Kofax Connect Transforming the First Mile of Business Phillip Jones Vice President

PresenterPresentation NotesSlide Theme: Transforming the First Mile of Business

Thanks for that introduction [emcee name]. Im [name/title]. At Kofax Transform, we announced the First Mile message. Over the next 45 minutes Id like to talk to you about what Transforming the First Mile of Business really means, the business challenges the First Mile addresses, and how it impacts you and your business.

Well then close with a demonstration. So lets get started!

1. What is the First Mile?

2. Why is it important?

3. What does it mean for you?

4. Demonstration

2

Topics

PresenterPresentation NotesSlide Theme: Agenda for the day

First, what is the First Mile?

Second, what are the business challenges the First Mile is addressing?

Third, if Im an existing Kofax Customer, as most of you are, how can I extend my existing investment in Kofax to the First Mile?

[Click] So lets get started. What is the First Mile?

Technology Has Changed How We Interact.Forever!

We live in a very connected world

Organizations have to respond to the changes in how people interact

Companies that get this right will win what about the others?

What can you do to help?

3

Lets start by exploring how we got here.

1970s - Centralized Mainframe Systems

4

PresenterPresentation NotesIn the 1970s there was no technology in the home well apart from a telephone and a television

Large organizations were able to invest in large, expensive systems to store key data. This was accessed via terminals as seen here in the picture

These systems become known as mainframe systems they were unsophisticated but important for many companies these systems are still critical to their business operations

1980s - Focus on Improving Employee Productivity

Reengineered the office environment

Personal computers

Office automation tools

Email, documents, spreadsheets

Local area networks

Network file servers

Databases

Departmental image capture

Basic workflow distribution and routing

Call centers

5

PresenterPresentation Notesin the 80s we revamped our offices were revamped through office automation.

We revolutionized the entire work place. We saw the arrival of IBM PCs with word processing, spreadsheets, presentations knowledge work really started to change quite dramatically.

Big mainframe computers were running in a data center somewhere and online transaction processing was just starting but this essentially ran separately

By the 1990s though there were articles in the press questioning the value of all of this wed spent a lot of money but we werent sure we were getting anything back

1990s - Focus on a Platform For Global Commerce

Wide area networks

Graphical user interfaces

Client-server architectures

Enterprise Resource Planning (ERP) systems

Customer Relationship Management (CRM) systems

Centralized image capture

The Internet (first generation websites)

Search technologies

Global outsourcing begins

Wireless

Year 2000 compliance (Y2K)

6

PresenterPresentation NotesIn the next decade, we took those front end desktop systems and connected them to our back end systems (including mainframes) over our wide area networks. We called this client-server computing. Client-server applications took over the world in the 1990s this was accelerated by the arrival of Microsoft Windows 3.1

Many millions of dollars were spent on new systems that helped improve the way that companies do business. It started with financial systems and then moved to Human Resources systems, then payroll; product inventory, and then Customer Relationship Management; then product management. Very soon almost every department had some kind of module that would ultimately become part of an ERP-like platform.

In the second half of the 1990s the major focus was the internet We saw the emergence of new companies that only existed online examples include eBay and Amazon.com - this competitive shift forced established companies to develop a web presence that would allow them participate in the growing online market

New technology companies came from nowhere like Google, Yahoo; BroadVision; Interwoven; promising search technology web content management; e-commerce and portals. The demand for internet technology fuelled the dot.com boom that eventually turned out to be a bubble that ultimately burst in March 2000

Y2K was a big source of momentum behind this as companies worked to ensure their systems were compatible with the new millennium

By the end of the 90s technology had arrived in our homeswe had desktop computers, laptops, printers and scanners all connected to the internet (via dial up technology)

ECM

BPM

CRM

ERP

Systems of Record

Enterprise-wide

Accuracy

Integrity

Integration

Uniformity

Reliability

Security

7

Typically rigid, large scale

enterprise business applications

and storage repositories

PresenterPresentation NotesThe systems that were implemented in the 1990s have now become known as Systems of Record. They are extremely important to governments and companies all around the world. They provide the foundation for how business gets done from both a financial and a transactional perspective.

