Omaha Public Power District

Case Study: “High Performance” ESA and EPM

Project Portfolio Management and Scorecard Program Management

Project CostingEnterprise Portal

Genea Davis – Omaha Public Power District

Mike Castronovo - President, AMC

Agenda

• Introductions: OPPD and AMC

• Project Overview

• Implementation: Approach and Information Architecture

• First Phase: Initial Implementation

• Current Phase: Optimization

• Lessons Learned

• Q+A

Introductions: OPPD

Introductions: AMC

AMC Infomediaries, Inc.• Proven Methodology - Expertise in Complex Environments• President is a Former PeopleSoft Employee• Member, Aleff Group: Atlanta GA, Lakeland FL, London UK• Complex Environments - Partnerships

– “Customer Empathy”• Engage with the Customer’s Risk

• True Dialog - (we don’t know everything)

– Domain Expertise• Enterprise Service Automation (ESA)

• Enterprise Performance Management (EPM)

• Life Sciences, Chemical Processing, and Nuclear

• What's Next– On-Demand Resource Center

– Product Level Support

– Maximum ROI tools, implementation tools, etc..

– Working with Oracle/PeopleSoft Product Strategy Group

Omaha Public Power District

• OPPD Vision - “High Performance”

• “Capital Intensive, Project Centric”

• Customer-focused

OPPD PeopleSoft History

• 1998 – Project Costing– Asset Management – Billing

• 2006– Enterprise Performance Management (EPM)– Project Portfolio Management– Program Management– Enhanced Project Costing & Portal

• Present– Upgrading from PeopleSoft HCM 8.3 to 8.9

Why OPPD Chose PeopleSoft

ApplicationsPeoplesoft offered an integrated Enterprise

Solution

– Provides incremental functionality as needed

– Leverages existing investment in technology

– Helps create a standard framework for business operations

– Has commitment to its customers and has long-term viability in the market place

The Project

• OPPD was looking for an innovative way to make its diverse information systems more responsive

• The goal was better-informed, performance-based decisions

• A key enabling step was identified as system consolidation, which led to the decision to purchase EPM

• A need for better project management

• OPPD’s vision of a performance-driven enterprise was then made feasible

Objectives and Expected Benefits

Objective Benefit

Ensure decisions are in alignment with

corporate strategy

Focus our efforts on the right initiatives

Provide proactive management

systems that are transparent, providing

key stakeholders with timely, relevant information

Stakeholders can make the right

decisions at the right time

Create a foundation for performance

management and data warehousing, linking and consolidating enterprise

systems

Provide an information Infrastructure

where information can be utilized as needed, and cost savings realized

Instilling accountability and control, while enabling employees to improve

execution through better tools and education

Our people have better tools to do their job

Meta Data Set

Expertise

Systems

Implementation: Approach

and Information ArchitectureAMC Charter, Consultation, Collaboration

Technical/ Project Specification

Technical Assessment

User Requirements

Technical Requirements

Imple

menta

tion

Business Process Analysis

Roll O

ut a

nd T

rain

ing

Project

Charter

Future State Fit Gap

Migration Pathway

Project Team (Collaboration)

Procedures

t

Current State

up to 18 months

Consultation PLAN ©AMC 2006

Needs Analysis and Consultation

OPPD’s Risk Score Card – BeforeChange Impact(0=none, 4=severe)

0 (N

1 (L)

2 (M)

3(H)

4(S)

Score

Comment

Business Process Realignment

X

X

2

2

Clients were open to the change process

Changes in accounting, planning, budgeting, costing

Business Process / Technology Linkage

X

X

3

3

Process didn’t map directly to technology

Spreadsheets, diff workflow

Technology Platform / Investment

X

X

1

1

Strong PeopleSoft footprint

“At Risk” KnowledgeX

[0]4

Optimizer, budgets, accounting, procedures, work arounds

Meta Data Fit into Tech Platform

X [0]

2

N/A

Chartfields, field lengths

Organizational Behavior X

X

4

4

Strong Buy-in, Accounting Pushed Back

Performance driven is big change

HR, including Training X

X

4

4

No EPM Training available

PS Support limited

Charter – Clarity and Buy-in

X

X

2

2

Sponsor buy-in[evolving requirements]

