5500 Reporting New Proofed


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5500 Reporting New Proofed

  1. 1. Form 5500 Support Services<br />1<br />
  2. 2. Form 5500 Support<br />High Level Needs<br />Form 5500 preparation has become more complex and plan sponsors must rely on 5500 data for fiduciary oversight regarding fees and expenses. Because of this, service providers must ramp up in the following ways: <br />Develop functionality to incorporate input from multiple sources<br />Ensure data quality and maintenance<br />Identify all data sources, understand the implications of the information disclosed to participants and validate the quality and reasonableness of this information<br />Determine client requirements and service support needs<br />Educate clients so they are prepared to comply with changes and fulfill their responsibilities. <br /> These new dynamics place new demands and costs on service providers who are already pressed to achieve and maintain profitability and customer loyalty. <br />Enterprise Iron has the expertise, resources, experience and processes to help you: <br />Meet your legal obligations<br />Choose from outsourcing solutions, process improvement solutions, or supplemental staffing solutions<br />Work with and communicate with your clients to maintain their cooperation and retain their loyalty<br />Ensure that you have access to the most effective, automated, process in place to minimize on-going costs, and maintain, report on, and retrieve data in a high quality systematic manner<br />Supplement your staff with Enterprise Iron experts to assist in completing immediate deliverables and leverage this experience during long-term improvement efforts. <br />High Level Benefits<br />2<br />
  3. 3. Service Options<br />Enterprise Iron brings its expertise with multiple recordkeepers in assisting and managing 5500 activities to our suite of services.<br />Outsourcing Services<br />Supplementary Staff<br />Process Improvement Engagements<br />Enterprise Iron offers a full range of outsourcing solutions that range from:<br /><ul><li>Full-service total outsourcing
  4. 4. Operational outsourcing
  5. 5. Full array of specific processes and services that can be purchased a la carte.</li></ul>You can utilize Enterprise Iron’s expert staff on-site to assist you with:<br /><ul><li>Manual processing
  6. 6. Data clean-up
  7. 7. Platform installations and upgrades
  8. 8. Data warehouse development or integration</li></ul>Enterprise Iron’s consulting experts can help you improve internal processes and controls to better manage quality and costs:<br /><ul><li>Business process improvement
  9. 9. Technology platform improvements
  10. 10. Data management enhancements and integration</li></ul>3<br />
  11. 11. Outsourcing Services<br />Enterprise Iron offers three types of outsourcing designed to fit your unique needs<br />4<br />
  12. 12. Full Service Outsourcing Services<br />Our full-service outsourcing solutions offer you freedom from worry about on-going regulatory reporting requirements, offer you and your clients an expertly prepared and validated set of regulatory reports and audit support, and offer electronic filing and archival of all documents for future reference.<br /><ul><li>Manage customer data requests
  13. 13. Design and manage customer and internal training
  14. 14. Design, manage, and distribute all customer outputs
  15. 15. Manage customer and auditor call center support
  16. 16. Manage customer website content and archival processes</li></ul>Communications Support<br /><ul><li>Beginning balances
  17. 17. Last year’s certified statements and 5500 reports
  18. 18. Current year transactions and account history
  19. 19. Client demographic data
  20. 20. Separately held assets
  21. 21. Pre-conversion data
  22. 22. Validate data between history and certified financial statements
  23. 23. Provide correcting entries to either history or financial statements
  24. 24. Produce all 5500 schedules and audit package
  25. 25. File 5500 via eFAST2
  26. 26. Create archival records
  27. 27. Post reports and schedules to client website</li></ul>Data Gathering<br />Data Validation and Reporting<br />5<br />
  28. 28. Operational Outsourcing Services<br />Our operational outsourcing solutions offer you the opportunity to outsource cumbersome back-office processes and platforms while maintaining customer contact points internally. <br /><ul><li>Beginning balances
