DoD Civilian Acquisition WorkforcePersonnel Demonstration Project(AcqDemo)Contribution-based Compensation andAppraisal System (CCAS) forSupervisorsPresented by AcqDemo Program OfficeSummer/Fall - 2011

I. INTRODUCTIONOutline Housekeeping, Expectationsand Parking Lot Course Objectives Course Topics and Activities Activity: System Advantages /Supervisor Concerns2

INTRODUCTIONHousekeeping, Goals and Parking Lot Sign inIntroductionsCourse MaterialsQuestions / Parking LotCourse Evaluation Cell Phones Rest Rooms Breaks3

INTRODUCTIONCourse ObjectivesAt the completion of this course, participants will beable to: Summarize the major elements of the CCAS process Understand the supervisor’s role in implementing theorganization’s compensation strategy Write a summary of employee contributions for theAnnual Appraisal Apply scoring techniques to assess employeecontributions Describe how final scores and associated rewards aredetermined Communicate CCAS results to employees4

INTRODUCTIONCourse Topics and ActivitiesTopicsActivities Compensation Strategies 11-Step CCAS Process Responsibilities of KeyStakeholders CCAS Tools Writing Effective ImpactStatements Rating ProcessMechanics andPhilosophies ProductiveCommunication Tips System Advantages /Supervisor Concerns Writing an AnnualAppraisal Assessing EmployeeContributions CommunicatingAppraisal Results CCAS Plan of Action5

INTRODUCTIONActivity: System Advantages / Supervisor ConcernsSmall Group Discussion: What do you view as the major advantagesof remaining in a broadbanding system? What are your biggest concerns / roadblocksfor successfully supervising your employeesin AcqDemo?Each team shares highlights with the class.6

II. COMPENSATION STRATEGIES What is a CompensationStrategy? Compensation StrategyComponents Your Role inImplementing aCompensation Strategy7

COMPENSATION STRATEGIESWhat is a Compensation Strategy? Reflects your organization’s strategic objectives Maintain mission excellence Attract new talent Retain and motivate existing employeesSets the general policies and procedures forcompensation and benefits within an organization Consistent with pay budgets Used to derive rules for rewarding contributionsSeeks to provide the right rewards for the right employeecontributions Internal pay equity for like contributions Link rewards to contributions / impact8

COMPENSATION STRATEGIESCompensation Strategy ComponentsGroup Discussion What are your organization’s: Hiring strategies Pay Setting / Progression strategies Federal Pay vs. Private Sector Control points on positions Starting placement Progression through the broadband When to make pay related position changes? What levels of contribution should be rewarded?9

COMPENSATION STRATEGIESYour Role in Implementing a Compensation Strategy Understand your organization’s compensationstrategy Relate the compensation strategy to your workunit Set realistic expectations with employees Share concerns with higher level managementfor review with Personnel Policy Board Apply organization strategy in assessingemployee contributions10

III. CCAS OVERVIEW The CCAS Cycle Roles of Supervisor,Employees, and Pay PoolPanel 11-Step CCAS ProcessCCAS11

CCAS OVERVIEWThe CCAS Cycle2. Mid-PointReviewAprMarMayFeb6. End-of-CycleDiscussionJunCCAS AppraisalPeriod started22 May thisyear onlyJanFEEDBACKJulDecAug5. Pay PoolPanelNovOct4. AnnualAppraisalSep3. Annual AppraisalSelf-Assessment1. New Cycle BeginsPrevious Cycle DiscussionNew Cycle Contribution Planning12

CCAS OVERVIEWResponsibilities of the Personnel Policy Board Personnel Policy Board–– Oversee civilian pay budgetAddress issues associated with more than one pay systemDetermine composition of pay poolsReview pay pool operationsProvide guidance to pay pool managersAdminister funds to CCAS pay pool managersReview hiring and promotion salariesMonitor award pool distributions by organization and DAWIA vs.non-DAWIA Assess need for changes to demonstration procedures andpolicies13

CCAS OVERVIEWResponsibilities of the Pay Pool Panel Pay Pool Panel– Review preliminary ratings for consistency and equity– Reconcile preliminary ratings that are poorly documented orotherwise outside business rules– Approve ratings of record and payout results– Adjudicate challenges to ratings of record14

