PAYROLL SYSTEM STUDY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP84-00933R000100230027-9
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 25
• Document Creation Date: December 15, 2016
• Document Release Date: September 26, 2003
• Sequence Number: 27
• Publication Date: January 21, 1981
• Content Type: MF

t 4 ?y~f ~ 1 t 2~ 1
i + h . F M O z 2 A N D U M FOR: D i r e c t o r of Finance
21 January 1981
25X1 FROM:
25X1
SUBJECT: Payroll System Study
1. We must act now. Clearly this is the message that the
attached. study is telling us. We do not believe that we are
overstating our case because the study makes it clear that the
payroll technicians are spending an inordinate amount of time on
manual processing; as an example, forty-six percent (46%)o# their
time each biweek period is spent on manual preparation of payroll
adjustments and thirty--one percent (31%) is spent on manual
changes to the master file (the computer file that contains
certain basic information on each indivudual pa.yrolled). This
study projects an estimated savings of manual effort by payroll
of forty-four percent (44%) in these functions alone. In
addition, use of CRT or OCR input could. save over two hundred
(200) work hours each biweek pay period for ODP production.
Z. The trend clearly reflects an ever increasing manual
workload for our payroll technicians. A delayed payroll and a
large increase in salary over and under payments could occur if
this situation is not rectified soon.
3. f reconmieud that the Office of Finance and ODP jointly
proceed with the next step to review in detail and complete a
preliminary design study for a new system. This would probably
take six aaonths to complete utilizing three finance personnel and
three senior Systems Analysts from ODP. After such study we will
be in a much better position to provide additional details
concerning development time and cost estimates.
4 The report is submitted in four (4) parts as follows:
Executive Sunanarv (Attachment 1)
Approved FO lease 0b/'11/06- CIA- b8=0D90
0100230027-9
V
Surrnary of Conceptual
Proposals for New Payroll
System
Details of Conceptual
Design Proposals for New
Payroll System
Background Data
5. We will be happy to meet with you
report after you have had the opportunity
documentation.
Approved Fort
(Attachment 2)
(Attachment 3)
(Attachment 4)
for discussion on the
r , -h
Re4ea,%a2,0W11-/06rCI k;~RDF 84-00933R000100230027-9
_
25X1
 UUNF IDENTIAL
Approved Fof elease 2003/11/06: CIA-RDP84-0093000100230027-9
Attachment I
Page 1
New Payroll System
25X1
25X1
Executive Summary
An Office of Finance (OF) study, just completed, recommends
that the Agency proceed now with a new payroll system that would
utilize all available interface capabilities, develop
new or expand existing automated techniques that would
substantially reduce manual operations, provide the needed
flexibility to react to required changes without major
reprogramming, and provide management with needed statistical
information.
25X1
The study group was composed of Mr. I 25X1
the current Deputy Chief of Compen-s-af-lon
Division acted as Senior Advisor to the group. All members of the
group halve had either past or current payroll experience and
Messrs. were involved in the development of
the current payroll system.
The study was initiated as a result of recommendations made
by the Office of Data Processing (ODP) in their General
equirements Study dated 16 September 1980. Generally, both
offices agree that the current system effectively computes pay
but leaves many operations to be done manually and requires a
considerable amount of resources to maintain. This raises several
major points that concern the OF, the primary one being ODP's
estimate of five to seven (5-7) years to develop a new system.
For all practical purposes the current system is approximately
ten (10) years old; this is old for a system as sophisticated and
complex, and with as many changes that have been made since its
initial development. Another major point concerning OF is that.we
do not anticipate the one-to three (1-3) year modifications to
the present system having any dramatic affect in the work hours
required to produce the biweekly payroll. This is especially
important since the manual effort expended by Compensation
Division is growing at an alarming rate.
In arriving at its recommendation the study group reviewed
those facets of the current payroll operation which require the
most manual effort. Further, they developed various conceptual
design proposals aimed toward substantial reduction of this
manual effort and attendant work time. Through analysis it has
been noted that -the majority of these conceptual changes would
require development of a- new,?system, according to the ODD' study.
Further contributing to the problem is the fact that addit"ionaI-
requirements, mostly bearing on .the manual operat I*oizs" are
continually being levied on.-payroll. 'Considering-the atourit, of
overtime presently. needed to meet the demands, it appears evident
? A.
Approved For Release 2001; /0 i Jd3r 1 84'40PJJPM100230027-9
 Approved Fo46, M P? 11 EON f tALIL 84-00931R000100230027-9
Page 2
that payroll cannot continue to absorb new requirements with the
present- staff without jeopardizing their basic responsibility of
paying employees on an accurate and timely basis.
It has been concluded that immediate development of.a new
payroll system could significantly reduce by 12.5 work years the
combined payroll and ODP resources, currently expended on manual
operations and ODP systems maintenance. Additionally, immediate
development of a new system would permit more timely
implementation of programs to extract valuable management and.
statistical information and exploration of modern data entry
techniques. In order to procced now, both the OF and ODP will
have to make available manpower resources needed for the
development, design, and testing of a new system.
