2. About the Speaker
Dirk Krafzig
Married, 2 Kids
Promoting SOA since 2000
Enterprise SOA: Krafzig, Banke, Slama,
Prentice Hall, 2004.
Today
SOA Coaching
IT Strategy Consulting
Slide 3
Enterprise SOA: Key Statements
SOA is a Framework for the Optimization of Enterprise Application
Landscapes
Business-orientation
Enterprise Perspective
Holistic Approach
Key Idea: Shared Services
Extract Business Functionality out of the Applications
Provide this Functionality via Self-contained Services
Foster Reuse of Services across various Applications
SOA Covers Various Aspects of an Enterprise including
Business, Organization, People
IT Processes, Functional Architecture, Technical Architecture
SOA Value Proposition
Agility
Cost Reduction
Transparency
Slide 4
2
3. Enterprise SOA: Key Statements
SOA is a Framework for the Optimization of Enterprise Application
Landscapes
Business-orientation
Enterprise Perspective
Holistic Approach
Key Idea: Shared Services
Extract Business Functionality out of the Applications
Provide this Functionality via Self-contained Services
Foster Reuse of Services across various Applications
SOA Covers Various Aspects of an Enterprise including
Business, Organization, People
IT Processes, Functional Architecture, Technical Architecture
SOA Value Proposition
Agility
Cost Reduction
Transparency
Slide 5
Conceptual SOA Architecture
Frontend Under-
Sales
Layer Portal writing Claims ...
Workbench
Process Settle Verify ...
Layer Claim Coverage
Manage
Complaint
Composition Update Get
Layer Contact Customer
Overview
...
History
Basic Contract
Party
Layer Contact
Offer
Product
...
Slide 6
3
5. Case Study 1
Slide 9
Merger: Insurance Industry
Situation
Merger of Insurance Company A and Insurance
Company B
The product portfolios are complementary
(~15% overlap)
The post-merger company intends to create an
internet portal for direct business
Objective
Achieve synergies
Manage complexity of post-merger situation
Slide 10
5
6. Two Application Landscapes
Redundant
Insurance A
Insurance B
Provision
Contract
Provision
Contract
Product
Payment
Claims …
Claims
Product
Customer Payment
Archive
Re-Insurance
Re-Insurance
Customer
…
Archive
Slide 11
Even More Redundancy?
Sales Portal A+B
Contract
Payment
…
Customer
Insurance A Product
Insurance B
Provision
Contract
Provision
Contract
Product
Payment
Claims …
Claims
Product
Customer Payment
Archive
Re-Insurance
Re-Insurance
Customer
…
Archive
Slide 12
6
7. 4 SOA Layers
Frontend Layer …
Contract Offer
Management New
Process Layer Sales …
Medical
Examination
✄
Contract
Management
Application …
Orchestration Layer Contract
Creation Tariff
Logical carving up of applications Calculation
Basic Layer Customer Product
…
Contract
Slide 13
4 SOA Layers
Claims Application Contract Management Application
Frontend Layer Claim
Registration Claim …
Regulation Contract Offer
Management New
…
Process Layer Fraud
Verification
Sales
Medical
Examination
…
Orchestration Layer Coverage Contract
Creation Tariff
Verification Calculation
Customer Contract …
Basic Layer Customer Product
Contract
Claim
Slide 14
7
8. 4 SOA Layers
2008 2010
A B AB A B AB
Frontend Layer X
X
X
Process Layer X X
Orchestration Layer
X X
Basic Layer
X
X
Slide 15
4 SOA Layers
① Contract Management
2008
2008 2010
System B will be replaced
by System A
A B AB A B AB
Frontend Layer ② New Business uses X
new portal. Existing X
X
frontends will be
decommissioned.
Process Layer X X
③ Processes for New
Business (A and B) will be
replaced
Orchestration Layer
④ New product machine
replace old tariff
X X
calculators
Basic Layer
X
⑤ Contracts will be X
migrated to database of
System A
Slide 16
8
9. 4 SOA Layers
2010
A B AB
X
X
X
X X
X X
X
X
Slide 17
Efficient Dependency Management is Key
Show impact of Process Show impact of Project
Projects on projects on SOA
Processes Catalogue services
Portfolio
Project SOA
Portfolio Services
Show milestone Enterprise
dependencies
…
against application Milestones
roadmap
Application
Portfolio
Slide 18
9
10. Case Study 2
Slide 19
IT Modernization: Media
Situation
Strong market position
IT historically grown
Competitors are entering market
New business ideas
More flexible IT
Objective
Modernize IT systems
Cost reduction
Ability to adopt business processes
IT to drive innovation
Slide 20
10
11. Process Model
Value Chain
1. Sales/Offer 2. Order 3. Production 4. Invoicing 5. Reporting
P4.1 Create customer
invoice
…
Management and Support Processes
6. A/R & A/P 7. Master Data
Management Management
Slide 21
P4.1 Create customer invoice (standard case)
As-is
Sales Staff
User Back-Office
Staff
Frontends
incl. batch & Customer Back Office
public enterprise invoicing (batch) Client
services
Trigger
1 process
Process
Services
Group insertions into
3 invoices
6 Calculate total
Composite Create, distribute
Services and archive
customer invoices customer data
Get
8
incl. terms & billing
Create and distribute 9 Archive
invoice letters invoice
2 4 conditions letters
Insertion Customer Output Archived
document Document
Basic Get advance 5 7 Create invoice
Services payments postings
Debtor
(Advance Invoice
payment) posting
Apps Administration System DMS
Slide 22
11
12. P4.1 Create customer invoice (standard case)
Transition (Phase 1)
Sales Staff
User Back-Office
Staff
Frontends
incl. batch & Customer Back Office
public enterprise invoicing (batch) Client
services
Process
Services
Composite Create, distribute
Services and archive
customer invoices
Output Debtor Archived
Insertion Customer Invoice Output
document (Advance Document
Posting Document
Payment)
Basic
Services
Debtor Invoice
(Advance posting
payment)
Apps Administration System SAP FI OMS DMS
Slide 23
P4.1 Create customer invoice (standard case)
To-be (Phase 1)
Sales Staff
User Back-Office
Staff
Frontends
incl. batch & Customer Back Office
public enterprise invoicing (batch) Client
services
Process
Services
Composite Create, distribute
Services and archive
customer invoices
Debtor
Customer Invoice Archived
Insertion (Advance Output document
posting Document
payment)
Basic
Services
Apps Administration System SAP FI OMS DMS
Slide 24
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