Distributed Order Orchestration Overview. Oracle Team

Distributed Order Orchestration Overview Oracle Team

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Current Order Management Environment Current Environment 45% of customers place orders through multiple channels Avg. company has 5.2 order capture applications Avg. company has 4.3 order fulfillment applications 60% have partial or no integration 50% have no or limited data standardization 61% of companies sell through indirect channels 32% of companies sell or plan to sell partner products or services 40% of companies outsource a large part of fulfillment process 43% of companies make an acquisition each year Services ERP SCM ERP SCM WMS ERP SCM WMS WMS Customers Indirect Direct Direct Partner Other Direct ERP CRM ERP CRM ERP CRM ERP ERP ERP SCM ERP SCM ERP SCM ERP WMS / WMS / MFG WMS / MFG MFG Partner Products Dropship vendors Resulting ROI Opportunities Inventories have increased 15% Order cycle time has tripled from 1 to 3 days Order accuracy is below 85%, often near 70% Fulfillment costs now >50% of supply chain High inefficiencies in creating, tracking & expediting fulfillment Increased volatility Declining return on sales Lower customer satisfaction due to unmet promises Copyright 2011, Oracle. All rights reserved. Oracle Confidential 2

Today s Solution Alternatives Customer Alternatives ERP Requires uptake of single instance Deploy Pre-Requisites before OM Wait for new apps CUSTOM / MIDDLEWARE Created and managed by IT department Can become complex to manage long term TODAY S PACKAGED APPS Lack ownership of end-to-end process Requires specialized skills to manage (not standards based) Oracle ebus Suite JDE Peoplesoft SAP Oracle FMW SAP NetWeaver Tibco Webmethods Niche Custom Copyright 2011, Oracle. All rights reserved. Oracle Confidential 4

Multi-Channel Defining Order Management Heterogeneous Environment CAPTURE ORCHESTRATE FULFILL Quote / Order Capture Create Transaction Select & Configure Products Create Shipment Expectations Check / Reserve Inventory Negotiate Terms Determine Tax Capture Payment Validate and Submit Order Manage Order Order Status Inquiry Modify Order Cancel Order Return Order Renew Order Orchestrate Orders Order Decomposition Order Orchestration Distributed Inventory Order Workbench Data Transformation Dropship Dropship Network Dropship Network Network Partner Partner Network Partner Network Network Internal Internal Internal Network* Network* Network* Logistics Inventory Mgt Warehouse Mgt Shipping / Receiving Transportation Mgt Manufacturing Discrete MFG Process MFG APS Advanced Planning Global Order Promise Field Service Scheduling & Dispatch Dispatch Finance AP / AR / GL Billing / Invoicing CRM Business Process Mgmt. & Business Activity Monitoring SCM Copyright 2011, Oracle. All rights reserved. Oracle Confidential 5

Distributed Order Orchestration Oracle Fusion Distributed Order Orchestration ( DOO ) is a standalone Fusion application that centralizes the orchestration of order items across multiple order capture and fulfillment systems to help improve the management and fulfillment of customer demand through distributed supply It enables: A consistent and easy way for customers to order products Faster time to market for acquired products Order management business process flexibility Copyright 2011, Oracle. All rights reserved. Oracle Confidential 6

Capture & Orchestrate Orders Planning mmdm Order Promising Inventory Direct Indirect Call Center Self Service Fulfillment Orders/Order Lines Outsourced Orchestrat e Supplies CRM Capture Sales Orders Sales Orders Orchestrate Orders Fulfillment Orders/Order Lines Procurement WMS WFM EDI Finance Field Service Order Management Copyright 2011, Oracle. All rights reserved. Oracle Confidential 8

Level 2 Flow - Orchestrate Fulfillment Orders mmdm Fulfillment Orders/Order Lines Outsourced Orchestrat e Supplies Sales Orders Transform Sales Orders Decompose Sales Orders to Fulfillment Orders Orchestrat e Order Fulfillment Monitor/ Correct Exceptions Promise Orders Manage External Interface Key Features Transform Sales order to common definition Decompose sales order into fulfillment order Create fulfillment orchestration flows Manage Order Changes Identify Jeopardy conditions View global availability and sourcing options Monitor exceptions and take corrective actions Inventory Order Promising Planning Fulfillment Orders/Order Lines Finance Procurement WMS WFM Field Service Order Management Copyright 2011, Oracle. All rights reserved. Oracle Confidential 9

