m&a information factory: integrating 80 sources in 100 days with oracle drm & fdmee
TRANSCRIPT
Celebrating twenty years of Integrated
Business Analytics Solutions
ENTERPRISE PERFORMANCE MANAGEMENT | BUSINESS INTELLIGENCE | BIG DATA
The M&A Information FactoryIntegrating 80 Sources in 100 Days
with Oracle DRM & FDMEE
Tim Walsh – Director of Financial Systems, WestRock
Mike Killeen – Sr. VP Technology & Strategy, Edgewater Ranzal
ENTERPRISE PERFORMANCE MANAGEMENT | BUSINESS INTELLIGENCE | BIG DATA
Introduction to Edgewater Ranzal
Oracle Platinum Consulting Partner - 100% Focus on Oracle Business Analytics (EPM/BI/Big Data)
200+ Full time EPM/BI/Big Data Billable Consultants throughout the US, Canada and the United Kingdom
EPM & BI Experience & Success
2,000+ Oracle EPM, BI, & Big Data projects successfully delivered since our founding in 1996
Depth & Breadth of Service Offerings
Product Experts across:EPM Suite - Planning, HFM, HSF, HPCM, DRM, FDMEEBusiness Intelligence – OBIEE, EssbaseBig Data – Big Data Discovery, Endeca Information Discovery, Hadoop and EBS Information Discovery
Visioning & Roadmaps, Full Life Cycle Implementations, Tech Review & Assessments
Additional Value Added Service Offerings
Exalytics – Installation, Configuration & Benchmarking Services
Infrastructure Services – Design, Configuration, Performance Tuning & Upgrades
Support Services – Remote Help Desk, Lev 1 Support, Patch release Support
Training Services - Customized and Pre-Packaged EPM/BI Training Delivery
2 Ranzal Oracle ACEs Across EPM/BI Platform (Planning/BI, HFM & FDMEE)
Co-Development Efforts with Oracle Product Management
Customer Advisory Boards, Beta Testing, Certification Exam Development
Workforce Planning
Balance Sheet Planning
Capital Planning & PFP
HFM
Financial Close Management
Disclosure Management
HPCM
HSF
FDMEE/ERPi & EPMA
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Our Services
Financial Close & Consolidations
BusinessIntelligence/
Big Data
EnterprisePlanning &
Analytics
Data IntegrationServices
Training &Support Services
Advisory ServicesInfrastructure
Costing &Profitability
Mgmt
Business Intelligence/Big Data
• Scorecards & Dashboards; Mobile Delivery
• Prepackaged Analytic Applications (OBIA)
• BI Foundation (OBIEE / Essbase)
• Financial & Operational Analytics
• Reporting & Publishing
• Big Data
• Information Discovery (Endeca)
• Business Intelligence Cloud Service (BICS)
Financial Close & Consolidations
• Legal, Segment, & Mgmt Reporting
• Financial Performance & Close
• Optimization & Performance Lab
• Tax Provisioning
• Regulatory Requirements
Data Integration Services
• ERP Integration
• Financial Data Management
• Data Warehousing
• MDM & DRM
• ETL Services and Automation
Infrastructure
• Hardware Sizing, Installation, & Configuration
• Exalytics Benchmarking
• System Monitoring, Backup, & Disaster Recovery
• Upgrade & Migrations
Advisory Services
• Project/Program Management & Process Change
• EPM & BI Road Maps
Training & Support Services
• Standard & Custom Training
• Virtual Classroom
• Multimedia and UPK
• Service Level Agreements
• Managed Services & Hosting
• Performance Engineering
Enterprise Planning & Analytics
• Strategic Planning (HSF) & Modeling
• Planning, Budgeting & Forecasting
• Workforce, Capital, & Project Financial Planning
• Public Sector Planning
• Cloud Services
Costing & Profitability Management
• HPCM Standard & Detail Models
• Waterfall Allocations
• Shared Service Charges
• Activity Based Costing
• Customer, Product, Segment & LOB Profitability
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About WestRock
Source: IR.WESTROCK.COM / Presentations – Deutsche Bank’s Global Industrials and Materials Summit 06/08/16
1) Represents trailing twelve months ended March 2016 sales adjusted for separation of Ingevity, including pre-merger MWv sales for quarter ending June 2015. 2) Source of rankings: Company and market research. Rankings are based on capacity.
