F 3 STANDING COMMITTEES. B. Finance and Asset Management Committee. HR/Payroll Modernization Project Update BACKGROUND
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1 VII. STANDING COMMITTEES F 3 B. Finance and Asset Management Committee HR/Payroll Modernization Project Update BACKGROUND Through HR/Payroll Modernization, the University of Washington is replacing its 33-year-old payroll system with a modern human resources and payroll system provided by Workday and is establishing a set of standardized practices for human resources and payroll functions throughout the institution. At its February 2014 meeting, the Board of Regents adopted a project budget of $70 million for the HR/Payroll Modernization (HR/P) project; approved project financing up to $65 million; and delegated authority to the President or his designee to execute the vendor contract. The contract with Workday was executed on February 20, The project, investment plan, and solution vendor were also approved by the state of Washington Office of the Chief Information Officer. Following completion of each major project phase, the Board of Regents will receive a project update. Bluecrane, an independent quality assurance firm, is providing ongoing risk assessments to help mitigate potential implementation issues. The monthly quality assurance assessments are available upon request. Implementation of the new system began in March 2014; the new system is expected to go-live on December 20, 2015, to support the first payroll of 2016 (see attachment 1, HR/P Implementation Timeline). F 3/201-15
2 VII. STANDING COMMITTEES B. Finance and Asset Management Committee HR/Payroll Modernization Project Update (continued, page 2) PROJECT STATUS UPDATE The project is halfway through implementation; go-live is 11 months away. The Design phase of the project was completed October 31, Major accomplishments in this phase include: Defined the processes, interfaces, and data for Workday to ensure that Workday will meet UW's specified requirements. Held design sessions for human resources and payroll processes with nearly 300 subject matter experts representing all major organizations across the University. Made key design decisions. These include: o Move to a biweekly payroll schedule instead of a semi-monthly schedule. o Implement actual time reporting instead of exception time reporting for FLSA overtime-eligible employees. o Align leave accrual elements to the new biweekly pay schedule. o Move to a standard workweek across UW that will run Sunday through Saturday. o Serve as the system of origin for data that is provided to the Washington State Health Care Authority; create and maintain benefits eligibility records electronically; provide online benefits enrollment; and send electronic updates to the state's PAY1 system. o Use position management as the default staffing model across UW. Assessed impacts of design decisions on units, roles, and university policies, and created the change management plan to guide organizational readiness efforts. Created UW@Work, the project's newsletter, and distributed to the UW workforce (see attachment 2, November 2014 e-newsletter). Uploaded initial employee data into Workday, including employee names, job titles, contact information, location, and a simulation of supervisory organization. Identified 96 campus integrations to Workday that will need to be created for units/departments to send or receive direct human resource and payroll information. F 3/201-15
3 VII. STANDING COMMITTEES B. Finance and Asset Management Committee HR/Payroll Modernization Project Update (continued, page 3) CONFIGURATION & PROTOTYPE PHASE ACTIVITY The project is now in the Configuration and Prototype phase, which runs through May In this phase, the project team will configure Workday to the specifications that were determined in the Design phase. Core activities include: Complete configuration and prototyping of system in preparation for testing phase; conduct project team testing of the Workday system design and integrations with campus systems. Build integrations and develop customized reports for operational requirements. Complete loading and validation of more robust employee data in Workday. Inform and secure buy-in from the University community about the project, impacts, and preparedness activities; develop readiness teams to drive awareness and required action. Partner with UW Information Technology to help technical system owners of impacted downstream systems understand the new data model and implications for their systems. Identify the recommended ongoing operating model. BUDGET UPDATE The HR/Payroll Modernization project completed the Design phase under budget. March 1, 2014 October 31, 2014 Total Project Budget Budget Spent to Date % of Budget Spent % of Time Elapsed $67,464,473 $15,425, % 28.57% Variances in the budget actuals to date versus projections are due to: streamlining the process for Workday travel reimbursement; hiring staff as UW employees instead of consultants; a planned delay in hiring testing staff; and personnel recruiting expenses and room rental expenses running less than budgeted. Attachments 1. HR/P Implementation Timeline 2. UW@Work November 2014 e-newsletter F 3/201-15
4 HR/P Implementation Timeline F 3.1/ ATTACHMENT 1 Page 1 of 1
5 Page 1 of 3 November 2014 UW Home Page HR/Payroll Modernization Home Page Dear V'Ella, As we continue to prepare for the University s conversion to Workday, it is important to recognize the outstanding efforts made by everyone involved in the project so far, particularly as the Design phase is now complete. People from across all three campuses have dedicated their time and effort focusing on the success of the HR/Payroll Modernization project, finding the time for the work on top of their regular duties and busy schedules. The new HR/Payroll system s benefits will have a broad reach to the University community, including faculty, staff, students, unit administrators, and central administration. The huge investment of time and resources today will yield innumerable benefits in the future. Given the competing demands that everyone participating in the project is experiencing, please be patient but persistent in seeking resolution to your needs, recognizing that small lags in response time or inadvertent oversights are a temporary sacrifice in the pursuit of a state-of-the-art, integrated system. One of the largest undertakings that Academic Personnel is currently engaged in is the preparation of faculty data to be loaded into the Workday system. This is a labor-intensive task to which our Strategy and Information Management (SIM) team has already devoted many weeks, and will continue to dedicate themselves to as we progress through the