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Transcript of Presenter’s Name Presenter’s Title - Oracle | Integrated …opnpublic/documents/... ·...
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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 decision. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.
Safe Harbor Statement
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• Leadership in Airlines
• Reduce Costs Through Best Practices and Optimized Resources
• Results Achieved by Oracle Customers
Agenda
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Oracle inAir Transport
Did You Know?
Source: Airline rankings - IATA Economics, Sept 2006
9 of the world’s top 20 airlines run Oracle Applications
47 of the world’s major airports use Oracle eBusiness Suite
73% of the world’s top 100 airlines use Oracle Technology
48 of the world’s leading airlines use Oracle eBusiness Suite
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The Challenges We’re Hearing
Ensure Regulatory Compliance, Certification &
Security
Ensure Regulatory Compliance, Certification &
Security
“Audits mean that airlines have to prove they are complying with legal obligations, and global aviation and security regulations or they will put their business at risk”
What we want is for the airlines to get in compliance with the [legal, crew, airworthiness and security] regulations. We constantly audit airlines. We have inspectors whose job that is.
FAA
“How can I increase the efficiency of my processes and operations, and reduce my costs, to remain competitive despite the ongoing downward pressure on revenue and the growth of the low-fare sector?”
One low-fare airline has 67% lower costs than the average network airline. US network carriers have reduced their cost gap with the low-fare sector from 45% to 36%.
Improve Operational Efficiency and Reduce
Costs
Improve Operational Efficiency and Reduce
Costs
IATA
Increase Profitability and Customer Loyalty
Increase Profitability and Customer Loyalty
“How can I identify, retain and develop business from high-yielding customers that deliver up to 80% of my revenue and drive my profitability upwards?”
Recent steady growth in premium traffic has helped increase airline revenues.IATA
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The Operational Efficiency Challenge
Distribution by Age of Aircraft Boeing and Airbus Aircraft Orders
“How can I increase the efficiency of my processes and operations, and reduce my costs, to remain competitive despite the ongoing downward pressure on revenue and the growth of the low-fare sector?”
One low-fare airline has 67% lower costs than the average network airline. US network carriers have reduced their cost gap with the low-fare sector from 45% to 36%.
Improve Operational Efficiency and Reduce
Costs
Improve Operational Efficiency and Reduce
Costs
IATA
Nearly 1,400 aircraft with average age greater than 20 years
Last year saw more than 2,000 new aircraft orders for the first time since 2001
• Aviation maintenance expenses are poised to rise dramatically from current levels due to the increase in older aircraft requiring increasing maintenance visits and overhauls – as well as the next generation aircraft (airframes and engines) that will drive additional MRO demand
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• Leadership in Airlines
• Reduce Costs Through Best Practices and Optimized Resources
• Results Achieved by Oracle Customers
Agenda
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Reduce Costs Through Best Practices and Optimized Resources
Reduce off-contract and unauthorized spend, reduce purchase costs
Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments
Oracle Supply Chain Management, Procurement
Increase maintenance efficiency, reduce spares inventory, reduce (predict) failures, and optimize processes
Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
Oracle Complex Maintenance, Repair and Overhaul, Asset Management
Reduce time to closure at both headquarters and outstations
Oracle Financials,Oracle Daily BusinessIntelligence, IATA ClearingHouse Add-in
Oracle’s solutions fully meet airline specific requirements, and integrate with interline and trade clearing-houses
Requirement Oracle Capability The Oracle Difference
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Reduce Costs Through Best Practices and Optimized Resources
Reduce off-contract and unauthorized spend, reduce purchase costs
Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments
Oracle Supply Chain Management, Procurement
Increase maintenance efficiency, reduce spares inventory, reduce (predict) failures, and optimize processes
Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
Oracle Complex Maintenance, Repair and Overhaul, Asset Management
Reduce time to closure at both headquarters and outstations
Oracle Financials,Oracle Daily BusinessIntelligence, IATA ClearingHouse Add-in
Oracle’s solutions fully meet airline specific requirements, and integrate with interline and trade clearing-houses
Requirement Oracle Capability The Oracle Difference
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MaintenanceMaintenanceMaintenance
Oracle Complex Maintenance Repair & Overhaul (cMRO)
In a complex aviation operational environment, how can you ensure increased maintenance efficiency (right aircraft in the right place with the right people skills to perform services with the right parts), reduce spares inventory, reduce (predict) failures, and optimize the overall MRO process?
