SFIS in the. Financial Data in Supply

Transcription

1 SFIS in the Target Environment Financial Data in Supply

2 Agenda General Orientation on ERPs in DOD COE Overview SAP and Data Standards Demo Scenario Overview Live Demonstration

3 General Orientation on General Orientation on ERPs in DOD

4 What is an ERP? An ERP package is a business software system that allows an organization to: Automate and integrate the majority of its end-to-end business processes Share common data and practices across the entire enterprise Produce and access information in a real-time environment 4

5 Why Implement ERPs? Provides an integrated environment for one source of truth amongst stakeholders not available in legacy environment. Reduce the number of standalone systems that duplicate data and cause data inconsistencies. Standardize business processes without sacrificing the uniqueness of each mission. Support timely/consistent decision making through quality data. Support a real time and effective interface environment. Improve the service level support Provide ongoing continuous improvement during the system life cycle by implementing a system that t can be upgraded d and evolve along with the BEA. Achieve clean audits through reliable/accurate financial data Reduce negative unliquidated obligations and unmatched disbursements. 5

6 SAP/Oracle in DOD Today Live: Army SAP enova (Material Supply and Services) Live Army SAP LMP (Wholesale Supply) Live Army SAP GFEBS (Financial Management) -- Live DLA SAP EBS (Wholesale Supply/Financial Management) Live Navy SAP NavyERP Live Navy SAP Fleet (Ship Maintenance) NEMAIS Live MSC Oracle Finance/Logistics Live SDDC Oracle Finance/Logistics Live DAI Oracle Finance/Logistics Live Limited Deployment or Under Development Army SAP TEWLS(Medical Logistics) -- Development Army SAP GCSS-Army (Logistics) Limited Deployment/Dev Navy-MC Oracle GCSS-MC Development USAF Oracle DEAMS (Financial Management) Limited Depl/Dev USAF Oracle ECSS (Logistics) Development DIMHRS PeopleSoft HR Core Development Completed Retired: DLA SAP BSM (Wholesale Supply) Retired Navy SAP SPAWAR (Working Capital Fund) Cabrillo Retired Navy SAP NAVAIR (Program/Financial Management) SIGMA Retired SAP and Oracle Touch Virtually Every Industry and can do DOD s Business 6

7 COE Overview

8 Introduction BTA has established an ERP-Center of Excellence that will provide a common platform to simplify, standardize and streamline end-to-end dbusiness process COE will be used to: Provide a common platform to advocate end to end business processes Validate and establish enterprise-level standards for automating and integrating g the business processes supported by the ERPs Provide a common collaboration area where DoD can perform or share the proof of concepts Provide a common platform to standardize testing of product configurations & RICE objects Provide common approach to enterprise wide master data management strategy and governance policies

9 Organization Hierarchy & Master data definition E2E Implementation Roadmap COE will utilize iterative cycle to introduce business capability using the building block approach. Each phase would have the duration of about 4-6 months duration. Financial & Logistics Baseline Configuration E2E / Business capability Budget to Report Order to Cash Procure to Pay Procure-to-Pay (SRM) Contracting Scenarios Procure-to-Pay (ECC 6.0 with SRM) Enterprise Portal solution for WAWF Procure-to-Pay (ECC 6.0 with SRM) Treasury Disbursements Technical Enhancements for interoperability and RICE objects Acquire to Retire Plan to Stock Service Request to Resolution Cost Management Environment Liabilities Concept to Product Hire to Retire (Minimal scope) Interoperability: Simulate interoperability across multiple ERP environments Defense Forces & Public Security (DFPS) capabilities MDM: Data Synchronization Business warehouse Supply Chain : Supply Chain Optimization & Supply Network Planning

10 BTA COE Mission Collaboration with DOD Components to Prototype Solutions to Common Problems Collaboration with SAP to synchronize ERP Capability with DOD Enterprise Requirements Collaboration with external agencies to synchronize ERP Capability with Enterprise Requirements Collaboration with Internal Senior DOD Leadership to educate and inform and prioritize future development Rationalizing the Enterprise to synchronize ERP Vision and Enterprise Vision Providing a Forum so working groups can brainstorm the future of SAP in DOD from an Enterprise Perspective

