Skip to main content
Documentation
Documentation
Administrator Guide
Last Updated: 2024-01-26
Setup Considerations: Grants Management

Setup Considerations: Grants Management

You can use this topic to help make decisions when planning your configuration and use of Workday Grants Management. It explains:
  • Why to set it up.
  • How it fits into the rest of Workday.
  • Downstream impacts and cross-product interactions.
  • Security requirements and business process configurations.
  • Questions and limitations to consider before implementation.
Refer to detailed task instructions for full configuration details.

What It Is

Workday Grants Management provides a comprehensive platform that enables you to configure and manage the different components of an award, including:
  • Award billing.
  • Award contracts.
  • Award proposals.
  • Effort certification.
  • Facilities and administration (F&A) or indirect costs.
  • Revenue recognition.
  • Sponsor information.

Business Benefits

  • Calculate the F&A costs associated with your award expenditures.
  • Certify employee efforts with real-time data from Workday Payroll and HCM.
  • Help ensure compliance with your award contracts.
  • Use data from Workday Financials and other spending sources to obtain accurate accounts of your spending toward award limits.

Use Cases

  • Bill your sponsors for the direct and indirect costs of your awards.
  • Impose billing limits, salary caps, and spend restrictions on awards.
  • Map internal spend categories to sponsor expenditure categories.
  • Override or waive F&A cost rates when you renegotiate F&A rates with your sponsors.
  • Notify you of tasks and reports outside of Workday that you need to complete to maintain your awards.
  • Prepare effort certification reports for U.S. government sponsors.
  • Track multiple grants, award line dates, and subrecipients on your awards.

Questions to Consider

Question
Consideration
Is the funding for your award sponsored or cost-shared?
You can create a fund type to indicate whether a fund:
  • Is sponsor-funded or cost-shared.
  • Has any spend restrictions.
In Workday, you can create award contracts with either sponsored or cost-shared funds, but you can only bill the sponsors for awards with sponsored funds.
How do you want to calculate F&A or indirect costs for your award spending?
Workday automatically calculates F&A costs for every spend based on the F&A details you configure on cost reimbursable and fixed amount award lines.
Do your sponsors define cost categories differently from your organization?
You can use object class mapping to map cost categories in your organization to sponsor-defined cost categories. Workday uses object classes to:
  • Determine the spend transactions that are eligible for F&A costs calculation and reimbursement.
  • Report and bill your award expenditures in cost categories that the sponsor recognizes.
Example: Your sponsor agrees to reimburse you for award spending in the
Lab Equipment & Supplies
 cost category. Your company doesn't use the same cost category, but instead uses
Lab Equipment
 and
Lab Supplies
 to capture the same spends. You create an object class
Lab Equipment & Supplies
, and map the
Lab Equipment
 and
Lab Supplies
 spend categories to the object class. When you buy any lab equipment or supplies, Workday attaches the object class worktag
Lab Equipment & Supplies
 to the spend transactions, enabling you to bill and report the expenditure to the sponsor.
Do you need to certify efforts of your workers?
When you receive federal grants from U.S. government sponsors, Workday enables you to generate effort certification reports to certify your worker efforts. You can route the effort certification reports to department or grant managers for review and approval.
When you want to plan for payroll costing and allocation before certifying worker efforts, you can preview effort certification reports with pro forma effort certification.

Recommendations

  • Configure the related worktags for your grant, program, or cost center.
  • To track and report F&A costs separately from the original spend transactions, configure your award costs processing rules to override F&A spend categories and object classes.

Requirements

  • Configure your company so that you can create awards and set up award costs processing rules for the company.
  • To use effort certification, configure your worker data in HCM and ensure that your data is current in Workday payroll.

Limitations

No impact.

Tenant Setup

  • Create a sequence ID that Workday can use to assign a sequence number to new awards, award proposals, grants, and sponsors.
  • Use the
    Edit Tenant Setup - Financials
     task to map the sequence IDs as the business document sequence ID for award contracts, award proposals, grants, proposal grants, and sponsors.

