brigadier general john j. kelly, jr., united states air force (ret.) deputy under secretary for...
TRANSCRIPT
Brigadier General John J. Kelly, Jr., United States Air Force (Ret.)Deputy Under Secretary for Oceans and Atmosphere
The NOAA Leadership Seminar08.28.2007
2NOAA Leadership: Creating One NOAA
OverviewOverview
NOAA’s Mission & Vision
Current EnvironmentHow the World views NOAATransformationBusiness ModelBudget
Leadership
ChallengesRecapitalizationLabor RelationsExecution
4NOAA Leadership: Creating One NOAA
Eye On The Mission Eye On The Mission
“Every business, if it is to succeed, must have a sense of direction and mission, so that no matter what you are doing, you know how you fit in, and that what you are doing is important.”
former IBM CEO Louis Gerstner
6NOAA Leadership: Creating One NOAA
Eye On The Vision Eye On The Vision
“Everything you do is for a reason and that reason is contained within the vision.”
Merck & Co chair, president and CEO Raymond Gilmartin
8NOAA Leadership: Creating One NOAA
Fiscal Year 2006 Audit
Findings and Recommendations (NFRs)
Fiscal Year 2006 Audit
Findings and Recommendations (NFRs)
Major Conclusions:Unqualified audit opinion last eight years.Personal Property, Construction Work In Progress, Reimbursable Agreements, and Grants recurring issues.
51
36
23
18
23
0
10
20
30
40
50
60
2002 2003 2004 2005 2006
NFR
s
9NOAA Leadership: Creating One NOAA
Fiscal Year 2006 Audit
Information Technology Security
Fiscal Year 2006 Audit
Information Technology SecurityOIG Evaluation:
Good: Security Plans and Risk AssessmentsNot so Good: Testing Disaster Recovery
FY07 ActivitiesComplete Disaster Recovery Plan testing and implement Continuous Monitoring Authorizing Official review all IT Security PlansCertification and Accreditation current for all IT systems
10NOAA Leadership: Creating One NOAA
Organizational Assessment
President’s Management AgendaThird Quarter
Organizational Assessment
President’s Management AgendaThird QuarterHUMAN CAPITAL Status Progress
In order to move to green in status, NOAA must complete its transition to the new 5-tier performance appraisal system, and raise its overall satisfaction score on the Human Resources Performance Management Survey to match or exceed the Department’s score of 68.2 percent.
COMPETITIVE SOURCING Status Progress The study of NOAA’s Marine and Aviation Operations Relief Pool (36 FTEs) has been completed, and is undergoing internal management review prior to formal submission. To achieve a green status rating, at least one feasibility study needs to move to the preplanning stage.
FINANCIAL PERFORMANCE Status Progress NOAA continues working collaboratively with the Department to implement financial performance initiatives.
E-GOVERNMENT Status Progress NOAA needs to continue emphasis on improving information technology security certification and accreditation processes and documentation.
BUDGET & PERFORMANCE Status Progress Hydrology and National Marine Fisheries underwent PART reviews. Both were rated Moderately Effective. According to DOC, NOAA was generally unable to link its PART recommendations that require funding to its FY 2009 budget request.
R&D INVESTMENT Status Progress NOAA will attain Green status when 75% of its R&D programs achieve PART ratings of Moderately Effective or higher. NOAA plans for two of its R&D programs to undergo review in 2009 (Weather & Water and Climate) and one in 2010 (Ecosystems). NOAA is working with these programs to prepare them for successful reviews.
11NOAA Leadership: Creating One NOAA
Organizational AssessmentOrganizational Assessment
Program YearScor
e Rating
Hydrology 2007 74 Moderately Effective
National Marine Fisheries Service
2007 72 Moderately Effective
Office of Marine & Aviation Operations
2006 72 Moderately Effective
Pacific Coastal Salmon Recovery Fund
2006 77 Moderately Effective
Navigation Service 2006 84 Moderately Effective
Ecosystem Research 2005 63 Adequate
Weather & Related Services
2005 76 Moderately Effective
NOAA Protected Areas 2004 68 Adequate
Climate Research 2004 78 Moderately Effective
Coastal Zone Management Act
2003 46 Results Not Demonstrated
Small Business Innovative Research (NOAA/NIST)
2003 27 Results Not Demonstrated*
National Weather Service 2002 89 Effective
FY 2006 GPRA MeasuresPART Summary
Government-Wide Cumulative Distribution of
PART scores to date:
RatingPercent (and
Number)of Programs
Effective 17% (166)
Moderately Effective 30% (299)
Adequate 28% (276)
Ineffective 3% (27)
Results Not Demonstrated 22% (209)
13%
66%
8%
Exceeded target
Below target
Met target
Slightly Belowtarget
* Government-wide, SBIR PARTs are on hold with OMB
12NOAA Leadership: Creating One NOAA
Organizational Assessment
Funding Summary
Organizational Assessment
Funding Summary($ thousands)
Total Funding $4,001.4
Estimated Spent
$2,323.1
+/- Total $1,678.3
% of Total Spent 58%NOAA is obligating at a rate of 87% versus planned, having obligated 58% of its FY2007 budget as of the end of the 3rd
quarter.