It is envisioned that a new payroll system would differ
vastly from the present one in that technology,. such as, Optical
Character Reader (OCR) would be explored as a viable data entry
technique and more current software and design methodology would
be employed. We would seek to provide a rapid query capability
through the use of Cathode Ray Terminals (CRT) so that payroll
technicians could operate more efficiently. Further we would
seek to provide OF management with the capability for rapid
retrieval of statistical data and the flexibility to structure
query programs without the total dependance on ODP we must now
have.
Chairman; P yroll Study-Group
Approved For Release-2003/11/06: CIA-RDP84-00933R000100230027-9
 i+Ll. ~i h1:r a.~v2
Approved F ease 2003/11/06: CIA-RDP84-009 0100230027-9
Page 1
Summary of Conceptual Design Proposals
for New Payroll System
1. Concept: Increase and utilize the amount of payroll data
received via interface from other computer systems.
Module(s) Possibly Affected: Master File
Benefits: a. Significant reduction (approximately 320 work
hours) in time expended by payroll each biweek pay period.
b. Reduction in time utilized for four phase
processing (approximately 48 work hours per biweek pay
period).
c. .Increased accuracy through elimination of
processing via hard copy documentation.
d. Potential savings of approximately 50% in hard
copy storage requirements for documentation currently input
manually.
e. Potential 'reduction in queries to payroll
regarding allotments from pay for credit union, insurance,
VIP, etc.
f. Provides capability for more timely processing of
input data.
Impact: a. Would require modification of computer systems
affected by increased or new computerized interface.
b. Would require modification of existing front
end procedures of payroll system.
2. Concept: Devise alternative methods to input time and
attendance data, i.e. Optical Character Reader(OCR) or Cathode
Ray Tube terminal (CRT).
Module(s) Possibly Affected: T&A
Benefits: a. Eliminate or significantly reduce payroll workload
presently devoted to sight audit and manual batching of T&A
cards (approximately 48 work hours per biweek pay period).
b. Eliminate time needed for four phase processing of
T&A cards by ODP (approximately 200 work hours per biweek
period).
c. Reduce payroll's missing T&A report workload
(approximately 16 work hours per biweek pay period).
d. Possible greater flexibility in establishing edit
criteria when special occasions' arise affect'ing'-reporting of
leave and/or premium time.
Approved For Release 2 Iii/P 4 t P84-00933R000100230027-9
 Approved F ease 2003/11/06 : CIA-RDP84-0093aR 0100230027-9
Page 2
Impact. a. May impact on workload of the various components'
T&A clerks.
b. May require new programs to facilitate CRT or
OCR input process, for example;
(1) Mini-payroll file to verify employee number,
(2) Structured data to simulate a four phase T&A
file$
(3) Computer routine to replace certain
-transaction codes used in T&A batching process.
3.-.Conc.ept: Capture daily'time and attendance information on a
pay period basis.
Module(s) Possibly Affected: T&A
Benefits: a. Provide base of reference for computer reaction to
effective dates that occur other than first day of current
pay period.
b. Provide base of reference for computer processing
of amended time and attendance reports.
c. Provide data base for response to any queries
that pertain to duty status, including timely statistical
reports for management.
Impact: If done without implementing Concept #2 a considerable
increase in four phase time would be required. With
implementation of Concept #2 a definite savings of four phase
time would occur.
4. Concept: Provide for terminal retrieval of daily T&A data by
payroll technicians.
Module(s) Possibly Affected: T&A
Benefits: a. Would minimize time required by payroll to obtain
T&A data in response to queries and/or service questions
raised in T&A exception listings.
b. Potential savings in ODP resources needed for
response to ad-hoc requests for management information
reports.
Impact: a. As noted in Concept #3 above, may require
additional time to input daily T&A information.
b. Would require new prograrrming since present
system does not capture daily T&A information.
Approved For Releaso~ ?Q3fFF 1f06 ~Ciil41-RDP84-00933R000100230027-9
 , Page 3
5. Concept: Computer processing of amended T&A's and computer
reaction to effective dates predicated on daily T&A information.
Module(s) Possibly Affected: T&A, Pay Compute
Benefits: Significant reduction in time-(approximately 614
work hours per biweek pay period) currently devoted to
adjustments based on amended T&A's, premium time
difference payments, and effective dates occurring on other
than the first day of the current pay period.
Impact: a. Would require new programming.
b. Would require that daily time and-attendance
data be input, captured, and stored by computer.
6. Concept; Provide capability for access, via terminal query, to
all data from payroll's computerized history files.
Module(s) Possibly Affected: All
Benefits-: a. Would allow OF management flexibility to structure
query programs for management information.
b. Would provide Audit Staff with quick reaction
query capability and flexibility to structure ad hoc query
requests, as needed.
c. Would provide payroll technicians with quick
reaction query capability.
Impacts Would require development of programs to provide
for suitable access to computer history files.
7. Concept: Modify Biweek front end computer routine to capture
certain NOCB data from interface tapes and;
(1) Pass to NOCB system via tape for master file
input or,
(Z) Prepare hard copy output in NOCB report format
for delivery to and processing by NOCB.
