Business Technology Solutions Enterprise Information Management Program overview

Business Technology Solutions Enterprise Information Management Program overview 08 -Dec-2009

Business Technology Solutions Traditional View of Business Resources Material Financial Human Financial, Material & Human resources are the traditional critical business resources that must be effectively managed (as described by Adam Smith in the Wealth of Nations) EIM DRAFT 08 -Dec-2009 2

Business Technology Solutions View of Business Resources Today Financial Material Data Human Data representing the current state of the Financial, Material & Human resources is used to measure business performance and make decisions – therefore Data should be managed as a critical business resource EIM DRAFT 08 -Dec-2009 3

Business Technology Solutions Business ‘SYSTEM’ Model Business Functions Resources Assets Capital Financial Material Human Plan & Market Procure Generate Transport Labor Information Data Enterprise Information Management Revenue Management Asset Management Work Management Customer Management EIM DRAFT 08 -Dec-2009 Distribute Products & Maintain 4

Business Technology Solutions Business Integration - a Linkage Data is the linkage among the processes. The processes must: Agree on what data has to be shared Share definitions & values unambiguously EIM DRAFT 08 -Dec-2009 5

Business Technology Solutions Information Technology Drivers Utility IT has been trying to become an enabler of business transformation rather than a cost center. Some key areas of focus are: – Program management office and Portfolio management – Comprehensive Enterprise Application (CEA) – Data Center and Infrastructure management – Enterprise integration technology – Business intelligence and Customer portal – Business Process Management (PMTs) – etc. However, what has been missing with all of these investments is a holistic strategy and approach to manage data and information as assets across business silos. Therefore, business continues to “struggle” to get the right information at the right time. EIM DRAFT 08 -Dec-2009

Business Technology Solutions EIM Definition Enterprise information management (EIM) is an integrative discipline for structuring, describing and governing information assets, regardless of organizational boundaries or technologies. EIM strives to improve operational efficiency, promote transparency and enable business insight. The broad scope of EIM requires a level of organizational commitment to improve the accuracy, integrity, accessibility and security of information assets. The objective of EIM is to resolve data definition, format and content issues across applications and document stores. EIM DRAFT 08 -Dec-2009

Business Technology Solutions Why EIM for Utility Business and IT? EIM Deliverables Business Drivers Management of Information from Enterprise Perspective EIM Organizational Model (Organizational Discipline, Governance Process) (Competency Center) Single-Version- of-Truth (Customer, Work, Asset & Operation) Real-time Information needs – Analytical & Operational Drive Information Governance Process (Business & IT) (Business Insight Analytics) Information Architecture Information Value Management (Enterprise Information landscape) (Profiling, Accuracy, Quality, Re-structuring and Re-factoring) Technical Drivers Decoupling of information from Applications Meta Data Management Solutions (SOA requirements, Business Rules, Semantics/meaning) (Business & System Level – Definition, Usage, Context, Location) Increased Volume & Velocity of Information (Smart Grid and AMI) Legacy Data Migration & Replacement (Smart grid, GIS, CIS, etc. ) Packaged Application Integration needs (Enable Plug & Play Infrastructure, Manage Risks) EIM DRAFT 08 -Dec-2009 Drive Enterprise Information Modeling (Semantics/meaning, Format, Granularity) Enterprise Data Services (Exposing Legacy Data, Complementing SOA Integration)

Business Technology Solutions EIM Mission Statement To provide integrated enterprise level data and information, managed as a corporate asset, within a standardized and shared infrastructure to facilitate and support integrity of data for daily operations and fact based decision making. EIM DRAFT 08 -Dec-2009 9

Business Technology Solutions Information - One of the Firm’s Most Valuable Assets energy generation investments demand control/reduction programs conservation initiatives Wisdom Synthesis projected energy requirements based on consumption and weather patterns Knowledge Certitude Decreasing Volume and “Objectivity” regional consumption pattern over multiple years Intelligence Inference Increasing Clarity and Value customer premises consumption for billing period Information Context consumption interval reading Data Knowledge Intelligence Information Data + + Synthesis = Certitude = Inference = Context = Wisdom Knowledge Intelligence Information From Hearing the Voice of the Market by Vincent P. Barabba, Gerald Zaltman EIM DRAFT 08 -Dec-2009 10

Business Process Define / Organize Data Application Manipulate Data Infrastructure Store / Transport Data Focus on the Data EIM DRAFT 08 -Dec-2009 11 People Transaction Based IT Application Model Analysis Based People Business Technology Solutions

