Glenn should tell you exactly what Arthur did in Venezuela but here's a word of advice;
Lydiard "evolved" into recommending 3 different exercises using hills; (1) steep hill running to mainly strengthen knee lift, (2) hill bounding to emphasize back leg extention and (3) hill springing to strengthen ankle flexibility. Depending on the event you're training for as well as your own strengths and weaknesses, you should pick one or mix these exercises. For (1) and (3), you should not skip steps and use every step because the forward momentum will be slow and each step would be short. For (2) you should "reach out" like, as Arthur always said, "a deer going over the fence"; so you should skip 2 or 3 steps. Bear in mind, this (hill bounding) can be quite highly anaerobically demanding.
The length of the circuit and the duration of the workout is irrelevant; you should always do as much as you think you can manage without damaging the next day's workout and progress gradually. In the case of Toni Hodgkinson, coached by John Davies to the surprise finalist in the women's 800m in 1996 Atlanta Olympics, she did four weeks of hill training to "bound up the hill with exaggerated knee lift" and stride down. Initially, it took her 3:15 for a circuit and did it 8 times. By the end of four weeks, she was doing it in 2:45 (though the time of the lap is irrelevant) 10 times. She was doing it every weekday.
Nobby (and everyone else),
Please correct me if I'm wrong, but from earlier references in this thread, I assumed that #2 (hill bounding) was kind of like bounding for distance, but not using the typical American skipping motion of landing on the same foot you take off on. Instead, landing on the opposing foot. I use your example of a "deer jumping over a fence" and kind of hanging for just a brief second in mid-air.
The #3 (hill springing) I've described to my kids as bounding for height instead of distance. Really exaggerating and emphasizing that rear ankle 'flick,' but again landing on the opposite foot that you take off with, not skipping.
The #1 (steep hill running) I just tell the kids to exaggerate high knees with a light forward thrust in their hips and this I've always done as high knee running, no bounding or skipping involved.
I also usually have a transition period where I have my athletes do these on a flat, grassy surface to try and get the form correct before we go into actually using them on the hills, although we incorporate hills throughout all of our training phases because the main park we train in has several.
Feel free to chime in, everyone, on whether or not I'm explaining these correctly. I guess my main thing I I always thought #2 (hill bounding) wasn't skipping, but rather landing on the opposite foot you take off of.