The hard work needed to implement these systems of records is essentially done. Yes there is always work needed to maintain and enhance these systems but the main investment is in maintaining the accuracy, integrity, reliability and security and integration of these critical systems. Think of this like system of roads or railways weve invested to build it out and now are money goes into maintaining it or perhaps moving it to a hosted service.

Consolidation is continuing the battle of the ERP system standard in very large organizations has consolidated to basically Oracle and SAP.

Systems of Record rely on quality data

Kofax continues to help fuel these systems with the right information at the right time

8

Systems of Record

ECM

BPM

CRM

ERP

But business continues to evolve

PresenterPresentation NotesSlide Theme: Kofax makes Systems of Record better

But Systems of Record require information, they require data, they require content. They only function effectively if they are fed with reliable, accurate information.

Kofax has been in the business of providing Systems of Record with accurate, perfected content for over 25 years. We capture content from any source, paper or electronic, and perfect that information. We then extract the relevant data, validate the data, and feed it to the Systems of Record quickly and efficiently. Its what we do!

But business is changingand thats creating challenges

2000s - Focus on Finding, Processing and Sharing Content

Broadband

Personalization

360 view of the customer

Portals

e-Commerce

Second generation websites and intranets

Globalization

Outsourcing matures and proliferates

Social

9

PresenterPresentation NotesIn the later part of the 2000s Investors were focusing less on enterprise IT systems and more on consumer technologies.

We have seen the incredible rise of new consumer-oriented technologies such as Facebook; Skype; Twitter; YouTube; Wikipedia supported by cool new hardware and operating systems from companies like Apple and Samsung.

All this technology has had a massive impact on how and where work is done on this planet the economic consequences have been huge. It moved about a trillion dollars worth of work from developed economies to developing economies. It has fundamentally changed countries like China and India bringing whole new sources of wealth to places on the planet that did not exist before.

2010s Where Now?

10

Your Customer Is Moving Faster Than You!

Mobile Social Collaboration

Analytics Apps

Self-Service

Optimization

PresenterPresentation NotesThere have been profound changes in how we search for; consume and share digital content - faster broadband connections made the internet and computing not just an intellectual experience but an emotional experience as we were now sharing photographs and videos instantly.

So now the digital world is a fully human world, the full experience of being a human is being experienced online children have started to say that that they feel more real in their digital lives then they do in their physical lives

Companies have really struggled with this technology shift many business just dont have a good strategy to engage with their customers where theyre spending their time. The majority of companies are really still on the outside of this looking in wondering how to leverage social media or how to meet their consumers changing expectations. Their systems and processes are just not built to integrate well with these new technologies. We have certainly seen companies deploying apps but most of these are just replicating the kind of functionality found on their websites rather than offering anything dramatically different

One thing is absolutely certain your customers are moving quickly away from human to human interactions to digital interactions and your organization is probably moving fast enough for them any company that can find ways to exploit this movement will see significant growth

What Are Your Customers Expecting? Know me

Understand me

Serve me

Value me

What Are Your Customers Thinking?

Im not listening to you

Im researching you

Im watching you

Im talking about you

Earn my respect and loyalty

PresenterPresentation NotesThey cant keep track of social sites blogs and

What Do Your Customers Want?

Give me choices

Connect with me via my channel

Move at my speed

Talk to me in my voice

Exceed my expectations

Systems of Engagement

Information intensive

Loosely structured

Dynamic

Real-time

People centric

Knowledge centric

Collaborative

Conversational

Social

14

Flexible

Modern, intuitive interface

Consumer-based technology

What Does This Mean For Your Organization?

Offer multiple channels

Engage digitally

Support your customers devices

Enable self-service wherever possible

Be accurate

Provide regular status updates

Deliver information real-time (24 x 7)

Be agile

First Impressions

Are Extremely Important!!

What Does This Mean For Your Organization?

It is important to execute well across your entire process .

