The Accountability Report

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• The Accountability Report
• Supporting Business Excellence
• in Government
• Presented by
• The State Government Improvement Network
• In Partnership with
• The Office of the State Budget

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Presentation Overview

• Accountability reporting requirement
• Changes to the 2009 Guidelines
• Standardizing the report
• Feedback Report observations
• Questions and answers
• BREAK
• Baldrige and the accountability report
• Suggestions and approaches to preparing the
  report
• The 2009 Guidelines
• Using the report
• The Organizational Performance and Accountability
  Team (our function)
• Questions and answers

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Accountability Reporting Requirements

• 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)
• Suspense Date September 15, 2009

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Accountability Reporting Requirements

• 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)

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2009 Changes

• Category 1 Leadership
• Added Note
• The term senior leadership refers to an
  organizations senior management group or team.
  It consists of the head of the organization and
  his or her direct reports.
• No other changes for this category.

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2009 Changes

• Category 2 - Strategic Planning
• (Page 2 of Guidelines)
• The Key Action Plan/Initiatives column in the
  Strategic Planning Chart should include your
  initiatives, plans, and timelines to accomplish
  the goals/objectives for FY 08-09 and beyond
  listed in the second column.

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(No Transcript)
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2009 Changes

• Category 2 - Strategic Planning
• (Page 4 of Guidelines)
• 1. c Deleted duplication of regulatory,
  societal and other potential risks
• No other changes for this category.

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2009 Changes

• Category 3 Customer Focus
• 6. How do you build positive relationships with
  customers and stakeholders to meet and exceed
  their expectations? Indicate any key
  distinctions between different customer and
  stakeholder groups.
• No other changes for this category.

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2009 Changes

• Category 4 Measurement, Analysis, and Knowledge
  Management
• 2. How do you select, collect, align and
  integrate data/information for analysis to
  provide effective support for decision making and
  innovation throughout your organization?

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2009 Changes

• Category 4 Measurement, Analysis, and Knowledge
  Management
• 5. How do you ensure data integrity,
  reliability, timeliness, accuracy, security and
  availability for decision making?
• 7. How do you collect, transfer and maintain
  organizational and employee workforce knowledge
  (knowledge assets)? How do you identify, share
  and implement best practices, as appropriate?

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Standardizing the Report

• Same format between agencies
• Same use of reference numbers
• Maximum recommended length of 50 pages
• The desire is for all reports to have
• the same look and feel
• as the reports that are reviewed and used by
  individuals external to the organization
• that prepared the report.

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Use Report for Self-Assessment

• Identify Strengths
• Identify Opportunities for Improvement
• - Prioritize
• - Allocate Resources
• - Monitor, Measure, and Manage

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WHAT WE SEEThe Organizational Performance and
Accountability Team

• Use of outdated Guidelines
• Responses to questions do not answer the question
  or are too vague
• Limited or no comparative information 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
• Its OK to talk about future plans

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WHAT WE SEEThe Organizational Performance and
Accountability Team

• References made to surveys, but no data presented
• 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
• Dont ignore other operating locations throughout
  the state
• Shading on charts/use of colors difficult to
  distinguish when printed in black and white

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WHAT WE SEEThe Organizational Performance and
Accountability Team
A couple of specific examples Segmentation The
Department has segmented its customer population
by place of origin (i.e. Low Country, Midlands,
Upstate) and by major program area most used.
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WHAT WE SEEThe Organizational Performance and
Accountability Team
Actions linked to the Strategic Plan While
employee well-being is one of the organizations
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.
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For Additional Information
Baldrige National Quality Program www.quality.ni
st.gov SC State Government Improvement
Network www.scsgin.org SC Quality
Forum www.scquality.com Office of the State
Budget http//www.budget.sc.gov/OSB-index.phtm Suz
ie Rast srast_at_budget.sc.gov 734-0647 Garry
Monjo gmonjo_at_budget.sc.gov 734-091
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• Questions Answers

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Accountability Report Guidelines are based on the
Baldrige Criteria

• An aligned, systematic approach for conducting
  business that integrates and focuses on
• Leadership
• Strategic Planning
• Customer and Market Focus
• Measurement, Analysis, and Knowledge Management
• Human Resource Focus
• Process Management
• Business Results

