1. Visit our Focus Rooms Evaluation of Implementation Proposals by Dynamics AX R&D Solution Architecture & Industry Experts Gain further insights on Dynamics AX Industry Solution Offerings Resolution Guidance on Solution Roadblocks Networking Focus Topic Highlight Business Intelligence Tuesday 2.15pm – 5.45pm Risso 6C Risso 8A Risso 7B Risso 7A Risso 6C Risso 6A/B

2. DISCLAIMER ©2011 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. Other names and brands may be claimed as the property of others. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. All pre-release product release dates and features specified are preliminary based on current expectations, and are subject to change without notice. Microsoft may make changes to specifications and product descriptions at any time, without notice. Sample code included in this presentation is made available AS IS. THE ENTIRE RISK OF THE USE OR THE RESULTS FROM THE USE OF THIS CODE REMAINS WITH THE USER. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. NO LICENSE, EXPRESS OR IMPLIED, BY ESTOPPEL OR OTHERWISE, TO ANY INTELLECTUAL PROPERTY RIGHTS IS GRANTED BY THIS PRESENTATION. Microsoft products are not intended for use in medical, life saving, or life sustaining applications.

3. NICE,FRANCE LEARN | INSPIRE | INNOVATE TECHNICAL CONFERENCE 2011

4. MICROSOFT DYNAMICS AX FOR RETAIL STRATEGY, ROADMAP, INVESTMENTS ASHVIN MATHEW, MICHAEL GRIFFITHS, BALAJI BALASUBRAMANIAN SESSION CODE : BRK254 MICROSOFT DYNAMICS R&D MICROSOFT CORPORATION

5. Microsoft Dynamics Empowering Dynamic Retailers to Deliver the Complete Shopping Experience Delivering the Future of Retail……Today

6. Its all about the customer … “… our core purpose – to create value for customers to earn their lifetime loyalty” Philip Clarke, Tesco CEO “Client-Oriented culture: getting to know our customers better in order to serve them better” #1 strategic pillar for Carrefour “Client-Oriented culture: getting to know our customers better in order to serve them better” #1 strategic pillar for Carrefour “Our business activities are always centered on the customer, his demands and how best to fulfil them.” “H&M aims to constantly meet or exceed customers’ expectations” H&M Annual report 2011 “Company operations start with the demands of the customer being channelled by the store. Customer desire for fashion is not just viewed from the perspective of fashion, but taken into overall account, considering everything that complements the buying experience.” “We build our competitive advantage by understanding our customers better than the competition.” “...to our customers: Migros is the Swiss company that is passionately committed to improving the quality of life of all of its customers.” Customers not only want to find what they are looking for, they also want to be surprised with new products or items that make their life easier. As a result of these experiences, customers become the brand’s ambassadors. Customers not only want to find what they are looking for, they also want to be surprised with new products or items that make their life easier. As a result of these experiences, customers become the brand’s ambassadors. “Our customer satisfaction exceeds that of our competitors” “Customers at the centre … constant focus on the customers needs” “Customers at the centre … constant focus on the customers needs”

7. What is top of mind for retailers?

8. Improving the way you connect with your customers Fulfilling your brand promise through excellence in execution Empowering your employees to better serve the customer Microsoft Retail Strategy Empowering Dynamics Retailers to Deliver t he Complete Shopping Experience

9. Microsoft Dynamics Retail Momentum

10. Customer Momentum

11. Onboarding to vision (workloads) Multiple Points of Engagement Multi-Channel Management Store Operations & Merchandising Order Management Replenishment Logistics Financial Management (GL/AP/AR) Customer Care & Social Commerce Back office Customer/Consumer  Sell in the Way Retailers Buy  Investment Protection  Flexibility

12. Microsoft Stores – 75 New to Open

13. Microsoft Retail Experience Center

14. Windows, SQL Server, etc. Microsoft stores XBOX, Office, Windows Games, etc. Azure, Windows Server Why Microsoft in Retail? Greater than the sum of its parts

