Competitive Brief: Oracle - Hyperion

• Who: Oracle

– Founded: 1977

– Headquarters: Redwood City, CA

– Employees: 115,000

– Revenue: $37B

• What:

– Hyperion EPM applications

Financial Excellence enabled by the market leader – SAP #1 for finance

• A global install base in the office of finance • Over 57,000 ERP Financials and Business One customers • Over 6,000 Enterprise Performance Management customers

#1 for BI, EPM and Analytic

Applications**

#1 for ERP*

22

.4%

14

.5%

25

.8%

12

.0%

12

.2%

6.8

%

CPM Suites Magic Quadrant 2010

SAP has the Momentum.. EPM Market Share

Momentum –SAP Has Strongest Current Offering

Why BPC? • Unified Solution vs. Disparate Technologies

– BPC is a single platform for reporting, planning and financial consolidations – Hyperion is a multi-platform provider for reporting, planning and financial consolidations

• Hyperion has separate databases for Planning (Hyp. Planning or Essbase) and Cons (HFM) – Requires you to push and pull data in batch jobs to load data into each Hyperion module from each data

source – Metadata (e.g., hierarchies) must transferred between the separate modules

• You cannot transfer business rules / logic from Planning to Cons – Hyperion Planning can only use Essbase Hierarchies – Hyperion Financial Management requires business rules and hierarchies to be developed in Visual Basic script

programming, runs on Oracle, SQL, or DB2

• Separate vs. Shared Dimension Structures – Hyperion = separate dimension structures… requires synchronization of data between modules – BPC = shared dimension structure… when you add a category, it appears in all applications reducing level of administration maintenance

and database size

• The Value of BI – SAP delivers out-of-the-box integration to industry’s #1 BI tools

A history of successful Hyperion replacements

• Over 400 companies have switched from Hyperion since SAP acquired OutlookSoft. What customers consistently say is that Hyperion…

• Has high cost of ownership because of separate apps for planning & consolidation. – Have you analyzed your administration, maintenance, training and support costs? – Customers say that performing a return on investment analysis made it easy for them to

justify replacing Hyperion. • Is complex to install

– because Hyperion Planning and Financial Management are separate applications that use different technology stacks

– This means more separate components to install and configure and higher maintenance workloads. SAP BPC has a single application for planning, consolidations and reporting built on a unified services oriented architecture (SOA)

• Has weak workflow capabilities – Would you like model workflow across planning, consolidation and reporting processes;

Manage workflow based on more than 3 dimensions; Or link the Hyperion Excel interface to task lists?

– Customers say that moving from Hyperion enabled them to create more efficient processes that increased business productivity.

Oracle Planning and HFM are completely different applications

• Oracle claims that EPM Architect helps to unify them, while they share some similar components the applications are separate, have different user experiences and require mapping of data for integration. ̶ This requires you to push and pull data in batch jobs to load data into each Hyperion module from

each data source.

• Metadata (e.g., hierarchies) must transferred between the separate modules

• HFM and Planning applications use different calculation engines ̶ the Calculation Manager interface is a common UI to create rules but you can’t share calculations

across applications (HFM and Planning) and the actual deployed rules use different processing engines, VBScript for HFM and calc script for Planning.

• HFM and Planning are developed by different development teams.

• Planning has a completely different forms interface, workflow engine and very limited shared functionality

• Workflow functionality is completely different between the two applications

• Hyperion = separate dimension structures… requires synchronization of data between modules ̶ BPC = shared dimension structure… when you add a category, it appears in all applications reducing

level of administration maintenance and database size

• Oracle has no SAP-Certified integration requiring a 3rd party adapter to get data out of SAP

What is the Strategic Direction for Oracle EPM?

• What truly new features have been released in HFM in the past release? • Is the migration direct from 9.3 or do you have to install prior release packs

to get to 11.1.2? • What are the additional server and memory requirements with moving to

11.1.2? • What is the future of Hyperion Shared Services technology? • Will Planning and HFM be replaced by new Fusion applications?

• If they are rewritten on Fusion technology they will be built to leverage Oracle ERP not SAP ERP

• Oracle Planning’s new process management functionality in Planning 11.1.2 was developed using non-fusion technology components • SAP BPC is designed and optimized for SAP customers

• Reimplement? • HFM is a windows based application. The Fusion platform is not. • Are customers who migrate to 11.1.2 facing another migration in

short order?

