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IBM SOA Architect Summit

Architecting SOA
In Depth & with a Business Focus
Claus T Jensen STSM & Chief Architect SOA/BPM/EA Technical strategy

2009 IBM Corporation

IBM SOA Architect Summit

Architecting SOA in depth and business focused


Architecting SOA with a business focus is key to business and IT alignment A mature SOA initiative must balance business imperatives against enterprise abilities in a converged roadmap for change. Business process solutions and composite business services makes a business roadmap operational and brings evolution to IT and to the way the business itself operates.
SOA on your terms and our expertise

IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Architecting for Agility SOA Portfolio Management Real World Examples What is on the horizon?

SOA on your terms and our expertise

IBM SOA Architect Summit

Innovation Impacts Business Models


Is Your Architecture Ready?
On a flat earth, the most important attribute is creative imagination the ability to be the first to figure out how all these enabling tools can be put together in new and exciting ways to create products, communities, opportunities, and profits.

Thomas Friedman, The World is Flat

Service orientation does not begin with technology; it begins with the mind-set of thinking about your business and the world around you in terms of functional components.
Steve Mills, SVP and Group Executive, IBM Software Group
The Future of Business June 2007

SOA on your terms and our expertise

IBM SOA Architect Summit

Every company has a business model and the question is, does it help close the gap between business challenges & capabilities?
Strategy Model
Value Proposition / Revenue Model Offering Configuration Pricing Models Business Intent Purpose, Mission, Goals, Policies, Objectives & Strategies Enterprise Model Extended enterprise & social) networks with employees, suppliers, customers, & others, including capability/asset configuration Partnerships, outsourcing, off shoring, etc.

Strategy Model

Operating Model

Design, Objectives
Operating Model
Business Components, Interactions & Services

KPIs

Governance

IT Model

Processes, Outcomes Performance/KPIs

Organization, Skills, Capabilities, Assets, etc.

Requirements Business Use Cases


IT Model

Performance Metrics

SOA on your terms and our expertise

IBM SOA Architect Summit

Actionable or not?
To be actionable, architecture (and requirements) must be
Contextual
Purpose, motivation, priority, scope, time horizon etc.

Collaborative
Available to and accessible by all stakeholders to get participation and commitment often even collaboratively evolved

Connected
Traceably linked across purposes, domains etc. including appropriate levels of change and configuration management

Consumable
Can be understood from (different) stakeholder perspectives and viewpoints as required for their understanding and buy-in
SOA on your terms and our expertise

IBM SOA Architect Summit

Business Components Define The Key Business Functions


A business component is a grouping of the people, technology, & resources delivering specific business value Components have well-defined interfaces, allowing them to interact smoothly with each other and to be 'snapped' in and out at will, like building blocks The Interfaces of the Business Components Enable Identification of Candidate Business Services
Account Administration Component Name

Account Administration
Resources: Account Data, CRM People: Call Center, Customers Technology: CICS Customer Account, SAP SLA/KPIs: Time to Open Account Description Functional aspects of administration including account opening, account management, account closure

SOA on your terms and our expertise

IBM SOA Architect Summit

Business Component Analysis


The enterprise is mapped out as a set of categorized business components Heat map highlights components for analysis based on criteria such as gaps and efficiency Enables approaches to understanding how the business can be improved
Business Administration Directing
Business Planning

New Business Development


Sector Planning

Relationship Management
Account Planning Relationship Management Credit Assessment

Servicing & Sales


Sales Planning

Product Fulfillment
Fulfillment Planning

Financial Control and Accounting


Portfolio Planning

Business Unit Tracking

Sector Management Product Management Product Directory

Compliance Sales Management Fulfillment Monitoring Reconciliation

Controlling
Staff Appraisals Account Administration Product Administration Purchasing Branch/Store Operations Marketing Campaigns

Sales

Product Fulfillment

Customer Accounts

Executing

Credit Administration

Customer Service

Document Management

Collections

General Ledger

SOA on your terms and our expertise

IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Architecting for Agility SOA Portfolio Management Real World Examples What is on the horizon?

