W ELCOME D YNAMICS AX I MPLEMENTATIONS : B EST P RACTICES AND L ESSONS L EARNED M AY 14 TH, 2015

Microsoft Gold Certified Partner Dynamics AX, GP, and CRM Technology arm of $500M public accounting firm (BKD, LLP) Microsoft Inner Circle (Awarded multiple times) Microsoft Presidents Club (7+ years) Member of the Microsoft Dynamics AX Advisory Board AXUG Premium Partner Member Implementing Dynamics AX since 1998 – one of the first in the US 120+ implementations to date 130+ man years of Dynamics AX experience (7+ years per employee) Dynamics AX extensions/enhancements successfully completed Strong experience with national and multi-national implementations BKD T ECHNOLOGIES – W HO WE ARE

Project Key Components People Process Technology Facilities Maximum value from maximizing performance of all the above components Future state focuses in all these areas on improving the business, this is not just a technology upgrade

Limitations Complexity of structure Processes rarely challenged Cultural belief that we can’t change Design by exception Results of limitations Adversity to change A series of fire drills Results are not consistent / timely Reactive decision making Increased costs Limits on market value C OMMON L IMITATIONS FACED BY CLIENTS

P ROJECT R ISKS Confidential – Not for Distribution  43%+ of ERP projects fail  Lack of internal process knowledge  Fragmented silos  Unrealistic expectations  Duplicating what we have  Not keeping it simple  Need for enhancements  Losing sight of goals  Not having goals  Budget and timeline  Weak IT process history  Internal resource availability  Scope creep  Fee Fatigue Mitigated by →

C RITICAL S UCCESS F ACTORS Confidential – Not for Distribution  Project ownership by client, this is not the consultants project  Best people on the project, not best “available”  Change acceptance by all employees  Strong support from all levels of management  Realistic end goal (Too much oversell in ERP space)  Realistic budget and time frame  Managed expectations and scope to meet client needs  Rapid response to decision making  Address both operational and management needs  Adhere to the ERP Implementation Life Cycle

E ND S TATE : D ESIGN EARLY, REVIEW OFTEN Only 25% of Total Custom Application show (65+ in use) Not all connections represented, but accurate primary list Confidential – Not for Distribution

R ECOMMENDED P ROJECT T RACKING / R EPORTING  Requirements (3 rd Party, Partner, or Customer)  Scope Document (Partner)  Billing Plan  Details!!!  Communication Plan (Joint)  Status Reports  Earned Value  Visit Recaps (Joint)  Roles & Responsibilities (Joint)  Data Migration Plan (Joint)  AXPIs (Client)  Budget vs Actual (Joint)  Customizations (Depends)  Design Specifications  Testing Instructions  Training Plan (Joint)  Test Plan(s) (Client)  Test Scripts (Client)  Cutover Sign-offs (Client)  Go-Live Validation (Joint)

S AMPLE D ELIVERABLES A VAILABLE (O FFER DON ’ T S HOW …)

T YPICAL P ROJECT T IMELINE  Phase I (30%) – Partner Heavy  Kick-off project  Project Plan  Budget and cost approval  Gather requirements  Module setup/configuration  Phase II (40%) - Balanced  Data migration (Initial)  Training  Module exploration  Test Plans  Phase III (30%) – Client Heavy  Testing  Data migration (Final)  Validation  Go Live

T OP 20 ISH G O -L IVE I SSUES 1.Posting profile issues 2.AXPI missing, processes unaccounted for 3.Unit of measure issues 4.Open Sales orders missing 5.Open Purchase orders missing 6.Ledger control accounts no locked 7.Inventory upload issues, watch out for inventory and on hand dimensions 8.Inventory valuation issues 9.Unable to reconcile WIP 10.BOM issues, UOM, Warehouse, Costing 11.Cost value missing for some items 12.Dimension issues, not designated correctly on the ledger 13.Credit card processing issues 14.AP check alignment issues 15.Open AR/AP, Issues with cash discounts, due dates etc….this is a MUST TEST 16.Issues with reserving and un-reserving of inventory 17.Month end issues, financial statements incorrect 18.No month end simulation, process issues 19.Prior year balances not flagged with correct dimension breakdown 20.Code issues with enhancements not sufficiently tested 21.Sales Tax and Use Tax reporting issues 22.Security issues, who is able to see and process what 23.Sales and Purch history not loaded with the correct financial dimensions

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