Solution Architecture & Products Capture Decomposition Orchestration Task Layer External Services Interface Layer GOP Multi-Channel Order Capture Rules workbench Order Transformation Orchestration process selection Orchestration process launch Process definition workbench Task execution Jeopardy management Change order roll back Cost of change Services to perform Orchestration tasks Fulfillment system response management Framework to create new services Rules workbench Fulfillment system routing Call transformation services Supply Collection Sourcing Rules Centralized Availability Fulfill All systems that fulfill customer expectations Status Summary View & Fix Exceptions What if supply analysis Order Orchestration Work Area (runtime) Manually re-source/ reschedule View fulfillment process Copyright 2011, Oracle. All rights reserved. Oracle Confidential 10

Deliver Order Visibility and Management Order Workbench Monitor the status and exceptions of orders to be fulfilled from multiple systems Show transactions by customer, product, fulfillment location, supplier, status and age to authorized users Fix exceptions one or more lines at a time Deliver proactive alerts for order lines that could become exceptions Resolve exceptions based on embedded intelligence Identify order lines at risk of not meeting promise dates View process execution including key milestones and visual alerts of jeopardy item Copyright 2011, Oracle. All rights reserved. Oracle Confidential 11

Deliver Flexible Fulfillment Order Decomposition and Orchestration Break complex orders into separate, interrelated fulfillment plans Enable non-technical user to create/manage decomposition rules Assign different orchestration processes to order/order lines for orchestrating different products & services Coordinate the orchestration of physical goods, services and employees within a single sales order Calculate accurate promise dates and highlight the completion of key process milestones Enable non-technical user to define orchestration processes including change logic Copyright 2011, Oracle. All rights reserved. Oracle Confidential 12

Improve Order Promise Accuracy Sourcing and Global Order Promising Availability simulation accounting for both schedule and the price when presenting availability options (ala Airline ticketing) 24 X 7 availability including time during upload and collection of new data Web services framework to integrate with disparate supply sources Centralized sourcing rule administration Source and ATP calculations are stored in memory, providing faster availability information to calling applications Rich user experience integrated with Distributed Order Orchestration for realtime fulfillment decisions Copyright 2011, Oracle. All rights reserved. Oracle Confidential 13

CO Install Required? Yes Book CO Install Reserve Inventory Wait for CO Install Assign Port Start Test Circuit Wait for Request Date Activate Circuit Activate Billing End CPE Required? Yes Book CPE Install Wait for CPE Install Orchestration Process Integrate with Existing Assets With Task Layer Services / Interface Layer DOO Services Schedule Ship Receive Invoice Generic Integration Layer E I L AIA AIA Fulfillment Systems Other Systems Siebel ebs Pre-built orchestration web services to enable faster implementation Leverages existing heterogeneous order capture and fulfillment execution assets Pre-built set of orchestration process web services to execute user defined fulfillment process steps Pre-built framework for defining additional orchestration web services Complete, open and integrated solution to lower total cost of ownership Interface layer that abstracts external systems from the orchestration process definition which minimizes the changes required when adding new capture or fulfillment systems Pre-Integrated with Siebel Order Capture and ebs Order Management using AIA Extensible, SOA enabled framework for flexible integration to non-fusion applications Copyright 2011, Oracle. All rights reserved. Oracle Confidential 14

DOO Solution Components (with FMW & AIA building blocks) Decomposition Orchestration Task Layer External Interface Order Promising Workbench Middleware Usage BPEL OBR BPEL Enterprise Manager BPMN BPEL BPEL/ESB OBR Partner Links BPEL ADF BI Enterprise security AIA Value Add Order EBO/EBM Siebel, ebs ABCS (connector) DOO Value Add Pre-built Order facts for OBR Pre-built Order facts for OBR Direct BPEL creation & execution from nontechnical UI BPEL forward & backward planning BPEL rollback & compensation BPEL spawning for split lines Order line grouping to BPEL instances Gantt chart summary of running BPEL process Auto-load process to BPMN for documentation Pre-built order orchestration execution web services Pre-built task layer web service creation framework Generic web service for new service creation Pre-built Order facts for OBR Pre-built web service for dynamic mediator invocation Simple UI for mediator registration Pre-built service for status aggregation, update & distribution Pre-built order promising web services Pre-built order orchestration monitoring pages Pre-built embedded analytics Pre-built roles based security Pre-built error handling framework Copyright 2011, Oracle. All rights reserved. Oracle Confidential 15