Project History and Other Project Successes

X

X

2

2

Had OK success

Total by Risk/ Cost Type 1

1

6

8

3

3

8

12

1 OPPD Risk AssessmentAMC Risk Assessment

Implementation: Option 2,

the Strategic Model

Consultancy

and Needs

Analysis

Implementation ©AMC 2006

Training and

Support

FitGap

Outcomes

Optimization

Enterprise

Performance

(Dashboard)

Derived Implementation Methodology© AMC 4D Methodology

Test

Desig

nD

esig

n

Develo

pD

evelo

p

Dep

loy

Dep

loy

Deliv

er

Deliv

er

Detailed Prototyping withOPPD data Detailed Prototyping withOPPD data

Reports & Docs

Processes

Config Values

Use CaseScenarios

New Processes Biz Rules

Design Doc

Reports

Customizations

ConfigureSystem

Build and Maintain Infrastructure and Instances

Migrate

Go Live

Specs

ChangeControl

Updates& Fixes

Setup Security

3 to12 Months

Data Model

Interfaces

Conversion Scripts

Batch

DMO CON DEV CNV TST TRN QA PRD

Requirements

Inputs

Training

User Roles

User Roles

Outputs

Functional

Technical

Need

s A

naly

sis

Need

s A

naly

sis

Implementation ApproachNeeds Analysis and Consultation

Phase One:

Pilot – Core Systems

Core Systems for IT and Nuclear

�Additional Project Costing Functionality

�Upgrade Portal

�Implement Program Management

�Implement Project Portfolio Management

�Implement EPM Warehouse

[Pilot Optimization]

[Immersion Analysis and Optimization]

– [Diagnostics]

Phase Two:

Pilot – Analytics

Analytics for IT and Nuclear

�Balanced Scorecard

�Advanced features

[Immersion Analysis and Optimization]

– [Diagnostics]

Phase Three: Implementation Transmission group, and Others

ROI

• Eliminate the use of spreadsheets to define projects

• Enhance visibility of projects across the entire organization

• Provide a mechanism to control funding for projects

• Supply tool to identify and follow-up on the realization of benefits

• Align overall qualitative focus to specific budget vs actual

Key Performance Indicators

Enterprise Scorecard

Project Portfolio

Management

Strategy Planning

Managing Execution

PeopleSoft

Program Management

Project Costing

The PeopleSoft Solution

Technical Environment

• EPM 8.9 MP3

• PeopleTools 8.46

• Oracle 9.2.0.6

• Financials 8.8

• Portal 8.9

EPM Architecture

Phase One - The Pilot: Core Systems

• Select a cross-functional and a vertical pilot

group (IT and Nuclear)

• Enhance/Upgrade the Project Costing and

Portal modules

• Implement Project Portfolio Management

and Program Management

• Implement EPM Data Warehouse

PMO Office

Project Organizational Structure

Steering

Committee

IT (UG)Nuclear (UG)

Project Team

Outcomes

Goals & Objectives

Outputs

RequirementsTech

Charter

Project Portfolio Management

Budget

Functionality

Requirements

Project Portfolio Management 8.9

• Group and manage projects as portfolios

• Determine project priority by key business objectives, risks, and ROI

• Measure portfolio success

• Analyze portfolios based on key performance indicators

Program Management 8.8

• Enter and track issues and risks related to the project

• Manage status reports

• Maintain project deliverables

• Monitor project changes

• Automated percent complete calculations

• Create virtual workspace from PeopleSoft Projects

• Share knowledge

Project Costing 8.8

Project and Project Team Setup

Project Budgeting⋅ Budgets can be formulated in Projects

Price Labor Transactions

Integration with other modules⋅ Financials

⋅ Time and Labor⋅ Custom internal systems

Asset Capitalization

Portal 8.9

• Launch-point for PeopleSoft applications

• Acts as an information filter to display key information with Pagelets

• Single sign-on (Lightweight Directory Access Protocol (LDAP))

