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Transition Reports (1977) - Commerce Department: Management by Objectives and Presidential Management Initiatives (5)
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Transition Reports (1977) - Commerce Department: Management by Objectives and Presidential Management Initiatives (5)
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The original documents are located in Box 35, folder "Transition Reports (1977) -
Commerce Department: Management by Objectives and Presidential Management
Initiatives (5)" of the John Marsh Files at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 35 of the John Marsh Files at the Gerald R. Ford Presidential Library
ADMIN
FISCAL 1977 ADMINISTRATION OBJECTIVE
Administration proposed only one fiscal 1977
objective, implementation of the Presidential
Management Initiatives program. This is a
completely new objective, not a 1976 follow-on.
IMPLEMENTATION OF THE
PRESIDENTIAL MANAGEMENT INITIATIVES PROGRAM
Proposed Objective:
To implement the Presidential Management Initiatives program
and to reach certain quantified FY 1977 goals.
Justification:
This program was initially begun at the request of the
President and has since been established as a requirement
of the Office of Management and Budget through the issuance
of Circular A-113. The level of interest in the program,
both in the White House and the Department, is sufficient
to warrant monitoring by the Secretary.
Approach:
The program is centered around five major initiatives as
follows:
Decisionmaking and Departmental Organization
Evaluation of Current Programs
Reduction in Reporting and Regulation Burden
Contracting Out and Reducing Overhead Costs
Personnel Management
Within those five initiatives are some 24 specific action
areas, which variously require action by one or more operating
units, the Office of the Secretary, or some combination of both.
Resources:
The execution of this program does not require the expenditure
of any resources beyond those already provided for the
management of the Department.
Responsible Persons:
The Departmental Coordinator for this project is Assistant
Secretary Kasputys. In addition, eleven Departmental coordina-
tors have been named, one for each major activity, and
coordinators have been designated within each operating unit.
IMPLEMENTATION OF THE PRESIDENTIAL MANAGEMENT INITIATIVES PROGRAM
Objective
Change in Status
To implement the Presidential Management Initiatives program
and to reach certain quantified FY 1977 goals, as specified
New Objective
below.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Decisionmaking and Departmental Organization Goals:
1. Establish goal for reduction in operating unit
organizational subunits.
2. Eliminate all "assistant to" positions, except
Schedule C.
3. Achieve Departmentwide supervisory ratio of
6.9 to 1.
4. Establish MBO systems in all operating units.
Evaluation of Current Programs:
1. Establish, in cooperation with operating units,
baseline measures and goals for each efficiency
evaluation and incorporate in this objective.
o
FORM SEC-904
(2-76)
U.S. DEPARTMENT OF COMMERCE
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Goals for Reduction in Reporting and Regulation
Burden:
1. Achieve goals in quantified manhour reporting
'burden reduction:
A. Five percent reduction
O
B. Fifteen percent reduction
(September, 1978)
2. Complete categorization and review of all
Commerce regulations in Code of Federal
Regulations.
Contracting Out and Reducing Overhead Costs:
1.
Reduce travel expenditures by $1.9 million
from FY 77 travel budget of $31,182,000.
2. Eliminate or reduce the processing frequency
and number of reports on 40 computer
applications.
3. Increase proportion of total rental cost of
DOC computer systems equipment inventory by
3rd party sources and plug-to-plug compatible
equipment from 14% to 20%, with associated
cost savings of $364,000.
O
lile
nes
Dct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Contracting Out and Reducing Overhead Costs
(Continued)
4. Increase proportion of gross ADP obligations
for services obtained from the private sector
from 18.1% to 20%.
5. Decrease the 177 AV facilities by 5%.
6. Achieve 10% savings in long distance toll
charges (or $59,980) and credit card charges
(or $8,020) and 5% savings in number of
telephone instruments (or 1665).
7. Reduce total mailing costs by 10% (or $646,472)
and decrease number of periodicals sent by
1st class by 10% (15)
8. Reduce the volume of records on hand by 10% to
363, 404 cubic fect.
9. Reduce space inventory by 5% (or 445,633 sq.
ft.) and increase density of occupancy per
employee to 155 square feet.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Personnel Management Goals:
1. Assure 40 Individual Development Plans for
persons identified as high potential and
train 400 managers and supervisors in new
course in personnel administration
fundamentals.
0
2. Hold average grade increase between 1976 and
1977 to .075 or better; increase rate of
position review and vacant position review to
90%.
0
3. Increase coverage of productivity data sub-
mitted to National Center for Productivity
from 26% to 30% of total DOC employment.
0
Presidential Management
Initiatives
Introduction
PRESIDENTIAL MANAGEMENT INITIATIVES
DEPARTMENT OF COMMERCE
Background:
The Department of Commerce's Presidential Management
Initiatives Program was launched officially on July 29, 1976
at a special meeting Secretary Richardson held with top
Commerce management officials. The purpose of this program,
initiated by OMB, was to carry out some 24 separate actions
aimed at improving the efficiency and effectiveness of Federal
operations and assuring that decisionmaking was thoroughly
supported and effectively implemented.
The Department had earlier begun a series of initiatives that
were designed for the same purposes as the Presidential
Management Initiatives Program, and these were incorporated
into the Department's action plan to form a comprehensive
Commerce program. The five major initiatives of the program
were:
Decisionmaking and Departmental Organization
Evaluation of Current Programs
Reduction in the Burden of Federal Reporting and
Regulation
Contracting Out and Holding Down Overhead Costs
Personnel Management
The 24 action areas referred to above were subcategories of
these five. (The Departmental action plan, including a more
detailed history, is included in the fifth tab of this book.)
The DOC Approach and Organization:
In preparation for Secretary Richardson's meeting to launch the
program, Assistant Secretary Kasputys had established an eleven
person task force to coordinate Secretarial-level guidance.
Thus, the preparations for that meeting were sufficient that an
initial implementation schedule was distributed and each primary
operating unit was requested to select an overall coordinator
and a representative for each of the five major topic areas.
This rapid response organizational concept (depicted in the
attachment to this section) enabled the Department to react
- 2 -
quickly to all the Presidential initiatives within OMB's
tight deadlines. Furthermore, it assured the participation
of all effected parties in the planning and execution of the
program.
Major Accomplishments:
Although the section of this briefing book entitled "Significant
Accomplishments" describes the achievements under the program
in somewhat more detail, the following are some of the major
ones:
An Assistant Secretary for Policy was established to
make more effective use of the various pools of
analytic competence within the Department. This
organization can integrate analytic efforts of various
organizational units, so as to improve the focus of
the Department's policy advocacy.
An Office of Program Evaluation, reporting to the
Assistant Secretary for Administration, was created
to conduct special studies to evaluate the effectiveness
of Departmental programs in meeting objectives,
identify and investigate major program or management
issues, and advise the operating units in the develop-
ment and operation of evaluation and measurement systems.
The Department's Management by Objectives program was
renewed and revitalized to provide a means by which
the Secretary could identify and approve objectives and
their operational plans for achievement and, most
importantly, monitor progress toward the achievements.
The Department's first program for reducing the number
of public use reports, concluded last June, was among
the most successful in the government, and our new
program for reducing public manhours associated with
such reports was informally identified by the Commission
on Federal Paperwork as the best of any agency. The
Commission is considering using it as a model for other
agencies and has sent representatives from several
agencies to review our system.
Determining Progress Objectively:
The Department has gone considerably beyond the requirements of
OMB by developing an objective, systematic method of determining
what effect the activities under this program have on the
Department's operation. This has been accomplished by subjecting
- 3 -
each of the 24 action areas to a careful review and
establishing a quantified baseline measure and goal for those
areas in which it is possible. The quantified baseline
measure serves as a benchmark to show the status of a
particular area at the time the program began, and the
quantified goal provides both a target to strive for and a
means of judging the extent of our progress over time. For
example, in the productivity measurement area, the baseline
measure is the percentage of employees covered by centrally
reported measurement statistics (26%), and the goal is to
increase this coverage to 30% of employment by the end of the
fiscal year.
