Project Connect. May 9, 2012

Transcription

1 Project Connect May 9, 2012

2 Introduction Meeting Minutes Approval Project Status Report IV&V Update by Ernst & Young Other Business Public Comments Review of Actions from Meeting Scheduling of Next Meeting June 13 Adjourn Project Connect 2

3 Project Update Budget and Timeline Current and Upcoming Activities Risks and Issues Key Project Dates Project Connect 3

4 Project Connect s Define Phase (requirements validation) confirmed DEO s 1,777 requirements in support of its reengineered business processes Deloitte based its solution for Florida on Massachusetts implementation of ufacts, a UI/Tax & Benefits application ufacts was originally built on the Java framework for Minnesota where it is running successfully today When Massachusetts procured ufacts it was converted from Java to the.net framework Deloitte would then base its solution for New Mexico, and then Florida, on the core Massachusetts.Net code Deloitte stated that 79% of Florida s requirements could be met without customizing ufacts Project Connect 4

5 All three States based upon the.net ufacts solution (MA/NM/FL) are behind schedule Massachusetts will be two years late now April 2013 New Mexico, which separated from Massachusetts and went its own way 10 months ago, is 5+ months late - now September 2012 Last month Florida, New Mexico and Massachusetts project staff met together with Deloitte to understand the underlying issues and causes of those delays Project Connect 5

6 Deloitte began a deep dive analysis of Massachusetts technical & application architecture to identify the root causes of Massachusetts delay 1: ICON, Special Programs (Monetary), Retroactive Payments, Charge Adjustments, Collections 2: DUA Eligibility, TRA Eligibility, DCP 3: Revenue Integration, Batch Integration, IVR Integration, Higher Level Appeal Transition from Minnesota s Java framework to Massachusetts.Net framework was flawed Applications Architecture Potentially Technical Architecture Project Connect 6

7 Florida will follow New Mexico s lead and do a clean break from Massachusetts and maintain its code independently Massachusetts, New Mexico and Florida will continue to share discoveries, fixes, and best practices On April 20, as part of the Corrective Action Plan, (CAP) Deloitte provided DEO with a preliminary schedule extending the project by nine months New Implementation date of September 2013 DEO and Deloitte are in discussions to address the risks and financial impact of that delay Goal is to have the Design Phase, CAP and any Contract modifications complete by June 8 Project Connect 7

8 Project Connect 8

9 Original Project Contingency & Management Reserves Budget $9,957,039 Supplemental Budget Requests (SBRs) for TOP and SIDES $1,082,350 Reemployment and Eligibility Assessment (REA) Grant - Workforce Integration (Allocated Portion) $130,974 Total Funds Available $11,170,363 Funding Previously Approved ($3,123,737) Faneuil Scope Changes (Workforce) ($12,009) Sogeti Scope Changes (TOP, UAC, Project Support) ($503,300) Additional Functional Change Requests - Amendment 7* ($1,324,273) Total Funds Allocated ($4,963,319) Contingency & Management Reserves Balance $6,207,044 Pending Change Requests: - Unemployment Appeals Commission - Additional Workforce Integration Effort - Disaster Recovery Hardware Session Legislation * In review and approval process includes hardware and 2012 Session Legislation (HB7027) Project Connect 9

10 Total REA Funds Available $2,006,250 Allocated North Highland ($118,965) Allocated Operational Support Staff ($12,009) Total Funds Allocated Workforce Integration $130,974 Unallocated REA Funds Balance $1,875,276 Future Allocations: Sogeti, Deloitte and Geographic Solutions Project Connect 10

11 Base Budget $52,841,655 Management Reserve Allocation $3,749,995 SBR $1,082,350 REA $130,974 Updated Budget $57,804,974 As discussed once Contingency & Management Reserve funds have been approved for an expenditure (from previous slide), these funds will be moved to its appropriate budget category for tracking. Project Connect 11

