Absence Management

1
Absence Management Product Overview ROM Lawson
User Group, October 21, 2004 Cecile
Alper-Leroux, Product Manager
2
Challenges with Absence Management

• Retaining the best employees means having to
  offer a wide variety of flexible absence plans
• Complex absence policies increase the
  administrative burden for HR departments
• Statutory compliance to support FMLA and other
  leave of absence tracking

3
Lawson Solution Absence Management

• Accurately administer time-off programs to help
  ensure alignment with overall corporate
  objectives
• Automate administration of time-off programs,
  freeing you to focus on strategic work
• Reduce time required to administer leave plans
  and help ensure compliance with leave policies,
  including statutory leaves

4
Project Goals

• Increase product flexibility
• Provide more automation
• Provide accurate and comprehensive tracking,
  reporting and analysis of critical dates
• Provide optional integration to Lawson Payroll
• Allow for added employee and manager efficiency
  through self-service

5
What Weve Delivered

• Flexible, rules-based plans and calculation
  methods
• Automated employee plan enrollment and
  terminations
• Critical absence trend analysis
• FMLA leave tracking capabilities
• Optional integration to Lawson Payroll and
  Financials

6
Graphic of Product/New Structure
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Absence Plan Features

• Optional position-based criteria
• User-defined plan year
• Accruals or allotments
• Hours or earnings
• Length-of-service in hours or cycles
• Rounding rules
• Multiple employee groups per plan
• Multi-country/currency

8
Rule-Based Plans

• Service Rule Determines the date from which
  employee service begins
• Accrual Rule Determines the calculation for
  accruals and allotments
• Eligibility Rule Determines when accruals
  become available for use or payout
• Limit Rule Determines plan year and sets
  maximums for ongoing available balances, annual
  accruals and carryover amounts
• Payroll Rule Defines interface to Payroll
• GL Rule Defines interface to General Ledger and
  Activities Management

9
Date Options

• Several different dates will be captured on the
  enrollments to better control the processing that
  occurs.
• Plan begin and end
• Accrual begin and end
• Service begin
• Other begin and last dates
• A significantly expanded list of options for
  critical from dates
• All Employee Dates from HR11
• Dates already determined on the enrollment

10
Employee Enrollment

• Automatic enrollment
• Employee group criteria driven
• New hires, terms, and employee group membership
  changes
• User-controlled enrollment
• Mass employee enrollment program
• Individual enrollment by employee
• Mass employee termination program

11
Employee Plan Transfers

• Individual transfer
• Transfer to a new plan or an existing plan
• Transfer dates, balances, and other data
• Override the transferred amounts and dates
• Mass transfer
• Two processing options
• NEW Transfer balances from ended enrollments
• Transfer dates, balances, other data, and
  historical transaction detail
• Transfers allowed during processing cycle

12
Employee Master Record

• Created within a plan structure for an employee
  or a specific employee position
• Holds key information for the employee or
  employee position which will determine processing
  outcomes
• Master record effective dates
• Begin dates for accruals, allotments,
  eligibility, etc
• Last processing dates
• Calculated hours and earnings balances
• GL Accounts and Activities
• Overrides

13
Lawson Payroll Integration

• Absence Management does not require Lawson
  Payroll
• Separate service file resides in Absence
  Management (equivalent to time record data)
• Clients who also have Lawson Payroll will receive
  the following additional features
• Automatic updates to Absence Management service
  file from Lawson Payroll time record programs
• Time record edits against negative plan balances
• Print absence plan balances on employee paychecks
• Create time records for plan payouts

14
Lawson Financials Integration

• New program creates transactions that interface
  with General Ledger and Activities Management
• GL Rule provides posting information
• Which plan balances should be posted
• Calculation of amount to post
• Posting method auto-reversing amounts or
  incremental amounts
• Calculation information, GL account and
  activities information can be overridden on
  Employee Master Record

15
Leave Tracking

• Employee Leave of Absence records
• Intermittent or continuous absence
• Request, begin, expected return, and end dates
• Status of and Reason for leave
• 12 Month calendar look back
• Eligibility flags for FMLA, State/Province, or
  Company leave programs
• Restricted duty, physician release, etc.
• URL and comment attachments

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Leave Management Options

• Option 1
• Track and report against leave of absence data
  using new Employee Leave record
• Run leave of absence Eligibility report or use
  on-line inquiry screen to verify eligibility
• Option 2
• Define absence plan with 12 week allotment (or
  other entitlement) to capture available balance
• Enroll eligible employees and process usage of
  leave via normal cycle to update available
  balance

17
Absence Tracking and Reporting

• On-line inquiry
• View service data by type and/or date range, with
  totals option
• Calendar-type views of records flagged as an
  absence occurrence
• Batch Reports
• Leave Tracking Report for viewing leave of
  absence history and/or determining eligibility
  for leave
• Absence occurrence threshold report for
  identifying absences in excess of designated
  threshold

18
What Our Users Requested
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Overrides

• Requirement
• Allow exceptions to plan qualifications, rules
  and calculations.
• Solution
• Ability to override plan rules for employee
  exceptions on Employee Master Record
• Calculation factors
• Plan limits
• Beginning of plan year (MMDD)
• Key processing dates
• Employee plan eligibility
• General Ledger account information
• Activities Management information

20
Accrual End Date/Master End Date

• Requirement
• Continue to allow employees to use plan balances
  but no longer accrue.
• Solution
• Accrual End Date - Controls accruals and other
  calculations
• Master End Date - Controls usage and manual
  adjustments

