Information Technology for improved process efficiency in CGA’s organization

Drawing and disbursing officer (DDO)

PAY & ACCOUNTS OFFICE(PAO)

Field formations

PRINCIPALACCOUNTS

OFFICE (Pr AO)

CONTROLLER GENERAL OF ACCOUNTS(CGA)

UNION GOVERNMENT

PAY & ACCOUNTS

OFFICE

PAY & ACCOUNTS

OFFICE

PRINCIPALACCOUNTS

OFFICE

PRINCIPALACCOUNTS

OFFICE

Organizational Hierarchy of the Civil Accounts Organisation

MINISTRY/DEPARTMENT

External entities for data interchange

CGA organization

Central Bank

Accredited CommercialBank

Drawing and disbursingOffices with payment authority

Distribution of Pay and Accounts Offices across India

Andhra Pradesh 10Assam & Meghalaya 9Bihar 3Jharkhand 5Gujarat 9Haryana 4Kerala 6Karnataka 9Goa 1Madhya Pradesh 8Chhattisgarh 1Maharashtra 48Orissa 2Punjab & Chandigarh 9Rajasthan 6Tamil Nadu & Pondicherry 29Uttar Pradesh 18Uttaranchal 1West Bengal 35NCR & Delhi Region 112

Total 325

Overview

IT vision of the organizationWhere we are?Where we want to beRoad map for journey ahead

IT VisionTo achieve high degree of functional excellence in core business area of tracking, processing, consolidating and reporting of financial transactions in line in international best practices through application of IT for putting in place a robust, comprehensive, reliable and integrated enterprise-wide networked information system in order to facilitate both strategic and operational level decision making in Government of India

Strategic Planning for IT- Key Objectives

Integrated Application – Core Accounting Solution

Comprehensive IT enabled accounting solution

Improved Accounting Process Efficiency

Enhanced Financial Management Services

Enhanced Transparency while ensuring Secure Systems

Technology Innovation

Integrated application

Single point data capture facilitySupplemental data augmentationData interchange across modules and entities is fully electronic

•Integrated design of PAO-DDO accounting system

•Integration of Banking data for integration payment instrument issuance, scrolling to enable itemized suspense clearing

•Integration of databases for preparation of monthly and annual accounts

Comprehensive IT-enabled accounting solution

Increased scope of IT applications

•Additional features in existing packages like automatic updation of database, flexible user report templates and use of security solutions for greater client confidence•New application to monitor the utilization of funds released by Central Government

Improved accounting process efficiency

Reduction in time of submission of accountsImproved accuracy of accounts through data validationsValue added reporting due to availability of centralized database

Enhanced Financial management services

Commitment capture systemCash management for Union GovernmentEnabling user defined classification levels in the Chart of accountsOnline Provident fund information to be made available to the account holderStatus of pension case processing

Enhanced transparency in secure environment

Comprehensive audit trails in the IT applicationsProactive data disclosures to public and user defined formatsApplications to be encrypted at the back end to prevent unauthorized access

Technology Innovation

Leveraging the recent advancements in technology…

1.Dedicated enterprise wide network for centralized applications and data processing

2.Secure payment and receipt environment

3.E-support system for users ofapplications

Where are we?

Systems Under Implementation in the Civil Accounts Organization Government of India

CGA

GAINSGovernment Accounting Information System

FINEACTFinance Accounts

APPREC for reconciliation of Annual Appropriation and Finance accounts

Pr AO

CONTACTController’s Accounting

SCTStatement of Central Transactions

CPFM New Defined Contributory Pension Scheme

PAO

COMPACT (325 PAOs)Comprehensive Pay & Accounts

CPFM New Defined Contributory Pension Scheme(Operational in all Civil Ministries)

DDO & CDDO

CDDO2PAOElectronic Interface with PAOs

Database

Database

Database

Database

Major IT Applications in the Civil Accounts Organisation

IT APPLICATION LEVEL

COMPACT (Comprehensive Accounts) P.A.O.

CPFM (Contributory Pension Fund Management)

P.A.O. and Pr.A.O.

CDDO2PAO (Electronic Interface of CDDO with PAO)

CDDO

APPREC Ver.1.0(Appropriation Accounts Reconciliation

Appropriation Accounts

e-Lekha CGA and Controllers

COMPACT

Operational Efficiency

Improved operational efficiency of accounting processes due to proper validations, speed, user-friendly interface and security features.Vital checks and validations for passing a bill.