Module(s) Possibly Affected: Master File
Benefits: a. More timely notification and processing of
actions pertaining to NOCB pay cases.
b. Would reduce error messages on AOB exception
listings and attendant actions required by biweek pay
technicians. -
Approved For ease 2003/11/06: CIA-RDP84-009 010230027-9
Approved For Release-2 4 E IA .P84-00933R000100230027-9
25X1
 , `oved For.6t ase 2003/11/ ,~t p o9 0,106230027-9
Page 4
Impact: Would require modification of current biweek payroll
front end routine to identify and pass data applicable to
NOCB pay cases.
8. Concept: Redesign NOCB Master File to interact with other
systems.
Module(s) Possibly Affected: Master File
Benefits: a. Would provide data base for computer
processing of routine actions passed from other computer
systems, e.g., WGI's, Promotions, tax changes, etc.
b. Would provide data base for automation of
leave records on NOCB pay cases and automated posting of
retirement records.
c. .Would provide data base on NOCB pay cases
for obtaining statistical information necessary for a viable
Management Information System.
Ian act: Would require development of new programs or
modifications to present Master File structure to handle NOCB
pay cases.
4. Concept: Automate posting of retirement records (SF Z806.CSC
and Form 3114. CIARDS),
Module(s) Possibly Affected: Master File, Retirement History
Benefits: a. Reduction in time currently devoted to manual
posting of retirement records (approximately 1100 work :hours
per year).
b. Reduction in errors associated with manual posting
and filing of retirement cards.
c. Potential reduction in hard copy storage
requirements. (NOTE: Information could be stored in computer
and printed in hardcopy format, as required).
Impact: a. Would require development of computer programs
to capture, store, and retrieve necessary retirement data.
b. Would require development of NOCB programs
for automation of retirement posting for four week pay cases.
10. Concept: Devise alternate methods (CRT or OCR) for AOB pay
technicians to update Master. Files and input TEMPO adjustments.
Module ( s Pos s i lA U&i6RA?1/*PdfAZRUp'6009A3R06bq iiti02-=g l e
TCGTCG vwi-
 "Approved For.Release 2003/11/06 : CIA-RbP84-0093-&R000100230027-9
Page 5
Benefits: a. Reduction in ODP time (approximately 88 work
hours per'biweek pay period) currently expended for four
phase processing.of Master File updates and TEMPO
adjustments.
b. Could provide payroll technicians with more
effecient query capability to determine status and number of
adjustments in process for current pay period, thereby
eliminating the preparation of duplicate adjustments.
c. Could be developed in conjunction with use of CRT
or OCR for processing T&A's.
Impact: Would require development of software package to
structure OCR or CRT output to simulate currant four phase
processing to minimize impact on PAY COMUTE programs.
11. Concept: Provide''payroll with CRT terminal roster query and
update capability.
Module(s) Possibly Affected: Master File
Benefits: a. Would 'provide more effecient method for
distribution of incoming mail and capability for quicker
response to any que-r-ies concerning basic payrolling
information.
b. Would provide capability to enter all pay cases
into .system on a more timely basis.-
c. Would eliminate printing and storage of hard copy
rosters. -
Impact: Would require development of programs to provide
payroll with on-line query and update capability.
12. Concept: Design Master File in the. payroll system to
accept additional data without major reprogramming.
Module(s) Possibly Affected: Master. File
Benefits: Would permit more timely addition of new items
to Master File.
Impact: Would require change in each program that interacts
with Master File.
13. Concept: Expand electronic Time and Attendance reporting
for Overseas and Domestic installations and NOCB pay cases
to be consistent with the concepts in this study for capturing
daily T&A data.
Approved For Release 20pQ~ 1 DP84-00933R000100230027-9
 Approved,- `", Re lease 2003/11/06 : CIA-RDP84-0093004100230027-9
. 11 .1, 1 V.4 _0 I
Page 6
Module(s) Possibly Affected: T&A
Benefits: a. Would provide capability for more timely
processing of premium time and claim payments.
b. ,.Would enhance automation of leave posting for
al-.l pay -cases..
Impact: a. Would require additional communication time at
field installations and Headquarters.
b. If leave posting automated, would require
expansion of NOCB Master File to include leave data..
14. Concept: Structure pay and leave data in appropriate manner
to allow for more detailed fiscal and/or calendar year-analysis
and retrieval.
Module(s) Possibly Affected: All
Benefits: a. Would provide OF with the capability to furnish
management with detailed pay and/or leave data that must
presently be derived manually.
b. Would provide capability for automated assistance
in developing budgetary information.
Impact: Would require development of programs for capturing
and extracting data in sufficient detail for further
analysis and use by interested Agency components.
15. Concept: Devise a new input coding structure that will
provide the capability to accept additional data items without
the need for periodic revisions to the codes.
Module(s) Possibly Affected: All
Benefits: a. Would allow for automated processing of items
dictated by new legislation or internal authorities, e.g.,
allowances, additional FEGLI or other life/health insurances,
etc:.
b. Would 1'essen the impact on ODP and payroll
operations currently experienced when new items are added
which often requires major reprogramming by ODP and manual
payroll processing.
Impact: Would require development of a completely new Pay
Compute routine or major modifications to the present one to
restructure the current Data Identification Codes (DIC) which
are an-inherent part of this function.