But it is essential to excel in the first

part of your process

.. we call this The First Mile

The First Mile Challenge Customers want to engage with you digitally

There is huge risk if you dont get this right (frustration, abandonment, negativity)

The risks increase significantly when youre trying to acquire a new customer

17

PresenterPresentation NotesUsed to be focused on the back-end systems of record - consolidating the information and capturing the insightsNow the focus is on the front-end and engaging with the customer digitally example Digital onboarding have to get this right

The First Mile Challenge

18

Systems of Engagement Systems of Record It is critical

to link these Systems of

Engagement with your

Systems of Record to Deliver a Superior First Mile

Experience For Your

Customers

ECM

BPM

CRM

ERP

Customer Intimacy

Customer Loyalty

Reduced Costs

Competitive Advantage

PresenterPresentation NotesHowever, business is changing, and organizations are faced with challenges in four major areas that cannot be easily or effectively handled by existing systems of record:Customer Engagement: Customers require fast response time, process visibility, self-service and interaction with the process. They expect access to the information they need, from any device, anywhere. They also have more buying options than ever before, from many information channels. Updating existing systems of record for customers to effectively engage with organizations can be difficult and costly.Customer Acquisition: Organizations need new revenue sources and faster time to revenue to remain competitive. Customer acquisition costs are high, and many potential customers are lost during onboarding due to outdated processes. In addition, customer content is now received from a variety of sources in different formats that are not easily supported. Existing systems of record do not adequately address the customer acquisition challenges around time to revenue, onboarding and multiple communication channels.Speed and Visibility: Inefficient people intensive processes and the manual handling of issues, exceptions and trailing documents slow process completion and impact customer satisfaction. In addition, customers and employees have poor visibility into the process, and adapting to the rapid and frequent change of customer-facing processes is not easy. Existing systems of record werent designed for the speed, visibility, and constant change of todays business.Cost of Ownership: To automate a customer-facing process, organizations may need to modify existing systems of record, or integrate multiple systems of record, which can be complex and costly. Todays mobile, capture, BPM, and analytics products are not well-integrated to meet customer needs in todays dynamic, collaborative, real-time and information-rich business environment. So organizations are left with having to install, deploy, administer, maintain and integrate multiple products, adding complexity and cost. To address these First Mile challenges, organizations require:Better systems of engagement (for example, mobile apps, web portals, social media) which generate real time, informative intensive communications with customers, ANDAn effective way to connect these systems of engagement to an organizations existing systems of record.

Permit Applications

Auto Insurance Claims

Patient Registration

Health Care Claims

Citizen Benefits

Home Refinancing

Invoice Processing

Auto Loans

Customer Service

Warranty Reimbursement

Examples of First Mile Business Processes

Mortgage Applications

Credit Card Applications

PresenterPresentation NotesEducation on what typical smart process apps may be. Talk to the iterative process of on-boarding, the use case for trailing docs, the need for constant customer interaction

First Generation Digital Engagement

Check balances

Pay bills

Transfer money

Find a 24 hour bank machine

Links to other services

Contact information

PresenterPresentation NotesLinks to other services - insurance, investments etc.

Next Generation Digital Engagement

21

Systems of Engagement Systems of Record

Underwriting System

Motor Vehicles System

Accident Database

ECM Repository

Next Generation Digital Engagement

22

Systems of Engagement Systems of Record

Risk Assessment

Motor Vehicles System

Accident Database

ECM Repository

Kofax Is Uniquely Positioned To Solve First Mile Problems

Mobile Capture

Web Portal Capture

Front Office Capture

Back Office Capture

Image perfection

Recognition and extraction

Business Process Management

Analytics

Enterprise ready

23

24

Systems and Processes

Production Scanners

Centralized Back Office

Agents and Field Workers

Smart Phones and Tablets

Customer Locations

Smart Phones and Tablets

Desktop Scanners and Web Portals

Remote Branch Offices

MFPs

Fax

Electronic

Solving First Mile Problems From the Point of Origination

PresenterPresentation NotesSlide Theme: Extending your solution with Point of Origination

Regardless of when and where the information is first available, Kofax solutions enable customers to extend systems and business processes to the point of origination. Today you may be using Kofax in a more traditional centralized capture operation. But you can extend your existing capture processes out to the point of origination.

