Services Thinking: Driving Sustainable Composability Doug Shoupp Principal Deloitte Consulting LLP April 30, 2008

Services Thinking:Driving Sustainable Composability

Doug Shoupp

Principal

Deloitte Consulting LLP

April 30, 2008

Sustaining Service Composability — How to create collections of services that can be coordinated and assembled to form different composite services over time.

Is achieving this a technical issue or a business issue?

Is achieving this a technical issue or a business issue?

3Copyright © 2008 Deloitte Development LLC. All rights reserved.

It's a Time Issue

• Speed-to-market pressures

• The need for cross-channel consistency and process integration

• Shareholders demanding improved ROIs

• Competitive pressures for cost reduction and efficiency

• Too much Information to manage and examine effectively

• Requirements change prior to implementation

Getting ahead of the curve requires not just solutions — it requires spending the right amount of time and talent on the big picture, on the future.

Getting ahead of the curve requires not just solutions — it requires spending the right amount of time and talent on the big picture, on the future.


How to design for the future?

How do we anticipate the right level of granularity? Will they be still composable when the business shifts? Will we be able to orchestrate?How do we anticipate the right level of granularity? Will they be still composable when the business shifts? Will we be able to orchestrate?

CompositeApplications

TechnicalServices

UI-Benefit UI-Tax Workforce

Bu

sin

ess

Lay

ers

Business Processes/CBS

ManageClaim Intake

Manage Continued Claim

Bu

sin

ess

Ser

vice

s L

ayer

s Business Services Process Claim

Intake

DetermineNon-Monetary

Eligibility

DetermineMonetaryEligibility

Atomic Services Notify Customer

DetermineFinancialEligibility

Tec

hn

ical

Lay

er UpdateBenefit DB

Send FinancialDeterminationTo Employer

Lo

w G

ran

ula

rity

Lo

w G

ran

ula

rity

Hig

h G

ran

ula

rity

Hig

h G

ran

ula

rity

Best-in-Class Approach

• Business and data access logic embedded in the presentation layer

• Interface granularity

• Mixing of synchronous and asynchronous invocation semantics in a single interface

• Organizational structure does not support the services hierarchies

• Governance– Ownership– Development and Maintenance – Framework and Decisions

Common Challenges


It takes technology and business

• Rapid reconfiguration of business solutions that includes process and talent issues, not just technology and architecture

• A strong governance framework to drive commitment

• Significant business involvement to ensure solutions are relevant and useable

• Reduced complexity — SOA has no ability to reduce process, organizational, and regulatory complexities

• Clean data — SOA doesn’t address the critical importance of clean data access and cross-organizational process management

Creating sustainable composable services requires addressing the business and technical aspects of services — it means creating business agility.

Creating sustainable composable services requires addressing the business and technical aspects of services — it means creating business agility.


Services Thinking - Driving Agility

• Focuses on what capabilities each part of an organization needs to complete, and organizes those capabilities into more manageable, independent pieces

• These pieces enable much more rapid and effective prioritization and alignment

• Services Thinking helps align different interests around a unified view

• Services can be orchestrated, monitored, simulated, and rapidly re-orchestrated to adapt to changes in the business landscape

• Services Thinking embeds business process, organizational considerations, go-to-market strategy, and technology

Conventional Scope of SOAConventional Scope of SOA


Services Thinking builds upon Enterprise SOA to generate business value

Traditional Technology View

Traditional Technology View


OK — But what does that look like?


Let’s try that again…

Dynamic Enterprise Architecture Implementation Solutions

Phase 1Define Vision and Drivers

Phase 2Assessment &

Capabilities

Phase 3Develop

Transformation Architecture,

Model & Roadmap

Phase 4Define & Design

Phase 5Implement

Phase 6Operate

Execute

Current State

IterateIterate

Assess & Prioritize

IterateIterate

Services Thinking ApproachServices Thinking Approach


Let’s look harder at the front endS

erv

ice

sT

hin

kin

g

SOA Readiness Assessment

SOA Roadmap

SOA Reference Architecture

Conduct SOAAssessment

Channels

Services Management Environment

Services GovernanceEnvironment

Integration Env. AdaptersServices Env.

Interaction Env. Information Env.Process Environment

BusinessEnvironment

Users

Messaging Business Services Legacy Wrapper/Adapter

Protocols Package Wrapper/Adapter

DB Adapter

Communication Environment

Registry Access Manager Interceptor Access Node

Enterprise Service Bus (ESB)

Intermediary Msg. Formatting Transformation Route/Distribute

UI - User Interaction Bus. Process Mgmt. Master Data Mgmt

Choreography Rules Engine Data Access

Collaboration Data Whse / Reporting

Constituents State Workers IT Developers Business Analyst Partners

Business Modeling Business Activity Monitoring Business Dashboards Business Simulation Business Optimization

Security Management

Monitoring

Asset Management

Policy Enforcement

Event Notification

Self Service Automated Inbound Automated Outbound

Service Repository Policy Establishment Change Management

Configuration MgmtService Lifecycle Stds./Arch Enforcement

Infrastructure Environment

SOAP Server Process Server

Application Server Database Server Content Server

Portal Server

Broker

Assisted

Technical Services

Mediation

Orchestration

Components

Services Development Environment

Art

ifac

t R

epo

sito

ry

Modeling

Discover / Build

Publish & Deploy

Integration

Maintain

Requirements

Testing & Validation

Partner Profile Mgmt.