Business Technology Solutions Enterprise Information Management Transactional Data Store Operational Data Store Historical Data Store Analytical Data Store Business Information Model (Enterprise Semantic Model) Data Operational Applications (structured data) Run the Business Operational Reporting Historical Retention Information Analysis Daily Business Communications Business Interactions (unstructured content) Decision Support Applications Indexing & Search Capability Data is managed and optimized to support it’s intended usage across the enterprise EIM DRAFT 08 -Dec-2009 12

Business Technology Solutions Enterprise Information Management Transactional Data Store Operational Data Store Historical Data Store (ODS) (Data Warehouses) (Shared Databases) Analytical Data Store (Info Cubes / Data Marts) Business Information Model (Enterprise Semantic Model) • Business process Operational Applications (structured data) • Subject area oriented • Single business function • Volatile • Current • Transaction level data • Real-time availability • Limited historical data • Limited data retention • Consistent within application • Business process oriented Business Interactions (unstructured content) • Subject area Data oriented • Integrated • Business question oriented • Integrated • Volatile • Current • Non-volatile • Time variant • Atomic level data • Near real-time • Atomic level data • Business driven • Aggregate level data • Business driven • No historical data • Historical data • Business driven • Very limited data • Lengthy data • Business driven data • Consistent within • Historically availability retention current context • Single business function consistent • Non-volatile • Current availability Decision Support Applications historical data retention consistent • Varying retention • Atomic Level • Historically Consistent requirements Metadata Repository, Data Architecture, Data Quality, SDLC, EAI & ETL tools and processes Indexing & Search Capability Data organization and retention requirements vary by intended usage EIM DRAFT 08 -Dec-2009 13

Enterprise Information Management Business Technology Solutions Business Information Model (Enterprise Semantic Model) Common Data Access Methods Real-Time Tabular External Real-Time Vector Real-Time Series Email Data Near Real-time Integrated Static Historical Updated Daily Detail + Aggregation Detail Business Question oriented Historical Daily Business Question oriented Aggregation Web Content Notes Documents Data Integration Processes and Services Data organization and retention requirements vary by intended usage EIM DRAFT 08 -Dec-2009 14

Enterprise Information Management Business Technology Solutions Business Process Applications Transactional EAM CCS ECM OMAR Analytical IMR MED/MIRA Business Information Model (Enterprise Semantic Model) Common Data Access Methods Customer External ! GIS Consumption Email Data Operational Reporting Data Store Data Warehouse Detail + Aggregation Detail Web Content Notes Data Mart Historical Daily Data Mart Aggregation Documents Data Integration Processes and Services Infrastructure Results in increased flexibility, reduced cost and reliable data EIM DRAFT 08 -Dec-2009 15 !

Business Technology Solutions Not All Data is Created Equal Data criticality depends on the business processes it supports Data of different criticality needs to be stored and moved on to different classes and types of storage over time Data should be deleted when it has zero value to the business Overtime expired data becomes a liability to the business Data Criticality Online Active data Nea line / Archive Email Financial Customer Serial device/ Meter Offline / Archive Expired data Year 1 Year 2 Year 3 Year 4 Time EIM DRAFT 08 -Dec-2009 16 Year 5 Year 6 Year 7

Business Technology Solutions Information Lifecycle Management Online Data Creation Offline Storage Management Protection Management Content Management Retention Management Live Dynamic Data Fixed Content / Reference Data EIM DRAFT 08 -Dec-2009 17 Data Disposal

Business Technology Solutions Information Lifecycle Management Online Data Creation Storage Management Protection Management • Operational data and content • “open business” • Data and content backup • “open business” • Active archive • “business complete” • document archiving • Offline archive • “business complete” Live Dynamic Data Fixed Content / Reference Data Content Management EIM DRAFT 08 -Dec-2009 Offline Retention Management 18 • Zero business value Data Disposal

Business Technology Solutions EIM Scope All Consumers Energy data and information assets including structured data and unstructured content. The organization, processes, infrastructure and standards governing management of the enterprise information and content. Cross organizational roles and responsibilities related to management of the information assets. Management of information assets through the entire information life cycle from creation through disposal. EIM DRAFT 08 -Dec-2009 19

