Applications Facts and Figures – Strategies and Solutions

Herwig WandallerSales Director Applications AT&HU

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• European Union15 countries to 27 countries

• Tour de FranceWhen it was clean?

• Nokia

• Michael Schumacher

• Price of Oil

• Who was Barack Obama?

• Euro vs. Dollar25% rise in value

$3030

5 Years Ago

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5$9.7B to $22,4B+ Revenue

1,000 to 9,500 Products42,000 to 84,000 Employees8,000 to 20,000 Developers8,700 to 16,900 Sales Reps

200,000 to 300,000 Customers12,000 to 20,000 Partners2M to 6M OTN Members90 to 425 User Groups0 to 32 Advisory Boards

110 to 1,800 Exec Sponsor Accounts0 to 210 Key Accounts

Years Ago

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APPLICATIONSAPPLICATIONS TECHNOLOGYTECHNOLOGYEnterprise

Deals

ManufacturingIndustries

RetailIndustry

CommsIndustry

BankingIndustry

UtilitiesIndustry

InsuranceIndustry

Others

EnterpriseDeals

PerformanceManagement

IdentityManagement

ContentManagement

Middleware Management

Database

SystemsManagement

Oracle Acquisitions

(pending)

Oracle Applications Revenues FY08 • $2.4B Applications New License Revenue

• $6.2B Total Software, Support, and Services Revenue

FY08 Q4• $989M Applications New License Revenue

• $2.0B Total Application Software Revenues- New software license- Updates- Product support

FY08 Q4 License Revenue by Geography

AMERICASAMERICAS

46%46%

EMEAEMEA

37%37%

Asia Asia PacificPacific

17%17%

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Technology• #1 in Database

• #1 in Data warehousing

• #1 Database share on Linux

• #1 Database on SAP

Middleware

• #1 Fastest Growing Middleware

Business Intelligence• #1 in Business Analytics Software BI 

• #1 in Business Analytic Tools

Oracle Standings

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• 43,000 Application Customers

• 3,500 Application Partners

• #1 in North America*

• #1 in Human Capital Mgmt Globally*

• #1 in Supply Chain Management Globally*

• #1 in Customer Relationship Management Globally

• #1 in the UK

• #1 in Application Platform Suites

Oracle in Applications

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• #1 in Financial Services globally1

• #1 in Public Sector globally2

• #1 in Professional Services globally3

• #1 in Retail globally4

Oracle in Industries

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Web 2.0 in Action …

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Oracle in EE

• Albania• Austria• Bosnia & Herzegovina• Bulgaria• CIS• Croatia• Cyprus• Czech Republic• Estonia• Greece• Hungary• Kazakhstan

• Latvia• Lithuania• Macedonia• Malta• Poland• Romania• Russia• Serbia• Slovakia• Slovenia• Turkey• Ukraine.

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Our Mission

Making our software a source of competitive advantage for our customers

Better InformationBetter Results

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Choice • Innovation • Leadership

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Choice • Innovation • Leadership

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Applications Unlimited More functionality

Upgrade path to Fusion

Fusion ApplicationsThe Next Generation

Application Integration ArchitectureIntegrated Best in Class Industry Business

Process

ORACLE FUSION MIDDLEWARE

Oracle Provides a Path to the Future

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Choice • Innovation • Leadership

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Business and Social Networks

ClosedEnterprise

ExtendedEnterprise

1970

1980

1990

2000

2010

GlobalBusiness Webs

Trend 1: Evolution of the Enterprise

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WebCenter Mashups Web 2.0 Apps GadgetsOffice/Mobile

Oracle Enables Informal Social Networks

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Trend 2: Business now focuses on Transformation Capabilities

PACE OF BUSINESSIncreasing expectations from customers and partners to provide answers sooner

INNOVATIONCompanies are under pressure to bring products and services to market faster

GLOBALIZATIONCustomers, supply chain, and competition have all become global

REDUCE COSTSRelentless pressures to drive additional efficiencies…do more with less

"In a time of accelerating turbulence, the valuation of a company will be strongly

affected by how it executes change."

