Oracle Hosting Services Providers (OHSP)andOracle Outsourcing Services Kirk Williams Frontier Consulting, Inc. Senior Oracle Consultant
Vision Statement • Reduce support costs of Applications and become Independent of internal IS staffing (DBA’s). • Outsource hardware expenses and support of servers along with Managed Disaster Recovery. Frontier Consulting, Inc.
Core Services Outsourcing E-Business Suite - Managed Hosting Core Services Corporation June – 2003 Frontier Consulting, Inc.
Goal and Objective • Introduction • Win Win Objective – Customer and OHSP • Bottom Line Impact of Financial Statements • More Bang for the Buck • Reduce Dependence of Internal Information Systems Staff Frontier Consulting, Inc.
Partners Working WithOracle Outsourcing • Experience can pay off when working with Oracle Outsourcing with Implementations • Issues working through a Migration: Partners can focus on Project Consulting • Partners can relieve the Consulting Resource Burden Frontier Consulting, Inc.
FAQs for OHSPs • What is an Oracle Hosted Service Provider (OHSP)? What is an ASP? • An Oracle Hosted Service Provider (OHSP) is a customer facing entity providing access to business applications, functions or processes on a subscriber basis from a centrally managed facility. • An Application Service Provider (ASP) delivers advanced data center services to OHSPs by delivering the "power and ping", i.e., network components, hardware servers, security frameworks, and Oracle DBA services and often acts as second line support for the OHSP. Frontier Consulting, Inc.
2. How does OHSPs define an Online Service? • OHSP’s can deliver our E-Business Suite of Applications over the internet as an Online Service. We deliver Internet-enabled applications faster, more economically, and more reliably than a customer implementing offline. • A complete and simple Online Service includes Oracle Applications, Implementation, Oracle Education, Oracle Support and Oracle Hosting. Frontier Consulting, Inc.
Cost Model Frontier Consulting, Inc.
Lowest TCO • The average payback for an outsourced solution was 1.33 years. Frontier Consulting, Inc.
3. What are OHSP’s Online Services comprised of? • Not only are Oracle Applications and Oracle Hosting included, but Implementation, Oracle Education, and Oracle Support can be purchased for a complete service. Frontier Consulting, Inc.
In As Little As Five Days Features 90% pre-configured Oracle-only applications and bundled services designed to be implemented in five business days or less. Appropriate for customers with: • Single Organization • Single Set of Books • Single Reporting Currency • No Custom Interfaces • Fixed Workflow Settings • Pre-defined Chart of Accounts • Single Language • Pre-defined Reports Frontier Consulting, Inc.
30-100 Days Moderately alterable workflow settings on Oracle-only applications and designed to be implemented in approximately 30-100 business days. Appropriate for customers with: • Single Organization • Single Set of Books • Single Reporting Currency • No Custom Interfaces • Fixed Workflow Settings • Single Language Frontier Consulting, Inc.
100+ Days Can be altered considerably and may include non-Oracle applications. Provides the highest level of flexibility and customization. Appropriate for customers with: • Multiple Organizations • Multiple Set of Books • Multiple Reporting Currencies • Customized Reporting • Multiple Languages • Global Consolidation Support • Integration with Non-oracle Applications Frontier Consulting, Inc.
Oracle Support • Telephone Assistanceavailable 24x7 (Global Toll-free Basis) • Monitoring and Software Patches • Electronic Services • Oracle MetaLinkSM • Online Support: Offers rapid solutions to problems, patches, and general application support) • Oracle Guarantee:Any customer not satisfied for any reason during a given month will receive a 20% credit for that month's hosting fees Frontier Consulting, Inc.
Oracle Education Includes comprehensive training, which varies by offering. May include: • On-site Training done by Oracle University instructors • Variety of titles from Oracle's extensive library of technology-based training CDs • Oracle TutorTM (Tutorial Software) Frontier Consulting, Inc.
4. What is OHSP’s Online Strategy? • OHSP’s online strategy is to deliver enterprise applications faster, more economically, and more reliably than custom solutions traditionally implemented in-house. The software industry is clearly moving from an off-line, assemble yourself model, to an online service model. In the near future, Oracle anticipates most business applications will be purchased and implemented online. Frontier Consulting, Inc.
