GOALS – ENGAGEMENT – ACCOUNTABILITY – RESULTS: GETTING IN GEAR FOR EMPLOYEE PERFORMANCE MANAGEMENTAfter discussing the full scope of our recommendations, the group decided upon the Goals-Engagement-Accountability-Results (GEAR) model as a way to describe our philosophy. It is important to understand that the recommendations found in this report are not sequential steps. Instead, they are a set of interrelated processes that will improve employee and organizational performance. The workgroup believes that every successful organization must have clear, aligned goals, engaged employees and supervisors, and accountability for every employee at every level. These elements combine to produce results.EMPLOYEE PERFORMANCE MANAGEMENT WORKGROUPEPMW_2fd200ea-1d2b-11e2-b24a-9779c7ccd5b7Beginning in late May 2011, workgroup members representing various Federal agencies, labor unions, and management organizations from the LMR Council and the CHCO Council discussed ways to strengthen the existing system of employee performance management. The group members consistently asked, What will make this effort different than previous attempts? National Council on Federal Labor-Management RelationsPresident Obama created the National Council on Federal Labor-Management Relations (LMR Council) as “[a] nonadversarial forum for managers, employees, and employees’ union representatives to discuss Government operations [that] will promote satisfactory labor relations and improve the productivity and effectiveness of the Federal Government.” Office of Personnel Management (OPM) Director John Berry and Office of Management and Budget (OMB) Deputy Director for Management Jeffrey Zients co-chair the LMR Council. At the LMR Council’s April 2011 meeting, they raised the prospect of the Council, in conjunction with the Chief Human Capital Officers Council (CHCO Council), examining the Federal Government’s performance management accountability framework and making recommendations for improvements.Chief Operating Officers (COO)The workgroup realized that to be successful, the organizational performance processes typically managed by the Chief Operating Officer (COO), Performance Improvement Officer (PIO), and the Chief Financial Officer (CFO) must be brought together with the individual performance management processes that are heavily influenced by employee and labor relations and led by the Chief Human Capital Officer in consultation with the Chief Learning Officer (CLO), or equivalent, and individual supervisors.Performance Improvement Officers (PIO)Chief Financial Officers (CFO)Chief Human Capital Officers (CHCO)Chief Learning Officers (CLO)_2fd203b0-1d2b-11e2-b24a-9779c7ccd5b7To address the cultural challenges associated with systemic problem of improving the federal performance management system_2fd20540-1d2b-11e2-b24a-9779c7ccd5b7Clear ExpectationsThe workgroup made remarkable progress by agreeing to set aside the mechanical elements of the employee performance appraisal system, such as rating levels and awards, to focus on the relational elements that make any system useful, such as clear expectations, frequent formal and informal feedback, and reliable, impartial treatment for good and bad performance.Feedback... frequent formal and informal feedback ...Reliable Treatment... reliable, impartial treatment for good and bad performance.Impartial TreatmentHigh PerformanceTo create high-performing organizations that are aligned, accountable, and focused on results, the workgroup recommends agencies take on the following goals.Alignment Accountability ResultsArticulationArticulate a High-Performance Culture_2fd20608-1d2b-11e2-b24a-9779c7ccd5b71Require all agencies to identify and articulate their desired agency culture, and focus on employee engagement, development, performance, accountability, and how that culture fits in with Government-wide performance improvement._2fd206e4-1d2b-11e2-b24a-9779c7ccd5b7AlignmentAlign Employee Performance Management with Organizational Performance Management_2fd207ac-1d2b-11e2-b24a-9779c7ccd5b72Management BoardDrive ongoing alignment and cascading of established organizational performance objectives down through executive, manager, supervisor, and employee performance goals via an agency’s management board (vest authority with an existing or newly-established board) responsible for improvement of organizational and employee performance._2fd20888-1d2b-11e2-b24a-9779c7ccd5b72.aCoordinationRequire a formal mechanism for internal agency coordination of alignment and accountability for performance management at the organizational and employee levels._2fd20996-1d2b-11e2-b24a-9779c7ccd5b72.bPerformance Management Integration BoardAgencies may choose to establish a new agency Performance Management Integration Board (Appendix C) or vest authority in existing governance processes to implement this mechanism. This will provide oversight of the employee performance management program and inform reviews at the President’s Management Council (PMC) and White House levels.President’s Management Council (PMC)Alignment of employee goals to an agency’s objectives alone will not suffice. Valid methodologies must be used for appraising employee performance. In that regard, caution must be exercised to avoid creating undesirable incentives or unintended consequences when applying metrics to employees. Both Congressional intent and the manner in which agency or programmatic “success” is defined by the Office of Management and Budget must be taken into account. Moreover, when evaluating employee performance, it is important to recognize factors that may be beyond an employee’s control. For programs, as well as employees, this requires a “balanced scorecard” approach rather than the mere mechanical application of measures. For