of 42
8/22/2019 Mgmt Reporting With Oracle Essbase
1/42
Management Reporting with
Oracle Essbase
Yang Yang
Business Intelligence Sales Consultant
8/22/2019 Mgmt Reporting With Oracle Essbase
2/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 2
Agenda
Management Report challenges
Value of Essbase
Demonstration
Q&A
8/22/2019 Mgmt Reporting With Oracle Essbase
3/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 3
Different Questions Used for Measuring and
Improving Performance
Ad-Hoc Query& Analysis
StandardizedReporting
FuturePast
Forward-looking
Questions
Historical
Questions
Situational
Questions
Modeling andForecasting
Present
8/22/2019 Mgmt Reporting With Oracle Essbase
4/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 4
The Challenges to Answering Forward
Looking Questions
Time-consuming Management reportingand Variance analysis
Users living in spreadsheet hell
Inability to build new scenarios3
2
1
8/22/2019 Mgmt Reporting With Oracle Essbase
5/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 5
The Challenges to Answering Forward
Looking Questions
Time-consuming Management reportingand Variance analysis
Users living in spreadsheet hell
Inability to build new scenarios3
2
1
8/22/2019 Mgmt Reporting With Oracle Essbase
6/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 6
Management Reporting is Part of a Broader
Analytical Ecosystem
ManagementReporting
OperationalAnalytics
FinancialReporting
8/22/2019 Mgmt Reporting With Oracle Essbase
7/42Copyright 2009, Oracle and / or its affiliates. All rights reserved. 7
Management Reporting is a Process
CXOs and Managers Knowledge workers Analysts
Helps understand
Risks and future implications Of business alternatives and decisions
Many iterations New data created Forward looking Variance & what-if
analyses
Multiple data sources Financial KPIs andOperational KPIs
Frequent updates
Budgets -Financial &Operational
Forecasts -Financial &Operational
Operational Data - Actuals
8/22/2019 Mgmt Reporting With Oracle Essbase
8/42Copyright 2009, Oracle and / or its affiliates. All rights reserved. 8
Why are Cubes Important?OLAP Data Powers Management Reporting
Highly Efficient Data Storage
Very Fast Data Access andRetrieval
Data Organized in
Dimensional Model, Easy forEnd-users to Understand
Creates new Information viaWrite-back to Power What-ifScenarios
Powerful DimensionalCalculation Engine
8/22/2019 Mgmt Reporting With Oracle Essbase
9/42Copyright 2009, Oracle and / or its affiliates. All rights reserved. 9
Forward-looking Analytic EngineFast and Simple with Essbase
Powerful Calculator Hundreds of built in functions and algorithms Trending
Goal seeking
Procedural calculations
Financial Intelligence Critical for Variance Analysis, understands better /
(worse)
Essbase understands Financial Data andCalculations
Time Balances
Time Intelligence Time Series calculations are hard to do
Yet, an extremely common BI requirement
Essbase makes it very easy at any level, anydimension, for any type of calendar
8/22/2019 Mgmt Reporting With Oracle Essbase
10/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 10
Forecasting
Scenario comparison
Trending
Goal seeking Procedural calculations
Custom Calculations
What if testing
Essbase is a Powerful CalculatorHundreds of Built-in Functions and Algorithms
8/22/2019 Mgmt Reporting With Oracle Essbase
11/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 11
Intelligent Metrics Deliver InsightTime Consuming & Complex to get Multiple Views
Formulas for summarizing data can be sophisticated
Not just SUM, AVG, MAX and MIN
Different types of aggregations for the same views of data
How can you guarantee results when youre navigating / drillingthrough your data?
