Budget Maintenance Process Walkthrough
September 15, 2006
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Agenda
• Objectives and Introduction
• SAP Key Terms and Concepts
• Budget Maintenance Integration in the Employee Lifecycle
• High Level Budget Design
• SAP Account String Concepts
• Budget Planning and Maintenance Calendar
• Process Overview: SAP Budget Transfer Process
• Key Changes
• A Glance into SAP: Selected screenshots from SAP
• PBC Financial Flow
• Communications and Training Highlights
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Objectives
• Describe the overall Budget Maintenance process from an LAUSD perspective
• Explain integration points and how Budget Maintenance is organized in SAP
• Provide insight into Budget Maintenance process flow
• Communicate the Budget key change impacts
• Provide a first glance into the BPS folder
• Encourage feedback and provide opportunity to ask questions about BTS before training
• Provide practical information about training and communication
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SAP Key Terminology
SAP: The name of the software vendor and its core integrated product: “System Applications and Products” (SAP R/3)
BTS (Business Tools for Schools): The name of the project and the name of the new LAUSD system
Release 2: BTS is being implemented in 3 phases called “releases.” Release 2 will go-live (become active) on January 1, 2007 and includes payroll and time, human resources, benefits, budget and position control functionality
Human Resources (HR): An SAP module for optimizing and controlling workforce planning
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The Employee Lifecycle
Create Organizational
Structure
Create Budget & Position
Control
Identify Vacancy in
Organizational Structure
Hire Employees
Recruit Candidates
Identify Candidates
Administer Benefits
Report Time Run Payroll
Post to Finance
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SAP Budget - Related Key Terminology
Budget Planning & Simulation (BPS): SAP solution for Strategic Enterprise Management. BW/BPS is the abbreviation for Business Warehouse/Business Planning & Simulation. BW is a reporting tool that retrieves and integrates summarized and detail data from SAP
Position Budget Control (PBC): An SAP module for integrated personnel cost/budget planning
Personnel Cost Planning (PCP): An SAP module used for planning positions, salaries and benefits. PCP calculates planned cost based on Employee Master Data. Cost information is transferred to the BPS folders
Funds Management (FM): Where budgeted revenues and expenditures for individual areas of responsibility are managed. In FM, future funds movements are managed and controlled according to a distributed budget. FM prevents the exceeding of a budget
Examples of funds set up as master data in FM:
010 General Fund, 110 Adult Education, 120 Child Development
Delimiting: Delimiting is attaching an end date to a record. When you create or copy an infotype, the old data is not lost but is stored as history for reporting purposes
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ModuleBusiness Planning &
Simulation (BPS)Position Budget Control
(PBC)
SAP Sub-moduleBW/BPS – Business Planning & Simulations
Personnel Cost Planning
Position Budget Control
Supported Business Process
•Perform Financial Forecasting
•Perform Budget Planning
•Perform Budget Maintenance
•Calculate costs for positions, salaries and benefits
•Perform budget planning for positions
High Level Budget Design
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ModuleFinancial &
Controlling (FI & CO)Funds Management
(FM)Human
Resources (HR)
SAP Sub-module
CO – Project Systems
CO – Cost Center Accounting
CO – Internal Orders
CO – Cost Element Accounting
Funds Management
Grants Management
Payroll
Personnel Management
Personnel Development
Organization Management
Time Reporting
E-recruit
Supported Business Process
•Develop Facilities strategic plan
•Perform transaction process for actual revenue/expenditures
•Check if funding is available
•Commit funding for position and non-position items
•All functions associated with optimizing and controlling workforce administration
High Level Budget Design
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SACS-Compliant SAP Account String
