Royalty Accounting and Revenue Processing System (RAPS) Certification

I M P L E M E N TAT I O N

N OV E M B E R 1 3 , 2 0 1 8

R A P S M A N AG E M E N T T E A M :

G E O R G E R O S E N BAU M , E X E C U T I V E S P O N S O R

TO N Y H O F F M A N , C I O

C AT H Y P L U MME R , P M

Project Stakeholders and Governance

Stakeholders:• NM State Land Trust Beneficiaries

• Oil and gas industry

• SLO Royalty, Oil and Gas, Accounting, and Information Technology Divisions

• Citizens of New Mexico

Executive Steering Committee:• NMSLO Assistant Commissioner, Oil, Gas and

Minerals Division (Chair)

• Executive Director, IT and Royalty Mgt Division

• Chief Information Officer

• Director, Royalty Management Division

• Assistant Commissioner, Administrative Services Division

Project Justification

• NMSLO produces revenue by leasing lands and collecting royalties for renewable

energy, oil and gas drilling, and other surface and subsurface activities.

• ONGARD is obsolete technology. Maintenance has become increasingly challenging

and costly, introducing risk to the State’s revenue.

• NMSLO will migrate the ONGARD mainframe code and business logic to a Windows

server platform with 100% functional equivalency transferred to the successor

system.

• This approach provides the least risk, and the most functionality, in the least time,

effort and cost.

RAPS GOAL: Migrate Code to Modern Architecture

RAPS Accomplishments Kicked off RAPS and completed all Planning tasks.

Completed discovery sessions, and documentation of architecture, COBOL code, data, interfaces, third party products, the development process, tools, test cases and /data availability.

Defined separate environments to support development, testing, system integration, performance, staging and production.

Installed and configured tools on environments provisioned by NMSLO.

Developed the schedule for online/batch refactoring, data migration, testing, training, and implementation.

Worked closely with NMSLO SMEs to analyze applicable divisions and test cases required, planned the testing sprints, and began recording use cases using the TermX tool.

Defined the initial Future State Architecture with sizing recommendations, and created a corollary System Design Document.

Month 1-3 4-11 12-17 18-19 20-26 27+

Mig

rati

on

Train

ing

Key Takeaways

• Incremental Modernization approach

• Deliberate training methodology

• Fully automated migration

CURRENT STATE TRANSITION STATE TARGET STATE

API-Enabled

Modern Architecture

Cloud-ready

1:1 Migration Incremental

Modernization

3270

COBOL

VSAM/DB2

HTML

Modern Language

RDBMS

Incremental Deployments

Release 1

Developer Shadowing

Release 2 Release 3

Planning & Environment

Setup

1Code Migration

2

UI Migration3

Data Migration4

Automated Testing5

6

7

A

B

C

E

Developer Tool Training

Developer and Administrator Training

End User Training

innoWake cobol C#

NUnit

Visual Studio

DUAT

Training

Migration Preparation Walkthrough

May need to shift depends on the

actual go live date

C O B O L t o M o d e r n L a n g u a g e M i g r a t i o n T i m e l i n e

Interoperability

T E S T I N G I N A M I G R AT I O N P R O J E C T

Testing phases in a migration project are somewhat different to those in a typical SDLC, although the relative portion of time dedicated to testing is different. It is critical to leverage a proven testing approach and utilize testing SMEs to deliver a functionally equivalent system.

Training

Software and configurations migration path

Production data migrated

Unit Test Performance

Test

User Acceptance

Test

ProductionSystem

Integration Test

The following are scope considerations for each of the test phases during refactoring application testing.

• Test code correctness • Create workflow packages• 100% Screen Coverage• Sequential recording• Special feature screens: test subset• Batch Package – Small set of jobs• Dataset – Sufficient to support unit

testing

Unit Testing

T E S T P H A S E S C O P E

• End to End Testing• Role Based Testing• Application Interface points

testing

System & Integration Testing

Performance Testing

• Critical screen and batch scenarios

User Acceptance Testing

• End user testing and parallel testing

2018 - 2019 Royalty Administration and Revenue Processing (RAPS)

M1 M2 M3 M4 M5 M6 M7 M8 M9 M10 M11

Kick-off

Deliverable Submission, Review & Approval

Project Planning

Technical Definition and Design

• Assess legacy system code, data, batch, 3rd party tools, interfaces, printing, reporting, architecture, & environment • Receive Production application source code & batch files• Re-Run diagnostic• Develop refactoring plan• Create Features document• Define disaster recovery plan• Install and configure project tools• Define future state architecture & infrastructure • Define initial sizing recommendation for mainframe test environment, Development, Test, and Performance environments• Create a roadmap and timeline for the implementation• Develop security design and identity management approach• Develop interfaces and 3rd party tool remediation approach• Define data migration approach• Develop overall testing approach• Define knowledge transfer and training plan• Set up and configure mainframe test environment

Build (Including Unit Test)

• Kick off overall project, test, architecture, and technical planning and discovery sessions• Develop project management plan, work plan, status reports, and risk/issue management• Define configuration/ALM strategy for development• Provide project tools• Define testing strategy and testing entry & exit criteria / DoD-definition of done plan

• Develop Training and Knowledge Transfer Plan

Legend

Phase

Go Live

Critical Milestones

Sub Phase

Priority Milestones

Initiate & Plan Define & Design

Logical Environment Readiness

Refactoring Prep

• Resolve parser errors & update refactoring tool• Cleanse legacy source code, batch & data• Develop data conversion solution and testing approach• Develop 3rd Party Tools remediation solution• Define test data requirements and populate Test environment• Develop Test Plan, test automation scripts, test cases• Define testing exit criteria /’definition of done’ • Configure system, install ALM & train developers