CCAS OVERVIEWResponsibilities of Supervisors Supervisor– Review organizational goals and priorities at start of appraisalcycle– Conduct annual contribution planning and explain ExpectedContribution Range (ECR)– Monitor and document employee progress and providecoaching/feedback throughout appraisal cycle– Address contribution issues immediately upon identification– Provide mentoring for career development– Conduct a formal Mid-Point Review– Request Annual Appraisal Self-Assessment– Complete an end-of-cycle Annual Appraisal– Uses factor descriptors to determine preliminary categoricalscores for pay pool– Participate in pay pool process as required– Conduct Annual Appraisal conversation15

CCAS OVERVIEWResponsibilities of Employees Employee– Understand and meet the contribution expectations identifiedduring Contribution Planning– Seek feedback and guidance as needed throughout the appraisalcycle– Prepare a Mid-Point Review and Annual Appraisal SelfAssessment in accordance with local policy16

CCAS OVERVIEW11-Step CCAS ProcessEleven Steps Step 1 -- Employee (optionally) completes Annual Appraisal SelfAssessment at the end of the rating period in accordance with localpolicy. Step 2 – Supervisor assesses employee contributions against sixfactors and assigns preliminary categorical scores. Step 3 – First pay pool / sub pay pool meeting - review for equity,consistency, and grouping; adjustments as necessary. Pay poolmanager resolves problems. Step 4 – Pay pool panel converts matrix placement into numericalcontribution scores. Step 5 – Second meeting of pay pool - identifies inconsistencies,makes adjustments as appropriate. Step 6 – Pay pool manager approves results, which becomeemployee’s rating of record.17

CCAS OVERVIEW11-Step CCAS Process Con’t.Eleven Steps Con’t. Step 7 – Plotted Salary vs. OCS data compares employeecontribution to compensation, placing each employee incompensation region A, B or C. Step 8 – Pay pool manager and panel implement payout plan, usingsoftware tool to determine potential salary adjustment andcontribution award for each employee. Step 9 – Pay pool panel reviews for consistency and fairness.Where no consensus can be reached, pay pool manager makes finaldecision. Step 10 – Pay pool manager officially approves payout. Scores andsalary adjustments are recorded on CCAS Salary Appraisal FormPart I. Step 11 – Supervisor communicates results to each employee.Supervisor and employee sign CCAS Salary Appraisal Form. Payadjustments are effective first pay period in January.18

IV. UNDERSTANDING FACTORS AND DESCRIPTORS Typical AcquisitionFunctions / Behaviors The 6 Factors Broadband-specificDescriptors Relating Contributions to theDescriptors19

UNDERSTANDING FACTORS AND DESCRIPTORSOrigin of AcqDemo Factor Descriptors Origin of AcqDemo factor descriptors Acquisition is a somewhat unique businessenvironment within DoD Fluid changing requirements Roles not always rigidly defined Dependent on ability to solve problems, team withothers, understand customer needs, lead,communicate, and manage resources Contributions of employees beyond job expectationslead to highly effective acquisition organizations Behaviors become the common denominator forevaluation20

UNDERSTANDING FACTORS AND DESCRIPTORSThe 6 Factors Problem Solving - personal and organizational problemsolving results Teamwork/Cooperation - individual and organizationalteamwork and cooperation Customer Relations - effectiveness of personal andorganizational interactions with customers Leadership/Supervision - individual and organizationalleadership and/or supervisory contributions Communication - the effectiveness of oral / writtencommunications Resource Management - personal and organizationalutilization of resources to accomplish the mission21

UNDERSTANDING FACTORS AND DESCRIPTORSBroadband-specific DescriptorsFactor: CommunicationNH – Business Management & Technical Management ProfessionalLEVEL DESCRIPTORSDISCRIMINATORSLEVEL III Communicates project or program results to all levels, internally Level of Interaction(Audience)and externally. Reviews and approves, or is a major contributor to/ lead author Writtenof, management reports or contractual documents for externaldistribution. Provides inputs to policies. Presents briefings to obtain consensus/approval.OralLEVEL IV Determines and communicates organizational positions onmajor projects or policies to senior level. Prepares, reviews, and approves major reports or policies oforganization for internal and external distribution. Resolvesdiverse viewpoints/controversial issues. Presents organizational briefings to convey strategic vision ororganizational policies.Level of Interaction(Audience)WrittenOral22

UNDERSTANDING FACTORS AND DESCRIPTORSRelating Factors to Current WorkloadGroup Discussion What are the career paths and broadbandlevels of the employees who report to you? How do the factors and descriptors relate tothose individuals and the work being done?23

