Being connected to our Business

Being connected to our Business

Presented by: Francine Barbe

March 1st, 2007

Mobile Knowledge Restricted and Confidential

AgendaAgenda Company Background Management Structure & Key Elements Challenges in Our Environment Pureshare’s Engagement Initial Rollout of Dashboards Benefits Achieved Going forward plans Summary


MKC BackgroundMKC Background MKC is a global leader in dispatch

technologies for Taxis and Para-transit

MKC offers advanced GPS, wireless and mobile data communications technology for computerized dispatch systems

Historically a public company, Mobile Knowledge’s roots stretch back 3 decades, underwent receivership and emerged as a privately held company


Management LevelsManagement Levels Two branches of mgmt used for oversight:

Mgmt Committees provide operational control Executive Level governs strategic direction

Management Level Executive Level

Operations Committee

Contract Review Committee

Build/Buy Committee

Executive team

Board of Directors

Different levels of Mgmt =Different requirements of information or views


Key Elements to MonitorKey Elements to Monitor Fiscal health became the main focus

affecting all processes of the company Key measures to monitor:

Cash dictates every business decision made

Revenue provides an indicator of cash flow

Expenses matching level to Revenue

Margin Contribution also provides an indication of available cash


ChallengesChallenges Informed business decisions need timely

accurate financial measures: Time required to close Financial Cycles Difficult to consolidate information from different

areas of the business Manual effort required to generate forecast with

limited resources Substantial errors (human errors & systems)

without appropriate data controls Significant amount of guess work involved

Discounted Sales Forecast (always wrong) + Delayed Reporting of Financials =

Unpredictable Cash Flows


PureShare EngagementPureShare Engagement

MKC engaged PureShare to address our needs for monitoring and understanding crucial elements within our business

Our main goals were to: Provide views to various levels of management Improve timeliness and accuracy of information Eliminate manual effort required for reporting Automate consolidation of data Gain forward visibility and

monitor progress as it happens


MKC Success StoryMKC Success StoryMKC achieved profitability within its first 3

years of operation post-receivershipSuccess was achieved through:

1) Acknowledging the importance of fiscal controls – focused on monitoring key elements

2) Introduction of new management processes and monitoring tools (i.e. PureShare ActiveMetrics)

3) More informed business decisions based on better access to forecasts and results

Tighter Controls + Better Forecasts =Improved Results


The Initial RolloutThe Initial Rollout First objectives: Get accurate numbers,

monitor progress against targets, and then give visibility throughout the organization

1)Sales Pipeline More accurate predictions were needed and

data quality issues had to be addressed

2)Revenue Forecast Merge sales with orders, backlog and invoicing

for a complete picture of revenue cycle

3)Actuals vs. Budget Track expenses against budgetary targets


Sales PipelineSales Pipeline

Data Quality monitor used to correct errors“Overall Pipeline reduced

by one third!”

Constant tracking of Sales Performance Ability to validate

sales opportunities improved confidence in the numbers


MKC Revenue ForecastMKC Revenue Forecast Needed to merge data for many different

sources: Pipeline, Orders, Backlog, Invoicing, and General Ledger

Summary of results compared against Board-approved revenue targets


MKC Revenue ForecastMKC Revenue Forecast Provides executive view at a glance

Bring business into focus – provides early warning signs and mgmt level drill-downs

Automates the forecasting process Removing guess work = Improved accuracy


Actuals vs. BudgetActuals vs. Budget Merged actuals from GL with Budget

Gave visibility of expenses to management team in a timely manner

Pushed spending accountability to managers


Benefits of Increased Benefits of Increased VisibilityVisibility

Forced MKC to review all processesChanged behavior Increased accuracy & predictabilityAutomation removed manual effort and

reduced risks Improved confidence of the Board in our

Management team’s performance Most importantly, freed the CFO to focus

on managing the strategic side of the business


Other Metrics AreasOther Metrics Areas Sales Order Summary

Track progress on bookings

Provide an indicator on future cash inflow

Supply & Demand Respond to client demand

and manage expectations Reduces dead inventory by

preventing unnecessary buying while avoiding shortages


Going ForwardGoing Forward Revenue Segment Split

Provides an understanding of our markets and revenue movements

Serves as an indicator on how best to invest in our marketing activities

Future Development Maintenance contracts forecasting Profitability tracking Margins distribution by product line Cashflow management view Pipeline churn Financial ratios


Mobile Dashboard as a Mobile Dashboard as a “Product”“Product”

MKC became a PureShare OEM and offer dashboards to our clients Allows them to monitor

their fleet operationsand daily income


SummarySummary MKC is a prime example that corporate

success is achievable with: the right focus on what matters in decision making the proper management structure and confidence

from Board of Directors the necessary tools to evaluate & monitor

performance

Visibility provides warning signs to actually make

changes before it’s too late

Best of all, the management team can spend more time on actually managing the

business!

Documents

Being connected to our Business