Adulta Institute: Flexible, High-Quality Adult Education and Consultative Services

1. Simo Susiluoto CEO, Principal Adulta, Institute of Further Education Finland

6. ADULTA, INSTITUTE OF FURTHER EDUCATION • Adult training centre, located in Southern Finland • Founded in 1972, incorporated company since 1995 • Facilities:Järvenpää, Tuusula, Kerava, Vantaa and Helsinki • Nearly 9000 students in 2004 • 184 staff in 2004 • Turnover for 2004 13,5 million EUR • ISO 9001 quality certification since1998

7. ADULTA, INSTITUTE OF FURTHER EDUCATION • Owned by four municipalities (Järvenpää, Kerava, Tuusula and Mäntsälä) • Main building in Järvenpää, 45 km north from Helsinki, 8 satellites in the metropolitan area • Mission statement: Our institute responds to the development needs of its customers by producing flexible high quality adult education and constultative services

8. SERVICES OFFERED BY ADULTA • Training courses for unemployed people • Self-motivated education • Courses for private individuals • Apprenticeship training • Training need surveys • Tailor-made courses for companies • Planning and subcontracting services • Production services • Consultative services • Accommodation services • Each course is an individual, separetely priced training product

9. ADULTA´S VALUES • The ClientValuing our clients, striving for their success and emphasing the confidentiality of the client relationship. • Quality and profitabilityEmphasising high quality training and good financial results. • Change and opportunitySetting our sights on the future, embracing change and the opportunities for continual learning and development. • Motivation and professionalismCreating a happy working environment that motivates our capable staff and ensures professionalism.

10. Milj. euro 14,0 12,0 10,0 8,0 6,0 4,0 2,0 0,0 SALES GROWTH 2003 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2004

11. 16000 14000 12000 10000 8000 6000 4000 2000 0 2001 2002 2003 2004 employment training self-motivated education apprenticeship training training for companies basic training other incomes FINANCING 2001-2004 %

12. 1400 1200 1000 800 600 400 200 0 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 AGES DISTRIBUTION FOR THE STUDENTS 1988

13. Mission The Board Future megatrends Adulta vision 2003, 2006 (Balanced Scorecard) Adulta strategies, objectives 2003,2006 (Balanced Scorecard) Division Balanced Scorecard The result arguments of the division Budget 2004 Image survey (values) Quality audition ISO 9001 (values) Team Balanced Scorecard Team developing objectives and personal developing plans Atmosphere survey of the company (values) Team appraisals Key results for the team Student feedback (values) OPERATIVE PLANNING PROCESS IN ADULTA

14. MANAGING DIRECTOR PRINCIPAL PEDAGOGICAL LEADERSHIP Vice Principal Executive Secretary PedagogicalDevelopment Quality ARTO Principal TECHNICAL DIVISION Director INDUSTRIAL DIVISION Director IDA Director BUSINESS UNIT Director ADMINISTRATION Director Automation Adulta Consulting Language and Culture Customer Relations Communication and Culture Personnel Unit Workshop Automation or KAT Internat. Hotel and Tourism Customer Service Sales and Marketing Electricity Metalwork & Welding LEHI International Trade Finance IT Systems Data Communications Measurement Immigrannt Training Enterprise and Leadership Finance Information Technology Projects & Development Sales IT Training ARTO = Adulta radio and television institute IDA = International Development Centre of Adulta Construction Technology Secretarial Services MaRaCat Metal Sales Projects Catering Matrix and special teams Preparatory Training

15. LONG-TERM PROFITABILITY SHORT-TERM PROFITABILITY PRODUCTIVITY CUSTOMER SATISFACTION PERSONEL GOALS COST REDUCTION MARKET SHARE PROFITABILITY PER BUSINESS UNIT QUALITY SALES IMPORTANCE OR SHARED VISION AND STRATEGY • On one hand, organizations set contrasting corporate objectives • On the other hand, successful organizations know the following: • What they have to accomplish to create corporate values • How they can commit themselves to common corporate goals

16. BALANCED SCORECARD FIVE KEY FACTORS • Clarifies the company vision and fulfills its strategy through follow-up and measurement • Leads the organization operations towards the desired future • Reveals the organization to its employees, how their input is an important part of the overall operations; (coverage and commitment) • Compensates traditional methods of economic analysis with more flexible strategy based measurements allowing more relevant points of view. • Simultaneously creates an overall plan and also considers the reasons and relationships which define the organization.

