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Rightsizing oracle-upgrade-to-ebs-r12
1.
Rightsizing Oracle Upgrade
to EBS R12 with a Pre-Assessment Program
2.
Table of Content
Oracle EBS roadmap 3 Why Upgrade to R12 5 HCLâs Global Upgrade Program 6 Pre-Upgrade Assessment 6 Upgrade 6 Post- Upgrade 7 Why Assessment? 7 AssessPROâą 7 Scope Methodology Deliverables Assessment Case Study 8 Page 2-10
3.
Organizations in their
drive to upgrade, often follow a piecemeal approach leading to organizational fatigue, expensive rework, and lost return on investment. As the industry moves to service-oriented architecture (SOA) and the beginning of the next upgrade cycle, enterprises should take advantage of this unique opportunity to plan strategically and initiate a long-term applications strategy as they consider their upgrade- they should view upgrades as a means to consolidate disparate applications, upgrade to single global instance or even to define the infrastructure roadmap and a subsequent application/infrastructure optimization. Oracle EBS (E-Business Suite) Roadmap As part of Oracleâs commitment to provide customers with unlimited applications and an integrated product suite, Oracle EBS continues to evolve offering extensive functional and operational improvements one version after the other. Oracle R12 or Release 12 is functionally rich, serving global enterprises with its 3-pronged mantra (see below) of a Global Release (global purely from a geographic context but also because of its comprehensive functional and business coverage)- ©Think globally: by providing integrated business information to support decision-making and effectively ensuring compliance across the global enterprise. This enables a global view of customer, supplier, partner & operations by- §Integrated performance management §Strategic Network Optimization §Global Inventory Optimization ©Work globally: by moving from single global access across multiple lines of business to deeper industry vertical ©Manage Systems globally: by using tools and functionality to enable central management of the application Page 3-10 Let us start the upgrade quest by taking a glance at the Oracle EBS Global Business Release of R12. workflows. A few features of R12 which ensure this- §Global Financial Management §HR Localization Expansion â30 Countries covering 87% of the Worldâs GDP §Global Transportation Management suite, increase ease of integration, and significantly reduce the effort required to implement the suite by - §Integration with core industry applications §Comprehensive Integration Repository §New User Experience §Simplified Maintenance Management Did u know? ©2,500+ customers have downloaded Oracle EBS 12 as of Feb, 2008 ©900+ customers actively engaging Support ©200+customers proactively tracked by Development ©50+customers live
4.
A snapshot of
the R12 Financial features which make it truly global is tabulated below- R12 Feature 11i Pain Areas Page 4-10 Are these reasons enough for you to upgrade to R12? Let's look at the dilemmas customers face while considering upgrades.
5.
Upgrade Dilemma While
considering upgrades, customers are often faced with numerous alternatives and often fail to recognize and link together the multivariate business/technical/functional challenges mandating upgrades. Some of the typical customer concerns include: ©What is the Business Value of upgrading to the latest version (R12)? ©What are the best practices for upgrades? ©-Should I look at (N-1) or the greatest & the latest? ©What are Business/ Technology/Functional value of Upgrades? ©Fear of de-support/outdated legacy systems ©Upgrade vs. Reimplementation ©Can I consolidate to a single Instance while upgrading? ©Should I upgrade first and then implement Functionality? ©What are the architectural considerations which make R12 superior as compared to 11i versions? With all these questions and considerations, customers are often unable to decide the best course of action and opt for upgrade in an ad-hoc manner without being able to fully realize its value and utilize it to define a long term applications strategy. The following sections elaborate on the key drivers for R12 upgrade, and present HCLâs Global Upgrade Program- A collaborative approach to upgrades spanning the upgrade lifecycle. HCL has designed this approach based on its upgrade experience in coalition with customersâ feedback and typical customer scenarios. Why upgrade to R12 Different organizations may have different incentives for considering upgrades but they should not forget that the final objective should be to align upgrades with the long term application strategy and hence should consider a holistic approach instead of the ad-hoc piecemeal approach. HCL defines Upgrade imperatives under the following categories- ©Business- Changing nature of businesses along with global footprint necessitates change in the IT application set-up every few years to support new business requirements and scale up to the anticipated growth. ©Functional- From Governance, compliance to regulatory requirements to faster time to market ,companies want to incorporate functionalities which help them create a differentiated product offering in the marketplace and run an efficient Global business. ©Technology- Scalability, removal of redundancy and real-time visibility are but a few of the technical imperatives for a Global Enterprise. Business Imperatives ©Legacy modernization ©Growing User Base- Additional investment to be considered in the form of Licenses, Infrastructure etc ©Mergers & Acquisitions- leading to diverse business applications and the resulting complexity ©Global expansion- requiring global instances catering to local needs ©High maintenance cost §Cost of supporting customizations §Reducing total cost of ownership §Business changes such as acquisition leading to standardization and migration Technology Imperatives ©Technology Imperatives ©End of Premier support of Oracle EBS 11.5.9 in Juneâ08 . Premier support elapsed for earlier EBS versions ©Maintenance of High level of customizations ©Reduced IT and compliance costs ©Outdated Technology Stack §Siloed applications §Conflicting standards §Mismatched computing platforms §Single-purpose code that can't be reused ©Limited their ability to serve the business ©Enterprise Integration §Integration of information systems -expensive and time consuming §Interoperability, performance, security, and usability §Scope for the integration effort-not adequately defined ©Tools Advancement §Provide a stepping stone to Fusion Page 5-10
6.
