A management audit is a systematic assessment or analysis of the skills and performance potential of managers. The focus is on the needs and success of the company. These audits are used, for example, when the management team needs to be assessed to determine whether it is up to the current challenges. What measures can be taken to strengthen the management team? Another application can be seen in the context of integrating newly acquired companies. Are the management teams compatible? Such an audit can also support the targeted promotion of members of a talent pool. In addition, there are a variety of other possible applications.
This article explains how to prepare for and conduct a management audit.
In order to meet the challenges of a management audit, some preparations must be made.
The first step is to define the objective of the audit. It must be clear what the intended outcome of the management audit should be.
Depending on the intended outcome, the company names the employees who will participate in the audit. At the same time, the topics on which the company wishes to make statements are defined and discussed. A questionnaire is then created for these areas, which is specifically tailored to the topics to be examined. Based on this information and these specifications, a team of consultants is assembled to carry out the management audit. A central contact person is appointed from this team as project manager, who is available to the company at all times.
The smooth implementation and evaluation of the management audit is based on a schedule agreed upon with the parties involved.
Once all preparations have been made, the audit begins with an introductory briefing for the participating employees of the company. At the start, participants complete an aptitude assessment. This is an online self-assessment tailored to the participant's position. This self-assessment is compared with known best practice or standard profiles. The result of this comparison shows the participant's suitability, strengths, and areas for improvement in relation to their current position.
As part of an extended process, multi-profile matching can be used to assess the participant's suitability for other possible positions.
Using the results of the aptitude assessment, structured interviews are then conducted based on the specific questionnaire created beforehand. Due to the dual control principle, two experienced consultants always participate in each interview. The results obtained are discussed with the project manager.
If several teams of consultants conduct the interviews, the results are validated again by the project manager.
Overall findings are also summarized by the project manager and presented to the company.
The second part of this topic will focus specifically on the evaluation of a management audit. How is the assessment carried out? Which results are intended for employees and which are important for the company?
As part of his officer training, he studied electrical engineering and graduated with a degree in engineering. While working, he pursued further studies and graduated with a degree in industrial engineering, specializing in "organization and planning" and "marketing."
After his career as an officer, he moved to a subsidiary of EADS in Paris, where he was responsible for international marketing, communications, trade fairs, and exhibitions for several years.
Back in Germany, his career path took him to a technology company, where he worked in the strategy department and later became head of a product division, eventually rising to the executive board. There, he was responsible for sales, technical studies, strategy, and business development.
In 2010, he moved to Rheinmetall to join a subsidiary as COO. After two years, he was responsible for a division with 2,500 employees as division manager. Extensive successful restructuring in Germany and Switzerland, the successful establishment of a joint venture in the USA, and representation on several political and technological committees rounded off this phase.
He used the experience he gained in technology and general management to become a member of the supervisory board at both HR Consult Group AG and the technology company MECOMO AG. After supporting the strategic development of HR Consult Group AG for several years, he was convinced to become a member of the executive board at HR Consult Group AG. Because one thing is clear: "It's all about people."
Would you like to receive regular updates from us about interesting job vacancies? This was one of the questions asked by the HR experts at HR Consult Group AG in a survey that received more than 10,000 responses. The aim of the study is to identify the needs and wishes of candidates and gain an insight into their opinions on the service and image of recruitment consultancies.
At 49 percent, just under half of those surveyed want to receive information about current and suitable job vacancies once a month. 38 percent of candidates, or more than a third, even prefer to receive weekly updates.
This shows that even candidates who are not currently applying for a specific position would like to be kept informed about new job offers on an ongoing basis. With a total of 87 percent, the offer has met with broad approval among the target group. Only 13 percent reject this service.
The candidates' great need for information clearly shows how important it is for recruitment consultancies to offer a good service. It is important to strike the right balance: if candidates receive information too frequently, they can quickly feel pressured or harassed. On the other hand, if they hear too little from their recruitment consultancy, this can quickly be interpreted as poor service. Recruitment consultants should therefore discuss each candidate's information needs and the desired type and delivery of information with them in advance. This creates a pleasant and profitable collaboration for both sides," explains Dr. Armin Betz.
