Connecting Employees to Strategy & Culture to Drive W inning Results

1. Connecting Employees to Strategy & Culture to Drive Winning Results Proven Welch Way Methodology

2. Sustainable Winning Results

3. Business Operating Systems Should: 1. Drive an intentional culture based on Mission, Behaviors & LeadershipTraits 2. Connect employees to strategy 3. Manage more effectively in half the time 4. Convert Alignment Tools into measurably improved business results 5. Create a winning team environment 6. Develop100%oftheemployees100%ofthetime 7. Tell every employeewheretheystandandwhat’s expected of them

5. Results: Direct Employees vs. GP

6. Last 10 Years of Growth 2002: 80 Employees / $8M in Sales 2012: 350 Employees / $50M in Sales

9. 2013 Sales Projection: $63M / 450+ Employees 10 yearsstraight of 20%+ CAGR on average

11. Creating an Intentional Culture Mission Why Customers should do business with you and why Employees have a job Behaviors Hold all employees accountable to behaving like your Top Performers Leadership Traits Tell managers how you want them to lead

12. Let Employees Know What to Expect Everything a company does should be done tomake it more successful and everything else isawasteoftimeandresources

13. Quantify Connecting Mission to Results Uncovered Capacity Cost Savings Directly or indirectly generating additional business Develop 100% of your employees 100% of the time

14. Mission Statement • What should it do…? • Tell Customers why they should do business with you and tell all of your employees why they have a job • Your Mission really is a distilled down version of your Strategy

15. Compensation Should Support Culture • The more performance compensation each employee receives the more the company makes in profit • Promote a winning team environment • Put employees objectively in charge of their end of year bonus • Pay something along the way to keep everyone fully in the game

16. Values vs. Behaviors • Values leave a lot to interpretation. Ask 10 people what integrity means and get 10 varying answers. • How do your top 20% performing employees behave differently than the rest? • How much more successful would your company be if 50% or more of your employees behaved and performed like your top 20% today? • Distill down your top performers’ winning behaviors and hold 100% of your employees accountable to behaving that way.

17. Behavior Examples • Personal Commitment to the End Result • Present and Pursue Solutions as Opposed to Dwelling on Problems • Do what they say they will • Respectful, Honest and Straightforward • Fully Engaged and Participate within the Team • Treat Company Resources as Their Own

18. Leadership Trait Examples • Energy: Positive Energy in good times and especially bad times • Energize: The ability to create an environment that Energizes your team • Edge: The ability to make the tough calls • Execute: The ability to deliver results • Passion • Resiliency: The ability to bounce back from setbacks quickly • Eating & Dreaming at the same time

19. Connect Employees to Strategy • Very few companies actually connect employees to strategy • Most strategies aren’t fully executed • Senior leaders often focus on things not in support of the company’s strategy

20. Tactical Execution Dashboard

21. Connect 100% of Employees to Strategy

22. Connect Employees to Strategy • What would be an example of a Major Objective required to achieve your Strategic Plan? • How do you connect employees to this Objective and hold them accountable? • What are the major things that have to be done to accomplish this Objective?