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www.bestpracticeinstitute.org • January 2007
 


Lessons from Dr. Robert Sapolsky
SmithKline Beecham Global Merger Case Study
Lou Manzi's Secrets to Successful Talent Management
Business/Systems Thinking at FedEx Sales
Dr. Todd Lepine of Canyon Ranch on Stress Management
Colgate Palmolive Case Study
Dow Chemical Case Study
Best Practices in Creating a Successful Global Organization - Introduction and Overview



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During the new year, we will be exploring unique methods and next practices. We will be answering the question, "Where would we like to lead our organizations?" and "What are the anticipated 'best practices' that we need to move forward?"

To begin this process, I have spoken with several of the world's leading thinkers and senior executives. I spoke with Dr. Todd Lepine of Canyon Ranch, Dr. Robert Sapolsky, a MacArthur "Genius" fellow and professor of neuroscience at Stanford University, and top leaders from our world's largest organizations. Some commonalities from the conversation can be summarized by the following: If you stay focused, creative, balanced, and open to alternate viewpoints and outside knowledge, you will create and sustain a balanced organization and individual 'system' that is able to act and react within chaos with planned interventions.

In this issue you will learn about many of these interventions from such organizations as Colgate Palmolive, Fed Ex, Dow Chemical, and SmithKline Beecham (now GlaxoSmithKline).

Senior executives such as Joe Bonito (Pfizer), Lou Manzi (GlaxoSmithKline), Teresa Roche (Agilent), Rick O'Leary (Corning), Brian Anderson (Bank of America), Nilou Sardari (Volvo 3P), Tina Decker (Best Buy), Gerry Kells (J&J), Lucia Quinn (Boston Scientific), Diane Holman (Raytheon), John Nelson (Cargill) and several others implement human capital strategies within organizational systems that have proven successful and sustainable throughout the years. I believe this is in large part because of their exceptional leadership skills, attributes, and behaviors. It is also due to their willingness to re- learn and transform themselves and their communities continuously.

Our senior executive best case example is Lou Manzi, Senior Vice President of Global Recruitment at GlaxoSmithKline. Lou is living proof of a sustainable and highly effective senior executive at the top level. The case that we are sharing in this e-zine is from Lou's work on the post-merger integration of SmithKline Beckman Corporation, located in Philadelphia, PA, and The Beecham Group in London (now GlaxoSmithKline). Still today, Lou Manzi is a leader at GlaxoSmithKline (GSK) working closely with an extraordinary CEO, J.P. Garnier to sustain long-term success for the organization. I believe organizations such as GSK stay as healthy "living organisms" in good part because of the work and change programs of top-brass leadership.

Through our research, BPI has found that organizations that have the most long-term success on the stock market and through their lifespan are those organizations with the most effective organizational change programs that are led from the top. The organizations on the board of Best Practice Institute and within its best practice portal and e-zines are exactly these kind of organizations.

Learn the secrets of greatness of many of these leaders and organizations and their practices, tools, and competencies by becoming an individual member of Best Practice Institute this year.
We have also implemented a new feature for group and organizational members where you can add employees of your organization as members of BPI!

I wish you all the best for a successful 2007!

Best wishes,


Louis Carter, CEO, Best Practice Institute

 

Dr. Robert Sapolsky teaches about connections between animal community research and social/organizational management

Dr. Sapolosky's current research focuses on issues of stress and neuron degeneration, as well as on the possibilities of gene therapy strategies and gene transfer techniques for help in protecting susceptible neurons from disease. In the interview he identifies the stressors that cause disease and poor productivity within baboon and other animal communities. He currently teaches a class called "Human Behavioral Biology" at Stanford University. The class is one of the most popular classes on campus. He is the author of several books, including Why Zebras Don’t Get Ulcers and A Primate's Memoir. He is sometimes praised as one of the finest scientific writers of our time. He also has written for magazines and is a popular speaker.
He also travels to Kenya yearly to study baboons as they are primates that are closely related to us in their stress inducing environment. They are further similar to humans in that they have almost no natural predators and hence the majority of the their stress derives from their social functioning. More specifically, Sapolsky studies the cortisol levels between the Alpha male and female and the subordinates to determine stress level.


