HRMS Implementation Project

HRMS Project Update

May 26, 2004

Agenda Project Status Update

 Planning and Assessment Phase  Current Highlights  Agency Status  Challenges

Release Scope Overview

 Business Architecture  Self Service Pilot  Interfaces and Reports  Technical Architecture and Access  Conversion and Data Clean-up  Testing Approach

The Next 3 Months

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Project Status Update – Planning and Assessment Phase

Planning and Assessment Phase Successfully Completed On-time

 14 Conference Room Pilot sessions conducted  11 interface requirements sessions conducted  29 agencies participated  400+ State HR/payroll professionals attended 3 separate 1 day Conference Room Pilot Review sessions  350+ State HR/payroll professionals attended 1 of 6 Release 1 Scope Overview Sessions  Technical development environment established  Agency Deployment Strategy established providing 15 agency readiness staff and over 65 agency change agents

Results

 0 software modifications required  Confirmation that software can handle Civil Service and Collective Bargaining changes  Reduced number of reporting requirements from over 900 to 132  47 interfaces necessary to support Release 1 of HRMS implementation  115 conversion modules necessary to support Release 1 of HRMS implementation 3

Status Update Current Highlights



Release 1 configuration and test planning – on schedule

 ~15 FTEs working on configuration … – Payroll – wage types, tax data, garnishments, 3 rd party remittance, etc.

– Time management – work schedules, absence types, attendance types, etc.

– HR – enterprise structure, action types, organizational hierarchy, etc.

– Financial – chart of accounts structure  Another ~3-4 FTEs working on test planning and preparation 

Interface and data conversion – 2.5 weeks behind schedule

  ~20+ FTEs working on functional design (i.e. interface specs, mapping rules) Current resource plan forecasts that we’ll be caught up by mid-June 

Developing training plans and materials – on schedule

 3 on-site FTEs and off-site development center working on training logistics, materials and on-line help tools (Continued on next slide) 4

Status Update Current Highlights



Business Warehouse – on schedule

 10+ FTEs working on confirming Release 1 requirements analysis and design  Design of business warehouse extracts in-process 

Technical Architecture – on schedule

 10+ FTEs working on the production environment design and build-out 

Continuing agency outreach efforts – on schedule

 15+ FTEs providing one-on-one meetings with agencies, helping resolve agency issues, supporting workshops, etc.

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Status Update Agency Readiness Status

Scoring Weights and Sample questions from the April Readiness Assessment



Leadership (100% of overall score)

 Your Change Agent or representative has communicated key Washington Works project initiatives information to appropriate people in the agency? –

20%

 Your Change Agent attended the March Change Agent meeting and plans to attend the April CA meetings? –

20%

 Your Director and/or Deputy Director attended the April Washington Works meeting? –

20%

 Have you identified participants for the HRMS Scope Overview Presentation. –

40%

Agency Readiness Assessment Scores

Score Definition

+90% Done 75 – 90% Need follow-up <75% Requires Attention

Feb Mar Apr

31 77 73 3 4 4 2 3 7 6

Status Update – Challenges

Challenges We Are Now Focused On

 Closing the 2.5 week schedule variance  Providing ample turn-around time for agencies on interfaces and data clean-up  Providing access to historical data  Identifying the number of agency testers and trainers  Interfacing to DOP’s mainframe applications (DRS, HCA, etc.)  Ensuring adequate knowledge transfer  Planning a self service pilot that ‘tests the waters’ without increasing the project’s risk profile

Challenges on the Horizon

 Securing agency help on testing and training  Helping agencies identify the impact of Release 1 on internal reporting  Supporting agency data clean-up efforts  Impact of Release 1 functionality on forms, procedures and workflow  Getting a jump start on Release 2 without sacrificing the success of Release 1 deployment 7

Release 1 Business Architecture

Key Observations



Minimal Process Change

 Create a flexible foundation for change but retain the fundamentals of personnel and payroll processing  Increase data capture leading to more accurate data, more effective reporting and more training of end users  Working with Civil Service Reform team to begin set-up of the first batch of envisioned job classification changes 

