Ladder of Business Intelligence LOBI ™

1. Ladder of Business IntelligenceLOBI™ Jim Cates Vice President and Chief Information Officer Altera Corporation Microsoft Technology Summit Fairmont Hotel San Jose, CA October 25, 2007

2. Company Highlights • Founded in 1983 • High-growth semiconductor company; products include FPGAs, structured ASICs, embedded soft processors, design software, IP, development kits • Publicly traded since 1988 (NASDAQ) • $1.28 billion in 2006 sales • Market capitalization of ~$8 billion • 2,600 employees • ~15,000 worldwide customers

3. 2006 Revenue by Geography Asia-Pacific 27% North America 24% Japan 23% Europe 26% 2006 Total $1.285B

4. Agenda Objectives Introduce the Ladder of Business Intelligence - LOBI™ LOBI is a new, non-technical communication framework that can clearly position the value that technology investment can provide to business. Demonstrate how the LOBI framework can be used to create a BU/IT Business Value Roadmap that is customer centric.

5. Definition: Business Intelligence • Business intelligence: • Is a process for collecting the relevant data and then transforming it to actionable information in an enterprise • Provides a broad category of applications and technologies to deliver the right information to the right people, at the right time • Provides decision makers with insights into markets, competitors, partners, vendors, suppliers, and company performance

6. LOBI™ Triple Business process Business role Technology

7. Finding the Balance Cycle Time to Information (CTI) Cycle Time to Action (CTA) Business role Fact  Data  Information Information Action

8. The LOBI™ Model

9. LOBI and Microsoft Visions are Aligned LOBI Vision LOBI is a new non technical communication framework that can clearly position the value that technology investment can provide to business. Microsoft People_Ready Vision Enable people to anticipate, innovate, and deliver world-class products and services through enhanced collaboration, integration and analytics

10. What is the LOBI™ Framework?

11. LOBI framework People Process Technology Circle of Success • People 1. Vision/mission 2. Enterprise roadmap 3. Process teams • Process 4. BRIA 5. Process roadmap 6. Gap analysis 7. Cross functional collaboration • Technology 8. Technology architecture 9. LOBI level and it budget 10. Technology implementation

12. High Tech Business ProcessExpansive View Work anywhere Find knowledge rapidly Easily contact and communicate with everyone Real world Implicit Unstructured Collaborative Exceptions happen Ad hoc Dynamic Collaborate with everyone, get things done quickly Integrate with our formal business processes Manage the interaction with our customers Manage our “secret sauce”

13. People Drive Business Outcomes Work with Others Across Boundaries High Value Connections Innovative Products Profitable Customers Relationships Improved Operations Streamlined Access to Information

14. What is Information?

15. What is Information? • Objective: CTI by business role Experience Data correlation ability Communication skills + + Human intelligence Artificial intelligence Information view Integrated data = Value of information

16. Cycle Time to Information/Knowledge Cycle time to Action Business role Information/knowledge

17. L6 Enabledintuition L5 Understanding L4 Knowledge L3 INFORMATION L2 Data L1 Facts LOBI™ Business Intelligence Framework Ladder of Business Intelligence BRIA: Information Defined By BR

18. Ladder of Business Intelligence Definition • Objective • Productivity through information delivery by business role and decreased Cycle Time to Information • Methodology: • Core process definition • User requirements gathering sessions • Industry best practice research Level 6Enabled intuition Level 5 Understanding Executive insight Level 4 Knowledge • Business modeling • Strategic collaboration Level 3 Information • Knowledge management • Data mining • Workflow Level 2 Data • Role-based UI • Customer profiles • BI • DWH Level 1 Facts • Sales forecasting • Install base • ERP selection S/Sheets

19. Ladder of Business Intelligence - LOBI™ • Objective: • Improve speed, effectiveness, and efficiency of decision making • Methodology: • Business productivity through reducing Cycle Time to Information by business role Level 6Enabled intuition Level 5 Understanding Break-through visionary thinking Level 4 Knowledge Business modeling Brainstorming strategic collaboration Level 3 Information Reusable information views Level 2 Data Information views targeted by role Operational collaboration Level 1 Facts Retrievable organized data Business Role Set, Process Set, Technology Set No timely retrieval Disorganized data

20. Information Knowledge Collaboration Enabledintuition Level - 3 Level - 4 Level - 5 Level - 6 Level - 2 Tactical investment Level - 1 Value-based IT Investment Model Strategic investments

21. Impact of BU/IT Investments IT Transforming Investments are investments that are required to strategically transform the business, such as cutting-edge technologies that support business strategy that enables competitive advantage and market leadership. Examples: Acquisition investment, early adopters of new technologies, Web 2.0 Level 5 and 6 IT Organic Growth Investments are investments that are required to upgrade, grow, and expand the business in terms of revenue and productivity. Examples: BPM, increase customer loyalty, automated sales rep, e-business, international reporting upgrade, engineering bug tracking, WW network access Level 3 and 4 IT Sustain/Utility Investments are investments required to keep the infrastructure operating at advertised availability and performance ( 24X7, 99.9900%). Commodities such as SW, HW, networking, telecommunication, security, support of current installed IT systems, redundancy planning Level 1 and 2

22. BRIA

23. Business Role Information Analysis • Define business role • Define 1–10 key questions • Information needed to answer questions • Data source needed to generate information • Do quality data sources exist?

