IBM SOA

© 2007 IBM Corporation

November 12, 2007

The Business Value of SOA

Andrej CrepinsekIBM SWG CEMAASIT Architect Manager

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What is Driving Business Today? The Changing Business Landscape in the Globally Integrated Economy

Early findings from the IBM Global CEO Study to be published Spring 2008

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… a service

A repeatable business task – e.g., check customer credit;

open new account

Globally Integrated Economy Needs the Power of….

… service orientation

A way of integrating your business as linked

servicesand the outcomes that

they bring

… service oriented architecture (SOA)

An IT architectural style that supports service orientation

But haphazard SOA deployments can reduce value

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There is a Smarter Way!Introducing Smart SOA

FoundationalExtend

End-to-End TransformAdapt

Dynamically

A set of guiding principles to extend business value of deployment

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Technology becomes invisible

IT for strategic advantage and business model innovation

End-to-end business process management to innovate and optimize

Focused, proven, high-ROI projects

Value to IT

Distinct Value with Every PathRegardless of Where You Choose to Engage

FoundationalExtend

End-to-End TransformAdapt

Dynamically

Based on 5700 customers using our SOA offerings

Value to business

Greater agility in specific, departmental business areas

Optimization and innovation across end-to-end business processes

Business model innovation to support the Globally Integrated Enterprise

Predictive business automatically responding to market forces

>80%<80%<40%<10%% functions

expressed as services

% of services reused

>50%<50%<20%<5%

ScopeCollaboration within a line of business

Coordination across lines of business

Enterprise-wide organizational cooperation

Enact significant shifts without direct IT involvement

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When selecting SOA projects, focus on solving specific business problems as part of an evolving enterprise architecture

IBM has a variety of assets and best practices around the SOA entry points, based on our extensive experience with customers

People Entry Point:Interaction and Collaboration

Reuse Entry Point: Creating and reusing

proven, high-value assets

Information Entry Point: Information as a Service

Process Entry Point: Process Automation

Connectivity Entry Point:Securely and flexibly interconnecting

Leverage SOA Experience and Best Practices The SOA Entry Points

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FoundationalExtend

End to end TransformAdapt

Dynamically

Process Integrity

Process Integrity Takes SOA to the Next LevelEnabling Integrity of Transactions, Interactions and Information

SOA Entry Points

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Transactions Must Execute Consistently with Ability to Recover as Required

Users Must Be Provided with Up-to-date, Secure

Access to Information and Content

Information Must be Reliable, Complete and Manageable

Process Integrity is the ability to conduct reliable business activity in a secure, scalable SOA environment with seamless synchronization between:

Services Human Tasks Information Domains Users

Advanced: Process Integrity Enabling Integrity of Transactions, Interactions and Information

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SOA and Enterprise Architecture

Enterprise Architecture

Transition Plan

EA Governance

Business Operating Environment and IT Infrastructure

IT Solutions

Information Technology

Strategy

BusinessStrategy

Business Opportunity

Strategy

Planning

Design and Delivery

TechnologyAvailability

En

terp

rise

wid

e fo

cus

Pro

jec

t f

ocu

s

Business Architecture Processes Information

People

IT Architecture Applications

Information

Technology

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Business View

Business Analyst

IT View

IT Architect Developer

Process/Operation Model

Business Process Model

Business Component

Business Information

Business Services

Architecture/ Execution Model

Process Choreography

UML Class Model

UML Data, XML, SQL Model

Service Model, WS-BPEL

Enterprise Architecture Links Business and IT Reconciling Business Requirements and IT Capabilities

EnterpriseArchitecture

Business Perspective IT Perspective

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Business Strategy Drives IT DecisionsIT’s Goal is to Flexibly Support Business Requirements

Executable Solution

Executable Solution

Operation Models

Operation Models

Business Services

Strategic KPIs

BusinessIntent

BusinessUnderstanding

SolutionFlexibility

Quality ofService

Align

Optimize

Correct

Monitor

MeetingStrategicGoals?

MeetingBusiness

Commitments?

