Future Shock: Impact of HRMS Implementation on Existing Non-HR Modules

Transcription

1 Future Shock: Impact of HRMS Implementation on Existing Non-HR Modules Mohan Dutt Binita Wagle Hyperion Solutions Corporation Gopal Krishna Anant L&T InfoTech

2 Future Shock: A personal perception of too much change in too short a period of time. Alvin Toffler Future Shock Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 2

3 Presentation Agenda HRMS Implementation Project Objectives & Scope HCM Global Framework Oracle Applications Environment Existing & Proposed Changes implemented in Oracle HRMS Impact of changes on existing non-hr modules Data Migration and Testing Strategy Production cutover tasks SOX Implications Post Go-Live Issues & Resolution Lessons Learned - Ways to avoid Future Shock Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 3

4 Project Objectives Implement Oracle HR Globally Eliminate many paper-based processes & transactions Operational & process efficiencies Provide direct access and updates to employee data Manager and Employee Self Service Improve data reliability and reporting capability Improved HCM 24 x 7 global system access Better support of future growth Integrated technology platform Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 4

5 HCM Global Framework Planning Acquisition Performance Continuity Entering Organization Environmental Scanning Forecasting Job Design Organization Design Recruitment/Staffing Orientation/Assimilation Integration Branding Strategic Direction Goal Setting Coaching Feedback/Evaluation Succession Planning Career Development Engagement/Retention Separation Enter Analytics Learning Rewards Culture Exiting Organization Data Management Systems Development Query and Reporting Employee/Manager Training Leadership Development Organization Effectiveness Compensation Recognition Benefits Policies/Practices Diversity Corp Social Responsibility Employee Communications HCM Information Systems Key Transactional Processes and Applications Oracle HRMS Success Factors Learning System Hodes Payroll Intranet Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 5

6 Project Scope Rollout of new technology systems & solutions in support of the HCM Global Framework Implement HCM Benefits Project Olympus: BHQ Direct Implement HCM Performance Management Project Alison: Success Factors Implement HCM Phase I Project Phoenix: Oracle HRMS Project Olympus went live in July, 2006 Project Alison went live in August, 2006 Project Phoenix went live on November 14, 2006 Phase II scope Oracle Self-Service HR: Manager & Employee Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 6

7 Oracle Applications Environment Before HRMS Implementation Single Business Group Single Segment Job Flexfield 55 HR Organizations 71 Jobs 124 Locations Post HRMS Implementation Single Business Group Multiple Segment Job Flexfied 600+ HR Organizations 720+ Jobs 149 Locations Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 7

8 Changes Implemented in Oracle HRMS I Entity Jobs Organizations Locations Person Type History Data Changes Change from single segment to multi-segment job codes Name changed to include cost center as prefix before organization name. Naming convention changed to include country as prefix Identification of persons as Employees and Contingent Workers (CWK). Previously, all persons were entered with person type: Employee. One year history migrated for all active employees and employees within 1 year. Any other termed employees left untouched as they maybe attached to non-hr transactions Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 8

9 Illustration of Typical Key Changes US South Central Region Organization Central Region Consulting - South Central Chapel Hill, NC Location USA - Chapel Hill, NC Principal Technical Architect Job US SVC 8899 Principal Technical Architect Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 9

10 Changes Implemented in Oracle HRMS II Entity Person Numbers Numbering Scheme Supervisor Hierarchy Date Tracking Changes Contingent Worker Numbers stored in NPW_Number field instead of Employee Number. Custom reports modified to incorporate number change and person_type_id change (from 6 to 13) Employee numbering changed from manual to automatic numbering Any looping in the supervisor hierarchy identified to be eliminated, e.g. Chairman s supervisor. Looping hierarchy not supported by SSHR (AME). One of the candidates for change for Phase II Date Track Enabled for HR in Full installed mode Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 10

11 Impact of Changes in non-hr modules Entity PO: Approvals Assignments PA: Bill Rates PA: Cost Rates PJRM: Job Mapping PA: Job Bill Rate Overrides PA: Org Hierarchy Changes Approval Assignments redefined for the new job codes setup Bill Rates redefined for the new job codes setup Cost Rates redefined for the new job codes setup New HR job codes mapped to the PJRM job codes Bill Rate overrides redefined for the new job codes setup Org Hierarchy modify to include new organizations setup Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 11

