<Insert Picture Here>

MDM ROI Model and how Zebra Measures Implementation Payback

Program Agenda

Introduction Why Build A Business Case For MDM? How To Build The Business Case For MDM? How Can Oracle Help?
Insight Overview

<Insert Picture Here>

Zebra Case Study

Why Do Our Customers Engage in MDM Projects?

Revenue Generation / Customer Retention
Cross-Sell / Up-Sell

Better Operations
1st Time Accurate Deliveries & IT Costs

Risk Management
Data Loss Prevention

Compliance
Law Enforcement / Privacy

Differentiated Service Delivery

Advertising & Promotion Spend

Fraud Prevention

Homeland Security

Scenarios: MDM as
1 A Foundation of CRM Plans 2 An Add-on to CRM 3 Rationalization of ERP Envt 4 Part of a Middleware Architecture Play 5 A Standalone Application

MDM Delivers Value To Customers Across Four Domains

Growth

Efficiency

IT Agility

Compliance

CUSTOMERS ON AVERAGE GENERATED 2%-5% INCREASED REVENUE FROM SALES WITH MDM

EFFICIENCY OF OPERATIONS INCREASE WITH IMPROVED PROCESSES AND DATA GOVERNANCE

EFFICIENCY OF IT OPERATIONS RESULTING IN GREATER AGILITY OF BUSINESS MODELS

EFFICIENCY OF IT OPERATIONS RESULTING IN GREATER AGILITY OF BUSINESS MODELS

Sources: Oracle Benchmarking, Oracle Insight analysis

Case Studies: Growth

A large US Retail grocery chain

Enable loyalty program, drive upsell and empower self service

Why: Why:

A single view of customer across the 100+ life and nonlife insurance policies, pension funds and employee pension schemes in Poland Going live on Customer Hub with about 1.5 million customer golden records 2 % increase in amount of insurance premium collected

What: What:

Customer hub along with Siebel CRM

So what: So what:

12 % reduction in marketing reach costs 5% increase in cross-sell/upsell*

5

Improved marketing response resulting in increased gift card order sales by 5% Increased sales from loyalty cards customers by 1%

* Expected benefits

Case Studies: Efficiency

A large telecom manufacturer
Streamline GGB Global supply chain and provide an acquisition platform Support total customer satisfaction goals with single view of customer data for companys mobile devices division Centralized B2B customer master in a single instance

Why: Why:

What: What:

Live on Oracle Customer and Product Hub integrated with ERP systems with no disruption

So what: So what:

Improved inventory levels by 5% Reduced order lead times by 2% Increased order returns by 15%

Reduced sales cycle time (B2B) by 3% Reduced sales order errors by 20%

Case Studies: IT Agility

A major big box retailer
Support KPNs business transformation from product to customer centric enterprise Live on Oracle MDM with Informatica Power Center & DQ Foundation to CRM & BRM Streamline complex marketing & account management processes Provide single view of its customers to every store Oracle Customer Hub feeding to marketing application Dunnhumby, SAP ERP & CRM

Why: Why:

What: What:

So what: So what:

$1.8 million savings in IT project costs

Improved marketing campaign response rate by 15% Reduced maintenance costs by 10% by sun-setting legacy applications Reduced sales order errors by 20%

Case Studies: Compliance

A large bank in AsiaPacific region A leader in electricity transportation & distribution
Improve relationships and service to its customers in an ever changing organizational environment

Why: Why:

CIS legacy inflexible and too expensive to maintain & evolve

What: What:

Live on Customer Hub with 14,000 users and 400k tx /day peak operations

Customer Hub as a foundation to CRM , Supply Chain Mgmt

So what: So what:

Anti money laundering compliance

2% reduction in credit risk costs 75% reduction in annual compliance costs

Program Agenda

Introduction Why Build A Business Case For MDM? How To Build The Business Case For MDM? How Can Oracle Help?
Insight Overview

