Download - Week 10 Enabling Business (IT) Integration
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ITEC 4030 Business Process Management Systems
Week 10
Enabling Business (IT) Integration
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ITEC 4030 Business Process Management Systems
Learning objectives
• Goals of Business (or IT) Integration (review)
• Current approaches to business integration:– Workflow systems: Routing of forms and workitems– SOA and Web services: Messaging– Enterprise Resource Planning: Shared databases
• Illustrations and design issues
• Application exercise (continued)
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ITEC 4030 Business Process Management Systems
Business Integration: Goals and Approaches
• Review: Business Integration is the exchange of business-critical information between applications in real time (Yee & Apte, 2001)
• Goals:– Major improvement in business processes – Real time operations supported by dashboards displaying in real time:
• Key performance indicators from operational databases (aka business intelligence)• Status of business processes (aka Business Activity Monitoring)
• Current approaches: – Simple routing of documents, forms or workitems (aka jobs): Basic WF[M]S– Messaging between apps + Choreography (≠ orchestration): EAI, SOA, Web services– Shared databases: ERP
• Scope can include internal systems (SOA or ERP) and external ones (B2B integration, web services)
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ITEC 4030 Business Process Management Systems
Workflow [Management] Systems• System that defines […] and manages the execution of workflows through the use of a
software […workflow engine…] able to interpret the process definition, interact with participants and, where required, invoke the use of applications (WfMC).
• Includes several software components:– Process definition tools: Process and construct modeling software– Workflow Enactment Service: Workflow engine (routes automatically phis to next participants
and notifies them) – Workflow client applications: Point of access for participants– Administration and monitoring tools: Re-routing, rule change, resource management,
performance monitoring, audit and reporting– Possible applications invoked during execution of process: e.g. ordering system, inventory
management system, purchasing system, payment system, billing system, etc.
• Infrastructure: Includes clients and server(s), middleware, applications, DBMS, networks, peripherals, etc.
• Functional and non-functional requirements: Selection of products based on “validated” vendors’ specs
• Benefits include coordinated teamwork (management of work and information flows and electronic handoffs), real-time information (BAM), process standardization, process execution synchronized with changing business needs
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ITEC 4030 Business Process Management Systems
The WFMC reference modelSource: www.wfmc.org
Designer
Manager
End-user
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ITEC 4030 Business Process Management Systems
The WFMC reference modelSource: www.wfmc.org
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ITEC 4030 Business Process Management Systems
Workflow enactment & interaction Source: www.wfmc.org
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ITEC 4030 Business Process Management Systems
Process design & definitionBusiness Process Analysis ,Modeling & Definition
ProcessDefinition
Build Time
Run Time
Workflow Enactment Service Process instantiation & control
ApplicationsInteraction with users & applications
WFMS build time & run time phases
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ITEC 4030 Business Process Management Systems
WFMS build time & run time activities• Build time activities:
– Definition and test of business process and related constructs
– Workflow-BPR specific editing mode
– Model is exported of to some specific WFMS products
• Run time activities: – Interpretation of process definition
– Creation and control of process instances
– Interactions with identified participants
– Interactions with other identified computer-based apps
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ITEC 4030 Business Process Management Systems
• The designer’s view: – Designer defines and tests the business process – Designer defines related constructs (such as forms)
• The end-user’s view:– End-user establishes session– End-user obtains workitems (or jobs):
• Pull mode: Users request new workitem• Push mode: Workitem automatically routed to user• Grab mode: Workitem routed to available user
– End-user performs required tasksWFS are TPS: updates in operational database
• The manager’s view: – Manager monitors execution of the business process– Managers reallocates resources /re-routes workitems
Illustration of a workflow system involving human interaction only
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ITEC 4030 Business Process Management Systems
The designer’s view
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ITEC 4030 Business Process Management Systems
The end-user’s view
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ITEC 4030 Business Process Management Systems
The manager’s view
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ITEC 4030 Business Process Management Systems
SOA &Web services’ basics• Basics:
– Business Integration is achieved through the re-use of existing apps (should be cheaper!) – Original focus on “internal” operations/apps and now extended to business partners– New developments:
• SOA (architecture that allows loosely coupled apps to exchange data with one another as they participate in the execution of business processes)
• Web services (SOA where the loosely coupled apps are accessed over the Internet)
• Tools and products– Tools that model and analyze complex BPs before their implementation– Servers that execute BPs – Servers that allow for connectivity between apps – Servers that allow for data transformation – Servers that allow for message transportation– Servers that allow connection to business partners via EDI (and conversion to XML)– Servers that monitor the execution of BP (provide real-time information and/or BAM)– Servers that allow for information integration (portlet integration) Major vendors: IBM, Oracle, Microsoft Functional and non-functional requirements: Selection of products based on validated vendors’ specs
• Benefits include re-use of existing apps and infrastructure + Faster integration cycle
ESB (see slide 15)
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ITEC 4030 Business Process Management Systems
Managing BP with SOASource: www.ibm.com
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ITEC 4030 Business Process Management Systems
Enterprise Service BusSource: www.ibm.com
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ITEC 4030 Business Process Management Systems
ERP Basics• ERP systems:
– Set of integrated business applications bought from software vendors– Include modules that support a particular set of BPs – Modules integrated through common definitions (schemas) and common database Facilitate an integrated and real-time planning of BP activities (i.e., production & sales)
• ERP modules– Core applications (OLTP):
• Marketing, sales and distribution• Production, material management and logistics• Accounting and finance• Human resources• WFS and industry solutions (retail, automotive, etc.)
