Business Intelligence and Enterprise Information Management

1. Business Intelligence and Enterprise Information Management November 2006 ADVISORY

2. Background Business Intelligence is the discipline of applying information to make decisions. Enterprise Performance Management is the process and response to more effectively managing the business decisioning lifecycle. Business Drivers • Challenging Regulatory Climate: Industry, State; Document/Email archiving/handling; Business Continuity; Security • Investor intolerance for surprises; more predictive business insight with reduced risk; Earnings Improvement pressure • Delivery of transparent reporting data • Business/Workplace Process Improvement: Agility, Differentiation, Workflow efficiency • Uncovering untapped/potential value; process/product innovation, Intellectual Asset protection Enterprise Information Management • Customer, Product, Service Data Integration, stewardship, change management; tacit knowledge sharing practices • Structured versus Unstructured Data: cleansing, integrity, transformation • Data Latency; bi-directional harmonization and protection; versioning issues, API maintenance • Master Data Management: Consistency, Uniformity, Quality, Accuracy, Integrity, Governance • Ownership, Accountability, Compliance and Governance: Who’s data is it anyway? • Becomes a Modeling, Mapping, Metadata and Semantic reconciliation process • Information (Knowledge) as currency Goal: effective and timely Information delivery and sharing across the Enterprise to leverage innovation

3. Strategy and Approach • Business Strategy: Clearly articulated, understood, apparent, or absent? • Business Implications: Growth by acquisition, Operating Cost focus, Outsourcing • Information Implications: data quality, diverse sources, functional mapping, traceability; capture Business Policies as Metadata • Technical/Infrastructure Implications: Alignment with Business Objectives; Process, Management coordination • Maturity Model Framework: Initial through Optimized; embed into processes; Architecture Agility, End User Involvement Consider Approaching as an Information Lifecycle Management Opportunity; consistently enabled across Enterprise • Compose/decompose business processes across multiple domains • Data Sources and Feeds; integrated Analytics and BI • Back Office/Front Office Applications and Interfaces Reusable Integration logic Service-based model/framework with effective business collaboration and communication Transaction Management and process monitoring Operational data stores with Metadata hub

4. EIM Disciplines • Applications • Reporting and Analysis: decision support continuum; develop Maturity Model • Reference Data: consolidate and integrate into single data model • Information Hub: the Data Warehouse • Source Systems: Legacy, ERP, CRM • Workflow tools: knowledge-sharing • Security Business Intelligence, Knowledge Management and EIM are converging due to semantic, SOA technologies

5. EIM Leading Practices • Deploy a Center of Excellence: Project Management, Prioritization, Rationalization, Communication Often impeded by waiting for Cultural change to occur • Transform Unstructured Data: Search, Text Mining, Info Extraction, Classification • New “Business Language” Context Management capabilities will be required • Maximize Value Extraction from Process Analysis | Redesign: 60% Process, 20% Organizational, 20% IT • Employee Performance Plans should drive behavior: Tool usage, Process Reliance, Contribution • Ensure KPI’s/KRI’s align with Business objectives • Metrics should reflect Innovation, Operational Excellence, Risk takeout; not always easy to determine ROI Project initiation $ ratio to total Project cost Information Asset reuse-25%, reuse/modify existing Process-25% Tackle by project phase: Reduce Initiation Phase Time and Cost by 10%

6. EIM Benefits :: • More effective Alignment or Business Context and IT Investments • Improved Operational integration; M & A support • Better resource governance and utilization • Process/Operating Cost/Time reduction • Improved business agility and accelerated time to market • End User Productivity • Ease of Reporting • Reduced Risk

7. Larry HoweKPMG LLP 704-335-5561lhowe@kpmg.com The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. 6