iNtegrate 2 Business Process Redesign: Business Process ... · iNtegrate 2 Business Process Redesign: Business Process Recommendations Benefits Administration ... the developed flows

iNtegrate 2 Business Process Redesign:Business Process Recommendations

Benefits AdministrationMay 31, 2013

Business Process Recommendations: Introduction

Draft & Confidential, Not for Distribution.

Business Process Recommendations

3© 2012 Huron Consulting Group. All Rights Reserved. Proprietary & Confidential.

SUB-PROCESS RECOMMENDATION CONTENTS

Recommendations for a redesigned workflow and supporting materials for each of the sub-processes reviewed as part of the iNtegrate 2 BPR project are detailed in the following section. Each sub-process section includes the following:

• Process Overview: A summary narrative of key process steps within the sub-process.• Recommended Future State Process Flow: Detailed process flow of the Future State process steps.• Key Process Changes: For those steps within the Future States that represent primary changes (for one or more

NSHE institutions), an explanation, and justification as necessary, for the process change is highlighted• Alternative Process Options: Process Options not recommended in the future state flow are highlighted along

with a justification of why this option is NOT recommended or incorporated in the process.• Policy Change Requirements: Instances when either institutional or NSHE policy need to be developed or revised

in order to facilitate the recommended process are noted, including recommendations for policy content.• Implementation Challenges: When elements of the recommended future state process were questioned during

workshops or noted as significant areas where implementation would be difficult, further discussion and justification is provided along with examples of institutions also utilizing the recommended process.

• The examples provided are individual institutions utilizing these recommended practices. NSHE represents a diverse set of 8 institutions and the system office presenting limitations in identifying a comparable system or organization that has broadly implemented “best practice” or recommended processes.

• Technology Requirements: Elements of a required technology to enable the process are listed by process step.• Reporting Requirements: Reports, metrics and data points required to monitor and control the process are listed.• NSHE Feedback: Index of comments/feedback provided by NSHE institutions and the Huron response, as needed.




POINTS TO CONSIDER

Each sub-process section incorporates some fundamental concepts that should be understood in order to fully consider the recommendations and supporting content.

• Recommendations versus Current State:• These process recommendations represent Huron’s recommendations for a future state business process

and are not intended to comment on the current state processes across NSHE.• Some process elements may already be the practice of some or all NSHE institutions.

• Business Process Swimlanes (horizontal bands):• The business process focuses on the process steps and the work accomplished in these steps and not

the process owners/work locations. Therefore, the developed flows include general swim-lanes that are not role/location specific, such as Accounts Payable Administration, Travel Administration, Research Administration, etc.

• Flows do include required roles like Vendor, faculty/employee/Investigator, etc. but they do not highlight Administrative Assistant, Vice President of X, etc. The recommended process steps can be applied universally and the steps can be aligned in whatever roles/units are appropriate by institution.




POINTS TO CONSIDER

Each sub-process section incorporates some fundamental concepts that should be understood in order to fully consider the recommendations and supporting content.

• Existing Supplemental Systems:• Some NSHE institutions have implemented different “systems” or technologies that are supplemental to

the Human Resources or Finance Administration Systems. These process flows assume the existing technologies are integrated into the Future State Business Process.

• Out of Scope Systems:• Some process flows incorporate Non-Human Resource/Finance Systems that are out of scope for

iNtegrate 2 (i.e. a Pre-Award “tracking system”). However, in order to be in line with best practice elements, these out-of-scope technologies were incorporated into the recommended processes.

Business Process Recommendations: Benefits

Administration


PROCESS OVERVIEW

Benefits Administration BPR: PEBP Enrollment

7

• Employee attends benefits orientation and submits basic information to PEBP • PEBP notifies employee of online self-service and employee makes PEBP selection• PEBP provides a Benefits “flat file” 2-3 times per month to HR for processing• HR validates “flat file” and updates employees in HRMS with benefits selections• Payroll is notified of benefit selections and premiums are adjusted within system to account for selections• If an employee changes benefits during open enrollment or due to life changes updated information is included

in “flat file” and updated in a similar manner

The PEBP Enrollment process is the process by which employees enroll in PEBP and the information is transmitted back to HR / Payroll to ensure premiums are correctly deducted from paychecks.

