WD COA Business Use Cases - your.yale.edu · Workday COA – Business Use Cases for Consistent COA Segment Usage Last updated 05/03/2017 3 of 23 Workday@Yale USE CASES: General Business

Workday COA – Business Use Cases for Consistent COA Segment Usage Last updated 05/03/2017 1 of 23

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Workday Chart of Accounts – Business Use Cases for Consistent COA Segment Usage


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Table of Contents USE CASES: General ..................................................................................................................................................................................................................... 3

USE CASES: Activities and Programs ............................................................................................................................................................................................ 9

USE CASES: Yale’s Internally Designated Funding (including selected Oracle Award principles).............................................................................................. 12

USE CASES: Gifts ........................................................................................................................................................................................................................ 17

USE CASES: Research and Grants............................................................................................................................................................................................... 18

USE CASES: Patient Care ............................................................................................................................................................................................................ 19

USE CASES: Agencies and Investments .............................................................................................................................................................................. 21

USE CASES: Buildings, Facilities, Software ................................................................................................................................................................................. 22


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USE CASES: General

Business Use Case How it’s done Today How it will be done in Workday

Ongoing Functional Activities Project, Task, Org, Award Program

Activities grouped by University mission (line of business) – significant for reporting to Dean / Chair / Director

Project - the functional classification gives us line of Business/mission

Program – the Program Hierarchy will group these together by University mission (line of business)

External Requirements

• GAAP requires that expenses be presented by functional classification. At a minimum the expenses must be separated into program services, management and general, and fundraising. Program services should be broken out in sufficient detail to provide readers of the financial statements with a clear understanding of the not-for-profit’s activities.

• Functional classification reporting is required on the IRS Form 990 which the University is required to file each year.

• The University is required to participate in the IPEDS (Integrated Postsecondary Education System) survey for the US Department of Education which requires classifications of expenses by program in a consistent manner across participants.

• Certain Programs will be used in the preparation of the federal F&A rate calculation.

Yale Requirements

• The Provost has requested that the Workday chart of accounts and reporting provide a clear view of activities that are the same in nature but performed in multiple cost centers. At a minimum this is required for:

o IT


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o Fundraising/Development o Facilities o Business Offices o Security o Human Resources

• Officers and Deans have expressed a need to readily report on certain activities that occur across multiple cost centers. These activities would be large strategic initiatives and may be multi-disciplinary.

• Officers, Deans and Directors have expressed a need to report on “line of business” or different missions. These activities cross many schools and units.

Administrative activities where certain programs will be REQUIRED as leaf-level programs

Various Projects or Orgs The following programs will be required as leaf-level programs that roll up to School and Unit Administration in the program hierarchy: • PG00051 Business Office Operations • PG00271 IT Support – Local • PG00401 School and Unit Administration ** • PG01098 Human Resources Activities – Local • PG01593 Security – Local (other than supplied/billed by Yale Police

and Security) • PG01423 Facilities Operating Activities – Local (not supplied/billed

by Yale Facilities) • PG00052 Recruiting and Retention - Faculty • PG00372 Recruiting and Retention - Staff ** For Target Units that are university administrative units (ex: HR, Police/Security, OCR, EHS, etc.),other than business office costs (which go to PG00051). The remaining “local” administrative activities should not to be split between PG00401 (School and Unit Admin) and PG00363 (General University Admin); please use ONLY PG00363.


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The following programs will be required as leaf-level programs that roll up to Student Services in the Program hierarchy: • PG00013 Recruitment of Students The following programs will be required as leaf-level programs that roll up to Fundraising & Development in the Program hierarchy: • PG00056 Fundraising and Development • PG00053 Alumni Activity and Events • Or one of the more detailed programs that roll up to the Program

Summary of Fundraising & Development NOTE: the Program represents the activity that your unit is engaged in. For example, a clinical or academic program is the activity. If you have ITS charges billed to this area, it does not qualify for PG00271. Yale ITS will bill your program as part of the charging instructions that you provide. However, a departmental or division’s ITS team activities would use PG00271. Why?

