The Swiss Federal Constitution clearly states that "men and women are entitled to equal pay for work of equal value" (Art. 8, para. 3). However, this is unfortunately not yet everyday practice in all companies. According to the Federal Office for Equality (EBG), women in Switzerland receive on average 18 percent less pay than men. 40 per cent of this cannot be explained; in these cases there is probably wage discrimination.

Prerequisites created and equal pay fulfilled

The office supplies manufacturer Biella, one of the largest employers in the Biel-Seeland region, did not want to take a back seat in this regard, but rather assume its responsibility. The company has been working on measuring and fulfilling equal pay for the past two years. Biella chose the specialists at Landolt & Mächler Consultants AG as independent experts for the equal pay review. In order for an equal pay analysis and also a salary comparison to be possible at all, Biella created various prerequisites within the company. for example, over the last 24 months, all functions were systematically re-described and classified according to the experts' system. The analysis carried out in autumn 2018 confirmed and substantiated Biella's equal pay for men and women.

Attractive employer in the Biel-Seeland region

Recently, Thomas Landolt, Managing Director and owner of Landolt & Mächler Consultants AG, personally presented the official certificate - which is valid for four years. Martin Dietrich, Head of HR, Finance and Controlling, and Yvette Muff, Head of Human Resources, were delighted to accept the award. "I am very happy for our employees, who hereby have confirmation that our wages are fair," said Martin Dietrich. And Yvette Muff added: "As an industrial company, we offer the most varied professions as well as apprenticeships and build on competent, satisfied and motivated employees." With the certification received, the company sees its position as an attractive employer strengthened.

www.biella.ch

Most project managers know or at least suspect that there are many activities in the daily project routine that are necessary but do not generate any added value. We call this "project ballast". Some studies say that 90 percent of all office work remains without added value. Increasing efficiency in these areas usually leads to positive effects and has an enormous impact on overall performance.

Step 1: Realize the importance of the work without added value

Project ballast is not the exception, it is the rule. Tasks without added value consume many more resources in the project than the work with added value: a ratio of 90 to 10 is quite realistic. So if project management wants to improve overall productivity in the project, project ballast is the ideal target. A simple calculation example: if you double the efficiency of the value-added project work, you have reduced the workload in the entire project by 5 percent. If, however, you succeed in doubling the efficiency of the non-value-added work, you reduce the workload in the project by a whopping 45 percent. The simple insight: Reducing project ballast saves the most resources.

Step 2: Create a central database

In some organizations, there is no formal, centralized repository for project-related information. As a result, project managers and team members spend up to 40 percent of their time searching for information, only to enter it manually and condense it into reports. By contrast, when project templates, metrics, and financial data are centralized, direct access is a matter of a few clicks. A centralized repository acts as a "single source of truth," whether it's project planning, project data and documents, or best practices, templates, and reports. Such centralization makes life easier for everyone.

Step 3: Standardize reports and processes

Once the data is centralized, it is relatively easy to generate and share standard reports and dashboards with the appropriate stakeholders. Of course, access should be controlled via a suitable rights concept. The reports access the data from the central repository in real time and have a standardized format so that they can be easily processed further and serve as a meaningful basis for decision-making.

Step 4: Automate workflows and tasks

Many project management tools include at least basic project tracking tools. This makes it relatively easy to automate tedious tasks with no added value, thus reducing project ballast. Efficiency increases very significantly when formerly manual tasks are eliminated: such as administering timesheets, handling task assignment communications, tracking progress and approvals, and triggering associated alerts and notifications. With the right software, you can easily automate all of this.

Step 5: Increase data quality for better decision making

As long as you and your staff have to manually gather information from disparate applications, it's not only time-consuming - it also increases the likelihood that you'll be dealing with redundant, unavailable, or outdated data. This deprives you of the basis for robust decision making and management. For many companies, this is why data visibility and data integrity are critical challenges in their projects. Many companies that eventually purchase project management software do so to avoid having to re-enter lost data over and over again. Either way, it's worth tackling the issue of increasing the efficiency of project work - especially when it comes to the multitude of tasks that don't add any value. Discarding project ballast always makes sense.