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Business evolves faster than current IT is able to react …

Perf

orm

ance

Time

Business Evolution

IT Platform

1995 2000 2005

Business Execution

Gap

… The result is a decreasing business performance

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Oracle Application Integration Architecture

Back Office Applications

Custom

Analytics ServiceProviders

Partners &SuppliersERP

Legacy

SupplyChain

Custom Hosted

PortalseStore

CRM

Self Service Other

Front Office Applications

Turns rigid IT systems into flexible, integrated environments that can adapt and scale to business needs

Key Benefits• Leverages your existing

applications to deliver greater business impact

• Improve IT’s ability to adapt to and respond to changing business requirements

• Protect your investments from upgrades and changes

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Choice • Innovation • Leadership

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Applications UnlimitedFive product releases … innovation continues!

JD Edwards EnterpriseOne 8.12• 5 New Products• 291 Enhancements

Siebel 8.0• 10 New Products• 366 Enhancements

JD Edwards World A9.1• 4 New Products• 1297 Enhancements

PeopleSoft 9.0• 2 New Products• 1478 Enhancements

Oracle E-Business Suite 12• 18 New Products• 2443 Enhancements

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Significant Investment in Upcoming Releases

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Choice • Innovation • Leadership

• Customer Driven Innovation

• Application Integration Architecture

• Enable Social Networks

• Reduce Cost of Ownership

• Provide a Path to Fusion

Customers - Oracle Hungary

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Backup: References

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Implementing 10-5-1 plan using Oracle Balanced Scorecardfor security, reliability, scalability, and accountability

Unified, self service BI and Transactional Architecture of Daily Business Intelligence reduced IT costs 35% below national average for City Governments

Reaching over 2,000 global users showing performance across operational areas and Army bases using Oracle Balanced Scorecard

Using Oracle Profitability Manager to understand costs and to create a competitive advantage in profitability of services

Automated and speed up consolidation process using Oracle Financial Consolidation Hub, resulting in improved analysis of their consolidated results

Customer successes - Business Intelligence

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Gained getter budget control using Oracle Enterprise Planning and Budgeting through automation, standardization and workflow processes

Budgeting for 8,000 employees, the city’s largest budgetary cost, using Planning and Budgeting

Implementing EPM 8.9 across the enterprise, including Supply Chain, Financials and Human Resources warehouses

Internal Controls Enforcer and Global Consolidations are key elements of a new Financial Center of Excellence for all domestic & international operations

Global Consolidations and EPM Warehouse are part of a Financial Transformation project including a standard GL and COA

Customer successes - Business Intelligence

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Customer successes - CRM

Daimler Chrysler saw a significant improvement in service levels with 72% of calls answered within 20 seconds in 2003, rising to 87% in 2005

Honeywell Aerospace improved the service request closure rate from 45% to 83%

Robeco Bank Belgium increases customer relationship management productivity by 20%

BT Retail improved contact data quality from 71% to 91% in six months

Country Insurance & Financial Services streamlined business integration and increased development productivity by as much as 40%

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Riverdeep shortened sales cycles by 50%

Inter-Tel increased web order volume by 60%

Aegon reduced customer churn by 10% with effective target marketing

Hull City Council increased its customer satisfaction rate to 98%

Carulla increased phone and Web orders more than 400%

Beneficial Life doubled call resolution from 30% to 60%

Customer successes - CRM

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SilTerra is able to prepare quotes for customers at least 50%faster

POSCO reduced budgeting lead time from 110 days to 30 days

C-COR reduced monthly closing time by 50%, from 10 daysto 5

McDATA cut quarterly close from 21 to 4 days and saved$1 million plus a cost avoidance of $5 million in year one

Customer successes - Financial Management

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LG saved $104 million by using Oracle E-Business Suite

OREGON HEALTH & SCIENCE UNIVERSITY had a 40% decrease in process time to fill vacancies

Select Medical Corporation realized 27% of payroll productivity and cost savings. This was the largest area of savings across the company

Customer successes - Human Resources Management

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Best Buy reduced employee transaction paperwork by 90% and cut time to process new hires by 50%

Kelly Staff Leasing increases efficiencies more than 60%

William Beaumont Hospitals reduced over 300 HR processes to 90

Federal International Finance reduced claims processing from 7 days to 1

Gevity HR improved agent productivity by 27%

Waterbedrijf Gelderland reduced its personnel costs by 25%

Customer successes - Human Resources Management

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Silterra prepares sales quotes for customers at least 50%faster

POSCO reduced lead time for product delivery from 30 to 14 days

C-COR cut engineering change order process time by 85%

American Power Conversion reduced inventory levels by 56%

Pella cut clerical costs and time spent on each PO by 50%

Customer successes - Supply Chain Management

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Financial Services: Banking

“Performance Management is something that has to constantly evolve as your business evolves. Oracle’s platform allows us to quickly modify rules and add fields to tables so that we can be very responsive to change.”