Baseline measures and goals have already been established at
the Departmental level (see the section of this book entitled
"Baseline Measures") and are now being developed by each
operating unit. To aid in monitoring progress, these goals
will be incorporated into the Departmental Management by
Objectives system (see the section of this book entitled
"Departmental and Bureau Objectives"). In all instance, the
baseline measures and goals were developed by the person
responsible for their execution.
OMB Circular A-113
On November 17, 1976, the Office of Management and Budget
issued Circular A-113, "Preparation and Submission of Management
Plans", that is based upon the Presidential Management Initiatives
Program. The primary differences are that A-113 expands upon the
PMI program, increases the discretion given Departments in
determining the topics to be covered, links the timing of the
plan with the budget cycle, and adds two new subjects: a missions
and objectives statement and an evaluation review statement. A
copy of this Circular is included in the final section of this
book.
THE STRUCTURE FOR DEVEL NG AND IMP' EMENTING
PRESIDENTIAL MANA miTIATIVES
IN THE DEPARTMENT OF COMMERCE
SECRETARY
Elliot L. Richardson
Departmental Coordinator
Assistant Secretary
Administrative Linison
for Administration
Joseph E. Kasputys
Stephen Browning
Gerald Tache'
Deputy Assistant Secretary
Guy W. Chamberlin, Jr.
Departmental Action Officers
I. Decision making & Departmental Organization - Joseph 0. Smiroldo (0/OMS)
II. Evaluation of Current Programs - Robert A. Knisely (O/PE)
III. Reduction of the Burden of Federal Reporting & Regulations - Robert T. Jordan (0/OMS)
IV. Contracting Out and Holding Down Overhead Costs:
A. Contracting Out - Meir S. Gabbay, (0/OMS)
B.1 Identification of Overhead Costs - Meir S. Gabbay (0/OMS)
B.2 Travel - David S. Nathan (0/BPA)
B.3 ADP Practices - John R. Wicklein (0/OMS)
B.4 Cash Management - Meir S. Gabbay (0/OMS)
B.5 Reproduction Equipment - David Farber (O/PUB)
B.6 thru B.10. Audiovisual Activities, Telephone Equipment & Usage, Mailing Practices,
Office & Other Space, Record Storage - Donald B. Moore (0/ASP)
V. Personnel Management - John M. Golden (O/PERS)
FORD
Operating Units - Overall Coordinators
Bureau
Domestic and
Economic
Office of
National Fire
National
Office of
United States
of the
International
Development
Minority
Prevention
Technical
Telecommunications
Travel
Census
Business
Administration
Business
and Control
Information
C.C. Dodson
Service
James W. Turbitt
Administration
Herbert S. Becker
Enterprise
Administration
Service
Lee J. Wells
Donald E. Johnson
Sherman Funk
David A. Lucht
Joseph G. Coyne
Bureau of
Maritime
National
National
Patent and
Economic
Administration
Bureau of
Oceanic and
Trademark
Analysis
Russell F. Stryker, Jr.
Standards
Atmospheric
Office
Philip A. Tucker
Richard P. Bartlett, Jr.
Administration
Richard J. Shakman
T.P. Gleiter
August 1976
Significant Accomplishments
DEPARTMENT OF COMMERCE
PRESIDENTIAL MANAGEMENT INITIATIVES
Significant Accomplishments
Decisionmaking and Departmental Organization
Created an Assistant Secretary for Policy to (1) make
more effective use of the various pools of analytic
competence within the Department, and (2) improve the
focus of the Department's policy advocacy by integrating
analytic efforts of various organizational elements.
Created an Office of Program Evaluation to improve
oversight of operating programs within the Department.
Evaluation of Current Programs
Designed and implemented ten efficiency evaluations
which cover such topics as:
compilation of voting and registration statistics.
revision of boycott reporting methods (DIBA).
streamlining of application/approval process
under Title II (EDA)
review and coding of ship review invoices and
summaries (MARAD).
fish inspection and grading program.
Reduction in the Burden of Federal Reporting and Regulations
Issued instructions (dated September 9) to Departmental
operating units for implementing:
reviews of the public reporting burden; and
inventories and categorization of all programs
governing regulations.
Contracting Out and Holding Down Overhead Costs
Contracting Out. The DOC Committee on Commercial and
Industrial Activities has accelerated the inventorying
of commercial and industrial activities within the
-2-
Department. Primary operating units have scheduled the
evaluation of the selected activities. Plans are now
being made to establish subcommittees which will have as
their prime responsibility the review of evaluations con-
ducted by primary operating units.
Travel - A travel reduction goal for FY 1977 has been
established to hold FY 1977 travel costs to the FY 1976
level for ongoing programs of the Department. Achievement
of this goal will result in a savings of $1.9 million from
the enacted 1977 President's budget.
ADP Practices
OO The Department is presently developing detailed programs
for conducting six major ADP installation performance
evaluations during fiscal year 1977. Performance evalua-
tion teams will be identified and assigned by the end
of November. A pilot evaluation program will be initiated
shortly with an expected completion date of March 1977.
OO Seven operating units have scheduled reviews of their
existing computer applications. Two of these reviews
are now underway. First planned accomplishment is set
for November 1976.
O
Cash Management - EDA has received approval from the Depart-
ment of Treasury to proceed with the electronic transfers
of funds to borrowers under its loan programs. EDA also
plans to issue about 3,000 letters of credit to grantees
under the local public works program in preference to making
advances to them.
O
Audiovisual Activities - The audiovisual plan has been
expanded to include a review of the Department's graphic
arts capabilities, and to establish a central clearing-
house for films, slide shows and video tapes.
Telephone Equipment and Usage
OO Established the following FY 1977 Departmental goals:
-- Reduce telephone toll costs ten percent (or $60,000)
by the end of FY 77; and
-- Reduce the number of telephone instruments to an
average of one per employee.
-3-
OO In the Main Commerce Building, the new Centrex II
system will enable the Department to eliminate most
private lines (PLs). An intensive review of the
need for telephone credit cards is underway.
Mailing Practices - The Department has made a change in
its document security policies to conform with those of
other Federal agencies; it has eliminated the use of
registered mail for documents carrying a confidential
classification. It is estimated this policy change will
result in savings of $15,000 per year.
Office and Other Space
OO The Economic Development Administration is embarking
on an office space retrenchment project at the same
time it is experiencing an 18 percent increase in
personnel. The density occupancy will go from 161
square feet per employee to 137 square feet.
OO Among other actions under this initiative, the Office
of Minority Business Enterprise will adopt the open
landscaping office layout and relinguish approximately
4,000 square feet for reassignment to other Department
of Commerce users.
Records Storage. A personnel services contract has been
awarded to develop a comprehensive Records Control Schedule
for OMBE, the only DOC bureau with any records schedule.
Personnel Management
o
Personnel Ceilings - The Department has evaluated its
internal system for administering personnel ceilings
and has found that it does not provide the effective-
ness, efficiency, and flexibility needed. Plans have
been established to place responsibility for manpower
control in the personnel offices thereby providing
greater flexibility with respect to intra-agency allo-
cation of employment ceilings and a more uniform and
consistent control system.
Position Management - The Department has recently insti-
tuted the vacancy review process and the position review
process which both entail onsite desk audits and onsite
reviews of vacancies. Operating unit position classifiers
will now take a strong role in personnel management evalua-
tion of headquarters and field organizations. These
-4-
initiatives are expected to lead to improvement in
Departmental position management and classification
systems.
O Executive Selection - The Department has identified the
Patent and Trademark Office's executive selection and
development system to serve as a model for the remainder
of the Department's organizational components. The model
system has been distributed to all operating personnel
offices for use as a guide in establishing comparable
systems by the end of FY 77.
Baseline Measures
Presidential Management Initiatives
BASELINE MEASURES AND GOALS
Responsible
Initiatives
Office
Baseline Measures and Goals
Decisionmaking and
Departmental
Organization
Policy Analysis Staff.
OOMS
N.A.
?.
MBO Program.
OPE
Baseline: Six bureau MBO systems as of October.
Goal:
MBO systems in all bureaus (14).
:. Decisionmaking
OOMS
N.A.
Staffing Pattern
Review:
Unnecessary
OPERS
Baseline:
Departmentwide supervisory ratio
position
of 6.7 to 1 as of June 30.
layering.