Online validation of Budget allocations head wise.Reporting on the cases of budget overriding.Capture of Reasons for rejection of bills.

Online reconciliation of cheques during Bank scroll entry.Mapping of all valid combinations of 13-digit function head with 2-digit Object head and 1-digit Category. This is further mapped to the 3-digit Demand for Grant and 6-digit DDO code. Marked Reduction of misclassifications.Provision of 6 digit alphanumeric short codes, which act as mnemonics' for fast recall of 25 digit classificationAccess to the software for authorized users.Predefined access rights to the users of the forms and reports of the application. Client/Server application with Multi-user facility.Backup option through software.

COMPACT

Information IntegrationCOMPACT captures the accounts data from the original source i.e.the bills, vouchers, challans and bank scrolls to improve the quality of data used for compilation and consolidation of accounts.Functional interfaces among various modules are provided to enhance data integrity and to enforce process validations.Electronic incorporation is facilitated from text files for:

List of Payments (Vouchers and their cheque entries) and Challans from the CDDOs generated by the CDDO2PAO software in the Compilation Module.Payment and Receipt Scrolls from Banks in the Compilation Module.

COMPACT

Other FeaturesGeneration of Monthly Consolidated Accounts data in the electronic format for incorporation at the Principal Accounts Offices in the CONTACT Software.Generation of various managerial reports for expenditure analysis like Expenditure Control Register, Budget Vs Monthly Expenditure Comparison, Date Wise Monthly Statement of Payments and Receipts(DDO-wise).Trial Consolidation to facilitate daily consolidation of accounts.Writing of cheques for payment on pre-printed stationery issued from RBI.Bank reconciliation statements for Outstanding instruments, Variance and Only in Scroll cheques. Recasting of GPF Accounts on final Settlement.Tracking of missing credits of GPF accounts.Authority letter generation and Electronic export to CPAO in Pension Module.

COMPACT – Major MilestonesFirst Release of PAO-2000 Ver. 1.0 with basic modules. 17 Sep 2001

PAO-2000 Ver. 2.0 released with Mid Year Commencement, ChequeCancellation and Post Consolidation Adjustment and several bug fixes.

27 Apr 2002

PAO-2000 Ver. 3.0 released with provision for March Salary, CONTACT booklet generation, Refund of GPF Advance and withdrawaland several bug fixes.

10 Mar 2003

PAO-2000 (rechristened COMPACT) Ver. 4.00 released with provision for mapping of Functional Head+Object head+Category+Grant No+DDO code, Trial consolidation of monthly accounts, Special VRS Pension Cases, Model Bill and several bug fixes.

20 Dec 2004

COMPACT (PAO-2000) Ver. 4.50 released with provision for Electronic incorporation of Bank scrolls, Daily Data Abstract file for Upload to e-Lekha, Interface with CDDO2PAO and several bug fixes.

21 Sep 2005

COMPACT Ver. 5.00 released with provision for Adjustment Vouchers; BCTT, Foreign LC, Secret Fund in Scroll Entry; Incorporation of Revenue Accounts of CBEC & Supply works; Private Sector Banks, Authorisations, e-PPO, PD Accounts, etc and several bug fixes.

Sep 2006

CPFM(Defined Contributory Pension Fund Management)

Functional CoverageCapture the subscriber profile and auto allotment of Unique PPANCapture monthly contribution of the subscribers and Govt. ContributionsElectronic Export of Subscriber profile and subscription details to CRA

Information IntegrationCapture of Data through Monthly salary and Arrear Bills from DDOGeneration of Tamper proof Electronic Files for onward transmission to CRAAccess to software to Authorized Users Only

CPFM - Major Milestones(Defined Contributory Pension Fund Management)

First Version Released on 28/01/2004 having basic functional requirements.Version 2.0 released on 14/02/2005 having additional functional requirements of the scheme.Version 3.0 released on 12/08/2005 having functional requirements of the CPAO for inclusion of bill level audit trails against each subscription.Version 4.0 released on 20/07/2006 having facility for amending subscriber and Government Contribution schedules.Currently under implementation in over 450 PAOs of Civil Ministries, Space, Atomic Energy, Audit, Posts, etc.

