the it environment of an on demand business demand... · the it environment of an on demand...
TRANSCRIPT
© 2002 IBM Corporation
Business Consulting Services
Ville-Mikko Kanerva | December 1, 2003
E-business on demand
The IT Environment of an on demand Business
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation2
Table of contents
On demand Business Transformation
On demand Operating Environment
On demand Application Environment
On demand Systems Environment
On demand Delivery Environment
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation3
Systems Environment
UtilityServices
ApplicationEnvironment
BusinessTransformation
Operating Environment
The Road to Becoming an on demand Business:Business Transformation
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation4
The situation in a troubled industry�
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation5
Unstoppable Drivers
The change in customer demands, technological innovations and government regulations is increasingly sudden and dramatic
The growth and predictability of revenues and margins becomes even more challenging due to economic uncertainties and demanding investors
Pervasive dangers become real and prevalent as global firms see increased exposure to natural disasters, unstable geopolitics and other market shocks
Due to increasingly transparent markets, competitive intensity is growing in severity as existing players and new entrants scramble to provide value to customers
Unrelenting Financial Pressures
Continuous Discontinuities
UnpredictableThreats
CompetitiveDarwinism
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation6
On demand Imperatives
Responsive ResilientVariableFocused
Unstoppable Drivers
on demand Imperatives
Unrelenting Financial Pressures
Continuous Discontinuities
UnpredictableThreats
CompetitiveDarwinism
Seeming almost intuitive in its ability to sense and respond rapidly to unpredictable changes in the market environment and the needs of all its constituents
Able to adapt cost structures and business processes flexibly, in order to reduce risk and to do business at higher levels of productivity, cost control, capital efficiency and financial predictability
Prepared for changes and threats � be they technological, economic, or political �enabling the business to continue operating with consistent availability, security and privacy
Committed to concentrating on differentiating competencies, using tightly integrated strategic partners to manage selected non-differentiating activities
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation7
Example
From Helsingin Sanomat on Thursday Nov. 27
! Companies move their production globally at an ever-increasing speed
- Some look for cheap labour � some for better skills- Overall, any production can be moved
! Technology advances used to last for years � not anymore− Process improvements imitated by competition ever more quickly
! Enabled by technology, assisted by freely-moving capital
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation8
Systems Environment
UtilityServices
ApplicationEnvironment
BusinessTransformation
Operating Environment
The Road to Becoming an on demand Business:Operating Environment
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation9
Business Transformation
On demand Operating Environment
!Enable businessflexibility and responsiveness
!Reduce cost!Align IT processes with business priorities ! Improve asset
utilization
!Address new business opportunities
An on demand business needs an on demand Operating Environment
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation10
The on demand Operating Environment Overview
Transactional Processes
Application Development, Deployment & Maintenance
Collaboration Information Management
Integration of People – Process – InformationAnywhere, any time, from any device
Virtualization Engine
StorageServers Distributed Systems Network
Security Optimization Provisioning
Policy-based Orchestration
Availability
Business Objectives
and Policies
Ope
n St
anda
rds-
base
d
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation11
Operating Environment functionality
Virtualization ServicesDynamic hardware virtualization
Clusters Blades Networks Storage
Business Integration Services! Model driven design ! Solution mapping! Solution Deployment
! Process Simulation! Activity Management! Process Management
Common Runtime Services
! Integrated System Console! Security and Identity! Transaction Coordination! Data Persistence
! Workload Management! Workflow! Collaboration! Application Connectivity
Automation Services
! Policy-based orchestration
! Event correlation
! Provisioning
Busi
ness
Pro
cess
In
tegr
atio
nIT
Res
ourc
e In
tegr
atio
n
Ope
n St
anda
rds-
base
d
Grid
Ser
vice
s
J2
EE
W
eb S
ervi
ces
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation12
Systems Environment
UtilityServices
ApplicationEnvironment
BusinessTransformation
Operating Environment
The Road to Becoming an on demand Business:the Application Environment
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation13
Business Integration Services enable business flexibilityand focus on core capabilities and dynamically integrate outside services as needed.
