Improving the meter to cash cycle and customer

Improving the meter to cash cycle and customer service Richard Hodges – TUI Consulting Henry Bailey – SAP America

AGENDA WATERONE PROJECT OVERVIEW SOLUTION COMPONENTS WATERONE SOLUTION

AGENDA WATERONE PROJECT OVERVIEW SOLUTION COMPONENTS WATERONE SOLUTION

WATERONE LOOKED TO UPGRADE ITS SYSTEMS WATERONE INTRODUCTION • Serves approximately 130, 000 customers • Over 360 Full & Part Time Employees • Serves residential and commercial accounts in 15 cities in the Johnson County area. • Primary sources of revenue are through water sales, and system development charges. • Over 2, 500 miles of transmission and distribution mains • Service area covers more than 270 square miles. • Current treatment capacity is 165 millions gallons per day. • New system usage record on August 25, 2003 of 148. 14 million gallons.

WATERONE’S PROJECT OBJECTIVES • Simplify and integrate Water. One’s core system infrastructure • Reduce the number of separate information systems • Eliminate administrative activities that add no value, such as redundant data entry and reconciliation of data • Limit customization (of SAP) to hold down implementation costs, to support standardization of best business practices, and to preserve the ability to upgrade to new versions of the software when they are released • Improving Water. One’s operational processes requires the integration of enterprise accounting, human resources, procurement, customer information system, maintenance and work order, and permits management functionality • More reliable, useful, timely and accessible financial information for Water. One decision makers • Gain better access to information needed to effectively manage programs and measure their success • Provide a means of information management that streamlines business processes

AGENDA WATERONE PROJECT OVERVIEW SOLUTION COMPONENTS WATERONE SOLUTION

ENTERPRISE BUSINESS SUITE Utilities Solution Billing Customer Service Device Management Contract Accounts – Receivable and Payable ERP Business Intelligence Financials Human Resources Work Management Business Warehouse Corporate Performance Monitor Business Planning & Simulation Mobile Engine Water Template Mobile Asset Management For Utilities

BUSINESS MODULES Integrated Modules PM Plan Maint. MM Materials Mgmt. MM Purchasing MAM(U) Mobile Asset Mgmt CS Customer Service SD Sales & Distribution SEM FI-G/L General Ledger GIS CATS PS Project Systems FI-A/R Accts. Rec. CO Controlling WCM Work Clearance QM Quality Mgmt. Integrated “Best of Breed” Programs BW One System FI-A/P Accts. Payable CFM Corp. Fin. Mgmt. AM Fixed Assets Mgmt. SAP R/3 PT Pers. Time Mgmt. PY Payroll ESS Employee Self Srvc. TE PA Trn. & Personnel Event Mgmt. BPS Budgeting PS Project System RE-FX Real Estate PSM Grants & IS-PS Funds Mgmt. CRM x. Apps WF Workflow IS-U/CCS & CIC Specialized Industry Solutions & Application s

Solution Map (WATER TEMPLATE) Suppliers & Partners Exploitation & Preparation Transport & Distribution Retail & Services Asset Lifecycle & Resource Management Plant Engineering & Construction Plant Maintenance & Operations Supply Operations Grid Engineering & Construction Grid Maintenance & Operations Connection & Device Management Installation Service Meter Reading Services Consumption Data Collection Selling of Water & Services Campaign Management Sales Management for Residential Customers Sales Management for Commercial & Industrial Customers Account & Contact Management Integrated Sales Planning and Analytics Customer Service Management Service Order Management Service Processes for Utilities Service Contract & Entitlement Management Complaints & Returns Management Electronic Customer Services Account & Contact Management Billing of Water & Services Billing for Residential Customers Billing for Commercial & Industrial Customers Billing of Unmetered Services Billing of Services Customer Financial Management Receivables & Collections Management Reconciliation & Closing Auditing Enterprise Management & Support Analytics Financials Human Capital Management Corporate Services Operations Support Customers & Channels

