GCS Premier Implementation

1. GCS Premier Implementation Pre-Configuration Questions

2. General Project Information Pre-Configuration Questions

3. General Information • Client Information: • Number of Employees 19 • Offices/Locations CI va bch • Current Software qb • Primary Contacts • Project Lead Neil • Randy – overall – principals; david GM • Project Team Members – donna • IT Support • Target Date for Going Live – april or may?

4. General Information

5. Technical Information • Where is server/software – in-house or hosted? Saas • Who is installing software? • What technical support is needed? • How are you handling Payroll? - Paychex

6. Discuss Processes in GCS Modules • What is your current process – how will we transition?

7. General Project Information General Ledger/Contracts Settings Section 2

8. General Ledger/Contract Settings Summary • Accounting Periods • Divisions • Financial Statement Codes • Indirect Pools • Service Center • Chart of Accounts

9. General Ledger/Contract Settings Summary • Accounting Periods • Corresponds to your Payroll and Billing Cycles • Calendar Month • for semi-monthly and monthly payroll and billing • last Xday of month • for bi-weekly payroll and billing

10. General Ledger/Contract Settings Summary • Accounting Periods • Divisions • 01 for most companies • multiple divisions for advanced pools & revenue

11. General Ledger/Contract Settings Summary • Accounting Periods • Divisions • Financial Statement Codes • lines for accounts on Balance Sheet & Income Stmt

12. General Ledger/Contract Settings Summary • Accounting Periods • Divisions • Financial Statement Codes • Indirect Pools (typical) • 1 = Fringe • 3 = Overhead • 7 = G&A

13. Pools

14. General Ledger/Contract Settings Summary • Accounting Periods • Divisions • Financial Statement Codes • Indirect Pools • Service Center • Facilities allocation between Overhead & G&A • Optional

15. Service Center

16. Chart of Accounts Structure • Designing your Chart of Accounts (COA) • Account Structure is 4 – 3 – 2 • XXXX Main Account Number or Job Number • XXX Sub Account or Task Number • XX Suffix – 00 or direct cost element Suffix is 11, 12, 30, 39-42, 43-56 on Contract accounts (Contracts, B&P, IR&D) Suffix is “00” on non-contract accounts, most balance sheet accounts and indirect expense accounts

17. General Ledger Reporting • Organization Chart • Revenue and Profit • Indirect Costs • Labor Utilization • Timesheet Approvals • Indirect Cost/Indirect Rates • Facilities Allocations (service centers) • Divisions • Departments • Financial Statement Requirements

18. Chart of Accounts • Provides • Account number & Name • Pool or Direct Cost • Financial Statement Code • Division

19. Chart of Accounts

20. Chart of Accounts • Review Current Chart of Accounts • Discuss/propose numbering methods • Retain similar numbers and names where possible • Assets & Liabilities • Indirect Cost Pools • Contract numbering and Suffixes • Contracts • Bid & Proposal (B&P) • Internal Research & Development (IR&D)

21. Chart of Account Suffix

22. Typical GCS PremierDCAA Compliant Chart of Accounts • 01xx Assets • 02xx Liabilities • 03xx Equity • 04xx Fringe/Facilities • 05xx Overhead series • 06xx Overhead series • 07xx Overhead series • 08xx G&A • 09xx Unallowable

23. Financial Cycles • Accounting Periods • Payroll Periods • Timesheet cutoff • Billing Cycles

24. General Ledger Settings Summary

25. General Ledger Settings in Contracts Module

26. EXAMPLE Suffixes for Contract Accounts 11 = AR 12 = Unbilled 30 = Revenue 39 to 42 Direct Labor 43 to 56 Direct NonLabor

27. Suffixes for Contract Accounts

28. Indirect Pools • Pools • Fringe • Overhead (several options) • G&A • Other • Material Handling, Subs Handling, etc • Define the General Ledger accounts in the Pool • Define the Bases

29. Indirect Pools

30. Service Centers - Optional • Used primarily to allocate facilities costs between Overhead and G&A based on square footage • Will assign GL accounts such as Rent, Utilities, Telephone, Depreciation to a service center • At Month End, run Service Center Allocation process • Debit Facilities Allocation to Overhead • Debit Facilities Allocation to G&A • Credits Facilities Service Center Credit Account