PEBP Benefits Enrollment / ChangesIn

stitu

tion

Empl

oyee

PEBP

Start

1Attend Benefits

Orientation / New Hire

Orientation

3Set-up employee record

and provide link to employee for online

Benefits selection

4Make Benefits

selections

5Receive employee Benefits “flat file”

from PEBP

7Benefits Changes

8bPEBP Life

Event Changes

Yes, Open Enrollment

8aPEBP Open Enrollment

End No

2Complete required

new-hire PEBP Benefits forms

Yes, Life Event

9aReceive “Open

Enrollment” download from

PEBP

9bReceive “Life

Change” update information from

PEBP

End

6Update employee

payroll / HRMS information with

Benefits information

10Update employee

payroll / HRMS information with Benefits information (if required


KEY PROCESS CHANGES


9

Process Flow Title:

Process Step(s): Explanation and Change Justification:

PEBP Benefits Enrollment / Changes 1, 2, 4

Employees attend an NSHE Benefits Orientation and submits information necessary for PEBP to set-up the employee in their benefits system. Employees proceed to make benefits selections using the PEBP online self-service module currently being used.

PEBP Benefits Enrollment / Changes 5, 6, 9a, 9b

Institutions receive a flat file two (2) – three (3) times a month from PEBP that is uploaded directly into the HRMS and the employee information is automatically updated and payroll notified.

This avoids instances where incorrect or no premiums have been applied to an employees initial paychecks and resulted in a large withholding when the flat file is finally received.

The following table outlines the major process changes (NSHE-wide) incorporated into the recommended process.


ALTERNATIVE PROCESS OPTIONS


10

The following table outlines the alternative process options that are not recommended for implementation.

Process Step(s): Alternative Process Justification for Non-Recommendation:

PEBP Enrollment Data integration between NSHE and PEBPData integration between NSHE’s HRMS Benefits Module and PEBP’s system is the ideal, but a flat file that stays current with new employees will help alleviate many of these problems.


TECHNOLOGY REQUIREMENTS


11

The following table lists the system technology requirements necessary to support the recommended process.

Process Flow Title:

Process Step(s): Technology Requirement:

PEBP Benefits Enrollment / Changes 5, 9 Allow for benefits enrollment data to be shared between PEBP and NSHE

PEBP Benefits Enrollment / Changes 5, 9 Allow key piece of data from PEBP and NSHE HR system to be “viewable” or easily referenced from the other system, as

necessary to facilitate the detailed process.


REPORTING REQUIREMENTS


12

The following table lists the reporting requirements and data points that must be captured to support the recommended process.

Process Flow Title: Reporting Requirement: Data Points/Metrics:

PEBP Benefits Enrollment / Changes

Employee Owed Funds (Arrears)• for benefits premium contribution

• Employee Details (Name, position, number, unit, institution)• Monthly employee contribution amount• Number and % of employees enrolled• Contributions not deducted

PEBP Benefits Enrollment / Changes Reconciliation Report • Flat File Deductions ($ / #)

• Deductions Not Taken


PROCESS OVERVIEW

Benefits Administration BPR: Grant-in-Aid

13

• Employee submits Grant-in-Aid request for themselves or on behalf of their spouse / children• HR receives Grant-in-Aid request(s) and verifies eligibility• If eligible, request is sent (electronically) to campus approvers for review and approval• Once approved the Grant-in-Aid is processed by either the “home” institution or the NSHE institution where

courses are taken• If the course was take at another NSHE institution an electronic invoice is sent to that institution to settle the

Grant-in-Aid

Grant-in-aid is the process by which employees (and their spouses / children) can have a portion of their tuition paid for when attending an NSHE institution for graduate or undergraduate courses.

