OARS Phase I Performance Measurements April 20, 2017

AEP Implementation Focus Group An AEP Implementation Focus Group comprised of AEP team leads and POS Directors at the L/C/O level and remote divisions was formed to review and discuss critical implementation issues The first meeting of this group was held last week in RTP Performance measures developed by the HR, BE and Travel teams were reviewed The Focus Group developed some OARS-wide performance measures that would indicate the overall organizational success of OARS

Transformational Goals and Service Level Objectives ORD is transforming its administrative operations as it simultaneously drives down costs A key method to ensure that OARS meets its objectives for cost savings and service delivery targets is to develop performance measures that include both transformational goals and service level objectives Some performance measures will be cross-cutting across all the business functions, and others will be specific to each function or sub-function As ORD’s experience with ISS has shown, it is critical for an organization to carefully select key areas of performance to measure in light of the feasibility of and cost required to measure all areas of performance The creation of transformational goals and service level objectives is dependant on a number of factors, including the scope of the organization and organizational maturity All service level objectives will not be implemented simultaneously, but rather as OARS matures over time, different elements of performance can be measured using new or improved tools, technologies and/or processes

Transformational Goals and Service Level Objectives Transformational goals are objectives set that facilitate change into the future state organization For the OARS organization and each business function, transformational goals are targets related to organizational structure, process improvements, staffing, training, technology that achieve the future vision Example: Address and fix GovTrip routing issues before implementation and on an on-going basis Service Level Objectives (SLOs) Service level objectives define the performance targets for OARS-wide and specific business functions A number of measures will apply OARS-wide to all business functions around areas such as customer and staff satisfaction, and financial cost savings Each function will have their own set of performance measures around timeliness and quality for each product or service they produce Example: Process Domestic Travel Authorizations within 3 days

Balanced Scorecard A balanced set of performance measures allow the organization to meet targets related to cost, quality, customer satisfaction, and other areas. Unbalanced External Implementation of a ticketing system % customer satisfaction Cost reduction Process Result Financial Operational Reduction in work years % cost savings Integration of systems Vision and Strategy Balanced Rate of customer satisfaction Amount of employee training External Internal Customer People and Learning Achieving adopted quality measures Achieving timeliness measures % customer satisfaction Achieving adopted timeliness measures Achieving quality measures Rate of staff satisfaction Process Result % adherence with standard operating procedures % of staff meeting training goals % cost savings Internal

OARS-wide and Function Specific Metrics Overview Budget Execution Travel Human Resources Service level objectives apply to the OARS organization and to specific business functions, and will be evaluated on an ongoing basis. OARS may have service-level objectives related to: adoption rate, customer satisfaction, productivity, financial cost savings, and staff satisfaction. Each OARS business function may have specific transactional measures for each service or product it produces that measure timeliness and quality. ADOPTION RATE Example: 80% internal compliance with new standard operating procedures CUSTOMER SATISFACTION Example: 80% of customers are satisfied or very satisfied with products/services PRODUCTIVITY Example: 10% increase in work output with new standard operating procedures FINANCIAL COST SAVINGS Example: 25% cost savings STAFF SATISFACTION Example: 80% of staff are satisfied or very satisfied on the job TIMELINESS Example: complete data entry in 1 day TIMELINESS Example: complete authorization in 3 days TIMELINESS Example: award processed in 3 days QUALITY Example: 90% of data entered correctly QUALITY Example: 90% of travel authorizations completed correctly QUALITY Example: 90% of HR paperwork processed correctly Note these examples are for illustrative purposes only.

Sample Service Level Objectives Measure Type Description Example Monitoring Adoption Rate Ability of an organization to accept a new process Number of individuals using new process/total number of individuals Periodic review of system logs for usage levels, user experience, and documentation for compliance Customer Satisfaction A measure of how services supplied by a company meet or surpass customer expectations % of customers satisfied Survey or interview customers (random or 100% sampling) and evaluate feedback Productivity The amount of resources used to produce one unit of work Outputs/inputs Periodic review of ticketing system volume of completed requests Timeliness Whether a unit of work was done on time. Criteria for “on-time” is established by the customer % of services/products delivered within timeframe Periodic review of ticketing system service request data of time to complete each service Financial Cost Savings Cost savings of improved processes Total cost savings in terms of people, technology, and other resources Periodic review of financial reports that document budget and spending Staff Satisfaction Describes how content an individual is with their job % of employees satisfied Conduct employee surveys (random or 100% sampling) and evaluate feedback Quality Whether a unit of work was done correctly. Criteria for “correctness” is defined by the customer % of service requests Periodic review of ticketing system service request data of number re-opened service requests due to quality issues or random sampling review of completed work products

