Startup Plan for US Government Reform
By Lawrence Rosier December 26, 2016
The Startup Plan focuses on the implementation of key elements that are required to happen for the successful implementation of Reforms starting with the first 100 days of the Trump Administration.
The objective is to insure that the supporting organization is quickly put in place for the implementation of reforms.
I recommend that the following key items be placed in a single "Government Reform Activation Bill" that provides the needed support and authority that allows the necessary reforms to be implemented. This bill should be ready for a Congressional vote asap after the inauguration of Donald Trump as President.
1. Congressional approval for the creation of a US Office of Inspector General (USOIG) organization. It will report to the Office of Management and Budget (OMB) headed by the new position of US Inspector General appointed by the Trump Administration. Each Departmental OIG organization (about 17) will report directly to the US Inspector General who will lead the implantation of Federal Government Reforms. This will solve the problem that Departmental OIGs are not independent organizations and are controlled by department heads.
The new OIG organization will also have an independent unit which will bring their management expertise to those 68 or so OIGs not included, through the Council of the Inspectors General on Integrity and Efficiency (CIGIE).
2. A Principal Consultant, with the proper experience, is to be hired as a permanent government employee to train each OIG organization (approx 17). He will provide the necessary OIG Analysts’ training in Enterprise Lean, Right-sizing and building Bottoms-up Budgets. This expertise can be supplemented by bringing in Enterprise Lean Training Consultants for training OIG Analysts as Facilitators to implement Enterprise Lean. OIG Analysts will be the boots on the ground implementing reforms. These are followed by the change from a bureaucratic organization to a Team Managed organization as the key to implementing the General Reform Model leading to permanent reforms.
Another approach is to use the VA as a pilot implementation followed by the full implementation of reforms.
3. Training of OIG Analysts should begin immediately for Enterprise Lean and right-sizing. This will allow across the board implementation of reforms to begin in the Washington DC area other locations will follow.
4. OIG Departmental Leaders will follow Department Simplification recommendations from the Trump Administration while making surveys of the department for duplication of activities. The Consolidation model may be implemented to support the simplification effort. The approach is to Implement Enterprise Lean followed with Right-sizing. This is where you get rid unnecessary government activities and Red Tape.
5. Congressional approval: the USOIG Shall also have reporting to it a specialized Integrated Technology Team to review government IT implementation plans and prevent the $ millions of waste in Government Computer systems. Currently the US government has no oversight organization capable of preventing the enormous boondoggles found in the development of IT systems. See Article 26. The Biggest Boondoggle Ever in State IT (Virginia's VITA).
6. Congressional approval: the implementation of a Change in The funding of Federal Government Activities. The funding of Bills passed by Congress in addition to present reviews will be deemed as First Year Start-up Funding. This is to be followed by a review by the proper OIG Analysis Team which will determine the Operational Funding for year to year budgets. This insures that all funding by the Federal Government is brought under management control.
7. The suspension of certain Government Employee Union guarantees including seniority rights and work assignment rights. No union activity will be allowed to interfere with the implementation of the Federal Government Reforms.
8. The suspension of certain government Departmental Vendor Codes allows the Government Reform team the right to bring in outside Consultants over Departmental objections.
9. The Reforms will establish staffing levels required to do the work of the US Government. The identification of over-staffing will require that redundant personnel be removed from the work environment with pay continuing for one month to allow redundant personnel time to find a new job in areas where under-staffing has been identified. After this one month period options such as early retirement are available for those who qualify. Those without options will be promptly removed from the government's payroll.
10. Application of the "Effectiveness Test". All that is
required is for the OIG to have evidence that the suspect agency is not
meeting its effectiveness obligations for the OIG to go into a proactive
mode to investigate further, not requiring a bill before congress to
authorize the investigation. The intent is to authorize the OIG to
investigate and fix the thousands of ineffective activities found in the
Federal government without waiting for the high profile requirement for
Congress to enact into law the OIG’s activities.
Effectiveness and Efficiency are not the same thing but must be considered together. You can be very efficient at doing things but if it does not finish the job it is not effective and may be a waist of time and budget. Before Trying to make a job efficient the Effectiveness Test should be applied.
See Article 49. The Effectiveness Test, a Tool for reforming Government
Monday, December 26, 2016
Saturday, December 24, 2016
Article 87. Possible Savings to the American Tax Payer During Trump Presidency
Newt Gingrich floated a possible savings from the elimination of Federal Government waste totaling $500 Billion. I believe that this is within the realm of possibility but there is also just as much savings from implementation of Federal Government reforms: bringing the Federal Government under management control, simplifying the Tax Code and other areas and the elimination of government obsolete and duplicated activities. I believe that a conservative estimate of $ 1 Trillion in savings during the Trump Presidency is possible. Here is how this can be accomplished.
Reorganizing for the implementation of Reforms
I recommend that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. All OIG Departmental organizations will report directly to the US Inspector General and the OMB. The new OIG organization will establish an ongoing capability to review and maintain government efficiency. In addition to the Implementation of major Federal Government Reforms.
In addition to the above I recommend that the OIG establish a specialized Integrated Technology Team to review and prevent the $ millions of waste in Government Computer systems. Currently the US government has no oversight organization capable of preventing the enormous boondoggles found in the development of IT systems.
Recommended Change in The funding of Federal Government Activities
The funding of Bills passed by Congress in addition to present reviews will be deemed as First Year Start-up Funding. This is to be followed by a review by the proper OIG Analysis Team which will determine the Operational Funding for year to year budgets. This insures that all funding by the Federal Government is brought under management control.
Implementation of Reform Models
1. Simplify Government
It is usually better to simplify government before trying to reform it. Some Governmental Activities, determined to be unnecessary, can be eliminated immediately with their budgets but usually simplifying government is not a simple matter. This is where you get rid unnecessary government activities and Red Tape.
