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Click on this symbol for audio streams!. XML, XBRL, FpML, ebXML and Web Services. An Overview and Introduction. Gabriel Rüeck ([email protected]). - PowerPoint PPT Presentation

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  • XML, XBRL, FpML, ebXMLand Web ServicesAn Overview and IntroductionGabriel Reck ([email protected])Note: This presentation must be run on a Microsoft Office XP or higher in order to show all effects. This presentation contains text in the notes section as well as audio streams in MP3 format which guide through the presentation.The audio streams have been recorded with Audacity (http://audacity.sourceforge.net/) using the LAME MP3 encoder (http://lame.sourceforge.net/).

    Gabriel Reck (http://www.rueeck.de)

  • XML An Overview (1)XML is a subset of SGMLXML is a meta-language (unlike HTML)XML is an open standard (= non proprietary)XML supports international character setsXML is simple and approachable1)

    Gabriel Reck1001021) CNETAsia, XMLRodney, are we there yet?, CNETAsia, 15 December 2003.

    Gabriel Reck (http://www.rueeck.de)

  • XML An Overview (2)XML requires a document type definition (DTD)

    Gabriel Reck (http://www.rueeck.de)

  • XML An Overview (3)XML separates content and presentation

    Gabriel Reck (http://www.rueeck.de)

  • XML Derivates (1): XBRLXBRL facilitates the generation of business reports1) Wefers, M., Strategische Unternehmensfhrung mit der Balanced Scorecard, March 2000, SAP AG, Walldorf.2) PWC, Technology Forecast 2002-2004 Volume 1: Navigating the Future of Software, PriceWaterhouseCoopers, March 2002.

    Gabriel Reck (http://www.rueeck.de)

  • XML Derivates (2): FpMLFpML simplifies financial derivatives tradingwithout FpMLwith FpMLFpML serves as a standard in order to describe financial derivatives and allows a mostly automated processing of the financial derivatives trading.Source: The FpML Organization, http://www.fpml.org/.

    Gabriel Reck (http://www.rueeck.de)

  • XML Derivates (3): WMLWML is a HTML substitute for mobile devicesWML targets small screens and simple browsers

    Gabriel Reck (http://www.rueeck.de)

  • XML for DocumentationXML can be used to index documents properlyXML facilitates document search and retrievalCategory: TelephoneType: profiset 70 isdnSKU: 300Price (): 199Category: Telephone ExchangeType: HiCom 300SKU: 70Price (): 150000Search for:"SKU AND 70" Search Results:

    1. Category: Telephone Type: profiset 70 isdn SKU: 300 Price (): 199

    2. Category: Telephone Exchange Type: HiCom 300 SKU: 70 Price (): 150000Telephoneprofiset 70 isdn300199Telephone ExchangeHiCom 30070150000Search Results:

    1. Category: Telephone Exchange Type: HiCom 300 SKU: 70 Price (): 150000Search for:"SKU=70" with XML

    Gabriel Reck (http://www.rueeck.de)

  • XML as a replacement for EDI (1)The current EDI scenario is cumbersome.Converters are necessary for each IT system & software.

    Gabriel Reck (http://www.rueeck.de)

  • XML as a replacement for EDI (2)The current EDIFACT standard is difficult to debug.UNA:+,? ' UNB+UNOA:2+FHPEDAL+HUBERGMBH+990802:1557+9908021557' UNH+INVOIC0001+INVOIC:D:93A:UN' BGM+380+9908001+9' DTM+3:19990802:102' RFF+ON:O0010001' DTM+4:19999715:102' NAD+SE++Fahrradhandel Pedal++Wagingerstr. 5+Mnchen++81549' NAD+BY++Huber GmbH++Obstgasse 2+Mnchen++81549' LIN+1++4711.001' IMD+F++:::Fahrrad, Damen' QTY+47:1:PCE' MOA+66:750' PRI+AAA:750' LIN+2++4711.002' IMD+F++:::Luftpumpe, Stand-' QTY+47:1:PCE' MOA+66:19,9' PRI+AAA:19,9' LIN+3++4711.003' IMD+F++:::Ersatzventil' QTY+47:3:PCE' MOA+66:7,5' PRI+AAA:2,5' UNS+S' MOA+79:777,4' MOA+124:124,38' MOA+128:901,78' TAX+7+VAT+++:::16+S' UNT+28+INVOIC0001' UNZ+1+9908021557'A typical billThe resulting EDIFACT documentSource: http://www.edifactory.de.