17. Vision Perspectives Financial Perspective Customer Perspective Business Process Perspective Learning & Growth Perspective Strategic objectives If we achieve our vision, where do we stand? Success Factors What kind of decisive success factors can affect the main strategic goals? Key Measures What kind of measures can describe significant strategic orientation? Implementation Plan What kind of action plan can guarantee success? GENERAL FRAMEWORK FOR DEVELOPING MEASURES source: Olve-Roy-Wetter (1998)

18. Vision Perspectives Financial Perspective Customer Perspective Business Process Perspective Learning & Growth Perspective Strategic objectives If we achieve our vision, where do we stand? Success Factors What kind of decisive success factors can affect the main strategic goals? Key Measures What kind of measures can describe significant strategic orientation? Implementation Plan What kind of action plan can guarantee success? GENERAL FRAMEWORK FOR DEVELOPING MEASURES source: Olve-Roy-Wetter (1998)

19. Adulta Oy Team/Division: BALANCED SCORECARD 2005 Compiled: Printed: 6.1.2020 1(1) VISION 31.12.2005 STRATEGIC ALIGNMENT CRITERIA FOR SUCCESS MEASUREMENTS INITIATIVES CUSTOMER LEARNING OPERATIONS DEVELOPMENT FINANCE MISSION:

20. THE BALANCED SCORECARD´S FRAMEWORK OF LINKED CAUSE-AND-EFFECT RELATIONSHIP FINANCIAL SCORE CUSTOMER SCORE BUSINESS PROCESS SCORE LEARNING & GROWTH SCORE

21. Business Div. Vision Start. 2005 Succfact. Indicators Projects Business Div. Vision Start. 2008 Succfact. Techn. Div. Vision Start. 2005 Succfact. Indicators Projects Techn. Div. Vision Start. 2008 Succfact. Met. Engin. Div. Vision Start. 2005 Succfact. Indicators Projects Adulta 2005 Vision Strategies Succes Factories Indicators Projects Met. Engin. Div. Vision Start. 2008 Succfact. Internat. Div. (IDA) Vision Start. 2005 Succfact. Indicators Projects Internat. Div. (IDA) Vision Start. 2008 Succfact. TV/radio Inst. (ARTO) Vision Start. 2005 Succfact. Indicators Projects TV/radio Inst. (ARTO) Vision Start. 2008 Succfact. Administrat. Vision Start. 2005 Succfact. Indicators Projects Administrat. Vision Start. 2008 Succfact. BALANCED SCORECARD STRUCTURE IN ADULTA Adulta 2008 Vision Strategies Succes Factories

22. VISIO 31.12.2005 STRATEGIC ALIGNMENT CRITERIA FOR SUCCESS MEASUREMENTS INITIATIVES Adulta OnLine becomes established practice and is in part commercially available. Each training division is to produce OnLine training commercially, especially for OPSO (apprenticeship) training. A new online learning environment. - there will be 700 students taking training with an online learning component by 1.11.2005 - there will be 40 training courses incorporating online learning by 1.11.2005 - the number of trainers to have completed online pedagogical training to be 50 by the end of 2005 An ongoing programme of preparatory training for trainers in online pedagogy. /ES Ok. Professional competences for the chosen areas of emphasis are defined and the first steps towards necessary development are taken. Sufficient funds for investment are allocated in the budget for 2005 to ensure that the chosen project areas can start accordingly. Cooperation partners are found that will bring added value to both sides and in significant areas for Adulta. Adulta’s training processes are in order and harmonised where applicable. Bonus incentives foster greater work commitment. Feedback from OPAL is always methodically reviewed in the training divisions. Comprehensive use of IT systems The board decides the criteria for selecting relevant areas of focus. 1/05. Ok. Training divisions prepare development plans and budgets. K05. Ok. The partnership strategy is carried out. The form, content and methods of putting together study plans are reviewed and renewed to a suffficient degree. (ES). Ok. Training is bought for NTM (training for specialists in competence-based examinations). Benchmarking related to the central processes is done between divisions amd especially with cooperation partners. (Peto). Ok. Renewal plans for IT systems are checked. (LN ja ES). IT training programmes are made more efficient.Ok. Adulta has selected the strategies and points of emphasis that will enable it to become a country-wide training provider. Adulta is a desirable cooperation partner. High quality training carried out by Adulta. Practical on-the-job training carried out according to objectives. Adulta has functional and up-to-date IT systems, which support and serve operations. Following preparation of each division in spring 2005, the administration is to name the areas which will have a special focus (3-5). A partnership strategy is put together in spring 2005. Emphasis is placed on the organization and planning of training and on student customer service. Employment through work placement is furthered by guidance and the acquisition of more training places. Continuous development of IT systems. The number of cooperation agreements is established in accordance with the partnership strategy. All required OL course programmes are approved.. Functional working tools and methods for planning and follow-up are available and in working order. Student feedback grades for practical on-the-job training are at least 3.65 for all training divisions. Less than 39% of students to remain unemployed after three months of employment office funded vocational training. Measurements are found to gauge the use of IT systems in training departments and teams. OPERATIONS DEVELOPMENT There is sufficient awareness concerning sources of funding in every training area and team. New premises and training areas are profitable. Budjets are realised. All training divisions have some training with common sources of funding. Ok. Training about sources of funding (A). Operations are profitable in all training areas. Training products grow in accordance with preliminary estimates at approx. 5 % over 2004. Adulta’s profit is 2 %. All training areas have several training projects where funding is combined methodically. Each team’s financial results are followed by division directors at all times. The Board reviewed/evaluated 25.5. – 26.5.2005. FINANCE BALANCED SCORECARD FOR ADULTA LTD (1) Adulta OnLine becomes established practice and is in part commercially available. Each training division is to produce OnLine training commercially, especially for OPSO (apprenticeship) training. A new online learning environment. - there will be 700 students taking training with an online learning component by 1.11.2005 - there will be 40 training courses incorporating online learning by 1.11.2005 - the number of trainers to have completed online pedagogical training to be 50 by the end of 2005 An ongoing programme of preparatory training for trainers in online pedagogy. /ES Ok.

