Proposed DoD Financial Management Professional Certification Program

1
Proposed DoD Financial Management Professional
Certification Program Presented to the ASMC
Audio Conference
DoD Financial Workforce Management Office
October 13, 2011
2
Agenda

• Goals and approach
• Program specifics Level 1, 2, 3
• Competencies
• Alignment of competencies
• Major Next Steps
• Way ahead
• Challenges
• Conclusion

3
Key Goals for Senior Working Group

• Establish a framework for FM development
• Establish a mechanism to encourage key training
• Auditable Financial Statements
• Decision Support/Analysis
• Encourage career broadening and leadership
• Make recommendations to USD(C) and Service FMs,
  Defense Agency FMs

4
Overall Approach

• Mandatory Program for DoD FM Civilians and
  Military
• Awaiting Congressional authorization
• Applies by Level to each position POSITIONS
  will be CODED as Level 1, Level 2 or Level 3
• Certain courses and experience required
• Waivers only with approval of Service FM or
• Agency FM (limited delegation)

5
Developing the Program Specifics

• Based on FM and Leadership Competencies
• 23 OSD Enterprise FM Competencies
• Selected FM and Leadership Competencies and
  Proficiency Levels at each Certification Level
• Details developed with experienced personnel
• Continued coordination with USD (PR)

Foundation Built on DoD FM Competencies
6
Draft FM Competencies, as of 9/8/2011
Financial Management Systems
Decision Support
Financial Stewardship
Financial Management Analysis
Financial Concepts, Policies and Principles
Financial Reporting
Fundamentals Operations of Finance
Financial Management Reporting Analysis
Advanced Financial Concepts
Accounting Analysis
Accounting Concepts, Policies and Principles
Fundamentals Operations of Accounting
Budget Concepts, Policies and Principles
Budget Execution
Fundamentals Operations of Budget
Budget Formulation, Justification Presentation
Commercial Pay Concepts, Policies and Principles
Payroll Concepts, Policies and Principles
Fundamentals Operations of Military Civilian Pay
Audit Concepts, Policies and Principles
Audit Planning and Management
Decision Support - Audit Execution
Audit Reporting
7
Alignment of the 05XX Occupational Series with FM
Competencies
Competency Financial Stewardship Fin Mgt Systems Decision Support Fin Mgt Analysis Financial CPP Financial Reptng Fund Opns of Finance FM Reptng Analysis Advanced Financial Management
Occupation Series                
501 Financial Administration and Program X X X X X X      
503 Financial Clerical and Assistance X X         X    
530 Cash processing X X         X    
505 Financial Manager X       X      X X
599 Financial Student Trainee X X X  X X X      

Competency Financial Stewardship Fin Mgt Systems Decision Support Accounting Analysis Accounting CPP Financial Reptng Fund Opns of Accntng
Occupation Series            
510 Accounting X X X X X X  
525 Accounting Technician X  X   X   X

Competency Financial Stewardship Fin Mgt Systems Decision Support Fin Mgt Analysis Budget CPP Budget Execution Fund Opns of Budget Budget Form, Justn Pres
Occupation Series              
560 Budget Analysis X X X X X X   X
561 Budget Clerical and Assistance X X     X   X  

Competency Financial Stewardship Fin Mgt Systems Accounting CPP Comm Pay CPP
Occupation Series      
540 Voucher Examining X X X X

Competency Financial Stewardship Fin Mgt Systems Payroll CPP Fund Opns of Mil Civ Pay
Occupation Series      
0544-0545 Civilian and Military Pay X X X X

Competency Financial Stewardship Audit CPP Audit Planning Mgt Decision Support --Audit Execution Audit Reporting
Occupation Series
0511 Auditing X  X X X X
23 FM Competencies Cover All 13 FM Occupational
Series
Financial Stewardship Fin Mgt Systems Decision Support Fin Mgt Analysis Financial CPP Financial Reptng Fund Opns of Finance FM Reptng Analysis Advanced Financial Management Accounting Analysis Accounting CPP Fund Opns of Accntng
Budget CPP Budget Execution Fund Opns of Budget Budget Form, Justn Pres Comm Pay CPP Payroll CPP Fund Opns of Mil Civ Pay Audit CPP Audit Planning Mgt Decision Support --Audit Execution Audit Reporting
8
FM Certification Equation Level 1
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
FM Competencies Financial Management Systems
FM Competencies Decision Support
FM Competencies Competency in Fundamentals and Operations of X Accounting, Budget, Finance, etc
Hours

