Thrive. Grow. Achieve.

Government Contractors Financial

Systems Seminar Featuring Unanet & Microsoft Dynamics

Seth Zarny – Partner Donna Kilbourn - Senior Vice President Glenn Anstead – Senior Manager

February 21, 2013

WHAT’S ON TAP

• INTRODUCTION & AGENDA

• CHALLENGES FOR GOVT CONTRACTORS

• THE RAFFA/UNANET SOLUTION

• REQUIREMENTS FOR SUCCESS

• KEY BENEFITS

• PRODUCT OVERVIEW

• CUSTOMER OVERVIEW

• SOFTWARE DEMONSTRATION

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DO YOU NEED THE NEW SOFTWARE?

HINT – SOMETIMES YOU NEED TO CHANGE YOUR SOFTWARE!

3

SEMINAR AGENDA

• DECIDE WHAT SYSTEMS TO CONSIDER TO REPLACE YOUR FINANCIAL SYSTEM

• REVIEW PROCESS FOR SELECTING APPROPRIATE SOFTWARE

• PROVIDE OVERVIEW OF CHALLENGES FOR GOVT CONTRACTORS

• PRESENT SOFTWARE DEMO

• ANSWER YOUR QUESTIONS

4

ACCOUNTING SYSTEM LIFE CYCLE

1 TO 2 YEARS OLD - INFANCY • Limited features, missing modules • Bugs

3 TO 4 YEARS OLD - CHILDHOOD • Young product • 3rd party modules, bugs, early developer

team 5 TO 6 YEARS OLD – ADOLESCENCE

• Move to next technical version • Product Performance • Modules with different strength

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ACCOUNTING SYSTEM LIFE CYCLE (CONT)

• 7 TO 11 YEARS OLD - MATURITY • Maturity and Respect • Vertical focuses • Advanced features and capabilities • Strong Channel

• 12 TO 15 YEARS – OLD AGE • Technology is Achilles heel • Legacy functions • Client base not technical leaders

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STEPS FOR EVALUATING & SELECTING

• DECISION MAKING TEAM

• BUDGET

• TIME SCHEDULE

• CURRENT SYSTEM PROBLEMS • Requirements

• VAR OR SOFTWARE

• IT STAFF INVOLVEMENT

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STEPS FOR EVALUATING & SELECTING (CONT)

• REVIEW POTENTIAL SOLUTIONS

• ELIMINATE OBVIOUS POOR CHOICES • Potential List of 2 or 3 products at most

• AVOID ANALYSIS/PARALYSIS • Evaluate Product Match to your Requirements • Accounting Library Used Here

• PRODUCT FEATURES

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STEPS FOR EVALUATING & SELECTING (CONT)

• ANALYZE REQUIREMENTS AGAINST FEATURES

• IDENTIFY APPROPRIATE RESELLERS

• PRODUCT DEMONSTRATIONS

• PROPOSAL REVIEW

• REFERENCES

• DECISION

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CHALLENGES FOR GOVERNMENT CONTRACTORS

GENERATE KEY REPORTS WITHOUT USING & REKEYING IN EXCEL:

• Financial Analysis that provides ease of traceability of costs • Statement of Indirect Costs, including Fringe, OH and G&A • Project Status Reports • Financial Reports that provide detail for Audit analysis

COST CAPTURE BY COST OBJECTIVE MANAGING ALLOWABLE VERSUS UNALLOWABLE COSTS DCAA ACCEPTED

…AND RAFFA SOLUTIONS

OUT OF THE BOX CONTRACTOR FINANCIAL REPORTING

• Statement of Indirect Costs including Fringe, OH and G&A

• Financial Analysis that provides ease of traceability of costs

• Service Centers

• Project Status Reports

• Capture cost by cost objective

• Financial Reports that provide detail for Audit analysis

• Track Allowable versus Unallowable

PRE-CONFIGURED ALLOCATION METHODS

IMAGING/DOCUMENT MANAGEMENT TOOL THAT PROVIDES TRACEABILITY BACK TO SOURCE DOCUMENTATION

CRITICAL REQUIREMENTS FOR SUCCESS…

CRITICAL REQUIREMENTS FOR SUCCESS

WHAT TO LOOK FOR WHEN REVIEWING INTEGRATED SOLUTIONS?

