Leveraging Inherent ERP Capabilities and the Power of...

OFFICE OF FINANCE (OF)

Leveraging Inherent ERP Capabilities

and the Power of System Integration

SAP Implementation at

US Customs and Border Protection

American Society of Military Comptrollers

Professional Development Institute

June 1, 2017

1


CBP’s System Vision

Implementation Timeline

CBP’s SAP Business Solutions

Other Key Initiatives

CBP’s Current SAP Footprint

What’s Next?

2

Agenda


CBP’s Vision

3

Project initiation: July 1997

Goal: REDUCE COSTS and ENHANCE

SERVICE by reengineering processes

Assessment: reengineered processes

require ADVANCED TECHNOLOGY

available in ERP

Software selection: SAP R/3 selected

in September 1999

Pilot: completed June 2000; decision to

PROCEED TO IMPLEMENTATION

CBP Business Cycle


4


5

SAP System Capabilities


6


7


• Project

Systems

• Real Property

• Plant

Maintenance

RELEASE

1

• Asset

Accounting

• Materials

Management

RELEASE

2

• Federal

Financials

• Controlling

• Business

Warehouse

RELEASE

3

SAP Initial Phased Implementation

8

120 Users 2,600 Users 4,000 Users

Real Property Databases Personal Property

Procurement System

Receiving System

Financial System

Budget Execution System

Reporting System

Legacy Systems Retired

OFFICE OF THE CHIEF FINANCIAL OFFICER

9

System Footprint after SAP Implementation

Staffing to Budget System

Travel System

Relocation Travel System

Purchase Card System

SAP ERP

Financials

Cost Management

Procurement

Contract Writing

Project Systems

Asset Management

Real Property Management

Plant Maintenance


10


Project Goals:

o Upgrade from SAP IPRO contract writing system

Business Requirements:

o Requisition Management

o Sourcing processes

o Purchase Order and unfunded Contract creation

o FAR, DHS and CBP Clauses, Terms and Conditions in Document

Builder

o Records Management and Electronic Folders

11

SAP Procurement for Public Sector


Contract writing solution natively integrated

with financials and procurement

Documents compliant with FAR, DHS and

CBP regulation sets

PO history tab displays goods receipts,

invoices, payments, credits and clearing

documents

Federal Procurement Data System Next

Generation (FPDS-NG) integration

Workload assignment

Document versioning

Electronic contract file system

Digital signature

12

SAP Procurement for Public Sector

Implementation Date: December 2009

Users: 250 Contracting Officers


13


Budget Solutions

14

Project Goals:

o accurate and timely resource management reporting and analysis

o conformance with CBP, DHS, and OMB requirements

o improved ability to manage resources and meet mission goals

Business Needs:

o Detailed budget-year and out-year reporting

o Full-time equivalent (FTE) position tracking and reporting for current-year and out-year

o Creation of budget submissions (annual submission to Congress, supplemental requests, etc.)

o Easier and more robust reporting of budget status

o Funding decision support for internal and external customers

o Collection, review, and prioritization of unfunded requests

o Allocation, tracking, reporting, analyzing, and forecasting budget during execution year from multiple

funding sources

o Two cost models:

User Fee Reimbursement Model - will be used to determine user fee eligible reimbursable costs

broken out by object class code (OCC), user fee type, and location.

Statement of Net Cost (SNC) Model – will break expenses out by the DHS Future Years Homeland

Security Program (FYHSP) structure and align them to the DHS Mission Goals and Objectives.


Budget Solutions

15

Greater automation of cost analysis,

budget analysis, formulation, and

publication processes

Better integrated and rationalized data

across solution components and

processes

More capable, complementary SAP

applications and reporting mechanisms

Integration with standard, easy-to-use

MS Office and Web capabilities

Implementation Date: May 2012

Users: 10 modelers

250 budgeting users

3,000+ reporting users


16


Project Goals:

o Support various fee collections with on-line payment options

o Increase accuracy and timeliness of reimbursable billing

o Facilitate accurate cash reporting

Business Needs:

o Full cost recovery for reimbursable overtime work

o Improved/automated debt management processes

o Increased accuracy of bills to reduce customer inquiries

o Support automated credit card dispute management

o Support Pay.gov e-billing

17

Revenue Solutions


Revenue Solutions

18

Electronic System for Travel

Authorizations (ESTA)

o Fee collection for mandated

background check for travelers from

countries which are part of the Visa

Waiver Program (> 40).

