that considers the expenditure of resources for any goal other than the creation of value
for the end customer to be wasteful, and thus a target for elimination. Working from the perspective
of the customer who consumes a product or service, “value” is defined as any action or process that
a customer would be willing to pay for. Basically, lean is centered around creating more value with
less work. Lean manufacturing is a generic process management philosophy derived mostly from
the Toyota Production System (TPS) (hence the term Toyotism is also prevalent) and identified as
“Lean” only in the 1990s.. It is renowned for its focus on reduction of the original Toyota seven wastes
in order to improve overall customer value, but there are varying perspectives on how this is best
achieved. The steady growth of Toyota, from a small company to the world’s largest automaker, has
focused attention on how it has achieved this.
Lean manufacturing is a variation on the theme of efficiency based on optimizing flow;

it is a present-day instance of the recurring theme in human history toward increasing
efficiency, decreasing waste, and using empirical methods to decide what matters, rather
than uncritically accepting pre-existing ideas. As such, it is a chapter in the larger narrative
that also includes such ideas as the folk wisdom of thrift, time and motion study, Taylorism, the
Efficiency Movement, and Fordism. Lean manufacturing is often seen as a more refined version
of earlier efficiency efforts, building upon the work of earlier leaders such as Taylor or Ford,
and learning from their mistakes.
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Overview
Lean principles come from the Japanese manufacturing industry. The term was first coined by
John Krafcik in a Fall 1988 article, “Triumph of the Lean Production System,” published in the Sloan
Management Review and based on his master’s thesis at the MIT Sloan School of Management.
Krafcik had been a quality engineer in the Toyota-GM NUMMI joint venture in California before
coming to MIT for MBA studies. Krafcik’s research was continued by the International Motor Vehicle
Program (IMVP) at MIT, which produced the international best-seller book co-authored by James
Womack, Daniel Jones, and Daniel Roos called The Machine That Changed the World.[1] A complete
historical account of the IMVP and the term “lean” was coined is given by Holweg (2007).
For many, Lean is the set of “tools” that assist in the identification and steady elimination of waste
(muda). As waste is eliminated quality improves while production time and cost are reduced.
Examples of such “tools” are Value Stream Mapping, Five S, Kanban (pull systems), and poka-yoke
(error-proofing).
There is a second approach to Lean Manufacturing, which is promoted by Toyota, in which the
focus is upon improving the “flow” or smoothness of work, thereby steadily eliminating mura
(“unevenness”) through the system and not upon ‘waste reduction’ per se. Techniques to improve
flow include production leveling, “pull” production (by means of kanban) and the Heijunka box. This
is a fundamentally different approach to most improvement methodologies which may partially
account for its lack of popularity.
The difference between these two approaches is not the goal itself, but rather the prime approach to
achieving it. The implementation of smooth flow exposes quality problems that already existed, and
thus waste reduction naturally happens as a consequence. The advantage claimed for this approach
is that it naturally takes a system-wide perspective, whereas a waste focus sometimes wrongly
assumes this perspective.
Both Lean and TPS can be seen as a loosely connected set of potentially competing principles
whose goal is cost reduction by the elimination of waste. These principles include: Pull processing,
Perfect first-time quality, Waste minimization, Continuous improvement, Flexibility, Building and
maintaining a long term relationship with suppliers, Autonomation, Load leveling and Production
flow and Visual control. The disconnected nature of some of these principles perhaps springs from
the fact that the TPS has grown pragmatically since 1948 as it responded to the problems it saw
within its own production facilities. Thus what one sees today is the result of a ‘need’ driven learning
to improve where each step has built on previous ideas and not something based upon a theoretical
framework.
Toyota’s view is that the main method of Lean is not the tools, but the reduction of three types
of waste: muda (“non-value-adding work”), muri (“overburden”), and mura (“unevenness”), to
expose problems systematically and to use the tools where the ideal cannot be achieved. From this
52
perspective, the tools are workarounds adapted to different situations, which explains any apparent
incoherence of the principles above.
Origins
Also known as the flexible mass production. The TPS has two pillar concepts: Just-in-time (JIT) or
“flow”, and “autonomation” (smart automation). . Adherents of the Toyota approach would say that the
smooth flowing delivery of value achieves all the other improvements as side-effects. If production
flows perfectly then there is no inventory; if customer valued features are the only ones produced,
then product design is simplified and effort is only expended on features the customer values. The
other of the two TPS pillars is the very human aspect of autonomation, whereby automation is
achieved with a human touch. The “human touch” here meaning to automate so that the machines/
systems are designed to aid humans in focusing on what the humans do best. This aims, for example,
to give the machines enough intelligence to recognize when they are working abnormally and flag
this for human attention. Thus, in this case, humans would not have to monitor normal production
and only have to focus on abnormal, or fault, conditions.
Lean implementation is therefore focused on getting the right things to the right place at the right
time in the right quantity to achieve perfect work flow, while minimizing waste and being flexible and
able to change. These concepts of flexibility and change are principally required to allow production
leveling, using tools like SMED, but have their analogues in other processes such as research and
development (R&D). The flexibility and ability to change are within bounds and not open-ended, and
therefore often not expensive capability requirements. More importantly, all of these concepts have
to be understood, appreciated, and embraced by the actual employees who build the products and
therefore own the processes that deliver the value. The cultural and managerial aspects of Lean are
possibly more important than the actual tools or methodologies of production itself. There are many
examples of Lean tool implementation without sustained benefit, and these are often blamed on
weak understanding of Lean throughout the whole organization.
Lean aims to make the work simple enough to understand, do and manage. To achieve these three
goals at once there is a belief held by some that Toyota’s mentoring process (loosely called Senpai
and Kohai), is one of the best ways to foster Lean Thinking up and down the organizational structure.
This is the process undertaken by Toyota as it helps its suppliers improve their own production. The
closest equivalent to Toyota’s mentoring process is the concept of “Lean Sensei”, which encourages
companies, organizations, and teams to seek outside, third-party experts, who can provide unbiased
advice and coaching, (see Womack et al., Lean Thinking, 1998).
There have been recent attempts to link Lean to Service Management, perhaps one of the most
recent and spectacular of which was London Heathrow Airport’s Terminal 5. This particular case
provides a graphic example of how care should be taken in translating successful practices from
one context (production) to another (services), expecting the same results. In this case the public
perception is more of a spectacular failure, than a spectacular success, resulting in potentially an
53
unfair tainting of the lean manufacturing philosophies.
Types of wastes
While the elimination of waste may seem like a simple and clear subject it is noticeable that waste
is often very conservatively identified. This then hugely reduces the potential of such an aim. The
elimination of waste is the goal of Lean, and Toyota defined three broad types of waste: muda, muri
and mura; it should be noted that for many Lean implementations this list shrinks to the last waste
type only with corresponding benefits decrease.
To illustrate the state of this thinking Shigeo Shingo observed that only the last turn of a bolt tightens
it—the rest is just movement. This ever finer clarification of waste is key to establishing distinctions
between value-adding activity, waste and non-value-adding work.[ Non-value adding work is
waste that must be done under the present work conditions. One key is to measure, or estimate, the
size of these wastes, in order to demonstrate the effect of the changes achieved and therefore the
movement towards the goal.
The “flow” (or smoothness) based approach aims to achieve JIT, by removing the variation caused by
work scheduling and thereby provide a driver, rationale or target and priorities for implementation,
using a variety of techniques. The effort to achieve JIT exposes many quality problems that are
hidden by buffer stocks; by forcing smooth flow of only value-adding steps, these problems become
visible and must be dealt with explicitly.
Muri is all the unreasonable work that management imposes on workers and machines because of
poor organization, such as carrying heavy weights, moving things around, dangerous tasks, even
working significantly faster than usual. It is pushing a person or a machine beyond its natural limits.
This may simply be asking a greater level of performance from a process than it can handle without
taking shortcuts and informally modifying decision criteria. Unreasonable work is almost always a
cause of multiple variations.
To link these three concepts is simple in TPS and thus Lean. Firstly, muri focuses on the preparation
and planning of the process, or what work can be avoided proactively by design. Next, mura then
focuses on how the work design is implemented and the elimination of fluctuation at the scheduling
or operations level, such as quality and volume. Muda is then discovered after the process is in place
and is dealt with reactively. It is seen through variation in output. It is the role of management to
examine the muda, in the processes and eliminate the deeper causes by considering the connections
to the muri and mura of the system. The muda and mura inconsistencies must be fed back to the
muri, or planning, stage for the next project.
A typical example of the interplay of these wastes is the corporate behaviour of “making the numbers”
as the end of a reporting period approaches. Demand is raised in order to ‘make plan’, increasing
(mura), when the “numbers” are low which causes production to try to squeeze extra capacity from
54
the process which causes routines and standards to be modified or stretched. This stretch and
improvisation leads to muri-style waste which leads to downtime, mistakes and backflows and
waiting, thus the muda of waiting, correction and movement.
The original seven muda are:
• Transportation (moving products that is not actually required to perform the processing)
• Inventory (all components, work-in-progress and finished product not being processed)
• Motion (people or equipment moving or walking more than is required to perform the
processing)
• Waiting (waiting for the next production step)
• Overproduction (production ahead of demand)
• Over Processing (due to poor tool or product design creating activity)
• Defects (the effort involved in inspecting for and fixing defects)
• Later an eighth waste was defined by Womack et al. (2003); it was described as manufacturing
goods or services that do not meet customer demand or specifications. Many others have added the
“waste of unused human talent” to the original seven wastes. These wastes were not originally a part
of the seven deadly wastes defined by Taiichi Ohno in TPS, but were found to be useful additions
in practice. For a complete listing of the “old” and “new” wastes see Bicheno and Holweg (2009).
Some of these definitions may seem rather idealistic, but this tough definition is seen as important
and they drove the success of TPS. The clear identification of non-value-adding work, as distinct
from wasted work, is critical to identifying the assumptions behind the current work process and to
challenging them in due course. Breakthroughs in SMED and other process changing techniques rely
upon clear identification of where untapped opportunities may lie if the processing assumptions are
challenged.
Lean implementation develops from TPS
The discipline required to implement Lean and the disciplines it seems to require are so often counter-
cultural that they have made successful implementation of Lean a major challenge. Some would say
that it was a major challenge in its manufacturing ‘heartland’ as well. Implementations under the
Lean label are numerous and whether they are Lean and whether any success or failure can be laid at
Lean’s door is often debatable. Individual examples of success and failure exist in almost all spheres
of business and activity and therefore cannot be taken as indications of whether Lean is particularly
applicable to a specific sector of activity. It seems clear from the “successes” that no sector is immune
from beneficial possibility.
55
Lean is about more than just cutting costs in the factory. One crucial insight is that most costs are
assigned when a product is designed, (see Genichi Taguchi). Often an engineer will specify familiar,
safe materials and processes rather than inexpensive, efficient ones. This reduces project risk, that is,
the cost to the engineer, while increasing financial risks, and decreasing profits. Good organizations
develop and review checklists to review product designs.
Companies must often look beyond the shop-floor to find opportunities for improving overall
company cost and performance. At the system engineering level, requirements are reviewed with
marketing and customer representatives to eliminate those requirements which are costly. Shared
modules may be developed, such as multipurpose power supplies or shared mechanical components
or fasteners. Requirements are assigned to the cheapest discipline. For example, adjustments may be
moved into software, and measurements away from a mechanical solution to an electronic solution.
Another approach is to choose connection or power-transport methods that are cheap or that used
standardized components that become available in a competitive market.
An example program
In summary, an example of a lean implementation program could be:
56
• Once you are satisfied that you have a habitual
• With a tools-based approach
program, consider introducing the next lean
• Senior management to agree and discuss
tool. Select the one which will give you the
their lean vision
biggest return for your business.
• Management brainstorm to identify
• With a muri or flow based approach (as used in
project leader and set objectives
the TPS with suppliers.
• Communicate plan and vision to the
• Sort out as many of the visible quality problems
workforce
as you can, as well as downtime and other
• Ask for volunteers to form the Lean
instability problems, and get the internal scrap
Implementation team (5-7 works best, all
acknowledged and its management started.
from different departments)
• Make the flow of parts through the system
• Appoint members of the Lean
or process as continuous as possible using
Manufacturing Implementation Team
workcells and market locations where
• Train the Implementation Team in the
necessary and avoiding variations in the
various lean tools - make a point of trying
operators work cycle
to visit other non competing businesses
• Introduce standard work and stabilise the work
which have implemented lean
pace through the system
• Select a Pilot Project to implement – 5S is a
• Start pulling work through the system, look at
good place to start
the production scheduling and move towards
• Run the pilot for 2–3 months - evaluate,
daily orders with kanban cards
review and learn from your mistakes
• Even out the production flow by reducing
• Roll out pilot to other factory areas
batch sizes, increase delivery frequency
• Evaluate results, encourage feedback
internally and if possible externally, level
• Stabilize the positive results by teaching
internal demand
supervisors how to train the new standards
• Improve exposed quality issues using the tools
you’ve developed with TWI methodology
• Remove some people (or increase quotas)
(Training Within Industry)
and go through this work again (the Oh No !!
moment)
Lean leadership
The role of the leaders within the organization is the fundamental element of sustaining the progress
of lean thinking. Experienced kaizen members at Toyota, for example, often bring up the concepts
of Senpai, Kohai, and Sensei, because they strongly feel that transferring of Toyota culture down and
across the Toyota can only happen when more experienced Toyota Sensei continuously coach and
guide the less experienced lean champions. Unfortunately, most lean practitioners in North America
focus on the tools and methodologies of lean, versus the philosophy and culture of lean. Some
exceptions include Shingijitsu Consulting out of Japan, which is made up of ex-Toyota managers,
and Lean Sensei International based in North America, which coaches lean through Toyota-style
cultural experience.
One of the dislocative effects of Lean is in the area of key performance indicators (KPI). The KPIs
by which a plant/facility are judged will often be driving behaviour, because the KPIs themselves
57
assume a particular approach to the work being done. This can be an issue where, for example a
truly Lean, Fixed Repeating Schedule (FRS) and JIT approach is adopted, because these KPIs will
no longer reflect performance, as the assumptions on which they are based become invalid. It is
a key leadership challenge to manage the impact of this KPI chaos within the organization. A set
of performance metrics which is considered to fit well in a Lean environment is Overall Equipment
Effectiveness, or OEE.
Similarly, commonly used accounting systems developed to support mass production are no longer
appropriate for companies pursuing Lean. Lean Accounting provides truly Lean approaches to
business management and financial reporting.
Key focus areas for leaders are
• PDCA thinking
• Genchi Genbutsu “go and see” philosophy
• Process confirmation
Differences from TPS

Whilst Lean is seen by many as a generalization of the Toyota Production System into other
industries and contexts there are some acknowledged differences that seem to have developed in
implementation.
1. Seeking profit is a relentless focus for Toyota exemplified by the profit maximization
principle (Price – Cost = Profit) and the need, therefore, to practice systematic cost reduction (through
TPS or otherwise) in order to realize benefit. Lean implementations can tend to de-emphasise
this key measure and thus become fixated with the implementation of improvement concepts of
“flow” or “pull”. However, the emergence of the ”value curve analysis” promises to directly tie lean
improvements to bottom-line performance measuments.20
2. Tool orientation is a tendency in many programs to elevate mere tools (standardized work,
value stream mapping, visual control, etc.) to an unhealthy status beyond their pragmatic intent. The
tools are just different ways to work around certain types of problems but they do not solve them
for you or always highlight the underlying cause of many types of problems. The tools employed at
Toyota are often used to expose particular problems that are then dealt with, as each tool’s limitations
or blindspots are perhaps better understood. So, for example, Value Stream Mapping focuses upon
material and information flow problems (a title built into the Toyota title for this activity) but is not
strong on Metrics, Man or Method. Internally they well know the limits of the tool and understood
that it was never intended as the best way to see and analyze every waste or every problem related
to quality, downtime, personnel development, cross training related issues, capacity bottlenecks, or
58
anything to do with profits, safety, metrics or morale, etc. No one tool can do all of that. For surfacing
these issues other tools are much more widely and effectively used.
3. Management technique rather than change agents has been a principle in Toyota from
the early 1950s when they started emphasizing the development of the production manager’s and
supervisors’ skills set in guiding natural work teams and did not rely upon staff-level change agents
to drive improvements. This can manifest itself as a ”Push” implementation of Lean rather than ”Pull”
by the team itself. This area of skills development is not that of the change agent specialist, but
that of the natural operations work team leader. Although less prestigious than the TPS specialists,
development of work team supervisors in Toyota is considered an equally, if not more important,
topic merely because there are tens of thousands of these individuals. Specifically, it is these
manufacturing leaders that are the main focus of training efforts in Toyota since they lead the daily
work areas, and they directly and dramatically affect quality, cost, productivity, safety, and morale of
the team environment. In many companies implementing Lean the reverse set of priorities is true.
Emphasis is put on developing the specialist, while the supervisor skill level is expected to somehow
develop over time on its own.
KAIZEN
Kaizen (Japanese for “improvement”) is a Japanese philosophy that focuses on continuous
improvement throughout all aspects of life. When applied to the workplace, Kaizen activities
continually improve all functions of a business, from manufacturing to management and from the
CEO to the assembly line workers. By improving standardized activities and processes, Kaizen aims
to eliminate waste (see Lean manufacturing). Kaizen was first implemented in several Japanese
businesses during the country’s recovery after World War II and has since spread to businesses
throughout the world
Introduction
Kaizen is a daily activity, the purpose of which goes beyond simple productivity improvement. It
is also a process that, when done correctly, humanizes the workplace, eliminates overly hard work
(”muri”), and teaches people how to perform experiments on their work using the scientific method
and how to learn to spot and eliminate waste in business processes. The philosophy can be defined
as bringing back the thought process into the automated production environment dominated by
repetitive tasks that traditionally required little mental participation from the employees.
People at all levels of an organization can participate in kaizen, from the CEO down, as well as
external stakeholders when applicable. The format for kaizen can be individual, suggestion system,
small group, or large group. At Toyota, it is usually a local improvement within a workstation or local
area and involves a small group in improving their own work environment and productivity. This
group is often guided through the kaizen process by a line supervisor; sometimes this is the line
59
supervisor’s key role.
While kaizen (at Toyota) usually delivers small improvements, the culture of continual aligned
small improvements and standardization yields large results in the form of compound productivity
improvement. Hence the English usage of “kaizen” can be: “continuous improvement” or “continual
improvement.” Literally, it translates to: “good change.”
This philosophy differs from the “command-and-control” improvement programs of the mid-
twentieth century. Kaizen methodology includes making changes and monitoring results, then
adjusting. Large-scale pre-planning and extensive project scheduling are replaced by smaller
experiments, which can be rapidly adapted as new improvements are suggested.
In modern usage, a focused kaizen that is designed to address a particular issue over the course of a
week is referred to as a “kaizen blitz” or “kaizen event”. These are limited in scope, and issues that arise
from them are typically used in later blitzes. Extracts from Wikipedia
6. Learning Organization (2)
A Learning Organization is the term given to a company that facilitates the learning of its members
and continuously transforms itself. Learning Organizations develop as a result of the pressures facing
modern organizations and enables them to remain competitive in the business environment. A
Learning Organization has five main features; systems thinking, personal mastery, mental models,
shared vision and team learning.
Definition of a Learning Organization

There are varying definitions of a Learning Organization in published literature, although the core
concept between them all remains clear and has been summarised by Pedler et al. as, “an organization
that facilitates the learning of all its members and continuously transforms itself”. Pedler et al
later redefined this concept to “an organization that facilitates the learning of all its members and
consciously transforms itself and its context”, reflecting the fact that change should not happen just
for the sake of change, but should be well thought out. Some definitions are broader and encompass
all kinds of organizational change rather than just change through learning, whereas others include
specifics about how a Learning Organization works. Senge defines Learning Organizations as
“Organizations where people continually expand their capacity to create the results they truly desire,
where new and expansive patterns of thinking are nurtured, where collective aspiration is set free,
and where people are continually learning to learn together.”
Why do Learning Organizations develop?
60
Organizations do not organically develop into Learning Organizations; there are usually factors
prompting their change. It has been found that as organizations grow, they lose their natural
capacity to learn as company structures and individual thinking becomes rigid.When problems arise
in the company, the solutions that are proposed often turn out to be only short term (single loop
learning) and re-emerge in the future. In order to remain competitive, a lot of organizations have
faced restructurings which have resulted in fewer people in the company and this means that those
who remain need to be used more effectively. To create a competitive advantage, companies need
to be able to learn faster than their competitors and also develop a customer responsive culture.
Argyris identified that in light of these pressures, modern organizations need to maintain knowledge
about new products and processes, understand what is happening in the outside environment
and produce creative using the knowledge and skills of all employed within the organization. This
requires co-operation between individuals and groups, free and reliable communication, and a
culture of trust. These needs can be met through embracing the tenets of the Learning Organization.
Benefits of being a Learning Organization

There are many benefits to improving learning capacity and knowledge sharing within an
organization. The main benefits are;
• Maintaining levels of innovation and remaining competitive
• Being better placed to respond to external pressures
• Having the knowledge to better link resources to customer needs
• Improving quality of outputs at all levels
• Improving corporate image by becoming more people orientated
• Increasing the pace of change within the organization
Characteristics of a Learning Organization

A Learning Organization exhibits five main characteristics; systems thinking, personal mastery,
mental models, a shared vision and team learning.
Systems thinking
The idea of the Learning Organization originally developed from a body of work called systems
thinking. This is a conceptual framework that allows people to study businesses as bounded objects.
Learning Organizations employ this method of thinking when assessing their company and will have
developed information systems that measure the performance of the organization as a whole and
of its various components. Systems thinking also states that all the characteristics listed need to be
61
apparent at once in an organization in order to be a Learning Organization. If one or more of these
characteristics is missing then the organisation will fall short of its goal. However O’Keeffee believes
that the characteristics of a Learning Organisation are factors that are gradually acquired, rather than
developed simultaneously.
Personal mastery
Personal mastery is the commitment by an individual to the process of learning. There is a competitive
advantage for an organisation whose workforce can learn quicker than the workforce of other
organisations. Individual learning is acquired through staff training and development, however
learning cannot be forced upon an individual if he or she is not receptive to learning. Research has
shown that most learning in the workplace is incidental, rather than the product of formal training,
therefore it is important to develop a culture where personal mastery is practiced in daily life. A
Learning Organisation has been described as the sum of individual learning, but it is important for
there to be mechanisms by which individual learning is transferred into organisational learning.
Mental models
Mental models are the terms given to ingrained assumptions held by individuals and organisations.
In order to have become a Learning Organisation, these mental models will have been challenged.
Individuals tend to have espoused theories, which they intend to follow, and theories-in-use which
is what they actually do. Similarly, organisations tend to have ‘memories’ which preserve certain
behaviours, norms and values. In the creation of a learning environment it is important to replace
confrontational attitudes with an open culture that promotes inquiry and trust. In order to achieve
this the Learning Organisation will have mechanisms for locating and assessing organisational
theories of action. If there are unwanted values held by the organisation, these need to be discarded
in a process called ‘unlearning’. Wang and Ahmed refer to this as ‘triple loop learning.’
Shared vision
The development of a shared vision is important in incentivising the workforce to learn as it creates a
common identity which can provide focus and energy for learning. The most successful visions build
on the individual visions of the employees at all levels of the organisation and the creation of a shared
vision is likely to be hindered by traditional structures where a company vision is imposed from
above As a result, Learning Organisations tend to have flat, decentralised organisational structures.
The topic of shared vision is often to succeed against a competitor, however Senge states that these
are transitory goals and suggests that there should also be long term goals that are intrinsic within
the company.
Team learning
62
Team learning is the accumulation of individual learning. The benefit of sharing individual learning
is that employees grow more quicklyand the problem solving capacity of the organisation is
improved through better access to knowledge and expertise. Learning Organisations have
structures that facilitate team learning with features such as boundary crossing and openness.
Team learning requires individuals to engage in dialogue and discussion, therefore it is important
that team members develop open communication, shared meaning and understanding. Learning
Organisations also have excellent knowledge management structures which allow the creation,
acquisition, dissemination and implementation of this knowledge throughout the organisation.
Problems/issues that may be encountered in a Learning Organisation

Even within a Learning Organisation, problems may be encountered that stall the process of learning
or cause it to regress. Most of the problems arise from an Organisation not fully embracing all the
facets outlined above that are necessary in a Learning Organisation. If these problems can be
identified, work can begin on improving them.
Organisational barriers to learning

Some organisations can find it hard to embrace personal mastery because as a concept it is intangible
and the benefits cannot be quantified. Additionally, personal mastery can be seen as a threat to the
organisation. This threat can be real, as Senge points out, that “to empower people in an unaligned
organisation can be counterproductive”. In other words, if individuals do not engage with a shared
vision, personal mastery could be used to advance their own vision. In some organisations a lack of
a pro-learning culture can be a barrier to learning. It is important that an environment is created in
which individuals can share their learning without it being devalued and ignored so that more people
can benefit from their knowledge and the individual becomes empowered. A Learning Organisation
needs to fully embrace the removal of traditional hierarchical structures. These are a barrier to the
development of shared vision and to the sharing of knowledge
Individual barriers to learning

