SOA_in_Banking.ppt

7/28/2019 SOA_in_Banking.ppt

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Document number

Bart NarterOrlando, Florida

CONFIDENTIAL | www.oliverwyman.com

Great ExpectationsCan SOA Deliver?

November 17, 2008

A member of the Oliver Wyman Group


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2Document number 2008 Oliver Wymanwww.oliverwyman.com

Great Expectations: Can SOA Deliver?

Agenda

What is SOA?

Technical details

What does it do for me?

How do I deploy it?


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What is SOA?

Loosely coupled modular services to support bothbusiness and IT requirements.

So what does that mean?


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Loosely coupled

Services are independent. They dont know or care whether the service is:

Running on Windows, J2EE or a Mainframe

Written in assembler, C, Java, or COBOL.

Running on a machine in the U.S., India, or China

Being served by a CRM system, a DDA system, or a database

So what does that do for me?

Enables a myriad of different (legacy) systems to supply information in a consistentway using SOA.


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Modular

Services are no longer monolithic applications, but broken into compound andgranular services.

Example: Initiating a transfer is a compound service, that might comprise thefollowing granular services: Find customer Authenticate customer Find all accounts and balances (for display) Find account (the funding account) Get account balance (to verify availability of funds)

Find account (the receiving account) Debit account (the funding account) Credit account (the receiving account) Find all accounts and balances (for re-display)


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So what does modular do for me?

Note that in the previous example we reused a number of services within thecompound service.

Other compound services will reuse these services as well, driving consistency (=lower risk), lower cost, and flexibility.


7/327Document number 2008 Oliver Wymanwww.oliverwyman.com

SOA is an IT architecture consisting of loosely coupled modular services to

support both business and IT requirements.

Loosely coupled: runs on a myriad of applications, systems, platforms and locationsto tie together new and legacy systems

Modular: broken into compound and granular services to enable reuse

Business and IT: across the entire organization.



SOA from a technical viewpoint

Today SOA is used to broadly define a set of products and services that range from dataconversion services, to portal tools, which is why it is very difficult to answer the question, Do you

use SOA? A map of SOA components on the next slide should clarify.




Agenda

What is SOA?

Technical details


How do I deploy it?



Process Services

Orchestration

System BPM

Business Logic

Databases

Data Services

Enterprise Service Bus (ESB)

Systems of Record

Web Portals

Human Business Process Management (BPM)

Secu

rity

Registryand

Repository

Managean

dmonitor

A Map of SOA Components



Databases

Data Mappingand Conversion

Tool

Connection, routing tool for architect

Systems of Record

Portal Design tool

BPM Modeling and Simulation Tool forbusiness analyst

Process Services

Low level ServiceOrchestration Tool

for developer

Business Logicwritten in Java,

C, C++, etc.

Secu

rity

Registryand

Repository

Managean

dmonitor

Design SOA



Fee database

Data Services

ESB: Routes to appropriate core system

DDA / Current Account

Internet Banking

Business Process: Stop Payment

Process Services

Orchestration:Business Logic: IfCustomer_Status = Gold

Service_Fee = $8 elseService_Fee = $20

Security:Authenticateuser

RegistryandRe

pository:Find

StopPaymentS

ervice,

Charge

Feese

rvice

Managean

dmonitor

Banking Examples of SOA



Web Portals provide a single user interface to multiple back end systems via a service oriented architecture and

HTML.

Portals can hold multiple service requests and display them in portlets.

An example would be with internet banking displaying a customers

- banking products

- Investments

- credit card balance (from another LOB or monoline)

- mortgage information (from another LOB or monoline)

Web Portals

A Map of SOA Components



Portal Example

Portlet to credit card company


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Business Process Management can be broken into three parts

Design: Usually with graphical eclipse based tools

Execute:

Monitor: Make sure that SLAs are met.


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Example of BPM: Open New Checking Account


Scan KYCInformation

RunChexSystem

Existing

Customer?

No

Yes

Features of Human BPM:

It involves human interaction (such as scanning KYC information)

It uses external processes such as Chex System.

It can be used to standardize business processes and reduce operational risk.

Result

OK?


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Enterprise Service Bus (ESB) is the communication backbone of SOA.

It generally supports the following functionality:

Message transmission, routing, queuing, and monitoring

Synchronous, asynchronous, point-to-point, and publish/subscribe messages

XML and SOAP messages

Adapters to legacy systems

It also supports services which are called out in other modules:

Data Services

Process Services



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Process Services

Orchestration

System BPM

Business Logic

Databases

Data Services


Systems of Record

Web Portals


Secu

rity

Registryand

Repository

Managean

dmonitor

Put all the pieces together to get a Services Oriented Architecture


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Agenda

What is SOA?

