Oracle EBS Journey to the Cloud - What is New in 2022 (UKOUG Breakthrough 22 edition)

© Pythian Services Inc 2022 | Public
Oracle EBS
Journey to the
Cloud
What is New in 2022

Pythian Services Inc | Public | 2
About Andrejs
Apps DBA from Riga, Latvia.
Speaking SQL since 2001. In Oracle world since 2004.
Boiling Oracle EBS since 2006.
Conference speaker:
UKOUG, nlOUG, DOAG, OATUG
UKOUG 2017 Speaker Award winner
@aprokopjevs
prokopjevs@pythian.com
https://blog.pythian.com/author/prokopjevs/
Andrejs Prokopjevs
Principal Applications Database Consultant
At Pythian since 2011

Pythian overview
Pythian maximizes the value of your data estate by delivering advanced on-prem, hybrid, cloud, and multi-cloud
solutions and solving your toughest data and analytics challenges.
25
Years in Business
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Experts across every Data Domain & Technology
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Real-world transformation
Full Solution Lifecycle: Strategy, Consulting, Implementation, Support, Optimization
Modernization and
automation creates a
foundation for continuous
transformation and
operational excellence
100K+ VMs migrated
Hundreds of CI/CD
pipelines built
ERP & mission critical
workloads managed
Dozens of cloud platforms
Infrastructure
Modernization
Data and analytics used to
drive your business, get
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predictions and produce
new products
11,000+ databases running
reliably at scale
Thousands of data pipelines
running
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delivered
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Modernized application
development brings faster
better development for
competitive advantage
Hundreds of application
projects delivered
TCO cut by 20-60%
ROI paybacks under
one year
Applications managed on all
major clouds
Application Acceleration
Frictionless, secure
collaboration and sharing,
from anywhere on any
device drives internal
transformation
Tens of thousands of users
migrated
300k+ Google Workspace
seats currently managed
350+ domains under
management
Business Collaboration

Solutions designed to power the value of your data
Solutions that
maximize the entire
data estate
No matter what
platform you choose
Wherever your
data and
applications reside
Public Cloud
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CloudOps Applications
Data & Analytics
Data & Analytics Consulting
Database Services
Cloud Data Platform Services
Data Insights & Advanced
Analytics
Oracle EBS
SAP
Collaboration & Workspace
Application Development,
Migration & Refactoring
Cloud Migrations
Cloud Management –
InfraOps / FinOps
Google Cloud
DevOps – CI/CD
ON-PREMISE

Outcome focused methodology
Assess &
Plan
Design &
Prove
Build &
Deploy
Manage &
Optimize
Continuous
Transformation
Expand, Scale,
Integrate
ASSESS & PLAN
Advisory services align technology with business
objectives, develop solutions and roadmaps.
DESIGN & PROVE
Focus is on collaborative design
using PaaS and existing
automation – driven by best
practices.
BUILD & DEPLOY
An incremental and iterative approach
to developing and implementing
solutions that is driven by an agile
approach and maximizing the use of
automation.
MANAGE & OPTIMIZE
Ongoing support and continuous
transformation systems performant,
cost optimized and capable of
evolving to meet ongoing needs.
CONTINUOUS
TRANSFORMATION
Scaling through additional
automation and the addition of value
added services and features to
address new and evolving use cases.

Full lifecycle engagement
MANAGED SERVICES
Drive ongoing performance, availability and
continuous systems improvement with a
high-touch managed service model. Team-
based remote delivery with global reach
and 24x7 services available. [Open-scope or
a fixed-price]
• Database Managed Services
• Cloud Managed Services
• Google Cloud Managed Services
Prof
Service
s
Professional
Services
Manage
d
Service
s
Managed
Services
CONSULTING
Deliver expert advice to solve
the most complex challenges.
Length of engagement depends
on complexity. [Fixed price or
hourly]
TRANSFORMATION &
IMPLEMENTATION SERVICES
Execute on a plan. (Migrate to cloud, build an
EDP, etc.) Typically team-based where
Pythian’s role can vary from full outcome
delivery to staff augmentation. [Fixed price or
hourly]
CONTINUOUS
TRANSFORMATION
Balancing offense (transformation)
and defense (operational excellence)
across all Pythian practices for
ongoing optimization
WORKSHOPS
Explore the art of the possible. Bespoke
workshops to understand organizational
readiness for a transformation project and
establish a roadmap to get there. [Fixed price]
* % of Services Revenue

