e-business Infrastructure

Transcription

1 e-business Infrastructure Technology for Business Kevin Malone Software Technical Strategist MSc (Computer Science) Fellow of The British Computer Society Fellow of The Institute of Engineering and Technology IBM Software UK 26 th February 2010 Software Group Americas IBM Global Services Systems and TechnologyGroup 400,000+ EMPLOYEES 170+ COUNTRIES Europe, Middle East, Africa $100B+ ANNUAL REVENUE Global Financing Research Industry Communications Distribution Financial Services Industrial Public..... Asia Pacific Geographies

2 Historical Cycles 1771 INNOVATION The Industrial Revolution Panic 1797 DEPLOYMENT Interruption Frenzy Synergy Maturity Formation of Mfg. industry Repeal of Corn Laws opening trade Steam and Railways Panic 1847 Joint stock companies Industry exploits economies of scale Steel, Electricity and Heavy Engineering Depression 1893 Separation of savings, investment banks SEC Oil, Automobiles and Mass Production Crash 1929 Build-out of Interstate highways IMF, World Bank Information and Telecommunications Dot.com Collapse Current period of Institutional Adjustment Source: Technological Revolutions and Financial Capital, Carlota Perez, 2002 The Evolution of the Corporation The international era -- exporting The multinational era -- replicating 20th Century 20th Century Today - a globally integrated enterprise business without borders 21st Century

3 In 2001, there were 60 million transistors for every human on the planet... by 2010 there will be 1 billion transistors per human each costing 1/10 millionth of a cent. In 2005 there were 1.3 billion RFID tags in circulation by 2010 there will be 33 billion.

4 Worldwide mobile telephone subscriptions reached 3.3 billion in 2007 and expected to reach 4 billion by the end of 2008 One billion camera phones were sold in 2007, up from 450 million in G devices growing 30% annually.

5 An estimated 2 billion people will be on the Web by and a trillion connected objects cars, appliances, cameras, roadways, pipelines comprising the "Internet of Things." U.S. CPG companies and retailers lose $40 billion annually due to inefficient supply chains.

6 In North America, up to 22 percent of total port volume is empty containers. The Port of Jersey has 100,000 empty containers sitting in storage worth nearly $200 million. In the United States alone, 2.2 million dispensing errors are made a year because of handwritten prescriptions.

7 The U.S. healthcare system loses more than $100 billion a year to fraud. In a small business district in Los Angeles, driving around for parking in one year generated the equivalent of 38 trips around the world, burned 47,000 gallons of gas, emitted 730 tons of carbon dioxide. Congested roadways cost $78 billion annually in the form of 4.2 billion lost hours and 2.9 billion gallons of wasted gas.

8 In the U.S., a typical carrot has traveled 1,600 miles, a potato 1,200 miles, a beef roast 600 miles grocers and consumers throw away $48 billion worth of food every year. In distributed computing environments 85% of computing capacity sits idle. In six years the power consumption of a server has risen from 8 watts to more than 100 watts per $1,000 worth of technology. On average, for every 100 units of energy piped into a data center, only 3 units are used for actual computing. More than half goes to cooling the servers.

9 What are Businesses trying to Achieve? People Processes Information Connectivity Services Partners New Applications Existing Applications & Data Phases of e-business Adoption Service Oriented Architecture ACCESS Processes Bounded by Functions INTEGRATION Processes Extend Beyond Functions ON DEMAND Business Led Processes Extend to Value Nets A B C A B C A B C Access Publish Transact Integrate Internally Integrate Externally Adapt Dynamically "An on demand business is an enterprise whose business processes integrated end-to-end across the company and with key partners, suppliers and customers can respond with speed to any customer demand, market opportunity or external threat." "an evolutionary journey"

10 Horizontal Integration is the New Challenge Bridging the gap between business transformation and IT Customer Connections Internal Systems Supplier Networks World Wide Web Web Server Databases Transactions People Process Information Where We Are Heading Case Study: Procure to Pay Process Customer Division Shared Service Supplier Outsourced