Last value Sum
Oct Nov Dec Q4 Oct Nov Dec Q4
Sales 80 87 87 87 1,200$ 1,100$ 1,500$ 3,800$
Marketing 42 40 41 41 800$ 870$ 940$ 2,610$
Consulting 39 46 46 46 450$ 480$ 510$ 1,440$
Tot. Field Teams 161 173 174 174 2,450$ 2,450$ 2,950$ 7,850$
Headcount Expenses
8/22/2019 Mgmt Reporting With Oracle Essbase
12/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 12
Financial IntelligenceFast and Simple with Essbase
Critical for VarianceAnalysis
Essbase understandsFinancial Data andCalculations
Beyond simple aggregation
Time Balances
Sophisticated Functions
Currency Calculations
8/22/2019 Mgmt Reporting With Oracle Essbase
13/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 13
Time IntelligenceFast and Simple with Essbase
Time Series calculations are hard to do
Yet, an extremely common BI requirement
Essbase makes it very easy at any level,any dimension, for any type of calendar
Totals, Averages, Cumulative,
Max/Min, other calculations for:
H-T-D (history-to-date)
Y-T-D (year-to-date)
S-T-D (season-to-date)
P-T-D (period-to-date)
Q-T-D (quarter-to-date)
M-T-D (month-to-date)
W-T-D (week-to-date)
D-T-D (day-to-date)
Prior, Next, Other periodcomparisons
8/22/2019 Mgmt Reporting With Oracle Essbase
14/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 14
Dynamic Time Analysis
Any Type of Time Analysis One Outline
8/22/2019 Mgmt Reporting With Oracle Essbase
15/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 15
The Challenges to Answering Forward
Looking Questions
Time-consuming Management reportingand Variance analysis
Users living in spreadsheet hell
Inability to build new scenarios3
2
1
8/22/2019 Mgmt Reporting With Oracle Essbase
16/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 16
Most Modeling is Done Here!It is a Good Departmental Tool, but
Disconnected
Data Security Risks
Error-prone
Doesnt scale No controls / audit trails
8/22/2019 Mgmt Reporting With Oracle Essbase
17/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 17
Users are Accustomed to Spreadsheets
Spreadsheets are inefficientfor more than two dimensions
Data (Measures) for eachcombination of Row byColumn
E.g., Sales for Qtr1 = 95,820
Measures
Time
8/22/2019 Mgmt Reporting With Oracle Essbase
18/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 18
But Business is More than Two Dimensions
We typically look at more thantwo dimensions (multi-dimensional)
So what do we do?
Add more column headers!
In our example:
Total Market BY TotalProduct, Actual Sales for Qtr1= 95,820
Creates HEADACHES!
Measures
Time
Scenario
MarketProduct
8/22/2019 Mgmt Reporting With Oracle Essbase
19/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 19
Multi-Dimensional = Multi-Sheet
Add a sheet for each market
4 Markets + Total = 5 Sheets
The problem exacerbates
Market(s)
8/22/2019 Mgmt Reporting With Oracle Essbase
20/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 20
Multi-Sheet = Nightmare
How about by Product and by Market?
5 Markets BY 500 Products = 2500 Sheets!
What about by Industry too?
Welcome to Spreadsheet Hell
8/22/2019 Mgmt Reporting With Oracle Essbase
21/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 21
The Solution: Eradicate Spreadsheet Hell
Essbase Provides the Best of Both Worlds
Use the same familiar tools, Excel, Word, PowerPoint
Achieve Speed of Thought response time
Benefit from a centralized enterprise-scale solution
Oracle Essbase
8/22/2019 Mgmt Reporting With Oracle Essbase
22/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 22
The Challenges to Answering Forward
Looking Questions
Time-consuming Management reportingand Variance analysis
Users living in spreadsheet hell
Inability to build new scenarios3
2
1
8/22/2019 Mgmt Reporting With Oracle Essbase
23/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 23
Volatility Demands Rapid Scenario ModelingCommodity Prices, Energy Prices, Interest Rates
8/22/2019 Mgmt Reporting With Oracle Essbase
24/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 24
But Models are Constantly EvolvingDynamic, Iterative Processes Drive New Questions
McDonalds: application that collects POS data every15 minutes to monitor & model customer service levels
Alcoa: marketing application called SMART (StrategicMarketing Analysis and Reporting Tool) for tracking and
modeling product profitability across 29 dimensions
Southwest Airlines: application for modelingfuel costs and demand (98% forecast accuracyafter the 9/11 crisis)
8/22/2019 Mgmt Reporting With Oracle Essbase
25/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 25
Hundreds of Spreadsheet Models
Throughout the Organization
ExecutiveManagement
Finance HROperations /Manufacturing
Sales &Marketing
Workforceplanning
Impact analysis Benefits models
Customer & StoreProfitability
Demand Planning Merchandise
Planning
Customer Sat
Parts Management
Supply chain cost
optimization Resource
Management
Warehouseprofitability
Variance analysis
Project / initiative
funding models Valuation
Risk Management
How manydoes your
organizationhave?
