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BEA Confidential. | 1
Accelerating Your SOA Implementation
Bret DixonSVP, Professional ServicesBEA Systems
November 7th, 2006
Agenda
The Market Today
Moving To The Next Stage of SOA Implementation
Summary
Agenda
The Market Today
Moving To The Next Stage of SOA Implementation
Summary
The Debate Is Over: A New Approach For Delivering IT Applications Has Been Embraced
Presentation Services
Shared Business Services
Information and Access Services
Se
rvices M
an
ag
em
en
t
Se
rvice B
us
Co
mm
on
Se
rvices
Se
rvic
e In
fras
truc
ture
La
ye
r
Non-Functional Requirements
Sales
B2E
Engineering
B2C
Service
Partners
Customers
Composite Applications
Standards
Development Tools
Configuration Management
System Management
Network Management
Provisioning
Business Activity
Monitoring
Directories
Patterns
Enterprise Information Systems Data and Middleware
Custom Applications
Third Party Products (Erp, CRM, etc.)
Databases MiddleWareInteractions
(TUXEDO, MQ Series,ect.)
“Role-based” Composite
Applications…
…connect to business services, built and managed with an
integrated suite on open standards, with
supporting infrastructure…
…using content from “Vanilla” ERP and legacy applications
“ It seems that if SOA really takes over, the software that links applications together, rather than the applications themselves, will become the most important strategic decision that CIOs make.”- Christopher Koch
Executive Editor, CIO Magazine February 2006
The Stakes Couldn’t Be Higher In Enterprise Software
SOA Starting Points
ProcessProjects
IT-LedProjects
MegaProjects
Bu
sin
ess
Sp
on
sors
hip
High
Low
Low HighSOA Complexity
Business-LedProjects
The Next Big SOA Challenge Moving Past the Division
No SOA
SOAAd Hoc
SOADefined
SOARepeatable
SOAManaged
SOAOptimized
Exploring
SOA MaturityLevel
Noimplementations
Cross divisionalservices
Enterprise levelservices
Division levelservices
Project levelservices
Expanding Exploiting
Enterprise-wide SOA up 200%
Department-wide SOA up 300%,
Companies Are Moving Forward Now With SOA
Q: What Stage Is Your Company Currently In With Respect to SOA?
Don't Know
Not Planning to Deploy
Evaluation
Pilot Projects
Department-wide SOA
Enterprise-wide SOA
20052006
32%
21%
20%
13%
4%
8%
12%
7%
25%
28%
12%
16%
BEA SOA Cost BenefitsDeployment StatusBEA SOA Cost BenefitsDeployment Status
Indicate the status of SOA deployment in your organization.
36%
34%
30% Deployed in one pilot project
Deployed beyond pilot phase todeployment on 2-3 projects
Deployed enterprise-wide
43%
38%
19% 25%
30%
45%
US
High number of Enterprise-wide deployments
Europe
Agenda
The Market Today
Moving To The Next Stage of SOA Implementation
Summary
Plan for SOA in Multiple Dimensions The BEA SOA Domain Model
Organization &Governance
Costs & Benefits
Business Strategy and
Process
Architecture
Building Blocks
Projects and Applications
Organization & Governance
©
Moving To The Next SOA Stage Six Key Initiatives
Organization &Governance
Define & Capture Your
Benefits
Connect the Business to the
Capability
Establish An Enterprise
Architecture
Make Service Engineering a
Discipline
Build A Stream of Connected
Projects
Align The Organization for
Shareholder Value
Business
Architecture
Building BlocksOrganization
Benefits
Projects
Moving To The Next SOA Stage3 Types Of Leadership
Costs & Benefits
Business Strategy &
Process
Projects &
Applications
Build A Stream of Connected
Projects
Connect the Business to the
Capability
Requires Developmental
Leadership
Organization &Governance
Define & Capture Your
Benefits
Align The Organization for
Shareholder Value
Establish An Enterprise
Architecture
Make Service Engineering a
Discipline
Requires Architectural Leadership
Requires Operational Leadership
Costs & Benefits
Organization &Governance
Define & Capture Your
Benefits
Align The Organization for
Shareholder Value
Moving To The Next SOA Stage Meeting The Operational Challenges
How do I justify the costs?
