presentation

Integrating Business Services Networks and the Internet of Things: A New

Framework forMobile Software as a Service (mSaaS)

Stéphane Gagnon, Ph.D.

Associate Professor Université du QuébecGatineau, QC, Canada

[email protected]

Kemal Cakici, Ph.D.

Risk Management OfficerInternational Finance Corporation

Washington, DC, [email protected]

itAIS 2008

V Conference of the Italian Chapter of AIS

Paris, December 13-14, 2008

2008-12-13 Copyright © 2008 Gagnon & Cakici 2

Outline1. Introduction

2. Integrating Converging Technologies 1. Service Oriented Architecture (SOA) 2. Software as a Service (SaaS) 3. Business Services Networks (BSN)4. Internet of Things (IoT)

3. Assessment Framework 1. Supplier Issues2. Market Issues3. Adopter Issues4. Delivery Issues5. Extension of the Framework

4. Conclusion


1. Introduction Software as a Service (SaaS) offers one of the most cost-

effective approaches to implementing a Service Oriented Architecture (SOA)

Mobility is becoming a key feature of SOA Emerging platforms to seamlessly integrate SaaS components Emerging infrastructure to enable mobile SaaS (mSaaS)

Propose an integrated assessment framework Evaluate business models to commercialize mSaaS Identify 4 integration perspectives: Supplier, Market, Adopter, and

Delivery issues

2. Integrating Converging Technologies


Services Computing Service Oriented Architecture (SOA) has become a key approach to developing and

modernizing enterprise applications Web Services, and related XML WS-* standards in development, allow for the implementation

of composite services using workflow standards such as the Business Process Execution Language (BPEL)

Software as a Service (SaaS) realizes the commercial potential of Services Computing Business Services Networks (BSN) allow SOA solutions with Pay-Per-Use web services

Pervasive Computing Ubiquitous connectivity, broadband adoption, mobile Internet access and mobile devices Radio Frequency Identification (RFID), sensors networks, wearable/embedded computers

Emergence of Web 2.0 Socially-enhanced creativity Seamless communications Secure information sharing Collaborative/interactive services Intelligent content management

Evolution Toward Web 3.0 Network computing, web services

interoperability, grid/cloud computing Open identity, open reputation,

roaming portable identity/personal data Semantic web, natural language

processing, autonomous intelligent agents, mobile machine learning


2.1. Service Oriented Architecture (SOA) Definition

Application development perspective where systems integrate functionality around business processes reusing interoperable services

SOA separates functions into distinct units, or services, which developers make accessible over a network in order that users can combine and reuse them in the production of business applications

SOA Principles1. Formal contract2. Loose coupling3. Abstraction4. Reusability5. Autonomy6. Statelessness7. Discoverability8. Composability

Source:

Figure by Angela Martin, available on Wikipedia, and based on the book:

Michael Bell, (2008), Service-Oriented Modeling: Analysis, Design, and Architecture, Wiley


2.2. Software as a Service (SaaS) Definition

A business model for hosted software components exposed through Web Service interfaces integrated in applications based on SOA

Can be an atomic XML Web Service or a complete BPEL process e.g. Web 2.0 Mash-up, Credit Rating WS, Outsourcing to Payroll BPEL

Business Models Provisioning Web Services with a utility computing, pay-per-use,

metered, or on demand business model Merging the components of several vendors into a WS-enabled

Application Service Provider (ASP) Developing high-performance WS-enabled business processes (e.g.,

using BPEL) to provide end-to-end and on demand Business Process Outsourcing (BPO)

SaaS vs. other On Demand Solutions On Demand is the aggregate category of business models including

ASP, SaaS, Utility, in quantity/time as per enterprise demand/needs Utility Computing refers to providing infrastructure services (e.g. grid-

based processing power) on pay-per-use or temporary subscription

SaaS vs. On Demand Solutions

On Demand InfrastructureApplications & Infrastructure

Remote Utility ComputingWeb Services

Integrated & Remote

Managed Service Provider (MSP)

Application Service Provider (ASP)

Synonym:Solution

Outsourcing

Synonym:Software as a Service (SaaS)

WS-Enabled ASP


Focus


2.3. Business Services Networks (BSN) Definition

IT infrastructure allowing a group of organizations to provision and consume their respective software components as services

BSN as a Service Intermediary Operated by a third-party IT service firm Focused around a service governance lifecycle for seamless SOA Provides secure public repository for services and identities Offers flexible pay-per-use or subscription business models for SaaS Ensures compliance with industry Quality of Service (QoS)/regulations

BSN & SaaS Ecosystem BSN is at core of market between SaaS vendors and adopters Dependence on open infrastructure and identity management Support for service certification, audit, compliance Dynamism through community of developers & integrators

BSN & SaaS Ecosystem

Product Certification

Consultant

Audit & Compliance Insurance & Legal

Major Vendors

Integrator or Reseller

Standards Org.

