Case Study:Simon Property Group Upgrades to JD Edwards E1 9.1

Headquartered in Indianapolis, IN, Simon is a global leader in retail real estate ownership, management, and development and a Standard & Poor’s 100 company (Simon Property Group, NYSE: SPG). Simon’s industry-leading retail properties and investments across North America, Europe, and Asia provide shopping experiences for millions of consumers every day and generate billions in annual retail sales.

The ProjectSimon turned to NOI Strategies, a Division of CohnReznick LLP, to manage an upgrade of a JD Edwards (JDE) World and Xe Co-Existent environment to JDE EnterpriseOne 9.1. The project included an upgrade of G/L, A/P, A/R, F/A, Real Estate Management, Job Cost, and Construction components as well as signifi cant report rationalization and redesign, movement of reports from FASTR and ERW to Insight, and redevelopment of custom interfaces including Hyperion Financial Management.

The JDE project allowed Simon to get code current on JDE; improve its security model; and implement business unit security, multi-currency, and JDE Sales Overage. It also eliminated the need to support two disparate environments, which as a result created effi ciencies in many business areas. In addition, Simon is now able to use the full suite of job cost functionality, as there were performance issues of job cost in JDE Xe.

NOI Strategies utilized its industry-leading JDE upgrade methodology to ensure the success of the project, which was completed on time and on budget. This methodology combines superior industry resources and processes to guide proper design and execution with technical accelerators that greatly reduce risk, provide control and quality assurance, and drive proper change-management policies.

The ChallengesRequirements gathering and the need for current technical documentation proved to be a very important component of the project. Simon has numerous interfaces and customizations and thousands of reports created over the last 15-plus years that had little or no current documentation. Business requirements needed to be gathered to justify redeveloping or upgrading these reports, customizations, and interfaces, and many had to be re-engineered because of the lack of current documentation. To remedy these issues, a full-time technical lead was assigned to the project to ensure on-time delivery and proper quality assurance.

NOI Strategies provided guidance on industry best practices and helped Simon avoid known issues and pitfalls during the data-conversion rounds. In addition, the NOI Strategies team was able to convert the World Construction and Contract Progress Payment processes to the EOne Contract and Payment Process. In addition, we also implemented Business Unit security in EOne without restructuring the entire user’s roles and responsibilities matrix.

Learn More About Simon Property Group’sUpgrade from JDE World to JDE E1 9.1 Wednesday, August 1910:30-11:20 a.m.Plaza Court 7Paul Ricci, NOI Strategies andAlan Devny, Simon Property Group

CohnReznick LLP © 2015This has been prepared for information purposes and general guidance only and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specifi c professional advice. No representation or warranty (express or implied) is made as to the accuracy or completeness of the information contained in this publication, and CohnReznick LLP, its members, employees and agents accept no liability, and disclaim all responsibility, for the consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it.

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Toledo, Ohio-based Health Care REIT (HCREIT) is a leading investor in healthcare real estate, with an investment portfolio that includes 1,411 properties in three countries and encompasses medical offi ce buildings, hospitals, and senior housing facilities.

The ChallengesHCREIT retained NOI Strategies to perform business diagnostic services and manage a chart of accounts (COA) redesign and JDE/HFM reintegration/data conversion project to address several growth-related challenges it faced.

One of HCREIT’s primary challenges was its accelerating pace of change and growth: the company was simply moving faster than its current systems and processes would allow. It also needed to align processes and improve visibility and operational effi ciency across diverse business segments. In addition, HCREIT’s organizational entity structure and COA were not aligned with legal entity and/or operational reporting needs.

In addition to these challenges, HCREIT struggled with manual consolidation processes that made it diffi cult to oversee the more than 4,000 companies and many different joint venture and minority interest structures it managed. HCREIT also needed the ability to report at both the operator and owner levels due to the nature of its joint venture structures, as well as the ability to respond effectively to both US GAAP and IFRS reporting requirements.

NOI Strategies’ SolutionNOI Strategies deployed a team to redesign HCREIT’s chart of accounts to create uniformity among business segments and to facilitate reporting requirements. NOI is also in the process of converting all of HCREIT’s data to the new COA using our proprietary conversion toolkit.

Project elements included:

• As part of a “triage engagement” in summer/fall 2014, NOI Strategies assessed HCREIT’s business processes and developed high-level future state processes that encompass business strategy and operating improvements and considers system capabilities. This assessment focused on the areas of Tax, Accounting, Budgeting and Forecasting, and Cash and Treasury.

Case Study:Health Care REIT Undertakes a Chart of Accounts and Entity Structure Redesign

Learn More About How Health Care REITUndertook a Chart of Accounts and Entity Structure Redesign Tuesday, August 181:30-2:20 p.m.Plaza Court 6Paul Ricci, NOI Strategies andMark Zinck, Health Care REIT

• Beginning in fall 2014, NOI Strategies began work on a JDE reimplementation initiative, which is ongoing.

• Our redesign of COA / Legal Entities encompassed a realignment of organizational entities in JDE to follow a more consistent structure that is aligned with overall reporting requirements across the company.

• A JDE and Systems Retrofi t – COA Conversion/Trial Balances initiative encompassed a conversion of COA and organizational entity data and a reimplementation of key JDE functionality and mapping to HFM.

HCREIT Reaps the Benefi tsHCREIT has reaped many benefi ts as a result of this project, including:

• A standardization of the company’s organizational structure and COA for all business segments, providing greater fi nancial and operational insight

• Automation of the month-end close and fi nancial consolidation processes to improve monthly and quarterly closes by 50%

• A savings of thousands of hours per year for the tax department, as HCREIT can now easily report at both the property, state, and legal entity levels

• Creation of a master data-management governance process to ensure that COA and organizational entity structure is controlled and remains intact

In addition, NOI was able to gather detailed business requirements from multiple disciplines throughout the organization and utilize those requirements to create a uniform Company, Business Unit, and Account structure. Parallel to this effort, NOI reevaluated the use of JDE and HFM and leveraged the COA design to enhance the utilization of each tool.

NOI Strategies: Unmatched JDE Consulting ExperienceNOI Strategies’ team members possess deep technical and industry knowledge with signifi cant experience managing JDE upgrades and chart of accounts analysis and redesign, with particular knowledge of the real estate investment platform. The team averages more than 15 years of JDE experience—as a consultant on multiple implementations, as a user, or by working for Oracle/JDE directly. Their JDE expertise is complemented by hands-on experience in solutions companies, software vendors, and major professional services organizations. Seven out of ten worked at solutions companies prior to joining NOI Strategies. Every member of the team has either come directly from the industries we serve or has worked in a line capacity on our engagements.

For more information on NOI Strategies and our services, visit www.noistrategies.com or contact Paul Ricci, Partner, at 973-618-6265.