Copyright © 2016, Oracle and/or its affiliates. All rights reserved. |

Woojin Kang Sales Consulting, Oracle Korea April 2017

Safe Harbor Statement

The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

Copyright © 2016 Oracle and/or its affiliates. All rights reserved. | 3 Copyright © 2016, Oracle and/or its affiliates. All rights reserved. |

VISION 2025

80% of Production Apps in the Cloud

2 Suite Providers Own 80% of the SaaS Market

100% of Dev/Test will be Cloud

Nearly All Enterprise Data will be Stored in Clouds

Enterprise Clouds will be the Most

Copyright © 2016 Oracle and/or its affiliates. All rights reserved. |

Cloud Impacts Every Industry and Every Geography

4

Various business situations should be considered

Data Sovereignty

Control

Latency

5

Data Sovereignty

Comply with regulatory, legal and privacy requirements

Sensitive data on premises

Custom security standards

Control

Keep control over business-critical systems

Use your own firewalls, load balancers, hardware VPNs, etc.

Extremely high SLAs

Latency Connect with back-end mainframes, databases,

ERPs, etc. with near zero latency

Dedicated infrastructure offers lower latency

6

Various business situations should be considered to categorization

• Core Software: Payroll, finance, HR, etc

• Differentiation Software: Warehouse management, logistics, web-facing .com, etc

• Innovation Software: Lab-type innovations – facial recognition, big data discovery, IoT, etc

Innovation Software

Differentiation Software

Core Software

Release Hourly

Fail Early

Agile

Business-centric

Top Line Growth

Bespoke Software

Product-based

Release Quarterly

Fail Late

Waterfall

IT-centric

Bottom Line Savings

Packaged Software

Project-based

DATA Development Contents Integration Analytics

Financial Services Manufacturing Education Communications service providers Retail

Monitoring & Management Security

Cloud Platform

Cloud Infrastructure

Compute Storage Network Container Ravello Cloud Machine

Communications service providers Financial Services Manufacturing Retail Education

Communications service providers

Communications service providers (CSPs)* are under attack from the competition and challenged by shifting customer demands, while aiming to monetize new opportunities and managing network growth.

CSPs look to the cloud • 71 percent of CSPs believe that a communications cloud could simplify

operations, speed time to market, and reduce overall effort. They believe cloud and NFV are the top opportunities to improve their competitive position.

NFV adoption continues • 60 percent of CSPs claiming progress with NFV believe that NFV will

achieve many objectives in the next two years. • Objectives around cost reduction and time to market may take longer,

but investments continue.

A tough environment, and getting tougher

• Improving the customer experience and keeping up with the pace of technical changes are the top CSP challenges, and becoming increasingly so.

• Regardless of competitive market position, CSPs generally feel best prepared to handle technical challenges. About half feel ready to conquer customer experience (CX) issues.

Looking for more than just technology suppliers

• While quality, cost, and reducing risk are important, more than half believe the most challenging communications cloud migration hurdles are nontechnical, and they think it’s more important for a cloud partner to provide access to information/expertise in addition to technology than to have only the best technical capabilities.

*Traditional telcos (incumbents and competitors), cable companies offering voice/data telecom services, wireless network operators, and mobile virtual network operators.

• Oracle Java Cloud, Oracle Database Cloud, Oracle Service Cloud • Migrating from on-premises leasing applications to Oracle Java Cloud and Oracle

Database Cloud • Oracle financial applications and associated storage infrastructure will scale to 50

million loans and leases, and cloud-based backup services significantly mitigate risk. • Knowledgebase, helping agents across all customer-facing departments capture and

share feedback from the company’s product pages, social pages, and contact center.

• Oracle PaaS to help prevent outages and increase performance and efficiency of its mission-critical Oracle and third-party applications.

• Oracle Management Cloud’s machine learning techniques enable us to proactively identify potential operational trouble spots even in our most complex applications, helping prevent failures.

• Oracle Mobile Cloud to build a secure IP backbone that delivers messages to 6 billion devices with exceptional reliability and scale. They relies on Oracle Cloud services to connect disparate and rapidly evolving networks, devices, and applications.

• Oracle Mobile Cloud to build a secure IP backbone that delivers messages to 6 billion devices with exceptional reliability and scale. They relies on Oracle Cloud services to connect disparate and rapidly evolving networks, devices, and applications.