  29. 29. Last year’s certified statements and 5500 reports
  30. 30. Current year transactions and account history
  31. 31. Client demographic data
  32. 32. Separately held assets
  33. 33. Pre-conversion data
  34. 34. Validate data between history and certified financial statements
  35. 35. Provide correcting entries to either history or financial statements
  36. 36. Produce all 5500 schedules and audit package
  37. 37. File 5500 via eFAST2
  38. 38. Create archival records
  39. 39. Post reports and schedules to client website</li></ul>Data Gathering<br />Data Validation and Reporting<br />6<br />
  40. 40. A la Carte Outsourcing<br />Any of our outsourcing services can be purchased on an a la carte basis should you need specialized processing for certain components of your regulatory compliance reporting activity.<br />And, any of our solutions can be private labeled and customized to your unique needs and situation.<br />Examples of our a la carte services:<br /><ul><li>Collection of Prior Year’s data
  41. 41. Collection of client data from plan sponsors
  42. 42. Data validation and corrections
  43. 43. Preparation of Reports and Schedules
  44. 44. Creation of Audit packages or Support for Auditors
  45. 45. Creation of Client Communications Materials
  46. 46. Creation and execution of training programs</li></ul>7<br />
  47. 47. Our Outsourcing Process<br />Our outsourcing services can be performed in different ways depending on your unique needs.<br />Our systems or Yours<br />Our site <br />or Yours<br />If you choose to utilize our Enterprise Iron site, we have developed our offices in Iselin, NJ as our first processing center. <br />Facility<br /><ul><li>Iselin, NJ
  48. 48. 24 hour manned security
  49. 49. Access Control with card readers
  50. 50. CCTV & Internet TV
  51. 51. Video conferencing facilities
  52. 52. Currently occupying 200 seats across 15,000 sq. ft.
  53. 53. Networked for Data and Voice </li></ul>Security<br /><ul><li>Restricted access to server room
  54. 54. Server Monitors are kept in a separate area from the physical server
  55. 55. Training on privacy and security norms
  56. 56. Use encryption for transmission
  57. 57. Background checks performed on all personnel
  58. 58. Authorized Personnel (Employees) have signed strict confidentiality agreements
  59. 59. Every sub-contractor, when engaged, are bound by all the above guidelines</li></ul>Network<br /><ul><li>High performance Network and Communication facilities with built-in redundancies
  60. 60. High availability of Internet connectivity is provided through multiple ISPs and redundant last mile connectivity through Verizon cables and Radio connectivity
  61. 61. T1 links from Iselin office to Client office
  62. 62. Client’s facilities can also be connected using VPN Tunnel
  63. 63. Communication equipment configured with multiple power supply, CPU and network interfaces</li></ul>Routers – CiscoRouters<br /><ul><li>Firewall - High performance firewalls configured in Active / Active High Availability Mode
  64. 64. Switches – High Performance layer 3 switches with built in redundancy
  65. 65. Cabling – Optic fiber backbone and Structured Cabling
  66. 66. All voice equipment is provided with multiple CPUs and powersupplies </li></ul>Servers<br /><ul><li>Dell Multiple CPUs, RAID-5, power supplies, multiple NICs
  67. 67. Oracle and SQL Server </li></ul>Desktops - HPs <br />8<br />
  68. 68. Our Outsourcing Tools and Techniques<br />Enterprise Iron has developed a series of proprietary tools and techniques to make our outsourcing and client support services both efficient and flexible so that we can customize solutions for you.<br />Data Tools<br />Data Exchange Methodologies<br /><ul><li>Receipt of data from your internal systems
  69. 69. Receipt of data from external sources including clients, trustees, and investment managers
  70. 70. Proprietary customized data validation routines
  71. 71. Flexible correcting transactions and entries
  72. 72. Electronic filing of 5500 reports via EFAST2</li></ul>Data Storage and Retrieval<br /><ul><li>Proprietary data warehouse and data mart
  73. 73. Proprietary archival and retrieval tools
  74. 74. Complete workflow and imaging platform
