© 2013 IBM Corporation
Good Design is Good Business (5:50 time mark)
Industry Models Accelerate Software
Featured Speakers...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Agenda
Good Design is Good Business - Industry...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
 Large Government Agency:
– Productivity gain...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
…And Proven
Worldwide Customer
Success
IBM Ind...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
 Blueprinting is a standard approach in Engin...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Modeling IT solutions reduces organizational a...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Vision: IBM’s CEO – A Business Motivation Mode...
© 2013 IBM Corporation
Municipal Reference Model
An Industry Reference Model for Managing
the Business of Government
Jim A...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
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The root causes seem very disparate, hard to...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
No matter the variable forces at play, often ...
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Enabling Product and Service Innovation | Rational
MRM can be used in a number of ways to facili...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
An example of an organizing framework is the ...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Program Public Health
Target Group Municipal ...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Manage your Municipal Business Architecture
...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Government by design allows you to address pr...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Benefits
 Manage uncertainty of budget estim...
© 2013 IBM Corporation
Accelerating Transformation Projects
with IBM’s Banking Industry Models
Nick Norris, Rational WW FS...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Banking BPM & SOA Models Overview
Agenda
4
5
...
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Enabling Product and Service Innovation | Rational
Banking Industry Models Overview
Data Model u...
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Enabling Product and Service Innovation | Rational
Improved
efficiency and
cost reduction
Improv...
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Enabling Product and Service Innovation | Rational
Trade Finance
Savings,
Investments
and Deposi...
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Enabling Product and Service Innovation | Rational
Overall tooling landscape for Models
Design-T...
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Enabling Product and Service Innovation | Rational
Apply AML
Policy
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Fulfill & ActivateActivat...
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Enabling Product and Service Innovation | Rational
IDENTIFICATION OF
PROJECT SCOPE
SCOPING OF BU...
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Enabling Product and Service Innovation | Rational
Step 5 – Model Driven Development Example
Cle...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
APM (RSA)
Process Identified
Initial Scope of...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
BOM
Define Capabilities and ensure operations...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
IDM
Start defining Transfer Objects and mappi...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
SDM
Define the parameters for the services – ...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Creating the OPM
Having started in the APM an...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
OPM
The Provide Arrangement Proposal process ...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Benefits of a Model Driven Approach
Accelerat...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Top Drivers for Deploying Models
2.8 2.9 3 3....
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Value of a model driven approach to developme...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Challenge
• Business / IT alignment – challen...
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Enabling Product and Service Innovation | Rational
Challenge
• Inconsistency in analyzing busine...
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Enabling Product and Service Innovation | Rational
Challenge
• Inconsistency in analyzing busine...
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Enabling Product and Service Innovation | Rational
Challenge
• Ineffective infrastructure - Simi...
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Enabling Product and Service Innovation | Rational
Challenge
• Standardization – inability to dr...
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Enabling Product and Service Innovation | Rational
RRC
Rational Software Architect
Overall Tooli...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
RTC
Lifecycle Management – Requirements & Pla...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Lifecycle Management and Model Artifacts – RS...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Lifecycle Management – Building & Test (RSA, ...
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Enabling Product and Service Innovation | Rational
Link
URL Link
BPMN 2 import
Link
44
DEPLOYMEN...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
www.ibm.com/software/rational
Roger Snook
IBM...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
Good Design is Good Business Webcast series
f...
© 2013 IBM Corporation
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Enabling Product and Service Innovation | Rational
© Copyright IBM Corporation 2011. All rights ...
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2013 good design is good business industry frameworks

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How Industry Frameworks can help accelerate software and help business!

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  • With blueprinting, some customers are able to beat those odds and emerge successful. In the end, it’s all about delivering the right project on time and under budget. Productivity is essential and here are some examples where blueprinting has helped our clients be more productive in their job. <sample bullets> Prior: RSA is an established, proven performer. It is used throughout the world by companies that wish to improve the way they develop and deploy complex IT applications. As an example, a very large company that provides financial services has successfully implemented RSA for understanding their IT architecture and developing powerful applications that best serve the needs of their staff and clients. This firm has measured productivity improvements where tasks that used to take a month to complete can now be done in a single day! Time is saved in every aspect of their development approach, from analysis and understanding through to the development of code and documentation. These savings result from an improved architectural approach enabled by visualizing and analyzing their complete IT system in RSA. Rather than manually keeping track of how the system components are supposed to interconnect with each other and the outside environment, RSA allows the architects to establish the connections and intended workflow as part of the overall design, so that they can analyze functionality, as well as to immediately determine the impacts of changes to any piece of the system.
