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Rule- and Event-based Processes




                                       Paul Vincent
                             CTO Business Rules and CEP
                                     TIBCO Software
 1
© 2010 TIBCO Software Inc.
Agenda




         What are Business Processes and BPM?




 2
© 2010 TIBCO Software Inc.
BPM in 2010


            Driven by                                Modeling +
            events                                   deployment under
                                                     business control




     Orchestration                                   Monitoring and
     control flow =          Some business process   optimisation of
     simple to                                       activities / queues
     understand
 3
© 2010 TIBCO Software Inc.
Example State-of-the-art BPM


                                                                            Process
                                                                           Participants
           Unified BPM and                          User Interface
            SOA Platform
                                                                                      Process Visibility
                                                  Work Management                     Monitor, Report, Analyze
                  Modeling                                              Resource
                                         Team                          Performance
                                        Leader
                                                             Wor
                                                              k
                                                                                               Team Leader

                                                 Process Management
                                   Executable                            Process
                                    Models                             Performance
       Busines                                               Busine                            Business
          s              Process                             ss                                Manager
       Analyst           Develop                             Service    Business
                            er                               s            Data

                                     SOA
                                                   SOA Integration
                                   Developer                                                Business Analyst



 4
4
© 2010 TIBCO Software Inc.
Benefits of state-of-the-art BPM


          Platform for                           Optimizes the most
                                                                            Process
     lower operational TCO                     expensive resource in       Participants
       while modeling and
        Unified BPM the                        the User Interface
                                                   process, ie people,
           enterprise
         SOA Platform                            + how they perform
                                                                                           Process
                                                 Work Management
               Modeling                                                 Resource           Visibility
                                         Team                          Performance        Monitor, Report,
                                        Leader                                               Analyze
                                                            Wor
         Simplify process                              k
                                            Automate STP             Insight into process
                                                                                Team Leader
           development
                                         business processes         performance to make
          + fast, iterative                    Process
                                       (e.g. common workflow            better decisions
              approach                                        Process
                            Executable       Management
                                               patterns)    Performance
       + delivers rapid ROIModels
       Busines                                                                  Business
                                                            Busine
          s              Process                            ss                                  Manager
        Analyst          Develop                            Service      Business
                            er                              s              Data

                                     SOA          SOA Integration
                                                 Seamlessly leverage
                                   Developer                                                 Business Analyst
                                                   existing assets
 5
5
© 2010 TIBCO Software Inc.
BUT




                             Not all processes and activities are
                             easily defined as an “orchestration”
                                            or flow

                                       Or a procedure

                               Or any other linear sequence of
                                          activities




 6
© 2010 TIBCO Software Inc.
Specialist Business Processes...




                              Complex Event Processing
                                 provides alternative
                             business process viewpoints

                                    Complex events

                                Event-based decisions

                             via a more generic, declarative
                             Event-Decision-Action pattern




 7
© 2010 TIBCO Software Inc.
CEP principle 1: Faster Information for Faster Decisions


                                                                         Events are “indicators”



                                                                                    Event Processing
                                        Business Event                               provides faster
                                                                                       responses
             Potential Business Value




                                               Resulting Complex Event Measured


                                                         Root Cause / Correlation


                                                                    Corrective Decision Made



                                                                                               Action Taken


                                                           Action time
 8
© 2010 TIBCO Software Inc.
The BusinessEvent Cloud




                                              Customer           New
                Customer                       Checks            Order
                 Logon                      Close Account
                                 Fed
                              Base Rate       Web Page
                               Increase
                                                               Contract
                                                Mobile Call
                 Production                                   Submitted
                                                 from CT
                    Item              New
                                                  @11.13
                 Arrives at         Liability
                                                                  Contract
                   Store             Added
                                                                  Returned
                                                  Rental          thru EDI
                                Rental
                                                   Car
                                 Car
                                                 Returned
                               Crashed

 9
© 2010 TIBCO Software Inc.
                                                                             9
CEP principle 2: Context / Exceptions => Better Decisions



