Product Sales Inventory



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APPENDIX Oracle Demantra (A) Investing Costs A Customization effort B New hardware 1 Terminals, printers, communications 2 Other C New software 1 Packaged applications software 2 Other D User training E Other: Information Audit TOTAL Year 1 100,000.00 - 400,000.00 45,000.00 5,000.00 550,000.00 Year 1-3 90,000.00 10,000.00 2,500.00 35,000.00 10,000.00 147,500.00 Year 1-3 400,000.00 70,000.00 478,333.00 948,333.00 (B) Operating Costs A Application licensing fee Cost per license User number B System and network support maintenance C Incremental data storage required D Hardware and software upgrade E Refresher User Training TOTAL 1000 90 (C) Cost Reduction Reduced expedited costs Reduced over time costs Reduced safety stock inventory costs TOTAL (D) CASH FLOW YEAR 1 YEAR 2 YEAR 3 TOTAL CASH INFLOWS Cost Reduction 625,900 Investing Costs Operating Costs -550000 (147,500) (71,600) 948,333 948,333 2,522,566 (147,500) 800,833 (550,000) (442,500) 1,530,066 CASH OUTFLOWS NET CASH FLOW SIMPLE ROI BREAK-EVEN (PAYBACK) MONTH 93 13 (147,500) 800,833 2.781937782 JDA (A) Investing Costs A Customization effort B New hardware 1 Terminals, printers, communications 2 Other C New software 1 Packaged applications software 2 Other D User training E Other: Information Audit TOTAL Year 1 100,000.00 - 850,000.00 45,000.00 5,000.00 1,000,000.00 Year 1-3 90,000.00 10,000.00 2,500.00 35,000.00 10,000.00 147,500.00 Year 1-3 400,000.00 70,000.00 478,333.00 948,333.00 (B) Operating Costs A Application licensing fee Cost per license User number B System and network support maintenance C Incremental data storage required D Hardware and software upgrade E Refresher User Training TOTAL 1000 90 (C) Cost Reduction Reduced expedited costs Reduced over time costs Reduced safety stock inventory costs TOTAL (D) CASH FLOW YEAR 1 YEAR 2 YEAR 3 TOTAL CASH INFLOWS Cost Reduction 474,167 Investing Costs Operating Costs -1000000 (147,500) (673,334) 948,333 948,333 2,370,833 (147,500) 800,833 (





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