The Value Initiative tool suite provides a set of tools to help clients identify value-creating ideas and optimize their project portfolios. The key tools include the Enterprise Value Map, ValueLink, MapIt!, PriorIt!, and Portfolio Landscape. The Enterprise Value Map depicts how value is created and can be used to measure performance, identify projects, and develop hypotheses. ValueLink electronically links improvement initiatives to the Value Map. MapIt! and PriorIt! help allocate projects across the Value Map and prioritize based on risk and value. Portfolio Landscape is a comprehensive tool that manages the full portfolio optimization process. The tools help clients focus on the right projects and initiatives to improve performance.

1. How can I identify value
creating ideas?
The Value Initiative
Michel Sader
Redmond, 4/30/2008

2. 2
Agenda
1. What is The Value Initiative?
2. The Value Initiative Components
3. The Value Initiative Tool Suite
4. Q&A

3. 3
More Pressure Than Ever on IT Budgets
80%
Maintenance
20% New
Cost
Reduction
Keep Business
Up & Running
End User
Productivity
Customer
Connection
Competition
Technology
Change
Regulatory
Compliance
Security
Business Results
& New Value

4. 4
Why do clients “prefer” a Solutions Provider??
• “Trusted Advisor” relationships with key
decision makers
• Value delivered by previous work
• Industry expertise
• Brand
• Market leadership
• Price
• Technical expertise
• Right place at the right time Least
differentiating
Most
differentiating
Level of Competitive
DifferentiationReason

5. 5
Ingredients of a Trusted Advisor relationship
Thinking like CXO’s/ executives
Where Value is Driven
Within the Company
What’s Most Important and
How to Get Things Done
Value
Creating
Ideas
Contextual, Thought
Provoking Points of View
Opportunities to talk to CXO’s/ executives
Insightful/Practical
Propositions
+ +
Relationships
With Powerful
People
Ongoing Role as Business
Advisor (not Vendor)
Preferred Provider of
business solutions
Trusted Advisor relationships
Trusted
Advisor

6. 6
Unrelenting focus on creating
business value for your clients
Your Company can effectively
differentiate your business
solutions based on your ability to
create tangible value for clients
1- The Value Initiative is about helping your
clients create more value
• You understand your clients’
business imperatives and issues
• You understand how the business
solutions you provide can help
• Your people is focused on creating
business value, not just on
technology
• You measure and communicate
the value you create for your
clients
The Value Initiative Vision

7. 7
2- The Value Initiative Components
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Stakeholders

8. 8
•Volume
•Price Realization
•SG&A
•COGS
•PP&E
•Inventory
•Receivables & Payables
•Company Strengths
•External Factors
Change What You Do
(Strategy)
• What you provide
• Whom you target and serve
• How you compete
• Where you deploy your resources
• Which operations you outsource
Do What You Do Better
(Tactics)
• Business processes
• Intra - and inter-company collaboration
• Customers, employee & other stakeholder satisfaction
• Resource/Asset development & deployment
• Strategic capability development
REVENUE GROWTH
OPERATING MARGIN
ASSET EFFICIENCY
EXPECTATIONS
3. Our Offer Alignment
Other Shared / Corporate Services
(Real Estate, Procurement & Other)
Human Resource Strategy & Management
(Recruitment, Development, Administration &
Performance Management)
IT Strategy & Management
(Design, Development, Deployment,
Operations & Performance Management)
Corporate Strategy & Business Management
(Business & Financial Strategy, Mergers & Acquisitions,
Program Management & Performance Management)
Customer Strategy, Relationships & Interactions
(Marketing, Sales, Delivery/Provisioning, Billing & Service)
Product Strategy, Development & Production
(Innovation & Design, Supply Chain Management, Production
Operations & Logistics)
It depicts three things:
2. What You Can Do
(Improvement Levers: efficiency of Business Processes,
Productivity of Assets & strengthen Organizational Capabilities)
1. How Value is Created
(Value Drivers)
Key Benefit: the establishment of a common, consistent language for talking about business
performance across business units and business functions (e.g. IT and HR), and with external
audiences like stock analysts and boards of directors.
The Value Map is the Starting Point: Creating Value to
Shareholders

