ERP Implementation Project

1. ERP Implementation Project AGA Professional Development Conference March 26, 2014

2. Presentation Agenda Project Overview History Scope Objectives Implementation Overview Timeline Project Team Current Status Questions

3. Project Overview

4. Project History • December 2012 – April 2013 • Formed core project team • Developed and issued RFP for Consulting Services to assist with requirements definition and procurement • Retained ISG • April 2013 – October 2013 • Gathered business requirements • Documented business case • Developed and issued RFP for software, implementation services, and hosting and managed services • December 2013 • Received vendor responses • JEC formed • Proposal review and evaluation began

5. Project Scope • Statewide System • Systems Identified for Replacement • MAIN-RSTARS (AP, AR, GL, Grant, Project, Cost Allocation) • DCDS (Time Capture, Employee Expense Reimbursement, Labor Distribution) • Budget Development • Numerous agency systems • Non-Core/Optional Functions That May Be Implemented • FHWA Billing • Inventory • Facilities Management • Fleet Management • Real Estate • Hosting and Managed Services

6. Application Scope • Functions that will be licensed and implemented • Budget Preparation • Budget Control • General Ledger and Financial Reporting • Accounts Payable and Disbursements (including EFT/EDI) • Accounts Receivable and Billing • Grants Management (Grantor Side) • Grants Management (Grantee Side) • Project Accounting and Budgeting • Cost Allocation • Time and Attendance • Travel • Asset Management • Labor (and Equipment Cost) Distribution • Cash Reconciliation • Positive Pay Banking • Transparency and Accountability Portal • Vendor Accounts Payable Web Inquiry • Vendor Payment and EFT Web Registration • Investment Pool Participation/Income Apportionment • Expenditure tracking against debt issues • Report Distribution • Functions that may be licensed and implemented • FHWA Billing • Inventory • Facilities Management • Fleet Management • Real Estate • License options • Personnel Administration • Benefits Administration • Recruitment • Employee and Manager Self Service • Payroll • Procurement

7. Project Objectives • Automate and Streamline Budget Preparation • Chart of Accounts Reform/Uniform Coding Block Usage • Enhanced Transparency & Accountability Portal • MIDB Currency and Reporting • Move to Vendor Supported, Upgradeable COTS Solution • Automate Vendor File Synchronization • Automate and Streamline CAFR Production • Reduction in the Number of Applications Supported and Interfaced • Project & Grant Reporting, Budgeting, and Processing • Cost Allocation • Increase Accounting Detail Posted from Agency Systems • Support for Numerous Treasury Functions: • Debt Reporting • Support for Investment Accounting • Bank Reconciliation • Warrant Writing • Automate Interfaces with Banks • Implementation of Positive Pay Banking (if feasible)

8. Implementation Overview

9. Implementation Timing • Three Phases • Budget Preparation • 13 Months • July 2014 – August 2015 • Core Financials • 27 Months • July 2014 – October 2016 • Optional Modules, Non-Core Functions • 12 Months • October 2016 – October 2017 • Post Implementation Support • 12 Months, onsite

10. Implementation Timeline and Phasing Oct 2016 Aug 2015 Oct 2018 July 2014 Oct 2017 Start Phase 3 Implemented Phase 2 Implemented Budget Prep Implemented Budget Preparation Load Budget for FY Beginning 10/1/2016 (13 months) Project Hosting - Project Environments Only for Phase 1/2 Phase 2 Implemented Phase 3 Implemented Core Functions for All Agencies Phase 3 (other than Assets) = Optional Modules (27 months) Non Core Functions • MAIN Functions • Time and Attendance • Labor Distribution • FHWA Billing (if applicable) • MIDB Update • Transparency Portal • Warrant Writing (12 months) • Assets • Facilities • Fleet • Real Estate • Inventory • MIDB Update If applicable (12 months) Production Support for Phase 1 Implementation Production Support for Phase 1 and 2 Implementations Post Implementation Support for all 3 phases. Upgrade to Latest Release

11. Project Team

12. Team Structure • Governance Structure will remain in place • Core Project Team • Up to 150 members at peak including state and integrator staff • State Staff will be loaned from Agencies and Funded through the project budget (ITIF) • Agencies may backfill positions through limited term appointments and/or working out of class assignments • Civil Service support for a streamlined process • Loaned employees’ positions “protected” to return to • Core team members will be full-time project staff located at the project facility • Agency Implementation Teams • Not funded through the project budget • Variation in make-up based on unique agency needs • Time commitment varies throughout the life of the project

14. Draft Matrix Organization - Functional Team (Phase 1 & 2)

15. Draft Matrix Organization – Central Agency Support Team (CAST)

16. Draft Matrix Organization – Technical Team

18. Current Status

19. Current Status • JEC • Over 150 Advisors provided substantial input and review of proposals & software demonstrations • Reference Checks of solutions, integrators, and staff • Four weeks of software demonstrations and oral interviews with integrators • Numerous rounds of clarification requests with bidders • Developing Best and Final Offer (BAFO) requests • Working toward award recommendation • Contract start date of July 1, 2014 • Project Activities • Outreach and communication ongoing • Monthly governing board meetings • Recruit/organize core project team • Provide further guidance regarding Agency Implementation Teams • Prepare Core Project Team facilities • Additional Coding Block/COA Analysis • Additional analysis of existing agency systems and interfaces • Preliminary identification of strategic policy and process decisions to be made early in the project • Name the project!

20. Questions?