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Transcript of BUILDING BLOCKS FOR SUCCESS › conferences › sw2005_proceedings › phillips.pdf · Growing...
BUILDING BLOCKS FOR SUCCESS
Charles PhillipsPresidentOracle Corporation
Simplicity is theKey Organizing Principle
of the 21st Century
Industry Maturation
Ÿ Customers Consolidating Around Market LeadersŸ Critical Mass ImportantŸ Driving Innovation and Business Value Through
Information
Economic Data
Growing Concentration of RevenuesAmong the Larger Vendors
69%
72%
79%81%
87%89%
60%
65%
70%
75%
80%
85%
90%
Top 5 Top 10 Top 20
2000 LTM
Source: FactSet Research Systems, using 81 publicly traded software companies (including MSFT + IBM’s softwarebusiness).Data as of: December 5, 2004.
Software Investment by Type:Business – 2003
29%
28%
Own
account
43%
Source: Bureau of Economic Analysis, Table 11: Software Investment and Prices.Data as of: August, 2004.
Prepackaged
Custom
Software Investment by Type:Business (1997 – 2003)
32%
35%
32%
34%
36%
31%
31%
34%
35%
28%
34%
37%
28%
33%
39%
30%
29%
41%
29%
28%
43%
0%
25%
50%
75%
100%
1997 1998 1999 2000 2001 2002 2003
Own account
Custom
Prepackaged
Source: Bureau of Economic Analysis, Table 11: Software Investment and Prices.Data as of: August, 2004.
Software Universe Data
- Data on 19 Companies Tracked inthe Software Universe
Y/Y License Revenue Growth
38%
32%29%
10%
1%
8%
1%
33%35% 36%
57%
40%
27%
2%
-16%
-21%-22%
-25%
-13%
-6%
-11%
-2%
4%
12%
16%
11% 10%
-40%
-30%
-20%
-10%
0%
10%
20%
30%
40%
50%
60%
1998 1999 2000 2001 2002 2003 2004
Aggregate license revenue for 19 publicly traded software companies. Quarterly data.Source: Company reports – as of 3CQ:04.
Software Industry Employment
0
30,000
60,000
90,000
120,000
1998 1999 2000 2001 2002 2003 2004
Aggregate employees for 19 publicly traded software companies on a quarterly basis. Quarterly data.Source: Company reports – as of 3CQ:04.
Software Industry Employment
28%
23%
16%
11%10%
11%
14%
17%
19%
14%
9%
4%
-1% -1%-2%
-3%-4%
-3%-2%
2% 3% 3%
6%
-10%
-5%
0%
5%
10%
15%
20%
25%
30%
35%
1999 2000 2001 2002 2003 2004
Aggregate employees for 19 publicly traded software companies on a quarterly basis. Quarterly data.Source: Company reports – as of 3CQ:04.
Year/Year % Growth
Enterprise Computing Trends
Ÿ Information AgeŸ Standardization
Information AgeApplications
operate on and presentdata that are
timelyconsistent complete global
Information Age Applications
Ÿ Information DrivenŸ Standards DrivenŸ Industry Driven
SQLDatabase QueryTCP/IPNetwork ProtocolIntelProcessorHTMLPresentationJSR 168PortalJDBCDatabase ConnectXMLMarkup Language
EJBServer ObjectsJMXManagement APIJMSMessagingJavaLanguageLinuxOperating System
?ApplicationsWi-Fi/Wi-MaxWirelessIMAPE-MailBPELBusiness ProcessUnicodeEncodingSAMLSecurity Mark UpHTTPTransport ProtocolLDAPObject DirectoryUDDIService DirectorySOAPObject AccessWSDLService DescriptionSCSIData Transfer
StandardsA Long Journey
Information as a Strategy
Ÿ Manage: GridŸ Process: ApplicationsŸ Analyze: Business IntelligenceŸ Host: On Demand
The Information CompanySimplify, Standardize, Automate
Grid FusionMiddleware
Information AgeApplications
• Oracle E-Business Suite• PeopleSoft Enterprise• JD Edwards Enterprise One• JD Edwards World• Retek
• Application Server• Integration / SOA• Business Intelligence• Identity Management• Data Hubs• Collaboration Suite
• Database• Real Application Clusters
(RAC)• Enterprise Manager
XThousands of reference customers
XLDAP Directory
XWeb Cache
XIdentity Management
3rd partyContent management
ABAP/Java ServerStandard Java server with 3rd party support
ProprietaryStandard integration via web services
MDM needed for SAPapplications
Data Hub
XCentralized management and provisioningof entire tech stack
Primarily ProprietaryABAP
Java development environment
XBusiness Process Execution Language
Costly add onsBusiness Intelligence
Limited and onlyinside SAP Portal
Collaboration
XPortal
SAPNetweaver
OracleFUSION MIDDLEWARE
Applications Infrastructure
Information Driven Enterprise
Ÿ Alignment
Ÿ Collaboration
Ÿ Measurement
Ÿ Transparency
Aligning all constituents via commonfacts objectives
Shared information for sharedprocesses
Accurate metrics for continuousimprovement and execution
Compliance and authenticatinginformation for all stakeholders
Process Centric
Information Driven
Information Age Applications
Should give you information
Collaboration – Accessing Information
Calendar
Voicemail
Files
Search
OutlookOutlookFaxFax VoiceVoice
WirelessWirelessWebWeb
Real-Time Collaboration
An innovative way to build
Information Age Applications
Data HubsCustomers,Customers,Products,Products,
EtcEtc
Customer Data Hub
Siebel
SAP
Legacy
Clarify
PeopleSoft
ExternalData
Lawson
SiebelEurope
• Customer data of record• Continuously Synchronized• Foundation for Data Quality
Enterprise Application Trends
Ÿ Information– Enterprise Performance Management– Customer segmentation– Data warehouses and Data Marts– Business Process Monitoring– KPIs and dashboards– Data Hubs
Ÿ Industry expertiseŸ Instance consolidationŸ Applications engineered with infrastructureŸ Standardization
Standardizing IT
Ÿ Applications TechnologyŸ InterfacesŸ LanguagesŸ IntegrationŸ DataŸ ProcessorsŸ StorageŸ Interconnects
GridSimplify and Optimize
Ÿ Pay as you goŸ Scale up and outŸ Latest processorsŸ Distribute peak loadsŸ Maximum reliability
Oracle Information ArchitectureD
evel
opm
ent F
ram
ewor
k Information Access
Business Processes
Data Hub
Grid Infrastructure
Enterprise Managem
ent
Oracle On Demand
Common Services
• Directories• Security• Installation• Notification• Content management• Alerting• Web Services• Workflow• Modeling• Collaboration• Management repository• End to end service level
monitoring• Scripting
Integration Services
Oracle Information ArchitectureD
evel
opm
ent F
ram
ewor
k Information Access
Business Processes
Data Hub
Grid Infrastructure
Enterprise Managem
ent
Oracle On Demand
Customer Benefits
• Certified configurations• Synchronized stacks• Pre-assembly• Fewer moving parts• Standard components• Consolidation• Centralized monitoring• Secure configurations• Engineered change
management• Auto discovery• Common installation• Centralized administration• Best practices cost of
ownership
Integration Services
Summary
Ÿ Meeting the Challenge– Industry Consolidation– Business Consolidation
Simplicity is theKey Organizing Principle
of the 21st Century
AQ&Q U E S T I O N SQ U E S T I O N S
A N S W E R SA N S W E R S
BUILDING BLOCKS FOR SUCCESS