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HR Line of Business Provider Assessment

 

Overview

The HR Line of Business (HR LOB) Program Office collaborated with HR LOB service providers and customer agencies to develop the Provider Assessment. The Provider Assessment is a business practice-based assessment that appraises HR LOB service providers on their ability to deliver services to their customers. These practices and their underlying questions fall into five categories:

  1. Strategy and Architecture
  2. HRIT Modernization
  3. Compliance
  4. Customer Relationship Management
  5. Performance Management

The Provider Assessment also includes a customer satisfaction component to measure customer perceptions of provider business practices and delivery of services.

As Managing Partner of the HR LOB, OPM has the authority to assess the HR shared service centers and payroll providers. By conducting the Provider Assessment, the HR LOB continues to ensure the accountability and transparency of the providers, which also aligns with the Office of Management and Budget (OMB)'s focus on efficiency across the Federal government, increased adoption and migration to shared services, and modernization of IT solutions.

Participating Providers:

  • Department of Defense, Defense Civilian Personnel Advisory Service (DCPAS)
  • Department of Defense, Defense Finance and Accounting Service (DFAS)
  • Department of Agriculture, National Finance Center (NFC)
  • Department of Health & Human Services (HHS), Program Support Center – Capital HR
  • Department of the Interior, Interior Business Center (IBC)
  • Department of the Treasury
  • General Services Administration

If you have any further questions, please refer to our Frequently Asked Questions or contact the HR LOB at hrlob@opm.gov.

Background

In August 2005, the OPM Director and each shared service center (SSC) signed a Memorandum of Understanding (MOU) with OPM to establish the agreement between OPM and the SSC Agency for the continuation of HR service delivery by the SSC Agency to other Federal agencies. According to the MOU, OPM responsibilities include:

  • Conduct reviews of HR SSC service delivery against established measures and metrics
  • Provide information to customer agencies to assist in evaluating service offerings to SSCs

Provider Assessment Cycle One

During Fiscal Year 2009 the HR LOB collaborated with both customer agencies and the HR LOB service providers (SSCs and Payroll Providers) to develop the Provider Assessment Program. The Assessment process design was approved by the MAESC in November 2009, and is based on business practices that were considered important by customers of HR LOB service providers.

The assessment was endorsed by the Office of Management and Budget when, in their Fiscal Year 2011 budget pass-back language, they included language instructing OPM to conduct assessments of HR Line of Business service providers. It also required of all service providers to prepare for OPM-administered, regular assessments.

The initial Provider Assessment that occurred between February 2010 and September 2011 was the first cross-government assessment of HR shared service centers and payroll providers. The successful assessment resulted in the following:

  • Increased understanding of the operations and service delivery of Federal HR shared service centers and payroll providers.
  • Increased engagement and collaboration among stakeholders, including providers, customer agencies, and the HR LOB.
  • Tangible changes, including new customer user groups, organizational alignment changes, and internal provider action teams to address HR LOB recommendations.

Provider Assessment Program Improvement

Following the initial cycle of assessments, the HR LOB conducted an evaluation of the Provider Assessment Program and collaborated with multiple stakeholder groups to improve the program. In addition, the HR LOB received OMB mandates included in the Federal IT Shared Services Strategy and TechStat recommendations to add customer satisfaction measures to the Provider Assessment and streamline the data collection and reporting process. These changes are reflected in the revised 2013 Provider Assessment Methodology.

If you have any further questions, please refer to our Frequently Asked Questions or contact the HR LOB at hrlob@opm.gov.

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Cycle One Reports

The HR LOB conducted the first cycle of the Provider Assessments for the Federal HR shared service centers and payroll providers from February 2010 to September 2011. At the conclusion of each assessment, the provider was issued a report with the results of the assessment. The Cycle One Provider Assessment reports are available for download via the links below.

The Provider Assessment is a business practice-based assessment that appraises HR LOB service providers on their ability to deliver services to their customers. The HR LOB Program Office collaborated with HR LOB service providers and customer agencies to develop the Provider Assessment.

ProviderAssessment Period
Department of the Treasury Bureau of the Public Debt – Administrative Resource Center (BPD – ARC) February 2010 - July 2010
Department of the Treasury HR Connect February 2010 - July 2010
Department of Health and Human Services (HHS) Program Support Center – Capital HR June 2010 - December 2010
Department of Agriculture National Finance Center (NFC) June 2010 - December 2010
Department of Defense Defense Finance and Accounting Service (DFAS) January 2011 - June 2011
Department of Defense Defense Civilian Personnel Advisory Service (DCPAS)* January 2011 - June 2011
General Services Administration April 2011 - September 2011
Department of the Interior
Interior Business Center (IBC)
May 2011 - September 2011

* At the time of this assessment, DCPAS was called the Civilian Personnel Management Service (CPMS) and IBC was called the National Business Center (NBC) and they are refereed to as such in the report.