Goal:
Departmentwide supervisory ratio
of 6.9 to 1.
O
Excessive
OOMS
Baseline:
390 organization subunits subject
organizational
to Departmental approval.
subdivisions and
consolidation of
Goal:
(To be established based upon input
subunits.
from operating units)
11/15/76
Responsible
Initiatives
Office
Baseline Measures and Goals
4. Staffing Pattern
Review: (Continued)
O
Guidelines for
OPERS
Baseline: (Number of "assistant to" positions
"assistant to"
to be determined by December 30).
positions including
number per policy
official and grade
Goal:
100% elimination, excluding Schedule C.
level.
O
Procedure for agency
OOMS
N.A.
deputy-level review
of proposals to create
new subdivisions.
Evaluation of Current Programs
Efficiency Evaluations
OPE
(see attached list)
(individually).
Reduction in the Burden of
ederal Reporting and
Regulation
Reporting Burden
OOMS
Baseline: 533 reports totaling 4,425,202 manhours
Reduction.
as of June 30.
Goal:
Five percent reduction in public manhour
burden by September, 1977; 15% by
September, 1978.
Regulation Burden
OOMS
N.A.
Reduction.
Responsible
Initiatives
Office
Baseline Measures and Goals
Contracting Out and
olding Down Overhead
Costs
Baseline: FY 76 contracting - automatic data
1.
Contracting Out.
OOMS
processing, $9,484,000; printing and
reproduction, $7,389,000; maintenance
of equipment (non-ADP), $11,347,000;
warehousing and inventory, $16,000;
Identification of
and program services, $84,624,000.
Overhead Costs.
OOMS
N.A.
Travel.
OBPA
Baseline: FY 1977 travel budget of $31,182,000.
Goal:
Reduce expenditure $1.9 million from
above.
ADP Practices:
Reduce unit cost
OOMS
of data
(A proposal for a baseline measure for this
processing.
initiative will be submitted by November 20,
based upon a bureau survey now underway.)
Eliminate marginal/
OOMS
nonessential
Baseline: 980 computer applications being
workload.
processed as of September.
Goal:
Eliminate or reduce the processing
frequency and number of reports on
40 applications.
3
11/15/76
Responsible
Initiatives
Office
Baseline Measures and Goals
1. ADP Practices (Continued)
O Reduce equipment
OOMS
Baseline: 14% ($1.956 million) of total
rental through
rental cost of DOC computer
increased competition.
systems equipment inventory by
3rd party sources and plug-to-
plug compatible equipment
Goal:
Increase to 20% by end of FY 77,
reflecting associated cost savings
of $364,000.
Analyze need and
OOMS
Baseline: 18.1% ($17 million) of gross ADP obliga-
methods used for
tions were for services obtained from the
expanding Government
private sector in FY 1976.
computer capacity.
Goal:
Increase to 20% by end of FY 77
Minimize the
OOMS
automatic computer
N.A.
issuance of
inaccurate or
unnecessary
checks and
purchase orders.
O
Strengthen agency
OOMS
N.A.
ADP management to
overcome problems
of computer fraud
and security.
Cash Management
OOMS
(Baseline to be developed by November 12).
11/15/76
Responsible
Initiatives
Office
Baseline Measures and Goals
3. Reproduction
OPUB
(Baseline for commercial contracts by
Equipment
December and for copier utilization by
January, 1977, both based upon bureau
surveys.)
4. Audiovisual
OASP
Baseline: 177 AV facilities in FY 76;
Activities
$3,775,345 acquisition cost
of AV equipment.
Goal:
Reduce number of AV facilities
by 5%; no increase in acquisi-
tion value of AV equipment.
5. Telephone
OASP
Baseline: $599,811 in long distance toll
Equipment
charges; $80,200 in Main Commerce
and Usage
credit card charges; 33,300
telephone instruments.
Goal:
10% reduction in toll and credit
card charges; 5% reduction in
telephone instruments.
6. Mailing
OASP
Baseline: $6,464,724 FY 76 total mailing costs;
Practices
150 periodicals sent by 1st class;
153 periodicals sent by other classes.
Goals:
Reduce total mailing costs by 10%;
decrease number of periodicals sent
by 1st class by 10%.
6a. Records Storage
OASP
Baseline: 403,782 cubic feet of records on hand
in FY 76.
Goal:
Reduce the volume of records on hand
by 10% to 363,404 cubic feet.
Responsible
Initiatives
Office
Baseline Measures and Goals
17.
Office and
OASP
Baseline:
8,912,674 square feet in space
Other Space
inventory; 163 square feet of
office space per employee.
Goal:
Reduce space inventory by 5%;
increase density of occupancy
by 8 square feet per employee.
Personnel Management
18. Executive
OPERS
Baseline:
No Individual Development Plans in
Selection and
FY 76; No training in personnel
Development
administration fundamentals.
Goal:
40 Individual Development Plans for
persons identified as high potential;
400 managers and supervisors trained
in new course on personnel administra-
tion fundamentals.
19.
Work Force
OPERS
N.A.
Quality
20. Position and
OPERS
Baseline:
Average grade increase of .15
Classification
between 1975 and 1976; FY 76
Management
rate of position review of
52.5%; FY 76 rate of vacant
position review of 59.5%.
Goal:
Hold average grade increase to .075;
increase rate of position review and
vacant position review to 90%.
Responsible
Initiatives
Office
Baseline Measures and Goals
Personnel Management
(Continued)
1. Productivity
OOMS
Baseline:
26% of DOC employees covered by
Measurement
productivity data submitted to
National Center for Productivity.
Goal:
Increase coverage to 30% of
employees.
2.
Employment
OPERS
N.A.
Ceilings
11/15/76
7
ossible Baseline Measures for PMI Efficiency Evaluations
OPE staff is presently working with bureaus to reach agreement on
aseline measures for each efficiency evaluation. The following
re the measures being proposed to bureaus. A final list of
easures will be completed by November 26.
1. Census: Alternatives for Compiling Registration
and Voting Slots
Potential Measure: current cost of survey ($5 million
biennially) vs. cost of alternative tested.
2. DIBA: Boycott Reporting Methods
Potential Measure: manhours of respondent burden
currently; dollar costs and manhours of DIBA's system
maintenance currently VS. corresponding costs after
overhaul of reporting system.
EDA: Title II Application/Approval Process
Potential Measure: current respondent burden; mean time
to process VS. corresponding measures after changes.
MARAD: Ship Repair Invoices
Potential Measure: current respondent burden and MARAD
administrative costs VS. subsequent measures.
5. NOAA: Fish Inspection
Potential Measure: current productivity of fish inspectors
VS. subsequent productivity of fish inspectors.
6. NOAA: Chart Sales
Potential Measure: current productivity of chart sales
VS. subsequent productivity of chart sales staff.
1. OMBE: One-Stop Centers
Potential Measure: total cost for equivalent services in
single service models vs. total cost for equivalent services
in one-stop center.
11/15/76
8. PTO: Replace Patent Copy Reproduction System
Potential Measure: current manpower and overhead costs
per copy VS. subsequent. N.B. May have to be qualified
by consideration of quality of reproduction.
USTS: Literature Distribution
Potential Measure: current distribution costs VS.
subsequent costs. N.B. No baseline measure may be
adequate here because study is aimed at effectiveness
as well as efficiency considerations. Conceivably,
higher cost brochures, more expensively distributed
to more appropriate recipients may yield a more
effective program.
10. OPUBS/OOMS: Personnel Utilization
Potential Measure: Number of personnel currently (201)
vs. equivalent measure subsequently.
11/15/76
Departmental and
Bureau Objectives
FORD LIBRARY
is
IMPLEMENTATION OF THE PRESIDENTIAL MANAGEMENT INITIATIVES PROGRAM
Objective
Change in Status
To implement the Presidential Management Initiatives program
and to reach certain quantified FY 1977 goals, as specified
below.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Decisionmaking and Departmental Organization Goals:
1. Establish goal for reduction in operating unit
organizational subunits.
2. Eliminate all "assistant to" positions, except
Schedule C.
3. Achieve Departmentwide supervisory ratio of
6.9 to 1.
