EPM%209%20Statement%20of%20Direction.pdf

8/9/2019 EPM%209%20Statement%20of%20Direction.pdf

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PeopleSoft EnterprisePerformance Management 9.0

Planned Features

December 2005


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PeopleSoft Enterprise Performance Management 9.0 Planned Features Page 2

PeopleSoft Enterprise Performance Management 9.0

Planned Features

INTRODUCTION

Companies typically realize only 63% of the financial performance their strategies

promise, according to a recent Harvard Business Reviewarticle. Yet, by closing the

strategy-to-performance gap, most companies can increase performance anywhere

from 60% to 100%.

How can you close that gap and drive your organization towards higher

performance? With actionable, real-time information and insight to align corporatestrategy with execution and continuously manage operational risk. In fact, new

research shows that a successful Enterprise Performance Management (EPM)

initiative can play a pivotal role in improving metrics that matter most to

shareholders, such as gross margins and profitability.

A study released in 2005 by the Aberdeen Group found that companies which

practiced best in class closed-loop EPM programs have higher earnings and greater

stability of earnings. They also consistently outperformed their competitors across

all industries and company sizes. In addition, recent research by Deloitte

Consulting LLP indicates that companies with superior performance tracked both

financial and non-financial metrics, looking beyond traditional financial metrics,

such as gross margin and profitability, to non-financial, operational metrics, such as

customer satisfaction, innovation, process quality, and employee turnover. These

companies were more successful in growing shareholder value.

Companies of all sizes are looking to trusted partners such as Oracle to provide

integrated performance management solutions that can help them deliver

disciplined growth, shareholder value, and provide good corporate governance.

Oracles PeopleSoft Enterprise Performance Management suite of applications

enables organizations to achieve world-class performance by aligning the right

information and resources to strategic objectives. Companies adopting PeopleSoft

EPM benefit from a single, integrated approach to their performance management

needs, from management and compliance reporting to performance metrics, tobusiness planning and budgeting.

PeopleSoft EPM 9.0 is planned to build

upon the strengths of the suite and add

significant new features and functionality

in the following areas:

Enterprise Planning

Compliance and Internal Controls

Packaged Analytic Content and

Reporting

Industry Enhancements


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PeopleSoft EPM 9.0 is planned to build upon the strengths of the suite and add

significant new features and functionality in the following areas:

Enterprise Planning

Compliance and Internal Controls

Packaged Analytic Content and Reporting

Industry Enhancements

This document outlines the key features and enhancements planned for PeopleSoft

Enterprise Performance Management 9.0, scheduled to be released in Fiscal Year

2007.

ENTERPRISE PLANNING

As planning cycles accelerate, its becoming increasingly important for planning and

budgeting activities to move beyond the walls of the Finance office. The traditionalannual budget exercise orchestrated by Finance is moving towards more dynamic

planning at various levels throughout the organization.

Planning and Budgeting

PeopleSoft Planning and Budgeting enables simultaneous top-down target setting

and bottom-up budget preparation for continuous, enterprise-wide planning. New

functionality planned for Planning and Budgeting 9.0 will continue to build upon

this concept of the Enterprise Plan.

Balance Sheet and Cash Flow Planning

Enterprise planning and budgeting applications require a complete picture of future

financial projections. Included in the financial outlook are various profit and loss

calculations as well as Balance Sheet and Cash Flow calculations that will drive and

determine investment and financial decision-making.

Balance Sheet and Cash Flow Planning capabilities planned for our next release will

leverage and extend the modeling capabilities in the Analytical Calculation Engine

(ACE). We intend to provide additional formula methods and extend the multiple-

activities framework to provide integrated planning and budgeting across income

statement, balance sheet and cash flow. These features enable financial statement

reporting using delivered reporting tools, and provide transparent cause and effect

relationships between financial, statistical and driver data.

1 John Hagerty, Eric Klein, What Buyers Value Most from Planning, Budgeting, andForecasting Products, AMR Research, July 15, 2005.