12 Project Funding - Cumulative by Quarter Budgeted: Forecast: Variance: $57,804,974 $56,341,254 $ 1,463,720 Millions FY11 Q1 FY11 Q2 FY11 Q3 FY11 Q4 FY12 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY13 Q1 FY13 Q2 FY13 Q3 FY13 Q4 FY14 Q1 FY14 Q2 Budget Committed Forecast Project Connect 12

13 Overall Project Budget & Estimated Variance Original Budget Allocated Contingency & Management Reserves REA Grant & Supplemental Budget Requests Updated Project Budget Estimate at Completion Project Variance Project Funding OPS 92,400 86, , ,861 11,989 Expenses 6,864, ,864,194 6,366, ,379 OCO (Hardware) 483, , ,595 22,645 Contracted Services Project Management & Support Project Management Office 2,377, ,377,200 1,711, ,930 Project & Operational Support 1,526, ,300 12,009 2,097,803 2,064,194 33,609 Outside Legal 95, ,000 95,000 0 ITN Development 526, , ,700 13,950 Business Transition 1,456, , ,965 1,854,324 2,122,494 (268,170) Other Contracted Services 45, ,000 96,557 (51,557) Total Project Management & Support 6,026, , ,974 6,995,976 6,602, ,762 IV&V Services 2,005, ,005,798 2,005,798 0 Benefits Realization Strategy 255, , ,606 18,221 Organizational Change Management 679, , ,400 43,350 System Integrator (SI) Services 28,061,156 2,555,511 1,082,350 31,699,017 31,598, ,959 SI Hardware & Maintenance 2,543, , ,711,421 2,690,416 21,005 SI Software & Maintenance 5,706, ,808,206 5,576, ,715 Project Reserves 122, , ,695 Project Funding Totals 52,841,655 3,749,995 1,213,324 57,804,974 56,341,254 1,463,720 Cotingency/Management Reserves 9,957,039 6,207,044 Remaining unallocated Contingency Total Project Funding 62,798,694 9,957,039 Project Connect 13

14 PROJECT Cumulative through April 2012 Apr 2012 May 2012 Budget Committed Variance Budget Committed Budget Forecast Operational Funding State Salaries & Benefits 2,950,000 2,243, , , , , ,000 Admin/ Misc 211, ,807 (19,307) 13,875 46,417 11,625 15,060 Operational Funding Totals 3,161,500 2,474, , , , , ,060 Project Funding OPS 94,165 77,101 17,064 17,765 15,294 18,430 19,917 Expenses 5,627,806 4,859, ,606 79,275 48,048 96, ,504 OCO (Hardware) 483, , ,229 40, Contracted Services Project Management & Support 4,386,404 4,254, , , , , ,902 IV&V Services 1,369,562 1,306,950 62,612 77,762 46,456 46,456 46,456 Benefits Realization Strategy 200, ,439 39,949 7,920 27,820 7,920 18,784 Organizational Change Management 474, , ,465 38,700 47,085 38,700 37,200 System Integrator (SI) Services 8,423,387 3,066,090 5,357, , ,805 3,529,199 3,529,199 SI Hardware & Maintenance 2,681,421 1,240,214 1,441, , SI Software & Maintenance 5,808,206 5,433, , Project Reserves 83, ,119 3, ,485 0 Project Funding Totals 29,632,548 20,863,566 8,768, , ,064 4,030,158 4,125,961 Project Connect 14

15 As of May 3, there are 501 Design Artifacts in the Connect inventory 234 Use Cases, Workflows, and Interfaces 267 Correspondences and Reports 8 Open Issues and Gaps Remaining work is finalizing Appeals, Reports, and Correspondence Project Connect 15

16 Treasury Offset Program design will be completed this month for Connect Continuing to refine Workforce integration Scope and Requirements Definition for Connect Due to Project Connect s delay, the requirement to be fully work registered before processing a claim will be implemented in the current system (FLUID) Working with the UC Program on data conversion/data cleanup decisions Project Connect 16

