Looking back, looking forward Licensing Partner Annual Event ‘06

Agenda Who from Microsoft is in the room? Looking back on H1 FY06/07 Project Refresh Why? What have we done? Key Findings The Perfect LAR Find your Value Proposition Building Capabilities & Performing New approach to Compliancy

Whose who in the sales zoo? Regional Bus Desk - Jonathon Downs; Mike Parker Licensing Marketing – Thomas Kablau Licensing Communications - Ainslie McNamara Channel Training – Tony Parzakonis Channel Hotline - Anthony Kola Public Sector LS – Laura McMenamin; David Triston-Rattay Commercial LS – Bob Williams; Craig Martyn Mid Market LS – Katie Mortimer; Shalini Anand Partner Licensing Executives – Julanne Saltiel; Mal Fraser Microsoft Financing – Katrina Braund; Trevor Hudson; Steve Kerr

Whose who in the operations zoo?

What’s happened on the number front…

Vertical & Segment Revenue Performance YTD November 2006

License Type Revenue Performance YTD November 2006

License Type Revenue Performance YTD November 2006

Project Refresh

Why refresh the LAR channel? Customer Satisfaction Lack of measurement (what gets measured gets done) Capabilities & Performance Better understand value proposition Drive technology Better engagement Planning = Growth

What have we been doing? Interviews Information gathering Interviews with Internal Microsoft Stakeholders: e.g. Licensing, Sales (Enterprise, Public Sector, Mid Market), LCA, Finance, Operations, Strategy, Partnering Meetings (either in person or by teleconference) with each LAR/ESA KPMG Internal discussion and research Lots of Customer interviews Information gathering Financial Analysis Forecast process analysis Document review Other Microsoft initiatives Numerous interviews (across a diverse range of stakeholders), review of key documents, analysis of processes and data and workshops to refine the LAR/ESA value proposition

Key findings Interviews highlighted problems around inconsistent sales engagement, Microsoft’s understanding of the LAR/ESA value proposition and the level of support they receive

The perfect LAR Solution Focus Partner Services Deployment Proactive (Sales) engagement during life cycle Solution Focus Partner Services Deployment Software Asset Management LAR/ESA Partner model around the management of the licensing lifecycle is changing – LAR/ESAs need to extend their capability to maintain their value proposition Value proposition of LAR/ESA Licensing is a part of the solution

Find your value proposition

What gets measured gets done!

Enterprise Compliance Systematic Engagement with customers

License review at Microsoft – time for change

Thank you

Questions

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