Author:
Uwe Eilers is Director Sales at Sciforma GmbH in Taunusstein, Germany. www.sciforma.de. Even more information on increasing efficiency in project management is provided in an e-book by Sciforma entitled "Free yourself from project ballast - avoid tasks without added value". It can be downloaded here free of charge: https://www.sciforma.com/de/info-center/aktuelles

All hands on deck: For quality in the company, it is not only the bosses who are in demand, but above all the employees. Even the best quality management system is of no use if it is not lived and implemented by the employees in their daily work. The active involvement of employees in quality management is not only sensible, but also indispensable in view of the new DIN EN ISO 9001: 2015. This is because auditors now explicitly check whether the processes described in the quality management system are also implemented in practice. And here the human being, i.e. the employee, is the decisive factor. The coaching and consulting company reinert & friends, based in Besigheim (Baden-Württemberg), has developed a new concept: Process Optimization with TransferCoaching by Transfer Assurance. This concept focuses on the interaction of people and processes - for sustainable success and quality in the company.

Top management in charge

The new standard for quality management DIN EN ISO 9001: 2015 is relevant internationally and across all industries for companies of all sizes and must be implemented since 14 September 2018. For companies, this means that they must have all certifications that were created according to the old standard (DIN EN ISO 9001: 2008) renewed if they are to remain valid. With the revised standard, companies are faced with a number of decisive innovations and tightenings: Top management now has personal responsibility for quality management. Among other things, the new standard requires comprehensive process management. This also includes that expected results of the processes are determined in advance. Whether the results are achieved is checked in the audits, among other things.

DIN EN ISO 9001: 2015 focuses on the interaction between people and processes

"The problem is that in many places the new standard only says what has to be done, but does not explain how. This is where we come in with our process optimization through TransferCoaching. We take a close look at the processes within the company and see how we can optimize and stabilize them. In doing so, we also actively get the employees involved on board so that they become the basis of the change. Because only if they can identify with the process, they will live it in their daily work. And it is precisely this - the practical implementation - that is checked during the audits for QM certification," explains Marcus Reinert, trainer and owner of reinert & friends.

What is special about the transfer-proof concept from reinert & friends is that the focus is not only on the process, but above all on the person, i.e. the employee involved in the process. "Only people and process in perfect interaction result in success. That's why we carry out the process analysis together with all the employees involved and, based on this, work out an appropriate process design together with them," says Reinert. The entire process is controlled and supervised by process specialist Bernd Kühme.

Four-stage implementation

Process optimization with TransferCoaching is carried out in four steps. In the first step, the corporate strategy is transferred into a production and logistics strategy. This also takes into account DIN EN ISO 9001: 2015. It requires that quality management be integrated into the strategic orientation of the organization or company in the future. In a second step, the process specialist analyzes the processes in the company together with the employees concerned. Based on this, the respective processes are adapted and optimized in the third step. The jointly developed measures are recorded in a corresponding catalogue of measures. In the fourth stage of the process, so-called transfer specialists check that the employees also implement the newly developed measures in practice. They accompany the employees in their daily work, whether at the customer or in employee meetings, and give open, non-judgmental and constructive feedback to those involved in the process. In doing so, the transfer assurer adheres to the previously agreed observation corridors. In this way, errors are quickly identified and improved, and relapse into old patterns is prevented. "With TransferCoaching, we start exactly where it usually gets tricky: in the lived, daily practice," Reinert emphasizes.

Multiple benefits

For companies, process optimisation with TransferCoaching should be worthwhile in several respects, promises Reinert. Due to the practice-oriented approach, the concept sustainably secures the quality in the company, which is decisive for the certification according to the new quality management standard DIN EN ISO 9001: 2015. In addition, the new concept from reinert & friends saves time and money. This is because those involved in the process are involved in the analysis and process design from day one. This avoids the need for time-consuming and expensive training courses afterwards. The early involvement of the employees and their resulting high level of identification with the process also increases the implementation rate in practice. And last but not least: The transfer coaching integrated as part of the concept ensures practical know-how and thus sustainable learning success.

