Innovating with SAP Enterprise Service Content - a Practical Guide Derek Wood –LS Computing A CLEAR NEW AFRICA

“Service-oriented architecture is a best-practice architecture pattern for the systematic design of request/reply applications. Its primary intentions are business-level software modularity and rapid, non-intrusive reuse of business software in new runtime contexts.” - Gartner, Introduction to Service Oriented Architecture, 2003 “Service-oriented architecture is a design style for maximizing service sharing, reuse, and interoperability in distributed environments.” - Burton Group, Service-Oriented Architecture: Developing the Enterprise Roadmap, 2004 “A service-oriented architecture is a framework for integrating business processes and supporting IT infrastructure as secure, standardized components –services – that can be reused and combined to address changing business priorities.” - IBM, Service-Oriented Architecture (SOA) Compass, 2006 “Service oriented architectures (SOA) is an architectural pattern which requires all exposed functionality to be published as services in a platform- independent manner. These services can be consumed by other applications.” - SAP, Enterprise SOA development handbook 1.1, 2008

A Service-Oriented Architecture is a collection of services that communicate with each other Services expose functionality using a clearly defined method and interface Services are self-contained and do not depend on the context or state of another service Work within a distributed systems architecture

Enterprise services are "a standards-based way of encapsulating enterprise functionality and exposing it as a reusable business service that can be combined with other services to meet new requirements. Enterprise services, defined by SAP and its partners and customers, can be assembled together to compose new applications or enable new business processes." (Source: SAP) "A business process (such as order processing) is a set of logically related activities performed within or across an organization to fulfil a defined business objective." (Source: industry term.)

ES Content is pre-packaged integration content, which is created based on the SAP SOA design methodology This business content includes global data types, service interfaces, models, and mapping definitions IT professionals can use this pre-delivered content from SAP to jump-start their SOA implementations

1990’s Business Engineering ImplementationSOA Design & Governance Innovation Without Disruption SAP R/3 Reference Model SAP ERP Implementation Content Enterprise SOA Process Component Architecture Enterprise BPM Business Process Composition

 Only 37% of current SOA projects demonstrate ROI  SOA touches only 27% of current IT projects in the average organization  Only 32% of published software services get reused  By 2010, < 25 percent of large companies will have the sufficient technical and organisational skills necessary to deliver enterprise wide SOA. (Gartner)  60% of organizations will adopt SOA, and by 2010 it will be used in 80% of new system architectures  IDC forecasts that corresponding software expenses will constitute about 11 billion dollars

 SOA is considered to be a standard project  There needs to be a change in mindset  2nd tier talent is often used  Often do not have the right mindset  Under resourced  Need budget to invest in long-term gains  Vendors often define the solutions  Business needs to drive solutions  Requirements are not fully gathered  Need to have a holistic view to reap benefits

 Underestimating the technical complexity of a large-scale SOA  Insufficient validation or understanding of the SOA enabling technical infrastructure  Insufficient SOA infrastructure monitoring  Too-coarse / too-fine service granularity  Insufficient / out-of-date documentation

 Lack of attention to impact of implementing SOA  Insufficient change management for the IT service organization  Not leveraging integration/SOA competency centre  Thinking SOA projects should be run like any other  Not anticipating service growth in a maturing SOA  Outsourcing architects (or not having them at all)  Overlooking governance

Technical Invest in the right resources & tools Invest in training & professional services Demand SOA Governance Organisational Invest in Architecture Acquire appropriate skill sets and train internal resources Demand SOA Governance (Design time and runtime)

The analysts all agree that SOA Governance is key But enthusiasm for SOA and its anticipated benefits results in some companies taking risky shortcuts in establishing robust governance, service development disciplines and staffing There is no “one size fits all” approach governance, too little or too much governance will kill an SOA project, companies need just enough governance (Gartner,2007)

SOA Policies SOA Organisation The organizational structures, roles and responsibilities necessary for SOA Governance SOA Maturity The governance required at each level of SOA Maturity SOA Infrastructure The technical infrastructure available to support SOA Governance SOA Process The processes that need to be followed to establish governance, set and monitor policies Ref:

Business Strategy Business Governance IT Strategy IT Governance SOA Strategy SOA MaturitySOA Roadmap SOA Governance SOA Policies SOA Organisation The organizational structures, roles and responsibilities necessary for SOA Governance SOA Maturity The governance required at each level of SOA Maturity SOA Infrastructure The technical infrastructure available to support SOA Governance SOA Process The processes that need to be followed to establish governance, set and monitor policies

Flexibility Innovation Ecosystem of Innovation Industry-specific Enhancements Variations/Flexibility Stability Stability of the Core Lower TCO Standards Single trusted vendor

Business Process Innovation FlexibilityAgilityReusabilityProductivity

Innovate on Top of the Core Business Accelerate Innovation Faster Time to Process Change Compose Extend Application Processes Reuse Application Building Blocks Lower implementation costs Standardize Extend the Business Network Standards-based Integration Lower integration costs Integrate

SAPCustomer Partner Enterprise Service Repository SAP Business Suite SAP Software Component Version SAP Service Interface Enterprise Service Repository SAP Business Suite SAP Software Component Version Partner Software Component Version Data Type Enhancement SAP Service Implementation Partner Service Implementation SAP Service Interface Partner Service Interface SAP Service Interface Enterprise Service Repository SAP Software Component Version Partner Service Interface SAP Service Interface SAP Business Suite SAP Software Component Version SAP Service Implementation BAdI Data Type Enhancement BAdI Impl. SAP Software Component Version BAdI SAP Service Implementation Data Type Enhancement BAdI BAdI Impl. Partner Software Component Version Partner Service Implementation BAdI Enterprise Service Repository SAP Business Suite SAP Software Component Version SAP Service Interface Enterprise Service Repository SAP Business Suite SAP Software Component Version Partner Software Component Version Data Type Enhancement SAP Service Implementation Partner Service Implementation SAP Service Interface Partner Service Interface SAP Service Interface Enterprise Service Repository SAP Software Component Version SAP Service Interface SAP Business Suite SAP Software Component Version SAP Service Implementation BAdI Data Type Enhancement BAdI Impl. SAP Software Component Version BAdI SAP Service Implementation Data Type Enhancement BAdI BAdI Impl. Partner Software Component Version Partner Service Implementation BAdI Partner Software Component Version Partner Service Interface

 Huge amount of pre-built services available  Service enhancements are possible  SAP XI / PI not necessarily needed  It is required for any enhancements to SAP Content  It is a very capable ESB both SAP to SAP and SAP to non-SAP

 Start small - think holistically  Align with the organization (culture, structure, maturity)  Manage expectations internally as well as externally  Identify and involve all stakeholders from the start  Let the business process be key, not the technology  Get the right skills in place – business, architecture & technical  Process and services drive the project  Start with a process that matters but isn’t critical  Invest in Governance to save costs later

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