1. Automation and Optimization of Financial Processes

2. Finance Professional’s Challenge
Reduce costs
Increase throughput without additional resources
Decrease cost per transaction
Strengthen controls to minimize risk
Comply with regulations (Sarbanes-Oxley)
Enforce consistent processes across the organization
Improve service to business units and suppliers
Increase speed, accuracy and visibility
Reduce burden on the line-of-business managers
This is what we hear from our customers regarding their daily challenges….
Themes are consistently cost, control, speed, visibility, ….
Do this all at the same time and make it pay for itself

3. Barriers to Resolution
Over 80% of all transactions are still paper-based
“The paperless office is one of the worst predictions in the history of technology” – Forbes, May 2001
ERP Systems are not designed to solve the problem
The “system of record”, but constructed for data not processes
Fails to enforce/implement “best practices” and compliance
Cannot address unstructured information that initiates most transactions
Traditional document management solutions aren’t architected for transaction processing
Multiple representations of the data and transactions
Designed for archival and retrieval
Customer-specific solutions delivered via custom code
There are three major barriers to meeting these challenges:
1 – Paper still dominates transactions resulting in time-consuming manual processes. Many of our customers use online solutions such as e-invoices and we add value in that area through workflow with the ERP system. Even those that have used e-invoices have found that less than half their suppliers are able to participate in on-line billing.
2 – ERP systems are not designed to solve this problem. They are great at capturing the data and being the system of record, but they are not automating the entire process, do not enforce best practices, and do not build compliance into the processes.
3 - Traditional document management solutions are designed for document handling (scan, file, retrieve) with the focus on the document, not the process. The fact that they exist outside of the ERP system with their own representation of the data leads to control issues as well.

4. World Class Finance Performance
World Class Transaction Processing Companies have achieved better cost results by
Streamlining and automating routine processes
Leveraging the functionality of technology to
Implement best practices to drive increased accuracy, integrity, and risk mitigation
Eliminate the paper
Automate workflow of electronic or imaged invoices
Utilize the Internet for increasing speed and availability
Mandating integration of their ERP applications in a unified platform
Build in integrity monitoring software ensures compliance and protection from fraud
The Hackett Group is the leading benchmarking firm concerned with financial processes and operations. They have done extensive studies into how companies perform with respect to their effectiveness and efficiencies in SG&A. In addition to a number of services that they offer and data that they have published their real focus is on Best Practices has become a partner of the Hackett Group based on the solutions we put forth in helping companies achieve financial goals, implement best practices and and assisting companies to attain world class status as a transaction processing operation.
As you can imagine due to the nature of our product we are often required to assist customers in generating an ROI. This ROI that we employ has been certified by a third party for accuracy and a random sampling of our customer yielded an average 300% ROI for our solutions at just over 7 months payback. Not coincidentally these operational improvements have also helped these customers get categorized as “world Class Status “ within the Hackett measurements

5. 170 MarkView Solution People Process Technology
Our solutions are based on 3 key elements: People, Process, and Technology.
Technology

6. 170 MarkView Solution Fixed Price Implementations Depth of Experience
Global 2000 Customers
Domain Expertise
Best Practices
Business Processes
Shared services
Technology – Our foundation includes a imaging, e-invoicing, OCR, our best practice workflows, and advanced ERP integration. This technology was built from the ground up with an emphasis on tight integration to the ERP system and leveraging that ERP’s data.
Our Process Knowledge & Domain Expertise is unmatched by the competition. 170 Systems is the recognized leader finance process automation. We have developed this core competency through years of experience automating the world’s largest organizations.
Our People implement turnkey, fixed price solutions. Our approach eliminates surprises and is a tribute to the product’s maturity and the depth of experience of our people, who have implemented many solutions for global 2000 companies. Our solutions are standardized, repeatable, and configurable.
Imaging
& Markup
ERP
Integration
Workflow

