Implementation of the AASHTO Guide for Enterprise Risk Management (2022)

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19   Pilot Case Studies Nine initiatives were selected for implementation by the three DOTs during the pilot. Each initiative is described here as a case study. The description details the objectives, methodology, resources, achievements, and next steps for full implementation for each initiative. The case studies are broken down by individual state DOTs. 4.1 Tennessee Department of Transportation TDOT selected a total of three initiatives to implement during this pilot effort. During the initial workshop and follow-up discussions and meetings, the agency identified numerous initiatives. Following a prioritization and consolidation process, the various initiatives were consolidated into three important initiatives that the agency wished to pursue during the pilot implementation. 4.1.1 TDOT Pilot Initiative 1: Managing the Risk of Inconsistent Quick-Clearance Practices This case study describes a TDOT initiative regarding the quick clearance of crashes and other highway incidents. This initiative resulted in an MOU, training, and communication on how to consistently, safely, and quickly clear crashes and other incidents. Objective The objective of Initiative 1 was to create a standardized interpretation and implementa- tion of quick-clearance procedures between TDOT and the Tennessee Department of Safety (TDOS). A potato truck crash that closed an Interstate for hours in 2012 led to then-governor William Haslam demanding that TDOT clear crashes more quickly. After 2012, TDOT’s regions responded promptly to crashes and incidents, but not consistently. A lack of training and policy led to inconsistent practices across the state. In response, TDOT updated its quick-clearance practices to be more consistent across the state. Quick clearance required close collaboration both within TDOT and with TDOS. Quick clearance also required a common understanding of strategies to coordinate and consistent procedures to apply when working with other agencies. Quick clearance is an important objective for TDOT. The TDOT team identified inconsistent quick-clearance procedures as a risk. Crashes pose risks to TDOT staff not only from traffic but also from tasks needed to clear crash scenes such as righting overturned vehicles, de-tensioning cable barriers, and releasing trucks’ air-pressure brakes. In addition, TDOT identified threats to the public from secondary C H A P T E R 4

20 Implementation of the AASHTO Guide for Enterprise Risk Management crashes. TDOT expected to develop a risk mitigation strategy that addressed gaps in its quick- clearance process that was formal, consistent, and repeatable. The risk statement developed for this initiative was: If there is lack of consistency across the department in how to deal with overall issues of safety, then the agency can experience the loss of funding due to noncompliance or loss of trust with oversight authority/ regulatory agencies. Business partners and employees become upset from varying interpretations and how safety issues are addressed. The mitigation strategy was to “Create a standardized interpretation and implementation of the quick-clearance MOU between TDOT and TDOS for all regions to follow consistently. Train TDOT employees on quick clearance.” Although the need to mitigate this risk had been previously discussed, the risk management pilot and risk workshop exercises generated the momentum and elevated the risk response to a higher level. The mitigation strategy fostered collaboration and promoted alignment and ultimately was more successful as an organizational objective than a unit-wide initiative being pushed from within. The initiative helped TDOT create a formal process to respond quickly and consistently and to mitigate risk to staff and the public. The success of this initiative also showed that not every risk mitigation has to be complex to yield significant benefits. This TDOT pilot initiative has been successful. We have an MOU in place and are collaborating with our agency partners to safely and quickly clear crashes. TDOT has completed some training on quick clearance and will resume training after it is safe for employees to meet for in-person training. This is an example of how institutionalizing even simple risk mitigation strategies can foster collaboration across agencies. This initiative helps resume traffic flow and reduce congestion by opening the roads back to traffic quickly and safely after an incident. —Paul Degges, Chief Engineer, TDOT Implementation Methodology The methodology used in the implementation began with the risk management workshop described in Section 3.2: Project Kickoff Workshop. The formal meeting began with opening remarks by TDOT’s chief engineer. His participation emphasized the importance of the effort and underlined the support that TDOT leadership provided to the initiatives. A key part of the quick-clearance implementation methodology involved appointing a champion to lead the effort. For this initiative the director of engineering operations, with 16 years of experi- ence in incident management, was the leader. He said that TDOT identified many inconsisten- cies in how crashes were cleared. The agency sought areas where staff could effect change in the timeframe of the pilot. At the initial TDOT workshop, the participants received the overview of risk management. Then, working in teams, they clarified objectives, collaborated on identifying risks to them, assessed the risks, and prioritized the risks for implementation. Beginning at the workshop, the team members identified risk mitigation strategies. Those efforts continued after the workshop; however, because of COVID safety protocols, it took more than a year of follow-up effort to finalize the mitigation strategies.

Pilot Case Studies 21   Resources Needed Several resources were needed to implement the quick-clearance initiative. As already men- tioned, assigning an initiative lead, providing high-level support to the implementation effort, and the MOU were among the key resources needed for the successful implementation of the initiative. The partnership by the leadership of TDOT and TDOS was an important contribution to the training. It signaled the cooperative approach required for safe quick-clearance practices. Additional resources included those discussed in the following: • Development of a classroom training curriculum with the accompanying need for training books, instructor notes, and brochures about the training. • The need to schedule the training among statewide staff. • Video support services to produce a message from the commissioner that was shared at the training. • A realistic training site, which is a racetrack-like facility closed to traffic and in which crash scenes could be simulated. • Crashed vehicles, maintenance of traffic equipment, two trucks, and TDOT trucks and response equipment to practice quick-clearance techniques. • Trained instructors to demonstrate the various techniques needed to set up a traffic zone and safely clear it while accommodating the need to transport crash victims and investigate the cause of the incident. • Methods for training new employees when they join the department and to provide refresher training to already-trained staff. Successes/Accomplishments Key accomplishments of the pilot implementation included those discussed in the following: • A signed updated MOU between TDOT and TDOS. The signed MOU provided clarity on roles and responsibilities and made collaboration on quick clearance faster and safer. • An introductory video from the TDOT commissioner explaining to staff the importance of deploying consistent quick-clearance practices. • The strategic quick-clearance goal being affirmed led to the tactical implementation that focused on training. TDOT developed classroom training and spread the word on the train- ing through brochures and video. Figure 4.1 is a screenshot of part of the brochure that TDOT developed as part of this project and that explains the classroom training and hands- on experience. In addition, TDOT received several benefits from being a pilot agency in this project, including: • A formal risk management process to follow that was based on the ISO/Guide standards. Prior to NCHRP Project 20-44(02), TDOT’s risk management efforts were common but not formalized. • Consultant staff support throughout the effort, which provided risk management expertise and contributed to tracking of milestones and accomplishments. • Credibility and support because the pilot application was supported by TDOT leadership. • A common understanding and use of common protocols, as well as formalized training. • Through participation in the peer exchanges and meetings, TDOT staff were introduced to other risk management practitioners from across the country.

H.O.T. Brochure 1 Source: TDOT. Figure 4.1. A brochure explaining the quick-clearance training.

Pilot Case Studies 23   Tools Developed The following tools were developed during the implementation of this pilot initiative and could be of use to other state DOTs: • An MOU developed by TDOT and signed with TDOS. • A training curriculum. The classroom and hands-on training could be used by other state DOTs to train a highly dispersed workforce in ways to safely coordinate with agency partners and quickly clear crashes. • Brochures and training videos developed by TDOT, which could be used by other DOTs to communicate with their employees involved in quick clearance. Memorandum of Understanding. TDOT had an MOU with TDOS that addressed proce- dures to be followed in the event of an incident. However, TDOT quick-clearance staff were not always able to influence other partners such as local police or tow-truck operators. The MOU therefore needed to be updated to clarify responsibilities of both parties. In this pilot initiative, TDOT staff wanted to shorten and clarify the MOU and improve coordination with these external partners. During this initiative, TDOT and TDOS executed an updated MOU that emphasized TDOT’s and TDOS’s commitment to safe quick-clearance practices. The MOU clarified the role of TDOT staff in clearing incidents. The MOU provided guidance from the agency’s highest level about how TDOT staff were to perform when incidents occurred. The MOU, which is included in Appendix A, could provide a template for other states that want to similarly formalize quick- clearance responsibilities. Training. How a TDOT employee responds to a crash scene during the first 15 minutes can have a major impact on traffic, whereas the first hour after a crash is critical in relation to medical care. By taking early steps to control the scene, open a lane around the crash, and prepare the scene for emergency personnel, the TDOT employee can greatly reduce the impact on traffic and travel delays. In order to effectively implement the MOU, TDOT wanted to improve tactical deployment at the field level. The staff wanted to improve consistency internally from the bottom up among the TDOT staff who respond to crashes, spills, and other incidents that close highways. To accomplish these objectives, TDOT recognized the need for practical training on quick clear- ance. TDOT had robust classroom training for quick clearance but not a robust hands-on labo- ratory to practice incident management. Hands-on learning was primarily on-the-job training. The training needed to have simulated crashes and create the realistic stressful situations that staff would be facing when addressing real crashes. However, the stressful site of an actual crash scene was not the most conducive training environment for this type of incident management. To address this practical need and bridge the training gap, TDOT created hands-on training (HOT) at a TDOS facility that resembles a test track (shown in Figure 4.2). The training site allowed TDOT to conduct several realistic training sessions. The training emphasized the high- level policy support and explained details of the MOU. The HOT brought field staff together at the test facility, where a crash scene was simu- lated with a wrecked vehicle. The HOT involved six typical activities: cable rail de-tensioning, confined-space debris loading, push/pull/drag vehicles, safely righting overturned vehicles, commercial motor vehicle jack-knife straightening, and air brake caging. (Air brake caging involves safely releasing high-pressure truck air brakes.) The six areas of focus represented the most common issues involved in clearing crashes and were also the issues that TDOT employees could contribute the most to. Some activities, such as environmental cleanup after a crash and towing vehicles, were the responsibility of other parties and were outside of the role of TDOT staff. By properly

H.O.T. Brochure Source: TDOT. Figure 4.2. A section of a training brochure showing the training facility and training topics.

Pilot Case Studies 25   handling the six focus areas, the TDOT sta had the opportunity to make a big impact on quickly reopening roads following a crash. In addition, TDOT developed a four-page HOT eld exercise document for the simulation that detailed the steps to follow to test the operation team’s ability to respond and quickly and safely clear a roadway incident. Videos. e training included a video on the HOT from the commissioner. In that video, the commissioner emphasized the importance of safe quick-clearance practices and the impor- tant role that TDOT sta play. e URL for the video is: https://www.youtube.com/watch?v= wUQZLWt1yhc&feature=youtu.be&ab_channel=TDOTnews. is training video augments the classroom and HOT and can serve as a refresher. Figure 4.3 shows a screen capture from the HOT video. Challenges and Lessons Learned TDOT implemented hands-on and classroom training in early 2020, but the in-person training had to be curtailed because of the COVID-19 pandemic. In early 2020, before paus- ing the training due to COVID-19, TDOT had trained 31 percent of the sta. However, an additional 164 (61 percent) TDOT employees still needed to be trained. TDOT estimated that at least seven additional classes would be needed to complete the training for these remaining eld personnel. TDOT had to adjust the rest of the training because of COVID-19. TDOT sta considered train-the-trainer approaches but dropped them because of the importance of the HOT. Once TDOT sta complete more training, TDOT will take the feedback it receives and revise the training to incorporate the suggestions. e initial training was provided to the maintenance sta, but TDOT plans to train construction supervisors to prepare them to deal with crashes in work zones. Several lessons were learned from the initiative: • e success of getting the MOU signed and a training course developed illustrates how to mitigate a risk that was widely recognized but that required multiple strategies to address. • Making significant changes in how frontline activities occur in a large, dispersed orga- nization requires both a catalyst (“pressure”) to trigger change and time. There needs to be pressure to change, which in TDOT’s case came from a lengthy closure caused by a Source: TDOT, https://www.youtube.com/watch?v=wUQZLWt1yhc&feature= youtu.be&ab_channel=TDOTnews. Figure 4.3. A screen capture from the video that explains the training.

26 Implementation of the AASHTO Guide for Enterprise Risk Management potato truck crash that spurred criticism from the governor. The potato truck incident catalyzed the need and created pressure to change quickly. Although TDOT regional staff responded quickly to incidents, without training and the MOU, the response was not always consistent. The HOT provides the means to clear incidents consistently, safely, and quickly. • It is necessary to have a passionate person lead the effort who builds the momentum and the instruments needed to mitigate the risks. • Direct communication is needed to show top-down support. The commissioner’s video message and his support for the consistent application of the best practices emphasized the importance of quick clearance. Although the video was brief, it made a huge difference to the trainees because it emphasized the priority of the effort. • TDOT began the implementation by engaging the top leadership of the agency. The old MOU was detailed, while the new MOU was succinct and reflected the consensus of TDOT and TDOS leaders. Following the signing of the MOU, staff were instructed to work out the details of implementation. An email announcement, sent to staff at both agencies, ensured that the expectations were consistently communicated. Next Steps for Full Implementation The next actions being considered by TDOT for a full implementation of this initiative are included in the following: • The hands-on aspect of training related to the initiative was on hold through 2020 due to COVID safety protocols. It was expected to resume in mid-2021 as the pandemic was controlled and in-person training could resume. The DOT intends to complete the training of the staff who were to be trained prior to the COVID-19 pause. • TDOT plans to update the training based on comments received from the initial training sessions. • TDOT is also considering the development of a refresher course that could be offered peri- odically to already-trained staff. This initiative provides a comprehensive example of how other state DOTs could pursue a consistent quick-clearance process. The elements that contributed to TDOT’s success that could be emulated by other state DOTs include: • Formally defining the objective and roles with the partnering agency through the MOU, • Providing staff the classroom training to safely and efficiently clear incidents, and coupling the classroom training with a real-world environment for the hands-on learning of difficult and potentially dangerous tasks such as releasing truck air brakes or de-tensioning cable barriers, • Identifying staff who would lead efforts to clear incidents in the field and prioritizing them for training, • Providing refresher training to keep skills up to date, • Providing leadership support and top-down demonstration of the importance of the initiative through the commissioner’s video that is played at every training session, • Ensuring the engagement of leadership in the implementation of the initiative, and • Choosing implementation champions who are passionate about the initiative and can collaborate with agency personnel and, as needed, ensure engagement of agency partners. 4.1.2 TDOT Pilot Initiative 2: Ensure Consistency and Quality in Construction Roadway Plans by Managing Risks TDOT’s second initiative dealt with managing risks to roadway plans that could affect the quality, cost, and schedule of delivering projects. The initiative resulted in development of a risk

Pilot Case Studies 27   assessment process for new-start projects that identifies risks to projects’ costs and schedules. The final product includes an Excel-based risk tool that helps staff identify and assess risks to project schedules and track the mitigation strategies. Objective The objective of this initiative was to identify and document risks and test implementation strategies to ensure consistency in delivery schedules and quality in the work products of the roadway plans. TDOT developed the following risk statement at the initial project kickoff: If TDOT does not meet project schedules or deliverables, then it can face issues of noncompliance/ incorrect deliverables caused by priority changes and/or short deadlines. Risks to project schedules can arise from many sources, including delays in receiving envi- ronmental approvals, clearing rights-of-way, and relocating utilities. Those activities and others are dependent on actions by entities outside of the DOT and are not under the DOT’s control. Staff who are developing projects may not know in advance how much time will be required for outside parties to perform the functions needed for the project to proceed to bid letting. TDOT emphasized that project schedules should be fluid. Delays could occur when unex- pected events arise, such as right-of-way, environmental, or utility issues. However, the infor- mation about projects’ status should be accurate and should be readily available to everyone who needs it. TDOT project managers do a good job of identifying and managing risk. The problem was that information was not in a place where it was accessible to everyone. If a project manager was off or left the department, TDOT lacked a means to capture knowledge about project risks, formalize it, and make it easily accessible. The mitigation identified was: At the beginning of a project, assess the risks and determine the impact. Develop risk mitigation strategies to help guide the timeline and be able to monitor/report progress to upper management and scheduling. Incorporate innovations identified. A risk assessment tool and supporting process were developed to mitigate the identified risk. This risk management initiative helped TDOT staff anticipate which actions could create threats to project bid schedules and how these threats could be mitigated. This initiative also created a formal process that is recognized and widely shared with all the units in TDOT that are actively involved in ensuring that risks to planning, design, right-of-way, railroad involve- ments, utility relocation, and other activities important to project development and bid letting are addressed proactively. TDOT intends to use the tool to convey to leadership an accurate assessment of projects’ status when the leadership is briefed at the annual top management meeting. The tool will be useful and important to decision makers because it will have information that conveys to the management what they need to hear, not what they want to hear. Implementation Methodology The methodology used by TDOT involved the development of a risk assessment tool built from the initial TDOT pilot workshop. As previously explained, each step of the ISO/AASHTO ERM Guide process, including the development of a risk register, was discussed with all DOTs during the kickoff workshop. The TDOT Roadway Design Division develops the rules and guidelines within the standard procedures of project development. They developed the risk assessment tool to manage the risks and wrote the procedures to ensure that it would be used.

