Analyzing the Role of US Deputy Secretaries in Federal Management

A bipartisan law passed in 2011 established a new management role within US federal agencies: the chief operating officer (COO), which is generally undertaken by agencies’ deputy secretaries. These officials are tasked with developing and implementing policies to promote operational efficiency, including managing personnel, formulating budgets, overseeing program design, and setting strategic priorities. As such, they are essential to advancing their departments’ agendas and sustaining momentum on core initiatives. But they also face unique institutional dynamics that make operational transformations challenging in the federal environment.

Our latest research examines the unique role that deputies play in linking an agency’s strategic direction to on-the-ground implementation. We spoke with 12 former US deputy secretaries to understand their management insights firsthand. We also compiled input from federal appointees, previous research on setting up a federal front office, and best practices from McKinsey’s seven decades of experience in supporting federal and state government transitions.

Insights from Former Deputies

In reflecting on the historical legacies of deputies, presidential scholar William Antholis, the director and CEO of the Miller Center at the University of Virginia, commented on our research by noting that “while the spotlight often shines on cabinet members, deputies keep the machinery of government running. That’s the case both within and across federal agencies. Without their indispensable work to bridge leadership goals with implementation, administrations would struggle to ensure that their priorities turn into lasting impact on day-to-day operations.”

Based on these insights, we’ve identified five core practices for newly appointed US leaders to prioritize as they navigate common management challenges in their first 100 days. These practices include aligning on the role, building an operating model, mastering the budget, assessing impact, and shaping culture. A focus on these five practices can help new executive federal appointees achieve success and tangible impact in their roles as public servants.

Align on Your Role

Deputies typically have less than 48 days between nomination and confirmation, and once appointed, their average tenure is less than three years. Given the tight timeline, they should establish a clear understanding of their individual role early in their tenure, ensuring alignment with the White House, the department secretary, the department’s leadership team, and Congress.

Master Management Processes

Deputies have an array of tools for shaping the operations and culture of their agencies. With oversight of budget, personnel, IT, and procurement processes, they have considerable capacity to manage at scale and improve performance at the margin. By gaining early insight into how to implement policy and deliver programs effectively, deputies can better advance presidential and secretarial priorities.

Synchronize with the Secretary and Chief of Staff

Nearly all the former deputy secretaries we interviewed emphasized the importance of a strong partnership among the secretary, deputy, and chief of staff, “the three legs of the stool.” Beyond statutory responsibilities, management of large federal departments requires constant calibration and syncing among these three individuals.

Own Your Agenda

Deputy secretaries need to define and implement their own initiatives and personal priorities. Their days get filled with many “must do” items, with priority requests coming in from the office of the president, peer federal departments, and high-influence stakeholders.

Build Your Operating Model

Structuring an effective team is one of the most critical early tasks for a deputy. While secretaries tend to have large staffs to support their policymaking, their deputies tend to have smaller teams with limited delivery capacity and may need to rely on teams outside their immediate supervision.

Organizing the Deputy’s Office to Ensure Execution Capability

Deputy secretaries often have lean offices, but they can draw on vast departmental resources. A successful deputy’s office typically includes a chief of staff, a senior career official, a senior policy adviser, and a dedicated administrator.

Uniting Career and Political Team Members

Deputies need to be able to bring in top talent and ensure the agency’s people have the skills and capabilities to deliver on the organization’s goals.

Setting Stakeholder Engagement Routines

Deputies have a broad range of stakeholders, including leaders from Congress, the administration, and the private sector. They must regularly engage with congressional members and their staff, House and Senate leaders, and governors to address constituent needs and policy matters.

Master the Budget

The budget is the key to strategy and the single most powerful tool that deputies have. The organization’s budget and financial information help all agency leaders improve outcomes, measure progress, and make informed strategic trade-offs.

Plan Early and Methodically

Effective budget management enhances mission and operational success. A healthy budget organization includes a framework and standardized model for decision-making, routine management, and budget preparation support.

Commit and Deliver

Building trust with Office of Management and Budget (OMB) leaders is crucial for aligning objectives and ensuring a successful relationship.

Assess Impact

Under the GPRA Modernization Act, agencies must set performance management goals, with deputies playing a key role in defining success metrics. Although challenging, these metrics are crucial for measuring progress and ensuring accountability.

Learn from All Levels

Effective deputies know the value of understanding their department’s impact from various perspectives—internal and external, political and career, national and local.

Standardize Accountability

To ensure progress, deputies need clear accountability, often established through meetings like one-on-ones, management councils, and cross-functional sessions.

Shape Culture

Federal workplace culture typically persists across administrations due to ingrained values, established norms, and long-standing practices.

Build Workforce Trust

A strong culture begins with open communication and active listening; this, in turn, fosters inclusion. When deputies actively seek balance in their approach to challenges, they demonstrate a genuine concern for the unique voices and experiences of their team members.

Empower the Workforce

Deputy secretaries can enhance their effectiveness by empowering staff through delegation, professional development, and recognition.

Conclusion

Federal deputy secretaries play a pivotal role in steering their organizations toward operational excellence and strategic success. Sound management ensures that the agency’s day-to-day operations align seamlessly with its long-term goals. By implementing efficient processes, optimizing resource allocation, and fostering a culture of continuous improvement, deputies can drive department cohesion and collaboration. Ultimately, the COO’s leadership in operational management not only enhances performance and stability but also builds a resilient organization that can thrive in a dynamic and changing environment.

FAQ

What is the role of a deputy secretary in a federal agency?

The deputy secretary in a federal agency is tasked with developing and implementing policies to promote operational efficiency, managing personnel, formulating budgets, overseeing program design, and setting strategic priorities.

How can newly appointed US leaders navigate common management challenges?

Newly appointed US leaders can prioritize practices such as aligning on the role, building an operating model, mastering the budget, assessing impact, and shaping culture to navigate common management challenges in their first 100 days.

Why is budget management crucial for deputy secretaries?

Budget management is crucial for deputy secretaries as it helps in aligning objectives, ensuring a successful relationship with the Office of Management and Budget (OMB), and driving efficient resource allocation to meet strategic goals.

References:

1. McKinsey & Company – Lessons for US Deputy Secretaries on Effective Federal Management

2. Bipartisan Policy Center (BPC) – A Bipartisan Law on Federal Management

3. Government Accountability Office (GAO) – Report on Deputy Secretaries in Federal Agencies