<Insert Picture Here>

Zebra Case Study

Companies Want IT to Deliver More Business Value

Do More With Less

New Capability

30%

$
Increases Value Creation
45%

New Capability

Sustaining & Running Existing Capability

70%

Decreases Maintenance & Delivery

55%

Existing Capability

Todays IT
Source: Accenture IT Spending Survey

Desired IT

10

MDM Initiatives Deliver ROI By Reducing Spend And Enhancing Revenue

Income Statement Revenue CGS Margin Non-IT SG&A IT R&D Subtotal EBITDA Reduce Non-IT Increase % of $1B Reduce IT SG&A by Revenue 10% by 10% Rev Company by 10% 100% $1,000M $1,000M $1,000M $1,100M 50% 50% 30% 4% 5% 39% 11% $500M $500M $300M $40M $50M $390M $110M $500M $500M $300M $36M $50M $386M $114M $500M $500M $270M $40M $50M $360M $140M $550M $550M $300M $40M $50M $390M $160M

IT SPENDING (% OF REVENUE)

4.1%

$ Change % Change
Source: Forrester Research and Oracle analysis

$4M

$30M

$50M

4%
11

27%

45%

Program Agenda

Introduction Why Build A Business Case For MDM? How To Build The Business Case For MDM? How Can Oracle Help?
Insight Overview

<Insert Picture Here>

Zebra Case Study

High Level Approach To Develop The Business Case

Link The Value To Current Business Pains And Gaps

Assess Process Performance & MDM Maturity

Develop Solution Footprint & Implementation Plan

Identify Benefit Drivers, Costs & Calculate ROI

13

Assess Process Performance & BPM Maturity

Develop Solution Footprint & Implementation Plan

Identify Benefit Drivers & Calculate ROI

Step 1: Assess Process Performance & MDM Maturity

Analysis Framework Capability Maturity Models

14

Assess Process Performance & BPM Maturity

Develop Solution Footprint & Implementation Plan

Identify Benefit Drivers & Calculate ROI

Step 2: Develop Solution Footprint & Implementation Plan

Impact on architecture Implementation Roadmap

15

Assess Process Performance & BPM Maturity

Develop Solution Footprint & Implementation Plan

Identify Benefit Drivers & Calculate ROI

Step 3: Identify Benefit Drivers, Costs & Calculate ROI

Benefit Drivers and Costs

ROI and Payback

MDM Benefits
Benefits

A 5-Year Analysis of Both MDM Costs & Benefits Shows a Strong Return for Company X
CATEGORY YEAR 0
-

YEAR 1
$2M $1M $3M

YEAR 2
$3M $2M $5M

YEAR 3
$3M $2M $5M

YEAR 4
$3M $2M $5M $4M $12M $8M $4M $2M $6M $3M $49

YEAR 5
$5M $5M $10M $6M $15M $12M $8M $5M $8M $5M $79

TOTAL
$16 $12 $28 $20 $57 $22 $12 $29 $16 $212

BENEFIT OPPORTUNITY 1. Increased Cross-sell/Up-sell 2. Improved Call Center Productivity 3. Reduced Marketing Mailing costs

CONSERVATIVE $3M $2M $5M

PRAGMATIC $5M $5M $10M $6M

AGGRESSIVE $8M $10M $15M $8M $20M $16M $10M $8M $11M

1. Increased Cross-sell/Up-sell 2. Improved Call Center Productivity 3. Reduced Marketing Mailing costs 4. Improved Customer Retention 5. Reduced Data Management Costs

4. Improved Customer Retention

5. Reduced Data Management Costs 6. Reduced Sales Order Errors

7. Reduced Sales Cycle Time (B2B)

8. Improved Campaign Response Rate 9. Reduced Integration Costs

$2M $5M Estimated MDM Associated Costs $6M $3M $8M $5M $7M

10. Reduced Time CATEGORY to Take New Application/Project to Market Software* 11. Reduced Credit Risk Costs 1. Application Licenses 12. Reduced Non-Compliance Risk Costs

2. Annual Maintenance 13. Reduced Report Generation Costs Implementation* Total Annual Steady-State Benefits

LE P AM S
$4M $12M $8M $4M $6M $11M $22M $88M
Copyright 2009, Oracle. All rights reserved. Oracle Confidential

$15M $12M $8M

10. Reduced Time to Market 11. Reduced Credit Risk Costs 12. Reduced Non-Compliance Costs 13. Reduced Report Generation Costs Total NPV of Benefits Costs
Software: Application Licenses Software: Annual Maintenance Implementation of Existing Software Implementation of New Software New Hardware/Infrastructure

ONE-TIME

$8M $8M

ANNUAL

Annual Cash Flows and Payback Analysis Demonstrate Clear Value to Company X Over the Life of the Project
$ $26 $49 $49 $ $10M 0 0 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $2.2M $2.2M $2.2M $2.2M $2.2M $2.2M $2M $3M