Infrastructure,Hosting & Caching

Identities, Accounts& Subscriptions

SaaS Vendor BSN Operator SaaS Consumer

Marketing Affiliate

Sys. Integrator

Outsourcer

Developer

Assembler

Tester

Partner

Community

Support

Open Source Projects

Market

Tech.

QoS

1

2

3

4

5

6



2.4. Internet of Things (IoT) Definition

New paradigm for wireless and pervasive computing to seamlessly integrate various objects to the internet

Core Technology – Radio Frequency Identification (RFID) Automatic identification method, relying on storing and remotely

retrieving data using RFID tags or transponders Components:

Integrated circuit for storing and processing information, modulating and demodulating a radio-frequency (RF) signal, and other specialized functions

An antenna for receiving and transmitting the signal Two types of RFID tags, active (with battery) and passive (without battery)

Integration Opportunities Static entities: supplies, products, and equipments Dynamic entities: people, animals, and vehicles

High Value-Added Applications Supply Chain Management, Industrial Production, Retail & Services Healthcare, Intelligent Home, Agriculture, Public Security, Military

Radio Frequency Identification (RFID)


Source:

Roy Want, (2006)

"An Introduction to RFID Technology"

IEEE Pervasive Computing, January-March, pp.25-33 (Fig.5, page 29)

Internet of Things: Integrate RFID & Devices


Source:

CASAGRAS, (2008)

"Interim Report: Coordination and Support Action for Global RFID-related Standardisation Activities, A Project of the EU 7th Framework Programme"

London, UK, September, Fig.2, page 14

Linking RFID to Enterprise Applications


Source:

Quan Z. Sheng, Xue Li, Sherali Zeadally, (2008)

"Enabling Next-Generation RFID Applications: Solutions and Challenges"

IEEE Computer, September, pp.21-28 (Fig.1, page 23)

RFID Platform for Internet of Things


Source:

Wen Zhao, Xinpeng Li, Dianxing Liu,Yu Huang, Shikun Zhang, (2008)

"SaaS mode based Region RFID Public Service Platform"

Third 2008 International Conference on Convergence and Hybrid Information Technology, IEEE Proceedings Series, November, pp.1147-1154 (Fig.1, page 1148)


3. Assessment Framework Assessment of mSaaS Business Models

mSaaS commercialization depends on complex integration of business and technology factors

BSN are at the core of SaaS commercial success IoT integrated to BSN creates opportunity for mSaaS Need a business-oriented assessment framework Best to adopt a transactional view of the relationships in

SaaS commercialization and adoption Identify stakeholder perspectives/viewpoints:

Supplier: Independent Software Vendors (ISV) Market: Competition among various ISV’s and Services Adopter: Enterprises, SME’s, End-Users, … Delivery: Ensuring QoS, security, compliance, …


Key Issues for BSN & SaaS Stakeholders

1. Inventory

2. Re-Factoring

3. Mining

4. Composition

5. Development

6. Publishing

7. Pricing

8. Marketing

9. Discovery

10. Testing

11. Benchmarking

12. Evaluation

13. Contracting

14. Payment

15. Integration

16. Delivery

17. Security

18. Balancing

19. Monitoring

20. Compliance

Su

pp

lier

Issu

es

Mark

et

Issu

es

Ad

op

ter Issu

es

Deliv

ery

Issues

Supplier 1

Adopter 1 Developer

BSN

Adopter 2

Web

1

2

3

4

5

6

Developer

16

11

7 8

9

1012

13

14

15

Supplier 2

Supplier 3

17

18

19

20


3.1. Supplier Issues1. Inventory: What software component, full applications, and

automated processes are valuable to other companies and users, and marketable through SaaS-enabled grids?

2. Re-Factoring: How can the code and process be re-factored and SaaS-enabled so it can be commercially exposed on the market?

3. Mining: How can we identify in the company’s inventory those components and processes that meet stringent commercial and operational requirements for dynamically exposed end-points?

4. Composition: What SaaS standards and development tools are needed to build commercial-grade services, applications, and processes?

