Improving Your Fiscal Close Process Jeff Jacoby Senior Sales Consultant – Oracle EPM January 21, 2009

Agenda The Fiscal Close Challenge Financial Consolidations At - A - Glance Compliance Reporting Consolidation Demonstration Q & A

Collect dataClose Adjustments Currency I/C Subsidiaries Report Management Legal External Analyze 6 Days 12 Days Average Source: Hackett Group Benchmarking -Solutions Book of Numbers CollectCloseAdjustmentReport Analyze and Forecast <2 Days 6 Days World Class More time! The Fiscal Close Challenge Reporting Goal: High Value While Reducing Cycle Times

Financial Consolidation At-a-Glance Collect Data Calculate & Adjust Report Gather from multiple & disparate applications Store data in a centralized repository Generate financial statements, managerial reports, and perform ad hoc analysis Apply FASB and IFRS consolidation rules Perform currency translation & aggregation “Consolidations applications are seeing a resurgence after what was considered a maturing of this market, driven primarily by compliance issues in the United States (driven by Sarbanes-Oxley) and worldwide (driven by the pending International Financial Reporting Standards).”-- Kathleen Wilhide and Henry D. Morris

Business Pressures More Stringent Regulations What can I do to accelerate reporting as required by statutory regulations? How do I improve transparency, accuracy, and auditability? Mergers & Acquisitions How can I ensure new acquisitions are quickly integrated into my company? How can I simplify keeping my books in synch with re-orgs? Demand for Growth How can I improve visibility into overall enterprise performance? How can I help my managers identify opportunities to improve profitability? Collect DataCalculate & AdjustReport

Accounting Differences Charts of accounts Accounting methods Manual, Error-Prone Processes Data extraction, transformation, and load Adjustments and eliminations Operational Challenges Lengthy close process with weak internal controls Rigid systems that cannot exploit new opportunities Disconnect between strategy and execution $ $ Subsidiary 1 ¥ ¥ Subsidiary 2 Joint Venture Affiliate Rs € € Intercompany transactions Currencies Calendars Complex Ownership Structures Minority interest Cross holding Multiple, Fragmented Systems Consolidation Parent Company £ £

Potential Approaches General ledgers/ ERP systems Basic reporting and consolidation functionality Spreadsheets Built for individual, not enterprise tasks, no audit trail OLAP tools “Build” approach, viable way to address specific customer requirements Packaged applications “Buy” approach, includes best practices functionality, fast time to benefit

Oracle’s Hyperion Financial Management Market-Leading Financial Consolidation and Reporting Application #1 Financial Consolidation, Reporting and Analysis FEATURES Easy to Integrate Financial Data Quality Complete Audit Trails Flexible Workflow Powerful Reporting Finance Owned & Operated BENEFITS Confidence in the Numbers Reduce Cycle Time Automate Collection & Validation Lower Cost of Compliance Speed and Agility

Why Hyperion Financial Management? Improved Close Process – Speed and Visibility More Controls – Auditability Better Reporting – Flexibility

Financial Data Quality Management The Only One of it’s Kind! SOURCE SYSTEMS Data cleansing and transformation Task scheduling Text and document archive Audit review Data staging Prepackaged integration Data loading including supplemental data, line item detail Dimensional mapping verification Process management Excel ERP G/L Flat files ETL Oracle eBus Hyperion Financial Management Hyperion Planning Hyperion Essbase Hyperion Enterprise Data Marts DATA PREPARATION SERVER EPM SYSTEMS GUIDED WORKFLOW USER INTERFACE EPM Adapters

Sarbanes-Oxley RequirementFinancial Management Section CEO/CFO Must Certify Section 404 – Internal Control Report Section 401 – Conditions for Use of non-GAAP Financial Measures U.S. Auditing Standards Accelerated Reporting Submissions contain audit trail Mandatory review/approval procedures Multiple organization hierarchies and chart of accounts Autonomy from transaction systems Web solution, I/C reconciliation, journals Addressing Compliance Needs IAS/IFRS RequirementFinancial Management EU Countries to comply by 2005 Recognition and Measurement Consolidation and Reporting IFRS, Multi-GAAP, and Local Statutory Custom dimensions; financial intelligence, journals with audit trail Segment reporting, specialized currency, inter-company, disclosures

Hyperion Financial Management Hyperion Planning Analyze Root Cause Hyperion FDM Oracle EPM System Drill-through to General Ledger Details Insight into Action in a Single System

Flexible Reporting Options Financial Reports Web-based production report writer for producing highly formatted reports such as Financial Statements. Reports are easily developed and maintained by business Reports can combine data, graphs, text, and images. Flexible output options: HTML, PDF, and hardcopy. Reports can be batched into books and automated to meet monthly, quarterly, and yearly reporting requirements. Dashboards Web-based, interactive reporting and analysis tool. Easy to create via drag and drop – no help needed from IT. Useful for Execs and Analysts alike Flexible “slice & dice”, Traffic lighting, Ranking/Sorting capabilities. Can display non-financial metrics with financial data. Smart View  Enables business users to quickly and easily connect to Hyperion Planning using Microsoft Office® tools (Excel, Power Point, Word, Outlook) for analysis and reporting.  Allows users to view, import, manipulate, distribute and share data in Microsoft Excel, Word, and PowerPoint interfaces  Reports and Dashboards can be easily incorporated into PowerPoint presentations and Word documents. Create once and quickly refresh to review the latest information. Smart Space The first gadget-based user interface designed specifically for Enterprise Performance Management Consists of a set of configurable gadgets that run on the desktop providing continuous access to financial, operational and performance related information. Includes a secure instant messaging system for shared decision making.

Hyperion Financial Management Customers! CommunicationsMediaFinancial ServicesConsumerTechnology EnergyIndustrialRetailLife SciencesServices/Other

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