Business divisions we operate and manage
Commercial Operations supports the fulfillment and revenue processing operations of the company’s multi-billion-dollar Commercial business with a vision to deliver on the promise of Right Revenue, Right Returns on Investment for Microsoft. Commercial Operations has Regional Operating Centers located in Nevada, Florida, Ireland, North Dakota and Singapore. Commercial Operations globally manages channel partner and customer contract management, revenue processing, manufacturing/fulfillment of media, electronic software distribution and volume licensing customer care in line with the five Microsoft Operations strategies.
Original Equipment Manufacturer (OEM) Operations is a global organization with teams located in Redmond, Reno, Dublin, Fort Lauderdale, and across Asia. The team supports the Consumer & Device Sales business and the partner ecosystem that builds, markets and sells devices with Microsoft software and services. The OEM Operations team is accountable for core execution of partner licensing and contract management, invoicing, physical and digital supply chain, financial compliance and privacy, product launch, global reporting and analytics capabilities, and partner engagement and factory readiness strategies between Microsoft and our OEM and distribution/reselling partners.
The Xbox Operations team, run by the Windows and Devices Group within Microsoft Corporation, is responsible for performing operational support for Xbox. This includes processing and administering publisher licensing agreements, collecting associated royalties and fees, enforcing contract compliance, and antipiracy program management. This team is also responsible for the manufacturing and distribution of Xbox third-party games through management of authorized replicators, applying supply chain security standards and coordination of product manufacturing and shipping. The Xbox Operations team strives to provide operational solutions and trustworthy revenue acknowledgement with a continuous drive to build and preserve dynamic partnerships.
Microsoft Online, Inc. is a wholly owned legal entity of Microsoft that manages the online advertising operations. The purpose of Microsoft Online, Inc. is to empower every advertiser, advertising agency to achieve more through compliant, simple, optimized and scalable advertising business experiences across Microsoft’s online ecosystem. Microsoft Online, Inc. oversees end to end agreement and revenue recognition processes behind the Bing Search, Display and Publisher advertising businesses.
The World Wide Credit Services organization is responsible for the management of Microsoft’s global credit risk and accounts receivable portfolio. Oversight for this $12 billion portfolio is carried out by teams based in Redmond, Reno, Fort Lauderdale, Manila, Buenos Aires, Dublin, Budapest, Chennai, Gurgaon, Johannesburg, Singapore, Seoul, and Beijing. World Wide Credit Services provides services for all of Microsoft’s major business segments in support of the order-to-cash-cycle and partners with the Treasury Organization to maximize cash flow in support of the lifecycle of the dollar.
The Finance Department is made up of three divisions who oversee various aspects of the financial operations of Americas Operations Center (Reno, NV).
- Revenue Assurance and Licensing Compliance Team: The Revenue Assurance and Licensing Compliance team is made up of Revenue Assurance, Licensing Contract Compliance and Controls and Compliance. The Revenue Assurance group ensures Microsoft revenue is recognized appropriately through analyses and review of customer agreements. The Licensing Contract Compliance department protects Microsoft Intellectual Property and revenue by improving overall channel and supply chain health. The Controls and Compliance division develops and maintains a controlled and compliant environment within Microsoft Operations by assessment of impactful processes and participating in the design in new processes and systems worldwide.
- Financial Planning and Analysis Organization: This group is responsible for influencing business decisions through analysis and business thought leadership. The Microsoft Financial Planning and Analysis Organization supports the Original Equipment Manufacturers, Commercial Operations and Microsoft Operations Puerto Rico. This team is responsible for reporting and analysis of monthly operational expenditures, cost of goods sold and channel incentives. In addition to the annual and quarterly forecasting process, this team focuses on providing business partners with financial insight to improve the profitability of our business and maximize shareholder value.
- Statutory Accounting and Transactional Tax: The Statutory Accounting and Transactional Tax teams are responsible for ensuring the integrity of Microsoft's financial records and recognition of transactional taxes for multiple key entities located Nevada and the Americas. This includes performing key SOX statutory reviews, audit coordination, and annual financial statement preparation. These teams contribute to the overall Finance mission by ensuring accurate, complete and timely processing of financial transactions and indirect tax filings. Through contractual arrangements with Microsoft Corporation, the Accounting and Tax group also provides accounting and tax support for certain Microsoft programs.