FY09 Commercial Planning – SCM Solving the Hard Stuff Keith Ip SCM Applications Solutions Consulting

2 Agenda Resources FY08 Performance Moving Forward Value Chain Pitching Selected New SCM Products

3 Product Solutions Management Team HCM SCMCRM SCS John Hui (32) Mike Hodgson (45) ?? (64) Shrav Malkani (60) Sally Li (59) David Barkess (54) FMS ACE / ARCH Prod Mgt Matt Van Rensburg (7) Jeff Olson ANZ Kristy Durston KP Loke Wayne Houghton Chris Downie Adam Krebet ASEAN Jackie Goh Christo Sardjono Lisa tay TBH Alvin Leung INDIA Suryanaran. Iyer Sujit Sahu Samik Roy Aditya Bhattachar. Anurag Dubey G.CHINA (Yu Sicheng) Oliver Chen Keith Ip Binggin Huang Joyce Tan Charles Zhang KOREA HyeSoo Cho KangHyoug Lee Seong Hwan Young Hoon Kim JinYeun Park IndustrySpecialist PaulPeng ? EDGE Agile: 4 Demantra: 1 OTM: 1

4 Headcount Status AIA & Lead SC skills key

5 FY09 GC SCM SC Organization Chart 15 20

6 FY08 EBS Apps Performance Total Apps = 33.6M Total EBS Core = 19M 4.7M contributed by CMRL FY08 GC SCM = 11M

7 Now (from IDC)

8 Now and Future 17% CAGR 20% CAGR 15% CAGR 20% CAGR Assuming Oracle expects 30+% growth…… Gen more demand, win more over SAP, in areas where they suck, Penetrate more in Growth Cities

9 What SAP did when entering China? Enter China in 1991, SAP China established in 1995, Key wins of Lenovo and Haier in 1998 Lighthouse Accounts – Invest in working with leading companies by industries (Investing in Sinopec for 3-4 years without any rev before signing a 10M deal) Heavily invest in partners – Granting 30% margin to partners Create Strong Eco-system in key industries – Oil & Gas, Chemical, Tobacco, Traditional Mfg, Metal, Auto, etc… Strong Partner Eco-system Build up the Brand of Industry Solutions

10 SAP Today A large pool of install base of upsell add-on license Enough funding for other smaller companies as well as dropping price when competing against us. However, they also have a commercial team (facing the same pressure of Oracle CMRL) Leverage their brand to sell more ERP With our brand legacy, it takes time for learning curve in order to penetrate into SAP install base SAP is building their specialization teams (PLM, SRM, EPM) SAP is pushing their +1  Minimize Oracle’s Differntiators Time Window is closing

11 ERP Landscape in China – Winning ERP with EDGE/Industry Solutions Time Adoption MNC Hi Tech Mid Size (local FIN) Banks Emerging Industries Government SASAC Mid Market ERP + EDGE / Industry Solutions ERP Replacement EDGE / Industry Solutions SAP IB Opportunity for CMRL

12 Oracle’s Strength The Oracle brand Acquisition strategy / Best of breed solutions Leading “+1” solution differentiators (Agile, AutoVue, Stellent, Demantra, Projects portfolio, EPM, MDM, etc.) Talented People

13 Shift to Value Chain Orientation Administrative Infrastructure HR Supporting Activities Value Creating Activities INNOVATION SUPPLIER RELATIONSHIP MGT Demand Chain Supply Chain Design Chain Supply Chain Demand Chain  Convergence of Chains - Demand, Supply, Design  Multi-enterprise – Collaboration, Orchestration, Flexible  Information-Centric – Visibility, Predictive, Real-time