23. VISIO 31.12.2005 STRATEGIC ALIGNMENT CRITERIA FOR SUCCESS MEASUREMENTS INITIATIVES To be an expert partner in the minds of our customers and to be wanted for long-term development projects. • Operations differ according to target groups: • • general government • • large corporations • • small and medium-sized companies • • private individuals • Immigrants are provided with a path leading to vocational training. • Guidance for on-the-job training is developed Client maintenance is long-term and methodical Clarification of the benfits and methods for carrying out blended learning programmes in small- and medium-sized enterprises Immigrants are familiar with Leo’s range of training A model is created for the evaluation and guidance of on-the-job training An average grade 4 for point 7 on company client feedback questionnaires. Benchmarking of Kuopio sme programme. Partly in progress. 40 immigrants in vocational training. Ok. Student feedback to be an average of 3,5 in training organised by LEO Marketing and sales plans, follow-up procedures established as working tools for company groups. Ok. Benchmarking of Kuopio adult education centre’s sme-programme and clarification ofbenefits of initiating/operating a corresponding programme. K-U/IA. To be carried out in the autumn. Systematic notification about career guidance from the start/IDA. Ok. Current practice of initiative clarified/ team leaders/ JH/KH CUSTOMER At least 60% of LEO personnel to receive training in the new online learning environment. Ok. LEO is considered to be a good workplace We are able to identify the present and future comptence needs of the workplace Cooperation between teams works well within a common leadership structure Varied cooperation developed with interest groups Use of the new learning environment The system of organizing activities is documented Information from work climate surveys is used in the development of activities We will participate methodically in the same cooperation groups as our partners All teams allocated resources for study of the online learning environment Description is present, team agreements updated. Ok. Response rate 75%. Common methods of working are agreed between teams and work is begun.Ok. At least 60 % of LEO personnel to receive training in the new online learning environment. Ok. Common methods of working are agreed/Team agreements. Ok. Review and suggestions for development by team/ teamleaders/IA.Ok. Performance appraisals to be done in teams/IA. Ok. Each team allocated an online tutor/team leaders. Ok LERNING All teams allocated resources for study of the online learning environment Each team allocated an online tutor/team leaders. Ok. MISSION: Together with our customers LEO checks and renews competence in the workplace Leo’s product environment is quality-oriented We offer our customers better value than our competitors Investment resources to be used to develop operations Existing key products to be further improved. Ok. We are able to make full use of our know-how concerning funding for training Training support services and classroom facilities are of good quality and functional Tailoring of training to target groups in line with core concepts Ok. Sufficient awareness of sources of funding in all teams Feedback from students to be at least 3.6 in all areas. Feedback from customers and students. Training about the organization for all teams involved in vocational training Ok. Sufficient office services/IA, increase in resources/IA, “updating” of premises /Board. Ok. Planning and evaluation of training following to common guidelines. Ok. Feedback utilization/review in teams to be standard practice in team meetings.Ok. Development days and training concerning for teams about sources of funding/ training managers IA.. Ok. Ok. Ok. Ok. Ok. OPERATIONS DEVELOPMENT Ok. Ok. Ok. Empl.Off. 760t€ Voc. Qual. 96 Appren. 1.261 Supp. 904 Noste 180 Company 228 Voluntary 60 Other 855 Total 4.344 t€ The results of all teams to be positive after administrative costs subtracted LEO’s balanced scorecard review/evaluation carried out 25.5 - 26.5. 2005. Knowledge of financial matters to be further increased Provisions 1: 14 %. In the budget following a correction. Training about financial matters relating to teams /IA. Ok Ok. FINANCE BALANCED SCORECARD FOR BUSINESS DIVISION (LEO) We are able to identify the present and future competence needs of the workplace LEO’s balanced scorecard review/evaluation carried out 25.5 - 26.5.2005.