OUT OF THE BOX, PROVEN FINANCIAL AND OPERATIONAL SOFTWARE •Proven management of Indirect and Direct Costs •Integrated across Finance and Project Mgmt / Operations

•Business Process Automation •Setup Flexibility to meet business needs

BUSINESS PROCESS IMPROVEMENTS

INDIRECT RATES • Monitor Trends via Management Reporter • More Accurate Cost Information for Bidding • More Accurate Historical Procurement Costs

TRACEABILITY OF SOURCE DOCUMENTS • Management Reporting Drill Down • On line Inquiry Screens • Transaction Level Detail • Imaging/Document Management

BENEFITS FOR GOVERNMENT CONTRACTORS

• CONTRACTORS LOOK FOR SOLUTIONS THAT CAN MANAGE MULTIPLE CONTRACTS AND COST POOLS. NEED TO SEPARATE INDIRECT COSTS FOR REPORTING PURPOSES • Time and Materials

• Fixed Firm Price

• Cost Plus

• INTEGRATED TIME AND EXPENSE TO FINANCIALS

• WEB BASED ACCESS FOR REMOTE EMPLOYEES

• EARNED VALUE MANAGEMENT CAPABILITIES

MIXED COMMERCIAL AND GOVERNMENT REQUIREMENTS

KEY REQUIREMENTS - COMMERCIAL AND GOVERNMENT CONTRACTING

•Consistent Accounting Practices for Both Businesses

•Allocations must be the same

•Overhead, G&A, and Unallowable pools

OPERATIONAL BENEFITS

WHAT BENEFITS SHOULD OPERATIONS & PROJECT MANAGERS RECEIVE FROM MICROSOFT DYNAMICS?

•Superior Cost Control

•Real time visibility into committed costs

•Immediate access to supporting documentation via document imaging

•Earned Value Management visibility

THE DCAA AUDIT

HOW DOES MICROSOFT DYNAMICS STACK UP DURING THE AUDIT?

• Successfully completed years of DCAA audits

• Provides timely access to information

• Reduces the time required by internal staff during the audit process

DYNAMICS & UNANET INTEGRATED SOLUTIONS

• Dynamics ERP

• Unanet • SharePoint

MICROSOFT & UNANET

MICROSOFT DYNAMICS

WHAT IS MICROSOFT DYNAMICS? • INTEGRATED FINANCIAL AND

OPERATIONAL/PROJECT MANAGEMENT SOFTWARE

• FAMILIAR TO YOUR EMPLOYEES • GOVERNMENT CONTRACTING

INDUSTRIES: • Professional Services

• Contracting

• Manufacturing

• Distribution

• ACCEPTED BY DCAA

MICROSOFT DYNAMICS

FUNCTIONALITY PROVIDED BY MICROSOFT DYNAMICS •FINANCIALS

•ACCOUNTING

•FRINGE, OVERHEAD AND G&A RATE CALCULATIONS • Cost Segregation – Allowable vs. Unallowable

•JOB COSTING

•PURCHASING & REQUISITION MGMT

•MANUFACTURING

•INVENTORY MANAGEMENT

•SALES ORDERS

•SERVICE MANAGEMENT

•CUSTOMER RELATIONSHIP MANAGEMENT

MICROSOFT SHAREPOINT

WHAT IS MICROSOFT SHAREPOINT?

A FOUNDATION FOR CONNECTED INFORMATION

• TEAM COLLABORATION

• DASHBOARD

• KEY PERFORMANCE INDICATORS

• DYNAMICS BUSINESS PORTAL

• INTEGRATED WITH PROJECT SERVER

WHAT WILL YOU GET FROM THE INTEGRATED SOLUTION?

• Organized flow of information • Project Management • Resource Allocation • Financial Reporting

• Seamless integration of information • One view of the data • Tools your team is familiar with…

MICROSOFT DYNAMICS DEMO

GovCon Challenges – The PM

• Project Status reports are too late to take corrective action; Need real-time information and self-service

• Is project on-target and profitable?

