BPS Overview (TWDC F&P System) Informational Session April 2004

1. BPS Overview (TWDC F&P System) Informational Session April 2004

2. Info Session Objectives • At the end of this session you will be able to: • Explain processes designed and configured as part of the BPS system • Explain the scope of the BPS system and have a high-level understanding of how users interact with the system • Explain key changes to processes • Explain key design concepts • Explain data flows with the BPS system • Explain the BPS processes across the various segments • Explain the roles and responsibilities related to the BPS system

3. Agenda • Info Session • F&P Project Overview • Who, Why, What, When, How • BPS System & Process Overview • Summary

4. Topic 1 – BPS Project Overview • This topic includes: • Key Terminology • What is BPS? • Description of the BPS project • Why are we using BPS? • Current and Projected BPS process at Disney • Who is involved with BPS and who does it affect? • End User Change Impacts • How are we using BPS at Disney? • Scope of the F&P project • When are we using BPS? • Cutover schedules • End User Training Touch points

5. Key Terms

6. Key Terms (cont’d)

7. What is BPS? • The F&P project is an addition to the original Tomorrowland scope • The F&P project objectives for plan data are as follows: • Provide a single book of record • Provide a common reporting and analysis tool for all BU’s • Implement the same consolidation processes for each plan cycle (AOP, FYP and forecasts)

8. What is BPS? (cont’d) • The SAP software we’re using is called SEM (Strategic Enterprise Management) BPS (Business Planning System), but we just call it BPS • BPS works in concert with BW (Business Warehouse), the same reporting tool that we currently use for actuals • BW stores all of our data; BPS provides the functionality to access and modify it

9. Why are we implementing BPS?

10. Who will use BPS? • Most Finance and Accounting employees • Finance users are the primary suppliers of plan information • Accounting users also use the tool for variance analysis against forecasts and budgets during the close cycles • All plan and actual financial information is stored in one place to enable management reporting out of one tool

11. How will BPS be used? • For most users, BPS will be used as follows: • Load plan data and modify directly in BW • Review and analyze data against prior business unit submissions or what-if versions • Prepare management reports • Promote submissions to segments or corporate • Consolidate statements for segments and corporate in the same method as actuals

12. How will BPS be used? • For those of you who submit Film Ultimates • BPS is used for consolidating and analyzing Ultimates • APR rates are available in the system, as well as an automated APR expense calculation

13. How will BPS be used? • For a select group of Business Units . . . • BVHE, BVHEI, BVI • BPS is also used for Assumption based modeling for revenues and most expenses • ESPN • BPS is used for profit-center planning • In the next Phases of the project, TV Ultimates will be included in BPS, and some additional business units may also be doing their business unique modeling in BPS • Most modeling across the company will still be performed in Excel or other business specific systems

14. How does this affect you? • If you are a Business Unit Planner in Media, Studio or TP&R segments: • You are required at a minimum to input data for the segment • BU’s can also input data and perform their own reporting and analysis for internal management • Plan data will be available in BW for review against actuals during the close

15. How does this affect you? (cont’d) • If you are a Business Unit Planner in Consumer Products: • Only DCP Division will be entering data • Phase 2 will be more relevant to you (goes live next year)

16. How does this affect you? (cont’d) • If you are a Segment Planner: • BU’s submit their plans for AOP, Forecast and FYP through BPS • If you are a Corporate Planner: • Segments submit their plans for AOP, Forecast and FYP through BPS • Plan data is available in BW for review against actuals during the close

17. BPS & MPC in Parallel; Division Only BPS & MPC in Parallel; Division Only BPS tool used in process When will we cutover to BPS? August May June July April Organization &Process 24 7 14 21 28 5 12 19 26 2 9 16 23 30 29 5 12 19 26 3 10 17 31 Studio AOP 5YP Fcst. Video and BVI cutover in May; Segment and other BU’s in June Jan 2005 Media AOP 5YP Fcst. ESPN cutover in May; Segment and other BU’s in June Jan 2005 Parallel with Media system through end of FY04 P&R AOP 5YP Fcst. Jan 2005 DCP AOP 5YP Fcst. Jan 2005 Corporate AOP 5YP Fcst. Jan 2005 Data converted to support process

18. February March May April January 23 15 22 29 5 12 19 26 3 10 1 5 12 19 26 2 8 9 16 Stage Execute cutover test Go Live & Support Engage Site & Prepare for cutover Kick off meeting All Confirm Freeze Dates Segment Leads Complete Legacy Freeze Checklist Segment Leads Complete Interim Process & Contingency Plan Strategies Segment Leads Create End of Life Plan Segment Leads Draft Site Cutover Plan Segment Leads Draft Cutover Plan Cutover Mgr Cutover Test Cutover Test All Finalize Go live Cutover Plan Cutover Mgr Go Live Go Live Cycle Cutover Schedule Activity / Milestone

