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Oracle's JD Edwards Enterpriseone—The Low TCO, High ROI Option For Oracle’s JD Edwards EnterpriseOne— the Low TCO, High ROI Option for Top Tier ERP An Oracle Accelerate for Midsize Companies briefing Table of Content 3 Executive Summary 4 Total Cost of Ownership (TCO) Defined 5 Component of JD Edwards’ Low TCO 6 Committed to Flexibility and Ease of Use 10 Architected by Design for Choice and Integration 14 Addressing Industry Needs 2 Executive Summary JD Edwards has established and maintained a reputation for low TCO via three attributes: Since their beginning in 1977, Oracle’s JD Edwards enterprise applications have developed a loyal following . Flexibility and Ease of Ownership of customers in organizations of all sizes and industries. Targeted Industry Focus As an integral component of Oracle’s overall enterprise . An Architecture Supporting Choice and Integration applications strategy, JD Edwards ERP—EnterpriseOne and World—remain viable and compelling options for The JD Edwards development and strategy teams midsize companies seeking a low TCO entry point into focus on: the entire family of Oracle application, middleware, and database products. the general business requirements of growing Oracle offers multiple enterprise application suites, each midsize companies deploying Top Tier ERP for the with unique strengths and capabilities but built to a first time; and common development strategy across all products. This . industry requirements for companies in strategy is united in the goals of helping customers Manufacturing & Distribution, Consumer Goods, leverage Oracle’s extensive technology platform and Asset Intensive Industries, and Professional array of complementary applications. Services Midsize Companies considering Oracle enterprise This briefing describes the attributes and qualities of applications must decide which ERP suite best suits their JD Edwards ERP that make low TCO a reality for requirements. JD Edwards has long been known as an thousands of midsize companies spanning many appealing choice for midsize and larger companies that industries and geographies. are drawn to a low Total Cost of Ownership (TCO). 3 Components of JD Edwards’ Committed to Flexibility and Architected by Design for Choice and TCO Defined Addressing Industry Needs Low TCO Easy of Use Integration Total Cost of Ownership (TCO) Defined COMPONENTS OF TECHNOLOGY TCO (partial list) Any discussion of Total Cost of Ownership (TCO) requires Initial Expenses— that first the term be defined by its components. In a practical sense, companies measure the TCO of a . Network hardware, software, and setup technology choice in order to determine its affordability . Server hardware, software, and setup as well as to judge its cost and return relative to other choices. Software implementation and training Does every company measure every technology . Applications integration initiative at the same level of detail? The answer is, . Software customizations “most likely not”. In reality, the way TCO is measured is . Legacy system migration expenses probably unique to each company. In today’s business climate, product and service Ongoing Operational Expenses — innovation and process reengineering strategies rely heavily on IT enablement. Therefore, any true . IT staff comparison or evaluation of IT choices mandates also an . Risk Management (including backup and recovery) assessment of the value—Return on Investment (ROI)— of that choice. Cost of downtime and system inefficiencies Ask ten IT professionals to identify the components of . Security technology TCO and you are likely to get ten different . Software and hardware maintenance and support lists. However, all will agree that TCO components . Integration maintenance include both tangible (“hard”) costs and intangible (“soft”) costs. Ongoing 3rd party consulting services 4 Components of JD Edwards’ Committed to Flexibility and Architected by Design for Choice and TCO Defined Addressing Industry Needs Low TCO Easy of Use Integration Component of JD Edwards’ Low TCO Shurgard Self Storage Europe Reduces IT Maintenance Over the last twenty years, many good enterprise Costs by 20% with Consolidated IT Infrastructure applications solutions have disappeared or faded into the background, victims of the “dot.com bubble burst”. Shurgard Self Storage Europe specializes in all aspects Of those vulnerable companies that survived, most were of the self-storage industry for private and commercial purchased by software consolidators interested more in users. maintenance and support revenue streams than in Shurgard Self Storage Europe continued product development and innovation. Brussels, Belgium Since being acquired by Oracle, JD Edwards customers www.shurgard.com Employees: 506 have benefited from multiple product releases, linkage to