9. 9
Derivative Value Maps created from the
Enterprise Value Map
Enterprise Applications
• CRM Value Map (also in Chinese and German)
• CRM for Contact Centers
• CRM for Field Services
• CRM for Partner Relationship
• CRM for SAP
• CRM for PeopleSoft
• CRM for Siebel
• CRM for Pharmaceutical
• CRM for Retail Banking
• CRM for Tour Operator
• Enterprise Value Map for Lawson
• Enterprise Value Map for Oracle
• Enterprise Value Map for PeopleSoft Enterprise
• Enterprise Value Map for PeopleSoft EnterpriseOne
• Enterprise Value Map for SAP
Technology Integration
• Enterprise Value Map for SAP NetWeaver
• Enterprise Value Map for Oracle Fusion Middleware
• Enterprise Value Map for IBM Software
• Enterprise Application Integration Value Map
Outsourcing Services
• Enterprise Value Map for Outsourcing Services
Human Capital
• Enterprise Value Map for Human Capital
• ERM Value Map
Strategy & Operations
• Enterprise Value Map for Growth Companies
• SCM Value Map
• SCM Value Map for SAP
• SCM Value Map for Service Parts Management with SAP
• CRM for Sales Force Effectiveness
• Enterprise Value Map for Cash Generation (M&A)
• Enterprise Value Map for Value Capture (M&A)
Integrated Service Offerings (ISOs)
• Enterprise Cost Reduction
• Enterprise Portal Offering
• HR Transformation
• Revenue Enhancement
Industries/Segments
• CB: Retail Value Map
• CB: Brand Value Map
• CB: Restaurant Industry Value Map
• FSI: Universal Banking Value Map
• Energy: Oil & Gas Upstream Value Map
• Energy: Oil & Gas Downstream Value Map
• Energy: Oilfield Services Value Map
• Health Care: Health Plans Value Map
• Health Care: Health Care Providers Value Map
• Health Care: Life Sciences
• Public Sector: Government Performance Map
• Real Estate: Engineering and Construction Value Map
• Real Estate: Real Estate Owners/Operators Value Map
• TMT: Wireless Value Map
• TMT: High Tech Value Map

10. 10
To serve your clients well, you need to understand their goals and think from their perspectives
• Strategic Focus: What do we need to do?
• Tactical Execution: How can we do it?
• Clarity and Purpose: Why are we doing what we’re
doing?
• Value Drivers: How important is it to be good at this?
• Competitive Analysis: How good are we at it
currently? How good are your competitors?
• Change and Organizational Readiness:
How ready are we to improve?
Increase
Shareholder
Value
Client Questions:
The Result:
Guidance
and
Solutions
The Enterprise Value Map is also important because it helps us think like a client and
deliver tangible results. The Value Map helps answer the critical questions your clients
can and should ask…
Why use the Value Map?

11. 11
From the Value Map to a productive conversation
Measure & Grade
the client’s
performance
Understand
the key strategies
and competencies
Identify Major
Projects
and key operational
issues
Determine
with whom we
need to
progress ideas
Validate
hypotheses with
clients
What should the
client be good at?
How good are they?
Step 1 Step 2 Step 3 Step 4
Develop
hypotheses and
insights
focused on
performance gaps
Are current projects
aligned with strategic
aims to alleviate pain
points?
How can we help?
C-B
B-
Who should we talk to?
The
Enterprise
Value Map
People
with
power

12. 12
Step 1 – Understand the Strategy
• What is the business model?
• What are the competitive pressures?
• What are the key business issues?
Measure &
Grade
Understand
Develop
hypotheses
Validate
Strategic Priority
Key Business Issue
Identify
Projects
Stakeholders
What does the company need to be good at
to succeed?
Use the Value Map as a framework for
thinking

13. 13
Identify strategic priorities and key
business issues
Strategic Priority
Key Business Issue

14. 14
How well is the company
performing compared to its
peers?
Step 2 – Measure Performance
Shareholder Value
Revenue Growth
Operating Margin
(after taxes)
Asset Efficiency Expectations
Volume
Price
Realization
SG&A COGS Income Tax PP&E Inventory
Receivables
&Payables
Company
Strengths
External
Factors
Total Shareholder Return
Economic Margin
A
C-
C- C- D
C- B+ C- B+ C A
D
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Stakeholders
• How strong is current performance?
• What trends are emerging?
• What are the key areas for improvement?

