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1 Copyright © 2011, Oracle and/or its affiliates. All rights
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Oracle Internal Confidential - Oracle Highly Restricted
Implementing Oracle Cloud
Applications - Strategies, best
practices and lessons learned
Unleashing the Power of Oracle Cloud Services
Oracle Cloud Services
Laurence Martin – HCM Consulting practice manager
Date: 9th October 2013
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Agenda
� What is “Cloud” / “SaaS” and how will it change the business
� Organizational & technical challenges
� Project approaches (SaaS vs. on-premise)
� HCM Project success stories
� SaaS in EMEA OCS
� Questions & Answers
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What is Cloud / SaaS?
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What is “Cloud” and what is SaaSOften SaaS and Cloud are mixed up – let’s get the context correct
� “Cloud” is the use of computing resources that are delivered as a service over a network -
typically the internet.
� There are a number of different types of services offered in the cloud today:
SaaS is Application SW delivered as a Service over a network.
PaaS/ IaaS – Platform/Infrastructure
BPaaS – Business Process (including marketing)
DBaaS - DataBase
DaaS – Data
SCaaS – Security
TEaaS – Testing
http://www.accountingweb.com/topic/technology/cloud-computing-versus-software-service
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Architecture: SaaS Choices of applications deployments
SaaS: Oracle works to provide a
complete delivery of the SaaS
platform (HW, SW and Apps).
Oracle is responsible:
� for upgrades, patching,
� to monitor Hw and Sw
� and System Admin.
�
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DifferencesSaaS vs. On-premise
SaaSOn-Premise
Licensed Software
Service Product
Hardware /Software Owned by vendor Owned by customer
Operational management
decisionsLittle or no customer involvement
Customer has full control of capacity
management and day-to-day decisions
Upgrades and Application
versioningOwned by vendor Owned by customer
Architecture Not fully determined by customer Determined by customer
Implementation: Functional
stream
OUM Cloud Apps Services
Implementation ApproachOUM
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Architecture: SaaSCustomer choices
Customer can:
� Replace their existing business systems partially or completely with Oracle SaaS applications
� Add new applications to their existing IT landscape (e.g. Fusion SaaS Compensation)
� Significantly extend existing Oracle SaaS applications (e.g. Fusion HCM with Taleo Recruiting)
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How SaaS Changes the approach
� It appears at first glance to be a technical change - creating shared software
that runs in an external datacenter rather than an application for each
customer’s datacenter
� It is much more than a technical change, it requires a different implementation
and business approach,
� It’s a service not a product
� Adopt the Business processes not adapt
� Work on scope, release driven.
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How SaaS Changes the business
� Among the things that can change are
� What doesn’t change?� We STILL need to have a good understanding of our customers and what they want to achieve!
What changes How does it change
How products are priced Subscription based
How products are sold A lot more business interaction and selling one total solution
How they are implemented � Faster implementations as they are more standard process driven
� With more offshore (up to 70/ 80% SSI) for all technical / data
loading and integration work
How the service is being provided and
maintained by the software vendor
� More regular upgrades to get the latest features
� SLA
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Organizational & technical
challenges
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Benefits and Risks for CustomersOrganizations that buy SaaS applications are diverse, ranging from two-person firms to global
enterprises. Yet the things they like and don’t like about SaaS tend to be much the same.
SaaS Benefits for Customers SaaS Risks for Customers
SaaS allows faster deployment, because no On-Premise
installation is required. Rather than wait weeks or months for
software to be deployed and configured on its own servers,
an organization can directly access the application in the
cloud.
Using SaaS requires trusting an outside provider for the
application’s availability and security. Most SaaS providers
don’t let their customers physically examine the details of
how they provide security. Instead, those customers must
learn to trust the SaaS provider, something that can take
time.
SaaS typically offers usage-based pricing, such as per user
per month, letting customers pay only for what they use.
Rather than estimating its needs, then buying a license in
advance, an organization can pay only for what it actually
uses.
SaaS can raise legal/regulatory concerns with storing data
outside the customer’s premises. Many countries have laws
and regulations about where some kinds of data can be
stored and how it must be handled. SaaS applications can run
afoul of these, especially when the SaaS application’s
datacenter and the customer are in different countries.
