oow 2008 bonneville power administration (ver#09052008)

© 2008 Oracle Corporation – Proprietary and Confidential

Session S299471 Utilities Run PeopleSoft Applications: Bonneville Power Administration Case Study Mark Town, Sr. Business Analyst, Bonneville Power AdministrationSamuel Harrell, Industry Director, Utilities - Oracle Industries Business UnitMark Rosenberg, Director Product Strategy, PeopleSoft Projects & ALM Apps


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Program Agenda

• Bonneville Power Administration exploits investment in PeopleSoft Projects & Financials Apps• AFUDC• Accounting Rules• Transaction Adjustments• Project Billing• Express Capitalization

• Thoughts on the future for Utilities• PeopleSoft Projects & Assets roadmap

highlights

BPABPA““The Bonneville Power Administration, headquartered The Bonneville Power Administration, headquartered

in Portland, Oregon, is a federal agency under the in Portland, Oregon, is a federal agency under the U.S. Department of Energy. BPA serves the Pacific U.S. Department of Energy. BPA serves the Pacific Northwest through operating an extensive electricity Northwest through operating an extensive electricity transmission system and marketing wholesale transmission system and marketing wholesale electrical power at cost from federal dams, one non-electrical power at cost from federal dams, one non-federal nuclear plant and other nonfederal federal nuclear plant and other nonfederal hydroelectric and wind energy generation facilities. hydroelectric and wind energy generation facilities. BPA aims to be a national leader in providing high BPA aims to be a national leader in providing high reliability, low rates consistent with sound business reliability, low rates consistent with sound business principles, responsible environmental stewardship principles, responsible environmental stewardship and accountability to the region”. and accountability to the region”.

PeopleSoft Profile at BPAPeopleSoft Profile at BPA

• HCM 8.9 going to 9.0HCM 8.9 going to 9.0

• CRM 8.9CRM 8.9

• EPM 8.9EPM 8.9

• FINANCIALS 9.0FINANCIALS 9.0– Projects, Assets, GL, AR, AP, Billing, Projects, Assets, GL, AR, AP, Billing,

Treasury, Lease AdministrationTreasury, Lease Administration

• Tools 8.49.12Tools 8.49.12

Who owns/uses PS Who owns/uses PS PROJECTS?PROJECTS?

• Do you useDo you use– INTEREST CALCULATION - AFUDC?INTEREST CALCULATION - AFUDC?– ACCOUNTING RULES?ACCOUNTING RULES?– TRANSACTION ADJUSTMENTS?TRANSACTION ADJUSTMENTS?– PROJECT BILLING?PROJECT BILLING?– EXPRESS CAPITALIZATION?EXPRESS CAPITALIZATION?

Why use the interest Why use the interest calculation processcalculation process

• You are already capturing your CWIP You are already capturing your CWIP (Construction Work in Progress) costs (Construction Work in Progress) costs against a project.against a project.

• Streamline your project costing by Streamline your project costing by letting the system calculate your letting the system calculate your AFUDCAFUDC

How to Calculate Interest - How to Calculate Interest - AFUDCAFUDC

• Allowance for funds used during constructionAllowance for funds used during construction– Establish period calculation factors at the setID level.Establish period calculation factors at the setID level.– Define interest calculations at the business unit Define interest calculations at the business unit

level.level.• Define the pool and target transactionsDefine the pool and target transactions

– Identify projects and activities to include interest Identify projects and activities to include interest calculations.calculations.

– Establish status-based interest calculation factors.Establish status-based interest calculation factors.– Accumulate transactions in the Project Transaction Accumulate transactions in the Project Transaction

table (PROJ_RESOURCE).table (PROJ_RESOURCE).– Run the interest calculation process.Run the interest calculation process.

Choose your methodChoose your method

• Straight average method Straight average method – Costs = (Beginning Costs + Ending Costs) Costs = (Beginning Costs + Ending Costs)

÷ 2÷ 2– assumes costs are averaged for the current assumes costs are averaged for the current

monthmonth

• FASB 34 methodFASB 34 method– Weighted method Weighted method – Assumes costs are averaged throughout Assumes costs are averaged throughout

the current yearthe current year

Set up you period calculation Set up you period calculation factors based on your methodfactors based on your method

Define interest calculations at Define interest calculations at the business unit levelthe business unit level

• ManuallyManually

Identify projects and activities Identify projects and activities to include interest calculations.to include interest calculations.

Establish status-based interest Establish status-based interest calculation factors.calculation factors.

Accumulate transactions in the Accumulate transactions in the Project Transaction table Project Transaction table (PROJ_RESOURCE).(PROJ_RESOURCE).

Run the interest calculation Run the interest calculation processprocess

Why use ACCOUNTING RULES?Why use ACCOUNTING RULES?

