Oracle EPM and ERP Integration Maximize Your Return from Oracle Solutions Mike Casey Director EPM Product Management October 1, 2014 10:15-11:00 AM Moscone West – 3010 CON8522 Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle. Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Program Agenda 1 Integration Overview 2 Financial Data Quality Overview 3 Todd Renard – B/E Aerospace 4 David Finney – IDEX Corporation 5 Q&A Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Integration Overview Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | EPM Data Integration Options Native ERP and EPM Application product utilities ODI custom integration to EPM applications ERP Integrator (ERPI) source adapters, with or without Financial Data Quality Management (FDM) Financial Data Quality Management, Enterprise Edition – the next generation ERPI and FDM Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Metadata Integration Options • Native Utilities – Planning Outline Load Utility • Flat file or table – Financial Management • Flat file or API – Essbase • Rules file – EPMA • ADS file format • Deploy when complete – Oracle Data Integrator • Customize as needed • Data Relationship Management – Manage metadata in one location – Can be used for ERP and EPM applications – Integrate with EPM apps, or via EPMA – Option for Governance – DRG • Provides a workflow on top of the meta data management process • Direct ERP Sources – Provided via ERP Integrator or Financial Data Quality Management Enterprise Edition • EBS and PeopleSoft • SAP BW supported in 22.214.171.124 – Roadmap item to include meta data load from file in FDMEE Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Financial Data Quality Management, Enterprise Edition The strategic product for EPM application data integration Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Financial Data Quality Overview Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | What is Financial Data Quality Management (FDM)? • FDM is a business issue defined as the practice which includes the following factors: – Financial data collection and transformation – Repeatable processes – Internal controls – Audit trails with drillthrough – Write-back to source systems • Significant business challenges – Disparate source systems – Inconsistent account structure – Errors in data and metadata collection – Financial restatements – Weak controls – Lack of visibility into processes and controls – Synchronization between ERP and EPM • Benefits to following an FDM process: – Increased confidence in data – Decreased cost of compliance – Elimination of data integrity risks – Documented and defined repeatable processes – Improved cycle times during periodic processing Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Oracle EPM Delivers Confidence with FDM Investigate issues using available audit trails and dynamic drill-through Collect, transform and synchronize data from many disparate sources – ERP, File, etc. Business users define integrations in a single repository and run as a repeatable process Secure and control access to data and application features Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Financial Data Quality Management, Enterprise Edition • Oracle’s solution for the FDM business process – Combines ERP Integrator (ERPI) and FDM into a single product • Upgrades ERPI to FDMEE with FDM features added • Built on the Fusion Middleware platform – First available in EPM release 126.96.36.199 • Existing FDM customers may upgrade to FDMEE – FDM and FDMEE may be run in parallel • New customers may only install FDMEE – Legacy FDM not available starting with release 188.8.131.52 • Additional license fees are NOT required to migrate to FDMEE • FDM Adapters – Licensing remains the same Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Financial Data Quality Management, Enterprise Edition Enabling Seamless Data and Metadata* Integration Data & Metadata Oracle EBS, PeopleSoft, JDE, Fusion APPs, SAP R/3 Meta-data Financial Close Planning & Forecasting Data Warehouse Data Mart Web Interface Financial Reports Other Systems Data Strategy Management Microsoft Office Profitability Management File Excel XML Drill-Through & Write-Back * Metadata supported for EBS and PSFT Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Direct Integration - Supported Source Systems EBS Peoplesoft Fin Peoplesoft HCM Fusion Fin GL JD Edwards SAP SAP BW Version Data Metadata Drill-Through Write-back 11i/12x Yes Yes Yes Yes 9.X Yes Yes EBS Public Sector Yes – Financials only Yes No HCM data 11.1.X Yes Yes Yes Yes 9.0, 9.1 Tools 9.1.x Yes No Yes No 4.6c,4.7, ECC 6 7.0+ Yes No In 184.108.40.206 Yes No Copyright © 2014, Oracle and/or its affiliates. All rights reserved. FDMEE – Integration Strategy • Develop direct “out of