*Source: Chappell & Associates report
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Benefits and Risks for Customers – cont.SaaS Benefits for Customers SaaS Risks for Customers
A SaaS application has less financial risk than an On-Premise
application. Most cloud applications offer try-before-you-buy
options, so a customer can be sure the application has
business value before paying for it. Pay-as-you-go pricing also
brings less risk than a typical large up-front license fee.
A SaaS application can limit customization if many
customers share a single multi-tenant application. Multi-
tenancy, with multiple customers using the same instance of
software, lowers costs, but it also constrains how different
that software can appear to those customers. While SaaS
vendors often provide configuration options, a licensed on-
premises application is typically more customizable.
SaaS reduces the need for On-Premise resources, such as
servers and IT staff. Because the software runs in the cloud,
customers don’t need to invest in the hardware and people
to run and manage the application on premises.
SaaS applications can be harder to integrate with existing
On-Premise applications. Connecting applications within a
single datacenter is often challenging. When some of those
applications are running in the cloud, integration can get
even harder.
SaaS applications offer easier upgrades, with no On-Premise
software to update. Instead, the SaaS provider deploys
upgrades to a centrally managed copy. This makes it easier
for customers to get the benefits of new features added to
an application.
SaaS can have lower performance than On-Premise
applications. This issue appears most frequently when
network bandwidth between the customer and the SaaS
application’s datacenter is limited, and so how much it
matters commonly depends on geography.
*Source: Chappell & Associates report
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SaaS Architecture
� How Oracle SaaS application(s) integrate(s) with the rest of your IT landscape.
• Adoption of product’s native functions/interfaces wherever possible
• Adoption of integration best practices for easier maintenance
� High level solution and technical design cannot be just mapping exercises
• Definition of the scope, approach, and estimates for the implementation are based on the embedded
functionalities of SaaS (no customization)
• Therefore also the analysis and recommendations on requirements on product feature and also on less
“mandatory” functionalities (e.g. error handling, scheduling and security) needs to be approached in the
proposal stage and implemented based on product release roadmap
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What we recommend
� Involve the customer IT team from the start of the project
� Improve insight in order to understand Client organization’s integration needs and challenges.
� Plan SaaS project together and to have a full knowledge of what will be required (Overall
product roadmap, Core model and country roll-outs, transition plan, release plan)
� Ensure that Clients solution is architected appropriately for their needs and reduce integration
risk.
– Check and test and resolve Any Firewall Issues and Network optimization becomes important, VPN is
essential. Testing is required from the client network.
– Consider infrastructure requirements in terms of data routing, single points of failure band width etc.
� Work with Clients to understand usage scenarios, users volume
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� SaaS paradigm is: to adopt and not to adapt
� SaaS approach is no customization but configuration and
personalization
� SaaS approach is stick to the product
� Empowered decision making required
� Clear expectation from the beginning
� Strong change management drive
ADOPT not adapt
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What we recommend
• Adopt not adapt is an important factor to drive the Business process transformation
– Standard Business Process embedded into SaaS apps will be the base to start the workshops.
– Additional Requirements (as per MOSCOW list) have to be either raised as ER’s and included in the next releases by the
Oracle Corporate Product Development or satisfied by personalization and configuration or Business process
change
• SaaS implemented functionalities are Release Driven
• Product Release road map is key and strategic to move forward, but current release is
NOW!
• Customer should provide Initial Business Data for all the modules in scope to start
workshop with their own data
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What does this mean for you?
� Mind-set Change
� Project teams
– Likely to be smaller
– More remote working
– Increased offshore mix
– Less documentation than traditional projects
– 1st project delivery is quicker
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How much Rapid? Which is the scale, what is in the scope?
• It depends on how many pillars (e.g. HCM, CRM etc.) and how many
modules (HR core, Compensation mgmt, Performance mgmt etc.)
• It depends of what is required per module (e.g. Compensation Mgmt,
how many different and complex compensation plans)
• Core model and deployments (e.g. How to deploy, Phased approach)
• How many countries, how many users, type of country?
