HR/Payroll Start of Year Process

Transcription

1 HR/Payroll Start of Year Process Team Lead Bonnie Russell Team Members Heather Smartt Patrick Smith Mia Stroy Lynn Andrews Lynn Riggs Karen King Process Owner Debbie Cabrera

2 Getting to know Irving ISD Located in Irving, Texas (Dallas Ft Worth Metroplex) Irving Citizen Population 218,850 Student Population 35,000+ Pre-K thru 12 grade School District 3 Early Childhood Schools 20 Elementary Schools 8 Middle Schools 5 High Schools Employees 4913 (2780 Teachers) 82% Economically Disadvantaged Ethnicity of Student Population 71 % Hispanic 13 % Black 10 % White 4 % Asian 2% Other 2 Sep-13

3 The Players and their Positions: Debbie Cabrera Patrick Smith Mia Stroy Karen King Kay Riggs Lynn Andrews Bonnie Russell Heather Smartt Associate Superintendent of Business Services Director of HR Services Benefits and Compensation Manager Payroll Supervisor Staffing Assistants Supervisor/Certification Officer HR Assistant Director of Information Systems Programmer/Analyst 3 Sep-13

4 Correct Pay Happy Employees! HR/Payroll SOY Procedures Milestones Define 03/26/2013 Measure 09/30/2013 Analyze 10/31/2013 Improve 11/01/2013 Control On-Going Team Members: Process Owner: Debbie Cabrera Team Leader: Bonnie Russell Team Members: Heather Smart, Patrick Smith, Mia Stroy, Lynn Andrews, Kay Riggs, Karen King Business Case Statement Establish proper policies and procedures for the SOY HR and Payroll processes. Problem Statement Alleviate errors in the ERP system when beginning a new school year. Need procedures to define critical processes that affect the ERP systems (ie. calendars, pay bands) Goal Statement Reduce employee pay errors. Assign ownership to SOY processes. Create better communication and understanding between departments. 4

5 Objective for Process Document replicable, efficient processes which result in 100% accurate for salary and personnel rollover. Stop reinventing the wheel. Document! Streamline processes for hiring. Insert graph other info about customer data collection Receive all required information on time to successfully process SOY. Clearly define everyone s role in the processes. Seamless salary roll and everyone is paid correctly. Stipends in the system correct and on-time. Correct deductions taken out of employee s checks. Timely review of proofs and data to verify updates. Establish better communication and understanding between departments. Measurement: Required material delivered on-time and correct. Review salary rolls for accuracy. Log problem and determine reason for error Adjust procedures accordingly 5

6 Schedule Milestones Project Start Date: 03/26/2013 Define: 03/26/13-05/09/13 Measure: 09/30/13-10/31/13 Analyze: 11/01/13-12/31/13 Improve: 01/01/14-03/01/14 Control: On-Going Closure/Handoff to Process Owner: TBD based on project results. Estimating 4/1/

7 Multiple Data Sources Student calendars approved Staff calendars created from Student calendar Staffing changes School Board approves salaries Benefits changes New teacher Check requests New hires 7 Sep-13

8 Analyze What are the problems? Multiple people developing calendars. Delays in providing IT staff approved employee calendars. Delays in providing IT staff salary tables and pay band information. Lack of communication within and between departments. Lack of understanding other department s role in process. No clear leaders. No one person accountable for process. 8

9 Tracking HR/Payroll Errors Were key materials (calendars and salary tables) delivered on time and complete? Track all Payroll problems Determine reason for error Is it related to the SOY procedures? Quantitative Analysis ($$$) Employee over/under payment Employee not receiving paychecks Employee getting extra paychecks Time costs for corrections. Log time it takes to correct error. Person responsible for error (training issue?) 9 Sep-13

10 Measure Key Performance Indicators KPI Outcomes Outputs KPI Inputs & Process Metrics Meet Deadlines Improved Inter and Departmental Communication Error Reduction Track payment errors Determine root cause of errors 10

11 Beginning the APQC Process Identifying the problems Choosing the best team of players Brainstorming issues and desired results Developing a plan Assigning responsibilities Defining processes Documenting the details Assessing success 11 Sep-13

12 Defining the Fishbone 12 Sep-13

13 Root Causes: Picking apart the Bones No one in charge No defined responsibilities. 13

14 Environment Who s accountable? Lack of accountability was a common theme. 14 Sep-13

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16 Equipment Do we have the right tools? Everyone is doing the same process differently! 16 Sep-13