17 Organizational Design Met with staff in the Ft. Lauderdale and Orlando hubs and Tallahassee covering most business operating areas Working with Benefits Realization team to identify additional target benefits and potential obstacles Organizational Change Management Change sponsor coaching ongoing Town hall meetings held in Fort Lauderdale, Orlando, Jacksonville and Tallahassee Project Connect 17

18 Completed the analysis of HB 7027 and identified all CRs necessary for Release 1.0 All open CRs have been prioritized and any not critical for Release 1.0 have been deferred Decision Deferred Assigned to UC IT Connect Team for completion Remaining will be reassessed for post-release 1.0 Project Connect 18

19 Total Functional CRs Received 148 Withdrawn (69) Not Required for Go Live (41) Previously Approved (2) Required for Go Live 36 Impact Assessment 12 Preliminary Approval 24 Pending Amendment 7 36 Project Connect 19

20 Risk #35 Organizational Design Activities Five other open risks being actively monitored Three deal with compliance with statutes and legislative changes Project Connect 20

21 Issue #6 Missed Design Phase Gate Monitored via the CAP Issue #7 Engagement with Geographic Solutions Contract will need to be modified to address integration requirements Short-term (FLUID) and long-term (Connect) approaches identified and approval process proceeding Issue #8 Corrective Action Plan (CAP) Contract calls for this to be tracked as an Issue Project Connect 21

22 June 8 June 13 July 11 Design Phase Completion Target Corrective Action Plan Due ESC Meeting ESC Meeting Project Connect 22

23 Project Connect 23

24 Introduction Meeting Minutes Approval Project Status Report IV&V Update By Ernst & Young Other Business Public Comments Review of Actions from Meeting Scheduling of Next Meeting June 13 Adjourn Project Connect 24

25 Unemployment Compensation Project Independent Verification and Validation Monthly Assessment Report Summary 07 May 2012

26 Topics for discussion General IV&V overview Overall risk state and trending Key indicators Overall project performance Projected milestone slippage Upcoming IV&V activities Supporting information Summary of changes IV&V ratings summary Open deficiencies Project milestones Open technology facets Page 26

27 General IV&V overview Overall IV&V risk state: Red Overall IV&V risk state for the project is Red (critical issues exist). P4 Time management risk state is Red. P5 Performance management risk state is Red. Based on the current SPI, the project is projected to be completed late. The UC Project Team has developed short-term interim plans to manage the project work through the next 90 days. The detailed interim plans provided for review are insufficient to manage and control the project. A project performance report has not been provided to the IV&V Team for review. The last performance report received was for the period ending 3 March The defined project performance measurement and reporting procedures are not being followed. No new deficiencies identified since the last report. Page 27

28 Overall risk state and trending Program Risk state of UC Project Cost management Governance P1 Time management As of 07 May 2012 Risk state with trending Program P5 P4 Resource management P2 Performance management P4 Change management Functionality T1 Technical architecture T4 P3 Operations support High-level system architecture Risk adjusted financials T2 P6 Non-functional requirements P5 Risk management T3 P9 B1 Business objectives and value alignment Quality management P8 B2 Business process Benefits tracking P7 Organization design B3 Communication B6 P9 P6 P8 P3 P7 P2 T3 P1 B3 B2 T1 B1 B6 T5 B5 T4 B4 B9 T8 B8 T7 B7 Functional requirements T5 Legacy integration Cost, benefit and risk B5 Reporting and value monitoring T7 Requirements mapping T6 B4 Investment governance and approval B9 Technology T8 Stabilization T9 B7 Compliance and regulatory B8 Business Technology T2 T6 T9 Risk state with trending Business Indicates that the area being assessed has critical issues that will result in significant risk to the project most likely resulting in either the inability to achieve the outcomes, inability to meet the projected schedule, or a significant cost over-run. Requires immediate action. Indicates that the area being assessed has issues that need to be resolved; inefficiencies exist. Current process/method can be used with refinement. Indicates that the area being assessed did not have significant issues to report. Continued monitoring should be performed. Indicates that the area being assessed has incomplete information available for a conclusive finding or is not applicable. Page 28

