Annual Performance Report 2012
Strategic Theme 4: Maximizing the Value of Human Capital
Create a work environment built on market-oriented compensation and support for professional and personal achievement that allows the Board to attract and retain top talent, while reinforcing collegiality.
4.1 Increase efficiency and effectiveness of the existing performance management process.
4.2 Reduce administrative burden associated with the adverse-action process while respecting employees' due process rights.
4.3 Enhance the talent management processes (succession planning, development programs, training, etc.).
4.4 Increase equitability in compensation and benefits in closer alignment with the Federal Reserve System and the market.
Over the past four years, the Board has added almost 400 positions in response to the financial crisis, as well as to implement the requirements of the Dodd-Frank Act and to provide the support and infrastructure necessary to manage the organization. The Board will continue to add staff over the next few years, as described in themes 1 and 2. Maximizing the value of the Board's human capital will depend on enhancing the Board's talent management processes.
- Enhanced the performance management program (PMP) to allow more flexibility for ratings.
- Formed a Board-wide task force (TASK) to drive the PMP restructuring effort and surveyed Board staff to obtain feedback on the existing performance management process.
- Established staff project team and engaged TASK to review the adverse action policy and associated processes.
- Began the process of developing succession plans for division directors, deputy directors, and critical officers.
- Work with TASK to further improve the PMP process and pursue automated solutions to reduce the administrative burden.
- Assess PMP survey data to set a baseline for future measures.
- Finalize and release a revised adverse action policy and associated processes.
- Finalize succession plans for division directors, deputy directors, and critical officers, and begin the succession-planning process for critical managers.
- Complete a review of the Board's compensation structure and program, make recommendations, and implement approved actions.
- Review "employee life" programs to identify enhancement opportunities.
- Participate in more in-depth external salary surveys for critical business areas, including technology, economists, and attorneys.
- Partner with division directors and/or their designees to review existing incentive award programs.
- Conduct a market pay analysis for each division.