CCAS Supervisors Training: Key Elements, Expectations, and Compensation Strategy Overview

1. DoD Civilian Acquisition WorkforcePersonnel Demonstration Project(AcqDemo) Contribution-based Compensation and Appraisal System (CCAS) for Supervisors Presented by AcqDemo Program Office

2. Housekeeping, Expectations and Parking Lot • Administration, Expectations and Parking Lot • Administration • Sign in • Course Timing • Introductions • Expectations • Parking Lot • Ground Rules & Logistics • Rest Rooms • Breaks • Cell Phones / Other Electronic Devices • Questions and Parking Lot Review

3. Course Objectives At the completion of this course, participants will be able to: • Summarize the major elements of the CCAS process • Write a Contribution Plan • Write a summary of employee contributions for the Annual Appraisal • Apply scoring techniques to assess employee contributions and Quality of Performance • Describe how final scores and associated rewards are determined • Communicate CCAS results to employees

4. Design Overview • Another approach to performance management …two key differences: • Designed to focus employees on creating impact • Acquisition is a knowledge-based business; we depend on people to use their knowledge to advance mission performance • Discussing employee expectations will focus on “contribution planning vs. performance objectives Shapes professional acquisition workforce by using three standard factors to score employee contributions

5. Design Overview • Another approach to performance management …two key differences: • Designed to align compensation with level of contribution • Basic pay level translates to expected contribution level • Assessed contribution level compared with expected contribution level to determine compensation eligibility • AcqDemo software applications ensure equitable distribution of pay pool funds

6. Activity: System Advantages / Supervisor Concerns Small Group Discussion: • What do you view as the major advantages of a Contribution-based system? • What are your biggest concerns / roadblocks for successfully supervising your employees in AcqDemo? Each team shares highlights with the class.

7. Compensation Strategy • Purpose of a Compensation Strategy • Compensation Strategy Components

8. What is the purpose of a Compensation Strategy? • Reflects your organization’s strategic objectives • Maintain mission excellence • Attract new talent • Retain and motivate existing employees • Sets the general policies and procedures for compensation and benefits within an organization • Consistent with pay budgets • Used to derive rules for rewarding contributions • Seeks to provide the right rewards for the right employee contributions • Internal pay equity for like contributions • Link rewards to contributions / impact

9. Compensation Strategy Components Group Discussion • What are your organization’s… • Hiring strategies • Pay Setting / Progression strategies • Federal Pay vs. Private Sector • Control points on positions • Starting placement • Progression through the broadband • When to make pay related position changes? • What levels of contribution should be rewarded?

10. CCAS Overview • The CCAS Cycle • Key Terms and Definitions • Compensation Regions • Roles of Supervisor, Employees, and Pay Pool Panel CCAS

11. CCAS Cycle October September • Start CCAS Cycle • Contribution Planning Pay Pool Panels • Supervisor’s Assessment Feedback November - December April-May Mid-Point Review Employee Self-Assessment January NAVAIR Converts 14 October 2018 End-of-Cycle Discussion & Payout

12. Key Terms and Definitions

13. Standard Pay Line GS-15, Step-10 Salary Upper Rail GS-1, Step-1 Salary Lower Rail Compensation Regions $140,000 $120,000 Overcompensated Region $100,000 Normal Pay Range $80,000 Basic Pay $60,000 $40,000 Undercompensated Region $20,000 $0 100 0 Overall Contribution Score

14. Responsibilities of the Personnel Policy Board • Each Participating Organization will create a Personnel Policy Board, or modify the charter of an existing group, that will: • Oversee the civilian pay budget • Address issues associated with separate pay systems • Determine the composition of the pay pools • Review pay pool operations • Provide guidance to pay pool managers • Administer pay pool funding levels • Review new hire and promotion pay • Monitor award pool distributions • Assess the need to modify local demonstration project procedures and policies • Establish and monitor quality of performance process and results • Publish local business rules • Oversee the transition into AcqDemo