After completing his studies in automotive engineering and industrial engineering, he began his professional career in the automotive industry in the areas of sales, development, and marketing, and also spent a year in Japan with one of the largest automotive suppliers.
He then moved to a world-renowned premium car manufacturer, where he was responsible for product marketing for Japan and South America as well as marketing strategy for North and South America.
In 1994, he decided to become self-employed and founded a personnel consulting firm in Munich, where he has been driving development and expansion for over 20 years. As managing director, his industry focus is naturally on the automotive world as well as mechanical and plant engineering.
His doctorate in the field of aptitude diagnostics ideally complements his areas of expertise, particularly in relation to human resources and management consulting. His dissertation deals with the identification and verification of typical personality traits of engineers and the definition of areas of development for a successful career.
These are scientifically derived and presented in the book "Eignungsdiagnostik im Praxiseinsatz" (Aptitude Diagnostics in Practical Use).
At the same time, he focuses on establishing networks and cooperation models as well as the continuous development of systems and processes in HR consulting.
Over the past 20 years in HR consulting, he has developed several brands that continue to operate successfully on the market today.
After thePREVIOUS PARTof this series of articles dealt with and presented aptitude diagnostics for engineers in general, this part focuses specifically on engineering-specific characteristics, i.e., the question of whether there are characteristics that typically define an engineer. Of course, the question also arises as to whether there are characteristics that are responsible for career success and, if so, which ones.
In doing so, it is necessary to identify both the personality traits that remain stable throughout an engineer's career and those personality traits that develop significantly in relation to age and hierarchy. Only then can reliable statements be made about so-called typical engineer traits and also about the development of traits that are responsible for a successful career and advancement up the career ladder.
The basis for this was the approach of looking for personality traits that remain unchanged across all hierarchical levels. These would be traits that engineers still rate equally highly both as they start their careers and as managers.
When hierarchy is used as a basis for comparing different characteristics, it becomes clear that personality traits such asreliability andthe ability to cooperate remain virtually unchanged throughout a person's career. However, topics such asperfectionism andplanning for disruptions arealso personality traits that engineers maintain the same attitude toward throughout their entire professional careers.
The characteristics in Table 7.1 and Figure 7.1 represent the development from the lowest to the highest hierarchical level, which show the least change. These characteristics are therefore least affected by advancement up the career ladder. It can therefore be deduced that the characteristics shown are those that are characteristic of an engineer—from the perspective of climbing the career ladder, i.e., the development over time during his or her professional career—as they remain virtually unchanged.
Regarding personality traits
ability to cooperate,
Meaning and commitment,
Planning for incidents,
Irrational assessments,
Perfectionism and
reliability
the attitude of engineers does not change, and it stands to reason that the saying applies to these personality traits:once an engineer, always an engineer.
In the search for personality traits that are responsible for development and advancement on the career ladder, the traits that undergo the greatest changes over the course of an engineering career were examined. To this end, the results of engineers as specialists, project managers, department heads, and division managers were compared with one another. It was found that the personality traits in question underwent continuous development across all hierarchical levels, so that it is sufficient to consider only the lowest and highest hierarchical levels in the presentation.
The table and diagram below show the personality traits that have changed the most from the lowest to the highest hierarchical level. Examples of this areleadership tasks andwillingness to take responsibility.
These characteristics (Table 7.4. and Figure 7.3.) show the greatest changes in development from the lowest to the highest hierarchical level.
For example, the significant shift in interest towardleadership roles appearsto be extremely important for successful advancement on the career ladder.
It can therefore be concluded that the characteristics identified are those that offer the greatest potential for development for an engineer—from the perspective of climbing the career ladder, i.e., development over the course of their professional career—as they are the ones that change the most.
