The Open Group Conference in RomePractical application of SOA in the Public Procurementprocesses of the European Commissio...
Short biography• Portuguese national, living in Belgium, working withPricewaterhouseCoopers – Advisory• Since 2007, assist...
Setting the scene• SOA project testimonial• 30 minutes presentation• 15 minutes for open discussion• Let’s not forget that...
AgendaIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
Part oneIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
Introduction to Procurement                                                    i2010 Action Plan                          ...
Introduction to Procurement                                                    i2010 Action Plan                          ...
Introduction to Procurement                                                    i2010 Action Plan                          ...
Introduction to Procuremente-PRIOR project timeline                                                          Assess - 2008...
Introduction to ProcurementPublic procurement processesPre-Awarding                                     Notification      ...
• Defined &Why Service Oriented e-Procurement?                                                         repeatable         ...
Introduction to Procurement                                                               Invoice                       Cu...
Introduction to ProcurementInteroperability challenges                                                   Practical use of ...
Part twoIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
e-PRIOR Interoperability Platform at the European Commission  Architecting the solution   Governance                      ...
e-PRIOR Interoperability Platform at the European Commission                                                              ...
e-PRIOR Interoperability Platform at the European CommissionDetailed solution concept diagramSuppliers & other Economical ...
e-PRIOR Interoperability Platform at the European CommissionZooming in                         Loose control of process lo...
e-PRIOR Interoperability Platform at the European CommissionGeneric orchestration for (inbound) write services            ...
e-PRIOR Interoperability Platform at the European CommissionSolutions for interoperability                                ...
e-PRIOR Interoperability Platform at the European Commission                                                              ...
Part threeIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
ConclusionsSome lessons1. Avoid that today’s solutions become tomorrow’s problem,   strive for loose coupling among system...
ConclusionsSummary•    European Commission is paving the way for e-Procurement and the     adoption of standards•    SOA a...
Of further intereste-PRIOR in e-Practice:                                                 PEPPOL Large Scale Pilot:http://...
Thank you very much                                                                                               Woluweda...
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Soa Cloud Open Group V1.7

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Soa Cloud Open Group V1.7

  1. 1. The Open Group Conference in RomePractical application of SOA in the Public Procurementprocesses of the European Commission* João Rodrigues Frade Manager April 2010*connectedthinking PwC
  2. 2. Short biography• Portuguese national, living in Belgium, working withPricewaterhouseCoopers – Advisory• Since 2007, assisting the European Commission in agroundbreaking e-Invoicing and e-Ordering Project• Participating in standardisation initiatives such as theCEN/ISSS Business Interoperability Interfaces (BII) for Europe(on behalf of the European Commission, DIGIT)• Master in Information Systems and Technology Managementfrom Instituto de Empresa - Platforming specialisation by the MITPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 2
  3. 3. Setting the scene• SOA project testimonial• 30 minutes presentation• 15 minutes for open discussion• Let’s not forget that SOA is about interactionPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 3
  4. 4. AgendaIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
  5. 5. Part oneIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
  6. 6. Introduction to Procurement i2010 Action Plan eGovernment Action Plan http://ec.europa.eu/information_society/activities/egovernment/5 priority areas: Inclusive Efficiency & High Impact Key Enablers e-Participatione-Government Effectiveness Services Widespread use could result Member States committed to: in: e-Procurement • Giving public administrations • 5% savings in total the capability of carrying out procurement costs 100% of their procurement • 10% reductions in transaction electronically by 2010 costs • Minimum target of 50% for • Savings of tens of billions of the actual use of electronic euro annually procurement.Practical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 6