15. Microsoft Vision for Retail Our vision is to provide Enterprise Retail Customers with a seamless and differentiating solution for Multi- Channel Management, Store Operations, Merchandising, CRM and ERP enabling the insight, agility, and execution to meet and exceed consumer expectations with superior time to value. Unlike other vendor solutions, Microsoft offers these capabilities unified across channels as part of an integrated, role-based solution and technology stack helping reduce complexity; optimize productivity; and empower higher levels of customer service. GO BIG!Vision to Reality

16. Retail Solution - Vision A global multi-channel retail solution capable of being deployed as a complete end-to-end ERP solution or as a multi-store management solution integrated with an existing ERP or existing POS system 3rd Party ERP

19. At Home over the web At the Store Retail Solution – Cross channel flows

20. At Checkout Retail Solution – Cross channel flows On Phone

21. Microsoft Confidential Retail Solution – Target Verticals High Medium Low Retail Food and Beverage Beer, Wine and Liquor Beer, Wine and Liquor Grocery/Specialty Foods General Merchandise Department and Discount Stores Warehouse Clubs and Super Centers Motor Vehicle Parts Auto Parts, Accessories and Tires Automobile Dealers Other Motor Vehicle Dealers Convenience/ Gas Health, Personal Care Cosmetics, Health and Beauty Drug and Pharmacies Specialty Retail Optical Bldg. and Garden Mat, Equip. and Sup. Clothing and Clothing Accessories Electronic/Appliance Stores Home Furnishing Specialty Misc. Specialty Retailers Sp. Goods, Hobby, Books, Music

22. Store N Retail Solution System Overview © 2011 Microsoft Corporation. All rights reserved Add-hoc Operations Global vouchers/gift cards Inventory lookup Loyalty Sales order/invoice handling Centralized returns Customer account payments Etc. Add-hoc Operations Global vouchers/gift cards Inventory lookup Loyalty Sales order/invoice handling Centralized returns Customer account payments Etc. All Standard Dataflows Product master POS settings Staff information Transactions Etc. Store 1 POS 1 POS n

23. Retail Roadmap – As presented before AX for Retail RCM RMS Multi-Store RCM 2009 R2 (20 GEOS) AX 2009 LS Retail AX for Retail (AX 2009) (16 GEOS) AX for Retail R2 (AX 2009) (+22 GEOS) RMS Feature Pack 1

24. Retail Roadmap – UpdatedRoadmap Updated AX for Retail RCM RMS Multi-Store RCM 2009 R2 (20 GEOS) AX 2009 LS Retail AX for Retail (AX 2009) (16 GEOS) AX for Retail R2 (AX 2009) (+22 GEOS) RMS Feature Pack 1

25. AX 2012 - Retail & Online Services 25 “Deliver a premier global, multi-channel retail solution with seamless, easy-to-use, customizable business processes from sales to supply” Goals of the AX 2012 Releases (Wave 1 and 2) Retail Solution Upgrade to AX 2012 Support all countries (One GLS) Co-existence of Industry solutions Rich and Seamless Multi-Channel solution Key Investments on Industry Excellence

26. Key Investment Areas for AX2012 for Retail Wave 1 Release 26

27. Today we will show you …

28. Components in action today

29. Pains and challenges

30. Organizational model Framework to model your organization Integration with application frameworks Sharing of master data

31. Conceptual Model

32. Retail Uptake and Benefits Retail Uptake – Provide an easy way to create retail specific org hierarchies – Enable better sharing of retail data and parameters between legal entities Benefits – Use of standard AX functionality for channel groups – Ability to create flexible hierarchies with effective dates – Consistent use of online and brick and mortar channels for retail scenarios (Assortment, Pricing, Replenishment) – Channel is it’s own financial dimension