• Recreate printing and reporting capabilities

Address exceptionsRefactor Online

Migrate Data

Address exceptions Base Batch Unit TestRefactor Batch

Base Online Unit Test

Iterative

Data Conversion Test

Training Planning

Work Plan

Project Ramp Up and Discovery

Future State Architecture

Creation of Performance Environment

Test Plan

Contractor Tools Setup

End User Training

Weekly Status Report

Project Plan

Provide Mainframe Test Envir, Development & Test ALM

Provide 3rd party toolsCreation of Development and Test environment

Migrated Application Assets (Common Language - Java)

Migrated Application Assets (Target Language)

Parser Error Remediation

TermXTraining

Test Report Template

SLO Developer Training

Training Plan

2019 Royalty Administration and Revenue Processing (RAPS)

M12 M13 M14 M15 M16 M17 M18 M19 M20 M21 M22 – M24

Maintain & OperateTest Transition

Deliverable Submission, Review & Approval

Logical Environment Readiness

Knowledge Transfer Deployment

• Develop Operator’s Manual• Develop training materials• Deliver developer/administrator training sessions

System Test

User Acceptance Test

Training

Performance Test

• Support User Acceptance Test (UAT)

• Conduct Performance Testing

• Develop test automation scripts • Develop test cases• Conduct System Integration, Regression Test

Legend

Phase

Go Live

Critical Milestones

Sub Phase

Priority Milestones

Project Completion

Finalized Application Sizing Documentation

Creation of User Acceptance Test (UAT), Pre-Production, and Production Core Environments

Base Unit Tested Apps System TestedApplications and Infrastructure

Test Report for System Test and Performance Test

Training Completion Report

Developer & Administrator Training

User Acceptance Test Training

Implementation Plan

• Implementation Support• Go-Live Support

Project Go-LiveProduction Support (120 days)

• Produce an implementation plan• Support Production Readiness activities• Support Go/No Go checklist• Perform Mock Cutover• Secure approval for deployment

Creation of System Integration Test Core Environment

OptimizedApplications and Infrastructure

Notice of Acceptance of SOW Deliverables

Transition to Operations

• NMSLO is creating Use Cases for all screens and functions in the

ONGARD system, and participating in all refactoring processes.

• NMSLO staff works with Deloitte developers on site, in a co-located,

collaborative approach.

• Prior to Go Live, production data will parallel test against the legacy

system to validate results.

• NMSLO can continue to use the contractor tools after the refactoring

project for the refactored ONGARD application.

Risks, Issues, Mitigation StrategiesRisk Title Description Probability Impact Response Mitigation Strategy

Code conversion

The refactored code may not

adequately replicate ONGARD

system functionality.

Low High Cutover data functionality is guaranteed by the vendor to match 100% current PROD code and functionality.

Ensure that testing is sufficient to prove legacy system functionality, including royalty return submission, accounting, and notices/reporting. Validate code in Unit Testing, starting with Accounting functions. Repeat steps with each functional division /department and validate with NMSLO Subject Matter Experts.

Projectresources

There are numerous parallel project efforts ongoing at NMSLO utilizing the same project resources.

High High Continue to work with NMSLO CIO and Executive Sponsor to prioritize all projects and ensure that RAPS is high priority.

Add contract resources as needed.

Resources and sustainability

Knowledge, skills and abilities of NMSLO IT team not sufficient to collaborate on development and deployment or maintain the modernized system.

High High Refactoring process and testing will be incremental and provide opportunities for training NMSLO IT team on tools and process.

Cross-train SLO IT resources during the knowledge transfer process to diversify the risk.

Budget and Major DeliverablesDescription FY17 & Prior FY18 FY19 FY20 Total

Consulting Services Tek Systems and H. Lewis $ 130,826 $ 143,036 $ 273,862

IV&V IV&V $ 156,412 $ 55,900 $ 212,312

RAPS Refactoring Vendor

ONGARD platform conversion, sizing, architecture design, code migration, system specification, testing, deployment, training and documentation

$ 2,880,000 $ 4,820,000 $ 7,700,000

Additional professional services

RAPS application development: business analysis, integration, testing, deployment, training and documentation

$ 800,000 $ 629,906 $ 1,429,906

EquipmentEquipment for core environments: Development, Test, Training, Production

$ 383,920 $ 383,920

TOTAL $ 130,826 $ 143,036 $ 4,220,332 $ 5,505,806 $ 10,000,000

Independent Verification and ValidationIV&V services are in place, and the initial project assessment delivered on October 12. The IV&V vendor is charactering the project as GREEN:

“…The overall status for the NM State Land Office Royalty Administration and Revenue Processing System (RAPS) project is GREEN. The project has kicked off with the implementation vendor, and has no major issues with scope, schedule or budget at this time. The scope of work, performance measures and deliverables are generally well defined. To add clarity to the deliverables, the PM has created a graphic timeline identifying the deliverables and cost points.

Activities defined in the contract are designed to ensure a migration that maintains current operability, while the system is migrated per a defined schedule within 18 months.

An Executive Steering Committee (ESC) meeting was held, and the committee was given a thorough briefing on the project. Regular meetings of the ESC are currently scheduled for every two weeks and include executive briefings, approving key decisions, liaison with business units, and escalation of any issues.”

Certification Request

Amount Requested this Certification $ 7,691,487

Amount Previously Certified $ 2,308,513

Remaining Appropriation not Certified $ 0

Total Appropriation Amount $ 10,000,000

NMSLO is seeking PCC approval to release funding forImplementation through May 2020

Questions?

New Mexico State Land Office