Resistance to learning can occur within a Learning Organisation if there is not sufficient buy in at
an individual level. This is often encountered by people who feel threatened by change or believe
that they have the most to lose. The same people who feel threatened by change are likely to have
closed mind sets are not willing to embrace engagement with mental models. Unless implemented
coherently across the whole organisation, learning can be viewed as elitist and restricted to more
senior levels within the organisation. If this is the case, learning will not be viewed as a shared visionIf
training and development is compulsory, it can be viewed as a form of control, rather than a form
of personal development. Learning and the pursuit of personal mastery needs to be an individual
choice, therefore enforced take up will not work.
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Agenda day
7. Knowledge Management (2)
Knowledge Management (KM) comprises a range of practices used in an organisation to

identify, create, represent, distribute and enable adoption of insights and experiences.
Such insights and experiences comprise knowledge, either embodied in individuals or
embedded in organisational processes or practice.
An established discipline since 1991 (see Nonaka 1991), KM includes courses taught in
the fields of business administration, information systems, management, and library
and information sciences (Alavi & Leidner 1999). More recently, other fields have
started contributing to KM research; these include information and media, computer
science, public health, and public policy.
Many large companies and non-profit organisations have resources dedicated to internal
KM efforts, often as a part of their ‘Business Strategy’, ‘Information Technology’, or
‘Human Resource Management’ departments (Addicott, McGivern & Ferlie
2006). Several consulting companies also exist that provide strategy and
advice regarding KM to these organisations.
KM efforts typically focus on organisational objectives such as

improved performance, competitive advantage, innovation, the
sharing of lessons learned, and continuous improvement of the
organisation. KM efforts overlap with Organisational Learning, and
may be distinguished from that by a greater focus on the management
of knowledge as a strategic asset and a focus on encouraging the
sharing of knowledge. KM efforts can help individuals and groups
to share valuable organisational insights, to reduce redundant work,
to avoid reinventing the wheel per se, to reduce training time for new
employees, to retain intellectual capital as employees turnover in an
organisation, and to adapt to changing environments and markets (McAdam
& McCreedy 2000)(Thompson & Walsham 2004).
Dimensions
Different frameworks for distinguishing between knowledge exist. One proposed
framework for categorising the dimensions of knowledge distinguishes between
tacit knowledge and explicit knowledge. Tacit knowledge represents internalised
knowledge that an individual may not be consciously aware of how he or she
accomplishes particular tasks. At the opposite end of the spectrum, explicit
knowledge represents knowledge that the individual holds consciously in
mental focus, in a form that can easily be communicated to others.[8] (Alavi &
Leidner 2001).
Early research suggested that a successful KM effort needs to convert internalised

tacit knowledge into explicit knowledge in order to share it, but the same effort
must also permit individuals to internalise and make personally meaningful
any codified knowledge retrieved from the KM effort. Subsequent research into
64
Agenda day
KM suggested that a distinction between tacit knowledge and explicit knowledge represented an
oversimplification and that the notion of explicit knowledge is self-contradictory. Specifically, for
knowledge to be made explicit, it must be translated into information (i.e., symbols outside of our
heads) (Serenko & Bontis 2004).
A second proposed framework for categorising the dimensions of knowledge distinguishes between
embedded knowledge of a system outside of a human individual (e.g., an information system may
have knowledge embedded into its design) and embodied knowledge representing a learned
capability of a human body’s nervous and endocrine systems (Sensky 2002).
A third proposed framework for categorising the dimensions of knowledge distinguishes between
the exploratory creation of “new knowledge” (i.e., innovation) vs. the transfer or exploitation of
“established knowledge” within a group, organisation, or community. Collaborative environments
such as communities of practice or the use of social computing tools can be used for both knowledge
creation and transfer
Strategies
Knowledge may be accessed at three stages: before, during, or after KM-related activities. Different
organisations have tried various knowledge capture incentives, including making content submission
mandatory and incorporating rewards into performance measurement plans. Considerable
controversy exists over whether incentives work or not in this field and no consensus has emerged.
One strategy to KM involves actively managing knowledge (push strategy). In such an instance,
individuals strive to explicitly encode their knowledge into a shared knowledge repository, such as
a database, as well as retrieving knowledge they need that other individuals have provided to the
repository.
Another strategy to KM involves individuals making knowledge requests of experts associated with
a particular subject on an ad hoc basis (pull strategy). In such an instance, expert individual(s) can
provide their insights to the particular person or people needing this (Snowden 2002).
Other knowledge management strategies for companies include:
• rewards (as a means of motivating for knowledge sharing)
• storytelling (as a means of transferring tacit knowledge)
• cross-project learning
• after action reviews
• knowledge mapping (a map of knowledge repositories within a company

accessible by all)
• communities of practice
• best practice transfer
• competence management (systematic evaluation and planning of

competences of individual organization members)
65
• proximity & architecture (the physical situation of employees can be either conducive or
obstructive to knowledge sharing)
• master-apprentice relationship
• collaborative technologies (groupware, etc)
• knowledge repositories (databases, etc)
• measuring and reporting intellectual capital (a way of making explicit knowledge for companies)
• knowledge brokers (some organizational members take on responsibility for a specific “field” and
act as first reference on whom to talk about a specific subject)
• social software (wikis, social bookmarking, blogs, etc)
Motivations
• A number of claims exist as to the motivations leading organisations to undertake a KM effort.
Typical considerations driving a KM effort include:
• Making available increased knowledge content in the development and provision of products
and services
• Achieving shorter new product development cycles
• Facilitating and managing innovation and organisational learning
• Leveraging the expertise of people across the organisation
• Increasing network connectivity between internal and external individuals
• Managing business environments and allowing employees to obtain relevant insights and ideas
appropriate to their work
• Solving intractable or wicked problems
• Managing intellectual capital and intellectual assets in the workforce (such as the expertise and
know-how possessed by key individuals)
Debate exists whether KM is more than a passing fad, though increasing amount of research in this
field may hopefully help to answer this question, as well as create consensus on what elements of KM
help determine the success or failure of such efforts (Wilson 2002).
Technologies
Early KM technologies included online corporate yellow pages as expertise locators and document
management systems. Combined with the early development of collaborative technologies (in
particular Lotus Notes), KM technologies expanded in the mid-1990s. Subsequent KM efforts
leveraged semantic technologies for search and retrieval and the development of e-learning tools
66
for communities of practice (Capozzi 2007).
More recently, development of social computing tools (such as blogs and wikis) have allowed
more unstructured, self-governing or ecosystem approaches to the transfer, capture and creation
of knowledge, including the development of new forms of communities, networks, or matrixed
organisations. However such tools for the most part are still based on text and code, and thus
represent explicit knowledge transfer. These tools face challenges in distilling meaningful re-usable
knowledge and ensuring that their content is transmissible through diverse channels (Andrus 2005).
Extracts from Wikipedia
------------
Before handing out the below pre-assignment you have to add a list of the students’ names and make
sure that all participants know what to prepare. Be aware that not all theories are equally relevant.
67
Pre-Assignment
Please read the articles handed out for the following management theories. You may choose to read
supplementary literature in order to achieve a full understanding of the theory in question.
1. Service Management (1)
2. Management by Objectives (1)
3. Value based Management (1)
4. Quality Management (1) and Total Quality Management (2)
5. Business Excellence Model (2)
6. Balanced Scorecard (1)
7. Balanced Scorecard (1)
8. Lean and Kaizen (2)
9. Learning Organization (2)
10. Knowledge Management (2)
Be aware that the theories are not equally relevant for this module. Therefore, you should give your
reading priority according to this ranking:
(1): Very important. By the end of the first week-end students are expected to be able fully to
understand this theory and to apply it.
(2): Important. By the end of the first week-end students are expected to be able to describe the main
principles of this theory.
All participants are supposed to be familiar with all the theories. However, please put a special focus
on the theory mentioned below for your participant No.
Student 1, 2, 3, 4: Service Management
Student 5, 6, 7, 8: Management by Objectives
Student 9, 10, 11, 12: Value Based Management
Student 13, 14, 15, 16: Quality Management and Total Quality Management
Student 17, 18, 19, 20: Business Engineering Model and Balanced Scorecard
Student 21, 22, 23, 24: Lean and Kaizen
68
Student 25, 26, 27: Learning Organization
Student 28, 29, 30: Knowledge Management
69
AGENDA DAY 2
Agenda Day Two
Time Contents
Session 1:
Opening of day 2:
08.00-08.30 • Agenda for day 2
• Practical issues
• Repetition
Session 2:
Strategic Leadership Theories (continued):

08.00-11.00 • Presentations
• Summing up
Session 3:
11.00-12.00
Corporate Culture
Lunch Break
12.00-13.00
Session 3 (Continued):
14.00-16.00 Corporate Culture
Session 4:
16.00-16.45
Staff Policy - introduction
Session 5:
16.45-17.00 Workshop Wrap-Up
72
Session 1: Opening of Day Two
Opening of day 2:
• Agenda for day 2
• Repetition
Session 2: Management theories (continued)

The following comments and key terms may be a help to sum up the leadership theories:
Views on leardership and management tools and theories

M Service management
a Customer Service
n Mgm. By Objectives,
a Balanced scorecard Objective & Strategy
g
e Quality F
Quality Work
m O
Business
e
TQM, Business GOAL C
n
Excellence Wholeness U
t
Processes
S
T BPR, Lean, Kaizen
h Values
e Value based management
o Knowledge and Learning
r Learning Organization
y Knowledge Management
Service Management
Service Management focuses on customers and customer satisfaction.
73
The road to success for the company goes through
high customer satisfaction, not least when the front
staff shows active service-minded-ness.
The point is to live up to the expectations of your
customers and then give them a little extra.
Internally: Treat your colleagues as ‘internal

customers’ and use ‘internal marketing’ as a means of
communication.
Management by Objectives
Mục đích chính của tổ chức
Mục tiêu cho các lĩnh vực/ sở , ban, ngành
Mục tiêu hoạt động cho mỗi nhân công
Thường xuyên theo dõi Sau khi hoàn thành: đánh giá về
các mục tiêu và thiết lập mục tiêu
mới
Advantages:
• Goals and frameworks - reduces the need for rules
• Provides a focus on goals and their importance
• The individual employee is aware of his/her share in the obligations concerning the
objectives
One of the key assumptions:

• Careful formulation of objectives will lead in the right direction for business as a whole
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Balanced Scorecard (BSC)
BSC is a means of management measurement rather that a theory.
BSC aims at combining goals and strategies with the daily operation. BSC is a set of objectives and
activities which aims at implementing strategy into practice.
BSC typically deals with measuring instruments in the following areas:

• Finance (income, growth, etc.)
• Customers (segments, market share, etc.)
• Internal processes (process times, inventories, etc.)
• Employees (measurements of atmosphere and environment, skills, etc.)
BSC can be used as an indicator whether the direction of the strategy has been followed, moved,
and developed. BSC measures performance and efforts as well as results and can therefore serve as
an ‘early warning’.
Quality Work
Quality Work puts focus on a description of the company’s business processes and work flows.
This work means an increased transparency in the way the company manages its processes, and
can therefore serve as a solid basis for improvements.
Quality work can be certified (ISO 9000 standards, etc.) and often this become an important
marketing asset for companies in some industries.
Total Quality Management
Defined as ...
“A company culture that is characterized by increased customer satisfaction through continuous

improvement, and where all employees in the company actively participate. (Dahlgaard et al: Total
Quality and Management).
Related to ....
Business Excellence (EFQM)
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is when a business through conscious efforts continuously achieves “excellent”
• Employee Results
• Customer Results
• Socio-Economic Results
• Business Results
Excellence Model = a holistic tool for self-evaluation
Stakes Results
Employee
Employees
results
Leadership Processes Key

Policy and Customer
results
strategy results
Partnership
and Society
resources results
Innovation and Learning
Business Process Reengineering (BPR)
A method which focuses on the (horizontal) value-added processes in the company:

• Revolution rather than evolution ( “quantum leap”)
• Start with a blank piece of paper
Lean Management
• One set of efforts to provide the optimal production process

• Focusing on waste, delays, lack of value, just-in-time, production time, etc.
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• Example: When producing new products: The way from getting the idea to final products.
Kaizen
• Japanese philosophy focusing on continuous improvement

• What can I do better today than I did yesterday
Value Based Management
In today’s complex and changing world business becomes increasingly difficult to manage
according to directives and procedures.
Employees must have the power to make their own decisions here and now.
One way to ensure comprehensive and common direction in all these decisions may be value
based leadership (VBL), where organization, managers and employees have a common ground –
namely the basis of values. (Peter Beyer: Value Based Management)
Learning Organization
” The only sustainable competitive advantage in the future is the ability to learn faster than your
competitors. “.”
Lars Kolind
Humanitarian view:
• The Inquisitive Man: meaning, direction, vision

• The Structured Man: Understands wholeness, broadminded, sees
patterns and structures
• The Learner: In favor of an unbiased culture, challenging, possesses
curiosity, and appreciates new ideas
• The Competent Man: High self-esteem and no apprehensions
• The Cooperating Man: Learning occurs faster in teams
• The Influential Man: influencing and possessing insight, self-control
in various situations
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The 5 critical success factors, according to Senge:
1. Team Learning: The art of doing things together. Teams and not individuals are the foundation
of an organization.
2. Personal vision: To have a personal vision and ability to put his energy into pursuing his vision –
that is about empowerment (self ).
3. Mental models: Our ideas about the world and how people react. These are the basis of our
actions and are “dangerous” if they are out of touch with reality.
4. Joint visions: Important for the company to have a joint picture of the world and a shared vision
for the future. A precondition for this is to create a true and joint commitment.
5. System Thinking: Organization is regarded as a whole. This is a precondition to understand the
complex and dynamic contexts.
Knowledge Management
Knowledge Management - Supplement to the financial accounts

Knowledge is perhaps the most important competition parameter
The company’s market value:

The company’s ‘booked value’ + Corporate knowledge capital
The total knowledge capital :
Human Capital Employees

Procedures, processes, and administrative
Organizational capital
systems
Customer Capital Customer loyalty, product brand and image
Components of knowledge management:
• Knowledge narrative (story)

• Leadership Challenge
• Actions and Efforts
• Indicators
• Accounts of knowledge
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The knowledge narrative expresses how the company’s services and/or products create value for
the user / customer, and to what degree efforts and activities in the company actually form the
condition for this value.
Examples:
Systematic: - helps their customers to keep their IT specialists by using ‘a model for cooperation
Carl Bro: - Utilization of multidisciplinary know-how
Mobile Service: - Secure set up-> benefit the customer and client customer
Organic Vegetables: - grown by ecologists
Find your own examples and cases.
Leadership Challenge
Which existing knowledge resources should be strengthened?

What new knowledge resources are needed?
Examples:
• Do we have enough knowledge about our customers’ needs?

• Internal co-operation processes in the company?
• Image and credibility?
• Competitor information?
• Recruitment of key employees?
Actions:
• Employees, Customers, Processes, Technology
Efforts and Indicators (Actions and Measurement)
Examples:
A customer satisfaction survey
- Analyze the results
Multidisciplinary project teams

- Measuring lead (time) for projects
Attract 5 new key employees

- All to be still employed after one year
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Knowledge accounts reveals:
Knowledge Narrative: Utility value, Production

conditions, and knowledge resources
Leadership Challenges
The efforts that have been initiated
and may also include:
Business Description in general

Values-, mission-, and vision statements, and strategies,
etc.
Specific projects and focus areas
Knowledge Accounts are developed when a company wants to measure the effects of knowledge
management and communication about this internally in the organization as well as and
externally.
Session 3: Corporate Culture
For the topic Corporate Culture has been developed an e-learning module covering the following
sub-topics:
Topic 1: Hofstede’s Power Structures in Society

Topic 2: Cultural Impact
Topic 3: Three Levels of Culture
Topic 4: Corporate Culture and Change Management (merging of companies)
Obviously, we still meet big differences or local representations of global culture phenomena in
society in general and, of course, also within organizations. No doubt, organizational culture is
influenced by culture in general in society. When dealing with corporate cultures we therefore have
to discuss prevailing norms, customs, politics, etc. in the surrounding society, the impact of culture
in society on organizational culture, what part of culture is visible and what is not, and finally the
importance of cultural differences in case of the merging of companies.
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It is important to keep in mind that corporate culture or organizational culture is a comprehensive
issue, covering both formal and informal power structures of the organization as well as basic
attitudes, norms, and values in society, multicultural discussions, geographical, and national cultures.
For this course we can cover but a brief introduction to the theories we find most important when
discussing corporate culture and the theories most often referred to. These theories are Geert
Hofstede’s Five Cultural Dimensions theory and Edgar Schein’s Three Level Model.
The two theories will be covered in the following sub-topics:

1. Hofstede’s Power Structures in Society.

For the topic Corporate Culture has been developed an e-learning module covering the following sub-
topics:
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Assignment - individual
Based on Hofstede’s 5 dimensions of power structures (see textbook Stordal / Sorensen) please
consider the following questions:
1. How is the power distance in your society / your work place?

How is the power distance in the co-operating countries of your work place, if any?
Find examples to illustrate your opinion.
2. How is the feminine-masculine dominance in your country / your work place?

How is feminine-masculine dominance in the co-operating countries of your work place, if any?
Find examples to illustrate your opinion.
Your considerations are supposed to be used in a follow-up discussion in groups in class.
Assignment - Group Work

Work in groups of 3-4 persons.
The individual members of the group present the results of their homework.
After having finished that, please choose among the examples of the group
1. a good example of low power distance and a good example of high power distance.
2. a good example of low masculine-feminine dominance and a good example of high masculine-
feminine dominance.
The examples may apply to either your own country or a country abroad.
Compare the examples with Hofstede’s study? Do you agree?
Prepare an oral presentation for your fellow students.
Background information:
“Culture is more often a source of conflict than of synergy. Cultural differences are a nuisance at best and
often a disaster.
For those who work in international business, it is sometimes amazing how different people in other
cultures behave. We tend to have a human instinct that ‘deep inside’ all people are the same - but they are
not. Therefore, if we go into another country and make decisions based on how we operate in our own
home country - the chances are we’ll make some very bad decisions.”
Prof. Geert Hofstede, Emeritus Professor, Maastricht University.
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Hofstede’s studies include the identification and
definition of groups, tribes, territories, national
minorities or nations and he argues that they all
possess specific features and behavior which can
be opposed to other similar groups.
Hofstede’s IBM study in the 70s of the position

of management, collaboration, organization,
individualism, etc. have been widely used
by companies when different cultures meet.
Hofstede’s framework for assessing culture
includes the following five dimensions:
Power Distance
• Individualism vs. collectivism

• Masculinity vs. femininity
• Uncertainty avoidance
• Long vs. short term orientation
The five dimensions of culture in his study of national work related values can be defined as follows:
• Low vs. High Power Distance - the extent to which the less powerful members of institutions
and organizations expect and accept that power is distributed unequally. Low power
distance (e.g. Austria, Australia, Denmark, New Zealand) expect and accept power
relations that are more consultative or democratic. People relate to one another more as
equals regardless of formal positions. Subordinates are more comfortable with and demand
the right to contribute to and critique the decision making of those in power. In High power
distance countries (e.g. Malaysia and other Asian countries), less powerful accept power
relations that are more autocratic and paternalistic. Subordinates acknowledge the power of
others simply based on where they are situated in certain formal, hierarchical positions. As
such, the Power Distance Index Hofstede defines does not reflect an objective difference in
power distribution, but rather the way people perceive power differences. In Europe, Power
Distance tends to be lower in Northern countries and higher in Southern and Eastern
parts. There seems to be an admittedly disputable correlation with predominant religions.

• Individualism vs. collectivism - individualism is contrasted with collectivism, and refers to

the extent to which people are expected to stand up for themselves and to choose their
own affiliations, or alternatively act predominantly as a member of a life-long group or
organization. Latin American cultures rank among the most collectivist in this category, while
Anglo countries such as the U.S.A., Great Britain and Australia are the most individualistic
cultures.
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• Masculinity vs. femininity - refers to the value placed on traditionally male or female values (as
understood in most Western cultures). So called ’masculine’ cultures value competitiveness,
assertiveness, ambition, and the accumulation of wealth and material possessions, whereas
feminine cultures place more value on relationships and quality of life. Japan is considered
by Hofstede to be the most ”masculine” culture (replaced by Slovakia in a later study),
Sweden the most ”feminine.” Anglo cultures are moderately masculine. As a result of the
taboo on sexuality in many cultures, particularly masculine ones, and because of the obvious
gender generalizations implied by Hofstede’s terminology, this dimension is often renamed
by users of Hofstede’s work, e.g. to Quantity of Life vs. Quality of Life. Another reading of the
same dimension holds that in ’M’ cultures, the differences between gender roles are more
dramatic and less fluid than in ’F’ cultures

• Uncertainty avoidance - reflects the extent to which members of a society attempt to cope
with anxiety by minimizing uncertainty. Cultures that scored high in uncertainty avoidance
prefer rules (e.g. about religion and food) and structured circumstances, and employees
tend to remain longer with their present employer. Mediterranean cultures, Latin America,
and Japan rank the highest in this category. Geert Hofstede added the following fifth (5th)
dimension after conducting an additional international study using a survey instrument
developed with Chinese employees and managers. That survey resulted in addition of the
Confucian dynamism. Subsequently, Hofstede described that dimension as a culture’s long-
term Orientation. .
• Long vs. short term orientation - describes a society’s ”time horizon,” or the importance attached
to the future versus the past and present. High Long-Term Orientation ranking indicates the
country prescribes to the values of long-term commitments and respect for tradition. This is
thought to support a strong work ethic where long-term rewards are expected as a result of
today’s hard work. However, business may take longer to develop in this society, particularly
for an ”outsider”. A Short-Term Orientation ranking indicates the country does not reinforce
the concept of long-term, traditional orientation. In this culture, change can occur more
rapidly as long-term traditions and commitments do not become impediments to change.
China, Japan and the Asian countries score especially high (long-term) here, with Western
nations scoring rather low (short-term) and many of the less developed nations very low;
China scored highest and Pakistan lowest.
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These cultural differences describe averages or tendencies and not characteristics of individuals. A
Japanese person for example can have a very low ’uncertainty avoidance’ compared to a Filipino
even though their ’national’ cultures point strongly in a different direction. Consequently, a country’s
scores should not be interpreted as deterministic.
Wikipedia
Hofstede’s definition of culture should not be taken as the only “truth” – however, we may still use his
study to become aware of differences within the five areas respectively.
It becomes still more difficult to define culture. In the 70s cultural research focused on the concept
of ‘multicultural societies’ when it was still possible to define different cultures living side by side.
From the 90s and onwards it has been increasingly evident how difficult or rather impossible it is to
define national cultures or other geographical cultures in the hyper complex society of which we
are part. Globalization trends, and not least technological developments within the communication
and information media, make it still more difficult to assign specific values, attitudes, practices and
standards to specific groups. Perhaps the two professors, and experienced researches within the field
of culture, Anthony Giddens and Lars Qvortrup, are right when they argue that it is absolutely no
longer possible to define culture as belonging to a specific group. However, some of the Hofstede’s
power structures may still be in force and valid even though his studies should not be used to
generalize about any national or other geographical group of people.
2. Cultural Impact
sub-topics:

Organizational cultures can be shaped by society through its employees and their experience
of society, through legislation, politics etc. – and corporate or organizational cultures may also
influence the surrounding culture in society as a whole – however in rare cases. In the below
illustration you will find a dotted line around the ’organization’ circle to show that an organization
may be only partly affected by the surrounding society – depending, of course, on the composition
of the work force and the management. In many International companies you will find employees
with different cultural background.
85
Văn hóa hình thành từ nội tại và tác động ra bên ngoài
Organization Society
Xã hội tác động lên giá trị và nhận thức của

doanh nghiệp
Often Culture in a society is seen as a phenomenon that’s impossible or at least very difficult to
influence by organizations. However, culture can operate inside out as mentioned above.
Factors that influence Cultural
The surroundings Business Type

- Values in society - Market
- Values in the cummunity - Products / Technology
- Values of organized groups - Industry
Organizational
culture
Company Employees
- History - Norms and attitudes
- Size Languege
- Style of management - Interests
- Administration Systems - Knowledge, experience
- Values and mission - Teams
- Dress code
Some of the elements are given from the outside and will often involve an adjustment, while others
are influenced by the values, the management, and the nature of the company – be it a small
company with only one owner or a big world-wide company.
It is up to the leadership to create the synthesis of demands from outside, the expectations of
employees, and the strategic foundation of the company.
Assignment
Individual or pairs work
The headquarters of the international company Handmade A/S is located in Denmark. The
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headquarters buy and produce partially handmade products from the East, and Handmade A/S
employs approximately 850 international employees.
At the moment the top leadership of Handmade A/S is considering a comprehensive change of the
organizational structure, the purpose of which – among other things - is to lay off a total of approx.
150 employees within production and administration.
To inform the employees about these changes the leadership plans to write a detailed article in a
special edition of the staff magazine.
Additionally, they intend to invite representatives of the work teams to meetings in the months to
come. After that all employees will be invited to staff meetings where the managers will give more
detailed information about the planned changes.
Furthermore the individual managers have been asked by the top leadership to inform
their staff members of the willingness of the company to try to provide other jobs for the
employees.
1. Explain how these cuts will affect the corporate culture.
2. How can the reduction of personnel be used in a positive way to change the corporate culture?
3. Three Levels of Culture

sub-topics:

According to Edgar H. Schein corporate culture can be

compared to an iceberg which he divides into three
levels: Artifacts, Espoused Values, and Basic Assumptions
and Values. With this cultural framework, Schein has
offered an important contribution to defining what
organizational culture actually is about.
87
Layout, language, art, members visible behavior, expres- Higher
Artifacts sions of status Awareness
(symptoms) Communication, organizational and organizational Level
processes
Sight Values Formulated values, strategies, goals, philosophies Can be observed

(apparent values) Not always easy to interpret
Basic Unconscious ’taken for granted’ view thoughts and Invisible

assumptions feelings rarely
conscious
Surface level (artifacts):
• Architecture
• Language
• The way people dress
• Stories
• Logo
Intermediate (Espoused Values):
• Strategies
• Values
• What we say we are and do
• Formal Statements:
• Formal statements can not be regarded as the definition of the corporate culture of an
organization.
• They only cover a small, publicly relevant section of culture, namely those aspects that managers
find useful to publish as an ideology or a focus point for the organization. (Schein. 1994)
Deeper level (basic assumptions and attitudes):
• Beliefs
• Feelings
• Reality and truth
• Human nature
• Human activity
• Human relations
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Example – a Bank
Two values of a bank is:

1. Common sense
2. Openness and honesty
In this case it is important that the Bank:
• By common sense: does not pay expensive business travels or breaks agreed rules repeatedly.
• By openness and honesty: does not hold information back and does not misuse inside information
about customers
Common sense:
• consider the common sense as our best guide

• common sense can solve the unusual problems and challenges of everyday life
• seems as if common sense is above inappropriate habits or routines
• responds when we encounter unnecessary bureaucracy
• goes hand in hand with existing rules
• accepts that some control is necessary and appropriate
• is practiced when we spend money (organization’s money)
Openness and honesty:
• inform each other when appropriate and not misusing inside information
• we limit our openness to business concerns or the interests of our stakeholders
• respecting agreements and do not abuse the trust that we show each other
• endeavor that significant decisions for the individual employees are based on a constructive
dialogue
• are open about the mistakes and problems we encounter
• recognize that we make mistakes and errors now and then – and in these cases we’ll primarily
focus on learning from experience in the future
• listen openly to new ideas and constructive criticism (positive feedback).
In general:
If the values of an organization should be more than just Espoused Values all managers and employees
need to act and react according to the values in practice (artifact level). This would be possible only
if they are mirrored in the deep level, the basic assumptions.
Imagine, for example: If the leaders of a bank basically assume that all people cheat whenever
possible, and that competition between employees creates better results than collaboration – then
all employees should share this attitude!!!
In a healthy culture we shall find consistency between the three levels. However, would that be a
realistic situation?
89
True Organizational Development!
• Generally, it takes 5-15 years to change basic assumptions
4. Corporate Culture and Change Management

sub-topics:
Topic 4: Corporate Culture and Change Management
(merging of companies)
Edgar H. Schein ’s iceberg model has often been used to identify problems in connection with change
- most and foremost change is when two companies merge.
According to Edgar H. Schein “Organizational learning, development, and planned change cannot
be understood without considering culture as the primary source of resistance to change.”
Formal aspects:(visible)
• Target
• Technology
• Framework
• Skills
• Financial Resources
Informal aspects:(hidden)
• Attitudes
• Values
• Feelings
• Social contacts
Source: Bakka&Festival, 1998
90
As mentioned above:
The visible part is the symbols that can be observed

and experienced, for example language, the way
people dress, politeness forms, etc. These symbols are

often visible expressions of an underlying diversity of
norms and attitudes.
The middle level deals with the strategies and values

and ideals – often primarily in written forms.
The bottom level of the iceberg is the level most difficult to detect and to change - this level concerns
the basic assumptions of leadership and employees. This is the invisible and often unconscious level.
Sometimes it can be difficult to distinguish between the bottom level and the middle level or to
draw a sharp line between the two levels.
Jens B. Johansen suggests an iceberg model that is divided into two levels: the visible and hidden
level. This model, according to Johansen, is a more useful tool to describe what happens when two
organizational cultures meet.
Schein’s (Jacobsen’s) iceberg model can be useful to bear in mind when two different organizational
cultures are about to merge.
According to Schein, it will be the hidden areas of the iceberg - the fundamental values - that are
most susceptible to collisions. Resistance to change can be well hidden. Therefore, the merger must
be planned thoroughly and any such clashes taken into account.
Acc. Schein, there are 5 stages in a merging process:
1. Considering Phase
2. Decision-making and publishing Phase
3. Planning Phase
4. Implementation Phase
5. Follow-up Phase
A good alternative to Schein’s 5-phase model is Kotter’s model for changing culture that is consistently
described in:
Human Resources - for higher education

Henrik Stordal & Arne Steen Sørensen
Academica, 2005
For this session use some of the assignments from the e-learning material.
91
Session 4: Personnel Policy
Assignment - homework
A manufacturing company with 40 salaried

employees and approx. 100 wage-earners has
established a separate HRM function with you as the
manager. So far the company has not had a written
personnel policy manual but now requires one.
How would you approach the task about developing

a written personnel policy manual for the company?
Which steps and actions would you suggest in order
to implement the new personnel policies?
Personnel Policy is the issue that in the broadest and most fundamental way concerns all
employees
Definition:
”A set of rules that define the manner in which an organization deals with a human
resources or personnel-related matter. A personnel policy should reflect good practice, be written
down, be communicated across the organization, and should adapt to changing circumstances.”
BNET Business Dictionary
A case:
The below case from Scandinavia is about a chain of pharmacies of which some of the stores have
been taken over by an investment company and a few of the other stores have chosen to remain
independent members of the chain as privately owned shops in 2007. This case focuses on two of
the privately owned shops with one owner who had paid no attention to a renewal of the personnel
policy manual but just kept the old one when the shops were part of the chain. In must be mentioned
that the two shops are still affiliated members of the chain with the right to the brand and sell the
products developed by the chain and still bearing the brand of the chain.
Facts about the two shops:
Matas
- Svendborg (12 full-time employees)
- Rudkøbing (4 full-time employees)
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Zaza has been appointed temporary manager in Svendborg (18 months)
Zaza has previously been employed in the Rudkøbing shop as a shop assistant for a few years.
Problem:
An outdated personnel policy manual sends the wrong signals and totally lacks usable guidelines
about clock-in time, dress code, working hour calendars, etc.
As mentioned above the two shops still use the manual developed in 2001 by the old chain and with
the old owners’ ‘family story’ still in force.
Zaza wants to do something about it and have the manual renewed, and the owner of the two shops
welcomed and acknowledged Zaza’s initiative.
Purpose:
The owner of the shop would get some tools to manage the staff.
The employees would have clear and concrete guidelines.
Zaza’s Approach:
1. Research about the contents of a functional oriented manual

2. Uncover the current practice and standards
3. Compare current practice to existing manual
4. Suggestions of new contents for the new manual
5. Discuss the adjustments with the owner of the two shops
6. Keep the employees informed about her work
7. Implementation
Purpose of having Personnel Policies:
It is important to have a clear purpose when establishing staff policies, i.e.:

• Unify and standardize policies
• Provide visibility
• Regulate behavior within the organization
• Use these internal policies to signal the policy of the company to customers and stakeholders
• A means that can be used by the leadership to inform of values and initiatives to the entire
organization
Who are the stakeholders?
• Directors and Executive Managers

• Top Leadership
• Employees
• Future employees
• Customers
• Suppliers and partners
• Investors
• Banks
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Who defines the Personnel Policies?
1. Leadership controlled process

• Attitudes and values are expressed
• Full consistency with corporate goals and strategies
• Acceptance of the policies amongst staff?
2. Staff governed process
• The actual process of creation is extremely valuable.
• Easy to implement in the organization
3. HR-department driven process
• Great interaction with staff (?) => A balance between
management’s intentions and employee acceptance
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Personnel Policy Contents
Key Policy Sub-policies:

• Overall description of the field • Exact description of policy
• Setting the frames • Concrete governing of the organi-
• General objectives without concrete zation’s actions
actions • Operational guidelines for how staff
• Attitude oriented policies should interact together and with
• Attitudes and ideas on an overall and the company
deneral level • Rules, guidelines, and information
• Regulate behavior
Staff Policy – Disease Policy – an Example
Key Policy Sub-policies(concrete):

• Overall Information and guidelines con- • “We take preventive action
cerning the connection between envi- by...”(working climate measure-
ronment and disease ments)
• Overall Information about actions to be • When an employee tell ill we do...
taken in case or serious illness (this and that)
• Overall Information about the need for • Insurance, paid hospital stay, flex
care system, part-time work, ect.,
• Concrete example: Community in
Sweden:
• illness leave policy
• guidelines for the management in
case of absences due to illness
95
Staff Policies - Typical Items
Have a brainstorming session on this topic or ask the students to do some internet research.
• Dismissals
• Alcohol Policy
• Distance working
• Vacation Policy
• Gift Policy
• Working from home
• Information Policy
• Introduction Policy
• Wages and Salary Policy
• Diversity Policy
• Abuse Policy
• Care Policy
• Breaks Policy
• Recruitment Policy
• Smoking Policy
• Senior Policy
• Sport and cultural Policy
• Sickness Policy
• Absence Policy
Staff Policies - Form

Oral form:
• Small companies
Written form:
• Large companies
• Formalized
• Often digital form
• News mail of updates
Criteria for Success

1. Must be formulated in an exact and clear way => Ensure that all employees have the same
interpretation or understanding of the guidelines.
2. Must be concise in its contents => Must cover all the identified needs of the organization
3. Must be realistic => To be implemented in a natural way
4. Must be a dynamic document => must be updated regularly
5. Must be acknowledged and enforced by the entire management group
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Personnel Policy Implementation
The senior leadership is responsible for having policies made known to the entire organization
(perhaps through meetings or information sessions)
The individual managers are responsible for informing their staff and ensure implementation.
Ongoing revision of the Staff Policy
Assignment
1. Complete the following table of contents for a staff manual for your company or a specific com-
pany, of which you have well founded knowledge
Contents
1. Index
2. Personnel Policies and Management:
2.1. About Personnel policies, conceptual content
2.2. Formulation of personnel policies
2.3. Corporate Culture
3. Recruitment (including recruitment process)

2. Describe the objectives of each of the selected key policies and the objectives of some
sub-policies

Furthermore, please, consider the following:

3. How would you approach an assignment of developing and implementing a written
personnel policy manual for your case company?

