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Oracle Incentive/Sales

Compensation
Special Interest Group (SIG) Meeting

OAUG Announcements

OAUG Appreciation Reception will be held on Wednesday,


September 22nd from 6-8pm at the Weinstein Gallery, 301 Geary
Street (at Powell, Union Square). This event is sponsored by IBM.
Please visit the OAUG kiosk, Moscone West Level 2, to obtain
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Visit the OAUG kiosk, Moscone West Level 2, to learn more
about the comprehensive member benefits offered by OAUG.
Register for your chance to win an iPad through iPad-A-Palooza!!!
New members and members are eligible to enter.

Oracle Incentive
Compensation (OIC) SIG
Meeting Agenda

SIG Leadership
Introductions
Overview of SIG and Meetings
Presentation OIC A Journey to R12
Questions and Answers

OIC SIG Leadership


Lisa Barthel-Daluge, Creative Consulting
Solutions, Inc.
Dhamo Jayabalan , EIM Solutions
Tabitha Ebert, Creative Consulting Solutions,
Inc.
Srini Parimi, EIM Solutions
David Carlson, Oracle Representative

OIC SIG - Introductions

Name
Company
Involvement in OIC
Version of Module
Related CRM Modules
What you Would Like to Gain From
OIC SIG

OIC SIG - Overview


First Meeting at OAUG in September, 2003
Monthly Conference Calls in 2004
2005/06 Quarterly Calls and OAUG/Oracle
Conferences
2 Day OIC SIG Meeting in November 2005
OAUG and Oracle Conference 2006
2007-2010 Quarterly Meetings and OAUG
and Oracle Conferences

OIC SIG - Goals


Network
Share Experiences
Seek Advice
Provide Product Enhancement
Recommendations
Learn of Recent Enhancements

OIC Additional Sessions


Quick Wins That Will Make You a Hero:
Oracle Incentive Compensation

Thursday, September 23, 1:30PM | Westin Market


Street Hotel, Franciscan I

Oracle Incentive/Sales
Compensation
A Journey to Release 12
Presented by Lisa Barthel-Daluge
Creative Consulting Solutions, Inc.

Agenda
Background of OIC
OIC Release 12 Approach
CRM Resource Manager
OIC Compensation Plans
OIC Release 12 Setup and Processing
Changes
Wrap Up and Q&A

Background of OIC

OIC and Resource Manager - Implemented 11.5.8 in


2003 & Upgraded to 11.5.10 in 2005
Implemented OIC in Stand-Alone Environment
E-Business Suite in Different Environment 2010 Moved
into Environment with Other Modules
Collected Data from Data Warehouse
Paid out Through ADP
800 Sales and Product Resources 2010 Added
Professional Services
Sales Credit Rollup 5-7 Levels

OIC Release 12 Approach

Upgraded the Test Environment to R12


Review and Analysis of Core Functionality (1 Month)
Ran Numerous Test Cycles/Test Environments to
Discover Issues and Functionality Changes (3 Months)
Closed out 2008 Plan Year and then Upgraded prior to
2009 Plan Year Processing
Full Year of Processing for 2009
Migrated to E-Business Environment for 2010
Setup and Processing of 2010 Plans

OIC Core Functionality Review


Resource Manager
Employees
Partners
Resellers
Vendors
Agents

Order Management

Territory Mgr Quoting


Resources
Roles
Groups
Teams

Territories

HR Comp

Quotes

Total Comp

ORACLE INCENTIVE COMPENSATION

Payroll

Orders

Employees

Receivables
Invoices
Billing
Credits
Payments

Payables
Resellers
Vendors
Partners
Agents

Collect, Calculate, Pay


Discoverer & out-of-the-box Reports
Commission Statements
Performance Reports
Year to Date Summary
Administrative Reports
+ End User Layer
Seeded Workbooks

