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State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 1

Introduction

Version 1.0

March 3, 2009

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 1 - page 1
Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for distribution at 03-05-2009


1.0 March 03, 2009 Beth Adams
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 1 - page 2
Section 1
Introduction
Table of Contents

1.1. AGENCY IMPLEMENTATION GUIDE (GUIDE)


1.1.1.  Purpose of the Guide 
1.1.2.  Role of the Guide in the Agency Implementation 
1.1.3.  How to Use the Guide 
1.1.4.  Maintaining the Guide 
1.1.5.  Key Dates 
1.1.6.  Relationship of Guide to Other Documentation 
1.2.  PROJECT DEFINITIONS AND TERMINOLOGY 

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 1 - page 3
Section 1
1. INTRODUCTION

1.1. Agency Implementation Guide (Guide)


The Realization Phase of the LaGov project is designed to accommodate both the shared
and specific needs of agencies in order to achieve a successful ERP implementation.
Each Agency Implementation Lead (AIL) will be involved in all agency specific aspects
of migrating to the new ERP system. The Guide will be used throughout the processes
involved in implementation.

The Guide provides you with an overall view of your agency’s upcoming implementation
activities, key ERP project organization information, and a conceptual non-technical view
of the ERP system from a business function standpoint, and detailed step-by-step
instructions about how to lead your agency through each part of the ERP implementation.
It also provides you with information about how to use and maintain the Guide, what
types of information will be available in subsequent releases, and where you can find
additional supporting information on the LaGov website.

1.1.1. Purpose of the Guide


The Agency Implementation Guide is designed to be your roadmap for the ERP
implementation. The Guide contains background information on each stage of
implementation, as well as checklists with the required tasks for completion of each
stage. The Guide is a working document and will be added to and changed over time.
This release, Release One, contains the information that you need to get started on
implementation at your agency. You may notice that some of the sections in Release One
contain no materials. At a later date, additional releases of the Guide will be distributed.
These releases will complete the missing sections and supply revisions and updates to
applicable sections of the guide.

1.1.2. Role of the Guide in the Agency Implementation


The Guide will be the central repository for LaGov implementation information. It will
direct you to sources of information and contacts necessary to make informed decisions.
Many decisions about how a department/agency will carry out implementation need to be
made at the agency level. The Guide provides checklists and tasks that you will need to
address specifically for your agency.

1.1.3. How to Use the Guide


The Guide is organized to lead the agency through implementation. As mentioned
previously, it is a working document and will change over time. Updating the Guide with
current and new materials will be an important part of ensuring accuracy and consistency
across agencies.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 1 - page 4
Each separate tab within the guide contains information about different elements of
implementation. There are also appendix tabs that keep all the implementation checklists
and forms together. Keep any other documents related to implementation at the back of
the guide. A copy of the Guide, checklists, and forms is on the LaGov website at:
http://www.doa.louisiana.gov/ERP/index.htm

1.1.4. Maintaining the Guide


As updates and new releases to the Guide are made available on the LaGov website, you
should print the applicable sections and insert them in the appropriate tab of your Guide.
If the new material is a replacement for existing content, please remove and discard the
old material. Instructions for replacing and inserting updates will be provided with each
release. New releases will be made available on the LaGov website. When each new
release is available, a notification will be sent to the AIL via listserv.

1.1.5. Key Dates


Meeting implementation deadlines will be critical to the success of the project. Since
project deadlines are all inter-linked, it will be important to regularly check for changes
to project dates. A “Key Dates” document will be maintained on the LaGov website for
this purpose. You should visit this site often to ensure your deadlines are up to date:
http://www.doa.louisiana.gov/ERP/index.htm

1.1.6. Relationship of Guide to Other Documentation


The Guide is one of many project documents. Some sections of the Guide will refer you
to other project documents, which will be placed for your reference, on the LaGov
website at: http://www.doa.louisiana.gov/ERP/index.htm

1.2. Project Definitions and Terminology


In order to ensure clear communication and consistency across all agencies throughout
implementation, it will be important to use a common vocabulary when referring to
aspects of the project. Throughout this Guide, there is terminology that may not be
understood by all readers, or may have a different or more specific connotation to the
reader than to the authors. Section 12 of the Guide contains a Glossary that provides the
project definitions of functional and technical terms to help clarify their exact meaning.
In addition the Glossary contains various general terms associated with the project. As
new sections of the Guide are added, the Glossary will be revised. The Glossary is
intended to be a dynamic and fluid document that will be updated on a regular basis.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 1 - page 5
State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 2

LaGov ERP Project Overview

Version 1.0

March 3, 2009

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 1
Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for distribution at 03-05-2009


1.0 March 03, 2009 Beth Adams
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 2
Section 2
2. LAGOV PROJECT OVERVIEW
Table of Contents

2.1. INTRODUCTION
2.1.1.  LaGov Project Charter 
2.1.2.  Mission Statement 
2.1.3.  Business Drivers 
2.1.4.  Performance Measures 
2.1.5.  Goals 
2.1.6.  Guiding Principles 
2.1.7.  LaGov Project Phases 
2.1.8.  Implementation Timeline 
2.2. LAGOV SCOPE DESCRIPTION
2.3. FINANCE
2.3.1.  General Ledger (GL) 
2.3.2.  Accounts Receivable (AR) 
2.3.3.  Accounts Payable (AP) 
2.3.4.  Project Systems (PS) 
2.3.5.  Controlling (CO) 
2.3.6.  Funds Management (FM) 
2.3.7.  Asset Accounting (AA) 
2.3.8.  Treasury/Cash Management (CM) 
2.3.9.  Grants Management (GM) 
2.3.10.  Business Intelligence-Integrated Planning 
2.3.11.  Grantor (GTR) 
2.3.12.  Real Estate Management (RE-FX) 
2.4. LOGISTICS AND LINEAR ASSETS
2.4.1.  Procurement and Contracts (MM and SRM) 
2.4.2.  Materials and Inventory Management (MM, IM, and WM) 
2.4.3.  Plant Maintenance (PM) for Facilities 
2.4.4.  Linear Assets (Agile) 
2.4.5.  Fleet Management (Fleet) 
2.4.6.  Mobile Solutions (Mobile) 

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 3
2.5. SYSTEM DEVELOPMENT SCOPE
2.5.1.  Custom Reports & Forms 
2.5.2.  Conversions and Interfaces 
2.5.3.  Enhancements 

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 4
Section 2
2. LAGOV PROJECT OVERVIEW

2.1. Introduction
During the Business Blueprint phase of the LaGov project, the business goals of the
participating State agencies were validated and the business processes to support these
goals were defined through business process definition workshops. The key deliverable
and end result of this phase is the detailed Business Blueprint for the State of Louisiana
that communicates a common understanding of the solution business requirements and
how they will be met within the SAP and AgileAssets software solutions.
The SAP and AgileAssets systems contain many features and functions and provide a
functionally rich solution for the State of Louisiana.
The Business Blueprint outlined how the State intends to conduct daily business
operations within the SAP and AgileAssets systems and provides a conceptual master
plan and business process requirements that must be achieved during the Realization
Phase. Potential organizational impacts that will result from the implementation of these
business process requirements were also captured so that the State can begin to develop
the required plans to address the organizational changes that will occur.

The Business Blueprint confirmed the scope of the project and is the key input into the
next phase, project Realization. During this phase, the LaGov project team will use the
business process requirements outlined in the Business Blueprint as the basis for the
design and development of the SAP and AgileAssets systems. During this phase of
design, development, and testing, additional details will be uncovered which may alter,
enhance, and expand upon the business process requirements captured in the Business
Blueprint phase of the project. These changes will be processed and realized through a
formal addendum process to ensure that the scope of work remains consistent with
development efforts.

2.1.1. LaGov Project Charter


The Project Charter establishes the foundation for the LaGov ERP project by defining its
dimensions and completion criteria. The purpose of the Business Blueprint for the
LaGov project is to document the business process requirements for the State of
Louisiana in support of the following project charter dimensions.

2.1.2. Mission Statement


To successfully implement an enterprise administrative solution for the State of
Louisiana to demonstrably improve administrative business performance and reporting.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 5
2.1.3. Business Drivers
ƒ Public and executive demand for government transparency
ƒ Fragmented data and processes in existing State administrative systems
ƒ Obsolete and unsupported technology across mission critical administrative systems
ƒ Risk to accounting and federal billing operations at the Department of Transportation
and Development due to archaic and unreliable business systems

2.1.4. Performance Measures


ƒ On time implementation
ƒ Project delivered within budget
ƒ Project delivers planned scope of functionality
ƒ Stable operations achieved at each implementation point
ƒ Implemented software causes no major operational disruptions or adverse impacts

2.1.5. Goals
ƒ Successfully migrate the State’s administrative data and operations to a robust,
vendor-supported and upgradeable software solution.
ƒ Establish a statewide administrative data warehouse that seamlessly integrates the
State’s central business data includes: budget, accounting, procurement, asset
management, human resources and payroll data.
ƒ Demonstrably improve reporting and transparency.
ƒ Improve tracking and reporting of roads, bridges and other linear assets for the State
of Louisiana.

2.1.6. Guiding Principles


ƒ The project will be business-driven and will constructively engage State business
stakeholders throughout the project.
ƒ All project activities, plans and decisions will be made for the best, long-term
interests of the Louisiana State Government.
ƒ Getting the State agencies ready for the software is as important as getting the
software ready for the State agencies.
ƒ Project Management and Steering Committee members will quickly make decisions
and resolve issues.
ƒ Effective communication between project management, project executives, project
team members, and involved stakeholders is essential for project success.
ƒ The project will strive to implement a maintainable system by limiting customization
and site-specific code that might impede later upgrades or downstream maintenance.
ƒ Our aim is to deliver the original project scope. We will ‘say no’ to scope expansions
which threaten successful delivery of the project
ƒ The project will minimize the use of temporary software

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 6
2.1.7. LaGov Project Phases
The LaGov Project Phases include the implementation of the SAP Finance and Logistic
modules and AgileAssets module as outlined in the tables below.