Using The Consolidation Model by Lawrence Rosier
A Comparison of Duplicated Services is done by OIG Analysts to determine their associated cost data. Outcomes are compared with other duplicated Functions from all the organizations and are depicted in a matrix chart. Those duplicated services rejected for low efficiency will be declared as redundant and their budgets cut followed by reassignment or layoff of employees. Those services with the highest efficiency will have their budgets kept in place or moved to the new final single location with employees given the opportunity to move to the final service group providing the services.
2. Implement the General Reform Model
The United States Inspector General (newly appointed) will have Oversight of the implementation of all reforms including the General Reform Model. The General Reform Model uses employee Enterprise Lean Teams to get the highest efficiency and effectiveness possible. We will use the data developed by Departmental Lean Teams to Right-Size the selected Department. The Lean Team data will be used by specially trained OIG Analysts to develop bottoms-up budgets which identify the actual costs of all systems and functions (draining the swamp). This is also the data needed to manage the organization’s work load and in the determination of the level of staffing needed to meet standards. Lean teams provide the opportunity for continuous improvement of government operations including the elimination of red tape.
3. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Agency’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams with each of their elected leaders reporting directly to a Group Managed team. Group Managed Teams will assume their management role from the pre-organized high level Lean Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic growth practices and toxic Bureaucratic management practices targeting whistle Blowers.
The Bureaucratic organization is Top heavy with management which makes most the decisions for the organization. The Team Management organization has the minimum required top level management allowing decisions to be made at the most appropriate level down in the organization. Layers of redundant largely incompetent bureaucratic management can be removed from the organization.
Even more Savings Can be Obtained from Government Suppliers and Contractors
I recommend that government suppliers and contractors be required to implement company wide efficiency through the establishment of internal Company Corporate Audit Teams to monitor company wide staffing (similar to the Federal Government‘s OIG). I also recommend that suppliers and contractors establish Enterprise Lean Teams for continuous improvement.
These changes will likely need Congressional approval and should be accomplished early in the first 100 days of the Trump presidency. The complete reform of the federal government will take years but reduced budgets should start appearing in the first year.
Reorganizing for the implementation of Reforms
I recommend that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. All OIG Departmental organizations will report directly to the US Inspector General and the OMB. The new OIG organization will establish an ongoing capability to review and maintain government efficiency. In addition to the Implementation of major Federal Government Reforms.
In addition to the above I recommend that the OIG establish a specialized Integrated Technology Team to review and prevent the $ millions of waste in Government Computer systems. Currently the US government has no oversight organization capable of preventing the enormous boondoggles found in the development of IT systems.
Recommended Change in The funding of Federal Government Activities
The funding of Bills passed by Congress in addition to present reviews will be deemed as First Year Start-up Funding. This is to be followed by a review by the proper OIG Analysis Team which will determine the Operational Funding for year to year budgets. This insures that all funding by the Federal Government is brought under management control.
Implementation of Reform Models
1. Simplify Government
It is usually better to simplify government before trying to reform it. Some Governmental Activities, determined to be unnecessary, can be eliminated immediately with their budgets but usually simplifying government is not a simple matter. This is where you get rid unnecessary government activities and Red Tape.
Using The Consolidation Model by Lawrence Rosier
A Comparison of Duplicated Services is done by OIG Analysts to determine their associated cost data. Outcomes are compared with other duplicated Functions from all the organizations and are depicted in a matrix chart. Those duplicated services rejected for low efficiency will be declared as redundant and their budgets cut followed by reassignment or layoff of employees. Those services with the highest efficiency will have their budgets kept in place or moved to the new final single location with employees given the opportunity to move to the final service group providing the services.
2. Implement the General Reform Model
The United States Inspector General (newly appointed) will have Oversight of the implementation of all reforms including the General Reform Model. The General Reform Model uses employee Enterprise Lean Teams to get the highest efficiency and effectiveness possible. We will use the data developed by Departmental Lean Teams to Right-Size the selected Department. The Lean Team data will be used by specially trained OIG Analysts to develop bottoms-up budgets which identify the actual costs of all systems and functions (draining the swamp). This is also the data needed to manage the organization’s work load and in the determination of the level of staffing needed to meet standards. Lean teams provide the opportunity for continuous improvement of government operations including the elimination of red tape.
3. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Agency’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams with each of their elected leaders reporting directly to a Group Managed team. Group Managed Teams will assume their management role from the pre-organized high level Lean Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic growth practices and toxic Bureaucratic management practices targeting whistle Blowers.
The Bureaucratic organization is Top heavy with management which makes most the decisions for the organization. The Team Management organization has the minimum required top level management allowing decisions to be made at the most appropriate level down in the organization. Layers of redundant largely incompetent bureaucratic management can be removed from the organization.
Even more Savings Can be Obtained from Government Suppliers and Contractors
I recommend that government suppliers and contractors be required to implement company wide efficiency through the establishment of internal Company Corporate Audit Teams to monitor company wide staffing (similar to the Federal Government‘s OIG). I also recommend that suppliers and contractors establish Enterprise Lean Teams for continuous improvement.
These changes will likely need Congressional approval and should be accomplished early in the first 100 days of the Trump presidency. The complete reform of the federal government will take years but reduced budgets should start appearing in the first year.
Wednesday, December 21, 2016
Article 83. Amateur Versis Professional Reform
Donald Rumsfeld and other short sighted notables have suggested that the best way to cut back the Federal Government is to cut departmental budgets by as much as 10% across the board to quickly reduce spending. I disagree with this approach for the following reasons.
1. This approach punishes properly managed Government Departments sending the message that they should maintain overstaffing just to have extra personnel in case of a budget reduction.