11 Value Proposition COE will be a working prototype Show case proof-of-concepts using the latest versions / enhancements of the software COE will use Funding, Organization structures, Sample Contract data from real world application COE will be a test bed for solving common E2E Process problems With 3 Major SAP implementations few problems are isolated to one rollout Test Bed allows requirements validation, evaluation of potential solutions before implementing it COE will show the realm of the possible for E2E processes using ERP functionality Enable senior decision makers to understand ERP Capabilities and formulate vision Mitigate risks for system implementation by providing a uniform starting point for configuration COE will prepackage Business Process documentation Leverage reusable documentation/configuration to adapt to a component s needs COE content will be documented with analysis of different options, rationale and recommendation

12 SAP and Data Standards

13 SAP Functional Modules Sales and Distribution Supply & Materials Management Production Planning MM SD FM FI FI Funds Management IM CO Investment Management Financial i Accounting Controlling Quality Management Plant Maintenance (MRO) QM SRM PM HR Single Integrated Database WF AM PS Asset Management Project Systems Human Resources Time & Attendance CATS PAY IS-PS Workflow Industry Solutions - Public Sector 13

14 Process Flows Within the ERP Budget Allocation All Transactions Time Management Requirements Comptroller Budget Consolidation Person Hired Assignment Control Monthly & Annual Close Event Management Initial Planning Budget Exhibits Person Trained & Certified Reports Certification Control Budget Formulation P-Card Purchase Finance Echelon 1 Common Support MRP Budget Allocation Head Quarters Echelon 2 ERP Supply Advanced Planning Goods Receipt & Acceptance Buy a Weapon System Field Activities Purchase From Vendor Maintenance Inventory Internal, External, & Consignment Requisitions Purchase Order Invoice Buy Services from Field Equipment Receipt & Acceptance Create Notification Inventory Reserved Parts Issued Funding Doc Purchase Executes MILSTRIP Purchase Repair Completed Field Executes Work Unplanned Maintenance Order Asset Accounting Create Maintenance Order Configuration Management Field Bills Purchase From Vendor Fixed Asset Receipt & Acceptance Order Settled 14

15 The Purchase to Pay Problem in DOD ERPs Any ERP Cross Reference Table PR/PR Line Number/PR Line Funding ID PO/PO Line Number/PO Line Funding ID PIIN/CLIN/SLIN Receipt Validation From X-Ref Unblock Invoice PIIN-CLIN-SLIN Disbursing System Entitlement and Disbursing Outside the ERP Treasury Disbursement With Contract Info Only Disbursement PIIN-CLIN-SLIN PR PR Line Number Purchase Purchase Goods Invoice PR Line Requisition Order Receipt Receipt Funding ID Expenditure Contracting Outside the ERP MATCH From X-Ref Blocked Invoice Use x-ref Confirmation i Ready To Pay File PR PR Line Number PR Line Funding ID PIIN CLIN SLIN Receipt Report PIIN CLIN SLIN APVM (Prevalidation) Goods Receipt and Invoice Receipt Outside the ERP Invoice PIIN-CLIN-SLIN PPVM (Prevalidation) Obligation Validation Invoice PIIN-CLIN-SLIN MOCAS System Contract Admin Contract Info PIIN-CLIN-SLIN Contract Writing System Manual Contract Info PIIN-CLIN-SLIN Contract Info PIIN-CLIN-SLIN Material PIIN-CLIN-SLIN Receivin g Activity WAWF Receipt Validation By PIIN CLIN SLIN MOCAS System Entitlement Invoice PIIN-CLIN-SLIN EDA The Vendor Invoice PIIN-CLIN-SLIN WAWF 15

