your commissary it’s worth the trip! linking s worth the trip! linking manpower to budget ......

DEFENSE COMMISSARY AGENCY

Your Commissary … It’s Worth the Trip!

Linking Manpower to Budget‐ Resource Optimization

ASMC PDI – March 15‐16, 2016

Clifford Curry, Management AnalystOverseas Resource Management

Juergen Jensen, Budget AnalystOverseas Resource Management



Defense Commissary Agency

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Understanding of the:

– Relationship between Manpower and Budget in Resource Optimization.

– Complexities involved in “Resource Optimization” in a OCONUS environment.

– How optimization concepts and processes may be applied in current or future situations.

“Takeaways”




Guiding Principles

USC Title 10, Sec 129a & DoDD 1100.4/DODI 1100.22

Civilian personnel shall be managed each fiscal year on the basis of- the workload required to carry out the functions and activities of the department and

- the funds made available to the department for such fiscal year.

- full‐time equivalent estimates must represent an effective and efficient use of resources to meet program requirements.

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Background

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Prior to FY12, DeCA was “Budget‐Based”– Execution of manpower requirements limited to availability of funds.

FY11 DeCA embarked on an initiative called CLASS (Common Level of Service & Support).

FY12, DeCA became “Base‐Lined”– Execution of manpower requirements limited to FY11 FTE execution.




Resource Optimization

Effectively operate within constraints

Proactive approach to changes

Minimize action to impact time

Efficient utilization of resources

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Objectives




Impacting Factors

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Organization Size

Staffing Structure

Local Labor Market

Employee Turnover

Hiring Lag

Execution

Reporting Systems

Foreign Currency Fluctuations




Full-Time Equivalent

Manpower Requirements: 5 USC 5504

– 2,087 hours will be used to determine Full‐Time Equivalent employment

– Not to be confused with Full‐Time Position

– FTE Execution

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Full-Time Equivalent

Manpower Execution: DoD 7000.14‐R (FMR)– …Total number of regular straight‐time hours (not including overtime or holiday hours) worked by employees divided by the number of compensable hours applicable to each fiscal year.

– Annual leave, sick leave and compensatory time off and other approved leave categories are considered to be “hours worked” for purposes of defining Full‐Time Equivalent employment.

– FTE = 2,080, 2088, or 2,096 hours per FY.

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Manpower Requirements

Man‐hour Availability Factor (MAF):– The number of hours an employee is reasonably expected to be available to work.

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Manpower Availability Factor

2,087 Congressionally Mandated Work Hours‐ 10 holidays per year (80‐hrs) = 2,007 hours2,007/12 = 167.25 Hours/MonthSubtract average monthly hours for:

LeaveMedicalTrainingOther paid absences (‐ 19.25 Hrs/Month)

= 148‐hours/month… 148 x 12= 1,776 (DeCA CONUS)

10MAF varies between agencies




Manpower Requirement

Example:1 Cashier: 8‐hours per day x 5 days per week x 52 weeks/year

8 x 5 x 52 = 2,080‐hrs per year2,080 ÷ 1,776 (MAF) = 1.2 Required FTE

For 1 full‐time position, we have to execute 1.2 FTE (+20%)

OCONUS, this can be as high at 1.4 FTE (+40%)

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MAF - OCONUS

Most Local National work‐years are less than US

Paid Absences (holidays, leave, medical, other paid absences) are generally more generous than US

Average US & LN employee availability data results in lower MAF than CONUS

DeCA Overseas uses 13 MAFs

Lower the MAF the higher FTE execution to meet requirements

12MAF varies between countries




Budget-Based Program

Ability to execute is limited to availability of funds

Unexecuted funds can be reallocated without adversely impacting current FTE execution

Maximize FTE execution

Supports operational requirements

Every dollar counts

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Budget-Based (OCONUS)

Manpower determines FTE requirements

Budget determines optimal Average Work‐Year Cost (AWC)*‐ Total payroll (minus OT and non‐standard pay/hours such as Summer Hires) divided by the FTE executed