Approved For Rele i bQ 1 A(4 iii IA-RDP84-009338000100230027-9
 Approved Fox Release 2003/11/06 : CIA-RDP84-0093?R000100230027-9
Page 7
General Impact Statement
In addition to the various items mentioned in the above
impact statements, it should be noted that there may be a problem
with installing additional CRT terminals in Key Building
depending on the GRID capacity, terminal allocation to OF, and
the supply of TEMPEST approved terminals at the- time they are
required.
It is also recognized that there are security implications
applicable to certain concepts, however, due to the complexity of
this matter we did not address this issue in the individual
impact statements
Approved For Release 2003/11/06: GlA=1l'~ L-00,933RO00100230027-9
 Approved FowRelease 2003/11/06 : CIA-RDP84-0093 KO00100230027-9
Attachment 3
Page 1
Details of Conceptual Design Proposals
for New Payroll System
1. ConceptIncrease and utilize the amount of payroll data.
received via interface from other computer systems.
Background: Currently there are at least eight (8) (see below)
other computer assisted operations within.the Agency that contain
information essential to the payroll operation. At present much
of the information affecting payroll requires manual preparation
of an input document by payroll technicians for processing via
the four phase system. Other information is processed directly
into the payroll system without intervention by the payroll
technician, or by input documents prepared by the employee or by
a service office (tax exemption, Credit Union, VIP, etc.).
However, those documents prepared by the employee or service
office are presently sight audited and batched by payroll
personnel preparatory to punching via the four phase process.
For example, based on a sampling of the total Master File actions
per pay period it is estimated that an average of fifty-four (54)
percent require manual payroll processing, eighteen (18) percent
require sight audit and batching only with the remaining twenty-
eight (28) percent being fully processed via automatic
interface. Generally speaking, each computer system that impacts
on payroll and is in use by the Agency today, requires some
manual input of the data from that system by payroll personnel.
This is true even of PERSIGN and PERSTEP since contract employee
information, even though captured and passed to the payroll
process from these respective systems ;is not being utilized. Thus
maximum use of available automatic interface capabilities should
be a major consideration and eventual requirement of a new
payroll system.
Specific Data: Listed below are the current computerized systems
which contain information needed by the payioll'system. A brief
description of each system, it's' current use and potential
effectiveness is also included.
a. PERSIGN: This system contains the basic information to
establish an individual in the payroll-system and maintain
that record in a current status. The interface tape received
from PERSIGN contains information applicable to both staff
and contract personnel, however,.,, only staff data is used by
the payroll system because the payroll computer routines are
not designed to accept and process contract information from
the:PERSIGN system. 'This information can only be used when.
received as a :four-phase-input process.
Approved For Release ~I~=f24-009338000.100230027-9
 . Approved Fo Ar elease O63/11/b6 : CIA-RDP84-0093000100230027-9
Page 2
ILLEGIB
This means that the payroll technician must manually encode this
information so that it can be converted to a four phase
process. Modification of the existing payroll programs
processing.PERSIGN information is essential so that information
on contract cases can be processed as is currently being done on
staff cases, thereby eliminating both the manual encoding by
payroll and the four phase process.
b. PERSTEP: This system provides the information applicable
to Within-Grade Increases (WGI's) for both staff and contract
personnel. At present only the staff information is being
utilized on the biweek pay system. Modifications should be-.,
made to allow use of this information on all' -types of
employees.
c. PERINSURE: When operational this system will provide via
interface tape pertinent insurance information applicable to
both staff and contract personnel. The biweekly payroll
system should be modified to accept and use this information
on all types of employees when available in this mode.
d. CENCO: This system contains certain information
applicable to covert personnel. Presently the major use is
25X1
This information is processed into payroll via the our-p ase
system based on an IBM card format prepared by Central Cover
Staff. While not greatly involved in the manual process,
payroll must -sight audit the cards prior to four phase
processing. Possibilities should be explored in depth to
determine what other information 25X1
that could be obtained from CENCO. Consideration should also
be given to the possibilty of payroll update by computer
interface based on terminal input of applicable information
by Central Cover Staff.
e. CREDIT UNION: This system contains the necessary
information to establish, change, or stop an allotment from
pay for credit 'to an individual's credit union account.
Presently the information is processed into the payroll
system by the four phase process based on IBM format cards
prepared by -the employee and/or the credit union. These
cards are forwarded to payroll for hatching prior to the, four
phase process. Consideration should be given to having the
credit union input all information via terminal for updating
payroll,, records with basic employee authorization, documents
being retained by.the credit union. This wou-Id eliminate not
only the payroll batchingand four phase process, but should
r a*Wdowed fdr'RelediV20D3h111FO : (dASRE ? - 60 -6)m
 Approved For I3ilease 20 *(I- s - IA44DP84-OOZVFJO0100230027-9
Page 3
f. Voluntary Investment Plan (VIP): This system contains
the necessary information to establish, change, or stop an
allotment from pay for credit to an individual's VIP
account. -Presently the information is processed into payroll
via four phase tape with the VIP allotment card in IBM format
prepared by the individual and/or the VIP office. These
cards are forwarded to payroll for batching prior to the four
'phase process. Consideration should be given to having the
VIP office update allotments via terminal input and retaining
the employee authorizations (the same as for the credit
union). This would eliminate not only the payroll batching
and four phase processing bu-t quickly reduce queries to
payroll concerning. VIP allotments.
g., CEMLOC: This system is maintained by O/PPP&M and
contains information pertaining to the permanent and mailing
addresses used for W-2 purposes. Presently computer tapes
from the payroll file and the CEMLOC file are matched on a
yearly basis to obtain the addresses for the production of
-W--2's.