    Fahrradhandel Pedal, Wagingerstr. 5, 81549 MnchenHuber GmbHObstgasse 281549 MnchenMnchen, 02.08.99Rechnung: 9908001Ihre Bestellung Nr. O0010001 vom 15.07.99 PosArtikelBeschreibungAnzahlEinzelpreisGesamt14.711.001Fahrrad, Damen-175075024.711.002Luftpumpe, Stand-119,919,934.711.003Ersatzventil32,57,5------------Gesamtsumme netto777,4Umsatzsteuer 16%124,38========zu zahlender Betrag901,78

    Gabriel Reck (http://www.rueeck.de)

  • XML as a replacement for EDI (3)XML will be a standard format for data exchange.XML documents can use XML-RPC over HTTP.XML can use security protocols like SSL.RPCHTTPSOAPHTTPHTTPCORBADCOM

    Gabriel Reck (http://www.rueeck.de)

  • XML as a replacement for EDI (4)XML can link ERP and other systems together in a seamless way.O t h e r S u p p l i e r sOrderDeliveryPayment

    Gabriel Reck (http://www.rueeck.de)

  • ebXML as a Facilitator to XMLebXML helps interfacing two XML-capable systems.Source: UN/CEFACT and Oasis, ebXML Technical Architecture Specification v 1.0.4, 16 February 2001.

    Gabriel Reck (http://www.rueeck.de)

  • Web Services Example (1)Web services are self-contained business functions that operate over the Internet.Web Services offer a seamless integration across company boundaries.Office PackageERPMarketing ToolsR&D ToolsInstallationMaintenanceOffice PackageERPMarketing ToolsR&D ToolsOther Customers

    Gabriel Reck (http://www.rueeck.de)

  • Web Services Example (2)Web services can be integrated in other applications.Google offers his search engine for external customers.Develop Your Own Applications Using Google1)

    With the Google Web APIs service, software developers can query more than 3 billion web documents directly from their own computer programs. Google uses the SOAP and WSDL standards so a developer can program in his or her favourite environment - such as Java, Perl, or Visual Studio .NET.1) Source: http://www.google.com/apis/.2) Source: http://www.cnn.com/.3) Source: http://www.pravda.ru/.2)3)

    Gabriel Reck (http://www.rueeck.de)

  • Web Services The full Picture (1)Many enterprises nowadays are mostly monolithic.The graph shows an example process map.

    Gabriel Reck (http://www.rueeck.de)

  • Web Services The full Picture (2)Identify processes with potential for outsourcing.Allocate these processes to appropriate companies.HotlineRepairLogisticAccountingIT InfrastructureIT SupportHuman ResourcesPayrollCustomer Care ProcessSupport Processes

    Gabriel Reck (http://www.rueeck.de)

  • Web Services The full Picture (3)XML is used to connect the outsourced functions and applications with the main enterprise.

    Gabriel Reck (http://www.rueeck.de)

  • SummaryXML is an excellent standard for:Archiving documents with semantic connotation.Replacing EDI in the company-company communication.Creating a network of distributed business processes and functions.XBRL is a derivate of XML for business reports.FpML is a derivate of XML for the trade with financial derivatives.ebXML facilitates the setup of XML transactions.Web Services offer functions over corporate network or even the internet.XML and Web Services help to outsource processes and to make companies leaner.

