seismi case study | oracle mining event | santiago de chile | 15 march 2012
DESCRIPTION
Seismi were invited to present a recent case study of a recent Oracle Hyperion DRM (Data Relationship Manager) and EPM installation. The case study outlines the benefits that Oracle DRM can deliver particularly the elimination of the risks of human middleware and the introduction of a fully automated and integrated financial process. There is a description by Seismi's client's CFO and project sponsor at the outset as well as the client's reaction to the solution, which Seismi continues to support. The case study highlighted the flexibility of DRM to be at the core of its network and its ability to integrate with multiple vendorsTRANSCRIPT
EPM | Success Case Study
José Mar4nez & Jérôme Marcq
15 March 2012
Agenda
4. Ques4ons
2. Case Study | Context
1. Masterdata Governance Overview
3. Case Study | Solu4on
Finance Func4on | Human Middleware
Transac4onal Repor4ng
Analy4cal Repor4ng
Consolida4on Budge4ng and Forecas4ng
Human Middleware
Chart Maintenance
Manual Cost Time Accuracy
Finance Func4on | Masterdata Governance
Transac4onal Repor4ng
Analy4cal Repor4ng
Consolida4on Budge4ng and Forecas4ng
Chart Maintenance
Masterdata Governance
Automated Control Centralised Standardised Flexible Robust
Oracle Planning Oracle HFM
Oracle Essbase
Oracle DRM
Why masterdata governance ( )?
INTEGRATED SYSTEMS AND AUTOMATED PROCESSES (With Masterdata Governance)
Vs
SILOED SYSTEMS AND MANUAL PROCESSES (Without Masterdata Governance)
Agenda
4. Ques4ons
2. Case Study | Context
1. Masterdata Governance Overview
3. Case Study | Solu4on
Case Study| Technical Overview
ERP – Mincom Ellipse
En44es – More than 15
ERP Account Codes – Approximately 220,000 account codes organised into mulBple charts of accounts
Group Consolida4on Tool – Oracle Hyperion Financial Management
Rela4onal Repor4ng Tool – Business Objects
Analy4cal Repor4ng Tool – Oracle Essbase
Chief Financial Officer
Pain Points | Ini4al Situa4on (Feb 2010)
The issues we faced included: • an inconsistent chart of accounts; • mulBple off-‐book adjustments; • core financial reports that were produced using several applicaBons and sources of data; • a systems landscape that had proliferated following historic mergers; and finally, • an integraBon with the Group consolidaBon tool which relied heavily on manual processes.”
“In our Company we recognised that we needed to make our financial processes and supporBng IT infrastructure more effecBve.
CFO| Objec4ves (1)
Auditable -‐ provide consistent audited data allowing the business to understand the calculaBons underpinning every reported number
Standardise -‐ create a standardised view of Company allowing direct comparison between mining operaBons on different Charts of Accounts & finance system plaXorms
P
P
P
P
Repor4ng & Analysis -‐ provide a standard, efficient method for generaBng reports, and free-‐up expensive business resource to analyse informaBon
Budge4ng -‐ Align budgeBng processes to the chart of accounts
Cost Saving – cut head count & reduce cost in the Finance & IM funcBons P
CFO | Objec4ves (2)
Integra4on -‐ Automate data transfer between key applicaBons
Systems Consolida4on – remove unnecessary applicaBons and simplify systems landscape
P P P P P
Future Proof -‐ deliver a finance hub that will adapt to the Company’s evolving strategy of organic and acquisiBon based growth
Control -‐ single point of governance for the ERP Ellipse, ReporBng, BudgeBng and mapping to HFM
Rapid Deployment -‐ deliver measurable business benefit within 6 months
P Data Integrity -‐ eliminate off-‐book adjustments
The reac4on to Seismi’s new solu4on has been overwhelmingly posi4ve.