Further information: Reinert & friends

The Swiss Safety Center AG is a company of the SVTI Group and thus part of the competence center for technical safety and risk management. Within this framework, the Swiss Safety Center offers a comprehensive range of services for industry, trade and commerce. Since 1 September, France Hammel has been the new head of the company's branch in Neuchâtel.

As a health and safety engineer and fire protection specialist with many years of professional experience, France Hammel will play an important role in the further expansion of the Swiss Safety Center's activities in the French-speaking part of Switzerland. In her new function as head of the Neuchâtel branch, Ms Hammel is looking forward to offering her customers a comprehensive portfolio of services from a single source with a powerful and competent team.

www.safetycenter.ch

The management consultancy Kudernatsch Consulting & Solutions from Straßlach near Munich has prepared a study entitled "Maturity of Strategy Implementation in Companies". Among other things, the study shows how those responsible currently assess the current situation in the area of strategy implementation in their companies and where they still see potential for optimization. For the study, 137 top decision-makers in companies who are (jointly) responsible for strategy work were surveyed.

The study revealed that when it comes to managing day-to-day business, most companies have developed a high level of professionalism in terms of (further) developing and implementing their strategy. However, the respondents still see a need for optimisation or potential for optimisation in strategy implementation in the following areas

• the strategic goalsThe result is a company that requires a high degree of change - be it at the cultural, structural or process level,
• the Targets with "breakthrough character", that require significant changes at the culture, structure or process level and take the company out of its comfort zone,
• the horizontal coordination of objectives - e.g. between the divisions and departments, which because the structures in the companies are becoming more and more networked and the core services are increasingly provided in cross-divisional team and project work is gaining in importance,
• the Design of the reviews the degree of implementation of target achievement, so that in the event of deviations from the plan, a defined process for root cause analysis and systematic learning takes place,
• of the organizational Anchoring the implementation of the strategyso that the strategy implementation process is systematically driven forward at the personal and organisational level, and
• the Qualification and support of managersThis ensures that they not only fulfil their mediating function in translating and cascading, i.e. breaking down the objectives, but also professionally fulfil their various roles - such as manager, coach and learning facilitator - in the change process in relation to their employees.

Interested persons and organizations can request the study "Maturity of Strategy Implementation in Companies" free of charge from the management consultancy KUDERNATSCH Consulting & Solutions (Mail: info@kudernatsch.com).

Allianz Group is acquiring the legal protection subsidiary DAS Switzerland and the legal protection insurance portfolios of DAS Luxembourg and Slovakia from the German insurance group ERGO Group AG. Through the acquisition, Allianz Suisse will strengthen its competitive position and become one of the three largest providers in the Swiss market for legal expenses insurance. Premium income of the three ERGO subsidiaries amounted to approximately 38 million euros in 2016. The transaction is subject to approval by the regulatory authorities. The parties have agreed not to disclose financial details of the transaction.

Attractive market

With a premium volume of around CHF 550 million and a growth rate of 5.3 percent in 2016 alone, the market for legal protection insurance in Switzerland is very attractive. Through the acquisition of DAS Schweiz, Allianz Suisse and its subsidiary CAP are taking on a leading role in the market and underpinning their growth ambitions: CAP is currently No. 4 in the Swiss market for legal protection insurance with an annual premium volume of around CHF 70 million, while DAS Switzerland is No. 8 with a premium volume of around CHF 34 million.

Exploit growth opportunities

"With this merger, we want to take advantage of growth opportunities in the non-life business and further strengthen our competitive position. This creates the best conditions for our customers and puts us in an excellent position in this growth market," Severin Moser, CEO of Allianz Suisse, is convinced. The transaction is expected to close in early April, subject to regulatory approval. Details on the employment and distribution structure as well as the brand identity will be communicated in the coming weeks following the conclusion of discussions with DAS Switzerland.

Subject to the fulfilment of the agreed conditions, the transaction will see ERGO's legal expenses insurance branch in Slovakia taken over by Allianz's Slovakian subsidiary, while DAS Luxembourg's legal expenses portfolio will be transferred to its subsidiary Allianz Benelux in Luxembourg.

