1. The Accountability Report Supporting Excellence in Higher Education in Higher Education Presented by: The State government Improvement Network In Partnership with The Office of the State budget May 14, 2009

2. Presentation Overview Part 1 Accountability reporting requirement Accountability reporting requirement Changes to the 2009 Guidelines Changes to the 2009 Guidelines Standardizing the report Standardizing the report Using the report Using the report Feedback reports and our observations Feedback reports and our observations Questions and Answers Questions and Answers Part 2 Baldrige and the accountability report Baldrige and the accountability report Key linkages Key linkages Approaches to preparing the report Approaches to preparing the report The Organizational Performance and Accountability Team (our function) The Organizational Performance and Accountability Team (our function) Questions and Answers Questions and Answers

3. Accountability Reporting Requirements Sections 1-1-810 and 1-1-820 of the 1976 Code of Laws state: Sections 1-1-810 and 1-1-820 of the 1976 Code of Laws state: Section 1-1-810. Each agency and department of state government shall submit an annual accountability report to the Governor and the General Assembly covering a period from July first to June thirtieth, unless otherwise directed by the specific statute governing the department or institution…(more) Section 1-1-810. Each agency and department of state government shall submit an annual accountability report to the Governor and the General Assembly covering a period from July first to June thirtieth, unless otherwise directed by the specific statute governing the department or institution…(more) Suspense Date: September 15, 2009 Suspense Date: September 15, 2009

4. Accountability Reporting Requirements Proviso 89-37 states: Proviso 89-37 states: Agencies’ annual accountability reports for the prior fiscal year, as required in Section 1-1-810, must be accessible to the Governor, Senate Finance Committee, House Ways & Means Committee, and to the public on or before September 15….(more) Agencies’ annual accountability reports for the prior fiscal year, as required in Section 1-1-810, must be accessible to the Governor, Senate Finance Committee, House Ways & Means Committee, and to the public on or before September 15….(more)

5. 2009 Changes Section III – Elements of the Malcolm Baldrige Criteria as follows: Category 2 – Note: The Key Action Plan/Initiative(s) column in the Strategic Planning Chart should include your initiatives, and plans, and timelines to accomplish the goals/objectives for FY 08 – FY 09 and beyond listed in the second column….

6. 2009 Changes Category 1 – Senior Leadership, Governance, and Social Responsibility Question 2: How do senior leaders create a sustainable organization with a focus on action to accomplish the organization’s mission, strategic objectives….. Additional Information: The term “senior leadership” refers to an organization’s senior management group or team. In many organizations, senior leaders include the head of the organization and his or her direct reports.

7. 2009 Changes Category 2 – Strategic Planning Question 1d: human resources workforce capabilities and needs Note following Question 7: List your key strategic objectives (goals), and your key action plans/initiatives and timelines in the Strategic Planning Chart.

8. 2009 CHANGES Category 3 – Student, Stakeholder, and Market Focus Question 6 (added): How does your student and stakeholder complaint management system ensure that complaints are resolved promptly and effectively?

9. 2009 Changes Category 4 – Measurement, Analysis, and Knowledge Management New Question 5: How do you make needed data and information available? How do you make them accessible to your workforce, students, and stakeholders?

12. Standardizing the Report Same format between institutions of higher education Same format between institutions of higher education Same use of reference numbers Same use of reference numbers Maximum recommended length of 50 pages Maximum recommended length of 50 pages The desire is for all reports to have the “the same look and feel” as the reports are reviewed and used by individuals external to the organization that prepared the report.

13. Addressing the Categories Categories 1 – 6: Approach Effectiveness of methods and techniques to the criteria requirements Effectiveness of methods and techniques to the criteria requirements Focus on continuous improvement Focus on continuous improvement Degree to which approach used is systematic, integrated and consistently applied Degree to which approach used is systematic, integrated and consistently applied Categories 1 – 6: Deployment Degree and application of approach to all areas of the organization Degree and application of approach to all areas of the organization Degree and application of approach with all relevant students, stakeholders, suppliers and the general public Degree and application of approach with all relevant students, stakeholders, suppliers and the general public

14. Addressing the Categories Category 7: Results Levels of past and current performance; future projections Levels of past and current performance; future projections Linkage to approach/deployment Linkage to approach/deployment Rate/Speed/Breadth of performance improvement Rate/Speed/Breadth of performance improvement Performance comparisons and benchmarks Performance comparisons and benchmarks

15. Use of Reference Numbers Responses Should Be Referenced to the “Questions Asked” Example 1: Category 2 – Strategic Planning Use “2.1a” for Question 1a) What is your Strategic Planning process, including key participants, and how does it address your organization’s strengths weaknesses, opportunities and threats? Use “2.1a” for Question 1a) What is your Strategic Planning process, including key participants, and how does it address your organization’s strengths weaknesses, opportunities and threats?

