Oracle Corporate Performance Management

2. Oracle Corporate Performance Management Steve Miranda Oracle Development

3. What Is Corporate Performance Management? CPM is "an umbrella term to describe the methodologies, metrics, processes and systems used to monitor and manage the business performance of an enterprise." – L. Geishecker and F. Buytendijk – Gartner, "Introducing the CPM Suites Magic Quadrant" Oct 2002 CPM is "where strategy and planningmeet execution and measurement" – J. Hagerty – AMR, Oracle AppsWorld Jan 2003

4. What is Corporate Performance Management? CPM encompasses three types of activities: • Strategic Goal Setting and Alignment • Planning, Budgeting, Forecasting and Modeling • Operational Analytics, Reporting and Consolidation

5. “BI is not CPM!” - L. Geishecker, Gartner

6. Performance Metrics Communication CorrectionImprovement Feedback CPM: Feedback Loop Strategy Formulation: Enterprise Goals and Strategies Strategic UserType Execution: Operation Targets and Budgets Operational Transactional Transaction Systems:Process Transactions Source: Gartner “CPM Vision” March, 2003

7. Oracle CPM Positioning Regain control of the business Meet legal and regulatory requirements Improve understanding of the business Link strategy, planning, and reporting across the enterprise Exploit business opportunities

8. Regain control of the business Increase organizational credibility Oracle CPM Positioning Ensure that strategy, planning and reporting systems are consistent, repeatable and auditable Establish clear lines of accountability Manage by fact

9. Regain control of the business Increase organizational credibility Remove barriers throughout the enterprise Oracle CPM Positioning Enable cross-functional sharing of information Enhance communication among strategy formulation, planning and monitoring systems Work as one team

10. Oracle’s CPM Footprint • Oracle Financial Analyzer (OFA) • Oracle Sales Analyzer (OSA) • Oracle Performance Analyzer (PA) • Oracle Activity Based Management (ABM) • Oracle Balanced Scorecard (BSC) • Oracle Daily Business Intelligence (DBI) • Oracle Demand Planner (ODP) • Oracle Sales (OS) • Oracle Marketing (OM) • Oracle Global Consolidation System (GCS) • Oracle Public Sector Budgeting (PSB)

11. Q & Q U E S T I O N S A N S W E R S A

12. Joe ThomasProduct Director BI Applications Oracle Corporation

13. Oracle Products Daily Business Intelligence Advanced BenefitsFinancials Human Resources Incentive Compensation Inventory Manufacturing Payroll Purchasing Sales Analyzer Suite Results: 1999: Implemented AP, GL, & Purchasing 2002: Added HR, Payroll, & Advanced Benefits 2003: Rolled out Discrete Mfg, Inventory, BOM, & MRP Dec 2003: Live with DBI for HR Q1 2004: Adding DBI for Purchasing & Financials Q2 2004: Adding Supply Chain • Run Oracle Apps using RAC, on Linux • Oracle Apps represent “The Truth” about Acuity Lighting • Can now deliver HR data in a secure fashion throughout the enterprise • Initial Summarizations (HR 10 minutes, Purchasing 3 hours)

14. “Acuity is committed to implementing a global single instance of Oracle to support our transaction base, and one of the key benefits of that is better operational reporting.”

15. Why Is Oracle Offering Daily Business Intelligence? • Oracle is offering Daily Business Intelligence because we see business intelligence as a major source of complexity and cost in IT departments. • Furthermore, end-users are seeking access to more timely information and need to drill to the transaction details. • DBI can add significant value by delivering more complete information to end-users faster than current approaches and at dramatically lower costs.