4. What should be covered by the manual in order to create greater employee loyalty in the
organization?

5. What should be included in the manual in order to ensure more knowledge of the or-
ganization?

Prepare a presentation with your solution.
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AGENDA DAY 3
Agenda - Day Three
Session 1: Opening of Day Three
• Repetition
Session 2: Workforce Planning

For the topic Workforce Planning has been developed an e-learning module covering the following
sub-topics:
Topic 1: Workforce Planning in a Strategic Perspective

Topic 2: Staff Structure
Topic 3: Employee Turnover
Topic 4: Staff Projections
Topic 5: Employees Plans
Workforce Planning – Composition of Staff

sub-topics:

Brainstorming Assignment - Strategy and Personnel Needs
Garden VEG A/S, Denmark, is a company that produces, purchases, and sells organic vegetables, and
the company has for a long time had a poor economic outcome.
In recent years the company has grown steadily and has a current number of employees of 100. About
50% of the employees work in the Danish production department producing organic vegetables. The
remaining 50% of the total staff work on logistics, warehouse management, finance, administration,
sales and purchases – as well as import of foreign-produced organic vegetables.
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Within this segment imported products have recently been increasing mainly because of customer
demand for lower prices.
According to the management of the company the economically poor performance can primarily
be explained by the high costs of producing Danish vegetables. Therefore, the management has de-
cided to revise the entire basic strategy of the company with an increase of imported goods in mind.
Explain how this situation will affect staff planning in the individual groups and the relationships
between these.
Do we have the right people? (right competencies, right talents, right skills)
- where we need these competencies
- and when we need them.
Again we take our ‘point of departure’ in the objectives, the strategies and the values of the organiza-
tion when planning how many people and what kind of professional skills and human resources the
organization will need. Only the overall goal and the strategies as a whole can predict the need of
employees in the short run as well as in the long run.
Kết cấu của đội ngũ nhân sự
Doanh nghiệp và các thành phần của doanh nghiệp
MỤC TIÊU - CHIẾN LƯỢC - CHÍNH SÁCH
Nhu cầu của cán bộ công nhân viên
Hiện tại Dự đoán trong tương lai
Kế hoạch xây dựng đội ngũ nhân sự

Tuyển dụng, từng bước giảm biên chế, phát triển
Cấu trúc đội ngũ nhân sự Đồ án xây dựng nguồn nhân lực
Kế hoạch cho từng cá nhân cụ thể
100
In strategic workforce planning the need for human resources is determined by business strategies
for the individual departments and – most and foremost – by the production plan in the short as
well as the long term. In other words it is about the relationship between business strategies and
human resource strategy.
Thus strategic workforce planning addresses two critical needs:
• aligning an organization’s human capital program with its current and emerging mission and
overall goals and
• developing long-term strategies for acquiring, developing, and retaining staff to achieve these
goals (HR-strategy).
Workforce planning should address the following five key principles:
1. Involve management, employees, and other stakeholders in developing, communicating, and

implementing the strategic workforce plan.
2. Determine the critical skills and competencies that will be needed to achieve current and fu-
ture results.
3. Develop strategies that are tailored to address gaps in number, deployment, and alignment of
human capital approaches for enabling and sustaining the contributions of all critical skills and
competencies.
4. Build the capability needed to address administrative, educational, and other requirements
important to support workforce planning strategies.
5. Monitor and evaluate the HR strategy and the progress toward its human capital goals.
From a practical point of view and in preparation for developing Employee Plans we have to con-
sider
• The current staff structure

• Staff Projections, and
• Staff Turnover
Assignment
1. For a long period of time a company has had a poor economic performance. Therefore, accord-
ing to the management the company must undergo major changes. The management has
decided that the entire strategy be thoroughly revised.Give a detailed explanation of how this
change may affect the individual elements of the total workforce planning and the links be-
tween them - on the basis of the illustrated workforce planning model.
2. What person(s) would typically take part in the various stages of staff planning? Explain why
they should take part in staff planning and what role they will have.
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Staff Structure
sub-topics:

Staff Structure is a record or statement of current staff from a quantitative as well as from a
qualitative point of view. The quantitative record is the easier of the two to develop and consists of
number of “heads” by:
• Departments
• Age
• Gender
• Job functions
• Etc.
This again should be divided into full-time employments and part-time employments.
The content of a qualitative record of competencies depends on the needs of the company and
type of business. The following items could, however, be useful and relevant for most organizations:
• Test results from personality tests and management tests, if any

• Experiences from previous employment
• Experiences from current and previous jobs within the organization
• Educational background
• Further education
• Information about health
• Planned change in career
Choose the following procedure for the below assignment:
1. Discuss the assignment in pairs

2. Get together in groups of 4
3. Get together in groups of 8 (or more – two major groups left)
4. Prepare a presentation with the final solution of this large group.
Assignment
How would you structure the total current workforce in a production company employing approx.
500 people? What kind of information do you need for that and who will you ask to help you find
out?
102
Prepare an example and explain the process.
Employee Turnover
sub-topics:

Before we move on to discuss Staffing Projection it might be a good idea to have a look at the concept
of Employee Turnover.
Employee turnover is a ratio comparison of the number of employees a company must replace in a
given time period to the average number of total employees. A huge concern to most companies,
employee turnover is a costly expense especially in lower paying job roles, for which the employee
turnover rate is highest. Many factors play a role in the employee turnover rate of any company, and
these can stem from both the employer and the employees. Wages, company benefits, employee
attendance, and job performance are all factors that play a significant role in employee turnover.
Companies take a deep interest in their employee turnover rate because it is a costly part of doing
business. When a company must replace a worker, the company incurs direct and indirect expenses.
These expenses include the cost of advertising, headhunting fees, human resource costs, loss of
productivity, new hire training, and customer retention -- all of which can add up to anywhere from
30 to 200 percent of a single employee’s annual wages or salary, depending on the industry and the
job role being filled.
While lower paying job roles experience an overall higher average of employee turnover, they tend
to cost companies less per replacement employee than do higher paying job roles. However, they
incur the cost more often. For these reasons, most companies focus on employee retention strategies
regardless of pay levels.
103
Below example shows how to calculate an employee turnover:
1/1 2003 1/1 2004 1/1 2005 1/1 2006 Date
117 132 145 152 Employees
- 8 - 10 - 7 left
+ 23 + 23 + 14 new
The employee turnover for the year of 2004 can thus be calculated in this way:
_____10 * 100
Employee turnover = (132+145)/2 = 7.2%
The above calculation for the year 2004 shows an employee turnover of 7.2% which means that for
one reason or another 7.2% of the total number of employees were replaced.
It is important to emphasize that people who leave the company because of retirement and people
on leave for a period of time are normally not included in the rate of turnover.
As mentioned above it is extremely difficult to calculate the turnover of staff. An average of the
turnover of staff of the last 3-5 years might be a qualified suggestion – however, state of affairs
can change rapidly and will sometimes be beyond the control of the management. A high rate of
turnover can often be related to the atmosphere of the work place – if people feel unhappy about
the environment, the managers, the corporate culture etc. they will find another job, if possible.
This again depends on existing trends in society and the market situation as a whole.
Assignment
1. Give examples of what can influence staff turnover in a company in a positive and a negative
direction.
2. How can the company itself affect staff turnover?
Staff Projections
sub-topics:

104
Brainstorming Activity
1. Explain the definition of projection.

2. Specify the factors to be taken into consideration when a company calculates a projection of
human resource structure.
Staffing Projections is an estimate of staff structure at a given time in the future, for example how
many of the current employees will still be here at a given time in the future and how many new-
comers do we expect.
In 3 months
Present In 6 months time In a year
time
A very simple way to calculate staffing projections would be to record the number of heads at a
given time in the future and deduct known retirements and people on leave and also take into ac-
count the calculated staff turnover:
Number of employees at a given time

– known retirements and people on leave
– estimated staff turnover
= staff projections
This kind of calculation of an estimate of future needs of workforce might apply to plans based on
projections of slow but positive growth in a healthy company.
However, to give a true picture of future needs of competencies and labour in a dynamic organiza-
tion requires an in-depth research of not only the current personnel situation but also estimates of
future needs in all departments of the company. Such a statement should be given a quantitative
as well as a qualitative assessment and – not least – it should be based on the strategic basics of the
company and the business plan for each individual department.
Thus the HR department should prepare activities to ensure a regular projection of personnel in
alignment with the corporate objectives and strategies. These activities include
• studying economic indicators

• tracking changes in supply and demand of labour
• identifying departments and their current and future needs
• monitoring the HR performance
Employees Plan
sub-topics:

105
After having determined the current and future need for competencies and skills and after hav-
ing been through the process of recording staff structure and calculating staff projections the HR
Manager is ready to provide an overall staffing plan based on plans for the individual departments
of the organization. The manager of a given department may choose to base this planning on one-
to-one meetings with his team members and their individual career plans - anyway in the case of
administrative personnel. For planning of labour for the production department team managers
and construction foremen should be asked for advice. These plans are developed by the head of
each department The more detailed these plans are the easier for the HR management together
with the top management to plan future staffing programs.
The Employees Plan should reflect:
• The need for further recruitment of personnel

• Record of retirements
• Record of people on leave at a given period of time
• The need for dismissals
• The need for development and education
Individual Plans
Finally individual employee plans and career planning can be carried out. For a large number of
employees this will take place at the annual one-to-one meeting between employees and their
nearest manager.
Such an individual plan should at a minimum contain the following information:
The individual’s abilities and skills

Time and desire for development / training
Desire for promotion
What future options would there be for the employee?
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Workforce Planning: Adds-on
The below model illustrates the traditional way of understanding the strategic, the tactical, and the
operating level.
Strategic Level Tactical Level Operating Level

(long term) (medium term) (short term)
Business plans Meeting the targets for

Vision Statement
Estimations of needed market share, growth,
Business Surroundings
resources profitability, etc.
Planning analysis
Plan for integration and
Overall goals
cooperation Performance Monitoring
Plan for development of Staffing Budget

competencies. Recruitments
Skills needed
Staffing plans Promotions
Protection and
Staff Planning Organizational form Lay offs
development of core
Job Analysis Competence development
competencies
Career Planning One-to-one meetings
Rewards Systems manager / employee
Here we move from strategic planning to workforce planning.
However, operational actions may have serious strategic consequences. Therefore it is important to
have strategic focus every single day when carrying out work and tasks - i.e. the daily management.
From Management to Strategy - a New Approach!
Business development - an example
Development Operating Level, Tactical Level, Strategic Level,

Activity Ex.: 6 months Ex.: 1 year Ex.: 2 years
Product Creative
development 1 competencies Project Management Visionary Competencies
CRM System
Project Management Programming skills Integration
development
(software) Competencies
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Create a new sales
Management Trends studies
company Market knowledge
competencies
Strategic Workforce Planning requires :
• Integration with development of strategy

• Systematic planning of staff needs
• How to monitor and influence the operational part of business
• Strategic Competence Development
Session 3: Attracting Employees
For the topic Recruitment has been developed an e-learning module covering the following sub-
topics:
Topic 1: Recruitment Process and focus
Topic 2: Job Analysis
Topic 3: Job Profile
Topic 4: Employee Profile
Topic 5: Job Interview Techniques
Case: Bowl’n Fun’
108
Bowl’n Fun
Job Profile
Kitchen Deputy Head Source: www.shutterstock.com
Basic requirements:
- Minimum 18 years
- Clean criminal record
- In good health and physical robust
- Danish Language skills at a reasonable level
- Uniforms will be supplied but are supposed to be
maintained by the employee by regular washing etc.
- Smoke and alcohol policies must be abided by
Work tasks:
Daily assignments: Operation of the kitchen and

dishwashing. Ensure that the day’s buffet is 100% ready
before the first guests’ arrive.
Self-monitoring: Self-monitoring must be adhered to according to the rules and laws of
legislation
Purchasing: Goods to be ordered from the suppliers on fixed daysDeliveries: Receiving,

checking, and storage of goods.
Location: Bowl ‘n’ Fun in Odense
Wages and Working Conditions:

Wages are negotiated individually. Full-time employment entails 37 hours per week,
distributed mainly as evening and weekend work. Overtime is likely and likewise it is expected
in case of colleagues’ holidays, illness or sudden peaks.
Personal qualifications:
- Consciousness about speed and quality

- Independent and committed teamwork
- Stable and flexible
- Groomed, clean and presentable
109
Bowl’n Fun: Employee Profile - Deputy Head
Need to Important to
Nice to have
have have
Professional requirements:
Education: Chef or Caterer
X
Experience:
- Management X
- Experience from kitchen work – min. 2 X
years
Additional requirements:
• Hygiene course X
• First aid course X
X
Personal requirements:
• Overview X
• Action oriented X
• Practical
• Social abilities X X
• Flexible X
• Good teamplayer
• Stable
110
Bowl’n Fun: Job Advertisement
Kitchen Deputy Head
We are looking for a capable and independent deputy head

for our kitchen.
You will be expected to help serve our many guests at the
buffet, parties, take away and other events, and to be able
to handle purchasing.
Quality is paramount, even when we are busy.

Even though we are familiar with our guests’ dining times,
this demands great planning requirements.
Last year we had more than 60,000 dinner guests.

We work in a modern, concept-driven cuisine with a young
dynamic team of employees that all strive for the best
quality and service for our customers.
Our takeaway is constantly being developed. It is important that you also think that this part
of the kitchen work is an interesting part of the job.
Apart from your position the kitchen employs 1 kitchen manager, 2 chefs and approx. 10
wage-earners.
We offer:
Full-time job
• changing work schedules, day, evening, and weekend
• part of a young dynamic team
• plenty of challenges in a position where you meet a lot of people
• payment according to qualifications
Wanted:
• Good ideas • Sense of order

• Flexibility
• Overview
• Good team player
• you prefer working in winter time rather than in the summer
Start: As soon as possible
111
When attracting employees, the challenge of defining each individual job in the company is of
utmost significance.
And who would actually be the most appropriate person to define a specific position, which
personality traits would be appropriate, and which educational qualifications and experiences are
needed for that specific job?
Of course, some jobs can be more easily defined than others, i.e. the job of workmen such as painters,
carpenters, etc.
The basis for a job description is a job analysis.
It is important from the outset to explain the difference is between
- Job Analysis
- Job Profile, and
- Employee Profile
These terms sometimes confuse people.
Therefore, we shall begin this session by having a look at the case Bowl’n Fun which the students
should have prepared in advance for this session.
Assignment
To be solved individually or in pairs

20 min.
Case: Bowl’n Fun
See examples of
- job profile
- employee profile, and
- job advertisement
for Kitchen Deputy Head of Bowl’n Fun

Compare job profile and employee profile with the job advertisement
Find incidents of agreement between job profile and employee profile on one side, and job
advertisement on the other side.
112
Session 4: Recruitment Process
topics:

Recruitment Process
Ban quản lý nguồn Phân quyền

nhân lực trung tâm (Các giám đốc)
1. Thu hút ứng viên 2. Định nghĩa và nhận biết các nhu cầu
- Thường do ban quản lý nguồn - Theo các nhóm cá nhân và các ban
nhân lực phụ trách
3. Việc lựa chọn nhân lực

- Tốt hơn nếu cả hai bên cùng đảm nhiệm
4. Hợp đồng lao động và các điều khoản:

Giám đốc: phụ trách về các điều khoản hợp đồng
HRM: soạn thảo hợp đồng
5. Giới thiệu nhân viên mới

- Có thể do cả 2 bên thực hiện( thường là kết hợp)
Some companies have an HRM department – others do not. For those companies that have a central
HRM department most of the work related to recruitments would most likely be managed from this
department. They have the expert knowledge of a number of tasks and procedures to be followed
during the recruitment process.
Also the managers of the individual departments (sales, IT, production, administration, etc.)
are involved in the process. Some of the tasks are carried out by HRM consultants from the HRM
department – others by the managers, and some they do together. The slide shows an example of
113
how the work can be coordinated between the two parts.
If a company does not have a separate HRM department, many of the recruitment tasks can be
outsourced. It may in the short term, turn out to be an expensive solution, but in the long run it
may be worth the investment - considering the high costs involved with having a high rate of staff
turnover.
Advantages by outsourcing:
1. More experienced
2. Better trained within HR
3. Better tools
4. Good network
5. Large topic database
6. Time-saving
7. Neutral in case of “executive search / head hunting”
Disadvantages of outsourcing:
• No in-house knowledge
• Later contact between candidate and HR Agency
• Costly solution in the short term
• Identification and definition of needs (planning process)
• Attracting candidates (analysis, job profile, employee profile, job ad)
• Selection procedures
• Contract and employment conditions
• Introduction of new employee
• Follow-up
Xác định rõ các yêu cầu Phát triển các hồ sơ Quảng cáo tuyển dụng
đối với vị trí cần tuyển công việc và hồ sơ tiêu
dụng chuẩn công việc
Tiếp nhận, Phỏng Kiểm tra, Xác minh, Kiểm soát

hồi đáp và đánh giá vấn trắc điều tra dữ liệu
các đơn xin việc nghiệm
Đàm phán về hợp đồng và Giới thiệu chỗ làm mới Thời gian thử việc
các điều khoản Các cuộc gặp tiếp theo
114
Here you find all the elements of the process from identification of the need of employees according
to the statement of workforce planning or acute needs for selection of candidates and introduction
of the new employees. The process might include tests, headhunting, outsourcing for a period of
time, etc.
By references is meant provision of 1-2 references, i.e. previous employers’ opinions of the candidate
“Control data”: In case of significant replacements and new jobs (research personnel for example) it
might be relevant to check the validity of education and to have some organizations or people verify
the authenticity of diplomas.
A well-known case in Denmark may serve as a warning: Anna Castberg, at that time an attractive
young woman in her thirties, was employed as Museum Director for the Art Museum Arken which
was a very ambitious and modern new museum at that time. The museum as well as the museum
director attracted tremendous interest among the news media as well as people in general in
Denmark – not least when it was revealed that the significant degrees stated in Anna Castberg’s CV
turned out to be false.
Session 5: Recruitment: Job Analysis, Job Profile,

Employee Profile
To define the qualifications and skills needed in an organization to meet the strategic requirements
and to identify the right employee profiles is a matter of extreme significance and should be given
the highest possible priority.
Only on the basis of thorough job analyses in the organization job descriptions, job profiles, and
employee profiles can be defined.
PHÂN TÍCH CÔNG VIỆC

(Mô tả công việc)
HỒ SƠ CÔNG VIỆC
BẢN TIÊU CHUẨN CÔNG VIỆC
115
Job Analysis
topics:

What is a job analysis?
Job Analysis refers to a process for collecting information that describes in detail the criteria for
successful job performance. Typically, job analysis focuses on tasks, role and responsibilities,
knowledge and skill requirements, and any other abilities for successful job performance.
Job Analysis can also be described as a systematic procedure for gathering information about the
current or proposed duties and requirements of a position in order to determine the most appropriate
classification – or job title.
The main purpose of a Job Analysis is to provide:
• clarity about jobs

• data for job descriptions
• data reviewing employees’ performance with the standard level of performance
• data for determining the training needs for employees who are lacking certain skills
• data for setting up the compensation packages
Because of constant changing tasks and requirements it is important to carry out a job analysis and
not just copy previous job descriptions.
Methodology:
There are several ways to conduct a job analysis, including: interviews with supervisors,
questionnaires (structured, open-ended, or both), observation, critical incident investigations, and
gathering background information such as duty statements or classification specifications. In job
analysis conducted by HR professionals, it is common to use more than one of these methods.
For example, the job analysts may tour the job site and observe workers performing their jobs.
During the tour the analyst may collect materials that directly or indirectly indicate required skills
(duty statements, instructions, safety manuals, quality charts, etc).
The analyst may then meet with a group of workers or incumbents. And finally, a survey may be
administered. In these cases, job analysts typically are industrial/organizational psychologists or
Human Resource Officers who have been trained by, and are acting under the supervision of an
industrial psychologist.
116
In the context of vocational rehabilitation, the primary method is direct observation and may even
include video recordings of incumbents involved in the work. It is common for such job analysts
to use scales and other apparatus to collect precise measures of the amount of strength or force
required for various tasks. Accurate, factual evidence of the degree of strength required for job
performance is needed to justify that a disabled worker is legitimately qualified for disability status.
In the United States, billions of dollars are paid to disabled workers by private insurers and the
federal government (primarily through the Social Security Administration). Disability determination
is, therefore, often a fairly “high-stakes” decision. Job analysts in these contexts typically come from
a health occupation such as occupational or physical therapy.
Questionnaires are the most common methodology employed by certification test developers,
although the content of the questionnaires (often check lists of tasks that might be performed) are
gathered through interviews or focus groups.
Job Description
A job description is a broad, general, and written statement of a specific job, based on the findings
of a job analysis. It is important to bear in mind that this description is an internal document and
should as such be written concisely and with the primary purpose of informing. It is not so much
a legal document, as it is a way to advise prospective and current employees of what is expected
in a specific job. Being a kind of working paper job descriptions should be formulated specifically,
concretely, and as inclusively as possible.
It generally includes position in the organization, duties, purpose, responsibilities, scope, and
working conditions of a job.
A job description forms the basis of job specifications, i.e. for example job profile and employee
profile.
Job Profile
topics:

Sometimes it can be difficult to distinguish a job profile from a job description. Basically the two
documents contain the same kind of information. However, it is important to emphasize that a job
description is an internal document whereas the job profile should serve the purpose of being both
an external and an internal document. The job profile may also be set up in a more structured way
and should contain the issues illustrated below:
117
Vị trí trong tổ chức
/ chức vụ công việc
Vị trí
Nhiệm vụ và các điều kiện, vai

Mô tả công việc trò, trách nhiệm, quyền hạn
Triển vọng việc làm

Triển vọng trong công ty, cơ
hội thăng tiến
Job Position:
Job position refers to the designation of the job and the employee in the organization: Which
department, function and role of the department, which position and role in the department in
question, information about other employees, references up and down in the organization, etc.
If possible, a title for the job should also be stated.
Job Description:
Job description refers to the requirements for a particular job position. It states the key skill
requirements, the level of experience needed, level of education required, etc.
It also describes the roles and responsibilities attached with the job position. The roles and
responsibilities are a key determining factor in estimating the level of experience, education, skill,
etc required for the job.
Job Prospects:
It is important to state the future prospectives of a particular job in a given department, i.e.
promotion opportunities, educational opportunities etc.
For example, if it is already known that the head of the department in question will retire within a
period of 2-3 years or other important changes have been planned to take place in the near future
this should be stated in the job profile.
118
Employee Profile
topics:

Whereas the job profile defines the job the employee profile defines the competencies needed for
the candidates contesting for the job.
What kind of competencies is required (education and experience)?

