PRINCE2 - Project Brief

Transcription

1 PRINCE2 - Project Brief Project Name: Efficient Processes and Systems Date: 27/6/2014 Release: Draft 1.2 Author: John Yarnold management consultant Owner: Bill Shields Client: Document Number: FFFSP001 Note: This document is only valid on the day it was printed Revision History Date of next revision: Revision Date Previous Revision Date Summary of Changes 27 th June th June 2014 Detailed plan and costs following discussion at the first meeting of the delivery group Changes Marked Approvals This document requires the following approvals. A signed copy should be placed in the project files. Name Signature Title Date of Issue Version Bill Shields SRO 30 th June 1.2 Distribution page 1 of 9

2 This document has been distributed to: Name Title Date of Issue Version page 2 of 9

3 Project Definition In summary, what we are trying to achieve is a shift in resources from transactional processes and financial management, to invest in business partnering and to develop systems which will support business partners, adding true value in addressing the value of clinical work. This shift is depicted financially in figure 1.( figures are illustrative at this stage ) Fig 1 Current and future finance costs Background This project Brief arises from a meeting in January 2014, when the six heads of the finance profession in the NHS came together to initiate Future-Focused Finance which offers a vision for NHS finance to aspire to over the next five years. Future-Focused Finance is about Making People Count. That includes everyone who works in finance, in every role at every level, those we work with to deliver services and the patients and communities that use and support those services. To deliver the transformation required to bring about the vision over the next few years, they have organised their initial thinking around three strategic themes, each comprising two action areas: 1. Securing Excellence (Best possible value; Efficient systems and processes) 2. Knowing the Business (Close partnering ; Skills and strengths) 3. Fulfilling our Potential (Great place to work; Foundations for sustained improvement) - See more at: Efficient Processes and systems is one of these six action areas and the mandate is to develop a comprehensive vision of the processes and systems which will release the resources and support effective business partnering enabling the finance function to secure better value for the resources devoted to patient care. page 3 of 9

4 Project objectives Develop high level process designs to enable finance departments to decrease the amount of time spent on transactional processes including accounting, and financial performance management so that either the overall cost of finance decreases or more resources are devoted to activities that add value such as business partnering enabling finance to lead the improvement in the value of patient services Desired outcomes Reduced proportion of time spent on transactional processes Reduced time spent on financial performance management Increased proportion of time on business partnering Reduced cost per transaction Business intelligence delivered to clinicians and managers desk tops which enables them to manage their resources, make informed decisions on investments and highlight areas for improvement in value Project scope and exclusions The project will confine itself to the following functions: Purchase to Pay Accounts receivable Staff remuneration and expenses Financial accounting Financial performance management Business intelligence to support close partnering and achieving best value Financial Planning and strategy Baseline assessment of maturity The project will confine itself to the following: High level process designs and system objectives "tuned" to organisational size and complexity Maturity matrix - which may be sector specific ( when required) to enable organisations to establish where they are on the "Spectrum" and what their development priorities should be A guide to organisational design The project will exclude: Defining skills and competencies required to deliver the process and system objectives Detailed implementation guide Constraints and assumptions It is assumed that there will be administrative support and support on communications from the central team and access to HFMA resources for undertaking surveys. It is the aim to complete the project before the end of October The project does not include implementation and oversight of the benefits realisation at national level. Evidence will be sought to support the recommended practices but disseminating this and ensuring recommendations are followed will take co-ordination with the other FFF projects and 2-3 years to achieve. The outputs of this project are however an essential prerequisite for delivery of the vision. The research, facilitation and drafting resource is estimated at 137 days page 4 of 9

5 Project tolerances It is difficult to assess the amount of time required to undertake wide-ranging research into the best in class systems and processes. Given the inflexible timeline it may be necessary to curtail the project to exclude detailed work on business intelligence. The user(s) and any other known interested parties All staff in NHS finance, procurement and transactional HR Interfaces The design of financial performance management and business intelligence sections will be informed by the work of best possible value and close partnering projects. The work of this project will inform the development of the skills and strengths project. The project will also draw on the work being undertaken on behalf of the Department of Health on Building world-class supply chain. Outline Business Case Benefits This project does not include oversight of the benefits realisation but the improvement cannot be made until this design work is undertaken. As the project progresses and the metrics are refined the scale of the benefits achievable will become more accurate. Significant savings have been achieved in other industries through standardisation and rationalisation of processes and automation through more advanced systems. Even in the NHS it should be possible to achieve 25% improved value. The improved value will not, in the main, be cash releasing as resources released will need to be invested in business partnering and decision support systems. The full cost benefit analysis needs to be seen in the context of the overall programme. Benefits from improved processes and best in class systems cannot be fully realised without investment in re skilling the workforce. The full value of resources released cannot be realised without effective partnership with medical and other clinical staff. Costs Actual costs will be refined once the detailed research work is under way. At this stage a forecast of likely spend has been made as follows: 1. Consultancy Support to undertake: Develop draft detailed Finance maturity model (including the use of private sector best practice) across : - Accounts Payable (AP) - Accounts Receivable (AR) - Payroll - Finance & Accounting (F&A) including management reporting, financial and capital accounting, and treasury - Pricing & Costing - Business Intelligence Collate cost and volumetric benchmarks (from the NHS and private sector) to develop a baseline for good performance, linking the benchmarks to the maturity model Organise and support the facilitation of the Process & Systems working group meetings Manage the communication and change management requirements for the Process & Systems workstream Finalise the detailed Finance maturity model Develop a diagnostic tool to allow organisations to conduct a rapid self-assessment of the maturity of their Finance function page 5 of 9