5.What are the Benefits of using OHSP’s Online Services? • Complete– OHSPs provide an end-to-end, world-class e-business technology solution including: Oracle Applications, Implementation, Oracle Support, Oracle Education and Oracle Hosting. • Simple - OHSPs provide the technical staff and hardware, and manages the applications, upgrades and servers. Through its professionally managed sites, Oracle drives the day-to-day tasks of the IT infrastructure, thereby freeing customers to focus on strategic business issues and core competencies. Frontier Consulting, Inc.
Fast- OHSPs get customers to market quickly and reliably. • Support– OHSP customers gain efficiency in Support Services. When Oracle’s online customers call in with problems, there is no “standing in line” while problems are reproduced, traced, and finally fixed. Instead, Oracle Support can go online and view which patch level the customer is on, where the problem is, and fix it in real-time. • Attractively Priced- OHSPs provide ready access to industry-leading applications, with fewer IT issues, and with a decreased total cost of traditional deployment. Frontier Consulting, Inc.
Core Services An Oracle Applications Services Provider • 100% Oracle Applications & Related Products • Sun Microsystems • EMC • Cisco • Checkpoint • Optio • Vertex • Clear Orbit Bar Coding • 11 Years Oracle Partner • 59 Oracle Implementations completed • 52 Oracle Applications Hosting Customer Frontier Consulting, Inc.
Deployed! – 50+ Customers EMEA 5: Apps NORTH AMERICA 42: Apps ASIA PACIFIC 3: Apps LATIN AMERICA 2: Apps Frontier Consulting, Inc.
Core provides delivery of enterprise applications and technology through a network hosted in a professionally managed environment. • Data Center Locations • Union, New Jersey • Offices • Union, New Jersey • Chicago, Illinois • Houston, Texas • Orlando, Florida • Beijing, China Frontier Consulting, Inc.
Core Services – Selected by Oracle Corporation Core Services is one of only 32 Oracle Authorized Service Providers. Hand picked and approved by Oracle Corporation, the designation is Oracle’s highest partnership tier for applications. Oracle Awarded Core Services “Best Overall” for the Eastern US for year 2001. Frontier Consulting, Inc.
Why Host with Core? TAR resolutions with Core Development • Many times, Oracle Development requires additional information for troubleshooting purposes. These requests for information from Oracle Development are too often incomplete and fragmented. • Core developers are versed at root cause analysis and can provide detailed bug descriptions to Oracle Development for faster turn-around times on most critical issues. • Core has direct lines to many Oracle Developers. Core has worked hand and hand with Oracle Development solving issues for many customers. In fact, Core written code has helped Oracle Development solve customer issues. Frontier Consulting, Inc.
Core vs. Oracle Outsourcing “Since we left oracle.com and are now with Core Services; Core has shown us many improvements to application setups and we are now reaping the benefits of the system we thought we purchased; all for a fraction of the monthly price.“ Don Stiers – Power Medical Interventions Frontier Consulting, Inc.
Scope of Services – Applications Management • Installation • Patch Application and Management with portal for customer inquiry • Patch Validation and Test in conjunction with Customer • Problem Reproduction and Diagnosis • Concurrent Manager Management and Configuration • Mange Applications Object Library (AOL) • Manage Change Control Process • Manage Printer Setup • Software Release & Upgrade Planning • Oracle TAR Monitor and Resolution • Application Bug Alerts Frontier Consulting, Inc.
6. What are Oracle’s Hosting Services? Availability Services • Provision & Maintenance of Server Hardware • Uninterrupted Power Source (UPS) • Multiple Internet Connections • Raid • 24x7x365 Monitoring Frontier Consulting, Inc.
Capacity Management Services • CPU Memory Utilization Monitoring • Database Utilization Monitoring • Database Space Allocation Configuration • Network Bandwidth Monitoring Frontier Consulting, Inc.
Security Services • Defined User Account Creation • Controlled Room, Root, D.B.and FTP Access • Triple DES Encryption • Firewall • System & Database Performance & Tuning • Automatic Notification of System Availability Problems Frontier Consulting, Inc.