How do we make SOA O&G work between Business Units, or between countries?
BEA SOA Cost BenefitsSOA Barriers
No61%
Yes39%
31%
34%
42%
47%
54%
C-level skeptics
Unable to build acase
ROI not strongenough
Securingfunding
Lack ofconfidence
Which of the following are roadblocks to justifying SOA in your organization?
Is SOA justification currently impeding the start or extension of SOA projects?
Nearly 40% of SOA projects are impeded due to lack of SOA confidence
in big payoff
Strategic Soft dollar Hard dollar
Mix
Define & Capture Your Benefits: Three Levels of Justification
SOA as a matter of fundamental business technology strategy
SOA as core requirement for business agility
SOA ROI calculated for specific projects
SOA specific costs quantified and offset by benefits on specific projects
SOA costs and benefits categories identified
SOA benefits/root causes articulated, savings range indicated
Source: Forrester SOA Investment Strategies 2006
BEA SOA Cost BenefitsSOA Reuse Expectations
What level of reuse do you expect?
1%
5%
21%
34%
20%
9%
5%6%
no reuse 1% to 10% 11% to20%
21% to30%
31% to40%
41% to50%
>50% Unsure
75% of companies expect 11- 40% reuse
BEA SOA Cost BenefitsSOA Vision
1%
4%
5%
5%
6%
6%
21%
23%
30%
16%
25%
32%
36%
48%
53%
56%
65%
Major competitorhas SOA initiative
Mergers andacquisitions
New channels
Regulatorycompliance
New products orservices
Informationvisibility
Faster time tomarket
Customer serviceimprovement
IT cost savingsExpected Areas of Impact
Primary Driver
What is the primary driver for the SOA vision in your organization?
In which areas do you expect to see impact on your business as a
result of deployment?
£4.1m Benefit
Smooth
£200k Benefit
Equator
NWW
Atlas2
Scarlett
£325k Benefit
DMR
£70k Benefit
StrategicVestings
£500k Benefit
ServiceDifferentiation
£250k Benefit
EMEA Financial Services Customer Complex Interdependency Between Costs & Benefits
Total Investment = £6.2m
Total Benefits = £9.7m
E-Enablement
£5.1m Benefit
MEPFramework
Weblogic
OCDB
SPL
4Front
4 Front Benefits
• Reduction in avg time to handle a call
• Ease in training, outsource-ability
• Increased client satisfaction
E-Enablement Benefits
• Extended services to Financial Planners
• Extended services to Business Partners
• Reduced IT project costs by 75%
Costs & Benefits
Organization &Governance
Define & Capture Your
Benefits
Align The Organization for
Shareholder Value
Moving To The Next SOA Stage Meeting The Operational Challenges
How do I justify the costs?
How do we make SOA O&G work between Business Units, or between countries?