Security

Configure these security domains in the Grants Management functional area:
Domains
Considerations
Manage: Grant
Enables you to configure and manage grants and grant hierarchies.
Process: Award
Enables you to configure and manage award attachments, award billing, and award tasks.
Process: Billing
Enables you to configure and manage award billing, including billing schedules and invoices.
Set Up: Effort Certification
Enables you to configure and manage effort certification reports.
Set Up: Funds
Enables you to configure and manage funds.
Set Up: Grants Management
Enables you to configure and manage awards, F&A configurations, and object class mapping.
Set Up: Sponsor
Enables you to configure and manage sponsors.

Business Processes

Business Processes
Considerations
Award Amendment Event
Enables you to:
  • Add a subprocess to create a budget amendment from the award budget.
  • Route an award amendment to reviewers.
Award Budget Hub Event
Enables you to submit an award budget plan for review.
Can be a subprocess for the
Award Event
 business process.
Award Correction Event
Enables you to correct an award.
Award Event
Enables you to create an award and route it for approval.
You can also add subprocesses to create:
  • Award billing schedules.
  • Award budgets.
Award Proposal Event
Enables you to route an award proposal for review and approval.
Award Task Event
Enables you to route an award task for review and approval.
Effort Certification Event
Enables you to route effort certification reports to workers and managers for certification and administrative review.
You can also add a subprocess to create payroll accounting adjustments when you make changes to worker efforts during the certification process.
Letter of Credit Draw Down Event
Enables you to:
  • Automatically apply letter of credit drawdown payment.
  • Generate payment for letter of credit drawdown.
  • Route the letter of credit drawdown for review and approval.
Reprocess Award Costs Event
Enables you to route the recalculated award costs for approval.

Reporting

Reports or Dashboards
Considerations
Discovery Board
Provides a visual analytics of your awards, award-related spending, or effort certification.
You can use these report data sources (RDS) in your discovery board:
  • Award Lines
  • Awards
  • Award Tasks
  • Cost Reimbursable Transaction Lines
  • Effort Certification Lines
  • Effort Certifications
Effort Certification Work Area
Enables you to view and manage all the effort certification reports that you have access to.
Find Awards
 report
Enables you to view award information by company and effective date.
You can do a faceted search on the returned rows.
My Awards Dashboard
A Workday-delivered workspace that you can configure with worklets to report on the awards in your organization.

Integrations

Web Services
Considerations
Correct Award
Updates an award without saving the previous version.
Get Awards
Retrieves the latest versions of awards.
Get Funds
Put Fund
Retrieves, creates, or updates funds.
Get Grants
Put Grant
Retrieves, creates, or updates grants.
Get Sponsors
Put Sponsor
Retrieves, creates, or updates sponsor information.
Submit Award
Creates a new award.
Submit Award Amendment
Updates an award and keeps a copy of the previous version.

Connections and Touchpoints

Features
Considerations
Banking & Settlement
You can only bill for award expenditures in these spend areas after you settle the transactions:
  • Expense reports.
  • Payroll.
  • Supplier Accounts.
Budgets
You can plan your award and award proposal budgets with Workday Budgets.
Customer Accounts
You can manage receivables from sponsors using Customer Accounts.
Financial Accounting
Workday posts the journals for F&A costs and revenue recognition to the ledger accounts that you configure in the account posting rule.
HCM Core
Set up employee data on HCM core before certifying employee efforts.
Payroll
During effort certification, Workday uses payroll journals to certify that worker compensations match their committed effort.
When a reviewer makes a change to an effort certification, you can initiate a payroll accounting adjustment to reflect the change.
Expenses
Inventory
Procurement
Supplier Accounts
You can associate spends from these and other functional areas within Workday to awards, and bill the sponsors for them.
Student Financials
You can charge student financial aid to awards for reimbursement. Example: A student receives financial aid from a National Science Foundation fellowship through your organization. You can charge the fellowship to the award sponsored by the National Science Foundation.
Time
You can certify an effort by work hours.
Workday offers a Touchpoints Kit with resources to help you understand configuration relationships in your tenant. Learn more about the Workday Touchpoints Kit on Workday Community.