o Implemented in 2010

Form I-94 (I-94)

o Online payment option for one-time

border crossing fees


Integration with:

o CBP ESTA website

o Pay.gov for electronic payments

o VANTIV for credit card

processing

o Federal Reserve Bank’s

Collections Information

Repository (CIR)

SAP solution components:

o Public Sector Collections and

Disbursements (PSCD)

o Finance (FI)

o Business Intelligence (BI)

Users: 10 in Revenue Division


Revenue Solutions

19

Reimbursable Billing

o Automated bill creation, submission,

and collection for reimbursable

services


Decal/Transponder Online Procurement

System (DTOPS)/Global Online

Enrollment System (GOES)


Integration with:

o CBP’s payroll and overtime

tracking systems

o CBP’s DTOPS and GOES

websites

o Pay.gov

o VANTIV

o CIR


o Sales & Distribution (SD)

o PSCD

o FI

o BI

Users: 10 in Revenue Division


20


Dashboard Solutions

21

Project Goal:

o Strengthen data-driven decision-making

capability for CBP executives

o Enable agencies’ Financial Operations

Sections to support data-driven

analysis

Business Needs:

o Visualize data in formats that support

analysis and decision making

o Standardize and automate reports

o Provide casual users much greater ease

and timeliness in reporting of data

Implementation Date:

o First Dashboard delivered in April 2016

o Ongoing deliveries continue

Integration Highlights

o Ability to consume data from

many data sources; SAP ECC,

Solution Manager, Business

Warehouse (BW)

o MS SharePoint live connection

for tracking any tasks or data

lists data using SAP PI and BW


o Business Objects (BOBJ)

Dashboards

o BOBJ Web Intelligence (WEBi)

o Launchpad

o Enterprise Portal

o Business Warehouse (BW)

Users: 50-100


22


Project Goal:

o Upgrade CBP’s activity-based costing system to provide enhanced cost drivers, increased

flexibility, transparency, and applicability

Business Needs:

o Revise cost models to better represent current cost drivers

(e.g.: mainframe hours no longer represent OIT costs as fewer applications run on the

mainframe)

o Increase visibility into data aggregations

o Increase flexibility to add additional drivers

o Automate model processing (most data originates in SAP and non-SAP data was automated

where it made sense)

o Automate exception/validation reporting to increase data consistency and quality

o Simplify data loading and crosswalks into the PCM model (removal of Excel spreadsheet and

Access database)

o Centralize reporting for current and historic models in SAP BW

23

Cost Management Solution


Cost Management Solution

24

Implementation Date: July 2016


o Automatically pull data from CBP internal trade and mission tracking systems

o Automatically crosswalk data in SAP BW for consumption into SAP PCM

o Push data from the calculated models from SAP PCM into SAP BW


o SAP BW

o SAP Performance and Cost Management (PCM)

Users:

o 5-10 PCM Modelers

o 50 report users


25


Financial Statements Solution

26

Project Goal:

o Automate the preparation of published CBP

Financial Statements, providing a solution

with improved efficiencies and accuracy

Business Needs:

o Provide a platform to automate the population

of hundreds of data points throughout the

Financial Statements

o Reduce errors in compiling highly formatted

financial reports by reducing manual

interaction with the statements and numbers

o Provide an audit trail and controls for the

agencies’ accountants while preparing the

Financial Statements

o Compare changes (numbers and text) within

the versions of the documents

Implementation Date: April 2017


o Ability to integrate with SAP BW and

non-SAP data repositories


o SAP BW

o SAP Disclosure Management

Users: 5-10

5-10


Other Key Initiatives

27

2008 Major Version Upgrade – SAP ERP v6.0

2010 Electronic System for Travel Authorization (ESTA)

2012 Electronic Travel System 1 (ETS-1) – HP FedTraveler

2013 Do Not Pay

2014 Electronic Travel System 2 (ETS-2) – Concur Technologies CGE

2015 Purchase Card System Migration to SAP

Central Accounting Reporting System (CARS)

