July 2010

Chief Information Officer

Human Resources 

Line of Business

Target Requirements 

for Shared Service Centers 

Version 4.0
HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

Executive Summary 

The Human Resources Line of Business (HR LOB) Target Requirements for Shared 

Service Centers version 4.0 report defines target requirements for both “core” and “noncore” services. This set of detailed business, technical, and data requirements for Human 

Resource (HR) services outlines the expectations for Shared Service Centers (SSCs) and 

describe their role in the HR process by providing specifications for the efficient and 

successful delivery of services and solutions. Agencies can leverage the target 

requirements to identify which services to migrate to an SSC and which HR processes to 

retain. The results of SSC self-evaluations against target requirements can be used by 

agency to support its SSC selection and migration activities. 

The HR LOB target requirements report also: 

 Establishes a single comprehensive business process-driven vision for services 

and technology. 

 Provides an agency-driven basis for OMB and OPM to certify service providers. 

 Provides a consistent basis for each agency to select a service provider. 

 Provides a single cross-government blueprint for future service and technology 

design specifications. 

 Provides a starting point for identifying future performance measures. 

The Summary of Changes from Version 3.0 to Version 4.0 section describes changes to 

the target requirements including the transition to a database environment and the 

mapping of target requirements to service components from the HR LOB Service 

Component Model. These changes were implemented to make it easier for agencies and 

SSCs to understand and use the target requirements moving forward. Target 

requirements will evolve over time as agencies migrate to SSCs and will allow for and 

support the innovation and modernization of HR services. 

 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

Summary of Changes from Version 3.0 to Version 4.0 

Introduction to Changes 

Through Governmentwide multi–agency collaboration OPM continues to maintain and 

update the core and non-core requirements for the Human Resources Line of Business 

(HR LOB). The HR LOB Target Requirements for Shared Service Centers report 

provides the background and context necessary for shared service centers to understand 

these core and non-core target requirements. The report has been updated from Version 

3.0 to Version 4.0, which contains the updated target requirements that were developed in 

accordance with changes to policy and the recommendations of Federal stakeholder 

agencies. 

New Approach 

HR LOB has designed a new approach to access the updated target requirements. The 

most significant change to the HR LOB Target Requirements for Shared Service Centers 

Version 4.0 report is that the appendices containing the target requirements in table form 

have been removed from this report. Requirements are instead now easily accessible and 

searchable through a dynamic online database environment. The database contains all 

the target requirements and related information. 

The database also contains a new view of the target requirements. In this view, the target 

requirements are mapped to service components from the HR LOB Service Component 

Model Version 2.0. This mapping provides a services view of the target requirements and 

sets expectations for how SSCs are going to deliver specific services. 

Database Environment Capabilities 

The centralized database environment provides end-users the most up to date information 

on the requirements in real-time through multiple views and the ability to download 

target requirements information in both PDF and Excel CSV formats. The requirements 

are now searchable through two types of reports. The first report, Requirements by 

Function, queries the database and returns all the requirements associated with a given 

BRM function. The second report, Requirements by Service Component, queries the 

database and returns only the requirements associated with a given SCM service 

component. Both reports are easily searchable by the target requirements unique ID, and 

both reports provide information on the activities and processes for a given requirement. 

The target requirement database is available on the HR LOB website at 

http://www.opm.gov/egov/documents/requirements/index.asp. This site also contains a 

list of all the specific changes to the target requirements. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

Table of Contents 

I. INTRODUCTION.......................................................................................................................... 4

A. HR LOB INTRODUCTION .................................................................................................................. 5

B. REQUIREMENTS INTRODUCTION ....................................................................................................... 6

C. SHARED SERVICE CENTER EXPECTATIONS ....................................................................................... 7

D. REQUIREMENTS CHANGE PROCESS................................................................................................... 9

E. HR LOB CONCEPTUAL DESIGN...................................................................................................... 10

II. HR LOB CORE SERVICES CONCEPTUAL DESIGN.......................................................... 10

A. PERSONNEL ACTION ....................................................................................................................... 11

B. COMPENSATION MANAGEMENT (PAYROLL RELATED).................................................................... 12

C. BENEFITS MANAGEMENT................................................................................................................ 17

III. HR LOB NON-CORE SERVICES CONCEPTUAL DESIGN................................................ 19

A. HR STRATEGY ................................................................................................................................ 20

B. ORGANIZATION AND POSITION MANAGEMENT ............................................................................... 22

C. STAFF ACQUISITION........................................................................................................................ 24

D. PERFORMANCE MANAGEMENT ....................................................................................................... 28

E. COMPENSATION MANAGEMENT (NON-CORE)................................................................................. 31

F. HUMAN RESOURCES DEVELOPMENT .............................................................................................. 33

G. EMPLOYEE RELATIONS ................................................................................................................... 36

H. LABOR RELATIONS ......................................................................................................................... 39

I. SEPARATION MANAGEMENT........................................................................................................... 41

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

I. Introduction 

In the spring of 2004 the U.S. Office of Management and Budget (OMB) established five 

lines of business to identify ways in which services commonly found in numerous 

agencies could be provided in a more efficient manner. The Human Resources Line of 

Business (HR LOB), led by the Office of Personnel Management (OPM), was launched 

in 2004 to realize the potential of electronic government and redefine human resources 

service delivery for all civilian employees of the Executive Branch of the Federal 

Government. 

The HR LOB service delivery model is guided by the concept of “shared services.” 

Shared services generally are defined as the consolidation of administrative non-missioncritical processes into a stand-alone business enterprise that provides those services to 

other business units in an organization. 

The HR LOB Concept of Operations (CONOPS) proposes a near-term service delivery 

model in which HR services relating to human resources information systems (HRIS) and 

payroll operations move from the agencies to HR shared service centers (SSC). Over 

time, as HR shared service centers evolve and expand their capabilities, additional 

transactional and administrative activities may shift from the agency to the service center 

delivery mode. This approach will allow agencies to focus on the more strategic aspects 

of their core missions, while the shared service centers can focus on delivering 

administrative services efficiently, in a cost-effective manner and with a focus on the 

customer and service quality. 

This report describes expectations of shared service centers as they strive to achieve the 

HR LOB service delivery model. It describes the role of an SSC in the HR process and it 

provides specifications for delivery of services and solutions. The target requirements for 

the “core” business areas – including Compensation Management, Benefits Management, 

and activities that result in a personnel action – were first published in November 2005. 

The target requirements for the “non-core” business areas will be included for the first 

time in this report; these include the HR LOB sub-functions: HR Strategy, Organization 

and Position Management, Staff Acquisition, Performance Management, non-core 

processes in Compensation Management, HR Development, Employee Relations, Labor 

Relations, and Separation Management. 

Section 1, Introduction, describes the HR LOB initiative and explains the approach to HR 

LOB requirements. Section 2, HR LOB Core Requirements Conceptual Design, provides 

a process-driven concept of operations and high-level design for the three core HR LOB 

business areas. Section 3, HR LOB Non-core Requirements Conceptual Design, provides 

a process-driven concept of operations for the remaining HR LOB business areas. 

Requirements for core and non-core areas, originally available in Appendices A through 

L of the HR LOB Target Requirements For Shared Service Centers Version 3.0, have 

been consolidated into a database environment on the HR LOB website. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

A. HR LOB Introduction 

The vision of the HR LOB is to create a framework for governmentwide, modern, cost 

effective, standardized and interoperable HR solution(s) that provide common core 

functionality to support the strategic management of human capital. To realize this 

vision, the HR LOB is moving toward a Shared Service Center (SSC) model. In the HR 

LOB SSC delivery model, HR information system operations and some administratively 

intense non-mission critical HR activities will be migrated to shared service centers 

(SSCs). Moving HR information systems operations and some HR services to SSCs will 

free up agency HR personnel to perform more strategic HR functions and will afford the 

following potential business benefits: 

 Improved Management – Improve the governmentwide strategic management of 

human capital through: 

 Faster decision making 

 More informed policy making 

 More effective workforce management 

 Knowledge sharing and exchange 

 Better alignment of resources to agency missions 

 Cost Savings/Avoidance – Achieve or increase cost savings/avoidance for HR 

activities through: 

 Increased competition 

 Reduced duplication of labor and IT resources 

 Improved Customer Service – Improve customer services and increase customer 

satisfaction through: 

 Increased focus on client and on client value 

 Improved communication and responsiveness 

 Enhanced quality 

 Enhanced timeliness 

 Enhanced accuracy 

 Enhanced consistency 

 Operational Efficiencies – Achieve or increase operational efficiencies in the 

operation of human resources services through: 

 Reduced cycle times 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

 Improved access to information 

 Improved servicing ratio and response times 

B. Requirements Introduction 

Federal Enterprise Architecture (FEA) standards guide HR LOB efforts, which started 

with the definition of the Business Reference Model. During the period from September 

through December 2004, 271 people representing 33 Federal agencies met in a series of 

16 workshops to construct the HR LOB Business Reference Model (BRM version 1) – 

one of five FEA components. The result was an end-to-end process view of human 

resources for the Executive Branch of the U.S. Federal Government. During the period 

from October through November, 2005, 47 people representing 14 Federal agencies met 

in a series of four workshops to revise and improve BRM version 1. The resulting BRM 

version 2 is composed of 10 sub-functions that break down into 45 processes, which 

themselves break down into a total of 212 activities. 

In January 2005 an initiative was launched to define business and technical requirements 

around the BRM. The HR LOB Program designated three highly transactional, 

administratively intense areas to be the focus of this effort. Eighty-eight representatives 

from 24 agencies validated these requirements in a series of work sessions completed in 

the second half of 2005, and produced “core requirements” that specify services and 

supporting technology for: 

 Personnel Action processing 

 Compensation Management sub-function (Payroll related) 

 Benefits Management sub-function 

A second requirements definition effort was conducted over the course of FY 2006. One 

hundred and seventy-one representatives from 29 agencies participated in a series of 

work sessions to validate the “non-core requirements” that specify services and 

supporting technology for activities that fall within the remaining BRM sub-functions: 

 Human Resources Strategy 

 Organization and Position Management 

 Staff Acquisition 

 Performance Management 

 Compensation Management 

 Human Resources Development 

 Employee Relations 

 Labor Relations 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

 Separation Management 

Every BRM activity was scrutinized to determine whether it should be supported by a 

shared service center in the future or continue to be performed at the agency. Each BRM 

activity was then given one of the following designations: 

1. The activity will be performed in the future by the agency only. 

2. The activity will be performed in the future by an SSC only. 

3. The activity may be collaboratively performed in the future by some combination of 

both the agency and an SSC. 

These designations provided the basis for the scope of these requirements. Since the 

intention of the requirements in this document is to set expectations of shared service 

centers, requirements have been gathered and linked to those activities that will or could 

be supported by SSCs (2 and 3 above). Agency-only requirements (1 above) have not 

been included.

