Opening Remarks and Introductions

1
Opening Remarks and Introductions

• Welcoming Statement
• I-MANAGE As Its Been Presented
• Purpose of This Conference
• Expectations
• Background and Review
• Rules of Engagement

2
Opening Remarks and Introductions
Background and Review I-MANAGE Program
Description

• The I-MANAGE Program will consolidate and
  streamline Department-wide efforts to integrate
  financial, budgetary, procurement, personnel,
  program and performance information. This
  unified system will be supported at the core by a
  central data warehouse that links common data
  elements from each of the Departments business
  systems. Each manager will use the central data
  warehouse as a knowledge bank of information
  about portfolios, programs or projects including
  budget execution, accumulated costs, performance
  achieved, and critical milestones met. User
  alerts will be provided based on business rules
  defined specifically for each program office, and
  directed to the appropriate executive or manager
  for action.

3
Opening Remarks and Introductions
I-MANAGE As Its Been Presented
Presidents 2003 State of the Union
Report I-MANAGE identified as one of the
Administrations key e-Government initiatives
DOE News Press Release dated Jan. 8, 2003 Deputy
Secretary of Energy Launches First Fully
Integrated DOE Business Management
System Initiative supports President Bushs
Management Agenda for expanding E-Government,
improving financial performance, and integrating
budget and performance. Deputy Secretary of
Energy Kyle McSlarrow, joined by the Department
of Energys Chief Financial Officer, Bruce
Carnes Chief Information Officer, Karen Evans
and Office of Management and Budget Associate
Director for Information Technology and
e-Government, Mark Forman, made the announcement
during the I-MANAGE kickoff meeting on January 8,
2003 at DOE. Deputy Secretary McSlarrow said
Each manager will have access to all the data in
their area of responsibility and to this
web-based system to get current information on
their budgets, on people, procurement, projects,
performance, and spending.
Federal Computer Week January 27, 2003 Energy
Embraces E-Gov Managers have had limited access
to real-time information about their programs,
making it difficult to assess where the agency
stands in terms of spending and other performance
measures. The Integrated Management Navigation
System, or I-Manage, seeks to change that.
4
Opening Remarks and Introductions
I-MANAGE As Its Been Presented
Office of Management and Budget Mark A.
Forman Associate Director for E-Government and
Information Technology Before the Subcommitee on
Technology, Information Policy, Intergovernmental
Relations, and the Census Committee on Government
Reform, U.S. House of Representatives on March
13, 2003 Additionally, specific initiatives in
the federal IT portfolio have started to deliver
real successes in citizen services and government
operations. For example I-MANAGE, the
cornerstone of the Department of Energys efforts
to improve management effectiveness, I-MANAGE
will integrate disparate human resources,
financial management, procurement, facilities
management, budget formulation, financial and
cost accounting systems.
GovExec.com From Government Executive
Magazine January 9, 2003 Energy Management
Systems to go Online Deputy Energy Secretary Kyle
McSlarrow announced that the department will
begin using a product known as I-MANAGE to
integrate systems for cost accounting, travel,
payroll, budget formulation and execution,
procurement, human resources, facilities, and
research and development portfolios.
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Opening Remarks and Introductions
Purpose of Joint Requirements Conference

• To make key design decisions for
• Integration of costs, budget, and performance
  management within the I-MANAGE systems.
• Format, content, and conceptual definition of a
  data structure that will enable this integration
  in the most efficient and effective manner.
• Deployment of a managerial cost accounting
  capability within the I-MANAGE systems that will
  support the requirements of the Department of
  Energy.
• Review draft requirements provided by the
  I-MANAGE Integration Team Members over the past 6
  weeks, as part of the initial requirements
  gathering process.
• Provide additional requirements as appropriate.

6
Opening Remarks and Introductions
Expectations of Joint Requirements Conference

• Integration of budget with performance
• Performance metrics establish clear goals and
  objectives
• Quantifiable, verifiable measures of performance
• Consistent format and structure across the
  organization
• Budget planned costs to achieve those
  objectives
• Actual costs linked to performance metrics,
  budget
• Define model and framework for cost accounting
• Critical activities
• Develop a conceptual data model to support
  linkage of performance metrics with budget and
  costs.
• Develop robust accounting flex-field to
  incorporate cost-accounting.
• Then use Oracle Federal Financials as designed.
• Automatically links costs with budget as part of
  standard functionality.
• By linking budget with performance metrics, we
  have a data relationship that can be exploited
  for query and reporting purposes.