Grant-in-AidG

rant

-in-A

id P

roce

ssin

g De

part

men

tEm

ploy

eeAp

prov

ers

NSH

E In

stitu

tion

6Eligible?

End

No

8Class at own institution?

9aWorkflow Grant-in-Aid

notification to NSHE institution

No

11Receive electronic Invoice from other NSHE schools,

verify, and approve for payment

Start

2Submit to campus

approvers for review and approval

4aNotify HR of request

and approval and submit for eligibility

verification

5Receive request and check for employee eligibility in HRMS

10Provide electronic invoice to requesting NSHE school for employees taking classes

3Approve? YesEnd No

4bNotify employee of

denial


ineligibility

9bProcess Grant-

in-AidYes

12Notify employee of

Grant-in-Aid payment

End

1Complete online

Grant-in-Aid form

7aWorkflow to

approvers for review and signature

Yes


KEY PROCESS CHANGES


15

Process Flow Title:


Grant-in-Aid 2, 3, 4a / 4b Due to potential for grant-in-aid classes to occur during normal business hours, Grant-in-aid is routed directly to the supervisor / campus approvers

Grant-in-Aid 5, 6, 7a / 7b Grant-in-aid approval, eligibility review, and executive level review are consolidated and streamlined to reduce the number of touchpoints. Eligibility should be determined as soon as possible to avoid unnecessary process activity.





16


Process Flow Title:


Grant-in-Aid All Incorporate an electronic workflow to enable the routing of reviews and approvals.Grant-in-Aid All Allow approval authority to be delegated (if desired) by individuals for various reasons (vacation / leave / etc.).

Grant-in-Aid 1, 2 The Grant-in-Aid request form is an electronic, editable, online form that upon completion is workflowed through the review and approval process.

Grant-in-Aid 9a, 9b, 10, 11 Electronic workflow sends the electronic grant-in-aid form directly to appropriate Business Office (internal or at other NSHE institutions). This will allow invoices to be sent back electronically and streamline the process.




17



Grant-in-Aid Annual Report – Tuition Benefits Utilized

• Cost of Grant-in-Aid benefits (cost to provide free access to course)• Number of employees who utilize some type of tuition benefit being

offered by the System• Employee Details (unit, title, tenure with NSHE, etc.)


PROCESS OVERVIEW

Benefits Administration BPR: Fee/Tuition Waiver

18

• Employee submits fee / tuition waiver request to take a course at an NSHE institution• HR Administration receives request and verifies employee eligibility• If eligible, request is sent for approval• Fee Waiver is processed at either “home” institution or NSHE institution where the class was taken• “Home” institution or NSHE institution verifies employee has passed class and processes fee / tuition waiver /

invoice• If employee does not pass or complete class “home” institution or NSHE institution where class occurred enter

reimbursement process with employee

The Fee / Tuition Waiver process refers to educational assistance for eligible classified employees who enroll in courses within the Nevada System.

Fee / Tuition WaiverDe

part

men

t Res

pons

ible

Wai

ver /

HR

Empl

oyee

NSH

E In

stitu

tion

Appr

over

s

4Eligible?No

8Class at own institution?

9bWorkflow Fee / Tuition Waiver Request form to other NSHE institution

No

Start

1Complete electronic /

online Fee Waiver Request form

2Route via electronic

workflow department responsible for

Waiver

3Receive request and check for employee eligibility in HRMS

End

Yes

12Pass / Complete

Class?