15. 15
Step 2 – Measure Performance (cont)
B = X-Year Financial Performance Relative to Peer Group
(A = Leading, B = Above Average, C = Average, D = Below Avg.
= Improving / Deteriorating Lately
Relative Financial Performance (X-Year)
Strategic Priority
Key Business Issue
B C- C
C
B D C C C- B
C
Mkt/BookTotal Shareholder
Return

16. 16
What is the organization focused on?
Step 3 – Identify Projects
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Stakeholders
• Can you help them to do the right things?
• Can you help them to doenough of the right things?
• Can you help them to do the right things right?
B C- C
C
B D C C C- B
C
Mkt/BookTotal Shareholder
Return

17. 17
Identify Projects (cont)
= Program/project A
= Program/project B
= Program/project C
= Program/project D
Program or Project
B = X-Year Financial Performance Relative to Peer Group
(A = Leading, B = Above Average, C = Average, D = Below Avg.
= Improving / Deteriorating Lately
Relative Financial Performance (X-Year)
Strategic Priority
Key Business Issue
B C- C
C
B D C C C- B
C
Mkt/BookTotal Shareholder
Return

18. 18
Who should you talk to
about it?
Why do they care?
How will you deliver and
initiate the dialogue?
How does your offer
align with client’s key
needs?
Where does he start?
How does your offer fit
in the client’s
enterprise?
What’s the
management
challenge?
Why is it important?
How Do You
Approach It?
What’s Your
insight?
What’s the
Hypothesis?
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Step 4 – Develop Hypotheses
• Identify key issues and "pain" points
• Develop hypotheses on where you can add most value
Stakeholders

19. 19
Step 5 - Stakeholders: Identify who you know –
Political Balance Sheet
Name/
Title
Pain
Nature of
Relationship
Power Preference Part
Deloitte
Owner
Chan, CEO x Business +5 +5 Advocate Decision
maker
J. Chopra
Viroli,
Finance
Business +2 -4 Challenging Gatekeeper A. Lim
Matsubara,
IT
x Business -5 -5 Opposing Evaluator C. Wright
Ramirez,
Marketing
x Business -1 +5 Advocate Influencer J. Levis
Black,
Company
Secretary
x Business +4 +4 Inclusive Potential
Influencer
C. Wright
Anil,
Operations
Business +4 +4 Inclusive Non-
participant
L. Scott
Rivera,
Controller
x Personal +5 -4 Challenging Decision
maker
C. Gilchrist
Thompson,
Sales
x Business +4 -2 Skeptical Decision
maker
R. Lee
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Stakeholders
©Copyright 2004 by the Complex Sale. Inc. All rights reserved.

20. 20
Step 6 - Validate
Requirements
Needs Survey
Presentation
Close
Client
Emotional &
Political
Logical & Rational
Measure &
Grade
Understand
Develop
hypotheses
Validate
Identify
Projects
Stakeholders
©Copyright 2004 by the Complex Sale. Inc. All rights reserved.

21. 21
3- The Value Initiative Tool Suite
Enterprise Value
Map
A practical tool that links potential improvement initiatives and shareholder value.
It is important because:
– It depicts your value orientation – that we understand the intended business impact
of your efforts.
– It generates terrific conversations and is popular with clients.
– It helps clients (and your teams) focus on the right things.
ValueLink An electronic rendition of the Enterprise Value Map™ that relates Improvement Actions to
IndustryPrint™ business processes and illustrates the breadth and depth of the resources
Our Company has to identify, evaluate, and deliver value-creating initiatives.
MapIt! Functionality within Portfolio Landscape that has been created as a standalone tool. It
creates a project Portfolio Alignment Map using the Enterprise Value Map as an underlying
framework.
PriorIt! Functionality within Portfolio Landscape that has been created as a standalone tool in
Microsoft Excel. It provides a strategic value and risk-complexity matrix assessment to
evaluate projects and help clients prioritize their portfolio.
Portfolio
Landscape
A customizable tool that addresses current and future needs in initiative and project
portfolio management. The tool allows teams to conduct a full portfolio analysis and the
ongoing management process.