Virtualization ServicesDynamic hardware virtualization
Clusters Blades Networks Storage
Business Integration Services! Model driven design ! Solution mapping! Solution Deployment
! Process Simulation! Activity Management! Process Management
Common Runtime Services
! Integrated System Console! Security and Identity! Transaction Coordination! Data Persistence
! Workload Management! Workflow! Collaboration! Application Connectivity
Automation Services
! Policy-based orchestration
! Event correlation
! Provisioning
Busi
ness
Pro
cess
In
tegr
atio
nIT
Res
ourc
e In
tegr
atio
n
Ope
n St
anda
rds-
base
d
Grid
Ser
vice
s
J2
EE
W
eb S
ervi
ces
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation14
! Model processes! Integrate applications! Connect externally! Monitor processes! Manage business
results
! Standardized access to applications
! Access anytime, anyplace
! Dynamically adaptive role-based workplaces
! Leverage data and content resources
! Access data in place
! Consolidate data! Transform data! Manage data
placement
Integration is about efficient and flexible linking of resources to optimize operations across and beyond the enterprise.
People Processes Information
+ +
With Security and Integrity
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation15
?
Sense and Respond Capabilities require new approach to how Applications are built
Process
Access
SecurityLogic
Data
Monolithic Application
Logic
Application
Logic
Application
Process Manager
Process
Security Svcs
Access
Management
DataInformation Mgmt
Analytics
Logic
Application
User Interface
S
D
DD
E
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation16
ComponentArchitecture
ServiceArchitecture
ComponentArchitecture
Consum
erProvider
ApplicationArchitecture
New generation Service-Oriented Architecture is a critical pre-requisite to Business Process Integration and thus Business Process Transformation.! A Service-Oriented Architecture (SOA) is one that! 1)Defines functions (that need to be used by more than one system) as "services"! 2)Each has a defined, implementation-independent interface which is common to all clients! 3)Provides one logical instance of each service
Note the implication for business processes:
Service oriented architectures are most consistent with homogenous business processes across the enterprise
Full scale Objective is to simplify and streamline standard business practices, not remove unique implementation
Involves process re-engineering value or discriminator
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation17
"Service" Interfaces vs. "API" Interfaces ...
By mail1. Client requests application form2. Provider sends it3. Client fills it in and returns it4. Provider says "yes" or "no"
By phone:1. Client calls provider2. Provider says "Hello, how can we
help"3. "I'd like a mortgage please"4. "What's your name"5. "John Smith"6. "What's the property address"7. "27 ..."8. etc.9. etc.10.etc.11.etc.12. "... OK, I'll your mortgage
agreement number is 12345, I'll mail the rest of the details"
Service-like
API-like
Applying a mortgage
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation18
Application Server
But then, what are Web Services?
WebPresentation
BusinessLogic
HTML
FW
HTTP
ExternalApplications
XML
HTTP
Databases
At root, Web Services is a new system-to-system integration protocol that already is or can be supported by anything, and for which the infrastructure already exists!
! Web Services are great, but they're just a communication protocol
! Service Oriented Architectures are great, but they don't addresstechnology interoperability
! Together, they're really something
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation19
Systems Environment
UtilityServices
ApplicationEnvironment
BusinessTransformation
Operating Environment
The Road to Becoming an on demand Business:the Systems Environment
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation20
Virtualization ServicesDynamic hardware virtualization
Clusters Blades Networks Storage
Business Integration Services! Model driven design ! Solution mapping! Solution Deployment
! Process Simulation! Activity Management! Process Management
Common Runtime Services
! Integrated System Console! Security and Identity! Transaction Coordination! Data Persistence
! Workload Management! Workflow! Collaboration! Application Connectivity
Automation Services
! Policy-based orchestration
! Event correlation
! Provisioning
Busi
ness
Pro
cess
In
tegr
atio
nIT
Res
ourc
e In
tegr
atio
n
Ope
n St
anda
rds-
base
d
Grid
Ser
vice
s
J2
EE
W
eb S
ervi
ces
Virtualization of the physical infrastructure is the first enabling step required to achieve business flexibility.
