RoBIN

1. RoBIN Rockwell Business Intelligence Network RoBIN

2. Initial RoBIN Team Members Name Title Christa Diane Bankay Coordinator Competitive Intelligence Randy T. Bell Manager Strategic Information Center Dan B . Borders Specialist Competitive Analysis Cheri L. Bengsch Admin Analyst Marketing Nan Jiang Analyst Business Strategy Joseph A. Vidmar Specialist Competitive Analysis Scott Harlan Specialist Business Strategy Shannon Urban Programmer Analyst

3. Goals for Today is to Answer These Questions • What is RoBIN? • Why do I want to be a part of it? • Why me? • Why are others not here? • How did this hair-brained idea get started? • What is Business Intelligence • What does RoBIN bring to Rockwell that doesn’t already exist? • Your Questions….

4. What is Business Intelligence?

5. Understanding implications of competitors’ activities Competitor Intelligence Understanding the dynamics of the market Market Intelligence Understanding current and prospective customers’ Customer Intelligence Business Intelligence is a systematic process for gathering and analyzing information about competitors, markets, and customers activities and trends to provide actionable intelligence to the organization. Business Intelligence Overview Business Intelligence

6. Rockwell’s Business Intelligence Functions Current Efforts Are Similar But Dispersed And Not Fully Leveraged • Business Development • RA • GMS • Divisions • GMS • ACIG • CPAG • Business Units • GMS • RSI • MPS • CSM • ACIG • - • CPAG • - RoBIN

7. Common Questions • Common Needs • Market Share • Competitive performance • Market Trends • Economic Trends • Data Warehousing • Analysis Tools • KIT • “What if” • SixSigma/ LeanManufacturing • FAROUT • SCIP • The Power of “So What?” • How do you recognize a buggy whip when you see it? • Individuals/ Groups roles and responsibility • Common problems • Rockwell’s BI Gaps – what is not covered and why • Gatekeepers • Where is VOC? • Who are our customers and what do they want? • Decision makers

8. Common Data Sources Data Sources - Examples • Competitor Intelligence • Tradeshows • Magazines • Sales force • Industry Analysts • Financial Analysts • Competitors • Etc. • Market Intelligence • Industry Analysts • Financial Analysts • Magazines • Industry Organizations • News services • Government • Etc. • Customer Intelligence • Customers • Industry Analysts • Financial Analyst • News services • Customer Press Releases • Etc.

9. Common Goals, Common Problems • In search of the Holy Grail or How I looked on the web and found nothing. • More/ better sources • How to I add more value? • The mechanic vs the heart surgeon • Need to reduce effort and increase output • Eliminate duplication • Decrease turn-around time • Improve efficiency, decision making and competitiveness • Ensure easier access to information • Internal customer access • Information structure • Access points • Common look and feel • If you like sausage don’t work in a sausage factory. • Jimmy Dean promotes taste not compliance to the specification for maximum allowable rodent hair. Mechanic: How come you get paid so much more than I do? We both utilize specialized knowledge to diagnose problems and have the skills, tools and capability to repair them. You simply work on the heart of a person while I work on the engine or heart of a car? Heart Surgeon: You’re right, but I do my work while the engine is still running.

10. What is Business Intelligence Process?

11. Determine Customers Needs/ Feedback: Management, Marketing, Sales, Others BI Customers Qualification & Selection of Sources Data Relevant to business issues Analysis of Filtered Data Analysis of varied data points over time “What if” analysis, Strategic/ Tactical impact BI Activities • CI Briefings • BI Briefings • Industry Analyst reports • Financial Analyst reports • Benchmarking • Survey Results • Gap Analysis • Market Share • Executive Summaries • Flash Reports • “Blade” Summaries • Economic Trends Outputs Disseminate to Users Information Storage/ Retrieval Data Warehouse Business Intelligence Process Available Data Sources Qualified Data Sources Filtered Relative Data Analyzed Data Points Formulate Information Actionable Intelligence Data Flow • What are the available sources? • Anything from yahoo chat room to personal interviews, web, trade shows, analyst, Psychic network. • SO WHAT? • What would you do with the information? • Good: Experts believe the stock market will loose • 90% of its Monday opening value by Friday’s close. • Better: But Rockwell will gain 50% by Friday’s close. • SO WHAT? • What would you do with the information? • Experts believe the stock market will crash again. • Its good data but is it relevant to Rockwell? • Is it something that could effect our business? • SO WHAT? • What would you do with the information? • The stock market can crash! • What is a qualified data source? • Who should qualify it and to what criteria?

