Midwest User Group Meeting

Lance LaCross, CPASenior Solutions ConsultantSeptember 27, 2011

Upgrade from SE to EE

• Benefits of QAD Enterprise Applications

• SE vs. EE• Process Considerations• Questions & Answers

Agenda

• Companies Need A Way To Make Sense Of All The Data Being Collected Within Their Organization – Need Increased Visibility.

• Need To Be Able To Answer Strategic Business Questions.

• They Are Now Being Held Accountable And Therefore Need To Control And Comply.

• Companies Are Growing Worldwide And They Need A System That Will Allow Them To Benefit From Their Global Operations.

• They Want A System That Is Easy To Use.

Business Requirements Today

• Efficiency - Complete access to financial data along with role-based processes

• Globalization - An integrated financial solution across the entire enterprise including multi-company, multi-currency, multi-GAAP, and multi-country organizations

• Compliance - Controls for data and processes – role-based security, segregation of duties

• Leverage Technology – powerful integration tools and user-definability

• Ease of Use & Standardization - An easy to use, scalable solution

Business Reasons to Move to The Latest Technology

Why Upgrade

5

Why Upgrade?

6

Proactive Application Management

Practical Competitive Optimum

Status Quo

Regular Applications Value Reviews

PeriodicApplicationRefresh

Competitive Opportunity

Time

Competitive Erosion

Go Live

By harnessing the power of new technology, you can achieve competitive advantage

Com

peti

tive

ness

7

Upgrade Cost DriversCan upgrade provide new business value?

Productivity

Business justification examines the overall impact to your organization’s performance

Cost

Can customizations be reduced ?

8

• Take advantage of new functionality

• Reduce customizations• Reduce operational costs• Respond to globalization and

consolidation needs• Increase user productivity • Ensure compliance• Optimize application and system

performance• Drive lean principles throughout

the organization

Benefits of Upgrading

9

Value of Upgrading

According to Aberdeen Group, Best-in-Class manufacturing companies are 35% more likely than

Laggard companies to operate on a current version of ERP.

10

The GoalUpgrade to achieve or maintain position

11

QAD Enterprise Edition

12

Tokyo

Sydney

Rio de Janeiro

Munich

Washington

domainsShared ServicesSarbanes-Oxley ComplianceEnterprise IntegrationFlexible global DeploymentCommon Data Global GovernanceInteroperability & Integration

globalplatform

• COA Mask- Now on shared set level- Allows for a global chart of accounts

with control on local (domain) combinations

• Self Billing• Tax Registers

- Tax register create- Italian tax registers

New Features

• Statutory Currency• Shared Set Merge• Daybooks / AP/AR Daybook Sets• Regional Balance Sheet / Income

Statement• SSM (Service & Support)

- Accrued / Deferred Revenue Reports- Operational Metrics- Pick lists for Depot orders

New Features

• International Legal Documents- Supports documents for shipping /

receiving documents- Control file setting to keep invoiced

sales orders• Reporting Framework

- Create reports directly from browses- Use EE financial browses

New Features

16

• QAD Functionality Comparison from SE to EE.xlsx

More Detail

17

Upgrade Considerations

• Financial / Regulatory • Business• Implementation • Technical • Security• Customization• Reporting• Tools• Education / Training• Upgrade Plan

QAD 2011 EE Upgrade Considerations

19

Financial / Regulatory Considerations

• Internationalization – localizations are removed- International regulatory

functionality incorporated in base product

- Can impact all users- Time phased consolidation of

international requirements

Financial / Regulatory Considerations

21

Business Considerations

22

• Understand your objectives in upgrading- Reporting requirements- Business analysis requirements

• Is there a clear definition and understanding regarding shared services requirements ?

• Measure baseline metrics before upgrade• Degree of change management or

managing change that will be required

Business Considerations

• The amount of business process reengineering that is envisioned to support initiatives such as Lean, Shared services, etc.- Customer Service Applications- Support Operations- Accounts Receivable- Accounts Payable

Business Considerations

• General Ledger- Expanded Account Structure- New Reporting Structure- Format Positions Removed- Additional Setup

• Business Relations• Shared Services

- Accounts Payable- Accounts Receivables

Business Considerations

• Is there an understanding of what new functionality is available or net change from legacy version?

• Will there be new features and functionality the business will be taking advantage?- Enhanced security- CRM- Lean manufacturing - PIM- Production schedulers- EAM- CSS- Configurator- Warehousing

Business Considerations

26

Implementation Approaches

• Is this project considered a new implementation, technical upgrade or is it a reimplementation- Will a business process assessment (BPA) be

required- Will business process reengineering (BPR) be

required

• Is this project a “lily pad” for another upgrade – If so, how can it be positioned for the next upgrade

