Journey to the Cloud - canrug.files.wordpress.com · • Improved management of cash flow • Lower total cost • Greater efficiency in software administration • Economical scalability

Journey to the Cloud

Deloitte Consulting LLP

June 21, 2016

2 Deloitte Consulting

Agenda

Introductions

Oracle ERP Cloud Overview

Cloud versus On-Premise ERP Comparison Considerations

Success Factors

Cloud Transition Approach

Q& A


Introductions


Deloitte Oracle Cloud Leadership

#1 Oracle partner in North America for seven consecutive years

#1 Oracle’s only Global Cloud Elite partner

#1 Business technology transformation by Forrester Research Inc.

Deloitte

Oracle

practice

started

Exclusive

testing

partner for

Oracle Cloud

business

Ranked

No.1 NA

Systems

Integrator

Cloud

Applications

—Ramp-Up

HCM Cloud

Application

QA Testing

HCM Cloud

Early Adopter

Program

Marquee

HCM

Cloud

partner

Ranked #1

Cloud

Partner by

Oracle

Ranked #1

Cloud

Partner by

Oracle

Awarded

Global

System

Integrator of

the Year

8+ years experience working with Oracle Cloud Applications

1993 2007 2008 2009 2010 2011 2012 2013 2014 2015

Largest Oracle ERP and HCM Cloud implementations globally

Largest Oracle ERP Cloud implementation in higher education

Cloud Transformation Excellence Award 2014 and 2015


Oracle ERP Cloud Overview

6 Deloitte Consulting | Oracle ERP Cloud

Why traditional ERPs won’t drive the same valueTraditional ERPs have reached maturity in their innovation cycle and are limited by their technological foundations.

They may continue to be supported, but will not enable the value driven by the combined force of digital transformation

elements.

Cloud ERPs will innovate at a rapid pace that can drive increased value for adopters on a continuous basis

Pace o

f in

novation

Phase

Introduction Growth Plateau and Decline

Traditional ERPsCloud ERP


Multiple Factors are Driving Cloud Adoption

Extensibility

(upgrade friendly)

Modularity and

choice of adoption

Social collaboration, contextual

business intelligence, role-based

dashboards, mobile applications

Standard practices,

vanilla mandate, data

isolation and protection

Ongoing innovation

and upgrades

Unlimited elasticity

and scalability

Completeness

of solution

Lower total cost

of ownership

Increase Speed

to Deliver

Change

Customization

Mindset

Reduce CostsDrive Process

Standardization

Companies leverage a Cloud model for ERP to advance business objectives:


Oracle’s Cloud Offerings

PaaS

ERP Cloud

Customer Experience Cloud

Java Cloud

Enterprise Performance Management Cloud

Software-as-a-Service (SaaS)

Database Cloud

(partial listing of PaaS services)

BI Cloud

Mobile Cloud

Integration Cloud

IaaS

Compute Cloud

Storage Cloud

Private Cloud

Managed CloudSOA Cloud

Cloud Devices

Human Capital Management Cloud


Oracle ERP Cloud – Straight Talk

Oracle ERP Cloud

• Oracle Financials Cloud

• Oracle Procurement Cloud

• Oracle Supply Chain Cloud

• Oracle Project Portfolio Management Cloud

• Oracle Accounting Hub Reporting Cloud

Cloud =

Simplistic?

Product maturity?

Oracle Planning and Budgeting Cloud

Oracle HCM Cloud

Oracle CX Cloud

Oracle as a

Cloud vendor?“Post- Modern ERP”?

Release roadmap and

implementation phases?

Release

schedule and

uptakes? Customizations?

CapEx/OpEx?


How should I evaluate the investment in Oracle ERP Cloud?

Approach the decision as an evaluation of the next generation of Oracle’s flagship ERP,

not as a simplified ‘cloud play’ solution

Total Cost of Ownership

• Improved management of cash flow

• Lower total cost

• Greater efficiency in software

administration

• Economical scalability and elasticity

• Reduced training costs

Business Value

• Use of latest technology and business

functionality

• Faster, more agile upgrades

• Enhanced standardization

• Expanded ability to attract / retain talent

• Better overall system adoption

• Greater flexibility in IT resource deployment


When should I seriously consider ERP Cloud?

Clients are investing in Oracle ERP Cloud to gain ROI through driving value for their business

Business Transition Points

• Business unit consolidation

• Acquisition

• Divestiture / spin off

• Significantly changed business

model

• Preparation for IPO

• Business transformation mandate

(e.g., increase working capital)

System Transition Points

• Losing support on an old version or

eliminating a burning IT platform

• Alternative to costly upgrade

• Reduce maintenance on highly

customized applications

• Systems consolidation (e.g., HCM,

expenses, procurement, projects)

• Data center consolidation and

support cost reduction

• Avoid new IT infrastructure costs

Business Value

• Cost reduction through business

process automation, lower total IT

cost of ownership, self service

operations etc.

