Department of State Treasurer Overview Provides highlights of DST Operating Model and Organizational Information May 2012

Department of State Treasurer Overview Introductions What defines the State Treasurer… Department of State Treasurer Structure Core Services Overview “A Day in the Life of the State Treasurer” Department Strategic Plan - Vision, Mission and Goals Strategic Plan Governance Structure Department Human Capital Programs Information Resources and Reports DST 101 Next Steps and Questions

What defines the State Treasurer 1 of 10 executive branch officials in the N.C. Constitution Elected to 4-year term No term limits Chapter 147, Article 6 defines the Treasurer’s duties Chapter 143A, Article 4 defines the Department of State Treasurer Treasurer may authorize a deputy to perform any duties pertaining to the office.

Department of State Treasurer Structure State Treasurer (1784) Banking Operations (1929) Investment Management (1943) Local Government Commission, Escheats Fund, Retirement System (1971) State Health Plan for Employees and Retirees ( ) (2012-present) 12 additional boards and commissions (Board of Education, Community College Board, Global Transpark Authority, NC Housing Partnership…)

Department Senior Leadership

Why are core services necessary? Minimize risks and develop consistent processes in a growing department Improve quality, coordination and efficacy Support an executive with broad responsibilities Support a strategic framework for making decisions department-wide

SundayMondayTuesdayWednesdayThursdayFridaySaturday MorningOFF Preps(3) Off. Meeting DST reports(2) Fly to NYC Meetings(2) Speech Off. Meeting Preps(2) Meetings (4) Civic event Afternoon Radio Interview Meetings(2) DST report out of office Speech Off. meeting DST Report Speech TV interview Speech Meetings(2) SHP 101 DST Report Meeting out of office EveningOFF out of office Fly to RDU OFF out of office Treasurer Cowell – October 30-November 5

DST Strategic Plan - Overview The 2010–2012 Strategic Plan provides the vision, mission, strategic goals, and performance measures for ensuring the desired results for the Department of State Treasurer. Strategic Plan Outline Vision and mission Core values Objectives Initiatives Performance measures Flexibility for Optimal Success: We will consistently evaluate the plan components, prioritize objectives, adjust timelines, and allocate resources as needed to ensure effective and efficient achievement of goals, and maximum results. Process: Establish a baseline and envision a desired future of the Agency that would create and maintain a fiscally sound and prosperous North Carolina. Incorporating Diverse Perspectives from Multiple Levels: The Plan is the result of a collaborative planning process, incorporating diverse perspectives from all levels and divisions of the Department. Environmental Assessment: An environmental assessment and S.W.O.T. analysis of the Department and its ability to perform its duties were conducted. Focus on Continuous Improvement: Data gathered during the implementation of the strategic plan will be used to further improvements and provide continuous, added value to the citizens of North Carolina.

DST Strategic Plan – Vision, Mission, Values Core Values Customer Orientation – Keep the customer, the citizens of the state of North Carolina, at the center of our focus in all that we do. Diversity – Recognize and value the benefits of diverse ideas, perspectives, and people through human resources practices, vendor selection, and operational procedures. Expertise – Recruit and maintain the highest levels of expertise in all aspects related to the Department of State Treasurer through hiring, contract services, retention, and training of resources. To provide the optimal level of service to the citizens of North Carolina. Integrity – Establish and maintain the highest level of integrity by installing and ensuring ethical practices throughout the department. Long-term View – Maintain a big picture perspective and strategy, consistent with the goals and responsibilities of the Department of State Treasurer. Transparency – Structure and conduct all aspects of government regarding the Department of State Treasurer with an open and transparent policy, promoting both trust and accountability. Vision Our vision is to create and maintain a fiscally sound and prosperous North Carolina. Mission Our mission is to exercise fiduciary oversight and provide outstanding customer service that provides value to, and instills confidence by, the state’s citizens, customers, and financial community. Core Values Each of the following core values of the North Carolina Department of State Treasurer is implement consistently at all levels, across all departments and initiatives.

DST Strategic Plan – Goals The Strategic Plan identifies the following 8 goals for the Department: 1.Protect the Pension by Optimizing Returns and Plan Design Features 2.Apply Conservative Debt Management Practices to Maintain the State’s AAA Bond Rating 3.Ensure Transparency, Ethics, and Accountability 4.Increase Customer Service 5.Increase Operational Efficiencies and Improve Risk Management 6.Contribute to State Innovation and Economic Development 7.Advance Financial Literacy across North Carolina 8.Ensure the State Heath Plan Transition

Strategic Plan Framework – Recap The framework ensures: Alignment with the vision, mission, and organizational goals Incorporation of core values Use of performance measurement to realize, increase, and ensure results

Strategic Plan Governance Structure Overview Department of State Treasurer Strategic Plan Program Management Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Steering Committee Owner TBD Governance (Committees) Policy and Procedure Management Fran Lawrence Policy and Procedure Management Fran Lawrence Compliance and Risk Assessment Jay Chaudhuri, Lori Daniels Compliance and Risk Assessment Jay Chaudhuri, Lori Daniels Constituent Services David Starling Constituent Services David Starling Data Management and Reporting Bill Golden, Andrew Holton Data Management and Reporting Bill Golden, Andrew Holton External Support (Committees) Scheduling and Event Management Andrew Holton Scheduling and Event Management Andrew Holton Departmental (External) Policy Jay Chaudhuri Departmental (External) Policy Jay Chaudhuri Facilities Management Andrew Holton Facilities Management Andrew Holton Administration Management Melissa Waller Administration Management Melissa Waller Program Office Management Model Steering Committee