Increasingly, we hear operations groups

jumping on board with Planning,

Budgeting, and Forecasting applications

in some cases before finance pushed the

agenda. Adoption from sales groups for

revenue forecasting, supply chain

managers for detailed demand plans, and

operations groups for production planning

are more common than anytime in the

past.

AMR Research, 20051.


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Compensation Scenario Planning

For large corporations, total employee compensation as a percentage of overall

expenses now exceeds 50% in the United States. Organizations of all sizes around

the globe need better ways to manage and plan for compensation costs. In

addition, the latest pay-for-performance trend means that companies must take a

new approach, and incorporate more data into their salary planning process.

PeopleSoft Workforce Rewards compensation scenario planning module allowsyou to do sophisticated modeling and analysis for future compensation planning.

With Planning and Budgeting 9.0, we plan to integrate the Compensation Scenario

Planning feature with our position budgeting component. This will allow you to

populate your plans and budget with future-looking information from Workforce

Rewards. This feature expands our integration with Human Capital Management,

which today incorporates current headcount and salary information into position

budgeting.

This feature will provide the ability to perform independent compensation

modeling and what-if analysis in Workforce Rewards, and then transfer the

results to your enterprise plan in Planning and Budgeting.

Enhanced Security

Customers have requested that we extend the current data access security model to

further restrict access to selected dimensions and ChartFields, in addition to the

Planning Center (e.g., Department) and Planning Activity (e.g., Expenses)

security currently offered. This user security should include options of read-only,

read-write or no access for selected dimensions.

Targeted for the next release is the ability to allow one other secured dimension

such as Account. User-based security will preserve confidential data from

unnecessary exposure during the planning and budgeting process. Individual users

can be configured with read-only, read-write and no access to dimensions such as

Account, thereby restricting access to just those Accounts (or other dimension, as

specified).

Enhanced Data Entry Grid and Usability Improvements

Planning and Budgeting intends to expand use of the Analytic Calculation Engine

(ACE) by replacing the current data entry grid with an ACE data entry screen. This

enhanced data entry grid will improve usability by allowing standard horizontal and

vertical scrolling in a single page view. This will eliminate the need for multiple

tabbed page views, while providing clear data context in terms of row and

columns dimensions.

Building on the Superior Ownership Experience enhancements of the prior release,

we plan to continue to simplify the setup process by allowing copying or sharing of

existing features and setup items.


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Benefits of these enhancements include improved navigation and ease-of use, less

user error, more rapid implementations and easier model life-cycle maintenance.

COMPLIANCE AND INTERNAL CONTROLS

Good corporate governance is becoming the lens through which external and

internal stakeholders view a companys reputation, financial performance, andinvestment appeal. Financial consolidation and reporting applications are critical to

companies closing processes, and play a key role in enterprise-wide finance

transformation efforts. In fact, Gartner research shows that businesses using EPM

tools tend to close their books faster. Moreover, Gartners research has found that

companies that report their financials within 29 days or less after the end of the

quarter have P/E ratios that are 10 percent higher than companies reporting 29

days or more after the quarter end.

Global Consolidations

For organizations with multiple ledgers, complex ownership structures, or

sophisticated reporting requirements, PeopleSoft Global Consolidations is the

complete solution for financial consolidation and reporting.

Global Consolidations (GC) extends beyond traditional transaction-based

consolidation reporting by enabling corporations to consolidate and analyze

financial data from multiple sources in real time, regardless of accounting system,

ownership structure, location, or currency. GC captures financial data from

disparate systems, standardizes it into a common chart of accounts, calendar, and

currency, and produces consolidated financial statements. It offers fast

consolidation and powerful reporting and inquiry capabilities with nVision, Oracle

Discoverer, or other business intelligence tools, for multidimensional analysis and

management reporting. PeopleSoft GC delivers integrations with PeopleSoftGeneral Ledger and JDEdwards Financials.

Drill down to PeopleSoft Enterprise General Ledger

For increased transparency, Global Consolidations customers would like to drill

down directly to the source data in PeopleSoft General Ledger. Currently, users

can drill down to the source ledger log table in the Performance Management

Warehouse, which represents a calendar mapping of source ledger data.

