Annex A. HRM practices composite indexes

This edition of Government at a Glance Southeast Asia 2019 included six composite indexes on human resource management (HRM) practices. They are: 1) delegation in human resources management practices; 2) staff performance assessments/appraisal; 3) performance-related pay; 4) recruitment systems in central government; 5) separate human resources practices for senior civil servants; and 6) data-informed HRM. Data used to construct the composite indexes were derived from the OECD survey on Strategic Human Resources Management and were collected from Southeast Asian countries in 2017-2018 and from OECD countries in 2016. Survey respondents were predominantly senior officials in central government HRM departments, and data refer only to HRM practices at the central government level.

The composites presented here, including the variables comprising each index and their relative weights, are based on concepts that reflect contemporary public sector HRM developments and dilemmas on how best to manage human resources in the public sector in the 21st century. These include characteristics of recruitment systems; building a skilled workforce and learning environments; use of evidence in human resources (HR) decisions; and the extent of decentralisation of HRM practices, and were previously reviewed by the OECD’s Working Party on Public Employment and Management in 2016. Different techniques to estimate missing values were applied based on the nature of the missing information, including mean replacement and/or expert judgment. In order to eliminate scale effects, all the variables were normalised between “0” and “1” prior to the final computation of the index.

The narrowly defined composite indexes presented in this publication represent the best way of summarising discrete, qualitative information on key aspects of HRM practices. However, the development of composite indexes and their use can also be controversial, as these indexes are easily and often misinterpreted by users due to a lack of transparency as to how they were generated, resulting in difficulties understanding what they are actually measuring. When making cross-country comparisons, it is crucial to consider that definitions of the civil services, as well as the organisations governed at the central level of government, may differ across countries.

Extent of delegation of HRM practices in line ministries in central government

Variables, weights and scoring

The following variables have been used in constructing this index and were given equal weights. The total score is the average of the score of the variables.

Table A.1. Scores assigned to country responses to questions comprising the delegation index
	Survey question (SHRM SEA 20181)	Scoring and weight
Q5 [Q21]	Is there a central agency/department/unit in charge of human resources at central/national/federal government level?	a) Yes: 0.750; b) No: 1.000; c) Not responsible, but a central agency/department aims to coordinate the HR policies across departments: 1.000	20%
Q8 [Q8]	Delegation of establishment (see list below) is primarily determined by: (see options in scoring section). Where are the following issues primarily determined? (1). Numbers and types of posts within organisations; (2). Allocation of budget envelope between payroll and other expenses.	Each sub-question 8(1) and 8(2) was scored as follows: a) Central HRM body (which sets the rules and is closely involved in applying them)/Ministry of Finances: 0.250; b) Central HRM body but with some latitude for ministries/departments/agencies in applying the general principles: 0.500; c) Ministries/departments/agencies, within established legal and budgetary limits: 0.750; d) Unit/team level: 1.000 The final score for this question is an average of the scores for 8(1) and 8(2). If more than one answer, score is the average of answers provided.	20%
Q10 [Q10]	Delegation of decisions regarding compensation levels (see list below) is primarily determined by: (see options in scoring section) Where are the following issues primarily determined? (1) General management of pay systems (salary levels, progressions) (2) Management of the variable portion of pay – benefits – performance related pay	Each sub-question 10(1) and 10(2) was scored as follows: a) Central HRM body (which sets the rules and is closely involved in applying them)/Ministry of Finances: 0.250; b) Central HRM body but with some latitude for ministries/departments/agencies in applying the general principles: 0.500; c) Ministries/departments/agencies, within established legal and budgetary limits: 0.750; d) Unit/team level: 1.000 The final score for this question is an average of the scores for 10(1) and 10(2). If more than one answer, score is the average of answers provided.	20%
Q12 [Q12]	Delegation of decisions regarding position classification, recruitment and dismissals (see list below) is primarily determined by: (see options in scoring section) Where are the following issues primarily determined? (1) Post classification system – grades (2) Original individual recruitment into the civil service (3) Individual recruitment of casual staff (4) Individual duration of employment contract in the civil service (5) Individual duration of contract in specific posts (6) Individual career management (7) Individual dismissal (7a) following lack of performance (7b) following organisational restructuring (7c) following misconduct	Each sub-question 12(1) - 12(7a-c) was scored as follows: a) Central HRM body (which sets the rules and is closely involved in applying them)/Ministry of Finance: 0.250; b) Central HRM body but with some latitude for ministries/departments/agencies in applying the general principles: 0.500; c) Ministries/departments/agencies, within established legal and budgetary limits: 0.750; d) Unit/team level: 1.000 The final score for this question is an average of the scores for 12(1) - 12(7a-c). Sub-questions a-c of 12(7) carried equal weight as 12(1) – 12(6); (e.g. no average was taken for sub-questions 7a-c). If more than one answer, score is the average of answers provided.	20%
Q14 [Q14]	Delegation of decisions related to other conditions of employment (see list below) is primarily determined by: (see options in scoring section) Where are the following issues primarily determined? (1) Flexibility of working conditions (numbers of hours, etc.) (2) Adjustments to working conditions (part time, etc.) (3) Performance appraisal systems (4) Code of conduct (5) Ethics, equal opportunity, equity issues	Each sub-question 14(1) - 14(5) was scored as follows: a) Central HRM body (which sets the rules and is closely involved in applying them)/Ministry of Finances: 0.250; b) Central HRM body but with some latitude for ministries/departments/agencies in applying the general principles: 0.500; c) Ministries/departments/agencies, within established legal and budgetary limits: 0.750; d) Unit/team level: 1.000 The final score for this question is an average of the scores for 14(1) - 14(5). If more than one answer, score is the average of answers provided.	20%
← 1. Numbers in square brackets refer to the question number in the 2016 OECD Strategic Human Resources Management (SHRM) Survey.