7. 170 Systems Customers are the World’s Leading Companies
Aerospace/ Defense
General Dynamics
Sandia National Labs
Education
Harvard
Ryerson University
San Diego State
Stanford
U. Pennsylvania
Financial Services
Ameriquest
Cigna
Citigroup
D&B
E-Trade
JP Morgan Chase
Marsh
MasterCard
TD Bank
Manufacturing/ Supply
Arrow Electronics GE
Toyota
Technology/ Information
Biogen Idec
Canon
Juniper Networks
NCR
Red Hat
Reuters
Sapient
SAS
Seagate
Yahoo
Public Sector/ Government
NIH
NYC Housing
Scottish Legal Aid Board
TSA
US DOT
US FAA
US CDC
US Coast Guard
Communications
AT&T
BellSouth
British Telecomm
Equant O2
Verizon
Vodafone
Energy
Atmos Energy
Kerr-McGee
Plains All American
Smith International
Williams
Food/Beverage
Schreiber Foods
J.M. Smucker
Travel/ Entertainment
Cendant
Gaylord
Maritz
TUI
Selective sampling of 170 Systems customers by industry
Engineering/ Construction
Carillion
Granite
Macerich
Michael Baker Corp.
M.A. Mortenson
Network Rail
Suffolk
Consumer Goods
Electronic Arts
Mattel
Sony
Healthcare
PacifiCare
Select Medical
University Hospitals
Retail
Nordstrom
Sportsmen’s Warehouse
Starbucks

8. 170 MarkView Applications
170 MarkView Financial Suite
Accounts Payable
Expense Management
Procurement
Accounts Receivable
General Ledger
Asset Management
Project Re-Billing
Human Resources
The 170 MarkView Financial Suite consists of the “Procure to Pay” solutions: Procurement, Accounts Payable, e-Invoicing and Expense Management, along with Accounts Receivable, GL and Asset Management. Project Re-Billing Is used by professional services firms to bill their clients. We also have solutions for other ERP-centric business processes such as HR. For general purpose imaging related to ERP systems, we have a document library solution.
All of these applications have multi-step processes for completion, review and approval, and include the need for associated supporting documents

9. The 170 Systems Solution for Accounts Payable

10. Invoice lifecycle Capture Entry Review/Resolve Coding Approvals
Payment
Audit
All invoices have fundamentally the same lifecycle

11. Invoice Receipt, Capture and Entry
Review/Resolve
Coding
Approvals
Payment
Manual Entry
Capture
ERP Environment
Automated Entry
Image Automatically Attached
XML
OCR
MarkView
Self Service Invoice
Scan/Fax
Supplier Network
Capture and Entry Options
Scan & Fax
MarkView eInvoicing by OB10
Global Supplier Network
VAT Compliance
Superior On-Boarding process
MarkView OCR

12. Optimize your ERP ERP Environment
Entry
Review/Resolve
Coding
Approvals
Payment
ERP Environment
Leveraging your investment in ERP, Data and Resources with no Duplication
Corporate Data
Organizations
Sets of Books
Hierarchies
Vendor Supplier Lists
Chart of Account Information
Business Rules
Materiality Limits
Etc.
Information Integration
All data in one source, no duplication
No Indexing!
Leverage the Oracle data throughout the Process

13. Extensive Workflow Options
Entry
Review/Resolve
Coding
Approvals
Payment
Manual Entry
Capture
ERP Environment
Automated Entry
Image Automatically Attached
XML
OCR
MarkView
Self Service Invoice
Scan/Fax
Supplier Network
PO Based
Non-PO Based
Pre-Approved
Self Service
Supplier Maintenance
170 Systems Context Sensitive Workflows
Extensive library of best practice workflows
Workflow Automation
PO based
Non-PO based
Pre-Approved
Supplier Maintenance
Proactive Supplier interaction using a Self Service approach
Rich Reporting environment

14. Metrics, Analytics and Reporting
Entry
Review/Resolve
Coding
Approvals
Payment
Manual Entry
Capture
ERP Environment
Automated Entry
Image Automatically Attached
XML
OCR
MarkView
Self Service Invoice
Scan/Fax
Supplier Network
170 Systems Context Sensitive Workflows
PO Based
Non-PO Based
Pre-Approved
Self Service
Supplier Maintenance
Rich Reporting environment
Compliance, Control and BI Monitoring & Reporting
Web-based tools for tracking key metrics in your combined 170 MarkView and Oracle system
Compliance and Controls
Financial Accounting
Operational Performance
User Interface