Budget sets separate US/LN FTE targets

Actual payroll and actual FTE execution determines availability of funds (FTE)

Unexecuted funds (FTE) can be reallocated

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Base-Line Program

More restrictive than Budget‐Based program

Funding no longer driving factor

Ability to execute is limited to fixed number of FTE

Every hour counts… easy to over execute

Ability to fill vacancies or increase hours may be restricted

Could adversely impact mission

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Base-Line (OCONUS)

Manpower determines FTE requirements

Budget establishes funding ceiling

Manpower sets FTE targets

Actual hours executed determines available FTE

Redistribution of unexecuted hours more restricted

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Optimization

Regardless of program, the key to optimization is having accurate information in a timely manner

Real‐time assessment of:– Execution versus requirements– FT/PT positions– US/LN positions– Current on‐board staffing– Projected gains & losses– Hiring Lag– Funding availability – Local labor market impact (staffing)

17Optimization involves all stakeholders




Optimization Initiatives

UMDs & Execution Inputs maintained on SharePoint

Stores responsible for updating UMDs and providing execution data

SharePoint linked to Manpower and Budget analytical tools and micro‐applications

Consolidated execution and budget data from various financial systems

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Benefits

Management, Manpower, Budget, etc. can see current status of our organizations‐ Current Staffing Level (PT/FT, FTE, Body‐Count, etc); Actual Work Schedules vs Authorizations; Vacancies; Recruitment Actions; Projected Losses; LWOP; Bi‐weekly & Monthly executed hours; etc.)

Impact of changes are immediately recognized

Reduces reaction time

Adjust execution factors as needed

Allows “what‐if” scenarios19




DATA Sources and Formats

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Foreign National Direct Hire Portugal Italy Turkey United Kingdom Korea

Foreign National Direct Hire Portugal Italy Turkey United Kingdom Korea

Foreign National Indirect Hire Netherlands United Kingdom Belgium Spain Germany Korea Japan

Foreign National Indirect Hire Netherlands United Kingdom Belgium Spain Germany Korea Japan

Micro Application Authorizations Execution

Micro Application Authorizations Execution

Formats Flatfiles (DFAS) Excel Scanned Vouchers Mailed Vouchers

Formats Flatfiles (DFAS) Excel Scanned Vouchers Mailed Vouchers

US Payroll

Unit Manning DocumentsUnit Manning Documents

Store Input via SharePointStore Input via SharePoint




Geographically separated users/data providers

Overview

End users




Create an Input File

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Create an Excel file in a columnar format for the user to input the required data

Create a separate file for each user/location




Place Input Files on SharePoint

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Upload the excel files to a SharePoint location accessible to all users.




Create Connections to Input Files

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On a new spreadsheet, select “Existing Connections” from the Data tab

Then select “Browse for More”




Create Connections (cont’d)

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Input your SharePoint folder’s URL and your files will be available for selection

Select the file and then the sheet you want to connect to




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Select cell A1 to place data

The spreadsheet is now connected to your spreadsheet on SharePoint

Data can be updated using the REFRESH button





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Repeat the above steps for each spreadsheet you want to connect to

Add each successive connection directly under its predecessor

Data can now be used for pivot tables and other reporting formats





PDF linked to SharePoint

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Create a PDF document that is linked to the various spreadsheets

Include instructions for inputting data

Email to the users




Summary

Optimization processes can be applied to a Budget‐Based or Base‐Line program

Requires close collaboration between Manpower, Budget, stakeholders (HR, Managers, etc.)

Though complex to set‐up, once established process is self sustaining

Reduces workload, reaction time and increases efficiencies

Optimizes manpower resource planning and execution

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DEFENSE COMMISSARY AGENCY


QUESTIONS?ASMC PDI – March 15‐16, 2016

Clifford Curry, Management AnalystOverseas Resource Management

Juergen Jensen, Budget AnalystOverseas Resource Management