4. Establish MBO systems in all operating units.
Evaluation of Current Programs:
1. Establish, in cooperation with operating units,
baseline measures and goals for each efficiency
evaluation and incorporate in this objective.
O
FORM SEC-904
U.S. DEPARTMENT OF COMMERCE
(2-76)
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Goals for Reduction in Reporting and Regulation
Burden:
1. Achieve goals in quantified manhour reporting
burden reduction:
A. Five percent reduction
B. Fifteen percent reduction
(September, 1978)
2. Complete categorization and review of all
Commerce regulations in Code of Federal
Regulations.
o
Contracting Out and Reducing Overhead Costs:
1.
Reduce travel expenditures by $1.9 million
from FY 77 travel budget of $31,182,000.
O
2. Eliminate or reduce the processing frequency
and number of reports on 40 computer
applications.
3. Increase proportion of total rental cost of
DOC computer systems equipment inventory by
3rd party sources and plug-to-plug compatible
equipment from 14% to 20%, with associated
cost savings of $364,000.
O
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Contracting Out and Reducing Overhead Costs
(Continued)
4. Increase proportion of gross ADP obligations
for services obtained from the private sector
from 18.1% to 20%.
5. Decrease the 177 AV facilities by 5%.
O
6. Achieve 10% savings in long distance toll
charges. (or $59,980) and credit card charges
(or $8,020) and 5% savings in number of
telephone instruments (or 1665).
o
7. Reduce total mailing costs by 10% (or $646, 472)
and decrease number of periodicals sent by
lst class by 10% (15).
C
8.
Reduce the volume of records on hand by 10% to
363,404 cubic feet.
9. Reduce space inventory by 5% (or 445,633 sq.
ft.) and increase density of occupancy per
employee to 155 square feet.
Milestones
Oct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
Personnel Management Goals:
1. Assure 40 Individual Development Plans for
persons identified as high potential and
train 400 managers and supervisors in new
course in personnel administration
fundamentals.
2. Hold average grade increase between 1976 and
1977 to .075 or better; increase rate of
position review and vacant position review to
90%.
3. Increase coverage of productivity data sub-
mitted to National Center for Productivity
from 26% to 30% of total DOC employment.
Model PMI Objective for Operating Units
IMPLEMENTATION OF THE PRESIDENTIAL MANAGEMENT INITIATIVES PROGRAM
Objective
Change in Status
To implement the Presidential Management Initiatives program
as it pertains to (name of operating unit) and to reach certain
New
quantified FY 1977 goals as specified below.
Milestones
)ct Nov Dec
Jan Feb Mar
Apr May Jun
Jul Aug Sep
A. Decisionmaking and Departmental Organization
Goals:
1. Reduce number of organizational subunits
from
to
2. Reduce number of "assistant to" positions
from
to zero, excluding
Schedule C positions.
3. Reduce supervisory ratio to 6.7 to 1 (if
not already accomplished).
4. Make decision on establishment of
operating unit MBO system.
B. Goals in Evaluation of Current Programs:
(Separate goals and milestones should be
established for each efficiency evaluation. The
Office of Program Evaluation is working with
bureaus to establish baseline measures and
goals.)
FORM SEC-904
U.S. DEPARTMENT OF COMMERCE
(2-76)
MBO TYPING FORMAT
IMPLEMENTATION OF THE PRESIDENTIAL MANAGEMENT INITIATIVES PROGRAM
(Cont'd
Milestones
Dct
Nov
Dec
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Scp
C. Goals for Reduction in Reporting and Regulation
Burden:
1. Review and categorize all public use reports.
2. Achieve reduction in public reporting
manhour burden of 5%.
3. Complete review of bureau regulations.
D. Goals for Contracting Out and Holding Down
Overhead Costs:
1. Achieve overall FY 1977 cost savings,
excluding contracting out, of $
in comparison to FY 1976. (This goal may
require periodic adjustment as Departmental
goals are set for sub-initiatives.)
2. Establish baselines and milestones for
contracting out based upon Departmental
guidance.
E. Personnel Management Goals:
1. Hold average grade increase between 1976
and 1977 to
or better. 1 /
2. Achieve 90% rate of position and vacant
position review. 1/
Milestones
Oct
Nov
Dec
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
3. Increase percentage of employees covered
by productivity data submitted to National
Center for Productivity from
% to
%.
4. Prepare
Individual Development Plans
for persons identified as high potential. 1/
5. Train
managers and supervisors in new
course on personnel administration
fundamentals. 1/
1/ These milestones are applicable only to bureaus
with a personnel function.
Action Plan
Presidential Management Initiatives
DEPARTMENT OF COMMERCE ACTION PLAN
Table of Contents
Subject
Page
Overall Plan
1
Introduction
Implementation Procedure
1
3
Initiative I:
Decisionmaking and Departmental
Organization
5
Policy Analysis Staff
MBO Program
5
Decisionmaking
7
9
Staffing Pattern Review
9
Initiative II: Evaluation of Current Programs
21
Policy and Evaluation Unit
Efficiency Evaluations
21
22
Management Plan
25
Initiative III: Reduction in the Burden of
-
Federal Reporting and
Regulations
28
Reporting Burden Reduction
28
Regulation Burden Reduction
31
Initiative IV: Contracting Out and Holding
Down Overhead Costs
33
Contracting Out
Overhead Costs
34
Identification of Overhead Costs
Travel
37
ADP Practices
39
Cash Management
41
Reproduction Equipment
52
Audiovisual Activities
55
57
Telephone Equipment and Usage
Mailing Practices
60
62
Office and Other Space
65
Records Storage
68
Subject
Page
Initiative V:
Personnel Management
70
Executive Selection and Development
70
Work Force Quality
72
Position and Classification Management
.73
Productivity Measurement
76
Employment Ceilings
79
Presidential Management Initiatives
DEPARTMENT OF COMMERCE ACTION PLAN
Introduction
The President, in his July 24, 1976 letter to James Lynn,
Director of the Office of Management and Budget, announced
a new government-wide program aimed at further improving
the general management of the government. This ambitious
program of Management Initiatives emphasizes that the way
in which government programs and activities are managed
can have substantial impact on their effectiveness. The
President noted that:
Just as it is more exciting to build a new
boat than to scrape away barnacles year after
year, there is a tendency to give higher priority
to a new dramatic policy initiative than to
consider the programs we already have to see
how they can be improved -- to scrape away the
"barnacles" that build up over time around
almost any program or agency.
In order to carry out the more than twenty specific sets
of actions that the President asked be undertaken, the
Department of Commerce has developed the action plan contained
in this report. This plan has provided us with an opportunity
to develop a cohesive strategy for implementing a number of
management improvement projects, including both those suggested
in Mr. Lynn's letter of July 27, 1976, and some which had been
begun independently by this Department. The President's
Management Initiatives program allows us to bring these
projects together under a focused objective and to give them
the additional emphasis that results from Presidential attention.
Foremost among the initiatives already undertaken by the
Department is the creation of an Assistant Secretary for Policy.
The Assistant Secretary for Policy can make more effective
use of the various pools of analytic competence within the
Department. He can integrate analytic efforts of various
organizational units, so as to improve the focus of the
Department's policy advocacy. This organization brings together
into a unit reporting directly to the Secretary four policy
support staffs: the Office of Policy Development and
- 2 -
Coordination, the Bureau of International Economic Policy
and Research, the Office of Energy and Strategic Resource
Policy and the Office of Regulatory Economics and Policy.
The Assistant Secretary for Policy also serves as Executive
Director of the Department Policy Council, a forum for
discussing and reviewing major Departmental policies and
programs composed of Secretarial officials and the heads
of Primary Operating Units.
A second organization was formed to improve oversight of the
operating programs in the Department. This Office of
Program Evaluation reports to the Assistant Secretary for
Administration, who serves on the Executive Committee of
the Policy Council. The Office conducts special studies
to evaluate the effectiveness of Departmental programs
in meeting objectives, identifies and investigates major
program or management issues, and advises the operating units
in the development and operation of evaluation and measurement
systems.
