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Oregon’s Key Performance Measurement (KPM) System

KPM Review Processes

Prepared for the Interim Joint Committee on Ways and Means

October 16, 2008

Presentation TopicsPerformance Management Examples

Transportation: Pavement Condition State Police: Patrol Effectiveness Service Entities: Process Efficiency and Effectiveness

Legislative KPM ProcessLegislative Follow-up – Today’s FocusLegislative Staff Analysis Potential Follow-up QuestionsIJWM Legislative Follow-up Process

Transportation: Payment Conditions

Strategy: Resurface roads while in “fair or good” condition to reduce overall long-term maintenance costs

Target: 78 percent…value that will be sustained with current funding, effective 2015.

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

% F

air

or

Be

tter

Target = 78%Current BudgetCurrent Budget (+) 30%Current Budget (-) 30%

Pavement Conditions: Percent of centerline miles rated "fair" or better condition

(Projected Trendline Analysis )

Funding: Forecasted impacts of 30% change in funding.

State Police: Patrol Effectiveness

Crime Highway SafetyCoverage

% calls where trooper wasn’t

available

Improve scheduling

% traffic stops resulting in

criminal citation or arrest

Training for better detection

# of serious crashes on OSP

monitored highways

Trooper scheduling and

location

Service Entities: Process Efficiency and Effectiveness

Client Inputs Provided

Client OutputsReceivedA Miracle Happens

Client Satisfaction

Alignment to Client Expectations

Output Consistency

Compliance with Specifications

Timeliness

Process variability/Special Causes of

Variation

Continuous Process

Improvement

Performance Information

LFO Analysis

Legislatively Approved

KPMs

Leg. Follow-

up

LegislativeFeedback

AnnualReport

IJWMReport

Agency Proposes

KPMs

Legislative Review with

Budget

ReportAccepted

Agency Integrates Feedback

LFO Analysis

LFO Feedback to Agencies

Legislative KPM Process

Yes

Yes

No

No

LFO Feedback to Agencies

Legislative Follow-up

Goal: Respond to legislative direction

Actions Include: Report on Targets Improve Specific KPMs Revamp KPMs

Legislative Follow-up

Report Targets

Improve SpecificKPMs

Revamp KPMs

Forestry Economic Development

State Police DPSST

Human Services Bureau Labor & Industries

Legislative Staff Analysis

Report Targets

Improve SpecificKPMs

Revamp KPMs

Targeting Approach Target Feasibility

Meaningful Meet’s Legislative Interests Sustainability Technical Accuracy

Budget Program Coverage Mission/Priority Alignment Value Add - Usefulness

Evaluating Targets

Targeting Approach: Performance Level Performance Goal Forecast

Feasibility: Budget/Target Alignment Historical Performance Agency Rationale

Evaluating a KPM

Meaningful

Legislative Interests

Sustainable

Technical Accuracy

What information will the KPM provide? How will this information facilitate evaluating agency performance?

Does the measure align with a legislative priority?

Are data collection and reporting processes cost effective? Are there sufficient controls in place to ensure data integrity?

Does the measure raise any technical flags? If complex, has the measure been reviewed by technical staff?

Sample Questions

Evaluating Revamped KPMs

Evaluate each KPM, plus consider:Alignment – Do the KPMs inform on key

outcomes that align with agency mission and priorities?

Budget Program Coverage – Is there a good balance between budget dollars and KPMs?

Value Add – Does collecting the data provide information worth the investment?

Potential Feedback Questions

Report Targets

Improve SpecificKPMs

Revamp KPMs

How was target established? How will budget fluctuations impact performance? What factors might impede targeted performance?

Why is the proposed KPM the best one? What other measures were considered? What resources are needed to support the KPM? How will this KPM support agency management? What will you do to insure data integrity? Are there any data limitations?

Explain how the KPMs supports evaluation of progress toward agency priorities or mission? Explain the impacts of budget changes on KPMs? What key business activities don’t have KPMs?

Sample Questions

Refinements to the Legislative Follow-up Process

Process Questions: How might legislative feedback move the KPMs toward performance

management and continuous improvement? What principles should direct committee action if legislative interest

appear to run counter to supporting progress toward PM and CI?

Proposed Process: After a group of presentations, pause to assess what worked and

what might be done to improve the process (now or in the future). At the end of the presentations, pause to reflect on what was

learned and determine what improvements might be integrated into future reviews.

For November

2009 Legislative KPM ProcessReview proposed process and materials Review KPMsDefine improvements

Agency ExpectationsReview proposed expectationsIdentify improvements

Questions