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SES Performance Management

SES Performance Management. SES Performance Management. Reasons for change Key revisions Balanced measures Reaction/comments Related initiatives. Framework for Improving the SES. Outline of ideas for addressing 21st century leadership challenges.

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SES Performance Management

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  1. SES Performance Management

  2. SES Performance Management • Reasons for change • Key revisions • Balanced measures • Reaction/comments • Related initiatives

  3. Framework for Improving the SES • Outline of ideas for addressing 21st century leadership challenges. • Is the way we select, develop, and manage SESers producing leaders to meet these challenges? • Discussions with senior executives, HR community, Senior Executives Association, and other stakeholders about change. • Stakeholders agreed on several improvement strategies, including performance management.

  4. Need for Systemic Change • Current regulations discourage results-oriented performance management. • Annual performance appraisal process and recertification focus on paperwork and procedures. • Need to improve links between pay and performance.

  5. Need for Culture Change • Systemic change won’t fix everything. • Culture change required -- for agency management and senior executives. • Manage performance on ongoing basis. • Improve communications about performance expectations.

  6. Related Performance Initiatives • Revised Presidential Rank Award criteria for 2001 to address balanced measures. • Developed legislation: • raise aggregate pay • repeal recertification • provide annual leave enhancements

  7. Survey Results • NPR-OPM survey of Federal employees • 26% understood how good performance is defined in their organizations. • 28% said corrective actions are taken when employees don’t meet standards. • OPM survey of the SES • 48% said SES bonuses are merit-based. • 57% don’t think poor performing execs are removed.

  8. Leadership Commitment • PMC interest in improving performance management governmentwide. • PMC Task Force Report on Managing Performance: expect excellence, establish accountability; take action. • Workforce Improvement Goals for PMC-member agencies.

  9. Current Regulations • Many current requirements are not based on statute. • Regs were designed when “one size fits all” was the norm. • Performance appraisal systems at all levels were parallel.

  10. Proposed Regulations • Pare requirements to statute. • Recognize agency leader responsibility for communicating expectations. • Reinforce link between performance management and strategic planning, with focus on results. • Require agencies to use balanced measures when evaluating senior executive performance.

  11. Key Changes • Prescribe systemic framework that identifies key components -- agencies decide how to implement components. • Broaden focus from annual appraisal to ongoing performance management. • Modify rating level requirements. • Modify minimum appraisal period.

  12. Key Changes • Require agencies to appraise senior executive performance, using measures that balance organizational results with customer and employee perspectives. • Give agencies flexibility to decide how to implement balanced measures.

  13. Comments on Proposals -- General • General reaction positive. • Most questions and comments are on balanced measures -- what does it mean? How do agencies implement them?

  14. Balanced Measures • Public and private sector trend to measure individual and organizational performance using methods that balance the achievement of business/operational results with needs and views of customers, stakeholders, employees, and others. • Influenced by Kaplan/Norton balanced scorecard.

  15. Comments on Balanced Measures • “Anxiety themes” -- • Factoring in employee perspectives will be a popularity contest. • Executives often serve multiple customers, many with conflicting interests. • Using balanced measures will require investing in expensive surveys and sophisticated measurement tools.

  16. Next Steps • Sharing information, best practices, and lessons learned. • NPR-OPM 1-day forum in September. • Tool kit under development. • Continue conversations with senior executives

  17. Timetable • Proposed regulations published on June 21st -- comment deadline August 21st. • Target for final regulations -- October 1st. • Agencies use balanced measures in evaluation cycles that begin in 2001, e.g., July, October 2001.

  18. OPM Contacts • SES Management Center, Office of Executive Resources Management • 202-606-0530 • E-mail: SESmgmt@opm.gov • Fax: 202-606-0557

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