1. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Managing with Technology: What’s Ahead on the Road to High-Performance Government Oracle Confidential – Internal/Restricted/Highly Restricted1 Bob Sabo – Executive Director – Public Sector Solutions – Oracle In case you missed it, this was me at the Sunday morning 5K run

2. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | After the race Oracle Confidential – Internal/Restricted/Highly Restricted 2

3. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Guess Where? Oracle Confidential – Internal/Restricted/Highly Restricted3 Of the 50 State Capital cities In the US, only one does not have a McDonalds in its city Limits

4. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Program Agenda 1 2 3 Shifting Technology Priorities Impact on State Finance Professionals Examples The Future? Oracle Confidential – Internal/Restricted/Highly Restricted4 4

5. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Changing NASCIO Priorities Oracle Confidential – Internal/Restricted/Highly Restricted5 Priority Strategies, Management Processes, Solutions20102011201220132014*** Budget and Cost Control12256 Consolidation/Legacy Modernization21/911/82 Shared Services35868 Broadband Connectivity/Public Safety Network48799 ARRA5 Security/Disaster Recovery6763/101/* Transparency7 Infrastructure8 Health Care - Health Information934710 Governance/Strategic IT Planning1064*/5 Cloud Computing4523 Data and Information Management/Portal10*/9 Mobile Services/Mobility1047 * Topic was split in 2011 - ** Dropped from list - *** Project Management and Portfolio Management

6. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | NASCIO – Making Sense of the Trends – Priority Strategies Oracle Confidential – Internal/Restricted/Highly Restricted 6 Flash in the Pan ARRA – Fun while it lasted Transparency – Great progress Infrastructure – Technology upgrades (and they probably called it another thing!) Staying Power Consolidation – Rationality, Lower Cost Budget – Good news, from 1 to 6. Bad news, still #6 Shared Services – Good idea still not used enough Health Information Security – Jumped to #1 in 2014 Future Trends Cloud Computing – The next new thing? Mobility, Mobile Applications

7. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Changing NASCIO Priorities Oracle Confidential – Internal/Restricted/Highly Restricted7 Priority Technologies, Applications & Tools20102011201220132014 Virtualization (storage, computing, data center etc.)11135 Networking, voice and data communications235810 Document/Content/Records/E-mail management36910 Cloud computing, software as a service42311 Security enhancement tools5782 Enterprise Resource Planning (ERP) / Legacy application modernization-renovation 69/4*6/26/44/6 Geospatial analysis and GIS7** Business Intelligence (BI) and Business Analytics88897 Identity and access management95759 Social Media and Networking10 ** Public Safety Radio Network/Disaster Recovery (2014)10 (PS)**8 (DR) Mobile Workforce Technologies423 * Topic was split in 2011 - ** Dropped from list

8. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | NASCIO – Making Sense of the Trends – Technologies Oracle Confidential – Internal/Restricted/Highly Restricted 8 Flash in the Pan Geospatial-GIS – Most now have it Social Media – Something wrong here? Staying Power Virtualization/Modernization Business Intelligence, ERP, Networking, Document Management, Identity Management – Ebb and Flow but always there Future Trends Cloud Computing Mobile Workforce Technologies (not to be confused with Social Media) Security – Jumps from 8 to 2

9. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | What Does This Mean for State Finance Professionals? Oracle Confidential – Internal/Restricted/Highly Restricted9 Key technologies and trends that impact you and High Performance Government Modernization – Improve efficiency, effectiveness and lower costs Mobile – Work anywhere on any device Cloud – Reduce deployment time, stay current, impact staffing issues Business Intelligence/Analytics – Use information to drive change Shared Services/Consolidation – Lower costs, improve service

10. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Example – Pennsylvania Treasury Department Oracle Confidential – Internal/Restricted/Highly Restricted10 PA Treasury Modernization Program – 2010: Replace aging and siloed systems with state of the art technology Key Goal – Automated pre-audit function for 35 million plus payment transactions per year. Detect duplicate and incorrect payments Before – Sample every 25 th transaction and select for audit Today – Use transaction monitor software to apply rules Examples 1.Split Payments a)Using Vendor payments b)Using Advance accounts 2.Payment over a threshold value. 3.Payment with missing TIN 4.First Payment ERP Integration 1.70 analytics – 25 Controls Plan to monitor 27 different conditions

11. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Example – State of New York, State Financial System Oracle Confidential – Internal/Restricted/Highly Restricted11 State SSI disability payments – 2014. Use ERP system to process Payments currently done by Federal Government Key Goal – Eliminate $90 million annual fee paid to HHS – more fully utilize ERP Solution – Utilize ERP system to process 750,000 payments per month and eliminate fee. Team effort to implement new processes and ensure System could handle huge volume. Richardsonian Romanesque is a style of Romanesque Revival architecture named after architect Henry Hobson Richardson,styleRomanesque Revival architecture architectHenry Hobson Richardson

12. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Example – Georgia Recruiting Cloud Solution Oracle Confidential – Internal/Restricted/Highly Restricted12 Georgia recruitment and employee on-boarding processes – 2014 Key Goal – Automate and standardize recruiting and on-boarding processes for attracting new talent to the State Before – Outdated systems and recruiting website, limited to no automation Now (almost) – Single Statewide system for recruiting and on-boarding. Rapidly deployed in the Cloud. Integrates with State HCM applications the Georgia State Capitol is designed to resemble the Classical architectural style of the United States Capitol, in Washington, D.C.. Completed in 1889, the building was designed by architects Willoughby J. Edbrooke and Franklin P. Burnham, of Chicago, Illinois.architecturalUnited States Capitol Washington, D.C.architects Willoughby J. EdbrookeFranklin P. BurnhamChicagoIllinois

13. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Policy Automation ERP Business Intelligence Talent Management Planning and Budgeting HCM Social Relationship Management Applications as a Service Platform as a Service Infrastructure as a Service On Premise – Shared Service - Modernized, mobile enabled using a choice of deployment methods Cloud On Premise

14. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | Social media usage is increasing in every age bracket 89% of 18-29 year olds 82% of 30-49 year olds 65% of 50-64 year olds 49% of 65+ year olds Oracle Confidential – Internal14 The Future? Social Media usage is rising Source: Pew Research, January 2014, http://www.pewinternet.org/data-trend/social-media/social-media-use-by-age-group/

15. Copyright © 2014 Oracle and/or its affiliates. All rights reserved. | The Future? Facebook – Largest social network in the world 1.31 billion monthly active users and 829 million daily active users 1.07 billion mobile monthly active users, and 654 million mobile daily active users 1M Number of links shared every 20 minutes on Facebook 48% of 18-34 year olds check Facebook when they wake up, 28% do so before they get out of bed Oracle Confidential – Internal15 Sources: http://www.insidefacebook.com/2014/07/23/facebooks-q2-2014-in-charts-best-quarterly-revenue-now-at-1-3b-users/ and http://www.statisticbrain.com/facebook-statistics/