EERP Progress: Technology and Standards

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EERP ProgressTechnology and Standards

• Andy Lee
• CTO, Changfeng Alliance
• Chief Scientist, Beijing eBridgeChina Ltd.

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Confusion of SOA

• Perfect in theory
• To close the gap of IT system and business
  objectives, and enable business people to
  participate the IT system design, and SOA also
  very fits in trend of servicialization.
• Difficult in implementation
• What is the Service? How to define a Service when
  considering its relationship to the business
  objectives.
• Different points of views
• Currently SOA is promoted mainly by the vendors,
  they probably intend to create another technology
  area, so that can ask their users to upgrade the
  existing IT systems?
• We think SOA should be a revolution for users to
  solve their business program, rather than another
  design methodology for vendors?

3
Technology ! Changes
People Process Mentality Technology Result


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Users point of views

• Factors to achieve busines objectives
• Business models
• Human resource configuration
• Knowledge structure
• Partnership and allinaces
• ??????
• Next generation of IT system
• Directly support users business objectives
• Consider both internal and external business
  resources
• Evaluate the whole business process rather than a
  single point of function.

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Difficulties of WS

• Perfect in theory
• Intend to provide a standard interoperability,
  and standard system that supports the integration
  of any third party tools?
• Difficult in practice
• Because of the performance issues and the
  compatiblity among different versions of WS
  standards, WS does not provide the better
  price/performance ratio in the tradition of data
  and application integration?
• Different points of views
• Currently the vendors seem mainly position WS as
  the alternative data/application middleware, and
  it could be a market strategy, the vendors
  havent fully utilized the interoperativity of
  third party applications.
• Should use WS for service interoperability, that
  integrates and exchanges the performance of
  services, in this way, WS can best exhibit its
  interoperability, while not to be required for
  the performance.

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Fine granulity! Good
WebService for Integration
Cost of integration
ROI
Granulity
Website
Service
App
Data
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The view of services

• Description of services
• Business quality of a service
• The SLA and Rating of services
• Service composition
• ?????
• Service integration
• The aggregation of composite service QoS to form
  the business objectives.
• End to end service QoS monitor and performance
  evaluation.

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EERP

• A new system design methodology and a set of
  standards to support.
• SOA can best support the implementation of EERP
• EERP system consists of services that can be
  evaluated, optimized and replaced, .
• WS standard can be adapted
• Adoption of existing WS standards to support the
  interoperability of services
• AdoptionWSDL, WS-Policy, WS-TX
• ExtendWS-bQOS, WS-SLA, WS-Rating, .
• Extend and adopt BPM technology
• EERP-BPM
• Focus on the optimize the end to end business
  objectives
• Directly support the business objective
  optimization.

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EERP progress

• Business model investigation
• From customer
• Close up the gap between IT terms and business
  objective terms
• Lower the learning curve
• Reduce the adoption barrier
• From vendors
• How to introduce an application that deals with
  business objectives,
• how to stimulate the market demand,
• how to overcome the possible long adoption period
  and sales barrier.

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EERP progress

• Technology RD
• For customers
• SaaS deployment, fewer clicks to result
• Easy to lookup relevant service provider
• Domain knowledge and industry vertical stat.
• For vendors
• SOA/Webservice
• Service QOS/Rating data generation (static,
  dynamic, )
• Service SLA implementation

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EERP frame

• Characters of EERPOn demand
• Platform to support third party services
• Dynamic identification of services
• Flexible integration of services
• Loosely coupled integration environment
• Share of service resources with other EC service
  providers
• Business collaboration support
• Intelligent service composition
• End to end collaboration
• Optimization of business process
• .

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EERP frame
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SOA adoption
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EERP implementation environment
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EERP Implementation ToolKits

• EERP process bus
• EERP BPEL composition tool and process engine
• EERP business modeling tool
• EERP service registry
• EERP public application service portal
• ..

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EERP progress

• Standard development
• For customers
• Service rating / reputation
• For vendors
• EERP service
• Service QoS
• Service SLA
• Service Composition

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EERP standard evnironment
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EERP standard consideration

• Service description
• Definition
• Function
• Location (online, geographic)
• Interface
• QOS
• SLA binding
• Access control
• ..

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Service Business QOS

• Definition
• QoS compliance
• Service
• Sub-process
• End to end
• QOS publication, modification and update
• QOS optimization
• QOS inter-exchange
• ..

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SLA for Service Collaboration

• Definition of SLA
• Reference to the tele service SLA
• Service SLA binding
• Compliance to SLA
• SLA exception process
• Exception handling
• SLA access control and interfaces
• SLA over-write and termination
• SLA dynamic modification and update
• On demand SLA

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EERP standard consideration

• Service registration and lookup
• Registration
• Service lookup
• Service state modification and update
• Service classification
• Service active/passive notification

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EERP standard consideration

• Service composition
• Service access????
• Service data exchange??????
• Service identification ????
• Service state machine????
• Service interrupt and warning process????/????
• Service self-repairing?????
• Service routing????
• .

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EERP standard consideration

• Business process evaluation and optimization
• Service optimization ????
• Process description ????
• Process management ????
• Process modeling ????
• Intelligent service routing ???-????
• Intelligent service composition ???-????

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EERP early adoption

• Customer acquisition
• China Netcom EERP based Chemical eCommerce
  service portal
• Government funded
• Changfeng member company, eBridgeChina, developed
  the service portal
• Launched Dec. 15, 2007
• 20,000 chemical companies and service providers
• Over 2000 usages of EERP process evaluation tool.

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EERP reference implementation

• EERP in chemical industry
• Why choose chemical industry
• Chemical industry typically is company clusters
  around a few major industry giants
• Those industry giants usually are the producers,
  master distributors or key consumers of raw/basic
  materials, while the SME in these clusters
  conduct frequent business transactions with those
  giants
• The transportation, warehouse, and other logistic
  process may take a significant portion of
  transaction expense. The EERP can substantially
  reduce the over transaction expense by optimizing
  external service costs?

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EERP implementation framework
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EERP based eCommerce Portal
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Summary and Plan

• After three years RD, promotion and sales
  marketing activities
• Completion of basic theory and relevant framework
• Completion of the framework of some initial
  standards
• Completion of two prototypes
• Establish International collaboration force
• Focuses in 2008
• OASIS TC
• Completion of three OASIS EERP standard drafts
• Continue to push for large scale adoption