Source

The essence of an excellent organization includes an equally excellent quality assurance. But even this does not protect against negative customer feedback. It is probably only in the quality of the complaint management that the operational excellence of the departments responsible for it becomes apparent. Cold coffee, you mean? Not at all, according to management consultant Zehra Sirin. With "The 5 Star Strategy" she has written a book about complaint management in the online age. Negative customer feedback is more common today than is generally assumed. After all, online reviews are written quickly and are becoming increasingly important, especially since many companies even invite their customers to comment on the service they have experienced via their online presence.

Complaint management: Five steps to five stars

The book provides a wealth of practical tips on how companies can establish a functioning complaints management system. Each chapter has a star, i.e. the reader or the company can earn an additional star for each chapter implemented. This royal road begins with the development and choice of a complaint strategy, leads over complaint treatment and - evaluation finally up to the 5-star strategy, which culminates in a customer relations management on basis of customer complaints and on-line tools. The author provides an introduction to the basics of complaint management and points out in particular "the direct connection between customer satisfaction/orientation and customer complaints", as she writes in the preface.

Practical manual

The strengths of the book lie not only in the high practical relevance, but also in the solid theoretical foundation. The most diverse CIP tools for application in complaint management are presented in equal measure and practical instructions for action are derived from them. Checklists round off each chapter, so that readers can check for themselves at the end of a chapter how close they are to obtaining an additional star and what still needs to be done. In an appendix, sample templates (e.g. a simple 8D report), an ISO 10002 guide and a useful glossary are also presented. Graphics and some real-world examples serve as additional explanations. However, a few more best-practice examples could perhaps provide further illustrative material for one or the other reader.

Via good customer relations to higher business excellence

The book is more than just reading. As a practical guide, it is intended above all for those groups of people who want to take systematic complaint management in their company into their own hands. These can be those responsible for quality management, employees with customer contact and, last but not least, managers who see complaint management as an instrument for corporate management.

Zehra Sirin: The 5 Star Strategy. Excellent complaint management in times of online reviews.
Redline publishing house Munich, 2017. 248 pages, hardcover.
ISBN 978-3-86881-641-9

"Inflation in the West is noticeably back," says Thomas Gruhle, compensation expert at Korn Ferry Hay Group. "Companies have not raised salaries less in nominal terms than in previous years. Demonetization already ate up much of those gains in 2017 and will continue to do so in 2018." And so nominal salary increases are 2.3 percent in Western Europe, 2.5 percent in Australia and as high as 2.8 percent in North America. In the Middle East, inflation is expected to average 2.9 percent. This means that only 0.9 percent of the nominal wage increase of 3.8 percent will remain. Thomas Gruhle says: "The exorbitant price increases in real estate, stocks and commodities are only marginally considered in the calculation of inflation. For young people in the West, it is therefore becoming increasingly difficult with these rates of increase to build up assets in the long term."

Real wages fall in the United Kingdom and Finland

UK residents will have 0.5 percent less in their wallets in 2018, while Finns will have 0.2 percent less. Thomas Gruhle says: "In both countries, companies plan to raise nominal wages only very slightly." In the UK by 2.0 percent, in Finland only by 1.0 percent. "Inflation is doing its bit to turn the wage increase into a de facto real wage decrease." The smallest real increases are in Denmark (0.1 percent), Sweden (0.2 percent) and France, Norway and Portugal (0.7 percent each). The strongest increases in Western Europe are expected for Cyprus (2.4 percent), Ireland (2.0 percent) and Italy (1.8 percent).

In Eastern Europe, including countries such as Russia and Ukraine, the situation is a bit better. While many countries are struggling with even higher inflation than the West, companies want to raise nominal wages by an average of 6.0 percent. This leaves people in the East with 1.4 percent in real terms after deducting inflation. The winners are Azerbaijan (4.8 percent), Ukraine (4.4 percent) and Russia (3.0 percent). "But EU members in the East also have better forecasts than in the West," says Thomas Gruhle. Real purchasing power will increase by 2.5 percent in Romania, 2.2 percent in Lithuania, 1.9 percent in the Czech Republic and 1.8 percent in Bulgaria.

