In general, the Financial Management stream will be impacted by local financial procedures, standards and guidelines. Therefore, at the beginning of the Service Engagement, the Engagement Manager must determine whether the Financial Management stream will be fully compliant with locally and group defined procedures, standards and guidelines. If there is going to be a deviation from these, the Engagement Manager may need to produce Service Engagement specific Financial Management Procedures, using relevant tailoring guidelines to meet the need of this specific Service Engagement for this Client. The Engagement Manager must identify the risks in achieving the objectives of this stream and ensure that the policy, procedures and approach are designed to handle these risks.

In order to produce invoices to the Client which are not disputed with regards to the services, quantities and amounts invoiced, the Engagement Manager must assure auditable procedures and administrations are setup to in support of this. The procedure must cover

• the registration of recurring services (including quantity, person in client organization, start and end date).
• the measuring the usage data of a recurring services.
• the registration of one-time services.
• the registration of additional work.
• the registration of resell.
• the calculation of the invoice amounts based on the agreed calculation rules and prices.

The procedure must also enforce the proper authorization and registration of the authorization by the Client.

When setting up the procedures and administrations, the Engagement Manager should take into account that most Clients have invoices that are accompanied with an invoice specification at Client departmental level and sometimes even employee level. The procedures and administrations must cater for this, since the information cannot be added afterwards. The tailored procedures should not conflict with contractual obligations, internal certifications and agreed management methods

By establishing the procedures, the Engagement Manager ensures that Service Engagement team and other stakeholders understand the process involved and the expectations behind Financial Management. The procedures provide a baseline that should be maintained throughout the entire life of the Service Engagement, and must be revised when the standard processes or Service Engagement conditions change. If a standalone Financial Management Procedures document is produced, then this must be referenced from the Service Governance Plan.

The tools that are selected to support Financial Management should help in:

• Efficiently creating invoices for the Client for the services delivered.
• Creating, monitoring and analyzing offers for additional work.
• Tracking the actual time spent on the Service Engagement.
• Translating demand for services and its revenues into supply of services/resource hours/products and their associated cost.
• Maintaining an up-to-date view of Service Engagement financial situation (actuals and forecast),
• Improving communication through visualization of Service Engagement finances.

Beside the financial planning and time recording tool the Engagement Manager will need to select appropriate tools that support Service Engagement revenue and cost estimation:

• ADMT is the mandated Capgemini Group application to price multi-year and cross SBU deals. The use of a single deal pricing tool across the Group open to delivery, sales and finance users brings more consistency and reliability, while improving commercial flexibility during pre-sales life cycle. Depending on local regulations, ADMT must be used when the contracted value of the Service Engagements changes.
• GREAT is the mandated Capgemini Group Estimation Tool for application development. The tool provides a full Service Engagement perspective and supports effort estimation for different types of both bespoke and package solutions. GREAT incorporates various onshore/offshore scenarios and is also integrated with Group delivery methods and tools, such as DELIVER and EMPower/Clarity.
• iCOST is the Infrastructure Services (IS) mandated tool for cost calculations of IS services. It is Service Engagement Portfolio and Catalogue based. Depending on local regulations, iCOST must be used when the contracted value of the Service Engagements changes.

In case the Service Engagement needs to use multiple estimation tools, the Engagement Manager must assure proper alignment of the services, costs and revenues modeled in the different tools.
Finally, the appropriate financial tools must be setup to allow for accurate financial monitoring of the Service Engagement. In addition to the local financial assessment tools which may be specified for the region, the Service Engagement must use N2K, the Group forecasting and reporting tool associated with the Group NOP/GFS accounting system.