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Oracle Complex MRO SolutionIncrease Maintenance Efficiency, Reduce Spares Inventory, Reduce (Predict) Failures, and Optimize Processes
PlannedMaintenance
Supply ChainManagement
Human Resources Contracts
MaintenancePlanning
MaintenanceExecution
ConfigurationManagement
EngineeringData
UnplannedMaintenance
Return toService
Visit WorkPackage
Finance /Costing
CreateVisit
CreateVisit InspectInspect
RebuildRebuildReinstallReinstall
UpdateConfigUpdateConfig
Plan /ReceivePlan /
Receive Repair /ReplaceRepair /Replace
TearDownTear
Down
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KPIs, Charts, Comparisons
TransactionsCosts
Updates
WO Updates, Catalogs
Procurement Costing Inventory Projects Installed Base
Suppliers
Changes to Capitalized Asset Depreciation
Service Request Linked to
Work Order
Customers
Time & Attendance
Receiving
Project / Task, WO Costs
AccountsPayable
GeneralLedger
AccountsReceivable
FixedAssets
Material Planning
HumanResources
Posting Integration
Chart of Accounts
WOBilling
DepreciableAssets
Requisition & PO Changes, AP-to-PO Matching & Reconciliation
Employees & Skills
MaintainableAssets
Subcontracting
Production& Maint WO
WO Materials, Reqs Linked to WO & Workflow
iSupplier
Intelligence
BalancedScorecard
Time Entry
cMRO – Enterprise Integration with eBusiness Suite
cMRO
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Master Configuration“Allowable Configuration”
Unit Configuration“As Installed” / “As Maintained”
ReferencesAllowable
Config.
Maintain Configuration ControlManage Configuration Changes and History
• Allowable Assembly Template• Manage Constraints and Rules• Link to Maintenance Requirements• Support Sub-Master Configurations
• Trace Installation / Removal History• Track Unit Specific Information• Update Applicable Configurations
with Single Entry
System
Component Component
Primary Alternate Primary AlternateSerial # Serial # Serial #Serial #
Serial # Serial # Serial # Serial #
Tail #
Serial # Serial #
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• List All Units in Fleet• Provide Logical Grouping or Hierarchy• Manage at the Unit Level• Link Directly to Fleet Maintenance Program
Maintain Fleet ConfigurationAutomatically Link Unique Characteristics
SandFilter
CorrosionInhibitor
Ocean Desert
Tail #Tail #Tail # Tail # Tail #Tail #
737-700 777-400757-300737-800 737-800
Site 1 Site 2 Site 3
Fleet
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Maintenance Execution OptimizationPerform All Types of Work Capture Results
View Available &View Available &Required ResourcesRequired Resources
Schedule Jobs /Schedule Jobs /OperationsOperations
• Schedule jobs within pre-defined parameters
• Execute against planned events- Major assembly overhauls, letter
checks, deferrals, new requirements based on ADs / SBs
• Account for unplanned events- In-flight problems, log book items,
condition monitoring events
• Capture all results from work- Update maintenance history and
problem / failure reports- Input quality and reliability data- List required approvals and sign-off
• Link data to actual work performed• Ensure closed-loop traceability
from receipt to proof of compliance
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Reliability-Based Rotables PlanningReplenish Line and Base Stations Based on Parts Performance
• Predict component failures base on past parts performance• Predict where and when a component installed on an aircraft may fail• Reduce Aircraft-on-Ground (AOG) events -- when parts breaks replacement
component is available at the correct
Tail #003
Part A
Part B
…
Tail #002
Part A
Part B
…Tail #001
Part A
Part B
…
• Expected future utilization• Failure history• Mean Time Between
Failures (MTBF)
• Components & utilization to date
Demand Forecast by Componentand Location
(push to Advanced Planning)
Part A Part B …
Aircraft and EngineFlight Schedule
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Mexicana
COMPANY OVERVIEW• The Mexicana Group owns and operates Mexico’s leading full • service airline, Compañía Mexicana de Aviación.• Their fleet consists of Airbus A318, Airbus 319, Airbus 320,
• Boeing 757, Boeing 767 and Fokker 100 aircrafts.