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What we recommend
• Keep it simple, scale it down
• Break it down into manageable pieces and phases, scale it down
• Maximize use of best practices inherent in the product
• Project duration is not only based on Functional stream. Complex or multiple integrations will
jeopardize the project timelines.
• Managing and implementing a change control procedure is independent of the contract type,
mandatory in each project.
• Similar to on-premise project but more critical to SaaS ones as timelines are shorter
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What we recommendOracle Unified Method (OUM) – Cloud Application Services Implementation Approach
� The Oracle® Unified Method (OUM) Cloud Application Services Implementation Approach is
Oracle Consulting’s lightweight approach for implementing SaaS Applications running on a
cloud infrastructure.
� The approach leverages and emphasizes the out-of-the-box approach and adoption of
best practices inherent in the SaaS Application products, as a foundational element of the
approach.
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Project approaches
(SaaS vs. on-premise)
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Inception Elaboration Construction Transition Production
ERP/CRM wall to wall implementations drive business processes through
and often result in one implementation.
Traditional implementation
Project
=
Budget driven
Bu
sin
ess P
roce
sse
s /
Re
qu
ire
me
nts
Ca
talo
g
Typical timeframe
9 to 12 months
OUM Cloud Application Services Implementation ApproachTraditional implementation vs. Cloud implementation
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Release driven implementation with high interactive/iterative approach
and focus on high-priority Business Processes and Requirements
Release
=
Revenue driven
Production
Bu
sin
ess P
roce
sse
s /
Re
qu
ire
me
nts
Ca
talo
g
Rapid Cloud implementation
• Standard functional setup
• High Priority Business Process
and configurations
• Initial Data Loads
• Initial User Training
Project Governance Priorities update and release plan adjustmentsEnvision
• High-level
Business
process
mapping
• Prioritization
(MoSCoW list)
• Product
Roadmap
• Release Plan
Typical timeframe
1 to 2 weeks 8 to 12 weeks
Plan Prototype Validate Transition Sustain
Release 2
• Medium Priority configurations
• Integration w/ Legacy Apps
• Complex Data Loads
• Historical Data Loads
8 to 12 weeks
Plan Prototype Validate Transition Sustain
• Low Priority configurations
Release 3
8 to 12 weeks
Plan Prototype Validate Transition Sustain
OUM Cloud Application Services Implementation Approach Traditional implementation vs. Cloud implementation
Release 1
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Oracle Consulting Approach for Cloud applicationsOUM Cloud Application Services Implementation Approach
• Specifically designed for implementing Oracle Cloud applications
• Based on the same principles as Oracle’s Unified Method (OUM) to allow Consistent
approach across all our products.
• This approach consists of:
� An easy-to-follow framework of activities, for a step-by-step project implementation centered
around few and essential activities and deliverables
� A Prototype approach based on Fusion standard functionality: customer’s processes are
modeled according to Fusion best practice business processes so that customizations are
avoided
� The Oracle Cloud Delivery Toolkit with predefined, value-adding materials & best practice
suggestions for all business decisions to be taken during implementation
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What we recommend
OUM Cloud Apps Services Implementation Approach
A SaaS Project can be
composed by a Functional
and a Technical Stream:
• SaaS Functional stream different
• SaaS Technical stream could be
more similar to the on premise
one.
The Technical stream might
influence the project timeline
and scale, again depending
on the complexity and scale of
the project.