Consideration should be given to a more current update via
computer interface, possibly on a pay period basis, thus
identifying missing addresses throughout the year lessening
the year end impact. Additionally. this system could, via
interface, provide payroll with the necessary address
information to determine if appropriate state income taxes
are being withheld in compliance with laws of-the various
taxing jurisdictions.
h. I This system contains the
necessary information to establish, change, or stop a covert
tax assessment rate on non-official.cover personnel
administered under the covert tax procedures and payrolled in
the four-week payroll system. In addition this system
contains other pertinent information concerning the type of
cover assigned to non-official cover personnel. Presently
the tax and other cover information is passed to payroll via
hardcopy documentation. Consideration should be given to
allow for passing this information to payroll via terminal
input by Central Cover Staff.
2. Concept: Devise alternative methods to input time and
attendance data, i.e., Optical Character Reader (OCR) or Cathode
Ray Tube terminal (CRT).
Background: One of the major functions in the cycle of any
payroll. process is the.recording of time and attendance data for
pay and leave purposes.-,The current process utilized by payroll
i n v o l v e sq yt :{gabl3 F;WIi 200SP' qMB : )AjRm8nf00bS3Fmeipdmt o6l27}g1
 Approved Foi elease 2003/11/06': CIA-RDP84-00939 '000100230027-9
Page 4
preparation for machine input. Currently payroll is expending
approximately 48 work hours and ODP 200 work hours per biweek pay
period to process T&A cards. This coupled with the fact that
current data is not captured insufficient detail to allow for
adequate retrieval attendant to proper use of a Management
Information- System dictate that a concerted effort be placed on
finding a suitable replacement for the current methods.
Specific Data: 'Optical Character Reader (OCR)-A detailed study
would have to be made of the available systems to determine the
practical application of OCR for processing time and attendance
However, preliminary discussions with Agency personnel
knowledgeable of this equipment indicate th.at the.state of the
art is such that it is feasible to consider OCR as an
alternative, especially when considering the capture of daily
time and attendance data.
The cost of an OCR system would be commensurate with what we
would expect it to do. i.e., read different type fonts, read. hand
script, microfilm documents, etc. While actual cost may vary it
is probably safe to say, based on preliminary discussions with
the technical representatives of an OCR manufacturer, the basic
cost would be approximately $300,000. 11 is envisoned, however,
that an OCR system with good flexibility-could be used for more
than processing T&A reports and could'be useful in processing not
only other payroll items, but also data for input into GAS and
information from other OF components.
-Specific Data: Cathode Ray Tube Terminal(CRT)-Since CRT terminals
are presently used b}& many Agency components with respect to
ongoing programs it may be possible to utilize CRT for the
recordation of time and attendance data for the majority of
personnel paid on t_he biweekly payroll system. As there are a
number of T&A clerks throughout the Headquarters area an in depth
study would have to be made regarding terminal ' availability for
T&A input. This would be a fairly structured routine with
certain time frames, therefore it would be essential that T&A
clerks not only had access to a terminal but access during a
particular period of time. Possibly components could
redistribute this function so that the number of T&A clerks could
be reduced thus reducing the quantity of terminals required and
providing better internal controls.
Procedures would also have to be established concerning the
approval of premium time and initials for employee leave charges.
Summary: While both OCR and CRT have potential use for recording
,time and attendance data 'it would appear that OCR would have less
impact on the Agency components,.- It1is.recommencled,
that neither' one be ruled'-out un.til,in-depth. studies
Approved For Release 2003/1 MEW
however,
can be
 Approved Fa Release 2003/11/06 : CIA-RDP84-0093 14000100230027-9
Page 5
AW9_v. LEpr Release 2CrQ311 i/06_:::CIA. P84 M093aRQ.0O 1OO230D27-9:"
completed to determine their practical application.
3. Concept: Capture daily time and attendance data on a pay
period basis.
Background: In order for a new payroll system to properly react
to and process actions based on actual effective dates (other
than the first day of a current pay period), process amended
T&A,s, and record information necessary for maintenance of a
viable Management Information System , it is necessary to input
daily time and attendance data. Further justification and
background on this is provided with background information for
Concert 5 below.
4. Concep.t_: Provide for terminal retrieval of daily T&A data by
payroll technicians.
Background: Currently all specific data needed by a payroll
technician concerning T&A codes must be obtained by physical
review of the hardcopy T&A card. This involves an inordinate
amount of time to locate specific T&A's needed to resolve
questions presented in the T&A exception listings since all of
the payroll technicians must work from the T&A cards stored in
one location. Thus, even getting to the documents presents a
problem since there are 16 technicians and at maximum only 3 of
them can physically work with the T&A cards at any given time.
In addition to needing access to T&A information to process
reports payroll technicians are called upon to provide detailed
data in response to ad hoc requests. While it is difficult to
determine exactly how much time is devoted to the foregoing items
due to physical constraints because of T&A card filing
procedures, it is estimated that 1 work day per week is being
spent to locate T&A cards.
