on time and within budget business transformation oracle financials, purchasing end of the beginning
TRANSCRIPT
On Time and Within Budget
Business Transformation
Oracle Financials, Purchasing
End of the Beginning
Senior level sponsorship
Definition Phase to confirm requirements
Created Process Owners
Fixed price implementation
No customisation
Strong project management
On Time and Within Budget ?
Single point of entry of information onto the system
Validation at source
Minimise manual processes
Introduce better management control by providing
in-year resource information
Improve the timeliness and quality of management
information.
Sponsor’s Vision
Overview of the Project
Dec Jan Feb AprMarJun Jul Aug Sep Oct
Mobilise/CRP1
CRP 2
CRP 3
Technical Development
GO LIVE 1 April ‘04
Nov
Transition
UAT
Training Preparation
LAUNCH 2 June ‘03
18/77 wks
26/9
13/2
10 wks
8 wks
13 wks
6 wks
CRP1 Event
7-11 JulyCRP2 Event
8-19 Sept
CRP3 Event
10-14 NovUser Testing
12 Jan –6 Feb
Training
21/11
WHAT ?
SUN Accounts
ACC
GL
TM
Staff
CM
Fees
FM
Suppliers
PM
PayrollChessington
( Payroll)
Britannia ( FA)
FINDER ( 700 to 1200 users)
•Elect ronic Forms ( acc rual s, T &S,GPC)
•Look-up SUN c odes
•Reports
•User Guides ( out of dat e?)
•Permissions and security
ROADS( funding budge ts)
ISG1 + FM
( Purchasing)
CHARMS
(Maintenance Data)
Debtors
AR
Schedules ( 1to 5)
( year end)
Spreadsheets
Welfare Foods CREMS ( PO for
comms/media )SIP
CASPAR
( Cashiers)
PARIS
( Oracle 10.7 HR,Appraisals etc)
Current Systems Map
FIMS (consolidatedPCT/SHA’s
50 users
FCR(Consol idat ions)
BACS/ Masterline
PODMED ( E111) HA-Funding Section 64
R&D Levy
Sentencing
To be retired
Legacy
Satellite
RDD
ISG8-FMU
( Purchasing)
CMG PayrollGeneral
Ledger
Purchase Ordering
The VISTA Solution
Accounts
Payable
Accounts
Receivables
Human
Resources
Salary data
PO’s
Expense
Positions
Cost centres
Commitments
Personnel
DH now has a Process Approach to Departmental Management
• Business ‘benefits’ are now probable not possible!– In-system budgeting - monitoring and controlling budgets– Resource accounting - visible commitments– Treasury Management - controlling cash centrally– Purchasing against Contracts/PO’s - controlling expenditure– Accounting Central Control - managing transactions
• Self-service - procurement, expenses, employee details– Will reduce the administration burden ( e.g. reduce the need
for BCLO’s)
HOW ?
User
User logs onto Vista and raises a REQUISTION (this could be
from an online catalogue)
User
Vista routes the Requisition to...
User Approver
Who has authority to
approve or reject the
requisition, If approved….
User Approver
Supplier
Vista auto-creates
a PURCHASE ORDER
which is emailed to the
supplier. This is the
suppliers trigger to work
on our behalf.
AND…...
User Approver
Supplier
General
LedgerVista notes a
COMMITMENT
against the relevant
budget in the
GENERAL LEDGER
User Approver
Supplier
General
Ledger
The supplier despatches
the goods or services to
the requisitioner.
User Approver
Supplier
General
LedgerWho completes a RECEIPT on Vista.
This is noted on the General Ledger where
the COMMITMENT is changed to an ACCRUAL.
From a resource accounting perspective, when
the receipt is completed the value of that
receipt is effectively “spent”.
User Approver
Supplier
General
Ledger
Accounts
Payable So when the supplier sends the invoice to
the Accounts Payable team in DH...
User Approver
Supplier
General
Ledger
Accounts
Payable
They check that the goods have been
receipted. If so they pay the invoice
and capture the
actual expenditure.
VISTA SWOT analysis
Opportunities
• Process adoption • Head count savings• ISG/FID relationship/teamwork• Purchasing savings 10% to 25%• Financial Control• HR data management
Threats
• GBT creditability and coverage• Unmatched invoices• New org ‘fit’ with VISTA central processes• DH purchasing team• DH application strategy/data management• GBT HoF relationship with FID/FM• FID Accounting centre performance
Weaknesses
• HR data quality • Significant cost centre changes in
March• Purchasing ownership in the DH• ISG bandwidth – Unity/Support
Strengths
• Definition phase and planning• Process Leaders/Owners• Open relationship DH/CGEY• Pragmatic decision making• Project management • GL stream – COA and budgets• Training
The End Game!
• Implement the three VISTA processes• Oracle replaces legacy systems ( 25)• Electronic procurement via requisitions• Central budget management• FID head-count reduction = 11.5• ISD head-count reduction = 3.5• Procurement savings = 5% p.a. ( £1m plus)• Accounting centre service improvements
