Increasing Internal Controls with Applimation Integra

2 Applimation Overview Founded in customers worldwide Headquartered in New York City Offices throughout North America and Europe Software solutions that manage data growth and ensure integrity throughout the application lifecycle

3 Applimation Lifecycle Management Informia Archive Informia Subset Informia Reorg Integra Transaction Integra Access Integra Apps Integra Codebase InformiaIntegra

4 Applimation Customers Worldwide

Continuous Monitoring in Oracle Applications Applimation Integra

6 Integra Codebase Integra Apps Integra Access Integra Transaction APPLIMATION INTEGRA code setups security transactions Oracle Applications environment Continuous Monitoring in Oracle Applications Key Controls & Transactions Continuous Monitoring

7 Sarbanes-Oxley Cycles Oracle ICM (Repository of Controls) Integra (Continuous Monitoring) Document Risks & Controls Monitor Changes & Test Controls

8 Sarbanes-Oxley Hurdles

9 Accounting Systems Income Statement Balance Sheet APARFAINVOMEtc… G/L

10 Difficult Questions to Answer How do you know key controls are operating effectively throughout year? Can you report on ALL changes to key controls? How do you search for segregation of duties or evaluate user access? How do you know controls are same for each business unit? How do you document key controls within systems?

11 Integra Apps & Codebase Integra Apps Automated Documentation –Setups and Configurations Comparisons –Across Multiple Instances –Across Sets of Books and Operating Units –Across Multiple Versions Change Tracking –Monitoring and Reporting Data Migration (setups) Integra Codebase Automated Documentation –Forms, Reports and Code Comparisons/Impact Analysis –Across Multiple Instances –Across Multiple Versions Change Tracking –Monitoring and Reporting –Version Control Code Promotion

12 Examples of Setup Setup Data Application Security Document Approvals Chart of Accounts Profile Options Users Application Setups MRP rules Operational Data Customers Suppliers Employees Buyers Items Chart of Account Values Category Codes

13 Example of System Controls 3 way matching of PO, Invoice and Receipt Document spending limits (authorization of PO) Security rules/access to sensitive transactions –employee salaries –chart of account values –financial statement reports (FSG’s) –price lists –inventory attributes Action for late delivery of goods Inventory stocking rules Rules to create tax on sales orders Depreciation methods

14 Examples of Code Files Forms Reports Menus Libraries PL/SQL Etc. Database Objects Schemas Indexes Grants Db Links Functions Packages

15 Who is Responsible for Setup?  System Administrators  Implementation Consultants  Super Users Maintenance across all applications and overall environment Initial applications setup Maintenance of specific business applications

16 Setups Change More Than You Think Intentional –Operational Changes –Growth of Company –Business Requirement Changes –New Functionality Introduced by Upgrades Unintentional –Unknown Consequences –User Error –Unexpected Changes Caused by Patches

Integra Apps

18 Automated Documentation: Snapshot  Point-in-time picture  Run on demand or scheduled

19 Snapshot Report

20 Comparison Report Differences

21 Automated Change Tracking Integra Apps - Change Tracking –Who? –What? –When? –Where? Automatically captures a complete historical audit trail. Details of EVERY change.

22 What?Who?Where? When? Change Tracking

23 On-line Change Tracking

24 Data Migration Source Database Extract w/ FNDLOAD Target Database 1.Utilizes FNDLOAD – 100% supported by Oracle 2.Automatically extracts/loads setups 3.Optionally edit/modify data 4.Select one row or many Load w/ FNDLOAD Edit Data File Extract and Load w/FNDLOAD

25 Data Migration Road Map Release ISep 1 st –System Administration Release IISep 30 th –GL, AP, AR Release IIIDec 30 th –PO, INV, BOM, OM Available for and higher

26 Data Migration Road Map System Administration Module –Attachments –Concurrent Programs –Custom Messages –Descriptive Flexfields –Flexfield Value Hierarchy (Rollup Groups) –Flexfield Value Security Rules –Forms –Functions –Key Flexfields –Lookup Types and Values –Menus –Profile Options and Values –Request Groups –Request Set –Responsibilities –Users –Value Set Values –Value Sets

Integra Codebase

28 Examples of Code Files Forms Reports Menus Libraries PL/SQL Etc. Database Objects Schemas Indexes Grants Db Links Functions Packages

29 Documentation Automated Code Documentation

30 Comparisons

31 Dependency/Impact Analysis Stored Procedure searches where you can see blocks of code instead of a single line of code. See potential impact of scheduled code changes before you make them.

32 Continuous Monitoring - Maintain Versions Schedule code promotion Formal check-in/check-out Automated environment monitoring

Integra Access Evaluate User Access Search for Segregation of Duties Issues

34 Integra Access User Responsibility MenuFunction Form Evaluate User Access Search by User Search by Form/Function Search for Segregation of Duties Identify incompatible Functions & Forms

35 Segregation of Duties

Integra Transaction Monitor transactions for anomalies Identify thresholds Alert notifications

37 Financials Bundle 1

38 Financial Bundle 2

39 Integra Codebase Integra Apps Integra Access Integra Transaction APPLIMATION INTEGRA code setups security transactions Oracle Applications environment Continuous Monitoring in Oracle Applications Key Controls & Transactions Continuously Monitored

40 For More Information Mark Nelson Applimation, Inc. Phone:(212)

Unreliable are not designed or in placeUnpredictable environment where controls are not designed or in place Informal are not adequately documentedControls are designed and in place but are not adequately documented Standardized are adequately documentedControls are designed, in place, and are adequately documented Monitored periodic testingStandardized controls with periodic testing for effective design and operation with reporting to management Optimized real-time monitoringIntegrated internal controls with real-time monitoring by management and continuous improvement Low Efficiency manual effortsSubstantial manual efforts Testing & validation required of activities Management time commitment: Substantial Medium Efficiency Some manual testing required for key activities Some reliance on monitoringSome reliance on monitoring Reliance on certifications & acknowledgements Management Time Commitment: Significant High Efficiency continual monitoringReliance on continual monitoring & review of periodic testing Use of dashboard for key indicators and controls Reliance on certifications & acknowledgements Management Time Commitment: Moderate Source: PriceWaterhouseCoopers white paper on Sarbanes-Oxley Act of 2002 Internal Controls Maturity Efficiency

42 Architecture Applimation Home Test (11i) Dev (10.7) Prod 1 (11) Prod 2 (10.7) Snapshots & Comparisons

43 Integra Apps Architecture Applimation Home Test (11i) Integra Apps Dev (10.7) Integra Apps Prod 1 (11.0.3) Prod 2 (10.7) Snapshots & Comparisons Setup Changes