Financial Systems Needs Assessment Administrator Briefing Spring Quarter 2009

Project Schedule Change Schedule extended through December 31, 2009 – Contributing factors: Budget cuts: staffing impact to support work group sessions Biennium close Technical Lead position hiring delayed and reduced to 50% due to budget cuts Business process collection taking longer than planned Spring Quarter 2009 Administrator Briefing2 Project Schedule

Spring Quarter 2009 Administrator Briefing3 11/0812/0801/0902/0903/0904/0905/0906/0907/0908/0909/09 Biennium Close All Campus Activities Draft Project Charter GL/COA Focus Groups As Is Bus. Process Collection Biennium Close Central Admin Activities Project Activity Project Deliverable Project Dependency Key Today Phase 1 Needs Assessment Schedule as of 4/15/09 Tech Reqs Validation Tech. Reqs Workgroups Business Requirements Validation Accounting Advisory Team Review Project Deliverables Development As-Is Business Process Documentation Business & System Requirements Business Process Redesign Framework As Is Bus. Process Validation Bus. Requirements Workgroups Phase 2 Scope Recommendations Project Schedule Project Charter Brainstorming 10/0912/0911/09

4 System Replacement Life Cycle Phase 1 Needs Assessment Phase 2 Gap/ Alternatives Analysis Phase 3 Implementation Planning Phase 4 Design & Development Phase 5 Final Preparation Phase 6 Post Implementation Support Communication Business Process Redesign & Change Management Spring Quarter 2009 Administrator Briefing Winter 2009 Go-Live 20?? Funded Timing and funding to be determined at later date Major Investment Funded Life Cycle

General Ledger/Chart of Accounts Focus Groups Conducted 25 focus group sessions across campus between January and April 2009 – Focus of sessions: find out what is/is not working with our current chart of accounts (COA) – 140 participants from central accounting offices, central services, Bothell and Tacoma campuses, academic units and auxiliary units – Over 925 comments collected – Report currently in development which summarizes findings and recommends next steps Will be published on FSNA website after approved by the Steering Committee Website: Spring Quarter 2009 Administrator Briefing5 GL/COA Focus Groups

Focus Group Questions What works and does not work with the current chart of accounts? How would you organize your business if you were not restricted to the current organization code structure and use? What is needed in the COA to meet your department needs? What does a “flexible chart of accounts” mean to you? What laws/policies (e.g., IRS) exist that drive our chart of accounts? What are the most critical things to consider in defining a new GL/COA? Spring Quarter 2009 Administrator Briefing6 GL/COA Focus Groups

Key Findings 1.Limited reporting capabilities 2.Inefficiencies A.Shadow systems, duplicate entry, reconciliations B.Inconsistent use of COA elements 3.Lack of standards: data definition & reporting / processes & system usage 4.Improper, unclear and inconsistent classification of activity. Data Stewardship critical to future success. 5.Lack of financial activity coding/classification granularity Spring Quarter 2009 Administrator Briefing7 GL/COA Focus Groups

Key Findings (continued) 6.System reporting period creates challenges 7.Lack of business rules increases error correction, monitoring, and other non-value-added activities 8.Financial activity transparency issues: 1) relationship of financial organization to authorization; and 2) automatic processing and posting behind the scenes 9.Automatic processing and posting (explosion process) benefits Spring Quarter 2009 Administrator Briefing8 GL/COA Focus Groups

As-Is Business Process Collection and Validation Documenting and validating 52 core financial processes around campus – Receiving input from central accounting, central services, academic units, and auxiliary/self sustaining units Over 80% of core processes are documented and validated – Also documenting financial processes for units with unique systems and/or processes (example: Housing & Food Services) Will validate during requirements work group sessions and with campus Documentation will be made available on FSNA website 9 As-Is Business Process Collection Spring Quarter 2009 Administrator Briefing

Functional Areas Fixed Assets General Finance Project Accounting Accounts Payable Purchasing & Vendor Management Accounts Receivable Budgeting Grants Management (post award) Cost Accounting (cost share & indirect costs) Service Centers (recharge) 10 Requirements Gathering Spring Quarter 2009 Administrator Briefing

Requirements Work Groups Conducted Fixed Assets pilot work group on April 27 th, 29 th, and 30 th – Reviewed, modified, and validated over 180 business and system requirements for fixed assets – Broad representation from campus (16 participants) – Preliminary feedback from attendees on the work group process is very positive “Retreat” approach enhanced level of commitment and was an efficient use of time Great open discussions – participants learned from each other As-is process flow diagrams set context for requirements discussion Requirements were broken down into logical groupings Participants indicated they will do PR for the project 11 Requirements Gathering Spring Quarter 2009 Administrator Briefing

Requirements Work Groups Nine (9) Work Groups to be scheduled – Sessions to be conducted over multiple days – Working with Core Team to identify participants for each functional area – Goal is to notify participants at least a month in advance of the start of the session – Scheduling will take into consideration biennium close activities, impact of budget cuts, summer vacations, etc. – Goal is to complete all work group sessions no later than September Requirements Gathering Spring Quarter 2009 Administrator Briefing

13Winter Quarter 2009 Administrator Briefing