2. This approach does nothing to determine the actual staffing required and because no one knows, Departments can chose to fight back and reduce productivity just to prove that a larger budget is required. See Article 16
Newt Gingrich has estimated that waste in the Federal Government is costing $500 billion. My objective is to identify and get all of the savings due to the American taxpayer that is available regardless of what is estimated.
My approach is to first simplify government, solve specific problems such as consolidating random duplicated activities with my Consolidation Model or addressing the specific needs of the Veterans Hospitals. See Article 48 “Consolidation of Gov Duplicated Services”.
This is followed by the standard installation of my General Reform Model for all governmental operations (Except Military). The General Reform Model begins by forming employee work Teams (Enterprise Lean Teams) to solve on the job problems increasing productivity. Each Team elects their own leader and meets about once a week. A good example is a hospital surgeon’s team which organizes the work to be done so no one has to wait on another person. Organizing the work is done to prevent building-in inefficiency. Boeing balances its aircraft assembly lines to make sure that the right part is installed at the right time by the right person and no one waits on another worker.
Enterprise Lean Teams have been successfully used by the state of Minnesota to improve efficiency in government. For example they are especially useful in reducing Document Turnaround times from months to just days. My only disagreement with Minnesota’s Lean Teams is they do not follow up and reduce personnel as efficiency increases.
When the employee Teams have gained experience. The entire organization is changed from the current Bureaucratic organization to a Team Managed organization, eliminating problems caused by toxic bureaucracies. The final activity is the use of Special OIG (Office of Inspector General) audit teams to collect data from the work teams and time study repeating activities (necessary to establish standards). From this data a new representative reduced budget is built. See Articles 58 “Reinventing the VA” and in Article 56, Proposed Consulting Agreement with details of approach in fixing specific problems of the VA. (all of my proposals were Rejected by the Obama Gov).
There is another higher level of government improvement using Six Sigma in Management Teams which I recommend. This involves broad studies of complicated decision making processes usually involving government contracts. See Article 47 “Technical guide to State Government Reform”
See also: Article 42. “Health Care The Cheesecake Factory and Lean Six Sigma”
“Restaurant chains have managed to combine quality control, cost control, and innovation. Can health care?”
by Atul Gawande August 13, 2012 Excerpt from the New Yorker
Once proven this approach to Government Reform can be adapted for required implementation for all DOD suppliers and manufacturers. The approach should also be recommended for all US manufacturers to increase competitiveness and prevent going after cheap labor in third world countries. Most US manufacturing high labor costs are caused by overstaffing not just by high wages. Competitiveness is the key to making America Great again. But a concentrated effort must be made to create jobs. See Article 15. Bringing Life to a Manufacturing Company’s Dead Zone.
See also My kindle Ebooks:
“Now We Know How to Reinvent the Federal Government-Using Enterprise Lean and Reform Models”,
“Now We Know How to Reinvent Industry- To Get Maximum Competitiveness”
“Now We Know How to Reinvent America-Using Enterprise Lean to Make America Competitive Again”
In 1975 I was a Consultant for Alexander Proudfoot the top downsizing consulting firm. In my first Two Weeks on the job I saved the Client, Clark Equipment of Battle Creek Mi, $100 Million (today’s Dollars) when I discovered that they were 50% overstaffed in their Production Control Depart. Nearly all US company Production Control Depts. are over staffed while production lines are carefully time studied no one is looking at this particular Dept.
In1982 I proposed to Sandy McDonnell CEO of the McDonnell Douglas Corp. That his pilot project of Quality of Work Life Teams (similar to Enterprise Lean) be given the authority to manage their own operations. Sandy agreed and the Bureaucratic organization was replaced with a Team Managed organization. There was immediate success and the revision lasted for 10 years when the company was sold to Boeing.
Lawrence Rosier Philosophy and Observations of Government Management
1. Think of government expenditures as an investment which increases income and taxes and the wealth of the entity.
2. Jobs created within government consume taxes and are not the same as jobs created by private industry which generate taxable revenue.
3. The best investment in State government ultimately yields sales of products in other states and the global market and increases the wealth of the state.
4. The best investment in US Government ultimately yields sales of products in the global market and increases the wealth of the nation.
5. Efficiency in government is found only where they know you are looking.
6. Under budget spending does not exist in government.
7. No one in government ever gets fired for malfeasance, corruption, waste of funds or hiring too many people.
8. Government Auditor practices should include auditing efficient use of manpower because “Time is Money”.
9. Reorganize government by eliminating Departmental Inspector General Offices that report to the Department Heads and have all Departmental Inspector General offices report directly to the US Inspector Generals office.
This eliminates conflict of interest issues.
1. This approach punishes properly managed Government Departments sending the message that they should maintain overstaffing just to have extra personnel in case of a budget reduction.
2. This approach does nothing to determine the actual staffing required and because no one knows, Departments can chose to fight back and reduce productivity just to prove that a larger budget is required. See Article 16
Newt Gingrich has estimated that waste in the Federal Government is costing $500 billion. My objective is to identify and get all of the savings due to the American taxpayer that is available regardless of what is estimated.
My approach is to first simplify government, solve specific problems such as consolidating random duplicated activities with my Consolidation Model or addressing the specific needs of the Veterans Hospitals. See Article 48 “Consolidation of Gov Duplicated Services”.
This is followed by the standard installation of my General Reform Model for all governmental operations (Except Military). The General Reform Model begins by forming employee work Teams (Enterprise Lean Teams) to solve on the job problems increasing productivity. Each Team elects their own leader and meets about once a week. A good example is a hospital surgeon’s team which organizes the work to be done so no one has to wait on another person. Organizing the work is done to prevent building-in inefficiency. Boeing balances its aircraft assembly lines to make sure that the right part is installed at the right time by the right person and no one waits on another worker.