Agency Collaboration

 We are building agency collaboration into the detailed design and configuration of the system   Our Agency Design Review Group will provide design review responsibilities during configuration While most of the Release 1 configuration is pulled from Pay/1, we have pulled agency specific data through surveys  System test will represent agencies’ main opportunity to understand/verify how SAP is

configured



Areas of Significant Agency Impact

  Time Management – some agencies may need to change their positive time reporting strategies Financial Reporting – depending on the SAP chart-of-accounts structure, some agencies’ financial reporting and reconciliation procedures might change 8

Business Architecture: What You Get in Release

1 Personnel Administration

 Each employee will get a single, unique Personnel Number that stays with them forever.  Employee information is entered, tracked, and updated in a series of screens (Infotypes) supporting personnel management (hiring, separation, promotions, etc.).

Payroll

 Includes all calculations needed to process payroll:  Identifies gross pay, gross to net, and deduction and benefit processing  Applies state/agency-specific rules to determine wages that can be garnished, pay subject to taxes, and wages subject to retirement deductions  Supports warrant printing and direct deposit processing, vendor payments, and the transfer of funds to the financial system for AFRS reporting  Supports all requirements for federal payroll reporting and will be configured to be compliant with applicable state statutes, etc. 1 st of 3 slides 9

Business Architecture: What You Get in Release 1

Time Management

 Processes time reporting the same as PAY1  Processes existing payroll and leave feeds  Supports the recording of time events and transfer to the payroll module  Allows hours to be loaded by activity or applied to a specific cost center  CATS online timesheet available as electronic timesheet

Benefits Administration

 Limited implementation to support benefit deduction interfaces  Integration of payroll deductions to State benefit agencies (Health Care Authority, Department of Retirement Systems)

Organizational Management

 This functionality was not available in PAY1.

 Provides a more flexible way to set-up reporting and information distribution structures within an organization to meet the needs of small or larger agencies.

2nd of 3 slides 10

Business Architecture: What You Get in Release 1

Compensation Administration

 Allows agencies to plan and administer compensation adjustments and defines pay scales and salary structures for jobs and positions  Allows HR staff to manage new and more innovative reward strategies, including performance and competency-based pay, variable pay plans, and long-term incentives  Allows for easy comparative analysis of compensation packages using internal and external data

Workforce Cost Planning

 Allows HR professionals to do all work-force cost-planning tasks online, instead of using manual processes as is done today  Provides HR executives with improved planning accuracy, access to a broad foundation of data, flexible decision support, and continuous monitoring of actual performance relative to plans 3rd of 3 slides 11

Self Service What to Expect in Releases 1-3



Release 1 – Start Small

   Limited pilot to introduce inquiry and limited transaction capabilities Controlled environment – designated, manageable user base Minimize disruption to participating agency workflow 

Release 2 – Scale Fast

 First major self service capabilities introduced with Release 2 (e.g. e-Recruitment) and integration with DOP’s eLearning solution    Roll-out of Release 1 employee self service capabilities statewide Introduction of Release 1 manager self service capabilities statewide Introduction of some limited automated workflow capabilities 

Release 3 – Finish Strong

  Additional self service capabilities introduced – improvements to CATS time sheet Expansion of Release 1 employee and manager self service capabilities 12

Self Service The Release 1 Pilot Objectives

 Determine ease of implementation  Identify any special requirements to implement and/or maintain  Understand training support required  Understand user acceptance/usage patterns  Identify opportunities to add value  What capabilities matter most to the end user  What does agency demand look like  Understand agency workflow implications  What does self service do to agency work flow  How does self service affect DOP’s service delivery

Timing 1 month after ‘Go Live’

 Allow participating agencies to become familiar with HRMS before self service goes live 1st of 2 slides 13

Self Service The Release 1 Pilot Scope - Employee Self Service Only

 View only recommendations  Leave Balances  Paycheck data (comparable to pay stub)  Possibly others  Update recommendations  Home Address  Work Phone

Who Will Participate

 Limited number of agencies that demonstrate  Strong desire to participate  Technical infrastructure in-place  History of using self service in other applications  Ability to provide the resources to help support roll-out and training  A controllable environment  8 agencies have expressed interest 2nd of 2 slides 14

