www.wedotechnologies.com RAID RETAIL PROTECT PROFITS, DETECT FRAUD AND CONTROL SUPPLY CHAIN OPERATIONS WITH END-TO-END AUDITING SOFTWARE

www.wedotechnologies.com RAID RETAIL PROTECT PROFITS, DETECT FRAUD AND CONTROL SUPPLY CHAIN OPERATIONS WITH END-TO-END AUDITING SOFTWARE

Index WEDO TECHNOLOGIES RAID RETAIL ENTERPRISE BUSINESS Assurance (EBA) END-TO-END SOFTWARE THE RETAIL CHALLENGE AddressING Key Business Challenges with RAID Retail _ EBA 5 Processes Empowering users to implement an EBA strategy USE CASE: 7 ELEVEN

WeDo Technologies RAID Retail 3 WHAT IS ENTERPRISE BUSINESS ASSURANCE? EBA EXPLAINED. THINKING BY ANALOGY. The Enterprise Business Assurance (EBA) concept can be compared to the dashboard of a car. Well, not the dashboard alone, but also the sensors connected to each critical component of the vehicle that reports back to the dashboard where the information is made visible to the driver. THROTTLE POSITION SENSOR AMBIENT AIR TEMPERATURE SENSOR ABS WHEEL SPEED SENSOR DETONATION (KNOCK) SENSOR COOLANT LEVEL SENSOR CRANKSHAFT POSITION SENSOR STEERING RATE SENSOR REAR WHEEL LEVEL SENSOR Sensors can help cut fuel consumption and harmful emissions. They play a part in boosting engine efficiency and vehicle safety to ensure greater driving comfort and enjoyment. To fulfill the task of capturing and transmitting data. They also need to function perfectly in the presence of other sensors, in addition to offering a long service life. LIKE TODAY S CAR, COMPANIES THAT ADOPT EBA ARE LOADED WITH BUSINESS SENSORS Through the use of dashboard and sensors, anomalies or abnormal activity anywhere in the vehicle can be easily spotted and the driver will be notified through an alarm. Like the car sensors and the dashboard, think of Enterprise Business Assurance (EBA) software as the technology that assists modern corporations in reducing business losses by improving performance. Through CONTINUOUS MONITORING, the costs and limitations of manual oversight can be reduced by instituting automated controls in financial applications and other business support systems. Enterprise Business Assurance (EBA) systems (like WeDo Technologies RAID) work exactly the same way as a car dashboard, only instead of being designed for a car, they are designed for companies that want to run their business more efficiently. According to each company s strategy, software sensors are designed and strategically placed into company departmental operations such as Human Resources, Marketing, Sales and so on. A dashboard with a host of warning lights is designed to let you know about the overall status of the company.

4 WeDo Technologies RAID Retail Enterprise Business Assurance Software RAID EBA Software enables business to become more efficient. By providing enhanced controls, earlier access to information, and by reducing complexity, we help retailers all over the world to assess, design, implement and evaluate the health of their business through continuous controls monitoring. POTENTIAL BENEFITS OF EBA SOFTWARE A proven mechanism to automate manual controls and processes Reduce the amount of time spent on error correction and focus on valuable analysis instead Reduced manual SOX testing Move from frequent oversight to continuous oversight to avoid potential regulatory non-compliance Reduce ERP system or business process limitations and inefficiencies A platform to continuously assess risk for audit planning and scoping purposes Increased coverage and frequency of audits Quickly implement an end-to-end tool capable of root cause analysis for errors, policy violations, fraud, and misconduct

WeDo Technologies RAID Retail 5 RAID is a unique software solution that monitors and correlates multiple applications that support all major business processes for retailers.

