An Employee Orientation on Performance Management at HUD

1. U.S. Department of Housing and Urban Development October 2006 An Employee Orientation on Performance Managementat HUD ePerformance Rollout Office of Administration

2. What are the Objectives for this Orientation? • To announce the new ePerformance initiative • To provide an overview of HUD’s performance management systems and to introduce the concepts of a Results-Oriented Performance Culture • To introduce the new ePerformance system and provide an overview of system capabilities and improvements

3. EPPES EPPES PACS PACS EPACS EPACS Rating Cycle October 1 – September 30 (Procedures for NFFE Locals may vary) October 1 – September 30 October 1 – September 30 5 Level Performance Ratings O – Outstanding E – Excellent FS – Fully Successful MS – Minimally Satisfactory US – Unsatisfactory (Changed to match PACS and EPACS systems) O – Outstanding E – Excellent FS – Fully Successful MS – Minimally Satisfactory US – Unsatisfactory O – Outstanding E – Excellent FS – Fully Successful MS – Minimally Satisfactory US – Unsatisfactory Basis for Evaluation Critical Elements Performance Standards Critical Elements (Strategic Goals) Performance Objectives Critical Elements (Strategic Goals) Performance Objectives What are HUD’s Performance Management Systems?

4. Why ePerformance? • OPM is placing greater emphasis on all aspects of performance management, including: • Accountability, at all levels, for achieving results • Using results-oriented performance standards • Establish a clear link within the organization and the mission of that organization • Communication between supervisors and employees • ePerformance allows HUD to address the above OPM requirements • ePerformance eliminates the paper chase and automates performance management, making it easier to monitor the entire process at HUD

5. What is the ePerformance Rollout? • The ePerformance Rollout is an exciting new initiative designed to strengthen performance management at HUD • ePerformance involves: • Expanding the Beta Site initiative for the results-oriented performance culture • The Beta Site was an OPM initiative requiring agencies to strengthen their performance management systems by focusing on results • HUD Beta Site included ADMIN and CPD • Developing S.M.A.R.T. (Specific, Measurable, Attainable, Relevant, and Time-Bound) performance plans • Implementing a new module in HIHRTS which will automate HUD’s performance management systems

6. Who will be involved in theePerformance Roll Out? • ADMIN and CPD were the first to participate in HUD’s results-oriented performance culture • These offices implemented new S.M.A.R.T. performance plans for their employees beginning in April 2006 • Six additional organizations will be added to HUD’s results-oriented performance culture: • FHEO • GNMA • HHLHC • All of these organizations, including ADMIN and CPD, will be implementing the new HIHRTS module, ePerformance, for automated performance management • OCFO • OCIO • OCPO

7. What is the new ePerformance System? • ePerformance is the new HIHRTS Performance Management module that • guides employees and managers through the steps of the performance review process • provides automated documentation of performance expectations and achievements • provides the background for quality manager and employee discussions • ePerformance replaces the automated PACS and EPACS systems, automates the manual EPPES system, and maintains all three systems within HIHRTS

8. What can ePerformance do for HUD? • Simplifies the Performance Management Process with on-line access • Provides On Demand Access to Key Information • Real-time view of status; including complete, missing, and overdue actions • Improved HR reporting across the Department • Strengthens Performance Management • Emphasizes accountability at all levels for achieving results • Makes it easier to monitor the entire process • Requires clear distinctions between various levels of performance • Increases Flexibility • Automated calculation of summary ratings • Electronic routing to Employees, Managers, HR, and NFC • Automates goal setting and alignment within an organization • Facilitates communication of goals, strategies, and initiatives • Create, routes and prints plans from online

9. What training will be provided? • There will be two phases of training: • Employee Orientation (this session) • An overview of HUD’s performance management process and current performance management systems (EPPES, PACS, EPACS) • A discussion of the new S.M.A.R.T. performance plans that focus on results • A review of employee responsibilities in the performance management process • Review of the ePerformance Roll Out project and schedule • ePerformance System Training (employees, managers, and supervisors) • Introduction to the system and how the system works • How to input, manage, and maintain performance plans • An opportunity to navigate within the system • A new employee guidebook on performance management will also be provided

10. What are S.M.A.R.T Standards? • Standards that have clearly defined measures; are aligned with organizational goals; emphasize accountability for achieving results; and follow this criteria: • Specific -elements need to clearly identify expected results • Measurable -elements should have clearly defined measures • Attainable -elements should be achievable, i.e., within the employees reach • Relevant -elements should be applicable to the employee’s position and to the mission of the organization • Time-bound -elements should indicate when the expected results should be achieved

11. What type of Measures should S.M.A.R.T. Standards include? Employee performance can be measured based on: • Quality • How well • Number of allowable errors • Quantity • How much • Percentage of accurate outputs • Timeliness • How quickly • Indicate a specific timeframe • Cost-effectiveness • Percentage of cost savings, time savings or waste reduction

12. What should Everyone know about S.M.A.R.T. Standards? • S.M.A.R.T. standards should avoid the appearance of requiring perfection • When writing performance standards, avoid the use of “all,” “never,” “every,” etc., these words create Absolute Standards • For strategic alignment, at least one critical element should be related to the Department’s strategic goals (more if possible) • Standards should be results-oriented • 60% to 80% of the standards should be S.M.A.R.T.

13. Summary: ePerformance Road MapSMART Standards inRedand ePerformance inBlue Recognize top achievers for results Automated calculation of plan ratings Final rating to NFC More discussion re: organization mission; employee role; results expected Evaluate employee accomplishments and results Helps managers and employees collaborate online to develop performance plans S.M.A.R.T. Standards (Specific, Measurable, Attainable, Relevant, Time-bound) Automatic routing and real time reporting on completed plans Online review and updates by Employees and Supervisors Identify and address performance issues early on Continuous feedback to clearly distinguish the levels of performance E-mail notifications when actions are required

14. What’s Next - Planned Activities? • ePerformance system “Go Live” • Finalize training plans • Employee Orientation/training, including an overview of S.M.A.R.T. Standards • Performance Management training for managers and supervisors, including of S.M.A.R.T. Standards • ePerformance system training for managers and supervisors • ePerformance system training for employees