• The Provost, Officers and Deans have a need to readily report on certain activities that are embedded in various units and occur across multiple cost centers.

• The F&A rate and Endowment Administrative Fee rate calculations need this data available.

• It will help differentiate the “Program” from the cost center in some cases.

• It will be useful in evaluating costing for University administrative costs that are allocated to the Schools and Units.

Level of accuracy required when splitting payroll costs among program hierarchy values

Varies It is important that Program be materially accurate at the Program Summary level of the hierarchy (expected to be between 20 and 25 values). This requirement may mean that payroll costing allocations need to be done by program to facilitate accurate reporting when


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faculty or staff split their time between programs that roll up to different Program Summary nodes.

This guidance applies primarily to splitting payroll costs across the various program hierarchy values, but can be applied to both payroll and non-payroll costs. Split costs:

1) At the level defined by your unit if applicable (YSM). 2) At the level required by grants. 3) For all others:

a) For salaries, should be based on having two different/distinct job responsibilities.

b) The split among programs should be no smaller than 20%, should be made only when the split provides important information to support management understanding and decisions.

c) If there is a non-grant split, it is acceptable to base it on a reasonable, high level estimate and only change it for material changes.

Activities requiring standalone financial management but not significant for Dean / Chair / Director reporting

Varies Project

When using Program to capture the broad mission activity and project for details, what about when the project would be null or general (ex: Student Club – Chess, Student Club – Drama, Student Clubs – general or all)

• Use the General Project (PJ000001). Do not create a separate project every time you have this instance.

When you do NOT have a requirement for detail below the Program level:


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• Use the General Project (PJ000001). Every cost center will default this general project when selected.

• If users do have the need for a meaningful project and the general project defaults, users may change/override the General Project with a more meaningful value.

Administration activities Project or Org There is a general Admin/Support program for each major mission. Please use these programs: • Education – PG00030-Education – Leadership and Administration • Research – PG00034-Research – Leadership and Administration • Patient Care – PG00044-Clinical – Leadership and Administration When there is unit admin that we are not going to break up into various functional programs (missions or lines of business), use one of the following programs: • PG00051 – Business Office Operations • PG00401 – School and Unit Administration • PG00371 – Faculty Support Activities – Admin • PG00488 – Admin – Appointments and Promotions

Financial responsibility and management.

Org, Department, Sub-Department, SubDivision, Project

Cost Center

Planning Unit – known in Oracle as Target Unit – which is the primary mechanism for managing actual and budget financial information at the University Level

Division, Sub-Division, Department, Group of Departments

Transact on the detailed Cost Centers – the rollup (or hierarchy) gives us the Planning Unit structure

Additional granularity re: spending - what was purchased or by vendor

Invoice Inquiry / PO Inquiry Project or Task Expenditure Type Org or Award

Ledger Account

Spend Category / Expense Item Vendor Name


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Vendor Contract

Additional granularity re: revenue what was sold or customer

Local/receivable system inquiry Project or Task Expenditure Type

Org or Award

Ledger Account

Revenue Category / Sales Item Customer Name Customer Contract

Petty Cash Accounts • Cash Box – no replenishment • Cash Box – with replenishment • Study Subjects – not available

as petty cash in Workday (phased out in Oracle)

Various Petty cash will be noted by specific ledger accounts The Cost Center on the transaction will indicate the department or section involved. The Program and Project used are specified by the unit and must reflect the activity. There will not be separate projects or programs to capture petty cash activity.

Transactions in Error (sometimes called “suspense” in Oracle)

Various projects In Workday there will be one primary program (PG9999 Transaction Suspense – SYSTEM-GENERATED) that will be a reserved system value for error transactions. It is REQUIRED that the transactions in the suspense program be cleared. More information is forthcoming regarding instances where distributed departments may need to correct transactions (ex: via payroll costing updates).

