IMPROPER PAYMENT PREVENTION INITIATIVE P R O JE C T M A N A GEM E N T PLA N (PMP) EXECUTIVE SPONSOR – SUE ANNE ATHENS BUSINESS OWNER – ROY PADILLA PROJECT MANAGER – MICHAEL GREENE DATE: APRIL 22, 2015 REVISION HISTORY................................................................................................................................................. 2 1.0 PROJECT OVERVIEW ......................................................................................................................................... 3 1.1 EXECUTIVE SUMMARY- RATIONALE FOR THE PROJECT ..................................................................................................3 1.2 FUNDING AND SOURCES .............................................................................................................................................3 1.3 CONSTRAINTS ..........................................................................................................................................................3 1.4 DEPENDENCIES .........................................................................................................................................................4 1.5 ASSUMPTIONS.....................................................................................................................................................4 1.6 INITIAL PROJECT RISKS IDENTIFIED..............................................................................................................................5 2.0 PROJECT AUTHORITY AND ORGANIZATIONAL STRUCTURE .............................................................................. 6 2.1 STAKEHOLDERS ........................................................................................................................................................6 2.2 PROJECT GOVERNANCE STRUCTURE .............................................................................................................................7 2.2.1 Describe the organizational structure – Org Chart .....................................................................................7 2.2.2 Describe the role and members of the project steering committee ............................................................7 2.2.3 Organizational Boundaries, interfaces and responsibilities ........................................................................7 2.3 EXECUTIVE REPORTING..............................................................................................................................................7 3.0 SCOPE .............................................................................................................................................................. 8 3.1 PROJECT OBJECTIVES ................................................................................................................................................8 3.1.1 Business Objectives .....................................................................................................................................8 3.1.2 Technical Objectives ....................................................................................................................................8 3.2 PROJECT EXCLUSIONS ................................................................................................................................................8 3.3 CRITICAL SUCCESS FACTORS .......................................................................................................................................8 4.0 PROJECT DELIVERABLES AND METHODOLOGY ................................................................................................. 9 4.1 PROJECT MANAGEMENT LIFE CYCLE ............................................................................................................................9 4.1.1 Project Management Deliverables ............................................................................................................10 4.1.2 Deliverable Acceptance Procedure ............................................................................................................14 4.2 PRODUCT LIFE CYCLE .........................................................................................................................................15 4.2.1 Technical Strategy .....................................................................................................................................15 4.2.2 Product and Product Development Deliverables .......................................................................................15 4.2.3 Deliverable Approval Authority Designations ...........................................................................................15 4.2.4 Deliverable Acceptance Procedure ............................................................................................................15 5.0 PROJECT WORK .............................................................................................................................................. 