39
Oracle Oracle in the in the Consumer Consumer Packaged Goods Packaged Goods Industry Industry . Phil Friedman Vice-president CPG & Process Industries

Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Embed Size (px)

Citation preview

Page 1: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

OracleOraclein the in the

Consumer Consumer Packaged Goods Packaged Goods

IndustryIndustry

OracleOraclein the in the

Consumer Consumer Packaged Goods Packaged Goods

IndustryIndustry

.

Phil FriedmanVice-president

CPG & Process Industries

Page 2: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Manufacturers see cutting trade spending as a key opportunity to increase bottom line profitability

Retailers demand that manufacturers collaborate to plan, forecast, and manage inventory to ensure right product, right time, right place right cost.

Retailers and Manufacturers agree on the need to adapt and adopt data and process standards

Consumers demand and the FDA is enforcing food quality and safety regulations

Industry Dynamics

Page 3: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The New Consumer Goods Value ChainIngredients/Material to Consumer

Distributor / Distributor / BrokerBroker

ProductionProduction

WarehouseWarehousePackage & ShipPackage & Ship

Prepackaged / sub-contactorPrepackaged / sub-contactorMaterialsMaterials

Raw MaterialsRaw MaterialsSupplier-Supplier-

Packaging MfgPackaging Mfg

RetailRetailClubClub’’ss

Supply Base

Consumer GoodsManufacturers

Distribution& Retail

ConsumerConsumer

ProductionProduction RetailersRetailers

RFID Tag

UCCNetUCCNet

CatalogueManager

Pricing / TradeEngine

LoyaltyProgram

Intelligence

SBT

RegulatoryCompliance

VMI

Page 4: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

.

What are CPG Executives Looking For What are CPG Executives Looking For Meet all the needs of compliance

– Sarbanes-Oxley’s impact from Trade Management– Quality and safety regulations– Big-box Supply Chain– Standards

Lower Cost of Ownership– Reduces need to grow IT organizations

Reduces complexity of management Reduces the number of skill sets required

– Eliminates support for integration– Single point of accountability and vendor management

Drive to single version of the truth– Single data source for customer and item masters – Easier to implement data quality – Aligns access of information with the velocity of the business

Partner with a company willing to make investments – Support R&D drive solutions not research

Page 5: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

.

What is Oracle doing to meet the What is Oracle doing to meet the Needs and ChallengesNeeds and Challenges

Compliance

Out of the

Box

Page 6: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

.

Compliance Out of the BoxCompliance Out of the Box

An integrated out of the box application and technology solution built with CPG specific business flows that enable mid-tier CPG companies meet the requirements from large retailers (I.e. Wal*Mart) encompassing:– RFID Compliance– Item Synchronization Management– Food Safety and Tracability– Single Source Customer Management– Trade Promotions and Settlement Management– Partner Collaboration – Operational and planning Analytics

Page 7: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Top CPG Opportunities for Driving Shareholder Value

Regulatory ComplianceDriving business effectiveness by managing through a single version of the truthCollaboration – UCCNet a partner to achieving supply chain excellence RFID – When and whatPromotion management – Sarbanes-Oxley

Page 8: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Administration and Legislators Know That Their Constituents are Scared and

Right to be SoWhat are are your consumers saying…

Is my product safe? Can I trust the manufacturers? What is my Government doing?

– Congress – More rules, less effectiveness, Congress – More rules, less effectiveness, more costsmore costs BUT !!!BUT !!!

– FDA and others – Can they really be the FDA and others – Can they really be the enforcement agency here???enforcement agency here???

I think I’m confident but I’m not sure

Page 9: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

What the FDA and other Regulators Will Be Looking For

IssuesIssues

• Tracability – Do I know the

original source and destination

• Accountability – Can I identify

the individuals who make

decisions and take action

• Auditability – Can I retrieve and

report on process information

• Responsiveness – Can I handle

issues in a timely manner

• Tracability – Do I know the

original source and destination

• Accountability – Can I identify

the individuals who make

decisions and take action

• Auditability – Can I retrieve and

report on process information

• Responsiveness – Can I handle

issues in a timely manner

• Full life cycle tracking and

work flow--aligned with

process steps

• Tight alignment and

integration with employee

information

• Work flow and reporting

engine that has been verified

as FDA compliant

• Information driven reporting

• Full life cycle tracking and

work flow--aligned with

process steps

• Tight alignment and

integration with employee

information

• Work flow and reporting

engine that has been verified

as FDA compliant

• Information driven reporting

Solutions CapabilitiesSolutions Capabilities

Page 10: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

• Improve Recall Responsiveness / Cost• Comply with FDA GxP and Safety Regulations• Trace Materials Enterprise-Wide to Analyze Vendor Quality