8/22/2019 Mgmt Reporting With Oracle Essbase
26/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 26
Forward-looking Analytic Engine
Oracle Essbase
Multi-user write back Uninterrupted analyses
Secure, shared, single version of the truth
Fast and Intuitive
Data shown how users see ittree structure Centralized
Functions, calculations, aggregations
Oracle Essbase
8/22/2019 Mgmt Reporting With Oracle Essbase
27/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 27
Centralized Complex CalculationsEasy to Define, Validate and Maintain for All Users
8/22/2019 Mgmt Reporting With Oracle Essbase
28/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 28
Oracle EssbaseForward-looking Analytics
Pain
Time-consuming Managementreporting & Variance analysis
Users living in spreadsheet hell
Unable to build new scenarios
Unique Value
Financial & Time Intelligence
Centralized multi-user writeback modeling environment
Centralized complex
calculations
8/22/2019 Mgmt Reporting With Oracle Essbase
29/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 29
Providing Enterprise-class OLAPMost Scalable Online Analytic Processing Technology
Multiple and cross platform deployment Unix and/or Windows
32 / 64-bit
Application optimization
Partitioning
Clustering
Tuning
Trickle Feed
8/22/2019 Mgmt Reporting With Oracle Essbase
30/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 30
Providing Top Performance Scalability
Market-leading OLAP Architecture
294
162
0
50
100
150
200
250
300
350
CompetingVendor
Essbase
11.9
83
7
0
10
20
30
40
50
60
70
80
90
CompetingVendor
Essbase CompetingVendor
Essbase
Load & CalculationIdentical Hardware(Minutes)
Query Response50 Concurrent Users(Seconds)
CPU Utilization50 Concurrent Users(%)
0.010
2
4
6
8
10
12
14
8/22/2019 Mgmt Reporting With Oracle Essbase
31/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 31
More Than 30,000 Users
5,000 views & reports
Sales
HR
Purchasing
Finance
24 x 7 availability
Maximum query time
less than 4 seconds
We realized we needed apowerfu l OLAP systemonethat was highly d imensional and
detailedthat cou ld provide
speed of tho ught respon se fortens o f thous ands of u sers. We
selected Hyper ion because it
met ou r scalabi l ity and
performance requirements.
8/22/2019 Mgmt Reporting With Oracle Essbase
32/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 32
Better Information, Better Decision-makingComprehensive Intelligence Across Operations
Before
Existing system incapable of scalingfrom 1000 to 1500 users
Complex environment - only 40% ofusers were accessing existingsystem
Spreadsheet based with no
standardization of business rules Cumbersome to integrate
information across businessfunctions.
Walmart Stores, Inc., is one of the preeminent retailers
worldwide with more than 7000 stores operating in 14countries. Serving more than 176 million customersper week.
