Please call me at (202) 512-6806 if you or your staff members have any questions concerning this report. Major contributors to this report are listed in appendix III. J. Ktophe wich J. Christopher Mihm Purpose The Office of the Architect of the Capitol (AOC) plays an important role in supporting the effective functioning of the Congress and its neighboring institutions. With a budget of $426 million, AOC is responsible for the maintenance, renovation, and new construction of all buildings and grounds within the Capitol Hill complex, such as the Capitol building, the House and Senate office buildings, the Library of Congress, and the Supreme Court. The historic nature and high-profile use of many of these buildings creates a complex environment in which to carry out this mission. AOC must also perform its duties in an environment that requires balancing the divergent needs of congressional leadership, committees, individual members of the Congress, congressional staffs, and the visiting public. The challenges of operating in this environment were compounded by the events of September 11, 2001, and their aftermath, including the October 2001 discovery of anthrax bacteria on Capitol Hill, and the resulting need for increased security and safety. This review was mandated by the Legislative Branch Appropriations Act, 2002.1 Senate and House Appropriations Committee reports also asked GAO to help address certain management shortcomings at AOC that needed attention, with a focus on recommending solutions.2 In April 2002, at the request of the Subcommittee on Legislative Branch, Senate Committee on Appropriations, GAO submitted a statement for the record for AOC's appropriations hearing that outlined its preliminary observations on what AOC needed to do to improve its management. This report completes GAO's review. This report discusses (1) improvements in strategic planning, organizational alignment, and strategic human capital management that would help AOC better achieve its mission and accomplish its strategic goals, (2) actions that AOC can take in other key areas of its management infrastructure, such as financial and information technology management, to improve its performance and better accomplish its goals, and (3) best practices and specific improvements in three key program areas of long-standing concern to AOC's employees and congressional stakeholders-worker safety, project management, and recycling. This report also discusses actions taken to date by AOC and GAO recommendations for further enhancements. As mandated by the 'Section 129(d) of Pub. L. No. 107-68, Nov. 12, 2001. 2Sen. Rep. No. 107-37 at 28, 29 (2001) and H.R. Conf. Rep. No. 107-148 at 73 (2001). Legislative Branch Appropriations Act, 2002, AOC is to develop a management improvement plan to address GAO's recommendations.3 Background Organizationally, AOC is made up of a centralized staff that performs administrative functions and "jurisdictions” that handle their own day-today operations. These jurisdictions include the Senate Office Buildings, the House Office Buildings, the U.S. Capitol Buildings, the Library of Congress Buildings and Grounds, the Supreme Court Buildings and Grounds, the Capitol Grounds, the Capitol Power Plant, and the U.S. Botanic Garden. There are over 2,300 employees in AOC; nearly 1 out of every 3 employees is a member of a union. New requirements to meet long-standing labor and safety laws have added to the complexity of AOC operations. For example, the Congressional Accountability Act of 1995 (CAA) applied 11 civil rights, labor, and workplace laws to AOC as well as other legislative branch agencies.* CAA also requires AOC to meet standards set by the Occupational Safety and Health Act of 1970, which applied new life and fire safety codes, as well as other building codes, to the agency. Across the federal government, fundamental questions are being asked about what government does; how it does it; and in some cases, who should do the government's business. The answers to these questions are driving agencies to transform their organizational cultures. AOC confronts many of these same issues. The experiences of successful major change management initiatives in large private and public sector organizations suggests that such initiatives can often take at least 5 to 7 years until they are fully implemented and the related cultures are transformed in a sustainable manner. To achieve such organizational transformation, agencies across the government will need to (1) elevate attention on management issues and transformation, (2) integrate various key management functions and transformation responsibilities, and (3) institutionalize accountability for addressing management issues and leading transformation. 3Section 129(d) of Pub. L. No. 107-68, Nov. 12, 2001. *Pub. L. No. 104-1, Jan. 23, 1995. Results in Brief AOC has demonstrated a commitment to organizational transformation through the management improvements it has planned and under way, such as commencing a new strategic planning effort that focuses on developing mission-critical goals. To build upon this commitment and achieve the magnitude of change needed, AOC needs to establish a management and accountability framework as the centerpiece of its transformation efforts. This framework includes (1) demonstrating top leadership commitment to organizational transformation, (2) involving key congressional and other stakeholders in developing an AOC-wide strategic plan, (3) using the strategic plan as the foundation for aligning activities, core processes, and resources to support mission-related outcomes, (4) establishing a communications strategy to foster transformation and create shared expectations and build involvement, (5) developing annual goals and a system for measuring performance, and (6) strategically managing AOC's human capital and information technology to drive transformation and to support the accomplishment of agency goals. To support its transformation initiatives and to cope with shifting environments and evolving demands and priorities, AOC also should continue to develop its management infrastructure and controls in the areas of human capital, financial, and information technology management. Establishing a management and accountability framework and further developing its management infrastructure and controls can also help AOC improve the performance of program areas of long-standing concern to AOC's employees and congressional stakeholders-worker safety, project management, and recycling. The change under way at AOC will require further long-term and concerted action on the part of AOC, the Congress, and other interested parties. Organizational transformation does not come quickly or easily. However, such transformation is possible through focused efforts and careful and thorough planning. In that regard, GAO makes recommendations to the Architect of the Capitol, and suggests that the Congress consider actions directed at supporting this transformation and improving the strategic and operational management of AOC. In responding to this report, AOC generally agreed with our findings, conclusions, and recommendations. Principal Findings and Strategic Management AOC has demonstrated a commitment to organizational transformation To better serve the Congress, central AOC management needs to build the capability to define goals, set priorities, ensure follow-through, monitor progress, and establish accountability for results. Therefore, as a first priority, AOC needs to establish a management and accountability framework to help it lead and execute such organizational transformation. This framework includes (1) demonstrating top leadership commitment to organizational transformation, (2) involving key congressional and other stakeholders in developing an AOC-wide strategic plan, (3) using the strategic plan as the foundation for aligning activities, core processes, and resources to support mission-related outcomes, (4) establishing a communications strategy to foster transformation and create shared expectations and build involvement, (5) developing annual goals and a system for measuring performance, and (6) strategically managing AOC's human capital to support the accomplishment of agency goals. Making such fundamental changes in AOC's culture will require a longterm, concerted effort. Given the nature and scope of changes needed and under way at AOC, it can demonstrate that progress is being made along the way by establishing action-oriented implementation goals over the long term, and a time line with milestone dates to track the organization's progress towards those achieving those implementation goals. To implement the management and accountability framework, GAO found that AOC needs to (1) elevate attention on management issues and organizational transformation, (2) integrate various key management and transformation efforts, and (3) institutionalize accountability for addressing management issues and leading organizational transformation. |