Response to Business Situations

Detecting Business Situations

Bus

ine

ss P

erfo

rman

ce M

ana

gem

entBusiness Strategy & Design

Business Operations

Solution Composition

IT Implementation

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Gather requirements

Model & SimulateDesign

DiscoverConstruct & TestCompose

Integrate peopleIntegrate processesManage and integrate information

Manage applications & services

Manage identity & compliance

Monitor business metrics

Financial transparencyBusiness/IT alignmentProcess control

The SOA Lifecycle

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Interaction Services Information Services

Partner Services Business App Services Access Services

DevelopmentServices

Management Services

Infrastructure Services

Enables collaboration between people, processes &

information

Manages diverse data and content in a unified

manner

Connect with trading partners

Build on a robust, scaleable, and secure services environment

Facilitate interactions with existing information and

application assets

Integrated environment

for design and creation of

solution assets

Manage and secure

services, applications &

resources

Optimizes throughput, availability and utilization

Ap

ps

&

Info

As

sets

Process Services

Business ServicesSupports enterprise business process and

goals through businesses functional service

Enterprise Service Bus

Orchestrate and automate business processes

SOA Reference ArchitectureSupporting the SOA Lifecycle

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Atomic Service Composite Service Registry

Servicesatomic and composite

Operational Systems

Service Components

Consumers

Business ProcessComposition; choreography; business state machines

Service P

rovid

erS

ervice Co

nsu

mer

Inte

gra

tion

(En

terp

rise S

erv

ice

Bu

s)

Qo

S L

aye

r (Se

cu

rity, M

an

age

men

t & M

on

itorin

g In

frastru

cture

Se

rvice

s)

Data

Arc

hitec

ture (m

eta-d

ata) &

Bu

sin

ess

Intellig

en

ce

Go

ve

rna

nc

e

Channel B2B

PackagedApplication

CustomApplication

OOApplication

SOA Solution LayeringLeveraging the SOA Reference Architecture

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Key Standards for SOA

SOA and Web Service Standards

Business Services: Service Offerings and Components(ACORD, HL7, eTOM, ARTS…)

Industry Semantics(SWIFT, FIXML, OTAXML, UCCNet…)

Infr

astr

uct

ure

S

tan

dar

ds

Ind

ust

ryS

tan

dar

ds

Sec

uri

ty

(WS

-Se

curit

y)

Tra

nsa

cti

on

s

(WS

-Ato

mic

Tra

nsac

tion,

W

S-B

usin

ess

A

ctiv

ity)

Man

ag

emen

t(I

T I

nfo

rma

tion

Lib

rary

)

Service Orchestration (WS-BPEL)

Service Discovery (UDDI, Reusable Asset Specification)

Service Invocation & Messaging (SOAP, WS-Addressing, REST)

Service Description (WSDL)

Data Exchange (XML, JSON)

Network Protocol (HTTP, SMTP)

Service Interaction (WSRP, JSR 168, AJAX)

Pro

gra

mm

ing

Mo

del

(S

CA

, S

DO

)

Pro

file

sW

S-I

Ba

sic

Pro

file

, W

S-I

Ba

sic

Se

curit

y P

rofil

e,

WS

-I R

elia

ble

Se

cure

Pro

file

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Business Component Analysis The enterprise is mapped out as a set of categorized business components Heat map highlights components for analysis based on criteria such as gaps and efficiency Enables approaches to understanding how the business can be improved

Controlling

Executing

DirectingBusiness Planning

Business Unit Tracking Sales

ManagementCredit

AssessmentReconciliation

Compliance

Staff Appraisals

Relationship Management

Sector Management

Product Management

Product Administration

Product Fulfillment

Sales

Marketing Campaigns

Product Directory

Credit Administration

Customer Accounts

GeneralLedger

Document Management

CustomerService

Collections

AccountAdministration

BusinessAdministration

New Business Development

Relationship Management

Servicing & Sales

Product Fulfillment

Financial Control and Accounting

Sector Planning Portfolio Planning

Account Planning

Sales PlanningFulfillment Planning

Fulfillment Monitoring

Purchasing

Branch/Store Operations

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Service Oriented Modeling and Architecture (SOMA) Links Business Intent with IT Implementation

SOMA gets inputs from business analysis activities, and produces outputs necessary for SOA implementation

The analysis and modeling performed during SOMA is technology and product agnostic, but establishes a context for making technology and product specific decisions in later phases of the lifecycle

<< Input from Business Analysis >>

<<Output to SOA Implementation >>

SOMA

Service Identification

Service Specification

Service Realization

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Service Exposure Decisions Within Service Identification

Services

(exposed)

Candidate Services

Business Alignment

Composability

Externalized Service Description

Redundancy Elimination

Service LitmusTest

Business Alignment: - Is the service business relevant?- Is funding available for service development and management?- Is the service sharable?