Technical details


How do I deploy it?


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What does SOA do for me?

Enables abstraction of core systems for isolation and potential replacement.

Enables efficient messaging and business processes from the front end channels.

Enables reuse of common business processes for greater efficiency.


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Isolate this system by accessing only

via data services and process services.

Process Services

Orchestration

System BPM

Business Logic

Databases

Data Services


Systems of Record

Web Portals


Secu

rity

Registryand

Repository

Managean

dmonitor

Enables abstraction of core systems for isolation and potential replacement.


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.

Process Services

Orchestration

System BPM

Business Logic

Databases

Data Services


Systems of Record

WebPortal:InternetBanking

Security

Re

gistryandRepository

M

anageandmonitor

Enables efficient messaging and business processes from the front end

channels.

WebPortal:Teller

WebPortals:Sales

Platform

WebPortal:

CallCenter

IVR


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.

Process Services

Orchestration

System BPM

Business Logic

Databases

Data Services


Systems of Record

Web Portals


Secu

rity

Registryand

Repository

Managean

dmonitor

Enables reuse of common business processes for greater efficiency.


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Agenda

What is SOA?

Technical details


How do I deploy it?


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How do I deploy it?

Channel driven

LOB driven

IT driven


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Channel driven SOA is the most common

A single channel can create an SOA for itself and then share it later.or not.

Wide adoption across the bank isnt guaranteed.


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LOB driven SOA

An LOB might need functionality that isnt available without integrating multiple systems or creating

a new system to assist in a business goal.


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IT driven SOA

This is a pure plumbing play and is difficult to drive across the bank.

Who pays for these projects?


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National City Business Drivers

Single view of the customer

Customer Management Objectives (CMO) drive customer experience

Call center

ATM

Statement messaging

Branch


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2007 Celent LLC

30

From old architecture

General Ledger

CIF

Integration Layer

Channels

Data

Warehouse

Campaigns

Analytics

. . .

Postin

gLedgers

Pricing

Stmts

Postin

gLedgers

Pricing

Bills

Postin

gLedgers

Pricing

Notcs

Postin

gLedgers

Pricing

Stmts

Later

Later


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2007 Celent LLC

31

P

ricing

P

ricing

P

ricing

P

ricing

Stmts

Bills

Notcs

Stms

CIFContain Leverage

Contain Leverage

CIF

Data

Warehouse

General Ledger

Integration Layer

Campaigns

Analytics

. . .

PostingLedgers

PostingLedgers

PostingLedgers

PostingLedgers

Channels

Data

Warehouse

IDH

Correspondence

Near

Real Time

Service Enabled Integration Layer Analytics

Campaigns

To new.


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Additional Questions?

Read the Celent Reports

A Tale of One City: Core Renewal via SOA at National City Bank

- http://www.celent.com/PressReleases/200712122/CoreRenewalNatCity.asp

A Christmas Carol: Wells Fargo Sings the Praises of SOA

- http://www.celent.com/PressReleases/20071221/WellsFargoSOA.asp

Great Expectations: Can SOA Deliver?Part I: Core-Driven SOA (Non-US)

- http://www.celent.com/PressReleases/20080516/GreatSOAPartI.asp

Great Expectations: Can SOA Deliver?Part II: Core-Driven SOA (US)

- http://www.celent.com/PressReleases/200805xx/GreatSOAPartII.asp

Great Expectations: Can SOA Deliver?Part III: Front End SOA

Great Expectations: Can SOA Deliver?Part IV: Platform SOA

To ESB or not To ESB

Or Contact

Bart Narter ([email protected]) San Francisco
http://www.celent.com/PressReleases/200712122/CoreRenewalNatCity.htmhttp://www.celent.com/PressReleases/200712122/CoreRenewalNatCity.htmhttp://www.celent.com/PressReleases/20071221/WellsFargoSOA.asphttp://www.celent.com/PressReleases/20071221/WellsFargoSOA.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartI.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartI.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartII.asphttp://www.celent.com/PressReleases/200805xx/GreatSOAPartII.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartII.aspmailto:[email protected]:[email protected]://www.celent.com/PressReleases/20080516/GreatSOAPartII.asphttp://www.celent.com/PressReleases/200805xx/GreatSOAPartII.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartII.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartI.asphttp://www.celent.com/PressReleases/20080516/GreatSOAPartI.asphttp://www.celent.com/PressReleases/20071221/WellsFargoSOA.asphttp://www.celent.com/PressReleases/20071221/WellsFargoSOA.asphttp://www.celent.com/PressReleases/200712122/CoreRenewalNatCity.htmhttp://www.celent.com/PressReleases/200712122/CoreRenewalNatCity.htm

Documents

SOA_in_Banking.ppt