15. Case Study — Juniper Networks
2005 Annual Net $2B
Global workforce of 4,600 employees
Finance located in four key theaters
Sunnyvale, Dublin, Hong Kong, Bangalore
Time-consuming and expensive process
Receive paper invoice
Look up authorizer on purchase order
invoice details to authorizer to approve invoice via
File invoice waiting for approval in file drawer
Wait for approval via
Follow up for approval if no response
Too Slow — Cycle time on average 8 to 9 days
Could Not Scale Globally
Receive approval
Pull invoice from file drawer
Key invoice in ERP system
File invoice in AP file storage
Execute payment
Pull invoice from file when inquiries received

16. Global Juniper Accounts Payable Metrics
WW Historical (Pre SSC)
WW Current 2006
# of AP Employees
# of Invoices Processed
% of Manual Invoice/PO
Monthly Trans per FTE
Length of Backlog
Minutes/Invoice
Cost/Invoice
% of Process Automated 5
62,000
45%
1000
8 to 9 days
9.2 min
$4.72
48% 12
416,817
75%
3000
2 to 3 days
3.4 min
$1.78
89%

17. Benefits of Automation… and 170 Systems’ Solution
Reduced Costs
Optimize cash management: Capture all discounts, eliminate penalties, introduce dynamic discounts
Improve productivity for Finance, Line of Business managers, employees
Reduce operating costs: eliminate costs of copying, filing and transporting
all related documents
Strengthened Internal Controls
Increase control and visibility
Automate segregation of duties
Smoother audits due to on-line access to audit trails and backup
Improved Service Levels and Visibility
Self service for Line of Business managers, employees, suppliers, customers
Reduce cycle times to less than 5 days
Reduce process errors
Performance metrics and monitoring
The 170 MarkView solution optimizes financial processes to lower costs, strengthen controls, and improve service levels and visibility. The best news is that it pays for itself in less than a year and has an average ROI of 300%. (Gantry study)
Hackett studied 9 of our clients and 7 are “World Class”. The Gantry Group performed a return on investment survey of MarkView customers. Our analysis shows that 7 out of 9 of those companies achieved 1st Quartile in THG's benchmark database.
Reduced Cost:
Optimize cash
Early pay discounts (an invoice can be paid in 2-3 days)
Improved Productivity
AP (changes to processes of handling paper, filing, exception handling)
Buyers (automatic notification of specific issues, with image and history)
T & E (No more matching receipts to report)
Others (approvers, coders, etc. can now interact with image & ERP)
Reduce operating costs
Document transportation (Invoices, receipts are faxed, not mailed or FedEx))
Document Storage
Strengthen Internal Controls:
Controls and Compliance
Best practice workflows enforce standard procedures
Improved visibility
Full Audit trail
Improved service levels and visibility:
Cycle time reduction
Elimination of Duplicate Invoices
Easy visibility into past invoices
Rich Reporting Environment
Gantry Group Study: month payback and 300% ROI

18. MarkView for Oracle Accounts Payable Demonstration

19. Maritz Inc.
The world’s largest source of integrated performance improvement, travel, and market research services
Problem: Cost control
250,000 invoices per year with expected growth of 100,000
Redeployed Staff — 7.5 FTE’s ($360,000/year)
Reduced total processing time by 20,000 person-hours
Increased AP productivity from 50 invoices/person/day to over 200
Realized over $1.5M annually in additional early payment discounts due to reduced processing time
Headquartered in St. Louis with 4,000 employees and $1.2B in annual revenue, Maritz is the leading provider of incentive travel programs. Ranked in the Fortune 500 list of largest private companies, Maritz chose 170 MarkView for Accounts Payable in 2003.
They more than doubled AP productivity in terms of the number of invoices processed per person per day (from 50 to over 140). More impressive is the $1.5M Maritz saves annually by taking advantage of early payment discounts. Think about what you spend on an annual basis and now if you do a quick calculation on saving 2 percent on lets just say 10 percent of your spend. What would that be worth? With 170 MarkView for AP, you will be able to pay bills faster by removing all the non-value added tasks from the process.
Source: OAUG Whitepaper 2004

