financial information system replacement project page 0 | 28-oct-08 | general financial information...

Financial Information System Replacement Project

| 28-Oct-08 | General

Financial Information Systems Replacement Project

Controllers Conference

October 28, 2008



Session Ground Rules

Please be back from breaks, lunch on time No interruptions (pagers, cell phones, etc.) You can challenge ideas, not people Listen to what others have to say / No side conversations Parking lot Questions Have fun ….



Video clip – Rick Mercer blackberry video



Name the FIS Replacement Project

Requirements: Propose a name for the new financial system that is easy,

identifiable and significant to users. How to Enter: Complete the ballot that is in your package while you are at the

conference, or Submit entries to Robert Borden, [email protected]. The

deadline for submissions is Friday, November 7th at 5:00 PM.Winner Selection: The project team will review all entries and determine the winner. The Prize: All finalists will receive a prize. General Conditions: Enter as many names as you would like.



FIS Replacement Project - Vision

Warren St GermaineAssistant Deputy Minister, FIS Replacement



FIS Replacement Project Vision

– We are laying a cornerstone for a strong foundation to support the Government of the Northwest Territories to make the best possible decisions by providing the right information to the right people at the right time through effective, integrated processes and supporting technology

We will achieve this by

– Delivering a quality, on-time, on-budget FIS replacement system

– Ensuring continuous involvement of and communication with all departments throughout the project lifecycle

– Supporting employees through the change with deliberate scheduled actions Our outcomes will

– Give managers the tools that they need to manage and support their decisions

– Empower employees to be more effective in their roles through better tools and training

– Allow departments to focus on what really matters

– Adopt/adapt best practices while honouring and recognizing what currently works for us

– Streamline/standardize business processes that support the system (end-to-end)

– Reduce the number of ancillary information systems throughout the organization



FIS Replacement Project TeamGNWT IBM

Secretary of the FMB Comptroller General Margaret Melhorn

Assistant Deputy Minister, FIS Replacement Warren St. Germaine Beth Bell

Assistant Comptroller General Louise Lavoie

Executive Program Director Robert Ratcliffe Gary Hunter

Project Manager Rob McMenemy Ginger Street

Developer Marc Gauthier

Change Management Kristen Cook Linda Corriveau

Coralee Round

Training Niña Salvador

Accounts Payable Andy Couvrette Randy Smandych

Asset Management Paul Lam Ashwini Goabal

Billing/Accounts Receivable Jennifer Doyle Rick Kordalchuk

Business Systems Analysts Leslie Goit

Miles Welsh

Expenses Andy Couvrette Daniel Martins

General Ledger Chris Engley Roma Ghosh

Project Costing John Phillips

Purchasing Sherry Spring Kelly Baker

Treasury Chris Engley Kelly Kavanaugh



Robert RatcliffeExecutive Project Director

Project Overview



Project Scope

Replace FIS and major processes / applications around FIS Build all inbound / outbound interfaces to legacy systems

that are linked to FIS PeopleSoft Modules

– General Ledger

– Accounts Receivable & Billing

– Accounts Payable

– Purchasing

– Treasury

– Expense Management

– Asset Management

– Project Costing (Planning Stage only / Implement tbd)



Benefits

Improved management decision making through corporate-wide financial solution– Drill-down / drill-through capabilities

– Enterprise platform for consistency

Common standards, platforms, processes and procedures

Leverage best practices Improve operational efficiency & eliminate redundant or

duplicated activities Sets foundation for handling future growth



Estimated Cost to Implement $ 20,262,454

Cost and funding constraints led to redefining project scope Efforts today sets foundation for implementing future modules Investment enables integration across major systems (e.g. HR &

Financial) Shared technology platforms will lower operational costs such as

maintenance & support



Estimated Project Activities & Timelines

Planning & Define

Design Build Transition

Oct – Dec

- Business Req’ts- RICE

Jan – Mar

- Application- RICE

Feb – Apr

-App Configuration- RICE

-System / Integration Testing

May – Aug

-UAT, Stress Test, QA Test

- Training- Go Live- Support

RICE – Reports, Interfaces, Conversions, Extensions



Methodology Overview

Planning & Define– Workshops with SME’s to identify requirements and assess Fit-Gap