Ingredients& Resources

Intermediate or Bulk Products

Finished Product

Supplier Customers

Where UsedWhere Used

Lot SourceLot Source

Oracle’s Enabling SolutionAuditability, Traceability, Accountability

Page 11: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Top CPG Opportunities for Driving Shareholder Value

Regulatory ComplianceDriving business effectiveness by managing through a single version of the truthCollaboration – UCCNet a partner to achieving supply chain excellence RFID – When and whatPromotion management – Sarbanes-Oxley

Page 12: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Architecture to Drive a Single Version of the TruthArchitecture to Drive a Single Version of the Truth

FinanceFinanceGL / AR / AP / AssetsGL / AR / AP / Assets

Collections / PaymentsCollections / Payments

SalesSalesAdvanced PricingAdvanced Pricing

ConfiguratorConfiguratorGlobal ATPGlobal ATP

Incentive Comp.Incentive Comp.

ServicesServicesSupportSupport

Field ServiceField ServiceDepot RepairDepot Repair

MarketingMarketingTrade Mgmt.Trade Mgmt.

FulfillmentFulfillmentWarehouseWarehouse

TransportationTransportation

PartnersPartners

HRHR

ManufacturingManufacturingAdvanced PlanningAdvanced Planning

ProcurementProcurementExchangeExchange

ProjectsProjects

Product DesignProduct DesignLife Cycle Mgmt.Life Cycle Mgmt.

Strategic EnterpriseStrategic EnterpriseMgmt.Mgmt.

Balance ScorecardsBalance ScorecardsActivity Based CostingActivity Based CostingActivity Based Mgmt.Activity Based Mgmt.Value Based Mgmt.Value Based Mgmt.

ContractsContractsSales / ServicesSales / ServicesLease / RightsLease / RightsProperty Mgmt.Property Mgmt.

GlobalCustomers, Products, Business Intelligence

& Everything Else!

Page 13: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Top CPG Opportunities for Driving Shareholder Value

Regulatory ComplianceDriving business effectiveness by managing through a single version of the truthCollaboration – Item Synchronization and underlying standards- a partner to achieving supply chain excellence RFID – When and whatPromotion management – Sarbanes-Oxley

Page 14: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The UCCnet RoleSynchronize Supplier/Retailer Product Definitions

•Send product information•Confirmation messages

•Receive product information•Confirmation messages

Retailer’sSystem

(Demand Side)

Supplier’sSystem

(Supply Side)

UCCnet

Page 15: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Enables... Component Reuse Secure Collaboration with

Customers & Suppliers

Full Global Operation... 30 Languages All Currencies All Localizations

Leverages Oracle Database... Text & Parametric Search with

Text & Partitioned Index Technology

Scalability & Performance

...in a Single Global Instance

Advanced Product CatalogBased on the Oracle Item Master

IntelligenceIntelligence

CollaborationCollaboration

AutomationAutomation

MarketMarket

PlanPlan

SellSell

ProcureProcure

ManufactureManufactureFulfillFulfill

WarehouseWarehouse

TransportationTransportation

MaintainMaintain

ServiceService

InventoryOptimization

InventoryOptimization

DevelopDevelop

GlobalProduct &

ComponentCatalog

GlobalProduct &

ComponentCatalog

Page 16: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Based on an Established FoundationAnatomy of Oracle Item Master

Category = Canned Beverage

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Item 1

Item 2

Item 3

Item N

ERP OperationalAttributes

Flex-FieldAttributes

User-DefinedAttributes

Base Oracle Application attributes for inventory, planning, distribution, sales, etc….