16 DOD Financial Data Standard - SFIS A1 Department Regular Code (Note 1) B1 Budget Function/Sub-Function Code T1 Transaction Type Code CA1 Funding Center Identifier A2 Department Transfer Code (Note 1) B2 Budget Activity Identifier (Note 3) T2 USSGL Account Code CA3 Cost Center Identifier A3 Main Account Code B3 Budget Sub-Activity Identifier (Note 3) T3 Debit/Credit Indicator CA4 Project Identifier A4 A5 A6 Sub-Account Code Apportionment Category Code Receipt Indicator B4 Budget Line Item Identifier (Note 3) B5 Major Acquisition Code (Note 3) B6 Object Class Code T4 T5 T6 Begin/End Indicator Transaction Effective Date Transaction Post Date CA5 CA6 CA7 Activity Identifier Cost Element Code Work Order Number A7 Sub Classification Code B8 Contingency Code (Note 5) T7 Transaction Amount CA8 Commodity Code (Note 6) A8 Period of Availability Fiscal Year Date B9 BEA Category Indicator Code T9 Exchange/Non-Exchange Indicator CA9 Transaction Quantity A9 Reimbursable Flag Indicator B10 Line of Business Code T10 Custodial/Non-Custodial Indicator CA10 Unit of Measure Code A10 A11 A12 A13 A14 A15 A16 A17 A18 A19 A20 A21 A22 A23 A24 A25 A26 Fund Type Code Advance Flag Code Authority Type Code Availability Time Indicator Borrowing Source Code Definite Indefinite Flag Indicator Public Law Number (Note 2) Program Report Code TAFS Status Indicator Year of Budget Authority Indicator Direct Transfer Agency Code Direct Transfer Account Code Transfer To/ From Deficiency Flag Indicator Availability Type Code Expiration Flag Indicator Financing Account Indicator Code SFIS Governance Action Req d B11 Program Code (Note 5) O1 Organization Unique Identifier (Note 4) O2 O3 Agency Disbursing Identifier Code Agency Accounting Identifier Code Derived at Time of Report T11 T12 T13 T14 T15 T16 T17 T18 T19 T20 T21 T22 T23 TP1 TP2 TP3 Foreign Currency Code Country Code Entity/Non-Entity Indicator Covered/Uncovered Indicator Current/Non-current Indicat DUID (Note 6) Expense Type Code (Note 6) Revenue Type Code (Note 6) Liability Type Code (Note 6) BETC Code (Note 5) FMS Customer Code FMS Case Identifier FMS Case Line Item Identifier Federal/Non-Federal Indicator Trading Partner Indicator Code Business Partner Number Delivered User Def FP Char CA11 CA12 CA14 Asset Type Code Asset Unique ID MEPR Code Note 1: Can use Characteristics to correct the incorrect field length Note 2: This is a delivered field and is directly entered upon initial budget entry but derivation may be required for follow-on entries Note 3: Configuring i Functional Area and Funded Program as Objects and assigning characteristics is configuration however a single customization would be required to have the Characteristic selection appear on the Master Data Records for these elements Note 4: Creation of an Organizational Identifier for any Funds Center is simple configuration however SFIS Governance must identify whether they want the OUID of the executor, the budget holder or the reporting entity Note 5: Programs cannot implement these elements without further guidance from SFIS Governance Team Note 6: Item Deleted by the Governance Council Eliminated Delivered Field Delivered User Def Fund Char Delivered FACTS Target Field Delivered User Def FC Char Requires Customization Delivered User Def CI Char Delivered User Def GL Char Delivered User Def FA Char 16

17 DLMS/SFIS - FA2 Segment - Example DLMS Qualifier A1 A2 A3 FA2 Segment Name DEPARTMENT INDICATOR SFIS Data Code SFIS Name Field Length A1 Department Regular Code 3 digit numeric How do we derive SFIS data elements within the ERP Systems US Treasury Assigned 017=Navy, 021=Army, 057= Air Force TRANSFER FROM A2 Department Transfer Code 3 digit US Treasury Assigned DEPARTMENT numeric 011=Executive Office of the President FISCAL YEAR INDICATOR A8 Period of Availability Fiscal Year Date 8 digit numeric Period in which funds can be obligated = A4 A6 BASIC SYMBOL A3 Main Account Code 4 digit Appropriation or fund account NUMBER numeric = 2020 Operation & Maintenance, Army SUB-ACCOUNT SYMBOL A4 Sub-Account Code 3 digit numeric Relates to the main account = 001 Defense Working Capital Fund, Army A5 SUB-CLASS Legacy Treasury Sub Class 2 digit Relates to Main and Sub L1 ACCOUNTING INSTALLATION NUMBER 7 Business Partner Number O3 Agency Accounting Identifier numeric 6 digit numeric TP3 Business Partner Number 9 digit alpha numeric Account to Support Treasury Reporting = 38 Interest and Profits. Relates to the Accounting Organization = DFAS PCA OM 1 st three digits are DoD follow by the 6 digit DoDAAC 17

18 FINANCIAL ORG STRUCTURE - SAP COMPANY CODE FINANCIAL MANAGEMENT AREA CONTROLLING AREA CHART OF ACCOUNTS FUND APPLICATION OF FUNDS FUNDS CENTER COST CENTER COMMITMENT ITEM COST ELEMENT GL ACCOUNT FUNCTIONAL AREA FUNDED PROGRAM Budget Object 18

