Infosys’ blog on industry solutions, trends, business process transformation and global implementation in Oracle.

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October 19, 2011

International Financial Reporting Standards (IFRS): Looking beyond compliance

Guest post by
Kamaljeet Singh Bhatia, Lead Consultant, Infosys

 

On 26-May-2011 the Securities and Exchange Commission, U.S. (SEC) issued staff paper associated with 'Work plan for consideration of incorporating IFRS' in which it outlines incorporating IFRS into U.S. GAAP after a certain period of 5 to 7 years. In Japan the ministry in charge of financial affairs announced that decision regarding IFRS adoption may not be made until 2012, thereafter at least 5 years would be needed to make preparations. There seems to be no decision on mandatory IFRS adaptation timelines and so far it seems to remain indecisive until FY2012-2013. However over the period there has been a growing acceptance from a number of other countries.

Though companies may have escaped compliance in the near term, there is a need to look at IFRS beyond compliance in the long term, In terms of benefits the obvious one, being a globally standard accounting method, is globally standardized financial statements making comparisons easier. This in turn would help companies reduce cost of borrowing if they wish to raise capital overseas. The most important benefit however, for larger companies having foreign subsidies, is internal consistency that IFRS adoption would bring. It will allow them to standardize, streamline their operation, auditing, training and thus speak a common accounting language across the board.

In reality the benefits stretch beyond accounting, Unification of accounting system would bring in usual benefits achieved through consolidation.

A) Implementation of shared services
B) Global visibility thorough establishment of management database
C) Information streamline & visualization thus improving cash flow management.

For a fairly large company moving to IFRS would take around 3-4 years of transition period, Even if mandatory IFRS adoption is postponed, it makes sense for the companies to start the unification project; this would not only bring in the benefits listed above but also give them a head start to become familiar to a new accounting system. Eventually the movement from GAAP to IFRS is inevitable.

October 10, 2011

Video: Social CRM - Delivering the Next Generation Customer Experience

Guest post by
Rakesh Kumar, Industry Principal, Service Innovation Strategy, Infosys

 

Transcript

If we look at the scenario in many of the industries today carefully, we will find that enterprise are in a very peculiar situation. On one hand the global economic uncertainties are continuously challenging the in-flight business strategies, on the other hand, services or product differentiation has become extremely difficult to maintain. In such a situation today, a very significant force that enterprises will need to negotiate -  willingly or  out of surprise - is the "customer orientation".

How enterprises visualized and type casted their customers traditionally doesn't seem to be valid anymore. We all realize that we as customers today don't really want products to be quote unquote Sold to us. And look at what Internet and social media is doing to customers - a revolution in a true sense - it is making the consumer community grow up, grow up to get more responsibly and actively engaged in the consumerization value chain. And it clearly implies that the enterprises need to recognize the up rise of this new class of customer community. Customers ARE going to demand the enterprise to REDISCOVER the ways in which they are treated, engaged and managed. In other words, if I were to say, age of customer-experience based differentiation is already here and it is here to stay. CRM of tomorrow no doubt is going to be far more social, far more integrated and much more innovative than what we have ever witnessed.

Social CRM is not just about aligning to a technology innovation, it is about grabbing the opportunity to deepen the value system of the customer relationships, it is about creating the excitement of whole new range of customer experience, it is about customer loving your business relationships, not just buying your products out of their necessity. That's what the social CRM is, a choice that enterprises make for their future.

October 6, 2011

Experiencing 'Mobility' at Oracle OpenWorld 2011

Guest post by
Nikhil Kumar, Industry Principal, Infosys

 

Yet another exciting day here at Oracle OpenWorld 2011 started off with drizzling rain and San Francisco downtown bustling traffic. The exhibition halls got opened immediately after the morning keynotes around 10 am, and attracted a lot of attention and larger footsteps from customers and partners than yesterday. We could see people rushing and hopping across sessions, venues and exhibition booths and long queues for raffles and gifts offered by partners. Some folks are also relaxing with their iPads and smartphones at lounges browsing, catching up mails and chatting. Mobility can be noticed and felt all around at OpenWorld.

