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EDUCATION AS A BUSINESS STRATEGY: Venezuela’s PDVSA 

By Marisol Pulgar, Leadership Development Program, 
International Center for Education and Development, PDVSA

From the Wharton Leadership Digest, November, 2001

Petróleos de Venezuela, PDVSA, is one of the largest oil producing companies in the world. To help attain its mission in a highly competitive environment, PDVSA has developed an educational strategy that is implemented through the Centro Internacional de Educación y Desarrollo (CIED) – the International Center for Education and Development – the company’s corporate university. 

CIED has developed an educational program for high potential personnel.  The program – “Educational Proposal to Leverage Organizational Alignment Processes” (“Propuesta Educativa para Apalancar Procesos de Alineación Organizacional”– aims to create a learning environment that allows fast learners the opportunity to acquire knowledge and know-how and to provide them with opportunities to test and experience directly what they have learned, emphasizing their ability to quickly use the acquired tools. Through action learning, the program is intended to develop and focus the company’s intellectual capital around its business strategy, and ultimately to help its  business units remain competitive in a more challenging market.   

The PDVSA Gas Human Capital Development Program provides an example of the model’s application.  This business unit has been assigned more complex and demanding responsibilities, and consequently its management ranks required a more market-driven approach to its business.  Accordingly, the training program has emphasized the mastery of basic tools for managing a more commercial enterprise, including strategy, finance, marketing, and trading.   

The program has been designed to 1) build effective interpersonal skills, team awareness, and active listening; 2) develop a strategic view of the gas industry worldwide and PDVSA’s positioning within it, 3) create more flexible ways of thinking and faster and more efficient ways of learning; and 4) improve self-awareness and a willingness to make commitments and take responsibility.   

This program brings together high-level managers and specialized senior advisors from all work divisions and geographic regions of the PDVSA Gas Business.  The first management group that opened the program in October, 2000 averaged 37 years of age and 12 years work experience in the organization.  The group underwent 230 hours of training, including monthly classroom meetings, distance learning in between, and an action project whose results were due at the end.  The program encouraged participants to apply their new knowledge and skills along the way.  

The main lessons from the program include:  

o A key success factor is obtaining top management commitment, shown by its approval of the required resources, support of the administrative guidelines, and the attention to the follow-up indicators.   

o It is critical to focus in detail on designing the educational program to serve precisely what a business unit such as PDVSA Gas wants, and for this it is essential for the central training staff at CIED to work closely with the business unit staff.   

o It is important to provide participants with personal learning objectives and on-the-job mentoring and training during the program. 

Note: Marisol Pulgar is a consultant to PDVSA’s Leadership Development program, and she can be reached at pulgarms@pdvsa.com.  Information on PDVSA can be found at http://www.pdvsa.pdv.com/english/home_page_en.html

 
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