1. MCAS Detail Presentation 99/05/04. Publication Number ESD 0000-0004. When strategic business applications… Just can’t wait ! C ritical A pplication M ission S ervices

2. A technology revolution is changing business...

3. % of Respondents 3.00 1.00 10.00 11.00 12.00 17.00 18.00 21.00 22.00 26.00 28.00 31.00 34.00 39.00 44.00 51.00 0204060 None KM SC Collaborative Computing DW ECOM Asset Mgmt Mobile Computing CMS Help Desk Enterprise App. Solns BRS NT Migration Intranet Y2K CPE Maintenance Security E-Messaging Internet Source: Dataquest end-user budget survey, 7/97 as quoted in Y2K Market Analysis. Numbers are rounded up. Top Service Initiatives in F1000 Euro Plan MCAS Focus Areas IT is stretched across initiatives, technologies, and implementation timelines.

4. IT Business Pressures “Date change work poses economic threat..” CW 5/98 “Lack of IT workers force businesses to scale back revenue expectations…” Coopers & Lybrand “IT staff turnover as high as 30% in some companies...” Meta Group “F1000 companies spend $50 billion on in-house programming...” Fortune 11/97 A technology revolution is changing the way companies do business.

5. Competition for resources Service provider as a solution to resource shortage Service provider as a competitor for resources Recruiting network Skills database Subcontractors Offshore Retention Methodologies Processes & tools Service delivery model Management training Certification Career paths Staffing & Recruiting Skills Transfer & Assessment Training & Re-skilling Interviews Skills tests Project knowledge transfer Mentoring Three most important elements of the staffing dilemma Source: Gartner Group 1997 from Deloitte & Touche survey of 1400 CIO’s WW Finding & retaining skilled resources - a major IT challenge IT Staffing Dilemma

6. Past 1992 1994 1996 1998 2000 Future Engineering skills change faster than staff can be cost effectively trained. IT Skills Gap Main Frame Cobol/Fortran Pascal C Object Languages Visual Basic JAVA Visual JAVA Perl Internet centric Distributed Computing Security Integrated Desktop UNIX Database - Oracle Sequent Server Window3x Windows9x Networking WAN Remote Access Networking TCPIP NT Client Server Mail Enabled Web Enabled

7. New developmentAchieve competitive advantage, accelerate TTM Data warehouse and miningImprove business performance & customer needs analysis improvements Emerging & Internet Change customer & vendor business models to improve TTM technology Package ImplementationIntegrate business functions, improve TTM & functionality. Management Transitioning Migrations, new architectures for performance gain Year 2000 ServicesAssess problem, obtain resources, convert or replace Retooling Teach staff new processes, technologies, methodologies SupportApplication help desk, 24x7 troubleshooting Maintenance Improve operational performance or productivity Key areas where customers look for development capability Services Needs Application Services

8. Application Services Intent Improved TTM Low risk Quality solutions Heterogeneous environments Emerging technologies Processes, tools & methodologies Scaleable resources for large projects Global custom support infrastructure HP software R&D quality To provide large-scale, strategic application services that support customer business needs for competitive advantage. We focus on: MCAS

9. An approach to strategic application development that reduces risk and accelerates solutions deployment when compared to staff augmentation, project based contracts, or outsourcing alternatives. MCAS HP-Quality Application Development Services Access to large pool of skilled resources Deep knowledge of HP’s technologies Knowledge Transfer Partnership M ission C ritical A pplication S ervices

10. Alternatives Do it all yourself Maintain control of strategic applications. Leverage HP’s software expertise to enable knowledge transfer and access a large pool of skilled development teams. Reduce project start-up time & risks. Outsource the development MCAS

11. MCAS Model Strategic Application Development & Deployment Application & Platform Migrations Legislative Remediation Application Enhancements Internet Enabled

12. Establishes a process to meet business priorities Provides rigorous project management and processes to manage software engineering resources on multiple project streams simultaneously Provides on-site design and large-scale (hundreds) off-site software engineering resource ramp and management Establishes a distributed, physical environment for quality software development and support Methodology continued…. MCAS Methodology Strategic Application Development & Deployment Application & Platform Migrations Application Enhancements Legislative remediation Internet Enabled Establishes the alliance management systems and infrastructure

13. Implements a communication & equipment infrastructure Applies integrated process management (i.e. forecasting, production planning, quality, documentation, etc.) Applies your tools and methodologies as required - or HP’s Implements appropriate practices (re-use,tools use) Provides for knowledge transfer MCAS Methodology Strategic Application Development & Deployment Application & Platform Migrations Application Enhancements Legislative remediation Internet Enabled Establishes the alliance management systems and infrastructure

14. § Application Development - Application design, development and deployment for UNIX, NT and mainframe environments § Application Transition - Application and platform migrations from any current mainframe or server environment § Application Compliance - Assessment and code conversions for legislated situations, during Application Development or Transition Services § Application Enhancement - Continued support for developed or re-hosted applications MCAS Services MCAS Methodology Strategic Application Development & Deployment Application & Platform Migrations Application Enhancements Legislative remediation Internet Enabled Designed to meet customer’s application development needs

15. Service Elements - Business need and application requirements assessment - Application design, pilot, development and deployment for UNIX and NT platforms and most mainframe environments - Assessment of internet, intranet, extranet and related technology for internal, business-to-business and consumer-to-business applications - Integration of internet technologies with current environments - Rapid ramp of large-scale resources (hundreds of developers) - Project Management of on-site and off-site resources - Use of client or HP tools and methods Benefits = An application development partner = Access to resources = Lower business risk = Improved time to market for strategic applications Strategic Application Development When strategic application just can’t wait...

