Business Management System (BMS) Project Status

1. Business Management System (BMS) Project Status 02-Dec-2005 ITSC Meeting Sally Waselik

2. Objective • Project Status/Timeline • Next Steps

3. Project Status • Initiated Implementation Phase - 06-Sep-2005 • 39 week project – Target Completion - July 2006 • Design Phase – Completed on schedule - 04 Nov 2005 • Confirmed scope/requirements • Outlined/Selected design options • Construction Phase – Underway - Target 10 Feb 2006 • Project remains on schedule for July 2006

4. Project Status • Design Phase Calibration Point Findings • Design improvements/requirements • Can handle within 2005/2006 BMS/IT budgets • Systems Infrastructure performance requirements • Continue to conduct sizing due diligence evaluations • We are currently at a 90% confidence factor • Proof of concept to be completed March 2006 • Can handle within 2005/2006 BMS/IT Capital Budget • Will incur additional $.200m maintenance expense in 2006

5. Project Status • Design Phase Calibration Point Findings • 2006 Training • Using the “Train the Trainer” approach for users • Identify Key Users – Power/Super Users (~20) who attend Siebel training courses who then structure the training to align systems with the operational processes from the IEEE user perspective (versus sending all ~120 users to training courses) • Estimated costs about $.200m expense in 2006

6. Design Report/Analytics – 7 Weeks (In Progress) DESIGN Phase – 8 Weeks Complete) Soln. Definition Report/Analytics – 4 Weeks: (Complete) Project Timeline: BMS Design Phase concluded on 04-Nov-2005Overall project is on track for on-time completion within the planned 39 weeks schedule Project Management AUG-2005 ……………. Wk1 Wk2 ……. …….. Wk8 Wk9 Wk 10 ……. …… Wk 21 Wk 22 ….. Wk 23 …… ……. ……… Wk 31 Wk 32 ………… Wk 33 … Wk 37 Wk 38 Wk 39 Design Phase concluded on 04-Nov Set Up Start Date 06-Sep Total Project Duration is 39 Weeks – Target July 2006 14 Week Construction phase began on 07-Nov CONSTRUCTION: Build and Unit Test – 14 Weeks Integration and System Test – 10 Weeks Critical Milestone: Code Freeze 10-Feb-2006 Knowledge Transfer – 2 Weeks UAT – 3 Weeks • ACCOMPLISHMENTS • Completed BMS Design with successful cross team reviews on 11/4 • Completed ReportingSolution Definition • Completed overall Project Plan Definition – continuing plan elaboration • Began Construction Phase onschedule Deployment - 2 Weeks

7. Guiding Design Principles

8. Review Review Review Prioritize Prioritize Prioritize Enhance Enhance Enhance Next Step – Construction Phase - Business Teams remain as an Integral Part of the Project During Construction & Testing Phases 10/24 10/31 11/7 11/14 11/21 11/28 12/5 12/12 12/19 12/26 ..1/9 1/16 1/23 …2/10 …. 8/4 Formal Design Review by Siebel Systems Reporting Design Siebel Configuration Review Siebel Design Review CONSTRUCTION (Build) CodeFreeze Application Iteration 1 Solution Review Solution Review Critical Milestone 2/10 ! Application Iteration 2 Application Track Solution Review Application Iteration 3 Cross Team Reviews Integration Other Solution Tracks Reports Data Conversion Integration Testing Phase We are taking an iterative approach to ensure users see system – early and often

9. Project Status New Technology Base • Siebel is new to our People. The software has a learning curve • Sent key IEEE personnel to Siebel training • Conducting ongoing on-the-job hands-on training with our Implementation partner (Capgemini) • Strengthening project team with select resources when needed • IEEE Infrastructure requires updates to meet requirements and user expectations • Aligned in-house staff to drive Infrastructure plans • Conducting Proof of Concept exercises throughout project plan • Closely monitoring all infrastructure/performance behaviors

10. Project Status Scope Control • Ensuring we focus on “External User Experience” • Disciplined management of Scope Control and Change Request (CR) Process • Focus on CRs with no impact to overall schedule • Leveraging Executive Steering Committee to ensure appropriate priority Organizational Change Management (OCM): End User Training and Management of change on our organization • The BMS Solution involves a broad change with both a new application and new processes • Closely working with business team on OCM stream (Training, Communication, Deployment Approach) • Evaluating alternative training options for maximum impact

11. Next Steps

12. Thank You!