Hyperion Financial Management Update

• The latest release of HFM (11.1.2.2) allows for configurable dimensions.

• No longer limited to 4 Dimensions

• Now applications can be designed to more closely mirror Oracle Essbase or Oracle Hyperion Planning applications, simplifying the movement of data between the applications.

• It will also be possible to add dimensions to an existing application. Depending upon what is being added, after upgrading to release 11.1.2.2, it may be possible to add dimensions without rebuilding the application.

What Oracle/Hyperion Will Say….

• BPC is weak in consolidations – Organization by period (minority interest, JV, complex consolidations) – Add complexity around the close process using value engineering & on-

site discovery

• Planning vs. BPC is typically a ‘wash’ especially in SAP shops. – End users prefer the UI for BPC over Hyperion Planning – Stress FUD around scalability

• Position Strategic Finance as a differentiator

• Position Data Relationship Management (DRM) for hierarchy/metadata management

• Recent success with SAP client base to use to pull structures from SAP and move to Hyperion

• SAP has limited references for BPC

Respond to the FUD • BPC is weak in consolidations

– Organization by period (minority interest, JV, complex consolidations) – Add complexity around the close process using value engineering & on-site discovery

• REALITY: BPC 7.5 is functionally equivalent but poorly highlighted by demo scenarios. EPM 10 delivers out of the box best in class consolidation functionality

• Planning vs. BPC is typically a ‘wash’ especially in SAP shops. – End users prefer the UI for BPC over Hyperion Planning – Stress FUD around scalability

• REALITY: BPC delivers the flexibility, functionality & familiarity of Excel. Fortune 500 companies such as Colgate, Flextronics, Dow Chemical do planning for a large user base.

• Position Strategic Finance as a differentiator • REALITY: HSF is a point solution that was developed > 10 years ago. The average

user size is 2..minimize value

• SAP has limited references for BPC • REALITY: Not true. 100+ customers in SAP reference program & a significant number

of untapped partner references available

•

Application Overview

Oracle Performance Management Applications Strategic Products

DOMAIN PRODUCTS

Strategic Planning Hyperion Performance Scorecard

Hyperion Strategic Finance

Oracle Crystal Ball

Planning &

Budgeting

Hyperion Planning

Hyperion Workforce Planning

Hyperion Capital Asset Planning

Oracle Integrated Operational Planning

Financial Close

Management

Hyperion Financial Management

Hyperion Financial Data Quality Management

Cost and Profitability

Management

Oracle Hyperion Profitability and Cost Management, (July 2008)

PeopleSoft Activity Based Management

Oracle EBS Profitability Management

Oracle OFSA

Oracle Performance Management Applications Continued Support

DOMAIN PRODUCTS

Strategic Planning Oracle Balanced Scorecard

PeopleSoft Scorecard

Planning & Budgeting Oracle Financial Analyzer

Oracle Ent. Planning & Budgeting

PeopleSoft Planning & Budgeting

Hyperion Pillar

Financial Close Management Hyperion Enterprise

Oracle Financial Consol. Hub

PeopleSoft Global Consolidations

Cost and Profitability Management Oracle EBS Activity Based

Management

Hyperion Business Modeling “Continued

Support”-

CODE WORD For

‘No longer

developed’

Comparison: BPC to Oracle Planning Apps Evaluation Criteria

SAP Business

Planning

Hyperion

Pillar

Hyperion

Planning

Planning End-User Functionality

(Appearance & Ease of Use, Requires Little Training, Easy Integration with

Business User Data, Appealing End User Experience)

Planning Configuration/Setup/Admin by Finance Analyst (not IT)

(Large portions of system administration, such as dimensional selection, forms authoring, data

element additions, formatted reporting, etc. can be conducted without IT support)

Planning Engine Functionality

(Offline Planning, Forecasting, Reconciled Top-Down and Bottom-Up Planning, Allocations,

Driver-Based Planning, Pre-Packaged Applications, Planning Functions)

Enhanced Features

(Business Process Flows, Automated variance analysis, Predictive analytics)

Technology

(Offline capability, Unified Platform, Language & Unicode support, Scalability, SOA)

