EAI Overview & Trends

Transcription

1 EAI Overview & Trends

2 Table of Contents 1. EAI Background 2. Integration Architecture 3. EAI Functional Model Data Integration Application Integration Process Integration Partner integration Application Connectivity 4. EAI Benefits 5. EAI Implementation 6. Q&A

3 1. EAI Background

4 The Rudiments of Middleware Until the last 4 or 5 years, integration of applications was achieved through hard coded, point to point interfaces As the number and different types of applications increased, so there was a resulting exponential increase in the number and complexity of these interfaces The advent of ERP promised to address this problem by proving ready-integrated packaged modules covering the main transactions within the business In reality, ERP implementations are not always the complete solution, as there is now a mixture of different ERP versions implemented, many of the legacy systems are still needed and new value-creating systems, such as CRM and ebiz, are in demand. In parallel with ERP implementation, large organisations have started convergence and consolidation strategies, and require consolidated information. The pressure for integration is very high In response to this demand, vendors designed technology solutions, which would simplify and speed up both the development and operation of interfaces between applications..it s the glue, and it s called MIDDLEWARE and has been around for many years, but a new breed of enhanced tools- EAI (Enterprise Application Integration) is allowing vendors to promise integrated application Nirvana...

5 Traditional ERP Vision From This.. Logistics Planning Sales and Distribution Manufacturing OLAP Accounting Sales Force Automation Human Resources Inventory Management Warehousing

6 Componentized ERP Vision To This.. Accounting / Order Entry / Inventory Management (SAP) Sales Force Automation (Siebel, Clarify) Logistics Plannning (Manugistics / I2) Human Resources (PeopleSoft) Data Warehousing (Cognos, Software AG) Production Planning (Numetrix) What is driving this? Clients want best of breed applications / packages, not one size fits all. ERP gave us real time access to information within the boundaries of a PACKAGE. EAI extends the real time access to the boundaries of the ENTERPRISE, including: CRM ebiz ERP custom packaged bolt-ons legacy applications data warehouses sales force automation

7 Extending the boundaries of ERP The ERP utopian myth dies with Internet commerce. The rapidly shifting requirements of ecommerce signal the end of hopes that a single ERP vendor can provide one-stop shopping for all business applications required by a corporation Corporations will spend between $6 million and $8 million to flexibly integrate supply chain and customer management apps into their existing environments. In 1999 and beyond, CIOs must replace and buy software with the perspective of the external customer -- not the accounting department -- in mind at all times. Forrester Report, ERP ecommerce Realities The ERP vendors are realizing that ERP packages will not integrate every process, and that competitive advantage will be found in the ability to integrate multiple best-of-breed packages. They are enhancing their software to support open component architectures : SAP s Business Framework PeopleSoft s Open Integration Framework Oracle s Network Computing Architecture

8 The E-Business Myth Myth: E-Business is about web-pages and on-line stores. Reality: E-Business is about seamlessly moving information throughout your enterprise and across enterprise boundaries. Web-pages and virtual stores are specific extensions of this concept. EAI provides the means to implement this concept.

9 E-Business - Cross-Enterprise Integration E-Business is EAI extended beyond the Enterprise. Giga have created the phase IAI to reflect this. EAI EAI E-Business EAI EAI

10 EAI and E-Biz Users Web& App Server Catalogue & Processes Business Applications (ERP / Bespoke) Master Catalogue CRM WAP / itv Business Applications (ERP / Bespoke)

11 To Summarize, EAI is driven by E-Business Reduced time to market Mergers and acquisitions Reorganizations and spin-offs Application upgrades Globalization (24 x 7 processing) Once the year 2000 comes and goes, Enterprise Integration is going to be the burning issue in MIS. -- Application Development Trends

12 2. EAI Architecture

13 Integration Architecture Myths of EAI Myth: EAI software provides the solution to integration. Reality: EAI software is a significant enabler of better integration. However, just as SAP software does not automatically lead to a better supply chain, neither does EAI software necessarily lead to better integration. EAI software, implemented as part of an Integration Architecture, along with other appropriate tools and technologies can allow projects and even companies to realize the full benefits of improved integration.

14 What is Integration Architecture? A technology and standards layer that sits between traditional IT infrastructure and traditional interface development A set of shared services and standards for interfacing that can be leveraged and reused across interfaces and even across projects. A set of tools (e.g. EAI software, schedulers, version control, etc.) and/or program components that combine to provide these services. A governance process for ensuring that interfaces adhere to appropriate standards and that appropriate standards exist for all interfacing patterns. A perspective that integration is a strategic IT competency that spans generations of IT projects.

