Discussion with FBI

1
AASHTO Standing Committee on Quality
Putting Performance Management to Work at
VDOTLarry JonesVirginia Department of
Transportation May 24, 2007
2
2002 - VDOT Environment

• Public Perception of VDOT in 2002
• Confused lines of responsibility and
  accountability
• Needed a room full of people to assess project
  status
• Prevailing refrains
• It costs what it costs
• Itll be finished when its finished
• Public perception was of poor management
• and promises not kept
• VDOT is in shambles with little credibility left
  
• either inside or outside the agency.
• (Washington Post April 10, 2002)

3
How Virginia Did It

• VDOT Commissioner set one clear goal
• Flawless Delivery of the Six Year
• Improvement Program
• Measure of success Projects completed
  On-Time/On-Budget
• Established Accountability
• Organizational changes were implemented to
  increase VDOT effectiveness through increased
  responsibility, decision-making authority, and
  accountability
• Rarely were people the problem Difficulties
  stemmed from the dysfunctional management system
  they worked under.
• VDOT Commissioner, September 2004

4
Key Ingredients for Success

• People
• Executive team support
• Right people in the right jobs
• Accountability at all levels
• Clear lines of responsibility
• Processes
• Open, direct communications-monthly and quarterly
  meetings
• Set performance measurements, goals and targets
• Focus on a few key measures (vs. 276 measures in
  1986)
• Internal and External audits of data, collection
  and processing of data
• Technology
• Develop better tools and management information
  systems
• Establish reporting vehicles to keep focused and
  report results to the public

5
Six Steps Toward Performance Management

• Step 1 Developed Dashboard and Quarterly Report
  Card that provided on-time, on-budget
  performance to key managers and the public
• Step 2 Held Statewide monthly video conferences
  with project managers, discuss performance
• Step 3 Set Targets and achieve results (targets
  incorporated in performance plans)
• Step 4 Gradually expanded focus to other areas
  with Internal Dashboard
• Step 5 Established Quarterly Performance
  Meetings to discuss performance in detail (on
  site)
• Step 6 Established one year operational or
  tactical Plan (VDOT Business Plan)

6
Dashboard and Quarterly Report Card
What gets measured gets managed.
7
Dashboard ArchitectureProjects Example
Level 0 shows current On-Time status of
Construction and Maintenance Contracts
Drilling down to Level 1 allows the viewer to
find information on on-time and on-budget
performance by Fiscal Year, District, and Funding
Source (CN or MN)
Going further down to Level 2 allows the viewer
to see contract-level performance and information
8
Internal Dashboard
9
Reforms in ActionOn time, On Budget
Each Bubble Represents a Completed Project
FY 04
FY 02
FY 03
FY 02
FY 05
FY 06
FY 07
FY 03
FY 04
FY 02
FY 07
FY 05
FY 07 (Q1-3)
FY 06
10
Performance Results
Construction Quality based on CQIP Score
... quality timeliness goals can be achieved in
unison
11
Lessons Learned

• Create your vision from the top and develop
  measures that align with the vision from the top
  down/bottom up
• Use benchmarks where available
• Dont measure unless you can satisfy your data
  capture needs
• Address data integrity issues, then convert data
  into information
• Data does not exist until it is entered into the
  operational systems
• No manual intervention in the Dashboard itself
  data must be corrected in the operational systems

12
Challenges of Maintaining PM System

• Field staff need to analyze their own data and
  generate solutions
• Performance measures need to be linked to
  incorporated in all evaluations
• There is need for continuous process improvement
  in order to improve performance
• Maintaining the Dashboard means maintaining and
  managing the data
• Occasionally the business rules need tweaking
• Upgrades are necessary from time to time

13
Words of Advice

• KISS (Keep it Simple)
• Focus on a small number of measures that have
  greatest impact on Agency performance
• Transparency
• Report these publicly, while tracking reporting
  other measures internally
• External Dashboard ? http//dashboard.virg
  iniadot.org/
• Internal Dashboard Prototype ? http//idb
  
• Utilize new tools and realize that reports are
  only as good as the data entered
• Demonstrate good stewardship of the taxpayers
  funds, in a very public way
• Focus, Focus, Focus

14
Improved Public Perception of VDOT

• With a smaller but abler workforce and with
  solid managers, the agency that used to promise
  projects it could not afford has improved its
  score VDOT is up to the job.
• (Washington Post June 5, 2005)
• continues to improve the performance of an
  agency that long has resisted attempts at
  reform
• (Richmond Times Dispatch July 18, 2004)
• Many drivers, frustrated by mounting traffic
  and construction delays never got the message
  that VDOT has become a more trustworthy
  organization. But it has.
• (Virginian Pilot June 3, 2005)

15
Results

• As a result of significantly improved
  performance, this year the General Assembly
  dedicated an additional 500 million annually
  through FY2013.