Enterprise Lean Teams have been successfully used by the state of Minnesota to improve efficiency in government. For example they are especially useful in reducing Document Turnaround times from months to just days. My only disagreement with Minnesota’s Lean Teams is they do not follow up and reduce personnel as efficiency increases.
When the employee Teams have gained experience. The entire organization is changed from the current Bureaucratic organization to a Team Managed organization, eliminating problems caused by toxic bureaucracies. The final activity is the use of Special OIG (Office of Inspector General) audit teams to collect data from the work teams and time study repeating activities (necessary to establish standards). From this data a new representative reduced budget is built. See Articles 58 “Reinventing the VA” and in Article 56, Proposed Consulting Agreement with details of approach in fixing specific problems of the VA. (all of my proposals were Rejected by the Obama Gov).
There is another higher level of government improvement using Six Sigma in Management Teams which I recommend. This involves broad studies of complicated decision making processes usually involving government contracts. See Article 47 “Technical guide to State Government Reform”
See also: Article 42. “Health Care The Cheesecake Factory and Lean Six Sigma”
“Restaurant chains have managed to combine quality control, cost control, and innovation. Can health care?”
by Atul Gawande August 13, 2012 Excerpt from the New Yorker
Once proven this approach to Government Reform can be adapted for required implementation for all DOD suppliers and manufacturers. The approach should also be recommended for all US manufacturers to increase competitiveness and prevent going after cheap labor in third world countries. Most US manufacturing high labor costs are caused by overstaffing not just by high wages. Competitiveness is the key to making America Great again. But a concentrated effort must be made to create jobs. See Article 15. Bringing Life to a Manufacturing Company’s Dead Zone.
See also My kindle Ebooks:
“Now We Know How to Reinvent the Federal Government-Using Enterprise Lean and Reform Models”,
“Now We Know How to Reinvent Industry- To Get Maximum Competitiveness”
“Now We Know How to Reinvent America-Using Enterprise Lean to Make America Competitive Again”
In 1975 I was a Consultant for Alexander Proudfoot the top downsizing consulting firm. In my first Two Weeks on the job I saved the Client, Clark Equipment of Battle Creek Mi, $100 Million (today’s Dollars) when I discovered that they were 50% overstaffed in their Production Control Depart. Nearly all US company Production Control Depts. are over staffed while production lines are carefully time studied no one is looking at this particular Dept.
In1982 I proposed to Sandy McDonnell CEO of the McDonnell Douglas Corp. That his pilot project of Quality of Work Life Teams (similar to Enterprise Lean) be given the authority to manage their own operations. Sandy agreed and the Bureaucratic organization was replaced with a Team Managed organization. There was immediate success and the revision lasted for 10 years when the company was sold to Boeing.
Lawrence Rosier Philosophy and Observations of Government Management
1. Think of government expenditures as an investment which increases income and taxes and the wealth of the entity.
2. Jobs created within government consume taxes and are not the same as jobs created by private industry which generate taxable revenue.
3. The best investment in State government ultimately yields sales of products in other states and the global market and increases the wealth of the state.
4. The best investment in US Government ultimately yields sales of products in the global market and increases the wealth of the nation.
5. Efficiency in government is found only where they know you are looking.
6. Under budget spending does not exist in government.
7. No one in government ever gets fired for malfeasance, corruption, waste of funds or hiring too many people.
8. Government Auditor practices should include auditing efficient use of manpower because “Time is Money”.
9. Reorganize government by eliminating Departmental Inspector General Offices that report to the Department Heads and have all Departmental Inspector General offices report directly to the US Inspector Generals office.
This eliminates conflict of interest issues.
Friday, December 9, 2016
Article 86. $125 Billion in DOD waste How to bring The Gov under Control
The Pentagon has buried an internal study that exposed $125 billion in administrative waste in its business operations amid fears Congress would use the findings as an excuse to slash the defense budget, according to interviews and confidential memos obtained by The Washington Post. By Craig Whitlock and Bob Woodward.
The report, issued in January 2015, identified “a clear path” for the Defense Department to save $125 billion over five years. The plan would not have required layoffs of civil servants or reductions in military personnel. Instead, it would have streamlined the bureaucracy through attrition and early retirements, curtailed high-priced contractors and made better use of information technology.
Although the report provided a clear path for fixing DOD’s problem it also demonstrated that:
1. Government Bureaucracies do not Fix Themselves.
2. Government Bureaucracies do not properly manage the peoples business.
3. The Report, like so many others, did nothing to reform the DOD since it was ignored.
In my Articles 84.and 82 I have recommended an internal watchdog organization, the OIG, with investigative powers and the means to implement management tools needed to manage Federal Government Departments bringing the Federal Government under control. My General Reform Model does one other important thing it provides for the permanent elimination of the Bureaucratic organization transforming the Federal Government into a Team Managed organization. The details of how to deal with massive reduced personnel requirements are left to the implementers and Congress. See Article 11. The Failure of Bureaucratic Government
The report, issued in January 2015, identified “a clear path” for the Defense Department to save $125 billion over five years. The plan would not have required layoffs of civil servants or reductions in military personnel. Instead, it would have streamlined the bureaucracy through attrition and early retirements, curtailed high-priced contractors and made better use of information technology.