Phase 1 - SAP core functions


(except for Budget Preparation and DOTD)
• General Ledger
• Accounts Payable
• Receivables/Billings
• Procurement
Functionality is presumed available to all in-scope agencies unless otherwise noted:
• General Ledger
• Accounts Payable
• Accounts Receivable*
- DOTD
- DOC
- WLF
- Ethics Administration
• Procurement
• Contracts
• Inventory/Materials Management
- DOTD
- DPS
- WLF
• Warehouse Management
- DOTD
- DPS
• Asset Management
• Fleet Management
• Facilities Management
- DOTD
- DPS
- OSB
• Real Estate
• Grant Management (Grantee)
• Grantor
- LGAP
- BOR
- DOE (non-EGMS)
• Project Accounting
- FPC
- CPRA (Coastal Protection & Restoration Authority)

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 7
Phase 1 - SAP core functions
(except for Budget Preparation and DOTD)
- DOTD
• Cost Allocation*
- DHH
- DSS
- DOL
- OPH
• Business Intelligence / Data Warehouse
• All required interfaces (as outlined in this Business Blueprint document) applicable
to above functions (including State’s HR/Payroll System)
• *NOTE: AR and Cost Allocation will be used to support Grants Management

Phase 2 - All functions for DOTD (including linear assets)


ƒ All Phase 1 functionality as related to DOTD.
ƒ Linear Assets for DOTD only
ƒ Linear Assets-related Mobile Solutions for DOTD only
ƒ Business Intelligence / Data Warehouse
ƒ All required interfaces applicable to above functions
ƒ All required interfaces (as outlined in this Business Blueprint document) applicable
to above functions
ƒ Remaining mobile solutions

Phase 3 - Budget Preparation


ƒ Budget Development including Capital Budgets
ƒ Business Intelligence / Data Warehouse
ƒ All required interfaces (as outlined in this Business Blueprint document) applicable
to above functions

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 8
Phase 1 - SAP core functions
Phase 2 - All functions for DOTD
(except for Budget Preparation Phase 3 - Budget Preparation
(including Linear Assets)
and DOTD)
PHASE 1 TIMELINE PHASE 2 TIMELINE PHASE 3 TIMELINE:

Realization Phase Realization Realization


ƒ Start Feb 2009 ƒ Start Feb 2009 ƒ Start Aug 2009
ƒ Complete Feb 2010 ƒ Complete May 2010 ƒ Complete June 2010

Final Preparation Phase Final Preparation Final Preparation


ƒ Start March 2010 ƒ Start May 2010 ƒ Start June 2010
ƒ Complete June 2010 ƒ Complete Sept 2010 ƒ Complete Sep 2010

Production Go-live Production Go-live Production Go-live


ƒ June 2010 ƒ Sept 2010 ƒ Sep 2010

Go-live and Support Phase Go-live and Support Go-live and Support
ƒ Start June 2010 ƒ Start Sep 2010 ƒ Start Sep 2010
ƒ Complete Sep 2010 ƒ Complete Dec 2010 ƒ Complete Mar 2011

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 9
2.1.8. Implementation Timeline

Implementation Timeline
JAN – MAR 2009 APR – JUN 2009 JUL – SEP 2009 OCT – DEC 2009 JAN – MAR 2010 APR – JUN 2010 JUL – SEP 2010 OCT – DEC 2010

02/02 Development 08/28

Integration Testing 02/26

UAT / Training

Go-Live – 06/21/10

Single Instance Migration


Support
02/02 Development 08/28 12/31

Integration Testing
05/28
Development
UAT / Training

Go-Live – 09/27/10

Support
08/03 Development 04/02
12/31
Integration Test 06/18

UAT / Training
LEGEND
Go-Live – 09/20/10
Phase 1 – Fincls / Logistics (Agencies)
Support
Phase 2 – Fincls / Logistics / Linear (DOTD)
Phase 3 – Budget Preparation (BP/IP)
03/31/11

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 10
2.2. LaGov Scope Description
This document updates the scope as determined during the Blueprint Phase and is
documented using the Ascendant methodology and Solution Manager Toolset. We have
identified and confirmed all conversions, interfaces, and enhancements during blueprint.
Workflow requirements were also discussed and defined as part of the business process
work sessions. Topics designated as "business processes" were addressed in the blueprint
workshops.

In its final version (after approvals and prior to any revisions,) this document largely
reiterates the scope section of the Statement of Work (SOW). The changes incorporated
here add detail where available and further clarify other sections where possible. The
benefit of reiterating the scope in this document is that the team now will have a single
working document, with its own change and approval history.

2.3. Finance
Financial processes across the target areas of the organization will be standardized and
integrated in order to provide for efficient transaction processing. The goal is to provide
more time for value-added analysis and decision support.

We understand that The State of Louisiana is one business entity. Additional legal
entities (such as component units, which will require minimal presence in SAP,) will be
represented appropriately in the account code structure to provide for integrated fund
financials as required. We presume that there will be one financial system of record with
a consolidated chart of accounts and a single fiscal year.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 11
2.3.1. General Ledger (GL)
The General Ledger is part of the SAP Financial Accounting Module (FI). The general
ledger functionality includes revenue, expense, and balance sheet classifications, as well
as the first level of organizational breakdown, business area. The general ledger must be
carefully designed to meet the financial statement reporting requirements and ensure the
reconciliation with cost accounting (CO) and budgetary accounting (FM).

Using the Split Processor, all postings are split and balanced for posting in the General
Ledger. Splitting and balancing functionality enables the automation of full balance
sheet reporting on the dimensions of business area, fund, and grant. The general ledger
provides the necessary functionality to comply with GASB statements consisting of
support of full accrual and modified accrual accounting. External reporting requirements,
including those required for CAFR preparation, are facilitated by the general ledger
design.

Business Process Description Key Integration Points


Enterprise The design of the company code, • Integrated account code
Structure business areas, and chart of structure across all modules
accounts provides the backbone of
the entire account assignment. • Revenue and expense GL’s
must be mapped to Cost
This process includes creation, Elements in CO
change, and deletion of general
ledger accounts. • GL’s must be mapped to
Commitment Items in FM
• Material masters, HR wage
types, and travel objects will
be linked to GL accounts
• Other revenue and expense
reporting requirements (e.g.
CFDA, State reporting
requirements, etc) to be
identified by end of Design
phase
• FEMA reporting of hurricane-
related revenues and
expenditures
• Transparency reporting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 12
Business Process Description Key Integration Points
Period Closing calendars • FM, CO, AA, and MM periods
Management and must be managed in
Reserve for encumbrances
Closing Operations accordance with the financial
Sub-ledger close reporting requirements
• Timing of interfaces, inbound
and outbound
• Management of purchasing
processes
• Encumbrance rollover process

GL Processing Journal Entries, Accruals, and • Document types must be


Deferrals coordinated with General
Ledger design
• Payroll posting
• Many finance interfaces will
post as journal entries
• Automatic period end accruals
and reversals
• Travel posting

Splitting Rules Splitting Rules – established to • Pooled Cash


automate splitting and balancing of
all postings to ensure the ability to • Payroll Trust
produce balance sheet reporting by • Bond Security and Redemption
fund, business area, or grant Fund

Financial reporting Financial Reporting including trial • Consideration of multiple


balance, fund level reporting, and bases of accounting and
CAFR support integration with FM
commitment items, as well as
Asset and liability postings

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 13
2.3.2. Accounts Receivable (AR)
Accounts Receivable is a sub-ledger of the SAP Financial Accounting Module (FI).
Accounts Receivable functionality comprises all customer relevant activities, including
billing, payments, reporting, analysis, and communication.

Business Process Description Key Integration Points


Account Code Customer master records • Grants management sponsors
Structure must be represented as
This process includes creation,
change, and deletion of customer customers and integrated with
records. SD billing

AR Processing Invoicing, Payments, and Dunning • Grants management billing


will be processed in SD.
Resource related billing will be
configured to support this.
• Integration with PS for FHWA
billing
• Agencies requiring AR
functionality will be
researched and assessed during
blueprint

Reporting and Customer Correspondence, • Agencies requiring AR


analysis Customer analysis, and reporting functionality will be
researched and assessed during
blueprint.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 14
2.3.3. Accounts Payable (AP)
Accounts Payable is a sub-ledger of the SAP Financial Accounting Module (FI).
Accounts Payable functionality includes the invoicing of non-purchasing transactions,
payment processing, 1099 reporting, advancement accounting, and check management.
AP also includes the management of vendor activity, analysis, and communication.

Business Process Description Key Integration Points


AP Processing Invoices, Payments, Clearing • Integration with HR for third
Retainage, liens, and securities party remittances

Advance payments to vendors and • Integration with purchasing for


subsequent recoupments LIV

Deferred compensation payments • Integration with cash


for vendors forecasting
• Vendors restricted/on hold for
payments
• Payment document
modifications
• EF and check numbering for
new fiscal year
• EFTs, ADs, and Manual
checks
• Single and consolidated
payments
• Imprest accounts
• Internal voucher processing
• Discount terms capacities
• Integration with Travel for
employee/vendor payments
• Integration with Logistics for
discussion of changes to
follow on account code, to
include vendor location

Check Voids, cancels, reissues • Integration with cash


Management management and banks
Escheated checks

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 15
Business Process Description Key Integration Points
1099 Processing Options for 1099 reportable • June 30 and November &
identification, generating reports, December monthly closes
consideration of forms and formats, reports
1099 submission
• Agency revisions to 1099 data
• Backup withholding

Account Code Vendor master records – financial • Integration with Purchasing


Structure aspects
• Segregation and coordination
Vendor analysis and reporting of duties between AP and
Purchasing

Non-Payable Accounting for non-payables • Integration with contracts


Invoices including contracts and budgetary
impacts • Integration with FM for
budgetary impacts

Purchasing cards Financial processing for purchasing • Integration with bank P-card
cards – account assignment, purchasing system
validations with bank system,
postings of costs, and payment to
the bank

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 16
2.3.4. Project Systems (PS)
The Project Systems module allows for the management of a project throughout the
project lifecycle of creation, planning, budgeting, cost accumulation, close out, and
capitalization. Project Systems close out is integrated with Funds Management (FM) for
budgetary controls, Controlling (CO) for recording non-capital expenditures and Asset
Accounting (AA) for capitalization purposes.

Business Process Description Key Integration Points


Project Mapping of current project Integration with systems –
Management management and accounting Trns.port (4 modules
systems and associated processes implemented, 2 modules in
process)
Project Structures Project master data including WBS • Integration with FM funds and
profiles and structures, and funded programs
networks
• HR labor costs
Processes include creation, change,
and deletion of project data • Designed to support FHWA
requirements
Federal Highway Administration
(FHWA) Approvals • Integration with Budget Prep
(BP)

Project Accounting Posting of revenues and expenses to • FM derivation strategy


projects
• Cost allocations from CO
Labor posting to projects
• Integration with GM, as
Overhead allocations designed
Federal-Aid project accounting and
billing
Grant funded capital projects
Project Planning, Project Planning, Budgeting, and • Integration with FM funded
Budgeting, and Control programs
Control
Funded program requirements as
defined by budget control
Capital Projects Capital Project costs will settle to • Integration with AA for
Periodic Processing assets under construction, which, settlement
upon project completion, will settle
to final fixed assets • Integration with FM for fund
accounting
Specify Funding sources for capital
projects, AuC reporting and for
final fixed assets
Year end adjustment entries

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 17
Business Process Description Key Integration Points
FHWA Billing Exploration of solutions to support • Integration with FHWA
(RASPS) FHWA billing and revenue receipt
• Integration with AR and SD to
support billing requirements

FHWA (FMIS) Exploration of solutions to support • Integration with FHWA


FHWA pre-approvals and
approvals

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 18
2.3.5. Controlling (CO)
The Controlling module provides functionality for internal, managerial cost accounting.
Cost accounting provides the basis of expense and revenue classification for the
allocation, distributions, and recovery of internal costs. Additionally, the detailed
organizational structures are defined in the cost center hierarchy. CO Internal Orders are
used for the collection and management of costs related to discrete activities.

