Selling Capital Asset Management (CAM)
Identifying Opportunities, Building the Business Case, Overcoming
Competition, and Closing the Deal
Joel Sandberg
Oracle Principal Sales Consultant
Scott Hollowell
Asset Management Solutions CEO, Consultant, Demo Dolly, and Chief Bottle Washer
(with props to Dave Loesch - Oracle Market & Competitive Intelligence)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Introductions and Bio
• Scott Hollowell (7 years @JDE, 11 years @ Asset Management Solutions)
– Heavy emphasis on Pulp & Paper, Mining, Civil Construction
– Asset Intensive BU 1998
– Multi-Million dollars in Pre-sales assist
– 100’s of successful CAM Implementations and references in nearly every Industry
• Joel Sandberg (9 years implementing CAM, 7 years Oracle Pre-Sales)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Goals of this Presentation
• Sales Rep’s
– Understand how to find the opportunities
– Hone your elevator pitch
• Sales Consultants
– Help you understand your audience
– give you some tools and tips
• Everyone
– Identify the resources who can help you
– Provide some reference info in this presentation you can refer to (End of Deck)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Why is this important? Why Maintenance?
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Think of it this way…
• In an Asset Intensive business, Maintenance is often the single biggest
Expense behind Payroll
• Maintenance is the MOST important Production work center in the
company. No…they don’t produce widgets…they don’t produce the
oil…they don’t make the Pulp & Paper…
…What Maintenance does produce is Capacity! And without that, the company
does not generate revenues.
Analogy: 10% Profit Margin last year…Maintenance Budget next year
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
The Higher the Fixed Assets/Sales Ratio, the More Maintenance Matters
Fixed Assets to Revenue
0.0
0.5
1.0
1.5
Chemicals
Transportation
Pro Svcs
Education
High Tech
Low Impact
Product/Service Quality
Reg. Compliance/Audit
Timeliness
CPG
Important
Comms
Metals
Food & Beverage
Industrial
Mfgr.
HCare
2.0
Oil & Gas
Rx
Heavy
Construction
Ports
Mandatory
Reliability
Utilities
Mining
Pulp & Paper
EAM = ERP
Spoil / Waste Capacity
Customer Satisfaction
6
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Incremental Revenue
Optimization
Consistency
Competition
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Best of Breed Cheat Sheet
• Maximo (Acquired by IBM)
– Strong. Heavy Industry, Plants, Utilities
– Many customers still on release 4.x, 5.x
• DataStream (Acquired by Infor, rebranded Infor EAM)
– Strong. Heavy Industry, Plants, Utilities, Fleet
– Many customers still on MP2, 7i is the SaaS version (Feature Rich)
• Cityworks (Based on ESRI GIS)
– Strong in Municipality and Linear Assets
• Indus (Strong in Mining), Elke, Mainsaver, Ivara, Avantis, etc…
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Why We Win
11
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Why JD Edwards
• Capable Enough
• Integration
• Value
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Capabilities
Key Capabilities:
• Predictive, Preventive and Corrective
Maintenance
• Work Request & Approval processing
• Planning & Scheduling
• Comprehensive, real-time costing
• Failure Analysis
• Comprehensive Asset Documentation
• Seamless Integration
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Integration
“EAM functionality is only achieved when
[CMMS is] linked to an ERP application.”
- Gartner Group
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Touch Points
Depreciation
Receiving
Time
Purchasing
Time
Entry
Suppliers
WO Materials,
Reqs Linked to
WO & Workflow
Product &
Maint WO
WO Updates,
Catalogs
3-Way
Matching
Employees &
Skills
HR
Production
AP
Inventory
Transactions
Costs
Updates
Projects
Project / Task,
WO Costs
Asset
Management
Chart of
Accounts
GL
Service
Service Request
Linked to
WOR / WO
Customers
WO
Depreciable
Billing
AR
Maintainable
Assets
Assets
FA
Req & PO Changes, AP-to-PO Matching/Reconciliation
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Property
Interfaces to Best of Breed
Limited Scope, Less Visibility
Time
Purchasing
Production
Inventory
Projects
Service
Interface
Interface
Standalone
CMMS
Interface
Suppliers
Customers
Interface
HR
AP
GL
Interface
AR
FA
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
Property
EnterpriseOne Capital Asset Management
Embedded within a Single Enterprise Platform
HR
GL
Time
AP
Production
Suppliers
Purchasing
CAM
Inventory
Customers
Service
AR
Fixed Assets
Projects
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Internal/Restricted/Highly Restricted
17
Value
• Total Cost of Ownership
– No duplication of purchasing, inventory, and costing functions
– Value only achieved with interfaces to JDE, causing “Version Lock”
– One set of IT Support skills needed, not many
• Return on Investment
– Better availability and visibility of Parts and Purchasing to support Maintenance
– Functionality to reduce corrective maintenance means <$$ spent on Maintenance
• Single Source of Truth
– Reporting…Audit…Budgeting…all now supported by bringing Maintenance into JDE
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
For the Account Managers
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Key Inputs
• How big is the installed JDE footprint?
• Whose decision is it?
• What is maintenance using today?
(expectations)
• Who are we competing against (bar)?
• No time for discovery/quick demo
• References
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
It doesn’t matter how good our products are, we will not
win the “hearts and minds” of maintenance against a point
specialist
• Domain sales focus
• Association memberships (e.g. SMRP)
• references
• One customer to serve
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
If we demonstrate that we meet your
requirements, will you select JD Edwards,
even if the users prefer the point solution?
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Don’t miss License Opportunities
• CAM related Modules
– Equipment Cost Analysis (ECA)…Awesome to demo, remember…P1202QAD!
