OP looks at centralized payroll and HR

by Dave Jones
May 20, 2011

VICE CHANCELLOR'S MESSAGE TO STAFF

Here is Vice Chancellor John Meyer's May 19 e-mail to staff in Administrative and Resource Management, the Offices of the Chancellor and Provost, Information and Educational Technology, Student Affairs and University Relations.

Colleagues:

As you are likely aware, the Office of the President (OP), with representatives from various campuses, has been leading a Payroll Personnel System (PPS) Initiative that focuses on the selection and implementation of a single, universitywide payroll system and human resource management system in addition to automated time and attendance tracking technology. Integral to our own campus shared service center initiative; these technologies will assist us in our efforts to eliminate inefficiencies in our payroll and HR processes.

Recently I learned that OP is considering the merit of expanding the scope of the original initiative to include the centralization of payroll and HR transactional activities at a universitywide level. While discussions continue, OP’s final decision could ultimately affect the UC Davis shared service center project. I am communicating directly to you about this development, not to alarm you or alter the focus of our good work, but to keep you informed about discussions that are happening at the Office of the President.

Until the future direction of HR and payroll service delivery is finalized and communicated to UC administrative leadership, I have asked our shared service center project teams to continue their work on the project as planned. I remain appreciative of your involvement and support of the shared service center initiative and will keep you apprised of further developments at the Office of the President.

Sincerely,
John Meyer
Vice Chancellor,
Administrative
and Resource Management

The UC Office of the President is exploring the possibility of expanding a systemwide technology initiative — and the outcome could affect UC Davis’ shared service center project.

The expansion idea emerged from UCOP’s Payroll Personnel System Initiative, in which representatives from around the system have been focused on replacing the Payroll Personnel System and adding a human resource management system and time and attendance tracking technology. These technologies would be deployed for use by the entire UC system.

Recently, UC Davis Vice Chancellor John Meyer said, he learned that the Office of the President is considering the merit of expanding the scope of the original initiative, to include the systemwide centralization of some payroll and HR transactional activities.

Meyer communicated this development in May 19 e-mails to the staff teams that are working on the shared service center project, and to the employees in the five participating administrative units: ARM, the Offices of the Chancellor and Provost, Information and Educational Technology, Student Affairs and University Relations.

“While discussions continue, OP’s final decision could ultimately affect the UC Davis shared service center project,” Meyer wrote.

He said he was communicating directly with staff not to alarm them, “but to keep you informed about discussions that are happening at the Office of the President.”

Meyer commended the good work of the project teams, and added: “Until the future direction of HR and payroll service delivery is finalized and communicated to UC administrative leadership, I have asked our shared service center project teams to continue their work on the project as planned.”

They began their work in February, identifying, mapping and analyzing the business processes now in use — in payroll and finance, HR and information technology — with an eye toward streamlining and re-engineering.

Under the existing timeline, the Shared Services Implementation Team aims to present the project plan to the campus community this summer, asking for comment at that time. Then, at a town hall forum scheduled for Sept. 8, Chancellor Linda P.B. Katehi and other campus leaders will announce decisions about the center’s design — including the staffing model and the business processes that the center will handle.

The shared service center project is a key element of the campus’s Organizational Excellence Initiative, aimed at gaining efficiencies in the way UC Davis does business — with cost savings that will help the campus address budget reductions.

UCOP is looking for efficiencies of its own, through the Working Smarter Initiative. Working Smarter includes the PPS Initiative, described as “one of the most complex operational initiatives ever undertaken at the university.”

A fact sheet on the Working Smarter website notes that the UC’s PPS is almost 30 years old, with 11 different versions in use around the system.

“Difficult to use, update and maintain, PPS requires redundant data entry, paper forms and manual processing. PPS lacks the functionality of a true HRMS (human resource management system), resulting in the development of shadow systems and inconsistent business processes that are costly to maintain and no longer provide timely and complete decision support data to manage UC’s large and complex work force.”