Financial Management Transformation
FSA Perspective
February 20th, 2013
Financial System Authority
Office of the Comptroller General of Canada
Objective of the session
• FSA Mandate, Vision and Services
• FSA Deliverables (Progress, Status and Next
Steps)
• Common Enterprise Data Initiative (CEDI)
• Common Financial Management System
Configuration (FM-SC)
• Common Financial Management Business
Process (FM-BP) Initiative
• What’s Next
• Questions and Discussion
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FSA Vision and Services
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Common Enterprise Data Initiative
(CEDI)
CEDI Outcomes
• CEDI provides the foundational structure to collate
meaningful financial and material information across
government.
• Target outcomes for CEDI continue to include:
– Better information and improved financial
management services.
– Help address long standing operational and reporting
inefficiencies.
– Enabler for open data.
Strategic Environment
Continue emphasis on convergence towards common
(processes, systems, information).
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•
FM Transformation, ASR, SOR, DRAP,
HRSDC SAP build, …
CEDI provides guidance on common information needs
and strategic requirements to organizations and projects
building common solutions.
Increasing demands for more relevant and timely information
supporting GC-wide financial analysis and resource management.
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CIOB – IT expenditure reporting
EMS – How much is spent on policy development compared to
front-line service delivery?
Open Data, …
CEDI works with stakeholders to define new information needs
and propose solutions, and (as appropriate) issues
requirements and data standards to support implementation.
CEDI Approach
• Guided by a target-state model, CEDI supports
standardization of financial information by:
– Developing and issuing data standards,
– Providing guidance to key initiatives (e.g. HRSDC), and
– Providing a framework to help enable Open Data initiatives.
Strategic Direction (Governance)
ASR,SOR, DRAP,…
FM Transformation
Open Data
Information model integrates
with FM-BP process model, and
FM-SC requirements model.
FM-BP
Financial Information Model defines:
• The scope of financial and related nonfinancial information.
• What each piece of information means.
• Requirements for common data
elements and identifiers.
• Authoritative sources for standard data
elements.
CEDI
Target-State
Financial Information Model
Guidance to initiatives
Issue data standards
Support Open Data
(information and reporting
requirements and
capabilities)
(e.g. vendor, customer,
DCOA, etc.)
(data definitions and
semantics, identify
authoritative sources)
Status of CEDI Data Standards
Approval Step
DCOA Standard
and Line Object
Guideline
Vendor
Record
Customer
Record
Materiel Coding
(Procurement Item
Classification)
CFO Consultation
 Jun 2011
 Mar 2012
 Jan/Feb 2013
DCC
 Sep 2011
 May 2012
 Apr/May 2013
POC
 Nov 2011
 May 2012
 Apr/May 2013
Approval
 Mar 2012
 Jun 2012
 May/Jun 2013
Effective Date
 Apr 2012
 Jul 2012
 Apr 2014
Visit www.gcpedia.gc.ca/wiki/CEDI for draft standards and
background documentation.
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Information Model
• The Information Model must address:
– Enterprise and GC-wide information needs
– Policy driven process and control requirements
– Interoperability requirements (information crossing
system and organizational boundaries)
– Supporting common business processes and common
system configurations
• The Information Model would be a ‘living document’ –
continually being refined and updated to meet the
requirements of the stakeholders.
– The scope of creating the entire Information Model at
once is not possible given the immediate need and the
available resources. The most relevant sections,
including leveraging previous sections of CEDI, would
provide the baseline.
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CEDI going forward:
The Information Model
• The Information Model will be the repository for enterprise level
business and information needs that will be supported operationally
through common processes and common systems
– Data components would mean one thing across all of Government
allowing apples to apples comparisons for open Government
• The information model will define the data elements that describe
financial and related non-financial components of the GC (defining
unambiguously concepts of materiel, programs, funds, organization,
products and services) and document associated business needs and
requirements that are important to the Enterprise
• The Information Model will also help define that data components can
only be used for their intended purpose
– A key tenant of being able to do Open Data Initiative is that
customization of data elements cannot be done at the
Departmental level
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Common Financial Management
System Configuration
Requirements
(FM-SC)
Financial Management System
Configuration (FM-SC)
The purpose of the Financial Management System Configuration Initiative (FM-SC) is to
identify a set of departmental financial management system (DFMS) configuration
requirements for the Government of Canada (GC) within the context of its current legislative
and policy framework. The FM-SC is intended to apply to all departments and agencies as
defined in section 2 of the Financial Administration Act (FAA). The end result of this
initiative will be the Financial Management System Configuration Guideline.
Per the Directive on the Stewardship of FMS:
Role of the Chief Financial Officer
6.1.3 Implementing FMS cluster group system configurations and OCG-endorsed system functionality as
they are established or made available from time to time.
Role of the Chair of the FMS cluster group management board
6.4.1 The chair of the cluster group management board is responsible for evolving the cluster
configuration in alignment with the criteria established by the OCG for cluster configurations.