At the direction of Secretary Richardson, the Department's
Management by Objectives program has been renewed and
revitalized. MBO in Commerce is a disciplined process
through which the Secretary identifies and approves objectives
and their operational plans for achievement and, most
importantly, monitors progress towards such achievement in
terms of the plans. The MBO program requires that both
objectives and plans be stated in such specific, tangible
terms that accomplishments can be verified as part of the
monitoring process.
Throughout the past several months the Department has stressed
the need for specific evaluation and monitoring systems to
assure that objectives are being effectively identified and
achieved. For example, in order to increase the efficient
utilization of the Department work force, five personnel
management evaluation systems are currently being implemented.
Two of these are executive and management evaluation systems
that are designed to monitor and augment work force quality
and development. In addition three new systems are being
installed to improve position classification and management
and to control grade escalation. The combined implementation
of these programs will provide an effective, integrated
system for management improvement throughout the Department.
- 3 -
The Department has had considerable success in still another
of the President's five initiatives -- that of reducing
the burden of Federal reporting and regulation. In response
to the President's reports reduction mandate of March 1,
1976, the Department reduced the number of its public-use
reports by slightly over thirteen percent, while concurrently
effecting a slight reduction in the number of public manhours
associated with the reports.
While theseare only illustrations of our accomplishments
in recent months, they serve to demonstrate the solid base
of activity and commitment upon which we are basing the
President's Management Initiatives program. We welcome
the opportunity and challenge the President's program provides.
Implementation Procedure
Secretary Richardson officially launched the Department's
Management Initiatives program on July 29, 1976 at a special
meeting of Commerce top management at which he stressed his
personal commitment to the program. In preparation for that
meeting, the Secretary had earlier designated Joseph E. Kasputys,
Assistant Secretary for Administration, as his representative
for the program. Assistant Secretary Kasputys had established
an eleven person task force to coordinate Secretarial-level
guidance. Thus, the preparations for the July 29 meeting were
sufficient that an initial implementation schedule was
distributed and each primary operating unit was requested
to select an overall coordinator and a representative for
each of the major topic areas. This rapid response organiza-
tional concept enabled the Department to react quickly to all
the President's initiatives within OMB's deadlines. (The
organizational structure is depicted in an attachment to this
section.)
By August 3 all planning activities were underway, and on
August 6 the first products -- proposals for efficiency
evaluations and for contracting out -- were submitted for
Departmental review. These proposals were first reviewed
by two specially formed Selection Panels, consisting of
high level Departmental and operating unit personnel, and the
recommendations of the Selection Panels were submitted to
Assistant Secretary Kasputys for his final decision.
Simultaneously, the Departmental coordinators for the remaining
topics issued their guidance to operating units for responding
- 4 -
to the short term deadlines, and a Departmental milestone
schedule was developed to assure that these short term
deadlines were met. (A copy of that milestone schedule is
included as an attachment to this Section.
Thus, in less than a month, the Department has developed and
implemented a wide-ranging action plan responsive to both the
letter and spirit of the President's program, a plan that is
both challenging and achievable and includes an organizational
structure to assure it is carried out. We intend to continue
our remaining tasks at the same fast pace and forsee no
difficulties in meeting the September 3 and subsequent
reporting dates. As the other implementation efforts proceed,
they will be reported to OMB as part of the monthly progress
reports to commence on September 21.
THE
STRUCTURE
FOR
ENT
PRESIDENTIAL MANAGEMENT INITIATIVES
IN THE DEPARTMENT OF COMMERCE
SECRETARY
Elliot L. Richardson
Departmental Coordinator
Assistant Secretary
Administrative Lisison
for Administration
Joseph E. Kasputys
Stephen Browning
Gerald Tache'
Deputy Assistant Secretary
Guy W. Chamberlin, Jr.
Departmental Action Officers
I. Decision making & Departmental Organization - Joseph 0. Smiroide (0/DMS)
II. Evaluation of Current Programs - Robert A. Knisely (O/PE)
III. Reduction of the Burden of Federal Reporting & Regulations - Robert T. Jordan (0/OMS)
IV. Contracting Out and Holding Down Overhead Costs:
A.
Contracting Out - Meir S. Gabbay (0/OMS)
B.1 Identification of Overhead Costs - Meir S. Gabbay (0/OMS)
B.2 Travel - David S. Nathan (0/BPA)
8.3 ADP Practices - John R. Wicklein (0/DMS)
8.4 Cash Management - Meir S. Gabbay (0/OMS)
8.5 Reproduction Equipment - David Farber (O/PUB)
B.6 thru B.10. Audiovisual Activities, Telephone Equipment & Usage, Mailing Practices,
Office & Other Space, Record Storage - Donald B. Moore (O/ASP)
V. Personnel Management - John M. Golden (O/PERS)
Operating Units - Overall Coordinators
Bureau
Domestic and
Economic
Office of
National Fire
National
Office of
United States
of the
International
Development
Minority
Prevention
Technical
Telecommunications
Travel
Census
Business
Administration
Business
and Control
Information
C. C. Dodson
Service
James W. Turbitt
Administration
Herbert S. Becker
Enterprise
Administration
Service
Lee J. Wells
Donald E. Johnson
Sherman Funk
David A. Lucht
Joseph G. Coyne
Bureau of
Maritime
National
National
Patent and
Economic
Administration
Bureau of
Oceanic and
Trademark
Analysis
Russell F. Stryker, Jr.
Standards
Atmospheric
Office
Philip A. Tucker
Richard P. Bartlett, Jr.
Administration
Richard J. Shakmen
T.P. Gleiter
August 1976
1976 DEPARTMENTAL MANAGEMENT INITIATIVES PLAN
MILESTONES BEGINNING: MONTH:
J
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
26
2
9
16
23
30
6
13
20
4
25
15
22
29
WEEK BEGINNING
J
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
27
11
18
1
8
6
13
20
27
MILESTONES
26
2
9
16
23
30
6
13
20
27
4
11
18
25
1
8
15
22
29
8
13
20
27
1. Secretary's brieting of DOC top
13. O/Pers, to Identify (establish) one
on Presidential
executive solection and develop
Management Initiatives Program.
ment system and report on
action to Departmental coordine
2. Designation of responsible
for.
officials by operating units.
14. Submitsion of report ref. Mile.
3. Briefing of Departmental action
stones 11, 12, and 13 to OMB.
officers on required activities and
responsibilities.
16. O/Pers. to begin systematic re.
A
examination of Internal position
4. Submission of listings (efficiency
management and classification
evaluations and functional STREET to
system.
he contracted out) by operating
units to Depar Imental coordinator.
10. Report to OM8 on:
a. DOC assessment of policy
5. Status review meeting for Depart.
making. evaluation, decision
mental action officers.
making capabilities and steps
taken to Improve.
6. Nominating committees to com-
b. ADP progress reports,
plate review of operating unit
c. Evaluation of current Inter-
fishings.
nat systems for administer-
a 1 lisciency evaluations.
Ing personnel cellings
b. Contracting not candidates.
17. Report to NARS (GSA) on
7. Status.guidance briefing for
achieved and expected savings in
operating unit overall coordina.
mail practices.
tots to be chaired by A/S for
Administration
18. Review and revise contracting
out implementing Instructions
B. Submission of operating units
and procedures.
space, repor reduction and ADP
plant to Department coordina
19. Implement executive develop-
10:
ment system for "High potential"
employees.
9. Departmental action officers sub
mit sentalt plans cusering
20. Monthly progress report to be
topic area
submitted to Departmental coor.
dinator.
10. Submission of overall plan, ten
(10) atticency evaluations, five
21. Monthly progress report sub-
the ting 001 proposals,
mitted to OMB.
AIW and reports reduction
plan to OMB Space pla I to GSA
22. Monthly progress reports sub-
with copy to OMB.
mitted to Departmental coordine.
tor.
11. ORPA to develop and report on
plant to to ther reduce travel
23. Submit monthly progress report
rosts N1 Y " to Departmental
to OMB.
considerator.
12. DASP to report on . havent and
express text savarys 10 telephone
A
equipment and usage to Depart
timestal Constitutor.
NOTE
Day that the Milistons is scheduled to
be exphated " A Milestron is
^^
Milestone completion date is September 111.
Milestons completion date is September 3rd.
