WIXLIB

Tuesday 17th May 2016Stream:Session Number:Department for Transport – Our BPC Storyand the Case for Application ManagedSupportMike Weeks – Client Manager, itelligenceSarah Baskerville – Head of Business Intelligence, lle@dft.gsi.gov.uk@Mike EPM@Baskers#itelli2016

2Before we get StartedFeedback Please complete the feedback forms Views expressed are based on current understanding I am not an employee of SAP#itelli20165/18/2016Disclaimer 2015 itelligence Feel free to contact me after the session

3About the PresentersSarah Baskerville is the Head of Business Intelligence Systems for the Department for Transport, withover 15 years of experience in implementing and running financial/BI Systems.Her current role is in leading and managing the development, service delivery and maintenance of DfT’sBusiness Intelligence System (SAP BPC) to over 700 users and the DfT Board, in support of theDepartment's statutory reporting to internal and external clients, such as Executive Agencies, GroupFinance, HMT, the ONS, and Cabinet Office. Sarah has previously worked in HM Treasury implementingthe Single Data System Project (the COINS System implementation), and the HM Treasury ProjectAssurance Board for the OSCAR implementation to replace the COINS System.Sarah is an avid supporter to the Digital movement in Government to transform Public Services. She isco-organiser of UKGovcamp - an annual unconference where the Public Sector does digital and#Teacamp - informal monthly get togethers of digital folk across Government.During his career Mike has worked with organisations spanning both commercial and public sectors andwith some of the worlds largest brands in Automotive, Aerospace & Defence and Manufacturing. Alwayswith a focus on how technology can transform business efficiency and predictability with a particularfocus on the office of the CFO.Mike is a blogger, tweeter and father to 4 young adults!#itelli20165/18/2016Mike has been working in the Enterprise Performance Management space since 2001 when he joinedHyperion Solutions. Since then Mike has held a number roles within the sales, marketing and businessdevelopment functions for a number of different organisations from Software OEMs to SystemIntegrators and Value Added Resellers at both a country and EMEA level. 2015 itelligenceSarah Baskerville @Baskers http://baskers.net

4About the Department for Transport“We work with our agencies and partners to support the transport network that helps the UK’s businesses andgets people and goods travelling around the country. We plan and invest in transport infrastructure to keep theUK on the move”.#itelli20165/18/2016 2015 itelligenceDFT is a ministerial department, supported by 19 agencies and public bodies.

5The DfT’s Use of SAP BPC Shared ServicesSAP ERPImplementation SAP BPC forMicrosoft initialApplication forlocal reporting#itelli2016 2008-2011Stabilisation ofDfT SharedServices, butgenerating MIremained manualand resourceintensive. Cabinet OfficeCapability Review- Recognitionthat DfT lackedhigh qualityconsistent MIacross theDepartment The DfT Boardcommissioned aProgramme toimprove our MICapabilities2011-2014 Design & Build ofkey Applicationsfor Finance andHR Development ofNon-FinancialApplications Risk,Programmes &Projects, P2P,ExternalObligations Specialist Appsfor TrainOperationCompanies, CashManagement,Estimates.2014-2016 Furtherintegration of keybusiness criticalprocessesaround: Forecasting &Budgeting Board and GroupPerformanceManagementreporting packs BusinessPlanning 2015 itelligence2008-20115/18/20162008

6Challenges from our Implementation Inconsistent processes to produce the monthly MI packs across Resource Planning ManagementTeam (RMPT) Groups and Central Finance, leading to inefficiencies and difficulty in comparingresults at a DfT level and across DG Groups Lack of data integrity & consistency meaning no single version of the truth and extensivereconciliation activity Significant off-line working, resulting in inefficiency and potential for inconsistent data No clear data and technology strategy to support decisions on investments in MI Minimal HR reporting in DfT(C) and HR data is incomplete and inaccurate, leading to the inabilityto properly manage resources within the line SSC resources not maximised - SSC under-resourced for BW support resulting in limited abilityto respond to business change requests Lack of integration between planning, budgeting, forecasting and performance reporting,resulting in the inability to readily monitor against the plan#itelli20165/18/2016 User MI requirements have not been well defined, resulting in a lack of clarity as to what theSSC needs to deliver 2015 itelligence Governance structures, roles and responsibilities are not well defined