Deploy
• Fusion business processes
• Best practice set-up content
Sustain - Subsequent Releases / Rollouts
Ready for deployment for the functional streamValidatePlan Prototype
Oracle Unified Method (OUM) - Application Cloud Implementation Approach
Ready for deployment for the technical stream
Data Migration and Integration streams
Knowledge of current
Understand what’s next
Future / To-Be SaaS
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OUM Cloud Application Services Implementation ApproachEasy-to-follow framework for activities
• Short, well-structured implementation cycles
• Iterative configuration
• Up to four modules per release cycle
• Multiple releases are possible to accomodate incremental scope and/or timeline
decisions
Multiple Release Cycle – e.g. five modules
Single Release Cycle – e.g. two modules
Plan Prototype Validate Transition Sustain
Plan Prototype Validate Transition Sustain
Plan Prototype Validate Transition Sustain
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OUM Cloud Application Services Implementation ApproachProject activities
Conduct Kick-off Meeting
Schedule Workshops
Conduct Integration and Data Load workshops
Gather Setup Information
Conduct Implementation Checkpoint
Perform Setup
Conduct Workshops & Prototype Configuration
Capture & Prioritize Changes
Conduct Implementation Checkpoint
Load, Reconcile & Validate Data Loads
Update Business Processes and Validation Cases
Conduct End-to-End Review
Migrate Configuration to Production
Manage Transition to Steady-state Operations
Load, Reconcile & Validate Data Loads in Production
Conduct Implementation Checkpoint
Begin system use
Prepare Training Material
Verify Production & Operational Readiness
Apply & Validate Setup Changes
Final Validation Review with Users & Stakeholders
Review In-Scope High-Level Business Processes Plan for Next Release
Post Go-Live Support
Shared responsibility Client responsibilityOracle responsibility
Create Detailed Release Plan
Plan Prototype Validate Transition Sustain
Prepare Integration Details
Conduct Train-the-Trainer Workshops
Apply & Validate Extensible Items
Implement & Validate Integrations
Load & Validate Data
Populate Data Load Templates
Project Management
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OUM Cloud Apps Services Implementation Approach
• To set appropriate expectations,
• To confirm the objectives and scope of the project
• To prepare high-level release plan based on client priorities,
• To held a kick-off meeting
• To start a series of workshops to plan, schedule and conduct to gather or validate
the initial setup data
• To review Fusion integration and data load concepts, and to define strategies and
options to be used
• To load required legacy data and establish the necessary integrations.
Project Activities : Plan
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OUM Cloud Apps Services Implementation Approach
• Outset of the Prototype phase: the Staging Environment is configured using the
initial setup values collected during the Plan phase.
• Workshops are then conducted reviewing the standard functionality as
configured in the Staging Environment, collecting feedback, prototyping
refinements and capturing and prioritizing additional configuration settings.
• Via configurations settings, Business Processes and test cases, are updated, to
reflect the resulting configuration
– All processes & workflows are reviewed and described at role level (accessN)
• If custom data loads, or integrations, are within the scope of the project, technical
specifications are prepared.
• Client data is extracted from the source systems and a final release plan is
prepared to close out the phase.
Project Activities : Prototype
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Oracle Consulting Approach for Cloud ApplicationsOracle Cloud Delivery Toolkit
• Pre-defined deliverables
• Common-practice suggestions
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Oracle configures according to Questionnaires
• Standard system functionality is
configured by consultants
according to questionnaires:
– Company organisation, workforce
structure, job catalogues etc
– Compensation plans
– Performance appraisal templates
– Talent Review templates
– Other configuration
Example of standard system layout configured
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Configuration Workshops
• The system is demonstrated, based on initial
configuration.
• The purpose of the Configuration Workshops is to
– Present the system as configured
– Gather any comments, input, further questions etc.
– Walk through the Questionnaire to capture these comments,
and verify understanding of the filled-out questionnaire
• Documentation is captured in the Questionnaires
and Data Sheets, no additional documentation
• The configuration is managed in several iterations
Example standard process
Example standard reports
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OUM Cloud Apps Services Implementation Approach
• Implementation and validation of additional configuration and Business
Processes to reflect the resulting state of the Staging environment and sample
client data is loaded in preparation for an end-to-end solution
• Client data loaded to the Staging Environment to validate them.
• The end-to-end solution review is intended to validate the final configuration to be
used in the Production Environment
• A train-the-trainer event is also held in the Validate phase to prepare designated
client personnel to train end users during the next phase in preparation for the
new system
Project Activities : Validate
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OUM Cloud Apps Services Implementation Approach
• The Transition phase focuses on moving the new software system and the
organization to active use.
