China Learning Journey: Motorola University By Scot McGavin IPT 597 Special Topics Boise State University Summer, 2004 Penelope Schwiebert CONTENTS General Information Vision & Mission Services - external Services - internal Values Challenges Financial Status Goals Strategy Culture Questions Conclusions Bibliography ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. ………………………………………………. Page 1 Page 1 Page 2 Page 2 Page 3 Page 3 Page 3 Page 4 Page 4 Page 4 Page 6 Page 6 Page 7 China Learning Journey: Motorola University GENERAL INFORMATION Motorola University China is one of several subsidiaries of Motorola University based in the U.S. and gets most of its training materials from the main Motorola University. Much of the promotional material provided for Motorola University does not distinguish between Motorola University and Motorola University China, so for the remainder of this paper, unless otherwise stated, Motorola University will refer to the subsidiary in China. Motorola University is a supporting business unit for Motorola. Therefore, it may be helpful to understand the things that drive Motorola University by knowing more about Motorola in general. A Motorola press release states about the company “Motorola, Inc. (NYSE:MOT) is a global leader in wireless, automotive and broadband communications. Sales in 2002 were $27.3 billion. Motorola is a global corporate citizen dedicated to ethical business practices and pioneering important technologies that make things smarter and life better, honored traditions that began when the company was founded 75 years ago.” Opening its first office in Beijing in 1987, and then a manufacturing facility in Tianjin in 1992, Motorola has been growing with and immersing itself in the Chinese business boom ever since. Presently Motorola has a holding company in Beijing, a factory, eight joint ventures, 18 R&D facilities, 26 sales offices, and 13,000 employees in China (www.chinanex.com, 2004). 2003 revenues estimates were $6 billion. With the largest market share for handsets in China and growing emphasis in the automotive, wireless, and broadband industries, Motorola is truly a business force to be reckoned with in China. In January of this year, Motorola announced the signing of two separate contracts with wireless providers in China valued at over $1 billion. It is from this powerful legacy that Motorola University emerges to find its niche. Motorola University states that it that provides “Six Sigma® Business Improvement Campaigns for Breakthrough Performance and Sustainable Results!” They further state “Our Six Sigma® methodology is a proven tool set for driving sustainable business improvement”. Motorola is the inventor of the Six Sigma® methodology. Teaching courses in and providing services around the Six Sigma® material is one of two primary business roles of Motorola University China. The second role is an internal role as a service provider for Motorola China. Motorola University provides training and higher education services for Motorola based upon a performance management system within the company’s human resources department. VISION & MISSION Motorola University states its vision as follows: “Our vision is to effectively add value for Motorola customers, suppliers, partners, and other potential customers through business consultation, training, quality management and leadership development to build a greater Motorola Ecosystem. We commit to share Motorola Best-in-Class experience and insightful with our customers, suppliers, partners and other potential customers, through business performance improvement and sustainable fiscal results for clients.” Page 1 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University While not explicitly stated as a mission statement, the following description from a Motorola University glossy states that “Motorola University’s products and services are designed to link directly to your organization’s strategic objectives and improve your business results.” This statement appears to serve as the organization’s marching orders. Interestingly, these statements show no glimpse of the internal role that Motorola University plays within Motorola China. Perhaps they have a higher-order set of vision and mission statements that are internal only, or perhaps, the important role that Motorola University plays inside the company is just assumed and not explicitly stated. SERVICES - external Motorola University presents the following service offerings in their product brochures: Share enterprise experience with corporate clients Put in place end-to-end total solutions Conduct consulting services Deliver instructional services Additionally, Motorola University offers: Business Improvement Campaigns for top-down implementation, Launch packages for small to mid-size organizations, Convenient open enrollment programs, and Cost effective licensing options. They make clear that Six Sigma® can be applied to other industries in addition to just manufacturing. Thus, the industries of telecommunications, finance, various utilities, healthcare, et cetera may take advantage of this methodology. Another type of service that Motorola University has offered in the past, but is recently changing policy on, is free training for SOEs, or State Owned Enterprises. Starting in 1990, in an attempt to better serve their new Chinese home, Motorola started offering training courses to SOEs. Offered as altruism to help these government businesses, it was also a strong strategic move that helped make Motorola extremely successful in China. In fact, today, Motorola is one of the largest exporters in China and business in China represents 30% of Motorola’s handset sales worldwide(www.chinanex.com, 2004). Today SOEs and private companies can purchase training from Motorola University. SERVICES - internal Internally, Motorola University offers services to its “leadership supply system”, as they call it. With a huge trend toward localized management in China over the past ten years, much emphasis is focused on management. Motorola University does not act as a function of the Human Resources department specifically. It sits parallel to HR under CEO Bill Vicoho. Training and professional development are the primary services that Motorola University provides internally. Page 2 