University of Birmingham. Finance Office Business Plan 2009/10

Transcription

1 University of Birmingham Finance Office Business Plan 2009/10 1) Mission, Scope and Role of the Service 1.1 The Finance Office provides a range of services and advice to all areas of the University in support of the University s short, medium and long term financial planning and management. 1.2 This is delivered through the following teams: Accounting Keeping financial and management accounting records for all areas of the University s business, giving information, technical and strategic advice to budget centres and producing the University budget, forward look and published accounts. For externally funded research activities; costing, pricing, advice on funder requirements, financial monitoring & invoicing. Payroll, Pensions and Systems Payroll makes sure that staff are paid promptly and efficiently. The Pensions team administers a range of pension schemes and helps raise staff awareness of the importance of pensions to their well-being in retirement. Systems manages IT systems which support the University's financial control and management. Procurement Providing procurement support and advice to all areas of the University, to help it get best value for money from all its suppliers. Research and Commercial Services Providing specialist support services required to deliver the research and knowledge transfer objectives of the University. These include University strategy development, research foresight, development of large strategic funding bids, research governance and ethics management, commercial development of new and diverse income sources. External partnerships with business and other higher education institutes regionally, nationally and internationally. Management of Alta Innovations Ltd and the University Research Park. Treasury Management Collecting all of the University's income, paying our suppliers and arranging insurance and accounting for VAT, investing surplus funds and donations received by the University. 1 of 13

2 In addition to the teams listed above, the Internal Audit Service is notionally a part of the oversight responsibilities of the Director of Finance but it should be emphasised that the Internal Audit team provides an independent assurance service to the University s senior management and to stakeholders such as HEFCE on University wide systems of governance, risk management, operational control, data quality and Value For Money. 1.3 The overarching priorities for all Finance Office staff are:- Building relationships of trust and reciprocal working with all Colleges and Corporate Services and at all levels, fully supporting partnership working right across the Unified Administration. Continuing to critically examine what we do and how we do it to drive in efficiencies often to accommo new requirements i.e. doing more with the same resource. Continuing to deliver the high volume of business as usual and the basics of financial and contractual control and management. That should never be underestimated. 2) Summary of Activities a) Contribution to Policy and Strategy Short, medium and long term financial planning for the University of Birmingham as a whole. Supporting development of Institutional, College, and Corporate Services Strategies. Development and delivery of a Procurement Strategy. Input into investment strategies for endowments, cash and BPAS funds. Input in to pension strategies at national level and within the University Audit input into key control strategies e.g. fraud, whistleblowing etc. Contribute to and support delivery of Research and Knowledge Transfer Strategy. Development and delivery of HEIF Institutional Plan. Development and delivery of Commercial Development Vision Contribute to and support delivery of City and Regional Engagement Strategy. Support management of strategic partnerships. b) Support for decision making Reporting to UEB, SPRC, Council, Audit Committee, Research & Knowledge Transfer Committee and Investment Sub Committee Advice and support to Colleges and Corporate Services and subsidiary companies. Regular production of TRAC analysis. 2 of 13

3 Development of and provision of financial management reports. Business plans/investment appraisals. General business partner support. Research foresight, intelligence gathering etc. Analysis of market opportunities for intellectual capital of the University leading to decision regarding investment in patent costs Identification and development of opportunities to diversify income leading to decision which to prioritise and pursue Advice and support on pension issues specifically in relation to support staff c) Delivery of services Pre award research support services including the identification and dissemination of funding opportunities to Colleges Direct support to academics making applications to sponsors Post award research support services Operation of research governance and ethical review. Identification and protection of intellectual property arising from research. Commercial exploitation via licences, spin-outs etc. Commercial development of services the University provides to business Effective credit control for all University income. Financial services to University and University-owned companies e income collection students, e-shop etc. Insurance. Payment of all University creditors Complete payroll service for University staff and subsidiary companies. Administration of all University pensions schemes. Management of procurement framework agreements and suppliers. Support to Colleges and Corporate Services for tenders and procurement of major purchases/contracts/services. Secure best value through contract negotiations. Managing suppliers and purchasing card administration. Provision of internal audit service including computer audit. Advice from Internal Audit to Colleges and Corporate Services on delivering effective controls and risk management. Management of core financial systems. Training procurement, financial systems, financial procedures. Management of the Research Park 3 of 13

4 d) Managing risk through statutory compliance Provision of information to HEFCE, TDA, HESA (inc. HEBCIS)and RCUK. Timely returns, and often payments, to HMRC, SLC, the Pensions Regulator and other statutory bodies. Ensuring compliance with VAT, Corporation Tax, PAYE and pension legislation. Manage EU and other public body (e.g. AWM) tender processes. 3) Key Finance Office projects and priorities for 2009/10 and beyond See attached appendix 1. Gill Ball Director of Finance 4 of 13

