Callatay & Wouters Presentation 18th May 2006

Vietnam Banking 2006Ariff Sultan, Commercial Director (Asia Pacific)

Page 2

Started business in 1983, at Brussels

Mission is to deliver innovative financial software solutions

Principle Business activities are:

Licence Thaler, Kyudo and Teran solutions

Consulting & Project Management

Delivered several successful European Banking solutions since 1983

Developed Thaler Version 1 in 1996 and Version 2 in 2001.

Global Staff strength of 360 with Banking and Technical Experts.

Callatay & WoutersCallatay & WoutersBackground – www.c-w.com.sg

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InternationalExpansion

Presence

Company ProfileCompany Profile

Partner in Vietnam - HPT Vietnam Corporation

1983Brussels

2000London Paris2002

1991 Luxembourg

2003 Geneva2002Singapore

2004Jakarta 2006 Dubai

Page 4

2005 : 39 million EUR

Consistent, strong profitability

Revenue

Company ProfileCompany Profile

Page 5

Some references

Corporate banks & others

LA POSTEDE POST

(RNCC)

Retail & Universal banksPrivate & Investment banks

PRIVATE

Company ProfileCompany Profile

Page 6

The Enterprise of the Year 2005 award

C&W wins the Enterprise of the Year 2005 award

organized by

Callatay & Wouters Callatay & Wouters

Page 7

Thaler, Kyudo and Teran Banking solutions

ProductsProducts

Page 8

20th Century Banks

Make an online purchase Take an auto-loan

Finance your home Finance your business

Use your credit/debit card

Banking solutions Banking solutions

Use of ATM

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EmailEmail Call CentreCall CentreBranchBranch WebWeb MobileMobile

Customeracquisition

Customerservice

Customermgmt Risk Payments Products

DatabasesDatabases ApplicationApplication Legacy dataLegacy data BureauxBureaux AgenciesAgencies

Intelligent service, efficient, end to end ?

Account servicing & administration

Marketing

Bank’s IT ProblemBank’s IT Problem

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Definition (Source: Celent, 2003)

“ Applications responsible for processing and posting transactions, performing deposit accounting, maintaining loan accounts, keeping securities and treasury positions and clearing payments.”

21st Century Core Banking 21st Century Core Banking

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Retail Bank Model Shifts (Source: Mercer Oliver Wyman,

2005)

Bureaucracy

Manage P&L, Balance-sheet

Compete for market share

Manage sales

Product-value

Compete for customer value

Manage local market

Mixture of Products

Products-BasedProducts-Based SellerSeller RetailerRetailer

Customer = Customer = IrritantIrritant

Customer = Sales Customer = Sales OpportunitiesOpportunities

Customer = Customer = CustomerCustomer

Banking Business ModelsBanking Business Models

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21st Century Environment (Source: BearingPoint, 2005)

More intense regulatory demands

Emergence of new competitors in Asia. Expansion of Chinese and Indian Banks in Asia.

IT outsourcing trend in the banking industry – possible re-thinking and a new business model

Accelerated expansion regionally and globally. Further consolidation of Banks.

Mass affluent and High-nett worth customers. Private Banking in the Retail space.

Financial Spa due to customer sophistication “I want an Innovative Bank”

21st Century Banking solutions21st Century Banking solutions

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21st Century Banking Software Technology & Operations

Service-Oriented Architecture solution

Open solutions

Decision Support

Innovative products & customised offering

Quick to Market & quick to implement

Parameterisation

Workflow-based, STP

Best practices & Re-engineering

24X7 operations and support

21st Century Banking solutions21st Century Banking solutions

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Our Proposition to Vietnamese Banks:

Thaler, Kyudo and Teran are Service-Oriented Architectured Core Banking solutions

Single, core solution for Retail, Wholesale, Treasury, Corporate, Securities and Wealth Management Banking (Universal Banking)

Low risk, Stable, proven software with 35 installations world-wide

High customer satisfaction – KPMG Banking System Survey 2006

High value to the enterprise – KPMG Banking System Survey 2006

Quick Payback to the investment

21st Century Banking solutions21st Century Banking solutions

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Bank Business Requirements for Core Banking Solution

Thaler, Kyudo, Teran

Customer centricity

Multiple products, Consumer/Corporate/Treasury

Collateral Management

Branch Automation & Teller Solution

Banca-Assurance & Cards

Basel II Compliance

Anti-Money Laundering Solution

Data Warehouse

Workflows & STP capability

System admin/security

Interfaces

MIS & Central Bank Reporting

Your Bank’s Business Requirements for Core Banking?

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Thaler : Latest Version dated 2005

Source: KPMG Financial Services – Banking System Survey 2005

Callatay & Wouters Presentation 18th May 2006

Vietnam Banking 2006Erik Bogaerts, Director Asia

Page 18

Agenda

SOA: the right choice for SOA: the right choice for you?you?

Revolution or evolution?

Service Oriented Architecture (SOA)

Business Process Management (BPM)

Are SOA and BPM for you?

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First wave:• MRP• Payroll• General Ledger

1970s-1982

Host-based Architecture

Middle wave:• ERP• Human res.• Financial Mgt

1983-1993

Client/Server Architecture

Last wave:• CRM• Early Web applications

1994-2002

Early N-Tier Architecture

Source : Delphi Group

New wave:• Process Orchestration• Composite application

2003+

Service Oriented Architecture

Revolution or evolution?