By comparing the areas of development/potential that emerge from the perspective of temporal development (cluster "hierarchy") and the other, time-independent clusters, i.e., static differences between the individual standard profiles, the following results emerge:
Table 7.9showsa breakdown into the first-order dimension"Professional Interests" andthe first-order dimensions"Commitment" and"Communication."As the name suggests, the formersymbolizes interests.It is well known that interests are not something that can be directly influenced, but rather something that forms and develops intrinsically.
Over the course of their career, engineers develop interests that are sparked by climbing the career ladder and continue to unfold until there is a clear difference in characteristics when comparing the standard profiles of "specialist" and "manager."
The situation is different with regard to the characteristics of the other two first-order dimensions, "commitment" and"communication": these represent areas that can be changed through training and further education. They can therefore contribute to further advancement.
Personality traits and areas of interest should therefore be taken into account in the context of personnel development.
management tasks,
marketing,
Consulting,
Sales,
initiative,
willingness to take responsibility,
Enthusiasm and
persuasiveness
be given special emphasis, addressed, and further developed.
In summary, it can be said that not only consistent personality traits are important for a successful career, but also traits that develop over the course of one's career. Only when both are taken into account can the chances of a successful career as an engineer be maximized.
The next article on aptitude diagnostics deals with standard and best practice profiles. These are required for the reflection of every aptitude diagnostic. Do you know how standard profiles and best practice profiles are compared?
Image source:
Betz, Armin: Aptitude Diagnostics in Practical Use – "An Engineer Remains an Engineer," German National Library, 2015, pp. 165, 169, 174, ISBN 978-3-00-052093-8
After completing his studies in automotive engineering and industrial engineering, he began his professional career in the automotive industry in the areas of sales, development, and marketing, and also spent a year in Japan with one of the largest automotive suppliers.
He then moved to a world-renowned premium car manufacturer, where he was responsible for product marketing for Japan and South America as well as marketing strategy for North and South America.
In 1994, he decided to become self-employed and founded a personnel consulting firm in Munich, where he has been driving development and expansion for over 20 years. As managing director, his industry focus is naturally on the automotive world as well as mechanical and plant engineering.
His doctorate in the field of aptitude diagnostics ideally complements his areas of expertise, particularly in relation to human resources and management consulting. His dissertation deals with the identification and verification of typical personality traits of engineers and the definition of areas of development for a successful career.
These are scientifically derived and presented in the book "Eignungsdiagnostik im Praxiseinsatz" (Aptitude Diagnostics in Practical Use).
At the same time, he focuses on establishing networks and cooperation models as well as the continuous development of systems and processes in HR consulting.
Over the past 20 years in HR consulting, he has developed several brands that continue to operate successfully on the market today.
Successful companies demonstrate that those who know how to reduce staff absenteeism have competitive advantages in the market, ranging from cost savings and reduced organizational effort to better employer branding. However, one important factor in successful absenteeism management is often underestimated.
Psychogenic (psychologically induced) absenteeism: a serious problem
Increasing demands on employees for flexibility and mobility, intensification and condensation of work, greater networking and cooperation between humans and machines, and increased cognitive and emotional stress—all of this leads to psychological strain that many employees are not easily able to cope with. The results are evident in the absenteeism andhealth reportspublished in 2017by theGerman federal government and various health insurance companies (e.g., AOK, DAK, TK): days of incapacity to work, disability pensions, and early retirement due to mental health issues are steadily increasing. It is not without reason that psychological risk assessment has been required by law since 2014.