Interfaces

Vendors Deductions In-bound Generic In-bound Time Feed Agency Internal Systems

Time Management

Benefits Enrollment

HRISD Legacy Systems

HRMS – Release 1

HR Administration Compensation Management Benefits

Agency Time/Leave Feed

Business Warehouse DRS & HCA $ $

AFRS & vendors $

Organization Management

Pre —defined Reports Ad-hoc Reports & Extracts $ $ Bank

Payroll Agency Management Reporting Systems

OST Generic Payroll Feed, Leave Feed Agency Internal Systems 15

Interfaces

Key Observations



Agency Turn-around Time

 Our goal – to get your teams the functional specifications by mid-June  Your IT deployment team members should begin design of internal system modifications before the end of June  Agencies need to be in a position to begin end-to-end interface system testing in late August/September 

Agency Collaboration

 We are building agency collaboration into the functional design   However, we will likely need to prioritize the agencies we need to engage for each interface We expect a volume of questions and concerns to come through the change agents 

Strategies You May Want to Consider

 # 1 – Insulate internal systems from the interface by mapping the new interface to the old file layout   #2 – Plug the new interface into your internal systems but focus only on the data you need #3 – Reassess how the new interface could enhance internal systems through new data capture 

Issues

 The impact of Group 1 and Group 2 on statewide interfaces   The role of the Pay/1, current data warehouse and FOCUS in supporting interfaces The ‘cross walk’ between new system and legacy system values (org code, position numbers, etc.) 16

Interfaces Development Process

Approve work to begin

Agency Reviews

(meet with representative agencies to confirm requirements.) Draft Functional Design HRMS Lead Signs Off Functional Design Publish Functional Design to Agencies Document Technical Design Analyze & Design for Agency IT impacts Build & Unit Test Build & Implement IT modifications Project Activities Agency Involvement HRMS Team Reviews

Agency Follow-ups

(as needed) HRMS Lead Sign-off on Unit Test Prepare for System Testing

Go Live

System Testing System Testing 17

Interfaces Functional Design Timetable

Week of 5/24/04 Time and Leave (ID #1) Deductions – Inbound (ID #16) Org Codes, Attendance Units (ID #17) PAY1 (ID # 20) Retirement JV (ID #21) DCP Transmittal (ID #22) Report Only Leave (ID #23) Job Classes (ID #25) Pay Codes (ID #28) Pay Ranges (ID #30) Work Force Data (ID #32) Medical Aid Rate Updates (ID #27) Deductions – Outbound (ID #34) Multi-Factor Analysis (ID #45) Week of 5/31/04 OSTWAR (ID #3) Register Control (ID #4) Warrant Print (ID #5) OST Transmittal Register (ID #6) Payroll Accounting Detail (ID # 7) Leave Summary (ID # 8) Employee Data (ID # 9) Position Data (ID # 10) Payroll Detail (ID # 11) Deductions – Inbound (ID #16) Data Entry Activity Transaction (ID #24) Deductions – Outbound (ID #34) Appointment Account Code – Inbound (ID #38) Position Account Code – Inbound (ID # 39) Retirement Work List (ID # 46) Week of 6/7/04 AFRS (ID #2) OFM Contra Fund (ID # 12) OFM Program Indexes (ID #13) Account Code Verification (ID #14) Salary Projection System (ID #15) Deductions – Inbound (ID #16) Deductions – Outbound (ID #34) Vendor Payments (ID #40) OFM Voucher Payment System (ID #41) Terminated/Leave Union Deductions (ID #44)

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Reports

Key Observations

1 st of 2 slides 

Scoping Approach

 Primary sources analyzed – existing Pay/1 reports, agency unique requirements survey, existing SAP reports, business process designs, and current data warehouse requirements   132 existing personnel and payroll requirements identified Primary focus was to ‘not recreate the wheel,’ leveraging existing SAP reports wherever possible   Push as much reporting through the business warehouse as possible All reports prioritized based on importance and usage  Decentralize report distribution/delivery to the agency 

Tools

  Business warehouse – predefined reports and SAP’s ad-hoc report designer Core SAP - Some preexisting reports will also be delivered within the core SAP system  Other tools - Currently looking at how agencies can use other tools to access BW data (such as Crystal and Brio) 19