                                                               Change in
                     Fraud                 Customer          Product Sales
                     Risk!                 CrossSell             Trend
                               Risk of    Opportunity
                              Customer
                              Defection
                                                             Contract
                                               Cell phone    Validated
                 Employee         Compliance   fraud alert
                 Over hours          Limit
                                  Approached                      Contract
                                               Customer            Valid
                                Rental
                                               now rated
                               Contract
                                                 Gold
                               Complete

10
© 2010 TIBCO Software Inc.
                                                                             10
Result: processes for Operational Intelligence



       •      Event Processing is leading to new real-time business software
              capabilities
               • Situation awareness, track and trace, sense and respond…
               • EDA provides a superset of SOA and BPM core capabilities


       •      Enables real-time responsiveness for better decisions
              and predictability leading to
              competitive advantage, risk management, better governance




11
© 2010 TIBCO Software Inc.
Agenda




         Shared patterns for BPM and CEP?




12
© 2010 TIBCO Software Inc.
Generalization of a Process




                             Event   Decision   Action




                                     BPM
13
© 2010 TIBCO Software Inc.
Generalization of a Process




                                   Event   Decision   Action




                                                            Fixed
                             Complex       Business
                                                          Services +
                              Event         Logic
                                                          Processes

                                            CEP
14
© 2010 TIBCO Software Inc.
CEP-driven Business Processes




           Event                              events
           Transport &
           Distribution




                              Pattern
                             Detection       Decisions         Reactions

                                         Event & State store




15
© 2010 TIBCO Software Inc.
Complex Event Processing




        Roles:
 Sense and Respond
   Track and Trace
Situational Awareness




16
© 2010 TIBCO Software Inc.
                                   16
General Architecture for Event Processing


     Asynchronous                    Continuous &               Declarative
        Events                      parallel event               processing
                                   pattern detection


                 simple events                 complex events




                                    CEP:
                                  complex
                                    event
                                                      BPM:          SOA:
                                 processing
                                                     business         IT
                                 State store         process       services

                         Multiple event                      Orchestrated /
                        types / channels                 procedural processing
17
© 2010 TIBCO Software Inc.
Agenda




         What technologies are used in such
         Complex Event Processing?




18
© 2010 TIBCO Software Inc.
Event Sources


              event
              channels
                 Publish-                      events
                subscribe /
               queue-based:


                 JMS
             -TIBCO EMS
             - IBM MQ etc


                  RV
                               Pattern
           SOAP over          Detection       Decisions         Reactions
             HTTP
                                          Event & State store
         TCP-IP

                    Others
19
© 2010 TIBCO Software Inc.
Event Pattern Detection and Processing




           Event                                       events
           Transport &
           Distribution




                                       Event Rules
                                       Pattern
                                      Pattern
                                      Detection
                                      RegEx           Decisions         Reactions

                                Continuous        Event & State store
                                 Queries
                                State
                             Transitions
20
© 2010 TIBCO Software Inc.
Event Pattern State Management, FT, DR




           Event                          events
           Transport &
           Distribution




                              Pattern
                             Detection   Decisions      Reactions

                                         In-memory
                                         Distributed Cache
                                                     DBMS
21
© 2010 TIBCO Software Inc.
Decisions and Rules against Event Patterns




           Event                              events
           Transport &
           Distribution                                 Decision/
                                                          Rule
                                                       Management
                                                    Inference
                                                      Rules

                              Pattern           Event Rules
                             Detection       Decisions         Reactions

                                         Event & State store




22
© 2010 TIBCO Software Inc.
Reactions to Event Patterns




           Event                              events
           Transport &
           Distribution


                                                                      Other
                                                                   Services and
                                                                   Processes –
                              Pattern                               SOA + BPM
                             Detection       Decisions         Reactions

                                         Event & State store




23
© 2010 TIBCO Software Inc.
Agenda




         Example Use Cases




24
© 2010 TIBCO Software Inc.
Where does CEP apply?


