1. Finance Transformation in Financial Services: Solution and Case Study Review
Bill Greene, Global Solution Manager, Oracle
Michael Hernandez, PNC Financial Services
Vas Rao, CIBC
John Van Puffelen, TIAA CREF

2. Are you in the Right Room?
Optimize Processes for Consistent, Repeatable and Efficient Finance and Risk
Greater Data Transparency and Strong Links between Finance and Risk
Availability of Reconciled, Detailed and Timely Data
Address today’s Regulatory Challenges
Comprehensive Daily, Weekly, Monthly Perspective of Risk and Finance Information

3. Agenda Setting the Stage – Challenges and Approach (10min)
PNC Financial Services (15min)
CIBC (15min)
TIAA CREF (15min)
Questions and Answers (15min)

4. Speakers Michael Hernandez, SVP Accounting Operations, PNC
Vas Rao, VP Finance Services Group, CIBC
John Van Puffelen, VP Corporate Financial Planning and Analysis, TIAA CREF

5. Enterprise Risk and Finance Challenges
Operationalizing Risk and Finance
Risk and Compliance
Cost and Efficiency $

6. Enterprise Risk and Finance: The Approach
Data Sourcing
Data Preparation
Management Reporting & Analytics
Accounting
Regulatory
Reporting
Analytical
Enrichment

7. Michael Hernandez SVP Accounting Operations

8. Overview
NCC Acquisition in 2008, catapults PNC into “Core Bank” ranks for Basel reporting
Financial crisis leads to expanded reporting and compliance requirements
Increased systems and data complexity

9. Focus of “Office Of Finance”
Historically:
Minimal investment in finance technology
Cost reduction environment
Acquisition support priorities
Focus of operating system enhancements
Product and customer priorities versus accounting & finance needs
Resulting In:
Current finance information processes have become complex & fragmented
Dependent on manual data manipulation to cope with the increase in analytical needs and reporting requirements – both internal and external

10. Finance Transformation Journey (So Far)
2009
2010
2011
2012
2013
Integrate NCC systems
Acquired Loan Acctg.(SOP 03-3)
Financial System Gaps
Create Finance Project Management Office
Hyperion Essbase
Basel Compliance
Oracle DRM
SEC Reporting
Enterprise Information Platform Reconciliation
Finance Transformation Strategy
Peoplesoft Upgrade
SEC Reporting Phase 2
OFSAA
Financial Accounting Hub
Hyperion Planning
Refine/Expand Strategy

11. Integrated Financial Systems Blueprint
Risk
ALM
Finance
SCM
Common Data Platform

12. PNC Financial Systems Ref Architecture

13. Vas Rao
VP, Finance Services Group

15. Who Are We? CIBC (CM: TSX; NYSE)
Canadian-based global financial institution
42,793 employees
11 million individual, small business, commercial, corporate and institutional clients
3,456 bank machines
1,103 branches
Valuation (Jan 31/13): Dividend yield: 4.5%
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 15
1Canada Rank is relative to the other 5 major Canadian banks (BMO, BNS, RY, TD, NA). 2North America rank is relative to the other 5 major Canadian banks and JPM, BAC, C, WFC, USB, BK, PNC, STT, COF, STI, BBT, RF, FITB.

16. Financial Data Challenges
Data feeds from multiple sources
Limited ability to “drill down” for ad hoc analysis and investigation
Time spent finding data, scrubbing data, formatting data and presenting data as information
Manual reconciliations
Variable definitions of data and calculations
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 16

17. Our Guiding Principles
The technology that supports Finance was built for a single purpose and at a point in time. As our regulatory demands continue to increase we know that our Technology has to evolve.
Data Standardization
Finance centrally governs data definitions and standards
Thick & Thin Ledger
A Financial Data Warehouse (FDW) and GL containing all financial data
Results between GL and FDW are reconcilable and the reconciliation process is highly automated
Data Processing Management
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Flexible reporting to drive on demand analysis, insights and business discovery
Reporting
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 17