Installation and Configuration

Integration

(NW compatibility, Single KPI repository, Open to distinct data sources)

No integration

with SAP

No integration

with SAP

Comparison: BPC to Oracle Consolidation Apps Evaluation Criteria

SAP Business

Consolidation

Hyperion

Enterprise Hyperion HFM

Consolidation End-User Functionality

(Appearance & Ease of Use, Requires Little Training, Easy Integration With Business User Data,

Appealing End User Experience)

Consolidation Configuration/Setup/Admin by Finance Analyst (not IT)

(Large portions of system administration, such as dimensional selection, forms authoring, data element

additions, formatted reporting, etc. can be conducted without IT support)

Consolidation Engine Functionality

(Consolidation Types, Accounting Techniques, Consolidations Monitor, Workflow, Manual Postings, Inter-

Unit Elimination, Capitalisation and Value Allowance, Consolidation of Investments, Allocations)

Technology

(Offline capability, Unified Platform, Language & Unicode support, Scalability, SOA)

Installation and Configuration

Integration

(Ability to leverage NW, NW certified integration, Single KPI repository, Open to distinct data sources)

No integration

with SAP

No integration

with SAP

Oracle/Hyperion means more applications, more hardware

Hyperion Financial Management (Min)

Hyperion Planning (Min)

Hyperion Data Integration Mgmt.

Hyperion Capital Asset Planning

Hyperion Data Relationship Mgr.

Hyperion Workforce Planning

Hyperion Strategic Finance

SAP BusinessObjects Planning & Consolidation

Hyperion Essbase

*MS SQL/AS OLAP DB for non SAP clients

Hyperion Disclosure Management SAP BusinessObjects

Disclosure Management

FOR SAP ERP/NetWeaver BW Customers

10 reasons why SAP BusinessObjects Planning and Consolidation, version for SAP NetWeaver* is designed and optimized your SAP landscape

Feature/Capability Benefit

1 More deeply integrated with SAP NetWeaver than any other vendor’s offerings - gap widens as further integration takes place in subsequent releases

Leverage existing SAP infrastructure, applications, workflows, and skill sets with you planning and consolidation application(s) leading to a lower cost of ownership and better performance

2 Replicates data in the same SAP NetWeaver BW system with option to use SAP NetWeaver BW ETL* – 3rd party applications replicate data outside of NetWeaver using 3rd party ETL or flat files – typically using non-certified APIs

One common SAP NetWeaver BW system for enterprise-wide data

warehouse and planning purposes leads to a lower cost of ownership in addition to alleviating security concerns of moving data outside of BW

3 Native integration with the SAP NetWeaver BW OLAP Engine as opposed to flattening data out and recreating hierarchies in a separate OLAP engine (ex Essbase or TM1)**

No master data challenges that are caused by feeding flat files from SAP NetWeaver BW through to a 3rd party OLAP engine

4 Application content (ApShell) delivered as SAP BusinessObjects Planning and Consolidation business content

Delivered vs Active versions of business content allow for updates to Delivered versions without impacting the Active Versions

5 All SAP BusinessObjects Planning and Consolidation files are stored in the NW Database with available Integrated VirusScan

No separate file system required contributing to lower TCO

6 Load data into SAP BusinessObjects Planning and Consolidation from ERP via NW BW ETL***

Avoids incorrect results that can occur by bypassing Service API logic, which is the route many 3rd party vendor’s applications take

7 Tightly knit with the SAP BusinessObjects Intelligence Platform for best in class query, reporting , analysis and visualization

Leverage the same familiar BI tools that you use to access other data, directly on top of SAP BusinessObjects Planning and Consolidation

8 Integration with SAP Solution Manager allows for the import of hotfixes, and provides centralized logging and troubleshooting across all SAP applications

Reduce risk and cost of ownership

9 Lifecycle Management (test / dev / production) using the SAP Change and Transport System (CTS)

Makes IT deployments much simpler . Reduces risk of corruption during

configuration changes, allows tighter control over changes, and leaves an

audit trail for tracking purposes

10 SAP BusinessObjects Planning and Consolidation performance monitoring is linked directly to NW BW statistics

Provides an end-to-end view on performance, from the application layer all the way down to the platform tier

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NetWeaver BW system •Data extracted from BW

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BW Accelerator

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Profit Center FI Planning Cube

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