13NOAA Leadership: Creating One NOAA
Transformation to “One NOAA”
Transformation to “One NOAA”
Holding Company
Ad Hoc
Subjective Decisions
Talk
Corporation
Process
Fact-based Decisions
Execution
15NOAA Leadership: Creating One NOAA
NOAA Funding Trends(Constant Dollars in Billions)
NOAA Funding Trends(Constant Dollars in Billions)
2.1 2.2 2.3 2.4 2.3 2.3 2.2 2.3 2.5
0.80.9
0.8 0.81.0 1.0 1.1 0.9 0.8
0.1
0.1
0.2 0.1
0.1 0.1 0.10.1
0.1
0
0.5
1
1.5
2
2.5
3
3.5
4
Other
PAC
ORF
Other 0.2 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1
PAC 0.8 0.8 1.0 1.0 1.1 0.9 0.8 0.8 0.9
ORF 2.1 2.2 2.3 2.4 2.3 2.3 2.2 2.3 2.5
FY 02 FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 PB FY 08 House FY 08 Senate
Data Source: DOC Summary of enacted BA and DOC BIB Addendum for FY 08 PB
Total 3.1 3.1 3.4 3.5 3.5 3.3 3.1 3.2 3.5
17NOAA Leadership: Creating One NOAA
Leader’s 7 Essential Behaviors
Leader’s 7 Essential Behaviors
1. Know your people and your business.
2. Insist on realism.
3. Set clear goals and priorities.
4. Follow through.
5. Reward the doers.
6. Expand people’s capabilities through coaching.
7. Know yourself.
18NOAA Leadership: Creating One NOAA
Life’s ParadoxesLife’s Paradoxes
Centralized efficiencies vs. decentralized responsiveness
Being disciplined vs. being innovative
Taking risks vs. avoiding mistakes
Knowing the details vs. delegating responsibility
Fast decision process vs. correct decisions
Respect for the individual vs. criticism
19NOAA Leadership: Creating One NOAA
Performance Measures
Performance Measures
Understandable and meaningful
Organizational culture — achievement important
Performance measures at several levels
Information guide to action to improve performance
20NOAA Leadership: Creating One NOAA
Strategy … Metrics… Leaders … Actions
Strategy … Metrics… Leaders … Actions
Strategy
Mission
Goals
Stakeholders
MetricsReport
Rationalize Resources
Align Effort
Manage Accountabilities
Manage Processes
Manage Capabilities
Decide
Implement Strategy
Improve Performa
nce
21NOAA Leadership: Creating One NOAA
ExecutionExecution
Leaders are central to execution.Know yourself.Be engaged in both the “whats and hows.”Be honest about all realities.Promote ongoing honest dialogue.
Create and maintain an execution cultureTranslate visions and goals into tangible deliverables and actions.
22NOAA Leadership: Creating One NOAA
ExecutionExecution
Put the “right” people in the “right” places.
Be involved in selections.Reward the doers.Expand the capabilities through coaching.
Put processes and mechanisms in place to effectively operationalize execution.
Strategic plan – stretch goals.Strategy reviews.Operating plans.Realistic resources and budgets.
