Heads of Corporate Services Forum

Wednesday 27 May 2015

Agenda• Introduction to SCS Acting Assistant Director-General• SCS Update

– Shared systems projects– 2015-16 pricing– 2014-15 customer satisfaction survey

• Policy submission on the delivery of shared (corporate) services

• General Business• Close

CRMSingle point of

contactSurvey action

plan

Mail transformation

EnlightenAutomation

Payroll transitions

Finance upgrades

ServiceNow

Service reviews

Reporting review

Benchmarking strategy

Organisational design

Regional revitalisation

Service improvement

Culture groupLeadership programs

Staff engagement

SCS Update – 4th 100 day plan (until end July 2015)

Finance Futures Project• Stepped Strategy supported by DG Council at

April meeting• Consolidate on ECC5 then transition to ECC6

– Risk mitigation, faster, cheaper• Parallel optimisation, design investigation

– Address gaps (from BAD analysis of CSP/FYP)– Investigate legacy system replacement– Fit SAP new offerings – S4Hana– Transition “Business Stories” into functional

implementation

Finance Futures Schedule

EEC5 to EEC 6 Comparison

Benefits of ECC6 Stepped Strategy• Near WoG solution (19 agencies) :

– provides greater economies of scale for QSS support and enhancements.– near WoG solution will simplify MoG’s.– near WoG configured ready for move to cloud solution.

• Allows QSS to rationalise infrastructure charges with decommissioning of CSP and FYP environments:

• ECC5 is a stable product (risk limited to major legislative tax accounting changes):– Provides additional stability with upgrade to Oracle 11.2.0.4 with extended

support through to Jan 2016 (EEC5/6 not supported on Oracle 12c)• Third Party SAP support options to address systems risk• Provides efficiencies to agencies through additional functionality:

– reduced transaction cost – eForms ($6 vs $22), improved business process productivities, workflow integration, training material, work instructions, shopping cart, enhanced reporting through BW, enhanced Security Model (governance and risk management compliance functionality).

• Consolidated pathway to ECC6 and HANA.• Optimisation opportunities can be explored and implemented, particularly third party

alternative products

Finance Futures Project Governance

Project Board

Senior User Project Executive

Senior Supplier

CFO’sED CS ADG SCS ED Systems

Project Assurance

User Reference Group (Agency PM’s)

Agency Business Project Team

Project Manager

OptimisationProject Team

FuturesProject Team

SAP Support & WoG Contract• Currently negotiating with SAP to provide

Individual Maintenance for duration of Futures Project

• Tied to MaxAttention requirements for next FY

6/2005

12/09

Con

trac

t

$

25M

V1

$5

M

$ 3.75M / Y

$1.85M /Y

12/2020

$0 M

$5.6M

$3.75M

Maintenance costs 2005 - 2020

6/15

$1.34M /Y

History of Qld Government SAP Agreement

9/10

V3

$

1.1M

3/11

V4

$0.7

5M

7/11

V5

$2

MV

6

$0.0

44M

12/11

V7

$3

.2M

V8

$4

.6M

6/2013

V9

N

ilV

10

$

0.05

M

V2

N

ilV

3

$0.3

6M

7/10

Tota

l to

date

$42

M

12/2015

$266K/Y$140K/Y

$377K/Y

$593K/Y$9K/Y

$8.3M

Licensing costs

CPI Increase per Y ( predicted 3.5%) From 2016 onwards

SAP have option to terminate Maintenance

No

furt

her

supp

ort

for

old

SA

P e

nviro

nmen

ts

$7M

$Extended support services for expired versions of productsMSt V 1.0

25/2/2014

Third Party SAP Support• Half current annual support cost ($3m saving)• Reduced SAP MaxAttention requirement (up

to $2m saving)• Support up to 15yrs , old and new versions• Provide tax, legal and regulatory updates

specific to environment for all versions• Support all customisations in production• Would require current WoG contract to be

broken and market engagement

HR Futures – Aurion 10 ProjectSAP ECC6

Transport & Main Roads

SAP 4.6 c

1 - DATSIMA2 - DCCSDS3 - DJAG (YJ)

SAP 4.6 b

1 – DJAG (OLG)2 - QTT (Parent)

Lattice

Ex DCS (QCS)

Lattice

Ex DCS (QAS/QFES/IGEM)

1 - DHPW2 - DJAG (Parent)3 - DLGCRR4 - DPC5 - PSC6 - DSIP7 - DSITIA8 - LAQ9 - ECQ

Aurion 10

DSITIA (CITEC)

Aurion 10

QLD Police

Subject to the outcome of the Lattice Replacement Project

HR/Payroll Systems – Current State (Sept 2014)

SAP ECC6

Transport & Main Roads

Lattice

Ex DCS (QCS)

Lattice

Ex DCS (QAS/QFES/IGEM)

Aurion 10

DSITIA (CITEC)

