Supporting Improved Performance Evaluation as a Pillar of Performance Management

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Supporting Improved Performance - Evaluation as
a Pillar of Performance Management

• Kathy Corbiere
• Service Delivery and Performance Commission

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Performance Management

• Performance management is defined as a system,
  integrated with organisational strategic
  management, performance information, evaluation,
  performance monitoring, assessment, and
  performance reporting (OECD, 2002).

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Why focus on performance management?

• Governments see the need to assess their
  services in terms of impact and results for
  citizens
• more informed public
• a desire to engage with government in determining
  the scope and delivery of government services
• greater public accountability in western
  societies
• need political arm of government to be seen to be
  responsive to public concerns.

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Issues for Performance Management

• Issues that many OECD countries are contending
  with at the present time are

• variability in service delivery and performance
• the need for greater clarity of direction and
  clear expectations
• the capacity to use incentives to encourage best
  practice and sanctions for poor performance
• including stakeholders and end users and to be
  responsive to the needs of citizens
• the sharing of best practice and critical
  learnings from experience.

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Public Sector Performance Management

• Exemplified by
• improved strategic planning and budgeting
• better alignment among resources, effort and
  direction
• stronger outcomes focus
• attention to the assessment of efficiency and
  effectiveness of government services.

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Setting Up a Performance Management Framework

• Not one PM model imposed
• Undertook a survey of all agencies to determine
  issues with current reporting requirements
• Concerns were
• Extent of reporting
• Lack of alignment between reporting requirements
• Lack of feedback.

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Other issues

• Need for some performance information for
  business use only
• Performance information is often what can be
  measured not real outcomes
• Difficult to match data for whole-of-government
  outcomes
• Need to reduce the number of measures.

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Performance management framework

• Incorporates six elements
• Planning and strategy
• Resource management
• Performance measurement and monitoring
• Governance
• Evaluation and continuous improvement
• Leadership and capability.

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ELEMENT 1 PLANNING AND STRATEGY

• the process of organisational planning and
  strategic direction setting that informs
  resource allocation and managers
  decision-making
• This element considers
• the quality of strategic and business planning
• the alignment of departmental programs and
  activities to whole-of-government priorities and
  outcomes
• the capacity to analyse performance against
  objectives and adjust programs and projects
  accordingly.

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ELEMENT 2 RESOURCE MANAGEMENT

• the systems and processes of monitoring human,
  physical and financial resources in order to
  maximise results.
• This element considers
• the effectiveness of resource allocation and
  monitoring processes
• the capacity to identify the full cost of
  services and the efficiency of delivery models
  used
• the achievement of value for money in
  departmental operations
• the ability to reallocate existing resources away
  from areas of low achievement or impact to new
  and emerging priorities.

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ELEMENT 3 PERFORMANCE MEASUREMENT AND MONITORING

• the process of collecting and analysing data
  to understand and manage performance.
• This element considers
• the breadth and depth of performance measures in
  the organisation
• the quality of data in terms of accuracy,
  reliability and relevance
• the effectiveness of measures in determining
  performance
• the incorporation of measures in systematic ways
  in decision-making processes.

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ELEMENT 4 GOVERNANCE

• the systems and processes of ensuring managers
  collectively make accountable decisions and
  minimise loss of performance.
• This element considers
• the level of accountability and clarity of role
  expectations
• the transparency of decision-making and
  independent review
• the approach to managing risk
• the capacity of managers and staff to advance
  critical issues to the executive in a timely
  manner
• the level of integration of information across
  the organisation to support decision-making.

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ELEMENT 5 EVALUATION AND CONTINUOUS IMPROVEMENT

• the process that enables formal reflection and
  measurement of program activities and outcomes in
  order to improve performance.
• This element considers
• the level of evaluation evident across the agency
  
• the use of findings from evaluation for
  continuous improvement
• the ability to detect performance problems and
  implement corrective action in a timely way.

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ELEMENT 6 LEADERSHIP AND CAPABILITY

• the ability to drive change to improve service
  delivery and performance.
• This element considers
• the ability of the organisation to establish a
  culture that leads, owns and manages change
  effectively
• proactive development of policy and public
  administration options that achieve government
  priorities
• the capability of staff to ensure services are
  delivered efficiently and effectively
• the capacity of the organisation to engage key
  stakeholders to achieve outcomes.

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Assessment Categories
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Evaluation and continuous improvement

• Level 1
• The organisation has policy and procedures
  regarding evaluation and independent review.
• Major projects and programs are evaluated.
• The organisation understands and invests in
  evaluation skills.
• There are defined resources allocated to the
  evaluation function.
• Actions plans for improvement are developed to
  implement evaluation recommendations.

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Evaluation and continuous improvement

• Level 2
• Evaluation forms part of the project planning
  process.
• There is a link between budget processes and
  project/program evaluation.
• External evaluations are scoped and managed by
  the agency.
• Stakeholders are included in evaluation
  processes.
• Findings of evaluations are disseminated
  appropriately.
• Projects are assessed and monitored in relation
  to key outputs and strategic direction.
• Weaknesses of organisational performance are
  identified and addressed.

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Evaluation and continuous improvement

• Level 3
• Evaluation is used at different points in the
  project cycle.
• Information from evaluations is used for decision
  making, continuous improvement and reflective
  practice, and performance monitoring and
  management.
• There are clear objectives and targets set for
  improvement against business drivers.
• Approved recommendations from evaluations are
  monitored and progress is reported at regular
  intervals.
• The use of internal, external and independent
  reviews and evaluation are incorporated into risk
  assessment and regular monitoring.

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Evaluation and continuous improvement

• Level 4
• Evaluations findings are used for strategic
  planning and change management.
• The agency uses continuous improvement
  methodologies to achieve service delivery
  outcomes.
• Findings are used to inform the sector and
  influence national directions.
• Evaluation and reflective practice are embedded
  as part of organisational culture.

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Aim Behind Performance Management

• Are these services making a difference?
• Are they aimed at the right people?
• Can they be done better?
• Have we the right information on our performance?
  
• Are we using that information strategically to
  inform our direction at all levels of the
  organisation?

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Start Today

• Be clear about goals and relative priorities
• Link these at corporate, business unit and
  project levels
• Develop a rich understanding of causes, trends,
  opportunities, threats and possible futures
• Have a realistic understanding of the
  effectiveness of different policy tools and
  analyse the capacities of the institution or
  corporate area to deliver -Strategies that work
  well on paper but not in practice are of little
  use to anyone.

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Start Today

• Build your evidence base
• Look for the impact at the service delivery level
• Be creative - design and discover new
  possibilities
• Communicate your goals and priorities effectively
  to all those with a stake in the strategy or
  involved in its implementation.

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Operating Principles

• Work with agencies
• Involve agencies in reviews
• Strong relationships with line and central
  agencies
• Not one size fits all
• Enhancing awareness, knowledge, capability and
  maturity regarding performance management
• Better outcomes for agencies, the Queensland
  Government and the community.

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Conclusion

• Increasing accountability on government and its
  agencies to deliver
• Utilisation of resources (human, physical, and
  financial) is paramount
• Doing the right things for the right outcomes
  business alignment
• Maturing performance management
• Working together to achieve this.

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Thank you