Production Management Services • Scheduling & Managing Database Backups • Log File Rotation & Analysis • Aging of Reports and Logs • Ad Hoc Restoration Frontier Consulting, Inc.
7. How much do OHSP’s Online Services cost? What are the factors that determine the range in prices, i.e., implementation timeframes, customization? OHSP’s Online Service pricing includes the cost of the Applications, Consulting, Support, Education and Hosting. A general price breakdown for Online Services is as follows: Frontier Consulting, Inc.
Application:The application is owned by the customer. There are two types of licenses: Perpetual or Term. Pricing is also dependent on the selected application(s). For specific application pricing, please visit the Oracle Store at:http://www.oraclestore.com • Support:Support is 22% of the List License fee/year. Frontier Consulting, Inc.
Education:Education is a fixed price, depending upon the application. • Consulting:Consulting fees are dependent upon the implementation. • Hosting:Hosting is approximately 5% of license/month with a $12000 monthly minimum. Frontier Consulting, Inc.
8. How long will it take to go live with OHSP’s Online Applications? • Implementation varies by solution. 9. How long is the initial contracted Hosting Service? • The initial hosting contract is a one-year term. Frontier Consulting, Inc.
10. What are my options once the Contract expires? • The Standard Contract can be renewed in one-year increments. Contracts are valid for one year and are non refundable and non cancelable. If the customer decides to bring the processes in-house once the contract expires, Oracle will provide a complete copy of the installed applications and technology software as well as all customer data. Frontier Consulting, Inc.
11. Who is responsible for my Patches? • During implementation, the Authorized Implementer (Oracle Consulting or Authorized Implementation Partner) is responsible for the initial set up. Once a customer is in production, these tasks are performed by Oracle Applications Management Support Services (AMS). Frontier Consulting, Inc.
12. What are the Disaster Recovery Procedures? • OHSP’s execute incremental backups every day and full backups once a week. Additional backups are performed each time a database or major application modification occurs. These backups are securely stored on-site. Long-term storage is held off site for additional disaster recovery. Frontier Consulting, Inc.
13. What PCs do I need to access OHSP’s Online Services? Any computing device (PCs, Network Computers) with Java (v1.3 or greater) enabled browsers with the following recommended minimum configuration: • Pentium III processor running Windows 98, 2000 or XP • 264 Mb RAM • Java-compliant browser (Netscape 6.0 or Internet Explorer 6.0 and higher) Frontier Consulting, Inc.
14. Will OHSPs manage my Desktop environment? • No. The customer is required to operate and maintain your own desktop and LAN infrastructure. Frontier Consulting, Inc.
15. How do International Users interact with OHSPs? • Customers with International Users should use their existing network infrastructure to connect to the customer’s Network Hub in the U.S. The U.S. hub will be connected to Oracle’s Data Center, and the international users can access the applications through this connection. Frontier Consulting, Inc.
16. Who is responsible for the Data Line from OHSPs to the customer site? • OHSPs are partnering with telecommunications providers to deliver reliable VPN connections from OHSPs to the customer’s site with the proper specifications. The telecommunications provider will be responsible for the data line and will engage the customer in delivery. Frontier Consulting, Inc.
17. Where can I get more information? • You can get more information by visiting the web sites of the Oracle ASP’s • Also try web searches for Oracle ASP. Frontier Consulting, Inc.
Oracle Applications Delivered Online Hosting Access Policies Oracle Outsourcing Services – Hosting AccessRevised February 2003 Standard Hosting Offerings Oracle will provide Data Center Hosting Facilities to support remote customer access within approved parameters established by Oracle and provided to the customer. This is subject to the customer's agreement of Oracle policies regarding hosting operations and the hosting of Oracle Applications. Oracle will define the hosting services network and systems architecture, and the specification of hardware and software requirements. Frontier Consulting, Inc.