18. Target State Architecture
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 18

19. Scalable Technology Solution
Fiscal 2013 – S4 Case Study
Background
The S4 Return provides Statistics Canada with information relating to Assets Under Administration (AUA). Information from this return will be used to compile estimates of assets which are held for retirement purposes
Finance has been manually collecting data and preparing reports, on a best efforts basis and at a summarized level, for approximately 60% of the Bank’s AUA for the past 3 quarters but the regulations have changed. Statistics Canada is now asking for 100% of Bank’s AUA at a granular level by calendar Q3 2013
Issues
Scalable Technology Solution
The S4 Return provides Statistics Canada with information relating to Assets Under Administration. Information from this return will be used to compile estimates of assets which are held for retirement purposes
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Leverageable Data
Acquired larger population of data
Data is reusable to the enterprise
Standardization
Enable automated and standardized reporting (e.g. Mutual Funds Sales Reporting)
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 19

20. Where Are We?
OFSAA
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 20

21. Solution: OFSAA Establishment of the Financial Warehouse
Dirty Data
We’ve seen this type of change before in Telco—does this sound familiar?
Six in ten people (59%) say they would be more likely to change bank if they could keep their account #
Only 51% of customers are confident they will remain with their primary bank over the next 6 months
Financial services institutions must now be focused on differentiation through customer experience
Deliver One Enterprise source of all AUA data
Establishment of the Financial Warehouse
Automated Regulatory Reporting
Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 21

22. John Van Puffelen
VP Corporate Finance

23. Disclosure
This material is for informational purposes only and should not be regarded as a recommendation or an offer to buy or sell any product or service to which this information may relate. Certain products and services may not be available to all entities or persons. Past performance does not guarantee future results. The views presented represent the views of the speaker and not necessarily the views of the organization.

24. TIAA-CREF Facts & Stats…
Who is TIAA-CREF
TIAA-CREF is one of the largest private providers of retirement benefits nationwide
Start with Institutions  Participants  AUM  Locations  Employees
Among the highest-rated insurance companies in the U.S. - Holds highest ratings from all four leading independent insurance industry ratings agencies
Largest real estate manager of U.S. tax-exempt assets
Our Place in the World
Both Erik and I work with in the Finance & Actuarial area…500+ employees separated into 7 functional areas – Operations & Mgmt Services, Controllers, Fund Admin, CFPA, BFO, Tax and Actuarial
SLIDE TRANSITION: Why are we here…Over the last couple of years we have attended several conferences – in order to learn and gain insight how others approach governance

25. Mgmt Reporting & Analytics (MRA)
Common Financial Analysis Platform
Upgrade/replace existing software applications and manual processes.
Create scalable, automated and transparent environment to support profitable growth
STRATEGIC GOAL
To be a sought after business partner that proactively provides financial and operational information and value added advice that aligns to TIAA-CREF’s corporate strategies and drives the firm to achieve its Vision 2020 goals.
Integrated Financial Management Information
Align business and financial planning with corporate strategies
Develop multi-dimensional profitability reporting for products, individual client, institutional client and line of business
Create actionable information and reporting for decision making
STRATEGIC GOAL
Mission
Deliver financial management information, tools and processes needed to support business planning, budgeting, forecasting and long range planning; management reporting and decision support; cost transparency; profitable growth strategies; and process efficiencies.
Improved Data Quality, Access & Hierarchy Management
Develop single source of profitability information based on standard and consistent methodologies and definitions
Create robust cost and revenue information, centralize data management and improve data information delivery
STRATEGIC GOAL

26. MRA Framework

27. MRA: “What if…” Analysis – The Art of the Possible

28. Evolution of Performance Management
Future State
Transformational
Today
Best Practice
Risk adjusted measure used to evaluate performance, allocate resources, and calibrate incentives
Stable
Revenue sharing or referral fee arrangements to ensure teaming is fairly rewarded
Capital is attributed at the appropriate level based on risk rating
Marginal
Principles in place governing definition, characteristics and maintenance of the data
Comprehensive detailed profitability and performance quantification improving timely, accurate and detail actionable information to enterprise
Process Maturity
Multiple dimensions are reported, including LoB, prod, client, channel, program / campaign, geography
Defined Processes
Real-time Information
Value Chain Integration
Increasing Maturity

29. MRA Information Delivery

30. Graphic Section Divider