16. Use of Reference Numbers Example 2: Category 7 – Results Use “7.1” for Question 1 (What are your performance levels and trends for your key measures on student learning and improvements in student learning? How do your results compare to those of your competitors and comparable organizations?) To show a graph/chart, use “Fig. 7.1-1” To show a graph/chart, use “Fig. 7.1-1” If several charts are used to respond to one question show the range. If several charts are used to respond to one question show the range. Ex: “7.1-1 through 7.1-3” Ex: “7.1-1 through 7.1-3”

17. Use Report for Self-Assessment Identify Strengths Identify Strengths Identify Opportunities for Improvement Identify Opportunities for Improvement - Prioritize - Allocate Resources - Monitor, Measure, and Manage

18. Our Observations Use of outdated Guidelines Use of outdated Guidelines Responses to questions do not answer the question or are too vague Responses to questions do not answer the question or are too vague Limited or no comparative information presented Limited or no comparative information presented Limited or no response/action plans to “key challenges” presented Limited or no response/action plans to “key challenges” presented Some action plans linked to strategic goals are too general in nature to determine specific targets and/or timelines Some action plans linked to strategic goals are too general in nature to determine specific targets and/or timelines It’s OK to talk about future plans It’s OK to talk about future plans

19. Our Observations References made to surveys, but no data presented References made to surveys, but no data presented Survey results depicted appear to present responses to only select survey questions Survey results depicted appear to present responses to only select survey questions Too many Category 7 measures consisting of “counts of things” or just “workload” related Too many Category 7 measures consisting of “counts of things” or just “workload” related Don’t ignore other operating locations throughout the state Don’t ignore other operating locations throughout the state Shading on charts/use of colors difficult to distinguish when printed in black and white Shading on charts/use of colors difficult to distinguish when printed in black and white

20. Our Observations A couple of specific examples Segmentation: The university has segmented its student population by place of origin (i.e. high school, state, country), by major area of study, and by type of program delivery and location (i.e. attendance in residence, commuter, and long distance learning).

21. Our Observations Actions linked to the Strategic Plan: While employee well-being is one of the organization’s strategic goals, related action plans and measures are not evident. Without this information, it is not clear how the organization addresses and supports this strategic goal.

22. Questions & Answers Part 2 to follow

23. Baldrige Criteria An aligned, systematic approach for conducting business that integrates and focuses on: An aligned, systematic approach for conducting business that integrates and focuses on: Leadership Leadership Strategic Planning Strategic Planning Student, Stakeholder, and Market Focus Student, Stakeholder, and Market Focus Measurement, Analysis, and Knowledge Management Measurement, Analysis, and Knowledge Management Faculty and Staff Workforce Focus Faculty and Staff Workforce Focus Process Management Process Management Organizational Performance Results Organizational Performance Results

24. The Baldrige System and the Accountability Report

25. MBNQA Background Created in 1987 Created in 1987 Response to Global Competition Response to Global Competition Public Law 100-107 Public Law 100-107 Malcolm Baldrige National Quality Awards (MBNQA) To improve organizational performance practices To improve organizational performance practices To serve as a tool for understanding and managing performance, planning and training To serve as a tool for understanding and managing performance, planning and training To facilitate the sharing of best practices To facilitate the sharing of best practices Administered by the National Institute for Standards and Technology (NIST) Administered by the National Institute for Standards and Technology (NIST)

26. The Baldrige Program “The Baldrige program has been described by CEO’s as the most important catalyst for transforming American business....and the publication containing the Baldrige criteria has been hailed as probably the most influential document in the history of American business!” The Honorable Sherwood Boehlert (R-NY) Chairman, House Science Committee

27. Why Use the Baldrige Criteria? (Higher Education) To improve student achievement To improve student achievement To improve faculty and staff satisfaction To improve faculty and staff satisfaction To achieve strategic goals To achieve strategic goals To align resources to goals To align resources to goals To improve productivity, efficiency, and effectiveness To improve productivity, efficiency, and effectiveness To reduce costs – improve revenues To reduce costs – improve revenues To improve market share To improve market share To measure performance To measure performance To meet/exceed legal, regulatory, and accreditation requirements To meet/exceed legal, regulatory, and accreditation requirements

28. Past Baldrige Winners Higher Education 2005 Richland College - Dallas, Texas 2004 Monfort College of Business, University of Colorado – Greeley, Colorado 2001 University of Wisconsin (Stout) – Menomonie, Wisconsin

29. Application and Linkages in SC State Government Agency Accountability Report Agency Accountability Report Addresses all 7 Baldrige categories Baldrige “light” version Budget Request Process Budget Request Process Linked to Accountability Report Agency Head Salary Review Commission Agency Head Salary Review Commission Linked to “Performance Excellence” (Baldrige Criteria) Organizational Self Assessment Tool Use report for continuous improvement Organizational Self Assessment Tool Use report for continuous improvement

