Post on 04-Jan-2016
Realizing a healthy SOA system to deliver business value quickly
Marie WieckVice President, IBM Middleware and SOA Services
IBM Global Technology Services
HUNGRY FORCHANGE
INNOVATIVE BEYONDCUSTOMERIMAGINATION
GLOBALLYINTEGRATED
DISRUPTIVE BY NATURE
GENUINE, NOT JUST GENEROUS
IBM’s 2008 CEO Study - The Enterprise of the Future Is:
In-depth study taking the pulse of over 1100 CEOs
Global CEO Study 2008 | April 2008 3
The CIO Implications of the CEO Study… Role of CIO as Change Leader Success in a global economy requires diversification and integration
– Mature versus emerging markets– Existing versus new clients
Organizations are recognizing the need to manage differently and invest in new techniques for communications and collaboration – Aging workforce, availability of skilled resources– Explosion of mobile employees– Increased use of global resourcing– Regulatory compliance requirements
Market demand for corporate social responsibility is forcing a hard look at ‘green’ IT – Global energy crisis– Exponential growth in data volume, network sprawl and mobile devices– Aging data centers
….the compounding effect is forcing change
SOA is a Core Enabler of the Enterprise of the Future
1. Hungry for change
2. Innovative beyond customer
imagination
3. Globally integrated
4. Disruptive by nature
5. Genuine, not just generous
Core Traits How SOA Can Help?
Source: IBM Global CEO Study 2008
SOA improves business agility and increases IT infrastructure flexibility
Customer Interaction and self-service are among the top SOA projects with rapid ROI
SOA is a best practice for horizontal business integration within the enterprise & externally with customers and partners
BPM is a key SOA technique for business process/model assessment and redesign
SOA services for dynamic IT management enable NEDC/Green tracking
Three common business goals and related SOA benefits
Providing new services to customers and/or partners Benefit: increased revenue from new channels and
services
Attaining a single view of the customer Benefit:
– Higher customer satisfaction– Higher revenue through better cross-sell/up-sell activities and
customer loyalty/value/buying habits analysis
Integrating and automating processes Benefit:
– Faster process cycle times– Alleviation of manual intervention and its associated errors– Lower costs for maintaining redundant systems supporting redundant
processes– Faster time to market with newly acquired services
HUNGRY FORCHANGE
GENUINE, NOT JUST GENEROUS
INNOVATIVE BEYONDCUSTOMERIMAGINATION
GLOBALLYINTEGRATED
DISRUPTIVE BY NATURE
Foundational ExtendEnd-to-End Transform Adapt
Dynamically
Experience based on 6550 customers across Smart SOA**# of Customers using our SOA offerings*# of Customers using our SOA offerings
750 Lessons Learned 650 Best Practices
IBM Academy of Technology deep dive analysis of 100 case studies selected from over 250 submissions:
Valuable regardless of Where You Are in the SOA Continuum
SOA Best Practices White Paper Now Available
Smart SOATM leverages IBM’s client experiences Driving the transformation of SOA Services
Follow Proven Best Practices
Linking business and IT
from the beginning
Develop an architecture with a vision for the
future
Maintain end-to-end operational
visibility
Built on skills within culture and governance
Scalability and process
integrity are key
Aberdeen Group Study: Organizations not adopting SOA- Can’t justify the investment or don’t have the skills
18%
18%
13%
20%
28%
53%
0% 10% 20% 30% 40% 50% 60%
We don’t see a need to move toSOA
We are not convinced about thebusiness value of SOA
Doesn’t fit our environment
We’re waiting for our mainvendor to lead us
The IT organization does nothave the capabilities required for
SOA implementation
We cannot justify the initialinvestment required for SOA roll-
out
18%
18%
13%
20%
28%
53%
0% 10% 20% 30% 40% 50% 60%
We don’t see a need to move toSOA
We are not convinced about thebusiness value of SOA
Doesn’t fit our environment
We’re waiting for our mainvendor to lead us
The IT organization does nothave the capabilities required for
SOA implementation
We cannot justify the initialinvestment required for SOA roll-
out
Source: How SOA Is Changing IT – What CIOs Should Know
Aberdeen Group
IBM can help build a business case to establish and measure the ROI and value gained
A step-by-step approach that is:
Demonstrable
Quantitative
Focused on Metrics
Flexible
How to build a case for improvement?