12 Impact of Changes in non-hr modules Entity PA: Labor Cost Clearing Accounts PJR: Supervisor hierarchy profile option PA: Auto Accounting Look up sets PA: Auto Accounting Rules and SQL OIE: Contingent Worker Setups for Expense Reports PA: Jobs Extra Information Changes Labor cost clearing account for CWK setup Profile Option set to Assignment for viewing current assignment only Look up set modified to account for new org descriptions Rules and SQL modified for new cost center codes and org description Contingent Worker person information updated with Supplier, Supplier site information to enable expense entry Extra Information for all new Billable Jobs setup for PJRM Delivery Assignments Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 12

13 Impact of Changes in non-hr modules Entity CRM: Resources Retro Transactions CWK: Active Records CWK: Supplier information Changes Ensure that resources are linked to the correct person id and no duplication in resources denormalized table Only completed transactions entered before cutover can be processed with a History Supervisor. In process transactions to be reentered. Multiple records for active CWK no longer allowed. Previously, there were multiple CWK records for the same person setup with different person numbers. CWK would only be eligible to enter expense report if Supplier and Supplier site information is defined for their person records. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 13

14 Impact of Changes in non-hr modules Entity PER: Multiple Records FND: Value Sets Data warehouse Extract Programs FND: User Creation Changes Multiple assignments for same person number configured instead of creating multiple CWK number for same person with different assignments. Value Sets referencing country specific custom PO: Approver List updated to reflect new values. Corporate Data warehouse extract programs that referenced organizations, jobs and locations were updated to comply with the changed HR data. Custom concurrent program to create or enddate user was rewritten to account for CWK hire, final processing date etc Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 14

15 Data Migration Strategy I Freeze creation of new job codes in old HR system 1 month before cutover New purchase requisitions not entered 2 weeks before cutover In-process requisitions approved 1 week before cutover or reentered again post cutover. Change in key flexfields require re-implementation of the apps. An unique toolkit was used by our implementation partner who preserved all the referential integrity and the IDs while converting existing person information to the new flexfield structure. One had very few fallout due to code combinations being invalid, supervisor information not converted etc. However, after seven test cycles the conversion was perfect and the production cutover was smooth. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 15

16 Data Migration Strategy II New PO: Approval Assignments were uploaded using Data Loader. Validation scripts ensured correctness of the data and any missing job-approval assignment combination. PA: Job Bill Rate overrides for each project was migrated using custom program. Data Loader was used extensively for other master data uploads or updates, e.g. Organization creation or Location updates. The rationale was that these were one-time setups and no conversion or migration scripts were scope. Only 1 year of historical person data was converted for active employees. There were issues related to processing retro transactions (i.e. transactions before cutover date). It was decided to introduce a History Supervisor for all such records to prevent any non-hr transaction processing failure. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 16

17 Testing Strategy Testing Oracle HRMS Module New Hire to Termination Process for Employees and Contingent Workers (CWK) and all transaction in between the events Processing with Active employees simulating data conversion cutover Processing with Contingent Workers simulating cutover Testing non-hr Modules Test all employee-facing modules iexpense, OTL, iprocurement Additionally test employee, job, org impacted modules Payables, Purchasing, Project Billing, Project Resource Management, CRM Foundation, Inventory, Assets, Order Management Test new transactions and retro transactions (retro = transactions before simulated cutover date) Test self-service modules functionality to be used by CWK Test Contingent worker transactions (simulated pre-cutover and post-cutover) in non-hr modules Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 17

18 Production Cutover Tasks - I 200+ Cutover tasks were classified in four phases as follows: Pre-migration tasks System migration tasks Data migration tasks Post-migration tasks Pre-migration tasks included setup and configuration that did not impact the erstwhile production system. Some of the setups completed during this phase were: Set Key Flexfield Value Sets and Segments Define DFF segments for Person, Assignment, Job, Org, Salary,Termination forms Define and register Special Information Types (SIT) Define Lookup types and values Define Elements, Salary Basis and Link elements and costing Define Task Flow nodes, task flows, functions, menus, responsibilities Freeze new employee data creation Extract all data files needed for migration Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 18

19 Production Cutover Tasks - II System migration tasks included the following among others: Send shutdown communication and disable end user access Put all scheduled concurrent programs/interfaces On Hold Disable all inbound/outbound interfaces in legacy HR system Create and validate backup Lock power user database accounts Bring back application online Run Key Reports for all countries Some of the Data Migration tasks comprised of the following: Define Key HR Flexfields: Job and People Group Enable DFF: Person, Assignment, Job, Org,Salary, Termination Load Jobs and Organizations Update Extra Job Information Define / Update Locations Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 19

