1 Evolving Performance Management No Ratings! More Feedback! Performance Management at Booz Allen Hamilton February 3, 2016
In the fall of 2013, Booz Allen launched a new People Model the structure and elements through which staff navigate their career The model addresses both the changing marketplace, as well as the changing complexion of our firm Increases in engineering, technology and the commercial and international arenas Moving beyond the one size fits all approach to building a career at Booz Allen General dissatisfaction with our existing performance management approach We built the new People Model to: Provide clear and compelling career paths to allow growth as a specialist, functional leader, and/or business leader Enable staff to own and drive their careers and understand what success looks like Provide tools and resources to help our diverse workforce develop skills Increase the value of the appraisal process by providing ongoing feedback to support development It is comprised of Roles, Career Tracks, Functional Communities, Performance Management, and Career Development and is designed to meet business needs and recognize the value of staff across a broad range of disciplines The complete redesign of our performance management approach is a key component of the new model 2
3 Our goal was to move to a performance management approach that would be viewed as valuable to staff and the business, and fostered a culture of feedback and development Legacy Performance Management Approach Three independent processes (roles/goals, talent review, assessments) with overlapping activities/outcomes Traditional process with competencies, ratings, lengthy forms Once a year event Feedback tended to happen only once a year, at assessment time Seen as primarily a manager responsibility Viewed as an administrative burden with little value Success defined by process completion New Performance Management Approach Integrated processes with outcomes that add value to individuals and the business Foundation based on what people are asked to do via goals Provides opportunity for relevant, meaningful feedback throughout the year in a more organic way On-going process Joint manager-employee responsibility Focus is on development vs. a rating Success defined by ongoing, constructive feedback to support development
4 Our new Performance Management process is comprised of Goals, Real Time Feedback, an Annual Summary, and Talent Planning Goals evaluate staff performance against their key responsibilities Feedback is encouraged throughout the year The Annual Summary includes a side-by-side self review and manager s review, is developmental in nature and not centered around a rating Promotion is based on aspiration, sustained performance (goal performance, firm-wide behaviors and performance expectations), and business need Compensation is based on performance, experience, internal & external equity, and contract affordability Talent Planning provides leaders the opportunity to discuss their talent holistically (development, deployment, leadership pipeline, diversity) Technology (Oracle Taleo) is leveraged to enable the process (e.g., goal progress, feedback journal, annual summary)
5 A focus on communication and change management is integral to successful implementation and culture change Phase 1: Prepare for Change and Roll Out First Part of the Model Phase 2: Introduce Performance Management and Development Culture Phase 3: Anchor the Culture Change and Drive Performance Management Phase 4: Reinforce and Drive Culture Change
6 A multi-phased, multi-year change approach is being leveraged; below is a sampling of key activities Phase 1: Prepare for Change and Roll Out First Part of Model (Roles) 4 Months Phase 2: Introduce Performance Management and Development Culture 4 Months Phase 3: Anchor the Culture Change and Drive Performance Management 8 Months Phase 4: Reinforce Culture Change and Drive Ubiquity Ongoing Executive Road Shows Take 1 Executive Road Shows Take 2 Feedback and Conversation Toolkit, including video Continue driving Feedback and Conversation behavior Peer Catalyst Program Peer Catalyst Program Peer Catalyst Program Peer Catalyst Program Cascading Leadership Discussions Career Manager Webinars, WBT, Yam-Jams, Articles People Model Video Executive Sponsor Messages New Technology Launch Centralized People Model Site Launch Cascading Leadership Discussions Conversations Between CMs and Staff Introduce Career Development support (tools, programs) Staff WBT, Yam-Jams, Articles Executive Sponsor Messages Reinforce changes through second performance management cycle Conversations Between CMs and Staff Account-Level Webinars Led by HR Business Partners Ongoing Communications Campaign Utilize People Model site to equip/enable leaders & staff Performance Management Toolkit & Technology Training Videos Enhanced SME Support during inaugural Performance Management Cycle Ongoing Communications Campaign Utilize People Model site to equip/enable leaders & staff Gather feedback & Introduce improvements Reinforce engagement of leaders as change agents Ongoing Communications Campaign Utilize People Model site to equip/enable leaders & staff
More than two years in, feedback indicates that we re moving the needle, but there s more work to be done What s Working: Staff and leaders appreciate the ability to set goals and collect feedback against what they do, rather than just having standard competencies The new process is viewed as easier to execute, and the side-by-side Self/Manager s review is appreciated by all Lack of ratings has become a non-issue Integrated Talent Planning discussions are enabling the right leadership discussions, and allowing for better planning of our leadership pipeline Where we can still improve: Real-time feedback is still a work in progress, and not yet a natural part of our culture The Annual Summary process is still viewed as an event rather than an on-going process Promotion criteria is seen as unclear and/or subjective 7
Questions? 8