1. The Cloud and Adaptive Insights
This deck can be used as a standalone presentation, or selected slides can be incorporated into other decks. Note that key slides from this deck are already included in the Corporate Overview and CPM decks.
The purpose of this presentation is to educate the audience about why cloud computing is now mainstream for business, the benefits of Software as a Service, and what makes Adaptive Planning different from other cloud-based solutions.
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2. Cloud is Mainstream Cloud computing is now mainstream for business.
Automation
Marketing
CRM, Sales Force
Automation
ERP, Payroll, Banking
Search Engine Marketing
Fixed Asset, Equity Management
Communication & Meetings
Cloud computing is now mainstream for business.
Cloud-based solutions are being used by companies of all sizes, across all of their different functional areas. Why is this? It’s because cloud-based solutions have removed much of the cost and inconvenience that used to be associated with many business interactions. The leanest, most agile and cost-efficient businesses are those that use the global reach and immediacy of the cloud to access resources on demand. Cloud computing allows companies to do things better and faster, and to scale their business as needed.
In their October, 2011 blog post called End of the On-Prem Paradigm, Beagle Research Group talks about the demise of the conventional on-premise software model. They assert that “the businesses with the smart money are getting out of on-premise and trying to figure out the models they need to survive as cloud companies.” The successful modern business is one that harnesses the cloud to share information, co-ordinate resources and interact with customers wherever they are.
Sales & Use Tax
Website Monitoring, Testing
Human Capital Management
Signature
Automation
Project Management
Call Center

3. Cloud Market Drivers Flexibility & Scalability The Cloud Time Savings
The major business drivers that are pushing movement to the cloud are first, flexibility and scalability. Cloud computing allows companies to scale their business as needed, both out and in. They can deploy business applications on demand, bringing new business initiatives online quickly, and decommissioning non-profitable initiatives on-demand.
Secondly, time savings. Cloud computing allows companies to do something better and faster. The cost and time savings increase a company’s competitive advantage.
And thirdly, cost savings. Cloud computing allows companies to reduce the amount spent to run the business.
Cost Savings

4. Improved Business Agility
Perceptions of SaaS are Changing: It’s About Flexibility More Than Cost
“How important were the following benefits in your firm’s decision to use SaaS?”
(4 or 5 on a scale of 1 [not at all a factor] to 5 [very important])
Lower Overall Cost
Improved Business Agility
Base: Software decision-makers who are using or are planning to use SaaS
Source: April 2012 “The Changing Cloud Agenda”

5. Companies Look to the Cloud to Improve Agility and Speed
“How important were the following benefits in your firm’s decision to use SaaS?”
(4 or 5 on a scale of 1 [not at all a factor] to 5 [very important])
Agility
and
Speed
Cost
Base: 920 Software decision-makers who are using or are planning to use SaaS
Source: Forrsights Software Survey, Q4 2011

6. Financial Systems in the Cloud – Drivers of Adoption
Customers
Success
Product
Systems managed by business users
Less dependence on IT for systems support
Improved business flexibility
Partners
Backing
Analysts
Systems upgraded and updated regularly
Transparent cost of ownership
Business insight delivered quickly and in context

7. The Cloud Enables Continuous Innovation
Legacy On-Premise
Innovation
Constant, ongoing
Frequent updates (3x per year)
Automatic updates overnight
Every customer on the latest version
Slow, infrequent updates (annual or longer)
Time-consuming, disruptive updates (requires IT to install and can take months)
Customers often don’t upgrade due to time and cost
Flexibility
Improved business agility
Inflexibility in meeting changing requirements
Scalability
Scalable, provisioned on- demand
Difficult to scale
Cost
Low-cost, excellent ROI
Expensive to install and run; sunk cost
Time
Fast to deploy, no IT required
Long, involved deployments requiring IT
“We used to have to use consultants to upgrade the on- premise code whenever there was an upgrade. With SaaS, our upgrades happen seamlessly. There are efficiencies that we get because we always have the best version of the software.”
Here’s how.
Source: The ROI of Cloud Apps, June 2011

