Perficient joined Del Monte Corporation for this webcast about how you can achieve greater operational visibility and financial gains by extending IBM Cognos TM1 beyond financial planning and analysis, to operational planning. Using recent examples from Del Monte, we show you how you can improve planning decisions, make more effective use of planner time and realize significant financial gains.

1. ACHIEVING OPERATIONAL
VISIBILITY & FINANCIAL
GAINS

2. Speakers
Erik Duffield
Director, Finance
Analytics
Erik.Duffield@perficient.com
303-629-9206
Juan-Carlos Bertini
Vice President
Financial Planning
& Analysis
Mark Hatting
Director, Pacific Delivery
Practice
Mark.Hatting@perficient.com
408-973-8004
2

3. Agenda
 Erik Duffield
Understanding & Adapting to the changing
role of Finance
 Juan-Carlos Bertini / Mark Hatting
Operational Visibility & Financial Gains
at Del Monte
 Q&A
3

4. Perficient Profile
Ideally positioned as the GO TO Partner for IBM
 An IBM “5-Star Premier” Business Partner since 1997
 SVP, SVI and VAP Authorized Reseller across all Brands in U.S.
 Healthcare and Retail Industry Authorized Solution provider
 IBM Lab Services (ISSL, ISSW and ISSIM) go-to market partner
 IBM Education Authorized Training Partner/ATP and Training reseller
Thriving and Growing Organically and via Acquisition
 Public, NASDAQ: PRFT
 1700 Colleagues
 $250 M 2011 Revenue Run Rate
 Local Sales/Delivery offices
 Offshore Development Center in Hangzhou
China
IBM Recognition
 IOD Solution Provider of the Year – 2011
 Lotus Most Distinguished Partner – 2006, 2008, 2011
 2010 IOD Industry Warehouse Pack Partner of the Year
 2010 Impact Smarter Decision Management Award Winner
 2010 Lotusphere Best WebSphere Portal Solution – Finalist

5. Role of Finance is Changing
Transaction processing requirements decreasing
More powerful analytical tools
Fewer people
Embedded teams

6. Domain of modern finance
Controls,
Strategic Annual Plans / Managerial Financial
Strategic Analysis Consolidations
Planning Forecasts Analysis Analysis
& Reporting
3-5 year view of Application of Treasury / Cash
Puts next years
the business financial & Mgmt
strategic
External analysis operational data
initiatives into
of markets and Models and tests to inform and Capital Structures
action Close,
competitors “big blocks” – direct business / Financing
Consolidation,
people, capital, decisions
The allocation of Report
Internal review of products, M&A Risk Mgmt /
fiscal and human
competencies Maintains focus on Scenario Planning
resources aligned Compliance,
and capabilities Primarily a high key initiatives to
to key initiatives Internal Audit
level financial keep alignment Investment ID &
and goals
Assessments of view Analysis
customers and Develops best
Aligned with
products Scenario / practices and a Portfolio Mgmt
business via
sensitivity tested true analysis
collaboration
competency
6

7. Planning: evolution demonstrated
externally
financial forecast-based oriented strategic
planning planning planning management
•Annual budgeting •Starts our as financial •Extending “issue • Melding strategic
process planning with a longer orientation” planning and everyday
time horizon mgmt into a single,
•Internally focused •Competency in internal seamless process
•Out year extrapolations planning
•Forecasts revenue, become unreliable •Not necessarily more
costs, capital for the year •Focus moved to “outside sophisticated but more
•Tendency to try more world” (customers, integrated with
•Used to benchmark sophisticated forecasting competitors, suppliers) operational decision
performance tools: trend analysis, making
regression models, Characteristics
•Strategies are often simulation models Attributes
implicit or opportunistic •Resource allocation is
• Grow frustrated with dynamic •Framework defined by
most these extrapolations too future strategic issues
•Plans are adaptive vs. rather than today’s org
•Realization that charting deterministic. Find new structure
the future is failing, move ways, new markets
to “issues orientation” •Strategic thinking
•Surprise strategies, less capabilities are
linear widespread and
many rewarded
•Often recommend
multiple course of action •Series of feedback loops
vs. sequence of plan
submissions
few 7
elite