Yes

13Notify employee

and obtain reimbursement from employee

6Approve?No Yes

Yes


ineligibility

End


denialEnd

7aNotify department

responsible for Waiver processing / employee of

approval

5aNotify approvers of

employee eligibility and Fee / Tuition Waiver

request

10Provide electronic

invoice to requesting NSHE

school

11Receive electronic Invoice from other NSHE schools,

verify, and approve for payment

9aProcess Fee Waiver and approve for

payment

No


KEY PROCESS CHANGES


20

Process Flow Title:


Fee Tuition Waiver 1, 2 The fee / tuition waiver request form is an electronic, editable, online form that upon completion is workflowed through the review and approval process.

Fee Tuition Waiver 3,4, 5a, 5b

The fee / tuition waiver approvals, eligibility review and executive approval are consolidated and streamlined to reduce the number of touchpoints. After the fee / tuition waiver is submitted, the form is workflowed to HR who checks for eligibility. If they are in fact ineligible the process stops before time is spent chasing down signatures for naught. If they are eligible the process now proceeds electronically through the various levels of review and approval.

Fee Tuition Waiver 12 Once grades are posted, the processing department is responsible for validating that all employees completed / passed the class. If they did not complete or did not pass the class, the reimbursement process begins.





21


Process Flow Title:


Fee Tuition Waiver All Allow approval authority to be delegated (if desired) by individuals for various reasons (vacation / leave / etc.).

Fee Tuition Waiver 9b, 10, 11Electronic workflow sends the fee / tuition waiver form directly to appropriate Business Office (internal or at other NSHE institutions). This will allows invoices to be sent back electronically allowing the verification / approval of the invoices andsubsequent processing to occur rapidly.




22



Fee Tuition Waiver Annual Report – Tuition Benefits Utilized

• Cost of tuition/fee benefits (cost to provide free access to course)• Number of employees who utilize some type of tuition benefit being

offered by the System• Employee Details (unit, title, tenure with NSHE, etc.)


PROCESS OVERVIEW

Benefits Administration BPR: Leave Management

23

• Employee “leave account” is attached to the employee record on first day of employment• Employee enters leave, specifying type of leave and dates• Approval request is routed to the appropriate supervisors (and HR if applicable)• Employee receives notification (electronically) once a decision has been made• Leave data is transmitted to payroll as part of the nightly download

“Leave Management” refers to the process by which various types of leave are tracked and monitored both for compliance and payroll purposes.

Leave ManagementEm

ploy

eeIn

stitu

tion

7Approve?

10Automatically added to leave

history of employee and is automatically deducted from

leave balance

8bDeny request within

LMSNo

9Approval email sent

to employee

8cHR / Department initiate

Disciplinary Process (if employee takes

unauthorized leave)

11LMS provides nightly download to Payroll with updated leave

balance and appropriate codes (paid, unpaid, FMLA, etc.)

12Receive notification /

enter disciplinary process (if applicable) and

determine next steps

End

Start

2Employee requests

leave in LMS

4aSystem sends

notification of request to Supervisor / HR via

workflow

5aSupervisor / HR receives

notification via email and views request in

LMS

1Set-up employee in HRMS

and LMS

6Review request in

LMS

8aApprove request

within LMS

LMS – Leave Management SystemHRMS – Human Resource Management System

3FMLA / CAT /

Special Leave?No

4bSystem notifies Supervisor and

HR

Yes

5bFMLA / CAT / Special Leave

Process

Yes


KEY PROCESS CHANGES


25

Process Flow Title:


Leave - All 4a, 5a, 6

Leave system notifies supervisors by email when a leave request has been submitted. In addition, the Leave system provides supervisor's with a "queuing" dashboard that allows them to review all pending / approved / closed leave requests and approve / deny active requests. The automation of the process from the employee submitting the request to the supervisor being notifiedand being able to view the request eliminates the potential for forms to be lost and one-off email requests to be overlooked.

Leave - All 8a, 8b

Unlike many of the leave processes currently in place, the approval or denial of a leave request is automatically communicated to the requesting employee. This step now also provides the supervisor with the ability to code in the appropriate type of leave (unpaid, vacation, sick, etc.) directly into their approval / denial. Supervisor training and business rules will need to be in place to minimize incorrect entries and efficiently deal with them when they occur.

