Release 12: The Global Business Release Increase Competitiveness Through Streamlined, Global Supply Chain Operations Presenter’s Name Presenter’s Title

Release 12: The Global Business ReleaseIncrease Competitiveness Through Streamlined, Global Supply Chain Operations

Presenter’s Name

Presenter’s Title

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http://files.oraclecorp.com/content/AllPublic/SharedFolders/GDMI-Public/REFG-P06.pdf

http://files.oraclecorp.com/content/AllPublic/SharedFolders/GDMI-Public/REFG-P06.pdf


The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decision. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

Safe Harbor Statement


Oracle At-a-Glance

Globally…

#1 in Database

#1 in Supply Chain Mgmt

#1 in Customer Relationship Mgmt

#1 in Human Capital Mgmt

#1 in Industries

- Retail

- Communications

- Public Sector

- Professional Services

- Financial Services

• 275,000 total customers

• 220,000 database customers

• 30,000 applications customers

• 19,000 SMB apps customers

• 30,000 middleware customers

• 17,700 partners

• 60,000 employees

• 14,000 developers

• 7,000 support staff

Founded in 1977. Headquarters in Redwood Shores, CA with operations in 145 countries.


“Our strategy is to work with global networks to leverage the best technologies on the planet.”

-- HP SVP Dick Conrad

Globalization Is Changing Everything

• R&D: Procter & Gamble to source 50% of newproduct ideas from global partners by 2010

• Design: Boeing designs navigation and landinggear systems in India

• Procurement: Pella sells windows primarily in theUS, but sources many parts overseas

• Manufacturing: Sony, Dell, and Apple use China’sQuanta Computer for laptop manufacturing

• Shared Services: Citigroup uses a single globalHR system to serve all divisions and geographies


An Evolution To Global Demand Driven Supply Networks

TransportationCarrier

Wholesaler/Distributor

Old Model: Push (Linear Supply Chain)

RetailerSupplier Manufacturer Customer

• Localized, siloed • Supply-Centric• Vertically Integrated• Physical Asset Based• Mass Momentum

New Model: Pull (Integrated Networks)

• Global • Demand-Driven• Virtual Supply Chains• Decision Based• Lean Practices

Information


Brought to You by Oracle Applications Unlimited

TheThe

GGloballobal BBusinessusiness ReleaseRelease


IntroducingOracle E-Business Suite R12

Release 12 Enables You To…Release 12 Enables You To…

Think GloballyThink Globally

Work GloballyWork Globally

Manage Systems GloballyManage Systems Globally




Make more informed and compliant decisions with a global view of customers,

suppliers, partners, and operations


Flexible Architecture Meets the Needsof Dynamic, Global Businesses

FusionMiddleware

Database RAC / Grid

Enterprise Security

Role-Based Portal Access

PerformanceManagement

Analysis, Planning& Reporting

Com

plia

nce

Fra

mew

ork

Sys

tem

s M

anag

emen

t

Applications• Integration Services• Process Orchestration• User/System Configuration• Data Hubs

• Application Server• Web Services• Development Tools• Collaboration Tools

Complete

Integrated

Standards-based

Adaptable

Accessible

Secure

Scalable

S C M Analytics

S C M Web

Services

S C M Applications


R12 Improves Global Decision Makingby Supporting All Types of Reporting/Analysis

• Make timely decisions with integrated information systems

• Target information delivery with role-based dashboards

• Protect organizational integrity with secure information delivery

Financials, Supply Chain, Projects,PLM, Sales & Marketing, HR, Service

Transaction Processing

Us

ers Sensor

BasedServices

AnalystsManagersExecutives

OperationalReporting

ProfitabilityAnalysis

PerformanceScorecards

Consolidation & Compliance

Forecasting& Modeling

Network Optimization

Inventory Optimization

Portfolio Analysis

Reporting Planning

Think Work Manage


OperationalReporting

ProfitabilityAnalysis

Consolidation & Compliance

Network Optimization


Portfolio Analysis

Make more informed financial financial decisions

Achieve greater insight insight into the profitability of global operations

Make better and faster decisionsfaster decisions at dramatically lower cost

Balance and alignalign global projects with organizational objectives

Optimize supply chain networksnetworks

OptimizeOptimize global inventory levels and locations

R12 Improves Global Decision Makingby Supporting All Types of Reporting/Analysis

Think Work Manage

Daily Results,Daily Results,Flexible PeriodsFlexible Periods

Flexible ComparisonsFlexible Comparisons

MultipleMultipleCurrenciesCurrencies

Graphs /Graphs /TrendsTrends

PerformancePerformanceMeasures (KPIs)Measures (KPIs)