16. Oracle Internal-GSIAP • 4 T DB (3 Node RAC—Sun 12K) • Middle Tier • Server Farm with 25 Dell 2650 machines • Each machine has 2 CPUs, 2.8 GHz , 6 GB Ram • DBI Implementation • HR Management • Deployed to 6600 Managers worldwide • Initial Load Time 6 Hours (30 months HR data) • Number of employees is ~ 40 K

17. Oracle Internal – GSIAP cont. • Payables Management and Payables Status Pages • Number of MVs loaded: 18 • Number of records loaded into Base Summary: 46.9 Million • Initial Load Time 5 Hours, 18 Minutes • Expense Mgmt next (P/L pages, 6600 mgrs) • CRM to follow

18. Materialized Views PerformanceEnable High Performance Summarization Hardware Configuration: SUN Sunfire 12K Number of Processors: 10 Processor Speed : 900 MHz / CPU

19. 4000 3500 3648 3000 2500 2000 1900 1500 1000 1026 500 0 Single Node 2 Nodes 4 Nodes 9i Real Application ClustersSupport Near-Linear Scalability 89% Scalability Numberof Users Running on HP Computers

20. vs. Oracle Global Single Instance (GSI) with DBI • Before DBI Summaries Added 3,300 Gigabytes • Size of DBI Summaries 165 Gigabytes • Percent Increase 5 % • Transactions Available for Drilldown 100 % Dramatic Disk Space ReductionSummarize-in-Place or Replicate Transactions? Conventional Wisdom Data warehouse several times larger than OLTP database

21. Evolution of Daily Business Intelligence (DBI) Thru v5.x (11i.8) New with v6.x (11i.9) Coming in v7.x (11i.10) OverviewPages KPIs IntelligenceReports 19 31 39 104 166 238 153 319 395 • Service Contracts Mgmt • Profit and Loss • Expense Mgmt • Human Resources Mgmt • Email Center Mgmt • Marketing Mgmt • Project Profitability Mgmt • Procurement Mgmt • Procure-to-Pay Mgmt • Quote Mgmt • Sales Mgmt • Opportunity Mgmt • Operations Mgmt • Order Mgmt • Fulfillment Mgmt • Shipping Mgmt • Manufacturing Mgmt • Plan Mgmt • Commodity Spend /Supplier Mgmt • Service Renewals Mgmt • Payables Mgmt • Product Mgmt • Customer Fulfillment • Capital Projects • Contract Projects • Funds Mgmt • Inbound Telephony Mgmt • Customer Support • Purchasing Performance Mgmt • Supplier Scorecard • Maintenance Mgmt • Warehouse Mgmt • Supported Install Base • Transportation Mgmt Capabilities "The following is intended to outline our general product direction and is intended for information purposes only. The development, release and timing of any features or functionality remains at the sole discretion of Oracle. This presentation is not a commitment to deliver any material, code or functionality."

23. German Arciniegas Principal Product Manager E Business Intelligence Business Intelligence Oracle Balanced Scorecard

24. The Balanced Scorecard application enables organizations to design, configure, manage and deploy customizedperformance management systems and helps them in the successful implementation of their business strategy. The Balanced Scorecard extendsDaily Business Intelligence with custom scorecards and performance indicators.

25. What Oracle Customers are Saying… “With the implementation of Oracle Balanced Scorecard, we have defined and formalized key strategic objectives to run our company, to make the best decisions and become more proactive.” – Laurent Singer, IT Director “We are using Oracle Balanced Scorecard to be sure the whole organization acts in a coordinated way. It helps us push our business objectives and make sure they are realized on schedule.” – David Dalton, Global Head of Business Analysis “By gathering all the employees around BSC, we were able to concentrate our foundation for the performance-oriented organization culture. It has not been merely a performance management tool but has become KT’s core philosophy and a key driver for organizational change.” – Young-Han Song Executive Senior Vice President & Chief, Office of Planning and Coordination

26. BSC Legacy Systems, 3rd Party Apps Spreadsheets • Feed BSC system with Oracle or non-Oracle data Web-Enabled Design and Reporting Simplify Design, Loading, and Accessibility Web Web Finance Executives • Design • Scorecards • Reports • KPIs • Access • Scorecards • Reports • KPIs Sales Finance 9i / 9iAS IT Sales • Design and access BSC system through web browser

