AN EXECUTIVE BRIEFING Implementing and Managing Change Using

AN EXECUTIVE BRIEFING “Implementing and Managing Change” Using The Leadership Architect Suite of Tools™ provided by Jerry A. Kaber, Ph. D. , The Strategic Alliance Group 1

The LEADERSHIP ARCHITECT Suite Competency-based Human Resources Management Produced by Lominger Limited, Inc. 2

Lominger Limited, Inc. (LLI) was founded by: u Dr. Michael M. Lombardo, former Director of Leadership Development Research at the Center for Creative Leadership AND u Dr. Robert W. Eichinger, former practitioner at Pepsico and Pillsbury Both are recognized authorities on leadership research. 3

Lominger Limited, Inc. LLI has additional relationships with: u Dave Ulrich, Professor of Business Administration at the University of Michigan, noted author and HR strategist. u Cal Wick, noted teams researcher of Wick & Co. u Randy White, noted change researcher and co-author of The Future of Leadership and Breaking the Glass Ceiling. 4

Lominger Limited, Inc. JERRY A. KABER YOUR HOST For This Executive Briefing 5

Lominger Limited, Inc. Jerry Kaber, Ph. D. Qualifications Jerry has had significant management consulting experience in leading domestic and international engagements central to assisting leaders in effectively managing incremental to radical change processes for growth and performance. Using a portfolio of seasoned capabilities, Jerry has designed large-scale change processes to guide the transformation necessary for creating competitive advantages for client companies. Experience Special knowledge in strategic planning, organizational design/restructuring, organizational behavior and development has been greatly advanced by Jerry while providing pragmatic solutions to business challenges. His most recent work has been in leadership results and management development, strategic human capital planning, and organizational core capability alignment to achieve world class capability. Employment History – Strategic Planner, U. S. Defense Department/ Director Global Studies, Research Triangle Institute/ S. V. P. Corporate Development, Fletcher Challenge Ltd. A New Zealand $32 billion International Conglomerate. Currently President, The Strategic Alliance Group, and Senior Associate with Lominger Ltd. alliances with The Center of Creative Leadership, Saville Holdsworth Limited (SHL) Delotti Touche, Success Factors and People. Soft. Expertise Jerry’s competencies have been forged from a diverse combination of private and public sector experiences gained over a 25 -year period as a consultant, researcher, author, and professor at the university level. This is complemented by advanced degrees in organizational psychology (MS) strategic planning (MBA) along with Organizational Behavior (Ph. D. ) Consulting Style Being able to characterize a firm’s current and desired future state followed by the creation of strategic and operational initiatives, is very characteristic of Jerry’s strength in many assignments. This capacity provides him a very reliable means for orchestrating complex changes necessary for achieving organizational renewal. State of art approaches based on reliable research and field experiences have become the hallmark for Jerry’s progressive consultative style. Practice Summary Jerry’s exceptional career spans a wide range of enterprise development including all major organizational trends, i. e. Franchising, Deregulation, Acquisition/Merger, Corporatization, Privatization, Re-engineering and Global Expansion. Because of Jerry’s diverse industry exposure and complex engagements, a rich consultative resource is readily available. 6

Lominger Limited, Inc. u The LEADERSHIP ARCHITECT® Suite represents a collaboration of research-based findings and practical, user-friendly tools, applications and development solutions. u The suite enables organizations to bridge the gap between the way most executive development systems are actually run, to the way research-based best practices in management indicate they should be run. 7

Lominger Limited, Inc. u Over 30 Paper and Software Products u 6, 000+ Customers u 1/3 of Fortune 500 Companies u 38 Countries 8

Lominger Limited, Inc. u Over 200 custom translations of the organization competencies and values into the LEADERSHIP ARCHITECT® Library of 67 competencies u New book from Lombardo/Eichinger, “The Leadership Machine” backs up Lominger work with research and best practices u We specialize in technology transfer to internal HR staff 9

Lominger Limited, Inc. u 60+ Consultants u Software Specialists u Graphic Designers/Writers u Global Delivery Capability 10

What Lominger Limited, Inc. Does Competency Modeling Executive Development Succession Planning Consulting and Coaching Strategic Staffing Human Resource Strategy Redesign of HR Systems Performance Improvement Technology Transfer Consulting 11