It was a time for me to go and attend the most awaited session of Ted Farell, Oracle Chief Architect and SVP, where he announced Next Generation ADF Mobile platform! He demonstrated the capabilities of this tool with clear message 'Multi-Channel Development from Single Platform', that simplifies and enables rapid mobile app development. This new platform amalgamates earlier released ADF Mobile Client and ADF Mobile Browser into single programming model supporting both on-device as well as browser based applications. Some of the key points he mentioned during presentation -

  • Hybrid Applications, based on Phone Gap approach leveraging HTML 5 and Java Scripts power
  • Visual and declarative development paradigm for rapid app development
  • Easily Integrates with device features and services
  • Can also support both online and offline data access leveraging SOAP and REST based Services
  • The GA release supporting both Apple iOS and Android devices will be early next year

In enterprise mobility space, Oracle came a long way and this very promising tool can help Oracle to leapfrog from its competition.

Later in the day, Infosys and Oracle launched a press release announcing a set of new mobility solutions that allow users to access essential functions of ERP and CRM applications on smartphones and tablets. The solutions were developed as part of the Infosys Oracle Innovation Center at Oracle's global headquarters in Redwood Shores, California, where Infosys is one of the first systems integrators (SIs) to develop mobility solutions on the ADF Mobile platform.

The day continued with other interesting sessions with focus on emerging trends in technology such as Exadata, Industry based solutions, Cloud, Mobility and Social Media etc. Finally, the evening ended here with various customer appreciation get-to-gathers with crackling wine and beer glasses and Titan awards ceremony.

Looking forward to another great day at OpenWorld 2011, and hearing more exciting news such as Next-Gen ADF Mobile announcement...

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PRESS RELEASE: Infosys Announces Enterprise Mobility Solutions at Oracle® OpenWorld 2011

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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Achieving excellence in BI Support

Guest post by
Neeraj Jha, Lead Consultant, Infosys

 

Some of the challenges that I can think of based on my experience and interaction with colleagues working in BI Support are due to -

  • Business implements changes in enterprise applications and hence the source systems for BI gets modified
  • Change in data archiving and purging
  • End users start writing their own queries for self-use and difference in queries being written by the BI Support team
  • Increment in data size
  • Tuning & Performance needs due to user created queries absorbing capacity
  • Correcting the data in source after seeing wrong data in warehouse through BI System
  • Usage of proper Tools
  • Data security needs as user base increases
  • Upgrade in source system resulting change in source system database structure
  • Continued challenges to build new

BI Support also needs an active involvement of end users similar to operational systems support to sustain processes and achieve excellence. Key Support processes that should be followed to achieve excellence in BI Support are mentioned below:

  • Proper Release Management
  • Adherence to development standards / methodology
  • Implementation of patches and fixes for known bugs in the application
  • Periodic QA Reviews
  • Utilizing rapid application development approach for fixes
  • Having proper change control board for change authorization
  • Proper justification for customizations
  • Prioritizing of issues
  • Proper update of interface / customization / configuration documentation
  • Having root cause analysis for recurring / important Issues
  • Lack of end user training for delta releases

Having a desire to excel and meet challenges faced by BI Support teams, the structure of the team supporting the BI systems is more important. Next important thing is stakeholder management, proper involvement need and boundary conditions need to be established in advance. A few guiding principles to have a structured BI Support team are:

  • Proper Split of duties
  • Apt allocation of internal resources
  • Low Complexity/ Repeatable tasks should be standardized / automated
  • Evaluate need of 365X24X7 Support need

Nevertheless knowledge transition is an important activity and if done at all phases of the project other than project end phase, the team will understand the standards, system capacity and can give useful feedback to the development team. Knowledge transition should be structured and followed up by play back sessions where the support team share the understanding of the system and Development team verifies / corrects it. Review of test plans and involvement of Support team during regression testing ensures readiness of application for support.

