Oracle Incentive Compensation (OIC) is the leading sales incentive compensation management solution. It has over 250 live customers including many large brands. OIC offers measurable ROI through reduced overpayment costs and improved compliance and sales morale. It provides powerful yet flexible plan design capabilities to align sales goals with corporate strategies. OIC can be deployed standalone or as part of the larger Oracle suite.

1. IT
Telecom
Retail
Manuf.
Successful Customers Select Oracle!

2. Oracle Incentive Compensation
Brad Holzer
Sue Guggenberger

3. Change Management Video

4. Themes for Today
• OIC is BEST of BREED and ERP
 #1 product in install base and recognized as such by our customers, peers
and analysts
 Native integration into current Oracle footprint
 Unmatched portfolio of customers
• OIC has MEASURABLE ROI
 Revenue Transactional Costs
 Overpayment costs estimated at 6% of commission spend (over $25m).
OIC reduces to 1% Deloitte benchmarking
 Compliance and controls
 Field Sales morale

5. • #1 in number of customers live
Oracle Incentive Compensation Market
#1 in Sales Incentive Compensation
Management
• Global market leader with:
 250+ live customers
 1,150,000+ payees in production
• Brand Name companies have
chosen OIC:
 Edward Jones; Dell; Yahoo; Cisco;
EMC; Symantec; Liberty Mutual;
Best Buy; Nordstrom; JC Penney.
• Broad industry coverage incl.
Mfg/Tech, Retail, Telco, Fin Serv
• Global market momentum &
references
• 500,000+ payees implementing
 Best Buy – 90,000
 Cisco – 13,000
 Edward Jones – 10,000
 JC Penney – 192,000
 Liberty Mutual – 30,000
• 1,150,000+ payees in production
 British Telecom – monthly plans for 18,000
agents
 JC Penney – 517 of 1100 stores live
 La Poste – 30,000 payees
 Nordstrom – quarterly targets & goals for
15,000 managers; 40,000+ total payees
45% Stand Alone

6. “Oracle has managed to support
clients with high scalability
requirements in terms of number
of payees (in the thousands) and
transactions (more than 1 million
per month).”
Clients “should consider OIC on
their shortlists.”
Michael Dunne, Gartner, 2007
Oracle “best-of-breed enterprise class solution” has “ the advantage of
offering a strong enterprise incentive compensation solution that [can be
deployed as] part of a larger suite of functionality … [or] standalone”.
Liz Herbert, Forrester, 2006
OIC Analyst Recognition

7. Why an Oracle EIM Solution?
• Sales Drives Your Company
• Align Sales Goals with Corp Strategy
• Need Central Control & Visibility
• Flexibility, Adaptable
• Simple Question…Complex Answer

8. A * B = C
Simple Question…
Who?
Eligibility?
Periodicity?
Corp Strategy?
Tiered Rates?
Draws?
Variable by Role?
Variable By
Resource?
Proportional Calcs?
Circular Calcs?
Splits?
Accelerators?
Multipliers?
Standardization vs
Flexibility?
Complex Answer
f(x) = x2 + 1

9. A * B = C
Simple Answer…

10. Oracle Incentive Compensation
Territory Mgr
Territories
Quoting
Quotes
ORACLE INCENTIVE COMPENSATION
Collect, Calculate, Pay
Resource Manager
Resources
Roles
Groups
Teams
Employees
Partners
Resellers
Vendors
Agents
Order Management
Orders
Receivables
Invoices
Billing
Credits
Payments
Payroll
Employees
Payables
Resellers
Vendors
Partners
Agents
Discoverer & out-of-the-box Reports
Commission Statements
Performance Reports
Year to Date Summary
Administrative Reports
+ End User Layer
Seeded Workbooks
Siebel Business Analytics
Compensation Data mart
Role based Dashboards
Flexible personalization
HR Comp
Total Comp

11. Powerful, Flexible Plan Design
Plan Elements, Formulas &
Calculations

12. Compensation Plan
Plan Elements
Incentive Compensation
Plan Structure Building Blocks
Software Sales
Rate Table
Formula
Eligible Products Rate Table
Formula
What? How? How Much?

13. FORMULA
Formula Components
Input
Expressions
Output
Expressions
Rate Table
Results
Red = Provided to Incentive Compensation
Blue = Calculated by Incentive Compensation

14. Percent of Target Commission %
0 - 0.25 * ITD Target 5
0.25 * ITD Target - 0.75 * ITD Target 10
0.75 * ITD Target - Target 15
Country Commission %
USA 5
Japan 4
Germany 7
Percent of Quota Commission %
0 - 25 0
25 - 75 1
75 - 100 3
Units Sold Commission %
1-250 2
250-500 4
500-99999999999 6
Amount: The rate dimension is defined in quantities.
Percent: The rate dimension is defined in percentages.
Expression: The rate dimension uses previously defined expressions.
String: The rate dimension uses alphanumeric data.
License Revenue Country Product Rate
0 – 250 USA Product X 1%
0 – 250 USA Service Y 5%
0 – 250 Japan Product X 1.5%
0 – 250 Japan Service Y 4.5%
0 – 250 Germany Product X 1.25%
0 – 250 Germany Service Y 6.25%
250 - 9,999 USA Product X 4%
250 - 9,999 USA Service Y 8%
250 - 9,999 Japan Product X 4.5%
250 - 9,999 Japan Service Y 7.5%
250 - 9,999 Germany Product X 4.25%
250 - 9,999 Germany Service Y 9.25%
Revenue Amount
0 – 250
250 - 9,999
Country
USA
Japan
Germany
Product
Product X
Service Y
Multidimensional Rate Table
Four types of Rate tables
Rate Dimensions

15. Multi-Dimensional Table

16. Incentive Compensation
Example Expression Builder

17. Complex
In English…
If Transaction Type = Product Sales, then multiply Rate Table Rate x (Gross Profit +
Rebate). Otherwise, multiply (Gross Profit + Rebate) x Rate Table Rate x 2.
Simple

18. Putting it all together…
Output Expression
Rate Table Results *
Transaction Amount
E.g.: 1%
“Quota
Attainment”
E.g.: 25%
Input Expression

19. Resource
Roles
Compensation Plan
Plan Elements
Lisa Jones
Outbound Rep
Computer Sales Rep Plan
Outbound Sales Representative
Assembled Computers
Eligible
Products
Formulas
Rate
Tables
Standard Computers
Eligible
Products
Formulas
Rate
Tables
Service
Eligible
Products
Formulas
Rate
Tables
What? How? How Much?

20. Demo

21. Themes for Today
• OIC is BEST of BREED and ERP
 #1 product in install base and recognized as such by our customers, peers
and analysts
 Native integration into current Oracle footprint
 Unmatched portfolio of customers
• OIC has MEASURABLE ROI
 Revenue Transactional Costs
 Overpayment costs estimated at 6% of commission spend (over $25m).
OIC reduces to 1% Deloitte benchmarking
 Compliance and controls
 Field Sales morale