Business Process Description Key Integration Points


Account Code Internal Orders – Real and • Potential relationship with GM
Structure Statistical (if statistical, cost grants with multiple programs
collector is a cost center or project)
Account Code Cost Center structures and master • One to one with relationship
Structure data with FM Funds Centers

Integration with Time entry/postings to Finance • Integrate with HR info Types


HR objects (0001, 0027, 1018, )

Inter-agency Payments made from one state • Integration with Contracts


Transfers agency to another
• Integration with FM for
Internal service funds encumbrance requirements
• Integration with AP/AR for
consideration of arms length
functionality

Periodic Processing Central direct cost allocations to • FICO Month-end process


Agencies
• Reconciliation with FI
Indirect cost allocations to Agencies (automatic)
Departmental allocations within and • FM budgeting impacts
across agencies
• Integration with GM
Grant-related allocations
Project related allocations
Statistics and Statistical Key Figures
Activities
Activity Type – standard cost/rates
for charges

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 19
2.3.6. Funds Management (FM)
The Funds Management module provides for the controlling, tracking, and reporting of
the financial resources of an organization. FM manages budgeted income and expenses,
providing active availability controls. Budget is managed using multiple dimensions to
represent funding source, organization, classification, and purpose. FM functionality also
includes managerial commitments not provided for in Purchasing.

Business Process Description Key Integration Points


Account Code Including: funds, commitment • Commitment items mapped to
Structure items, functional areas, funded G/L accounts and cost
programs, and funds centers elements
Mapping of FM master data to other • Integration with Business Area
ECC master data for integration of design to ensure all balance
Actual expense data to support sheet reporting requirements
budget control and Actual vs are met
Budget reporting
• Integration with PS and GM
for funded program design
• Potential integration with
Agile
• Integration of all ECC master
data with FM Master data

Budget Definition of key FM budgeting • Coordinated design with BI IP


Preparation characteristics to support budget
Integration and control and execution\
Amendments
Integration of budget characteristics
with BI IP
Integration of budget formulation
with budget execution
Initial budget loads and interim /
periodic ECC budget changes
Budget changes and approvals
process definition
Budget transfers, supplements,
returns, revenue increasing budget
(if applicable)
Definition of types of budget
control and tolerance limits

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 20
Business Process Description Key Integration Points
Budget Availability Budget control requirements by • GM/PS Budget Integration
Control agency, expense type and source
(e.g. HR payroll) • Integration with BI IP for
budget adjustments
Account code structure used for
budget control • Integration with other ECC
modules, PM, for specific
Use of Active versus Passive budget control requirements
Budget Controls
Review of other FM functionality
Encumbrance Establishing the nature of • Integration with Procurement
Recording and procurement commitments against
Tracking the budget • Integration with maintenance

Managerial reservations of the • Integration with GL and AP (if


budget required)

Use of non-consumable budget


Period-end Month-end processing, including • MM – for commitments
Processing period control and commitment closeouts and carry forwards
transfers to FI
• FI – for reconciliation between
Year-end processing, including net assets and fund balance
budget carry forwards, commitment
carry forwards, budget lapsing and • Integrate with overall FI period
FM revenue and expense closeouts end processing

Organization structure re- • BCS – for residual budget and


organizations and related carry lapsing
forwards
Reporting Budget to actual reporting • BI reporting Tool
Budget and actual detailed
breakdown
Version based reporting
Identification of other key budget
reporting required

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 21
2.3.7. Asset Accounting (AA)
Asset Accounting manages the financial lifecycle of a capital asset, from acquisition to
retirement, including general information and financial valuation. This includes ‘during
life’ events such as depreciation, physical inventory finding updates and transfers. Asset
Accounting facilitates the management of asset classifications and reporting.

The State will use corresponding PM Notification Records to manage the


location/custodian tracking, inventory tag number assignment, physical inventory taking
for tracking both capital assets and other controlled, but non-capital items. PM
Equipment Master Records will be used for equipment and vehicle maintenance
purposes.

Business Process Description Key Integration Points


Asset Master Asset Master Records (AMR) and • One Chart of Depreciation and
Records and Classes Two Depreciation Areas
Classes
Field level requirements • Integration with GL for
Processes include creation, change general ledger accounts
and blocking of asset master data • Integration with financial
(no AMR delete) modules (e.g. GL, FM, GM,
General ledger account structure for CO) for Business Area, Fund,
asset classes Fund Center, Grant, Cost
Center, Functional Area.
Equipment records (PM) will be
used for maintenance tracking of • Integration with Plant
equipment and vehicles. Maintenance for equipment
master records
Notification Records (PM) will be
used for physical inventory tracking • Integration with Plant
and operational purposes for all Maintenance for capital assets
movable property assets (including - moveable property
those that are capital assets). Notification Records
• Integration with Agile – will
be manual reference only re
AMR: Supernumber (Control
Section/Recall #) for
infrastructure capital assets
(including Right of Way)
• Integration with Real Estate
for real property capital assets.

Asset Acquisition Asset acquisition processes to • Integration with MM module


and subsequent include purchase, construction, (e.g. PO, GR, IR)
valuations donated (or other non-cash
acquisitions) for Moveable • Integration with PS capital
Property, Real Property (including projects (Settlement to
Right of Way), and Infrastructure AuC/final asset), including

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 22
Business Process Description Key Integration Points
Capital Assets construction and purchase of
unique assets within a capital
Asset valuation
project
GASB42 Impairment
• Within fixed asset module with
Capital leases requirements will be the standard integration with
finalized during realization (low GL, FM, GM, CO. This
volume – less than 20) includes:
Intangible assets (GASB51) details o Grant funded capital assets
are being finalized by OSRAP –
requirements cannot be determined o Debt funded capital assets
until OSRAP provides direction • Capital leased assets and lease
(expectation is that this will be payments (requirements to be
provided during realization phase) finalized during realization)

Transfer of assets Asset transfer processing including • Within fixed asset module with
reassignment within agencies and the standard integration with
transfers across agencies. GL, FM, GM, CO
Transactions will be used where
there are financial implications (e.g. • Integration with RE
cost center, fund, grant, etc.), • Integration with PS (settlement
otherwise it will be an AMR change rules for AuC to AMR)
Note: Transfers to LPAA surplus
and to non LaGov project entities
will be handled as a retirement
Retirement of Retirement of assets processing • Within fixed asset module with
assets including surplus, sales, trade-ins, the standard integration with
destruction, and donations GL, FM, GM, CO
Accounting for gain or loss • Integration with RE
Transfers to LPAA surplus and to
non LaGov project entities will be
handled as a retirement
Physical Inventory Bar coding and Physical Inventory • Within fixed asset module with
taking and certification will be the standard integration with
handled via the PM Notification GL, FM, GM, CO (via
Record transactions for financial
Financial and AMR adjustments adjustments)
will be made as required by
physical inventory findings
Periodic Settlements, depreciation, and • Integration with PS for
Preprocessing period (e.g. month end and year settlements
end) management
• Integration with GL, FM, GM,
Day-end transaction financial CO and RE for period
updates for second Depreciation management and depreciation
Area

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 23
Business Process Description Key Integration Points
postings
Construction projects in-process at
year end (WIP—Asset) will be • Integration with GL, FM, GM,
managed via PS CO and RE day end APC
postings

Conversion Asset master record general data • For mid-year conversion of


conversion valuations (including Asset balances to FI-GL & FI-
general ledger values for asset AA, the conversion also
general ledger accounts) requires midyear AMR
Asset cleanup requirements in acquisitions and other capital
preparation for conversion asset transaction to be loaded
into SAP.
Asset data transformation
requirements for conversion • Because there is no legacy
monthly depreciation,
Requirements for yearend depreciation postings for the
conversion of capital assets (year midyear transactions will be
end balances) and for DOTD, run in SAP as part of the next
midyear conversion to include scheduled depreciation run (i.e.
transactional data. ‘catchup’of depreciation.
Conversions:
• Moveable Assets – Protégé and
OSRAP ‘Impairment’ Worksheet.
• Real Property Assets – SLABS
and OSRAP valuation &
depreciation worksheets (and also
additional worksheets for
Impairments)
• Infrastructure (including Right of
Way) from DOTD worksheets.
Integration Point Conversions:
• PS – Capital asset projects
including Assets under
Construction and Settlement
Rules
• MM – Attachment of AMR for
outstanding Capital Asset PO.
• GL - Capital asset general ledger
account conversion.
• Outstanding invoices for Capital
Assets that have already been
received but not setup as legacy
assets will need a conversion
follow-up process.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 24
2.3.8. Treasury/Cash Management (CM)
Treasury and cash management functionality in SAP includes the use of Bank
Accounting (BA) and Cash Management (CM). Bank Accounting functionality includes
the posting of receipts, bank account maintenance, and electronic bank statement
reconciliation. Cash Management functionality includes the determination and reporting
of cash position, liquidity forecasting, and the management of pooled cash.

Business Process Description Key Integration Points


Cash Reporting Cash Position and Liquidity • MM (PO/PR), AP, AR, and
and Forecasting Reporting GL all feed information into
cash management

Bank Accounting Bank account maintenance, bank • GL/CO for posting to accounts
transfers, bank reconciliation and and cost centers for manual
Electronic Bank Statement bank postings and EBS
• GL – account structure to
support EBS
• HR/AP – Bank directory to
support direct deposit. Link to
employee master and vendor
master.

Investment Investment tracking and reporting • Integration with investment


Management including GASB34 management systems
Integration with investment • Integration with GL for
management systems (QED) postings

Debt Management Short and LT tracking and reporting • Integration with debt
including GASB34 management systems
Integration with investment • Integration with GL for
management systems (MUN- postings
EASE)
Investment and Investment and debt interest • Integration with GL for
debt interest tracking, recording and allocation postings

Cashier and Offsite Cashier and Offsite Cash Receipts • Integration with AR/GL for
Cash Receipts processing revenue classification
Cash deposits recording and
tracking

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 25
2.3.9. Grants Management (GM)
Grants Management (Grantee) encompasses the full lifecycle of sponsor related
activities. GM provides for the management and accounting of pre-award activities, cost
accumulation, budgeting, billing, reporting, and closeout for a grant received by the State
from external third parties. GM uses multiple dimensions to capture and report
information according to sponsor requirements automatically from internal dimensions.

Business Process Description Key Integration Points


Master Data Master Data, including sponsor, • Integration with AR for
grant, sponsored program, sponsor records
sponsored class and budget validity
periods • Integration with CO/PS for
actual cost objects
Processes include creation, change,
and deletion of master data • Integration with FM for grant

Integration of other ECC master


data to GM external sponsor
dimensions
Grant Lifecycle Managing grant lifecycle from • Integration for posting control
Management application to award to closeout
Allowable posting activities
throughout grant lifecycle
Definition of requirement lifecycle
phases
Process for Grant Master
Maintenance
Grant Budgeting Budget Preparation and Budget • Integration with FM budgeting
and Budget Execution and Maintenance
Control • Integration with IP for budget
Budget control according to prep
Sponsor requirements and
dimensions
Periodic Budget Adjustments by
sponsor dimensions
Grant Accounting Posting of revenues and expenses to • Majority of postings integrated
grants from other modules with and originate in HR, MM,
Periodic corrections and transfers FI, CO

Timing and treatment of expenses • GM Derivation rules


according to sponsor requirements • Integration with AA
Indirect Overhead Allocations

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 26
Business Process Description Key Integration Points
Grants Billing / Grants Billing / Claiming processes • Small portion of SD set up to
Claiming to include automated and manual handle billing
billing, according to specific
sponsor and grant requirements • Integration with AR
including:
- Billing basis or methodology
- Billing Frequency
- Billing Rules (i.e. types of
expenses)
Recording of accounts receivables
and revenues
Grants conversion Discussion of all online and offline
systems currently used for grant
recording and tracking
Discussion of data cleanup efforts
required to support conversion
Discussion of mapping to new
detailed structures
Grants Reporting Sponsor specific reporting
requirements
Budget to actual reporting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 27
2.3.10. Business Intelligence-Integrated Planning
BI-IP supports operating and capital budgeting requirements. It provides a flexible
budgeting platform that will enable continuous and efficient budgeting, simulation and
forecasting (as defined in the Blueprint phase). The operational budget can be sourced
from the distributed budget and augmented with position level detail including position,
pay grades, and filled and vacant positions, primarily based on the data structure already
available for reports in the current HR system. As the underlying analytical platform,
Business Warehouse (BI) is the multi-dimensional reporting and data warehousing
solution that is fully integrated with IP. The approved budget will be electronically
transferred to Funds Management to support the execution of the budget. The original
budget will be recorded and recurring and non-recurring changes to the budget will be
supported for reporting and execution control.