Leadership Competencies Lead Self
Courses, TBD
Courses, TBD
Hours

FM 101 Course
Hours

At Least 2 Yrs DoD FM Experience
Time in Job
40 CEU/CPE every two years
FM Certification Level 1
Proficiency Level 1
9
FM Certification Equation Level 2
FM Competencies Financial Management Systems
FM Competencies Decision Support
FM Competencies Concepts, Policies and Principles of X
FM Competencies Budget Formulation, Justification and Presentation
FM Competencies Accounting Analysis OR Financial Mgt Analysis
FM Competencies Fundamentals and Operations of Y Accounting, Budget, Finance, etc
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
Hours

Courses, TBD
Courses, TBD
Leadership Competencies Lead Teams
Hours

Audit Readiness Course
Fiscal Law Course
Hours

At Least 4 Yrs DoD FM Experience
Time in Job

60 CEU/CPE every two years
At Least One 3-month Developmental Assignment
(Recommended)
Time in Job
FM Certification Level 2
Proficiency Level 1 Proficiency Level 3
Recommended Work towards Bachelors Degree
Recommended Completion of one of the
DoD-approved Test-Based Certification Programs

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Test-Based Certifications
Recommended by the DoD FM Certification Senior Working Group
1 Accredited Business Accountant (ABA)
2 Certified Accounts Payable Professional (CAPP)
3 Certified Payroll Professional (CPP)
4 Accredited in Business Valuation (ABV)
5 Certified Business Manager (CBM)
6 Certified Forensic Accountant (Cr.FA)  
7 Certified Quality Auditor
8 Forensic Certified Public Accountant
9 Certified in Financial Forensics (CFF)
10 Certified Cost Estimator/Analyst (CCE/A)
11 Certified Fraud Examiner
12 Certified Government Audit Professional (CGAP)
13 Certified Government Financial Manager (CGFM)
14 Certified Information Systems Auditor (CISA)
15 Certified Internal Auditor (CIA)
16 Certified Management Accountant (CMA)
17 Certified Public Accountant (CPA)
18 Certified Treasury Professional (CTP)
19 Certified Defense Financial Manager (CDFM)
20 Certified Cost Consultant (CCC)
11
FM Certification Equation Level 3
FM Competencies Financial Management Systems
FM Competencies Decision Support
FM Competencies Budget Formulation, Justification and Presentation
FM Competencies Accounting Analysis AND Financial Mgt Analysis
FM Competencies Advanced Financial Management
FM Competencies Concepts, Policies and Principles of Y
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
Courses, TBD
Hours

Courses, TBD
Courses, TBD
Hours
Leadership Competencies Lead people

Audit Readiness Course
Fiscal Law Course
Hours

At Least 6 Yrs DoD FM Experience
Time in Job

80 CEU/CPE every two years
At Least One Developmental Assignment
Time in Job
Proficiency Level 3 Proficiency Level 5
Higher Proficiency Level Course
FM Certification Level 3
Strongly Recommended Work towards Masters
Degree Strongly Recommended Completion of one
of the DoD-approved Test-Based Certification
Programs
12
Amount of Course/CEU Requirements

• Level 1 About 40-80 course hours in FM and
  Leadership related areas 40 CEU/CPE every two
  years
• Level 2 About 50-100 course hours in FM and
  Leadership related areas 60 CEU/CPE every two
  years
• Level 3 About 50-100 course hours in FM and
  Leadership related areas 80 CEU every two years
• For Reference DAWIA course requirements
• Level 1 105 hrs Level 2 198 hrs Level 3 71
  hrs
• 80 CEU every two years for all Levels

13
Major Next Steps

• Scope (Estimated number of FM Civilian positions)
• Level 1 4,500
• Level 2 33,000
• Level 3 10,000
• Note Estimated 10,000 FM Military positions not
  included
• Major actions which must be accomplished in order
  to launch the Program
• Positions coded (Level 1, 2 or 3)
• Learning Management System (LMS) in place
• Coordinated with Defense Civilian Personnel Data
  System (DCPDS) and HR community

