Analyzing, Planning, and Executing an R12 EBS Upgrade

1. Analyzing, Planning, and Executing an R12 EBS Upgrade Pete Wolffe Senior Manager BearingPoint January 22, 2009

2. Agenda and Purpose Walk through steps in preparing for and managing an upgrade to R12, including • Decision making • Identifying objectives • Scope and approach • Organization and team preparation • Oracle tools and resources • Timeline planning • Testing tips This presentation is intended primarily for people who are helping to evaluate or manage an upgrade, but it also contains valuable information for anyone who might be involved in the upgrade process.

3. We are a Top Tier Oracle Partner • Selected for our: • Demonstrated technical skills • Leadership position in key markets • Understanding of customer requirements • Knowledge transforming traditional business practices with Oracle products • Participation in strategic product and industry-focused solution development • Dedicated Oracle sales team • Significant contributions to Oracle’s success

4. Recognition for Market and Technology Leadership

5. Qualifications and Readiness R12 Projects • Established regional central bank • Large US integrated steel company • Large integrated manufacturer and marketer for the non-residential construction industry BearingPoint Methodology assets include more than 1000 documents (set-up guides, process descriptions, and training guides, etc.) covering core modules. Of these, more than 70% are completely updated to R12.

6. Overview – Upgrade Steps

7. Upgrade Steps

8. Evaluate Identify and Prioritize Upgrade Drivers and Objectives

9. Evaluate R12 Highlights Oracle development has focused on improving the ability of EBS to better manage complex global businesses, especially where organizations are centralizing their applications into a shared service environment. 18 new products with almost 2500 enhancements, including • Ledgers and Ledger Sets - replace Sets of Books • Financials Accounting Engine - Subledger Accounting • Tax Engine - E-Business Tax • Cross Organization Responsibilities - MOAC

10. Evaluate Architecture and Technology Changes • Redesigned workflows • Upgraded user interface based on PeopleSoft • More Personalizations • Expanded use of BI Publisher and Fusion Middleware • Increased Performance • Lowered IT costs through hardware consolidation and virtualization • Improved integration with Oracle Identity Management • Reduced production downtime for patch applications

11. Evaluate Technical Considerations • Implement significant technical advances available in R12 for business benefits you may need • High-Availability and Scalability using Oracle Database Cluster (10gRAC) and Oracle Applications Cluster with Load-balancing • Business Continuity and Disaster Recovery using Oracle Database Physical DataGuard across remote data-centers • Oracle Automated Storage Management (ASM) for a variety of storage solutions • Advanced Security for External Users (e.g., for iSupport Portal) • Use of Single Sign-on / integration with Oracle IDM • Use of Oracle Application Integration Architecture (AIA) based on Fusion Middleware / SOA

12. Evaluate Oracle will support 11.5.10 and 12+ upgrades to Fusion

13. Upgrade Steps

14. Plan Define Appropriate Scope • Combine with hardware or OS upgrade • Instance merge into single, global instance • Deploy new (required) functionality • Deploy new (optional) functionality Right-Sized Phasing – Risk vs. Return

15. Plan Define Approach • Upgrade vs. Re-Implementation • Replace customizations • Retool processes • Take advantage of simplification opportunities in advance of upgrade • Phasing

16. Plan Customizations Revisited… • 1. Inventory • What are they? • What tools were they built with? • Are they still required?- Obsolete functionality- Replaced by new features • 2. Future Approach • Configuration, not customization • Conform to Fusion architecture • 3. Result • Reduced maintenance cost • Reduced risk of architecture obsolescence • Easier to upgrade

17. Plan Recommend required upgrade to 10g database be done in advance of R12 upgrade

18. Upgrade Steps

19. Prepare Organization Preparation • Take into account above scope • Change Management • Data Model • Functionality (esp. Financials) • Build Momentum from Executives through to Users • Involve Business Owners

20. Prepare Assemble the Team • Best and Brightest • Plan to Bolster Weak Areas • Assess current Oracle skills • Plan to Backfill • Potential Organization Chart…

21. Sample Project Organization Chart

22. Prepare Take Advantage of Available R12 Content (https://metalink.oracle.com/) • Online Training (403349.1) • Upgrade Resources (461705.1) • Oracle Applications Upgrade Guide (E12011-02) • Oracle Financials and Oracle Procurement Functional Upgrade Guide: Release 11i to Release 12 (B31543-01) • R12 Release Notes, Release Content Documents (404152.1) • Documentation Resources R12 (394692.1)

