# Presentation: 536916

## Opening Remarks and Introductions

**Welcoming Statement**
**I-MANAGE As It’s Been Presented **
**Purpose of This Conference**
**Expectations**
**Background and Review**
**Rules of Engagement**

## Opening Remarks and Introductions

**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 Department’s 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.    **

**Background and Review:  I-MANAGE Program Description**

**Notes:**
Next, we discuss the project’s progress and accomplishments to date.

## Opening Remarks and Introductions

**President’s 2003 State of the Union Report**
- I-MANAGE identified as one of the Administration’s key e-Government initiatives

**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.”

**DOE News**
**Press Release dated Jan. 8, 2003**
- _Deputy Secretary of Energy Launches First Fully Integrated DOE Business Management System_
*Initiative supports President Bush’s 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 Energy’s 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.”

**I-MANAGE As It’s Been Presented**

## Opening Remarks and Introductions

**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 Energy’s 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.

**I-MANAGE As It’s Been Presented**

## 
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.

**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.**

**Opening Remarks and Introductions**

**Purpose 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.

**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.

**Opening Remarks and Introductions**

**Expectations of Joint Requirements Conference**

## Opening Remarks and Introductions

**Financial**
**Statements**

**Program**
**Targets**

**Procurement**

**Budget Formulation**

**Payroll**

**Core Financials**

**Budget Execution**

**Performance Metrics**

**Cost Accounting**

**Travel**

**R&D**

**Facilities Mgmt**

**Internal**
**Management**
**Reports**

**External**
**Reports**

**Executive Information**

**I-MANAGE**
**Data Warehouse**

**I-MANAGE Unified Systems**

**Human Resources**

**Cyber-security detection/protection**

**Opening Remarks and Introductions**

**Background and Review:  I-MANAGE Vision**

## Opening Remarks and Introductions

**Procurement**

**Budget Formulation**

**Payroll**

**Core Financials**

**Budget Execution**

**Performance Metrics**

**Cost Accounting**

**Travel**

**R&D**

**Facilities Mgmt**

**I-MANAGE Unified Systems**

**Human Resources**

- PeopleSoft ERP

- In production

- STARS Project underway.

- Planning, data modeling, integration with STARS underway.  Current FDS system will be upgraded and enhanced.

- Payroll scheduled for outsourcing in 4th quarter FY03.  Procurement business case still being refined.  ePME working with I-MANAGE Program to establish touchpoints.

- Travel Manager COTS software

- Oracle ERP

- TBD – plan to leverage existing software.

- TBD – GOTS/COTS plus enhanced FDS

- TBD – will outsource

- TBD

- TBD

- ePME

**Financial**
**Statements**

**Program**
**Targets**

**Opening Remarks and Introductions**

**Background and Review:  Individual Applications**

## Opening Remarks and Introductions

**Program**
**Targets**

**Internal**
**Management**
**Reports**

**External**
**Reports**

**Executive Information**

**I-MANAGE**
**Data Warehouse**

- 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.

**Opening Remarks and Introductions**

**Background and Review:  **
**I-MANAGE Data Warehouse**

## Opening Remarks and Introductions

- Budgetary Data

- Program Information

- Performance Measures

- Financial Data

- 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.

- Project performance issues

- User Specific “Alerts

- Rebalancing R&D Investment Portfolios

- Providing Ad-hoc Reports

- Drill-down for detailed analysis

**Opening Remarks and Introductions**

**Background and Review:  What I-MANAGE Means to You**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**Procurement**

**Budget Formulation**

**Payroll**

**Core Financials**

**Budget Execution**

**Performance Metrics**

**Cost Accounting**

**Travel**

**R&D**

**Facilities Mgmt**

**I-MANAGE Unified Systems**

**Human Resources**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Sub-Ledgers**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

- Fund code

- Approp. Yr.

- Allottee

- Reptg Entity

- U.S. SGL

- Object Class

- WBS Lvl 1

- WBS Lvl 2

**Oracle Accounting Flex-Field (AFF)**

- WBS Lvl X

**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.

- Budgetary and Proprietary Account Balances

**Background and Review:  STARS In More Detail**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Sub-Ledgers**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

**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.

- Budgetary and Proprietary Account Balances

**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.

**Background and Review:  STARS In More Detail**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**Procurement**

**Budget Formulation**

**Payroll**

**Core Financials**

**Budget Execution**

**Performance Metrics**

**Cost Accounting**

**Travel**

**R&D**

**Facilities Mgmt**

**I-MANAGE Unified Systems**

**Human Resources**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Sub-Ledgers**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

- Fund code

- Approp. Yr.

- Allottee

- Reptg Entity

- U.S. SGL

- Object Class

- WBS Lvl 1

- WBS Lvl 2

**Oracle Accounting Flex-Field (AFF)**

- WBS Lvl X

**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.

- Budgetary and Proprietary Account Balances

**Background and Review:  STARS In More Detail**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**Procurement**

**Budget Formulation**

**Payroll**

**Core Financials**

**Budget Execution**

**Performance Metrics**

**Cost Accounting**

**Travel**

**R&D**

**Facilities Mgmt**

**I-MANAGE Unified Systems**

**Human Resources**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

**Example of WBS**

- Program
-    Sub-Programs
-       Categories
-          Tasks
-             Sub-Tasks
-                 Projects
-                     Sub-projects
-                         Activities

- A common WBS across DOE will be represented within the AFF.  For example, the current B&R 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.

## 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****	****	****KA1102****-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****	****	****EW01J210A****-Non-Inventory Project Costs****	****	**
**EE:****	****Program****	****	****CC****-Geothermal****	**
**	****Sub-Program****	****CC10****-Geothermal Resources Development Fund**
**	****Category****	****	****CC1020****-Guarantee Reserve Fund**
**	****Task****	****	****CC102011****-Guarantee Losses-Interest & Principal Assistance**
**	****Sub-Task****	****	****CC1020111****-Advances**
**	**** ****	****	****	****	**
**	****	**

**Note:  All 5 reporting levels are not currently used by many of the Department’s programs.**

**Background and Review:  Current B&R**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

- 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.

- 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.

**Background and Review:  STARS In More Detail**

## Opening Remarks and Introductions

**Opening Remarks and Introductions**

**General**
**Ledger**

**STARS Oracle Federal Financials V11i**

**Purchasing**

**Accounts **
**Payable**

**Accounts **
**Receivable**

**Fixed**
**Assets**

- ???

- 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?

**Background and Review:  Example of Performance Hierarchy**

## Opening Remarks and Introductions

- 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.

**Background and Review:  Example of Performance Hierarchy**

## Opening Remarks and Introductions

- Criticism – express candid opinions but civility will rule
- Creativity – think out of the box; if you don’t 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

**Rules of Engagement**