The NIH Business System NBS: An Update

1
The NIH Business System (NBS) An Update

• Presented to NIH Acquisition Management Committee
  Symposium
• October 25, 2006

2
Todays Agenda

• NBS Contracting Where Have We Been?
• NBS Contracting Where Are We Now?
• NBS Contracting Where Are We Going?
• Role Mapping
• User Acceptance Testing
• Data Conversion
• Training
• Changes in Contracting

3
NBS Contracting Where Have We Been?

• We decided to replace not repair the ADB and
  chose to replace it with Commercial Off-the-Shelf
  products rather than customization
• We established our requirements, selected our
  vendors, and designed and validated our processes
• We tested our solutions and noted the changes and
  the training needs.
• We deployed Tracks 1 2 in 2003

4
NBS Contracting Where Are We Now?

• We are conducting final internal NBS testing of
  our integrated solution
• We are mapping our users into their new roles
• We are alerting our stakeholders about the
  changes to expect

5
How do we communicate to the stakeholders?

• Organizational Impact Assessments (OIAs) are
  anticipated changes to the manner in which NIH
  administrative staff will conduct business upon
  the deployment of NBS Tracks 3 4.
• OIAs result from a comparison of the manner in
  which NIH administrative staff conduct business
  today with the manner in which administrative
  staff will conduct business upon deployment of
  NBS Tracks 3 4 (Acquisition, Contracts,
  Finance, Inter/Intra-Agency Agreements, Property,
  and Supply).
• OIAs reflect analysis at the NIH-wide or
  generic business level and may not necessarily
  reflect local Institute, Center, or Office of the
  Director specific ways of conducting business.

6
How are Organizational Impact Assessments Used?

• OIAs are considered to be critical information to
  be shared with NIH management and, ultimately,
  NBS user communities in order to facilitate
  communication, understanding, business
  transformation, role mapping, and training.
• Communication
• Sharing of OIAs through targeted NBS
  communication efforts improves understanding and
  acceptance of the changes in advance of
  deployment with the goal of improving NIHs
  transformation to the new ways of conducting
  business.
• Role Mapping
• Inclusion of OIAs in the role mapping process
  enhances understanding necessary to select
  appropriate staff for each role.
• Training
• Inclusion of OIAs in training ensures that NIH
  staff fully appreciate the impact of upcoming
  changes to business processes in the context of
  the role in which they are being instructed.

7
What Organizational Impact Assessments have been
Identified?

• OIAs have been categorized by business area and
  have been vetted with the Business Owner and
  Process Owner for each area to ensure knowledge
  of current business practices is current,
  accurate, and complete when comparing those
  practices to the anticipated new ways of doing
  business.
• Business Owner Diane Frasier and her Process
  Owners have reviewed 30 changes in the
  Acquisitions and Contracts areas

8
Why are there so many changes?

• The design and development of the NBS is impacted
  by a number of different factors including
• New OMB Requirements. The OMB has established
  substantial guidelines and directives related to
  financial system development efforts.
• Policy Changes. Due to material weakness, A-123
  directives, a changing business environment and
  various legal changes, policy changes have been
  necessitated from HHS, OFM and OA.
• Use of Commercial Off-the-Shelf software. One of
  the key tenets of the NIH Business System program
  is the use of commercial software.
• With this type of software, the government is
  able to take advantage of embedded best
  practices that have been developed for, and used
  by, thousands of businesses and up to 100 federal
  agencies.
• NBS has also sought to limit customizations to
  only those considered mandatory and to leverage
  development by the software vendors. Where
  customizations or extensions are not possible or
  practical, it will be necessary to work with the
  vendor on future enhancements.

