IBM SOA Architect Summit SOA Case Study A

IBM SOA Architect Summit JK Enterprises (JKE) Case Study JKE Enterprise Architecture Business Architecture § Processes § Information § People § Service Integration Maturity Model § Defining and Enforcing SOA Governance § Project Prioritization and Planning Information Technology Strategy Business Strategy IT Architecture JKE Business Architecture § Applications § Information § Technology Transition Plan EA Governance Business Operating Environment and IT Infrastructure IT Solutions § Business Component Analysis § Service-Oriented Modeling and Architecture § Identifying Areas for Improvement JKE Application Architecture § Exposing Services using Indirect & Direct Patterns § Developing Service Flows JKE Information Architecture § Developing Data Federation § Exposing Information Services JKE Infrastructure Architecture § Security Architecture § Composite Application Management 3 SOA on your terms and our expertise

IBM SOA Architect Summit JK Enterprises Corporate Overview Corporate Attributes § JK Enterprises is a premier supplier to retail channel, small business channel, and corporate customers § Founded in 1935, now a well liked brand image § High-touch approach to our customers § Customers of all types can interact with us in a way that suits their individual needs § Best service at the lowest cost § Now with customer centers around the world § Acquired Jensen Incorporated in 2000, which strengthened our corporate customer base § Corporate customers are true business partners § 900 Offices, 6 Countries Line of Business Organization 4 Service Corporate Headquarters (2) 350 Customer Centers 500 Remote Sales Offices 6 Call Centers 8 Data Centers – – – 1500 Corporate 1000 Sales and Sales Support ~15 per Customer Center 150 per Call Center 2000 in IT § 11, 000 employees CEO Commercial Sales – – – e-business Retail Credit Sales SOA on your terms and our expertise Service Credit Sales Service Credit

IBM SOA Architect Summit JK Enterprises Envisioned Future State Key Initiatives § The most profitable high-touch company in the industry § Aggressive growth with minimal risk § Optimized responsive corporate organization § A company that leverages it’s strategic investments § Grow organically and leverage our size – – Best Web Site in the industry Expert Sales force Global CRM Sales Focused Call Centers Future Organization – Access any service from any channel with consistent experience – Then move customers toward lower cost channels § Business transformation and optimization – Optimize then grow - organization and processes – Remove redundancies - centralized shared services – Shift our focus to strategic functions - outsource high cost tactical business functions, invest in the rest CEO CTO Project Management CIO VP Development 5 § Multi channel integration § Control access to information to ensure appropriate security LOBs Development – 100, 000 new customers this year – Increase cross-sell ratio to over 2. 0 in 24 months Release Engineering Process Improvement SOA on your terms and our expertise Risk, Security, Compliance VP IT Operations Service Support Service Delivery Solution Deployment Infrastructure

IBM SOA Architect Summit Agenda § Enterprise Architecture § SOA Business Architecture § SOA IT Architecture – Application Architecture – Information Architecture – Infrastructure Architecture § Getting Started 6 SOA on your terms and our expertise

IBM SOA Architect Summit SOA and Enterprise Architecture: Best Practices Enterprise Architecture: Assess SOA Readiness and Maturity SOA Governance Business Component Design Transition Planning Governance Plan Determine the Governance Focus SIMM Define the SOA Governance Model Enable Implement the SOA Governance Model Measu re Refine the SOA Governance Model SGMM Enterprise Architecture Models << Input from Business Analysis >> SOMA <<Output to SOA Implementation >> JK Enterprises Project Prioritization & Planning SOA Design: Service Identification Service Specification Service Realization Service Implementation 7 JK Enterprise Projects SOA Development/Deployment: Developing/creating Services Developing Information Services Developing User Interaction and Collaboration Services Developing Business Process Services SOA on your terms and our expertise SOA Management: Service Infrastructure Considerations (Performance, Security, Virtualization)