28 Implementation of the AASHTO Guide for Enterprise Risk Management The risk register is populated with risks that have been assessed for their likelihood and impact. Additionally, each risk is assigned to a risk owner responsible for the risk’s mitiga- tion. The implementation strategy that TDOT used was consistent with the tools and strategies discussed in the TDOT kickoff workshop. The TDOT tool, called the “Project Risk Assessment Tool,” was developed in Excel, making it easy to use. This pilot had two major steps. The first was to develop the Project Risk Assessment Tool, and the next step was to pilot the tool. The tool has been developed. At the time of writing, TDOT had started piloting the use of this tool on a project. The steps followed by TDOT to develop and start piloting the use of the tool were: • Develop a risk assessment tool. This tool development process included the following steps: – Present an initial version of the tool to pilot users. The pilot users were those involved in using this tool on projects that were in the beginning stages of the project-development process. Such projects were selected for the piloting of this initiative. – Incorporate the feedback from the pilot users and refine the Project Risk Assessment Tool. • Pilot the tool on a few projects. – At the time of writing, TDOT had started implementing the tool. It selected a new roadway project in each region that was beginning developing a planning document; the risk assess- ment tool will be added to these documents. – The next steps in this project will be to engage all the major areas involved in the project- development process of the pilot project to use the tool. – After the planning document is completed, the Strategic Initiative Investment Division will submit it to the appropriate regions/divisions for project development. – As the project continues through the project-development process, other divisions will provide additional risk information that will be added to the Project Risk Assessment Tool. The tool will be used to record risks identified from diverse groups and departments such as design, hydraulic, geotechnical, environmental, right-of-way, utilities, traffic, construc- tion, and district maintenance. – During the project-development cycle, the TDOT team will identify and assess the risks. – At key points in the project-development cycle, staff will review the risks and assess the mitigation strategies. If risks are likely to lead to delays in plan filing, they will relay the information to the management team in advance. – TDOT will continue the risk identification and mitigation using the tool until the project reaches a construction bid letting. • Based on the review of the risks and mitigations identified, additional resources can be assigned to get the delays resolved, or the project can be delayed. Advance knowledge of the delays can lead to early mitigation and is less likely to result in plans being pulled at the last minute from bid lettings. • The tool also can prevent plans being let to bid with unresolved issues that can lead to expensive change orders later. Resources Needed As discussed previously, it was important for TDOT to assign a leader to take ownership of implementing this initiative. A manager from the Program Development and Scheduling Office led the implementation of this initiative. Supporting the development and piloting of this tool on a new project required TDOT to engage several agency personnel, including personnel from the Roadway Design Division, Strategic Investments Division, and TDOT Regions 1, 2, 3, and 4. Also involved in this initiative were members from Environmental Division, Programming and Administration Division, Right-of-Way Division, Structures Division, Bid Analysis and Estimating, and Construction Division (information and data). Separately, the initiative was supported by executives who wanted accurate information about the status of projects.

Pilot Case Studies 29   Successes/Accomplishments The risk initiative provided TDOT with: • Consensus that a risk tool was needed and would help identify and manage risks that cause project delays or change orders. • An electronic risk tool that will assess and monitor risks to all significant projects. • Updated project-development procedures that will incorporate the tools into TDOT procedures. • A tool that will provide TDOT additional information on common risks that impede the timely delivery of construction roadway plans of good quality. • The ability to produce regular reports that inform senior leadership as well as project manag- ers about the risks to projects and the mitigation steps that are under way. During the implementation, the pilot team members met with all the regions and districts to explain the tool, how risks are to be assessed, and how they will be tracked. The feedback received by the initiative champion and others involved in this initiative was positive. Not only did dis- trict and region staff agree to use the tool on traditional TDOT projects, but staff also suggested it be applied to the separate category of economic development projects that are managed by another Tennessee department. These economic development (or industrial access) projects are high in profile and sometimes have challenges that could be addressed with the risk tool. Successful outcomes for TDOT included those discussed in the following: • One of the benefits TDOT received from being a pilot agency in this project was further expo- sure on how to develop and use a risk register. The tool TDOT developed for this implementa- tion project was like a risk register that summarizes information about a project and the type of risks it faces. The final tool includes, among other fields, a likelihood and impact assessment for each risk facing a project. The support helped TDOT learn from the risk workshops and capture the steps in the mitigation strategies in a risk register. • The pilot team, with approval from TDOT leadership, began using this tool on one project. It plans to use the tool to track risks on every significant TDOT project. The tool will be populated at the start of a project and then updated at its major milestones. The tool will be housed at a central location so that all involved in the project can access it and be aware of the risks the project faces. Comments about the risks will be added to TDOT’s project- management computer system, which is called the Program Project Resource Management System. Subject-matter experts (SMEs) will use the tool to inform management and staff about the risks faced by the project, how the risks are being addressed, and if the tool is being used as intended. The SMEs will also develop quarterly reports summarizing the risk status of the significant projects. • The tool will be specified for use in TDOT’s design guidelines and linked to project-development activities, including the planning report, environmental document, preliminary plans, design public meeting, and right-of-way plans, and will be linked to information about right-of-way public meetings. Tool Developed The pilot implementation of this initiative resulted in the development of the Excel-based risk assessment tool that will be housed at a central location and accessible to all personnel involved in project development. The tool will record risks to a project and indicate the per- sons responsible for mitigating them. The tool also includes instructions on how to use it and a list of sample risks to prompt users to anticipate the types of events that could pose a threat to the project schedule. Figures 4.4, 4.5, and 4.6 are screen captures of the tool. The tool is sum- marized in the following, and the complete tool can be found on the TRB website by searching

30 Implementation of the AASHTO Guide for Enterprise Risk Management Next Planned Date/Event for Reviewing Risk Date and Comments Monitoring and Control Source: TDOT. Figure 4.6. The nal columns capture monitoring and control activities. Source: TDOT. ID # Status Priority Date the Risk was Identified Meeting the Risk was Identified Risk Event (What is the threat/opportunity?) Detailed Risk Description Risk Trigger Type of Impact Risk Identification Figure 4.4. The rst several columns capture the risk description and triggers. Source: TDOT. Likelihood Impact Risk Heat Map (Risk Level) Responsible Organization Risk Owner (Individual) Strategy Planned Action Qualitative Analysis Risk Response Figure 4.5. The next columns capture the risk analysis and mitigation strategies (likelihood, impact, and risk responses).

Pilot Case Studies 31   for “NCHRP Research Report 986.” TDOT intends to include the tool in all TDOT project- development reports so that as new, large TDOT projects are developed, the risk tool will become part of the set of reports that are produced during the project-development process. The Risk Assessment Tool: The tool is an Excel-based tool with three tabs, which are: 1. Instructions, 2. The Risk Workbook, and 3. The Risk Library. Instructions: The first tab is the Instructions tab. This section explains how risk manage- ment will be structured and performed on each project that uses the tool. It explains that risk assessment completed on each project will become part of that project’s management plan. It defines and explains four main sections of the risk management process that will be used in the assessment of each of the pilot projects where the tool will be used. These four sections are: 1. Risk Identification, 2. Risk Analysis, 3. Risk Response Strategy, and 4. Risk Monitoring and Control. Additional elements of each of the four sections are also detailed in the Instructions tab of the tool. Each field in the Risk Workbook is discussed in detail. This ensures consistency in the application of the tool on every project where it is used. The Risk Workbook: The Risk Workbook is project specific. Risks to each project that uses the tool, and the resulting changes, are tracked in the Risk Workbook. Figures 4.4 through 4.6 show screen captures of the tool. The Risk Workbook for each project has columns that capture the following: • Risk identification – Status in development – Risk and priority – Date and specifics of any meeting when risk was identified – Risk triggers and type of impact • Risk analysis – Risk’s likelihood and impact – Risk level based on risk heat map or risk matrix • Risk response – Organization and person responsible for the risk – Mitigation strategy – Planned action to be taken in response, including any immediate action needed – Event to review the risk • Monitoring and control – Next planned review of risk – General comments about the risk The Risk Library: The tool includes a library that contains a list of potential risks a project can face and serves as a checklist to prompt the thinking of users. The library has a listing of 75 such “sample risks.” Figure 4.7 shows a screen capture of a portion of the library and some of the risks listed in it. Challenges and Lessons Learned TDOT reported no major challenges in the development of the tool, but there was some skepticism from project managers who said they already manage risks. However, the risks

32 Implementation of the AASHTO Guide for Enterprise Risk Management were not documented in a way so that other sta were informed about them to allow for any mitigation. Initially there was also some concern that tracking risks was more work. However, that complaint was addressed by showing how avoiding or not mitigating risk can result not only in more additional work later in the process, but also in expensive project delays. Overall, the products of this initiative were well received and its benets obvious to the sta. ree challenges were cited: • Ensuring that each division fully participates in populating and updating the tool. • Cooperating as a team so that risks are identified and all work units contribute to miti- gating them. • Mitigating the risks as they are identied and not letting them linger until the next milestone. Next Steps for Full Implementation TDOT has already started implementation of the risk assessment tool. It has identied sev- eral next steps for a full rollout of the implementation of this tool, which are discussed in the following: • rough 2020, TDOT worked with its divisions to apply the tool to at least one Division 4 project that was ready for bid letting. Aer all divisions have populated the tool with the relevant information for one project, TDOT will solicit comments on the tool and use the feedback to make appropriate improvements to the tool. • Aer the tool has been rened, TDOT will start implementing it on all signicant projects. e intent is not to use it on all projects, such as small, non-complex ones. Overuse of the tool could make it onerous and could undercut its utility. Over the course of several years, TDOT expects all complex projects to be reviewed with the tool and their risks recorded in it. • e tool will be housed at a central location so that multiple people assigned to the project can access it and be aware of the risks the project faces. • Quarterly reports summarizing the risk status of the signicant projects will be developed and shared with all users. Sample Risks Additional ROW may need to be acquired Alternate route issues Bridge is a habitat to species requiring mitigation or seasonal construction Buried man-made objects / unidentified hazardous waste Change in key staffing during the project Change of Project Manager during design Changing Toes-of-Slope that impact Right-of-Way Competition w/ other Major Projects Complex structures hydraulic design requiring investigation and planning Condition of the bridge deck unknown Construction related flooding of private property Context sensitive design Delay due to Right-of-Entry agreements Delay in delivery of Traffic/ITS items Source: TDOT. Notes: ROW = right-of-way; ITS = intelligent transportation system. Figure 4.7. A risk library prompts users to consider a wide array of risks.

Pilot Case Studies 33   • Comments about the risks identified in the tool will be added to TDOT’s project-management software. • Discussions were held with headquarters and the design and standards departments to have the tool included as a process in the agency’s design guidelines. This will provide guidance throughout the project-development process to ensure that the risk tool is updated at key steps in the design process. • In the enhancements phase, TDOT is planning to develop cost estimates to be associated with risks, such as what could be the cost of a delay or a change order if something that was a risk were to occur. Knowing the potential cost impacts could lead to more informed decisions about how much would be justified to spend on reducing a risk. • Over the next several years, to assist in decision making, TDOT plans to use the risk assess- ment tool for all projects. • After the tool is used to manage risks to several projects, TDOT can use the data to identify common risks across projects, as well as responses that mitigated the risks well. These practices can be incorporated as best practices and institutionalized. 4.1.3 TDOT Pilot Initiative 3: Consistent, Timely, and Complete Construction Plan Submittals TDOT’s third initiative dealt with reducing the risk caused when incomplete project plans are submitted for bids, which increases the likelihood that bid lettings may be delayed or change orders may be required. This initiative also supports the objective of ensuring consistency and quality in work products relating to bid letting. While Initiative 2 addressed risks identified in the completion of the numerous pre-bid activities required for projects, Initiative 3 focuses on ensuring timely completion and approval of each plan element in the portfolio plan set. This initiative looked at the numerous documents that must be approved, signed, and included in the bid-letting plan set for the bidding to occur as scheduled. The mitigation strategy was to develop a process and tools to ensure the timely and quality completion of all project plan submittals. The mitigation strategies implemented to address this risk make the engineer of record responsible for ensuring that all project elements are com- pleted. The approach requires the engineer of record to get all the deliverables needed from other divisions, such as environmental, right-of-way, and utilities, in advance of bid letting. The engineer of record has to sign off that the plan set is ready, and if it is not, the engineer must submit a delay report and communicate that status to upper management. Objective By ensuring plan sets are complete, this initiative is intended to reduce projects being pulled from bid lettings at the last minute. It also addresses change order costs that are incurred due to incomplete plans. The risk statement is as follows: If there are no consequences for not following Roadway Design Guidelines, Standard Operating Pro- cedures (SOP), and Policies, then there will be no accountability of those involved in producing the final product for bid letting, resulting in last-minute bid delays or expensive change orders. Last-minute delays cause several problems. They waste the time of the reviewers and contracts personnel who prepared the bids. They can delay construction on needed projects. They can complicate plans to have project inspectors and construction engineers ready for the planned construction start date. Last-minute recognition that some plan elements are incomplete can result in incomplete plans being let to bid, which increases the likelihood of delays or change

34 Implementation of the AASHTO Guide for Enterprise Risk Management orders during construction. The initiative’s mitigation strategy was designed to reduce the risk of those threats by ensuring that the responsible project engineer has assurances that all elements are complete. The mitigation identified was: Create a final turn-in checklist for Project Development (Regional Roadway Design) to complete. Create documents to ensure project delivery completion for bid letting. Create a process for Regional Road- way Design personnel to report all information (other division deliverables) to upper management not received at least so many days before the official turn-in date. Implementation Methodology TDOT followed the steps detailed in the risk management process. The methodology to address risks to TDOT’s bid-letting objective used in the initiative was as follows: • Identify the divisions and work units involved in ensuring that all the plan elements are of good quality, complete, and ready for timely bid letting. • Create a checklist of all the plan elements that will be included in the construction plan submittal for a scheduled bid letting. • Develop a communication tool to inform and communicate a process so that all required TDOT divisions review all the plan elements in the final set of construction plans, and either approve or delay the plans prior to sealing and submission for bid letting. The form is a letter of request to all divisions to review and approve the project plan for bid letting on a specified date. Attached to this letter for reference will be the Construction Field Review Report. The form has an area that requires the reviewing division to include comments and note the dis- crepancies or shortfalls it sees if it denies the plan for bid letting on the specified date. The form notes that it is a communication tool to ensure that all TDOT divisions have reviewed the final set of construction plans prior to sealing the plans and submitting them for bid letting. Included in this form are procedures for approval of the plan submittal. The Construction Plans Checklist is also attached to this communication form. • Meet with all the divisions and offices involved in TDOT’s bid letting, as identified in the checklist, and educate them on the initiative. Explain how the initiative will help TDOT in its bid letting. Review the final construction submittal delay form, the construction plan review forms, and the Construction Plans Checklist, as well as the process to access, fill, and submit them. The process for use of forms in preparation for bid letting will be explained and demonstrated so that the users are familiar and comfortable with the process of accessing and filling out the forms. The forms will be distributed electronically, and each review unit’s comments or sign-off will be captured in one electronic location. The approach requires the engineer of record to get all the deliverables needed from other divisions, such as environ- mental, right-of-way, and utilities. The engineer of record must sign off that the plan set is ready, and if it is not, he or she must report that status to upper management. • Obtain feedback from the meetings with the divisions and work units and, as appropriate, revise the forms and checklists. • Select a bid letting to pilot test these forms and checklists. • Based on lessons learned from the pilot, make additional changes to the process, forms, and communication strategies, as appropriate. Resources Needed The director of headquarters’ roadway design and aerial surveys served as the lead for this initiative. During the kickoff workshops, the importance of engaging a diverse group of SMEs in mitigation of risks was discussed. The workshop emphasized that enterprise-level and program- level risks can only be mitigated by efforts that cut across organizational silos. The mitigation of risks for this initiative requires numerous specialty areas to review the submittal and make a

Pilot Case Studies 35   go/no-go decision as to whether the bid plans package is complete. The specialty areas that will review submittals for projects and approve or deny them include staff from: • Headquarters’ construction; • District operations; • Environmental document preparation; • Environmental permits preparation; • Geotechnical engineering; • Regional operations; • Right-of-way, including railroad and utility coordination; • Roadway design, including Americans with Disability Act requirements, pavement design, quality assurance/quality control review, and work zone review; • Structures; • Traffic operations; • Regional utility office; and • Division 4. The involvement of these specialty areas was an important resource requirement in develop- ing the mitigation tools. Throughout the implementation of this initiative, meetings were held with division and work units involved in plan submittal. In early 2020, when drafts of prod- ucts were completed, the initiative lead met all project-development directors and staff in the regions and districts to review the checklists and forms, obtain feedback, and demonstrate the process for electronically accessing the forms and checklists. The process involved reviewing the appropriate plan submittal elements and approving or denying the plan elements and, thus, signing off on bid letting for the scheduled bid date or delaying the bid letting. Active participa- tion from these SMEs was a key element in the success of this initiative. Successes/Accomplishments The products of this initiative are tools that ensure that all project plan elements that are necessary to be completed prior to bid lettings are completed. Delay in any of the plan elements identified in the checklist will delay a bid letting. The pilot team also developed a process to com- municate the checklist. This process will ensure that sign-offs are received by a scheduled date from responsible persons. As a result of the project, the third initiative resulted in the items discussed in the following: • Staff and division agreement that the forms, communication tools, and checklists are needed to ensure that projects that are scheduled for bid letting have all their required elements. • The draft checklists will be updated, refined, and finalized. • The checklists will be managed electronically and will contribute to knowledge management by allowing anyone to review a project and to understand if all the required elements are complete prior to letting. • The final checklists and process will reduce the risks of bidding delays and change orders because the engineer of record will have a record that all units have signed off that the project plans are complete. • The forms will help improve plan quality and improve the quality of estimates. • The Final Construction Plan Submittal Delay Form is a valuable tool that can be used by divisions or work units to deny a project for a scheduled bid letting because a plan element is not ready. This allows TDOT to cancel a project bid letting with incomplete plan submittals and helps manage project costs from change orders. In addition, the documentation creates a record of what areas were incomplete so that the processes can be reviewed and improved over time.

