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PeopleSoft Application Upgrades: Duke Energys Story

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About Us Kelley Willis IT Team Lead PeopleSoft and Testing Services 2

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 3

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Company Profile 150+ years of service Fortune 500 $100 billion in assets Stock dividends for 80+ years Traded on NYSE as DUK Dow Jones Sustainability Index Completed Merger with Progress Energy to form the Largest Electric Utility in U.S. Electric Service Areas in 6 states: North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky 4

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Company Profile (cont.) 104,000 square miles of service area 49,600 MW of regulated generating capacity 7.1 million retail electric customers 500,000 retail gas customers Generation Facilities in North, Central and South America 5

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Carolinas Service Area and Generation Facilities 6

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Midwest Service Area and Generation Facilities 7

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Florida Service Area and Generation Facilities 8

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International Facilities 9

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IT @ Duke Energy 3000+ IT Personnel Centralized Break Down: Functional Support Application Support Operations (Server, DBAs, Network, etc) PeopleSoft Specific: 4 PeopleSoft Technical Administrators 12+ PeopleSoft Application Support/Development Resources (on\off shore) 10

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 11

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12 PeopleSoft History @ Duke Energy 1997 19982000 Financials HR Version 6.0 Travel and Expense Financials HR Version 7.5 HR Version 5.0 2002 Travel and Expense Financials HR Version 8.0 2003 Supply Chain Version 8.0 2007 Financials Version 8.9 2009 Travel and Expense Version 8.9 2012 Travel and Expense Financials Version 9.1

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PeopleSoft @ Duke Energy PeopleSoft 9.1 Modules: General Ledger (Journal Entries: ~25K (headers), ~4M(lines) /month) Accounts Payable (Vendors: ~1600) Accounts Receivable (Bills: ~1200/month) Project Costing (Projects: 800+) Travel and Expense (Reports: ~7000/month) PeopleTools 8.52 13

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PeopleSoft @ Duke Energy Database Platform: Oracle 11g R1 on AIX Web, Application, Process Scheduler (nVision/ Crystals) Windows 2008 Servers Virtualized, VMWare Process Scheduler for Batch (SQR, COBOL, AE) AIX 6.1 Cybermation ESP Scheduling Agent 14

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PeopleSoft @ Duke Energy PeopleSoft Paths(1 Production Support and 2 Project) Comprised of 14 Instances: 3 Demo 3 Dev 3 Test 1 QA 1 Performance Test 1 Training 1 Production Support 1 Production Environment 15

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16 PeopleSoft @ Duke Energy

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 17

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Past Mistakes Stopped loading tools upgrades Implementation failures Insufficient testing Lack of application maintenance No strategy Broke/fix situation Excessive customization Thousands due to no oversight/governance Painful, expensive bundles and upgrades Little interest from non-IT partners Maintenance = burden 18

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Seeds of Change Lack of vision SOX deficiencies Lengthy financial close Lack of automation Conflicting reports No scalability Excessive overtime, rework, etc 19

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 20

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The End Goals Supportable systems Scalable systems Business/IT synergy Defined strategies and processes Automation Centralized governance Commitment to best practices and standards Common platforms 21

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How We Reached Our Goals Financial Re-Engineering Project 2006-2010 (FRE) PeopleSoft Upgrade (8.0 to 8.9) Database platform change (DB2 to Oracle) New Financial HUB (scalable reporting platform) Defined methodology across all projects. Adopted best practices FRE evolved into the Finance Program Office (FPO) Financial systems roadmap Commitment year after year Roadmap items include: Upgrades/Patching and incorporation of IT operations changes 22

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23 Financial data validation and integration is controlled through the FIHUB The FIHUB is the single source for management and regulatory reporting Future systems replacements will be simplified as all point- to-point interfaces have been eliminated Financial data validation and integration is controlled through the FIHUB The FIHUB is the single source for management and regulatory reporting Future systems replacements will be simplified as all point- to-point interfaces have been eliminated Finance IT Architecture

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Project Focus Across all efforts regardless of size Functional and technical leadership Internal/dedicated and experienced team lead resources Production Support involvement Leverage off-shore resources, when needed Focus on change management from outset Phase gate approach 24

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 25

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PeopleSoft Strategy Maintenance packs annually Bundles and Individual updates will be applied on an as needed basis only. All activities defined and detailed on work plans PeopleTools applied on an annual basis Two flavors Major upgrade (i.e. 8.51 to 8.52) A patch or dot release (i.e. 8.52.12 to 8.52.14) 26

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PeopleSoft Strategy (cont.) PeopleTools Critical Patch Updates (CPUs) Quarterly basis, as delivered. These will be treated the same as other Security Patches applied to Dukes infrastructure The CPU will be applied to Test for a period of one month After one month the patch will be applied to Production No set test phase will be executed for these small patches 27

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How We Do It PeopleSoft efforts at Duke are divided into phases: Plan & Analyze Design Build System Testing Deploy Dedicated project paths Production changes retrofitted 28

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Tools We Utilize Change Impact Analyzer Analysis\Design Change Assistant Build\Deploy PHIRE Build\Test\Deploy Quality Center Test Performance Testing Tools (HP Performance Center) Test PeopleSoft Test Framework Test Testing Center of Excellence Test 29

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PeopleSoft Test Framework - Overview Automated testing framework delivered with PT 8.50 and later at no additional cost Significant step in Oracles push to reduce upgrade project costs Test scripts are tools objects which are migrated between environments Fully functional testing suite including: Test script repository Record and playback for scripting Script execution tracking Script change-impact analysis tool 30

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PeopleSoft Test Framework Overview (cont.) Suggested uses for PeopleSoft Test Framework: Impact analysis for tools and application upgrades Storing core set of scripts Unit and String testing Pass 1 environment shakeout testing Regression testing Execution of scripts with defined input and results 31

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PeopleSoft Test Framework Benefits Benefits Significantly reduces change impact analysis time by identifying impacted scripts Automated testing to increase efficiency and accuracy Reduces testing time and resources Visibility of usage of online functions (usage monitor) Test scripts can be easily migrated between environments Ensures coverage of functionality Enables consistent testing across environments No additional software cost 32

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PeopleSoft Test Framework Challenges Challenges Shift in thinking for unit and regression testing Forces structure for test data rather than on-the-fly testing Requires recording of all core test scripts (complete) Test executions are tracked in PeopleSoft...not Quality Center If using QC and PTF together, scripts would have to be maintained in both places. Script execution could be done in PTF with link to results pasted to QC. 33

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Agenda About Duke Energy PeopleSoft at Duke Past Mistakes Our Change in Course How Duke Keeps Pace With PeopleSoft On the Horizon at Duke Questions? 34

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PeopleTools upgrade from 8.52 to 8.53 Timeline: March 2013 April\May June\July Build System Test & Performance Test Training Analysis & Design August 2013 Deploy 35 Current Example

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In Flight PeopleTools 8.53 Upgrade in 2013 Evaluate Selective Patching Virtual Demo Environment Accept Patches that are desired Robust process to apply feature packs Oracle 11G R2 Database Upgrade 36

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Recap Maintenance strategy needs to map with enterprise IT goals Strive to best-in-breed for our accepted process Add value and save time for our user by streamlining testing Have a game plan to stay as current as you can 37

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Kelley.Willis@Duke-Energy.com 38 Questions?