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University Specific services that Motorola University provides internally include: Core Plus training and consulting programs (including English, manufacturing, children’s programs, etc.) MBA programs (in conjunction with Arizona State University) DBA programs (in conjunction with Arizona State University) China Accelerated Management Program (for top managers) Learning Policy training (for all employees) 170 courses in Chinese including courses in manufacturing excellence, quality excellence, performance excellence, and leadership supply systems Corporate schools and instructional design systems E-learning Knowledge Management Training is delivered onsite in four main cities: Chongdu (R & D), Beijing, Shanghai (R & D), and Tainjin. Training is also delivered via distance learning, though this delivery method is mostly reserved for the Six Sigma® programs. Of the 12,000 plus employees with Motorola in China, most receive on-the-job training within the manufacturing facilities; about 4000 take some sort of course with Motorola University. Most instructional design for Motorola University is done in the United States. Motorola University in China has a staff of three full-time instructional designers. VALUES Motorola University’s Leadership Supply System is based upon a system they call the 4E + 1E. Based upon the 4E system from General Electric, Motorola extends this system with their 1E value that is always to be applied: 4E Envision Energy Edge Execute 1E Ethics Motorola employees and management have an annually renewed commitment to their value of Ethics. Personal commitment is a highly emphasized value for every employee. They believe in achieving individual and Motorola success by executing committed business goals and performance goals. CHALLENGES Motorola University is facing increasing competition to its consulting services to outside companies. Where they were able to offer services for free in the past, they now offer them for a fee, and they continue to struggle to stay ahead of competing companies for price and value. Additionally, semiconductor business in China is growing rapidly, and as a foreign company, they face the additional challenge of being an outsider. FINANCIAL STATUS We were unable to determine any information about Motorola University financial status. Page 3 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University GOALS Specifically stated goals for Motorola University China as a business unit include further instructional design in China, increased consulting revenues, and increased profitability of the Six Sigma® program. It seemed apparent that additional goals would include continued improvement of their offerings within professional development and leadership programs, increased service offerings, and increased efficiency of their regional delivery centers. STRATEGY Implied in the actions they have taken in the past and the goals they described to us, is the following three-part strategy by Motorola University: Fund internal learning and development via profit centers like Six Sigma® Strengthen market position by helping resellers, SOEs, and OEMs to more easily use Motorola products Continue strengthening the guanchi that Motorola has established within the Chinese business community over the past 30 years CULTURE The following corporate culture indicators come from the work of Lineberry and Carlton. Many of these indicators could not be observed or determined for Motorola University. Those that could help provide greater understanding of the drivers of this organization. INTENDED RESULTS It is apparent that Motorola University intends to fund the continued instilling of corporate values and presenting of professional development, leadership, and technology training to the employees of Motorola through the profits of teaching Six Sigma® and Motorola-designed-in product approaches to their customers. KEY MEASURES Motorola University measures the number of employees it offers services to and it is measured by the performance management system and the balanced scorecard method of employee performance measurement. In addition, training quality and effectiveness are measured via the Kirkpatrick 4-level evaluation method. KEY BUSINESS DRIVERS Several trends are affecting Motorola University’s practices. First, there is a strong trend toward localized management in China over the past ten years and this has led to heavy emphasis on management and professional development services within the organization. Next, there is the ever-increasing emphasis on profitability which drives the Six Sigma® and consulting businesses for Motorola University. Then there is the increasing competition in the marketplace which drives more creative ways of gaining and keeping customers, both for Motorola products, as well as for Motorola University products and services. INFRASTRUCTURE Motorola is a large company with many resources. Motorola University has been developing within the United States for many years. Motorola University China has the ability to take advantage of successes that have been tried and proven in the U.S., as well as the advantage of using courses and instructional design work that has already been done. The corporate intranet, buildings, and subject matter experts (both management and technical) are also valuable assets for Motorola University China. Page 4 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University ORGANIZATIONAL PRACTICES We do not have much information on organizational practices by Motorola University. We do know that they rely on the balanced scorecard method of employee evaluation and that they heavily emphasize their values, especially ethics. We know that people are selected for advancement based upon their performance evaluations. We also know that they utilize on-the-job training heavily in the manufacturing setting and rely more on the corporate university for professional training needs. LEADERSHIP/MANAGEMENT PRACTICES We do not have much additional information on leadership and management practices within Motorola University. SUPERVISORY PRACTICES We do not have much additional information on supervisory practices within Motorola University. WORK PRACTICES We do not have much additional information on work practices