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Application Modernization: Preserve and Modernize to Prepare for the Organizational and Technology Challenges that Lie Ahead
Brad Tagg and Chase Crowson
September 10, 2013
© 2013 Unisys Corporation. All rights reserved. 2
Legacy Modernization on the CIO Agenda
2013 Gartner CIO Agenda Report –
CIO technologies
Ranking of technologies CIOs selected as one of their top 3
priorities in 2013
Ranking 2013 2012 2011 2010 2009
Analytics and Business Intelligence 1 1 5 5 1
Mobile Technologies 2 2 3 6 12
Cloud Computing (SaaS, IaaS PaaS) 3 3 1 2 16
Collaboration technologies (workflow) 4 4 8 11 5
Legacy Modernization 5 6 7 15 4
IT Management 6 7 4 10 *
Customer Relationship Management 7 8 18 * *
Virtualization 8 5 2 1 3
Security 9 10 12 9 8
ERP Applications 10 9 13 14 2
*Not an option that year
Source: 2013 Gartner CIO Agenda Report http://www.gartner.com/imagesrv/cio/pdf/cio_agenda_insights2013.pdf
© 2013 Unisys Corporation. All rights reserved. 3
Agenda
• The Evolution of Your Application Portfolio
• Application Modernization Challenges
• Application Modernization Journeys
• Unisys Application Services
• Case Studies
• Getting Started
• Related Sessions
© 2013 Unisys Corporation. All rights reserved. 4
The Evolution of Your Application Portfolio
I T S M
I T
S M
Configurations
Standardized Compute and Storage Fabrics
Customized COTS Dedicated Hardware Private Cloud
PaaS
IaaS
SaaS Standardized COTS
Infrastructure Workloads
Customized Applications
Proprietary
Standard and Software Defined
Multi-Dimensional Analysis
Future State
Current State
© 2013 Unisys Corporation. All rights reserved. 5
Application Modernization Challenges
Shortening Technology Lifecycles
Capturing Unlocked Future Value
• Modernization can extract new and unanticipated returns from legacy
investments
• Difficult to forecast and quantify such returns while making investment
proposals
Long Running and Costly Implementations
• Need to portray modernization as an innovation driver rather than
maintenance
• ROI perspectives often lacking in projections
• Consumer IT is moving so fast that enterprises are constantly playing
catch up
• New devices, apps and social networks keep flooding the market
• “Nice to have” features accumulate into modernization projects tending
to span 3-5 years
• With shortening budget cycles, margin for error of failure is decreasing.
Perception as Cost vs. Innovation Enabler
© 2013 Unisys Corporation. All rights reserved. 6
Business Domain
IT Domain
As-Is Business
Model
To-Be Business
Model
Application Modernization Journeys
Business Knowledge Modernization Journey
Functionally-Equivalent Redesign Journey
SOA Enablement Journey
Language-to-Language
Translation Journey
Re-hosting Journey
Maintenance Journey
New Business
Needs
Application Portfolio Management & Strategy
To-Be
Applications
As-Is
Applications
© 2013 Unisys Corporation. All rights reserved. 7
SOA Maturity Model
Operational Maturity
Tech
nic
al M
atu
rity
Assess Technical eSOA and Operational eSOA maturity levels to provide a starting point (as-is) and target destination (to-be recommendation)
© 2013 Unisys Corporation. All rights reserved. 8
A Pragmatic Approach: Systematic and Incremental
IT Modernization on all
Layers
Apply multiple modernization
journeys over time directed
by a comprehensive portfolio
management process
“As Is”
Current
State
Needs
Not Met
“To Be”
Future
State
Needs
Met
Business Transformation
Goals and Strategies
Continuous Asset
Management Loop
Incremental, Multiple Modernization Journey Approach
20%
23%
30%
37%
45%
80%
77%
70%
63%
55%
We lack the businessknowledge to modernize
We lack the technicalknowledge to modernize
We have been unable tomake a business case
Business Managers don'twant us to to touch their
applications
We can't get budgetapproval for the program
What are the barriers to modernizing your
applications?