16 5.4 PROJECT TEAM ......................................................................................................................................................17 6.0 PROJECT MANAGEMENT AND CONTROLS ...................................................................................................... 18 6.1 RISK AND ISSUE MANAGEMENT.................................................................................................................................18 6.2 INDEPENDENT VERIFICATION AND VALIDATION - IV&V .............................................................................................19 6.3 SCOPE MANAGEMENT PLAN ....................................................................................................................................19 6.3.1 Change Control ..........................................................................................................................................19 6.4 PROJECT BUDGET MANAGEMENT..............................................................................................................................19 6.4.1 Budget Tracking ........................................................................................................................................19 6.6 PERFORMANCE MEASUREMENT (PROJECT METRICS) ......................................................................................20 6.6.1 Baselines....................................................................................................................................................20 6.8 CONFIGURATION MANAGEMENT .....................................................................................................................20 6.9 PROCUREMENT MANAGEMENT PLAN ..............................................................................................................20 7. 0 PROJECT CLOSE ............................................................................................................................................. 20 PAGE | 1 REVISION HISTORY REVISION NUMBER DATE COMMENT 1.0 July 09, 2014 Initial Plan 1.1 April 22, 2015 New project name incorporated 2.0 2.1 PAGE | 2 1.0 PROJECT OVERVIEW 1.1 EXECUTIVE SUMMARY- RATIONALE FOR THE PROJECT Over the past year, the State of New Mexico Department of Workforce Solutions (DWS) has modernized its Unemployment Insurance Application and as a result has seen a significant change in methods used to commit fraud for financial gain. DWS is seeking to gain insight into the sources, causes, and factors of overpayment fraud in Unemployment Insurance. This effort is seeking to improve the detection and reduction of overpayment fraud through the use of uDetect™, an analytical system comprised of algorithmic solutions which will be customized to DWS historical data to identify unemployment insurance claims with a higher propensity to involve fraudulent activity. The tool and resultant information will be incorporated into our modernized Unemployment Insurance Application (UIA). 1.2 FUNDING AND SOURCES SOURCE AMOUNT SUPPLEMENTAL BUDGET REQUEST GRANT (USDOL) ASSOCIATED RESTRICTIONS $1,299,980 FEDERAL US DOL GRANT. APPROVERS NMDWS/USDOL 1.3 CONSTRAINTS Number DESCRIPTION 1 Module 1 – Initial Claims shall be limited to creation of a new fraud issue and 5 associated fact-findings 2 Module 2 – Continued Claims shall be limited to creation of a new fraud issue, 5 associated fact-findings and 3 modal claimant messaging screens 3 Module 3 – Emerging Fraud Detection shall be limited to the creation of a workflow or report documenting variables that may indicate the presence of emerging fraud schemes, allowing for staff review for investigation. 4 Scope is limited to the creation of up to 5 reports documenting the PAGE | 3 Number DESCRIPTION outcomes of the Module implementations. 5 Current development staff work will need to be prioritized to include associated workloads and schedules mandated by this initiative. 6 NM DWS Project Manager will be assigned once on-boarded. 1.4 DEPENDENCIES Mandatory dependencies are dependencies that are inherent to the work being done. D- Discretionary dependencies are dependencies defined by the project management team. This may also encompass particular approaches because a specific sequence of activities is preferred, but not mandatory in the project life cycle. E-External dependencies are dependencies that involve a relationship between project activities and non-project activities such as purchasing/procurement NUMBER DESCRIPTION TYPE M,D,E 1 Funding is available M 2 Contract Amendment is approved E 3 Necessary infrastructure updates or modification will be scheduled in conjunction with project timelines. D 1.5 ASSUMPTIONS NUMBER DESCRIPTION 1 The uDetect™ Scoring Engine will be integrated with UIA 2 DWS will provide the technical infrastructure hardware and software application server, database, reporting tools, and remote connectivity required to build and test the technical deployment artifacts as part of this project 3 DWS will obtain access to any external data that may be required to complete the Services under this Scope of Work. 4 Business Personnel will actively participate in all business requirements PAGE | 4 NUMBER DESCRIPTION workshops 5 Business Personnel will be available for follow up meetings regarding the different tasks and deliverables related to Business Implementation 6 Business personnel will assist in the development and approval of monitoring reports and implementation of Randomized Control Trials (RCTs). 