Fund
333-4444
Commitment Item
(GL Account)
444422
Functional Area
4444-4444-1AAAA
Fund Center(Cost
Center)
5555522
SACS Fund (+)
SACS Resource
IFS Org (+)Cost
Center Extension
SACS Goal
SACS Function
IFS Program (+)
GL Account
Extension
SACS Object
Internal Order
123456789012
WBS Element
A-666666-22-333-22
Project PhaseSub-
Project
IFS Job Number
Funding Source
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SAP Master Data Integration
FIFinancial
Accounting(external accounting)
GMGrantee
Management(sponsor’s view/reporting
requirements)
FMFunds Management(budgetary accounting)
COControlling
(managerial/cost accounting)
GL Account
Grant
Functional Area
Business Area
Fund
Fiscal Year
Cost ElementPrimary & Secondary
Grant
Functional Area
Internal OrderWBS Element
Cost Center
Fund
Fiscal Year
Commitment Item
Grant
Functional Area
Funded Program
Funds Center
Fund
Fiscal Year
Sponsor Class
Grant
Sponsored Program
Fund
Budget Validity Period
Object
Grant
Area & Org
Program
Fund
IFS
Project & Job Number
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Budget Planning and Maintenance Calendar
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Central Office Planning and Maintenance Calendar
Month Planning 07/08 Maintenance
January 07
Budget Maintenance 06/07
February 07
March 07
April 07
Budget Planning 07/08May 07
June 07
July 07 Budget Plan Revisions 07/08August 07
September 07 Adopt Budget 07/08
October 07Budget Maintenance
07/08November 07
December 07
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Budget Planning and Maintenance Calendar
Month Planning Maintenance Norming
Jan FY08 Forecasting
FY07 Budget Maintenance
Feb FY08 Preliminary Budget
FY08 Enrollment RoadshowMar
Apr
Provisional Budget
Upload / Post
MayPosition Assignment
June
JulyFinal Budget Daily Teacher Norm
CalculationsAug
Sept Adopt Budget
OctFY08 Budget Maintenance
Norm Day
NovNorm Adjustments
Dec
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Human ResourcesFinance
Time
Job
Job
Vacancies
Benefits
Payroll
General Ledger (GL)
Organization Management
Org Unit = Cost Center
Job Job
eRecruitPosition·Fund·Grant·Planned Comp
Position·Fund·Grant·Planned Comp
Vacancies
Employee Master DataPosition Budget Control
(PBC)
Creates Pre Commitment, Commitment & Salary
Savings
Positionsto Fill
Controlling (CO) Job Cost
EstablishBudget
Filled Position Dollars
Payroll Actuals
Eligibility Check
of Hours
Hours to Internal Orders (Jobs)
Planned Compensation
Planned Comp
(vacancies)
Actual Comp(filled)
Budget
Personnel Cost Planning (PCP)
Calculate Position Salary &
Benefit Costs
Budget Planning & Simulation
(BPS)
Plan District Budget, Forecast Budget, Maintain
Budget
Personnel Administration
(PA)
Establish employee and assign to
Position
Fund Management (FM), Grants
Management (GM)
Position Budget Control (PBC): PreCommitments, Commitments & Salary Savings
Commitment Reduction
Vacancies
LegendFinanceModules
HR Modules
Budget Maintenance - Part of the Wider System Integration
Budget Maintenance
Budget Maintenance
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ExtractPosition Salary
& Fringe Benefits
Current Modified Budget
BPS Budget Maintenance Folder
Budget Adjustment FormTypes of Adjustments:
Position to PositionPosition to Non-positionNon-position to Position
Non-position to Non-position
Auto Create New Positions
Proposed
HR & Budget enter additional data as needed
Approval triggers HR notification
HR & Budget enter additional data as needed
AppropriateFiscal Staff
Administrator
Reviews Budget Adjustment Form
Human Resources
Approval triggers HR notification
Approval
FM
PBC Commitment
Processor
HR
HR is updated with new position information
Close aPosition
(RIF)
Budget Maintenance Information Flow and Activities
SAP Workflow Process
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What Has Changed?
Current Process New Process
• Create paper budget transfers
• Create online budget transfers which will be consistent for everyone
• IFS • SAP
• Open and/or close a position when there is a change to the funding source
• Once a position is created, you can defund the position. Budget will not need to open or close a position
• When a funding source changes for a position, the position number stays the same
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What Has Changed? (cont.)