7BPC Implementation – Don’t do what we did Brought in for local reporting only (Rail Directorate) Resources fully deployed on stabilising Shared Services SAP ERP Platform Under utilised for 3 yrs No retention of skills, reliant on contractors This bit you do want to do In response to the Cabinet Office Capability Review, we needed to implement more automatedreporting through a standard process, leveraging current architecture (BW & BPC)#itelli20165/18/2016 Built a team of permanent staff (with contractor mix) to train and upskill to maintain and run ourBPC System 2015 itelligence Brought BPC into the Corporate/Group Finance function area and started our MI Journey, to buildan integrated platform to fully support our business critical processes

8Benefits to Date One common, robust process for monthly reporting across all relevant stakeholders (Board, DGGroups, Directors) for both Finance and HR A common set of core agreed financial and HR content for monthly reporting, simplified wherepossible One MI tool, leveraging current technology and architecture, to support both Group and DGreporting and to support extract and consolidation of Agency information into the centre Improvements to data quality, control and definitions, especially for HR#itelli20165/18/2016 2015 itelligence Improved reporting governance processes

9#itelli20165/18/2016 2015 itelligenceSAP BPC Landing Page (What our users see)

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11DG Resource & StrategyDG Report#itelli20165/18/2016Generated on: 16/05/2016 2015 itelligenceMar 2015-16

12Executive SummaryRiskPeriodMissed519Achieved Late314Very UnlikelyLikely5225UnlikelyVery 14285DEL/AMEForecastBudgetVarianceFinanceNumber of risksscoring 20 & aboveMarch5March 296.3m 268.8m( 27.4m)February5February 366.8m 268.8m( 97.9m)WorkforceActualTargetAdmin FTEs406.6442.4Programme FTEs36.031.2Average working Days Lost (Rolling 12 mth)4.45.0As at March 2016YTDTargetFreedom of Information (FOI)18896.3%93%MP Correspondence (MP)4691.3%100%Treat as Official Correspondence (TO)13489.6%80%100.0%83.3%100%Parliamentary Questions (PQ)Prompt Payments (P2P)#itelli2016107512380%5/18/2016Volume atMarch 2016 2015 itelligenceExternal Obligations

13Workforce - FTEAdminFTEAdmin Budget *March 2015March 2016% in Post for March20160.0442.4-379.0406.692%Prog Budget *0.031.2-Prog Act/Fcst *24.436.0116%Admin Act/Fcst *FTE by GroupPayMarch 2015March 2016Budget * 2.29m 2.66m-Act/Fcst * 2.36m 2.69m101%Actual87.320.5Group Assurance25.6(2.3)Group Human Resources93.3(1.7)112.51.467.8Group Commercial Services DirectorateDG Resource & Strategy9.0Act vs rce & Strategy DG OfficeCorporate FinanceTotalAct vs BudVarianceActualGroup FinanceAnalysis & Strategy% of Actual BudgetMarch 2016ProgrammeAct vs BudVariance36.0Workforce - Contingent LabourMarch 2015March 2016% in Post for March2016Admin Budget *0.05.0-Admin Act/Fcst *25.722.0440%Prog Budget *0.00.0-Prog Act/Fcst *0.00.00%PayMarch 2015March 2016% of Actual BudgetMarch 2016Budget * 0.07m 0.02m-Act/Fcst * 0.28m 0.36m1,645%#itelli2016FTE by GroupGroup FinanceActualTotalAct vs BudVarianceActualAct vs BudVarianceActual15.0(13.0)0.015.0(13.0)Group Human Resources2.00.00.02.00.0Group Commercial Services .0)DG Resource & Strategy0.0 2015 itelligenceContingentLabourProgrammeAct vs BudVariance5/18/2016Admin

