THE LAST MILE

OF ADOPTIONP r e s e n t a t i o n b y

P e t e r S c h r a e d e r a n d J o s h D a l t o n

TOPICS

LEVEL SET: PROGRAM LIFECYCLE

THE LAST MILE OF ADOPTION:

• Cutover

• Reporting

• Change to ‘static’ state

• Transition from external support

KEYS TO SUCCESS

2017 2018

jan feb mar apr may jun jul aug sep oct nov dec jan feb mar

LEVEL SET: Program lifecycleT O D A Y

assess

design

build

test

data

cutover & deploy

solution stabilization

S Y S T E M

G O L I V E

A D O P T A N D

O P E R A T I O N A L I Z E

use cases /

bus. req.

func. / tech. design

build for topic 606

solution (s)

sit /e2e test

data preparationmock

1

mock

2

mock

3

performance test

UAT

p r o d u c t i o n

g o l i v e

opening

balance

monthly

loads

FY18 processing and

forecasting

S Y S T E M

Integrate RevPro in the

production environment and/or

changing existing platforms

and interfaces

D A T A

Identify, transform, cleanse

and process data;

unique historical data

migration

J O U R N A L E N T R I E S

RevPro in production, data’s

migrated, now - opening

balance journal entries - to

“catch up” and record account

balances

LAST MILE: CutoverThree key considerations for cutting over to the new solution

Systems

Source Systems

General

LedgerReporting

Revenue

Management

System

“RevPro”

Integrate all systems

Data

Validate and reconcile processed open

contract data (adequacy of populations,

sample size)

1

2

3

4

Extract

Transform

Load and “Re-Process”

Validate and Test

1

2

3

4

Extract “accurate and complete population” of open

order, invoice and event data from source systems

and processes

Transform, cleanse and reconcile extracted data;

track all augmentation or enrichment processing

Load data for processing (re-processing) under new

rules; adequately tested through “mocks data

conversions”

Adoption

Method Migrate transaction activity based on defined

adoption method and timing:

0

0

Journal entriesBook the opening balances

Supporting Information

Balance sheet Income statement

Contract Assets

Contract Liability

Commission Asset

Deferred Tax Asset/Liability

Revenue

Commission Expense

Tax Expense

Retained earnings

F I N A N C I A L

Provide the necessary

information to generate

external financials

D I S C L O S U R E S

Identify and test the necessary

reports to generate new

external disclosures

B U D G E T I N G A N D

F O R E C A S T I N G

Utilize outputs of the new

solution to model and plan for

future periods

LAST MILE: ReportingOperationalizing reporting and financial forecasting

FinancialFinancial reporting enablement is a key part of successful adoption and should be

included in a separate sub-project of the overall program implementation

Solution and

process

Information

sourcesControls

Representation

method

Inventory of

reports

Disclosures

Disclosure

Listing

Policy

Document /

Position

Papers

Template

/ Draft

(Blank #s)

Governance

Contract balances and

significant changesInformation about

performance obligations

Significant judgments

Practical expedients

Remaining performance

obligations

Disaggregation of

Revenue

Forecasting and budgeting

S O L U T I O N

L I V E

Q 1 R E S U L T S

T O P I C 6 0 6

A D O P T I O N

o p e n i n g b a l a n c e s h e e t

r e c o n c i l i a t i o n

i n t e r i m f o r e c a s t i n g /

m o d e l i n g

o p e r a t i o n a l i z e d n e w

f o r e c a s t i n g p r o c e s s

B U S I N E S S P R O C E S S

Static state process to operate

the business

C O N T R O L S

Process, implementation,

system and ITGC controls

A U D I T

Alignment with internal and

external audit

LAST MILE: Change to static stateThree key considerations for operationalizing the changed process

Business process

Order execution Record and reportPre-sales

Implementation: process definition

Go live: process optimization

Controls

SDLC controls Automated controls

ITGCsManual controls

Inherent functionality

Configurations

Cross functionality

Reconciliation of accounts

Regular review of manual

transactions

Restricted access and approval

Dependency on key reports

Project authorization

Technical documentation

User acceptance testing

Data conversion

Project go-live

Access to programs and data

Change management

Computer operations

Audit

Insights from and check-points with

internal and external compliance

organizations is critical

Policy and

processControls

Logical

groupingSamples

S U P P O R T M O D E L

Identify the post go-live

support model and owners of

support

P A T C H M A N A G E M E N T

Implementation of solution

patches and regression testing

P H A S E “ N E X T ”

What is needed to make this

solution optimized; how to plan

and deliver

LAST MILE: Becoming operationalThe process of moving from implementation to ongoing operational and maintenance

Support model

Business

support

Application

maintenance

Product

patching Solution

integration

Updates to solution

configurations as

required by the

business

Implementation and

regression testing of

product releases

Ongoing review of

solutions integrated or

reliant on RMS

Helpdesk for supporting

the business as issues

are identified

Patch managementRegular solution patches will be provided by the solution vendor and will require an

application and regression testing strategy to implement

Patch application and

resource strategy

Solution phase “next”The new solution is in place, what’s next . . .

S O L U T I O N

L I V E

F U T U R E M O D U L E S /

E N H A N C E M E N T S E T

Deployed a

“minimum viable

scope” solution for

initial go-live

E N D - T O - E N D

S O L U T I O N S T A B I L I T Y

Refine end-to-end

solution to achieve

optimized efficiency

and effectiveness

Determine

additional

functionality

needed to function

KEYS TO SUCCESS

Consider this a large scale transformation change program

Limit customizations where possible; at least initially

Plan for future process optimization; initial goal is to “be compliant”

After solution “go-live” don’t assume smooth sailing, plan for rough seas initially

Have a back-up plan (“Plan B”)

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