All of the core and non-core requirements have been consolidated into the Target 

Requirements for Shared Service Centers version 2. The benefits of investing in this 

coordinated set of expectations include: 

 A single comprehensive business process-driven vision for services and technology, 

 A consistent basis for each agency to select a shared service center, 

 A single cross-government blueprint for future service and technology design 

specifications, 

 A starting point for identifying future performance measures, and 

 A basis for testing core solutions in an open and transparent setting. 

Requirements describe business outcomes a shared service center could produce for each 

BRM sub-function and are not meant to provide design-level detail. Following this 

requirements initiative, SSCs will partner with customer agencies to establish business 

rules that are standard across the HR LOB and create design blueprints to expand these 

requirements into specifications that can be leveraged for system, process and role 

design. 

This approach was taken to foster innovation among SSCs, to encourage competition, to 

encourage customer involvement, and to decrease the need for maintenance over time. 

C. Shared Service Center Expectations 

This document sets expectations for service providers. Should a provider deliver any 

services, it will meet the requirements established in this document. Each requirement 

has a designated priority. The three priority designations are Mandatory, Critical, and 

Useful. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

1. Mandatory 

A mandatory requirement supports an essential mission-critical business need, statutory 

requirement, and/or regulatory requirement that must be implemented and met. The 

requirements also include best business practices that the Federal HR community has 

agreed must be adopted. A majority of the core requirements and many of the non-core 

requirements have been given a “mandatory” designation. 

Core Sub-function Expectations: 

1. OMB and OPM have established expectations that all mandatory requirements in the 

core sub-functions will be met. 

2. Non-core services requirements may be moved into the core at various times 

depending on new or changing business needs. 

Non-core Sub-function Expectations: 

 If an SSC chooses to offer services for any of the non-core services, it must meet the 

applicable mandatory requirements at the time it begins to provide services to the 

customer. 

2. Critical 

A critical requirement supports an essential business need likely to become mandatory at 

some point in the future. However, new legislation and policies may accelerate the 

change in requirements designation. A change management process has been established 

to control the timing around when critical requirements become mandatory and whether 

they belong in core services or in non-core services. 

3. Useful 

A useful requirement supports an important but nonessential business need that may 

become critical or mandatory in the future. SSCs will not be pressed to meet all useful 

requirements, but useful requirements will distinguish solutions and services in the 

marketplace. Over time, market forces may compel SSCs to meet useful requirements. 

Role 

Each requirement has also been associated with a “role.” The role designates the entity 

responsible for fulfilling the requirement, and the “role” is documented in the 

requirements matrix in the “who” column. Since these requirements set expectations of 

shared service centers, there exist only two alternatives for role designation: 

 SSC – The shared service center is responsible for fulfilling the requirement. 

 SSC and/or agency – The shared service center and the agency agree on roles. The 

SSC, the agency or collaboration between agency and SSC fulfill the requirement. 

Under the HR LOB CONOPS, services agencies must obtain from SSCs are those 

relating to HR information systems and payroll operations. Customer agencies are not 

mandated to seek other services from an SSC in the near-term. This migration of highly 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

transactional services to an SSC may help an agency achieve operational efficiencies and 

increase its focus on the strategic management of human capital. Shared service centers 

must also take into account e-Government initiatives and capitalize on existing and 

planned systems investments. Nothing in these requirements implies or authorizes the 

performance of inherently governmental functions by non-governmental entities. 

D. Requirements Change Process 

Over time, requirements are expected to change and evolve because of new or revised 

legislation, change in regulations, industry trends and other external factors. The 

requirements change process (see Figure 1) outlines a standardized method for reviewing 

the change requests and revising the requirements as appropriate, outside the planned 

annual requirements update process. As agencies develop their unique requirements in 

preparation for migration to an SSC innovative and best practice requirements developed 

should be shared with the HR LOB to ensure the requirements for SSCs reflect customer 

agency service delivery expectations. 

All requirements change requests should be initiated by requesting a Requirements 

Change Request form from the HR LOB at HRLOB@opm.gov. Requirements change 

requests must be officially proposed by a member of the HR LOB Multi-Agency 

Executive Strategy Committee (MAESC) or the Requirements Board. The HR LOB will 

review each requirements change request and set an initial priority for addressing the 

change request. The requirements change request will then be passed on to the 

appropriate Requirements Workgroup, which will evaluate the request and make 

recommendations to the Requirements Board on the changes requested. 

The Requirements Board will review all recommendations and work to reach 

concurrence on the revisions. Once Requirements Board concurrence is achieved, the 

changes will be sent to the Multi-Agency Executive Strategy Committee (MAESC) for 

their review and concurrence. After MAESC review and concurrence, the HR LOB will 

update the requirements to reflect the agreed-upon changes to the requirements. 

The HR LOB will issue updates for immediate changes within one month after MAESC 

approval. The HR LOB will review recommendations not designated with immediate 

priority during its annual review of requirements. During this review, requirements will 

be reviewed to ensure changes to law, regulation, best business practices, and MAESCapproved changes are captured and updated. The HR LOB will publish changes by 

September 30 each year. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

Requirements Change Process

immediate

annual

Provide

Feedback

Receive

Requirement

Change

Request

Accumulate

for Annual

Review

Achieve

MAESC

Concurrence

Publish

Revised

Requirements

Addendum

Review

Request / 

Set Priority

Evaluate

Request / 

Priority

HR LOB Requirements Workgroup Requirements Board MAESC

Provide

Recommendation

Achieve

RB

Concurrence

Provide

Feedback

Provide

Feedback

Provide

Feedback

Requirements Change Process

immediate

annual

Provide

Feedback

Receive

Requirement

Change

Request

Accumulate

for Annual

Review

Achieve

MAESC

Concurrence

Publish

Revised

Requirements

Addendum

Review

Request / 

Set Priority

Evaluate

Request / 

Priority

HR LOB Requirements Workgroup Requirements Board MAESC

Provide

Recommendation

Achieve

RB

Concurrence

Provide

Feedback

Provide

Feedback

Provide

Feedback

Figure 1: Requirements Change Process 

E. HR LOB Conceptual Design 

The HR LOB Conceptual Design is a BRM process-driven view of the future HR service 

delivery model for the U.S. Federal Government. It covers a total of 11 areas – one for 

each BRM sub-function plus Personnel Action, which is a capability that spans subfunctions. A process view concept of operations, delineating the role of the agency 

versus the shared service center for selected BRM activities, is presented for each subfunction. Sub-functions have been designated as “core” and “non-core” and are 

described in the respective sections that follow. 

II. HR LOB Core Services Conceptual Design 

The HR LOB Core Services Conceptual Design includes three areas validated by crossagency work groups: 

 Personnel Action 

 Compensation Management (Payroll related) 

 Benefits Management 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

A process view concept of operations, delineating the role of the agency versus that of the 

shared service center for selected BRM activities, is presented for each sub-function. 

Also included are high level design points that provided the basis for the requirements 

found in this report. These design points will guide the innovations expected to be 

adopted over time. 

A. Personnel Action 

The Office of Personnel Management’s Guide to Processing Personnel Actions defines a 

Personnel Action as “the process necessary to appoint, separate or make other personnel 

changes.” The concept of personnel action is not specific to a single HR LOB Business 

Reference Model sub-function. Rather, it is a concept converging with multiple activities 

across the BRM – activities resulting in a change to employee status or other key 

employee data. 

The HR LOB shared service centers will provide a personnel action solution that offers 

the capability to initiate and process a personnel action. The solution will use automated 

workflow to route the personnel action through its approval sequence and provide 

appropriate notifications. It will seamlessly connect to other HR LOB and other e-Gov 

HR solutions. Nothing in the Personnel Action requirements implies or authorizes the 

performance of inherently governmental functions by non-governmental entities. 

The remainder of this section details the roles of the shared service center and the agency 

in personnel action-related activities and describes the innovations that shared service 

centers are expected to adopt. 

1. Personnel Action Concept of Operations 

Personnel action is a capability that supports multiple HR LOB Business Reference 

Model sub-functions. Agency and SSC involvement in this concept of personnel action 

is described in this sub-section. 

Agency personnel will continue to initiate and approve personnel actions. Employees 

will receive electronic notification of personnel actions that have been processed on their 

behalf. Agency personnel will also continue to perform manual processing, should any 

remain. SSCs will provide the tools that will automate the process. SSCs will also 

capture and retain raw data that will enable performance tracking. 

2. Innovation 

Shared service centers will be expected to deliver solutions to customer agencies that are 

both substantive and innovative. The following design points describe expectations of 

the personnel action solution. They provide the conceptual basis for the personnel action 

requirements. 

 Personnel action data entry will be via a web-based facility that will allow for data 

entry from any secure device. The facility will exploit the use of electronic 

signatures, eliminating the need for paper forms. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

 The personnel action facility will utilize web-based form(s) tailored to the particular 

nature of action (NOA) being entered. Once agencies adopt this capability, these 

forms will link to and become part of the employee’s eOPF. Drop-down boxes will 

provide lists of values specific to the NOA. Data will be auto-populated to the extent 

possible with existing data specific to the position, role and/or employee. Data edits 

will decrease the entry of erroneous information and will provide contextual guidance 

regarding errors. Edits will also provide links to relevant policies. Effective dating 

will enable entry of personnel actions at any time. 

 The personnel action facility will use automated workflow to manage the personnel 

action process. Personnel actions will be electronically moved through the chain of 

approval and notification, based on business rules. The chain of approval and 

notification will be tailored to the NOA. An electronic notification will be provided 

to the employee informing him or her that a personnel action has been processed on 

his or her behalf -- eliminating the need for a paper notification – after approval and 

as applicable. Any notifications requiring additional action will provide a link to the 

corresponding web-based form. Any manual processing may be delegated by the 

initiator to other individuals. 

 Employee and manager checklists will be generated to manage follow-up actions. 

 Integrated systems and interfaces will eliminate the need for duplicate data entry. 

Data updates will be cascaded to other systems as appropriate. Data captured on the 

employment application and during entry on duty will be retained and will be 

available throughout an employee’s tenure. 

 Personnel action-related performance measures will be identified and put into the 

service level agreement. 

 Tracking data will be captured and retained to provide raw data for performance 

measurement, audits and trend analysis. 

 People will be trained on personnel action concepts and on the use of the new 

personnel action facility. 

B. Compensation Management (Payroll related) 

The HR LOB Business Reference Model defines the sub-function Compensation

Management as “the adoption of nondiscretionary (government-wide), agencydiscretionary and alternative compensation programs that are fair and equitable, and that 

promote employee retention. Award and bonus payout strategies are devised and 

administered. Work schedules are established and time worked is recorded and 

approved. Leave taken is reconciled against leave accrued to determine leave balances. 

Payroll is processed and reconciled, and employee pay and other third-party 

disbursements are generated. Labor costs are distributed, as appropriate, to the 

appropriate cost accounts.” 

