Fitter Faster Smarter


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Embracing change to reduce cost and delay whilst improving quality. How Hyperion Data Relationship Management (DRM) can become your change management platform. Tuesday August 17th, 2010 12:00pm

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  • Every application / business function has its own structures – no consistency or shared perspective. To make it usable broadly, requires a lot of IT resources to reconcile the master data Users who know what the structures should be are unable to make the changes themselves and are often forced to involve IT With DRM, … we provide a business user facing application to make different structures usable across the enterprise while retain the business perspectives unique to each function / stakeholder. Enable business users to drive change while allowing IT to govern the master data by codifying business rules that build consistency in enterprise master data.
  • Just an example of customers at the end of FY 2008. Not a complete list. Note the spread across industries, but the specific strength in financial services (we may have to merge some of those icons, though) Strong references include Washington Mutual (despite recent issues!), Dell, Telenor Growing presence in EMEA, and emerging clients in APAC.
  • A maturity model measures value through an objective assessment of current ‘capabilities’. It shows how those capabilities can be enhanced (through an evolutionary process) toward a higher level of maturity. It facilitates decisions upon where effort (and limited resources) should be expended to increase capabilities. It’s not necessary for an organization to always aim for the highest level of maturity. Rather, these models help target effort on the most tangible benefits that can be realized. For Enterprise Dimension Management, the critical characteristics are Dimension / hierarchy maintenance processes Responsibilities for that maintenance Alignment of dimensions across the enterprise (systems, business functions, technology stacks) Enabling (and enforcing) data governance Workflow processes required Indicators of each level of maturity So, driving improvements in capability: Not a linear process But … cannot just jump from level 1 to level 5 Some jumps are more difficult: From level 2 (home-made) to level 3 (centralized) From level 4 (aligned) to level 5 (devolved) Compare to “chasm” & “gap” in the BI Maturity Model So, must maximize ROI for the enterprise Value of Dimension Management Maturity Model: Facilitates implementation of enterprise dimension management Supports capability improvements in other areas: EPM & BI Enterprise data governance ERP (transactional) systems [Use this model to open discussions between IT and the business experts] [DISCUSS EXAMPLES – MOST CLIENTS START IN COLUMN 2 AND ASPIRE TO COLUMN 4]
  • Fitter Faster Smarter

    1. 1. Fitter, Faster, Smarter Embracing change to reduce cost and delay whilst improving quality Simon Kilshaw Oracle BI & EPM Applications Tuesday 17 th August, 2010 The most comprehensive Oracle applications & technology content under one roof
    2. 2. What you get (Agenda) <ul><li>At least one good implementable idea for your business </li></ul><ul><li>An understanding of how you can manage </li></ul><ul><ul><li>Reference data (ERP CoA, Tran codes, Lists of…) </li></ul></ul><ul><ul><li>Hierarchies & Dimensions </li></ul></ul><ul><li>More demo, less powerpoint </li></ul>
    3. 3. Agenda <ul><li>Fitter </li></ul><ul><ul><li>Doing something you don’t do now </li></ul></ul><ul><li>Faster </li></ul><ul><ul><li>Starting with automation </li></ul></ul><ul><li>Smarter </li></ul><ul><ul><li>Knowing when improvement is happening </li></ul></ul>
    4. 4. Fitter <ul><li>Getting fitter can simply mean doing something that you are not doing now… </li></ul><ul><ul><li>Today we will look at doing something about reference data </li></ul></ul>“ Reference data is typically utilized in two ways. The first is reporting hierarchies. Thus, changing a value in a reference data table can have unpredictable effects on what appears in reports, perhaps hiding information. The second area is in program code since if a data value ever appears in a business rule, it is almost certain to be a code of some kind. Deleting a code value, or changing it, can therefore cause program logic to react in unpredictable ways.” Malcolm Chisholm, Industry Expert
    5. 5. Why Reference Data Management? <ul><li>Data Inconsistency: Reference data spans multiple system silos with no standardization resulting in data quality issues </li></ul><ul><li>Change Proliferation: One small business change proliferates dozens of changes across multiple LOBs / regions / functions </li></ul><ul><li>Lack of Coordination: Ad hoc change management techniques lead to errors and omissions at the enterprise level </li></ul><ul><li>Unintended Consequences: Changes valid for one function / system adversely impact another </li></ul><ul><li>Knowledge Loss: Subject matter expertise resides in the minds of a handful of experts whose knowledge has never been codified </li></ul><ul><li>Stifled Agility : Business changes are bottlenecked waiting for dozens of stakeholders to assess and reconcile requests </li></ul>