1.6 INITIAL PROJECT RISKS IDENTIFIED Risk 1 Description – Resource Availability Probability: High Impact : High Mitigation Strategy: Project will be assigned a high priority by DWS and appropriate resources will be made available to perform the work per the approved work plan. Contingency Plan: Additional contract resources will be deployed to the project. Risk 2 Probability: Medium Impact: Medium Description – Increased complaint/appealsg files by Mitigation Strategy: Integration of workflows will provide actionable claimants or employers tasks within the constraints of existing performance measures. Factors used to determine risk score will only be stored in the scoring engine used to provide predictive actions. Contingency Plan Not applicable Mitigation Strategy:. Contingency Plan PAGE | 5 2.0 PROJECT AUTHORITY AND ORGANIZATIONAL STRUCTURE 2.1 STAKEHOLDERS NAME STAKE IN PROJECT ORGANIZATION TITLE CELINA BUSSY EXECUTIVE SPONSOR DWS SECRETARY SUE ANNE ATHENS EXECUTIVE SPONSOR DWS CIO ROY PADILLA BUSINESS OWNER DWS DEPUTY DIRECTOR UI UI BUSINESS STAFF SYSTEM USER DWS CUSTOMERS INCREASED SECURITY PUBLIC PAGE | 6 2.2 PROJECT GOVERNANCE STRUCTURE 2.2.1 DESCRIBE THE ORGANIZATIONAL STRUCTURE – ORG CHART Executive Steering Committee Executive Sponsor Sue Anne Athens Project Management Office Eric Aragon Change Control Board Project Team Deloitte Engagement Mgr Lynnette Stern Project Manager Michael Greene Analytics Lead Scoring Engine Development Lead Business Implementation Lead UIA Development Lead DWS Development Manager Luke Frietz DWS Infrastructure Manager John Judson DWS Business Owner Roy Padilla Modeler(s) Scoring Engine Developer Business Analyst UIA Developer Development Team DWS Infrastructure Team DWS Business Analysts 2.2.2 DESCRIBE THE ROLE AND MEMBERS OF THE PROJECT STEERING COMMITTEE The Project Steering Committee will provide oversight to the project effort. They will identify key policy issues and ensure follow through on associated business and regulatory changes. The committee is comprised of the Secretary and Deputy Secretaries representing the DWS executive business, general counsel and public relations. They will receive project status reports throughout the effort. 2.2.3 ORGANIZATIONAL BOUNDARIES, INTERFACES AND RESPONSIBILITIES All changes to the UIA initiated by this project will be reviewed and approved by the DWS Change Control Board. All necessary change request and associated work load for development activities will be managed under the existing release management plan. The PMO will directly manage and review resourcing, scheduling and reporting adherence and mitigate issues as they arise. 2.3 EXECUTIVE REPORTING Biweekly status reports will be provided in conjunction with milestone status meetings. PAGE | 7 3.0 SCOPE 3.1 PROJECT OBJECTIVES 3.1.1 BUSINESS OBJECTIVES NUMBER DESCRIPTION BUSINESS OBJECTIVE 1 To reduce fraud by a minimum of 20% through predictive measures in the area of claim certifications, separation overpayment and anomaly detection. BUSINESS OBJECTIVE 2 To provide structured workflows for BPC and Fraud Team to ensure UI performance measures are maintained and workloads effectively managed for specialized cases. 3.1.2 TECHNICAL OBJECTIVES NUMBER DESCRIPTION TECHNICAL OBJECTIVE 1 Implement the uDetect™ Scoring Engine in the DWS technology platform to score unemployment insurance claims for the purpose of identifying and reducing potential overpayments and fraud. TECHNICAL OBJECTIVE 2 Integrate the process into UIA system to enhance the management of UIA initial claims, continued claims, adjudication, workflow and reporting processes to support the fraud analytics business processes. 3.2 PROJECT EXCLUSIONS This project effort does not include integration with other fraud related tools currently being used by NMDWS that are outside the UIA framework. 