24. VISIO 31.12.2005 STRATEGIC ALIGNMENT CRITERIA FOR SUCCESS MEASUREMENTS INITIATIVES We are a well-known and respected trainer in IT company and community training investments. In our training we listen to the customer and emphasise results. Training towards diplomas The team develops its transparency, cooperation and communication directed at companies. We develop training products in collaboration with companies A strategy for taking care of clients. Increased awareness about clients. Accurate segmentation and selection of target groups. A project to produce web-based study materials. (eTieNet) Customer feedback of at least 4.1 In particular feedback about suitability of training to be at least 4.0. At least 2-3 new long-term company clients. Sales of web-based courses to account for 10 % of total sales. Each team member’s personal share of sales to be 5% of the team’s total sales as a personal sales target. Thorough marketing and sales plans created for the team. Drawing up of plans for customer care. Description and distribution of target groups. Follow-up and analysis of competition. eEemeli competition CUSTOMER Our team is Adulta’s foremost expert on online learning from the point-of-view of both content and guidance. Each team member has a good command of the online learning environment and is able to advise clients. We continue to develop content for online-learning programmes, and methods for exploiting the online learning environment as well as developing the whole team’s competence in this area. Staff motivation and training. Each team member takes personal responsibility for an area of development. Successful resources which meet requirements. • Staff in personal training for five days • Training for the team of one day • Online training two days • Product training half a day • sales and marketing training for one day • NTM (training for specialists in competence-based examinations) one day Each team member is provided with a personal knowledge and skills development plan. Personal Development plans Competence profiles  correlation with best-selling products and services LERNING We will participate in nationwide training projects and find new cooperation partners. We are Finland’s highest quality IT trainer� We will seek well-known cooperation partners through seminars and projects. We will concentrate our resources in the development of our products and services by working in close cooperation with the client. New and existing models of cooperation and their continuing development. Participation in future projects – staying on the pulse of the times. We will participate in at least two nationwide development or training projects. Participation in Tieke’s nationwide IT security project. Acquisition of supplementary vocational training development project/state funding. OPERATIONS DEVELOPMENT Results from company training, development projects and supplementary vocational training Cooperation beyond team and departmental borders as well as with outside partners. We will increase the amount of online learning and emphasize our long-term clients Selling competence. More effective use of resources. Quality and the comprehensive monitoring of the whole process of customer care. Exceeding customer expectations The team achieves its targets for results. Over 50% turnover. Better allocation of resources (mental and physical) and utilization of know-how. - Resource calendar - Training programmes for clients - Increased sales through a sales campaign FINANCE BALANCED SCORECARD FOR DATACOMMUNICATIONS-TEAM • Staff in personal training for five days • Training for the team of one day • Online training two days • Product training half a day • sales and marketing training for one day • NTM (training for specialists in competence-based examinations) one day Our team is Adulta’s foremost expert on online learning from the point-of-view of both content and guidance.

25. NAMES OF TEAM MEMBERS TEAM TASK Competency level Completely competent Nearly competent Half competent Partially competent Requires training Competence no needed TEAM COMPETENCY

26. Adulta Oy, Technical Sector J. Jussila INFORMATION TECHNOLOGY -TEAM Team margin (€) TARGET 1: TARGET 2: The teams’s sales to the privaty sector (share of turnover) TARGET 1: TARGET 2: The team’s internal and external jointoperations TARGET 1: TARGET 2:

27. Balanced Scorecard Performance strategy, Towards A solid foundation Are the correct issues being addressed? Long term Inspection – From present to the future, where do we want to go? Context dependent – organization specific solution Selection, based upon targeted strategic principles Vision Based:Subjective and Value Based A whole from balancing the influence of different issues recognizing the relationships Fulfilling the Strategy through regular principled evaluation of chenges, what if scenarios? EFQM Excellence General Performance Evaluation Are we doing the right things? Cross sectional inspection – Historic and present day; where are we now? Context independent – General Solution Full coverage; different issue by issue emphasis Fact based, working towards objective based evaluations Not judgmental of imbalance or of ongoing evaluation Health Inspection – An evaluation of the present organization; how are we? A Company’s basis for Strategy – Excellent Performance and Competitiveness Balanced Scorecard and EGQM

28. Advance Methods • Top Down: management – Entire Organization • Pilot: management – Entire Organization • Management Scorecard Only • Entire organization at the same time • Comes to provide direction for the concern • Simultaneous pilots • Either in use jointly or then by individual daparments / divisions There are actually no correct advanced methods; only advanced quantity of goals and an accompanying organization culture.

29. NOT WORK ACCORDING TO TRAINING, BUT TRAINING ACCORDING TO WORK

30. THANK YOU FOR YOUR ATTENTION