15. Responsibilities of the Pay Pool Panel • Pay Pool Panel • Review preliminary ratings for consistency and equity • Reconcile preliminary ratings that are poorly documented or otherwise outside business rules • Approve ratings of record and payout results • Adjudicate challenges to ratings of record

16. Responsibilities of Supervisors • Review organizational goals and priorities at start of appraisal cycle • Conduct annual contribution planning and explain Expected Contribution Range (ECR) • Monitor and document employee progress and provide coaching/feedback throughout appraisal cycle • Address contribution and/or performance issues immediately upon identification • Provide mentoring for career development • Conduct a formal Mid-Point Review • Request Annual Appraisal Self-Assessment • Complete an end-of-cycle Annual Appraisal • Use factor descriptors to determine preliminary categorical scores and performance appraisal quality levels for pay pool • Participate in pay pool process as required • Conduct Annual Appraisal conversation

17. Responsibilities of Employees • Understand and meet the contribution expectations identified during Contribution Planning • Seek feedback and guidance as needed throughout the appraisal cycle • Prepare a Mid-Point Review and Annual Appraisal Self-Assessment in accordance with local policy

18. Understanding Factors and Descriptors • Origin of AcqDemo Factor Descriptors • The 3 Factors • Broadband-Specific Descriptors • Relating Factors to Current Workload

19. Origin of AcqDemo Factor Descriptors • Origin of AcqDemo factor descriptors • Acquisition is a somewhat unique business environment within DoD • Fluid changing requirements • Roles not always rigidly defined • Dependent on ability to solve problems, team with others, understand customer needs, lead, communicate, and manage resources • Contributions of employees beyond job expectations lead to highly effective acquisition organizations • Behaviors become the common denominator for evaluation

20. The Factors Mission Support Job Achievement and/or Innovation Communication and/or Teamwork • Qualifications • Understanding and Execution of Organizational Goals and Priorities • Working with Customers to Develop a Mutual Understanding of their Requirements • Monitoring and Influencing Cost Parameters or Work, Tasks, and Projects • Establishing Priorities that Reflect Mission and Organizational Goals • Communication • (Verbal and Written) • Interactions with Customers, Coworkers, and Groups • Assignments • Crossing Functional Boundaries • Qualifications • Critical Thinking • Calculated Risks • Problem Solving • Leadership • Supervision • Personal Accountability

21. Broadband-Specific Descriptors Factor 3: Mission Support NH – Business Management & Technical Management Professional

22. Relating Factors to Current Workload Group Discussion • What are the career paths and broadband levels of the employees who report to you? • How do the factors and descriptors relate to those individuals and the work being done?

23. Contribution Planning • Role of Contribution Plans • Suggested Writing Format • Writing Effective Contribution Statements • Activity: Writing a Contribution Statement

24. Role of Contribution Plans in the CCAS Process • Understand Role in Achieving Organization Mission/Goals • Determine Work Assignments in Support of Mission • Define Expectations Of Results, Benefits, and Impacts • Understand Relationship Between Expectations and Factor Descriptors • Understand Relationship Between Current Basic Pay and Expected Contribution Range • Apply Component-Specific Guidance for Documentation

25. Contribution Plan Writing Goals • Ensures that everyone in the organization knows what are the intended results • Prioritize efforts to execute the mission • Mutual Understanding • Increase communication • Identify improvement and growth opportunities

26. Tools Available to Aid in the Contribution Writing Process • Review Your Supervisor’s Contribution Plan • Major Projects • Daily Activities/ Repetitive Duties Position Requirements Document Mission Written Contribution Expectations Results / Impact

27. Format of Effective Statements C • Begin with a named task, followed by results to be achieved, and ending with projected impact to the mission of the organization • Be somewhat general (avoid too precise a plan before embarking on it) • For each statement, make sure it passes the “SO WHAT” test Contribution R Results I Impact “I will do A that results in B, and the proposed impact will be C.”