36 Implementation of the AASHTO Guide for Enterprise Risk Management • e Final Construction Plan Submittal Delay Form is also a communication tool that alerts upper management about projects that will not make it to the scheduled bid letting. is advance notication provides management with a more realistic picture of which projects are ready for award and which are not. • ere were times when TDOT was putting too much work late in the process on the con- struction division to deal with items such as constructability reviews and utility coordination issues. ere were some plans that should not have been on the letting schedule. is initia- tive is expected to remove plans that are not ready from scheduled lettings and move them to future lettings. • One of the biggest challenges in the past was trying to conduct a pre-bid eld review without fully completed plans. Without utility plans or structures plans, it is dicult to conduct a thorough eld review or schedule the project into a letting. is initiative will ensure that all plan elements are complete prior to the eld review. • TDOT sta across the dierent divisions and work units have been engaged in developing the products of this initiative, so the intent of the initiative is well understood. is has led to recent project bidding with no missing plan elements even for project lettings that were not part of the pilot implementation. TDOT acknowledges this improvement as a success of the initiative. • TDOT has not experienced any projects being withdrawn from recent bid letting. e TDOT pilot team and TDOT leadership said that the response to the tool has been posi- tive. Initially there were some concerns that the process of developing the forms and checklists and educating agency sta would require extra eort. However, TDOT is pleased with the posi- tive response. e sta were receptive to the tools, the forms, and the streamlined process that was developed for managing the bid letting. Delays and quality issues in bid letting can increase the project costs. The tools and practices from Initiative 2 and 3 were used in a recent bid letting, and every project was awarded because there were no missing plan items. This reflects the success of this effort. —Angie Duncan, PE, Assistant Director, Estimating and Bid Analysis TDOT has started using the products of this initiative to manage large bid lettings. e project champion said that no projects were withdrawn from these lettings. is is a signicant change and represents an improvement resulting, in part, from Initiative 3. Tools Developed As detailed earlier, this initiative resulted in the development of several tools. ese include: • e Construction Plans Review Form, • e Construction Plans Submittal Delay Form, and • e Construction Plans Checklist. Construction Plans Review Form. is is an electronic form, a snapshot of which is shown in Figure 4.8. is form serves as a communication tool. It requests all divisions listed to review and approve the project plans detailed in the checklist. It provides editable elds and details of what plans the portfolio plan set includes. It details the location of the les and the names and elds to approve, deny, or indicate whether action from a given oce is not applicable for a given project.

Pilot Case Studies 37   e form includes instructions to the project-development employee to complete and distribute the form. e form includes step-by-step instructions for the construction plan submittal. e details included in the form ensure consistency and provide clarity for all TDOT personnel working on the plan submittal. e Construction Plans Submittal Delay Form. is form is to be lled out by the project- development employee when the construction plans will not make the scheduled letting because one or more TDOT divisions deny that the plans are ready for construction submittal. e Con- struction Plans Submittal Delay Form is a communication tool to alert upper-level management that projects will not make a scheduled letting. e form and the accompanying detailed instruc- tions ensure consistency across all projects that are scheduled for bid letting and address the risks to bid letting. It shows the workow and identies the areas of risk to submittal, which allows TDOT to review and implement mitigation strategies to address future delays. e form also ensures accountability through dierent areas of TDOT. e form is included in Appendix A. e Construction Plans Checklist. When completed, the Construction Plans Checklist will become a formal element of the TDOT project-development process and guidelines. is inclusion will give the checklist formal stature as an essential form that must be included with FINAL CONSTRUCTION P L A N S R E V I E W TO: Construction (HQ) TDOT.HQ.Construction@tn.gov District Operations: Choose District Environmental Coordinator (Regional): Choose Region Environmental Division: TDOT.Env.NEPA@tn.gov TDOT.Env.Mitigation@tn.gov TDOT.Env.Permits@tn.gov Geotechnical Engineering Section: TDOT.Geotech@tn.gov Operations Director (Regional): Choose Region Right-of-Way Director (HQ): TDOT.HQ.ROW@tn.gov Right-of-Way Office (Regional): Choose Region Roadway Design Division: TDOT.PavementDesign@tn.gov TDOT.QualityAssurance@tn.gov TDOT.WZ-Review@tn.gov Structures Division: If plans include Structures TDOT.Structures@tn.gov If plans include Retaining Walls TDOT.StructuresRW@tn.gov Traffic Operations Division: If plans include ITS TDOT.TrafficOps.ITS-Reviews@tn.gov If plans include Signals and/or Lighting TDOT.TrafficOps.SNL-Reviews@tn.gov If plans include Signs TDOT.TrafficOps.Sign-Reviews@tn.gov Utility Office (Regional): Choose Region FROM: Project Development Employee DATE: Click here to enter a date. SUBJECT: COUNTY: PIN: PROJECT NO.: PROJECT DESCRIPTION: LETTING DATE: This form is a request for all divisions to approve the subject project plans to be in the Click here to enter a date. letting. The Construction Field Review Report is attached for reference. Plans shall be reviewed concurrently by each division, digitally signed, and emailed back to me at *.*@tn.gov by Click here to enter a date. If you deny that the plans are ready for letting, please provide comments in the email describing discrepancies or other outstanding issues that will not allow the project to be let as scheduled. Source: TDOT. Figure 4.8. Final Construction Plans Review Form.

38 Implementation of the AASHTO Guide for Enterprise Risk Management all bid lettings. Its completion will be an expected assignment for the engineers who manage projects. Incomplete plan sets will become the responsibility of the project engineer. To ensure that staff understand the checklist and its purpose, each region, district, and project-development unit were briefed and involved in the development of the checklist. WebEx meetings were conducted with all divisions that must sign off on plans. The respon- sibilities were made clear, so divisions will know what is expected of them and can plan accordingly. The checklist is available electronically and can be easily accessed by the project-development staff. Additionally, any staff can access the checklist for any project to ascertain how complete a plan set is and what elements remain to be completed. To pilot the checklist, the initiative lead recommended that each region choose one project and go through the process and see if there were any problems. The region’s review is intended to identify any problems with the proposed checklist so that lessons can be learned from pilot feedback. Figure 4.9 shows the details included in the Construction Plans Checklist. The signature sheet highlights the detail covered in the Construction Plans Checklist and the digital signa- ture requirements. The checklist for roadway signs is included in Appendix A. Each plan item covered in the checklist index has similar details. The Construction Plans Submittal Approval Form. The Construction Plans Submittal Approval Form, also included in Appendix A, is to be completed and distributed by the project- development engineer of record or the project-development employee who is managing the consultant project. The engineer of record is responsible for circulating the checklist and receiving assurances from each specialty area or reviewer that their elements of the project plans have been completed and that approvals such as permits have been received. Challenges and Lessons Learned Challenges included finding the opportunity to consult with all the regions and the many work units that are involved in the project-development process. Also, the pandemic compli- cated plans to meet with staff and to identify schedules for the projects that were to be tested with the tool. One question that remains to be resolved is what to do if there are disagreements about whether a project is ready. The expectation is that the consultation throughout the project will serve as a forum to resolve any disputes about whether a project is ready. While internal deliverables are improving, the biggest challenge remaining is getting outside utility plans for timely review. This is being reviewed by the pilot team. Recommendations to Peer Agencies The lessons learned from Initiative 3 could help other DOTs. All DOTs face change orders and letting revisions because they all face the same problems. If other states developed their own version of the form reflecting their project-development steps, it could help them as it already is helping TDOT. A substantial amount of coordination was conducted to develop the checklists. Several meetings were held between the Programming Division and the four regional project delivery directors. Multiple meetings were held with the Programming Division to confirm that it was

Pilot Case Studies 39   Source TDOT. Figure 4.9. The index to the Construction Plans Checklist.

40 Implementation of the AASHTO Guide for Enterprise Risk Management developing risk assessment plans on projects as required by the pilot initiative. Meetings with Environmental Division sta were productive and ended with agreement to include risk in the document produced by that division. Support of leadership and follow-through and engagement of all areas were important parts of the pilot success. e TDOT pilot team conducted numerous meetings and educated the divisions and regions about the tool, while leadership showed support for the initiative. Next Steps for Full Implementation Aer the initial use of the checklists, TDOT intends to assess the implementation by moni- toring the piloted projects in the letting phase and construction phase and seeing if there are fewer change orders or last-minute revisions before bid lettings. A signicant issue is whether projects need a revision for something that should have been identied earlier. ere is a close alignment between Initiative 2 and Initiative 3. TDOT has already started piloting Initiative 2. As the Initiative 2 projects get close to being ready for bid letting, the forms and checklists will be used to track the plan bid elements. e results of testing this project will be reviewed, and as appropriate, additional changes will be made. TDOT intends to move forward with implementing the products of this initiative in the appropriate new projects. 4.2 Utah Department of Transportation UDOT developed four initiatives to address risks in two categories. The first category addressed risks to developing and retaining the workforce UDOT needs. The second category is related to managing natural disaster or environmental risks to highway cor- ridors. UDOT identified three initiatives for the workforce effort and one for the corridor effort. Initiative 1 focused on reducing risks to UDOT’s objectives by improving hiring practices and retention by helping employees see a long-term career path at UDOT. Initiative 2 focused on reducing risks of poor performance by enhancing the employee performance-evaluation process and strengthening supervisors’ leadership skills. Initiative 3 was to reduce risks of poor performance by developing a knowledge management process to capture accumulated knowledge as sta leave and to provide access to accumulated knowledge when sta are hired or promoted to new positions. Initiative 4 was to develop a repeatable, scalable (or tailorable) process to assess risks to corridors caused by natural disasters. 4.2.1 UDOT Pilot Initiative 1: Mitigating Risks to Hiring Practices and Improving Career Paths UDOT Initiative 1 was intended to mitigate risks to hiring the workforce that UDOT needs to fulll its mission. Objective e objective of this UDOT initiative was to help employees plan their careers, help divisions plan succession, identify competency gaps, and plan for the future: hire the right person for the job; train the person in the job; provide information about opportunities.

Pilot Case Studies 41   The risk statement was: If we don’t offer career advancement opportunities and earning potential to new and current employees, then we risk losing our best and brightest employees to companies that do offer these opportunities, causing a loss of talent at UDOT resulting in an underperforming or overburdened workforce. Three strategies or mitigation objectives were identified for this objective. They were to: • Provide a toolkit of best practices for hiring managers, supervisors, and employees so that employees could better navigate their first 30 days and understand their career-path options; • Provide best practices for hiring; and • Provide ways to improve current processes. Implementation Methodology The UDOT pilot team for this initiative was methodical in its approach to working on the pilot activities. It formed a team and had several virtual meetings to review the risk statements and the candidate strategies. It assigned roles and responsibilities to project team members for the various subtasks. The project led to UDOT forming a diverse risk team to fully focus on risk for a longer period of time and to UDOT conducting detailed risk identification and analysis. The team’s project-management approach and regular project update meetings, in which teams identified objectives, developed mitigation strategies, and regularly tracked progress, helped ensure progress on the initiative. The updates brought the team members together to discuss progress and potential roadblocks, as well as to implement actions to ensure that progress was being made on implementing the mitigation strategies. One of the early steps in the process was data gathering to identify shortcomings. The team achieved this through the following activities: • Discussions with hiring supervisors across the state. Early in the implementation process, the UDOT pilot team met and discussed the hiring and on-boarding process with hiring supervisors around the state. The discussions revealed that supervisors were not given many tools to work with, and as a result, the hiring process could vary across the state. Some small work units may only hire one employee a year. As a result, they did not become familiar with the hiring process and were not trained in how it should work. The candidates were not clear about what to expect in the hiring process. Sometimes the process took weeks, and candidates took other jobs while awaiting confirmation of whether they were hired. These discussions revealed that: – There was a lack of understanding of the recruiting and hiring process, and – There were no tools or training for hiring supervisors to help them follow a consistent and effective hiring process. • As part of the data gathering effort, the pilot team was able to take advantage of a statewide survey of employees that was deployed during the time of the project pilot. Although not part of the project implementation, the survey came at an opportune time and contributed to the ongoing improving hiring practices and career path initiative. The employee satisfaction survey was conducted statewide and was not unique to UDOT. It was based on a survey instrument developed by an external company and included analysis of how to interpret the results. The pilot team summarized the survey results that were pertinent to this effort. The results provided the highlights of the employee concerns. This information was further analyzed to discern whether those concerns could be addressed to improve retention. The information was used by the pilot team at UDOT to establish the mitigation strategies. • In addition, the UDOT pilot team used information gathered from employee tracking soft- ware to understand the training needs and used the information to develop mitigation strate- gies. UDOT had acquired software for tracking employee development. The software allows UDOT to analyze employees’ opinions about employee development efforts such as training.

42 Implementation of the AASHTO Guide for Enterprise Risk Management It also allows UDOT to track the training that employees have received and to better under- stand the skills that employees have developed. e soware can help improve training by gathering and analyzing employee feedback and by indicating where employee skills could be enhanced with additional training. Resources Needed Several resources were needed to implement this initiative, which was led by UDOT’s training manager. e pilot team included members with expertise in data analysis, performance man- agement and audit, human resources, and process improvement. e implementation eort required resources to schedule and conduct meetings across the agency on hiring practices. Resources were needed to analyze the data gathered from the surveys and, to some extent, from the soware, and to summarize the information to understand the strengths and gaps in the recruiting and hiring practices. Based on the analysis results, training needed to be developed and provided to all hiring supervisors so that they would be well trained and that there would be a consistent and eec- tive hiring process across the agency. e resources necessary to accomplish this would also be needed for full implementation. Successes/Accomplishments UDOT stated that new employees and the hiring supervisors faced challenges before the project pilot initiative. e hiring supervisors lacked readily accessible information on how to recruit, train, and retain the best talent. New employees sometimes lacked basic information about the nature of their jobs or about what their career opportunities were within UDOT. UDOT identied the measures of success for the initiative to be: • All UDOT employees will have access to guidance information on how to navigate the hiring process, including pay negotiation options. Figure 4.10 shows a screenshot from one of the tools developed to help supervisors cra career paths and develop new hires. • UDOT will create an automatic system/procedure to send information and training materials to anyone hiring an employee. is process will be triggered at job posting to get the appropriate information to the supervisor and employee at the right time. Source: UDOT. Figure 4.10. A screenshot from the UDOT training for supervisors on hiring and leading employees.

Pilot Case Studies 43   • New employees will feel condent during their rst week at UDOT and in their new position. Designing the transition from new employee orientation to employee workstation will allow the shi to go smoothly and ensure that the employees will have the resources they need to start work. Several successes resulted from the pilot implementation: • As part of risk mitigation, UDOT developed several resources for hiring supervisors and new employees. UDOT did the following: – Compiled and consolidated all the links to online hiring practices and forms into one easily accessible location so they can be conveniently located and accessed by managers. – Created a checklist (see Figure 4.11) for hiring managers to walk them through the steps for posting a job opening, interviewing, hiring, and orienting a new employee. – Provided on-boarding information for all new hires to better prepare them for the orienta- tion and training process. – Developed information on the skills employees need to advance their careers. is infor- mation helps new hires see a career path for themselves, which can entice them to remain at UDOT and take training, as well as provide a stable career path. • A toolkit for hiring supervisors and a checklist for new hires were developed. Both are explained in the Tools Developed subsection that follows. e toolkit contains sample tools. e toolkit can be modied for any state’s hiring process. e idea of helping employees cra career paths could be applicable to other DOTs. roughout the implementation of the project, other DOT sta mentioned employee turnover and the diculty of recruiting people with the skills their agencies need. e career path example UDOT produced in the project could provide a template for other DOTs that want to retain sta by oering them a meaningful career ladder. • UDOT began identifying the competency needed for every role. is allows new hires to see a career path when they are brought on board. ey can see how the training they take and the new competencies they develop can help them increase their salary and attain higher positions. So far, competencies have been identied for some UDOT positions, such as trans- portation technicians, designers, and training managers. e list of positions for which com- petencies are being identied grows every month. e identication of competencies will help with employee retention. Employees can see which competencies they need to develop and know that UDOT oers training to develop those competencies. e competencies are on Source UDOT. Figure 4.11. The supervisor’s checklist for interviewing candidates in preparation for hiring.