27. Flexible Performance Mgmt SystemsDesign Dashboards to Meet Your Needs Present information in more strategic ways (e.g. cause and effect relationships) Create performance management dashboards

28. Sample of OBSC Views and reports

29. Management by ExceptionAccelerate Problem Analysis • Provide performance color alarms for exception alerting • Identify out-of-target performance with color-coded graphs • Scope reasons for exception through cause and effect analysis

30. From the latest numbers received from the regions we should be improving our revenue figures rapidly. I have some ideas that I would like to share with you in our next monthly meeting. Assessment and CollaborationCompliment Data with Personal Insights Enable owner of strategic objective to share personal assessment about performance, such as availability of new data not incorporated in graph

31. Consolidated Notes & Document LinksCommunicate and Support Strategic Intent Annotations describethe intent of astrategic objective Links direct attention to related documents, including DBI reports

32. BSC-DBI IntegrationSpeed BSC System Design & Simplify Management Repository of Available DBI Measures BSC Customized View • Easily display out-of-the-box DBI measures in BSC views with point and click process • Eliminate need to map or load data into BSC for DBI measures DBIMeasure BSC Report Showing DBI Measure

35. Input Table BaseTable MaterializedViews Metadata ETL or PL/SQL Procedures OBSCLoader Concurrent Manager Data Transformation: Optimizer

36. Active Government organizations : • Denmark Police Department • Royal Air Force – Innsworth, UK • Police, Immigration and National Defense Ministries, Singapore. • Korea Ministry of Information and Communication • US Army • Cambridgeshire County • City of Reijkiavik – Iceland • Singapore Sports Council • LA Transit Authority • Central Missouri State University • Stakes - Centre for Welfare and Health - Finland Oracle Confidential

37. Oracle Confidential

38. Screen Shots OBSC Oracle Confidential

46. Oracle Enterprise Planning and Budgeting February 24, 2004 CPM Roundtable The following is intended to outline our general product direction and is intended for information purposes only. The development, release and timing of any features or functionality remains at the sole discretion of Oracle. This presentation is not a commitment to deliver any material, code or functionality. © 2003, 2004 Oracle Corporation. All rights reserved. Oracle is a registered trademark of Oracle Corporation.

47. Agenda Enterprise Planning and Budgeting – Overview Technical • Architecture • Integration • Migration Functional • Understanding the Business – Reporting • Control the Planning Process – Business Process Modeling • Tune Plans to Improve Results – Data Collection Questions and Answers

48. Oracle Enterprise Planning and BudgetingAn application for planning, budgeting, reporting, and analysis • Scalable and web-based • Sophisticated data modeling and multi-dimensional analysis • Tailored for customer’s own business processes • Builds on Oracle Financial Analyzer (OFA) and Oracle Sales Analyzer (OSA) • Extends OFA and OSA functionality to include business process flows, exception alerts, enhanced reporting, allocations rules, and many out of the box calculations • Part of Oracle’s Corporate Performance Management solution Financial Stay Informed Operational Develop Plans Statistical Tune Plans External

49. Data Integration OracleApplications Non OracleApplications Enterprise Planning & Budgeting Plan Data General LedgerHuman ResourcesProjectsFixed AssetsSales On LinePerf Analyzer SAPPeopleSoftData warehouseLegacy systems Actual Data Pricing& Cost Rates CPM Schema Tables x Exchange & Inflation Rates AW Tables CwMMetadata EPB Metadata Oracle 9i.2 database

50. Which version of Oracle Applications does EPB require? • Delivered as part of Oracle Applications, but can be run standalone • Delivered as a patch to Oracle Applications 11.5.9Included as part of the rapid install for 11.5.10 • Backports of EPB to 11.5.8 or earlier are not technically feasible • Requires Oracle9i Database 9.2.0.5 plus OLAP Option • If a customer has 10.7 or 11.0.x or no Oracle Applications, then the product can be a standalone solution