Tranform Your Finance Organization Fin

8/14/2019 Tranform Your Finance Organization Fin

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Copyright NetSuite Inc., All Rights Reserved.

Transform Your Finance Operation toThrive in Uncertain TimesTransform Your Finance Operation toThrive in Uncertain Times


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Your Host: Panelists:

James Jones

Director, FinancialPlanning & Analysis

KANA Software

Stuart Rauch

Director, Product Marketing

NetSuite Inc.

Rob HullCFO and Founder

Adaptive Planning


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Agenda

Welcome and Introduction to NetSuite and SaaS

Adaptive Planning: Budgeting, Forecasting &Reporting in Uncertain Times

Adaptive Planning Demo

KANA Software Success Story

NetSuite and Adaptive Planning Demo by KANA

Q&A


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NetSuite Background

Founded 1998

Publicly traded on NYSE: N

Strategy:Deliver integrated business applications

as online services

Results: Largest integrated, on-demand

customer base (6000+ customers) Offices in 8 countries (US, Canada,

UK, Japan, Hong Kong, Singapore,Philippines, Australia)


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5

Annual Revenue

2008 Revenue: $152.5M

(40.5% increase YOY)

Q4 08 Revenue: $41.4M

(30.5% increase YOY)

$123.6 Million in Cash

Over 1.3 Million UniqueLog-Ins

Q4 2008 Financial Results press release dated 2/10/09 contains GAAP tonon-GAAP reconciliation and is available on NetSuite website.

The Largest Provider ofFully-Integrated SaaS Suites

$1.1$3.1

$8.3

$17.7

$36.4

$67.2

$108.5

$152.5

$0 M

$20M

$40M

$60M

$80M

$100M

$120M

$140M

$160M

2001 2002 2003 2004 2005 2006 2007 2008


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6

Three Big Ideas

Suite

NetSuite: The Enterprise-Class Application for the Mid-market

SaaS Verticals


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Accounting

SFA

Support

WebPSA/PPM

Excel

The Typical On-Premise Way


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8

MarketingCampaigns

Sales ForceAutomation

CustomerSupport

PartnerRelationships

OrderManagement

Accounting/

FinancialsInventory

PayrollPurchasing

Shipping

VendorPortal

CustomerPortal

Web Site

Web Store

E-commerceManager

ProjectMgr

Support

Manager

CEO

Sales Rep/Manager

CFO

SINGLEDATA

REPOSITORY

Customers

Vendors Partners

The NetSuite Way: One System


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On-PremiseStyle:

Manage It

Yourself

HARDWARE

License

Maintain

Patch

Replace

DESKTOP OS

License

Maintain

Patch

Replace

SERVER OS

License

Maintain

Patch

Replace

DATABASE

License

Maintain

Tune

Upgrade

APPLICATION

License

Back-up

Upgrade

Migrate

ERP

SaaS

Style

OneSystem

HARDWARE DESKTOP OS SERVER OS DATABASE APPLICATION

Subscribe

CRM

HARDWARE

License

Maintain

Patch

Replace

DESKTOP OS

License

Maintain

Patch

Replace

SERVER OS

License

Maintain

Patch

Replace

DATABASE

License

Maintain

Tune

Upgrade

APPLICATION

License

Back-up

Upgrade

MigrateEcommer

ce

HARDWARE

License

Maintain

Patch

Replace

DESKTOP OS

License

Maintain

Patch

Replace

SERVER OS

License

Maintain

Patch

Replace

DATABASE

License

Maintain

Tune

Upgrade

APPLICATION

License

Back-up

Upgrade

Migrate

Software-As-A-Service


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McKinsey Says 40% Better TCO

1,6402,298Total Costs (including those not shown here)

092Unused licenses

0308Unscheduled downtime

Other

1,500480User licenses, subscriptions, maintenance

Software

0750Data center facilities rental, operations, security, compliance,monitoring of incident resolution

094Mainagement, customization of business process change

34101Training

Ongoing operations

030Application infrastructure testing, deployment

054Basic Infrastructure testing, deployment

72108Customization, integration

Implementation, deployment

Software as a ServiceSoftware on Premises

1,6402,298Total Costs (including those not shown here)

092Unused licenses

0308Unscheduled downtime

Other

1,500480User licenses, subscriptions, maintenance

Software

0750Data center facilities rental, operations, security, compliance,monitoring of incident resolution