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SOA on your terms and our expertise

IBM SOA Architect Summit


Business

The Road towards Strategic Change


Have a vision
In enough detail Sometimes you just know what needs to be changed

Foundational

Extend End-to-End

Transform

Adapt Dynamically

IT

Understand the existing portfolio of solutions and how the vision impacts it
In enough detail and scope for what you are trying to do right now Remember to not mess up ongoing business and IT operations

Define scope and organization of a change project


Just enough to implement the change Understand how this project relates to everything else that goes on

Different levels of maturity lead to different ways of doing these three things
Yet they are always present in one form or another, explicitly or implicitly The key question is how to get to the science of executing strategic change!?

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SOA on your terms and our expertise

Designs& Constructs
Models

Building Blocks
Guidance and reuse

Tr an

IBM SOA Architect Summit

Enterprise Planning
planning and organizing

sit ion p

Enterprise Blueprints

Solution Delivery
building and implementing

Solution Models and Constructs

Architecture Building Blocks, Principles, Reference Models and Patterns

lan nin g

an

Designs& Constructs
Models

Building Blocks
Guidance and reuse

Go v

er na

nc

Business (IT impl. neutral)

Enterprise Planning
planning and organizing

Enterprise Blueprints

Governance and coordination at many levels - making the Business Architecture actionable
Enterprise Planning Models IBM Client Reference Reference Models Models Project Models Portfolio of Solution Models Project Models Project Models Project Models

Solution Delivery
building and implementing

Solution Models and Constructs

Architecture Building Blocks, Principles, Reference Models and Patterns

Designs& Constructs
Models

Building Blocks
Guidance and reuse

IS (biz dependent IT)

Enterprise Planning
planning and organizing

Enterprise Blueprints

Solution Delivery
building and implementing

Solution Models and Constructs

Architecture Building Blocks, Principles, Reference Models and Patterns

Technology (biz independent IT)

Speed of evolution & # of models

Reference Models may be used at any purpose level and for two different purposes:
As a framework and a catalogue structure, constraining the enterprise (most likely at the planning level) As accelerator assets, content instances seeding a solution (most likely at the solution level)

Enterprise Planning Models are for the purpose of analyzing and planning changes to the Solution Portfolio The Portfolio of Solution models is a consolidated set of models for the entire Solution Portfolio Project Models are temporary Solution Models that at the end of the project get consolidated into the Portfolio of Solution Models
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IBM SOA Architect Summit


#1 Source of change The Urban Planner tribe

Lifecycles

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SOA on your terms and our expertise

IBM SOA Architect Summit


#2 Source of change The Inspector and Owner tribes

Lifecycles

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SOA on your terms and our expertise

IBM SOA Architect Summit


Collaborative and coordinated lifecycles

Lifecycles

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SOA on your terms and our expertise

IBM SOA Architect Summit

Smart SOA Governance


Optimizing the Enterprise Portfolio

Foundational

Extend End-to-End Intermediate

Transform

Adapt Dynamically Advanced

Basic Assess & establish initial SOA environment Focus: Create inventory of current services and biz processes Establish Center of Excellence (CoE) Initial Registry/Repository

Support key business opportunities

Enhance cross organizational adoption

Focus: Focus: Expand governance Enhance & automate processes & policies Business/IT governance Enhance Culture & Org Expand infrastructure Change management & metrics Enable SLM tools

End-to-end Quality Management


SOA on your terms and our expertise

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IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Architecting for Agility SOA Portfolio Management Real World Examples What is on the horizon?