Strategic Alliances and Partnership u Independent Consulting Associates u Saville Holdsworth Limited (SHL) u Deloitte & Touche u Success. Factors u People. Soft 12

Research Foundation of The LEADERSHIP ARCHITECT Suite u The integrating hub of the tools and processes comprising the Suite is the LEADERSHIP ARCHITECT Competency Library. u The 67 positive and 19 negative competencies (stallers and stoppers) represent information gleaned from multi-year studies conducted by the Center for Creative Leadership, AT&T, Sears and other longitudinal research. u These studies focused on how and why some executives gain success while others derail their careers. 13

Their Conclusions? u There is a set of competencies or characteristics that is crucial to success (see the 67), as well as a set that could send a career on a downward spiral (see the 19). These competencies can be refined, changed, or overcome through specific experiences. 14

Their Conclusions (continued) u Specific developmental experiences can lead to specific competencies u This systematic coding has been designed into the LEADERSHIP ARCHITECT Suite—and is offered to Human Resources practitioners and their internal customers 15

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 16

Competencies LEADERSHIP ARCHITECT® Competency Sort Cards Sort cards can be used by managers for: u Defining critical requirements for a job/role u Establishing key organizational or competitive edge competencies u Individual development u Evaluating a team u Matching people to job requirements 17

Competencies LEADERSHIP ARCHITECT® Competency Sort Cards § Assessing interview candidates § Conducting performance improvement discussions § The LEADERSHIP ARCHITECT Competency Sort Card Deck contains skilled, unskilled, and overused descriptions to aid feedback, development, coaching, job profiling and recruiting decisions 18

LEADERSHIP ARCHITECT® Competency Sort Cards Front. The LEADERSHIP ARCHITECT ® Competency Sort Cards 12 CONFLICT MANAGEMENT They cover: • People Skills • Purpose Skills (Strategic) • Process Skills (Means/Methods) • Personal Skills SKILLED Basic (Individual Contributor) Steps up to conflicts, seeing them as opportunities; reads situations quickly; Advanced (Managers) Executive (Senior Management) good at focused listening; can hammer out tough agreements and settle disputes Back. ground The LEADERSHIP ARCHITECT ® Competency Sort Cards equitably; can find common and get cooperation with minimum noise. 12 B CONFLICT MANAGEMENT OVERUSED SKILL May be seen as overly aggressive and assertive; may get in the middle of everyone else’s problems; may drive for a solution before others are ready; may have a chilling effect on open debate; may spend too much time with obstinate people and unsolvable problems. UNSKILLED Avoids conflict in situations and with people; may accommodate, want everyone to get along; may get upset as a reaction to conflict, takes it personally; can’t operate under conflict long enough to get a good deal; gives in and says yes too soon; gets into conflict by accident; doesn’t see it coming; will let things fester rather than dealing with them directly; will try to wait long enough for it to go away; may be 3 excessively competitive and have to win every dispute The LEARERSHIP ARCHITECT® LOMINGER LIMITED, INC. © 1992, 1996, 2001 Michael M. Lombardo & Robert W. Eichinger. Version 6. 1 19

Competencies LEADERSHIP ARCHITECT® Competency Sort Cards § Career staller and stopper descriptions are provided along with “not a problem” descriptions § Available in English, French, Spanish, German, Italian and Japanese (Brazilian and European Portuguese text files containing the competency definitions are also available for license) 20

Competencies LEADERSHIP ARCHITECT® Aspects—New! u Each of the 67 LEADERSHIP ARCHITECT® u u u competencies is broken down into 4 -7 aspects Each of the 10 Universal Performance Management Dimensions is also an aspect For each of the 350+ aspects, there is a 10 point behavioral description scale: 10 = overuse, 9 -7 = high, 6 -4 = middle and 3 -1 = low Can be used for assessment centers, customized performance management applications and facilitator and coach training FYI references for overuse and low behaviors Text file is available for license 21

Competencies SUCCESS PROFILE ARCHITECT™ (SPA)—New! u An on-line software tool used to develop competency profiles for specific jobs u Subscribers will be able to build sophisticated competency profiles by selecting researchbased profiles (level, type of experience) or expertly developed profiles (function, industry) and merging them with competencies identified locally that may be representative of a specific job, or of the organization’s values or culture u SPA interacts with INTERVIEW ARCHITECT™ to enable users to move from role profiling to creating an interview guide on-line u Available via annual subscription to Lominger’s Internet-based application 22