CHALLENGES/OPPORTUNITIES• Consolidate aircraft maintenance business units• Enhance financials reporting• Reduce supply chain costs• Consolidate with one strategic solution
SOLUTIONS• Oracle EBS Financials & HMC• Oracle cMRO, EAM, and SCM• Oracle OnDemand
RESULTS• Ability to manage aircraft MRO operations
for both intenal airline and externals airline customers in one system
• Lower Total Cost of Ownership with reduced integration expenses between different system
• Faster time to market with Oracle OnDemand (hosted solution)
• Better visibility into financial performance and health of the airline operations and the third-party MRO services
• Better able to have the “right people in the right place at the right time” due to Oracle HCM
CUSTOMER PERSPECTIVE“To reinforce our market leadership in commercial aviation, we were seeking an IT solution that would more efficiently manage our complex business needs while allowing us to continue meeting clients service expectations,”Santiago Ontañón, CIO Mexicana
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Reduce Costs Through Best Practices and Optimized Resources
Reduce off-contract and unauthorized spend, reduce purchase costs
Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments
Oracle Supply Chain Management, Procurement
Increase maintenance efficiency, reduce spares inventory, reduce (predict) failures, and optimize processes
Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
Oracle Complex Maintenance, Repair and Overhaul, Asset Management
Reduce time to closure at both headquarters and outstations
Oracle Financials,Oracle Daily BusinessIntelligence, IATA ClearingHouse Add-in
Oracle’s solutions fully meet airline specific requirements, and integrate with interline and trade clearing-houses
Requirement Oracle Capability The Oracle Difference
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Financial Management Provide Complete Solution for All Financial Processes
Integrated Intelligence & Performance Mgmt
Customer Payment Allocations
Integrated Back-Office Operations
Role-BasedPortals & Reports
Forecastsvs. Actual
Performance Metrics
RevenueAccounting
• General Ledger• Budgeting• Cash & Treasury
• Fixed Assets• Tax Accounting• Property Mgmt
Customer & Third-Party Providers
Payables
Transactions
Receivables
Portal
Apps
Clearinghouses
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• Load data from any source regardless of currency, language, calendar, or chart of accounts
• Integrate with financial, passenger & cargo revenue accounting systems• Summarize information for financial and managerial reporting• Drill to details for multi-dimensional analysis and reporting
Global Financial ConsolidationEnable Single Global Instance for All Financial Data
FinancialConsolidation
Hub
FinancialConsolidation
Hub
One-TouchConsolidation
ReportGeneration
Multi-DimensionalAnalysis
ResultsAuditing
DataTransformation
& Validation
Division / Airport
Region / Ticket Office
Country / Location
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• Analyze Revenues at Any Level– Cargo / passenger / mail services– Flight leg– Day of operation– Fare basis– Cabin type
• Designed for the Business User– Dynamic access to data from a Web
browser– Built-in statistical and financial calculations
to create forecasts and calculate performance ratios
– Automated generation of financial reports for improved compliance
• Perform Dynamic Analysis– Quickly perform ad-hoc reporting to
comply with new or changing regulations
Financial Analysis and Reporting Provide Clear Picture of Performance / Profitability
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Empl
oyee
Rel
atio
ns
CompetencyAnalysis
BudgetAnalysis
CommonData
Source
Performance Analysis
FinanceProjects
ContractsService
MaintenanceManufacturingProcurement
OM & LogisticsSales
Marketing
Exte
rnal
Portal
CandidatesContractors
Ex-Employees
Role-Based Access
EmployeesManagers
Inte
rnal
Single, Global Model
Integrated Intelligence
Best PracticesERP
ContentPartners
StrategicStaffing
Development& Retention
TotalCompensation
SecureAccessSecureAccess
Oracle HCM Process Flow
Automation & Collaboration
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Dragon Air
COMPANY OVERVIEW• Major Hong Kong based airline with high-
frequency operations throughout Asia and long haul operations to Middle East and Europe
CHALLENGES/OPPORTUNITY• Users all around Asia Pacific but required a single
consolidated view• Reduce close cycle• HR and Procurement functions work seamlessly
with Finance• Reduce purchasing costs e.g. improved process
efficiencies, improve purchasing contracts
SOLUTIONS• Oracle Financials & Oracle iProcurement• Oracle HRMS & Oracle Payroll• Oracle Training Administration & Oracle Tutor• Oracle Database• Oracle Application Server• Oracle Internet Developer Suite• Oracle Discoverer
RESULTS• Significantly reduced close cycle – less
than 10 days• Significant reduction in process times,
increase in on-contract spend, reduction in procurement costs
CUSTOMER PERSPECTIVE“Upgrading to the latest version of Oracle’s eBusiness Suite enables us to easily roll out the system to our twenty-seven outports across Asia Pacific. Single instance reporting from our headquarters in Hong Kong then becomes possible, shortening close cycles and dramatically improving the efficiency of the accounting process of the whole organization.”Francis Wai, Chief Financial Officer
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Reduce Costs Through Best Practices and Optimized Resources
Reduce off-contract and unauthorized spend, reduce purchase costs
Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments
Oracle Supply Chain Management, Procurement
Increase maintenance efficiency, reduce spares inventory, reduce (predict) failures, and optimize processes
Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
Oracle Complex Maintenance, Repair and Overhaul, Asset Management
Reduce time to closure at both headquarters and outstations
