The equation Q × T ÷ OE is a universal formula to capture the performance over time of any system of work in government.
Q = Quality, or effectiveness of the work completed (%)
T = Throughput, or units of work completed (#)
OE = Operating Expenses, or total cost of operating the system ($)
It compares ongoing performance trends to those of a baseline period. Trends should be improved by first influencing quality, then speed - not simply by cutting costs - to maximize taxpayer dollars. Quality is the utmost indicator for whether a system is meeting its ultimate goal.
QT/OE captures the overall outputs that systems produce today, encompassing separate process and individual performance metrics.
THE GOMB JOURNEY
In 2013, the Governor’s Office of Planning and Budget was restructured as the Governor’s Office of Management and Budget (GOMB), coinciding with Governor Herbert’s ambitious challenge to cabinet-level state agencies to improve operational performance by 25% in four years. By January 2017, with the support of GOMB’s SUCCESS Framework, overall performance improved by 27.4%*. And while this is a remarkable result, the work of improvement is never over. The Governor has charged GOMB to work with all cabinet-level state agencies to achieve an additional 25% improvement, and agencies have already begun to do so.
* Improvement was calculated using a formula that takes into account quality, units of work completed, and operating expenses allowing diverse government functions, from water rights inspections to managing child welfare, to be tracked uniformly so GOMB could aggregate performance across state government.