REACHING YOUR FULL POTENTIAL WITH THE ORACLE EPM SUITE Doug O’Keefe Vice President, Partner – EPM Practice Crown Partners

Whenever companies start a new project, the project plan looks something like this:

By the time you reach go-live (months after the original due date), it looks more like this

Let’s take a closer look at company that was so overcome with managing change in their business that they couldn’t change the systems used to manage it

They couldn’t reach their FULL POTENTIAL with the Oracle EPM Suite

Financial Systems 1994

Hyperion Enterprise

(1994)

•  State of the Art solution in 1994

•  Limited to Entity and Account dimensions.

•  Utilized for Planning & Reporting

•  Extended to support other business views

Financial Systems 2004

•  Scalable, stable consolidation solution

•  Custom dimensions available but under utilized

•  Planning processes migrated to HFM

•  Enterprise account & entity structures still in use

Dimensional Structures

from Enterprise

Hyperion Financial Management

(2004)

Financial Systems 2006

•  Allocations in Essbase

•  Objective: 20-25 drivers to move costs

•  Grew to 200+ in one year

•  “Go to” solution for management reporting

•  Enterprise account & entity structures still in use

Dimensional Structures

from Enterprise

Hyperion Financial Management (2004)

Essbase (2006)

Financial Systems 2008

•  Hyperion Planning introduced

•  Added custom dimensionality to support new reporting requirements

•  Enterprise account & entity structure still in use

Dimensional Structures

from Enterprise

HFM

(2004)

Essbase (2006) Hyperion Planning (2008)

Financial Systems 2009

•  Allocations Engine (Essbase/Planning)

•  500+ allocation drivers (revenue and cost)

•  Maintenance nightmare

•  Dimensionality overlaps result in run times that are less than optimal Dimensional

Structures from

Enterprise

HFM (2004)

Essbase (2006)

Hyperion Planning (2008)

Allocations Engine (2009)

Financial Systems 2010

Oh no …

HFM

(2004)

THE NEXT REQUEST

Sound familiar?

Technologies & Tools

2 5 ALL

Cos

t of

Ow

ners

hip

This is what we think we are buying

More technology

= Lower TCO

Cos

t of

Ow

ners

hip

This is what happens though

WHY? Technologies

& Tools 2 5 ALL

Technology doesn’t solve problems Technology ENABLES problem solving The GOOD news … All of the technology is there, we just need to be strategic in how we implement it

So How Do We Get There?

OR

✔

•  Change Management

•  Governance •  Process Control

•  Audits •  Automation •  Management

Support

Deploy EPM as a STRATEGIC INITIATIVE

Governance Change

Management Communications

Step 1 – Establish a Strong Foundation

Governance Change

Management Communications

Policies, roles, responsibilities, and processes to GUIDE, DIRECT, and CONTROL how to use technology to accomplish business goals

Change Management Governance Communications

Change means breaking and reforming relationships with things we care about.

Loss of control during the change process is extremely costly.

Change Management

Compliance

Or Commitment?

Communications Change

Management Governance

We all say it’s important Put a program and schedule in place to ensure it happens on a regular basis

Governance Change

Management Communications

Step 2 – Incorporate a Methodology

Project Management and Methodology

Foundation (Governance, Change Management, Communications, Project Management, Methodology)

Step 3 – Qualify the Areas to Attack Warning: This DOES NOT say “Choose the Technologies and Tools” to implement

Root Cause Analysis •  TCO too high – too much to manage •  Systems aren’t 100% in line with business – requires offline

work •  Inconsistencies in answers – no common data store and

inconsistent data •  No time for analysis, too busy creating spreadsheets and

reports – no standardized reporting

Root Cause Issue

Issues to Resolve Technologies to Implement

Too much to manage

•  Improve automation •  “Right size”

applications

•  DRM •  Essbase Studio •  ODI/FDQM •  Scripting

Offline work required

•  Implement right tool for right job

•  HFM •  Planning •  Essbase

Root Cause Issue

Issues to Resolve Technologies to Implement

Inconsistent data •  Common data source with common ETL

•  Operational Data Store •  Data warehouse •  ODI/FDQM •  DRM

No standardized reporting

•  Segregate management and operational reporting

•  Standard reporting package

•  Financial Reports •  OBIEE •  SmartView

Foundation (Governance, Change Management, Communications, Project Management, Methodology)

Step 4 – Layer in the Technologies

Normalized Dimensionality (Financial Data Mart, FDQM, ODI and DRM)

Planning Essbase HFM

Foundation (Governance, Change Mgt, Communications, Project Mgt, Methodology) Normalized Dimensionality (Financial Data Mart, FDQM, ODI, and DRM)

Oracle Applications (Planning, HFM, Essbase) Reporting and Analysis (Financial Reports, OBIEE, SmartView)

Executive Dashboards Standard Reports Ad-hoc Analysis Hierarchy Management Lower TCO

Reaching Your Full Potential with the Oracle EPM Suite

OK … That sounds like a LOT OF WORK How do I get everyone on board?

Different Views for Different People

•  Systems Architecture •  Higher Level •  For Technical Management

•  Technical Architecture •  Higher Level •  For Technical Management

•  User View •  How’s it work for me?

Foundation

OD

S

Financial Data Mart

HFM

Planning

Essbase

Standard Reports

Management Reporting

Ad Hoc Analysis

Systems Architecture

Foundation

Financial Data Mart

OD

S

HFM

Planning

Essbase

Standard Reports

Management Reporting

Ad Hoc Analysis

ODI

DRM

Financial Reports

OBIEE

Smart View

ODI

FDM

Essbase Studio

DRM

Technical Architecture

Foundation (Governance, Change Mgt, Communications, Project Mgt, Methodology)

OD

S

Financial Data Mart

Business Engines

Consolidations Planning & Budgeting Workforce

Planning CapEx Planning Project Planning

Cost Assignments

Management Analytics

Operational Analytics

Other Analytics

User View

Management Analytics •  P&L Reporting •  Product Profitability •  Market Profitability •  Balance Sheet Analysis •  Cash Flow Analysis •  KPIs •  Organic Growth Analysis

Operational Analytics •  Expense Detail •  Drill through to GL transaction level •  Cost Center / Department Spend Analysis •  Revenue Analysis •  OPIs •  Cost Assignments (so accurate it’s not an allocation)

Next Steps? •  Essbase Analytics Link (EAL) •  Financial Close Management •  Strategic Finance •  Profitability and Cost Management •  Exalytics

Next Steps? •  Essbase Analytics Link (EAL) •  Financial Close Management •  Strategic Finance •  Profitability and Cost Management •  Exalytics

They are all possible

because there’s a strong foundation in place to

facilitate their incorporation

Conclusion •  Build a solid foundation •  Focus on the issues – not just the apparent problems •  Layer the technologies after you understand the root cause of

the issues •  Know your audience •  Think long term

Reaching Your Full Potential With The Oracle EPM Suite

Thank You! Doug O’Keefe Vice President, Partner – EPM Practice Cell: 615.516.9955 dokeefe@crownpartners.com