Oracle EBS Service Contracts Extensions for Oracle Endeca Amit Jha Project Leader, Product Management Oracle EBS Procurement & Contracts October 02, 2014

Oracle EBS Service Contracts Extensions for Oracle Endeca

Amit JhaProject Leader, Product ManagementOracle EBS Procurement & ContractsOctober 02, 2014

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | 3

Safe Harbor StatementThe 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.


Program Agenda

Service Contracts: An Overview

What’s New in R12.2.4

Service Contracts Endeca Extensions

Future Directions

Additional Resources

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Program Agenda


What’s New in 12.2.4


Future Directions


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Service Contracts At-a-Glance

Customer

Service Provider / Product Manufacturer

Sales

Service

Contract Mgr

• Financials, Advanced Pricing• Order Management , Quoting

• Install Base• Field Service

OtherApplication

Components

Entitlements

Orders

T&Cs

ServiceContracts

Repository Renew

CreateContract

ProvideService

VerifyEntitlement

DefineCoverage

Bill &Collect

IntegrationReturns, RMAs

Quotes

Extended Warranties, Subscription,

Usage Agreement

Bill & Invoice

Service Requests

Renewal Notifications

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Types of Services• Warranty

• Extended Warranty

• Service

• Usage based Services– Counters

• Actual Reading• Estimated Reading• Negotiated Value

• Subscription based Services– Tangible, with Fulfillment – Intangible


Business Benefits

• Define Standard Service Offerings and Contract Templates

• Drive Contract Compliance– Ensure Contracts meet Business Validation Rules

• Overlapping Coverage Days for same product• Sales Credits not adding to 100%• Billing Schedules generated for all lines• and more…..

– Result in either Warning or Error– Completely Configurable Framework

• Supports AME

Standardize Contract Processes


Business Benefits

• Apply Discounts, Surcharges and Volume Price Breaks– Advanced Pricing Integration

• Qualifiers, Modifiers, Pricing Formula & Surcharge

• Bill Services/ Usage without Manual Intervention– Supports Complex Billing Scenarios– Accounts Receivable Integration– E-Business Tax Integration

Flexible Pricing and Billing Options


Business Benefits

• Field Service, Call Center and Depot Repair Support– Determine Service Entitlement when placing Service Request– Coverage Definition

• Days and Times of Coverage in multiple time zones• Reaction and Resolution Times, etc.

• Preventive Maintenance– Minimize Unplanned Breakdown of Equipments

• Planned Activities & Dates defined on Coverage Template• Service Requests Automatically Generated

Timely Entitlement Verification


Business Benefits

• Automate Renewals for Recurring Revenue Opportunities– Large Volume, Lower Value Contracts– Supports Event Driven Renewal Process

• Self Service Application for Customers– Review Quotes– Accept, Reject or Request Assistance– Provide Payment Information

Reduce Administrative Costs


Business Benefits

• Preview Contracts Impacted by Changes in Installed Base– Transfer of Products– Termination of Products

• Automatically Generate Credit for Service Terminations– Suppress, Override or Honour Calculated Credit Amount

• Return and Replace Covered Goods– Return using RMA in OM results in automatic Terminations– Replacements Inherit the Warranty of Replaced Item

Streamline Contract Administration


Program Agenda




Future Directions


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Public APIs• Aid Create and Update operations

• Take Actions on Contracts– Change Status– Delete– Cascade Attributes– Activate– Renew

– Terminate

• Business Benefits– Better Integration– Improve User Productivity– Minimize User Errors


• Description– Move Assets from Source to Target Contract– Source and Target Contracts in ‘Entered’ status– Renewal Links retained in Target Contract– Flexible Options

• Pricing• Merge Contracts across Customers• Move specific product/ services• Processing either in Online or Background mode

– Movement recorded in Execution History

• Benefits– Enables Contract Consolidation– Improves Contract Maintainability

Contract Merge


• Estimated Tax can be calculated based on Billing Schedule– Invoice Date– Duration

