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Amway is one of the world’s largest multi-level marketing companies, with three million independent business owners (IBOs) worldwide selling its products direct to customers. Recognizing that its IBOs needed to conduct most of their business away from offices or homes, Amway Taiwan wanted to make its online services available to IBOs via PDA phones and mobile devices. The company partnered with G Mobile to develop a PDA platform it could deploy using Windows Mobile® Version 5.0. This mobile application platform addresses the mobile business needs of IBOs, providing greater business system efficiencies, improved access to information, increased productivity, a reduction in errors, with minimal training required for IBOs to use the new platform.

Founded in the United States in 1959, Amway is a multi-level marketing company specializing in direct selling to customers. With its world headquarters in Ada, Michigan, United States, Amway has more than three million Independent Business Owners (IBOs) selling its products in more than 80 countries and territories around the world. Established in 1982, Amway Taiwan is one of the biggest direct selling companies in the country and offers more than 400 categories of product. The company has more than 250,000 IBOs and members throughout Taiwan, and its revenues grew 27.8% to NT$6.579 billion (U.S.$ 197.58 M) in 2005. The routine work of IBOs involves visiting customers and a ending Our Microso mobile meetings outside of internet-enabled offices, buildings and homes. While platform solution on the move IBOs need to manage tasks remotely such as checking sales

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provides exactly the performance and emails from associates, confirming product prices and advantages we are placing orders. Amway found that while notebook computers were looking for as well as useful for remote connectivity, they were inconvenient for IBOs to carry. great value. To strengthen its system of direct selling, Amway had previously Kevin Liu deployed e-business solutions and wanted to introduce mobile CIO (m-business) capability via a PDA portal implementation. Amway, and President, Information The model of direct selling at Amway is equivalent to the model of business to customer (B2C), which requires Amway to provide it’s IBOs Management with a complete flow of information, business logistics, cash, and product Association of the distribution. Amway’s extensive experience of IT for B2C efficiency has ROC laid a comprehensive, solid foundation for its e-business. To ensure an accurate and timely flow of information to its IBOs, Amway established its website in 1997 and was now ready to migrate to a running an m-business. “Our m-business stems from our e-business,” explains Kevin Liu, CIO, Amway and President, Information Management Association of the Republic of China. “Our Independent Business Owners are always on the go, and PDA phones are the most convenient device for them to carry with them to keep them well informed.” Amway previously a empted to use WAP-enabled phones for online ordering four years ago, but this proved unsuccessful due to the immaturity of WAP and the system was subsequently abandoned. However, due to technological progress over the past year and the release of PDA phones featuring rich functions and ease of use, Amway was willing to re-look at PDA platforms. The company wanted an integrated mobile platform that would extend its e-services, allowing it to successfully implement m-Business solutions that would actively support mobile direct selling, while requiring minimal training for its IBOs.

To meet its mobile business needs, Amway partnered with G Mobile to develop a PDA platform to extend the online services of the company. Amway chose to deploy Windows Mobile 5.0. This mobile applications operating system effectively extends the company’s comprehensive website services to a PDA platform. When considering the operating platform for front-end users, Amway Our Independent selected Windows Mobile due to user familiarity with the Windows Business Owners are operating system, the convenient functions of the platform, and the rich always on the go, and so ware resources provided by Microso . PDA phones are the ”More applications and functions will strengthen the effectiveness of our most convenient m-business,” states Liu. “Therefore, in order to develop more killer device for them to applications for m-business, there must be an open operating system and carry with them to rich resources for so ware development. Our Microso mobile platform keep them well solution provides exactly the advantages we are looking for as well as informed. great value.” Kevin Liu CIO Amway selected the most important information from its website and Amway, and transferred this to its PDA portal, so that IBOs equipped with PDA

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President, Information phones can now easily access product and company information, and Management complete important time-relevant tasks while they are on the move. Association of the The Amway PDA portal, developed by G Mobile, has 10 major functions, ROC which enable users to view the latest company news, meetings, products currently available, product catalogues, and terminated or temporarily suspended product supplies. IBOs can complete rapid ordering and order cancellations, update sales performance, and answer order queries and information requests from subordinates. Acknowledging that many IBOs have basic IT familiarity, Amway has assisted them in their use of e-Business and m-Business tools to help achieve their sales goals. To further streamline the use of m-Business processes by IBOs, Amway plans to move slow transmission information into functions that can be viewed offline by PDA phones. This information includes product price listing, e-books, commercials, product introduction videos, and customer information. The PDA solution is available internally to senior executives, salespeople and IBOs, and is available externally to logistics service partners. Amway also provided its partners with industrial PDA phones with bar code scan functionality. These work with a mobile network-integrated shipment tracking system developed by G Mobile. As a result, logistics service drivers are able to immediately report shipment status, resolving the time lag experienced in the past when they could only report the status a er returning to their companies. Now Amway IBO use this information to check the real-time status of deliveries online.