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Application and Linkages in SC State Government

• Agency Accountability Report
• Addresses all 7 categories
• Includes more than 40 Baldrige related questions
• Budget Request Guidelines
• Linked to Accountability Report
• Agency Head Salary Review Commission
• Linked to Performance Excellence (Baldrige
  Criteria)
• Mini-Organizational Self Assessment
• Establishes Organizational Baseline

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Seven Categories

• (1) Leadership 120
• (2) Strategic Planning 85
• (3) Customer Market Focus 85
• Measurement, Analysis, and
• Knowledge Management 90
  
• (5) Human Resource Focus 85
• (6) Process Management 85
• (7) Business Results 450
• Total Points
  1,000

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The Baldrige Systemand the Accountability Report
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MBNQA Background

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

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Elements of Categories 1 6

• Categories 1 6 Approach
• Effectiveness of methods and techniques to the
  criteria requirements
• Focus on continuous improvement
• 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 with all
  relevant customers, suppliers and the general
  public

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Elements of the Results Category

• Category 7 Results
• Levels of past and current performance future
  projections
• Linkage to approach/deployment
• Rate/Speed/Breadth of performance improvement
• Performance comparisons and benchmarks

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Key Recommendations

• Have a plan to produce the Accountability Report
• Have a strategic plan
• Agree on mission related key processes and
• related key measures
• Look at category 7 first - Results
• Make report a living document

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Key Recommendations

• Active participation by management
• Begin with the Leadership category
• Leadership must set
• Direction
• Expectations
• Example

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Category 1 - Leadership

• 1.1 How do senior leaders set, deploy, and
  ensure two-way communication for
• a) short and long term organizational directions
  and organizational priorities?
• b) performance expectations?
• c) organizational values?
• d) ethical behavior?

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Category 1 - Leadership

• 1.2 How do senior leaders establish and promote a
  focus on customers and other stakeholders?
• 1.3 How does the organization address the current
  and potential impact on the public of its
  products, programs, services, facilities and
  operations, including associated risks?

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Category 1 - Leadership

• 1.4 How do senior leaders maintain fiscal, legal
  and regulatory accountability?
• 1.5 What key performance measures do senior
  leaders regularly review to inform them on needed
  actions? (Actual results are to be reported in
  Category 7.)

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Category 1 - Leadership

• 1.6 How do senior leaders use organizational
  performance review findings and employee feedback
  to improve their own leadership effectiveness,
  the effectiveness of management throughout the
  organization including the head of the
  organization, and the governance board/policy
  making body? How do their personal actions
  reflect a commitment to the organizational
  values?
• 1.7 How do senior leaders promote and personally
  participate in succession planning and the
  development of future organizational leaders?

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Category 1 - Leadership

• 1.8 How do senior leaders create an environment
  for performance improvement and the
  accomplishment of strategic objectives?
• 1.9 How do senior leaders create and environment
  for organizational and workforce learning?

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Category 1 - Leadership

• 1.10 How do senior leaders communicate with ,
  engage, empower, and motivate the entire
  workforce throughout the organization? How do
  senior leaders take an active role in reward and
  recognition processes to reinforce high
  performance throughout the organization?
• 1.11 How do senior leaders actively support and
  strengthen the communities in which your
  organization operates? Include how senior
  leaders determine areas of emphasis for
  organizational involvement and support, and how
  senior leaders, the workforce, and the
  organization contribute to improving these
  communities.

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Category 7 - Business Results

• 7.1 What are your performance levels and trends
  for your key measures of mission
  accomplishment/product and service performance
  that are important to your customers? How do
  your results compare to those of comparable
  organizations?
• Linked to 2.1 a a f, 3.1, 3.3 and 6.1 for the
  what
• and 2.2 2.5, 3.2, 3.4, 3.5, 3.6
• and 6.4 for the how.