20. Select Medical
The leading operator of long-term acute care hospitals in the US – 98 hospitals and 740 outpatient clinics
Problem: Managing rapid growth through acquisition
30,000 invoices / 3,500 expense reports per month
Document transport cost savings: $225K/year
Redeploy staff: 3 people ($150K/year)
Filing and onsite storage eliminated: $25K/year
Late fees, early payment discounts: est. $100K/year
Other tangible benefits
Web-based invoice query tool – reduced AP staff time
Ability to conduct audits and inquiries
170 MarkView: AP, Expenses, Assets, General Ledger
Headquartered near Harrisburg, PA, Select Medical operates 98 hospitals in 26 states and has revenue over $1 billion. They chose 170 MarkView in 2002 and currently have our solutions for Accounts Payable, Expense Management, Asset Management, and General Ledger. They went live with the system in March Select Medical realized over a half million dollars in savings in the first year alone.
Source: OAUG Whitepaper 2003

21. Depth of Experience and Domain Expertise
170 Systems – Leading Provider of Solutions that Automate and Optimize Financial Processes
Depth of Experience and Domain Expertise
16 years+ of Experience
Global 2000 customers in 40 countries
Extensive best practices
Advanced ERP Integration
Certified with
Oracle e-Business Suite
PeopleSoft Enterprise Applications
mySAP ERP Business Suite
Focus
Process automation product, not a platform
Configurable solution
Proven ROI
For over sixteen years, 170 Systems has been the leading provider of enterprise software products and services that streamline the business processes of ERP systems such as PeopleSoft. We do this by capturing, managing and routing all financial documents associated with a given ERP transaction. Our solutions allow you to strengthen internal controls while also improving operational efficiency and visibility.
Value proposition:
process automation product not a platform
configurable solution
Proven Return on Investment

22. 170 Systems Select Customers
Note to presentor:
Customer logos are the property of the customer, and cannot be used without their permission. In most cases, our customers deny their use. As a result, you should not use the customer logo slide in any public forum. The Select Customers slide included earlier in this presentation, which does not contain logos, should be used; our experience has shown that customers can quickly identify their peers with this slide.

23. 170 Systems Business Process Automation Focus Advanced ERP Integration
Leading Provider of Solutions that
Automate and Optimize Financial Processes
Business Process Automation Focus
Advanced ERP Integration
Depth of Experience and Domain Expertise
Complete Product
Note to presentor: This sequence of 5 slides is the text version of the 170 Systems unique differentiation illustrated in the people/process/technology graphic slide(s) and may be used in conjunction with or in place of the graphic slide.
Only the 170 Systems Solutions offers:
Business Process Automation Focus
Advanced ERP Integration
Depth of Experience and Domain Expertise
Complete Product

24. Business Process Automation Focus
170 Systems – Leading Provider of Solutions that Automate and Optimize Financial Processes
Business Process Automation Focus
Beyond document capture to focus on the entire process
Intelligent Mark-Ups that initiate workflow
170 MarkView Express: better decisions faster for line-of-business managers
170 MarkView Insight: Visibility into productivity, cash flow, and potential fraud
for finance managers
Note to presentor: This sequence of 5 slides is the text version of the 170 Systems unique differentiation illustrated in the people/process/technology graphic slide(s) and may be used in conjunction with or in place of the graphic slide.
170 Systems is totally focused on automating business processes, beyond just document capture. And providing managers with information they need to be more productive, to protect against fraud, to improve cash management and to make better business decisions

25. Business Process Automation Focus Advanced ERP Integration
170 Systems – Leading Provider of Solutions that Automate and Optimize Financial Processes
Business Process Automation Focus
Advanced ERP Integration
Certified with
Oracle e-Business Suite
PeopleSoft Enterprise Applications
mySAP ERP Business Suite
No duplication of ERP data
Integrated workflow and processes
User input validated against ERP in real time
(GL account codes)
Leverage ERP user hierarchy and single sign-on
Note to presentor: This sequence of 5 slides is the text version of the 170 Systems unique differentiation illustrated in the people/process/technology graphic slide(s) and may be used in conjunction with or in place of the graphic slide.
We do this by capturing, managing and routing all financial documents associated with a given ERP transaction …our advanced and unsurpassed ERP integration … with Oracle, Peoplesoft and SAP ensures completely integrated workflow and processes with no duplication of data. Our approach fully leverages your investment in your ERP environment, rules, hierarchies and data. And we are fully certified with Oracle e-Business Suite, PeopleSoft Enterprise Applications and mySAP ERP Business Suite.