Absenteeism is costly: lostvalue creation, overtime, training time, and in some cases excessive workloads for colleagues compensating for absences, continued payment of wages, additional organizational expenses, contractual penalties for delivery difficulties, and other opportunity costs.Psychogenic sick days (AU days) have a particularly significant impact, accounting for approximately 17% of all sick days and approximately 38 sick days per case of illness (the average for all cases of illness is 13 sick days). Considering that AU days due to musculoskeletal disorders (approx. 22% of all AU days, 20 AU days per case) and especially in their main group "back disorders" are strongly psychologically (co-)determined, the psychological component of absenteeism becomes even more significant. Sleep disorders are also relevant in this context. They have been on the rise in Western industrialized nations for years. Currently, approximately 35 million people in Germany suffer from sleep disorders, which corresponds to 42% of the population. Of these, 15%–20% require treatment. Approximately three-quarters of all sleep problems arepsychogenic insomnia (difficulty falling asleep, staying asleep, and waking up). Although absenteeism due to this condition is relatively low, a 2017 employee survey by the DAK shows that 3.7% of all working people did not show up for work due to sleep disorders. Even when employees are present at work, sleep disorders cause major problems: not only is performance reduced, but the risk of accidents and injuries also increases, resulting in additional absenteeism, which, however, is not statistically attributed to psychological factors.
How can psychogenic absenteeism be effectively reduced in companies?
Of course, the best way to do this is by changing the conditions that have been identified as contributing factors. In the 2017 baua study on mental health in the workplace, a scoping review and employee surveys were used to identify the working conditions that are most relevant to mental health anddivide themintofour thematic areas:
work assignment
working hours
Leadership and organization
Physical environment and human-technology interaction
Thefocushereison working conditions. Changing these conditions in such a way that pathogenic (disease-causing) influences are reduced and salutogenic (health-promoting) factors are expanded is an absolute must, but unfortunately this is often not addressed in everyday working life. One reason for this is that systemically relevant components need to be changed, such as corporate culture, structural and procedural organization, personnel structure, remuneration systems, workplace design and ergonomics, task and resource allocation, leadership and working atmosphere, economic circumstances and job security, etc. This effort is often avoided.
The key tosolving this problem is the fact that most of these "working conditions" and "employee behavior" influence each other. Psychogenic absenteeism can therefore also be reduced by measures that address the root cause: employees at risk of absenteeism. These measures promote salutogenic attitudes and behaviors, have a preventive effect against psychogenic incapacity to work, and positively influence health-related working conditions. These, in turn, have a health-promoting effect on employees.
Amodular approach includes, for example:
Absenteeism analysis, tailored to the specific company's economic situation.
Psychological risk assessment.
Setting S M A R T goals.
Estimation of cost savings through reduced absenteeism and expected ROI.
Implementation and facilitation of health circles.
Salutogenic attitude and behavior training for employees (focusing on prevention of mental health risks and resilience for mental demands) using methods that are quick to grasp, easy to teach, and easy to integrate into everyday life.
Evaluation of the measures.
Designing a salutogenic sustainability strategy.
Practical example:
Situation: In a medium-sized service company, absenteeism in 2016 amounted to just under 8.5% of scheduled working hours, and in departments D and F it was even over 12%, with a rate of over 60% of employees affected. A voluntary employee survey conducted in these two areas revealed that more than three-quarters of all absences were due to psychological or psychosomatic issues or back problems (despite very good workplace ergonomics).
Planning and goals: All employees in departments D and F should be recruited for salutogenic training in the first half of 2017 with the aim of reducing total absenteeism by at least one-third in the second half of the year. Training participants should learn to understand and recognize psychological stress and master preventive and salutogenic self-help techniques.
Cross-departmental groups with an average of 15 people were formed, tailored to the work organization. Four half-day training sessions were scheduled for each group at four-week intervals, with individual coaching sessions arranged in consultation and according to specific criteria, and a follow-up check after eight weeks. A total of 60 people were to participate. The direct costs of absenteeism in these areas amounted to €235,000 per annum (when indirect costs are added, a factor of 1.2–2 is to be applied according to sample calculations). In accordance with the above-mentioned 1/3 target, just under €40,000 of this €235,000 was to be saved in the second half of 2017 and just under €80,000 in 2018 – a multiple of the training investment.