Composability- Is the service consistent with NFRs at the composite level?- Is service stateless?- Is the service self-contained? (Are there dependencies?)- Is the service technology neutral?

Externalized Service Description- Is there an externalized service description e.g. WSDL?- Can the service be discovered and bound via the service description?- Does the description contain meta-data about itself?

Redundancy Elimination- Can the service be applied to all processes where its function is

required?

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SOA Governance & Management Method (SGMM) IBM’s Comprehensive Approach to SOA Governance

Define the scope of governance: business,

development governance or service management or

all of the above

Define new governance processes for services

and define SOA governance mechanisms such as the SOA Center

of Excellence

Begin implementation of the SOA Center of

Excellence, Skills Enablement,

Organizational Change, Infrastructure Change,

etc.

Monitor composite application performance

and adjust; Monitor effectiveness of

governance changes

Tailor method for goals/environment

Determine the Governance Focus

Plan Define Enable MeasureDefine the SOA

Governance ModelImplement the SOA Governance Model

Refine the SOA Governance Model

Understand currentGovernance structures

Define scope of governance

Define and refine governance processes

Define organizational change

Conduct change readiness survey

Define IT changes in SOA development

Implement the transition plan

Initiate SOA Org Changes

Launch the SOA Center of Excellence

Implement infrastructure for SOA

Measure effectiveness governance processes

Measure effectiveness of organization change

Review and refine operational environment

Continuous SOA Governance Process Measurement & Improvement

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Evolution of SOA within IBM

2001 - 2002Exploratory

2003 - 2004Early Projects

2006Enterprise Governance

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IBM SOA Analyst Briefing

Project Development Cycle•Required Project Deliverables•Unit Level Project Reviews

Mission:

Enterprise-wide business transformation and IT strategy decision-making and

issue resolution

aƒ Business Strategies

ƒ End State Capabilities

ƒ Initiative Definition

Planning / Investment Cycle

Enterprise ArchitectureRequired Architecture Deliverables

and Criteria

Business Transformation Operations Process

Concept Plan DevelopQualifyRolloutLife

Cycle

Signoff

Project Architecture and Criteria

SOA+ Repository

eIRB

Governance of IBM's Architecture is enabled by cross unit deliverables, reviews and measurements which interact with IBM's Planning Cycle & Project Review Cycle

Cross-functional Governing body

Unit Arch Review Teams

EAC

Solution ArchitectureSolution ArchitectureDefinition & Review Definition & Review

(APD & ADD)(APD & ADD)

Initiative ArchitectureInitiative ArchitectureDefinition & Review Definition & Review

(IAD)(IAD)

Enterprise Architecture GovernanceDeliverables and Criteria

Strategic Directions and Transition Planning

EODT Integration Architecture

© 2006 IBM Corporation10

Governance of IBM's Architecture is enabled by cross unit deliverables, reviews and measurements which interact with the IBM's Planning Cycle and DCP Reviews

Initiative ArchitectureInitiative ArchitectureDefinition & ReviewDefinition & Review

(IAD)(IAD)

Solution ArchitectureSolution ArchitectureDefinition & ReviewDefinition & Review

(APD & ADD)(APD & ADD)

ƒ Business Strategiesƒ End State Capabilitiesƒ Initiative Definition

Planning / Investment CyclePlanning / Investment Cycle Project Development CycleProject Development Cycle•Required Project Deliverables•Unit Level Project Reviews

Mission:Enterprise-wide business transformation

and IT strategy decision-making and issue resolution

eIRBeIRB

Cross-function Governing Body

EnterpriseEnterprise

Architecture CouncilArchitecture Council

ArchitectureReview Teams

Enterprise Architecture GovernanceDeliverables and Criteria

Strategic Directions and Transition Planning

2005Opportunity Projects

andEnterprise Architecture

EODT Integration Architecture

© 2006 IBM Corporation7

The Blueprint provides a process-based view of the target architecture

2007BU Integration &

New Technologies

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Why IBM?

Trusted, experienced guidance based on 5700 customers*

*# of Customers using our SOA offerings*# of Customers using our SOA offerings

Basic to advanced to grow as your needs

evolvePioneering metrics for SOA and agility

Only vendor across people,

process, and information

Simplicity & robustness for

consumability and confidence

End-to-end processes based on industry best

practices

Investment protection through

openstandards