extending and improving bps romania 30th of nov 2010
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©2010 Oracle Corporation 1
Extending and Improving Business Processes
Jens ToppenbergEnterprise 2.0 Sales Director, EE&CIS
©2010 Oracle Corporation 3
The following is intended to outline our general
product direction. It is intended for information
purposes only, and may not be incorporated into any
contract. It is not a commitment to deliver any
material, code, or functionality, and should not be
relied upon in making purchasing decisions.
The development, release, and timing of any
features or functionality described for Oracle’s
products remains at the sole discretion of Oracle.
Safe Harbor
©2010 Oracle Corporation 4
• Challenges
• Solutions
• Products
– Oracle SOA
– Oracle BPM
– Oracle SOA Governance
• Business Benefits
• Case Studies
• Next Steps
Agenda
Challenges
©2010 Oracle Corporation 6
Packaged Application Lifecycle
Extend with Custom Code
Integrate with other
Applications
Cross AppAutomation
Upgrade
Install and Configuration
$?
©2010 Oracle Corporation 7
The State of Application Infrastructure
41% of companies indicate monolithic application
architecture forces costly and complex changes-Aberdeen Group
57% of companies not running the current release
of their ERP indicate the prohibitive cost of
upgrading customizations as a key reason-Aberdeen Group
You do not utilize the competitive advantage which is given to you in the newer release!
©2010 Oracle Corporation 8
Application InfrastructureCommon Approaches
Implementing customization tools embedded within the application
Extendwith
Custom Code
Using point-to-point connectivity between apps
Integratewith
Other Applications
Building application-centric business processes
AutomateAcross
Applications
Requirement Common Approach
©2010 Oracle Corporation 9
• Difficult to swap out applications
– Code tightly coupled to application
• Costly maintenance
– Proprietary coding requires niche
specialists
• Complex upgrades
– Unacceptably lengthy and costly
test cycle time
Application CentricCustomization
ChallengeDisparate Application-embedded Tools
Tightly Coupledto Application
©2010 Oracle Corporation 10
• Weak integration services
– Limits ability to access data outside
the native app
• Lacking end-to-end management
– Difficult to determine process status
• No BPM collaboration tools
– Delays delivery schedule and
increases chance of errors
ChallengeApplication-specific Business Processes
Application CentricCustomization
Application CentricBusiness Processes
Can you get the answer to: Where is my order?
©2010 Oracle Corporation 11
• Point-to-point “spaghetti”
architecture
– Fragile architecture requires
extensive test cycle
• Lack of re-use of functionality
– High cost to maintain redundant
features in overlapping applications
• Lack of control
– Minimal governance and lacking
unified view over all applications
ChallengePoint-to-Point Integration
Application CentricCustomization
Application CentricBusiness Processes
You can‟t control, what you can‟t manage!
Solutions
Don‟t come to me with a problem
unless you have a solution!
Current Solution
Application centric
processes
Tightly coupled
applications
Point – point
integration
Application centric
customizations
Customized, siloed and point - point
integrated applications
©2010 Oracle Corporation 14
SolutionUnified Application Extension & BPM Platform
Unified
Cross Application
BPM
Core
Applications
Unified Integration Shared Services Infrastructure
Unified
Configuration-
based Extensions
Enterprise Application Platform
©2010 Oracle Corporation 15
To transition to this architecture, there are
3 steps that should be followed:
Step 1: Extensions with a common toolset
Step 2: Shared Services Infrastructure
Step 3: Cross-Application BPM
SolutionUnified Application Extension & BPM Platform
©2010 Oracle Corporation 16
• Configuration-based
– Less code, more drag & drop
• Use industry standards
– Languages and modeling notation
• Business rules
– Expose business variables in
intuitive user interface for business
team
SolutionStep 1: Extensions with a common toolset
The new SOA-based infrastructure has helped OnStar eliminate tens of thousands of lines of code and achieve significant cost savings…
In SOA, changes are made via configuration, not by manual coding.
Profit Magazine – Nov 2010
©2010 Oracle Corporation 17
• Unified Shared Services
– Introduces flexibility
• Create re-usable services
– Allows for significant efficiency gains
• Manage with SOA governance
– Gain control with a single view
across all applications
SolutionStep 2: Shared Services Infrastructure
“We could convert that money into more innovation, more customer service, more products and services instead of paying for redundant operations that aren’t that different from each other”
Fari Ebrahimi, Senior Vice President and CIOVerizon Services Operations
©2010 Oracle Corporation 18
• Unified enterprise-wide BPM
– Across disparate apps
• BPM standards
– Such as BPMN and BPEL
• Social BPM
– Collaboration tools for BPM
development and end-users
SolutionStep 3: Cross-Application BPM
JPMorgan Chase used Oracle BPM technologies to automate the error-prone manual part of a risk management process which decreased processing time by 79% and increased staff productivity.
