1. Presentation by: Bruce Manion FCMA Vancouver Chapter June 20th, 2012
The Brave New World of Shared Systems and Shared Services
Presentation by: Bruce Manion FCMA Vancouver Chapter June 20th, 2012
Canada School of Public Service

2. OUTLINE Some Definitions A Wide Range of Approaches
Why Are We Doing This?
Where We’ve Been and Where We Are Now
Where Others Have Gone Before
Key Considerations
Future Perspectives – What’s on the Horizon?
Wrap-Up

3. DISCLAIMER

4. SOME DEFINITIONS SHARED SERVICES / SYSTEMS ARE:
Any activity or set of activities, or their supporting systems, that are performed or maintained on behalf of numerous and distinct corporate entities
Not restricted to corporate (internal) services – can also be program or external service delivery activities
Cover a very wide range of activities, operations and systems (Fin, IT, HR, Admin, Info Mgt, Materiel/Asset Mgt, Procurement, Security, Planning, Reporting, Program Delivery, G&C’s, etc.)
THEY ARE NOT THE CENTRALIZED SERVICES AND SYSTEMS WITHIN A SINGLE ORGANIZATION

5. A WIDE RANGE OF APPROACHES
‘BIG BANG’
BY DECREE
QUIET EVOLUTION (ORGANIC)
RIGHT TIME TO CHANGE
SYSTEMS FIRST
BPR FIRST
OUTSOURCING
- Solicited / Unsolicited

6. Evolution of Federal Resources
WHY ARE WE DOING THIS?
Evolution of Federal Resources
($ billions)
Budgetary
Revenues
242.4
233.1
218.6
235.6
249.1
264.4
281.2
298.6
309.2
Total Expenses
232.8
238.8
274.2
271.7
281.4
283.8
290.7
297.1
305.0
Surplus / (Deficit)
9.6
(5.8)
(55.6)
(36.2)
(32.2)
(19.4)
(9.4)
(0.3)
4.2
Other Income
0.2
2.2
Federal Debt
457.6
463.7
519.1
553.1
585.4
604.8
614.2
614.5
610.3
Source: Federal Budgets – Fiscal Framework

7. WHY ARE WE DOING THIS?
Cost Avoidance
Reduced Complexity and Risk
Ease of Operation / Maintenance
Enterprise-Wide View
Data Integrity
Facilitate Training and Development
Political / Commercial Pressures

8. WHERE WE’VE BEEN AND WHERE WE ARE NOW
Not New in the Federal Govt
A rich history in centralized services
Common Endorsed System Clusters and Central Service Organizations (Early-to-mid 90’s)
Corporate and Administrative Shared Services (2004)
Central Policy Changes ( )
Admin Services Review (Budget 2010)
Shared Services Canada (Aug 2011)

9. WHERE OTHERS HAVE GONE BEFORE
Govt of Nova Scotia SAP shared system (1997)
State of Western Australia ( )
Govt of Ontario – Ontario Shared Services (2004) and E-Ontario (2005)
State of Massachusetts (2009)
Service Canada, Service Ontario, etc.

10. No 2 designs or approaches the same Not just about technology
KEY CONSIDERATIONS
No 2 designs or approaches the same
Not just about technology
What about accountability?
Service, service, service
The tyranny of numbers
People issues are huge
Canada School of Public Service

11. Future Perspectives What’s on the Horizon?
Common Financial Management Business Processes (FM-BP)
Common Enterprise Data Initiative (CEDI)
Common Financial Management System Configuration Initiative (FM-SC)
Continued Evolution of Shared Service/ Systems Organizations
Cross-jurisdictional sharing?
Impact of new technologies – Life in the Cloud
Canada School of Public Service

12. Future Perspectives What’s on the Horizon?
Common Fin Mgt Business Processes (FM-BP)
Goal: To develop an integrated framework of
‘should be’ common processes that
standardize and modernize the delivery of
financial management.
Deliverables: 20 TBS Guidelines for GC depts.
Canada School of Public Service

13. Future Perspectives What’s on the Horizon?
Common Enterprise Data Initiative (CEDI)
Goal: To establish a common financial language, provide governance and standards for financial information and data, and facilitate the delivery of policy instruments and repositories necessary to enable greater interoperability among stakeholders.
Deliverables: 6 TBS Standards & several TBS Guidelines
Canada School of Public Service

14. Future Perspectives What’s on the Horizon? CEDI
Canada School of Public Service

15. Future Perspectives What’s on the Horizon?
Common Fin Mgt System Configuration (FM-SC)
Goal: To identify a set of common financial management system configuration requirements for the Canadian federal government within the context of its legislative and policy framework, intended to apply all depts and agencies
Deliverables:
TBS Guidelines providing Standardized DFMS configuration requirements which are:
System-independent, modular, interoperable
Common to all departments and agencies
Canada School of Public Service

16. Future Perspectives What’s on the Horizon?
Canada School of Public Service

17. System/Service Transformation
Future Perspectives
What’s on the Horizon?
System/Service Transformation
5 DFMS
30 – 40 configurations
Over 100 departmental charts of accounts
Differing services and standards
NOW
1 DFMS used at a variety of service points
1 standard configuration
1 departmental chart of accounts
Common services and standards
3-4 YEARS OUT
Canada School of Public Service

18. No two organizational environments are truly alike
WRAP-UP
A very complex issue
No two organizational environments are truly alike
Continued fiscal pressure - continued pressure to share
No one right way to do this
Mother was right …
sharing your toys is the right thing to do!
Canada School of Public Service

19. QUESTIONS?
Canada School of Public Service