9
Acquisition Impacts

• Change Single Source for Vendors
• Impact(s)
• Vendor must exist in the vendor table. If not
  available, IC/OD will need to submit a New Vendor
  Request
• Most commercial vendors in NBS will be sourced
  from the Central Contractor Registry (CCR).
  Government Accounting will not be able to make
  changes to CCR vendors. Commercial vendors that
  meet the criteria for CCR will need to establish
  and maintain their records before
  orders/agreements can be executed.
• Reason(s) for change
• OMB mandated that all federal agencies must use
  CCR for vendor registration (10/1/2003, Circular
  2003-016)
• Oracle Software requires and best practice
  dictates a single source for this information

10
Acquisition Impacts

• Change Elimination of existing processes
• Impact(s)
• NBS Will Not Integrate with Any Local Legacy
  Purchasing Systems (AMBIS, PERT, Intramall, POTS,
  etc.)
• ADB Order Types Going Away
• Elimination of Easy Pay
• Professional Service Orders will become Purchase
  Orders
• Reason(s) for change
• Financial system consolidation principle outlined
  by OMB, HHS UFMS and NIH AMSSC
• Replacement of legacy concepts, terminology and
  functionality as required by adoption of
  Commercial Off The Shelf software packages, e.g.
  Oracle eBusiness Suite and Compusearch Prism

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Acquisition Impacts

• Change introduction of standard requisition
  processes
• Impact(s)
• Requisition required as first step in Award
• Requisitioners can self-approve a requisition or
  forward for approval
• Requisitioners will be required to select a buyer
• Requisitioners will determine accounting info not
  the buyer
• Requisitioners will need to specify property
  related info, e.g. custodial code, property
  standard description, at time of requisition
• Requisitioners will now be able to attach
  supporting documentation to their requisitions
  which will be forwarded electronically to
  approvers and buyers
• Reason(s) for change
• Policy requirement that there be a commitment of
  funds at time of requisition
• Information requirements deemed necessary to
  support follow-on business processes
• Additional functionality that could be made
  available

12
Acquisition Impacts

• Change new processing of awards
• Impact(s)
• All awards will be generated in Prism, although
  document generation will be done using current
  tool set
• Consolidation of multiple requisition lines onto
  single award with multiple ship-to and payment
  accounts
• There will be no self approval of Awards
• Use of Milestone template for all Simplified
  Acquisition buys
• Reason(s) for change
• System functionality as provided in Commercial
  off the Shelf software
• NIH HCA policy

13
Acquisition Impacts

• Change required use of Electronic Log for
  Purchase Card transactions
• Impact(s)
• All purchase card activity must be logged
  electronically via iProcurement
• ICs will know their total Purchase card
  obligations throughout the month
• Reason(s) for change
• NIH policy
• Will allow for a match to the US Bank credit card
  transactions to streamline Purchase card monthly
  reconciliation

14
Acquisition Impacts

• Change Inter/Intra-Agency Agreement process
• Impact(s)
• Reimbursable Agreements
• Before establishing a reimbursable project, the
  customer must exist in the Customer table in NBS
• Invoices will not be generated that would exceed
  the agreement amount nor will costs be billed
  that exceed the agreement amount
• Related invoices and receipts will be readily
  tracked with the agreement
• Purchasing Agreements
• Requisitions will be entered to initiate the
  setup of an agreement and commit funds
• IC/OD will be able to enter agreements directly
  into NBS instead of filling out Word document and
  sending to OFM
• Agreement numbers will be generated by Prism so
  IC/OD will not have to assign internal numbers to
  their agreements
• Reason(s) for change
• Financial and Procurement integrity in commitment
  and obligation of funds
• Use of standard functionality as provided by
  Commercial off the Shelf software

15
NBS Contracting Where Are We Going?

• We must demonstrate through end user testing that
  the system will perform as designed
• We must clean, collect, and convert the data
  needed to continue current transactions
• We must train users in their new roles

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Role Mapping 10/06 through 12/06

• IC/OD Advocates with NBS

You with NBS

• Role Answers the questionWhat do I do in the
  NBS?
• NBS has oriented the IC/OD Advocates to the Role
  Mapping process.
• The IC/OD Advocates have selected staff within
  each IC/OD office to serve as Role Mapping Teams
  (one Team per IC/OD office).
• NBS has conducted Role Mapping workshops for the
  Role Mapping Teams to provide specific
  instructions for Role Mapping.
• The IC/OD Advocates are coordinating and
  monitoring Role Mapping.
• Who is my advocate and who is on my role mapping
  team? See the PORTAL (slide 11)