Asia loses compared to previous year, Latin America gains

 2.8 percent real wage increases are planned in Asia. Companies are planning an average increase of 5.4 percent in nominal salaries. "Salary increases in Asia remain well above those in the West," says Thomas Gruhle. "Qualified labor is becoming harder to find, especially in emerging and newly industrialized countries, and thus considerably more expensive." Indian companies, for example, are increasing their salaries by a nominal 9.0 percent (real wage increase: 4.7 percent). In Vietnam, a nominal increase of 8.6 percent is expected (real: 4.6 percent), in China by 6.0 percent (real: 4.2 percent) and in Thailand by 5.5 percent (real: 4.5 percent). Thomas Gruhle says: "Inflation in some parts of Asia is lower than in the West - and where it is not, companies are compensating with significant nominal wage increases."

Economically fragile Argentina is expected to achieve the largest real wage increases in Latin America at 7.3 percent (nominal: 21.9 percent), followed by Ecuador at 4.4 percent (nominal: 5.0 percent) and Brazil at 3.3 percent (nominal: 7.3 percent). If we exclude Venezuela, which is difficult to assess, wage increases in Latin America will be 6.2 percent in nominal terms and 2.1 percent in real terms. Thomas Gruhle says: "If we compare Asia and Latin America with last year's figures, we get an interesting picture. In which Asia is losing significantly this year and the Americas South is gaining significantly." This is because the forecasts for 2017 in Asia were 4.3 percent in real terms, while in Latin America they were only 1.1 percent.

Salaries in Africa with highest nominal growth worldwide

A positive development is also discernible for Africa. The forecast nominal growth in wages is 8.5 percent, leaving 1.7 percent in real terms. "Inflation will indeed pick up significantly in 2018," says Thomas Gruhle. "But companies in Africa are planning to increase nominal wages the most in the world. This is an impressive demonstration of the will for economic growth and prosperity."

Income growth will be strongest in Ghana (real: 5.9 percent, nominal: 15.6 percent), Zambia (real: 5.4 percent, nominal: 12.3 percent) and Mozambique (real: 3.5 percent, nominal: 10.0 percent). In Nigeria, on the other hand, people will have less money to spend on consumption despite a nominal increase of 10.8 percent -3.2 percent in real terms. "Nigerians are the losers in 2018 salary increases in sub-Saharan Africa due to above-average inflation despite the economic strength of the location," says Thomas Gruhle. Above the Sahara, Egypt is the loser with a minus of -3.8 percent (nominal increase: 15.0 percent).

Source and further information: www.kornferry.com

On 1 January 2018, the new international accounting standards on IFRS 9-Financial Instruments came into force. According to these standards, listed companies must recognise allowances for trade receivables on a forward-looking basis instead of on the basis of past experience as was previously the case. With "EH SmartReserve", Euler Hermes offers a service that reliably calculates the "expected credit loss" of a company and its subsidiaries in Germany and abroad. The results are based on a calculation methodology certified in accordance with international standards (International Standard for Assurance Engagements, IFRS Valuation of Receivables - Smart Reserve "IFRS Receivables Valuation").

"The analysis of default probabilities for corporate loans is our core competence," says Stefan Ruf, CEO of Euler Hermes Switzerland. "For companies with other business focuses, the implementation of the IFRS 9 rules is associated with high costs if the necessary research for a robust forecast has to be built up first. With EH SmartReserve, we can provide such companies with a certified calculation based on our data without them having to spend their own resources."

The framework conditions for companies change when companies back their open receivables with forward-looking default probabilities under the new regulations. "Business activities in countries or in industries with above-average volatility in particular can quickly drive up the hedging requirement on balance sheets and then impact equity, company earnings or dividend payments," explains Ruf. "That's why a systematic, consistent and continuous calculation model is critical to accounting for realistic impairments and meeting accounting standards. And to do so without any nasty surprises at the end."

