About DIPRES

The Budget Office (DIPRES) is a Chilean public service created in 1927, under the Ministry of Finance. It is an equivalent service to the US OMB (Office of Management and Budget). Its objective is to ensure an efficient allocation and use of public resources within the fiscal policy, through the application of systems and instruments for financial management, programming and control management. DIPRES manages the budget for more than 200 public services.

PROJECT DESCRIPTION

We accompany the DIPRES, in the implementation of the new Public Sector Budget Information System, SIAP. The main objective was to carry out a technological renovation of the computer system in force at that time.

The Public Sector Budget Law is a financial estimate of income and an authorization of expenditures for a given year. Therefore, to comply with the Law, 6 major processes must be executed:

1. Exploratory: Process carried out by the budget sectors of the Budget Sub-Directorate to generate the Communicated Framework for Public Services and the Financial Program.
2. Formulate Budgets: Executed by budget analysts based on budget requests for services and the exploratory budget.
3. Discuss and Approve Budgets: It has done in Congress, where it is analyzed and discussed, in different instances (Subcommittees, Mixed Commission, Chamber of Deputies and Senate), the Budget Bill proposed by the Executive Power.
4. Update Budget Law: Adjustment to the initial Budget Law approved for the current year, forming the Current Budget (initial budget plus budget modifications).
5. Execute Budget Law: Programming of the execution, where the Initial Budget Law is monthlyized by program and currency, segmented by institutional classifier and budget classifier, according to the new budget classifications (geographical classification, programmatic lines, investment initiatives, among others).
6. Evaluate Budget Law Execution: Analysis of the budget year of the previous period, by Ministry and Institution, which incorporates the budget information on expenditure and management, according to basic classifications and new budget classifications.

Finally, Tecnova implements a technological solution to optimally support and systematize the budget cycle processes at the Central Government level, the focus of the technological solution being the processes: Formulate, Update and Execute the Budget Law.

Project Strategy

Given the estimated effort, the project was implemented in phases and required an investment of 34 months of implementation, using the Incremental Cascade development methodology, with processes based on CMMi. The first phase covered the processes of Formulation and Administration of the Public Sector Budget and Budget Law Updating. On the other hand, the second phase considered the Execution Programming, Budget Execution and Execution Projections and Reportability processes.

In addition, for the activities of analysis and redesign of business processes, the focus was on:

• First, optimize processes to improve the budgets analysts experience.
• Achieve integration with other government institutions through a service model and interoperation protocols.
• Model the data source to achieve various types of reports necessary for public sector budget actors.
• Define an infrastructure and architecture model in accordance with the new business process model.
• Finally, innovate and dispose new work tools to increase the productivity of financial analysts.