“The Pulse of Enterprise“The Pulse of EnterpriseThe Pulse of Enterprise The Pulse of Enterprise Content Management”Content Management”

Pamela Doyle, DirectorPamela Doyle, DirectorFujitsu Computer Products of AmericaFujitsu Computer Products of America

Director, AIIM BoardDirector, AIIM Board

How has the current state of the economy affected your businesses’ revenue?

Increased 16%16%Increased 16%16%

Flat 38%38%

Decreased 46%46%

TotalTotal 100%100%TotalTotal 100%100%

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Has the economy caused you to do any of the following?

Please check all that apply:Please check all that apply:

Freeze hiring of new positions or reduce headcount 46%46%Freeze hiring of new positions or reduce headcount 46%46%

Reduce marketing spend 36%36%

Reduce travel & entertainment budgets 48%48%

Reduce employee benefits or compensation 20%20%Reduce employee benefits or compensation 20%20%

None of the above 31%31%

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Has the economy adversely affected your ability to secure credit?

Yes 24%24%Yes 24%24%

No 52%52%

Same 24%24%

T t lT t lTotalTotal 100%100%

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Has the economy affected the sales cycle for selling ECM/DI technology?

Y l t d th l 73%73%Yes, elongated the cycle 73%73%

No, shortened the cycle 4%4%

Same 23%23%

TotalTotal 100%100%TotalTotal 100%100%

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Vertical Markets

Markets Strong Strong SalesSales

Declined Declined SalesSales

Healthcare 59%59% 23%23%

Government 49%49% 39%39%

Education 17%17% 46%46%Education 17%17% 46%46%

Legal 18%18% 26%26%

Finance 15%15% 63%63%

Accounting 18%18% 39%39%

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Wh k f IT hWhat key areas of IT have your customers focused their spending?

Please check all that apply:

ECM/DI 42%42%

S it 40%40%

pp y

Security 40%40%

Servers 32%32%

Storage 39%39%Storage 39%39%

Mobility 22%22%

Networking 26%26%g %%

Application software 39%39%

PCs, Workstations, Laptop 17%17%

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H i d f h f ll iHave your customers cited any of the following reasons as motives for accelerating their IT purchases?

Please check all that apply:

Reducing staff 39%39%

pp y

Automating or accelerating processes 51%51%

Long term cost reduction 49%49%

Need to utilize fiscal budget 32%32%Need to utilize fiscal budget 32%32%

Increased business 5%5%

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Business Drivers

• Cost Reduction

• Enhance Customer Service

• Business Continuityy

• Regulatory Compliance

• Environment

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Di t ib t d C t C ti t G i M tDistributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Please describe the current state of Distributed Scanning and Capture within your organization

Moving capture to the point of originp g

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Distributed Capture – AIIM Industry Watch

Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Drivers• Cost of shipping

• Reduce gas consumption

• Alternative to faxing

• Eliminate mail float• Eliminate mail float

• Faster access to content

– Accelerate business processes

– Faster access to revenue

– Enhance customer service

– Integrate paper into to workflow

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Integrate paper into to workflow (business processes)

Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Drivers

• Expedite transactional processes

• Broad adoption of Microsoft Office Sh P i t SSharePoint Server

• Lower cost personal, workgroup and departmental scanners with advanced pcapabilities

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Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Market Segments (New)PersonalPersonalR t d 18 30 t i d $750Rated 18-30 ppm, most priced <$750

Desktop/WorkgroupDesktop/WorkgroupRated 16-30 ppm, most priced $750 - $1,499

D t t lD t t lDepartmentalDepartmentalRated 31-50 ppm, most priced $1,500 - $3,999

Low Volume Production (LVP)Low Volume Production (LVP)Rated 51-75 ppm most priced $4 500 - $9 999Rated 51-75 ppm, most priced $4,500 - $9,999

Mid Volume Production (MVP)Mid Volume Production (MVP)Rated 65-100 ppm, most priced $10,000 - $34,999

High Volume Production (HVPHigh Volume Production (HVP))

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High Volume Production (HVPHigh Volume Production (HVP))Rated >100 ppm, most priced $35,000+

InfoTrends – December ‘2008

• “Many companies of varying sizes are adopting distrib ted capt re for lo ol mes and ario sdistributed capture for low volumes and various applications.”