Competencies COMPETENCY ARCHITECT Electronic Job Profiler u A computer-based, systematic method of job profiling; lets you accumulate data and determine specifications for jobs and job families from multiple raters u Provides behavior-based descriptions of 67 “developable” competencies—and allows you to add competencies of your own u Customize surveys with only the competencies and questions you choose u For a variety of uses, including creating unit, team or organization profiles 23

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 24

Organizational Capabilities ORGANIZATION ARCHITECT u Integrated set of tools for senior managers to use in identifying and developing the organizational core capabilities plus the leadership competencies needed to implement strategic plans. u Aligns strategic vision with other human resource/talent management systems; helps you assess the extent and difficulty of the change envisioned. u Helps organizations plan and prepare to implement new strategies; increases the chances of successful implementation and change. 25

Organizational Capabilities ORGANIZATION ARCHITECT u The ORGANIZATIONAL CULTRIBUTE ARCHITECT® Builder —Identifies what your organization does well today and what your organization would need to do well in the future in order to achieve your tactical or strategic goals and objectives. Multiple languages (English, French and German) available in cards, paper survey and e. Cultributes™. u The FUNCTIONAL ARCHITECT™ Profiler—Determines which functions will have to be "best in class" in order for your strategy to work. u The CHANGE!ABLE ARCHITECT® Planner—Identifies how difficult it will be to close the "gap" between your organization's and your top management's current strengths and the strengths that will be needed to achieve your strategy. English and French available in cards and paper survey. 26

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 27

Team Capabilities TEAM ARCHITECTTM u Spot key issues holding back the team, fuzzy goals, inconsistent communications, or lack of necessary capabilities utilizing Lominger’s T 7 Team Effectiveness Model: § Thrust § Talent § Teaming Skills § Task Skills § Team Leader Fit § Team Support from the Organization 28

Team Capabilities TEAM ARCHITECTTM u Determine why some teams are successful and others aren’t u Help teams target obstacles to stronger performance u Staff an existing team with value-adding individuals—items are coded to the leadership competencies u Use any combination of the tools in the team kit: § TEAM ARCHITECT® Card Deck § e. TEAMS® Online Survey § FYI for Teams—Team Remedy Book 29

Team Capabilities COMPABILITY ARCHITECT u Identifies high-performance work units or teams u Assesses the current learning effectiveness of each work unit, its ability to implement process improvements and its responsiveness to customer needs u Use to assess and develop teams to continually learn from experience and influence other organizational teams’ abilities 30

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 31

Interviewing and Selection RECRUITING ARCHITECT u Recruiting and staffing tool with hundreds of interview questions, follow up probes and look-fors per competency u Provides a step-by-step guide for creating interview worksheets and protocols u Helps you prepare for and evaluate information received during face-to-face interviews 32

Interviewing and Selection INTERVIEW ARCHITECT™ (FORMERLY RECRUITING ARCHITECT®) u Choose between an Executive and Professional version u Professional version provides additional questions and an encyclopedia of behavior for on-the-job diagnostics; paper versions available in English and French 33

Interviewing and Selection INTERVIEW ARCHITECT™ ONLINE—New! u An internet-based version of the RECRUITING ARCHITECT® Executive Handbook content u Newly refined interview questions for Lominger’s Four Dimension behavioral interviewing process u Subscribers will be able to: pick questions and probes for competencies, print or email an interview packet and save the packet for later use u Intended for use by HR and recruiting professionals along with hiring managers u Tool interacts with SPA™ to enable users to move from role profiling to creating an interview guide on-line u Available via annual subscription to Lominger’s Internet-based application 34

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 35

Feedback VOICES 2002—New! u A fast, easy and affordable way to provide 360° feedback to anyone in your organization u Surveys can be distributed over the Internet, on disk or on paper—or any combination of the three u Available in English, French, German, Spanish and Italian (with toggling capability between languages) u Pick any or all of the Lominger 67 Competencies, 19 Stallers and Stoppers, Universal Performance Dimensions or use your own custom competencies 36