$15M $25M

$10M

LE MP SA
$2M $4M $4M $6M $12M $12M $4M $8M $8M $2M $4M $4M $1M $2M $2M $3M $6M $6M $2M $3M $3M 0 $ -$ $ $2.2 $ -$

$17M $27M

Notes: Numbers show undiscounted benefits. NPV of these benefits are shown elsewhere Source: Customer discussions and discovery

3. Implementation of Existing Software 4. Implementation of New Software

Hardware/Infrastructure*

5. New Hardware/Infrastructure Other Costs**

6. Training/Change Management

7. Other (travel, administrative, etc.) Total

LE MP SA
$126M

$2.2M

Training/Change Management Other Costs (travel, admin., etc.)

INVESTMENT COSTS AND BENEFITS 0 $ $ $ Millions

Total

NET PRESENT VALUE $ $ $ Millions

$ $

$166M

$M 5-Year Total Benefits $14.4 $5.2

$2.0 $
300%

$1M $6M

$M $M

Net Benefits NPV ROI

$1.5 $1.0

$2M

26

$0.4M

$0.5 $0.0

Copyright 2009, Oracle. All rights reserved. Oracle Confidential

$1M

$0.1M $0.2M $2.9M

-$0.5 -$1.0 -$1.5

$0.5M

$20.5M

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5

Notes: * Costs are provided as estimates ** Cost estimates are based on customer data Does not factor in fixed costs of employees assigned to project Implementation estimates are provided by customer
Source Oracle & Customer Estimates

LE P AM S
$ $ $2.5 $

Benefits $2.2 Costs

NPV: $2.2 $M,

ROI:300% $2.2

$2.0 $1.5 $1.0 $0.5 $0.0

Payback: Payback: ~12 mo. Payback:~24 mo. ~24 mo.

28

-$0.5 -$1.0

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5

Note: Numbers in $ Millions; WACC =10%, as provided by Company X

Copyright 2009, Oracle. All rights reserved. Oracle Confidential

27

Copyright 2009, Oracle. All rights reserved. Oracle Confidential

29

16

Program Agenda

Introduction Why Build A Business Case For MDM? How To Build The Business Case For MDM? How Can Oracle Help?
Insight Overview

<Insert Picture Here>

Zebra Case Study

Oracle InsightTM Helps Customers Realize Value Throughout The Technology Investment Lifecycle
Establish the Business Case and Roadmap for Technology Investment Accelerate Business Transformation by Aligning Project & Business Objectives

R O SF N A TR

PL A N

Continuously Unlock More Value from Technology Investments

M EA SU R E
Align and Measure Business Initiatives Against Planned Objectives
18

O PT IM IZ E

Leveraging Skilled Business Strategist Working Collaboratively With You To Enable Greater Business Value
Value Analysis Industry Experience Solution Knowledge

A proven methodology leveraged by thousands of customers globally to:

Drive business impact by helping view technology as enablers of business

value

Help build a compelling value proposition Assist with alignment with executive team

19

We Understand That Achieving Business Objectives Means Addressing Different Challenges

Business Issues IT Issues

Given global growth opportunities and acquisition strategy, how is the business positioned to leverage such opportunities? How well can our business processes support these objectives? What is the business value in transforming our processes? How do we transform in alignment with our strategic vision? How do we measure progress of such transformation with a few key metrics?

Does our IT strategy / roadmap align with the business priorities and objectives? What are the new IT enablers for these best practices and how do they impact us? How can we enable and sustain business value realization? How do we enable business processes
and the required capabilities while also reducing business risk?

How do we enable the business with the right information to measure its progress?

Oracle Insight is a methodology tailored to assist you in answering such business challenges

http://www.oracle.com/insight
20

Insight Offers Tools & Services Tailored To The Needs of The Customer
Insight Team
Industry Strategy Business Strategy

Sales Team
Partner Offering

IT Strategy

Pillar Insight (Certified SCs) Consultative Pillar Analysis (SCs & ASMs)

Benefit Analyzer Tool

21

Program Agenda

Introduction Why Build A Business Case For MDM? How To Build The Business Case For MDM? How Can Oracle Help?
Insight Overview

<Insert Picture Here>

Zebra Case Study

MDM = T + P + P
Eva Larson Zebra Technologies Corporation Data Quality/Data Management 10/14/2009

The right asset. In the right place. At the right time.