Shared service centers (SSCs) will play a key role in core compensation management 

activities. SSCs will provide a compensation management solution that includes tools to 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

support managers’ pay and award decisions. The solution will use self-service and 

automated workflow to manage time reporting and approval. SSCs will also offer selfservice capabilities to enable employees to enter employee-furnished payroll data (e.g., 

direct deposit, withholding). SSCs will provide automated support for leave processing. 

They will also manage the end-to-end payroll process including setup, processing, 

disbursement, reporting and compliance. SSCs will provide employees and managers 

with secure access to leave and pay data. They will also provide customer support to 

employees and managers for any leave, pay or time and attendance questions or issues. 

An SSC’s solution will seamlessly connect to other HR LOB and other e-Gov HR 

solutions. Nothing in the Compensation Management (payroll related) requirements 

implies or authorizes the performance of inherently governmental functions by nongovernmental entities. SSCs may also support non-core requirements that will be 

discussed in Section 2. 

The remainder of this section details the roles of the shared service center and the agency 

in compensation management activities and it describes the innovations that shared 

service centers are expected to adopt. 

1. Compensation Management Concept of Operations 

The Compensation Management sub-function of the HR LOB Business Reference Model 

contains five processes that break down to a total of 23 activities. Shared service centers 

will support 13 of the 23 BRM core activities. Agency and SSC involvement in these 13 

activities is described below. 

5.2.3 Set Bonus or Award Pay. Agency personnel will review bonus/award 

information, determine bonus/award amounts and input bonus/award data in the payroll 

or other designated system provided by SSCs. They will also determine eligibility for 

pay changes and enter pay data in the payroll or any other designated system as required. 

SSCs will capture bonus/award and pay data in the payroll or other designated system. 

5.3.1 Identify Employees to Receive Pay or Leave Change. Agency personnel will 

determine eligibility for and the amount of pay changes (e.g., manual salary increase, 

temporary salary increase, salary changes due to promotion, demotion and relocation). 

SSCs will capture pay data in the payroll or any other designated system. 

5.4.1 Schedule Employees. The manager or supervisor will schedule employees based 

on project and/or work requirements. SSCs will capture employee schedules. 

5.4.2 Attest Attendance Data. Agency employees will record their time worked (e.g., 

premium pay, differentials, hazard pay) on an exceptions basis if possible. Employees 

will also record leave taken. SSCs will capture employee time entry. 

5.4.3 Manage Usage of Leave and Paid Time Off. Employees will request leave via 

self-service. Agencies will use automated workflow tools to review and approve leave 

requests. SSCs will track employee leave accrual and usage (e.g., FMLA, leave banks, 

voluntary leave transfer, home leave) based on time worked and leave taken, verify 

eligibility for leave and requested leave duration, respond to employee questions, and 

resolve basic leave issues per guidelines and business rules. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

5.4.4 Certify Employee Attendance Data. Agency managers or other designated 

approvers will certify employee-entered attendance data is accurate. SSCs will capture 

the time approval. 

5.5.1 Manage Employee-Furnished Payroll Data. Employees will enter payroll data 

(e.g., direct deposit, voluntary deductions, withholding information) via self-service. 

Alternative means will also be available (e.g., e-mail, fax, mail). SSCs will capture 

employee-derived payroll data. 

5.5.2 Process On-Cycle Payroll. SSCs will calculate gross pay, apply taxes and 

deductions to calculate net pay, and generate and disburse pay (e.g., employee, taxes, 

allotments). 

5.5.3 Process Off-Cycle Payroll. To accommodate exception conditions, SSCs will 

operate outside the scheduled pay cycle and calculate gross pay, apply taxes and 

deductions to calculate net pay, verify net pay, and generate and distribute paychecks or 

leave and earnings statements (LES). These will typically be one-time payments (e.g., 

awards, advances, defactos, and settlements). 

5.5.4 Distribute Labor Costs. SSCs will allocate payroll costs to projects or accounts 

for any time reported against a project or account code. They will transmit labor cost 

allocation information to the general ledger and other financial account systems or third 

parties. 

5.5.5 Process Disbursements. SSCs will calculate and send payments to third parties 

and reconcile payment data with the third parties. 

5.5.6 Handle Payroll Issues. SSCs will provide help-desk support to respond to or refer 

employee payroll issues. Support will be web-based self-service supplemented by tiered 

telephone support. SSCs will be evaluated on their ability to resolve reported payroll 

issues. 

5.5.7 Perform Periodic Reporting. SSCs will make periodic standard reports available 

to agencies by pay period, quarterly, annually and as requested. They will also provide 

ad hoc reporting capabilities to the agency. 

2. Innovation 

Shared service centers will be expected to deliver solutions to customer agencies that are 

both substantive and innovative. The following design points describe expectations of 

the compensation management solution. They provide the conceptual basis for the 

detailed core compensation management requirements. 

Overall Compensation Management: 

 SSCs will provide integrated systems with appropriate interfaces that will eliminate 

the need for duplicate data entry. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

 Employees will have self-service capabilities for entry of employee-derived payroll 

data (e.g., direct deposit data, credit hour requests, compensatory time requests) and 

for visibility into leave balances and pay data. 

 SSCs will provide web-based process automation and workflow including 

notification and approval capabilities. To support this workflow capability, SSCs will 

deliver multichannel customer support including web-based help, phone assistance 

and tiered troubleshooting assistance. 

 SSCs will work with customers to identify and prioritize their needs. They will 

provide robust tools for analysis (e.g., payroll forecasts and what-if scenarios for 

policy changes) plus standard and ad hoc reporting capabilities. 

Set Bonus, Monetary Award and Pay Changes: 

 SSCs will provide a tool that supports invoking step increases based on preestablished business rules and with appropriate supervisory approvals. SSCs will also 

maintain pay bands and associate pay bands to pay ranges. SSCs will provide 

managers notification of pending increases and will prompt managers to certify the 

increases. Managers will either certify an increase or notify an SSC that the increase 

is denied due to unacceptable performance. 

 SSCs will provide tools to support managers’ compensation decisions (e.g., pay pool 

manager, market-based compensation subscription services). This information will be 

used to generate pay change personnel actions. SSCs will provide timely training to 

managers and supervisors on these tools. 

 SSCs will provide the capability to tie bonus, applicable awards and pay changes to 

performance review results. 

 SSCs will provide the means to move pay change data automatically through the 

chain of approval and notify appropriate individuals as necessary via workflow. They 

will also provide adequate levels of security that allow only authorized, appropriate 

individuals secure access to individual performance data to justify performance-based 

pay changes. 

Manage Leave: 

 SSCs will provide a tool that supports all paid and unpaid leave types, automatically 

manages leave balances in accordance with governmentwide and agency-specific 

policies and guidelines, and provides employees with visibility into their leave 

balances. The tool will include automatic triggers for continuation of benefits (for 

unpaid leave) and will allow settlement of leave accounts (e.g., separation, transfer 

between agencies and SSCs). 

 SSCs will provide employee and manager self-service and workflow to manage leave 

processing, including leave request submission, balance verification, electronic 

approval routing, leave end-date tracking, leave usage extension requests and leave 

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donation support. SSCs will include leave reporting capabilities at the employee, 

group, department and agency levels. 

Manage Time and Attendance: 

 SSCs will provide scheduling tools that support work schedules and tours of duty, 

specific employee schedule by time period, rescheduling, comments and project labor 

cost analysis. The solution will provide a view of scheduled leave across groups of 

employees and will identify not-to-exceed exceptions by project, group of employees 

or position. 

 SSCs will provide a tool that allows time to be entered electronically (e.g., web-based 

capability, badge swipes) and on an exception basis as appropriate. The capability 

will exist to associate time, by code or employee, with a project code. 

 SSCs will provide a web-based time approval tool that uses electronic workflow to 

manage the approval process. The tool will accommodate out-of-office situations, 

moving the approval through an alternative routing. The tool will send notifications 

regarding overdue actions or approvals. It will make time data available to payroll 

and the general ledger and will provide visibility into time data for employees and 

managers. 

Manage Payroll: 

 SSCs will provide a real-time, web-enabled, self-service tool that allows an employee 

to enter employee-derived payroll data (e.g., direct deposit data, credit hour requests, 

and compensatory time requests). 

 SSCs will work to standardize business practices through the use of business rules, 

edits and automated processes. They will use standardized pay periods, pay dates and 

numbering of pay dates. 

 SSCs will maximize the use of electronic transfer and secure web-based portals to 

make third party payments/remittances, allow employees to access their pay history, 

provide standardized leave and earning statements, and provide real-time access to 

statutory and regulatory information. 

Distribute Labor Costs: 

 SSCs will provide a governmentwide labor distribution system so agencies can feed 

standard data into a single strategic data warehouse for downstream use (e.g., finance, 

project managers). SSCs will reconcile labor cost data against total charges made to 

appropriations. 

Perform Periodic Reporting: 

 SSCs will provide any-time, any-place secure access to reports. This facility will 

support standard and ad hoc reporting and secure electronic export of W-2 data to 

employees’ tax programs for streamlined tax preparation. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

C. Benefits Management 

The HR LOB Business Reference Model defines the sub-function Benefits Management 

as “designs, develops and implements benefit programs to attract, retain and support 

current and former agency employees. This sub-function includes: establishing and 

communicating benefits programs, processing benefits actions, and interacting as 

necessary with third-party benefits providers.” 

The HR LOB shared service centers will provide a benefits solution that offers webbased employee self-service capabilities for benefits enrollment. For governmentwide 

benefits programs, plus selected agency-specific benefits programs, SSCs will activate 

benefits enrollments based on predefined business rules and make benefits participation 

data available to payroll and to benefits providers. SSCs will deliver benefits 

communication and may provide benefits counseling to employees. For agency-specific 

benefits programs, SSCs will provide consultative support to agencies on communication 

content and approach and will provide facilities and media to deliver benefits 

communication to employees. Nothing in the Benefits Management requirements 

implies or authorizes the performance of inherently governmental functions by nongovernmental entities. 

The remainder of this section details the roles of the shared service centers and the 

agencies in benefits management activities and it describes the innovations that shared 

service centers are expected to adopt. 

1. Benefits Management Concept of Operations 

The Benefits Management sub-function of the HR LOB Business Reference Model 

contains two processes that break down to a total of nine activities. Shared service 

centers will support seven of the nine BRM activities. Agency and SSC involvement in 

these seven activities is described below. 

The following four activities apply where agencies are establishing their own 

discretionary benefits programs. 

6.1.3 Coordinate Process Implementation with Partners and Providers. Agencies 

will continue to drive implementation of agency discretionary benefits programs. They 

will negotiate these benefits with providers, approve implementation plans and authorize 

implementation as milestones are reached. SSCs will partner in program implementation 

activities. They will develop new or modify existing processes, roles and technology as 

required by the benefit program, based on implementation plans approved by the agency. 

