Information Technology Management at Plantronics

Tom Gill, VP / CIO

October 16, 2008

2Plantronics, Inc.

Highlights

Plantronics Overview• History

• Mission / Differentiators

• Growth Opportunities / Products

IT at Plantronics • Overview

• Roles

• Solutions

• Challenges / Trends

Q&A

3Plantronics, Inc.

Plantronics Evolution

FY 1994: $132.3MMajority Contact Center

FY2008: $856.3M

Office

From Specialty Headset Company to Leader in Business and Consumer Audio Solutions

Office

34% Music

13%

Mobile, PC, Other24%

Contact Center

29%

OCC$520M

$108.4M

$207.9M

4Plantronics, Inc.

Mission: Enhance Communications and Entertainment

Sound

Style

Simplicity

5Plantronics, Inc.

Key Differentiator: World Class Sound

Expertise in analytical and psycho-acoustics

Expertise in human factors

Mission critical development for NASA, FAA, Military, 911, NYSE

Over 400 Patents

Continue strong R&D investments

Human FactorsSound ChamberRadio Frequency Lab

6Plantronics, Inc.

Key Differentiator: World Class Design

Darrin CaddesVP Corporate Design

7Plantronics, Inc.

Key Differentiator: Simplicity

Integrated solutionsPlug and Play Wireless VoIP

Multipoint Technology& Quick Pair

8Plantronics, Inc.

Headset Growth Opportunities

0

1,000

2,000

3,000

4,000

CY07 (e) CY12(e)

WW Industry Revenue ($M)•Industry Secular CAGR’s

2-4% Contact Center

10-12% Office

10-15% Mobile

~10% Computer & Gaming

2-4% Clarity

Overall 9-12%

•Growth rates vary with economy, pricing trends, replacement cycles, adoption rate, and employment levels

Sources: Gartner, IDC, IDG, Strategy Analytics, NPD Intellect, GFK, Carnegie Research, Company estimates

9Plantronics, Inc.

The Big Opportunity: Office

Heads et us ag e w ith the

des kphone (U.S .)

7%

93%

Users Opportunity

Marketing to increase adoption

Upgrade existing users

Upgrade new users in faster cycle

Roll-out + introduction of office communications solutions

Telecommuters

New office work• Unified communications

Source: Company Research

10Plantronics, Inc.

Unified Communications is a Huge Opportunity

Unified Communications is Expected to Increase Headset Adoption

Source: IDC 2007 Report

Billions

WW UC Ecosystem Revenue: 38% CAGR through 2011

11Plantronics, Inc.

Premium Products for the Office

Excellence in Style, Simplicity and Sound

12Plantronics, Inc.

An Emerging Opportunity: Home Office Professionals

No wires. No hands. All business.Calisto Pro Series gives you the power to stay connected handsfree, anywhere you work. The DECT phone with integrated Bluetooth headset answers landline, VoIP

and mobile calls.

13Plantronics, Inc.13

Confidential

Collaborate AnywhereUC Headsets for All Work Settings

Office work: - Best voice fidelity - Large wireless range

Hoteling: - Privacy - Portability - No desk phone

Telework: - At home mobility - Multi-tasking work-life - Multiple devices at home

On the go: - Portability of tools - External noise - PC + mobile device

Headsets Designed for the Way You Work

14Plantronics, Inc.

Mobile Bluetooth Headset Opportunity

0

20

40

60

80

100

120

140

160

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Mono S tereo

Units/Millions

Stereo Bluetooth to grow to 20% of Units

Source: Strategy Analytics, August 2007

CAGR Forecast of ~15% through 2012

15Plantronics, Inc.

Spring 2008 Bluetooth Product Line

Explorer 370Explorer 360Explorer 220

Voyager 855Voyager 520

“Best in Bluetooth” – CES Bluetooth SIG

Editor’s Choice

Water, dust & dirt resistant

Discovery 925

16Plantronics, Inc.

Consumer Audio Growth Opportunities

0

500

1,000

1,500

2,000

2,500

3,000

WW Industry Revenue

($M)

CY07 (e) CY12(e)

•Industry Secular CAGR’s–10 - 14%: Docking Audio–5-7%: PC Audio–~12%: Combined

•Also Pursuing Adjacent Markets MP3-enabled cell phonesHome AudioHeadphones

Sources: CES, IDC, Gartner, Apple, Company estimates

17Plantronics, Inc.

Emphasizing the Altec Audio Heritage

Consumer Insights:

Solving REAL needs

Create Desire Through Design:

Visible emphasis on audio performance

Altec Sound Signature:

Natural sound and fidelity

1) Research completed to understand changing consumer behavior in digital music; create products that intuitively respond without adding unneeded features and driving up cost

2) Design for the heart, because music is intensely emotional; reference Altec’s audio history; use ID to pull consumers; focus on fit and finish

3) Emphasizing 70-year heritage of sound; created credible sound signature

Product, Design, and Sound Strategies

18Plantronics, Inc.

IM600

The Beginning of the Altec Lansing Portfolio Refresh

Upgrader Series

XM3120 IM414Wireless PT Series Sound Bar

(2.4 GHz)

T612

iPhone Dock

iPod Dock

19Plantronics, Inc.