Extent of the use of performance assessments in human resources decisions in central government

Variables, weights and scoring

The performance assessment index encompasses the following variables and weights.

Table A.1. Extent of the use of performance assessments in HR decisions in central government
	Survey question (SHRM SEA 20181)	Scoring and Weight
Q42 [Q49]	Is formalised performance assessment mandatory for all government employees?	Yes, for all or almost all: 1.000 No, only for some: 0.500 Not, not used at all: 0.000	25%
Q43 [Q50]	Which tools are used for regular performance assessment and how often are they applied? Meeting w/immediate superior Written feedback from superior 360 feedback (usually written)	Each sub-question (1-4) was scored as follows: a) every 6 months: 1/3 b) every year: 0.200 c) every two years: 0.100 d) Not used: 0.000 The final score for this question is a sum of the scores for 43-1 to 43-3. If there is more than one answer, score is the average of answers provided.	25%
Q44 [Q51]	What are the current performance criteria explicitly used in most organisations? Outputs / achievement of objectives Improvement of competencies Values, discipline and inputs Interpersonal/management skills	This is a multiple choice question and respondents were to select all items that applied. Each item selected receives a score of 0.250 and the final score for this question is the sum of all items selected.	25%
Q44 [Q54]	How important, according to legal criteria, is having a good performance assessment with regard to: Career advancement Remuneration (bonuses; the grade does not necessarily change) Contract renewal in the civil service/remaining in the civil service Employment contract renewal in the public service	Each sub-question (1-4) was scored as follows: High: 0.250 Medium: 0.125 Low and Not applicable: 0.000 The final score for this question is a sum of the scores for 44-1 – 44-4.	25%
← 1. Numbers in square brackets refer to the question number in the 2016 Strategic Human Resources Management (SHRM) Survey.

Extent to which performance-related pay is used in central government

Variables, Weights and Scoring

The following variables have been used in the construction of this index, and were given equal weights:

Table A.2. Scores assigned to country responses to questions comprising the performance related pay index
	Survey question (SHRM SEA 20181)	Scoring and weight
Q90 [Q116]	Is performance related pay in use in your country’s central government?	Yes: 1.000; No: 0.000	25%
Q90a [Q116a]	If yes, for who does performance related pay applies?	Response considers the following options: For most government employees: 1.000 For senior managers only: 2/3 Only fora few central/national/federal government organizations: 1/3 Other: 1/3	25%
Q90b [Q116b]	Do organisations mostly use: a) One-off performance bonuses b) Performance-based permanent pay increments	Each item selected receives a score of 0.500 and the final score for this question is the sum of the item(s) selected.	25%
Q90c [Q116c]	What is the maximum proportion of basic pay that PRP can represent?	a) 1-5%: 0.2; b) 6-10%: 0.4; c) 11-20%: 0.6; d) 21-40%: 0.8; e) higher: 1	25%
← 1. Numbers in square brackets refer to the question number in the 2016 Strategic Human Resources Management (SHRM) Survey.

Extent to which the use separate human resources management practices for senior civil servants in central government

Variables, Weights and Scoring

The following items and weights have been used in the construction of this index.

