1. CAS5727 – Healthcare Transformation, Enabling Complex Business Capabilities Oracle Open World 2018
Justin Knoerzer, Kaiser Permanente, Director
Wen-Ying Wu, Lead Consultant; Kiran Nekkalapudi, Sr Consultant

2. Justin Knoerzer – Director, HR Delivery Solutions
Presenters
Justin Knoerzer – Director, HR Delivery Solutions
Human Capital Management (HCM) overall product owner and functional leader heading HR transformation efforts at Kaiser Permanente
Twenty years of profession experience; with 15 years in the healthcare industry primarily focused on transformation utilizing software to enable business process modernization and organizational change
Wen-Ying Wu – Lead Consultant, HR Delivery Solutions
HCM Product Management Team - 16 years professional experience; with 14 years in the healthcare industry focused on business transformation, solution design, platform consolidation, and bridge products
Kiran Nekkalapudi – Sr Consultant, HR Delivery Solutions
HCM Product Management Team - 17 years experience; Peoplesoft HRIS/HCM Cloud application development, business transformation, and continuous process improvement

3. What We Plan to Cover Company Overview HCM Cloud in Healthcare
Solution Spotlights
Union Seniority
Additional Pay
Time Card Missed Punches
Wrap Up

4. Kaiser Permanente 216,199 Employees 22,013 Permanente Physicians
Kaiser Permanente Washington Bellevue, WA
Kaiser Permanente Colorado
Denver, CO
Kaiser Permanente Mid-Atlantic States Rockville, MD
Kaiser Permanente
Northwest
Portland, OR
Kaiser Permanente Northern California
Oakland, CA
Kaiser Permanente Southern California
Pasadena, CA
Kaiser Permanente Georgia
Atlanta, GA
Kaiser Permanente Hawaii
Honolulu, HI
216,199
Employees
22,013
Permanente Physicians
58,345
Nurses
12.2M
Members
684
Medical Offices / Facilities 39
Hospitals

5. HCM Cloud Project
The HCM Cloud Project is one of the program’s initiatives to IMPLEMENT THE ORACLE HUMAN CAPITAL MANAGEMENT TECHNOLOGY chosen to provide a comprehensive set of HR services.
Together with the work we are doing on the HR service delivery model, we are evolving our business in a way that will allow us to deliver on our mission of HIGH-QUALITY, AFFORDABLE HEALTH CARE today and well into the future.

6. Program Benefits CURRENT STATE FUTURE STATE
The HCM Program will transform our current state pain points and will provide future state benefits.
CURRENT STATE
FUTURE STATE
Scalable and Sustainable Solutions
Aging Systems
Fully Integrated System
Complex System Environment
Lower Overall Operating Costs
Contingent Workforce Risks
Simplify Everyday Interactions
Lack of Process Standardization
Digitally Enabled Workforce
Need for Timely, Actionable Data
New Capabilities to Support the Business
Lack of Robust Productivity Tools
Productivity Gains

7. HCM Cloud in Complex Healthcare
Year over year our program has been marked by a number of accomplishments
HCM PROGRAM
2017
Added New Team Members
Designed and built Case Management tool
Accelerated Inclusion of Contingent Talent
Growing the HCM family!
New capabilities will be linked to MyHR early next year
Achieved milestones below planned cost
Released Labor Productivity tool in hospital regions
Harmonized
Policies & Procedures
Moving the Contingent Worker Management workstream from Phase II to Phase I, increasing confidence in business case realization
Focused support in NCAL followed by other regions in January
Achieved 58% standardization for non-union and 38% for union topics
Managing program scope and resources closely
Minimized Customizations
Placeholder
Conducted Design Catalyst
106
Released KP Learn upgrade
Approached solution design differently, resulting in potentially only 3 potential extensions compared to 20,000+ current customizations in PeopleSoft and 50+ PaaS extensions to retrofit current customized environment
Level 5
Business Processes defined
Placeholder
Gathering input from regional and national leadership on future-state HR processes