14 CustomersDistributionManufacturingSuppliers Financials / HR Master Data Management SUPPLY MANAGEMENT Purchasing Settlement Supplier Mgt Contract Mgt SUPPLY MANAGEMENT Purchasing Settlement Supplier Mgt Contract Mgt SUPPLY PLANNING Sales & Operations Planning Planning & Scheduling Order Promising Network & Inventory Opt. Service Parts Planning SUPPLY PLANNING Sales & Operations Planning Planning & Scheduling Order Promising Network & Inventory Opt. Service Parts Planning DEMAND MANAGEMENT Forecasting Promotions Mgt Demand Collaboration VMI DEMAND MANAGEMENT Forecasting Promotions Mgt Demand Collaboration VMI PRODUCT LIFECYCLE MANAGEMENT New Product Introduction, Quality, Cost, Compliance, Design for Supply PRODUCT LIFECYCLE MANAGEMENT New Product Introduction, Quality, Cost, Compliance, Design for Supply SOURCING Strategic Sourcing Supplier Collaboration SOURCING Strategic Sourcing Supplier Collaboration ORDER MANAGEMENT Configuration Pricing ORDER MANAGEMENT Configuration Pricing MANUFACTURING Mixed-mode MANUFACTURING Mixed-mode LOGISTICS & DISTRIBUTION Warehouse, Transportation LOGISTICS & DISTRIBUTION Warehouse, Transportation SERVICE Planning & Execution SERVICE Planning & Execution The Industry’s Best-in-Class Footprint Business Intelligence: Visibility / Analytics

15 How the new R12.1 products compliment this strategy Advanced Planning Command Center Elevates supply chain planning information to a business decision making level by combining cross-domain planning analytics within the context of business scenarios Manufacturing Operations Center Delivers an integrated view of manufacturing status and performance by combining ERP and real-time plant floor information, and using this for extensible analytics Demand Signal Repository Creates a shared and unified view of real-time demand information between parties in the value chain to drive closed-loop decision making Service Parts Planning Enables a responsive service supply chain and increases the profitability of after market service, helping OEM’s extend their value chain Deal Management Optimizes the effect of price-driven demand shaping

16 Service Supply Chain Regional DCsService technicians Central DC Repair depot Customers Supplier (Repair) Supplier (New Buy) On-handConsigned RepairedIn repair Material flow of good spares Material flow of defective spares Must manage both forward and reversed material flows

17 客户对象 有备件业务 大网络 ( 多点、多 SKU 、多层次、分散、多供应商） SKU 多但量少 从成本中心到利润中心 备件返修

Oracle’s Service Parts Planning Solution Available with 12.FP: Demantra, SPP, GOP, CP, IO, SNO SPP – Service Parts Planning within Advanced Planning Suite Key features supported: Demand planning and replenishment / distribution from a single Workbench Returns / repairs / reverse logistics / dual sourcing of new buy & repair Part condition, supersession, failure rates, repair lead time, and criticality support Auto-release new buy and repair recommendations to Spares Management and Depot Repair Key environments: Works well for customers that are dealing more with complex reverse logistics and repair processes Solution modeling for “part conditions” not required: Use same part numbers to represent “good” and “bad” parts (part condition supported) The better news: we’ll have an even better solution available soon !

19 Coming in 12.FP – Service Parts Planning Global parts inventory visibility across all service organizations Out-of-the-box integration with Oracle Spares Management and Oracle Depot Repair Release depot repair orders, reschedules, and transfers Release spares management new buy purchase orders, repair orders, and transfers Out-of-the-box integration with Spares Management and Depot Repair

20 Market Review SAP = Caution

21 Sample Service Parts Planning Customers Industrial Manufacturing Travel & Transportation A&D Hi tech United Space Alliance Siberian Airlines Aircraft Engines

22 Manufacturing Comms & Utilities Comms & Utilities Aerospace & Defense Aerospace & Defense Hi Tech A Few Service Management Customers … Automotive Office Equipment

23 Oracle Service Parts Planning Additional Information Deployment and Integrations Part of Oracle APS and can be deployed as follows: Separate APS 12.1 instance - fully integrated with EBS R12 and EBS R11i10* Standalone - integrated with other ERPs through legacy integration* Single instance - combined EBS+APS instance, when EBS 12.1 is available later this year Availability: GA now as a part of R12.1 APS Feature Pack – deployable on a separate APS 12.1 instance Controlled Availability process in effect to help track initial sales Pricing: $1750/$M of Cost of Goods Sold (COGS) More Information: apps.oraclecorp.com www-apps.us.oracle.com/aps * - Available soon