SOA in Action Blog

Joe McKendrick

Shining Examples of SOA in Action in 2008 (3)

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Here is the third and final part of our review of SOA implementations that surfaced in the year 2008.

SOA underpins new cloud-based offerings. For Fred Luddy, CEO of Service-now.com, SOA was the only logical way to achieve the vision of his budding startup. Service-now.com, begin in 2004 as an on-demand IT Service Management solution provider, recently launched a cloud-based offering that combines the best of everything -- ITIL v3 with Web 2.0 technology and SOA -- to "provide a rich user experience to address a firm's problem management needs." For Service-now.com, SOA means extreme competitive advantage. Luddy started the company in 2004 with the vision of an underlying architecture that is "simple, approachable, configurable, and easy to integrate." Luddy also wanted to eliminate the data formatting issues and figuring out how to communicate with various other applications. In his own words he states that "there were no alternatives, no decisions to be made. There was no other way than with a SOA mindset."

To support Extreme Transaction Processing. The ability to capture huge data flows is what's been powering business at a leading Canadian online bookstore site, AbeBooks.com, which has harnessed the power of XTP as part of its service oriented architecture. Abebooks.com manages a database of more than 110 million new, used, rare, and out-of-print books via Web services links to 13,500 booksellers. Previously, transactions hit the back-end databases directly. Leith Painter, manager of development at AbeBooks, said the next step toward an SOA implementation is to put the Oracle Fusion component on its own tier so that it can be used by other applications support the online marketplace for books."We're in the first stages of design and implementation of service-oriented architecture. We're sponsoring it from an IT level. We've got some initial services we've developed in a design phase, and we're currently developing design principles."

To prevent black holes from tearing the space-time fabric. It doesn't look like CERN's Large Hadron Collider (LHC) has produced any black holes (unless you count the stock markets), but it's nice to know that the European Organization for Nuclear Research is employing state-of-the-art technology to keep things in check in case a black hole does accidentally form. CERN is employing SOA-based software to monitor and manage potential Large Hadron Collider (LHC) emergencies. CERN employs an enterprise service bus to form the communications backbone of its Technical Infrastructure Monitoring (TIM) system, which collects, evaluates, stores and distributes data about 2.1 million items every day from 150 different systems and 60,000 different measuring points. The ESB unites disparate data and systems without hampering CERN's research efforts by underpinning their ability to get systems back and up running as quickly as possible in the event of a fault. "It's all about speed of detection and action - we can stop and restart systems in a matter of seconds with the software," said Eric Lienard, CERN technical infrastructure manager.

To consolidate banking systems. Deutsche Bank recently launched an SOA effort now encompassing more than 100 projects across the bank. The bank's SOA effort began with commonly shared assets that could be embraced quickly by different businesses, explained ohn Stepper, managing IT director of equity derivatives and equity finance. This included infrastructure utilities, such as hosting environments, enterprise service buses, workflow engines, single sign-on mechanisms. "The first few steps to being a service-oriented enterprise and using SOA actually wasn't SOA at all, but a pre-SOA agenda of being able to create infrastructure utilities that could be shared across the bank. The next wave was introducing a proper SOA infrastructure."

To address 'simple' problems, and grow from there. OppenheimerFunds first leveraged SOA to get duplicate data entry under control. Then things took off from there. The company took this initiative to think long term, and not only deal with the data entry, but then to also launch a long-term effort to take down the silos and eliminate redundant processes. After an address-change service was leveraged, another service was created to update bank information, then to enable electronic imaging of paper-based documents. Today, there are 22 legacy applications used, in various combinations, by customer service agents.

To protect mortgages in volatile times. The US Department of Housing and Urban Development (HUD) is ramping up the numbe of mortgages it supports, and is moving to SOA to better leverage its large inventory of legacy systems. HUD has multiple legacy systems, 200 of which are supported by multiple-point products. "We have tons of business requirements coming in. We don't have time, short term, necessarily, to get rid of all these legacy systems," said Lisa Schlosser, chief information officer of HUD. HUD needed agility, and fast. HUD is building an enterprise service bus that will allow users to more efficiently access services and applications from those legacy systems. "SOA services are really helping us get data to the right people at the right time while we continue to modernize those legacy systems. A 20-year-old system is not going to be modernized over night."

To streamline and improve financial services. Synovus Financial Corp., a provider of investment services, commercial and retail banking to 35 banks in the southeastern U.S., launched a consumer vault payment (SVP) platform for a new Automated Clearing House payment program. The project reduces consumer identity fraud risks, and gives merchants guaranteed payment from a consumer's financial institution at lower cost than credit card processing fees. The project, as related by Esther Schindler in CIO, delivered some interesting payback, and made use of the SOA reuse ethic. The SVP application reportedly used 19 Web services, of which ten were reused from previous SOA implementations. Thanks to all this service reuse, project organizers judged that the cost and effort was 65 percent cheaper than a project from scratch.

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SOA in Action Blog

Joe McKendrick

Joe McKendrick is an author and independent analyst who tracks the impact of information technology on management and markets. View more

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