Strategic Shift: Optimizing HR's Impact Through Shared Services Presented to IPMA-Montgomery County MD Chapter 2017 Training and Development Forum May 9, 2017 I can't change the direction of the wind, but I can adjust my sails to always reach my destination. Jimmy Dean WHY CHANGE? 2 A Call for Change • NOAA’s Workforce Management Office was in need of change following years of underinvestment and corresponding performance challenges…. • ….just as its parent organization, the Department of Commerce, decided to implement “Enterprise Services” for HR, acquisition, IT, and finance to improve service quality and timeliness * Enterprise Services is a form of “Shared Services” focused within a given Department or agency (in contrast to services that are shared across agencies) 3 Why Shared Services? “Federal agencies already struggle to find the resources they need to pursue their missions—and yet, as budgets continue to shrink, they’re continuously asked to do more with less. By sharing services across departments, agencies can find efficiencies of scale and devote more resources to their core operations. Any change of this magnitude comes with challenges and growing pains. But the switch positions agencies to be more efficient and effective long-term. Shared services is a mission-critical upgrade that federal agencies throughout government need to improve performance. The Partnership for Public Service https://ourpublicservice.org/issues/government-reform/shared-services.php 4 Why Shared Services? 5 Benefits of Shared Services Improved Service Quality Reduced Duplication of Effort Economies of Scale Increased Service Ratios Cost Savings/Avoidance Enhanced Mission Focus 6 Shared Services: Not a “New” Concept • For decades, the Economy Act ( 31 U.S.C. 1535) has authorized agencies to enter into agreements to obtain supplies or services from another agency. • Early shared services in the Federal government began in the 1980s with administrative consolidation efforts. In 1983, the Agriculture Department's National Finance Center opened its doors to other agencies for payroll services. • In the 2000s, the “Lines of Business” effort looked to common business functions across government for opportunities to transform, streamline and share. OPM launched the HR LOB initiative for HR services, payroll, HRIT. • Since 2014, GSA has been applying “Category Management” to buy smarter and more like a single Government enterprise. 7 Discussion Shared Services has many benefits: Group 1 • What are some examples of where shared services is working well in Government? Group 2 • Would your organization be open to shared services? What might be some cultural barriers? 8 They always say time changes things, but you actually have to change them yourself. Andy Warhol A NEW MODEL FOR NOAA HR 9 NOAA’s New Organizational Structure On October 3, 2016 the Workforce Management Office (WFMO)* reorganized in order to, 1) support the transition to Enterprise Services and 2) enable the organization’s capability to deliver strategic HR services to Line Office customers. Director Business Management Division Executive Resources Division Deputy Director Employee & Labor Relations Division Human Capital Policy & Programs Division Senior Advisor Quality Assurance & Accountability Division Consulting Services Division Human Capital Strategy Division *To be renamed the Office of Human Capital Services (OHCS) 10 NOAA’s New Organizational Structure Consulting Services Division Consulting Services Division (CSD) CSD is comprised of the HR Business Partners and HR Business Advisors on four teams that service NOAA’s workforce in talent acquisition and strategic workforce planning. CSD will provide consultative services to hiring managers and employees across NOAA on all phases of the talent acquisition process 11 NOAA’s New Organizational Structure Human Capital Policy & Programs Division Human Capital Policy & Programs Division (HCPPD) HCPPD supports all of NOAA with HR Policy Guidance and Interpretation for GS, CAPS, Wage Mariners; Talent Management Programs include EAP, ADR, Sign Language Interpreters, Honorary Awards and Reasonable Accommodation; Talent Acquisition Programs to include Pathways Program Management, Veterans Program Coordinator, and Volunteer Programs 12 NOAA’s New Organizational Structure Human Capital Strategy Division Human Capital Strategy Division (HCSD) HCSD is comprised of three Centers of Expertise (CoEs), which develop effective human capital management strategies to ensure NOAA is able to recruit, select, develop, and manage a highquality, productive workforce. 