14KPI Forward lookApr 2016-17May 2016-17Jun 2016-17No.12Group CommercialServices13DescriptionIntroduce an IT Help Desk self-service feature for all staff,(including DHL-type tracking of calls) and smarter targetedcommunications to usersUnderstake annual CFD Customer servey by Dec, 2015 which willassist in raising CFD performance and standards.Deliver programme of work to ensure up-to-date, robust, reliableValues of Travel Time Savings can be implemented in WebTAGguidance in May 2016Corporate Finance3#itelli20165/18/2016Analysis and Strategy 2015 itelligence2

15No.Risk DescriptionNetwork Rail Business Plan112012257892310111256164202 Shared services - failure to migrate to new shared services system.NR's capability to deliver given limited resource.34 Insufficient levers to ensure delivery through ALBsDFTC - Insufficient capability and capacity in specialist areas to deliver the5Departments key prioritiesDelivery of non-core strategy678912Medium (3)KEYn#itelli2016New Risk15High (4)ImpactVery High (5)nIncreased ExposurenReduced ExposurenNo ChangenPrior Position9101112NR do not fully align themselves with the public sector, which may impact ondecision making.Relatively inflexible Capital settlement at SR15 means that DfT’s ambitiousagenda for infrastructure cannot be deliveredGroup Diversity - Issue and Action PlanHR Operation: Performance of MyCSPResources and SkillsPolicy is changed in relation to preserving NR commercial and operationalfreedoms 2015 itelligence155/18/2016Medium (3)LikelihoodHigh (4)Very High (5)Risk Summary

16DfT & itelligence Early 2014 - SAP BPC described as Mission Critical System July 2014 – DfT Issued ITQ for Tertiary Support & Maintenance 2 Main Requirements Identified Limited understanding of back end SQL Server Process Knowledge of BPC Script Logic Limited Understanding of SSIS (SQL Server Integration Services) Potential Bandwidth challenges with Internal Team Additional Ad hoc Resources required for Change Requests All Issues Raised under contract had to be demonstrably managed through to conclusionmeeting SLA’s and Provision of Reporting against Targets Due to nature of Government Framework Contract is Managed Via NTTData#itelli20165/18/2016 DfT were also looking to on board an additional FTE at the time so this initial contract wasviewed as a safety net in the event there were delays to that process 2015 itelligence Additional Resources required ad hoc for Application Support

17#itelli20165/18/2016 2015 itelligenceThe Case for Application Managed Support

18What is the Business Issue AMS Addresses Key Resource Dependency How to manage cover: Holiday Sickness#itelli20165/18/2016 2015 itelligence And hopefully neverneeding to manage this:

19What is the Business Issue AMS AddressesChart 16Demand5/18/20160 2015 itelligence0.5

20What is the Business Issue AMS Addresses Business as usual – this is OK Now imagine having the option of additionaloutlets “on tap”#itelli20165/18/2016 Opening up the bottleneck and releasing thepressure on demand 2015 itelligence Peak Demand – probably not OK

21#itelli20165/18/2016 2015 itelligenceWhat is the Business Issue AMS Addresses

22What is the Business Issue AMS Addresses#itelli20165/18/2016 2015 itelligence Skill Diversity

23What is the Business Issue AMS Addresses Technical SkillsABAPBPC BADIsHANAETLSSIS#itelli20165/18/2016 2015 itelligenceBW

24Cost & Business Benefits of AMSABAPBPC BADIsHANAETLSSIS Highly-paid own SAP specialists Long time to find replacement in the case of leave,vacation or resignation of staff member Workplace expenses Balancing IT and Business demand fluctuations with fulltime employees#itelli2016ABAP BPC HANA ETL Professional solution ofthe issue/task Reduce expenses via“shared” experts 2015 itelligenceBWThe advantage ofitelligence support5/18/2016Employ your own highly-paidSAP specialists