5. Concept: Computer processing of amended T&A's and computer
reaction to effective dates predicated on daily T&A information.
Background:
any changes to pay entitlements that are effective on any date.
other than the first day of the current pay period, must be
processed by the payroll technician. This includes entitlements
of base pay through payments for premium time hours,
differentials and allowances.
Payroll utilizes approximately 960 work hours each biweek pay
period preparing pay adjustments.. It is estimated that of this
total workload, approximately 614 work hours pertain to
'adjustments of. entitlements because' computer programs have not
C OW 1DLNT1AL
25X1
 4 4
Approved Foi?Release 2003/11/06 : CIA-RDP84-0Q93' '1000100230027-9
Page 6
been designed - to compute entitlements based on amended T&A's.,
actual effective dates, ands Mime difference payments.
In addition to the payroll time approximately 40 work hours of
ODP time is needed for the four phase processing of these 'items.
Presently these three categories of ajustments represent
approximately 64%n of all adjustment transactions manually
prepared each biweek pay period by payroll technicians.
The addition of, the new GSO pay scale may present further
problems since almost every PCS arrival and departure will
represent a potential adjustment. Thus it is very important that
every effort be made to eliminate manual adjustments in the
development of a new payroll system.
6.Concept: Provide capability for access, via terminal query, to
all data from payroll's computerized history files.
Background: Management has a continuing need for MIS type
information which is not readily predictable and certainly not
defineable except at the time the need for the information
arises. To provide for this eventuality, detail information on a
pay case basis must be made available so that Management can
structure its own query programs to extract information as the
need arises.
Access to computer history files of CACER, Leave, Tax, and T&A
information will meet this requirement (We would propose that
each pay record include the rate of pay, station location, FAN,
25X1 and Y/N code that was in effect during each pay period).
7.Concept: Modify Biweek front end computer routine to capture
certain NOCB data from interface files, and;
a. Pass to NOCB system via tape for master file input _or,
b. Prepare hardcopy output in NOCB.report format for delivery
to and processing by NOCB.
Background: Under current procedures certain information
applicable to NOCB pay cases, which is passed to payroll via
computer interface, is not being utilized. The data.passed on
these cases are rejected and appear on the biweek payroll
exception listing. This means that personal attention must be
devoted by the biweek pay technicians to notify their NOCB
-counterparts of items requiring immediate action, otherwise
waiting for hardcopy documentation could result in errroneous
pay. Obviously this provides potential for some slippage and an
effort should be made to utilize the available computer
information on NOCB pay cases, at least as advance notice, so
Approved For Release 0.2Qli~fti /bleilil-a 4-009338000100230027-9
25X1
 Approved For Release 2003/11/06 : CIA-RDP84-00933R000100230027-9
Page 7
that actions can be effected or followed up on in a timely manner
without regard to notification from the biweek pay technicians.
B.Concept: Redesign NOCB master file to interact with other
systems.
Background: The operation in NOCB is primarily a manual one and
should, for the most part, 'remain that way in order to provide
the needed flexibility in handling the variety Of pay cases they
encounter. However, there are certain functions in NOCB which
could be automated as a stand alone process, i.e., posting of
leave records, or in conjunction with concepts to automate other
payroll functions that would affect NOCB, i.e., automation of
retirement record postings. Additionally, the capability to
query pay/statistical data on NOCB pay cases should be an
essential consideration in building a Management Information
System. In order to accomplish the foregoing we believe it is
.necessary to build upon a Master file for NOCB pay cases.
9. Concept: Automate posting of retirement records (SF 2806.CSC
and Form 3114.CIAR1]S).
Background: At present the posting of retirement records is a
manual operation requiring approximately 1100 work hours per
year. Automation of this,process would considerably reduce the
manual effort expended and the attendant potential for errors and
misplaced records. Over a period of time it could also reduce the
bard copy storage requirements since the appropriate information
could be stored in the computer, producing hardcopy printout as
needed. In order to use this concept to the maximum benefit the
system should be able to capture and retain the necessary
information on all types of employees covered under a government
retirement program including those on the four-week payroll.
This would require expansion of the NOCB master file per Concept
#8 above..
10. Concept: Devise alternate methods (CRT or OCR) for AOB pay
technicians to update master files and prepare TEMPO adjustments.
Back round: Notwithstanding other concepts-to automate many of
the payroll operations through better use of interface and
-computer reaction to effective dates there would remain certain
items requiring manual update by payroll technicians. At present
this is a manual operation accomplished by preparation of
hardcopy forms by the.payroll technicians for- processing via the
four phase system. Thus-.errors in. preparing' the documents or the
Approved For Release'20b$/1 i/06 : CIA-RDP84-00933R000100230027-9
 11. Concept: Provide payroll with CRT terminal roster query and
update capability.
preparation of- duplicate adjustments are not generally detected
until after the four-phase processing. Along with the proposed
use of CRT or OCR for various other functions there appears to be
potential for using either of these techniques to prepare pay
updates and adjustments This could eliminate the preparation of
duplicate adjustments and the payroll technicians could more
effeciently query the status and ascertain the number of
adjustments in process for the current pay period.