  • Facilitate, preserve, and communicate all of the key thinking that happens between initial requirement identification, and final requirement realization Create a basis for accelerating that thinking with automation Align business- and technology-oriented perspectives Establish a basis for measurement (complexity, progress, health) Establish a basis for traceability and impact analysis In short: representations of abstractions – i.e. “models” -- can be used as a sort of “glue” that holds the rest of the lifecycle together
  • Modeling is an approach that has been around software for over 20 years. Much like building a model airplane or car, models give a representation of what is to be built, so that you can confirm it meets certain requirements. Modeling is like documentation – which is where most people begin describing software – in requirements documents or spreadsheet lists of features. Many deployment teams today use PowerPoint or Visio to draw or diagram, which are clearly an improvement over plain documentation, but is still “two-dimensional” in its approach. Modeling goes beyond drawings and diagrams by capturing smart-information about the items you are documenting (for example, amount of RAM or Hard disk size). Information such as this can be VALIDATED automatically by the model as you add constraint information. Modeling also goes beyond simple drawing & diagramming tools, with a “dictionary” concept. This dictionary or catalog approach allows users to make changes in one place and then have that change automatically propagate to all the different views of that element (in PowerPoint for example, you have to do a search/replace for each item). Unlike the physical world, In the realm of software, in the software DEVELOPMENT phase models can actually generate the resulting software! Further beyond modeling are capabilities which enhance the model based on various automation or governance tasks you’d like to take advantage of.
  • Let’s start with a quick look at some of the key public sector challenges. Government organizations are facing extreme challenges to deliver more with fewer resources, to maintain or increase service levels with a reduced workforce and smaller budgets. Addressing these challenges requires a strategic approach to determining what businesses the government should be in and to what extent they should be in them based on citizens' needs and available revenue. What governments need is a rational process for planning and budgeting, performance management, and operations that maximize outcomes from available revenue. This requires a means of capturing, assessing and communicating information about their current environment and then determining, evaluating and choosing actions that evolve their programs and services to achieve desired results while managing costs.
  • Policy planning and budgeting requires a process and supporting information to address three fundamental concerns. First you need determine what are the highest priority things you need to do in terms of the services you provide to address citizen needs. Second you need to determine the most efficient and cost effective way of delivering those services. And third you need to find ways to leverage citizen groups, community organizations and private sector businesses to collaboratively work together for transparent, effective and efficient government. The goal is to provide methods, processes and tools that enable and foster continuous improvement as a means to facilitate government evolution to meet changing citizen needs. These tools and techniques are intended to address both the needs of "Steeres", those addressing the policy domain having needs for accountability, planning and budgeting, and those of the "Rowers", those addressing the functional domain having needs for to improve operations in order to “Do the right things right”.
  • You can use the models to capture and document the things that are motivating change in your jurisdiction, the results you wish to achieve in response to those influencers, and the strategies for achieving those results. Then you can evolve your municipal business architecture by designing the programs and services that deliver the outcomes that achieve the desired results and address your citizens’ needs. Budgeting for outcomes is a Government Financial Officers Association recommended practice for allocating budgets to results delivered by programs and services that address the highest priority needs within available budgets. You can’t do everything, but you can always do the best you can with what you’ve got. Once plans are in place and services are operational, you can use performance management to assess actual performance against targets to drive operational improvements and inform future strategic planning activities to close the right performance gaps. Information technology is becoming more strategic in the public sector as you provide more information services for citizens and rely on IT to deliver other services. You can integrate your municipal business architecture with your information systems architecture to help identify opportunities to exploit IT for more efficient, cost effective, or smarter realization of public services – delivering more with less through IT exploitation. These models can also help you identify opportunities for IT application consolidation, or situations where you could collaborate with other jurisdictions to provide services through cost sharing.
  • The MISA Municipal Reference Model, a model created by the Canadian government over the last 20 years, defines a language for expressing the relationship between the organization units in government as service providers, and target groups in the community as service consumers. Government organization units are accountable for programs that deliver outcomes experienced by target groups in the community. These programs administer services that commit to providing outputs that have direct value to receiving clients, and indirect value through the outcomes they contribute to. Services are implemented by processes that consume resources. Performance indicators are used to measure how effective a program is at delivering its outcome, how well a service produces its output, how well processes implement services, and how well a resource contributes to the needs of it consuming processes. Projects encapsulate plans for evolving the government enterprise by changing the organization, programs, services, process or resources that deliver the outcomes addressing possibly changing community needs. The reference model provide a model of typical municipality capturing the programs, services, processes, resources and outcomes that have been proven through common practice to effectively address specific target group needs. The reference model provides valuable reusable assets that can save years of business analysis work as well as provide ideas for innovative solutions to specific community needs.
  • For example, Public Health is a program intended to deliver Improved Health as an outcome experienced by Municipal Residents and visitors. An outcome is a change in level of need experienced by a target group. Part of the planning process is to determine how we might measure an outcome and precisely what targets we wish to obtain. These considerations can lead to better expression of outcomes which can help determine what services and programs are required to deliver those outcomes. The Public Health program administers two services: Food Premise Inspection and H1N1 Immunization. The output of the Food Premise Inspection service is an Inspection Report which establishes permission to continue food preparation services. This output has direct value to the food premise owner and operator since they can stay in business. It has indirect benefit for patrons of the operation through the reduction of illnesses resulting from improper food preparation. The Food Premise Inspection service is implemented by a process that includes scheduling the inspection, conducting the inspection, preparing a report, and scheduling any required follow-up according to current laws and regulations.