“Our Multi-channel Program delivered by PeopleSoft Enterprise CRM, enables every ABN AMRO Bank client to choose how and when they wish to communicate with us. This allows us to be trendsetters in our industry.”

“Oracle’s acquisitions of PeopleSoft and Siebel give it a more significant footprint in business intelligence (BI), analytic applications, and performance management.”

“Oracle Financials lets us automate our planning process and data consolidation. Our financial planning and analysis staff can fully perform their roles as analysts and work closer with their operational managers--with greater speed and flexibility.”

“As a global financial services company which is using technology to improve productivity and lower operating costs, the use of FLEXCUBE will allow us to gain efficiencies by standardizing our operating environment.”

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Financial Services: Insurance

enabled agents to secure 1300 incremental appointments each week

increased the percentage of requests closed the same day by 20% in 12 months

25% productivity improvement in the claims area

reduced costs by an estimated US$15.1 million by automating manual tasks and eliminating redundant processes

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reduced inventory write-offs by more than 50%

created a real-time view of production information

increased supply chain response time by 92%

increased productivity in shipping & warehouse mgmt

achieved real-time WIP visibility to outsourced mfg

reduced service resolution time by 60%

increased distributor quotes processed by 300%

High Technology

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reduced on-hand inventory by 50% utilizing Demand Planning and integrated logistics management decreased order entry cost by 30-40% with Oracle E-Business Suite, Workflow and EDI Gateway

used Demantra S&OP to improved order fill rate from 55% to 95%, increase inventory turns 3x-6x and reduced logistics cost by 65%

improved forecast accuracy and reduced planning cycle time using ASCP

reduced inventory by $40M via global inventory visibility with Demand Planning and ASCP

increased customer responsiveness with timely, accurate information for planning and forecasting

High Technology: Distribution

decreased planning cycle time by 75% using Oracle Advanced Planning Solution

reduced cost of ongoing IT and retired legacy by standardizing on Oracle E-business Suite

enabled sale of 5,000+ configurations with Oracle Configurator

reduced engineering change order cycle to under two days using Oracle BOMs and Change Management

delivered global 24x7 support using Oracle Teleservice, Service Contracts and Field Service

reduced IT support costs by 50% by standardizing on Oracle E-Business Suite

High Technology: OEM Complex Electronic Equipment

High Technology: OEM Consumer Electronics

reduced inventory levels 40% and time-to-market 30% with Discrete Manufacturing

reduced procurement and inventory costs by 29% with Purchasing and Order Management

reduced order entry time 75%, reached 99.5% inventory accuracy with Order Management

improved process efficiency by 10% via common business processes with Advanced Supply Chain Planning

reduced annual marketing spend by 15% with MRM

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used Oracle EBS shared services to reduce infrastructure cost by 60%

reduced inventory by 56%, improved shipping efficiency by 50% and reduced manufacturing lead-time from 12 to 5 days with ASCP, Collaborative Planning and Discrete Mfg decreased time for ECN approval and implementation with PLM, Collaboration Suite and Product Data Hub

used ASCP and Oracle EBS to improve partner collaboration, optimize production lines and JIT scheduling

enabled real-time response to demand changes and accurate order promising using Oracle EBS & ASCP

implemented Oracle EBS to provide a global operations view, improve inventory turns and customer responsiveness

High Technology: Outsourced Manufacturing Services

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High Technology: Semiconductor

lowered IT operation costs by 40% by standardizing on Oracle Ebusiness Suite

reduced inventory levels 40% & time-to-market 30% using Oracle Advanced Planning Solution

increased supply chain response time by 92% using Oracle APS

reduced inventory write-offs by more than 50% using Oracle Shopfloor Management

reduced service resolution time by 60% using Oracle’s Siebel CRM

increased distributor quotes processed by 300% using Oracle’s Siebel CRM

High Technology: Software

saved $3.5 million by reducing call-handling time from 19.7 to 18.5 minutes

reduced product shipment times from days to within 24 hours

decreased order-processing costs by 67%

added 200,000 new members while reducing both call duration and wait times by 20% utilizing Oracle Siebel Contact Center

