Complex Made Simple

DoF Abu Dhabi to implement Abu Dhabi Government ERP System across 37 government entities by end of October 2014

HE Hamad Al Hurr Al Suwaidi, Chairman of the Department of Finance – Abu Dhabi, (DoF), has announced that 37 local government entities (58 percent of the total number of participating bodies) will be connected to the Abu Dhabi ERP system (ADERP) by the end of October 2014.

According to the Chairman, the number of ADERP system users has now exceeded 15,000, and more than 800,000 transactions, including payments, revenues, procurements, human resource and payroll are being processed through the system each day. HE has also highlighted that the system has processed 427 electronic tenders since its establishment.

HE Al Suwaidi, said: “The system has efficiently managed all financial and non-financial operations, such as human resources, for the Abu Dhabi Government since 2013, with an implementation rate exceeding 50 percent. These figures demonstrate the vital strategic role played by the system in developing Abu Dhabi’s financial infrastructure and frameworks, which will in turn enhance the Government’s financial operations, levels of transparency and its ability to plan, according to accurate data. This contributes to the prosperity of Abu Dhabi and facilitates the sustainable development of the emirate’s economy.”

HE added: “DoF seeks to implement effective financial management, in line with the government’s vision, and an integrated financial system to facilitate the preparation and implementation of the general budget and measure its financial performance. The ADERP system, which has been developed in line with the latest international practices, contributes to the department’s ability to evaluate assets, liabilities and costs, and supports the auditing, transparency and analysis of public spending. The system has also facilitated a shift towards the implementation of an accrual basis system across government entities, as opposed to a cash basis structure, and supported the adoption of a Treasury Single Account, which will promote greater transparency and raise the efficiency and speed of government financial operations.”

DoF has implemented 20 ADERP system modules across all government entities and provided a select number of government bodies with access to additional programmes, to meet their specific operational requirements. These modules facilitate the preparation of reports, the consolidation of financial statements, and the integration of subsystems such as salaries, procurement, human resources and government assets.

DoF plans to hold its second Abu Dhabi Government ERP System Users Forum in November, giving participants an opportunity to review the latest system developments and exchange knowledge and experiences with ADERP system specialists and users from other government entities and bodies.

HE Mohammed Sultan bin Ghanoum Al Hameli, Director General of DoF- Abu Dhabi, has highlighted the positive impact of the system in terms of improving the management of government liquidity and supporting the evolution of the technical infrastructure used to manage local government resources, as well as the development of unified training courses to enhance the financial, accounting and administrative skills of employees. The department has trained thousands of users through 182 workshops.

The ADERP system also represents significant cost-savings. The implementation of one unified platform costs 88 percent less than the investment required to develop and operate a different system across each government entity.

DoF has recently signed a three-year memorandum of understanding (MoU) with Oracle, giving the department unlimited use of Oracle’s database and products. The MoU will enable DoF to expand the capabilities of its data center, to offer faster and more cost-effective services which are in line with international standards and practices.

The MoU was signed by HE Mohammed Sultan bin Ghanoum Al Hameli, Director General of DoF, on behalf of the department. HE Al Hameli highlighted the department’s role in developing new technologies to enhance the management of government resources at the lowest possible costs, as well as its commitment to enhance collaboration with local government bodies to improve accuracy and transparency.

HE said: “DoF seeks to promote sustainable economic and financial growth within the emirate of Abu Dhabi by adopting best practices and global standards in the tasks entrusted to it. The MoU signed with Oracle reflects our commitment to support local government entities by providing the best technology solutions for the management of shared government resources, which will in turn contribute to meeting Abu Dhabi Government’s strategic objectives and enhancing the emirate’s status on a global level.”

Abdul Rahman Al Thehaiban, Vice President, Oracle – Middle East & Africa, said: “Oracle’s strategy is to support customers in simplifying their IT infrastructure, as IT complexity poses a serious obstacle to achieving growth and innovation, and also increases the cost of ownership. This memorandum represents a strong commitment between Oracle and the Department of Finance- Abu Dhabi, to streamline financial practices. This agreement also enables the department to free up its resources, and add more value to the entities it serves. These goals can be achieved through using the latest technologies, including cloud computing, which are considered global best practices in the field of financial management.”

DoF recently attended the Oracle Open World Conference 2014 to gain insight into the latest government service information technologies.

The ADERP system offers various benefits to government entities, which will increase productivity and improve the quality of government services. These include:
•Reducing the bank reconciliation process from 10 days to one day
•Reducing the closure of annual operations period from 4 months to 1.5 months
•Reducing the budget implementation process from three months to one month.
•Reducing the payables period from 45 days to 3 days
•Reducing the purchasing cycle from 7 days to 1 day
•Reducing the registration of suppliers process from 5 days to 1 day
•Reducing the payroll process time from 15 days to 2 days
Reducing the process of employee enrollment from 4 months to 1 month
•Reducing the issuance of salary certificates from 3 days to on-the-spot

As part of its mission to develop its electronic systems and services in line with the latest e-government and smart initiatives, DoF has modernised its servers to increase system speed and strengthen information security applications to safeguard systems against any potential threats. The department is also going to develop a mobile smartphone application which enables employees to review HR department processes and allows contractors to follow-up on the status of tenders.

DoF’s Military Pension Division also provides leading electronic services that allow retired military officials and their beneficiaries to review monthly pension details, and conduct detailed reviews of their pension and related settlements. The Division also offers a direct respond service which provides clear and quick answers to customer enquiries. DoF has also developed two mobile applications for customs employees. One allows staff members to review customs seizures, whilst the other enables them to check the status of any inspections.