17
User Acceptance Testing 11/06 12/06

• User Acceptance Testing is
• Formal testing of a new computer system by
  prospective users
• A chance to ensure that the system performs at an
  acceptable level for the customer
• An acknowledgement that the system functions
  according to design
• A chance to test the business processes and
  software
• A scaled-down or condensed version of the system
• The last chance to perform the above in a test
  situation

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Data Conversion Now through 2/07 and 5/07

• IC/OD Advocates with NBS

You with NBS

• NBS will orient the IC/OD Advocates to the Data
  Conversion process. The IC/OD Advocates and the
  community will be involved in the data collection
  and data reconciliation aspects of the data
  conversion process.
• The IC/OD Advocates will select resources within
  each IC/OD office to serve as Data Conversion
  Teams (one Team per IC/OD office).
• NBS will conduct Data Conversion workshops for
  the Data Conversion Teams to provide instructions
  on the data collection and reconciliation
  processes.
• NBS will provide each IC/OD Advocate with a list
  of the records requiring collection and
  reconciliation.
• The IC/OD Advocates will distribute the lists to
  the Data Conversion Teams.
• The IC/OD Advocates will coordinate and monitor
  data collection.

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Training Now through 2/07 and 5/07

• Training includes
• Pre-Requisite Knowledge
• Each users must possess basic job knowledge to
  gain access to the NBS.
• NBS Pre-Training
• NBS will provide on-line training tutorials on
  how to navigate in the different NBS software
  packages.
• Users must complete Pre-training to gain access
  to the NBS.
• NBS Training
• NBS will provide just-in-time training on how to
  accomplish your work in the NBS.
• Users who miss the NBS training will need to take
  for-fee training through the NIH Training Center.
• Users must attend Training in order to gain
  access to the NBS.

20
Contracting Changes to Expect

• NBS Will Not Integrate with Any Local Legacy
  Systems (AMBIS, PERT, Intramall, POTS, etc.)
• Awards are Created in PRISM but NCI work forms
  remain in use for contract solicitations and
  awards
• No Self-Approval of Awards
• Vendors Must Be Valid in the NBS Vendor Table

21
Training and Communications Community Portal
(TCCP)

• The TCCP provides one source for all NBS
  information
• Updates and Communications
• System Features
• System Demos
• Advocate Communication
• Provides NBS Mail Box for your Questions,
  Comments Concerns
• And much more
• To access the TCCP
• Log on to my.nih.gov
• Select My Communities at the top of the page.
• Choose Training and Communications from the
  drop-down menu.
• If you need help logging on, contact the NIH Help
  Desk helpdesk_at_mail.nih.gov or 301-496-HELP.

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APPENDICES

• The NBS Wheel
• The NBS Tracks
• The Data Warehouse nVision
• The NBS is an Integrated System
• Oracle i-Procurement Features
• Compusearch PRISM Features
• The NBS Tracks 3 4 Time Line
• The NBS Software Packages
• Acquisition/Contract P-Card Work Flows

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The NBS
Purchasing / Agency Agreements
Accounts Payable / Accounts Receivable
(Oracle Compusearch PRISM)
(Oracle)
Supply
Budget Execution
Travel
(Oracle)
General Ledger
(Gelco)
(Oracle)
Projects / Agency Agreements
Property
Contracts
(Oracle)
(Sunflower)
(Compusearch PRISM)
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NBS Tracks

Tracks I 2 (2003)
Travel
General Ledger
Supply
Agency Agreements
Track III IV (2007)
Acquisitions
Property
Contracts
Track V (Future)
Service and Supply Fund
Fellowship Pay
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The Data Warehouse nVision

• NIH also decided to modernize the NIH
  administrative reporting tool, the Data
  Warehouse. nVision was chosen as the successor to
  the Data Warehouse. nVision
• Offers new, more robust reporting technologies
  based on COTS business
• intelligence software.
• Offers easy, web-based access to integrated data
  to support improved reporting
• and analysis of financial and administrative
  data.
• Is the reporting solution for the NBS and will be
  deployed along with the NBS.
• CIT coordinates nVision design, communications
  and training in a parallel process with NBS.
• For more information about nVision
• Log on to my.nih.gov
• Select My Communities at the top of the page.
• Choose nVision Development Community from the
  drop down menu.
• If you need help logging in, contact the NIH Help
  Desk helpdesk_at_mail.nih.gov or
• 301-496-HELP.