Functional Imperatives ©New
module Implementation §Reengineering of Business Processes and IT Applications §Eliminating Customizations §Access to advanced functionality Improved security and compliance ©Simplification of Business processes §Maintenance becomes easy §Facilitates smooth change Management Lesser documentation requirements ©Incorporate the enhanced functional feature-set of R12- §Centralized and Standardized Finance Functions §Integrated performance management §Strategic Network Optimization §Global Inventory Optimization §Simplified Self-Service Reporting §More Productive Shared Service Operations §Legislative and Regulatory requirements Pre-Upgrade Upgrade Post-Upgrade Pure-play upgrade offerings- ©Technical/Functional upgrade ©New module implementation ©Data conversion ©Data Archiving Value-Added Services ©Migration ©Instance Consolidation ©Application Optimization ©Upgrade vs. Reimplementation ©Upgrade Pre-Assessment §Scope of upgrade §Functional/Technical §requirements §Customization analysis §New module implementation §Out-of-box functionality §Enhanced feature-set §Infrastructure set-up required §Upgrade Financial Models analysis Value-Added Services ©Usage Analysis ©Instance consolidation study ©Process fitment study ©Application Support and Maintenance ©Global Rollouts ©Infrastructure Support services Value-Added Services ©Implementation of associated ©Oracle stack- OTM, Stellent, ©Hyperion, etc ©SOA based on FMW HCL Global Upgrade Program End-to-End Upgrade Services Pre-Upgrade Assessment HCL offers pre-assessment services to its customers through its Pre â Assessment Methodology called AssessPROTM which advices the customer on the benefits to switch over to latest versions of Oracle EBS R12. The scope and methodology are discussed in detail in the next section. Upgrade HCL has extensive experience in handling upgrades to 11i versions and has developed and perfected methodologies and tools which are a culmination of best practices across complex upgrade landscapes. These proprietary tools & project accelerators like EbizsmartUpgrade and HUM methodology ensure uninterrupted Page 6-10
7.
