Optimize your PeopleSoft 9.2 Investment with a Competency Center

Prepared by:

Name Mike Castronovo

Title: President

Company: AMCP

What is a Competency Center

Transformative Features of PeopleSoft 9.2 / People Tools 8.5x and their

impacts on your Competencies

Positioning and Starting a Competency Center

Session ID#:2015PSFT-100750

mikeca@amcpeoplesoft.com

• Silence Audible Devices• Note Fire Exits• Partake of Refreshments• Note Quest Staffers (green shirts)• Complete Feedback Form• Ask Questions

Welcome and Please:

Administrative Notes

Optimize your Investment in PeopleSoft 9.2 with a Competency Center

• Large organizations are usually sub-divided into functional areas such as finance, SCM, and

human resources, etc. These functional groups have separate operations and are vertically

integrated and are therefore sometimes referred to as "silos".

• A Competency Center is the point of focus for the organizational integration of PeopleSoft

into the operations of your business. It is a cross functional group of resources that are

centrally coordinated to help separate functional areas to work together. It has 3 main

functions, Knowledge Management/Training, Business Processes Management, and

Strategic Planning and Change Management

• This presentation includes the impact of PeopleSoft 9.2 / People Tools 8.5x to your

organization, and how to benefit from the many transformative changes in the new platform

release using a competency center, instead of being overrun by them.

Topic Overview

Managing Change

Organizational Silos

Increased Software Complexity

Changing Customer Expectations

Business Needs to Change Rapidly

Enterprise Performance

Management

IT ROI

Common Organizational Challenges

Lack of documentation

Lack of controls

Poor data quality

No training

Changing cost models

It’s the soft stuff that’s hard

a competency center operates in three dimensions:

1. Knowledge Management - The Capture and Transmission of

Institutional Knowledge and Competency Based Training – (People)

2. Business Process Management – Business Process

Definition/Optimization, Master Data Management, Key Performance

Metrics, and Control points (Process)

3. Strategic Planning and Change Management – Strategic Planning,

Change Management, Stakeholder Alignment, Communications, Risk

Management – (Purpose)

Competency CentersA Competency Center is the point of focus for the organizational integration of PeopleSoft into the operations of your business. Competency Centers are custom designed to meet your needs.

2.1.1 Capture and Transmission of Institutional Knowledge

Structured Based Knowledge

▪ Polices

▪ Procedures

▪ Processes

▪ Business rules

▪ Lessons Learned

▪ Domain / Institutional Knowledge

▪ Terms

▪ Various Documents such as specs, etc..

2.1.2 Competency Based Training and Knowledge Transfer

■ Define what competencies are needed for each job or role

■ Identify competency gaps in your organization

■ Develop a plan to resolve gaps

■ Execute and Repeat

Competencies are the skills, processes, and procedures that a person needs to do their jobs.

2.2 Business Process Management

■ Gartner says -"BPM is a management practice that provides for governance of a

business's process environment toward the goal of improving agility and

operational performance. BPM is a structured approach employing methods,

policies, metrics, management practices, and software tools to manage and

continuously optimize an organization's activities and processes."

Which Means

■ From People Driven to Process driven activities

■ The goal is to change the business from using a localized, departmental

approach to that of managing the business processes. Repeatable, predictable

outcomes

■ In Short - each stakeholder has their own process steps that

intersect with other stakeholders.

Business Process Management

Rummler & Brache (1995)[7] use a definition that clearly encompasses a focus

on the organization’s external customers, when stating that

”a business process is a series of steps designed to produce a product or

service. Most processes (...) are cross-functional, spanning the ‘white space’

between the boxes on the organization chart. Some processes result in a

product or service that is received by an organization's external customer.

We call these primary processes. Other processes produce products that are

invisible to the external customer but essential to the effective management of

the business. We call these support processes.”

■ What is a Business Process?

Business Process Management

■ Record-to-Report, Procure-to-Pay

■ Revenue Management, Grant Management

■ Asset Lifecycle Management, Project

Management,

■ Hire to Retire, time to Paycheck

■ Recruiting-to-On-Boarding

■ Talent Management

■ Order-to-Cash

■ Compliance/Security Monitoring

■ Data Management

■ Production Support

Sample Business Process Streams

A business process stream is a series of related business process steps that contain both customer and administrative processes

Risk and Control / Compliance Processes

■ Requires a framework covering the areas of business process controls,

application security, program interface, conversion, technology infrastructures,

and project management.

COBIT1 Framework - is often a combination of centralized accounting controls

and decentralized operational controls.