Changing Zebras Stripes

The Goal Issues, and Solutions
Technology People Processes

The Benefits

24

Zebra Technologies
o Zebra helps identify, locate and track assets, transactions and people with specialty printing and automatic identification solutions including barcodes, RFID and GPS technologies. o Lincolnshire, Illinois HQ [Chicago Suburbs]

25

The Goal
Simplify end to end business process integration and accelerate ROI through technology, people and processes.

Technology The Issues

UCM A single source of truth for customer data?

Technology
Hundreds of disparate applications
10 acquisitions 140 applications (and counting)
Wheres our customer data today?

Resources
90% of IT time spent on integration and maintenance

Page 7

Where to begin Time to implement

Before: Zebras 140+ Islands-of-Automation

After: Zebras AIA Enabled Oracle Solutions

29

Technology The Solutions

Technology Use a phased approach Consolidate all applications to a single global system. Increase data visibility and accuracy Avoid customization
Goal: Simplify end to end business process integration and accelerate ROI

Zebras Success Card

RELEASEMANAGEMENTSCOPE R1 2007[PRERELEASE] ORACLE AGILEPLM ProductCollaboration WebPortal[forCM] CMEnablement ORACLE EBUSINESS GlobalFinancials GlobalHumanResources ProcuretoPay[MRO] GlobalHR Payroll ASCP Demantra OBI ORACLECUSTOMERHUB Accounts Contacts PartnerPortal Registration CampaignManagement LeadManagement CustomerMaster OBI AccountsReceivable/Collections Credit Service(backoffice) R2 20082009 R3 20092010 R4 20102011

i L

ve

Li

ve

Mfg WMS Shipping DataCollection[Zebra] RemotePrinting[Zebra]

e iv L

Expanded Sales Attrbs PartnerPortal ShoppingCart CampaignManagement LeadManagement OrderCapture Pricing&Concessions

Expanded Service Attrbs Service PartnerPortal Service MobileApplications

ORACLE/SIEBEL CUSTOMERRELATIONSHIPMANAGEMENT

ve Li
Deployed in-house, on-time & under budget

Configuration SalesHierarchy WarrantyContracts OpportunityManagement InstallBase[AssetMgt] PointofSaleCapture

31

Technology The Solutions

Technology Use a phased approach Consolidate all applications to a single global system. Increase data visibility and accuracy Avoid customization
Goal: Simplify end to end business process integration and accelerate ROI

Technology The Solutions

Technology Use a phased approach Consolidate all applications to a single global system. Increase data visibility and accuracy Avoid customization
Goal: Simplify end to end business process integration and accelerate ROI

Zebra Staying Current

Siebel CRM 8.0.0.2 + Oracle Customer Hub => moving to 8.1.1 [2009]

Oracle eBusiness 12.0.5 => moving to 12.1 [2009] Oracle SOA 2.1 => moving to 2.5 [2009] Oracle AIA / PIP Customer Party EBO Live Nov 2008 - expanding Oracle Demontra & Oracle Advanced Supply Chain Planning 7.2.0.2 Oracle Agile 9.2.2 => expanding to Oracle Product Hub Oracle Business Intelligence [OBI]10.1.3.3 Oracle 10g RAC => moving to 11g RAC [2009] Supporting Tools:
EDI: GenTran / Sterling Integrator 4.3.10 Data Profiling & Cleansing: Dataflux 8.1

Zebra CIO: Time to Break the Cycle

Evolve IT staff. from being primarily technologists to wellrounded business managers assigned competency leads

Upgrade organizational capability with experience in

Oracle delivery

Develop higher contribution to the business by

leading strategic projects to conquer complex operating challenges that have presented themselves as a result of Zebras market place successes
From
10%

To
New Project Effort

90%
10%

90%

Support

35

People The Issues People

Siloed/Independent
Thinking Communicating Decision Making

Change
Acceptance Adaptation

Ownership (vs Stewardship) Resources

People The Solutions

People Herding Zebras Consumers Contributors Data Governance and Data Stewardship

Goal: Simplify end to end business process integration and accelerate ROI

Processes The Issues Processes

Redundant Customized Uncontrolled

Zebra Technologies Corporation Zbra Tehcnolgies Corp ZEBRA TECHNOLOGIES Zebra Tech Zebra Zebra Technologies Corp dba Zebra Technologies Corp

Processes The Solutions

Processes Consolidate master data One stop shopping for master datas metadata CRUD and workflows Data cleansing and enhancements Quality check-ups
Goal: Simplify end to end business process integration and accelerate ROI

Using Oracles Out-Of-Box Business Process Flows

Customer Query Customer Query Query Check for Query Check for Customer Customer
Definition At any point in time, a customer may want to make a change to their details.

