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Title: End to End Resource Planning: Towards Real-time Value Chain Optimization


1
End to End Resource PlanningTowards Real-time
Value Chain Optimization
  • ANYU LEE

2
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

3
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

4
Change of business environment
  • business environment is tougher than ever
  • more demanding customers
  • intense competition
  • new regulation
  • Globalization
  • ongoing march of technology
  • companies want to

5
Change of business environment
  • companies want to maximize their business
    results
  • Revenues up
  • profits up
  • costs down
  • Growth becomes critical

6
State of the enterprise
  • Operational Costs Consume IT Budgets
  • 70 of IT budget spent on sustaining and running
    existing systems
  • Only 30 on new capabilities
  • Enterprises typically want to spend 45 on new
    capabilities
  • Crisis of Complexity
  • No green-field development
  • New applications must integrate with existing
    heterogeneous legacy systems
  • IT Must Deliver Business Agility
  • Support new business opportunities
  • Leverage new technologies

7
Changes in IT Architecture
  • Business management pushes for better IT
    utilization and greater ROI
  • Re-Use of assets
  • Integration of historically separate systems
  • Merger and acquisition have become a fact of life
  • Integration of historically separate systems
  • New systems must be developed with (current or
    future) heterogeneity in mind
  • Internet everywhere has created a set of new
    business models

8
Shift to Service-Orientation
  • What is a "Service" ?
  • A reusable business process or business function
    that can be accessed through the standard web
    technologies
  • Why?
  • Business and Business processes drive
    organizations not IT
  • Better correlation with Business
  • Implications
  • Re-factor existing systems extracting correct
    business services

9
Service Oriented Architecture
  • Focus on exposing units of business logic as
    services. They are
  • loosely coupled,
  • standards based,
  • message driven,
  • published and discoverable

10
Interoperability via SOA
  • Data, logic and infrastructure accessed by
    routing XML-based messages (Web Service)
    throughout Internet
  • Location is meaningless
  • Multiples Services suppliers
  • Ubiquitous computing
  • preserves and connects existing systems
  • Using the Right Software Architecture brings
    exponential productivity gains

11
SOA in Action (example)
12
the next step of SOA
  • How to coordinate different services in business
    context?
  • How to provide a better business logic for
    enterprises?
  • How to route a business process automatically and
    intelligently?
  • The answer is resource planning

13
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

14
EERP concept resource planning
  • With SOA and open standard, we can now help
    enterprises to improve their profits and sustain
    the profits, we introduce
  • SORP Service oriented resource planning
  • SORP can optimize resources inside or outside of
    a enterprise, for example
  • SO-SCM
  • Optimize the resources of a enterprise and its
    suppliers.
  • SO-CRM
  • Optimize the resources of a enterprise and its
    sales/mareking partners or its customers.
  • EERP
  • End to end resource planning, optimize the
    resources along an specified value chain.

15
What does EERP do?
  • What is it?
  • A new way to look at enterprise IT application
  • Integration inside and outside of a enterprise
    border.
  • A new software architecture and platform
  • a collection of Web Services that perform various
    enterprise functions, data exchange, process
    integration, collaboration and other relevant
    work.
  • A self-healing, intelligent, and reliable service
    choreograph platform (SoftGrid)

16
Real-time Value Chain Optimization
Optimize for time
Business goal
Optimize for profit
Optimize for
Intelligent searching scheduling
Real-time Value Chain Optimization
Extended UDDI
EERP platform
QoS
desc
Real-time auditing measuring
SCM Services
CRM Services
ERP Services
MRP II Services
Service layer

17
Real-time Value Chain Optimization
  • When business goal contains more than one
    criteria
  • It become a question of Multiple Criteria
    Decision Making(MCDM)
  • Can be solved by weight model or fuzzy methods,
    analytic hierarchy process and linear
    programming, etc.

18
EERP briefing
  • How does it work?
  • Vendors base on EERP principle to develop next
    generation enterprise application
  • SaaS for enterprise application
  • Backend platform to support flexible service
    choreograph
  • Service management
  • Enterprises use EERP to manage all relevant
    resources to achieve specific operation
    objectives.
  • Value chain integration
  • Dynamic decision support
  • Integration with eCommerce / online marketplace

19
Introduction to EERP
  • EERP is one of the most important practices of
    Service oriented resource planning.
  • EERP consulting services
  • Help enterprises understand the operation
    objectives from 360 degree of their specific
    value chains.
  • EERP toolkit
  • Value chain decomposition, service identfication,
    service choreograph and integration.
  • EERP implementation
  • Different deployment strategies, could be either
    SOE or true SOE implementation with third party
    service integration.
  • EERP QOS management
  • Model, protocol to precisely manage QOS along the
    value chain to achieve end to end QOS assurance.