29 Key indicators Indicator Value Comment Is the project approach sound? Yes Is the project on time? No Based on the current SPI, the project is projected to be completed late. Is the project on budget? Is scope being managed so there is no scope creep? What are the project s future risks? Are the project s risks increasing or decreasing? Are there new or emerging technological solutions that will affect the project s technology assumptions? Yes Yes N/A Increasing No The work being completed as part of the UC project is within the scope of the project as defined for the UC modernization project. There is clear evidence that schedule performance and the achievement of milestones have fallen short of their respective targets. The defined project performance measurement and reporting procedures are not being followed. New and emerging technologies were considered in the Feasibility Study. None have an adverse effect on the project s technological assumptions. Page 29

30 Overall project performance UC project performance 1.30 CPI Behind schedule and underspent Ahead of schedule and underspent SPI SPI = 0.88 CPI = Behind schedule and overspent 0.70 Ahead of schedule and overspent Page 30

31 Projected milestone slippage UC projected milestone slippage 91 Implementation 87 UAT 69 Develop Design Define 0 29 Apr 2012 Mar 2012 Feb 2012 Jan 2012 Dec 2011 Nov 2011 Planning Number of calendar days Page 31

32 Upcoming IV&V activities Participate in UC meetings IV&V review meetings with the UC Project Team Executive Steering Committee meetings Review integrated master schedule and associated project performance reports Deliverable review schedule is as follows: Deliverable Planned finish Actual finish Comment UC3-06A, Project Management Documents 24 August September 2011 Complete UC3-06B, Requirements Validation 19 August August 2011 Complete UC3-06C, Design Documents 30 December 2011 Schedule being revised UC3-06D, Development 17 August 2012 Schedule being revised UC3-06E, Testing 20 April 2012 Schedule being revised UC3-06F, Data Conversion 17 August 2012 Schedule being revised UC3-06G, Training 14 December 2012 Schedule being revised UC3-06H, Implementation 30 November 2012 Schedule being revised Page 32

33 Summary of changes Supporting information Item Deficiencies addressed New deficiencies Risk ratings Maturity ratings Interviews conducted Artifacts received No deficiencies addressed since the last report. Description No new deficiencies identified since the last report No risk rating changes since the last report. P4 Time management changed from Level 4 (managed) to Level 3 (defined). P5 Performance management changed from Level 4 (managed) to Level 2 (repeatable). No interviews conducted since the last report. Artifacts received include sample deliverables, finance updates, meeting notes, schedule information, and a project status report. Page 33

34 IV&V ratings summary Supporting information 30 IV&V cube facet ratings and open deficiencies per month Number Red Amber Green Grey Open Deficiencies Page 34

35 Open deficiencies Supporting information No. Areas Deficiency Implications Recommendations D11 P4: Time management The IMS and associated subsidiary schedules are insufficient to properly manage the project. Inability to effectively manage schedule and cost. Unable to establish true visibility and determine forecasting capability to schedule and cost performance in achieving project expectations. Inability to ascertain and analytically support a point of view for current and forecasted project performance. Misalignment of or incorrect project health perceptions. Lack of transparency on the project status and value for the business, stakeholders, and sponsors, leading to poor decision making and potentially providing a false sense of confidence. Inaccurate and unreliable data leading to unwanted surprises. Modify the work breakdown structure (WBS) for the development schedule and the IMS so they are identical. Revise the development schedule to address the items identified in the schedule analysis. Create appropriate linkages between the IMS and the development schedule so the development schedule becomes part of the IMS. Use a single IMS which includes all subsidiary schedules as the basis for managing the project and reporting progress. Page 35

