1. Module 2.1 Finance and Administration Cabinet Organizational Changes and Agency Impact March 16-18

2. 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. Customer Resource Center, Reorganized procurement and financial divisions,, New audit and policy focus Combination of financial, procurement, contracting and technology activities New Cabinet Structure Centralized Technical Operations and Management Phase I Phase II Phase III

3. 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 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 Finance and Administration Cabinet

4. Phase II of the Cabinet’s organizational design is underway 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 Cabinet submitted an Executive and Administrative Order that:

5. The Old Structure

6. The New Structure

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

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

9. 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

10. MATERIAL AND PROCUREMENT SERVICES CAREER PATH PROGRESSION Purchasing Associate Sealed Bid Purchasing Officer Purchasing Technician II Purchasing Technician I Serve as agency Purchasing Associate Serve as agency Purchasing Assoc. or Sealed Bid Purchasing Officer Assistant Director for Purchases CUSTOMER MATERIALS AND PROCUREMENT SERVICES After 6 mos. 1 year2 years3 years After 1 year After 6 mos. 2 years4 years2 years Division Director Strategic Procurement Specialist I & II Procurement Branch Manager Assistant Director for Purchases Customer Resource Center OTHER KEY AREAS Customer Resource Center Small Purchases Team Leader Accounting Services Division

11. 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

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

13. 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

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

15. 1 yr. DIVISION OF ACCOUNTING SERVICES CAREER PATH PROGRESSION Statewide Graduate Accountant I Statewide Graduate Accountant II Statewide Graduate Accountant Manager Assistant Director STATEWIDE ACCOUNTING SERVICES 1 yr. Director Financial Systems Analyst II Financial Systems Analyst III Financial Systems Analyst IV CRC OTHER Financial Systems Analyst I Statewide Graduate Accountant III CRC and Agencies After 2 years Applicants Statewide Accountant Supervisor Internal Policy Analyst I Internal Policy Analyst II Internal Policy Analyst III Internal Policy Analyst IV Admin. Specialist Senior Admin. Specialist Admin. Specialist Principal After 1 with 6 mos. CRC or agency assignment Degree Non-Degree Accounting III-IV (1 yr. ea.position) Accounting I-II (1 yr. ea.position) Degree Required With schooling Agencies

16. 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

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

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

19. 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

20. The Customer Resource Center

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

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

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

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

25. Questions that have been asked about the Customer Resource Center include: QuestionAnswer Will there be a 1-800 number? Will there be a real person answering the phone? How many people will I have to speak with? Will agencies have their own help desk or access to the help desk software? Will MARS and other training be available on a regular schedule and be provided Commonwealth- wide? Will CRC help with management reporting? How many people will staff the help desk and how fast will my problem be addressed? Yes, there be a toll free number There will be a real person answering the phone. E- mail or an inquiry into the on-line help will also be available 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. Yes 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.

26. 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.

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

28. QUESTIONS