Real-Time Operational ReportingMake better and faster decisions at dramatically lower cost

Reports w/Reports w/DrilldownDrilldown

• Get rapid results with an out-of-the-box mgmt reporting system

• Get the rightinformation with role-based dashboards

• Get complete information with seamless drilldowns

• New in R12:- 6 dashboards, 49 KPIs, 90 rpts

- A focus on global sourcing, purchases, and supplier mgmt

Drag & DropDrag & DropPortletsPortlets

Think Work Manage


Strategic Network OptimizationCreate optimal supply chain networks by continuously evaluating thecost and revenue impact of global supply & fulfillment decisions

• Increase profits through asset rationalization- Model supply chain to determine optimal mix and

location of facilities and equipment

- Analyze scenarios via geographical visualization

• Reduce costs through dynamic sourcing- Leverage network plan to improve sourcing,

inventory, and replenishment strategies

• Manage global risk more effectively by anticipating supply and demand fluctuationsGraphical Simulation of Network

Think Work Manage


• Optimize your supply chain network• Use demand scenarios as input• Compare time-phased network configurations

• Model all supply chain elements• Distribution centers, processing facilities, ship methods, stores,

suppliers, and customers• Costs: transportation, operating, sourcing, facility ramp-up and

shut-down, labor, and storage

• Optimize sourcing• Output best sourcing strategy for downstream supply chain and

inventory planning

• Rationalize your asset strategy• Determine where to locate distribution facilities• Position critical assets

• Simulate changing business conditions• New businesses and new markets • Outsourcing decisions• Demand scenarios

It’s more important to evaluate your network more often!Global Supply Network Design


Manage Supply Chain Risk Effectively

Network structure• Sourcing rules• Suppliers and CMs• Mfg and distribution facilities• Shipment methods

Inventory policies• Target inventory levels • Identification of point

of postponement

Global network design (SNO)• Network modeling and alternates

• What-if simulations

• Cost modeling

• Asset rationalization

• Risk related to unplanned events

Multi-echelon postponement optimization (IO)• Model distribution of variability (demand, supply, lead

time)

• Budget and capacity constraints

• Time-phased min, max, and target service levels

Enable agile supply networks, aligned with your postponement strategy








Increase productivity with global processes that cross applications, divisions, and regions


A New User Experience for R12Accelerate global roll-outs with simplified user interface and business flows

• Reduced pop-ups and duplicate screens

• Re-designed and streamlined entire workflows

• Reduced the number of steps to complete key tasks

• Improved overall look & feel and visual style

• Increased personalization capabilities

• Campaign Management• Customer Support• Collections & Payments• Loan Management

Improved Workflow in Targeted Areas

• Financial Consolidation• Online Candidate Registration• Absence Management• Salary Administration

• Self-Service Purchasing• Sourcing• Supplier Collaboration• Business Intelligence

Think Work Manage


Manufacturing Practices for APACSatisfy local requirements to compete in key outsourcing regions

Chargeable SubcontractingAutomatically create replenishment orders and track component allocations & inventory for sub-contracted manufacturing (e.g. Shikyu)

Golden Tax Support for ChinaProvide compliant VAT calculation, invoicing, and tax reporting via China-certified “Golden Tax” software

Customer Acceptance, Deferred Revenue and COGSRecognize and account for COGS and revenues in the same proportion, based on flexible contingencies & within the same accounting period

Periodic Average CostingSupport accounting compliance requirements in countries such as China/Taiwan

Asia Pacific is

the factory floor

for the world

In 2005, China’s

global trade

surplus more

than tripled

Think Work Manage


Global Transportation ManagementDrive down logistics costs and increase on-time delivery by managingthe international movement of goods within a single, scalable system

OptimizeModes& Routes

• Plan across multiple legs, tiers, nodes, and modes (truck, air, train, ocean)

• Handle all supplier inbound and customer outbound deliveries

• Display results via intuitive, graphical UI

AutomateExecution &

CollaborationPayments

Event Mgmt

• Manage internal and 3rd party fleets(eg. LSPs) in the same system

• Enable partners to transact and“self-update” (eg. pick-up request)