They will also follow through with testing these components and staging them to a 

production environment. 

6.1.4 Create Benefits Communication Approach and Content. Agencies will 

continue to devise the overall strategy and approach to communicate agency 

discretionary benefits programs. Agencies will also determine the overall content to be 

delivered. SSCs will provide consultative support to agencies on benefits 

communication, including advice on content, timing and media. SSCs may also prepare 

content for these communications. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

6.2.1 Deliver Benefits Communication. SSCs may serve as providers of benefits 

counseling to employees. Additionally, SSCs may deliver benefits communication, 

making it available via various media. 

6.2.2 Manage Provider Contracts. Agencies will monitor benefits service levels with 

providers for agency-specific benefits programs. Agencies will track performance over 

time and renegotiate service level agreements as end dates near. SSCs will provide 

available data as needed to enable agencies to monitor service levels and track 

performance. 

The following three activities apply to both agency discretionary benefits programs and 

to governmentwide benefits programs. 

6.2.3 Elect Benefits. Employees will enter benefits enrollment data via self-service 

applications. SSCs will provide the self-service tools and databases that support capture 

of benefits enrollment data. 

6.2.4 Activate Enrollments. SSCs will determine employee eligibility for benefits based 

on business rules, and will process enrollment transactions. 

6.2.5 Maintain Appropriate Records. If forms requiring “wet signature” remain, SSCs 

will receive and maintain these completed and signed forms. 

2. Innovation 

Shared service centers will be expected to deliver substantive and innovative solutions to 

customer agencies. The following design points describe expectations of the benefits 

management solution. They provide the conceptual basis for the detailed Benefits 

Management requirements. 

 SSCs will use proven, repeatable processes, supported by tools and technologies, to 

manage the implementation of benefits programs. 

 SSCs will provide change management assistance for new benefits programs or 

changes to existing programs. 

 SSCs will provide subject matter expertise supporting the creation, editing and review 

of benefits communication content. 

 SSCs will provide facilities and media to deliver benefits communication to 

employees. SSCs may provide assistance to enrollees via multiple channels (e.g., 

web, phone, fax and USPS). 

 SSCs will provide enrollees web-enabled capabilities to evaluate benefits programs, 

review their eligibility, enroll in or waive benefits, and make changes. To 

accommodate those employees who do not have access to the Internet, SSCs will 

make multiple other channels – including e-mail, fax, phone and mail – available to 

perform these activities. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

 SSCs will build and support a robust web-based information resource that provides 

information to enrollees and participants on benefits programs, eligibility, providers, 

forms and procedures. Decision support tools will be made available to employees to 

support benefits decisions. SSCs will provide real-time counseling on the use of 

those tools. 

 SSCs will promote a “culture of self-sufficiency” for benefits election. For example, 

benefits counselors will not counsel enrollees on benefits but will lead them through 

the provided resources and tools to help them make their own decisions. 

 SSCs will capture data in an integrated Human Resources Information System 

(HRIS) database and make it available for downstream use. 

 SSCs will make benefits participation data available to benefits providers for billing, 

claims administration and customer support. 

 SSCs will ensure secure transactions and seamless integration with any bolt-ons or 

other interfaced systems. 

 SSCs will enforce eligibility requirements during the enrollment process based on 

business rules and capitalizing to the extent possible on automated capabilities. 

 SSCs will issue a consolidated annual benefits statement to each employee. An 

online benefits statement will also be available on demand. The statement will 

include all of the benefit programs for which the employee is eligible, his or her 

participation status in those programs and any applicable balances. SSCs will follow 

agency guidance on benefits statement content as part of benefits communication 

planning. 

 SSCs will make standard and ad hoc benefits reporting capabilities available. Reports 

will include information on participation and cost of programs. 

III. HR LOB Non-core Services Conceptual Design 

Over time, the focus of the HR LOB shared service centers may be expanded to include 

non-core services and technology that fall outside of the previously described core areas. 

SSCs could choose to provide services associated with the following HR LOB BRM subfunctions: 

 HR Strategy 

 Organization and Position Management 

 Staff Acquisition 

 Performance Management 

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 Compensation Management (non-core) 

 Human Resources Development 

 Employee Relations 

 Labor Relations 

 Separation Management 

Cross-agency validation groups met during FY 2006 to discuss and validate requirements 

associated with these non-core services. 

Services SSCs deliver in these areas are expected to be substantive and innovative. Some 

of the major innovation themes that appear across these non-core services areas include: 

 Providing consultative support 

 Providing process support 

 Maximizing use of automated solutions, including proven, repeatable processes, 

supported by tools and technologies to help manage program implementation 

 Web-based environments, including system interfaces, applications, automated 

workflow, help-desk support, and self-service 

 Providing training support 

 Providing change management assistance, including subject matter experts creating, 

editing, and reviewing communications content for new and existing programs 

 Providing knowledge management assistance, including content storage, retrieval, 

analysis and reporting 

 Providing data capture, use and reporting support 

 Capitalizing on existing and planned e-Gov initiatives 

A process view concept of operations, delineating the role of the shared service center for 

each of the above sub-functions, is presented in the sections that follow. 

A. HR Strategy 

The HR LOB Business Reference Model defines the sub-function HR Strategy as 

“develops effective human capital management strategies to ensure that Federal 

organizations are able to recruit, select, develop, train and manage a high-quality, 

productive workforce in accordance with Merit System Principles. This sub-function 

includes: conducting both internal and external environmental scans; developing human 

resources and human capital strategies and plans; establishing human resources policy 

and practices; managing current and future workforce competencies; developing 

workforce plans; developing succession plans; managing the human resources budget; 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

providing human resources and human capital consultative support; and measuring and 

improving human resources performance.” 

The HR Strategy sub-function of the HR LOB Business Reference Model contains 10 

processes that break down to a total of 48 activities. SSCs could support 17 of the 48 

BRM activities. An SSC’s role in HR strategy activities could include consultative 

support, administrative support, change management, knowledge management and 

automated tool support. An agency would negotiate with its shared service center to 

determine the role of the SSC in HR strategy processes. Nothing in the HR Strategy 

requirements implies or authorizes the performance of inherently governmental functions 

by non-governmental entities. An SSC’s role may include, but would not be limited to, 

the following.

1.1.1 Determine Internal Environment Analysis Scope and Objectives. Agencies will 

decide the scope and objectives for the internal analysis. SSCs could develop 

consultative services around recommending data sources and providing data analysis 

practices and techniques. 

1.1.2 Collect Internal Environment Data. Based on the agency decisions around scope 

and objectives for the internal environment analysis, SSCs could support the collection of 

data relevant to the analysis and human capital planning process, including competency 

management data. 

1.1.3 Analyze Internal Environment Data. SSCs may perform some reporting and 

analysis of workforce information, at the direction of the agency. SSCs may also provide 

automated processes to support succession planning and workforce and human capital 

information requests. SSCs may provide multitiered customer support to agencies to 

provide support on these processes and tools. 

1.1.4 Disseminate Internal Environment Analysis Results. SSCs may make analysis 

results data available electronically to the appropriate managers, and provide self-service 

tools to support ad hoc requests. 

1.2.1 Determine External Environment Analysis Scope and Objectives. Agencies 

will define the purpose of the external environment and the connection to human capital 

strategic planning. SSCs may recommend data sources and provide analysis support to 

the agency. 

1.2.2 Identify External Environmental Data Collection Protocols. Each agency may 

supply its SSC with external environment analysis scope and objectives. SSCs may 

advise agencies on data sources and collection approaches, capitalizing on their crossagency experience. The agency may then select sources and collection approaches. 

1.2.3 Define External Environmental Data Collection Protocols. Each agency may 

supply its SSC with external environment analysis scope and objectives. SSCs may 

supply consultative support to make recommendations about analysis practice and 

techniques, incorporating the sources and approach determined in 1.2.2. Each agency 

will evaluate the recommendations based on its specific requirements, and select the 

analysis and techniques best suited to meet its objectives. 

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1.2.4 Collect External Environment Data. SSCs may follow the approach and 

protocols previously approved by the agency in 1.2.2 and 1.2.3 to gather data, collecting 

the relevant data and information to support the human capital strategic planning process. 

SSCs may provide automated processes for capturing and tracking requests for 

information and user assistance requests. They may provide automated tools for data 

gathering, analysis, reporting and survey tools, and may provide multitiered customer 

support to agencies on the use of these automated processes and tools. 

1.2.5 Analyze External Environmental Data. Based on the approved data protocol and 

environment analysis purpose and objectives, SSCs may analyze data on strategies, 

trends, issues and events relevant to the human capital strategic planning process using 

predefined data analysis protocols. Agencies may perform additional analysis on the 

results. 

1.2.6 Disseminate External Environment Analysis Results. SSCs may make data 

available electronically to appropriate management levels for planning, analysis and 

decision making, and they may provide self-service tools to support ad hoc requests. 

1.5.1 Establish Competency Model. Agencies may identify and describe key objectives 

for the competency model, incorporating feedback regarding the current model. While 

agencies have different missions, the competency framework may be based on the 

standard governmentwide professional competency model managed by OPM. SSCs may 

provide services around developing the competency model and updating this model 

periodically. 

1.5.3 Validate Competency Model. SSCs may provide services around implementing 

the competency model and making periodic updates. 

1.5.4 Execute Competency Model. SSCs may provide services around ongoing 

competency management through utilization of the competency model. 

1.8.4 Report on HR Budget. Based on the agency-approved HR budget, SSCs may 

gather information and produce and disseminate reports on a recurring basis about actual 

spending and financial performance results compared to budgeted funds. 

1.10.1 Validate HR Performance Measures and Metrics. Based on agency-provided 

HR objectives, SSCs may provide automated processes for the development and 

application of HC measures and metrics. 

1.10.2 Track HR Performance Results. SSCs could help track the agencies’ workforce 

trends based on predefined tracking protocols and using SSC-resident data.

1.10.3 Analyze HR Performance Results. SSCs could help analyze the agencies’ 

workforce trends based on predefined analysis protocols and using SSC-resident data. 

B. Organization and Position Management 

The HR LOB Business Reference Model defines the sub-function Organization and 

Position Management as “designs, develops and implements organizational and position 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

structures that create a high- performance, competency-driven framework that both 

advances the agency mission and serves agency human capital needs.” 

The Organization and Position Management sub-function is closely tied to several other 

sub-functions. Notably, the common job descriptions that result from this sub-function 

will be available for use by other BRM sub-functions. This sub-function provides: 1) 

standardized skill and competency definitions to the HR Strategy sub-function.; 2) 

inventories of skills to be embedded in job requirements for the Staff Acquisition subfunction; and 3) the competencies and skills that provide a basis for assessing individual 

performance and identifying individual employee development needs for the 

Performance Management sub-function. 

