West Virginia University, Morgantown, WV

Wednesday, April 11, 2001

Information Exchange SessionInformation Exchange Session

www.mantech-wva.com

Mike Evanoff, Technical Directorevanoffm@mantech-wva.com

Overview

• Who is ManTech

• What is Electronic Data Interchange (EDI)

• What is Web-based Electronic Commerce

• The role of XML for Web E-Commerce

• Emerging Frameworks for Business to Business (B2B) E-Commerce

• Questions

ManTech.comManTech.com ManTech International Corporation

[ Fairoaks, Virginia]

* Founded in 1968 with Two (2) Employees

* Today has over 5,000 Employees Worldwide

* 132 Offices in 29 States / 8 Foreign Countries

* Sales FY00 nearly $ 0.5 Billion

Defense * Environmental * Aerospace * Telecommunications * ATE Programs

Enterprise Integration Center (e-IC) Enterprise Integration Center (e-IC) Mission StatementMission Statement

1994 2001+

““Information Technologist(s)”Information Technologist(s)”

“Our Principal Mission is to Provide the U.S. Department of Defense (DoD) with a Range of Advanced Information Technology Strategies Coupled with Business Case ModelingTechniques, Functional Application Design and Development,and the use of Information Exchange Standards that Contribute to the Concept of a Shared Integrated Environment (Data/Information/Knowledge) Between the DoD and their Industrial Partners”

Concept Formulation * Requirements Definition * Business Process/Models * Pilot DemonstrationsConcept Formulation * Requirements Definition * Business Process/Models * Pilot Demonstrations

www.mantech-wva.com www.dcnicn.com

Internet TechnologiesInternet Technologies

* The Internet Technologies are the Foundation for every Project we have In-house

• Search Engines

• Collaboration Tools

• Multi-Media Technologies

“We moved in a very short time span from limited access to “Information Overload” (GLUT)”

“At no time in our history has so muchInformation been available to so many”

• E-Commerce Technologies

• Business Intelligence • Training & Education

Fairmont, WV

Charleston, WV

Hinton, WV

Enterprise Integration Center (e-IC)Enterprise Integration Center (e-IC)2000+1994

1994 Present

* Our Enterprise Integration Center (e-IC) Operates as a “Virtual Corporation/Enterprise”* We are not only Just an Equal Opportunity Employer but a Fifty/Fifty Employer

* We have Fully Integrated Program/Project Teams* No single tasking to any one Company ----- Including ManTech* Overall Staffing Turnover <6% [7 year margin]

ManTech e-IC Sub-tier Team

e-IC Summary by Customer / 2000e-IC Summary by Customer / 2000

OSD/DoD

DLA

US Navy/ONR

Navy Reserve (USNR)

State Government

CALS Korea

*Reflects less than 1% of Total

OSD/DoD 45%DLA

31%

ONR 12%

State 2%

USNR 10%

*CALS Korea

(LAMP/CALSIDE)Multiple agencies support over9 projects

• IETM Ordering Process• Supply Chain Mgmt Council• E-CAT

• SILS

• Computer Based Training

• Health/Human Resources Network Support

Electronic Commerce

• Electronic Data Interchange (EDI)• Electronic Catalog Systems (e-Procurement)• Web Applications

– Foreign Customs Clearance– Type Designation Automation

• Emerging E-Commerce Frameworks– Tools, Technologies, and Standards– Migration Plans– Concept of Operations

Definitions

• Electronic Data Interchange (EDI)– The automated exchange of transaction data

between two or more interoperating application programs;

– The computer-to-computer transmission of (business) data in a standard format.

Definitions

• E-Commerce (EC)– Transacting business via electronic means.

– This includes all forms of electronic media such as FAX, E-mail and EDI.

– Electronic Commerce is NOT restricted to EDI only.

• E-Business (EB)– The application of electronic commerce

techniques and solutions to the business processes of an organization.

What is EDI?

Electronic Data Interchange is the exchange of standardized business documents from computer to computer.

Documents such as purchase orders and invoices are transmitted from one computer to another in a mutually agreed upon electronic (paperless) format.

EDI: The Definition

Purchase Order

------------------------

EDI is a critical part of Electronic Commerce because it enables computers to exchange data electronically, which is much faster, cheaper, and more accurate that paper-based systems. To gain the maximum benefits of EDI, an organization’s systems must have two characteristics:

• the flow of information must be integrated

• the automated business management systems must be intelligent.

These systems must be able to automatically process routine transactions according to those limits defined by the businesses conducting trade.

Company A

Company B

EDI System Components

Knowing the standards and having an EDI translator is not enough. EDI cannot be done efficiently without being integrated with other components.

EDI System Components: SOFTWARE

Application Systems EDI Translator

Financial Systems Personnel Systems Purchasing Systems Compliance Checking

Data Mapping Translation I nterpretation Audit Tracking Send/ Receive

The application interface software is the software bridge developed to facilitate the interface between the automated business management system software and the standards translation software.

EDI System Components: COMMUNICATIONS

• Value Added Network (VAN)

• Value Added Service (VAS)

• Internet (www)

• Direct Dedicated Connection

What's the difference between a VAN and a VAS?

