AME-1936 : Enterprise Messaging for Next-Generation Core Banking

Enterprise messaging for
next generation core banking
Wang Bo
wangbowb@cn.ibm.com
© 2015 IBM Corporation
wangbowb@cn.ibm.com
IBM CDL

Agenda
• Typical Banking Systems
• Challenge 1 & Solutions: Maximum Return On Investment
• Challenge 2 & Solutions: New Business Adoption
• Challenge 3 & Solutions: Extreme Performance & Scalability
• Challenge 4 & Solutions: Other Special Requirements
1

An Example of Banking IT Infrastructure
Banking
Channels
Banking
Channels
Channel
Applications
Channel
Applications
Gateway & ESB
& Intermediary
Business
Gateway & ESB
& Intermediary
Business
Core
Applications
Core
Applications
Tellers
Call Center
ATM
POS
Mobile & Tablet
Core Banking
Credit CardCredit CardESBESBPortalPortal
Front-endFront-endFront-endFront-endFront-endFront-end
GatewayGatewayGatewayGatewayGatewayGateway
2
Business Partners
SMS
Web
LedgerLedger
Intermediary
Business
Applications
Intermediary
Business
Applications

Complexity in the expansion of banking businesses
• Businesses increase the scope to span their enterprise
3

Universal Connectivity Solutions for Core Banking

Agenda
• Universal Messaging Layer
• Universal Monitoring
• Managed File Transfer
• Further Application Connectivity
5

Challenge 1: Maximum Return On Investment
• Requirements
• Reuse IT investments whenever possible
• Easier integration
• Foresee the future requirements
• More business on existing platform
• Approaches• Approaches
• Reuse existing components, systems.
• Have a universal messaging layer to support many businesses.
• Choose robust solutions.
• Reuse existing topologies for new requirements.
6

Requirements of a bank - Universal messaging
Integrate the monitoring of
External: Initial messages
based notifications
Functional requirements：
• Universal connectivity
• Smart routing
• Data transformation
• Service encapsulation and publication
• Universal monitoring
• Transaction support(ACID)
• Data security and protection
• Tracing and auditing
Events based cross
component communication
services
7
Support workload balancing
Integrate the monitoring of
message center to the
existing universal monitoring
platform
Support “2 cities, 3 data
centers” HA and its
application routing
• Tracing and auditing
Non-functional requirements：
• Component based development principle
• HA
• High scalability
• High performance (CPU, response
time, TPS, pub rate)
• Security

Message Center - Universal Messaging
Channel
integration
platforms
Customer
Service
Integration
Platform
Application
Integration
Platform
(ESB)
Product
Service
Mainframe
Platform
Product
Service
Open
Platform
Product
Service
J2EE
Platform
Data
Integrated
Message Center Service
External
Integration
Platform
(With
PBoC, etc)
Core Banking Production
Service Layer
Management
Analysis
Layer
8
Message Center Service
• Inbound & outbound both go through Message Center
• Wrapped MQ API
• Implemented by phases
• Performance & Robust

Universal monitoring
Different types of Monitoring
On-line
Off-line
9
On-line
status
commands
Event
messages
accounting
and
statistics
• Easy integration to the bank’s existing monitoring platform.
• MQ provides adequate data, and easy interfaces to access
such data (commands, events, PCF programming interface,
SMF, etc.)

Requirements of a bank - Managed File Transfer
• File Transfer is a very important
part in V+ migration project of
this bank, it is designed to
transform its business through
IT technology.
Source System Destination System
10
Source System Destination System
V+ CCMS
V+ CCMS
V+ CARD
PRM CCMS
PRM AIX
CCMS V+

Introducing Managed File Transfer
Flexible backbone for transfers – move files
from anywhere to anywhere in network
Multi-purpose – use for messages and files
Auditable with logging subsystem that tracks
transfer at source and at destination for audit
• Adds file transfer services to IBM MQ to enable movement of files –
regardless of size – in a managed way (reliable, auditable, secure)
• Multi-purpose infrastructure – for both files and messages
transfer at source and at destination for audit
purposes
Centralized control and configuration
Massive files – larger than MQ messages
Reliability leveraging the MQ transport
Integration with MQ-enabled apps and ESBs
No need to program – no need to use APIs
Simple graphical tooling enabling remote
configuration
Automatic file conversion and compression
Security - of file payload using SSL
Visual transfer status reporting
Support for many supported MQ environments
Managed File Transfer
IBM MQ
……
auditconfigure track
A B C X Y Z
11