Reports



Delivery Mechanisms

    Online Printer (centralized or decentralized) Downloadable to other applications (excel, access, etc.) Email 2nd of 2 slides 

Implications

    End-user ability to customize reports (sort, filter, change layout, add fields, etc.) Instantaneous delivery of reports Replacement of ad-hoc queries built by agencies off the current data warehouse Need to find new SAP reports to meet current reporting needs (team will provide a x-ref)   Expanded set of SAP pre-defined reports available Analytical reporting tools available 20

Summary of Reports in Release 1

Modules Compensation Organizational Management Payroll Personnel Administration Time Management Totals SAP Delivered Reports 0 3 4 2 2 11 SAP Configured Reports Custom Reports 1 2 1 9 8 9 55 39 0 20 6 110

In addition to the 132 release 1 reporting requirements, SAP provides the State of Washington with 100’s of additional HRMS delivered reports 21

Timeframes for Reports Development

Activity Design

 Functional  Technical  Agency Review

Build

 Development

Testing Phase

 Planning   Preparation Agency Testing

Responsibility HRMS Team Agencies Target Dates May – June 2004 HRMS Team HRMS Team Agencies June – July 2004 July – November 2004

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Technical Architecture & Access

Key Observations

Design Principles

 Scalable, highly redundant environment  Stringent performance standards/thorough performance testing before ‘go-live’   Flexibility for different agency computing environments Integration with statewide assets

Flexible Foundation for Varied Agency Computing Environments

 HRMS can provide end users the same functionality through SAP GUI or web browser, except for ad-hoc query design  The selection of what access method will be based on network capability/performance, power users’ usage patterns (i.e. multiple sessions) and ad-hoc report development usage.

Agency Collaboration

 Agencies will be responsible for addressing infrastructure gaps, software installation on the desktop (SAP GUI only), and ensuring connectivity for HRMS end users   The project will provide detailed installation and testing instructions, as well as support agencies’ troubleshooting of infrastructure issues The project has outlined a timetable on preparing agencies’ infrastructure for HRMS. The key dates to have all activities and testing concluded are Nov 2004 (Group 1) and February 2005 (Group 2)

Issues

 Currently troubleshooting SAP’s integration with Fortress 23

Technical Architecture Infrastructure Deployment Schedule

Year Month 2004 1 2 3 4 5 6 7 8 9 1 0 1 1 1 2 2005 1 2 3 4

Identify desktop/network requirements

(completed)

Verify Agency Capability – all agencies

(compare network and workstations to minimum HRMS requirements)

Address Capability Gaps – all agencies

(agencies solve any infrastructure gaps identified above)

Prepare environments for Group 1 Agencies

(agencies install client software for SAP GUI workstations)

Prepare environments for Group 2 Agencies

(agencies install client software for SAP GUI workstations)

Perform Deployment Testing – Group 1

(agencies test connectivity, etc.)

Perform Deployment Testing – Group 2

(agencies test connectivity, etc.) 24

HRMS Access Methods

Two methods will be used to access HRMS:

SAP GUI (Graphical User Interface)

  The proprietary SAP client for Windows workstations.

Operates like a “Thin Client” – the display is generated from the SAP server and sent to the GUI.

 Requires a connection to the State Government Network (SGN)

Web Browser

 Users can achieve a similar level of functionality as the SAP GUI through a standard web browser like Internet Explorer.

 Screens look almost identical to SAP GUI screens  Requires a connection to either the SGN or the Fortress II Anonymous Authentication system (via the internet).

Presentations to demonstrate and discuss the two access methods took place on May 19 and 20.

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HRMS Access Methods

This table shows how different types of users can access HRMS. “SGN” refers to users that are connected to the State Government Network .

User Type

End User End User Self-Service User Self-Service User ALL

User Location

SGN or VPN to SGN Non-SGN SGN Non-SGN Home/Internet*

User Tool

SAP GUI or Web Browser Web Browser Web Browser Web Browser Web Browser

*Agency policy will determine whether Self-Service and End Users have off-site access.