IBM SOA Architect Summit Service Integration Maturity Model (SIMM) – Next Steps Silo Business Isolated Business Line Driven Integrated Structured Analysis & Design Object Oriented Modeling Applications Modules Objects Architecture Monolithic Architecture Layered Architecture Information Application Specific 8 IT Governance LOB Platform Specific Enterprise Standards Level 2 Componentized Businessoffers Business offers Services Processes Through Service Composition Geographically Independent Service Centers Mix and Match Business and Location Capabilities Define & Enforce Emerging SOA Governance SOA and IT Governance Alignment Services Move. Component to SOA-based Based Design Methodology Development Service Oriented Modeling Component Architecture Focus on SOA Emerging SOA Foundation Information As a Service As Service Common Infrastructure Project-based SOA Reusable. Standard SOA Infrastructure Environment Level 3 SOA on your terms and our expertise Level 4 SOA and IT Governance Infrastructure through Policy Governance Alignment Service Oriented Modeling Business Grammar Oriented Modeling Process Integration via Services Dynamic Application Assembly SOA Grid Enabled SOA Dynamically Reconfigurable Architecture Enterprise Data Dictionary and Repository Virtualized Data Services Semantic Data Vocabularies Common SOA Environment Virtual SOA Environment Dynamic Sense & Respond Level 5 Level 6 Level 7 Process Choreography Assembly. Integration Components Services Integration via Services LOB or Deploy Common LOB or Enterprise Canonical Models Specific Information Services Level 1 Infrastructure Dynamically Re-Configurable Services Componentized Business Service Business Decomposition IT Transformation Methods Virtualized Services Componentized Business Process Integration Application Specific Skills Organization Composite Services

IBM SOA Architect Summit SOA Governance Defining SOA Governance at JK Enterprises Tailor SGMM Execute the “JKE SOA Governance Project” Identify SOA Business and IT Principles Determine Existing Governance Structure Define Co. E Structure Create Project Proposal Create the SOA Governance Framework Roles Policies 9 SOA on your terms and our expertise Implement Tools and Infrastructure Processes Metrics Quality Gates Refine Operational Environment

IBM SOA Architect Summit SOA Governance Enforcing Governance at JK Enterprises Service Design and Development Define Goverance Policy Implement Policies Service Reuse Architectural Compliance Access Method Web. Sphere Service Registry and Repository Rational Method Composer Governance Policy and Best Practices Web. Sphere Integration Developer Review Service Lifecycle Web. Sphere Business Modeler Business Requirements Traceability Enforce Policies Service Reuse Web. Sphere Service Registry and Repository Rational Requisite Pro 10 SOA on your terms and our expertise Architectural Compliance Service Management SOA Design Review Tivoli Composite Application Manager for SOA Tivoli Change and Configuration Mgmt DB

IBM SOA Architect Summit Agenda § Enterprise Architecture § SOA Business Architecture § SOA IT Architecture – Application Architecture – Information Architecture – Infrastructure Architecture § Getting Started 11 SOA on your terms and our expertise

IBM SOA Architect Summit Business Analysis Identifying Business Components Target Competency: Base Competitive Investment Review Differentiated Contribution Cost (H, M, or L) ‘Hot’ Component Business Administration New Business Development M L M Sector Planning L M Directing Business Planning M Business Unit Tracking Controlling M L Staff Appraisals L M Executing H L 12 Account Administration Product Administration Purchasing M H L L M Sector Management Product Directory M Relationship Management L M Account Planning Relationship Management Credit Assessment Servicing & Sales L M L Sales Planning M Sales Management Marketing Campaigns Branch/Store L Operations SOA on your terms and our expertise Credit Administration L M Portfolio Planning L L L Fulfillment Monitoring L M M L Reconciliation M H M L H Product Fulfillment Sales L Fulfillment Planning Compliance H M L M L H Financial Control and Accounting Product Fulfillment Customer Service M H L L Collections M Customer Accounts H Document Management M M General Ledger