Ins completion 1111 the 24th
day of the month ,
- 5 -
Presidential Management Initiatives
DEPARTMENT OF COMMERCE ACTION PLAN
INITIATIVE: 1
TITLE: Decisionmaking and Departmental Organization
RESPONSIBLE OFFICIAL: Joseph O. Smiroldo TELEPHONE: 377-3707
I. Policy Analysis Staff
Determine extent to which there is a unit available to
assist the agency head in carrying out the functions
listed in the Summary Sheet (Issue 1, Item A) ; and
report to OMB on steps taken to establish or upgrade such
a unit.
A. Accomplishments to Date
The Department of Commerce has recently established
an organizational framework having both the mandate
and capacity to:
establish and/or affect the nature, type and
quality of Departmental MBO's;
assure that the internal decisionmaking processes
will take into account all relevant factors,
including the impact of Department of Commerce
decisions on competing priority goals of the
Administration, the programs of other Agencies,
and the general public;
identify the need for and guide the design and
implementation of program impact and efficiency
evaluations;
assure prompt and complete implementation of
Secretarial decisions, and;
integrate the foregoing decisionmaking and imple-
mentation actions into the Department of Commerce
budget process.
- 6 -
The creation of two new organizations, the Office of
the Assistant Secretary for Policy and the Office of
Program Evaluation, along with the establishment of
the Department of Commerce Policy Council, constitute
the framework which provides for increased Secretarial
focus on these Departmental efforts.
1. The Office of the Assistant Secretary for Policy,
which is comprised of an Office of Policy Develop-
ment and Coordination, an Office of Regulatory
Economics and Policy, a Bureau of International
Economic Policy and Research, and a new Office of
Energy and Strategic Resource Policy, was
established in May 1976. The Assistant Secretary for
Policy:
serves as the principal adviser of the
Secretary of Commerce on matters relating
to the assessment of regulatory impacts on
business and industry, on policy matters
associated with energy and resource develop-
ment on international economic policy develop-
ment, and on other selected policy development
matters of direct concern to the Secretary;
provides for the Secretary coordinative and
integrative services on broad policy matters
concerning more than one operating unit of
the Department; and
serves as the Executive Director of the
Department of Commerce Policy Council which
draws together resources to strengthen the
Department's role in Federal policymaking
and provides a focal point for Departmental
policy development and review.
2. The Office of Program Evaluation, which reports to
the Assistant Secretary for Administration, was
established in October 1975 to improve oversight of
operating programs in the Department of Commerce
The Office performs the following functions:
- 7 -
Interprets Presidential initiatives in the
areas of program planning, management control,
and operational evaluation;
Conducts special studies to evaluate the
the effectiveness of Departmental Programs
in meeting objectives established through
legislation or other appropriate authority;
Operates the Secretary's management by
objectives system;
Identifies major program, operation or
management issues and problems and undertakes
analyses to resolve them; and
Advises and assists operating units in the
development and operation of systems for the
identification of program objectives and the
measurement of the results of actions taken
against these objectives.
B. Action Steps
Action Completed.
II. MBO Program
Review agency MBO's for possible improvement and include
those necessary to carry out actions directed by the
President.
A. Accomplishments to Date
The Department's MBO system is designed to help the
Secretary identify objectives and develop operational
plans to achieve these objectives on a fiscal year
basis. It also helps him track progress towards such
achievement, primarily through a series of "rolling"
quarterly conferences which total more than 100 hours
a year.
By and large the system draws its objectives from
statements of Presidential and Secretarial policy and
from the Department's planning process. It presently
has 61 objectives, the bulk of which are concerned:
- 8 -
with program operations.
Originally developed in 1973, the system was
redesigned for the present Secretary in 1976.
Staff responsibility for its operation lodges
with the Office of Program Evaluation, under the
Assistant Secretary for Administration. This
Office is also charged with staff responsibility
for program impact and other evaluations.
Plans for MBO in fiscal 1977 and beyond stress:
More objectives with impact or other
output targets.
More quantitative targets.
Inclusion of Presidential initiatives.
A longer planning horizon.
A coupling of MBO tracking with regular
performance and financial reviews.
A strengthening of MBO at the bureau level.
B. Action Steps
Estimated
Milestones
Completion Date
Remarks
1. Complete incor-
November 1976
ON SCHEDULE
poration of the new
objectives meeting
the above criteria
1/
into the MBO system.
2. Develop plans to December 1976
ON SCHEDULE
strengthen MBO at the
Bureau level.
3. Begin regular
January 1977
ON SCHEDULE
performance/
financial reviews
1/ Includes MBOs necessary to carry out the Presidential Management
Initiatives Program.
- 9 -
III. Decisionmaking
Develop and utilize checklist approach to decisionmaking.
A. Accomplishments to Date:
None
B. Action Steps
Estimated
Milestones
Completion Date
Remarks
l.a. Submit draft of decision-
September 8, 1976
COMPLETED
maker's checklist to DOC opera-
ting units for review and
comment.
b. Request information con-
September 8, 1976 COMPLETED
cerning the extent to which
DOC operating units are
utilizing the checklist approach
to decisionmaking.
2. Receipt of (a) comments on OMB
September 16, 1976 COMPLETED
decisionmaker's checklist and (b)
information relating to utilization
of checklist approach to decision-
making from operating units.
3. Submit comments and suggested
September 21, 1976 COMPLETED
revisions concerning decisionmakers
checklist to OMB.
IV. Staffing Pattern Review
O Review current staffing patterns and organizational
structure to identify unnecessary position layering
and excessive organizational subdivisions.
A. Accomplishments to Date:
Two major position management and classification
systems are in place (see attachments). The systems
- 10 -
are the Vacancy Review process and the Survey
of Position Description Process. Both of these
systems are designed to have managers, together
with personnel specialists, review their organiza-
tional structures and report on (1) the disposition
of vacant positions, and (2) the propriety of grade
allocations of positions under their jurisdiction.
B. Action Steps
Estimated
Milestones
Completion Date
Remarks
1. Develop, in conjunction
with the Office of Organization
and Management Systems, a revised
issuance on position management in
accordance with the President's
Management Initiatives.
a) draft developed
October 15, 1976
ON SCHEDULE
b) issuance
November 15, 1976 ON SCHEDULE
2. Review supervisory ratio to
Start reviews at end
employees supervised on a
of first quarter of
quarterly basis to examine
FY 77 (December 31, ON SCHEDULE
abnormally narrow spans of control.
1976), and make review
every quarter thereafter.
3. Establish a benchmark for an
November 1, 1976
ON SCHEDULE
appropriate supervisory span of
control and any organization which
falls below benchmark must report
action taken to broaden span of
control.
O
Develop plan to consolidate subunits.
A. Accomplishments to Date:
Departmental organization elements carry out syste-
matic review and evaluation programs to assure that
organizational structures are not fragmented and are
- 11 -
conducive to the effective accomplishment of pro-
grammatic objectives and responsibilities. Generally,
these review and evaluation programs entail such
efforts as: studies to eliminate or curtail low
priority activities and to improve work methods and
procedures; and, surveys to improve organization
structures, including elimination of excessive organiza-
tion and unnecessary supervisory layering.
Several examples of organization restructuring efforts
within the Department follow:
The Maritime Administration (MARAD) has drastically
revised its organization structure to meet program
requirements. For example, with a few exceptions,
MARAD has eliminated all organization structures
below the Division level as well as many Deputy and
Assistant positions. As a result, MARAD has achieved
a more effective and flat organization structure with
a heavy emphasis on project management operations.
As part of the National Bureau of Standards (NBS)
effort to eliminate organizational fragmentation,
the Management and Organization Division is reviewing
the NBS organization structure as to its effective-
ness in facilitating the accomplishment of program-
matic objectives. NBS expects, within the next few
months, to consolidate several ortanizational
entities--therebv achieving operational and adminis-
trative savings through reductions in the overall
administrative structure.
o The National Oceanic and Atmospheric Administration
(NOAA) is presently revising the directive that
provides specific policy guidance in the establish-
ment or revision of NOAA organizational elements.
NOAA is also planning to undertake a comprehensive
review of existing organizations by December 31, 1976.
