Download - Service Oriented Enterprises
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Service Oriented EnterprisesService Oriented Enterprises
Dr. Setrag KhoshafianVP of BPM TechnologyPegasystems Inc.www.pega.com
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2 Pegasystems 2006
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3 Pegasystems 2006
What are Service Oriented Enterprises (SOEs)?
• You have a technology perspective:
Loosely couple applications, trading partners, and organizations
• Invoke via service calls.
Services involved in processes with human participants
• Provides even greater value than the sum of component services.
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4 Pegasystems 2006
What are SOEs?
• You also have a cultural perspective:
Each party sees herself as a service provider as well as a service consumer
Focus on serving various communities: • Customers• Shareholders• Trading Partners• Employees• Government
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5 Pegasystems 2006
Community
Customers
Shareholders
Partners
Government
Employees
SOE
Service Oriented Enterprises (SOE)
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6 Pegasystems 2006
SOE Goal
• Align Business and IT
IT Business
SOA Technology Alone Will Not Do It
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7 Pegasystems 2006
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
Management GoalsManagement Goals
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
SystemsSystems
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartnersSalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
The SOE Challenge…Execution Gaps!
Management GoalsManagement Goals
SystemsSystems
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8 Pegasystems 2006
Business Changes Worsen Execution Gaps
Business Changes Worsen Execution Gaps
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
Management GoalsManagement Goals
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
SystemsSystems
The SOE Challenge…Execution Gaps!
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9 Pegasystems 2006
Solution: SOE Architecture
SOE Architecture=
Performance Management +
Business Process Management +
IT SOA Architecture (ESB)
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10 Pegasystems 2006
The Service Oriented Enterprise
IT Service InfrastructureService Oriented Architecture
IT Service InfrastructureIT
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11 Pegasystems 2006
Service Infrastructure
• Loose Coupling
• Standards Based (WS-*)
• Discovery
• Service Composition
• Enterprise Service Bus
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12 Pegasystems 2006
Loose Couplingisolated from the details of the service’s
implementation language, platform, location, or other details
InternetInternet
GET/POST Request
HTML Response
Server (s)
InternetInternet
SOAP Request
SOAP Response
Server (s)
Client
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13 Pegasystems 2006
Service Transport: HTTP/HTTPS
Remote Service Request/Response: SOAP
Service Description: WSDL
Service Transactions: WS-Transaction/WS-Coordination
Quality of Service: WS-Security, WS-ReliableMessaging
Business Processes and Rules: BPMN, WS-BPEL, WS-CDL
Service Management: WSDM
Service Content and Portals: WSRP
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14 Pegasystems 2006
Capabilities and Features of an ESB
• Message Transformation• Protocol Transformation• Message Routing• Security• Transaction • Orchestration• Service Registry
Consumer Services requests use a transportprotocol (e.g. JMS) different from theprotocol (e.g. HTTP) of the Provider
Transform Provider message format toConsumer message format and vice versa
(XML to ASCII, XML to XML, etc.)