1. Determine the area for greatest impact- Benchmark against others in your region or industry
- Align to business initiatives
- Determine Savings others have seen
2. Determine your state of maturity
3. Determine the savings metrics for your organization- Risk Adjusted Return on Investment (RA ROI)
- Return on Investment (ROI)
- Net Present Value (NPV) savings
- Internal Rate of Return (IRR)
- Payback period
4. Create your own business case based on your data
IBM can help you establish target KPI benchmarks for the project with the IBM Benchmark Wizard
Based on real client experiences
Allows for industry specific views
Provides real average results and target benchmarks
Covers multiple project domains
Cost, time, efficiency, quality and agility metrics
SOA deployments are delivering measurable returnsCompanies globally are realizing . . .
An electronics company reduces IT Costs by 7% by
deploying a flexible SOA infrastructure
A major Bank estimates avoidance of US$1 billion in IT costs due to SOA approach
Retailer of home improvement products •Has 286% ROI on SOA project
Municipal government improves citizen services via SOA integration of 27 departments’ application platforms
Automotive company expect20% cost reduction of IT Operations during next 5 years due to new SOA Infrastructure
University increase collaboration, responsiveness and student moralfrom Portal and SOA integration
Insurance company reduces application integration cost
by leveraging SOA integration
A chemical and petroleum company• 5 percent increase in oil and gas production •30 percent reduction in costs
Leveraging SOA to deploy multi-play solutions
Connect 10M customers in 910 cities and extend reach to rural areas
Extend multiple services across new, connected broadband network
single touch activation capability from time of ordering to activation of subscriber services : customer satisfaction call center load
Scalable network to handle 50% growth
Leveraged IBM SOA Integration services
MOST IMPORTANTLY - BSNL GIVES BACK TO THE COMMUNITY
At affordable price high speed connectivity to the most rural parts of the country
Provides opportunity to consumers to collaborate and learn
Methods to deliver remote education over secure VPN
Design Projects with the SOA Reference Architecture
Business Services
Dev
elo
pm
ent
Ser
vice
s
Ser
vice
Man
agem
ent
Infrastructure Services
Enterprise Service Bus
PartnerServices
Business App Services
AccessServices
InteractionServices
ProcessServices
InformationServices
Infrastructure
Establish and Maintain your SOA Health
Service Use and Governance
Application ReuseSecurity
FlexibleInfrastructure
Middleware ServiceManagement
Applications and Services Healthchecks
for SOA
Infrastructure Healthcheck for SOA
WorkshopsAssessmentsSpecialized Diagnostics
Infrastructure Architecture Healthcheck for SOA
SOA architecture decision acceleratorFaster time to value, less risk through proven recommendations
Repository of Architectural Decisions
– Decision Tree based
– Navigation/search by role, project phase, scope, etc.
– Decision identification and making based on prefilled alternatives
Patented web 2.0 approach
– Governance on accepted architecture decisions
IBM Global Services architecture decision accelerator for SOA
- 100 practitioners involved- Over 320 decisions captured
Architectural Decision Knowledge Wiki for Clients
– Web 2.0 tool & model for capturing decision available on alphaWorks with 20 sample decisions: http://www.alphaworks.ibm.com/tech/adkwik
– Can address any IT domain including SOA
Process Integrity for the Stresses of Volume and Time
• WebSphere Virtual Enterprise• WebSphere eXtreme Scale• SOA Integration Services
for Process Integrity
White Paper: “Realizing business value from an integrated service-oriented architecture system in a multivendor world
IBM SOA Integration Services -– Connectivity and Reuse
Create a robust, scalable runtime SOA infrastructure that can effectively enable and support SOA applications and Web services
– Portal Infrastructure ServicesDesign and implementation services to engineer an
integrated, flexible and reusable portal infrastructure to support Web, SOA, and Java applications
– Web Application ServerEngineer an integrated, flexible and reusable application
infrastructure that supports Web, Java or SOA applications
– Web Optimization and VirtualizationOptimize and virtualize a client’s IBM WebSphere
Application Server and non-IBM application server
IBM Global Technology Services announces:IBM SOA Integration Services for Process Integrity
Process Integrity In Action: Order Management
14,000 Service-Calls/Min
100,000 completed
orders / DayThrough WebSphere
Process Server
Services from Customer Management, Provisioning, & Billing Systems
Major EuropeanTelecomCompany
New economics
Rapid service delivery
Aligned with business goals
The New Enterprise Data Center – built on an SOA infrastructure
IT energy use doubling every 9 – 24 months
