IBM SOA EXECUTIVE SUMMIT
Sydney, 17 July 2007
IBM SOA
Business Process
Management Enabled by SOA
Deon Newman
Director, SOA Marketing
© 2007 IBM Corporation
IBM SOA
CEO’s Cite Innovation as Top Priority for Business
Business Model Innovation delivers the greatest returns
Results of 765 CEO interviews
worldwide:
Out Performers place 2X emphasis
on Business Model innovation than
under performers
- CEOs are under intense pressure to
innovate
- Corporate culture is critical to
sustained innovation
- Business model innovation is the new
strategic differentiator
Source: IBM 2006 Global CEO Study
3
IBM SOA
Which key business priorities will your IT organization implement or
support in 2007?
Note: Multiple responses allowed.
Data: InformationWeek Research Outlook 2007 study of 300 business technology professionals
4
IBM SOA
Inflexible and Outdated Processes
Are the Root Cause of Many Corporate Disasters
Major Airline strands passengers on runway for 10 hours
– no food, overflowing toilets
Market-leading cell-phone
provider exits market after small
fire
Why? Inability to modify processes on the fly.
5
IBM SOA
Business Process Management is a Discipline…
BPM Solves:
Processes aren’t
documented
Bottlenecks prevent
efficiency
Complex integration
across multiple processes
Limited visibility
into performance
KPIs not
defined
Process change
is cumbersome
BPM Includes:
Integration
Modeling
Monitoring
Software that Enables BPM
Forms
Rules Engine
Workflow
Models
Process Knowledge
Metrics
Expertise that Delivers BPM
Policies
Business Logic
Methodology
BPM governs organizational and operational activities
6
IBM SOA
Optimizing the business is the ultimate goal
lower
higher
BPM adoption maturity
Process
optimization
Transformation
Business insight
Value to
shareholders
and
competitiveness
Process
monitoring
Compliance &
consistency
IT agility
higher
Process
execution
SOA
Efficiency
Knowledge
lower
Process
modeling
Workers, supervisors and managers
CIO
Customers and partners
CFO
CXO
CEO
Stakeholders
7
Entire contents © 2007 Forrester Research, Inc. All rights reserved.
IBM SOA
BPM Starts and Ends with Business Value
Execute
Define
Understand
 Track metrics to measure process performance
 Harvest data to optimize process performance
 Achieve insight and receive alerts to small problems
before they become big ones
 Deploy on a SOA platform
 Automate processes improve profitability
 Facilitate human interaction to increase work efficiency
and reduce errors
 Align business strategy and execution
 Communicate effectively between business and IT
 Collaborate to improve business process design
 Leverage industry standards and frameworks
 Assess, capture, and analyze core behavior
 Understand value processes
 Identify redundant, duplicated, and inefficient processes
Process Governance
8
Business Strategy
Collaboration
Optimize
IBM SOA
BPM and SOA – Better Together
“…SOA and BPM initiatives…are more
successful and the benefits are compounded
when they are united”
“Organizations that align their BPM and SOA
initiatives in 2007 will double their likelihood of
becoming an industry leader by 2011”
Source: BPM and SOA, Better Together, Paolo Malinverno, Janelle B. Hill, Gartner, Feb 2007.
9
IBM SOA
….and here’s why
SOA improves how you
design, manage, and
optimize your business
processes by enabling:
SOA at the core of BPM:
Business
Processes
External
• Solution Building
Efficiency
• Reuse of existing
assets
• Flexibility in change
10
Services
(Application &
Information)
Operational
Systems
(Application &
Information Assets)
Application
Application
Content
Data
Registry
IBM SOA
IBM & SOA at Wachovia
BPM & SOA Drove
Business and
IT Success
11
IBM SOA
Five Flexible Starting Points for BPM
Customers can start BPM in different ways
Business Process Management
12
Modeling &
Simulation
Business
Activity
Monitoring
Process
Automation
Rules and
Pre-built
Frameworks
Content
Centric
Processing
Design and
simulate
business
processes
Track performance,
gain insight, and take
action
Choreograph
processes
across
applications and
systems
Manage process
rules and accelerate
design and
implementation time
Manage processes
where content is
used as input for a
decision or
produced as the
output
IBM SOA
Business Level Modeling and Simulation
Modeling &
Simulation
 Use ROI reports
to compare and
analyze Results
 Model “what if” scenarios
 Use simulation capabilities to:
- Assess risk mitigation
- Make investment decisions
- Calculate value of improvements
 Import Visio Models
13
WebSphere Business Modeler
Iterative and
continuous
improvement
IBM SOA
1. Common
Definitions
Modeling &
Simulation
2. Classification
Framework
IBM Process Models
3. Models in
WebSphere
 17 Industry-Specific Process Maps and
Models based on IBM best practices
and the Standards-Based Process
Classification Framework
 Helps clients kick-start processoptimization engagements.
Support for Visio Documentation
 Both Modeling tools support leveraging
existing Visio documents
 WebSphere Business Modeler can import
Visio drawings
 FileNet P8 Process Designer contains Visio
BPMN palette
14
IBM SOA
Identify activities and areas for improvement
 Driving force behind BPM Adoption
BPM Disguised as:
Product Lifecycle
Management
- Synchronize SAP ERP system with various
production plant software systems
- Manual processes requiring data gathering,
was time consuming and error prone
(Plant Operations)
Supply Chain
(Inventory
Management)
Modeled processes for visibility
Aligned business and technology priorities
Used adaptors to integrate custom apps with SAP
Deployed improved processes on an SOA
Rapid Solution Deployment - 4 Months from Concept to Implementation
Reduced potential human error with process-controlled automation
15
IBM SOA
Business Activity Monitoring
Scorecards
Business
Activity
Monitoring
Key Performance Indicators
for business units
Collaboration
Work with teams
to resolve
situations
Business Alerts
Notification of situations
that require response
Reports & Analyses
Understanding trends by
combining real-time
performance and historical
information
External Information
Information affecting
performance
16
WebSphere Business Monitor
IBM SOA
Expanded BAM
Business
Activity
Monitoring