Although the report provided a clear path for fixing DOD’s problem it also demonstrated that:
1. Government Bureaucracies do not Fix Themselves.
2. Government Bureaucracies do not properly manage the peoples business.
3. The Report, like so many others, did nothing to reform the DOD since it was ignored.
In my Articles 84.and 82 I have recommended an internal watchdog organization, the OIG, with investigative powers and the means to implement management tools needed to manage Federal Government Departments bringing the Federal Government under control. My General Reform Model does one other important thing it provides for the permanent elimination of the Bureaucratic organization transforming the Federal Government into a Team Managed organization. The details of how to deal with massive reduced personnel requirements are left to the implementers and Congress. See Article 11. The Failure of Bureaucratic Government
Article 85. The New OMB and OIG Relationship with the CBO
I have recommended that the Office of Management and Budget (OMB) be the primary source of the Government Reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Office of Inspector General (OIG) Analysts provide the boots on the ground for the implementation of reforms providing an on-going government efficiency organization instead of bringing in Temporary Outside Consultants saving $millions.
The recommended creation of the US Office of the Inspector General (USOIG) will continue its branch activities which are closely associated and embedded with each of the Federal Departments.
How the Congressional Budget Office can work with the USOIG
The Congressional Budget Office (CBO) is divided into eight divisions one is for “Microeconomic Studies”. OIG Analysts associated with the Department that will be implementing a Congressional Bill can support CBO Microeconomic Studies by providing simulated manpower requirements before the bill becomes law. After the bill becomes law and is implemented OIG analysts will determine the correct staffing of the new work by building a bottoms-up manpower budget insuring efficiency in government.
A bottoms-up manpower budget simply means that as the OIG Analysts’ determine the manpower required for each process the requirements are added until all of the processes have been accounted for. Overhead and Management costs are added to obtain a final budget. This type of budget provides for a solid efficient government when compared with a standard top-down estimated budget.
The recommended creation of the US Office of the Inspector General (USOIG) will continue its branch activities which are closely associated and embedded with each of the Federal Departments.
How the Congressional Budget Office can work with the USOIG
The Congressional Budget Office (CBO) is divided into eight divisions one is for “Microeconomic Studies”. OIG Analysts associated with the Department that will be implementing a Congressional Bill can support CBO Microeconomic Studies by providing simulated manpower requirements before the bill becomes law. After the bill becomes law and is implemented OIG analysts will determine the correct staffing of the new work by building a bottoms-up manpower budget insuring efficiency in government.
A bottoms-up manpower budget simply means that as the OIG Analysts’ determine the manpower required for each process the requirements are added until all of the processes have been accounted for. Overhead and Management costs are added to obtain a final budget. This type of budget provides for a solid efficient government when compared with a standard top-down estimated budget.
Wednesday, December 7, 2016
Article 84. A Special Approach to Reform of the Federal Government
This is a hard approach to reform (replacing Article 82 My standard reform approach) for special conditions where over-staffing is suspected of being 30% or more. This approach first uses OIG Analysts to right-size a prioritized list of operations and processes in the Department with proper staffing, then builds a bottoms-up manpower budget with staff reductions. This is followed by the implementation of Enterprise Lean facilitated by OIG Analysts. The
reform approach in Article 82. applies to departments
with suspected over-staffing of up to 20%. For an example of the hard approach in private industry see Article 17. Example of My Experience with Alexander Proudfoot.
The recent discovery of the DOD’s hiding of $125 billion in waste sheds new light on the Federal Bureaucracy. The Federal Bureaucracy rules were designed to prevent corruption but has gotten out of control favoring bureaucratic growth. Over the years the DOD Bureaucracy has grown to waste $125 billion from lack of proper management.
Organizing for Reform
I have recommended that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Office of Inspector General (OIG) Analysts provide the boots on the ground for the implementation of reforms instead of temporary Outside Consultants saving $millions. The OIG organization will be a permanent watch dog and management tool for the Federal Government. See Article 52. Establishment of a Government Wide United States Inspector Generals Office
I have recommended in Article 82 that the government should be simplified before implementing Reforms to prevent reforming work that is going away. Now with the discovery of massive waste in the DOD and other Departments trying to simplify by identifying government waste before starting the reform procedure appears to be a waste in itself since much of government is doing nothing. With this knowledge I am altering my approach to implementing reforms by having the departments identify and prioritize the work they do so that reforms can begin immediately in these processes by beginning the building a bottoms-up manpower budget.
The Phases of the Special Government Reform Process
1. Organize for Reform
Implement the New Office of US Inspector General and the OIG organization.
First duty ask all Federal Government Departments to work with OIG Analysts in providing a prioritized list of all high level absolutely necessary activities and processes performed by the Department. The Effectiveness Test should be applied to the prioritized list those activities not meeting the test should loose funding.
2. Training of OIG Analysts
The Reform Consultant and special trainers will insure that the necessary training of the activities of OIG Analysts has been done and that they can determine the correct staffing level through Work Measurement. The collected data from the documentation will be kept on a spreadsheet by the OIG Analysts and summarized in a database where all of the Department’s functional data are stored. The data can be collected in electronic tablets using a spreadsheet program specifically designed for this process. All tablet spread sheets will be continuously updated using a special Google App (application). The Trainers will also provide on the job training of OIG Analysts in the collection of this data and all reform steps.
3. Implementation of the General Reform Model
Right-sizing of each Departments prioritized activities will begin immediately by the OIG Analysts assigned to that organization.
A. The OIG Analysts will use work measurement and time-study of these activities and processes to determine the hours spent in doing this work. This will be the start of a bottoms-up manpower budget.
B. When this portion of the bottoms-up budget is completed all remaining activities of the Department are subject to scrutiny. Those deemed necessary are assessed and added to the manpower budget. All other activities are ignored and deemed as unnecessary.
C. The manpower budget is then adjusted to show the number of personnel required. Savings are Identified when required personnel is subtracted from the Departmental manpower. (draining the swamp).
D. This is followed by the implementation of Employee Enterprise Lean Teams using OIG Analysts as facilitators to get further gains in efficiency. The Teams after gaining some experience will permanently replace the Bureaucratic organization with a Team Management organization.