8. Running the analytics that run the business
$
Analytic
Embedded in
business functions
8

9. Business Visibility & Financial Gains at Del
Monte
Mark Hatting, Perficient
Juan Carlos Bertini, Del Monte Foods

10. The Company: Diversified Portfolio of Pet and
Consumer Products
Net Sales by Segment
Consumer
Products
~51%
Pet
Products
~49%
Adjusted EBITDA by Segment
Consumer
Products
~35%
Pet
Products
~65%
10

11. Background: Economic Trends and
Volatility
Data Overload
Inflation ↑
Uncertainty ?
$350
$300
Risk ! $250
$200
$150
$100
$50
$-
Net Cost Increases/(Decreases) ($M)
$(50)
Gross Cost Increases/(Decreases) ($M)
$(100)
F05 F06 F07 F08 F09 F10 F11 F12
11

12. Opportunity: Analytics, Insights to drive
bottom line
inaccurate platform
…out of time integrated
intelligence
Transaction focus………… 80% 20%
business drivers
reconcile
data overload
formula error
FP&A insights
mistake
40% 60% ……….Business partner
vacuum productivity
silos career growth
lack of visibility passion
version control engaged
retention
“all we do is forecast”
12

13. Deliverable: A Planning & Analysis Platform
for Operations
• Driver Based
CAPABILITIES
• Improved visibility
• Integrated
WHY?
• Reduced planning cycle times
WHAT
• Scenario Capable • Better resource utilization
Insights Limited Late
Knowledge Processing
Value
Data Gathering
13 Focus

14. Deliverable: A Planning & Analysis Platform
for Operations
• Driver Based
CAPABILITIES
• Improved visibility
Improved and
• Integrated
WHY?
• Reduced planning cycle times
WHAT
Insightful Decision
• Scenario Capable • Better resource utilization
Making Process
Insights Strategic Profit-Maximizing
Limited Late
Knowledge Analytics SME’s Power-Users
Processing
Value
Data Gathering
Integration Consolidation
14 Focus

15. Deliverable: A Planning & Analysis Platform
for Operations
• Driver Based
CAPABILITIES
• Improved visibility
Improved and
• Integrated
WHY?
• Reduced planning cycle times
WHAT
Maximize Profits
Insightful Decision
• Scenario Capable • Better resource utilization
Making Process
Insights Strategic Profit-Maximizing
Limited Late
Knowledge Analytics SME’s Power-Users
Processing
Value
Data Gathering
Integration Consolidation
15 Focus

16. A Planning & Analysis Platform for
Operations
Volume Forecasting
Inventory Management
Buy Make Store Deploy
Deliver
• Corn • Sourcing • Location • Mode
Drivers
• Wheat • Yields • Efficiencies • Lane / Miles
• Resins • Overheads • Overheads • Utilization
• Linerboard • Labor • Labor • Fuel
16

17. Highlights….. Transportation
• Seamless Reporting
• Mode Optimization
• Granularity
oProduct
oMode
oLane
17

18. Highlights….. Materials Planning and
Hedging
• BOM integration
• Scenario Control
• Hedging Support
o Cross Hedges
o Open vs. Covered
18

19. Highlights….. Transportation Miles,
Weights by “Lane”
• Granularity
oLane
oMiles
oWeights
oProduct
• Deployment Planning
• Supply Planning
• Inventory Analysis
19

20. Highlights….. Scorecards
• Sourcing Analysis
• Spend and Productivity Scorecards
20

21. Key Learnings
• IT & Business owner roles • Sponsorship
– Who has the “keys”
– Self Service vs. Control
– Project support
• SME involvement – Guiding vision
– Transfer the vision • Picking the tool
• Power users – Compatibility (ERP/Systems)
– Adoption
– Maintain and Enhance
• Prototype
– Iterative development
• Picking the partner – Phased approach
– Knowledge / Demonstrated Ability
– Scope
– Continuity
• Commitment to success
21

22. Conclusion
www.slideshare.net/PerficientInc
www.facebook.com/Perficient
www.perficient.com/Thought-Leadership/Social-Media/Blogs
Erik Duffield Mark Hatting
Juan-Carlos Bertini
Director, Finance Director, Pacific Delivery
Vice President
Analytics Practice
Financial Planning
Erik.Duffield@perficient.com & Analysis Mark.Hatting@perficient.com
303-629-9206 408-973-8004
22