Communications service providers

Communications service providers Financial Services Manufacturing Retail Education

Customers are Changing the Game Digital disruption and generational shifts are causing a few fundamental changes in customer

behavior that are rapidly influencing customer expectations from banks.

▪ A third of Millennials believe they will be able to live a bank-free existence in the future.

▪ 53% think their bank does not offer anything different than the other banks.

▪ 73% would be more excited by a banking solution from Google, Amazon, Apple, PayPal,

Square than banks.

Optimal Channel

Experience Personalization

Support For

Mobility

New Age Branches

For Self-Service

And Quick

Solutions

Engagement On

Social Channels

Financial Services

Financial Services

CHALLENGE

Customer Expectations Have Changed

The equilibrium of the relationship has

emphatically shifted to the customer

Product-Centric Approach

Too many origination solutions are product and Channel specific

Product-Centric Approach

Too many origination solutions are product- and

channel-specific

Engage with Prospects

92% of new accounts are researched online… engage with customers

Provide Customer-Centric

Solutions

Don't push products, propose solutions

Omnichannel Interactions

Enable cross-channel execution to optimize customer experience

SOLUTION

Financial Services

CHALLENGE SOLUTION

Complete Process Manage the complete end-to-end

customer on-boarding process

Comprehensive Product Support

Originate all types of bundled product Offerings with relationship-based pricing and centralized limits and

Collateral management

No Single Source of Truth

Banks have multiple sources for customer data,

product data, and documents

Inflexible Processes

Because of inflexible processes, 68% of new account origination still happens in the branch

Communications service providers Financial Services Manufacturing Retail Education

Manufacturing

Manufacturing is Complex… Never just Manufacturing many manufacturer still don’t have real time view of their own production lines, stock, and fulfilled orders. In many case, MRP is being run on a monthly basis with manual adjustment as needed

New complex products & services

• Continued growth through new products and news services have a significant impact existing processes.

• Competitive pressures require rapid business evolution

New generation of workers

• Millennials are rapidly taking over the workplace with system expectations that match their home experiences and new manufacturing technologies.

• Collaboration and ease of use are critical to user adoption

Focus on Revenue Growth

• Revenue growth is a top business driver for the entire enterprise

• Increased focus on developing new digital or service businesses to drive additional revenue

Focus on Agility and Costs • Market dynamics require systems that support production and

supply agility and cost reduction • Augment on-premise with Cloud to reduce IT spend

Manufacturing

Reduction in defects

48.9% 47.8% Reduction in unplanned downtime

17.5% Reduction in energy costs

34.8% Improvement in inventory turns

23.1% Reduction in new product introduction cycle time

16.2% Improvement in Overall Equipment Effectiveness

Critical Metrics set to improve with Smart Manufacturing… > Opportunity is significant

Manufacturing

Applying Data Mining/Data Science to Operational Technology + Informational Technology Data

제조업체의 수율,품질 향상과 제조원가의 절감을 위해 잠재된 기회를 도출하고 개선할 수 있도록 IoT,

In-Memory, Big Data, and Data Mining 의 기술을 활용하는 새로운 Class의 오라클 솔루션

DTC’s : Diagnostic Trouble Codes CAPA : Corrective and Preventative Action 8D: 8 Discipline of Problem Solving SCAR: Supplier Corrective Action Request

Ass

ets

Vo

ice

of

the

Big Data Collection

Big Data Analysis

Actions

Production and Operations

• Production Data

• Non-Conformances

Data Aggregation & Correlation

Early Detection Analytics

• Likes

• Dislikes

• Sentiment

• Complaints

• Claims Resolution & Audit Workflows

• CAPA (8D, 5 Why), SCARs and Reviews

Operations

Engineering

Field Service

Social + Web (Forums, Surveys, etc.)