Siebel Business Analytics


Compensation Data mart
Role based Dashboards
Flexible personalization

CRM Resource Manager

Setup all Resources who will have


compensation plan in OIC.
Roles drive the compensation plan in OIC.
Groups provide rollup structure of data and
reporting hierarchy.
Team provide another rollup capability all
credit rolls to team members.
Date Driven

CRM and TM with OIC R12

Resources
Roles
Groups
Teams

Territory
Manager

R12 Encountered
No Issues with our
Definition or
Structure
View/Maintenance
from OIC
We continued using
custom Territory Mgr
& OTM for Some
Areas

Compensation Plan Structure


Role
Compensation
Plan

Group/Team

Plan Element

Product
Class
(Revenue
Class)

Resource

Plan Element

Formula/
Expressions

Rate Table/
Dimensions

Product
Class
(Revenue
Class)

Formula/
Expressions

Rate Table/
Dimensions

R12 Compensation Plan Changes


Build Plans from the Top Down or Vice Versa
New ** Plan Copy/Duplicate Functionality
New ** View Document
Screen/Form Visual Appearance
360 Degree View of the Plans Single Page
Plan Components/Elements
Eligibility Roles, Groups
Maintenance of Components
Notes Sections
Checklist and Validation
Plan Administrator Responsibility

Sample Compensation Plan

View Plan Document

R12 Component Library


Location to Build Plan Components

Plan Elements
Formulas
Expressions
Rate Tables
Rate Dimensions

Copy/Duplicate Capability for each


Component
Can Build Here or From Create Comp Plan

Component Library

R12 Plan Elements


Plan Element for each Plan Component
Commission or Bonus
Link to
Formula
Product Classes
Rate Table (Plan Element or Formula)

Plan Element Example

Plan Element Example

Plan Element Example

Plan Element Example

Plan Element Example

R12 Formulas and Expressions

The Mathematical Structure of the Plans


Simple to Complex
Commission or Bonus Formulas
Rate Table to Formula for String Type
Formula
Input Expression (Goes Into Rate Dimension)
Output Expression (Calculates the Commission or
Bonus)
Rate Table (Formula or Plan Element)

Formulas in R12
Same Structure Simple to Complex
Screen Appearance Different
Formula Structure Mathematical
Input
Input
Expressions
Expressions
Revenue
% Achievement
Rating
Color
Product Code

Rate
RateTable
Table
Results
Results
Dimensions:
Percent
Amount
String
Rates:
Percent (10%)
Amount ($1,000)

Output
Output
Expressions
Expressions
RTR*Revenue
RTR
PE1 Results PE2 Results
Min or Max
RTR*Revenue Prior Pay

Formula Example

Formula Example

Formula Example

Expression Builder R12


Input and Output Expressions

Expression Example

R12 Rate Tables and Dimensions


Dimensions are the Tiers
Rate Tables
Rate Dimensions
Rates

Single Dimension or Multi-Dimension


Link to Plan Element or Formula

Rate Tables and Dimensions R12


Amount: The rate dimension is defined in quantities.

Multidimensional Rate Table

Units Sold

Commission %

1-250

Revenue Amount

Country

Product

250-500

0 250

USA

Product X

500-99999999999

250 - 9,999

Japan

Service Y

Germany

Percent: The rate dimension is defined in percentages.


Percent of Quota

Commission %

0 - 25

25 - 75

License Revenue

Country

Product

Rate

75 - 100

0 250

USA

Product X

1%

0 250

USA

Service Y

5%

0 250

Japan

Product X

1.5%

Expression: The rate dimension uses previously defined expressions.


Percent of Target

Commission %

0 250

Japan

Service Y

4.5%

0 - 0.25 * ITD Target

0 250

Germany

Product X

1.25%

0.25 * ITD Target - 0.75 * ITD Target

10

0 250

Germany

Service Y

6.25%

0.75 * ITD Target - Target

15

250 - 9,999

USA

Product X

4%

250 - 9,999

USA

Service Y

8%

250 - 9,999

Japan

Product X

4.5%

250 - 9,999

Japan

Service Y

7.5%

250 - 9,999

Germany

Product X

4.25%

250 - 9,999

Germany

Service Y

9.25%

String: The rate dimension uses alphanumeric data.