Aurion 10

QLD Police

PSBA

Subject to the outcome of the Lattice Replacement Project

HR/Payroll Systems – Post MOG and HR Solution Risk Mitigation Work ( Target June 2015 )

10 - ADCQ11 - DEHP12 - DNPRSR13 - DETE (Training)14 - DAFF15 - DEWS16 - DNRM17 - DTESB

Aurion (ACE)

QTT to exit by 30/6/15

1 - DHPW2 - DJAG3 - DLGCRR4 - DPC5 - PSC 6 - DSIP 7 - DSITIA8 - LAQ 9 - ECQ

10 - ADCQ11 - DEHP 12 - DNPRSR 13 - DETE (Training) 14 - DAFF15 - DEWS16 - DNRM17 - DTESB18 - DATSIMA19 - DCCSDS

Aurion (ACE)SAP 4.6 b

QTT (Parent)

HR Futures - Aurion Upgrade• AURION Upgrade

– 10.0 to 10.4 – vendor support and ATO legislative requirements (Sept 2015)

– 10.4 to 11 – contemporary user interface plus mobility (April 2016)

• Investigating a third party payslip mobile option as interim mobile solution that will complement full mobile ESS.

AURION Efficiencies Project• Project to deliver enhance automation and

self service in HR and Payroll• Delivered through ESS to date

– Positioned based security and workflow, Claims, Relieving, Temporary Extensions, Timekeeper (limited), Scheduled and On Demand HR Reports, Query Tool for client reporting, Recording of performance development appraisal

– In track – Separations, Position Create/Maintain/Abolish, Work Pattern Changes, Probation Review, Career Manager

– Planned – Talent Management Suit, Timekeeper (Full), Progressions, Increments, My.Appointment integration etc.

• HR/Payroll Roadmap to guide future development including HCM

Continuous Control Monitoring• Technology to reduce business losses and reducing the cost of audits

through continuous auditing of the controls in financial and other transactional applications

• Piloting two products - Satori and Selera Labs– Typical value proposition (test data)

ServiceNowCurrent.…

Systems Support FI OperationsHR OperationsFull ITSM Suite (System processing & enquiries, Incident, Problem, Change, Release, CMDB)

Knowledgebase

Customer Self Service Centre with chat support

Online Forms with built-in approval workflow.

Daily and On Call Rostering

Performance Metrics• Organisational• Individual (Service Desk)

Task management (Payroll processing & enquiries)

Knowledgebase

Customer Self Service Centre

Record Management (eDRMS)

Task management (Finance processing & enquiries)

Knowledgebase

Customer Self Service Centre

Record Management (eDRMS)

ServiceNowNext 12 months….

Systems Support FI OperationsHR Operations

Resource Management• Capacity• Capability

Demand Management

Project Management

Integration with other systems eg: TIPT, Aurion, SAP

Performance Metrics• Individual (All)• Advanced dashboards

Online Forms with built-in approval workflow.

Integration with other systems eg: Aurion, SAP

Barcode Scanner capabilities for Record Management

Migration of existing TRIM records

Online Forms with built-in approval workflow.

Integration with other systems eg: Aurion, SAP

2015-16 pricing

2% •Overall reduction in charges

2.2% •EB increases absorbed

4% •Total effective reduction – varies by service

2015-16 pricing

Hourly services

• True cost of delivery

Estimated hourly volumes

• Overall reduction of 90,000 billable hours• Nearly $10M

25%

• Per unit basis unchanged or reduced• Reduction in eForm transaction prices

37% 11% 4% 34% 14%

Satisfaction with Overall Service

48%

% Satisfied (rating 4 or 5 out of 5) Finance Services Technology

SolutionsHR and Mail

Services

Overall service 48% 47% 46%

% Satisfied (rating 4 or 5 out of 5) End User Manager, Supervisor,

Team Leader Purchaser

Overall service 49% 44% 53%

Very dissatisfied 2 3 4 Very satisfied

% Satisfied 2015 TNS Global

■ A total of 1,314 customers were invited to participate ■ A total of n=424 completed the survey (32% completion rate)

The Best in show ….

• Outcome of enquiries 55%• Knowledge and expertise of staff 51%

• Corporate Card 70%• Asset Services 62%• General Ledger 61%

Not our finest work…

• Quality of Reports 42%• Management of projects and Programs 41%

• Telecommunications 27%

2014-15 customer satisfaction survey

“I find that we have some really good months of service and then have a couple of bad.”

Customer of

Department of State Development, Infrastructure and Planning (DSDIP)

Policy submission - update

Purpose• Confirm

direction

Context• CoA 2012/13• 2015

Status

• Nominated contacts

• Discussion with DPC/QT

Policy submission - update

Initial

feedbac

kkey poin

ts

•Mandate if retained•Scope•Transparency•Reduction in costs

Employ-men

t security policy

•Financial/staffing implications•Agency preparedness

Disband-men

t/Exit Cost

s

•Agency choice•Who pays?

General Business