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Functionality Matrix for Access Methods

Functions

Standard HR functions: Payroll, Personnel Admin, Personnel Development Employee & Manager Self-Service functionality View pre-defined reports Create ad hoc reports

SAP GUI Web Browser X X User Types

All HR/Payroll professionals

X X X X

All State employees All HR, Payroll, Finance professionals Business Warehouse power users 27

HRMS Agency Desktop Requirements

Desktop requirements vary depending on the HRMS access method.

Access type

SAP GUI 6.2

Web Browser

Desktop Requirements

• • •

Windows 2000/XP Internet Explorer 5.0 or higher Hardware is dependant on the OS version – see Technology Requirements document for details Internet Explorer 5.5 SP 2 or higher In addition, any users who use report downloading functionality will require Microsoft Excel 97/2000/XP.

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HRMS Agency Network Requirements

SAP GUI Network Requirements:

  A

minimum

56 KB bandwidth line is required to the SGN. This may increase depending on:  Number of concurrent users at agency site  User activity level Access to server ports 32xx and 36xx where xx is the SAP system number, most likely 00.

Web Browser Network Requirements:

 End Users will require a high-speed internet or SGN connection  Self-Service users

may

only require a 56 KB line, depending on their activity level  Web Browser generally uses over 100% more bandwidth than SAP GUI  Access to server ports 80 (HTTP) and 443 (HTTPS).

See “Technology Requirements” document for details: http://hrms.dop.wa.gov/hrmsdocs/Technology Requirements.doc

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Data Conversion and Data Clean-up

Key Observations

1 st of 2 slides

Data Mapping and Data Conversion Design Expected by early June 2004

 Pay/1 is the primary source (except for personnel number which will come from the current data warehouse)  No conversion of historical data (Pay/1, Focus and the current data warehouse will still be available)   While most of the conversion will be automated, the conversion design will identify manual conversion tasks The implications of ‘smart coding’ will be addressed in the data mapping rules  Goal is to start system test (July 2004) with converted data

Mock Conversions Generate Data Clean-up Work

 Our Mock Conversions will trigger data clean-up effort  We will produce data clean-up reports by agency  The first mock conversion reports are expected in July  We will conduct five mock conversions between now and Release 1 deployment 30

Data Conversion and Data Clean-up

Tracking progress will be essential

 2nd of 2 slides You’ll need a detailed tracking mechanism (i.e. excel) to track progress against the clean-up reports  We will monitor overall agency progress on data clean-up through the readiness assessments

Order of Magnitude is currently unknown

 We’ll know the order of magnitude by agency in early July, just before the first agency reports will be distributed  We will structure our team’s support based on this order of magnitude

Data Clean-up Approaches You May Want to Consider

 #1 – Conduct Your Own Internal Data Audit Now  #2 – Build a Separate, Dedicated Data Clean-up Team or  #3 - Leverage the Work Out Across Your User Base 31

Data Conversion and Data Clean-up: Mock Conversion Schedule

Five mock conversions are planned. The earlier mock conversions will be more technical in nature, whereas the later mock conversions will be as real as possible to simulate the actual conversion week(s).

Mock Conversion Date Planned Purpose

Mock 1 Mock 2 Mock 3 Mock 4 Mock 5 July 2004 August 2004 September 2004 October 2004 January 2005 Technical Functional, Performance Data for Parallel Test Full Employee Population –Group 1 Full Employee Population –Group 2 32

HRMS Test Approach Key Features

        Balance of project team and end user testing Early and repeated use of mock conversion data End-to-end interface testing Separate testing environments Stage containment – ‘not taking modules until they are ready’ Parallel test of strategic data Acceptable performance test prior to Go-Live System Investigation Request (SIR) tracking – defects and issues found during each stage of testing 33

Release 1 Testing Approach

Define & Manage Business Case Prepare and Perform Operational Readiness Test Gather User and Usability Reqmts.

Analyze System Reqmts.

Analyze System Quality Reqmts.

Design Application Architecture = Validation = Flow of Work = Verification = Testing ( test that product meets specifications) Design Automated Processes Test Generate and Code Work Units Perform Deployment Test Perform Parallel Test Prepare and Execute System Test Prepare and Execute Assembly Test Prepare and Execute Unit 34

Application System Test

  

Definition:

Application System Testing verifies the system as a whole and ensures the entire application meets specified functional and technical requirements.