the box” integration – Sources prioritized based on market demand • Open Interface Adapter – Use when “out of the box” integration not available – Licensing allows modification to ODI packages delivered with FDMEE – Customer must populate interface table • File based data loads – Any file format – Delimited or fixed width – Includes majority of single byte and multi-byte encodings Complete coverage with direct integration, open interface, and file based data loads Copyright © 2014, Oracle and/or its affiliates. All rights reserved. FDMEE – Main Product Features Source System /Import Format Define sources including files and ERPs, and then map the source columns/fields to dimensions in EPM applications Mapping Rules Identify how source dimensionality translates to target dimensionality. This is the heart of the FDMEE application Data Load Rules Create an integration definition that can be reused each period. Uses a point of view specified by the user for period, category, etc. Scripting Customize FDMEE processing using Jython or Visual Basic scripting Reporting Modify seeded reports or create new reports using BI Publisher Batch Processing Create batch definitions that can be scheduled and run in “offline” mode Copyright © 2014, Oracle and/or its affiliates. All rights reserved. Todd Renard B/E Aerospace Note: The speaker notes for this slide include detailed instructions on how to customize this Section Header slide with your own picture. Tip! Remember to remove this text box. Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Overview of B/E Aerospace, Inc. •B/E Aerospace, Inc. 4B in Revenues, Listed on NASDAQ designs, manufactures, sells, and services cabin interior products for commercial aircraft and business jets in the United States and internationally. •Oracle/Hyperion Software Currently being used by B/E Hyperion Financial Close Suite and OBIEE which included (HFM, DRM, FDQM, Planning, EAL, HFR, Essbase, ERP-I, HFR, Smart View, OBIEE, and UPK) JD Edwards World & EONE for it’s main General Ledger Package. •B/E has always had a lot of organic growth as well as continued to grow its brand through acquisitions giving B/E. It’s because of the M&A that B/E now currently has over 30 different ERP systems with JD Edwards EnterpriseOne as its Main GL Package. •The Oracle Hyperion Financial Close Suite with OBIEE has allowed B/E to become more efficient at solving complex problems faster, significantly reduced the time it takes to perform pre and post acquisitions activities, and was architected to be both lean yet scalable without the need for additional headcount all while contributing to the goal of increasing shareholder value. 18 Overview of B/E Aerospace, Inc. - Continued •Although it was a 5 Year Road Map with eleven application suites in total, the first two years were spent proving the value of the Oracle Hyperion Financial Close Suite to both the finance user community and senior management. •Data marts were architected off of JD Edwards World giving rise to many purpose built Hyperion Essbase Cubes to assist the owners of the data in identifying weaknesses with their current processes. •Other tools like Hyperion Financial Data Quality Management, reducing the time it took to integrate and financials of new acquisition using such tools as FDQM from six months to just three weeks. •Between second half of 2011 until the end of 2014 the remaining nine applications suites were successfully rolled out across the company which included (HFM, DRM, ERP-I, Planning, EAL, HFR, Smart View, OBIEE, and UPK) . •With the Oracle Hyperion Financial Close Suite, the time to integrate ERP financials from newly acquired companies was reduced from 6 months down to 3 weeks. •Implementing the Oracle Hyperion Financial Close Suite and Business Intelligence helped save 80+% time on Data Analysis & Mining, giving senior management the ability to “act quicker” and be more proactive in its strategic initiatives 19 5 Year Business Intelligence Strategic Road Map 20 Master Data Management - DRM 21 Integrating General Ledgers using FDQM FDQM HFM Adapter FDQM Load Locations FDQM Import Format 22 Integrating General Ledgers using FDQM Contin. FDQM HFM Adapter FDQM Custom SQL Import Scripts 23 Integrating General Ledgers using FDQM Contin. HFM Ad-Hoc Analysis in Smart View Excel displayed at the lowest level intersection. 24 Integrating General Ledgers using ERP-I. HFM Ad-Hoc Analysis in Smart View Excel displayed at the lowest level intersection where a Finance user can drill-through from excel smart view directly into EnterpriseOne. 25 Integrating General Ledgers using HFM & OBIEE. 26 Integrating General Ledgers using HFM & OBIEE Contin. 