33. Demo 1 : Centralized Sales Channel Management PersonaPain Points and ChallengesFeatures CoveredResults and Benefits Channel Manager Do not have a central system to setup and administer all sales channels Difficult to setup, administrate retail stores and POS terminals across companies Custom implementation of channel groups and hierarchies Organization Model Framework and uptake in Retail Solution Retail Stores & POS Terminals setup Central management of all sales channels Global view of all stores and terminals across enterprise Grouping of stores for various needs in streamlined, standard way

34. Retail Staff Management Integrated into core AX Human Resources module Integrated and uptake of Worker model Simplified Management of Staff and their permissions Enabling key scenarios quickly and easily – Restrict retail staff to 1 store, group of stores or all stores 34 Position Job Worker Address book Store Worker

35. Demo 2 : Centralized Retail Staff Management PersonaPain Points and ChallengesFeatures CoveredResults and Benefits HR Manager Retail Staff not integrated into central HR processes & procedures (Jobs, Position, Worker) Cannot enable Retail staff to work across 1, multiple or all retail stores Cannot easily manage Retail Staff HR procedures for key scenarios (e.g., seasonal requirements) Worker Model and uptake in Retail Solution Retail Staff, POS permissions group - setup and management Retail Staff integrated into core AX HR module Easier way to manage permissions applicable at POS Staff can now easily be assigned to 1, multiple or all retail stores

36. Customer Order - Feature Goals Support non-cash and carry ordering workflows – Quote – Sales Order Support Cross channel Fulfillment – In Store Pickup – Ship to an address Posting to AX and Settlement 36

37. Feature Overview 37 Order Online Order In store Ship to Customer ExistingNew Pickup in Store New

38. Customer Orders - Details Order Configuration in AX Order Creation and Customization in POS – All aspects of Pricing, Discounts and Taxes apply in POS – Deposit calculation, collection and posting – Dual printer and full page printing support Order Retrieval – Created from same, another store or Online store – Modify order as necessary (state specific) – Picking and Packing slip can be created in POS

39. Customer Orders - Details Customer Order Pickup – Pickup of order created in same, different or online store – Balance computation based on deposit – Partial and/or full pickup is supported – Order settlement against deposits and payments Order Cancelation supported in POS Return orders supported in POS

40. Demo 3 : Customer Orders PersonaPain Points and ChallengesFeatures CoveredResults and Benefits Channel Manager Cannot support scenarios at POS to take order and service customer when products are not available at retail stores High cost of training and learning curve for servicing customers across multiple systems Lack of seamless integration to existing store and terminal infrastructure Customer Orders Cashiers use simple and standard POS application to Ability to provide sales quotations and then convert them to orders Process orders for products not in store Orders are subject to all store specific pricing, discount, taxes etc. Complete integration into all POS processes and hardware

41. What we showed you today… Retail Solution – Vision, Roadmap AX 2012 Retail Solution – Key investments in the upcoming release Demonstrated few of the key capabilities in the upcoming release – Organization Model uptake and enabling centralized management of sales channels – Worker model uptake and enabling centralized management of Retail Staff – Customer orders and enabling key scenarios for processing orders at POS

42. Related sessions BRK256: Dynamics AX for Retail – Key improvements in Merchandising and Store Operations CHK222: Dynamics AX for Retail – Drill down on Store Connect, Transaction Service, Monitoring and Troubleshooting BRK255: Dynamics AX for Retail – Online Services Overview and Investments

43. Visit our Focus Rooms Evaluation of Implementation Proposals by Dynamics AX R&D Solution Architecture & Industry Experts Gain further insights on Dynamics AX Industry Solution Offerings Resolution Guidance on Solution Roadblocks Networking Focus Topic Highlight Business Intelligence Tuesday 2.15pm – 5.45pm Risso 6C Risso 8A Risso 7B Risso 7A Risso 6C Risso 6A/B

44. © 2010 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.