  • Managing any kind of change requires a thorough understanding of the current, or as-is situation. Changing something that is complex and poorly understood can often lead to very poor or unexpected outcomes and results. Establishing an as-is municipal architecture would be a huge endeavor in its own right, taking years to complete, and possibly being significantly out of date by the time it is done. Municipalities cannot afford to make costly and time consuming investments in enterprise architecture before they can make decisions about how to address the destruction from the latest tornado or flood.   However, municipalities can easily instantiate the existing Municipal Reference Model, and quickly customize it to reflect their as-is municipal model. The MRM: Provides a starting point for developing a municipal model saving potentially years of enterprise architecture development effort Contains hundreds of programs and services Is based on municipal analysis and best practices over the last 20 years Shows municipalities what a good municipal model looks like and provide guiding principles for evolving the model to meet community needs Provides a list of candidate programs and services that can be immediately mined to address community needs
  • In summary, Government By Design encompasses a set of methods, tools, techniques and work product templates that enable you to taken a results-driven approach to effective, open and transparent government to deliver the best results you can with available revenue. These concepts can be organized into four categories.
  • The primary benefit is government has the methods, tools, techniques and reusable assets to help in planning what services to provide its constituents, at what service levels, assessed by what performance indicators, and delivering what impact to the community - all at a price its citizens are willing to pay and its legislative bodies are willing to approve. The alternative is government by a thousand cuts, motivated by threats of punishment or withheld rewards that have little to do with outcomes and that no one is happy with.
  • Author Note: Optional Rational slide. Graphic is available in English only.
  • Author Note: Mandatory Rational closing slide (includes appropriate legal disclaimer). Graphic is available in English only.
  • 2013 good design is good business industry frameworks

    1. 1. © 2013 IBM Corporation Good Design is Good Business (5:50 time mark) Industry Models Accelerate Software Featured Speakers: Jim Amsden, STSM, Government Industry Solutions, Rational Nick Norris, Rational WW FSS Solution Architect Roger Snook IBM Software, Rational WorldWide Enablement Leader, Mobile, SOA, Design +1.703.943.1170, RCSnook@us.ibm.com
    2. 2. © 2013 IBM Corporation 2 Enabling Product and Service Innovation | Rational Agenda Good Design is Good Business - Industry Models Accelerate Software 1. Introductions, Motivation 2. Examples: • Municipal Reference Model • Financial Sector Models
    3. 3. © 2013 IBM Corporation 3 Enabling Product and Service Innovation | Rational  Large Government Agency: – Productivity gains from 3 days to 10 minutes  Vendor of SOA-based ERP Applications – 50% reduction in development time and cost for new services  Major Media Company – 30%-50% saving for architects translating to millions in development savings  Large Telecommunications Service Provider – Invested 68 hours to realize reduction of 1016 hours Good Design is Good Business!  Major Financial Services firm 30 day tasks now done in 1 day 65% of code automatically generated from the design – uniform and well structured “RSA allows developers to model a solution utilizing UML, which is usually easily understood by developers as well as business” “RSA saves development time and time spent on documentation, and enhances understanding of the system being built.”
    4. 4. © 2013 IBM Corporation 4 Enabling Product and Service Innovation | Rational …And Proven Worldwide Customer Success IBM Industry Models Success Speed, Agility & Flexibility
    5. 5. © 2013 IBM Corporation 5 Enabling Product and Service Innovation | Rational  Blueprinting is a standard approach in Engineering & Construction to – Manage Complexity – Mitigate Risk – Gain Agreement – Lower Cost of Remanufacturing  Blueprinting (commonly referred as Modeling) for IT Solutions also reduces complexity, risk, costs and helps gain agreement in the development and deployment of IT Solutions. Models / Blueprints – A valuable asset for engineering projects
    6. 6. © 2013 IBM Corporation 6 Enabling Product and Service Innovation | Rational Modeling IT solutions reduces organizational and technical complexity Technical Drivers Compliance Governance Application Complexity Organizational Drivers Team Size Geographical Distribution Organization Distribution Documentation and White-boarding  Collaborating on whiteboard sketches  Spreadsheets, Word Docs Code + Integrated DocumentationCode + Some Documentation“Code Only” Informal modeling  Presentations and Drawing tools  Quick capturing of ideas for analysis  Capable of analyzing simple problems Modeling  Leveraging industry standards (UML, BPMN, Architecture frameworks) to analyze the industry specific complex problems  Industry recognized notations  Underlying meta-data facilitates easier collaboration on model dependencies, with automated change propagation.  Easy impact analysis reports  Simulation for early problem determination Modeling, Automation, Governance  Automated task Execution and code generation from Model (Model-Driven)  Versioning with your standard CM system  Extensibility to integrate with automation  Ability to enhance with governance
    7. 7. © 2013 IBM Corporation 7 Enabling Product and Service Innovation | Rational Vision: IBM’s CEO – A Business Motivation Model built with Rational Software Architect – models are NOT limited to just SOLUTIONS!
