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Beyond ERP & Survey Results

Bob SaboExecutive Director, Public Sector Solutions

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Topics

•Beyond ERP•Survey Findings•Transparency

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Money Saving Idea

The goats belong to Rent-A-Ruminant, a Vashon Island-based company that rents goats out to property owners and government agencies who need to clear vegetation. Rent-A-Ruminant was hired by the Seattle Department of Transportation.

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Money Saving Idea

International Goat Landscapers

and Laborers Union

IGLLU

100% Custom – Fortran/Cobol – Punch Cards, COTS? ERP? What’sThat?

A Brief History of Business Applications

1970’s

1980’s

1990’s

2000’s…

Internal (MIS only) – Mysterious peopleIn cold rooms behind closed doors.Mainframe rules.

First COTS/ERP Apps (GL/AP) but still mostly custom – End user terminals (green screen) appear

Internal (MIS with some end useraccess.) Mainframe still rules but Mid range (and yes the PC) appears.

ERP grows – Many more applications – PC/Client Server gives birth to “Super User”COTS takes the lead. Y2k a major driver

Departmental – MIS no longer rules. Business users gain. StillInternally focused to organization

Internet changes everything –Tremendous productivity gains/cost savings. Data for analysis, not just recordkeeping. Transparency is a major requirement.

External Focus – Move outsideOrganization. Citizens, clients,vendors have access

FOCUS

Five Key Trends in Government Software Applications

• Lean Processes• Systematic and continuous process improvement

• COTS• Increasing utilization of Commercial Off the Shelf Software

• Business Intelligence• Using technology to support decision making• Performance driving budget decisions

• Shared Services• Multiple organizations benefiting from the same software and

technology infrastructure.• External Facing Applications/Services

• Transparency Citizen Access• Customer Service Social Services

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COTS – Commercial Off the Shelf Software

Systems Issues

• Old custom systems still around– UI systems average 22 years old

(NASWA)– MMIS, Tax, some ERP 10+ years

old

• Even 10 year old system not architected for external access

• Expensive to maintain• Nearly Impossible to upgrade

• Excel• Budgeting• Fed/Special Reporting• CAFR

• Multiple versions of the truth• Hidden effort is still costly• Multiple data handoffs• Audit issues

Vendors and customers have moved aggressively to replace

Custom applications with Off the Shelf ones!

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Topics

•Beyond ERP•Survey Findings

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Survey Results24 States Responded

Self Grade - Ability to deliver timely, useful financial reports to management

71% - budget reductions have had an impact on their ability to support financial reporting requirements and demand.

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Survey Results - Timing

• 75 percent of the states note that it takes four to six months to complete and finalize the CAFR

• None of the states surveyed can complete the report in three months or less.

• However, two thirds of states note that they would like to complete and finalize the CAFR in fewer than 120 days.

Is the bottleneck component units? Systems? Necessity?

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Survey Results - Efficiency

33 % - CAFR process is extremely or somewhat inefficient

4% - four percent say that CAFR generation is completely automated.

71% - percent of the states noted that 25 percent to 50 percent of their financial staff’s time is spent on moving data or maintaining in-house developed routines to support the financial consolidation and reporting process.

States are acting!

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Survey Results – Data Analysis

25% - Of states surveyed note that inefficient manual processes pose the biggest challenge for analyzing data

25% - Not able to gain sufficient insight from their data and make use of it to drive actions or contribute to overall performance improvements

21% - Say their challenges divert time, money and resources from citizen programs or make it difficult to get timely information to managers who make decisions about funding and planning for these programs

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Charting a Path

• Examine current processes – define and develop organization-wide priorities and strategies that include information architecture and transition timelines

• Evaluate technology options – choose flexible financial management technology tools that enable states to start small and add new functionality when they need it

• Open doors – select open, standards-based solutions that enable integration between disparate systems and data sources

• Think analytically – invest in business intelligence solutions that provide financial managers with the timely information they need to make more effective decisions

• Partner for success – work with trusted technology providers that can help define information management strategies and architecture requirements to capture, secure, analyze, use and share data effectively and in real-time across the organization

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Topics

•Beyond ERP•Survey Findings•Transparency

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Transparency

•Groundswell– All 50 states have transparency sites– Quality/comprehensiveness varies

Following the Money 2011 – US Public Interest Research Group

2011 PIRG

ReportOnline Access to Government

Spending Data

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Transparency

•Major Changes in Grades 2010 to 2012

Following the Money 2012 – US Public Interest Research Group

2012 PIRG

Report

Online Access to Government Spending Data

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Transparency

Following the Money 2012 – US Public Interest Research Group

Major Changes in Grades 2010 to 2012

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Indiana Transparency Portal

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Define Transparency?

http://sunshinereview.org/core/

• 10 Criteria

• Goal – More than exposure

• Ratings for States, Cities, Counties, K12

Oracle Whitepaper:

Transparency in the Public Sector:

Its Importance and How Oracle Supports

Governments Efforts

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AQ&

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