What kind of personality is expected or desired?
It is important not only to define educational background, personality features, etc. but also to
make a prioritized inventory of these competencies and features as shown below:
Need Nice
Job: HRM officer Important
to to
Date: 1st April, 2009 to have
have have
YProfessional Requirements:
Educational background:
• Higher Education – humanities X
• MBA HR / Management X
Experience:
• Minimum 2 years experience from similar job
• Interview techniques X X
• Cooperation at management level X
119
Courses and special requirements:

• Course in Interview Technique X
• Course in Personality tests X
• IT skills – HRM systems X
Personal qualifications:
(Personality features)
Confidence-building resources
X X
Action oriented
X
Structure oriented
Strategic overview
X X
Contact creative
X
Mentally strength
Recruitment Assignments
In the following you will find three assignments all related to recruitment and focusing on the same
case.
Assignment 1: Job Profile and Employee Profile

Assignment 2: prepare job ad
Assignment 3: prepare job interviews
120
Recruitment Assignment 1
You have been assigned a consultant job as recruitment experts.
Choose one of the two cases:
1. Grill Bar Assistant
An average of 10 hours per week - a few hours being evening / weekend work
Altogether 15 employees work in the grill bar which is located in a big city
2. HR Consultant for a new HR function
A manufacturing company employing about 500 people is looking for a HR Consultant for
development and training. Manufacturing departments are located in 4 different places around the
country.
The top leadership believes that business development is created through human recourses
development. Therefore, they are looking for an HR Consultant who will be the manager of a new
development and training department under the HRM department.
------
Use your imagination and everyday knowledge to create more factual details about the two work
places. For example, consider the strategic basis of the two companies (vision, mission, and values
statements).
1. Explain how you are going to provide the necessary information to formulate a job description.
2. Create a job profile for both positions.
3. Create an employee profile for both positions.
121
AGENDA DAY 4
Agenda – Day Four
Time Contents
Session 1:
Opening of day 4:
• Repetition
Session 2:
Attracting Employees
08.15-10.30 • Recruitments: Job Analysis, Job Profile, Employee Profile
(continued)
Session 3:
10.30-11.30
• Recruitments: Job Advertisements
Session 4:
11.30-12.00 Attracting Employees
• Recruitments: Preparing Job Interview
Lunch Break
12.00-13.00
Session 5:
13.00-13.30
• Recruitments: Interview Techniques
Session 6:
13.30-16.45
• Recruitments: Role Plays – Job Interview
Session 6:
16.45-17.00
Workshop wrap-up
123
Session 1: Opening of Day Four
• Repetition
Session 2: Recruitments: Job Analysis, Job Profile,

Employee Profile (continued)
See day three above.
Session 3: Recruitments: Job Advertisements

It is important to target the job ad toward the right person. This can save a lot of money. When
formulating broad advertisements you receive a great number of irrelevant applications which all
have to be examined. Furthermore it will be more difficult to choose the right person. That requires
time and money.
The good advertisement:

• attracts the right candidate (s)
• minimizes the number of applications
• improves the quality of the applications
• includes profiling the organization as a whole (customers, suppliers, future applicants,
etc
Contents:
Base the advertisement text on the job profile and the employee profile already prepared.
Typical contents of a job advertisement will be:
• Description of the job position (a brief and precise statement)

• Type of candidate (education, experience, age, personality features)
• Recruitment Process (application deadline, dates of interviews, reference person)
• For further information: website address
• About the company (brief description and address)
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Internal or External Recruitment?
There are advantages and disadvantages of internal recruitment. The company knows the person
and the candidate is familiar with the company – This is a great advantage and you do not need
spend time for an introductory period of time.
The disadvantage is that you often just move the recruitment problem to another department that
will then have a post vacant.
Internal Recruitment External Recruitment

(Internal Data Base) (Job Ad)
Cheap!?
Large selection of candidates
Career motive for employees
External profiling of the
Advantages The company knows employee
company
The employee knows the company
Risk of failing getting the right

candidate
Removes recruitment problem
Intro and training requires
Disadvantages No ‘new eyes’
longer time
The number of candidates is limited
Internal candidates may feel
ignored
Choice of Media.
Choice of media depends on type of job. Whatever the medium, the title or the headline is of the
greatest importance. It should both attract and inform.
Layout and design are important, particularly in the printed media.
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Internal Media Electronic Media
News Boards Home page

Intranet Job data bases online
E-mail TV-spots
Data base of applications Radio spots
Print Media Associations and Networking
National newspaper Trade unions - direct mail

Local papers to members
Journals Job Fairs
Poster Pillars Headhunting
Message Board at colleges References
Bus and train ads Talent scouting
Work in the same groups as for recruitment assignment 1.
Work with the same cases:
1. Grill Bar Assistant
2. HR Consultant for a new HR function for Development and Training
On the basis of the already prepared job profile and employee profiles please formulate a job
advertisement for one of the two jobs.
NB: Your job advertisement is supposed to be used for a later job interview together with your
formulated employee profile.
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Session 4: Recruitments: Preparing Job Interview
This session cannot be separated from session 5 (interviewing techniques) as the two sessions
together form the basis for Recruitment Assignment 3 (role plays).
Before the Interview:
Should the job interview be structured? That’s a difficult question to answer.
No doubt, a structured job interview is one of the most valid recruitment methods - the more
detailed the better the applicant’s professional and personal skills will be revealed – just as it is the
best way to ensure that all relevant matters are discussed.
Moreover, a structured interview makes comparison of interview results easier.
However, a structured interview often implies a stiff and formal conversation form whereas a non-
structured or semi-structured interview can be held in a more relaxed and informal atmosphere.
Generally speaking, the interview form must be adapted to the type of applicant as well as type of
job. For example, you would not conduct a job interview for a managerial position in the same way
as for an unskilled worker.
How to structure an interview – an example:
1. Brief and relevant information about the organization and the vacant job
2. Questions:
• Careers and education (focusing on the latest)
• Experience (focusing on job changes and reasons for these)
• Questions to uncover attitudes and personality
3. Additional information about the job and the further recruitment process
4. Candidate’s turn to ask questions
Agenda:
First of all you must try and create a pleasant atmosphere. Start with some small talk about the
weather or latest news - and get the candidate to speak to get rid of any nervousness.
Generally, ask questions that can not be answered with a yes or no.
Example: Have you been using Flash for a long time? (answer: yes / no)
Instead: What features in Flash do you like best?
Pitfalls:
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1. First impressions are taken as a definite guideline!
2. Stereotypes - on what a “good employee” is
3. HALO effect - attracted by those who resemble oneself
4. Lack of structure => variation between interviews
5. Poor question technique
6. Poor listening ability - talking too much, not listening to the candidate
7. Focusing exclusively on the knowledge / skills - not on attitudes / personality
HALO effect (Harold Kelley’s Personality Effect): Tendency to assess in a simple and generalizing
way: good / bad, wise / stupid etc. Perhaps the interviewer just focuses on one particular feature
forgetting the rest. Most and foremost it is about the tendency to pay attention to traits and attitudes
that are similar to your own.
Personality has often been underestimated - but is of tremendous importance to be aware of – all
depending on the type of job. For example, if a company is looking for a new sales person it is, of
course, important that they find an extrovert person.
After the Interview: STAR technique
Situation (What happened?)

Task (What needed to be done)
Action (How did you handle it?)
Result (The outcome of the interview)
The Star technology is designed to analyze the interview after the interview has taken place.
However, it may also be useful to bear this ‘after-interview-exercise’ in mind when preparing the
interview.
Imagine a hypothetical conversation: What would you do if a difficult situation occurs, i.e. totally
silent applicant, a conflict-like situation, a much talkative candidate, a nervous candidate, etc. And
what are you going to do if you have a really good and positive interview experience?
If you do job interviews for the first time it is vital that you are prepared for situations like the
aforementioned.
Tests
Some organizations use tests in their recruitment of employees – others do not. When using tests the
purpose of using the test, of course, should be obvious just as it is important to inform the applicants
about any use of tests in the recruitment phase. Only professional people should conduct these tests,
i.e. people who are certified in conducting tests. Often organizations choose to outsource this task
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to HRM Agencies.
Personality Test:
Compared to other types of tests personality tests rank relatively high what regards the validity of
the facts to be uncovered.
These tests on personal characteristics and traits may be useful in some job contexts and unnecessary
in others. The purpose of the test must be carefully considered before being applied.
A well-known example of such a personality test is the ’Big Five’
The Big Five:
1. Openness to experience
2. Conscientiousness
3. Extraversion
4. Agreeableness
5. Neuroticism
Openness to experience is one of five major domains of personality discovered by psychologists.

Openness involves active imagination, aesthetic sensitivity, attentiveness to inner feelings, preference
for variety, and intellectual curiosity. A great deal of psychometric research has demonstrated that
these qualities are statistically correlated. Thus, openness can be viewed as a global personality trait
consisting of a set of specific traits, habits, and tendencies that cluster together.
Openness tends to be normally distributed with a small number of individuals scoring extremely high
or low on the trait, and most people scoring near the average. People who score low on openness are
considered to be closed to experience. They tend to be conventional and traditional in their outlook
and behavior. They prefer familiar routines to new experiences, and generally have a narrower range
of interests. They could be considered practical and down to earth.
People who are open to experience are no different in mental health from people who are closed
to experience. There is no relationship between openness and neuroticism, or any other measure
of psychological wellbeing. Being open and closed to experience are simply two different ways of
relating to the world.
Sample Openness items:
• I have a rich vocabulary.
• I have a vivid imagination.
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• I have excellent ideas.
• I spend time reflecting on things.
• I use difficult words.
• I am not interested in abstractions. (reversed)
• I do not have a good imagination. (reversed)
• I have difficulty understanding abstract ideas. (reversed)
Conscientiousness is a tendency to show self-discipline, act dutifully, and aim for achievement.
The trait shows a preference for planned rather than spontaneous behavior. It influences the way in
which we control, regulate, and direct our impulses. Conscientiousness includes the factor known as
Need for Achievement (NAch).
The benefits of high conscientiousness are obvious. Conscientious individuals avoid trouble and
achieve high levels of success through purposeful planning and persistence. They are also positively
regarded by others as intelligent and reliable. On the negative side, they can be compulsive
perfectionists and workaholics.
Sample Conscientiousness items
• I am always prepared.
• I am exacting in my work.
• I follow a schedule.
• I get chores done right away.
• I like order.
• I pay attention to details.
• I leave my belongings around. (reversed)
• I make a mess of things. (reversed)
• I often forget to put things back in their proper place. (reversed)
• I shirk my duties. (reversed)
Extraversion is characterized by positive emotions and the tendency to seek out stimulation and
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the company of others. The trait is marked by pronounced engagement with the external world.
Extraverts enjoy being with people, and are often perceived as full of energy. They tend to be
enthusiastic, action-oriented individuals who are likely to say ”Yes!” or ”Let’s go!” to opportunities for
excitement. In groups they like to talk, assert themselves, and draw attention to themselves.
Introverts lack the exuberance, energy, and activity levels of extraverts. They tend to be quiet, low-
key, deliberate, and less involved in the social world. Their lack of social involvement should not be
interpreted as shyness or depression. Introverts simply need less stimulation than extraverts and
more time alone.Một số mẫu câu thể hiện sự hướng ngoại:
Sample Extraversion items:
• I am the life of the party.
• I don’t mind being the center of attention.
• I feel comfortable around people.
• I start conversations.
• I talk to a lot of different people at parties.
• I am quiet around strangers. (reversed)
• I don’t like to draw attention to myself. (reversed)
• I don’t talk a lot. (reversed)
• I have little to say. (reversed)
Agreeableness is a tendency to be compassionate and cooperative

rather than suspicious and antagonistic towards others. The trait
reflects individual differences in concern for social harmony. Agreeable
individuals value getting along with others. They are generally
considerate, friendly, generous, helpful, and willing to compromise
their interests with others. Agreeable people also have an optimistic
view of human nature. They believe people are basically honest, decent,
and trustworthy.
Disagreeable individuals place self-interest above getting along with

others. They are generally unconcerned with others’ well-being, and
are less likely to extend themselves for other people. Sometimes
their skepticism about others’ motives causes them to be suspicious,
unfriendly, and uncooperative.
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Sample Agreeableness items:
• I am interested in people.
• I feel others’ emotions.
• I have a soft heart.
• I make people feel at ease.
• I sympathize with others’ feelings.
• I take time out for others.
• I am not interested in other people’s problems. (reversed)
• I am not really interested in others. (reversed)

• I feel little concern for others. (reversed)
• I insult people. (reversed)
• I like being isolated. (reversed)
Neuroticism is the tendency to experience negative emotions, such as anger, anxiety, or depression.
It is sometimes called emotional instability. Those who score high in neuroticism are emotionally
reactive and vulnerable to stress. They are more likely to interpret ordinary situations as threatening,
and minor frustrations as hopelessly difficult. Their negative emotional reactions tend to persist
for unusually long periods of time, which means they are often in a bad mood. These problems in
emotional regulation can diminish a neurotic’s ability to think clearly, make decisions, and cope
effectively with stress.
At the other end of the scale, individuals who score low in neuroticism are less easily upset and are
less emotionally reactive. They tend to be calm, emotionally stable, and free from persistent negative
feelings. Freedom from negative feelings does not mean that low scorers experience a lot of positive
feelings. Frequency of positive emotions is a component of the Extraversion domain.
Sample Neuroticism items:
• I am easily disturbed.
• I change my mood a lot.
• I get irritated easily.
• I get stressed out easily.
• I get upset easily.
• I have frequent mood swings.
• I often feel blue.
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• I worry about things.
• I am relaxed most of the time. (reversed)
• I seldom feel blue. (reversed)
IQ tests:
In recent times this well-known and controversial test has caused many companies to avoid the use
of this type of test.
Proficiency Test:
The test form could be compared to an examination within one particular professional are, i.e. foreign
languages, mathematics, IT, etc. This type of testing is often conducted by HR agencies.
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Session 5: Recruitments - Interview Techniques
topics:

Basic Interview Techniques
Listening: Listen to the focus person’s story without filtering it through your own understanding,
opinions, attitudes, thought and habit patterns.
Be quiet: Allow time for breaks. That has a soothing effect and leaves the candidate time to think.
Acknowledgment: The candidate will be very sensitive to whether or not you are listening to him.
Motivate him to continue talking by giving appreciative listening signals: Eye contact, a nod, a
smile, etc.
Open questions: Remember Kipling’s ‘6 serving men’: What, why, when, how, where, who. These
create the opening of a dialogue and the opportunity for exploration and having an in-depth
conversation.
Questioning technique
This session serves as a ‘prelude’ to the subsequent role plays on job interviews as described in
“Assignment – Recruitment 3”.
To conduct an interview and ask the right questions is a skill that demands a lot of practice and
experience. Therefore, it might be helpful for first-time interviewers to learn about questioning
techniques and to be aware of these during the interview.
In job interviews you should avoid any leading or assumptive questions, for example by moving the
subject of the sentence:
“How much will prices go up next year?.”
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This assumes that prices will go up next year - the subject of the question is about how much prices
will go up. In fact it is very difficult to avoid assumptions. Other examples of assumptive questions
could be:
How much do you care? (assumption: you care)

How will you persuade her? (assumption: you will seek to persuade her)
Where will you buy it? (assumption: you will buy it)
When will you make the change? (assumption: you will make the change)
You should also be aware not to ask questions that can be answered with a yes or no.
For example,
Do you think prices will go up next year?
The purpose of the interview is to get the candidate to talk and to give you detailed and valid
information about his background and qualifications. You will never get that kind of information if
you ask yes/no questions or assumptive questions. Instead you should use open questions and be
aware of Kipling’s ‘six serving men’ as described below.
Rudyard Kipling wrote a short poem outlining a powerful set of questions:
I keep six honest serving men

(They taught me all I knew);
Their names are What and Why and When
And How and Where and Who.
Whenever in doubt as to what to ask, just dip into these questions.
What
‘What?’ often asks for noun responses, seeking things that are or will be. They may also seek verbs
when they seek actions. ‘What’ questions include:
What are you doing?

What shall we do next?
What happened?
What is stopping you from succeeding?
What is the most important thing to do now?
Three ‘Whats’ that may be asked in sequence to solve problems are:
What are you trying to achieve?

What is the real problem?
What is the solution?
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Tại sao?
Asking ‘why’ seeks cause-and-effect. If you know the reason why people have done something,
then you gain a deeper understanding of them. If you know how the world works, then you may be
able to affect how it changes in the future.
Asking ‘why’ seeks logical connections and shows you to be rational in your thinking. It can also
be a good way of creating a pause or distraction in a conversation, as many people make assertive
statements but without knowing the real ‘why’ behind those assertions.
A reversal of ‘Why’ is to ask ‘Why not’, which is a wonderful creative problem for stimulating people
to think ‘outside the box’.
Why questions include:
Why did you do that?

Why did that happen?
Why is it important for us to try it again?
Why not give it a try?

When
‘When’ seeks location in time and can imply two different types of time. ‘When’, first of all, can ask for
a specific single time, for example when a person will arrive at a given place or when an action will
be completed. ‘When’ may also seek a duration, a period of time, such as when a person will take a
holiday.
When will you be finished?

When will you give me the money?
When are you taking your holiday? (next Summer)

How
‘How’ seeks verbs of process. They thus are good for probing into deeper detail of what has happened
or what will happen.
How did you achieve that?

How shall we get there?
How will you know she likes you?
‘How’ may also be used with other words to probe into time and quantity.
How often will you see me?
How much do you owe him?
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Where
‘Where’ seeks to locate an action or event in three-dimensional space. This can be simple space, such
as on, above, under, below. It can be regional space, such as next door or in the other building. It can
be geographic space, such as New York, London or Paris.
If something is going to be delivered or done, then asking ‘Where’ is a very good companion to
asking ‘When’ to clarify exactly what delivery will take place.
Where will you put it?

Where will they be delivered?
Who
The question ‘Who’ brings people into the frame, connecting them with actions and things. The
‘Who’ of many situations includes ‘stakeholders’, who are all the people who have an interest in the
action. Key people to identify are those who will pay for and receive the benefits of the action. Of
course, you also may want to know who is going to do the work and whose neck is on the line - that
is who is ultimately responsible.
Who is this work for?

Who will benefit most from what you propose?
Who else would be interested?
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The purpose of this assignment is

1. to learn to structure a job interview
2. to have the opportunity to practice the basic interviewing techniques, including “the six
serving men”.
Split up into groups of 3-4 persons:
1. Prepare a job interview

2. Carry out a job interview (role play)
The group should agree on the job they want to focus on:
- HR Consultant (Manager): Development and Training Department
- Grill Bar assistant
Use the employee profile and job ad already prepared.
Roles:
An interviewer
A candidate
Observer 1
Observer 2
Role cards will be handed out.
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AGENDA DAY 5
Agenda Day Five
Time Contents
Session 1
Opening of day 5:
• Repetition
Session 2:
Development of Employees - The Concept of Competency:

08.15-10.00
Skills, competencies, qualifications
Session 3:
10.00-12.00
Development of Employees – Learning Objectives: Blooms Taxonomies
Lunch Break
12.00-13.00
Session 4:
13.00-14.30
Development of Employees - Learning Concept
Session 5:
14.30-15.00
Development of Employees – Gap Analysis
Session 6:
15.00-16.45
Session 7:
16.45-17.00
Workshop Wrap-Up and evaluation
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Session 1: Opening of Day Five
• Repetition
Session 2: Development of Employees - The Concept of

Competency
What is Strategic Competency Development?
For organizations to succeed in today’s competitive and complex environment, employees at all
levels need to develop and demonstrate the professional as well as personal capabilities to meet the
strategic human resources requirements.
Competency development in the entire organization is now the required approach for organizations
seeking to integrate their HR practice with the strategic and operational needs of the organization.
One meaning - many terms:
• Education
• Development
• Employee development
• Training
• Competency development
• Personal development
The above terms are used interchangeably - and often they actually bear the same meaning.
However, to distinguish between these terms it may make sense to split them up into formal and
informal learning activities.
The formal learning implies formal courses and teaching, and various training activities whereas
the more general terms such as development, personal development, competency development,
training, etc. both can mean formal education but also informal learning in the workplace through
job rotation, project work, action learning etc.
Formal learning Informal learning
Education Job rotation

Training activities Project work
Short courses Action learning
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Development
Development
Employee development
Employee development
Training
Training
Competency development
Competency development
Personal development
Personal development
Therefore, it must be emphasized that competency development in the workplace is not only a
question of formal education and short courses – it is much more than that - we shall come back to
that later in this course.
Competencies / Skills / Qualifications ?
Just as we have quite a lot of different terms for development

we also have different terms of the meaning behind the concept
of competency, i.e. skills, abilities, qualifications, knowledge, etc.
– today we talk about competency for any of these terms – and
some will argue that the term competency has undergone some
kind of inflation being a term that covers almost all the terms for
qualifications, skills, knowledge, etc.
However, can we distinguish between the different terms? – and if

so, how do we distinguish between them?
For example, we say
• ‘IT skills’ and not ‘IT competencies’

• ‘Foreign language proficiency’ – and not ‘foreign language competencies’
• ‘Handy-man qualifications – and not ‘handy-man competencies’
• ‘Theoretical competencies – and not theoretical qualifications or skills
• Etc.
Thus, we see a tendency toward skills and qualifications referring to more practical competencies
although the term competency, of course, covers practical skills as well as theoretical abilities.
The concept of the so-called ‘tacit knowledge’ is incredibly important for an organization to bear in
mind – and at the same time it is the most difficult competency to transmit to others. As opposed
to formal or explicit knowledge ‘tacit knowledge’ is knowledge that is difficult to transfer from one
person to another by means of writing down or verbalizing it. For example, stating to someone that
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Trafalgar Square is in London is a piece of explicit knowledge that can be written down, transmitted,
and understood by a recipient. However the ability to use algebra, speak a language, or how to keep
the balance on a bike requires all sorts of knowledge that is not always known explicitly, even by
expert practitioners, and which cannot be explicitly transferred to users.
Organizational knowledge
Organizational Competency
= The sum of knowledge, the organization holds
• Individual skills (experience associated with appliance of professional, general and personal
skills)
• Team Competence (autonomous teams, procedures, team composition, etc.)
• Inter-personal skills (multi-disciplinary collaboration)
• Systems and procedures (design models, quality systems, etc.)
It is important to emphasize that organizational knowledge is not only the competencies that are
linked to individual employees, but also involves good routines and procedures, communications,
etc.
In Organizational development, learning is a characteristic of an adaptive organization, i.e., an

organization that is able to sense changes in signals from its environment (both internal and external)
and adapt accordingly.
It is often said that an organization’s most valuable assets are the people it employs. The ideas,
experiences, expertise and knowledge contained in the mind of an individual may be worth more to
an organization than can be quantified with respect to how that knowledge is applied each day to
save time, reduce costs, and advance the organization’s initiatives.
The following questions should be asked and explored, first by defining each knowledge type, then
by examining how knowledge moves through an organization and becomes valuable organizational
capital. See also Knowledge Management as mentioned previously in this guide under Leadership
theories.
• How can an organization capitalize on individual knowledge?

• How do individuals contribute to groups or subunits within the organization to build group
knowledge?
• How does individual and group knowledge become organizational knowledge that can be
captured, reused, and applied to achieve measurable positive effects for the organization?
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Strategic Competency
When talking about strategic competency we

refer to the ability of the management to use
the organization’s intellectual capital and to
act proactively rather than reactively to ensure
competitive success.
This is, of course, a very brief definition. See also
Leadership Theories: Learning Organization
mentioned afore in this guide.
Back to the Employee Plans Source: www.shutterstock.com
Employee development must, of course, be compared to alternatives like recruitment of new

employees and outsourcing just as staff projections and planned redundancies must be taken into
account when discussing short as well as long term developmental activities.
Case: Multimedia Designer
The world-wide company IT Training A/S has decided to develop a new educational concept at
their location in Vietnam for a
Multimedia Designer
education, corresponding to 120 ECTS points, equivalent to 2 years full-time study.
Objectives
Short term: Test course to be implemented in the Vietnamese department

Long term: Implementation in other Asian countries.
Developing the concept implies the following working tasks:
Gathering of national permits for carrying out the course

Planning of training
Defining requirements for the education:
- Classroom
- Training facilities
- Hardware,
- Software and
- Internet access
Furthermore to define:
- Conditions for attending the course
- Pedagogical approach
- Curriculum
Exams and tests
Grading system
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Development of courseware (presentations, cases, eLearning material)
Development of teacher manuals and student workbook
Preparation of training calendar
Current Employees
John (systems)
Hang (designer of interactive media, flash specialist, and currently attending Arena’s multimedia
training)
Material Available:
Course material (student workbook, presentations, and teacher’s manual)

(based on an instructivist approach, including some step-by-step guides)
Partners:
Birmingham Technical College
Assignment
Split up in groups of 3-4 persons.

Time: 30 min.
Define what competencies are needed in the short and long run?
What kind of management is required?
Prepare a presentation with your solution
Session 3: Development of Employees – Learning

Objectives: (17)
Assignment:
Time: 20 minutes
1. Define learning objective(s) for the below courses

2. Decide which pedagogical approach you would suggest and which methods and techniques you
are going to employ
A. 6-days course for a group of local managers and key persons in a big multi-national company
where the topic is “Management and Leadership of tomorrow”. The overall purpose of the course is
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to prepare all the managers of the company for a new organizational structure.
B.1-day seminar for marketing and sales people to learn about the latest Customer Relation
Management technologies.
Write down your suggestions on the whiteboard or in a presentation program to be shown on a

projector.
Purpose:
Learning objectives are needed to be able to design and plan courses and sessions as well as
classroom activities.
Furthermore you need learning objectives to be able to measure students’ outcome of the training
activities and to assign grades.
Blooms taxonomies:
Cognitive taxonomy:
Kiến thức Ghi nhớ
Nhận thức Hiểu
Áp dụng Ứng dụng
Phân tích Phân tích
Tổng hợp Đánh giá
Đánh giá Sáng tạo
Phiên bản cũ Phiên bản mới

According to Bloom (1956) the cognitive taxonomy or domain involves knowledge and the
development of intellectual skills. This includes the recall or recognition of specific facts, procedural
patterns, and concepts that serve in the development of intellectual abilities and skills. There are six
major categories, which are listed in order below, starting from the simplest behavior to the most
complex. The categories can be thought of as degrees of difficulty. That is, the first one must be
mastered before the next one can take place.
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Category Example and Key Words
Examples: Recite a policy. Quote prices from memory to a
customer. Knows the safety rules.
Knowledge: Recall data or
information. Key Words: defines, describes, identifies, knows, labels, lists,
matches, names, outlines, recalls, recognizes, reproduces,
selects, states.
Examples: Rewrites the principles of test writing. Explain
Comprehension: Understand in one’s own words the steps for performing a complex task.
the meaning, translation, Translates an equation into a computer spreadsheet.
interpolation, and interpretation
of instructions and problems. Key Words: comprehends, converts, defends, distinguishes,
State a problem in one’s own estimates, explains, extends, generalizes, gives Examples,
words. infers, interprets, paraphrases, predicts, rewrites, summarizes,
translates.
Application: Use a concept in Examples: Use a manual to calculate an employee’s vacation

time. Apply laws of statistics to evaluate the reliability of a
a new situation or unprompted
written test.
use of an abstraction. Applies
what was learned in the
Key Words: applies, changes, computes, constructs,
classroom into novel situations
demonstrates, discovers, manipulates, modifies, operates,
in the work place.
predicts, prepares, produces, relates, shows, solves, uses.
Examples: Troubleshoot a piece of equipment by
using logical deduction. Recognize logical fallacies in
Analysis: Separates material
reasoning. Gathers information from a department and
or concepts into component
selects the required tasks for training.
parts so that its organizational
structure may be understood.
Key Words: analyzes, breaks down, compares,
Distinguishes between facts and
contrasts, diagrams, deconstructs, differentiates,
inferences.
discriminates, distinguishes, identifies, illustrates, infers,
outlines, relates, selects, separates.
Examples: Write a company operations or process manual.
Design a machine to perform a specific task. Integrates
Synthesis: Builds a structure or
training from several sources to solve a problem. Revises and
pattern from diverse elements.
Put parts together to form process to improve the outcome.
a whole, with emphasis on
Key Words: categorizes, combines, compiles, composes,
creating a new meaning or
creates, devises, designs, explains, generates, modifies,
structure.
organizes, plans, rearranges, reconstructs, relates, reorganizes,
revises, rewrites, summarizes, tells, writes.
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Examples: Select the most effective solution. Hire the most
qualified candidate. Explain and justify a new budget.
Evaluation: Make judgments
about the value of ideas or Key Words: appraises, compares, concludes, contrasts,
materials. criticizes, critiques, defends, describes, discriminates,
evaluates, explains, interprets, justifies, relates, summarizes,
supports.
Bloom’s Revised Taxonomy:

Lorin Anderson, a former student of Bloom, revisited the cognitive domain in the learning taxonomy
in the mid-nineties and made some changes, with perhaps the two most prominent ones being, 1)
changing the names in the six categories from noun to verb forms, and 2) slightly rearranging them.
This new taxonomy reflects a more active form of thinking and is perhaps more accurate:
Original Domain -> New Domain
Evaluation -> Evaluating
Synthesis -> Creating
Enalysis -> Enalyzing
Applycation -> Applying
Comprehension -> Understanding
Knowledge -> Remembering
Affective Taxonomy:
The affective domain (Krathwohl, Bloom, Masia, 1973) includes the manner in which we deal with
things emotionally, such as feelings, values, appreciation, enthusiasms, motivations, and attitudes.
The five major categories are listed from the simplest behavior to the most complex:
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Examples: Listen to others with respect. Listen for and
Receiving Phenomena: Awareness, remember the name of newly introduced people.
willingness to hear, selected Key Words: asks, chooses, describes, follows, gives, holds,
attention. identifies, locates, names, points to, selects, sits, erects,
replies, uses.
Responding to Phenomena:
Active participation on the Examples: Participates in class discussions. Gives a
part of the learners. Attends presentation. Questions new ideals, concepts, models, etc.
and reacts to a particular in order to fully understand them. Know the safety rules
phenomenon. Learning outcomes and practices them.
may emphasize compliance in Key Words: answers, assists, aids, complies, conforms,
responding, willingness to respond, discusses, greets, helps, labels, performs, practices,
or satisfaction in responding presents, reads, recites, reports, selects, tells, writes.
(motivation).
Valuing: The worth or value a
person attaches to a particular Examples: Demonstrates belief in the democratic
object, phenomenon, or process. Is sensitive towards individual and cultural
behavior. This ranges from simple differences (value diversity). Shows the ability to solve
acceptance to the more complex problems. Proposes a plan to social improvement and
state of commitment. Valuing is follows through with commitment. Informs management
based on the internalization of a set on matters that one feels strongly about.
of specified values, while clues to Key Words: completes, demonstrates, differentiates,
these values are expressed in the explains, follows, forms, initiates, invites, joins, justifies,
learner's overt behavior and are proposes, reads, reports, selects, shares, studies, works.
often identifiable.
Examples: Recognizes the need for balance between
freedom and responsible behavior. Accepts responsibility
Organization: Organizes values for one's behavior. Explains the role of systematic
into priorities by contrasting planning in solving problems. Accepts professional ethical
different values, resolving conflicts standards. Creates a life plan in harmony with abilities,
between them, and creating an interests, and beliefs. Prioritizes time effectively to meet
unique value system. The emphasis the needs of the organization, family, and self.
is on comparing, relating, and Key Words: adheres, alters, arranges, combines,
synthesizing values. compares, completes, defends, explains, formulates,
generalizes, identifies, integrates, modifies, orders,
organizes, prepares, relates, synthesizes.
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Internalizing values Examples: Shows self-reliance when working
(characterization): Has a independently. Cooperates in group activities (displays
value system that controls their teamwork). Uses an objective approach in problem
behavior. The behavior is pervasive, solving. Displays a professional commitment to ethical
consistent, predictable, and most practice on a daily basis. Revises judgments and changes
importantly, characteristic of the behavior in light of new evidence. Values people for what
learner. Instructional objectives they are, not how they look.
are concerned with the student's Key Words: acts, discriminates, displays, influences,
general patterns of adjustment listens, modifies, performs, practices, proposes, qualifies,
(personal, social, emotional). questions, revises, serves, solves, verifies.
The affective domain is important when we talk about students’ motivation for learning. Not all
adults go to school of their own free will – often they have been asked to seek further development
by their employer. Therefore, it is important as a teacher to be aware of this affective domain – how
do we make participants value the new knowledge or even how do we motivate them just to be
present or even more important to be active learners?
Psychomotor Domain:
The psychomotor domain (Simpson, 1972) includes physical movement, coordination, and use
of the motor-skill areas. This taxonomy is very suitable for determining learning objectives for
example for craftsmen and technicians, i.e. IT skills. Development of these skills requires practice
and is measured in terms of speed, precision, distance, procedures, or techniques in execution. The
seven major categories are listed from the simplest behavior to the most complex:
Examples: Detects non-verbal communication cues.