13 NOAA’s Model for Service Delivery Focused on the mission and talent acquisition/ management requirements Strategic advisor focused on communications and HR consultation to offices SME focused on deep expertise and building strategic capabilities for NOAA Office (Hiring Managers, HR POCs) HR Business Partner/Advisor Centers of Expertise DOC Enterprise Services DOC Enterprise Services streamline efficiencies through economies of scale Future Model Benefits Improvement in customer service Proactive approach to compliance Streamlined, efficient processes Focus on strategy Enabler of mission 14 Sample Scenario: Filling Positions Role Title Description Hiring Manager Manager who needs to fill a vacancy Local HR In the bureau, the HR advisor whose principle focus is strategic in nature, possesses knowledge of the organization’s mission(s), and is responsible for consulting with the Hiring Manager Enterprise HR The Enterprise Services HR group is responsible for the overall execution of DOC HR activities, including talent acquisition TALENT ACQUISITION STRATEGY AND PLAN RECRUITMENT STRATEGY AND PLAN CLASSIFICATION SUBMIT SF-52 AND HIRING PACKAGE JOB POSTING ASSESSMENT SELECTION ONBOARDING Implementing enabling technologies and transitioning transactional activities will allow retained organizations to serve as the advisory partner for mission customers and will support mission needs through appropriate staffing. 15 Enterprise Services Customer Interactions DOC Enterprise Operating Model Customers can call the Contact Center to speak with a live operator on their issue or contact their CEM representative Customers can log in to the Enterprise Services Self Service to find answers to their common questions, submit ticket requests Added benefits of this model: A common access point to Enterprise Services through the portal A robust, customer-friendly, easy-to-use interactive voice response (IVR) to answer calls Knowledgeable Customer Service Representatives (CSRs) to handle calls Case Management and Knowledge Management to drive consistency, accountability A standard set of metrics to measure/monitor customer service quality Offering customers multiple ways to interact with Enterprise Services will improve overall customer convenience and satisfaction. 16 Parallel Roads to Change • NOAA’s HR Transformation includes two major components: the transition of transactional services to the Department of Commerce (DOC) Enterprise Services Organization (ESO) and WFMO’s transformation into a provider of strategic human capital services. WFMO Redesign Summer 2015 HR Vendor WFMO Workforce Award WFMO Transition August 2016 Reorganization May 2016 – October 2016 Oct. 2016 ESO Design SummerFall 2015 TODAY’S SESSION HR Connect / PAR Go-Live December 2016 AFS DOC ESO Reprogramming Onboarded November 2016 November 2016 ESO Go-Live FY17 Q4 WFMO CoE Stand-Up FY17 Q3 and beyond DOC ESO TRANSITION WFMO TRANSFORMATION TRANSITION OF TRANSACTIONAL HR PROCESSES BUILDING OF STRATEGIC HUMAN CAPITAL SERVICES New Focus: Strategic Conversations Workforce & Succession Planning Position Management, Org Design Employee Engagement Learning & Development HR Analytics, Systems Support Performance Improvement Workforce Reshaping Retention Strategy Competency & Career Management 18 Our dilemma is that we hate change and love it at the same time; what we really want is for things to remain the same but get better. Sydney J. Harris BRINGING ABOUT TRANSFORMATION 19 CHALLENGE #1: RESISTANCE 20 Force Field Analysis Current State Driving Forces Transformation Effort Desired “To-Be” State Restraining Forces (Obstacles) 21 Why People Resist Change 22 Why People Resist Change • Don’t agree with…or don’t understand the need for…the change • Feel insecure and/or fear a loss of control • Have had poor experiences with change in past • Don’t know if they will be successful after the change • Don’t know if the organization will have the plans, resources, or tools to effectively implement the change Note: People don’t naturally resist change – they resist change that is poorly designed/executed! 23 Change Readiness Self-Assessment How have you prepared employees to embrace change? Yes No Have you clearly articulated your vision and the need for change? Can you describe the potential benefits to the organization? For your employees (WIFM)? Are you able to describe what successful performance will look like after the change? Is your organizational culture supportive? Are you prepared to address potential barriers that might inhibit success? Do you have a communications plan? Are your communication channels effective? Are you forthcoming with information? Are you open to questions and challenges as others adapt? Have you cultivated other champions/agents for change? Are you willing to involve and empower employees to help shape their future? 