IBM SOA Architect Summit Business Analysis Identifying Business Components Target Competency: Base Competitive Investment Review Differentiated Contribution Cost (H, M, or L) ‘Hot’ Component Business Administration New Business Development M M L M Sector Planning Directing Business Planning M L L M L Staff Appraisals L M Executing H L 13 Account Planning control M Business Unit Tracking Controlling Account Administration Product Administration Purchasing M H L L M Branch/Store L Operations Relationship Management Cost opportunity L M Sector Management Product Directory M Relationship Management L M L Sales Planning L M Cost control opportunity SOA on your terms and our expertise Fulfillment Planning M L M Portfolio Planning L L L M Compliance Sales Management L Fulfillment Monitoring X Revenue / Profit improvement opportunity M Customer Service M Collections Reconciliation Product Fulfillment H L L L H M L H Sales Credit Administration Financial Control and Accounting Product Fulfillment L H H M L Marketing Campaigns Credit Assessment Servicing & Sales M Customer Accounts H Document Management M M General Ledger control Cost opportunity

IBM SOA Architect Summit Business Analysis Identifying Improvement Areas at JK Enterprises Target Competency: Base Competitive Investment Review Differentiated Contribution Cost (H, M, or L) ‘Hot’ Component § Negotiate volume discounts based on combined Business New Business Relationship volume of all departments Servicing & Sales Financial Control and Accounting Product Fulfillment Administration Management – Decrease negotiated cost Developmentcredit report of automated by 20% M L M Fulfillment L M – Automate 75% of credit report retrievals L M Account L § Develop optimized cross-channel Portfolio Business account Sector Planning Sales Planning Directing Planning § Implement consistent business rules to improve risk management M application process L L M M – Decrease number of credit report retrievals by. Relationship 10% Sector Business Unit Management Tracking Controlling M L Staff Appraisals L M Account Administration Product Administration M H L L Product Management Product Directory M Purchasing administering accounts L H Management L M Credit Assessment L – – Increase L M cross-sell ratio to 2. 0 L L M Add 500 new corporate customers Compliance Improve STP of applications by 35% Sales Fulfillment Reduce call center calls from sales force and Management Monitoring X L offices by 30% Reconciliation H M L Credit Marketing Campaigns – Decrease cost of account activation by 50% L Branch/Store L – Decrease time to open account by 50% Operations SOA on your terms and our expertise M H M L H Product Fulfillment Sales Executing § Automate manual tasks for creating and Administration H M 14 L Customer Service H L M Customer Accounts H X Document § Decrease paper processes by General Management M L automation of manual tasks Ledger Collections X – Increase electronic applications by 25%

IBM SOA Architect Summit Defining Solution Scope Business Context Diagram Account Manager (HQ) Customer CSR (Store) Account Open Request on si s Portal De ci ou c Ac s st rm R nt e. F o Account Open Request e New Account Request e qu Real-time Collaboration re: Account History Account On-Boarding Forms Account History 15 SOA on your terms and our expertise Credit Scoring Partner Account Owner (HQ)

IBM SOA Architect Summit Service Design via SOMA Service Identification JK Enterprises Process Decomposition Domain Decomposition Goal Service Modeling Existing Asset Analysis § Techniques: § Techniques § Services Identified – Process Modeling Tools – Design of KPIs/Metrics – Open Account – Account Activation – Account Verification 16 – Requirements Planning Tools – Design of KPIs/Metrics – Determine Applicant Eligibility – Address Verification SOA on your terms and our expertise – Asset Analysis Tools – Interviews/Documentation – – Account Inquiry (CICS 2. 2) AR Setup (CICS 2. 2) Account Setup (CICS 3. 1) Create Account (SAP)

IBM SOA Architect Summit Service Specification Applying The Service Litmus Test § Candidate Service Name: AR Setup § Business Alignment: – Is the service business relevant? YES – Is funding available for service development and management? YES (Governance Board) – Is the service sharable? YES § Composability – – Is the service consistent with NFRs at the composite level? YES - As per current requirements Is service stateless? YES Is the service self-contained? (Are there dependencies? ) YES – No Dependencies Is the service technology neutral? Implementation is CICS 2. x - technology neutral § Externalized Service Description – Is there an externalized service description e. g. WSDL? NO - done as part of service creation – Can the service be discovered and bound via the service description? Following service creation – Does the description contain meta-data about itself? Following service creation § Redundancy Elimination – Can the service be applied to all processes where its function is required? YES 17 SOA on your terms and our expertise