During this interview we encourage you to see the correlations between Dr. Sapolsky's work and that of the world of social and organizational systems. We feel that Dr. Sapolsky's work and research has major implications for the world of organizational leadership and management.


 

SmithKline Beecham Post-Merger Human Capital Strategy Intervention

This case study shows, in detail, the step-by-step approach taken by BPI thought leader W. Warner Burke and BPI Senior Executive Board Member Lou Manzi in successfully merging two large corporate cultures.
SmithKline Beecham was formed through the merger of SmithKline Beckman Corporation, located in Philadelphia, PA, and The Beecham Group in London. Beecham had comparatively few programs in the way of human resources development, while SmithKline Beckman had a process but no consistency in how it was implemented across the corporation.
Within a few years, after the company had resolved the most urgent post-merger problems, it had become apparent that SmithKline Beecham needed a consistent, reliable, and standardized leadership planning process. It was believed that such a process would help meld the two companies with their disparate cultures—that it would help change SmithKline Beecham from a multidomestic “we versus them” culture to a global “us.” It was also hoped that a company-wide approach would enhance worker loyalty that had been diminished by the merger. Moreover, SmithKline Beecham was experiencing the same pressures felt by the industry worldwide to downsize and reduce its hierarchy, thereby limiting opportunities for advancement.
In early 1993, the human resources team was asked by senior management to develop three leadership planning initiatives that could be applied company- wide. The initiatives were a succession planning process, an executive development process, and a leadership competency model. Three separate teams were formed to attack these three separate targets. It did not take long, however, to recognize that the targets were all connected. They all led to the single goal of leadership planning. They agreed to work together on one team, with human resources people from all line operations—pharmaceuticals business, over-the-counter products business (Consumer Healthcare), corporate, Europe, International. There was also an advisory board of line managers.


In this article you will find: • Creating a Team to Design the Leadership Development Planning Process • Data Gathering • Key Learnings of First Round Development Planning • The Leadership Planning Process (LPP) Design • Leadership Development Review (LADR) • Group Discussion • LPP Training Curriculum • Succession Planning Process • Business Assessment • Organizational Succession Planning • Internal Candidate Search • Continuous Improvement of the Leadership Planning Process • Leadership Exchange • Leadership Advantage • Key Learnings of LPP After Implementation • Results


 

Lou Manzi's Secrets to A Successful Organizational Talent Management System (audio)

This interview is useful for any organization or individual looking to recruit or become recruited by a large organization. Learn the secrets of a successful executive and organization's talent management program.


Lou Manzi joined SmithKline Beecham Consumer Products as Manager, Government and Public Affairs in 1985. He is currently with GlaxoSmithKline Corporate Staffs and leads the Global Recruitment function. In addition, he has responsibility for coordinating all US Human Resources Shared Services initiatives. He serves on the Board of the U.S. Army War College and on the Board of hireAbility, a philanthropic organization whose purpose is to serve as a link between people with disabilities and businesses. He is also a past trustee of the Wilkes University Board of Directors.


 

Systems Thinking at FedEx Sales (case study)

With annual revenues of $18 billion, FedEx Corp. is the premier global provider of transportation, logistics, e- commerce and supply chain management services. The company offers integrated business solutions through a network of subsidiaries operating independently, including FedEx Express, the world’s largest express transportation company, and FedEx Ground, North America’s second-largest provider of small-package ground delivery service. More than 2.5 million customers are connected electronically through the FedEx information network and approximately two-thirds of its U.S. domestic transactions are now handled on-line.