6 WeDo Technologies RAID Retail END-TO-END SOFTWARE SELF-SERVICE ANALYTICS DASHBOARD & REPORTING ADAPTIVE CASE MANAGEMENT WEB PORTAL ETL & CEP MEASURING AND AUDITING TOOLS UNIFIED VALIDATION ENGINE POWER to the Users! RAID Retail solution enables retailers to proactively identify risks, alarm triggers and actions to reduce financial losses from business process inefficiencies and lack of control. This latest software combines the most valued functions of many productivity platforms into one unique solution, making it far quicker and easier to audit, protect profits and preserve the bottom line. Designed with user empowerment at its core, RAID Retail links IT and business functions, enabling them to work seamlessly with one another across key areas such as data collection, business monitoring, visualization and alerts. RAID's ETL & CEP _Data collection is as a strategic requirement, for auditing retail business performance. Extracting data from operational systems, transforming and merging that data, and creating an integrated data structure for auditing purposes is one of RAID s key features. RAID s ETL provides the ability to extract, transform, and load (ETL) data from different sources into a database or data mart to make it available for further contextualized analysis. RAID s ETL and Complex Event Processing (CEP) capabilities have been developed to collect data and context for analysis from the latest data repositories such as Hadoop distributions for supporting big data, in-memory database management systems (DBMSs), and logical data warehouse architectures. RAID's MONITORING AND MEASURING TOOLS _Business process owners who don t apply predictive metrics to cross-boundary business processes leave their organizations vulnerable to risk and inability to execute their business strategies. To avoid these results RAID provides a set of tools that provide augmented monitoring and measuring capabilities include: _Visual KPI designer _Business Sensor tool which improves KPI awareness _RAID Enterprise Business Assurance Cockpit, which provides enterprise visibility of business performance across all processes _Balance ScoreCards align business activities to the vision and strategy of the organization

WeDo Technologies RAID Retail 7 RAID's UNIFIED VALIDATION ENGINE (UVE) _Ensuring the accuracy of data is a core function of RAID Retail, helping to increase efficiency and empower users. RAID s UVE is a specific collection of design-time and runtime software that enables retailers to explicitly define, analyze, execute, audit and maintain a wide variety of business logic, collectively referred to as rules. Due to its intuitive graphical modeling features, RAID s UVE supports you throughout the iterative process of creating, managing, optimizing and maintaining business rules. SELF-SERVICE ANALYTICS _An investigation often requires more than a simple query. Because data needs to be transformed, or splitting a query into multiple steps is often recommend to reduce complexity or manage performance impact. For these use cases RAID now offers Data Blueprints, where each analysis is designed as a flow, in a much more intuitive way. The tool allows users to explore data and experiment with visualizations on their own, without frustration with IT backlogs and lack of flexibility. RAID's WEB PORTAL _RAID WEB PORTAL helps an organization efficiently construct consistent, digital touchpoints across the enterprise during business process Monitoring and Controls. It delivers a superior experience mainly due to: _Organization Hierarchy _Mobile Support _Responsive Design ADAPTIVE CASE MANAGEMENT _Resolution time (or TTR for time-to-resolution) helps organizations track the average amount of time spent resolving issues. RAID s new case management tool was built from scratch and specifically designed to reduce time to resolution. We have done this by enabling the end user to understand and maintain the pre-defined workflow. _Prepare and analyze data analysis before presenting the case to the analyst _Track all case activity and history in the case timeline, define SLAs and escalation paths _Monitor process performance from a technical and business perspective RAID's DASHBOARDING AND REPORTING _Based on WeDo s collaboration with its customers, RAID Software establishes a new benchmark in terms of User Experience. RAID presents a completely new FLAT DESIGN, which is more intuitive and easier to use, thanks to new visual components, smart highlights, infographics and extensive use of tips for increased productivity.

8 WeDo Technologies RAID Retail RAID RETAIL The retail industry is moving rapidly. With the digital tools introduced to the market, the proliferation of the digital channels, and increased data complexity, it has never been more important for retailers to develop an Enterprise Business Assurance (EBA) strategy in order to identify, control and mitigate a variety of emerging business risks. RAID Retail presents a new set of technologies capable of monitoring your business to automatically identify potential areas of revenue loss and fraud and optimize across key applications. With the implementation of RAID Retail, retail businesses are able to find and correct issues immediately, reducing inherent business risks, automating compliance obligations, and eliminating waste. Protecting store profit and assuring end-to-end inventory control, are just some of the processes that RAID Retail helps to automate by identifying exceptions and anomalies to business data. This helps to eliminate time-consuming, labor-intensive, and mistake-prone manual processes. Along with profit protection and fraud management, our auditing processes also help to reduce wasteful spending by identifying and tracking hidden costs, reducing the time and effort spent accounting for expenses and payments, and preventing outright fraud. By continuously auditing and monitoring 100% of transactions, RAID Retail reduces auditing costs across several internal departments while increasing the overall reliability of business processes. Retailers save hundreds of hours each audit cycle by eliminating time-consuming manual processes and having access to audit-ready reports that demonstrate compliance.