IBM SOA Architect Summit SOMA Service Specification Defining the “Account Receivable (AR) Setup” Service Building the Service Message Model Designing the Service Components Rational Software Architect 18 SOA on your terms and our expertise

IBM SOA Architect Summit Service Specification Service Model for “Account Activation” Sales Application Central Office Consumers Open Account Business Process Composition; choreography; business state machines Address Verification Determine Applicant Eligibility Account Activation Account Inquiry Indirect exposure Service Components AR Setup (Applications & Data) Account Setup Indirect exposure Direct exposure Create Account Customer (CICS 2. x) SOA on your terms and our expertise Determine Eligibility Indirect exposure Create from scratch Message Flow J 2 C Operational Systems 19 Account Verification Account Activation Services Atomic and composite Sales Application Regional Office SCA Billing (CICS 3. 1) Address Verification Third-party reuse EJB GL (SAP)

IBM SOA Architect Summit SOMA Service Realization Designing the implementation for the “AR Setup” Service § Architectural Considerations – – Implementation is CICS 2. 2 Web. Sphere MQ on mainframe Security requirements (RACF) Alternatives • • ESB Integration Custom EJB Development J 2 C Adapter Application-level messaging Sales Application Central Office Consumers Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite § Architectural Decisions – ESB Integration • • • Security requirements Availability requirements Message augmentation/transformation – Support for both synchronous and asynchronous interactions – Compensatory service need to be designed and deployed 20 SOA on your terms and our expertise AR Setup Account Inquiry Indirect exposure Service Components Indirect exposure Account Setup direct exposure Create Account Indirect exposure Message Flow J 2 C Determine Eligibility Create from scratch SCA Customer (CICS 2. x) Billing (CICS 3. 1) Third-party reuse EJB Operational Systems (Applications & Data) Address Verification GL (SAP)

IBM SOA Architect Summit Agenda § Enterprise Architecture § SOA Business Architecture § SOA IT Architecture – Application Architecture – Information Architecture – Infrastructure Architecture § Getting Started 21 SOA on your terms and our expertise

IBM SOA Architect Summit The End-to-end Account Opening Solution People Internet/ Intranet Portal Information Account History Service Customer Account History Account Info Service Customer Orders Customer Account Opening Service Customer Application Process Account Open Process Credit Policy Receive Request 22 SOA on your terms and our expertise Account Status Account Info Customer Application Check Application Create Account Confirm Account Customer Account

IBM SOA Architect Summit Developing the Process Model Completing the “Account Open” Process Model Design and Simulation of the “Account Open” Business Process Model Collaborative Development of the “Account Open” Business Process Model Web. Sphere Business Modeler Publishing Server 23 SOA on your terms and our expertise

IBM SOA Architect Summit Application Architecture “Account Setup” Service (Billing System) Sales Application Central Office Consumers Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite Account Inquiry Indirect exposure Service Components AR Setup Indirect exposure Account Setup direct exposure Create Account Indirect exposure Determine Eligibility Create from scratch Message Flow J 2 C SCA Address Verification Third-party reuse EJB Operational Systems (Applications & Data) Customer (CICS 2. x) Billing (CICS 3. 1) Direct Exposure CICS 3. 1 24 SOA on your terms and our expertise GL (SAP) Service Creation With CICS TX 3. 1 Web. Sphere Developer for System z

IBM SOA Architect Summit Application Architecture “Account Inquiry” Service (Customer Management) Sales Application Central Office Consumers Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite AR Setup Account Inquiry Indirect exposure Service Components Indirect exposure Account Setup direct exposure Create Account Indirect exposure Determine Eligibility Create from scratch Message Flow J 2 C SCA Address Verification Third-party reuse EJB Operational Systems (Applications & Data) Customer (CICS 2. x) Billing (CICS 3. 1) GL (SAP) Adapter Development Indirect Exposure J 2 C Adapter to CICS 25 SOA on your terms and our expertise Web. Sphere Integration Developer