22. 22
ValueLink quickly identifies Our Company’s Service
Offerings that address client business issues on the
Enterprise Value Map
ValueLink often provides
hotlinks to various items in
your knowledge management
repositories.
Our Company’s
business solutions
linked to various
aspects of the
Enterprise Value Map
are shown as buttons
on this left hand panel
What is it?:
• An electronic version of the map that allows
users to click through and browse to
associated your company content and
intellectual property through the lens of the
Enterprise Value Map framework and drivers.

23. 23
MapIt! helps determine the alignment of a project
portfolio across value drivers and maps the portfolio
against key business objectives
What is it?
• Part of the Project Portfolio Management tool suite, MapIt! is an access database tool that provides quick and
easy access to the development of a Project Portfolio Alignment Map.
• Users can:
- Input benefit and cost information and allocate it to the Enterprise Value Map Framework
- Customize analysis further using Industry / Service line specific Value Maps as the underlying framework

24. 24
PriorIT! helps to prioritize projects on the basis of the risk
and value trade-offs within the portfolio
What is it?
• As part of the Project Portfolio Management
tool suite, PriorIT! is an excel-based tool
that helps teams to develop a project
prioritization model based on risk and value
criteria
• The tool was extracted from Portfolio
Landscape to be used as a “quick hit”,
bringing a quick view of the projects value
and risk

25. 25
Portfolio Landscape Tool
• Most robust tool
encompassing the full set of
optimization and prioritization
analyses
• Used in engagement setting
only as it requires access to
detailed project information
such as business case data,
strategic data, project
management data and
alignment data, etc.
The Project Portfolio Management tool suite
assists in optimizing and managing project and
program portfolios
MapIt! Tool
• Extracts the functionality from Landscape that allocates project benefits
and costs across the Enterprise Value Map into a standalone tool in
order to provide a quick hit analysis.
• Uses high level cost and benefit data
PriorIT! Tool
• Extracts the
functionality from
Landscape that creates
a risk vs value
prioritization model
into a standalone tool
in order to provide a
quick hit analysis
• Uses high level project
cost data
Set up
Portfolio
Develop
Prioritization
Model CollectCollect
ProjectProject
Collect
Project
Information
AnalyzeAnalyze
PortfolioPortfolio
Analyze
Portfolio
PrioritizePrioritizePrioritize
Project &
Programs
Communicate
& Report
Deploy &
Execute
Portfolio
Monitor
Programs
& Projects
Monitor
Changes
Completed per initiative sponsors
Team Established/
Well Underway
Target Identified
$x$x
$x
$x
$x
$x
Revised Original
Target Identified
Team Established/ Well Underway
Completed per Initiative Sponsors
Translates to a
$x MM annual
run rate
Benefit Tracking Report
Time
EBITDAImpact($M)
FY03 Opportunity
FY05 Target - ΔEP=$200M ΔEBITDA=$330M
Portfolio Landscape
Design Portfolio
Portfolio
Management
Portfolio Monitoring &
Project Execution
Risk/Value Matrix : All Projects
A1
A2
A3
A4
A5
A6
A7
A8
A9
A10
A11A12
A13
I1
I2
I3
I4
I5
I6
I7
I8
O1
O2
O3
O4
O5
O6 O7
O8
O9
T1
T2
T3
T4T5
T6
T7
0
1
2
3
4
5
6
0123456
Risk
Value
Innovation Maintenance Productivity Growth
Project Portfolio Management Tool Suite At A Glance
Risk/Value Matrix : All Projects
A1
A2
A3
A4
A5
A6
A7
A8
A9
A10
A11A12
A13
I1
I2
I3
I4
I5
I6
I7
I8
O1
O2
O3
O4
O5
O6 O7
O8
O9
T1
T2
T3
T4T5
T6
T7
0
1
2
3
4
5
6
0123456
Risk
Value
Innovation Maintenance Productivity Growth

26. 26
Wrap-up
1. What is The Value Initiative?
2. The Value Initiative Components
3. The Value Initiative Tool Suite
4. Q&A