Oracle Corporate Performance Management Steve Miranda Oracle Development

Oracle Corporate Performance Management Steve Miranda Oracle Development

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 planning meet execution and measurement" – J. Hagerty – AMR, Oracle Apps. World Jan 2003

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

“BI is not CPM!” - L. Geishecker, Gartner BI CPM Reactive Proactive Tool Suite of applications with business processes embedded Departmental Enterprise-wide Reporting and analysis integrated with planning, budgeting, forecasting, and consolidation Focused on history Forward-looking

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

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

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

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

Oracle’s CPM Footprint Ÿ Ÿ Ÿ 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)

Q& A QUESTIONS ANSWERS

Joe Thomas Product Director BI Applications Oracle Corporation

Suite Results: 1999: Implemented AP, GL, & Purchasing 2002: Added HR, Payroll, & Advanced Benefits Oracle Products 2003: Rolled out Discrete Mfg, Inventory, BOM, & MRP Daily Business Intelligence Dec 2003: Live with DBI for HR Q 1 2004: Adding DBI for Purchasing & Financials Q 2 2004: Adding Supply Chain Ÿ Ÿ Advanced Benefits Financials Human Resources Incentive Compensation Inventory Manufacturing Payroll Purchasing Sales Analyzer 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)

“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. ”

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.

Oracle Internal-GSIAP Ÿ 4 T DB (3 Node RAC—Sun 12 K) Ÿ Middle Tier – – Server Farm with 25 Dell 2650 machines Each machine has 2 CPUs, 2. 8 GHz , 6 GB Ram Ÿ DBI Implementation – – HR Management Deployed to 6600 Managers worldwide Initial Load Time 6 Hours (30 months HR data) Number of employees is ~ 40 K

Oracle Internal – GSIAP cont. Ÿ 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 Ÿ Expense Mgmt next (P/L pages, 6600 mgrs) Ÿ CRM to follow

Materialized Views Performance Enable High Performance Summarization Initial Load Incremental Load AR Invoice Lines 70 M records in 100 minutes 650 K records in 30 minutes GL Journal Lines 50 M records in 55 minutes 770 K records in 18 minutes AP Invoice Lines 15 M records in 78 minutes 40 K records in 5 minutes Hardware Configuration: SUN Sunfire 12 K Number of Processors: 10 Processor Speed : 900 MHz / CPU

9 i Real Application Clusters Support Near-Linear Scalability 89% Scalability 4000 3500 3648 3000 Number of Users 2500 2000 1900 1500 1026 500 0 Single Node Running on HP Computers 2 Nodes 4 Nodes

Dramatic Disk Space Reduction Summarize-in-Place or Replicate Transactions? Conventional Wisdom Data warehouse several times larger than OLTP database 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 %

Evolution of Daily Business Intelligence (DBI) Thru v 5. x (11 i. 8) New with v 6. x (11 i. 9) Coming in v 7. x (11 i. 10) Overview Pages 19 31 39 KPIs 104 166 238 Intelligence Reports 153 319 395 Capabilities • 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 "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. "

German Arciniegas Principal Product Manager E Business Intelligence Oracle Balanced Scorecard

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

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

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

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

Sample of OBSC Views and reports

Management by Exception Accelerate 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

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

Consolidated Notes & Document Links Communicate and Support Strategic Intent Annotations describe the intent of a strategic objective Links direct attention to related documents, including DBI reports

BSC-DBI Integration Speed BSC System Design & Simplify Management Repository of Available DBI Measures BSC Customized View DBI Measure • 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 BSC Report Showing DBI Measure

Data Transformation: Input Table Base Table Materialized Views Metadata Optimizer ETL or PL/SQL Procedures OBSC Loader Concurrent Manager

Active Government organizations : ü ü ü Denmark Police Department Royal Air Force – Innsworth, UK Police, Immigration and National Defense Ministries, Singa 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

Oracle Confidential

Screen Shots OBSC Oracle Confidential

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.

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

Oracle Enterprise Planning and Budgeting An application for planning, budgeting, reporting, and analysis Financial Operational Stay Informed Develop Plans Statistical External Ÿ Ÿ Ÿ Tune Plans 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 Ÿ Part of Oracle’s Corporate Performance Management solution

Data Integration Oracle Applications Non Oracle Applications General Ledger Human Resources Projects Fixed Assets Sales On Line Perf Analyzer SAP People. Soft Data warehouse Legacy systems CPM Schema Tables AW Tables Cw. M Metadata Plan Data Actual Data x EPB Metadata Oracle 9 i. 2 database Pricing & Cost Rates Exchange & Inflation Rates Enterprise Planning & Budgeting

Which version of Oracle Applications does EPB require? Ÿ Delivered as part of Oracle Applications, but can be run standalone Ÿ Delivered as a patch to Oracle Applications 11. 5. 9 Included as part of the rapid install for 11. 5. 10 Ÿ Backports of EPB to 11. 5. 8 or earlier are not technically feasible Ÿ Requires Oracle 9 i Database 9. 2. 0. 5 plus OLAP Option Ÿ If a customer has 10. 7 or 11. 0. x or no Oracle Applications, then the product can be a standalone solution

Migration Ÿ OFA and OSA 6. 4 will be supported until mid 2008 with error correction support until end of 2006 Ÿ Oracle will provide a migration path for existing customers of OFA and OSA to migrate their implementations to EPB Ÿ These are migration tools, not a one-click upgrade – Should I migrate or re-implement? Ÿ OSA RAA/RAM customers should stay where they are for now unless they can migrate to MOLAP Ÿ Most OSA customers will choose to migrate to EPB, but some may choose to convert to Discoverer based on their business needs Ÿ Migration paper on http: //www. oracle. com/applications/cpm

Migration Data Flow Single Database Oracle 9 i OFA/OSA Express Databases APPS Security Tables 3. Map User to Apps Security BI Beans Repository Tables OLAP Analytic Workspace 2. Map Documents, Folders, Saved Selections to BI Beans CPM Schema Interface Tables 1. Map Dimensions and Variables to Standard Schema for EPB CPM Tables

Enterprise Planning and Budgeting Understand the business better Control the planning process Tune plans to improve results

Q& A QUESTIONS ANSWERS