28. Ineffective Statements • Provide training logistical support for base activities • Serve as key government representative on program change review board • Serve as Acting Director of XYZ Program • Provide weekly status report to the PM on activities of the office • Review/provide comments and recommendations on applying new or revised procurement regulations. Coordinate with our headquarters regarding these requirements and objectives

29. Effective Statements • Lead the development of an automated process for tracking an average of 600 work requests per month. Turning the current paper-based processed into an on-line tool will reduce overtime costs for admin staff, provide instantaneous information, and minimize physical space required for paperwork files. Ultimately meeting the organization’s goal of finding process efficiencies. • Lead/Guide a coordinating council involving members from several different organizations supporting <program> to discover and solve cross-cutting issues. This will result in more effective program execution and save funding currently used for duplicative efforts

30. Contribution Statement Writing • Review annual organization mission/goals • Goal 1: Target Cost savings • 1.1: Find efficiencies in our processes • 1.1.1: Document PEO Instructions and update as necessary

31. Contribution Statement Writing • Create a C-R-I statement relating to this assignment: • C = Document PEO Instructions and Update as necessary • R = Find efficiencies in our processes • I = Target cost savings • Add Factor Level 3 language to the Contribution Statement: • Lead author of PEO instructions; update as necessary. Lead instruction review team in updating current instructions and new instructions. Present briefings with stakeholders to gain consensus on instructions. Seek to find efficiencies in our processes, targeting cost savings

32. Quality-of-Performance Objectives • During Contribution Planning, statements may begin with a standard phrase which summarizes the Expected Contribution Criteria of all factors • Performance Criteria: All Contributions are to be accomplished in a timely and efficient manner, and of acceptable quality as per the Expected Contribution Criteria. Objective 1: Objective 2: Objective 3:

33. Activity: Writing a Contribution Statement • Write a contribution statement for an organizational goal • As a group, review each others contribution statements • Present one contribution statement from your group’s results to the rest of the class.

34. Writing an Annual Appraisal • Writing Tools • Keeping Records of Contributions • Annual Appraisal Self-Assessment • Writing Effective Contribution Statements • Activity: Writing an Annual Appraisal

35. Writing Tools • Organization Mission/Goals • PRD • Contribution Plan • Factors, Descriptors and Discriminators • Records kept throughout the year • Mid-Point Review • Additional Feedback • Closeout Assessments • Appraisal Form / CAS2Net

36. Keeping Records of Contributions • Written notes from employee meetings during the appraisal cycle • Notes to yourself when employee deadlines are met / missed • Written formal feedback provided to employee • Notes to yourself about informal or verbal feedback provided • Written or verbal feedback from colleagues / customers • Other contribution documentation

37. Annual Appraisal Self-Assessment • Optional but highly encouraged, subject to local policy • Typically completed before you complete your Annual Appraisal • May need more than one draft to best highlight the employee’s contributions • Should highlight the contributions with the most impact made throughout the appraisal cycle • Should describe contributions in concise statements • Should use language that can be understood by all pay pool panel members

38. Format of Effective Statements C • Begin with a named task, followed by results achieved, and ending with impact to the mission of the organization • Be specific (use dollar figures, program names, time saved, percentages, etc.) • For each statement, make sure it passes the “SO WHAT” test Contribution R Results I Impact “I did A that resulted in B, and the impact was C.”

39. Examples of Ineffective Statements “I implemented a new study for my organization.” “Provided weekly status reports to the PM on activities of the office.” “Identified problems and provided recommendations.” “Served as key government representative on program change review board.” “Reviewed and provided comments and recommendations on procurement regulations. Coordinated with headquarters to implement.” “Trained new employees on processes and procedures.” So what?

