ERP I MPROVEMENTS

Enterprise resource planning (ERP) is an organization-wide software solution that allows integration among various departments and their respective functions. The result is a

centralized system of communication, storage, and operations. Improvements to ERP solutions bring about processes that multiple departments can benefit from. Common municipal-related ERP application modules include accounting, financial reporting, payroll, human resources, and utility billing.

Finding and Observations

 The City utilizes the Bi-Tech ERP solution from SunGard for most financial, accounting, payroll, and human resources functions

 Currently upgrading to the latest software version

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Best Practices

 IT Governance

 IT Project and Services Portfolio

 COBIT-PO1.1 - IT Value Management

 COBIT-AI2.5 - Configure and Implement Acquired Software

 ITIL-CSI-Continual Service Improvement

Return on Investment (ROI) Consideration

 Fin - Contracts/Bids Management & E Procurement - Estimated annual hours savings of 250-500 hours per year result in $22,385 in labor savings

 Fin - Position Budgeting - 500-600 hours in annual labor budgeting and analysis would save $11,947 in labor costs

 Fin - Budgeting Implementation - Over 100 hours annually in departmental savings would result in $11,947 labor savings

 Fin - Project/Grant Accounting - Over 100 hours annually in departmental savings would result in $11,947 labor savings

 Primary tasks on most HR functions are that of documentation, tracking, and reporting. Specifically, these modules will reduce the need for the numerous Access tracking databases that we currently use and combine information so that billing reconciliation, retiree and active employee medical and vision reimbursements, training attendance and coordination, tuition reimbursement, benefit changes, MOU administration and other such functions can be accessed in one location and facilitate coordinated automated reporting as opposed to manual gathering of information. Extensive time is spent in:

 Developing and maintaining Access databases;

 Entering the same data in multiple locations for various documentation and reporting;  Manually entering 1000s of lines of data and formulas to produce numerous reports and

informational documents for benefits administration, payroll, negotiations, MOU administration, ad hoc reports and analyses and multiple other assignments.

 ROI following implementation and appropriate training would be immediate due to hours saved by all staff members in lessening manual and redundant actions

Staff Feedback

 DSD - Need ability to take certain one-stop counter payments instead of making a three- step process.

 Fin - Planning to upgrade to Bi-Tech version 7.9

 Fin - Some modules have been purchased but not implemented

 Fin - Need more department user access for self-inquiry and reporting

 Fin - Need more department user access for purchasing, requisitions and time entry

 Fin - Hoping Bi-Tech upgrade will provide more capability

 Fin - Need ability to get data/information out of system the way we need it

 Fin - Need better report writing capability and training

 Fin - Need online requisitions

 Fin - Need a contracts management module

 Fin - Need online vendor management capability

 Fin - Need a bids management module

 Fin - Need position control budgeting

IT Initiatives (IT Master Plan) – Appendix City of Redlands

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 Fin - Need to automate bank reconciliations

 Fin - Need to implement Project/Grant Accounting module

 Fin - Need scanning and document management integration with EDMS

 Fin - Need ability to track pooled cash

 Fire - Budgeting system is essentially manual from the end user standpoint and requires building of separate Excel spreadsheets to track expenditures and build future budgets. Current pdf documents provided by finance are not helpful.

 Fire - Need real-time inquiry access into budget module. Currently building Excel worksheets to track department budget.

 Fire - Pre-fire planning - Related to premise information management, but focused on the minimum information firefighters require when addressing emergencies in commercial occupancies. If selected building department and finance department records were available for ready reference, line personnel could operate more efficiently and effectively.

 HR - Cannot get the IT Staff to fix hardware to start Bi-Tech (ERP) upgrade.

 HR - DoIT has not been cooperative regarding system administration settings

 HR - Budgeting process is manual

 HR - Need to automate Personnel Files. Minimum time savings would be 1.0 hours per day. We have 525 employees, plus retirees, interns, volunteers, separated employees, etc. Current archived data is on microfilm and can equate to numerous hours for research on one single file.

 HR - Need to automate Benefits Enrollment for annual open enrollment, change options, new hires, etc. This process 150+ hours per year in HR, plus employee time

 HR - Currently we cannot pull ad-hoc reports to get data for negotiations etc. Information has to be pulled in bulk or manually pulled and then put into Excel to analyze almost any type of employee data. We could save 600+ hours per year with further training and support for Crystal Reports

 HR - NeoGov uploading info into Bi-tech upon employee selection. Could save 400 hours per/year or a 50%+ reduction in HR staff time spent for this activity

 HR - Performance Evaluation Management - Time utilized/saved is not currently known since several departments recently switched back to the paper/manual process because they did not like the Performance Pro software.

 HR - Training Tracking - The automating of this process will only be known after it is implemented. Not having it automated makes us limit any training to a minimum compliance philosophy

 HR - Injury Reporting & Tracking automation savings depends on number of injuries and that is somewhat cyclical. 600 hours average per/year, or a 60%+ reduction in HR staff time spent on this activity

 HR - Query reporting on Bi-tech for negotiations and other issues. Need to be able to have accurate numbers at my fingertips when I need them and not having to ask Finance to put together a manual report each time. Sometimes a need for a basic idea of the total number to see if something is even feasible but can’t because we would have to interrupt Finance to find out.

 HR - Need an integrated HRIS systems for less duplication of efforts.

 HR - Need to be able to use EFT for AP Payments, e.g., retiree medical stipends.

 HR - Vendors and consultants have requested direct deposit for AP payments

 MUED - Need automation of budget preparation process.

 PD - Police double tracks employee accruals because they do not trust the accounting reports

 PD - Need an Employee Self Service module for employees to access their demographic data, pay stubs, request time off, etc.

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 PD - Need to streamline Tow billings

 QoL - Improve PO and budgeting tracking

 QoL - Need to streamline misc. invoicing directly into accounts receivable. 50-100 per month. Could save 300+ hours per year.

 QoL - Need to streamline airport lease and tie down billings

Recommendations

 Review applicable manual processes and shadow systems, such as spreadsheets, to determine automation improvements that will result in labor efficiencies

 Conduct a needs assessment of all unmet needs, additional functionality requirements, additional modules needed, and additional user training requirements

 Work with vendor to develop a customized project implementation and training plan

 Manage improvements similar to new system implementation, following best practices for project planning and implementation

 Consider assistance from independent third-party industry expert