Government-wide Treasury Account Symbol (GTAS)

2016 Invoice Processing Platform (IPP)

2017 Fleet Card Enhancements

Common Appropriation Structure (CAS)

DATA Act

Personas

2018 Procurement Instrument Identifier (PIID)


28

ECC

FI

FM

CO

AM

PS

MM

PM

SD

BOBJ

Dashboards

WebI

Launchpad

BEx

BW

BWASRM/PPS

Process Integration

PSCD

PCM

DM

Enterprise Portal

PBF

Tra

nsaction P

roce

ssin

gA

na

lytic

s a

nd

Re

po

rting

Natively Integrated SAP System Components

Solution Manager


29

SAP System Capabilities

8,000 Users


WHAT’S NEXT?

30


Fleet Tool

31

Project

o CBP Mobile Asset Program Management Office would like to enhance and implement a CBP-wide fleet management tool that will provide accurate,

complete, and timely data capture, storage, management, and reporting, as well as fully integrate financial and associated systems

Business Need

o The current CBP asset management systems do not capture the data inputs required to optimally manage and adhere to reporting requirements from

one source

There is duplication of system interfaces and key financial information

Data is not available in a standard, consistent, or detailed format

o The Fleet Tool solution will be capable of providing:

Single view of the entire asset life-cycle

Comprehensive inventory management system

Web enabled user interface to improve user experience

Administration, maintenance and operations of CBP Fleet

Systems and Modules

o Expand the current SAP Fleet Management solution: Asset Accounting, Disposal and Reselling, External Maintenance Services, Fuel Management,

Incident Management, Investment Planning, Maintenance Engineering, Preventive Maintenance, Procurement and Contract Management, Spare Parts

Management, Track and Trace, and Warranty Management


o Continued integration with GSA for vehicle order and invoice information and new integration with Fuel Management system for telematics information

o Solution will replace VMIS legacy system

Approximately 2,000 users will utilize the Fleet Tool solution


Integrated Logistics Support System (ILSS)

32

Project

o CBP Personal Property Program Management Office would like to enhance and implement an enterprise-wide Integrated Logistics Support System

(ILSS) for personal property asset management

Business Need

o Several program offices within CBP maintain disparate ILSS solutions, making it difficult to compare and monitor offices at the enterprise level, which

continues to expose CBP to a risk of possible audit findings, creates a lack of transparency, and allows for discrepancies in personal property asset

management

o An enterprise ILSS solution for personal property asset management will:

Enhance management of assets to support CBP mission

Improve/maintain readiness posture (reliability, availability, maintainability) of CBP assets

Improve data integrity and reduce risk of continued audit findings

Increase transparency, standardization and efficiency of scale

Systems and Modules

o SAP Asset Accounting, Business Warehouse/Business Objects, Environment Health and Safety, Financial Accounting, Funds Management, Human

Resources, Materials Management, Plant Maintenance, Production Planning, Project Systems, Sales and Distribution, and Warehouse Management


o Continued integration with GSA, JP Morgan Chase, TRIRIGA, UNICOR systems and new integration with CAPSIS, FACTS, Remedy, and Vendor

systems

o Solution will replace CAMITS, CARMAC, Maximo, and VMIS legacy systems

Approximately 4,500 users will utilize the ILSS solution

Internal© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ 33

SAP Connected Fleet for CBP Mobile Assets

Challenges BenefitsSAP Solution

Innovation on the Edge

Cannot easily

track vehicle from

birth to retirement

Telemetric data

collected on

vehicles is not

connected to

vehicle master

record..

Many manual

processes,

such as

entering work

order

completion

details

Lack full

integrated fleet

solution that

supports total

lifecycle costs

Current fleet

solution is a 3rd

party solution

requiring support

and integration

Cannot accurately

report utilization

Reduce TCO Reduce IT

complexity

Better asset

visibility Streamlined

Operations

Deliver 42% ROI*

Improved

reporting

capabilities with

real time data

Business

Integration

Vehicle

Telemetry

Easy work order

reporting Real-time

insights

SAP

ECC

6.0

Mobile

Work

Manager

SAP

Telemetric

Solution

Connect &

Store data

from all

Vehicles

(Telematics

Initiative)

Business

Reporting

(BOBJ)

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