    8. 8. © 2013 IBM Corporation Municipal Reference Model An Industry Reference Model for Managing the Business of Government Jim Amsden (jamsden@us.ibm.com), STSM, Government Industry Solutions, Rational
    9. 9. © 2013 IBM Corporation 9 Enabling Product and Service Innovation | Rational 9 The root causes seem very disparate, hard to understand and hard to quantify the impact of with current approaches. Policy Changes and Regulatory Mandates Solutions must focus limited resources to address the root cause of challenges and provide long term solutions Surging demand for services Continual Service Innovation Economic Downturn Aging Infrastructure Reduced Revenues IT Saturation Globalization Differentiation Transparency, Regulatory Compliance Shifts from Operational to Strategic IT Environmental DisastersDevelop Strategic Plans Develop and Deliver Solutions for Outcomes Govern for the Future
    10. 10. © 2013 IBM Corporation 10 Enabling Product and Service Innovation | Rational No matter the variable forces at play, often the core issue is the lack of a cohesive and inclusive process 1. Do the right things: through results-based budgeting and policy analysis 2. Do things right: through performance assessment and management aligned with policy initiatives 3. Manage change: for continuous refinement of delivered services through process optimization to deliver the results citizens want at a price they are willing to pay Careful and proper information management helps you:
    11. 11. © 2013 IBM Corporation 11 Enabling Product and Service Innovation | Rational MRM can be used in a number of ways to facilitate results-based government  Strategic Planning - Determining results you wish to achieve and the strategies for achieving them  Municipal Business Architecture – Designing the programs and services that deliver the outcomes that address citizens’ needs  Budgeting for Outcomes - Determining the services and service levels that provide the outcomes citizens want at a price they are willing to pay  Performance Management - Assessments of performance indicator actual vs. target values to drive operational improvements and inform future strategic planning activities to close the right performance gaps  Identify opportunities to exploit Information Systems solutions – Define the associated applications, data sources and platform technical architectures in support of the efficient, cost effective realization of municipal services – delivering more with less through IT exploitation 11
    12. 12. © 2013 IBM Corporation 12 Enabling Product and Service Innovation | Rational An example of an organizing framework is the Municipal Reference Model 12 Government Reference Models Provide: A Common Language and Structure for Describing the business of Government from the perspective of the citizens it serves Community Target Groups Government Organization Units ProgramProgram ServiceService ProcessProcess ResourceResource Projects Performance Indicators Accountable Authorize Responsible ExperiencedOutcome Accountable Output Administers Implemented By Consumes Assess Transition
    13. 13. © 2013 IBM Corporation 13 Enabling Product and Service Innovation | Rational Program Public Health Target Group Municipal Residents and visitors Need Health Outcome Improved Health (How to measure? Can we define this more precisely?) Service 1 Service 2 Service Food Premise Inspection H1N1 Immunization Service Output Inspection Report (permission to continue operation) Immunization Direct Client Food premise owner / operator Resident (H1N1 at-risk) receiving immunization Indirect Client Food premise patron Others in the community (residents and visitors) Service Value Reduced illness resulting from improper food preparation Reduced illness resulting from fewer residents contracting H1N1 Process Schedule inspection, conduct inspection, produce report, schedule follow-up Establish clinic, prepare public communication, operate clinic, decommission clinic Example: Public health programs and services
    14. 14. © 2013 IBM Corporation 14 Enabling Product and Service Innovation | Rational Manage your Municipal Business Architecture  Gives municipalities the means to create a standard business model of their municipality, and apply it to produce better business and IT plans and results! – Based on a proven common language, usable by all stakeholders – Can be tailored in scope and level of detail to the size, needs and capabilities of your organization – Backed by a community of your peers providing governance, support, comparisons and best practices – Includes tools, training and support 14 Your “Live” Business Model Organization Improvements Information & Automation Improvements Task & Job Improvements Process & Quality Improvements Leadership & Management Improvements Resource & Financing Improvements Strategy & Policy Improvements Customize & Extend MRM Reference Model Transition Initiatives To-be Municipal Model
    15. 15. © 2013 IBM Corporation 15 Enabling Product and Service Innovation | Rational Government by design allows you to address pressing concerns in an open, transparent, and effective manner Citizen centered prioritizationCitizen centered prioritization Cost-cutting optimizationCost-cutting optimization Government AccountabilityGovernment Accountability Results-Based PlanningResults-Based Planning Evaluate investments against the priorities of citizens, communities and businesses in order to maximize value while minimizing trade-offs Manage, monitor, analyze and report on key initiatives and the value created for constituents and stakeholders, drive measurable outcomes Meet cost-cutting targets by re- evaluating existing investments and projects based on performance, budgets, and public popularity Provide a clear and visual illustration of the selection process, the decision criteria, and the trade-offs needed to balance supply-side strategic goals with demand-side citizen needs, Make the right decisions for the right reasons, and at the right time with appropriate support and backing.