Traditional method of extending Oracle Application attributes

New method of extending Oracle Application attributes

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

Specific Attribute Values

UCCnet Attributes Modeled Here

Page 17: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle Advanced Product CatalogSeeded UCCnet Attribute Groups

Basic Info– Item Information Provider, Brand

GLN, Brand Owner Name, Data Pool Name, Brand Name, Short Description, Additional Trade Item Description, Trade Item Unit, UPC Code Type, UPC Code, Public/Private

Measurement– Number of Item Contained By

parent Item, Gross Weight, Gross Weight UOM, Height, Height UOM, Width, Width UOM, Depth, Depth UOM, Volume, Volume UOM, Number of Trade Item Contained in the package, Net Weight, Net Weight UOM

Size– Size Code List Agency, Size

Code Value, Size Description

Dates– Fist Order Date, First Ship Date,

First Arrival Date, Last Order Date, Last Ship Date, Last Arrival Date

Dimensions– Size, Size UOM, Height, Width,

Length, Linear UOM, … …– Item per Pallet, Layers per Pallet,

No of Inner Containers… …

Order Increments– Order Increment, Order

Increment UOM

Miscellaneous Information– Color, POS Description, Days to

Expiration… …– Purchasable, Orderable, Min

Order Quantity, Max Order Quantity

Page 18: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Top CPG Opportunities for Driving Shareholder Value

Regulatory ComplianceDriving business effectiveness by managing through a single version of the truthCollaboration – UCCNet a partner to achieving supply chain excellence RFID – When and whatPromotion management – Sarbanes-Oxley

Page 19: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Manufacturer / Retailer SchismA Tale of Two Worlds

High inventory accuracy Disciplined processes Good logistics systems Optimized for case/pallet Early in Supply Chain

No In-store Inventory visibility Reactive processes Poor In-Store discipline Needs SKU/Shelf info for value Late in Supply Chain

Manufacturer Retailer

RFID – another cost of doing business

RFID - a way to increase profits

Acceptance now, but pushback will increase as costs mount

Retailers must generate value through shared information– E.g. Pull Planning, Reduced Chargebacks, Promotion Effectiveness, …

Manufacturers can differentiate by creating strategic relationships

Page 20: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

RFID StrategyMaximize RFID ROI through Top-to-Bottom Integration

ApplicationsApplicationsLeverage the above technology to deliverLeverage the above technology to deliverfunctionality with realistic ROI and to createfunctionality with realistic ROI and to createplatform for future expansionplatform for future expansion

ApplicationApplicationServerServer

Data BaseData Baseand Toolsand Tools

Deliver a robust, hardware agnostic RFIDDeliver a robust, hardware agnostic RFIDplatform which elevates the application platform which elevates the application development interface to standard technologydevelopment interface to standard technologyand the processing of true business eventsand the processing of true business events

Leverage data base extensibility, scalabilityLeverage data base extensibility, scalabilityand event management capabilities to supportand event management capabilities to supportthe data and transaction volumes associatedthe data and transaction volumes associatedwith this technologywith this technology

Table stakes

Value point

Page 21: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle Application Server 10gRFID Events and Edge Processing

Handheld Scanner / Reader

(with Driver)

Fixed Sensors(e.g. RFID)

Lightstack,Message Boards,

or Notification Devices (e.g. SMS, Pager)

BackendApplications

Filterin

g &

De

vice In

tegratio

nF

iltering

& D

evic

e Integ

ration

Naming / PMLNaming / PMLServicesServices D

istribu

tion

Distrib

utio

nOperationalOperational

DataData

Stream DataStream DataMinimized & NormalizedMinimized & Normalized

Page 22: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

RFIDPlanned for 11i.10

Interface to readers, Interface to readers, clean & filter data, then clean & filter data, then pass ID's to applicationpass ID's to application

RFID RFID Middleware Middleware

RFID Event RFID Event ProcessorProcessor

Application Application API'sAPI's

Response & Response & Exception Exception HandlingHandling

Access objects associated Access objects associated with the ID's (e.g. LPN's on with the ID's (e.g. LPN's on

Delivery), then raise Delivery), then raise correct Business Event correct Business Event

based on Rulesbased on Rules

Process the Business Process the Business Event (e.g. LPN Ship)Event (e.g. LPN Ship)

Confirm success or Confirm success or failure (e.g. trigger green failure (e.g. trigger green

light or sound buzzer)light or sound buzzer)

Picked & Staged Picked & Staged Material for DeliveryMaterial for Delivery

Load Delivery, Load Delivery, rescan or divert rescan or divert

materialmaterial

Drive load through Drive load through RFID Reader inRFID Reader in

Shipping DockShipping Dock

Load of pallets and/or Load of pallets and/or cartons with RFID cartons with RFID Tags for each LPNTags for each LPN

Oracle ConfidentialThis presentation does not reflect a commitment to deliver.Product directions can be modified without explicit notice.