[Click] Start by looking at the branch offices where you may have a number of MFP devices and fax machines. These can be integrated into your capture processes and allow content to be captured at the source.

[Click] Second, extend capture beyond the firewall via a web browser or mobile devices. Allow your customers to securely and safely capture information directly into your capture system from any web-based applications.

[Click] Lastly, completely untether capture from the network with mobile devices like smartphones and tablets. Enable field based employees or customers to use their devices to capture content directly into your existing processes, safely and securely!

Solving First Mile Problems Faster!

Kofax is combining its market leading technologies to provide Smart Process Applications

Capture

Case management

Analytics

Mobile capabilities

They minimize the need to modify existing enterprise applications, business processes, and repositories

25

Kofax Value Tuned to Your Business Needs

26

Image Capture

Process Management

Extend to Point of Origination

Content Capture

PresenterPresentation NotesSlide Theme: The Kofax Stairway to Value

Lets take a look at what we refer to as the Stairway to Value. We can focus our efforts anywhere along the vertical axis, from focusing on reducing operating costs to optimizing the customer experience.

[Click] Many of our customers today are focused on improving information visibility in their organizations. They are using products like Kofax Capture or Kofax Express to capture paper and electronic information coming into their organizations, indexing that information, and making it available to their systems of record for archival and compliance purposes.

[Click] Other customers have moved up to focusing on increasing and achieving operational excellence. They are automating their business processes and implementing touchless processing using products like KTM, Markview, and KCS to improve efficiency and limit or eliminate manual intervention in their capture processes.

[Click] Some of our customers are focused on increasing customer intimacy, looking for new ways to engage and interact with their customers, suppliers, and business partners. They are deploying products like Kofax Mobile Capture, Kofax Front Office Server and TotalAgility to automate the end to end business process around content capture and processing. This extends capture beyond the back office, and creates a collaborative process.

[Click] Lastly, the goal of many customers is to create an agile enterprise, to begin engaging their customers in the First Mile and truly optimize and change the customer experience. They are using products like TotalAgility, Mobile Capture and Altosoft combined with the rest of the Kofax product suite to build and deploy Smart Process Apps that extend their processes to the point of origination and address the business critical First Mile.

Regardless of where you may be on the Stairway to Value, youre achieving the benefits of automation and optimization and seeing an ROI. Lets take a look at how you can build on your current investment in Kofax to move up the stairway and achieve additional value and benefits.

Demonstration

Demonstration

28

PresenterPresentation NotesWell now move into the demonstration.

For further information, please contact:

Phillip Jones Vice President Phone: +1-949-375-3523 Email: phillip.jones@kofax.com

Phillip Jones Vice President Phone: +1-949-375-3523 Email: phillip.jones@kofax.com

Kofax ConnectTransforming the First Mile of BusinessTopicsTechnology Has Changed How We Interact.Forever! 1970s - Centralized Mainframe Systems1980s - Focus on Improving Employee Productivity1990s - Focus on a Platform For Global CommerceSystems of RecordSystems of Record2000s - Focus on Finding, Processing and Sharing Content2010s Where Now?What Are Your Customers Expecting?What Are Your Customers Thinking?What Do Your Customers Want?Systems of EngagementWhat Does This Mean For Your Organization?What Does This Mean For Your Organization?The First Mile ChallengeThe First Mile ChallengeExamples of First Mile Business ProcessesFirst Generation Digital EngagementNext Generation Digital EngagementNext Generation Digital EngagementKofax Is Uniquely Positioned To Solve First Mile ProblemsSolving First Mile Problems From the Point of OriginationSolving First Mile Problems Faster!Kofax Value Tuned to Your Business NeedsDemonstrationSlide Number 29Slide Number 30