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issue 1 - Roland Berger

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DOSSIER #01 Trust<br />

Hilti Chairman Michael Hilti (left),<br />

Renault CEO Louis Schweitzer: “It’s extremely<br />

important to demonstrate trust and<br />

confidence in the abilities of employees.”<br />

organization should be executed as if it were a<br />

change management process, with responsibilities<br />

assigned and plenty of freedom given to employees.<br />

Schwenker believes that the following six<br />

action areas are central to this:<br />

p<br />

excellent leadership,<br />

joint formulation of strategy,<br />

transparent corporate governance,<br />

decentralized organizational structure,<br />

trust-enhancing personnel work, and<br />

fair performance evaluations.<br />

SKEPTICS, WHO CONSIDER the hard work<br />

involved in dealing with soft factors a complete<br />

waste of time and money, might rethink their position<br />

after taking a look at the small Alpine state of<br />

Liechtenstein. The biggest company in the principality,<br />

the international construction supplier Hilti AG,<br />

has been working on its corporate culture for the<br />

last 20 years. “The fact that we have always paid<br />

attention to people and corporate culture has nothing<br />

to do with philanthropy, but instead is one of<br />

the big secrets of our success,” says Michael Hilti,<br />

company chairman and the son of the company’s<br />

founder Martin Hilti.<br />

TODAY HILTI HAS A REPUTATION across the major<br />

construction sites of the world as a leader in innovation<br />

in demolition technologies and constructionrelated<br />

fastening systems. This can be attributed to<br />

the unusual creativity and above-average motivation<br />

of the company’s 14,500 employees. It is also a<br />

result, adds Michael Hilti, of the full commitment of<br />

his top management. Even the four board members<br />

invest ten working days every year in culture training,<br />

as the three-day sessions are called at Hilti, in<br />

which each division worldwide discusses values<br />

and determines how it is intending to accomplish<br />

both its own and the corporate objectives. Michael<br />

Hilti warns against the view that investing in a trustbased<br />

culture is a one-time endeavor. “Corporate<br />

culture is not a project with a set time frame like<br />

reengineering, but rather an integral component of<br />

everyday business.” Regular surveys of employees<br />

and customers enable the group to measure its corporate<br />

culture-related progress. The most profitable<br />

units are indeed those in which employees work<br />

with the highest degree of commitment. The reason:<br />

Customers are more satisfied there.<br />

THE RULE SEEMS almost too simple, but it<br />

works, says Michael Hilti. Value-oriented management<br />

raises employee satisfaction and work morale,<br />

which in turn increases customer satisfaction and<br />

loyalty. “That’s how we set a cycle in motion that<br />

generates sustained, profitable growth.”<br />

32<br />

think: act

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