Implementation, content, and methods: Ata kick-off event that provided information about the psychological causes of absenteeism, its negative consequences for individuals and companies, and useful personal measures, employees were successfully motivated to participate in the training. Personal goal clarification, theoretical input, practical exercises, and evaluation were the elements of each training unit, with the following content: practical teaching of how psychological stress works, understanding of salutogenic and preventive concepts, raising awareness of individual factors of psychological stress, mastering individual preventive and salutogenic self-help techniques. Methods used included embodiment-oriented concepts, hypno-imaginative techniques, impact approaches, solution-oriented counseling, and systemic constellation work.
Evaluation: Eight weeks after the end of the training, over 90% of employees gave a subjective success rating of between 7 and 9 points on a scale of 0 to 9. Measured absenteeism fell by 42% between July and October 2017. This bodes well for 2018.
In addition to professional qualifications, known as "hard facts," soft skills also play an important role in ensuring long-term employment within a company. These are verified through scientifically based aptitude testing, which is a key focus at HR Consult Group AG. But when and where did aptitude testing actually begin? How has it developed?
There are many references to early pioneers of aptitude testing throughout world history. One example is ancient China, where high-ranking public officials were selected using a standardized selection procedure. Applicants had to perform five arts and also demonstrate knowledge of rites and public ceremonies. The exams were very demanding, so that the proportion of applicants who were ultimately accepted was extremely low.
Sir Francis Galton (1822-1911) from England goes down in history as one of the most important pioneers in the field of aptitude testing. He made a name for himself due to his versatility in various disciplines. These included differential psychology, of which Galton was a co-founder. This discipline deals with the differences between individuals in terms of psychological characteristics and states. To this end, he developed test procedures that could measure psychological characteristics. He strove to quantify these characteristics as accurately as possible and dealt with both intellectual abilities and personality traits. In doing so, he always kept his goal of improving the human race in mind.
He also developed the principle, still used today, of describing people by the deviation of their "measured value" from the mean value of a comparison group.
Since 1884, interested parties have been able to have their psychological characteristics tested by him in London. Characteristic of aptitude diagnostics were basic characteristics such as behavioral observation when solving difficult tasks and the assessment of self-image and external image.
The first standardized personality assessment methods emerged at the beginning of the 20th century through empirical psychological approaches. This was followed by an increase in standardization and systematization. These early personality tests were mainly used to distinguish adaptable and functional people from those with deviant behavior.
The first personality tests of American origin were intended for use in military psychological examinations or for questions in clinical psychology. To a large extent, they covered constructs of psychology.
The first career-related procedures were developed in 1920. These already dealt with intellectual characteristics. They were used to determine suitability for a particular profession or to predict professional success. The first significant procedure of this kind was developed at the Carnegie Institute of Technology in Pittsburgh. This test was based on around 1,000 questions on various professional interests, which are still used today as a source for new procedures.
The use of clinically oriented personality tests for military purposes had already proven successful, leading to the development of tests for psychopathological disorders (pathological changes in consciousness, memory, and emotional or mental life). The MMPI (Minnesota Multiphasic Personality Inventory) was designed specifically for this purpose. Finally, the California Psychological Inventory (CPI) was introduced, a procedure closely based on the MMPI, but used primarily for the selection of managers.
Our next article in this series will cover the rest of the story up to the present day.
If you have any further suggestions or questions on this topic, please feel free to contact us at k.rasthofer@senator-partners.de.
After completing his studies in automotive engineering and industrial engineering, he began his professional career in the automotive industry in the areas of sales, development, and marketing, and also spent a year in Japan with one of the largest automotive suppliers.
He then moved to a world-renowned premium car manufacturer, where he was responsible for product marketing for Japan and South America as well as marketing strategy for North and South America.
In 1994, he decided to become self-employed and founded a personnel consulting firm in Munich, where he has been driving development and expansion for over 20 years. As managing director, his industry focus is naturally on the automotive world as well as mechanical and plant engineering.