V. WRITING AN ANNUAL APPRAISAL Tools Annual Appraisal SelfAssessment Writing Effective ImpactStatements Activity: Writing anAnnual Appraisal24

WRITING AN ANNUAL APPRAISALTools Organization Mission/GoalsPRDContribution PlanFactors, Descriptors and DiscriminatorsRecords kept throughout the yearMid-Point ReviewAdditional FeedbackAppraisal Form / CAS2Net25

WRITING AN ANNUAL APPRAISALKeeping Records of Contributions Written notes from employee meetings during theappraisal cycle Notes to yourself when employee deadlines aremet / missed Written formal feedback provided to employee Notes to yourself about informal or verbal feedbackprovided Written or verbal feedback from colleagues /customers Other contribution documentation26

WRITING AN ANNUAL APPRAISALAnnual Appraisal Self-Assessment Optional but highly encouraged, subject Step 1to local policy Should be completed before you complete yourAnnual Appraisal May need more than one draft to best highlightthe employee’s contributions Should highlight the contributions with the most impactmade throughout the appraisal cycle Should describe contributions in concise statements Should use language that can be understood by allpay pool panel members27

WRITING AN ANNUAL APPRAISALAnnual Appraisal Writing Steps Review employee contribution planningdocumentationStep 2 Review Annual Appraisal Self-Assessment Review Mid-Point Review / AdditionalFeedback documentation By factor, assess contributions against factordescriptors / discriminators Prepare succinct contribution impactstatements for each factorNote: A contribution may warrant mention undermore than one factor.28

WRITING AN ANNUAL APPRAISALContribution Statements Begin with a named task, followed by resultsachieved, and ending with impact to the missionof the organization Be specific (use dollar figures, program names,time saved, percentages, etc.) For each statement, make sure it passes the“SO WHAT” test“Em ployee X did A that resulted in B,and the im pact of that contribution w as C.”29

WRITING AN ANNUAL APPRAISALSuggested Appraisal Writing ModelC ContributionIdentify the contribution to beaddressed and make anaccomplishment statement.R ResultsDocument the results.Provide the quality, quantity,cost/budget, and timeliness details.I ImpactProvide scope and scale of theimpact that the contribution has onthe mission.6 Six FactorsProvide this information for each ofthe six contribution factors.30

WRITING AN ANNUAL APPRAISALIneffective Contribution Statements Provided training logistical support for base activities. Served as key government representative on programchange review board. Served as Acting Director of XYZ Program. Provided weekly status report to the PM on activities ofthe office. Reviewed and provided comments andrecommendations on applying new or revisedprocurement regulations. Coordinated with ourheadquarters regarding these requirements andobjectives.31

WRITING AN ANNUAL APPRAISALEffective Contribution Statements Developed a computer program to track materialstorage and delivery of weapon system parts from theSupply Department to the Operating Forces. Thistracking system cut reorder costs by 20% andimproved delivery time on average by 20 days.(Problem Solving) Coordinated with a number of organization elementsand contractors to resolve a classified e-mail problemthat resulted in the enhancement of operationalsecurity for all parties involved. This solution wasadopted DoD-wide.(Teamwork / Cooperation)SEE PARTICIPANT GUIDE FOR MORE EXAMPLES32

WRITING AN ANNUAL APPRAISALActivity: Writing an Annual Appraisal1. In small groups, review thebackground scenarioprovided2. As a group, collectively writean Annual Appraisal for oneof the factors3. Present your group’s resultsto the rest of the class33

VI. ASSESSING EMPLOYEE CONTRIBUTIONS Scoring Overview Determining CategoricalScores Determining NumericalScores Activity: AssessingEmployee Contributions Special Situations34

ASSESSING EMPLOYEE CONTRIBUTIONSSample Employee Joe Contributor NH-0801-III, General Engineer Base Salary - 66,90335

ASSESSING EMPLOYEE CONTRIBUTIONSExpected Contribution Range CalculatorCalculate an Expected Contribution Range (ECR)at the beginning of the appraisal periodusing a calculator found at the AcqDemo ml2011 Expected Contribution Range CalculatorExpected Contribution RangePaySchedEnterBase Pay 66,903/ RetainedPayNHPay Band Max Pay3 93,175RetainedPay?NoExpec