26. 170 Systems and Oracle Advanced integration with Oracle
Integrated user interface
No duplication of data
Leverage ERP's user hierarchy and security
Highest level Oracle partner (since 1990)
Oracle Certified Advantage Partner Program
Oracle Cooperative Applications Initiative (CAI)
Oracle Open Tools Initiative (OTI)
"As a Certified Advantage Partner, 170 Systems continues to bring great value to our mutual customers through 170 Systems’ integrated product offerings.”
- Doug Kennedy
Vice President, Worldwide Alliances, Oracle
Note to presentor: This slide is one of 3 slides that address specific ERP integration. In a situation where the audience is on a single known ERP platform, one of these 3 slides can be used to further the ERP integration story.
Unlike other solutions on the market, 170 Systems has advanced integration with Oracle MarkView appears within the Oracle interface as seen by the “get next” button in the Oracle Invoice Workbench and the bar code cover page in Oracle iExpense. Unlike some systems that “screen scrape” data off the ERP screens and then synched up at a later date using cross-indexing, 170 Systems does not duplicate any ERP data, maintaining the ERP system as “the single source of the truth”. We also leverage the ERP’s user hierarchy and security to manage user participation in ERP processes.
170 Systems’ solution is complementary to your Oracle system. It augments what you already have in place. Oracle certification means that 170 MarkView will not disrupt your current ERP implementation and safeguards your ERP system from disruption during future upgrades.
Over the past 15 years we have worked closely with Oracle to create a truly integrated system. You’ll see the results in the demo. We were the first software company welcomed into Oracle’s CAI (Cooperative Applications Initiative) program and have achieved the highest level of partner certification with Oracle.
We are the leading provider of financial process automation solutions for Oracle. Within the user community of OAUG we remain the #1 3rd party solution that has been presented by Oracle customers via whitepapers. In fact, Oracle shows our solution in their booth at tradeshows such as OpenWorld demo centers MarkView is also in Oracle’s Vision demo database in the ADS – “Application Demo Services” Centers.

27. Business Process Automation Focus Advanced ERP Integration
170 Systems – Leading Provider of Solutions that Automate and Optimize Financial Processes
Business Process Automation Focus
Advanced ERP Integration
Depth of Experience and Domain Expertise
Demanding Global 2000 customers
Global experience: shared service centers, off-shoring, outsourcing
Top-tier ERP experience: SAP, Oracle, and PeopleSoft
Proven ROI: 7.4 months average payback
Best practices in Finance
Strengthening controls
Note to presentor: This sequence of 5 slides is the text version of the 170 Systems unique differentiation illustrated in the people/process/technology graphic slide(s) and may be used in conjunction with or in place of the graphic slide.
Our depth of experience and domain expertise translate into best practices and strengthened controls based on our Global 2000 customer base and our ERP “intelligence”. Our solutions and implementations are proven and independent study (Gantry Group) has confirmed a most compelling ROI of 7.4 months average to payback

28. 170 Systems – Leading Provider of Solutions that Automate and Optimize Financial Processes
Business Process Automation Focus
Advanced ERP Integration
Depth of Experience and Domain Expertise
Complete Product
A true software product: certified, documented, upgradeable
More than AP – a full Financial Suite
End to end automation: imaging, OCR, e-invoice, workflows, exception processing,
supplier portal, analytics
“Fixed price” implementation
Complete portal
Note to presentor: This sequence of 5 slides is the text version of the 170 Systems unique differentiation illustrated in the people/process/technology graphic slide(s) and may be used in conjunction with or in place of the graphic slide
Finally, 170 Systems solutions are built with proven and complete products….certified, documented, end-to-end. Fixed price implementation reflects our total confidence in our solution Suite.

29. The Non-PO Invoice Process
“Get Next”
Auto Document
Association
Read / Write
access to
Chart of Accounts
Hold released
in ERP
Use of ERP
Hierarchy
Electronically Forwarded and Recorded
Paper & Scan
Fax
Header
Information
Final AP Review
Code

30. The Self Service Invoice Process
Auto Document
Association
ERP
Hierarchy
Hold released
in ERP
Read / update
access to
Chart of Accounts
Record created in ERP
Liability captured
Header & Coding
Information
(by field)
Fax Back-up
Final AP Review (if desired)

31. Potential Payment Request: Expense Processing Future State
Enter Expense
Report Detail
Print Bar-Coded Cover Sheet
Fax Receipts
Automatic Association with Report
Routing
Payables
and
Audit