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© Copyright IBM Corporation 2009

SOA Roadshow

SOA Perspectives Where Are We and Where Are We Going?

Kerrie Holley, IBM Fellow

CTO, IBM SOA Center of Excellence

April 2009

SOA Where Are We and Where Are We Going


Business pressures are compounding as IT constraints are

growing.

How do I optimize?

How do I realize

flexible

applications to

support business

change?

Traditional IT Architectures and Applications Are Expensive And Slow To Change



Information Technology continues to embarking on new

wave of computing to converge business and IT


SOA Roadshow

IBM’s Perspective on What is

SOA? Are all SOAs Created

Equally?



Some interesting blogs, and bold statements about SOA has

recently appeared …..

SOA is Dead

SOA ROI is an Oxymoron

The death of SOA and the birth of Clouds Same Old Architecture (SOA)

Snake Oil Architecture (SOA)



SOA can mean different things to different people…

A programming model complete with standards, tools,

methods and technologies such as Web services

Capabilities that a business wants to expose as a

set of services within the enterprise or to clients and partner

organizations

An architectural style which requires a service provider,

requestor and a service description. It addresses

characteristics such as loose coupling, reuse and simple and

composite implementations

Implementation

Architecture

Business

OperationsA set of agreements among service requestors and service

providers that specify the quality of service and identify key

business and IT metrics

Roles



Broadly adopted Web services ensure well-defined interfaces.

Before, proprietary standards limited interoperability

Standards

SOA services focus on business-level activities & interactions

Before, focus was on narrow, technical sub-tasks

Business and IT Linkage Web services are more

language independent than previous approaches. XML renders more naturally into multiple languages such as C, or Java or COBOL and others

Wiring and assembly

Software DesignSOA services can be

extensively re-used to leverage existing IT assets

Organizational reuse versus developer reuse

Before, any reuse was within silo‟ed applications

Level of Reuse

Broadly adopted Web services ensure well-defined interfaces.

Before, proprietary standards limited interoperability

Interoperability

The primary goal of SOA is to align the business world with the world of

information technology (IT) in a way that makes both more effective. SOA is a

bridge that creates a symbiotic and synergistic relationship between the two that

is more powerful and valuable than anything that we’ve experienced in the past.

SOA is about service orientation and it is different than

previous approaches and strategies both in business and IT


SOA Roadshow

SOA as an IT Strategy



Companies Response to ChallengesToday’s technology roadmaps and strategies embrace SOA

A hybrid approach is the consistent choice

Stay the course – Simply means organizations continue with business as usual with no changes in their IT strategy or roadmaps to address the need for improved flexibility.

Commercial Off the Shelf (COTS) solution - The motivation for using COTS components is that they will reduce overall system development costs and involve less development time because the components can be bought instead of being developed from scratch. Many considered COTS to be the silver bullet during the nineties, but COTS development came with many not-so-obvious tradeoffs (increase in software component integration work and a dependency on a third-party component vendor). The extra integration work and modifications often required have led to the joke that COTS really means custom off-the-shelf. Hence many technology roadmaps encourage the use of COTS solutions that are SOA enabled or ready.

Simplification of IT portfolio – For technology roadmaps and strategies that we see today this means adoption of Service Orientation in one or more facets. SOA is a best practice for legacy transformation.

Hybrid – Is the pragmatic choice being performed where organizations attempt to preserve functional rich legacy systems which meet the needs of their business, surrounded by new SOA solutions integrated with COTS solutions.



Getting started with SOA means commitment to generating

business value which is dependent on valid ―motivations

Drive down cost and operating expenses,

eliminate duplicate systems, build once and leverage, improve time to market

Reduce cycle times,and cost for external business

partners; integrate core processes, facilitate flexible dealings with

business partners

Increase revenues, create new routes to market, create new value from

existing systems

Integrate across the enterpriseintegrate historically separate

systems, facilitate mergers and acquisitions of enterprises

Reduce risk and exposure, improve visibility into business operations,

comply with federal mandates

Move to architectures capable of business agility

and game changing business models; provide a flexible

business model



SOA is not a binary choice: IBM’s Services Integration Maturity

Model (SIMM) provides an agility model and basis for assessing

current state and determining actionable roadmaps for future state

Silo ServicesComposite

ServicesVirtualizedServices

DynamicallyRe-Configurable

ServicesComponentizedIntegratedSilo ServicesComposite

ServicesVirtualizedServices

DynamicallyRe-Configurable

ServicesComponentizedIntegrated

Level 1 Level 4 Level 5 Level 6 Level 7Level 3Level 2Level 1 Level 4 Level 5 Level 6 Level 7Level 3Level 2