15 Integration Architecture - Services Integration Services Extraction/Loading Data Transport / Routing Data Transformation Data Standards / Meta-Data Cross-Referencing / Translation Scheduling /Triggering Security Operational Monitoring Logging / Auditing / Controls Error Trapping / Handling Archiving Promote to Production/Change Control Team Organization Infrastructure Performance

16 Integration Architecture - Patterns Cross-Application Architecture

17 Integration Architecture - Patterns Sample Interface Characteristics Data Consistency vs. Multi-Step vs. Composite Asynch vs. synch Real time vs. batch Inbound vs. outbound vs. both One to one vs. one to many vs. many to one vs. many to many Levels of auditability / reconciliation Types of restart/correction needed Platforms in use Interface Characteristics Integration Patterns (Categories) Integration Architecture

18 3.EAI Functional Model

19 PwC EAI model (High Level Definition) Process Integration (Process Automation / Workflow) Application Integration (Message Brokering) Partner Integration (Trading Partner Management) Application Connectivity (Adapters / Connectors) Data Integration (Messaging) MetaData Services Operational Services

20 Definitions (continued) Data Integration Messaging Styles (Queuing, Publish/Subscribe), Message management, Transactionality Data Integration Messaging Styles: Publish/Subscribe - Applications publish information on a network and applications that have subscribed to information on specific topics of interest will receive that information. Subscribers can then consume the particular information that they are interested in after the information has been published. Queuing - Facilities for storing and staging messages in-transit between applications. Message management - Assuring the integrity of and delivery of messages to one or more recipient systems. Transactionality - Assuring that connections to and between applications are governed by appropriate handshakes and that changes of state are committed in appropriate logical units.

21 Data Integration - Messaging Messaging offers the speed of (near) real-time connections with the flexibility of batch connections. Application A Application B Message Queue Message Queue Batch Rigid Connections Flexible Connections Low Latency High Latency Message-Oriented Real-time

22 Definitions (continued) Application Integration Application Integration Integration rules, content-based routing, Logic enhancements, Format transformation, aggregation/disaggregation, data semantics, validation, cross-referencing Integration rules - Facility for defining when a particular transformation or logic component should be invoked. Content-based routing - Dynamic routing of data based on message envelope and/or content Logic Enhancements - Added ability to trigger transformations and/or logic based on rules and events (e.g. presence of a message, passage of time, etc.). May also be Black box business logic, not necessarily based on data transformation (e.g. pass in a customer number, return a credit check status) Format transformation - Ability to transform from one or more input formats to one or more output formats Aggregation/disaggregation - Complex many-to-one or one-to-many scenarios Data semantics - Ability to represent complex data structures and relationships amont the data. Validation - Ability to validate messages against expected structures or format rules. Cross-Referencing - Facility for capturing, storing, and accessing cross-reference data.

23 Application Integration - Message Brokering Message Brokering technology serves as an intermediate traffic cop between disparate applications and platforms. Business and data integration rules are consolidated to a shared platform providing greater visibility, greater reusability, and easier maintenance. B2B Marketplace Order Management West Order Management East Flat File IDOC Message Broker Content Based Routing Data Transformation Data Enhancement XML Flat File B2C Content Portal EDI EDI Network

24 Definitions (continued) Process Integration Business process modeling, Process automation, Process Monitoring, Workflow / state management, Real-time analysis Process Integration Business Process Modeling - Facility for modeling a multi-step business process that may involve multiple applications and/or people. Process Automation - Automation of multi-step processes, usually without human involvement. Process Monitoring - The ability to monitor various processes throughout the system. Includes process logging, status, and alerts. Workflow/State Management - Automation and tracking of multi-unit processes involving people in addition to systems. Real-time Analysis - Dashboard-like facility for monitoring and analyzing real-time performance data based on data flowing through the EAI software.

25 Process Integration (BPA / Workflow) Process Automation and Modeling tools allow for the modeling and execution of long running processes beyond the boundaries of individual applications. Workflow incorporates role-based manual tasks into the process. Requisitioner Requisition Approva l Require d? Y N Buyer Choose Vendors Request for Quote Manager Approved? N Y Send RFQ to Vendors

26 Definitions (continued) Partner Integration Partner mgmt and analysis, registry(profiles), Web Protocol Support (XML, ebxml, EDI, HTTP, SOAP), public vs. private differentiation, security (enhanced) Partner Integration Partner management and analysis - Facility for maintaining authorized business partners, types of allowable exchanges, and protocols for exchange. Registry(profiles) - Facility for manually or dynamically discovering and registering for commerce opportunities and new business relationships (e.g. via UDDI) Web Protocol Support - Support for various Internet protocol standards such as XML, ebxml, EDI, HTTP, HTTPs, SOAP, etc. Public vs. Private differentiation - Ability to tie internal processes to a shared process involving business partners, while still maintaining the confidentiality of internal processes. Security (enhanced) - Increased security features recognizing the additional legal and process complexity of e-business (e.g. authentication, non-repudiation, encryption, authorization).