8. Lower TCO for Cloud-Based vs. On-Premise CPM Solutions
4-Year Total Cost of Ownership for Cloud-Based vs. On-Premise CPM Applications (10 Full Users & 15 Review Users)
A report from the analyst firm Hurwitz & Associates found that the total cost of ownership for customers seeking to deploy a cloud-based CPM solution is up to 77% less than the TCO for an on-premise solution over the course of 4 years.
In the cloud-based model, application software costs (subscription fees) account for roughly 62% of the total solution cost. In comparison, the on-premise model application software costs (including the up front license fees and annual maintenance fees) comprise just 17% of the total solution cost. The remainder of the on-premise cost is due primarily to the IT infrastructure.
There are no IT infrastructure and management costs associated with the cloud-based model.
Source: Hurwitz & Associates, 2010.
SaaS solution analyzed: Adaptive Insights. On-premise solutions analyzed: Clarity Systems, Longview, and Prophix.

9. Cloud Lowers Total Cost of Ownership
On-Premise Software
Cloud Computing
Software Licenses 9%
68% Subscription Fee
TCO
Customization Implementation & Training
Customization & Implementation
43%
32%
TCO
Hardware
26%
Source: Yankee Group DecisionNote
Technology Analysis
IT Personnel
14%
The fact, is that compared to legacy enterprise applications, Adaptive native cloud delivery delivers incredibly powerful efficiencies and savings. Some of our largest enterprise customers have reported saving millions in hidden costs versus traditional on-premise products. In fact, according to Gartner, they estimate that customers can spend four times of the cost of the license to own and manage.
In contrast, with Adaptive there are no hidden costs. In fact, Adaptive’s number 1 benefit reported by our customers is ease of use and self-service. This makes our solution more agile, more response to change, and makes Adaptive users more productive.
77% less than On-Premise 7%
Maintenance 1%
Training
“Customers can spend up to four times the cost of their software license per year to own and manage their applications.”
– Gartner “The End of Software”
“Cloud computing yields substantial economies of scale and skill, and lowers total cost of ownership (TCO).”
– The Hurwitz Group “The Compelling TCO Case for Cloud Computing”

10. Data Center & IT Resources
Storage and server in hands of outsourcer
Shifts burden from in-house IT to provider
Frees up internal resources
Reliable service
Data centers with computing capacity
Add/subtract capacity as needs change
Pay only for what you use
In addition to cost, there are other benefits of software-as-a-service solutions. Let’s talk about data center and IT resources.
After years of data center growth and IT evolution, many businesses are left with complex, overgrown computing platforms that are chronically underutilized. These systems take up valuable data center floor space, depreciate quickly, consume large amounts of power and cooling resources, and can cause management headaches.
What’s more, the IT resources in the typical data center are locked into silos that are dedicated to particular applications. This rigid architecture makes it hard for an IT organization to quickly adapt or respond to changing business demands.
But with cloud computing, by placing storage and server needs in the hands of an outsourcer, a company essentially shifts the burden placed on its in-house IT team to a third-party provider. The result: in-house IT departments can focus on business-critical tasks without having to incur additional costs in manpower and training.
And cloud computing vendors can offer customers reliable service, and are large enough to deliver huge datacenters with endless amounts of storage and computing capacity.
Companies can add and subtract capacity as business needs change, and pay only for what they use.
As a result of all this, cloud computing has become a commercially viable alternative for companies in search of a cost-effective storage and server solution.

11. Security
Superior security technology and expertise than a company trying to protect its own data
Cost of security spread over a number of customers
SSAE 16 Audit and SOC 1 Type II Report
99.9% availability
Continuous performance audits
Backup/restore/disaster recovery
Now let’s talk about security of your data, with on-premise software, versus cloud computing.
Maybe you think that if you don’t own the computers that hold your data, you can’t count on reliability, security, and privacy. But personal computers can easily be corrupted and data can be lost. And isolated data centers aren’t immune to hackers. Plus, how skilled is your in-house IT staff, really, when it comes to securing your data? How often do they audit all of their processes and policies? Probably not very often, if ever.
Well-managed cloud computing can be much more reliable, secure, and private than any personal computer or typical in-house client-server configurations. A third-party cloud service provider is likely to have superior security technology and expertise than a company trying to protect its own data. It can spread the cost of security over a number of customers, while an individual company has to shoulder the entire burden itself.
At Adaptive Planning, we deliver an advanced on-demand security infrastructure that ensures customer data is never compromised. SAS70 is a widely recognized standard used to represent that a service provider has undergone an in-depth and independent audit of all processes and policies related to the provision of the service. Adaptive Planning completed its SSAE 16 examination in February, 2011, with Deloitte and Touche, and received its SOC 1, Type 2 report, which is available upon request. We undergo annual re-audits to ensure ongoing compliance.
And regarding availability of the software, we monitor and measure server response times of our hosted service, and run continuous automated 24- and 48-hour performance tests. We publish our actual performance, which for our company is 99.9% uptime.
And with your company’s data safely stored in secure data centers instead of your server room (previously known as your storage closet), losing power due to hurricanes, earthquakes or a construction worker cutting the power lines, you are back at work as long as you have an internet connection. And, at Adaptive Planning, we perform two, redundant nightly backups for all customers, for disaster recovery purposes.