Applications

Methods

Organization

Infrastructure

Information

Business

Modules Services

Process

Integration via

Services

Dynamic

Application

Assembly

ComponentsObjects

Structured

Analysis &

Design

Service

Oriented

Modeling

Service

Oriented

Modeling

Grammar

Oriented

Modeling

Component

Based

Development

Object

Oriented

Modeling

Ad hoc IT

Governance

Emerging SOA

Governance

SOA and IT

Governance

Alignment

SOA and IT

Governance

Alignment

Ad hoc IT

Governance

Ad hoc IT

Governance

SOA and IT

Governance

Alignment

Service

Oriented

Modeling

Process

Integration

via Services

Platform

Specific

Platform

Specific

Platform

Neutral

Dynamic

Sense &

Respond

Platform

Specific

Platform

Specific

Application

SpecificCanonical Models

Semantic Data

Vocabularies

Semantic Data

VocabulariesCanonical ModelsSubject Areas

Enterprise

Business Data

Dictionary

Platform

Specific

Function

Oriented

Service

Oriented

Service

Oriented

Service

Oriented

Function

Oriented

Function

Oriented

Service

Oriented

Monolithic

Architecture

Emerging

SOA

Grid Enabled

SOA

Dynamically Re-

Configurable

Architecture

Component

Architecture

Layered

ArchitectureSOAArchitecture

Today How Do

I Get Here?SOA Project


SOA Roadshow

SOA – Nirvana of Software

Engineering – A Case

Study



Business

- The market is now transforming with broader products and services expected from its partners

- Business landscape forces company to continually innovate it‟s business model, operations, and products and services

- Customers are no longer captive which requires company‟s products and services be a clear leader and differentiated from the competition

- A single platform to resolve all disputes with a clear end to end view of the business processing workflow provides a competitive advantage

Technical

- Current rigid application architecture coupled with its spaghetti code base impacts the ability to rapidly satisfy and provide various business requirements

- Maintenance and enhancements to current application are currently being done inefficiently due to architecture rigidity and poor traceability between business requirements and required application changes

- Architecture must be extensible allowing operational efficiency across company‟s products and services

Several business and technical drivers exist which are

placing a severe strain on the current application’s ability to

meet business demands



Architecture

- Single platform to resolve all processing must accommodate both known and foreseen business changes necessitating the architecture be comprised of loosely coupled components which can respond to known events and easily be adapted to respond to future events or business model changes

- Transformed code base which is architected as loosely coupled components which avoids any opportunities to re-introduce a spaghetti code base

- The business process represented as a digital model improves the application development lifecycle in areas of requirements traceability, impact analysis and ability to make code changes faster

Business Driven Development Lifecycle

- Introducing business process modeling into the development lifecycle coupled with automated business services provides an opportunity to deliver business function and capability faster

- Representing the process as a digital model allows more rapid automation of business activities where the business stakeholders maintain the business models

Application requires both a refined architecture and business

driven development lifecycle to support short and long term

business needs for dispute processing



Adjusting the current business and IT approaches to a services-

oriented approach, SOA, will enable the application to support its

short and long term business needs for dispute processing

Services would be used as the major application structuring construct

Business process modeling would be used to define workflows

The enterprise service bus design (ESB) and implementation pattern would be used for integration

The development life cycle would change to identify business services from the modeled dispute business process and use cases would be constructed from services

Servicesatomic and composite

Operational Systems(Applications & Data)

Service Components

Consumers

Business ProcessComposition; choreography; business state machines

Se

rvic

e P

rov

ide

rS

erv

ice C

on

su

mer

Inte

gra

tion

(En

terp

rise

Se

rvic

e B

us

)

Qu

ality

of S

erv

ice

(Se

cu

rity, M

an

ag

em

en

t &M

on

itorin

g In

fras

truc

ture

Se

rvic

es

)

Da

ta A

rch

itec

ture

(me

ta-d

ata

& s

erv

ices

) &B

us

ines

s In

tellig

en

ce

Go

ve

rna

nc

e

PackagedApplication

CustomApplication

OOApplication

Portal Ajax B2BWSRP <other>

1

2

3

4

5 6 7 8 9



Servicesatomic and composite

Operational Systems(Applications & Data)