16. Service Elements - Applications re-hosting from mainframes to UNIX and NT environments - Applications redevelopment - Transitioning applications in Server consolidations Benefits =Rapid resource ramp for large-scale, strategic initiatives =Knowledge and experience to port varied applications from multiple environments to UNIX and NT platforms Application & Platform Migration

17. Service Elements - Focus on legislative remediation - Strategy Development (fix, update, replace) for strategic applications - Analysis and scoping of effort - Conversion & Pilot Tests - Conversion, Implementation & Compliance testing Benefits =Ability to design tools for legacy environments or use a chosen vendor’s tools =Ramp resources to the project size =Access to large pool of resources for COBOL and other mainframe operating environments Application Compliance

18. Service Elements - On-going software enhancements and support to address changing business needs and improve operations - Software enhancements to improve operations - Establish service level and reporting metrics Benefits =Quickly address business unit needs =Improve software operations management =Access to resources with knowledge and experience in all platform and environments Application Enhancement

19. Methodologies - IT Extensions (MCAS) - Project Management (Focus PM) - Software Development (CPLC) - Migrations - Application Enhancements - Quality The foundation for quality application initiatives Tools - Project Management - Software estimation - Software defect tracking - ISO 9000 based software process definitions - SEI process improvement methods - Knowledge management MCAS Methodologies & Tools

20. Planning & Investigation Tools Development/ Customization Application Migration Pilot Migration Acceptance Implementation & Product Support Application Analysis Environment Investigation Alternatives Analysis Establishing Project Objectives & Scope Developing Project Estimates & Plans Path Flow Analysis Tools Specification Application Migration Tools Data Conversion Tools Environment Conversion Tools Tools Testing DB Conversion Pilot Migration Program Conversion Unit Testing Integration Testing System Testing Documentation Functional Verification Interface Development Testing Stress Testing Performance Tuning Installation User Training Maintenance Support Customer SiteHP SiteCustomer Site Migration Guide Implementation Proposal ToolsMigrated Pilot Application Migrated Code Data Migration Tools Environment Migration Tools Test ResultsFinal System Application Migration Methodology Deliverables Activities

21. Wide and deep technical resources to support strategic initiatives Platforms HPUX MPEiX VMS Ultrix Win95 MVS VM AS400 MSNT OS/2 Nonstop/SQL Languages COBOL FORTRAN C++ C Java Oracle*Forms PL/1 Basic & VBasic PASCAL PowerBuilder Proprietary languages Databases DB2 Oracle Informix Sybase SQLServer Ingress Allbase Image IMS IDMS Case Tools Oracle IEF IEW ParadigmPlus HP Emerging Technologies Open Pix Security Change Engine Future MCAS Expertise

22. HP-Quality Application Development Services Multi-vendor environment experience Globally distributed S/W development methodologies Global support Deep knowledge of HP’s technologies HP R& D Alliances Broad & deep technology base Knowledge Transfer For application of emerging technologies Two-way for processes, tools, methodologies Access to large pool of skilled resources Software Competence Center Rapid ramp of skilled resources Global communications infrastructure Partnership Multi-year commitment Account Team local presence & relations Eliminate per project start-up risk Reliable partner MCAS MCAS & HP Contributions Summary

23. Project Examples Insurance Co USA MF - HP3000 Redevelopment HP IT USA IT Alliance Insurance Co USA IT Alliance Automobile Co USA R&D Alliance Investment Bank Swiss. Re-engineering to Objects Mech. Design SW Co Germany R&D Alliance Airline Reservations Germany MF- HP-UX Redevelopment Insurance Co Japan Business processes Automation Telecom Co Sweden R&D Alliance

24. Customer Example Collaborative approach HP3000 & Networking R&D leverage HP Contributions Distributed development processes Skilled resources ramp-up Cost of mainframes & maintenance TPF/Assembler skills availability Open environment Customer Challenges Critical deadline Fast ramp-up, 130 staff in 8 weeks HP3000 based Cobol development Insurance company claims processing system migration. Staffing Time Main Frame HP300 0 Business Case Cobol Large project execution experience On-going HP/Alliance program

25. Customer Example Collaborative approach HP-UX & Networking R&D leverage HP Contributions Distributed development processes Skilled resources ramp-up Large project execution experience Reservation Processing Mainframes Cost of mainframes & maintenance Business Case TPF/Assembler skills availability Open systems flexibility Customer Challenges 2500 transactions/second 24 x 7 availability New technology risk Open Front-end Airline reservation system migration.

26. Application Services What are the priorities? What resources are needed? Development Platform Transitions Alliance Build a long term MCAS partnership Business Drivers Changing business models Competitive advantage Multiple strategic application projects Work together to identify application priorities and your resource gaps Project 1 2 3 Next Steps

27. Integrated Solutions Support Custom Software Maintenance Software Release Reintegration The quality of HP custom software is such that HP stands behind work performed by offering annual, fixed price five year support contracts. Keep your solution available and technologically up-to-date. Custom Software Support Services

28. ESD is HP’s world wide software engineering operation for MCAS. Who to Contact ESD - Japan Kazuo Okada Tn : 381 2395 ESD - Europe Gunther Moeller Tn : 778 6220 ESD - Americas Frank Willamson Tn : 447 1281 MCAS Marketing Program Manager : Mike Wardley, Tn 447 1169