1. Washington State Roadmap Program– Roadmap for Next Biennium Information Processing Managers Association Chelan, Washington October 14, 2008

2. 2 What is the Roadmap? Where we’ve been and what’s happening now? What we know today. Agenda

3. 3 What is the Roadmap Program? Solves today’s common business problems Takes an enterprise approach Transforms policies, processes, systems and data Increases citizen’s visibility into the day-to-day workings of their government Sets the future direction for state finance and administration

4. 4 Enterprise Journey 2002 Personnel Service Reform Act 2003 HR Feasibility Study 2004 Roadmap Project begins 2007 Roadmap Program Office Established Feb. 2007 Core Financials Feasibility Study Complete 2002-03 Enterprise Strategies Committee 2003 HRMS Begins 1999 Information Architecture Blueprint 2003-04 HR and Financial Benchmarking studies 2008 Positioning Activities Well Underway

5. 5 Where we’ve been and what’s happening now Milestone 1 –Project and scope –Common business problems & opportunities –High-level business case Milestone 2 –Solutions Framework –Agency urgent business needs strategy Milestone 3 –Business process modeling –Integration architecture strategy Milestone 4 –Feasibility study Milestone 5 –Positioning Activities April 2004 – to date

6. Milestone 1 Scope 6

7. 7 Milestone 2 Urgent Business Needs Systems approval process evaluation criteria: Use an existing central system Be flexible in meeting your agency needs Modify a central system Extend a central system Partner to create new, shared solution

8. 8 Milestone 3 Business Process Modeling Objectives: Reach concurrence on future business processes and data Establish value proposition and measures Identify business policy issues and recommendations Approach: “As-is” models to understand what we do today and why “Could-be” models based on industry best practices and lessons learned from other states –Identify where core business processes can be common and where they must be unique Value proposition Bold ideas for change

9. 9 Milestone 4 Core Financials Feasibility Study–Results Identified two viable options –Leverage the state’s existing suite of financial systems and –Leverage the state’s current investment in SAP Recognized certain things must be done before moving to a core financial system –Identified twelve Positioning Activities to prepare the state for the future –Positioning Activities will benefit the state, regardless of next steps February 12, 2007 OFM Accounting Division Roadmap Feasibility Study

10. Where We are Today Positioning Activities –3 are Complete –7 are Ongoing –2 are Pending

11. 11 Positioning Activities 1 Upgrade the Human Resource Management System (on-going) 2 Further define the enterprise and state direction (on-going) 3 Review the Roadmap governance structure (complete) 4 Complete a chart of accounts review and common data definition analysis (complete) 5 Review state procurement rules, policies and procedures (on-going) 6 Continue providing leadership and necessary project oversight (on-going) 7 Move agencies toward established standards and approaches (on-going) 8 Examine and document existing interface/integration processes or issues (complete) 9 Implement a strong Change Management Program (pending) 10 Incorporate lessons learned from other states and the HRMS (on-going) 11 Establish an Enterprise Program Office (on-going) 12 Develop detailed requirements (pending)

12. 12 Positioning Activities– Complete 3 Review the Roadmap governance structure 4 Complete chart of accounts review and common data definition analysis 8 Examine and document existing interface/integration processes or issues

13. 13 Positioning Activity #3 Steering Committee Members Linda Bremer, GA Denise Doty, DOC Bill Ford, WSDOT Marcus Glasper, DOR Pat Kohler, LCB Stan Marshburn, DSHS Viji Murali, WSU Eva Santos, DOP Bill Wegeleben, GOV Executive Sponsors Gary Robinson, DIS Wolfgang Opitz, OFM Roadmap Advisory Group members CFOs and CIO representatives from 38 agencies, including higher education

14. 14 Positioning Activity #4 Identified and documented the value of 23 unmet enterprise information needs. The state needs to standardize business vocabulary to meet the increasing demand for more consistent enterprise data. The structure of the chart of accounts is not a barrier to obtaining chart-of- accounts related enterprise information. Therefore, changes to the structure of the chart of accounts are not necessary or recommended. Some unmet enterprise information needs can only be met through new enterprise systems. Other enterprise needs can be met by optimizing the existing chart of accounts. New tools and better standards are sufficient to meeting enterprise data needs; improved data integration is also a key to success. Data integration is made easier through increased business process and data standardization. The state needs multi-year work plan identifying all the project tasks, resources, dependencies, and timelines would help mitigate the impact to agencies and ensure success. Key findings and recommendations from the Enterprise Data Definition/Chart of Accounts Review

15. Positioning Activity #8 Central Accounting Systems Interface Inventory Better management of our interface inventory and a greater capacity to determine the impact of policy, data, business process and system changes on our users. Findings: Agencies use OFM financial data extensively ADDS use is deeper and wider than expected The chart of accounts is deeply embedded in agency systems The Financial ToolBox (FTBx) is considered mission critical by many agencies Most of the systems supported by OFM data are used only by state employees While our systems have been government-facing for decades, the situation is changing to one that is more outward- or citizen-facing http://www.ofm.wa.gov/roadmap/casii/CASII_final_report.pdf

16. 16 Positioning Activities– Ongoing 1 Upgrade the Human Resource Management System 2 Further define the enterprise and state direction 5 Review state procurement rules, policies and procedures 6 Continue providing leadership and necessary project oversight 7 Move agencies toward established standards and approaches 10 Incorporate lessons learned from other states and the HRMS 11 Establish an Enterprise Program Office

17. 17 Positioning Activities– Pending 9 Implement a strong Change Management Program 12 Develop detailed requirements

18. 18 Problem and/or opportunity In the past, Washington State has taken a decentralized governance approach. For example: –Many laws, policies, processes, systems and data support agency-unique missions and initiatives –Minimal enterprise requirements provide agencies with flexibility However, we are also exploring the benefits of an enterprise approach to achieve: –Better information, better decisions, better results –More efficient and effective government –Better customer and business relationships –Optimized return on investment What we know today

19. 19 What we know today OFM is required by law (RCW 43.88.160(1)) to provide a modern and complete accounting system for use by all agencies –Some tools the state uses to support decision makers are out-of-date, hard to maintain and fragmented. The public expects government to employ modern management practices and demonstrate and report on results The state has a duty to capture the information and data necessary to continue managing Washington efficiently and effectively.

20. 20 What we know today Comprehensive and sustainable data integration is necessary to take advantage of the state’s data and information Improved system integration requires state level data definition standards An effective governance structure is necessary to set clear and practical standards for data and common processes

21. 21 Future Milestones The Roadmap Steering Committee will: –Adopt an implementation plan for modernizing the core financial systems and a budget proposal The Roadmap Program will: –Conduct a project to determine how SAP can best accommodate existing and future SAP implementations in state government –Develop a state standard for SAP master data definitions –Develop a blueprint for sequencing the components of the core financial systems to be modernized whether they are SAP or non- SAP products The Office of Financial Management will: –Assist in the development of the ISB Enterprise Architecture Committee’s initiatives. –Propose data definitions for financial systems for which OFM is the owner of the system of record

22. 22 Contact information Roadmap website: http://www.ofm.wa.gov/roadmap/default.asp http://www.ofm.wa.gov/roadmap/default.asp Sadie Rodriguez-Hawkins Roadmap Program Director – Sadie.Hawkins@ofm.wa.gov Sadie.Hawkins@ofm.wa.gov – 360.664.7650 Kathy Rosmond Roadmap Program Coordinator – Kathy.Rosmond@ofm.wa.gov Kathy.Rosmond@ofm.wa.gov – 360.664.7771

23. 23 Questions?