From

1
From Reducing Stakeholder ResistanceTo
Creating Stakeholder Acceptance

• Date November 16, 2005

2

• Strategy
• How do you ensure a competitive process that
  fosters a focus on Agency objectives that
  encompass stakeholder interest?

3
Identify the Stakeholders and their Interests
Stakeholders Their Interests
Agency Leadership Result, performance, and cost
Line Managers Loss of control, loss of jobs, and better performance
Customers Enhanced capability and responsiveness
Suppliers Inclusiveness
Congress Loss of jobs, performance, and cost timely reporting
OMB Efficacies and cost savings
Bidding Entities Winning
Union Fair equitable process (winning), and zero job loss ensuring their agency is competitive facilitating and ensuring employees are receiving necessary skills to obtain jobs in the future
IG Legal Counsel Ensuring compliance with all the rules and regulations
GAO Ensuring compliance with all the rules and regulations and performance and cost reduction
4
Actions that can be taken to meet stakeholder
interests

• Create a performance based contract-like
  environment for all lines of business
• Establish a goal of zero involuntary separation
• Proactively communicate, educate, and engage
  stakeholders
• Ensure fairness in competition
• Use options in addition to competitive sourcing

5
Create a performance based contract-like
environment for all lines of business

• Develop performance goal, standards and measures
  for each line of business
• develop total cost of operation
• Calculate the broader cost to the organization vs
  limiting the cost of the competition through the
  competition itself
• Ex Change Management Costs

6
Establish a goal of zero involuntary separation

• A zero job loss goal is not a commitment.
• Voluntary separation incentives
• early retirement
• separation incentive payments
• Alternative Placements
• Internal Current Agency and Other government
  agencies
• External private sector, etc
• Strategic Human Capital Planning
• Skills, Attrition, and Training Management
• Create a Human Capital Investment Funds to
  address skill gaps
• Perception of fairness of the competitive
  sourcing

7
Proactively communicate, educate, and engage
stakeholders

• Communicate using marketing tools and approaches
  to dispel myths.
• Educate beyond the affected organization to keep
  stakeholders engaged
• Ensure executive leadership personally engages
  with employees and managers
• Forums, town-halls, etc

8
Ensure fairness in competition

• Ensure transparency in the process
• Bring stakeholders in early
• FOLLOW THE RULES!
• If necessary, be advocates for changes to the
  rules to ensure fairness

9
Use options in addition to competitive sourcing

• Foster competition within the government
• Franchise Funds
• Working capital funds
• Line of business effort
• Leveraging the lost bidders best practices
• Competition against the performance target vs
  competition against the outside