IT Procurement and Implementation Michigan Department of Human Services

1. IT Procurement and ImplementationMichigan Department of Human Services Stanley Stewart Chief Deputy Director Presented to APHSA September 1, 2009

2. Michigan�s Strategy A Three-Pronged Approach Federal Partnership Business Solution Field Ownership

3. Federal Partnership Planning / Strategy Communication, communication, communication Execution Frequent consistent conference calls Open and straightforward communication Planning / Strategy Communication, communication, communication <Involved the federal partners from the outset> Execution Frequent consistent conference calls Open and straightforward communication <frequent status checks> <asked questions when unsure> <maintained (did not slip) our procurement schedules> <completely open and honest in our approach>Planning / Strategy Communication, communication, communication <Involved the federal partners from the outset> Execution Frequent consistent conference calls Open and straightforward communication <frequent status checks> <asked questions when unsure> <maintained (did not slip) our procurement schedules> <completely open and honest in our approach>

4. Business Solution Planning / Strategy Worker relief Integrated and automated Business needs versus technology Expedited timelines Planning / Strategy Worker relief <high caseloads even before current economic crisis> <workers had to work in 3-7 systems to process cases> Integrated and automated <single entry of data automated eligibility across all programs> <case actions without worker intervention (e.g. sending out redetermination packets)> Business needs versus technology <business needs tantamount> <industry standard technologies> Expedited timelines <procurement process from start to RFP 9 months> <planned 3 major releases, 1st of which was to be implemented in two years> Planning / Strategy Worker relief <high caseloads even before current economic crisis> <workers had to work in 3-7 systems to process cases> Integrated and automated <single entry of data automated eligibility across all programs> <case actions without worker intervention (e.g. sending out redetermination packets)> Business needs versus technology <business needs tantamount> <industry standard technologies> Expedited timelines <procurement process from start to RFP 9 months> <planned 3 major releases, 1st of which was to be implemented in two years>

5. Business Solution Execution Feasibility Study / Alternatives Analysis / Cost Benefit Analysis Request For Information / Request For Proposals Execution Feasibility Study / Alternatives Analysis / Cost Benefit Analysis <combined resources of business, field, technology, and industry experts to meet all of the federal required submissions> <shortened timeframes and lack of large systems experience in the State indicated a transfer or COTS solution was required> Request For Information / Request For Proposals <RFI to determine the state of the art in integrated eligibility systems � 14 respondents> <RFP received 5 proposals>Execution Feasibility Study / Alternatives Analysis / Cost Benefit Analysis <combined resources of business, field, technology, and industry experts to meet all of the federal required submissions> <shortened timeframes and lack of large systems experience in the State indicated a transfer or COTS solution was required> Request For Information / Request For Proposals <RFI to determine the state of the art in integrated eligibility systems � 14 respondents> <RFP received 5 proposals>

6. Field Ownership Planning / Strategy Field Involvement in all aspects of procurement Field leads identified for Implementation Planning / Strategy Field Involvement in all aspects of procurement <recognized early that this would not be a technology lead project, nor a Central Office driven project> Field leads identified for Implementation <large office, small office, urban, rural, dual county experience required> <field liaison and Central Office buffers> Planning / Strategy Field Involvement in all aspects of procurement <recognized early that this would not be a technology lead project, nor a Central Office driven project> Field leads identified for Implementation <large office, small office, urban, rural, dual county experience required> <field liaison and Central Office buffers>

7. Field Ownership Execution RFP 100+ field staff involved throughout procurement State visits, vendor orals, vendor interviews Execution RFP 100+ field staff involved throughout procurement <focus groups to develop RFP requirements> <focus groups to develop usability requirements> State visits, vendor orals, vendor interviews <procurement process had evaluation team travel to 4 states to review 4 solutions with peers in those states> <vendor proposal oral presentations evaluated by field staff> <end user staff participated in vendor proposed team interviews> Execution RFP 100+ field staff involved throughout procurement <focus groups to develop RFP requirements> <focus groups to develop usability requirements> State visits, vendor orals, vendor interviews <procurement process had evaluation team travel to 4 states to review 4 solutions with peers in those states> <vendor proposal oral presentations evaluated by field staff> <end user staff participated in vendor proposed team interviews>

8. Field Ownership Execution Implementation District Manager and 6 Field Managers assigned fulltime 150+ field staff in focus groups, requirements definition 20+ fulltime field testers

9. Critical Success Factors(Lessons Learned) Four Key Critical Success Factors Executive Sponsorship Field Ownership Change Management Technology

10. Executive Sponsorship Daily involvement Key decision making County management / Director accountability

11. Field Ownership Daily conference calls Site visits by Chief Deputy Road shows Clear / frequent communication Issue resolution Emergent ticket process Overtime

12. Change Management Worker skill levels, age Learning curve recognized � 6-9 months Pre/post Implementation training Pre/post Implementation site support

13. Technology Business-oriented, not a technology project System complexity (over-engineering) Conversion and data cleanup Worker interfaces Large monitors Screen layouts / functions

14. Where We Are Today � � A Perfect Storm Struggling economy / auto industry High unemployment Unemployment Insurance benefits running out Increasing caseloads Budget shortfalls Worker stress Bridges deployment