Customer Creation Customer Creation Register New Register New Customer Customer

Customer Address Customer Address Customer Address Customer Address Setup Setup

Parallel Processes Parallel Processes Sales/ Credit Check/ Sales/ Credit Check/ Opportunity Customer Updates Approval Customer Updates Approval Opportunity Processes Processes
Best Practices
n The solution should always allow customers to request

Process activities
n Customer requests a change

Key data
n n n n n

n n n

through a channel (portal, phone, email, post, call) Change details are captured in the system(address details, phone numbers, additions to Contacts Information) Change request is routed to proper individual Change is processed and records are updated in all systems Change not processed (due to incomplete or incorrect data) and customer contacted

es al S

nd a

ke ar

Account Name Address details Phone Numbers Contact Email Addresses Account Profile details

in g t

ol u Ev -

io n t

changes to their details. nManual administration by Zebra employees should be minimized, but the integrity of customer data must be protected. nOnce Account is active the access to change is restricted to persons responsible for Customer Maintenance nRules should determine what updates can be made to particular data fields by particular people and in particular systems.

fa o

Cu

er m to s

Performance measures
nThe cost of executing a change in details

(number of key strokes or man hours)

nThe amount of time from the detail change request to completion

40

Canonical Model
R2W2 CRM Integration & Conversion Approach using Canonical Model

Extract

Transform

Load

ICDB Database

C n e io o v rs n

PartnerFirst Data

Siebel CRM

Data Cleansing / Matching Steps

BaaN NA
Canonical Data Model Initial Extract Records Data Trans / LOV Valid Step SQL Script

Canonical Data Model DataFlux Step 1 DataFlux Step n Cleansed , Standardized, De-duped, Merged Records

Siebel UCM

In r c te fa e

Zebra.com

Zebracard.com

Technology The Benefits

2008
MDM solution/integrations purchased from Oracle - avoids 3 party connectors, new

proprietary skills to learn, compatibility issues = lowered costs Estimated resource savings 60% - 2 resources, 2 months with small off-shore augmentation vs 6-10 resources for 4-6 months

2009 phase
Same AIA/PIP reused in integrations and conversions = lowered costs Upgraded Siebel, Oracle without integration rewrites

Future
All Oracle AIA/PIPs deployed for MDM Zebra acquisition on-boarding becomes easier and faster Compatibility of integration remains Oracles responsibility MDM data remains protected, standardized, cleansed

Oracle MDM ROI Projections

CRM Booster Operational Improvements

IT Agility

Risk/Compliance

43

People The Benefits

IT concentration moving toward businesss strategic projects vs maintenance Global understanding about the reality of our interconnected data-driven world. Data Governance/Stewardship which sets the rules of engagement, defines global standards and processes and global resolution of conflicts More information available for use in reporting and decision making

Processes The Benefits

Reusable data - master data entered once for all vs once per # of applications = estimated savings of 139 per field Single set of processes Global documentation for all fields, rules, standards and processes which is housed on global intranet site Real time and batch deduplication

Zebras Transformation in the news Zebra Accomplishments

Oracle 2008 Excellence Award Winner [AIA] 2009 Press Releases [AIA] Reduces Cost 2009 Oracle Press Releases [AIA] - Expanding 2009 Customer Snapshot for Zebra on Oracle [AIA] 2009 May Oracle Profit Magazine Zebra Transformation Story 2009 Program Reviewed in AMR Research, Forrester and Gartner Oracle User Groups Presentations on MDM, data governance, AIA

Zebra Technologies Exhibitor Information

Booth Locations
2423 Moscone South
and Motorola Enterprise Mobility Pavilion, 3109 Moscone West

Event Profile
Zebras got the Oracle connections you need for easy bar code and RFID label printing. Designed to streamline the printing process, Zebras Enterprise Connector solution provides an easy-to-implement way to print bar code labels directly from Oracle e-Business Suite including any Oracle application that invokes Oracle SOA Suites.

47