CATEGORY 1LEADERSHIP

CRITERIA & BEST PRACTICES

Bill VoravuthAreté Partners

Category 1. Leadership1.1 Senior Leadership : How do your senior

leaders lead ?

• Set and deploy vision and values.• Demonstrate commitment to values. • Foster and require legal and ethical behavior.• Create sustainable organization and environment for : - performance improvement - accomplish mission and strategic objectives - innovation - agility - workforce learning• Participate in succession planning.

a. Vision and Values

b. Communication and Organization Performance

• Communicate with and engage entire workforce.• Encourage frank and two-way communication.• Take active role in reward and recognize workforce.• Focus on attain vision.• Regularly review and improve performance. • Create and balance value for stakeholders.

b. Legal and Ethical Behavior

• Address adverse impacts on society.• Anticipate public concerns and prepare for in proactive manner.• Achieve and surpass regulatory and legal requirements.• Address risks associated with product and operation.• Ensure ethical behavior through out organization.

a. Organizational Governance

• Review and achieve organizational governance system.• Evaluate performance of senior leaders and board.• Improve personal leadership effectiveness.

c. Support of key communities

• Identify key communities and areas of emphasis.• Senior leaders and workforce contribute to improve communities.

1.2 Governance and Social Responsibilities: How do you govern and address your social responsibilities?

Category 1. Leadership

• Set and deploy vision and values.• Create sustainable organization. • Focus on attain vision.• Regularly review and improve performance.• Create and balance value for stakeholders. • Identify key communities and areas of emphasis.• Address risks associated with products and operations.

• Create and balance value for stakeholders. • Innovation, Agility.

Cat. 2 Strategic Planning

• Regularly review performance measures.• Create environment for performance improvement.• Create environment for workforce learning.• Evaluate performance of senior leaders and board.

Cat. 3 Customer

Focus

Cat. 4 Measuremen

t&KM

Linkages to other categories:

• Deploy vision and values.• Demonstrate commitment to values.• Create environment for agility, workforce learning. • Participate in succession planning.• Communicate with and engage entire workforce.• Encourage frank and two-way communication.• Take active role in reward and recognize workforce• Regularly review and improve performance.• Create and balance value for stakeholders.• Senior leaders and workforce contribute to improve communities.

Cat. 5 Workforce

Focus

• Set and deploy vision and values. • Create environment for performance improvement, innovation , agility.• Address adverse impacts on society.• Anticipate public concerns and prepare for in proactive manner.• Address risks associated with product sand operations.

Cat. 6 Process

Management

Linkages to other categories:

CATEGORY 1 BEST PRACTICE

BEST PRACTICE RESEACH BASED ON:• MBNQA Winners [2005 – 2008]:

• Dyn McDermott [2005]• Mesa [2006]• Armament Research, Development &

Engineering Center [2007]• Pro-tec Coating Company [2007] • Cargill Corn Milling [2008]• Poudre Valley Health System [2008]• Iradell Statesville Schools [2008]

• SQA Winners [2007-2008]:• ST Engineering [2007]• Singapore Police Force [2008]• AVI Tech Electronics [2008]

Cat. 3 Cat. 2 Cat . 5

Cat. 4 Cat. 2

Cat. 6

Cat. 7

Senior Leadership Team created the Engagement Strategy Team (EST) to formulate a strategic approach to improving engagement.

In 2006, the EST utilizes Employee Engagement Survey results, provided focused engagement training and best practice sharing to all front line supervisors because of their key role in workforce engagement.

In 2007, the EST and SLT utilized engagement data compiled by the Corporate Leadership Council to identify the top factors driving engagement.

SLT uses EES findings to correlate engagement with key business results such as safety index, customer quality index, innovative ideas, and productivity measures.

Employee Engagement:

Senior Management Group uses the Employee Culture survey to further evaluate the leadership system and gauge progress on leadership system improvements.

SMG takes one of the lowest scoring dimensions, identifies opportunities for improvement, prioritizes them, initiates an action plan and monitors progress through a measure on the system BSC.

Individual departments also engage staff to develop an action plan that addresses department-specific survey results.

Employee Engagement:

Senior leaders discusses result of the Workforce Engagement Survey and quantitative analysis during the quarterly/annual strategic planning process. The information is measured against the previous year’s results as well as benchmarking questions against Baldrige surveys.

Employee Engagement:

Employee Engagement Improvement

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• Rational: How well employees understand their roles and responsibilities (the thinking)

• Emotional: How much passion and energy they bring to their work (the feeling)

• Motivational: How well they perform in their roles (the acting)

Engagement dimensions

2008 Global Survey of 88,000 Employees in 16 countries by

Towers Perrin Consulting

China Hong Kong India

USAJapan South Korea