I too have read several posts in the pred/pest forum that talk about this method. I think it could possibly work if done correctly with the right type of dog.
For one thing, no you wouldn't tie the chicken where the dog could eat it, because the dog WILL eat it. If you tied it around behind the neck, or so close to the neck the dog couldn't get it, then viola, no eating problem
I think another component to this working is time period. Just a day is not enough to gross out your dog. And yes they DO roll in carcasses, but I think it's a lot like the difference between wearing your favorite perfume dabbed on your neck, and emptying a bottle into you hair and not washing it off for a week. You WILL hate that perfume afterwards.
The last and probably biggest factor is your dog's breed and temperament. If you have a dog bred for hunting, you can't combat centuries of human genetic tinkering with just a week. Prey is all those dogs think about. If your dog is just playful and doesn't have a high prey drive, you betcha that they'll figure out chickens arn't fun, and say 'to heck with this'.
On the Poodle note, they are known for being hard to train (too high of intelligence and love to challenge authority). Plus as another poster pointed out, it's actually supposed to be a hunting dog. I wouldn't even bother with trying to train one away from your chickens. Just keep it away from them.
Also, I do not recommend beating your dog under any circumstances. I intensely dislike dogs myself (was mauled by one as a child), and have made a study of their behavior because I never want to be attacked again. Even so, I would never beat a dog other than to save my life during an attack. Beating dogs just gives them personality disorders, which leads to worse behavior patterns.