    Gabriel Reck (http://www.rueeck.de)

  • Important Issues to Keep in MindXBRL still in the Hype Phase and has 2-5 years to go1)!Web Services Enabled Business Models also still in the Hype Phase and 5-10 years to go1)!Even with XML, outsourcing business processes involves substantial work!Outsourcing is not a remedy for problematic processes!Security may be of concern with distributed processes!When using XML for archiving purposes, think beforehand what you really need to archive2)!1) Source: Gartner Dataquest, Hype Cycle for Emerging Technologies 2003, 2 July 2003.2) CNETAsia, XMLRodney, are we there yet?, CNETAsia, 15 December 2003.

    Gabriel Reck (http://www.rueeck.de)

    XML and FpMLGabriel Reck ([email protected])XML and FpMLXML, the eXtensible Markup Language, is a subset of SGML, the Standard Generalized Markup Language which was standardized in 1983. SGML and XML are called meta-languages rather than HTML which is a language. The reason for that is that SGML and XML can be used to create languages like HTML. In HTML, the elements and attributes of a language are specified and cannot be enlarged unless the standard is changed. SGML and XML, however, describe mechanisms in order to define elements and attributes and leave it to the user to define its elements and attributes himself. Consequently, XML can be used to create a user-specific language. HTML is mostly known to the users by websites, and elements and attributes are fixed in HTML and offer sufficient possibilities to structure and present a text. In XML, the elements and attributes first have to be defined. This is usually done in a document type definition, see later slides.XML is an open standard and maintained by the WWW Consortium (W3C) rather than by a company. This ensures that no company can unduly influence the standard to their favour although such attempts have been made in the past. It also principally ensures some degree of compatibility although HTML can serve as a contrary example of how both Netscape and Microsoft have introduced proprietary tags.Taking into account an increasing internationalization and globalization of companies, XML supports international character sets like UTF-8 or UTF-16. UTF is an abbreviation for UCS Transformation Format, and UCS itself is an abbreviation for Universal Character Set. Details can be found at http://www.cl.cam.ac.uk/~mgk25/unicode.html. UCS is an outcome of ISO 10646 and comprises a table for all characters in all languages. Furthermore, additional characters for historic languages and musical notes and patterns are added. While Unicode first encoded the letters with 16 bits per characters, it soon became clear that the resulting space of 65,536 characters is not enough, and the standard was subsequently enlarged. However, it is somehow impractical to encode every text with four bytes now. Also, some operating systems cannot easily use the new encoding because some byte values that are used may have a special meaning in text files (like CR, LF, EOF). Therefore, the coding schemes UTF-8, UTF-16 and UTF-32 have been developed. In UTF-8, the most widely used characters typically use one byte only, and other characters then use more bytes. Like that, text files can typically be held small while all possible characters can be used though.Gabriel Reck ([email protected])XML and FpMLSince the elements and attributes in XML are not determined like it is the case in HTML, a definition of the used elements and attributes has to done before creating a proper XML document. This is the task of the so-called XML DTD, the document type definition. In the DTD, all possible elements and their attributes that can be used in an XML document, have to be specified. The XML DTD has to be put in the internet or on a server so that parser can verify an XML document versus an XML DTD. A parser is a program that reads an entire XML document and verifies whether the content is syntactically correct, that is whether it conforms to the XML DTD. In order to enable a parser to find the corresponding XML DTD, a referrer is placed in the header of an XML document. Such a referrer can also be an URL, of course, and consequently refer to an internet address.Gabriel Reck ([email protected])XML and FpMLXML separates the content and the presentation. Unlike HTML which mixes content and presentation elements in a single document, XML uses at least two documents. That all makes sense. HTML was developed as a hypertext markup language in order to structure scientific documents and hence knows text elements like headers, quotations, and paragraphs. Only at a later stage, HTML was expanded and in version 3.02 included many elements which were only intended to allow stylish web presentation. Unfortunately, both Netscape and Microsoft engaged in proprietary language extensions that were mutually incompatible, of course. In the current version 4.01, the WWW Consortium has tried to push HTML back to its origin and outsource the presentation elements like font type and font colour into the Cascaded Style Sheets (CSS) in order to create more visibility in HTML and to allow a unification of web presentation and an easy change of font types, etc.In XML, things are different. First of all, XML is not only intended for humans, but also increasingly a document format which is used for a machine-to-machine document exchange and hence, formatting information is redundant. Consequently, it makes sense to separate content from presentation. The content can be formatted by means of XSL (eXtensible Stylesheet Language) or XSLT (XSL Transformation). Those are essentially documents that prescribe how an XML document shall be presented in a browser. They can be linked to certain XML-capable modules in a web server which then transforms the XML document in an HTML document that can be displayed by all browsers. Similarly, CSS (Cascaded Stylesheet) is possible. We could also think of proprietary CGI (Common Gateway Interface) scripts or Perl or Python scripts that transform documents on a web server side.Some browsers like Netscape or the Internet Explorer (> V5.0) are able to deal with XSL and XSLT documents directly, albeit to different degrees. Then, the conversion can be done directly in the browser, and the web server need not do that. However, one never knows which browsers the target audience uses, especially when we take into account that in future, increasingly mobile devices may be used to display the information, and the browsers in these devices may not support the full XSL/XSLT capabilities. Therefore, it is recommendable to do the conversion on the server side if the document is to be displayed in a pleasant human readable form.Gabriel Reck ([email protected])XML and FpMLXBRL, the eXtensible Business Reporting Language, is an attempt to avoid the labour-intensive, repetitive