Solution Map (WATER TEMPLATE) Suppliers & Partners Exploitation & Preparation Transport & Distribution Retail & Services Asset Lifecycle & Resource Management Plant Engineering & Construction Plant Maintenance & Operations Supply Operations Grid Engineering & Construction Grid Maintenance & Operations Connection & Device Management Installation Service Meter Reading Services Consumption Data Collection Selling of Water & Services Campaign Management Sales Management for Residential Customers Sales Management for Commercial & Industrial Customers Account & Contact Management Integrated Sales Planning and Analytics Customer Service Management Service Order Management Service Processes for Utilities Service Contract & Entitlement Management Complaints & Returns Management Electronic Customer Services Account & Contact Management Billing of Water & Services Billing for Residential Customers Billing for Commercial & Industrial Customers Billing of Unmetered Services Billing of Services Customer Financial Management Receivables & Collections Management Reconciliation & Closing Auditing Enterprise Management & Support Analytics Financials Human Capital Management Corporate Services Operations Support Customers & Channels

AGENDA WATERONE PROJECT OVERVIEW SOLUTION COMPONENTS WATERONE SOLUTION

WATERONE’S SOLUTION MEETS ITS NEEDS WATER TEMPLATE AT WATERONE • Predefined Water Business Processes • Mobile Asset Management (for Utilities) • Leverage predefined process documentation • Reducing Implementation Cost • Improved Implementation Efficiency PROJECT DETAILS • Fixed Scope Approach • Pool of 2100 hours for technical development • 6 months to implement • Tightly integrated Change Management & Training Strategy

ILLUSTRATION OF CUSTOMER LIFECYCLE • • Process Final Read (MR Order created) Return Deposit Stop Budget Bill Change Address Technical Master Data (Connection Object, Premise & Device Location) created and meter installed. Move Out and/or Disconnect Create Premise • Manage Credit Process Payments • • • Manage Credit Actions Maintain Installment Plans Defer Payments Maintain Loan Repayments Maintain Security Deposits Manage Bad Debts/Credit Agency • • • Process Budget Billing Process Direct Debit Process Direct Credit (Automatic Payments) Process Agency Payments • • • Create Business Partner & Contract Account Create Security Deposits Confirm Pricing Option Send Welcome Pack Create Landlord Agreement Update Device Location Create Reconnection Order Move-in and/or Reconnect Process Customer Enquiry e. g Account Balance or High Bill Enquiry Process Customer Request e. g Request for Field Work Resolve Customer Complaint Serve Customer • • Charge Fees Joint Invoicing Bill Customer Manage Meter Install and Read Meters: • Actual • Estimate • Customer Own

ENABLEING FURTHER INTEGRATION FUTURE INTEGRATION OPPORTUNITIES AT WATERONE • IVR Integration • Extend Internet Self Service • Additional Mobile Functions • Back Office Automation • Portals • Extend Business Warehouse Functions • CRM • Extend Business Warehouse

THANK YOU TUI CONSULTING, INC TUI Consulting is a specialist service organization focusing specifically on implementing world-class solutions for public sector and utilities organizations. TUI’s platform of choice for improving the overall business performance of our clients is SAP’s Business Suite. This focus allows unprecedented depth of knowledge and expertise in SAP’s application capabilities and its specific application to your industry. As all of TUI’s clients can attest, TUI consultants are unequaled in their ability to resolve complex business challenges through business process refinement and technology. SAP is the recognized leader in providing collaborative business solutions for all types of industries and for every major market. With 12 million users, 88, 000 installations, and 1, 500 partners, SAP is the world's largest inter-enterprise software company and the world's third-largest independent software supplier overall. We have a rich history of innovation and growth that has made us a true industry leader. Today, SAP employs nearly 30, 000 people in more than 50 countries. Our professionals are dedicated to providing high-level customer support and services.

QUESTIONS? Richard Hodges TUI Consulting Director – Integration Services rhodges@tuiconsulting. com +1 (253) 223 6056 Henry Bailey SAP America Industry Principal, Utilities henry. bailey@sap. com +1 (423) 282 3269