From

“Reducing Stakeholder Resistance”

To

“Creating Stakeholder Acceptance”

Date: November 16, 2005

Strategy:

How do you ensure a competitive process that fosters a focus on Agency objectives that encompass

stakeholder interest?

Stakeholders Their InterestsAgency Leadership Result, performance, and cost

Line Managers Loss of control, loss of jobs, and better performance

Customers Enhanced capability and responsiveness

Suppliers Inclusiveness

Congress Loss of jobs, performance, and cost; timely reporting

OMB Efficacies and cost savings

Bidding Entities Winning

Union Fair & equitable process (winning), and zero job loss; ensuring their agency is competitive; facilitating and ensuring employees are receiving necessary skills to obtain jobs in the future

IG & Legal Counsel Ensuring compliance with all the rules and regulations

GAO Ensuring compliance with all the rules and regulations; and performance and cost reduction

Identify the Stakeholders and their Interests

Actions that can be taken to meet stakeholder interests

Create a performance based contract-like environment for all lines of business

Establish a goal of zero involuntary separation Proactively communicate, educate, and engage stakeholders Ensure fairness in competition Use options in addition to competitive sourcing

Create a performance based contract-like environment for all lines of business

Develop performance goal, standards and measures for each line of business

develop total cost of operation Calculate the broader cost to the organization

vs limiting the cost of the competition through the competition itself

Ex: Change Management Costs

Establish a goal of zero involuntary separation

“A zero job loss goal is not a commitment.” Voluntary separation incentives –

early retirement separation incentive payments

Alternative Placements Internal: Current Agency and Other government

agencies External: private sector, etc…

Strategic Human Capital Planning Skills, Attrition, and Training Management

Create a Human Capital Investment Funds to address skill gaps

Perception of fairness of the competitive sourcing

Proactively communicate, educate, and engage stakeholders

– Communicate using marketing tools and approaches to dispel myths.

– Educate beyond the affected organization to keep stakeholders engaged

– Ensure executive leadership personally engages with employees and managers

• Forums, town-halls, etc…

Ensure fairness in competition

Ensure transparency in the process Bring stakeholders in early FOLLOW THE RULES!

If necessary, be advocates for changes to the rules to ensure fairness

Use options in addition to competitive sourcing

Foster competition within the government Franchise Funds Working capital funds Line of business effort

Leveraging the lost bidder’s best practices Competition against the performance target vs

competition against the outside