    16. 16. © 2013 IBM Corporation 16 Enabling Product and Service Innovation | Rational Benefits  Manage uncertainty of budget estimates  Provide accurate, timely, stable information to inform the process  Effective service evaluation criteria  Document services and service levels  Objective, quantified prioritization and tradeoff analysis  Communicate results to all stakeholders  Relevant performance indicators and levels  Performance assessments drive operational efficiency and future plans  Leverage experience of others to improve and compete  Iterate to refine plans  More equitable public spending  Higher quality of life  Increased satisfaction of core needs  Greater government transparency and accountability  Increased levels of public participation  Informed citizens for a more democratic process To Government Organizations: To Citizens:
    17. 17. © 2013 IBM Corporation Accelerating Transformation Projects with IBM’s Banking Industry Models Nick Norris, Rational WW FSS Solution Architect
    18. 18. © 2013 IBM Corporation 18 Enabling Product and Service Innovation | Rational Banking BPM & SOA Models Overview Agenda 4 5 IBM Industry Models Overview Banking BPM & SOA Models - Worked Example Value Proposition & Customer Stories Modeling within a broader Application Lifecycle Management context
    19. 19. © 2013 IBM Corporation 19 Enabling Product and Service Innovation | Rational Banking Industry Models Overview Data Model used provides a structured data dictionary that defines the business terms and phrases used within a given industry IBM Industry Data Model Process Models provide pre- defined analysis-level processes, used to ensure consistency and reuse of processes and activities within the Financial Institution IBM Industry Process Models Service Models provide the pre-defined analysis and design level structures to enable more consistency and reuse in the creation of Services IBM Industry Service Models  Open platform  Industry expertise  Business structured  Easily customized  Standards compliant  Integrated tooling Key Capabilities  Enables business users to easily scope and customize their own requirements  Facilitates step-by-step business focused development and roll-out  Delivers regularly updated business, technical and regulatory content  Creates open technology platform for any application or integration solution  Manages definitions and standards in complex IT environments Key Value Propositions
    20. 20. © 2013 IBM Corporation 20 Enabling Product and Service Innovation | Rational Improved efficiency and cost reduction Improved customer experience Agile & flexible models that are easily extendable BPM & SOA project accelerator Improved regulatory compliance Aligned with industry standards STRATEGY •501 business functions •202 business components BPM •530 business processes •2050 business activities •3000 business events SOA •600 Use Cases •41 Components •348 Interfaces •3998 Operations Banking BPM & SOA Model Metrics
    21. 21. © 2013 IBM Corporation 21 Enabling Product and Service Innovation | Rational Trade Finance Savings, Investments and Deposits Cash Management Corporate Actions Trade Processing Best Execution / MiFID Regulatory & Compliance Card Products Administration Product & Marketing Management Consumer Lending Commercial Lending Mortgages Payments Commercial Lending Sales & Relationship Management KYC/Account Opening Wealth Management Asset & Liability Management Banking BPM & SOA Model Content
    22. 22. © 2013 IBM Corporation 22 Enabling Product and Service Innovation | Rational Overall tooling landscape for Models Design-Time Repositories BPM Repository IBM Business Process Manager PD Blueworks Live Rational Team Concert SCM Service Models Service Design Model Interface Design Model Business Object Model Supportive Content Orchestration Process Model Analysis Process Model Process Models Business Terms Vocabulary Process Designer Metadata Server Infosphere Business Glossary Run-Time Repositories WSRR Rational Software Architect
    23. 23. © 2013 IBM Corporation 23 Enabling Product and Service Innovation | Rational Apply AML Policy 23 Fulfill & ActivateActivateOfferProposal 4 Refine Class Model, to support the logical data 6 Analyze & Modify Collaboration Diagram 7 Refine Class Model, to support the physical data I1 I2 I3 I4 I5 Packaged Application Service Component 1 Service Component 2 5 Analyze & Modify Service Components & Interfaces Custom Application 1 Analyze & Modify Process Apply KYC Policy Administer Operational Risk Administer Credit Risk Comprehensive SOA templates that accelerate straight through processing efficiency… Summary Steps for customizing BPM & SOA Models 3 Analyze & Modify Use Cases Apply AML Policy Input Data A Input Data B Output Data C 2 Identify Automatable Tasks
    24. 24. © 2013 IBM Corporation 24 Enabling Product and Service Innovation | Rational IDENTIFICATION OF PROJECT SCOPE SCOPING OF BUSINESS PROCESSES PROCESS ANALYSIS SERVICE ANALYSIS SERVICE DESIGN PROCESS DESIGN PROCESS IMPLEMENTATION SERVICE IMPLEMENTATION Step 4 – Model Driven Development Example Clear traceability between automated business process requirements and downstream SOA IT analysis representation using UML methodologies Apply KYC Policy Comprehensive SOA templates that accelerate straight through processing efficiency…
    25. 25. © 2013 IBM Corporation 25 Enabling Product and Service Innovation | Rational Step 5 – Model Driven Development Example Clear traceability between automated business process requirements and downstream SOA IT design representation using UML methodologies… IDENTIFICATION OF PROJECT SCOPE SCOPING OF BUSINESS PROCESSES PROCESS ANALYSIS SERVICE ANALYSIS SERVICE DESIGN PROCESS DESIGN PROCESS IMPLEMENTATION SERVICE IMPLEMENTATION Apply KYC Policy