3.3 CRITICAL SUCCESS FACTORS NUMBER DESCRIPTION 1 REDUCTION IN IMPROPER PAYMENTS BY 20% 2 INCORPORATED WORK FLOWS THAT MAINTAIN US DOL MANDATED PERFORMANCE MEASURES FOR TIMELINESS PAGE | 8 NUMBER DESCRIPTION OF PAYMENTS 4.0 PROJECT DELIVERABLES AND METHODOLOGY 4.1 PROJECT MANAGEMENT LIFE CYCLE Project organization and planning $130,000 4/30/2015 Planning Implementation and Reporting Design $454,980 12/31/14 Design (Agile) Testing $650,000 3/31/2015 Design (Agile) $65,000 4/30/2015 Implementation Implementation Phase Summary of Phase Key Deliverables Planning Project organization planning Fraud Detection Analysis Implementation Plan; Biweekly status reports, monthly status reports Design Implementation and Reporting Design System design documents detailing the proposed system. Testing Agile methodology to build, test and review followed by standard UAT Test planning unit, system, UAT testing and bug fixing Implementation Implementation planning, results, and close-out. CCB reviews, approvals, operational hand off documentation including SOPs PAGE | 9 4.1.1 PROJECT MANAGEMENT DELIVERABLES Project Deliverables are work products or artifacts that are driven by the project management methodology requirements and standard project management practices regardless of the product requirements of the project. Task Item Sub Tasks Organization, 11.1 Reporting Planning and Reporting Description Contractor will submit reports required in these Deliverables electronically, via email, in MS Office or other appropriate format as approved by the Procuring Agency or the Procuring Agency’s Executive Steering Committee for review, approval and acceptance. Contractor will create, maintain, and present a Fraud Detection 11.2 Fraud Detection Analysis Analysis Implementation Management Plan for the period of performance to include the following. Implementation Management Plan Work Breakdown Structure Build Schedule o Work Schedule o Major milestones o Schedule and approach to knowledge transfer o Key SDLC documentation reporting and analysis activities for both major and minor releases. For major releases this would include the activities or sub-plan required to complete requirements gathering, analysis, design, development, testing, implementation of the enhancements included. For minor releases it would include activities for the development of the monthly minor release plan including timeline for testing, etc. Project meetings Risk Log Contractor will submit an updated version of the plan to the Procuring Agency CIO by the 1th day of every month. 11.3 Documentation Contractor will support training activities related to change requests/releases. and Training Contractor will support business and technical teams to ensure that system and process documentation is updated as appropriate. PAGE | 10 11.4 Bi-weekly Project Status Meeting Contractor will coordinate, schedule, and prepare materials for Bi-Weekly Project Status meetings for review, approval and acceptance. Provide a bi-weekly status of the release schedule Identify and present updated task and milestone accomplishments Itemize needs, identify risk and current activities Define plans for the upcoming two weeks before next meeting. 11.5 Project Issue Log Contractor will create an Issue Log to document issues, resolutions, times and dates. Contractor will post, store and maintain the log electronically to an internal shared network drive or Procuring Agency SharePoint site. Contractor will present the Issue Log at the Bi-Weekly status meeting. 11.6 Monthly Status Contractor will present a monthly status report to the Procuring Agency CIO by the 15th day of each month. Each report will Report contain the status of each deliverable and the following updated reports: Project Management Plan, including Schedule Project Issue and Risk Log Sub Tasks Description 12.1 Contractor will assist Procuring Agency in defining design alternatives and coordinate submission to the Procuring Agency for review approval and acceptance. Implementation System Design Documents Contractor will assist Procuring Agency in designing and documenting the proposed solution for the Procuring Agency for implementing the uDetect™, the Fraud Detection Analysis solution. Contractor will coordinate submission of defined design documents to the Procuring Agency per the project schedule. PAGE | 11 12.2 Design Walkthrough and Approval Session Contractor will coordinate, schedule and facilitate with Procuring Agency design walk through sessions per the approved release plan. Contractor will coordinate submission of all design documents to the Procuring Agency for review, approval and acceptance. Contractor will submit walk through attendance sheets to the Procuring Agency for review and approval. Sub Tasks Description 13.1 Develop Test Plans Contractor will develop and submit a Release Test Plan and submit to the Procuring Agency’s for review approval and acceptance. Contractor will define the system environments within the Test Plan in collaboration with the Agency Project Team for development testing, quality assurance, production and deployment. The Test Tracking Log will include the following components: Unit Testing System Integration Testing User Acceptance Testing Regression Testing Contractor will present the test plan to the Agency per the project schedule. Contractor will compile all issues identified and logged by project stakeholders and testers