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The NBS is an Integrated System

Each piece of NBS software is connected to one or
more other pieces. Lets purchase a microscope
to see the integration
In Oracle, an invoice is received for the item,
matched to the receipt and paid. Automated
processes post the transaction to the General
Ledger.
In Oracle, budget entries are loaded and
posted to the General Ledger.
A Requisitioner enters a requisition in Oracle.
The requisition is approved in Oracle.
Assets are managed, capitalized and depreciated
in Sunflower and automated processes send this
financial information to Oracle for General
Ledger posting.
In Oracle, automated financial processes commit
funds and send the requisition to PRISM.
Based on receiving, Oracle automated processes
send the property item information to Sunflower
for the Property Custodial Officer to decal the
microscope.
In PRISM, a Buyer creates a PO from the
requisition.
In PRISM, the PO is electronically routed to an
Approver and after approval, automated processes
send the PO to Oracle.
Receiving initiates
automated financial
processes in Oracle which
record the expense and the
expenditure unpaid.
In Oracle, automated financial

processes create an obligation
and commitment reversal.
When the microscope is
delivered, the Requisitioner
receives it in Oracle.
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Oracle i-Procurement Features

• i-Procurement is short for internet procurement
• Offers a single point of entry for acquisitions
• Convenient and simple online shopping cart
  format, similar to Amazon.com
• Allows you to create, manage and track your
  orders
• Allows creation of a single requisition with
  multiple line items
• Provides an electronic P-Card log
• Allows Buyers to consolidate orders from many
  different users onto a single purchase order
  within Compusearch PRISM
• Captures item property information (custodial
  codes and property standard descriptions) and
  integrates with the property system

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Compusearch PRISM Features

• An Advance Procurement Plan providing attachment
  functionality for incorporating the Acquisition
  Plan/Request for Contract
• Milestone functionality
• Posting of presolicitation and award synopsis to
  FedBizOpps
• Single integrated document generation system for
  creation of solicitation and award documents
• Commitment and obligation of funds in real-time
  through interface with Oracle Financials
• Interface with DCIS/FPDS-ng for reporting of
  acquisition data

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NBS Tracks 3 4 Timeline
6/07
4/07
1/06
5/06
3/06
7/06
2/07
9/06
11/06
1/07
7/07
5/07
2/06
6/06
4/06
8/06
3/07
10/06
12/06
Design NBS AMSSC, Business Owners, Acceptance
Board, Process Owners, Acceptance Team (AT) with
NBS Functional Team (FT)
CRP3 AT/ FT
CRP 3 Follow-up Defect Resolution
NBS
NBS Accepted
User Acceptance Testing Acceptance Team
Final Data Conversion
Role Mapping

Hardware Readiness
Go-Live
Data Reconcile
Data Collect
Training
Supply, Internal Orders, Agency Agreements NBS w/
Community

Data Collect
Data Reconcile
Role Mapping


Hardware Readiness
Training
Acquisitions, Contracts, Property NBS w/ Community

User Support NBS
Communication NBS to AMSSC, Business Owners,
Acceptance Board/Teams, Process Owners, IC/OD
Advocates, Community
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Requisitioner and Buyer Workflow to Request
and Purchase Goods or Services
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Purchase Card Holders (PCH), Card Approving
Officials (CAO)Workflow to Purchase Goods and
Services with a Purchase Card
1. Product request
3. PCH enters purchase into Card Log (Oracle
iProcurement).
2. Request to PCH who orders goods or services
pays with a Purchase Card.
Commitment/ Obligation of Funds
NBS
4. Vendor fills order and delivers to the area
with a packing slip. Area hands the bill to PCH.
7. CAO approves monthly reconciliations (Oracle
iProcurement).
6. PCH matches and verifies Log entries to bank
invoices (Oracle iProcurement).
5. Area physically receives goods or services
and notifies the Requisitioner to electronically
receive the order (Oracle iProcurement).
NBS
NBS
8. OFM receives NIH reconciliation file (Oracle
Accounts Payable).
9. OFM pays transaction monthly (Oracle
Accounts Payable).
10. OFM GL receives accounting data (Oracle
General Ledger).
NBS
NBS
NBS