task of formatting the same report information numerous times. A company that uses XBRL to index their whole financial data, can then create a set of filters that extract the relevant and necessary data for the different kind of reports ensuring consistency over all reports. The Company Financial Data is actually a database that contains all financial and business data of the whole enterprise. The data has to be tagged, that is, it has to be stored in XBRL and properly indexed. Then, filters determine which data is going to be extracted for the various reports. Enterprises, especially publicly listed ones, have to comply with a number of regulations and laws and publish quarterly reports with the financial key data. The data in their financial reports (And here in the graph, only the Annual Report is given as an example), may be more detailed than the key data which they publish on the internet. It is surely also different from the necessary and regulated format of the 10K Report for the Securities and Exchange Commission in the U.S. The CEO of the enterprise may only need some few key data like revenues, order volume and profitability. For the balanced scorecard, other business data may be important from which then the score is computed and displayed. Maybe, the company even shares some data with other stakeholders like the income and revenue authorities or suppliers.Gabriel Reck ([email protected])XML and FpMLWith an increasing globalization and the ongoing internationalization of production and trade, internationally operating enterprises have to deal with many new risks like exchange risks, country risks, etc. Consequently, the market for financial derivatives has expanded considerably in the last years, and enterprises are more and more resorting to financial derivatives in order to hedge against exchange risks, for example. Up to now, the trading of financial derivative products is done manually which is a cumbersome and error-prone task. It is especially risky because errors can result in the wrong contract and financial derivatives can expose the involved parties to a high risk. Consequently, an automation of the process is the way to go, and FpML is the standard that is targeting this application. However, the scenario shown in with FpML is currently only a vision, and while the standardization of FpML has been finished in May 2000, there are still many open questions and FpML has not yet been applied so far.Gabriel Reck ([email protected])XML and FpMLFor some time, it looked like WAP/WML was the right approach to bring the internet to small portable devices that lack the screen resolution and browser capabilities of notebooks and desktop PCs. Mobile phones and PDAs usually do not have displays that offer the same brilliance and resolution than notebooks and desktop PCs because they have to be smaller and cannot consume as much energy. For the same reason, these devices lack the powerful microprocessors of their larger counterparts, and hence cannot cope with the content-rich web pages that can be displayed on bigger machines. This was why WAP and WML were set up. WML actually is an XML-based language that defines similar elements and attributes than HTML, however, not as many and not as demanding ones as HTML does. The idea was to encode pages both in HTML for PCs and notebooks and encode them a second time in WML for small portable devices. In order to make efficient use of the scarce bandwidth in the internet connection of mobile devices (in the 2G era), a WAP gateway was further compressing the WML pages in order to speed up the transfer to the mobile devices.While WAP and WML have found some applications in portals like Singtels ideas or Vodafones Vodafone live!, the success remains limited and far behind initial expectations.Gabriel Reck ([email protected])XML and FpMLCurrently existing documentation in enterprises is often based on plain text, Word, Excel, or PDF documents. Sometimes, data has been stored in databases, but usually data is stored on a multitude of web and file servers in the whole enterprises. Recent efforts to structure this pile of documents has brought up knowledge management and the attempts to merge data to central databases which also deal with access rights. In some companies, employees have been encourages to write their knowledge down in designated web sites or content management systems (CMS) that are then fed into a company-internal database and can be accessed by other users. However, despite these efforts, it is still very troublesome to search for a certain document. The reason is that current search engines can only index on a text base or maybe, if they have special plug-ins, they can even index a Word document or a PDF document, but the search engine does not understand the meaning of the content of the document. This is because the content is not tagged and only understandable for humans who know the context. Therefore, searches in company search engines find a multitude of documents, but most of the times not the one that the user is really looking for.In that aspect, it would be very beneficial if all documents were tagged properly and could then be indexed by special search engine that can understand and deal with XML. Then, a user could specify his search more precisely and the search engine could yield a better result. Of course, it is unrealistic to assume that an enterprise would convert all existing documents into XML because that would bind a lot of human resources. But if an enterprise starts to archive new documents in XML, then a search engine can successively yield better search results over the time thus saving large amounts of time that would otherwise be wasted with searching documents and reading through them in order to see whether they match the search.Gabriel Reck ([email protected])XML and FpMLThe current Electronic Data Interchange (EDI) between companies is a cumbersome approach. EDI is usually not included in the major software packages because there are many different data exchange formats, and so far, a series of standards has evolved of which probably EDIFACT (ISO 9735) is the most well-known. In general, a company IT system must be linked somehow to a converter that converts company data, be it bills or documents or database entries, to an exchange format. This converted file is then transmitted to another company, for example by a leased line connection or a dial-up connection, like it has traditionally been done in the pre-internet era. Alternatively, now, in the internet era, files can be transmitted by email, via FTP or HTTP, but the approach is still problematic in the sense that it usually involves manual labour for the data conversion and the transmission by FTP to another party that then converts the data back to their system. This is time-consuming and error-prone.