Further Application Connectivity
with IBM Integration Bus and Data Power
• Simply Connect FROM anywhere,
TO anywhere
• Simple & Easy –to Install, Learn,
Develop, Deploy and Manage
• Visually Map and Transform between
any two message or file formats
Web ServicesDevices
Web 2.0 Microsoft
Web Services
Unlock the value of your
business data
12
•
CONVERTS
between different transport protocols
MATCHES & ROUTES communications
between services
TRANSFORMS
between different data formats
IDENTIFIES & DISTRIBUTES business
events
Payer
Web Services
Databases
Devices
Files
ERP/EIS /CRMERP/EIS /CRM
MQ, JMS, MSMQApplications
Mainframe
CICS / IMS
Mainframe
CICS / IMS
Web Services

Challenge 1: Summary
• World class messaging solution
• Universal messaging
• China customers use MQ in
• Message center
• MFT on existing MQ network
• Async communication between
systems
Message
Queue
Application ZApplication A
systems
13
Q Manager Q ManagerChannels
Events
Mobile
Cloud
Mainframe Files
Processes
Sensors
Partners
IBM MQ - Universal ConnectivityIBM MQ - Universal Connectivity
DataApps
Services

Agenda
• MQ on PureApplication
• MQ Light: Faster development
• Leverage MQTT & Messagesight for mobile banking
• Challenge 3 & Solutions: Extreme Performance & Scalability• Challenge 3 & Solutions: Extreme Performance & Scalability
14

Challenge 2: New business adoption
• Requirements
• Banks change more rapidly then ever – like e-Commerce
• New platforms are more and more popular – Mobile, Cloud, etc.
• Easy to scale
• Approaches:
• MQ on cloud offerings for rapid deployment• MQ on cloud offerings for rapid deployment
• MQTT/Messagesight for easier mobile push
• A new area: MQ Light for faster development
15

Requirements of a bank – MQ on Cloud
16

MQ HA on PureApplication
• Characteristics:
• Base on IBM Tivoli System Automation (TSA)， Monitor status
of key resources and control fail over
• Data isn’t shared, but synchronously mirrored between Racks
by GPFS.
17

MQ Light : A faster way of App development
• Messaging that application developers will
love to use, helping them make responsive
applications that scale easily
• Available as software download or full cloud
service in Bluemix
• Trivial to acquire and get started :
just download, unzip and start codingjust download, unzip and start coding
• Open APIs crafted to feel natural in a range
of popular languages
• Tooling that makes app development easy
• MQ Light:
www.ibmdw.net/messaging/mq-light/•
• MQ Light service:
www.bluemix.net
18

MQ Light : Deployment options
IBM MQ
“MQ Light”
Developer coding in Python,
Ruby, JavaScript, Java, C#,
PHP
MQ Light for Bluemix
IBM MQ
[Statement of Direction]
Deploy seamlessly to “MQ Light”, MQ
or MQ Light Service
Builds application and uses MQ
Light messaging and tests in local
developer sandbox
19

Requirements of a bank – Mobile
• OA Platform
• Easy notification
• Extent MQTT based
on existing MQ
network
• Build an IM platform
based on MQTT
• Cost saving!
20

MQTT uses less bandwidth than HTTP
• Open published spec designed
for the world of “devices”
• Minimized on-the-wire format
• Reduced complexity/footprint
• Three qualities of service
• In-built constructs to support
loss of contact between client
% Battery per Hour, 240s keep alive
3G Wifi
HTTPS 0.33277% 0.02897%
MQTT 0.16027% 0.00230%
Scenario HTTP MQTT
loss of contact between client
and server.
• Stateful “roll-forward”
semantics and “durable”
subscriptions.
• Simple / minimal pub/sub
messaging semantics
• Secure
• Scalable
21
1. Get a single piece of
data from the server
302 bytes 69 bytes
(~4 times)
2. Put a single piece of
data to the server
320 bytes 47 bytes
(~7 times)
3. Get 100 pieces of
data from the server
12600 bytes 2445 bytes
(~5 times)
4. Put 100 pieces of
data to the server
14100 bytes 2126 bytes
(~7 times)

MQTT based banking push system
22

IBM Messagesight – 1M connections
• More devices than ever.
• Messagesight: 1M current connections, secure, and easy to
use.
• Hardware & software in one box.
• End to end integration from devices of low level network to high
level enterprise network.
23

