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Liviu GhermanSales Manager Fusion Middleware

Oracle Romania

Business Agility:

The Main Driver of Competitiveness

2

The 100$ Question

3

The 100$ Question

How do you spur

economical growth in such

an Environment?

• Create Jobs?

• Lift Living Standards?

• Generate Economic Dynamism?

4

Sustainable GrowthReforming vs Cost Cutting

• Adapting and changing

• Continuous Innovation

• Experimenting new things

• Fighting Conventional wisdom

Raise Productivity

CREATIVE DESTRUCTION Economist Joseph Schumpeter

5

Rate of Creative Destruction

Average

65 years

1920

Average

9 years

2010

6

• More information available, higher expectations from business managers

• Customers addicted to instant gratification in this multi-channel world

• First mover’s advantage critical

Faster Market Pace

• Uncertainty reigns supreme

• Mandates business agility

• Optimization and efficiency focus continuesVolatile Economy

Business Consequences

©2010 Oracle Corporation Oracle Confidential 6

7

The quest for Value Creation

Efficiency

level

Time1776 1911 1990 2010

Process

Combination

Process

Rationalization

Adam Smith

Process

Industrialization

Taylor and Ford

Process

Automation

Michael Hammer

8

Business Excellence

TECHNOLOGY EXCELLENCE

OPERATIONAL

EXCELLENCE

MANAGEMENT

EXCELLENCE

9

Operational ExcellenceThe Basis

OPERATIONAL

EXCELLENCE

COST

QUALITY

SPEED

Goals:

1. Operating on the efficiency frontier

2. Freeing up resources to invest in value creation

Get the most out of what you have

10

Operational ExcellenceThe Efficiency Frontier

11

Management ExcellenceThe Perspective

MANAGEMENT

EXCELLENCE

SMART

AGILE

ALIGNED

Goals:

1. Plan to Act

2. Analyse to Adjust

Maximizing your return

12

Management ExcellenceThe Perspective

13

Technology ExcellenceThe Enabler

TECHNOLOGY

EXCELLENCE

COMPLETE

OPEN

INTEGRATED

Goals:

1. Aligning the Business Strategy to the IT Strategy

2. Giving you maximum options

Allowing it to happen

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Technology ExcellenceThe Enabler

15

???

16

REDEFINING THE INDUSTRY

17

Our Mission

Reducing Complexity and Delivering Business Value by building Open and Complete Stacks

Get Better Results

Get Better Information

18

Current Costs Today

• Companies need to

reduce the IT funds

dedicated to

Maintenance in order to

• (1) Redirect their IT

investments towards

strategic projects supporting

differentiated processes and

capabilities, and/or

• (2) Reduce IT costs

Companies spend 80% of their IT budgets just to keep the lights on

Shift IT Spending from Operations

to Strategic Investments

Maintenance

Strategic

Investment

Maintenance

Strategic

Investment

Savings

Annual IT

Spend

“At least two-thirds of all IT spending is just to sustain the business, not to change or transform the business.

The investments allocated to do new things, to change the business, are usually low, no more than 20 percent,

and the investment in innovations which could transform the business is even less.”

- Gartner-

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Executing On Our Mission

Continued Innovation Leverage Next Generation Technology

Reduce Complexity and Customization Complete and Integrated suite of Products

Lower TCO Taken labor cost out of the equation. Software based Integration

Higher Return Allow you to innovate faster

Commitment to our

Customers

20

Customer Benefits

• Engineered to work together

• Tested together

• Certified together

• Packaged together

• Deployed together

• Upgraded together

• Managed together

• Supported together

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Changing paradigm

MfgCRM

FinancialsOrder

Mgmt

Partner

System

OperationsSales Accounting

Company

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Aligning IT with Business

Value Creation Increasing System Complexity

Reduce Costs

Faster to Market

Innovate

Globalize

Business Integration

Intelligence & Analysis

Applications & Services

Infrastructure

Security & Compliance

Data & Content

Application Development

Enterprise Mgmt

and so on

Technology SupportBusiness Goals

Business - IT Alignment

Industry Context

Enterprise Architecture

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Aligning IT with Business

Value Creation Increasing System Complexity

Reduce Costs

Faster to Market

Innovate

Globalize

Business Integration

Intelligence & Analysis

Applications & Services

Infrastructure

Security & Compliance

Data & Content

Application Development

Enterprise Mgmt

and so on

Technology SupportBusiness Goals

Time

Strategy

Execution

GapBusiness

Evolution

IT Systems

24

Performance Demands DifferentiationInvest in Agility Where You Achieve Competitive Advantage

Enterprise Processes

Value Creation:

Domain of

Differentiation.

Business

Agility

Core Value-Creating ProcessesCore Value-Creating Processes

Innovation of

Products

and

Services

Customer

Acquisition

and

Retention

Fulfillment

Operations

Talent

Acquisition

and

Retention

Financial Management

Compliance

Human Resources

Domain of Best

Practices

Economies

of Scale

25

Business Agility Closing the Strategy Execution GAP

Time

Strategy

Execution

Gap

Business

Evolution

IT Systems

Time

Strategy

Execution

Gap

Business

Evolution

Traditional

IT Systems

26

Oracle Exalogic Elastic CloudSoftware. Hardware. Complete.

Building the 21st Century Datacenter

TECHNOLOGY EXCELLENCE

OPERATIONAL

EXCELLENCE

27

Enterprise Application ConsolidationOne platform engineered for the whole enterprise

• Cost containment and IT

agility

• One system to buy, deploy

and maintain

• Increase velocity and flexibility

• The path to mission

critical cloud

• Open platform

• Support varied workloads

• Application isolation

• Scalability and elasticity

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Oracle Fusion Middleware

Application Grid

Content Management

Business Intelligence

SOA & Process Management

Data Integration

User Experience

Enterprise Management

IdentityManagement

Development Tools

OPERATIONAL

EXCELLENCE

29

Oracle Fusion Middleware

Application Grid

Content Management

Business Intelligence

SOA & Process Management

Data Integration

User Experience

Enterprise Management

IdentityManagement

Development Tools

MANAGEMENT

EXCELLENCE

30

Oracle Fusion Middleware

Application Grid

Content Management

Business Intelligence

SOA & Process Management

Data Integration

User Experience

Enterprise Management

IdentityManagement

Development Tools

TECHNOLOGY

EXCELLENCE

3131

Business Agility

• How much time do you need to prepare your IT systems to

support the new business initiatives?

• Are your key Business process clearly documented and

modeled?

• Can Business people articulate requirements clearly to IT?

• How quickly can you launch a new business product or service?

• How easily can you change/Adapt your business processes?

• How much time does it take you to respond to a competitor’s

offering, or new Legislation?

32

New Mind Set

The more you spend on IT

the worse results you get!

No Agility Business Agility

IT Budget Utilization

33

• Cutting cost alone does not cut it anymore

• Fundamentally rethink how to create value.

• Investing in Business Agility pay off

Summary

http://www.oracle.com/us/solutions/thoughtleadership/index-069942.html?origref=http://www.oracle.com/index.html

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A COMPLETE STORY FOR A FRAGMENTED INDUSTRY

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Agenda for the rest of the Afternoon

Application Grid

Content Management

Business Intelligence

SOA & BuisnessProcess Management

Data Integration

User Experience

Enterprise Management

IdentityManagement

Development Tools

1.

6.

5.

4.

3.