Background: In addition to the tremendous amount of mail
received by payroll, that must be distributed to the appropriate
pay technician for action, numerous telephone inquiries are made
for individual pay information. This requires searching through
hardcopy rosters in order to determine the section and roll
number handling the individual. It would appear that a more
efficient method could be devised through the use of a CRT
terminal whereby basic information (alpha/numeric infoniation,,
roll number, station code) could be displayed. An update
capability could also be provided to simplify the addition of new
names which cannot be obtained through interface. Production of
the hardcopy rosters could be eliminated as well as a reduction
in storage requirements.
12. Concept: Design Master File in the payroll system to accept
additional data without major reprogramming.
Background: A new payroll system should contain sufficient
flexibility to add new items without major reprogramming. This
is especially important in payroll's effort to react quickly to
new requirements that are continually levied upon them.
.13. Concept: Expand electronic time and attendance reporting
for Overseas and Domestic installations and NOCB pay. cases to be
consistent with the concepts in this study for capturing daily
T&A data.
Background: Presently there are approximately 0 pay cases,
including nonofficial cover, part time and intermittent personnel
overseas whose time and attendance data are reported on Duty
Status Reports. F6r the most part this involves a manual payroll
.operation -in that each DSR must be reviewed to determine the
actual number of hours reported for regular time, premium time
and leave charges. Oftentirne due to pouch difficulties the time
Approved For.Release 2003/11/116 : CIA-RDP84-00939000100230027-9
Page 8
Approved For Releas ' 1 Ai-
84-009338000100230027-9
 U ki-I.LI~IIAL
Approved I'o 'Release 2003/11/06: CIA-RDP84-009 2000100230027-9
Page 9
and attendance reports are not received on a current basis and
NOCB payroll technicians must manually monitor missing reports.
Payments for when actually employed personnel are also delayed
waiting for DSR's and Performance Reports. It is estimated that
approximately 250 work hours per four week pay period are spent
on the processing of DSR's. While some of this time would still
be needed to manually process data received electronically the
information could be in hand much faster thereby providing a more
timely basis for payments and follow-ups to the field.
Electronic -reporting would also enhance the automation of leave
record posting for NOCB pay cases. The ETAR application
overseas, while effective, should be revised to-record daily T&A
data.
14. Concept: Structure pay and leave data in appropriate manner
to allow for more detailed fiscal and/or calendar year analysis
.and retrieval.
Background: Payroll is often called upon to provide various
agency components with detailed information necessary for
developing certain budgetary information or responding to other
ad-hoc requests. Many of these requests for information can be
complied with only through manual efforts expended by the payroll
technicians. Although the requests are valid it does detract
from the technicians basic responsibility when time must be taken
to analyze statistical data in order to meet these requirements.
Providing for appropriate structuring and retrieval of payroll
data would provide the capability for payroll to provide this
detailed information when needed without a tremendous impact on
the technician's time.-
15. Concept: Devise a new input coding structure that will
provide the capability to accept additional data items without
the need for periodic revisions to the codes.
Background: Under the present payroll system, Data
Identification Codes (DIC) are used to identify 'specific data
elements to the computer processing programs so that these
programs can execute in accordance with the nature of the
information being processed. Currently specific areas of the DIC
structure are reserved for specific categories of pay information
(i.e., 001-099=Taxable Earnings, 101-199=Non-taxable Earnings,
etc.). If there are no DIC's available in the non-taxable
category, one in the taxable category 'cannot be used since the
system is dependent on this structure:- Thus incorrect processing
would result unless ODP reprograms for this inconsistency in the
coding structure. In the development of a new payroll system
consideration should be given to a complete change i-n the codi'ng
Approved For Release' ~~I l l 0093380001002.30027-9
 Approved ForrRelease 2003/11/06: CIA-RDP84-000&A000100230027-9
Page 10
format so- that revisions can be made with minimal impact on ODP
and payroll operations.
Approved Fo'r.Release'2
1 Yf00933ROO01 OJD230027-9
M1,
 Approved Fd?Release 2003/11/06: CIA-RDP84-009 000100230027-9
Attachment 4
Page 1
Background Data to support Executive Sumnarv
and Summary of
Conceptual Design Pro
To Be Used For Reference Conversation
and Backup Documentation ONLY
Overtime hours worked by AOB per activity reports:
Period Number of Hours
1-31
Jan
80
317
1-29
Feb
80
312
1-31
Mar
80
246
1-30
Apr
80
128
1-31
May
80
300
1-30
Jun
80
183
1-31
Jul
80
315
1-31
Aug
80
311
1-30
Sep
80
493.
1-31
Oct
80
632
1-30
Nov
80
632
1-31
Dec
80
386
Total
4,255
-----------------------------------------------------------------
Time used by Payroll (NOCB) to process DSR's
Roll 37 one (1) tech @ 4.0% of time = 64 hrs.
Others six (6) techs@ 20% of time
or 32 hrs times 6 techs.. =192 hrs.
