Driving Government Transformation: Service Oriented Government April 28, 2009 7 th SOA for e-Gov Conference

1. Driving Government Transformation: Service Oriented Government April 28, 2009 7th SOA for e-Gov Conference Dave MayoPresident, Everware-CBDI

2. Dave Mayo - Background • President, Everware-CBDI • Enterprise Architecture • Service Oriented Architecture • Model-Driven Solution Delivery • 2009 Federal 100 Award (Federal Computer Week) • Vice-Chair, IAC EA-SIG and Chair, Services Committee (Industry Advisory Council/Enterprise Architecture Shared Interest Group) • Economics, EA & Information Engineering • Sr. Advisor to DHS EA Program • Information Strategic Planning • Business Case/ROI Analysis • White Papers • Succeeding With Component Based Architectures (IAC, 2004) • EA: It’s Not Just for IT Anymore (JEA, 2005) • Services and Components Based Architectures (CIOC, 2006) • Practical Guide for Federal Service Oriented Architecture (CIOC, 2008) • Service Oriented Government: Performance Driven Results (Draft, IAC, 2009)

3. Everware-CBDI • IndependentspecialistSOAfirm • MergerofestablishedUKandUScompaniesin2006 • 25,000+subscribingarchitectsworldwide • Enablingstructured,enterpriselevelSOA • FacilitatingSOAstandards • Widelyusedbestpractices,referencearchitecture,repeatableprocesses - Services Architecture & Engineering(CBDI SAE™) • SOASolution Business including Education,Consulting,Knowledgeproducts

4. Topics • Background • Setting the Stage: SOA in the Federal Government • SOA Fundamentals • SOA & EA • SOA Critical Success Factors • Practical Guide to Federal SOA • Future of SOA: Service Oriented Government • Recommendations • Expectations from New Administration

5. We have a few problems… • Inconsistencies in process, semantics, technology • Redundancy in business processes, systems, data • Lack of interoperability • Stakeholders must engage with multiple organizations to achieve a single objective • Difficulties sharing information • Organizational rigidities prevent quick responses • IT not well aligned with business objectives and difficult to change

6. Strategic Issues Facing Federal Agencies • Change is Ubiquitous & Discontinuous • Increasing complexity – all aspects • Often unforeseen (threats, environmental, legislative, budget) • Impacts all facets of the business • Organizations are increasingly unable to adequately respond • Organizational barriers • Process rigidities • Silo’d applications & inflexible IT infrastructure • Need to improve operational effectiveness • Integration across the enterprise & entire supply chain • Reduce cycle times for virtually all processes • Improve access to data needed for operational decisions We’ve already hit the wall.

7. The Solution: The Agile Enterprise • Business cycle-time must be faster than rate of change in external factors • IT must be able to keep up with business changes • Agile organizations require adaptable architectures 1980’s and earlier 1990’s New Millennium Extranet 3rd party service providers Internet Customers • Organization Focus • Mainframe centric • Monolithic • Internal use • Business Process Focus • Client/Server • Monolithic • Business-to-business via EDI -file transfer • Virtual organizations • Distributed Functions • Service oriented • Web 2.0 • Mashups • Near real-time

8. The Key to Agility Minimize the impact of changes at each level on the other levels Business Frustration Impacts Applications Demand Impacts Technology Key Techniques: Separation of Concerns: SOA Abstraction: Model Driven Systems Engineering

9. EA is the Most Valuable Tool to Support Government Transformation • Architecture is necessary to manage complexity • Models assist in understanding, prioritizing and communicating • FEA is the only tool available for cross-agency analysis • Many government value chains cross agency boundaries (and government levels, too) • Fundamental value of EA is aligning investments with priorities But it must be a service-oriented EA!

10. SOA Fundamentals "Let's start at the beginning. This is a football. These are the yard markers. I'm the coach. You are the players." Vince Lombardi • Service Oriented Architecture is a paradigm for organizing and utilizing distributed capabilities that may be under the control of different ownership domains. • Service: The means by which the needs of a consumer are brought together with the capabilities of a provider. • -- OASIS SOA Reference Model version 1.0

11. SOA Basics SOA is an architectural best practice for EA All organizations need agility; therefore all need SOA SOA should be the predominant architectural pattern in all agency EAs Services affect everything Service oriented enterprise (SOE) Service oriented architecture (SOA) Service oriented infrastructure (SOI) 11

12. SOA Confusion • Is SOA dead? • Services Anarchy • Net-centricity • Focus is on finding, sharing & exploiting information to achieve superiority • Is Cloud Computing going to replace SOA? • Cloud Computing = Software as a Service + Infrastructure as a Service.