Estimate where a ball will land after it is thrown and
then moving to the correct location to catch the ball.
Perception: The ability to use sensory Adjusts heat of stove to correct temperature by smell
cues to guide motor activity. This ranges and taste of food. Adjusts the height of the forks on a
from sensory stimulation, through cue forklift by comparing where the forks are in relation
selection, to translation. to the pallet.
Key Words: chooses, describes, detects, differentiates,

distinguishes, identifies, isolates, relates, selects.
150
Examples: Knows and acts upon a sequence of
steps in a manufacturing process. Recognize one's
Set: Readiness to act. It includes mental, abilities and limitations. Shows desire to learn a
physical, and emotional sets. These three new process (motivation). NOTE: This subdivision of
sets are dispositions that predetermine a Psychomotor is closely related with the "Responding
person's response to different situations to phenomena" subdivision of the Affective domain.
(sometimes called mindsets).
Key Words: begins, displays, explains, moves,
proceeds, reacts, shows, states, volunteers.
Examples: Performs a mathematical equation as

Guided Response: The early stages in demonstrated. Follows instructions to build a model.
learning a complex skill that includes Responds hand-signals of instructor while learning to
imitation and trial and error. Adequacy operate a forklift.
of performance is achieved by
practicing. Key Words: copies, traces, follows, react, reproduce,
responds
Mechanism: This is the intermediate Examples: Use a personal computer. Repair a

stage in learning a complex leaking faucet. Drive a car.
skill. Learned responses have become Key Words: assembles, calibrates, constructs,
habitual and the movements can be dismantles, displays, fastens, fixes, grinds, heats,
performed with some confidence and manipulates, measures, mends, mixes, organizes,
proficiency. sketches.
Complex Overt Response: The
skillful performance of motor acts Examples: Maneuvers a car into a tight parallel
that involve complex movement parking spot. Operates a computer quickly and
patterns. Proficiency is indicated by a accurately. Displays competence while playing the
quick, accurate, and highly coordinated piano.
performance, requiring a minimum
Key Words: assembles, builds, calibrates, constructs,
of energy. This category includes
dismantles, displays, fastens, fixes, grinds, heats,
performing without hesitation, and
manipulates, measures, mends, mixes, organizes,
automatic performance. For example,
sketches.
players are often utter sounds of
satisfaction or expletives as soon as NOTE: The Key Words are the same as Mechanism, but
they hit a tennis ball or throw a football, will have adverbs or adjectives that indicate that the
because they can tell by the feel of the performance is quicker, better, more accurate, etc.
act what the result will produce.
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Examples: Responds effectively to unexpected
experiences. Modifies instruction to meet the needs
Adaptation: Skills are well developed of the learners. Perform a task with a machine that
and the individual can modify it was not originally intended to do (machine is not
movement patterns to fit special damaged and there is no danger in performing the
requirements. new task).
Key Words: adapts, alters, changes, rearranges,

reorganizes, revises, varies.
Examples: Constructs a new theory. Develops a new
Origination: Creating new movement and comprehensive training programming. Creates a
patterns to fit a particular situation or new gymnastic routine.
specific problem. Learning outcomes
emphasize creativity based upon highly Key Words: arranges, builds, combines, composes,
developed skills. constructs, creates, designs, initiate, makes,
originates.
Session 4: Development of Employees – Learning

Concept
Brainstorming
When recalling your own study/school situations:

1. How would you characterize the best teaching you have ever had?
2. How would you characterize the training situation where you feel you have learned the most?
First: Individually, 5 min.

Second: In pairs, 5 min.
Choose one example of each situation to present for the rest of the group
152
Các học thuyết về nhận thức ban đầu:
Learning Theory Teaching Outcome

terminology praxis
Human being -> a The early cognitive Tranfer Fact knowl-

computer theory(Piaget/Bruner): Instruction edge
Lecturing
Learning must be A theory where the internal (Memorizing/
designed so that cognitive and psychological pro- (petrol pumb Recognizing)
the ‘computer’ as cesses in the brain is in focus. method)
easy as possible can About cognitive structures in the
decode the mean- brain(Schema)
ing
Focus on memory
Jerome Seymour Bruner (born October 1, 1915) is an American psychologist who has contributed
to cognitive psychology and cognitive learning theory in educational psychology, as well as to the
history and to the general philosophy of education.
Bruner’s ideas are based on categorization. “To perceive is to categorize, to conceptualize is to
categorize, to learn is to form categories, to make decisions is to categorize.”
Bruner maintains that people interpret the world in terms of its similarities and differences. Like
Bloom’s Taxonomy, Bruner suggests a system of coding in which people form a hierarchical
arrangement of related categories. Each successively higher level of categories becomes more
specific, mirroring Benjamin Bloom’s understanding of knowledge acquisition as well as the related
idea of instructional scaffolding.
He has also suggested that there are two primary modes of thought: the narrative mode and the
paradigmatic mode. In narrative thinking, the mind engages in sequential, action-oriented, detail-
driven thought. In paradigmatic thinking, the mind transcends particularities to achieve systematic,
categorical cognition. In the former case, thinking takes the form of stories and “gripping drama.” In
the latter, thinking is structured as propositions linked by logical operators.
In his research on the development of children (1966), Bruner proposed three modes of
representation: enactive representation (action-based), iconic representation (image-based), and
symbolic representation (language-based). Rather than neatly delineated stages, the modes of
representation are integrated and only loosely sequential as they “translate” into each other. Symbolic
representation remains the ultimate mode, for it “is clearly the most mysterious of the three.” Bruner’s
theory suggests it is efficacious when faced with new material to follow a progression from enactive
to iconic to symbolic representation; this holds true even for adult learners. A true instructional
designer, Bruner’s work also suggests that a learner (even of a very young age) is capable of learning
any material so long as the instruction is organized appropriately, in sharp contrast to the beliefs of
153
Piaget’s latest theories in the 80’s and other stage theorists. (Driscoll, Marcy). Wikipedia
See also the first steps of the late cognitive theory below.
Most and foremost learning theory according to the early cognitive theory is a matter of being able
to memorize the input given by the teacher.
This cognitive thinking lies behind the dominant school practice through time, when students
passively received information that had been packaged and pre-digested by teachers and textbooks.
Thus, the school provided an endless amassing of facts, which were fed to the students, who gave
them back and soon forgot them.
The Basics of Behaviourism:

terminology praxis
Human being = a research The Russian socio Problemsolving Deep-level

worker psychologists: tasks under-
Vygotsky and Project work standing of
“We can learn from the child- Leontiev: Exercises demand- a problem
rens” playing and children learn inghigh
through playing...” From cultural- level of processing
historical theory
The learning proce must be de- (Vygotsky) to
signed so that the student most activity theory
easily can gain the knowledge (Leontiev)
he/she has a need for.
The Stimulus-Response pattern:
Behaviorism, as a learning theory, can be traced back to Aristotle, whose essay “Memory” focused
on associations being made between events such as lightning and thunder. Other philosophers
that followed Aristotle’s thoughts are Hobbs (1650), Hume (1740), Brown (1820), Bain (1855) and
Ebbinghause (1885) (Black, 1995).
The theory of behaviourism concentrates on the study of overt behaviors that can be observed
and measured (Good & Brophy, 1990). It views the mind as a “black box” in the sense that response
to stimulus can be observed quantitatively, totally ignoring the possibility of thought processes
occurring in the mind. Some key players in the development of the behaviourist theory were
Pavlov, Watson, Thorndike and Skinner.
154
Pavlov (1849 - 1936):
For most people, the name Pavlov “rings a bell”. The Russian physiologist is best known for his work
in classical conditioning or stimulus substitution. Pavlov’s most famous experiment involved food, a
dog and a bell...
Pavlov’s Experiment:
Before conditioning, ringing the bell caused no response from the dog. Placing food in front of the
dog initiated salivation.
During conditioning, the bell was rung a few seconds before the dog was presented with food.
After conditioning, the ringing of the bell alone produced salivation
(Dembo, 1994).

You may choose to draw the following illustration on the white board:
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iều kiện có điều kiện
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ế
ăn
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Food Unconditioned Stimulus

Salivation Unconditioned Response (natural, not learned)
Bell Conditioned Stimulus
Salivation Conditioned Response (to bell)
Other behavioural psychologists have made similar experiments, among others the American
psychologists John Watson (1878-1958) and Burrhis Skinner (1904-1990). Particularly Watson is
associated with the term Behaviorism.
John B. Watson was the first American psychologist to use Pavlov’s ideas. He was originally involved
in animal research, but later became involved in the study of human behaviour.
Watson believed that humans are born with a few reflexes and the emotional reactions of love and
rage. All other behaviour is established through stimulus-response associations through conditioning.
155
Watson’s Experiment:
Watson demonstrated classical conditioning in an experiment involving a young child (Albert)
and a white rat. Originally, Albert was unafraid of the rat; but Watson created a sudden loud noise
whenever Albert touched the rat. Because Albert was frightened by the loud noise, he soon became
conditioned to fear and avoid the rat. The fear was generalized to other small animals. Watson then
“extinguished” the fear by presenting the rat without the loud noise. Some accounts of the study
suggest that the conditioned fear was more powerful and permanent than it really was. (Harris, 1979;
Samelson, 1980, in Brophy, 1990)
Certainly Watson’s research methods would be questioned today; however, his work did demonstrate
the role of conditioning in the development of emotional responses to certain stimuli. This may
explain certain fears, phobias and prejudices that people develop.
If dogs, as the American psychologists argued, are able to learn by conditioning, i.e. the stimulus-
response, hard training, punishments and awards, the same must apply to humans. This again means
that you should be able to learn all you want to learn by using a hard training, punishments and
award method. One such well known method is the multiple choice training techniques and multiple
choice tests.
Constructivism
The most well-known theories behind the constructivist approach are the late cognitive theory,
Leontiev’s Activity Theory and the Action Learning theory based on John Dewey’s learning theories.
Late Cognitive Theory

terminology praxis

historical theory
156
Key Concepts of Late Cognitive Theory (Piaget)
• Schema - An internal knowledge structure. New information is compared to existing cognitive

structures called “schema”. Schema may be combined, extended or altered to accommodate new
information.
• Three-Stage Information Processing Model - input first enters a sensory register, then is processed
in short-term memory, and then is transferred to long-term memory for storage and retrieval.
1. Sensory Register - receives input from senses which lasts from less than a second to four
seconds and then disappears through decay or replacement. Much of the information
never reaches short term memory but all information is monitored at some level and
acted upon if necessary.
2. Short-Term Memory (STM) - sensory input that is important or interesting is transferred
from the sensory register to the STM. Memory can be retained here for up to 20 seconds
or more if rehearsed repeatedly. Short-term memory can hold up to 7 plus or minus 2
items. STM capacity can be increased if material is chunked into meaningful parts.
3. Long-Term Memory and Storage (LTM) - stores information from STM for long term use.
Long-term memory has unlimited capacity. Some materials are “forced” into LTM by rote
memorization and over learning. Deeper levels of processing such as generating linkages
between old and new information are much better for successful retention of material.
• Meaningful Effects - Meaningful information is easier to learn and remember. (Cofer, 1971,
in Good and Brophy, 1990) If a learner links relatively meaningless information with prior
schema it will be easier to retain. (Wittrock, Marks, & Doctorow, 1975, in Good and Brophy,
1990)
• Serial Position Effects - It is easier to remember items from the beginning or end of a list
rather than those in the middle of the list, unless that item is distinctly different.
• Practice Effects - Practicing or rehearsing improves retention especially when it is distributed
practice. By distributing practices the learner associates the material with many different
contexts rather than the one context afforded by mass practice.
• Transfer Effects- The effects of prior learning on learning new tasks or material.
• Interference Effects - Occurs when prior learning interferes with the learning of new material.
• Organization Effects - When a learner categorizes input such as a grocery list, it is easier to
remember.
• Levels of Processing Effects - Words may be processed at a low-level sensory analysis of their
physical characteristics to high-level semantic analysis of their meaning. (Craik and Lockhart,
1972, in Good and Brophy, 1990) The more deeply a word is process the easier it will be to
remember.
• State Dependent Effects - If learning takes place within a certain context it will be easier to
remember within that context rather than in a new context.
• Mnemonic Effects - Mnemonics are strategies used by learners to organize relatively
meaningless input into more meaningful images or semantic contexts. For example, the
notes of a musical scale can be remembered by the rhyme: Every Good Boy Deserves Fruit.
• Schema Effects - If information does not fit a person’s schema it may be more difficult for
157
them to remember and what they remember or how they conceive of it may also be affected
by their prior schema.
• Advance Organizers - Ausebels advance organizers prepare the learner for the material they
are about to learn. They are not simply outlines of the material, but are material that will
enable the student to make sense out of the lesson.
Activity Theory

terminology praxis

historical theory
Activity theory is a psychological meta-theory, paradigm, or framework, with its roots in the Soviet
psychologist Vygotsky’s cultural-historical psychology. Its founders were Alexei N. Leont’ev (1903-
1979), and Sergei Rubinshtein (1889-1960) who sought to understand human activities as complex,
socially situated phenomena and go beyond paradigms of psychoanalysis and behaviorism. It
became one of the major psychological approaches in the former USSR, being widely used in
both theoretical and applied psychology, in areas such as education, training, ergonomics, and
work psychology. Activity theory theorizes that when individuals engage and interact with their
environment, production of tools results. These tools are “exteriorized” forms of mental processes,
and as these mental processes are manifested in tools, they become more readily accessible and
communicable to other people, thereafter becoming useful for social interaction.
General and Specific Definitions of “Activity”:

As the name of his approach indicates, the emphasis is on the analytical concept of “Activity” (in it’s
general and specific evolutionary manifestations) rather than on the more familiar terms such as
behaviour, mental states, or even cognition.
The present page is intended to: (1) provide a quick reference for the general definition of the
concept of “Activity” (as used by A.N. Leontiev); and to (2) depict the various ‘levels of psyche’ he used
158
in Problems of Development of the Mind (1959; English transl. 1981).
“Activity [in its generic sense] is the non-additive, molar unit of life for the material, corporeal subject.
In a narrower sense (i.e., on the psychological level) it is the unit of life that is mediated by mental
reflection. The real function of this unit is to orient the subject in the world of objects. In other words,
activity is not a reaction or aggregate of reactions, but a system with its own structure, its own internal
transformations, and its own development” (Leontyev, in Wertsch, 1979, p. 46; emphasis added).
Basic “Structure” and terms used with regard to Human Activity:
Activity Motive
Action Goal
Operation Conditions
Activity (in human beings) is governed by its motive/motives: The man is engaged in a communal
hunt because he wants to feed his family.
Actions are governed by their goals: The man performs the role of “beater” (the goal being to scare
the prey away from himself and toward the other members of the hunting party).
Operations are governed by the conditions of the hunt. How he carries out the various tasks involved
in his role will depend upon the terrain, kind of game-animal sought, wind direction, the weather,
the season of the year, etc.
Action Learning
When saying Action Learning we cannot avoid saying John Dewey – the father of the “Learning by
doing” concept.
John Dewey (1859-1952) was an American philosopher

and educator whose writings and teachings have had
profound influences on education in the United States but in
Scandinavia in particular. Dewey’s philosophy of education,
instrumentalism (also called pragmatism) focused on
learning-by-doing rather than rote learning and dogmatic
instruction, the current practice of his day. A concise summary
and explanation of Dewey’s educational philosophy can
be found in the International Encyclopedia of Education
(Pergamon, 1994).
The starting place in Dewey’s philosophy and educational

theory is the world of everyday life. Unlike many philosophers,

Dewey did not search beyond the realm of ordinary experience
to find some more fundamental and enduring reality. For
Dewey, the everyday world of common experience was all the
reality that man had access to or needed. Dewey was greatly
159
impressed with the success of the physical sciences in solving practical problems and in explaining,
predicting, and controlling man’s environment. He considered the scientific mode of inquiry and
the scientific systematization of human experience the highest attainment in the evolution of the
mind of man, and this way of thinking and approaching the world became a major feature of his
philosophy. In fact, he defined the educational process as a “continual reorganization, reconstruction
and transformation of experience” (1916, p. 50), for he believed that it is only through experience that
man learns about the world and only by the use of his experience that man can maintain and better
himself in the world.
Dewey was careful in his writings to make clear what kinds of experiences were most valuable and
useful. Some experiences are merely passive affairs, pleasant or painful but not educative. An educative
experience, according to Dewey, is an experience in which we make a connection between what we
do to things and what happens to them or us in consequence; the value of an experience lies in the
perception of relationships or continuities among events. Thus, if a child reaches for a candle flame
and burns his hand, he experiences pain, but this is not an educative experience unless he realizes
that touching the flame resulted in a burn and, moreover, formulates the general expectation that
flames will produce burns if touched. In just this way, before we are formally instructed, we learn
much about the world, ourselves, and others. It is this natural form of learning from experience,
by doing and then reflecting on what happened, which Dewey made central in his approach to
schooling.
Reflective thinking and the perception of relationships arise only in problematical situations. As long
as our interaction with our environment is a fairly smooth affair we may think of nothing or merely
daydream, but when this untroubled state of affairs is disrupted we have a problem which must
be solved before the untroubled state can be restored. For example, a man walking in a forest is
suddenly stopped short by a stream which blocks his path, and his desire to continue walking in the
same direction is thwarted. He considers possible solutions to his problem–finding or producing a
set of stepping-stones, finding and jumping across a narrow part, using something to bridge the
stream, and so forth–and looks for materials or conditions to fit one of the proposed solutions. He
finds an abundance of stones in the area and decides that the first suggestion is most worth testing.
Then he places the stones in the water, steps across to the other side, and is off again on his hike.
Such an example illustrates all the elements of Dewey’s theoretical description of reflective thinking:
A real problem arises out of present experiences, suggestions for a solution come to mind, relevant
data are observed, and a hypothesis is formed, acted upon, and finally tested.
Learning
For Dewey, learning was primarily an activity which arises from the personal experience of
grappling with a problem. This concept of learning implied a theory of education far different from
the dominant school practice of his day, when students passively received information that had
been packaged and predigested by teachers and textbooks. Thus, Dewey argued, the schools did
not provide genuine learning experiences but only an endless amassing of facts, which were fed to
the students, who gave them back and soon forgot them.
Do more research about Dewey’s educational theories on the Internet, i.e. on this link:
http://education.stateuniversity.com/pages/1914/Dewey-John-1859-1952.html
160
Sum up on the Instructivist Approach:
Instructivist Approach
Teaching Learning
Læringsteorier
praxis outcome
Behaviorism Hard training

Human being Learning = change in behaviour. Repetition
-> a black The theory of behaviorism concentrates on the Basic paired
box study of overt behaviors that can be observed associations
and measured. It views the mind as a ”black Rote
The learning box” in the sense that response to stimulus can memorization
Recognition
should be be observed quantitatively, totally ignoring
competence
designed the possibility of thought processes occurring tasks requiring
so that we in the mind. a low degree of
most easily ”Stimulus-Response pattern” processing
can test what Tha name ”Pavlov” should ring a bell.’
the students Trial-and-error-
have learnt Ivan Pavlov (1849-1936) learning,
John Watson (1878-1958) Reward and
Burrhis Skinner (1904-1990) punishment
Early cognitive learning theory
Transfer
A theory where the internal cognitive and teaching:
Human psychological processes in the brain is in Monologue –
being -> a focus. About cognitive structures in the brain; from teacher to
computer Schema students
Schema - An internal knowledge structure.
Learning New information is compared to existing Teaching should
must be cognitive structures called ”schema”. Schema be designed Facts
designed may be combined, extended or altered to as simple as
so that the accommodate new information. possible by (Basic knowledge)
’computer’ illustrations and
as easy as Three-Stage Information Processing Model examples.
possible can - input first enters a sensory register, then is
decode the processed in short-term memory, and then is The students
meaning transferred to long-term memory for storage should not be
and retrieval. troubled by any
Sweller, Piaget, Bruner) brain work.
Around 1920
Tasks requiring
Late Cognitive theory (Constructivist)
an increased
Cognitive, pychological proceses + processer
level of Knowledge and
+ reflection
processing. understanding in a
Reflection simple context
The late
Dialogue
Piaget og Bruner theories (1980’s)
161
Sum up on the Constructivist Approach:
Constructivist Approach
Læringsterminologi Læringsteorier Teaching praxis Learning outcome
The Cultural-Historical School
From cultural-historical theory

(Vygotsky) to activity theory
Human being -> a (Leontiev) Deep-level
Research Worker! understanding of a
Problem solving
We can learn from the childrens’ problem
tasks
The learning room playing and children learn through
Project work
should be designed playing. (Vygotsky)
so that the students Understanding the
Tasks demanding
most easily can find the Activity theory(Leontiev) process will lead to
high levels of
knowledge they think The human activity = the processes knowledge
processing
they need for solving a under which the human being
problem. develops and changes.
Vygotsky (-1935)
Leontiev (-1952)
Differentiation
The Multiple Intelligences theory
Humans learn in many different
Text/aural
ways according to their individual
activities/visual
learning style
presentations/
hands on exercises
Howard Gardner
etc.
Tasks demanding
John Dewey is the father of high levels of
“Learning by doing” processing
John Dewey (1859-1952) believed
that learning was active and Problem solving
schooling unnecessarily long and pracmaticly
Human being -> a and restrictive. His idea was that oriented learning
Problem Solver. children came to school to do situations.
things and live in a community
All learning evolve which gave them real, guided Experience-based
in problem-solving experiences which fostered their learning
situations. capacity to contribute to society. The learning
For example, Dewey believed that activities should
students should be involved in give the student
real-life tasks and challenges: an opportunity to
self realization and
John Dewey (1859-1952) creative activities.
162
Assignment
Work in groups of 3-4

Time: 40 min.
1. Set learning objectives for the training activities

2. Which pedagogical approach would you suggest?
3. What kind of methods and techniques would you recommend to meet the requirements of the
chosen pedagogical approach?
4. Which examination form would you propose? Explain why.
Prepare a presentation.
NB.: The learning objective may be described with words or by using Bloom’s taxonomies.
Session 5: Development of Employees
What is gap analysis?
When we talk about a gap analysis it is the gap between the needed competencies of an organization
and the current existing competencies. That’s the simple way of calculation which can also be
illustrated by a simple example:
Nhu cầu: Năng lực sẵn có:
Bếp trưởng: người nấu các món ăn Carlo
truyền thống của Đan Mạch ngon nhất Làm việc độc lập
Tự học cách chế biến
Đội ngũ phụ bếp và người học việc có Một thợ làm bánh pizza chuyên nghiệp
trách nhiệm Source: www.shutterstock.com
Source: www.shutterstock.com GAP = sự khác nhau

giữa nhu cầu cơ bản và
năng lực sẵn có
163
Example:
If you change from a small restaurant with a pizza concept to a

restaurant with traditional local food – what kind of competencies
does a change like that require? Can we use the personnel we
have already or do we have to look for new employees?
In this case it would most likely to recruit a new chef because the
gap is too big. In other cases, on the other hand, where there is
not as big a gap like this, it might be considered to develop the
current staff to perform new tasks.
Slide: We’ve Carlo, who is an expert for pizzas, but we want a ‘Mrs.
Beaton’ (find the name of a famous local chef who is an expert on
local, traditional cuisine).
If we have only a small business it’s easy to predict. If we have a

large organization it is much more complex and difficult, however,
it s very important to keep track of the total competencies needed
in the organization, the existing competencies, and especially the
educational initiatives that have already been launched.
Competence Requirements
Sources of competence developments:
Surrounding world: New legislation, new technologies, increased competition, etc.
Organization: New Strategies - desire to act proactively in relation to its competitors.
Employee requirements and career plans: The employees may want further education and personal
development
• to be able to act reactive (to tackle the required work tasks)

• to be proactive (according to career plans)
What to do from a practical point of view?