5. Development: How should we adjust development methods in order to blend application, software, market, and venture development methods?


3.2. Market Issues6. Publishing: What new standards should be developed for the

Semantic Grid to properly describe and publish the commercial features of new services, applications, and processes?

7. Pricing: How much should new offerings be priced, and what pricing mechanisms would ensure stability in provisioning these offerings?

8. Marketing: How should offerings be bundled, market segmented, and the sales process automated?

9. Discovery: What new standards should be developed to automate the discovery of commercial offerings, and their possible combination with non-commercial ones?

10. Testing: What framework could be used to allow the automated testing and validation of SaaS-enabled offerings by both suppliers and buyers?


3.3. Adopter Issues11. Benchmarking: How can a company benchmark its applications

and identify the need for adopting externally-delivered SaaS-enabled components, applications, or processes?

12. Evaluation: What economic and decision models should be used to evaluate the offerings of various SaaS vendors and determine which one meets business and operational requirements?

13. Contracting: How can service, application, and process adoption be facilitated through automated negotiation, contracting, licensing, authorization, and configuration?

14. Payment: How should the delivery of SaaS-enabled solutions be charged to buyers, and what new business and financing models could supplier devise to ensure a strong and stable market for SaaS vendors?

15. Integration: How should adopting companies prepare their internal applications for the risky phase of integrating and deploying new SaaS-enabled solutions supplied by SaaS vendors?


3.4. Delivery Issues16. Delivery: What new standards should be developed on top of

existing grid computing infrastructure to ensure the flexible and rapid development of networks for the commercialization of SaaS-enabled solutions?

17. Security: How should SaaS-related security standards be adjusted to take into account the business transaction features of commercialized SaaS-enabled solutions?

18. Balancing: How will commercially-exposed SaaS-enabled solutions perform along with their traditional workload, and to what extent can there be a market for excess capacity to balance market workloads?

19. Monitoring: How should enterprise application management methods and tools be adjusted to take into account the monitoring of both operations and commercial issues in the transacting and delivery of SaaS-enabled solutions?

20. Compliance: How should real-time monitoring be adjusted to allow more efficient and effective regulatory compliance, as well as reduce the risks associated with the commercialization of SaaS-enabled solutions?


3.5. Extension of the Framework Dynamics Among BSN Stakeholders/Viewpoints

Various BSN perspectives compete with one another Similar dynamics as in traditional stakeholders of third-party IT

networks such as EDI, e-marketplaces, B2B integration hubs

Strategic Priorities BSN security IoT systems interoperability Automatic discovery Legal frameworks Performance metrics

Research on BSN and SaaS Ecosystem Extend beyond initial market players (ISVs, adopters, BSN) Focus on Support, Community, and Partner entities Identify critical success factors for SaaS commercialization

Research Program on BSN & SaaS Ecosystem

22

2009 2010 20132011 2012

BSN & SaaS Assessment Framework

Cases of BSN

Operators

Cases of SaaS

Vendors

Survey of Industry

Ecosystem Players

Cases of SaaS

Adoption

Survey of SaaS

Adopters & Vendors

Action Research on BSN

Operators

Action Research

on Support Entities

Survey of SaaS Risk

Models

Action Research on SaaS

NPD

Survey of Industry Consoli-dation

Frameworkof SaaS Product Lifecycle

01

02

03

10

08

09

05

04

06

07

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2008-12-13 Copyright © 2008 Gagnon & Cakici


4. Conclusion: Future of Mobile SaaS Mobile SaaS

Integrating RFID, mobile telecommunications services, and wireless internet infrastructure

Developing BSN services provisioned and controlled through mobile infrastructure

Ensuring the mSaaS market emerges as a fully enabled environment, yet properly integrated to traditional fixed platforms

Intelligent Functionality More flexibility in composing SaaS-enabled processes in real-time, as

RFID functionalities trigger mobile services and processes SaaS-bearing devices and entities could activate their collective

intelligence to autonomously compose new processes Compiling performance data and identifying operational patterns allow

new services to independently optimize processes through learning-enabled IT infrastructure that provisions and monitors service networks

Thank You! Questions or Comments?

Stéphane Gagnon, Ph.D.

Associate Professor Université du QuébecGatineau, QC, Canada

[email protected]

Kemal Cakici, Ph.D.

Risk Management OfficerInternational Finance Corporation

Washington, DC, [email protected]


presentation

Documents

infrastructure services

services bsn

service saas definition

web service interfaces

service saasrealizes

service firm

service intermediary

web services interoperability