services while upgrading
a client's system from Oracle 11i to Oracle R12. In addition, HCL is certified by Oracle as the Oracle Business Accelerators Implementer. It is thus enabled to implement Oracle R12/R11i using OBA methodology, and accelerate implementation time frames with improved quality of solutions, which are used in all our upgrade projects to speed up execution. HCL also uses Oracle's Maintenance wizard, Setup and Rapid Install to further smoothen the process. Under Oracle's Partner Program, HCL is recognized at the highest level of partnership - the Certified Advantage Partner. Therefore we have early access to new product releases and trainings including beta versions, and are early adopters of new Oracle technology such as 10g and E-business suite 12i. At the final stage of transition during the Upgrade process, HCL kick-starts the post upgrade set up. Once the set up is complete, HCL provides support and maintenance for the newly upgraded application, including infrastructure support, for a limited span of time. During this time, HCL also proposes further optimization of the client's application landscape and has often been involved in subsequent Global Rollouts, Instance Consolidation, Standardization, etc. Often customers commit themselves to the Upgrade program without actually being fully aware of the scope, current state, future requirements, etc, thereby leading to un-optimized deployment and lower ROI, often ending up in cost and schedule over-runs. To eliminate such inconsistencies, HCL proposes a Pre-Assessment Program whereby customers can get a complete picture of their As-Is and To-Be state with a well documented project charter and timelines before the actual Upgrade process kicks off. Page 7-10 Post Upgrade Upgrade Assessment AssessPROâą HCLâs proprietary approach to upgrade assessment has a well defined scope, covering- ©Process Analysis §Functional/ technical processes §Estimate effort for BPR §Estimate for âTo-be processâ Design ©Technology and Tools Analysis §Oracle Vs other ERP packages Validation & Business Case creation ?A Reality Check of existing application of Oracle EBS and a roadmap for Upgrade ?Understanding the new features available in R12 that can be leveraged §Infrastructure assessment â hosting in house Vs outsourced §ERP upgrade assessment including implementation of new modules ?Prepare and Plan for Mitigation of âRisksâ for upgrade in terms of- ÂŁCost and schedule over runs ÂŁCut over into production ÂŁOther risks identified during the assessment (Client specific) ©Financial Model Assessment ©Comprehensive Project Charter for Upgrade of current Oracle EBS 11i version to Release 12 This evaluation exercise is carried out in 4 phases spanning 4-8 weeks depending on the current deployment - its version, complexity, level of customization, etc. During this workshop, HCLâs analysts and consultants would engage in rigorous customer interviews, working with the clientâs business analysts and super users to understand and analyze current processes and future requirements.
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PHASE I: Discover
©Project kick off and scope confirmation ©Assimilate and gather as-is process know-how §Existing documentation §Interviews with super users/Business users ©Gather future requirements/identify pain areas ©Functional/Technical/Business requirements- eg. Need for consolidated P&L reporting vs the current local reporting ©Infrastructure requirements §If the current set-up is scalable to meet future needs §Decommissioning requirement §Archival requirements PHASE II: Assess This phase involves in-depth analysis of the data gathered in the Discover phase. ©Analysis of existing Processes- §Functional §Technical §Business Processes ©Analysis of Existing Customization ©Study of current infrastructure landscape ©Analysis of upgrade approaches- §Staggered or Big-Bang vs HCLâs hybrid approach §Evaluation of the appropriate upgrade path (Two Step/ Single Step) Discover Assess Envision Recommend N WEEKS ©Requirement Gathering (Q& A) ©Project Kick-off ©Gather Process documentation, RICE list, User Manuals and System Documentation ©Gather Infrastructure set-up/ requirements ©Gather Upgrade requirements ©Analysis of Processes ©Analysis of Functional and Technical System Processes ©Analysis of Existing Customizations ©Analysis of Technical Architecture ©Analysis of Infrastructure landscape ©Analysis of upgrade approach ©Batch Tools / Process Evaluation ©Perform High level Fitment Analysis of Business processes, Functional, technical and Customization to R12 Functionality ©Perform Impact Analysis on RICE, Processes and Architecture ©Perform impact analysis of decommissioning of existing infrastructure ©Upgrade approaches- ROI analysis ©Prepare Comprehensive Upgrade Project Charter including Project Plan, Project Organization, Infrastructure, Effort Estimate and Project Pricing Templatized Approach- ©Customizations Evaluation Template ©Fit Gap Analysis Template ©New module analysis Template ©HCL Analysts ©Customer Business Analysts ©Infrastructure Specialists ©Upgrade Specialists ©HCL Analysts ©Customer Process Owners ©Customer Bas ©HCL Analysts ©Customer Business Analysts ©HCL Analysts ©Customer Business Analysts Factors determining N weeks â ©Size of Oracle Implementation ©Complexity of Customizations ©Oracle EBS Version Role Owners Activities Page 8-10
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PHASE III: Envision