IBM SOA Architect Summit Application Architecture “Create Account” Service (SAP) Sales Application Central Office Consumers Developing The SAP Adapter Instance Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite Account Inquiry Indirect exposure Service Components AR Setup Indirect exposure Account Setup direct exposure Determine Eligibility Create Account Indirect exposure Create from scratch Message Flow J 2 C SCA Customer (CICS 2. x) Billing (CICS 3. 1) Third-party reuse EJB Operational Systems (Applications & Data) Address Verification GL (SAP) Indirect Exposure to SAP Setting SAP Adapter Properties Selecting BAPIs For Adapter Operations Web. Sphere Adapter for SAP Software 26 SOA on your terms and our expertise

IBM SOA Architect Summit Service Reuse Integration with the Service Registry Browsing for Services and Publishing Services with the Web Interface Browsing for Services with the Eclipse Interface Web. Sphere Service Registry and Repository 27 SOA on your terms and our expertise

IBM SOA Architect Summit Application Architecture Developing Basic and Composite Service Flows Sales Application Central Office Consumers Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite Account Inquiry Indirect exposure Service Components AR Setup Indirect exposure Account Setup direct exposure Create Account Indirect exposure Determine Eligibility Create from scratch Message Flow J 2 C SCA Address Verification Third-party reuse EJB Operational Systems (Applications & Data) Customer (CICS 2. x) Billing (CICS 3. 1) GL (SAP) Develop Service Flows for “Determine Eligibility” and “Account Activation” Services Web. Sphere Integration Developer 28 SOA on your terms and our expertise

IBM SOA Architect Summit Information Architecture Data Federation, XML Retrieval and Data Cleansing Services Operational DB ACCOUNT DB 2 Database CUSTACC Table: INFORMIX ACCOUNT Table: JKE CUACCOUNT id: Informix DW: ibmpassword INFORMIX Instance: DB 2 id: administrator pw: ibmpassword INFORMIX Server Name: ol_plstew DB 2 Federation Server Building Federation Services Building Account Application Data Cleansing Service Web. Sphere Federation Server 29 Building Native XML Retrieval Services DB 2 v 9 Viper Web. Sphere Quality Stage SOA on your terms and our expertise

IBM SOA Architect Summit Information Architecture Exposing Information Services Registering Information Services IBM Information Server 30 SOA on your terms and our expertise

IBM SOA Architect Summit Process Design and Deployment Assembly and Deploy Sales Application Central Office Consumers Sales Application Regional Office Open Account Verification Business Process Composition; choreography; business state machines Account Activation Address Verification Determine Applicant Eligibility Account Activation Services Atomic and composite Account Inquiry Indirect exposure Service Components AR Setup Indirect exposure Account Setup direct exposure Create Account Indirect exposure Determine Eligibility Create from scratch Message Flow J 2 C SCA Address Verification “Account Open” WS-BPEL Implementation Third-party reuse EJB Operational Systems (Applications & Data) Customer (CICS 2. x) Billing (CICS 3. 1) GL (SAP) WS-BPEL Process Implementation Wiring the Components for the “Account Open” Process Web. Sphere Integration Developer 31 SOA on your terms and our expertise

IBM SOA Architect Summit Process Monitoring and Management Building BPM Monitoring Components and Dashboards Monitoring Credit Risk Building Components to Monitor Account Opening Duration Web. Sphere Business Monitor Web. Sphere Dashboard Framework 32 SOA on your terms and our expertise

IBM SOA Architect Summit Building User Interaction Services Developing and Deploying the “New Account” Application Building Role-Specific Portlets and Dashboards Lotus Forms Web. Sphere Dashboard Framework Web. Sphere Portal 33 SOA on your terms and our expertise