5 Key Finance Office projects and priorities 2009/10 and beyond Appendix 1 Finance Office No 1. Support the delivery of financial sustainability 2. Complete the endowment review Clarity within UEB of University s financial position compared to target cash surplus of 30m Comply with new SORP. Complete communication strategy with Colleges Clarity within UEB of University s financial position compared to target cash surplus of 30m N/A Clear information provided on the level of shortfall from the target cash surplus Clear & consistent financial reporting provided to Colleges / Corporate Services, UEB, SPRC & Council Clear and consistent financial information provided to support selectivity options Restatement of Annual Accounts for year ended A new method for accounting for endowments will be implemented Clear & consistent financial information provided following implementati on of selectivity decisions Reporting points throughout each financial year N/A April 2008 Dec 2009 Risks & dependencies External environment further undermines financial sustainability targets. UEB not willing to understand & engage with information That, key personnel within Finance & Legal Services have sufficient time to deliver the project. Owner GB and JH RAS Measurement & review methods Feedback from target audiences Ongoing self improvement checks re delivery of information Regular meetings of key parties take place to monitor progress 5 of 13

6 No 3. Complete tax arrangement s Review, modify N/A Quarterly and annual VAT Quarterly and and implement Returns and annual annual VAT revised VAT Corporation Tax Returns Returns and guidelines to will be submitted annual ensure Corporation Tax compliance with Returns will be HMRC submitted regulations. Implement Corporation Tax policy statement and ensure compliance Feb 2009 Mar 2010 Risks & dependencies Sufficient resource available: RAS/Carol Norfolk/ and Accounting resource Owner RAS Measurement & review methods Regular meetings of key parties take place to monitor progress 6 of 13

7 No 4. Identify and implement improveme nts for Purchase to pay and invoicing. Introductio n of end to end procureme nt ranging from e- sourcing to asset disposal Identify List of improvements to improvement processes identified and opportunities prioritised. from Purchase to Pay process Quick wins identified maps and implemented. Implementation of asset register project and of Proactis Purchase-Point. Identification of e-sourcing software Identify improveme nt opportunitie s from implementat ion of e- sourcing and e- marketplace solutions Final roll out of asset register software and of e- sourcing software Timed action plan to implement improvements identified published. Business Cases produced where investment required in order to deliver improvements Variations/improvements to Purchase to Pay process required or made available by implementation of e- sourcing or e- marketplace solutions identified and documented. Working asset register software in pilot budget centres in both Colleges and Corporate services. Requisitioning system leading to more effective procurement Revised list of improvements to processes following completion of pilot implementation of e- sourcing/emarketplace solutions. Quick wins identified and implemented. Revised timed action plan to implement improvements identified published. Revised Business Cases as necessary. Fully implemented Asset register supporting insurance needs and effective asset utilisation. E- sourcing system leading to more effective procurement and to procurement savings. Aug 2009 July 2011 Risks & dependencies Owner Measurement & review methods Availability of Finance Office resource from various Divisions and College resource to implement improvements. Support of Colleges to implement changes. Availability of financial resource to invest. Availability of Management resource. Capability of systems to support improvements identified. Progress of project to implement e-sourcing and e-marketplace solutions. Dependent on having staff resource to support project both in Colleges and Finance Office and of having robust IT infrastructure TGF, RAS and BJH Implementation of improvements monitored against timed action plan. Benefits measured against action plan or business case. Benefit of implementing some improvements may be measurable using HE Sector Efficiency Measurement Model (EMM). 7 of 13

8 No 5. Implementati on of the e- shop software 6. Undertake upgrades to core financial systems 7. Support tender for external and computer audit activities Implementation of Implementation Internal facilities and the software on a of the software services will be pilot basis will on a Universitywide promoted on the lead to efficient basis software to improve use of University asset utilisation on a resource pilot basis Upgrades to Coda, Proactis and Alta HR External and Computer Audit contracts awarded to Service Providers Further upgrades to Coda, Proactis and Alta HR N/A More efficient and effective production of correspondence in HR and more effective absence management. Further streamlining of Purchase to pay within Proactis. Improved reporting capabilities in Coda. Tender process completed in compliance with Public Contracts Regulations Recommendation on Contract Award Decision approved by Audit Committee and Council Contracts commenced Internal facilities and services will be promoted on the software to improve asset utilisation across University Ongoing review and management of Service Providers performance Oct Ongoin g Mar May 2011 Sept 09 Risks & dependencies Webpage marketing deliver software in Oct 09. Treas Man have sufficient resource to test and roll out the software Dependent on having staff resource to support project both in Colleges and Finance Office and of having robust IT infrastructure Service Providers available in the market/register interest such that separate Providers are available for External and Computer Audit. Availability of UB resource to complete the tender process within required timetable. Owner RAS TGF LML with BJH support Measurement & review methods will be managed in accordance with Prince project management methodology Contracts in place with Service Providers. Performance of Service Providers reviewed against documented Key Performance Indicators 8 of 13