Page 23: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Top CPG Opportunities for Driving Shareholder Value

Regulatory ComplianceDriving business effectiveness by managing through a single version of the truthCollaboration – UCCNet a partner to achieving supply chain excellence RFID – When and whatPromotion management – Sarbanes-Oxley

Page 24: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

The Impact of RegulationIt is a mistake to ignore FASB and Sarbanes-Oxley

It has been a tough year…

1. Royal Ahold is decimated by SEC Investigations on Promotion Allowances:

$500 million had to be restated due to new FASB changes CEO and CFO resigned, now face criminal charges SEC found irregularities in Promotion Allowance accounting Entire board forced to resign

2. Fleming forced to take $645 million charge Now bankrupt Stock formerly trading at $20 now at 14¢!

3. SEC sends notice to General Mills of “review” intentions Forerunner to formal investigation?

4. SEC sends “notices” to Frito-Lay, Dean Foods and Kraft In connection with Fleming relationships

…and it promises to be just the start!

Page 25: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

A Hard Price to Pay!

Royal Ahold reports a 2002 loss of $4.8 Billion! Rite Aid faces accounting fraud charges of

nearly $1 Billion! Bristol-Myers/Squibb’s FASB revenue reversals

were nearly $1.4 Billion in 2002

Hits (to profit and ethics) Just Keep On Coming!

“The FBI is opening three to five investigations a month of suspected fraud of $100 million or more by executives at publicly traded companies, a pace that indicates the scandals that have rocked corporate America for the past 18 months show no signs of abating.”

[Boston Globe 5/6/03]

Page 26: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle Trade Management Solution

Products

Customers

Promotions

Claims

Sales MarketingSupply Chain Finance

Trade ManagementTrade Management

•GL•Inventory

•Order Management•Advanced Pricing

•Marketing•PRM

Control Financial Risks

Increase Efficiency

EnableCollaboration

Lower Cost

Increase Sales

Increase ROI

•AR•AP

Single View Single View of Customers of Customers

& Products& Products

Trade PlanningTrade Planning

BudgetBudget ManagementManagement

ClaimsClaims ManagementManagement

Indirect Sales Indirect Sales DataData

Page 27: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Mission Statement:

To be the global leader as the premier provider of fully integrated ebusiness technology, applications and analytic solutions to enable demand driven, business process efficiency and effectiveness for the Consumer Products industry.

and…

To be acknowledged as a trusted business solution partner to our clients in the industry.

Page 28: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Top down leadership commitment to CPG– Investment in people and product

1,300 Developers focusing on key capabilities– Compliance with Retailers - UCCnet, RFID, OM, APS,WMS– Compliance with Sarbanes Oxley – TM– Compliance with FDA – Poecess Manufacturing

Deep industry domain knowledge experts– Industry thought leadership– Extensive experiencing developed while working at CPG

companies Philip Morris, Kellogg’s, Coca Cola

Focused Customer Advisory Boards Strong partner development relationships Focused sales and support organization

Oracle’s Commitment to The Consumer Industry

Page 29: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle’s Global Consumer CustomersACCO ConAgra Knouse Foods Petra Food Group Sunny Queen Farms

ADM Alliance Nutrition Coty Cosmetics Koninklijke Theodorus Niemeyer B.V.