20 Production Cutover Tasks - III The data conversion tasks included the following: Full Name change Changing CWK for expanded role Remove person information from Oracle PER tables Load person, assignment, address, phone, contacts, salaries, SIT Update PERSON_ID to the same ID pre-migration The post-migration phases involved tasks related mostly to non- HR modules: Load Bill / Cost Rates for all countries Create PJRM Job Mapping Modify PA: AutoAccounting Rules and Lookup set changes Configure setups Contingent Worker Org Hierarchy changes PA: Labor Cost Clearing Account setup Load PA: Job Bill Rate Overrides Turn on Automatic Numbering for Employees Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 20

21 SOX Implications System and HRMS application security strengthened to conform to SOX controls. Custom HR responsibilities created as per country specific regulations and security requirements. Tools > Examine functionality using FND: Utility Diagnostics profile options disabled. Mercury ITG Change Management tool implemented to maintain and migrate the complete life-cycle of any application changes. Third-party software implementation planned to address Segregation of Duties (SOD) access policies Database access to key HR tables removed. Access limited to custom views where all sensitive fields were masked. All sensitive HR data masked in cloned instances using custom obfuscation program. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 21

22 Post Go-Live Issues & Resolution - I The existing PO: Approval Hierarchy had several positions like IT Equipment Purchase Approver and EMEA Buyer that were setup as persons. Since the HR information for these were not converted, approvals failed. A value set was created to link a position to an employee and the approval code referenced the value set. Min-Max Requisition Creation process was failing since the requester was a person not defined in the system postconversion. Min-Max Planning process was rescheduled by Purchasing team. Expense Report Import not working for Employees with Final Processing Date greater than termination date. Oracle has released a patch. Patch is only compatible with ATG.RUP4 and further patching followed by regression testing required to resolve this issue. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 22

23 Post Go-Live Issues & Resolution - II Workflow Background Processes were put on hold during cutover. Inadvertently, they were not started post-cutover. All scheduled concurrent programs had holds removed. Individual database account didn t have read access to custom tables. Access were granted after review of all custom objects were conducted. CWK cannot approve requisitions. Enhancement request created. Employee record was created in HR but Oracle user record not created. Existing custom program rewritten to incorporate HR changes like date tracking, final processing date, person type etc Labor cost exception due to incomplete auto accounting setup. HR team had changed the organization description post go-live to match cost center value set description assuming org_id remains unchanged and hence no impact. Autoaccounting was updated to match changed description value. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 23

24 Lessons Learned I The impact of HR implementation on non-hr modules was underestimated. The scope of data conversion for non-hr modules increased manifold with the configurations decided for HR. Instead of APIs, Data Loader was used for some conversions. This required freeze of HR data weeks before cutover as well as a longer production cutover time. Please review APIs that can be leveraged as much as possible. Not all inbound and outbound interfaces were identified early enough to gauge the implementation impact. Interface testing thus arrived on the critical path of the implementation when it should have been a parallel activity. The regression testing required for non-hr modules was far greater than the initial estimates. The HR data conversion itself went through several iterations before it was perfect. Most of the fallouts were only noticed when doing non-hr module testing. Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 24

25 Lessons Learned II HR: Data Security is of primary importance due to sensitive data being entered in the system. Greater focus on this area is recommended. In-depth non-hr testing by business users did not go through as many cycles as the HR testing. On hindsight, these cycles needed to be synched for quicker issue resolution. The core-hr implementation team had no bandwidth to address the non-hr impacts. Hence, a separate non-hr testing team is crucial. The Future Shock shock handled admirably by the HRIS & ITS team who performed admirably to overcome the monumental hurdles and still go-live on time. Avoid Future Shock by planning and estimating impacts on non- HR modules as this suddenly arrives on the project critical path Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 25

26 Additional Reading Challenges Implementing Oracle HR/Payroll after Financials Ken Conway and Bill Straton, OAUG Conference 2000 Harmoniously implementing HRMS on top of existing Fin, CRM, SCM modules Basavraj Loni, OAUG Connection Point 2005 Challenges of Implementing HRMS after Financials A whitepaper by Satyaprakash H.A. Oracle 11i HR/Benefits/Payroll Strategies after Financials Ken Conway, SCOUAG Conference, 2003 Future Shock: Impact of HRMS implementation on non- HR Modules (White Paper) Dutt-Wagle-Anant-Rogers, Connection Point 2007 (forthcoming) Copyright 2007, Dutt-Wagle-Anant. All rights reserved. 26

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