TRUE FALSEBase: 182 IT decision-makers
Source: A commissioned study conducted by Forrester Consulting, March 2013
© 2013 Unisys Corporation. All rights reserved. 9
Unlock potential of cloud computing to fuel business growth
Give business the flexibility to
innovate and connect with
employees, partners and customers
Empower business with enterprise
intelligence for competitive
advantage
Interact with applications, social,
data and engage with people in real
time
Cloud Computing
Consumerization of IT/Mobility
Big Data/Smart Computing
Disruptive IT trends open the doors of opportunity for
delivering greater business value through modernization
Social Computing
Impact of Disruptive Trends on Application Modernization
© 2013 Unisys Corporation. All rights reserved. 10
Cloud/SaaS Enablement
Progressive Levels of SaaS Modernization Paced by ROI
Phase 1 Phase 3 Phase 4 Phase 2
Acti
on
s
Ch
ara
cte
risti
cs
• Construct Common
Platform Catalog
• Move to Cloud
• Feasibility Analysis
• Extension for UI
Modernization and Mobile
• Common Component
Libraries
• Common Accounting
Service Library
• Move to Standard SOA
• Rules Engines
Incorporated
• BPM / BAM and Service
Orchestration
• Dynamic Application
Assembly
• Catalog Services for
Network and Applications
• Full Self-Service
• Isolated Business Line
Driven
• LOB Platform Specific
• Secure Infrastructure
• Mixed Monolithic and
Tiered Architecture
• Application Specific Data
Solution
• Virtual Machine Image
Design and Deployment
• Common Database
Servers
• Standard Security
• Agile Development
Methods
• Standard Development
Environment
• Application Operational
Characteristics Exposed
• Componentized Business
Functions
• Common Governance
Processes
• Component Based
Development
• Component Architecture
• BPM & BAM Services
• Orchestration
• SOA Governance
• Service Oriented
Modeling for Infrastructure
• Process Integration via
Services
• Virtualized Data Services
• Virtual SOA Environment:
Sense and Respond
• Rules Engines
• Advanced Security Model
• Business Capabilities via
Context Aware Services
• Governance via Policy
• Business Process
Modeling
• Dynamic Application
Assembly
• Dynamically Re-
configurable Architecture
• Semantic Data
Vocabularies
• Context-aware Event
based: Sense and
Respond
Increase
Marketability by
Cloud Enablement
Addressing
Extensibility &
Maintainability
Efficient
Adaptability to the
Marketplace
Large Customer
Base & Full Multi-
tenant
Move to Cloud
© 2013 Unisys Corporation. All rights reserved. 11
Cloud Computing
Consumerization of IT/Mobility
Big Data/Smart Computing
Social Computing
Unisys Application Services Portfolio
Implement
Application Development
Testing Services
Application Modernization
Application Modernization Platform as a Service
ClearPath Application Modernization Services
Application Security
Integration
Advise
Application Advisory Services
ClearPath Advisory Services
Intelligent Application Assessment
Mobility Assessment
Services
Modernize
Manage
Application Managed Services ClearPath Application Managed
Services
ClearPath Application
Development
Embracing Disruptive IT Tends to modernize mission-critical
applications in a timely and risk-averse manner
© 2013 Unisys Corporation. All rights reserved. 12
Unisys Hybrid Enterprise
Unisys Application Modernization Approach Leveraging Disruptive Technologies
We focus on modernizing mission-critical business applications to extend the life of existing investments - as
opposed to costly and high risk “rip-and-replace” initiatives
Unisys Application Modernization Solutions assist clients in strategically prioritizing and delivering modernization
initiatives that protect existing investments in enterprise applications while leveraging disruptive IT trends
Recommendation:
Modernization of
business applications
using key enabling
trends, as opposed to
costly and risky rip
and replace, can
significantly improve
project success rates
while providing a
superior return on
investment with a
fraction of the
implementation risk
© 2013 Unisys Corporation. All rights reserved. 13
AMPS turns operations and maintenance into operations and innovation
AMPSSM is a modernization solution using a service oriented approach. AMPSSM is a comprehensive combination of: – Patent pending methodology
– Skilled architects (COEs)
– Software stack
– Cloud or on-premise subscription license model
– Value-added Software customizations
AMPSSM enables: – Faster time to benefit
– Information sharing across the enterprise
– Reduced cost of development
– Increases value and improves existing legacy systems
– Standardization across enterprise
AMPSSM is attractive to organizations needing flexibility, agility, or are embarking on strategic business transformations.
Page 13 Confidential © 2012 Unisys Corporation. All rights reserved.