27 Partner Integration Trading Partner Management Trading Partner Management provides additional functionality for managing the business objects, protocols, and security rules to connect to the applications of business partners. SAP Internal Enterprise Business Unit A McCugh Manugistics Extended Enterprise External Customer Customer Supplier Business Unit B Business Unit C Business Unit C Internal Integration EAI Partner Integration Supplier E-Market Supplier Customer Joint Venture

28 Definitions (continued) Application Adapters/Connectors Data Level - Utilizes a database interface when there is no requirement to access application logic since information may be extracted from (or updated to) the application at the data level without interfering with referential integrity. Data level interfaces such as (e.g., JDBC or ODBC) are generally used. Data Level connectivity can only be used when all referential integrity is maintained at the database level and/or all validations are repeated in the Adapter. API/Method Level - Utilizes interfaces exposed by custom or packaged applications, when there is a direct need to access application logic or when the data relationships and integrity are maintained at the application level. User Interface Level - Utilizes the user interface of an application (also known as screen scraping). Often used when API Level connectivity is desired but not available. Note: These are just the high-level categories. Each application may use a unique implementation of one of these approaches or even an approach not listed above. Adapter/Connector Development Kits - Adapters/Connectors often come with Development tools which allow for customization of the Adapters/Connectors. They allow for changes in existing adapters/connectors and the creation of new ones.

29 Application Connectivity Adapters / Connectors Adapters or Connectors provide pre-built connectivity to a wide variety of applications and platforms. Sales Force Automation Financials Mainframe/VSAM Marketing Logistics NT/Sybase SAP ALE HTTP Oracle SQL AS/400, OS/400 Order Entry SAP BAPI ebxml AS/400, OS/400 Unix/Oracle FTP AS/400, OS/400 Call Center Seibel COM CORBA Mainframe/VSAM Purchasing E-Business Unix/Oracle - Application Adapters / Connectors

30 Definitions (continued) Operational Services Administration, security, system monitoring, load balancing, scheduling Operational Services* Administration - Facilities for modifying the configuration of the system. Security - Facilities for configuring security settings and support for security standards System monitoring - Facilities for monitoring the health of the system. Load balancing - Facilities for allocating the processing work to hardware with available resources. Scheduling - Facilities for scheduling the execution of tasks. *Operational services may also be provided by API s for third-party system management tools.

31 Definitions (continued) MetaData Services Directory Services, MetaData Repositories, Data Standards MetaData Services Directory Services - Services for locating and tracking distributed objects. MetaData Repositories - Facilities for storing, accessing, and reporting on metadata (about data structures and business rules) Data Standards - Support for third-party data standards (e.g. XML, EDI)

32 EAI Functional and Technical Views Functional View Technical View Inter-Enterprise Process Automation Business Process Automation Business Integration Logic Application Content Transformation Communication Services MetaData Services Operational Services Application Connectivity Connectors Business Process Automation Service Components Application Servers Core Middleware Message Brokers Metadata (XML / XSL(t) ) Enterprise System Management

33 Connectors EAI Waves EAI Wave 2 EAI Wave 1 Business Process Automation Service Components Application Servers Core Middleware Message Brokers Metadata (XML / XSL(t) ) Enterprise System Management Connectors The EAI product landscape is evolving from packages which we classify as EAI Wave 1 to frameworks / platforms which we classify as EAI Wave2 EAI Wave1 products are packaged based which you need to configure and extend, based on common approaches but proprietary implementations, and typically utilise proprietary process based runtime environments and connectors EAI Wave 2 products are open standards based flexible integration frameworks that benefit from proven scalable, reliable execution run-time environments and are evolving to provide the functionality of EAI Wave 1 products and include EIP functionality.

34 EAI Trends PwC View Many large organisations are endorsing an EAI strategy at corporate and departmental levels with the objective of being able to integrate applications faster and cheaper and react quicker to changing business requirements The EAI market is moving on from just messaging broking, or EAI Wave1, to...eai Wave2, which includes: Business Process Automation tool-sets for use in A2A and B2B integration where public / private processes can be defined and shared with trading partners. These integration layer business processes can also be invoked in B2C and B2E integration The move to an open standards based framework hosted on an application server, rather than a packaged based tool. J2EE is the most dominant framework at the moment, but Microsoft.NET will be a significant player in the near-medium term future. The foundation for other products, such as portal frameworks. Application Package Vendors are embedding EAI functionality SAP, I2, JDEdwards, etc Industry Standards are Evolving BUT: Various XML initiatives Still a maturing market place. Vendor consolidation will continue.

