4.1.22  LMSB Workload Study

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4.1.22.1  (07-01-2007)
Overview

  1. The Large and Mid-Size Business Division requires an annual workload study to determine the location of its workload, make an objective risk assessment of its work, and complete a matching of its human resources with the location of the highest risk work.

  2. The LMSB Workload Study is automated and consists of several database files linked together and presented through an interactive tool using the Pivot Table application within Microsoft Excel. A Computer Analyst in Strategy Research and Program Planning is responsible for preparing the annual Workload Study.

4.1.22.1.1  (03-23-2010)
Steps in Conducting Workload Study

  1. Determine the LMSB Filing population.

    • The Business Returns Master File is used to determine the filing population. The LMSB population used is based on returns with assets of at least $10 million.

    • All returns are distinguished by return type and are assigned activity codes. A return filed in a particular Post of Duty is assigned to the Industry Headquarters office that controls that geographical area.

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  4. Calculate Hours to Accomplish Quantiles of Work.

    • The total number of hours to accomplish the work in each quantile is determined by applying historical Industry Case hours per return rate, extracted from Table 37 against the appropriate activity code in each quantile, with total hours of direct examination time calculated for each quantile.

    • The historical rates for domestic computations have been reduced by the International Examiners contribution to the rate. This data forms the basis for the rates used in the International Examiner Workload Study.

  5. Calculate hours required to work Mandatory workload in LMSB.

    • Anticipated mandatory workload in tax shelters, claims, Joint Committee cases, National Research Program (NRP) related flow-through returns, and Compliance Initiative Project (CIP) cases is computed using the planned Direct Examination Staff Year (DESY) information obtained from the LMSB high level examination plan.

    • The planned DESY is multiplied by 2000 to determine the number of hours to work the mandatory workload.

  6. Combine Quantile 1 (Q1) Hours to Work With CIC and CAP Needs as well as Mandatory Workload Needs.

    • The Coordinated Industry program and the Compliance Assurance Program are front-end loaded.

    • The hours needed to work quantile 1 work, the highest risk discretionary workload, are combined with the CIC, CAP, and the mandatory workload requirements to determine the total number of hours required in each location, industry or organizational component.

  7. Ascertain LMSB Staffing By Specialty, Organizational Alignment, and Location.

    • Using data obtained from Management & Finance, the total direct examination hours any sub-group of employees can deliver is calculated.

    • Employees included in the LMSB workload study include technical field employees such as Revenue Agents, International Agents and Team Coordinators.

  8. Compare Staffing With Combined Q1 Work, CIC, & Mandatory Needs

    • The hours of available direct examination time (total capacity) are compared to the hours needed to work Q1, CIC, CAP and mandatory work. A positive number indicates a surplus of resources (more hours available than work), and a negative number indicates a deficiency (more work than there hours available to address it).


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