– Identify opportunities for business process re-engineering

– Initiate activities for technical (conversions, interfaces) and people impact (training, change management, communications)

– Commence knowledge transfer so that GNWT takes ownership

Design– Identifying, assessing & recommending options

– Validate with business the proposed setup and impact to business processes

– RICE – Reports, Interfaces, Conversions, Extensions

– Set up technical environments

– Detail approach to testing, conversions, and training

– Defining technical environments and post-implementation support

– Ongoing knowledge transfer



Methodology Overview

Build– GNWT goal is to avoid customization

– Teams will configure PeopleSoft Financials

– RICE – Reports, Interfaces, Conversions, Extensions

– System and Integration testing

– Validate with the business providing & seeking ongoing feedback

– Engage GNWT internal audit to enhance quality assurance

– Ongoing knowledge transfer

Transition– UAT: User Acceptance Testing

– End User Training for both application and business processes

– Conversion, Cut-Over and Go-Live

– Post-Implementation Support



Project Management Activities

InitiationRequirementSpecification

Design ConstructTesting

CertificationImplement

Post-Implement

Continuous Activities: Project Management, Quality Assurance, Risk Management, Project Monitoring & Status Reviews,

Cost Control, Configuration Management, Change Control, Metrics, and Vendor Management

InitiationRequirementSpecification

Design ConstructTesting

CertificationImplement

Post-Implement

Continuous Activities: Project Management, Quality Assurance, Risk Management, Project Monitoring & Status Reviews,

Cost Control, Configuration Management, Change Control, Metrics, and Vendor Management

Project Managers will add value in understanding:

ManagementIntegration

TimeManagement

QualityManagement

CommunicationManagement

ProcurementManagement

ScopeManagement

CostManagement

HumanResource

Management

RiskManagement

Project Management Knowledge Area Processes

ManagementIntegration

TimeManagement

QualityManagement

CommunicationManagement

ProcurementManagement

ScopeManagement

CostManagement

HumanResource

Management

RiskManagement

Project Management Knowledge Area Processes



How Does This Impact Me?

New tools– This is not FIS….so need to be trained on how PeopleSoft works

New business process– PeopleSoft uses best practices so existing ways of doing business may change

– GNWT Chart of Account structure will change (No TRANS CODES!!!!!!!)

– Automating manual processes and setting foundation for workflows

How can I contribute?– Participate (subject matter experts), ask questions

– Be available for training

– Be open to change

– Participate in Testing

How will PeopleSoft team help me?– Training & documentation of processes

– Relying on business users and management for business requirements



Robert RatcliffeExecutive Project Director

Planning & Define Update



Planning & Define Update

Core project team is working well together COA structure is defined and being vetted by business Training for core team members has commenced DFA, Steering Committee and Business Advisory Committee are

engaged and supportive Solid representation of SME (Subject Matter Experts) Steep learning curve & ramp up has been challenging GNWT staff are enthusiastic, open minded, and starting to internalize

benefits of PeopleSoft IT Architecture has been defined and equipment ordered Knowledge transfer is well underway Project Status: Green



Ginger StreetRandy Smandych

PeopleSoft Financials Highlights



What We Have Found so Far…..