Feedback VOICES 2002 u Provides feedback to raters while they’re rating, to improve accuracy and balanced scores u Raters can provide narrative feedback—tied to a competency or as a general comment u Design your own e-mail cover/intro and reminder messages u Automated downloading of completed e-mail surveys—a great time saver u User-friendly, standardized feedback reports with a new importance/skill feedback matrix report u Software and survey process can be managed in-house or outsourced to Lominger’s Global Survey Center 37

Feedback DEVELOPMENT TRACKER™ Return on Intervention™ Tool u An on-line feedback tool designed to measure improvement on targeted development needs u Helps individuals and organizations measure the return on investment and the degree of change after implementing 360° feedback initiatives and development plans u Select surveys for any of the competencies, stallers or performance dimensions u Reports are easy to read and interpret u Now part of the VOICES 2002 engine with shared features (multi-language toggling, narrative feedback, etc. ) 38

Feedback VOICES u An electronic (disk-based) 360° assessment tool providing high-impact feedback to executives, managers and technical professionals u Lets you customize questionnaires to fit individual learners or groups—use some or all of the competencies and stallers; select the questions you like u Detailed rater demographics questions are optional 39

Feedback VOICES u Add technical and functional competencies or skills unique to your organization; organize data in a variety of ways and view results in both standard or highly customized reports u Provides feedback to raters while they’re rating to improve accuracy and balanced scores u Allows raters to provide narrative explanations of their feedback—tied to a specific competency or as a general comment u Software and survey process can be managed in-house or outsourced to Lominger’s Global Survey Center 40

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 41

Career Development FYI For Your Improvement. TM Coaching and Development Guide u Comprehensive guide to developing competencies for job/career success u Use for personal development or in coaching and mentoring u Practical improvement suggestions used by HR professionals and line managers in daily interactions u Contains ten remedies for each of the 67 competencies, 10 performance management dimensions and 19 stallers and stoppers u Books available in English, Spanish and French (translation licenses also available in German, Italian and Japanese) 42

Career Development CAREER ARCHITECT Development Planner Book or Software u Extensive set of development remedies provided in each chapter: 67 competencies, 19 stallers and stoppers; plus the 10 performance management dimensions u Remedies include FYI set of tips, development in place assignments, feedback sources and methods, plus more 43

Career Development CAREER ARCHITECT Development Planner Book or Software versions: u Development Planner Plus—basic plans plus ability to toggle between multiple languages, save sorts and plans u Development Planner Plus Online— access via Internet with company account u Software contains English, German, French and Spanish pre-loaded 44

Career Development The CAREER ARCHITECT Expert System u Our most comprehensive system designed to provide a wealth of data for people with the background to take advantage of its richness and a need to create powerful, customized plans for themselves and others in their organization. u Includes all content in FYI, Development Planner Plus software, and much more: § Stores position profiles and individual assessments § Compares candidates to research-based or custom competency profiles § Compares candidates to one another § Translates all Lominger tools into competencies 45

Career Development The CAREER ARCHITECT Expert System u Input your own competencies and development remedies u Manage high potential data for succession planning purposes u Contains PORTRAIT WRITER™ software for enhanced understanding of competency sorts u LANable for multiple users 46

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 47

Learning LEARNING ARCHITECT u Tools for developing individual learners, teams and a learning organization u Provides four individual learning exercises, a tips deck and a manual with instructions/worksheets u Can help individuals become more “street smart” by enhancing their ability to learn from experience 48

Learning LEARNING ARCHITECT u Use the exercises individually, in sets; spaced over time u “Learning” development plan integrates with competency development plan u Learner strengthens own ability to learn from experience—a prerequisite for competency development 49

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 50

Performance Management PERFORMANCE MANAGEMENT ARCHITECT u Comprehensive coverage of performance management at all levels in the organization u Ten universal performance dimensions u Comes with job improvement and career development plans 51

Performance Management EMPLOYEE APPRAISERTM Lominger Edition u Software version featuring the 67 competencies and the ten universal performance dimensions u Provides standard and “create-your-own” evaluation forms u Word processor helps you tune the competency evaluation up or down u Allows you to write politically correct text and has templates for letters and action plans 52

Performance Management EMPLOYEE APPRAISERTM Lominger Edition u Comes with coaching and development tips from FYI For Your Improvement. TM handbook built in to cut and paste into evaluation u Offers an employee folder to retain notes to the file all year u Also available in an intranet version called PERFORMANCE MANAGER created in partnership with Success. Factors 53