    6. 6. Reference data is any kind of data that is used to group, categorize or relate enterprise information assets either within or beyond the boundaries of the enterprise. Types & Codes Taxonomies Relationships Standards Transaction Codes Industry Classifications (e.g., NAICS, SIC) Product / Segment; Product / Geo Currencies Lookup Tables Product Categories Transaction Codes / Financial Accounts Time Zones Status Codes Sales Territories Customers / Sales Hierarchy Calendar Role Codes Market Segments Valid Code Combinations Tax Rates
    7. 7. Reference Data Management Definition An enterprise process to govern the consistent creation, maintenance and consumption of groupings , classifications , standards and relationships between different information asset types
    8. 8. Use Case: Business Perspectives Slide Three geo hierarchies, each defines the “United States” to represent unique business perspectives of three corporate divisions Copyright © 2010, Oracle Corporation. Division A Division B Division C
    9. 9. Use Case: Business Alignment Slide Collaborate, maintain and derive relationships across constantly changing information assets that span lines of business, regions or business functions Copyright © 2010, Oracle Corporation.
    10. 10. Use Case: Transaction Processing Posting transactions against valid code combinations is mission critical Slide Transaction codes are typically combinations of individual reference data segments. Business rules drive valid combinations of segment values. 3 1 1 1 1 0 5 1 0 0 9 The business challenge is to build, maintain and enforce transaction code combinations that adhere to business rules . As your business changes (e.g., open new stores, hire new agents, create new product categories, respond to new regulations), complexity rises exponentially! Business Rule: Stores 111,138, 201 should be in State 1 (CA). Copyright © 2010, Oracle Corporation. Business rule: Only issue loans with collateral as security
    11. 11. Use Case: Corporate Restructuring Productivity improvement and compliance to enterprise policies Slide Business Event: Org Change Inferred Inferred Copyright © 2010, Oracle Corporation. Code Purchase Limit L1 <=US$1,000.00 L2 <=US$5,000.00 L3 <=US$10,000.00 L4 <=US$50,000.00 L5 <=US$100,000.00 L6 <=US$500,000.00
    12. 12. Faster <ul><li>“ People have traditionally managed reference data in spreadsheets before moving on to personal databases and now to applications like Hyperion DRM .” </li></ul>Simon Kilshaw, Solutions Director, Oracle, 2009
    13. 13. <Insert Picture Here> How does Data Relationship Management fit? Slide Copyright © 2010, Oracle Corporation.
    14. 14. The Change Management Business Problem The information supply chain needs streamlining Essbase Essbase Business Intelligence Planning Review Spreadsheet ETL EAI <ul><li>Accounts </li></ul><ul><li>Entity </li></ul><ul><li>Project </li></ul><ul><li>Product </li></ul><ul><li>Location </li></ul><ul><li>Channel </li></ul>DW Analytic Applications <ul><li>Each change takes days or weeks to propagate across systems </li></ul><ul><li>Lack of data governance </li></ul><ul><li>Sequence dependent </li></ul><ul><li>Error-prone, inconsistent </li></ul><ul><li>No way to audit </li></ul><ul><li>No way to rollback changes </li></ul><ul><li>Updates “interpreted” by systems experts </li></ul><ul><li>High risk – inaccurate reported results, compliance issues, audit findings </li></ul>Slide Copyright © 2010, Oracle Corporation. Corp Oracle APAC Custom LATAM Peoplesoft EMEA SAP E-Mail Spreadsheet Business User IT Admin Oracle Admin Planning Admin Essbase Admin
    15. 15. The Business Impact - Inconsistency <ul><li>Discrepancies - business measures that should be the same are not </li></ul><ul><li>Uncertainty on accuracy of reporting </li></ul><ul><li>Uncertainty if discrepancies are caused by bad data, different definitions, human error… </li></ul><ul><li>Month after month, expensive time and effort spent researching and reconciling </li></ul><ul><li>Audit / compliance difficulty, compliance implications for legal reporting </li></ul>Essbase Essbase Business Intelligence Planning Corp Oracle APAC Custom LATAM Peoplesoft EMEA SAP ETL EAI <ul><li>Accounts </li></ul><ul><li>Entity </li></ul><ul><li>Project </li></ul><ul><li>Product </li></ul><ul><li>Location </li></ul><ul><li>Channel </li></ul>DW Analytic Applications YTD Revenue 13,500,322 YTD Revenue 12,994,332 YTD Revenue 13,509,999 YTD Revenue 13,599,322 YTD Revenue 13,322,219 Slide Copyright © 2010, Oracle Corporation. Business User ? ? ?