• Handle exceptions via automatedevent management notifications

Integrated with Shipping, Receiving, Inventory Management, and Purchasing

Think Work Manage


Utilize Digital Maps to Route RepsMinimize drive time, maximize customer face time

Think Work Manage

• Drive service revenue by enabling maximum number of service visits for each service representative

• Drive cost reduction by reducing mileage, travel time, and cost

Optimizing street-level routes enables you to:


OracleAdvanced Supply Chain Planning

Release 12 Highlights


DemantraTrade Promotions Trade Promotions

Planning & OptimizationPlanning & Optimization

Sales and Sales and Operations PlanningOperations Planning

Demand ManagementDemand Management

De

ma

nd

Ch

ain

Pla

nn

ing

Oracle APS

Network DesignNetwork Design


Supply Planning

Su

pp

ly C

ha

in P

lan

nin

g

Global Order Promising

Collaborative Planning

Production SchedulingProduction Scheduling

ERP

Oracle EBS 11i.10

Oracle EBS 12

JDE EnterpriseOne 8.12

CRM

Siebel CRM

Promotions

Modeling &

Management

Supply Chain

Execution

Sea

mle

ssIn

teg

rati

on

Comprehensive Demand-Driven Planning Footprint

Highlight Areas = Key Addition in R12


Demand Driven leaders have:• 15% less inventory• 17% stronger order

fulfillment• 35% shorter cash-to-cash

cycle times

Which translates to:• 60% better profit margins • 65% better EPS • 2-3X the ROA

0

50

100

150

200

250

300

350

Strong Weak

Perfect Order Inventory

Cash-to-Cash SCM Costs

Source: AMR Benchmark Analytix

Why Is Demand Driven Important?Tangible benefits!


Sense Demand – Accurately Predict Demand

• Get real-time visibility to all demand signals • Sales, marketing, manufacturing, customers, suppliers –

multiple units of measure and currencies• Include point of sale information in real time• Move from a regimented periodic to a continuous demand

planning process

• Leverage advanced analytics to accurately predict demand

• Use any combination of quantitative or qualitative data to establish your base line forecast

• High precision statistical forecasting, no statistical background required – Superior Bayesian-Markov forecast analytics

• Forecast based on attributes and characteristics

• Get quickly to an improved consensus number• Use multi-dimensional analysis to adjust, allocate, and rollup• Collaborate with internal and external constituents• Workflow driven forecasting exceptions ensures responsiveness• Support for flexible formulaic expressions• Supports assumption based forecasting • Automatically sync when working in offline mode

Improved demand management — The first step to demand driven


Easily navigate through user defined hierarchies

Configurable worksheets display the data each user needs to his job

Configurable reports, charts and graphs can be displayed anywhere

Gantt charts provides visibility to marketing and promotion campaigns

Productivity enhancing UISense Demand – Accurately Predict Demand


Shape Demand – Promotions Optimization

• Accurately estimate base volume and components of promotional lift• Provides decomposition of incremental volume from

advertising, promotions or sales incentives• Granular lift analytics • Incremental volume lift coefficients maintained at

lowest level

• Promotion optimization• Simulate volume and profitability of future promotions

• Perform what-if analysis to understand the impact of varying promotional tactics and price points

• Optimize promotional events based on goals and constraints - profit, revenue, units and constraints - budget, timing, retail margin

• Decompose lift to understand cannibalization, pantry loading, and halo effect

Baseline

Incremental

Competitive Brand

Switching

BrandGrowth

Pre and PostPromotion

Effect

BrandCannibalization

Typical Demantra

Baseline

Understand the financial and operational impacts of promotions and sales incentives


Shape Demand – New Product Introduction

• Chain and view demand of comparable products• Automatically identify comparable products based on characteristics• Automatically detect outliers• Align forecast based on actual demand

Accurately forecast demand for new products based on existing data


Oracle Process ManufacturingRelease 12 Highlights



User is stepped through instructions and tasks

Direct link to SOPs

Configurable acknowledgement: -Optional-Required Acknowledgement-E-Signature(s)

One Click Access to Transactional Forms: -

Operator Workbench Facilitates Compliance


Oracle Discrete ManufacturingRelease 12 Highlights


• Lean, Agile Mixed Mode Manufacturing

• Transition to “Demand-Driven” from “Product Push”