The Organization and Position Management sub-function of the HR LOB Business 

Reference Model contains one process that breaks down to a total of 12 activities. SSCs 

could support all 12 BRM activities. An SSC’s role in organization and position 

management activities could include consultative support, process support, administrative 

support, change management, knowledge management and automated tools support. An 

agency would negotiate with its shared service center to determine the role of the SSC in 

organization and position management processes. Nothing in the Organization and 

Position Management requirements implies or authorizes the performance of inherently 

governmental functions by non-governmental entities. An SSC’s role may include, but 

would not be limited to, the following. 

2.1.1 Determine Organization Structure. The agency will design the organization 

structure. SSCs could provide consultative support on the agency’s organization design. 

2.1.2 Administer Position Management Program. As part of the agency developing, 

implementing, and managing the position management program, SSCs may support the 

agency by submitting requirements for SES position authorizations to OPM and ensuring 

that SES positions are authorized. 

2.1.3 Establish Job Requirements. As part of identifying the agency workforce job 

requirements, SSCs may maintain the agency’s standards for documenting and evaluating 

positions against OPM and agency standards for General Schedule positions.

2.1.4 Analyze Job Requirements. SSCs may support the agency by identifying tasks to 

be performed and the competencies and qualifications needed to perform the tasks. SSCs 

may also process appeals in accordance with OPM and agency guidance. 

2.1.5 Evaluate Job Requirements Against Standards/Criteria. SSCs may determine 

position requirements based on the agency’s review of the inventory of positions. SSCs 

may determine the classification of positions in accordance with applicable standards. 

SSC activities could include applying classification standards consistently, recording 

classification judgments and verifying that authorizations for positions exist. 

2.1.6 Maintain Position. SSCs may capture and store position information. This 

information could be available to other sub-functions across HR as necessary to provide 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

consistency. During the job requirement review, SSCs may provide consultative support 

as needed. SSCs could accommodate changes in job classifications and requirements 

resulting from changes in laws, regulations and policies. The agency will validate new 

job classifications and requirements. 

2.1.7 Request Reevaluation. SSCs may inform the employee or an employee’s 

designated representative of the opportunity to request an agency and/or OPM decision 

on the classification of the employee’s official position. They may process requests for 

reclassification and appeals in accordance with OPM and agency guidance. SSCs may 

gather and forward position documentation to the agency or OPM in support of the 

classification appeals process. SSCs may examine reevaluation request rationale to 

determine whether a reevaluation is warranted. They may process cancellation of 

employee requests for reconsideration of appeal decisions. 

2.1.8 Evaluate Job. SSCs may evaluate the facts of classification appeal using the 

appropriate classification standards and law during the adjudication. If a request for 

reevaluation is denied, SSCs may process cancellation of the employee’s request for 

reconsideration of appeal decision. 

2.1.9 Initiate Classification Appeal. SSCs may gather required documentation to 

support OPM when an appeal is reopened and/or reconsidered. 

2.1.10 Review Classification Appeal Request. As part of determining if the right to 

appeal exists, SSCs may reevaluate positions against appropriate position 

classification/job grading standards before a formal appeal is filed. SSCs may process an 

appeal reconsideration request and evaluate facts of an appeal using appropriate 

classification standards and law during its adjudication. 

2.1.11 Adjudicate Appeal. If a classification right to appeal exists, SSCs may support 

the adjudication process by documenting the classification appeal decision. 

2.1.12 Implement Appeal Decision. In completing follow-up tasks required to 

implement appeal decisions, SSCs may support the agency by forwarding to OPM the 

required documentation, effecting retroactive reclassification as appropriate and making 

the appellate record available to the employee or the employee’s representative. 

C. Staff Acquisition 

The HR LOB Business Reference Model defines the sub-function Staff Acquisition as 

“establishes procedures for recruiting and selecting high-quality, productive employees 

with the right skills and competencies, in accordance with Merit System Principles. This 

sub-function includes: developing a staffing strategy and plan; establishing an applicant 

evaluation approach; announcing the vacancy; sourcing and evaluating candidates against 

the competency requirements for the position; initiating pre-employment activities; and 

hiring employees.” 

The Staff Acquisition sub-function of the HR LOB Business Reference Model contains 6 

processes that break down to a total of 31 activities. SSCs could support all 31 BRM 

activities. An SSC’s role in staff acquisition activities could include consultative support, 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

process support, administrative support, change management, knowledge management 

and automated tool support. An agency would negotiate with its shared service center to 

determine the role of the SSC in staff acquisition processes. Nothing in the Staff 

Acquisition requirements implies or authorizes the performance of inherently 

governmental functions by non-governmental entities. An SSC’s role may include, but 

would not be limited to, the following. 

3.1.1 Analyze Staffing Needs. An SSC may work with its customer agency to compile 

and understand the data necessary to establish a staff acquisition strategy and/or plan.

3.1.2 Review Laws, Regulations, Policies, and Guidelines. Should SSCs perform or 

support any staff acquisition activities, they would understand and comply with all 

applicable statutes, regulations, policies, guidelines, union contracts, negotiated 

agreements, Merit System Principles, Luevano consent decree requirements, and all 

Federal policies and guidelines applicable to staff acquisition. SSCs may also provide 

consultative support to help ensure that Federal hiring policies and guidelines adhere to 

the Merit System Principles and the Uniform Guidelines on Employee Selection 

Procedures. 

3.1.3 Identify Sourcing Strategies. An SSC may support an agency in the development 

of sourcing strategies to produce an applicant pool that meets the agency’s strategic 

workforce needs. 

3.1.4 Develop Staff Acquisition Strategy. An SSC may provide consultative support 

toward the development of an agency’s staff acquisition strategy that supports the 

agency’s strategic human capital needs and results in the recruiting and retention of 

qualified individuals. An SSC may support the agency in achieving a diverse workforce 

in which selection and advancement is determined on the basis of equal opportunity. It 

may work with the customer agency to establish employment practices that are developed 

and used without discrimination on the basis of race, color, religion, sex, age, national 

origin, partisan political affiliation or other nonmerit grounds. An SSC may support the 

use of appropriate hiring flexibilities and tools. Over time, an SSC would work with the 

customer agency to track return on investment of recruitment marketing activities. 

3.1.5 Communicate Staff Acquisition Strategy. An SSC may communicate any 

information relating to the agency’s staff acquisition strategy.

3.2.1 Match Staffing Requests to Description of Duties. An SSC may initiate a 

recruiting effort by matching a staffing request to a job description or other description of 

duties. 

3.2.2 Determine Appropriate Source Options. An SSC may identify source options 

based on an understanding of an agency’s hiring needs. The source options may include 

a variety of staffing methods including recruitment, internal movement, contracting, and 

temporary and term employment.

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

3.2.3 Develop Staff Acquisition Plan. An SSC may support the development of an 

agency’s staff acquisition plan that sets recruiting goals for building a workforce that 

meets the agency’s strategic business needs. 

3.2.4 Communicate Staff Acquisition Plan. An SSC may support the agency’s 

communication of its staff acquisition plan.

3.3.1 Conduct Job Analysis. An SSC may support an agency’s conformance with job 

analysis requirements, reviewing position descriptions to clarify the competencies, 

qualifications, education and experience required by job classes to ensure that they match 

the tasks required to perform the job. An SSC may write or rewrite job descriptions.

3.3.2 Develop Assessment Criteria. An SSC may use the results of the job analysis to 

develop any unique agency-specific assessment criteria, qualification standards and 

minimum education requirements. SSCs may also validate the selection criteria against 

government and agency standards. 

3.3.3 Develop Assessment Approach. SSCs may support the development and 

application of valid candidate selection procedures and assessment tools, ensuring that 

they are job related. SSCs may work with agencies on corrective actions, should an OPM 

evaluation of agency compliance with competitive principles uncover candidate 

assessment issues. 

3.4.1 Finalize Applicant Sources. Using the agency’s staff acquisition plan, an SSC 

could determine applicant sources, capitalizing on their particular expertise in sources 

that meet the special criteria of the agency or vacancy being filled. 

3.4.2 Conduct Pre-Announcement Recruitment. An SSC could support the agency’s 

efforts toward building a solid applicant pool through preannouncement recruiting, 

including marketing and outreach to identify name request candidates. 

3.4.3 Announce Jobs. SSCs’ involvement in this activity could include providing a tool 

to permit authorized individuals to create vacancy announcements. SSCs may provide a 

facility to post vacancy announcements, reflecting the agency-specified “look and feel” in 

all vacancy announcement media. SSCs may provide tools to: allow potential applicants 

to register to receive job announcements when new ones are posted, allow applicants to 

search job postings by job characteristics, notify applicants of application status, and 

automatically close vacancies based on predetermined business rules. 

3.4.4 Apply for Employment. SSCs may provide candidates the capability to submit 

applications, allowing the applicant to target the applications to multiple positions. They 

may receive the applications and supporting documents electronically. They could allow 

materials to be sent in parts over time and notify the applicants of additional questions, 

forms or processes required to complete the application process. SSCs could track 

applicant sources and enable applicant surveys upon complete submission of 

applications. SSCs may notify applicants of application status and may provide special 

notifications or tailored correspondence to applicants for unique recruitment situations. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

3.4.5 Receive Applicant Documentation. SSCs may provide support to customer 

agencies by receiving and managing applicant documentation, and by providing the 

capability to receive applications and supporting documentation in multiple media 

formats, encouraging use of the Internet but also allowing e-mail, fax and mail. SSCs 

may scan paper application materials to make them available electronically for candidate 

evaluation and qualification, and may provide a capability to receive resumes into a 

searchable database. SSCs may track and report applicant data (anonymously tracking 

application demographic information) and may provide reporting tools that allow for ad 

hoc reporting of applicant data. 

3.5.1 Determine Qualified/Eligible Candidates. SSCs could work with agencies to 

determine candidate eligibility and review Federal hiring rules and apply as required. 

They could provide tools to allow managers to search against applicant and employee 

databases for qualified candidates.

3.5.2 Assess Candidates to be Referred. SSCs may identify qualified applicants and 

create ranked listings of qualified candidates.

3.5.3 Apply Federal Rules on Preferences. Any SSCs involved in candidate 

assessment would be aware of Federal rules on veterans’ preferences and ensure that they 

are applied according to policy. 

3.5.4 Refer Candidates for Consideration. SSCs may verify applicant information and 

may process reference checks. If the information is valid, the SSCs may refer the 

candidates for further consideration. SSCs may identify other positions for which the 

applicant is qualified and pass the applicant data on to other individuals, allowing the 

applicant to be considered for those other positions. 

3.5.5 Assess Candidates for Selection. SSCs could provide automated tools that 

facilitate the interview cycle, including capture of interviewer name(s), generating 

interview notifications for interviewers and interviewees, capturing interview notes and 

tracking interview results. SSCs could provide support in competitive examininations 

and ensuring medical qualification standards are met. SSCs could provide assistance in 

processing applicant recommendations from members of congress and with placement 

and merit promotion programs. They could adopt audit review techniques to prohibit the 

hiring of relatives.