4. Staffing Adjustments
This is the period of time for the reduction of redundant government staff. Redundant staff must be removed from the work environment to allow a balanced work load. Retraining employees to fill needed vacancies is pursued. Where departmental staffing can be reduced layoffs or temporary reassignments should be completed within a month. Early retirement is suggested for eligible employees.
5. The Training and Organization of Employee Enterprise Lean Teams
I recommend that Enterprise Lean Training Consultants be brought in providing training seminars for the OIG Analysts and other Training staff (Train the Trainer) for employee training. Lean Facilitators (OIG Analysts) will receive special training. The objective of this training is to get employees organized into work teams and excited about improving government.
6. Review of Lean Team Results and Collection of Lean Data
After a period of about two months most Functional (low level) Lean Teams, those that were organized and trained by OIG Analysts acting as Facilitators, should have their Value Stream Analyses completed. The number of occurrences of the function over time, is obtained from a daily log kept by each Lean Team, provides the basis for an accurate budget.
7. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Department’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic sometimes toxic environment. Additional reductions in management staff are expected.
With reductions in staffing comes a greater need for property management a task the Federal Government does not do well. The OIG could apply their expertise to this need. For other Activities of the OIG see Article 49. The Effectiveness Test, a Tool for Reforming Government
The recent discovery of the DOD’s hiding of $125 billion in waste sheds new light on the Federal Bureaucracy. The Federal Bureaucracy rules were designed to prevent corruption but has gotten out of control favoring bureaucratic growth. Over the years the DOD Bureaucracy has grown to waste $125 billion from lack of proper management.
Organizing for Reform
I have recommended that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Office of Inspector General (OIG) Analysts provide the boots on the ground for the implementation of reforms instead of temporary Outside Consultants saving $millions. The OIG organization will be a permanent watch dog and management tool for the Federal Government. See Article 52. Establishment of a Government Wide United States Inspector Generals Office
I have recommended in Article 82 that the government should be simplified before implementing Reforms to prevent reforming work that is going away. Now with the discovery of massive waste in the DOD and other Departments trying to simplify by identifying government waste before starting the reform procedure appears to be a waste in itself since much of government is doing nothing. With this knowledge I am altering my approach to implementing reforms by having the departments identify and prioritize the work they do so that reforms can begin immediately in these processes by beginning the building a bottoms-up manpower budget.
The Phases of the Special Government Reform Process
1. Organize for Reform
Implement the New Office of US Inspector General and the OIG organization.
First duty ask all Federal Government Departments to work with OIG Analysts in providing a prioritized list of all high level absolutely necessary activities and processes performed by the Department. The Effectiveness Test should be applied to the prioritized list those activities not meeting the test should loose funding.
2. Training of OIG Analysts
The Reform Consultant and special trainers will insure that the necessary training of the activities of OIG Analysts has been done and that they can determine the correct staffing level through Work Measurement. The collected data from the documentation will be kept on a spreadsheet by the OIG Analysts and summarized in a database where all of the Department’s functional data are stored. The data can be collected in electronic tablets using a spreadsheet program specifically designed for this process. All tablet spread sheets will be continuously updated using a special Google App (application). The Trainers will also provide on the job training of OIG Analysts in the collection of this data and all reform steps.
3. Implementation of the General Reform Model
Right-sizing of each Departments prioritized activities will begin immediately by the OIG Analysts assigned to that organization.
A. The OIG Analysts will use work measurement and time-study of these activities and processes to determine the hours spent in doing this work. This will be the start of a bottoms-up manpower budget.
B. When this portion of the bottoms-up budget is completed all remaining activities of the Department are subject to scrutiny. Those deemed necessary are assessed and added to the manpower budget. All other activities are ignored and deemed as unnecessary.
C. The manpower budget is then adjusted to show the number of personnel required. Savings are Identified when required personnel is subtracted from the Departmental manpower. (draining the swamp).
D. This is followed by the implementation of Employee Enterprise Lean Teams using OIG Analysts as facilitators to get further gains in efficiency. The Teams after gaining some experience will permanently replace the Bureaucratic organization with a Team Management organization.
4. Staffing Adjustments
This is the period of time for the reduction of redundant government staff. Redundant staff must be removed from the work environment to allow a balanced work load. Retraining employees to fill needed vacancies is pursued. Where departmental staffing can be reduced layoffs or temporary reassignments should be completed within a month. Early retirement is suggested for eligible employees.
5. The Training and Organization of Employee Enterprise Lean Teams
I recommend that Enterprise Lean Training Consultants be brought in providing training seminars for the OIG Analysts and other Training staff (Train the Trainer) for employee training. Lean Facilitators (OIG Analysts) will receive special training. The objective of this training is to get employees organized into work teams and excited about improving government.
6. Review of Lean Team Results and Collection of Lean Data
After a period of about two months most Functional (low level) Lean Teams, those that were organized and trained by OIG Analysts acting as Facilitators, should have their Value Stream Analyses completed. The number of occurrences of the function over time, is obtained from a daily log kept by each Lean Team, provides the basis for an accurate budget.
7. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Department’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic sometimes toxic environment. Additional reductions in management staff are expected.
With reductions in staffing comes a greater need for property management a task the Federal Government does not do well. The OIG could apply their expertise to this need. For other Activities of the OIG see Article 49. The Effectiveness Test, a Tool for Reforming Government
Monday, December 5, 2016
Article 82. Reorganizing the Federal Government and Implementation of Reforms
This is my standard Government and Industry approach for implementing Reform.