8. Solution Spotlight – Seniority and Service Dates
Complex Date Adjustment Calculations
Current State
Solution
Change Management
Seniority Date and Service Date adjustments are calculated automatically and manually
Total number of Dates : 14
Seniority Date (3), Service Date (7), Other Dates (4)
Example: Union Seniority Date, Leave Accrual Date, Benefit Service Date, Grade Step Increase Date
Total number of Unions: 86
Total number of Non-Union: 35
Unique business rules
Employee “Assignment” and “Job” impact Seniority and Service Date adjustments
Seniority and Service Dates adjustment business rules include ‘Date’, ‘Hours’ and ‘Date and Hours’ based calculations
Manage Seniority Date (V3) functionality used to configure “Seniority and Service Date(s)”
Attach “Employment Seniority Date Adjustment” Fast Formula to calculate adjustments for “Seniority and Service Dates”
Review contract and consolidated business rules logic for 9 different dates, to support fast formula development
Union Seniority Date: 90+ business rules; Hire (3), Re-hire (12), Leaves (20), Reciprocity (16), Transfer (3), etc
Alternate Seniority Date: 50 rules
Benefit Service Date: 39 rules
Leave Accrual Date: 14 rules
Grade Step Increase Date: (TBD)
Grade Step Hours: (TBD)
Manager and Employee: Educate on the usage of different dates - Vacation Bidding, Job Bidding, Grade Step Increase
HR Operations: How to view seniority dates
How to audit and adjust seniority and service dates
Application Support: How these dates are used in other business process developed
Understand Fast Formula rules matrix
Schedule seniority date batch process
Conversion of Seniority and Service Dates for active employees
HR Business Partners: How to use Seniority and Service Date reports

9. Solution Spotlight – Additional Pay
Calculate Additional Pay Using Delivered Functionality
Current State
Solution
Change Management
12 different types of Additional Pay administered using PeopleSoft Additional Pay and custom TIME application
(Ex: Bilingual, Lead Differential, etc)
Create job codes to incorporate embedded differential in hourly base pay
Additional Pay triggered via automation and Form submission
Integration built between PeopleSoft and custom TIME application to administer Additional Pay
“Information Element” auto assigned to employees as per “Element” eligibility rules
Manager initiated Additional Pay will be submitted via on-line form for HR Specialist to assign information element to employee
HCM “Talent Profile” and “Seniority Date” configured to support Additional Pay solution (Ex. Bilingual, Longevity)
Fast Formula uses “User Defined Table” for union specific differential rates and “Balance Definitions” for hours worked to calculate Additional Pay every Pay Period
Employee: Pay check view to understand Additional Pay
Manager: Educate manager initiated additional pay vs automated additional pay.
Labor Relations: How additional pay is calculated and standardize embedded differential job codes
HR Operations: Support Manager initiated Additional Pay and provide Tier 1 problem resolution
HCM Application Support: Support model, Maintain “Information Element” eligibility, Update “User Defined Table” and add newly created elements to “Balance Definitions”

10. Solution Spotlight – Time Card Missed Punches (Danglers)
Timely Payment to Employees
Current State
Solution
Change Management
Timecard (TC) must be error-free and approved
Missed punch sets TC to error, or exception status
Manually add missed “in”, “out”, or entire sets of punches (role specific)
Missed punch = employee not paid
Unapproved TC = employee not paid
Automate+1 /– 1 minute to close out danglers
Outbound CSV via OTBI (file for landing zone)
Landing zone > CSV to JSON
JSON to HCM format via REST Time Record Event
Process imported time entries
Audit trail for employee, manager, automated dangler process
Educate HCM Cloud product functionality
Educate, train to dangler handling process
Future product recommendation:
Set TC status at segment level
Allow TC status other than approved flow to Payroll

11. Closing Statements Wrap up Questions? Discuss covered items
Importance of work in SaaS environment
Add final points
Questions?