30. KEY LINKAGES Many questions are connected (linked) to other questions in the same or other Categories and the Organizational Profile. These questions, taken together, provide a holistic description of the organization’s: Effectiveness of key processes and degree of organizational deployment Effectiveness of key processes and degree of organizational deployment Integration of key processes Integration of key processes Evidence of continuous learning/improvement Evidence of continuous learning/improvement Degree of process management, leading to improving performance/results/outcomes Degree of process management, leading to improving performance/results/outcomes Overall effectiveness (systems approach to conducting business) Overall effectiveness (systems approach to conducting business)

31. KEY LINKAGES Example 1: Category 2 – Strategic Planning Key linkages to:  Strategic Challenges (Executive Summary)  Senior leadership direction, participation, communication, review process (Cat. 1)  Targeting students and stakeholders, and their requirements (Cat.3)  Process for measuring/monitoring/managing performance (Cat. 4)  Workforce performance management system/HR goals (Cat.5)  Improvement approaches/methodologies (Cat. 6)  Key performance results (Cat. 7)

32. KEY LINKAGES Example 2: Category 4 – Measurement, Analysis, and Knowledge Management Key linkages to: Senior management direction setting/key measures determination and review process (Cat.1) Senior management direction setting/key measures determination and review process (Cat.1) Tracking targets for strategic goals, strategies and action plans/deployment of measures (Cat. 2; all others) Tracking targets for strategic goals, strategies and action plans/deployment of measures (Cat. 2; all others) Maintaining organizational/workforce knowledge (Cat.5) Maintaining organizational/workforce knowledge (Cat.5) Determination process for improving key processes Determination process for improving key processes ( Cat. 6) ( Cat. 6) Reporting of key results (Cat. 7) Reporting of key results (Cat. 7)

33. Strategic Plan Training Plan EPMS Organizational Performance - Linkages (Accountability Report )

34. Category 7 Example

35. MOnfort College Cat. 7.1 – Student Learning Results

36. Richland College Cat 7.1 – Student Learning Results

37. PREPARING THE REPORT Some Suggestions: Data/information collection Start early Start early Use multiple approaches for collecting data/information Use multiple approaches for collecting data/information Use other internal reports (last year’s AR report, budget request documents, strategic plan, misc. other reports) Use other internal reports (last year’s AR report, budget request documents, strategic plan, misc. other reports) Distribute prior year’s AR to each Division (highlight prior year’s data submitted) Distribute prior year’s AR to each Division (highlight prior year’s data submitted) Review AR’s from other agencies Review AR’s from other agencies Conduct internal surveys Conduct internal surveys Conduct external research for benchmarking information Conduct external research for benchmarking information

38. PREPARING THE REPORT Some Suggestions: Writing the AR Coordinate, coordinate, coordinate Coordinate, coordinate, coordinate Include management and those who provided key inputs Include management and those who provided key inputs Use feedback to help make revisions Use feedback to help make revisions Work with organization’s CFO (relating to financial performance and completion of expenditures/appropriations chart) Work with organization’s CFO (relating to financial performance and completion of expenditures/appropriations chart) Consult with executive/senior management often Consult with executive/senior management often

39. PREPARING THE REPORT Additional thoughts and ideas: Use single person writing style Use single person writing style Consider linkages Consider linkages Find expert on constructing charts Find expert on constructing charts Find good proofreader/editor Find good proofreader/editor Person who has overall responsibility for AR needs to be kept informed on organization’s plans and key activities; attend key business meetings Person who has overall responsibility for AR needs to be kept informed on organization’s plans and key activities; attend key business meetings Use AR preparation process as a training tool and organizational improvement tool Use AR preparation process as a training tool and organizational improvement tool Capture “lessons learned” after report submission Capture “lessons learned” after report submission ……and use them to drive improvement

40. Key Recommendations Have a plan Start early Start early Have a strategic plan Have a strategic plan Agree on key measures Agree on key measures Make report a living document Make report a living document Active participation by management Active participation by management

41. The Accountability Report NOT JUST ANOTHER REPORT! (the potential is too great)

42. WHAT WE DO The Organizational Performance and Accountability Team Provide feedback on Accountability Reports Provide feedback on Accountability Reports Key Strengths Key Strengths Key Opportunities for Improvements Key Opportunities for Improvements General Comments General Comments Provide consulting services Provide consulting services Provide training on organizational improvement topics Provide training on organizational improvement topics Provide information to the Ways and Means Staff Provide information to the Ways and Means Staff

43. For Additional Information Office of the State Budget Office of the State Budgetwww.budget.sc.gov/OSB-forms.phtm Suzie Rast (734 – 0647) Garry Monjo (734 – 0919) srast@budget.sc.gov gmonjo@budget.sc.gov SC State Government Improvement Network www.scsgin.org SC State Government Improvement Network www.scsgin.org Baldrige National Quality Program Baldrige National Quality Programwww.quality.nist.gov

44. Questions and Answers