Other than to “clear” transactions, users should not select PG9999 on transactions. This is for system use only. Do not map to this - any history to convert to this program will be done centrally by the Workday project team.


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USE CASES: Activities and Programs As a general note in this area, theWorkday Programs and Projects represent the overall activity being performed in the unit, not the type of expense being charged. For example, a research program may include seminar expenses; the Program entered is research, and the Spend Category reflects the seminar expenses.

Business Use Case How it’s done Today

How it will be done in Workday

Education / Teaching – degree programs (ex: Undergraduate, PhD, Masters, NP)

Project, Task, Org Program - general program listed below; other more detailed ones are available in the program list. • PG00003-Education-Instruction and Teaching

Education / Teaching – individual courses Project, Task Project

Fellowship Project

Program – the most general programs are listed below; other more detailed ones are also available in the Program list: • PG00028 – Academic Fellowship • PG01092 – Research Fellowship Project – may be used for individual fellowships where a Grant or Gift does not apply.

When the fellowship is funded by a spendable or endowment gift, the funding component will be the converted Gift.

Student Clubs and organizations

Projects, Tasks, Orgs

Program for summary of all

• PG00219- Student Organization Project for individual groups

Individual conferences / lectures / lecture series Project, Task, Org

Program – the most general programs are listed below according to mission; other more detailed ones are also available in the Program list: • Education mission


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o PG00015-Student Academic Workshops and Lectures • Research and Scholarship mission

o PG00014-Lectures and Seminars Hosted o PG00018-Conferences Hosted

• Broad-Mission Activities o PG00854-Conferences Hosted Non Academic/Research

Project for individual events

Program Usage for Gift Revenue

Various When selecting a Program for your COA charging instructions, it generally does not matter whether the transaction is for revenue or expense. The Program will sometimes be the same for both the revenue and the expense and will reflect the programmatic activity being performed (in other words, the program that is used for the financial transactions matches what you are doing). See Program definitions document and other use case guidance in this document.

Example of wher Program is not the same for revenue and expense:

When income/revenue is received for a Gift (either a spendable contribution or a distribution of endowment income), the income may be available for use in a number of programs. Business Offices often use these income balances to “fund” expenses after the expenses have been incurred in detailed programs. In these cases, income can be received into general programs that match the high-level programmatic mission:

• Education - PG00003 Teaching & Instruction (10)

• Research and Scholarship - PG00032 Research (21)

• Patient Care - PG00035 Clinical – Patient Care (31)

• Broad Mission Activities:

o Collections - PG00007 Collection Management (41)

https://your.yale.edu/policies-procedures/other/coa-segment-definitions


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o Exhibitions and Performances - PG01659 Exhibitions and Performance – General (42)

o Community-Focused and Public Service Activities - PG00261 Public Service – General (43)

o Community-Focused and Public Service Activities - PG01660 Community Focused – General (43)

• Institutional Administration and Other Support - PG00401 School and Unit Administration – Local (52)

Yale Journal Publications Project, Task Program – the most general programs are listed below and roll up to the Research and Scholarship mission; other more detailed ones are also available in the Program list: • PG00046-Publications • PG00218-Student Journals Project for individual journals/issues that require standalone financial management

Journal Editorships (faculty serving as editor in industry journal)

Project, Task One program for Journal Editorships

• PG00380-Journal Editorships-Editorial Support Project for each arrangement

Exhibitions

Summary in Org or Project Detail in Project or Task

Program for summary of all • PG00262-Exhibitions Project for individual exhibitions

Internal Service Provided (the service offering)

Varies – may be in a Project, Task or Org

See detailed conversion guidance for Yale Service Providers on the COA Website. Program – the name should reference that it is an internal service – General type of service

https://your.yale.edu/policies-procedures/other/detailed-coa-segment-info-yale-service-providers


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Billed via expense ETs with consolidated revenue

Project – the name should reference that it is an internal service – Detailed service offering ISP billings will be performed using revenue and spend categories that have the prefix of “Internal Income –“ and “Internal Expense –“. The expense side has been consolidated to respond to user community feedback regardeing too much granularity on the expense side. Internal income revenue categories should not duplicate the information in other segments (program, project, cost center, etc.).