In the next release of Global Consolidations, we plan to offer true drill down from

Global Consolidations to Peoplesoft General Ledger. The drill down will be

provided from the Consolidation Audit component into the General Ledger

Ledger Inquiry component. Users will be transferred seamlessly across two

2 John Hagerty, William McNeill, Ryan Garvey, Profiles in Compliance,AMR Research,September 15, 2005

For 2006 and beyond, automatingcompliance activities is Job No. 1, with

software vendors providing most of the

pieces of a complex compliance puzzle.

AMR Research, 20052


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databases using the single sign-on feature provided by PeopleTools. This feature

will provide complete visibility and transparency across the financial close

process.

Reverse Mapping on Journal Publish

In Global Consolidations 9.0, we plan to enhance the ability to map journals back

to source ledgers. This feature will leverage the Data Mapper tool to provide morecomprehensive ChartField mapping capabilities. You may know that this tool is

currently used by the GC ledger preparation process to map the ChartFields from

the source staging ledger (SLED) to the target mapping ledger (MLED). In 9.0, we

plan to use the Data Mapper with the Journal Publish process.

In addition, we plan to support more target formats, meaning that you should be

able to publish to non-PeopleSoft source ledger systems.

Reverse mapping for journal publishing should provide greater field mapping

capability so that more journal details can be sent back to your source ledger

system, whether it is PeopleSoft General Ledger, or a non-PeopleSoft system.

Additional Financial Reports

Financial reports are an important part of any consolidation system and the more

the better. Global Consolidations currently delivers SQR reports and sample

nVision reports for financial statements. Users can also create custom reports with

nVision, PSQuery, or use the Ledger and Profitability Data mart with third-party BI

tools to perform analytic reporting.

In the next release, GC plans to offer more sample reports, including Trial Balance,

Ownership Structure and Fixed Asset Schedule. We will also enhance the Ledger

Activity and Journal Activity reports. Additional financial reports will result in

faster implementations and fewer custom reports.

Internal Control Diagnostics

PeopleSoft Internal Controls Enforcer (ICE) provides the ability to document and

test risks and controls, which is an integral piece of Sarbanes-Oxley section 404

legislation. ICE provides automated diagnostics to monitor internal controls

available in PeopleSoft systems, such as setup and security. Sample diagnostics are

currently delivered for Enterprise and JD Edwards Financials solutions.

With the next release, we plan to offer deeper integration between Global

Consolidations and the Internal Controls Enforcer, including several new

control diagnostics. The Global Consolidations diagnostics should include

three categories: Setup, Segregation of Duties and Security Access, all designedto help monitor the controls inherent in your financial control and reporting

process.


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PACKAGED ANALYTIC CONTENT AND REPORTING

Discoverer End User Layer and Sample Reports

With the merger of Oracle and PeopleSoft, many EPM customers are choosing to

use the business intelligence capabilities of Oracle, such as Oracle Discoverer

reports with the view of standardizing on an end-to-end business intelligenceframework from a single vendor. By taking advantage of Oracle's unified BI

framework and Oracle Fusion Middleware functionality, PeopleSoft customers can

not only reduce the costs and complexity of deploying and maintaining BI

solutions, but can also establish the right middleware foundation for a transition to

Oracle's next generation of enterprise applications.

For both EPM 8.9 and EPM 9.0, we plan to offer rich analytic content using the

Discoverer reporting tool, for Enterprise and JDEdwards EnterpriseOne

customers. We intend to define logical business descriptions in the Discoverer

metadata layer for over 300 dimension attributes and over 4000 fact columns.

We plan to offer over 125 sample reports using the Oracle Discoverer reportingtool for the 20 data marts in the Performance Management Warehouse.

Third-Party Reporting Options

Going forward, customers will have the option of leveraging an all-Oracle solution

for analysis and reporting of PeopleSoft Enterprise and JDEdwards EnterpriseOne

data, in addition to the 3rd-party reporting options available today, such as Business

Objects.

