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January 18, 2024

Memorandum for Chief Human Capital Officers

From: Kiran A. Ahuja 

Director

Subject: Federal Human Capital Business Reference Model Update

Introduction

The Office of Personnel Management is pleased to announce version 4.0 of the Human 

Capital Business Reference Model, which is the seminal product for defining and 

standardizing Federal Human Capital Management functions and subfunctions. 

Background 

On November 3, 2017, the Director of the Office of Personnel Management (OPM) 

announced the release of version 3.0 of the Human Capital Business Reference Model 

(HCBRM). The HCBRM is the foundation of the Human Resources Line of Business 

(HRLOB) Strategic Framework developed with the participation of the Multi-Agency 

Executive Strategy Committee (MAESC) and governed by the Chief Human Capital 

Officers Council (CHCOC) and OPM Workforce Policy and Innovation (WPI, formerly 

Employee Services).

The HCBRM defines the end-to-end lifecycle of Federal Government Human Capital 

Management. This model is used to assist agency Human Resources (HR) specialists in 

performing their functions and defines a uniform model for the HR user experience. 

Many agencies are using the HCBRM as a basis for developing their human capital 

strategies as well as providing a foundation for Human Resources Information 

Technology (HRIT) modernization planning. 

This memo provides background on the changes OPM, in consultation with the MAESC, 

has made to the HCBRM since it was last updated in 2017. For more information about 

the Human Capital Business Reference Model, as well as implementation and adoption 

goals, please see the 2017 memo or visit www.opm.gov/hcbrm. 

Changes from HCBRM 3.0 to HCBRM 4.0 

While the layout of the HCBRM remains primarily intact, there are several noteworthy 

changes: 
•

• Development of a new cross-cutting Function, X1: Personnel Action Request (PAR) 

Processing. The creation of this function illustrates that Human Capital (HC) is not 

siloed and the work of HR specialists crosses over many HCBRM functions. 

• Separating and elevating Diversity and Inclusion (D&I) to Diversity, Equity,

Inclusion, and Accessibility (DEIA). The evolution of D&I to DEIA underscores its

importance and how it should not be limited to HC. As such, “A1.4 – Diversity &

Inclusion” has been removed from the HCBRM and an effort is underway to elevate

DEIA with its own strategic framework touching other mission critical areas, not just

HC.

• Shifting and removing sub-functions to refine the HCBRM as it continues to mature.

Next Steps 

The HRLOB is engaging with MAESC agency members and their CHCOs, HRIT 

Executives, HR practitioners, and HR providers to promote education and adoption of the 

HCBRM. For more information, please contact Jeffrey Pollack at HRLOB@opm.gov. 

HCBRM 4.0 will be available at www.opm.gov/hcbrm. 

Attachment: HCBRM 4.0 

2 
HCBRM 4.0

The Human Capital Business Reference Model (HCBRM) functional framework defines Federal Human

Capital Management. This map represents the 16 Functions and 50 Sub-functions in the HC lifecycle.

Federal Functions

OPM writes policy and provides services

• F1: Federal Human Capital Leadership

o F1.1: Federal Human Capital Regulation and Policy

o F1.2: Human Capital Service Delivery Management

• F2: Federal Oversight and Evaluation

o F2.1: Human Capital Strategic and Operational

Oversight

o F2.2: Human Capital Evaluation

o F2.3: Human Capital Agency Guidance and

Evaluation

• F3: Federal Vetting

o F3.1: Vetting Standards and Oversight

o F3.2: Suitability and Fitness

o F3.3: Credentialing

o F3.4: Background Investigation Operations

• F4: Federal Benefits

o F4.1: Benefit Program Administration and Oversight

o F4.2: Benefits Enrollment

o F4.3: Agency Benefits Counseling

o F4.4: Miscellaneous Benefits

• F5: Federal Retirement

o F5.1: Pre-Retirement Activities

o F5.2: Retirement Case Processing

o F5.3: Post-Retirement Customer Service

Agency Functions

OPM writes policy; Agencies provide service (either internally or via a service provider)

