1. Evolving a Knowledge-Driven Global eServices Model John Fronius Director, Knowledge Systems Customer Support Division May 23, 2006

2. MGC eServices Model, May '062 So…What is EDA? n n The Electronic Design Automation (EDA) industry provides the design software used to create all of the worlds electronic systems. n n It is time-critical technology used to design the most complex system-on-chip (SoC) semiconductors & printed circuit boards. n n Mentor Graphics has been an EDA industry leader for 25 years with annual revenues over $700 million.

3. MGC eServices Model, May '063 EDA: A Market of Markets n Mentor Support: 3 Support Engineers Pick up the phone Paper tracking forms Apollo workstations & Aegis operating systems

4. MGC eServices Model, May '064 n $250M+ in support revenue n 450+ Support Professionals Worldwide n One Unified Global Support Tracking and KM System n 14 Support Centers in 4 Global Regions All SCP Certified About Mentor Customer Support

5. MGC eServices Model, May '065 In the Beginning…1983 n Mentor Support: 3 Support Engineers Pick up the phone Paper tracking forms Apollo workstations & Aegis operating systems

6. MGC eServices Model, May '066 A Decade Later…1993 n Mentor Support: 187 Support Engineers Reactive support Separate systems in separate regions Hardcopy Customer Support Bulletin Beginning of Electronic Services: n Modem support line & initial Web access n SupportNet E-mail

7. MGC eServices Model, May '067 1993 - Electronic Access SupportNet - Email – –Open and review call logs – –Query TechNotes – –3500 users SupportNet - Web – –Retrieve patches, Support- Bulletins, Application Notes – –Transfer design data – –497 users

8. MGC eServices Model, May '068 Support Engineer Customer requests assistance Customer Coordinator DirectConnect SM 1993 Support Delivery Emphasis on Timely Phone Contact n Response n Resolution n Relationships

9. MGC eServices Model, May '069 1993 – 2000 Focus on WW Operational Excellence The Only 5-Star Support in EDA

10. MGC eServices Model, May '0610 21 st Century Business Drivers n Everything happens in Internet Time n Online support expectations set by B2C n Make Services a competitive differentiator n Increase mainstream revenues n Margin pressures Do more with same or less headcount n Globalization of the workforce

11. MGC eServices Model, May '0611 Margin Deflection /Prevention RevenueAdoption ReinvestSavings Mentor Support Business Drivers SupportNet is the Engine that Creates Capacity

12. MGC eServices Model, May '0612 2006: Driving SupportNet 1st SupportNet All Customers Preferred Path Top Accounts Others SupportCenter Coordinators Priority given to web-opened Service Requests Worldwide CAE Team

13. MGC eServices Model, May '0613 Welcome to SupportNet!

14. MGC eServices Model, May '0614 Search All Content Types Product Documentation How-To & Tutorial Movies KnowledgeBase TechNotes

15. MGC eServices Model, May '0615 3 rd Parties Field/Divisions Customers SupportNet: First Line of Support K n o w l e d g e S y s t e m s InfoHub within Products KnowledgeBase & Call Tracking AppNotes White Papers Partner Content Knowledge Management Processes Documentation How-Tos & Tutorials

16. MGC eServices Model, May '0616 The Self Service Mandate Source: Customer Contact Council Research Build it and they will come Make self-service better and customers will choose to use it Drive customers to self-service SupportNet

17. MGC eServices Model, May '0617 Mentors KM Timeline 00-0102-0405 Phase III LEVERAGE High Low Maturity Level Phase II LAUNCH Phase I LEARNING Initial experimentation Executive sponsorship Startup Project KCS Acquisition of tools Content standard defined Initial publishing workflow introduced Internal capture & reuse with Primus Incentives to create content Solve a problem once, worldwide

18. MGC eServices Model, May '0618 Mentors KM Timeline 00-01 02-0405 Phase III LEVERAGE Phase I LEARNING High Low Maturity Level Phase II LAUNCH Rollout to customers Focus on quantity Maximize reuse Contributing Editor role Processes vary by team and region Competing priorities 5-Star Phone Support Try to find time for KM Call deflection reinvest Ad hoc customer feedback Call / KB integration Kanji Knowledgebase Google InQuira Search Biggest Brain promotion Additional content types Phase I LEARNING Initial experimentation Executive sponsorship Startup Project KCS Acquisition of tools Content standard defined Initial publishing workflow introduced Internal capture & reuse with Primus Incentives to create content Solve a problem once, worldwide

19. MGC eServices Model, May '0619 Which Way is North? SupportNet Worldwide CAE Team Customers Preferred Path Call Back As Needed Tom Floodeen, VP & GM Mentor Graphics Customer Support