Leave - All 10, 11 Leave information is provided nightly to payroll. This step should eliminate the need for a departmental timekeeper to notify / submit a paper Payroll Correction Form for unpaid leaves.





26


Process Flow Title:


Leave - All 1 Leave System must integrate with the HRMS and other on-campus systems so that the information can flow between systems (particularly Leave and Payroll).

Leave - All 1 Allow employee type and by extension "leave rules" to be coded in for each employee.

Leave – All 4b, 5b Address multiple types of leave including FMLA, LWOP, CAT, etc. including the ability to customize approval workflows so that when these types of leaves are requested, the appropriate people are involved in the process.

Leave – All 4b, 5b Recognize and automatically provide employees with relevant information when they enter FMLA, LWOP, or CAT leave.

Leave – All 4b, 5b Automatically provide employees with the necessary information needed upon request FMLA, LWOP, or submitting 3 straight day of sick leave.

Leave – All 4b, 5b Allow for configuration to immediately notify HR upon request FMLA, LWOP, or submitting 3 straight day of sick leave. to ensure required data are collected to protect the university from risk, particularly as it relates to FMLA.




27



Leave Management Paid Time Off Report (Quarterly)

• Utilization, by type of leave• Absence rate (absence days / work days)• Unscheduled absence rate (unsched absence days / work days)• Compensation value of unscheduled absences (unscheduled days *

daily rate / FTE)

Business Process Recommendations: NSHE

Feedback


Sub-Process/Topical

Area

Institution Comments/Feedback Huron Response

PEBP Enrollment UNLV

Process #2 - Some of the discussions during the Workshops centered around a recommendation from Huron to allow NSHE employees direct on-line access to PEBP enrollments systems electronically. I don't believe that this recommendation is in the proposal. There is an item about a data exchange, but this is after the employee enrolls. In my opinion, the ideal state would be to be able to send the initial new hire information on benefits eligible employees electronically to PEBP rather than by paper form.

Our recommendation refers to a direct transfer of information to PEBP. Ideally, the employee would complete benefits enrollment via the Self-Service technology, and the enrollment data would be directly transferred to PEBP. This would allow both HR and PEBP access to the information simultaneously. The overall goal is to eliminate lag time, as well as payments in arrears for premiums.


Data integration between NSHE and PEBP….stays current with ALL EMPLOYEE STATUS CHANGES….

Our recommendation refers to a direct transfer of information to PEBP. Ideally, the employee would complete benefits enrollment via PeopleSoft/WorkDay Self-Service, and the enrollment data would be directly transferred to PEBP. This would allow both HR and PEBP access to the information simultaneously. The overall goal is to eliminate lag time, as well as payments in arrears for premiums.


Allow for benefits enrollment data to be shared….Sure, we know this. Please provide recommendations as to HOW this technology requirement could be implemented.

The specific details for how this information is linked/shared is an important item to consider during the detailed configuration and implementation process, as it is an Implementation Decision.

PEBP Enrollment UNLV Allow for benefit enrollment data to be shared. This should clarify a two-way

electronic (viewable) street This has been clarified via a new Technology Requirement.


We not only need to know the monthly employee contribution amounts, but we also need to have a system that could generate a report on which deductions were on the flat file and were not taken. This is a major part of the PEBP Reconciliation which seems to be missing piece of this process - unless of course if the reconciliation is supposed to be different process map

Reconciliation is important and addressed on slide 7 via a new Reporting Requirement.

ROUND 1: MARCH – APRIL 2013

NSHE Feedback: Benefits Administration

29

The following table outlines the NSHE feedback and commentary, as well as Huron response when applicable.


