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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 Gerald R. Ford donated to the United States of America his copyrights in all of his unpublished writings in National Archives collections.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.