Business Process Description Key Integration Points


Budget Timeline Discussion of timeline • Budget Calendar
Assessment of efficiency • Approvals
opportunities
Statutory obligations
External factors and influences
Operating Budget Operating budget processes • Integration with FM/GM
including versioning, approvals,
and layouts: • Integration with HR as detailed
• Budget Request Process
• Executive Budget development
• Amendments (creation,
tracking)
• BA-7 Adjustments

Capital Budget Capital budget processes including • Process integration with PS


versioning, approvals, and layouts:
• CO Request Process
• HB2 Budget development
• Amendments (creation,
tracking)
• Adjustments
Long range capital planning:
• 5 yr Capital budget business
and system processes
• Other long term business
processes

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 28
Business Process Description Key Integration Points
Integration with Version integration • Retraction to FM
FM/GM
Levels of budget control • Integration with GM budgeting
Interaction/frequency with ECC for
actuals
Management of mid-year
processing
Historical Data Considerations of historical data • Integration with legacy
required for budget forecasting systems, such as:
Conversion considerations for o BRASS, spreadsheets
budget data, together with the o NCORTS, CORTS, BDS
Business Intelligence scope for o Offline data systems
conversion of historical data of past
few years and Transparency
Initiative
Reporting Identification of reporting • Integration with PatternStream
requirements to support budget
presentation/publication, for:
• Executive Budget / HB1
• Capital Budget / HB2
• Supporting documents

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 29
2.3.11. Grantor (GTR)
The SAP Grants Management for Grantor solution is designed to meet the requirements
of public sector organizations that fund grant programs. The business processes included
in this solution are program definition and management, budgeting, application,
assessment, agreement, claims processing, grant payment processing, repayment
processing, auditing & monitoring and analysis. The SAP Grantor solution includes
Web-enabled grant application, claim and change request processing, workflow
approvals, and case, correspondence and records management functionality. It also
delivers robust reporting capability and content through the SAP Business Intelligence
solution.

The grantor solution utilizes key features within SAP’s Customer Relationship
Management (CRM) module, ECC AP/AR module, ECC Funds Management (FI-FM)
and ECC Financial Accounting (FI-GL) components.

Business Process Description Key Integration Points


Master Data Master Data includes Business • Integration with FM for funded
partner (Employee, Grantee and programs
Vendor), Organization model and
Grantor Program. • Integration with ECC for
vendors.
• Integration with HR for
employees.

Applications and Application Processes for Grantor • Online application submission


agreements program Fund. from Grantee.
Agreement process for Grantee • Integration with ECC FM for
project execution and budget Fund commitment.
earmark.
Grants Budgeting Budget Preparation and Budget • Integration with FM for
Execution and Maintenance budgetary controls

Grant Accounting Payments, advanced payments and


repayments
Grants Claiming Grantee claim submission • Integration with ECC AP for
the Payments.

Grants conversion Discussion of all online and offline


systems currently used for grant
recording and tracking
Discussion of data cleanup efforts
required to support conversion
Discussion of mapping to new
detailed structures

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 30
2.3.12. Real Estate Management (RE-FX)
The SAP Real Estate Management (RE-FX) application provides full support for
portfolio management, corporate real estate management, commercial real estate
management, and facilities management. It supports the full real estate lifecycle. In
addition to providing a centralized database of real estate related information, it offers
powerful analytical tools and functions for the development, construction, operation, and
deployment of property. SAP Real Estate Management is built on the SAP NetWeaver
technology platform and smoothly integrates with the SAP ERP application to align
leasing transactions with accounting, controlling, maintenance, and reporting functions.

Business Process Description Key Integration Points


Master Data Real estate master data includes • Integration with FI-GL for
architectural objects, business account assignments
entity, property, building, pooled
space, rental space and rental units • Integration with CO for cost
settlement
• Integration with FI-AA for
depreciation costs
• Integration with PM for
maintenance related costs
• Integration with PS for
renovation projects

Real Estate Real estate acquisition and disposal • Integration with FI-GL, FI-AR
Transactions contracts and FI-AP for financial
postings
• Integration with FI-AA for
asset acquisition

Leasing Lease administration – from initial • Integration with FI-GL, FI-AR


lease setup through billing, lease and FI-AP for financial
changes, critical-date tracking, postings
renewals, and lease expiration or
termination.
Right-Of-Way Acquisition and sale of ROW • Integration with FI-GL, FI-AR
Parcels parcels and FI-AP for financial
postings
• Integration with FI-AA for
asset acquisition

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 31
2.4. Logistics and Linear Assets
The Logistics functionality supports the core operational needs of the State of Louisiana.
These include procurement, contracting and quote/bid processing, material supplies and
inventory, facilities maintenance operations, fleet management/motor pool operations,
management of linear assets, and other supported business processes. This functionality
will be provided by SAP ECC 6.0 core modules, SAP SRM applications, and AgileAssets
Manager Suite. Note that the Phase 2 Blueprinting process will determine exactly which
system (or combination of systems) will provide a given functionality.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 32
2.4.1. Procurement and Contracts (MM and SRM)
SAP MM and SRM procurement functionality supports:
• External procurement of materials and services
• Determination of possible sources of supply for a requirement identified by
the materials planning and control system or (arising directly within a user
department)
• Monitoring of deliveries from and payments to vendors

Business Process Description Key Integration Points


Purchasing Master These are the building blocks to • Organizational structure
Data Maintenance support procurement functionalities (plants, storage locations,
in the ERP system. This includes purchasing organization, etc.)
vendor master records, purchasing
information records (“info recs”), • Finance (controlling, financial
source lists, pricing conditions, accounting, including but not
quota arrangements, and vendor limited to Business Area)
evaluation. • Segregation and coordination
of duties between AP and
Purchasing
• Women/Minority vendors
(MWBE), Small and Emerging
Businesses, Small
Entrepreneurs, etc, tracking
with ability to report
information about these
vendors
• Historical tracking of changes
and who made them
• Reporting
• Workflow

• Vendor Self-Service (SUS via


SRM)
• Possible data conversion from
legacy systems

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 33
Business Process Description Key Integration Points
Purchase This functionality includes the • Organizational structure
Requisitions creation, maintenance, and approval (plants, storage locations,
Processing of purchase requisitions for purchasing organization, etc.)
materials and services. Purchase
requisitions will contain account • Finance (controlling, financial
and budgeting coding and will accounting, encumbrances)
allow for a pre-commitment (pre- • Material Master Records
encumbrance) to be established.
Approvals for purchase requisitions • Inventory
can be handled through release • Punch-out to Supplier Catalogs
procedures supported by SAP
Workflow (WF) module. Includes • Agency Users
integration/processing with P-Card • Contracts
procurement.
• P-Card Processing
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Procedural integration with
peripheral departments
• Workflow

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 34
Business Process Description Key Integration Points
Purchase Order This functionality includes the • Organizational structure
Processing creation, maintenance, and approval (plants, storage locations,
of Purchase Orders for materials purchasing organization, etc.)
and services. Purchase Orders
(PO’s) will contain account and • CO, FI, FM for account
budgeting coding (adopted from the assignments and encumbrance
requisition, or manually entered,) integration
and will allow final budget • AA for Asset Acquisitions
commitments (hard encumbrance)
to be established. Approvals for • Material Master Records
purchase orders will be performed • Inventory
by SAP PO release procedures.
Includes integration/processing with • Punch-out to Supplier Catalogs
P-Card procurement. • Contracts
• P-Card Processing
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Workflow
• Procedural integration with
peripheral departments
• Data conversion from legacy
systems
Request for This process segment includes • Organizational structure
Quotation analyzing the need for and the (plants, storage locations,
Processing subsequent creation and purchasing organization, etc.)
maintenance of RFQ’s for materials
and services. Bid and Quote • Material Master Records
documents can be generated and • Contracts
submitted, posted for response, and
subsequent vendor bids received, • Guest and Agency Users (view
analyzed, and awarded. Winning open, awarded, and un-
bids/quotes can be converted into awarded bids)
contracts as required. • Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Workflow
• Procedural integration with
peripheral departments
• Data conversion from legacy
systems

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 35
Business Process Description Key Integration Points
Contract (Outline This functionality includes the • Organizational structure
Agreement) creation, maintenance, and approval (plants, storage locations,
Processing of Outline Agreements (Contracts) purchasing organization, etc.)
for materials and services.
Contracts can contain account and • Finance (controlling, financial
budgeting information, as well as accounting, encumbrances)
material or service conditions • Material Master Records
(pricing, other terms and
conditions) that will be applied to a • Punch-out to Supplier Catalogs
PO line item when linked to a • Guest and Agency Users
requisition line item (via source (reporting)
determination or SRM processing.)
Approvals for contracts will be • RFQ Processing
performed by SAP contract release • P-Card Processing
procedures. Includes
integration/processing with P-Card • Purchasing Master Data
procurement. Contract types (As- (sources of supply, info
Is) include: Purchasing Contracts, records, pricing conditions)
Professional Service Contracts • Workflow
(where performance and experience
are the key rating and selection • Procedural integration with
factors…this includes all peripheral departments
engineering design contracts), • Data conversion from legacy
Construction Contracts (where low systems
bid is the only consideration and
Contractors must bid all items and
quantities as listed), Retainer
Contracts (where separate "Task
Orders" control specific work
assignments,) Design-Build
Contracts (which is a hybrid of
engineering and construction, with
it's own laws and rules,) and Force-
Account Contracts (where labor and
materials are reimbursed on a "cost-
plus" basis and are fairly rare).

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 36
2.4.2. Materials and Inventory Management (MM, IM, and WM)
SAP Materials Management, Inventory Management, and Warehouse Management
modules, along with select components of AgileAssets Manager Suite, support
requirements for materials / service records, commodity code management, stockroom
inventories, full-scale warehouse inventories, stock replenishment, and stock taking
activities.