The EH SmartReserve calculation models are based on the extensive information provided by Euler Hermes. They comply with IFRS accounting standards and connect to the respective internal control systems of group accounting. The cost of the service varies according to the respective company set-up and needs.

Further information: www.eulerhermes.ch

Every year, the management consultancy Inverto investigates how companies assess the development of commodity prices and the supply situation and what measures they apply to hedge against these risks. Once again, over 90 managing directors, board members and purchasing managers from Germany, Austria and Switzerland were surveyed. The study was conducted for the eighth time in 2017.

Raw material supply facing bottlenecks?

Three quarters of the participants in the current raw materials study expect an increase in the cost of raw materials. In addition, the reduced availability of raw materials is also the main external factor influencing business results this year. Only 10 percent of the participants do not anticipate any current or future problems with the supply of raw materials - in 2016, this figure was still 25 percent. The situation is seen as particularly problematic for traditional industrial raw materials such as metals, plastics and chemicals, which are highly relevant for 81 percent of companies. Uncertainty about the development of raw material prices is also reflected in the way contracts are drawn up. Companies primarily try to secure fixed prices, but the time periods accepted by suppliers continue to become shorter. Purchasing on the spot market is used significantly less compared to the previous year.

Alternative procurement markets to secure demand

The majority of the study participants see a threat to raw material purchasing due to trade restrictions. 56 percent expect bottlenecks in the supply of raw materials and the associated price increases. Only one third purchase raw materials within the EU and therefore do not fear any threat to their own raw material purchases. Above all, 52 percent of the participants expect restrictions from China - where almost 80 percent of the respondents source raw materials. In addition, trade restrictions are expected from Russia (48 percent), the USA (41 percent) and Turkey (34 percent). More than 80 percent of the participants are trying to protect themselves against the risks by relocating or partially relocating to alternative procurement markets. In addition, companies are reacting to protectionism by changing suppliers (58 percent) and examining alternative raw materials (42 percent).

Companies do not exploit the potential of digitalization

The topic of digitalization is increasingly playing a role in raw materials purchasing and management, but the opportunities are not yet being fully exploited. Although 42 percent of the companies surveyed consider the use of business intelligence tools to be sensible, they are only used by one fifth. At the same time, 40 percent of companies have been able to optimize their manufacturing processes in terms of material efficiency thanks to digitalization. On the other hand, more than half still believe that digitalization will have no influence on their own raw material requirements.

Source and further information: www.inverto.com

As of 1 January 2018, Swiss TS Technical Services Ltd, IWT Institut für Werkstofftechnologie AG and Swissi AG (formerly "Safety Institute") have been merged into the new Swiss Safety Center Ltd, which is wholly owned by the SVTI Group. For clients and business partners, this means that in future they will have access to an even broader range of services from a single source in the fields of technical safety and risk management, such as

• Certification of management systems, products and persons
• Plant safety, assembly conformity, functional safety 4.0
• Safety calculations, simulations, model calculations
• Fire protection, occupational safety, health protection, operational environmental protection
• integral risk management
• Stationary and mobile materials technology
• destructive and non-destructive testing, damage analysis

The already extensive training activities will also be further expanded.

As of 1 January 2018, all rights and obligations of Swiss TS, Swissi and IWT will be transferred to Swiss Safety Center AG. The CEO of Swiss Safety Center AG is Dr Raffael Schubiger (picture).

As a company of the SVTI Group, Swiss Safety Center Ltd is part of the competence center for technical safety and risk management. Within this framework, the Swiss Safety Center offers a comprehensive range of services for industry, trade and commerce. These include tests, approvals and inspections in the areas of pressure equipment, welding technology and hazardous goods, as well as conformity assessments. Other services include CE markings and certifications, assessments, expert opinions and specialist training and further education.

The Swiss Safety Center also has recognised expertise in the fields of materials science, metallurgy, materialography and corrosion and prepares damage analyses, expert reports and expert opinions. To this end, the Swiss Safety Center carries out a wide range of non-destructive material tests, either stationary in its own testing laboratory or mobile on site. Loss prevention and fire protection are another focus of the Swiss Safety Center's activities, as well as environmental and occupational safety, health protection, security and risk management in particular.