36 Open deficiencies (continued) Supporting information No. Areas Deficiency Implications Recommendations D12 P5: Performance management The current control account structure is insufficient for determining accurate project performance. Inability to ascertain and analytically support a point of view for current and forecasted project performance. Inability to effectively manage timelines and cost. Misalignment of or incorrect project health perceptions. Lack of transparency on the project status and value for the business, stakeholders, and sponsors, leading to poor decision making and potentially providing a false sense of confidence. Inaccurate and unreliable data leading to unwanted surprises. Replace the control accounts with the activities associated with the control accounts. Structure the activities so they conform to the 8/80 rule. Assign resources to the activities instead of the control accounts. Use the activities as the basis for performing earned value (EV) calculations. Establish a formal set of procedures including a schedule for updating the baseline IMS with the following information for each task: Number of hours completed per resource working on the task. Estimate to complete for each resource working on the task. Page 36

37 UC project milestones WBS Title Completion date Supporting information Original Scheduled Planned Projected Actual Planning Interim Gate 04/29/ /29/ /29/ /29/ /29/ Planning Phase Gate 06/17/ /17/ /17/ /17/ /17/ Define Interim Gate 1 06/24/ /24/ /29/ /29/ /29/ Define Interim Gate 2 07/15/ /15/ /15/ /15/ /19/ Define Phase Gate 08/05/ /05/ /05/ /05/ /05/ Design Interim Gate 1 10/28/ /28/ /28/ Design Interim Gate 2 12/02/ /02/ /02/ Design Interim Gate 3 12/02/ /02/ /02/ Design Phase Gate 12/16/ /16/ /16/ /14/ Develop Interim Gate 1 05/11/ /11/ /11/ Develop Interim Gate 2 07/13/ /13/ /13/ Develop Phase Gate 08/03/ /03/ /03/ /10/ UAT Phase Gate 11/16/ /16/ /16/ /10/ Implementation Phase Gate 12/14/ /14/ /14/ /15/2013 Late Page 37

38 Open technology facets Supporting information Facet Expectations Project deliverable Planned completion T2 : Operations support An organizational structure and support strategy to manage the new implementation is in place. Tools exist for tracking performance of application at object levels. A maintenance strategy is developed to manage modification, migration, and retirement of products according to the release strategy. Ongoing knowledge transfer, as systems are developed. A detailed training strategy exists for training the different categories of business and technical users of the system for them to be able to adopt to the system and use it more effectively. Training documents are in place. Training strategy is agreed upon, communicated and being executed. Trainers are qualified via agreed upon selection process PMP Human Resource Management and Staffing Plan 3.14 PMP Knowledge Management Plan 5 Validated Requirements Document 24 Operations Documentation 06/07/11 06/07/11 06/24/11 07/15/11 08/05/11 11/30/12 26 Training Plan 07/27/12 27 Training (execution) Various 28 Production System Implementation Plan 08/03/12 Training materials are standard across all modules and functions and are capturing an adequate level of detail. 30 System Operations and Maintenance Plan 12/14/12 Page 38

39 Open technology facets (continued) Supporting information Facet Expectations Project deliverable Planned completion T6 : Legacy integration A decommissioning document must exist for legacy systems with an associated communication plan to users of affected systems. Query only databases must exist for accessing queries based on historical data. Date range for the historical data is agreed upon with business users. Data extracted from legacy systems is validated by business users. A data erasure plan exists for scrubbing data from legacy systems that will be decommissioned. 4 Data Conversion Plan 07/08/11 9 Data Conversion Design 12/09/11 19 Test Plan (Data Conversion) Test Results (Data Conversion) 03/02/12 09/28/12 DEO IT plans TBD T9 : Stabilization An extended team has been defined across the organization and is working as an extension of the project team. Tasks have been assigned and key metrics are in place to monitor progress. 30 System Maintenance and Operations Plan KPIs 12/14/12 Long-term sustainability plans are in place to keep support and maintenance of the implementation viable. Long-term vendor contracts are implemented to maintain the system in the absence of an in-house capability to maintain the system. A vendor management body is established to maintain the relationship with vendors to facilitate smooth delivery of outsourced services. 12-month Warranty Period 12-months Operations Support and Maintenance Agreement Executed contracts and license agreements Page 39