throughout the release cycle. Contractor will triage and categorize each issue per Agency prescribed issue categories (defect, enhancement, training issue, etc.). Contractor will provide the Testing Log to the Procuring Agency. Contractor will assist Agency with identification and development individual Test Plan scenarios and scripts outlined in the Release Test Plan. 13.2 System Configuration Implementation on Development Platform Contractor will assist Procuring Agency to identify enterprise platform changes in the development platform during the life of the project. Contractor will develop and modify software code to address the items in each release. Contractor will record software issues identified in testing in the Testing Log. PAGE | 12 13.3 Unit Testing Contractor will unit test the developed solution based upon the approved test plan. Contractor will compile results of unit testing recorded in Unit Testing Issues Log. Contractor will assist the Procuring Agency Test Manager with 13.4 System Integration Testing the development and, documentation of system integration test scripts. Contractor will support the Procuring Agency Project Test Manager with system integration testing upon completion of unit testing. Contractor will support all activities associated with integration and regression testing of the developed solution with all Agency Project Teams. Contractor will coordinate with the Procuring Agency Project Test Manager integration and regression testing of the developed solution. Contractor will compile all issues identified and logged by project stakeholders and testers throughout the release cycle. Contractor will triage and categorize each issue per Agency prescribed issue categories (defect, enhancement, training issue, etc.). Contractor will provide the Testing Log to the Procuring Agency. 13.5 Quality Assurance Contractor will assist the Procuring Agency with testing in the designated environment. Contractor will compile all issues identified and logged by project stakeholders and testers throughout the release cycle. Contractor will triage and categorize each issue per Agency prescribed issue categories (defect, enhancement, training issue, etc.). Contractor will provide the Testing Log to the Procuring Agency. PAGE | 13 Contractor will assist the Agency project teams with 13.6 User Acceptance Testing development, and documentation of UAT test scripts. (UAT) Contractor shall support Procuring Agency’s User Acceptance Testing (UAT) activities. Contractor will compile all issues identified and logged by project stakeholders and testers throughout the release cycle. Contractor will triage and categorize each issue per Agency prescribed issue categories (defect, enhancement, training issue, etc.). Contractor will provide the Testing Log to the Procuring Agency. 13.7 Bug Fixes Contractor will incorporate Procuring Agency’s approved bug fixes identified in each category of testing. Bugs introduced by another vendor’s patches or system upgrades, are not the responsibility of the Contractor. 4.1.2 DELIVERABLE ACCEPTANCE PROCEDURE All deliverables are reviewed by business owner, technical management and subsequently approved by CIO prior to invoice acceptance. PAGE | 14 4.2 PRODUCT LIFE CYCLE 4.2.1 TECHNICAL STRATEGY The uDetect engine will be incorporated into our existing UIA and be handled within the existing uFACTS framework. 4.2.2 PRODUCT AND PRODUCT DEVELOPMENT DELIVERABLES The product deliverable will be the uDetect engine and then the associated code related to the targeted release schedule. 4.2.3 DELIVERABLE APPROVAL AUTHORITY DESIGNATIONS DELIVERABLE NUMBER DELIVERABLE APPROVERS (WHO CAN APPROVE) 1 uDetect Engine CCB 2 UIA release CCB 4.2.4 DELIVERABLE ACCEPTANCE PROCEDURE Product deliverables will be accepted through the CCB process at NMDWS. PAGE | 15 DATE APPROVED 5.0 PROJECT WORK Phase Project Management Phase 2: Scoring Engine Phase 3: uFACTS Integration Phase 4: Business Implementation 4.a: Business Requirements 4.b: uFACTS Modifications and Business Intelligence Reports Development 1 2 3 4 Month 5 6 7 8 9 10 Phase 2. Scoring Engine Deployment: Implement Scoring Engine for uDetect in a technology solution to score unemployment insurance claims for the purpose of identifying and reducing potential overpayment fraud. Phase 3. uFACTS Integration: Integrate the uDetect Scoring Engine within the uFACTS application, including configuration of input and output data streams to the Scoring Engine and design and development of a user interface. Phase 4. Business Implementation: Enhance the businesses process whereby claims messaging and processing incorporating analysis results and subsequently managed within uFACTS PAGE | 16 5.4 PROJECT TEAM See org chart above. ROLE RESPONSIBILITY Project Management Office (DWS) Project oversight and support to include receiving project status. Project Manager (Contractor) Responsible for delivery of items outlined in SOW, project management