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Course EXE-PMT-01 Version 3 Summer 2008

Driving Organizational ResultsSystem Overview and Requirements. Slide 1-2. Module Agenda. Today's Workshop will cover:Regulatory drivers of the performance management systemWhat's new in Performance Management?Certification requirements and responsibilitiesDoD Executive and Senior Professional

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Course EXE-PMT-01 Version 3 Summer 2008

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    1. Course EXE-PMT-01 Version 3 Summer 2008

    2. Driving Organizational Results System Overview and Requirements Slide 1-2 Module Agenda Todays Workshop will cover: Regulatory drivers of the performance management system Whats new in Performance Management? Certification requirements and responsibilities DoD Executive and Senior Professional Performance Management System features and requirements DoD Organizational Assessment Tool

    3. Driving Organizational Results System Overview and Requirements Slide 1-3 Learning Objectives Understand the legal requirements for an effective performance management system Understand the DoD Executive and Senior Professional Performance Management features and requirements Understand the Office of Personnel Management (OPM) and Office of Management and Budget (OMB) performance management system certification requirements and the implications for Executives and Senior Professionals Understand how organizational performance is assessed and used in the performance management process

    4. Driving Organizational Results System Overview and Requirements Slide 1-4 Regulatory Drivers Chapter 43 of Title 5, United States Code Provides for performance management for the Senior Executive Service (SES), the establishment of SES performance appraisal systems, and appraisal of senior executive performance. Executive performance management systems must hold senior executives accountable for their individual and organizational performance. Under this guidance, DoD establishes a pay for performance system, defined in Subchapter (SC)920, with focus on strong principles of performance management. A performance culture that encourages a results-driven executive workforce by creating a direct link between the results you achieve and your pay and rewards.

    5. Driving Organizational Results System Overview and Requirements Slide 1-5 Whats New in Performance Management? Promotes a performance culture in which the performance and contribution of the workforce are recognized and rewarded accurately and fairly Establishes common DoD Performance Elements upon which to assess performance Links performance requirements with strategic goals of your organization Links individual performance with organizational performance Uses performance results as a basis for basic pay, bonus, development, and other personnel decisions Requires meaningful distinctions be made in performance by writing effective Performance Requirements and effectively assessing performance

    6. Driving Organizational Results System Overview and Requirements Slide 1-6 Whats New in Performance Management? (contd) Provides for the systematic appraising of performance using measures that balance organizational results with customers, employees, or other perspectives Requires rigorous appraisal of subordinate performance, which means that all the performance cycle components be completed. They are: Planning and communicating performance Monitoring performance Appraising performance Rating performance Using performance results Holds executives accountable for the performance management of their subordinates, i.e., how well you oversee your employees Aligning subordinate performance plans with organizational goals Providing rigorous appraisal of subordinate performance Requires OPM certification and OMB concurrence of the Departments design, application and administration of its performance appraisal system

    7. Driving Organizational Results System Overview and Requirements Slide 1-7 What does Certification mean? Legal Criteria DoDs performance system makes meaningful distinctions in performance based on relative performance as defined by 5 U.S.C. Chapter 43 Key 5 U.S.C. Performance System Requirements Establishment of performance standards which provide for accurate evaluation of performance based on objective criteria related to the job Employee participation in establishing performance standards Monitoring and appraising of performance fairly Use of results of performance appraisals as a basis for paying, training, rewarding, reassigning, promoting, reducing in grade, retaining and removing employees Evaluation of employees based upon individual and organizational performance At least 3 levels of performance (one or more fully successful levels, a minimally satisfactory level, and an unsatisfactory level) Oversight responsibilities to ensure the system operates fairly, efficiently, and effectively

    8. Driving Organizational Results System Overview and Requirements Slide 1-8 What does Certification mean? OPM Criteria Training executives on the design and implementation of the DoD Performance System Writing measurable, results-driven Performance Requirements Measures in Performance Requirements that include quality, quantity, timeliness, and cost effectiveness as applicable Aligning Performance Requirements to organizational goals Consultation of executives and raters about Performance Requirements and expectations for performance Measure of balance in Performance Requirements that includes indicator of employee and or customer feedback

    9. Driving Organizational Results System Overview and Requirements Slide 1-9 What does Certification mean? OPM Criteria (contd) Individual Assessments based upon individual performance and organizational performance that is assessed annually Executive accountability for rigorously evaluating subordinates and cascading and linking organizational goals to subordinates Communication of performance results (ratings and payouts), in the aggregate, to executives Pay differentiation so that those who have demonstrated the highest levels of individual performance receive the highest summary ratings and pay adjustments (bonus and pay increases) Oversight of performance appraisal process to ensure fairness and compliance

    10. Driving Organizational Results System Overview and Requirements Slide 1-10 Certification What does it mean for you? Signals to the workforce that DoD has a creditable, transparent, fair and equitable system for appraising and rewarding individual performance Instills confidence in the workforce that supervisors are capable of making meaningful distinctions in performance and pay Provides authority to apply the higher aggregate limitation on pay equivalent to the rate payable to the Vice President Provides authority to increase in the maximum rate of basic pay from Level III to Level II of the Executive Schedule (SES)

    11. Driving Organizational Results System Overview and Requirements Slide 1-11 How do you impact certification? Executive Responsibilities

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