  7. 7. Introduction to Procurement i2010 Action Plan eGovernment Action Plan5 priority areas: Inclusive Efficiency & High Impact Key Enablers e-Participatione-Government Effectiveness Services e-Procurement Supporting Programmes:Large Scale Pilot project : e-Procurement Pilot project: e-PRIOR projectPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 7
  8. 8. Introduction to Procurement i2010 Action Plan eGovernment Action Plan5 priority areas: Interoperability Programme of the European Commission: Inclusive Efficiency & High Impact Interoperable Delivery of European eGovernment Services to public Key Enablers e-Participatione-Government Effectiveness Services Administrations, Businesses and Citizens http://ec.europa.eu/idabc/ e-Procurement Directorate-General for Informatics of the European Commission Supportinghttp://ec.europa.eu/dgs/informatics/index_en.htm Programmes: Piloting of e-ProcurementLarge Scaleat DIGIT Pilot project : e-Procurement Pilot project: PRocurement Invoicing and ORdering e-PRIOR projectPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 8
  9. 9. Introduction to Procuremente-PRIOR project timeline Assess - 2008 • Inventory of Business Requirements Operate & Review -2010 • Feasibility Study Design - mid 2008 • Onboarding of Suppliers • Global Implementation Plan • Linking with PEPPOL • Design of a Interoperability platform (e-PRIOR) • Elaboration of Services respecting legal obligations Implement - end 2009 • Go live at DIGIT • Disseminate to other Construct - 2009 DGs and Services • Support the development of Billing Services • End-to-end Pilot with the Suppliers of DIGITThe project continues: e-Ordering and e-CataloguePractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 9
  10. 10. Introduction to ProcurementPublic procurement processesPre-Awarding Notification Submission Awarding Post-Awarding Customer/ Buyer: Purchase to Pay Purchase Goods Invoice Invoice Requisition Approval Request order receipt control payment Order Framework Catalogue Contract Invoice Quotation Customer Order Catalogue Quotation Order Billing Payments request processing Supplier(s): Order to CashPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 10
  11. 11. • Defined &Why Service Oriented e-Procurement? repeatable processes • Better data quality • Reduction of thanks to standard manual data definitions processing Data & Service and business rules Quality • Reduction of Payment delays • Performance Risk & measurement Cost Corporate Certainty leads to improved Social control Responsibility environment • Secured document exchange leads to Cycle Time Compliance • Simplified an improved risk processes environment • Automation of tasks reduces • Improved • Green procurement the overall transparency cycle time • Improved confidencePractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 11
  12. 12. Introduction to Procurement Invoice Customer Control (Invoice Receiver) 2009 Costs in euro per transaction Receive By moving to electronic Procurement Encoding Dispute Cash in Back- Validation Managem Managem Archiving Invoice Office ent ent Saves 11 euro per transaction 1.1 €Paper Cost € digital€is 34% of paper € 3.0 of 4.0 2.5 € 4.8 based € 2.2 17.6 €Digital 0.0 € 0.0 € 1.2 € 2.0 € 2.0 € 0.8 € 6.0 € Supplier Billing (Invoice Issuer) By moving to electronic Procurement Print, Payment Cash envelope, Archiving Reminders Management send Saves 7 euro per transactionPaper 3.9 € 0.5 € 4.5 € 2.2 € 11.1 € Cost of digital is 38% of paper basedDigital 0.0 € 0.4 € 3.0 € 0.8 € 4.2 €Practical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 12
  13. 13. Introduction to ProcurementInteroperability challenges Practical use of the European Interoperability Framework & Political Processing efficiency Open Standards Legal Compliance to VAT & internal regulations Process/ Organisational Standard choreographies Semantic PAPER Standard building blocks across documents and validity constraints on their content Standardised documents, code Lists and Identifiers Technical Trusted document exchange 0 Bespoke structured document sent by post or fax Unstructured document Level of standardisation and InteroperabilityPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 13
  14. 14. Part twoIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
  15. 15. e-PRIOR Interoperability Platform at the European Commission Architecting the solution Governance Business Domain Business requirements process Business Processes Business Business process Process Rules Workflow Architecture analysis Business Services Business process Process Rules Business Transactions decomposition Data Architecture States Business Target Solution Data analysis rules Data Model Validation Rules analysis Application Architecture System System interaction IT Architecture analysis analysis Technology Architecture Technology platform assessmentPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 15
