According to the Public Servants’ Pension proclamation number 345/2003,the pension contribution was to be collected from every employer monthly and transferred to the pension fund account within a month time after the payment of monthly salary. Even though it has been clearly stipulated in the pension proclamation, it was very difficult to collect the contribution efficiently (both in terms of time and the right amount). One of the major challenges the agency faced in collecting the pension contribution was related to the system. The Agency was expected to collect the contribution from about 4000 government organizations all over the country which makes the process cumbersome, time taking and requires a lot of labor force to inspect the contribution collection. The other challenge was lack of strong enforcement mechanism to employers who are not able to comply. In order to address this critical problem, the Agency has under taken a business process re-engineering which is mainly aimed at enhancing its operational efficiency. The business process re-engineering has dramatically changed the pension contribution collection system that make more efficient.