Plans to include CPFM in COMPACT as a module for better data validation

ICT Tool for facilitating the Electronic flow of data viz. Vouchers, Challans and GPF Schedules from Cheque Drawing DDOs into COMPACT at PAOs

Functional CoverageElectronic Export of LOPs (Vouchers and Cheque Entries), Challansand GPF Schedules to COMPACT.Import of Accounting Short Codes, Budget Allocation, GPF Subscribers Account Information from COMPACT.

Operational EfficiencyEffective reduction of delay in the submission of monthly accounts by Pay and Accounts Offices. Access to the software by authorized users only.Auto Maintenance of Expenditure Control Register at CDDO.Reduction of Accounting Misclassification.

e-Lekha : Major Benefits envisaged

Centralization of all Masters – Account Code Directory, Grants, Object Heads and Category and their relationships, Controller Codes, Department Codes, PAO Code and DDO Code Directory. Improve efficiency in the compilation of monthly accounts and annual accountsRejection of erroneous and invalid data at the lowest level.Data Integrity – through a single database at the Controller level and CGA Level and having interoperability with COMPACT at PAO level.Single source of all data capture and modification (at the COMPACT level)Online up-to-date Budget Vs Expenditure Monitoring.Online MIS for better management of Pay and Accounts Offices.

e-LekhaA Stride towards prudent fiscal governance

Web-enabled application with value added services from COMPACT to facilitate an ONLINE Financial Information System

Incremental daily consolidated data generated by COMPACT is uploaded to a central database server from each PAO.

Bare minimal infrastructure required for deployment.

Control to each controller over its budget allocation and transparency in the working of the PAOs, not to mention speed and accuracy in the compilation of accounts.

e-Lekha : Major Features

Transparent and Dynamic information regarding Bills in process and other administrative data.

Expenditure Heads for which Budget NOT entered.Bills Passed with Budget Overriding.Bills Pending.Cheques Pending for Issue.Active GPF Subscribers.Month up to which GPF Ledgers Updated.Last COMPACT Backup Taken.

e-Lekha : Major Features

Gives detailed information for Compiled Payment and receipt data.

Major head wise Expenditure and Receipts i.e. consolidated accounts for all PAOs and Controllers on a daily basis.

Versatile Report on Budget and Expenditure with various combinations.

Budget Vs Expenditure comparisons (including both Incurred and Committed) under different major heads Controller, PAO wise and DDO wise and Demand for Grant wise.Details of Bill Overriding under different payment major head wise, Controller wise, as well as PAO wise.

APPREC Appropriation Accounts and Reconciliation with Finance Accounts Figures at Minor Head Level

Grant wise reconciliation of the figures at the Major Head level, Minor Head level and sub head level of Finance Accounts figures with the figures received in Appropriation Accounts section.

Data can be stored for any number of financial years for trend analysis.

Report Generation for Account Preparation.

Trainings on IT ApplicationsTraining is imparted jointly by Institute of Government Accounts & Finance (INGAF) to the staff of different PAO Offices regularly. Training on IT applications is primarily targeted on operationaland functional aspects consisting of extensive theory and hands-on sessions.

5-Day Course on COMPACT Functional Aspects.COMPACT Resource Persons & Technical Coordinators Program.Conduct of Workshops and Open Interactive Sessions at Delhi, Mumbai, Bangalore, Nagpur, Chennai and Kolkata and other major towns across the country.One Day program for CPFM, CDDO2PAO and e-Lekha.Feedback of personnel at the cutting edge level taken before designing the applicationMore than 100 Programs Conducted and over 2000 Persons trained over the last 4 years.

Where the organization wants to be?

CGA

Core Accounting Solution for centralized payments

E-lekha for centralized database for preparation of monthly & Annual accounts

CCA

Integrated Controllers Accountingon e-Lekha

PAO

COMPACT for payment/receipts and accounting purposes of PAO

CPFM as a module of COMPACT

DDO & CDDO

Compre-hensive DDO/CDDOSystem

(Electronic Interface with COMPACT atPAOs)