Objective:

Verify system meets functional and technical requirements.

Scope:

Scenario-driven scripts focusing on configuration, interfaces (end to-end testing), reports, conversion and user-entered data  

Testers:

HRMS project staff and representative agency staff.

Schedule:

Planning - April 2004 Preparation – June – July 2004 Execution – July – November 2004 35

Parallel Test

    

Definition:

Ensures that a representative subset of data is processed similarly by both the new and old applications for multiple business cycles. A population of 2000 employees has been will be used as the subset.

Objective:

Ensure that the new system produces results that are consistent with the old system. Variances will be reconciled to ensure the difference is due to a planned change in processing rather than processing logic.

Scope:

Gross pay, total deductions, total taxes, net pay and tax type will be validated for a selected subset of employees.

Testers:

HRMS Project Staff and representative agency staff who have understanding of both systems.

Schedule:

Planning - July 2004 Preparation – September 2004 Execution – October – November 2004 36

Deployment Test

    

Definition:

Deployment system conversion.

test will provide an opportunity to execute all conversion programs against the full production database; the conversion environment will be sized appropriately. This stage allows for complete testing of the conversion process in a safe environment prior to the actual

Objective:

Functional product test cycles and conditions are executed against converted data to identify any conversion related processing issues. All discrepancies discovered would then be resolved and the programs will be re-tested until the results are accurate and the programs are ready for the final conversion stage.

Scope:

Mock conversions will be performed to practice the tasks executed during the actual conversion and to verify that the tasks can be performed within a reasonable time frame.

Testers:

HRMS Technical Team and Agency End Users.

Schedule:

June 2004 – December 2004 37

The Next Three Months

Project Activities

 Configure SAP for Release 1          Conduct Interfaces Workshops Conduct Data Purification 2 Workshops Distribute Configuration Surveys Support Agency Data Cleansing Activities Develop Interfaces and Conversion Routines Complete Technical Architecture Design Develop Training Modules Assess Communications Effectiveness Review & Compile Readiness Report

May

Agency Activities

 Complete Configuration Surveys        Attend Organizational Structure Workshop Attend Interfaces Workshops Attend Data Purification 2 Workshops Conduct Data Purification Activities Plan Interface Modifications  What systems are affected  What interfaces will be used Complete Communication Survey Complete Readiness Self-Assessment

Key Business Outcomes:

Project continues to build interfaces, reports, training, conversion pre. Agencies launch internal systems projects for HRMS interfaces.

38

The Next Three Months

June

Project Activities

    Configure SAP for Release 1 Conduct Shadow Systems Strategies Workshops Conduct Interfaces 2 Workshops Conduct Role Mapping & Security Workshops       Conduct Business Warehouse Intro Workshops Plan and Prepare Testing Schedule Prepare System Test Model Develop Training Modules Design System Security Review & Compile Readiness Report

Agency Activities

 Attend Shadow Systems Strategies Workshops        Attend Interfaces 2 Workshops Attend Role Mapping & Security Workshops Attend Business Warehouse Intro Workshops Conduct Data Cleansing Activities Design HRMS Interfaces and Shadow System Modifications Assign Security Access to Agency Users Complete Readiness Self-Assessment

Key Business Outcomes:

Project develops detailed testing plan. Agencies launch internal systems projects for HRMS interfaces.

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The Next Three Months Project Activities

  Run Mock Data Conversion #1 Launch system test        Analyze and address results of Mock Conversion #1 Conduct Data Cleansing Workshop #3 Provide Testing Approach Presentation Conduct End User Educations Forums Complete Readiness Self-Assessment Review and Compile Readiness Report Design Business Warehouse reports

July

Agency Activities

 Participate in system test (selected agency personnel)  Attend Data Purification Workshop #3  Continue data cleansing activities  Map end-users to roles  Complete HRMS security assignments  Attend Testing Approach Presentation  End User Educations Forums  Attend Change Agent Meeting  Complete Readiness Self-Assessment

Key Business Outcomes:

Project Team launches system test for Release 1. Agencies internally test system modifications for interfaces 40

Questions?

?

?

?

Keep up-to-date on HRMS activities, technical requirements, and agency information releases. http://hrms.dop.wa.gov

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