Poore Brothers Suntory Water

Agrotech Dardanel Land O Lakes Sunrich Foods Thermos Corp

Alcoa Consumer Deckers Outdoors Master Lock Premio Foods Timex

Allian Food Services Del Monte Fresh Foods Mattel Republic Windows Torani

Animex Estee Lauder Mehsana Milk Producers Royal Appliance Tropicana

Arnots Fosters Mitsukan Rudolph Foods Unilever Rocket

Atari Fruit of the Loom Moosehead Breweries Sammontana Uni-President

National Growers Galam Nantucket Nectars San Pellegrino Valspar

Bacardi Hallmark Nature's Sunshine Schreiber Foods Viking Range

Bimbo Bakeries Hatsun Agro Products Now Natural Foods Seafresh Warner Brothers Consumer

Blue Bell Helen of Troy Global Home Products Sherwin Williams Waterpik

Bradford Soap Herbalife Int. Opus Smithfield Foods WC Bradley

Canon Igloo P&G Snack Brand Foods Wells Dairy

Charbroil JM Smuckers Pell Corp Solo Cup West Farm Foods

Coca Cola Amatil John I. Haas Pella Starbucks Weyl Beef

Coca Cola Egypt Kellogg's Europe PepsiCo Sterilite Zhujiang Beer

Applica Welch’s Meow Mix Del Monte Grocery Paramount Farms

Illy Coffee

Page 30: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Growing CPG Family of Customers

                               

             

Paramount

Farms

Sun Rich

Foods

Moosehead

Brewery Atari

Bradford Soap Herbalife Elma Chips Acco

Welch’s Coca-Cola Bottling Co. (Egypt)

Applica Meowmix

Well’s Dairy Smucker’s HR Sherwin Williams HR

Suntory Water

Global Products Premio Foods Solo Cup Helen of Troy

Del Monte Fresh illy Coffee National Grape

Growers

NCH

Page 31: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle’s commitment to the CPG Industry

Industry LeadershipIndustry Leadership

• GMA Forum

Leadership council

• CGIT Thought

Leadership

• Development

Customer advisory

Boards

• Co-development

with industry leaders

driven by CPG

business flows

• GMA Forum

Leadership council

• CGIT Thought

Leadership

• Development

Customer advisory

Boards

• Co-development

with industry leaders

driven by CPG

business flows

• UCCNet

certified

member

• CPFR / VICS

• RosettaNet

Board (Part of

UCC)

• ePC

• UCCNet

certified

member

• CPFR / VICS

• RosettaNet

Board (Part of

UCC)

• ePC

StandardsStandards OrganizationsOrganizations

• GMA

• Advisory Board

• Consumer

confidence

• NRF

• UCCNet

• VICS Technology

Council

• GMA

• Advisory Board

• Consumer

confidence

• NRF

• UCCNet

• VICS Technology

Council

GMA – Grocery Manufacturers Association UCCNet – Uniform Code Council NetworkNRF – National Retail Federation VICS – Voluntary Interindustry Commerce Standards

CPG Targeted Business Flows

Page 32: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Consumer Goods - Food and Beverage:

Product Design& Development

ManufacturingOrder

Management &Logistics

ChannelManagement

Process Manufacturing

• Plan to Schedule

• Schedule to Produce

Lab Quality Control

• Inspection to Acceptance

Lot Control/ Genealogy Management

• Quality Issue to Resolution

Research and Product Development

• New Product Concept to Release

Package Design/ Development

• New Package Plan to Utilization

Order Fulfillment

• Consignment to Settlement

• Customer Return to Settlement

• Order Submission to Verification

• Order Verification to Plan

Warehouse Management

• Pick to Ship

• Plan to Customer Pickup

• Inventory Transfer

• Issue to Stock Reconciliation

Transportation Management

• Plan to Pick

• Ship to Delivery

• Delivery to Settlement

• Plan to Store Delivery

• Carrier Negotiation to Agreement

• Carrier Invoice to Settlement

Sales Force Automation

• Settlement to Compensation

Retail Management

• Key Account Negotiation to Plan

• Create and Execute Trade Promotion

• Deduction and Claim Resolution

• Category Analysis to Plan

eCommerce (B2B and B2C)

• Click to Order (Buy)

• Click to Order (Try)