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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October 5, 2011

Impediments to supply chain integration: An SME perspective

Guest post by
Kamaljeet Singh Bhatia, Lead Consultant, Infosys

 

The last few decades has witnessed numerous examples of significant competitive advantages through supply chain integration. Information sharing through superior technology is making enterprises capable to innovate and integrate in the complex networked environment. However information integration in supply chains is limited to large enterprises and small to medium scale enterprises (SME's) significantly lag to leverage technology for supply chain integration.

There has been abundance of research to identify and analyze the impediments to supply chain integration for SME's. The significant barriers indicated are:

  1. Lack of Strategic focus: SME's often lack a long term business and IT strategy, The management focus in often on short term gains. Business growth is limited to business manager's capacity to manage growth and ability to discover and exploit new growth opportunities and are often less aware of the full potential benefit of technology.
  2. Organizational capability and readiness: It is often difficult for SME's to garner funds to support dedicated technological innovation projects. Most small firms do not have funds to hire consultants. Less costly, Informal contacts can result in poor/Limited advice.
  3. Lack of external pressure (by suppliers or customers): External pressure to integration from supply chain partners like supplier or customer has been cited as one of the main reasons/motivation by SME's to adopt supply chain integration. External environment like industry, Region, Competition etc might lack thrust for SME's to adopt technology.
  4. Limited knowledge and expertise in IS: Lack for training in the rapidly changing technological environment often leaves the firm way behind the market. Lack of knowledge results in lack of vision within the management.

Despite the technological barriers, SME's have and would continue to play significant role in increasing global economy, SME's drive economic development by creating valuable source of employment specially the developing countries. It is hence important to remove these impediments and enable these enterprises to compete and connect to the global supply chain.

The onus lies not only on the enterprise itself but also on the consulting and Technology companies to be enabler and help small to medium size firm innovate. The next part of the blog would evaluate the options available, specifically technological products and tools provided by Oracle (Oracle EBS for SME's) that can be adopted with fewer resources in terms of capital and time.

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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Automobile Logistics: Demand to Deliver (D2D)

Guest post by
Nipun Lakhotia, Consultant, Infosys

 

Automobile sector is currently experiencing a turbulent transition. Apart from product innovation, manufacturers need to align their supply chain processes to meet rapidly changing customer expectations.

Logistics plays a crucial role in automotive industry, representing about 40% of the retail price of a passenger car. Historically the automotive industry has always been focused on just-in-time manufacturing (JIT) which demands for sequenced deliveries. Inbound operational planning is expected to support advanced features like milk runs, direct delivery and cross-dock optimization with drop-trailer capabilities.

 

D2D-1.jpg 

On outbound side, Vehicle distribution centers (VDC) are used to consolidate and distribute vehicles from manufacturing plants to dealers. Domestic moves uses dedicated rail routes which calls for dynamic planning based on railcar type and available capacity. There are other challenges around in transit visibility, route-11 rating and partner integration (railheads, junctions, 3rd party service providers)

 

D2D-2.jpg 

Auto sector is one of the early adopters of state of the art technological solutions to pioneer their supply chain processes. But legacy applications have their own constraints which limits logistics planners from meeting key transportation optimization requirement such as -

  • Sequence deliveries to support  JIT manufacturing
  • Deviations and ad-hoc route changes
  • Prioritize, aggregate and establish delivery plans based on lead time and capacity constraints
  • Carrier rate management - tiered rates, accessorial & fuel surcharges
  • In transit visibility at warehouses, railheads, ports - Model-year/ VIN level tracking
  • Real time alerts and notifications - ASN and carrier tenders
  • Trade compliance & Transit documentation - Knitting and dispatch list, BOL etc.
  • Financial allocations & carrier payment advice
  • Monitor key performance indicators (KPI)
  • Logistics intelligence

There has been a lot of buzz around 'Demand to deliver (D2D)' solution framework. Infosys offers D2D Auto, an integrated solution specially designed for automobile industry covering entire supply chain cycle from sales & operational planning to final delivery to end dealers. This solution leverages best of breed Oracle products to orchestrate end to end supply chain business processes. The solution is packaged with pre-defined transportation process flows, industry leading KPI tailored for automobile manufacturing vertical.