• Revenue growth through greater

customer insight, improved pricing,

etc.

• Revenue growth through enhanced

customer experience and customer

satisfaction.

• Improved working capital, enhanced

cash flow or better asset efficiency


Cloud vs. On Premise ERP Comparison


Instance Patching and Upgrades for Oracle ERP Cloud

Oracle ERP Cloud Instance Patching Oracle ERP Cloud Upgrades

Oracle releases updates once a month

• Non-production pods are patched on the first Friday of

the month.

• Production pods are patched on the third Friday of the

month (non-concurrent).

Oracle provides new Releases of Oracle ERP Cloud

twice a year

• Oracle provides upgrades typically in May and

November.

• Once Oracle provides a new release, customers have a

set window of time to schedule their upgrades.

Opportunity to test patches

before PRD release

Non-concurrent Patching

UnpatchedPRD

TST/DEV

Week1 Week2 Week3 Week4

Patched

UP Patched

Release 11 Release 12

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Release Cycle

Release 12 Release 13

PRD

TST/DEV

Oracle

Releases

Upgrade Upgrade

Release 11 Release 12R10


How does the effort compare to on-premise ERP implementations?

Operate

Implement

More EffortLess Effort Similar Effort

Develop Interfaces

Migrate Data

Configure SolutionInstall Hardware

and Software

Train Users

IT & Operations

Training

Perform

Regression TestingInstall Patches

Upgrade to

New Releases

Lead Change

and Adoption

Standardize

Processes

Test Solution

Cleanse and

Validate Data

Manage Service

Requests

Develop

Customizations

Develop Reports


Success Factors


Success Criteria

• Institute Strong Governance

• Define Success Criteria up Front

• Begin with Leading Practice

• Take a Structured Approach to

Testing

• Make Data a Priority

• Engage Change Network

Throughout

• Have a Risk Mitigation Strategy

• Advance with Accelerators

• Vendor Relationships

Increased

implementation speed in

the Cloud leaves little

time to course correct; for

that reason, our team

followed these key

principles

Business

Process

First

Define

Success

Criteria

Structure

Testing

Establish

Governance

Prioritize

Data

Engage

Change

Network

Mitigate

Risks

Utilize

Accelerators


Cloud Transition Approach


The Cloud Transition Lab is a structured and comprehensive framework to help organizations assess and

prepare for cloud a transition driven by a focus on business value, optimal architecture and risk considerations.

Cloud Transition Lab

Cloud

Awareness

Cloud Trends

Transformation

Opportunities and Cloud Fit

Business Case

Strategy and

Roadmap

Execution Plan

• What is Cloud?

• Why move to

Cloud?

• Evaluation Criteria

• Assessment

• Priorities &

Drivers

• Current

Landscape

• Pain points &

Challenges

• Fit gap

• Qualitative /

Quantitative

business value

assessment

• Cloud readiness

& risk

assessment

• Optimal

architecture

assessment

• Phase & scope

definition

• Deployment

Timeline

• Resource Plan

• Budgetary

estimate


Oracle ERP Cloud Case Study: ERP Fit Gap Assessment

• Private Higher Ed institution that serves more than 8,000 undergraduate students through a dozen

colleges and schools, across 3 campuses in the United States and one in Qatar

• PeopleSoft Client for HR , Finance and Campus Solutions

Objectives

• Identify business and IT

transformation opportunities

leveraging adoption of Oracle ERP

Cloud

• Evaluate options to improve current

Finance & Procurement technology

• Help and guide options on Stay on

Course , Cloud Ready or Upgrade

to PeopleSoft

• Change Readiness –Pulse Check

ERP Cloud Assessment

• Drive standardization and transform

• Mapped to Higher Ed process

taxonomy

• Establish Pain Points –Maturity Levels

• Assess concept of De-Customize and

push towards Modernize

• Evaluate Hybrid Cloud model allows

the adoption of certain functions to

reside in the Cloud

Outcome

• Ran the Deloitte Oracle Cloud

ERP Transition Lab to assess

Cloud ERP opportunities

• Conducted detailed fit-gap

analysis that identified significant

opportunities for

improvementFinal report with

recommended option to adopt a

High Value/Low Risk Cloud

approach


Key Deliverables

Scope & Fit-Gap Workshop Schedule Fit-Gap Analysis & Results

Final Report – Risk/Value Assessment, Recommended Adoption Model, Implementation Roadmap and Resource Plan


Q&A

We thank you. Deloitte Inc.Bay Adelaide Centre - East Tower22 Adelaide Street West, Suite 200Toronto, Ontario, Canada M5H 0A9

Rakesh ShettyConsulting

Direct: [email protected]

Member ofDeloitte Touche Tohmatsu

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Journey to the Cloud - canrug.files.wordpress.com · • Improved management of cash flow • Lower total cost • Greater efficiency in software administration • Economical scalability