Top 5 Technology Trends Your Small Business Can't Afford To Miss In 2008

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1 Today s Presenters NetSuite Dr. Katherine Jones Director of Marketing, NetSuite Top 5 Technology Trends Your Small Business Can't Afford To Miss In 2008 The Top 5 Technology Trends for 2008 Anita Campbell CEO Small Business Trends NetSuite Customer Dan Hoskins COO and GM Sundia Inc. NetSuite Company Overview Agenda About NetSuite Top Five Trends for 2008 Anita Campbell NetSuite Customer Sundia, Inc Questions and Answers Strategy: Deliver integrated business applications as online services to small and mid-sized businesses Results: Named fastest growing software company in North America Largest integrated on-demand customer base worldwide Global presence, with offices in California, Toronto, London, Sydney, Singapore, Philippines and Tokyo The CPA Technology Advisor Technology Marketing Corporation's Best Software Service NetSuite: 3 Big Ideas The Traditional Challenge Create One System To Run A Business Warehousing Web SFA Accounting Support 1

2 The 2008 Way Customer Portal Vendor Portal Web Site Web Store Marketing Campaigns Sales Force Automation Support Mgmt Partner Mgmt Order Mgmt Shipping Financials Purchasing Inventory Payroll NetSuite Solution: One System. No Limits. Self- Service Personalized Pricing/Content Site Hosting Transactions Affiliate Marketing Order UPS Online Fulfillment Tools Inventory Financials Purchasing Campaigns Customer Support Record Transactions/ Communications All Data In One Application No Costly Integration Reduce Redundant Data Entry & Maintenance Integrated Data & Business Workflow Real-time Visibility Across Enterprise Modular Implementation Role Specific Usage Increase Success Rate NetSuite: 3 Big Ideas NetSuite: Manage Your Business, Not Your Software Create One System To Run A Business Deliver System via Internet Manage it Yourself Style HARDWARE DESKTOP OS SERVER OS DATABASE APPLICATION HARDWARE DESKTOP OS SERVER OS DATABASE APPLICATION HARDWARE DESKTOP OS SERVER OS DATABASE APPLICATION License License License License License License License License License License License License License License License Maintain Maintain Maintain Maintain Back-up Maintain Maintain Maintain Maintain Back-up Maintain Maintain Maintain Maintain Back-up Patch Patch Patch Tune Upgrade Patch Patch Patch Tune Upgrade Patch Patch Patch Tune Upgrade Replace Replace Replace Upgrade Migrate Replace Replace Replace Upgrade Migrate Replace Replace Replace Upgrade Migrate NetSuite Style HARDWARE DESKTOP OS SERVER OS DATABASE APPLICATION Subscribe Why Software-as-a-Service? NetSuite: 3 Big Ideas Lower cost of business solution ownership State-of-the-art technology More rapid deployment Improved security, performance, and availability Reliable access to data anywhere, anytime Greater ability to scale as business needs change Predictability of costs over time Avoidance of technology lock-in Focus on your core business Create One System To Run A Business Deliver System via Internet Tailor & Extend To Company Requirements 2

3 SuiteFlex Business Process Customization & Integration SuiteScript Customization CRM Ecommerce Acct/ERP SuiteTalk Integration SuiteBuilder Personalization, configuration SuiteScript SuiteTalk SuiteBuilder SUITEFLEX Running Your Small or Mid-Sized Business The Top 5 Technology Trends for 2008 Anita Campbell CEO Small Business Trends Small Business Trends LLC Headquartered in Cleveland, Ohio Since 2003 Trends information resource Award-winning website Radio: Tuesdays at 1:30 PM EST (www.smbtrendwire.com) Consulting about trends and opportunities they present 5 Trends Not to Ignore in Rise of Micro-multinationals 2. Distance Working Works! 3. IT Still Drives Productivity Gains 4. Relationships Rule 5. The Web takes Center Stage Trend #1: Micro-multinationals Technology has ushered in micro-multinationals Younger -- sometimes only months old Smaller 10 employees or even fewer 97% of exporters in the U.S. are small businesses Multishoring and global production networks: sourcing pieces/parts wherever it makes sense Offshoring got black-eye, but pervasive (and quiet) Manufacturing: toys; consumer goods Knowledge workers: accounting; customer support; marketing and Web support; software development 3

4 Trend #1 Implications Invest in your Web presence: Expands your working hours to be open 24/7 Time zones and language no longer an absolute barrier Integrate with back office for real-time business: Empower customers to do as much as possible without requiring human intervention especially because of time/lang differences Use technology for internal productivity Tech keeps cost structures low communications very effective Real time visibility essential when operations are scattered Collaboration tools are crucial Trend #2: Distance Working = Virtual Businesses Startups used to be 3 guys in a garage. Today, 3 people scattered around the globe, united with the glue of technology Same goes for more mature companies Not just overseas domestically too 10+ million Americans telecommute 1 day/week Trend #2 Implications Outsource non-core functions Knowledge workers sourced (almost) anywhere: Web work, marketing and service: Philippines; India Software development and design: Russia; Vietnam; Romania Getting started: Elance.com, Rentacoder.com and AgentsofValue.com Or go for feet on the street companies help establish presence Integrate time zone differences into business cycles Multi-user, Web-based technology makes it work: Dashboards, Intranets and collaborative online workspaces Tools with currency support and language support Web based SaaS applications Software as a Service (Saas) growing at 43% average annual compound growth Trend #3: IT Still Drives Productivity Gains #1 reason for U.S. productivity gains: business use of information technology, per Fed Reserve Bank Per U.S. BLS, productivity growth for 3 rd quarter 2007 exceeded 6% Businesses have plenty of opportunities to improve productivity -- IT is the key Every company can find ways to squeeze out efficiencies and improve processes Trend #3 Implications The economy goes in cycles; in uncertain times the need to invest for productivity becomes even greater Remember the jobless recovery after 2001? Invest in tech systems to pull more to the bottom line Get the smartest possible systems: Good design of systems can double company productivity vs. poor systems That goes for everything from your accounting system to your company Intranet to your Trend # 4: Customer Relationships Rule With national and global competition, customer relationships are more important than ever With growth of mega-corporations, cost structures favor big economies of scale Compensate with high-touch service All business is personal Most industries and markets have finite supply of customers, right? Less expensive to retain than get new 4

