1. IT Telecom Retail Manuf. Successful Customers Select Oracle!

2. Oracle Incentive Compensation Brad Holzer Sue Guggenberger

3. Change Management Video

4. Themes for Today OIC is BEST of BREED and ERP #1 product in install base and recognized as such by our customers, peers and analysts Native integration into current Oracle footprint Unmatched portfolio of customers OIC has MEASURABLE ROI Revenue Transactional Costs  Overpayment costs estimated at 6% of commission spend (over $25m). OIC reduces to 1% Deloitte benchmarking Compliance and controls Field Sales morale

5. #1 in number of customers live Oracle Incentive Compensation Market #1 in Sales Incentive Compensation Management Global market leader with: 250+ live customers 1,150,000+ payees in production Brand Name companies have chosen OIC: Edward Jones; Dell; Yahoo; Cisco; EMC; Symantec; Liberty Mutual; Best Buy; Nordstrom; JC Penney. Broad industry coverage incl. Mfg/Tech, Retail, Telco, Fin Serv Global market momentum & references 500,000+ payees implementing  Best Buy – 90,000  Cisco – 13,000  Edward Jones – 10,000  JC Penney – 192,000  Liberty Mutual – 30,000 1,150,000+ payees in production  British Telecom – monthly plans for 18,000 agents  JC Penney – 517 of 1100 stores live  La Poste – 30,000 payees  Nordstrom – quarterly targets & goals for 15,000 managers; 40,000+ total payees 45% Stand Alone

6. “ Oracle has managed to support clients with high scalability requirements in terms of number of payees (in the thousands) and transactions (more than 1 million per month). ” Clients “ should consider OIC on their shortlists. ” Michael Dunne, Gartner, 2007 Oracle “best-of-breed enterprise class solution” has “ the advantage of offering a strong enterprise incentive compensation solution that [can be deployed as] part of a larger suite of functionality … [or] standalone”. Liz Herbert, Forrester, 2006 OIC Analyst Recognition

7. Finance Healthcare Other Successful Customers Select Oracle!

8. Why an Oracle EIM Solution? Sales Drives Your Company Align Sales Goals with Corp Strategy Need Central Control & Visibility Flexibility, Adaptable Simple Question…Complex Answer

9. A * B = C Simple Question… Who? Eligibility? Periodicity? Corp Strategy? Tiered Rates? Draws? Variable by Role? Variable By Resource? Proportional Calcs? Circular Calcs? Splits? Accelerators? Multipliers? Standardization vs Flexibility? Complex Answer f(x) = x 2 + 1

10. A * B = C Simple Answer…

11. Oracle Incentive Compensation Territory Mgr Territories Quoting Quotes ORACLE INCENTIVE COMPENSATION Collect, Calculate, Pay Resource Manager Resources Roles Groups Teams Employees Partners Resellers Vendors Agents Order Management Orders Receivables Invoices Billing Credits Payments Payroll Employees Payables Resellers Vendors Partners Agents Discoverer & out-of-the-box Reports Commission Statements Performance Reports Year to Date Summary Administrative Reports + End User Layer Seeded Workbooks Siebel Business Analytics Compensation Data mart Role based Dashboards Flexible personalization HR Comp Total Comp

12. Legacy External Systems Open Architecture for Easy Integration Order Entry Receivables Billing Legacy External Systems Compensated Individuals Payroll Payables ORACLE INCENTIVE COMPENSATION Design Analyze Measure Reward Discoverer & out-of-the-box Reports Commission Statements Performance Reports Year to Date Summary Administrative Reports + End User Layer Seeded Workbooks

13. Powerful, Flexible Plan Design Plan Elements, Formulas & Calculations

14. Compensation Plan Plan Elements Incentive Compensation Plan Structure Building Blocks Software Sales Rate TableFormula Eligible Products Rate TableFormula What?How?How Much?

15. FORMULA Formula Components Input Expressions Input Expressions Output Expressions Rate Table Results Red = Provided to Incentive Compensation Blue = Calculated by Incentive Compensation

16. Percent of Target Commission % 0 - 0.25 * ITD Target 5 0.25 * ITD Target - 0.75 * ITD Target 10 0.75 * ITD Target - Target 15 Country Commission % USA 5 Japan 4 Germany 7 Percent of Quota Commission % 0 - 25 0 25 - 75 1 75 - 100 3 Units Sold Commission % 1-250 2 250-500 4 500-99999999999 6 Amount : The rate dimension is defined in quantities. Percent : The rate dimension is defined in percentages. Expression : The rate dimension uses previously defined expressions. String : The rate dimension uses alphanumeric data. License Revenue Country Product Rate 0 – 250 USA Product X 1% 0 – 250 USA Service Y 5% 0 – 250 Japan Product X 1.5% 0 – 250 Japan Service Y 4.5% 0 – 250 Germany Product X 1.25% 0 – 250 Germany Service Y 6.25% 250 - 9,999 USA Product X 4% 250 - 9,999 USA Service Y 8% 250 - 9,999 Japan Product X 4.5% 250 - 9,999 Japan Service Y 7.5% 250 - 9,999 Germany Product X 4.25% 250 - 9,999 Germany Service Y 9.25% Revenue Amount 0 – 250 250 - 9,999 Country USA Japan Germany Product Product X Service Y Multidimensional Rate Table Four types of Rate tables Rate Dimensions

17. Multi-Dimensional Table

18. Incentive Compensation Example Expression Builder

19. Complex In English… If Transaction Type = Product Sales, then multiply Rate Table Rate x (Gross Profit + Rebate). Otherwise, multiply (Gross Profit + Rebate) x Rate Table Rate x 2. Simple

20. Putting it all together… Output Expression Rate Table Results * Transaction Amount E.g.: 1% “Quota Attainment” E.g.: 25% Input Expression

21. Resource Roles Compensation Plan Plan Elements Lisa Jones Outbound Rep Computer Sales Rep Plan Outbound Sales Representative Assembled Computers Eligible Products Eligible Products Formulas Rate Tables Standard Computers Eligible Products Formulas Rate Tables Service Eligible Products Formulas Rate Tables What?How? How Much?

22. Demo

23. Themes for Today OIC is BEST of BREED and ERP #1 product in install base and recognized as such by our customers, peers and analysts Native integration into current Oracle footprint Unmatched portfolio of customers OIC has MEASURABLE ROI Revenue Transactional Costs  Overpayment costs estimated at 6% of commission spend (over $25m). OIC reduces to 1% Deloitte benchmarking Compliance and controls Field Sales morale

24. A Q &