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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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Terms of Use
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
“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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
Brought to You by Oracle Applications Unlimited
TheThe
GGloballobal BBusinessusiness ReleaseRelease
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
OperationalReporting
ProfitabilityAnalysis
Consolidation & Compliance
Network Optimization
Inventory 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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
• 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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
Release 12 Enables You To…Release 12 Enables You To…
Think GloballyThink Globally
Work GloballyWork Globally
Manage Systems GloballyManage Systems Globally
Think GloballyThink Globally
Work GloballyWork Globally
Manage Systems GloballyManage Systems Globally
Increase productivity with global processes that cross applications, divisions, and regions
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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:
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
OracleAdvanced Supply Chain Planning
Release 12 Highlights
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
Inventory Optimization
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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!
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
Oracle Process ManufacturingRelease 12 Highlights
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
Oracle Discrete ManufacturingRelease 12 Highlights
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
• 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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
Release 12 Enables You To…Release 12 Enables You To…
Think GloballyThink Globally
Work GloballyWork Globally
Manage Systems GloballyManage Systems Globally
Think GloballyThink Globally
Work GloballyWork Globally
Manage Systems GloballyManage Systems Globally
Reduce implementation, integration, andmanagement costs of global applications
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
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
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
AQ&Q U E S T I O N SA N S W E R S