The Swiss Saftey Center maintains close cooperation with experts in a wide range of specialist fields, is actively involved in standards committees and is closely networked internationally, for example through SVTI's membership of the VdTÜV.

Further information can be found at www.safetycenter.ch.

Leading people and organizations - this task already had dignitaries in ancient times; regardless of whether they were "leaders" in the service of the Egyptian pharaohs or Roman emperors, for example. Religious leaders also faced this challenge - for example, those of the Catholic Church. For after the Christian faith became the Roman state religion in the year 380, the Church developed into such a large and powerful organization that it can be compared to a multinational company with many subsidiaries, with its numerous bishoprics, orders and monasteries.

Seven deadly sins that are still relevant today

A relevant question for the decision-makers in the church was thus: According to which principles do we lead our organization? And: How should their "leaders" behave? For it was clear to them: If our ministers misbehave and do not give behavioral guidance to their staff, our organization will fall apart.

Pope Gregory I also dealt with this topic and formulated the "Catalogue of Vices" at the end of the 6th century. In it he lists 7 root sins, which are often mistakenly called mortal sins. They describe attitudes and behaviours that lead to misbehaviour and thus to undesirable developments. These 7 root sins are still relevant today. Managers who are true leaders intuitively avoid them.

Root sin 1: Superbia (arrogance, glory-seeking, pride)

For Gregory I this was the most serious sin. For it was for him the expression of a self-centeredness. That is, the arrogant person no longer sees himself as part of a greater whole. He feels superior to those around him and indulges in fantasies of omnipotence. "I can do anything - control, dominate, do." The arrogant person lacks humility: he is no longer aware of his dependence on others and his limitations.

Even managers are not immune to arrogance - especially if they have often demonstrated their excellence and achieved above-average results. If they live in an ivory tower and are surrounded only by admirers and "courtiers", there is a danger that they will lose touch with reality. Then failure is foreseeable. Because, as we all know, pride comes before a fall.

Prevention:

• Surround yourself with people with backbone who will give you honest feedback.
• At times, consciously move into milieus where your professional status counts for little.

Root sin 2: Avaritia (avarice, greed, avarice)

"The main thing is to win," "The main thing is to do well and get ahead." He who thinks and acts only in such categories and always tries to get the best for himself becomes lonely. He finds neither friends nor allies - except those who make a temporal pact with him in order to pull him over the table at the first opportunity. Just as the greedy man would do in his turn.

For greedy people, contracts, promises, relationships only have value as long as they profit from them. Their fellow men sense this. So they don't develop trust with them. That's why, when push comes to shove, greedy people stand alone. No one backs them up - except a few paid lawyers.

Many a manager is threatened by "Avaritia". Because if you want to get to the top, you have to have a certain bite, i.e. ambition. Many an organization has also been gripped by avaritia. The result: customers are duped, suppliers and employees squeezed like lemons. The result: disloyal customers, suppliers and employees, from which success suffers, at least in the long term.

Prevention:

• Realize how important reliable partners are for achieving (life) goals.
• Remember once in a while: being (and living) is more than having.

Root Sin 3: Luxuria (waste, debauchery)

What is really important to our boss? The success of the company? Or is it rather his own elevator and chauffeur? Or good press? (Not only) employees have a fine nose for such things. They sense exactly when the boss is really concerned with the big picture and when he primarily wants to satisfy his ego.

Accordingly, business leaders should be careful about enjoying their personal success - publicly. For example, by ostentatiously adorning themselves with the insignia of power and status symbols. Because by doing so, they send the wrong signals to their employees. Those who bask in the glow of success with too much self-absorption also create a lot of envious people - envious people who wait for "missteps" to then publicly denounce and exploit them. Many an "ex-manager of the year" can sing a song about this.

Managers, as representatives of their companies, should also always keep the right balance when it comes to enjoyment. After all, everything they do is ultimately identified with their companies - regardless of whether this happens inside or outside the company walls.

Prevention:

• Ask yourself regularly: How do my actions affect those around me?
• Remember, modesty is also a virtue.