094Mainagement, customization of business process change

34101Training

Ongoing operations

030Application infrastructure testing, deployment

054Basic Infrastructure testing, deployment

72108Customization, integration

Implementation, deployment

Software as a ServiceSoftware on Premises

Total Cost of Ownership, $ thousand

Sample deployment of CRM software (200-seat license)The McKinsey Quarterly, Delivering Software as a Service 6/2007


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The Benefits of Real-Time Data

Customizable Dashboards

All data comes from one place

Real-time insight into the mostimportant metrics and data

Visibility into cash flow

Review cash flow projections Make adjustments based on

expectations of sales, collections,

expenses

Managers can track performanceagainst metrics in real time


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COU

NTRY

REG

ION

GLOB

AL

Currency

Quota

Forecast

Orders

Taxation

Partners

Language

Website

ProjectManagement

LOCAL

12 Languages, 170 Currencies

Consolidation

Sales

Revenue

Dashboards

CurrencyManagement

Compliance

Control

Many Websites

GLOBAL


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Worldwide SaaS Market Growth2007-2012

CA

GR

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

On-PremiseERP

16.00%

18.00%

Source: IDC and Gartner

SaaSCRM

20.00%

22.00%

24.00%

26.00%

28.00%

On-PremiseCRM

11.9%

7.6%

18.5%

SaaSERP

26.8%


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The Fortune 5,000,000

NetSuite has over 6,600 active customers in a wide variety of industries


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Budgeting, Forecasting &

Reporting in Uncertain

Times

Budgeting, Forecasting &

Reporting in Uncertain

Times

Rob HullFounder & CFOAdaptive Planning


16/3816 Not For Distribution Private and Confidential to Adaptive Planning and Client

Adaptive P lanning OverviewAdaptive P lanning Overview

The leading SaaS Vendor

Free Software & Training

First Online Community

Only Open Source Offering

The leading SaaS Vendor

Free Software & Training First Online Community

Only Open Source Offering

Category Leader

Founded By a CFO in 2003

Al te rnat i ve to Both Excel andComplex Enterprise Software

First True SaaS Offering

Founded By a CFO in 2003

Al te rnat i ve to Both Excel andComplex Enterprise Software

First True SaaS Offering

Background

GrowthRapid Customer

Adoption

2006

64

2007

188

2008

425

~10,000 users > 85 Count r ies

2009E

750

Industry Awards

2008EmergingVendor

Best forUpgrading

YourSpreadsheets

Cool Vendor inPerformanceManagement

2008Best Newcomer

2009 CoreVendor

Best BI or KMSolution

Best BusinessSoftwareSolution

2009Hot Company



Planning is Essential in a RecessionPlanning is Essential in a Recession

The CFOs Role in Navigating the Downturn

CFOs need to replace traditional budgeting and planning with a more aggressive crisis-planning mode focused on cash. They should prepare scenarios based on different economicassumptions and risks, such as the sudden unavailability of funding or bankruptcies of major

customers or suppliers. And they must develop contingency plans in case the scenarioscome to pass. Survival is not a certainty.

The CFOs Role in Navigating the Downturn, The McKinsey Quarterly, December 2008

Current UncertaintyCurrent UncertaintyCurrent Uncertainty

How would you characterize the current level ofeconomic uncertainty facing your business?

Low

Medium

High

Very High

5%

33%

39%

23%

Impact on PlanningImpact on PlanningImpact on Planning

Will the uncertain economic environment causeyou to re-plan, re-forecast, and perform what-ifanalyses more frequently in the next quarter?

Dont Know

No

Yes

14%

15%

71%

Source: BPM Forum / Adaptive Planning poll of finance professionals, February 2009



Low End Tools

Spreadsheets

Manual

Error-Prone

Cant Scale

EnterpriseSolutions

Expensive

Slow toImplement

Complex

Risky

Free Test Drive ProgramsFree Test Drive ProgramsFree Test Drive Programs

Simple, Affordableand Fast

Simple, AffordableSimple, Affordable

and Fastand Fast

Optimized for Mid-MarketOptimized for M idOptimized for M id--MarketMarket

Current Solutions Miss the MarkCurrent Solutions Miss the Mark



Innovative SolutionInnovative Solution

Collaborative Modeling

Spreadsheet-Like Interface

Organizational Roll-Up

P&L, Balance Sheet, Cash Flow

Unlimited Versions

Budgeting & ForecastingBudgeting & ForecastingBudgeting & Forecasting

Drag & Drop Report Builder

Actual, Budget, Forecast

Multi-Dimensional Reporting

What-If? Analyses

Customizable Dashboards

Reporting & AnalysisReporting & AnalysisReporting & Analysis

Discussion Groups, Online Docs,Attachments, Project Mgm t.