    26. 26. © 2013 IBM Corporation 26 Enabling Product and Service Innovation | Rational APM (RSA) Process Identified Initial Scope of Data Process customized to meet requirements
    27. 27. © 2013 IBM Corporation 27 Enabling Product and Service Innovation | Rational BOM Define Capabilities and ensure operations are mapped back to APM for the Activity/Process they are representing as a Candidate Service Define Inputs/Output Types – extending class model for attribution needs - ensure data is consistent with process flow
    28. 28. © 2013 IBM Corporation 28 Enabling Product and Service Innovation | Rational IDM Start defining Transfer Objects and mapping back to IDM – TO’s give complete control over message creation (ability to control Message Size) Flow BOM Changes into IDM
    29. 29. © 2013 IBM Corporation 29 Enabling Product and Service Innovation | Rational SDM Define the parameters for the services – their types are the TO’s defined in the IDM Define the Services
    30. 30. © 2013 IBM Corporation 30 Enabling Product and Service Innovation | Rational Creating the OPM Having started in the APM and modelling down to the SDM – the Orchestration Process (OPM) Model Can be created "Industry Models > Migrate..." menu, choose "Transform Banking APM to OPM": Select project with customized APM, BOM and service design models: Select target project. You can choose the source project as the target or a separate project
    31. 31. © 2013 IBM Corporation 31 Enabling Product and Service Innovation | Rational OPM The Provide Arrangement Proposal process and associated artefacts (sub-processes, Wsdl + XSDs) can now be exported to IBM BPM
    32. 32. © 2013 IBM Corporation 32 Enabling Product and Service Innovation | Rational Benefits of a Model Driven Approach Accelerate Time to Value – 30 to 40 percent decrease in time spent in the modelling phase – 20 to 25 percent decrease in the time spent in the design phase – 15 percent decrease in the time spent in the deployment phase Improve Productivity – An average of a 70 percent increase in developer productivity (sixty seven percent of the respondents said that their developer productivity increased as a result of using the Models) Reduce Costs – Cost savings extending from 5 percent to greater than 25 percent (75 percent of respondents reported that use of the Models helped decrease costs) – Many companies observed that cost savings would increase as the team became more familiar with the Models and used them on multiple initiatives Strengthen Business/Technology Linkage – Use of the Models helped to directly align with business needs Improve Operational Efficiency and Effectiveness – Models help identify and eliminate duplications of processing across line of business silos Source: Hurwitz & Associates reviewed IBM’s approach to leveraging data models. In-depth interviews with customers of IBM’s Insurance and Banking Data Models provided the basis for this research. The companies interviewed found these tangible and business benefits.
    33. 33. © 2013 IBM Corporation 33 Enabling Product and Service Innovation | Rational Top Drivers for Deploying Models 2.8 2.9 3 3.1 3.2 3.3 3.4 Business process reuse New SOA architecture Core system(s) needed modernization Reduce time to market Integrate systems more effectively SOA front end/ flexibility and agility Streamline business processes Score (1-4) Source: Hurwitz & Associates (n=10) Drivers for deploying IBM’s Information Framework Process and Service Models
    34. 34. © 2013 IBM Corporation 34 Enabling Product and Service Innovation | Rational Value of a model driven approach to development 0 10 20 30 40 50 60 70 80 90 100 Project Management Requirements Gathering ProcessAnalysis UseCaseAnalysis ServicesDesign Programming Testing Debug&CodeFix Deployment Standard IFW based Phase Reduction* Requirements gathering - pre-existing models focus the requirements discussion and facilitate scope refinement 20% Process analysis - starts in modification rather than creation mode 40% Use case analysis - benefits from requirements being drafted using IFW 50% Services design - benefits from completeness & accuracy, many ‘mechanical’ decisions 50% Implementation - partial generation, completeness, accuracy 20% Debug - clear formal requirements obtained early on 20% Deployment 10% *These are estimates calculated by IBM Industry Models & Assets Lab clients from post implementation audits conducted in Tier 1 IFW banking model users Value grows exponentially in the future as opportunities for reuse are identified
    35. 35. © 2013 IBM Corporation 35 Enabling Product and Service Innovation | Rational Challenge • Business / IT alignment – challenge aligning goals of both organizations • Duplication – resulting from each business unit defining and developing requirements independently • Complexity – in IT portfolio, as well as complexity to end users and customers • Cost – driven from duplication and complexity • Lack of agility – to:  drive common processes across products and channels eliminating variance  leverage assets to realize time and cost savings in automation projects • Purchased models in 2006 • IBM Foundation, Process and Service Models  23% reduction in project costs and time to deliver - objective is to reach 41% savings  Improved project scope – US$24M cost saving and 72% of initial project scope  Improved business requirement – 80% reduction in change control and US$575k save over traditional requirements gathering on credit card project  Business process re-use – US$16MM in technology re-use; 20% – 80% effort saved; eliminated 33% – 44% of cross channel and product variance  91% of executive enterprise architecture council members have started business architecture Solution Wells Fargo - Wachovia Business Benefits APPROVED FOR EXTERNAL USE