• Consumer Inquiry/ Issue to Response

Marketing &Planning

Marketing

• Marketing Plan to Fund Allocation

• Create and Execute Marketing Event

• Create and Execute Web Campaign

• Create and Execute Consumer Campaign

• Create and Execute Integrated Campaign

Strategic Planning/Product LifecycleAnalysis

• Market Analysis to Strategic Plan

• Marketing Analysis to Calendar and Budget Creation

• Market Analysis to Product Concept/Line Extension

EnterpriseMgmt

EnterpriseMgmt

Supply Chain Planning

Demand Forecasting and Planning

• Customer Collaboration to Consensus Forecast

• Forecast to Plan

• Supplier Collaboration to Commitment

Supplier Relationship Management

• Supplier Negotiation to Agreement

• Requisition to Receipt

• Inspection to Disposition

• Supplier Return to Settlement

• Supplier Invoice to Pay

HRFinancials /

TreasuryProjects

TaxAccounting

Fixed AssetsBusinessIntelligence

Business Flow Inventory

Service

Page 33: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

ProcurementPurchasingPayablesiProcurementSourcingiSupplier PortalProcurement Contracts (future)

ManufacturingDiscrete Manufacturing Project Manufacturing Flow Manufacturing Project Contracts Shop Floor ManagementProcess Manufacturing

LogisticsInventory ManagementMobile Supply Chain AppsWarehouse ManagementTransportation Execution

ServiceiSupportTeleServiceService ContractsField Service - Spares Management - Advanced Scheduler - Mobile Field ServiceDepot Repair

Maintenance Mgmt.Enterprise Asset MgmtProperty Manager

Product Lifecycle MgmtAdvanced Product Catalog CADView-3DProject Mgmt / Collab. Suite

Supply Chain AnalyticsSupply Chain Intelligence

Order ManagementOrder ManagementReceivablesAdvanced PricingConfiguratoriStoreTeleSalesQuoting & ProposalsTrade ManagementRelease ManagementSales Contracts (future)

Supply Chain PlanningDemand PlanningAdvanced Supply PlanningConstraint OptimizationGlobal Order PromisingManufacturing SchedulingInventory OptimizationCollaborative PlanningTransportation Plng (future)

Oracle Supply Chain Footprint

Page 34: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle Finance, HR and CRM Footprint

FinanceFinancials General Ledger Receivables Credit Management Payables/iPayment Cash Management Assets Property ManagerInternet ExpensesiReceivablesAdvanced CollectionsTreasuryLease ManagementCust Online/Data LibrarianCustomer ModelInternal Controls ManagerBalanced ScorecardActivity Based ManagementFinancial & Sales AnalyzersFinancials Intelligence

Human ResourcesHuman ResourcesSelf-Service HRPayrollAdvanced BenefitsTime & LaborTraining AdministrationiLearningiRecruitmentHR Intelligence

ProjectsProject ManagementProject CollaborationProject Resource MgmtProject Costing/BillingInternet TimeProject ContractsProject Intelligence

Marketing & SalesMarketingTrade ManagementPartners OnlineTeleSalesAdvanced PricingiStoreField Sales Sales OfflineQuotingIncentive Compensation

Interaction CenterAdvanced InboundAdvanced OutboundScriptingeMail Center

Page 35: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

ProcurementBimbo BakeriesWaterpikRudolph FoodsAlcoa ConsumerPella CorpOdwallaAtariCannonJohn I. HaasPepsiCo Int.Suntory WaterTropicana EuropeViking RangeStarbucks

Process ManufacturingJM SmuckersWeyl BeefSmithfield FoodsWest Farm FoodsFosters Rudolph FoodsTropicana BelgiumSeafresh SammontanaWells DairyUni-PresidentSchreiber FoodsAlcoaTorani

Logistics Royal Appliances Viking Range Pella Corp

Thermos Corp Igloo Republic Windows

ServiceCannon USAViking RangePella CorpSuntory WaterSchreiber Foods

Maintenance MgmtAlcoa

Product Lifecycle Mgmt

PepsiCo Pakistan

Supply Chain AnalyticsJohn I. HaasRudolph FoodsCannon

Order Management

Bimbo Bakeries Pella Corp. Alcoa Consumer John I. Haas Coca Cola Egypt Waterpik Viking Range

Unilever Rocket Uni-President

PepsiCo Atari Master Lock Pell Corp Royal Appliances Sunny Queen Farms Timex Herbalife Int. Schreiber Foods

Supply Chain Planning Alcoa Timex John I. Haas Cannon Rudolph Foods Coca Cola Egypt PepsiCo Pakistan Kellogg’s Europe

