| Building the Effective Enterprise Using a Web Storefront to Drive Sales of Configurable Products Frank Feustel – Director, Product Management, QAD Building the Effective Enterprise

| Building the Effective Enterprise 2 The following is intended to outline QAD’s general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, functional capabilities, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functional capabilities described for QAD’s products remains at the sole discretion of QAD. Safe Harbor Statement Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 3 ■Session overview ■Driving product sales ■Implement eCommerce ■Mass customization with eCommerce ■Product sneak peek ■Roadmap and future plans ■Summary ■Questions Agenda Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 4 ■How QAD solutions can be leveraged to drive sales of configurable products online ■Helps Build the Effective Enterprise by:  Delivering a complete eCommerce suite that supports standard and complex products  Enabling enhanced customer service  Streamlining business processes Session Overview Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Driving Product Sales Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 6 ■Lower prices ■Higher quality ■Faster delivery ■Customized products ■Better service Driving Product Sales Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Implement eCommerce Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 8 ■High order handling costs and error rates ■Expensive and resource intensive to run call centers ■More and more products becoming commodities ■Adopting new sales channels ■Orders come in from many sources ■Limited EDI with customers ■Selling to consumers is complex ■Global economy demands 24/7/365 access Challenges Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 9 ■Start simple – make it successful for standard items  Make the customers wanting to visit your portal  Give an incentive Implementing an eCommerce Portal Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 10 ■CSS is QAD’s eCommerce portal solution ■It enables global manufacturers to offer easy to use customer self-service  24 / 7 / 365 access  Optimized end-to-end order fulfilment  Improved customer responsiveness What is QAD Customer Self Service (CSS)? Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 11 The Many Faces of CSS Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 12 ■Increases revenue opportunities through an expanded sales channel ■Reduces costs through reduced reliance on call center resources ■Increases customer satisfaction through more efficient buyer/seller communication channels Value Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Make the Move to Mass Customization Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 14 Mass Production … Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 15 … Mass Customization Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 16 Manufacturing Strategies Using a Web Storefront to Drive Sales of Configurable Products Variety Volume DesignPurchaseManufactureAssembleShip InventoryManufactureAssembleShip ManufactureInventoryAssembleShip ManufactureAssembleInventoryShip Delivery Lead Time Engineer-to-Order (ETO) Make-to-Order (MTO) Assemble-to-Order (ATO) Make-to-Stock (MTS) Configure-to- Order (CTO)

| Building the Effective Enterprise 17 ■Enables global manufacturers to configure products of low complexity  Higher customer service levels  Lower inventory costs  Previously known as “Features and Options” What Are QAD Configured Products? Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 18 ■Enables global manufacturers to configure products of medium to high complexity  Full implementation of mass customization  Higher customer service levels  Lower inventory costs What is QAD Configurator? Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 19 ■Configured Products  MTS and PTO  ATO ■Configurator  MTO / CTO ■Combined  MTS and PTO  ATO Supported Manufacturing Strategies Using a Web Storefront to Drive Sales of Configurable Products InventoryManufactureAssembleShip ManufactureInventoryAssembleShip ManufactureAssembleInventoryShip Delivery Lead Time MTO ATO MTS

| Building the Effective Enterprise Get Configurable Products Online Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 21 Integration is Key Using a Web Storefront to Drive Sales of Configurable Products QAD CSS QAD CSS QAD Enterprise Applications QAD Enterprise Applications QAD Configured Products QAD Configured Products QAD Configurator QAD Configurator

| Building the Effective Enterprise 22 ■Now move to more complex products  Standard kits and assemblies  Custom features and options  Complex customized (configured) products Selling Complex Products on the Web Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 23 ■Send s to your business customers ■Add a message to the homepage Announce the New Capabilities Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 24 ■Describe options ■Give price range ■Add data sheet Publish Detailed Product Information Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 25 Use Standard Configurations Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Product Sneak Peek Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise What’s New? Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 28 March 2013 Release Using a Web Storefront to Drive Sales of Configurable Products ■CSS (maintenance release)  Smaller enhancements and fixes ■Configurator 5.4 (enhancement release)  Variant item master comment creation  EMT support: supplier item creation  Sales configuration rules enhancements  Cost roll-up control flag in configuration rebuild  Usability and layout improvements in questionnaire  Other smaller enhancements and fixes