3.5.6 Make Tentative Selection. SSCs may work with agencies to validate tentative 

selections have been made in accordance with agency-specific requirements and in 

accordance with Federal laws, regulations and guidelines.

3.5.7 Validate Selection. SSCs may work with agencies to validate candidate selections 

have been made in accordance with agency-specific requirements and in accordance with 

Federal laws, regulations and guidelines.

3.6.1 Determine Terms of Offer. SSCs may provide consultative support to the 

selecting officials on employment offer parameters including flexible compensation, 

relocation incentives, supervisory differentials and repayment of student loans.

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

3.6.2 Extend Job Offer. SSCs could provide support to customer agencies through 

extending job offers to selectees in accordance with applicable statutes, regulations, 

policies, union contracts, other agreements, and any other guidelines. SSCs may capture 

applicant responses to track offer deadlines. 

3.6.3 Respond to Job Offer. An SSC may work with an agency and support the 

negotiations of the terms of employment between the agency and the selectee. 

3.6.4 Initiate Pre-Employment Process. SSCs may schedule and track pre-employment 

processes, interfacing to third party processes or systems as necessary (e.g., background 

checks). They may track and report on hiring cycle times.

3.6.5 Certify Compliance with Pre-Employment Requirements. SSCs may work with 

agencies to ascertain pre-employment activities are complete and any contingencies have 

been met. 

3.6.6 Bring Selectee On Board. SSCs may perform and track entrance on duty tasks. 

SSCs may also enter employee data into automated systems.

3.6.7 Close Out Case File. SSCs may close the vacancy once it has been filled, and 

could notify remaining candidates the vacancy has been filled and update the application 

database for future reference and reporting. SSCs may audit the vacancy case file as 

appropriate. They may also perform periodic purges of applicant files. 

D. Performance Management 

The HR LOB Business Reference Model defines the sub-function Performance 

Management as “designs, develops and implements a comprehensive employee 

performance management approach to ensure agency employees are demonstrating 

competencies required of their work assignments. Designs, develops and implements a 

comprehensive performance management strategy that enables managers to make 

distinctions in performance and links individual performance to agency goal and mission 

accomplishment. This sub-function also includes managing employee performance at the 

individual level and evaluating the overall effectiveness of the agency’s employee 

development approach.” 

The Performance Management sub-function of the HR LOB Business Reference Model 

contains 4 processes that break down to a total of 14 activities. SSCs could support 13 of 

the 14 BRM activities. An SSC’s role in performance management activities could 

include consultative support, process support, administrative support, change 

management, knowledge management and automated tools support. An agency would 

negotiate with its shared service center to determine the role of the SSC in Performance 

Management processes. Nothing in the Performance Management requirements implies 

or authorizes the performance of inherently governmental functions by non-governmental 

entities. An SSC’s role may include, but would not be limited to, the following. 

4.1.1 Review Laws, Regulations, Policies and Guidelines. SSCs would continually 

review and incorporate new laws, regulations, policies, and guidelines into their support 

operations. This would be necessary across all sub-functions in the BRM. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

4.1.3 Communicate Agency Performance Management Strategy. SSCs could 

communicate agency performance management strategies to stakeholders using a variety 

of media. 

4.2.1 Design Performance Management Framework. SSCs may play a consultative 

role in the design of agency-wide competency-based performance management 

approaches. SSCs may assist in prioritizing the competency gaps identified as a result of 

workforce planning activities and selecting the competencies that will be the focus of 

employee development program investments. They may design a performance 

management framework, use methods to make distinctions among employees or groups 

of employees, and support the development of performance management systems for SES 

and non-SES employees. 

4.2.2 Develop Performance Management Program(s). SSCs could identify employee 

populations for whom performance management processes, procedures and planning 

templates will be developed. They may assist in identifying alternative employee 

development programs that could help employees develop identified competencies. 

SSCs may support the development of performance appraisal programs for non SES 

employees, the application for certification of the SES and/or senior professional 

appraisal systems, the submission of performance appraisal systems and programs 

documentation to OPM, the development of performance standards, and the development 

of guidelines for measuring performance against identified expectations. SSCs may 

provide access to electronic information files on performance management including 

policies, guidelines and forms. 

4.2.3 Implement Performance Management Program(s). SSCs may develop 

communication materials explaining the performance management process and 

performance appraisal systems and programs to appropriate individuals. SSCs may use 

methods to make distinctions among employees or groups of employees and support the 

development of guidelines for measuring performance against identified expectations, 

and may conduct performance management training and implement performance 

management programs, including employee goal and achievement tracking. They may 

support recurring performance reviews by the use of performance ratings to determine 

pay increases (e.g., pay for performance), tracking performance ratings by demographics, 

documenting employee coaching free-form comments, and maintaining a performance 

appraisal system electronically. SSCs may provide the automated tools to capture 

employee input and document employee accomplishments online, set appraisal cycle 

parameters, and use automated workflow to support the performance management 

process, including archiving performance management information. Using automated 

tools, SSCs could notify individuals of performance management events, make 

performance management appraisal information available to other HR systems, provide 

data support for the SES, senior professional and non-SES performance management 

systems, and provide access to electronic information files on performance management 

including policies, guidelines and forms. They would provide help-desk support for 

automated tools. 

4.2.4 Assess Performance Management Programs(s). SSCs may perform a 

consultative role in supporting the agencies’ assessment of the performance management 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

approach. SSCs could evaluate performance appraisal systems and programs, support the 

submission of performance appraisal systems and programs, take action to improve 

performance management systems and programs, and provide data support for the SES, 

senior professional, and non-SES performance management systems. 

4.3.1 Establish Individual Performance Requirements. SSCs may support the 

development of employee performance plans, provide consultative support to supervisors 

during the performance management process, conduct performance management training, 

and support the development of performance standards. They could notify individuals of 

performance management events, and support the development of guidelines for 

measuring performance against identified expectations. SSCs may maintain a 

performance appraisal system electronically including help-desk support. 

4.3.2 Conduct Feedback. SSCs may provide consultative support to supervisors during 

the performance management process. They could provide automated tools to support 

documentation of employee coaching free-form comments, and may conduct 

performance management training and support recurring performance reviews. SSCs 

could track performance progress, notify individuals of performance management events, 

and provide help-desk support. 

4.3.3 Complete Final Performance Appraisal. SSCs may notify individuals of 

performance management events, support the administration of performance review 

boards, provide consultative support to supervisors during the performance management 

process, and conduct performance management training. SSCs could maintain a 

performance appraisal system electronically, including help-desk support. 

4.3.4 Discuss Final Performance Appraisal. SSCs may provide consultative support to 

supervisors during the performance management process, which may include help-desk 

support. 

4.3.5 Finalize Performance Appraisal. SSCs may support the administration of 

performance review boards, report ratings of record data to the centralized data record, 

and transfer an employee’s performance ratings (e.g., ratings of record, any subsequent 

performance ratings) when an employee transfers to another agency or is assigned to 

another organization within the agency. SSCs may support use of performance ratings to 

determine pay increases (e.g., pay for performance). They may maintain a performance 

appraisal system electronically, including help-desk support and the capability to set 

appraisal cycle parameters. SSCs may use automated workflow to support the 

performance management process, make performance management appraisal information 

available to other HR systems, maintain records related to performance appraisal systems 

and programs, and provide data support for the SES, senior professional, and non SES 

performance management systems. SSCs may also provide consultative support to 

supervisors during the performance management process. 

4.4.1 Evaluate Performance Management Program Results. SSCs may maintain a 

performance appraisal system electronically, including tracking performance ratings by 

demographics, providing automated support for the evaluation of performance 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

management, and maintaining records related to performance appraisal systems and 

programs. They may evaluate performance appraisal systems and programs and provide 

data support for the SES, senior professional, and non-SES performance management 

systems. SSCs may also take action to improve performance management systems and 

programs. 

4.4.2 Evaluate Long-term Impacts and Value of Performance Management 

Programs. SSCs may maintain records related to performance appraisal systems and 

programs. They may evaluate performance appraisal systems and programs; and provide 

data support for the SES, senior professional, and non-SES performance management 

system(s). SSCs may archive performance management information, and may also take 

action to improve performance management systems and programs. 

E. Compensation Management (Non-core) 

The Compensation Management sub-function definition remains the same. However, 

this section focuses on activities for which SSCs may provide service in the non-core 

services area. 

The Compensation Management sub-function of the HR LOB Business Reference Model 

contains five processes that break down to a total of 23 activities. SSCs may support 16 

of the 23 BRM activities. An SSC’s role in compensation management (non-core) 

activities could include consultative support, process support, administrative support, 

change management, knowledge management and automated tool support. An agency 

would negotiate with its shared service center to determine the role of the SSC in 

compensation management processes. Nothing in the Compensation Management (noncore) requirements implies or authorizes the performance of inherently governmental 

functions by non-governmental entities. An SSC’s role may include, but would not be 

limited to, the following. 

5.1.1 Review Laws, Regulations, Policies and Trends. SSCs would continually review 

and incorporate new laws, regulations, policies, and guidelines into their support 

operations. This would be necessary across all sub-functions in the BRM. Tracking 

compensation trends in accordance with applicable guidance would also be an ongoing 

SSC and agency responsibility. 

5.1.2 Identify Parity Issues. SSCs may assist agencies in coordinating and hosting 

various committee meetings. They may also provide support in conducting and 

analyzing market-based pay surveys. 

5.1.3 Establish Compensation Program. SSCs may support the administration of a 

variety of programs including special rates, student loans, leave, and allowances. They 

may correct actions and maintain compensation management records. 

5.1.4 Implement Compensation Program. An SSC may support an agency’s 

participation in committees and its administration of compensation programs identified in 

5.1.3. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

5.1.5 Create Compensation Program Communications Approach and Content. 

SSCs may provide training on compensation management and support the administration 

of leave, allowances, repayment of student loans, and alternative compensation systems. 

5.2.1 Identify Bonus and Awards Payout Strategies. SSCs may support the 

implementation of corrective actions related to agency awards programs, and may assist 

in awards-program-related training. 

5.2.2 Determine Eligibility for Bonus or Award. SSCs may provide automated tools to 

provide managers with the information they need to determine eligibility. 

5.2.3 Set Bonus or Award Pay. SSCs may capture agency decisions in a payroll system 

or other systems. 

5.2.4 Deliver Bonus or Award Communication. An SSC may provide an automated 

tool to assist an agency in delivering information regarding the value of an employee 

award. 

5.3.1 Identify Employees to Receive Pay or Leave Change. SSCs may provide 

automated tools to determine eligibility for and calculate amounts in the administration of 

differentials, equivalent increases, student loan repayments, allowances and leave. 

5.3.2 Process Pay or Leave Change. SSCs may update data related to equivalent 

increase, allowances, and leave. 