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Opening Remarks and Introductions
Background and Review I-MANAGE Vision
I-MANAGE Unified Systems
Program Targets
Human Resources
Travel
Executive Information
Core Financials
I-MANAGE Data Warehouse
Cost Accounting
Performance Metrics
Internal Management Reports
Budget Execution
Budget Formulation
Payroll
Procurement
External Reports
Facilities Mgmt
RD
Financial Statements
Cyber-security detection/protection
8
Opening Remarks and Introductions
Background and Review Individual Applications
I-MANAGE Unified Systems
Program Targets
PeopleSoft ERP
Human Resources
In production
Travel Manager COTS software
Travel
Core Financials
Oracle ERP
STARS Project underway.
Cost Accounting
TBD plan to leverage existing software.
Planning, data modeling, integration with STARS
underway. Current FDS system will be upgraded
and enhanced.
Performance Metrics
TBD GOTS/COTS plus enhanced FDS
Budget Execution
Budget Formulation
TBD will outsource
Payroll
Payroll scheduled for outsourcing in 4th quarter
FY03. Procurement business case still being
refined. ePME working with I-MANAGE Program to
establish touchpoints.
TBD
Procurement
TBD
Facilities Mgmt
ePME
RD
Financial Statements
9
Opening Remarks and Introductions
Background and Review I-MANAGE Data Warehouse
Program Targets
Executive Information
Planning underway. Data modeling, integration
with STARS to begin ASAP. The I-MANAGE Data
Warehouse is a critical component of the I-MANAGE
Vision, key to achieving I-MANAGE strategic
objectives.
I-MANAGE Data Warehouse
Internal Management Reports
External Reports
10
Opening Remarks and Introductions
Background and Review What I-MANAGE Means to You
Budgetary Data
Financial Data
Program Information
Performance Measures
I-MANAGE will provide a structured framework for
aggregating, summarizing, and reporting
significant volumes of data from various systems.
DOE Executives, Program Managers, and other
management personnel will be able to focus
management attention through exception based
reporting available online. Detailed analysis
will be supported through automated, online
drill-down capabilities.
Rebalancing RD Investment Portfolios
User Specific Alerts
Project performance issues
Drill-down for detailed analysis
Providing Ad-hoc Reports
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Opening Remarks and Introductions
Background and Review STARS In More Detail
Budgetary and Proprietary Account Balances
STARS Oracle Federal Financials V11i
I-MANAGE Unified Systems
Oracle Accounting Flex-Field (AFF)
General Ledger
Inside STARS The Oracle Federal Financials
Applications consist of a General Ledger (GL)
module, with various sub-ledgers (PO, AP, AR, FA)
that hold module specific information and feed
journal records (debits/credits) for posting in
the GL. The logical key for all of these
records is the Accounting Flex-Field (AFF), which
ties the accounting transactions from the
sub-ledgers back to the posted balances in
GL. Within a fiscal year, periodic balances
(usually monthly, with an end-of-year closing
period) are held in GL by the AFF.
Fund code
Human Resources
Approp. Yr.
Journal entries
Travel
Allottee
Core Financials
Reptg Entity
Purchasing
Cost Accounting
U.S. SGL
Performance Metrics
Object Class
Accounts Payable
Budget Execution
WBS Lvl 1
WBS Lvl 2
Budget Formulation
Accounts Receivable
Payroll
Sub-Ledgers
WBS Lvl X
Procurement
Facilities Mgmt
Fixed Assets
RD
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Opening Remarks and Introductions
Background and Review STARS In More Detail
STARS Oracle Federal Financials V11i
Budgetary and Proprietary Account Balances
General Ledger
Budgetary Accounting Budgetary accounting is the
system that measures and controls the use of
resources according to the purposes for which
budget authority was enacted and that records
receipts and other collections by source. It
tracks the use of each appropriation for
specified purposes in separate budget accounts
through the various stages of budget execution
from appropriation to apportionment and allotment
to obligation and eventual outlay. This system is
used by the Congress and the Executive Branch to
set priorities, to allocate resources among
alternative uses, to finance these resources, and
to assess the economic implications of federal
financial activity at an aggregate level.
Journal entries
Purchasing
Accounts Payable
Accounts Receivable
Sub-Ledgers
Fixed Assets
Proprietary Accounting Also known as financial
accounting, a process that supports accrual
accounting and financial reporting that attempts
to show actual financial position and results of
operations by accounting for assets, liabilities,
net position, revenues and expenses.
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Opening Remarks and Introductions
Budgetary and Proprietary Account Balances
Background and Review STARS In More Detail
STARS Oracle Federal Financials V11i
I-MANAGE Unified Systems
Oracle Accounting Flex-Field (AFF)
General Ledger
Fund code
Inside STARS Oracle Federal Financials provides
both budgetary and proprietary federal
accounting. Funds control is provided through a
combination of budgetary GL entries which
establish the basic controls, with integrated
purchasing controls verifying available funds
before allowing approval of requisitions or
purchase orders. Invoices are then controlled by
the associated purchase orders, and outlays by
the invoices. Basically, every dollar is
accounted for. The STARS System will contain
budgetary data, financial, and cost accounting
data.
Human Resources
Approp. Yr.
Journal entries
Travel
Allottee
Core Financials
Reptg Entity
Purchasing
Cost Accounting
U.S. SGL
Performance Metrics
Object Class
Accounts Payable
Budget Execution
WBS Lvl 1
WBS Lvl 2
Budget Formulation
Accounts Receivable
Payroll
Sub-Ledgers
WBS Lvl X
Procurement
Facilities Mgmt
Fixed Assets
RD
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Opening Remarks and Introductions
STARS Oracle Federal Financials V11i
I-MANAGE Unified Systems
A common WBS across DOE will be represented
within the AFF. For example, the current BR
structure is reflected in the top 5 levels of the
pyramid below. Note Each level within the AFF
may be used for cross-cut reporting purposes,
and summarization using roll-up groups or
parent/child relationships.
General Ledger
Human Resources
Journal entries
Travel
Core Financials
Purchasing
Cost Accounting
Performance Metrics
Accounts Payable
Budget Execution
Example of WBS
Program Sub-Programs Categories
Tasks Sub-Tasks
Projects Sub-projects
Activities
Budget Formulation
Accounts Receivable
Payroll
Procurement
Facilities Mgmt
Fixed Assets
RD
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Opening Remarks and Introductions
NNSA Program DP-Weapons Activities (Stockpile
Stewardship) Sub-Program DP07-Directed
Stockpile Category DP0701-Stockpile
Maintenance Task DP070101-Life Extension
Operations Repairs Sub-Task DP0701011-Repairs
SC Program KA-High Energy Physics Sub-Program
KA11-Proton Accelerator-Based Physics Category K
A1102-Facilities Task KA110201-Tevatron Complex
Operations Sub-Task KA1102011-Accelerator
Operations EM Program EW-Defense Environmental
Restoration Waste Management Sub-Program EW01-
Post 2006 Completion-Office of River
Protection Category EW01J2-Office of River
Protection Task EW0J210-Office of River
Protection TW10 Manage Project Sub-Task EW01J2
10A-Non-Inventory Project Costs EE Program CC-
Geothermal Sub-Program CC10-Geothermal
Resources Development Fund Category CC1020-Guara
ntee Reserve Fund Task CC102011-Guarantee
Losses-Interest Principal Assistance Sub-Task
CC1020111-Advances
Background and Review Current BR
Note All 5 reporting levels are not currently
used by many of the Departments programs.
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Opening Remarks and Introductions
Background and Review STARS In More Detail
STARS Oracle Federal Financials V11i

