This document summarizes Stanford University's budget process and financial information systems. It outlines Stanford's financial overview, budget management approach, how the role of the budget has evolved over time, the financial information systems used including Hyperion Planning, and goals for the future such as improving variance analysis and forecasting using Hyperion.

1. Discussion of Stanford University Budget Process & Systems September 6, 2005 Dr. Andrew Harker Director of Budget Management [email_address] 650.725.0666

4. 2005/06 Consolidated Budget by Line Item $ in millions

5. Consolidated Budget by Unit Academic Units 61% 2005/06 Total = $2.8B

6. 2005/06 Consolidated Budget by Fund Type $ in millions

7. FY2004 Statement of Activities to Consolidated Budget Crosswalk (in millions of dollars)

8. FY2004 Operating Results vs Budget Consolidated Budget Version (in millions of dollars)

9. FY2004 Consolidated Budget Results by Fund Type (in millions of dollars)

10. FY2004 Consolidated Budget Results by Fund Type (in millions of dollars)

13. Financial Management Overview Hospitals LLCs School of Medicine Graduate School of Business Continuing Studies/ Summer Session “ Non-formula Units” (Provost GF Allocations) Auxiliary Enterprises University Stanford Consolidated Financials

15. Overview of the Non-formula Budgeting Process Compensation Analysis Capital Planning Tuition and Financial Aid Analysis Research Volume and Rate Projections Academic and Administrative Units Develop Budget Plans Analysis of School Balance Sheets and Consolidated Income Flows General Fund Allocations to Academic and Administrative Units Amount of University Reserve Decisions on Major Program Priorities and Initiatives Consolidated Budget Plan – Submitted to Board of Trustees in June New Initiatives Budget Group – Oversight and Advice on Strategic Priorities Budget Office Creates Long Range Forecast Board of Trustees – Policy Decisions on Salary Program, Tuition, And Financial Aid Provost Makes Allocation Decisions

16. How are funds budgeted? “ Pooled” budgets at department and fund type level, at detailed codes OB Auxiliary Service Center Designated Endowed Gifts Grants & Contracts Detailed Budgets, usually to specific cost center and natural account level, and position level Budgeted at combination of specific CC and “Pools” at department and fund type level, at detailed codes University UR

35. System Architecture

38. Budget Entry via Hyperion Planning: Portal Screen

39. Budget Entry via Hyperion Planning: Non-Salary

40. Budget Entry via Hyperion Planning: Annual Rate

41. Budget Entry via Hyperion Planning: Percent Distribution

42. Budget Analysis & Reporting using Hyperion: “cross-tab” views

43. Budget Analysis & Reporting using Hyperion: “time series” views

44. Budget Analysis & Reporting using Hyperion: “time series views”

45. Budget Analysis & Reporting using Hyperion: “slicing & dicing”

48. Current Variance Analysis Process Hyperion (Budgets) Oracle (Actuals) Star Schema Star Schema DSS Bus Objects Collection Bus Objects Query Excel Visual Basic Macro Variance Report Spreadsheets Analysis by Units Units email Excel SS to UBO UBO reviews each SS and then loads into Hyperion

52. Proposal: Hyperion would house most of the budget process Analysis by Units Reportmart3/DSS Hyperion Oracle (Actuals) EDW Since Hyperion will only hold data at a certain level of detail, RM3/DSS can provide queries for analysis when more detail is needed Units enter their analysis/forecasts into Hyperion UBO enters “top-down” forecast/budget into Hyperion Budget, Variance, & Reforecast Reports (printed & on-line) Ad-hoc analysis & reporting

53. Variance Reporting using Hyperion

54. “ Business Intelligence” using Hyperion Analyzer

55. “ Business Intelligence” using Hyperion Analyzer