• The validated configuration is migrated to the Production Environment, the client
data is loaded, and a final solution review is conducted with users and
stakeholders to help ensure that the new environment if ready for use.
• A production and operational readiness assessment is made as a final checkpoint
and the Transition phase concludes with the new system being placed in use.
Project Activities : Transition
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OUM Cloud Apps Services Implementation Approach
• The Sustain phase begins active use of the system and, during this phase, the
transition to steady-state operations is managed.
• A key activity in the Sustain phase is the Roadmap Workshop, in which plans are
made for the next release and provisions made for the appropriate maintenance
and governance of the new system.
Project Activities : Sustain
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Similarities
• Strong governance
• Technical stream: Data migration and Integration
• Prepare for transition and training
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.....“Proactively identifying issues early has an impact on
implementation success :
Making right decision and mitigate risks erly have an high effect
on overall budget, time and quality of the project.”
If this is key for a traditional implementations it
is much more important for SaaS functional
stream where:
out of the box and accelerated timeline
requires
strong governance
Deploy
• Fusion business processes
• Best practice set-up content
Sustain - Subsequent Releases / Rollouts
Ready for deploymentValidatePlan Prototype
Oracle Unified Method (OUM) - Application Cloud Implementation Approach
Implementation Success: Strong Governance
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What We Recommend
• Strong collaboration of PM with internal & external project sponsors
• Best practice is to have a PM early involved during the proposal.
• Maximize Standard SaaS functionalities in the proposed SaaS solution for best ROI
• Strong involvement of the Client Key users with the Oracle Solution architects in order to
facilitate the processes change management inside the Client organization.
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Similarities
• Strong governance
• Technical stream: Data migration and Integration
• Prepare for transition and training
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Technical stream: Data Migration and Integration
• Technically Oracle offers various solutions:
– In Bound Data Loading Solutions (Import)
– Out Bound Data Loading Solutions (Extract)
– Public Web Services
• providing standard Data Load and Standard Integrations.
• However Data Migration and Integration overall processes
need:
– to know the current “As is now”
– to understand the future
– to develop/configure the “As to be”
Data Migration and Integration
streams
Knowledge of current
Understand what’s next
Future / To-Be SaaS
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Technical stream: Data Migration and Integration
Technical stream is likely to be more
“traditional” even on a SaaS
implementation.
Complexity and related effort will
depend on what needs to be
configured/developed.
The Technical stream might
influence the project timeline and
scale, again depending on the
complexity and scale of the project.
Deploy
• Fusion business processes
• Best practice set-up content
Sustain - Subsequent Releases / Rollouts
Ready for deployment for the functional streamValidatePlan Prototype
Oracle Unified Method (OUM) - Application Cloud Implementation Approach
Ready for deployment for the technical stream
Data Migration and Integration streams
Knowledge of current
Understand what’s next
Future / To-Be SaaS
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Not only Data Migration and Integration
• Depending on the scope, different technical topics have to be considered:
– Additional or customized reports (not only standard Apps reports or OTBI)
– Additional Data Fields implemented as Flex Fields
– Screen layouts changes
– Workflows
– Roles if a different from the standard ones
– SSO if again different from what we are offering as a standard
– Integration with passport partners (Taleo SaaS offering)
– Technical readiness assessment
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Why Validation, Why Testing?
Functional streamOnly an end to end validation is required
for configuration and personalization.
Since there are no customizations and no
development, testing is not required.
Technical streamTesting and validation because Migration
and Interfaces require configurations and
/or developments.
Deploy
• Fusion business processes
• Best practice set-up content
Sustain - Subsequent Releases / Rollouts
Ready for deployment for the functional streamValidatePlan Prototype
Oracle Unified Method (OUM) - Application Cloud Implementation Approach
Ready for deployment for the technical stream
Data Migration and Integration streams
Knowledge of current
Understand what’s next
Future / To-Be SaaS
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What We Recommend
• To maximize the usage of standard integrations and standard data loads.
• Break it down into manageable pieces, phases, this will help also for the technical
stream.
• If custom data loads, or integrations, are within the scope of the project, technical
specifications detailing the functionality, needing to be built, have to be prepared during
the early phases of the project.