ODP Four Phase Time (Per ODP)
T&A Cards 200 hrs
TEMPOS 40 hrs
Master Files 48 hrs
Total 288 hrs per biweek period
NOCB"payroll 40 hrs per four weeks
--------------------------------------------------------------
Data to confirm that 15 Major Concepts are covered
in Executive Surrrnary
1. Increased Data via Interface- Concept 1
2. New Automation Techniques-----Concept(s) 2,3,4,5,8,.9,10,11,13
3. MIS Data Base------------------Concept(s) 3,4,6,14
4: System Flexibility-----.-------Concept(s) 12,15
Approved For Release 2003/'aE~f-00933R000100230027-9
( `_( 11\4 h ) - t ~'i 't LX I
 Approved FooR aCe ( p r91
1-3
5-7
Irt fp0bb9 0 l00230027-9
Page 2
Data to confirm that 68 original items in ODP study
covered in our 15 Concepts
Concept #1 covered 1-3
5-7
Concept #2 covered 1-3
5-7
Concept #3 covered 1-3
5-7
Concept #4 covered 1-3
5-7
Concept #5 covered 1-3
5-7
Concept #6 covered 1-3
5-7
Concept #7 covered 1-3
5-7
Concept #8 covered 1-3
5-7
Concept #9 covered 1-3
5-7
Concept#10 covered
Concept#11 covered
Concept#12 covered
1-3
5-7
year items 7,8,9,10,17(2) 68
year items 18
year items none
year items ? 1
year items
year items
none
3,24
year items none
year items none
year items 8
year items 4,12,24,32,51.,56,57
year items none
year items 36,39
year items 9
year items 2
year items 9
year items none
year items none
year items 33
year items none
year items none
year items none
year items none
1-3 year items 5,16(2&4),22,53,60,61
5-7 year items 3,13,14,15,16(1),29,31
32,48,49,51,57,65
Concepti13 covered 1-3 year items 5
5-7 year items none
Concept#14 covered 1-3 year items none
5-7 year items 6,41,42
Concept#15 covered 1-3 year items 19
5-7 year items 18
Not Feasible per ODP items 12(2) and 16(3)
Active or Completed items 11,17(1),26,2734,373844,46,4755
Not in Concepts(Progranrning) items 20,21,23,25,28,30,35,40,43,
45,50,52,54,58,59,62,63,64,
66,67
Approved For Release 2003/11/06 : CIA-RDP84-00933R000100230027-9
 ~.~t, Page 3
Approved Fdlp' Zelease 2003/11/06: CIA-RDP84-009 2000100230027-9
Data re Retirement Card Posting
AOB (Biweekly Basis)
CI Section:
9 technicians @ 1.5 hrs = 13.5 hrs
2 auditors @ 1 hr = 2 hrs
Overseas Section
7 technicians @ 1 hr = 7 hrs
2 auditors @.5 hr = 1 hr
Total 23.5 hrs
23.5 hrs x 26 p/p = 611 hrs per year
AOB/NOCB for posting LPI = 160 hrs per year
AOB/NOCB year end posting = 325 hrs per year
Grand Total 1,096 hrs per year
Data re AOB Technician Manhours
by major function(Biweekly basis)
Function -
Time
Total
T&A
4 techs @
4 hrs
16 hr
6 techs @ 4.5 hrs
2.5techs @ 2 hrs
27 hrs
5 hrs 48 hrs
Master Files
7 techs @
20 hrs
= 140
hrs
9.5techs @
43 hrs
= 405
hrs
4.5 auditors
= 109
hrs
654 hrs
TEMPO adjs.
7 techs @ 5
0 hrs
= 350
hrs
9
.5 techs
= 351
hrs
4
.5 auditors
= 272
hrs
972 hrs
Data re number of TEMPO Adis (SAMPLE PPN19)
Amended T&A (TC 920/930) 250
(TC 940/941) 124
(TC 900)
Difference Payments
Effective Dates:
Return to Duty'
Salary Changes
EOD' s
Contract Extensions
Separations
Arrivals/Departures
Misc
Estimate that 810 TEMPO's out
possibly be eliminated.
Approved For Rele
810
31
22
11
2
75
7
of 1254 or 64% for PP 19 could
/"I (~l(F~.13.3R000100230027-9
 Approved F N( /I)F;WA 0093' 100230027-9
Page 4
Man hours devoted by payroll to major
function
(16.5 technicians and 4.5 auditors-Total 21)
Total hrs
%
Pro Rata Hrs
R/T O/T
1. Preparation of TEMPO adjs.
960
46
776 184
2. Preparation of Master Files
650
31
526 124
3. Batching T&A cards
48
2
40 8
4. All other(EST)
422
21
338 84
Totals *
2080
100%
1680 400
*21 personnel x 80 hrs
+ 400 hrs O/T = .2080 hrs available
Percentage Factor: Equates to percentage of time 'spent on major
function.
Pro rata Breakdown: Percentage of total hrs pro rated
against regular and overtime hrs.
Estimated reduction in above workload by major function
if concepts adopted
Percentage
Est Reduction
1. Preparation of ThNiPO's
64%
x 960 =
614 hrs
2. Preparation of Master Files
50%
x 650
325 hrs*
3.Batching T&A caxds
100%
x 48
48 :hrs
4.Otber
10%
x 422
42 hrs
Approved For Release. 2003/11/06.: CIA-RDP84-00933R000100230027-9
 ILLEGIB Approved For Release 2003/11/06 : CIA-RDP84-00933R000100230027-9
Approved For Release 2003/11/06 : CIA-RDP84-00933R000100230027-9