project. The benefits of this specific work will be an increase in the accuracy and availability of faculty data after the conversion and a reduction in duplicate entries caused by the various shadow systems currently in use. Units will have access to historical faculty data and trend analysis not currently available to them. By having an integrated HR information system, there will be a single source of truth; both central administration and unit administration can be confident that going forward, the data and reports they generate will be accurate and consistent across the University. As we all continue to devote our time, energy, and expertise to the preparation and implementation of this vital system improvement, please find ways to recognize each other for the important work that s being done. Thank you to each and every one of you for your commitment to our collective success in this transformative endeavor. Cheryl Cameron, Vice Provost for Academic Personnel November 2014 UW@Work is a quarterly e-newsletter designed to provide information about the HR/Payroll Modernization project. UW TO LAUNCH NEW PAYROLL AND HR SYSTEM IN 2015 The University of Washington will launch Workday, a new human resources and payroll system, in late- December 2015 as part of the HR/Payroll Modernization (HR/P) project. In addition to new technology, the project will change the way HR/payroll tasks are completed. Learn what that change entails. HR/P Project Team Completes Workday Design, Begins Building New System The HR/Payroll Modernization (HR/P) project team has achieved a major milestone with completion of the six-month Design phase to develop the configuration setup requirements for Workday, the UW's new HR and payroll system. Learn about key decisions and what's next. UW to Move to Biweekly Pay in 2016 All University of Washington employees will be impacted by the transition to Workday, the University's new HR and payroll system. During the system Design phase that just concluded, the University made key decisions that will drive the change to a modern system. BIWEEKLY IS COMING! The University of Washington will move to a biweekly pay cycle when Workday is launched in December This page is your one-stop resource for information related to this change. F 3.2/ ATTACHMENT 2 11/19/2014
6 Page 2 of 3 The decisions include moving to a biweekly pay cycle and creating a consistent workweek across UW. These decisions are directional, as other supporting decisions need to be made before specific details can be finalized. Understand how the new biweekly pay cycle and standard workweek will impact you. Boundlessly Embracing Change at UW President Michael K. Young highlighted the University of Washington s aspirations to be boundless during his annual President s Address in October. He noted that the University is training the next generation of people who will make the world a better place. To fulfill this mission, UW's faculty and staff must have adequate resources. This is why the University is undertaking a major initiative to overhaul its enterprise systems. Learn why UW is boundlessly embracing change. IMPORTANT DATES HR/P Project March June 2016 Workday Go-Live December 20, 2015 UW Tacoma Administrator Makes the Case for Workday Why does UW need a new HR and payroll system? According to Richard Wilkinson, associate vice chancellor at UW Tacoma, the answer is quite simple: "We need an integrated HR and payroll system because we are a world-class institution." Understand what he means by this statement. Process Changes: How Will I Do Things in the Future? The HR/Payroll Modernization project isn t just about implementing Workday, the new technology that will replace many of the University s outdated HR and payroll systems. It s also about redesigning and standardizing a number of University processes to make HR and payroll work faster and easier. Learn about how employees will do some things differently with Workday. Filling Information Gaps with Shadow Systems When HEPPS, the University of Washington s current payroll system, was implemented at the UW 32-years ago, it was only designed to process payroll. With no central human resources system in place, HEPPS began to serve more purposes beyond processing payroll. However, it wasn t designed to handle the magnitude of information it would need to process. University central offices and departments began creating shadow systems to fill in the information gap. HR/P Project Team Begins Loading University Employee Data into New System Each UW employee has a set of employee data that needs to be placed into Workday, the University's new HR and payroll system. During the next six months, the HR/Payroll Modernization (HR/P) project team will load vast amounts of employee data into the new system. Learn about the iterative approach to ensure employee data is accurately loaded into Workday. HR/P KEY CONTACTS Assistant Vice President and Program Director Cheryl Scott, scottc5@uw.edu Organizational Change Manager Tammy Munson, (206) , munsot@uw.edu Communications Manager Joni Kirk, (206) , jonikirk@uw.edu Communications Specialist Karen Hunt, (206) , karenh24@uw.edu Training Manager Christa Sturgis, (206) , csturgis@uw.edu General HR/P Questions hrpmod@uw.edu KEY LINKS Need more information? Check out the HR/P website! You ve Got Questions, We ve Got Answers Q: I get paid a monthly amount that is split equally between paychecks I receive on the 10 th F 3.2/ /19/2014
7 Page 3 of 3 and the 25 th of each month. If we are moving to a biweekly pay cycle with 26 paychecks instead of semi-monthly with 24 paychecks, will I receive less money? A: The overall amount of an employee s yearly salary will not decrease. However, because employees will receive two additional paychecks per year with the biweekly pay cycle, the amount of pay received biweekly will be slightly less than the current semi-monthly amount. Each biweekly pay period will contain 14 days, which equates to a regular 80-hour pay period. A consistent pay cycle will help employees to understand and verify worked and paid hours. Employees will receive two "extra" paychecks each year when pay day occurs three times in a given month. This third paycheck can be used to offset the slightly smaller paychecks. For tips on personal budgeting with biweekly pay or to calculate a projected gross biweekly pay, visit Submit your questions to us and we will answer questions in this section of each newsletter. You also may view other frequently asked questions online. THIS MESSAGE WAS SENT BY: HR/Payroll Modernization, 1100 NE Campus Pkwy, Box , Seattle, WA University of Washington Contact Us Privacy Policy Manage Your Subscriptions Unsubscribe F 3.2/ /19/2014
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