workday financial procurement …eboard.dcsdk12.org/attachments/fdb746e2-2b9e-4614-9dc3-d...agenda...

WORKDAY FINANCIAL, PROCUREMENT &

RECRUITMENT RECOMMENDATION

January 19, 2016

AGENDA

• Oracle ERP History• ERP Upgrade/Replacement Process Timeline • Phase I – HCM/Payroll

– GoLive April 1, 2015– HCM/Payroll Status

• Phase II – Financials/Procurement & Recruitment– Current Environment User Experience

• Financials/Purchasing • Taleo Recruitment

– Workday Financials/Procurement & Recruitment Recommendation• Improvement of User Experience and Reporting• Due Diligence and Negotiations• Financial Analysis• Next Steps

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ORACLE ERP HISTORY– HCM/Payroll Implemented 1994/1995

Due to Master Payroll Assignment Customization, Functionality Not Upgraded

– Financials & Procurement implemented approx. 1998Financial Functionality Last Upgraded in

2005– Spring/Summer of 2011, Oracle Insight Process: With

upgrade and new functionality, could save $7 to $14 million over 5 years

– DCSD on eBusiness Suite Version 11i – no longer supported

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ORACLE SUSTAINING SUPPORT(FM ORACLE DOCUMENT LIFETIME SUPPORT)

• Sustaining Support does not include

– New updates, fixes, security alerts, data fixes, and critical patch updates

– New tax, legal, and regulatory updates– New upgrade scripts– Certification with new third-party

products/versions– Certification with new Oracle products

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PHASE I TIMELINE

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TASK

I. Oracle Insight Gap Analysis May 2011 thru September 2011

II. RFP (Request for Proposal) for Upgrade or Replacement of Oracle eBusiness Suite to include HCM and Payroll Issued November 2, 2012III. Eight Proposals Received Submitted December 19, 2012IV. Demonstrations by Top Four Proposers February, 2013V. Three Day Demos by Top Two Finalists Workday/Cedar & Oracle/AST May, 2013

VI. Finalist Chosen and BAFO Requested HCM & Payroll Only October, 2013 thru April, 2014

VII. BOE Approved Workday April 15, 2014VIII. Implemented Workday HCM & Payroll May, 2014 thru April, 2015

IX. Workday Go-LIve April 15, 2014

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HCM/Payroll Status

NEW HIRES – START DATE SINCE 6/1/15

• Isolated June 1 to indicate being hired for the upcoming school year

• Number of new hires (external sources only): 848– Licensed: 413– Classified: 356–Admin Pro Tech: 39– Substitute: 40

• Increased recruiting efforts

Employee Changes Impacting Paychecks

• Position or Pay Basis Change• Calendar or FTE Changes

Over 2,700 transactions occurred between June and July payroll

INITIAL PAY ISSUES IN WORKDAY

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I. Pay Issues

• FTE Greater than 100% - Non-completion of business processes (hires and terms)

• “Change Job” task

• PTO Balances transfers

FORMER ORACLE WORKER SET UP

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Worker

PTO Balances

Position 2Work

Calendar & Salary

Accrual

Position 1

WORKDAY POSITION CONTROL & WORKER SET UP

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Position 1 (0.5 FTE) Primary

• PTO Balances• Work Calendar

& Salary Accrual

Position 2 (0.2 FTE)

• PTO Balances & Accrual Calcs

Position 3 (0.3 FTE)

• PTO Balances & Accrual Calcs

CHANGE JOB TASK – POSITION DISAPPEARS

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Position 1 (0.5 FTE)

• PTO Balances• Work Calendar

& Salary Accrual

Position 2 (0.2 FTE)

• PTO Balances& Accrual Calcs

Position 3 (0.3 FTE)

• PTO Balances & Accrual Calcs

KRONOS TIME KEEPING CHALLENGES

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• Employees with Multiple Jobs

❑ Certified with Classified Substitute Positions❑ Multiple Positions within Multiple Organizations - Timecard Approvals

• Kronos Upgrade Required February 2016

PHASE II: IMPLEMENTING FINANCIALS, PROCUREMENT AND RECRUITMENT

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I. Review of Workday Recruitment Capability June, 2015 thru December, 2015II. Review of Financials & Procurement Capability August, 2015 thru December, 2015

a. Formal Demonstration of FinancialsProcurement & Inventory November 18 & 19, 2015

b. Sierra Cedar SOW for Cash MgmtProof of Concept in Workday October, 2015 thru January 4, 2016

I. Workday Subscription Negotiations forRecruitment/Financials/Procurement/Inventory December 2015 thru Present

I. Request BOE Workday Subscription & Recruitment Approval January 19, 2016

I. Begin Workday Recruitment Implementation February, 2016II. Issue RFP for Workday Financials/Procurement

& Inventory Implementation January, 2016I. Implementer Decision April/May, 2016

II. Go-Live on Financials/Procurement andInventory July 1, 2017

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USER EXPERIENCE ORACLE PURCHASING

ORACLE PURCHASING SYSTEM

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ORACLE STEP #2

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ORACLE STEP #3

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ORACLE STEP #4

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ORACLE STEP #5

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ORACLE STEP #6

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ORACLE STEPS REMAINING

• Further data requested to finish the requisition

• Outside of Oracle supporting documentation must be sent to Sourcing via email

• A PO is generated – no leadership approval process

• PO then must printed and faxed or scanned and emailed to vendor

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ORACLE NEEDS INPUT

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Oracle

Vendor Specific

Info

Item CatalogChart of

Accounts

EMAILVendor Backup

Info

CONTRACT MANAGEMENT CONSIDERATIONS

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DUE DILIGENCE AND CONTRACT

NEGOTIATIONS

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WORKDAY ANNUAL COST BY FUNCTIONALITY

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Financials $400,247

Procurement 26,447

Inventory 26,447

Recruiting 75,000

WORKDAY NEW FUNCTIONALITY ANNUAL COST

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Payment # Payment Due Date Payment Amount

1 Invoiced Upon Order $414,856

2Invoiced Upon Workday Implementation of Recruitment & Successful Go-Live 230,000

3 1st Anniversary Date * 528,1414 2nd Anniversary Date 528,1415 3rd Anniversary Date 528,141

6 4th Anniversary Date 528,141

Total Subscription & Recruitment Implementation Fees $2,757,420

CO-TERMING OF HCM, PAYROLL CONTRACT

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Payment # Payment Due Date Payment Amount

1 Invoiced Upon Order $1,177,685

2 Catch-up Workday Training & Delivery Assurance

307,680

Total Subscription Fee $1,485,365

NEXT STEPS

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• Send out RFP for Workday Financials & Procurement Implementation

• Upgrade Kronos

• Determine Workday Training Needs

RECOMMENDATION

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Approve the Five Year Subscription for Workday Financials, Procurement &

Recruitment as well as Workday Implementation of Recruitment

QUESTIONS

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