13. SOA Mismatch • Claims of organizational agility and better alignment between IT and the business • But often the definition of SOA is technology based • Web services (WS-*, JBOWS) • Integration technology (eg, ESB) • Business benefits are derived from SOA as a flexible architecture of collaborating services

14. SOA Critical Success Factors • Trust • Security • Service Certification • SLAs • Testing & Monitoring (adaptive/collaborative/continuous) • Consistency • Semantic - Data • Service Reference Architecture (EA) • SOA Readiness & Maturity • Org Change Management • Management of the SOA Adoption Process • Federated Governance • Enforceable Contracts • Funding & Cost Recovery • Service Oriented Acquisition • Technology Platform • Infrastructure as a Service - Cloud Computing • Discovery – Repositories/Registries

15. SOA Vision:Flexible, Federated Business Processes Enabling reuse of Services in different scenarios Enabling alternative implementations to provide the same Services Enabling a virtual federation of participants to collaborate in an end-to-end business process Service Identification Service Ticket Collection Ticket Sales Payment Service Ordering Service Motivation: Business Agility Business Efficiency Globalization Service Service Inventory Service Logistics Service Service Service Manufacturing Enabling virtualization of business resources Outsourcing, insourcing, offshoring, etc Availability Enabling aggregation from multiple providers, or flexible choice of provider

16. SOA Organizational Impact: Twin Track Development • Service Portfolio based on highly reusable services • Strict separation of provider and consumer • Requires service oriented demand forecasting • Enables just in time assembly Volatile, short-term, process specific Solutions Immediate Business Needs Solution Process Consume, Assemble Solution Customized Versions Specific Requirement Standard Versions Service Portfolio Plan Service Portfolio Provisioning Process Provide Services and Service Automation Units Stable, Long-term, Reusable Assets

17. Practical Guide to Federal SOA:Keys to Implementation (SOE) Service Oriented Enterprise • Treat SOA adoption as an organizational change initiative • Build community processes and collaborative platforms • Establish Federated Governance • Establish service funding and charging mechanisms • Service based SDLC with incremental development • Shift to service based procurement • Advance institutional knowledge and capture best practices

18. PGFSOA: Keys to Implementation (SOA) • Use EA to align with business objectives • Introduce Services as a First-Order Concept in your EA • Establish a Service Based Target Architecture • Adopt model based architecture and pattern based design • Enable automatic compliance and alignment • Leverage legacy assets to enable evolutionary progress Service Oriented Architecture

19. PGFSOA: Keys to Implementation (SOI) Service Oriented Infrastructure • Focus on enterprise security, scalability, and interoperability • Infrastructure as a service • Establish discovery and trust mechanisms • Repositories/Registries • Information assurance & identity management • Establish an adaptive and collaborative testing and certification environment

20. SOA Adoption Roadmap SOA Readiness Assessment & Business Case SOA Adoption Roadmap Planning SOA Maturity Assessment SOA Adoption Management SOA Implementation Initiatives • Provide a framework for assessing an organizations SOA capability maturity. • Present a roadmap for evolving an organization’s SOA capability. Objectives of the SOA Roadmap: Theme: …“managed” adoption of a new approach achieves the objectives of the organization more quickly and at a higher level of maturity.