Camico Insurance - spot
Products
©2010 Oracle Corporation 20
BAMJDEV ,
BPM STUDIO, PROCESS
COMPOSER
CEP
EM POLICY
MANAGER
ERP MAINFRAME SERVICES
BPEL PROCESS MANAGERHUMAN WORKFLOW
BPMN ENGINE
SERVICE BUS
PARTNERSDB
Registry&
Repository
Oracle‟s SOA & BPM InfrastructureIndustry’s Most Complete, Integrated, & Best-In Class Platform
©2010 Oracle Corporation 21
Transform Business Process
BusinessRules
HumanWorkflow
• Costly to maintain
• Insufficient exception and error handling
• Visual composition creates maintainable integrations
• Expose business variables as easily modifiable rules
Oracle SOA SuiteConfiguration based development
Traditional ApproachManual Coding
Composite Editor
©2010 Oracle Corporation 22
Oracle SOA SuiteConfiguration based access to applications
Select Adapter Select Function Integrate Function into Composite Editor
©2010 Oracle Corporation 24
Oracle BPM SuiteWeb-based process editing and configuration
ValueOracle BPM Suite 11g
• Tool for business
• Enable greater range of business participation
• Eliminate redundancy, reduced complexity
• Simplified logic management
Value
• Intuitive Web-based interface
• Access according to role
• Uses same model, business catalog, as Studio
• Model both rules and processes
Oracle BPM Suite 11g
Process composer for - Processes- Rules
©2010 Oracle Corporation 25
Oracle BPM SuiteProcess Analysis
Value
• Standard business indicators: cycle time, number of instances, average and mean time
• Process specific indicators in model
• Drill down dashboards
• BAM can aggregate indicator events
• Integration with complex event processing
• Interoperability with BI via ETL
• WYSIWYG report editor
• Impact, gap, redundancy, and simulation reports
Oracle BPM Suite 11g
• Business visibility
• Tailor analysis to the business
• Expand analysis outside BPM
• Leverage BI for additional visibility
• Standard and custom easy to configure reports for all business needs
Oracle BPM Suite 11g Value
Process analysis- integrate to BAM- integrate to BI
©2010 Oracle Corporation 26
Oracle BPM SuiteProcess Spaces: Extends collaboration in a process context
Value
• WebCenter Spaces technology
• Work Space process space – all processes
• Modeling Space – modeling the process
• Single instance space – Single process coll.
• Task list, discussions, documents, dashboards, processes to start, process catalog
Oracle BPM Suite 11g
• Simplified single-click site creation
• Spaces suited to process lifecycle
• Can add blogs, wikis, and presence
• Collaboration in context
Oracle BPM Suite 11g Value
©2010 Oracle Corporation 27
Integrated GovernanceComprehensive Governance & Policy Management
Publish, Discover, Change Manage
Services
Federated Policy Manager
Provision Services & Monitor SLAs
Registry/Repository Policy ManagerSOA Management
Pack
©2010 Oracle Corporation 28
Benefits: Oracle SOA and BPM Suites
• Expands reach of business processes
– Standards-based BPM removes cross-app barriers
– Social BPM shortens cycle times through team collaboration
• Introduces application flexibility
– Provides the ability to easily swap out applications
– Replaces tight coupling with hot-swappable infrastructure
• Lower total cost of ownership
– Minimize upgrade costs by externalizing application customizations
– Re-use services in new ways not possible with monolithic apps
Transform: Application centric to Enterprice process centric
Case Studies
©2010 Oracle Corporation 30
British Telecom –Application Extensions
• Implemented Oracle SOA Suite to customize and extend packaged applications
• Built composite apps and process integration flows using Oracle Fusion Middleware
with Oracle EBS, PeopleSoft and Siebel
• One of the world‟s largest telecom service provider• High cost of managing and maintaining 400 legacy IT
systems
• Need a consolidated applications that allows to procure
goods and services for 10,000 properties and 5,000
vehicles
Opportunities & Challenges
• Retired 46 legacy apps, increasing „right first time‟ dramatically increasing user experience scores
• Enterprise level process automation resulting in consolidation of many heterogeneous custom and packaged applications
• Significantly reduced maintenance and upgrade costs of packaged applications
Solution
Results
©2010 Oracle Corporation 31
Qualcomm – Shared Services
• Oracle SOA Suite deployed to create a reusable services framework
• Integration with Tibco, Documentum and Oracle Applications
• Automated key business processes: Entitlement requests and approvals, User password
and account maintenance
• World‟s leading supplier of CDMA Chipsets
• Inability to quickly build composite applications, lack of
common reusable services
• Unable to respond to rapid business changes
• Need to increase system security, scalability, availability
• Needed a common interface for all users to get the information
they need in a secure reliable manner
Opportunities & Challenges
• Enabled easier, more effective forecast simulation
• Improved control over supply chain
• Cost savings from increased productivity in shipping and warehouse management
Solution
Results Customer Viewpoint
“I would estimate that we have saved at least $5 million dollars in development costs over the last two years.”
–Norm Fjeldheim, Senior VP, CIO Qualcomm
©2010 Oracle Corporation 32
Eaton Steel – Cross App BPM
• Order-to-Cash transactions with trading partners were automated using a Service
Oriented Architecture
• The solution comprised of XML Gateway and Customized mapping as well as Canonical
mapping
• EDI process was automated by extending E-Business Suite using Oracle SOA Suite,
Oracle BPM Suite and Oracle B2B
• Order-to-Cash project was inefficient
• Invoicing processes were very manual & error prone
• Poor visibility into interaction between parties.
• No solution would meet diverse partner requirements: EDI, XML, Excel
Opportunities & Challenges
• Reduced invoice turn-around time & error handling
• Eliminated 100+ of manhours through process automation
• Reduced Invoice resolution time by 28 days!
Solution
Results
Next Steps
©2010 Oracle Corporation 34
Getting Started with Middleware for Apps
Demos
Product Downloads
Getting Started Guides
Tutorials
Technical Whitepapers, Articles, Blogs
Oracle Fusion Middleware for Apps:
www.oracle.com/goto/ofm4apps
©2010 Oracle Corporation 35
Recommended Next Steps
Product Suite:
oracle.com/SOA
Best Practices:
oracle.com/technologies/SOA/center.html
oracle.com/technology/products/SOA/SOASuite
Product Suite:
oracle.com/BPM
Best Practices:
oracle.com/technology/products/bpm
©2010 Oracle Corporation 36
Questions
©2010 Oracle Corporation 37
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