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Kansas Department of Administration 2006 Annual Report.pdf

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Replacing STARS: the Financial Management<br />

System (FMS) project<br />

In 200 1, the State contracted with Accenture Company to provide a report on the possible<br />

need to implement a new Financial Management System (FMS). Accenture recommended<br />

replacement <strong>of</strong>the current system, STARS, as it was nearing 15 years old and was no<br />

longer supported by a vendor.<br />

In <strong>2006</strong>, the State revisited the issue and asked Salvaggio, Teal and Associates (ST A) <strong>of</strong><br />

Austin, Texas to provide an updated Needs Assessment Study. A project team made up <strong>of</strong><br />

five representatives from D <strong>of</strong> A (three from A&R) worked with STA on the study. A<br />

Project Steering Committee was also created with representatives from 13 different<br />

agencies to oversee the progress <strong>of</strong>the study.<br />

To receive input from agencies regarding their own needs, focus groups were created.<br />

Over 200 individuals participated, representing 25 large agencies and outreach meetings 27<br />

other agency representatives who may not have taken part in the meetings. Also, system<br />

requirements were posted on the FMS project Web site for all agencies to review and<br />

provide comments.<br />

As a result <strong>of</strong> the study, ST A recommended the State pursue the acquisition and<br />

implementation <strong>of</strong> an FMS for the following reasons:<br />

• STARS is nearly 20 years old and without vendor support<br />

• Need to move from an environment that focuses primarily on processing financial<br />

transactions to one that also focuses on providing management information to<br />

policymakers for use in making critical decisions about allocating the scarce<br />

resources available for constituent programs and services<br />

• Agencies have difficulty getting meaningful and historical reports from STARS.<br />

As a result, many agencies have created "shadow systems" primarily for tracking<br />

and reporting needed information all at an additional cost to the agency<br />

• A new FMS will be Web-based and integrate all agencies regarding key financial<br />

modules, which would include Accounts Payable, General Ledger, Purchasing and<br />

Asset Management<br />

• A FMS would also replace the current procurement system (Procurement Manager<br />

Plus) and <strong>of</strong>fer "eProcurement" which would include, among other functionality,<br />

enabling State personnel to order goods/services from the negotiated State contracts<br />

by shopping via a Web browser; also would enable vendors to be notified<br />

electronically <strong>of</strong> bid opportunities for goods/services the vendor has registered with<br />

the State as providing<br />

• A FMS would also provide for a "Data Warehouse" that agencies could use to store<br />

information and create ad hoc reports for their own needs<br />

• With an integrated FMS agencies will be able to process information and<br />

transactions more quickly and with less paperwork and redundancy <strong>of</strong> effort<br />

• Agencies will be able to respond more quickly and with greater accuracy to<br />

Legislators' requests for information to make decisions<br />

10

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