  16. 16. e-PRIOR Interoperability Platform at the European Commission BootstrappingSolution concept diagram • Clients use WSDL 1.1 to build their interfaces Suppliers & other Economical Operators Suppliers & other Economical Operators Suppliers & other Economical Operators Suppliers & other Economical Operators External Business Applications External Business Applications External Business Applications External Business Applications Back-Office Web-Portal Back-Office Web-Portal Back-Office Web-Portal Back-Office Web-Portal Protocol & Data Translation Protocol & Data Translation Protocol & Data Translation Protocol & Data Translation Internet (SOAP Mediated message exchange over HTTPS) • System’s interact with each other via e-PRIOR (no Point-to-Point) JMS HTTP/ SOAP JMS HTTP/ SOAP e-PRIOR platform HTTP/SOAP SMTP System Functions/ Data Exchange Services Toolbox Services • Interaction based on the exchange of SOAP messages within a business context Monitoring Catalogue Business Process Request Business Process Order Business Process Billing Business Process Document Status Catalogue Request Order Invoice Document Inbox Internal Communication Services Cat. Response Willingness Order Change Inv Response Privacy & Security Services Query Document Cat. Query Offer Order Resp. Simple Credit Note Retrieve Document Cat. Get Item Request Ack Order Ack CN Response Attach Document • XML messages and Web services ensure autonomy from specific programming languages Request Cancellation Order Cancellation View Document Standard Information Model (structural & semantic description) System Functions/ Data Processing Services Logging Document Validation & Service workflow & Document Rendering & Document Archiving Routing Engine Business Rules Engine Orchestration Engine Transformation Engine and platforms (for internal applications, behind the firewall, JMS is also possible) Infrastructure Services e-PRIOR Transactional Repository Web-Services Stack Queuing Engine • Protocol switching and message pre-processing is encapsulated Intranet (JMS) European Commission European Commission European Commission European Commission EC Business Applications EC Business Applications EC Business Applications EC Business Applications Back-Office Web-Portal Back-Office Web-Portal Back-Office Web-Portal Back-Office Web-Portal Protocol & Data Translation Protocol & Data Translation Protocol & Data Translation Protocol & Data TranslationPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 16
  17. 17. e-PRIOR Interoperability Platform at the European CommissionDetailed solution concept diagramSuppliers & other Economical Operators European Commission External Business Applications Compensation EC Business Applications • Compensation within legal constraints Internet Intranet Back-Office Web-Portal • Idempotent endpoints (IDs Check) Back-Office Web-Portal Protocol & Data Translation • Ordered delivery (waiting room) Protocol & Data Translation Write Services Standard Communication Protocols Read HTTP/SOAP JMS Services System Functions/ Data Exchange Services Toolbox Services Monitoring Catalogue Business Process Request Business Process Order Business Process Billing Business Process Document Status Catalogue Request Order Invoice Document Inbox Internal Communication Services Cat. Response Willingness Order Change Inv Response Privacy & Security Services Query Document Cat. Query Offer Order Resp. Simple Credit Note Retrieve Document Cat. Get Item Request Ack Order Ack CN Response View Document Request Cancellation Order Cancellation Attach Document Standard Information Model (structural & semantic description) System Functions/ Data Processing Services Platform Services Logging Document Validation & Service workflow & Document Rendering & Document Archiving Routing Engine Business Rules Engine Orchestration Engine Transformation Engine Message Inbox • e-PRIOR offers both write and read services, including a message Inbox service Infrastructure Services Web-Services Stack Queuing Engine Transactional Repository • Systems connecting to e-PRIOR do not need to be up and running all the time DataPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 17
  18. 18. e-PRIOR Interoperability Platform at the European CommissionZooming in Loose control of process logic: • Process logic control remains in the back-office • Simple choreographies (CEN/BII) linked to a business entity)Supplier ERP DIGIT e-PRIOR System Back-Office Invoice Pre-Processing & Route to the End-point Manual Approval Invoice business verification Submission Archiving Back-Office •AuthenticateInvoice Creation <?XML v1.0> Supplier Out Queue <INVOICE> • Authorise In Queue <ID> Supplier <IssueDate> Open message standard independent of legacy data models : <Period> • Standardised message format (Universal Business Language) <?XML v1.0> • Reusable content guidelines, IDs and code-lists (Core Component TS) <RESPONSE> • Messages are processed once mapped DBan internal canonical model to <ID> • Syntax validation via XSD and semantics using Schematron <IssueDate> <Period>Practical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 18