Alignment, Agility, Accountability

Best Practices & Peer Connections

Collaboration & CommunityCollaboration & CommunityCollaboration & Community



The Unfair Advantage of SaaSThe Unfair Advantage of SaaS

Adaptive Planning Benefits

CostCostCost

As Little As $600 / YearEliminate IT Costs

Deployment SpeedDeployment SpeedDeployment Speed

12 Days on AverageEasy to Self-Implement

TransparencyTransparencyTransparency

Pricing, Uptime, Training &Support All Online

Ease Of UseEase Of UseEase Of Use

30 Min. Training for Users4 Hours for Administrators Renewal-Based Model99.9% Uptime

InnovationInnovationInnovation

3 Product Releases per YearLive & Breathe Innovation

AccountabilityAccountabilityAccountability

Transforming the Industry

The rise of the cloud is more than just another platform shift that gets geeks excited. It willprofoundly change the way people work and companies operate.- The Economist

in the midst of a profound shift from client-server to cloud computing. The economicsare truly compelling, with cost advantages of 3-5X for business apps.- Merrill Lynch

SaaS is now commonplace and having a very real impact on IT. Users should not waitbut should explore cloud and SaaS opportunities from new vendors. - Gartner



Excellent Fit for Companies of All SizesExcellent Fit for Companies of All Sizes

Software /Services

Software /Software /ServicesServices

ManufacturingManufacturingManufacturing HealthcareHealthcareHealthcare Non-ProfitNonNon--ProfitProfit

RetailRetailRetail OtherOtherOtherFinancialServices

FinancialFinancial

ServicesServicesCommunicationsCommunicationsCommunications
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NetSuite & Adaptive PlanningNetSuite & Adaptive Planning

Complete Business InsightComplete Business InsightComplete Business Insight

What have we achieved historically? What are we planning to achieve in the future?

How well are we executing against our plans?

What if ?

Historical

Perspective

Future

Forecasting& Scenarios+

=
http://www.netsuite.com/portal/home.shtml



DemonstrationDemonstration

Financial forecasting is crucial, and even more so when times are

tough You need visibility and the ability to evaluate scenarios quickly

Adaptive Planning gives you the tools you need:

Scenario analysis: What if sales are 20% lower? What if I cut 5% of staff?

Comparative reporting: budget vs. forecast, scenario comparisons

Rolling actuals, forecasts: 9 months actuals from Netsuite, 3 months forecast

Complete, integrated financial statements: quickly assess future cash impact Driver-based analysis: build calculations based on key business drivers

Lets look at this within the application


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Case Study

James Jones

Director, Financial Planning & AnalysisKANA Software, Inc.

Service Done Right. Customers for LifeService Done Right. Customers for Life


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NetSuite & Adaptive Planning JourneyNetSuite & Adaptive Planning Journey

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Background

Selection Process

Implementation

Impact


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KANA SoftwareKANA Software

Who we are Recognized leader and top-10

global provider of customerservice applications

World HQ in Silicon Valley 229 employees

Whom we serve 250 customers; 800+ deployments

Global 1000 cos with mill ions ofcustomers, billions of interactions Companies with a relentless focus

on customer retention & loyalty

What we provide Today: eService & Knowledge

Management solutions Tomorrow: End-to-End Service

Experience Management solutions

Strategic Partner
http://images.google.com/imgres?imgurl=http://upload.wikimedia.org/wikipedia/en/thumb/f/f5/Best_Buy_Logo.svg/800px-Best_Buy_Logo.svg.png&imgrefurl=http://www.guyoftech.com/2008/02/popular-store-in-us-drops-hd-dvd.html&h=551&w=800&sz=52&hl=en&start=1&um=1&tbnid=sCo_DVyj7x89mM:&tbnh=98&tbnw=143&prev=/images?q=best+buy+logo&um=1&hl=en&rls=GGLJ,GGLJ:2006-35,GGLJ:en&sa=Nhttp://www.hsbc.com/1/2/homehttp://www.telenor.com/http://www.starwood.com/http://artspace.sfa.uconn.edu/267_s06/chend/project/michaelb/por3.htmhttp://images.google.com/imgres?imgurl=http://www.perret-ag.ch/adidas-logo.jpg&imgrefurl=http://www.perret-ag.ch/dieuhren.htm&h=188&w=250&sz=14&hl=en&start=1&tbnid=gjn8HeQ-A5-ahM:&tbnh=83&tbnw=111&prev=/images?q=adidas&svnum=10&hl=en&lr=&rls=SUNA,SUNA:2006-29,SUNA:en&sa=Nhttp://pages.ebay.com/http://images.google.com/imgres?imgurl=http://www.digital-world.de/imgserver/bdb/955500/955509/200x.jpg&imgrefurl=http://www.digital-world.de/news/kommunikation/1253620/index.html&h=200&w=200&sz=19&hl=en&start=2&tbnid=Ryr3r8-aqELUXM:&tbnh=104&tbnw=104&prev=/images?q=o2+logo&ndsp=18&svnum=10&hl=en&lr=&sa=Nhttp://www.sprint.com/