• Development of job analyses
• Development of employee profiles.
Some organizations use specific electronic software to calculate the gap of competencies and to
uncover possibilities of developing existing employees to meet the required competencies.
Development Activities:
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JOB:
• Variation in the job, job rotation, feedback, delegation, wholeness of job situation, learning
from mistakes.
DIALOGUE:
• One-to-one dialogue, informal conversations, collaboration
EXPERIENCE AND KNOWLEDGE SHARING:
• Apprenticeship, coaching, mentoring, networking, knowledge-sharing intranet.
COLLABORTION SITUATIONS:
• Participation in projects, team meetings.
CHANGE:
• Organizational changes, job rotation etc.
Assignment
Work groups of 3-4
Time: 30 min.
Define the staff needed to solve the tasks - in the

long run (including global education).
What kind of development activities do you

suggest for the individual employees (including
managers): See personal development activities
in the basic text book.
Prepare a presentation Source: www.shutterstock.com
165
Session 6: Management Styles
In relation to the various areas within the field of managing human
resources the manager plays a significant role – and not least the
management style employed.
Various management styles can be employed dependent on the

culture of the business, the nature of the task, the nature of the
workforce and the personality and skills of the leaders. This idea
was developed by Robert Tannenbaum and Warren H. Schmidt
(1958, 1973) who argued that the style of leadership is dependent
upon the prevailing circumstances; therefore leaders should
exercise a range of leadership styles and should deploy them as
appropriate.
Before we move on to discuss Tannenbaum and Schmidt’s theory

we shall concentrate on Douglas McGregor’s X and Y theory
and Adizes PAEI management roles which theories are certainly still in force when talking about
leadership styles and roles.
Theory X and Theory Y

Is a theory of human motivation created and developed by Douglas McGregor in the 1960s
that has been used in human resource management, organizational behavior, organizational
communication and organizational development. It describes two very different attitudes towards
workforce motivation. McGregor felt that companies followed either one or the other approach.
He also thought that the key to connecting self-actualization with work is determined by the
managerial trust of subordinates.
Theory X Theory Y
a. People are fundamentally lazy A. People like working and welcome the future
B. People are interested in and concerned about

b. People are only interested in what
others
is to their own advantage
166
c. Punishment often has C. Punishment leads to results
quite the opposite effect
d. People are interested in

D. People are not interested in their work.
their work.
e. People are honest E. People are dishonest.
f. People are calculating F. People are open-minded in their

contact with others.
g. Discipline and control lead G. People work best with unrestricted

to the best results. freedom.
h. People do not care how H. People are concerned about their

the company is getting on company
i. People do not want to take

I. People like having responsibility
any responsibility
The two types of humanity style (X and Y) often lead to either:
1. An authoritarian management style (orders, one-way communication, strict management and

control - including financial control)
2. A democratic management style (involves the personnel, motivates and encourages using all
competencies, listens, and delegates)
In between the X and Y styles we also talk about a laissez-faire leadership where the leader is passive
and interfering as little as possible (a laissez-faire approach).
Ichak Adizes
Whereas McGregor’s theory is about basic assumptions and attitudes among managers Adizes PAEI
theory offers a more nuanced view of personal profiles and can be a useful tool for all managers to
be aware of.
What type of leader are you?
167
Are you a capital P (producer)?
Are you a capital A (manager)?
Are you a capital E (contractor)?
Are you a capital I (integrator)?
The advantage of Adizes is that it is easy to remember and to use in a discussion of what type of
manager is needed in different situations and for a management team.
Adizes’ PAEI model describes the four key roles that make up a successful management team:
• Producer
• Administrator
• Entrepreneur
• Integrator
PHONG CÁCH QUẢN LÝ CỦA ADIZES
Nhà sản xuất: Nhà kinh doanh:

• Giàu năng lượng • Có nhiều ước mơ
• Thích sự bận rộn • Không thỏa mãn với những kết quả
• Thường thích đạt được những kết hiện tại
quả chắc chắn • Có tiền đồ sự nghiệp trong tương lai
• Thiếu kiên nhẫn trong những • Được tiếp sức bởi chính những thử
công việc có tính chiến lược lâu thách mới lạ và cơ hội hứng thú
dài
Nhà quản lý: Người hợp nhất:

• Làm việc có hệ thống • Họ tham gia vào nhu cầu, cách nhìn,
• Có trật tự động lực, nhận xét, và những tranh
• Là những người ít nói và thận luận của nhân viên nhằm tạo nên
trọng một môi trường làm việc có tính xây
• Tập trung vào chi tiết dựng
• Không hài lòng với sự mơ hồ và • Biết thông cảm
tự phát • Là những người tham gia xây dựng
nhóm
Adizes APEI styles have often been compared with Belbin’s roles. To conduct a Belbin test requires a
certification but sometimes a Belbin test can be found on the internet for free use. However, be aware
that it is a true Belbin test. Belbin’s definition of 9 team roles is a very useful tool when composing
project teams rather than defining management styles. A person can contain several of the 9 Belbin
roles or characteristics, and, according to Belbin, a team should represent all 9 roles to be able to act
efficiently.
168
169
AGENDA DAY 6
Agenda Day Six
Time Contents
Session 1
Opening of day 6:
• Repetition
Session 2
08.15-10.00
Situational Leadership
Session 3
11.00-12.00
How to retain people
Lunch Break
12.00-13.00
13.00-15.30
How to retain people
Session 4
15.30-16.45
Dismissals, retirements, and resignations
Session 5
16.45-17.00
172
Session 1: Opening of Day 6
• Repetition
Session 2: Situational Leadership

In the McGregor’s X and Y leadership style theory we saw two extreme leadership styles. In the
first case we saw the transactional or authoritative leadership focusing on power and status. The
second leadership style was the charismatic leadership focusing on ”unique qualities surrounding
charisma”. A third leadership style, pluralistic leadership, revolves around group decision making,
which style values the opinions of others. The Situational Leadership theory argues that no one style
of leadership pertains to all given workplace situations. Rather, ”scholars have asserted that effective
leaders change their leadership styles to fit the situation”. Thus, a leader’s style changes with both
the situations they are faced with and the environment that they are in. The theory suggests that not
only can leaders alter their leadership styles but that they should do so depending on the situation at
hand. The flexible leader and manager should be able to adapt to the situation, task and employee.
Such scholars are, among others, Tannenbaum & Schmidt who have been working with this aspect
since 1939. In 1973, they came up with a continuum of earlier studies with a range of leadership
behaviors, ranging from manager-centered (task) to subordinate-centered (relationship).
Lựa chọn của những hành vi quản lý
Tự do của những người dưới quyền
Sử dụng thẩm quyền bởi nhà

lãnh đạo
Lãnh đạo tối dân chủ
Về người lãnh đạo

Lãnh đạo tối cao
Về nhân viên
Về văn hóa
Về tình hình hiện tại
173
The continuum of areas of freedom:
1. Manager takes decisions and announces it – no team involvement

2. Manager decides and then “Sells” his decision to the team – team may raise some concerns
3. Manager presents decisions with background ideas for the decisions and invites questions – more
team involvement
4. Manager suggests provisional decision & invites discussion regarding the decision – team can
have a say on manager’s decisions
5. Manager presents the problem or situation, get suggestions, then decides – team is free to come
up with options
6. Manager explains the situation or problem, defines the parameters, and asks the team to decide
on the solution – manager delegates the whole thing to the team; but still manager is responsible
for the outcome
7. Manager allows the team to develop options and decide on the action, within the manager’s
received limit – team does all the work almost as what the manager does at level 1.
This theory defines the criteria for involvement and delegation as well as the range of choices for the
involvement.
Later scholars such as Hersey and Blanchard have further developed this continuum in their well
known model of the role of leaders and followers according to the situation.
Hersey and Blanchard characterized leadership style in terms of the amount of direction and support
that the leader provides to their followers. In their SL II model they categorized all leadership styles
into four behavior types, which they named S1 to S4:
Thấp
S3 S2
Bạn nghĩ gì Tôi không thể
Tôi muốn
Ủng hộ / Tham gia
Mọi người đang nói về động lực của việc Kèm cặp / Thuyết phục
tham gia Lãnh đạo phát biểu
Thúc đẩy/Giảng giải
(không phải là cái gì mà là tại sao)
Bởi
người
theo Bạn có muốn Tôi muốn...
Anh phải...
sau
Ủy quyền lãnh đạo
Động lực cho những quyết định Ra lệnh / cả quyết
Lãnh đạo phát biểu
Hướng dẫn/ giám sát đối tượng, các thức,
thời gian
S4 S1
Cao
Cao Thuần thục trong công việc Thấp

Cơ chín
bản chắn
M4 M3 M2 M1
Năng lực cao Năng lực cao Năng lực vừa Năng lực thấp
Sự tận tụy cao Sự tận tụy thất phải Sự tận tụy cao
thường Sự tận tụy cao
174
S1: Directing/Telling Leaders define the roles and tasks of the ’follower’, and supervise them closely.
Decisions are made by the leader and announced, so communication is largely one-way.
When the follower cannot do the job or is unwilling or afraid to try, then the leader takes a highly
directive role, telling them what to do but without a great deal of concern for the relationship. The
leader may also provide a working structure, both for the job and in terms of how the person is
controlled.
Follower: Low competence, low commitment / Unable and unwilling or insecure

Leader: High task focus, low relationship focus
S2: Coaching/Selling Leaders still define roles and tasks, but seek ideas and suggestions from the
follower. Decisions remain the leader’s prerogative, but communication is much more two-way.
When the follower can do the job, at least to some extent, and perhaps is over-confident about their
ability in this, then ’telling’ them what to do may de-motivate them or lead to resistance. The leader
thus needs to ’sell’ another way of working, explaining and clarifying decisions.
The leader thus spends time listening and advising and, where appropriate, helping the follower to
gain necessary skills through coaching methods.
NB: S1 and S2 are leader-driven.
Follower: R2: Some competence, variable commitment / Unable but willing or motivated
Leader: High task focus, high relationship focus
S3: Supporting/Participating Leaders pass day-to-day decisions, such as task allocation and
processes, to the follower. The leader facilitates and takes part in decisions, but control is with the
follower.
When the follower can do the job, but is refusing to do it or otherwise showing insufficient
commitment, the leader need not worry about showing them what to do, and instead is concerned
with finding out why the person is refusing and thence persuading them to cooperate.
Follower: High competence, variable commitment / Able but unwilling or insecure

Leader: Low task focus, high relationship focus
S4: Delegating Leaders are still involved in decisions

and problem-solving, but control is with the follower.
The follower decides when and how the leader will be
involved.
Of these, no one style is considered optimal or desired
for all leaders to possess. Effective leaders need to be
flexible, and must adapt themselves according to the
situation. However, each leader tends to have a natural
style, and in applying situational leadership he must
know his intrinsic style.
Follower: High competence, high commitment / Able
175
and willing or motivated
Leader: Low task focus, low relationship focus
NB: S3 and S4 are follower-driven.
Maturity
The followers or the employees are sometimes referred to in terms of maturity level (M), sometimes
in terms of development levels (D) and finally as readiness level (R). In this material we use the term
maturity. However, maturity is certainly also about level of development and readiness.
Development Levels:
The right leadership style will depend on the person being led - the follower. Blanchard and Hersey
extended their model to include the Development Level of the follower. They stated that the leader’s
chosen style should be based on the competence and commitment of his followers. They categorized
the possible development of followers into four levels, which they named D1 to D4:
Development Levels are also situational. A person might be generally skilled, confident and motivated
in his job, but would still drop into Level D1 when faced, say, with a task requiring skills he does not
possess. For example, many managers are D4 when dealing with the day-to-day running of their
department, but move to D1 or D2 when dealing with a sensitive employee “issue”
Readiness Levels
The development level is now called the performance readiness level (Hersey, Blanchard, & Johnson,
2008). It is based on the Development levels and adapted from Hersey’s Situational Selling. Ron
Campbell of the Center for Leadership Studies has expanded the continuum of follower performance
to include behavioral indicators of each readiness level.
176
M1
D1: Low Competence, High Commitment R1: Unable and Insecure or Unwilling
- They generally lack the specific skills - Follower is unable and insecure and
required for the job in hand. However, lacks confidence or the follower lacks
they are eager to learn and willing to take commitment and motivation to complete
direction. tasks.
M2
R2: Unable but Confident or Willing -

D2: Some Competence, Low Commitment
Follower is unable to complete tasks but
- They may have some relevant skills, but
has the confidence as long as the leader
won't be able to do the job without help.
provides guidance, or the follower lacks
The task or the situation may be new to
the ability but is motivated and making an
them.
effort.
M3
D3: High Competence, Variable

R3: Able but Insecure or Unwilling - Follower
Commitment - They are experienced and
has the ability to complete tasks but is
capable, but may lack the confidence to
apprehensive about doing it alone or the
go it alone, or the motivation to do it well
follower is not willing to use that ability.
or quickly.
M4
D4: High Competence, High Commitment

- They are experienced at the job, and R4: Able and Confident and Willing -
comfortable with their own ability to do it Follower has the ability to perform and is
well. They may even be more skilled than confident about doing so and is committed.
the leader.
177
Directing/telling = S1 > M1
• One-way communication
• The leader defines the employee’s role
• What, how, when and where
• Responsibility taken by the leader/manager
• Solutions communicated to the follower
• Implementation is monitored by the leader

Coacing/Selling = S2 > M
• The leader directs and takes most decisions

• Seeks ideas and suggestions from the follower
• Increased two-way communication
• The officer proferred the ideas and suggestions into the process
• High task focus, high relationship focus
Supporting/Participating = S3 > M3
• Manager and employee join in problem solving and decision making

• Only two-way communication
• Manager’s role is to listen and create condition for the employee to make the right
decisions
• The employee is often able and motivated to be involved, but uncertain to perform
Delegating = S4 > M4
• The leader discusses the problem with the employee

• The follower decides when and how the leader will be involved.
• Decision making with the employee
• The employee has the knowledge and skill to make the right decisions and of self-control.
178
How to find the right diagnosis?
Assignment
Get together in groups of 3-4 persons
Time: 40 min.
On the basis on your own experience, discuss the following issues.
1. Provide examples of leader/follower situations

2. The leader may also be job-immature – what does that mean and imply?
3. Is job-maturity the only factor that determines the appropriate style of leadership in a given
situation?
Prepare a presentation for a classroom discussion
Session 3: How to Retain People

Reward Systems
Brainstorming Activity
Discuss the following questions on the

basis of the Wilson text and, if possible, on
the basis of further Internet research.
Group 1: Advantages and disadvantages

by ‘positive reinforcement’
Group 2: What is understood by the SMART
criteria in relation to reward systems?
Group 3: What are the benefits of reward
systems and who benefits from reward
systems?
Find examples within the area of the

topic to provoke or initiate a classroom
discussion.
Innovative Reward Systems for the

Changing Workplaceby Thomas B.
Wilson; McGraw-Hill, Inc., 1994.
179
Thomas B. Wilson has written a book that
is chockfull of guidelines and principles
for designing performance management
programs. In his book, Innovative Reward
Systems for the Changing Workplace,
Federal managers, program design teams,
and human resource specialists will find
both theory and practical applications that
will be extremely helpful when dealing with
the challenge of redesigning their current
programs.
Wilson views rewards programs as including base pay, appraisals, and various kinds of awards. That is
why his book, which would appear to be solely about reward systems, includes an in-depth chapter
on managing performance. While the chapters on base pay and stock options don’t apply to Federal
employees, the rest of the book is rich in practical, useful wisdom and guidelines for designing new
programs in any work situation.
• Effective Reward Systems
• Performance Management
• The Do’s and Don’ts of Effective Reward Programs
Effective Reward Systems.
Reward systems should focus on positive

reinforcement. Positive reinforcement is the most
effective tool for encouraging desired behavior
because it stimulates people to take actions because
they want to because they get something of value
(internally or externally) for doing it. An effectively
designed and managed reward program can drive
an organization’s change process by positively
reinforcing desired behaviors.
The author presents criteria for building effective

reward systems that he calls the SMART criteria.
These criteria should be used when designing and
evaluating programs. Programs should be:
180
• Specific. A line of sight should be maintained between rewards and actions.
• Meaningful. The achievements rewarded should provide an important return on investment

to both the performer and the organization.
• Achievable. The employee’s or group’s goals should be within the reach of the performers.
• Reliable. The program should operate according to its principles and purpose.
• Timely. The recognition/rewards should be provided frequently enough to make performers

feel valued for their efforts.
Performance Management.
Wilson urges organizations to get away from thinking of the annual performance appraisal process
as performance management. He comments:
“I would recommend that the organization refocus the performance appraisal process away from
all the varied attempts to justify its existence and concentrate instead on the process of managing
performance.”
The process of performance management reflects how the work gets done and creates the
environment in which people feel valued for their achievements.
The performance management process includes four critical components:
• Focus on what is important to change or be improved.
• Measures to determine whether and how much progress is being achieved.
• Feedback so that performers will know whether and how much progress is being achieved.
• Reinforcement so that everyone celebrates achievements as they are unfolding.
Indicators of successful performance management include the following:
• All measures are understood by the employees, who can describe the importance of their
activities to the agency. Measures address results and behaviors/processes.
• A tracking system is used to monitor performance in the areas identified.
181
• The performance measures and progress are displayed in a public area.
• Data on the performance charts is current.
• The team leaders/managers are actively engaged in coaching staff members and providing
assistance to improve performance.
• Periodic celebrations mark achievements as they are realized. These celebrations are
regarded positively by employees.
• Data indicate performance is improving.
• The author recommends that organizations:
• focus on variables critical to success;
• create timely, chart-oriented feedback;
• create celebrations that mean something to the performers;
• use performance reviews as an opportunity to reflect “how we won” and “how we lost”
make them as often as necessary to cement the learning;
• anchor the memory of achievements achievement-oriented firms measure a lot,

accomplish milestones frequently, and do much celebrating;
• don’t rely on annual performance appraisals as the sole source of feedback;
• when designing programs, avoid copying programs used by other organizations; and
• don’t make the design process into the “let’s make a form” game.
The Do’s and Don’ts of Effective Reward Programs. Wilson summarizes his book by reviewing the
fundamental principles for designing reward programs that work:
• Do it now! Putting off change only makes the situation worse.
• Keep your eye on the needs of the customer. The customer should be at the center of all
measures, goals, and objectives.
• Take action, be proactive. Well-designed programs require management, which should

focus on providing people with meaningful measures, realtime feedback, and ongoing
182
reinforcement.
• Personalize rewards to their recipients. Rewards should be valued by the performer. The
performer needs to see that the reward opportunities are directly linked to the effort and
results taken and that there is an appropriate benefit to the organization. By personalizing
the reward, you can anchor the meaning of the achievement more deeply than if you
simply treat the reward as a mechanical administrative task.
• Make sure everyone can win. Reward programs built on the principles of competition or
compliance are counterproductive, if not downright destructive.
• Make sure that rewards are contingent. Reward programs become entitlement programs
when they lose their contingency on performance. Each reward should be fully earned and
people should understand exactly what they have done to achieve it.
• Don’t expect success all at once. The process of developing an effective program is one of
change and continual improvement.
• Remember that you are in competition with other consequences. Reward programs
simultaneously compete with negative reinforcements that occur throughout the
organization. So rewards must be meaningful to the performer to have an impact.
• Do it from the heart. Rewards that are intended to be manipulative are not accepted
by employees. The fundamental purpose of reward programs is to build a powerful
partnership between the individual and the organization. Collaboration is an essential
theme of success.
• Have fun while you are doing it. If a job is worth doing, it is worth measuring progress and
celebrating achievements.
“In an organization where winning is recognized often, winning becomes a habit.”
Origianlly published on December 1995.
Reward policies should support the overall strategy of the company.

Purpose of a reward policy:
• to attract the best personnel

• to retain competent people
• to encourage personal development and further education
• to reward excellent job performance and loyalty
What is included in compensation models?
183
• Union agreements
• Market conditions
• Requirements of the position
• Pay package: Performance, pensions, holidays, indirect costs (clothing, courses, etc.)
What determines wages and salaries for individual employees?
Wages and salaries are based on job analyses for individual positions and the requirements for
specific jobs and include the following issues:
1. Competencies and knowledge required for the post

2. Personal qualifications (mentally and physically)
3. Responsibility (personnel, finance, information, safety of others, etc.)
4. Working Conditions (frequent travel activity, risks, dangerous environmental conditions, etc.)
Most organizations have special assessment methods to follow to develop a framework for wages
and salaries and to be able to develop a recommendation list to be followed in everyday practice.
Furthermore consult the basic textbook on this topic.
Motivation
Assignment – Job Motivation I
Individually
15 minutes
Many scholars have theorized a lot about motivation factors - but the question is: What motivates
you to work?
List 8 specific factors that motivate you to work. Assign each factor a weight from 1 to 5, where the
number 5 is what motivates you the most. Fill in the below form.
184
These factors motivate me: How much does this motivate me?
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
185
These factors motivate me: How much does this motivate me?
Work in groups of 4
40 min.
A.
As a team you have been assigned a project that is estimated to last 8 months. You must now agree
on 5 factors that will motivate you as a team. Use the below form for your answer.
B.
What is the project manager’s role as motivator?

Base your answer on your list of 5 team motivation factors and the situational management theory.
Prepare a presentation for a classroom discussion
This motivates us:
1.
2.
3.
4.
5.
Motivation Theories
How is ‘Maslow’s Needs Pyramid’ or ‘Maslow’s Needs Triangle’ as it is sometimes referred to, related to
the concept of motivation?
If a specific action (i.e. work), argues Maslow, leads to the fulfillment and satisfaction of a specific
need, you will feel motivated to repeat the action.
The human needs may, of course, vary from person to person.
In general you distinguish between the following two types of motivation:
186
Indirect motivation: You do no act unless you are rewarded
Direct motivation: Taking action is in itself a satisfaction
Refer to the two types of motivation when going through your presentation about Maslow’s and
Herzberg’s motivation theories.
Maslow’s Needs Pyramid
Thực hiện ước mơ

Nhu cầu làm những việc mà chúng ta ưa thích
Được quý trọng

Nhu cầu được đánh giá cao và được tôn trọng
Giao lưu tiếp xúc với mọi người

Nhu cầu được quan tâm và là thành viên của công chúng
An toàn
Nhu cầu được cảm thấy an toàn và chắc chắn
Tồn tại
Nhu cầu tồn tại, hít thở, ăn uống, ngủ, sinh sản
1. Basic Needs
These are physiological needs or survival needs. Basic needs include: Breathing, water, sleep,
food, sexual intercourse, shelter, and clothing. For the most part, physiological needs are obvious
- they are the literal requirements for human survival. If these requirements are not met (with the
exception of clothing, shelter, and sex) the human body simply cannot continue to function.
When these physiological needs are met, new needs will arise.
2. Safety Needs (comfort)
With their physical needs relatively satisfied, the individual’s safety needs take over and dominate
their behavior. These needs have to do with people’s yearning for a predictable, orderly world
in which injustice and inconsistency are under control. In the world of work these safety needs
manifest themselves in such things as a preference for job security, grievance procedures for
protecting the individual from unilateral authority, savings accounts, insurance policies, etc.
Thus, Safety and Security needs include:
• Personal security
187
• Financial security
• Health and well-being
• Safety net against accidents/illness and its adverse impacts
For the most part physiological and safety needs are reasonably well satisfied in the ”Civilized
World.” The obvious exceptions, of course, are people outside the mainstream — the poor and the
disadvantaged. They still struggle to satisfy the basic physiological and safety needs.
When these safety needs are met, the need for social needs will arise.
3. Psychological (Social) Needs:
After physiological and safety needs are fulfilled, the third layer of human needs is social. This
psychological aspect of Maslow’s hierarchy involves emotionally-based relationships in general,
such as:
• Friendship
• Intimacy
• Having a supportive and communicative family or peer group
Humans need to feel a sense of belonging and acceptance, whether it comes from a large social
group, such as clubs, office culture, religious groups, professional organizations, sports teams,
gangs (”Safety in numbers”), or small social connections (family members, intimate partners,
mentors, close colleagues, confidants). They need to love and be loved (sexually and non-sexually)
by others. In the absence of these elements, many people become susceptible to loneliness, social
anxiety, and clinical depression. This need for belonging can often overcome the physiological
and security needs, depending on the strength of the peer pressure; an anorexic, for example, may
ignore the need to eat and the security of health for a feeling of control and belonging.
4. Ego Needs
The Ego need is divided into two types of needs:
1. Esteem
2. Self-actualization
a. Esteem:
All humans have a need to be respected, to have self-esteem, self-respect. Also known as the
belonging need, esteem presents the normal human desire to be accepted and valued by others.
People need to engage themselves to gain recognition and have an activity or activities that give
the person a sense of contribution, to feel accepted and self-valued, be it in a profession or hobby.
Imbalances at this level can result in low self-esteem or an inferiority complex. People with low self-
esteem need respect from others. They may seek fame or glory, which again depends on others. It
may be noted, however, that many people with low self-esteem will not be able to improve their
view of themselves simply by receiving fame, respect, and glory externally, but must first accept
188
themselves internally. Psychological imbalances such as depression can also prevent one from
obtaining self-esteem on both levels.
Most people have a need for a stable self-respect and self-esteem. Maslow noted two versions of
esteem needs, a lower one and a higher one. The lower one is the need for the respect of others,
the need for status, recognition, fame, prestige, and attention. The higher one is the need for self-
esteem, strength, competence, mastery, self-confidence, independence and freedom. The last one
is higher because it rests more on inner competence won through experience. Deprivation of these
needs can lead to an inferiority complex, weakness and helplessness.
Maslow stresses the dangers associated with self-esteem based on fame and outer recognition
instead of inner competence. Healthy self-respect is based on earned respect.
b. Self-Actualization:
The motivation to realize one’s own maximum potential and possibilities is considered to be
the master motive or the only real motive, all other motives being its various forms. In Maslow’s
hierarchy of needs, the need for self-actualization is the final need that manifests when lower level
needs have been satisfied.
Work must be meaningful - also what is called direct motivation (work carries salary in itself ). You
do what you have always dreamt of.
5. Peak Experience
Near the end of his life Maslow revealed that there was a level on the hierarchy that was above self-
actualization: self-transcendence.
“[Transcenders] may be said to be much more often aware of the realm of Being (B-realm and
B-cognition), to be living at the level of Being… to have unitive consciousness and “plateau
experience” (serene and contemplative B-cognitions rather than climactic ones) … and to have
or to have had peak experience (mystic, sacral, ecstatic) with illuminations or insights - analysis
of reality or cognitions which changed their view of the world and of themselves, perhaps
occasionally, perhaps as a usual thing.”
Maslow later did a study on 12 people he believed possessed the qualities of Self-transcendence.
Many of the qualities were guilt for the misfortune of someone, creativity, humility, intelligence,
and divergent thinking. They were mainly loners, had deep relationships, and were very normal
on the outside. Maslow estimated that only 2% of the population will ever achieve this level of the
hierarchy in their lifetime, and that it was absolutely impossible for a child to possess these traits.
Herzberg’s Two Factor Motivation Theory
Frederick Irving Herzberg (1923–2000) was a psychologist who became one of the most influential
names in business management.
Herzberg proposed the Motivation-Hygiene Theory, also known as the Two factor theory (1959)
189
of job satisfaction. The Hygiene factors are also known as Maintenance Factors. According to his
theory, people are influenced by two sets of factors:
Motivator Factors Hygiene Factors
Pay and Benefits

Company Policy and Administration
Achievement
Relationships with co-workers
Recognition
Physical Environment
Work Itself
Supervision
Responsibility
Status
Promotion
Job Security
Growth
Salary
Working Conditions
Personal life
He proposed several key findings as a result of this identification:
1. People are made dissatisfied by a bad environment, but they are seldom made satisfied by
a good environment.
2. The prevention of dissatisfaction is just as important as encouragement of motivator
satisfaction.
3. Hygiene factors operate independently of motivation factors. An individual can be highly
motivated in his work and be dissatisfied with his work environment.
4. All hygiene factors are equally important, although their frequency of occurrence differs
considerably.
5. Hygiene improvements have short-term effects. Any improvements result in a short-term
removal of, or prevention of, dissatisfaction
6. Hygiene needs are cyclical in nature and come back to a starting point. This leads to the
“What have you done for me lately?” syndrome
7. Hygiene needs have an escalating zero point and no final answer.
------
If we compare the two theories we can see that Herzberg include Maslow’s physiological needs,
security needs, and social needs in the category of hygiene factors. These can also be regarded as
the basic framework around the workplace and which should all be fulfilled in order not to have
negative energy directed towards the workplace. These factors, according to Herzberg, are not
directly motivating people to work.
190
Motivation factors, on the other hand and according to Herzberg, are factors that correspond to the
two highest steps in Maslows pyramid. It is recognition, promotion, prestige, responsibility, growth,
achievement, and work itself.
Tự làm việc
thành tựu đạt được
trưởng thành
Kinh nghiệm đỉnh cao Yếu trách nhiệm
tố
thúc Thăng tiến
đẩy được công nhận
Thực hiện ước mơ
uy tín
Nhu cầu tâm lý

Mối quan hệ với đồng nghiệp
Nhu cầu về sự an toàn Yếu Phong cách lãnh đạo - chính

tố sách của công ty
căn
Nhu cầu tồn tại bản An toàn nghề nghiệp
điều kiện làm việc - môi

trường cơ học
lương - cuộc sống cá nhân
If we employ Herzberg’s theory what does that mean in practice?
QUẢN LÝ CÁC ĐỘNG CƠ THÚC ĐẨY NHƯ THẾ

NÀO ?
Quản lý cấp cao chỉ có thể ngăn chặn

sự không hài lòng bằng cách cung
cấp các yếu tố duy trì một cách đầy
đủ và chính xác nhất
Người giám sát có thể làm hài lòng

bằng các yếu tố thúc đẩy và cam kết
mạnh mẽ hơn trong việc sử dụng thời
gian và sức lực của nhân viên
191
Assignment – Motivation III
Work in the same groups as for Assignment - Motivation II

30 min.
A.
Discuss and illustrate the concept of delegation by means of the two motivation theories (Maslow
and Herzberg).
How does delegation affect the employee?
B.
In case of delegation what further demands are required of
1. the manager?
2. the employee?
Use also the theory of Situational Leadership.
Prepare an oral presentation for discussion in plenum.
About delegation
There was an important job to be done and Everybody was asked to do it. Everybody
was sure that Somebody would do it. Anybody could have done it, but Nobody did
it. Somebody got mad about it because it was Everybody’s job. Everyone thought
that Anybody could do it, and Nobody realized that Everybody wouldn’t do it. It
ended up that Everybody blamed Somebody when actually Nobody blamed Any-
body.
Why should people stay?
There are a lot of different actions to initiate and put into practice in order to retain people. We
have been through motivation factors which are, of course extremely important, but how are people
retained in reality in everyday working life?
In the following some initiatives will be mentioned just as the basic textbook for this course covers
this topic thoroughly and which you should encourage the participants to read.
You may choose to lecture on the different courses to take to retain people, however, it can be
recommended that you just ask the participants to read about them and then try to apply the
recommendations in the final assignment for this session about how to retain employees.
192
Tools for Maintenance (Hygiene Factors)
Structure and Framework Tools:
• Job descriptions (see also the recruitment chapter)

• Job Assessment and payment packages
• Registration Systems (Taxes, Social and Health Administration, The Labor and Social Affairs
Departments)
Management and Development Tools:
• Management tools such as MBO, The Learning Organization, etc.