Oracle’s middleware and business intelligence infrastructure, and factory built integrations to industry “Oracle’s JD Edwards EnterpriseOne applications leading capabilities in other Oracle products. enabled us to consolidate financial management JD Edwards ERP is not designed to fit all the needs of activities in seven European countries onto a single every company. Instead, the development focus is on a platform. We now have a shared, global infrastructure, core set of ERP processes that fit general business needs which has helped us to reduce maintenance complexity and those that are common to a handful of industries. and costs by nearly 20%.” This keeps down the costs for customer to deploy, – Manuel Barreiro, Senior IS Project Manager maintain, patch, and manage the software. 5 Components of JD Edwards’ Committed to Flexibility and Architected by Design for Choice and TCO Defined Addressing Industry Needs Low TCO Easy of Use Integration Committed to Flexibility and Easy of Use Oracle is committed to engineering solutions with open industry standards while also matching complementary BUILDING A PLATFORM FOR SUCCESS Oracle products into bundled offerings that present Low long term TCO starts with basic IT infrastructure compelling price and TCO scenarios for customers. Yet considerations. A typical midsize company operates with non-Oracle hardware and databases for JD Edward will a lean IT staff—often only 2-10 Full Time Equivalents remain viable options. Customers with IT resources trained (FTEs). They will likely rely heavily on external resources and accustomed to other vendor products can choose to while deploying applications and setting up the IT retain those strategies as another way of keeping or infrastructure, but will ultimately need to be self achieving optimal TCO. supportive. IMPLEMENTING FOR NOW WITH THE FUTURE IN MIND JD Edwards customers have the option to take advantage Long term costs associated with the ERP ownership of bundling and pricing incentives by selecting a experience are impacted heavily by the way solutions are complete top to bottom stack of Oracle hardware, initially deployed. database, middleware, and complementary applications. Customers focused on low TCO/high value alternatives During installation, anything that slows down or can select the JD Edwards EnterpriseOne complicates the implementation will increase initial costs Oracle Technology Foundation, a complete package of and most likely have an impact on long term expenses. A tools, middleware, and database. All components are successful deployment of the right solution choice is key to designed and tested with JD Edwards as well as being increasing the likelihood of low and maintainable long term priced much lower as a package than if purchased TCO. separately. 6 Components of JD Edwards’ Committed to Flexibility and Architected by Design for Choice and TCO Defined Addressing Industry Needs Low TCO Easy of Use Integration Once the most favorable IT infrastructure in place, the ORACLE ACCELERATE SOLUTIONS focus turns to solution implementation. Five years ago, Often, Oracle partners take the next steps, creating Oracle Oracle launched Oracle Accelerate—Oracle’s approach to Accelerate Solutions. These solutions are reviewed by helping midsize companies deploy applications rapidly Oracle and represent the packaging of Business and at a low cost. This ongoing program standardizes Accelerators with implementation services and other rapid implementation best practices across the full range products and services such as engineered hardware of Oracle applications. configurations, financing, applications hosting, training, and A key component of Oracle Accelerate are Oracle partner-developed industry applications or extensions. Business Accelerators—optimized configuration tools The JD Edwards development team has invested in a that incorporate Oracle’s vast industry and region-specific strategy of continual evolution and optimization of the implementation experience while providing the flexibility rapid implementation tools made available to partners and to personalize the configuration according to a Oracle Consulting. One example is the recently released customer’s business requirements. next generation of Oracle Business Accelerators that Oracle Business Accelerators provide industry and region provide increased accounting setup personalization via the specific business flows and configuration content coupled Q&A component. Implementers leverage the intuitive Q&A with an online Q&A tool that captures a customer’s interface in personalizing the Chart of Accounts and specific requirements and personalizes the resulting corresponding accounting rules. In more closely address configuration. The configuration deployed to the JD customer accounting requirements,
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