20. MGC eServices Model, May '0620 Mentors KM Timeline 00-0102-0405 High Low Maturity Level Phase I LEARNING Phase I LEARNING Initial experimentation Executive sponsorship Startup Project KCS Acquisition of tools Content standard defined Initial publishing workflow introduced Internal capture & reuse with Primus Incentives to create content Solve a problem once, worldwide Phase II LAUNCH Rollout to customers Focus on quantity Maximize reuse Contributing Editor role Processes vary by team and region Competing priorities 5-Star Phone Support Try to find time for KM Call deflection reinvest Ad hoc customer feedback Call / KB integration Kanji Knowledgebase Google InQuira Search Biggest Brain promotion Additional content types Phase III LEVERAGE 5-Star Web Support Proactive Investment Create CAE capacity WW focus & metrics Individual WW Team Managing customer access to support Full-time Knowledge Managers The RIGHT content Accurate/Relevant/ Timely Diverse Docs, How-Tos, Tutorials, AppNotes Integrated KM tools Multi-language support Robust Analytics Direct customer feedback SupportNet Redesign

21. MGC eServices Model, May '0621 Knowledge Sharing = Leverage n Content is used many times, 1:MANY n TechNotes, Documentation, How-Tos & Tutorials n Creates capacity for higher value, more proactive activities n Strategic Account Support n Customer Training / Onsite Visits / CAE Learning n Proactive Product Division work n Knowledge Management

22. MGC eServices Model, May '0622 KM Functional Roles CAE Support Team Authors & Reviewers CAE Support Team Authors & Reviewers CAE Support Team Authors & Reviewers CAE Support Team Authors & Reviewers WWCSM CE KnowledgeManagers WWCSMWWCSM CEContributingEditorsCECE CAE Support Team Authors & Reviewers KnowledgeAnalyst ~ 25 ~ 250 ~ 15

23. MGC eServices Model, May '0623 Success Measures n Deflection n Traffic and usage n Content feedback n System reliability n Survey results n Annual set of key goals n Creation of bandwidth Growth in revenue, flat headcount and call volume

24. MGC eServices Model, May '0624 SupportNet Survey Worldwide - Q1 2006 Success means customer stated their goal for the visit was met.

25. MGC eServices Model, May '0625 WW SupportNet Usage Key Drivers of usage: release downloads troubleshooting SupportPro emails Unique Visitors 05 Results: >29,000 Unique Visitors >260,000 Unique Sessions Sessions

26. MGC eServices Model, May '0626 GOAL = 41% Opened via SupportNet by December 2006 Service Requests Opened via SupportNet - April - 35.91%

27. MGC eServices Model, May '0627 Mentors Investments are Iterative Knowledge Mgmt. Begins Established First Line goal Reg. Clean up Customer KnowledgeBase Launch New Search Platform New Service Request System Entitlements Infrastructure Acquisitions Defect Tracking, Email Notifications Mass Reg. Program KnowledgeBase Marketing Launch: Biggest Brain Contest Marketing Projects SupportNet Projects >40,000 Registered Users 20012002 2003 2004…2006

28. MGC eServices Model, May '0628 Critical Success Factors n Executive sponsorship and alignment Active change management n Focused awareness campaigns (internal & external) n Intuitive user interface, robust search (internal & external) n Integrated workflow for call tracking, capture, author, publish n Reliable infrastructure n The Right content: Accurate, Relevant, Timely n Success measures Align goals and metrics with needed behaviors, make visible n Direct feedback to teams (surveys, content ratings, analytics)

29. MGC eServices Model, May '0629 KM Current Trends n Business model: Companies are increasingly using KM to drive margin improvement and to extend their service "reach" to a broader set of customers n People: Companies are dedicating more full-time resources to KM functions n Process: Companies are re-designing support models from phone-centric web-based n Technology: Companies are investing in more sophisticated platforms to facilitate self-service deeper integration across CRM (call tracking) systems and KM platforms online support technologies (search, knowledgebases, case management, feature-rich portals)

30. MGC eServices Model, May '0630 Whats Next @ Mentor? n Actively manage customers to SupportNet n Further shift culture to make web & phone work together to deliver a 5-Star Support experience Renewed support of Contributing Editors & WWCSMs n SSC eService standards development n Develop & launch new KM platform n SupportNet Redesign n Invest in the right content Leverage call data, analytics, proactive planning

31. MGC eServices Model, May '0631 The ART of Knowledge Management n A CCURATE Content must be technically accurate (best info that we have at the time) n R ELEVANT Content must be relevant to the customer, in the right context selective investment in highest value n T IMELY Customers need to know when WE know

32. MGC eServices Model, May '0632 Focusing on the Right Content Contributing Editor (via WW CSM) SR Solutions Data Mine SupportNet Usage (InQuira Analytics, Survey Data, Content Ratings, etc.) Published Knowledge (Docs, Movies, TechNotes…) Proactive Knowledge Creation (Work across TPubs, R&D) Focus on solutions where customer re-use is most likely. Internal re-use is a good indicator.

33. MGC eServices Model, May '0633 SupportNet Redesign Product-centric Experience Task-based Design

34. MGC eServices Model, May '0634 Some Recommended Resources

35. MGC eServices Model, May '0635 n Our investments are working People Process Technology n SupportNet is increasingly the 1 st line of Support n We have begun to deliver 5 STAR Web Support n We are saving $, creating bandwidth, extending our reach n Results require time and persistence: If you havent started…get busy! If you are on your way…stay the course! If you are getting results…share them! In Closing…

36. Questions? John Fronius Director, Support Knowledge Systems john_fronius@mentor.com 503.685.7938