• Since we focus on standard integration at the SaaS solution side start technical
integration workshops in parallel or even ahead of the functional workshops to manage
the project duration pro-actively
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Similarities
• Strong governance
• Technical stream: Data migration and Integration
• Prepare for transition and training
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Transition and Training
• It is important to manage the transition phase as in any project:
– Client needs to update Business process and approved changes.
– Client has to prepare User Guide to describe business procedures and to provide
detailed instructions for using the applications in response to day-to-day business
events.
– Client needs to train End Users (if not differently agreed with Oracle)
– Client needs to be ready to go to Production: verify operational readiness.
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What We Recommend
• However project transition should not be intended solely as a series of activities to go to
production, transition is one of the most important project phase where management
drive is key to success:
• Prepare well ahead the transition, well before the transition phase starts
• Change management is a key factor inside organizations, do not underestimate
resistance to change
• Communicate, communicate: be prepared for the change even before the transition
phase
• Emphasize the importance of the Business drivers and which are the overall benefits
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What we recommend
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HCM Project success
stories
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Control Risks
COMPANY OVERVIEW
Control Risks is an independent, global risk consultancy
specializing in helping organizations manage political, integrity
and security risks in complex and hostile environments. They
support clients by providing strategic consultancy, expert
analysis and in-depth investigations, handling sensitive political
issues and providing practical on-the-ground protection and
support. Deployment to 3,000 employees in 25 countries went
Live in September 2012.
CHALLENGES/OPPORTUNITIES
• Operating in multiple countries Control Risks needed a
consolidated HR system to be the single source of truth
• Replace existing Compensation review process with an easy to
use online interface for managers
RESULTS
• All employee data migrated into a single system
• Improved reporting capabilities across the whole employee base
Delivered by Oracle Consulting
SOLUTION
• Fusion HCM SaaS
• Core HR
• Compensation Management
• OTBI Reporting
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Colt Technology Services
COMPANY OVERVIEW
Colt is Europe’s information delivery platform, enabling
customers to embrace the changing landscape of IT and
communications so they can deliver, share, process, and store
all of their vital business information. They have a 22-country,
43,000 km network that includes metropolitan area networks in
39 major European cities with direct fiber connections into
18,000 buildings and 20 Colt data centers. Deployment in
progress with Compensation and Performance Management to
go Live in January 2013 and Core HR in April 2013.
CHALLENGES/OPPORTUNITIES
• Core HR platform needing to be upgraded
• Complicated Compensation plan due to many country specific
rules
• Ambition to deploy a modern best of breed unified multi-
process system in the Cloud
RESULTS
• Colt will provide all managers and employees with online access to a
common global process for managing Goals and Performance
• Colt will provide all managers with a simple interface to manage
Compensation reviews
• Colt will migrate all their Core HR data from on-premise to cloud
based solution reducing total cost of ownership
Delivered by Oracle Consulting
SOLUTION
• Fusion HCM SaaS
• Goal Management
• Performance Management
• Compensation Management
• Coexistence with eBus in Phase 1
• Fusion Core HR in Phase 2
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SaaS in EMEA OCS
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EMEA Consulting’s Professionals are
Oracle Experts
� 13,000+ Oracle Consultants Globally
� 1,300+ Applications Experts in EMEA
� 1,500+ Technology Specialists in EMEA
� 1,100+ Offshore Centre of Excellence Consultants (SSI)
� World-class Project Management Office with 5 levels of certification
� Focused solely on Oracle Products and Solutions
� Deep Industry acumen across all major Industries
� Business and Technical Process Expertise
� Involved in more Oracle deployments than any other provider
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EMEA Consulting’s Professionals are
Oracle Experts – SaaS Expertise
� Oracle Consulting is the largest SaaS service organization in
EMEA
� 300+ SaaS consultants in EMEA
� 600+ SaaS customers in EMEA
� Dedicated teams of SaaS consultants covering Fusion HCM,
Taleo, Fusion CRM, CRM OnDemand, RightNow
� Close co-operation with Oracle Development and Product
Marketing
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Questions & Answers
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