14
Options for Phasing

• Option 1 All 3 Levels at once all
  Components/Organizations
• Option 1A All 3 Levels at once Selected
  Organizations
• Option 2 Level 1 only all Components/Organizati
  ons
• Option 2A Level 1 only Selected Organizations
• Option 3 Level 2 only all Components/Organizati
  ons
• Option 3A Level 2 only Selected Organizations
• Option 4 Level 3 only all Components/Organizati
  ons
• Option 4A Level 3 only Selected Organizations

All favor some type of pilot program and fixed
periods for implementation Recommend a goal for
full implementation
15
Communications Approach

• Significant leadership involvement
• Possible mechanisms
• Video (one for each MILDEP with USDC and FM
  
• one for DFAS/DCAA with USDC and Director
  
• one for Agencies)
• Speeches
• Comptroller Magazine
• Audio Conferences to answer questions
• FM Online
• Professional organizations

16
Way Ahead Near Term
Task Projected Date
Align Courses to Competencies August October 2011
Final Leadership Approval November 2011
Develop DODI and DODD 2011 (for coordination) March 2012 (issue)
NDAA Language Ongoing
Communications and Marketing Calendar 2012
Complete FM 101 Course July 2012
Code Positions January June 2012
Establish Learning Management System (LMS) January June 2012
Implementation of Major Pilots By October 2012
17
Way Ahead Longer Term
Task Projected Date
Begin Phased Implementation January 2013
Full Implementation March 2014
18
Challenges

• Marketing to FM leaders and career fields
• Funding Strategy
• Alignment of Courses to Competencies
• Learning Management System (LMS) required to
  track
• Certification requirements
• Several Components have an LMS
• Need to leverage these capabilities in
  implementing a DoD
• system
• Costs need to include cost for personnel at the
  Component
• level to administer the LMS
• Coding of Position Descriptions

19
Conclusion

• The Proposed DoD FM Certification Program
• Focuses on DoD Audit Readiness and on Analytics
• Provides a certification framework for the 58,000
  people doing DoD financial management
• Level 1, 2, 3 tied to experience in financial
  management
• Gives the FM workforce a recognized body of
  knowledge
• Uses existing courses (mapped to competencies)
  where possible
• Develops expertise standards using DoD-wide
  competencies
• Encourages college degrees and test-based
  certifications

Making a Good FM Workforce Better
20
Questions?
21
Additional Charts
22
Senior Working Group Composition
Senior Working Group Chair Sandra Gregory,
OUSD(C) FWM