Corporate Objectives for FY09 & FY10

Increase adoption of wireless headsets in the office through continued investment in new products and marketing campaigns

Upgrade our existing customers with compelling product performance enhancements

Expand our market share and improve our profitability in Bluetooth mobile

Improve overall cost efficiency

Improve the product portfolio and turn around the profitability in our Altec Lansing division

20Plantronics, Inc.

IT is Positioned to Help Meet Corporate Goals!

100+ employees in eight WW locations

• Key North America locations

• Corporate headquarters

• Mexico design center and factory

• Altec Lansing headquarters

• EMEA hub – Swindon, UK

• APLA hub – Suzhou, China

Emphasis on virtual teams and collaboration

• Distributed projects

• Centers of excellence

• Platform standards

• Common processes – migrating to ITIL framework

21Plantronics, Inc.

Project Management – A Key Competency

Project Portfolio Management

• Increases business value of IT

• Aligns projects with strategic business drivers

• Requires ROI analysis and business case

• Includes governance model with periodic reviews

Project Management Framework

• Based on Prince2

• Emphasis on stage deliverables

• Requires stage exit approvals by IT and business stakeholders

• Consolidated using portfolio management tool that combines projects sites and includes management dashboard

22Plantronics, Inc.

Complete assessment of business justification, feasibility, benefits, costs, ROI, and risk

Startup Initiate Deliver Close

Act

ivit

ies

D

eliv

erab

les Project Brief

Project Site

Stage Approval

Prioritize project with others in the queue

Assign IT Project Manager

Define project roles and assign resources

Develop the high level milestones

Baseline Project Schedule

Resource Assignments

Project Risks

Stage Approval

Execute the delivery and testing of the work products agreed to during the previous stages

Ensure effective communication and approval of user acceptance, IT change control, and support plans prior to implementation

Project Release Plan

Stage Approval

Ensure that all project documentation is captured and published appropriately

Close out the project

Project Close Checklist

Stage Approval

IT Project Stages

23Plantronics, Inc.

Current Project Portfolio Summary

Stage Project Count

Startup 61

Initiate 12

Delivery 46

Close 10

24Plantronics, Inc.

Current Project Portfolio - Examples

Supply Chain Re-engineering and Optimization

• Demand Planning

• Sales and Operations Planning

• Global Order Promising

• Advanced Planning

Modular Messaging – Convergence of email and voicemail into the same inbox

Business Intelligence – Revenue Planning

Business Continuity Plan and Architecture Update

25Plantronics, Inc.

Key Roles – Business Applications

Business Analysts – Configure business applications to optimize business processes

Application Developers – Design and develop applications, customizations and business intelligence solutions

Database Administrators – Support and optimize Oracle and MS SQL applications and databases

Project Managers – Coordinate activities and manage risk

26Plantronics, Inc.

Key Roles – Infrastructure Management

System Administrators – Manage servers and storage platforms

Network Engineers – Manage wide area and local area networks

Telecom and Messaging Analysts – Manage unified communications infrastructure

Service Desk Agents – First line of support for applications and employee technology assets

27Plantronics, Inc.

IT Roles – Emerging Competencies at Plantronics

Project Management / PMO

Security

Compliance

End user change management

Risk management and business continuity

28Plantronics, Inc.

IT Solutions – Key Business Applications

Oracle E-Business Suite – Finance, HR, supply chain, HR…all workflow enabled

Salesforce.com – Sales and customer care

MS Sharepoint Server – Plantronics Portal

• Team sites

• Unstructured content

• Forms, tools, links to applications

Business Intelligence

• Information Warehouse

• Business Objects

• Oracle Analytics

• Hyperion Planning

Plantronics.com

29Plantronics, Inc.

IT Solutions – Key Infrastructure Technologies

LAN / WAN

• Masergy MPLS WAN

• Cisco routers and switches and WiFi access points

• Checkpoint firewalls and VPN

• Riverbed WAN accelerators

Unified Communication

• MS Exchange / Outlook

• Microsoft Office Communicator (text, voice, video)

• Avaya VoIP Servers and Modular Messaging

• MS Live Meeting

Windows and Sun Solaris Servers

EMC Storage Area Networks

Mobility devices (Window Mobile, Blackberry, smartphones, wireless notebooks)

30Plantronics, Inc.

IT Solutions – Infrastructure Management Tools

Enable more efficient use of human resources

Device configuration – ensures consistency

Virtualization (VMWare)

• Faster deployment

• Flexibility / optimized use of resources

• Green IT

Remote support – in office, road warriors and teleworkers

Monitoring tools

• Network

• Servers

• Applications

• Database extrusion

31Plantronics, Inc.

IT Challenges at Plantronics

Optimizing business value of technology investments

Managing global teams / projects

“Business led” technology initiatives

Change management

Process maturity

People!

32Plantronics, Inc.

IT Trends at Plantronics

Migration to SaaS applications / Cloud Computing

SOA – Services Oriented Architecture

pFlex – Plantronics office of the future initiative

33Plantronics, Inc.

Q&A