B. Action Steps
Estimated'
Milestones
Completion Date
Remarks
1. Formally request opera-
September 17, 1976
COMPLETED
ting units to document recent
efforts and future plans to
consolidate organizational
subunits.
- 12 -
Estimated
Milestones
Completion Date
Remarks
2. Receive operating unit
October 1, 1976
COMPLETED
documentation of recent
efforts and future plans
to consolidate organiza-
tional subunits.
3. Monitor on a quarterly
January 31, 1977
ONGOING
basis operating unit actions
April 30, 1977
directed at consolidation of
July 31, 1977
subunits.
October 31, 1977
O Establish guidelines for "assistant to" positions including
number per policy official and grade level.
A. Accomplishments to Date:
Decision made to eliminate all "assistant to" positions
(except those that are in Schedule C category) and
redescribe them on an "actual duties and responsibili-
ties" basis. Additionally, no new "assistant to"
positions will be established.
B. Action Steps
Estimated
Milestones
Completion Date
Remarks
1. Include in above-mentioned
issuance on position management
a prohibition on establishment
of "assistant to" positions
(except in Schedule C category)
and define the basis on which
these positions must be
established.
a) draft
October 15, 1976
ON SCHEDULE
b) issuance
November 15, 1976
ON SCHEDULE
2. Initiate review of current
November 30, 1976
ON SCHEDULE
"assistant to" positions in
Department under criteria set
forth in proposed issuance.
a) complete required corrective January 31, 1977
ON SCHEDULE
action
- 13 -
Establish procedures to ensure at least agency deputy
level review of proposals to create new subdivisions.
A. Accomplishments to Date:
Existing regulations prescribe an organization and
position management system for the Department of
Commerce as the means of assuring that functions
are organized and staffed in the most economical
manner consistent with effective program accomplish-
ment.
Procedures to ensure Departmental level review of
proposals to create new subdivisions are incorporated
in the Department of Commerce's Organization Order
series which is used to prescribe the basic organi-
zation arrangements of the Department, namely:
O To establish, abolish or consolidate Depart-
mental operating units, or the principal
offices (i.e., Departmental offices) that
comprise the Office of the Secretary; and
O To prescribe the basic organization structure
of and assignment of functions within operating
units and, as necessary, within the offices
of Secretarial Officers and Departmental Offices.
Organization orders are issued for each Secretarial
Officer, each Departmental office, and for each
operating unit of the Department.
The Assistant Secretary for Administration is responsi-
ble for developing and prescribing administrative
procedures for the individual directives, including
Department Organization Orders, within the Department's
primary directives system.
B. Action Steps
Action Completed
March 29, 1976
- 14 -
MEMORANDUM FOR Assistant Secretaries and Heads of Bureaus
and Offices
Attention: Personnel Officers
h race
From: John M. Golden
Director of Personnel
Subject: Average Grade Controls
There have been a number of indications recently that "grade creep"
will again come under the close scrutiny of the White House, the
Office of Management and Budget, and the Civil Service Commission.
In anticipation of a formal requirement to control the movement of
our average grade and, even more importantly, to insure the effective
management of our personnel resources, it is requested that all
operating units carefully assess their procedures for the review of
vacant positions as required under Section 5.02-c of Department
Administrative Order 201-37. Appropriate steps should be taken to
insure that such a review is in fact conducted in every instance
where a vacancy occurs and that a capability is maintained for
reporting the results of such review by major operating units on a
quarterly basis.
Reporting Requirements:
In licu of the current quarterly position management information
called for on Form CD-209, Quarterly Personnel Statistical Report,
each operating personnel office shall submit quarterly, for each
major operating unit which it services, a breakdown of the results
of the above required vacancy review showing (1) total vacancies
during the quarter, (2) the number reviewed with the operating official,
(3) the number of positions changed in grade as a result of the review,
(4) the number of positions abolished outright (where there is a
resulting continuing loss of head count within the organization),
(5) the number of positions abolished where the space is used to
establish 2 different position bearing no relationship to the vacancy,
and (G) the total grades saved during the quarter as a result of the
review process.
With regard to "item (6) above, consider in that "total grades saved"
figure the grades attached to any positions abolished outright, 1.e.,
outright abolition of = GS-3 position would represent three "total
grades caved" even though the average (Tude of the unit would rise
- 15 -
as a result of that action. Also, where a vacancy occurs during a
given quarter out a final decision has not been made as to its
disposition, do not report it as a vacancy until a decision is mdc.
Such pending actions should be accounted for in a "Hemarks" statement
at the conclusion of your report.
Due Dates:
Vacancy review reports should be submitted to the Office of Personnel
within 15 days following the close of the quarter ending on June 30,
1976, and the end of each quarter thereafter.
Appropriate records should be maintained ty quarter to facilitate any
post audit of the effort.
- 16 -
June 21, 1976
MEMORANDUM FOR Heads of Operating Units
and Departmental Offices
Attention: Personnel Officers
Jul L reli
From: John M. Golden
Director of Personnel
Subject: Combined Whitten and Maintenance Review
The attached paper sets forth the requirements of the combined
Whitten - Maintenance Review program.
While Whitten Review schedules are called for by July 1 of each
year, due to the press of time the initial schedule may be
submitted at any time prior to July 15. In transmitting your
schedule please indicate your intention to either (1) adopt the
combined Whitten - Maintenance Review program alone, or (2) continue
the Maintenance Review program under Department Administrative
Order 202-516 supplemented by the "Combined Program" to insure
LOO percent coverage each year.
it will be appreciated if the Commerce units in the New York
area could be scheduled for maintenance review as provided for
mder paragraph e. during the July-September quarter utilizing
be job information developed for those units for the 1976 Whitten
eport to determine which positions require your attention.
my questions you may have regarding this program or the option
I continuing maintenance review under Department Administrative
rder 202-516 should be submitted to the Classification and
recutive Assignments Division.
ttachment
17
COMBINED WHITTEN AND MAINTENANCE REVIEW
In lieu of the two-year cyclic review called for under Section 5.01 of
Department Administrative Order 202-516, Maintenance Review, operating
personnel offices may elect to conduct a modified maintenance review
program combined with the Whitten Review.
Such a combined review process, at a minimum, will embrace the following
features:
a. All positions serviced by the personnel office shall be certified
as to their accuracy and completeness relative to all principal duties and
responsibilities by both the supervisor and the employee on an annual basis.
b. All positions not so certified shall be desk audited and appropriately
described during the quarter following the quarter in which the Whitten Review
vas conducted.
C. The Whitten Review process shall be conducted throughout the organi-
zations serviced by the operating personnel office on a quarterly basis
commencing July 1 of each year. Organizational units comprising approxi-
mately one-fourth of the total workforce shall be scheduled for such review
during each quarter.
d. The results of the Whitten Review conducted during a given quarter
shall be reported to the Office of Personnel within 15 days following the
close of the quarter utilizing the format indicated in the Attachment.
e. Within the succeeding quarter, all positions not certified complete
and accurate by both the employee and the supervisor shall be desk audited
by & representative of the personnel office. A new position description
shall then be prepared and certified by both the employee and the supervisor.
f. In those instances where, as a result of the Whitten Review of an
organizational unit, uncertified position descriptions do not represent at
least 20 percent of the positions in the unit, additional positions shall
be selected to bring the total positions audited to a minimum of 20 percent.
Positions so selected shall be those which, in the judgment of the respon-
sible classification analyst, would be most likely to produce constructive
results.
8. Where classification problems are uncovered, corrective action should
be initiated immediately. However, any adverse actions that may be required
may be delayed until the completion of the next scheduled review but not in
excess of one year provided:
(1) The supervisor and the employee are made fully aware of
the corrective action required and the reasons for it;
18
(2) The supervisor agrees that in the event the position
becomes wacant for any reason the required corrective action will
be taken prior to the time the position is filled again;
(3) The employee agrees to referral against any position for
which qualified that will support or exceed the employee's current
grade;
(4) The supervisor agrees to attempt to restructure the
position to overcome any deficiencies prior to the next
scheduled maintenance review;
(5) Appropriate records of all such positions shall be
maintained to facilitate the assessment of the impact of the
above four provisions; and
(6) Prior approval of the delay in execution of adverse
actions is obtained from the Office of Personnel.