17 Materials Garbage in = Garbage out Accurate information is the key to successful data entry. 17 Sep-13

18 Measurements Did we succeed? Goal: 100% Accuracy on the first payroll of the year! 18 Sep-13

19 HR/Payroll SOY Processing S I P O C Suppliers Inputs Outputs Customer Campus Departments Employees HR Payroll IT Supt Office Directors Facilities Food Service Vendors Calendar Design (Approvals) Salary Schedules Raise % for Pay Bands Benefits file Deductions Stipends Data Verification Proof Reports Compensation Letters Total Compensation Letters Proof Reports (Signed Verifications) HR Memo for start/end dates Employees HR Payroll IT High Level Process Start Board approves Student Calendar. HR creates Staff Calendar based on Student Calendar HR create Salary Tables and verify/update Pay Band detail. Teacher increase information due 4/1. All others due 5/1. HR to verify years of service and salary. Update calendars, salary tables, and pay band data in MUNIS. Process salary increases. Award Accruals. Update Kronos. Update employee Deductions. Update employees not automatically processed. Update reports. Create employee letters. End 19

20 Analyze - Process Analysis Define detailed Project Management Plan 20

21 Deadlines and Responsible Parties Assign Dates and Responsibilities Monitor! Keep track of items that need to be revisited in the Parking Lot. 21 Sep-13

22 Communication! Managing the Shared HR/Payroll Calendar Added a Shared HR/Payroll Calendar to Outlook. All personnel involved in the SOY process was granted access to view and add tasks to the calendar. Date management no excuse not to know when a process needs to be run or materials are due. 22

23 Flowchart the Processes 23 Sep-13

24 Document the steps in the Process Signature = Accountability 24 Sep-13

25 RACI Make someone accountable! 25 Sep-13

26 Improve - Pilot Problem Findings Missing or Incomplete Calendars. Calendar start dates not clearly communicated to employees. Staff development days not clearly communicated to Paraprofessionals. Calculation errors in Salary tables due to manual manipulations. Confusion understanding Pay Bands. Lack of communicating salary information for employees on Pay Bands. Lack of understanding the impact of dates in system. Missing accruals. Define and improve use of proof reports. Yearly salaries divided by 11 instead of 12 Include after date used incorrectly TRS deductions on retired rehires 26

27 Improve - Implementation Plan Conduct status meetings throughout project. Maintained updated project plan with clear deadlines and responsibilities. Keep people in key areas informed. Support required from District leaders. Cut down on s follow project plan! Assessment meeting planned for October. Collaborate on success and failures of first year implementation. Update SOY implementation plan accordingly 27

28 Improve - Cost Benefit Analysis Establish base line at October HR/Payroll Summary meeting. In the process of documenting payroll errors for July, August, and September. Track unrecoverable payroll errors (overpayments) Less calls to payroll for pay errors. Less frustrated employees Priceless! 28

29 Success Already! Meet ALL deadline! First time ever. Significant reduction in traffic. Reduced amount of calendars managed in district. New positions were placed on existing calendars. No more cafeteria style calendar creations. Used proof reports for pre-salary roll to identify potential problems with Salary Roll processing. Correct problems prior to roll. Found additional methods to expedite repetitive data entry. Mass entry of stipends. Mass entry of deductions for new hire August payments. 29

30 Control Address 12,11, and 10 month salary roll errors and issues. Identify exceptions and anomalies manual overrides. Develop, assign, and monitor all proof reports designed to catch payroll errors. Train/retrain key employees? Log over/under payments. Track cost of error in dollars and manpower. 30

31 Control - Process Management Assess SOY HR/Payroll for school year. Review issues found. Adjust processes accordingly. Process documentation completed by December Transfer process to owner in Spring

32 Measurements? Reduce time and labor costs for payroll corrections. Empathy between departments better understanding of roles in process. Eliminate potential Management Letter concerns. Improve internal controls. Quantify and publish cost of errors for all in HR and Payroll departments. Accountability. Stress reduction priceless! 32

33 Key Findings Key Findings Main point Incomplete processes found. Lack of accountability in some areas. Critical deadlines missed. Lack of understanding between departments. Key Concerns Main point Manpower to address needs found in project. Employee turnover. Snowball affect of missing key deadlines. 33

34 Next Steps Continue monitoring processes. Complete all documentation. Hold Team Members accountable. Prioritize RACI. Refine and Update project implementation plan. 34

35 Q & A 35