The 'Deliver' part of D2D auto solution is based on Oracle Transportation Management (OTM) which facilitates seamless planning and execution of vehicle movement across automotive global supply chain.

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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October 4, 2011

Revisiting Customer Loyalty from a 'social' angle

Guest post by
Srinath Pydimarri, Senior Consultant, Infosys

 

I've been a loyal customer of a particular Indian bank, whom I'd call Bank XYZ for convenience sake. My perception of loyalty stems from the fact that I've been banking with them for the whole of my professional life, have taken multiple loans, setup FDs and have their credit card. I've always been prompt at paying my EMIs as well as credit card bill. In fact, some of their Customer Support executives address me as a 'privileged customer'. However, what pains me is that they haven't increased the credit limit on my credit card. It surely has left me surprised and disappointed. In fact, I keep advising my friends to take the credit card from a competing bank. Something which I tend to do using social media as well - Facebook and Twitter. Interestingly the bank still perceives me to be a 'loyal' and a ' privileged' customer. I believe this is a scenario which commonly occurs across all industries and with all types of customers (retail / business  etc). 'Social' customers today are increasingly using social media to constantly share their opinions/displeasure, amongst other things, about the brands / products they use. Such a behavior is nothing unlike the Word of Mouth (WoM) that organizations have known for a long time now. The only difference is that this has become easier, more prevalent and has greater impact, thanks to the availability and extensive usage of social channels.

From a Customer Loyalty standpoint, organizations have always focused on the purchasing behavior of the customers. Loyalty scores typically take into account the frequency, value, 'recency' of purchases and the duration of association with the organization. However, loyalty models don't include the social behavior aspect; more so because of lack of mechanisms to track customer social behavior and tag it to existing loyalty models. We see this as a significant gap as organizations would miss a great opportunity to identify who their true 'brand loyalists / ambassadors' and who their 'brand detractors' are. In our opinion, this insight is extremely important for organizations to customize their loyalty programs such that they reward their brand loyalists and placate the brand detractors - both efforts aimed at increasing the customer life-time value and reduce churn.

It may come as a pleasant news for organizations to know that including the social aspects of a customer - profile / behavior etc, in ascertaining customer loyalty can be made a reality. We believe the following 3-step approach can help organizations in this aspect -

  1. Identifying the influencing behavior and sentiments from customer conversations
    This would require the employment of a robust Social Analytic engine. There are quite a few Social Analytics tools available today that are capable of recording sentiments (positive, negative etc.) based on customer posts on a particular brand / product in social channels. In addition, some of these tools can also identify 'influencers' amongst the customer community - people whose opinon/WoM has greater impact on peers in their network. These sentiment and influence analytics algorithms provide two key insights related to a customer - brand perception and influencing ability. These two insights, have a greater value-add from an organization perspective when combined together (For e.g. identify customers who have strong positive perception of an organization's brands and is in fact capable of influencing his network strongly).
  2. Capturing social behavior insights at individual customer level and integrating with existing enterprise data
    Customer insights on their brand perception and influencing abilities, as stand-alone data points, may not serve marketers to a great extent if a detailed customer profile isn't available. Such a need makes integration of social customer insights from Social Analytics engines into existing customer records / profiles within enterprise CRM systems an imperative. It helps create an enhanced customer model which takes organizations closer to achieving a Customer 3600 view. From a technical perspective, it needs regular run-of-the-mill integration between Social Analytics tools and enterprise CRM, and some amount of configuration within CRM suites to accommodate social data.
  3. Enhance loyalty models to include social attributes
    Many organizations are already using Business Intelligence (BI) applications or Loyalty modules in tandem with their CRM to be able to profile their customers from a loyalty perspective. Comprehensive loyalty modules, which include customer profiles as well as purchasing history, are employed for this purpose. It'd be fairly easy to extend these models to include the social attributes which could now be available as part of customer profile information itself. A key aspect of this exercise would be to arrive at a suitable loyalty model - defining weights for the social attributes, loyalty calculation mechanisms, defining new loyalty categories etc. One would be surprised at the additional, deeper customer insights that can be observed as a result of this exercise.

