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SR-101-003-01-01 PCD:SF:AA: f:\plan\admin\ccreport\ircg2.doc Council Meeting: February 8, 2000 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Recommendation to Authorize the City Manager to Negotiate and Execute an Amendment to Contract with Innovative Resources Consultant Group, Inc. for Organizational Development Services for the Planning and Community Development Department. INTRODUCTION This report recommends that the City Council authorize the City Manager to negotiate and execute an amendment to contract with Innovative Resources Consultant Group, Inc., in an amount not to exceed $50,000, to provide continuing organizational development services for the Planning and Community Development Department. BACKGROUND Over the past two years, the Planning and Community Development Department has hired new employees to fill many critical positions within the Department. The Department has also implemented a reorganization of its transportation management and traffic operations functions and is experiencing an unprecedented workload due to the current state of the local economy. As a result of these factors, as well as an on-going need to foster the development of common goals and objectives among all employees, in summer 1999 the Department embarked upon a process of creating an organizational strategic plan for the Department. The process includes the development and implementation of goals such as 1 improving customer service and enhancing teamwork and cooperation. DISCUSSION During 1999, the Planning and Community Development Department solicited proposals to provide the first phase of facilitation and coordination services for organizational development. The first phase included the creation of an organizational strategic plan, including the development of a mission and common goals that are shared by all employees, and interactive group dynamics training that included all members of the department. Innovative Resources Consultant Group (IRCG) was authorized by the City Council to provide these services on the basis of experience and reputation with similar organizational development processes, approach to the process, experience of key personnel, and reasonable fee proposal. The Planning and Community Development Department now wishes to embark on the second phase of the organization development process. The second phase of the process includes focused application of the strategic plan, further work on group dynamics within the five divisions, and formation and facilitation of employee task forces to implement key elements of the strategic plan, such as improved customer service. IRCG is recommended to provide the second phase of organizational development services on the basis of their leadership and success with the first phase of the process and their familiarity with the functions and staff of the department BUDGET/FINANCIAL IMPACT 2 Funds for this program are available in account numbers 01266.555060. RECOMMENDATION It is recommended that the City Council authorize the City Manager to negotiate and execute an amendment to contract with Innovative Resources Consultant Group, Inc., in an amount not to exceed $50,000, to provide continuing organizational development services for the Planning and Community Development Department. Prepared by: Suzanne Frick, Director Andy Agle, Deputy Director Planning and Community Development Department 3