• The STARS System is the central source of
• Budgetary information from the appropriation to
  the field-site budgetary control levels
• Commitments, obligations, costs, and outlays
  based on funds availability as established by the
  budgetary controls
• Detail financial / cost accounting transactions
  within the sub-ledgers, through interfaces or
  direct data entry
• General ledger balances based upon posted journal
  entries that result from the sub-ledger activity.

General Ledger
Journal entries
Purchasing
Accounts Payable
The data is logically referenced through the AFF.
To link budgetary data, financial data
(commitments through outlays), and performance
measures will require linking data within a
performance hierarchy to a specific level (called
segment) within the AFF, most likely within one
of the levels that comprise the WBS within the
AFF. Through this process, we integrate budgets,
costs, and performance measures. Then, as we
record the actual performance values against a
given target metric, we have the ability to
report budget and/or costs by unit of
performance, or the total budget, available
budget, and total costs against the aggregated
performance to date.
Accounts Receivable
Fixed Assets
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Opening Remarks and Introductions
STARS Oracle Federal Financials V11i
Background and Review Example of Performance
Hierarchy
General Ledger
Journal entries
???
Purchasing
Accounts Payable

• Several questions must be answered
• Where will performance metrics be stored?
• How many levels are required?
• Will the system provide for multiple sets of
  performance metrics?
• What degree of flexibility will be available in
  designing and maintaining performance metrics?
• How will the performance hierarchy be linked to
  the AFF?
• What reporting will be necessary?
• How will cross-cuts be handled? Congressional
  earmarks?

Accounts Receivable
Fixed Assets
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Opening Remarks and Introductions
Background and Review Example of Performance
Hierarchy

• To integrate budget and performance within
  I-MANAGE, we must design the type of features
  represented below
• Define a robust data structure (or validate
  Joule) that
• captures, tracks, and reports multiple sets of
  performance metrics across multiple years
• Begins the process at the start of budget
  planning / formulation (new I-MANAGE Standard
  Budget System), through budget distribution
  (FDS), budget execution (STARS), and into the
  I-MANAGE Data Warehouse.
• Provide the capability to capture quantifiable
  performance measures as well as soft
  (non-quantifiable) performance measures.
• Provide different grouping capabilities (e.g.
  parent/child, primary/secondary, etc.).
• Allow assignment of monitoring / warning
  thresholds.
• Facilitate what-if analysis, multi-dimensional
  query capability, cross-cut reporting.
• Define aggregation, summarization rules for
  integrating with I-MANAGE Data Warehouse.

19
Opening Remarks and Introductions
Rules of Engagement

• Criticism express candid opinions but civility
  will rule
• Creativity think out of the box if you dont
  like a solution tendered, offer a better
  alternative
• Compromise recognize give and take is necessary
  in any large group
• Accept decisions what is best for the group may
  not be your preferred solution
• Be willing to take risks the time to take risks
  is now when we are defining requirements and
  developing a design, not in testing and
  deployment
• Take ownership you are representing your entire
  program office know the operating details so you
  adequately define the requirements