1. Agency/Industry Day Presentation National Finance Center 1

2. Agenda USDA Team/Organization Solution Current Services and Products Future Services and Products 2

3. The USDA Team Ranked by Gartner as #1 Systems Integrator for SAP Strong base of SAP experience in the federal market (U.S. Army, NASA, DLA) 1,500+ SAP engagements conducted annually 30 year+ alliance relationship with SAP 36,000+ SAP skilled resources Deep experience in support shared services projects Accenture Experience Deloitte Ranked by Kennedy #1 in Global Consulting Marketplace Report Serve more than 500 clients with SAP Center of Excellence (COE) services. 1,700 SAP engagements delivered globally 9,600 dedicated SAP practitioners Global Services Partner with SAP since 1994. Supported USDA in multiple SAP initiatives since 2008 Deloitte Experience Delivering a fully integrated core financial management system that enables improved decision-making and planning with a modern SAP system. USDA Experience USDA and our teaming partners work together to provide SAP end-to-end solutions, supported by extensive experience in business and implementation services. Over 100,000 employees across the country Implemented 29 Agencies in a state of the art Federal ERP System Maintained our clean audit opinion

4. USDA NFC Shared Services Team Experience USDA has implemented 29 organizations into our SAP “FMMI” system through 3 deployments from 2009-2012 The FMMI system has disbursed over $39 billion since going live in 2009 and processed over 4.9 billion General Ledger postings Developed with Agencies over 100,000 master data fields to track budget and expenses and developed over 51 financial reports FMMI currently has over 6,300 financial system users conducting financial management operations on a daily basis 4

5. USDA Value Proposition State of the art ERP system, operational, providing auditable financial results Continuous process improvements, operational and organizational improvement for shared services Strong Industry Partnership: Flexible, scalable, customizable service offerings focused on providing what the customer needs, when the customer needs it with the right level of detail Large financial shared service provider today with extensive accounting experience, knowledge in reimbursables, and the use of working capital fund, and grants Powerful and flexible Financial Management and Reporting 5

6. National Finance Center (NFC) Organization Structure 6

7. Agenda USDA Team/Organization Solution Current Services and Products Future Services and Products 7

8. Solution Features eAuthentication Login FMMI System Web-based access Single sign-on integrated with USDA’s eAuthentication Single integrated application with access to financial transactions and reporting Role-based access control Real-time business transactions FMMI Online Help and Context- sensitive Help to training materials, simulations, and job aids SAP Portal 8

9. Enterprise Solution SAP IAS GovTrip TRVL IPP Treasury PI Payroll SAM Banks 9

10. 10 Unique USDA Core Financials Capabilities BPMS HANA Database Shorthand Code (SHC) Grants Management Electronic Inter-Agency Agreement (eIAA) GL Transaction Model

11. Core Financials in SAP 11

12. Agenda USDA Team/Organization Solution Current Services and Products Future Services and Products 12

13. 13 Financial Reporting Services General Ledger Reconciliations –Cash –Property Proprietary/Budgetary Relationship Analysis Financial Statements and Year End Support Internal Reporting –SAP BI Warehouse –HANA External Reporting –Government wide Treasury Account Symbol Adjusted Trial Balance (GTAS) Reporting –Business Event Type Code (BETC)

14. 14 Customer Support Services Master Data Management –Vendors/Customer Data –Accounting Elements Dedicated Staff –Helpdesk –Agency Advocate Documentation –Directives (Policy) –Online Help Procedures Communication –Operations and Maintenance Meetings –Email Notifications Customer Performance –Service Level Agreement Metric Reporting –Survey

15. 15 Consulting Service Identify improvements in processes and services that will deliver better quality, timely, and cost-effective business processes. Provide subject-matter expertise. – Collaborate to define requirements – Design and develop – Test and implement – Post implementation confirmation Documentation

16. Security 16 Compliant with Federal Guidelines and Regulations Fedramp Compliant Adherence to NIST Standards OMB A-123, Federal Information System Controls Audit Manual (FISCAM) Improper Payments Information Act of 2002 Authorization and Accreditation (A&A)

17. Plan & Analyze Design Build Test Deploy 17 USDA Flexible Services USDA understands that not all customers will require the full complement of services and developed a plan to bundle services based on customer requirements:

18. Representative Timeline of Implementation Activities - 16 Mo.- 15 Mo.- 14 Mo.- 13 Mo.- 12 Mo.- 11 Mo.- 10 Mo.- 9 Mo.-8 Mo.- 7 Mo.- 6 Mo.-5 Mo.- 4 Mo.- 3 Mo.- 2 Mo.- 1 Mo.+1 Mo. AugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDec Manage Data Gathering for Mock Test and Go Live Verify Mock Conversion Test & Production Conversion Results Post Production Support Go-Live Legend: Purple = Functional/Testing Gray = Data Cleansing/Conversion Red = Change Management Green = Technical Arch Blue = Implementation Conduct 100-400 Level Training Support Design, Participant in Design Reviews Conduct Deployment Monitoring Checkpoints Map Users to Roles Support User Test Convert Data* Operational Readiness Test Go/No Go Decision Support Build Activities 18

19. 19 Conversion Approach Data Cleansing Data Conversion Data Validation GO-LIVE Mock 3 – Master Data and Transactional Data Mock 2 – Master Data and Transactional Data Mock 1 – Master Data and Transactional Extract all Legacy Data from Source Update Master Data Crosswalks Load Data into SAP Validate Content in SAP Determine Data Type & Form for Cleansing / Conversion Data Conversion is the migration of data from the legacy systems to the NFC Solution NFC will convert open transactions and supporting details Data Conversion involves 3 steps:

20. Training and Performance Support USDA training approach uses a multi-level, building-block approach to transition users to the system. SAP Online Help (Job Aids, Simulations, Quick Reference Guides) Help Desk Web-based Training (WBT) Instructor-led Training (ILT) via Classroom or Auditorium SMEs Understand Buy-In Commit Before Transition Define roles for SAP users based on Business Process Re-Engineering Work with Agencies to map SAP users to roles based on BPR Develop instructor-led and web-based training During Transition Develop SAP training schedule with Agencies Deliver on-site classroom training at DOL locations Deliver web-based training After Transition Provide online help and job aids for users Provide coaching from Agency SMEs Provide onsite support (Help Desk) Change Discussions Role Mapping Workshops

21. 21 Post Production Support Communications On-Site support from USDA Help Desk Online Help −Simulations: simulated SAP transactions that provide users a safe environment to practice and learn how to process transactions in SAP. They also serve as great performance support materials for users. −Online Help Procedures (OLHPs): step-by-step instructions for the user on how to complete specific transactions. The document contains screen shots, steps, and required fields that need to be entered in order to complete the transaction. −Job Aids: simple “quick reference” tools that are training take-aways to help users perform their jobs once back in their home location. Access Online Help from the Help link

22. 22 Disaster Recovery/COOP Plans Purpose –Government initiative –Continuation of essential functions Result –Orderly recovery after disaster has occurred –Minimized disruption of operations –Ensured level of organization stability COOP Site –Bossier City, LA –Approximately 5 hours NW –Data replication to geographically dispersed “warm site”

23. Agenda USDA Team/Organization Solution Current Services and Products Future Services and Products 23

24. USDA has chosen a lease option versus buy option, limiting investment requirements. USDA will leverage a private sector cloud environment, mitigating risk by sharing costs across a larger base. Flexibility will be increased with the ability to expand and/or contract as conditions demand. Expansion requires a small increase in USDA workforce. Deloitte/ Accenture are able to expand and contract more fluidly, providing capacity where needed. 24 Cloud Environment

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