44 Implementation of the AASHTO Guide for Enterprise Risk Management a searchable website, which allows employees to find the courses they need to develop their career paths. UDOT faces competition from private-sector employers with higher initial salaries. How- ever, UDOT believes it provides better long-term career opportunities and more opportuni- ties for employees to broaden their skills and make themselves competitive. To address the salary issues, UDOT can provide new hires with a long-term career path that enables them to see that if they pursue UDOT training, they can steadily increase their salaries and advance their career opportunities. • Better information to candidates about their job duties. One issue that affected retention was that some newly hired transportation technicians did not understand the tasks they were expected to perform. It is understandable, but it was not unusual for newly hired transporta- tion technicians to resign soon after being hired because they had not realized what the job would entail. Now, supervisors have a checklist to review when they interview candidates. The candidates will understand the duties for which they are being hired. If they do not want to perform those duties, they can withdraw from the application process. The candidates hired who better understand their role are more likely to remain with UDOT. • The acceleration of remote learning and orientation for UDOT workers. The COVID-19 pandemic has accelerated remote working and learning trends that were already underway at UDOT. UDOT is deploying technology and developing training modules for the hiring practices and career path initiative that can be viewed from anywhere at any time. UDOT is anticipating that many workers in remote locations may have some of their orientation take place online. • A key cultural imperative is employee safety. UDOT wants its safety training to ingrain a culture of safety into all employees. A challenge with COVID-19 is how to reach employees with important cultural messages while socially distancing. UDOT is continuing to improve its remote learning and remote communication technology to effectively provide training and a personal experience despite the distances involved. These changes are helping UDOT recruit and retain employees with the skills the department needs. The expanded information new employees are given about possible career paths allows them to see the opportunity to grow personally and professionally. That helps offset the higher salaries that private employers may offer initially. The potential employee can see that with UDOT, the initial salary may be lower, but the long-term salary and opportunities are more attractive. The information about career paths is attractive for young candidates, or the Generation Z cohort. They are often attracted to the opportunity to try new things while increasing their work-life balance. When they see that UDOT offers a diverse set of opportunities and the chance to try new roles every few years, it can be attractive to them. UDOT is forecasting a substantial wave of retirements in the next few years. The employee hiring and retention efforts are important to retain some employees and replace those that retire. UDOT Director Carlos Braceras invests considerable effort into speaking with all new hires and sending them a personal note. His engagement is part of the culture to create a “UDOT family” and let all employees know that they are valued (C. Braceras, personal communication). UDOT understands the importance of personalizing training and will be taking on the techni- cal challenges of developing and conducting online sessions. The human resources office’s role is to provide meaningful support to employees. The human resources staff embrace the technical challenges presented by COVID and the remote learning environment and will reach out to the new employees to make them feel part of the UDOT family.

Pilot Case Studies 45   Tools Developed Two tools were developed from this initiative. Toolkit. One of the tools developed was a toolkit for hiring managers (included in Appendix B; see also Figure 4.12). It includes guidance for managers to follow from the time they decide to post a position through the orienting of the new hire. The intent is to make it easier for hiring managers to navigate the hiring process. Also, the toolkit helps hiring managers orient employees so that they understand the job they are taking and can see a long-term career path. The assumption is that if the right people are hired and those people see long-term opportunities for themselves, UDOT will be better able to hire and retain the workforce it needs. The supervisors’ toolkit includes advice from the point at which the supervisor is considering posting a job through the processes of advertising, assessing applications, interviewing candi- dates, offering the position, and then orienting the new employee. The toolkit encourages the hiring supervisor to rely on the human resources department to help with posting jobs, assessing candidates, and otherwise navigating the state personnel system. It also includes advice on estab- lishing interview panels, developing interview questions, conducting interviews, and checking references. The toolkit summarizes the steps that should occur in the on-boarding phase after a candidate is hired. These include preparing employees for the 3-day orientation process, as well as ensuring that they tour their worksite, meet their coworkers, and receive the passwords and forms they need to access equipment and computers. In addition, the probationary period and its reviews are explained. New Employee Checklist. Another tool in Appendix B is a checklist of information for new employees, which briefly provides the list of activities and steps that new employees will experi- ence. These include participating in a new employee welcome and orientation meeting, a 2-day safety course, completion of a strengths assessment, and what to expect when reporting to their worksite on the first day. Challenges and Lessons Learned Among the lessons learned was that UDOT needed to accelerate the process of providing options for remote training and communication. UDOT was in the process of developing a training curriculum for hiring managers and new employees when the pandemic struck and ended most in-person training. This change accelerated the shift away from in-person train- ing to online training. Without the pandemic, UDOT expected that training would naturally and slowly have evolved to being online. The pandemic caused online training to accelerate by 5 years, and the future is now in terms of finding new ways to provide training to a dispersed but connected workforce. UDOT shifted most of the training and orientation to the online mode to be delivered through the UDOT Learning Portal. UDOT already had a mature risk management process before this project, but the project provided lessons that UDOT can apply in the future as it addresses new risks. The project period was the first time that UDOT formed diverse risk teams and had them focus on a risk for more than a year. The project resulted in detailed risk analyses. In addition, the project-management approach, in which teams identified objectives, developed mitigation strategies, and then regu- larly tracked progress, was an important aspect that kept the mitigation on schedule. Another lesson learned through the project initiative is that leadership in developing the talent of the workforce begins before the employees are hired. Retaining an effective work- force involves having a good hiring process, giving managers the tools to select the best talent, and providing new hires a career path. Knowing that they have a career path encourages the employee to develop skills and to remain with UDOT to advance their salary and career.

46 Implementation of the AASHTO Guide for Enterprise Risk Management Source UDOT. Figure 4.12. A page from the hiring toolkit.

Pilot Case Studies 47   Yet another lesson was to expect technical complications in the early weeks of online train- ing and orientation. UDOT had a new-hire orientation session based on the new, improved process developed during the project implementation. Three new employees who were local to headquarters participated in person, while a fourth participated remotely from a regional office. This remote training piloted what is expected to be the new process for employees outside of the headquarters region. Although there were some technical issues to resolve with this remote training, the orientation was indicative of how many of the new-hire orientations will be con- ducted in the future. Challenges included ensuring that the technology works well and that the microphones, speakers, and computer connectivity are adequate to support the remote orienta- tion. COVID-19 complicates sound and video communication, especially where the presenters must be masked and socially distanced. However, the session represented some of the new reali- ties of dispersed employee orientation that UDOT will need to adapt to. Some remote areas of the state lack Internet access, and employees there must travel to main- tenance sheds for training. Another lesson is that presenting online for 4 hours or more can be more difficult than presenting in person. Trainers need to develop new skills to be effective online presenters. Next Steps for Full Implementation The new on-boarding process has been beta tested, and adjustments have been made to improve it. The new process is now standard practice and will be used to help hiring managers recruit and retain new employees. The initiative also provides UDOT employees more informa- tion about how to develop a path for their careers. Among the tasks that were completed or are underway are: • Compiling all the information on hiring onto one web location, with links to all the necessary forms and guidance to simplify the process for hiring managers. • Reviewing policies and procedures to update them if needed, such as requiring that hiring best practices be sent to managers when they post a new position opening. • Identifying any additional gaps in information needed by hiring managers or job candidates. • Posting the developed materials onto the UDOT website and Learning Portal. • Continuing to improve the technology deployed to allow remote on-boarding and training of new employees. • Expanding the number of easy-to-access online resources for hiring managers. • Continuing to identify the needed competencies for additional positions so that new employees can understand the skills they would need in order to advance to those positions. 4.2.2 UDOT Pilot Initiative 2: Performance Management and Leadership Development UDOT Initiative 2 was intended to reduce the risk of poor performance by improving the employee performance management process and by strengthening supervisors’ leadership skills. Objective Initiative 2 began as two initiatives, one related to employee performance management and another to supervisor and leadership development. They were combined into one initiative entitled Employee Performance Management and Supervisor and Leadership Development. The objective developed by the UDOT teams for the employee performance management initiative was: Performance management and having the right person for the right job. Provide a platform and train- ing that encourages valuable conversations between employees and their supervisors about performance/ development goals and expectations.

48 Implementation of the AASHTO Guide for Enterprise Risk Management The risk statement for the employee performance management objective was: If supervisors do not have effective ways to understand, measure, and discuss the employee’s performance, then the employee will not be able to make meaningful and aligned goals, impacting the employer’s ability to address unsatisfactory performance or reward excellent performance, resulting in unclear expectations lead- ing to feelings of disengagement from their work and general dissatisfaction from their supervisors. The mitigation strategy UDOT developed for employee performance management risks was: Require employee development and success plans that facilitate meaningful conversations between each supervisor and employee. Create accountability in this process. Guide and educate employees and supervisors in the vision of these plans. This includes: • Use UDOT’s performance plan system to encourage conversation, and • Document and measure performance to enable accountability enforcement and recognition. The objective relating to supervisor and leadership development was: Have well-trained leaders acting as our managers and supervisors. Establish a culture of our supervi- sors fully utilizing employee talent; supervisors that mentor and cultivate and develop their employees’ talents and strengths. The risk statement for the supervisor and leadership development objective was: If disengaged management is the cause of good employees leaving UDOT, then we will not have the personnel to execute our goals, degrading our work efficiency and effectiveness, thus resulting in our inability to attain our department mission and goals. The mitigation strategy UDOT developed for the supervisor and leadership development risk was “improve supervisor and leadership training.” This includes: • Shape the performance culture by providing quality leadership training; and • Train supervisors to coach, cultivate, and develop their employees’ talents and strengths. Implementation Methodology The UDOT pilot team for this initiative met every 2  weeks from early October  2019 to February 2020. Among the decisions the team had made was to retain as a management system the Utah Employee Management System. The team concluded that the system was adequate for tracking employee development. What was needed were more skills for frontline supervisors to help employees understand the skills they need to be engaged and productive. The team con- cluded that it was more important that supervisors and employees have productive conversations and clear expectations than to have a new employee development management system. The team determined that it was better to use the tools they had but to focus on better training for managers. Although the team found many management systems on the market, they found that the management system they have in UDOT is adequate. They determined that it was most impor- tant to provide supervisors training on what the conversations with employees should entail. The UDOT pilot team concluded that, with better training, managers could provide more effective guidance to employees, better communicate with employees, and help employees develop their strengths. If employees are more satisfied in their jobs, they are more likely to stay at UDOT and to be productive. The objective was to ensure better communication between employees and supervisors about job performance and expectations. As part of the project implementation, the UDOT pilot team identified the following: • Based on a focus group held by the pilot team, they found that the solution came down to addressing, “How do we encourage better communication and give supervisors the right tools to have the conversations with employees?”

Pilot Case Studies 49   • When analyzing mitigation eorts, nd a system for managers. To nd a good system, con- duct research on methods and applications and nd good practices. • It was ne to stay with the current employee development computerized management system, but it is important to add new tools for supervisors to have more eective conversations and to provide more eective direction to employees. • e statewide human resources unit was using a questionnaire that asks employees 12 basic questions about their job satisfaction. at survey has been given to UDOT employees, and the results were being analyzed. UDOT intends to use the results to inform and improve the understanding of what makes UDOT employees satised or dissatised with their jobs. • UDOT is also using a skills assessment product, which asks employees a series of questions to discover their individual strengths. • e pilot team looked at dierent employee development management systems on the market and took from them the ideas useful to UDOT. e pilot team focused on communication and laying out clear expectations for employees. ey found it important that the supervisor communicates expectations to employees. Perfor- mance management requires a clear understanding of the overall agency vision and the expecta- tions for the individual employee. Also, employees need to know that they have the backing of supervisors, and they need a comfort level and vision of where they are going and what is expected of them. at conclusion also pointed to the solution to the second risk, which was that when employees are disengaged, they are more likely to leave the department. Figure 4.13 shows one of the slides presented at the pilot workshop and includes advice on how to keep employees engaged. From the fall of 2019 through April 2020, the pilot team met every 2 weeks to identify gaps and to develop communication materials and training; it delivered two workshops. UDOT has a quarterly leadership topic series. e pilot team selected this series as the best vehicle through which to implement the training. e team had to obtain the resources to identify gaps, develop the communication and training, coordinate across UDOT to nd appropriate locations to pilot the training, and pilot the training materials. en the team nalized the training and, with the appropriate approval, included it in UDOT’s existing program. e pilot team was tasked with conducting research and meeting with supervisors to iden- tify areas of gaps and prioritize them for training course development. e pilot team deter- mined that it was important to have supervisors trained as leaders as well as supervisors. Oen Source: UDOT. Figure 4.13. This is one of the slides presented at the pilot workshop for frontline managers. It includes advice on how to keep staff engaged and successful.

50 Implementation of the AASHTO Guide for Enterprise Risk Management supervisors become supervisors because of their technical skills, not for their role as team leaders. As employees become supervisors, they need training as leaders to win the support of their teams. They need not only the technical skills to do their jobs but also the interactive skills to lead a team. The pilot team identified the skills and training to focus on as part of the mitigation. Based on the meetings and gaps found, the team identified five priority areas for training of supervisors: coaching, performance improvement, emotional intelligence, change management, and conflict resolution/negotiation. The pilot team worked to get senior leadership approval to include this topic as a Level 3 topic series in the Leadership Development Program. The materials were developed with the help of the communications and training team. One workshop was on improving employee perfor- mance and was conducted for the Region 4 senior leaders in March 2020. Another workshop was on coaching. It described how to use information on employee strengths, as opposed to focusing on weaknesses, in an employee development program. This workshop was piloted by the team in September 2020. Resources Needed This pilot initiative was led by the UDOT training manager with support from an assistant traffic engineer, who actively managed meetings and kept the pilot team on track. The pilot team had eight members, including subject-matter experts from communications, performance, human resources, and executive leadership, as well as a division supervisor and representatives from training and development and Region 4. To implement the initiative, the pilot team had to assign additional resources to complement the team and accomplish each of the tasks detailed previously. Successes/Accomplishments The UDOT team felt its efforts were successful. There were some innovative mitigation strate- gies, such as focusing on employees’ strengths. Accomplishments include: • The project initiative on employee development and engagement complemented the state- wide employee satisfaction survey. The survey allows UDOT to see how its employee satis- faction level compares to that in other agencies. UDOT will also be able to track changes in employee attitudes over time. • UDOT will be able to track which supervisors were trained and how their employee attrition rates compare to those of supervisors who were not trained. However, UDOT would be cautious of drawing conclusions. Turnover could be tied to pay scales, which in some parts of the state are not competitive with the private sector. The initiative provided UDOT with a new training process for helping managers identify and build on employees’ strengths. The initiative will contribute to developing employees with the skills UDOT needs and will contribute to retaining those employees. Considering that well-trained, knowledgeable employees are the core asset necessary to support and implement UDOT’s mission and goals, this initiative is a high priority. The project implementation support helped UDOT break down long-standing risks into their components, which allowed for more focused, manageable strategies to tackle them. UDOT had long been aware of the risks posed by the issues it addressed, but it set these aside because they were deemed to be too large to manage. The project implementation approach allowed UDOT to deconstruct the risks into more manageable pieces. The risk mitigation strategies fit into existing processes, which allowed them to be managed more easily. UDOT’s seven-level management training process, which already existed, was aug- mented with the risk mitigations identified during the project. The effort was an opportunity to

Pilot Case Studies 51   enhance what was already in place, and the process led UDOT to methodically identify risks and develop objectives and mitigations to overcome these risks. e initiative provides tools to build from employees’ strengths and allow supervisors to understand how to provide guidance that motivates employees. e initiative makes the regular employee-evaluation process more meaningful and less of a routine administrative function. e initiative also provides examples of training for managers so they can develop leadership skills in addition to supervisory ones. UDOT was willing to share the facilitator’s guide, participant guide, and worksheets for the training. It believes these will be useful to other state DOTs. Tools Developed Training. To implement the mitigation, the UDOT team members developed and piloted new training for managers on how to provide better guidance to employees. e rst pilot train- ing, in February 2020, was limited to ve people and was intended to test the pilot before deploy- ing it with frontline supervisors. e second pilot was held in March 2020 in Region 4 with frontline managers. e piloted training gave UDOT the opportunity to introduce the impor- tance of communication and ensure that the supervisors conveyed their expectations to employ- ees. e training instructed how to communicate expectations eectively and conveyed the need to then document the expectations and performance goals in the performance management system. e pilot workshops enhanced supervisors’ skill development around how to build from employees’ strengths to communicate and give sta the direction they need to be successful. e piloted training included an instructor guide as well as participants’ guide and work- sheets. Worksheets included one to identify participants’ strengths, and there was training on how to communicate their strengths. e worksheets gather responses to statements such as, “You get the best from me when. . . .” Participants then explain the type of supervision that makes them productive. Another statement to answer was, “You get the worst from me when. . . .” Figure 4.14 shows a slide from the employee performance pilot workshop with the steps that UDOT envisions for successful employee development. Source: UDOT. Let Them Know They Made the Right Choice Pick the StarsRecruit Top Talent Build Strength and Purpose Set Clear Expectations Coach Career Growth Opportunities Encourage Career Options Figure 4.14. This slide from the workshop shows the steps UDOT envisions for successful employee development.