  75. 75. Client web access to reports and audit support documents</li></ul>Client Support Tools<br />Client Data Collection<br /><ul><li>Full support of client data collection and quality review</li></ul>Client Training and Support<br /><ul><li>Complete web and collateral based client training tools, along with a full service call center and client web site </li></ul>Auditor Support<br /><ul><li>Specialized reporting and query tools for auditors</li></ul>Client Communications<br /><ul><li>Full suite of client communications tools for data gathering, status reporting, filing notifications, and archive retrieval as well as downloads to provider’s web sites and report archives</li></ul>9<br />
  76. 76. Supplemental Staffing<br />Enterprise Iron has a long history of offering expert staff to supplement your internal resources. We have a successful track record of support in all areas of compliance, including 5500 support. Some examples of our areas of expertise include:<br />Auditors and Quality Assurance Staff<br />Data Validation and Correction Experts<br />Annual Reporting Experts<br />Client and Auditor Call Support<br />Client Communications Specialists and Trainers<br />5500 Reporting and Schedules Experts<br />10<br />
  77. 77. Process Improvement Services Overview<br />Short Term Objectives<br />Long Term Objectives<br /><ul><li>Formulate a series of recommended end-state solutions, designed to efficiently meet annual 5500 reporting in the most cost –effective manner
  78. 78. Review 5500 reporting and data needs relative to needs for other functions such as certified annual reports and annual compliance testing
  79. 79. Recommend integration and leverage points that can be used to improve quality, eliminate duplicative data sources, and more efficiently integrate technology solutions across typical “ancillary” platforms
  80. 80. Review and recommend platform upgrades and changes
  81. 81. Design and implement platform and process improvement changes
  82. 82. Review client engagement and communications programs for opportunities to mitigate risks and increase loyalty
  83. 83. If necessary, design enhancements to communications programs, client training programs, and client support materials
  84. 84. Review and assess training and communications programs for front line staff handling client data, client reporting, and client compliance and audit support
  85. 85. Recommend improvements in line with business needs and industry best-practices
  86. 86. Identify intersection and integration points with key client channels such as the plan sponsor web-site to maximize client efficiency
  87. 87. Assess business risks associated with current 5500 production processes, data sourcing, and workflows and recommend short term and long term mitigants
  88. 88. Document current 5500 production practices and work flows to facilitate future automation, and create an institutional body of knowledge
  89. 89. Recommend and design improvements that can be implemented to increase accuracy and efficiency in meeting 5500 reporting obligations over the next 18 months</li></ul>Meet Obligations<br />Manage Client Relationships<br />Manage Costs and Quality<br />11<br />
  90. 90. Form 5500 Services Approach<br />Assessment<br />Our approach consists of three distinct phases that build upon each other to achieve an end-state designed to meet your business objectives, both short and long term.<br />Analysis and Design<br />Build-out and Implementation<br />Our 3 phase process improvement approach can be enhanced by utilizing Enterprise Iron expert resources to assist with completing any current backlogs associated with 5500 preparation and production during implementation. <br />
  91. 91. Assessment Phase<br />Areas of Review<br /><ul><li>Client communications and reporting
  92. 92. Compliance and legal policies, platforms, and procedures
  93. 93. Operations and services practices
  94. 94. Fees and commission calculations, reports, and disclosures
  95. 95. Technology and architecture
  96. 96. System and web interfaces
  97. 97. Self-directed brokerage
  98. 98. Special asset handling
  99. 99. Fund trading and accounting
  100. 100. Audit and control quality reviews
  101. 101. 5500 preparation process
  102. 102. Data sourcing, controls, validation and storage
  103. 103. Data integrity