Sarbanes Oxley - conflicts of interest

In the e-enabled ERP environment, control solutions for risk associated with e-

business must be developed. The traditional control framework must be extended

to include identity management, content quality, privacy, collaborative commerce, and integrity

Business Process Management

The Financials Audit Framework (audit logging) provides efficient tracking of transaction processing that results in enhanced visibility and detailed audit trails. The framework is a centralized structure that allows you to identify the statuses of transactions to be tracked, including online views to search the audit log results by source, transaction and user. You can also archive and purge the audit logs.

■ Identify / Map / Design Business Processes and Chain of Custody

■ Determine Upstream / Downstream impacts and Master Data

Element Governance

■ Review Industry Benchmarks

■ Develop Key Performance Indictors / Control points

■ Develop Roles and Responsibilities

■ Determine Issue Resolution Methods, (Root Cause Analysis / Fix

data at source)

Business Process Management

Some Steps to Define your Business Processes / Governance

3. Strategic Planning and Change Management Stakeholder Alignment, Communications, and Risk management

▪ Define Stakeholder and Customer Segmentation – do

you know your customers, and what they need?

▪ Review Organizational Structure – broke structure means

broke people

▪ Identify and Develop Strategy for High Risk

Communication Areas – we don’t talk to them

▪ Develop User Groups - representation of the people

▪ Create Risk Dashboards / Interoperability Reports,

Scorecards/KPI’s – the goal is communicating the risks

and expectations and results

AMCP Strategies for Sustainability

PeopleSoft sustainability is more than just having PeopleSoft expertise.

It is a ongoing relationship with you and your customers and stakeholders to ensure that the PeopleSoft technology and related ecosystems is applied and managed in a manor that meets your needs for both today and tomorrow, integrating seamlessly into your business operations.

5. Sustainability

■ Alignment Diagnostics

■ Life Cycle Analysis / Portfolio

Analysis – (Future Proofing)

■ Strategic Planning and Roadmap

Development

■ Best Practice Reviews

■ Audit and Health Checks

■ Does our software match our

business processes and

requirements

■ Are we making the right

investments and are they

aligned with our strategy

■ Has our system become out

of alignment. are we still

meeting our customer needs

■ Where can we optimize

■ Are we in compliance

■ Can we change as needed

■ Do we have the right people

with the right skills

The ability to meet the ever-changing needs and

requirements of your customers and stakeholders

Sustainable Solutions

Points of Alignment

Purpose – Purpose, Policy Objectives / ROI – Does what your

systems currently have match what you need.

People – What People with what body of competencies (Skills,

knowledge, and experience) do I need to make this happen. Do

we have the skills we need

Process - What processes do I need them to execute, and how

can I measure and monitor them. - How can we optimize ROI

throughout the whole lifecycle

When these points are not aligned the result can be a catastrophic system failure resulting in very high cost asset remediation, when they are aligned, sustainability is the outcome and much lower overall lifecycle cost for the PeopleSoft ecosystem.

CheckpointsBefore a Major Upgrade or New Installation, or major system enhancement or reengineering effortAfter a Major Upgrade or New Installation, or major system enhancement or reengineering effortWhen looking to get more out of your PeopleSoft System, whether a better ROI, increase customer satisfaction, or to enable the support team to be more productive

If issues are not addressed before a major upgrade, it is likely that the upgrade will reinforce the issues rather than

resolve them.

Lifecycle Planning – Sustainability

Lifecycle Analysis

Lessons Learned

Future Planning / ROI

Waste Removal /

Performance

Build / Implement

Strategic Planning Programs

and Budgets

Analysis

Resourcing/ Finance

Operations / Maintenance

CompetenceCompliance

Agility

Future Proofing Future proofing is not just about prolonging an asset’s effective life: it implies an ongoing audit of the nature and function of the asset as measured against the Triple Bottom Line as being the best means of keeping pace with customer expectations, and even unmet needs. Future proofing sets outs a plan for sustained investment that guarantees the high performance level of the asset, even as expectations of what asset performance actually means change.

2. Impact of PeopleSoft 9.2 / People Tools 8.5x

■ Transformative Features

▪ Selective Adaptation

– No longer jump from release to release, its no longer about

upgrading to upgrade…/ compliance – customers expect changes

sooner and with less pain

• PT 8.54x - Cloud Enabled ( such as multi-tenant, SAAS,

etc..).

