DYNAMICS ERP FOR THE ENTERPRISE – THE NEXT FRONTIER SESSION:

DYNAMICS ERP FOR THE ENTERPRISE – THE NEXT FRONTIER SESSION: AP080 Claire Kennedy Dynamics ERP Product Manager Microsoft Australia Trent Innes Dynamics Sales Lead Microsoft Australia

Challenges for Enterprise Applications “Enterprise Apps Customers Have Issues,” Forrester Research, Inc., February 26, 2010

Today’s Needs, Yesterday’s Solutions 1980s Enterprise Resource Planning (ERP) architecture still deployed today Intertwined spaghetti code and parameters Duplicated data structures Middleware and batch processes Functionality in separate applications Business intelligence (BI) an afterthought Task-oriented user experience The result: Complexity and inflexibility

A new generation of ERP That works for you, not against you Applications that are an asset Simplicity and agility Complete industryspecific solutions Powerful embedded analytics and BI Manufacturing Distribution Retail Services Public Sector Works the way you need it to Simple to use Tailored to meet your needs Get the right data to decision makers

Product Strategy Investment in industry relevance, empowering a rich vertical ecosystem! Global: multi-site, -legislation, -language & n-site central deployment Increase productivity of ERP users & reach more employees Decrease Time-to-Value for ERP deployments Utilize the power of the Microsoft Application Platform Microsoft Confidential

Microsoft Dynamics AX at a Glance Global: multi-site, -legislation, language, n-site central deployment Over 13,000 AX customers from mid-sized organization to divisions of large enterprises Global network of software & services partners Native Office experience for rapid adoption Flexible and scalable n-tier architecture Extends Microsoft application platform for rapid vertical application development

Powerful Simple Agile

Winning with AX2012 in Enterprises Enterprise Capable Application Enterprise Credible Channel Enterprise Sales Motion Enterprise Class Services Enterprise Business Success a What is not new: Microsoft services will continue to augment partner provided services, not replace them An Corporate Account Managed s rio al na l Vertic What is new: Microsoft to “mandate” (customer optout) Microsoft Services offering for 100 user projects to mitigate risk Major c Lo To be competitive Microsoft will offer more robust enterprise class delivery and support services via R&D engagement plus MCS/Premier offerings Ent erp But, product capability is only part of the customer expectation, vendor “skin-in-the-game” is critically important Sce er X om ultiust M PC ER Tier AX Two With Microsoft Dynamics AX2012 Microsoft offers a truly enterprise-capable ERP solution nu rise al E RP Bus Spe in e nd 5 sse 4B s The game changer: Microsoft Dynamics AX2012 Corporate Territory Managed SMB

Two-Tier Value Proposition IT Trends: Budget constraints Y2K Replacements High Maintenance Costs of Tier 1 ERP vendors CIO Challenges: Low IT Efficiency High Costs of integration Inability to support business innovation Business Trends: Globalization Alignment IT and Business Productivity Imperative Innovation Business Challenges: Lack of operational visibility Lack of global standardization of core business processes

Microsoft Enables Success Field Support: Account Management presence in thousands of Enterprise accounts Sales Support: Solution Sales Professionals supported by Technical Specialists and targeted Industry Managers Implementation Support: Microsoft Consulting Services (MCS) - Deep Microsoft technology implementation expertise available around the globe Profitability: The top half of our partners achieve an EBITDA of 17% - 25% on their Dynamics practice

What The Analysts Are Saying. The product's enhanced flexibility and usability will position it well in deals at the margins of the enterprise category — companies with 500 million to 2 billion in revenues. .” Paul Hamerman, China Martens ,Forrester, May 2011 “Microsoft has a massive partner ecosystem it can mine for opportunities. SAP less so except those as yet un-named ISVs that may look at ByDesign as a second string. Oracle has nothing as substantial as either of the other two players.” Dennis adds, “If it is successful then Microsoft becomes the stealth competitor to SAP, Oracle, Infor and whatever Epicor/Activant becomes.” “They have actually done a nice job of combining process manufacturing, discrete manufacturing and lean manufacturing in one product. Most other products don’t do that.” Source: Christian Hestermann, Gartner Inc; SearchManufacturing.com, June 23 2011

A new generation of ERP That works for you, not against you Enhanced Industry functionality Manufacturin g Distributio n Retail Public Sector Services Sector Interoperability Solution investments Related ecosystems Improved productivity and lower IT costs 1,000 new features and enhancements Powerful Agile Simple

Roadmap of Innovation Dynamics AX ‘8’ Dynamics AX ‘7’ Dynamics AX2012 Dynamics AX 2009 Role RoleTailored TailoredUX UX Global GlobalEnterprise Enterprise Capabilities Capabilities Compliancy Compliancy Self-Service Self-ServiceBI BI Simplifying SimplifyingApplication Application Lifecycle Lifecycle Enhance EnhanceFinancial Financial Capabilities Capabilities Enrich EnrichIndustry Industry Platform Platform Best BestPractices Practicesin in Business BusinessProcesses Processes Software Software Services Services Continued Continuedfocus focuson on Simplifying SimplifyingApplication Application Lifecycle Lifecycle More MoreIndustry Industry functionality functionality More Moredeployment deployment flexibility flexibility More MoreSoftware Software Services Servicesscenarios scenarios Simplicity Simplicity Productivity Productivity Dynamics DynamicsUser User Experience Experience Leadership Leadership Microsoft Microsofttechnology technology Time-to-Value Time-to-Value 2017-2018 MAJOR RELEASES 2008-2009 Continued Continuedinnovation innovation targeted targetedat atmid-market mid-market with withparticular particularfocus focuson: on: 2011-2012 2014-2015 Additional SP’s Additional SP’s SERVICE PACKS/MINOR RELEASES Additional SP’s Additional SP’s

Next Steps 1.Gain an Understanding of AX 2012 Product Capabilities and Development Roadmap 2.Talk to Existing Dynamics Partners 3.Understand positioning in the market 4.Connect with the Australian Dynamics Team on Additional Questions 5.Attend Sales/Presales training in September

QUESTIONS? VISIT US AT: DYNAMICS SHOWCASE AREA