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s. Phased Solution In order to meet Hongkong Tele?s shortterm business needs and deliver an integrated full solution over time, Oracle remends that this solution be implemented in three phases to both address the current business issues and to provide flexibility in terms of the longerterm need to address other business issues and deploy new technologies to support future business needs. Phase 1 will be Logistics implementation. Phase 2 will be Financials implementation. And Phase 3 will be incremental improvement projects as and when required. Besides, in response to Hongkong Tele?s request on Oct 3, 97, we understand that there are two options that interest Hongkong Tele. They are : Option 1 Core System Replacement for PMO Option 2 Total PMO Replacement Plus Incremental Additional Functionality We have included the implementation proposals for the following options and phases accordingly : Section 3 Option 1 Phase 1 Logistics Implementation Section 4 Option 1 Phase 2 Financials Implementation Section 5 Option 2 Phase 1 Logistics Implementation Section 6 Option 2 Phase 2 Financials Implementation For Option 1 Core System Replacement for PMO Phase 1 Logistics ? Implementation of Oracle Logistics modules to implement Logistics PMO functionality and replace the current Damp。B Logistics Systems ? Internal interfaces with existing Logistics satellite systems ? External interfaces with other legacy systems ? Interface between Damp。B General Ledger and Oracle General Ledger Phase 2 Financials ? Implementation of Oracle Financials modules to implement financials PMO functionality and replace the current Damp。B Financials Systems ? Interfaces between Oracle Financials modules and HKT legacy systems For Option 2 Total PMO Replacement Plus Incremental Additional Functionality Phase 1 Logistics ? Implementation of Oracle Logistics modules to implement Logistics PMO functionality (for replacing the current Damp。B Logistics Systems) and some FMO functionality, plus replacement of most of the satellite inventory and warehousing systems ? Internal interfaces with existing Logistics satellite systems that are not replaced ? External interfaces with other legacy systems ? Interface between Damp。B General Ledger and Oracle General Ledger Phase 2 Financials ? Implementation of Oracle Financials modules to implement financials PMO functionality and replace the current Damp。B Financials Systems, plus some additional FMO requirements ? Interfaces between Oracle Financials modules and HKT legacy systems Phase 3 Incremental Improvements ? Business improvement projects ? Application of advanced technologies, such as Webenablement, Network Computing Architecture, Network Computing, BarCoding, Configurator, DSS The systems architecture of the Oracle Solution is illustrated in the following three figures, which show, for Option 1, Phases 1 and 2 and some possible future improvements. As Fig. ES6 shows, a notable feature of Oracle?s solution is that it embraces a number of legacy systems in Phase 2. Fig. ES5: Oracle’s Solution Option 1, Phase 1 Fig. ES6: Oracle’s Solution Option 2, Phase 1 Fig. ES7: Oracle’s Solution Future Schedule Oracle propose to implement Phase 1 Logistics of the Business Support System in 12 months. The implementation of Phase 2 Financials can be pleted in 6 months. Based on Oracle?s phased approach, Hongkong Tele has the flexibility in deciding when Phase 2 should be implemented. It can be implemented at the later stage of Phase 1 (with some overlapping with Phase 1), or after the implementation of Phase 1, depends on Hongkong Tele?s resource availability.