40. Example #1 Contribution: Applied the innovative approach of SPECIFIC APPROACH to resolve difficult issues of X that significantly impacted important policies or programs (for example, XXX). I worked with IT support and guided them (by doing A and B) in formulating the plan of SPECIFIC PLAN to execute the system/tool (XY) to completion. Result: The project was completed ahead of schedule (finished 3 days ahead of the deadline). Impact: By briefing trend analysis, effectively conveyed organizational issues (for example, SPECIFIC ISSUES) to enhance safety across the enterprise (from X to Y) Example #2 Contribution: I acquired the resources (for example, A, B and C) to accomplish the strategic objectives of X in order to maintain the SPECIFIC program within the allocated budgetary restraints. I acquired A, B, and C by working with government entities such as X for SPECIFIC OUTCOMES, the X personnel to establish a fair and reasonable price, X personnel to determine the required labor hours for the effort. Within the contract, I also provide required necessary equipment (EXAMPLE) and facilities (EXAMPLE) for them. Results: The result is that the X was able to continue their contract with the necessary equipment at the allocated budget. Impact: The impact of this is obtaining a viable cost effective PROGRAM that will be likely to SPECIFIC ACTION. This falls in line with goal X. Effective Contribution Statements

41. Converting Contribution Plan to Self-Assessment Statements • At the end of the appraisal cycle, modify your C-R-I contribution plan statement with the details of actual contributions made throughout the year Lead author of PEO instructions; update as necessary. Lead instruction review team in updating current instructions and new instructions. Present briefings with stakeholders to gain consensus on instructions. Seek to find efficiencies in our processes, targeting cost savings Contribution: Lead author of PEO instructions. Results: Presented briefings to the Leadership Working Group (LWG) to gain consensus on instructions. Documented 6 new instructions relating to [Project XXX]. Led the review team which identified 4 existing instructions which contained duplicative/conflicting instructions, which were then updated. Impact: Overall results relating to this works shows a projected savings of 200 man hours and $500,000 • Can be converted to

42. Annual Appraisal Writing Steps • Review employee contribution planning documentation • Review Annual Appraisal Self-Assessment • Review Mid-Point Review / Additional Feedback documentation • By factor, assess contributions against factor descriptors / discriminators • Prepare succinct contribution impact statements for each factor Note: A contribution may warrant mention under more than one factor.

43. Elements of a Supervisory Appraisal • Statement of validity of employee self-assessment • Any important contributions the employee may have missed • A summary of the value of the employees contributions to the mission • A statement of the quality of the employees performance

44. Activity: Writing an Annual Appraisal • In small groups, review the background scenario provided. • As a group, collectively write the Annual Appraisal for a factor(s) • Present your group’s results to the rest of the class.

45. Assessing Employee Contributions • Scoring Overview • Determining Categorical Scores • Determining Numerical Scores • Determining Performance Appraisal Quality Levels • Activity: Assessing Employee Contributions • Special Situations

46. Sample Employee • Joe Contributor • NH-0801-III, General Engineer • Basic Pay - $82,750

47. Contribution and Compensation Expected Contribution Range Calculator • Calculate an Expected Contribution Range (ECR) at the beginning of the appraisal period using a calculator found at the AcqDemo website: • http://acqdemo.hci.mil/tools.html Basic Pay Only

48. Broadband Level Score Ranges

49. Determining Categorical Scores • Step 1: Know the employee’s assigned broadband level. • Review the Factors, Descriptors and Discriminators of that level, as well as the next higher and lower broadband levels • Determine which broadband level (I, II, II or IV) best describes the employee’s contributions for the rating cycle

50. Determining Categorical Scores • Step 2: Use the factor descriptors / discriminators to determine a categorical score • Remember that factor descriptors are written at the top of the broadband, so the logic is that you would: • Choose High if the employee consistently meets all of the factor descriptors during the appraisal cycle • Choose Medium if the employee consistently meets most of the factor descriptors during the appraisal cycle with minimal guidance • Choose Low if the employee consistently meets portions of the factor descriptors during the appraisal cycle, or needs greater than expected assistance in meeting them Note: This is NOT the only possible criteria for rating...use this as a starting point, but apply logic to your thought process and judgment in recommending categorical scores.