About WestRock
Source: IR.WESTROCK.COM / Presentations – Jefferies Conference Presentation – 8/15/2015
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7Source: IR.WESTROCK.COM / Presentations – Jefferies Conference Presentation – 8/15/2015
About WestRock
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Business Background
EPM Solution Overview
Implementation Approach
Implementation Results
Closing and Q&A
Agenda
Business Background
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Hyperion Planning
Cubes
• Operational
• Financial
• Capital
• Std Cost
• Sales
• Freight
• Rolling Forecast
• Salary
• Expense
Multiple
Billing
Systems
JDEdwardsG/L – A/R – A/P
Purchasing / Job Cost
Fixed Assets / EPAM
Legacy RockTenn
Multiple
Purchasing
Systems
PeopleSoft
Payroll
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Financial Systems Overview at WestRock
SAP 1
SAP 2
SAP Templates
Non SAP
Templates45 Sources, 34% of Revenue
Corporate
Entries 18 Sources, No Revenue
SAP BW2 Systems plus
16 templates
66% of revenue
Financial Systems Overview at WestRock
SAP BCS
81 Sources
Legacy MWV
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Objective – 81 Sources in 100 Days
Produce Consolidated Financial Statements generated by JDE
Report Profits by Business Unit in JDE & Hyperion
Report Balance Sheet by Legal Entity in JDE & Hyperion
Goal
Have all general ledger summary level data (balance sheet and business unit
revenue/expense) in JDE and Hyperion for the July 31, 2015 financial close.
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Multiple Challenges to Overcome
Organizations needed to be integrated within 100 days
(81 sources to 1 Financial System)
Prior mapping processes were time consuming and required rigid one-to-one
maps from source to target using Excel spreadsheets
Methods and tools utilized in prior mappings differed – skills were not transferable
Key validations were required prior to loading of mapped data to the JDE GL to
reduce significant delays in the closing process
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But What Path To Take?
Option 1 – Perform High Level Consolidations and Focus on External Reporting Only
Option 2 – Ensure Consistency in Performance Management Reporting at the Plant Level so the business can be properly managed
Senior Leadership Weighed in and Provided Critical DirectionSteve Meadows, CAO – “Our internal business partners rely on Hyperion to support their performance management reporting needs around Divisional and Plant Profitability. We have a mandate to provide this same level of reporting capability, and must strive to do so, in the new organizational structure, until we know that we can not.”
With support from Key Leadership, a dedicated combined finance team, and the DRM-FDMEE accelerators from Edgewater Ranzal, Option 2 was approved as the way forward.
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The Project Mandate
Financial reports are accurate and complete
Consolidations are complete in time for the July 31st close and subsequent quarterly filings, preferable in a single consolidations tool
Management Reporting processes remain in place until transition is planned and implemented
For day 1, as little upstream processes as possible are changed, and full transitions are considered only after day 1
As much detail as possible is put into the financial system
A tool is used to facilitate the mapping process in a way that can be completed and tested before the deadline and can be efficiently maintained
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EPM Solution Overview
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Strategy
Management
Profitability
Management
Enterprise Performance Management Solution
Planning &
Forecasting
Customer
Management
Resource
Management
Owners & Investors RegulatorsManagement
Operational Systems
Management
Reporting
Financial Close &
Reporting
Shared Master Data & Governance
General Ledger
Sub Ledgers
Financial Systems
Reference Data & AttributesHierarchies & Mappings Workflow
Performance Management Architecture
Shared Master Data & GovernanceOracle Hyperion Data Relationship Management (DRM) 17
Oracle Data Relationship ManagementDRM Enables Change Across the Enterprise
1. Manage Routine Change
• Eliminate parallel maintenance
• Align dimensions across all domains
• Enforce business rules
• Maintain complex maps
• Simplify close cycles
• Reduce reconciliation risk
• Create, manage & align reporting hierarchies
2. Accelerate Transformation