Country

Commission %

USA

Japan

Germany

Sample Rate Table R12

Sample Rate Table R12

Sample Formula Calculation


Input Expression
Quota Attainment
E.g.: 20%
Output Expression
Rate Table Results *
Transaction Amount
E.g.: 1%

Compensation Plan Structure


Role
Compensation
Plan

Group/Team

Plan Element

Product
Class
(Revenue
Class)

Resource

Plan Element

Formula/
Expressions

Rate Table/
Dimensions

Product
Class
(Revenue
Class)

Formula/
Expressions

Rate Table/
Dimensions

OIC Processing R12

Compensation Manager
Responsibility
Data Collection
Calculation
Payment
Reporting

Vendor in Oracle
Vendor Master

Import

Import

Resource in CRM
Resource Manager
Define Resource
Group
Role
Team

Employee in
Oracle HR

Oracle Incentive Compensation


Process Flow
Compensation Plans
Role.................................Compensation Plan...............................Resource
Paygroup
Plan Elements
Rates
Payment Plan
Formula
Quotas
Expressions
Rate Table
Rate Dimension

Territory
Assignments in
Custom Territory
Manager

Oracle General
Ledger
Report for
Accrual Entries

Commission Processing
Data Collection/Interfaces
Load
Calculation
Payrun

Automated
Interface

Oracle Accounts
Payable
(Suppliers)

Report

Oracle Order
Management
Oracle Accounts
Receivable

Data Collection
Payroll for
Employees
ADP

Oracle Item Master


Data Warehouse
or
Hyperion

Data
Collection
Import or Manual
Transactions

Imports or Manual
Transactions

Data Warehouse
for Ad-hoc
Reporting and
Analysis

Data Collection R12


Setup Responsibilities IC Administrator
Processing Responsibility Compensation
Manager
No Changes to the Data Collection Process
for R12 Standard for AR, OM and Can
Create Custom Sources (i.e. Projects,
Contracts, Revenue Recognition, DW)
R12 Table Changes Views Some
Mapping Adjustments

Data Collection R12


Setup Responsibilities IC Administrator
Processing Responsibility Compensation
Manager
No Changes to the Data Collection Process
for R12 Standard for AR, OM and Can
Create Custom Sources (i.e. Projects,
Contracts, Revenue Recognition, DW)
R12 Table Changes Views Some
Mapping Adjustments

Data Collection R12

Continued to Collect from DW


2010 Added Collection from AR/OM
Also Collected Revenue Recognition
Integrated Collection with Sales Credit
Assignments/Splits

Calculation R12

Calculate for Resources Assigned to Plans


Calculate all Data Collected into OIC
Stages of Calculation No Change
Testing Process for Calculation After Upgrade
3 Test Cycles
Calculation and Validation of Results
Reconciliation
No Major Discoveries

Sample Menu For Processing

Payment in R12

Payrun by Paygroup
We Continued with Report to ADP
No Change to Oracle Payroll or AP Interface
Various New Views/Searches into the
Payment Batches and Payment Sheet
Transactions

OIC Reporting R12


We Continued with the DW
Custom On-Line Statements
Standard Reports More
Flexible/Customizable
XML/OA Created Reports
Use a Combination of Custom and Standard
Manager and User Self Service
Responsibilities

Sample Menu For SS Reporting

Summary of OIC R12


Core Functionality Intact
New Look and Feel
Duplicate/Copy
Capability
No Major Gotchas in
Upgrade
Simple to Complex
Plans
Open Data Collector
Capability

Weekly/Monthly
Processing Consistent
Payment Processing
Small Changes
Reporting Increased
Flexibility and Improved
Starting Point

Questions & Answers


Presented by Lisa Barthel-Daluge
Creative Consulting Solutions, Inc.
lbdaluge@ccs-i.com
763-286-2649