• Personnel policies, information and tutoring
• One-to-one meetings manager/employee about development, performance assessment,
and career plans
Information
HRM and information go hand in hand!
- be it at information meetings, one-to-one meetings, intranet, personnel magazine or lunch
meetings!
Purpose:
• That the individual employee is integrated in the corporate culture

• For the individual employee to view his own role in a wider context
• To gain knowledge of the company’s financial and leadership’s actions and reactions
• Knowledge of the opportunities of the organization and employees
• To be updated with operational information from managers, i.e. HRM department, IT-
department, Sales-department, etc.
Councelling:
• HRM department as a support unit - the ”open door policy”

• HRM is a ”neutral body” – Confidentiality
• HRM – communicative and coaching experts
• HRM – “do it yourself” by HR support service
• HRM - Can avoid misunderstandings and redundancies
• Subjects: Education, career, personal development, problems of cooperation, economy,
alcohol problems, family problems, sickness, etc.
Performance Assessment
193
Purpose:
Salaries, full-time employment, promotion, career and education planning, motivation, feedback,
retirement
Who?
Manager, Manager and employee, HRM department, a 360-degree assessment
What and how?

Standard system or tailored to specific industries
One-to-one meetings manager/employee
Focus:
Historical or prospective (or both)
One-to-one Meetings
What?
Recurring, structured, and well-prepared conversation between manager and employee
Typical content:
• Retrospect - have the objectives been achieved and the agreements implemented?
(However, main focus should be concentrated on prospects).
• Prospective – new objectives and duties
• Work tasks and projects – next period of time
• Welfare and cooperation
• Collaboration between manager and employee
• Feedback (one-way or two-way)
• Performance assessment - development needs
• Careers plans
• Conclusion
194
Preparation:
• Thorough preparation (both parties)
• Supported by written guide (optional)
• To be held at a neutral and quiet place (no
disturbances)
• Date agreed upon one week in advance at the latest
• Set aside a minimum of 2 hours for the meeting


CASE - BOWL’nFun
Report by the Deputy Head of BOWL’n Fun (BNF)
Wednesday morning at 9:30: am at the weekly manager meeting.
9 people are gathered around a table having breakfast and talking quietly.
Present are:
Chief Executive Officer
Deputy Head
7 sub-managers
We have reached point 9 on the agenda: Personnel - and, just like last week and the week before,
we are informed to whom we are going to say goodbye and whom we shall have to welcome to
our work place. What a pleasure it would be if we could leave this point out of the agenda – just
sometimes!
BNF is a recreational center for the whole family. We entertain our guests with Bowling, miniature
golf and go-karts. We also have a café with 50 seats, a restaurant with room for 450 guests and a
party room for 150 people. We employ between 40-80 people depending on whether it is high and
low season, aged 15-56 years and employed in different areas such as cleaning, technique, bowling,
cooking, go-karts, dishwashing, bars and serving.
In my position as deputy head I am responsible for the entire group of personnel - in coordination
with headquarters.
Problem Background
I am very concerned about the high rate of employee turnover. A calculation recently carried out
shows a total rate of staff turnover of 108% for full-time as well as part-time employees. The rate of
turnover for full-time employees is 58.8% which means that the turnover of part-time employees is
considerably higher.
195
To recruit and introduce new people is a costly affair.
Therefore, it is my overall goal to reduce the rate of
turnover not only to reduce costs but also to ensure
a good working climate and culture among the
total group of employees. It is very frustrating for
all members of the staff group constantly to be
introduced to new colleagues.
The part-time employees have an average age

of 20 and are employed for an average of 6-12
months. Typically these staff members are
university students who have just left home and
want to supplement their state grants with a little
extra earning.
We find it hard to motivate and retain this group of

young students, partly because of hard work and low pay, but Source: www.shutterstock.com
mainly because they do not really need the money. It is only some extras for partying and buying
the latest in-fashion jeans.
The full-time employees have an average age of 34 years and they stay in the company approx.
3 years. Their jobs are very different from the part-time employees mainly because they all have
some kind of responsibility. Motivation killers for them are late evening and week-end working
hours and also working together with their young un-motivated part-time colleagues, especially
when they are asked to take over their turn because of late notice of sickness and other excuses for
not coming. At the same time, many of the full-time employees do not regard BNF as their whole
life work place but rather a stop on their career path to get experience.
My goal is to find some tools and methods on how to motivate and retain our staff and find some
solutions as to how to implement initiatives to keep the staff turnover down. To be more concrete
I want to keep the total rate of staff turnover below 80% and not more than 30% for full-time
employees.
Problem
What can we do to increase motivation among the part-time as well as the full-time employees?
What can we do to retain employees somewhat longer?
What initiatives have to be taken?
What are the prerequisites for implementing these initiatives?
Assignment
Work in groups of 3-4 persons

30-40 min.
196
Case: Bowln’Fun (BNF)
Your group has been consulted by Bowln’Fun (BNF) as Human Resource experts on how to retain
employees. BNF wants you to analyze the circumstances around the high rate of turnover and
furthermore to give recommendations as to how to reduce the rate of turnover for full-time as well
as part-time employees.
1. How would you approach such an analysis?
2. Which motivation factors are in play for both groups of employees?
3. What would you recommend BNF to do to retain the two groups of employees? State some
concrete suggestions and have some alternatives if BNF does not agree with your suggestions.
4. How would your implement your suggestions?
Prepare a presentation for the group of managers and be prepared for criticism.
Session 4: Redundancy, Retirements, and Resigna-

tions
Staff Redundancy
It is important for an organization at all times to monitor the staff turnover. Staff turnover is dependent
largely on which branch of industry is concerned. If a company has seasonal work, staff turnover will
be high at times. Therefore, it must always be measured against the company’s own history over
time. If staff turnover is stable, there is no reason to be concerned. If the staff turnover is increasing,
however, it is important to find the cause and make efforts to find a solution to the problem. Refer
to the Bowln’Fun case or find another example to illustrate the importance of monitoring the rate of
staff turnover.
It should be the aim of any organization

to ensure, as far as possible, security of
employment and the avoidance of compulsory
redundancies for its employees by means of
effective forward planning. However, from time
to time circumstances and change in strategies
may make it necessary to consider reductions in
staffing levels. In that case, the provisions of a
redundancy policy should be applied.
The circumstances in which the redundancy
policy shall be used are set out below and the
policy or restructuring shall not be used as an
alternative to effective performance management.
197
We cannot give a definition of redundancy that will apply to all national legislations. However, most
often a redundancy occurs where a dismissal is wholly or mainly because:
• the employer has ceased, or intends to cease, to carry out their business for the purposes of
which the employee is employed;
• the employer has ceased, or intends to cease, to carry on that business in the place where
the employee was so employed;
• the requirements of that business for employees to carry out work of a particular kind have
ceased or diminished or are expected to do so;
• the requirements of the business for employees to carry out work of a particular kind in the
place where they were so employed have ceased or diminished or are expected to do so.
Where it is not possible to avoid redundancy the requirements of legislation shall be met and a
reasonable period of time shall be allowed for meaningful consultation to take place with staff and
staff representatives. The information disclosed shall be in writing and shall include:
• the reasons why staff affected may be at risk of redundancy;

• the names and departments, grades and descriptions of staff at risk;
and where there are 20 or more staff at risk:
• the total number and positions of employees of any such description employed by the
organization
• the proposed method of selecting from the staff who are at risk.
Managing mass redundancies can best be illustrated by concrete, current examples. Find an example
which has been mentioned in the news media to illustrate good or bad procedures.
In the case of mass redundancy in an organization, or even a mistaken dismissal, you should always
expect a great interest from the mass media. Therefore, try to avoid any misinformation by
keeping the news media informed in a professional way.
However, there will always be some ethical rules to be followed and

applicable everywhere.
Remember also that the employees are ambassadors for the

company and this also applies to the date that the employee
leaves the company. A good reference is worth gold for the
company.
Delivering Difficult Messages
Struggling to say what your colleague doesn’t want to hear?

You are not alone!
Many people believe that engaging in several minutes of small

talk and “beating around the bush” cushions the harshness or
surprise of a difficult message for the recipient. In truth, superficial
preambles are more likely to serve the emotional interests of the
198
sender, hearkening the presence of “the avoidance virus.” If someone had something difficult to say
to you, would you rather have the person dance around the subject for several minutes or get right
to the point?
After establishing the message you want to deliver, the biggest obstacle between you and the
delivery of the message is avoidance. Avoidance is all about fear. Fear-based excuses come in
deceptive packages. Some masquerade as “caring about” the recipient, “I wouldn’t want to hurt
Mary’s feelings….” Others are cloaked in procrastination, “This isn’t the right time to sit down and
discuss it.”
Executing delivery of a difficult message requires

directness and sensitivity which is most effective
when communicated within the first 30 seconds of the
conversation! Be assertive and clear in your message.
As far as possible the difficult message should be handled
by people who are capable to manage the emotions and
reactions that may come when delivering the difficult
message. You must also be prepared to confront the
avoidance you most probably will meet in many cases.
There are a number of both factual and ethical factors

which should be adhered to and which are listed in the presentation and which can also be read
more about in the Basic book.
Resignation
Staff wishing to resign from an organization should write to their nearest manager stating clearly
the date on which they wish their resignation to become effective.
When a letter of resignation is received, the organization should confirm

receipt.
Notice periods differ from country to country and are dependent
on local legislation and employee contracts.
Retirements
The most common retirement, of course, is because of

age. Some companies employ a senior policy where, for
example, the employees can decide to have a gradual
retirement or they can apply for an early retirement.
In certain cases where it is in the managerial interest,

the organization may be willing to consider the early
retirement of permanent members of the staff.
The retirement policy of an organization should include a
provision for retirement on grounds of permanent ill health.
199
AGENDA DAY 7
Agenda Day Seven
Time Contents
Session 1
Opening of day 7:
• Repetition
Session 2:
08.15-08.30
Types of Conversation
Session 3:
08.30-11.00
Communicative Tools: Transactional Analysis
Session 4:
11.00-12.00
Communicative Tools: Assertiveness
Lunch Break
11.00-12.00
13.00-14.00 Communicative tools: Assertiveness
Session 5:
14.00-14.30
Communicative tools: Active Listening
Session 6:
14.30-15.30
Communicative tools: Feedback
Session 7:
15.30-16.30
Communicative tools: Questioning techniques
Session 8:
16.30-17.00
202
Session 1: Opening of Day 7
• Repetition
Session 2: Types of Conversation

In relation to managing Human Resources can be listed the following most important types of
conversation.
• Recruitment Interviews
• Employee Development Conversations (one-to-one)
• Dialogue
• Speeches / presentations
• Meeting Management
• Delivering Difficult Messages:
• Redundancies
• Disciplinary Conversations
• Mediation
Job Interview has already been dealt with in this guide under the Recruitment sessions, day 4.
Employee Development Conversation or so called one-to-one meeting between manager

and employee has been mentioned several times in this guide. In Scandinavian countries this
type of conversation is extremely important in relation to managing human resources and most
companies have guides for how to prepare and carry out such meetings. If relevant in your country,
you may choose to go into depth with this topic and you will find a lot of information about this
topic in the Henrik Stordal & Arne Steen Sørensen textbook just as it is covered in the retainment of
employees session.
A dialogue is a conversation between two or more persons. In relation to managing human

resources dialogue is important in the daily manager/employee conversation with a special
reference to situational leadership when talking about leadership style 3 and 4 where exchange of
ideas, opinions, and problem-solving are relevant.
Presentation technique and meeting management are topics that are not covered in this
course ware. However, both are relevant and may be included in the course using other material or
courses. We refer to the Skills Group short course material concerning these topics.
A situation that cannot be avoided as a manager or leader is delivering difficult messages. What
is difficult, of course, is an individual matter, but most people find it hard to deliver messages that
fall within these three ‘classic’ categories:
• Redundancy
203
• Disciplinary conversation
• Mediation in case of conflicts
Redundancy messages have already been briefly dealt with elsewhere in this guide. Disciplinary
conversations can be necessary to carry out in case of unacceptable behaviour and performance
among the staff members just mediation in case of conflicts hardly can be avoided. To succeed with
communicative situations like these requires special communicative abilities which some people do
have by nature and which most managers have to learn. In the following sessions we shall go into
detail with communicative techniques to handle these communicative situations. These techniques
are as follows:
• Transactional Analysis
• Assertiveness
• Active Listening
• Feedback
• Coaching techniques
Some recommendations in connection with disciplinary conversations
Five Sound Principles:
1. Respect for the individual’s perception of the problem.

2. It is not necessary to know the reason for a problem to find a solution
3. Everything is connected
4. As humans we contain the solution to our own problems
5. Big problems do not always require big solutions
Preparation:
• Consider whether the interview is to be held or not

• Describe the problem with the facts - not assessments
• Describe the consequences of the problem
• Requirements for problem solving – consider minimum requirements and the ideal
solution
• Concrete suggestion as to formulation of the message
• Select time and place
• The leader may also take a share in the responsibility of the problem
Carrying out the difficult conversation:

• Specify the problem and its consequences
• Have the problem accepted
• Dialogue on how changes should be approached and how monitoring is to be conducted
• Concrete agreement (preferably written)
Follow-up:
• Based on a specific agreement
• Assessment of results
• Assess the consequences of targets not met
204
• The leader supports the employee’s changed behavior and actions, but maintains the
demands agreed in written the statementờ
Session 3: Communicative Tools - Transactional

Analysis
Transactional Analysis - Personal Profile
Completely wrong (1) – Partially wrong (2) – Partially true (3) –
Fairly reliable (4) – Completely true (5)
1. I am good to see my own mistakes 13. I like helping other people
2. I do what I can to help protect 14. I’m good at generalizing and putting other
vulnerable people people in ”boxes” after the type they are
3. I always adapt to the people I’m with 15. I mix with many people who can not manage
without my help
4. I am good at planning
16. I think it is difficult to get rid of bad habits such
5. I have a good imagination as smoking or eating too much food
6. I am often accused of disparaging 17. People often come to me because I am so good
other people at listening to their problems
7. I oppose that the strong people act 18. When attending courses, I never really oppose
dominant over the weak people the teacher
8. I do not like to open myself to others, 19. When I have responsibility for other people, I
if I do not know them well put clear limits on what they are allowed to and
what they are not allowed to
9. When I have made a decision I am
good at sticking to it and put it into 20. I am good at making estimates
practice
21. If I am criticized I often choose to withdraw
10. I often become angry at the people rather than respond
I mix with, and then I show it right
away 22. I am pretty good to criticize when facing
something I do not like
11. I consider a problem for a long time
to find the right solution 23. I do not think that emotional arguments have
any relevance in an objective discussion
12. I’ve never done real rebellion against
my parents
205
24. I’m almost always active in one way or 37. I put high demands on myself and my own
another achievements and performance
25. I punish myself if I do something wrong 38. If someone feels bad, I try to comfort him/her
26. I have quite a lot of creative ability, 39. I often get spontaneous ideas that I follow
which I like to use
40. I am often told that I am a bit passive in a
27. Most people perceive me as a calm and educational context
thoughtful person
41. If people do something wrong, I favor that they
28. I can feel sexually attracted by a strange should be punished
person
42. I am curious to most new things in my area
29. People often say about me that I am the
quiet type 43. People often say about me that I am shy
30. In discussions, it is very rare that I start 44. I feel sorry when I see other people crying
to shout loudly
45. I want to know all sides of an issue before making
31. If a person on the street asks me for a decision
help, I usually give him/her some money
46. I do think that I’m a helpful type of person
32. I often have inferiority complexes
47. I do not like to give a speech in front of an
33. I do not like to talk loudly, if many audience
strange people are present
48. In most matters my views are based on rational
34. I love being praised reasoning.
35. It is rare that I get so excited and mad 49. When I do something wrong, I feel ashamed
that it is visible
50. I feel a shared responsibility that my friends or
36. I like working with something new that I partner are feeling well
do not know anything about
206
Calculation of your Personal Ego Profile
1. Critical Parents (question.

1,6,14,19,22,25,32,37,41,49)
Your Sum (A): Plug your

answers: numbers into the
diagram below.
Your CF (A: 29X100) Make columns for
each I-mode (not
charts)
Your OF: (A:
35X100):
3. Adult (question. 200

4,9,11,20,23,27,30,35,45,48)
180

160
Your Sum (A):
answer: 140

120
Your V: (A: 33X100):
100 Normal

80

60
4. Adapted Child (question.
3,8,12,18,21,29,33,40,43,47) 40

20

Your Sum (A):

answer: CF OF V TB CA
Your TB: (A: 26X100):
5. Free Child (question.

5,10,16,24,26,28,34,36,39,42)
Your Sum (A):

answer:
Your CA: (A:

37X100):
207
Background Information on Transactional Analysis
According to the International Transactional Analysis Association ‘Transactional analysis is a theory
of personality and a systematic psychotherapy for personal growth and personal change’. In practical
application, it can be used in the diagnosis and treatment of many types of psychological disorders,
and provides a method of therapy for individuals, couples, families and groups.
However, in this context, we are definitely not

concerned with a deep psychotherapeutic analysis
of employees or colleagues. Transactional analysis is
also a theory of communication and it is in this light
it should be seen as a means of becoming aware
of own communicative habits particularly in the
relationship manager/employee.
Therefore, it must be stressed once again, that we

remain outside the therapeutic field, and use it to
help managers stay in a level of clear communication,
in counseling and consultancy and in everyday
dialogues with colleagues and subordinates.
Philosophy of Transactional Analysis
• People are OK; thus each person has validity,

importance, equality of respect
• Everyone (with only few exceptions, such

as the severely brain-damaged) has the
capacity to think
• People decide their story and destiny, and

these decisions can be changed
Freedom from historical mal-adaptations embedded
in the childhood script is required in order to
become free of inappropriate, inauthentic, and
displaced emotions which are not a fair and honest Source: www.shutterstock.com
reflection of here-and-now life (such as echoes of childhood suffering, pity-me and other mind
games, compulsive behavior, and repetitive dysfunctional life patterns). The aim of change under
TA is to move toward autonomy (freedom from childhood script), spontaneity, intimacy, problem
solving as opposed to avoidance or passivity, cure as an ideal rather than merely making progress,
learning new choices.
Key ideas of Transactional Analysis
Some core models and concepts are part of a Transactional Analysis as shown below:
The Ego-State (or Parent-Adult-Child, PAC) model
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At any given time, a person experiences and manifests their personality through a mixture of
behaviours, thoughts and feelings. Typically, according to TA, there are three ego-states that people
consistently use:
Parent (”exteropsyche”): a state in which people behave,

feel, and think in response to an unconscious mimicking of
how their parents (or other parental figures) acted, or how
they interpreted their parent’s actions. For example, a person
may shout at someone out of frustration because they
learned from an influential figure in childhood the lesson that
this seemed to be a way of relating that worked.
Adult (”neopsyche”): a state of the ego which is most like

a computer processing information and making predictions
absent of major emotions that cloud its operation. Learning
to strengthen the Adult is a goal of TA. While a person is in
the Adult ego state, he/she is directed towards an objective
appraisal of reality.
Child (”archaeopsyche”): a state in which people behave, feel

and think similarly to how they did in childhood. For example,
a person who receives a poor evaluation at work may respond
by looking at the floor, and crying or pouting, as they used to
when scolded as a child. Conversely, a person who receives a
good evaluation may respond with a broad smile and a joyful
gesture of thanks. The Child is the source of emotions, creation,
recreation, spontaneity and intimacy.
Berne differentiated his Parent, Adult, and Child ego states
from actual adults, parents, and children, by using capital
letters when describing them. These ego-states may or may not represent the relationships that they
act out. For example, in the workplace, an adult supervisor may take on the Parent role, and scold an
adult employee as though they were a Child. Or a child, using their Parent ego-state, could scold their
actual parent as though the parent were a Child.
Within each of these ego states are subdivisions. Thus Parental

figures are often either nurturing (permission-giving, security-
giving) or criticizing (comparing to family traditions and
ideals in generally negative ways); Childhood behaviours are
either natural (free) or adapted to others. These subdivision
categorize individuals’ patterns of behaviour, feelings, and
ways of thinking, that can be functional (beneficial or positive)
or dysfunctional/counterproductive (negative).
There is no ”universal” ego-state; each state is individually and
visibly manifested for each person. For example, each Child
ego state is unique to the childhood experiences, mentality,
intellect, and family of each individual; it is not a generalised
childlike state.
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Ego states can become contaminated, for example, when a person mistakes Parental rules and
slogans, for here-and-now Adult reality, and when beliefs are taken as facts. Or when a person
”knows” that everyone is laughing at them because ”they always laughed”. This would be an example
of a childhood contamination, insofar as here-and-now reality is being overlaid with memories of
previous historic incidents in childhood.
Although TA theory claims that Ego states do not correspond directly to thinking, feeling, and judging,
as these processes are present in every ego state, this claim is self-contradictory to the claim that the
Adult is like a computer processing information, therefore not feeling unless it is contaminated by
the Child.
Hoạt động song song Hoạt động cắt ngang
P P P P
A A A A
C C C C
Giáo viên: "15 +7 bằng bao nhiêu?" Giáo viên: “15 +7 bằng bao nhiêu?”
Học sinh: "22" Học sinh: "Tại sao cô lại luôn hỏi em?"
There are basically three kinds of transactions:
1. Reciprocal/Complementary (the simplest)

2. Crossed
3. Duplex/Covert (the most complex)
Reciprocal or Complementary Transactions:

A simple, reciprocal transaction occurs when both partners are addressing the ego state the other is
in. These are also called complementary transactions.
Example 1
A: “Have you been able to write the report?”
B: “Yes - I’m about to email it to you.” ----(This exchange was Adult to Adult)
Example 2
A: “Would you like to skip this meeting and go watch a film with me instead?”
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B: “I’d love to - I don’t want to work anymore, what should we go and see?” (Child to Child)
Example 3
A: “You should have your room tidy by now!” (Parent to Child)
B: “Will you stop hassling me? I’ll do it eventually!” (Child to Parent)
Communication like this can continue indefinitely. (Clearly it will stop at some stage - but this
psychologically balanced exchange of strokes can continue for some time).
Crossed Transactions:
Communication failures are typically caused by a ‘crossed transaction’ where partners address ego
states other than that their partner is in. Consider the above examples jumbled up a bit.
Example 1a:
A: “Have you been able to write that report?” (Adult to Adult)
B: “Will you stop hassling me? I’ll do it eventually!” (Child to Parent)
is a crossed transaction likely to produce problems in the workplace. “A” may respond with a Parent
to Child transaction. For instance:
A: “If you don’t change your attitude, you’ll get fired.”
Example 2a:
A: “Is your room tidy yet?” (Parent to Child)
B: “I’m just going to do it, actually.” (Adult to Adult)
is a more positive crossed transaction. However there is the risk that “A” will feel aggrieved that “B” is
acting responsibly and not playing their role, and the conversation will develop into:
A: “I can never trust you to do things!” (Parent to Child)

B: “Why don’t you believe anything I say?” (Adult to Adult)
which can continue indefinitely.
Duplex or Covert transactions:

Another class of transaction is the ‘duplex’ or ‘covert’ transactions, where the explicit social
conversation occurs in parallel with an implicit psychological transaction. For instance,
A: “I need you to stay late at the office with me.” (Adult words)
body language indicates sexual intent (flirtatious Child)
B: “Of course.” (Adult response to Adult statement).
winking or grinning (Child accepts the hidden motive).
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A: Hmm, nh ư th
như ườ
thườ ng lệ, ti
ường tiềền lại chuy
chuyểển mu
muộộn
P P B: Đú ng vậy, th
Đúng thậật tốt bi
biếết bao nếu kế totoáán bi
biếết cách gửi
cho chúng ta đú
chú ng hạn
đúng
P P A: Oh – anh và sự phê bình thường thấy ở anh

A A
B: Tôi hy vọng tôi được phép bày tỏ sự nghi ngờ của
C C mình ở nơi đây
P P Tr ướ
Trướ
ước c một cuộc trao đổ
cuộ đổii của lãnh đạo/nh
đạo/nh ân vi
o/nhâ viêên:
A: Chúng ta lại gặp nhau ở đây! (như một phần công việc của tôi,
A A phải không nào?)
B: Vâng, và chúng ta cùng xem chúng ta sẽ đạt được gì trong lần
C C gặp này đây (Tôi nghi ngờ rằng nó lại giống nhữn lần trước mà
thôi!!)
Cross transactions:
• The response comes from another ego than the sender’s ego state.
Hidden transactions:
• One message at the social interactional level + another message on a deeper psychological level
Complementary / parallel operations

• Sender and receiver use the same ego state.
One step more complicated .....
Angled transactions:
• Involving three ego states: one sender ego-state and two receiver ego-states.
Dublex transactions:
• Involving four ego states: two sender ego-states and two receiver ego-states.
Assignment
Discuss in pairs:
In what situations you are communicating as:
- Critical Parent Ego?