Technical Assistance Center

Sales and Service Teams, Partners

Connected Asset • DTC’s

• Parameters

Root Cause & Containment

Analytics

Cu

sto

me

r Fa

cto

ry

1

2

3

Manufacturing

Production Monitoring

Fleet Monitoring

Asset Monitoring

Connected Worker

사업차량 (트럭, 버스,

정비 차량, 배달 차량)에

대한 실시간 모니터링

연결된 센서의 데이터로

부터 자산의 사용률,

가용성 모니터링

제조 공장, 장비 모니터링

및 사전 짂단

광산업, 엔지니어링 및

건설 업계 등에서의

직원 추적 및 현황파악

Communications service providers Financial Services Manufacturing Retail Others

Retail

Capitalizing on the Digital Influence Nearly one-in-three shoppers say they spend more when they use digital as part of their

shopping process.

▪ Mobile influence is up, but price checking is down

▪ Digitally-influenced consumers buy more and spend more

▪ 70% of consumers are using digital to drive their own journey and path to purchase

▪ Not all categories are equal

The Hyper-Connected

Consumer

Delivering on Your

Brand Promise

Blend The Physical

& Digital

Closing the Digital Divide

Retail

Cross Channel Customer Centricity

Customers expect high value, targeted assortments, competitive offers, and uninterrupted availability of brand across channels

Inadequate

& Non-integrated Systems

Aging, non-integrated and inadequate systems create issues

such as scalability and cost effectiveness

Pressure from competitors and focus on differentiation compels to

experiment with brand, store formats, web sites etc.

Business Model

& Format Changes

Difficult to track inventory across geographies and multiple vendors to fulfill customer orders in real-time

Complex Distribution Networks & Fulfillment Requirements

Retail Companies Must Continue to Transform

Retail

Augmenting Digital Platforms With New Capabilities for Retail

Retail

How Adaptive Intelligent™ Apps Work

Communications service providers Financial Services Manufacturing Retail Education

Education

The Print to Digital Paradigm Shift is the biggest change in education in 100 years… > The impact is massive. Because everything about instruction has been driven by the textbook-centric, instructor led physical classroom is now driven by digital technologies. From one-size fits all to customized to the needs, style, pace and goal of the learner.

Consumer learning On Demand Digital Choice Student Learning Path Insights

Mobile Social

Digital Changes Everything

61% of US schools have adopted

e-textbooks or digital content in a limited or siloed fashion

65%

Of US and Canadian

school districts are

transitioning to digital

learning environments

A Shift is happening

Education

30%

25% 19%

16%

10%

Supporting project-based learning

Providing personalized earning

Offering blended and virtual learning classes

Partnering with other institutions on advanced ourses

Following a flipped classroom model

Closed-Loop Student Success & Experience

Education

Enhance

Enhancing the impact of each engagement with students

Analyze

Analyze which students are veering off track

Predict

Predict which students are likely to fail

Prescribe

Prescribe meaningful interventions

IDENTIFY

PREDICT

PRESCRIBE

ENGAGE

ACQUIRE EMPOWER Knowledge

& Skills

ENHANCE

INTERVENE

ANALYZE

GROW Professional & Personal

DATA Development Contents Integration Analytics

Financial Services Manufacturing Education Communications service providers Retail

