Annual Survey of Defense Financial Management Executives Presented to the ASMC Buckeye Chapter Phara G. Rodrigue ASMC Certification Director 30 March 2017

Agenda Annual Survey Overview ASMC Overview and Update Membership Overview CDFM Program Update ASMC 2017 PDI and 2016 Virtual PDI

ASMC 2016 Survey

Survey History Historical context and trends assessments Trends included: People and Talent Management Fiscal Constraint and Budget Uncertainty Audits and Sustainability Information Technology Modernization

Survey History

ASMC 2016 Survey 14th year of gauging opinions of trends, challenges and prospects in financial management. The Defense financial management community includes individuals from the Office of the Secretary of Defense, the five armed services, combatant commands, Department of Defense (DoD) agencies, and field operations.

2016 Survey Importance 2016 Survey is Key New Administration Transition from audit readiness to actual audit of the SBA Moving into Full Financial Statement Audits Financial Managers in the spotlight Because of these unique circumstances, there was a second approach used. The final survey report reflects the combined responses.

Where do you spend your Time?

People & Talent Management Retirements Filling Positions Training/DoD FM Certification Program 44% Yes 30% No 25% Undecided

Fiscal Constraints and Budget Instability Fiscal Uncertainty: the impact of things like government shutdowns and unknown budget numbers. Instability in budget process cycle Budget process not responsive CRs have become the norm No focus on longer, multi-year efforts; Robbing Peter to pay Paul

Audits and Sustainability Audit prep distracts from budget prep and the primary mission of the financial community: ensuring men and women in the field are adequately resources. Satisfied with quality of training in prep for SBR audits? 54% Satisfied, 46% More to be done Command-level responded they received limited or no training “Audit made my organization better because . . . “ “Better internal controls, reduction in legacy IT systems” “Better business processes and efficiencies” “Individuals and becoming and feeling more accountable . . . Leaders are coming to the table and listening . . .”

Lessons learned from past IT implementations IT Modernization “What impact did implementation of ERPs in your respective Components have on workload?” 20% said ERPs helped reduce workload 15% said they actually increased it 20% said there was no change 44% said they did not know Lessons learned from past IT implementations “A lot of trial and error; timelines always slipped” “We needed to rely on legacy systems in order to use classified data” “There was not enough training as we transitioned to the new system” “Standardizing business processes before transitioning is key”

Lessons Learned Rely on Financial Management Workforce. Human Capital issues will be your number on challenge. Focus on Finishing IT Modernization. Simplify the Budget Process. Show Early Support for Auditability.

Serves DoD and US Coast Guard FMers ASMC Non-profit founded 1948 Serves DoD and US Coast Guard FMers 17,400 members 120 chapters 60 corporate members

ASMC Offers AFC Chapter-level PD Regional & National PDIs Virtual PDI National Awards Program Scholarship Program

About the Buckeye Chapter How many Chapter members? Total = 302 JUN 2016 JUL 2016 AUG 2016 SEP 2016 OCT 2016 NOV 2016 DEC 2016 JAN 2017 FEB 2017 DIFF JUN-FEB % DIFF 293 295 289 297 286 298 294 302 9 3.1%

More About the Buckeye Chapter How many Chapter members have obtained their CDFM ? Total = 85 CDFMs have obtained their CDFM-A? Total = 11 CDFM-As

Active CDFMs (1 Mar 2017) 7,357 CDFMs (1,777 CDFM-A’s) # of CDFM’s % of CDFM’s Army 2,192 30% Air Force 1,783 24% Navy 889 12% Private Sector 425 8% DFAS 348 5% USMC 228 3% USCG 115 2%

What is the CDFM? Certified Defense Financial Manager Professional, test-based certification awarded by ASMC

CDFM with Acquisition Specialty What is the CDFM-A? CDFM with Acquisition Specialty CDFM + pass Mod 4 Exam

