as-a-service (SaaS) = On-demand Subscription applications running on Cloud servers Cloud ecosystems where SaaS applications are created and run

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1 How Cloud Computing Will Change Business Process Management George Barlow CEO Cloud Harbor, Inc. June 30, 2010 Some Terms Cloud Computing There is a clear consensus that there is no real consensus on what cloud computing is. Irving Wladawsky Berger, Chairman Emeritus IBM Academy of Technology Delivering browser-centric applications from server resources via internet protocols George Barlow, CEO Cloud Harbor, Inc. for today s session Software-as as-a-service (SaaS) = On-demand Subscription applications running on Cloud servers Platform-as as-a-service (PaaS) Cloud ecosystems where SaaS applications are created and run Infrastructure-as as-a-service (IaaS) Servers, storage, operating systems, firewalls, etc. as utility computing 2

2 Cloud Delivery Ecosystem Source: Cloud Computing. What is it? How will it help me? Tim M. Crawford, Director of IT Operations, Stanford University Computerworld SaaSCon 2009, Presentation 3 Market Forces Converge Mass Market User Affordability Unified Platform Composite Applications Utility Computing Vendor Affordability 4

3 About Software-as as-a-service SaaS enterprise application market growing 27% CAGR; $6.4B + By 2012 Cloud Computing will capture at least 25%** of IT spending ng SaaS benefits include: 1. Reduce project risk by minimizing up-front capital investments 2. Linear cost scaling not incremental hardware/software investments 3. Rapid ROI from fast deployment and pay-as as-you-go pricing 4. No on-going human capital costs for data center operations 5. No on-going software and hardware maintenance fees 6. Freedom to focus on core business with scarce IT resources 7. Frequent software updates/patches without business disruptions 8. Lower training and desktop configuration management costs 9. Consistently lower TOC 10. Typically better reliability, security and interoperability * Gartner, October, 2008 ** Saugatuck Technologies, March, About BPM BPM market among fastest growing 30% CAGR; 2009 $2.5B+ BPM saves money, saves time and adds value BPM delivers short-term term ROI and long-term value BPM enables companies to: 1. Collaborate between workers, systems and information to create shared s understanding of how business results can be optimized 2. Consistently execute the optimal process 3. Coordinate and manage the handoff of work across boundaries 4. Provide real-time feedback to line managers about work in progress (WIP) to support inline process adjustments 5. Monitor process outcomes to performance targets and continuously refine and adjust process flows and rules 6. Collaborate with IT professionals throughout the process life cycle cle * Average of IDC, Forrester, Gartner and Data Monitor estimates 6

4 SaaS Growth Drivers - Image Courtesy of Rally Software 7 Process Defines Cloud Computing Source: Saugatuck Technologies,

5 Cloud BPM Platform Needs A Full Featured BPM Suite Platform for creation/execution of web-based business applications Business processes, documents, collaboration, rules and analytics Multi-language and internationalization support Pre-built easy-to-change applications immediately available A Process-driven Business Ecosystem Single integrated platform for all subscribers Single set of standards simplifies interoperability Common architecture optimizes performance inter/intra enterprise Increases available pool of trained consultants and employees Supports SOA, Web Services and reusable business logic Allows inter/intra enterprise collaboration and process execution Can integrate with other SaaS applications (salesforce.com, etc.) Can integrate with enterprise systems (SAP, ORACLE, etc.) 6/24/ BrainStorm SF June 30, 2010 An Ecosystem Overview Web Subsciption Signup Automated Billing Site Portal, Processes, Applications and Document Respository Internet Web Services Client On-Premise Site X-ESB Agent Server Appliance Web Access to Subscriber Site 6/24/2010 BrainStorm SF June 30,

6 Cloud BPM Constituencies Application Subscribers Organizations using only pre-developed BPM applications Expected to be the largest group Enterprise BPM Users Organizations creating BPM applications from scratch May also be on-premise and/or appliance users Application Developers ISVs creating applications for subscribers Applications may be offered for free or for subscription Service Providers A community offering BPM & application services to subscribers Professional Services, Training, Technical Writing, etc. 6/24/ BrainStorm SF June 30, 2010 Cloud Delivery Platforms Source: Learning to Change Steven John, CIO, H.B. Fuller Company Computerworld SaaSCon 2009, Presentation 12

7 Product Feature Needs Enterprise-capable software Standards Support BPMN BPEL XPDL vs. BPDM JSR-168 & WSRP Multi-tenancy tenancy with high security Events and messaging infrastructure SOA/Web Services support Electronic forms Collaborative Capabilities Web 2.0/3.0 collaboration support IM w/ presence detection Mobile support Forums / Wikis RSS feeds Document repository / content management interfaces Integrated self-service service features Help and video chat Sign-up / Billing e-training 13 Product Delivery Needs SaaS Offerings Concentration on customer service as highest principle Concentration on driving costs out of the business model Concentration on playing nicely with others "in the cloud Hardware Appliance Offerings Offer software on purpose-built servers behind the client's firewall Include full remote management Plug and play turnkey solutions Structure product to deliver running applications on appliances (from a central marketplace) 14

8 The Future is Now BPM as a SaaS offering in the Cloud will forever change the way businesses view the cost structure of application creation and maintenance. Source: Business Process Management and Cloud Computing George M. Barlow, CEO, Cloud Harbor, Inc. BPMInstitute Article, April 10, Thank You George Barlow george.barlow@cloudharbor.com (877) /24/ BrainStorm SF June 30, 2010

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