Migrating From SE to EE QAD Explore 2012 René Bergkamp Vice-President of R&D, Financials - QAD

Migrating from SE to EE Safe Harbor Statement The following is intended to outline QAD’s general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, functional capabilities, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functional capabilities described for QAD’s products remains at the sole discretion of QAD.

Agenda Why upgrade? Migrate to a more Effective Enterprise Approaches Migrating from SE to EE Agenda Why upgrade? Migrate to a more Effective Enterprise Approaches Experience from the field Questions

Migrating from SE to EE Why Upgrade?

Common Upgrade Reasons Migrating from SE to EE: Why upgrade? Common Upgrade Reasons Internationalization Enterprise Financials Corporate governance New powerful capabilities in other areas Centralization/standardization Clean up data/setup Remain on a supported release Move to On Demand

Migrate to a More Effective Enterprise Migrating from SE to EE Migrate to a More Effective Enterprise

Considerations Standardization Dealing with currencies Migrating from SE to EE: Migrate to a more effective enterprise Considerations Standardization Dealing with currencies Consolidated financial reporting Compliance Limiting customizations Introducing shared services Managing the company IT eco system

Migrating from SE to EE: Migrate to a more effective enterprise Standardization Transforming from loosely coupled groups of local operating business to an effective (global) enterprise Centralization of systems Standardization of practices Main areas of improvement Effective planning, reporting and closing process Better management/enforcement of (global) compliance Shared services

Defining the Desired Standardization Migrating from SE to EE: Migrate to a more effective enterprise Defining the Desired Standardization Balancing act between ‘corporate’ desire for standardization and ‘local’ arguments of being different Global first Imposed corporate standard way of working Local legal requirements and statutory reporting are considered as ‘after the facts’ Local first Every entity is free to set up according to the specific local requirements Global visibility is obtained afterwards by translation mechanisms

Defining the Desired Standardization Migrating from SE to EE: Migrate to a more effective enterprise Defining the Desired Standardization Enterprise Edition helps with Shared Sets and translatable descriptions master data Accounting layers to support multi-GAAP Financial Report Writer Unicode

Dealing With Currencies Migrating from SE to EE: Migrate to a more effective enterprise Dealing With Currencies Buying/selling/paying in different currencies Processing payments centrally for multiple countries Supporting international payment formats Supporting international payment processes Having operating units in countries with different currencies Consolidated, management and statutory reporting Functional currency different from country currency Reconciling the sub-ledgers

Dealing With Currencies Migrating from SE to EE: Migrate to a more effective enterprise Dealing With Currencies Enterprise Edition helps with Process, pay and receive money in any currency Downloadable drivers on QAD Store Financial shared services Second base currency Report in any presentation currency Business Intelligence

Producing Consolidated Financial Reports Migrating from SE to EE: Migrate to a more effective enterprise Producing Consolidated Financial Reports Running consolidated reporting during the month Faster closing of books Easier analysis and verification of figures Tracking of intercompany relationships in order to efficiently perform eliminations

Producing Consolidated Financial Reports Migrating from SE to EE: Migrate to a more effective enterprise Producing Consolidated Financial Reports Enterprise Edition helps with Period close marks Multi-layer accounting Dedicated posting segment for intercompany code Reporting of intercompany transactions Financial Report Writer Allocations Business Intelligence

Managing (Global) Compliance Migrating from SE to EE: Migrate to a more effective enterprise Managing (Global) Compliance Meeting local legal requirements Internal controls Enterprise Edition helps with Segregation of duties Automated checks and balances QAD Internationalization/QAD Store

Introducing Shared Services Migrating from SE to EE: Migrate to a more effective enterprise Introducing Shared Services Improve efficiency by Economies of scale / harmonized processes Increase corporate control over business units Increase customer / supplier visibility Free up working capital / increase cash flow Allow business units to focus on core activities Enterprise Edition helps with Support of cross-company payment processing Central management of customers/suppliers using shared sets Support for intercompany transactions

Limiting Customizations Migrating from SE to EE: Migrate to a more effective enterprise Limiting Customizations Less customization means easy upgrades and less risk Enterprise Edition helps with Configuration options Browses and Browse collections Design mode/simplified screens Report Framework modified reports New functionality in complete suite Non-intrusive customization options

Managing the Company IT Eco System Migrating from SE to EE: Migrate to a more effective enterprise Managing the Company IT Eco System QAD Enterprise Applications is not the only solution in your company Need to easily integrate with other solutions Enterprise Edition helps with Support for Web services/XML QXtend QAD Store: connectors

