Human Resource Management Actionable Governance Indicators Instrument Development
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1 Human Resource Management Actionable Governance Indicators Instrument Development Gary J. Reid, Lead Public Sector Management Specialist, The World Bank June 9, 2009
2 What Are AGIs? Actionable governance indicators (AGIs) provide evidence on the characteristics and functioning of particular elements and subelements of the various dimensions of governance.
3 Governance Dimensions Citizens/Firms Political Accountability Political competition, broad-based political parties Transparency & regulation of party financing Disclosure of parliamentary votes Citizens/Firms Checks & Balances Independent, effective judiciary Legislative oversight (PACs, PECs) Independent oversight institutions (SAI) Global initiatives: UN, OECD Convention, antimoney laundering Effective Public Sector Management Ethical leadership: asset declaration, conflict of interest rules Cross-cutting public management systems: meritocracy, public finance, procurement Service delivery and regulatory agencies in sectors Civil Society & Media Freedom of press, FOI Civil society watchdogs Report cards, client surveys Private Sector Interface Streamlined regulation Public-private dialogue Extractive Industry Transparency Corporate governance Collective business associations Citizens/Firms Decentralization and Local Participation Decentralization with accountability Community Driven Development (CDD) Oversight by parent-teacher associations & user groups Beneficiary participation in projects Citizens/Firms
4 Governance Systems Elements and sub-elements of the various governance dimensions identified in the above diagram. Example from PSM dimension Cross-cutting public management systems (element) Public finance management systems Human resource management systems Policy management systems
5 Why Should We Care About AGIs? Design: Guide the design of specific governance systems reforms. Implementation: Hold such governance systems reform efforts accountable for achieving their objectives. Learn from Experience: Facilitate systematic empirical research on: Determinants of governance systems performance Determinants of governance systems impacts government outputs governance quality policy outcomes
6 AGIs in Indicators Perspective Conventional range of indicators Inputs Outputs Outcomes Governance systems unique features Influence input productivity (on outputs) Influence output impacts (on outcomes)
7 Actionable Governance Indicators are the Missing Middle Inputs and outputs Bank operations consistently track project inputs and outputs A growing number of Bank operations and client countries have begun to track program and policy outputs Outcomes Broad governance outcomes are measured by Freedom House, ICRG, etc. and by TI, WGI aggregate indexes The Missing Middle: Direct impacts of institutional reform efforts on how particular governance sub-subsystems function: including their institutional arrangements, procedures, and practices Examples include PEFA, Doing Business, Global Integrity, Open Budget Index, Statistical Capacity Index, OECD procurement index
8 How Can We Actually Measure AGIs? AGIs must provide evidence on: Features of governance systems Rules of the game (aka, institutional arrangements) Organizational capacities Performance: Extent to which governance systems meet their functional objectives Assessment of AGIs must consider Exogenous Factors, which can condition the impacts of: Governance systems features on the extent to which those systems achieve their functional objectives Governance systems functional performance on outputs and outcomes of government policies and programs
9 Governance Systems Features Rules of the game circumscribing the behavior and actions of agents within a particular governance dimension defining responsibilities assigning responsibilities, rights and authority requiring tracking, monitoring and disclosure of evidence on the exercise of particular responsibilities, rights and authorities creating checks and balances Organizational capabilities types of resources, including their quality dimensions quantities of each type of resource quality dimensions of resources employed (production technologies employed and their defining characteristics )
10 Governance Systems Performance Aspects of organizational behavior and practices, whose variance reflects the extent to which a particular governance system is achieving its various performance objectives
11 Exogenous Factors Contextual factors that alter the impacts of governance systems features on either the outputs or outcomes of government policies and programs
12 HRM AGI Instrument HRM systems features captured Rules of the game (formal and in practice) Organizational capabilities HRM systems performance evidence Information not captured Exogenous factors
13 Rules of the Game: Framework Setting Multiple, mutually exclusive public administration labor regimes Political appointees Civil servants Contract personnel Service delivery professionals Sensible divisions of responsibility and authority within each labor regime Policy setting Management of cadre staff Oversight Redress
14 Rules of the Game: By HRM Objective Attract and retain required staff Remuneration policies and practices, including pension policies and practices Non-remuneration policies and practices Policies and practices for attracting and retaining staff in unattractive locations Fiscally sustainable wage bill Establishment control policies and practices Wage bill control policies and practices
15 Rules of the Game: By HRM Objective (cont.) Depoliticized, meritocratic HRM practices Recruitment and selection policies and practices (entry vs. non-entry level) Competition Criteria Screening procedures Decision steps (long-listing, short-listing, final selection) Equal opportunity policies and practices (if applicable) Disciplinary procedures and practices Redress mechanism Ethical behavior Conflict of interest requirements Code of ethics Asset declaration requirements
16 Rules of the Game: By HRM Objective (cont.) Performance-focusing HRM practices Performance accountability of organizational units Personnel performance appraisal policies and practices Promotion policies and practices Competition Criteria Checks Performance-related pay practices Mobility options for certain types of positions
17 Rules of the Game: By HRM Objective (cont.) Effective working relationships with other cadres Policies and practices aimed at achieving clear differentiation in roles, responsibilities, authority and accontabilities Policies and practices aimed at ensuring buy-in to those differentiations
18 Organizational Capabilities HRM policy-setting agents have adequate Authority (organizational stature; legal authority) Resources (staffing #s and quality, staff training, budget, management systems characteristics) HR management agents have adequate Authority Resources HRM oversight agents have adequate Authority Resources HRM redress agents have adequate Authority Resources
19 Performance Attract and retain required staff Depoliticized, meritocratic HRM practices Performance-focusing HRM practices Fiscally sustainable wage bill Ethical behavior Effective working relationships with other cadres
20 Performance: Attract and Retain Average number of qualified (long-listed) applicants per advertised position is approximately constant across types of positions Average Variation across types of positions Annual turnover rates among recent recruits (e.g., over the first 5 years following recruitment) Average Variation across types of positions Incidence of post-graduate degrees among managerial and professional staff
21 Performance: Depoliticized, Meritocratic HRM Practices Quarterly turnover rates of civil servants (vs. political appointees) mapped against changes in political leadership Quarterly transfer rates of civil servants (vs. political appointees) mapped against changes in political leadership
22 Performance: Performance-focusing HRM Practices Absenteeism rates Average Variance across Types of positions Organizational units Performance appraisal ratings concentration in the top (or top two) ratings Average Variance across organizational units
23 Performance: Fiscally Sustainable Wage Bill Wage bill is affordable and within overall fiscal framework, and does not crowd out other necessary expenses Affordability: Wage bill/gdp Crowding out: Non-wage recurrent budget/total recurrent budget
24 Performance: Ethical Behavior of Civil Servants Incidence of disciplinary actions short of dismissals Incidence of dismissals for disciplinary reasons
25 Performance: Cross-cadre Collaboration?
26 AGI and HRM AGI Resources AGI Initiative agi (internal) AGI Data Portal: (internal) (external) HRM AGI Instrument: Civil Service Module AGI Instrument.1.zip HRM AGI Guidance Materials HRM AGI Materials.zip HRM AGI Instrument Guidance Note.docx HRM AGI Pilot Countries Guidelines v3.doc Analysis Template AGI HRM Instrument Application.doc HRM AGI Pilot Countries.docx HRM AGI Pilot Countries Analyses.zip HRM Diagnostics_translated_Oct08.xls (data from original pilot countries)
27 Thank you
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