    Gabriel Reck ([email protected])XML and FpMLEDIFACT, the UN Electronic Data Interchange For Administration, Commerce and Transport, is the most well-known of the EDI standards which are listed at http://www.edifactory.de. However, even EDIFACT is far less flexible as XML, and it is not really human readable so that the rapid creation and debugging of converters is a troublesome and error-prone process. As we can see in the example, the transcoding of a bill which originally came as an EXCEL document into an EDIFACT document leads us to a letter and number clutter that even trained users have to examine closely in order to see that it originated from a bill.Gabriel Reck ([email protected])XML and FpMLXML is poised to be the new standard to replace EDI because more and more software is XML-capable. The newest versions of Microsoft Office as well as Open Office can already handle XML documents to a certain extent, and XML interfaces are increasingly written for business applications like databases, web servers and enterprise resource planning (ERP) systems. XML has the advantage that it is a text-only format that can use existing protocols like the Hypertext Transfer Protocol (HTTP) for the transmission of documents which is also used for the transfer of HTML pages (ordinary web pages). Due to this compatibility, the whole range of established security protocols like Secure Socket Layer (SSL) can also be used in order to encrypt the transfer of XML documents. X.509 certificates can be applied to authenticate one company to the other in order to secure authenticity. Of course, also more sophisticated protocols like IPSec, PPTP, L2TP or SSH can be used, too.There are essentially four interface models that are used for distributed software, the Remote Procedure Call (RPC), the Simple Object Access Protocol (SOAP), the Common Object Request Broker Architecture (CORBA) and the Distributed Component Object Model (DCOM). DCOM is a Microsoft invention, while CORBA is maintained by many software firms and free software projects. SOAP was originally created as a collaboration between UserLand, DevelopMentor and Microsoft, but is now maintained by the WWW Consortium (W3C). Of these four models, RPC and SOAP support the HTTP transfer of XML pages and therefore look as the promising protocols to be used.Gabriel Reck ([email protected])XML and FpMLIn this more complex scenario, a customer is ordering a printer at a company which allows the customer to pay by credit card. This order process by the customer itself can already be e-business that is, the customer orders via a web interface. Or the customer can send in a written order or a order by phone call. However, companies typically should aim electronic order via the internet because then, this order can directly be channelled to the company ERP system without any further manual interaction and is thus more cost-effective. The company aggregates all the incoming orders and determines the list of components that have to be ordered from suppliers. The list of components is computed by the Enterprise Resource Planning (ERP) system, for example, a SAP R/3 system. The transmission of this list to the ERP system of the supplier is done via HTTP, and XML is used for interfacing the two ERP system. This is possible because modern systems increasingly support XML. At the supplier side, the same game repeats itself, and the supplier himself determines the components that he has to order from his suppliers.When the components finally start arriving, the supplier assembles them and delivers his parts back to the company. The company itself assembles the sub-assembled components and builds the printer which then is delivered to the customer.The customers credit card is billed, and funds are transferred from the customer to the company, also electronically. A part of the money is subsequently further transferred to the supplier. A bank is involved in the process, and the bank transfers are linked to the company ERP modules so that bank transfers can occur without further manual intervention. Of course, a bank is also involved when the credit card of the customer is billed, but for the sake of simplicity, this is not shown in the graph.In this ideal scenario, the company only has two ongoing tasks to fulfil once the system is set up in a correct manner. The company must build the printers, and it has to develop new products and introduce them into the market and maintain customer relationships. All the other processes ideally do not require manual interference. Of course, this is an idealized scheme which in reality always requires manual interference here and there because things never work out perfectly. But in high turnover businesses, such an approach is necessary in order to be able to operate cost-effective.Gabriel Reck ([email protected])XML and FpMLWhile interfacing companies with XML-capable software looks like a literal piece of