Government representatives are knowledgeable about the current processes

– Willingly share their information

– Enthusiastic team players

– Open to new ideas

– Anxious to know the new business processes

PeopleSoft is a good ‘fit

– 80/20 rule

– We haven’t found any ‘show stoppers’

We are making good progress

– GL/AP/PO/AR/BI workshops 50% complete

– Starting TR/AM/EX/PC in November




General Ledger

– Flexible chart of accounts

• Room for growth

– Allocations

– Multiple ways to create journals

• Standard journal templates• Recurring journals• Spreadsheet upload

– Easy access to historical information going forward

– Year-end closing is more flexible

• Able to post adjustments to prior period

– Easy to create reports

• Can be pushed or pulled



What We Have Found so Far….. Accounts Receivable/Billing

– Ability to calculate interest on overdue receivables

– All cash transactions can be processed in PeopleSoft & then fed to subsystems

– Complete audit tracking of each transaction

– GNWT has some complex business processes but we are working through them – many of them do ‘fit’

Purchasing & Accounts Payable

– Purchasing will eliminate many shadow systems

– Procure to Pay integration allows PO info to automatically flow to voucher

– 3 way matching

– Different terminology within the application – we are now creating a glossary




Full commitment accounting

– HCM/PO/AP/EX

– Ability to drill down to commitment transactions

Controlled at the General Ledger level

Full vs partial Spend Check Easy to include information

in reports

– Accessing the commitment ledgers

This will not solve all of the commitment reporting issues




Reporting

– On line query tool

– Drill downs from GL to details in source ledgers

– Report layouts designed in Excel



Chris EngleyNiña Salvador

Chart of Accounts and Accounting Training Update



Chart of Accounts – Definition and Purpose

A financial classification system for identifying, aggregating and reporting financial transactions.

The COA provides the framework for planning, resource allocation, management control, accounting, statistical and evaluation purposes, as well as the preparation of the Public Accounts.

FAM Directive 1201 – Financial Coding Systems: The Comptroller General shall ensure that the financial coding

established by user Departments for use in the Financial Information System:

– a) Provides for the preparation of the Public Accounts;

– b) Provides for measurement or comparison of actual results to the financial authorities approved in the Main Estimates by the Legislative Assembly; and

– c) Uses the mandatory and optional coding elements in a manner fully consistent with their intended use.



Why New COA Design is Required

Many aspects of the current GNWT Chart of Accounts are unique to FIS and not supported by PeopleSoft as delivered.

In order to avoid costly customizations and to enable us to take advantage of PeopleSoft functionality, the COA must be redesigned.

Because of this, it is an opportune time to revisit how the COA is set up and to look for possible improvements.



Redesign Process

Workshops were held with representatives from each GNWT department and the NWT Housing Corporation to define financial reporting requirements and to draft a proposed COA structure for the Peoplesoft implementation.

The proposed COA is currently under review by GNWT departments and the NWT Housing Corporation.



Representatives

Legislative Assembly Cheryl Menard Executive & Aboriginal AffairsJames Ssenyange FMBS Alain Bolduc Finance Mel Enge Human Resources Michelle Ramm MACA Colleen Zorn Transportation Gary Brennan Public Works Chuck Gibson Health & Social Services Kim Weir, Johanne Denault ENR & ITI Sheila Wooley Education Marissa Martin, Sheila Devine Justice Leanne Hannah NWT Housing Corporation Biswanath Chakrabarty



Guiding Principles

Design the chart of accounts around required reports.

Design for flexibility – scalable and maintainable solution

Avoid detail in the general ledger when available in sub-ledgers

Capture data at the lowest level, avoid recording transactions to a “parent” or “roll-up” account.

Promote consistency, keep segments pure (one segment, one meaning)

Build in as much sharing as possible to reduce maintenance.

Reduce redundancy and complexity where possible.



COA Redesign - Challenges

Once configured in the financial system, the COA cannot be changed.

Not all departments use the same segments for the same purpose.

The COA structure must meet needs of all organizations included in the Peoplesoft implementation.