52 Implementation of the AASHTO Guide for Enterprise Risk Management Two pilot workshops were expected to be conducted in person, but because of COVID-19, the training was replaced with virtual sessions. The virtual training approach solved some prob- lems, such as how to reach employees across such a large state and how to reduce travel time. The UDOT pilot team hopes to deliver this training four or five times a quarter. It will replace the former Level 3 training, which consisted of a speaker’s bureau where a different speaker would present each quarter. The new training will be offered more frequently and will address the five topics related to the initiative. The pilot team hopes to reach more supervisors with the new approach. The first training was on using the employee strengths assessment. This training was tested as a virtual training session in September 2020, and the second session was scheduled to be offered in October 2020. Before deploying a new training session, it is tested, and feedback is sought on what worked in the training and what did not. The feedback on the in-person pilots and the virtual pilot has been positive. The regional leadership who participated in the March 2020 in-person session were positive about the train- ing and eager to roll it out to their work units. Challenges and Lessons Learned The following were lessons learned from the project pilot, according to the UDOT participants. • The UDOT team suggested that personnel who will be brought in to implement a mitigation strategy be involved early in the effort. A larger team was assembled to help implement the mitigations after the risks were identified and mitigation strategies developed. Some of the team members wanted to add more risks and more mitigations. Some participants felt like they were rubber stamping mitigations when they would have liked to be involved in shaping the mitigations. The UDOT suggestion was to engage more implementers early, even as early as the risk-identification stage. • Involving the human resources and employee development staff was essential. Some of the initiatives involved aspects that were already under development by human resources and employee development. The project implementation effort complemented and relied on these efforts. • In terms of lessons learned from the virtual training, the pilot team said that the virtual meet- ing software that allows for breakout sessions was found to be useful. Some formats only accommodate a one-way presentation, from the presenter to the audience. Other meeting tools allow small group breakouts, which are important when training is interactive and participa- tory. The UDOT pilot team recommended that virtual training be deployed with software that has breakout meeting capabilities. • With the technology that allows breakout sessions, participants can also share what they learned in the breakouts. Much like the in-person breakout sessions, in the virtual sessions, participants can break into small groups, conduct exercises, and then debrief with the larger group. The coaching training involved about 10 people with four breakout activities. When deployed, the plan is to have between 16 and 20 participants per session. That is large enough to have many different experiences to share but small enough for interaction and sharing. UDOT is including some role playing in its training. Part of the role play will involve a supervisor helping an employee recognize his or her skills when the employee believes he or she is underperforming. Role playing also will occur in which participants play the role of counseling an underperforming employee who believes he or she is performing well. Figure 4.15 is one of the slides from the pilot workshop and provides suggestions on how frontline supervisors can increase their effectiveness.

Source: UDOT. Figure 4.15. Skills to enhance the supervisor’s effectiveness.

54 Implementation of the AASHTO Guide for Enterprise Risk Management • It is important to review the performance and results of each mitigation strategy and revise them as needed. The pilot team thinks that it is hard to evaluate the lasting impact of any training. The project pilot team provided useful new tools to the UDOT supervisors, includ- ing training, worksheets, and suggestions for engaging the workforce. UDOT will have to incorporate additional feedback mechanisms to assess how effectively the new skills and tools are being used and, as needed, take additional corrective action. • Another lesson is that training cannot be successful through offering just one training session and expecting behavior to change. Change requires continual engagement and opportunities to follow up and determine how behavior has been altered. The quarterly leadership topics are intended to build on the earlier information provided. It is important to follow up and see if supervisors used the workshop training and whether the techniques worked. It is also important to ask the supervisors, “Have you had these conversations with your employees?” Without the feedback loop and ongoing follow-up, it is hard to know if there is a lasting impact. A takeaway is, “You cannot offer training just once and expect change.” Training is an incremental process of revisiting topics and supporting change management. • It is difficult to say if risk management is making a difference because it is hard to mea- sure what affects employee behavior. UDOT can measure employee turnover and whether it increases or decreases, and UDOT can survey employees and measure their satisfaction over time. But it is difficult to correlate risk management and training because other factors, such as the economy and salaries, influence turnover. • Assessing success will be a long-term, ongoing process. The use of focus groups can help identify issues and fine tune responses to employee retention and satisfaction. Next Steps for Full Implementation This initiative has been set up for continuous, ongoing, incremental implementation. The plan is that, as UDOT completes one mitigation strategy, it will know what the next one to focus on should be to continue to fully address the objectives of this initiative. Therefore, the imple- mentation will continue after the support from the project is complete. 4.2.3 UDOT Pilot Initiative 3: Knowledge Management Process UDOT Initiative 3 was intended to create a knowledge management process to reduce the risks of poor performance and lost knowledge. Objective UDOT’s objective for this initiative was driven by the reality that, like many other DOTs, it is facing challenges to knowledge management. The workforce is aging, resulting in frequent turnover and the loss of institutional knowledge. Successful and sustainable strategies to knowledge management require an efficient and cost-effective process to capture and update the institutional knowledge and make it available easily and digitally to the workforce. UDOT intends to develop and implement a knowledge management framework to deliver the right information so people can take the right action at the right time for the right reasons. This framework is also to address rapid change, ensure a culture of innovation, and train and help employees learn as quickly as possible. Through this initiative UDOT intends to start the process of knowledge management to align organizational knowledge, data, applications, technology, and staff with organizational goals and objectives necessary to drive and improve organizational agility as it moves into a fully digital environment.

Pilot Case Studies 55   UDOT defines the knowledge management framework as a collection of policies, processes, and practices relating to the cultivation, identification and documentation, utilization, sharing, and retention of intellectual/knowledge-based assets in the organization. It is a management practice that fosters collaboration across organizational and disciplinary boundaries and links people who have the requisite knowledge with those who need it to do their jobs. The risk statement was: If the organization is unprepared for turnover, then key employees with institutional knowledge will not pass on their expertise to other employees who assume their roles. The team identified the following mitigation strategies, which have been refined over time: • Record institutional knowledge for each role. • Develop a competency framework and training. • Develop a best-practice guide and procedure for overlap near retirement, as well as one for general job sharing. • Develop a knowledge management framework. One of UDOT’s objectives is to have a well-trained workforce. Creating and sustaining a well-trained workforce is a complex task, requiring many years of effort. UDOT’s chief learning officer participated in the AASHTO Knowledge Management Committee. The creation of this national committee is a confirmation that knowledge management is a challenge to many departments and one that UDOT has decided to address. Implementation Methodology Managing knowledge across a large, complex organization is a challenge. Some of the efforts of the UDOT initiative were to make the case for knowledge management and to set a path to try to address it. The UDOT pilot team focused on three areas: 1. Examining the value of having a knowledge management process. 2. Looking at what knowledge management resources UDOT already had. 3. Assessing what knowledge management process or resources the department needs. During the time of the project implementation effort, the UDOT staff involved in the knowl- edge management initiative participated in a statewide-required process called the Success Group. This was a process that was required in Utah before a state agency could undertake a new process, and it was required for agencies to evaluate existing efficiencies. The process involved: • Articulating a clear and concise goal. • Developing system performance measures. • Developing and implementing improvement strategies. • Creating a visual workflow (Utah Office of Management and Budget website, https://gomb. utah.gov/success1/, accessed October 2020). As part of the Success Group effort, an operational team was formed to examine the knowl- edge management risk and potential implementation strategies. The team operated under the UDOT office that manages policy, legislative affairs, and fiscal affairs. This group was led by six senior agency leaders who set direction and vision on knowledge management. This group and its participation generated senior leadership support for the knowledge management initia- tive. In an early meeting, the group discussed what types of knowledge management UDOT may need and what type of knowledge management culture it should develop. Agreement that knowledge management is important was a big step forward that contributed to UDOT leader- ship’s support for the initiative.

56 Implementation of the AASHTO Guide for Enterprise Risk Management To advance knowledge management, UDOT contracted with Utah Valley University to have its graduate students assist with the effort. Many of the graduate students had work experi- ence in knowledge management and were studying the topic at the university. The students developed a business case for knowledge management, performed a literature review, and con- ducted interviews with key UDOT staff. The students presented a plan to complete their efforts, developed UDOT definitions for knowledge management, and were eventually to develop a business architecture that UDOT could consider for organizing its knowledge management efforts. Once an architecture or framework is developed, a manual or policy will be developed to guide UDOT’s knowledge management efforts. UDOT hopes that the students will develop a framework or architecture that the agency can “UDOTize,” which is the department’s term for tailoring processes for its needs. Among the questions the university students were answering included: • What is knowledge management? • What is the gap in knowledge management? • Why does knowledge management matter? • Do UDOT employees care about a lack of knowledge management? The students helped to make the business case for knowledge management, identifying the risks caused by a lack of knowledge management, and they were to make recommendations to address those risks. They used an approach based on four pillars of knowledge management: strategy, motivation, workflow, and technology. UDOT identified six to seven layers of pro- cesses, needs, and resources that must be addressed within each pillar or category. Another conceptual framework for improving knowledge management is to identify the people, processes, and technologies that must be addressed. Within the “people” category is the need for strategies for knowledge management and motivation for people to follow or imple- ment. Within the “process” category is the need for workflows to explain how knowledge needs to be managed. The knowledge management effort within NCHRP Project 20-44(02) was also aligned to NCHRP Project 20-68A. That 2012 project included a domestic scan that examined the issues around knowledge management (Halikowski et al. 2014). UDOT participated in that scan and later created the chief learning officer position to lead UDOT’s workforce development efforts. The UDOT team planned to develop cutting-edge solutions to address knowledge manage- ment at the agency. Resources Needed This initiative was led by UDOT’s chief learning officer. The pilot team also had the involve- ment of nine other DOT personnel representing different areas of subject-matter expertise. It included members from audit performance, process improvement and innovation, commu- nications, performance management, training, and UDOT regions. As stated earlier, UDOT also hired Utah Valley University to assist with the initiative. This allowed the pilot team to cost-effectively tap into student resources to assist with research, data gathering, developing the case for knowledge management, and proposing various knowledge management strategies and frameworks for the pilot team’s consideration. In addition, the pilot team was able to tap into the technology skills of the students and their exposure to private-sector cutting-edge solutions. The Utah pilot also used a grant from FHWA State Transportation Innovation Council (STIC). The STIC program supports the costs of standardizing innovative practices in a state transporta- tion agency or other public-sector STIC stakeholder.

Pilot Case Studies 57   Successes/Accomplishments UDOT completed the following efforts: 1. Examining the value of having a knowledge management process. 2. Looking at what knowledge management resources the agency already has. 3. Assessing what knowledge management process or resources the department needs. 4. Reviewing and refining existing knowledge frameworks for the agency’s use. During the early stages of the project implementation effort, UDOT staff created an opera- tional team to examine the knowledge management risks and potential implementation strate- gies. The effort created the necessary engagement and awareness needed for such an initiative, including garnering senior leadership support. This led to support for a knowledge management architecture and a plan for its implementation. This initiative has produced summaries addressing (1) what is knowledge management? and (2) what is the knowledge management architecture that will be helpful to UDOT? The initiative has shown that training and knowledge sharing must account for the different ways in which employees receive information. This finding will be important in developing training and fully implementing knowledge management. Understanding that UDOT has an aging workforce elevates the importance and support for this initiative and puts the focus on immediate and long-term action. The NCHRP Project 20-44(02) effort and the UDOT enterprise risk management effort caused knowledge management to rise in importance and created senior leadership awareness of the issue. This resulted in support to implement a process that will result in a knowledge management architecture and a plan for implementation. The UDOT team has made progress in identifying the risks surrounding the uniqueness of some positions and the specific skills required for those jobs. Addressing the concerns of insti- tutional loss due to retirements, the team has made progress in identifying and capturing some of the special skills that these staff have. The challenges faced by UDOT are common across DOTs. With the progress made, UDOT could serve as an example for other DOTs that need to elevate the issue of knowledge management in their DOTs and with their senior leadership. The challenges faced by UDOT can be shared with other DOTs and can help peers plan for similar challenges. The efforts to date have resulted in acknowledgment in UDOT of the risks resulting from not managing knowledge. UDOT can share with other DOTs the risks due to knowledge loss and its impact on agency efficiency and employee morale and job satisfaction. This can help kick-start efforts to mitigate similar risks at other DOTs. UDOT can also share its research and the information it gathered as well as the findings and options it has considered for its knowledge management framework. Tools Developed As mentioned in the Successes section, the UDOT implementation generated: • A business case for knowledge management, • Literature review, • Survey and interviews with key UDOT staff, • Identification of some of the key areas of knowledge management risks, • UDOT definitions for knowledge management, and

58 Implementation of the AASHTO Guide for Enterprise Risk Management • A plan to develop a business architecture that UDOT could consider for organizing its knowl- edge management efforts. At the time of writing, the initiative was an ongoing effort, and specific tools were being worked on by UDOT. Challenges and Lessons Learned Key experiences and observations from the implementation of this initiative are discussed in the following paragraphs. Like with many departments, UDOT recognized that it has many informal knowledge man- agement processes. The knowledge management efforts led the agency to formalize the pro- cess. It considered how to develop immediate strategies to address needs in a 1-year timeframe, as well as in 3-year and 5-year timeframes. The longer-term, 5-year strategy is based on the assumption that UDOT will eventually have a digital, largely paperless work process. The university students’ efforts produced summaries addressing what knowledge manage- ment is and what knowledge management architecture is, and also produced summaries of UDOT interviews regarding what the department’s knowledge management needs were. Among the observations was that, out of 1,734 UDOT employees, 605 were over 51 years of age. As those employees approach retirement age, the department will face questions about how to capture their knowledge before they leave. Another observation was that employees of different ages receive information in different ways. The knowledge management effort considered such challenges and how to reach employees who receive information in different ways. In an employee survey, 62 percent said that the most common way for them to find the information they needed for their job was to ask their supervisor or a coworker. This addressed another risk. What happens if the staff who have the knowledge leave; how does the depart- ment capture their knowledge? The knowledge and information needed for various jobs are not written down, and employees may not be sharing their knowledge before they retire, leave the department, or take another job within the department. The looming number of retirements was a call to action to capture the staff’s knowledge. The effort to capture the knowledge cannot be completed quickly. There was so much infor- mation to be captured that UDOT had to plan to capture it over a period of 3 to 5 years. The pilot team understood that the task of capturing all employees’ knowledge can seem overwhelming and impossible to address. This led to the acknowledgment that the knowledge management effort must be phased in over several years. The problem needed to be broken down into com- ponents and pursued one step at a time. The department knew that 383 employees could retire over 5 years. They represented a sig- nificant amount of institutional knowledge that needed to be captured. The 383 who could retire did not include the additional employees who could otherwise leave their current positions. The personnel who are hired to replace those who leave their jobs need to understand their work quickly, which further emphasizes the need for the knowledge management process. UDOT tried to be systematic about developing a strategy for documenting employees’ knowl- edge. The expectation was that the knowledge management effort would lead to a process that will capture, store, and make easily accessible employees’ knowledge. UDOT tried to system- atically identify the problem and be data driven in how it framed and addressed the issue. The systematic approach included interviews, surveys, focus group discussions, and risk assessments on knowledge management. UDOT knew from employees that the lack of a knowledge management process was a common problem for staff who sometimes struggled to find the information they needed to do their jobs.