Implementation Considerations

28

Upgrade ScenariosTechnical Migration with data conversion

Technical Migration without data conversion

Re-Implementation

Customization DataConversion

SmallProcessChanges

Conversion DataLoad

SmallProcessChanges

Optimization

Optimization

Re-define Business Processes Non-IntrusiveCustomizations

DataLoad

29

Centralize/Standardize First

ERPDatabasePlant 1

ERPDatabasePlant 2

ERPDatabasePlant 3

ERPDatabasePlant 1

ERPDatabasePlant 2

ERPDatabasePlant 3

ERPDatabasePlant 1, 2 and 3

ERPDatabasePlant 1, 2 and 3

QAD MFG/PRO 8.6, 9.0, eB, eB2

QAD 2007QAD 2008/ 2009 Standard Edition

QAD 2011Enterprise Edition

30

Migrate first to QAD 2011 Enterprise Edition, than Centralize and Standardize

ERPDatabasePlant 1

ERPDatabasePlant 2

ERPDatabasePlant 3

ERPDatabasePlant 1

ERPDatabasePlant 2

ERPDatabasePlant 3

ERPDatabasePlant 1, 2 and 3

QAD MFG/PRO 8.6, 9.0, eB, eB2

QAD 2011 Enterprise Edition

31

Technical Considerations

• Architectural - Number of databases- Number of domains

• Options- Single database with multiple domains- Multiple databases with multiple domains- Single database with single domain

Technical Considerations

• Database and domains considerations- Strategy for points of failure (single or

multiple)- Database maintenance or shutdowns

strategy- Language considerations in the same

database- How many sites are you willing to

upgrade at once- Time zone considerations

Technical Considerations

Security Considerations

• All application security in QAD 2011 EE is role based• Roles are defined for each discrete area of the

business using Segregation of Duties concepts• Roles are linked to menu functions using Role

Permissions• Users are assigned access to Domains and Entities• Segregation of Duties • Users are assigned to roles for Entities and Domains• Tools provided for the automatic loading and editing

of default roles and permissions- XML integration already available

Role Based Security

Security Considerations

Customization Considerations

• The number and types of customizations to the legacy system- Is there a definitive list of customizations- Is there an understanding of who owns each customization- Is there an understanding of what each customization does- Plan to replace customizations with standard functionality- Remember - every customization in a multi domain database

will need to have the domain key added• API’s and interfaces to 3rd party software

- Needs to be fully identified and go forward strategy developed

• Is it within scope to update 3rd party software solutions

• QXtend – Integration Framework

Customization Considerations

39

Reporting Considerations

40

• Ad Hoc Reporting- Inquiries- Typically A One-time Request For Data

• Standard Reporting- Typically Run Weekly, Monthly, Etc.- Fairly Static In Layout, Query Parameters, Etc.- Can Be Run In Batches And On A Schedule

• Forms And Labels- Invoices, Orders, Etc. - Package Labels, Barcodes

• BI Reporting- Data Warehousing- Metrics/Models- OLAP Reporting

Reporting Considerations

NET Browses

.NET Reporting

QAD BI

Requirement Solution

• Pre-set with user ability to change and create new browsesWorkbenches, Browses, Collection

42

• Create New, start with Browse, or modify Existing QAD reports

• Add images, graphs and other controls

• Additional Features: Windows Task Manager Schedules

• Output documents, Excel, PDF

• Release with EE includes samples

• Existing reports converted over time

Reporting

Business Intelligence

“Value -- for customers, shareholders andemployees -- is either created, compromisedor destroyed every time a decision is made

inside an organization.”

QAD Business Intelligence

44

Tools Considerations

45

• Standard Conversion Tool• Domain Merge Tool• Custom Code Conversion Tool• Program Tracer Tool• Non-intrusive Customization

Framework

Tools

46

• Background- Finance module tables re-built

• Conversion guide- Document of the conversion process and required

information• Pre-conversion utilities

- Define basic set up decisions, and produces data integrity reports

• Conversion- Typically need to run multiple test conversions

• Post conversion validation• Configuration

Standard Conversion Tool

47

• Purpose- Modifies a schema definition file to add domain to

selected tables and indexes, and modifies simple schema validation statements

- Goes through the Progress source code and modifies all search and create statements with the domain statement

• Benefits- Reduces costs of manual update of the source set with

the domain statement- Reduces the risks to get errors out of this manual

process

Domain Conversion Tool

48

Source Code TransformationHow it Works

Read

Transform

Write

Plug-ins

CreateFind

fieldsCode Linesetc.

Read

Transform

Domain Merge Tool

Single QAD QAD SE 2008 Database

ERPDatabaseBR

AR Domain

ERPDatabaseAR

BRDomain

CLDomain

ERPDatabaseCL

ERPDatabaseMI

CO Domain

ERPDatabaseCO

MIDomain

MXDomain

ERPDatabaseMX

ERPDatabasePR

PE Domain

ERPDatabasePE

PRDomain

VEDomain

ERPDatabaseVE

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• Purpose- To identify what customized functions are actively used

in your application- To identify how users are using your QAD applications - The results of the Program Tracer helps you to eliminate

customizations and/or provide feedback on customization areas that needs review

• Benefits- Eliminate unused functions from those to be migrated- Analyze how users use specific functions in order to

improve the overall process

Program Tracer Tool

51

Training/Education Considerations

52

• Consider Enterprise Financials as an implementation of a new module – Core Team- Introduction to EE - Advanced Financials - Security- Reporting Framework- Non-intrusive customization - System admin - Conversion

• Assess the training needed for the operational modules

Training/Education Considerations

53

Education Considerations

54

Thank You!

Questions?