Leveraging Primavera and EcoSys Financial Manager for Better IT Financial Management at SunTrust Ban

1
Leveraging Primavera and EcoSys Financial Manager
for Better IT Financial Management at SunTrust
BanksChristina Critzer, PMP SunTrust BanksTom
Brown, PMP - EcoSys
2
Whats your relationship to SunTrust?
3
Snapshot of Primavera at SunTrust
Delayed until Q2 09

• 5,000 enterprise licenses
• Support 4 different environments Development,
  QA, Training and Production
• Actively utilize the following Primavera
  components
• Project Manager Client
• myPrimavera with Collaboration
• Methodology Manager Project Architect
• Compression Server
• Timesheets
• Automated Job Services
• Custom API jobs for various purposes
• Implemented other niceties
• Validation portals for showing non-compliance
  with business rules
• 3rd party reporting through Crystal Enterprise
  with COGNOS migration in progress
• Financial management via integration with EcoSys
  FM
• Security Administration 300 security access
  requests processed _at_ month
• Centralized workstream, program project
  reporting
• Centralized administration of project baselines,
  project closure
• Decentralized allocation of project ids

4
What Is EcoSys?
5
EcoSys Financial Manager

• This unique solution provides budgeting,
  forecasting and consolidation within a project
  management framework.
• - 2008 BPM Buyers Guide

6
Bridging Corporate Strategy with Project
Financials
EcoSys Financial Manager
7
EcoSys Financial Manager

• Enterprise Budgeting and Financial Management
• Fully web-based, thin client
• Can be fully integrated via XML

8
EcoSys The Company

• Enterprise project financial management software
  and services
• Founded in 2000
• Primavera Premier Service Partner/Technology
  Partner Over 150 Enterprise PM implementations

9
EcoSys Representative Clients

• High Tech
• Freescale Semiconductor
• Ericsson
• Motorola
• Verizon Wireless
• Orange
• Cisco
• Hewlett Packard
• Teradyne
• Financial Services IT
• National Australia Bank
• CNA Insurance
• Guardian Life Insurance
• Physicians Mutual
• Mellon Financial
• SunTrust Banks
• TD Banknorth
• TIAA-CREF

• Oil Gas
• Aker Kvaerner
• BHP Billiton
• BP
• Ofdjell Drilling
• Shell
• Valero Energy
• Utilities
• Southern Company
• Constellation Energy
• Northeast Utilities
• Pacific Gas Electric
• United Utilities
• Pennsylvania Power Light
• Healthcare / Pharmaceutical
• CareFirst
• GlaxoSmithKline

• Government/Mil/AD
• BAE Systems
• NASA
• Northrop Grumman
• Raytheon
• Sikorsky Helicopter
• US Federal Aviation Administration
• US Department of Defense
• US Department of Energy
• US Department of Transportation
• US Army
• US Navy
• Lockheed Martin
• Engineering Construction
• ABB
• Amtrak
• Bechtel
• GE Power

10
Why EcoSys?
11
Decision Drivers

• Prior to implementing Financial Manager, one of
  our public sector customers asked US Congress for
  40MM less budget than they actually needed, due
  to an Excel spreadsheet error.
• A Commercial IT customer determined that its
  complicated, error-prone project financial
  reporting process was underreporting IT spending
  by 10-20MM.
• Budget overruns are common across all industries,
  and in the extreme can run into the billions of
  dollars with poor schedule-to-cost forecast
  alignment.

12
The Burning Platform

• Control over Corporate reporting
• Increased financial visibility
• Increased financial controls
• Increased financial accuracy

13
The Story
The Project

• SunTrust Seventh largest US bank
• Managing IT budget in excess of 500 million
  dollars
• 300 projects 2500 active resources 50 funding
  sources

The Challenge

• Migrating cost management from Project tool to FM
  
• Financial process alignment
• Designing around a changing organization
• Training 300 users

The Solution

• EcoSys Financial Manager
• Integration with Primavera and Oracle
• Financial process design

The Benefits

• Increased financial visibility
• Increased financial controls
• Increased financial accuracy

14
Control over Corporate Reporting

• Financial Visibility
• Between Business and IS
• Disparate databases
• Elongated throughput of data

15
Control over Corporate Reporting

• Financial Control
• Floating project source data
• Incomplete/inconsistent GL data
• Core processes managed in Excel
• Spreadsheet formula errors
• Version control issues
• Extensive data consolidation efforts
• No lockdown control point

