IT Transformation & Linkages with EA

1. IT Transformation& Linkages with EA CHARY CHIGURALA Director - Strategy, Transformation & Governance NOTE: Certain slides are intentionally deleted for confidentiality purposes

2. Why Transformation? Fluid Business Environment Optimization • Globalisation • Diversification • Optimisation • Innovation Innovation Transformation Diversification Globalisation

3. IT Spending IT spend outpaced world growth Investment in technology is coming down, while IT labour growing 100% 80% 60% 40% 20% 0% Gross World Product Cumulative Growth 1990-2006 ’92 ’94 ’96 ’98 ’00 ’02 ’04 ’06 Source: IT spending-IDC Black Book, Nov. 2006; GWP-EIU, Nov. 2006

4. Role of IT has Significantly Changed Not about centralisation and decentralisation; its about leverage and speed Making a compelling case for Transformation Speed 1970s Leverage1980s Speed and LeverageToday Sales XYZ Ltd Sales Sales Procure Make Procure Make Digital NervousSystem Sales Collect Move Sales Collect Make – Move – Sell Move Sell Sell Sales Sales

5. Budget WF Project Strategy Financial Infra Apps Ops Process Operations What is IT Transformation? HP defines ITT as making ‘fundamental changes to IT’ to drive business outcomes • Both Sides of the Equation • IT Function Efficiency • Budget Management • Workforce Management • Project Management • Infrastructure • Applications • IT Operations • IT Powering the Business • Strategy • Financial • Process • Operations ITT IT Function Faster, Better, Cheaper IT a ‘Powerhouse’ forBusiness Growth

6. Approach – Built on Lessons Learnt Complex journey but there is a simple and structured way to start Transformation Implementation Transformation Planning Transformation Workshop 3 Days 3 Months 3 Years

7. Role of Enterprise Architecture – Change Agent EA is at the cross roads of business and technology The enterprise architecture is a design for the arrangement and interoperation of business components (e.g., workers, policies, operations, infrastructure, information) that together make up the enterprise's means of operation, along with principles and plans governing their evolution over time. The EA helps model the desired changes taking into account existing systems & processes, envisioned abilities, business interdependencies, operational roadblocks and talent challenges. Monumental effort - need to be a group of people comprising Office of the Enterprise Architect

8. EA Engagement Inputs and Outputs IT Strategy Engagement Assess & Align Discover Current EA Models Future EA Models IT Governance Model Sustainable EA Engagement Assess & Align Design Develop Implement Sustain EA Solution Design Sustain EA Developed Solution Implemented Sustain EA Solution Define EA Solution Operational Handover of Sustain EA EA Governance Model Sustainable Enterprise Architecture Operations Manage Operational EA Governance EA Analytics for Business Maintained EA Models Authorized EA Change Requests Maintained EA Related Assets EA Environment Support

9. BUSINESS PLAN OPERATE DELIVER Business Service Management B-SLM Analytics Portfolio Mgnt Quality Assessment Program Mgnt Service definition Testing Project Prioritize Validation Time Capital Allocate resources People Resource Infrastructure Asset Management Finance Contracts Inventory Chargeback Procurement Cost mgnt Vendor mgnt Portfolio Mgmt - A Single Portfolio Planning calendar is shared by both IT and Business Managers Consolidated Demand Decision Support Service request management Strategic Projects New Applications & Enhancements IT Services/User Service Driven Operations Consolidated service desk Incident Problem Release Change IT Financial Management SLM Request Configure & Provision Service Dependency Mapping Consolidated Operations Server Network Storage

10. Shared Services for Core biz processes/ Core systems Define service catalog, SLAs, KPIs, & charge back Define culture, skills, reporting & relationship mgmt Coherent plan is critical to begin Transformation journey Transformation Journey Illustrative Strategy Functions Within Strategically align Business with market changes ITC/DCC Arch Mgmt Rationalise, centralise/ virtualise IT Infra (eg, Data Centers, servers, storage) Align core biz processes, IT with business strategy (EA) Architect apps based on re-usability Business Growth Op. Excellence Bus Innovation Establish Arch office & improve Arch Gov Develop self-funding biz case with prpject prioritisation Business Transformation EDW/BI Client Outcomes Rationalise & centralise data marts Functions Outsourced Gov & Portfolio Mgmt BI/CRM Apps for Improving biz info Establish project portfolio mgmt discipline & tools Non-core/support Biz processes & systems Best Practice IT Manage backbone Critical systems such as SAP/SCM systems Define IT Expend approval guidelines & standards Talent alignment Applications Development & Support AMS Define IT Gov Struct, decision rights & IT risk mgmt Infrastructure Support Best practice IT Expenditure Mgmt Rationalise, Centralise/virtualise IT Apps

11. Final Thoughts • Whilst complex, there is a simple and structured way to start • Begin small, meaningful and measurable • Plan for contingency at every stage of the journey • Establish a Governance Structure with Business CXOs • Audit the results by 'CFO' as an independent referee

12. Contacts Chary Chigurala Chary.chigurala@hp.com Tel: +61 401 99 0401