For EPM 9.0, we plan to offer a sample Business Objects Universe and a rich set of

sample reports for our PeopleSoft Enterprise and JDEdwards EnterpriseOnecustomers to use with Web Intelligence 6.51. Business Objects plans to continue

offering EPM security integration to our joint customers.

For JDEdwards customers who currently use MicroStrategy, we plan to offer

sample reports in MicroStrategy 8.

We plan to continue to partner with Cognos. Cognos plans to build security

integration between ReportNet and EPM 9.0 and validate it in our partner

validation laboratory.

3Kevin H. Strange, Ted Friedman, and Alan H. Tiedrich, Gartner Predicts 2004:Business Intelligence Infrastructure, Gartner, Inc., December 2003.

Putting a business intelligence (BI)framework in place will requirestreamlining and coordinating BIinitiatives, reducing redundant andoverlapping technologies, and increasingfocus on the integration and quality ofthe data that fueled data warehousesand BI applications.

Gartner, Inc. 2004.3


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Scorecard

In the next release, our Scorecard applications plan to offer links to relevant

Discoverer reports. For example, Customer Scorecard, Workforce Scorecard,

Healthcare Scorecard, Manufacturing Scorecard and Supplier Rating System will

contain pre-defined links (attachments) from delivered KPIs to relevant Discoverer

reports.

When a business user views a Scorecard or Key Performance Indicator (KPI) thathas relevant information in a Discoverer report, he will see a visual cue (paperclip)

indicating that support documents are available. If the user clicks the paperclip, he

will be taken to the Attachments screen where he can launch into a Discoverer

report.

For drill down and further analysis on KPIs, Scorecard customers will benefit from

immediate integration with the Discoverer reporting tool.

Human Capital Management Warehouse

The Human Capital Management (HCM) Warehouse is the foundation of HCM

content from which to build analytic reports. In the next release, we plan toinclude more time-trending reporting structures, more out of the box extensions to

the foundation, and some basic snapshot-based fact tables in the Workforce Profile

area with robust metrics.

Learning and Development Datamart

In the next release, we plan to offer enhancements to the areas of Employee

Performance. For example, we expect to provide additional fact tables that extend

from our existing HCM Warehouse foundation competencies and accomplishments

in context over time. New analytic reports on components of Talent Management

will give a view of the skills inventory of the workforce. These reports can illustrate

the trend of skills attainment over time for the workforce.

INDUSTRY ENHANCEMENTS

Plans for EPM 9.0 include extending our vertical functionality to Higher Education

customers, a significant segment of the PeopleSoft install base.

Campus Solutions Warehouse

Without Campus Solutions data in our Performance Management Warehouse, our

Higher Education customers have had challenges extracting data from their

transactions systems to create sophisticated analysis and reports. Many of ourHigher Education customers have requested a warehouse solution to help address

management reporting needs and increasing compliance requirements.

4 Henry Morris, Kathleen Wilhide, Dan Vesset, IDC Research, #34382, November2005.

[PeopleSoft] EPM has been innovative.

It was one of the first performance

management suites to include vertical-

specific functionality.

IDC Research, November 2005.4


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In our next release we plan to offer the new Campus Solutions Warehouse, which

will include 3 datamarts: Student Records, Admissions, and Student Financials.

Higher Education customers should be able to produce operational and analytic

reports in the areas of Student Records, Admissions and Recruiting, and will also

have reporting capabilities around Financials and Financial Aid.

Student Records Datamart

Enrollment and course information are often the most critical reports for Higher

Education institutions. The Student Records Datamart intends to include content

on enrollment, course catalogs and definitions, all organized in a way to deliver ad-

hoc reporting capabilities as well as structured production reporting.

Sample reports are expected to include monitoring average class sizes, pre-

requisites not met, grade distributions, and graduation eligibility, all filtered by

student demographic data. Many reports in this category will include aggregated

statistical reports, with year-to-year comparisons and myriad dimensions.

Admissions Datamart

Higher Education institutions also need recruiting and admissions reports that offer

analytics around prospects and recruits. The new Admissions Datamart aims to

focus on the recruiting and admissions lifecycle and provide reports to support the

entire admissions process.

