1 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 1 Enterprise Desktop Strategy: A Manager's Perspective Michael Rumpza Director, IT Infrastructure Architecture and Engineering

2 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 2 Small Business ServicesDirect ChecksFinancial Services Consolidated Deluxe (Fiscal 2010) Revenue $1.40B Adj. Operating Income $293M* Adj. Diluted EPS $3.18* Operating Cash Flow $213M (57%) Revenue: $796M Adjusted Op Income: $142M* Industry: >$50B Small Business Customers: ~4M (15%) Revenue: $216M Adjusted Op Income: $63M* Industry: ~$350M ~ 6M in last two years (28%) Revenue: $390M Adjusted Op Income: $88M* Industry: ~$1.5B Financial Institutions Served: 6,200 Deluxe Corporation

3 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 3 “The End of The World (As We Know IT) ” Do you feel fine? Windows XP EOL April 2014  ~ 2 years to: –Remediate applications –Remediate desktop HW  Need to PLAN to have this fixed by the end of 2013 –Leaves early 2014 for last minute remediation Radical Changes in Desktop Technology  Virtualization Du Jour  Machine Based -> User Based (SCCM 2012) Desktop Technology really is a Brave New World!

4 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 4 “It’s a Small World After All” Where are the people?  In my facilities  In my partner’s Facilities (including other countries)  In their homes  At Coffee Shops  On The Road Where is the Data?  On Desktops  In facilities  On Laptops  On Smart Phones and Slates  On Servers in the DC Where are the bad guys?  Everywhere I have people  Everywhere I have data? Think Globally, Act Atomically

5 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 5 “My Generation” Corporate Decision Makers  Remember the office before PC’s  Understand what enterprise technology looks like (MF)  Likely did not have PC in their home until they were an adult  Witnessed and / or enabled “democratization” of corporate technology Today’s College Graduate  Does not know a world without PC’s  Used desktop computers in Grade School!  Likely have always had PC in their home  Does not understand “Enterprise” technology  Expects access to everything from everywhere Mind The Gap!

6 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 6 Everybody’s a Drummer! “PC’s are EASY!” “I’ve got one at home, its not that hard”  Have they ever had a desktop problem as a result of something someone else did? (kids, spouse, kids friends?)  How many do they have at home? “Why can’t I just go to Stuff-Mart and get a bunch of $300 laptops?”  You really do get what you pay for –Durability –Features “We can just get by with older versions of software”  What do you suppose the software vendors have been doing?  What are incoming employees used to?  What are customers/associates using? Find Source(s) of Industry Info and USE it!

7 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 7 “(You) Gotta Serve Somebody” Is the end-user…  Customer? –“Always Right” – IT must solve whatever problem/issue to their satisfaction  Typical view of desktop support  Beneficiary? –Recipient of limited services paid for by others  Typical view of Architecture/Engineering  A Source of Innovation? Is the CIO …  Customer? –Willing to pay, but only for business value  Santa Claus? –Provides whatever is desired  The Exclusive Agent of Change? Define the Customer to Define the Service!

8 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 8 “From Both Sides Now” Are we trying to do… Personal Computing?  Personal productivity  Social media  Consolidated view of digital identities Enterprise desktops?  Access to corporate systems alone?  One size fits all? Both?  Maybe soon via BYOC Should we be …  Aligning solution to user?  Provide services based on hardware? You Are Losing Control of the Endpoint!

9 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 9 “I Was in The Right Place … (but it must have been the wrong time)” Multiple Choices Available in Desktop Technology  Physical/Virtual/Cloud  Multiple variants on each choice Choices have consequences  The wrong choice can put you on a bad trajectory If you don’t know where you are going…  Runway is short, –Need to think about where we want to be and why –Need to create, socialize and gain approval for strategy Document a Strategic Roadmap!

10 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 10 One Way Or Another (I’m Gonna Get Ya) Do not Underestimate the Skill Gap  New Technology  New Approaches  But It looks so similar! Be Ruthless:  Determine the skills you need  Get Them! –Training –New Hires –Consultants Good People Make You Look Smart!

11 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 11 “Them Changes” Do Not Underestimate the impact of these changes on People Users  Technical changes  Support changes IT  Job / Role changes  Fear of future  Upgrading Skills Corporate Leadership  Value of Enterprise Desktop Technology –Productivity or “effectiveness” –Recruiting or Anti-Recruiting tool  It does, in fact, cost money Organizational Change Management is Critical!

12 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 12 Summary Desktop Technology really is a Brave New World! Think Globally, Act Atomically! Mind The Gap! Find Source(s) of Industry Info and USE it! Define the Customer to Define the Service! You Are Loosing Control of the Endpoint! Document a Strategic Roadmap! Good People Make You Look Smart! Organizational Change Management is Critical!

13 © 2011 Deluxe Enterprise Operations, Inc. All rights reserved. 13 Questions