Management Accountability Programs. The Partners. Laura Chalkley Division Chief Training & Organizational Development, Workforce Planning and Staffing

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1 Management Accountability Programs The Partners Laura Chalkley Division Chief Training & Organizational Development, Workforce Planning and Staffing Jeanne Wardlaw, Division Chief Compensation, Payroll, and Information Resources 1

2 About Arlington County A 26-square mile county across the Potomac from Washington, DC Diverse Urban with distinctive neighborhoods Educated population Home to the Pentagon Over 200,000 population Arlington Vision Arlington will be a diverse and inclusive world-class urban community with secure, attractive residential and commercial neighborhoods where people unite to form a caring, learning, participating, sustainable community in which each person is important. About the Government Arlington County Government 3600 permanent employees Multiple lines of business through 13 departments and constitutional agencies County Manager form of government Traditional HR System Known for innovative HR programs including alternative pay and employee development programs 2

3 Learning Organization Provide a common framework for learning and encourage learning as an ongoing part of work Developed a behavioral competency model as foundation for future alignment and integration of HR programs Implemented learning programs to support employee growth and development in competencies Integrated Multi-rater feedback instrument based on five competencies in pay-for for-performance program How Did This Get Started County Manager wanted a flexible system to reward his direct reports Employee Engagement Survey showed that employees wanted managers to improve in: communicating organizational goals clearly and specifically clearly communicating performance expectations recognizing and rewarding outstanding achievement creating clear project and individual work plans and timetables for completion HOW WE GOT HERE January 2003 January 2005 Small committee worked on pay for performance for entire County Executive Management Accountability (EMAP) implemented created new class of employee Senior Management Accountability Program (SMAP) implemented for next layer January 2006 Extended Management Accountability Program (XMAP) implemented for senior level program managers 3

4 System Components Flexible pay and benefits system Strong performance management system Overall program centrally managed Individual pay decisions and performance expectations managed by departments Overall review by human resources for consistency, fairness, and budget PAY PLAN DESIGN Pay Bands (tied( to County pay scale) Increases linked to performance Market surveys conducted Common anniversary date Guidelines issued for maximum increases Budget set for program Benefits Design Flexibility in leave accrual and front loading Employer match for deferred compensation Flexibility to negotiate other Severance package 4

5 Performance Management System Arlington Performs Yearly cycle of setting & communicating expectations Frequent feedback 360 assessment from direct reports, supervisor, co-workers/customers Feedback based on county-wide performance Implementation Initial recommendations from HR Departmental input for inclusion Employees notified Step buyouts Orientation meetings Baseline 360 Yearly refreshers for both supervisors and participants Tools to Help Worksheet 360 Report Ratings chart Refresher training How to use tools Performance management Due dates How to interpret data 5

6 Demonstration Worksheet PERF RATING CURRENT % PERF $ PERF ADDITIONAL COMP EMPL # LAST NAME FIRST NAME # ANNUAL INC INC NEW ANNUAL LUMP SUM 1, $ 80, ONE MANAGER 4 75, $ 4.50% $ 83, TWO MANAGER 4 80, $ $ 4.50% $ 3.25% 87, THREE MANAGER 3 85, $ $ 6.00% 95, FOUR MANAGER , $ $ TOTAL 330, $ 18.3% - $ 1, $ 346, $ $ $ AVERAGE 330, $ 4.56% - $ $ 86, $ PERFORMANCE INCRE 4.59% OVERALL INCREASE % 5.31% Example of 360 Report COMPARISON CHART Entire Group Employee Self Rating Supervisor All Raters Combined Demo highest ethical standards Facilitates Open Exchange of Idea Collaboration & teamwork Stretches and Eliminates Org Boun Self Development Demos commitment to County Mission and HQ Supervises staff effectively Ensures employees have access to too Works effectively with dif cultures and viewpoi Strategically aligns goals etc Provides ongoing career dev opportuniti Promotes work/life balance Provides prof recommendations Measures perf against County Mgmt Pl Problem solving with clear perception of org, env, and pol rea Overall Effectiveness 6

7 Guidelines for Supervisors Evaluate performance Rating of 3 to 4.5 equates to meets expectations Determine performance increase 3% to 5% for meets expectations The higher the score, the higher the increase Review salary survey data and range penetration Review any major changes in job Look at internal equity Determine if additional pay adjustment is warranted beyond performance increase Entire department must stay within budget (TBD) Fill out work sheet and forward to department director or designee Share with employee after review by HRD Why Does This Work Champion from beginning Close collaboration between two divisions in HR Communication and training Staff to support performance management and compensation Provides managers flexibility to manage Central review before final decisions Lessons Learned Be willing to take the plunge and just do it Requires time, energy, and encouragement from HR Market Comparisons are not always easy Performance management is key component to make program work Guidelines are very helpful Make sure you know what the goals are 7

8 Results 85% - key work expectations were clear 66% - motivated to perform at a higher level 73% - program recognized contribution over the past year 80% - discussed opportunities for development and key expectations for next year 70% - program is an improvement over traditional grade/step plan Future Plans Expand program Review frequency of 360 s Implement more refreshers perhaps mandatory Institute more specific salary guidelines Survey participants again 8

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