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Replace various legacy systems(i.e., SFA, ERP/Financials, CRM,Expense Reporting, PSA) with asingle, integrated system

Eliminate manual processing and

offline spreadsheets

Improve data quality

Implement SOX compliantcontrols

Improve business processes

ObjectivesApplication Architecture

Why NetSuite and Adaptive PlanningWhy NetSuite and Adaptive Planning

Employee DB

Workday

HRIS SFA/CRM ERP

MarketingProfessional

Services

Customer DB

AdaptivePlanning

BPM

NetSuite

Product DB


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Selection ProcessSelection Process

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Errors, to be dangerous, must have a great deal of truth

mingled with them. It is only from this alliance that they can

ever obtain an extensive circulation.

According to both PricewaterhouseCoopers and KPMG,

more than 90 per cent of corporate spreadsheets have

material errors in them.

Challenges


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Jay Jones, KANA CAO

Michael Fields, KANA CEO

Mike Shannahan, KANA CFO

Selection Committees


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Subscription pricing

Low total cost of ownership

Ease of configuration, use and

maintenance

Features and functionality versusprice and complexity

Value Drivers


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ImplementationImplementation

31

Followed standard software development lifecycle procedures

Used in-house configuration and project management expertise

Worked with NetSuite Services for training and coaching

NetSuiteUSA

NetSuiteSubsidiary

NetSuiteInternational

Implemented NetSuite One World

Increased focus on interactive design, prototyping and testing

Increased reliance on in-house resources and experts

Completed complex merging of processes and object model

Worked with Navigant Consulting and Demand Solutions Group

Increased focus on change management

AdaptivePlanning

Used Quick Start consulting services

Used in-house resources for design, configuration, and deployment

Worked to document while configuring and modifying

Implementation Critical Success Factors

Sept 2007


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NetSuiteUSA

NetSuiteSubsidiary


Implemented NetSuite OneWorld

Increased focus on iterative design, prototyping and testing



Worked with Navigant Consulting and Demand Solutions Group


Sept 2008

AdaptivePlanning





Sept 2007

Jan 2008




32


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NetSuiteUSA

NetSuiteSubsidiary



Partnered with Navigant Consulting and Demand Solutions Group


Sept 2008

AdaptivePlanning





Sept 2007

Jan 2008

July 2008








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Sept 2007

Jan 2008

July 2008

NetSuiteUSA

NetSuiteSubsidiary



Partnered with Navigant Consulting and Demand Solutions Group


Sept 2008 AdaptivePlanning



Business responsible for ongoing maintenance and support








I


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ImpactImpact

Increased business agility

Advanced analytics

Continuous improvement

Rapid and frequent planning

Detailed modeling

Increased collaboration

Strategy, planning, and execution linkage

Scenario analysis and transaction level validation

Ability to continuously monitor performance

Integration

M i th B i i D t


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Managing the Business in a DownturnManaging the Business in a Downturn

Uploading the budget from Adaptive Planning to NetSuite enables:

Scenario planning by senior executives

More accurate and detailed cash flow forecasting

Dramatic increase in the focus on and accuracy of variance analysis

Monthly rather than quarterly review of departmental variances

Improved reporting to key management stakeholders and board ofdirectors

Based on access to key financial data and analysis, processes can be adjustedto meet business realities


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Questions & AnswersQuestions & Answers


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James Jones

Director, FinancialPlanning & Analysis

KANA Software

[email protected]

Stuart Rauch

Director, Product MarketingNetSuite Inc.

[email protected]

Rob HullCFO and Founder

Adaptive Planning

[email protected]

Contact Information
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]

Documents

Tranform Your Finance Organization Fin