Tool Access & Logon

1. Partner Profitability Modeler: User GuideA tool for Microsoft partners to estimate their business opportunities using P&L calculations, including: Revenues, Costs, Margins, Net Income, Cash-Flow, ROIPartner P&L financial assumptions: based on partner company revenue size from ~$5M-$75M; but can scale to any partner company size, estimated calculations, or deals metrics Available to any partner in the Microsoft Partner Program (MSPP) Tool version 1 (US English only) includes: - BPO Suite: Exchange Online, Sharepoint Online - CRM Online: Standard, ProfessionalContact: Don Hiebert (dhiebert@microsoft.com)

2. Contents- Tool Access & Logon - Step 1: Company Overview- Step 2: Scenario Building- Step 3: Business Impact- Step 4: Next Steps- Additional Resources & Functionalities

3. Tool Access & Logon • Modeler tool access is accessed via Microsoft Partner Program portal: • Sales & Marketing – Business Planning:https://partner.microsoft.com/partnerprofit Partner Profitability Modeler Tool & Guide Partner Self-Assessment Survey Industry Research and Case Studies

4. Tool Access & Logon - continued Logon. Only Microsoft Partners can use Tool, by using their MSPP ID to logon. Enter unique Email address Enter unique Password 1 2

5. Tool Access & Logon - continued Launch tool. Modeler tool entry launch page for first time users and returning users. Read a Sample Report or the FAQ (see slide # 12 for actual documents) First time users do NOT need logon ID. Returning users who have Saved a file need to create a unique ID 1 2

6. Step 1: Company Overview Provides baseline of partners’ company overall business #’s - used as a reference baseline for Scenario estimations that will be created. Step 1 data are optional inputs, and are not required to complete Steps 2-4. Select business headquarters location Input current Total Annual Sales and Net Income, and estimate for Annual Revenue Growth Rate 1 2

7. Step 2: Scenario Builder • Provides new opportunity P&L calculations based on deal estimates. • 1. Select the scenario Microsoft based solution(s): • BPO Suite (Exchange Online only, Sharepoint Online only, combined Business Productivity Online Suite) • CRM Online (Standard, Professional) • 2. Select the scenario deal metrics: • Input estimated Average # of Deals per Quarter and Average Deal Size by Number of Seats • 3. Input estimated Average Annual Growth Rate 1 2 3

8. Step 2: Scenario Builder (continued) Provides estimated 3-year details for business impact analysis. Evaluate ROI Summary of Revenue, Margin, ROI, Monthly Annuity Cash-flow Evaluate 3-year and Totals for Revenue, Incremental Sales, Gross Profit, Operating Profit, Net Income Review and Edit Scenario Input Details (see next page for details) 3 1 2

9. Step 2: Scenario Builder (continued) • Provides way for partner to adjust scenario details to match their business P&L. • Adjust Cost of Sale, Licensing Rates and %, Churn-rate, Hourly Services and Costs, Managed Services Costs • Adjust General & Administrative (G&A) and Tax Rate • Adjust new business Investment Expenses like Marketing & Business Development, Staff Training, Other 1 2 3

10. Step 3: Business Impact Provides estimated 3-year summary of business impact P&L. Evaluate 3-year summary of Revenue Increase, Net Income Growth, and Subscription Revenue (Online Solutions) Evaluate year 1-3 and total P&L projections as measured against current revenue and growth estimates entered in Step 1 1 2

11. Step 4: Next Steps Provides executive business guidance on planning and implementing modeled scenarios. Evaluate modeled scenario by Business Model Phases: Assess & Plan, Analyze and Adjust, and Execution and Measurement Access additional Microsoft resources for selection solutions – including BPO Suite, CRM Online, and Software plus Services websites 1 2

12. Additional Resources & Functionalities Additional resources: Tool FAQ, see actual FAQ file Scenario sample Report, see actual Sample report file 1 2

13. Additional Resources & Functionalities Additional resources and functionality. Change Currency – list has 63 currency options, includes a Currency Exchange Rate calculator tool User must Register by creating a unique ID with email and password User can Save multiple Scenario files, can created custom Reports, and Excel P&L files; can email a Saved document 1 2 3 Microsoft does NOT collect or view any user ID information per Microsoft Privacy Policy