Pilot Case Studies 59   Some short-term solutions were in place, such as using cloud-based storage for documents to facilitate easy access by employees. But the knowledge management team knew that this was not a good long-term solution. The knowledge management effort did not produce a detailed strategy at the end of the project, but developing such a strategy was the goal for the effort. UDOT developed a process to understand its knowledge management issues. The interview and survey answers from UDOT employees may not be useful to other DOTs because they are specific to the agency, but the process could be useful to other departments that want to develop a knowledge management process. As part of the project pilot, UDOT was willing to share its process and experience with other interested DOTs so that they could take advantage of its efforts. UDOT’s knowledge management team was involved with AASHTO and knew that many DOTs struggle with knowledge management and struggle to get senior leaders involved. At UDOT, the leadership was involved and supportive of the effort. A knowledge management strategy was not developed at the end of the project implementation, and some agency managers only learned that the knowledge management effort was underway late in the process. How- ever, at the senior level, leadership was supportive, which was important to the effort’s ultimate success. Many of the managers who were aware of the knowledge management effort were asking questions and getting involved. Their engagement was important and allowed the staff working on the knowledge management effort to hold discussions with and get feedback and buy-in from a wider audience about what the initiative was trying to accomplish. Although the final knowledge management recommendation was not known at the end of the project, UDOT leadership and the pilot team acknowledged the risks of not managing knowledge, including: • Decreased efficiency, • Knowledge loss, • Continual rework, • Errors due to knowledge gaps, and • Disconnect within the organization. Next Steps for Full Implementation The longer-term strategies to address these risks will continue beyond this project. UDOT will continue to address some of the knowledge management gaps for areas of special skills that are of high priority and are at risk due to retirements, promotions, and other departures. UDOT will use a short-term centralized repository to store information for easy access while the longer-term framework and technologies are implemented. Shorter-term strategies, once finalized, will be implemented in a year, while the long-term strategies will continue in a 3- to 5-year timeframe. The contract with the Utah Valley University will continue. This will result in recommenda- tions to address many of the risks detailed earlier in this section that address the four pillars of knowledge management: strategy, motivation, workflow, and technology needed to advance and institutionalize knowledge management. The work to finalize the conceptual framework for improving knowledge management will continue. 4.2.4 UDOT Pilot Initiative 4: Managing Risks to Corridors The concept behind Initiative 4 was to develop a repeatable, scalable (or tailorable) process to assess risks to UDOT corridors caused by natural disasters. UDOT intended the process to be

60 Implementation of the AASHTO Guide for Enterprise Risk Management manageable for its regional planning staff, who will be able to incorporate the risk findings into their long-term project planning. Objective UDOT’s objectives for this initiative were to create: 1. A corridor risk management (CRM) process that is implementable across the department and in all four regions; 2. A defined, repeatable process that capitalizes on institutional knowledge; and 3. A process that is scalable from corridor to regional and statewide priorities. The initial risk statements for this initiative were: If UDOT does not empower informed decision making, then UDOT will not be successful in achieving an agency-wide risk management process for corridors. If the risk management process does not set thresholds, UDOT will not know where to focus its efforts for mitigation analysis. If there is no corridor risk management process that can be scaled from corridor, to region, to state, then UDOT cannot have a coordinated response to risk management. The initial mitigation strategies developed were to: • Incorporate risk management into the corridor planning process. • Set criticality weighting and thresholds. • Develop a risk mitigation factor required for funding allocations. • Develop a process for generating a risk mitigation factor. This will be applied to each project for funding prioritization purposes. Implementation Methodology UDOT began the risk implementation by clarifying what it wanted to achieve from a cor- ridor risk management process. Among the requirements it identified were those discussed in the following: • To lower the cost of the risk analyses, the process should rely on publicly available, non- proprietary data. • Region planning staff should be able to conduct the analyses without the need for additional consultant help. • The process should be transparent and replicable. • The process should complement the regions’ planning for long-term projects that should be developed for each region’s corridors. • The risks to be identified may not be addressed immediately but could be mitigated as needed in future projects. • The process should be scalable from the corridor to the region to the statewide level, which will allow risks to be prioritized within each of the three categories. • UDOT wanted the process to capture institutional knowledge or the experience of region and field staff, who understand their routes and where threats exist. • UDOT initiative leaders evaluated what data sources were available, such as from UDOT databases and public sources listed later in this section. Early in the project, UDOT formed a Risk Management Working Group to develop the cor- ridor risk management process. It consisted of representatives from the central office, regional planners, and other departments. The group’s responsibilities included: • Establish criteria and weights used in the statewide criticality measure. • Collaborate on the development of user and owner cost models.

Pilot Case Studies 61   • Collaborate on the risk analysis methodology. • Set the state’s threshold for robustness analysis. • Collaborate on improvements to the redundancy criteria used in the criticality measure. • Develop a performance measure for risk reduction. • Help develop a process to consider risk in the statewide transportation improvement program process. • Champion the capture of robustness in the concept-development process. • Champion the improvement of design standards to reduce risk. UDOT also wanted the CRM process to parallel its agency-wide risk management process, which is similar in methodology to that of the AASHTO ERM Guide. Agency staff have been trained on the UDOT risk process and the corridor initiative built from that experience. The risk management process is detailed in the UDOT Asset Risk Management Process document, the cover of which is shown in Figure 4.16. The working group’s efforts led to the following actions, which were incorporated into the CRM process. These actions were not necessarily taken in the following order; some occurred concurrently. 1. Identify the asset and environmental threat pairs to be analyzed. Threat pairs are assets and the threats they face. Examples are bridge assets facing seismic threats and culvert assets facing flooding threats. 2. Identify and weight criticality criteria to prioritize transportation system locations. Criticality could be based on factors such as traffic volumes and length of detour should an asset failure close a corridor. 3. Develop a streamlined process to calculate costs. Costs include user costs for travel time caused by detours and owner costs to repair the damaged asset. 4. Calculate the consequence by combining owner and user costs of the event. 5. Calculate the probability using data sets. An example could be the probability of a flood at a given site in a year. 6. Compute the risk value for a specific location or statewide. Risk value is determined by multiplying the cost of an event, or its consequence, by its probability of occurring. 7. Prioritize risks by combining risk value and criticality. The criticality of a given site is based on the length of the detour should the site be closed and the amount of traffic at the site. 8. Evaluate risks to calculate total risk exposure of a corridor or segment. 9. Identify risk mitigation options for highest-priority locations. 10. Calculate return on investment for each option and include the best option in project scopes. 11. Incorporate the risk analysis into the UDOT corridor planning process and into the project selection processes to ensure that risk is reduced or accepted through project completion. 12. Monitor risk and update data sources as projects are completed. 13. For sites with a potential high impact of a threat but low probability of occurrence, develop response plans. Response plans are plans for how to quickly respond to a threat should it occur. High-impact but low-probability events may not be mitigated cost-effectively because of the low probability that the threat would occur. A strategy that can be used in such cases is to have response plans ready to deploy. The response plan lowers the impact of the risk by more quickly repairing or mitigating the threat if it occurs. While UDOT used publicly available threat data to streamline the data acquisition pro- cess, it also developed a simplified process for its regions to calculate the benefit/cost (B/C) of threats and their mitigation. Standardized costs were developed to estimate user costs from detours or delay. Standardized repair costs were taken from UDOT construction cost

62 Implementation of the AASHTO Guide for Enterprise Risk Management Source: UDOT 2020. UDOT ASSET RISK MANAGEMENT PROCESS June 2020 Risk Integration Approach The Utah Department of Transportation (UDOT) Risk Management Team was tasked to develop a risk management process to integrate and incorporate risk and resilience assessment into UDOT’s current decision-making processes. This UDOT Risk Management Process identifies, values, and prioritizes environmental threats to the UDOT transportation system. Incorporation of this Risk Process into existing decision-making processes will result in UDOT understanding and accepting or reducing environmental risk in the Utah transportation system. Figure 4.16. Cover of the UDOT Asset Risk Management Process.

Pilot Case Studies 63   estimates. The standardized user costs and standardized repair costs simplified planning-level estimates of the B/C of mitigating a threat to an asset or corridor. If a project is programmed to mitigate a threat, project-level engineering would produce more detailed cost estimates and construction plans. Resources Needed The initiative leads were the contract manager for general contractor project delivery and the director of performance and process improvement. UDOT relied on the following resources to develop its CRM process: • Executive-level support. • The working group. • An engineering consultant team funded by an FHWA grant. • UDOT databases for bridges, pavements, and partial culvert inventories. • UDOT mapping and geographic information system (GIS) resources. • Federal Emergency Management Agency (FEMA) flood risk data. • FEMA Flood Insurance Rate Maps. • Rockfall hazard data from a 2006 UDOT research project, which was updated to improve rockfall locations. • Avalanche threat data from the Utah Avalanche Center. • Seismic threat data from the United States Geological Survey (USGS) Working Group on Utah Earthquake Probabilities. • Debris flow model data from another USGS-sponsored report. Using these data sources, UDOT developed algorithms that could calculate the threat prob- ability at a location for avalanche, flooding, rockfall, debris flow, and earthquake damage to bridges. Additionally, the threats from all the potential events were aggregated into a total threat to a roadway segment. The threat data were then incorporated into a GIS layer for mapping and analysis. Successes/Accomplishments The initiative resulted in a documented approach for assessing risks that is scalable to corridors across the state. The initiative led to a 56-page guide entitled “UDOT Asset Risk Management Process” (UDOT 2020). That guide provides detailed step-by-step instructions for how to analyze the most typical natural disaster risks seen in Utah. The guide is included in Appendix B. The project also collected the data sets needed for the analysis, produced the GIS layer needed for mapping, and provided the B/C analysis process. The process (as shown in Figure 4.17) has been incorporated into the statewide and regional planning processes. As regions conduct their planning, they are to use the corridor risk process to contribute to identifying long-term project needs. Tools Developed UDOT Asset Risk Management Process. The effort resulted in the risk guide called the “UDOT Asset Risk Management Process” (UDOT 2020), the data to use this guide, and various steps and algorithms to produce the risk analysis. The analysis can be conducted on four asset classes or subgroups: bridges, bridge approach slabs, roadways, and culverts. Over time, other asset classes may be added. The environmental threats that can be analyzed include flooding, rockfall, avalanche, debris flow, and earthquake damage to bridges. Earthquake damage to road- ways was not included because no means to harden roadways to earthquakes were apparent.

64 Implementation of the AASHTO Guide for Enterprise Risk Management e guide produced necessary denitions and formulae for calculating the components of a risk analysis. For example: • Risk value was dened as consequence times threat probability. • Consequence was dened as the total of owner cost and user cost if an event were to occur. • reat probability was calculated based on the data sets. Example probabilities are the annual threat that a ood could wash out a culvert and the threat that an earthquake could damage a bridge. • e risk value is then the consequence multiplied by the probability. A 1 percent probability of a $100 consequence would have a risk value of $1. • When multiple sites are analyzed and the risk value of each calculated, then the risk values of multiple sites could be compared to one another. • e B/C analysis of each site would indicate which sites could be mitigated to reduce the most risk value for the least cost to UDOT. • Another factor in the analysis was criticality. e criticality of a site was based on the: – System redundancy or the length of a detour, – Annual average daily trac (AADT), and – Annual average daily truck trac (AADTT). Locations with the highest trac and least redundancy have higher criticality weights. • With the preceding data, the risk priority can be calculated for each site and each site com- pared to all other sites. e risk priority is risk value times criticality. e guide and its accompanying data sets and formulae allow each region to assess the risk priority of all segments. e risks to the segments can be aggregated to assess the total risk to a corridor. e output of the corridor planning process is a corridor master plan that includes corridor-specic criteria and weights for the criticality measure, a prioritized list of risks, and a risk/criticality threshold of risks to be analyzed. e output of the project-development process is a project scope that includes asset-hardening solutions if the analysis results in hardening solutions that show appropriate return on investment. If the analysis indicates that assets cannot be hardened economically, then a risk-response plan may be the appropriate response. Source: UDOT 2020. Figure 4.17. A graphic of how the CRM analysis complements the corridor planning process.

Pilot Case Studies 65   e implementation steps UDOT regions are to follow when using the risk analysis process include: 1. Note the type of risks at locations along the corridor in order to develop possible asset- hardening options. 2. Gather institutional knowledge related to other known risks within the corridor that are not captured on the map. Generate owner and user cost details for these additional risks. 3. Select the locations of highest risk for asset-hardening analysis. 4. Record the owner and user cost details for each selected location. 5. Brainstorm asset hardening or other risk mitigation options for each selected location. 6. Develop cost estimates for each option. a. Use the replacement cost model, if pertinent, for asset-hardening options. b. Use unit costs from the construction database for other mitigation options. c. Use the user cost model for total closure and impeded ow days estimated for each option. 7. Estimate percentage of risk reduced by each risk mitigation option. 8. Calculate benet per cost of risk reduction for each option to select best option(s). 9. Calculate payback period for each selected option to make go/no-go decision. 10. Incorporate selected options into the corridor plan for future projects. Figure 4.18 shows a mapping of risk value and criticality. With risk value and criticality com- puted, risks are prioritized into three categories of response: 1. e highest risks (i.e., those with high risk value and high criticality) will be analyzed for alternatives to mitigate the risk by hardening the asset to increase robustness of the physical assets that may be aected by the event. 2. Risks with a lower risk value or lower criticality or those with no asset-hardening alterna- tives will be assigned to the planned response category. is category involves documenting a response to be initiated if the event occurs. is planned response will include details of communication and equipment to be used. 3. e lowest category of risk indicates that UDOT will respond to the event if it occurs, making necessary repairs to the damaged assets and opening the roadway to free-owing trac. Challenges and Lessons Learned At the start of developing this process, the UDOT team assumed that hardening would be the identified mitigation for at-risk sites. However, as the process matured, the team saw that, although the highest-priority sites were identified for hardening, the mitigations Source: UDOT 2020. Figure 4.18. Asset risk-response categories.

66 Implementation of the AASHTO Guide for Enterprise Risk Management can fall into two other categories it developed. The planned response mitigation category involves not hardening a site but rather developing a plan of action to deploy if a site fails. Some sites have low probability of failure but would have a substantial impact were they to fail. The understanding of these options detailed earlier in this report provides additional options. This includes having predetermined plans based on how to quickly respond to the failure were it to occur. The risk management process also details the methodology based on cost/benefit to select among different mitigation options based on cost of mitigation and impact of failure. e experiences, the lessons learned, and the process documented by UDOT could be used by other DOTs. Although other state DOTs may need dierent data regarding assets and threats, the process provides a template for other state DOTs to follow. e UDOT Asset Risk Manage- ment Process could be used as a model for other state DOTs, which could substitute the data sources appropriate to their environment. e UDOT process demonstrated that publicly available data could be used for a corridor risk process. Next Steps for Full Implementation UDOT planned to continue to monitor the risk mitigations and use the results to continue to make renements to the process. e guide will be updated as appropriate to reect the review results and lessons learned. UDOT also planned to participate in NCHRP Project 08-113, “Integrating Eective Trans- portation Performance, Risk, and Asset Management Practices,” which seeks to integrate or coordinate asset management, performance management, and risk management. e risk man- agement process discussed in this report will be coordinated with the next update of the Trans- portation Asset Management Plan (TAMP). is will result in a more integrated approach to managing risks to UDOT’s assets. Another task UDOT is considering is how to develop a performance measure for resil- ience. UDOT believes that resilience is the inverse of risk, but sta are struggling to dene resilience and to measure it. ey have identied critical assets, and they have developed the probability measured over a period of time of a threat occurring to a critical asset. Now, they are considering developing a measure that they could use to measure the resilience of assets or corridors. 4.3 Washington State Department of Transportation WSDOT is considered to be among those state DOTs that have mature practices in ERM, and the agency has its own risk models. WSDOT had several objectives that it wanted to achieve during the pilot. One of these objectives was to achieve full integration in ERM practices between the AASHTO and WSDOT risk models. e agency also wanted to garner partici- pation from divisions that were more mature in implementing risk management. It selected two pertinent and complex initiatives to pilot. ese initiatives addressed cultural sensitivity and inclusion and being an attractive employer of choice for a developed workforce. Both initiatives were being piloted in the following three areas of WSDOT: • Multimodal planning in WSDOT headquarters • Trac operations in WSDOT headquarters • Maintenance operations, Northwest region In addition, the Oce of Equal Opportunity (OEO) in the WSDOT headquarters piloted Initiative 1, on inclusion.

Pilot Case Studies 67   The expectation was that pilot implementation would result in achieving several objectives. WSDOT wanted to: • Incorporate the AASHTO Guide into its risk management practices and advance the use of the ISO ERM concepts in the DOT; • Update its ERM policy, establish ERM governance, and delineate roles in ERM; • Identify additional risk initiatives; • Institutionalize assessing risk, determine treatments, craft response plans, and evaluate and manage risks; • Routinely use risk registers as tools in risk management; and • On an ongoing basis, monitor and manage changes that pose risks to agency objectives. While the objectives and intent for the WSDOT team were ambitious and intended to make an impact on its operations, a combination of budget constraints and the COVID-19 pandemic made achievement of meaningful progress on these objectives exceedingly diffi- cult. Considering the complexity of the initiatives selected by WSDOT, the progress made in the pilot implementation is commendable. The accomplishments and the tools that WSDOT has developed, and in some cases improved, will be useful to peers. The pilot implementation can also provide important insights to peers about addressing the topics covered in these two initiatives. 4.3.1 WSDOT Pilot Initiative 1: Improve Cultural Sensitivity and Inclusion; Dare to be Outside Comfort Zones; Tolerate Differences and Personalities This initiative is aligned to WSDOT’s strategic plan inclusion goal. For many years, WSDOT has been emphasizing cultural sensitivity, inclusion, and diversity. This initiative addresses a complex topic that is a high priority for WSDOT. The success of this initiative requires orga- nizational support to change. The initial goal was to pilot this initiative by engaging four areas of WSDOT and then expanding the implementation methodically across the agency. WSDOT strategic goals are shown in Figure 4.19. Objective The objectives of this initiative were to improve cultural sensitivity and inclusion throughout the WSDOT, dare to be outside comfort zones, and tolerate differences and personalities. The risk statement that WSDOT identified to this objective is that: If employees are not sensitive and inclusive to one another, then employees could be marginalized. The risk could be turned around and made into an opportunity: If employees are sensitive and inclusive, then WSDOT will have a better work environment and more productive workforce with better morale. There are varying degrees of readiness in a diverse state like Washington with regional differ- ences, and successful mitigation requires organization-wide change and acceptance. Improving cultural sensitivity and inclusion requires acceptance of mitigation strategies across all WSDOT divisions and programs. The mitigation strategy to address this risk had numerous components to it. The agency looked at mitigating this risk as a threat and as an opportunity. A multifaceted strategy was developed that included: Addressing the morale and creating a better work environment wherein WSDOT employees encourage, support, and understand diversity. In addition, developing an executive-level plan for best practices for safe behavior.

