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About Us / Strategic Plan / Goal 2: Transform OPM’s organizational capacity and capability

Goal 2: Transform OPM’s organizational capacity and capability

Transform OPM's organizational capacity and capability to better serve as the leader in federal human capital management.

Overview

OPM has identified major organizational capacity and capability challenges that it must address to accomplish the goals in this plan and better serve customers. While multiple stakeholders lauded OPM employees' subject matter expertise and commitment to the mission, many also noted the need to reskill and upskill staff, engage in strategic workforce planning, and secure sustainable funding and staffing that better enable OPM to meet its mission. Stakeholders also identified challenges related to legacy IT, silos, and relationships with third-parties like the Congress, good government groups, the media, and agency partners. Additionally, NAPA advised that the agency should embrace a more strategic, forward-looking, enterprise-minded approach that breaks down silos between OPM's different program and policy functions.[5]

Build the skills of the OPM workforce and attract skilled talent. By FY 2026, increase the percentage of OPM employees who agree that their work unit has the job-relevant knowledge and skills necessary to accomplish organizational goals by 3 percentage points.

Overview

In consultation with stakeholders, OPM has identified the need to build upon the skills of the OPM workforce by reskilling current employees and attracting talent with in-demand skills. While OPM employees possess subject matter expertise and are committed to the agency's mission, stakeholders stressed the need to provide OPM employees with training, upskilling, details, and other opportunities to keep them engaged and to expand their skills. Stakeholders noted that OPM should focus on workforce planning and identifying the skill gaps within the agency's workforce. To attract and retain highly skilled employees, stakeholders suggested that OPM should leverage special hiring authorities, work arrangements, and work-life flexibilities across the agency.

Strategies

  • Determine existing competency gaps between employees' current skills and those skills required to achieve workforce planning, recruitment, retention, and talent development goals
  • Create and implement targeted cross-functional developmental opportunities that align with talent management (or reskilling and upskilling) needs
  • Leverage compensation, flexible work arrangements, and strategic hiring initiatives on an enterprise-level to attract a highly skilled and diverse OPM workforce
  • Equip HR professionals with new tools and capabilities to effectively support mission needs through the creation of a dedicated talent team
  • Accelerate hiring in areas within OPM necessary to deliver on key objectives within strategic plan

Performance Measure

  • Percent of respondents who agree that their work unit has the job-relevant knowledge and skills necessary to accomplish organizational goals

Contributing Organizations

  • OPM HR, OCFO, OPO, OC, and OD

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Improve OPM's relationships and standing as the human capital management thought leader. By FY 2026, increase the percent of CHCOs who strongly agree that OPM treats them as a strategic partner by 23 percentage points.

Overview

OPM is uniquely positioned as a central management agency with government-wide reach — interacting with stakeholders across the federal government, the Congress, and nonprofits, and engaging with the media. OPM has the opportunity to improve its relationship with stakeholders by building a culture of engagement with federal employees, agencies, and partners to better serve the American people as the human capital management thought leader. Some practices suggested by stakeholders included leveraging the experience from the leaders of other agencies through the CHCO Council, partnering with other agencies, academia, and/or nonprofits for research opportunities, and taking a more prominent role in identifying best practices in human capital management across different industries and sectors. Additionally, NAPA recommended that OPM "establish a human capital advisory committee to connect OPM with figures from public, nonprofit, academic, and private sectors on human capital management best practices and innovation." [6] The percentage of CHCOs who strongly agreed that OPM treats them as a strategic partner was 27.3 percent in FY 2022. The percentage of CHCOs who somewhat or strongly agreed was 94 percent in FY 2022.

Strategies

  • Re-affirm OPM's role for the administration of human capital management for all federal agencies by providing leadership, guidance, and oversight
  • Increase engagement with the CHCO Council to improve OPM's standing as the human capital thought leader across the federal government
  • Proactively utilize the press to educate and inform the federal workforce, agencies, stakeholders, and the public of OPM initiatives and policies

Performance Measure

  • Percent of CHCOs who agree that OPM treats them as strategic partners

Contributing Organizations

  • ES, CHCOC, and OD

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Improve OPM's program efficacy through comprehensive risk management and contract monitoring across the agency. By FY 2026, achieve the OMB-set target for the percentage of spending under category management.

Overview

In alignment with enterprise IT modernization efforts, OPM has an opportunity to capitalize on contract efficiencies and cost savings gained through implementation of category management principles. In consultation with stakeholders, the establishment of an enterprise-wide acquisition plan will better position the agency to identify common requirements ripe for consolidation across the enterprise, eliminate contractual and administrative redundancy, and drive down performance risk through utilization of government-wide best-in-class contract vehicles. At the same time, OPM has the opportunity to drive down contract-related performance risk through increased compliance with contractor past performance requirements.

Strategies

  • Establish a disciplined enterprise acquisition planning process to drive cost efficiencies, reduce risk, and eliminate redundant procurements
  • Improve OPM compliance with past performance reporting requirements by providing timely and meaningful feedback on contractor performance
  • Improve OPM's contract spend that is actively managed according to supply chain and category management principles

Performance Measures

  • Percent of OPM's Spend Under Management
  • Percent of contract actions in compliance with government-wide past performance reporting requirements

Contributing Organizations

  • OPO, OD, OCFO, OCIO, and OESPIM

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Establish a sustainable funding and staffing model for OPM that better allows the agency to meet its mission. By FY 2026, increase the percentage of OPM managers who indicate that they have sufficient resources to get their jobs done by 4 percentage points.