Agenda
● What is happening in 2022
● Cloud feature comparison
● The migration process
● Summary (the key highlights)
● Case study (basic example)

Disclaimer
Running Oracle EBS in the cloud (UKOUG Apps16) － successor
https://www.slideshare.net/AndrejsProkopjevs/running-oracle-ebs-in-the-cloud-oaug-collaborate-18-edition
Less technical deep-dive. More comparison, know-hows, and the process.
We will be agnostic to cloud platform vendors.

What is
happening in 2022

What is New in 2022
In the last 5 years, it is still …
● Possible mix of IaaS, PaaS, and SaaS, depending on the platform chosen.
● Continuous client-demanding topic.
● Uncertainties around the options.
In the last 5 years, we have got …
● All cloud platforms are similar from an infrastructure point of view (in general).
● Oracle Cloud improved and stabilized. Numerous EBS-centric integrations matured.
● Oracle introduced a licensing trap running its software on non-OCI cloud platforms.

Support for EBS workloads
● Oracle Cloud (OCI)
● Amazon Web Services (AWS)
● Microsoft Azure (Azure)
● Google Cloud (GCP)
○ Supported only on Bare Metal Solution.
● VMware Cloud services
○ Available and not limited to platforms listed.
○ No certification (VMware KB and Doc ID 249212.1).
○ Licensing - Host Affinity and CPU Affinity.
○ Features like Real Application Cluster (RAC) are
supported only for on-premises.

Our Focus
● Amazon Web Services (AWS)
● Microsoft Azure (Azure)
● Google Cloud (GCP)
○ Supported only on Bare Metal Solution.
● VMware Cloud services
○ Available and not limited to platforms listed.
○ No certification (VMware KB and Doc ID 249212.1).
○ Licensing - Host Affinity and CPU Affinity.
○ Features like Real Application Cluster (RAC) are
supported only for on-premises.
Google Cloud BMS or VMware
1. a special condition
2. more comprehensive capacity
pool planning
3. direct involvement of platform
sales negotiating the pricing.

Network
Region and Availability Zones
● Features and compute capacity
● High Availability
● Network latency with your intranet
● Data protection or privacy legislation requirements
Security
● Protected private subnets (expose only what is required)
○ Load Balancers
○ Proxy servers
■ HTTP (reverse and forward)
■ Interface file exchange bridges
■ Secure tunnels
○ SQL*Net Connection Manager (CMAN)
○ Bastion hosts
Everything should start with a proper and secure network design.

Instances (virtual machines)
● General purpose
● Compute-optimized
● Memory-optimized
● Storage-optimized
● Accelerated computing
● Flex shapes (OCI feature)
○ General hardware specifications.
○ Choose your own compute power parameters.
The throughput limits scale together with the CPU
allocation selection.
Different IO and network throughput limits
○ It is common to set a more oversized instance type for
the database tier to meet higher throughput performance
criteria.
Pricing
○ On-Demand vs. Reserved Capacity
Dynamic IP addresses
○ A problem for EBS configuration.
■ Link with DNS service.
■ OS correction start-up service (like hosts).
■ Logical hostname configuration.

Storage
● Block storage － general disk volumes assigned to one instance at a time
○ Example: Database data files.
● Local ephemeral non-persistent storage － local disk storage with temporary data being lost during an instance restart
○ Examples:
■ Runtime temporary/lock/pid files.
■ Database Smart Flash Cache feature.
● File system storage － network-based volumes (like NFS) which can be shared between multiple instances
○ Example: Apps Base file system.
● Object storage
○ Examples: Interface file exchange or storing the backups.
SQL> show parameter db_flash_cache
NAME TYPE VALUE
------------------------------------ ----------- ------------------------------
db_flash_cache_file string /dev/xvda1
db_flash_cache_size big integer 200G
SQL>