▪ New Business Process and Governance Tools (work

center, activity guide etc…)

▪ 1500 new features, and growing – Remove Customizations

▪ All means ….New Competencies needed – (bp, procedure,

and person)

Selective Adaptation – Support for an Agile Business Model

Things to Consider

▪ Cost

▪ Customer Satisfaction

▪ Competencies (Polices,

Procedures, People)

▪ Social Returns

▪ Environmental Returns

PT 8.54 - Cloud Enabled – (Sass, Pass, Iass)

Cloud Hybrid Onsite

http://www.interoute.com/what-paas

SaaS applications are designed for end-users,

delivered over the web

PaaS is the set of tools and services designed to

make coding and deploying those applications

quick and efficient

IaaS is the hardware and software that powers it

all – servers, storage, networks, operating systems

■ Work Centers

■ Activity Guides

■ eForms

■ Batch Process Scheduler (Process weaver)

■ Workflow

New People Tools features for Business Process and Governance

■ Testing

■ Data Migration

■ Security

■ PUM

■ Reporting

Value or Complexity? It’s both

■ Systems tend to go out of alignment over time. So if it has been 3-5+ years since you have upgraded…

■ Review Current Pain Points/ Issues - if not addressed or identified, they can prevent needed change from happening. We may derail an upgrade.

■ To be able to change your PeopleSoft system quicker / faster, and get value sooner, requires the proper alignment of people, purpose, processes.

■ So your ability and agility to change is based on how well these are aligned.

Review Impact of 9.2 on your Current State

In Summary - New / More Competencies are Needed

Sample Skills Needed

■ Software is more complex – 100,000 + tables, 1500 new features

in 9.2 – More PeopleSoft Skills needed

■ A technical upgrade is considered more of a lift and replace. Look

under the hood, see what is really needed - Diagnostic skills,

Process, procedure, technical, documentation skills, etc..

■ More training and testing, more often – More training and testing

skills

■ More change – More change management skills

■ New processes to manage change – More Planning, cross

functional skills, policy and procedure skills

3. Competency Center –Steps to frame your startup

■ Define the competency center, create initial Benefits and value proposition and

charter, review/analyze the lifecycle costs/ ROI measurements … basically the

plan

■ Define high level future state model

■ ROI Evaluation – The Value Swing – Asset Reengineering (Pain to gain)

■ Conduct initial diagnostics / current state assessment

■ Create plan

■ Define staff and structure

■ Determine competency center and PeopleSoft related competencies needed

■ Create reporting tools

■ Create stepwise transition plan

1. Align future procedures and competencies to the revised financial policies

and procedures

A. Define and implement key performance indicators

B. Reviewing and implementing options for "future-proofing" the ERP

System

2. Enhanced capacity to meet organizational and operational challenges

Increased operational efficiency and cost saving

3. Enhanced communications, transparency and accountability to customers

and stakeholders

4. Trend analysis and risk management

5. Provides cross functional management on vertical silos.

6. Anticipating and meeting policy objectives, such as sustainability, resource

conservation and enhanced capacity to recover value from waste streams.

Sample Benefits

Sample Value Proposition

■ The short-term benefit of addressing this issue through a

Competency Center is that it effectively eliminates the risk

that the new PeopleSoft system will reinforce rather than

eliminate the current organizational obstacles. Process

transparency through documentation Communication using

processes

■ The current state of individual, island-system “ownership”

will be converted into a collective, enterprise resource.

■ The medium-term benefits include the capture of vital

individual expertise and tacit knowledge and its

transformation into knowledge and competency of benefit

organization-wide. This will significantly reduce the future

risk of that knowledge “walking out the door”.

■ FROM People DRIVEN to PROCESS DRIVEN

Business Leads

Evalue ROI Opportunities

Ktransfer –Training-

Competencies

Waste Value

The VALUE swing

Business Process / Data Governance/

Reporting

Investment Cycle

Technology /New features

Stakeholder Alignment (CRM)

Maximize the PeopleSoft ROI

It’s the soft stuff that’s hard

Benefits of the Competency Center

Competency Center – Start Up

People Driven Process DrivenEnterprise Change Management

Organizational Integration

SystemsIntegration

Competency Center

Cross Functional

Management

Individual / Unit Expertise

Module Design &Implementation

Best Practices

Policies & Procedures

Business Track

Systems Track

Sample Startup Plan

■ Moving to 9.2 – More Value, More Complexity… with an AMCP competency center, you can realize success by address all stakeholder needs.

■ With or without tight budgets, the biggest return is investing in the soft stuff, …

■ It requires more than just PeopleSoft expertise to get the best ROI for your organization

■ Change is now happening faster, and in ways that may repurpose them. Thus, the ability to change is becoming a core competency.

Sustainable ROI – Key Takeaways

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