Content based routing of Consumer messages to appropriate Provider & Vice
Versa. Support for rules based routing
Support for WS-Security, SAML, encryption,Authentication and Authorization
Support for WS-AtomicTransaction,WS-Coordination, WS-BusinessActivity
Micro-Flow Orchestration & Choreography
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15 Pegasystems 2006
The Service Oriented Enterprise
Enterprise Performance ManagementService Performance
Bu
sin
ess
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16 Pegasystems 2006
Strategic MethodologyFinancial
Internal
Learning
CustomerVision
Enterprise Performance Management
Business Activity Monitoring
Business Intelligence
Business Process Management System
Enterprise Service Bus
CI Methodology
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17 Pegasystems 2006
Enterprise Performance ManagementService Performance
The Service Oriented Enterprise
ITB
usi
nes
s
Service Oriented Enterprises, Dr. Khoshafian
Service Oriented ArchitectureIT Service Infrastructure
Business Process Management SuiteService Integration
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18 Pegasystems 2006
BPMSuite
Workflow
BPMBPM Suite
• Modeling and Simulation
• Business Rules
• Business Activity Monitoring
• Solution Frameworks
• SOA support
• Alignment of business & IT
• Integration:
• System Participants
• Trading Partner Participants
• Process Portals
• Organizational Model
• Rich Process Data Model
• Human Participants
• Flow automation
• Flow status management
• Document and Content Centric
• Workflow Reference Architecture
Evolution of BPM Suites
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19 Pegasystems 2006
Enterprise Policies and ProceduresEnterprise Policies and Procedures
PoliciesProcedure
PoliciesProcedure
Modeled Policies and ProceduresModeled Policies and Procedures
Strategy and Vision ModelsStrategy and Vision Models
Process ModelsProcess Models Business Policy ModelsBusiness Policy Models(business rules)(business rules)
Information & Integration Information & Integration ModelModelOrganization ModelOrganization Model Modeled
AndAutomated
Policies and Procedures
ModeledAnd
AutomatedPolicies and Procedures
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20 Pegasystems 2006
BPMSuite
BusinessBusinessProcessProcess
Monitoring &Monitoring &AnalyticsAnalytics
BusinessBusinessRulesRules
WorkflowWorkflowSolutionSolution
FrameworksFrameworks
EnterpriseApplicationIntegration
Business ToBusiness
Integration
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21 Pegasystems 2006
System/Partner and Human Participants
OrchestrateOrchestrateOrchestrate
Buyer Seller Shipper
ChoreographySellerBuyer Shipper
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22 Pegasystems 2006
Remitter BeneficiaryBeneficiary Bank (Using Smart Investigate)
Remitting Bank
Parse message Check for duplicate cases Create case & route Attach message Locate & attach payment transaction Evaluate transaction
Status=Complete? STP?
Look up customer record Issue notification of assignment Contact remitting bank Schedule chasers Assign SLA
Parse message Check for duplicate cases Create case & route Attach message Locate & attach payment transaction Evaluate transaction
Status=Complete? STP?
Look up customer record Issue notification of assignment Contact remitting bank Schedule chasers Assign SLA
Unable to Apply11
Notification ofAssignment 33
Unable to Apply22Unable to Apply44
Notification ofAssignment55 Update case
Attach message Issue notification of assignment
Update case Attach message Issue notification of assignment
Notification ofAssignment 66
Send chaser Send chaserCase Status
Request77
Case StatusCase StatusResponseResponse88 Update case
Attach message Update case Attach messageResolution of
Investigation99
Resolution ofInvestigation1010 Resolve case
Attach message Send resolution message Levy service fee
Resolve case Attach message Send resolution message Levy service fee
Resolution ofInvestigation 1111
ST
PS
TP
Unable to ApplyExample of SWIFTNet E&I Straight-Through Process
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23 Pegasystems 2006
BPMSuite
BusinessBusinessProcessProcess
Monitoring &Monitoring &AnalyticsAnalytics
BusinessRules
WorkflowWorkflowSolutionSolution
FrameworksFrameworks
EnterpriseEnterpriseApplicationApplicationIntegrationIntegration
Business ToBusiness ToBusinessBusiness
IntegrationIntegration
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Example
IFDispute Amount is less than $51; AND
Transaction is not disputed as a fraudulent transaction;AND The customer has disputed less than two transactions this year;
Write-Off?
YesNo
Selection: World MasterCardVIP Customer
THEN Fully credit the customer without even initiating the dispute i.e. Write-off the transaction.
