SOA-2 Event-Driven Service Oriented Architecture Jaime Meritt Director

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SOA-2: Event-Driven Service Oriented Architecture Jaime Meritt Director of Technology jmeritt@progress. com

Real World is Made up of Services and Events The real world is both event-driven and service-oriented Events 3 SOA-2: Event-Driven Service Oriented Architecture Services © 2008 Progress Software Corporation

The Speed of Business is Increasing § Speed is a Competitive Advantage § How does the infrastructure address the business’ need to… • Trading Analytics 30 minutes . 1 second • Phone Activation 3 days 30 minutes • Build to order PCs 6 weeks 1 day • Absorb and distribute relevant events across the global enterprise • Monitor key objectives and business performance • Anticipate operational risks or incidents • Reduce latency between significant events and actions § 5 … in an increasingly real-time environment? SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What is Event-Driven SOA? Event- Driven SOA A way of building business applications from a collection of business services that communicate with each other - often through real-time event notification. The services are self-contained, can be distributed, use standards-based interfaces, and are application building blocks that can be reused. Events, event-streams, and complex events are first-class citizens in the architecture with regards to both development and deployment. 6 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What is Event-Driven SOA? Event- Driven SOA § § § 7 Evolution, Not Revolution! SOA breaks down silos and decouples applications • Modularity, Distribution, Formal interface • Core standards equally appropriate for events and services – SOAP, URI, XML, and WSDL SOA Middleware such as the ESB is an enabler for Event-driven SOA • Reliable communication backbone for event absorption and intelligent distribution • Mediation to resolve semantic and protocol incompatibilities between event producers and consumers SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What is Event-Driven SOA? Event- Driven SOA § § § 8 Adds publish-subscribe interaction model to traditional request-response Recipients act immediately upon event arrival, not when a request is made or on a pre-planned schedule Event source does not specify what action the recipient will perform, rather the recipient determines the operation Asynchronous event-at-a-time staged business processes Sophisticated event processing capabilities to sense and respond to business events in real time SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Event-Driven SOA -- Who Benefits Most? § § Event-based Applications / BAM • • • Manufacturing and logistics Algorithmic trading Risk and compliance management Airline operations Emergency response Application Integration Optimized by Events • Agility through extreme loose coupling • Supports real-time processing • Better supports federation 9 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

OK, but what is an “Event”? Events are data elements that capture the state (or changes to state) of real-world or computer-based objects. Events consist of data and temporal attributes that represent the “what” and “when” of an object - the state of an object or the interaction of objects at a particular time. § § § 10 Real World Examples Stock market trades and quotes § Network activities/faults RFID signals § Troop movement on battlefield Satellite telemetry data § Activity on a website Card swipes at a turnstile § Electronic funds transfers ATM transactions § SCADA alerts SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

The Problem: Application Integration Tight coupling of applications acts as a barrier to agility Key: Internal data flow CCPL CCSN SSI PBRIMS IPMS TAN External data flow MP/F Pending data flow Common Interface Layer NAME System appears twice Planned systems NOR Network AT&T Data Corp Books FIMS 3 rd Pty Pay by RIMS PRECISE Phone CL EM Billstar 3 PCDB Bill Print MI Listing MP CONF Billstar 1 COR RAP SBIR CARTS PDS-ERA Data Svc BOSS ORBITS Delivery ESS Athena Advantage CABS OSMOP Sales Comp CPNI Pa. SS EARS MAPS E 911 DOMS DCN APTOS ISCP ATC SDDL-POF MI BAIF SCP SMS PBOD ANS PBITS IPMS LEIS LFACS CSTAR CSFT FIRST MOBE JOB SOAC SABR TNDS/TK Paging CNR FLEXCOM REACT 2001 TIRKS CLONES TMM MP/F NSDB (CCRS) NI Predictor PVS | PMI MARCH OPS/INE MOPICS INA PMM Transport FWS Network TNM Network NMA-F PAWS COSMOS DCOS-2000 LOMS WM PICS /DPCR TIRKS FEPS SCS CIDB Comn. Lang 15 FTDM SARTS CMS Mech Eng WFA/C CMTS AMOS PBVS COSMOS /Loopview LMOS SOAC SPACE PREMIS INPLANS OPAS ALRU Network LMOS LOC PMIS NSDM CRAS CIAS IP NAA CID/SAM Tech PDP NTAS CUR/CAR PVI TSA MTAS SORD CRMS GIR TESS TCMS MLT LATIS AP ISIS Bonding STP ORGIS IRSS ASOS Electronic Service Manager PDR SDID MTR DRS SOCS DFG TWIST IFS TOR APTOS Starwriter ATR WTS AOG Exch Plus BRIS COIN SORD Custom 800 DB LSD&C Em. Fi. Sys TRAINS CESAR ERMIS IS REMS Sales Agency PB Awards NRSS Customizer 800 AUTS MRDB RCRMS LIDB PDS POS-R Directory TOPS PB 1 TAPS POS Billing EC CCP Customer Profile SUMMIT 4. 0 GL Bill Day SOFE COR AIM JOUR REVE Bill Format C/CA PBCC PR USAGE RM EXCH Svc AA Warehse PARIS Separation NOR Net. Pilot AT&T EADAS NDS-TIDE NOR DSC AT&T SEAS EDIIS FDOC Connect. Vu TAGS Taskmate SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