A VAN is only responsible for moving your transaction through a network to the addressee.

A VAS, however, normally provides translation services, conversion from FAX or Internet to EDI, security, reports, troubleshooting, etc. Some, but not all, VANs are also VASs.

EDI System Components: HARDWARE

• Workstations

• LANs

• Modems

• Mainframes/Servers

• Routing Devices

•Intranets

•Gateways

EDI System Components:STANDARDS

ASC X12 Transaction Sets

• American National Standards Institute (ANSI), Accredited Standards Committee X12

• Data descriptions of business functions (invoicing, purchasing, applications, etc.)

UN/EDIFACT

• United Nations rules for Electronic Data Interchange For Administration, Commerce and Transport

• Comprise a set of internationally agreed standards, directories and guidelines for the electronic interchange of structured data

** Please note that X12 and EDIFACT terms will be used interchangeably throughout this presentation.

Transaction Set/Messages

As previously noted, EDI is the electronic exchange of business information using standard machine-processible data formats. A standardized formatted message is called a transaction set (ASC X12) or message (UN/EDIFACT), which is the electronic equivalence of a paper document.

Example transaction set/message:

Document ASC X12 UN/EDIFACTPurchase Order 850 ORDERS message

I nvoice 810 I NVOI C messageAcknowledgement 997 CONTRL message

Transaction Set/Messages, cont’d.

Transaction sets provide the structure of the segments to be used including:

Transaction Set/Messages, cont’d.

Intended for machine processing - not human readable!

EDI Communications -VAN and/or Direct Dial-up

ApplicationSystem

ApplicationSystem

Modem

ApplicationSystem

ApplicationSystem

Tran

slat

or

Tran

slat

or

VAN

Direct Dial-Up Line

Modem

Web Browser Web Browser

Internet

B2B EC Emerging Trends for U.S.

0

200

400

600

800

1000

1200

1400

1600

1800

2000

1998 1999 2000 2001 2002 2003

Internet EDI$ Billions

Source: Boston Consulting Group

Legacy to the Future

• EDI in use by big Fortune 1000– See statistics: 95% of Fortune 1000 use EDI today– The Government is a big user of EDI

• XML is coming on like a tidal wave– Both Big Industry & the Government are

embracing XML– The goal is to transition smoothly from X12 EDI

& Legacy Systems to Standards-based XML solutions

$403

$953

$2,188

$3,949

$7,297

$-

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

2000 2001 2002 2003 2004

Source: Gartner

Gartner Group forecasts the global dollar volume of goods exchanged by businesses over the Internet will reach $7 trillion by 2004!

7% of global transactions!

Business-to-Business Forecasts

Bonjour? Hello?

A Definitive Need for Standardization

Global Standards will enable:• Minimized the need for training personnel in use and maintenance of EDI standards

• Eliminating the costs associated with duplication of functionality

• Minimizing the need for multiple translation software, and

• Semantic harmonization, which in turn will provide interoperability among different but interconnected applications

XML

Standards provide Interoperability

• What is Interoperability?– The ability of software and hardware on multiple

machines from multiple vendors to communicate.

• Interoperability occurs at many levels:– Syntax (data format)– Semantics (agreed meaning - ‘tag set or

vocabulary)– Transport & Routing System– Character Sets (see www.unicode.org), etc.

Before the Web

• SGML - Standard Generalized Markup Language– SGML is a framework for describing languages that

themselves describe the structure and semantics of data using DTDs[*]

• SGML was created by Dr. Charles Goldfarb for managing legal documents.– While at IBM Dr. Goldfarb led the project that invented

SGML's precursor, GML, in 1969.

– SGML became an ISO standard circa 1986[*] DTD’s provide a common tag set for describing the structure, syntax, and semantics of documents and data

Birth of the Web• HTML - HyperText Markup Language

– HTML is an SGML DTD creating a syntax that is used and understood by all web browsers

• Tim Berners-Lee used HTML as the basis for his World Wide Web

• Amidst a wider discussion of how to add media and binary elements to HTML, Marc Andreesen added image support to Mosaic, released it on the Internet, and the Web as we know it today was born.

The need for extending HTML

• Separate Application Logic from Presentation Style– Increased Information Intelligence

• Searching & Shopping Agents, Integration, etc...

– Knowledge Management

• Data interchange between Web clients

• Moving processing from server to client

• Multiple client-side views w/o new data

The need for extending HTML

• “Information push” to / from personalized applications

• Intelligence: How well data knows itself. – Not enough metadata with HTML

• Adaptation: How well data changes in response to changing times. – Not enough with HTML

• Maintenance: How easily data is cared for.– Not enough with HTML– HTML not extensible

Evolution of Web

• 1st Generation Web– Dumb display of info using HTML

• HTTP, URL, and CGI

• 2nd Generation Web– Semantically rich document exchanges with XML

– More sophisticated ways to process and manage Web data

• 3rd Generation Web– Integrated Grid of e-Services

• Intelligent Agents and Agencies (terms borrowed from Marvin Minsky essay)

• Distributed Registries & Repositories

What is XML?

