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Posts Tagged ‘customization’

A Hybrid Solution: Oracle PeopleSoft + Oracle Cloud

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oracle peoplesoft oracle cloud

It’s one of the most common conversations taking place between IT, finance and HR for any PeopleSoft customer. The system has been customized over the years and some of those customizations are critical to the company. But the functionality feels outdated and the total cost of ownership is growing. So what do you do?

Nationwide Building Society evaluated their options and found a perfect solution. After taking a look at SAP and Workday, they decided to leverage the significant investments they had made in PeopleSoft over the years, take advantage of the newest technology in 9.2 and insert some Cloud elements where it could add the most value. In Nationwide’s case it was Talent Management.

This is getting your cake and being able to eat it too. The full story can be found here: http://diginomica.com/2016/02/15/nationwide-takes-hybrid-approach-to-hr-it/

If you have any questions please do not hesitate to contact us!

Cloud Versus Customization

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cloud versus customization

In today’s market with a lot of conversation about clients moving their back office systems from an on-premise system to a cloud-based system, we are not hearing much about customization and the need to give up one’s customizations in order to move to the cloud. With cloud-based systems, it is a given that there is very little, if any, customization allowed. Often the most you get is the ability to “configure” the solution to your needs, allowing you to pick from the options that the vendor has given you to choose from. That essentially means that any client who is planning to move to the cloud has to be willing to use the system as it is offered, with little to no changes, in order to take advantage of the cloud benefits. To take this pre-requisite one step further, that means that clients will have to change their business processes to match the cloud-based system and the way the cloud system supports them. This can be a huge organizational change management challenge or even a business culture change for the business users who will be required to redesign their current business processes.

As a systems integrator, we are constantly recommending that companies limit their customizations as much as possible, in order to save on production support costs. The fact is that there are very few “vanilla” systems in production today. Most clients either need to customize to address unique items in their business or prefer to do some things different from the vanilla system process that is delivered, or not delivered, by the software.

The flexibility to choose customization strategically goes away when moving from on-premise to the cloud-based systems. It is important that all of the key stakeholders know this up front. Cloud solutions certainly have their advantages; however, you have to look even closer to make sure the functionality meets your business needs, as well as understand and accept the limitations. Sometimes the excitement of a new technology or solution can overshadow the drawbacks. Go in with your eyes open.

If you have any questions regarding customization versus cloud please contact Larry. He would be happy to answer any of your questions.

Another Common Customization in PeopleSoft Benefits Administration

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Today, we’ll get a even deeper into the PeopleSoft Benefits Administration guts. (Please see my previous post for the first dive.)

As mentioned before, the delivered functionality of the PeopleSoft setup tables and the Benefits Administration process can’t handle every aspect of the new-hire processing requirements.  Another common issue is that not all employee benefits become effective at the same time; some benefits become effective immediately, while others do not become effective for 3 months.

Here’s the scenario, which is similar (though more complex) to the first one we examined:

  • All non-electable benefits are effective as of hire date
    • Leave plans (Vacation and Sick)
    • Company-paid basic life insurance.
    • Company-paid basic Long Term Disability (LTD)
  • All electable benefits are effective after 3 months following hire date
    • Health plans (medical, dental and vision)
    • Employee-paid supplemental life insurance
    • Employee-paid dependent life insurance
  • Employees have 30 days following effective date to enroll in electable or voluntary plans
  • Accrual rates and insurance coverage levels determined by the terms of the plans
  • Leave accruals are based on hours worked and processed biweekly (every pay-period)

Issue:

Enrollment in the non-electable plans is tied to HIR Event which might not be finalized for as many as 120 days.  Multiple pay-cycles could be processed prior to HIR being finalized, resulting in leave plan accruals, employer paid insurance costs and possibly imputed income calculation not being triggered and recorded within payroll.

Therefore: leave accruals/balances and employer costs will have to be manually adjusted

Here is an easy solution:

1. Add IMM Event Class to the Event Class table, assign a higher priority than the HIR event.

image

2. Insert IMM row to the appropriate Event Rules (open only leave plans).

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A Common Customization in PeopleSoft Benefits Administration

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Today, we’ll get into some PeopleSoft Benefits Administration nerdery.

Frequently, the delivered functionality of the PeopleSoft setup tables and the Benefits Administration process (don’t you just love COBOL?) can’t handle  every aspect of the new-hire processing requirements.  One common issue is that employees are given 30 days to enroll, while all the benefits become effective immediately.

Here’s the scenario:

  • All benefits effective as of hire date
  • Employees 30 days to enroll
  • Payroll runs bi-weekly
  • Leave accruals are based on hours worked and processed biweekly

Issue:

Enrollment in leave plans tied to HIR Event which might not be finalized for 30 days or more.  Payroll could run twice prior to HIR being finalized, resulting in leave plan accruals not being triggered.

Therefore: leave accruals/balances will have to be manually adjusted.

Here is an easy solution:

1. Add IMM Event Class to the Event Class table, assign a higher priority than the  HIR event.

2. Insert IMM row to the appropriate Event Rules (open only leave plans).

(more…)