Service Components

Consumers

Business ProcessComposition; choreography; business state machines

Serv

ice P

rov

ider

Serv

ice C

on

su

mer

Inte

gra

tion

(En

terp

rise S

erv

ice B

us

)

Qu

ality

of S

erv

ice (S

ecu

rity, M

an

ag

em

en

t &M

on

itorin

g In

frastru

ctu

re S

erv

ices)

Data

Arc

hite

ctu

re (m

eta

-data

& s

erv

ices) &

Bu

sin

ess In

tellig

en

ce

Go

vern

an

ce

PackagedApplication

CustomApplication

OOApplication

Portal Ajax B2BWSRP <other>

1

2

3

4

5 6 7 8 9

Adopting SOA allows a significant improvement in separation of

concerns thereby improving time to market for new functions and

features. Dispute process

defined and

represented in a

digital model

ESB as the basis for

the enhanced

integration

architecture

Service components that can

be built and tested as black

boxes

Shareable, plug and

play, reusable VROL

Business Services


SOA Roadshow

SOA for IT Effectiveness -

Case Study of SOA

Governance



A best practice of approaching SOA is through governance by

examining what improvements can bring about business value

SOA Governance

Top Map

SOA Governance

Checklist

SOA Governance

Component

Summary

SOA Governance Checklist

Guidance

The SOA Governance Top Map shows

the 45 individual components of SOA

governance

A SOA Governance Component

Summary describes each component

and the governance activities it involves,

together with their inputs and outputs

Many governance activities involve

completing and signing checklists.

When necessary, a checklist guidance

document gives detailed instructions on

how to complete checklists.

Activity Output

Component



Challenges

Complex environment

Disparate sets of applications

and data

High costs for new project delivery

and Legacy Transformation

Legacy Systems leading to low

level of flexibility and agility

The past organized the business and

applications to think & act „siloed‟

Current State

Service Apps Apps Apps

Apps AppsService Service

Interface Interface Interface

Interface Interface Interface Interface

Case Study – Large Auto Manufacturer Service Oriented Integration – Enterprise Service Bus (ESB)



Business says:

“We need to increase customer satisfaction and decrease operation cycle time.”

“We need flexible systems to meet changing business needs quickly.”

Chosen its Entry Points into SOA through

Governed Services on the ESB:

Reuse

Connectivity

Cost Reduction

Case Study – Large Auto Manufacturer (continued)Service Oriented Integration – Enterprise Service Bus (ESB)



SOA Governance Life Cycle Addresses Key Questions

Who manages the

Services Repository?

Who uses it?

How does the registry

and repository get

used? What controls

are necessary?

How do we govern

and manage the Life

Cycle of services?

What metrics and key

performance

indicators will we

use?

How do we govern and

manage our SOA

Identification,

development and

deployment approach?

What standards do

we need to establish

and when?

What is our SOA

Vision and

Strategy?

What processes do

we need to identify,

develop, deploy and

manage services?

What can I reuse from

my existing IT

Governance Model?

How do we measure

our model and the

effectiveness of

services?



Connecting an application is not enough

PartsHandheld Terminals/

Distribution Bank PeopleSoftBackOffice

Warranty Dealer DailyData

Warehouse/VDW

TFSFleet

Planning

GST NPPS

Customer .COMS Planning Pricing Fleet Areas Regions

SET BusinessPartners

Other

Changes to Interfaces Equal Impact and Risk

Each consumer must know details about all of its services

Modifying a service may mean changes to all the consumers

Changes to multiple consumers reduces our ability to be AGILE



Many organizations desire to inject flexibility for sustained

benefit

Routing, Transformation, Transport Switching

Enterprise Service Bus

Distribution Bank PeopleSoftBackOffice

Warranty Dealer DailyData

Warehouse/VDW

TFSFleet

Planning

PartsHandheld Terminals/

Ports

GST NPPS

Customer >COMS Planning Pricing Fleet Areas Regions

SET BusinessPartners

Other

ESB Reduces Cost, Impact and Risk - Producing additional

Value

Remove connectivity logic from applications

Applications concentrate on business logic

Each system can be changed independently

Improved re-use

Easier application

maintenance

Business Agility



Using services and ESB

What is an ESB / shared service? A self-contained repeatable business task

available for use by multiple consumer applications and / or other services.