– Condition Based Maintenance (CBM)…Internet of Things.
– Resource Assignments/Crew Scheduling
• One View Reporting for Capital Asset Management
• User Productivity Kit (UPK)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Solution Consultants:
Know Your Audience!
(Spoiler Alert: the three audiences in the room don’t like each other
and from a “territorial” aspect won’t necessarily like what you are about to say)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Things to understand about the “Environment/Audience”
• Maintenance, IT, Accounting…rarely does maintenance get along well with
either of the other two
• The difference between Everyone Else (A/P, Payroll, etc) and
Maintenance…Tool in the Toolbox analogy
• Maintenance -“Heroes & Firefighters”
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Don’t leave your demo up to “Chance”…
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
What they say they “Must Have” in the RFP, Demo, etc.
• Bells and Whistles
• Don’t get mired in the “Well
Maximo does this”… focus on core
requirements of a CAM solution
(not necessarily their Core
Requirements)
• “Click Counters”
• You will win/lose on how simple
you make CAM…(ESPN, Solitaire
analogy)
• Dashboards and KPI’s
• Your competition has them. You
need to drive the demo to them.
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Scott’s Demo…Do’s and DON’TS!!
• Do establish credibility with the Maintenance guys… let the Account Rep maintain the
relationship with IT
• Do convey your understand the life of the maintenance guy, and demo to that
understanding. EASE.OF.USE!!!
• Do know when to go to the computer vs. sit on the edge of the desk to answer a
question.
• Don’t get mired in field level detail.
• Don’t dress too sharp. Or better yet, do dress up, but make fun of yourself as you dress
down at the start of your demo.
• Don’t overdo the Integration and “Visibility”…Don’t show how to pull “Skeleton’s out of
the closet” but do show the value of Fleet and Hierarchy cost visibility
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Joel’s Demo…Do’s and DON’TS
• Do start simple – E1 Pages, Dashboards, Equipment Hierarchy
• Don’t show the full work order screen as the first application screen the
customer sees – leverage the simplified forms
• Do emphasize integration points – PO creation from WO, Cost impact on
GL, inventory visibility
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Resources – Use us!
Product:
• Louise Farner – Oracle, CAM
• Sue Brown – Oracle, CAM
Competition:
• Dave Loesch – Oracle
Sales/References/Implementations
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Stump
the
Chump
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Reference Info
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Glossary of Acronyms and Terms
• PEM (Plant & Equipment Management) – World Software and legacy name
for JDE Maintenance Module
• ALM (Asset Lifecycle Management) – Name given to JDE solution under the
PeopleSoft era. Also the name of the PeopleSoft Maintenance solution.
• EAM (Enterprise Asset Management) – The industry accepted term for
Enterprise level Maintenance management
• eAM – The name of the current Maintenance solution in eBusiness Suite
• CMMS (Computerized Maintenance Management System) – The legacy
name for maintenance systems, the term you should “Paint” your
competition with
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Requirements, not Features
Maintenance Technology (?) magazine ran a survey not long ago, it showed that
CMMS/EAM users typically use only 20% of the features of their software.
To quote Dave Loesch “Show me one other industry where we routinely say we MUST
buy 5 gallons of milk yet only drink one?”
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Requirements to Watch Out for: General
• Ease of Use
• Yes - “E” Forms, Self service WO,
Security , Partner solution (AMS)
• Work Order Configurability
• Is this really a mission critical
requirement?
– relationship between users & IT
• Job Plan/Task Library
• Yes, but watch your language
• Standards: ISO 55000/PAS 55,
OSHA 14224.
• Yes, but do your homework - UPK
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Requirements to Watch Out for: Manufacturing
• Tool Check-In/Check-out
• Yes, with “workaround”
• Lockout/Tagout
• Multiple Hierarchies
• Sort of
• Management of Change (29 CFR
1910.120)
• Yes (Site address field)
• Yes (Case Management, Branch
Scripting)
• Hazard Assessment
• Extension
• Operator Logs
• Extension
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Requirements to Watch Out For: Fleet
• Master PM’s
• Maybe – Model PM’s or extension
• Tire Tracking & Rotable
Components
• Fuel System integration (Gasboy)
• VMRS Codes
• Yes, but (Component Changeout)
• Warranties
• Yes, but (Supplier Recovery)
• Mechanic Kiosk (Clock On/Clock
Off)
• Telematics/GPS Integration
• Mobility partner or extension
• Yes (meter reading interop)
• Yes, but (possible extension)
• Maybe(CAFE1)
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Requirements to Watch Out For: Facilities
• Dispatching
• Maybe (Resource Assignments,
ORS)
• Deferred Maintenance
• Chargebacks
• Energy Management
• No
• Service Billing or Service
Management
• Yes, meter readings & ECA
• BIM
• Content Management & CAFE1
• Space Planning
• Partner (Viziya)
• Move Management
• ??
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted
Some Requirements to Watch Out For
• Plant – MOC, LOTO/Permits, Event Tracking/Operator Logs,
RCM, 21 CFR Part 11, CIM, Nukes
• Linear – Wires, pipes and roads all different. Compatible
units, linear referencing, multiple parents.
• Fleet - Warranties, tire tracking, mechanic kiosks, bay mgmt
• Facilities – Dispatch/knowledge base, chargeback, space
planning, move mgmt, deferred maintenance
• Systems integration with building automation/energy mgmt,
fuel mgmt systems, AVL, invoice consolidators
• Standards – ISO 5500/PAS 55, BIM, OSHA 14224, CIM
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Restricted