• By using the interest calculation process By using the interest calculation process you now have AFUDC on PROJ_RESOURCEyou now have AFUDC on PROJ_RESOURCE

• How do I get it to GL?How do I get it to GL?

• Use accounting rules to define your journal Use accounting rules to define your journal entriesentries

• By running the PSA_ACCTGGL AE, AFUDC By running the PSA_ACCTGGL AE, AFUDC entries will be made to the entries will be made to the CA_ACCTG_LN_PC table where they are CA_ACCTG_LN_PC table where they are journal generated to GLjournal generated to GL

How?How?

• Define the RuleDefine the Rule

• Run the Application EngineRun the Application Engine

Define the RuleDefine the Rule

Run the PSA_ACCTGGL ProcessRun the PSA_ACCTGGL Process

Why use Transaction Why use Transaction AdjustmentAdjustment

• The choice is to make corrections at the The choice is to make corrections at the source or correct in Projects and GLsource or correct in Projects and GL

• If, for example a correction needs to be If, for example a correction needs to be made to the amount of someone’s payroll made to the amount of someone’s payroll check it should be done at the source, but check it should be done at the source, but what if the only thing wrong was the project what if the only thing wrong was the project # (or other chartfield)? And the mistake is # (or other chartfield)? And the mistake is discovered 4 months after the entry?discovered 4 months after the entry?

• Does T&L or payroll really care about the Does T&L or payroll really care about the accounting?accounting?

How do you do a Transaction How do you do a Transaction Adjustment? Adjustment?

• Bring up the Project/Activity where the Bring up the Project/Activity where the transaction existstransaction exists

• Enter some criteria about the Enter some criteria about the transaction to narrow the choicestransaction to narrow the choices

• Select the transaction(s) to adjust Select the transaction(s) to adjust

• Change the amount and/or chartfieldsChange the amount and/or chartfields

• SaveSave

TRANSACTION ADJUSTMENTSTRANSACTION ADJUSTMENTS

Why PROJECT BILLING?Why PROJECT BILLING?

• Again the costs are already on the projectAgain the costs are already on the project1.1. Pass captured project costs to customersPass captured project costs to customers

2.2. Mark the costs up (or down)Mark the costs up (or down)

3.3. Add overheadsAdd overheads

4.4. Recognize revenue based on the contractRecognize revenue based on the contract

How to bill ProjectsHow to bill Projects

– You will need CONTRACTS and BILLING You will need CONTRACTS and BILLING to go along with your PROJECT COSTING to go along with your PROJECT COSTING module.module.•Define the contract terms, revenue and Define the contract terms, revenue and

billing plans in CONTRACTSbilling plans in CONTRACTS

•Create rate templates in projectsCreate rate templates in projects

•Develop the Invoice in BillingDevelop the Invoice in Billing

– Employ a competent consultantEmploy a competent consultant

Why use EXPRESS Why use EXPRESS CAPITALIZATIONCAPITALIZATION

• Do you build assets?Do you build assets?

• Do you collect capital costs in your Do you collect capital costs in your projects?projects?

• Do you want to automatically value Do you want to automatically value your assets with your project costs?your assets with your project costs?– You need to implement Express CAP.You need to implement Express CAP.

““How to” Steps for Express How to” Steps for Express CapCap

•Define the Asset Integration RulesDefine the Asset Integration Rules

•Define the Transaction FilterDefine the Transaction Filter

•Define the assets to be installed by the Define the assets to be installed by the projectproject

•Run the processes to move assets and costs Run the processes to move assets and costs to AMto AM

•See my detailed presentation from OOW See my detailed presentation from OOW 20072007



Program Agenda



highlights

Future of the utility Future of the utility industry?industry?

• We have smart peopleWe have smart people

• We have smart systemsWe have smart systems

• We even have some smart We even have some smart equipmentequipment

The Smart GridThe Smart Grid

Precisely match supply and demandPrecisely match supply and demand– Demand determined by smart buildings, Demand determined by smart buildings,

machinery, devices, homes, appliances, machinery, devices, homes, appliances, etc. all communicating to the generation etc. all communicating to the generation sourcesource

Utilize Local storage capacityUtilize Local storage capacity– BatteriesBatteries– Fuel cellsFuel cells– Super conductorsSuper conductors– Electric/ fuel cell carsElectric/ fuel cell cars

More ResourcesMore Resources

• PeoplebooksPeoplebooks

• OAUG Utilities SIGOAUG Utilities SIG

• Consulting Partners specializing in Consulting Partners specializing in Project CostingProject Costing

• ORACLEORACLE



Program Agenda



highlights


The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions.The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