WeDo Technologies RAID Retail 9 THE RETAIL CHALLENGE Losses in the retail industry are a constant concern. Businesses can lose money in different ways and from varied sources and the impact can be quite significant. But, where exactly are retailers losing $ trillions of their potential revenues? 93% SUPPLIER BILLING $60B SHRINK (theft, damage, employee error or bad process) 64% of store shrinkage is directly caused by a breakdown in, or the absence of, effective best practices, while 36% of store shrinkage is caused by theft and/or misdeeds Percent of retailers that would expect to increase their margins with better supplier deal integration (OOS cost retailers 6% of total sales) (OverStocks) $120B $ 40B $160B $60B (Up to 20% expire before sale) EXPIRATION OF PERISHABLES STOCK MANAGEMENT (over-stock or out-of-stock) $2.25T (75% of cost is Getting the Product to the Shelf) SUPPLY CHAIN Sources: IDTechEx IBM Martec Study

10 WeDo Technologies RAID Retail HOW TO ADDRESS KEY BUSINESS PROCESSES WITH RAID RETAIL RAID solution to each process Short description Issues it supports or resolves Departments STORE PROFIT PROTECTION RAID Store Profit Protection provides a pre-defined set of audit features and business sensors that allow managers to evaluate the sale sub-process in order to actively identify potential fraud and/ or discount abuse. It allows the user to monitor discount & loyalty programs, oversee returns and refunds, detect sales trends and monitor cashier performance. _System and Human Errors _ Compliance with Store Processes _Inefficient Customer Service _Reduced Sales Profitability _Abuse & Fraud _Internal Audit _Operations _Loss Prevention _Profit Protection _Finance _Information Systems _Human Resources INVENTORY CONTROL RAID Inventory Control provides complete and efficient inventory management control. It helps anticipate and mitigate out-of-stocks as soon as orders are placed or short deliveries occur, as well monitor over-stocks, which can result in undue cost and waste, particularly with seasonal and fresh products. _Out-Of-Stock Products _Over-Stock Products _Company Revenues _Supply Chain Costs _Customer Service Levels _Innacurate Inventory _Supply Chain _Internal Audit _Operations _Loss Prevention _Finance _Information Systems STORE LABOR ASSURANCE RAID Store Labor Assurance assesses productivity and service within a retail store. It aligns scheduling with sales performance, controls and analyzes coverage on the sales floor to determine the correct resource level. It also monitors effectiveness of an employee s pay and schedule structure, (budget, productivity, overtime and employee attrition ratios, etc.) for an accurate performance evaluation. _System or Human Errors _Compliance _ Unnecessary Costs _Customer Service _Operational Costs and Inefficiencies _Abuse & Fraud _Operations _Human Resources _Internal Audit _Finance _Information Systems SUPPLIER DEALS ASSURANCE RAID Supplier Deals Assurance enables retailers to effectively monitor how a deal is executed through different perspectives (financial control, profit optimization, buyer/ supplier). The solution actively monitors supporting information for deals and processing charge-backs and analyzes the full process to ensure effective control over costs and provide an accurate invoice to the supplier. It provides end-to-end process monitoring and profit optimization. _ Absence of Data in the Operational Systems _ Process Compliance for Deals and Chargebacks _ Poor Execution of Promotional Plans _ Poor Buyer Performance or Fraud Abuse _Inefficient Deal Oversight _Buying & Merchandising _Supply Chain _Internal Audit _Finance _Information Systems PURCHASE TO PAY ASSURANCE RAID Purchase To Pay Assurance monitors a supplier s process and improves invoice accuracy and scheduling of deliveries. It also allows an on-time match between incurred costs with budgets and accruals in order to detect possible costs variances and/or possible fraudulent behaviors. _System or Human Errors _Over Invoicing _Invoice Validation _ Flags High Costs from Suppliers _Supplier Disputes and Attrition _Abuse & Fraud _Finance _Internal Audit _Information Systems _Admnistrative