- Nurturing Parent Ego?
- Adult Ego ?
- Natural Child ?
- Adapted Child ?
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Session 4: Communicative Tools: Assertiveness
Being assertive is often seen in conjunction with two other types of communication behavior:
Aggressive and submissive behavior.
Aggressive Behaviour:
You are aggressive when express your views, goals and aspirations in ways that oppress and devalue
others’ feelings, ideas and rights.
Submissive Behaviour:
You are submissive (passive) when you allow yourself to be downgraded and oppressed by others
and to react in an apologetic manner (continually explaining yourself ).
Assertive Behaviour:
You are assertive when expressing your views, goals and wishes clearly, without apology or being
hostile. You are assertive when you indicate that you assume full responsibility for your feelings,
ideas and rights.
Khẳng định: Phục tùng: Hung hăng:

Thể hiện thái độ có tính Tiêu cực-phụ thuộc, nhìn “Lao về phía trước”,
trách nhiệm và có tính độc trân trân xuống sàn nhà, nhướn mắt, chỉ trỏ ngón
lập, giao tiếp qua mắt-tay vò đầu bứt tai, giọng dè tay, giọng cay nghiệt
buông lỏng, giọng nhẹ dặt
The concept of Assertiveness
To be honest, assertiveness is about behaviour - how you behave when communicating with
others.
Are you a human doormat?
Do you say ”yes” when you mean ”no”?
Do you keep your opinions to yourself for fear of upsetting others or starting an argument with
others?
- if so, you are NOT assertive!
To be assertive is:
To stand up to one’s own rights

without offending others’ rights
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Many leaders find this form of behaviour difficult to put into practice.
However, when communicating in an assertive way you gain respect and attention among your
colleagues and subordinates.
Assertiveness and self-confidence
- how to help build, boost, and develop self-confidence and assertiveness
Building self-confidence and assertiveness is probably a lot easier than you think. ’Non-assertive’
people (in other words ’normal people’) do not generally want to transform into being excessively
dominant people. When most people talk about wanting to be more assertive, what they usually
really mean is:
1. ’How can I become more able to resist the pressure and dominance of excessively dominant
people?’
2. ’How can I stand up to bullies (or one bully in particular)?’
3. And also, ’How can I exert a little more self-control in situations that are important to me?’
Pure assertiveness - dominance for the sake of being dominant - is not natural behavior for most
people. Most people are not naturally assertive. Most people tend to be passive by nature. The
assertive behavior of highly dominant people tends to be driven by their personality (and often
some insecurity). It is not something that has been ’trained’.
For anyone seeking to increase their own assertiveness it is helpful to understand the typical
personality and motivation of excessively dominant people, who incidentally cause the most worry
to non-assertive people.
It’s helpful also at this point to explain the difference between leadership with dominance: Good
leadership is inclusive, developmental, and a force for what is right. Good leadership does not
’dominate’ non-assertive people, it includes them and involves them. Dominance as a management
style is not good in any circumstances. It is based on short-term rewards and results, mostly for the
benefit of the dominant, and it fails completely to make effective use of team-members’ abilities
and potential.
The fact is that most excessively dominant people

are usually bullies. Bullies are deep-down very
insecure people. They dominate because they
are too insecure to allow other people to have
responsibility and influence, and this behaviour
is generally conditioned from childhood for one
reason or another. The dominant bullying behaviour
is effectively reinforced by the response given by
’secure’ and ’non-assertive’ people to bullying. The

bully gets his or her own way. The bullying dominant
behaviour is rewarded, and so it persists.
Dominant, bullying people, usually from a very

young age, become positively conditioned
214
to bullying behaviour, because in their own terms it works. Their own terms are generally
concerned with satisfying their ego and selfish drives to get their own way, to control, to achieve
status (often implanted by insecure ambitious parents), to manipulate, make decisions, build
empires, to collect material signs of achievement, monetary wealth, and particularly to establish
protective mechanisms, such as ’yes-men’ followers (’body-guards’), immunity from challenge
and interference, scrutiny, judgement, etc. Early childhood experiences play an important part in
creating bullies. Bullies are victims as well as aggressors. And although it’s a tough challenge for
anyone on the receiving end of their behaviour they
actually deserve sympathy.
Non-assertive people do not normally actually aspire to
being excessively dominant people, and they certainly
don’t normally want to become bullies. When most
people talk about wanting to be more assertive, what
they really mean is ’I’d like to be more able to resist
the pressure and dominance of excessively dominant
people.’ Doing this is not really so hard, and by using
simple techniques it can even be quite enjoyable and
fulfilling.
Importantly, the non-assertive person should understand where they really are - a true starting
point: non-assertive behaviour is a sign of strength usually, not weakness, and often it is the most
appropriate behaviour for most situations - don’t be fooled into thinking that you always have to
be more assertive.
Understand where you want to be: what level of assertiveness do you want? Probably, the level
where you can defend yourself and control your own choices and destiny (which are relatively easy
using the techniques below), and not to control others.
For people who are not naturally assertive, it is possible to achieve a perfectly suitable level of
assertiveness through certain simple methods and techniques, rather than trying to adopt a
generally more assertive personal style (which could be counter-productive and stressful, because
it would not be natural). People seeking to be more assertive can dramatically increase their
effective influence and strength by using just one or two of these four behaviours prior to, or
when confronted by a more dominant character or influence, or prior to and when dealing with
a situation in which they would like to exert more control. Here are some simple techniques and
methods for developing self-confidence and more assertive behaviour.
Assertiveness and self-confidence methods and techniques:
1. Know the facts relating to the situation and have the details on hand.
2. Be ready for - anticipate - other people’s behaviour and prepare your responses.
3. Prepare and use good open questions.
4. Re-condition and practice your own new reactions to aggression (posters can help you think
and become aware how you want to be - display positive writings where you will read them
often - it’s a proven successful technique).
5. Have faith that your own abilities and style will ultimately work if you let them.
6. Feel sympathy for bullies - they actually need it.
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1. know the facts and have them on hand
Ensure you know all the facts in advance - do some research, and have them on hand ready to
produce (and give out copies if necessary). Bullies usually fail to prepare their facts; they dominate
through bluster, force and reputation. If you know and can produce facts to support or defend your
position it is unlikely that the aggressor will have anything prepared in response. When you know
that a situation is going to arise, over which you’d like to have some influence, prepare your facts,
do your research, do the sums, get the facts and figures, solicit opinion and views, be able to quote
sources; then you will be able to make a firm case, and also dramatically improve your reputation for
being someone who is organized and firm.
2. anticipate other people’s behaviour and prepare your responses
Anticipate other people’s behaviour and prepare your own responses. Role-play in your mind how
things are likely to happen. Prepare your responses according to the different scenarios that you think
could unfold. Prepare other people to support and defend you. Being well prepared will increase
your self-confidence and enable you to be assertive about what’s important to you.
3. prepare and use good open questions
Prepare and use good questions to expose flaws in other people’s arguments. Asking good questions
is the most reliable way of gaining the initiative, and taking the wind out of someone’s sails, in any
situation. Questions that bullies dislike most are deep, constructive, incisive and probing, especially
if the question exposes a lack of thought, preparation, consideration, consultation on their part. For
example:
• ’What is your evidence (for what you have said or claimed)?’

• ’Who have you consulted about this?’
• ’How did you go about looking for alternative solutions?’
• ’How have you measured (whatever you say is a problem)?’
• ’How will you measure the true effectiveness of your solution if you implement it?’
• ’What can you say about different solutions that have worked in other situations?’
And don’t be fobbed off. Stick to your guns. If the question is avoided or ignored return to it, or re-
phrase it (which you can prepare as well).
4. Re-condition and practice your own new reactions to aggression
Re-conditioning your own reaction to dominant people implies in particular: p building up your
own ’triggered reactions’, giving yourself ’thinking time’ to prevent yourself being bulldozed, and
being able to ’make a firm stand in the face of someone else’s attempt to dominate you without
justification. Try visualizing yourself behaving in a firmer manner, saying firmer things, asking firm
clear, probing questions, and presenting well-prepared facts and evidence. Practice in your mind
saying ’Hold on a minute - I need to consider what you have just said.’ Also practice saying ’I’m not
sure about that. It’s too important to make a snap decision now.’ Also ’I can’t agree to that at such
short notice. Tell me when you really need to know, and I’ll get back to you.’ There are other ways to
help resist bulldozing and bullying. Practice and condition new reactions in yourself to resist, rather
than cave in, for fear that someone might shout at you or have a tantrum. If you are worried about
216
your response to being shouted at then practice being shouted at until you realize it really doesn’t
hurt - it just makes the person doing the shouting look daft. Practice with your most scary friend
shouting right in your face for you to ’do as you are told’, time after time, and in between each time
say calmly (and believe it because it’s true) ’You don’t frighten me.’ Practice it until you can control
your response to being shouted at.
5. Have faith that your own abilities will ultimately work if you use them
Non-assertive people have different styles and methods compared to dominant, aggressive people
and bullies. Non-assertive people are often extremely strong in areas of process, detail, dependability,
reliability, finishing things (that others have started), checking, monitoring, communicating,
interpreting and understanding, and working cooperatively with others. These capabilities all have
the potential to undo a bully who has no proper justification. Find out what your strengths and style
are and use them to defend and support your position. The biggest tantrum is no match for a well
organized defense.
6. Feel sympathy for bullies
Re-discover the belief that non-assertive behaviour is actually okay - it’s the bullies who are the ones
with the problems. Feeling sympathy for someone who threatens you will psychologically give you
the upper hand. Aggressors are often grown from children who were not loved, or from children who
were forced to live out the aspirations of their parents. Be kind to them. In many ways they are still
children.
N.B. The point above should not be seen as approval or justification for bullying. Also, the people
responsible for bullying are bullies, not the victims. So if you are a bully: get some feedback, get
some help, and grow up. Finally, there are now very serious laws and processes to protect people
from bullying, which should be invoked whenever anyone feels the need for help.
Assertiveness Test
Find out if you stand up for yourself as much as you should with the below Assertiveness Test.
Assertiveness is the ability to formulate and communicate one’s own thoughts, opinions and wishes
in a clear, direct and non-aggressive way. This test determines whether a lack of assertiveness skills
may prevent you from fulfilling your potential abilities and reaching your goals. Go through the
following statements and mark to what degree you agree with the statement.
217
Test your Typical Job Behavior
In the below statements, you must decide on how often the behavior described in the statements
apply to you.
You must use one of the following options in your answers:
Very often
Often
Sometimes
Rarely
Almost never
You must write the selected option on the empty line.
Be aware that your answer should show what you actually do and not what you want to do – just in
case there might be a difference between the two types of behavior.
Enjoy yourself!
Insert one of the following options in the empty fields:
Very often - Often – Sometimes - Rarely - Almost never
If I have not succeeded to finish my assignments, I _____________ explain why,

1
without giving "stupid excuses”.
2 I ______________ feel unhappy when a colleague speaks of me.
3 I ____________ expect my colleagues to do as I say.
4 When I work on a task I ____________ make sure to have the necessary information.
5 I ______________ do what I have been told to do, even though I find it difficult.
218
6 I ______________ have a bad conscience if I'm late.
7 I ______________ act spontaneously - without first collecting information.
8 I ______________ allow myself to be put under pressure in a telephone interview.
9 I have ______________ easy to keep my mind in a discussion.
10 I ______________ insist that things are done my way.
11 Others ______________ should learn from my experiences.
12 When I notice that my colleagues are somewhat slow, I ______________ Hurry them
13 I ______________ find a way to make a dull job interesting.
14 I ______________ withhold my thoughts and feelings.

Very often - Often – Sometimes - Rarely - Almost never
15. It ______________ find it easy to ask others for help.
16.
I ______________ act in an illegal or immoral way.
17.
I ______________ think by myself: ‘How can other people manage without me?’’
18.
I ______________ tell a colleague if he / she has treated me in an unfair way.
19. I ______________ reprove my colleagues if they do not work as they

should.
219
20.
I ______________ spend energy sorting out how I can get it my way.
21.
I ______________ keep calm when being in an emotional environment.
22.
I ______________ help colleagues, my boss or other people by taking on me extra
tasks.
23.
I ______________ keep my mouth shot to keep on good terms with others.
24. I ______________ happen to insult and humiliate people, because I do not

think before acting.
25. ______________ people agree with me, after all.
26. I ______________ find it difficult to tell a colleague that I disagree with the way he or
she handle things.
27. I ______________ think by myself: ”I had better do it for them - they are not able to
do it on their own.’
28. I ______________ talk about facts when a colleague is in need of consolation and
encouragement.

Very often - often - Sometimes - rarely - almost never
29.
I ______________ find it easy to talk to depressed people.
30. I ______________ seek information first and then I also use my intuition in
connection with the interpretation.
31.
I ______________ help a colleague out of a critical situation.
220
32. I ______________ feel it hard to ask for a book, drill, or anything else which I have
lent out.
33.
I ______________ strive to sound friendly and welcoming on the phone.
34. I ______________ conform to my colleagues’ critique of my performance.
35. I ______________ guide people when they do not perform their job properly.
36. I ______________ set standards for my own achievements as well as other people’s
achievements.
221
Assertion Test - Score Sheet
Once you have completed your questionnaire you must calculate your points as follows:
Very often Often Sometimes Rarely Almost never
4 points 3 points 2 points 1 point 0 point
You write down the points in the column on the right in the questionnaire.
Then you transfer your points to this Shore Sheet in the table below.
Finally you count the three columns and find the total for each column. The three totals reflect the
weighting between your assertive, aggressive and submissive behavior in your job.
222
Analysis of the behavior, you use at work:
Assertive Aggressive Submissive
1
10
11
12
13
14
15
16
17
18
19
20
21
22
23
223
24
25
26
27
28
29
30
31
32
33
34
35
36
TOTAL
Session 5: Communicative Tools - Active Listening

Active listening is a significant part of good communication practice and an efficient tool for the
manager in several communication situations, i.e. one-to-one meetings, practicing situational
leadership, mediating in conflicts, etc.
Definitions of active listening:
• Active listening is an intent to “listen for meaning”.

en.wikipedia.org/wiki/Active_listening
• The process of attending carefully to what a speaker is saying, involving such techniques as
accurately paraphrasing the speaker’s remarks
en.wiktionary.org/wiki/active_listening
• a skill in which the listeners demonstrate that they understand what the speaker is saying both
verbally and nonverbally
www.youthcourt.net/content/view/11/23/
• Listening for meaning in which the listener checks with the speaker to see that a statement has
been correctly heard and understood. ...
elearning.autism.net/en/mod/glossary/view.php
224
Session 6: Communicative Tools - Feedback
The importance of this session is to connect the feedback staircase with the feedback sandwich
model. The staircase feedback is about how to receive feedback and the sandwich model is an
expression of the ability to provide positive and constructive feedback.
To Receive Feedback
It is sometimes difficult to take criticism. A good way to see how different people take criticism can
be illustrated with the so called Feedback Staircase. The reason that the model is in the form of a
staircase is because it is difficult to accept criticism and it requires energy to be able to progress up
the stairs.
In the model there is a line, or division, between step 3 and 4. This line shows when one begins to
receive criticism in a constructive way instead of just dismissing what is being said.
The intention behind giving constructive criticism is that you should improve your performance
and adapt your behaviour accordingly. This is not always so easy. Study the Feedback Staircase and
consider how you usually react to criticism. Then consider how you would like to receive criticism.
The Feedback Staircase
Tiếp nhận
Thay đổi hành vi
Đặt câu hỏi/

Thấu hiểu
Gạt bỏ Lắng nghe
Biện hộ
Bào chữa
Dập tắt
Step 1: Deadening
Deadening the criticism that you are given by saying ”So what” or by just ignoring what is being
said to you. Another type of reaction can be to blame the person giving the criticism and to
suggest that they can do no better either (Child Ego!).
Step 2: Defending
225
Defending yourself by saying ”I did not say that”, ”no, it is of course not like that” etc.
Step 3: Explaining
Explaining away what the others are saying by for example saying something like the following:
- Yes, but how am I supposed to know that? - Yes, but I did not make so many mistakes.
Step 4: Listening
Listening to the criticism and hearing what is being said by the opposite party.
Step 5: Questioning and Understanding

Listening and questioning in order to better understand what the opposite party means with their
criticism.
Step 6: Changed Behaviour

When you have come up to the final step this means that you have taken the criticism to heart,
understood it, accepted it, and then changed what was criticized for the better. This exemplifies
that you now accept your responsibilities.
Which Step are you on?
Irrespective of which step you and your dialogue partner are standing on it can be a good thing
to remember that ”conflicts” are harder to solve if one of you is in an emotional negative state i.e.
angry, irritated, bitter, or unhappy.
If this is the case then break off the discussion and begin again when both are in a receptive mood
and can have a discussion in an objective manner without someone trying to defend himself or
trying to place the blame elsewhere.
Assignment
In pairs
Time: 30 min.
1. Describe a situation for each step of the Feedback Staircase

2. Be prepared to provide examples.
To Give Feedback
We find it important to give a feedback that will encourage development and improvement.
Therefore, we recommend you to use the sandwich feedback model.
Negative feedback is never easy to give, but feedback or criticism between layers of praise makes
it more palatable and more effective. It this way it is possible to tell someone what you like and
dislike about his or her performance in a constructive way.
226
Nấc
thang 6
Nấc
thang 5
Nấc
thang 4
Nấc
thang 3
Nấc
thang 2
Nấc
thang 1
Build up your feedback like this: First, tell about a quality or characteristic that you appreciate, then
give one area for improvement, and finish with some more positive words of encouragement and
appreciation in general.
• Bread: Start with positive statements

• Meat: Put concrete suggestions for improvement in the middle
• Bread: End with a positive and general statement of encouragement
For example, you may follow the following procedure when giving sandwich feedback:
1. Give 2-3 positive and concrete statements (what was good) (bread)
2. Give your suggestions for improvements (beef )
3. Give your general opinion (encouragement) (bread)
Remember to use I-language (assertiveness)!
227
AGENDA DAY 8
Agenda day eight
Time Contents
Session 1:
Opening of day 8:
• Repetition
Session 2:
08.15-09.30
Questioning technique
Session 3:
09.30-11.00
Handling of Conflicts
Session 4:
11.00-12.00
Role plays: Preparation of role plays
Lunch Break
12.00-13.00
Session 4 (continued).
13.00-16.45
Role plays: Delivering difficult messages and mediation in conflicts
Session 6:
16.45-17.00
Workshop wrap-up
230
Session 1: Day Eight
Opening of day 8:
• Repetition
Session 2: Communicative Tools - Questioning

Techniques
Basic Interviewing Techniques (Coaching Techniques)
For this session we shall repeat some of the questioning techniques used in Session 5, Day 4, (Job
interview) in this course ware. However, the questioning techniques used for delivering difficult
messages and mediation in conflicts could rather be compared to coaching techniques and differ
somewhat from the techniques used for job interviews. When solving conflicts we want to uncover
all the facts around the problem, and we are absolutely not interested in background information
and reasoning. It must be emphasized that the manager is not a psychotherapist and consequently
should never try to solve problems by counseling. The best person to solve a problem is the person
involved in the problem or the persons involved in a conflict. The overall role of the manager is to
facilitate space and opportunities for the persons involved to solve their own problems.
Therefore, ask good, open questions and listen instead of talking and giving advice.
The following check list may be a help and a good reminder when carrying out interviews with
employees:
Open questions: Remember Kipling’s ‘6 serving men’: What, why, when, how, where, who? These
create the opening of a dialogue and the opportunity for exploration and an in-depth conversation.
However, in connection with conflicts and delivering difficult messages as well as coaching in other
situations you are not allowed to ask the question why.
Never ask WHY!
You are neither a psychotherapist nor an archaeologist who are both interested in uncovering history,
background, and reasoning.
Listening: Listen to the focus person’s story without filtering it through your own understanding,
opinions, attitudes, thought and habit patterns.
Be quiet: Allow time for breaks. That has a soothing effect and leaves the focus person time to think.
Show respect: Show respect for the focus person. By accepting and acknowledging the problem,
you will automatically strengthen the focus person’s ability to act.
231
Acknowledgment: The focus person will be very sensitive to whether or not you are listening to
him. Motivate him to continue talking by giving appreciative listening signals: Eye contact, a nod, a
smile, etc.
Echo: Repeat the last few words. By being a kind of echo, the interviewer shows respect and will
learn more about the meaning of the words in the focus person’s world.
Summarize: By summarizing the coach will get an opportunity for having feedback on the
‘understanding’ of what has been said. And to hear his/her own story told by someone else can force
the focus person to increase reflection.
Cleaving – Open Questions
Let us remember Kipling’s ‘six honest serving men’:
Tôi có sáu người phục vụ trung thành

(Họ dạy dỗ tôi tất cả những gì tôi biết);
Tên của họ là Cái Gì, Tại Sao, Khi Nào
Và Như Thế Nào, Ở Đâu và Ai.
232
However, as mentioned above we should always avoid the question why when using a so called
coaching technique.
To cleave in this context means to dig deeper down into statements by asking the questions what,
when, how, where, and who.
Read aloud the statements in your presentation and

either read aloud the suggestions for answers yourself
or ask the students in turn to dig down into the
statements by using the questions what, when, how,
where, and who.
Do as much as of these statements as you find necessary

for giving the participants an idea of this cleaving-
technique. After that they will get an opportunity
to further practice this technique in the assignment
described below.
NB.: Please, inform the students that the statements listed in the assignment do not necessarily
make sense – they are solely randomly chosen statements that do not make sense until they are
illuminated by the wh-questions.
Hand out the work sheets (Cleaving Assignment A and B) for this assignment and point out that
participant A is not allowed to see the sheet of participant B and vice versa. It is very important to
instruct this assignment carefully.
Assignment
Work in pairs.
Participant 1: Use the A sheet

Participant 2: Use the B sheet
The two participants in turn ask the questions
stated on their sheet respectively and then
the other party is supposed to respond by
asking questions to gain a meaning from the
statement and also to have as many facts as
possible uncovered.
For example:
Participant 1: She has always believed!
Participant 2: Who do you mean? Who is she? What does she believe in? For how long has she been
a believer of …, etc.
On the sheets handed out you will find some suggestions on what you may expect your partner
to respond. Participant 2 above is in the role of interviewer and should be the one who continues
asking questions like who, what etc. – questions that can not be replied to with a yes or no.
233
Session 3: Conflict Resolution
Assignment
Individually
Time: 30 min.
1. Describe a conflict you have experienced or in which you have participated.

2. What was the cause of the conflict?
3. How did it end?
Get together in groups of four and discuss your conflicts.
1. Conflicts and Communication
Discussion Exercise
Discuss the following situation in pairs.
Situation: In a supermarket an experienced employee criticizes a junior employee’s way of solving a

task in front of a customer.
The younger employee feels really offended and expresses his feelings after the customer has left
the shop.
Consequence: The two employees don’t talk to each other any more and don’t want to work
together.
What would you do as a leader?
2. Conflict Resolution Styles and Strategies

What’s your style? ... some metaphors
• Policeman? “I couln’t care less about what happened. I just want you to cooperate from now on.
“
• Judge? - Listens and makes a decision.
• Grocer? - Gives, takes and acts.
• Victim? - “You ought to be ashamed of yourselves to treat me this way, that you cannot work out
how to cooperate.”
• Blackmail? - “If you don’t contribute to solving the conflict – I’ll have to reconsider the
agreements we made at our last meeting.”
234
Assignment
Work in group of 3-4

30 min.

At a staff meeting new proposals to improve the working atmosphere are about to discussed. It
is obvious that the most dominant employee will succeed with his proposals and reject others. A
few of the other employees moderately express their dissatisfaction with their body language, but
nobody decidedly acts on it.
The manager is aware of the ‘somewhat cool atmosphere’, but dares not cut through.
What should the manager have done?

What conflict resolution (avoidance) style would you recommend?
What conflict resolution (avoidance) style would you recommend for the employees?
GIẢI QUYẾT MÂU THUẪN - ĐƯƠNG ĐẦU HAY THOÁI LUI
MỐI QUAN HỆ
Quan trọng
Che giấu Đối mặt với sự hợp tác
THỎA HIỆP
Chế ngự
Né tránh
(quyết định) Mục đích
Quan trọng
Không thỏa đáng
Confrontation
Thời điểm của sự thật
• The moment of truth

• Confrontation can be used to develop
• Team Work
• Leadership
• Self Consciousness
• Confrontation allows for clarification:
• Do we really disagree?
235
Between groups:
Three options for taking action

• Negotiations
• Joint task
• Pressure from outside
The leader as part of a Confrontation:

• Express your positive intentions
• Express your supposition of the situation
• Limit the conflict
• Focus on the topic
• Describe your opinion of the problematic actions/behaviour of the other party
• Do not judge (be objective)
Fixed and open behaviour:
HÀNH VI CỐ ĐỊNH VÀ MỞ
Thái độ đóng Thái độ mở

Bạn - Ngôn ngữ I- Language
Ngắt lời Lắng nghe chăm chú
Không liên can Thích thú
Những câu hỏi chỉ dẫn Những câu hỏi mở
Chỉ trích Biểu hiện sự hiểu biết
Trừu tượng, khó hiểu Thực tế
Hướng vào cá nhân Hướng vào vấn đề chính
Hướng về quá khứ Hướng về hiện tại/tương lai
236
Choose the right strategy:
• The choice of negotiating strategy depends on the situation

• You take the responsibility by actively choosing a negotiating strategy
• Most important is the conscious choice of negotiating strategy
When and when not having a conflict?
• It is important to emphasize that we must “choose” whether or not we want to make a

conflict out of a situation
• An open environment for discussing, disagreeing and maintaining communication must be
ensured
• The leader’s decisions in a conflict situation must be respected
3. Mediation
Mediation character:
As opposed to legal cases tried in court mediation is characterized by the following:
• Is informal
• Conflict solution is carried out in an undisturbed area
• Emphasis on the future, not the past
• Use of evidence is rare
• Low costs
• Short time frame
• In-depth communications, not interrogative or persuasive
• Creating win / win situations
For what Types of Conflicts is Mediation Suitable?
• Medium sized companies

• At the workplace
• Between groups
• With divorce cases
• About inheritance
• Between ethnic groups
• Between neighbors
• Conflicts in schools
• Between management and employees
• Etc.
237
Mediation - a Process in Phases:
The mediation process can be divided into 5 phases:
• Phase 1: The parties’ statement of the conflict

• Phase 2: Definition of the problem and setting the agenda
• Phase 3: Suggestions of options
• Phase 4: Negotiating solutions
• Phase 5: Agreements
Phase 1 and 2: The parties’ explanation of the conflict and mediator’s definition
• A picture of both parties’ experience of the conflict

• Clarification of both parties’ claims
• Awareness of both parties’ interests and needs
• Statement of differences and openings to reach an agreement
• The mediator’s impression of both parties’ flexibility and willingness regarding a possible
solution or compromise
If the situation reaches a deadlock:
• Private meetings
• Referral to objective counseling
• Referral to therapy
• Consider a law suit
Phase 4: Negotiating solutions:
• To create an atmosphere where the parties give and receive

• Keeping morale up
• Setting out the options in relation to joint interests
• “Batna” Best Alternative To a Negotiated Agreement
• “WATNA Worst Alternative To a Negotiated Agreement
• Planning of a break, be it short or long
• Stop in time, if the process does not succeed
Phase 5: Contracts Agreed
• Content of agreement
• Requirements for agreement declaration
• Check list for a good agreement
• After implementation of the agreement
• Criteria for a good solution
238
Session 4: Role Plays
The role plays are built around two scenarios:
1. As the nearest manager you should be able to deliver a difficult message.
2. As a manager you should be able to act as a mediator - or broker - in a conflict involving two
employees.
239
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HUMAN RESOURCE

Agenda Day Two.........................................................................................................................74

Agenda - Day Three................................................................................................. 104

Agenda – Day Four................................................................................................... 129

Agenda Day Six............................................................................................................. 180

Agenda Day Seven................................................................................................... 212

Agenda Day eight...................................................................................................... 244

Agenda Day One

Introduction and overview

10.00-11.00 HRM in a strategic perspective:

11.00-12.00 The strategic basics:

Overall agenda for the 9 days:

Day Date Time Topic

How to Retain People

Sat 08.00-17.00 Pulling it all together

Mon Deadline for Project Report

Sat Final test

• attract and recruit employees

• maintain and retain employees

• phase out employees (dismissals and retirements)

Introduction to SG course site and log-in (optional)

SkillsGroup Course site:

You will receive a log-in code from your teacher.

Creating Google Document

2. Create a Google doc: https://www.google.com/accounts/ServiceLogin?service=writely&passiv

3. Open a Google Account if you do not have a one already.

4. Share the document with 2-3 fellow participants

5. Make a joint name and address list.

2. Download Skype: http://www.skype.com/intl/en/

3. Follow the instructions for downloading and installation

1. Use of Course Site

Assignment: Murder at the Black Horse

5. Mister A’s body was found 23:15.

8. Mister C saw Mister A in the bar and started threatening him.

9. Mister A had an affair with Mister C’s wife.

10. The bartender saw Mister B leave the bar 22.10.

11. At 22.00, mister C entered the bar and ordered a beer.

12. Mister B’s fingerprints were found on the wrench.

The group split up in two detective teams:

Who are the best detectives?

Topic 1: What is Strategy?

Greek: Stratego = to lead an army (generalship)

1. Strategy is a plan, a ”how,” a means of getting from here to there.

Good and realistic plans to get from A to B

What is a Good Strategist?

A good Leader A good Manager A good strategist

Topic 1: What is Strategy?

• It may be a specific event like the 11th September, 2001.

• It may be developmental events like technological advancements

• And, currently, we can see the worldwide financial crisis

Pháp Hoàn Lao Khách Nhà Người Công

Ảnh hưởng toàn cầu – Xu hướng địa phương

Sứ mệnh Tầm nhìn Mục tiêu

Người lao động

Tích cực Tiêu cực

Yếu kém trong khâu quản trị

Cơ hội Thách thức

Thuế cá nhân giảm Thuế tăng

A brief definition of the strategic terms:

= Philosophy / existence (the overall purpose of the organization). Description of the

= A goal or objective is a projected state of affairs that a person or a system plans or

= Strategies are mainly directed at the organization’s core processes: Market

Description of the organization’s existence – why are we here?