Chief Financial Officer
It has given the finance team the control we need over our repor4ng solu4ons, whilst the reports themselves provide accurate, reconcilable informa4on to our management in a 4mely and effec4ve manner. It is envisaged that significant management 4me previously spent reconciling systems will be saved as a result of the project. Its flexibility and scalability will allow us to adapt to ongoing Group or local ini4a4ves that my finance team will face. The work performed by Seismi has been expertly managed and executed in all areas. We believe that the solu4on they have delivered is world-‐class."
Tes4monial | Sponsor (Sep 2010)
Agenda
4. Ques4ons
2. Case Study | Context
1. Masterdata Governance Overview
3. Case Study | Solu4on
Solu4on Overview
Logical Solu4on | DRM
CoA Layer (General Ledger Governance)
Standardisa4on Layer
Reports Layer
No limit to the number of reports that can be defined Ability to drill in to transacBons, work orders, equipment, etc
Standard view of the Company mining business Standardised calculaBon library for KPIs (financial and non-‐financial informaBon)
Controls the creaBon of accounts in General Ledger
Validates each account created is mapped to the standardisaBon layer
Impact on End Users
Minimal change management – with the excepBon of the 7 key users there was minimal impact on end users and as such no disrupBve, risky and costly change management project required.
Self sufficiency -‐ the intuiBve interface allows the 7 key users to manage DRM without costly external technical support.
Stable and robust – only two Bckets have been raised to our Level 2 support providers (Seismi).
Solu4on Component | DRM Audit capability -‐ every acBon is logged and Bme stamped
Control and integrity -‐ enforce correct data entry and validate against defined business rules
Security -‐ limit access by business funcBon and / or geography and limit access according to needs
Logical hierarchy -‐ align CoA to key business hierarchies to opBmise reporBng and increase transparency
Versioning -‐ take copies of reporBng hierarchies, CoA and reports to allow a snapshot of the business at any given term
Centralised -‐ single source of the truth for all core business metadata (CoA, Management Reports & Mappings)
16
Vendor agnos4c – requirement for a tool that would work with any applicaBon provider given the different tools and vendors
Benefits (1)
Governance 20% ReducBon in effort during the month end process
Repor4ng Integra4on
Month End ProacBve not reacBve masterdata governance
Reduced reconciliaBon burden
Rapid, automated & reliable integraBon
Accuracy
Deployment
Improved management confidence in reported numbers
ProacBve error trapping through business rules not reacBve error resoluBon through human middleware Accurate and Bmely
informaBon provided from both the general ledger and EPM soluBons
Core business masterdata can be rapidly deployed to new acquisiBons
Core business reports can be rapidly deployed to new acquisiBons
Flexibility Core EPM soluBon "de-‐coupled" from ERP. A change to the ERP will not fundamentally effect the EPM reporBng layer
Benefits (2)
Governance Repor4ng Integra4on
Maintenance Maintaining the masterdata across mulBple applicaBons requires less people
Reduced cost deploy new reports
Decommissioning applicaBons, simplificaBon of systems landscape and improved robustness reduce support burden
Change Management
Ownership
EffecBve change management of core business masterdata
ApplicaBon masterdata owned and changed by business people
Reports owned and changed by business people
Risk Internal and External audit approved (removed red flag)
EffecBve change management of core business reports
Mappings owned and changed by business people
Month and year end risk reduced
Minimal Impact on organisaBon (people, infrastructure). PosiBve change for Finance
Future – Easing future implementa4ons
Business Modelling & Chart Design
Strategy & Architecture
ERP & EPM Solu4ons
Integration
DRM EPMA
HFM Essbase
Hyperion Planning
ODI Data Warehouse
BO OBIEE
Other ERP
EBS
HSF
Ellipse
Legacy Systems
OBI Apps
Fusion
Technologies
FDQM
Agenda
4. Ques4ons
2. Case Study | Context
1. Masterdata Governance Overview
3. Case Study | Solu4on
Ques4ons
Contact Details -‐ LATAM
Jose Mar4nez Contreras Partner and Consultant
Email: [email protected]
Tel: +56 -‐ 9 9599 0357
www.seismi.net