Oracle’s Representative CPG Supply Chain Customers by Product

Page 36: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Oracle’s Representative CPG Finance, HR and CRM Customers by Product

Financials PepsiCo Alcoa consumer JM Smuckers Pella Corp Bacardi Timex Waterpik Sunny Queen Farms ConAgra Coca Cola Egypt John I. Haas Smithfield Foods West Farm Foods Blue Bell Moosehead Breweries Coty Cosmetics Estee Lauder Acco Master Lock Schreiber Foods Weyl Beef Knouse Foods Rudolph Foods Starbucks Bimbo Bakeries Fosters Nantucket Nectars Viking Range

Human ResourcesHuman Resources Estee Lauder Land O Lakes Blue Bell Coca Cola Amatil Bimbo Bakeries Timex ACCOPayroll Blue Bell Coca Cola Amatil Viking Range Timex Bimbo Bakeries

Projects Blue Bell Deckers Outdoors Alcoa Atari Bimbo Bakeries Hallmark

Marketing & SalesTrade Management Mattel Schreiber Foods Arnotts Alcoa Consumer Helen of Troy Igloo Poore Brothers Premio Foods Republic windows Snack Brands Foods Smithfield Foods Suntory Water Viking Range WaterpikMarketing & Sales Starbucks Unilever Suntory Water Sunny Queen Farms Waterpik

Cannon Australia Interaction Center Unilever – Rocket Sunny Queen Farms Suntory Water Royal Appliance Cannon Deckers Outdoors

Financials Intelligence Bimbo Bakeries Hallmark Cards John I. Haas Pella Corp ConAgra P&G Bacardi Starbucks Sunny Queen Deckers Outdoors JM Smuckers Warner Bros. Consumer Alcoa Consumer

Page 37: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

.

Evolution of Oracle Applications in CPGEvolution of Oracle Applications in CPG

Consumer Capabilities: Deep functionality

Current Differentiators…Current Differentiators…

• Process Manufacturing– Recipe Development– Catch-Weights– Shelf-Life & Status

Control– Co- / By-Products

• Real Time Order Promising and Visibility

• Multi-Channel Order Capture

• Advanced Pricing

• EDI Transactions for POs, Ship Notices, Invoicing & Warehousing

• Claims & Deductions Mgmt

• Lot Traceability

• Funds Management

• Promotional Planning

• Process Manufacturing– Recipe Development– Catch-Weights– Shelf-Life & Status

Control– Co- / By-Products

• Real Time Order Promising and Visibility

• Multi-Channel Order Capture

• Advanced Pricing

• EDI Transactions for POs, Ship Notices, Invoicing & Warehousing

• Claims & Deductions Mgmt

• Lot Traceability

• Funds Management

• Promotional Planning

…Coming in 11i.10…Coming in 11i.10…11i.9……11i.9…

• Process Manufacturing– 21 CFR Part 11 Compliance– HACCP Quality Test Points– Automatic Lot Grading– Manufacturing Scheduler

• Continuous Real-Time Demand Planning

• Integrated Maintenance and Production Planning

• High Volume Order Processing

• Enhanced Blanket Orders and Releases

• Retroactive Promo Adjustments

• Promotional ROI Calculations

• 3rd Party POS Data Import (to Calc Promotional Accruals)

• Transportation Execution

• Collaborative Sourcing

• Advanced Product Catalog

• Process Manufacturing– 21 CFR Part 11 Compliance– HACCP Quality Test Points– Automatic Lot Grading– Manufacturing Scheduler

• Continuous Real-Time Demand Planning

• Integrated Maintenance and Production Planning

• High Volume Order Processing

• Enhanced Blanket Orders and Releases

• Retroactive Promo Adjustments

• Promotional ROI Calculations

• 3rd Party POS Data Import (to Calc Promotional Accruals)

• Transportation Execution

• Collaborative Sourcing

• Advanced Product Catalog

• Process Manufacturing– Computer-Aided Formulation – Lot-Specific Costing– Environmental Testing– Reserve Mfg to Sales Orders– Stability Studies