Business Process Description Key Integration Points


Logistical Master These are the building blocks to • Organizational structure
Data Maintenance support procurement functionalities (plants, storage locations,
in the MM and IM subcomponents purchasing organization, etc.)
of SAP and select subcomponents
of Agile Assets. These master data • Finance (controlling, financial
elements include: material master accounting)
records, planning calendars, control • Coordination between MRP
parameters, forecast parameters, controllers and stock room
and other control objects personnel
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Procedural integration with
peripheral departments
• Integration with AgileAssets
• Data conversion from legacy
systems

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 37
Business Process Description Key Integration Points
Materials This activity includes the scheduled • Organizational structure
Requirement planning MRP/forecasting planning (plants, storage locations,
Planning (MRP) run that determines replenishment purchasing organization, etc.)
Processing requirements for individual stocks
against min/max, safety stock, • Finance (controlling, financial
and/or forecasted levels/values. It accounting)
includes analysis of results, and • Coordination between MRP
subsequent processing of resulting controllers and stock room
requisitions. personnel
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Purchasing master
procurement documents
(contracts, scheduling
agreements, framework orders,
etc.)
• Procedural integration with
peripheral departments
• Integration with AgileAssets
• Data conversion from legacy
systems
Goods Movement This logical grouping of processes • Organizational structure
Processing (Stock involves the movement of materials (plants, storage locations,
Room Procedures) (stocked materials) in, out, and purchasing organization, etc.)
throughout the system. This
includes goods receipts, goods • Finance (controlling, financial
issues, returns, transfer postings, accounting)
reservations, pick/pack and ship, • Coordination between MRP
and adjustments. controllers and stock room
personnel
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Integration with AgileAssets
• Procedural integration with
peripheral departments

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 38
Business Process Description Key Integration Points
Stock Taking This sub-process includes the • Organizational structure
(Physical planning, scheduling, counting, (plants, storage locations,
Inventories) results analysis, and adjustment purchasing organization, etc.)
activities associated with
conducting physical inventories in a • Finance (controlling, financial
given storeroom. This includes the accounting)
cycle counting method of physical • Coordination between MRP
inventory processing. controllers and stock room
personnel
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Integration with AgileAssets
• Procedural integration with
peripheral departments
Warehouse Again, these are the core building • Organizational structure
Management blocks to support proper warehouse (plants, storage locations,
(WMS) Master management (WMS) activities in purchasing organization, etc.)
Data Maintenance SAP. These master data elements
include: material master records, • Finance (controlling, financial
warehouse structure, bins and stock accounting)
quants, stock types, stock
categories, etc.
Warehouse This WMS-specific activity • Organizational structure
Management includes rough workload (plants, storage locations,
(WMS) Planning & forecasting, picking waves, purchasing organization, etc.)
Monitoring utilization of the Warehouse
Activity Monitor, and optimization • Finance (controlling, financial
of picking and putaway strategies. accounting)
Utilization of RF Monitor.

Warehouse This logical grouping of WMS core • Organizational structure


Management processes involves the movement of (plants, storage locations,
System (WMS) materials (stocked materials) into, purchasing organization, etc.)
Stock Movement out of, and within the dedicated
Processing warehouse. This includes goods • Finance (controlling, financial
receipts, goods issues, returns, accounting)
transfer postings, pick/pack & ship, • Inventory management
and adjustments. movement codes
• Integration with RF Devices
using SAP ITS

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 39
Business Process Description Key Integration Points
Warehouse This WMS sub-process includes the • Organizational structure
Management planning, scheduling, counting, (plants, storage locations,
System (WMS) results analysis, and adjustment purchasing organization, etc.)
Stock Taking activities associated with
(Physical conducting physical inventories in a • Finance (controlling, financial
Inventories) given storeroom. This includes the accounting)
cycle counting method of physical • Coordination between MRP
inventory processing. controllers and stock room
personnel
• Purchasing Master Data
(sources of supply, info
records, pricing conditions)
• Integration with RF Devices
using SAP ITS

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 40
2.4.3. Plant Maintenance (PM) for Facilities
SAP Plant Maintenance for facilities and grounds maintenance (non-fleet services)
supports requirements for facilities master data identification and maintenance (sites and
equipment masters,) integrated preventative maintenance planning and scheduling, as
well as execution activities involving notifications and work orders.

Business Process Description Key Integration Points


Plant Maintenance Again, these are the building blocks • Organizational structure
Master Data to support plant (facilities) (plants, storage locations,
Maintenance maintenance within SAP and purchasing organization, etc.)
possibly select subcomponents of
Agile Assets. These master data • CO, FI, FM for account
elements include: material master assignments
records, equipment masters, • AA for equipment assets
functional locations, bills of
material, measuring points and • Procedural integration with
counters, permits, warranties, and peripheral departments
task lists, etc. • Integration with AgileAssets
• Data conversion from legacy
systems
Preventative Activity includes task list • Organizational structure
Maintenance and management, maintenance planning (plants, storage locations,
Repair Planning generation, scheduling, plan purchasing organization, etc.)
costing, capacity planning,
personnel/time management, and • Finance (controlling, financial
maintenance strategies, etc. accounting)
• Procedural integration with
peripheral departments
Notification The PM Notification is the • Organizational structure
Processing originating document that initiates (plants, storage locations,
maintenance activities (or potential purchasing organization, etc.)
maintenance activity.) It provides
the basic input information to a PM • Finance (controlling, financial
Work Order (W/O.) It can accounting)
communicate to the proper agency • Logistics Master Data
that a problem or malfunction (material master records, etc.)
exists, or an actual request to
perform maintenance. • Procedural integration with
peripheral departments
• Integration with AgileAssets
Work Order (W/O) The PM Work Order is the • Organizational structure
Processing centralized document that executes (plants, storage locations,
actual maintenance activities purchasing organization, etc.)
(repairs, installations, services, etc.)
It adopts basic input information to • Finance (controlling, financial

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 41
Business Process Description Key Integration Points
from the PM Notification, and is accounting)
used to detail (plan, schedule, task,
• FM for budgetary control
list components/spare parts, etc,)
requirements
the work to be performed. This can
include processing the W/O to both • Purchasing (requisitions,
internal and external labor, and contracts, etc.)
includes completion confirmations
that record the status of the work • Inventory Management
performed. (stocks)
• Logistics Master Data
(material master records,
service master records, etc.)
• Workflow
• Procedural integration with
peripheral departments
• /Time Management
• Integration with AgileAssets

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 42
2.4.4. Linear Assets (Agile)
Business Process Description Key Integration Points
Linear Assets This set of processes involves the • SAP Finance (cost centers,
Master Data management and maintenance of account codes, activity codes,
Maintenance underlying master data to support etc.)
Linear Assets Maintenance and
Management. These master data • SAP HCM, AA (labor master
elements include: Organizational data, equipment master data)
Structure; Project Creation and • SAP MM Master Data
Management; Linear Referencing (material master data, material
Master Data and Management; stock levels)
Asset Inventory Master Data;
Resource (LEM) Master Data; • Procedural integration with
Activity Master Data. peripheral applications and
departments (GIS, road
inventory)
• Data conversion from legacy
systems
Linear Asset These processes include such sub- • SAP Finance (budgets)
Maintenance processes as creation and
Planning Processes maintenance of Defects, Condition,
Performance Measures;
Performance Guidelines; Quantity
Standards; as well as such activities
as Trade-off Analysis; Resource
Needs Allocation; Detailed Annual
Work Programs and Budgets;
Resource Needs Analysis.
Linear Asset Processes include such activities as
Maintenance Work Request Creation and
Scheduling Management; Work Order Creation
Processes and Management; Preventative
Maintenance; Work Order
Scheduling; Planned Work
Locations.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 43
Business Process Description Key Integration Points
Linear Asset Processes include such activities as • SAP Finance (account code
Maintenance Labor, Equipment and Material Day validations)
Execution Card Recording (Online/PDA);
Processes Accomplishment Recording • SAP HCM (time reporting for
(Online/PDA); Approval Process labor)
(Online); Work Location (Linear • SAP MM (goods/ materials
Reference/Asset) Recording movements, financial
(Online/PDA); Work Order postings)
Completion (Online); Work
Request Completion or Transfer • SAP PS (financial cost
(Online). capture)

Linear Asset Processes include such activities as


Maintenance Planned Work Reporting and
Reporting and Analysis; Scheduled Work
Analysis Processes Reporting and Analysis; Actual
Work Reporting and Analysis;
Planned and Scheduled vs. Actual
Reporting and Analysis; Exception
Reporting and Analysis;
Maintenance History Reporting and
Analysis.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 44
2.4.5. Fleet Management (Fleet)
Business Process Description Key Integration Points
Fleet Management This set of processes involves the • SAP Finance (cost centers,
Master Data management and maintenance of account codes, activity codes,
Maintenance underlying master data to support etc.)
Fleet Maintenance and
Management. These master data • SAP HCM, AA (labor master
elements include: Organizational data, equipment master data)
Structure; Fleet/Equipment • SAP MM Master Data
Inventory, and Activity Master (material master data, material
Data. stock levels)
• Procedural integration with
peripheral applications (Fuel
System)
• Data conversion from legacy
systems
Fleet Management These processes include Work • SAP Finance (budgets)
Planning Processes Plans and Budgets; Resource Needs
Analysis.
Fleet Management Processes include such activities as
Scheduling Repair Order Creation and
Processes Management; Preventative
Maintenance; Repair Order
Scheduling, Motor Pool
Management and
Reservations/Scheduling.

Fleet Management Processes include such activities as • SAP Finance (account code
Execution Labor, Equipment and Material, validations)
Processes Repair Order Completion.
• SAP HCM (time reporting for
labor)
• SAP MM (goods/ materials
movements, financial
postings)
• SAP PS (financial cost
capture)

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 45
Business Process Description Key Integration Points
Fleet Management Processes include such activities as
Reporting and Planned Work Reporting and
Analysis Processes Analysis; Scheduled Work
Reporting and Analysis; Actual
Work Reporting and Analysis;
Planned and Scheduled vs. Actual
Reporting and Analysis; Exception
Reporting and Analysis; Repair
History Reporting and Analysis;
Fuel History Reporting and
Analysis.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 46
2.4.6. Mobile Solutions (Mobile)
This supporting component enables a platform-independent processing of maintenance
and service processes using mobile devices. This includes notification and order
processing, measurement reading capture, inspection data entry, stock movement
processing, and master data maintenance activities.

Business Process Description Key Integration Points


Mobile Device Includes the planning, rollout, and • Core SAP ECC Integration
Utilization usage of mobile and/or hand-held
devices for notifications and work • Integration with AgileAssets
order processing, measurement Software for DOTD Road &
reading & inspection data entry, Bridge.
inventory/stock processing, • Integration with SAP Mobile
management of technical objects, Asset Management Software
reporting/usage, dispatch, project for Facilties and Fleet.
management, GIS, safety
communications, and other forms of • Small type devices (Windows
general remote communications mobile, Blackberry, Palm,
activities. Tablet PC, Laptops, Vehicle
mounted systems, etc.)
• Workflow

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 47
Business Process Description Key Integration Points
Mobile Device Includes the planning, rollout, • Core SAP ECC Integration
Utilization and usage of mobile and/or
• Integration with AgileAssets
hand-held devices for
notifications and work order • Small type devices (Windows
processing, measurement mobile, Blackberry, Palm,
reading and inspection data Tablet PC, Laptops, Vehicle
entry, inventory/stock mounted systems, etc.)
processing, management of
• Workflow
technical objects,
reporting/usage, dispatch,
project management, GIS,
safety communications, and
other forms of general remote
communications activities.