Validated database

Database

Reports for monthlyand annual accounts and

Other users

Process flow chart for Core accounting

Core Banking server Core Accounting server

CDDO PAO

Central BankAccredited

Banker

Payment advice

Accounting Information

Accounting Information/

Payment advice

Payment advice

Payment

Accounts for Union Govt

Cash Balance

Payment acknowledgement

Central Database and Application Server

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Budget

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GPF

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CDDO

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CDDO2CDDO

3 CDDO4 CDDO

5CDDO6 CDDO

e-payment advices

e-payment advices

e-Scrolls / DMS from Agency Banks and its reconciliation

FLOW CHART FOR PAYMENT FUNCTIONS

LINK CELL

e-Scrolls / DMS from Agency Banks and its reconciliation

Put Through from RBI

Credit to Vendors/employe

es/suppliers & others

PAO1

PAO2

PAO3

PAO4PAOn

LOP

Bills of GPF & Pension

CORE ACCOUNTING SOLUTION

Distributed Processing, centralized payment processing

n

For any Period selected•Pendency of Bills, •Compiled Payment and Receipt Data•Major Head wise Expenditure & Receipts.•Budget Vs Expenditure in various combinations•Summary of Instruments•Cheque Reconciliation•Pension Cases Processed•GPF Credits and Debits•Suspense figures

For any Period selected•Pendency of Bills, •Compiled Payment and Receipt Data•Major Head wise Expenditure & Receipts.•Budget Vs Expenditure in various combinations•Summary of Instruments•Cheque Reconciliation•Pension Cases Processed•GPF Credits and Debits•Suspense figures

Central Database Server

Updated with PAO data from

COMPACT

Central Database Server

Updated with PAO data from

COMPACT

Web ServerWeb

Server

I N T E R N E T ( Web Browser Interface )

I N T E R N E T ( Web Browser Interface )

CGACGA

Pr AOFinance.Pr AO

Finance.Pr AO,

Urban Dev.Pr AO,

Urban Dev.Pr AO

Agriculture.Pr AO

Agriculture.

CONTACT Integration

Data Access through user authorisation. DATA VIEW allowed only for the particular Ministry

CONTACT Integration

Data Access through user authorisation. DATA VIEW allowed only for the particular Ministry

GAINS Integration

DATA ACCESS through User Authorisation.

DATA VIEW allowed for the entire data set to facilitate viewing of both consolidated as well as Ministry wise figures.

GAINS Integration

DATA ACCESS through User Authorisation.

DATA VIEW allowed for the entire data set to facilitate viewing of both consolidated as well as Ministry wise figures.

e-Lekhae-Lekha

……………

Road Map of the Future

Core Accounting Solution1. Provide a system of core accounting with integration of daily,

monthly and annual accounting process for value added reporting and monitoring mechanism;

2. Enable centralized availability of revenues and expenditure data, efficient payments and recording of public account transactions;

3. Maintain and make available a centralized and on-line Chart of Accounts (COA);

4. Ensure online Budget availability (PAO/DDO-wise) for valid coding blocks as per COA elements;

5. Structured around standard modules / features of Accounts Payable, Accounts Receivables, General Ledger, Bank Reconciliation, Fixed Assets and Cash Management, proposed to be achieved through fine tuning of existing modules and developing new ones as well;

6. Built on and around the COMPACT and e-Lekha systems

Core Accounting solution…7. Interface with Banking System for electronic payments, downloading

tax and non-tax revenue data, e-scrolls, CAS data of Put Through etc;

8. Enable cash management functions through cash ceilings setting functionality, payment prioritization and scheduling of payments;

9. Capture Commitments – starting with sanctions, and followed by procurement function integration through DDO interface utility;

10. Enable itemized tracking of payments from DDO bills to final cash settlement in GOI books of accounts;

11. Put in place an efficient and automated reconciliation system between various entities like PAO-DDO, PAO-BANK, PrAO-Link Cell.

Electronic Government Payments and RemittancesElectronic Government Payments and Remittances

e-Payments

Improved Efficiency of the entire payments management process.

Efficient operating cycle as faster realization of funds motivates vendors to ensure streamlined supplies and also facilitate prompt reconciliation of payments.

Interface to the PAOs to facilitate generation of e-payment authorizations, digitally signed (and encrypted if necessary) after the pre-audit of bills.

Cheque preparation stage no longer required and at the end of the day or at pre-determined intervals, these electronic payment Authorizations could be uploaded to the accredited banks system for effecting payments.

Crediting the beneficiary accounts directly through existing e-payment options.