IO performance
IOPS and IO throughput － the most difficult part.
Limitations per object type:
● instance/shape type or its compute capacity
● storage type or the volume size
● VPUs (OCI feature)
○ Baseline + dynamic scale
○ No data migration is required
The secret is in the details! Experiment and benchmark.
Note: Oracle Database IOPS ≠ cloud storage IOPS
High-Performance
storage
=
higher IO
performance
= $$$$$$$
Combination of an
instance type and
standard storage
=
higher IO
performance
= $$$$$$$
Classic AWS example for DB-tiers
1. Memory-optimized instance type.
(40 GB => 120 GB RAM. Equal vCPUs/licensing)
Higher instance-level throughput limits.
2. 1 x 1 TB io1 disk => 5 x 200 GB gp2 disks
3. ASM with data disk rebalance.
Result: Same throughput performance metrics.

Licensing
○ Enterprise Edition
2 OCPUs = 1 processor license
○ OCPU vs. vCPU － core vs. virtual thread
wild comparison: 1 OCPU = 2 vCPUs
● Oracle Authorized Cloud Environments －
Amazon Web Services (AWS)
Microsoft Azure (Azure)
○ Enterprise Edition
2 vCPUs = 1 processor license
○ without hyperthreading enabled
1 vCPU = 1 processor license
○ Oracle Processor Core Factor Table
does not apply !!!
Important note: The above licensing outline is based on Oracle's general materials and licensing terms.
2x license cost
(for processor-based)

Cloud feature
comparison

General cloud feature overview
OCI AWS Azure
Network Regions
Availability zones
VPC features
Yes Yes Yes
Direct-Link with OCI is
available in selected regions
Instance
types
Various compute
type availability
Yes
Flex shape availability
Yes Yes
Performance and
throughput limits
Depends on the instance
type
OCPU allocation for Flex
shapes
type
type
On-demand or
reserved capacity
pricing
Universal Credits 1-year or 3-year
allocation discounts
1-year or 3-year
allocation discounts

General cloud feature overview - 2
OCI AWS Azure
Storage Various storage
type availability
Yes Yes Yes
Performance VPUs and Dynamic
Performance Scaling
Depends on the storage
type
Depends on the storage
type
Backup /
Recovery
VM images Yes Yes Yes
Storage snapshots Yes Yes Yes
Object storage
integration
Yes Yes Yes
Other
infrastructure
components
Load Balancer Yes Yes Yes

General cloud feature overview - 3
OCI AWS Azure
Other
infrastructure
components
SSL certificate
management
Yes Yes Yes
Automation Auto Scaling Yes Yes Yes
Event or
trigger-based
actions
Yes Yes Yes

EBS topology feature overview (DB-Tier)
OCI AWS Azure
EBS DB-Tier Infrastructure
Compute (IaaS)
Yes Yes Yes
Managed Database
Service (PaaS)
DBCS
or
ExaCS - advantage of
maintaining the Exadata
platform and its
performance features
Amazon RDS Custom No
Oracle Database Service
for Azure (multi-cloud
integration with OCI)
License included
model
DBCS or ExaCS No No
Real Application
Cluster support
DBCS or ExaCS No No

EBS topology feature overview (DB-Tier) - 2
OCI AWS Azure
EBS DB-Tier Cloud-native
operational
features
DBCS or ExaCS
or
Manual with
Infrastructure Compute
approach
Amazon RDS Custom
or
Manual with
Infrastructure Compute
approach
Manual
Backup / Recovery Oracle Database Backup
Cloud Service
or
Manual
AWS Storage Gateway
(semi-manual)
or
S3 can be integrated
with Oracle Secure
Backup (license required)
or
Manual
Azure Backup service
or
Manual
Encryption TDE (license required) or storage level encryption

EBS topology feature overview (Apps-Tier)
OCI AWS Azure
EBS Apps-Tier Infrastructure
Compute (IaaS)
Yes Yes Yes
License included
model
Middleware licensing can
be covered by UCM VM
images.
No No
Cloud-native
operational
features
Option to deploy the EBS
Cloud Manager instance
Manual Manual
External tier Dedicated subnet provisioning or more restricted security groups assigned
Auto Scaling Basic scenarios can be
initiated using EBS Cloud
Manager (automation is
still manual)
Manual automation
development for Add and
Delete node scenarios
Manual automation
development for Add and
Delete node scenarios