Program Office – Program Management Structure Program Office Board (Steering Committee) Oversight of programs, policy, and performance toward achievement of the DST Strategic Plan Program Managers (Steering Committee Owners) Accountable for tracking program groups and reporting to overall Program Office Project Owners/Managers Accountable for success/responsible for execution and management DST Strategic Plan (Including Goals and Objectives) Governing documents for portfolio, program, or project creation Program Office

Governance and External Support Committees Each committee: Convenes monthly Has a charter Is responsible for providing reports to Steering Committee: Monthly Updates, Dashboard Updates, Bi-annual Report, and Annual Reports Governance (Committees) Policy and Procedure Management Fran Lawrence Policy and Procedure Management Fran Lawrence Compliance and Risk Assessment Jay Chaudhuri, Lori Daniels Compliance and Risk Assessment Jay Chaudhuri, Lori Daniels Constituent Services David Starling Constituent Services David Starling Data Management and Reporting Bill Golden, Andrew Holton Data Management and Reporting Bill Golden, Andrew Holton External Support (Committees) Scheduling and Event Management Andrew Holton Scheduling and Event Management Andrew Holton Departmental (External) Policy Jay Chaudhuri Departmental (External) Policy Jay Chaudhuri Facilities Management Andrew Holton Facilities Management Andrew Holton Administration Management Melissa Waller Administration Management Melissa Waller

Department Human Capital Program Overview The Department places a high priority around Human Capital Investment in the following areas: Performance Management, Enrichment, Employee Involvement. The following tables describe these. Performance Management Resources Resource Description Performance Management Toolkit DST HR division provides Performance Management training and toolkits to all employees. This information helps navigate the Performance Management process. Performance Employee Meetings Performance Employee Meetings take place on cycle time-frames and are aligned with the Performance Management annual life-cycle. (i.e. Monthly Check-ins, Interim Reviews, Annual Reviews) Employee Workplans Each employee has a position workplan that is developed and managed collaboratively with their manager. Individual Development Plan Each employee has the option of a unique individual development plan that is developed and managed collaboratively with their manager. Performance Tools and Resources The HR division provides a variety of performance tools and resources online.

Department Human Capital Program Overview Enrichment Resources are available for a variety of topics in several formats for employees Enrichment ResourcesResource Description On-Boarding Courses The Department provides a series of on-boarding courses for new employees that provide a variety of information sources. DST University DST University provides a forum for enrichment providing online presence of information, courses, and lunch seminars. Note: The Department is partnering with OSP to integrate the new Knowledge Management Platform when that is available. Leadership First Leadership First provides enrichment opportunities through a two year leadership program providing members with a global perspective of the Department and several key leadership lessons and interactions. Lunch and Learn Series HR division provides a Lunch and Learn series on a variety of topics with Department subject matter resources. Skills Soft Training Program Employees have access to a suite of training courses available from Skills Soft online training library. Each quarter relevant course are highlighted by managers within a curriculum for employees. Vendor Courses Applicable vendor courses may be available for specialized training.

Department Human Capital Program Overview Employee engagement is critical for Department successes. There are a variety of employee involvement opportunities supporting this. Involvement Opportunities Opportunity Description ACE Team The ACE team is the Advisory Committee for Employees and the mission is to provide leadership and guidance in partnership with managers and individual employees in order to:  Enhance employees' relations  Enhance communications development and morale  Instill encouragement and confidence in our day-to-day job functions. Diversity Council The goal of the Diversity Council is: “to recognize and value the benefits of diverse ideas, perspectives, and people through human resources practices, vendor selection, and operational procedures. DST Passport Program The DST Passport Program was created to help mark milestones, or "destinations", reached along the way that support the Strategic Plan. In addition, the DST passport program helps increase awareness of how each of employee can positively influence the success of the Strategic Plan. Employee Customer Service Hall of Fame The DST Customer Service Hall of Fame is designed to recognize DST employees who have helped the Department reach one of the primary goals of its Strategic Plan: to promote outstanding customer service. Strategic Plan

Department Information Resources A variety of Department Information Resources are available in multiple formats. Information ResourcesResource Description Department Internet – Department Internet Website provides a great overview for the Divisions and additional resources. Department Intranet Compass Compass – Department Intranet provides internal information, updates, tools, and connections to Department employees. Treasury Notes The internal and external online news letters provide monthly Departmental News and Events. Employees automatically review this resource and the external one may be requested from the Department Internet. Member Newsletters Targeted membership newsletters provide key messages, information, and tools. Department s Variety of Department-wide s are provided for timely updates, tools and information. Department Reports Department Reports are available with valuable updates. DST Strategic Plan The Department Strategic Plan is available in two year cycles including the Department vision, mission, goals, objectives, and initiatives.

Department Reports A variety of Department Reports are available in multiple formats with timely information and updates. Department ReportReport DST Annual ReportThe DST Annual Report is produced annually and provided online. This report includes divisional information each year. DST DashboardThis weekly report provides the leadership group with divisional updates, challenges, key transitions, kudos, and events. Divisional ReportsEach division produces a variety of reports and updates on a variety of cycles. Quarterly Performance Reports Quarterly reports on Fund performance are available. Press Clips & Media Reports Daily press clips and various media reports provide overviews of Department news.

DST 101 Next Steps & Questions Department of State Treasurer 101 Next Steps: Review initial DST 101 information with SHP Schedule additional DST Divisional 101 Sessions All Employee Specialized Presentations Lunch and Learn Sessions Other Suggested Forums Continue DST/SHP Transition Program Management work Continued partnerships across the Department