• Business Benefits– Factor in Changes in Tax Rate and its

Effectivity– Increase in Transparency to Customers

Calculate Estimated Tax with Higher Accuracy


• Description– Incorporate ‘Severity’ information when

defining• Coverage Time• Reaction Time• Resolution Time

– Reaction & Resolution Times defined using variable number of hours

• Benefits– Provide assistance as per task severity

• Improves Productivity• Cost Savings

– Ensure Compliance with Promised SLAs

Contract Coverage Enhancements


• Description– Honour Customers’ Invoicing Preferences– Record Range of Days during which Invoices

are accepted– Invoices with Interface Date outside the Days

Range scheduled for Next Billing Cycle

• Business Benefits– Better Collaboration– Improved Process Efficiency

Control Generation of Invoices


Program Agenda




Business Drivers

Demonstration

Key Benefits

Future Directions


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Operational Challenges

Booking Renewals Customer Service Experience

Customer Risk Service Revenue Leakage


Need for Change…• Center of Gravity shifting to the Customers

– Explosion of Choices– Growing Intolerance towards Bad Service– Globalization

• Customers demanding More Value from Service Providers


Stages of a Customer-Supplier Relationship

Strategic Sourcing EvolutionOccasionalTransaction

TraditionalPurchase

Multi YearContract

Long TermRelationship

StrategicSourcing

CompetitivePurchase

Pote

ntial

Gai

ns

Customer – Supplier Integration


Streamline Contract Renewals

Increase Customer Satisfaction

Improve Productivity

EBS Endeca In-Memory Information Discovery

Renewal Sales Representative

Renewal Sales manager

Working Towards Common Goals…


Service Contracts – Endeca Extension

• Grow business through 100% Customer Satisfaction– Constantly monitor and address issues in a timely manner for

improved service quality

– Keep entire service delivery organization in sync

• Meet customer commitments & reduce business risks– Impeccably honor all agreed-to terms & conditions

– Proactively identify signs of risks and strategize immediate remediation

• Improve the productivity of renewal specialists– Quickly identify and prioritize tasks requiring attention

– Constantly monitor renewal performance & revenue targets

Key Benefits

Insert Picture Here


SupplyProvider

Buyer / Business

Users IT

Service ManagementService Delivery

Execution

Relationship Management

Contract Administration

Service DeliveryManagement

Relationship & Account Management

Service Delivery

Feedback

Change Requests

Business Needs

Communication Flows

IntegrationCollaborationDemandCustomer

Services ContractsIntelligent Customer

The Customer- Provider Interface


Program Agenda




Business Drivers

Demonstration

Key Benefits

Future Directions


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Use Cases

• One of the metrics that a Sales Rep closely tracks is the ‘Cancellation Rate’

• If the Cancellation Rate goes up above the specified target value, their performance is impacted

• Try to find the Root Cause of the surge in Cancellation Rate

• Take preventive actions, communicate to appropriate stakeholders.

End of Service Life


Use Cases

• Objective is to change the way Sales Reps manage the Renewals process

• Bring about a Change in Attitude

• Focus should move away from Renewals to Customer Relationship Management

• Continuously Monitor Service levels and Customer Satisfaction

Customer Service Experience


Use Cases

• Empower Sales reps to take effective decisions using relevant information

• Keep a tab on the Financial, Legal and other Business Risks associated with the Customers

• Flag anomalies and take appropriate actions

Ascertain Renewal Risk


Program Agenda




Business Drivers

Demonstration

Key Benefits

Future Directions


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Sales Representative Command Center

• Alerts

• Guided Navigation

• Metrics– Work Queue

– Contracts

– Renewal Performance

– Amount

• Charts– Renewals

– Contract Spread

– Revenue Leakage Spread

– Follow Up

– Service Request Spread

• Results Tables

• Actions

Key Features


Key Benefits for Sales Representative

• Alerts for Exceptions

• Quickly Identify and Prioritize Work Load

• Track Renewal Performance

• Decision Enablers– Enriched Customer Data– Past Service Experience

• Take Actions on Contracts

Improved Efficiency


Sales Manager Command Center

• Alerts

• Guided Navigation

• Metrics

• Charts– Renewals

– Contract Spread

– Revenue Leakage Spread

– Follow Up

– Service Request Spread

– Trend Analysis

– Revenue Spread

• Results Tables

Key Features


Key Benefits for Sales Manager

• Assess Renewal Performance– Roll Up view– Monitor Sales Representatives’ Progress

• Assess Cancellation Risks– Mitigation of Risks– Forecast Accuracy

• Revenue Leakage Analysis– Trends in Cancellations, Terminations

Improved Oversight


Food for Thought…

Do you use large number of disparate systems to monitor your customers? 90%

Do the Renewal Teams often complain of not being able to locate relevant information easily?

