CIOs as Architects of Change: From measuring performance to outcomes, Shaun J Coyne, Vice President, Chief Information Officer, Toyota Financial Services

Slide 1: Toyota Financial Services Business Driven Innovation Shaun Coyne Chief Information Officer Copyright © 2007 Accenture All Rights Reserved.

Slide 2: TFS: Background Company Background • Subsidiary of Toyota Motor Corporation (TMC), part of worldwide Toyota Financial Services Corporation (TFSC) • 3rd largest captive finance company, 8th largest finance company in the United States • 3,000+ employees, managed assets in excess of $65 billion • Includes Toyota Motor Credit (TMCC), Toyota Motor Insurance (TMIS) 2007 Competitive Position • Sustained Growth of Lexus / Toyota • Increased competition from Non-captives, Credit Unions • Direct to our customers • Direct to our dealers © 2007 Toyota Financial Services - Confidential Copyright © 2007 Accenture All Rights Reserved.

Slide 3: Our business goals were being hindered, not enabled by our aging technology Company Background Market Forces are driving business need • Subsidiary of Toyota Motor Corporation (TMC), part of worldwide Toyota Financial Services Corporation (TFSC) • 3rd largest captive finance company, 8th largest finance company in the United States • 3,000+ employees, managed assets in excess of $65 billion Scale Profitably Market Leading Service • Includes Toyota Motor Credit (TMCC), Toyota Motor Operational Efficiency Insurance (TMIS) flexible World class, Business through Automation customer-centric service Imperatives Data to drive business Ability to leverage and decisions, improved 2007 Competitive Position deepen relationships controls, and reduce risk • Sustained Growth of Lexus / Toyota Putting a Rapidly evolving • Increased competition from Non-captives, Credit Unions strain on IT business needs • Sustainedour customers Direct to Growth Increased met with could not be Aging Technology/ Toyota of Lexus • Direct to our dealers Competition the limitations of the legacy technology infrastructure © 2007 Toyota Financial Services - Confidential Copyright © 2007 Accenture All Rights Reserved.

Slide 4: We had a long way to go when we started our transformation to High Performance in 2003 Characteristics of Legacy System: Circa 2003 Complex, Expensive, and Inefficient Revolution To -Be Conceptual Application /Interface /Data Flow Diagram Vers ion 1.0.2 Release Marc h 7, 2006 25+ year old infrastructure was off-release and highly customized. To our business, this translated to: Legend Legend Spectrum ACH & Monetary To People soft Txn GL Information External Systems Demographic Information Internal Customer & Dealer Systems (DB Statement and Letters DRAFT Information Based) Internal Systems (JMS Vehicle Information TO TO Dealer Daily Lockbox Name Change Files Based) EDR -Customer Dealer Info - Household Pomona (LBX21) From RMS/ Agency and Dealer Info - Household Chicago (LBX22) Internal Agency Payment Credit Applications OCA - Mellon Bank (LBX27) Systems File (Mainframe) Service Request Application Reports DDCA OSCAR Pro cessing Discounting • High cost and long timelines for business System Account Information C ustomer DB Storage / Dealer UCM Demographic ODS Information Add RouteOne Application C ustomer (Master Customer & Inform ation Bank One Other Information C ustom er Dealer Data) Portfolio D elta C ustomer Demographic File Custom er Dem ographic Changes r equests Enterprise Service TO CREDIT Inform ation SCORING (inc Lease BillTo Address , C onsum er Type , Privacy ) Update Update Call Account Lockbox Setup Files C ustomer N ew Custom er Inform ation - Household Pomona (LBX1) Broadcast - Household Chicago (LBX2) Custom er C hanges (as - Household Chicago (LBX3) Vertex O Sales Tax R ates 3 New Booking , R einstate / Rebook, Account Transfer Broadcast - Mello n Bank (LBXB) Enterprise Services Update Dealer D ealer D em ographic changes ) Changes Draft Information What is the network connectivity r equirements C ustomer 1. Loan For these interfaces to work? Dem ographic 2. Payoff Summary Vint ek Information TIAP / Central Dealer Inquiry Fetch D ealer Type enhancements Inquiry VIN Verification Tables (Spectrum) 4 (Spectrum) VIN Verification Dealer Changes EDR UCM Privacy AddressChange 3. Sales 4. VIN R equests Tax Rate Verfication Update Broadcast C ustomer Privacy 6 C ustomer lookup Inquiry Inquiry CODE 1 Address Verification 5 Privacy Privacy Rules (Vertex O) (Vintek) C ustom er Dem ographic C hanges C ustomer 5. Address 6. Pr ivacy Possible Data Sources Privacy Verificaion Lookup Spectr um EOD GL Summary Privacy C hange U pdates Inquiry (UCM OD S Requests CDS (Code1) Pr ivacy) (Host / AS 400) Possible Data Sources New Booking , R einstate /R ebook, Account Transfer Account H istory Inquir y 1 Spectr um (R etail Today ) Dealer Plan Codes Central Dealer Table C om m ents, Acknowledgements from 7. Vehicle N ightly Batch Dealer Info OFSC Information Account History , Billing , Payoff Requests As-Is: Sent thru (CDT) D em ographic + D ealer Vol TBD FOCUS App from (EDR) From UCM Com ments D aily DMS Information PeopleSoft GL Summ ary Insurance U pdates ST ARs • Constrained, inflexible reporting and data insight from From Comments Branch Details EM AIL Text (C om m ent) EDR (Siebel CRM) EMS Privacy Service Request Pr ivacy Financial Account (full refresh) From C ollections Insurance C ollection Accounts H ost via History (UCM) To Stars N otes Tracking (Balboa ) Tibco Middlew are Payment Payoff Inquir y 2 Information Lease Financial Act ., customer , Spectrum vehicle info for states requiring Scr een Pop Branches vicarious insurance Payoff Inquir y (Act #, call code ) TREASURY Comments Credit Bureaus Last 3 Transactions Customer Overpayment & Inquir y To UCM Inb ound Score Info - Duplicate Dealer Reserve Invoices C redit Tapes (vol vol TBD Address Change Focus App Custom er / D ealer TRAC 2200000 ) Monthly File (dep. on acnt . review date ) Requests To support C hanges From U CM - CBI Tape Financial Account (full refr esh ) Retention & Custom er Privacy Updates - TRW T ape Last 3 Transaction Collections? WHOLESALE GL Info to Peoplesoft