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Category 7 - Business Results

• 7.2 What are your performance levels and trends
  for your key measures on customer satisfaction
  and dissatisfaction (a customer is defined as an
  actual or potential user of your organizations
  products or services)? How do your results
  compare to those of comparable organizations?
• Linked to 3.4

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Category 7 - Business Results

• 7.3 What are your performance levels and trends
  for the key measures on financial performance,
  including measures of cost containment, as
  appropriate?
• Linked to 4.1 and 6.2 and 6.4

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Category 7 - Business Results

• 7.4 What are your performance levels and trends
  for the key measures workforce engagement,
  workforce satisfaction, the development of your
  workforce, including leaders, workforce
  retention, workforce climate including workplace
  health, safety, and security?
• Linked to Category 5

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Category 7 - Business Results

• 7.5 What are your performance levels and trends
  for your key measures of organizational
  effectiveness/operational efficiency, and work
  system performance (these could include measures
  related to the following product, service, and
  work system innovation rates and improvement
  results improvements to cycle time supplier and
  partner performance and results related to
  emergency drills of exercises)?
• Linked to 1.5 (which all measures are)

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Category 7 - Business Results

• 7.6 What are your performance levels and trends
  for the key measures of regulatory/legal
  compliance and community support?
• Linked to 1.4 and 1.11

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Category 2 - Strategic Planning

• 2.1 What is your strategic planning process,
  including key participants, and how does it
  address
• a) your organizations strengths, weaknesses,
  opportunities and threats
• b) financial, regulatory, societal and other
  potential risks
• c) shifts in technology and customer preferences
• d) human resource capabilities and needs
• e) organizational continuity in emergencies
• f) your ability to execute the strategic plan.

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Category 2 - Strategic Planning

• 2.2 How do your strategic objectives address the
  strategic challenges you identified in your
  Executive Summary? (Section I, Question 4)
• 2.3 How do you develop and track action plans
  that address your key strategic objectives, and
  how do you allocate resources to ensure the
  accomplishment of your action plans?

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Category 2 - Strategic Planning

• 2.4 How do you communicate and deploy your
  strategic objectives, action plans and related
  performance measures?
• 2.5 How do you measure progress
• on your action plans?

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Category 2 - Strategic Planning

• 2.6 How do you evaluate and improve your
  strategic planning process?
• 2.7 If the agencys strategic plan is available
  to the public through the agencys internet
  homepage, please provide an address for that
  plan.

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Category 3 - Customer Focus

• 3.1 How do you determine who your customers are
  and what their key requirements are?
• 3.2 How do you keep your listening and learning
  methods current with changing customer/business
  needs and expectations?
• 3.3 What are your key customer access mechanisms,
  and how do these access mechanisms enable
  customers to seek information, conduct business,
  and make complaints?

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Category 3 - Customer Focus

• 3.4 How do you measure customer/stakeholder
  satisfaction and dissatisfaction, and use this
  information to improve?
• 3.5 How do you use information and feedback from
  customers/stakeholders to keep services or
  programs relevant and provide for continuous
  improvement?
• 3.6 How do you build positive relationships with
  customers and stakeholders to meet and exceed
  their expectations? Indicate key distinctions
  between different customer and stakeholder groups.

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Category 4 Measurement, Analysis and Knowledge
Management

• 4.1 How do you decide which operations, processes
  and systems to measure for tracking financial and
  operational performance, including progress
  relative to strategic objectives and action
  plans?
• 4.2 How do you select, collect, align and
  integrate data/information for analysis to
  provide effective support for decision making and
  innovation throughout the organization?

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Category 4 Measurement, Analysis and Knowledge
Management

• 4.3 What are your key measures, how do you review
  them, and how do you keep them current with
  organizational service needs and directions?
• 4.4 How do you select and use key comparative
  data and information to support operational and
  strategic decision making and innovation?

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Category 4 Measurement, Analysis and Knowledge
Management

• 4.5 How do you ensure data integrity, reliability
  timeliness, accuracy, security, and availability
  for decision making?
• 4.6 How do you translate organizational
  performance review findings into priorities for
  continuous improvement?
• 4.7 How do you collect, transfer and maintain
  organizational and workforce knowledge? How do
  you identify, share and implement best practices,
  as appropriate?

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Category 5 Workforce Focus

• 5.1 How does management organize and measure work
  to enable your workforce to
• 1) develop to their full potential, aligned with
  the organizations objectives, strategies and
  action plans and
• 2) promote cooperation, initiative, empowerment,
  teamwork , innovation and your organizational
  culture?
• 5.2 How do you achieve effective communication
  and knowledge/skill/best practice sharing across
  departments, jobs, and locations? Give examples.