21. SOA Maturity Model Ecosystem Common ecosystem services eliminate organizational boundaries and enable broader economic activity Service concepts standardized across industry sectors and or LOBs Enterprise Enterprise level shared services create enterprise adaptability and consistency SOA enables enterprise wide consistency of business information and processes Integrated Shared services integrate silos, rationalize EAI contracts Integrated approach reduces complexity, cost and increases adaptability Applied Project basedSOA activity Service architecture enables business adaptability for limited scope Early Learning Initial SOAactivity Experimental

22. SOA Adoption Streams Management tools including vision, strategy, funding, charging, measurement and monitoring and SOA adoption plans and management. Defined policies, roles, responsibilities and skills required to create, operate, manage and govern a service environment. Capability to execute classes of project and or program, defined as project patterns The business models and business transformation plans that shape a service oriented business and integrate and drive requirements for service architecture The service architecture and Service Portfolio Plan (SPP) The reference framework including concept model, reference architecture and process to enable and coordinate federated service delivery and execution. Life cycle support architecture and implementation to support planning to delivery service states. Operational infrastructure architecture and implementation to support the run time service life cycle states. SOA Management . . Organization SOE . Projects & Programs . Business Design . Service Architecture SOA Framework and Process . . LifeCycleInfrastructure SOI OperationalInfrastructure . Early Learning Applied Integrated Enterprise Ecosystem Maturity Level

23. Service Oriented Government Virtual Government Value Chains Combination of: • Enterprise Architecture (Federal Gov is the Enterprise) • Business Process Management • Service Oriented Architecture • Independent of Federal Organizational Structure • Starting Points: • Federal Enterprise Architecture (FEA) • Reference Models, Segment Architectures • PGFSOA (2008) • Architectural Principles for US Government (2006)

24. OMB Future Direction: Services The Future Approach … IT & Services IT & Services IT & Services IT & Services IT & Services EPA HHS IT & Services HHS IT & Services EPA IT & Services IT & Services Service for Citizens Health Services DOI DOD IT & Services IT & Services IT & Services IT & Services DOD DOI IT & Services Treasury VA IT & Services IT & Services IT & Services IT & Services IT & Services USDA DOJ Service for Citizens Mortgage Insurance VA IT & Services IT & Services IT & Services IT & Services IT & Services HUD IT & Services State Treasury IT & Services IT & Services IT & Services HUD IT & Services State USDA IT & Services IT & Services DOJ IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services IT & Services Commercial Provider Commercial Provider Service for Citizens = Service for Citizens IT & Services IT & Services = Common Service = Agency-specific Service = Commercial Provider Commercial Provider The Historical Approach … Source: Dick Burk

25. Service Oriented Government • The Historical Approach - Agency Focused… • Citizen Service: Many agencies and offices; not one government • Performance: No common framework for performance measurement across agencies; minimal budget-performance integration • IT & Services: Redundancy within and across agencies • Budget Allocation: Allocation of funds by Agency; minimal cross-Agency analysis • The Future Approach - Mission and Service Focused… • Citizen Service: One government • Performance: Common performance measurement framework for OMB and all agencies; robust budget-performance integration • IT & Services: Minimal redundancy in IT spending; component-based architecture promotes reuse • Budget Allocation: Budget analyses take business lines into consideration; funds allocated to support cross-agency collaboration Source: Dick Burk, 2005

26. SOG in Action: NYC Business Express NYC Business Express Common Intake Portal Intake Portal & Rules Engine Open a Restaurant BPM Engine Business Express Process Services Departmental Services NYC Dept of Health & Mental Hygiene IRS NYC Department of Buildings

27. Recommendations • OMB • Mine Segment Architectures for commonality • Establish Communities of Interest • Require agencies to consume & share services • Agency Executive Management • Define goals in terms of value chains of extended ecosystem • Insist on linkages between performance measures and processes/data/applications/technology • IT Managers • Acquire capabilities (services), not systems • Manage portfolio of services vs. applications • Architects • Ensure the architecture support business leadership (fit for purpose) • Service orient the EA and solution architectures • Technologists • Establish the platform and governance (eg, SLAs) to enable the transformation • Decouple technologies – technology agility (eg, Cloud computing)

28. Expectations from New Administration • Transparency • Rapid Response • Citizen-focused • Transformation • Efficiency (cost savings) • New Technology & Innovation • Effectiveness (performance) Bottom-line: An Agile Enterprise

29. Enterprise Service Solutions Thank you. Questions? Dave Mayo dmayo@everware-cbdi.com (703) 246-0000 x103 Download the PGFSOA: http://www.whitehouse.gov/omb/e-gov/pgfsoa.aspx www.everware-cbdi.com Research Portal:www.cbdiforum.com