Planning Your PPMSTM

Session 4: Planning your PPMSTM

Executive Decides to Proceed Develop a Management with Certification Policy

Executive selects a Project Write Management Policy Leader & Executive Performance & assigns a Project Team Measurements (In a small agency, the project team could be just

Executive Commitment Decide on Certification Approve Project Plan Date Approve Management Policy Communicate Plan, Policy & Commitment to Certification to all Develop a Project Plan Task List Resources Required Schedule Training Plan and Policy Approved Schedule Periodic and Communicated to Employees

See Documenting the PPMSTM Flowchart

©2016 ACA International All Rights Reserved. Page 194 Select a Project Leader and Assign a Project Team  The Leader:  is accountable for the project  reports to senior management  can get things done  The Team:  is usually cross-functional (members from various departments)  reports to project leader  plans the project and schedule  assigns activities and responsibilities  monitors project progress  resolves problems and manages change

©2016 ACA International All Rights Reserved. Page 196 Developing a Project Plan  Things you should consider when putting together a Project Plan  Scope - Goals (e.g., example - to become a certified agency in 6 months) - Objectives (e.g., measurables - see project plan)  Project plan - task list (see Sample Project Plan on the pages that follow) - resources required (e.g., people, money, time) - schedule (e.g., due dates)  Other considerations - project budget (see Sample Project Budget on the pages that follow) - training - determine reviews & approvals

©2016 ACA International All Rights Reserved. Page 198 Typical Project Plan  Scheduling Software  Fast Track Schedule by AEC Software - $190  Microsoft Project Software - $400 Microsoft Excel Microsoft Outlook  Flowcharting Software VISIO - Both available through Micro Warehouse: 800- 696-1727 - ACA Templates are in Microsoft Word - Developing a Project Plan

Start Finish Jul-96 Aug-96 Sep-96 Activity Name Responsibility Date Date 1 7 14 21 28 4 11 18 25 1 8 15 22 29 7/5/96 8/5/96 Steering Committee Meetings MD 9/7/96 Agree on Certification Scope Steering Cmte 7/5/1996 8/5/1996 Define Quality Policy Steering Cmte 7/5/1996 8/5/1996 Design Document Structure Proj Team 7/6/1996 7/20/1996 Design Document Control System Proj Team 7/20/1996 8/3/1996 Design Document Format Proj Team 8/3/1996 8/10/1996 7/15/96 Employee Information Meetings QM 8/18/96 Compare present QMS against ACA PPMS Proj Team 7/5/1996 8/5/1996 Determine Traing Needs HR Manager 8/5/1996 8/30/1996 Rough draft Quality manual QM 8/5/1996 8/19/1996 Rough draft procedures Dept. Managers 8/19/1996 9/29/1996 Etc. ©2016 ACA International All Rights Reserved. Page 199 Project Plan  What should you include in the project plan???  Break work into tasks & assign responsibilities  Set time frame to accomplish activities - Determine target certification date & work backward - Assign completion dates to activities - Revise target certification date  Remember, a decision without a deadline is just a discussion!  Reference Materials - Good to Great - One Minute Manager - Who Moved My Cheese? - First Break All the Rules - Sacred Cows Make the Best Burgers - Critical Chain - Raving Fans ©2016 ACA International All Rights Reserved. Page 200 - The Six Thinking Hats

©2016 ACA International All Rights Reserved. Page 201 Develop a Project Plan As a group, expand a section of the Project Plan (i.e., tasks, responsibilities, due dates). Break the group into teams. Assign each team a section of the Project Plan to expand and present to the class.

Est. F i Hours n i

Targete s

Responsi (individu Earlie h

Task d Latest e

Task ble al st d

# Due Start Person(s) or total Start =

Date team X hours) 1.0 Executive Decides to Proceed 2.0 Select Project Team & Leader Send Project Leader or Team to 3.0 PPMS™ Training 4.0 Determine Certification Date 5.0 Developing Project Plan

6.0 Management Policy

7.0 Executive Commitment

Develop Documentation - Dept 8.0 Heads (Part 1)

Develop PPMS™ Documentation 9.0 Structure

Develop Documentation - Dept 10.0 Heads (Part 2)

Targete s

Task d Latest e

Task ble al st d

Date team X hours) 11.0 Train Employees

12.0 Implement Procedures

13.0 Perform Gap Assessment of PPMS™

Setup an Internal Audit Program 14.0 including IT Controls

15.0 Setup Corrective Action Program

Setup & Implement Management 16.0 Review Program

Begin Pre-Certification Readiness 17.0 Review Audits

Make modifications to PPMS™, organization & procedures as 18.0 necessary to meet certification requirements 19.0 Certification