Additional information about the Provider Assessment is available from the Frequently Asked Questions, or you may contact the HR LOB at hrlob@opm.gov

FAQs

  • The Provider Assessment is specific to the HR LOB HR shared service centers and payroll providers and focuses on their business practices and service delivery to their agency customers. Other organizations within OPM may conduct compliance or regulatory oversight of Agencies and Federal HR shared service centers and payroll providers. These reviews are considered outside of the scope of the HR LOB Provider Assessment and will not impact the results of the HR LOB Provider Assessment.
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  • The HR LOB developed a four-phase process to gather data and assess the providers.  The four phases are as follows:
    1. Planning: During the Planning Phase the HR LOB will prepare for and launch the Provider Assessment.  Specifically, the HR LOB will:
      • Prepare the assessment questionnaires for the providers and customer respondents.
      • Prepare the provider and customer points of contact by explaining their roles and responsibilities in each phase of the assessment.
      • Launch the assessment by holding the Kickoff Session with providers and distributing the assessment questionnaires to customers and providers.
    2. Discovery and Analysis: During the Discovery and Analysis Phase, the HR LOB will collect and analyze the assessment data.  Specifically, the HR LOB will:
      • Receive the data from the assessment questionnaires.
      • Analyze and integrate the data from the assessment questionnaires and other HR LOB data sources.
    3. Reporting: During the Reporting Phase, the HR LOB will compile the draft assessment report and finalize the assessment report.  Specifically, the HR LOB will:
      • Write findings from the analyzed assessment data to develop the draft assessment report.
      • Share and discuss the draft report with the provider and receive the “Provider Comment” as a formal response to the assessment results and recommendations.
      • Incorporate “Provider Comment,” finalize, and distribute assessment report to provider, customers, and MAESC.
    4. Program Improvement: During the Program Improvement Phase, the HR LOB will capture lessons learned and publish assessment program changes after the assessment is completed.  Specifically, the HR LOB will: 
      • Solicit lessons learned from stakeholders.
      • Formulate the lessons learned into program improvement recommendations and present the recommendations to stakeholders.
      • Finalize program improvements and revise assessment tools and templates.
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  • To ensure governmentwide involvement and collaboration, OPM established a 24 agency task force, known as the Multi-Agency Executive Strategy Committee (MAESC), which it co-chairs with OMB.  The 24 MAESC agencies are contributing partners to the HR LOB program, and approve major HR LOB workstreams in order to accomplish its tasks.  The HR LOB also established the Shared Service Center Advisory Council to provide a forum for collaboration among the SSC organizations.
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  • OPM HR LOB, through its governance structure, has been designated the authority to design, implement, and conduct assessments of HR LOB Shared Service Centers and Payroll Providers (providers). Additionally, Attachment A to the MAESC Charter, HR LOB MAESC Governance Structure Roles and Responsibilities, established in writing to help the MAESC fulfill its responsibilities to:
    1. Review operations of the SSCs to ensure the delivery of state-of-the-art HR solutions and services
    2. Ensure that HR LOB information systems and processes are based on and comply with all appropriate OPM HR legal, regulatory, and policy requirements
    3. Assess the functionality, interoperability, and integration of potential HR management system solution sets
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  • The assessments are performed by the OPM HR LOB team.
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  • In 2004, the Office of Management and Budget (OMB) selected the Office of Personnel Management (OPM) as the managing partner to the HR LOB. The Human Resources Line of Business program managed by OPM provides support in the areas of strategy, policy, planning, and oversight to support the strategic management of human capital and to address duplicative HR systems and processes across the Federal Government. The Human Resources Line of Business (HR LOB) seeks to improve customer service, achieve cost savings, and to increase operational efficiencies by implementing governmentwide, modern, cost effective, standardized, and interoperable HR solutions that provide core functionality to support the strategic management of human capital and to address duplicative HR systems and processes across the Federal Government.
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  • Providers are assessed every other year with the full process as described in Question 7 using both the Provider Questionnaire and Customer Questionnaire. However, every year, customer satisfaction will be measured using the Customer Questionnaire.
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  • The providers' customers complete a Customer Questionnaire which consists of assessment questions developed in part by the Provider Assessment customer work groups. The Customer Questionnaire assessment questions and customer satisfaction questions assess how well Federal HR SSCs and payroll providers operate and provide services to their customers.  The Customer Questionnaire also assesses the extent to which Federal customers are satisfied with HR and payroll services and business practices.
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  • Yes, each HR LOB shared service center and payroll provider is required to participate in the HR LOB Provider Assessment.
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  • The HR LOB collects data from the providers using a Provider Questionnaire. The HR shared service centers and payroll providers respond to the Provider Questionnaire with written responses and evidence artifact submission. Providers are also involved through submitting an optional formal “Provider Response” to be included in the final assessment report.
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  • All approved HR shared service centers and the four payroll providers, as follows:
    • Department of Defense, Defense Civilian Personnel Advisory Service (DCPAS)
    • Department of Defense, Defense Finance and Accounting Service (DFAS)
    • Department of Agriculture, National Finance Center (NFC)
    • Department of Health & Human Services (HHS), Program Support Center – Capital HR
    • Department of the Interior, Interior Business Center (IBC)
    • Department of the Treasury  
    • General Services Administration
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  • In FY 2009, a Provider Assessment customer work group determined what questions would be used to assess providers. This work group was comprised of customers nominated by the HR LOB governance bodies, the Multi-Agency Executive Strategy Committee (MAESC) and the then-Customer Council. In FY 2012, a new customer work group was formed to assist the HR LOB in evaluating and updating the Provider Assessment methodology as a part of the Provider Assessment Program Improvement Phase.  
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  • As part of its FY2011 Passback, OMB instructed all HR LOB providers to be regularly assessed as part of OPM's Provider Assessment process in accordance with an assessment schedule published by OPM.
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