20
EERP the possible killer app on SOA
  • SOA vs. past technology
  • It directly maps business to the IT
    implementation, so it solves todays enterprises
    big problems (fast changing world)
  • It enables the enterprise IT application
    integrate with almost every partners services,
    and run on a much broad and heterogeneous network
    environment.
  • EERP vs. past IT application
  • It tells the whole story of the enterprise
    performance and operation.
  • It ties enterprise operation with the market
    dynamics

21
EERP manufacture(1/2)
  • Reference implementation
  • A furniture manufacturer.
  • Value chain identification
  • Service-lization SCM, ERP, CPM (channal partner
    management), eMarektplace (Alibaba,
    furniture.com.cn and many other relevant
    eCommerce portals)
  • Service choreograph guideline (direct sales,
    channel sales, rental instead of sales and so
    on.)
  • EERP decision support console
  • Batch and then real time interaction with all
    operational systems

22
EERP manufacture(2/2)
  • Results
  • Identify the key revenue / profit bottlenecks and
    reveal the dynamic pattern of those bottlenecks.
  • Demonstrate the revenue / profit strong
    correlation with market environment, even with
    the stock prices of certain key related
    companies.
  • Prove concept the cost of manufacture is no
    longer a key problem for todays manufacturers,
    instead the resources outside of the company
    command the revenue and profit.
  • Help company to completely change its business to
    furniture lease and customized furniture
    manufacture.

23
EERP eGovernment(1/2)
  • Reference implementation
  • GSP (government service platform)
  • 20 government processes selected
  • Objectives identified as fast throughput,
    tighter control, accuracy, policy impact and
    correlation with central government policy.
  • 200 eGovernment applications are converted to
    WebServices.
  • Modified ESB to a GSP (SOAP WSDL BPEL)

24
EERP eGovernment(2/2)
  • Early results
  • Help government customer to understand the G-B,
    G-P dynamics.
  • Identify the bottleneck of policy implementation
    and rule adoption.
  • Identify which crowd has a better access to the
    government services.
  • Help innovation in the process reform and
    organization simplification.

25
EERP consumers(1/2)
  • Reference implementation
  • Best career planning service for college
    graduates
  • 10 career paths selected
  • 300 career develop related services identified
    (employee services, training services, marriage
    services, real estate agency, travel services)
  • UDDI setup for career related service management
  • Drag/draw to define the career paths, and
    selection of personal objectives (key words Fast
    path to rich, pleasant family life, entrepreneur,
    and so on).
  • Could be a very good online personal career
    service portal.

26
EERP consumers(2/2)
  • Results
  • Very sticky online service for students.
  • Now can compare different career paths for the
    most efficient way to achieve goals
  • Identified the college education importance is
    less than 10 for certain career objectives?
  • Identified early marriages are vital for certain
    career objectives?
  • Help government office to review the career
    training policy.

27
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution

28
EERP QoS(1/9)
  • Services are
  • able to measure
  • able to map to a business practice
  • may consist of services
  • able to test independently
  • able to observe the state change
  • Security, access control

29
EERP QoS(2/9)
  • Fundamental of QoS
  • Service must has business meaning
  • Service implements business logic
  • Service must be measurable
  • if you cannot measure it, you cannot manage it.
  • Use business factors to measure service

30
EERP QoS(3/9)
  • Service can be combined and complex
  • QoS measurement in a recursive way

31
EERP QoS(4/9)
32
EERP QoS(5/9)
  • SOA as an application pattern
  • loosely coupled
  • dynamic binding

33
EERP QoS(6/9)
  • Ubiquitous service QoS measurement and management
  • Stand-alone QoS management
  • Dynamic auditing
  • Dynamic data exchange with UDDI

Registry
Quality management center
Exchange info
Audit
Audit
Consumer
Provider
34
EERP QoS(7/9)
  • Two approaches for consumer to find a service
    that match its requirement
  • Look for service in Registry only
  • Look for service in Registry and Quality
    management center both(QoS on demand)