IBM SOA Architect Summit Deploying the Solution Architecture Implementation Topology for JK Enterprises Account Open Process Web. Sphere Process Server SOAP/JMS Web. Sphere Service Registry and Repository Account Activation SOAP/ HTTP CICS 2. x Account Setup CICS 3. 1 Data. Power XS 40 Appliance IBM Information Server SOAP/ HTTPS Address Verification Service (external) 34 Account Inquiry AR Setup Direct Call Web. Sphere Message Broker Web. Sphere Application Server SAP Adapter CICS Adapter Web. Sphere Enterprise Service Bus Determine Eligibility Create Account SOA on your terms and our expertise

IBM SOA Architect Summit JK Enterprises Security Architecture Business Security Services Security Policy Infrastructure Data. Power XS 40 IBM Directory Server Other Applications Tivoli Access Manager ESB Web. Sphere Portal Server Web. Sphere Process Server Credit Report Agency Proxy/ Intermediary Firewall Customer Portal Firewall Web. Sphere Service Registry and Repository Customer Information System Billing System SAP Tivoli Federated Identity Manager IT Security Services Policy Enforcement 35 SOA on your terms and our expertise

IBM SOA Architect Summit Infrastructure Architecture Composite Application Management Configuring Service Management Agents Monitoring Account Opening Performance and Availability Tivoli Composite Application Manager for SOA Tivoli Enterprise Portal 36 SOA on your terms and our expertise

IBM SOA Architect Summit Agenda § Enterprise Architecture § SOA Business Architecture § SOA IT Architecture – Application Architecture – Information Architecture – Infrastructure Architecture § Getting Started 37 SOA on your terms and our expertise

IBM SOA Architect Summit SOA Adoption: Tactical and Strategic Action Combined SOA Goal § Market return through transformation: quicker time to production, lower costs, competitive differentiation Revenue and Profit Market Return through Transformation Strategic Vision Incremental Adoption Time Two Primary Roadmap Perspectives § Strategic Vision Business and IT statement of direction which can be used as a guideline for decision making, organizational buy-in, standards adoption § Project Plans Implementation projects to meet immediate needs of the current business drivers 38 SOA on your terms and our expertise

IBM SOA Architect Summit Why IBM for SOA? IBM understands service orientation and your business Skills Expertise in aligning business and IT processes § 7500+ certified SOA consultants, architects, IT specialists § Dozens of SOA-enabled business solutions Thriving ecosystem of partners (ISVs, SIs, Resellers) § 2500+ partners in SOA community § 3500+ assets in SOA Business Catalog Partners Know-how & best practices Infrastructure Governance 39 Extensive Industry experience and best practices § Over 4000 customers worldwide § SOA Entry Points, SOA Reference Architecture, SIMM Unmatched breadth and depth of products § Over $1 B/yr invested in SOA § Leadership in open standards & 300+ SOA-related patents Leadership in Governance & Service Lifecycle Management § IBM SOA Governance & Management Method that spans the services lifecycle SOA on your terms and our expertise

IBM SOA Architect Summit Let's Go! Build on SOA Successes for Greater Business Value 1. Continue to discover the value of SOA § Not just doing the same thing a different way § SOA is not just about technology, but technology’s integration with business insight 2. Get Assessed! SOA Self Assessment On-line at ibm. com/soa/assessment 3. Evaluate and select a SOA project 4. Arrange for a SOA Workshop to begin your SOA journey 40 SOA on your terms and our expertise ". . . IBM is the leader in the development of SOA intellectual property. . with firm-wide SOA investment of $1 billion, IBM will leverage cutting-edge R&D, leading to quicker SOA value and reusable SOA assets for clients. " The Forrester Wave™ North American SOA Integration, Q 3 2006, September 2006

IBM SOA Architect Summit Thai Hindi Traditional Chinese Gracias Spanish Russian Thank You Obrigado Portuguese Arabic Danke Grazie German Italian Merci French Multumesc Romanian Simplified Chinese Korean Japanese 41 SOA on your terms and our expertise