This is a soft approach for entities that need reform and are not over 20% over- staffed. This approach first implements Enterprise Lean facilitated by OIG Analysts. As a part of Enterprise Lean's basic function of continuous improvement, work processes are right-sized by the Lean Team. This activity is aided by OIG Analysts who provide Work Measurement expertise including time-study followed by a bottoms-up manpower budget. The reform approach in Article 84. applies to departments such as the DOD with suspected over-staffing of 30% or more. For examples of of results from Lean studies see Article 8. Twenty Five Case Studies Using Lean in Government.
Reorganizing for the Implementation of Reforms
The President must be in agreement with reform operations and be involved.
I recommend that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Because personnel in the Departmental Offices of Inspector Generals (OIGs) will be tapped for implementing the Government Reforms it is necessary that all OIGs report directly to the US Inspector General and the OMB. Using Government Personnel (OIG Analysts) instead of Outside Consultants will save $ millions and will leave an ongoing organization to maintain government efficiency. This change will likely need congressional approval and should be accomplished early in the first 100 days of the Trump presidency. The complete reform of the federal government may take 4 years but reduced budgets should start appearing in the first year.
See Article 52. Establishment of a Government Wide United States Inspector Generals Office
Pilot implementation (If required)
The Veterans Administration Hospitals is a Likely pilot for starting the implementations of reforms but this is one of the few organizations where the outcome may be an increase in personnel even with efficient operations. This will give a boost to help Veterans needing healthcare and delay some of the backlash that will come from massive layoffs in other organizations. Choosing a different department to start the pilot will demonstrate the more likely result of savings from layoffs something the public has wanted for a long time leading to a reduction in taxes.
The Phases of the Reform Process
1. Simplify Government
It is better to simplify government before trying to reform it. Governmental activities, determined to be unnecessary, can be eliminated using the Effectiveness Test. Those activities not meeting the test will loose funding. Simplifying government is not a simple matter but this is where you get rid of unnecessary activities and Red Tape.
Using The Consolidation Model by Lawrence Rosier
A Comparison of Duplicated Services is done by OIG Analysts to determine their associated cost data. Outcomes are compared with other duplicated Functions from all the organizations and are depicted in a matrix chart. Those duplicated services rejected for low efficiency will be declared as redundant and their budgets cut followed by reassignment or layoff of employees. Those services with the highest efficiency will have their budgets kept in place or moved to the new final single location with employees given the opportunity to move to the final service group providing the services.
2. Implement the General Reform Model
The United States Inspector General (newly appointed) will have Oversight of the implementation of all reforms including the General Reform Model.
The General Reform Model uses employee Enterprise Lean Teams to get the highest efficiency and effectiveness possible. We will use the data developed by Departmental Lean Teams to Right-Size the selected Department. The Lean Team data will be used by specially trained OIG Analysts to develop bottoms-up budgets which identify the actual costs of all systems and functions (draining the swamp). This is also the data needed to manage the organization’s work load and in the determination of the level of staffing needed to meet standards. See Article 10. Private Versus Public Budgeting
3. The Training and Organization of Employee Enterprise Lean Teams
I recommend that Enterprise Lean Training Consultants be brought in providing training seminars for the OIG Analysts and other Training staff (Train the Trainer). Employee Lean training should begin immediately by the Department’s training staff. I suggest that the normal training curriculum for the Department be suspended and an all out effort be made for Enterprise Lean Training. Training should be made first for staff members followed by management, Lean Facilitators (OIG Analysts) and lastly departmental employees. The objective of this training is to get Employees organized into work teams and excited about improving government. See Article 27. The Difficult Details of Reform
4. Review of Lean Team Results and Collection of Lean Data
After a period of about two months most Functional (low level) Lean Teams, those that were organized and trained by OIG Analysts acting as Facilitators, should have their Value Stream Analyses completed. I have had success with doing the flow of the current method on long white butcher or brown wrapping paper tapped around a conference room on the walls. The steps of the current method is completed first, followed by the proposed improved method done directly under it. This is done to highlight the differences between the two methods and has the benefit of the team member involvement. I suggest that some Functional Lean Teams with significant savings present their improved method to management. The OIG Analyst will time study the new method to document savings. After the presentation to management the rolled document is given to a OIG Analyst to document the Changes from the team proposal in a spreadsheet.
5. Activities of the Reform Consultant
The Consultant will play a key role in being sure that the employee Lean teams are properly trained. The Consultant will insure that the activities of OIG Analysts can determine the correct staffing level through Work Measurement. Some OIG Analysts may find the proper staffing for variable processes difficult to determine, the Consultant will make this determination when necessary. This data combined with the number of occurrences of the function over time, obtained from a daily log kept by each Lean Team, provides the basis for an accurate functional budget. The Lean data from the documentation will be kept on a spreadsheet by the OIG Analysts and summarized in a database where all of the Department’s functional data are stored. The data can be collected in electronic tablets using a spreadsheet program specifically designed for this process. All tablet spread sheets will be continuously updated using a special Google App (application). The Consultant will provide on the job training of OIG Analysts in the collection of this data and all subsequent reform steps.
6. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Agency’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams with each of their elected leaders reporting directly to a Group Managed team. Group Managed Teams will assume their management role from the pre-organized high level Lean Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic methods.
7. Time of Staffing Adjustments
This is the period of time for the reduction of redundant government staff. To attain a balanced work load is a primary objective where retraining employees to fill needed vacancies is pursued. Where departmental staffing can be reduced layoffs or temporary reassignments should be completed within a month.
Role of the Government Accountability Office (GAO)
Because the GAO is and arm of Congress and headed by the US Comptroller General, appointed for a 15 year term and I do not recommend that the GAO be responsible for implementing reforms. However the GAO can support the OMB by identifying waste in government.