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Category 5 Workforce Focus

• 5.3 How does management recruit, hire, place, and
  retain new employees? Describe any barriers that
  you may encounter.
• 5.4 How do you assess your workforce capability
  and capacity needs, including skills,
  competencies, and staffing levels?
• 5.5 How does your workforce performance
  management system, including feedback to and from
  individual members of the workforce support high
  performance work and contribute to the
  achievement of your action plans?

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Category 5 Human Resources

• 5.6 How does your development and learning system
  for leaders address the followinga) development
  of personal leadership attributes
• b) development of organizational knowledge
• c) ethical practices
• d) your core competencies, strategic challenges,
  and accomplishment of action plans?

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Category 5 Human Resources

• 5.7 How do you identify and address key
  developmental training needs for your workforce,
  including job skills training, performance
  excellence training, diversity training,
  management/leadership development, new employee
  orientation, and safety training?
• 5.8 How do you encourage on-the-job use of new
  knowledge and skills?

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Category 5 Human Resources

• 5.9 How does employee training contribute to the
  achievement of your action plans?
• 5.10 How do you evaluate the effectiveness of
  your workforce and leader training and
  development system?
• 5.11 How do you motivate your workforce to
  develop and utilize their full potential?

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Category 5 Human Resources

• 5.12 What formal and/or informal assessment
  methods and measures do you use to obtain
  information on workforce well-being,
  satisfaction, and motivation? How do you use
  other measures such as employee retention and
  grievances? How do you use this information?
• 5.13 How do you manage effective career
  progression and effective succession planning for
  your entire workforce throughout the organization?

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Category 5 Human Resources

• 5.14 How do you maintain a safe, secure, and
  healthy work environment? (Include your
  workplace preparedness for emergencies and
  disasters.)

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Category 6 Process Management

• 6.1 How do you determine and what are your
  organizations core competencies, and how do they
  relate to your mission, competitive environment,
  and action plans
• 6.2 How do you determine and what are your key
  processes that produce, create or add value for
  your customers and your organization and how do
  they relate to your core competencies? How do
  you ensure these processes are used?
• 6.3 How do you incorporate organizational
  knowledge, new technology, cost controls, and
  other efficiency and effectiveness factors, such
  as cycle time, into process design and delivery?

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Category 6 Process Management

• 6.4 How does your day-to-day operation of these
  processes ensure meeting key performance
  requirements?
• 6. 5 How do your systematically evaluate and
  improve your key product and service related
  processes?
• 6.6 What are your key support processes, and how
  do you evaluate, improve, and update these
  processes to achieve better performance?

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Category 6 Process Management

• 6.7 How does your organization determine the
  resources needed to meet current and projected
  budget and financial obligations?

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Category 7 Example
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PREPARING THE REPORT

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

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PREPARING THE REPORT

• Some Suggestions
• Writing the AR
• Coordinate, coordinate, coordinate
• Include management and those who provided key
  inputs
• Use feedback to help make revisions
• Work with organizations CFO (relating to
  financial performance and completion of
  expenditures/appropriations chart)
• Consult with executive/senior management often

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PREPARING THE REPORT

• Additional thoughts and ideas
• Use single person writing style
• Consider linkages (describe your business system)
• Find expert on constructing charts
• Find good proofreader/editor
• Person who has overall responsibility for AR
  needs to be kept informed on organizations plans
  and key activities attend key business meetings
• Use AR preparation process as a training tool and
  organizational improvement tool
• Capture lessons learned after report submission

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Additional Information

• Suspense Date September 15, 2009

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WHAT WE DOThe Organizational Performance and
Accountability Team

• Provide feedback on Accountability Reports
• Key Strengths
• Key Opportunities for Improvements
• General Comments
• Provide consulting services
• Provide training on organizational improvement
  topics
• Provide information to the House Ways and Means
  Staff

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For Additional Information
Baldrige National Quality Program www.quality.ni
st.gov SC State Government Improvement
Network www.scsgin.org SC Quality
Forum www.scquality.com Office of the State
Budget http//www.budget.sc.gov/OSB-index.phtm Suz
ie Rast srast_at_budget.sc.gov 734-0647 Garry
Monjo gmonjo_at_budget.sc.gov 734-0919
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• Questions Answers