68 Implementation of the AASHTO Guide for Enterprise Risk Management Implementation Methodology e kicko workshop with the project team set the stage for the WSDOT pilot implementa- tion activities. As a state that is considered mature in implementing ERM, the agency had its own framework. e workshop addressing this initiative included representatives addressing cultural sensitivity and inclusion. e workshop participants shared their experiences and those of others in the agency. ese perspectives inuenced the brainstorming and molded the workshop discussions and future meetings on the initiative. WSDOT, as a mature ERM implementer, has a detailed process that it adopts for risk management. A high-level list of steps was formed for the pilot initiative. Because of their complexity, the WSDOT initiatives required more collaboration and discussions within the DOT and with the project team. e high-level steps common to addressing all WSDOT risks are listed later in this section. e WSDOT methodology included six steps and close to 30 subtasks. ese were consoli- dated for the project pilot. At a summary level, the steps adopted for this pilot include those discussed in the following: • Meetings held with subject-matter experts to understand context and gather information about WSDOT’s past eorts on inclusion, cultural sensitivity, and cultural tolerance. • Overview of the Guide framework. • Workshop participants brainstormed about the pilot initiative. • Workshop held to identify the risks, assess and prioritize them, and dra candidate mitiga- tion strategies. • WSDOT conferred with the project team and narrowed the list of risks to the objective for pilot implementation. • WSDOT project team met with other internal initiative leads to collaborate with other goal areas, compare plans, and align pilot activities. Inclusion Source WSDOT. Figure 4.19. WSDOT strategic goals.

Pilot Case Studies 69   • Project champion briefed executive management and obtained support for the initiative and mitigation activities identified. • Finalized the risks for pilot implementation. • WSDOT project team reviewed the risks and determined mitigation constraints associated with I-976, I-1000, and other related ongoing state initiatives aligned to the pilot activities. • WSDOT conferred with project team to prioritize the mitigation strategies for pilot implementation. • Drafted a work plan to pilot the initiative. • WSDOT identified four areas for piloting the initiative. • WSDOT selected multimodal planning, traffic operations, and OEO from the WSDOT head- quarters, and maintenance operations from the Northwest region for piloting this initiative. • WSDOT collaborated and finalized roles and responsibilities of its personnel for the pilot implementation activities. • Held meetings to update new WSDOT team members. This occurred as subject-matter experts retired, and new experts joined the project. • Conducted biweekly meetings early in the implementation. After the WSDOT teams were established and ready for implementation, these meetings were monthly and quarterly, per the DOT’s needs. Addressed pilot implementation changes and next steps to mitigate them. • Conducted internal meetings to make progress on the pilot implementations. • At multiple forums, shared progress made, lessons learned, and challenges faced and addressed. These were done to help peers in adoption and implementation of risk manage- ment to address similar objectives of inclusion and diversity in the workforce. These forums served as opportunities for peers to ask questions and get a better understanding of what they would need to plan and implement if they chose to do so. These included: – COP meetings; – Peer exchanges with the two other pilot states; – Peer exchanges with non-pilot DOTs; and – Other national meetings, workshops, and webinars. • Final pilot workshop with project team and pilot closeout. Specific to the pilot implementation in Traffic Operations and Transportation Systems Manage- ment and Operations (TSMO), the TSMO staff effort involved learning the strengths of TSMO operations so that they could align the TSMO strategic plan with the inclusion initiative. They worked to identify the staff skills needed and create a plan to train the staff to address the gaps. Resources Needed This was a complex initiative that involved changing the culture of the agency and required significant resources. The pilot implementation, understandably, required several resources with the necessary skills that addressed a host of subjects. However, the benefit of the pilot implementation was that it served as a template to address any roadblocks and issues within a smaller group. It limited repercussions from any issues that arose and allowed expeditious resolution. The pilot also required significantly less resources and helped the agency plan a full- scale implementation. The full-scale implementation will be a magnification of the pilot, and the resources need to be planned accordingly. The director of Transportation Safety and Systems Analysis (TSSA) served as the executive lead and overall project champion within WSDOT. The director brought expertise in risk man- agement, and his leadership helped sustain the pilot effort, securing additional resources when original pilot team members retired. Nine WSDOT staff were engaged in the pilot risk manage- ment effort. They included staff from the risk unit, strategic management, OEO, maintenance operations, multimodal planning, traffic operations, and the Northwest region. The WSDOT point of contact and the project team kept in regular weekly contact in the early stages of the

70 Implementation of the AASHTO Guide for Enterprise Risk Management project. The project team held monthly update meetings with the pilot team and was in constant communication with the agency’s initiative lead throughout the pilot implementation. Addressing inclusion and diversity requires ongoing, strong support from leadership, pilot champions, and the subject-matter experts involved. Leadership support needs to be visible so that the support for and importance of the initiative’s objectives are clear to all employees. The initiative also requires ongoing engagement of all personnel at all levels of the organization. For an organization such as WSDOT, with a geographically spread and diverse workforce, the effort is complex. The success of the initiative requires ongoing scanning of changes in the external and internal environment. It requires looking at factors within the state, nationally, and inter- nationally, and assessing their impact. It also requires ongoing engagement and buy-in from all agency personnel. This initiative requires personnel who understand the issues needed to develop and manage the implementation. Transparency and trust are integral to the success of this initiative, and its piloting required various strategies and communication tools to inform and engage agency per- sonnel at all levels of the offices involved. Creating awareness about disability and discrimina- tion in the workplace required an all-out commitment. WSDOT also needed to include training on these subjects and education on sexual harassment and prevention. The pilot implementation enabled WSDOT to enhance the skills of the implementation team. These resources can then help lead the full implementation. For a geographically spread organi- zation, a spoke-and-wheel strategy can be used during full implementation. In this model, the leads and champions from the pilot can serve as models. They can support and train those leading the implementations in the different divisions and offices and serve as resources for them. Successes/Accomplishments WSDOT can point to several accomplishments that resulted from the implementation of this initiative: • The initiative helped WSDOT make better decisions on inclusion and has elevated its impor- tance within the agency. It also identified a willingness to change. • The initiative led to additional executive support. • WSDOT identified the interrelationships between risk treatments and the agency’s strategic goals and objectives on inclusion. • It led to an update of WSDOT’s ERM policy. WSDOT issued an executive order that high- lights the WSDOT’s ERM policy. It also assigns the TSSA division the authority to lead and administer ERM. The full order is included in Appendix C. • WSDOT has been working on different strategies to communicate the importance of a diverse and inclusive workforce. It organized presentations and discussions with high-profile and well-respected members of the community. For example, a presentation by a chief in the state highway patrol was made to WSDOT staff on the topic of systemic racism and how it affects public agencies. • Despite cuts in training budgets, organic discussions among staff about micro-aggressions and systemic racism are providing an opportunity to discuss and act on these issues. • WSDOT has several innovative ways to create a more diverse and inclusive workforce. The agency created pre-apprenticeships and mentorship programs to bring more diversity into the workplace. It also recruits formerly incarcerated persons, which provides an opportu- nity for capable people who would otherwise lack opportunities and helps WSDOT identify potential employees. • WSDOT conducted independent reviews of its inclusion efforts and started drafting a charter for its efforts to address diversity and inclusion.

Pilot Case Studies 71   • WSDOT is also influencing inclusion through its safety program. Per agency’s assessment, minority communities of African Americans and Native Americans often rely heavily on walking or bicycling. This exposes them more to the threat of pedestrian crashes. WSDOT is addressing such issues by including sidewalks and bike paths in its construction projects to bring equity to the safety issues facing those communities. • In developing a pipeline of candidates for hiring, WSDOT has stepped up outreach to people of color, both at the staff level and the senior and executive levels. • The program High School to Highways seeks to recruit high school seniors to work in maintenance. • WSDOT conducted diversity training that advocated for more women and minorities being included in business decisions. WSDOT also advocated for the fair treatment of all employees, took steps to ensure that promotions were fair, and addressed aspirational roles for affirma- tive action. • WSDOT was strategic in its efforts to be more diverse and inclusive. Based on its research, it knew that more women and minority contractors and vendors were available in one part of the state, and so WSDOT focused its minority and women contracting efforts in that region. • The Washington State legislature enacted legislation that allows WSDOT to provide slots for minority and women contractors to bid. • WSDOT’s affirmative-action data are being reviewed in preparation for an ongoing mitiga- tion effort. Tools Developed Many of WSDOT’s tasks related to the pilot implementation were paused, and some activities were slowed, due to the budget cuts and hiring freezes that occurred prior to the COVID-19 pandemic and continued after the start of the pandemic. The following bullets discuss some of the tools and actions that WSDOT was working on as part of piloting this initiative; some have been completed, and others are in various stages of completion. • A charter for the development of an interim review team, and an independent review process for the review of inclusion situations (e.g., complaints of discrimination). • An interim independent review process is being developed for the request/review/recom- mendation of actions to be followed in addressing inclusion matters. • An interim review team will use the process to address inclusion matters and will include the following representatives: – Strategic initiative assessment manager – Deputy director, Human Resources – Deputy director, OEO – Director, TSSA, ERM – Enterprise risk assessment manager, TSSA • In addition to the interim review, WSDOT is evaluating the prospect of sustainable indepen- dent review panels for both the inclusion and workforce development risks. As part of this effort, the agency is considering forming a risk management COP to support risk managers and owners. • An executive order is being developed to include roles, responsibilities, accountability, and an independent review process for inclusion and workforce development. This executive order will be presented to the WSDOT secretary for approval and execution. • WSDOT has initiated new ways of enhancing communication and employee engagement. One of the strategies being used is to encourage employees to send thank-you notes to other employees. These are read aloud at staff meetings. • Another strategy to improve engagement and inclusion is having a division-wide weekly huddle. With the enhanced capabilities of virtual meetings, this huddle can be successfully

72 Implementation of the AASHTO Guide for Enterprise Risk Management done remotely. To engage more employees, the huddles can be done by combining in-person and virtual participation, making it possible for many more employees to participate. • To gain an understanding of the perspectives of agency employees, sta are encouraged to review the engagement survey conducted annually. e survey results provide an opportunity for sta and executives to share new approaches and make continuous improvements. e State Employee Engagement Survey can be found on the website of the State of Washington Oce of Financial Management (https://ofm.wa.gov/). • WSDOT is looking to create a vibrant, active diversity advisory group at major work sites to share and expand diversity knowledge. • In addition, WSDOT is updating its dashboard on inclusion. e specic eorts of the pilot will be used in advancing the initiative across the agency. Figure 4.20 shows a screen capture of the dashboard. • Specic products from WSDOT’s eorts to promote inclusion and diversity (some of which can be found in Appendix C) consist of: – Anti-Racism and Equity Policy dra ◾ A WSDOT policy is being written. e policy is in dra form. is policy includes a com- mitment to dismantle and end systemic racism within the agency’s practices and policies and a pledge to approach the eorts with humility and respect. – Diversity and inclusion publications and resources ◾ July 2020, Nelson Mandela International Day ◾ August 2020, Women’s Equality ◾ September 2020, Hispanic Heritage Month ◾ January 2021, Multicultural Days of Observance ◾ January 2021, Martin Luther King Jr. Day, commemoration article ◾ January 2021, Martin Luther King Jr. Day, poster ◾ February 2021, Black History Month ◾ WSDOT video, diversity and inclusion – YouTube (https://www.youtube.com/watch?v=_ H3POokspCc) ◾ Washington State Oce of Financial Management, Statewide Resource Group, webpage (https://ofm.wa.gov/state-human-resources/workforce-diversity-equity-and-inclusion/ statewide-business-resource-groups) Source WSDOT 2021. Figure 4.20. Inclusion dashboard.

Pilot Case Studies 73   – Inclusion and workforce ◾ Change management article, WSDOT Secretary Millar ◾ Change management plan resource, template ◾ OEO diversity roadmap, September 2020 ◾ OEO newsletter, December 2020 Challenges and Lessons Learned Challenges and lessons learned are discussed in the following: • The success of such a complex topic requires leadership at multiple levels of an organiza- tion. Lessons from this initiative highlight the importance of the involvement of leadership trusted by the employees. Every person’s perspective on what is important will vary, even in a small group. For a large organization with diverse cultures and backgrounds, consistency and clarity in communication from leadership are critical. WSDOT communicated the importance with clarity and showed its commitment and focus on these challenges with its strategic plan inclusion goal. A good lesson is to ensure that a complex initiative such as this has the support from top leadership as well as regular briefings to keep leadership apprised of progress. • The two pilot initiatives were large and required the deployment of significant resources. WSDOT had difficulty maintaining momentum because the effort was under-resourced. Changing an organization’s culture is a complex undertaking. The WSDOT champion of this initiative states that, “Initially WSDOT failed to understand how many resources would be needed to change the agency culture” (John Milton, personal communication). A lesson learned was to plan the resources commensurate with the scale of the effort. • While WSDOT implemented several activities to address this initiative, it experienced two major challenges during the piloting effort. One was budget cuts, and the second was hiring freezes. Compounding the impact of the hiring freezes, some of the subject-matter experts retired. In addition, with the COVID-19 pandemic, additional restrictions had to be instituted across the state. These challenges led to slowing down and pausing of some of the activities that WSDOT was pursuing in the pilot implementation. • During the implementation effort, challenges WSDOT faced included understanding how hard the task would be, the scale of the initiatives, and how a lack of resources would affect the effort’s momentum, as well as obtaining clarity on the context of the effort. During the effort, the agency also had a leadership change that affected the entire organization. • Because WSDOT had a risk management process, it assumed that the process would advance the initiative of identifying and managing risks to inclusion. However, it learned that not everyone in the agency was aligned with the initiative. Failure to align can make the success of an initiative difficult to achieve. • The WSDOT initiative champion identified that the agency was overly reliant on its estab- lished risk management processes. However, those processes needed to be adapted for the initiatives. In addition, the agency noted that it needed to change its approach for different levels of the organization. • WSDOT learned that it needed to make its efforts sustainable by bringing in additional people and identifying efficiencies needed in its processes. It also learned that its messages needed to be simplified and brought down to a practical level. • This initiative is particularly sensitive and complex and requires understanding the employee perspective. It is important to listen to what people mean when they talk about risks. Risk practitioners often think they know what the risks are. However, to understand what other people perceive as a risk requires listening to gain understanding. WSDOT tries to use human- centered design methods and principles when managing these risks. It focuses on the human

74 Implementation of the AASHTO Guide for Enterprise Risk Management aspects of issues. When addressing this initiative on inclusiveness, the agency had to probe the perspectives of staff to understand the issues surrounding inclusiveness. • WSDOT, like most DOTs, has an equal opportunity office. At WSDOT, the OEO office worked on managing the risks related to this initiative. However, the agency learned that ensuring inclusion is complex. It required making changes to the agency culture and required action throughout the agency. The OEO can teach about the change needed, but to change the culture requires the actions of many people. It requires everyone to be a champion of change. Next Steps for Full Implementation Full implementation requires the acceptance of all the mitigation strategies across all WSDOT divisions and programs. The pilot initiative has helped add to the building blocks necessary to address the complex topic of inclusion and diversity. WSDOT is in the process of updating its strategic plan. Once the update is complete, the pilot team will look at the implications to this initiative and make appropriate changes. • WSDOT has built the pillars for continuing diversity efforts. Some policies are being rewritten, and the leadership team is involved in providing direction. • The agency has published information about the different strategies that are being consid- ered on how to monitor the diversity effort and the steps to take if there is no progress on the diversity objectives. • WSDOT will continue its alignment efforts to keep its processes working toward achieving its inclusion objectives. • WSDOT is undergoing major changes in leadership. The national focus on racial injustice creates an opportunity to respond to systemic racism. It requires a re-examination of the agency’s goals and strategies. Risk management responding to racial injustice creates an opportunity to identify solutions that can contribute to a more inclusive workplace. WSDOT plans to review and add to some areas of the inclusion initiative. • The COVID-19 pandemic presented an opportunity to incorporate risk management into the agency’s strategy, budgets, and performance. 4.3.2 WSDOT Pilot Initiative 2: Be an Attractive Employer of Choice for a Developed Workforce Initiative 2 is aligned with WSDOT’s strategic plan workforce development goal. This goal focuses on attracting and retaining a skilled, diverse workforce and valuing employee develop- ment and engagement, and is supported by a modern work environment. The goal emphasizes the importance of the workforce to the successful operation of the agency. WSDOT states, “Our goal is only as good as the people who work for us: they are the true ambassadors of WSDOT.” The agency highlights the importance of all employees and the need for employee development at all levels of the agency. WSDOT encourages employees to coach and mentor those with less experience. To consolidate the efforts and manage resources better, WSDOT chose to also pilot this initiative in the maintenance area. Objective The objective of this second initiative was to: Be an attractive employer of choice for a developed workforce. Advocate for successful classification and compensation changes. Illustrate how mentors and protégés facilitate the transfer of knowledge and aid in succession planning. The risk statement that was developed by WSDOT was: If resources are not in place to train employees, then employees may not get the training they need to be productive.

