Developing an Effective Work Culture: HR Perspective

1. Developing an Effective Work Culture: HR Perspective By ERNESTO G. ESPINOSA APFHRM President Presented to the Fiji HR Institute, March 14-15, 2013 1

2. At the end of the presentation, participants will be equipped with knowledge of : Fujitsu’s best practices in building an effective work culture. Show what is unique about the Japanese system compared with companies of other nationalities. Objectives 2

3. “Culture is a set of beliefs or assumptions that a group of people share concerning how to see things, how to interpret events, what it is valid to question, what answers are acceptable, how to behave toward others, and how to do things” Ralph Stacey in his book “Managing the Unknowable” 3

4. CompanyIndividual Philosophy Beliefs Policies Habits Rituals Idiosyncrasies Norms Behavior Culture is the Integration of Company and Individual Behavior 4

5. C B A AERIAL VIEW OF FCPP 5

6. AL 9LE+ (10K rpm) • Form Factor : 3.5 inches • Product Capacity : 73GB / 147GB / 300GB • No. of Production Line: 4 lines • AL9LX+ (15K rpm) • Form Factor : 3.5 inches • Product Capacity : 36GB / 73GB / 147GB • No. of Production Line: 3 lines • AL 9SE+ (10K rpm) • Form Factor : 2.5 inches • Product Capacity : 36GB / 73GB • No. of Production Lines: 2 lines • AL 10LX (15K rpm) • Form Factor : 3.5 inches • Product Capacity : 73GB / 147GB / 300GB • No. of Production Line: 1 line (evaluation) • AL 10SE (10K rpm) • Form Factor : 2.5 inches • Product Capacity : 73GB / 147GB • No. of Production Line: 1 line (evaluation) • FCPP PRODUCTS FOR MASS PRODUCTION 6

7. Leadership “The organization cannot learn anything new if the leaders themselves do not” *Leader-centric *Company culture likely to reflect leader’s personality *Management team’s behavior shapes culture FCPP’s Culture-Building Practices 7

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9. 2. Men’ setsu (face contact) and Laying Down of TRUE Expectations Orientation prior to job offer Head of HR presents company profile, discusses rules and regulations, company expectations Real company situation is presented Painting a very rosy picture of the company is avoided All company expectations are laid down 9

10. 3. Strong Communication/Transparency Clear information on policies, rules and regulations Employee Relations (ER) Committee meetings every month. Equivalent of Labor Management Council (LMC) Employee opinion survey “The bulletin board is the window to the soul of the organization”  13 ELECTRONIC BOARDS No new policies are implemented without consulting employees (VERY IMPORTANT) 10

11. PLASMA TV AS A MEANS OF COMMUNICATION 11

12. Every thing that we do is anchored on our values system Fairness, Understanding, Just-in-time, Integrity, Thoroughness, Sincerity, Unity (acronym FUJITSU) Promotion of values through newsletter, bulletin boards, training, outreach programs, and other employee relations activities 4. Values Campaign Program 12

13. FUJITSU’S VALUES Fairness is treating every person squarely. It means giving someone what he/she really deserves regardless of race, sex, religion, status, etc. Understanding oneself and others is the key to effective interpersonal relations. Just-in-time is being punctual in all activities and is a mark of true discipline. Integrity is rigid adherence to a code of values and typifies being honest and above board in all our transactions. Thoroughness highlights attention to details and should be a fundamental element of any job assignment. Sincerity establishes FCPP as an “I care” company, ever resolute in establishing the confidence of customers, employees, suppliers and the public at large through its 100% commitment to their welfare. Unity is the philosophy which we adhere to that binds FCPP together in the face of success or failure. 13

14. Focus on work groups The Japanese discipline Sense of order The Japanese values: HO-REN-SO GENCHI, GENBUTSU, GENJITSU NEMAWASHI SEII PRINCIPLE Job Excellence “Do it right the first time, every time.” 5. The Fujitsu Management System 14

15. MORNING EXERCISE PERFORMANCE 15

16. KEEPING RIGHT ALONG THE HALLWAYS 16

17. QUEUING AT TIMEKEEPING BOXES 17

18. DISHING-OUT USED UTENSILS AFTER MEALS 18

19. QUEUING AT PICK-UP POINTS 19

20. RESPECTING THE “SEAT FOR PREGNANT EMPLOYEES” POLICY 20

21. ENSURING TELEPHONE COURTESY BY INSTALLING TAGS TO PHONE UNITS 21

22. PROMOTING TELEPHONE COURTESY THROUGH COMPUTER WALLPAPERS 22

23. PROMOTING MORNING EXERCISE THROUGH COMPUTER WALLPAPERS 23

24. PROMOTING GREETINGS DURING MEETINGS 24

25. Competency-based Two factors: Section management and corporate-thinking Ratings 1 to 5 1 is starting 2 is improving 3 is perfect 4~5 breakthrough performance 6. Performance Management System 25

26. Competency-based training (2) Plan-Do-Check-Act (PDCA) training before one reaches a Manager position (3) Progressive build-up of competencies from Manager to Vice President, supported by two trainings in FJ (Asia Pacific Leadership Development Program and Cross-Culture training) 7. Training Tied Up to Career Path 26

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28. “It is crisis, not comfort, that propels significant cultural change” Closed second factory in 2001 Phased out one product line By September 2001, we had an excess manpower of 1,500 Voluntary Separation Program Closed part of operations in 2005 1500 employees transferred to a new joint venture company, TDK-Fujitsu Philippines Corporation (TFPC) 8. Management of Change/Crisis Management 28

29. Due process versus immediate termination without notice Extension of support for those with medical needs versus no assistance at all Explicit criteria in all HR programs versus secrecy Acceptance and correction of mistakes once discovered 9. Cultural Reinforcers Versus Cultural Destabilizers 29

30. “The mature rice stalk bends itself low” “One apology is better than 10 explanations” “Good housekeeping is not just the business of janitors” “The necessary accomplishments of the carpenter are that his work should not warp and that the joints are aligned. The work must be smoothen out with a plane and not polished haphazardly so as to disguise defects. It is important that the work does not warp afterwards” (vs. “it’s about right” attitude) 10. Evidence of Role Modeling 30

31. Work Wellness Well-being 11. One Rallying Program (3W Program) 31

32. Work – SELF-DISCIPLINE AND SHARED RESPONSIBILITY TO BE A DEDICATED AND COMMITTED EMPLOYEE BY HAVING role appreciation for the Company, concern for the Company, teamwork Wellness – BEING HEALTHY TO BE A HAPPY AND PRODUCTIVE EMPLOYEE BY PROVIDING disease management, health monitoring, regular health lectures, health and fitness program Well-being – BEING GOOD TO BE A CONSCIENTIOUS AND RESPONSIBLE EMPLOYEE BY PROVIDING career management counseling, personal development, spirituality in the workplace, responsible and concerned citizenship, corporate social responsibility New Concept of 3W Includes 5S Concept: FOCUS ON----- 32

33. NO DISCIPLINARY ACTION TO BE IMPLEMENTED WITHIN 6 MONTHS FOR TYPE A OFFENSES COMMITTED FOR THE FIRST TIME INSTEAD, FCPP WILL STRENGTHEN COACHING, MENTORING, COUNSELING APPROACHES Experiment on 33

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35. You can reach me at ernestogespinosa@gmail.com