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Contributing to a better quality of life

And more variations in the written language

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• Nurse Elise Sørensen recognises a need

• Primitive ostomy bags are the standard

• World’s 1st disposable bag in 1954 = independence

• Coloplast sets new standard

Pioneers in healthcare

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Coloplast products and services help patients achieve greater independence from medical challenges in 5 areas:

Ostomy care, Continence care, Wound care, Skin Health and Breast care.

Defining Coloplast

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• 6000+ employees

• Subsidiaries in 25 countries

• Distributors worldwide

• Manufacturing facilities in China, Costa Rica, Denmark, Germany, Hungary and the U.S.

Coloplast spans the world

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As individuals and as anorganisation we:• Are customer driven

• Are quality conscious in all we do

• Have a fair and respectful management style

• Learn and share

• Have a passion for our business

... and we strongly believe that the road to outstanding results is shorter when you have fun on the way

Coloplast’s values

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Our employees are:• Independent thinkers• Willing to take on

responsibility• Committed to development• The key drivers of their own

job performance• Given the resources they

need to succeed

More than 6000 committed employees

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Without exception, Coloplast has increased turnover every year since 1957.

In 2003, the goal for 2008 was set at DKK 9 billion.

Development in turnover (1989-2004)

0

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000

9.000

10.000

89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 0890 91 92 93 94 95 96 97 98 99 00 01 02 03 goal04

mDKKRevenue

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Revenue per region

• 81% of total turnover is generated from sales in the European Market

• The Americas account for 13%

• Rest of the World. This region only accounts for 6% of total sales. It is, however, the fastest growing segment.

Europe 81%

Revenue by geographical regions

Rest of the World 6%

13%The Americas

A new performance appraisal

Focus and transparency in business performance & behaviour

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Introducing Leadership/Employee Competences

• We need to continuously improve everything we do to meet our business objectives

• This includes improving HOW we achieve our results

• We are introducing Leadership/Employee Competences to improve our business behaviour

• We will expect this behaviour from our managers and employees

• We will evaluate our employees against these behaviours

• we will develop our employees towards these behaviours

• We will use the implementaton of the Leadership/Employee Competences to structure and refocus the Performance Appraisal in Coloplast

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Restructuring the Performance Appraisal

• The focus of the new performance appraisal is 3-fold for ALL employees and managers:• Increased focus and evaluation on business performance• Increased focus and evaluation on business behaviour• Increased focus on development of all employees for

continuous improvement

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The Leadership Competences- for managers with personnel responsibility

• Visioning and Directing• Holistic Business Understanding• Strategic Thinking

• Mobilising People• Growing People• Team Leadership• Developing organisational capabilities and teamwork

• High Performance Execution• Personal ownership• Results orientation• Accountability

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The Employee Competences- for managers and employees without personnel responsibility

• Commitment• Cooperation• Change Willingness• Independence• Initiative• Customer Orientation• Knowledge Sharing

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The Performance Appraisal in a process view

Personal Development

Plan

Objectives for the coming yearLeadership/Employee

CompetencyAssessment

BusinessPerformance Assessment

Job AssessmentSummary of Assessment

Follow up

IT support system

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Assessing leadership/employee behaviour

Leadership/Employee CompetencyAssessment

Personal Development

Plan

Conclusions fromAssessment

Top-DownAssessment

Dialogue basedAssessment

180/360Degree evaluation

Other way thatis perceived fairand respectful

Follow - up

It is recommended that you start by using thisapproach in order to share the same assumptions.Then you can decide your own assessment method.Corporate HR is developing a 360 degree appraisal tool.

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Training and Development

• From a Corporate perspective the Leadership Competences are supported by the following programmes• Coloplast Business Programme - CBP• Coloplast Management Programme - CMP• Executive Leadership Programme - ELP (New programme)

• Remaining training and development activities will be supported by local HR

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Presentation Performance Appraisal database - 3 steps

Preparation• Manager• Employee

Conclusions and minutes1. Manager writes minutes and approves2. Employee comments and approves3. Managers superior comments and approves

Performance Appraisal

Individual preparation tobe made in the database

Conclusions and minutes in database

Dialogue between manager and employee

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VISIONING and DIRECTING  Summary of evidence

Holistic Business Understanding

Assesses the implications of decisions and actions relative to relevant stakeholders

 

Demonstrates a strong commitment toward service, quality and customer satisfaction and loyalty

