How to identify the real blocking lock

Hello,

I hope someone can help me here.

I am a dba, not a developer.  We need to identify a problem with a blocking lock.  I have try using profiler to capture blocking and also use master..sysprocesses to identify a blocking process.

However, all I see are SELECT statement blockiing another SELECT statement.  As we all know SELECT statement does not block another SELECT statement.

To test this, I create a simple scenario:

In session # 1:

--create table and populate with data

select	1 as id,
		'Jan' as name
into	employee



--update the table without committing

begin transaction
  update employee
  set  name='Jin'
  where id=1

--see the updated employee while still uncommitted

select *
from   employee

Now go to another sesssion

--session # 2

select *

from	 employee

Now seesion 1 and blocking session 2.  However, in profiler blocking report, it showed that SELECT * from employee is blocking SELECT * from Employee, but the real problem is UPDATE is blocking SELECT. 

Assuming that I don't know anything about this transaction, how to I find out what the real blocking lock.

Here is the blocking report from profiler:

<blocked-process-report>
 <blocked-process>
  <process id="process4bcae08" taskpriority="0" logused="0" waitresource="RID: 8:1:103775:0" waittime="5543" ownerId="670327" transactionname="SELECT" lasttranstarted="2012-10-02T11:15:35.397" XDES="0x80035920" lockMode="S" schedulerid="2" kpid="3500" status="suspended" spid="58" sbid="0" ecid="0" priority="0" trancount="0" lastbatchstarted="2012-10-02T11:15:35.397" lastbatchcompleted="2012-10-02T11:15:26.697" clientapp="Microsoft SQL Server Management Studio - Query" hostname="4_TEST" hostpid="5964" loginname="domain\chao" isolationlevel="read committed (2)" xactid="670327" currentdb="8" lockTimeout="4294967295" clientoption1="671090784" clientoption2="390200">
   <executionStack>
    <frame line="1" sqlhandle="0x02000000b65d8e2dbd659adf5f93b5202725d362763c43c3"/>
   </executionStack>
   <inputbuf>
select * from employee   </inputbuf>
  </process>
 </blocked-process>
 <blocking-process>
  <process status="sleeping" spid="62" sbid="0" ecid="0" priority="0" trancount="1" lastbatchstarted="2012-10-02T11:15:22.883" lastbatchcompleted="2012-10-02T11:15:22.883" clientapp="Microsoft SQL Server Management Studio - Query" hostname="4_TEST" hostpid="5964" loginname="domain\chao" isolationlevel="read committed (2)" xactid="667145" currentdb="8" lockTimeout="4294967295" clientoption1="671090784" clientoption2="390200">
   <executionStack/>
   <inputbuf>
select *
from employee   </inputbuf>
  </process>
 </blocking-process>
</blocked-process-report>

Thank you for any assistance!