• Subcontractors costs/invoices lag

• My numbers don’t match Accounting

• I need an EVM solution to bid and win a opportunity

• Clients ask for project details – takes too long to create

• Cannot see incurred costs with forecasted costs for complete

picture

• Budgeting and forecasting in spreadsheets; too cumbersome

• Who is available with lcat and skills for upcoming Task Order?

• Budgeting and forecasting in spreadsheets; too cumbersome

UNANET

Feature Project Time

Project Expense

Project Tracking

Project Portfolio

Time Reporting and Leave Management

Project Budgeting, Management and Reporting

Basic Graphical Dashboards

Subcontractor Management

Integration Manager

Teamwork Collaboration and Document Repository

Expense Reporting and Non-Labor Costs

Project Costing

Billing, Invoicing and Revenue Recognition

Earned Value Management

Resource Requesting

Periodic Labor & Expense Forecasting and Budgeting

Skills Management

Forecasting and Periodic Reporting

Enhanced Graphical Dashboards

Resource Planning & Enhanced Project Management

Unanet Capabilities by License Type – Cloud & On Premise

THE GOVCON SOLUTION: UNANET – SL

Unanet Project Portfolio Skills Management (Labor Categories, Location, Skills) Resource Planning Resource Requesting Forecasting Opportunity Tracking Project Budgeting Timesheets, Expense Reports Subcontractor Interface Project Costing, EVMS Project Reporting Analytics

One UI, One DB, One App

Microsoft Dynamics SL

GL, AR, AP, Cash Indirect Rates, Cost Pools DCAA Compliance Payroll Project Controller Billing Labor Costing Contracts/Subcontractors Project/Task status alerts Purchasing Materials mgmt Sales Orders Financial Planning, Corporate Analytics

Employees, Projects, Tasks, Approval

Groups, ODCs

Approved Timesheets,

Expense Reports, Budgets

KEY BENEFITS FOR GOVCONS

ROBUST TIME AND EXPENSE REPORTING WITH DCAA

REAL-TIME REPORTING AND DASHBOARDS

ENTERPRISE VIEW OF PROJECTS AND RESOURCES

INTEGRATED SOLUTION FOR BUDGETING, FORECASTING, RESOURCE PLANNING, TIME & EXPENSE, PROJECT ACCOUNTING & REPORTING, ALERTS, EVM AND COLLABORATION

SELF-SERVICE FOR PROJECT MANAGERS; ACCOUNTING FOCUSES ON THE NUMBERS; NO TAG UP TO RECONCILE

UNANET OVERVIEW

• Leading Professional Services Automation solution for GovCons: Unanet Project Portfolio

• Software Product Company since 1998

• 100% Developed and Supported in the US

• Dulles Headquarters; FL, CA, MI, TX Offices

• 900+ Customers; 60% are GovCons

• Cloud/On Demand and On Premise Delivery

Models

• Implementation and Training Team

• Unanet University

900+ Customers – 300,000+ Licenses!

Sample Customers

View Real-Time Metrics in Graphical Charts with drill down

Dashboards

Manage resource allocation across organization. Find resources with right skills and availability.

Resource Allocation

Easy, Fast Time & Expense Reporting with DCAA Rules and Per Diems

DCAA Time & Expense

Know your project and task status, actual to budget up-to-the-minute; view actuals with forecast for complete picture of EAC

Real-Time Project Status

Comply with ANSI 748 government requirements for EVM to manage contract cost and schedule. Will today’s EAC meet the budget?

Earned Value

• Resource Planning, Budgeting and

Forecasting

• Time & Expense Entry

• Real-Time Project Reporting and

Dashboards

Demo

DEMONSTRATIONS

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QUESTIONS?

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THANK YOU!! SETH ZARNY , szarny@raffa.com, 301-279-6500 DONNA KILBOURN. dkilbourn@unanet.com, 703-689-9752 GLENN ANSTEAD, ganstead@raffa.com, 301-279-6503