Monitoring Third Party Systems

Providing adapters and support for
pulling information from a variety
of sources.
Industry Dashboards


Templates for industry verticals including
key methodologies
Predefined, full configurable dashboard
templates
Human Task Mgmt.



17
BPM Dashboards for human task
monitoring and management
Monitor human tasks in process
BPM Dashboards will provide an
optimized experience for those roles
responsible for managing the people
side of process.
IBM SOA
NYS Dept of Taxation and Finance
Business Challenge: NY State Dept of Taxation and
Finance (NYS DTF) processes 11 million personal and 2
million corporate returns annually using aging technology
that can’t keep up with the demands of citizens and users.
NYS DTF needs systems and tools that are flexible, permit
faster change and reduce overall costs.
Solution: Leveraging SOA and BPM, NYS DTF is rapidly transforming their systems, data, people,
and business processes to be more functional, flexible and responsive to citizens, users and legislation.
Traditional mainframe batch processing is shifting to transactional. Manual processes are transforming
to automated business processes. Real-time business activity monitoring is replacing daily printed run
reports.
Results: Rapid modernization of legacy batch systems to transactional. More channels to enhance
voluntary compliance. Web services and XML linkage to IRS for corporate taxes. High component
reuse, lowered costs. Reduced errors and business exceptions. Higher value business metrics.
Implementation Details: WebSphere Business Modeler, Business Monitor, Process Server,
Integration Developer, Application Server, Flat File Adapter, Commerce, DB2 V9 pureXML, DataStage,
Workplace Forms, CICS Transaction Gateway, Rational Suite, Tivoli Composite Application Monitor.
18
IBM SOA
Process Choreography and Automation
Process
Automation
 Runtime for end-to-end SOA-based
process automation
Transform your
business from this…
 Flexible, reliable, scaleable, secure
 Integrated ESB for Range and Reach
 Seamless access to all available
services
 Robust Human and System-centric
BPM Capabilities:
 Human to Human; Human to System;
System to System
BPM for the Mainframe
19
…to this
IBM SOA
BPM for the Mainframe
Process
Automation