Registry
Quality management center
Exchange info
1
1
Query and answer
describe
Query and answer
2
Consumer
Provider
Extended service info(with QoS)
QoS Info
Registry Info
35
EERP QoS(8/9)
  • Quality index
  • throughput time
  • value range of a given parameter (for example,
    cost)
  • accuracy of a given parameter
  • availability

36
EERP QoS(9/9)
  • Quality assessment can be multi-objective
  • Cost/time/accuracy/ or any combination of them

37
EERP Service management
  • Service describe
  • Service structure and re-structure
  • Service auditing
  • Service life-cycle management

38
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

39
EERP Service granularity
  • Three types of service according its semantic
    meaning
  • Fine granularity service
  • Medium granularity service
  • Coarse granularity service

40
EERP Service granularity
  • granularity effects service re-usability greatly

Service
Re-use scale
Re-use efficiency
re-usability
stability
coarse
small
high
low
low
large
low
high
high
fine
41
EERP Service granularity
  • Aim of Optimization
  • To reduce un-stable factors within coarse
    granularity services as much as possible, utilize
    superiority of re-use coarse services, to improve
    re-user efficiency.

42
EERP Service granularity
  • granularity how to measure
  • Amount of computation the service afford
  • granularity can be calculated by the business
    process the service implements, namely, count of
    the code lines in the source code of the service.
  • Generally its difficult to measure service
    granularity accurately.

43
EERP Service granularity
  • Service optimization based on service reuse
    efficiency measurement

44
EERP in full life-cycle of infomationalization
  • requirement analysis
  • design
  • coding
  • testing
  • deploy
  • system run
  • maintenance
  • upgrading
  • invaliding
  • Standards
  • Prototype
  • Service
  • Low cost
  • Short time
  • extensibility
  • configurable
  • Easy to maintenance
  • Dynamic adaptation
  • Platform
  • Application

45
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

46
Standards to be researched on
  • QoS assessment criteria hierarchy based on SOA
  • QoS deployment standard based on SOA
  • QoS integration standard based on SOA
  • Service re-structure standard based on SOA
  • Service auditing standard based on SOA
  • EERP business process definition standard
  • EERP business process quality assessment standard
  • EERP business process auditing standard

47
QoS assessment criteria hierarchy based on SOA
  • Function Quality of Service(QoS) is a critical
    technical problem in application of SOA.
    Assessment criteria hierarchy of QoS will guide
    the definition and optimization of service in
    SOA-based systems.

48
QoS assessment criteria hierarchy based on SOA
  • Main content
  • 1. QoS assessment criteria hierarchy based on
    SOA
  • 2. QoS assessment criteria explained in detail
  • 3. Method to decide weights of assessment
    criteria

49
QoS deployment standard based on SOA
  • Function To ensure services complete with
    quality that user demanded in SOA systems, QoS of
    services(and sub-services of combined services)
    should be dynamically managed. Those business
    processes can satisfy users command will be
    selected and executed.

50
QoS deployment standard based on SOA
  • Main content
  • 1. QoS deployment patterns in SOA systems
  • 2. QoS deployment methods with each deployment
    pattern

51
QoS integration standard based on SOA
  • Function In SOA systems, low-level services of
    business operation form high-level services
    gradually. During the integration process, how to
    ensure QoS of combined services.

52
QoS integration standard based on SOA
  • Main content
  • 1. QoS integration patterns in SOA systems
  • 2. QoS integration methods with each integration
    pattern

53
Service re-structure standard based on SOA
  • Function SOA-based system consists of multiple
    level, multiple granularity services. Service
    granularity greatly effects reusability, reuse
    efficiency, and service management efficiency.
    This standard focuses on optimization and
    assessment methods of services through service
    re-structure.

54
Service re-structure standard based on SOA
  • Main content
  • 1. Service re-structure patterns in SOA systems
  • 2. Service re-structure methods
  • 3. Assessment of services after re-structure

55
Service auditing standard based on SOA
  • Function SOA-based system consists of multiple
    level, multiple granularity services. This
    standard focuses on auditing methods of service
    quality through service re-structure.

56
Service auditing standard based on SOA
  • Main content
  • Service quality auditing standard based on SOA

57
EERP business process definition standard
  • Function Business process definition form the
    fundamental of EERP systems design and
    implementation. This standard will put forward a
    uniform, consistent, integrate-able description
    method, which is needed by EERP, to support
    requirement analysis, design, implementation and
    dynamically optimization.