• Repeatable M&A Onboarding Process
• Catalyst for organization & finance transformation
• Simplify COA transformation & redesign
• Speed up business approvals with “what if” scenarios against business transactions
3. Reduce Risk
• Simplify & reduce risk for upgrades, migrations & rationalization initiatives
• Assure compliance with business rules & policies
• Simplify regulatory compliance
• Lower risk of financial misstatements with proactive change management & data governance
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Baseline Old COA (R11) & Data
Segment Definition – COA Team
R12 Segment Values – to DRM
R11-R12 Segment Maps – to FDM
DRM Capabilities
Versioning of Hierarchies
Reporting to Stakeholders
Modelling new Hierarchies
Approved Versions fed to R12/EBS
New COA (R12) Essbase Cube
Feed New Hierarchies from DRM
Feed Mapped Data from FDM
Analysis – Evaluate COA with DataSmartView Adhoc Analysis
FDM
R11 to R12
Mapping
R11 to R12
Mapping
R11 to R12
Mapping
FDM
Data & Maps
Finance
Transformational Example – COA RedesignOld Mutual Case Study from Oracle Open World 2012
EssbaseR11 EBS
R11
EssbaseR11 DATA
Essbase Data Load
R11
DATADRM
Reference Metadata
HFM Hierarchies
Managed Metadata
R12 Posting Codes &
Hierarchies
CoA Team
CoA Team
R12 EBS
ValueSet
R12 EBS
ValueSet
HFM Dims
DRM_Int
Interface Tables
Published Version
R12 EBS
R12
Essbase
R12
Hier
R12
DATA
R11
DATA Export R11 Data
Rebuild R11 Cube
Rebuild R12 Cube
ReMap R12 Data
FDM Task Scripts
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Use Ranzal COA Approach as
Accelerator for M&A Implementation
Hyperion
Planning
Cubes
• Operational
• Financial
• Capital
• Std Cost
• Sales
• Freight
• Rolling Forecast
• Salary
• Expense
JDEdwardsG/L – A/R – A/P
Purchasing / Job Cost
Fixed Assets / EPAM
SAP 1
SAP 2
SAP Templates
Non SAP
Templates45 Sources, 34% of Revenue
Corporate
Entries 18 Sources, No Revenue
SAP BW2 Systems plus
16 templates
66% of revenue
?????
Hyperion
FDM Map execution
DRM Hierarchy & Map
Management
Recon
Cube
Ranzal
COA
Framework
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Implementation Approach
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Implementation Timeline
Mar 15th: Project Kick Off.
April 30th: Requirements & Conceptual Design Phase Complete.
May 11th
Initial mapping within DRM complete within Edgewater Ranzal Lab
One source mapped, loaded, and viewable by Corporate Finance within Essbase
May 29th: Initial Build complete
FDM & DRM
JDE load file Process
Data extraction process from source systems
Software Upgrade of Dev & Test Environment to 11.1.2.3.
Month of June: Testing & Cut Over. Complete Upgrade.
End-to-End System Integration testing
Acceptance Testing w/ preliminary training
Production Cut-Over 22
Team Composition
Executive Sponsor
CAO
Governance
Project Manager
DRM FDM Essbase JDEdwards
(1) Consultant
(1) Manager
(11) COA Maps
Business
(1) Consultant (1) Manager (1) Manager
Engagement
Manager
(1) Integration
Specialist
Steering CommitteeAccounting, Tax, Audit, IT
Key: Blue = WestRock
Green = Consulting
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Hyperion
Design Diagram with Data Flow
JD Edwards
/ Hyperion
SAP ECP
SAP P01
SAP TemplatesIncluded in total SAP
numbers:
16 Sources, 5% of Revenue
Non SAP
templates46 Sources, 33% of
Revenue
Corporate
Entries 18 Sources, No Revenue
SAP BW2 Systems, 61%
of RevenueJDE
Master Data
FDM Map execution
DRM Hierarchy & Map
Management
Recon
Cube
JDE GL
Staging Tables (AS400
or SQL)
Mapped
JDE File
Standard JDE
batch process
MapsUn
mapped
Combo
MA
Shared
Folder
DRM ErrorsUnmapped JDE
MDM
M
M
FDM Errors Missing/Incorrect
Mappings and Out of Balances
A
AA
Recon Cube Preview
Functionality and Data
Reconciliation
JDE ProcessesStandard JDE
Pre-Edit and Z-File Processes
M
Data Movements:
A = Automated data movement
M = Manual data movement
MA = Manual kick-off of automated process
M
MA
A MA
Shared
Folder
A
SAP only
MA
Valid Targets
Map & ValidateUpdate
Mappings & Validations
JDE EntryManual Entries
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DRM Master Data Design
DRM Master Data Targets Initialized from JD Edwards (JDE)
JDE Business Unit (BU) Master – Table F0006
Primary Hierarchy
Attributes utilized to validate if can be posted to
JDE Account Master – Table F0901
Captures JDE Category Codes for Hierarchy Build
Attributes utilized to validate if can be posted to
Attributes utilized to require a sub ledger
Trading partner required for Interco Balances
JDE Company (CO) Master - Table F0010