20
High powered process engine on a
high powered platform
New business user client generation
in WebSphere Integration Developer
for processes deployed on z/OS
New Adapters for z/OS: e-mail,
JDBC, FTP, Flat File, SAP
BPM and SOA governance on the
Mainframe through WebSphere
Service Registry and Repository
IBM Content Manager with Process
Server added content-centric
capabilities
IBM SOA
Industry Frameworks

Rules and
Pre-built
Frameworks
Service-Oriented Business Solutions
Frameworks
Based on Industry Standards
Combination of IBM and Business
Partner Assets


Industry Content Packs


Business Service Templates to
accelerate deployments
Expanded industry coverage for
Banking and Telecommunications
WebSphere Business Services Fabric



21
National Language Support
Alignment with IBM SOA Foundation
Additional Standard Operation Environments
IBM SOA
Content Centric Processing
Content
Centric
Processing
Content
Imaging/Capture
Doc Mgmt
Web Content Mgt.
Process
Dev Framework
Doc Routing
Workflow
22
Compliance
Records Mgt.
Email Mgt.
Discovery
IBM SOA
WebSphere & FileNet Roadmap
BPM Enhancements
Innovation
Investment Protection
Integration
•Common Service Registry and
Repository
•Common Modeling, Monitoring Tool
•Enhanced run-time integration
Interoperability
• WebSphere & FileNet Processes
can invoke each other
Q4 2006
23
3Q 2007
2008
IBM SOA
BPM Enabled by SOA Services

BPM
Expertise



Enhanced BPM capabilities and services
to address any point in the SOA journey
Integrated business solutions to
accelerate deployment of new business
processes
Deep industry expertise
Consulting methods, tools and reference
materials
BPM Methodology




24
Comprehensive “How-To” reference guide with
services
Covers both the business and IT sides of BPM
Six Sigma, Lean, and other methodologies in
combination with BPM software
Supports Organizational and Operational
Governance
IBM SOA
Summary of BPM Announcements
Expertise
 Enhanced BPM Methodology
 GBS Offering: “BPM Enabled by SOA”
 Standards Based
Process Models
 Academic Initiative
 WebSphere / FileNet BPM
Roadmap
 FileNet P8 4.0
Business Process Management
Modeling &
Simulation
 Expanded BAM
 New Industry Dashboards
Business
Activity
Monitoring
Process
Automation
Rules and
Pre-built
Frameworks
 Industry Content Packs, Industry
Frameworks,
 WebSphere Bus Services Fabric
 BPM on Mainframe
25
Content
Centric
Processing
IBM SOA
IBM Expands BPM Value Proposition
IBM BPM Enabled by SOA
WebSphere BPM
Systems
FileNet BPM
People
Documents
Content Folder
 Form
 Images, …
IBM a Leader!
IBM a Leader!
IBM a Leader!
(Forrester IC-BPMS
4Q 2006)
(Forrester HC-BPM for
Insurance 3Q 2006)
(Forrester ECM Wave 2006
– Document Centric BPMS
Wave Pending Q2 2007)
IBM is now the clear market leader in BPM with the most comprehensive
set of software capabilities and business expertise
26
IBM SOA
IBM has a complete BPMS
“IBM is the first and so far the only
infrastructure software supplier to offer a
complete BPMS supporting the end-to-end
lifecycle from analytical modeling to
performance management and optimization –
based entirely on service oriented
architecture.”
Bruce Silver, Bruce Silver Associates – The 2006 BPMS Report
27
IBM SOA
IBM Leads in BPM Enabled by SOA
 Business Expertise:
- BPM Enabled by SOA Readiness Assessment (www.ibm.com/SOA)
- 1000+ consultants trained in BPM Methodology and BPM Enabled by
SOA Engagement
- 20 BPM Training and Education classes available
 Technical Leadership
- Breadth of Offerings from Tooling to Runtime; From Dashboards to
BAM; Modeling, Simulation, Choreography, Frameworks, and ECM
- All supported by SOA
 Market Recognition:
- Leader in Gartner BPA MQ
- Leader in Forrester Integration, Human, and Content centric BPM WAVES
 Vibrant Ecosystem
- 300+ BPM Business Partners
– 4000+ pre-builts assets in the SOA Business Catalog
28