USE CASES: Yale’s Internally Designated Funding (including selected Oracle Award principles) Business Use Case How it’s done Today How it will be done in Workday

Internal Funding Arrangements, including

• Start-up • Discretionary (R&T) • Research Supplement • Bridge Funding • Unfunded Research • Recruitment • Retention • etc.

[Note – R&T may refer to research and teaching or research and travel] Individual responsible for balance or funding allotment

Various combinations of Project, Task, Award, Org

Yale Designated • See full list of Institutional values. • Each YD value can be used by multiple cost centers and with multiple

Assignees. The hierarchy for Yale Designated will be set up in COA to allow reporting by: • origin/source of the funding • type of funding arrangement • purpose of funding arrangement

Project / Project Manager

Assignee


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Task / Task Manager

Award (PI or Manager) Etc.

What about students or other staff where the “in charge” role changes often? • Each year we give $X to a club or activity – that club is managed by a

different student or staff member every semester, year or few years. This is not about the person; it is about the activity. Use Project along with the appropriate YD value.

• Each year we give $X of research funding to our Grad Students. This is about the person, not the activity. Use Assignee along with the appropriate YD value.

• We give each of our staff members a travel allotment of $X. This is about the person, not the activity. Use Assignee along with the appropriate YD value.

Generally unrestricted funds

Current use (SPPRO) accounts (other than Internal Funding Arrangements) Clinical funds

Awards including

• 0001xx • 0051xx • 0061xx

Yale Designated

• YD000001 - Unrestricted Operating

Can carry a balance.

General Appropriations (GA Funding)

GA is a common source of funds for operating activities. At Yale it is the single largest funding source. GA is the term used to designate activities paid for with the unrestricted funds of the university (e.g., tuition, unrestricted endowments or gifts) and which are not internally designated for a particular use.

Award • 0001xx

Yale Designated • YD000001 (Unrestricted Operating) – all Oracle GA activity with the

exception of the central support allocation for centrally supported units and the related expenses

• YD000002 (General Appropriations – Central Program Support) – central support allocation for centrally supported units and the associated expenses funded by the central support allocation – will not carry a balance at year-end.

• YD000003 (General Appropriations – Self-support) – general appropriations for self-supporting units and the associated expenses funded by the self-support appropriations – will not carry a balance at year-end.


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Centrally supported units (i.e., supported by the central University) can have activity in both YD000001 and YD000002 Self-support units can have activity in YD000001 and YD000003.

Reserves Project, Task, Award, Org

Any reserves for a given unit should use the following Yale Designated value. Assignee is optional and would relate to the responsible role such as ZZZ1003-Dean or ZZZ1004-Department Chair. • YD000371 – Reserve – Unit or School

Student Loans Award Yale Designated - the FDM team has done this conversion; units are not responsible for requesting values

Research and Publication “awards” to faculty members

(often for FAS faculty, but may be present in other areas)

Unique Project/Task for each “award” and faculty recipient

Award - Usually from a SPPRO (0061) award or similar.

Unit receives transfers of endowment/gift funds into a SPPRO account and wants to retain the details of the funding source.

For faculty “awards” made prior to 6/30/2017:

• Funding Component = Yale Designated – will vary, but mostly YD00373 (MacMillan Funded) and YD000220/YD000221 (Unit Funded – General / Unit Funded – General – Research Support)

• Project - one project for each “awarding” month/year – this will be used for all recipients (ex. April 2017)

• Assignee – this differentiates the recipients within the one project

Any units not using the above model will be asked to reclassify balances into this model (reclassifications not to occur until final June 30th 2017 balances are loaded – Controller’s Office will provide guidance). For the specific examples below, units may be asked to transfer balances from the YD values to the appropriate Gift values.

