Performance Management… …From Vision to Results. Ehren Meister, Performance Metrics & Management Office SASHTO 2017

State Perspective Almost 80,000 state maintained road miles (2nd only to Texas) 2nd largest state operated ferry system (Washington State is 1st) About 10,000 employees 14 regional highway divisions across the state ~10 “central” divisions including: Highways Motor Vehicles Financial Management Information Technology Multimodal Transportation Etc. We complete with Texas for most lane miles at any given time. Washington Ferry system is the largest. How many of you have travelled to the North Carolina outer banks? Then you’ve traveled on our highway system and probably rode on our ferry system. 2

North Carolina Transportation Secretary N.C. Governor Abbreviated High Level Org-Chart (some functions excluded for visualization) Board of Transportation Turnpike Authority North Carolina Transportation Secretary North Carolina Ports North Carolina Global TransPark Turnpike State Ports Human Resources Communications General Counsel Inspector General Chief Deputy Secretary Chief Operating Officer Motor Vehicles Public Transportation Bicycle & Pedestrian Transportation Ferry Aviation Rail Multimodal Transportation Civil Rights Transportation Planning Highways (Chief Engineer) Information Technology Financial Management Government Affairs Strategic Initiatives Where’s HPMS, etc? Logistics/Freight Planning Chief Deputy Engineer 14 Highway Divisions Performance Metrics & Mgmt Project Development Construction Maintenance Technical Services (project dev’t) Field Support Mobility & Safety Operations (asset mgmt)

Performance Management at NCDOT Committed to become a results-based, performance- driven organization in ~2009 Tied organizational outcomes to employee performance Implemented multiple performance management tools Transparent, accountable and continually improving Designed to support a performance culture in which clear expectations are established, and managers and employees are held accountable for achieving expected results Full service performance management (top-down)

Performance Management at NCDOT Agency Performance (Strategic Planning, Dashboards, Scorecards, Reports, Etc.) Business Unit/Division Performance (Business Unit Work Plans) Employee Performance (“NCVIP”) *Situational Reporting* Wrap up and summary slide noting three important ingredients to DOT performance management

Our Strategy How do we implement this and embed it down into the agency… to the divisions and units… to the employees. Field staff, DMV examiners, engineers, administrative support staff, etc.

Employee Performance at NCDOT Connecting agency outcomes to employee results Aligns individual performance to agency outcomes Results-based system (individual goals & performance measures) with expectations to adhere to uniform NCDOT Values (behaviors) Three annual steps with a three-point rating scale Fully automated (paperless) Was created with the ability to support a “pay for performance” system Fiscal year alignment (with funding, planning, etc.)

Cascading Employee Expectations *Transportation Safety Example* Secy/CEO <NC Fatality Rate Chief Engineer <NC Crash Rate Which effects Division Engineer <Division Crash Rate Front-line Worker an outcome Maintenance Supervisor, Transportation Worker, Technician, Transportation Engineer, Processing Assistant, etc. Measures and results trickle up and down. This is a specific highway example. Input Measure Number of lane miles re-striped during the quarter Input Measure Percentage of safety inspections completed Various specific input/output measures Input Measure Safety projects dollars awarded Input Measure Number/percentage of activities completed Input Measure Average accident clearance time Input Measure Lane miles cleared during weather events

Cascading Employee Expectations *STIP Program Delivery Example* Secy/CEO <STIP Delivery Rate Chief Engineer <DOH Delivery Rate Which effects Division Engineer <Division Delivery Rate Front-line Worker an outcome Engineering Manager, Transportation Engineer, Technicians, Support Staff, etc. Measures and results trickle up and down. This is a specific highway example. Input Measure % of environmental documents completed on schedule Input Measure % of project milestones completed Various specific input/output measures Input Measure # of field audits completed Input Measure # of activities completed Input Measure # of public hearings facilitated… Input Measure % of ROW plans completed on schedule

Layers of Performance Reporting at NCDOT Division/Unit Employee Strategic Outcomes Agency Performance Metrics (lagging indicators) Via Dashboards/Scorecards Operational Activities Business Unit/Division Work Planning (leading indicators) Via Business Unit Work Plans and Monthly SitReps Tactical Inputs Outcomes, Outputs, Inputs, Activities, and Deliverables (employee appraisals) Via periodic employee reviews and weekly SitReps

www.ncdot.gov/performance 11

For illustration only. Results not live. Note result discrepancies in public vs internal. They include time period adjustments (CY vs FY), data definitions, and automation process (upload frequency). For illustration only. Results not live.

Note result discrepancies in public vs internal Note result discrepancies in public vs internal. They include time period adjustments (CY vs FY), data definitions, and automation process (upload frequency). Results not live.

NCDOT Monthly SitRep Prototype -- Data Fictional Example SitRep.

From Vision to Results… NCDOT Performance Agency metrics are established aligned to the department’s vision, mission, goals via the Executive Performance Measures and Targets Business Unit Performance Division and unit expectations are set via the Business Units Work Plans, which are based on “planning your work and working your plan” Employee Performance Employee performance expectations are set via annual performance plans (NCVIP) Agency Results Achieved Agency Results Achieved!