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TRANSCRIPT
ASTCORPORATIONSpecialized. Recognized. Preferred.
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Against all Odds – Detroit adopts
Oracle Cloud ERP
Usha Vargas Sr. Project Manager, AST [email protected]
Feb 10, 2017
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Agenda
Introduction
About the City of Detroit
Oracle Cloud ERP Solution
Implementation Approach
Lessons Learned
Critical success factors
A word from the Implementer
Q&A
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About City of Detroit
Detroit, incorporated in 1806, is the largest city in the state of Michigan, with a population of approximately 677,000
Despite economic downturn in the city and the 2013 filing of the largest municipal bankruptcy case in U.S. history, Detroit officially ended its bankruptcy in December 2015. The people of Detroit are resilient and are working hard to rebuild the City’s reputation
As a result of its bankruptcy exit criteria, the City targeted a total transformation of its finance operations, including replacement of its financial management systems. The objective was to get this formerly-great city back on its feet as a model of financial excellence and integrity
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Detroit’s ERP Challenges:
An unsupported version of Oracle EBS and a proprietary
Budgeting Application with limited expansion capabilities
Costly resources needed to support its on-premises applications
Heavily customized solutions with many shadow systems and
external processes
Highly inefficient processes that did not conform to leading
practices for the public sector
A lack of integration with other key, third-party systems
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Detroit’s Transformation Goals:
Reduce system complexity and long-term total cost of ownership (TCO)
Implement industry-leading practices to improve efficiency and increase automation
Eliminate customizations and shadow systems, reduce integration points
Increase transparency and quality of citizen services
Implement a transformative BI tool for use by managers, employees, and the governing body to help make informed decisions
Due to the political climate following the bankruptcy proceedings, the implementation was heavily scrutinized by the municipal government community and the press nationwide.
A successful implementation was imperative; failure was not an option!
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Why Oracle Cloud?
Easy user interface
Ease of system maintenance & upgrades
Always current on releases
Fit to standard approach to avoid customizations
Scalability for social & mobile
Analytical built-in real time reporting
Upgrade from older/obsolete platform to more modern infrastructure
Ubiquitous network access
Detroit is the largest Public Sector entity to go live with Cloud ERP and among the first to complete the upgrade to Release 11!
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Oracle Cloud @ Detroit – SaaS Model
Cloud ERP (Fusion)
Financials – GL, BCEA, AP, CM, AR, AC, FA, Expenses, Shared HR
Procurement – Self Service Procurement, Purchasing, Supplier Portal
Project Portfolio Management – Billing, Costing, Grants Management
Planning and Budgeting Cloud Services (PBCS/EPM)
Oracle Service Oriented Architecture (SOA) - on premise
Oracle UPK – on premise
Environments – PROD, DEV, TEST
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AST’s Implementation Strategy - Fit-to-Standard Approach
Leading practice Speed Value
Cloud ERPs are
designed for no
customization
Vendor
implementation
experience
Faster
implementation
time & testing
cycles
Maximize system value
& utilization
Maximize system value, minimize implementation time & complexity
by using leading practices & minimizing customization
The City of Detroit contributions should focus on delivery & outcome
compliance, & recognize that processes, inbound & outbound data may
vary significantly from the current state system
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Expected Project Results
Re-engineered business practices
• Streamlined & fit-to-standard process flows
• Adoption of industry leading practices
Timely access & consistency of data
Fewer manual processes
More user self-service
More on-line workflows
Online Training content - with audio!
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Some Thoughts on Lessons Learned…
“A failure is a man who has blundered but is not able to cash
in on the experience”
Elbert Hubbard
“Life can be understood only backwards, but it must be lived
forwards.”
Soren Kierkegaard
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Lessons Learned – Resource Management
Parallel projects and strain on project resources
Timely selection and retention of SMEs throughout the project lifecycle
Shadow resources to create redundancy
Time Commitment is key - backfill day to day responsibilities and shift other organizational priorities
Empower resources to make timely decisions and cascade information
Middle Management must be involved earlier in the process
Include HR resources in full implementation cycle (HR is a limited shared module and was overlooked at times)
Collocate SMEs with implementation partner
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Lessons Learned – Functionality
Do not assume that EBS functionality also exists in Cloud
Configuration impact on future state business processes
Drive leading practices and mitigate manual processes
Continually evaluate functional configuration
Obtain configuration signoff prior to start of training
Ensure comprehensive testing for Funds Check with various scenarios
including outlier departments in order to uncover any potential issues
Establish segregation of duties for BCEA and GL for Chart of Account
segment maintenance
Establish periodic data synchronization process for PBCS-GL interfacing
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Lessons Learned – Reports
More time needs to be spent on understanding Oracle’s available
reporting tools and their appropriate use – Seeded, BI, OTBI, FRS,
Smartview
Establish the reports sets required by Administration earlier in the
process and use of appropriate reporting tool
Demonstrate, test and validate all available seeded (OOTB) reports
during testing cycles to ensure they meet business needs before
delving into custom reports
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Lessons Learned – Technical
Early interaction with Oracle Support - SRs needed for server tasks
Patching cycles are short and environments are limited! Properly
plan and manage testing time including any customizations
Conversion Strategy - approach and impact for data selection
criteria by object should be well thought out – e.g. PO’s
Integrations - engage 3rd party vendors as early as possible in the
process to ensure end to end testing
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Lessons Learned – Segregation of Duties
Several seeded security roles gave too much access and customization of security roles is still evolving in the Cloud product. Features in the recent release were not applicable to Detroit
Custom roles need thorough testing with scenarios across all modules
Start planning the role assignment exercise at the same time as training
Establish ownership for security administration. Identify the correct roles for all users to ensure there is no disconnect between training and their actual roles
Establish a cadence with maintenance of a consolidated master role list along with an approval process which is kept updated when any roles are added or modified
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Lessons Learned – Testing
Test across all browsers for optimal tool by module
Identify the potential impact of new features and functionality
and focus testing events on those areas within the timeframe
Due to shortage of time with patch cycles, strike balance
between baseline testing vs new features
Need tester continuity for all phases, include testers from all
major areas including outliers
Reiterate overall purpose of testing is not training
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Lessons Learned – Training Rollout
Evaluate training delivery methods - Classroom, CBT, Job Aids, UPK
Determine feasibility of Audio tools
Training strategy and plan must include training by security role
Training should be more SME and module owner driven
Identify trainees in advance and make attendance mandatory
Incorporate functional Lifecycle training – e.g. Order to Cash, Req. to
Check
Establish plan for ongoing training delivery to ensure system adoption
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Lessons Learned – Change Management
Conduct change management sessions as early as possible
Engage end users regarding impacts to day-to-day job roles
Create a forum to gather feedback and embrace new business
processes prior to start of testing
Begin transition plan and management well before go live
A wider communication plan is needed that includes multiple
mediums for notifications to end users, project team members and 3rd
party vendors
Communication should be consistent and extend throughout project
and beyond!
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Lessons Learned – last but not least…
Organizational restructuring
Conflicting priorities
Scope Creep
Business impact of Cutover Plan
Scope of Go/No-Go decision
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Critical Success Factors
Steering Committee’s active involvement throughout
Collaboration between Implementation team and trusted
implementation partner
Oracle’s Client Success Manager Engagement
Contracting a Managed Services Provider to ensure seamless
transition of support
Assessment of lessons learned
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