EBS topology feature overview (General)
OCI AWS Azure
General Monitoring Management Cloud Service
(full EBS support
out of the box)
or
Manual
CloudWatch
(general database)
or
Manual
Third-party options on
the marketplace
or
Manual
Event or
trigger-based
actions
(like cloning)
Basic scenarios can be
initiated using
EBS Cloud Manager
Manual Manual

Integration feature overview
OCI AWS Azure
Workflow
Notifications
SMTP Email Delivery Service Amazon WorkMail
or Simple Email Service (SES)
or SendGrid
Office 365
• JavaMail API updates are required to support the SMTP authentication (Doc ID 2051827.1)
• Less Secure Basic Authentication, or set a local transparent SMTP relay on the Apps-tiers (like sendmail)
IMAP No Amazon WorkMail Office 365
• JavaMail API updates are required to support the IMAP authentication (Doc ID 2051827.1)
OAuth 2.0 No No Yes (Doc ID 2884072.1)
Third-party
support
Or use third-party service, like GMail or others.
• Review the local relay options to protect the network exposure.
• Note: Services are deprecating the Less Secure Basic Authentication.

Integration feature overview - 2
OCI AWS Azure
Native Oracle product
integrations
PaaS and SaaS options:
• Identity Cloud Service
• Data Integrator Cloud Service
• Analytics Cloud Service
• SOA Cloud Service
• WebCenter Portal Cloud Service
• Cloud ERP (Hybrid mode)
or
Custom installation and
operational support (IaaS)
operational support
(IaaS)
operational support
(IaaS)
Managed Database Service
for non-EBS Oracle (PaaS)
ATP-D or DBCS or ExaCS Amazon RDS No
Oracle Database Service
for Azure (multi-cloud
integration with OCI)

Integration feature overview - 3
OCI AWS Azure
Custom or third-party
product integrations
• WebLogic Cloud Service
• Application Container Cloud Service
or
operational support (IaaS)
• AWS Elastic Beanstalk
or
operational support
(IaaS)
• Azure App Service
or
operational support
(IaaS)
• Evaluate the usage of the same-cloud platform features for heavy data exchange
integration processes to gain the best performance and avoid network latency.

Pros & Cons highlights known by Pythian - OCI
Pros
● Native cloud platform
● Native integrations with Cloud services
● License-included models
● Optimal licensing costs
● Infrastructure:
○ OCPU (physical core) vs. vCPU (virtual thread)
○ Flex shapes
○ VPUs and Dynamic Performance Scaling for storage
● Managed Database Services:
○ DB-tier RAC option support with shared block storage
○ Exadata for the highest IO performance
● Lift & Shift process automation tools
● EBS Cloud Manager with automation options
Cons
● OCI console stability is often frustrating.
● The Cloud Lift service may not cover all prerequisites.
○ Foundational architecture investment is required.
(IAM, Security, Infrastructure-as-Code, etc.)
● DBaaS management (DBCS or ExaCS)
is not as seamless as Oracle may present.
○ DBAs still spend time working with Oracle Support.
Resource savings marketed are likely not achievable.
● EBS Cloud Manager:
○ Discovery feature － only recently supported.
○ Automation scenarios may not achieve all the requirements.
Or simply do not work.
● OCI Universal Credits “sold” by Oracle:
○ Customers will always pay at least that much.
Test a lower capacity with a Pay-as-you-Go model.
● Infrastructure Compute (IaaS) － more scalable storage
opportunities than Managed DB service (DBCS).

Pros & Cons highlights known by Pythian - AWS
Pros
● The most-popular Cloud platform on the market
● Good proven stability (experience)
● User-friendly management interface (subjective)
○ Except tagging nightmare 🙂
● Wide range of implementation possibilities
● Various storage options and backup
● Next-gen instance types － faster and easier switch
● Longer tolerance to legacy platform requirements
Cons
● Expensive licensing
● Significant data transfer rates
● Higher Cloud operational costs (in general)
● No ready templates are available for easy provisioning
● You are responsible for instance/database lifecycle
● Not many automation options are available for Oracle
○ Nothing for Oracle EBS
● High-Availability － manual setup
○ Based on the on-premises principles
● No support for database RAC option