Root Sin 4: Ira (Anger, Rage, Retaliation)

The outbursts of rage of some "alpha dogs" at the top of the company when something displeases them are almost legendary. And some enjoy "dissecting" subordinates or weaker people with words in front of an audience.

Only masochists like to work with "sadistic despots". Self-confident employees either turn their backs on their own initiative or they are "fired" - because they dared to speak openly. The result: The Ira-plagued company leader is at some point surrounded only by "kippers" whose entire thinking and actions are aimed at pleasing the "master". In other words, the boss becomes an isolated patriarch to whom only selected and often embellished information reaches. This reduces his power of judgement and increases the danger of wrong decisions - which are gleefully registered by the teased "partners" and "subordinates".

Prevention:

• If you feel angry, sleep on it first, instead of giving "partners" spontaneous, possibly hurtful feedback.
• Remember, one wrong word in the wrong place at the wrong time has destroyed many a long-term relationship.

Root sin 5: Gula (gluttony, gluttony, intemperance)

"No pain, no gain" - "No pain, no gain". Almost all managers have internalized this maxim. Therefore, there is a danger that at some point their lives will revolve only around work, while other areas of life wither away. This shortcoming is also felt by those affected. So they have to compensate - for example with drugs like alcohol. Or with tablets that help to bear the stress. Or with the search for the ultimate kick - be it in some affairs or other adventures that give the sufferers the feeling: I'm still alive.

But unfortunately, this is usually associated with little enjoyment, because: Enjoyment requires time. Accordingly, things quickly lose their appeal. So the "dose" must be increased in order to still feel something. Thus begins a vicious circle purchase, which often ends in a breakdown or in a cynical attitude to life.

Prevention:

• Listen to the warnings of friends and relatives.
• Allow yourself some time out now and then to ask yourself: Am I still on the right path in life?

Root Sin 6: Invidia (Envy, Jealousy)

To compete with others and to emulate them - this seems to be a central driving force of human beings (... and this is also the basis of the market economy).

However, this creative drive becomes destructive when it results in the maxim: I must always be the best, the greatest, the most successful. For then jealousy and envy grow out of this. In other words, the other person's success is not grudged because it apparently calls one's own into question. So the success of the other person must either be destroyed or relativized, i.e. diminished, so that it does not eat away at one's own ego. This makes it impossible to learn from the other and possibly forge an alliance with him from which all parties benefit. Envy destroys any form of cooperation.

Prevention:

• Be aware of your own successes instead of always staring at the successes of others.
• Allow other people and organizations their success too. Because they have earned it too.

Root Sin 7: Acedia (Sluggishness of the Heart and Mind)

In contrast to Gregory I, today I would see the acedia as the "gravest sin". For whoever suffers from a sluggishness of heart and mind, ultimately does not care about anything. That is, for lack of curiosity and interest, he no longer perceives much in his environment. And if he does? Then it triggers no emotions in him: neither joy, nor anger, neither curiosity, nor motivation. So there is no reason for him to think about what is happening around him and what is changing there. And certainly he does not see in it any reason to question his own thoughts and actions. The consequence of this laziness of thinking: The "sufferer" does not develop further, which is why at some point she gropes through life (and the corporate landscape) like a fossil from the past.

People and organizations suffering from acedia suffocate over time in their routines of thought and action. Even if they were once at the top, they increasingly slide into mediocrity - often without registering this. For lack of curiosity, they hardly communicate with their environment anymore.

Prevention:

• Go through life with your eyes open.
• Seek out targeted conversations with people who (want to) make a difference - be it in the field of culture, technology or business.The root sins are ultimately basic principles for a balanced life and for avoiding too much ego-centricity - something that would do many leaders good. Perhaps a new (old) contribution to the current discussion on the topic of "leadership in the digital age"?

About the author: Dr. Georg Kraus is managing partner of the management consultancy Dr. Kraus & Partner, Bruchsal. He holds a degree in industrial engineering and a doctorate in project management from the TH Karlsruhe. He is a lecturer at the University of Karlsruhe, the IAE in Aix-en-provence and the Technical University of Clausthal.