Pilot Case Studies 75   WSDOT also considered thinking about this as an opportunity; in other words: If employees are trained, then it will improve their morale and create a better work environment and a more productive workforce. The mitigation strategy was to: Develop a better work environment that improves morale and creates a more productive workforce. Implementation Methodology The detailed methodology that WSDOT follows for all its risk initiatives is the same. The steps adopted for the piloting of this initiative are the same as those described in Section 4.3.1 for WSDOT Initiative 1, except that the subject of focus has been changed to workforce develop- ment. The high-level steps included those discussed in the following: • Conducted meetings with WSDOT subject-matter experts to provide context for this pilot initiative and gather information about WSDOT workforce objectives and challenges. • In a workshop setting, provided an overview of the Guide framework. Facilitated discussions at the workshop so that participants could brainstorm about workforce development chal- lenges. The discussions also provided context about the external and internal work environ- ments. Participants discussed salaries and jobs in local agencies and private organizations and the implications to WSDOT. • Facilitated workshop discussions and breakout sessions to help participants identify, assess, and prioritize risks to the initiative. • Subsequent to the workshop, the pilot team conferred with the project team to narrow the list of risks to the objective for pilot implementation. • The pilot team then met with other internal initiative owners to collaborate on other goal areas, compare plans, and align pilot activities to not duplicate other ongoing agency initiatives. • The project executive champion met with the assistant secretary, who then held meetings with WSDOT peers to review and obtain executive endorsement. • Finalized the risks for pilot implementation. The project team then reviewed the risks and worked with the pilot team to determine mitigation constraints associated with other ongo- ing initiatives. • The pilot team collaborated with Employee Development on training models, training subjects, mentoring plans, and so forth. It also reviewed other agency tools that are part of workforce development (self-performance assessment, self-maturity assessment, and other existing training practices). • The pilot team conferred with the project team to prioritize the mitigation strategies for pilot implementation. The WSDOT team then drafted a work plan to pilot the initiative. • The project champion provided a project update and obtained endorsement from the WSDOT executive team on mitigation strategies selected for pilot implementation. • Collaborated and finalized roles and responsibilities of WSDOT personnel involved in the pilot implementation activities. • Conducted biweekly meetings early in the implementation. After the WSDOT teams were established and ready for working on the strategies, these meetings were monthly and quar- terly, per WSDOT’s needs. Addressed pilot implementation staff changes and next steps to mitigate them. • Conducted internal meetings to make progress on the pilot activities. • Engaged employees and obtained their feedback. • Shared progress made, lessons learned, and challenges faced and addressed at multiple forums to help peers in the adoption and implementation of risk management to address similar objectives of inclusion and diversity in the workforce. These forums served as opportunities

76 Implementation of the AASHTO Guide for Enterprise Risk Management for peers to ask questions and get a better understanding of what they would need to plan and implement if they chose to do so. These meetings included: – COP meetings; – Peer exchanges with the other two pilot states; – Peer exchanges with other non-pilot DOTs; and – Other national meetings, workshops, and webinars. • Conducted the final pilot workshop on the initiative and got closure on the pilot imple- mentation of this initiative. Resources Needed In addition to the project team, eight WSDOT staff were engaged in the pilot risk manage- ment effort. They included staff from the risk unit, strategic management, maintenance, multi- modal planning, traffic, and the WSDOT’s Northwest region. During the pilot, this initiative required several different types of resources to analyze and develop the strategies required. For example, developing a better work environment that improves morale and creates a more productive workforce requires: • Visible and ongoing leadership support. • The right personnel assigned to identify workforce development needs for the areas piloting the initiative. • A good understanding of the data on the workforce’s requirements. These include data on training, salaries and benefits, career opportunities, and work environment. • Information about hiring and retention issues and best strategies to fill these gaps. • Resources to lead the selected pilot strategies. • Developing strategies to pilot the mitigation identified. • Developing strategies to communicate the mitigation strategies identified for the high-priority risks, engaging employee feedback, and incorporating as appropriate. Resources to implement the project were an issue for WSDOT. With a significant budget reduction, a hiring freeze, and an employee turnover rate of 9.3 percent (619) in 2019, securing adequate resources for the initiative was a challenge. Successes/Accomplishments WSDOT has taken many steps to keep employees engaged and informed to continue to build a productive workforce and be an employer of choice. Considering the hiring freeze, the budget cuts, and the limitations posed by the COVID-19 pandemic, these accomplishments are sig- nificant. In addition to working on workforce development, WSDOT has developed websites that present the information in simple charts. These sites also explain what next steps the DOT plans to do to advance various strategies of workforce development. The results of each activity supporting workforce development and the communication of these help spread the word. The information made available through the websites provides much-needed transparency and keeps all existing employees informed and engaged while also serving to advertise WSDOT as a place to work for attracting potential employees. Additional accomplishments are discussed in the following: • Despite the budget cuts, hiring freeze, and COVID-related challenges that the agency was facing, the employee engagement survey conducted by WSDOT showed an increase in overall job satisfaction. That is an encouraging sign reflecting the communication and outreach by WSDOT. In addition, WSDOT has been involved in ensuring that the workforce continues to be engaged and that the health and safety of maintenance and other staff who are not in a work-from-home situation are addressed. Figure 4.21 shows a screenshot of the WSDOT engagement survey results for 2019.

Pilot Case Studies 77   e Northwest region maintenance team took advantage of the mentorship program as part of its knowledge transfer strategy. e agency’s strategic plan dashboard features the story of a mentor (an environmental program manager) from WSDOT’s Northwest region and a pro- tégé (a transportation specialist). e mentorship program helped the protégé learn from the mentor’s close to two decades of experience. Participation in the mentorship program helped the protégé with career advancements and provided the ability to tackle greater challenges within the agency. Highlighting such personal experiences has raised awareness and interest within WSDOT and helped promote knowledge transfer within the agency, and the number of sta showing interest in this program has increased. e story of mentor–protégé knowledge transfers can be accessed at the following URL: https://www.wsdot.wa.gov/about/secretary/strategic-plan/dashboard/workforce-development/talent- development.htm#Knowledge-transfer-section. • WSDOT has developed many online training modules and is seeing a signicant increase in the amount of online training that employees are taking. • WSDOT is engaged in succession planning for vacancies that exist in the maintenance areas and is highlighting the openings to those interested in upward mobility. e agency is aiming to increase by 5 percent each year the number of diverse, qualied candidates who apply for Maintenance Technician 2 positions. • Physical and mental health are important to ensuring a productive workforce. WSDOT has been focusing on overall training and communication and putting more eort into sharing information across the department on physical and mental health. WSDOT has been conducting biweekly meetings with senior managers to communicate information about supporting employees’ health and mental health. • WSDOT sta are using webinars more frequently, which is providing more training to more people than otherwise would have been possible. In addition, WSDOT employees are taking more of the free FHWA training from the National Highway Institute. Source: WSDOT 2019. Figure 4.21. Summary of WSDOT engagement survey results for 2019.

78 Implementation of the AASHTO Guide for Enterprise Risk Management • WSDOT has implemented many strategies to reach out to employees. The agency has created a website for workforce development that includes various types of resources for employees. These tools are intended to help the employees enhance their professional development. There is a toolkit on the site for professional development, with links to free podcasts covering many workforce development topics. In the current environment, when most of the employees are working from home, these services are helpful. Some of these resources can be accessed by anyone, while others can be accessed by employees using their WSDOT employee ID, either on their computers or on mobile devices. Details and screen captures are included in the Tools Developed section that follows this section. • WSDOT makes it a practice to invite other agencies to participate in its online events. These events help WSDOT staff learn what other agencies are doing. It also has been particularly beneficial to learn about local Washington agencies. WSDOT has invited participants to online events from Idaho, Oregon, the Washington State Patrol, California, the City of Minneapolis, and Missouri. These events and training address a variety of topics. One topic was workforce safety training, which is relevant to all the agencies. • WSDOT also has what it calls “Webinar Wednesdays.” These are webinars in which a subject- matter expert discusses topics important to WSDOT. These topics augment training for the workforce and provide practical suggestions on various topics. A recent webinar on bridge engineering had between 400 and 600 people in attendance. • Another strategy that WSDOT has used to share information is to form COPs and groups focusing on change management. COPs have been effective because they often are grassroots groups and they engage practitioners. These can also be training opportunities not only for WSDOT staff but also for other local agencies. Some of the sessions WSDOT conducts are completely open to outside participants. Tools Developed Dashboard on Inclusion. WSDOT developed a dashboard on inclusion that can be accessed internally and externally. The dashboard provides valuable information on inclusion and shows the performance targets and performance for all the workforce measures. To help the workforce have a better understanding of performance, WSDOT uses a 24-page State of Washington Per- formance Measure Guide (State of Washington, Office of Financial Management 2019). The URL for WSDOT’s Strategic Plan Dashboard is https://www.wsdot.wa.gov/about/secretary/strategic- plan/dashboard/default.htm. Videos. WSDOT has several videos on various workforce development topics. For example, the video for WSDOT Strategic Plan – Workforce Development can be accessed at the following URL: https://www.youtube.com/watch?v=1OdnXjCsUOo&feature=youtu.be. Website. WSDOT developed a website containing several webpages that present performance on a number of areas related to workforce development, including employee engagement, satis- faction with the work environment, average training sessions attended by each employee, the talent pipeline, and the number of employees eligible for partial and full retirement. Each of these topics is covered in detail, and the yearly performance is presented in a dashboard. By being transparent and making information easily accessible, WSDOT is seeing more employee engagement and feedback. Receiving feedback is another way to understand employee perspec- tives and helps the agency enhance strategies as well as take corrective action where needed. The website and associated pages can be accessed through the following URL: https://wsdot.wa.gov/ employment/workforce-development/. The webpages on the topics include a section on next steps, which helps employees under- stand what they can expect in the future. All of these are important strategies for developing a productive workforce. A screen capture of the website is shown in Figure 4.22.

Pilot Case Studies 79   Figure 4.23 shows a screen capture of the webpage that houses the Workforce Develop- ment Toolkit. ere are links to recordings of past and future events that the employees can access. is page can be accessed through the URL: https://www.wsdot.wa.gov/employment/ workforce-development/telework-resources/professional-development.htm. Several other such resources and tools are available to employees through the WSDOT website. Source: WSDOT 2021. Figure 4.22. Screen capture of the webpage on workforce development. Source: WSDOT, https://www.wsdot.wa.gov/employment/workforce-development/telework-resources/professional-development.htm. Figure 4.23. Screen capture of the webpage on the Professional Development area of the Workforce Development Toolkit.

80 Implementation of the AASHTO Guide for Enterprise Risk Management Other Resources. Additional resources to workforce-development–related products from WSDOT include: • State Employee Engagement Survey: can be found on the website of the State of Washington Office of Financial Management (https://ofm.wa.gov/). • Maintenance Workforce Video: Highway Maintenance - Always Answering the Call – YouTube (https://www.youtube.com/watch?v=pm3ndoC8H-4). Challenges and Lessons Learned Being an attractive employer of choice and creating an environment that improves morale and creates a more productive workforce requires employee engagement. The success of this is closely tied to what the employees experience that motivates them to be engaged and productive. The lessons learned include those discussed in the following: • An understanding that risks come in different forms. Addressing workforce risks is complex. With the pandemic, the workforce challenges got more complicated. It therefore became more important to constantly be monitoring for risks from different sources and in different forms. The approach should be based on the people, places, and processes involved. The approach to dealing with a risk should not be dictated by a standard process but should be shaped to address the environment that surrounds the risk. • Employees are invested in their own concerns, and the risk analyst should listen carefully to understand those concerns. If the analyst does not listen to the concerns and understand them, the analyst will not get the much-needed employee engagement that is critical to the success of the mitigation. • Changing an organization’s culture is a complex undertaking and requires substantial resources. As described in the case of Initiative 1, the WSDOT champion of this initiative stated that, “Initially WSDOT failed to understand how many resources would be needed to change the agency culture” (John Milton, personal communication). The lessons learned relating to resource needs are discussed in the Challenges and Lessons Learned subsection of Section 4.3.1. • Risk practitioners need to understand that different risk initiatives require different actions. It is also important for risk practitioners to understand that different employees have different workforce development requirements, and not to assume an understand- ing of an employee’s perspective of risks. Instead, listen and gain a good understanding of what the stakeholders (employees at all levels) perceive as risk so that mitigation can be designed accordingly. • Workforce needs are changing. Being proactive and not reactive is becoming increasingly important in risk management. Risk practitioners should anticipate risks and plan accord- ingly to engage employees in proactively mitigating them. Proactive mitigation can often be relatively inexpensive and can help an agency avoid a workforce crisis. • When WSDOT initially tried to implement risk management several years ago, it took a math- ematical approach with complex calculations. That approach failed because it was viewed as too complex. Simpler solutions often are easier to understand. When employees understand the initiative, they are more likely to get engaged, which is important to the success of work- force development initiatives. • It is important to ensure that salaries are commensurate with those of the market. The chal- lenge of WSDOT salary disparities compared to other employers continues to pose a risk to the agency being an employer of choice. For example, WSDOT develops and trains new maintenance workers, but once trained, the workers often leave for local governments that pay more. Over time, this has resulted in a gap in mid-level staff, and the WSDOT mainte- nance workforce is disproportionately staffed by entry-level employees and those who are nearing retirement.

Pilot Case Studies 81   • It is important to make sure that resources are assigned to align training with the skills that employees need. Because of budget cuts in the human resources area, a matrix of which courses staff should take to advance their careers has been de-emphasized. This alignment used to be a deliberate activity that has been lost. WSDOT has a large online curriculum, but it remains a challenge for staff to know which courses are available and what courses they should take. The result is a disconnect for WSDOT employees who wish to advance their careers. • With the pandemic, telework and online training provide an environment that is rich for training. However, it also is important for WSDOT to increase efforts to provide staff the opportunities to network with work groups and to participate in conferences where in-person communication cannot be replaced. When teleworking, it is critical for staff to still have opportunities for personal interaction. • With the pandemic, another challenge that the pilot team faced was to train employees on maintenance. Much of the training for maintenance needs to be in the field and not virtual. It is difficult to teach someone how to operate equipment with online training; such train- ing does not translate well to webinars. However, WSDOT is continuing with its training in smaller groups and while social distancing. • The WSDOT workforce is aging. About 30 to 40 percent of the maintenance staff could retire in the next 5 years. Outreach to potential employees has halted because of the pandemic and because of the loss of staff to conduct the outreach. When and if outreach returns will depend on the next biennial budget and what the workforce size will be. Still, succession planning needs to resume. Next Steps for Full Implementation The next steps for WSDOT include those discussed in the following: • The agency plans to continue implementing this pilot beyond NCHRP Project 20-44(02) and extend it to maintenance offices in the other regions as well as other selected areas within the agency. • Current challenges require WSDOT to assess how to make online training more nimble and flexible. WSDOT has lost significant numbers of staff. Sixty percent of the coursework that was identified as needed has been developed. Ensuring a productive workforce and being an employer of choice requires providing appropriate training that also addresses the needs and learning styles of the newer staff. Even before the pandemic, WSDOT was considering both in-person training and online training. Now, with only online training being offered, there is more of a need for accounting for the different online learning styles. WSDOT plans to con- duct a new assessment of training needs because so much has changed since the last assess- ment. To address this, the agency is collaborating with the Department of Enterprise Services to procure a new learning management system. This system will help WSDOT improve track- ing and reporting and ensure consistency in training. The system will integrate with other training systems already in place, providing a better learner interface and experience. • WSDOT plans to take advantage of the existing network of trainers and experts from PacTrans to help address training needs. PacTrans is a consortium of eight universities that provide expertise on transportation issues to WSDOT. Many of the new hires come to the agency with no transportation experience. Also, those with knowledge rotate within the agency as they take new roles. PacTrans can be a good resource to address some of these training needs.