Sub-Process/Topical

Area



Table? One report? This list doesn't even scratch the surface of business reporting requirements from benefits administration's operations: number of eligible at any given time? Number of employee who deny coverage? Number of employees who change coverages over time? How many employees are covered at any given time? How many employee "life" changing transactions, orientations, manual manipulations of coverage costs....

These are good data points to consider. We have expanded our required reports throughout the materials via Reporting Requirements.

Grant-in-Aid UNLV

Process 2 and 3 - determination of eligibility? How many times does this need to be done? Isn't this repetitive?

Box 2 describes that the employee is submitting his/her request for eligibility verification, it is not suggesting that he/she is verifying his/her own eligibility and this is clarified in the flow language.

Grant-in-Aid UNLV Grant-in-Aid (3,4,5) approval, eligibility review and executive level…."Means What, exactly)

Steps have been consolidated for clarification.

Leave Management UNLV

Process 1 - this should not be a "starting" sub-process - the set-up "status" change to hired should create the Leave module when a leave eligible position is filled, closed, onboarded, and data transferring processes.

This is a sub-process box (double bands at the sides) that describes the entire set-up process as occurring outside the Leave Management process, but keying up important steps within the process, as described.

Leave Management UNLV

Process steps 4a,5a, 6, 8a, 8b, 10 and 11 - this detail is not much different that exists now. What is recommended "difference"?

While this may be similar to the current state for UNLV, this does represent process changes for other institutions under NSHE.

Grant-in-Aid UNLV Seems to incorporate everything we need on the front end. Like all the maps, does not address reporting requirements for reconciliation purposes

Additional Reporting Requirements have been added to facilitate this process.

General DRIShared enrollment data with PEBP and NSHE would be great. Electronic grant-in-aid and tracking of leave will improve process workflow. Question whether PEBP will comply with ESS or require paper?

It will be a challenge for NSHE to work with PEBP on a few of these changes during the Implementation phase.

ROUND 1: MARCH – APRIL 2013


30



Sub-Process/Topical

Area


Grant-in-Aid UNLV

Our position in UNLV HR is that the initial approval of Grant-in-Aid for employees should remain with the supervisor of that employee. In many situations, the employee is requesting to take a class during standard 8 to 5 office hours. In these cases, it is more important that the supervisor agree to an alternative schedule that will ensure work is managed around the time that the employee would be in class. If the supervisor does not believe that a flexible arrangement is appropriate, the leave should not be approved then and there. The suggested path by Huron is one that would place the schedule verification review behind the HR eligibility review -- at a minimum, these reviews should occur concurrently instead of sequentially. That said, movement of the HR eligibility review behind the supervisor review is more appropriate given that very few transactions (in the single digits per year) ever reach us with are denied based upon eligibility.

The map and materials have been updated to reflect the need for supervisors to review the request prior to HR when it comes to Grant-in-Aid. Our original intent was to avoid having a supervisor spend time reviewing and approving forms for someone who is ultimately inelgible. However, per this comment, it appears that the supervisor approval is the necessary first step, not the eligibility issue.

Tuition Waivers CSN

Some processes are not logical – one example is that tuition waivers are not provided to employees but this recommendation is incorporated into the report. We are knowledgeable of the benefits for grant-in-aid. It is more the terminology that concerned me. There is not a waiver of fees but support provided. In addition, tuition is not assessed in Nevada to resident students.

During our work we encountered a variety of different process terminology and execution steps related to tuition waivers; for example, fee waiver, tuition reimbursement, grant-in-aid, education benefit, etc. We refer to each of these benefits more broadly as Fee / Tuition Waiver (the ability for Classified Staff to take up to 6 classes and have the fee waived if they pass the course) and Grant-in-Aid (non-classified staff and their families who are eligible to have part of their tuition to any NSHE campus covered without a grade verification component).

ROUND 2: MAY 2013


31


iNtegrate 2 Business Process Redesign: Business Process ... · iNtegrate 2 Business Process Redesign: Business Process Recommendations Benefits Administration ... the developed flows

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