Application Modernization Platform as a Service (AMPSSM)
© 2013 Unisys Corporation. All rights reserved. 14
Unisys provides contemporary Web, SOA, mobile, Java and .NET solutions built on open standards while
leveraging the mission-critical performance, security and reliability attributes of ClearPath
ClearPath Application Modernization solutions allow our ClearPath customers to exploit newer technologies while
at the same time leveraging their investments in ClearPath‟s mission-critical application performance and reliability
Unisys ClearPath modernization program allows
our ClearPath customers to modernize their
mission-critical ClearPath applications in a non-
invasive way without the high cost and risk of rip-
and-replace
• Contemporary development environments
• Open-standards based integration appliances
• Web / SOA integration
• Java Integration
• Mobile enablement
• Enterprise Messaging
ClearPath Application Modernization Services
Next Generation
Intel based
servers with
virtualization Smartphone
Integration
Dedicated appliances
for open standards
based integration
Web / SOA
Integration
ePortal ePortal
JProcessor QProcessor
Model driven, visual
development tools
Agile
Business
Suite
Java Platforms
Enterprise
Application
Integration
© 2013 Unisys Corporation. All rights reserved. 15
Unisys Mobility Solutions
Enabling People Computing
Unisys Mobility Solutions simplify enterprise mobility with an integrated solution designed to address business concerns and make people more effective by enabling companies to:
Gain Insights and Control
Business and operational insights help you securely manage mobile resources while identifying areas of inefficiencies
Mobilize Information
Improve employee productivity through enabling mobile access to existing enterprise or new applications
Be Enterprise Agile
Meet the demands of the mobile enterprise with reliable, secure, and agile processes and resources that support the growth and demands of mobile business
Mobile Application Enablement
& Development
Mobile Environment Management
Mobile Security
Mobile Assessments & Consulting
Mobile Solutions for Business
Mobile Infrastructure
© 2013 Unisys Corporation. All rights reserved. 16
Unisys Application Managed Services
Application Management
Business Analytics
Secure
Flexible Resourcing
Program & Service Management
Application Projects
Application Lifecycle Management
Enterprise Apps Custom Apps
Unisys
Application
Managed Services
Application infrastructure: networks, data access, storage
© 2013 Unisys Corporation. All rights reserved. 17
Business Issue:
The New Zealand Transport Agency (NZTA) wanted to modernize its IT infrastructure to increase the agency‟s flexibility and reduce its IT operational costs. Importantly, it needed to continue to deliver uninterrupted services to citizens during the migration.
Unisys Response: The NZTA engaged Unisys to develop a „Business-Critical Modernization Roadmap‟ and conduct an IT modernization program. Unisys implemented a Windows-based Unisys ES7000 and ES3000 platform running Unisys Agile Business Suite and migrated the agency‟s Driver and Vehicle Registry system, containing more than 1.7 billion records. By modernizing rather than rebuilding this system, the NZTA avoided up to NZ$80 million expenditure and has significantly reduced the time it takes to incorporate legislative changes. The agency improved system response times by up to 40% and expects to cut its annual IT maintenance and operational costs by approximately 26%. It has also eliminated the risk of operating unsupported IT products.
Benefits and Results: • Reduced costs: Avoided up to NZ$80 million expenditure by
modernizing rather than replacing systems and expects to cut annual IT maintenance and operational costs by 26%
• Improved customer services: Provided platform to begin developing new mobile and online channels, such as a mobile application that allows drivers to pay tolls using their mobile device
• Eliminated technology risk: Ensured the project was completed before legacy IT products reached end-of-life
• Improved transaction times: Cut the time it takes to retrieve or update data by 30% to 40%
New Zealand Transport Agency Develop a Mission Critical Modernization Roadmap
© 2013 Unisys Corporation. All rights reserved. 18
Business Issue:
A US State Government Agency responsible for supervising programs that provide assistance and support to eligible families and individuals needed to meet an immediate regulatory change for an external data exchange requirement. Due to a portfolio of inflexible legacy applications and poor integration/ communication across these applications, agency was unable to easily address the rapidly changing regulatory environment and growing constituent needs while reducing costs.
Unisys Response:
• Stand up a joint Unisys/Client Center of Excellence
• Provide organization change management and introduce strategic foundation/governance elements
• Introduce SOA Governance Technology (SOA Software)
• Execute on business driven modernization projects
• Develop the strategic foundation
Benefits and Results: • Identifying low risk, highly visible modernization projects to
demonstrate initial successes
• Providing experienced SOA resources and
• Providing a proven methodology that the joint team can organize around
US State Government Agency Enable Business Transformation Through SOA Services
© 2013 Unisys Corporation. All rights reserved. 19
Business Issue:
The customer needed to modernize their mission critical legacy Mid Office Mortgage processing solution to reduce risk of depending on an unsupported product and to allow for future innovations and alignment with the changing IT environment. The legacy application also had a significant impact on downtime, incase of downtime.