further discussion, see, for example, CRS Report, Obama Administration Agendas for Government Performance: Evaluation and Related Issues for Congress by Clinton T. Brass, January 19, 2011.LinkagesLink organizational performance objectives to employee performance management and appraisal mechanisms._2fd20a7c-1d2b-11e2-b24a-9779c7ccd5b72.cPerformance Management Integration BoardThe Performance Management Integration Board (chaired by the PIO and CHCO) would focus on the importance of linking organizational performance objectives to employee performance management and appraisal mechanisms consistent with the Government Performance and Results Act Modernization Act of 2010 (GPRAMA). In lieu of establishing a new and separate "board," agencies may also ensure that existing PIO and CHCO leadership continuously communicate with each other in order to move their Department or agency forward from merely the alignment of performance goals to the implementation of accountability for performance results. AgenciesAgencies should ensure that the perspectives of employee representatives are incorporated into this alignment mechanism, which may include using existing labor management forums. The views of management associations should inform this process as well to ensure that front-line managers understand and buy into the alignment process. The labor and management representatives can have the most significant impact in fostering a high performance culture and employee engagement.AccountabilityImplement Accountability at All Levels_2fd20b6c-1d2b-11e2-b24a-9779c7ccd5b73Agency LeadersHold agency leaders accountable to the President’s Management Council and the White House Chief of Staff._2fd20d2e-1d2b-11e2-b24a-9779c7ccd5b73.aAgency LeadersAgency leaders will be accountable to the President’s Management Council and the White House Chief of Staff for improvements to organizational performance from the effective use of employee performance management.President’s Management CouncilWhite House Chief of StaffFeedback, Metrics, Perspectives & Best PracticesSeek and encourage engaged feedback that is informed by collective use of metrics, perspectives, and best practices._2fd20e46-1d2b-11e2-b24a-9779c7ccd5b73.bFederal Agency EmployeesAll employees at every level share in the responsibility to actively seek and encourage engaged feedback that is informed by collective use of metrics, perspectives, and best practices.Expectations & ConsequencesEnsure that performance expectations and consequences of poor performance are clearly communicated to all employees and that both employees and supervisors are held accountable for their performance._2fd20f54-1d2b-11e2-b24a-9779c7ccd5b73.cEmployeesSupervisorsConsultative RelationshipsFully utilize agency labor-management forums and the perspectives of management associations where a formal consultative relationship exists._2fd21076-1d2b-11e2-b24a-9779c7ccd5b73.dLabor-Management ForumsManagement AssociationsThird-Level SupervisionImprove third-level supervision (management of supervision) by implementing training on how to manage and evaluate supervision for higher-level managers._2fd2118e-1d2b-11e2-b24a-9779c7ccd5b73.eEngagementCreate a Culture of Engagement_2fd212a6-1d2b-11e2-b24a-9779c7ccd5b74EmployeesSupervisorsImprove employee and supervisor engagement through two-way communication as an integral part of performance management, and foster and require a culture of ongoing feedback via an improved cycle of regular formal progress reviews, informal interactions, and continuous learning for employees at every level on giving, receiving, requesting, and utilizing feedback._2fd213e6-1d2b-11e2-b24a-9779c7ccd5b7SupervisorsImprove the Assessment, Selection, Development and Training of Supervisors_2fd21512-1d2b-11e2-b24a-9779c7ccd5b75SupervisorsSelectionFocus the selection process for supervisors on identifying competencies required for effective performance as a supervisor, including performance management requirements._2fd21648-1d2b-11e2-b24a-9779c7ccd5b75.aPerformance PlansRequire that supervisory performance plans include an element to ensure that all supervisors are given time for and are rated on their exercise of supervisory responsibilities, including timely and effective performance management and feedback._2fd2179c-1d2b-11e2-b24a-9779c7ccd5b75.bTrainingImplement mandatory training for supervisors ..._2fd218e6-1d2b-11e2-b24a-9779c7ccd5b75.cEmployee Performance Management RoadmapProvide training on the Employee Performance Management Roadmap (Appendix A), including employee feedback and engagement._2fd21a30-1d2b-11e2-b24a-9779c7ccd5b75.c.iPIO Delivered TrainingProvide PIO delivered training on agency performance management systems, including Strategic Plan, goals, high priorities, and key performance targets._2fd21ba2-1d2b-11e2-b24a-9779c7ccd5b75.c.iiPIOsFuture LeadersAgencies should also implement programs designed to identify and develop future leaders by making training on supervisory and people management skills broadly available throughout the workforce._2fd21cf6-1d2b-11e2-b24a-9779c7ccd5b75.dFuture LeadersConsultationCarry out these recommendations utilizing agency labor-management forums and include the perspectives of management associations where a formal consultative relationship exists_2fd21e5e-1d2b-11e2-b24a-9779c7ccd5b75.eLabor-Management Forums Management AssociationsThese recommendations should be carried out fully utilizing agency labor-management forums and should also include the perspectives of management associations where a formal consultative relationship exists. [Note: This objective is misdesignated at 5.f in the report, i.e., 5.e is skipped.]2011-11-302012-10-23http://www.lmrcouncil.gov/meetings/handouts/GEAR%20Report%2011-17-2011.pdfOwenAmburOwen.Ambur@verizon.net