• MQ on PureApplication
• A new area of MQ deployment
• MQ Light/Service for App development
• A new area of faster development
• Push notification solution based on MQTT/Messagesight• Push notification solution based on MQTT/Messagesight
• Focus on business development, connection delegate to MQTT
• Cost saving – compared with HTTP or SMS
• Messagesight for big number of concurrent connections
24

Agenda
• Extreme performance tuning in an Active-Active case
• Channel tuning
• Special events planning and MQ cluster scaling
25

Challenge 3: Extreme Performance & Scalability
• Requirements
• A big bank has extreme performance requirement in Active-
Active project
• More and more branches, need extreme channel throughput on
limited bandwidth.
• Special events like Double 11 or seckills(Sniping).
• Approaches:
• Active/Active case tuning – and MQ needs changes
• MQ channel tuning
• An overall plan for special events.
26

Beijing data center:
For disaster recovery
Requirements of a bank – Active/Active
• A commercial bank - data centers in Shanghai and Beijing
• Beijing: One existing data center for disaster recovery
• Shanghai: One existing data center for production, and one new data center for Active-
Active. 70 km between two data centers
• This bank plans to achieve Active-Active between two data centers in Shanghai for core banking
business.
rows/s MB/s
OLTP 45K-50K 45
Batch 140K 50
Month-End Batch 130K 70-80
1200 km
70 km
For disaster recovery
Shanghai data center 1
Production center
Shanghai data center 2
27
Month-End Batch 130K 70-80
Interest Accrual Batch 440K 172.5

• Part of the InfoSphere Data Replication product
• A software-based asynchronous replication solution
• For Relational Databases
• Changes are captured from the database recovery log; transmitted as (compact) binary data; and then
applied to the remote database(s) using SQL statements.
• Leverages WebSphere MQ for Staging/Transport
• Each captured database transactions published in an MQ message (messages sent at each commit interval)
• Staging makes it possible to achieve continuous operation even when the target database is down for some
time or the network encounter some problem.
MQ in Q Replication
28
time or the network encounter some problem.
28
DB2
Control Tables
Site A
DB2
Control tables
Q Capture
Q Apply
agent
agent
agentUser
tables
database
recovery
log
User
tables
Unlimited
Distance
Site B
Configuration &
Monitoring
logrdr publish
Data CenterWebSphere MQ
DB2 Transaction
Parallel Replay
Asynchronous
LOG change
data capture
Active DB2Active DB2 Persistent
Staging
Capability
SQL
statements

MQ v8.0 features for Q Rep scenarios
• Sequential pre-fetch on z/OS
• The TUNE READAHEAD(ON), TUNE RAHGET(ON) delivered to
the bank as PTF in V71 and still applicable to V8
• Pageset read/write performance enhancements for QREP on z/OS
• Changes to the queue manager deferred write processor. Now it’s
the default behavious in the V8
• 64-bit enablement of buffer pools on z/OS
• More real storages can be used as buffers
• SMF Enhancements on z/OS
• Chinit SMF helps on tuning channel performance
• 64-bit log RBA
• We probably want QREP users to get to this
• Other improvement
• z/OS miscellaneous improvements (performance and
serviceability)
• Channel performance on z/OS
29

Performance improvements
• In IBM environment, MQ V8 with large 64bit bufferpools showed 30%
throughput improvement
• There are still DASD hardware limitation.
DB limitation
DB limitation
30
High is good, little used
5% or under, is bad
V8V7

Requirements of a bank – Channel Tuning
• The bank transfers data through Metropolitan Area Network
• Low bandwidth, high delay network. But need high throughput.
• By tuning TCP/IP and MQ channel related parameters, this
bank achieved near max throughput (5MB+ data per second on
a 50 Mbps network)
Consider to tune:Consider to tune:
• MQ TCP/IP parameters
• Buffers
• OS parameters
• TCP buffers
• More efficient applications
• MQ Channel Compression
• A reasonable MQ batch size
31

Requirements of a bank – Special Events
• Turnover data of a famous E-commerce vendor
(1 UDS ≈ 6 Yuan)
20000
30000
40000
50000
60000
Million Yuan
Million Yuan
• IT in banking & E-commerce areas are changing rapidly, need
faster reaction:
• Plan maintenance & operation beforehand
• Reserve development/testing MIPS/CPU for production in case
of workload increasing rapidly
• MQ scaling is used by some customers in China.
32
0
10000
20000
2010 2011 2012 2013 2014