       “CEP applies to a very broad spectrum of
        challenges in information systems.
        A short list includes:”
                   Business process automation
                   Computer systems to automate
                   scheduling and control network-based
                   processes and processing
                   Identifying when complex contracts are
                   fulfilled
                   Detection intrusion, fraud and other
                   network attacks
                   C3I
                    The Power of Events, Addison Wesley, ISBN: 0-201-72789-7, 2002

25
© 2010 TIBCO Software Inc.
                                                                                     25
Shipping Company OOCL report from TUCON 2010


       Shipment container track and trace:
       Monitoring shipment milestones and invoking
       appropriate processes

       Simple and Complex processes
       decision rules + simple actions
       vs decision rules + BPEL / BPM actions

       8k shipments,
       100 average shipment lifecycle days,
       2 containers per shipment,
       64 milestones per container
       = 54 million active milestones,
       @ max 60 events/sec


26
© 2010 TIBCO Software Inc.
Shipping Company OOCL



       1. Implementation#1 = J2EE
          8 ppl => 8 mths to implement 100+ milestones
          => 0.05 person yrs per milestone
          BUT rule change expensive

       2. Implementation#2 = Oracle BPEL
          3ppl + Oracle => 4 mths to implement 3 of 100+ milestones
          => 0.5 person yrs per milestone




27
© 2010 TIBCO Software Inc.
Shipping Company OOCL



       1. Implementation#1 = J2EE
          8 ppl => 8 mths to implement 100+ milestones
          BUT rule change expensive

       2. Implementation#2 = Oracle BPEL
          3ppl + Oracle => 4 mths to implement 3 of 100+ milestones

       3.        Implementation#3 = TIBCO CEP
                 3ppl + 1 TIBCO
                 => 3wks POC
                 + 2mths to implement 100+ milestones
                 + 4mths tuning
                 => 0.02 person yrs per milestone



28
© 2010 TIBCO Software Inc.
Shipping Company OOCL



       Benefits:
       a. Declarative model is very elegant for certain problems.
       b. Increased agility: new milestones can be added without
          technical assistance.

       ROI:
       difficult to compute given recession / shipping downturn.
       But one example:
       Replaced rail billing process:
       @20K rail bill requests per mth
       Old: manual process
       New: 98% automated process in BE
       Development cost $80K vs benefit $50K per mth
       = ROI in 2 mths


29
© 2010 TIBCO Software Inc.
Agenda




         Conclusions




30
© 2010 TIBCO Software Inc.
CEP covers generic Use Cases outside of BPM


              events




                    CEP

                              Pattern                      Actions
                             Detection       Decisions    and Views

                                                                       Real-time
        Complex Event            Real-time         Straight Thru
                                                                      Dashboards
          Detection              Decisions          Processing
                                                                       and BAM


                   BPM                                                 Workflow

31
© 2010 TIBCO Software Inc.
Using CEP = A Better Way to Fly a Business
                              Real time                     Business Risk
                             Operations                     event Pattern
                             Dashboard

                                     Analytics
                                        on
                                    Shipments
                                                                 Comparisons
                                                                   To SLA’s




                                                 Thank you for your time

                                                 http://tibcoblogs.com/cep
32
© 2010 TIBCO Software Inc.

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Rule and Event-based Processes June2010