5.3.3 Communicate Pay or Leave Change. SSCs may provide automated tools to 

notify individuals of changes related to allowances, leave, alternative compensations 

systems, implementation of corrective action, equivalent increases, and student loan 

repayments. 

5.4.1 Schedule Employees. SSC may provide automated tools that would allow 

agencies to define work schedules of employees based on project and/or work 

requirements, and support leave administration related to those work schedules. They 

may maintain the recorded leaves and schedules. 

5.4.2 Attest Attendance Data. SSCs may provide automated tools that allow agencies to 

review and approve schedules and requests for leave. The reviews and approvals could 

be captured for audits in the future. 

5.4.4 Certify Employee Attendance Data. SSCs may provide automated tools that 

allow individuals with approving authority to certify time worked or leave taken. 

Certifications would be recorded and used in other compensation activities, e.g., process 

on-cycle pay. 

5.5.7 Perform Periodic Reporting. SSCs may provide automated tools to support 

reporting requirements that meet agencies’ needs. Reports could be standard or ad hoc. 

SSCs may also maintain compensation records and other alternative compensation 

systems needed to produce the reports. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

F. Human Resources Development 

The HR LOB Business Reference Model defines the sub-function Human Resources 

Development as “designs, develops, and implements a comprehensive employee 

development approach to ensure that agency employees have the right competencies and 

skills for current and future work assignments. This sub-function includes conducting 

employee development needs assessments; designing employee development programs; 

administering and delivering employee development programs and evaluating the overall 

effectiveness of the agency’s employee development approach.” 

The Human Resources Development sub-function of the HR LOB Business Reference 

Model contains 6 processes that break down to a total of 23 activities. SSCs may support 

all 23 BRM activities. An SSC’s role in human resources development activities could 

include consultative support, process support, administrative support, change 

management, knowledge management and automated tool support. An agency would 

negotiate with its shared service center to determine the role of the SSC in human 

resources development processes. Shared service centers must take into account eGovernment initiatives and capitalize on existing and planned systems investments. 

Nothing in the Human Resources Development requirements implies or authorizes the 

performance of inherently governmental functions by non-governmental entities. An 

SSC’s role may include, but would not be limited to, the following. 

7.1.1 Review Laws, Regulations, Policies, and Guidelines. SSCs would continually 

review and incorporate new laws, regulations, policies, and guidelines into their support 

operations. This would be necessary across all sub-functions in the BRM. 

7.1.2 Develop Agency HRD Vision. SSCs may identify performance criteria for 

measuring desired results. 

7.1.3 Communicate Agency HRD Vision. SSCs may communicate success stories and 

learning impact on business performance, emerging trends and best practices, and may 

identify and describe target audiences. 

7.2.1 Determine Competencies to be Addressed by HRD. SSCs may manage SES 

development programs, provide tools to gather competency input, provide consultative 

support that can be used to determine competencies, and support building and revising 

competency models. 

7.2.2 Identify/Propose HRD Program. SSCs may provide academic degree training, 

assign training, prepare continuing service agreements, and uphold equal opportunity 

concerns and Merit System Principles. SSCs may address ethical issues, manage 

expenses related to training, offer meeting and conferences, process training actions, 

procure training, and provide retraining. SSCs may operate an agency’s Student 

Education Employment Program, train non-government employees, account for use of 

training funds, offer worksite education programs, and identify and propose methods of 

delivery. 

7.2.3 Analyze, Prioritize, and Select HRD Programs and/or Learning Opportunities 

to be Implemented. SSCs may recommend one or more methods of delivery. Agencies 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

will select from available approaches to accomplish learning goals and objectives. SSCs 

may meet organization and employee development needs and manage SES development 

programs. 

7.3.1 Conduct Training Needs Analysis for Each Approved HRD Program and/or 

Learning Opportunity. SSCs may integrate position requirements with training 

program development needs, support periodic needs analyses, identify best practices, and 

provide tools to identify development and training needs. SSCs may provide tools for 

agencies to document their training needs, devise learning and development strategies, 

identify learning objective programs, and track employee development and training 

needs. They may identify functional areas in which new or expanded interagency 

training activity is needed, measure work processes to identify improvement 

opportunities, identify knowledge management databases, and survey sampling of target 

audience groups to determine learning styles, aptitude, prior knowledge of program 

content, attitudes and perceptions. 

7.3.2 Design HRD Program Content. SSCs may analyze alternative delivery methods, 

use employee development objectives to develop methods of delivery, propose methods 

of delivery to support achievement of employee development objectives, and identify and 

describe target audiences. They may manage SES development programs, research 

emerging trends for delivery, identify performance criteria, offer worksite education 

programs, provide academic degree training, and assign training. 

7.3.3 Select HRD Program Provider. SSCs may identify alternative providers and 

propose selection criteria. Agency personnel will evaluate and select the program 

provider. SSCs would comply with all SES development program guidelines and 

identify knowledge-sharing opportunities. 

7.3.4 Develop HRD Program. SSCs would comply with all SES development program 

guidelines, identify knowledge-sharing opportunities, survey sampling of target 

audiences, identify performance criteria, and identify best practices. They could provide 

in-house training course catalogs, and develop materials. SSCs could provide 

mechanisms for knowledge management and support multilevel employee certification 

programs, academic degree training, and training assignments. They may prepare 

continuing service agreements, uphold equal opportunity concerns and Merit System 

Principles, address ethical issues, manage expenses related to training, offer meetings and 

conferences, process training actions, procure training, provide retraining, and operate an 

agency’s Student Education Employment Program. SSCs could train non-government 

employees, account for use of training funds, offer worksite education programs, and 

identify and propose methods of delivery. 

7.3.5 Establish Overall Implementation Time Frames and Predict Program Life 

Span. SSCs may project time frames and communicate them to the agencies. Agencies 

would provide feedback and SSCs would respond with adjustments. SSCs may 

determine frequency and timing, apply project management best practices to implement 

and maintain the program, and predict the HRD program lifespan. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

7.3.6 Review and Validate HRD Program. An SSC may recommend program goals 

and learning objectives, subject to approval by agency personnel. They may generate 

pre- and post-testing and followup evaluations, and generate course evaluation templates. 

SSCs may develop HRD program content and materials, and determine the frequency and 

timing of HRD programs. 

7.4.1 Pilot HRD Program. An SSC may deliver a pilot offering of the new employee 

development program, communicate goals, communicate participant responsibilities, and 

deliver the pilot to participants. 

7.4.2 Revise HRD Content and Methods of Delivery. An SSC may revise the program 

based on pilot experience and feedback and identify performance criteria for measuring 

desired results for each approved HRD program and/or learning opportunity. 

7.4.3 Announce HRD Program. An SSC may determine the frequency and timing of 

the program and add the program to program catalogs. Agency personnel will review 

completed program materials, guided by an SSC. An SSC may also communicate 

program benefits such as knowledge-sharing opportunities and learning impact on 

business performance. 

7.4.4 Administer Training. SSCs may manage the administrative and logistical aspects 

of delivering training programs, including managing providers as necessary. SSCs could 

report and maintain employee training data and records; track whether training is 

provided internally or externally; provide self-service training registration; use workflow 

to route training requests to supervisors for online approval; support online scheduling of 

equipment and facilities; and track course evaluations and training follow-up activities 

and issues. SSCs may provide the capability for agencies to run reports on employee 

training, and capture and report course evaluation results, support for the development 

and implementation of distributed learning technologies. SSCs may administer the HRD 

program: participant registration and authorization process; participation and attendance 

tracking process to include tracking of cancellations and absences; process of scheduling 

program facilities; and setting up program facilities. SSCs may arrange for instructors to 

conduct training courses; schedule facilities for classroom training; provide a system to 

capture training data; maintain training program systems; and provide automated tools to 

authorize participant registration. SSCs may also provide automated tools to allow 

billing for the program; track participation by types of training (e.g., web-based training, 

self-study); track attendance, cancellations and absences; distribute program evaluation to 

participants; prompt participants to complete program evaluations; collect completed 

program evaluations; and summarize completed program evaluation. SSCs may plan 

orientation activities designed to acquaint participants with the new employee 

development program; provide help-desk technology assistance; schedule HRD 

resources; provide knowledge-sharing opportunities; allow for integration of learning and 

development content with knowledge management; advise agencies on opportunities for 

sharing facilities to provide training; and offer advice and guidance to HRD staff at 

agencies on training-related issues. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

7.4.5 Deliver HRD Program. SSCs may deliver the program or coordinate with other 

providers to deliver the program, including automated tools for knowledge management 

and SES development programs. They may provide automated tools to produce training 

delivery schedules and update employee records to document program attendance and 

completion. SSCs may conduct required agency-specific training and apply project 

management best practices to implement and maintain HRD programs. 

7.5.1 Create or Update Individual Development Plan (IDP). An SSC may provide an 

automated tool to capture the IDP. 

7.5.2 Execute Individual Development Plan. An SSC may provide an automated tool 

to capture progress toward the IDP. 

7.5.3 Assess Progress Against Individual Development Plan. SSCs may provide 

mechanisms to communicate feedback, and measure the skills attained and progress made 

against appropriate development plans. 

7.6.1 Evaluate HRD Program. SSCs may support periodic needs analysis, and capture 

and report on course evaluation results. 

7.6.2 Analyze HRD Program Results. SSCs may support communication of learning 

impact on business performance. 

7.6.3 Evaluate Long-term Impacts and Value of HRD Programs. SSCs may provide 

mechanisms to determine the learning ROI, e.g., by cost savings, the improvement in 

employee work performance, and the impact on agency success. SSCs could support a 

multilevel employee certification program including communication on learning impact 

on business performance. 

G. Employee Relations 

The HR LOB Business Reference Model defines the sub-function Employee Relations 

as “designs, develops and implements programs that strive to maintain an effective 

employer-employee relationship that balances the agency’s needs against its employees’ 

rights. This sub-function includes: addressing employee misconduct; addressing 

employee performance problems; managing administrative grievances; providing 

employee accommodation; administering employee assistance programs; participating in 

administrative third-party proceedings; and determining candidate/employee suitability 

based on information collected outside of the HR process (e.g., background investigation, 

drug testing. etc.).” 

The Employee Relations sub-function of the HR LOB Business Reference Model 

contains 7 processes that break down to a total of 27 activities. SSCs may support 25 of 

the 27 BRM activities. An SSC’s role in employee relations activities could include 

consultative support, process support, administrative support, training support, change 

management, knowledge management and automated tool support. An agency would 

negotiate with its shared service center to determine the role of the SSC in employee 

relations processes. Nothing in the Employee Relations requirements implies or 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

authorizes the performance of inherently governmental functions by non-governmental 

entities. An SSC’s role may include, but would not be limited to, the following. 

8.1.1 Establish Employee Conduct Expectations. SSCs may provide training on the 

standards employees are required to meet. This could be accomplished in a traditional 

classroom setting as well as by web-based, virtual training as allowed. 