• Adjunct Members

• Members

Name Component
Jessielyn Cameron Army
Terry Placek Army
Bill Rone Air Force
Frank Donnelly Air Force
Jami Murray Department of Navy (DON)
Lorraine Williams Department of Navy (DON)
Steve Turley Defense Logistics Agency (DLA)
Dr. Pamela Clay Defense Information Systems Agency (DISA)
Robin Gregory Defense Information Systems Agency (DISA) (alternate)
Pat Beckerle Defense Finance and Accounting Service (DFAS)
Jackson Muller Defense Contract Audit Agency (DCAA)
Name Component
John Ruoff Office of General Counsel (OGC)
Dr. John Dill Civilian Personnel Management Service (CPMS)
David Rude Civilian Personnel Management Service (CPMS) (Alternate)
Sharon Jackson OSD (ATL)
Dr CJ LaCivita Dr Francois Melese Defense Resource Management Institute (DRMI)
Lashunda Lewis Defense Finance Management Comptroller School (DFMCS)
David Berg Army Defense Comptrollership Program, Syracuse
COL Clay Army Financial Management School, Ft. Jackson
Garry Shafovaloff Defense Acquisition University
Adrienne Ferguson CFO Academy
23
Test-Based Certifications
Recommended by the DoD FM Certification Senior Working Group
1 Accredited Business Accountant (ABA)
2 Certified Accounts Payable Professional (CAPP)
3 Certified Payroll Professional (CPP)
4 Accredited in Business Valuation (ABV)
5 Certified Business Manager (CBM)
6 Certified Forensic Accountant (Cr.FA)  
7 Certified Quality Auditor
8 Forensic Certified Public Accountant
9 Certified in Financial Forensics (CFF)
10 Certified Cost Estimator/Analyst (CCE/A)
11 Certified Fraud Examiner
12 Certified Government Audit Professional (CGAP)
13 Certified Government Financial Manager (CGFM)
14 Certified Information Systems Auditor (CISA)
15 Certified Internal Auditor (CIA)
16 Certified Management Accountant (CMA)
17 Certified Public Accountant (CPA)
18 Certified Treasury Professional (CTP)
19 Certified Defense Financial Manager (CDFM)
20 Certified Cost Consultant (CCC)
24
DRAFT CONCEPTUAL FRAMEWORK (1 of 3)
Level 1 Level 2 Level 3
FM Competencies Financial Management Systems Decision Support (Cost Analysis) Fundamentals and Operations of (to include the importance of Costing) Select One Track Financial Management Systems Decision Support (Cost Analysis) Budget Formulation, Justification and Presentation Accounting Analysis OR Financial Management Analysis Financial Management Systems Decision Support (Cost Analysis) Budget Formulation, Justification and Presentation Accounting Analysis AND Financial Management Analysis Advanced Financial Management
FM Courses FM 101 (Pre-requisite) Introduction to DoD Finance Accounting Budget Audit Analysis/Decision Support PPBE Fiscal Law Cost Analysis Acquisition (Contracting) Ethics Integration of all of the above relevant to achieving Auditability Other Aligned courses TBD Other Aligned Courses, such as Audit Readiness - FIAR Fiscal Law Defense Fin Mgmt Course DFMCS Defense Decision Support Course DFMCS Intro to Earned Value Management - DAU Acquisition Reporting Concepts Policy Requirements - DAU DON Practical Comptroller Course - DON Planning, Programming Budget Execution - Army GAGAS DCAA FM Staff Officer Course AF Other Aligned Courses, such as Audit Readiness - FIAR Fiscal Law Senior Resource Managers Course Army Budgeting Congressional Relations for Strategic Leaders CFO Academy Multi Criteria Decision Making - -DRMI Senior Auditor School Army Organizational Effectiveness for Cost Managers - DON
Analysis
Analysis
Analysis
Accounting
Analysis
X
Concepts, Policies and Principles of
Finance
Budget
Mil/Civ Pay
Concepts, Policies and Principles of
Y
Y
Fundamentals and Operations of
Audit Readiness
Audit Readiness
NOTIONAL
Multi Criteria Decision Making

Analysis/Decision Support
Senior Auditor School
Cost Analysis
GAGAS
Auditability
Foundation Built on DoD FM Competencies
25
DRAFT CONCEPTUAL FRAMEWORK (2 of 3)
Level 1 Level 2 Level 3
FM Experience 2 Years Experience 4 Years Experience 6 Years Experience
Other Functional Experience None Explore the opportunity for one Developmental Assignment (at least 6 months) within the Component within an alternate FM track or FM area Required At least one Developmental Assignment (at least 6 months) preferred outside of FM
Education Desired Work towards completion of Bachelors Degree Recommended Work towards completion of Bachelors Degree Strongly Recommended Work towards completion of Masters Degree
CPE/CEU 24 Hours every two years 48 Hours every two years 80 Hours every two years
Test-Based Certifications Not Applicable Recommended Completion of one of the DoD-approved Certification Programs Strongly Recommended Completion of one of the DoD-approved Certification Programs
Foundation Built on DoD FM Competencies
26
DRAFT CONCEPTUAL FRAMEWORK (3 of 3)
Level 1 Level 2 Level 3
Leadership Competencies Lead Self Flexibility Resilience Continual Learning Service Motivation Computer Literacy Integrity/Honesty Customer Service Problem Solving Technical Credibility Interpersonal Skills Oral Communication Written Communication Mission Orientation Lead Teams Team Building Accountability Decisiveness Influencing/Negotiating DoD Mission and Culture Lead People Human Capital Management Leveraging Diversity Conflict Management Developing Others DoD Corporate Perspective National Security Perspective
Leadership Courses Communication Skills-Web Based Listening and Feedback Skills-Web Based DoD Acculturation Course Civilian Education System (CES) basic Decision Making for Government Leaders CES intermediate Leading the 21st Century Workforce Individual Diversity-Web Based Supervisor Development Course Organizational Culture for Strategic Leaders Group Development-Web Based Leader as Coach National Security Studies Managers Development Course CES - advanced
NOTIONAL
Foundation Built on DoD FM Competencies
27
Broadening Conceptual View
Level 3
Concepts, Policies and Principles of
Advanced Financial Management Competency
SECONDARY SPECIALTY
Level 2
Fundamentals and Operations of
Concepts, Policies and Principles of
SECONDARY SPECIALTY
PRIMARY SPECIALTY
Level 1
Fundamentals and Opns of
PRIMARY SPECIALTY
28
Level 2

