What Next? Transforming Your Agency for the Future Michigan Director s Summit Michael T. Shellito Shellito Training and Consulting Strategic Partner, Pros Consulting 1700 Eureka Rd., Suite 110 Roseville, CA 95661 P: 916-773-7328 C: 916-768-9172 F: 916-773-7326 Email: mshellito@gmail.com Turbulent Times 1
Unpredictable Environment Problems with Scarcity 2
New Normal Have a Game Plan and Play Offense 3
Read the Handwriting on the Wall What s About to Happen? 4
Cost of Public Service is Too High and Unsustainable Revenues declining Taxes Development Fees User Fees Limited resources Budget People Retirement Costs Unsustainable Public is Angry with Government Can t Be in a Reactive Mode 5
Riding the Waves of Change What change is happening right now that is challenging you and your agency? What s about to happen that will dramatically alter your future? Transform or Die 6
Redesigning for the Future Most people don t change because they see the light, but because they feel the heat! 7
Staff Reductions* Department General government FTEs Decrease FY2007 FY2011 Amount Percent 181.2 141.6 39.7 21.9% Police 209.3 181.8 27.5 13.1% Fire 128.0 112.0 16.0 12.5% Parks, Rec & Libraries 127.8 88.0 39.8 31.1% Public Works 133.8 96.7 37.0 27.7% CDD/Planning 39.0 20.3 18.7 48.0% Total 819.0 640.3 178.6 21.8% Fixing the Problem Redesign a Smaller Organization 8
Redesign a smaller, leaner and sustainable organization focused on a more streamlined mission and the delivery of core services that matches operational expenses with ongoing revenues and resources. Redesign Goal 9
Organizational Assessment Assessment Self Rating Exercise Our organization is very stable relative to our leadership, personnel, revenues, operational budget, community development and local politics We neither need nor anticipate any major changes in the year to come 10
Assessment Self Rating Exercise We measure success by achieving measurable outcomes versus outputs and effort We are flexible and cooperative in sharing people and equipment across departments and within our department Assessment Self Rating Exercise We avoid costly duplication of work between Departments and within your Department We have a strong understanding and control over the cost of services Staff uses data and information well to make good decisions on cost control, revenue management and pricing We use flexible staffing strategies to control costs for periodic and seasonal fluctuations in work load 11
City Assessment Findings Our team thinks and acts with a City first, my department second and me third mindset We have strong clarity as to what is a core service, versus important or value added. We have consistent written performance standards Our Department s infrastructure is well funded for the future Discuss Your Top 3 Challenges and Opportunities to Work On 12
Fixing the Problem versus Stopping the Bleeding Protect core services Redesign Principles Plan and deliver important and value added services in ways that are less dependent on the City s General Fund 13
Redesign Principles Establish and/or refine service levels and standards that are good, appropriate & affordable Achieve a consistent level of high service between all City departments Redesign Principles Achieve highest and best use of permanent employees Staff for the everyday work load Develop flexible staffing strategies for periodic changes in workload Consolidate functions to minimize duplication to increase efficiency and cost effectiveness 14
Outcomes vs. Functions Navigation Strategies 15
Development & Acquisition Standards Maintenance Standards Operational Standards Value to Community Experience Vision Charting the Course 1. Vision & Value through Clear Outcomes 2. Create targets to define the experience 3. Outputs Operational, Maintenance, and Development Standards 4. Acquire Inputs 16
#1 Create Compelling Outcomes We make lives and the community better now and in the future by providing valued places and programs #2 Paint Targets in Vivid Color Parks are Safe, Clean & Green & Enjoyable 17
Mow, irrigate, aerate & fertilize to achieve green, lush turf #4 Calculate & Acquire Inputs Necessary to Produce Outputs People Money Time Equipment Supplies Facilities Partners 18
New Models Park, Facility and Landscape Maintenance Public Public Contracts Public Private Facility Operations Outscourcing Steering vs. Rowing Public Non Profit/CBO s 19
Mergers, Consolidation & Staffing P&R & Libraries Public Works & P&R Community Services & Police Marketing & Public Information Broader Job Classifications Employment Options 9 month schedules Increased 1500 hour employees PPT with limited benefits Strategic Partnerships Schools Police Non Profits Chamber/Business Neighborhoods Regionalism Other? 20
Smaller Operations Facility Closures Reductions in Hours of Operation Reduced Recreation Programming Strategic Level of Service Permanent Staffing Group Discussion What new operational models are you investigating and why? Where might you contract or outsource? What internal changes are you considering? 21
Get Comfortable Being Uncomfortable Stay Focused, Stay Present 22
Take Risks with Anything Above the Waterline Try it, Fix it 23
Expect Casualties True Leadership Is Sometimes Painful 24
FOR GOODNESS SAKE Questions & Comments 25