24 CHALLENGE #2: PRODUCTIVITY LOSS 25 David Viney’s J-Curve https://www.interfacett.com/blogs/pmp-beyond-self-actualization-leading-change-part-1/ 26 Discussion Reflect on a past/present organizational change: Group 1 • How might you minimize the period of disruption and its negative impacts to employee productivity when implementing organizational change? Group 2 • How might you sustain your stakeholder’s faith in the changes when things likely will get worse before they get better? 27 Everyone talks about building a relationship with your customer. I think you build one with your employees first. Angela Ahrendts NOAA ACTIONS/LESSONS LEARNED 28 Change Driver: Values Guide Behaviors Be Accountable and Responsible for NOAA’s Human Capital Outcomes Build Trusted Relationships The Office of Human Capital Services Provide a Consistent, Quality Experience Relentlessly Drive to Solutions Empower through Tools, Education, and Authority 29 Change Driver: Competencies are Key • Conducted self-assessments of employee competencies, proficiencies and interests, to determine placements in new organizational structure. • Developed an extensive training plan for each team member focused on ensuring their successful transition to the new roles in the service model. • Created role-based IDPs, supported by on demand learning options over a six month period. • Conducted training for staff using team building and problem solving on real-life scenarios for experiential learning and role-based application. 30 Change Driver: Engage the Workforce • Led with vision, highlighting the goals and WIFM • Created opportunities for staff to be involved in the changes through work groups, process development, and collaboration with department level contacts. • Encouraged fun, creative opportunities (e.g. videos). • Held group discussions on the impact of changes to address employee questions, reactions and concerns. • Upcoming: – Peer mentoring across divisions, Community of Practice – Capstone Project - A “live” learning exercise to assess employee readiness for new business advisor roles 31 Change Driver: Over-Communicate • HR Workforce: – Provided extensive communications with staff throughout using customized website, regular briefings and messages, email box, staff all hands, etc. – Established an ombudsman to enable “safe” conversations. • Customers: – Reinstituted the HR Director’s Advisory Council. – Held detailed briefs to customer communities over a 4 month period leading to service transition. – Leveraged additional channels of communications using key contacts in the offices to distribute messages and gain timely customer feedback. 32 Change Drivers: Customers Change Too • Used Bureau Implementation Teams (BIT) to communicate the changes and convey what’s needed from them to bring about change (e.g. “Do Your PARt” Campaign). • Engaged representatives from all customer organizations to ensure successful data migration and new HRIT systems testing and launch. • Supplemented training on the new system with ondemand training, detailed process maps, workflows, user guides, and journey maps to support effective assimilation to new business model. 33 Other Lessons Learned • Your plan will account for about 80% of your design – the other 20% will become obvious when you implement. • Be patient and understanding when faced with resistance – use feedback to course correct if needed. • Change will uncover things you weren’t aware of. Use this as an opportunity to make things better. • Old adage: People support what they help create. Don’t underestimate the value of involvement. • Matrix organizations present unique challenges. • True transformative change is a bit risky/exhausting , but it can bring about major improvements not achievable otherwise. Done well, it’s worth it! 34 Discussion Reflect on a past/present organizational change: Group 1 • What best practices did you observe that supported employees in making the transition? Group 2 • What best practices did you observe that supported customers in making the transition? 35 Questions/Discussion Kimberlyn (“Kim”) Bauhs Director, Workforce Management Office [email protected] 36
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