Section Three:
Program Management

While the first two sections ascertained the program's mission and strategic goals, the Program Management section examines the program's leadership. It is in this here that a program's success is attached to the stewardship of front-line managers.

To receive a score of "Effective" in the Program Management section, it is important that the agency collect performance data-both for the program and for contractors. More importantly, the collection of performance data allows managers to set ambitious yet meaningful, performance targets for the program. This section reinforces the Administration's insistence that managers be held accountable for performance standards, results, and costs.

Sample Question:
Are federal managers and program partners (grantees, sub-grantees, contractors, etc.) held accountable for cost, schedule, and performance results?

Elements of a "Yes" Answer:
To assign a "yes" answer, the agency must have identified which managers are responsible for achieving program outcomes and then have established performance standards for those managers. It would be required that program partners also achieve the specific performance standards outlined for them.

Additional Sample Question:
Does the agency estimate and budget for the full annual costs of operating the program (including all administrative costs and allocated overhead) so that program performance changes are identified with changes in funding levels?

Elements of a "Yes" Answer:
To assign a "yes" answer, the estimated program budget must include direct and indirect agency costs, including overhead, retirement and costs budgeted elsewhere. An integrated financial management system that fully allocates program costs to specific performance measures is the ideal situation, but as evidenced with "Improved Financial Management" identified as one of the five main areas of the President's Management Agenda, a consistent, defensible method of displaying the full cost of achieving performance goals is also acceptable.