Extending and improving bps romania 30th of nov 2010

Extending and Improving Business Processes
Jens Toppenberg
Enterprise 2.0 Sales Director, EE&CIS

©2010 Oracle Corporation 3
The following is intended to outline our general
product direction. It is intended for information
purposes only, and may not be incorporated into any
contract. It is not a commitment to deliver any
material, code, or functionality, and should not be
relied upon in making purchasing decisions.
The development, release, and timing of any
features or functionality described for Oracle’s
products remains at the sole discretion of Oracle.
Safe Harbor

• Challenges
• Solutions
• Products
– Oracle SOA
– Oracle BPM
– Oracle SOA Governance
• Business Benefits
• Case Studies
• Next Steps
Agenda

Packaged Application Lifecycle
Extend with
Custom Code
Integrate with
other
Applications
Cross App
Automation
Upgrade
Install and
Configuration
$?

The State of Application Infrastructure
41% of companies indicate monolithic application
architecture forces costly and complex changes
-Aberdeen Group
57% of companies not running the current release
of their ERP indicate the prohibitive cost of
upgrading customizations as a key reason
-Aberdeen Group
You do not utilize the competitive advantage
which is given to you in the newer release!

Application Infrastructure
Common Approaches
Implementing customization tools
embedded within the application
Extend
with
Custom Code
Using point-to-point connectivity
between apps
Integrate
with
Other Applications
Building application-centric business
processes
Automate
Across
Applications
Requirement Common Approach

• Difficult to swap out applications
– Code tightly coupled to application
• Costly maintenance
– Proprietary coding requires niche
specialists
• Complex upgrades
– Unacceptably lengthy and costly
test cycle time
Application Centric
Customization
Challenge
Disparate Application-embedded Tools
Tightly Coupled
to Application

• Weak integration services
– Limits ability to access data outside
the native app
• Lacking end-to-end management
– Difficult to determine process status
• No BPM collaboration tools
– Delays delivery schedule and
increases chance of errors
Challenge
Application-specific Business Processes
Application Centric
Customization
Application Centric
Business Processes
Can you get the answer to: Where is my order?

• Point-to-point “spaghetti”
architecture
– Fragile architecture requires
extensive test cycle
• Lack of re-use of functionality
– High cost to maintain redundant
features in overlapping applications
• Lack of control
– Minimal governance and lacking
unified view over all applications
Challenge
Point-to-Point Integration
Application Centric
Customization
Application Centric
Business Processes
You can‟t control,
what you can‟t manage!

Solutions
Don‟t come to me with a problem
unless you have a solution!

Current Solution
Application centric
processes
Tightly coupled
applications
Point – point
integration
Application centric
customizations
Customized, siloed and point - point
integrated applications

Solution
Unified Application Extension & BPM Platform
Unified
Cross Application
BPM
Core
Applications
Unified Integration Shared Services Infrastructure
Unified
Configuration-
based Extensions
Enterprise Application Platform

To transition to this architecture, there are
3 steps that should be followed:
Step 1: Extensions with a common toolset
Step 2: Shared Services Infrastructure
Step 3: Cross-Application BPM
Solution
Unified Application Extension & BPM Platform

• Configuration-based
– Less code, more drag & drop
• Use industry standards
– Languages and modeling notation
• Business rules
– Expose business variables in
intuitive user interface for business
team
Solution
Step 1: Extensions with a common toolset
The new SOA-based
infrastructure has helped
OnStar eliminate tens of
thousands of lines of code and
achieve significant cost
savings…
In SOA, changes are made via
configuration, not by manual
coding.
Profit Magazine – Nov 2010

• Unified Shared Services
– Introduces flexibility
• Create re-usable services
– Allows for significant efficiency gains
• Manage with SOA governance
– Gain control with a single view
across all applications
Solution
Step 2: Shared Services Infrastructure
“We could convert that money
into more innovation, more
customer service, more
products and services instead
of paying for redundant
operations that aren’t that
different from each other”
Fari Ebrahimi, Senior Vice President and CIO
Verizon Services Operations

• Unified enterprise-wide BPM
– Across disparate apps
• BPM standards
– Such as BPMN and BPEL
• Social BPM
– Collaboration tools for BPM
development and end-users
Solution
Step 3: Cross-Application BPM
JPMorgan Chase used Oracle
BPM technologies to automate
the error-prone manual part of a
risk management process which
decreased processing time by
79% and increased staff
productivity.
Camico Insurance - spot

BAM
JDEV ,
BPM STUDIO,
PROCESS
COMPOSER
CEP
EMPOLICY
MANAGER
ERP MAINFRAME SERVICES
BPEL PROCESS MANAGER
HUMAN WORKFLOW
BPMN ENGINE
SERVICE BUS
PARTNERSDB
Registry
&
Repository
Oracle‟s SOA & BPM Infrastructure
Industry’s Most Complete, Integrated, & Best-In Class Platform

Transform Business
Process
Business
Rules
Human
Workflow
• Costly to maintain
• Insufficient exception and
error handling
• Visual composition creates maintainable integrations
• Expose business variables as easily modifiable rules
Oracle SOA Suite
Configuration based development
Traditional Approach
Manual Coding
Composite Editor