Current Process New Process
• Not able to make budget revisions during black-out periods
• Ability to make budget revisions with minimal black-out periods
• During black-out periods, make TB in IFS and update BRASS later
• Use one system (2 modules), no need to update in two different systems
• Not always able to access position information when making personnel and budget decisions and changes
• Access integrated data for budget and employee positions when making personnel and budget decisions
• BRASS • Budget Planning & Simulations (BPS)
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Key Changes (Budget Maintenance)
Budget users will have to understand the account string structure for the funds they are dealing with
Budget users will access integrated data for budget and employee positions when making personnel budget decisions
Reports: Individuals who are identified as budget planners or budget maintainers will have access to standard BW reports
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Key Changes (Position Budget Control)
With SAP, several funding attributes can be attached to one position, therefore no need for multiple positions because of multiple funding sources
HR and Budget attributes will be populated automatically when a new position is created
When a position is closed, budget will defund the position, HR will delimit the position
Positions will be committed using actual employees‘ step and salary schedule
Immediate display of employee’s costs, and impact to Commitment Items and Budgets
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A Glance at SAP: Budget Planning Folders
• Budget layouts are divided into five folders:
• Budget Planning & Maintenance
• Revenue Planning Maintenance
• Growth Planning
• Reduction Planning & Maintenance
• Augmentation Planning
A folder contains budget layouts that are used to input and store the budget information that interacts with other information in the SAP system such as HR and Payroll
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Budget Maintenance Folder (Variables/Header-Section 1)
Header/Variable information for the budget transfer (section 1)
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Budget Maintenance Folder Layout (Section 2)
• The Budget Transfer Form resides in an MS Excel layout and will accept all standard Excel functions
• The header/variable information in section 1 populates in the first six rows of the Excel form (section 2)
ed version
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Budget Maintenance Folder Layout (Section 3)
• In this example, we:
• Perform a position to position transfer
• Close a manager/director position
• Create two new computer specialist/information developer positions
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Budget Maintenance Folder Layout (Section 3)
Note the Positive and Negative values in the From/To Amount field required to close one position and use the funds to open two new positions
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Position Budget Control Process Overview
PBC
HR OM&PAHR OM&PA
Position Data
Employee Data
PCPPCP
Data collection
PositionCost $
EmployeeCost $
PBCPBC
PBC Commitment Processor
FM/GMFM/GM
Original Budget
Pre-Commitm
ent Commitment
Actual Expenses
Available Balances
BPS Adopt Budget 10000 < 10000 >
PBC Vacant Position 6000 < 4000 >
PBC Filled Position 0 6500 < 3500 >
Payroll Employee Paid 100 6400 < 3600>
PBC
HR OM&PAHR OM&PA
Position Data
Employee Data
PCPPCP
Data collection
PositionCost $
EmployeeCost $
PCPPCP
Data collection
PositionCost $
EmployeeCost $
PBCPBC
PBC Commitment Processor
PBC Commitment Processor
FM/GMFM/GM
Original Budget
Pre-Commitm
ent Commitment
Actual Expenses
Available Balances
BPS Adopt Budget 10000 < 10000 >
PBC Vacant Position 6000 < 4000 >
PBC Filled Position 0 6500 < 3500 >
Payroll Employee Paid 100 6400 < 3600>
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Communications and Training Highlights
Aug Sept Oct. Nov
2006
Dec
End User Training
Jan
Go Live Campaign
Process Walkthroughs On- going specific messages
2007
My change and training guide
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Budget Training Curriculum
Basic Navigation
5 HoursWBL – 5
R3100Basic Navigation1 hr WBL
October - December 2006
BU200Revenue &
Expenditure Proj.8 hrs ELT
43 Hours
January - February 2007
BU250Budget Norming8 hrs ELT
BU270Specialized
Planning2 hrs ILT
BU280Budget
Planning5 hrs ILT
ILT – 15ELT – 28
BPS100Budget Planning
& Simulations1 hr WBL
BU220Prelim. Provisional
& Final Budgets8 hrs ILT
Budget
WI100Account String
Wizard1 hr WBL
BU230ResourceAllocation
8 hrs ELT
BU301Budget SystemAdmin (Part 2)
4 hrs ELT
Hours Grand Total 87
Target Audience Size 368
WBL = Web Based Learning
ILT = Instructor Led Training
RVC = Recorded Virtual Classroom
VC = Virtual Classroom
ELT = Expert Led Training
Budget
3 HoursWBL – 3
BU210Financial
Forecasting8 hr ELT
July 2007
MR200BTS Mgmt Reports
2 hr WBL
Budget & Position Control
ELT – 20ILT – 21
BU262Budget Maint.
Budget Services1 hr ILT
BU260Budget
Maintenance6 hrs ILT
41 Hours
BU300Budget SystemAdmin (Part 1) 4 hrs ELT
PC200Position Change
Processing8 hrs ELT
BU100Budget Overview
Central Office 4 hrs ILT
BU200Revenue & ExpenditureProjections
8 hrs ELT
BU105Budget Overview
Schools6 hrs ILT
BU265Budget Maint.
Schools4 hrs ILT
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More Project Information
• To learn about the BTS project:
– Check out the BTS Website (www.lausd.net/bts)– E-mail [email protected]
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Questions
• Before leaving the room, please make sure that you have
– Signed in– Completed the process walkthrough assessment survey
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