• “Forecasted large growth in distributed capture – especially the Personal segment. They expect we will exceed expectations.”

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Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Name the TOP TWO Benefits or Potential Benefits of Distributed Capture Percentages

Eliminate or reduce shipping costs (no longer need to ship documents back and forth between offices) 20%20%

R d ft i l t ti d d i i t ti t ( di t ib t d l ti li i t thReduce software implementation and administrative costs (a distributed solution eliminates the need for “fat client” installation and maintenance 9%9%

Reduce equipment costs (less reliance on high-end production scanners in every location) 9%9%

S i l ti d i d i th ( ti i l b t diff ti t i ) 15%15%Scan in one location and index in another (optimize labor cost differentiates across regions) 15%15%

Improved efficiency (get access to information immediately; eliminate “mail float”) 59%59%

Automate processes (improve processes by eliminating paper at point of origin) 45%45%Automate processes (improve processes by eliminating paper at point of origin) 45%45%

Information security (document is captured at its origin and securely stored electronically) 27%27%

Risk management (transform paper information to electronic information that can be managed through disaster recovery procedure) 16%16%

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Distributed Capture – AIIM Industry Watch

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through disaster recovery procedure)

Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

Do you use Distributed Scanning and Capture in this process? (of those using Distributed Scanning and Capture somewhere in their organization)

23

23Product Management

Sales and Marketing

38

23Sales and Marketing

Human Resources

59Finance and Administration

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Distributed Capture – AIIM Industry Watch

Distributed Capture Continues to Gain Momentum as the Preferred Capture Deployment Model

How would you compare the ROI of your Distributed Scanning and Capture implementations with other technology investments?

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Distributed Capture – AIIM Industry Watch

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Distributed Capture has Spawned a New Capture Model Called “Transaction Capture”

Distributed capture has been so effective in streamlining transaction-intensive processes that a new model called “Transaction Capture” has evolved

Applications:• Invoice processing

p

• Invoice processing

• Expenses

• Order processing

• HR

• Any application involving static documents

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static documents

Distributed Capture has Spawned a New Capture Model Called “Transaction Capture”

Benefits:

Eli i t l t i l d• Eliminate lost or misplaced

• Immediate access

• Expedite business processes

• Audit trail to demonstrate compliance

Top application is accounts payable

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Distributed Capture has Spawned a New Capture Model Called “Transaction Capture”

Top Benefits of Imaging and Workflow (AP) Source: Aberdeen Group, March ‘2008

R t i t f t i i 65%65%Remove paper at point of entry invoice 65%65%

Reduce time spent on inquiries 63%63%

Lower administrative costs of process & lower 56%56%headcount 56%56%

Automate task with workflow rules 55%55%

Improve reporting and analysis capabilities 48%48%Improve reporting and analysis capabilities 48%48%

Improve financial audit capabilities 43%43%

Eliminate duplicate and over payment 40%40%

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p p y

Distributed Capture has Spawned a New Capture Model Called “Transaction Capture”

Definition of Maturity Mean Class Performance

Best in Class – Top 20%$4.60$4.60 cost to process an invoice

4.44.4 days time to process

Industry Class – Middle 50%$12.20 $12.20 cost to process an invoice

14.414.4 days to process

Laggard Class – Bottom 30%$55.00$55.00 cost to process an invoice

34.4 34.4 days time to process

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Source: Aberdeen Group

Distributed Capture has Spawned a New Capture Model Called “Transaction Capture”

Actual customer testimonials report:

• Reduce cost of processing invoices by 25 to 65%

• Reduce paper by up to 90%

• Reduce time to process invoices by 40+%

• Reallocate 25 – 50+% of AP personnel

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The Obama Factor

• Invest 50B in electronic health

• Wants e-Health records in five yearsWants e Health records in five years

• Promises “new chapter” on climate change

• More compliance regulations

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Recommendations

• Cost reductions sells well during a recession

• ROI rules

• Market

• Leverage installed baseLeverage installed base

• Stay focused

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Recommendation

• Smaller projects with “quick wins”

• Look for opportunities in “recession-less” markets

• Maintain customer relationships

• Stay close to stalled projects• Stay close to stalled projects

• Align with strong vendors

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Our Commitment

• Participating in AIIM public relation campaign

• Marketing programs• Marketing programs

• Best of breed products, service and support

Our Appreciation

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