A Model for Competency-based Human Resources Processes Vision & Business Strategy Organizational Capabilities Team Capabilities Competencies Succession Planning Stallers & Stoppers Performance Management Learning Interviewing & Selection Universal Performance Dimensions Feedback Career Development 54

Succession Planning CHOICES u A research-based tool for identifying, verifying and managing potential u Helps you select high potentials more effectively; critical tool for managing succession planning pools u Staff the best candidate for development opportunities and tough or first-time assignments u Available in cards, paper survey and e-CHOICES™ survey u May be administered in a 360° format for superior developmental feedback 55

Succession Planning AMBIGUITY ARCHITECT™ u Spots the few who are comfortable with and adapt well to change u Helps refine the competencies of high potentials u Profiles present and needed approaches to dealing with ambiguity and change u Diagnoses and offers recommendations for the development of skills in dealing with change u Available in cards, paper and e-survey 56

Specialty Tools u Lominger is pursuing the development of specialty tools for functions, industries and career fields that are unique. u Potential future areas for tool development may include sales, healthcare (nurses and doctors), legal, IT, fire and law enforcement. u Lominger’s first release in the series of specialty tools is for Nonprofits. 57

Nonprofit Tools for Organizations Nonprofit Toolset – New! u Your Mission: Our Tools. Affordable, research-based nonprofit tools structured around 11 key practices of effective and successful nonprofit organizations u Created specifically for those who work for and with nonprofits to: § Recruit, motivate and train volunteers § Manage fundraising and donor relationships § Improve board effectiveness, and more… u Toolkit consists of three integrated products: Nonprofit Cluster Sort Cards, Nonprofit Effectiveness Questionnaire and FYI for Nonprofits Workbook 58

Applying the Suite u Individual tools within the suite can be utilized in stand-alone applications u Many companies have integrated multiple tools and even the entire suite into their HR practices and processes u Public certifications are available throughout the year to learn more, or an in-house certification can be delivered by a Lominger Associate u Tools and processes can be administered by internal HR practitioners or outsourced to LCI and our family of Associates 59

What are Licenses? LEADERSHIP ARCHITECT Intellectual Property License u Purchase of an Architect product allows a company to use that product as is. u Should the organization need to modify it, make copies, integrate it with existing products/processes, etc. , then the organization must enter into a licensed agreement with LLI for permission to use copyrighted material and produce “derivatives. ” 60

Examples of Derivative Products u Creating the company’s own Directory of Developmental Activities using the 136 “Development in Place Assignments” as the reference structure. u Revising The LEADERSHIP ARCHITECT Competencies, customized to their business and using them in the performance review process. 61

What are License Costs? LLI offers four kinds of copyright release licenses across most products: u Paper Deployment (only) u Electronic Deployment (only) u Paper Plus Electronic Deployment u 360° Feedback 62

What are License Costs? u All four copyright release licenses vary per product. A firm price is only offered after clients specify the derivatives they want to create u Paper, Electronic and Paper Plus Electronic are a one-time-only corporate-wide cost u The 360° license is annually renewable 63

A Model for Competency-based Human Resource Processes Vision & Business Strategy Organizational Capabilities: Organizational Capabilities Team Capabilities ® ® ORGANIZATION ARCHITECT CULTRIBUTE ARCHITECT TEAM ARCHITECT™ CHANGE!ABLE ARCHITECT® FYI For Teams COMPABILITY ARCHITECT® Succession Planning CHOICES ARCHITECT® AMBIGUITY ARCHITECT® Performance Management PERFORMANCE MANAGEMENT ARCHITECT® Employee Appraiser™ Performance Manager™ Learning Competencies Stallers & Stoppers Universal Performance Dimensions LEARNING ARCHITECT® Interviewing & Selection RECRUITING ARCHITECT® INTERVIEW ARCHITECT® Feedback VOICES® 2002 DEVELOPMENT TRACKER™ Career Development FYI For Your Improvement CA Development Planner Book or Software CA Development Planner Plus Online CAREER ARCHITECT® Expert System 64

CONTACTING US For more information Please call Jerry A. Kaber Ph. D. At 954 -227 -6552 or 716 -763 -6534 Or 817 -296 -9186 cellular phone 65