  • 1. Rule- and Event-based Processes Paul Vincent CTO Business Rules and CEP TIBCO Software 1 © 2010 TIBCO Software Inc.
  • 2. Agenda What are Business Processes and BPM? 2 © 2010 TIBCO Software Inc.
  • 3. BPM in 2010 Driven by Modeling + events deployment under business control Orchestration Monitoring and control flow = Some business process optimisation of simple to activities / queues understand 3 © 2010 TIBCO Software Inc.
  • 4. Example State-of-the-art BPM Process Participants Unified BPM and User Interface SOA Platform Process Visibility Work Management Monitor, Report, Analyze Modeling Resource Team Performance Leader Wor k Team Leader Process Management Executable Process Models Performance Busines Busine Business s Process ss Manager Analyst Develop Service Business er s Data SOA SOA Integration Developer Business Analyst 4 4 © 2010 TIBCO Software Inc.
  • 5. Benefits of state-of-the-art BPM Platform for Optimizes the most Process lower operational TCO expensive resource in Participants while modeling and Unified BPM the the User Interface process, ie people, enterprise SOA Platform + how they perform Process Work Management Modeling Resource Visibility Team Performance Monitor, Report, Leader Analyze Wor Simplify process k Automate STP Insight into process Team Leader development business processes performance to make + fast, iterative Process (e.g. common workflow better decisions approach Process Executable Management patterns) Performance + delivers rapid ROIModels Busines Business Busine s Process ss Manager Analyst Develop Service Business er s Data SOA SOA Integration Seamlessly leverage Developer Business Analyst existing assets 5 5 © 2010 TIBCO Software Inc.
  • 6. BUT Not all processes and activities are easily defined as an “orchestration” or flow Or a procedure Or any other linear sequence of activities 6 © 2010 TIBCO Software Inc.
  • 7. Specialist Business Processes... Complex Event Processing provides alternative business process viewpoints Complex events Event-based decisions via a more generic, declarative Event-Decision-Action pattern 7 © 2010 TIBCO Software Inc.
  • 8. CEP principle 1: Faster Information for Faster Decisions Events are “indicators” Event Processing Business Event provides faster responses Potential Business Value Resulting Complex Event Measured Root Cause / Correlation Corrective Decision Made Action Taken Action time 8 © 2010 TIBCO Software Inc.
  • 9. The BusinessEvent Cloud Customer New Customer Checks Order Logon Close Account Fed Base Rate Web Page Increase Contract Mobile Call Production Submitted from CT Item New @11.13 Arrives at Liability Contract Store Added Returned Rental thru EDI Rental Car Car Returned Crashed 9 © 2010 TIBCO Software Inc. 9
  • 10. CEP principle 2: Context / Exceptions => Better Decisions Change in Fraud Customer Product Sales Risk! CrossSell Trend Risk of Opportunity Customer Defection Contract Cell phone Validated Employee Compliance fraud alert Over hours Limit Approached Contract Customer Valid Rental now rated Contract Gold Complete 10 © 2010 TIBCO Software Inc. 10
  • 11. Result: processes for Operational Intelligence • Event Processing is leading to new real-time business software capabilities • Situation awareness, track and trace, sense and respond… • EDA provides a superset of SOA and BPM core capabilities • Enables real-time responsiveness for better decisions and predictability leading to competitive advantage, risk management, better governance 11 © 2010 TIBCO Software Inc.
  • 12. Agenda Shared patterns for BPM and CEP? 12 © 2010 TIBCO Software Inc.
  • 13. Generalization of a Process Event Decision Action BPM 13 © 2010 TIBCO Software Inc.
  • 14. Generalization of a Process Event Decision Action Fixed Complex Business Services + Event Logic Processes CEP 14 © 2010 TIBCO Software Inc.
  • 15. CEP-driven Business Processes Event events Transport & Distribution Pattern Detection Decisions Reactions Event & State store 15 © 2010 TIBCO Software Inc.
  • 16. Complex Event Processing Roles: Sense and Respond Track and Trace Situational Awareness 16 © 2010 TIBCO Software Inc. 16