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25 Pegasystems 2006
Tasks
Par
tici
pan
ts
Rules
Pro
vid
er
Req
uesto
r
h
Req
uesto
r M
an
ag
er
Pro
cu
rem
en
t D
ep
art
men
tS
hip
pin
g
Approve
Yes
Review Request and
Assign
Receive
Ship to Requestor
ApprovedBudget
Yes
Process
Order
Ask
For
Revisition
Check
Budget
Revise
Request
No
Request
Procurement
No
Yes
Send
Order
Accept
Order
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26 Pegasystems 2006
BPMSuite
BusinessBusinessProcessProcess
Monitoring &Monitoring &AnalyticsAnalytics
BusinessBusinessRulesRules
WorkflowWorkflowSolution
Frameworks
EnterpriseEnterpriseApplicationApplicationIntegrationIntegration
Business ToBusiness ToBusinessBusiness
IntegrationIntegration
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27 Pegasystems 2006
HealthcareMember Extensions
Customer Process Management Framework BPM Solution Development
Customer Processes and Rules Customer Profile Customer Entitlement Cross Sell
Customer Dispute Agreement Renewals Customer Interaction
Insurance CustomerRelationship
Banking CustomerRelationship
EnterpriseApplicationIntegration
Business ToBusiness
Integration
BusinessProcess
Monitoring &Analytics
BusinessRules
WorkflowSolution
Frameworks
BPM Suite
Greater speed to market and use of best practices enable faster achievement of competitive advantage
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28 Pegasystems 2006
BPMSuite
BusinessProcess
Monitoring &Analytics
BusinessBusinessRulesRules
WorkflowWorkflowSolutionSolution
FrameworksFrameworks
EnterpriseEnterpriseApplicationApplicationIntegrationIntegration
Business ToBusiness ToBusinessBusiness
IntegrationIntegration
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29 Pegasystems 2006
Enterprise Service Bus
EnterpriseApplicationIntegration
BusinessTo
BusinessIntegration
BusinessProcess
Monitoring &Analytics
BusinessRules
Workflow SolutionFrameworks
BP
MS
uit
e
AnalyticMeasures
Business ActivityMonitoring
BusinessIntelligence
StrategicMethodology
Example:BalancedScorecard
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30 Pegasystems 2006
Link Executing Processes To Strategies
Connecting measurable objectives to executing processes and rules, and continuously improve them – in real time.
Customer Satisfaction Index
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31 Pegasystems 2006
Strategic MethodologyFinancial
Internal
Learning
CustomerVision
Enterprise Performance Management
Business Activity Monitoring
Business Intelligence
Business Process Management System
Enterprise Service Bus
CI Methodology
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32 Pegasystems 2006
Continuous Improvement LifeCycle
Agents
Six SigmaBlack Belt
ProcessArchitect
BusinessAnalyst
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33 Pegasystems 2006
BPMSROI
Expenses• IT• Business• Staffing
Revenue• New Products• New Processes• Customer Retention• Up Sell• Cross Sell• M & A
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34 Pegasystems 2006
High LevelHigh LevelStructured Structured
ProgrammingProgramming
ObjectObjectOrientedOriented
ProgrammingProgramming
BPMS
X2 to X3
X5 to X10
X2 to > X10
AssemblyAssembly
Productivity Gains
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35 Pegasystems 2006
ServiceService OperationsOperations ComplianceCompliance
Management GoalsManagement Goals
ServiceService OperationsOperations ComplianceCompliance
SystemsSystems
SalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartnersSalesSales ServiceService OperationsOperations ComplianceCompliance PartnersPartners
BPM Suites for the SOE Challenge…
Management GoalsManagement Goals
SystemsSystems
Business Process Management SuiteService Integration
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36 Pegasystems 2006
LocalCommunity
Customers
Shareholders
Partners
Government
Employees
SOE
Competitive Advantages for all Communities
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37 Pegasystems 2006
Conclusion• SOE can serve their communities through:
Directly Capturing requirements: • Executable processes and rules
Identify measurable KPIs: strategic methodology
Tying these KPIs to modeled and executing business processes and policies
Continuously monitoring and improving the implementation to meet the needs of the communities
• … while leveraging the underlying IT SOA infrastructure