cake, it involves, in fact, a lot of work. Both companies have to agree on which details are transferred and create the XML DTD, they have to agree upon the frequency of data exchange, security issues, server IP addresses, retransmission schedules in cases of timeouts and so on.ebXML defines a directory service (in the graph, ebXML Registry) in which enterprises (in the graph, company B) that offer web-based services can register themselves with a set of certain documents that describe all these information so that an enterprise that requires web services from a third party (in the graph, company A), can search for an adequate enterprise and then adapt their local system implementation to match that profile. That profile or the service description that company B has registered in the directory is called a Collaboration Protocol Profile (CPP). Like that, ebXML makes the setup of a collaboration cheaper, but still not completely hassle-free.Gabriel Reck ([email protected])XML and FpMLAs the web service definition suggests, web services are self-contained business functions that operate over the Internet. The classic example is a partly outsourced IT department that is relieved of the task of installing and maintaining the numerous software applications that make part of an entire organization. The costs for the purchase of the software may be affordable for an Office package, but already an ERP package can be ways too expensive for a small or medium enterprise (SME), and even large enterprises increasingly try to find ways in order to diminish the substantial costs of software packages that can occur when one version has to be upgraded to the next one. Besides that, software maintenance is also resource hungry, and many administrators are daily occupied with installing software updates and patches and ensure compatibility to the existing and installed software. From our personal life, we know that even the regular Windows updates and virus scanner updates can be time-consuming and disruptive if the machine has to be rebooted after them. On the other side, we know that badly maintained software may be vulnerable to attacks from the internet.This is exactly why it makes sense to outsource such functions to a specialized web service provider that offers software over the web. The companys IT department is relieved from a big burden and the cost of the software can be more aligned with the real usage if consumption-based pricing models are applied. The web service provider himself can afford to employ specialized and high calibre staff that ensures that the software is in a constantly maintained and updated status, and that all applications are functioning properly. The motivation of the web service provider is clear. He aggregates customers for his service and therefore uses economies of scale in his server farm to accommodate all his customers at a reasonable price and make a profit at the same time.While the web service provider may use other protocols in order to load Office applications on the companys computers, he surely uses XML in order to transfer documents between the company and the web service providers large scale applications like ERP or R&D Tools, that run on the web service providers server farms.Sometimes, availability or network traffic is a critical issue, and then web service provider can even locate a set of servers in the enterprise which wants to rent the service. However, the servers and software remain the property of the web service provider, as well as the software running on these machines. This approach has the advantage of a higher bandwidth and availability of the service because the data need not be channelled through the internet.Gabriel Reck ([email protected])XML and FpMLAn example of Web Services is the Google Web API with which software developers can query the Google database directly from their programs. Programs does not necessarily mean compiled C program code, but also Java or Perl scripts that can incorporate the Google Web API. Examples for this technology are CNNs and Pravdas web sites which allow a search of the article database or of the web via Google.Gabriel Reck ([email protected])XML and FpMLThis graph shows an original process of a company. However, some links have been omitted for the sake of visibility. In the following slides, we are going to outsource two out of the eight processes and distribute them to different companies and link all the involved companies by XML. It shall exemplify how in a similar situation, entire processes can be split up in components and outsourced to other enterprises. By outsourcing, one has several benefits:Scalability of the enterprise when the business changes quickly.Access to Best Practices that usually will be found where specialized service providers aggregate a large number of customers for, lets say, a web service.Focus on Core Processes or the Core Business of the enterprise.