Pros & Cons highlights known by Pythian - Azure
Pros
● Good choice for Microsoft-centric organizations
● Modern storage/backup solutions
● Good cooperation with Oracle
○ Oracle DB VM templates for easy provisioning
○ Direct-Link with OCI regions (depends on the region)
○ Oracle is testing its products on Azure
● Rich marketplace (integrations)
Cons
● Expensive licensing
● No EBS templates are available for easy provisioning
● You are responsible for instance/database lifecycle
● Not many automation options are available for Oracle
○ Nothing for Oracle EBS
● High-Availability － manual setup
○ Based on the on-premises principles
● No support for database RAC option
● Careful region/zone and VM size decisions

Pros & Cons highlights known by Pythian - Other notes
High-Availability for EBS
● Manual setup and process － common practice.
○ OCI EBS Cloud Manager － advantage but far from perfect and not easily usable.
Miss of the DB RAC option on non-Oracle cloud platforms
● Additional same-region DR with Data Guard. Or Active Data Guard as read-replica.
○ Doubles the storage cost.
● Less critical systems － additional DB-tier VM on standby.
○ OS software failure － reassign DB storage volumes and restart (< 1 hour downtime).
● Third-party solutions like FlashGrid or VMware.
○ Decision risk － not supported by Oracle.

The migration
process

First steps
Q: What is the capacity we need to estimate for the cloud move?
Evaluate your current performance !!!

Proof of concept
● Migrate first in a lower test capacity.
○ Evaluate the performance and compare it with the baseline requirements.
○ Recent compute generations may be faster and cheaper.
○ Right-size the compute requirements based on the utilization statistics.
● Automation.
● Evaluate the native cloud lift services (if available).
○ It may not cover all the prerequisites.
● Design and confirm your integration strategy.
○ Usually, it is the area with all the surprises and technical challenges.

Downtime planning
Well-established process and planning are important !!!
● Proof-of-concept migration, Testing.
● Pre-production built and its pre-migration validation.
○ Re-use the infrastructure and its configuration as part of the production migration.
● Leverage the physical standby switchover model.
○ 30 min - Standby switchover (physical).
○ 60 min - EBS stack reconfiguration (if no logical hostnames are in use).
○ 30 min - Frontend access switchover and/or DNS updates.
○ 120 min - Interface switchover (with pre-built and verified targets and configuration during the pre-production
iteration). Note that this number can be even less.
4 hour downtime
(general example)
300 GB or 12 TB system

Summary
(the key highlights)

Positive benefits of moving to the cloud
● We move off from the aging on-premises hardware.
● Long-term deployment:
○ Server OS lifecycle terms only. No hardware dependency.
● Ability to right-size the capacity and avoid over-provisioning.
● Rapid scaling per requirements.
● Rapid provisioning per development project requirements.
● Automation options:
○ Control the non-production instance availability during business hours.
○ One-click instance refresh for non-production.
○ Automated DR failover.
○ Other possible scenarios per business requirements.

Negative aspects of moving to the cloud
● Security and Data Protection are critical !!!
○ Secure architecture design is a must on all layers.
○ Encrypt and protect as much as possible.
● Strict access control to all objects and services.
● Mistakes in design will lead to technical debt and risks from day 1.
● Possible network latency with the cloud service provider.
○ Research the closest availability zone options.
● Moving to Cloud is not always cheaper than staying on-premises.
○ Cost evaluation and its governance are important.

How to choose the right platform?
● Existing corporate presence
● Feature requirements
● The region, availability zone, and feature availability
○ Data protection or privacy legislation requirements.
● Cost
○ Experiment and compare.
● Licensing

Key factors of success
● Experiment with lower compute capacities.
○ Right-size the compute requirements based on the utilization statistics.
○ Leverage the dynamic scaling features (as applicable).
● Well plan your migration process.
● Licensing － consult with an Oracle licensing expert.
○ Evaluate and understand all the options that suit your requirements.
○ Choose the most optimal cost.
○ OCI Universal Credits, sometimes, is a trap.

Case study
(basic example)

Let us imagine …
Pythian is running its own Oracle Financials system in its on-premises data center.
Our inputs are:
● Basic single Apps-tier and DB-tier topology.
● DR site with Data Guard.
● Database size: 1.5 TB.
● Utilization: 25 %.
● Data must locate in Canada due to legislation requirements.
● Existing AWS cloud presence.