19. Cutover Contact Information by Site Corporate – Alain Dalva/Marilyn Yang Media Segment – Brian Simkin/Brien Cassidy Studio Segment – Dave Czerniewski/Diran Bandazian DCP Segment – Kristina Smith/Debbie Neveu TP&R – Jim Whitaker/TBD BVHE – Sjon Dowell/John Peters BVHEI – Kathy Smith BVI – Eric Bergemann ESPN – Ann Brown Ultimates – Diran Bandazian

20. When will training occur? April April April/May April/May May/June F&P Overview Info Session 2-3 hours End User Reporting Training 8 hours Power User/Top Sheet Training Workstream Training 4-16 hours Web-Based Pre-Requisite Courses • Objective: • Deliver Workshops to Select Power Users on How to Design and Customize Site Specific BPS BW Reports • Objective: • Deliver Workstream specific Training • Corporate/Segment (1 day) • BCS (TBD) • ESPN (4 hrs.) • Video Domestic (2 days) • Video International (2 days) • Int’l Theatrical (1 day) • Ultimates (5 hrs.) • Objective: • Training on How to Execute Reports • Review Topsheets • Practice Running and Analyzing Data WBT- BW Reporting WBT -Tanami Coding

21. Topic Recap • In this topic, we have: • Described key terms used in the F&P project • Described the F&P project (What is BPS?) • Identified the reasons for using BPS by demonstrating the Current and Projected F&P process at Disney (Why are we using BPS?)

22. Topic Recap (cont’d) • In this topic, we have: • Identified the roles who are involved in the F&P process and how those roles are affected (Who is involved with BPS and who does it affect?) • Described the scope of the F&P project and how it will be used day-to-day at Disney (How are we using BPS at Disney?) • Identified the cutover schedules as well as End User training touch points (When are we using BPS?)

23. Question & Answer Time

24. Topic 2 – BPS System and Process Overview • This topic includes: • Top change impacts • Key system design principles • How the Disney systems communicate • Key system concepts • Versions and Review Levels • Security

25. Topic 2 – (cont’d) • This topic includes: • The BPS process • What part of the planning process is in BPS? • Incorporating Actuals • Reporting in BW • Currency Translation

26. Top Change Impacts on Current Processes • Budget and forecasts are submitted by BU’s and Segments through the new Forecasting and Planning tool, BPS • All business units are required to submit plan and forecast data in the Tanami format (Company Code, Business Area, Profit Center, Cost Center, MPM, Account). • All 5YP submissions are submitted through the forecasting and planning tool (beginning next year). • Business units can do most plan reporting for internal management through BW

27. Key System Design Principles • Establish consistency across TWDC • SAP coding (GL accounts, MPM) forms the ‘backbone’ • Same GL accounts, MPM products and hierarchies • Leverage the same reporting tools and consolidation process • Five Year Plan, AOP, Forecast, Actuals • Business Units, Segments and Corporate

28. Key System Design Principles (cont’d) • Make information accessible • All TWDC data is stored in a common database, accessed through review levels • Provide on-line reporting and ad hoc analysis through wide-open queries vs. static reports

29. How the SystemsCommunicate The forecast and planning environment leverages the existing Tomorrowland environment and data structures for actuals, but contains a separate BW instance that will interface with BPS and other planning applications. Data Sources Project Tomorrowland (Actuals) BPS (Forecast and Planning Data) Interfaces BCS R/3 (General ledger transactions) Segment & BU Legacy Systems Business Warehouse (BPS BW) Data store & reporting Business Warehouse (TL BW) Reporting BPS

30. How the SystemsCommunicate (cont’d) BCS Business Warehouse Plan Data: AOP Forecasts Five Year Plan (BPS BW) Business Warehouse Actuals And Actuals Vs. Plan Data (TL BW) BPS Load/Input data into BW through BPS Layouts BW reports can be run from either environment; Only Final versions are in TL BW

31. Key System Concepts • There are some important topics to understand before we review the process: • Versions • Review Levels • Layouts • Free Floating Title • Security

32. Versions and Review Levels In BPS • In order for each BU, Segment and Corporate to effectively utilize the same database, we designed multiple Review levels and Versions. • Each Review Level has multiple versions they can utilize for reporting at their own level.

33. Versions and Review Levels In BPS (cont’d) • Generally, a review level limits what a user can see for the level below them. • As shown in the example, a BU Planner can see all of the BU review level versions, but only the Final version of the PC level.

34. Versions and Review Levels In BPS (cont’d) • As shown in the example, a Segment Planner can see all of the Segment review level versions, but only the Final version of the BU level.

35. Versions and Review Levels In BPS (cont’d) • And finally, a Corporate Planner can see all of the Corporate review level versions, but only the Final version of the Segment level.