23. Prepare Pre-Upgrade Tasks • Use TUMS to eliminate unnecessary upgrade tasks • Reduce upgrade downtime– Upgrade Guide: Release 11i to Release 12 • Reducing Downtime (Upgrade Guide, Appendix E) • Upgrade by Request (Upgrade Guide, Appendix G) – Convert to Multi Org– Convert to OATM– Upgrade database to 10g • Record duration of each step during test upgrade • Make a valid back-up before both the database and applications upgrades

24. Prepare Sample High Level Plan

25. Upgrade Steps

26. Execute Reference Oracle Applications Upgrade Guide: Release 11i to Release 12

27. Execute Maintenance Wizard (215527.1) • Step-by-step, graphical user interface for performing upgrade tasks • Consolidates instructions from multiple sources to present a comprehensive upgrade picture • Reduces upgrade tasks by filtering out those that do not apply to you (using TUMS) • Indicates critical patches that your system requires • Can automatically execute upgrade tasks for you

28. Execute Use the latest patch set to eliminate known issues (557869.1)

29. Execute Notes on Testing • Leverage 11i test scripts updated to reflect new, relevant R12 functionality and process changes • Test all business flows and scenarios using both new and existing data • Test workflows in process • Execute multiple testing rounds and budget enough time for issue resolution • Perform at least 2 successful test upgrade cycles before upgrade cutover • If changing OS (e.g., Unix to Linux, or Windows to Unix/Linux), add another successful test cycle

30. Execute Notes on Testing (cont.) • Perform adequate load and volume testing • Time the upgrade process to gauge duration required for cutover

31. Upgrade Steps

32. Maintain Leverage Documentation and Training Tools • 11i Repository • Test Scripts • Set-up Documents • User Procedures • Tutor • UPK

33. In Summary… R12 is the right direction…. Richer functionality in Financials and Procurement Technical Installation Is Much Quicker XML / BI Publisher provides Greater Flexibility Tax Engine is Much Different Make Sure You’re Prepared and Test, Test, Test!

34. Bibliography • Carlson, Anne et. al. “Best Practices for Adopting Oracle E-Business Suite, Release 12”. June 2008, https://metalink.oracle.com, Metalink doc #580299.1. • Keller, Kelton and Umarji, Sanjay. “Upgrading to Oracle E-Business Suite Release 12: Best Practices and Lessons Learned”. April 2008, www.oaug.com, OAUG Collaborate ’08. • “Oracle E-Business Suite Upgrade Resources”, May 2008, https://metalink.oracle.com, Metalink doc #461705.1. • Ram, Deep. “Upgrading Oracle Applications to R12. SROAUG News p. 4-15, October 2007, http://sroaug.oaug.org/News/SRNL1601.pdf . • Rashid, Mohammed and Riswan, M.K. “R12 Upgrade !!! Maintenance Wizard made it easy”. April 2008, www.oaug.com, OAUG Collaborate ‘08. • Rayner, Nigel and Genovese, Yvonne. “Planning for Oracle E-Business Suite Release 12”. August 2007, www.mediaproducts.gartner.com , Gartner RAS Core Research Note Goo150140. • Sackett, Marcella and Janas, Gary. “R12 Upgrade Project: An Overview of the Joys and Pains”. April 2008, www.oaug.com, OAUG Collaborate ’08. • Vucinic, Sandra. “Get Ready for EBS Release 12! Tasks to complete now to ease R12 upgrade process”. April 2008, www.oaug.com, OAUG Collaborate ’08. • Webb, Glenn. “Considering an Upgrade to E-Business Suite 11.5.10.2 or R12? Learn From a Recent R12 Upgrade”. April 2008, www.oaug.com, OAUG Collaborate ‘08. • Weinstein, Eugene and Yam, Sharon. “Upgrading to E-Business Suite R12 – Best Practices”. Oracle E-Business Suite Technology, July 2008, http://blogs.oracle.com/stevenChan/2008/07/ . • Yu, Kai and Tao, John. “Case Study: Implementing Oracle E-Business Suite R12 Through 11i to R12 Upgrade Path”. April 2008, www.oaug.com, OAUG Collaborate ’08.

35. Pete WolffeSenior Business Advisor Commercial Business Unit pete.wolffe@bearingpoint.com Contact Information Phone: 1 650 385 3050 Cell Phone: 1 650 823 0929