This phase involves Hi-Level fitment analysis of the business process, functional and technical customization to the selected Oracle EBS functionality, impact analysis on process and architecture, and infrastructure requirements. PHASE IV: Recommend The final phase rolls out a comprehensive project charter including project plan, project organization, infrastructure, effort estimate and pricing options. This Assessment program uses a templatized approach with standard templates used for Customization evaluation, fit-gap analysis, new feature study, etc. The final deliverable of this eight week long program comprises: ©Scope of Client's Upgrade Project ©Key Business Drivers ©Benefits of the Upgrade ©Infrastructure Needs ©Upgrade Approach Evaluation ©Steps involved in Upgrade ©Key Milestones and indicative timelines ©Risks associated with the Upgrade ©Team Size ©Training Needs The entire upgrade assessment program can be supplemented with value-added offerings like usage analysis, application portfolio analysis, infrastructure portfolio analysis and recommendations on optimization as per the clientâs need. Pre-Assessment Case Study Application Roadmap for a leading Storage Equipment manufacturer The client, a leading storage equipment manufacturer, has witnessed inorganic growth leading to a plethora of disparate applications/processes. The growth momentum along with future imperatives required a scalable application architecture, consolidation and standardization of processes across the organization. Before spearheading such a transformational initiative, the client wanted to evaluate options and prepare a charter for this initiative. The clientâs application landscape was primarily on Oracle EBS 11.5.9 and it was considering upgrade to R12 while consolidating other third party systems to R12. In addition, the client also required new modules like iProcurement and ASCP and an infrastructure Assessment of the upgrade process. With its AssessPROTM program, HCL initiated the 6 week assessment at the client site evaluating the following: ©Oracle Vs. SAP Validation ©ERP Upgrade/ Reimplementation assessment including new module implementation ©Financial models for upgrade- hosted vs. in-house ©Implementation of new modules like iProcurement and ASCP to address specific requirements ©Implementation of Configure-to- Order business model to address some of the major problems in: Bundled Sales, Differed Sales, Software Sales and Tracking Configured order ©Replacement of Optio forms with XML forms (Oracle) ©Replacement of DW (Cognos) with FSG reports; 75% of customizations are reports and move all reports to DW Involving key stakeholders and super users, HCL prepared an exhaustive Project Charter for Upgrade of the current 11.5.9 Oracle Apps to Release 12. The client is now ready to upgrade to R12 having well tabulated project timelines that mitigate the risks involved and understanding of new model features. Page 9-10
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Why HCL for
Upgrade to Oracle EBS R12? ©R12 Expertise â HCL is credited with taking the first customer live on Oracle R12 and has over 6+ Oracle R12 Implementation projects running currently with over 3+ upgrades ©Certified Oracle Business Accelerators Implementer - enabling HCL to implement Oracle R12 using OBA methodology and accelerate implementation time frames with improved quality of solutions ©Upgrade experience - HCL has handled several large complex upgrades and consolidation of Oracle EBS versions for Fortune 500 companies. ©Global Upgrade Program - A systematic program ensuring recurring costs benefits with a phased approach to upgrade - Pre-Assessment, Upgrade and Post-upgrade Support ©Pre-Assessment program - A time and cost effective assessment program to help customers decide their upgrade path before taking the plunge. ©Multiple approaches customized to client requirements- Big Bang, Staggered and Hybrid ©Tool-driven upgrades - HCL has a proprietary eBizSmartUpgrade tool to automate and ensure a seamless upgrade process. ©Focused methodology with well defined milestones for smooth transition ©Remote Upgrades - Technical upgrade via remote connectivity which saves cost and time HCL Oracle Universe HCL's Oracle universe - an integrated services group provides technology-based business optimization on Oracle enterprise software products like Oracle e-Business, Siebel CRM, JD Edwards, PeopleSoft, OTM, Hyperion, OBIEE, Retek, Stellent and on Oracle technology platforms in data warehousing, business intelligence, Fusion middleware and Oracle database. HCL is a Certified Advantage Partner of Oracle and works with Oracle as the Preferred Go-to-Market Partner in select geographies for specific verticals. The dedicated CoE on HCM, CRM, SCM, ERP, and Technology provides technology-based business optimization solutions on Package Application, Fusion Middleware, Business Intelligence & Data Warehousing. We deliver end-to-end services including blue printing, global rollouts, application implementation, migration / upgrades, maintenance, database management, configurations, helpdesk support, Integration and Development services across verticals. Oracle Universe has two dedicated competency labs in India and US to provide thrust on value added industry solutions and build pre-configured and extended bolt-on+ solutions. Being a certified advantage partner we have early access to new product releases and trainings including beta versions and are early adopters of new Oracle technology such as 10g and E-business suite 12i. Page 10-10
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