Inter Business Integration

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Inter Business Integration

• Linking systems across organisations

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• Electronic Data Interchange (EDI)
• Standardizes the process of trading and tracking
  routine business documents
• Documents translated into a globally understood
  business language
• Transmitted using secure telecommunications links.

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• The EDI transmission format is defined at a low
  level.
• All participates must agree on content
• The translation process is platform specific
• The telecommunication link is implemented with
• Leased or dedicated telephone lines
• Value Added Networks (VAN)

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• Used for 30 years
• Standards include
• United Nations EDI for Administration
• Commerce Trade (EDI-FACT)
• ANSI X.12
•  
• Less than 3 of US businesses use EDI !!!

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• Limitations of Traditional EDI
• Significant initial investment required
• Business processes need to be restructured
• Long-startup times are needed
• Private VANs are expensive
• Operating cost of EDI is high
• Multiple EDI standards
• EDI systems are complex to use
• Converters required to translate business
  transactions to EDI

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• EDI has not been taken up because it doesnt meet
  business needs
•  
• Difficult to enable more firms to use it
• Does not encourage full integration into trading
  partners business processes
• Implementation is complex
• It does not expand capabilities of online
  information exchange
• These problems are related to the EDI
  infrastructure!

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The EDI server and document structures are
developed at the individual business level.
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• Internet-based EDI may solve many of the
  problems.
• Publicly accessible
• Few geographic constraints
• Reaches a wide audience with no viable
  alternative
• Large scale connectivity (without special
  networking architecture)
• Communications via the internet are at least 50
  cheaper
• Complement or replace current EDI practices
• Internet tools like browsers and search engines
  are easy to use
• Most users know how to use the tools
• Web-based EDI is interactive, normal EDI is not.
• The internet is coincident with business
  interests to deliver an increasing variety of
  products services electronically.

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• Common Types of Internet EDI
• Email as the transport mechanism in place of VAN
• Standards are being developed(S/MIME).
• Use of an extranet with trading partners.
• Web-browser based forms whose fields match EDI
  documents
• Web-based EDI hosting services
• Netscape Enterprise Harbinger Express
• But much of this will be replaced or enhanced
  with XML

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XML and family

• A new direction in business integration.

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• SGML standard generalised markup language
• HTML hypertext markup language
• XML extensible markup language
• SOAP simple object access protocol

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• With XML as the basis for a project
• Access to a large community of tools and
  engineers experienced in the technology
• Opting for XML is a bit like choosing SQL for
  databases you still have to build your own
  database and your own programs and procedures
• XML is license-free, you can build your own
  software around it without paying anybody
  anything.
• You are also not tied to a single vendor. XML
  isn't always the best solution, but it is always
  worth considering.

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• With XML
• The interface standard can be chosen from the
  appropriate industry standard
• The industry standard is easily applied by all
• With EDI
• The interface standard must be developed between
  partners
• The standard is not easily transferable to other
  organisations

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• Many large organisations participate in standards

• IT companies
• SAP
• Microsoft
• IBM
• Peoplesoft
• Oracle

• Industry Organisations
• Insurance
• Financial services
• Airlines
• Automobile
• E-business

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• Industry Standards Organisations
• Ariba Ariba,Inc. http//ariba.com/
• BizTalk Microsoft BizTalk http//www.biztalk.org/
  
• Commerce One Commerce One, Inc. http//commerceone
  .com/
• ebXML Electronic Business XML http//ebxml.org/
• esoh xml.org Environmental, Safety and
  Occupational Health Information http//www.esohxml
  .org/
• FpML.org Financial products Markup
  Language http//www.fpml.org/
• HR-XML.ORG HR-XML Consortium http//www.hr-xml.org
  /
• IFX Interactive Financial eXchange Forum,
  Inc. http//www.ifxforum.org/
• OAG Open Applications Group http//www.openapplica
  tions.org/
• OASIS Orgnztion for the Advncmnt of Strctured
  Information Standards http//www.oasis-open.org/
• OBI Open Buying on the Internet
  Consortium http//www.openbuy.org/
• OMG Object Management Group http//www.omg.org/
• OTA Open Travel Alliance http//www.opentravel.com
  /
• pidx Electronic Commerce in the Petroleum
  Industry http//www.pidx.org/
• RosettaNet http//rosettanet.org/
• QRS Portal for QRS Corp. Applications http//www.q
  rsonline.com/
• Spec2000 Spec2000 / ATA Aviation
  Marketplace http//www.spec2000.com/

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EDIFACT
XML

• lt?xml version"1.0"?gt
• ltPurchaseOrdergt
• ltdategt2003-04-18lt/dategt
• ltponumgt1245lt/ponumgt
• ltshipTogt
• ltnamegtMeg Holtzlt/namegt
• ltstreetgt34 Avalon Streetlt/streetgt
• ltcitygtFootscraylt/citygt
• ltstategtVIClt/stategt
• ltpostcodegt3010lt/postcodegt
• lt/shipTogt
• ltlineitemsgt
• ltItemgt
• lttitlegtThe dawnlt/titlegt
• ltpricegt48.95lt/pricegt
• lt/Itemgt
• ltItemgt
• lttitlegtBirds of Australialt/titlegt
• ltpricegt89.95lt/pricegt

UNBUNOA24962277418621216106611000129905201
200IntRef12345678 UNHMsgRef12345678ORDERSD98
BUN BGM220Purchase Order DTM420030418102
NADSTMeg Holtz34 Avalon
StreetFootscrayVIC3010US LIN10 IMDF
The DawnEN MOA2348.95USD LIN20 IMDF
Birds of AustraliaEN MOA2389.95USD UNT
10MsgRef12345678 UNZ1IntRef12345678
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B2B Communication with XML
Where are the advantages?
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• Like HTML, XML files are text files
• That people can read
• that people shouldn't have to read,
• but may when the need arises.
• Compared to HTML, the rules for XML files allow
  fewer variations.
• Well formedness is required
• Validation is possible
• XML files are often larger than binary formats.
• Conscious decision by the designers of XML.