  19. 19. e-PRIOR Interoperability Platform at the European CommissionGeneric orchestration for (inbound) write services Entry point Outgoing Message Document Incoming Message Intermediary State Received Application Response Final State Application Response Processed RejectedPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 19
  20. 20. e-PRIOR Interoperability Platform at the European CommissionSolutions for interoperability Practical use of the European Interoperability Framework & Political Processing efficiency Open Standards Interchange Control Agreement & embedded controls Legal Compliance to VAT & internal regulations Standard Business Profiles (CEN/BII) Process/ Organisational Schematron + Standard Semantic CCTS Standard choreographies Semantic Standard syntax, code Lists and IDs Standard building blocks across documents and validity constraints on their content Secured Web services Standardised documents, code Lists and Identifiers Technical Trusted document exchange 0 Level of standardisation and InteroperabilityPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 20
  21. 21. e-PRIOR Interoperability Platform at the European Commission High Performance:Live since October 2009 • Processing of 1.000 invoices per hour • Processing of unlimited attachments Suppliers Service • High availability European Commission Providers (Customer)British B2BoostTelecomSiemens CertipostBelgacom e-PRIOR Back-OfficeSystemat AdvalvasDell InovisPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 21
  22. 22. Part threeIntroduction to Procuremente-PRIOR Interoperability Platform at the European CommissionConclusions
  23. 23. ConclusionsSome lessons1. Avoid that today’s solutions become tomorrow’s problem, strive for loose coupling among systems.2. Governance is key. Keep in mind your stakeholders and their level of maturity. Keep the interface simple and tidy.3. Layered growth rather than big bang. Develop iteratively. Pilot the end-to-end solution before going live.4. Machine to Machine for Write Services works well but Read Services are often required behind a Portal.5. Semantics is a much bigger challenge than syntax.6. Standardise for Interoperability. Test Conformance.7. Reuse will not happen without disseminationPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 23
  24. 24. ConclusionsSummary• European Commission is paving the way for e-Procurement and the adoption of standards• SOA and Standards promote Interoperability and reliable e-collaboration between Suppliers – Customer• e-PRIOR is a strong example of an “Enterprise Service Bus” platform independent of the Back-Office Systems• e-PRIOR is a catalyser of change and service orientation• e-PRIOR is reusable in any other document exchange contextPractical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 24
  25. 25. Of further intereste-PRIOR in e-Practice: PEPPOL Large Scale Pilot:http://www.epractice.eu/cases/ePRIOR http://www.PEPPOL.euDemo of e-PRIOR: European Interoperability Framewrok:http://www.epractice.eu/en/tv/290845 http://ec.europa.eu/idabc/en/document/7728Open e-PRIOR: Granada Declaration:http://forge.osor.eu/projects/openeprior/ http://www.eu2010.es/export/sites/presidencia/comun/ descargas/Ministerios/en_declaracion_granada.pdfe-Catalogue Feasibility Study:http://ec.europa.eu/idabc/servlets/Doc?id=32432e-Invoicing Business Requirements:http://ec.europa.eu/idabc/servlets/Doc?id=32108Practical application of SOA in the Public Procurement processes of the EC April 2010PricewaterhouseCoopers Slide 25
  26. 26. Thank you very much Woluwedal 18 1932 Zaventem Belgium Tel +32 2 7109284 Mobile +32 477 842292 João Rodrigues Frade E-mail joao.frade@pwc.be Manager http://be.linkedin.com/in/joaofradeThis publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained inthis publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the informationcontained in this publication, and, to the extent permitted by law, PricewaterhouseCoopers LLP, its members, employees and agents do not accept or assume any liability,responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decisionbased on it.© 2010 PricewaterhouseCoopers. All rights reserved. “PricewaterhouseCoopers” refers to the networkof member firms of PricewaterhouseCoopers International Limited, each of which is a separate and independentlegal entity. *connectedthinking is a trademark of PricewaterhouseCoopers. PwC

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