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HsuanZi Liao

on 26 March 2015

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Transcript of YUAN GROUP

Organizational Transformation in a Taiwanese Company

Eva’s Policies
New performance evaluation system
New bonus sharing system
Benchmarking study
Eva’s thoughts
Pursuit of excellence

WTO brings global competition and high demanding customers
-YUAN should grow. Change or lose
-Protect shareholders’ profits
Managers were not aggressive enough
New performance evaluation system
Normal distribution
Core corporate values(50%)
Development plan
New bonus sharing system
Same level as the competitors’

Bind with performance evaluation system

No black box
Benchmarking study
Productivity ratios
Direct & indirect labor
Recruiting, job rotation and training systems
Salary administration
Salary survey comparing with competitors
-Base pay of sale reps increased
Performance evaluation system
-More normally distributed scores
Bonus sharing system
Way of Promotion decisions
Attendance system
Reconsidering the trip
Cafeteria benefits
Bi-annual survey
Capabilities of Yuan managers
HR role
YUAN Group
50 years old group
Expanded to multi-industries
Listed on the Taiwan Stock Exchange
Operations principles - “people-based”
Goal - “share with society”, “improve quality of life”
Several charitable foundations
Over 50% revenues came from domestic market

Mr. Pan
The only one family member
Responsibility of taking care of his employees
Physical health
Very high expectations
Ms Eva Chen
Based on Jim Harvey's speech structures
Father Pan - CEO
recruiting, performance, evaluation, etc
Development is necessary or not ?
Reversed triangle organizations
Satisfied sequence
1. Customer satisfaction
2. Leadership
3. Teamwork
4. People development
5. Execution
6. Productivity
7. Creativity & innovation
8. Internal control
Core values
New Performance Evaluation System
6 companies
(4 competition + 2 leaders in other industries)
<We should work harder.>
Richard Ivey School of Business
The University of Western Ontario

What is your opinion of the various new HR systems that Eva has developed and implemented?
How would you evaluate Eva’s stated 5 year objective to make the HR department spend 50% of the time on administration and 50% on strategy formulation and implementation?
HR Consultant
Problem solver
Strategic partner
People development
HR systems standardization
Salary and benefits systems revision
Organizational culture change
Influential strategic partner
Creative and innovative
Enthusiastic, human, enjoyable working life
What actions did Eva take to make the introduction of change more acceptable to the YUAN Group management and employees? Could she have done anything further?
Growing global competition :
-5 year objective
Strategy implementation:
-50% Administration & 50% Strategy
SOP, IT, Right outsourcing partners
50% Administration , 50% Strategy
Employee Training
Culture / Vision / Organization Development Training
Object/ Task training
Performance bonus

What can Eva do to make other managers more aware of the growing global competition and to prepare them to face international competition in the domestic markets?
Manager Training
Business Management Training
Innovation Training
Carries out Training
How can Eva change the corporate culture from command-control to customer-driven?
What should Eva do now?
Was Eva leading the department and the organization in the right way? ?
Was she pushing her staff too hard?
Should she continue to be persistent in doing what she thought was right?
What should Eva do now?
Continue, but need adjustments
The End
Thank You
- Profit responsibility
- Customer support
- Project management
- Administration
- 1 company
- 2-3 to 11 companies
- 6 to 10 team members
Satisfied sequence
Full transcript