After
Scalable, easy to use, collaborativemerchandise planning application
Winner of the Walmart TeamInnovation award
Expanding to include integratedanalytics across major operations,
including logistics, transportation,category management, finance, humanresources, real estate and operations
Repeatable solution rolled out atWalmart International
8/22/2019 Mgmt Reporting With Oracle Essbase
33/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 33
Oracles Integrated Analytic Solution
8/22/2019 Mgmt Reporting With Oracle Essbase
34/42
Demonstration
8/22/2019 Mgmt Reporting With Oracle Essbase
35/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 35
Essbase Demonstration
Powerful Querying
Comprehensive Calculation
Writeback and What-if Analysis3
2
1
8/22/2019 Mgmt Reporting With Oracle Essbase
36/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 36Copyright 2009, Oracle and / or its affiliates. All rights reserved. 36
8/22/2019 Mgmt Reporting With Oracle Essbase
37/42
Appendix
8/22/2019 Mgmt Reporting With Oracle Essbase
38/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 38
Essbase & Oracle OLAPComplementary, Strategic, Better Together
Oracle Essbase Oracle Database OLAPOption
Purpose
BI & analytic applications builtand maintained by businessanalysts.
Accelerate query performancein an Oracle DW
Buyer Line of Business (LoB). IT
Typical End Users
Line of Business users whoquery and create data withinEssbase tools and OLAPapplications.
Users of SQL-based businessintelligence tools who querydata in the database.
Data Management
Strategy
Easily combine data from a
wide variety of data sources.
Optimized for data in the
Oracle database.
ArchitectureOLAP in a server, part ofFusion Middleware
OLAP in the Oracle Database
8/22/2019 Mgmt Reporting With Oracle Essbase
39/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 39
Powerful Product Volume ForecastingForecast Speed and Accuracy for 30,000 Products
Before
Unable to analyze at productvolume forecast details
Only working with summarized data
Cumbersome to create forecasts forunderstanding product volumes
One month to create forecast baseduser input
Difficult to merge internal invoiceand master data with third-partysyndicated data and user input
Worlds 6th largest food company, $15.9 billion in FY09net sales. Brands marketed in more than 100countries, more than 30,000 employees.
After
Product-level forecasting leveraging 4years of weekly volume data for 30,000base products for 5 versions for each ofthe 15 forecast scenarios.
Iterative what if process quicklyrestates all products for an entire
divisions forecast. Delivers forecast results at the speed
of thought for top-down, bottoms-upand middle-out methods.
8/22/2019 Mgmt Reporting With Oracle Essbase
40/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 40
Better Information, Better Decision-makingComprehensive Intelligence Across Operations
Before
Existing system incapable of scalingfrom 1000 to 1500 users
Complex environment - only 40% ofusers were accessing existingsystem
Spreadsheet based with no
standardization of business rules Cumbersome to integrate
information across businessfunctions.
Walmart Stores, Inc., is one of the preeminent retailers
worldwide with more than 7000 stores operating in 14countries. Serving more than 176 million customersper week.
After
Scalable, easy to use, collaborativemerchandise planning application
Winner of the Walmart TeamInnovation award
Expanding to include integratedanalytics across major operations,
including logistics, transportation,category management, finance, humanresources, real estate and operations
Repeatable solution rolled out atWalmart International
8/22/2019 Mgmt Reporting With Oracle Essbase
41/42
Copyright 2009, Oracle and / or its affiliates. All rights reserved. 41
No More Spreadsheet HellImproved Performance Visibility and Service Quality
Before
Excel cumbersome, manuallymaintained (store managers phonedin results)
Data discrepancies, low confidencein the numbers
No standard set of performance
measures, lack of detail for analysis
Operators and managers spent a lotof time gathering data, less onrunning the business
Third largest pizza chain in the US
3000 locations worldwide
More than $1 billion in sales
After
Improved availability of data (fromhours to 30 minutes)
Standard set of measures
Improved quality of service (ordercompleteness improved, out thedoor time reduced 10%, higher
customer satisfaction scores)
Faster identification and reaction totheft issues
8/22/2019 Mgmt Reporting With Oracle Essbase
42/42
Analytic Scalability Enterprise-wide
Human
Resources Finance
Executive
Management
Development
& Delivery
Sales &
Marketing
http://www.hbosplc.com/home/home.asp