His doctorate in the field of aptitude diagnostics ideally complements his areas of expertise, particularly in relation to human resources and management consulting. His dissertation deals with the identification and verification of typical personality traits of engineers and the definition of areas of development for a successful career.
These are scientifically derived and presented in the book "Eignungsdiagnostik im Praxiseinsatz" (Aptitude Diagnostics in Practical Use).
At the same time, he focuses on establishing networks and cooperation models as well as the continuous development of systems and processes in HR consulting.
Over the past 20 years in HR consulting, he has developed several brands that continue to operate successfully on the market today.
The first part of this series of articles looked at the early pioneers of aptitude testing. Now we will continue with the story up to the present day.
After the development of the MMPI (Minnesota Multiphasic Personality Inventory) and the CPI (California Psychological Inventory), the use of personality tests rose steadily until the early 1960s, then peaked and slowly declined. More than 80% of all large companies used personality tests to select sales staff. By 1984, this figure had fallen to just over a quarter of companies. The reasons for this were the interactionism (interaction of personal and situational characteristics) advocated by Walter Mischel and growing public resistance to testing. This led to an intense political debate about these procedures, with the focus primarily on aspects of test fairness.
It was not until 1980, starting in the United States, that the topic was revived and gained increasing importance. Scientific and practical interest was rekindled. From the original translated tests to newly developed procedures, a change can be seen that confirms a further increase in interest to this day.
It is interesting to note that the occurrence of the terms "personality test" and "aptitude diagnostics" in German-language literature between 1900 and 2008 shows some differences in the "German" corpus, even though the two terms have a similar meaning. This is illustrated by the following figure from the book "Aptitude Diagnostics in Practice – An Engineer Remains an Engineer":
While the term "personality test" gained popularity relatively early, as early as 1930, the term "aptitude testing" only became really popular after World War II in 1945. After a sharp decline, "aptitude testing" has been steadily increasing since 1957, with several minor fluctuations. In contrast, "personality test" has repeatedly experienced major slumps in its occurrence. However, there is one thing they have in common. Both terms have shown significant growth since 1996, which will continue to increase steadily. This means that both terms have arrived in the 21st century and continue to grow in popularity.
Nowadays, aptitude testing is a collective term for job-related procedures used to measure skills and behavioral tendencies. Basically, aptitude testing is intended to provide as accurate a prediction as possible of a person's likelihood of success or professional suitability.
It should be noted that aptitude testing can look back on an impressive history, and its development will continue.
Outlook: Our next article in this series will focus on the book "Eignungsdiagnostik im Praxiseinsatz – Ingenieur bleibt Ingenieur" (Aptitude Diagnostics in Practice – An Engineer Remains an Engineer) by Armin Betz. Do you know what important and typical characteristics define an engineer? You can find out about these and many other aspects, such as the importance of development areas, in the following article.
After completing his studies in automotive engineering and industrial engineering, he began his professional career in the automotive industry in the areas of sales, development, and marketing, and also spent a year in Japan with one of the largest automotive suppliers.
He then moved to a world-renowned premium car manufacturer, where he was responsible for product marketing for Japan and South America as well as marketing strategy for North and South America.
In 1994, he decided to become self-employed and founded a personnel consulting firm in Munich, where he has been driving development and expansion for over 20 years. As managing director, his industry focus is naturally on the automotive world as well as mechanical and plant engineering.
His doctorate in the field of aptitude diagnostics ideally complements his areas of expertise, particularly in relation to human resources and management consulting. His dissertation deals with the identification and verification of typical personality traits of engineers and the definition of areas of development for a successful career.
These are scientifically derived and presented in the book "Eignungsdiagnostik im Praxiseinsatz" (Aptitude Diagnostics in Practical Use).
At the same time, he focuses on establishing networks and cooperation models as well as the continuous development of systems and processes in HR consulting.
Over the past 20 years in HR consulting, he has developed several brands that continue to operate successfully on the market today.
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