24. BRIA Role Table - Example

25. BRIA Table • Business Role • 1-10 impactful business questions • Information needed • Data needed to generate information • Processes needed to generate information • Information view format by business role • Frequency needed (real, near, periodic) • Medium for display (PDA, report, etc.) • Technology needed

26. The LOBI™ Organizational Strategy Model

27. Business Int’l rep It SI– onsite – CRM tech SI– offsite Accountable VP Business It SI - onsite SI – offsite Accountable VP Business It SI - offsite Int’l rep Accountable director Business Int’l rep It SI – onsite SI – offsite Accountable VP Information delivery (PM), accountable VP Readiness (PM), accountable director Extended teams IT Governance Chart Support Guidance Information technology Steering committee Accountable execs Advise Resolve Support Vendor council PMO PMO support Plan, manage, drive NGS core team(process tracks and members to be refined) Campaign-demand BU process PM Tech PM Demand – collect BU process PM Tech PM Financials BU process PM Tech PM HR and self-service BU process M Tech PM It Project manager NGS operations council Directors Apps tech Architecture Apps admin DBA Infrastructure Int’l rep SI – onsite – Tech lead SI – offsite ABAP Accountable VP Accountable

28. Information Management Council (IMC) Enable business objectives through an information-centric organization supported by accurate, consistent, timely, secure, and transparent information, flowing seamlessly across the entire value chain and optimized for best business value to make impactful business decisions Vision Policies and procedures relating to structured data/content Provide direction to investments in informational assets Scope and charter Governance Create a governance structure to guide and provide direction and stewardship to creation, assimilation, and disposition of informational assets Information architecture Develop a well defined information architecture and models in support of business objectives Change management Institute change management in the company to successfully implement decisions made by this council Strategies Clearly defined and accepted data ownership Information quality and accuracy “Single version of truth,” avoiding information silos Success metrics Data administration Key processes Business performance management Information lifecycle management FY06 strategic initiatives Policy definition and agreement Enterprise data model; customer and product CDM Information delivery prioritization and roadmap for NGS

29. Process Strategy

30. High Tech Business ProcessTraditional versus Expansive View Real world Implicit Unstructured Collaborative Exceptions happen Ad hoc Dynamic Ideal Explicit Structured Transactional Standard Paths Formal Rigid

31. Business Process Architecture Sales Service Marketing Engineering Operations Finance Channel management Demand to cash Design win to EOL for customer service New product introduction

32. How Microsoft Technology Can Help You Climb LOBI™

33. Ladder of Business Intelligence – Microsoft Definition • Objective • Productivity through information delivery • by business role and decreased Cycle Time to Information • Methodology: • Core process definition • User requirements gathering sessions Level 6Enabled intuition Executive insight Level 5 Understanding Level 4 Knowledge • Strategic Collaboration • - SharePoint • - DesignWin • - Siebel integration Level 3 Information • Knowledge Management • - MS SharePoint • - Portal, Doc. Mgmt., etc. • - Groove – Collaboration • - MS Live Meeting Level 2 Data • MS Biz Intelligence • - Biz Score Card Mgr • - MS Analysis Service • - MS Duet • - MS Search Engine • - eDiscovery • MS Dynamics • - Dynamics CRM • - FRx report manager Level 1 Facts Microsoft Office Suite - Excel, Project

34. Ladder of Business Intelligence – Altera Definition • Objective • Productivity through information delivery • by business role and decreased Cycle Time to Information • Methodology: • Core process definition • User requirements gathering sessions • Industry best practice research Level 6Enabled intuition Executive insight Level 5 Understanding • Strategic Collaboration • - eRoom • - MS SharePoint • - DesignWin • - Siebel integration Level 4 Knowledge Level 3 Information • Knowledge management • - MS SharePoint • - Wikis • - Documentum • - NetMeeting, WebEx • Business intelligence • - SAP BW, Panaroma • - MS analysis service • - MS duet • - Google Level 2 Data • Business applications • - SAP, Siebel • - PeopleSoft, i2 • - MS SQL Server Level 1 Facts Microsoft Office Suite - Excel, Project

35. Summary: Top LOBI™ Concepts Top 10 questions: what are the top 10 questions that need to be answered for a business role? CTI: cycle time to information BRIA: business role information analysis CTA: cycle time to action LOBI Concepts LOBI triple: people, process technology CTK: cycle time to knowledge

36. Thank You! Jim CatesClimbing the Ladder of Business Intelligence www.happyabout.info/climbing-ladder.php Contact: jcates@altera.com