Please Note…


PeopleSoft Release 9.1

PeopleSoft 9.1 Plans To Enable…Organizational Effectiveness

IntelligentBusiness Execution

Release 9.1 ThemesRelease 9.1 Themes

Flexibility


Themes & Ideas Under ConsiderationSupport of Projects & Assets

The material shown here is intended to outline our general product direction. It is intended for information purposes only and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions.The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

Flexibility•Extended Web Services Throughout and Beyond the Enterprise•Facilitate 3rd-Party Mobile Solution Integration•Facilitate GIS Integration• Integrate IT Asset Management with a Variety of 3rd-Party Auto-Discovery Technologies

•Optimize Management of All Classes of Assets•Capitalization Thresholds to Ensure Proper Accounting•More Asset Retirement Options, Group Asset Enhancements•Simplified Cross-organizational Scheduling of Maintenance Technicians


Themes & Ideas Under ConsiderationSupport of Projects & Assets


Intelligent Business Execution• Business Intelligence for Smarter Strategic Asset Decisions

–Maintenance Cost Analysis–Failure Analysis –Configurable Workflow and Sensor Framework to Monitor Property Lease

Financial Terms/Options, Legal Clauses, etc.–Site Acquisition–Enhancements in Support of Capital Project Budgeting

• Better Tactical Decisions; Better Asset & Resource Utilization–Preventive Maintenance Extensions–Deeper Mobile Support for Maintenance Technicians via 3rd-Party Integration–Rapid-action Administrator Interface for ITAM–Expanded Occupant Tracking in Property Management


Themes & Ideas Under ConsiderationSupport of Asset Lifecycle Management


Organizational Effectiveness•High Quality Usability to Raise User Adoption Rates

–Delivery of Various Customer-Requested Work Order Productivity Enhancements

–Introduction of PeopleTools 8.50 usability improvements–Logging and Action History Improvements in ITAM –Extension of Security

•Out-of-the-Box Leverage: Do More with Existing Resources–Streamlined User Interface to Manage IT Asset Recon Exceptions–Expanded Automation of Common Area Maintenance Expenditure Reconciliation for Real Estate Leases

–Support of Various Percent Rent Calculations for Real Estate Leases


Enhancement IdeasDeepened GIS Integration

• Enable display of assets on a map – support both push/pull methods. • From PSFT, ‘push’ data to ESRI to get the map and embed the map in

PSFT page• ESRI to ‘pull’ data from PSFT and display assets on the map with options a-

c noted below.a. Allow filters/sort options to restrict display of assets on a mapb. Display key asset data from a mapc. Enable access to Asset Management record(s) (drill down) to update

asset information from the map• Create Express Work Order from asset located on map • Assets in Asset Management and Maintenance Management

hyperlinked/push button enabled to allow ESRI to start and display the asset/work order on a map

• Assigned work orders for a technician loaded to ESRI with asset information to display location of asset/work order to perform work on



Enhancement IdeasMaintenance Cost & Repair Analysis



Enhancement IdeasExpanded Preventive Maintenance Flexibility

• Enter specific # of lead days• Linking options: merge,

suppress, allow separate



Enhancement IdeasWork Order & Asset Enhancements


• Service request search, smart tag enhancements with backport to releases 8.9 and 9.0

• Separate problem and work descriptions

• Quick links to asset hierarchy and projects


Enhancement IdeaUpdate Equipment Parts List (EPL)“On the Fly”

• Provide for “on the fly” addition of Inventory & Procurement items to one or more EPLs • Designated default EPL

for an asset• Other applicable EPLs

• Access from Maintenance Management pages• Work Order• Express Work Order• WO Task Template



Features Planned in Future ReleaseGroup Assets

• Ability to perform IU transfers from regular assets to Group Assets

• Extension of parent/child functionality to Group Assets

• Capability to override the estimated accumulated depreciation at member level on certain transactions

PeopleSoft Asset Management and CATSA Seamless, Automated Integration Model

Analysis Reporting

Record Review and Editing Automated Record Conversion Automated Data Transfer

Barcode-based Automated Data Collection Batch or WiFi Data Collection Modes Conduct Physical Audits/Cycle

Counts and Update Records

OBJECTIVE: Streamline and reconcile physical inventory of enterprise assets

SOLUTION: Provide front-end automated data collection capability to PeopleSoft Asset Management with CATS

FEATURES: Solution designed specifically to extend PeopleSoft Asset Management Point-of-origin data collection using a Mobile Computer with integrated scanner Barcode-based solution for accurate, efficient data collection Automated and seamless integration with PeopleSoft Asset Management

HQ

Remote Locations

Remote Users

mobile

workers

Refineries / Plants

Mobile Technician SupportSolution Architecture – Disconnected/Remote

CATAMARAN

CATAMARAN

CATAMARAN

• Mobility

• Data Collection (barcode, RFID, RTLS)