App 1App 1Client 1
QMgr
QMgr
Cluster – Workload Balance
33
• Workload Balancing
• Service Availability
• Location Transparency (of a kind)
Service 1
Client 1
Service 1
QMgr

QM1
QM2QM3
Server
Server
Server
Server
Server
QSG – Pooling based workload balance
Single QMgr
QSG
QM1
QREQ
QREQ
Private request queue
Single/Multiple servers in same LPAR
Server
Shared request queue
Cloned servers in different LPARs
Batch servers can use Group Connect

• Active/Active is a popular solution in China
• For business continuity and workload balance
• There are different implementations on Active/Active
• Performance is a key thing
• MQ channel tuning usually result in TCP/IP, OS and App tuning
• Special events need special arrangement
• MQ scalability is to be considered (cluster and QSG)
• But an overall plan is more important
35

Agenda
• Security for overseas branches
• Balance non technical requirements
• Operations & Maintenance requirements.
36

Challenge 4: Other special requirements
• Requirements
• More and more banks have overseas branches, need security
control.
• Balance requirements from both technical and management
people.
• Operations & Maintenance requirements.
• Approaches:
• Use latest security functions.
• Dig the real concern of customer’s special requirements, design
architecture based on it.
• Keep products up to date.
37

Requirements of a bank – Overseas Security
• More and more banks have overseas branches
• A big bank in China is using MQ today to connect to overseas
branches today.
• Another bank is building overseas branches, MQ is being considered.
• Security becomes a big concern
• Some old SSL/TLS encryption algorithm not secure any more
• OpenSSL Heartbeat Information Leak – 2014 April
• SSLV3: Padding Oracle On Downgraded Legacy Encryption• SSLV3: Padding Oracle On Downgraded Legacy Encryption
(POODLE) attack
38
Shanghai
Beijing
HQ

Stronger security solutions
• Stronger algorithms are now available and recommended
• In many cases available pre-V8
• http://www.ibm.com/support/knowledgecenter/SSFKSJ_8.0.0/co
m.ibm.mq.sec.doc/q014260_.htm
• Select solutions with official post-sales supports.
• Move up to the latest protocols.
39

Certificate per Channel
QMgr
QM's Digital
Certificate from
Entrust
CA Sig
QM's Digital
Certificate from
VeriSign
CA Sig
QM's Digital
Certificate
CA Sig
ALTER CHANNEL(BPB.TO.ME)
CHLTYPE(RCVR)
CERTLABL(‘EntrustCert’)
ALTER CHANNEL(TO.BPB)
CHLTYPE(SDR)
CERTLABL(‘EntrustCert’)
ALTER CHANNEL(BPA.TO.ME)
CHLTYPE(RCVR)
CERTLABL(‘VeriSignCert’)
ALTER CHANNEL(TO.BPA)
CHLTYPE(SDR)
CERTLABL(‘VeriSignCert’)
BP A BP B
40

Keep your MQ up to date
• Consolidated Service Test and the RSU
• Our mission is to provide a consolidated, tested, and recommended set of
service for z/OS and key subsystems on a quarterly basis with published
results.
• As part of IBM's commitment to quality and continuous improvement, we
established an additional service testing environment called Consolidated
Service Test (CST).
• http://www-03.ibm.com/systems/z/os/zos/support/servicetest/
• Recommended Fixes for MQ (distributed)
• http://www-01.ibm.com/support/docview.wss?uid=swg27006037
• Fix list for IBM MQ
– 8.0: http://www-01.ibm.com/support/docview.wss?uid=swg27043086
• Sign up to receive weekly technical My Notifications emails
• http://www.ibm.com/software/support/einfo.html
41

• Security is a big concern
• Usually choose trusted security solutions
• Different teams of customers have different views
• Development people may want isolation, but maintenance
people may want simpler architecture.
• Need balance these requirements.• Need balance these requirements.
• Keep your products up to date is always a good practice.
• China banks always ask IBM to share what issues other banks
have encountered.
42

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Any statements regarding IBM's future direction, intent or product plans are subject to change or withdrawal without
notice.
Performance data contained herein was generally obtained in a controlled, isolated environments. Customer examples are
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AME-1936 : Enterprise Messaging for Next-Generation Core Banking

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