1. Industry specific cover image Demantra S&OP and Demand Management Enabling the demand driven, collaborative planning process

2. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 2 Oracle Team Contacts Bryan Isaacs – Solutions Sales Executive, Value Chain Planning byan.isaacs@oracle.com@oracle.com Elizabeth Sousa - Solution Consultant, Value Chain: S&OP and Demand Planning elizabeth.sousa@oracle.com

3. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 3 Common Challenges/ Opportunities Forecast accuracy and visibility – Challenging forecast accuracy – Need to help partners understand forecast variability – Need consumption visibility within planned period – Lack of visibility across Channel, customer, geography plans – Different levels of sophistication across Customers, Channels, Retailers Collaboration is challenging – Sales and Channel plans to Operations execution taking too long Not integrated – Demand Planning not getting real time Supply information to make decisions – Not linked/ integrated to Production/Mfg. Plan, Purchasing, Inventory, Distribution A lot of manual work! Limited exception reports, analysis tools, exception management

4. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 4 Multiple, non-integrated systems Manual processes Multiple data sources Financial Planning New Product Planning Sales Quotas Production Planning Measurement and Reporting Marketing Forecasting Your Company Low forecast accuracy Lack of alignment between metrics and objectives Not tied to Sales and Operations Planning process ? Traditional Approach – Disconnected High latency, limited collaboration, no consensus forecasting

5. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 5 Enterprise Forecast Fragmentation Category Mgr “We can sell 10,000.” Marketing “With our promotion we can double our sales.” Finance “We are budgeted to sell 6,000.” Planning “They’ve never sold more than 4,000.” Supply Chain “We need to buy 7,000.” Distribution “We’re set to move 5,000.” Senior Management “What do you mean 6,000? They swore we would sell 8,000!”

6. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 6 Improve Forecast Accuracy Best in class statistical forecast based on historical data and defined parameters Sense demand more frequently and closer to the point of consumption Forecast accuracy metrics built in Easily shape demand for new products S&OP Collaboration hub Compare category plans to financial plans (budget), production plans and inventory Visibility across Channel, class, geography, units, dollars, etc. Leverage industry best reporting and analytics to manage Consensus process! Integrated: Demand Plan directly linked to Supply Execution Integrated directly to Production, Purchasing, Distribution and Inventory Real time visibility and reaction to changes in Demand Exception management/ Workflow automation Better Approach: Oracle Demand Planning/ S&OP Solution Real-time, Continuous, and Collaborative Planning process

7. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 7 Demand Driven leaders typically have: 15% less inventory 17% stronger order fulfillment 35% shorter cash-to-cash cycle times Source: AMR Benchmark Analytix 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Complete order fill rate % Gross margin% Customer retention Laggard Industry norm Best-in-class Current % performance Performance metric © 2004 AberdeenGroup S&OP leaders outperform their competitors: Improved order fill rates Increased gross margin Higher customer retention S&OP Drives Concrete Results Companies that excel at S&OP outperform their competition

8. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 8 Industry Leaders Rely On Demantra We predict the impact of today’s business decisions on tomorrow’s business performance Medical Devices Media & Entertainment Consumer Packaged Goods Retail/Wholesale Consumer DurablesHigh Tech

9. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 9 Sales History Sales Forecast New Products Marketing Inputs Other (i.e. causals) Develop Baseline Demand Plan Channel Sell-thru Demand Capture Sales & Operations Planning Supply Execution Judge / Adjust Demand Plan Sales Feedback Finalize Consensus Demand Plan Operations Feedback Product Mix Executive Feedback Backlog & Shipments Customer Input Plan Finished Goods Execute Planning Recommendations Measure/ Monitor Shipments Inventory Supply Plan One View Of Demand.Increased Responsiveness.Higher Accuracy. Demand Plan to Supply Execution Industry Best Practices in an End to End Solution Distribute

10. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 10 One Number Process! Profitably balance supply, demand, and budgets Customers Executives Align Demand and Supply in real time Inform vendors and customers Monitor performance to plan Shape demand to close gaps Seamlessly drive decisions into ERP FinanceSupply Chain Marketing Planning

11. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 11 Hierarchies to support all planning data: – Product Lines, Categories, Channels, SKU, Distribution Centers – Group by promotion and marketing programs – View by Product attributes and characteristics View and edit data at multiple levels in hierarchy of choice – Use lower level data for higher level forecasting – Use higher level data for lower level forecasting New levels can easily be added Support planning the way YOUR company works Flexible Hierarchies

12. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 12 Improve Forecast Accuracy Analytics detect and predict differences by channel, retailer, stores, product line, geography, time etc. Forecast accounts for causal factors including seasonality, promotions, market drivers/ indicators Accommodate various types of demand signals: POS, Shipments, etc. Planning automatically done at next level when statistically relevant data is not available Causal Analysis Outlier Detection Promotion Events Seasonality Cyclical Patterns Trend Historical data Forecast Causal factors Combined model Start with a better prediction of demand – Best-in-class statistical engine Superior Bayesian-Markov Analytics

13. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 13 Manage by exception – Alerts and visual cues easily point to important issues – Document assumptions with a complete audit trail of decisions taken Automate reconciliation and approval process via workflow – Best practice workflows out of box Automation and Exception Management Empower Stakeholders to Make Quick Decisions

14. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 14 New Product Introductions Address new products forecast challenges – Limited or no demand history for a given item – May combine characteristics of several previous products – Price points, changing market conditions may be different – Product demand changes over product life cycle Chaining Shape Modeling Apply shapes, scaled for volume and time Re-scale base on initial demand data Accurately forecast demand for new products based on existing data New Product C = 30% Product A + 75% Product B

15. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 15 Work in Offline Mode Update worksheets offline – Automated re-synchronization – User approved conflict resolution – Any data can be extracted for offline review and update – Audit trail Empower field personnel

16. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 16 SYSTEM DEMONSTRATION! (in session demonstration)

17. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 17 Oracle Demantra Demand Management Eliminate spreadsheets Manage rolling forecasts Collaborate with all constituents on one number Use basic statistics, alerts, and seeded worksheets Tailor worksheets for individual users Leverage POS and channel data Forecast new product introductions Collaborate with customers Use advanced statistics and causal factors Complex alerts and custom worksheets Forecast based on attributes and product characteristics Compute promotional lifts and analyze impact of demand drivers Assumption based forecasting From less complex to best-in-class Manage rolling forecasts Collaborate with all constituents on one number Use basic statistics, alerts, and seeded worksheets Tailor worksheets for individual users Leverage POS and channel data Forecast new product introductions Collaborate with customers Use advanced statistics and causal factors Complex alerts and custom worksheets Manage rolling forecasts Collaborate with all constituents on one number Use basic statistics, alerts, and seeded worksheets Tailor worksheets for individual users Start anywhere Evolve at your own pace to a best-in-class solution

18. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 18 Strategy: Improve service levels and on-shelf availability Maintain a minimum inventory level and logistic costs Collaborate with retailers sharing merchandising plans and forecasts Sense demand and improve forecasts by utilizing attributes and characteristics Planning problem solved Real-time S&OP process driven by one demand number Unique aspects of implementation Generates forecasts from customer POS data Compares customer and generated forecasts and routes exceptions to planner, sales representative, or customer Results Increased order fill rate from 55% to 95% Reduced price protection claims by 40% Reduced logistics costs by 65% Expected 3%-5% improvement in Net Profit VTech Portland, OR www.vtech.com 10 Countries $1.2 Billion annual revenue Mfg. Plants in China Telecommunications Consumer Products Leading Provider of cordless phones and electronic children’s toys Live on Demand Management, Real-Time S&OP

19. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 19 Applica Incorporated Miramar, FL www.applicainc.com $600 Million annual revenue Consumer Durable Goods Strategy Improve forecast accuracy across all items, including phase-in and phase-outs Synchronize supply with demand to increase service levels and decrease inventory and operating costs Achieve one number planning across entire organization Enable S&OP process to move from monthly to weekly Solution Oracle-Demantra Demand Management Suite encourages organization-wide commitment to ONE forecast with solid results: Results Increased order fill rate from 80% to 93% Improved inventory turns from <2 to 5 Total inventory reduction of 33% Forecast accuracy has moved from 58% to 75% Comprehensive with Predictable Results DEMAND MANAGEMENT

20. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential Proven, scalable demand management solution Integrated demand, supply, and sales and operations planning Designed for planners, not programmers Integrated performance management Why Oracle

21. Copyright ©2008, Oracle. All rights reserved. Oracle & Customer Confidential 21 Industry Leaders Rely On Demantra We predict the impact of today’s business decisions on tomorrow’s business performance Medical Devices Media & Entertainment Consumer Packaged Goods Retail/Wholesale Consumer DurablesHigh Tech