Business Technology Solutions EIM Benefits Business Value Ensures that the CEA investment in common data and process is leveraged for future projects and the business value is maximized thru data governance. Strives to provide a single version of the truth supporting business insight. Enables better business decisions and responsiveness to change by making timely, consistent and accurate information readily available. Efficiency Enables faster and lower cost information delivery by shortening development times and repurposing proven information services. Supports development collaboration thru a shared central metadata repository. Provides a stable data foundation for system integration transparency based on standards and best practices. Data Quality Increases data quality thru ongoing data quality assessments and exception monitoring. Improves the ability to derive consistent information providing the foundation for actionable and timely business intelligence. Builds confidence in the accuracy and relevance of information provided with data lineage traceability. Transparency Promotes common understanding and sharing of information across the enterprise. Instills business ownership and stewardship of the critical information resources. Improves communication and reduces ambiguity within the organization by promoting consistent data definition, format and usage standards. EIM DRAFT 08 -Dec-2009 20

Business Technology Solutions EIM Vision for Consumers Energy (2015) Data and information is recognized A standardized information and managed as a valuable infrastructure and processes are corporate resource across implemented supporting data organizational and technology sharing and process integration. boundaries. Information is readily available Information assets are managed through common services on a through the entire information life need to know basis and is secured cycle (creation, maintenance, from unauthorized access, archive and disposal) Current, complete and consistent using well defined processes. information is readily available Consistent data definition and providing a ‘single version of the understanding provides a common truth’ enabling business insight vocabulary for the business. and fact based business decisions. Information is managed and utilized to maximize its benefit in support of the goals of the entire organization. EIM DRAFT 08 -Dec-2009 Consumers Energy Executive management recognizes and embraces the role of EIM in achieving the corporate objectives. 21

Business Where is Consumers Energy today? Technology Solutions Results of Data Management and Integration Maturity Assessment – Nov 2009 1 EIM DRAFT 08 -Dec-2009 2 We are here 22 3 4 5

Business Technology Solutions EIM Implementation Approach Start small Show benefits fast Align with major initiatives Leverage existing support organizations (DBA, BI/BW, Email Archiving & Search) Gradually expand scope of projects supported Gradually increase supported EIM functions Information Management Maturity efits Ben be Num Time EIM DRAFT 08 -Dec-2009 23 ts s ojec Pr r of ed port up ns s o ncti u F EIM Vision d orte upp op ng t fi Staf e de s rovi s e rvic

Business Technology Solutions EIM Core Processes Data Quality Data Integrity Processes to identify, analyze, improve, and measure the data quality issues and improvement efforts. Processes to identify, analyze, improve, and measure the data integrity issues and improvement efforts. Semantic Management Database Management Processes to establish, manage, and use the business and IT semantics (that is business terms and definitions, metadata management, enterprise semantic model management, semantic integration etc. ) EIM DRAFT 08 -Dec-2009 Processes to manage the physical corporate databases and data files. Data Security/ Protection Processes to ensure corporate data and information is secure and protected, and managed according to the corporate policies and regulatory mandates. Master Data Management Processes to manage the creation, maintenance, distribution, and usage of corporate master and/or reference data entities to support business processes and business transactions with the objectives of improving data quality and integrity, improving data and information accuracy, and reducing process inefficiencies. 24 Data Lifecycle Management Processes to govern how to create, classify, update, use, distribute, and archive, and obsolete data and information, for new projects as well as ongoing maintenance. Information Services Processes to establish, maintain, and use actual data and aggregation services in the form of reusable software components for business systems and processes to share and leverage data and information across both transactional and analytical needs. Data Movement Processes to identify and guide how data should be managed when they are moved around the enterprise and Line of Business systems, applications, and data files. Services & Support Management Processes for the EIM program and/or organization to provide functional services and support to the rest of enterprise IT and business organizations and projects.

Business Technology Solutions EIM Organizational Functions EIM Business Information Management The key functions of this subteam are to design the structures and standards that support the effective management, governance and use of information assets across the business. Operationally, it performs data and content design, and identifies data quality requirements. EIM DRAFT 08 -Dec-2009 Data and Content Management The key functions of this subteam are to develop and deliver the information infrastructure required to support information as a shared service, Operationally, it performs and provides infrastructure, migration, sourcing and systems support 25 Information Value Management The key functions of this sub-team are to support the organization’s need to maximize the value of it’s information assets. Operationally, this group provides information access support services (such as training and education) and metadata management services (such as data governance support and data lineage). This team leverages combinations of technical, business and training skills

Business Technology Solutions EIM Organizational Roles EIM Business Information Management Data and Content Design § Data Architecture Management § Data Development Quality Management § Data Quality Management EIM DRAFT 08 -Dec-2009 Data and Content Management Integration and Sourcing § Integration Services Management Ongoing Support § Data Implementation § Database Operations Management § Document & Content Management § Data Security Management 26 Information Value Management Data Governance § Data Planning § Data Management Information Access Services § Reference & Master Data Management Metadata Management § Meta Data Management