Mobile Solutions and GIS Functions


Functional Mobile Solution
GIS Use(s) Agencies Comments
Area Use(s)
Property & • Perform inspections • No GIS use • DOTD
Facilities of property and
Management facilities
• Enter service request
• Enter work orders
• Check work status
• Plan, schedule, and
track maintenance
activities.
• Send tasks to
employees
• Perform physical
inventory of content
within a building (bar
code scanning).

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 48
Mobile Solutions and GIS Functions
Functional Mobile Solution
GIS Use(s) Agencies Comments
Area Use(s)
Fleet • Perform physical • No GIS use • DOTD
Management inventory scanning
RFID/Bar code tags
• Perform vehicle
inspections
• Schedule, track and
report on
preventative
maintenance
services, fuel usage,
work orders,
equipment histories,
recall campaigns, and
warranty recapture
Linear Asset • Perform physical • Location of all • DOTD For Road and
Management inventory scanning assets Bridge only
RFID/Bar code tags • Location(s)
• Perform inspections and limits of
on roads, bridges, each work
towers, etc. order.
• Create work orders • Location
• Send task to and/or limits
employees of each
inspection
• Record
accomplishment(s) • Location(s)
and limits of
• Note changes to
actual work
assets
performed (i.e.
accomplish-
ments)
Inventory • Physical inventory • Location of • DOTD Warehouse
Management • Moving Items larger assets • DPS Management
• Issuing Items such as • WLF functionality
portable will provide
• Receiving Items
buildings and Mobile
• Checking Out capabilities
drag lines.
• Checking In
• Scanning Bar Code
Tags

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 49
Mobile Solutions and GIS Functions
Functional Mobile Solution
GIS Use(s) Agencies Comments
Area Use(s)
Materials • Physical inventory • No GIS use • DOTD Warehouse
Management • Moving Items • DPS Management
• Issuing Items • WLF functionality
will provide
• Receiving Items
Mobile
• Scanning Bar Code capabilities
Tags
Projects • Project Inspections • No GIS use • No agencies DOTD
specified handles this
use of via AASHTO
Mobile Transport Suit
Solution
devices or
GIS for
Projects
function-
ality

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 50
2.5. System Development Scope

2.5.1. Custom Reports & Forms


Custom reports and forms refer to reports and forms developed using the ABAP
development environment to meet State of Louisiana specific requirements. From a
scope point of view, it is currently anticipated that the majority of reporting and form
requirements will be met using standard SAP functionality for all components of this
project.

The identification and definition of the custom reports to be developed for the project will
be finalized during the Realization phase of the project. Preliminary identification of
reporting requirements know to date is documented in the PDD’s. Once custom reports
are defined, evaluation as to whether they are developed in BI or ABAP code is
conducted.

2.5.2. Conversions and Interfaces


The strategy with respect to conversions is to convert only that data that is required for
ongoing operation in the new system. This means that “data cleansing” will be
performed so that only relevant data is converted. See PDD’s and associated technical
DD’s for identified conversion and interface objects.

2.5.3. Enhancements
Enhancements refer to additional system functionality developed using the ABAP
programming language. Enhancements activate special logic utilizing User Exits, new
transaction screens, and custom database tables and access logic. Enhancements do NOT
consist of updates or changes to the SAP source code. The intended goal for the project
is to implement the software “off the shelf,” and adopt the business practices contained in
the SAP software with minimal enhancements. See PDD’s and associated technical
DD’s for identified conversion and interface objects.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 2 - page 51
State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 3

LaGov ERP Project Organization

Version 1.0

March 3, 2009

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 1
Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for distribution at 03-05-2009


1.0 March 03, 2009 Beth Adams
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 2
Section 3
3. LAGOV ERP PROJECT ORGANIZATION
Table of Contents

3.1. PROJECT GOVERNANCE STRUCTURE


3.2. LAGOV PROJECT ORGANIZATIONAL CHART
3.3. LAGOV PROJECT MANAGEMENT OFFICE
3.4. LAGOV PROJECT FUNCTIONAL TEAMS
3.5. LAGOV PROJECT AGENCY READINESS TEAM
3.6. LAGOV AGENCY IMPLEMENTATION TEAMS
3.6.1. Agency Implementation Lead
3.7. LAGOV PROJECT COMMUNICATIONS
3.7.1. LaGov Project Agency Readiness Team
3.7.2. Agency Communication Lead
3.7.3. Communication between the LaGov Agency Readiness Team and the Agency
Implementation Teams
3.7.4. Maintaining Agency Implementation Team Contact Lists

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 3
Section 3
3. LAGOV ERP PROJECT ORGANIZATION

3.1. Project Governance Structure


This section of the Guide contains the organizational structure of the LaGov ERP
Project, responsibilities of the project teams, responsibilities of the agency
implementation teams, and information about project communications.

3.2. LaGov Project Organizational Chart


Figure 3.1, on the following page, illustrates a broad overview of the LaGov ERP
Project organization. This will be further defined in sections following.

Figure 3.1. LaGov ERP Project Organizational Chart

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 4
3.3. LaGov Project Management Office
The Project Management Office (PMO) responsibility is to provide overall
direction and management of the Project. Figure 3.2. illustrates those areas that
comprise the PMO.

Figure 3.2. LaGov ERP Project Management Office

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 5
3.4. LaGov Project Functional Teams
The LaGov Project Functional Teams were responsible for facilitating the Business
Blueprint Sessions in which future business processes were defined. These work
sessions included key employees from each agency who met to discuss how SAP
could enhance their current business processes. The goal of these sessions was to
develop agency-wide, efficient, streamlined business work processes that support
the Governor’s platform of accountability and transparency. The new SAP system
is designed from the validated decisions that came out of the Business Blueprint
Sessions.

The SAP system is configured during the Realization Phase. Using the business
requirements that were defined in Blueprint, the Functional Teams configure the
system to the agencies’ specifications. SAP is an enterprise-wide system, so it was
important for all agencies to come to a consensus on processes during the Blueprint
Sessions so the system can be designed with as little customization as possible.

Figure 3.3. illustrates the teams that comprise the LaGov Project Functional Teams.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 6
3.5. LaGov Project Agency Readiness Team
The LaGov Agency Readiness Team is responsible for:
• providing key support and assistance to the Agency Implementation Teams
in managing all agency readiness and implementation activities.
• assisting the agencies with transition to an on-going support model at the
agency level.

Figure 3.4. LaGov Agency Readiness Team

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 7
3.6. LaGov Agency Implementation Teams
The Agency Implementation Teams are responsible for coordinating the
implementation of the LaGov ERP System within their agencies. The primary
contact within Agency Implementation TEAM is the Agency Implementation
LEAD (AIL), who will direct their agency’s resources in performing all agency
readiness and implementation tasks toward the full implementation of the LaGov
System. Agency contact information for each agency may be found on the LaGov
website at: http://www.doa.louisiana.gov/ERP/readiness.htm

Figure 3.5. below shows the recommended organization of an Agency


Implementation Team. This structure is intended to indicate areas of responsibility
and function, and does not necessarily dictate this specific team structure. It should
be noted, however, that coordination and facilitation of each readiness and
implementation function is a responsibility of the Agency Implementation Team.

Figure 3.5. Agency Implementation Team Functions

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 8
3.6.1. Agency Implementation Lead
The focal point for implementation activities within your agency is the Agency
Implementation Lead (AIL). This individual’s responsibility is to work with
his/her agency implementation team to implement the LaGov System. Figure 3.6.
illustrates possible functional positions that may be assigned within an Agency
Implementation Team.

Figure 3.6. Agency Implementation Team Positions

It is the responsibility of each Agency Implementation Team to decide how best to


work together to meet the successful objectives of project implementation. This
will allow each team to use whatever arrangement of meetings, phone calls,
briefings, informal discussions, etc. works best for their agency’s needs. In order to
maintain an organized environment for the AIL, we expect all LaGov agency
implementation decisions, activities, and reporting coming from the LaGov Agency
Implementation Team to flow through and/or be coordinated by the AIL.
Similarly, all relevant agency information that the LaGov Project Team needs to
implement the system will flow through and/or be coordinated by the AIL.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 9
3.7. LaGov Project Communications
The LaGov Agency Readiness Team has developed an integrated comprehensive
stakeholder communication strategy for the LaGov Project. The strategy includes a
complement of activities designed to inform stakeholders of the Project’s progress,
milestones and future events in preparation for project implementation. The
communication strategy will drive consistent and reliable messages that encourage
full participation and feedback throughout the process.

3.7.1. LaGov Project Agency Readiness Team


The LaGov Project Agency Readiness Team will utilize the following as their
primary forms of communication with the Agency Implementation Leads.

ƒ Microsoft Outlook is the Division of Administration standard medium for


document distribution. The goal of using this method is to distribute
information quickly and to save paper.

ƒ LaGov Listserv (Electronic Notification) will be another means of


communication to the Agency’s Single Point of Contact, Agency
Implementation Lead and any other interested employees. This service will
include LaGov announcements, project updates, training notifications and other
key project events. Any agency employee can subscribe to this service by
visiting the LaGov website at:
http://www.doa.louisiana.gov/ERP/ElectronicNotifications.htm

ƒ LaGov Website contains core information about the LaGov Project, its history,
current activities, resources, newsletters and feedback opportunities are
provided on the LaGov website which can be found at:
http://www.doa.louisiana.gov/ERP/index.htm

This information is designed to inform all stakeholders of the Projects progress,


milestones and future events in preparation for System implementation and to
encourage full participation and feedback.

3.7.2. Agency Communication Lead


To ensure that the agencies and critical stakeholders receive necessary LaGov
Project communications, it is strongly recommended that each Agency
Implementation Team include a Communication Lead.

ƒ The Agency’s Communication Lead will be responsible for ensuring


communication within the agency regarding the LaGov Project, as well as
encouraging two-way interaction between the agency and the LaGov Project
Team.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 10
ƒ The Agency’s Communication Lead provides their agency with monthly
communications to ensure clear, frequent and consistent messages.

ƒ The Agency’s Communication Lead should work closely with their Agency
Implementation Lead to anticipate and respond to their agency stakeholder
concerns.

ƒ The Agency’s Communication Lead is strongly encouraged to conduct agency


feedback sessions.

ƒ Examples of agency-wide communication methods can include:


- printed, electronic and/or web-based newsletters
- email communications
- manager messages within agencies
- ‘walk abouts’ for face-to-face and informal communication
- brown bag luncheons for question and answer sessions

3.7.3. Communication between the LaGov Agency Readiness Team and the
Agency Implementation Teams
Throughout the duration of the project it will be necessary to communicate
information to the Agencies and in return the Agencies will be asked to provide
information back to the LaGov Project Team. To help facilitate this, the LaGov
Project Team will direct all communication to the Agency Implementation Lead.
The AIL will then distribute the information and/or collect the information
requested and return it to the LaGov Project Team.

At times the turnaround for requested information will be short. As early as


possible, it is important that the AIL and the LaGov Project Team develop a clear
understanding of how information will be distributed from the LaGov Project Team
and how information should be returned to the LaGov Project Team. This
understanding should include procedures to be followed when the AIL is not
available.

