1. The Catholic University of America Human Resources Realignment Project President’s Council October 8, 2002

2. Institutional Assets Fiscal Physical Technological Human

3. Value of Human Capital Education is a Service Industry Service Industries are Dependent on the Quality of Their Employees Employees are the University’s Most Critical Asset Both Faculty and Staff Ensure the University’s Success in Fulfilling its Mission and Strategic Plan

4. Impact of Human Capital on the Strategic Plan Pillar 1: Administrators, Faculty and Staff Dedicated to the University’s Mission Will Enable CUA to Excel as a Leader in Catholic Higher Education Pillar 2: A “First-Rate” Faculty of Scholars, Along with an Excellent Support Staff, Will Allow the University to Achieve Excellence in Graduate Research Pillar 3: A Quality Faculty and Staff Will Foster Excellence in Teaching and Learning, Both Inside and Outside the Classroom

5. Cost of Human Capital  Employees Represent the University’s Largest Expense Item:  65% of Total FY 2003 Operating Budget  Employment Related Matters Represent the Largest Risk to the University

6. How Can CUA Maximize its Human Capital While Controlling the Cost?

7. Institutional Efforts  Develop its Human Capital  Recruit and Hire High Quality Faculty and Staff  Select Employees Who Support CUA’s Mission  Cultivate its Human Capital  Provide a Safe Working Environment  Offer Employee Development Programs  Teach Managers to Encourage and Promote Innovation and Creativity

8. Institutional Efforts (Cont.)  Invest-In its Human Capital  Provide a Fair Compensation Structure  Offer Competitive Benefits Program  Develop and Promote Creative Reward Programs  Manage its Human Capital  Control Hiring\Payroll Costs  Manage Benefit Programs  Ensure Compliance with Federal and D.C. Employment Regulations

9. Employment Cycle Develop Cultivate Invest CUA Recruitment Efforts Training Programs Common Goals Attractive Culture Total Compensation Strategy

10. How Can CUA Develop, Cultivate, Invest-In and Manage Its Human Capital?

11. Project Goals Develop a Philosophy for the Management of Human Capital at CUA Define the Operating Principles for the Human Resources Office in Support of the University’s Strategic Plan Promote Prompt, Courteous and Professional Services to Constituents of the HR Office: President and Vice Presidents Campus Departments Employees

12. Project Goals (cont.)  Improve Operating Efficiencies by Automating HR Processes Institute an Equitable Compensation Program Consistent with CUA’s Funding Ability Enable Manager and Employee Self- Sufficiency Through the Secure Distribution of Information

13. Project Steps Define the University’s Philosophy for Managing Human Capital Define the Office of Human Resources’ Role in Support of the Institutional Philosophy Redesign HR Processes Design, Develop and Implement a Staff Compensation Program

14. Project Steps (cont.)  Identify and Implement “Quick Wins” Develop a New Organization Structure for HR to Support Redesigned Processes and Strategic Roles Implement the PeopleSoft Human Resources System

15. Operating Principals by Functional Areas Employment Employee Orientation & Communications Compensation Benefits Training and Development Organizational Development Employee Relations Labor Relations

16. Project Organization Process Redesign Effort Dave Maddox (Consultant) Committee of 10 - 15 Members Staff Compensation Program Mercer (Consultant) Analysis Team of 5 - 10 Members

17. Process Redesign Committee (Proposed)  Charles Mann, Associate VP (Chair)  Barbara Coughlin, Dir., Human Resources  Craig Parker, General Counsel  Frank Persico – Vice President & Chief of Staff  Kevin Forbes, Business & Economics Chair  Sara Thompson – Dean, Metropolitan College  Peter Cimbolic – Vice Provost & Dean of Graduate Studies

18. Process Redesign Committee (Proposed)  Michael Kanne – Assoc. Dean, Law School  Zia Mafaher – Director, CPIT  Michelene Sheehy – Associate Treasurer and Budget Director  Alan Goodman – Director of Career Services  Katherine Boone - Director of Housing  Rochell Raymond – Payroll Director  Kevin Petersen – Dir., Facilities & Maint.  Kevin Woods – Implementation Specialist

19. Staff Compensation Analysis Team (Proposed) Barbara Coughlin, Dir. of Human Resources (Chair) Chuck Mann, Associate VP Laura Burhenn, HR Specialist Brian O’Connell, Budget Analyst Estee Mendoza, Assist. to the Provost Carol Matlack, Operations Mgr. for VSL Schlain Schmidt, Implementation Specialist

20. Project Schedule Process Redesign Study 11/02 – 08/03 Staff Compensation Study 11/02 – 04/03 HR System Implementation 09/03 – 12/04

21. Project Budget Current:  Process Redesign Effort$ 120,000  Staff Compensation Study$ 80,000 *  Sub-Total$ 200,000 Future:  Hardware for HR System$ 620,000  Supporting Software$ 80,000  Training for HR System$ 100,000  Implementation Assistance$ 200,000  Sub-Total$1,000,000 * Does not include potential salary adjustments.