Takes calculated risks Balances breakthrough thinking with the ongoing needs of the business Is able to communicate a vision for the future

Strategic Thinking

Demonstrates understanding of how business strategies and tactics work in the market place

Explores new possibilities and approaches issues differently Anticipates and reacts to future trends and directional shifts in the market place

MOBILISING PEOPLE  Summary of evidence

Growing People

Involves others in the formulation of plans and decisions affecting their work  

Delegates the necessary authority to employees Creates a challenging workplace Develops employees

Team Leadership

Appreciates the contribution from everyone in the group/team Promotes co-operation within the team

Developing organisational

capabilities and teamwork

Promotes co-operation between groups Promotes working across functions, departments and countries

HIGH PERFORMANCE EXECUTION  Summary of evidence

Personal ownership

Takes and accepts responsibility  

Seeks feedback to improve performance Shows confidence Takes initiative

Result orientation

Admits and allows mistakes Is able to prioritise and focus on value creation (EP, ESLM, CSLM, Waste, etc) Recognises and reacts to achieved results (both over- and underperformance) Sets high demands for own job performance and meets these Gives constructive feedback Sets clear and ambitious targets and follows up on these

AccountabilityDelivers on promise (walks the talk) Ensures that feedback is given down and communicated up

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What are SMART objectives?

SSpecific - pecific - specify the objective as precisely as possiblespecify the objective as precisely as possible

MMeasureable - easureable - how do you measure that the objective has been reachedhow do you measure that the objective has been reached??

AAccepted/Ambitiousccepted/Ambitious - is the objective accepted, agreed and ambitiousis the objective accepted, agreed and ambitious?

RRealistic - ealistic - is objective realistic when considering time and ressources is objective realistic when considering time and ressources

availableavailable??

TTime Based - ime Based - Set specific deadlines for objective fulfilmentSet specific deadlines for objective fulfilment

SMART objectives is a way of setting objectives based on criteria, that ensures the objectives are:

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Hvorfor indgår SMART mål i MUS?

• SMART mål udstikker en klar retning og prioritering af nøgleopgaver, så leder og medarbejder ved, hvad de skal ”løbes” efter.

• SMART mål er lette at følge op• SMART mål er jobmål og ikke en aktivitets- eller projektplan• SMART mål afspejler klare, gensidige forventninger, hvilket gør

det lettere for os både at være medarbejder og leder

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Hvordan fastsætter man 1-årige SMART mål?

Hvilke 3-5 områder er kritiske i jobbet

i det kommende år? Definition af et SMART mål for hvert område

Prioriter måleneved procentvis

vægtning !

Eksempel

Weight

1

2

Performance objectives for the coming year

Defining critical components/goals in the job and setting objectives for performanceSMART Objectives Comments

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Other initiatives

•Transparent career paths•Identification of C-players•Identification of talents•Linkage between performance/competences and pay•Organisational based competence development programme•Gap analysis -globally

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Why has this process been initiated?

• We say we support 3 career paths (line, project and specialist), but what does that mean in practice?

• We need a clearer and more transparent structure for managers and employees to work with

• We want to be able to communicate the ”who, what and how” of career progression and possibilities in Coloplast, both internally and externally

• We want to clarify what it takes to progress career wise in Coloplast• We want linkages between competences, qualifications required

(generic) in any given job and actual position level in the organisation• We want to create linkages between career levels and potential

compensation & benefit possibilities • We want to link behaviour to career levels and subsequently assess and

evaluate this for present and future career positions

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3 career paths in Coloplast with Titles

Vice President..

Project Director

Chief ..Manager

Director..

Head of ..Senior Project Manager

All other employees

Project Manager

Senior..Manager

TeamManager

Line Management

Project ManagementSpecialist

..Manager

Encompassesprocess owners or responsibles in departments etc.

Senior Vice President

Executive Vice President A

B

C

D

E

F

Position Level

G

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Key responsibilities

LINE MANAGEMENT• To set targets, develop strategies and activities• To create results through and with employees whom you are responsible for• To develop organisation, employees, competences and structure • To support projects/processes by allocating competent resources

PROJECT MANAGEMENT• To set targets and ensure target achievement with the employees allocated to the

project• To manage, drive, develop and coordinate project/process with cross functional

complexity • To make competency and resource needs visible

SPECIALIST• To set targets for competences and ensure target achievement• To act as expert and drive development and utilisation of relevant professional expertise

for Coloplast• To support projects/processes by utilising and sharing knowledge

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