    Gabriel Reck ([email protected])XML and FpMLTwo processes out of the eight ones can be separated and outsourced easily, the Customer Care Process and the Support Processes.The Customer Care Process contains the Hotline Process, the Repair Process and the Logistics Process. Typically, hotline services can be outsourced to a specialized call centre, for example, Sitel in Singapore which handles hotline and even sales services for several enterprises in the region. The repair service similarly can be outsourced to an enterprise that has best-in-class practices for handling the arrivals, repairs, tracking and shippings of the repaired goods. Finally, the logistics service can be a logistics service provider that handles the shipping to the customer. Outsourcing these processes to third-party companies is not a new thing and has been practiced already by a number of companies. As in other outsourcing cases, too, a thorough documentation is essential, especially for the hotline and the repair process, and shared knowledge databases must exist between the enterprise and the contracted companies in order to share immediately all new findings and product changes and to provide feedback from the hotline and the repair centres.Within the Support Processes, we can identify five processes that can be outsourced, Accounting, Payroll, Human Resources, IT Infrastructure and IT Services. Surely, depending on the company, there may be more processes, and not all companies will want to outsource processes like Accounting and Human Resources. But if you closely think about it, even Accounting can to a good part be outsourced, lets say, in certain functions like Travel Expense Reports or Business Trips or things like that, and some enterprises run the respective departments already as a subsidiary within the enterprise, that is, just one step before outsourcing. As to Human Resources, we find that many enterprises nowadays work with consultants and subcontractors which to a certain extent are already outsourced HR functions. Payroll is a function that is just being outsourced in many companies, so thats really a current trend. IT Infrastructure and IT Services are a classical example of outsourcable functions to a company, any many companies have already engaged in it. As the previous slides have shown, even things like software can then be managed by a web service provider like it could be the case with SAP systems for SME.Gabriel Reck ([email protected])XML and FpMLThis picture shows the enterprise with the six remaining processes and the two outsourced processes that have been further split up. The connections between the processes have been omitted, for the sake of visibility. IT Infrastructure is shown at the border of the enterprise because actually, infrastructure has to be placed within the enterprise, but is then provided by a third-party company. Also, in this function, there is no XML connectivity between the enterprise and the third-party supplier but the latter one puts hardware into the enterprise.Gabriel Reck ([email protected])XML and FpMLGabriel Reck ([email protected])XML and FpMLGabriel Reck ([email protected])