WeDo Technologies RAID Retail 11 STORE PROFIT PROTECTION Ensuring that retailers optimize profits within their stores is a key factor to success. By automatically controlling key processes an organization can prevent loss and better control their costs. Due to the fact that retailer collects a significant part of their revenue from in-store sales, it is critical to ensure that all front office operations (sales, returns, refunds, etc.) are compliant with the company s policies, all operational transactions are accurate, and a proactive monitoring system to detect suspicious activities is in place. While this may seem challenging, when addressed correctly, it has a huge impact on a retailer s value chain. RAID Store Profit Protection provides a set of controls that monitor the entire end-to-end process and trigger alerts and exceptions that require management s immediate attention. It allows the user to monitor their discount & loyalty programs, gain more insight and control over returns and refunds activities, and predict sales trends as well monitor cashier performance. The goal is to automatically detect exceptions and improve the speed of response to costly mistakes and poor business performance. Some frequently raised questions from organizations on this context: How effective are our controls and processes in our retail stores? Can we improve on our current profit protection processes in our stores? How efficient are our loss prevention/audit units at controlling costs and assuring in-store compliance and revenues? Store Profit Protection main benefits include: _Increased margins _ Decrease reaction time to potential abuse and/or fraudulent behaviors _ Apply a consistent set of rules to every store, creating measurable benchmarks across stores and providing a way to prioritize corrective actions _ Data for developing a shrinkage awareness program, implementing visibility and monitoring mechanisms to reduce shrinkage _ Create company-wide awareness of a program that addresses all these concerns

12 WeDo Technologies RAID Retail INVENTORY CONTROL Inventory control refers to the practice, function and management skill involved in controlling inventory. The ordering of raw materials, warehouse storage configuration, logistics, order quantity calculations, production planning and just-in-time management are a few examples of inventory control activities. Efficient management of inventory is essential to a retailer s bottom line. For instance, it costs money to store inventory, so inventory managers try to determine the minimum amount of warehouse or store space required to store the correct amount of inventory necessary for the company s ongoing sales needs. RAID Inventory Control helps anticipate and mitigate out-ofstock products as soon as orders are placed or when short deliveries occur, as well as tracking over-stocks, which can result in undue cost and waste, particularly with seasonal and fresh products. With the continuous monitoring of these processes, retailers can focus on generating the maximum profit from the least amount of inventory, without impacting customer satisfaction levels. Some frequently raised questions from organizations on this context: Is forecast demand accurate and reliable? Is inventory properly updated? Are Purchase Orders created on-time? Are product deliveries made on-time? Are customers satisfied with my products Shelf Availability? Are my inventory holding costs too high? How fast am I reacting to OOS? Inventory Control main benefits include: _ Reduce out-of-stocks, increase sales and customer satisfaction _Reduce over-stocks, waste, inventory holding costs _Improve ROI on promotions _Reduce shrinkage _ Reduce time required for managing inventory _Improve supplier and supply chain service levels _Improve in-store ordering and productivity _Improve accuracy of backstock inventory