plans, project status reporting, project staffing. Analytics Lead Oversee analytical team on day-to-day basis. Compile deliverables and report results. Modeler Perform analytics, compile deliverables, and report results Scoring Engine Lead Oversee Scoring Engine Development team on day-to-day basis. Compile deliverables and report results. Scoring Engine Developer Develop scoring engine, perform unit testing. Business Implementation Lead Oversee business implementation team on day-to-day basis. Compile deliverables and result results. Business Analyst. Perform analysis, compile deliverables, perform testing, report results UIA Integration Lead Oversee the integration of the uDetect Scoring Engine within UIA, report results UIA Developer Perform analysis, develop UIA modifications, unit test, report results DWS Business Analyst Assist with analysis, compile deliverables, perform testing, report results DWS Implementation Team Perform Implementation tasks to promote code changes to production. DWS Development Manager Determine how project fits into overall development tasks and plans. Monitor progress CCB Project Oversight/Change Control Project Sponsor Setting of overall project goals and objectives Business Owner Provide guidance on business implementation strategies; provide business analyst resources, design approval PAGE | 17 6.0 PROJECT MANAGEMENT AND CONTROLS 6.1 RISK AND ISSUE MANAGEMENT ISSUE DESCRIPTION END USER End users will need to be trained in UIA system changes and business process changes. BUSINESS PROCESSES Business processes will need to be updated and SOP’s will need to be updated to reflect changes associated with the fraud detection project. IT OPERATIONS AND STAFFING Project needs to be integrated into overall planning; IT Operations and UIA development team will be involved in design, development and implementation of scoring engine and UIA system enhancements. OTHER DWS regulations will need to be reviewed to determine if any changes will be required. RISK– Resource Availability Probability: High Impact : High Mitigation Strategy: Project will be assigned a high priority by DWS and appropriate resources will be made available to perform the work per the approved work plan. Contingency Plan: Additional contract resources will be deployed to the project. RISK– Increased complaint/appeals files by claimants or employers Probability: Medium Mitigation Strategy: Integration of workflows will provide actionable tasks within the constraints of existing performance measures. Factors used to determine risk score will only be stored in the scoring engine used to provide predictive actions. Contingency Plan Not applicable Mitigation Strategy:. Contingency Plan PAGE | 18 Impact: Medium 6.2 INDEPENDENT VERIFICATION AND VALIDATION - IV&V NMDWS will seek Independent Verification and Validation (IV&V) through state pricing agreements. Expected acquisition by August 1. 6.3 SCOPE MANAGEMENT PLAN 6.3.1 Change Control 6.3.1.1 Change Control Process The CCB is established to oversee the change control process for enterprise-wide systems. The change control process is described in the NMDWS Change Management Process document. The CM tool suite TFS and SharePoint, and any other project tools adopted, are also included within the CCB area of responsibility. 6.3.1.2 Change Control Board (CCB) The CIO serves as the CCB Chairperson to moderate proceedings and determine the disposition of all proposed changes that are forwarded to the project CCB by the project CRB. The CCB Chairperson, based on the recommendations of the CCB members and subject matter experts (SME), may approve, disapprove, defer, or request further information, analysis, or documentation on any matter under consideration. The objective of the CCB process is to reach consensus on all recommendations. In the event that is not possible, the CCB Chairperson has the sole authority to make the final decision on all items under consideration by the CCB. The CCB Chairperson may designate an alternate Chairperson who has the full authority vested in that position while performing that function. 6.4 PROJECT BUDGET MANAGEMENT 6.4.1 Budget Tracking NMDWS will track budget through our Grants division and associated financial systems. PAGE | 19 6.6 PERFORMANCE MEASUREMENT (PROJECT METRICS) 6.6.1 Baselines Project Area Category Measure Phased schedule Time Adherence to project plan. Monthly budget reports Cost Burn rates and deliverables based reviews consistent with contract. 6.8 CONFIGURATION MANAGEMENT All associated changes will be tracked and manage through CR/Team Foundation Server which includes version control and release management. The project repository is the associated SharePoint site which houses all project documentation. 6.9 PROCUREMENT MANAGEMENT PLAN This project will adhere to NMDWS and state procurement policies. 7. 0 PROJECT CLOSE Project close activities will be based on release schedule and contract deliverables. PAGE | 20