9 No 8. Embed procurement skills within Colleges Organisational Review structure to organisational support structure and embedding skills infrastructure to within Colleges in evaluate fitness place for each for purpose. College. Implement identified improvement opportunities. Concept of Lead Role Procurement Co-ordinators and revised organisational structure for the administration of the purchase to pay process accepted by the University and Colleges. Organisational structure for Procurement in each of the Colleges in place. Job Descriptions and Person Specifications developed and agreed. Individuals to be the lead role for Procurement in each College in place. Organisational structure for the effective administration of the Purchase to Pay process in place. Procurement related objectives from part of SDR/PDR objectives of relevant staff. Development and delivery of Training programmes completed. Colleges contributing to Procurement policies and procedures. Organisational structure reviewed. Improvement opportunities identified and implemented or timetabled for implementation. Training and Development Programmes in place for Procurement staff. Nov 2008 Jul 2011 Risks & dependencies Commitment of Colleges to support proposals. Commitment of University senior management to support proposals. Commitment of staff in Colleges involved in Procurement. Availability of resource (financial and human) in Colleges to support new infrastructure. Availability of resource from existing central Procurement Team to support implementation of the infrastructure. Owner BH Measurement & review methods Infrastructure to embed skills in place. Organisational structure in place against agreed document. Training programmes in place with feedback mechanisms in place. HE Sector measurement tools (e.g Efficiency Measurement Model (EMM)) to be used to identify and value benefits and provide feedback on progress against targets. 9 of 13

10 No 9. Explore and implement e- sourcing and e-market place solutions to exploit efficiencies in the purchase to pay process Controlled Pilot Full roll out of e- Costed business case implementation of sourcing and e- for solutions approved by e-sourcing and e- marketplace the University. marketplace solution solution Competitive process completed and contracts placed with e-solutions providers. Schools/Colleges/Depart ments to undertake pilot implementation identified. Supplier adoption processes implemented. Pilot implementation commenced and successfully completed. Roll out of e- sourcing and e- market place solutions to Colleges/School s and Corporate Services that are able to support the solutions. Pilot implementation of e-invoicing. Aug 2009 Jul 2011 Risks & dependencies Owner Measurement & review methods Shared Service initiative currently in very early stages of consultation by HEFCE causes the University to delay procurement and implementation of solutions (as the Business Case may require that the University holds of on proceeding pending the outcome). Commitment of Colleges to implement revised infrastructure for Procurement to support embedding skills. Acceptance of Business Case by University and commitment to resource. Availability of resource in Colleges, central Procurement and Finance Office TM and Systems to source and implement solution. Availability of Management resource. BH Implementatio n of measured against a timed Plane. Ongoing evaluation of benefits secured/delive red measured against Business Case and using the HE Sector Efficiency Measurement Model (EMM). 10 of 13

11 Acceptance by the University that resources will be required on an ongoing basis to support the solutions implemented. Suppliers willing to trade through an e- marketplace and meet costs as necessary. 11 of 13

12 No 10. Review research awards process and deliver Process Map project 11. Define the University s offer for business and launch a marketing campaign 12. Support increase in levels of research income and deliver Alta Innovations business plan Complete initial review Establish follow up team Implement changes Commercial Development Vision consultation Options for branding Campaign plan & launch Development of large strategic projects KPI and Business Plan targets Continue to support implementation and changes to work practice Continued campaign Continue as left Implementable process with resources and tools in place Clear stakeholder understanding of the UoB offer for business Some early success stories Research income from more diverse sources and in larger awards Process in general use and increased success in Research Awards Much improved external perception audit responses Increased commercial income Risks & dependencies Jan 09 Dec 10 Demonstrable benefit to individual academic staff Availability of staff and IT resource Jan 09 Dec10 Availability of academic resource to support the more commercial activity As left On-going Ongoing Capacity of academic staff to devise and deliver Quality of the current IP portfolio and time lag to establish better one Owner JHW JHW JHW Measurement & review methods Implementation yes/no, increased research income, improved success rate, view of users Stakeholder perception audit Analysis of income arising Success stories Analysis of income for award value and origin Benchmark against KPI and Business Plan targets Current economic climate 12 of 13

13 13. Support delivery of City and Regional Engagement Strategy Establish Regional Operations Group and Regional Academic Advisory Group Agree action plan with UEB Support delivery of the action plan Agreed action plan Implementin g strategy On-going Ongoing Attitude of the University to regional engagement JHW Regional perception audit No 14. Implement agreed budget and vacancy savings for 09/ Develop action plan following staff survey results Confirm As left Achieve expenditure expenditure lines savings of 104k and to be reduced vacancy savings of 65 Agree action plan with timings available to Finance Office staff As left Teasing out issues from staff. Progress against plan in line with timescales Risks & dependencies As left 1 Aug 09 N/A Staff turnover is not as anticipated As left 1 July 09 N/A Ability to fully understand issues from survey. Ability to deliver or operate differently i.e. make the changes. Owner GB GB Measurement & review methods Formal monitoring reporting on quarterly basis for staffing budget. Effective budgetary control on all headings prior to commitment. Further engagement with staff locally in interim and re-run of survey in of 13