Channels


Services Governance Environment

BusinessEnvironment

Users Constituents Employees IT Developers Business Analyst Partners

Business Process Modeling

Business Activity

Monitoring

Business Dashboards

Business Simulation

Business Optimization

Security Management

Monitoring

Asset Management

Policy Enforcement

Event Notification



Configuration MgmtService LifecycleStds./Arch

Enforcement



Application ServerDatabase Server

Content Server

Portal Server

Assisted


Arti

fac

t R

ep

os

ito

ry

Modeling

Discover / Build

Publish & Deploy

Integration

Maintain

Requirements


Source: Deloitte Consulting, LLP 2008

Interaction Environment

Services Environment

Process Environment

UI - User Interaction Bus. Process Mgmt. Business Services

Choreography Rules Engine Technical Services

Collaboration ComponentsOrchestration

Communication and Integration Environment

Messaging Protocols

RegistryAccess

ManagerInterceptor Broker


Intermediary Mediation Transformation Route/Distribute

Partner Profiles

Legacy Wrapper/Adapter DB AdapterPartner Profile Management

Channels


Services Governance Environment

BusinessEnvironment

Users Constituents Employees IT Developers Business Analyst Partners

Business Process Modeling

Business Activity

Monitoring

Business Dashboards

Business Simulation

Business Optimization

Security Management

Monitoring

Asset Management

Policy Enforcement

Event Notification



Configuration MgmtService LifecycleStds./Arch

Enforcement



Application ServerDatabase Server

Content Server

Portal Server

Assisted


Arti

fac

t R

ep

os

ito

ry

Modeling

Discover / Build

Publish & Deploy

Integration

Maintain

Requirements


Source: Deloitte Consulting, LLP 2008

Interaction Environment

Services Environment

Process Environment

UI - User Interaction Bus. Process Mgmt. Business Services

Choreography Rules Engine Technical Services

Collaboration ComponentsOrchestration

Communication and Integration Environment

Messaging Protocols

RegistryAccess

ManagerInterceptor Broker


Intermediary Mediation Transformation Route/Distribute

Partner Profiles

Legacy Wrapper/Adapter DB AdapterPartner Profile Management

Actionable Activities Deliverables/Benefits Samples

Analyze Business Capabilities Print

SOA Maturity Assessment

SOA Governance Framework

4Risk Management and Compliance

4Quality and Value Management

8Strategic Planning,

Governance and Budgeting

Maturity AssessmentDirect SOA

Impacts

Strategic Functions

4Risk Management and Compliance

4Quality and Value Management

8Strategic Planning,

Governance and Budgeting

Maturity AssessmentDirect SOA

Impacts

Strategic Functions

1 2 3 4 5

Non-Existent World ClassAd Hoc Defined Controlled

1 2 3 4 51 2 3 4 5

Non-Existent World ClassAd Hoc Defined Controlled

PortfolioManagement

Strategic Functions

Strategic Planning, Governance and Budgeting

Quality and Value Management

Risk Management and Compliance

2

IT Administrative Support Functions

HR/PerformanceManagement

Service Provider Performance Management

FinancialManagement

ProviderContractManagement

Physical AssetManagement

FacilitiesManagement

7

Client AccountManagement

DemandPlanning

Business Case Development

PerformanceManagement

Requirements Management

3Client Relationship Management Solution Delivery and Support

Application /InfrastructureDevelopment

6

Application /InfrastructureSupport

Application /InfrastructureMaintenance

Application /InfrastructureDeployment

ProgramManagementOffice

ReleasePlanning andManagement

ProjectManagement

Programand Project Management

5

DemandManagement

Architecture and Intellectual Property Mgmt

ApplicationArchitecture

Architecture Compliance

TechnicalArchitecture

4

Process/Service and Information Architecture

Architecture and Asset Management

Business Services Print

Identifies gaps/pain points in Business strategy, Organization, Governance, and Technology that would be addressed in the roadmap .

Build Reference Architecture

Accelerates identification of potential high-level Business Services.

Defines a robust Architecture baseline for the design, build, integration, and execution of solutions.

Defines a Roadmap that enables a value driven phased approach, focusing on quick hits as it addresses the identified gaps/pain points.

Build Roadmap


Services Thinking in action

The Approach

• Identified capabilities common to every transaction

– Information needs

– Coordination of tasks

– Audit and controls

• Identified and prioritized business process, organizational, data, and technology services to enable required, scalable foundational capabilities

The Results

• Enabled the organization to meet its immediate objectives and provide the foundation for future adjustments to the market.

• Bottom line business benefits– Improved cycle times– Streamlined processes– An agile technology platform – Scalable delivery capacity

The Challenge A large financial institution needed to create comprehensive approach for managing, marketing, and liquidating the assets received from failed companies.


- 12 -

• Conduct frank and productive discussions about opportunities and priorities within the organization — identify like-minded business sponsors

• Make a list of your organizations required capabilities

• Make a list of all the reasons you haven’t been able to make those capabilities a reality

• Identify the components you do have and prioritize for quick wins

• Have a plan for the future and build your capability-driven road map

• Include the business stakeholders every step of the way in the roadmap definition

• Take a multi-dimensional approach on modularity, composability, and interoperability for technical services, business processes, organization, and service delivery

Services Thinking — getting started


In conclusion

Sustainable Composability requires new thinking:

• Cross-Domain

• Capabilities

• Dynamic

• Traceability

• Service Objects

• Agility

• Services


Question and answer

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Services Thinking: Driving Sustainable Composability Doug Shoupp Principal Deloitte Consulting LLP April 30, 2008