Enabling

• A1: HC Strategy, Policies,

& Operation Plan

o A1.1: Human Capital 

Strategy

o A1.2: Workforce 

Planning. This 

subfunction could 

require or ultimately 

result in a Personnel 

Action Request as part 

of X1: Personnel 

Action Request (PAR) 

Processing.

o A1.3: Position

Classification &

Position

Management. This 

subfunction could 

require or ultimately 

result in a Personnel 

Action Request as part 

of X1: Personnel 

Action Request (PAR) 

Processing.

o A1.4: Employee 

Engagement

• A10: HC Evaluation

o A10.1: Human Capital 

Programmatic

Evaluation

Employee Lifecycle

• A2: Talent Acquisition

o A2.1: Talent Acquisition Management. This subfunction could require or ultimately result in a

Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A2.2: Candidate Sourcing & Recruitment. This subfunction could require or ultimately result in a

Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A2.3: Candidate Assessment & Selection

o A2.4: Applicant Screening, Reciprocity Investigation

o A2.5: Vetting Adjudication

o A2.6: New Hire In Processing & Onboarding. This subfunction could require or ultimately result

in a Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

• A3: Talent Development

o A3.1: Talent Development Planning

o A3.2: Talent Development & Training

o A3.3: Learning Administration

• A4: Employee Performance

o A4.1: Employee Performance Management. This subfunction could require or ultimately result

in a Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A4.2: Recognition Management. This subfunction could require or ultimately result in a 

Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A4.3: Performance Appraisal Sys Cert for SES & SL/ST

• A5 Compensation and Benefits

o A5.1: Compensation Management. This subfunction could require or ultimately result in a

Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A5.2: Work Schedule & Leave Management. This subfunction could require or ultimately result

in a Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A5.3: Benefits Management. This subfunction could require or ultimately result in a Personnel 

Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A5.4: Work-Life Wellness/Employee Assistance

• A6: Separation and Retirement

o A6.1: Separation Counseling. This subfunction could require or ultimately result in a Personnel 

Action Request as part of X1: Personnel Action Request (PAR) Processing.

o A6.2: Retirement Planning & Processing. This subfunction could require or ultimately result in a

Personnel Action Request as part of X1: Personnel Action Request (PAR) Processing.

Supporting

• A7: Employee Accountability

o A7.1: Employee Accountability for Conduct &

Performance. This subfunction could require or 

ultimately result in a Personnel Action Request 

as part of X1: Personnel Action Request (PAR) 

Processing.

o A7.2: Administrative Grievances & 3rd Party

Proceedings. This subfunction could require or 

ultimately result in a Personnel Action Request

as part of X1: Personnel Action Request (PAR) 

Processing.

o A7.3: Reasonable Accommodation

• A8: Labor Relations

o A8.1: Labor Management Relations

Administration. This subfunction could require 

or ultimately result in a Personnel Action 

Request as part of X1: Personnel Action Request 

(PAR) Processing.

o A8.2: Negotiated Grievances & 3rd Party

Proceedings. This subfunction could require or 

ultimately result in a Personnel Action Request 

as part of X1: Personnel Action Request (PAR) 

Processing.

o A8.3: Collective Bargaining. This subfunction 

could require or ultimately result in a Personnel 

Action Request as part of X1: Personnel Action 

Request (PAR) Processing.

• A9: HC Analytics & Employee Records

o A9.1: Employee Inquiry Processing

o A9.2: Employee Research

o A9.3: Human Capital Analytics. This subfunction 

could require or ultimately result in a Personnel 

Action Request as part of X1: Personnel Action 

Request (PAR) Processing.

o A9.4: Human Capital Reporting. This subfunction 

could require or ultimately result in a Personnel 

Action Request as part of X1: Personnel Action 

Request (PAR) Processing.

o A9.5: Employee Records Recordkeeping

X1: Personnel Action Request(PAR) Processing

1: PAR Processing encompasses the following HCBRM subfunctions:

• A1.2: Workforce Planning

• A1.3: Position Classification & Position Management

• A2.1: Talent Acquisition Management

• A2.2: Candidate Sourcing & Recruitment

• A2.6: New Hire In Processing & Onboarding

• A4.1: Employee Performance Management

• A4.2: Recognition Management

• A5.1: Compensation Management

• A5.2: Work Schedule & Leave Management

• A5.3: Benefits Management

• A6.1: Separation Counseling

• A6.2: Retirement Planning & Processing

• A7.1: Employee Accountability for Conduct & Performance

• A7.2: Administrative Grievances & 3rd Party Proceedings

• A8.1: Labor Management Relations Administration

• A8.2: Negotiated Grievances & 3rd Party Proceedings

• A8.3: Collective Bargaining

• A9.3: Human Capital Analytics

• A9.4: Human Capital Reporting

Federal Functions

OPM writes policy AND provides services

Agency Functions

OPM writes policy; Agencies provide services (either internally or via a service provider)

F5

Federal 

Retirement

F4

Federal 

Benefits

F3

Federal 

Vetting

F2

Federal 

Oversight 

and 

Evaluation

F1

Federal HC 

Leadership

F1.1

Federal

Human Capital 

Regulation and 

Policy

F1.2

Human Capital 

Service 

Delivery 

Management

F2.1

Human Capital 

Strategic and 

Operational 

Oversight

F2.2

Human 

Capital 

Evaluation

F2.3

Human Capital 

Agency 

Guidance and 

Evaluation

F3.1

Vetting 

Standards 

and Oversight

F3.2

Suitability and 

Fitness

F3.3

Credentialing

F3.4

Background 

Investigation 

Operations

F4.1

Benefit 

Program 

Administration 

and Oversight

F4.2

Benefits 

Enrollment

F4.3

Agency 

Benefits 

Counseling

F4.4

Miscellaneous 

Benefits

F5.1

PreRetirement 

Activities

F5.2

Retirement 

Case 

Processing

F5.3

PostRetirement 

Customer 

Service

Enabling

A10

HC 

Evaluation

A1

HC Strategy, 

Policies, & 

Operation 

Plan

A1.1

Human 

Capital 

Strategy

A1.2

Workforce 

Planning

A1.3

Position 

Classification 

& Position 

Mgmt 

A1.4

Employee 

Engagement

A10.1

Human 

Capital 

Programmatic 

Evaluation

Employee Lifecycle

A6

Separation 

and 

Retirement

A5 

Compensation

and

Benefits

A4

Employee 

Performance 

A3

Talent 

Development

A2

Talent 

Acquisition

A2.1

Talent 

Acquisition 

Management

A2.2

Candidate 

Sourcing & 

Recruitment

A2.3

Candidate 

Assessment & 

Selection

A2.4

Applicant

Screening, 

Reciprocity 

Investigation

A2.5

Vetting 

Adjudication

A2.6

New Hire In 

Processing & 

Onboarding

A3.1

Talent 

Development 

Planning

A3.2

Talent

Development 

& Training

A3.3

Learning 

Administration

A4.1

Employee 

Performance 

Management

A4.2

Recognition 

Management

A4.3

Performance 

Appraisal Sys 

Cert for SES & 

SL/ST

A5.1

Compensation

Management

A5.2

Work 

Schedule & 

Leave 

Management

A5.3

Benefits 

Management

A5.4

Work-Life 

Wellness/

Employee 

Assistance

A6.1

Separation 

Counseling

A6.2

Retirement 

Planning & 

Processing

Supporting

A9

HC Analytics 

& Employee 

Records

A8

Labor 

Relations

A7

Employee 

Accountability

A7.1

Employee 

Accountability 

for Conduct & 

Performance

A7.2

Administrativ

e Grievances & 

3

rd Party 

Proceedings

A7.3

Reasonable 

Accommodation

A8.1

Labor 

Management 

Relations 

Administration

A8.2

Negotiated 

Grievances & 

3

rd Party 

Proceedings

A8.3

Collective 

Bargaining

A9.1

Employee 

Inquiry 

Processing

A9.2

Employee 

Research

A9.3

Human 

Capital 

Analytics

A9.4

Human 

Capital 

Reporting

A9.5

Employee 

Records 

Recordkeeping

X1: Personnel Action Request (PAR) Processing