Personnel Management in Agencies: Strategic Human Capital Management

 The Office of Personnel Management (OPM) proposed to revise its regulation on human resources management, 5 CFR part 250. The changes are significant in number: The existing Human Capital Operating Plan is replaced by an Annual Staffing Plan, which must align with the agency's strategic plan, annual performance plan, budget, and the President's Management Agenda, and must include measurable workforce goals, strategies for closing skills gaps, succession planning, and an explicit consideration of potential efficiencies from organizational restructuring, consolidation, and technology adoption. Agencies must submit quarterly updates to OPM and OMB showing progress against the ASP. Human Capital Reviews are replaced by Annual Staffing Reviews conducted jointly by OPM and OMB. OMB had not previously been involved in this process. HRStat quarterly reviews are replaced by Quarterly Staffing Plan Performance Reviews conducted by the agency Chief Human Capitol Officer (CHCO) with the Performance Improvement Officer and Strategic Hiring Committee. Additionally, OPM proposed to reduce the number of questions in the Federal Employee Viewpoint Survey (FEVS) prescribed in 5 CFR 250.302.

At the time OPM issued this notice of proposed rulemaking, the list included 16 questions. The new list would contain only 10 questions and would reinstitute a previous question about how agencies deal with poor performers, the results of which OPM cited as part of its justification for creating Schedule Policy/Career. Under this proposed rule, agencies would be required to ensure their internal structures — delegations, organizational design, policies, and technology systems — give the CHCO sufficient visibility, oversight, and control to fulfill the statutory leadership responsibilities established by the CHCO Act of 2002. Each agency must establish and maintain a Strategic Hiring Committee including the Deputy Secretary and the CHCO.