  104. 104. Financial aggregation for 5500 purposes
  105. 105. Integration with annual plan reporting
  106. 106. Data adjustment and financial re-classification
  107. 107. System and web interfaces
  108. 108. Workflow practices</li></ul>Deliverables<br />Typical Timeline<br /><ul><li>Documented initial evaluation
  109. 109. Risk/benefits identification
  110. 110. Options/alternative solutions overview
  111. 111. Impact overview
  112. 112. Recommendations
  113. 113. Analysis and design phase plan
  114. 114. Week 1 – Arrange project events and schedule interviews
  115. 115. Week 2 - 4 - Conduct interviews, review existing documentation and any initiatives in motion
  116. 116. Week 5 – 7 – Formulate deliverables and socialize concepts
  117. 117. Week 8 – Present final deliverables</li></ul>13<br />
  118. 118. Analysis and Design Phase<br />Analysis and Design Objectives<br />Key Impact Areas<br /><ul><li>Design operational workflow diagram of future state processing
  119. 119. Design client education framework
  120. 120. Define all data sources
  121. 121. Create business requirements document
  122. 122. Define business controls and validations
  123. 123. Define reporting requirements
  124. 124. Create functional design document
  125. 125. Refine cost and resource estimates
  126. 126. Prepare project timeline for Build-Out / Implementation phase</li></ul>Operations <br /><ul><li>5500 Preparation
  127. 127. Annual Reporting Preparation
  128. 128. Non-discrimination testing
  129. 129. Workflow processes</li></ul>Marketing<br /><ul><li>Client communications
  130. 130. Client training
  131. 131. Internal training for client</li></ul> facing roles <br />Technology<br /><ul><li>Data sources
  132. 132. System interfaces
  133. 133. Recordkeeping system
  134. 134. Trust accounting system
  135. 135. Workflow tools</li></ul>Organization<br /><ul><li>Structure
  136. 136. Roles and responsibilities
  137. 137. Standard operating procedures
  138. 138. Training
  139. 139. Headcount</li></ul>Deliverables<br />Typical Timeline<br /><ul><li>Detailed current and future state operational processes and workflows
  140. 140. Business requirements document (including controls, validations and reporting specifications)
  141. 141. Functional design document
  142. 142. Implementation project plan
  143. 143. Cost and resource estimates
  144. 144. Build vs. buy analysis
  145. 145. Business case justification
  146. 146. 6-10 weeks depending on complexity of requirements definition </li></ul>14<br />
  147. 147. Build-out and Implementation Phase<br />Process and Platform<br />Communications Programs<br /><ul><li>Develop technical design document
  148. 148. Create and deploy platform and solution for 5500 generation
  149. 149. Design and perform testing effort
  150. 150. Perform data validation and production verification
  151. 151. Re-design of 5500 generation team processes
  152. 152. Re-design of workflow between teams
  153. 153. Re-design of quality control practices
  154. 154. Develop suite of Standard Operating Procedures (role based)
  155. 155. Design and deliver training program
  156. 156. Plan sponsor’s employee communications guide
  157. 157. Communications checklist
  158. 158. Disclosure documents list
  159. 159. Required forms list
  160. 160. Audit Guide for 5500 calculations and back up reports
  161. 161. Training guides for internal client-facing staff</li></ul>Build Deliverables<br />Buy Deliverables<br /><ul><li>Technical design document *
  162. 162. Data Mart/Data Warehouse solution
  163. 163. Data interfaces
  164. 164. Test plans, test cases and test results
  165. 165. Production verification plans and results
  166. 166. Knowledge transfer program (SOPs, training program, transition effort)
  167. 167. Validation of business justification
  168. 168. Request for Proposal
  169. 169. Vendor evaluations with EI proprietary Comparator Tool
  170. 170. Product evaluations with EI proprietary Comparator Tool
  171. 171. Assistance during contract negotiations
  172. 172. Solutions review against industry standards and best practices
  173. 173. Business practice integration</li></ul>15<br />