3.7.4. Maintaining Agency Implementation Team Contact Lists


The Agency Implementation Lead (AIL) is responsible for maintaining a current
listing of any agency personnel participating on the Agency Implementation Team.
This contact list should be accessible to the entire agency to ensure communication
and feedback for the duration of the project. It is suggested that a history and
record of your agency’s implementation team be maintained in this Guide.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 3 - page 11
State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 4

LaGov Enterprise Model

Version 1.0

April 21, 2009


Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for posting to website for 04-21-2009


1.0 April 21, 2009 Beth Adams
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 2
Section 4

4.0 LaGov Enterprise Model

TABLE OF CONTENTS

4.1 LAGOV PROJECT SOLUTION


4.2 FINANCE MODULES
4.2.1 General Ledger (GL)

4.2.1.1 General Ledger Account Definition

4.2.1.2 LaGov GL Account Numbering

4.2.1.3 LaGov Chart of Accounts - Design

4.2.1.4 LaGov Chart of Accounts - GL Account Grouping

4.2.1.5 LaGov Chart of Accounts - GL Account Additional Requirements

4.2.2 Controlling (CO)

4.2.2.1 LaGov Controlling (CO) Module & Cost Center Accounting

4.2.2.1.1 Cost Centers

4.2.2.1.2 Budget Control and Funds Management (FM)

4.2.2.1.3 Cost Center/Funds Center Numbering

4.2.2.1.4 Program Activity Explanation

4.2.2.2 Internal Orders

4.2.2.2.1 Statistical Internal Orders

4.2.2.2.2 Real Internal Orders

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 3
Section 4

4.0 LaGov Enterprise Model

4.1 LaGov Project Solution

LaGov Project Solution

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 4
4.2 Finance Modules
4.2.1 General Ledger (GL)

4.2.1.1 General Ledger Account Definition

GL accounts are the structures that classify debit and credit values for accounting
transactions in the Financial (FI) module and form the basis for creating balance sheets
and income statements. There are five types of GL accounts – assets, liabilities, fund
balance (equity), revenues, and expenditures. The GL accounts are defined for the
Chart of Accounts.

In the integrated LaGov system, FI GL accounts have an established relationship with


items in other ledgers in the system. Budgets for GL expenditure accounts are checked
at the Commitment Item category level, the equivalent of object category level in the
legacy system. GL revenue and expenditure accounts are linked to Cost Elements to
classify costs for internal reporting, such as for interAgency transactions and cost
allocation.

The LaGov Chart of Accounts is one-dimensional, with nominal (revenue and


expenditure) and real (balance sheet) accounts only. GL accounts answer the question
“What?” and should be driven to the lowest level of detail required, while allowing
logical rollup for reporting. Nominal GL accounts should be used to define the nature
of revenues/expenditures or to provide a further breakdown of permanent or ongoing
revenues/expenditures. Real GL accounts should be used to provide a breakdown of
assets, liabilities, and fund balances to a level required for reporting.

4.2.1.2 LaGov GL Account Numbering

The State will use the following common public sector account presentation to design
GL accounts:

ƒ 1000000 – 1999999 Assets


ƒ 2000000 – 2999999 Liabilities
ƒ 3000000 – 3999999 Fund Balance
ƒ 4000000 – 4999999 Revenues
ƒ 5000000 – 5999999 Expenses
ƒ 9000000 – 9999999 CO Secondary Cost Elements

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 5
4.2.1.2 LaGov GL Account Numbering (cont)

The State’s GL accounts will have a 7 digit logical numbering scheme. Logic will be
built into the number, position by position, facilitating reporting and the integrated
design, while allowing for potential future growth. Addition and maintenance of GL
accounts will be processed centrally by the DOA. A graphical depiction of the
numbering scheme with a definition of each component is presented below:

___ ___ ___ __ __ __ __


(1) (2) (3) (4) (5) (6) (7)
(1) (2) (3) (4) (5) (6) (7)
1 = Assets First major Second major Sequentially assigned
2 = Liabilities breakdown breakdown as required to support
3 = Fund Balance of class of class reporting requirements
4 = Revenue for further breakdown
5 = Expense of accounts

4.2.1.3 LaGov Chart of Accounts - Design

The LaGov chart of accounts will combine the existing ISIS and DOTD charts, as well
as incorporate DOE’s LAUGH classification of accounts. In addition, the new chart
will significantly expand to accommodate the business needs of all Agencies. Much
data currently being captured in various fields within the legacy systems will be
captured using GL accounts in LaGov. Once the design of the chart of accounts has
been substantially completed, it will be published for Agencies to review.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 6
4.2.1.4 LaGov Chart of Accounts - GL Account Grouping

Categories of GL accounts are grouped together to facilitate reporting. Additionally,


ally,
the use of account groupings allows the State to logically group accounts together and
to ensure that new accounts are created in the correct number range. The following
groupings have been defined for the logical breakdown of accounts for the State:

Balance Sheet Account Groupings

Assets (1000000 - 1999999)


Current Assets (11xxxxx)
Cash (111xxxx)
Investments (112xxxx)
Receivables (113xxxx)
Inventory (114xxxx)
Other Current Assets (115xxxx)
Non-Current Assets (12xxxxx)
Restricted Assets (121xxxx)
Land, Buildings, & Equipment (122xxxx)
Other Non-Current Assets (123xxxx)

Liabilities (2000000 - 2999999)


Current Liabilities (21xxxxx)
Accounts Payable (211xxxx)
Other Current Liabilities (212xxxx)
Long-Term Liabilities (22xxxxx)
Long-Term Obligations Payable (221xxxx)
Other Long-Term Liabilities (222xxxx)

Fund Balance (3000000 - 3999999)


Fund Balance (31xxxxx)
Fund Balance - Reserves (32xxxxx)
Fund Balance - Retained Earnings (33xxxxx)
Fund Balance - Other (34xxxxx)

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 7
Revenue Account Groupings

Revenues (4000000 - 4999999)


Intergovernmental Receipts (40xxxxx)
Federal (401xxxx - 407xxxx)
Transportation (401xxxx)
Public Works (402xxxx)
Health, Hospitals & Welfare (403xxxx)
Education (404xxxx)
Labor (405xxxx)
Local (408xxxx)
Other (409xxxx)
Taxes (41xxxxx - 42xxxxx)
Sales - State (411xxxx)
Income (412xxxx)
Inheritance Tax (413xxxx)
Gift Tax (414xxxx)
Minerals, Oil and Gas (4150xxx - 4154xxx)
Petroleum Products (4155xxx - 4159xxx)
Automobile Rental - State (416xxxx)
Hazardous Waste Site Cleanup (417xxxx)
Consumer Use - Excise (418xxxx)
Consumer Use (419xxxx)
Soft Drink Tax (420xxxx)
Liquors - Alcohol Beverages (421xxxx)
Tobacco Tax - Unclassified (4220xxx - 4224xxx)
Tobacco Permits (4225xxx - 4229xxx)
Severance Tax (423xxxx)
Contractors Fee, Non-Resident (424xxxx)
Corporation Franchise Tax (425xxxx)
Electric Co-op Fee (4260xxx - 4264xxx)
Public Utilities - Carriers (4265xxx - 4269xxx)
Catalog Sales (427xxxx)
Telecommunication Tax (428xxxx)
Other (429xxxx)

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 8
Revenue Account Groupings (cont)

Gaming (43xxxxx)
Lottery (431xxxx)
Horse Racing (432xxxx)
Casino (433xxxx)
Use of Money and Property (44xxxxx)
Royalties (441xxxx)
Rents (442xxxx)
Investments and Securities (443xxxx)
Leases (444xxxx)
Amotization Bond Premium (445xxxx)
Licenses, Permits, and Fees (45xxxxx)
Hunting and Fishing (451xxxx)
Fines and Penalties (452xxxx)
Motor Vehicles (453xxxx)
Other Licenses (454xxxx)
Other Permits and Fees (455xxxx)
Tuition (456xxxx)
Truck Permits (457xxxx)
Insurance (458xxxx)
Sales of Commodities and Services (46xxxxx)
Sales to State Agencies ( 460xxxx - 464xxxx)
Sales to Non-State Agencies ( 465xxxx - 469xxxx)
Other (47xxxxx)
Miscellaneous Receipts (471xxxx)
Insurance Recovery (472xxxx)
Other Financing Sources (48xxxxx)
Bond Proceeds (481xxxx)
Line of Credit (482xxxx)
IAT Revenue (49xxxxx)
Interagency Receipts (491xxxx)
Fund Transfers (492xxxx)

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 9
Expense Account Groupings

Expenses (5000000 - 5999999)


Personnel Services (51xxxxx)
Salaries (511xxxx)
Other Compensation (512xxxx)
Benefits (513xxxx)
Travel and Training (52xxxxx)
Operating Services (53xxxxx)
Services (531xxxx)
Insurance (532xxxx)
Maintenance (533xxxx)
Rent (534xxxx)
Utilities (535xxxx)
Depreciation (536xxxx)
Supplies (54xxxxx)
Professional Services (55xxxxx)
Other Charges (56xxxxx)
Local Aid (561xxxx)
Miscellaneous (562xxxx)
Capital Outlay (57xxxxx)
Major Repairs (58xxxxx)
Debt Service (59xxxxx)
4.2.1.5 LaGov Chart of Accounts - GL Account Additional Requirements

The chart of accounts will support specific requirements for external reporting, cash
management, budgetary integration, and asset integration. Additionally, GASB34
reporting requirements, such as accounting for assets and long term debt, will be
accommodated. Separate GASB34 accounts will facilitate reporting on both bases of
accounting: modified accrual and full accrual. By using separate accounts for
GASB34, these accounts can be included when reporting on a full accrual basis or
excluded when reporting on the traditional modified accrual basis. Fixed assets,
liabilities and investments will be recorded using both bases of accounting
simultaneously, regardless of the type of fund. Affected postings in these areas will be
configured to automatically make regular postings and GASB postings (to GASB
accounts) to facilitate both methods.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 10
4.2.2 Controlling (CO)

4.2.2.1 LaGov Controlling (CO) Module & Cost Center Accounting

The LaGov Controlling (CO) module is responsible for cost accounting related
activities for the State of Louisiana. Cost accounting is the process of accumulating,
measuring, analyzing, interpreting, and reporting cost information to assist
management in meeting business/program objectives. The CO module is designed to
provide management and other internal decision-makers with the necessary
information for managing, and optimizing business processes. In conjunction with the
other Financial modules, it provides functionality needed for the collection and
reporting of actual costs and revenues. Additionally, CO is responsible for internal
financial data flows such as costs allocations.

4.2.1.1.1 Cost Centers

A Cost Center is a CO organizational unit that represents a clearly defined location


where costs and/or revenues occur. These organizational units can be created on the
basis of functional, activity-related, spatial, and/or responsibility-related parameters.