OARS-Wide Measurements Performance Measures Organizational Vision Provide exceptional administrative services to support ORD’s mission in the most effective and efficient manner. FINANCIAL OPERATIONAL Defining Success 25% reduction in administrative work years 100% compliance with Standard Operating Procedures (SOPs) after 1 year Execute OARS-wide communications plan that fosters ongoing communications throughout all levels of the ORD Organization Adopt Standardized Operating Procedures to ensure consistency Develop Customer Relationship Management Strategy to build strong partnerships Implement technology to leverage information from agency systems to provide decision support for improved business decisions Implement communications plan that fosters ongoing communications throughout all levels of ORD Regularly assess attainment of AEP Goals CUSTOMER PEOPLE & LEARNING 80% customer satisfaction by 2012 80% staff satisfaction by 2012

Performance Measures Budget Execution Measurements FINANCIAL Organizational Vision Performance Measures Implement the budget execution process throughout ORD, providing customer assistance, advice, guidance, and analyses to ORD Managers. Perform strategic or operational budget execution activities and develop policies and procedures. FINANCIAL OPERATIONAL Alert management of issues/problems and recommended courses of action within 3 days of identifying the issue 95% of all reconciliation discrepancies (>$100) corrected within 1 week Emergency funding requests processed within 1 business day, non-emergency requests within 3 business days Reduce work years by 24.3 from 2005 Baseline Defining Success Budget formulation and execution are more fully integrated Increased staff expertise Improve processes and use of technology Improved knowledge of customers programs Retirement of IRMS; feeder systems are fully integrated with new financial management system Budget Execution staff are viewed as adjunct members of the organizations they service; HQ versus field tension disappears CUSTOMER PEOPLE & LEARNING 5% increase in customer satisfaction in 1 year Regular budget Meetings w/ LCO and/or Division Management 10% increase in staff knowledge in 1 year 25% of staff training needs accomplished

Performance Measure FINANCIAL OPERATIONAL CUSTOMER PEOPLE & LEARNING Travel Measurements Organizational Vision Performance Measure Staff are consolidated into one division with three teams. SEEs are utilized for basic travel services such as domestic TAs and vouchers Federal staff focus on more complex travel services and monitoring SEEs FINANCIAL OPERATIONAL Domestic travel authorizations completed within 3 business days Travel Vouchers completed within 2 business days Follow-up travel authorizations through issuance of ticket Reduce work years by 16.63 from 2005 Baseline Defining Success Travelers request services with minimal effort using online forms Travelers receive consistent travel services within the service level timeframes Opportunities to share knowledge among co-located staff enhances the quality of service More efficient use of staff through workload sharing Travelers are more likely to reach a live person to answer questions or provide last minute service Utilize GovTrip to its fullest potential by uploading all receipts and retaining them electronically as the official file CUSTOMER PEOPLE & LEARNING 5% increase in customer satisfaction in 1 year 10% increase in staff knowledge in 1 year 25% of staff training needs accomplished

Human Resources Measurements Organizational Vision Performance Measures Consolidated ORD-Wide HR organization providing a full range of HR operational, strategic and management advisory services FINANCIAL OPERATIONAL Reduce work years by 38.37 from 2005 Baseline 100% compliance with external requirements Implement automated HR system that meets requirements by 2012 Defining Success HR employees have a shared vision of customer focus and attention to HR issues Improved collaboration on policies and policy decision making between the strategic and operational staffs Increased efficiencies in infrastructure; i.e., reduction in process steps and service time, reduction in IT databases and tracking systems Some of the HR burden on managers would be alleviated HR generalists have a uniform knowledge and skill level and achieve a consistent and effective mode of operation CUSTOMER PEOPLE & LEARNING 5% increase in customer satisfaction with 3 critical areas (recruitments, career-ladder promotions and incentive awards) in 1 year 5% increase in staff satisfaction after 1 year 10% increase in core competency knowledge

Questions to be Addressed by Manager Break-out Groups Which performance measures are most important to organizational success? Which performance measures will drive us toward achievement of the desired future state? What other information do you as managers need to ensure successful implementation of AEP?