Standard Hardware The Oracle Standard Server Configuration is designed to deliver optimal performance to each customer. As part of the standard hosting offering, Oracle will configure three printer or print server connections to support standard Hewlett Packard Model PCL 4 (and above) class printers. No other printer models are supported by the configuration. Each customer must provide an Internet Routable IP address for each print server or printer prior to configuration. Oracle will configure additional printers or printer server connections, provided that, prior to the configuration of such printer or printer connection, such customer (i) pays Oracle a one time set up fee of $1,000 for each additional printer or printer server required, and (ii) agrees to pay Oracle a yearly maintenance fee of $1,200 for each additional printer or printer server required. Frontier Consulting, Inc.
Standard Network The Oracle Hosting Network utilizes redundant firewalls configured to allow network traffic using the protocols, ports, and IP addresses originating from the customer router/Virtual Private Network (VPN). To provide our customers with a secure hosting environment, Oracle does not allow the following: (i) clear Internet connections to the customer's instance, (ii) Simple Network Management Protocol (SNMP) read only or write access to Oracle provided network equipment installed on the customer's premise, and/or (iii) analog dial up access to the customer's hosting environment. Frontier Consulting, Inc.
The Hosting Network is configured to facilitate prevention of data theft and unauthorized network access. For each customer, Oracle will configure a VPN Box for network connectivity for one customer location. Oracle will configure a VPN Box for an additional customer location, provided that prior to each such additional customer location configuration, such customer (i) pays Oracle a one time set up fee (including hardware and configuration) of $5,000 and (ii) agrees to pay Oracle a yearly maintenance fee of $1,200. Each customer is responsible for the acquisition, configuration, monitoring, maintenance and management of all hardware and software at customer locations (except for the VPN Box specified in the previous paragraph), including Local Area Networks (LAN), computers, software, telecommunications, and devices. Frontier Consulting, Inc.
Each customer can use its current Internet Service Provider (ISP) to provide the network connection to Oracle. Oracle will not be responsible for the network connection or for issues, problems or conditions arising from or related to the network connection, including but not limited to bandwidth issues, network outages, and/or any other conditions that are caused by the ISP and/or the network connection. Frontier Consulting, Inc.
Standard Service As part of the standard hosting offering, Oracle establishes the Database and Application Code Structure needed to facilitate hosting of the applications ("instance"). Three instances are established for each customer: Test, Development and Production. Substitutions cannot be accommodated. Once a customer has commenced "live" use of the Hosting Services, Oracle will monitor the test instance for the purpose of facilitating troubleshooting of issues. If, as part of a multi-phased implementation, an additional test instance must be established, or if a customer requests any other additional instances, the customer will be required to pay additional fees as follows. Frontier Consulting, Inc.
Oracle will establish additional Instances for a customer, provided that, prior to the establishment of such instances, such customer: (i) pays Oracle a one time set up fee of $6,000 for each additional instance; and (ii) agrees to pay Oracle a monthly maintenance fee of $2,000 per month, with a three month minimum maintenance requirement, for each additional instance. Oracle will review and apply appropriate Operating System Patches to support the hosting infrastructure. Application patches are reviewed and applied on an as-required basis to the production environment to facilitate a consistent and reliable application environment. Frontier Consulting, Inc.
Application Upgrades It is the customer's responsibility to contract with an Authorized Implementer to perform application upgrades. Oracle will provide the Upgrade Environment (Network Access, Computing Environment, Storage, and access to the Application Code Tree) with a copy of the customer's production, test or development instance. Once the customer has completed the application upgrade and accepted the application functionality, the customer is then required to follow the Oracle Acceptance CriteriaProcess (specified in the Oracle Implementation Guide) for transition into production. Once the customer has accepted the criteria, Oracle will work with the customer and the Authorized Implementer to move the instance to the customer's production server. Frontier Consulting, Inc.
Standard Refresh Allowance As part of the Standard Hosting Offering, Oracle will reload an image copy of a customer's database files ("refresh") once per week per instance in implementation phase, and once per month in production phase. Oracle will allow a customer additional refreshes provided that, prior to each refresh, such customer pays Oracle $1,000. Oracle requires 48 hours notice for a refresh and customer must ensure that the instance is shut down and inaccessible by no later than 5:00 p.m. Pacific Standard Time. Refreshes are only available Monday through Friday. Refreshes cannot be accumulated. Frontier Consulting, Inc.