Monitoring & Management Security

Cloud Platform

Cloud Infrastructure

Compute Storage Network Container Ravello Cloud Machine

Incomplete Industry Offerings: Public Cloud

• Most standalone SaaS offerings are incomplete, limited functionality

• Integrating is difficult, time-consuming, inefficient

• Limited PaaS and IaaS

30

Enterprise SaaS

Sales

Service

Marketing

Modern HR

CPQ

Commerce

Incomplete Industry Offerings: Public Cloud

• Most PaaS solutions unaware of enterprise applications and infrastructure

• Requires substantial additional developer effort to integrate

• Delays application delivery with potentially unstable results

31

Enterprise PaaS

Incomplete Industry Offerings: Public Cloud

• Enterprise applications demand predictable, deterministic behavior

• Most public cloud IaaS deliver unpredictable performance

• May be unsuitable for many enterprise workloads

Enterprise IaaS

32

IT Buyers Will Need to Evaluate Vendors with New Lens

New Vendors

• Today’s tactical decisions are tomorrow’s IT architecture

New Decision Criteria

• Decisions must support public and private clouds working together as one

33

34

The Challenge: Connecting the layers, data center and public cloud

Bringing Cloud Agility to Enterprise Application Landscape

SaaS

PaaS

IaaS

• Integrated SaaS

• PaaS designed for enterprise applications

• IaaS designed for enterprise applications

• On-premises, off-premises or public cloud model on-premises

Off-Premises On-Premises

Oracle Cloud Platform

IDENTITY & SECURITY

CONTENT & EXPERIENCE

ENTERPRISE INTEGRATION

DATA INTEGRATION

BUSINESS ANALYTICS

PaaS Open

Hybrid Cloud

Comprehensive

Integrated

Compute Storage Network

IT OPERATIONS MANAGEMENT

APPLICATION DEVELOPMENT

DATA MANAGEMENT

Oracle Data Center Oracle Public Cloud

IaaS

Your Data Center Oracle Cloud at Customer

C@C

`

Complete Integrated Cloud Enterprise IaaS

NETWORKING

COMPUTE SECURITY

STORAGE

Designed and Optimized for Enterprise Workloads

Engineered Systems Services

B X Z P

IaaS Component Services

36

Putting it All Together – Reliable, Predictable, Flexible, Fast

Any middlebox – IDS/IPS,… Bare metal hosts VMs Engineered Systems

Physical Network

Datacenters Region

Virtual Network

Compute & Storage ?

Availability Domain 1

Availability Domain 2

Availability Domain 3

Bare metal w/NVMe

38

Oracle Cloud Machines

Installation and Configuration

Cloud Operations and Support

Cloud Administration

Oracle Cloud Operations

Customer Premises

* Future release

Cloud-model for Oracle Database

• Bringing cloud capabilities to Data Warehouse and OLTP

Exadata Cloud Machine

Cloud-model for General,

Java and Cloud-native

Apps

• Develop, deploy, manage Oracle and non-Oracle workloads

• IaaS and PaaS

Oracle Cloud Machine

Cloud-model for open Big

Data analytics, apps and

exploration

• Transform info into insight using enterprise Hadoop deployments

Big Data Cloud Machine*

Designed for Heterogeneous applications and Infrastructure

39

On Premise

Multi-product/vendor challenges Integration, UIs, data models, support… Scale and delivery model differences High viability and M&A risk Point in time, app specific state checks

Decreasing Visibility

CI/CD and DevOps multiply configuration

changes and shrink detection windows

Mobility and BYOD reduce endpoint control and

relevance of traditional perimeter

Limited visibility into user activity in growing cloud

based assets and infrastructure

Falling SOC Efficiency

SOC runbook automation challenging with

infrastructure evolution

More devices (IoT/mobile) and layers

(containerization) increase SOC load

More point security tools and log formats increase SOC staffing and training

burden

✔ ✔

✔

✔

Oracle Management Cloud - Security & Compliance

40

Improved Security and Risk Posture • Lower risk and cost of data breaches and security incidents

• Early detection of known and unknown threats

• Visibility across heterogeneous infrastructure, cloud assets

Greater SOC Efficiency • Fewer false positives and negatives

• Faster time to detection and remediation

• Reduced learning curve for SOC analysts

Rapid Time to Value • Delivered as a peta-scale cloud service

• Pre-packaged content for security and compliance

• Runbook templates for automation of SOC operations

Continuous security monitoring and configuration compliance assessment

ANY ACTIVITY Logs flows metrics transactions config (On-

premise,cloud)

ANY CONTEXT Assets Users Threats Vulnerabilities

ANALYTICS Correlation Rules Machine Learning Risk Scoring

SOC Analyst, Admin SOC Manager Incident Response Auditors CSO, CIO

FORMATS Dashboards Reports Search

DIMENSIONS Users Assets Threats

TRIAGE Incidents Workflow Configuration

RESPOND INVESTIGATE ANALYZE COLLECT

OMC Security & Compliance Data Flow

Oracle Identity SOC Solution

41

Content Security

User Security

Network Security

Security Posture Applications, data and user activity analytics, threat intelligence, and compliance

One-Stop SOC Dashboard

Automated Incident Response & Remediation

Oracle Management Cloud Security Edition

Cloud Security Service

Identity Cloud Service

API Platform Cloud Service

Strategy for IT Migration to Cloud

30% Retire Environment

15%

Oracle SaaS

Expose in existing PaaS Convert to Oracle PaaS Optimize & move to Oracle IaaS Lift and shift to Oracle IaaS

40%

10% Cloud@Customer

<5% Remain on-prem

43