Est. F i Hours n i

Targete s

Task d Latest e

Task ble al st d

Date team X hours) 1.0 Executive Decides to Proceed CEO NA 1/1/00 1/1/00 1/1/00 X 2.0 Select Project Team & Leader CEO 2 hours 1/2/00 1/2/00 1/2/00 X Send Project Leader or Team to 3.0 CEO 64 hours 1/9/00 1/9/00 1/9/00 X PPMS™ Training Rod, 1/12/0 1/12/0 4.0 Determine Certification Date Sondra, 4 hours 1/12/00 X 0 0 Jill, Joe 5.0 Developing Project Plan Rod, 1/14/0 1/16/0 5.1 Write Draft Project Plan Sondra, 32 hours 1/15/00 X 0 0 Jill, Joe Submit Draft Project Plan to CEO for 1/16/0 1/16/0 5.2 Rod NA 1/16/00 X approval 0 0 6.0 Management Policy Rod, Write Policy Draft & Executive 1/21/0 1/25/0 6.1 Sondra, 16 hours 1/23/00 X Performance Measurements 0 0 Jill, Joe Rod, Review with Dept. Heads (Department 1/24/0 1/28/0 6.2 Sondra, 8 hours 1/25/00 X Performance Measurement) 0 0 Jill, Joe 6.3 Submit Draft to CEO for Approval Rod NA 7.0 Executive Commitment 7.1 Review Project Plan & Approve CEO 2 hours 2/2/00 2/1/00 2/4/00 X 7.2 Review Mgmt Policy & Approve CEO 1 hour 2/3/00 2/1/00 2/4/00 X Brief all employees on Management 2/12/0 7.3 Policy, Project Plan & Certification CEO 2 hours 2/10/00 2/2/00 X 0 Process Develop Documentation - Dept 8.0 Heads (Part 1) Train Dept Heads & key employees on 2/13/0 2/17/0 8.1 Sondra 4 hours 2/14/00 X PPMS™ 0 0 Have Dept Heads review current 2/18/0 8.2 Rod, Jill NA 2/18/00 3/1/00 X Management System (written & verbal) 0 Have Dept Heads compare current 2/19/0 8.3 Management System (written & verbal) Sondra, Jill NA 2/19/00 3/2/00 X 0 with ACA PPMS™ Develop PPMS™ Documentation 9.0 Structure Rod, Develop PPMS™ Structure - Levels of 2/11/0 2/15/0 9.1 Sondra, 32 hours 2/12/00 X Documents 0 0 Jill, Joe 2/15/0 2/17/0 9.2 Develop Documentation Format Rod, Joe 8 hours 2/15/00 X 0 0 2/17/0 9.3 Develop Document Control System Sondra, Jill 8 hours 2/22/00 3/1/00 X 0 Develop Documentation - Dept 10.0 Heads (Part 2) 10.1 Flowchart Processes

©2016 ACA International All Rights Reserved. Page 204 Develop Documentation as decided in 10.2 PPMS™ Structure 10.2.1 Company Manual Procedure (Element 1 - Management 10.2.2 Responsibility) 10.2.2 Develop Record Template to support .1 Element 1 Procedure (Element 2 - Management 10.2.3 System) Procedure (Element 3 - Review Client 10.2.4 Issues) 10.2.4 Work Instructions concerning Element 3 .1 10.2.4 Develop Record Template to support .2 Element 3 10.2.5 Procedure (Element 5 Etc.) 10.2.5 Work Instructions concerning Element 5 .1 10.2.5 Develop Record Template to support .2 Element 5

Targete s

Task d Latest e

Task ble al st d

Date team X hours) 11.0 Train Employees 11.1 Develop Training Plan 11.2 ACA PPMS™ Training ACA Code of Ethics, FDCPA, FCRA and 11.4 HIPAA Training 12.0 Implement Procedures Develop implementation timetable for 12.1 each Department Communicate with all employees concerning implementation timetable, 12.2 responsibilities, re-organization, record keeping, etc. 12.3 Re-organize where required Assign new responsibilities where 12.4 required Begin gathering records according to 12.5 procedures 13.0 Perform Gap Assessment of PPMS™ Setup an Internal Audit Program 14.0 including IT Controls 14.1 Train internal auditors 14.2 Develop first year audit plan 15.0 Setup Corrective Action Program Train all employees on Nonconformance’s (i.e., Nonconformance process, writing 15.1 Nonconformances, corrective action process, corrective action team’s responsibility for closing out, etc.) Decide on date to start writing & 15.2 collecting & logging Nonconformances Begin monitoring & closing out 15.3 corrective action (i.e., effectiveness) Setup & Implement Management 16.0 Review Program Determine Executive Performance 16.1 Measurements from Management Policy Dept. Heads determine Dept. Performance Measurements that will 16.2 support Executive Performance Measurements Dept. Heads begin collecting 16.3 performance data Determine date for first Executive 16.4 Review of Performance Data Begin Pre-Certification Readiness 17.0 Review Audits

Targete s

Task d Latest e

Task ble al st d

Date team X hours) Make modifications to PPMS™, organization & procedures as 18.0 necessary to meet certification requirements 19.0 Certification 19.1 Apply for certification 19.2 Schedule attesting or records by CPA Submit certification records for 19.3 evaluation

 Management Policy - Element 1  Management Responsibility – Management needs to provide a vision, resources to carry out its responsibilities and periodically review its management processes to ensure effectiveness of the management system.

