Human Capital Planning

and Competitive Sourcing

(Organizational Change)

Reviewing two Governmentwide

President’s Management Agenda
Initiatives
Topics

• President’s Management Agenda

• Human Capital Standards for Success
• Competitive Sourcing Standards for Success
• Slides from OPM and OMB May 2005 Seminar
• Wrap-up

Lunch and Learn Series 2006 2

President’s Management Agenda

• What is the President’s Management Agenda?

– A plan of action for agencies to better manage the
way government serves citizens
• What must agencies do to achieve agenda
goals?
– Create a vision toward the future
– Think strategically
– Make informed decisions
– Invest in meaningful outcomes that citizen’s demand

Lunch and Learn Series 2006 3

Human Capital Standards for Success

• Two of 9 Standards for Success from PTB IV

– Analyzed existing organizational structures from service and
cost perspectives and is implementing a plan to effectively
deploy, restructure, delayer and use competitive sourcing, E-
Gov solutions, as necessary; and has process in place to
address future changes in business needs
– Meets targets for closing competency gaps in mission critical
occupations (i.e., agency-specific, human resources
management, information technology, and leadership), and
integrates appropriate competitive sourcing and E-Gov solutions
into gap closure strategy

Lunch and Learn Series 2006 4

Competitive Sourcing Standards for
Success
• Two of 13 Standards for Success for PTB IV
– Annual Green competition plans must address human capital
needs (e.g., closing staffing and skill gaps, restructuring, etc.)
– Annual Green competition plans must be reviewed by Chief
Human Capital Officers (to ensure competitions address human
capital goals)

Lunch and Learn Series 2006 5

 Aligning Strategic Management of 
Human Capital and
Competitive Sourcing
Report Tile

OFFICE OF MANAGEMENT AND BUDGET
AND
OFFICE OF PERSONNEL MANAGEMENT 
Shared Goals of Human Capital and
Competitive Sourcing
Human capital & competitive sourcing (public-private
competition) share a common goal of improving
mission performance by:
• Closing competency and skill gaps;

• Identifying and addressing redundancies, unbalanced

staffing, & other inefficiencies that cut across agency
functions;

• Restructuring organizations for greater efficiency; and

• Redeploying resources to higher program priorities.

UNITED STATES OFFICE OF PERSONNEL MANAGEMENT

Planning and Implementation Process for
Competitive Sourcing

Workforce Planning Process

Set Strategic Analyze Workforce & Develop Action Plan Monitor, Evaluate &
Direction Identify Skills Gaps & Implement Revise

Commercial
Competable
Activities

Strategic (Green) Public-Private

Competition Plan Competition

Competitive Sourcing Integration

UNITED STATES OFFICE OF PERSONNEL MANAGEMENT

 Current Status of Human Capital and
Competitive Sourcing
• Competitive Sourcing is usually identified as an option as
a result of a business need during strategic planning

• SMHC plays a supporting role in Competitive Sourcing

initiation and decisions

• In many agencies Human Capital (HC) planning for

Competitive Sourcing activities are frequently separated
from HC planning

UNITED STATES OFFICE OF PERSONNEL MANAGEMENT

Positioning to Achieve Successful Linkage
Congress requires agencies to report how competitive sourcing efforts are
coordinated with human capital considerations.

– Ensure continuous senior leadership involvement;

– Develop accurate definitions of activities performed by the workforce;

– Ensure the agency infrastructure facilitates interaction between

human resources (HR) and competitive sourcing (CS) personnel;

– Incorporate competitive sourcing activities into the agency’s strategic

human capital plan; and

– Use workforce planning information to inform the competitive sourcing

initiatives.

UNITED STATES OFFICE OF PERSONNEL MANAGEMENT

Actions to Achieve Successful Linkage

– Ensure HR personnel actively participate in developing agency’s FAIR

inventory and competition plans.

– Ensure HR and CS personnel work together to consider which

commercial activities may be affected by attrition, recruitment, retention
difficulties or skills imbalances;

– Ensure HR and CS personnel work together to time competitions to

minimize workforce disruptions;

– Appoint an HRA to work with each agency MEO team

– Identify and plan for anticipated personnel actions that need to be taken
in order to move from the old to the new organization; and

– Identify opportunities to provide soft landings for directly affected

employees.

UNITED STATES OFFICE OF PERSONNEL MANAGEMENT

Wrap-up

• Human capital planning and competitive

sourcing are linked through the scorecard’s
Standards for Success
• Departments and agencies should deliberately
link human capital and competitive sourcing
efforts

Lunch and Learn Series 2006 12

Your Questions

Lunch and Learn Series 2006 13

References

• PMA Standards for Success and Scorecard

Ratings http://www.whitehouse.gov/results/
• Program Assessment Rating Tool Results
http://www.whitehouse.gov/omb/expectmore/index.ht
• Annual Green Competition Plans
http://www.whitehouse.gov/omb/procurement/comp_

Lunch and Learn Series 2006 14