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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/14/2018 - 2019-20 BUDGET STRATEGIC ISSUESDATE: STAFF: August 14, 2018 Darin Atteberry, City Manager Mike Beckstead, Chief Financial Officer Lawrence Pollack, Budget Director WORK SESSION ITEM City Council SUBJECT FOR DISCUSSION 2019-20 Budget Strategic Issues. EXECUTIVE SUMMARY The purpose of this item is to review the City’s performance metrics journey and the evolution of Strategy Maps, which help the organization track, monitor and discuss organizational performance of the Strategic Plan throughout the year. The discussion will also include a review of how performance metrics are linked to budget Offers and reviewed as part of the Budgeting for Outcomes process. Lastly, two specific areas of metrics on the Community Dashboard will be discussed. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED 1. What questions does City Council have about the City’s Results Journey, use of Strategy Maps and alignment of metrics to budget Offers? 2. What questions does City Council have about the Community Dashboard or the specific area of metrics discussed? BACKGROUND / DISCUSSION The City of Fort Collins has been on a Results Journey for many budget cycles that includes a systematic approach to performance measurement. The City’s Community Dashboard was released in 2013 and is updated every other year to improve the metrics it includes. Performance metrics also provide important information about the Offers being considered in the budget and, as such, are reviewed and discussed with staff. Lastly, the August 2016 Results Review with City Council referenced a new type of quarterly metrics review called “Strategy Maps” which would start occurring in 2017. The City’s journey continued in 2017 with the monthly Strategy Map meetings being implemented in April 2017. These performance reviews have proven to be a valuable use of management time. Discussions focus on the performance of every Offer funded in the budget and the performance of the metrics linked to each objective in the City’s Strategic Plan. Underperforming metrics and initiatives require action items that convey how the owner of the item plans to get it back on track. This tool and process has enabled management to keep their collective eyes on the City’s Strategic Plan and understand how organizational performance is contributing to achieving that plan. There are different levels of metrics used throughout the organization including more tactical metrics used to track day-to-day operations. All Offers being considered for inclusion in the budget require at least one performance metric; although some metrics may need to be defined and implemented for some types of Enhancement Offers. These metrics are visible to staff, Council and community members through the online posting of all Offers on fcgov.com/budget The last part of this item will focus on two specific areas of metrics included on the Community Dashboard. This part of the discussion will include understanding of the metrics, staff actions to improve results and any applicable implications on the 2019-20 Budget. August 14, 2018 Page 2 ATTACHMENTS 1. PowerPoint (PDF) 1 Strategy Maps / Results August 14, 2018 ATTACHMENT 1 2 • Strategy Maps – Operational & Performance Management • Use of metrics in the Budgeting for Outcomes (BFO) process • Community Dashboard – Highlighted Metrics Agenda Leadership System 3 Strategic and Operational Linkage 4 Community Dashboard Metrics for each BFO Offers BFO Scorecards for QSARS Refine Metrics Strategy MAPs 5 2013 2014 2015 2016 2017 Strategy Maps 1. Align BFO Offers to Strategic Objective 2. Establish Metrics for each Strategic Objective 3. Quarterly Discussion of each Outcome Progress and Continuous Improvement Performance Metric Journey Strategic Objectives BFO Metrics Initiatives Strategy MAPs Strategic Objectives, Actions, and Performance/Metrics n 6 7 Strategy MAPs – Tool to Measure Progress Achieving Our Strategic Objectives 3 Types of Metrics Strategy MAP Metrics - 190+ metrics across 54 Strategic Objectives - Indicate progress achieving each Strategic Objective - Discussed in Monthly Operational Reviews Community Dashboard Metrics - 38 metrics across 7 Outcomes - Indicates how we are doing at achieving our Outcomes - Discussed in QSARs Other Operational Metrics - Day to day, operational measures that are important to each Department - Linked to BFO Offers • Organized by Outcome & Strategic Objective • Includes BFO Initiatives & Metrics aligned with each Strategic Objective • Summarized progress and status of each BFO Initiative & Metric • Each Outcome discussed once per quarter at monthly operating reviews (MOR) • MOR reviews include Department Heads 8 What is a Strategy MAP? Sample Strategy MAP 9 Sample Strategy MAP: Strategic Objective 10 11 Sample Strategy MAP: Strategic Objective Metrics 12 Sample Strategy MAP: BFO Initiatives Strategy Map Benefits 13 • Tool to measure progress achieving Strategic Objectives • Reviews create focus to accomplish initiative during the year • Meaningful conversations across departments • Thoughtful decisions and resources applied if yellow / red • 2018 was the lowest total Reappropriations since 2010; a 38% decrease compared to 2017 Metrics Included in the BFO Process 14 • All Offers must contain at least one performance metric  Some new Enhancement Offers may require new metric development if the Offer is purchased  Online Offers can ‘drill-down’ to specific metric details  2020 Process Improvement: Sellers will need include why the metric is linked to the Offer and what is being done to improve results when underperforming • Metric reviews included in Offer analysis by BFO Teams and BLT  The online metrics facilitate team discussions and allow for more informed conversations with the Offer Owners (aka Sellers) Metrics Included in the BFO Process 15 • All online Offer Narratives contain a section called “Performance Metrics” • Clicking on the blue link in the PDF document will open the metric to display the chart and applicable analysis (see next slide) Metrics Included in the BFO Process 16 Community Dashboard 17 • Updated 6 weeks after quarter end • Each Outcome contains 4 to 7 individual metrics • These 38 metrics are discussed quarterly Service Area reviews and in Strategy Maps, as applicable 18 Focal Area #1 – Travel Times 19 Focal Area #2 – Police Response Times