| Building the Effective Enterprise 29 ■Creates master comments for configured item ■Perfect to add configuration description and notes ■Visible with item, sales order print, invoice print, et cetera ■Can also be used to create comments in multiple languages Variant Item Master Comment Creation Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 30 Usability Improvements Questionnaire Using a Web Storefront to Drive Sales of Configurable Products BeforeAfter Logical features in one line Less white space Display of defaults

| Building the Effective Enterprise 31 ■Solution components  Enterprise applications, incl. configured products  Configurator  CSS ■Configurator / CSS  Support of eB2.1 SP4 and higher, including latest QAD 2013 EE release Availability Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Product Road Map Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 33 ■Multi-language support of Questionnaire  Support of users with different languages in base and CSS  Value/ benefit −Support for global enterprises −Single CSS order hub for multiple countries −Improve customer service  How it builds the effective enterprise −Enable / streamline business processes Product Road Map Using a Web Storefront to Drive Sales of Configurable Products Roadmap Subject to change without notice. The above is intended for information purposes and should not be incorporated into a contract.

| Building the Effective Enterprise 34 ■B2C support for configurable items  Allow consumers to configure products without login (business-to-consumer scenario)  Value/ benefits −Ability to add new sales channel for configurable products −Improve customer service  Helps building the effective enterprise −Enable / streamline business processes Product Road Map Using a Web Storefront to Drive Sales of Configurable Products Roadmap Subject to change without notice. The above is intended for information purposes and should not be incorporated into a contract.

| Building the Effective Enterprise 35 ■PCI compliance  Enhance credit card process so it is in compliance with PCI/DSS  Value/ benefits −Compliance  How it builds the effective enterprise −Enable / streamline business processes Product Road Map Using a Web Storefront to Drive Sales of Configurable Products Roadmap Subject to change without notice. The above is intended for information purposes and should not be incorporated into a contract.

| Building the Effective Enterprise 36 ■Configurator EMT support  Support EMT for configurable products for business units in different domains  Value/ benefits −Support for centralized order management with configurable products  How it builds the effective enterprise −Streamline business Product Road Map Using a Web Storefront to Drive Sales of Configurable Products Roadmap Subject to change without notice. The above is intended for information purposes and should not be incorporated into a contract.

| Building the Effective Enterprise Product Vision For The Future Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 38 ■Delivering a complete and integrated B2B and B2C e-commerce suite on web and mobile for manufacturing companies  All products – from simple items to complex configured products (standard, Kit, ATO, CTO)  All fulfilment types – supporting various scenarios  Also supporting global enterprises ■Benefits  Improving customer service  Streamlining order process −Reduced error rates −Reduces lead time to fulfill orders Vision Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise Summary Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 40 ■How to leverage eCommerce as a strategy to boost sales ■The benefits of mass customization ■How to get your eCommerce site up and running for customizable products ■Which solutions QAD offers in this space, what is new and what is planned to come What You Should Take Away Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 41 ■Attend one of the last breakout sessions  Eagle On Demand Providing Benefits and Rewards  Enhancing Customer Collaboration with QAD- Managed EDI  The Benefits of Automating the Quality Management System in Life Sciences  Let Us Help You Pave the Way – How to Conquer MMOG/LE Next Steps While at Explore Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 42 ■Watch the replay of this related session  Transform Your Customer Service Experience with QAD Customer Management ■Watch the replay of the following webinars  QAD CSS for Configurable Products  What's New in CSS for Configurable Products ■Identify your opportunities for eCommerce and mass customization ■Talk to us Once back at home... Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise 43 ■Frank Feustel: Questions & Answers Using a Web Storefront to Drive Sales of Configurable Products

| Building the Effective Enterprise ©QAD Inc