12. What Makes Us Different
The Other Vendors Just Can’t Keep Up
Out-of-date architecture
Developed on-premise, now just hosted (“cloud washing” per Forrester)
Provide only a fraction of the benefits of multi-tenant systems built for the cloud
No innovation velocity – sometimes years between releases
Old apps often acquired and neglected or retired (e.g. Adaytum/Cognos)
First true cloud CPM solution
Designed, delivered, supported as SaaS from the beginning
True multi-tenant with integrated security –low cost to customers
Constant evolution and enhancement (3 application updates per year)
All customers have access to the same capabilities and benefits
Commitment to high quality and customer satisfaction
We were designed and have been delivering and supporting our service since 2003, as the first true cloud-based, SaaS solution. Our solution is truly multi-tenant, meaning we serve multiple, diverse customers from a central location. Our customers share computing resources, which allows for economies of scale, and results in a low cost to them. And our customers enjoy the other benefits of a SaaS solution that we just discussed.
In contrast, some other vendors provide software that was designed many years ago, as an on-premise, single-tenant solution, and is now simply running in a third party data center and bundled with Citrix so you can access it over the internet. This is not the same as a true SaaS solution. Forrester Research has created a term they call “Cloud Washing” - which they define as software vendors taking old technology from as long ago as 1985, and dressing it up in modern new cloud computing clothing. They provide a fraction of the benefits of contemporary, true multi-tenant cloud-native systems.  
A company making a new software acquisition today needs to think seriously and deeply about acquiring a product that is simply out of date, and was not natively developed for the internet. The contemporary business user requires browser access, easy interaction, access from anywhere, plus an obvious future development and product life path. This is what Adaptive Planning provides. All customers of Adaptive Planning have access to exactly the same capabilities with the same benefits, scalability and upgrade path. 
Customers of other vendors might be forced pay to migrate to a different application when the inevitable functionality or scalability issues arise. And other vendors have infrequent releases -- pointing to a weakness in being able to improve functionality, and a lack of ability or desire to invest, resulting in very poor value for maintenance paying customers. Older applications are often acquired, and then neglected or retired -- for example Adaytum was acquired by Cognos and then retired.
Our speed of development of new capabilities allows us to deliver major new versions four times per year. So your investment in Adaptive Planning is optimized, and the value we provide increases continuously, as we respond to customer requests, adding new capabilities and striving for ongoing excellence.

13. 82 65 48 % % % Business Cloud Usage Savings
Businesses save money with the cloud 82 %
Savings
The march to the cloud is long term 65 %
Of companies choose cloud subscriptions lasting one year or more
Business Technology company CSC recently commissioned a survey of IT decision makers in eight countries to find out the motivations behind their move to cloud computing systems, and its effects on their businesses.
Among their findings was that the majority of businesses, 82%, save money after moving to cloud computing. And businesses that move to the cloud are in it for the long term – 65% of companies surveyed choose cloud subscriptions lasting one year or more. And half of U.S. government IT workers say they’ve moved work to the cloud, following the new requirement that U.S. federal agencies adopt a “cloud-first” policy.
US federal agencies are required to adopt a “cloud first” policy 48 %
Of U.S Government IT workers have moved to the cloud
Source: CSC Cloud Usage Index

14. Thank You for Being Adaptive!