Oracle Financials,Oracle Daily BusinessIntelligence, IATA ClearingHouse Add-in
Oracle’s solutions fully meet airline specific requirements, and integrate with interline and trade clearing-houses
Requirement Oracle Capability The Oracle Difference
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Oracle Advanced ProcurementThe Integrated Suite that Dramatically Cuts All Supply Mgmt Costs…
Spend Categories
IndirectGoods
DirectMaterials
EngineeredGoods
Services ApprovalRouting
TouchlessBuying
Automated Payment
Enforce Policy Compliance
Budget-BasedProcurement
ContractManagement
SupplierPerformance
Reduce Spend on Goods and Services
CategoryManagement
OnlineSourcing
SpendAnalysis
Streamline Procurement Processes
SupplierCollaboration
Settlement
Orders
ProfileManagement
SupplierNetwork
Logistics
SupplierPortal
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Advanced Planning SolutionComplete Best-in-Class Planning Process Platform
Future *
IntegratedPlanningFunctions
Products
Platform
E1 EBS …Legacy
ERP* *
Real-Time Sales and
OperationsPlanning
DemandManagement
and AdvancedForecasting
Predictive Trade
Planning and Optimization
InventoryOptimization
AdvancedSupply Chain
Planning
ProductionScheduling
Global Order
Promising
CollaborativePlanning
WFL Common planning data model
Connectors
NetworkDesign Demand Sensing
And Shaping PostponementOptimization Holistic
Supply Planning Promise,
Distribute, andReplenish
Execute to plan
Embedded Analytics
Role-based Portals
Preconfigured Worksheets and
Workbenches
Operational Excellence
Real-Time S&OP
Demand drivenadaptive planning
Multi-EnterpriseCollaboration
Trading Partners
Best in classBusinessProcesses
StrategicNetwork
Optimization
Supply ChainRisk Management
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COMPANY OVERVIEW• World leader in international express shipping of
documents and freight• Serves 635,000 cities in 220 countries
CHALLENGES / OPPORTUNITIES• Improve supplier qualification processes• Provide end users with instant access to order
information• Reduce purchasing cycle times
SOLUTIONS• Procurement • Financials
CUSTOMER PERSPECTIVE“A look at the other e-procurement tools on the market convinced us that there was no advantage to choosing any other solution than Oracle. With the successful implementation of iProcurement, we have shown that the e-business revolution can bring real added value.”Franck Duperrier, Financial Manager
RESULTS• Reduced purchasing cycle time by 73%• Reduced purchase order processing time
by 67%• Live at over 40 sites in Europe, currently
rolling out to the rest of the world• Expect a 20 month ROI
DHL
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Reduce Costs Through Best Practices and Optimized Resources
• Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
• Oracle’s solutions fully meet airline specificrequirements, and integrate with interline and trade clearing-houses
• Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments
Procurement
Financials, Human Capital Management
& OBIEE
Complex Maintenance Repair & Overhaul
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The Only Complete Airlines Solution
Platform
PeopleProcesses
PartnersPartners
CustomerResults
CustomerResults
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Most ComprehensiveHighest RatedOnly vendor in Gartner and Forrester leader quadrants for all Middleware components.
Best-Selling•32,000+ Customers Deployed
•70% of World’s 50 Largest Firms
•$1B+ Business
SOA Vendor of Choice
Source: Forrester Research ranking of Application Platform Servers, April 2005
Market-Leading Middleware Platform
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950 customers participating in Customer Advisory Boards
500 Industry & Product strategy council members
35 Fusion strategy council members
1300 participants in early customer adoption programs
425 user groups
30,000 applications customers
220,000 database customers
5000 middleware ISVs
1700 application ISVs
9000 database ISVs
30,000 middleware customers
29,000 developers, support engineers and consultants
Oracle’s People Advantage
275,000 customers
benefiting from shared innovation
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• Leadership in Airlines
• Reduce Costs Through Best Practices and Optimized Resources
• Results Achieved by Oracle Customers
Agenda
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Oracle inAir Transport
Did You Know?
45 aviation companies use Oracle Financials & Procurement
35 of the top 50 world’s largest firms use Oracle Fusion Middleware
11 of the world’s aviation companies use Oracle cMRO
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Industry Quotes
“Oracle’s strong middleware platform and greater support of standards make it a better choice than SAP for customers who will rely on custom development as well as packaged apps.”
“Oracle Versus SAP In Enterprise Applications: Let The Battle Of Architectures Begin!”, March 2006
“Oracle’s Complex MRO application is well positioned for the Aviation, Aerospace and Defense (A&D) industries. Oracle has also done well by designing the application to stand alone or within its traditional suite. The configuration management and planning aspects of the application are particularly strong.”
“Oracle is the top Supply Chain Management (SCM) commercial software under consideration for future purchase by midsize companies (300 to 2,499 employees). Oracle was the most often mentioned Supply Chain Management (SCM) vendor from which surveyed companies would likely purchase their next systems upgrade.
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The Oracle Difference
Only Oracle…
• Only Oracle offers an end-to-end airline specific MRO solution fully integrated with back office including HR, procurement, warehousing
• Oracle’s solutions fully meet airline specific requirements, and integrate with interline and trade clearing-houses
• Oracle’s solutions are proven to substantially reduce costs and spend in distributed airline environments