11 Mesa Data NEW Soundscan NPD Group AIG Warranty Guard 1 OTHER APPS - PC AP - Collections/Credit TM - Credit Card DB INVENTORY CONTROL APPS - PC Code Alarm Debit Receivings Devo Sales Display Inventory In Home Junkouts Merchandise Withdrawl Promo Credits RTV Accrual Shrink AP Research - Inv Cntrl AP Research-Addl Rpts Book to Perpetual Inventory Close Out Reporting Computer Intelligence Data Count Corrections Cross Ref for VCB Dnlds Damage Write Off Debit Receivings DFI Vendor Database Display Inventory Reconcil Display Inventory Reporting INVENTORY CONTROL APPS - PC DPI/CPI IC Batching Inventory Adj/Count Correct Inventory Control Reports Inventory Levels Inventory Roll Merchandise Withdrawl Open Receivings PI Count Results PI Time Results from Inv Price Protection Sales Flash Reporting Shrink Reporting SKU Gross Margin SKU Shrink Level Detail USM VCB Downloads Prepared by Michelle Mills ACCTS REC APPS - PC 990COR Bad Debt Benefical Fees Beneficial Reconcil JEAXF JEBFA JEBKA JEDVA JESOA JEVSA JEVSF NSF TeleCredit Fees Maininframe PC/NT apps Unix apps 3rd Party Interface AIS Reports AIS Calendar Vendor Setup Budget Analysis Tool Insertions Orders Vendor Maintenance Printer Maintenance Printer PO Process Servers (Imaging) S20-Sales Polling IT Realities S01 - Sales Corrections Sterling VAN Roadshow Mailbox (Value) I06 - Customer Order I13- Auto Replenishment Depository Banks UAR - Universal Account Reconcilliation I17 Customer Perceived In-Stock I15 Hand Scan Apps Due Dates Stores & Mrkts Broadcast Filter General Maintenance Invoice App Print Costing E13 E3 Interface Fringe PO I06 Warehouse Management Smart Plus Smart Plus Launcher M03 - Millennuim 3.0 S04 - Sales Posting P16 - Tally Sheet M02 - Millennium S07 - Cell Phones D01 Post Load Billing I03 Return to Vendor S06 - Credit App Stock Options L02-Resource Scheduling (Campbell) P15 EES Employee Change Notice Equifax A04 - Cust Refund Chks I12 Entertainment Software E01-EDI S09 - Digital Satellite System L01-Promo Analysis Resumix Cobra CTS ACH Prodigy Banks - ACH and Pos to Pay Plan Administrators (401K, PCS, Life, Unicare, Solomon Smith Barney) E02-Employee Purchase Scorecard - HR P09 Bonus/HR P14 On-line New Hire Entry P09 - P17 Cyborg Intercept V03- Mkt Reactions POS S08 - Vertex Sales Tax S03-Polling P01- Employee Masterfile Frick Co V04-Sign System Spec Source SKU Tracking NPD, SoundScan Spec Source V01-Price Management System AAS CTO2.Bestbuy. com U18 - CTO B01 - Stock Status I05 Inventory Info I04 Home Deliveries I09 Cycle Counts I10 Cycle Physical Inventory S02 - Layaways S11 - ISP Tracking I11 Price Testing L60 MDF Coop V02-Price Marketing Support I02 - Transfers Supplier Compliance I01 PO Receiving Washington, RGIS, Ntl Bus Systems X92-X96 Host to AS400 Communication SKU Performance SKU Selection Tool ASIS Store Monitor Texlon 3.5 U16-Texlon I35 - CEI Rebate Transfer ELT PowerSuite Sign System CopyWriter's Workspace I18 SKU Rep G02 - General Ledger B02 Merchandise Analysis I55 SKU Information K02 Customer Repair Tracking NARM I14 Count Corrections EDI Coordinator I07 Purchase Order I35 Early Warning System Valley Media Arthur Planning Ad Expense Store Scorecard Store Budget Reporting BMP - Bus performance Mngt Merch Mngr Approval Batch Forcasting Ad Measurement AIMS Admin AIMS A05 - AP Journal Entry Tool Kit Ad Launcher Data Warehouse (Interfaces to and from the Data Warehouse are not displayed on this diagram) AIMS Reporting PSP In-Home Repair Warranty Billing System Star Repair C02 - Capital Projects F06 - Fixed Assets Optika SiteSeer US Bank Recon File Connect 3 Connect 3 Connect 3 PDF Transfe Reports Cash Over/ Short S05 - House Charges ICMS Credit Cellular Rollover Cash Receipts/Credit Misc Accounting/Finance Apps - PC/NT COBA (Corp office Budget Assistant) PCBS(Profit Center Budget System) Merchandising Budget "just good enough" infrastructure isn't