• Financial Management Systems
• Financial Stewardship
• Decision Support (Cost Analysis)
• Budget Formulation, Justification and
  Presentation
• Accounting Analysis OR Financial Management
  Analysis
• Concepts, Policies and Principles of
• Fundamentals and Opns of Different Specialty
  from CPP

Accounting
Finance
Budget
Mil/Civ Pay
PRIMARY SPECIALTY

SECONDARY SPECIALTY

29
Level 3

• Financial Management Systems
• Financial Stewardship
• Decision Support (Cost Analysis)
• Budget Formulation, Justification and
  Presentation
• Accounting Analysis AND Financial Management
  Analysis
• Advanced Financial Management
• Concepts, Policies and Principles of

SECONDARY SPECIALTY
30
Sustain Career Series Workforce Size
DoD FM (5XX) Workforce Size

• Analysis of Trends
• No growth in 1st 3 Quarters of FY11.
• Workforce is expected to remain stable during
  the remainder of the FY, unless un-forecasted
  migrations from other non-FM Occupation Series
  occur.
• The FM Workforce is augmented with approximately
  200 Operations Research Analysts (1515s) that
  perform cost analysis based functions throughout
  the Department (not reflected on charts)
• FY 2011 Goal
• No further declines from FY 2008 baseline
• Result/Score
• No declines

Source www.fedscope.gov and Components Input
to FY 10 Environmental Forecast, September 2011
Achieving a Stable FM Workforce Size
31
Staff the FM Workforce
DOD 5XX Workforce Staffing

• Analysis of Trends
• Through 2QFY11, Gains and Losses are balanced
• On-going challenges include
• - Anticipating the rate of losses when the
• economy improves
• - Anticipating the effect of budget pressure
  on
• DoD
• - Understanding gaps and vacancies
• FY11 Goal
• Expect staffing Gains to keep pace with any
  staffing Losses.
• Result/Score

Source of information www.fedscope.gov,
accessed September , 2011
Current Staffing Trends are Keeping Pace with
Vacancies
32
Increase FM Workforce Credentials
of FM Civilian Workforce with
Professional Certifications or Degrees

• Analysis of Trends
• Continued emphasis on FM certifications is
• achieving results
• Occupation Series with positive education
• requirements (0510 (Accountant) and 0511
• (Auditor)) have 80-95 Bachelor Degree
• personnel and pull up all of 05XX
• Percentage of Advanced Degree holders is
• stable
• FY11 Goal
• A steady increase in the number of degreed and
  credentialed FM employees (baseline FY06)
• Result/Status

Sources of Estimates Certifications
Components Input and the American Society of
Military Comptrollers, April 2011 Education
DMDC Report, May 2011
G
FM Workforce Credentials Generally Increasing
33
DOD FM Workforce(By Mission Critical Series /
Length of Service)
MCO Workforce as of 2d QTR FY11

• Analysis of Trends
• Recruitment initiatives are being pursued to
  maintain the strength of the FM Mission Critical
  Occupations
• The FM community is exploring options to
  maintain the workforce and to eliminate the sharp
  decline in staffing within the initial 10 years
  of employment
• FY11 Goal
• To limit decline in FM Workforce within initial
  10 years of employment and not to decrease from
  2nd Qtr FY10 levels
• Result/Status
• No Decline increase of 2,154 with 0-9 Years
  Service (from 2d Qtr FY10)

Length of Service (Years)
Source of information www.fedscope.gov,
accessed September, 2011
Focus on Our FM Workforce