Oracle SOA Suite
Configuration based access to applications
Select Adapter Select Function Integrate Function into
Composite Editor

Oracle BPM Suite
Web-based process editing and configuration
ValueOracle BPM Suite 11g
• Tool for business
• Enable greater range of business
participation
• Eliminate redundancy, reduced complexity
• Simplified logic management
Value
• Intuitive Web-based interface
• Access according to role
• Uses same model, business catalog, as
Studio
• Model both rules and processes
Oracle BPM Suite 11g
Process composer for
- Processes
- Rules

Oracle BPM Suite
Process Analysis
Value
• Standard business indicators: cycle time,
number of instances, average and mean time
• Process specific indicators in model
• Drill down dashboards
• BAM can aggregate indicator events
• Integration with complex event processing
• Interoperability with BI via ETL
• WYSIWYG report editor
• Impact, gap, redundancy, and simulation
reports
• Business visibility
• Tailor analysis to the business
• Expand analysis outside BPM
• Leverage BI for additional visibility
• Standard and custom easy to configure
reports for all business needs
Oracle BPM Suite 11g Value
Process analysis
- integrate to BAM
- integrate to BI

Oracle BPM Suite
Process Spaces: Extends collaboration in a process context
Value
• WebCenter Spaces technology
• Work Space process space – all processes
• Modeling Space – modeling the process
• Single instance space – Single process coll.
• Task list, discussions, documents,
dashboards, processes to start, process
catalog
• Simplified single-click site creation
• Spaces suited to process lifecycle
• Can add blogs, wikis, and presence
• Collaboration in context
Oracle BPM Suite 11g Value

Integrated Governance
Comprehensive Governance & Policy Management
Publish, Discover,
Change Manage
Services
Federated Policy
Manager
Provision Services &
Monitor SLAs
Registry/Repository Policy Manager
SOA Management
Pack

Benefits: Oracle SOA and BPM Suites
• Expands reach of business processes
– Standards-based BPM removes cross-app barriers
– Social BPM shortens cycle times through team collaboration
• Introduces application flexibility
– Provides the ability to easily swap out applications
– Replaces tight coupling with hot-swappable infrastructure
• Lower total cost of ownership
– Minimize upgrade costs by externalizing application customizations
– Re-use services in new ways not possible with monolithic apps
Transform: Application centric to Enterprice process centric

British Telecom –Application Extensions
• Implemented Oracle SOA Suite to customize and extend packaged applications
• Built composite apps and process integration flows using Oracle Fusion Middleware
with Oracle EBS, PeopleSoft and Siebel
• One of the world‟s largest telecom service provider
• High cost of managing and maintaining 400 legacy IT
systems
• Need a consolidated applications that allows to procure
goods and services for 10,000 properties and 5,000
vehicles
Opportunities & Challenges
• Retired 46 legacy apps, increasing „right first time‟ dramatically increasing user
experience scores
• Enterprise level process automation resulting in consolidation of many heterogeneous
custom and packaged applications
• Significantly reduced maintenance and upgrade costs of packaged applications
Solution
Results

Qualcomm – Shared Services
• Oracle SOA Suite deployed to create a reusable services framework
• Integration with Tibco, Documentum and Oracle Applications
• Automated key business processes: Entitlement requests and approvals, User password
and account maintenance
• World‟s leading supplier of CDMA Chipsets
• Inability to quickly build composite applications, lack of
common reusable services
• Unable to respond to rapid business changes
• Need to increase system security, scalability, availability
• Needed a common interface for all users to get the information
they need in a secure reliable manner
• Enabled easier, more effective forecast
simulation
• Improved control over supply chain
• Cost savings from increased productivity in
shipping and warehouse management
Solution
Results Customer Viewpoint
“I would estimate that we have saved at
least $5 million dollars in development
costs over the last two years.”
–Norm Fjeldheim, Senior VP, CIO
Qualcomm

Eaton Steel – Cross App BPM
• Order-to-Cash transactions with trading partners were automated using a Service
Oriented Architecture
• The solution comprised of XML Gateway and Customized mapping as well as Canonical
mapping
• EDI process was automated by extending E-Business Suite using Oracle SOA Suite,
Oracle BPM Suite and Oracle B2B
• Order-to-Cash project was inefficient
• Invoicing processes were very manual & error prone
• Poor visibility into interaction between parties.
• No solution would meet diverse partner requirements:
EDI, XML, Excel
• Reduced invoice turn-around time & error handling
• Eliminated 100+ of manhours through process automation
• Reduced Invoice resolution time by 28 days!
Solution
Results

Getting Started with Middleware for Apps
 Demos
 Product Downloads
 Getting Started Guides
 Tutorials
 Technical Whitepapers,
Articles, Blogs
Oracle Fusion Middleware for Apps:
www.oracle.com/goto/ofm4apps

Recommended Next Steps
Product Suite:
oracle.com/SOA
Best Practices:
oracle.com/technologies/SOA/center.html
oracle.com/technology/products/SOA/SOASuite
Product Suite:
oracle.com/BPM
Best Practices:
oracle.com/technology/products/bpm

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