Debit Scroll in electronic format for Bank reconciliation

Private KeyDigital Signature Algorithm (DSA)

Hashing Algorithm(MD5)

Yes

No

Token GenerationToken GenerationBill with request for e-payment

Bill with request for e-payment Bill Entry

Bill Accounting Classification detailsSubscribers account details for e-payment

Bill Entry Bill Accounting Classification detailsSubscribers account details for e-payment

Pre-check of Bills for budget availability and other statutory

requirements at the Dealing Hand level and Assistant Accounts

Officer’s level and forward to PAO

Pre-check of Bills for budget availability and other statutory

requirements at the Dealing Hand level and Assistant Accounts

Officer’s level and forward to PAO

PAO does the final pre-checking of the bill at his level

PAO does the final pre-checking of the bill at his levelDecisionDecision

Return Bill to DDO

Return Bill to DDO

Pay Authorisation electronic file with Unique e-pay Auth. ID

Pay Authorisation electronic file with Unique e-pay Auth. ID

Generate Electronic Payment

Authorisation

Generate Electronic Payment

Authorisation

Hash ValueHash Value

Digital Signature of PAO

Digital Signature of PAO

PAO’s Accredited Bank

PAO’s Accredited Bank

Day End Batch Upload

COMPILATION Module of COMPACT

COMPILATION Module of COMPACT

Credit Beneficiary Accounts through ECS, RTGS, SEFT,

EFT, CBS.

Credit Beneficiary Accounts through ECS, RTGS, SEFT,

EFT, CBS.

Proposed eProposed e--payment process to be included in COMPACTpayment process to be included in COMPACT

Electronic Government Payments and RemittancesElectronic Government Payments and Remittances

e-Remittances

E-filing involves downloading the specified e-form from the e-receipt portal. These e-forms are optimized and adapted to suit electronic filingThese e-forms duly filled and signed by the designated person using digital signatures (that provides the necessary authentication as per IT Act, 2000) are submitted to the e-receipt portal.The e-receipt application system checks for the completeness of the e-forms electronically, online, using a set of pre-defined rules. On acceptance, the fee calculation for the service is made on the basis of rules in place.The e-receipt application system prompts the user to choose one of thefollowing payment options - Credit Card, Internet Banking.On successful payment, Agency Banks remit funds collected with details to PAO’s Accredited Bank electronically through existing channels.PAO’s Accredited Bank send Credit scrolls to PAO for reconciliation.

A web-based application for a GPF Subscribers Information SystemTransparent and Dynamic information regarding GPF Account Status of Individual Subscribers.

Annual Statement.Updated Monthly Ledger Sheets.GPF Advance / Recovery Statement.

MIS at the Controller Level.PAO Wise Update Status of GPF subscriber Ledger.PAO Wise GPF Credits / Debits Summary.PAO Wise Transfer OUT / IN Status.Subscriber Wise Missing Credits / Debits.Subscriber Wise Status of GPF Withdrawal, Advances, Final Settlement, DLIS, Transfer OUT / IN, etc

For any subscriber:• Annual Statement of GPF Account• GPF Ledger Sheet for any period• GPF Advance Recovery Summary

For Controller:• Status of GPF Ledger Update• Final Settlement, Transfer IN and OUT• GPF Credits and Debits Summary• Missing GPF Credits / Debits

For any subscriber:• Annual Statement of GPF Account• GPF Ledger Sheet for any period• GPF Advance Recovery Summary

For Controller:• Status of GPF Ledger Update• Final Settlement, Transfer IN and OUT• GPF Credits and Debits Summary• Missing GPF Credits / Debits

Central Database Server Updated

with GPF Subscriber data from COMPACT

Central Database Server Updated

with GPF Subscriber data from COMPACT

Web ServerWeb

Server

I N T E R N E T ( Web Browser Interface )

I N T E R N E T ( Web Browser Interface )

CCAMin. of Home

Affairs

CCAMin. of Home

Affairs

PAO (CISF)Kolkata

PAO (CISF)Kolkata

PAO (CISF)Delhi

PAO (CISF)Delhi

PAO (CISF)Chennai

PAO (CISF)Chennai

…………….

Data Access through user authorisation. DATA VIEW allowed only for the particular GPF Subscriber

Data Access through user authorisation. DATA VIEW allowed only for the particular GPF Subscriber

DATA ACCESS through User Authorisation.

DATA VIEW allowed for the entire data set to facilitate viewing of both consolidated as well as Controller wise MIS.

DATA ACCESS through User Authorisation.

DATA VIEW allowed for the entire data set to facilitate viewing of both consolidated as well as Controller wise MIS.

Proposed web-based application for a GPF Subscribers Information System

Proposed web-based application for a GPF Subscribers Information System

Thank you