    16. 16. The Hyperion DRM Solution <ul><li>Collapse separate structures into a single maintenance structure </li></ul><ul><li>Streamline change management – one place to make changes, one structure to update </li></ul><ul><li>Immediate feedback to business users to enforce system constraints, business rules </li></ul><ul><li>Publish changes for each specific consuming system as needed, when needed </li></ul>Slide Copyright © 2010, Oracle Corporation. Essbase Essbase Business Intelligence Planning Corp Oracle APAC Custom LATAM Peoplesoft EMEA SAP ETL EAI <ul><li>Accounts </li></ul><ul><li>Entity </li></ul><ul><li>Project </li></ul><ul><li>Product </li></ul><ul><li>Location </li></ul><ul><li>Channel </li></ul>DW Analytic Applications Hyperion DRM Business User
    17. 17. <Insert Picture Here> Who is Managing Reference Data in DRM? Slide Copyright © 2010, Oracle Corporation.
    19. 19. Smarter <ul><li>“ To be smarter at what you are doing implies you to know how smart you are now.” </li></ul>Simon Kilshaw, Solutions Director, Oracle, 2010
    20. 20. Dimension Management Maturity Model From “scattered” to “governed” Characteristics 1 - Scattered 2 - Home-made 3 - Centralised 4 - Aligned 5 - Governed Maintenance process Scattered, local processes for each instance of each application Ad hoc spread-sheets and MS Access DBs for specific domains Central repositories force synchronisation for groups of systems Central repositories recognise varied needs of participating systems Unified, controlled environment for all changes Maintenance responsibility IT, for each silo application Business users, but IT needed to integrate changes. Technical administrators (business or IT) Central functions (eg. Corporate Finance) Local business experts (‘data stewards’) Dimension alignment Mis-alignments surface as reporting inconsistencies Some point-to-point integration using ‘black box’ ETL Complex point-to-point integrations Central integration ‘hub’ using ‘open’ ETL processes Single ‘system of entry’ ensures alignment Data governance Not possible Limited governance for some subject areas Centralised control enforced by tools Central functions apply governance Governance delegated to business experts Workflow processes No consistent workflows Inconsistent workflow for each solution Multi-step approval processes Complex workflows to ensure data quality Simplified request & approval mechanism Indicators <ul><li>Fear of regulatory non-compliance </li></ul><ul><li>Duplicated effort </li></ul><ul><li>Frequent reporting reconciliation issues </li></ul><ul><li>Responsibility for changes unclear </li></ul><ul><li>Ad hoc processes to support mergers </li></ul><ul><li>Duplicated effort, but business experts involved </li></ul><ul><li>Reporting inconsistencies & reconciliation issues </li></ul><ul><li>Simple audit trails possible </li></ul><ul><li>Some duplicate maintenance (eg. between EPM & ERP systems) </li></ul><ul><li>Local business rules enforced </li></ul><ul><li>Compliance enforced by complex processes </li></ul><ul><li>Centralised & complex workflows lengthen close cycles </li></ul><ul><li>Automated Integration with major enterprise systems </li></ul><ul><li>Rapid assimilation of acquisitions </li></ul><ul><li>Enterprise-wide alignment </li></ul><ul><li>Intrinsic compliance </li></ul><ul><li>Fully devolved governance </li></ul><ul><li>Full audit trails </li></ul><ul><li>Business rules enforced automatically </li></ul>
    21. 21. “ Live” Demonstration No more Powerpoint
    22. 22. Q Questions & A Actions
    23. 23. Tell us what you think… <ul><li> </li></ul>