19 SAP Master Data to SFIS Correlation Fund (APPN and FY) A1 - Department Regular A2 - Department Transfer (A2) A3 - Main Account (Appropriation) (A3) A4 - Sub Account (Appropriation) (A4) A6 - Receipt Account (Yes or No) A8 - Period of Availability (BY and EY) A10 - Fund Type (GF or WCF) A26 - Financing Account Indicator All Budget $$ in a Federal Solution will be assigned to a budget Object Consisting of these 5 items:..which Identify the Major Items Shown in Red but also these items to the right Funds Center (Fund/Budget Holder) Functional Area (Budget Line Item/ Activity) Funded Program (Link to Logistics e.g. WBS or Cost Center) Commitment Item (Labor/Non-Labor Category of Obl/Exp) CA1 - Funding Center Identifier of Posting Organization CA1 - Funding Center Identifier of Operating Budget Holder Organization (Derivable from the first one) if different CA1 Funding Center Identifier of the Funds Control/Availability Control Organization if Different than the above O1 OUID B1 Budget Function/Sub-Function* B2 Budget Activity* B3 Budget Sub-Activity* B4 Budget Line Item B5 Major Acquisition Code* *Derivable from the B4 T21 FMS Customer Code T22 FMS Case Identifier T23 FMS Case Line Item Identifier B8 Contingency Code B6 Object Class Code 19

20 Relating FM Master table to Legacy Lines of Accounting 20

21 Demo Scenario Overview

22 Sample Supply Scenario The scenario will have an Army requisition for a material (identified by a NSN, NIIN, FLIS Part Number) which is a standard d "stocked" DLA part. The Army requisition iti is in support of a maintenance activity on a piece of equipment which a work order/project has been created. The scenario will demonstrate how SAP supports the general ledger financial postings and how SFIS data information is created for the: Buyer's (ARMY) P2P purchasing order, receipt, invoice and cash disbursement transactions Seller's (DLA) O2C sales order, material issue, billing and cash collection transactions.

23 Scenario Overview: Setting the Stage Players Role Represented in SAP Army - Tobyhanna Legal Entity Fund Center Plant Customer DLA Legal Entity Company Code Fund Center Sales Organizations Vendor Defense Supply Center Richmond Role played in the demo Will Initiate Procure to Pay Process by creating Purchase Requisition and then a Purchase Order Holder of Budget for Initial Purchase Purchasing with Army General Fund Procurement Funds Will create Sales Order to fulfill Army demand Holder of Reimbursable Authority for accepting Sales Orders Manages Obligational Authority for WCF executed in scenario Legal Entity Plant Source of Supply for fulfillment 23

24 Derivations for Buying DLA/Army Project/WBS Structure ARMY D1001 Army IMA PROJECT D REIMBURS- ABLES D PROJECT MANAGE- MENT D MAJOR EQUIPMENT D SERVICES D CONSUM- ABLES D OTHER ARMY D1010 DLA IMA PROJECT Derivations for Selling D PROJECT MANAGE- MENT D MAJOR EQUIPMENT D D D CONSUM- SERVICES REIMBURS- ABLES ABLES D OTHER 24

25 FUNDS USED (APPROPRIATIONS) DLA: 4930-DLA DEFENSE WORKING CAPITAL FUND ARMY: AIRCRAPT PROCUREMENT ARMY - FY2010 Master data used FUNDS CENTER HIERARCHY Level 0 Level 1 Level 2 Level 3 FUNDS CENTER TITLE DOD Dept of Defense AR Dept of Army A AMC - Army A60-A60BB Army Sust Command A60-A60AA AMC - CECOM DLA-HQ DLA Headquarters DLA-J1 DLA - J-1 Human Resources DLA-J3/4 DLA - J-3/4 - Log, Ops, & Readiness DLA-J5 DLA - J-5 Enterprise Transformation DLA-J6 DLA - J-6 Information Operations DLA-J7 DLA - J-7 Acquisition Management WBS and FUNDED PROGRAMS Work Breakdown Structure (WBS) Funded Program in Finance Name/Title Army Master Data - Project Systems and Funds Management D D Project Management D D Major Equipment D D Consumables D D Services D D Reimbursables D D Other DLA Master Data - Project Systems and Funds Management D D Project Management D D Major Equipment D D Consumables D D Services D D Reimbursables D D Other 25

26 Live Demonstration

27 Discussion and Wrap-up