How does Event-driven SOA help? § § 16 Real-time requirements push the boundaries of existing IT infrastructure • Application stages must run, even while other steps are down or unavailable • Multiple steps execute at the same time • There is a need to frequently add or remove process stages – even at runtime • Deploy, configure, and manage new services without disruption Event-driven SOA facilitates the creation of flexible and maintainable applications SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

The Enterprise Service Bus “The shift toward SOA and EDA will accelerate the adoption of ESBs…because it’s difficult or impossible to implement a large-scale, SOA and EDA strategy without an ESB. ” Dataquest Insight: Worldwide Software Market for SOA, Web Services and Web 2. 0, 2006 -2011 17 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

The ESB and Events § § § 18 Event Absorption and Distribution • Global infrastructure for reliable communication • Collect events from enterprise sources • Route and deliver events to consumers Event Mediation • Offload work from consumer applications • Normalize event formats • Protocol transformation for event sources at the edges of the enterprise Simple Event Processing • Configuration driven intelligent routing enables creation of staged event driven architecture • Includes sophisticated orchestration capabilities to create coarse grained processes that combine events and services SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Decoupling Producers from Consumers Ensures Reliable Event Delivery Inventory Producer 3 -Send 6 -Ack Event Broker 7 -Send() method returns 4 -Persist 10 -Receive 1 -Subscribe 2 -Disconnect 8 -Connect Retail Consumer 9 -Retrieve Storage 5 -Message retained in persistent store 19 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Enterprise Grade Messaging Backbone A way to reliably connect services across domains Regional Office Head Office Business Application P Business Application S Business Application Broker Cluster P S P S Business Application Regional Office Business Application P S Partner Cluster Business Application 20 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Merged together to form a “Bus” Used to reliably connect service and event sources Secure, Scalable Clustering, Continuous Availability 21 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Connecting to Event Sources Generic Protocol API Bridges Adapters File Drop App. Server™ Connectors HTTP 22 Java™/J 2 EE™ COM, C/C++ ABL SOA-2: Event-Driven Service Oriented Architecture File Drop MQ*Series Tibco/RV Siebel SAP CICS etc. © 2008 Progress Software Corporation

Parallel processing / load balancing Services can be independently scaled The number of services and containers is configurable 23 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Multiple, Configurable Interaction Models Point to / subscribe request reply Publish point / asynchronous Interaction model between services is configurable 25 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Staged Event-driven Processes Automating the basic process Investment manager wants order management system integrated with trading desk OTHER SERVICES ECN ORDER MANAGEME NT SYSTEM OTHER SERVICES BROKE R EXCHANG E TRADING DESK TRADER 26 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Staged Event-driven Processes Operational improvement OTHER SERVICES President wants compliance engine to monitor trading activities to eliminate cash liability during market swings COMPLIAN OTHER CEENGINE SERVICES ? OUTBOUND INBOUND TRANSFORMATIO N ECN ORDER MANAGEME NT SYSTEM FUND MANAGER 27 SOA-2: Event-Driven Service Oriented Architecture OTHER SERVICES BROKE R EXCHANG E TRADING DESK TRADER © 2008 Progress Software Corporation

Staged Event-driven Processes Keeping up with regulations OTHER SERVICES DB COMPLIANC E ENGINE ? LOGGI NG SERVIC E Board wants trades logged for Sarbanes-Oxley and integrated with companywide risk management OUTBOUND INBOUND TRANSFORMATIO N TO CORPORATE RISK MGT ECN ORDER MANAGEME NT SYSTEM FUND MANAGER 28 SOA-2: Event-Driven Service Oriented Architecture OTHER SERVICES BROKE R EXCHANG E TRADING DESK TRADER © 2008 Progress Software Corporation