Following are important points to remember regarding Cost Centers:

• Departmental breakdown of Agency structure


• Lowest level of Agency where costs are collected and analyzed
• Cost Centers are structured into hierarchical groups
• In LaGov, Revenues / Expenses can be recorded in the same Cost Center

4.2.1.1.2 Budget Control and Funds Management (FM)

The Funds Management module (FM) provides integrated, on-line, real-time


functionality for processing, recording and maintaining budgetary control. While an
extensive discussion of the FM module is beyond the scope of this document, it is
important for the reader to understand that FM and CO work together to control
budget. The FM object known as Funds Center will represent organizational areas of
financial and budgetary responsibility in LaGov. They will have a one-to-one
relationship with Cost Centers and will share the same numbering scheme to facilitate
derivation of the correct “appropriation unit” for budget consumption when the Cost
Center is referenced in posting. In other words, there will be a Funds Center created
for every Cost Center, with the same number.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 11
4.2.1.1.3 Cost Center/Funds Center Numbering

The LaGov Cost Center/Funds Center will have a 10 character logical numbering
scheme. A graphical depiction of the numbering scheme with a definition of each
component is presented below:

1. Agency/Business Area – three digit number assigned to each Agency

2. Program – appropriated program as defined in House Bill 1. This should be


equal to the AFS Appropriation unit.

3. Program Activity – this is a new term for the “Activity” that was required to
be submitted by each Agency as part of the 2009-2010 Budget Request
Additionally, Agencies should provide the performance indicator(s)
associated with each Activity (please see additional explanation below)

4. Division – Organizational unit that is unique to each program. There may or


may not be Divisions associated with each Program/Program Activity.

5. Section - Organizational unit that is unique to each Division. There may or


may not be Sections associated with each Division.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 12
4.2.1.1.4 Program Activity Explanation

Agencies should submit Program Activities in accordance with the prior instructions from the
Division of Administration.

As part of the Fiscal Year 2009-2010 Budget Request, the Division of Administration
requested that each budget unit submit information about their Activities. This additional
information was to provide a detailed picture of each program that would allow the Division to
evaluate Activities based on outcome-driven performance indicators.

For the purpose of this request, Agencies were instructed to define what constitutes an
Activity with the following three conditions:

1. A program’s Activities must be lower than a program level. In particularly small


programs, it is possible that there might only be one activity, but that should be rare.
2. All the Activities of a program must aggregate to that program. For example, the total
budget request for a program should be equal to the sum of all budget requests for
each Activity included in that program. Thus all the expenditures made by a program
must be captured in an Activity, and there should be no Activities that are not
associated with a program.
3. The Activity must have at least one meaningful, measureable outcome performance
indicator.
Note: Agencies should not allow the development of performance indicators to delay
the completion and return of the Cost Center structure.
Additional guidelines to consider when developing Activities are:
1. Produces a clearly-articulated outcome or outcomes for an identified group of
customers,
2. Supports the Administration’s priorities and/or complies with a legal requirement,
3. Measures outcomes and the performance of the Activities that produce the
outcome(s),
4. Is accountable for performance, and
5. Have identifiable costs for budgeting and management purposes.
6. Is independent of other Activities (i.e. severable)

Activities have been framed at too small a level when:


• It is difficult to clearly identify a meaningful outcome for a substantial group of
customers, or
• The total resources invested fall below $100,000.

Activities have been framed at too large a level when:


• The program produces so many different outcomes for different customer groups that
analysis and accountability is muddled,
• The program involves so many different players that there is no one in a good position
to take responsibility for outcomes, or
• Policy makers and other decision makers find that the size of the program hinders
understanding, analysis, and improvement.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 13
4.2.2.2 Internal Orders

The LaGov system will utilize two types of Internal Orders.

4.2.2.2.1 Statistical Internal Orders

Statistical Internal Orders provide an additional dimension to further breakdown a


specific cost. These Orders are for reporting purposes only and their costs cannot be
settled (transferred) to another object. An example would be a recurring event where
revenues/expenses need to be identified for reporting purposes such as cook offs, trade
fairs, conferences, etc. –

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 14
4.2.2.2.2 Real Internal Orders

A temporary cost collector used to identify cost that will be settled (transferred) to a
permanent cost collector, such as a Cost Center. An example would be a conference
sponsored by multiple divisions within an Agency. Revenues/Expenses would post to
the Real Internal Order. Upon completion of the conference, revenues/expenses will
be transferred to each Agency based on an established agreement. However, for
reporting purposes, Agencies can still see the complete history of the transactions
posted.

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 4 – page 15
State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 5

LaGov Implementation Model

Version 1.0

April 21, 2009

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 1
Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for posting to website for 04-21-2009


1.0 April 21, 2009 Beth Adams
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 2
Section 5

5.0 LaGov Implementation Model

TABLE OF CONTENTS

5.1 IMPLEMENTATION TIMELINE

5.2 PHASE 1

5.3 PHASE 2

5.4 PHASE 3

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 3
Section 5

5.0 LaGov Implementation Model

5.1 Implementation Timeline

PHASE 1 PHASE 2 PHASE 3

SAP Core Functionality DOTD Budget Preparation

Production Go-live: Production Go-live: Production Go-live:

June 2010 September 2010 September 2010

See next page for Timeline Illustration

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 4
LaGov Project

SECTION_5_Agency_Implementation_Model.v.3.docx Page 5 of 5 Last printed 4/21/2009 8:01:00 AM


5.2 Phase 1

Phase 1: SAP Core Functionality


(all participating Agencies with exception of DOTD)
Production Go-live: June 2010
SAP Financials SAP Logistics
General Ledger Procurement
Accounts Payable Contracts
Accounts Receivable / Billing Inventory / Materials Management
Controlling Warehouse Management
Funds Management Plant and Fleet Maintenance
Grants Management (Grantee) Facilities Management
Grantor Real Estate Management
Project Systems
Asset Management Business Intelligence / Data Warehouse

Limited to those Agencies & Departments


Phase 1: Functionality
noted below
SAP Financials ƒ Department of Corrections
Accounts Receivable / Billing ƒ Department of Wildlife and Fisheries
ƒ Board of Ethics
ƒ Department of Health and Hospitals
ƒ Department of Social Services
Cost Allocation
ƒ Department of Labor
ƒ Board of Regents
ƒ Department of Education (non EGMS)
Grantor
ƒ DOA / Office of Community Development
ƒ Local Government Assistance Program
(Office of Homeland Security)

Project Systems ƒ Department of Facility Planning & Control


ƒ Office of Coastal Restoration Authority
SAP Logistics
ƒ Department of Wildlife and Fisheries
Inventory Management ƒ Department of Public Safety

Warehouse Management ƒ Department of Public Safety


ƒ Department of Public Safety
Facilities Management ƒ Office of State Buildings

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 6
5.3 Phase 2

Phase 2: Department of Transportation and Development


Production Go-live: September 2010
DOTD Functionality
SAP Financials SAP Logistics

General Ledger Procurement

Accounts Payable Contracts

*Accounts Receivable / Billing


Inventory / Materials Management
(will be used to support Grants Management)

Controlling (Cost Accounting) Warehouse Management

Cost Allocation Plant and Fleet Maintenance

Funds Management Facilities Management

Grants Management (Grantee) Real Estate Management

Grantor Agile Assets

Project Systems Linear Assets Master Data

Asset Management Linear Assets Operations

Linear Assets Planning

Linear Assets Reporting

Linear Assets Scheduling

Business Intelligence / Data


Warehouse

5.4 Phase 3

Phase 3: Budget Preparation


Production Go-live: September 2010
All participating State Entities

SAP Budget Development including Operational and Capital Budgets


Business Intelligence / Data Warehouse

State of Louisiana LaGov ERP Project 04-21-2009 version 1.0 Section 5 – page 7
State of Louisiana

LaGov ERP Project

AGENCY IMPLEMENTATION GUIDE

Section 12

Glossary

Version 1.0

March 3, 2009

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 1
Change Log

Revision
Revision Date Revision Applied By Summary of Change
Number

Final Original for distribution at 03-05-2009


1.0 March 03, 2009 Sandy Trahan
Agency Implementation Meeting

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 2
Section 12
Table of Contents

12. Glossary
12.1. Acronyms
12.2. Terms and Definitions

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 3
12. Glossary
In order to ensure clear communication and consistency across all agencies throughout
implementation, it will be important to use a common vocabulary when referring to
aspects of the project. Throughout this Guide, there is terminology that may not be
understood by all readers, or may have a different or more specific connotation to the
reader than to the authors.

Section 12 of the Guide contains a Glossary that provides the project definitions of
functional and technical terms to help clarify their exact meaning. In addition the
Glossary contains various general terms associated with the project. As new sections of
the Guide are added, the Glossary will be revised. The Glossary is intended to be a
dynamic and fluid document that will be updated on a regular basis.

12.1. Acronyms
Acronym Description
AA Asset Management Module of SAP
AIG Agency Implementation Guide
AIL Agency Implementation Lead
AP Accounts Payable Module of SAP
AR Accounts Receivable Module of SAP
BP-IP Budget Preparation-Integrated Planning Module of SAP
BPP Business Process Procedure
BPS Budget Planning System
BW Business Warehouse
BW-BPS Business Warehouse - Business Planning and Simulation
CBT Computer Based Training
CM Cash Management Module of SAP
CO Cost Accounting Module of SAP
EA Enterprise Architecture
EDI Electronic Data Interchange
EFT Electronic Funds Transfer
ECC Enterprise Central Component
ERP Enterprise Resource Planning
ESC Executive Steering Committee
FAQ Frequently Asked Questions
FC Fund Center

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 4
Acronym Description
FI Financial Accounting Module of SAP
FLEET Fleet Management Module of SAP
FM Funds Management Module of SAP representing Budget Execution
Development Object: Forms, Reports, Interfaces, Conversions,
FRICE-W Enhancements and Workflow
FTE Full Time Employee / Full Time Equivalent
FTP File Transfer Protocol
FY Fiscal Year
GL General Ledger Module of SAP
GM Grants Management Module of SAP
GTR Grantor Module of SAP
HR Human Resources Module of SAP
GAAP Generally Accepted Accounting Principles
IAT Inter Agency Transfers
ILT Instructor Led Training
IM Inventory Management Module of SAP
IRS Internal Revenue Service
JV Journal Voucher
KPI Key Performance Indicators
LINEAR Linear Assets
LMS Learning Management System
LOG Logistics Management Module of SAP
MM Materials Management Module of SAP
MO Mobile Solutions Module of SAP
MOBILE Mobile Solutions Module of SAP
MRP Materials Requirements Planning
OCM Organizational Change Management
OID Organizational Impact Document
P-Card Purchase Card
PDD Process Definition Document
PDF Portable Document Format
PM Plant Maintenance Module of SAP for Facilities
PMO Project Management Office
PO Purchase Order

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 5
Acronym Description
PPA Prompt Payment Act
PP&E Property, Plant and Equipment
PR Purchase Requisition
PS Project Systems Module of SAP
QA Quality Assurance
RE Real Estate Management Module of SAP
SAP Systems, Applications and Products
SD Sales and Distribution Module of SAP
SES Service Entry Sheet
SLA Service Level Agreement
SME Subject Matter Expert
SOA Service Oriented Architecture
SOD Separation of Duties
SOW Statement of Work
SPOC Single Point of Contact
Supplier Relationship Management Module of SAP representing
SRM Contracts
SSN Social Security System Number
TA Travel Authorization
TIN Tax Payer Identification Number
UA User Acceptance
UAT User Acceptance Testing
WBS Work Breakdown Structure
WF Workflow
WO Work Order

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 6
12.2. Terms and Definitions

To be posted shortly.

State of Louisiana LaGov ERP Project 03-03-2009 version 1.0 Section 12 - page 7