New “awards” after 7/1/2017:

Funding component is expected to be the Gift instead of Yale Designated – this will feel more like a ‘direct charge’ arrangement to allow visibility


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Below are some examples of the structure – this is not a complete list.

Whitney Griswold Faculty Research Fund:

• GE012115 - Griswold A W Humanities Res

• PG00032 - Research (21)

• Project – one project for each “awarding” month/year – this will be used for all recipients (ex. April 2017)


Frederick W Hilles Publication Fund:

• GE010875 - Hilles Frederick W-Publ

• PG00046 - Publications (22)

• Project – one project for each “awarding” month/year – this will be used for all recipients (ex. April 2017)


Poorvu Family Prize fund for untenured instructors administered by Yale College:

• GE013042 - Poorvu Family fund for Academic Innovation

• PG00032 Research (21)

• PJ000001 – General Project


Return of funds for Sabbatical various Self-support units:


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YD000391 (Faculty LOA) is optional; the Medical School will use to return sabbatical funds to departments

Centrally-supported units:

Return of funds for sabbatical will be done on YD000002


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USE CASES: Gifts Business Use Case How it’s done Today How it will be done in Workday

Understanding the source of funds for gift and endowment vs. the use of those funds

Award + Project Appropriate – Award representing source of funds, one or more projects (sometimes multi-funded with more than one award) representing the activity. 1:1 relationship between project and award – most common – removes the visibility to the activity where multiple activities are supported; removes visibility to activity when multiple “gift projects” must be combined to see a complete activity/program. One award combining multiple gifts with a desire for individual stewardship – project representing each individual gift and/or donor – funding source reporting is now happening in Project & activity/mission visibility is lost or moves to Org. Org grouping together Endowments and/or Gifts rather than using source groups to report

Gift represents the gift and includes donor information Activity/activities supported by the gift are Programs (and also sometimes Projects). 1:1 relationships between Gift and Program/Project are much less common than in Oracle (ex: if the Jones gift and the Stone gift both fund the Instruction program, both would be used with the same program #; we would not have a program or project called “Jones gift” or “Stone gift”)

Report on all Gifts or Endowments

Source Group OR Award numbers Orgs OR Projects

Gifts – these can be grouped – further work in the Gifts work stream will define


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USE CASES: Research and Grants Business Use Case How it’s done Today How it will be done in Workday

Research - Extramurally Funded

- Institutional / Discretionary Funding

Research Program = Project, Org Award, ET

Award, Task

Program - general program listed below; other more detailed ones are available in the program list. • PG00032 - Research

Use with funding component (Grant, Gift or Yale Designated) to indicate how that research is funded.

Research – Leadership and Administration

Project Program - PG00034-Research-Leadership and Administration

Multiple PI's Multiple projects

Multiple tasks

One Workday award representing “notice of award”

Multiple Grants associated with the award

Cost Sharing for Sponsored Awards

Sponsored projects linked to both operating and sponsored awards

One Workday award representing “notice of award”

One Grant # for each “direct charge” set of charging instructions. For cost sharing:

1) Select the direct charge Grant number. 2) Add the YD or Gift value that is being used to cost

share. Over the NIH Cap Sponsored projects linked to both

operating and sponsored awards Workday is delivering functionality to handle salary over the NIH Cap. Information to be provided in a later update. As of Nov 2016, historical conversion data structure will look similar to cost sharing.


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USE CASES: Patient Care Business Use Case How it’s done Today How it will be done in Workday

Patient Care Project (LOB), Task, Award, ET Yale Designated: YD000001-Unrestricted Operating Program: PG00035 Clinical - Patient Care PG00735 Clinical – Laboratory Service Activites Project: For more specific patient care related details (i.e. clinic sites, clinical subspecialities, inpaitent/outpatient activities, etc.) Assignee: Optional, but for the School of Medicine, all transactions going to accounts under the control of faculty must include a faculty assignee.