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IBM SOA Architect Summit

Business Performance Optimization


Move Beyond Alignment and Synchronization to the Convergence of Business and IT
The Smart Enterprise
Transition from focusing only on efficiency to holistically balancing effectiveness and efficiency Evolve from an IT solution focus to an enterprise value perspective

Business Engineering
The science of business transformation Digitize Business Engineering Overcome the communication chasm between business and IT

Operational Optimization
Continuous operational optimization (business processes as well as business services) Rooted in enterprise models and analytics

Enabled By SOA & BPM


Build on the business/IT alignment and robust architecture provided by SOA and BPM together
TEAM 1

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IBM SOA Architect Summit

Top Five Sources of Business Flexibility

Discipline of Architectural Flexibility Discipline of Architectural Flexibility


Proper componentization and good robust Proper componentization and good robust architectural engineering architectural engineering

Use of well understood Configurable Patterns Use of well understood Configurable Patterns
Accelerators not only initially but also for Accelerators not only initially but also for regenerating when things change regenerating when things change

Proper handling of branches and exceptions Proper handling of branches and exceptions
Define and manage explicitly Define and manage explicitly

Enforcement of Rules and policies Enforcement of Rules and policies


Dynamic (operationally) solutions Dynamic (operationally) solutions

Enabling near real time reactions Enabling near real time reactions
Near real time feedback loop makes a solution Near real time feedback loop makes a solution adaptable to observed behavior adaptable to observed behavior

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IBM SOA Architect Summit

Composite Business Services


Business Services Provide the Business Visible Building Blocks
Composite Business Services definition: A collection of integrated and related business services that provide a specific business solution and support business processes built on SOA Business Services definition: A business function whose execution can be adapted at runtime based on business policy and user context
Designed at business level to represent a discrete business function (e.g. check credit, open account) Can provide flexible, adaptable behavior based on business policy and user context Provisioned through multiple communication channels
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SOA on your terms and our expertise

IBM SOA Architect Summit

Different Kinds of Interaction (and Logic) in the Enterprise


Example: Modularity from BPMN categories
There are three basic types of sub-models within an end-to-end BPMN model: 1. Collaboration Processes: exchanges between 2 independent business entities.

e.g. Supplier/Partner Interactions

2. Abstract (public) processes: End to end view from a participant point of view.

e.g. Order to bill

3. Private (internal) processes: single business owner and a main core entity
e.g. Customer Service

e.g.
Manufacturing

e.g. Supply
Chain

e.g.
Accounting

e.g. Billing

Generally: Proper modularization of coherent (with purpose) building blocks will SOA 21 lead toon your terms coupling and high(er) cohesion (tolerance of change) loose(r) and our expertise

IBM SOA Architect Summit

Industry Frameworks & Solutions Focus: Driving Differentiation by Linking Business with IT
An Industry Solution
Offering that solves a business problem through a combination of: Strategic Business Drivers Industry and subject matter expertise Defined content, applications, tools and methodologies Global delivery model

Industry Solutions

Industry Framework

An Industry Framework
SOA Foundation & Infrastructure Governance A software platform based on business specific usage pattern, and includes: Industry-specific extensions / business & technology standards Based on service-oriented architecture

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SOA on your terms and our expertise

IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Architecting for Agility SOA Portfolio Management Real World Examples What is on the horizon?

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SOA on your terms and our expertise

IBM SOA Architect Summit

Actionable Architecture Science of Controlled Evolution


Knowledge Management

Enterprise Architecture, Solution Design & Project Management

Assembly & Construction Quality& Security

Automated Control and Oversight Deployment

AS ME

UR

T EN EM

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SOA on your terms and our expertise

IBM SOA Architect Summit

Portfolio Management
Taking SOA to the Enterprise
A portfolio is a collection of stuff of the same kind or type

CEO: Do we have the right products?

Somebody owns the stuff The stuff represents a consistent subset of the system under consideration
Typically representing a certain tribe view of the system

The purpose of portfolio management is to optimize the collection of stuff according to criteria specific
Typically tribe specific criteria Requires governance and collaboration

CFO: Are we making the right investments?

The scope may be different for different portfolios


We can use the term enterprise to generically denote the totality of the domain/system for which we are considering portfolio management Examples of enterprises are a company, a LoB, a department, an IT system etc.

What has that got to do with SOA?