Unisys Response: The customer contracted Unisys to modernize the legacy Mid Office Mortgage processing solution to a modern future proof solution. Unisys accepted all risks in the project by offering fixed price and fixed time combined with an off shore model and accepting ambitious acceptance criteria while minimizing impact on the customer‟s organization.
Benefits and Results: • Delivery within a short timeframe thereby reducing the business freeze
period to a minimum.
• Delivering 95% better quality than market reference, resulting in an easy acceptance process.
• A supported and modernized future proof and maintainable solution.
• Easier alignment with the ever changing IT environment allowing for innovation and reducing cost.
Large European Financial Institution Reduce risks and create a path for innovation by migrating legacy systems
© 2013 Unisys Corporation. All rights reserved. 20
Business Issue:
CEDAE wanted to improve customer services by putting more information into the customers‟ hands with greater speed. The client wanted to provide its increasingly mobile customer base with direct online access to the company‟s services. But the existing back-end technology created cumbersome administrative processes and limited the speed with which updated data was published to the web.
Unisys Response:
Unisys addressed the above problems in the form of the ClearPath ePortal solution that streamlined posting of data from an Enterprise Server Database (DMS II) on the ClearPath system to the Web and enabling mobile access. Our ClearPath ePortal technology modernizes mission-critical applications without altering the applications for simplified access to services from the latest mobile devices.
Benefits and Results: • CEDAE customers pay bills anywhere using their smart phones
• Using their smart phones, the utility‟s customers can access a secure Web portal that displays a barcode for their bill
• Optical readers read the barcode from the smart phone screen and transmit the payment through the banking network, without requiring the customer to print a payment receipt
• Solution also allows CEDAE customers to view electronic proofs of payments and their payment history
Companhia Estadual de Águas e Estogos (CEDAE) Mobile Modernization through ClearPath ePortal
© 2013 Unisys Corporation. All rights reserved. 21
How Can We Help You Get Started?
Identification and
Prioritization of
Modernization
Opportunities & Roadmap
Development
Irrespective of your starting point or your current relationship with Unisys, we can help you
modernize and transform your portfolio of complex, mission-critical business applications
Starting Points And The Application Lifecycle
Application Development,
Testing, and Integration of
COTS, Custom and
ClearPath Applications
Application Modernization
and Application
Modernization Platforms as
a Service
Application Management for COTS, Custom, and ClearPath Applications
Application
Advisory
Application
Implementation Application
Management
Application
Modernization
© 2013 Unisys Corporation. All rights reserved. 22
Why Unisys
• Over 30 years of Application Services
Experience
• Industry and Solution Domain Advantage -
Experience that reduces risk. 40 Telcos, 22 of the
top 25 banks, 1,500 government agencies
• High Volume Mission Critical Experience - over
150m voice mail users worldwide, 115m
Brazilians votes, world‟s largest RFID system
• Pre-integrated Application Modernization
Frameworks
• Unique 3D-Blueprinting modeling and design
approach and over 18,000 prebuilt industry
process models
• 7 CMMI level 5, 4 and 3 Centers
• Experience in modern application technologies &
platforms including JAVA, .NET, Open Source,
Unisys, IBM, Windows, UNIX, & numerous
legacy technologies.
Unparalleled experience
in high volume,
mission-critical
industry applications
We are focused on getting
best value from current
applications while mapping
a way forward – not just “rip
and replace”
We have a global
capability to deliver most
cost-effectively
© 2013 Unisys Corporation. All rights reserved. 23
Related Sessions
• Wednesday
– 8:00 AM – 8:50 AM Application Services: IT Wants to Say Yes by Annamarie Smith-Butz to learn more about Application Managed Services
– 9:00 AM – 9:50 AM Mobility Solutions in the Evolving Workspace by Darren McGrath to learn more about mobile application enablement and new development
– 11:00 AM – 11:50 AM From IT Administration to Business Innovation! by Isaac Levy to learn more about ClearPath Application Modernization
– 3:00 PM – 4:00 PM ClearPath Session: MCP Guru Series: Application Modernization by Ralph Deyoreo to learn more about how ePortal is being used to modernize ClearPath MCP applications