Department of Veterans Affairs SES Management Transformation People-centric, Results-driven, and Forward-looking

1. Department of Veterans Affairs SES Management Transformation People-centric, Results-driven, and Forward-looking Brief to Mr. Martin Herbert, Democratic Staff Director and Mr. Arthur Wu, Republican Staff Director Subcommittee on Oversight and Investigations, Committee on Veterans’ Affairs U.S. House of Representatives May 5, 2010

2. Secretary’s Transformation Challenge Secretary’s Vision : Transform VA into an agile, adaptive organization capable of leading change, not waiting to be dragged into it. This requires a 21st Century Leadership Team. All VA SES Members MUST BE a vital part of this team Multi-skilled, adaptable, flexible leaders Enterprise, corporate thinkers Strategic vision, strategic thinking ability Global and cultural astuteness Business Acumen Results driven Capability to build partnerships Able to leverage technology across the enterprise 2

3. Answer to the Challenge A Centralized (corporate) approach to SES Management - • Drives a Culture to reinforces that SES members: • Are a vital part of the leadership team • View their responsibilities in the context of the enterprise and public policy interests • Work effectively across organizational boundaries and functional areas • Helps to ensure: • Emphasis on the importance of the leadership team • Recruitment and selection of diverse talent • Deliberate development through structured series of well-planned developmental and educational experiences • Performance management culture that focuses on the Secretary’s priorities and encourages and rewards creativity, innovation, intelligent risk-taking, critical thinking • Strong focus on Senior Executives across the Agency 3

4. Fall 2009: Secretary Shinseki stood up the Corporate Senior Executive Management Office (CSEMO) to Manage his SES Resources CSEMO Responsibilities • Utilization of allocations (establish/abolish positions) • Utilization of executives • Assignments, developmental opportunities • Staffing and Recruitment • Executive Resources Board that leverages best practices • Training and Development • VA Learning University focused on 21st Century Leader Development • Executive Coaching • Succession Managementand Workforce Planning • Building the Bench, Identifying gaps • Leverage SES Candidate Development Program • Establishment, implementation, oversight of policy and processes • Delivery of a fair, transparent, credible performance management system • Increased Diversity in SES • Executive Recertification • Employee Relations Program focused on Executives • Strong, ethical, honest leadership • State of the Art Automation • Dashboard to Track Metrics • Website • Talent Management Goals: Promote continual learning; broader perspectives supporting a results-oriented, sustainable, high-performance culture; increase collaboration across VA and across Government; maximize leadership expertise 4

5. Executive Life Cycle Management Structure Separate Acquire Orient Develop Executive Life Cycle Distribute Sustain Deploy • Organization Structure • Identification of Requirements • Placement in Hierarchy (Role/Responsibility) • Preparatory Counseling • Recognition & Ceremony • Retirement Processing Virtual War Room • Accessions/Sourcing • In Processing • Branding and Outreach • Formal Education • Joint Assignments • Broadening Executive Staffing Suite Executive Development System • How VA Runs • Leader Imperatives • Operational Exigencies • Performance Management • Compensation • Benefits Executive Development System Performance Management System • Allocations vs. Requirements • Initial Executive Assignment • Succession Plan • Talent Management • Assessment • Assignment Talent Management System Executive Management System 5

6. VA Performance Management Deputy Secretary W. Scott Gould: “President Obama and Secretary Shinseki have committed resources and capital to invest in delivering high quality services and benefits to our Veterans.  Transforming requires investing in people and new business processes to improve outcomes for Veterans.”  • Continuous, multi-faceted process to hold executives accountable for organizational performance • Monthly Organizational Performance Reviews • SecVA Mid-Year and End-of-Year Budget Reviews • Quarterly Major Initiative Assessments • Senior Officials directly responsible for success or failure of their systems and programs • Performance Plans focus at least 60% on achieving organizational results • Performance Review Board (PRB) process enhanced • Corporate Board (with outside member) • Strong focus on individual and organizational performance and results achieved • Partnered with consultant to deliver training, review plans, coach executives • Benchmarking to adopt best practices and automate program • Baseline survey to monitor fairness, transparency, equity, customer satisfaction VA committed to continuously improving executive management and further strengthening linkage between executive performance and VA strategic goals and operating plans

7. SES Performance Management System◦ Secretary personally reviewed each rating in 2009◦ Ratings adjusted based on individual and organizational performance - Every executive provided feedback ◦ VA has implemented an aggressive training and review effort to ensure that plans and metrics are adequate ◦ Focus on ensuring that there are meaningful distinctions in performance - Recognize the truly outstanding performers

8. Focus Areas • Diversity • Developmental Assignments, details, sabbaticals • Executive Mix • Non-government executives, SES transfers to VA, GS-15 promotions • Use of SES allocations • Increased training opportunities • Establish Mandatory Training and Individual Development Plans • Credible, transparent performance management • Baseline survey • Satisfaction among SES members • Baseline survey • Executive On-Boarding

9. Corporate Senior Executive Management Office Deputy Assistant Secretary Christine L. Kluh Loreen Orage Program Assistant GS-9 Georgia Koliopoulos Operations Director GS-15 Policy and Strategic Planning Supervisor 15 Program Management Director 15 Wendy Hepker Administrative/Budget Analyst 13/14 Dadrian Brown HR Specialist 14 (Perf Management) Team A Shannon Carroll HR Specialist 14 Team B Sue Ellen Scannell HR Specialist GS-14 Judy Bee Welch HR Specialist 14 (Benefits) HR Specialist Strategic Planning Reports 14 HR Specialist 13 (Perf Management) Joycelyn Jones HR Specialist 14 HR Specialist 14 Missouri Jeannette Jones HR Specialist GS-14 Deborah Rodriguez HR Specialist 14 (Employee Relations) HR Specialist 13 (Policy) Joyce Mitchell HR Specialist 14 Laterica Curtis HR Specialist GS-13 Nikole Ellis HR Specialist 11 HR Specialist 14 (Exec Dev & Training) HR Specialist 14 Robinson Class Specialist GS-14 Vacant Denise DeShields Program Support Assistant 7 HR Specialist 13/14 (Exec Dev & Training) Class Specialist GS-14 Vacant Holly Imler HR Specialist 13 Isaac Alston Program Assistant 7 Angela Robinson HR Assistant GS-8 Brandon Boston HR Assistant 7