An Employee Orientation on Performance Management

at HUD

U.S. Department of Housing and Urban Development

October 2006

Office of Administration

2

What are the Objectives for this Orientation?

To announce the new ePerformance initiative

To provide an overview of HUD’s performance management systems and to introduce the concepts of a Results-Oriented Performance Culture

To introduce the new ePerformance system and provide an overview of system capabilities and improvements

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What are HUD’s Performance Management Systems?

  EPPES

EPPESPACS

PACSEPACS

EPACSRating Cycle October 1 –

September 30(Procedures for NFFE Locals may vary)

October 1 – September 30

October 1 – September 30

5 Level Performance Ratings

O – OutstandingE – ExcellentFS – Fully SuccessfulMS – Minimally SatisfactoryUS – Unsatisfactory(Changed to match PACS and EPACS systems)

O – OutstandingE – ExcellentFS – Fully SuccessfulMS – Minimally SatisfactoryUS – Unsatisfactory

O – OutstandingE – ExcellentFS – Fully SuccessfulMS – Minimally SatisfactoryUS – Unsatisfactory

Basis for Evaluation

Critical Elements  Performance Standards

Critical Elements (Strategic Goals) Performance Objectives

Critical Elements (Strategic Goals) Performance Objectives

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Why ePerformance?

OPM is placing greater emphasis on all aspects of performance management, including:

Accountability, at all levels, for achieving results

Using results-oriented performance standards

Establish a clear link within the organization and the mission of that organization

Communication between supervisors and employees

ePerformance allows HUD to address the above OPM requirements

ePerformance eliminates the paper chase and automates performance management, making it easier to monitor the entire process at HUD

5

What is the ePerformance Rollout?

The ePerformance Rollout is an exciting new initiative designed to strengthen performance management at HUD

ePerformance involves:

Expanding the Beta Site initiative for the results-oriented performance culture

The Beta Site was an OPM initiative requiring agencies to strengthen their performance management systems by focusing on results

HUD Beta Site included ADMIN and CPD

Developing S.M.A.R.T. (Specific, Measurable, Attainable, Relevant, and Time-Bound) performance plans

Implementing a new module in HIHRTS which will automate HUD’s performance management systems

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Who will be involved in theePerformance Roll Out?

ADMIN and CPD were the first to participate in HUD’s results-oriented performance culture

These offices implemented new S.M.A.R.T. performance plans for their employees beginning in April 2006

Six additional organizations will be added to HUD’s results-oriented performance culture:

FHEO

GNMA

HHLHC

All of these organizations, including ADMIN and CPD, will be implementing the new HIHRTS module, ePerformance, for automated performance management

OCFO

OCIO

OCPO

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What is the new ePerformance System?

ePerformance is the new HIHRTS Performance Management module that

guides employees and managers through the steps of the performance review process

provides automated documentation of performance expectations and achievements

provides the background for quality manager and employee discussions

ePerformance replaces the automated PACS and EPACS systems, automates the manual EPPES system, and maintains all three systems within HIHRTS

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What can ePerformance do for HUD?

Simplifies the Performance Management Process with on-line access

Provides On Demand Access to Key Information

Real-time view of status; including complete, missing, and overdue actions

Improved HR reporting across the Department

Strengthens Performance Management

Emphasizes accountability at all levels for achieving results

Makes it easier to monitor the entire process

Requires clear distinctions between various levels of performance

Increases Flexibility

Automated calculation of summary ratings

Electronic routing to Employees, Managers, HR, and NFC

Automates goal setting and alignment within an organization

Facilitates communication of goals, strategies, and initiatives

Create, routes and prints plans from online

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What training will be provided?

There will be two phases of training:

Employee Orientation (this session)

An overview of HUD’s performance management process and current performance management systems (EPPES, PACS, EPACS)

A discussion of the new S.M.A.R.T. performance plans that focus on results

A review of employee responsibilities in the performance management process

Review of the ePerformance Roll Out project and schedule

ePerformance System Training (employees, managers, and supervisors)

Introduction to the system and how the system works

How to input, manage, and maintain performance plans

An opportunity to navigate within the system

A new employee guidebook on performance management will also be provided

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What are S.M.A.R.T Standards?

Standards that have clearly defined measures; are aligned with organizational goals; emphasize accountability for achieving results; and follow this criteria:

Specific - elements need to clearly identify expected results

Measurable - elements should have clearly defined measures

Attainable - elements should be achievable, i.e., within the employees reach

Relevant - elements should be applicable to the employee’s position and to the mission of the

organization

Time-bound - elements should indicate when the expected results should be achieved

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What type of Measures should S.M.A.R.T. Standards include?

Employee performance can be measured based on:

Quality

How well

Number of allowable errors

Quantity

How much

Percentage of accurate outputs

Timeliness

How quickly

Indicate a specific timeframe

Cost-effectiveness

Percentage of cost savings, time savings or waste reduction

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S.M.A.R.T. standards should avoid the appearance of requiring perfection

When writing performance standards, avoid the use of “all,” “never,” “every,” etc., these words create Absolute Standards

For strategic alignment, at least one critical element should be related to the Department’s strategic goals (more if possible)

Standards should be results-oriented

60% to 80% of the standards should be S.M.A.R.T.

What should Everyone know about S.M.A.R.T. Standards?

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Summary: ePerformance Road Map

SMART Standards in Red and ePerformance in Blue

Recognize top achievers for results

Final rating to NFC

More discussion re: organization mission; employee role; results expected

Helps managers and employees collaborate online to develop performance plans

S.M.A.R.T. Standards (Specific, Measurable, Attainable, Relevant, Time-bound)

Online review and updates by Employees and Supervisors

Continuous feedback to clearly distinguish the levels of performance

E-mail notifications when actions are required

Identify and address performance issues early on

Automatic routing and real time reporting on completed plans

Evaluate employee accomplishments and results

Automated calculation of plan ratings

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What’s Next - Planned Activities?

ePerformance system “Go Live”

Finalize training plans

Employee Orientation/training, including an overview of S.M.A.R.T. Standards

Performance Management training for managers and supervisors, including of S.M.A.R.T. Standards

ePerformance system training for managers and supervisors

ePerformance system training for employees