Migrating from SE to EE Upgrade Approaches

Questions to Ask Migrating from SE to EE: Upgrade approaches Data Setup master data still fits the needs? Master data is still in good shape? Historical data correct & important? Process Business concept and processes still OK? New functionality to improve processes? Future plans can be covered? Customization Which customizations can be eliminated? Can customizations replaced by standard? Can Browses/BI replace custom queries? Can custom layouts use the Report Framework

Types of Migration Technical migration (1:1 conversion) Migrating from SE to EE: Upgrade approaches Types of Migration Technical migration (1:1 conversion) Reload master data in new database Re-implementation Mix-mode: Technical migration Financial implementation Optional change/split of domains

Experience From the Field Migrating from SE to EE Experience From the Field

Raypak Characteristics Solution Benefits Migrating from SE to EE: Experience from the field Raypak Characteristics Data setup still fits the needs Historical data important to keep Solution Technical migration Benefits Short lead time Low cost

Technical Migration Migrating from SE to EE: Experience from the field Converted data Old DB New DB

Royal Sanders Characteristics Solution Benefits Migrating from SE to EE: Experience from the field Royal Sanders Characteristics Change and clean up of data Historical data in new database is not required Solution Reload Benefits New clean data setup Better use of new functionality Allows for optimizing future efficiency

Reload Migrating from SE to EE: Experience from the field New DB Shared sets Old DB Data entry Domain 1 Overall master data

Beaphar Characteristics Solution Benefits Migrating from SE to EE: Experience from the field Beaphar Characteristics Business concept and processes changed Master data setup changed Historical data in new database is not required Desire for new functionality Standardization is a driver Solution Re-implementation & re-load Benefits New business model in place New standardized data setup Optimized use of functionality

Re-Implementation & Re-load Migrating from SE to EE: Experience from the field Re-Implementation & Re-load Domain 1 New DB Shared sets Overall master data Data load 2 3 Old DB

HSV Characteristics Solution Benefits Migrating from SE to EE: Experience from the field HSV Characteristics Operational data setup still fits the needs Historical data important to keep Financial Setup change to benefit of new EF Move some sites/entities into separate domains Some services is required to establish this mix Solution Mixed-Mode Operational part converted using standard conversion procedures Financial opening balance Benefits Historical data kept in new database New financial setup and functionality Shorter lead-time than with re-implementation

Mixed Mode Migrating from SE to EE: Experience from the field New DB Shared Sets converted data Old DB Chart of Accounts Balances New financials

Impact on Your Business Migrating from SE to EE: Experience from the field Impact on Your Business Re- Implement Duration Mix-Mode Re-Load Technical Migration Flexibility

Migrating from SE to EE Tools and Tips

QXtend Excelerator for Data Load Migrating from SE to EE: Tools and tips QXtend Excelerator for Data Load Excel based tool User functions for query and update of data Grid view of data in the worksheets Review any error

Migrating from SE to EE: Tools and tips Process Maps Customer

Compliance check points Migrating from SE to EE: Tools and tips Process Maps Operational Metrics Training Compliance check points Tooltips

Reduce Customizations Migrating from SE to EE: Tools and tips Reduce Customizations Browse collections instead of: Modified or umbrella screens Simplified screens/design mode with: Fewer and controlled fields Browse instead of queries Potential replacement with enhancements/new modules in new versions

Report Framework Report Framework/Crystal Reports: Migrating from SE to EE: Tools and tips Report Framework Report Framework/Crystal Reports: Modify layout of standard reports and external documents

Industry Process Models Migrating from SE to EE: Tools and tips Easy On Boarding Industry Process Models Templates R&D Software Enhancements Streamlined Methodologies Tools Project Role Changes

Summary Why upgrade? Migrate to a more Effective Enterprise Approaches Migrating from SE to EE Summary Why upgrade? Migrate to a more Effective Enterprise Approaches Experience from the field

Next Steps Q-Scan QAD 2012 Attend these related sessions: Migrating from SE to EE Next Steps Attend these related sessions: Training QAD Enterprise Financials at Explore (Thursday afternoon and Friday morning) Stop by the Solutions Expo Q-Scan Q-Scan Scope plan & budget benefits case QAD 2012

Migrating from SE to EE Questions & Answers René Bergkamp Vice-President of R&D, Financials - QAD rbe@qad.com

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