Core business tasks as potential service candidates that may leverage the

ESB

Examples:

1. Notify/Add/Change Vehicle

2. Get / Show Customer

3. Request Change Vehicle

4. Get / Show Vehicle



Options to realize the Customer Care hypothetical scenario

Today - As-Is

- CMS Link project defines its requirements and design

- Perform extract, transform and load for Vehicle data

- Copy and paste Get Vehicle business logic

- Add CMS business rules

Future - Use of Shared Service

- CMS leverages Auto‟s existing Get Vehicle Service

- CMS leverages ICE ESB

- Identify CMS required extensions to the Get Vehicle Service

- Incorporate CMS business rules

Requires service ownership and funding model

*



How do we promote shared services? How do we lower costs?

Workshop Conducted with several goals

Define future state recommendations for:

- Shared Services Funding

- Shared Services Prioritization

- Shared Service Ownership

Define process models for the above areas to:

- Establish Decision Rights

- Define Exception and Escalation process


SOA Roadshow

Value of SOA



IBM conducted a study with the intent to understand, and create a

framework for, the business value of SOA. We also addressed a key

question from our CEO, Sam Palmisano, are customers getting real

value from SOA?

Global

34%

Asia Pacific

9%

Europe

6%

South

America

3%

North

America

48%

Financial

Services

27%

Public Sector

19%

Industrial

15%

Communication

8%

Distribution

31%



We started with a list of 70 projects, and used data from 35, and devised the

following scheme to help structure our analysis

All projects experienced improved flexibility

Nearly half (40%) of projects reviewed had an

external focus, using SOA to improve the way

they partner with external parties

The large majority of SOA projects are focused

on solutions to particular business issues

A few projects are using SOA for mission-

critical, enterprise-wide IT transformation

Many projects are seeing both revenue and

cost benefits from SOA implementations

Most SOA implementations start out as cost

plays focused on particular internal solutions

En

ter-

pri

se

Wid

e

Improve Flexibility

Imp

lem

en

tati

on

Sc

op

e

Sin

gle

Pu

rpo

se

(―F

oc

us

ed

‖)

1. Logistics Co

2. Global Bank

3. Regional Bank

4. Insurance Co 3

External and Internal

1. Mfg 6

1. Utility

2. Insurance Co 2

3. Custodian Bank

4. Retailer 1

5. Retailer 1

6. IT Services 1

7. IT Services 2

8. IT Services 3

9. Mfg 5

10. Software 1

11. IT Services 4

1. Apparel Co

2. Office Supplies Co

3. Mfg 4

Internal Focus

SOA services exposed within the organization

1. Gov’t Agency 3

2. Aerospace Co

3. State Gov’t 2

1. Gov’t Agency 1

2. Car Rental 1

3. Mfg 1

4. State Gov’t 1

5. Gov’t Agency 2

6. Telco 2

1. Insurance Co 1

2. Heavy Machinery Co

3. Mfg 2

4. Mfg 3

1. Telco 1

External Focus

SOA services exposed outside the organization

Risk or Compliance

Decrease CostIncrease

Revenue andDecrease Cost

Increase Revenue

1. Logistics Co

2. Global Bank

3. Regional Bank

4. Insurance Co 3

External and Internal

1. Mfg 6

1. Utility

2. Insurance Co 2

3. Custodian Bank

4. Retailer 1

5. Retailer 1

6. IT Services 1

7. IT Services 2

8. IT Services 3

9. Mfg 5

10. Software 1

11. IT Services 4

1. Apparel Co

2. Office Supplies Co

3. Mfg 4

Internal Focus

SOA services exposed within the organization

1. Gov’t Agency 3

2. Aerospace Co

3. State Gov’t 2

1. Gov’t Agency 1

2. Car Rental 1

3. Mfg 1

4. State Gov’t 1

5. Gov’t Agency 2

6. Telco 2

1. Insurance Co 1

2. Heavy Machinery Co

3. Mfg 2

4. Mfg 3

1. Telco 1

External Focus

SOA services exposed outside the organization

Risk or Compliance

Decrease CostIncrease

Revenue andDecrease Cost

Increase RevenueBenefits



Drivers for SOA projects—nothing new

Pain Points Addressed by SOA Solution

3%

11%

26%

31%

49%

54%

0% 10% 20% 30% 40% 50% 60%

Enter New Market

Mandates

Supplier/Distributor

Demand

Demand for

Collaboration

Competitive Pressures

Need for Technology

Change

Source: IBV analysis



Key finding—focused on flexibility

Benefits Resulting from SOA Solution

26%

43%

51%

71%

97%

100%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Enable Compliance

Enable New Products

Increase Revenue

Reduce Risk

Decrease Cost

Improved Flexibility

% of Projects

Source: IBV analysis



Conclusions demonstrate that value is being achieved with the adoption of

SOA

Conclusion

- Empirical data supporting conclusion is partial

42 of 137 projects reported numerical data

All empirical measurements were positive demonstrating SOA business value

- Anecdotal evidence strongly supports the assertion that SOA is delivering benefits