8.1.2 Communicate Employee Conduct Expectations. SSCs may a use a variety of 

media to communicate employee expectations. 

8.1.3 Conduct Fact Finding Into Employee Misconduct. SSCs may conduct inquiries 

regarding following proper drug and alcohol testing procedures. They may review 

medical exams and documentation to see if employees complied with medical 

instructions. SSCs may also research information on disability retirement during fact 

finding. 

8.1.4 Execute Formal or Informal Action. SSCs may process the removal of 

employees from sensitive positions for drug use and return employees to positions after 

treatment. They may assist in processing adverse and administrative actions including 

suspensions. SSCs may also inform employees of appeal rights, and may also assist in 

implementing any resulting reasonable accommodations. 

8.2.1 Address Performance Improvement Plan Results. SSCs may authorize time to 

receive a medical exam and monitor the time allowed to complete the exam. SSCs may 

review medical documentation and provide information regarding disability retirement. 

8.2.2 Execute Formal or Informal Action. SSCs may assist in placing employees in 

nonduty status and processing adverse actions, including informing employees of appeal 

rights. SSCs may also assist in implementing any resulting reasonable accommodations. 

8.3.1 Identify Issue (Informal Grievance). An SSC may assist an agency in 

administering/maintaining a grievance system, including alternative means of dispute 

resolution (ADR). 

8.3.2 Advise on Means of Resolution. An SSC may assist an agency in 

administering/maintaining a grievance system, including alternative means of dispute 

resolution (ADR). 

8.3.3 File Formal Grievance. An SSC may assist an agency in formal grievance filing 

as part of managing the overall grievance system, including alternative dispute resolution 

(ADR). 

 

8.3.4 Engage in Alternative Dispute Resolution. An SSC may assist an agency in

negotiating a settlement and implementing decisions as part of maintaining the agency 

ADR program. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

8.3.5 Process Grievance. An SSC may assist an agency in processing a grievance as 

part of managing the overall grievance system, including alternative dispute resolution 

(ADR). This could include providing automated, web-based workflow, and notification 

of when a grievance has been filed, status of grievance and final resolution. 

8.3.6 Render Decision on Grievance. SSCs may track decisions regarding 

administrative grievances.

8.4.2 Determine Accommodation Needs. SSCs may use automated tools to track and 

close accommodation cases. 

8.4.3 Put Reasonable Accommodation Into Place. SSCs may coordinate the 

implementation of the accommodation and could train employees and managers as 

necessary. SSCs may follow up with employees and managers to verify approved 

accommodation requirements have been met. 

8.5.1 Provide EAP Services. The agency may research and evaluate Employee 

Assistance Programs (EAP) and select the provider(s) based on evaluation results. An 

SSC may monitor program usage and recommend adjustments.

8.5.2 Make Referrals to EAP Services. An SSC may coordinate and deliver 

communication regarding EAP services and tools to agency employees. 

8.6.1 File With a Third Party. An SSC may assist an agency with filing with a third 

party as part of the overall management of third party appeals and their resolution. 

8.6.2 Engage in Discovery. An SSC may assist an agency with discovery as part of the 

overall management of third party appeals and their resolution. 

8.6.3 Prepare a Response to Third Party Filing. An SSC may participate in 3rd party 

appeal hearings, present evidence, respond to requests for stays, submit written 

arguments, and respond regarding agency decisions as part of the overall management of 

third party appeals and their resolution. 

8.6.4 Participate in Alternative Dispute Resolution. An SSC may present evidence on 

behalf of the agency during resolution. 

8.6.5 Participate in Hearing/Meeting/Trial. An SSC may submit written arguments 

and present evidence on behalf of the agency. 

8.6.6 Appeal Third Party Decision. An SSC may provide interim relief as directed and 

request review of third party initial decisions. 

8.6.7 Implement Third Party Decision/Settlement. An SSC may assist in taking 

corrective action to carry out third party decisions, provide full relief, and comply with 

orders granting a stay. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

8.7.1 Review Investigative File. An SSC may trigger a personnel action after review of 

a file and take suitability actions as required. 

8.7.3 Adjudicate Suitability Issues. An SSC may trigger a personnel action after review 

of a file and take suitability actions as required. 

H. Labor Relations 

The HR LOB Business Reference Model defines the sub-function Labor Relations as 

“manages the relationship between the agency and its unions and bargaining units. This 

includes negotiating and administering labor contracts and collective bargaining 

agreements; managing negotiated grievances; and participating in negotiated third party 

proceedings.” 

The Labor Relations sub-function of the HR LOB Business Reference Model contains 3 

processes that break down to a total of 25 activities. SSCs may support 20 of the 25 

BRM activities. An SSC’s role in labor relations activities could include consultative 

support, process support, administrative support, change management, knowledge 

management and automated tool support. An agency would negotiate with its shared 

service center to determine the role of the SSC in labor relations processes. Nothing in 

the Labor Relations requirements implies or authorizes the performance of inherently 

governmental functions by non-governmental entities. An SSC’s role may include, but 

would not be limited to, the following.

9.1.1 Obtain Recognition. An SSC may assist an agency in responding to recognition 

petitions. 

9.1.2 Clarify Bargaining Unit(s) and Representation. SSCs may assist agencies in 

identifying and clarifying which organization and employees should be included in the 

appropriate defined bargaining unit. SSCs may help resolve recognition issues as 

required. 

9.1.3 Establish Communication Protocol. SSCs may establish or support the 

establishment of the relationship for ongoing communication between unions and 

management. 

9.1.4 Initiate Bargaining Process. SSCs may assist in providing notifications and 

requests to bargain. 

9.1.5 Prepare for Negotiation. SSCs may assist in training negotiating teams and 

determining techniques to assist in the negotiation. 

9.1.6 Conduct Negotiation. SSCs may assist agencies in applying techniques for 

negotiating agreements. SSCs may also conduct negotiations on behalf of agencies when 

allowed. 

9.1.7 Perform Agency Head Review. SSCs may provide automated tools that allow

recording collective bargaining agreements (CBA) in specified databases. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

9.1.8 Administer Agreements. SSCs may support the implementation of agreements, 

process union dues deductions, capture contract administration data, and provide systems 

that support the agency’s strategy. 

9.1.9 Provide for Governmentwide or National Consultation. An SSC may notify 

appropriate entities of adjustments to alternative HR systems and support the 

implementation of adjustments, including providing notices of change to individuals and 

organizations. 

9.1.10 Provide Information to Unions. SSCs may notify appropriate entities of 

adjustments to alternative HR systems, including providing notices of change to 

individuals and organizations.

9.2.2 Advise on Means of Resolution. SSCs may provide support in the implementation 

of agencies’ alternative dispute resolution programs. 

9.2.4 Engage in Alternative Dispute Resolution. SSCs may support alternative 

measures of labor grievance resolution. 

9.2.7 Participate in Arbitration Process. SSCs may support the filing of grievances. 

9.2.8 Challenge Arbitrator’s Decision. SSCs may file exception/appeals of arbitrator 

decisions. 

9.3.1 File With a Third Party. An SSC may request assistance in resolving a 

negotiating impasse and present an impasse reached in a CBA regarding flexible or 

compressed schedule. 

9.3.3 Prepare a Response to Third Party Filing. An SSC may support filing 

statements with Federal Labor Relations Authority and provide agency information for a 

labor dispute under appeal. 

9.3.4 Participate in Alternative Dispute Resolution. An SSC may assist an agency

engaging in alternative methods of dispute resolution. 

9.3.5 Participate in Hearing/Meeting. An SSC may attend hearings, present evidence, 

and select and prepare witnesses on behalf of an agency. 

9.3.6 Appeal Third Party Decision. An SSC may assist management in filing a petition 

for review of a Federal Labor Relations Authority’s final order in the appropriate United 

States court of appeals. 

9.3.7 Implement Third Party Decision. An SSC may report compliance for the 

resolution of a labor dispute. 

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HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

I. Separation Management 

The HR LOB Business Reference Model defines the sub-function Separation 

Management as “those activities that take place when an employee leaves an agency. 

This includes handling the appropriate notifications and determining the terms of the 

separation. Interactions take place to ensure that knowledge transfer occurs between the 

separating employee and remaining employees. Separating employees are offered 

transition counseling and support.” 

The HR Strategy sub-function of the HR LOB Business Reference Model contains one 

process that breaks down to a total of six activities. SSCs may support all six BRM 

activities. An SSC’s role in separation management activities could include consultative 

support, process support, administrative support, change management, knowledge 

management and automated tool support. An agency would negotiate with its shared 

service center to determine the role of the SSC in separation management processes. 

Nothing in the Separation Management requirements implies or authorizes the 

performance of inherently governmental functions by non-governmental entities. An 

SSC’s role may include, but would not be limited to, the following.

10.1.1 Initiate Separation. Agency personnel will enter separation data and notify 

appropriate parties that an employee is leaving an agency. SSCs may develop and 

support automated tools, including workflow, which agency personnel would use to 

fulfill their data entry and notification responsibilities. 

10.1.2 Conduct Workforce Shaping Activities. SSCs may assist agencies in 

conducting reductions in force including A76, SES, and administrative law judges. SSCs 

may also assist in completing an interagency transfer of function. 

10.1.3 Determine Terms of Separation. SSCs may provide automated tools that allow 

agency personnel to review the reason for separation and determine the terms of 

separation, including proposed effective date and entitlements. This information, 

including decisions, could be captured to assist in effecting the separation. 

10.1.4 Provide Separation Support. Agencies will design and oversee transition 

programs and outplacement counseling for departing employees and their family 

members. SSCs may provide transition and outplacement counseling and document the 

results. SSCs may also work with separating employees to assist in document 

completion. SSCs may provide automated tools that describe the separation process, 

provide agency points of contact, and answer frequently asked questions. 

10.1.5 Conduct Knowledge Transfer. SSCs may provide automated tools to capture 

institutional knowledge, intellectual capital, job-related information, and status of current 

and pending assignments. 

10.1.6 Conduct Exit Processing. Agency personnel could use automated tools, if 

provided by SSCs, to generate outprocessing checklists and schedules. Agencies or SSCs 

could assist separating parties in completing exit checklists. SSCs may also collect 

agency property. SSCs may survey and meet with separating employees to gather 

July 30, 2010 41
HR LOB TARGET REQUIREMENTS FOR SHARED SERVICE CENTERS VERSION 4.0 

July 30, 2010 42

information about why they are separating. They may collect and analyze departing 

employee feedback to identify trends and develop appropriate intervention strategies to 

improve retention. SSCs may notify appropriate third parties of the separation event 

and of any further coordination responsibilities. They may gather and distribute 

appropriate materials to assist employees and their family members with the separation. 
United States

Office of Personnel Management

Chief Information Officer

1900 E Street, NW

Washington, DC 20415

CIO/HRITT/REQ/072010