Deep Dive into Project Portfolio Management (PPM) 8.9

• Project Request

• Project Scoring

• Project Cost and Benefits

• Portfolio Analysis

Project Request

Project Scoring

Costs/Benefits

Portfolio Analysis

Current OPPD Phase - Optimization

• Researching Workflow

• Resolving Technical Issues

• Performing Other Upgrades

• Promoting the Product for Other Areas to

Use

• Incorporating Lessons Learned

Project

Request

1xEPM

Work Order

3xPassPort

Financial

Trxns

4xPassPort

PeopleSoft

Project

Costing

(Project ID)2xPeopleSoft

Financials

Project Management Lifecycle

September 12, 2006

Page 1 of 1

Project Idea

PeopleSoft

Project

Costing

(Proj_Res) 5XPeopleSoft

Financials

Payroll

Distribution

(Actuals)7xBi-Weekly

Journal

Entries

xWalker

Bi-weekly

G/L

(FMIS)

Project

Management

8xPeopleSoft

Financials

Portfolio

Management

(KPI’s)

8

xEPMProgram

Management

8xPeopleSoft

Financials

Walker

Current Production

Production Pilot Group

Production Pilot Testing

6

Datawarehouse

Project Costing

Initiation Definition Execution Closeout

Asset

Management

(PCAM)

PeopleSoft

Financials

6

Control

&

Analysis

HR T&L

xHR T&L

Approved

Time

**Estimated

Hrs

PeopleSoft H/R T&L

**Estimates will be loaded after HR 89 upgrade

Key Performance Indicators

Critical Success Factors

StrategicThrusts

Vision

How should we measure?PPM Scorecard delivers25 Pre-defined KPIs.

Based on 4 Perspectives :

+ Financial + Customer

+ Internal Process

+ Learning/Growth

How should we measure?PPM Scorecard delivers25 Pre-defined KPIs.

Based on 4 Perspectives :

+ Financial + Customer

+ Internal Process

+ Learning/Growth

Project Portfolio Management - Enterprise Scorecard

What are the organizational goals?What are the organizational goals?

How can we achieve our goals?How can we achieve our goals?

What should we measure?What should we measure?

Scorecard

OPPD’s Cost / Risk Score Card – After Pilot

Change Impact (0=none, 4=severe) ©AMC 2006

0 (N) 1 (L) 2 (M) 3 (H) 4 (S) Score Comment

Business Process Realignment X

X

2

2

Changes in Accounting

Business Process / Technology Linkage X

X

2

2

Peoplesoft Bugs need resolution

Technology Platform / Investment X

X

1

1

Strong PeopleSoft Footprint

At Risk Knowledge [X]

X

[3]

3

Building some institutional Knowledge

Meta Data fit into Tech Platform [X]

X

[2]

2

N/A

Organizational Behavior X

X

4

4

-Strong Buy-in

-Accounting Pushed Back

HR, including Training X

X

3

3

No EPM Training available

PS Support limited

Charter – Clarity and Buy-in X

X

2

2

Sponsor Buy-in

Project History and other project successes X

X

2

2

Had OK success

Total by Risk/ Cost Type (16) 21

21

OPPDAMC

Outcome: Goals and Metrics

– Fit to strategic business objectives (“High

Performance”)

– Enhanced overall staff competency and efficiency

– Integration with PeopleSoft and other data

systems

– Appropriate dashboard and drilldown capabilities

(congruent with business process)

Training Approach

• Determine level of competency required

• Determine competency level of individual

• Determine training path & training methodology

• Conduct training

• Measure results & repeat

Aligning Roles, Competencyand Complexity

User Role Basic PeopleSoft

Skills

Module Training

Analytic Tools

Create Dashboards and KPI’s

Business Analyst

Low Med to

High

Low to

High

High

Executive Low None to

Low

Low to

Medium

No

User Low Low to

Med

Low to

High

No

Technical Low High High

Lessons Learned

• Pilot high risk projects

• Build the transactional foundation first, then build your analytics

• Acquire and capture knowledge for emerging expertise

Implementation Recommendations

• Get Training!

– Both PeopleSoft and Ascential DataStage

• Obtain ETL Consulting

• Allow Time for Source Data Cleansing

• Read the Red Papers

• Keep Current with Maintenance Packs

Contacts:

Genea Davis (OPPD)

Other project team members and contributorsTom Buelt Steve Schmitz Brian KeatingMark Peightal Mike Osborn Traci SchuetteJody Cain Jim Martens Bill HarrisonKevin Hansen Jennifer Woodham Alex ArmourJulian Hilton

Oracle Team Ted Kempf Mark Rosenberg

Acknowledgements - Contacts

Mike Castronovo (AMC)