6 Develop dialogue with members of the delivery group to test high level designs and the applicability of the maturity matrix Manage the communication and change management requirements for the Process & Systems workstream Liaising with the achieving best value and close partnering work streams to ensure efficient systems and process designs support the development of finance business partnering which supports the achievement of best value in healthcare Develop a high-level guide for organisations to help them take the next steps to developing their Finance function; including contact names, case studies, references to relevant documents (by HFMA, accounting bodies, professional service firms, etc) Support the release of the final outputs across the NHS; including the production of written communications, conducting briefings over conference calls, and conducting workshops Organise and support the facilitation of the Process & Systems working group meetings Produce a report for the FLC detailing the changes required suggested implementation approaches and areas for further development The consultancy support will be for EY and MV Consulting Ltd for 45 days Director level, 23 manager and 69 days senior consultant level at a blended rate of 1183 per day. The total costs will be as follows: Cost excluding VAT Consultancy 162,026 Webex subscription 350 Room hire 450 Out of pocket expenses 7, ,826 Project Product Description Report - will contain description of process and system objectives, design principles high level designs in flowchart format, customised for each sector. A maturity matrix, including benchmark metrics, which reflects the likely maximum maturity level for each type of organisation ( some higher level maturity states may require significant system investments which don t provide sufficient benefits in smaller organisations. High level cost benefit analysis Project board The project is led by Bill Shields CFO of Imperial Healthcare NHS Trust. The following are members of the delivery board Neil Callow - Director of Finance - Empath Catherine Phillips - CFO North Bristol NHS Trust Charles Nall - CFO Moorfields Eye Hospital David Ellcock - NHSE Emma Lunny - DDoF Norfolk and Suffolk FT John Neilson Chief Executive NHS SBS -Steria Jon Gamble - Head of financial planning University of Coventry and Warwick NHS Trust Jon Cooke -Business Services Director North Yorks and Humberside CSU Mark Mansfield CFO Oxford University NHS trust page 6 of 9

7 Martin Sykes- Director of Finance Frimley Park Hospital NHS Trust Mary Pettman - Deputy Chief Finance Officer Hampshire Services NHS trust Neil Priestley - CFO Sheffield Teaching Hospital sft Neil Kemsley Finance Director NHSE SW LAT Nicholas Cliffe - CFO -KMCS Nick Robinson - Interim CFO Central Southern CSU Paul Mapson -United Hospitals Bristol FT Richard Samuel Hampshire CCG Robert Jackson - Head of BT Shared Services Sandra Betney CFO - Birmingham and Solihull Mental health FT Sarah Brampton CFO - Devon Partnership NHS Trust Simon Collier - Director EY LLP Simon Marshall Ashford and St Peter's NHS Trust Sunny Sanghera - Manager EY LLP Suzanne Tracey - CFO - Royal Devon and Exeter FT John Yarnold - Director Mount Vernon Consulting LTD Project Management Team The project is led by Bill Shields who has executive decision rights and control of resources. The project manager is John Yarnold and the role responsibilities are: To construct project plan and track progress against this on time and costs basis. To liaise with project board members to reach consensus on design and maturity matrix To undertake research into international best practice in transactional processes To research collect and collate appropriate benchmarking metrics To liaise with project leads on achieving best value and close partnering and Skills and Strengths projects to ensure there is alignment where necessary To draft all reports, questionnaires and maturity matrices The communications lead is David Ellcock and his responsibilities are: To assist project manager in liaising with project board members to reach consensus on design and maturity matrix To write up progress reports To keep pages on the FFF website updated To record discussions and decisions of the project board Project consultants are, Simon Collier, Sunny Sanghera and Robert Jackson - their roles are to assist project manager in researching best international practice, assist in design of questionnaires and advising on format and content of publications. page 7 of 9

8 Outline Project Plan The outline of the project plan is shown below Activity comment Start Date End Date Programme Board Repeats bimonthly 11/06/ /10/2014 PB members 1:1 Repeats 11/06/ /06/2014 monthly design maturity matrix 15/07/ /08/2014 Undertake baseline 15/08/ /10/2014 survey related to maturity index draft design 11/06/ /06/2014 principles amend and agree 11/06/ /07/2014 design principles Undertake design 10/07/ /09/2014 Draft Report 15/08/ /10/2014 Finalise report 15/10/ /10/2014 Risks /barriers The timescale is very tight and delivery is dependent upon the delivery group being able to spare time from their day job to contribute to the development of the maturity matrix and process designs, and complete the questionnaires and oversee the production of the final report. The development of the maturity matrix and the high levels designs will be very labour intensive and require significant input from external consultants. During the development there will need to be constant communication with members of the delivery group to ensure solutions and wording of the maturity matrix is consistent with all sectors and this will consume significant resource. Finally there will need to be some research into best practice internationally to ensure the project is developing the right vision for the service which is consistent with a world class service. page 8 of 9

9 The commencement of the work is therefore dependent upon the release of funding to enable the consultancy resources to undertake the project. Although outside of the scope of this project the service will not realise the benefits of this work until implementation takes place and implementation will require resource. page 9 of 9