35 4. EAI Benefits

36 Benefits of EAI Improved Flexibility Business Benefits vs. IT Benefits üact as intersystems hub üact as front end to customer or in-house PC or terminal systems Better Planning, Faster Decision Making ürouting and connection questions become business questions ürapid implementation, Minimal risk üless management time with all related decisions üonce implementations are complete, less time used by technicians Organizational Learning üless technical expertise needed üit staff can be used on more important/pressing issues üless time used debating connectivity issues Improved Response to Information üincreased ability to take timely action übetter able to respond to competitive pressures übetter able to respond to market opportunities

37 Case Study #1 Total Labor Costs WITHOUT Integration Broker (est.) Cost Savings Total Labor Costs WITH Integration Broker Savings in First Three Months of Use Product Cost of Integration Broker Implementation $436,800 $332,800 $104,000 $215,600 Insurance company going public New core policy system needed to integrate with all back-office systems estimated 30-40% of budget would be spent on point-to-point interfaces MVS/DB2 environment, 90% batch 8 applications integrated since, new functionality discovered Savings as a percentage of Implementation Costs 48% Source: Gartner Group

38 Case Study #2 Cost Savings Total Labor Costs WITHOUT Integration Broker (est.) Total Labor Costs WITH Integration Broker Savings in First Nine Months of Use Product Cost of Integration Broker Implementation $445,090 $232,400 $212,690 $261,730 Insurance company needed to implement new fixed annuity application, integrated with legacy systems Mainframe/UNIX environment, 75% batch Complex integration development (near-realtime interfaces) estimated to take 12 weeks less than had they used point-to-point Savings as a percentage of Implementation Costs 81% Source: Gartner Group

39 Case Study #3 Total Labor Costs WITHOUT Integration Broker (est.) Cost Savings $3,000,000 Global leader in mail, messaging, and business communications wanted to consolidate its call center operations Total Labor Costs WITH Integration Broker Savings in First Five Months of Use Product Cost of Integration Broker Implementation Savings as a percentage of Implementation Costs $2,100,000 $900,000 $955,000 94% IMS DB/DC custom system on IBM mainframe, CICS packages on another IBM mainframe, Manman on DEC system, Unisys system Integrate with Siebel on NT SAP implementation starting on HP-UX or MVS using DB2 Source: Gartner Group

40 Case Study #4 Total Labor Costs WITHOUT Integration Broker (est.) Cost Savings $3,531,040 Service bureau providing clearing and settlement services for financial transactions Total Labor Costs WITH Integration Broker Savings in First Twelve Months of Use Product Cost of Integration Broker Implementation Savings as a percentage of Implementation Costs $2,484,000 $1,047,040 $502, % Inter-Enterprise reformat and route data between organizations 400 data items for 40 different segments in the database COBOL and DB2 Source: Gartner Group

41 5. EAI Implementation

42 EAI Vendor Field Guide Process Integration (Process Automation / Workflow) Application Integration (Message Brokering) Data Integration (Messaging) Partner Integration (Trading Partner Management) Application Connectivity (Adapters / Connectors) GE-GXS

43 EAI Vendor Field Guide

44 EAI Roadmap Within the three implementation Stages are nine Phases that contain key dependencies and linkages. Information is also fed back to prior phases to facilitate continuous refinement of the Strategy and Architecture. Launch Develop Deploy Pro forma strategy Technology Evaluation & Selection Pro forma Architecture Strategy Pilot Integration Architecture Roadmap Plan long term roll-out Enterprise Roll-out Maintenance and support Feedback from implementations and roll-out to Architecture and Strategy EAI is an endless journey that will require continuous refinement of the Strategy and Architecture as new applications are integrated and technologies evolve.

45 Challenges of EAI EAI cannot support plug and play when data structures and/or business rules are fundamentally inconsistent between systems. EAI requires up-front design and architecture to achieve the benefits and ensure enterprise level scalability. EAI Middleware tools differ in their quality of support for certain enterprise-class functionality (e.g. error handling, promote to production, security). Every environment will have different requirements and challenges.

46 Design/Architecture Considerations A paradigm shift: Batch process/batch windows ----> Messaging System monitoring and administration Adapters/Connectors Exception Handling Cross-Department Alliances Process sequencing User Interface Security Audit Trails Exception Handling Data Transformation Content-Based Routing Hub vs. Distributed Publish & Subscribe Message Types/Formats Exception Handling Cross-Organization Alliances (Partner Management) User Interface Message Standards Data Encryption Security Audit Trails Exception Handling

47 6. 국내 EAI 추진현황

48 Questions & Answers