Table A.3. Scores assigned to country responses to questions comprising the senior civil servants index
	Survey question (SHRM SEA 20181)	Scoring and weight
Q59 [Q74]	Is there a defined group of staff in central/national/federal government who are widely understood to be the “senior management”?	a) Yes: 1.000; b) No = 0.000	20%
Q62 [Q77]	Are there policies in place to identify potential senior managers early on in their careers?	a) Yes, they are recruited as part of group selected at entry in the public service or a few years after entry: 1.000; b) Yes, potential leadership is systematically identified in performance assessments and staff career are managed accordingly: 1.000; c) No: 0.000	20%
Q66 [Q82]	Is there a centrally defined skills profile for senior managers?	a) Yes: 1.000; b) Yes, but it only applies to some organisations: 0.500; c) No	20%
Q69 [Q85]	How different is the employment framework of senior managers from that of regular staff?	This is a multiple choice question and respondents were to select all items that applied. Each item selected from the list below receives a score (the values of which are shown below) and the final score is a sum of all items selected. 69a. Recruited with a more centralised process: 0.125 69b. More attention is paid to the management of their careers: 0.250 69d. More emphasis on the management of their performance: 0.500 69e. More emphasis on avoiding conflicts of interest: 0.125 69f. Pay that is not basic salary and not PRP is higher than for regular staff (ex. Guaranteed benefits): 0.250 69g. The part of their pay that is performance-related is higher: 0.500 69i. Appointment is shorter than for regular staff: 0.250	40%
← 1. Numbers in square brackets refer to the question number in the 2016 Strategic Human Resources Management (SHRM) Survey.

Recruitment systems in central government

Variables, Weights and Scoring

The following items and weights have been used in the construction of this index.

Table A.4. Scores assigned to country responses to questions comprising the type of recruitment system used in central government index
	Survey question (SHRM SEA 20181)	Scoring and Weight
Q33 [Q33]	How does one become a civil servant?	Each sub-question was scored as follows: a) Through a competitive examination that provides for entry into a specific group of the public service: 0 b) Through direct application to a specific post and interview: 1 c) It varies depending on the post: 0.5 d) Any combination of these 3 possible responses:  0.5	20%
Q35 [Q35]	How is merit-based recruitment at the entry-level guaranteed in the selection process?	This is a multiple choice question and respondents were to select all items that applied. Each item selected receives a score of 0.125 and the final score is the sum of all the items selected	20%
Q34 [Q34]	How does one individual get a specific position/post?	Each sub-question was scored as follows: a) All posts are open to int. and ext. Recruitment: 1 b) Most posts are open to int. and ext. recruitment: 0.666 c) Some posts are open to int. and ext. recruitment: 0.333 d) No posts are open to ext. Recruitment 0	20%
Q39 [Q41]	For each of these groups, have actions been taken in the last five years to intentionally enhance or reduce the use of external recruitment (outside of the public service)	For each of the 5 groups (senior management, Middle management, Professionals, Secretarial positions and Technical support, respondents were to select: a) More external recruitment: 0.2 b) Less external recruitment: 0 c) No specific measures: 0.1 The final score was the sum of the scores per group.	20%
Q61 [Q76]	Irrespective of the existence of an official “Senior Management”, how are senior managers identified?	Each sub-question was scored as follows: a) Originally selected by competitive examination early on in their careers and managed as a group: 0 b) Through career progression within the public service only: 0 c) All senior management positions are open to external recruitment: 1 d) A good proportion of management positions are open to external recruitment: 0.5 The final score is the average of answers provided	20%
← 1. Numbers in square brackets refer to the question number in the 2016 SHRM survey

Collection of administrative human resources data in central government

Variables, weights and scoring

The following items and weights have been used in constructing this index.

Table A.5. Scores assigned to country responses to questions comprising the collection and availability of administrative HR data index
	Survey question (SHRM SEA 20181)	Scoring and weight
Q17 [Q17]	For each of the following categories, please indicate whether standardized administrative data records exist at the Central/federal level? Number of employees Level (e.g. grade, junior/senior, etc.) Function (e.g. profession) Age Gender Disabilities Other minority status Level of education Length of service Languages spoken Type of contract (e.g. Civil Servant vs. Other)   Union membership Part time Other flexible working arrangements Total Sick days used Training days used Special leave used Mobility within the civil service Total exit (turnover) data Retirements Resignations Dismissals	Responses to individual variables consider the following options: Yes, standardised data records are available and are centralised for the whole or most of the national/federal civil service: 1.000 Yes, however standardised data records only exist at line ministry level (not aggregated centrally): 0.500 No, currently no standardised administrative data record exists: 0.000	100%
← 1. Numbers in square brackets refer to the question number in the 2016 Strategic Human Resources Management (SHRM) Survey.

Annex A. HRM practices composite indexes