5 Trend # 4 Implications Use technology to enhance service: Online order taking; intelligent cross-selling ala Amazon Personalize Web portals for each customer & partner Online help desks and knowledge-bases allow self-serve Live help/ click-to-call during main work hours Implement systems to measure key metrics E.g., revenue per customer and customer acquisition cost Invest in CRM - Not just the software, but train employees to use it. - Work into management processes. Inspect what you expect. Trend #5: The Web Takes Center Stage Pace of transition to Web is accelerating Cyber Monday set records this year up 21% over last year Not just retail: from service businesses to manufacturers Most sales purchases begin or end online per Pew Internet: 78% use Internet to research purchases online 65% use Internet to buy Even brick and mortar and/or local businesses need to be transitioning more to W b Trend #5 Implications Regularly update your Web front end small enhancements vs big updates Follow the big companies lead by investing in: #1: Search engine optimization #2: Paid search marketing #3: marketing Intelligent lead generation solutions Use automated solutions for cross-selling and up-selling Use analytics to drive results Integrate with back end systems for Tech Trends Recap Technology gives you power to: Expand globally no matter what your size Operate virtually or with distant workforce Improve internal productivity Treat your customers special and strengthen relationships Take advantage of the accelerating transition to Web-based business Dan Hoskins COO and GM, Sundia Corporation. 5

6 About Sundia Headquartered in Oakland Founded in 2004 Employees = 7 2 Lines of Business: Manufacturing of Value-Added Produce Items: Pasteurized and processed fruit in plastic Cups (Sundia True Fruit) Watermelon Juice Sundia Branded Watermelons Running Sundia Everything outsourced Call center, order desk = Philippines 4 reps in the Philippines Accounting = India Remote Team: Marketing = Santa Cruz National Sales Manager = San Diego National Brand Manager = Florida Oakland office 3-4 employees 44 independent brokers throughout North America Results World s fastest growing produce brand 100 million watermelons 32% of all watermelon in US has Sundia brand Launched line of fruit in plastic cups found in produce departments Fruit sourced globally Packaged in different locations worldwide Business Proposition Branding: 9 times out of 10 people buy a brand over unbranded fruit Business opportunity: Fresh fruit branding No brand on watermelon previously Sundia Establish a network of growers and shippers that will adopt the Sundia Brand for their melons Aggregate buying power for supplies needed to grow melons Pass savings on to growers Rebates paid to Sundia by suppliers based on growers purchases of supplies Value-added Produce Fruit that has been processed so it is ready to consume Fastest growing trend in produce industry High margin/low shrink Example: whole lettuce vs bagged, ready to eat salad How We Work: Retailer carries the product Places order with order desk in the Philippines (phone, , EDI, or fax options) Order entered into NetSuite Transmitted to warehouse ( outsources third party warehouses) Warehouse fulfills the order, sends bill of lading to order desk; enters into NetSuite Nightly, India opens NetSuite and pulls Bills of Lading and invoices Payments sent to Oakland 6

7 External Users of NetSuite Broker Portlets All brokers use NetSuite See how their own accounts are doing payments, commissions, etc. Investor portlets Can see their equity position Value at that point Revenue, margins, income information Saves CEO s from reports to each of the 65 investors NetSuite Use Intertwined in all aspects of the business CEO Goes to sleep with NetSuite KPIs on the dashboard Real-time measure tool on all aspects of the business production to cash NetSuite Suite Migrated from QuickBooks except for bill pay Financials Forecasting AR, AP, GL Dashboards Employee Center Inventory Lot tracking CRM Customer contact management Suppliers and customers Commission management Sundia Results with NetSuite Before: Educated guessing Less ability to utilize results to manage trends With NetSuite Knowledgeable base for decision-making Speeds up everything to real time All information at our fingertips Growing at 10% clip per week in revenue since Sundia moved to NetSuite Eliminated 15% of our production costs NetSuite Summary Question and Answer Session Move beyond point packages to complete solutions. NetSuite solutions support your entire company sales, service, accounting, Web and more eliminating transfer of data between multiple applications. Get a complete view of your company. NetSuite solutions provide each employee realtime dashboard views into key business data from any department allowing you to make more informed business decisions. Eliminate IT concerns and costs. NetSuite is an integrated software service that eliminates your concern over software upgrades and hardware maintenance allowing you to focus on running your business. Benefit from greater functionality. NetSuite functionality supports your finance, inventory, sales, Web store processes helping you solve complex issues as you grow. Go Global: Grow your company without software barriers. NetSuite solutions support companies with one or thousands of employees meaning you never have to worry about quantity of transactions, users, or data. Switch to NetSuite easily without disrupting your business. NetSuite's solution is geared to help you easily get started using our service meaning you can retool your business for growth without interrupting operations today. 7

8 Visit One System. No Limits. 8

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