CDFM / DFMCP CDFM DFMCP ASMC DoD Test-based Training-based Voluntary Mandatory

DoD Recognized Test-Based Certifications Accredited Business Accountant (ABA) Accredited in Business Valuation (ABV) Certified Accounts Payable Professional (CAPP) Certified Business Manager (CBM) Certified Cost Consultant (CCC) Certified Cost Estimator/Analyst (CCE/A) Certified Defense Financial Manager (CDFM) Certified Forensic Accountant (Cr.FA) Certified Fraud Examiner (CFE) Certified Government Audit Professional (CGAP) Certified Government Financial Manager (CGFM) Certified in Financial Forensics (CFF) Certified Information Systems Auditor (CISA) Certified Internal Auditor (CIA) Certified Management Accountant (CMA) Certified Payroll Professional (CPP) Certified Public Accountant (CPA) Certified Quality Auditor (CQA) Certified Treasury Professional (CTP) Forensic Certified Public Accountant (FCPA)

test-based certification How is the CDFM unique? Only professional test-based certification for DoD FMers

Exam Update Job Task Analysis Blueprint Update Item Writing Item Review Pilot Testing  Cut Scores New Exams

Competency Areas Government Resource Mgmt Environment Business Mgmt Process Improvement Manpower Mgmt Finance Personnel Mgmt Accounting Mgmt’s Responsibility for Internal Control Auditing Fiscal Law (Mods 1-3) Defense Budget Process Cost and Economic Analysis

Updated Blueprint Government Resource Mgmt Environment Strategic Planning & Org Performance Mgmt Business Mgmt Process Improvement Manpower Mgmt Personnel Mgmt Finance Enterprise Risk Mgmt & Internal Controls Mgmt’s Responsibility for Internal Control Accounting Auditing (expanded) Fiscal Law (Mods 1-3) Defense Budget Process Cost and Economic Analysis

Certification Process Pledge Prepare Enroll Purchase / Schedule Take / Pass Submit Experience Form

Cost Comparison Certified Defense Financial Manager (CDFM) Enrollment fee @ $40/$75 (ASMC member/non-member) Enrollment extension @ $75/$85 3 exams @ $99 each Certified Public Accountant (CPA) Application fee ranges from $50-$150 (established by Board of Accountancy) 4 exams @ average $200 each (fee depends on section of exam and jurisdiction) Additional fee required for CPA license (issued at jurisdiction level) Certified Government Financial Manager (CGFM) Application fee @ $85 3 exams @ $109 each Certified Public Finance Officer (CPFO) 5 exams @ $295 for first exam and $145 each for remaining four

Exam Preparation www.asmconline.org Candidate Handbook EDFMTC Module Refreshers Pre-PDI Courses Study Groups Self-Study

EDFMTC Centrally Funded A.C.E. CREDIT DFMCP Credits CL1 8 hrs, CL2 32 hrs for direct 40 CET for recertification

Certification Level 1 Total Certification Level 2 Total Enhanced Defense Financial Management Training Course FM MyLearn Course Description: FMF2512 Course Length: 40 hours Aligned FM Competencies Certification Level Proficiency Level Aligned Hours Accounting Concepts, Policies and Principles 2 3 6 Audit Concepts, Policies and Principles Budget Concepts, Policies and Principles 8 Budget Execution 5 Budget Formulation, Justification and Presentation 4 Decision Support 1 Financial Concepts, Policies and Principles Financial Management Analysis Fundamentals and Operations of Budget Certification Level 1 Total Certification Level 2 Total 8 Hours 32 Hours 35

PDI 2017 Catching the Wave: Audit Ready May 31 – June 2, 2017

ASMC PDI 2017 (May 31-June 2, 2017) TRAINING & PROFESSIONAL DEVELOPMENT!!! Host Chapter San Diego Pre-PDI CDFM Training and CDFM Testing Training Content: 6 General Sessions Service Day (OSD, Army, Air Force, USCG) Mini-courses & Workshops 2014 = 17 Mini-courses and 43 Workshops 2015 = 19 Mini-courses and 58 Workshops 2016 = 17 Mini-courses and 65 Workshops 2017 = 17 Mini-courses and 87 Workshops Up to 21 CPEs/CETs ASMC National Awards Program Includes Access to Virtual PDI 2017

Virtual PDI 2016 17 Mini-Courses & 75 Workshops 100 CPEs Individuals: $99 (Less than $1/CPE) Chapters: $249 CPE management tool

We’re Here to Help Keep you informed Provide networking opportunities Provide professional development Provide leadership opportunities Provide member benefits Provide promotional materials 39

Contact the Certification Department Contact Us Contact the Certification Department Judson Lineberger, Test Coordinator L.J. Morris, Asst. Dir. of Certification Phara Rodrigue, Dir. of Certification certification@asmconline.org

Questions?