Overview

Over the past several years, OPM has experienced major shifts that have impacted the agency's funding structure and staffing. The transfer of background investigation responsibilities to the Department of Defense resulted in mission support funding gaps. OPM's Office of the Inspector General identified the agency's funding shortfall as a top management challenge.[7] Additionally, NAPA noted that "OPM's structure prevents it from fully delivering its current mission; information and decision-making silos are compounded by its funding structure (trust funds, S&E, and revolving fund)...".[8] Stakeholders agreed that the agency's funding and staffing model is a major challenge, and in the wake of the transition of investigative services to the Department of Defense and the abandonment of the previous Administration's proposal to merge OPM into the General Services Administration, OPM has an opportunity to work with OMB and Congress to establish a sustainable model that better allows the agency to meet its mission.

Strategies

  • Implement a process and structure that enhances labor code management and reporting across the agency
  • Leverage enhanced reporting and external studies to support future budget justifications
  • Provide OPM supervisors and managers with educational materials about the budget formulation process, resource allocation, and execution
  • Work with OMB and Congress to identify alternative funding sources

Performance Measures

  • Percent of OPM managers who indicate that they have sufficient resources to get their jobs done
  • Percent of OPM staff who indicate that they require additional people to get their jobs done

Contributing Organizations

  • OCFO, OPM HR, OCIO, and OD

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Modernize OPM IT by establishing an enterprise-wide approach, eliminating fragmentation, and aligning IT investments with core mission requirements. By FY 2026, increase the percentage of software projects implementing adequate incremental development to 95 percent.

Overview

OPM stakeholders noted that outdated IT environment posed a risk for the agency, which could compromise strategic priorities. OPM's Office of Inspector General stated that modernization efforts could allow OPM organizations to improve internal processes by replacing legacy systems and paper-based processes.[9] Additionally, NAPA noted that "failures in the past to embrace a consistent enterprise approach to IT has led to OPM's current fragmented system" and recommends that that OPM use technology to drive "seamless customer experience for the federal workforce across the employee lifecycle and improvements to internal service to OPM employees."[10] OPM has an opportunity to leverage advancements in technology that will support innovation and improvement in products, services, information, and oversight.

Strategies

  • Complete transition of ongoing IT operational support to Defense Counterintelligence Security Agency
  • Analyze OPM's spending patterns, through the effective implementation of OMB's mandated Technology Business Management, to leverage its purchasing power through development and execution of strategic sourcing procurement vehicles and policies
  • Improve IT governance processes to better align with modernization strategy and governmental best practices
  • Conduct discovery sessions with programs to build a mutual understanding of current systems' capabilities and program offices' needs
  • Evaluate IT systems for risk, consolidation, and modernization potential, developing an enterprise roadmap, and modernization timeline
  • Upskill the workforce through cloud training and activities
  • Improve agile software development and operations through adoption of best practices and tools
  • Expand and leverage cloud services to enhance employee productivity and cybersecurity protections

Performance Measures

  • Percent of software projects implementing adequate incremental development
  • Score for utilization of the working capital fund to support IT modernization and security

Contributing Organizations

  • OCIO and OCFO

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Promote a positive organizational culture where leadership drives an enterprise mindset, lives the OPM values, and supports employee engagement and professional growth. By FY 2026, increase OPM's Leaders Lead Score by 3 points.

Overview

According to NAPA, for OPM to transform itself to better meet the needs of the workforce of the future, the agency must adopt an internal enterprise mindset to break down organizational silos.[11] OPM OIG notes that it is essential to create an agency culture that has an enterprise-wide mindset that values each office as critical in reaching organizational goals.[12]

Strategies

  • Increase leadership awareness of corporate citizenship and an enterprise-wide mindset
  • Develop a set of guiding principles for an enterprise-wide leadership mindset
  • Increase communication to employees focusing on the strategic goals and objectives
  • Strengthen customer engagement with OPM system users and stakeholders during design, requirements, and testing phases to improve system quality and adoption
  • Strengthen Diversity Equity Inclusion and Accessibility (DEIA) within OPM, addressing all aspects of the employee lifecycle

Performance Measure

  • Leaders Lead Score

Contributing Organizations

  • OPM HR, OD, ODEIA, OCFO, HCDMM, OESPIM, OC, OCIO, ES, and SuitEA

Associated Learning Agenda Questions

  • Question 10. What OPM practices effectively promote internal coordination and improved service delivery across its functions?

Footnote 5

National Academy of Public Administration. March 2021. Elevating Human Capital: Reframing the U.S. Office of Personnel Management’s Leadership Imperative.

Footnote 6

National Academy of Public Administration. March 2021. Elevating Human Capital: Reframing the U.S. Office of Personnel Management’s Leadership Imperative.

Footnote 7

U.S. Office of Personnel Management, Office of the Inspector General (2020). The U.S. Office of Personnel Management’s Top Management Challenges for Fiscal Year 2021. 16 October 2020. Washington, DC.

Footnote 8

National Academy of Public Administration. March 2021. Elevating Human Capital: Reframing the U.S. Office of Personnel Management’s Leadership Imperative.

Footnote 9

U.S. Office of Personnel Management, Office of the Inspector General (2020). The U.S. Office of Personnel Management’s Top Management Challenges for Fiscal Year 2021. 16 October 2020. Washington, DC.

Footnote 10

National Academy of Public Administration. March 2021. Elevating Human Capital: Reframing the U.S. Office of Personnel Management’s Leadership Imperative.

Footnote 11

U.S. Office of Personnel Management, Office of the Inspector General (2020). The U.S. Office of Personnel Management’s Top Management Challenges for Fiscal Year 2021. 16 October 2020. Washington, DC.

Footnote 12

National Academy of Public Administration. March 2021. Elevating Human Capital: Reframing the U.S. Office of Personnel Management’s Leadership Imperative.