Current FIS Chart of Accounts

GL Account

(4)

Balance Sheet

(2)

Vote (2)

ControlObject

(1)

Standard Object

(1)

Group Object

(1)

Major Costing

(4)

Cost Centre

(3)

Cost Detail

(3)

Settlement (3)

Subsidiary (10)

GSN (10)

Region (1)

Area (1)

Program (2)

Division (1)

Section(1)

Unit (1)


| 28-Oct-08 | General 33

Region

(TREE)

AreaSettleme

nt

GLAccoun

t

Control

Object

StandardObject

Group Object

Balance

SheetVote

Program

Code(TREE)

Division

(TREE)

Section(TREE)

Unit

1 char 1 char 3 char 4 char 1 char 1 char 1 char 2 char 2 char 1 char 1 char 1 char 1 char

GLBusiness

Unit

Operating Unit

Class AccountFundCode

Department

(5 char) (8 char) (8 char) (10 char) (10 char) (10 char)

PeopleSoft ChartFields

Major Costin

gCost Centre Cost Detail

Subsidiary GSN

4 char 3 char 3 char 10 char 10 char

ProjectBusines

sUnit

ProjectID

Activity

Facility (Chartfield

1)Chartfield 2

(5 char) (8 char) (5 char) (5 char)

PeopleSoft ChartFields

GNWT Chart String



Recommended Peoplesoft Chart of Accounts

GLBusines

sUnit

Department

Operating Unit

Account ClassFundCode

Facility

ProjectBusine

ssUnit

ProjectID

Activity

5 char 5 char 2 char 5 char 3 char 2 char 5 char 5 char 8 char 5 char

Required

Required RequiredRequire

dRequire

dOptional Optional

Optional

Optional

Optional



Additional Considerations

Index codes & PeopleSoft speed types FIS transaction codes User defaults



Next Steps

Scheduling additional workshops with additional stakeholders, including those who have embedded the FIS COA into external systems.

Over the next few weeks, the COA structure will be frozen for the define phase.

Generate list of values for each segment Mapping old values to new values Develop training



Accounting Training Course

Objective• Refresh accounting knowledge• Preparation for the new system

Course content• Accounting equation• Debits and credits• General journal• General ledger• Trial Balance

Training update• HR training calendar

On-going training• Higher level management• Non-financial management

Feedback from participants has been positive



The System Formally Known as FIS



Kristen CookNiña Salvador

Change management



What is Change Management?

•Change Management is the process of helping an organization transition to a new working environment

•Change management is a planned and deliberate schedule of actions and messages involving those who have a stake in the change in order to help them take ownership of the change

Thinking Thinking There There

Getting Getting ThereThere

Living Living ThereThere



Benefits largely come from business change

New

Technology+ Old Business

ProcessesExpensive Old

Business Process=

“

New

Technology+

New BusinessProcess

Business

Enabler

“=



PeopleSoft is about the integration of functions and business processes

Purchase Requisition Invoice

PaymentPurchase

Order

Business process A + B + C = Result



New business processes

A single source of information

Routine work done by the system

New relationships with suppliers/clients

Change to existing jobs and new jobs are created

Increased collaboration between departments

Single inputs update multiple data files

Tools available to do the job

Increased ownership of processes

It’s less about technology and more about process and peopleIt’s less about technology and more about process and people

System initiatives automatically force significant change



Insert “The First Help Desk” video here



How do we react to change?



People react to change in a typical pattern…even when the change is a good one

Increased danger of checking out

Increased resistance



The phased response to change – the marathon effect

un

der

stan

din

g

time

First to know

Next to know

Last to know



Focusing on things that are under your control

leads to greater influence

Our circle of influence – what can we control?*

Circle ofInfluence

Circle ofConcern

PROACTIVE

Circle ofInfluence

Circle ofConcern

Wasting time and energy on things beyond your control decreases your

influence

* From Stephen R. Covey’s “The 7 habits of highly effective people”

REACTIVE



We hear you – we know you will have questions…

What’s expected of me?What’s expected of me?

What will be my role in practical terms? What will be my role in practical terms?

What’s in it for me?What’s in it for me?

Where are we going?Where are we going?

How will I do my job tomorrow? What’s going to be different? How will I operate?

How will I do my job tomorrow? What’s going to be different? How will I operate?

What new skills will I need to develop?What new skills will I need to develop?



How we will help you get through the change?



Video clip – ice scraper To highlight the fact that you start with the end in mind – you have to

know where you are going before you just jump in….