31. Service Center

32. Control Accounts for other Modules • Cash Accounts for Bank Reconciliation • Bank Names and Account Numbers • Accounts Payable • Main AP Account • Accounts Payable at Cutover Account • Discount Account • Cash Account for Cash Receipts • Cash Account for Accounts Payable checks • Accrued Salary Account • Main Accrued Salary Account • Accrued Salary at Cutover • Leave Accounts – Accrual and Expense

33. Labor, Leave and Payroll Concepts Section 3

34. Labor Categories • Company Wide Labor Categories • Used for common bidding • May relate to Job titles • LATER, will set up Job Specific Labor Categories which may be different on every job and task

35. Pay Types • Pay Types Examples – R for Regular (straigh time), O for Overtime, etc. • If using outsourced payroll, will want to match to payroll earnings codes

36. Leave Types • Leave Rules from Handbook or Policy Manual

37. Deductions, Contributions and Payroll Taxes • List deductions and calculations • Fixed Amount or % • Pre-Tax? • Limits • List contributions such as company-match 401K • List of States with Tax IDs and unemployment tax rates with limits • Not Required if Payroll is Outsourced – but will need to discuss “dummy payroll” and recording of the payroll journal

38. Deductions

39. Tax info for Payroll

40. Trade Codes (Optional) • Trade codes used for worker’s comp tracking • Sometimes used for union info

41. Employee Numbers • Do you currently use Employee ID numbers? • Do you have employee ID numbers assigned from an outsourced payroll service? • Generally recommend 6 digit numeric, starting with a 1 unless numbers are already assigned • NOTE: if you have subs or consultants, we may set up payroll ids to track their labor costs

42. Timesheet Dates and Pay Days • What is your timesheet cutoff? • What is the start and end day of your timesheet week? • What was the last timesheet and payroll cycle? Note: Setup Pay Periods to work within the Accounting Period

43. Special Coding for Outsourced Payroll • If you use ADP or Paychex • Make the GCS employee IDs match ADP/Paychex IDs • Minimal data in GCS (no SS#, no taxes, no deductions) • Recommend that we do leave calculations in GCS so it exports to Time Collection • Hours recorded in Time Collection – Imported to GCS – computes Gross Pay by employee • GCS Creates an Interface File that can be uploaded • Must record a “dummy check” for issuance of payroll (credit cash, debit payroll tax expense, etc.) • Run a Dummy Payroll in GCS to get leave accruals computed • Will not need the “GL Info Link” set up

44. Contract & Billing Information Section 4

45. Contract Revenue Summary

46. Job Summary Report

47. Contract Numbering Considerations • How do you number your jobs currently? • Do you have a list of jobs with contract value, start and end date, etc. • How are job numbers used on timesheets and other documents? • Do you have jobs with a main contract number with tasks, delivery orders or clins? • Do you have separate funding for labor, travel and materials? • Do you bill G&A on Travel and other direct costs? • Do you want numbering to identify groups of clients, type of work, programs? • Do you need Bid & Proposal numbers?

48. Contract Types & Revenue Recognition • Contract Types • T&M – hours with billing rates • Fixed Price – monthly amounts, milestones, % completion methods • Cost Plus – what % fee; fee ceiling or no fee applied, award fee, fee withholding • Revenue Recognition • Revenue computed and posted independently of Billing • Multiple methods based on Contract Types above

49. Billing • What are the billing cycles on your jobs? • Are you producing billings in Excel? • What do your billings look like – format and what information? • What detail is on your billing? Names, labor categories, travel info? • What is your approval process for sending bills? • What bills do you submit electronically? • Who prepares the billings and when? • Are you using Excel 2007?

50. History for Cost and Billing • Do you have spreadsheets or reports with cumulative billed and by fiscal year? • Do your labor billing rates change with a contract year? • What are your provisional billing rates? • How much cost detail do you have and how much do you want to load in history? • By employee, by labor category, hours and labor cost • Direct Costs plus applied Overhead and G&A • Profit and total revenue or billing amounts