Sample reports are expected to include monitoring applicants, applications,

interested programs and other measures by prospect profile data. These reports

will provide feedback to the institution on success in converting applicants to

enrollees, and the eventual student success at the institution.

Student Financials Datamart

Many colleges and universities require reports from their financial systems to

reconcile student financial data to their financial aid awards and general financial

systems. The new Student Financials Datamart will support financial aid reporting,

and Student Financial transaction reports.

Many schools need financial aid reports specifically for new students, as part of the

admissions process, in addition to reports for the entire population. Also, many

schools review institutionally-funded awards as a percentage of total tuition

revenues, however those reports are probably more frequently originated from the

General Ledger. With the Student Financials Datamart, they should be able to

build reconciliation reports between Student Financials to general financial systems.


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EPM 9.0 PLANNED PRODUCT LISTING

Performance Management Warehouse

CRM Warehouse

Customer Datamart

Marketing Datamart

Sales Datamart

Services Datamart

Financials Warehouse

Advanced Cost Accounting Datamart

Enterprise Service Automation Datamart

General Ledger and Profitability Datamart

Payables Datamart

Receivables Datamart

Real Estate Datamart

HCM Warehouse

Compensation Datamart

Learning and Development Datamart

Recruiting Datamart

Workforce Profile Datamart

Supply Chain Warehouse

Fulfillment and Billing Datamart

Inventory Datamart

Manufacturing Datamart

Procurement Datamart

Spend Datamart

Supply Chain Planning Datamart

5 Henry Morris, Kathleen Wilhide, Dan Vesset, IDC Research, #34382, November2005.

IDC research shows that about 70% of

companies consider purchasing analytic

solutions from their enterprise software or

database vendor. The tight integration

between EPM and PeopleSoft

applications is very attractive to customers

that want a single, standard platform for

information. Current EPM customers

have communicated confidence in the

support strategy of Oracle/PeopleSoft

and indicated a belief that the Fusion

roadmap for EPM will meet their needs

in the future.

IDC Research, November 2005.5


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Campus Solutions Warehouse

Student Records Datamart

Admissions Datamart

Student Financials Datamart


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CRM Analytics

Customer Behavior Modeling

Customer Scorecard

ESA Analytics

Project Portfolio Management

Financial Management Analytics

Activity-Based Management

Funds Transfer Pricing

Global Consolidations

Planning and Budgeting

Risk-Weighted Capital

Scorecard

Supply Chain Analytics

Activity-Based Management

Manufacturing Scorecard

Supplier Rating System

Workforce Analytics

Workforce Planning

Workforce Rewards

Workforce Scorecard

Industry Analytics

Healthcare Scorecard

Manufacturing Scorecard


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This document is intended to outline our general product direction. It is intended forinformation purposes only, and may not be incorporated into any contract. It is not acommitment to deliver any material, code, or functionality, and should not be reliedupon in making purchasing decisions. The development, release, and timing of anyfeatures or functionality described for Oracles products remains at the sole discretion ofOracle.


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PeopleSoft Enterprise Performance Management 9.0 Planned Features

December, 2005

Authors: Caroline Crothers and Jennifer Toomey

Oracle Corporation

World Headquarters

500 Oracle Parkway

Redwood Shores, CA 94065

U.S.A.

Worldwide Inquiries:

Phone: +1.650.506.7000

Fax: +1.650.506.7200

oracle.com

Copyright 2005, Oracle. All rights reserved.

This document is provided for information purposes only and the

contents hereof are subject to change without notice.

This document is not warranted to be error-free, nor subject to anyother warranties or conditions, whether expressed orally or implied

in law, including implied warranties and conditions of merchantability

or fitness for a particular purpose. We specifically disclaim any

liability with respect to this document and no contractual obligations

are formed either directly or indirectly by this document. This document

may not be reproduced or transmitted in any form or by any means,

electronic or mechanical, for any purpose, without our prior written permission.

Oracle, JD Edwards, and PeopleSoft, are registered trademarks of Oracle

Corporation and/or its affiliates. Other names may be trademarks

of their respective owners.

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