– Business tools:• OLAP• Project management systems
TPS, WFS, MIS, DSS are all included available as ERP modules
• Major vendors: SAP, PeopleSoft, Oracle, J.D. Edwards, Baan
ERP Basics
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ITEC 4030 Business Process Management Systems
Major characteristics of ERPs
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ITEC 4030 Business Process Management Systems
Nonintegrated versus integrated apps
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ITEC 4030 Business Process Management Systems
How ERPs improve business processes• “Separate” modules support the flow of information across
multiple functions/partners (see next slide)
• On-line and real-time information: All functions / partners can access data in real time
• Best practices (business blueprints):– SAP R/3 has over 1100 best practices available to choose from
– Best practices in major industries (automotive, retail, etc.)
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ITEC 4030 Business Process Management Systems
ERP Illustration (previously discussed in Lecture 9)
• Ordering: – Sales clerk enters order, checks discount and credit history and issues invoice– Can be done by customer through the Internet (ordering system is a web-based one)
• Inventory:– ERP application checks inventory and location of items
• Distribution:– ERP application alerts warehouse to ship portion of order in stock
• Manufacturing:– ERP application schedules production of the remainder of the order
• Manpower: – ERP application checks availability of workers to handle order – ERP application alerts personnel manager if temporary workers are needed
• Material planning: – ERP application checks availability of raw material needed for the order– ERP application alerts purchasing manager if more quantities must be ordered
• Order tracking:– Customer logs onto the ERP system through the Internet to check status of order
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ITEC 4030 Business Process Management Systems
ERP: Design & implementation issues• Design:
– C/S architecture: usually 3-tier or n-tier – Software:
• ERP modules requiring minimal coding and allowing for some customization • Platforms (Mostly Unix or Window), DBMS (Oracle, MS SQL, Sybase, DB2), Data
warehouse– Other design issues:
• Functional and non-functional requirements: See validated vendors’ specs • LANs/WANs bandwidth and availability• Security: access, encryption, firewalls, IDS, digital certificate
• Implementation: Lease (versus Buy) – ASP (www.mySAP.com) delivers apps through a MAN or WAN usually the Internet– Organization pays a flat fee + for service on a monthly, yearly or on per use basis – Benefits
• “Lower cost” for applications: Organization does not invest in software and hardware• Faster development (and shorter implementation!)• Organizations focused on their core business
– Limitations: Sensitive data + WAN’s response time (Internet’s unpredictable traffic)
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ITEC 4030 Business Process Management Systems
Phases of Business Process RedesignPhase 3 of 5
Integration
ModelingAnalysis Redesign
Scoping
Share Process Knowledge
Model AS-IS baseline Process
Analysis
Redesign “To-Be” Process Alternative
Select “To-Be”Design
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ITEC 4030 Business Process Management Systems
Planning process integration• Activities
– Examine alternative IT integration options– Adjust process design– Plan process implementation
• Deliverable: Process integration plan
• Key participants: IS design team + BPR team
• Focus was on the design of computer-based apps that:– Support/shape critical BPs (such as procurement, production and sales)– Allow for business integration (WFS, SOA & Web services, ERP)Trends: SOA and Web services (re-use of existing apps) v/s ERP (new
pre-packaged apps)
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ITEC 4030 Business Process Management Systems
Application exerciseYour Project (continued):
– Which apps should be integrated?– Why?– How?
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ITEC 4030 Business Process Management Systems
Thank you