This is a soft approach for entities that need reform and are not over 20% over- staffed. This approach first implements Enterprise Lean facilitated by OIG Analysts. As a part of Enterprise Lean's basic function of continuous improvement, work processes are right-sized by the Lean Team. This activity is aided by OIG Analysts who provide Work Measurement expertise including time-study followed by a bottoms-up manpower budget. The reform approach in Article 84. applies to departments such as the DOD with suspected over-staffing of 30% or more. For examples of of results from Lean studies see Article 8. Twenty Five Case Studies Using Lean in Government.
Reorganizing for the Implementation of Reforms
The President must be in agreement with reform operations and be involved.
I recommend that the Office of Management and Budget (OMB) be the primary source of the Government reform effort. Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Because personnel in the Departmental Offices of Inspector Generals (OIGs) will be tapped for implementing the Government Reforms it is necessary that all OIGs report directly to the US Inspector General and the OMB. Using Government Personnel (OIG Analysts) instead of Outside Consultants will save $ millions and will leave an ongoing organization to maintain government efficiency. This change will likely need congressional approval and should be accomplished early in the first 100 days of the Trump presidency. The complete reform of the federal government may take 4 years but reduced budgets should start appearing in the first year.
See Article 52. Establishment of a Government Wide United States Inspector Generals Office
Pilot implementation (If required)
The Veterans Administration Hospitals is a Likely pilot for starting the implementations of reforms but this is one of the few organizations where the outcome may be an increase in personnel even with efficient operations. This will give a boost to help Veterans needing healthcare and delay some of the backlash that will come from massive layoffs in other organizations. Choosing a different department to start the pilot will demonstrate the more likely result of savings from layoffs something the public has wanted for a long time leading to a reduction in taxes.
The Phases of the Reform Process
1. Simplify Government
It is better to simplify government before trying to reform it. Governmental activities, determined to be unnecessary, can be eliminated using the Effectiveness Test. Those activities not meeting the test will loose funding. Simplifying government is not a simple matter but this is where you get rid of unnecessary activities and Red Tape.
Using The Consolidation Model by Lawrence Rosier
A Comparison of Duplicated Services is done by OIG Analysts to determine their associated cost data. Outcomes are compared with other duplicated Functions from all the organizations and are depicted in a matrix chart. Those duplicated services rejected for low efficiency will be declared as redundant and their budgets cut followed by reassignment or layoff of employees. Those services with the highest efficiency will have their budgets kept in place or moved to the new final single location with employees given the opportunity to move to the final service group providing the services.
2. Implement the General Reform Model
The United States Inspector General (newly appointed) will have Oversight of the implementation of all reforms including the General Reform Model.
The General Reform Model uses employee Enterprise Lean Teams to get the highest efficiency and effectiveness possible. We will use the data developed by Departmental Lean Teams to Right-Size the selected Department. The Lean Team data will be used by specially trained OIG Analysts to develop bottoms-up budgets which identify the actual costs of all systems and functions (draining the swamp). This is also the data needed to manage the organization’s work load and in the determination of the level of staffing needed to meet standards. See Article 10. Private Versus Public Budgeting
3. The Training and Organization of Employee Enterprise Lean Teams
I recommend that Enterprise Lean Training Consultants be brought in providing training seminars for the OIG Analysts and other Training staff (Train the Trainer). Employee Lean training should begin immediately by the Department’s training staff. I suggest that the normal training curriculum for the Department be suspended and an all out effort be made for Enterprise Lean Training. Training should be made first for staff members followed by management, Lean Facilitators (OIG Analysts) and lastly departmental employees. The objective of this training is to get Employees organized into work teams and excited about improving government. See Article 27. The Difficult Details of Reform
4. Review of Lean Team Results and Collection of Lean Data
After a period of about two months most Functional (low level) Lean Teams, those that were organized and trained by OIG Analysts acting as Facilitators, should have their Value Stream Analyses completed. I have had success with doing the flow of the current method on long white butcher or brown wrapping paper tapped around a conference room on the walls. The steps of the current method is completed first, followed by the proposed improved method done directly under it. This is done to highlight the differences between the two methods and has the benefit of the team member involvement. I suggest that some Functional Lean Teams with significant savings present their improved method to management. The OIG Analyst will time study the new method to document savings. After the presentation to management the rolled document is given to a OIG Analyst to document the Changes from the team proposal in a spreadsheet.
5. Activities of the Reform Consultant
The Consultant will play a key role in being sure that the employee Lean teams are properly trained. The Consultant will insure that the activities of OIG Analysts can determine the correct staffing level through Work Measurement. Some OIG Analysts may find the proper staffing for variable processes difficult to determine, the Consultant will make this determination when necessary. This data combined with the number of occurrences of the function over time, obtained from a daily log kept by each Lean Team, provides the basis for an accurate functional budget. The Lean data from the documentation will be kept on a spreadsheet by the OIG Analysts and summarized in a database where all of the Department’s functional data are stored. The data can be collected in electronic tablets using a spreadsheet program specifically designed for this process. All tablet spread sheets will be continuously updated using a special Google App (application). The Consultant will provide on the job training of OIG Analysts in the collection of this data and all subsequent reform steps.
6. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Agency’s activities through Group Teams with each managing several Functional Teams. The Lean Teams at the Functional level will become self managed Functional Teams with each of their elected leaders reporting directly to a Group Managed team. Group Managed Teams will assume their management role from the pre-organized high level Lean Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization. The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic methods.
7. Time of Staffing Adjustments
This is the period of time for the reduction of redundant government staff. To attain a balanced work load is a primary objective where retraining employees to fill needed vacancies is pursued. Where departmental staffing can be reduced layoffs or temporary reassignments should be completed within a month.
Role of the Government Accountability Office (GAO)
Because the GAO is and arm of Congress and headed by the US Comptroller General, appointed for a 15 year term and I do not recommend that the GAO be responsible for implementing reforms. However the GAO can support the OMB by identifying waste in government.
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