How will employees be prepared for the changes associated with the FIS Replacement project?

Time

Aw

eren

ess/

Un

der

stan

din

g

Communication(awareness)

Announcements

Communication sessions

Workshops

First contact

Education(context)

Focused info sessions

Change impact workshops

Process overviews

Introduction

Training(hands on)

System overview and navigation

Role-based courses

Exercises

Practice environment

Learning

Focused help

On-site coaching

Online support

End user procedures

Quick reference cards

Support

Go-live



Change management roadmap aligned with project phases

Planning & Define Transition Design and Build

1. Change Management

6. Learning Audience Analysis

5. Training

4. Organization Design Strategy

3. Communication Strategy

2. Change Management

Strategy

9. Detailed Impact Analysis

7. Change Network Plan

8. Communication

Plan

11. Learning Strategy

12. Learning Infrastructure

plan

10. Role alignment

13. Training Curriculum &

Material

Change Leadership

Training

14. Business Transition Plans

17 Go-Live Plan

15. Training Delivery

16. Training Evaluations

18. Change Adoption

Assessment



Change management initiatives

Specific events scheduled throughout the phases of the project

Some examples:

– Change impact and process mapping workshops

– Business process education sessions – stop/start/continue

– Communication throughout the phases of the project

– Training for all end users



Communication



Communication guiding principles

All communication will be open and honest We will not wait until we know all the answers before we

communicate Communication will be targeted to the audience to address

their primary concerns We will use a variety of communication methods and

approaches to ensure the messages are delivered and understood

We will set milestones, track progress and collect feedback to incorporate in the communications plan

We will manage expectations about the impact of this project We will acknowledge employee questions and concerns


| 28-Oct-08 | General 57

Some of the ways we will communicate with you

Employee communication updates– Delivered through your managers

Intranet– Section devoted completely to the FIS replacement project

The Bear Facts– Employee newsletter

Frequently asked questions– We will have an email address devoted to the project – employees may submit their questions

– Section on the internet/intranet devoted to employee questions

Glossary of terms– Section on the internet/intranet with project terms and definitions

57



Communication monitoring

Communication will be tracked for effectiveness to ensure

– that the PeopleSoft project communication is being received

– that it is understood and

– that all feedback is being listened to and acted upon

Soliciting feedback– We will ask for your feedback to see if their information needs are being met

Feedback action– When we receive your feedback, we will act upon it as much as we possibly

can



Niña Salvador

Training



Training guiding principles

Principle #1: Just enough and just in time

Principle #2: Make the most of what we have

Principle #3: Consider the operational realities for training



Full curriculum based on role

Combination of self study modules & classroom training sessions

Training and coaching approach

Phase 1 Process workshops, Self study

Phase 2Self study & classroom

Workshops – new processes

Online self study modules (any where, any time)

Peoplesoft navigation & concepts

On the job coaching

Ability to refresh skills using self-study modules, quick reference materials

Phase 3Coaching



Your role in the change



What we need from you

Read project communication when you receive it Check the intranet site frequently for new updates Ask questions Be involved Attend the training when it is scheduled for you Be enthusiastic and open to change



Any final questions?



Final thoughts

Remember that change is inevitable, regardless of first impressions….

– “Who the hell wants to hear actors talk?”— Harry M. Warner, Warner Brother Pictures, c. 1927.

– “Sensible and responsible women do not want to vote.”— Grover Cleveland, 1905.

– “Everything that can be invented has been invented.”— Charles H. Duell, Director of U.S. Patent Office, 1899.

– “Heavier than air flying machines are impossible.”— Lord Kelvin, President, Royal Society, c. 1895.

– “There is no likelihood man can ever tap the power of the atom.”— Robert Millikan, Nobel Prize in Physics, 1923.

financial information system replacement project page 0 | 28-oct-08 | general financial information...

Documents

general project scope

fis replacement slide

project lifecycle

budget fis replacement

new financial system

fis replacement warren

project scope efforts

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