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How else would you componentize across Business and IT?

SOA on your terms and our expertise

IBM SOA Architect Summit

Four generic kinds of portfolio management

Product portfolio management: Managing the set of products of the enterprise


Typically economically based KPIs

Change portfolio management: Managing the set of potential and ongoing changes of the enterprise
Typically criteria for compliance and net impact of change

Change Resource portfolio management: Managing the set resources available for changes
Typically criteria for resource allocation and metering

Asset portfolio management


Typically criteria for consistency, configuration management (CMMI style) and reuse

It is critical to ensure that these four basic kinds of portfolio management act in a synergistic fashion (making 2+2=5 and not 2+2=3 with local suboptimization)

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IBM SOA Architect Summit

Four related Portfolio Views on the Enterprise


Need
Product Portfolio Management Change Resource Portfolio Management

Change Portfolio Management

Resources

Opportunity

Model of the Portfolio

Asset Portfolio Management

Ability
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IBM SOA Architect Summit

Project management
Governing opportunities - optimizing resource utilization

Need
Product Portfolio Management Change Resource Portfolio Management

Change Portfolio Management

Resources

Opportunity

Model of the Portfolio

Asset Portfolio Management

Ability
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SOA on your terms and our expertise

IBM SOA Architect Summit

Configuration Management
Governing assets - optimizing changes to product composition

Need
Product Portfolio Management Change Resource Portfolio Management

Change Portfolio Management

Resources

Opportunity

Model of the Portfolio

Asset Portfolio Management

Ability
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SOA on your terms and our expertise

IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Architecting for Agility SOA Portfolio Management Real World Examples What is on the horizon?

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SOA on your terms and our expertise

Allowing Smarter Food Tracking


New revenue streams in new markets New service enables client cost avoidance

IBM SOA Architect Summit

Automated, Real Time Supply Chain

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IBM SOA Architect Summit

SOA Helped Dynamically Connect Moving Parts

SOA based RFID solution

From farm

through Supply Chain to retailer

Comprehensive tracking of perishable food Standardize information for government compliance


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SOA on your terms and our expertise

IBM SOA Architect Summit

Agenda
Business Architecture powered by SOA SOA Governance Composite Business Services SOA Portfolio Management Real World Examples What is on the horizon?

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SOA on your terms and our expertise

IBM SOA Architect Summit

Keys: Planned changes standards & principles governance & collaboration


Strengths Focused SOA resources (SOA CoE) Consistent SOA approach with well established practices Established relationships and collaboration between business and IT Defined enterprise wide asset catalogue structure Established enterprise glossary Holistic Governance Weaknesses Tension between functional decomposition model and SOA environment Static testing procedures not yet established Consistent optimization on portfolio level not present Lack of support for Enterprise Planning Tool support for collaboration patterns not explicitly considered Lack of defined domain topology Enterprise information model not yet established

Opportunities Take SOA into the Business Architecture More clearly defined governance and feedback loops Actively delineate Enterprise Planning from solution oriented architecture More firmly establish portfolio level responsibilities Enhance project level, cross business and IT, Solution Architect role Leverage emerging technologies (Cloud, Hybrid servers, Industry Model Accelerators, )

Threats Enterprise Planning end products not easily consumable from a solution delivery perspective Low maturity in cross LoB process ownership Lack of relationship with LoB process consultants Lack of holistic model management lifecycles across the portfolio and project levels (across all domains) No cross-organizational model registry and repository strategy A certain level of resistance to change within both Business and IT

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IBM SOA Architect Summit

Without the power of architecture, even with the best of intentions, we are more likely to descend into chaos
and even if an individual house is well architected, if each house is different (e.g. different electricity voltage, water pressure) then the city will not work

I really prefer the projects that do not matter they are impossible to fail! plus, if the purpose of the building is not clear
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IBM SOA Architect Summit

Teekkr ederim
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Gracias
Spanish

Thank You
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Obrigado
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Grazie
Italian

Danke
German

Merci
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Multumesc
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