40 Introduction Meeting Minutes Approval Project Status Report IV&V Update by Ernst & Young Other Business Public Comments Review of Actions from Meeting Scheduling of Next Meeting June 13 Adjourn Project Connect 40

41 FY11/12 Spend Plan Graph FY11/12 Spend Plan Details Project Connect 41

42 FY Project Funding - Cumulative by Month 25 Millions Budgeted: $ 22,920,701 Forecast: 21,888,615 Variance: $ 1,032, Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 FY Budget Allocation Committed Forecast Project Connect 42

43 OPS FY Budget Allocation and Spend by Month - Q1 & Q2 July 2011 August 2011 September 2011 October 2011 November 2011 December 2011 Budget Committed Budget Committed Budget Committed Budget Committed Budget Committed Budget Committed Funding 3,800 3,644 3,800 3,449 3,800 2,723 3,800 3,140 3,800 3,484 3,800 3,811 Expenses Funding 775, ,509 3,465,952 3,120,445 49,775 45,665 56,495 47,036 49,775 42,969 71,303 55,024 OCO Funding Contracted Services Project Management & Support 226, , , , , , , , , , , ,224 IV&V Services 46,456 46,456 77,762 76,012 46,456 48,206 46,456 46,456 46,456 46,456 46,456 46,456 Benefits Realization Strategy 9,320 5,515 9, ,320 1,815 9, , ,320 0 Organizational Change Management 25,500 18,270 25,500 26,550 25,500 29,040 38,700 27,990 38,700 20,550 38,700 14,550 System Integrator (SI) Services 0 0 1,630,482 1,630, ,397, , ,805 4,082, ,805 SI Hardware & Maintenance 243, , SI Software & Maintenance ,986 0 Project Reserves 5, , , , , ,084 0 Total Contracted Services 556, ,344 1,972,697 1,978, , ,320 1,712, , , ,753 4,447, ,034 Total Budget Allocation & Spend 1,336,099 1,169,497 5,442,449 5,102, , ,707 1,773, , , ,205 4,522, ,869 Project Connect 43

44 OPS FY Budget Allocation and Spend by Month - Q3 & Q4 January 2012 February 2012 March 2012 April 2012 May 2012 June 2012 Budget Committed Budget Committed Budget Forecast Budget Forecast Budget Forecast Budget Forecast Funding 3,800 3,735 15,770 16,215 18,430 14,955 17,765 15,294 18,430 19,917 17,765 19,917 Expenses Funding 74,353 68,680 71,303 44, ,003 49,466 79,275 48,048 96, ,504 96, ,169 OCO Funding ,000 10, ,147 23,555 40, Contracted Services Project Management & Support 224, , , , , , , , , , , ,002 IV&V Services 46,456 46,456 46,456 46,456 77,762 46,456 77,762 46,456 46,456 46,456 46, ,068 Benefits Realization Strategy 7, ,920 2,245 7,920 27,225 7,920 27,820 7,920 18,784 7,920 18,784 Organizational Change Management 40,150 20,250 38,700 25,860 38,700 52,590 38,700 47,085 38,700 37,200 38,700 37,200 System Integrator (SI) Services 122, , , , , , , ,805 3,529,199 3,529, ,805 5,480,102 SI Hardware & Maintenance ,282, , ,420,202 SI Software & Maintenance , ,562 Project Reserves 3, , , , , ,285 0 Total Contracted Services 445, , , ,851 1,893, , , ,722 3,915,453 3,995, ,174 7,561,919 Total Budget Allocation & Spend 523, , , ,170 2,469, , , ,064 4,030,158 4,125, ,214 7,694,005 Project Connect 44