12. Determine Customers Needs/ Feedback: Management, Marketing, Sales, Others BI Customers Qualification & Selection of Sources Data Relevant to business issues Analysis of Filtered Data Analysis of varied data points over time “What if” analysis, Strategic/ Tactical impact BI Activities • CI Briefings • BI Briefings • Industry Analyst reports • Financial Analyst reports • Benchmarking • Survey Results • Gap Analysis • Market Share • Executive Summaries • Flash Reports • “Blade” Summaries • Economic Trends Outputs Disseminate to Users Information Storage/ Retrieval Data Warehouse Key Points of Business Intelligence Understanding our customers issues directs the BI process Comprehensive analysis add the value to BI Good data sources feed the BI process Available Data Sources Qualified Data Sources Filtered Relative Data Analyzed Data Points Formulate Information Actionable Intelligence Data Flow Actionable outputs drives the value into the organization Customer focused access leverages the value across the organization

13. Determine Customers Needs/ Feedback: Management, Marketing, Sales, Others BI Customers Qualification & Selection of Sources Data Relevant to business issues Analysis of Filtered Data Analysis of varied data points over time “What if” analysis, Strategic/ Tactical impact BI Activities • CI Briefings • BI Briefings • Industry Analyst reports • Financial Analyst reports • Benchmarking • Survey Results • Gap Analysis • Market Share • Executive Summaries • Flash Reports • “Blade” Summaries • Economic Trends Outputs Disseminate to Users Information Storage/ Retrieval Data Warehouse Business Intelligence Areas of Opportunity Shared best practices/ tools Broader perspective Value focused Shared resources Reduced overlap Available Data Sources Qualified Data Sources Filtered Relative Data Analyzed Data Points Formulate Information Actionable Intelligence Data Flow Common distribution methods Increased value Single customer interface, searchable, customer focused, current Common format, reduce redundancy

14. So what is RoBIN? And Why Do I Want to Be Part of It?

15. What is RoBIN? RoBIN will be whatever we decided it should be! • Initial Proposal • A cross functional network of Rockwell business intelligence related personnel that: • Share best practices, analysis tools, resources, data, etc. • Improve Rockwell’s overall business intelligence capabilities through consistent and more rigorous methodologies and analysis tools. • Provide each other with shared insights, support, and extended your network of knowledge. • Act as a benchmark for continuous improvement in the quality of Rockwell’s common understanding for the market. • Provide a greater voice within the organization to act as an agent of change.

16. Tools, Tips, and Other Points to Ponder Tips • SCIP • In search of the Holy Grail or how I looked on the web and found nothing • Site search engine • Relative Market Share • The two hour analysis • The ‘source’ reference • The power of “So what?” Or if you were the customer what would you do with the information? • Less is the new more. • Indicators – when you can’t find the information you need use the information you find. • Avoid the “seeker of knowledge” • What drives businesses – hierarchy of needs • What drives value vs importance. Tools • Key Personnel / Corporate Profiling • KIT – Key Intelligence Topics • FAROUT • Future oriented • Accuracy • Resource efficiency • Objectivity • Usefulness • Timeliness • Strengths & Weaknesses of SWOT • Best Source vs Available Source • Personal “tool-kit” Sample Other Point to Ponder • 1996 Espionage Act • Business Intelligence Software

17. FYTD05 Accomplishments • EMEA Sales summit held in January for 35 sales people • Conducted Black Belt training Chicago in February (36 students) • Completed hiring of new Corporate Account Managers and Vice President in January 2005 • Signed strategic supplier agreement with Major Customer • Added to the MES specification at Major Customer (after a losing the "technical bake-off" 1 year ago) • Won HVAC PEMS specification at Major Customer. Major Customer placed Rockwell Automation on approved list of Engineering Services Providers (ESPs) for PEMS, RFID, Boiler Controls, Dough Mixing. If you are going to present this to Keith, what would be your concerns?

18. Situational Greater Value Knowledge Skills Experience Waiter Mailman Less Value Police Officer Auto Mechanic Less Importance Greater Importance Value vs Importance Which of these professions are in general more valued then the other? Entertainer Sports Star Heart Surgeon Trial Lawyer Which of these professions are in general more important then the other?

19. Importance of Organization Value to Organization Hierarchy of Business Needs Transcendence needs: Organizational Legacy Philanthropist needs: Social Improvement Organization Esteem needs: Organizational Recognition Industry needs: Industry Leadership, brand recognition Performance needs: Profitability, Growth, Competitiveness Stakeholders needs: Satisfaction of Stakeholders – Is our job/ money secure? Economic needs: Economic stability, security – Can we make predictable decisions Basic needs: Investment, market, resources, customers, meet governmental requirements – Are we going to be in business?

20. Value of Business Intelligence Value of BI • Importance is situational based • Maslow’s Hierarchy of Needs vs Hierarchy of Business Needs. • Would your Customer pay an Outside Agency to do this? If so, how much would they charge • Why is my report worth more then one from ARC’s, AMR’s, Frost & Sullivan? • No outside agency will ever understand Rockwell’s business as well as Rockwell. • When is an outside report a better value then one from me? • When they have access to information you can’t get to do to their position in the market or can spread the cost of the report over a larger audience.