OVERVIEW OF BUSINESS THINKING: The concept behind the business thinking curriculum for sales was that the sales executive should think like a business owner. They should think about the customers of the FedEx customer. What kept the FedEx customer awake at night when they thought about the products and services demanded by their customers? One goal of business thinking was for the sales rep to see the world through the eyes of the customer rather than through their own eyes. For the small customer, such as a neighborhood print shop, the sales rep might focus on the consumers that walked into the print shop ordering wedding invitations and flyers for a new business. For the global account, such as a global telecommunications company, the sales rep would focus on the other billion dollar corporations served by this customer. This global account might buy through a purchasing committee and ship to all world regions. Their partners, suppliers, and customers were definitely different from those of the neighborhood print shop.


 

Dr. Todd Lepine, Canyon Ranch physician (audio)

In this exclusive interview with Dr. Todd Lepine, a board certified doctor in internal medicine, we learn about his unique approach to helping his patients, the body’s response to stress and stressors, and different approaches to handle and deal with stress on a day to day basis. Dr. Lepine practices Integrative Medicine and is also a staff physician at Canyon Ranch Health Spa in Lenox, Massachusetts. This interview is useful for any organization or individual looking to reduce the amount of stress their body’s endure on a day to day basis and learn different solutions to being an overstressed executive.



 

The 38,000 people of the Colgate-Palmolive Company generate over $9 billion in annual sales, serving 5.7 billion people in over 200 countries and territories in every area of the world with high-quality consumer products for oral care, personal care, household surface care, fabric care, and pet nutrition. Colgate is striving to become the best global consumer products company while making important contributions as a fully responsible member of the global community
Introduction to Program
The Colgate-Palmolive Company developed a global training program for sales executives who are responsible for managing the company’s most strategic retail business accounts. This proprietary program, Key Accountability: Managing the Account as a Business, develops the business leadership abilities needed to meet the challenges faced by the company and its customers in a complex and rapidly changing global marketplace. It serves as the cornerstone of a worldwide sales curriculum designed to transform Key Account Managers from their old role as salespeople to their new roles as business leaders for Colgate-Palmolive and business consultants for key customers.


 



Dow Chemical
A Global Career Development Process (Career Fitness) for all employees designed to create a culture for continuous learning and personal responsibility for career growth through career management, coaching, and advising.
Dow Corning Corporation is the global leader in the manufacture of silicone and silicon-based products with approximately $2.7 billion in sales and 9,000 employees. It is a 56-year-old joint venture between Dow Chemical and Corning Inc., with its stock solely held by the 2 partners in the joint venture. While corporate headquarters are located in Midland, Michigan, there are facilities in 33 countries outside the United States. The company had long held the philosophy of “promote from within.” In general, long-term employment was an expectation held by most employees. In terms of employee development, this meant a somewhat patriarchal approach to career development and a sense of entitlement among employees.
In mid-1994, an employee expectation survey of 75% of the global employee population showed only a 33% level of satisfaction with opportunities for career growth. Naturally, this raised concerns on the part of executive management. Although turnover had been steady at about 5% per year for sometime, there was a concern about losing high performers in the workforce. In addition, management was concerned about the level of performance if employees were not satisfied with opportunities for career growth. Executive management requested that Human Resources initiate a project to determine the possible causes for this low level of satisfaction and recommend changes to improve employees’ satisfaction in this area.
The request was significant in 2 ways. First, it was not a specific request for a class or event—rather, it was a request for understanding the causes of the dissatisfaction. Second, it gave human resources the opportunity to operate as a business partner and take a strategic role—rather than the traditional transactional role.


 

This is the full research of BPI's study on leading Global Change - from recruitment, talent/succession planning, performance management, leadership development, to global change. You will find all of the cases, tools, instruments, trends, and research for leading global organizations or enabling your organization throughout disparate geographies. The organizations profiled in this study include:
  1. Agilent Technologies
  2. Corning Inc.
  3. Dollar General
  4. GE Capital Financial Services
  5. Hewlett- Packard
  6. McDonald’s
  7. US Army War College
  8. Valero
  9. Volvo Automotive


 
© 2006 Best Practice Institute, a division of Best Practice Publications, LLC