Windows Mobile 5.0 allows Amway Taiwan to use a powerful, stable information platform, which is based on a comprehensive, solid foundation of e-Business. The solution has enabled the company to improve IBO productivity when at meetings or visiting customers, to minimize the need for training, and has reduced information errors resulting from manual data processing.

Improved Business Efficiencies Windows Mobile supports the direct selling model employed by Amway by giving its workforce instant access to information at their point of need. Without the need for PCs or notebooks for completing business transactions, IBOs can carry their mobile office with them, accessing the company network at any time via the PDA platform. “The more applications and functions will be er strengthen the effectiveness of our m-business,” says Liu. “Therefore, in order to develop more killer applications for m-business, there must be an open operating system and rich resources for so ware development, and our Microso mobile platform solution exactly provides the advantages and great value in these aspects.”

Instant Uptake of New Technology The solution has enabled Amway executives and IBOs to start using the PDA platform straight way because operating system and so ware are familiar to PC users. “Microso operating systems provide the most open environment and one which users are most familiar,” states Liu. For example, Mobile Office-based PDA phones carry Microso Office Documents on the Go, and Push Mail is the function most frequently used by senior executives at Amway to directly open and read email a achments. The familiar interface has allowed even IBOs with minimal IT experience to use

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the so ware without incurring a steep learning curve. “Our ongoing use of the Windows environment requires no new learning and achieves the best integration and interoperability for the most effective information synchronization, because both PC and PDA are based on the Windows environment,” states Liu.

Improved Access to Information Amway has extended its real-time business information access to its mobile IBOs by developing and deploying a stable PDA platform. With users being able to transfer documents between their desktop PC and their Windows Mobile powered Pocket PC or PDA, as well as enable slow transmission information to be viewed offline by PDA phones, the company has provided its IBOs with multiple avenues for accessing, updating and viewing important company data.

Increased Productivity In using a Windows Mobile powered device that accesses the PDA platform, IBOs have increased their productivity when working away from their home or office, simply by using mobile versions of the Microso Office programs they already use. They can also respond more effectively to customer questions and be more efficient in placing and receiving orders, and keeping up to date with the latest company announcements. This increased productivity improves their revenue streams and boosts confidence.

Reduced Errors In the past Amway relied on paper processes and verbal conversations for collecting and managing data, especially from its highly mobile and less technically savvy IBOs. By moving to a mobile platform using Windows Mobile Amway has reduced data collection times and improved accurate data flow, resulting in faster business and be er revenue reporting. When considering a mobile operating platform for front-end users, Amway Taiwan selected Microso Mobile 5.0 Pocket primarily because of the convenient functions of this platform, supported by rich so ware resources and open environment provided by Microso . “Microso operating systems amount to the most open environment, with which users are the most familiar,” said Liu. “Our ongoing use of the Windows environment requires no unnecessary learning and, on the other hand, achieves the best integration and interoperability for the most effective information synchronization, because both PC and PDA are based on the Windows environment.”

For more information about Microso products and services, call the Microso Sales Information Center at (800) 426-9400. In Canada, call the Microso Canada Information Centre at (877) 568-2495. Customers who are deaf or hard-of-hearing can reach Microso text telephone (TTY/TDD) services at (800) 892-5234 in the United States or (905) 568-9641 in Canada. Outside the 50 United States and Canada, please contact your local Microso subsidiary. To access information using the World Wide Web, go to: www.microso .com For more information about Amway products and services, visit the Web site at:

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www.amway.com.tw

Windows Mobile Windows Mobile brings the power of the Windows® operating system to mobile devices, helping businesses and their mobile employees stay connected while on the go. Windows Mobile runs mobile versions of Microso programs, including Microso Office Outlook® Mobile, Internet Explorer Mobile, Pocket MSN®, Windows Media® Player Mobile, and Microso Office Word Mobile, PowerPoint® Mobile, and Excel® Mobile. With Windows Mobile, information workers get powerful so ware combined with the familiarity of Windows. Combined with available service plans and connectivity options, Windows Mobile–based devices, available from 42 device makers and 68 mobile operators in 48 countries, can be used to make calls, send e-mail and instant messages, surf the Web, and access critical business information even when users are away from the office. More information about Windows Mobile can be found at: www.microso .com/windowsmobile This case study is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.

Document published April 2007

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Organization Size: 250000 employees Organization Profile Established in Taiwan in 1982, Amway is an industry leader in both revenue and number of Independent Business Owners (IBOs).

Business Situation To strengthen the efficiency of its direct selling system, Amway wanted to develop an m-Business capability using a PDA portal platform accessible to IBOs from PDA phones.

Solution Amway chose to deploy Windows® Mobile Version 5.0 to extend the comprehensive e-commerce services of the company to a PDA platform accessed by mobile IBOs.

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Benefits Improved business efficiencies Instant new technology uptake Improved access to information Increased productivity Reduced errors

So ware and Services Windows Mobile 5.0 Vertical Industries Non-Store Retailers Country/Region Taiwan

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