Scheduling:
a. An annual Whitten Review schedule shall be submitted to the Office
of Personnel prior to July 1 of each year showing the organizational units
to be covered during each quarter and the number of positions in each unit.
b. Amendments to the schedule shall be submitted to the Office of
Personnel in advance of the quarter when changes will be made.
C. Organizational units which are not completed within their scheduled
review quarter shall be rescheduled and completed the following quarter.
Reporting:
In addition to the report called for under paragraph d. (first page), the
following reports shall be required:
a. A brief narrative report of the status of classification within
each unit reviewed under paragraph e. (first page) setting forth (1) the
number of positions certified complete and accurate by both the employee
and the supervisor; (2) the uncertified positions audited, the findings
resulting from the audit, and the disposition of each case; and (3) similar
information concerning the additional audits conducted of certified
positions to reach the 20 percent coverage.
These reports should be submitted to the Office of Personnel as
the organizational reviews are completed, but not later than 30 days
following the completion of the quarter. A copy should be provided the
organizational unit head.
I9
b. The requirement for a consolidated annual Whitten Review report to
be submitted to the Office of Personnel not later than July 15 has not been
changed by the above.
Those operating personnel offices not opting for the Combined Whitten and
Maintenance Review may continue the maintenance review program as prescribed
in Department Administrative Order 202-516. This is conditioned on:
a. Adherence to the scheduling and reporting requirements of Department
Administrative Order 202-516; and
b. Whitten reviews of all organizational units not scheduled for
maintenance review during the year being conducted in accordance with the
above, excluding only paragraph f.
Attachment
6/21/76
- 20 -
WHITTEN REVIEW QUARTERLY REPORT
For Quarter Ending
1. Organizations Scheduled for Review:
(Division Level) and number of positions
2. Status of position descriptions, by organization:
Nee
Title
Series
Grade
P.D.No.
Incumbent Certified Au:
3. Attach listing of uncertified position descriptions showing title, series
and grade, and incumbent, by organizational unit.
- 21 -
PRESIDENTIAL MANAGEMENT INITIATIVES
DEPARTMENT OF COMMERCE ACTION PLAN
INITIATIVE: 2
TITLE: Evaluation of Current Programs
RESPONSIBLE OFFICIAL: Robert A. Knisely TEL: 377-4132
I. Policy and Evaluation Unit
Assign to agency policy and evaluation unit responsibility
to identify need for, and guide the design and
implementation of program impact and efficiency evaluations.
A. Accomplishments to Date:
As was discussed under Initiative 1, the Department
has already accomplished this action.
B. Action Steps:
Action Completed.
II. Efficiency Evaluations
A. Accomplishments to Date:
In response to the President's Management Initiatives,
the Department of Commerce held a meeting of
representatives of each Primary Operating Unit which
elicited a large number of proposed efficiency
evaluations. Subsequently a Task Group of agency
representatives was formed to select a group of
projects to propose to the Assistant Secretary of
Administration for both internal and external review.
That group selected seventeen studies, from which the
Assistant Secretary for Administration chose ten to be
reviewed by OMB and the remainder to be monitored
internally.
- 22 -
The process of designing efficiency evaluation
studies for external review should properly be
an iterative one, involving negotiation between
the Office of the Secretary and the Primary
Operating Unit. Since the schedule for developing
efficiency evaluation plans has so far not afforded
sufficient time for such reiteration, the descriptions
provided here can reflect only our current plans for
the conduct of these projects. The projects set out
below are presented in alphabetical order and are
described in the attached appendix. Since we intend
to complete all studies, the selection of this group
from a larger list represents the only meaningful
setting of priority in this context.
B. Action Steps
O
Study alternatives for compilation of voting
and registration statistics.
Estimated
Milestones
Completion Date
Remarks
1. Conduct Annual Survey
Jan. 1977
ON SCHEDULE
2. Conduct Experimental Surveys
Aug. 1977
ON SCHEDULE
Prototypes
3. Process Data
Oct. 1977
ON SCHEDULE
4. Complete Study
Dec. 1977
ON SCHEDULE
O
Revision of Boycott Reporting Methods (DIBA)
1. Submit Concept Report to OEA
Sept. 1976
ON SCHEDULE
2. Approve Systems Concept
Oct. 1976
ON SCHEDULE
3. Submit System Design to OEA
Nov. 1976
ON SCHEDULE
4. Determine Final Format of
Nov. 1976
ON SCHEDULE
Statistical Summary
5. Obtain OMB Forms Clearance for
Dec. 1976
ON SCHEDULE
Revision
- 23 -
Estimated
Milestones
Completion Date Remarks
6. Prepare ADP Specs.
Jan. 1977
ON SCHEDULE
7. Prepare ADP Programs
May 1977
ON SCHEDULE
8. Produce First Quarter Summaries May 1977
ON SCHEDULE
O
Streamlining of Application/Approval Process
under Title II (EDA)
1. Document Identification and
Collection
Oct. 1976
Major Re-
vision: New
2. Document Review
Oct. 1976
study
schedule
3. Statistical Review
Oct. 1976
available in
November.
4. Process/Procedure
Identification
Nov. 1976
5. Interviews
Dec. 1976
6.
Data Analysis
Jan 1977
7. Complete Report
Jan. 1977
O
Study of the Review and Coding of Ship Review
Invoices and Summaries (MARAD)
1. Initiate Study
Sept. 1976
COMPLETED
2. Analyze Survey Data
Oct. 1976
ON SCHEDULE
3. Complete Interim Report
Nov. 1976
ON SCHEDULE
4.
Complete Project
Dec. 1976
ON SCHEDULE
O
Study of Chart Sales Program (NOAA)
1.
Initiate Study
Sept. 1976
COMPLETED
2. Complete Analysis of Survey
A major
Data
Nov. 1976
revision of
this study
3.
Complete Interim Report
Dec. 1976
is expected
and a new
4.
Complete Study
Dec. 1976
schedule
will be
completed
in early Nov.
- 24 -
Estimated
Milestones
Completion Date
Remarks
O
Study of Fish Inspection and Grading Program (NOAA)
1. Initiate Study
Mar. 1977
ON SCHEDULE
2. Complete Analysis of Survey
Data
Jun. 1977
ON SCHEDULE
3. Complete Interim Report
Jun. 1977
ON SCHEDULE
4. Complete Project
July, 1977
ON SCHEDULE
O
Efficiency Study of One-Stop Centers (OMBE)
1. Commence Contract
Oct. 1976
Study delay of
one month due
2. Review Draft Final Report
Dec. 1976
to slippage
in contract
3. Approve Final Report
Feb. 1977
award.
O
Evaluation of Systems to Replace Patent
Reproduction System (PTO)
1. Award Contract
Mar. 1977
ON SCHEDULE
2. Initiate Equipment
Replacement
Jan. 1978
ON SCHEDULE
3. Total System Implementation
July 1978
ON SCHEDULE
O
Efficiency Evaluation of Literature and Brochures
Distribution Program (USTS)
1. Initiate Study
Nov. 1976
ON SCHEDULE
2. Evaluate Study Findings
Mar. 1977
ON SCHEDULE
3. Issue Interim Report
Jun 1977
ON SCHEDULE
4.
Aug. 1977
ON SCHEDULE
Complete Study
- 25 -
Estimated
Milestones
Completion Date
Remarks
O
Personnel Utilization Study (O/Pubs)
1. Prepare Draft Report
Nov. 1976
Delay two
mos. due to
2. Prepare Final Report
Dec. 1976
(1) temporary
reassignment
3. Audit Implementation of
Jan. 1977
and (2) large
Recommendations
amt. of data
requiring
III.
Management Plan.
analysis.
Develop, in accordance with OMB guidance which will
follow, a management plan (to complement agency budget
submissions for FY 1978), including a description of
agency program impact evaluations.
A. Accomplishments to Date:
Although the Department has initiated a number of
activities relating to management planning and evaluation,
we must await OMB guidance to determine if they are
responsive.
B. Action Steps:
An action plan will be developed upon receipt of the
OMB guidance.