Organization and Governance Matters
“In 2006, lack of working governance mechanisms in medium to large (more than 50 services) post-pilot SOA projects will be the most common reason for project failure (0.8 probability)”
-Paolo Malinverno, Gartner Group
Organization and Governance: Rationalization
There is no recognized approach to rationalization of shared components within and across portfolios
Organization &
Governance
• Each Portfolio/LOB has its own technology assets that are not used across the enterprise
• Within portfolios there are multiple instances of redundant functionality
Business Strategy
& Process
Architecture
Costs & Benefits
Projects &
Applications
BuildingBlocks
Projects &
Applications
Business Strategy &
Process
Architecture
Costs & Benefits
BuildingBlocks
Organization &Governance
Organization and Governance: Funding
The funding process IS the governance model
Organization &
Governance
Business Strategy
& Process
Architecture
Costs & Benefits
Projects &
Applications
BuildingBlocks
Projects &
Applications
Business Strategy &
Process
Architecture
Costs & Benefits
BuildingBlocks
Organization &Governance
•Businesses have their own line of credit to choose and implement ad-hoc solutions
•Most often ad-hoc solution selection does not align well with the future strategy
SOAGovernance
Process
SOACommunication
and Tools
SOA Principles
High level principals abouthow SOA is used in the business
SOA Roadmap
Reference Architecture, Standards and Guidelines that feed into
SOA Roadmap
SOA Services Infrastructure Layer
Shared Business, Common Servicesand Infrastructure components
SOA Investment
Which prioritized SOAinitiatives to invest in
IT G
ove
rnan
ceE
xist
ing
Pro
cess
es a
nd S
truc
ture
s
Co
mp
lem
en
ts
an
d I
nfl
ue
nce
s Influ
en
ce
s
Alig
n
Drives
Drives
Supports
Utilize
Enables
IT P
ortfo
lioE
nterprise Decisions
SO
A B
usiness Service P
ortfolioS
OA
Segm
entation Decisions
SOAOrganization
Structure
SOAGovernance
Process
SOACommunication
and Tools
SOA Principles
High level principals abouthow SOA is used in the business
SOA Roadmap
Reference Architecture, Standards and Guidelines that feed into
SOA Roadmap
SOA Services Infrastructure Layer
Shared Business, Common Servicesand Infrastructure components
SOA Investment
Which prioritized SOAinitiatives to invest in
IT G
ove
rnan
ceE
xist
ing
Pro
cess
es a
nd S
truc
ture
s
Co
mp
lem
en
ts
an
d I
nfl
ue
nce
s Influ
en
ce
s
Alig
n
Drives
Drives
Supports
Utilize
Enables
IT P
ortfo
lioE
nterprise Decisions
SO
A B
usiness Service P
ortfolioS
OA
Segm
entation Decisions
SOAOrganization
Structure
Enterprise Implementation Requires an Enterprise SOA Governance Framework
How do we define an Enterprise SOA Reference Architecture, and what does it contain?
How do we achieve consistent service engineering?
What service infrastructure do we need, when?
Moving To The Next SOA Stage Meeting The Architectural Challenges
Architecture
BuildingBlocks
Establish An Enterprise
Architecture
Make Service Engineering An
Enterprise Discipline
Establish Your Enterprise Architecture
Business Context Business Drivers IT Drivers Prioritized SOA Benefits
Reference Architecture Architecture Principles Definition of a “service” Architectural Views
Logical view
Implementation View
Process View
Deployment View Service Architecture
Infrastructure Services
Information & Access Services
Shared Business Services Presentation Services
Composition
Data Architecture Integration Architecture Security Architecture
Design Guidelines Service Design Guidelines Information & Access Service
Guidelines Presentation Service Guidelines Service Assembly Guidelines Service Security Guidelines
Technology Mapping
Patterns of Usage
Example SOA Reference Architecture Table of Contents
Enterprise Service Engineering Framework
(ESEF)
The Service Engineering DisciplineEnterprise Service Engineering Framework (ESEF)
CommonSE Policies, Procedures & Patterns
Specific design guidelines, patterns and examples
Enterprise policies & procedures
Common SE Disciplines
Enterprise service engineering disciplines
Lifetime service management
Common Service Specifications
Service identification, definition, design
Enterprise interface design
Establish Your Enterprise Architecture
What makes up a successful SOA Reference Architecture? Authoritative definition of SOA for an organization
Communication vehicle
Compliance tool
Based on well-defined SOA principles and expected benefits
An architectural blueprint describing
Organization of support for services into categories
Definition of principles and requirements to support each category and underlying infrastructure
Relationship between SOA and existing architectures
Build A Stream of Connected
Projects
Connect the Business to the
Capability
How do I sell the Business leaders on the need for a major change?
How can I connect them to the capabilities enabled by SOA?