DOO Architecture Components Decomposition Fusion Product Model Oracle Business Rules Rules Editor Sales Order Desktop Printer BPEL Sales Order Transformation Product Structure Fulfillment Order Enterprise Business Object (Canonical) WS Enriches Sales Order for successful fulfillment Copyright 2011, Oracle. All rights reserved. Oracle Confidential 16

DOO Architecture Components Orchestration Oracle Business Rules Generate Process Rules Generate BPEL Business Process Repository Fulfillment Order Desktop Declarative Process Design Orchestrate Process Task Services Invoke Schedule Ship Printer Flash Drive Activity Reserve Invoice Return Custom Automated Order Coordination Across Fulfillment Systems Copyright 2011, Oracle. All rights reserved. Oracle Confidential 17

CO Install Required? Yes Book CO Install Reserve Inventory Wait for CO Install Assign Port Start Test Circuit Wait for Request Date Activate Circuit Activate Billing End CPE Required? Yes Book CPE Install Wait for CPE Install DOO Architecture Components External Interface Layer External System Webservice Details Rules Editor Task Services BPEL External Interface Oracle Business Rules WS Enterprise Business Object ( Canonical) Shipping System ERP Install Billing Fulfillment Systems Dynamic routing, invocation and integration of fulfillment systems Copyright 2011, Oracle. All rights reserved. Oracle Confidential 18

CO Install Required? Yes Book CO Install Reserve Inventory Wait for CO Install Assign Port Start Test Circuit Wait for Request Date Activate Circuit Activate Billing End CPE Required? Yes Book CPE Install Wait for CPE Install DOO Product Architecture DOO WorkBench Web based ADF UI for Monitoring Orders Security Check Availability GOP Multiple Sales Channels Sales Order EBM Security Fusion Middle Ware OC Services Gateway Web Services Assign, Plan and Launch Transform Rules (OBR) Processing Constraints Check Holds Security Invoke Schedule, Reserve Ship, Receive, Invoice, Activity, Custom External Interface Layer OBR Task EBM Task EBM Security BPEL Fusion Middle Ware BPEL Multiple Fulfillment Systems DOO Setups Products and Customers DOO Reference Data SOA OBR & BPEL Oracle Fusion Middle Ware Service Component Architecture Oracle Database ADF UI Components Copyright 2011, Oracle. All rights reserved. Oracle Confidential 19

Distributed Order Orchestration Solution Functional Landscape Includes AU and Fusion Components Siebel CRM Availability, Fulfillment Status, Activities Fusion SCM ebs, JDE Web Services Orders, Returns, Activity Updates Composite App Plug N Play with Apps Unlimited Capture Orders Select & Configure Products Check Availability Determine Shipping Negotiate Pricing Capture & Validate Payment Validate and Submit Decompose Orchestrate Monitor Transform & enrich sales order Select orchestration process Launch orchestration process Siebel Fusion EBS, JDE, SAP Execute fulfillment Status & exception orchestration summaries Anticipate potential Take action to problem orders correct exceptions Manage change orders View & simulate Generate process views alternate supply Integrate to fulfillment scenarios systems Fulfill Pick, Pack, Ship Transport Plan Manufacture Install Invoice Copyright 2011, Oracle. All rights reserved. Oracle Confidential 20

Single Global Instance Built for Heterogeneous Deployments Siebel Order Capture ebs istore Fusion Order Capture Electronic Data Interchange Self-Service for Customers Web Services Distributed Order Orchestration Web Services ebusiness Suite Fulfillment JDE Fulfillment Fusion Fulfillment Legacy Fulfillment Application Direct Ship Vendor Copyright 2011, Oracle. All rights reserved. Oracle Confidential 22

Conclusions Distributed Order Orchestration is a Fusion Supply Chain application that addresses the challenges of order orchestration across heterogeneous demand and supply systems It serves as the orchestration layer of the capture, orchestrate and execute order management model It is differentiated by unique features built on open, standards based SOA technology It has been validated by over 80 customers from multiple industries and will be deployed by early adopter customers It provides an option to the big bang solution Copyright 2011, Oracle. All rights reserved. Oracle Confidential 24