    36. 36. © 2013 IBM Corporation 36 Enabling Product and Service Innovation | Rational Challenge • Inconsistency in analyzing business capabilities, business processes, and application functions • Lack of agility of business to respond to market opportunities and compliance and regulatory requirements • Challenge controlling costs through rationalization of product and application portfolios • Difficult to rationalize and integrate new capabilities, products and customers during mergers and acquisitions • Difficult transition from business strategy to execution • Using Models in a ‘progressive transformation’ approach to deliver ROI • IBM Foundation, Process and Service Models  Enabled consistent methodology for strategy, business and IT analysis  Drove a disciplined approach to operational planning and execution across the enterprise  Improved business / IT alignment based on common business language  Increased re-use which promotes process and operational efficiency  Improved scalability in terms of one component serving the needs of many Context:  140 implemented services in total  E-Commerce Project: 98 service operations and 18 service interfaces implemented  Countrywide Merger: 44 service operations and 18 service interfaces implemented Solution Bank of America Business Benefits APPROVED FOR EXTERNAL USE
    37. 37. © 2013 IBM Corporation 37 Enabling Product and Service Innovation | Rational Challenge • Inconsistency in analyzing business capabilities, business processes, and application functions • Lack of Scoping Mechanism for projects being managed across the Group •Lack of Standardization across projects impacting on consistency and quality of project deliverables •Challenge controlling costs through rationalization of product and application portfolios • Difficult transition from business strategy to execution • IBM Foundation, Process and Service Models  Solution Accelerator – Time and cost benefit to managing projects  Scoping Change – consistent mechanism to scoping business and IT projects and provides a framework for managing change  Standardization, Consistency and Quality – Consistent language within and across projects  Knowledge Transfer – Change and/or direction is consistently communicated and understood  Impact Analysis - Change across the Group can be clearly assessed and communicated  Enterprise Reference Model – Enterprise knowledge and direction classification  Service Models used as an input to the Internet Banking solution and as foundation of channel architecture Solution Lloyds Banking Group Business Benefits APPROVED FOR EXTERNAL USE
    38. 38. © 2013 IBM Corporation 38 Enabling Product and Service Innovation | Rational Challenge • Ineffective infrastructure - Similar business processes supported by many different developed applications, all requiring support and SOX controls • Lack of agility for the business to respond flexibly and quickly to internal and external changes • High running costs for both business and IT, including very high project costs to enable changes • Difficult to manage / control processes – lack of a comprehensive and transparent method of documentation • Inability to continuously improve the products, and the efficiency and competitiveness of the processes to keep pace with the competition • Models adopted as part of the BPM Global Corporate Methodology and ‘One Bank’ strategy  Decreased process change time to < 1 month  Achieved productivity benefits in requirements gathering, planning and analysis phases  Ensured consistency and coordination with standard repeatable, flexible processes  Enabled transparent ownership and accountability - SoX Compliant  Created a culture of collaboration, leverage and re-use as part of ‘One Bank’ strategy  Improved products and services supplied to internal and external customers  Improved understanding and communication and accuracy in requirements definition  Context: 35 projects have been executed based on BPM methodology delivered on schedule Solution ABN - Amro Business Benefits APPROVED FOR EXTERNAL USE
    39. 39. © 2013 IBM Corporation 39 Enabling Product and Service Innovation | Rational Challenge • Standardization – inability to drive standardization and eliminate duplication • Project execution – challenges in implementing a project and estimating the time and resources required • Scalability – challenges in terms of scaling to a factory approach once the first project was delivered • Maintainability, challenges in terms of governance of projects • Cost / Inefficiency – Expensive human resources compensate for what IT hasn’t solved, switching screens throughout a process and re-entering same data. • Current approach made multi-channel impossible  Achieved a 20% time / cost benefit based on initial business lending project  Developed a common ground for cross domain and cross country harmonization  Enforced consistency, eliminated duplication and aligned business and IT projects  Intellectual property contained in process model exceeded expectations in terms of accelerator value Context:  ING identified 23 processes required to support business lending project  Proof of concept around loan origination successfully delivered Solution ING Business Benefits APPROVED FOR EXTERNAL USE • Models successfully adopted on initial proof of concept lending project
    40. 40. © 2013 IBM Corporation 40 Enabling Product and Service Innovation | Rational RRC Rational Software Architect Overall Tooling Landscape – Separate Process and Services Activities Value Chains Business Object Model Interface Design Model Business Process Manager Rational Team Concert Assumed Tooling Landscape, to be used as underpinning for overall CoE environment BlueWorks Live Discovered Processes Requirements Run Time environments Via URL link Integrated task tracking, source control and planning Asset Management Rational Asset Manager Deployed Services Service Library Process Server Process designer & Integration Designer Subset of OPM Modeling Environments BPMN20 Exports Deployed Process Applications Service Design Model Manual link or Via URL link Discovered Processes Lifecycle Mgt Environment Analysis Process Model Orchestration Process ModelSubset of APM APM/OPM only in RSA for initial population to BPM