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FM-SC Components
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General Ledger management
Planning, budgeting and
forecasting
Appropriation and commitment
control
Procurement
Expenditure and payables
management
System management
Asset management
Inventory management
Pay administration
Travel management
Revenue and receivables
management
Reporting
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Interface requirements
• Each component within FMSC identifies Interface
requirements at a high level
• Example from Travel Management:
– Export travel expense data to Shared Travel Services for
reporting purposes.
– Import travel transaction data from the Shared Travel
Services reporting service for integration with
departmental reporting.
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Common Financial Management
Business Process (FM-BP)
Initiative
The Common FM-BP Initiative
Goal:
To develop an integrated framework of ‘should be’ common processes that
standardize and modernize the delivery of financial management
Approach:
OCG sponsored in collaboration with departments and agencies, financial
systems clusters, policy authorities and service providers
Deliverables:
• Guidelines which will provide:
Standardized process definitions
– System- independent, modular, interoperable
– Common to all departments and agencies
– Describes roles and responsibilities in detail
 “RACI” data analysis includes identification of:
– Responsible, Accountable, Consulted, and Informed resources; and
– Authoritative data sources
 Process Flows
– Flow diagrams
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The Common FM-BP initiative scope and governance
Governance
Project
Operations
Business
Processes
organized
into
Domains
and Cross
functional
areas
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Common FM-BP Initiative Linkages
Departmental Operations
GC-wide Direction
Departments
(DM/CFO,
Management)
Service Providers
Cluster Groups
Mazankowski Tellier
Report
Requirements,
Expertise
Reports to the
Prime Minister on
the Public Service
Services Sector
Finance Council
Recommendations
Strategic Direction
Common
Processes
Common
FM-BP
Initiative
Fulfillment
Policy Centres &
Central Agencies
Validation
Enablement
Policies,
Directives,
Standards,
Guidelines, Tools
Blue Ribbon Panel
Standardization
through
Collaboration
Annual Budgets
Horizontal Initiatives
CEDI
STSI
Grants &
Contributions
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FM-BP models
Planning Budgeting & Forecasting
• Manage Planning & Budgeting
• Manage Forecasting & Budget Review
Revenue & Accounts Receivable
• Manage Revenue, Receivables &
Receipts
• Manage Interdepartmental Settlements
• Manage Collection of Overdue
Receivables
Expenditure & Accounts Payable
• Manage Procure to Payment
• Manage Travel
• Manage Other Payments
• Manage Distribution and Maintenance
of Acquisition Cards
HR/Finance Interactions
• Pay Administration
Materiel/Finance Interactions
• Manage Other Capital Assets
• Manage Real Property
• Manage Inventory
Transfer Payments
• Manage Grants & Contributions
Data
• Manage Vendor Master Data File
• Manage Delegation of Financial and
Spending Authorities
• Manage Departmental Chart of
Accounts
• Manage Customer Master Data File
Integration
• Manage Post-payment Verification
• Manage Financial Close
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Sample Level 2 Process Flow
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Sample Level 3 Process Flow
Comprehensive
Process Flow
Integrated view
across all FM-BP
processes
Linkages to process
description and
RACI
Consideration of
controls
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Sample Level 3 Sub-Process RACI
Linkages to process
description and to
process flow
Related data
identified
Responsibility,
accountability, and
requirements to
consult and inform
are assigned to
specific roles
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Benefits Accruing from an FSA
GOVERNMENTAL
DEPARTMENTAL
•
Consistent business processes
•
Improved efficiency and
information
•
Improved stewardship of strategic
information to support Deputies and
Ministers
•
Improved interoperability between
departments and within
departments
•
Improved cost-cutting and control
through appropriate procurement
instruments, and accountability in
GC spending
•
Better strategic information to
make decisions
•
Direct response to the
Mazankowski/Tellier PM Advisory
Committee report
•
New standards improving financial
management through better
information and reporting
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Better controls and reports on
economic spending
•
Better controls and reports on economic
spending
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What’s Next
• Continue delivering on existing projects
• Manage and deliver on MAF
• Support CIOB in ERP exemptions &
collaborate on Interoperability
• Support Dept CFOs with guidance on
systems
• Work with Small Departments and Agencies
• Continue to communicate message about
Standardization to FM Community
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Questions?
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For More Information:
Marcel Boulianne, PMP,
Financial System Authority
Financial Management Sector
Office of the Comptroller General
Treasury Board of Canada Secretariat
Marcel.Boulianne@tbs-sct.gc.ca
Telephone 613-946-4512
Info Links/URLs
www.gcpedia.gc.ca/wiki/Fsa
http://publiservice.tbs-sct.gc.ca/ocg-bcg/index-eng.asp
http://publiservice.tbs-sct.gc.ca/fm-gf/abu-ans/standard-eng.asp
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