Module 2 1 Finance and Administration Cabinet Organizational

Module 2. 1 Finance and Administration Cabinet Organizational Changes and Agency Impact March 16 -18

The Cabinet continues to work towards its overall vision for Simplified Administrative Services As part of our new direction, we are transforming the Cabinet’s structure to support changes in the way we work and to provide agency support. Phase I Centralized Technical Operations and Management Phase II Customer Resource Center, Reorganized procurement and financial divisions, , New audit and policy focus Phase III Combination of financial, procurement, contracting and technology activities New Cabinet Structure

Our efforts continue to be driven by the Simplified Administrative Services Goals “Transform” the way we work -- Focus on service, authority and accountability closer to the customer Provide easily accessible opportunities for employee involvement, from both inside and outside the Cabinet Finance and Administration Cabinet Provide tools and guidelines for product and vendor performance measures and provide a format for sharing that information across agencies Think strategically – invest in planning for optimum performance and purchasing power Reduce turn-around times for approving, processing, paying, and receiving while maintaining all appropriate and reasonable controls

Phase II of the Cabinet’s organizational design is underway The Cabinet submitted an Executive and Administrative Order that: • Completely redesigned the procurement and material management area • Redesigned the accounting and financial management functions • Integrated a new policy and audit organization with the Cabinet’s Division of Internal Audit • Created a Customer Resource Center

The Old Structure

The New Structure

The Division for Material and Procurement Services Formerly known as: Division of Purchases

The New Organization Structure is much more flexible: Division of Material and Procurement Services Procurement Support Section Procurement Services Branch

Approaches to central procurement and material activities continue to improve • New focus on agency business needs • Creation of an integrated agency team concept for Statewide Purchasing Agreements • Emphasis on Best Value solutions and services • Ongoing oversight of personal service contracts and memoranda of agreement • Creation of Procurement Group rather than commodity area and merging of products and service • Small purchase team to handle all purchases <$20, 000 regardless of commodity or service

MATERIALS AND PROCUREMENT SERVICES CUSTOMER MATERIAL AND PROCUREMENT SERVICES CAREER PATH PROGRESSION Serve as agency Purchasing Associate Assistant Director for Purchases Sealed Bid Purchasing Officer Strategic Procurement Specialist I & II Procurement Branch Manager Small Purchases Team Leader 1 year OTHER KEY AREAS Purchasing Technician II After 6 mos. After 1 year Purchasing Technician I Serve as agency Purchasing Assoc. or Sealed Bid Purchasing Officer After 6 mos. 2 years 3 years 2 years 4 years Customer Resource Center Division Director Assistant Director for Purchases 2 years Accounting Services Division

For agencies, the changes provide …. . . • Potentially new classification specifications and class series • More flexibility in how they approach procurement • Faster turnaround times of procurement requests • Access to better information faster • Knowledgeable and customer oriented support from the central office

The Division for Statewide Accounting Services Formerly known as: Division of Accounts

The New Statewide Accounting Services Structure Division of Statewide Accounting Services County Fees Branch Accounting Services Branch General Accounting Branch Financial Reporting and Management Branch

What’s different in the new organization? • Team approach to work and projects • Fewer branches • Less emphasis on data entry, data processing, preaudit functions • New class series proposed to support career development opportunities and greater expertise • Proactive agency advocacy with support from the Customer Resource Center

Non-Degree Accounting I-II (1 yr. ea. position) Admin. Specialist Senior Admin. Specialist Principal Internal Policy Analyst III Accounting III-IV (1 yr. ea. position) With schooling Internal Policy Analyst IV Degree Required Assistant Director Statewide Graduate Accountant I 1 yr. OTHER Admin. Specialist Statewide Graduate Accountant III Degree STATEWIDE ACCOUNTING SERVICES DIVISION OF ACCOUNTING SERVICES CAREER PATH PROGRESSION Applicants 1 yr. After 2 years After 1 with 6 mos. CRC or agency assignment Statewide Accountant Supervisor Statewide Graduate Accountant Manager Financial Systems Analyst III Financial Systems Analyst IV 1 yr. CRC and Agencies Director

Our goal is to improve accounting and financial management activities across all agencies • Improved class specifications to better reflect duties and skills required • Proactive advocacy environment to develop consistent approaches across the Commonwealth • Provide functional training in Commonwealth accounting • Faster response time to agency needs

The Division for Administrative Policy and Audit Formerly known as: Division of Internal Audit

The New Structure Division of Administrative Policy and Audit Branch Administrative Policy Branch

Future Policy and Audit functions for the State will require more focused attention • Guidance to agencies on pre-audit policy and records management § Develop policies & procedures to meet pre-audit delegation § Coordinate with Customer Resource Center to develop training around pre-audit policies and procedures for agencies § For those agencies that cannot do their pre-audit functions, the branch will do them Post audit of agency records § Procard § Records Management § Purchasing • An Administrative Policy Branch that develops administrative policies for the Commonwealth using a Statewide team perspective

The Customer Resource Center

The Customer Resource Center has been designed to support agencies: Office of the Secretary Customer Resource Center Agency Support Branch Within the Secretary’s Office Continuous Process Improvement Help Desk and Training Development

Different ways the CRC will support you. . . Scenario 1 GOPM Agency Question, Request, or Problem Customer Resource Center Help Desk Phone Call, E-mail, On-line Level 1 Inquiries Division of Statewide Accounting Division of Material and Procurement Services Level 2 & 3 Inquiries ? VENDOR OR EXPERT team Level 4 & 5 Inquiries

Different ways the CRC will support you. . . Scenario 2 CRC leads development of training materials Agency Requests Help Desk Incidence Reports Identify Training or Improvement Opportunity Area CRC delivers training or agency support CRC coordinates an improvement team with agency

Different ways the CRC will support you. . . Scenario 3 MARS Modules Employees new to Administrative Services MARS CBT Trained Employee Regularly Scheduled Training Courses

Questions that have been asked about the Customer Resource Center include: Question Answer Will there be a 1 -800 number? Yes, there be a toll free number Will there be a real person answering the phone? How many people will I have to speak with? There will be a real person answering the phone. Email or an inquiry into the on-line help will also be available Will agencies have their own help desk or access to the help desk software? Current plans are to have read access to the help desk database. Write access will require purchase of licenses and training. Regularly scheduled MARS training will be available. Demand for training outside of Frankfort will be assessed to determine how often and where training will occur. Will MARS and other training be available on a regular schedule and be provided Commonwealthwide? Will CRC help with management reporting? Yes How many people will staff the help desk and how fast will my problem be addressed? A comprehensive approach has been developed to ensure that enough people will staff the help desk and that turn around time for an inquiry will occur as quickly as possible given its business priority and complexity.

Key to the CRC’s success will be agency involvement and support • A regular part of the CRC’s staff will be Finance Cabinet employees from other Divisions on assignment as part of their career development process • Agencies are also encouraged to participate in this exchange on a voluntary basis • CRC employees will be an excellent resource for staffing your agency’s financial, procurement or material management organizations.

Material & Procurement Services or Financial Services Divisions After 1 yr. After 6 mos. Material & Procurement Services or Financial Services Divisions Continuous Improvement Specialist I-II After 1 year Administrative Specialist I-IV Resource Management Analyst AGENCY CUSTOMER RESOURCE CENTER OTHER FAC CRC CAREER PATH PROGRESSION 1 -4 years 1 -2 years After 1 year Resource Management Analyst Senior Resource Management Analyst Chief Branch Manager Agency Administrative Services Agency Administrative Branch Manager 1 -2 years Director of Customer Resource Center

QUESTIONS