What Is BAM? BUSINESS ACTIVITY MONITORING Retail Banking Health Care Public Sector Capital Markets Travel & Logistics § Money § Electronic § Algorithmic § Flight logistics transfer, SEP § Fraud detection 31 § Patient monitoring § Fraud detection battlefield § Surveillance § Emergency response § War fighter monitoring § Security § Net Centric trading § Real-time risk management § MIFID and Reg. NMS compliance § Smart order routing § Market making § Market aggregation and operations § Automated operations § RFID baggage handling § Real-time pricing based on operational load and competitive analysis SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What Is BAM? BUSINESS ACTIVITY MONITORING Banking Energy Entertainment § Money transfers/ § Energy § Casino fraud SWIFT § Fraud detection § Treasury centralization § Internal funds transfers § ATMs § Clearing, cash and securities § Payments with inter-banking compensation detection § Dynamic customer loyalty programs § On-line gambling 32 trading § Pipeline monitoring § Power grid monitoring and control SOA-2: Event-Driven Service Oriented Architecture Telecommunications § SLA mgmt. § Fault mgmt. § Retail and Supply Chain § Automated supply chain § Smart shelves § Real-time pointof-sales analysis and one-to-one marketing Web § Click-stream analysis § Real-time web page analysis § On-line fraud detection © 2008 Progress Software Corporation

What Is BAM? BUSINESS ACTIVITY MONITORING Number of Orders Tasks Completed Trade Activity Flow of Passengers Volume of Mwatts Rhythm of Invoicing 33 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What Is BAM? BUSINESS ACTIVITY MONITORING Are we ready to take actions? SEE Where are the problems? KNOW What resources are available? HEAR Are things working well? AWARE Are my service levels met? SPEAK Will we meet the deadlines? SHARE What problems will emerge? 34 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What is Complex Event Processing? Complex Event Processing: “When pressure rises 2% and temperature increases 5 degrees, redirect flow to alternative line and alert operator to potential problem with gage. ” Complex Event Processing: “When 3 credit card authorizations for the same card occur in any 5 second window, deny the request and check for fraud. ” Event Processing Event Stream Processing Complex Event Processing time 1 2 3 4 5 6 7 8 9 Event pattern of significance where prompt detection and action can have materially impact 35 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

What is Complex Event Processing? An Algorithmic Trading Rule THEN BUY MSFT SELL HPQ ! WHEN MSFT price moves outside 2% of MSFT-15 -minute-VWAP FOLLOWED-BY ( S&P moving by 0. 5% AND ( HPQ’s price moves up by 5% OR MSFT’s price moves down by 2% ) ) ALL WITHIN any 2 minute time period S&P 500 ! ! 36 MSFT 15 -MIN -VWAP e Multiple data streams Temporal sequencing Complex event sequences Real-time constraints Automated actions SOA-2: Event-Driven Service Oriented Architecture s m ea r ! § § § tim NYSE a NASDAQ e at D St m -ti l ea R © 2008 Progress Software Corporation

Apama® Event Manager for CEP Apama Event Scenarios a b Data Events Action Events c Pattern Matcher Temporal Sequencer Scenarios Feedback Loop 37 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Apama Event Management Platform Store, Replay, and Analyze the Event Driven World Apama Real-Time Event Processing Capture derived events – action - created by EPL rules Capture raw events in a highperformance time-series data cache Event Store Historical Event Processing “What If” Analysis: Back Testing “Pre-Flight Tests” event processing strategies 38 SOA-2: Event-Driven Service Oriented Architecture “What Happened” Analysis: Dashboards visualize real-time and stored events Business Intelligence The event database can feed static data warehousing and BI infrastructure © 2008 Progress Software Corporation

Putting It All Together HEDGE FUND Apama can monitor Sonic events… GOVERNME NT BONDS DESK …analyze – check complex KPIs… ECN BROKE R EXCHANG E EQUITIES DESK 39 SOA-2: Event-Driven Service Oriented Architecture FOREIGN EXCHANGE DESK RISK MANAGEMENT …and act by sending more events or invoke another service. © 2008 Progress Software Corporation

The Event-Driven Business § Monitor all internal and external business conditions in real time § Display conditions at multiple levels of the organization, with Monitor Analyze § integrated views Assess and display key performance indicators as conditions change § Access and analyze real-time information (Data Driven) § Analyze simple and complex key performance indicators (KPIs) § Access and analyze historical information § Identify new KPIs and business strategies § Proactively alert systems, people, and devices § Automate actions when key conditions occur and adjust actions on Act § § 40 the fly Simulate, analyze and tune automated action based on actual behavior Allow end users to guide automated action & audit all activity SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

In Summary Event-driven SOA is the enabling technology for a real-time business Our ESB was built to support event-driven architectures With Apama®, we can monitor, analyze, act in real time 41 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

Relevant Exchange Sessions § SOA-5: Did You Get the Message? § SOA-7: Introduction to the Progress Sonic § § 42 ESB Product Family DEV-42: Achieving Real-Time BAM with Open. Edge, Sonic and Apama DEV-4: Get on Track! The Demo Explained SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation

For More Information, go to… § The Power of Events. David Luckham, § 43 Addison-Wesley Professional, May 2002, ISBN 0 -201 -72789 -7. Enterprise Integration Patterns. Gregor Hohpe and Bobby Woolf, Addison-Wesley Signature Series, October 2003, ISBN 0 -321 -20068 -3 SOA-2: Event-Driven Service Oriented Architecture © 2008 Progress Software Corporation