    41. 41. © 2013 IBM Corporation 41 Enabling Product and Service Innovation | Rational RTC Lifecycle Management – Requirements & Planning (RRC, RTC) LifecycleMgtTooling RRC Requirements 3 1. Requirements are organized in RRC according to Value Chain structure in Industry Models 2. Requirements are developed and written up in RRC 3. When requirements are analysed and approved, Development Plans are created in RTC, with traceability back to the Requirements 4. Test Plans should be developed at this time in RQM (see later) RTC Development Plan Development Stories 1 2
    42. 42. © 2013 IBM Corporation 42 Enabling Product and Service Innovation | Rational Lifecycle Management and Model Artifacts – RSA & RTC ModelToolingLifecycleMgtTooling RTC RSA RTC Development Plan Dev Stream Development Story SERVICE DESIGN Jazz Source Control SDM SDM IDM IDM 1 2 3 4 1. Stories and Tasks are created on plan 2. Modelers check out stream into a repository workspace 3. Changes to models in RSA generate Change Sets for RTC 4. Plan tasks are associated with Change Sets, all delivery to stream is traceable
    43. 43. © 2013 IBM Corporation 43 Enabling Product and Service Innovation | Rational Lifecycle Management – Building & Test (RSA, RTC & RQM) ModelToolingLifecycleMgtTooling RRC RQM RSA Test Plans SDMIDM TstAnalysis TstSvcDsgn TstPrcDsgn TstSvcImpl Requirements RTC RTC Builds Build 1 2 3 4 1. RTC Build publishes a version of the models - visible across tools 2. A Test phase is planned in RTC and executed in RQM 3. Test Execution Records are linked to an RTC build 4. Execution records link to an iteration in the RTC plan, and can be linked to the Test task
    44. 44. © 2013 IBM Corporation 44 Enabling Product and Service Innovation | Rational Link URL Link BPMN 2 import Link 44 DEPLOYMENT SERVICE DESIGN PROCESS IMPLEMENTATION PROCESS DESIGN PROCESS ANALYSIS MODEL REPOSITORY Rational Software Architect IBM Integration Designer IBM Business Monitor Rational Application Developer Websphere Application Server Checkin/Checkout UML to WSDL UML to JAVA IBM Banking Process and Service Models IBM Process Server BUSINESS ANALYST INTEGRATION DEVELOPER SERVICE DEVELOPER SOLUTION ARCHITECT MODEL MANAGER DEPLOYMENT ENGINEER SERVICE IMPLEMENTATION Overall model, development and deployment lifecycle with tools Rational Team Concert Websphere Service Registry & Repository Process Designer BPM Repository Business GlossaryBlueworks Live SERVICE ANALYSIS
    45. 45. © 2013 IBM Corporation 45 Enabling Product and Service Innovation | Rational www.ibm.com/software/rational Roger Snook IBM Software, Rational WorldWide Enablement Leader, +1.703.943.1170, RCSnook@us.ibm.com Jim Amsden, STSM, Government Industry Solutions, Rational Nick Norris, Rational WW FSS Solution Architect
    46. 46. © 2013 IBM Corporation 46 Enabling Product and Service Innovation | Rational Good Design is Good Business Webcast series featuring some IBM Distinguished Engineers and thought leaders. Webcast Title (CLICK to register) - 12:15-1:15PM Dates The Big Picture (Roger Snook) 2/8/2013 IBM and Design (IBM Director UX Design, Karel Vredenburg) 3/7/2013 SOA - Still Going Strong (IBM Distinguished Engineer, Claus Jensen) 4/4/2013 Design Management: Pictures are Worth….(WW Enablement, Jean-Louis Marechaux) 5/2/2013 DevOps: Design and Deliver Your Production Code Faster (Product Manager, Maneesh Goyal) 6/13/2013 Mobile and Smartphone Apps (Roger Snook) 7/11/2013 Rational Software Architect (Roger Snook) 8/8/2013 Industry Models Accelerate Software (Solution Architect Nick Norris) 9/12/2013 Business Design: SA and RSA (dW author, Steve Arnold) 9/19/2013 Smarter Devices with Model Driven Development (Specialty Architect, Manohar Rao) 10/4/2013 SysML, Industry Compliance (Standards Leader, Irv Badr) 11/14/2013 Rational Rhapsody (Specialty Architect, Manohar Rao) 12/5/2013
    47. 47. © 2013 IBM Corporation 47 Enabling Product and Service Innovation | Rational © Copyright IBM Corporation 2011. All rights reserved. The information contained in these materials is provided for informational purposes only, and is provided AS IS without warranty of any kind, express or implied. IBM shall not be responsible for any damages arising out of the use of, or otherwise related to, these materials. Nothing contained in these materials is intended to, nor shall have the effect of, creating any warranties or representations from IBM or its suppliers or licensors, or altering the terms and conditions of the applicable license agreement governing the use of IBM software. References in these materials to IBM products, programs, or services do not imply that they will be available in all countries in which IBM operates. Product release dates and/or capabilities referenced in these materials may change at any time at IBM’s sole discretion based on market opportunities or other factors, and are not intended to be a commitment to future product or feature availability in any way. IBM, the IBM logo, Rational, the Rational logo, Telelogic, the Telelogic logo, and other IBM products and services are trademarks of the International Business Machines Corporation, in the United States, other countries or both. Other company, product, or service names may be trademarks or service marks of others. www.ibm.com/software/rational

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