  174. 174. EI Tools and Techniques<br />Assessment<br />Interview Questionnaires / Interview Guide<br />Work Flow Analysis Guide<br />Alternatives Framework Template<br />Risk Analysis Template<br />System Architecture Designs<br />Standard Data Mapping<br />Analysis and Design<br />Business Requirements <br />Document<br />Integration Scheme<br />Standard Business Controls and Validations<br />Data Schemas and File Layout Templates<br />Implementation Project Plans & Budgets<br />Functional Design Document<br />Build-out and Implementation<br />Use Case Templates<br />Communi-<br />cation<br />Program Templates<br />Sample Test Cases<br />Standard training program outline<br />Build vs Buy Review<br />Vendor Product Evaluations<br />Technical Design Document *<br />Standard Datamart Design<br />16<br />
  175. 175. Form 5500 Process Improvement Engagement Team<br />Build-out and Implementation<br />Assessment<br />Analysis and Design<br /><ul><li>Project manager
  176. 176. Regulatory & compliance SME
  177. 177. Systems architect
  178. 178. Technical lead/programmer
  179. 179. Lead business analyst
  180. 180. Project manager
  181. 181. Regulatory & compliance SMEs
  182. 182. Systems architect
  183. 183. Database designer
  184. 184. Business requirements analysts
  185. 185. Business intelligence analyst
  186. 186. Specific software SMEs
  187. 187. Vendor/contract management analyst
  188. 188. Project manager
  189. 189. Systems architect
  190. 190. Tech lead/programmers
  191. 191. Testing lead and team
  192. 192. DBA
  193. 193. Business integration analysts
  194. 194. Vendor/contract management analyst</li></ul>** The number of consultants assigned will be based on the number of plans, type of plans, plans’ complexity, and asset mix<br />17<br />
  195. 195. Flexibility and Expertise<br />Our three service solutions offer you the flexibility you need with the expertise and efficiency you demand. <br />Sized to your requirements<br />Outsourcing Services<br />Supplementary Staff<br />Process Improvement Engagements<br /><ul><li>No organization can beat Enterprise Iron inour expertise in the retirement services industry, our familiarity with all of the common platforms and solutions utilized, and our level of commitment to providing quality compliance and regulatory support.
  196. 196. Equally critical to success is the way we interface with your team to plan and execute the strategy you choose.</li></ul>18<br />
  197. 197. Integrating with Your Team<br />Setting up your team with confidence that their talents will be valued during and after the new solutions are implemented can create a high performance work environment that provides the best chance of success.<br />Critical integration activities include: <br />Establish a project methodology that explains project purpose, structure, goals, activities and success measures.<br />Pair EI resources with your existing teams to leverage diverse skill sets and facilitate knowledge transfer.<br />Identify new team incentives and measures to be implemented<br />Identify impact of EI alternatives on other business and technology initiatives<br />Identify deployment opportunities for existing talent into newly defined roles<br />Incorporating your corporate lexicon and current job roles into EI recommendations<br />19<br />
  198. 198. Achieving Success<br /><ul><li>Rest easier that you will be able to meet your client and regulatory obligations.
  199. 199. Set the foundation for better on-going compliance cost structures.
  200. 200. Maximize your flexibility to handle future changes.</li></ul>In addition to regulatory and compliance benefits, implementing a complete Enterprise Iron solution will enable you to: <br />Increase the odds of success in meeting your contractual obligations<br />Maximize the value of any initiatives currently in motion<br />Ensure team alignment as to solutions being proposed and implemented<br />Execute in such a way as to maximize the opportunity to increase client support and loyalty<br />Manage the cost of regulatory compliance within an overall target cost and profitability framework<br />Build and store data in such a way as to enable future enhancements that leverage a customized data warehouse<br />20<br />
  201. 201. Contact Enterprise Iron<br />For more information see our website:<br /> http://www.eifis.com<br />Contact Information:<br />485C Route 1 South<br /> Suite 350<br /> Iselin, New Jersey 08830<br />Email: info@eifis.com<br />Phone: +1.888.242.4682<br />