By 2011, clients will spend $1 on power
& cooling for every $1 on hardware
100 units of energy production 3 units for productive IT
IT accounts for 2% of anthropogenic CO2 emissions
IT energy crisis has data centers at a tipping point
Stages of Adoption
Drives IT efficiency
Rapid deployment of new infrastructure and
services
Highly responsive and business goal driven
This transformation spans across people, process, information . . . and technology
Skills shift from operations (break / fix) to IT Business Analysts
Break down silos and organize around IT service delivery
Paradigm shift toward shared environment
Standardization Disciplined Repeatable and documented processes
– Change and configuration management– Process automation
Leverage information for business optimization
– Deliver trusted information real time and in context
– Reduce risk and improve visibility into business operations
Open standards– Open management across server,
storage, and networking– Open networking standards
Role of systems & networking in recentralization
Automation
Our experience points out 5 key “focus areas”
Focus Area / Pain Points
Infrastructure Health Check for SOA
Infrastructure Readiness Assessment for SOA
Simplify & save money
Virtualization / Consolidate
Relieve constraints
Green
Business compliance
Business Resiliency /
Security
Deliver quality service
Service Management
Priority:
Getting Started:IT Optimization Strategy & Planning
Virt./ Consolidation Assessments
Data Center Energy Efficiency Assessment
Data Center Rationalization Services
Security Assessment
Resiliency Assessment & Planning
Service Mgmt Strategy & Planning
Business of IT Exec. Dashboard
Decouple application logic
from infrastructure
Flexible Infrastructure
for SOA
IBM Data Center Evolution
Dramatic reduction in operational costs thru consolidation, virtualization, optimization
Project Big Green
2X capacity, no increase in consumption or impact
$1 saved on energy $6-$8 operational savings
The New Enterprise Data Center
Increased quality of service delivery
ROI of less than 2 years
A service oriented approach to data center design
IBM’s own data center transformation1997 Today
CIO’s 128 1Host data centers 155 7Web hosting centers 80 5Networks 31 1Applications 15,000 4,700
• Provision new services in minutes
• Triple asset utilization
• System outages down 58%
• Reduce floor space by 80%
• Reduce power usage by 40%
• Up to 60% heat reduction
Results customers have realized *
IBM Service Management for SOA
Monitor SOA Services, Events
and Dependencies
Visibility Control Automation
Provide Secure and Compliant Quality SOA
Service Delivery
Support Dynamic Runtimes and
Service Lifecycles
IBM’s Service Management Capabilities Combined expertise in service management and SOA
Strategy and planning creates an approach that’s aligned with business objectives
Design and implementation is based on a proven approach and framework
Proven reference architectures and leading practices accelerate the design process
Driving results (on average)
• 58% reduction in System Failures
• Downtime reduction of 80%
Design Implement Run
Managed servicesIT Asset ManagementHelp DeskSelf-enablement portal
Business of IT executive workshop
Service management design
Service management strategy and planning
Service management implementation – accelerators for service and asset management
Business of IT dashboard
Service management implementation services
Strategize and plan
Clients describe the key benefits they derive from leveraging IBM implementation services
Productivity Improvements 28%
Quality Benefits 39%
Labor Savings
33%
•Quicker Time to Benefit
•Labor Savings
•Quality Improvement
•Process Savings
•Performance Enhancement
“Thanks to this new
information, never before
available, we were able to
dramatically demonstrate
the importance of
improved monitoring and
management of the
airline’s IT systems to the
business side of the
enterprise.”Masayuki Kurosawa,
Vice President, IT Service and Planning
Major airlines reduces IT outages to improve operations Combined expertise in service management and SOA
Dramatically improved overall quality of service - reducing system failures 58 percent, IT interruptions 39 percent, and downtime 80 percent
Improved overall quality of service by reducing outage-related operational delays
Provided JAL management with greater understanding of how IT affects its business through unprecedented visibility into the current state of its IT systems
Summary• Companies in every industry are exploiting
advanced technology to gain competitive advantage
• Infrastructure and information complexity are driving a change to Service Oriented Architecture and leveraging Agility to drive Innovation for the business
IBM has the experience and knowledge to
help you realize more quickly the full value
of your SOA deployments
Today's Business Landscape is Undergoing Rapid and Transformative Change
Are you prepared?
Thank you