16
Control over Corporate Reporting

• Financial Accuracy
• Rates
• Blended vs. Actual
• Internal vs. External
• Forecasting hours
• Project-based, bottom up estimate
• Contract/P.O. based

17
Control over Corporate Reporting

• Requirements
• Flexible structure
• Organic organizational change
• A learning environment
• Portfolio Management
• Distributed project management
• Distributed cost management
• Tracking funds to multiple sources
• Organizational budgeting
• Retain GL responsibilities

18
Control over Corporate Reporting

• Constraints
• Project Governance
• Phase-based budgeting, actuals, forecasts
• Accountability/Traceability
• SOP 98-1
• Meeting organizational guidelines
• Improving reporting lag

19
Control over Corporate Reporting

• Financial Visibility
• Between Business and IS
• Disparate databases
• Elongated throughput of data

Single source
Central FM database
Single process
20
Control over Corporate Reporting

• Financial Control
• Floating project source data
• Incomplete/inconsistent GL data
• Core processes managed in Excel
• Spreadsheet formula errors
• Version control issues
• Extensive data consolidation efforts
• No lockdown control point

Gold source for cost data
Integration with Oracle / Automated import
Enterprise budget management tool
Lockdown of project data
21
Control over Corporate Reporting

• Financial Accuracy
• Rates
• Blended vs. Actual
• Internal vs. External
• Forecasting hours
• Project based, bottom up estimate
• Contract/P.O. based

Secure, Finance controlled rate tables
Integration with Primavera
22
EcoSys at SunTrust
23
Snapshot of EcoSys at SunTrust

• 450 licenses available
• Support dashboard
• Support 4 different environments Development,
  QA, Training and Production
• Actively utilize EcoSys for
• Project Financial Forecasting
• Posting of Project Actual Accounting
• Data extraction for Executive Reporting
• Implemented other niceties
• Validation portals for showing non-compliance
  with business rules
• 3rd party reporting through Crystal Enterprise
  with COGNOS migration in progress
• Centralized workstream, program project
  reporting
• Centralized administration of project baselines,
  project closure
• Key Stakeholder partners with Strategic Finance
  for end-user support, research assistance,
  reporting

24
Closeouts
Financial Control
25
Closeouts (cont.)
Financial Control

• Single-level
• Multi-level
• Cost object owner
• Organizational owner
• Finance

26
Adjustments
Financial Control
27
Adjustments (cont.)
Financial Control
28
Rates
Financial Accuracy
Rate mapped to resources
Individual escalating rates
29
Forecasts
Financial Accuracy
Forecasts
30
Financial Accuracy
Forecasts (cont.)
31
EcoSys at SunTrust

• Requirements
• Flexible structure
• Organic organizational change
• A learning environment
• Portfolio Management
• Distributed project management
• Distributed cost management
• Organizational budgeting
• Retain GL responsibilities

32
Requirements Flexible Structure
EcoSys at SunTrust
33
EcoSys at SunTrust

• Requirements
• Flexible structure
• Organic organizational change
• A learning environment
• Portfolio Management
• Distributed project management
• Distributed cost management
• Organizational budgeting
• Retain GL responsibilities

34
Requirements Portfolio Management
EcoSys at SunTrust
35
EcoSys at SunTrust

• Requirements
• Flexible structure
• Organic organizational change
• A learning environment
• Portfolio Management
• Distributed project management
• Distributed cost management
• Organizational budgeting
• Retain GL responsibilities

36
Requirements Multiple Funding Sources
EcoSys at SunTrust
37
EcoSys at SunTrust

• Constraints
• Project Governance
• Phase-based budgeting, actuals, forecasts
• Accountability/Traceability
• SOP 98-1
• Meeting organizational guidelines
• Improving reporting lag

38
Constraints - Project Governance
EcoSys at SunTrust
39
Constraints - Project Governance (cont.)
EcoSys at SunTrust
40
Constraints - Project Governance (cont.)
EcoSys at SunTrust
41
EcoSys at SunTrust

• Constraints
• Project Governance
• Phase based budgeting, actuals, forecasts
• Accountability/Traceability
• SOP 98-1
• Meeting organizational guidelines
• Improving reporting lag

42
Constraints SOP 98-1
EcoSys at SunTrust
43
Constraints SOP 98-1 (cont.)
EcoSys at SunTrust

• Multi-step/multi-role
• Excel based
• One month delay in reporting

44
Constraints SOP 98-1 (cont.)
EcoSys at SunTrust
45
Summary

• A burning platform need triggered a response
• Integration of EPM and financial tool
• Working within a project management framework
• A consolidation of process and tool