 Management Policy – Management must develop a policy statement. The policy should be focused on client satisfaction, information security, continuous improvement and the prevention of negative impacts on the collection profession. It should consider the needs and expectations of all interested and affected parties (e.g., It is ‘XYZ’ Agency’s policy to improve its competitiveness and profitability by meeting or exceeding client requirements in a timely and cost effective manner.)

 Organization Structure – Management must have a formalized and documented organization structure that will help identify and implement appropriate administrative, technical and physical controls, and mitigate risks. This will also ensure that positions and reporting hierarchy within the organization are established to support effective communication, segregation of duties and issue escalation.  Assessment of Risk – Management should identify threats that could impact strategic, operational, financial and regulatory goals and objectives.

©2016 ACA International All Rights Reserved. Page 209  Oversight and Planning – Management must employ proper oversight and planning of information systems and technical infrastructure to ensure that; IT initiatives and purchases are in support of the business goals and objectives; information systems and technical infrastructure are available, have integrity and protect confidential data. They must also monitor the agency’s performance and accomplishments in support of business goals and objectives.  Hint: You should be able to measure company performance against it.

 See exercise: Analyzing Management Policy Statements (next page)

©2016 ACA International All Rights Reserved. Page 210 Exercise: Analyzing Management Policy Statements (Optional) As a group, discuss the management policy statements below and determine what is good and not so good about each policy statement and why. Hint: You should be able to measure company performance against it.

1 - Management Responsibility Management needs to provide a vision, resources to carry out its responsibilities and periodically review its management processes to ensure effectiveness of the management system.

Management Policy Management must develop a policy statement. The policy should be focused on client satisfaction, information security, continuous improvement and the prevention of negative impacts on the collection profession. It should consider the needs and expectations of all interested and affected parties (e.g., It is ‘XYZ’ Agency’s policy to improve its competitiveness and profitability by meeting or exceeding client requirements in a timely and cost effective manner.)

Company Management Policy A Our mission is to provide our clients and the general public continuously improved debt collection services and ongoing education that maintain ethical and professional standards. By-products of successful application of this philosophy are satisfied customers, motivated employees and a profitable organization.

Company Management Policy B ABC Company is committed to providing excellent collection services as well as maintaining an upstanding role in the community while never forgetting our commitment to customer service.

©2016 ACA International All Rights Reserved. Page 213 Example  It is XYZ Agency’s Management Policy to: - Provide services that conform to requirements (i.e., internal to XYZ and external) - Provide services in a cost effective manner (i.e., while maintaining profitability) - Deliver services in a timely manner - To continually improve customer satisfaction - To continually improve quality (i.e., personnel capability, and process capability) - Maintain data confidentiality and customer information security - Etc.  All the items in the above quality statement can be deployed throughout the organization and are measurable.  This will be important when reviewing the management systems performance. - Management Review Checklist (101-1) ©2016 ACA International All Rights Reserved. Page 214 - Forms Section (PPMS™ Sample Manual) page 6

Company Management Policy A (Good Statement) Our mission is to provide our clients and the general public continuously improved debt collection services and ongoing education that maintain ethical and professional standards, including respecting the confidentiality of customer data. By-products of successful application of this philosophy are satisfied customers, motivated employees and a profitable organization.

The following objectives support the fulfillment of the policy statement: Improved Services: We will identify and improve our weaknesses, and reinforce our strengths using nonconformity tracking and process improvement measurements. Information Security: We will strive to protect the integrity, security and confidentiality of customer data, at all times through continuous education of our employees and through ongoing updates to our information security and technology. Education: We will provide regular education opportunities for our clients and the general public--minimum of quarterly client education sessions and ongoing educational opportunities for employees. Ethical and Professional Standards: We will identify and comply with the highest regulatory and client requirements, track our legal compliance and provide education to our employees Client Satisfaction: We will identify the client needs, set clear targets and measure our achievement against these expectations. Motivated Employees: We will recognize all employees who contribute to the success of the company and measure their motivation through decreased turnover of personnel and ongoing education training and promotion. Profitability: Profit is necessary to meet business objectives and future client expectations.

Company Management Policy B (Not-So-Good Statement) ABC Company is committed to providing excellent collection services as well as maintaining an upstanding role in the community while never forgetting our commitment to customer service.

©2016 ACA International All Rights Reserved. Page 216 Why this doesn’t support the fulfillment of the policy statement: How are they measuring “excellent” collection services, upstanding role in community and a commitment to customer service? This is lacking measurements as well as not addressing legal regulations and ethics.

©2016 ACA International All Rights Reserved. Page 218  Establish and explain the Management Policy  Provide resources to support the PPMSTM Process  Time  Money  People  Technology  Demonstrate Commitment  See that the policy is communicated & understood  See that department performance indicators are tied to the policy statement  Participate in and support PPMSTM  Be a vocal champion  Remove obstacles

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