The two components are closely interrelated, as the data preparation system accesses historical data in the warehouse for processing and then returns updated data to the data warehouse.

The data preparation system includes the ability to extract prior year data out of the data warehouse, provide a "data request" file to clients with the prior year's census data, import (or key-enter) the data for the current year, analyze the data provided by the client, compare current year data to prior year data, validate the data, correct data problems, export the data to the valuation system, import calculated data from the valuation system, and load the new data back into the data warehouse.

An overview schematic of Applaud-Pension is provided below.

The Data Flow
The following describes each step of the Applaud-Pension data flow. Numbers for the steps below correspond to the numbers displayed on the diagram above:

1. The data is copied from the warehouse to the reconciliation system - As the first step in the annual valuation process, the prior year data in the data warehouse is copied to the reconciliation system and the current year work file is created. This will serve as the starting data for the reconciliation process. As an automatic part of this step, a "data request" file is built in Excel which is provided to the client to obtain the latest year's data.
   
   
2. The current year work file is updated based on information provided by the client - The client provides updated census information, either via electronic feed in the standard Excel format, or via hard copy. If data is submitted via Excel, the data is imported and is used to update data in the current year work file. If data is submitted via hard copy, then the actuary uses data entry screens to update data in the current year work file. When the process is complete, reports are automatically produced to identify all changes made and identify potential problems such as employees that were not on the prior year valuation.
   
   
3. Applaud produces validation reports - Next, validation reports are produced that identify missing, inconsistent, and invalid information. The validation reports are controlled by client set-up screens, which will provide flexibility in the determination of errors noted. Each client may have different data validation criteria, which is automatically saved from year-to-year. Again, data entry screens are available to correct any invalid data. As an alternative, the actuary may request the client to make additional changes to the Excel data request file and resubmit the file through steps 2 and 3. In either case, validation reports may be produced repeatedly, until all problems are corrected.
   
   
4. The annual valuation export file is created and the valuation is run - Once the data has been validated, the valuation export process produces the file that is sent to the valuation system. The export process allows different valuation file formats to be created for different user-defined groups (thus supporting multiple valuation systems and multiple formats of the file). In this process a life count reconciliation report is automatically produced showing categories of status changes.
   
   
5. The warehouse is updated with data from the reconciliation system - When the data is ready, a process is run to update the data warehouse using the data from the reconciliation system.
   
   
6. Results of the valuation are imported into Applaud-Pension - The valuation system provides accrued benefit and other information to Applaud-Pension. This data is imported into the data preparation system and validated. Upon user approval the data, all appropriate data is moved into the prior year area of the data warehouse.

Easy and Inexpensive Customization
We recognize that each actuarial consulting firm has different data management needs and a different approach to the data management challenges. We understand that it is not possible to develop a system that provides the ultimate solution for every actuarial firm. That's where the power of Applaud is so important.

Literally every feature in Applaud-Pension is easily customizable to your exact needs. This is because Applaud-Pension was developed with Applaud-Benefits. Applaud-Benefits is the only Rapid Application Development (RAD) tool designed for employee benefits data management. Making adjustments and enhancements to Applaud-Pension are fast and easy.

The Benefits of Applaud-Pension
You should expect a significant change in your actuarial practice with Applaud-Pension:

	Data Warehouse for All Clients - The data warehouse is a central repository for the storage of all data for all clients. This means that all data will have one and only one location, which enhances data retrieval and minimizes query delays. The use of a central database facilitates the ability to manage data across practice areas much more efficiently, and enhances the potential to serve clients in new product offerings. Further, the relational database structure eliminates the redundancy of data that leads to inefficiencies and inconsistencies.
	Statistical Information - Applaud-Pension makes it possible to produce statistical reports for use in marketing and future business planning. For example, counts can be obtained regarding participants within a plan or client, or statistics regarding the types of plans currently managed by the firm. In addition, workflow metrics provide information that may be used to improve efficiency of serving clients.
	Standardized Process - Using one standardized process for all clients reduces training costs and facilitates the transfer of clients from one analyst to another. One standardized process eliminates the need to support multiple methods of accomplishing the same activities. In addition, a standardized approach facilitates the expansion of services and the efficient restructuring of the workflow process. Further, it provides greater flexibility to management in charting the course of the firm.
	Improved Data Accuracy - The robust data validation capabilities of Applaud-Pension will dramatically improve the quality of data. You will be able to identify and correct more data issues. In addition, the data scrubbing process will require substantially less time.
	Improved Productivity/Profitability/Competitive Edge - The net result is enhanced productivity, which results in increased profitability and a competitive edge.
	Flexibility for New Requirements - Possibly the most important advantage of Applaud-Pension is its flexibility for future changes. Applaud’s Rapid Application Development (RAD) tools make it easy to enhance the data structure and data definitions based on new requirements. For example, future needs might include new types of salary fields, new types of hours history, new types of status event history, new comments fields, new tickler processes to remind you to perform specific services for your clients, etc. Other examples might include the need to store additional types of client data such as OPEB, 401(k), compensation, etc. With Applaud-Pension, future enhancements are much more simple and much less costly than with any other development tool/process.