23NOAA Leadership: Creating One NOAA
NM
AO
NW
S
OA
R
NO
S
NM
FS
NESD
IS
Keys to Creating “One NOAA”
Keys to Creating “One NOAA”
Remove the Stovepipe CultureImprove understanding of how Line/Staff Offices impact/benefit each other
24NOAA Leadership: Creating One NOAA
Keys to Creating “One NOAA”
Keys to Creating “One NOAA”
Improve Communication
26NOAA Leadership: Creating One NOAA
0
50
100
150
200
250
300
350
400
450
Million
s $
Requirements (Constr & Maint) ($M) 399 263 259
Current Program - Construction ($M) 108 57 80 160 252 164 102
Current Program - Maintenance ($M) 8 7 7 7 14 14 14
FY06 Enacted
FY07 Enacted
FY08 PresBud
FY09 DoC Submit
FY10 FY11 FY 12
Recapitalization Facilities Construction and
Maintenance
Recapitalization Facilities Construction and
Maintenance$361M shortfall
800 owned and leased facilities
Current replacement value of nearly $4 billion
61 NOAA owned facilities more than 50 years old
FY 10 -14 POP Requirements
27NOAA Leadership: Creating One NOAA
0
10
20
30
40
50
60
Mill
ions
$
Requirements ($M) 56.7 55.4 55.4
Current program ($M) 4.5 4.7 0.0 0.0 0.0 0.0 0.0
FY 06 Enacted
FY 07 Enacted
FY 08 Pres Bud
FY 09 NOAA Submit
FY 10 FY 11 FY 12
$168M shortfall
Recapitalization Aircraft Replacement
Recapitalization Aircraft Replacement
No funding in current program for new aircraft
Average age in FY 11 is 30 years
Aircraft aging beyond planned service life
Aircraft becoming less reliable and increasingly difficult to maintain
FY 10 -14 POP Requirements
28NOAA Leadership: Creating One NOAA
Recapitalization Fleet Replacement
Recapitalization Fleet Replacement
Lack of replacement ships…
ages the fleet and technology
increases maintenance costs
reduces effectiveness
FY 10 -14 POP Requirements
Near Year Shortfalls havedelayed ship construction
29NOAA Leadership: Creating One NOAA
Recapitalization Polar Orbiting Environmental
Satellites (POES + NPOESS)
Recapitalization Polar Orbiting Environmental
Satellites (POES + NPOESS)
$3,181
$418 $427 $446$354 $425 $462 $457
$2,202
478
0
500
1,000
1,500
2,000
2,500
3,000
3,500
Million
s $
Current Program ($M) $3,181 $418 $427 $446 $354 $425 $462 $457 478 $2,202
FY05 and Prior
FY06 PB FY07 PB FY08 FY09 FY10 FY11 FY 12 FY 13Cost to
Complete*
* FY 09 DoC Budget Submission
$2.2B
30NOAA Leadership: Creating One NOAA
Recapitalization Geostationary Orbiting
Environmental Satellites (GOES N-P, R)
Recapitalization Geostationary Orbiting
Environmental Satellites (GOES N-P, R)
$1,899
$335 $360 $359
$550
$795$879 $852
$3,066
835
0
500
1,000
1,500
2,000
2,500
3,000
3,500
Million
s $
Current Program ($M) $1,899 $335 $360 $359 $550 $795 $879 $852 835 $3,066
FY 05 and Prior FY 06 PB FY 07 PB FY 08 FY 09 FY 10 FY 11 FY 12 FY 13Cost to
Complete*
* FY 09 DoC Budget Submission
$3.0B
31NOAA Leadership: Creating One NOAA
NOAA’s Projected Satellite ProgramNOAA’s Projected Satellite Program
0
500
1,000
1,500
2,000
2,500
3,000
FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19
Current Program NPOESS Follow-on GOES-Follow-On Other Missions Investment Opportunities
32NOAA Leadership: Creating One NOAA
Labor RelationsLabor RelationsREQUIREMENT FOR ALL NOAA MANAGERS WITH LABOR RELATIONS OBLIGATIONS:
BEFORE making any decisions regarding changes in conditions of employment or engaging in discussions with the union and employees regarding prospective changes in your organization, you must FIRST contact your servicing Workforce Management Office to obtain guidance and assistance in communicating with the union and your employees.
33NOAA Leadership: Creating One NOAA
Labor RelationsLabor Relations
Changes in Working ConditionsFour Required Steps
Mgmt. decides on the particular changeMgmt. consults with WFMO to determine whether these changes rise to the level of whether notice is required to the unionMgmt. provides notice of change to the union – with WFMO concurrence on substance of noticeIf the union responds, Mgmt. consults with WFMO on all further correspondence – including the negotiation process
34NOAA Leadership: Creating One NOAA
Labor RelationsLabor RelationsTypes of Working Conditions
Personnel policies: Example—Five Level Performance
Management System
Practices: Example—Overtime Assignments
Other Conditions: Example—Operational (Method, processes, and/or technology used by employees to complete their assigned duties.)
Example—Work Related (Work space, breaks, safety)