Moving To The Next SOA Stage Meeting The Developmental Challenges
Business Objectives IT PrinciplesImprove Efficiency Ratio
Lending Process Optimization Sourcing Call Centre Optimization
Grow Revenue – Faster Than Peers in a Sustainable Way
Small to Mid-Size Acquisitions
Expand Customer Relationships Cross-Sell (Internal/External LOB) Relationship-based Pricing
Customer Expansion Sales Effectiveness (Wholesale Mortgage & Corporate lending) Risk Management
Move from Transaction/Product Focus to Customer Focus
Move from Silo LOB Focus to Process/Service Focus
Move Towards a Collaborative Development Environment
Expose Loosely-Coupled Business Logic to Achieve Speed and Flexibility
Reuse Before Extend Before Buy Before Build
IT Costs Aligns with Business Value
Adopt a Process View of the Enterprise
* Inherit / Review Existing COIS IT Principles
Prioritized SOA Benefits SOA Architectural Principles1. Guiding methodology that allows IT to deliver both
core system renewals and new solutions in a step-wise fashion.
2. Extensible services beyond and across the enterprise
3. Rapid development of solutions
4. Consistent, accurate and predictable customer data
5. Enablement of Business/IT Alignment
Data is owned by the enterprise
Comply to enterprise & industry standards
Use the DAS layer to access disparate data via a single consistent access point
Security is designed from the outset
Thou shall Steal & Share – We value reuse
Separation of business logic from underlying technology and delivery channels
Separate business process from the service component
Instrumentation, traceability, ‘ilities’
Alignment of Enterprise SOA ObjectivesExample
BEA SOA Cost BenefitsSOA Projects
When you justify costs for SOA, how many projects is the justification based on?
24%
22%
20%
34%One project
Two projects
Three projects
More than three projects
32%
30%
25%
13%
Demonstrate the effects of SOA across multiple projects
Europe
Build a Stream Of Connected Projects Incremental Project Harvesting
Applications
1 2 3 4 5 6
7 8 9 10 11 12
Services Catalog
A
B
C
D
E
F
G
1 2 3
1 3 4 5
6 7 5
2 7 8 9
10 117
8 1210
3 1191 7
119
Cost Curve Over Time
Presentation Services
Shared Business Services
Information and Access Services
Services M
anagement
Service B
usC
omm
on Services
Service
Infrastru
cture L
ayerComposite Applications
1 2
3
4
5
6
7
9
8
10 11 12
Agenda
The Market Today
Moving To The Next Stage of SOA Implementation
Summary
If You Are Early In Your SOA Journey
Business
Strategy & Proce
ss
Architecture
Costs &
Benefits Buildi
ngBlocks
Organization &
Governance
Projects and
Applications
Business Strategy
and Process
ArchitectureCosts & Benefits
BuildingBlocks
Organization &Governance
1 Pick your starting point
2 Plan with a 2-3 year vision
3 Execute project-by-project
4 Approach SOA on six domains
ProcessProjects
IT-LedProjects
MegaProjects
Bu
sin
ess
Sp
on
so
rsh
ip
High
Low HighSOA Complexity
Business-Led
Projects
“Many IT leaders are seeking guidance on how to approach pressing issues related to the business and organizational dimensions associated with SOA, including changing roles in the enterprise, governance procedures and policies, and funding considerations.”
Sandra Rogers, Director SOA Research, IDC
SOA – Driving Towards Enterprise Implementation
Moving To The Next SOA StageLeadership Required at the Enterprise Level
Costs & Benefits
Business Strategy &
Process
Projects &
Applications
Build A Stream of Connected
Projects
Connect the Business to the
Capability
Requires Developmental
Leadership
Organization &Governance
Define & Capture Your
Benefits
Align The Organization for
Shareholder Value
Establish An Enterprise
Architecture
Make Service Engineering a
Discipline
Requires Architectural Leadership
Requires Operational Leadership
SOA Information Available From BEA
Detailed Infoworld and GCR Survey Results
BEA SOA Readiness Survey
BEA Domain Model Whitepaper
Customer Case Studies
Detail on new SOA Service Offerings
Dev2Dev, Arch2Arch, IT2IT, Exec2Exec
www.bea.com/soa
BEA Confidential. | 38
Accelerating Your SOA Implementation
Bret DixonSVP, Professional ServicesBEA Systems