and real value to customers across all industries

- Lessons learned point to things that could be done to further improve the potential for

gaining benefits from SOA

Study List (137 Companies)

By Industry

Energy – (4) Finance (35) Insurance (17) Retail (11)

Government and Education (19) HealthCare (5) Telco (7)

Media and Entertainment (2) IBM Internal (14) Travel and Transportation /Logistics (8)

Manufacturing (15)


SOA Roadshow

Lessons Learned



Understanding lessons learned from hundreds of SOA projects

provides insights on how to get started and generating business

value leads the list of lessons learned

Problem

- Leading from IT perspective

Symptoms

- Can not clearly articulate value proposition of SOA adoption

- Lack of business alignment

Consequences

- Cost of IT rises without realizing any ROI

- Lost opportunity to infuse flexibility into IT portfolio

Root Cause

- Follow the crowd – “just because the competition is going/talking SOA….”

Solution

- Establish hype-free SOA value propositions

- Identify and describe how SOA addresses client-specific pain points or business challenges

- Develop roadmap for proper introduction of technology in support of the business

S OAS OA



The skeptical claim that SOA is just a name for same old techniques

represents a loss opportunity

Problem

- Skeptical claim that SOA is just a name for same old techniques

Symptoms

- Opposition to consider SOA as a serious approach to address legitimate business problems

- Failure to understand what is different and its potential value

Consequences

- Lack of support for SOA

- Status quo

- Missed opportunities to realize SOA value propositions

Root Cause

- Lack of understanding of the differences between SOA and previous computing paradigms

- Have survived too many “Paradigm Shifts”

Solution

- Emphasize how SOA is different from earlier solutions; for example, API vs. Services, use of open standards and their differentiating attributes; use of ESB

- Provide successful adoption examples

S OAS OA



Attempting a big bang approach for SOA adoption is a recipe for

missed opportunities and runaway projects

Problem

- View SOA as a panacea, leading to a push to change all the enterprise systems and architecture at once

Symptoms

- Overwhelming concerns from business units

Consequences

- Failure to deliver or troubled projects

- Potential return to existing architecture

- Blame any failure on SOA

Root Cause

- Zealous technologist

Solution

- Define a SOA Strategy or Vision

- Develop a business supported road map to move toward SOA incrementally

- Provide demonstrable software releases with measurable characteristics

- Build a business case for a pilot

- Education on SOA entry points

S OAS OA



Finally equating SOA as the same things as Web services delegates

SOA to just another technology implementation

Problem

- Equating SOA with Web Services

Symptoms- Replacing existing APIs with Web Services without proper architecture

- Services are not business aligned

Consequences- Proliferation of Web Services

- It is likely those existing systems will not have interfaces that reflect the requirements of the service requestor

Root Cause- Haste: “I can take short-cuts and do this SOA stuff quickly and cheaply”

Solution- Develop a viable SOA transition plan with defined SOA value proposition

- Education on SOA vs. Web Services

- Apply good Service Modeling

S OAS OA



Treating SOA Governance as business as usual or not using SOA

Governance to augment existing governance

Problem

- Not applying SOA Governance to create sustainable SOA benefits

Symptoms

- Focus only on tools and products for SOA Governance

- Lack of understanding of current IT governance gaps

- Thinking that all SOA benefits can be created from a single project

Consequences

- SOA benefits are not realized nor sustained

- Increased costs as result of SOA adoption

- Negative impact on run time systems (e.g., performance and security)

Root Cause

- Don‟t understand what is SOA governance

Solution

- Understand SOA Governance

- Define what aspects of SOA Governance is required based on desired SOA benefits

- Adopt SOA Governance

S OAS OA

the document title is arial, 32-point bold. ibm standard ... · soa roi is an oxymoron the death of...

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