  • 17. General Architecture for Event Processing Asynchronous Continuous & Declarative Events parallel event processing pattern detection simple events complex events CEP: complex event BPM: SOA: processing business IT State store process services Multiple event Orchestrated / types / channels procedural processing 17 © 2010 TIBCO Software Inc.
  • 18. Agenda What technologies are used in such Complex Event Processing? 18 © 2010 TIBCO Software Inc.
  • 19. Event Sources event channels Publish- events subscribe / queue-based: JMS -TIBCO EMS - IBM MQ etc RV Pattern SOAP over Detection Decisions Reactions HTTP Event & State store TCP-IP Others 19 © 2010 TIBCO Software Inc.
  • 20. Event Pattern Detection and Processing Event events Transport & Distribution Event Rules Pattern Pattern Detection RegEx Decisions Reactions Continuous Event & State store Queries State Transitions 20 © 2010 TIBCO Software Inc.
  • 21. Event Pattern State Management, FT, DR Event events Transport & Distribution Pattern Detection Decisions Reactions In-memory Distributed Cache DBMS 21 © 2010 TIBCO Software Inc.
  • 22. Decisions and Rules against Event Patterns Event events Transport & Distribution Decision/ Rule Management Inference Rules Pattern Event Rules Detection Decisions Reactions Event & State store 22 © 2010 TIBCO Software Inc.
  • 23. Reactions to Event Patterns Event events Transport & Distribution Other Services and Processes – Pattern SOA + BPM Detection Decisions Reactions Event & State store 23 © 2010 TIBCO Software Inc.
  • 24. Agenda Example Use Cases 24 © 2010 TIBCO Software Inc.
  • 25. Where does CEP apply? “CEP applies to a very broad spectrum of challenges in information systems. A short list includes:” Business process automation Computer systems to automate scheduling and control network-based processes and processing Identifying when complex contracts are fulfilled Detection intrusion, fraud and other network attacks C3I The Power of Events, Addison Wesley, ISBN: 0-201-72789-7, 2002 25 © 2010 TIBCO Software Inc. 25
  • 26. Shipping Company OOCL report from TUCON 2010 Shipment container track and trace: Monitoring shipment milestones and invoking appropriate processes Simple and Complex processes decision rules + simple actions vs decision rules + BPEL / BPM actions 8k shipments, 100 average shipment lifecycle days, 2 containers per shipment, 64 milestones per container = 54 million active milestones, @ max 60 events/sec 26 © 2010 TIBCO Software Inc.
  • 27. Shipping Company OOCL 1. Implementation#1 = J2EE 8 ppl => 8 mths to implement 100+ milestones => 0.05 person yrs per milestone BUT rule change expensive 2. Implementation#2 = Oracle BPEL 3ppl + Oracle => 4 mths to implement 3 of 100+ milestones => 0.5 person yrs per milestone 27 © 2010 TIBCO Software Inc.
  • 28. Shipping Company OOCL 1. Implementation#1 = J2EE 8 ppl => 8 mths to implement 100+ milestones BUT rule change expensive 2. Implementation#2 = Oracle BPEL 3ppl + Oracle => 4 mths to implement 3 of 100+ milestones 3. Implementation#3 = TIBCO CEP 3ppl + 1 TIBCO => 3wks POC + 2mths to implement 100+ milestones + 4mths tuning => 0.02 person yrs per milestone 28 © 2010 TIBCO Software Inc.
  • 29. Shipping Company OOCL Benefits: a. Declarative model is very elegant for certain problems. b. Increased agility: new milestones can be added without technical assistance. ROI: difficult to compute given recession / shipping downturn. But one example: Replaced rail billing process: @20K rail bill requests per mth Old: manual process New: 98% automated process in BE Development cost $80K vs benefit $50K per mth = ROI in 2 mths 29 © 2010 TIBCO Software Inc.
  • 30. Agenda Conclusions 30 © 2010 TIBCO Software Inc.
  • 31. CEP covers generic Use Cases outside of BPM events CEP Pattern Actions Detection Decisions and Views Real-time Complex Event Real-time Straight Thru Dashboards Detection Decisions Processing and BAM BPM Workflow 31 © 2010 TIBCO Software Inc.
  • 32. Using CEP = A Better Way to Fly a Business Real time Business Risk Operations event Pattern Dashboard Analytics on Shipments Comparisons To SLA’s Thank you for your time http://tibcoblogs.com/cep 32 © 2010 TIBCO Software Inc.