Primary Hierarchy
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DRM Versioning & Archival
Four types of Version Status
Master (Working) Version
A new Version is created and the default status is Working
If there are previous Versions, then the new Version is created by copying the old Version to a new Version
Older Versions are set to Finalized and/or in some cases, Expired
This new Version is the Master Version and all the entries are done only in this Master Version
Validations are performed again to ensure the integrity of the data
Submitted Version
Master version status is changed to Submitted and changes are no longer permitted
Validations are performed again to ensure the integrity of the data
Finalized Version
When data integrity is assured, the Master Version status is changed to Finalized and no further changes are permitted
Exports are performed from the Finalized version to send hierarchy data to participating systems
Expired Version
The version status for the previous reporting period may be changed from Finalized to Expired, and the version is stored for possible future use
in historical analyses or as an audit record
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FDMEE Design
Load YTD and Prior YTD values (if provided) from source
files provided
Map source files to JDE Target based on mapping provided
by DRM
Provide access to the mapped data for consumption by the
RECON Essbase Target
Check to ensure that valid BU/Account.Sub
combinations are utilized
Create JDE file extract by FDM location per spec
provided
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DRM Build Highlights
Hierarchies & Dimensions (2)
Account, Business Unit (Source-Target Mappings)
JDE Account hierarchy - ~78K nodes
JDE BU hierarchy - ~22K nodes
Compare, Import & Blend Processes (CIB) (2)
JDE Account CIB – compare new Account Mapping hierarchy imported during JDE CDC
JDE Business Unit CIB – compare BU Mapping hierarchy imported during JDE CDC
Validations (3)
Invalid source account mappings (e.g. account mapped to a non-posting JDE account)
Invalid JDE sub-ledger & Invalid JDE Trading Partner
Other Technical Configuration
20 DRM Users
80+ Source Systems and a consolidated SAP B/W Instance
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Implementation Results
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Results & Benefits Realized
Summary of Project Results
Delivered an integrated FDMEE/DRM/Essbase mapping platform to map disparate sources into one
common JDE GL
Architected and implemented solution within 100 days and under budget
Effectively transferred knowledge ensuring that functional admins were able to update and run the
model autonomously
Benefits Realized
Developed framework for quickly integrating future companies into the organization
Standardized mapping processes regardless of source
Increased traceability, versioning, audit, management and control within the mapping process
Pre-validation of data prior to loading into the GL leading to less voiding and reloading of batches
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Subsequent Usage since Phase 1
DRM Phase 2 (Ongoing)
Feed of DRM master data back to JDE
DRG Workflow to support new JDE master data request process
Feed of hierarchies from DRM
Optimization of Acquisition Information Assets
Rationalization of Acquisition Source Systems
Additional Detail and Automation from Acquisition Source Systems
Additional M&A “Information Factory” Usage
2 Additional Acquisitions
1 Joint Venture
1 Planned Spin Off
Continued Need to meet aggressive timelines
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Closing and Q&A
It won’t be hard to find us at Kscope16!
#pinittowinit – Pick-up at pin at booth #611 – Win throughout the week!
8 Conference Sessions
6/27, Session 1, 8:30 - 9:30amHow to Use Hyperion Tax Provision to Complete the Close Process Puzzle6/27, Session 2, 10:15 - 11:15amCycling off FDM Classic on Steroids and Taking a Dose of FDMEE HGH6/28, Session 8, 9:45 - 10:45amOpus Group is Over the Moon with Oracle Planning and Budgeting Cloud6/28, Session 9, 11:15am - 12:15pmFDMEE Can Do That?6/28, Session 12, 4:45 - 5:45pmProfitability and Cost Management: Have it Your Way6/29, Session 14, 10:15 - 11:15amThe M&A Information Factory: 80 Sources in 100 Days with DRM and FDMEE6/29, Session 18, 4:30 - 5:30pmMigration Approaches for FDMEE, the Heart of the Matter6/30, 9:00 – 11:00The Rules Circus: Experts Parade the HFM Functions
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