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation21
Virtualization is about removing �hardwired� links between resources and resource consuming applications and/or systems�
Virtual Resources� Proxies for physical resources: same interfaces/functions, different attributes.� May be part of a physical resource or multiple physical resources.
Virtualization� Creates virtual resources and �maps� them to physical resources.� Primarily accomplished with software and/or firmware.
Physical Resources� Hardware components with architected interfaces / functions.� May be centralized or distributed.� Examples: memory, disk drives, networks, servers.
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation22
Virtualization ServicesDynamic hardware virtualization
Clusters Blades Networks Storage
Business Integration Services! Model driven design ! Solution mapping! Solution Deployment
! Process Simulation! Activity Management! Process Management
Common Runtime Services
! Integrated System Console! Security and Identity! Transaction Coordination! Data Persistence
! Workload Management! Workflow! Collaboration! Application Connectivity
Automation Services
! Policy-based orchestration
! Event correlation
! Provisioning
Busi
ness
Pro
cess
In
tegr
atio
nIT
Res
ourc
e In
tegr
atio
n
Ope
n St
anda
rds-
base
d
Grid
Ser
vice
s
J2
EE
W
eb S
ervi
ces
Automation Services is the main technology solution required for building an on demand business.
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation23
Directory Directory and Security and Security
ServicesServicesExistingExisting
ApplicationsApplicationsand Dataand Data
BusinessBusinessDataData
DataDataServerServerWebWeb
ApplicationApplicationServerServer
Storage AreaStorage AreaNetworkNetwork
BPs andBPs andExternalExternalServicesServices
WebWebServerServer
DNSDNSServerServer
DataData
Dozens of systems and applications
Hundreds of components
Thousands of tuning
parameters
Automation is the IBM response to �Dealing with complexity -the single most important challenge facing the IT industry� -Paul Horn, Director of IBM Research�! Tens of thousands of combinations of
interrelated configuration parametersNearly impossible to tune for optimal
performance ! Unknown dependencies creating change risks
Extended change cyclesHigh risk of inadvertent human error
! Hardware and software version control issuesIncompatibilities lead to system failuresExtremely complex pre-req/co-req
situations! Increased security exposures
Creates unacceptable risk! Capacity in the wrong place at the wrong time
Demand peaks cause performance degradation
Demand troughs create under-utilized capacity
! Difficult for humans to consistently make time critical decisions Human errors cause unscheduled
downtime
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation24
Systems Environment
UtilityServices
ApplicationEnvironment
BusinessTransformation
Operating Environment
The Road to Becoming an on demand Business:Utility Services
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation25
IT as a Utility
Services-based variable costsAsset-based fixed costsCost Profile
Incremental investmentsLarge-scale, up-front investments
Capital Investment
Self-serviceDedicated business analysts
User Management
Usage-based billingEstimated allocationCharge-back
Nominal procurement; short lead times
Varying lead timesCapacity Provisioning
Required usagePeak usageIT Infrastructure
Traditional Computing Utility Services
© 2002 IBM Corporation
Business Consulting Services
Ville-Mikko Kanerva | December 1, 2003
Software for the on demand business
Business Consulting Services
E-business on demand | the IT environment of an on demand business | Ville-Mikko Kanerva © 2003 IBM Corporation27
Agenda
WebSphere StudioAn open comprehensive development environment for building dynamic e-business applications
WebSphere Application ServerA high-performance and extremely scalable transaction engine for dynamic e-business applications
WebSphere Host IntegrationSoftware to leverage and extend legacy assets for new e-business solutions
WebSphere PortalA single point of personalized interaction with applications, content, processes and people
WebSphere EveryplaceSoftware for extending e-business applications to mobile devices
WebSphere CommercePowerful sell-side solutions to handle the challenges encountered in customer and trading partner environments.
WebSphere Business IntegrationSoftware needed to model, integrate, automate, and manage efficient and flexible business processes
WebSphere MQSoftware to connect internal and external applications to exchange information reliably and securely