• XML is a platform-, a database-, a language- and media-independent.

• It is ideal for Web applications

– data-centric– easy to distribute– easy to manipulate on both client & server– easy to re-purpose data for different applications

• Both human and machine readable

What is XML?• XML really refers to a core family of

specifications maintained by the W3C:– XML Language (the markup language)

• Subset of ISO 8879 (SGML) optimized for the Web– qualifies as an ISO accredited standard

– XML Namespaces (way to prevent tag collisions)– XSLT (XML to XML transformation language)– XML Schemas (new document design language)– XPath (for specifying ways to traverse XML docs)– XLink & XPointer (pointing and linking to XML)– and other complementary spec’s...

- final approval as a standard by the W3C

A new way to do EDI

• XML provides a radical new way to build EDI systems.• Standardized variants of XML are being developed for one

industry after another, making Web-based supply chain integration a reality by providing a common data interchange format.

XML from an E-Business Perspective

• E-Business Scenarios:1. Computer to Computer (Application to

Application – A2A)• Pre-XML

– Electronic Data Interchange (ANSI X12, UN/EDIFACT)

• Post XML– XML/EDI, Industry XML Vocabularies (RosettaNet,

xCBL, cXML, etc.)

2. Human to Computer• Web browser, Handheld, TV, Phone, etc.

Generic E-Business Framework

ApplicationSystem

ApplicationSystem

Modem

ApplicationSystem

ApplicationSystem

Tran

slat

or

Tran

slat

or

VAN

Direct Dial-Up Line

Modem

Web Browser Web Browser

Internet

XML XML

EDI EDI

XML/EDI XML/EDI

Cost & complexity!

Emerging n-Tier B2B Framework

XML

XML

XML

XML

Component based software capturing the business logic needed for a particular application.

XML capable client applications, Web browsers, etc.

XML enabled DBMS’s, middleware, backend application systems, etc.

XML

SOAP

I II... III...

UDDI, WSDL

SOAP

XML ContentXML ContentDatabases

PlatformPlatform“The Internet”

Processing / IntegrationProcessing / Integration• Standard APIs - DOM / SAX - JAXP - etc. • XSLT• Perl• SQL • etc.

App’s

Servers

PresentationPresentation

HTMLXHTML

XML

FOs

Voice, etc.

CSS, XSL(T

)

XML Application Architecture:“XML is becoming ubiquitous with its emergence in the client,

server, application, DBMS, and middle layers”

“Mapping & Translation” Media

DOM

SOAP-UDDI-WSDL

Some XML E-Business Stat’s

• GartnerGroup - forecasts that by the year-end 2001 XML-defined B2B transactions will account for 70% of biz transactions executed on the Web.

• Also forecasting that 80% of A2A traffic passed over the net will be in XML formats, and that 50% of Web server content will be stored in XML formats.

Comparing XML to EDI

XML E-Commerce solution

• Optimized for easy programming

• Requires web server costing $0 to $5000

• Uses your existing Internet connection

• XML message format learned in hours

• Use standard open APIs with your choiceof programming languages (Java, Perl, etc.)

• Leverages emerging Web Infrastructure

EDI E-Commerce solution

• Optimized for arcane compact messages

• Requires dedicated EDI software costing $10,000 to $100,000

• Uses value-added network (VAN) charging $1 to $20 per message or more

• EDI format takes months to master

• Requires highly specialized programmers and EDI mappers

• Declined growth and development

XML

EDI

ebXML Introductionhttp://www.ebxml.org

• What is ebXML?– tech spec / & develop as they go

• Why did ebXML form?– natural way to bring next generation EDI to the Web

• When did it get started / when will it finish?– 16 months into 18 month project

• How is it being developed?– 3 step process, requiring two-thirds approval– via open meetings & proof-of-concept systems

BizTalk http://www.microsoft.com/biztalk, http://www.biztalk.org

• BizTalk was announced in March of 1999 and is a Microsoft server product for the XML and EDI business exchange/integration marketplace

• BizTalk is two things:– BizTalk Framework– BizTalk Tools and Server

• Targeting providing a complete solution for both traditional EDI (X12 & EDIFACT) and XML business integration

RosettaNet http://www.rosettanet.org

• Founded in June 1998, RosettaNet is an independent, self-funded, non-profit consortium dedicated to the development and deployment of standard electronic commerce interfaces to align the processes between IT supply chain partners on a global basis.• RosettaNet’s global initiative is to adopt and deploy open and common business interfaces, enabling small and large buyers and sellers of computer technology to do electronic business more efficiently.

• More than 200 companies representing $1 trillion in annual information technology and electronic components revenues currently participate in RosettaNet's standards development, strategy and implementation activities.

Summary

• EDI is the foundation for emerging Web-based B2B e-Commerce frameworks

• Web Technologies like XML (and related technologies) are enabling new frameworks for conducting e-Commerce

• Commercial and Government groups are in the process of developing frameworks (suites of specifications) for B2B e-Commerce

• New tools and services are rapidly emerging– This truly an exciting time to be in the business!

Thank You!

Time for Questions