21. Future looking information for current long term business decision. Vertical Market Leaders Product Market Leaders Senior Management Product Development Broad multi-facetted topic with deeper analysis required. Often requires an analysis of historical, current, and future implications with scenarios, what if analysis, KIT’s, etc. Potential long term impact to the business. Current information for focused current task. Sales Force Vertical Market Leaders Product Market Leaders Focused, limited scope of task Short time frame with little ability to further research topic. (research must already be available and accessible on file.) Often requires a intelligence network or SME to target the answer. Potential for immediate impact to the business. BI Request Types Request Type Strategic Tactical Knowledge Seekers • Undefined task objective on broad subject matter topic. • Any internal customer • Standard industry reports • Boiler plate analysis templates • No imbedded actionable intelligence • Time consuming with little or no measurable impact to the business. • Sometimes needed to ensure we are not overlooking potential problems in the business. Likely Customer Request Attributes What Does the Audience Want? And WHY?

22. Business Intelligence Requests Customer Request Evaluation Matrix Strategic or New/ In-depth Tactical Requests Tactical Spot Request High Organizational Return on Investment Existing Data for Knowledge Seeker Extensive Scope for Knowledge Seeker Low Easy Difficult Difficulty in Providing Response

23. Business Intelligence Requests Customer Request Evaluation Matrix Leverage analysis tools and resources to improve responses Leverage Business Intelligence Network resources High Organizational Return on Investment Develop or expand access to existing info DB Avoid or shift to another level of response Low Easy Difficult Difficulty in Providing Response

24. Business Intelligence Requests Customer Request Evaluation Matrix Strategic or New/ In-depth Tactical Requests Tactical Spot Request High Organizational Return on Investment Existing Data for Knowledge Seeker Extensive Scope for Knowledge Seeker Low Easy Difficult Difficulty in Providing Response Is the information easily obtainable? Yes No No No No Is the request in support of a business decision? Will the results effect the business decision? Is there a indicator or suitable alternative? Is the information obtainable? Who is the audience for the analysis Tactical Yes Yes Yes No Yes Strategic

25. So What are The Next Steps ???????

26. Backup

27. Summary • Good data sources feeds the business intelligence process. • Understanding our internal customers business issues directs the business intelligence process. • Comprehensive analysis of the information and its impact to the business adds the value to business intelligence. • Actionable outputs drives the value of business intelligence into the organization. • Customer focused access of intelligence leverages the value of business intelligence across the organization.

28. 78% - 100% 56% < 78% 0% < 56% Identify major benefits received Identify Competitors Rate the benefit to the customer Rate the performance of each competitor Rating Scale: 5 - Primary Benefit (only one "5" per CCBF) 3 - Strong Benefit (Not the primary benefit but an additional major benefit 1 - Marginal Benefit (Some impact but not highly valued by the customer Identify major segments Rating Scale: 9 - Always meets requirements 7 - Frequently meets requirements 5 - Usually meets requirements 3 - Seldom meets requirements 1 - Does not meet requirements Rate Importance to Customer Rating Scale: 7 – Extremely Critical 5 – High Importance 3 - Important Identify categories critical to customer’s buying decision for each segment Overall customer rating factor Competitive Gap - Example Looks At Competitive Gaps From Customers Perspective

29. 78% - 100% 56% < 78% 0% < 56% Competitive Gap - Example Who is the market leader? So what actions would you recommend for Honeywell? Where should Honeywell focus is efforts in process controls? How is the process control market different then building controls? Who is their primary challenger for the total market? Where should Honeywell focus its effort for building controls?

30. Business Intelligence Overview • Our customers are relying on Business Intelligence to help turn complex data into actionable intelligence so they can succeed in implementing these “high hards”. • Example: Automation Controls in the Pharmaceutical Market • Management wants to know where should they focus available resources to grow the sales of automation controls within the pharma market. • Market Segments • Customers Buying Behavior • Competitive Positioning • Area of Focus

31. Outputs: Past, Present and Future • Direct to customer • Limit Access? • Expected Shelf Life • Building a Maintenance Nightmare or Information Dream? • Path Forward is there a Future for RoBIN • Set up common infrastructure for all • Analysis Tools workshop

32. Determine Customers Needs/ Feedback: Management, Marketing, Sales, Others BI Customers Qualification & Selection of Sources Data Relevant to business issues Analysis of Filtered Data Analysis of varied data points over time “What if” analysis, Strategic/ Tactical impact BI Activities Available Data Sources Qualified Data Sources Filtered Relative Data Analyzed Data Points Formulate Information Actionable Intelligence Data Flow • CI Briefings • BI Briefings • Industry Analyst reports • Financial Analyst reports • Benchmarking • Survey Results • Gap Analysis • Market Share • Executive Summaries • Flash Reports • “Blade” Summaries • Economic Trends Outputs Disseminate to Users Information Storage/ Retrieval Data Warehouse Business Intelligence Process

33. BI Needs Worksheet