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Management Partners - Cost ProposalManagement Partners September 9, 2016 Mr. Gabriel Gonzalez City Administrator City Hall 7351 Rosanna Street Gilroy, CA 95020 Dear Mr. Gonzalez: Management Partners is pleased to have been selected through the City's request for qualifications (RFQ) process. Based on our discussions with you and your staff, we have revised our original scope to concentrate on the development review process. As we proceed with that work, we will examine staffing and how services are delivered with the goal of'- identifying optimum staffing and process improvements. Activity 1: Start Project and Gather Information Management Partners will begin this project with a careful learning phase, starting with a meeting with you, the leaders of the development review process, and others you may designate to ensure we have a clear understanding of your objectives. During the kick -off meeting we will confirm the work plan and schedule so our proposed scope of work is aligned precisely to meet your goals and objectives. The project start -up activity will form the foundation for the partnership between our project team and the City. We understand that the work associated with this review is in addition to the normal work of the organization and must be integrated in a way that minimizes disruption. Throughout the project we will keep you informed of our progress. During this activity we will also request and review relevant background information such as organization charts, job descriptions, workload information, historical budget and staffing data, performance indicators, and policies and procedures. We will proceed with confidential interviews with up to 15 individuals or small groups of managers and supervisors to obtain a thorough overview of the development review process as well as an understanding of how the work is accomplished. During interviews we will seek input about ideas for improvement and suggestions to optimize efficiency. 1730 MADISON ROAD • CINCINNATI, OH 45206 • 513 8615400 • FAx 513 8613480 MANAGEMENTPARTNERS.COM 2107 NORTH FIRST STREET, SUITE 470 • SAN JOSE, CALIFORNIA 95131 • 408 437 5400 • FAx 408 453 6191 3152 RED HILL AVENUE, SUITE 210 • COSTA MESA, CALIFORNIA 92626 • 949 2221082 • FAx 408 453 6191 Mr. Gabriel Gonzalez Page 2 Activity 2: Analyze Current Operations Management Partners will review and analyze the City's existing policies, procedures, strategies and performance data, including how work is planned and managed. Through this analysis, we will identify how well current Community Development policies and procedures promote consistent customer service and transparent workflow. In addition to reviewing the use of information technology, we will observe counter operations to understand how customers are served and the types of information available to them both electronically and in print. We will also observe the Technical Advisory Committee and Development Review Group meetings to understand how internal decisions are made and shared with customers. As part of this activity, we will also assess staffing needs, paying particular attention to whether vacant positions should be filled as configured. We will also examine the use of contract employees and, as appropriate, make recommendations about the best use of permanent staff positions and contractors. The information obtained from department managers and key process staff will be complemented by interviews with applicants and stakeholders in Activity 3. Doing so will round out Management Partners' team members understanding of information and communication important to the submission of complete applications and timely reviews. Activity 3: Solicit Stakeholder Input During this activity we will solicit input about what is working well with the development review process and ideas for improvement from customers and staff. To understand the effectiveness of any service operation, it is important to hear from those who use the service. Given the nature of a city development review process, we know that confidential individual interviews provide the best means to hear from a representative sampling of different types of major customers. Management Partners will conduct up to 12 customer interviews to understand how frequent applicants and users of the development process view the City's service. An important step to understanding the customer perspective is to ask: How well does it work? We will conduct individual interviews with developers, architects, engineers, and contractors selected by the City to ascertain their perspectives about perceived strengths, weaknesses and opportunities for improvement. We will inquire about their experiences with customer service, cycle times, fees, process complexity and transparency, and any other issues and insights they think relevant to the analysis. Since there are differences in perspective among users and various types of interactions within the City, care will be taken to reflect this diversity in the group of process users asked to participate in interviews. Management Partners' team members are skilled at conducting confidential interviews and in sifting the resulting input to inform the overall process of learning. To assure and preserve participant confidentiality we will work closely with the City's project manager to establish an appropriate location for the meetings. Upon completion of the interviews we will prepare a summary of common themes, which will be included in the project report. ft; Mr. Gabriel Gonzalez Page 3 Because the department suffered from major staffing cuts during the recent recession, we understand that staff has been stressed. We know that employees in every organization have sound suggestions for making positive changes and this review provides an opportunity to hear their ideas and opinions about what is working well and what could be improved. We will prepare and administer a confidential survey of Community Development Department employees to learn their views and to solicit their suggestions. We will work with the City to encourage all employees to participate. Once the survey is concluded, we will prepare a summary of the results and include it as part of the project report. Activity 4: Prepare Process Maps During this activity we will conduct meetings with frontline and supervisory staff to map the key business processes. We will involve representatives from the various departments and programs, as necessary to get a full picture of the major processes. We anticipate creating as many as 17 process maps. Doing so will provide useful insight about staff functions, tasks, and relationships used in work processes and will identify redundancies, process flow bottlenecks, inefficiencies in communication and the use of staff, technology, and other resources key to assisting development review customers. Once we have a draft set of process maps, we will return them to City staff for feedback and validation. We will then meet to hear about adjustments to ensure they reflect current processes. As we develop the maps we will discuss existing tools and technology used in customer service functions and intra - department interfaces. We will also take time to explore the root causes of specific issues and better understand observations that emerge from the interviews. Activity 5: Report Results Management Partners will next focus on analyzing the information we obtained from all sources. We will evaluate what staffing levels are needed to provide excellent customer service and meet the City's future requirements as well as provide recommendations about operational improvements resulting from interviews and best practices. Once we have analyzed the information, we will organize our observations and preliminary recommendations and meet with you and your staff to discuss them. The discussion and feedback will provide valuable information that will be useful as we prepare the project report. After receiving feedback, we will prepare a project report reflecting our analysis with recommendations to optimize the development review process as well as staffing. We take pains to ensure that our recommendations are organized in an easy to understand format and presented in a positive manner. We will review the draft report with you and appropriate managers to ensure factual accuracy prior to preparing the final project report but of course Management Partners takes responsibility for the ultimate content of our report. Our expectation is that every recommendation in the report will, once implemented, improve the efficiency or effectiveness of operations. Mr. Gabriel Gonzalez Page 4 Activity 6: Support Implementation To help the City execute the recommended changes, Management Partners will prepare a draft Implementation Action Plan (IAP). The action plan is an executable plan of work that provides a schedule, milestones, priority, and assigned responsibility for each recommendation. The IAP will be delivered in draft form, recognizing that an adopted implementation plan must contain actual dates for completion, and to set those dates, management will need to consider how to integrate the work of the draft Action Plan with the ongoing work of the City organization, and particularly the departments involved with development review. Cost Proposal Management Partners estimates that 348 hours will be required to complete the project described in the scope of work above. The following table shows a breakdown of the cost for each activity that will be undertaken. Activity 1: Start Project and Interview Staff Cost $ 10,510 2: Analyze Current Operations 7,540 3: Solicit Stakeholder Input 7,120 4: Prepare Process Maps 15,870 5: Report Results 11,360 6: Support Implementation 2,400 Total $54,800 Conclusion We are pleased to provide this scope of work to you. Once we receive a notice to proceed we will develop a draft schedule and provide it for discussion at the kickoff meeting. Please do not hesitate to call Amy Paul (513) 309 -3709 or me if we can answer any questions about this scope or the work we are anticipating. We look forward to the opportunity of working with you and your staff. Sincerely, Gerald E. Newfarmer President and CEO Accepted for the City of Gilroy by Name: 4-0"kL. S�' Title: �v .�.�: �►tit,� ,_ Date: J