• Synchronization

• Disconnected/Connected

• Inventory, Manufacturing, EAM, Assets


Questions & Answers


Oracle OpenWorld 2008PeopleSoft ESA & ALM Session Schedule

Session ID Title Presenters Date/Time Location

S299471 Utilities Run PeopleSoft Applications: A Case Study on Bonneville Power Administration

Mark Town, Bonneville Power AuthoritySam Harrell, Oracle

Mark Rosenberg, Oracle

Monday,9/22/20082:30 PM

Concert

S298908 Real-World Successes with PeopleSoft Real Estate Management Mainak Sarkar, Skechers USA, Inc.Arthur Dayton, Kiewit Corporation

Howard Shaw, Oracle

Monday,9/22/20084:00 PM

MosconeWest3014

S298910 PeopleSoft HelpDesk and Asset Lifecycle Management Integrate Finance and IT

Jason Alonzo, OracleChristopher Armstrong, Oracle


Tuesday,9/23/20089:00 AM

Moscone West3003

S299314 PeopleSoft Enterprise Service Automation: Why It’s Still the Right Choice Mark Rosenberg, OracleHoward Shaw, Oracle

Tuesday,9/23/200811:30 AM

Moscone West3000

S299300 A Look at How Global Professional Services Leaders Use PeopleSoft Enterprise Service Automation

Sarat Varanasi, CognizantShawn Fox, Oracle

Tuesday,9/23/20081:00 PM

Moscone West3000

S299319 Harris Corporation Upgrades PeopleSoft Financials/Enterprise Service Automation from Release 7.5 to 9.0

Diane Angus, Harris CorporationBrett Kearney, Cardinal Point Solutions


Tuesday,9/23/20085:00 PM

Moscone West3000

S299294 IT Governance and the PMO: Success Stories Velina Williams, MetLife

Jag Kalagiri, ProLogis

Howard Shaw, Oracle

Wednesday,9/24/20089:00 AM

Moscone West

3000

S298406 Contracted Maintenance and Repair with PeopleSoft eSupplier Connection Mike Lizio, OracleMark Rosenberg, Oracle

Wednesday,9/24/200811:30 AM

Sea Cliff

S299321 From Discovery to Definition: The Transformation to a High-Performance Public Utility Using PeopleSoft ESA and EPM

Melissa Gatterdam, Cincinnati MSD; Jaya Joshi, Cincinnati MSD; Mike Castronovo, AMC;


Wednesday,9/24/20085:00 PM

Moscone West

3000

S299307 PeopleSoft: Your One-Stop-Shop for Capital Projects and Maintenance Christie Shan, BearingPoint

Maria Pollieri, Oracle

Mike Madden, Oracle

Thursday,9/25/20089:00 AM

Moscone West

3000

S299310 PeopleSoft Project Costing Integrations and the Methodologies Behind Them Shabi Farooq, Oracle

Hamesh Tiwari, Oracle

Thursday,9/25/200810:30 AM

Moscone West

3000

S298912 Q&A with Your Friends in PeopleSoft Development and Strategy Alex Man, Oracle; Amira Morcos, Oracle; Mark Rosenberg, Oracle; Maria Ana Santiago, Oracle

Thursday,9/25/20081:30 PM

Moscone West

3003


Additional Information Accelerate your Evaluation and Planning

Oracle PeopleSoft DemoPods at the DEMOgrounds• PeopleSoft Enterprise Service Automation (ESA) Solutions (Location R06)

• PeopleSoft Asset Lifecycle Management (ALM) Solutions (Location R09)

Oracle PeopleSoft DemoPods at the DEMOgrounds• PeopleSoft Enterprise Service Automation (ESA) Solutions (Location R06)

• PeopleSoft Asset Lifecycle Management (ALM) Solutions (Location R09)

MetaLink: Advisor Webcast Program Live Webcasts

MetaLink / Knowledge / Tools and Training / Training (Web Seminars)

Oracle UniversityInstructor-led Training


For More InformationPeopleSoft Enterprise Digital Resource Disk

• Product Data Sheets• Best Practices Guides• Release Notes• Cumulative Feature Overviews• Mini Courses and Podcasts• Learning Paths• Customer Success Stories• Helpful Information about: PeopleSoft Applications PeopleTools UPK PeopleBooks Consulting Upgrade PeopleSoft Training

Documents, Webcasts, Podcasts, Demos,

and more - all on a self-launching CD-ROM

AVAILABLE AT THE PEOPLESOFT DEMO PODS AT MOSCONE WEST


For More Information

search.oracle.com

or

oracle.com

PeopleSoft Project Costing

PeopleSoft Fixed Asset Accounting

PeopleSoft Asset Lifecycle Management

oow 2008 bonneville power administration (ver#09052008)

Documents

calculation afudc

project costing

peoplesoft projects

bpa hcm

lease administration

peoplesoft applications

federal agency

period calculation factors