within Motorola University. USE OF TECHNOLOGY We do not have much information about the level of technology use by Motorola University, neither for the development, nor for the delivery of their products and services. There seems to be a limited use of technology within Motorola University to accomplish their training goals. While they do offer some elearning and knowledge management products and services, these sounded to be very new and highly underutilized. We don’t know to what extent the corporate intranet is used, whether for EPSSs, email, or other electronic methods of information dissemination. The technology within the meeting room and facilities that we visited was top-notch, however, this may not be the case with all facilities – we just don’t know. PHYSICAL WORK ENVIRONMENT A strong sense of professionalism and success, and yet at the same time, a sense of privacy, comes from the atmosphere of the Motorola complex in Beijing where we visited. Professionalism and success exude from the outside look of the building, from the quality of the furnishings, facilities, and technologies. Privacy and caution, healthy values for a technology company, emanate from the security systems and escorting we received. The office facilities that we visited appeared modern and beneficial for productivity and effectiveness, though we do not have much additional information on work environment within Motorola University. PERCEPTIONS AND EXPECTATIONS There is a strong sense that corporate values are widely known and emphasized. Personal commitment is required. I would suspect that the increasing competition drives an expectation level of high performance and quality at every level of Motorola. It is clear that Motorola values its employees and their success from the focus they give to Motorola University. This is an energy that I expect would pervade the corporate culture. CULTURAL INDICATORS AND ARTIFACTS The dress and professionalism demonstrated by the employees that we interacted with gave me a sense of down-to-business seriousness. Page 5 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University VALUES AND BELIEFS Motorola corporate culture is one where personal commitment to success of self and company is apparent. This value system is taught regularly. It seems that people have a belief that if you take care of the company, it will take care of you. MYTHS, LEGENDS, AND HEROES We do not have any information on myths, legends, or heroes within Motorola University. QUESTIONS To effectively provide any type of human performance analysis for Motorola University, many questions would need to be answered. First and foremost, what kind of analysis is done to understand problems that may exist? It seems that instruction is the assumed solution for all types of performance problems. What is the nature of the performance problems they are addressing in the first place? Next, we know very little about leadership, supervisory, and work practices. What elements within the leadership of the corporate culture are promoting performance and which are detracting? There is much we do not know about the environmental conditions. We know that instruction is done onsite at four locations, but what are the conditions there? Are there appropriate facilities and technologies to support this work? Who are the instructors? What are their incentives? Who do they report to? How is performance measured and tracked for the training courses themselves? What are the instructors’ inputs and outputs? Where are the lines drawn and who is ultimately responsible for the quality of their output? CONCLUSIONS After substantial research via internet sources, I thought I had established somewhat of an understanding of what Motorola University China was about. I realized early on in the presentation Ms. Yang Zing gave to our group in Beijing, that I knew very little about Motorola University China. The material I had located on Motorola University China did not even mention Six Sigma®. The part that I could read in English focused on industries that Motorola offers in China and, in a general fashion, on what R & D they do. None of this material was covered by Ms. Yang. This was an interesting discovery. Perhaps this confusion comes from the culture of secrecy that I perceived. Perhaps it is that I could not read the Chinese material that might have told me more about Motorola University. What was clear from our visit is that Motorola University China is a valuable asset to Motorola’s success. Guanchi is a powerful force in Chinese culture. Through a history of helping state-owned and private businesses via professional and tech-marketing training and services, Motorola understood the culture of Chinese business well enough to become the leader in their industry. Now they are striving to fund their own internal improvement by offering external consulting for profit. So far, it seems to be working. Page 6 of 7 Scot McGavin, BSU IPT597 Summer, 2004 China Learning Journey: Motorola University BIBLIOGRAPHY China Beijing IC (2004). Beijing’s semiconductor sector to surge. China Daily. Retrieved from the World Wide Web on May 17, 2004 from http://www.bjic.org.cn/english/10zxsc/189.htm Hessler, P. (2001). River town: Two years on the Yangtze. New York: HarperCollins. The world factbook: China (2004). Retrieved from the World Wide Web on June 16, 2004 from http://www.cia.gov/cia/publications/factbook/geos/ch.html Trade Point Beijing (n.d.). An efficient gateway to contact the world. Retrieved from the World Wide Web on June 14, 2004 from http://www.tpbjc.gov.cn/163/2003-1-10/2@1512.htm www.bjnw.gov.cn (2004). Modernizing Beijing suburbs. Retrieved from the World Wide Web on May 17, 2004 from http://www.bjnw.gov.cn/english/english_detail.jsp?action=general_introduction Yang, Z. (2004). Presentation on Motorola University on May 31, 2004 at Motorola University, Beijing. Motorola University (2004). Product brochures presented by Ms. Yang Zing at Motorola University, Beijing on May 31, 2004. www.chinanex.com (2004). Motorola China. Retrieved from the World Wide Web on May 17, 2004 from http://www.chinanex.com/company/motorola.htm www.motorola.com (2004). Retrieved from the World Wide Web on May 17, 2004 from http://www.motorola.com.cn/en/ Page 7 of 7 Scot McGavin, BSU IPT597 Summer, 2004