WeDo Technologies RAID Retail 13 STORE LABOR ASSURANCE Store employees are a key contact point with customers. Having the right level of staff in the store, at any time, is essential to controlling labor costs. Although, managing staff levels without impacting customer service requires accurate forecasting and quick response to unexpected fluctuations. For instance, creating an effective schedule demands a lot of management s time and attention. Store managers do not always have the bandwidth needed to dedicate the right level of attention in order to optimize resource planning. It s a complex task considering that stores have long opening hours, often 7-days a week, with employees that have a mix of skills and competencies required to work as a team during peak trading periods and slower times. RAID Store Labor Assurance provides fair and cost effective workforce management oversight, including all exceptions related to absences, staff rotation, management fluctuations or many other factors impacting this process on day-to-day basis. Additionally, payroll accuracy (budget, productivity, overtime and employees attrition ratios, etc.) is also a key area for retailers and its employees. The software continuously measures KPIs, and flags issues that for any require further performance analysis and evaluation. Some frequently raised questions from organizations on this context: Are resources scheduled when they are needed the most? Are resources working as assigned? Are workforce practices in line with the company s policies? Are Payroll Costs under control? Are staff attrition rates under control? How productive are our stores? The main benefits of Store Labor Assurance include: _ Reduced labor costs _Increased sales _ Compliance to store policies, labor regulations, legislation, union agreements and employee work contracts _ Improve scheduling accuracy: to ensure proper coverage at all times _ Improve payroll accuracy: prevent administrative errors and fraud in the payroll process _ Reduce time and effort required by store managers on workforce management tasks _ Prevent errors and resolve issues more quickly

14 WeDo Technologies RAID Retail SUPPLIER DEALS ASSURANCE Due to the fact that managing deals is a critical business process within any retail operation, having access to tools that track deal history and effectively monitors every deal through different perspectives (financial control, profit optimization, buyer/supplier), is critical. Improving upon and correcting data that already exists in operational systems can turn into a major challenge. With automated business-driven software, this challenge is more easily addressed, and its impact will be positively reflected in the retailer s value chain. RAID Supplier Deals Assurance provides an end-to-end auditing tool for the deals process: from planning and analysis (negotiations, contract approvals), then through a detailed analysis of the deal process, and finally on to validation and invoicing. The software continuously monitors all supplier transactions to assure compliance, control costs and prevent fraud. Some frequently raised questions from organizations on this context: How reliable is the existent information about deals and suppliers? How efficient is my control over the deals? Can I optimize a deal profit? How efficient are my buyers on negotiating deals and actively monitoring then, ensuring the process compliance through its lifecycle? Supplier Deals Assurance main benefits include: _ Ability to effectively visualize all deals in progress _ Monitor deal execution and potentially optimize its profit margins _ Control billback calculations _ Maintain proper budgetary controls _ Measure supplier and buyer performance throughout the process

WeDo Technologies RAID Retail 15 PURCHASE TO PAY ASSURANCE Purchase To Pay (often abbreviated to P2P) is one of the processes where monitoring and controlling costs is imperative. These cases tend to lead to situations where it s difficult for the company to accurately control the relationship between costs budgeted and actual costs. RAID Purchase To Pay Assurance monitors the entire supplier process, as it improves invoice accuracy and timing of deliveries. It also allows a retailer to match incurred costs with budgets and accruals in order to detect possible costs variances and/or possible fraudulent behaviors. Some frequently raised questions from organizations on this context: How effectively are we managing the P2P process? Can we improve the invoice/payment approval processes? How efficient are our business units at controlling costs? Purchase to Pay main benefits include: _ Audit supplier relationships by monitoring purchase orders, and the internal invoices approvers, to detect risky and irregular payments _ Audit payment accuracy, to detect if payments are made on time and at the correct value _Maximize cash flow _ Evaluate trends to detect cost overruns, deviations from planned costs, and/or possible fraudulent behavior

16 WeDo Technologies RAID Retail Do you prefer to have 400 KPIs or the 10 that speak your business?

WeDo Technologies RAID Retail 17 Empowering users to implement an EBA strategy RAID Retail empowers users with an end-to-end tool that enables an integrated social collaboration within the organization. It connects different roles, so several departments can continuously monitor all the information that impacts the company s performance, following a proper EBA strategy. THE STORE MANAGER THE FINANCIAL CONTROLLER uses RAID to communicate with the other departments by sending alerts to decision makers. By integrating all internal systems, the software not only allows the user to correlate, treat and visualize that available data but also undertake proper actions as a consequence uses RAID to entirely monitor its own store performance through instant access to valuable information about stock inventory, shipments, sales behaviors and sales team performance. The user is able to receive alerts about potential risks, fraud and unexpected fluctuations THE INVENTORY MANAGER uses RAID to control any inventory supply task in order to avoid product shrinkages, over-stocks or out-of-stocks in stores. Hence, those pre-defined processes can be adapted in response to stores or suppliers feedback THE INTERNAL AUDITOR uses RAID to take advantage of an end-to-end tool that optimizes all auditing actions. Through a combination of rules and data analytics, any unexpected deviation or fraud attempt will lead to a case that can be properly followed, detailed and solved THE CFO uses RAID to visualize, with just a few clicks, a simple and accurate financial and operational business status. Simple access, anytime and anywhere, which could support top management decisions

