Corporate Governance: Good intentions are not enough Punitive consequences …personal liability, even for negligence

Corporate Governance is a Burning Issue  U.S.: The Sarbanes-Oxley Act (June 2002) requires you to: – Meet aggressive deadlines for financial reporting – Be personally liable for accuracy of your numbers – Face steep fines, jail time, de-listing of your company even for negligence in reporting (not just for willful deception)  International Accounting Standard to reconcile geographical differences in reporting by 2005: – European Union, Australia, Singapore to adopt IAS – U.S. FASB and IAS letter of intent to align – Streamlined reporting process, especially for multi-nationals – Align external and internal reporting

Board Oversight Is Only The Tip of The Iceberg  From the board room to the cubicle – it’s everybody’s business  Requires strategic alignment and operational efficiency at all levels

Set Up Your Business Processes For Compliance  Ensure you have access to accurate, timely and relevant information  Establish robust processes to ensure failsafe internal controls  Enforce policies and procedures,and ensure trained staff  Comply efficiently, not at the cost of profit

Business Systems Bring Efficiency To Compliance  Automation reduces risk of errors  Prevents circumvention of controls  Reduces processing costs  Captures the state of your business at any time  Provides vehicle for training and education on time at low cost  Let’s you monitor skills and awareness of your staff

Business Systems: the “Engine” of Solid Business Practices  Visibility: reduce risk through timely, accurate, relevant, consistent information  Control: enforce policies and procedures through automated processes  Efficiency: automate to maximize speed and accuracy

Good Governance Requires Best Practices Across Your Enterprise Visibility Control Efficiency

Visibility Access to Timely, Accurate, Relevant Information Gain an accurate view of purchases, payments and outstanding commitments Maintain a single, global view of entire company ’ s financial activity Timelier access to accurate workforce information worldwide Visibility into sales pipeline, customer satisfaction, market shifts, etc.. Visibility

Control Affect Change Quickly  Track suppler performance and ensure that the supply base delivers according to purchasing business goals Define roles and responsibilities for procedures and set measurement criteria for compliance Establish, document, communicate, policies & procedures. Enforce training requirements for staff at all levels Incent best behavior with automated incentive compensation Control

Efficiency Minimize Administrative Overhead Costs  Purchase product traceability to minimize the risk of product recalls and warranty services costs Centralize finance and administrative functions Make education available through multiple channels Repeatable and scalable marketing, sales, and customer service processes Efficiency

Corporate Performance Management: Complete and Integrated Business Intelligence Visibility Control Efficiency Real-time enterprise view of your operations Automate and integrate Establish measurements, set targets, and execute

Information Technology: Single Source Of Truth Visibility Control Efficiency Centralization for consistency of information Automate to lower costs and minimize errors Workflow enforces best practices

Close Your Books With Confidence Days to Close

Corporate Governance You Are Accountable  To your shareholders or constituencies  To your CEO and Board of Directors  To your employees  To the SEC or other regulatory agencies

SCM ERP CRM Visibility Control Efficiency Business Systems Oracle E-Business Suite Best Practices Across Your Enterprise Information Technology CPM

Oracle Internal Controls Manager: Oracle Internal Controls Manager is a comprehensive tool for CXO’s, controllers, internal audit departments and public accounting firms to use to document and test internal controls and monitor ongoing compliance.

Internal Controls Oracle Internal Controls Manager Comprehensive policy and compliance management solution  Define the business processes of the enterprise  Manage process documentation  Manage the Process Risk Library  Ensure/Test Segregation of Duties  Map the Organization Structure  Manage Business Process Variations  Manage the Audit Process and Projects  Submit Audit Findings  Issue Audit Reports  Survey Management Assessment of Internal Controls  Provide Employee and Stakeholder Feedback  Review Compliance Status of Financial Statements  Review Reconciliation Status of all subsystems  Review the overall compliance status  Review Policy Compliance The application assembles the components necessary to document, test and monitor internal controls and compliance. It provides users with an easy-to-use workbench from which you can organize, execute and manage the audit work including the following activities:

Internal Controls Oracle Internal Controls Manager Positioning  More efficient internal control testing – Exposing the native controls of the applications in an auditor’s context  Higher certainty in your risk assessment – Providing verification mechanisms as part of the applications themselves  Lower external audit verification costs – Allowing external audit independent verification of the same controls

Workflow Management Tool Document Management Tools System Configuration Tools Survey Tools Procedure Documentation Tools Process Control Limits Sampling and Statistical Tools Project Management Tools Workflow Files iSetup iSurvey Tutor Performance Mgmt Audit Manager Reports Project Collaboration Internal Controls Oracle Internal Controls Manager

Oracle Tutor: Your Policies, Your Procedures offers procedure authoring, automatic flowcharting, and role- based publishing, and comes with pre-defined models. Oracle Performance Framework: Your Processes, Your Time constantly monitors your processes and notifies you of exceptions Oracle Project Collaboration: Your Progress, Your Resolutions provides visibility and control needed to deliver projects an communicate among the project team.

Internal Controls Oracle Internal Controls Manager  Home Page – Access relevant daily information and initiate actions  Process Area – Document processes and relevant surrounding info  Audit Area – Define standard work programs for audit of specified business processes, audit approaches, and LOBs  Management Area – Plan resources and skills needed for the audit department  Setup Area – Set audit schedule for business processes – Assign business processes to organization units  Compliance Workbench and Officers Reports – Match Processes with policy and standards – Publish audit results and compliance data to officers

Access relevant daily information and initiate actions

> – Access relevant daily information and initiate actions Document processes here

Navigate the Process Hierarchy top down

Assign processes to the organizations that run them

Focus on high risk areas

Ensure risks are mitigated