36. Layouts • SAP BPS tool has two distinct areas of input: • Headers – area in the BPS tool in which you enter information in order to access a layout, specific to a media product, version, etc. • Layouts – Excel-based spreadsheet in the BPS tool in which you capture forecast and planning data • Once information has been entered in a layout, it is consolidated in the BW tool • Data entered in the layout is reflected in various Excel reports, accessed via Business Explorer (BEx) • BVI has numerous distinct layouts

37. “Free Floating” Title • Profit Centers have one PCC scenario for each title which can change over time (Ex. release date change, pricing change, etc.) • Instead of maintaining a title within each plan/forecast and resubmitting to Burbank, the Burbank Planner takes a ‘snapshot’ of all PCC scenarios and creates a P&L version representing expectations for a title on a specific date (forecast or plan due dates)

38. “Free Floating” Title (cont’d) • A title’s life may be extended beyond the fiscal year; the ‘free-floating’ approach prevents post-fiscal year activity on a title from being lost/dropped from the overall title forecast • PCC title scenarios make up P&L Plan versions; over time, the PCC scenario will change, but the P&L Plan version remains fixed (i.e. AOP or December forecast, etc.)

39. How Security works for a BPS user • There are two new SAP roles • Financial Planner and Reviewer • Overall Tomorrowland Data Level security applies • User access to data levels (e.g. Company Code/Business Area/Profit Center) is assigned to a user’s SAP position profile • E.g. Disneyland users can only see Disneyland Company Codes/Business Areas • Access is now further restricted to review levels based on versions • Example: A segment user can see all segment versions as well as the BU Final version

40. Question & Answer Time

41. Basic BPS Process in SAP Promote data to next review level Prepare Offline Excel Models Load Data Into BPS Modify Data In BPS Incorporate Actuals View Data; Internal Reporting Link back into Excel Models

42. Basic BPS Process in SAP • Most modeling occurs offline in Excel • The BPS system primarily provides a common reporting and consolidation toolset for all levels of the company for plan data Modify Data In BPS Incorporate Actuals View Data; Internal Reporting Link back into Excel Models Promote data to next review level Prepare Offline Excel Models Load Data Into BPS

43. Basic BPS Process in SAP • Three ways to load data into BPS: • User-driven “Excel upload” process (most common) • Enter or modify data directly in BPS via a “Layout” • System to system interface (FI096) Modify Data In BPS Incorporate Actuals View Data; Internal Reporting Link back into Excel Models Promote data to next review level Prepare Offline Excel Models Load Data Into BPS

44. Basic BPS Process in SAP View Data; Internal Reporting Link back into Excel Models Modify Data In BPS; Incorporate Actuals Promote data to next review level Prepare Offline Excel Models Load Data Into BPS • Modify Data in BPS • Once data is uploaded, data can be modified or copied (via layouts) to various versions for what-if reporting and analysis • Hedges can also be applied • Incorporate Actuals within BPS • Planners have the option of incorporating Closed Monthly Actuals within BPS and loading only remaining forecast months

45. Incorporating Actuals into the Plan • Closed monthly actuals are available in the system for you to incorporate into your plan • A user must tell the system when to incorporate actuals • Allows monthly planners and quarterly planners to incorporate what they need • A user must ensure that each forecast version has a full year of data incorporated • All actuals are automatically updated only within BCS for Closed Quarters

46. Incorporating Actuals into the Plan (cont’d) • Actuals can only be updated in the Profit Center and BU review levels • (e.g. Segment cannot update actuals for a BU) • Additional training on this topic will be covered in the one-day corporate/segment/BU session

47. Basic BPS Process in SAP • View Data • After data is uploaded or modified, use BW reporting to review data • Prepare Internal Management reporting or Ad-Hoc Analysis • Prepare “topsheets” for frequently used management reports • Run queries to analyze specific variances • Link Forecast/Actuals into Offline Excel Models • Add a worksheet with a BW query to your Excel model to obtain refreshed forecast data (or actuals data) and re-run models Modify Data in BPS; Incorporate Actuals View Data; Internal Reporting; Link back into Excel Models Promote data to next review level Prepare Offline Excel Models Load Data Into BPS

48. Basic BPS Process in SAP • Promote data to Final Version • Makes data available to next review level • Profit Center Final Version = BU can see data • BU Final Version = Segment can see data • Segment Final Version = Corporate can see data • Segments and Corporate Use BCS to consolidate • Intercompany eliminations Modify Data in BPS; Incorporate Actuals View Data; Internal Reporting; Link back into Excel Models Promote data to next review level Prepare Offline Excel Models Load Data Into BPS

49. Reporting in TL Business Warehouse (BW) • Reports with plan/forecast data have been modified to enable the user to select a plan version developed in F&P BW • Includes reports in the following cubes: • Title Cube • Profit Center Cube • Weekly Cost Center Cube • New reports were developed in F&P BW for plan-only reporting and analysis

50. Reporting Strategy • Provide “wide-open” queries in BPS BW instead of static reports • Users design and customize their own unique reports (queries or topsheets) • Once built, unique report structures can be saved and refreshed