Alan Manuel

1
Corio Applications on DemandTM
Alan Manuel Corio Inc. October 6, 2004
2
The Problem

• As we are entering 2005, companies and
  organizations implementing and managing
  enterprise software face three core challenges
• Rising COST
• Increasing COMPLEXITY
• Regulatory COMPLIANCE

3
COSTIT is now one of the largest industries
Source Dell, Merrill Lynch, Consumer
Electronics Assoc. and Business Week, 11/3/03
4
COMPLEXITYIT manages some of the most complex
products

• Some statistics for one enterprise app
• 10-20 million lines of code from software vendor
• 2-4 million lines of code for bolt-ons,
  integration, reporting, and customization
• 50-70 sub-modules to be assembled and work
  perfectly
• Thousands of users to be supported
• 100-200 business processes to be re-engineered,
  automated
• 50 core IT processes to manage the application
• Most companies manage multiple applications
• More complex than building a Boeing 747 Jumbo
  Jet!
• 2 million parts assembled, tested, certified and
  supported
• But Boeing does not fly the plane and guarantee
  on time arrival You assemble the applications
  and you run them yourself!

5
COMPLIANCEIT best practices have become
corporate requirements

• Sarbanes-Oxley Act (SOX)
• Affects all US public companies, banks,
  non-profit hospitals
• Introduces criminal liability for CEOs, CFOs
• Affects all processes and underlying IT systems
  related to financial reporting and controls
• Requirements subject to interpretation and
  refinement
• Stricter requirements (409 compliance) coming in
  2005
• Other compliance requirements (HIPAA, USA
  PATRIOT, ...)
• Full Impact on Organizations is Unknown
• Up to 0.3 of revenue in additional costs
• Annual re-certification requirements
• High risk, unknown reward

6
Traditional Approaches Are No Longer Adequate

• Traditional approaches were point solutions
• Methodologies for application implementation, but
  not applications management
• Templates for application configuration, but not
  operational excellence
• Moving labor offshore, not implementing and
  automating best of breed processes
• Results
• Systems integrators are skilled project managers
  but are not set up for ongoing applications
  management
• Off-shore providers can address cost but can make
  complexity and compliance more challenging
• ISVs have remain focused on software development
  and maintenance while attempting to develop new
  skills
• Traditional outsourcers provide skills, but may
  not fully leverage technology innovation.
• Todays challenges require a fundamental shift
• Away from labor intensive, point solutions
• Towards a comprehensive, technology focused
  solution

7
Solving Cost, Complexity, Compliance
ChallengesCorio Applications on Demand
Method 1
Leveraging Technology Innovation for
Applications Management
8
Corio Applications on Demand 2005 Operational
Platform

• Integrated platform that provides pay-as-you-go
  application services from major application ISVs
• Enables integrated solutions across the full
  application lifecycle implementation, production
  management, and upgrades
• Supports specific customer configurations
• In production for over five years
• Currently supporting over a quarter million
  business users

9
Corio Applications on Demand 2005 Operational
Platform

• Integrated platform that provides pay-as-you-go
  application services from major application ISVs
• Enables integrated solutions across the full
  application lifecycle implementation, production
  management, and upgrades
• Supports specific customer configurations
• In production for over five years
• Currently supporting over a quarter million
  business users

10
Corios Applications on Demand Platform Delivers
Results
11
Customer View of Applications on DemandCorio
iSRVCE Technology resource management system
PROACTIVE SERVICES
CUSTOMER INITIATED SERVICES
IT administrators select from a menu of common
applications management services
All required information is entered via online
order forms
24x7 monitoring proactively detects potential
service conditions and automatically creates
service requests
Real time information and updates ensure
visibility and control
12
Corios View Automations and Technologies
Best-practice process workflows encapsulate
knowledge of applications management experts
Automations ensure that execution is reliable,
consistent, and free of human error
Detailed logging ensures audit trails and
compliance
13
Corio Applications on Demand PlatformMeeting
Todays Application Management Challenges
Cost

• Up to 50 cost savings versus traditional
  outsourcers
• Economies of scale based on leveraging shared
  infrastructure and automations
• Continual technology innovation drives cost
  savings beyond what labor alone can achieve