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7 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b –

Function Activities

As part of the TCO of ownership exercise it is imperative that there is a shared

understanding of the functions that should that are in-scope. As part of the introduction workshop, we received clear indication that to be useful to authorities, all authorities needed to have a clear understanding of the processes and services that are delivered as part of the 8 functions which the TCO template uses as a driver for cost collection. On this sheet we have begun to give a clear set of activities we believe are to be considered as part of those functions. If there are services and functions that are not included in the definitions then it will be added to other improvements that will be made in future and may be considered in the future but reduce the complexity of this exercise they will not be changed mid-collection.

We have listed the activities for each of the functions below:

Payroll & Pensions Payroll

includes pay data management, calculating withholdings, payroll processing, filing of all payroll-related taxes , checking preparation, generating and distribution of payslips, managing Direct deposit and assorted payment options, completing all relevant HRMC paperwork and returns, including reporting to proper tax authorities and

statements of deposits and filings made on your behalf, managing Wage garnishments and other court orders and related administration, and producing relevant management reports

Pensions

includes administration of the Local Government Pension Scheme for employees, councillors and staff of admitted bodies, provision of advice on pension rights, establish and maintain pension records and

pensions data, provide Premature Retirement Severance (PRS) estimates, calculate estimated and actual retirement benefits,

investigate and calculate transfers in and out of the Local Government Pension Scheme, monitor and determine eligibility of continuous service, ensure that changes in circumstances e.g. hours, maternity leave, strikes are accurately recorded, and arrange payment of all pension and redundancy entitlements

8 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b – Human Resources

Recruitment (Talent Management)

includes background screening, criminal record checks and pre- employment checks , job postings including person specifications development and storage, resume or application screening and administration , skills and competency tracking and development, support of recruiting process: from initial job posting to interview recommendations, creation or support in creation and modification of Job descriptions, and the initiation of the new hirer/starter process

Employee Assistance

includes provision of guidance to staff, and administration of any employee assistance programs

Benefits administration

includes any health and welfare benefits like employee discounts or additional benefits packages tied to their employment contact, voluntary benefits ( like death in service beneficiary administration), or

administration tied to benefits packages that might have come from

HR Administration

includes HR Data storage, management, retrieval and reporting, maintenance and reporting of organisational hierarchy, paid time off balances and end of year accruals, New starter processing, gathering employee time/work data, retirement and termination processing

Absence management

includes monitoring attendance and leave administration, reporting of leave organisation leave accruals, and long term management of long term sickness

Government and Organisational HR reporting and report on HR/Equalities compliance

9 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b – Case Management

includes the management of case related to grievance, disciplinary, bullying and harassment, ensuring manage and staff comply with relevant on applicable European, national, and local laws and

regulations governing the employment relationship, complaint handling whereby it involves a complaint not covered under grievance,

disciplinary, bullying and harassment and involves a staff member complaining over another staff member, including investigation and coordination of responses to most types of wrongful employment practices complaints

Occupational Health

includes physician referrals, providing outreach to injured worker and their management, return-to-work programs, Inspections, reports and data tracking as required

Health and Safety

includes initial evaluation of workplace hazards and risk associated with operations and effectiveness of safety controls with formal

recommendations if necessary, screen and desk assessments, safety training, Safety program development and implementation, HSE and Safety code compliance review, assistance and instruction, necessary administration for work-related injuries including taking and recording reports of injuries, Accident investigation and follow-up, Return-to- work programs, Inspections, reports and data tracking as require

Training and Development

includes employee development, booking and arranging training rooms and courses, course material storage and printing, training material development, course recharges and administration

10 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b – Procurement

Sourcing

Demand Management

Supplier Performance Manage (Contract Management) Requisition Processing Supplier administration Auction services

Contract & Framework Administration

General Ledger

includes making, review and editing postings and journal entries, monitoring and editing beginning and ending balances of accounts, budget setting and management, managing and reconciling internal charges/recharges, segment management, supporting cost centre budget management , financial report running

Accounts Payable

includes processing, validation and payment of the invoices, transaction processing, resolving payment queries, managing approvals exceptions, overseeing the Procure to Pay process including exceptions and error

handling, processing matched and unmatched invoices for authorisation and payment, conduct enquiries to locate invoices and associated payment information, managing supplier set up administration, supplier records management, manage sale orders, period close, financial and government reporting, payments and remittances, 3rd party invoices/credits, supplier invoice reconciliation, payment accuracy control, cash management,

maintaining AP/PO supplier master dataset, receipting and scanning invoices or making electronic copies of invoices, managing payment interface files loads, monitoring and resolving overpayments, manual invoice matching to

11 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b – purchase orders where not done electronically, purchase order maintenance, payment processing, and maintenance and administration of purchase cards

Accounts Receivable

includes maintain accounts receivable ledger, manage and process disputes and deductions, manage customer requests and inquiries, customers set up and management, raising and dispatching of customer invoices, applying receipts to customer accounts, allocating miscellaneous receipts, maintenance of customer database, debt management, monitoring third party contractors associated with debt collection, i.e. bailiffs, collection agents, trace agents and solicitors, review and manage outstanding debt per customer, creating and mailing out dunning letters on customer accounts

Income Collection

includes allocation of income to relevant departments and business units, locating missing payments made to the authority, liaising with the Council’s main bankers on all banking issues, administration and maintenance of the primary banking software, regular reconciliation of income accounts, manage and monitor payments, receipts of cash, cheques, BACS, CHAPS and wire payments, reconcile bank statements, and transfer cash balances within the council.

Fixed Asset (Property Management)

includes maintenance of the fixed asset register, maintenance of asset values, ordering and recording asset valuations, and determining accounting asset values from financial and property data

12 TCO Template

Sept 2012

Programme Athena

‘State of Readiness’ Guide for Local Authorities SD3b –

Authority Profile

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