Objectives
We are looking for:
● Compare the features available between OCI, AWS, and Azure.
● Preliminary potential cost comparison.
● Summarize the roadmap recommendations.
Other assumptions:
● Oracle licensing － general BYOL approach.
● Leveraging automation is not a key requirement.
● Cost estimate － current capacity and 50% less CPU/Memory power (underutilization).

Key feature comparison
OCI AWS Azure
Network Two regions available on the
east coast of Canada.
Existing presence, but only
one region in Canada for now.
Two regions are available on the
east coast of Canada.
Limited features and VM types
are available in the 2nd region.
Managed Database
Service (PaaS) for
EBS DB-Tier
DBCS Amazon RDS Custom
Cloud-native
operational features
Option to deploy the EBS
Cloud Manager instance
Note: we are not highlighting the categories or criteria where all platform options equally apply or are not relevant.

Cost estimate summary for OCI
Instance type OCPU Memory
On-Demand price
per month
Reserved Capacity with
Universal Credits
Database (Infrastructure Compute - IaaS)
VM.Standard.E4.Flex 16 (~32 vCPU) 128 444.70 $ N/A
VM.Standard.E4.Flex 8 (~16 vCPU) 64 224.47 $ N/A
Applications (Infrastructure Compute - IaaS)
VM.Standard.E4.Flex 4 (~8 vCPU) 32 118.61 $ Goes down based on unused
capacity %.
VM.Standard.E4.Flex 2 (~4 vCPU) 16 63.56 $ Goes down based on unused
capacity %.
Storage
Ultra High
Performance
40 VPUs
100,000 IOPS per volume
1 GB/s per volume
1.5 TB 140.25 $ / month
Higher Performance
20 VPUs
50,000 IOPS per volume
680 MB/s per volume
1.5 TB 89.25 $ / month

Cost estimate summary for AWS
Instance type vCPU Memory
On-Demand price
per month
1-year Reserved price per
month
m5.8xlarge 32 128 1273.73 $ 802.78 $
m5d.4xlarge 16 64 749.95 $ 472.44 $
m6i.2xlarge 8 32 318.43 $ 209.99 $
m6i.xlarge 4 16 159.21 $ 104.99 $
Storage
io2 64000 IOPS per volume
1 GB/s per volume
1.5 TB 211.968 $ / month plus $0.072/IOPS/month
gp3 16000 IOPS per volume
1 GB/s per volume
1.5 TB 135.168 $ / month
3000 IOPS free and 0.0055 $/IOPS over/month
125 MB/s free and 0.044 $/MBs over/month

Cost estimate summary for Azure
Instance type vCPU Memory
On-Demand price
per month
1-year Reserved price per
month
Standard_D32d_v5 32 128 1471.68 $ 868.25 $
Standard_D16d_v5 16 64 735.84 $ 434.17 $
Standard_D8_v5 8 32 312.44 $ 184.33 $
Standard_D4_v5 4 16 156.22 $ 92.17 $
Storage
Ultra disk 160,000 IOPS per volume 1.5 TB 220.89 $ / month plus $0.06/IOPS/month
Premium SSD 5000 IOPS per volume 1.5 TB 135.17 $ / month

Cost comparison
OCI AWS Azure
On-demand
Monthly (high capacity): 703.56 $
Monthly (low capacity): 377.28 $
OCI Universal Credits
Subject of negotiation with Sales.
On-demand
1-Year Reservation
On-demand
1-Year Reservation
2.5+ times cheaper
DBCS option included
RDS option included

Conclusion summary
● OCI is an obvious winner based on the features and the cost.
○ But it requires additional foundational investment and training due to an existing AWS presence.
● AWS, having it as an existing cloud presence, deployment requires at least double the licensing
investment for a similar compute power capacity.
○ Due to the underutilization, the 50% capacity reduction is real to meet the current BYOL portfolio and the
budget. But it is a loss long-term.
● AWS is not an option due to a single regional availability in Canada.
○ It does not meet the requirements but can play an alternate DR deployment role.

Thank You.
Questions?

Oracle EBS Journey to the Cloud - What is New in 2022 (UKOUG Breakthrough 22 edition)

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