achieved a 90% cost reduction in development team resources

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Public Sector: Government

reduced annual spend by $76M with PeopleSoft Enterprise SCM

cut state budget cycle from months to weeks with PeopleSoft Enterprise Financial Management

delivers 700 government services via Siebel CRM, Siebel Call Center and Oracle Database

saved about $2.5M via improved supplier management with PeopleSoft Enterprise Supplier Relationship Management

reduced administration costs by $4.5M annually (est.) with Oracle Financials

reduced time to resolve benefit claims by 40% with Siebel Public Sector

Los Angeles

Napa County

saved approximately 20,000 man-hours in admissions processing with Campus Solutions Enrollment Services

shortened month-end financial reporting time by 75% with Oracle’s PeopleSoft Enterprise Financial Management

raised retention of at-risk students by 4% with Constituent Relationship Management (CRM) for Higher Education

increased prospective students by over 75% in 1 year with Campus Solutions Student Recruiting

Public Sector: Higher Education

saved over US$ 88M in procurement costs with Oracle eProcurement

reduced annual paycheck printing costs by US$ 90,000 with Oracle’s PeopleSoft Enterprise eBenefits

achieved payback on investment in 36 months and expects to save NOK4.7M (US$ 777K) over 5 years with Oracle Real Application Clusters 10g and E-Business Financials

reduced average time to fill a position from 70 to 44 dayswith Oracle’s PeopleSoft Enterprise Human Capital Management

Public Sector: Higher Education

saves US$ 65K annually via admissions productivity gains with Campus Solutions Enrollment Services

saved AU$ 11.7M over 5 years with Oracle E-Business Suite Financial Management

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Public Sector: Justice and Public Safety

City of Chicago crime rates have dropped 16% with Oracle technology

Turkey CJS centralized business process and data collection with Oracle Data Hub and Application Server

Dutch prison - achieved 30% lower running costs with Oracle Spatial and Oracle Mobile Collaboration

The Netherlands Police gained 20% extra time on patrol with Oracle technology

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• 10 of the top 10 Global banks use Oracle Applications to run their business

• 23 of the top 25 North American banks use Oracle Applications to run their business

• 15 of the top 20 Global banks use Oracle Applications to measure and manage their performance

Oracle in Banking

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• Oracle is # 1 in Communications globally

• 19 of the world’s top 20 Telecoms Companies run Oracle Applications

• All 10 of the world’s most profitableCommunications Service Providers run Oracle Apps

• All 15 of the top U.S. Communications Service Providers run Oracle Applications

• 8 of the world’s top 10 Mobile Operators run Oracle Applications

Oracle in Communications

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• Over 100 U.S. Federal Government organizations run Oracle Applications

• 23 of the 26 NATO Countries run Oracle Applications

• 11 of the 20 largest Ministries of Defense worldwide run Oracle Applications

• 16 Latin American and Caribbean Country Governments run Oracle Applications

• 9 Asia Pacific Country Governments run Oracle Applications

Oracle in Defense

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• 5 Federal Departments run Oracle Financial Applications

• Canadian Federal Government Standardized on Oracle Human Capital Management Applications

• 8 of 10 Provinces and 2 of 3 Territories run Oracle Applications

• 11 of the largest 15 Cities run Oracle Applications

Oracle in Government Canada

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• 15 of the 25 European Union Member Nations run Oracle Applications

• 9 Asia Pacific Country Governments run Oracle Applications

• 16 Latin America and Caribbean Country Governments run Oracle Applications

Oracle in Government: International

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• 10 of the 15 Major Government Departments run Oracle Applications

• 50 of the largest 75 Local Authorities run Oracle Applications

• The Regional Governments of Scotland, Wales and Northern Ireland run Oracle Applications

• Oracle is the Largest Applications Solutions Provider within National and Local Government in the UK

Oracle in Government: UK

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• Over 100 U.S. Federal Government Organizations run Oracle Applications

• 15 of 15 U.S. Federal Cabinet-Level Agencies run Oracle Applications

• The major U.S. Federal Shared Service Providers (SSPs) run Oracle Applications

• Oracle is the largest applications solutions provider in Federal Government today

Oracle in Government: U.S. Federal

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• 38 of the 50 U.S. States run Oracle Applications

• 35 of the 50 largest U.S. Cities run Oracle Applications

• 24 of the 100 largest U.S. School Districts run Oracle Applications

• 11 of the 15 Largest U.S. Counties run Oracle Applications

Oracle in Government: U.S. State & Local

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