21
Eligibility of Positions

• Requirement
• Hours worked by employees within certain
  positions should not be included in accruals
  based on hours worked.
• Solution
• Automatic tracking of qualified positions
• Length-of-service
• Accruals based on hours worked
• Usage

22
Retroactive Accruals

• Requirement
• Accruals are based on hours worked in the pay
  period and employees have not entered all their
  time or have entered their time incorrectly
  accruals may need to be adjusted.
• Solution
• Optionally recalculate and adjust accruals for
  previous cycles
• Time records entered for cycles already processed
• Ability to process separately
• Cycle limits are enforced

23
Plan Usage

• Requirement
• Employees have not recorded their time off or
  have recorded their time off incorrectly and the
  cycle has been closed with updates to plan
  balances, which now need to be corrected.
• Solution
• Time records for plan usage will be processed as
  long as time record date is within effective
  dates of Employee Master Record

24
Allotments

• Requirement
• Employees must be awarded an amount annually
  based on their FTE.
• Solution
• Allotments
• Annual or one-time occurrence
• Base on variety of employee or position factors
  including FTE and annual hours

25
Allotment Adjustments for Employee Factors

• Requirement
• Amounts awarded to employees annually based on
  their current FTE must be adjusted if their FTE
  changes during the year.
• Solution
• Allotment Adjustment Calculation program
• Adjust allotments for changes in employee and
  position factors during the year including FTE
  and annual hours
• Allow for positive and/or negative adjustments

26
Allotment Adjustments for Accruals

• Requirement
• Amounts awarded to employees annually based on
  their current scheduled hours must be adjusted
  based on actual hours worked.
• Solution
• Allotment Adjustment Calculation program
• Adjusts allotments using comparisons to accruals
  that are based on hours worked
• Allow for positive and/or negative adjustments
• You decide when you want to adjust allotments
  (quarterly, annually, etc.)

27
Limit Types

• Requirement
• Allow plan limits to apply across multiple
  plans.
• Solution
• Limit Type controls which plans and enrollments
  are included in limit checks.
• Plan Category
• Plan
• Employee Group
• Position

28
Annual Accrual Limit

• Requirement
• Limit the amount that employees may accrue
  within a given year, regardless of any usage that
  has occurred.
• Solution
• Limit Rule includes a new annual accrual limit
  that looks at the total of accrual transactions,
  and not any point in time balance when applying
  the limit.
• Annual period of time is user-defined and is not
  limited by calendar year.

29
Carryover Limits

• Requirement
• Let us control the balance amount employees can
  carryover to the next year and the amount of time
  which employees can use the amount carried over
  to reflect our absence policies.
• Solution
• Limit Rule includes calculation criteria for
• Carryover Limit
• Carryover Period
• Override Carryover Limit criteria on Employee
  Master Record

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Reserve Balances

• Requirement
• Allow employees to set aside amounts that will
  not be lost when limits are checked.
• Solution
• Amounts can be moved from Available to a Reserve
  balances.
• Amounts in reserve will not be included when
  ongoing balance limits are checked.

31
Negative Balances

• Requirement
• Do not allow time records to be entered if they
  hold usage amounts that will result in negative
  balances for an employee in a plan.
• Solution
• Payroll Rule includes negative balance options
• Edit for negative balances and prevent time
  record
• Allow time record but provide a warning message
• No time record editing against negative balances

32
Processing Options

• Requirement
• Allow employees to use what is accrued within
  the same cycle.
• Solution
• Control the type and timing of processing for a
  cycle
• Allow accruals to update balances
• Employees view updated balances
• Employees use amounts from updated balances

33
Auditing

• Requirement
• We need the ability to audit who made a change
  to a record and when the change occurred.
• Solution
• Absence Management files provide
• CREATE User ID, Date and Time stamps
• LAST CHANGED User ID, Date and Time stamps
• ALL Absence Employee Master Record changes can be
  logged to HRHISTORY
• New HR10 topic for Absence Management

34
Coming in the near future

• Self-service feature including vacation and
  absence, requests and approvals
• Linked absence plan balance depletion
• HR Writer topics for absence plan master,
  emergency leave records and history

35
System Usability

• Over 65,000 active employees
• Second largest employer in the Wisconsin
• Over 100,000 W-2s produced annually
• 13 distinct campus locations

University of Wisconsin Systems
Lawson Value
Customer Pain Points
Results

• Legacy System 30 year old mainframe
• Completed analysis of best practices and decided
  to buy a best of-breed solution
• Needed a system for the future

• UWS can distinguish itself on the basis of
  academics its true business
• UWS has the tools needed to serve people, who
  make up 80 of their budget
• Have a system that will help them prepare for
  the future

• The people UWS connected with Lawson at all
  levels
• Only truly web-based solution at time of decision
• Flexible system that could respond to required
  change

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Beta Customer Comment
I am not a sales guy and I dont work for
Lawson. Everything (Lawson) is telling you about
Absence Management is true and is working for
us. Scott Hamilton HRIS
Analyst, University of Wisconsin Systems
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Special Offer

• Limited-time Offer to Waive License-fee
• Living the Manifesto - Customer Satisfaction
  Initiative
• Only available to existing customers who have
  licensed Time Accrual Event Management (TA) a la
  carte or as part of an HR Suite and are currently
  on support
• Offer begins June 1, 2004 and ends June 30, 2006
• Maintenance/Support
• All existing clients who take advantage of the
  offer will be billed for maintenance for Absence
  Management (LP) based on list price, as of
  product shipment date
• You will receive TA maintenance free of charge as
  of LP shipment date
• QUESTIONS??
• cecile.alper-leroux_at_lawson.com