27 Integrating General Ledgers using Essbase & HFR 28 Integrating General Ledgers using Planning 29 David Finney IDEX Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | 31 Oracle Open World October 2nd, 2014 IDEX PROPRIETARY & CONFIDENTIAL Who am I and what is IDEX? 32 • Dave Finney – Director of Financial Systems at IDEX – – – – 15 years experience with EPM products Starting in Accounting and Finance and moved to Financial Systems Led several major projects focusing on improving financial processes Hyperion focus includes HFM, FDM, Essbase, Planning • IDEX – $2 billion supplier of highly engineered industrial and technology solutions – Global platform strategy in attractive markets focused on protectable “moats” – Our objective is to provide consistent double digit earnings and strong cash flow growth with superior return on invested capital – Headquartered in Lake Forest, IL, with facilities across five continents with more than 6,700 employees IDEX PROPRIETARY & CONFIDENTIAL IDEX has over 100 business units Fluid & Metering Technology 33 Health & Science Technology Fire & Safety/Diversified 2013 Revenue $872 $715 $445 % of total 43% 35% 22% 2013 Operating Margin 24% 19% 23% 2011–2013 Operating Income CAGR % 13% 14% 9% Strategic Platforms/ Groups • Chemical, Food & Process • Water • Energy • Agriculture • • • • • Scientific Fluidics Optics & Photonics Material Processing Specialty Compression Seals • • • • Dispensing BAND-IT Fire Suppression Rescue IDEX PROPRIETARY & CONFIDENTIAL Agenda • • • • • 34 Business Problem Our solution How did we do it – data integration How did we do it – close process Benefits realized to date and expected future benefits IDEX PROPRIETARY & CONFIDENTIAL Business Problem 35 • IDEX needed to improve its management reporting and upgrade their version 9 applications • The data integration from JDE to Hyperion had a data warehouse layer that was error prone IDEX PROPRIETARY & CONFIDENTIAL Our Solution – FDMEE against JDE, DW for Essbase Trial Balance details (with cost centers) 36 Trial Balance details (with cost centers) External Reporting Non- JD Edwards ERPs HFM FDM - JD Edwards (JDE) XE REMOVE Custom 3 Dimension (ES&A, Semi detail), all Forecast scenarios ADD FX/ Perf vs PY FIX N1 and N2 process REMOVE DW Input HIDE Cost center detail (pass-thru to get to essbase) - Management Reporting Operational data Operational data SQL Data Warehouse JD Edwards (JDE) 9.0 - NEW Provide summarized data feeds to essbase NEW Automated reconciliations to essbase Essbase - - NEW Management & Financial Reporting tool ADD Cost center data, comparison scenarios with multiple FX/Perf over multiple years, China/India Passback AUTOMATE Operational Summarization (from JDE 9X) / Manually Load from other ERP’s BEGIN Product P&L Allocations IDEX PROPRIETARY & CONFIDENTIAL How did we do it – FDMEE data integration to HFM 37 • Hyperion work – Determined new HFM dimensionality (Account dimension and C3 changed) – Created new FDM locations – Migrated about FDM v9 maps to FDMEE 11 • Export FDM v9 maps to excel • Perform excel process based on account and C3 change (vlookups, etc) • Import new v11 maps – Convert import formats from VB script to Jython script • Very little work on BU side • JDE work – Built process to run trial balance files to secure folder for FDM import • Data warehouse work – Removed any transformations IDEX PROPRIETARY & CONFIDENTIAL How did we do it – Close process overview 38 • Overview – – – – – Over 100 businesses loading data through FDMEE 50% of businesses on JDE use a single, global account map 50% of businesses not on JDE run local trial balances and load All maintain their own maps are in control of the process Close the books on work day 4 • Loading actuals - JDE – Run a trial balance extract process created by the JDE team which writes to secure folder – Load in FDM takes 1-2 minutes • Loading actuals – Non-JDE – Run local trial balance extract and save to secure folder – Load in FDM takes 1-2 minutes IDEX PROPRIETARY & CONFIDENTIAL Benefits realized to date and expected future benefits 39 • Current benefits – Time savings and improved accuracy with removal of data warehouse layer for the trial balance load – Retained same great FDM look and feel so end users continue to maintain maps • Future expected benefits – Leverage FDMEE for direct integration into JDE • Will direct connect to our JDE 9.1 and higher BU’s – Leverage FDMEE for integration to essbase • Part of release 220.127.116.11 in early 2015??? • Currently using EPMA data synchronization which is slow IDEX PROPRIETARY & CONFIDENTIAL Additional Resources • Contact information – [email protected] • Online documentation – http://www.oracle.com/technetwork/middleware/epm/documentation/index.html • Oracle Support – http://support.oracle.com Copyright © 2014, Oracle and/or its affiliates. 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