10Do the Renewal Teams have easy Insights into the various Renewal Metrics and Customer Risk?

Can the Renewal Sales Representatives easily identify Contracts to take further Actions?


Program Agenda




Future Directions

Conversion of Forms to HTML UI

Subscription Contracts Enhancements


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Focus on Usability

Consistent User Experience

Better User Interface

Defaulting Logic – Creation & Renewal

Take Actions From a Single Place

Usability

Service Contract

Renewals Administration

Renewals: Pending Assistance Search

Actions

Contract/ Modifier Operating Unit Customer Start/ End Contract/ Negotiation Quote to Contact Amount Actions

22033R123

Vision Operations Business World01-Jan-201531-Dec-2015

EnteredPending Assistance

Jean Paul 390000 USD

28099E-Renew 12

Vision Operations Equipco Inc.01-Feb-201530-Oct-2016


Joseph Matthew 101250 USD

30987R9090

Vision Operations A.C. Networks23-Apr-201522-Apr-2016


Michael Butcher 14500 USD

33510E-Renew

Vision Operations Business World22-Sep-201431-Oct-2015

EnteredPending Assistance Jean Paul

95850 USD

11890R4432

Vision Operations Department of Defense31-Jul-201530-Jul-2016


Daisy Jones 123000 USD

22645E-Renew

Vision Operations Business World29-May-201531-Dec-2016

EnteredPending Assistance Jean Paul

45000 USD

Find

23Pending Assistance

7Follow Up Actions

3Pending Approvals

13Pending Acceptance

3Pending Publish

Service Contract

Subscription Agreement: 22033, R123

Contract Details

Controls

Renewal Options

Lines Summary

Contract Terms

Contract Status Entered True Value 100,000.00

Negotiation Status Draft Start Date

Duration End Date

Attachments 5 Sales Order

Known As Description

Bill To Address 2391, L Street, Santa Clara, CA 95106 Ship To Address 2391, L Street, Santa Clara, CA 95106

Bill to Party Bill to Account Bill to Location Ship to Party Ship to Account Ship to Location

Party Details

Subscriber 1608

Vendor Operating Unit Vision Operations

Role Name Number Actions

Milestone Dates

USD

01-Jan-2014

Year1 31-Dec-2014

Business World

Business World Business World1608 1608Santa Clara Santa Clara

Actions CancelSave

Approved Date Signed Date

Renewal Date


Program Agenda




Future Directions

Conversion of Forms to HTML UI

Subscription Contracts Enhancements


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Subscription Management – Gaps• Tracking Usage against Subscription• Bundling of Services• Electronic Fulfillment• Billing Impacts

Oracle Confidential – Internal/Restricted/Highly Restricted 41


Program Agenda




Future Directions


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Additional Resources• New R12.2.4 features

– Contract Merge & Coverage Enhancements• L2 – Implement and Use• L3 – Support and Troubleshoot

– Public APIs & Other Customer Driven Enhancements• L2 – Implement and Use• L3 – Support and Troubleshoot

• Service Contracts Endeca Extensions– Oracle Support Note (MOS 1914416.1)– Oracle University

• L1 – Position Service Contracts Extensions for Endeca• L2 – Implement and Use Service Contracts Extensions for Endeca• L3 – Support and troubleshoot Service Contracts Extensions for Endeca

– ProductDirect – Oracle Service Contracts Extensions for Oracle Endeca

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Oracle EBS Service Contracts Extensions for Oracle Endeca Amit Jha Project Leader, Product Management Oracle EBS Procurement & Contracts October 02, 2014