Clinical contractual agreements (including affiliated hospital, etc.)

Oracle W-Awards

Project, ET

Yale Designated: YD000001-Unrestricted Operating OR YD000377 – VA IPA Agreement Funded Program: PG00041 Clinical - Other Affiliated Hospital Contracts Project: For individual contract detail (i.e. VA, Bridgeport Hospital, Greenwhich Hospital, W-awards, etc.); will reside in the project hierarchy “YSM Contractual Arrangements”. Assignee: Optional, but for the School of Medicine, all transactions going to accounts under the control of faculty must include a faculty assignee.

YNHH Shared Services Support Project, ET Yale Designated: YD000001-Unrestricted Operating Program: PG00036 YNHH PDDO Agreements


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PG00037 YNHH Provider-based Clinics PG00490 YNHH Clinical Program Support Project: for individual agreements or additional YNHH-related detail

Clinical Billing Activities Project Yale Designated: YD000001-Unrestricted Operating Program: PG00035 Clinical - Patient Care Workday COA Project: PJ015566 Clinical Billing Activities

Clinical: Leadership and Administration Project Program: PG00044 Clinical - Leadership and Administration


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USE CASES: Agencies and Investments Business Use Case How it’s done

Today How it will be done in Workday

Agencies of Yale various SEE full conversion guidance (DRAFT) for agencies on the COA Website Agency Link Agency purchases goods through Yale’s suppliers (A/P and Procurement) – this will follow the same process as any Yale department.The only thing that is unique: • Company and Cost Center in the charging instructions will

be non-Yale. Agency receives services from Yale ISPs - The Yale ISP will “bill out” their charges directly to the agency customer. • The revenue category that will be used is one for external

revenue, since the customer is not Yale • The expense side (debit) of the billing will be booked to

the agency’s charging instructions with include a non-Yale Company and non-Yale cost center (# begins with “NC”) – spend category reflects the nature of the service provided

Payroll is involved - Yale employees provide services to the agency – Yale pays the employees, and it is funded by/billed to an agency

• Payroll costing books the salary expense to Yale Company and Cost Center – begins with letters “CC” and marked as Agency Staffing. Program – will identify that the activity is “staffing to agencies”

• Yale “bills” the agency via a journal entry

https://your.yale.edu/policies-procedures/other/wd-coa-segment-guidance-agencies


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o Debit (expense) to non-Yale Company/Cost Center; Ledger Account 72014 - Agency Staff Compensation, Spend Category SC545

o Credit (recovers the payroll expense) to same Yale Company and Cost Center from payroll Costing, Ledger Account 72015 - Recovery of Staffing Provided to Agencies, Revenue Category RC183

Agency represents contracted services – there is NO A/P, ISP or payroll involved

Investments of Yale Various Eagle System = Combined in one Investment Profile Non-Eagle (including hedges) = Project Hybrid = Project

USE CASES: Buildings, Facilities, Software Business Use Case How it’s done Today How it will be done in Workday

Including or excluding my building costs for reporting

Building Orgs

Operating Orgs for “Facilities” Org hierarchy to segregate

Each building is a Location

Planning Unit has a distinct Facilities unit/dept – separate Facilities Cost Center within Planning Unit Otherwise – no separate Facilities Cost Center

Facilities project Capital Project Workday Capital Project – the Projects team has created

Software project Operating Project or

Capital Project or

Workday Capital Project – the Projects team has created


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Combination of Operating & Capital Project

Documents

WD COA Business Use Cases - your.yale.edu · Workday COA – Business Use Cases for Consistent COA Segment Usage Last updated 05/03/2017 3 of 23 Workday@Yale USE CASES: General Business