United States29%

Western Europe19%

Central and Eastern Europe

7%

UK6%

France6%

MEA6%

Germany6%

APAC6%

Latam5%

Japan4%

Canada3%

Greater China2%

India1%

FY09 Revenue mix for FSI

Retain &

Attract Customers

Customers

more choice,

more time

Manage & Monitor

Business

Performance

Profit

less risk,

more clarity

Planning &

Strategy

Execution

Competition

act,

not react

Reduce Cost of

Service, IT,

& Training

Cost

do more

with less

Business Insight -BI in Financial Services

Empower employees to:

• Deliver Sales & Service ExcellenceProvide more relevant information and improve decision support

• Channel, Product & Marketing OptimizationUtilize critical business intelligence to unlock business potential

• Reduce IT Costs & Complexity Leverage low cost platform with broad BI capabilities

This solution is designed to empower FSI employees to

make better decisions. Employees can transform data

into knowledge using business intelligence with

advanced analytic, visualization, and performance

management capabilities.

Presentation & Collaboration

Reporting & Analysis

Data Integration & Warehousing

Reporting &Analysis

Presentation

Data Warehousing

• Business InsightBI in Financial Services

Improve organizations by

providing business insights

to all employees, which

leads to better, faster, more

relevant decisions.

Complete and integrated performance management offering.

Pervasive delivery of intelligence through Microsoft’s integrated BI platform.

Enterprise grade and affordable.

Office, Excel, SharePointPC or Mobile

SQL Reporting Services

SQL Analysis Services

SQL Server

SQL Integration Services

Legacy environments

BUSINESS PRODUCTIVITY INFRASTRUCTURE

RICH BUSINESS-USER EXPERIENCE

DATA INFRASTRUCTURE & BI PLATFORM

• Business InsightBI in Financial Services

Leverage the Microsoft Platform

+

The BI Marketplace

BI Definition Reporting, Analysis, Performance Management, Data Warehousing

Importance #1 customer spend again(#1 priority, 4th year in row - Gartner, Jan 2009)

OpportunityBI is recession-proof

Faster ROI than applications (ERP/CRM)40% of market not owned by megavendors

Competitive

Rationalization: “From 10 to 3 vendors”

Oracle, SAP, IBM spent $15B to buy HYSL, BOBJ, COGN.Oracle bought Sun and will use MySQL assets on low end.

IBM is activating 4,000 BI consultants in July.BOBJ’s contributed to 70% of SAP’s software license and support growth in 2008.

Microsoft Value Proposition

Total Cost of OwnershipAdoption/Productivity for the Masses

IT Flexibility and Control

2. Innovation inproducts andbusiness models

Top Financial Services InitiativesMany addressed by Business Insight BI in Financial Services

Business Drivers

Strategic Responses

Technology Initiatives

2. Data management,analytics, andoptimization

3. Enterprise risk andfraud managementsolutions

4. IT governance,integration, andmodernization

5. Business processmanagement (BPM)

6. Real-timeprocessing power

7. Direct client access portals (multimarket)

8. Open integrationand collaboration platforms

9. Client and workforce mobility

10. Multimedia overbroadband

Source: TowerGroup

1. Creative sources ofrevenue

2. Improved riskmanagement andtransparency

3. Product andfunction innovationcapabilities

4. Improved clientexperience

5. Streamlined businessand technologyresources

6. Further globalization of business and sourcing

7. Corporaterestructuring andM&A

8. Holistic datagovernance

9. Interlocked businessoperations

10. Expansion to nichemarket segments

Business Drivers

1. Economic, market,and regulatoryvolatility

3. Demand forperformance,liquidity, and growth

4. Emerging clientdemands forfunction and relevance

5. Marginscompression andoperational leverage

6. Creative fraud andsecurity threats

7. Multidirectionalglobalization

8. Lower barriers toenter andinterconnect

9. Retired, emerging, and ethnic segments

10. Fresh advances in technologies andcapacity

1. Client and businessintelligence

Internal Use Only

http://www.informationweek.com/news/busin

ess_intelligence/analytics/showArticle.jhtml?ar

ticleID=219700574

Spotting BI Opportunities –Banking Business Scenarios

Customer activity expense vs. incomeCustomer profitability dashboardsCustomer profitability segmentationProfit contribution by segmentProduct promotion by profit segmentChannel utilization behavior

Customer Profitability

Determining customer profitability is no easy task for modern banking organizations.

Banks can achieve accurate profitability by analyzing the cost of funds, overhead, deposit

insurance, as well as a customer’s preferred usage of banking services.

Internal Use Only

Deposit/loan growth Deposit mixCustomer profit segmentationHousehold/account growth Loans by branchLoan mixPast due accounts

Branch Performance

Bank branches have a tremendous opportunity to impact the success of any banking

organization by providing the right services and products, to the right customers, at the

best price and at the right time.

Internal Use Only

Measure and analyze campaign resultsImprove response ratesCreate desired customer profilesAttract high-end, profitable clientsIdentify cross-selling and up-selling opportunitiesIncrease the number of profitable products owned by a single householdDecrease acquisition times

Marketing Effectiveness

Due to increasing costs associated with customer acquisition and retention, bankers

must understand the characteristics of successful marketing campaigns and leverage

them to ensure continued growth, profitability, and competitive advantage.

Internal Use Only

Optimize capital and riskIncrease portfolio visibilityView integrated risk across the organizationMap portfolios by industry to insure complianceAlign risks and awards to determine investment opportunityCreate risk-aware profiles and alerting

Risk Management

By giving all business decision makers the ability to analyze risk as it relates to their

portfolios, customers, or industries, banks can increase profitability and ensure

shareholder value.

Internal Use Only

Workflow analysisApplication growth by loan officer, processor and brokerPipeline managementPipeline trendsTime to approvalApproval ratios

Loan Processing

Loan officers, processors, brokers, and lenders need to understand how to decrease

the amount of time it takes to move loans through the pipeline, while maintaining the

quality of their work.

Internal Use Only

Customer loss and product cancellation analysisCustomer satisfaction scorecardsAt-risk customer profilesAt-risk customer alertingAccount behavior analysisCustomer appreciation initiatives targeted toward at-risk customers

Customer Retention

Banks can ensure they are not losing customers to the competition by understanding

the behaviors and indicators of at-risk customers, and taking timely, corrective action.

Internal Use Only

Commercial Card Merchant Services

Customer Example

Have they changed ?

From To

Team Position Legacy Leading

MI available 2 weeks 2 hours

Analysis Non-existent Infant :Drill-down view

Users 10 technical skilled 100+ business people

Tools Business Objects+SAS ProClarity + Excel

Information Data Providers Business Insight

Project many times lower cost than other MI projects within Barclaycard

……and deployed !!!

Lower Cost – Faster Time to Market