In fact, at Infosys we're developing solutions that validate the feasibility and value add of this concept and we'd love to hear your thoughts on this.

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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Leveraging Fusion Business Process Model Methodology in Project Portfolio Management (PPM)

Guest post by
Sandeep Suresh Deshpande, Principal Consultant, Infosys

 

In today's world, business is exposed to a constantly changing environment where organizations face the most challenging situations -

  • Information silos across the value chain
  • Parallel processing amongst distributed systems
  • Mismatched products to support complex end-to-end business processes
  • Complex and long-running projects
  • Real-time project consolidation and budgeting

Oracle has done an extensive internal and external research, took the best practices from Oracle E-Business Suite, Oracle PeopleSoft, Oracle JD Edwards, Oracle Siebel and all other acquisitions to come up with a number of industry business process areas with multiple levels of decomposition. These world class business processes can be leveraged to deliver in the complex and challenging environment.

The business process model consists of multiple levels which are numbered as L0, L1, L2, L3 and L4. The top Level 0 is industry level. So that's all of the business process areas for a given industry. Level 1 is the business process area. It includes all of the business processes for that business process area. Level 2 is the business process, and includes all the activities for that business process. The Level 3 activity is a logical level.

 PPM blog.jpg

Level 4 tasks on the respective activity models are associated with application functions, which represent the physical parts within the application.

Oracle Fusion Project Portfolio Management business process model is a result of such extensive research, which brings to you the best in class Project Management business processes. These business processes equip you to put in place the appropriate project governance structure so as to ensure a better project success and business success.
The Oracle Project Portfolio Management Business Process Area (L1) is a collection of several Project Management Business Processes (L2) which consist of functional areas viz. project initiation, project planning, project execution, project control, managing project cost, managing project resources, analyzing projects, managing multiple projects and programs in a portfolio, managing project contracts and finally closing a project.

Each of the business process at the L2 level has a set of logical activities which are categorized as L3 activities for the respective business process. To elaborate this further, the Control Project business process performs a set of logical activities viz. Managing Project Forecast, Managing Project Performance and Tracking the Project Progress. Each of these L3 activities is finally associated with Fusion PPM functionality to be performed physically within the applications, which are represented as L4 tasks.

Thus, Application and Process Leadership of Oracle Fusion's PPM Business Process Model brings to the table below mentioned and many more business benefits -

  • Solution that automates and streamlines all of the processes around PPM function
  • Comprehensive and near real-time view of projects, the project health and its performance
  • Unified project planning, resourcing, project control and financial management in a single repository with 3600 view to all the stakeholders
  • Detailed project analysis based on pre-delivered industry best KPIs

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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October 3, 2011

Day 1 at OOW 2011 : The 'Green' and the 'Machines'

Guest post by
Abhishek Sabharwal, Head- Infosys Oracle Innovation Center

 

Finally, we are here again on the helm of one of the biggest IT events of our times, Oracle OpenWorld (OOW) 2011. As the feeling of nostalgia triggers in with everyone beating each other about the number of years they had been participating in the OOW, the registration lines grew bigger and bigger. The weather, the excitement, iphone tunes and bustling traffic remained the same at SFO but the event seems to gets bigger and better, with representations from 120 countries and close to 45000 registrants.  OOW started on a Green note of using minimum paper throughout the event, so no more bulky schedule. All replaced by mobile phone apps, and real time online updates...welcome Social Media and Mobility to the OOW...

