Additional Guidelines in the Office Performance Evaluation of LTS Pursuant to RMO No. 15-2013

August 14, 2013 REVENUE MEMORANDUM ORDER NO. 025-13 TO : All Deputy Commissioners (DCIRs), Assistant Commissioners (ACIRs), LT National Office Division Chiefs, LT Division Chiefs Makati & Cebu and Others Concerned SUBJECT : Prescribing Additional Guidelines in the Office Performance Evaluation of LTS Pursuant to RMO No. 15-2013 (Prescribing the CY 2013 Operational Key Performance Indicators and Accomplishment Reporting for the Large Taxpayers Service (LTS) I. Objective This Order is issued to prescribe additional guidelines in the office performance evaluation of Large Taxpayers Service (LTS), LT National Office Divisions and LT Divisions (LTDs) Makati & Cebu based on the CY 2013 Operational Key Performance Indicators (KPIs) as embodied in RMO Nos. 15-2013. II. Policies and Guidelines The following additional policies and guidelines shall be observed: 1. The Measure Owners (Service level) shall be responsible for ensuring the integrity, accuracy and completeness of data prior to its submission to Policy and Management Service (PMS). 2. The Consolidated Annual Accomplishment Report with Office Performance Evaluation of LTS as prescribed in RMO No. 15-2013 shall be validated by the concerned Measure Owners and shall forward the validated data/score using the prescribed excel sheet (Annex D of RMO No. 15-2013), in soft and hard copies to Planning and Programming Division not later than the 28th day of the month following the end of the year . TAHIED 3. The maximum score an office can earn per KPI should not exceed the assigned KPI Weight. In the event that the actual accomplishment exceeds the KPI target, the score to be given shall be the maximum assigned weight for the particular KPI. 4. If an Office is exempted from a particular KPI, the Measure Owner shall indicate such in the Office Performance Evaluation Report (Annex D of RMO No. 15-2013) and the assigned KPI weight shall be deducted from the total applicable points of that Office. Details in the computation of the Rating per Office are provided in Section III of the RMO. 5. The Planning and Programming Division, through PMS, shall prepare and submit a summary report to MANCOM which shall be used as reference in policy decision-making. III. Guidelines in the Computation of Rating Per Office: 1. A straight forward method of computation shall be used in rating the performance of each office (Actual Accomplishment x Weight per KPI = Score) . The Overall Rating of an Office shall be the percentage of the sum of points earned per KPI over the applicable perfect score. 2. The total applicable perfect score for all KPIs is 100 points. In the event that a KPI is not applicable to a particular Office, the corresponding KPI weight will not be counted, thus, reducing the total applicable perfect score for the Office. TAcDHS 3. As such, the applicable perfect score will be equivalent to the total KPI weights of all KPIs applicable for the office. However, the rating will still be based on a perfect rating of 100% by getting the quotient of the total score over the applicable perfect score. 4. To illustrate, please refer to the table below. Applicable Key Performance Indicators (KPIs) and Points For Offices under LTS for the Rating Period CY 2013 KPI Number with Corresponding Points Applicable Rating LT Office Total Perfect (A/B) x 1 2 3 4 5 6 7 8 9 10 Score Score 100% (30) (20) (10) (10) (5) (5) (5) (5) (5) (5) (A) (B) RLTAD1 30 20 10 10 5 5 5 5 5 5 100 100 100.00 RLTAD2 30 20 8 7 5 5 5 4 5 5 94 100 94.00 RLTAD3 30 20 10 10 n/a n/a 5 5 n/a 5 85 85 100.00 ELTAD1 30 20 8 9 5 n/a 5 4 n/a 5 86 90 95.56 ELTAD2 30 20 8 10 5 n/a 5 4 5 5 92 95 96.85 n/a not applicable 5. For example, RLTAD 3 is exempted from KPI Nos. 5, 6 & 9 with corresponding weight of 5 points each for a total of 15 points. The total applicable perfect score for RLTAD 3 will be 85 points (100 points applicable perfect score for all KPIs minus 15 points for exempted KPIs). Thus, the total score that they obtain will only be divided by 85. Should they obtain a total score of 85, their rating would be 100%. AEIHCS 6. Further, ELTAD 1 & 2 has a total score of 86 & 92 respectively for the applicable KPIs but still they will be rated according to the applicable perfect score of 90 & 95 to obtain a rating of 95.56% and 96.85% respectively. IV. Penalty Clause Non-compliance with the prescribed deadline for the submission of reports required under this Order shall be considered as a Violation of Reasonable Office Rules and Regulations with penalty as defined in the Revised Code of Conduct for Revenue Officials and Employees as implemented by RMO No. 53-2010. V. Repealing Clause All provisions of existing Revenue issuances, instructions and circulars inconsistent herewith are hereby superseded or revoked. VI. Effectivity This RMO takes effect immediately. (SGD.) KIM S. JACINTO-HENARES Commissioner of Internal Revenue