12 Quality of Service Requirements SIMPLE INTERMEDIATE ADVANCED Scalability 200 2,400 18M Transactions volume/day Interoperability Number of participants applications types Availability $1K $200K $20M Cost of outage/human resources Security $1K $2M $20M+ Risk of Breach Flexibility 5% 10% 75% % of data Required Open Standards are not a Luxury Universal Tool Platform Standards Adoption Web 2.0 HTML Web Services Leadership Industry Participation XML J2EE Open Platform Open Source Web Services Standards Development Open Internet Windows Linux AIX Solaris HP-UX OS/400 zos Enable integration across value-net / Increase deployment speed / Reduce costs

13 The Virtual Workplace People 58% of IT Executives consider their company to be a virtual workplace 90% of employees work in locations other than headquarters Between 60% and 70% of employees work in different locations from their managers The number of virtual workers has increased by 800% over the past five years Source: Nemertes Research, Inc. Today, many people work like this... People

14 People People could work like this personalised and integrated with the business role Virtualization of Integration Desktop of the Future People Portal MashUp People Processes Information

15 What Is Web 2.0 People Source: Dion Hinchcliffe s Web 2.0 Blog Web 2.0 Technologies the face of SOA People optimized Connecting People Process optimized Processes and transactions Information optimized Publish Information Point Integrated Dynamic (Web 2.0)

16 Process Evolution of integration technologies Direct Connectivity Message Queuing Traditional Message Brokering Enterprise Service Brokering Integration logic Middleware Lines of code Application Integration logic Application Middleware IntegrationLogic Application Service Oriented Middleware Application Services Degree of Flexibility and Re-use Information The Digital Universe Information Created, Captured and Replicated 6-Fold Growth in Four Years Exabytes Exabytes About 25% of the digital universe is original (pictures recorded, keystrokes in an , phone calls etc.), while 75% is replicated s forwarded, backed up transaction records, etc.) Source: IDC, 2007 Digital Content: In 2006, amount created was about 3 Million times more than all the information that is in all the books ever written

17 How We Deal With All This Content Information workers spend (hours per week): 14.5 hours reading and answering hours creating documents 9.6 hours searching for information 9.5 hours analyzing information Information An organization employing 1,000 knowledge workers loses 2.9 million annually just in time wasted having to reformat information as they move between applications Not finding the information costs the same organization an additional 2.7 million per year Source: IDC, 2007; IBM There is an explosion in information and real world events Information 1.3B RFID tags in B RFID tags by 2010 WW Information volume doubling every two years Capital market data volumes grew 1,750% Billion internet users by B mobile phone users in 2007 Government and Military

18 Information On Demand Value Information Creating value with information Information on demand Information as a service Gaining insight Managing content Managing transactions Time Information as a Service Moving from a Project-based to Flexible Architecture Information Tools & Applications Dashboards In-line, Real-time Insight Standards-based Metadata Management Data & Content Business Context Insightful Relationships Information as a Service Master Data, Entity Analytics, Decision Portals, Executive Dashboards, Industry Data Models Extracted or Real-time Heterogeneous Applications & Information

19 What are Businesses trying to Achieve? People Processes Information Service Oriented Architecture Partners New Applications Existing Applications & Data ibm.com / software

20 The New IT Infrastructure Customer Connections Internal Systems Supplier Networks World Wide Web Web Server Databases Transactions End-to-end integration of transactions Leverage existing applications and data Applications act as processes Workload optimized to any server Scalable, available, reliable, secure and manageable IBM Software Build ON demand business infrastructures with IBM Software Thank You uk.ibm.com Visit ibm.com / software 2004 IBM Corporation