18 WeDo Technologies RAID Retail USE CASE 7-Eleven selected WeDo Technologies' RAID Retail software for profit protection Large scale retail customer for Enterprise Business Assurance software RAID 7-Eleven, the world s largest operator, franchisor, and licensor of convenience stores, has been successfully using RAID Retail software for their retailer s Mexican operations. The leading retailer has identified a clear need to automatize and optimize their internal processes and WeDo s EBA solution fulfilled the challenge. With more than 1,700 stores across the country, 7-Eleven México needed an enterprise business software suite to deliver end-toend visibility and control of its retail processes; analysing and identifying risks and monitoring and controlling deviations. The solution was implemented to support 7-Eleven México s loss prevention department to minimise risk, reduce theft, prevent revenue leakage and improve margins across the organisation. With an appealing user interface, the RAID Retail offers new auditing capabilities for retail processes. The software conceived for Enterprise Business Assurance automation, driving continuous monitoring to detect exception before it can cause significant impact to the profit and loss (P&L) statement. It includes core functions around profit and revenue protection, supply chain control and cost control. WeDo Technologies RAID software will play a vital role in supporting our loss prevention department and provide 7-Eleven México with the ability to safeguard against revenue leakage and theft. In order to maintain and protect the revenue levelsacross our expanding business, it is essential for us to have robust strategy in place to minimise risk that we can always depend on. Stores Support Director at 7-Eleven Mexico WeDo Technologies has been selected by 7-Eleven México to help reinforce their loss prevention strategy and uphold its position as market leader in the country. WeDo Technologies will be able to provide valuable support for 7-Eleven México, combining our knowledge of the retail industry with our 13 years experience in Revenue Assurance. This partnership is key for our growth in Mexico and we are looking forward to working together to make it a success. Maria José Goncalves Retail Market Manager at WeDo Technologies

WeDo Technologies RAID Retail 19 Visit us at WEDOTECHNOLOGIES.COM and learn how RAID IS HELPING RETAILERS around the world BUSINESS PROCESSES Learn how RAID Retail addresses each business process and visualize detailed product screenshots. MOBILE Access information and download our product materials from your mobile device. VIDEO Just scroll down to watch our videos where you can easily capture EBA s value to your company.

WHY WEDO TECHNOLOGIES? WeDo Technologies is a worldwide leader in revenue and business assurance, providing software and expert consultancy, to intelligently analyse large quantities of data from across an organisation helping to negate or minimise operational or business inefficiencies and allowing businesses to achieve significant return on investment via revenue protection and cost savings. WeDo Technologies works with some of the world s leading blue chip companies from the retail, energy and finance industries, as well as 180 telecommunications operators from almost 90 countries, through more than 500 highly-skilled professionals. WeDo Technologies, Assuring your Business for the Future. OFFICES PORTUGAL _ Lisbon PORTUGAL _ Braga AUSTRALIA _ Sydney BRAZIL _ São Paulo BRAZIL _ Rio de Janeiro BRAZIL _ Florianopolis EGYPT _ Cairo FRANCE _ Paris IRELAND _ Dublin MALAYSIA _ Kuala Lumpur MEXICO _ Mexico City POLAND _ Warsaw SPAIN _ Madrid UK _ Reading USA _ Chicago USA _ Washington ON THE WEB www.wedotechnologies.com/en/raidretail www.wedotechnologies.com GENERAL INFORMATION customerservices@wedotechnologies.com SCAN THIS QR CODE TO LEARN MORE ABOUT WEDO TECHNOLOGIES RETAIL SOLUTIONS. Download a QR code reader to your mobile phone at the Apple Store or in the Android Market for free.