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• XML 1.0 is the specification that defines what
  "tags" and "attributes" and namespaces are.
• "the XML family" is a set of modules that offer
  useful services
• XLink describes hyperlinks for an XML file.
• CSS is applicable to XML as it is to HTML.
• XSL is the advanced language
• DOM is a set of function calls for manipulating
  XML (and HTML) files from a programming language.
  
• XML Schemas 1 and 2 help developers to precisely
  define the structures of their own XML-based
  formats.
• See W3C's technical reports page.
• http//www.w3.org/TR/

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• Document type definitions (DTDs)
• A set of syntax rules for tags.
• It tells which tags can be used in a document,
• the order in which they should appear,
• which tags can appear inside others,
• which tags have attributes, and so on.
• XML is not a language it is a system for defining
  languages
• it doesn't have a universal DTD the way HTML
  does.
• each industry or organization that wants to use
  XML can define its own DTDs.

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• XML schemas
• A schema defines a set of XML elements and
  attributes and the rules for their correct
  combination.
• XML schemas provide a superset of capabilities
  found in DTDs.
• XML schemas provide support for datatypes and
  namespaces.

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• XML namespaces
• XML namespaces provide uniquely qualified names
• Element and attribute names are associated with
  namespaces identified by URI references.
• Allows the combination of information from
  different data structures.
• For example, if one attempts to combine book
  information and author information in a single
  document, a conflict between the "title" of the
  book and the "title" of the author could result.

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• XML standards definitions
• Found at web sites
• http//www.w3.org/TR/
• http//www.w3.org/TR/REC-xml
• http//www.w3.org/TR/REC-DOM-Level-1/
• http//www.w3.org/TR/xmlschema-1/
• http//www.w3.org/TR/xmlschema-2/

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• Simple Object Access Protocol (SOAP)
• SOAP enables applications to talk to Web services
  as though they were applications.
• Allows web sites to become applications that can
  be accessed programmatically as well as through a
  browser.
• SOAP is Internet-savvy, open standards-based and
  easy to work with because it is easily readable
  by humans.

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• Microsoft BizTalk Framework
• The Microsoft BizTalkTM Framework is a
  comprehensive XML-based implementation framework
  developers can use to design and implement
  solutions based on a Web Services Architecture.
• Establishes a set of guidelines for the
  publishing of schemas in XML and the use of XML
  messages to easily integrate software programs to
  build rich, new Web-based solutions.

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• Microsoft BizTalk Server
• BizTalk Server provides the tools and
  infrastructure
• To exchange business documents using XML
• Supports various platforms and operating systems
• Independent of the application used to process
  the documents.
• Provides easy exchange documents between
  applications within an organization.
• Provides a standard gateway for sending and
  receiving documents via the Internet.
• BizTalk-compatible messages and compliant schemas
  enable BizTalk Server organizations to conduct
  business online effectively and efficiently.

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lt?xml version"1.0"?gt ltPurchaseOrdergt ltdategt2003-
04-18lt/dategt ltponumgt1245lt/ponumgt ltshipTogt ltnam
egtMeg Holtzlt/namegt ltstreetgt34 Avalon
Streetlt/streetgt ltcitygtFootscraylt/citygt ltstategt
VIClt/stategt ltpostcodegt3010lt/postcodegt lt/shipTogt
ltlineitemsgt ltItemgt lttitlegtThe
dawnlt/titlegt ltpricegt48.95lt/pricegt lt/Itemgt ltI
temgt lttitlegtBirds of Australialt/titlegt ltpricegt
89.95lt/pricegt lt/Itemgt lt/lineitemsgt lt/PurchaseOr
dergt

• XML practice
• Prepare a XML document for this form

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• Questions
• Is your document well formed? Explain.
• Is your document valid? Explain.
• XML is said to support hierarchical structures.
  Does your document show this feature? Explain.

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• Integration with Information Systems
• Most sites are seller-oriented marketplaces.
• Integration with the buyers back-end info system
  needs to be resolved for effective procurement
  management.
• Typical back-end systems are based on the
  Intranet, DBMS, legacy systems, and ERP
• DBMS support Web-based access
• Key concern how to integrate EC platform with ERP

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• Enterprise Resource Planning (ERP)
• Application software that provides a centralized
  and integrated repository of information within
  an organization
• Approaches to Integrating ERP
• Inside Out
• Outside In

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• Inside Out
• Extend ERP applications through a Web Interface
• Difficult to integrate with multiple systems
• e-Business process needs to map directly with the
  ERP system
• Both the buyer and seller must use the same ERP
  product.
• Does not support multiple back end systems

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Inside Out
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• Outside In
• An application server is used to integrate
  multiple systems
• Application server integrates multiple back-ends
• Limited by the capabilities of the application
  server

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Outside-In Approach
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• Open Electronic Cart
• Buyers shopping cart is kept locally.
• Order is stored and made from cart
• The open-file format allows easy integration with
  ERP

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Required features of B2C compared to
B2B Management of buyer information at buyer
sites.
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Comparison shopping with buyers own e-cart
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Just-in-time delivery
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Buyer-oriented directory
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Formal contract with bidding process
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Organizational purchasing decision
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Agent-based commerce
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Secure large payment