• Transportation Planning

• Enhanced Co-Product Planning

• Short Term Deployment Planning

• Business Account Planning

• Integrated Sales Contracts

• Quick Ship User Interface

• Customer Consigned Inventory

• Retroactive Pricing in Purchasing

• Global Procurement andDrop Shipments

• Channel Budget Management

• Enhanced Management and Resolution of Promotional Claims

• Process Manufacturing– Computer-Aided Formulation – Lot-Specific Costing– Environmental Testing– Reserve Mfg to Sales Orders– Stability Studies

• Transportation Planning

• Enhanced Co-Product Planning

• Short Term Deployment Planning

• Business Account Planning

• Integrated Sales Contracts

• Quick Ship User Interface

• Customer Consigned Inventory

• Retroactive Pricing in Purchasing

• Global Procurement andDrop Shipments

• Channel Budget Management

• Enhanced Management and Resolution of Promotional Claims

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.

Page 38: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

.

Consumer Capabilities: Deep functionality

Evolution of Oracle Applications in Non-DurablesEvolution of Oracle Applications in Non-Durables

Current Differentiators…Current Differentiators…

• Mixed Mode Manufacturing

• Inventory Postponement Optimization

• Supplier Collab & VMI

• Collaborative Planning

• Supply Chain Exception Mgmt

• Real Time Order Promising and Visibility

• Multi-Channel Order Capture

• Advanced Pricing

• EDI Transactions for POs, Ship Notices, Invoicing & Warehousing

• Claims & Deductions Mgmt

• Lot Traceability

• Funds Management

• Promotional Planning

• Mixed Mode Manufacturing

• Inventory Postponement Optimization

• Supplier Collab & VMI

• Collaborative Planning

• Supply Chain Exception Mgmt

• Real Time Order Promising and Visibility

• Multi-Channel Order Capture

• Advanced Pricing

• EDI Transactions for POs, Ship Notices, Invoicing & Warehousing

• Claims & Deductions Mgmt

• Lot Traceability

• Funds Management

• Promotional Planning

…Coming in 11i.10…Coming in 11i.10…11i.9……11i.9…

• Discrete Manufacturing– Flow Sequencing– WIP Serial Tracking– Resource Centric

Scheduling Workbench

• Continuous Real-Time Demand Planning

• Integrated Maintenance and Production Planning

• Enhanced Blanket Orders and Releases

• Retroactive Promo Adjustments

• Promotional ROI Calculations

• 3rd Party POS Data Import (to Calc Promotional Accruals)

• Transportation Execution

• Collaborative Sourcing

• Advanced Product Catalog

• High Volume Order Processing

• Discrete Manufacturing– Flow Sequencing– WIP Serial Tracking– Resource Centric

Scheduling Workbench

• Continuous Real-Time Demand Planning

• Integrated Maintenance and Production Planning

• Enhanced Blanket Orders and Releases

• Retroactive Promo Adjustments

• Promotional ROI Calculations

• 3rd Party POS Data Import (to Calc Promotional Accruals)

• Transportation Execution

• Collaborative Sourcing

• Advanced Product Catalog

• High Volume Order Processing

• Discrete Manufacturing

– Option-Dependent Sourcing for CTO

– Self-Svc Entry of Quality Data, Non-Conformances & CARs

• Transportation Planning

• Short Term Deployment Planning

• Business Account Planning

• Integrated Sales Contracts

• Scarce Inventory Allocation

• Quick Ship User Interface

• Customer Consigned Inventory

• Retroactive Pricing in Purchasing

• Global Procurement andDrop Shipments

• Channel Budget Management

• Enhanced Management and Resolution of Promotional Claims

• Discrete Manufacturing

– Option-Dependent Sourcing for CTO

– Self-Svc Entry of Quality Data, Non-Conformances & CARs

• Transportation Planning

• Short Term Deployment Planning

• Business Account Planning

• Integrated Sales Contracts

• Scarce Inventory Allocation

• Quick Ship User Interface

• Customer Consigned Inventory

• Retroactive Pricing in Purchasing

• Global Procurement andDrop Shipments

• Channel Budget Management

• Enhanced Management and Resolution of Promotional Claims

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.

Page 39: Oracle in the Consumer Packaged Goods Industry Oracle in the Consumer Packaged Goods Industry. Phil Friedman Vice-president CPG & Process Industries

Summary

Committed to the CPG SpaceUnderstand the key issues facing the industryProvide focused solutions Building the future with key partner participation