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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: [email protected]
Turbulent Times
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Unpredictable Environment
Problems with Scarcity
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New Normal
Have a Game Plan
and Play Offense
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Read the Handwriting on the Wall
What’s About to Happen?
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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
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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
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Redesigning for the Future
Most people don’t change
because they see the light, but
because they feel the heat!
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Staff Reductions*
DepartmentFTEs Decrease
FY2007 FY2011 Amount Percent
General government
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
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Redesign Goal
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.
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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
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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
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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
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Fixing the Problem versus Stopping the
Bleeding
Redesign Principles
• Protect core services
• Plan and deliver
“important” and “value
added” services in ways
that are less dependent
on the City’s General
Fund
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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
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Outcomes vs. Functions
Navigation Strategies
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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
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#1 Create Compelling OutcomesWe 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”
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#3 Deliver Outputs per Standards
Mow, irrigate, aerate & fertilize to
achieve green, lush turf”
#4 Calculate & Acquire Inputs
Necessary to Produce Outputs
• People
• Money
• Time
• Equipment
• Supplies
• Facilities
• Partners
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New Models
Outscourcing
Steering vs. Rowing
• Park, Facility and
Landscape Maintenance
• Public – Public Contracts
• Public – Private Facility
Operations
• Public – Non Profit/CBO’s
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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?
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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?
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Get Comfortable Being Uncomfortable
Stay Focused, Stay Present
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“Take Risks with Anything
Above the Waterline”
Try it, Fix it
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Expect Casualties
True Leadership Is Sometimes Painful
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FOR GOODNESS SAKE…
Questions & Comments