Service Oriented Service Oriented ArchitectureArchitecture

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Why SOA?

Service Oriented Service Oriented ArchitectureArchitecture

SOA = an architectural style whose goal is to achieve loose coupling among interacting software agents.

SOA : architecture based on

Application front-end (service consumer)

Service and service provider

Service repository

Service bus

Service : defined by a contract, interface(s) and an implementation

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Why SOA?

Service Oriented Service Oriented ArchitectureArchitecture

Implementation : Multi-tier architecture

Isolate system responsibilities in different tiers

Reduce coupling between tiers

Standards strongly recommended

Framework : set of tools, rules, standards to efficiently develop new programs

SOA must

Facilitate integration of different applications, whatever their technologies

Allow easy business process building by assembling of basic services

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Why a Business Process layer?

Service Oriented Service Oriented ArchitectureArchitecture

Isolating business process from

Banking business logic

Technological platforms

One solution for multiple companies, cross-border

Convergence with other added-value projects

Basel II

ABC

Quality (TQM, 6,…)

SOX

AML

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web browserWeb browser

jThaler Global scheme

Technical architectureTechnical architecture

service bus

-JSP & JSF views-Servlet controller-Backing Beans

Web Server

INTERFACES

Application Server

RDBMS

Any platform

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

…

Process-centric

Services

Any platform

web browser

Other F-E

ServiceRepository

WSDL

Page 24

web browserWeb browser

jThaler Front-End architecture

Technical architectureTechnical architecture

service bus

-JSP & JSF views-Servlet controller-Backing Beans

Web server

INTERFACES

Application Server

RDBMS

Any platform

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

Bu

sin

ess

Serv

ices

…

Business Process Manag’t

Any platform

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Front-end Architecture Responsibilities

Front-end ArchitectureFront-end Architecture

Presentation : send XML/HTML document over HTTP (static and dynamic content)

Page navigation, including user help

Syntaxic validation

Format (account, amount, number, VAT number, …)

Shortcuts (J for today, 3M for 3 months, …)

Required fields

State management

Error – Exception handling

Access to business services - No business logic in the front-end

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jThaler Service Architecture

Technical architectureTechnical architecture

service bus

Thaler Front-end

Application Server

RDBMS

Any platform

Business Service Interface

Other Front-end

JCA connectorJava Business

Methods

Data Access Layer

ServiceRepository

WSDL

Web Services

Local Interface Remote Interface WS Proxy

Thaler v2Any EIS

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Service Architecture Responsibilities

Service ArchitectureService Architecture

Reduce the coupling between the web tier and the business tier

Provide a framework for basic as process-centric services (reduced remote method calls)

Distribute services through a standard service based interface

Manage generically cross-cutting functions (security, audit trail, logging)

Transaction management

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Main characteristics

Stateless service

Integration

Local Interface

Remote Interface

Web Service proxy

Interfaces :

Specified Business Methods

J2EE generic interface with unique method and unique signature : executeOperation (operationName, List of Fields)

Metadata :

Service – Operations - Messages I/O – Fields ( WSDL)

Implementation type

Service architectureService architecture

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Implementations

Full Java

POJOs : no intrusion of technical functions (delegated to technical layer : EJB, AOP, …)

Methods = operations

Mapping between message string fields and BO typed fields defined in data dictionary

JCA

one TP per operation

mapping via data dictionary

Web Services : e.g. process-centric services

Service architectureService architecture

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Process-centric services : definitions

What’s a business process ?

A flow of coordinated tasks triggered by a specific event in order to achieve a specific goal.

Modeling processes

Graphical tools

UML standard : Business Process Modeling Notation

Executing processes

Designed processes can be instanciated and executed

OASIS standard : Business Process Execution Language

Service architectureService architecture

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c

Application Server

J2EE Generic InterfaceexecuteOperation Method

JCA connectorJava Business

MethodsWeb Services

Local Interface Remote Interface WS Proxy

Data Access Layer

jThaler Service Architecture : Orchestration with BPMS

service bus

Thaler Front-end

Any other Front-end

RDBMS

BPMS Process Interface

ServiceRepository

WSDL

Interface

ImplementationWeb Services

WS Proxy

Application Server

Service architectureService architecture

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Process-centric services : Package

CLA1Add new

client

CLAMAdd clientportfolio

DVA4Add securities

account

CCA1Add clientaccount

Service architectureService architecture

CGC3Check Balance

CNA3Grant

conditionTimer

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jThaler Business Objects Architecture

Technical architectureTechnical architecture

service bus

Front-end

INTERFACES

Application Server

RDBMS

Business Services

JDBC

Generic DAOImplementation

Specific DAOImplementation

Extendable DAO interface

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BO Architecture Responsibilities

Business Objects Business Objects ArchitectureArchitecture

Reduce the coupling between the business tier and the data tier

Business objects definition and access methods

Relationships with other Business objects

Handle concurrency

Provide a framework for O/R mapping

Business objects persistence

"Things should be made as simple as possible, but no simpler."

- Albert Einstein -