58
EERP business process definition standard
  • Main content
  • 1. EERP business process definition based on SOA
  • 2. EERP business process description methods

59
EERP business process quality assessment standard
  • Function Quality assessment is one the most
    important activity in design and implementation
    of EERP. This standard put forward quality
    assessment method for EERP systems, which will
    guide the building of EERP systems.

60
EERP business process quality assessment standard
  • Main content
  • 1. Quality assessment hierarchy of EERP business
    process
  • 2. Quality assessment criteria of EERP business
    process explained in detail
  • 3. Methods to decide weights of quality
    assessment criteria

61
EERP business process auditing standard
  • Function Business processes effects the
    assessment result of EERP system greatly. EERP
    business process auditing standard provides
    method to measure performance of EERP system.

62
EERP business process auditing standard
  • Main content
  • 1. EERP business process assessment hierarchy
  • 2. EERP business process auditing methods

63
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

64
EERP Reference implementations(1/2)
65
EERP Reference implementations(2/2)
  • Step-wise implementation
  • Scenario analysis, value chain building
  • Decide all related services and operation mode
  • Analysis scenario in offline, batch-mode
  • Aiming at the whole value chain operation
  • Consummate related services step-by-step
  • Primary application, complex application,
    real-time business
  • Integrate into operational system, form a dynamic
    whole scenario
  • Reflect effects of environment changing on
    business operation

66
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

67
EERPtop-down service designdeployment strategy
Step 1
Step 3
Step 5
Step 7
Business ontology definition
Service oriented analysis
Service implementation
deploy service to EERP platform
Step 2
Step 6
Step 4
Service testing
Business process discovery definition
Service oriented design
68
EERPan agile service improvement strategy
Step 1
Step 2
Step 5
Top-down analysis
Business performance /QoS statistics
Service implementation
Current stat/ Business model
Step 6
Step 3
Service testing
Service oriented analysis
Step 7
Step 4
deploy service to EERP platform
Service oriented design
Step 8
service QoS assessing /retrospecting
Current stat/Business model
Implementation deployment
69
EERPtop-down business process orchestration
strategy
Step 1
Step 3
Step 5
Step 7
Business ontology definition
Service discovery
Service orchestration
execution QoS auditing
Step 6
Step 8
Step 2
Step 4
Service (business process) execution
service QoS recording assessment
Business goal Investigation/ definition
QoS deployment calculation
70
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

71
EERP integration platform(1/3)
72
EERP integration platform(2/3)
73
EERP integration platform(3/3)
74
Outline
  • Challenges for enterprises
  • Change of business environment
  • Shift of SOA
  • EERP concept
  • EERP key issues
  • QoS
  • Service granularity
  • Standards to be researched on
  • Reference implementation
  • EERP designdeployment strategy
  • EERP integration platform
  • ChangFeng Alliance's contribution on EERP

75
ChangFeng Alliances contribution(1/3)
  • Organized numerous SOA discussion sessions among
    the 33 member companies in the past 2 years.
  • Established the strategic partnership and
    cooperation with OASIS, the leading SOA
    technology standard organization with over 64
    countries participated.
  • I was successfully elected to be a member of TAB,
    the only Asian member ever in the TAB.
  • Published the ChangFeng SOA Strategy Whitepaper,
    developed a three year plan to lead the SOA
    advance and commercilization.
  • Helped our member companies to acquire the first
    SOA related projects.

76
ChangFeng Alliances contribution (2/3)
  • ChangFeng alliance organized 4 working groups to
    address the standard issues
  • RM for EERP
  • Based on OASIS RM, propose a RM for SORP/EERP for
    specific industry verticals.
  • Design methodology for EERP
  • Develop a suite of ROI analysis, system analysis,
    value chain identification and service
    choreography guideline and so on.
  • QOS management for EERP
  • Quality model, protocol and end to end QoS
    insurance.
  • Best implementation practice for EERP
  • Standard test suite for service qualification,
    system test before online, and so on.

77
ChangFeng Alliances contribution (3/3)
  • In next 3 years, ChangFeng alliance will
    organize across the country
  • 5,000 certified EERP webservice developers
  • Open sources
  • 50,000 registered technical participants
  • Contributed through IM, Blog, and email.
  • UDDI service
  • Test, publish, search, .
  • EERP portal with service integration support
  • Various industry vertical and consumer services.

78
  • QA
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