• Real-Time Shop Floor Visibility

• Continued Focus on Cost Containment & Compliance

• Product Design for Supply Chain Excellence

• Outsourcing and Offshoring to Improve Flexibility

• Lean, Agile Mixed Mode Manufacturing

• Transition to “Demand-Driven” from “Product Push”

• Real-Time Shop Floor Visibility

• Continued Focus on Cost Containment & Compliance

• Product Design for Supply Chain Excellence

• Outsourcing and Offshoring to Improve Flexibility

To Stay Competitive Expectations of Manufacturing Systems Have Evolved


Oracle Manufacturing Strategy- Eliminate the Barriers

• One stop shop for “Manufacturing Operations Management” - ERP, Quality, Scheduling, Maintenance and MES

• Leverage “Best in class” integration infrastructure in Fusion Middleware to connect to other plant floor systems

• Leverage “State of the art” Oracle BI platform (Siebel Business Analytics) to build out Manufacturing Intelligence solution based on heterogeneous data sources


MES Operations Business Flow for the Shop Floor Operator & Supervisor

Work OrdersReleased toShop Floor

Reviews & ResolvesException

Sets up UserRoles and Parameters

Works offDispatch List

ADMINISTRATORSHOP FLOORSUPERVISOR

SHOP FLOOROPERATOR

Reports Exceptions (if any)

Record transactions &Complete Work

Notification sentTo Supervisor

PeriodicallyReviewsShop FloorStatus

• Workstation Setup

• Work Orders Released to Shop Floor

• Operator works off dispatch list

• Reports any production exceptions

• Supervisor reviews and resolves exceptions

• Operator continues work, records transactions and completes work

• Supervisor monitors shop floor progress periodically








Reduce implementation, integration, andmanagement costs of global applications


Dramatically Lower IT Coststhrough System Consolidation

Only Oracle…

• Supports all languages and localizations in same database

• Scales to very large volumes via RAC and Grid Computing

Lower Cost

• Consolidate data centers

• Administer fewer systems

• For each new flow,leverage existing setups and reference data

Better Automation

• Standardize, document, and audit processes

• Integrated cross-application business flows

Better Information

• All detail availablefor drilldown

• Deploy DBI in weeks vs. quarters or years for a traditional warehouse

Think Work Manage


Configure, Don’t CustomizeHighly configurable global system lets you tailor the systemwithout programming

Flexfields – User definable data key

Folders – User tailorable forms

Workflow – Configurable business process flow

Custom Library – Directory for customer extensions (forms)

OA Framework / Forms Personalization – Configurable page “look & feel”, navigation, tabs, fields, buttons

XML Publisher – Flexible report / document output

Eliminate costlycustomizations

Preserve configurationsthrough upgrades

Accelerate systemsdeployment

Think Work Manage


Comprehensive Integration RepositorySimplify and accelerate systems connectivity

• Enable key integration types- Business to Business- Enterprise Application Integration- Business Process Management- Business Activity Monitoring

• Support industry-standard messages

• Support standards-basedXML documents

• Search and view available interfaces via powerful UI

• Automatically keep in step with source code via standard patching

A Catalog of All EBS Integration Points• Web Services• Public Java & PL/SQL APIs

• Business Events• Batch Interfaces

Think Work Manage


Next Gen. Business Process MgmtIntegrate Oracle, 3rd party & legacy applications to extend process automation

BPEL Process Manager

Step1

Step1

Step2

Step2

Step3

Step3

Step4

Step4

Step5

Step5

BusinessProcess

OracleEBS

SiebelCRM

PeopleSoftFinancials

Custom OrderApplication

Mainframe HRApplication

New WebApplication

• Standard Interfaces• Cross-application maps

• Quickly integrate heterogeneous applications using an intuitive, graphical UI

• Manage system performance via web with a user-friendly console

• Reduce connectivity headaches withpre-packaged, standard interfaces for applications and legacy systems

• Built on widely adoptedindustry standard language (BPEL)

Think Work Manage


Release 12 -- Ready for Global Roll-Out

• Oracle Consulting & Partners Trained and Ready to Assist with Upgrades and Implementations

• Advanced Tools and Training Available to Facilitate Transition

• Oracle Support Trained andReady to Address YourQuestions and Issues

Oracle is Ready to Make You Successful


AQ&Q U E S T I O N SA N S W E R S

Documents

Release 12: The Global Business Release Increase Competitiveness Through Streamlined, Global Supply Chain Operations Presenter’s Name Presenter’s Title