The day started with multiple intriguing presentations at the various User forums and Partner network forums wrapping up with the award ceremony announcing the CIO of the year category of awards. The evening highlight was definitely the keynote from Larry Ellison which has always been something to look forward to, typically carrying the announcement of Oracle's latest offerings in the market. While earlier years had seen Exa Series/ Fusion Applications, this year was no different in terms of surprises.

Larry began the keynote stressing on the power of parallel processing and data compression through Exa series leading to manifold increase in performance and reduction in cost/ performance.  Slew of case studies were spoken about where significant business benefits were achieved as a result of Exadata/ Exalogic implementation. There were further details shared on the Sun Sparc Super cluster which has been built on the Exa series technology architecture to offer upgrade options to the Sun Solaris customers.(is this now Hardware unlimited as well).

Finally the keynote wrapped up with the launch announcement of Exalytics, the latest in the Exa series which could really put the power of computing to an end user's hand. It promises to make instantaneous Business Intelligence a reality with close  1 Terabyte of data in DRAM (Larry again reminded us this is closed to actual 10 terabytes of data before compression). It will be further powered by in-memory parallel processing versions of  OBI, Essbase, timesten making the machine the fastest intelligent machine. The machine would not only serve to improve relational database performance by 18 times (on an average) but would work equally well with the unstructured or multi dimensional data. The machine would be further powered by speed of thought interactive UI. Definitely looks promising and as one of the slide read "the sun rises again"

Looking forward to a great OpenWorld 2011, the start was definitely big bang...Day 1 signing off...At Infosys, we are proud to be a Diamond sponsor of Oracle OpenWorld 2011 ... keep it up partners...

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Meet Infosys experts at Oracle OpenWorld 2011, Booth No. 1813, Moscone South

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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Building the Predictive Enterprise

Guest post by
Peter Stacholy, Industry Principal, Infosys

 

My session at Oracle OpenWorld 2011 - "Innovation in the Staffing Industry with Oracle Real-Time Decisions", will show how to use a new Oracle Tool RTD (Real Time Decisions) to leverage the data already stored in your ERP system to transform your company into a predictive enterprise. We will be using a Staffing Company to illustrate all the points where we want to integrate existing ERP applications with RTD. We will show all of the points where RTD can 'learn' current enterprise behavior and subsequently predict future outcomes or suggest better ways to do things. We will conclude by demonstrating a current integration that we have already built out between PeopleSoft Staffing Front Office and RTD that ranks candidates for open positions using six dimensions that an ordinary search engine cannot evaluate!

Why a Staffing Company? We at Infosys have a tremendous amount of expertise in the Staffing Industry (Oracle Front Office Co-Dev Partner, Multiple successful engagements with major staffing companies, Global thought leader employees, etc...) and we chose to leverage this technical and functional expertise to demonstrate the full lifecycle of information flowing through the enterprise and how it can integrate with RTD. The Staffing Industry is burdened by the amount of turnover in Front Office Employees, so it is uniquely able to benefit from system generated decision making assistance.

We believe that RTD can assist in making better qualitative candidate/order  matching decisions, as well as far more profitable ones, by considering other factors such as current UI claims and past WC claims in determining what order to present candidates to a client. We believe that using past payment history by order will enable accurate cash flow predictions, as well as justifying % markups for historically slow paying customers. We also believe that once RTD starts analyzing your data, all sorts of unexpected connections will surface that will enable you to run your company with far greater reulsts than ever before.

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If you are at the Oracle OpenWorld 2011, we are pleased to invite you for this session:

Innovation in the Staffing Industry with Oracle Real-Time Decisions (Session ID - 23581)

Schedule : Monday,  October 3,  17:00 - 18:00 PDT 

Venue : Westin San Francisco - Concordia

Also meet Infosys experts at Booth No. 1813, Moscone South, Oracle OpenWorld 2011

Explore more at  http://www.infosys.com/Oracle/news-events/Pages/oracle-openworld-sanfrancisco11.aspx

Follow us on Twitter -  http://twitter.com/infosysoracle

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