Harnessing Organizational Performance

1. Harnessing Organizational Performance Performance Measurement In Palm Beach County Wil Brown Financial Management Division December 2003

2. Harnessing Organizational Performance H - Harnessing O - Organizational P - Performance 3 Year, 3 Phase Project Phase 1 – Evaluate Existing Measures (FY 2003-04) Phase 2 – Managing for High Performance (FY 2004-05) Phase 3 – Putting it Into Practice (FY 2005-06) Who: Dept. Management, Budget Analyst, MPA Consultants What: 4-level evaluation to assess the “current state” How: Four 2-hour interactive workshops over 4 weeks.

3. Activities & Resources of Phase 1 HOP Concepts & Definitions (Resources: HOP Manual, HOP Workshops) Current State Evaluation, Identify Gaps (Resources: HOP Team, HOP Report) Update Performance Elements, Fill Gaps (Resources: HOP Team, Department Leaders) Harnessing OrganizationalPerformance

4. Harnessing OrganizationalPerformance Good Performance Measures • Arehighly relevantto managers, staff and stakeholders, • Are morebeneficial than burdensome.

5. Harnessing Organizational Performance Good Performance Measures • Identify opportunities; justify and target areas to improve, • Track progress; identify and quantify success.

6. Harnessing Organizational Performance Mission Statement Objectives Linking the Elements of a Performance Program Performance Measures Linkage reinforces the The organization’s core focus !

7. Harnessing Organizational Performance A Variety of “Types” to Indicate Performance • Output – workload • Efficiency – amount of service per resource • Outcome – results of actions We served 3,200 nutritious meals ! 580 people are enrolled in our meal program Our total cost to provide meals is $3.45 per meal! We served 320 meals per staff person. The malnutrition rate decreased by 20% ! Program enrollment is up 35%

8. Harnessing Organizational Performance A Balanced Use of Business Perspectives • Customer satisfaction,create performance measures to indicate whether the customer is satisfied, • Operational efficiency,create performance measures to indicate the efficient use of resources, • Financial accountability,create performance measures to promote fiscal responsibility and internal controls, • Employee growth & learning,create performance measures to indicate the level of investment in human assets.

9. Harnessing Organizational Performance Phase 1 Evaluate Existing Measures: Collaborative approach, Performance linkages, Content and structure, Balanced Types and Perspectives, Creates a foundation to maintain High Performance!

10. Harnessing Organizational Performance • Summarizes HOP Team findings, • Recommends ways to fill gaps, • Offers Best Practices examples, • Provides Best Practices websites and contact names. Phase 1 Document : The HOP Department Evaluation Report

11. Harnessing Organizational Performance HOP Report Recommendations & Benefits • Create consistency in how PBC’s Performance Program describes the vital, few areas of focus (objectives) and the indicators of success (performance measures). • Vital few means a) the most relevant to the focus of the county, b) less burdensome reporting requirements, c) increased usability for decision making and for communicating organizational performance to others. • Create performance measures from each of the three HOP “types” of performance measures (output, efficiency, outcome). • A good mix shifts focus from “what we processed, the amount we did” – output focus; to “how well we performed” – an efficiency focus and to “the result of processing; the result of improving efficiency” – an outcome focus.

12. Harnessing Organizational Performance HOP Report Recommendations & Benefits • Strive to create performance measures to indicate each of the four HOP business perspectives (customer satisfaction, operational efficiency, financial accountability and employee growth & learning). • The four business perspectives ensure a balanced performance measurement program. One which emphasizes performance from different, but supporting perspectives. • Publicize the mission, put it in places that our employees and our customers see. Use the mission to actively guide how we interact with others and how we view ourselves. • Provides a level of emphasis that creates a guiding awareness of expectations to staff, customers and stakeholders.

13. Communicate performance measure linkages to all, Explain and train on the logic of “new” measures, Introduce informal uses and rewards for good performance measures. Create a performance measurement awareness throughout departments, Motivate the voluntary use and acceptance of “good” performance measures. Harnessing Organizational Performance Phase II Managing for “High Performance” Approach Goal

14. Establish the formal guidelines of the Performance Program, Link budget and personnel actions and incentives to the Performance Program, Receive buy-in throughout the county BCC. Implement a fair, accurate and innovative Performance Program, Finalize institutional logistics that will drive organizational “high performance” Harnessing Organizational Performance Phase III Putting it into Practice: Maintaining “High Performance” Approach Goal

15. Harnessing Organizational Performance • Why should we conduct • a performance review now? • The way we do business… • the services we provide… • a lot has changed since we instituted performance measuring in PBC.

16. Harnessing Organizational Performance How will this evaluation benefit me? It guides you toreplace current indicators that have lost their meaning with ones that provide input for decision making; and meaningfully communicate to staff and stakeholders of your organization.

17. Harnessing Organizational Performance • In tune with the times, • Supports the needs of a dynamic organization, • Designed for success. Performance Measurement In Palm Beach County