The cloud enterprise

The Cloud Enterprise, SOA and Enterprise Architecture Adrian Grigoriu Executive Enterprise Architect Independent Consultant Music: Ambient Lounge, Vol. 1 Disc 1\13 Ethnic Majority

Cloud Computing CC is a new Enterprise business model: lease IT capabilities rather than buy or build and own them • IT services are provided by partners rather than in-house • An Enterprise Cloud consists of the IT services supplied by more providers over the network cloud • A “private cloud” is a set of in-house only IT services built on SOA, virtualization and own IT resources

Why Cloud Computing • Fast deployment of capabilities/applications • Near-instant self-provisioning of IT capabilities – server, storage, network, desktop, applications...

• Consumed only when needed – no more underutilised IT resources

• Paid for only when used • replacing the risk of upfront capital investment with operational expenditure solely for actual consumption

Why Cloud Computing (i) • Service location independence, in the cloud • Technology neutral, no need for specific technologies , real estate space, cooling, electricity bills, dear skills • Choice of Off-the-Shelf Cloud services • Increased business agility, proficiency from best of breed services • Improved focus on business rather than technology

Cloud Computing models Cloud Computing consists of all types of outsourced IT services: Application, Platform, Infrastructure, Security... as a Service: XaaS Two typical deployments: • SaaS: applications may be outsourced to different providers in the Cloud, using their own technology • IaaS/PaaS: applications are housed by an Infrastructure/ Data Center provider and are downloaded as Virtual Machines

Cloud Computing impacts on IT The IT becomes a separate entity from the firm: • The technology in the Enterprise cloud, may run in another time zone, country...

Cloud computing may reduce the IT branch to the architecture, strategy and planning functions • Technology buy, upgrades, licensing and management are not a firm’s concern any longer • Replaced by contracts and utility like charging, the bitter relation between business and IT vanishes

Cloud Computing characteristics • Web interface for self provisioning and reporting • Charging mechanisms for actual consumption • Multi-tenant data centers with frequently used platforms (PaaS) • Technology is typically virtualized • Blades technology could be used for scalability, low cost, reduced space & reduced power consumption • Comes with development and deployment tools

The Virtual Enterprise & Business Utilities The Virtual Enterprise business concept, known also as the Networked Enterprise, consists of distributed business functions and utilities, outsourced to partners that work together with the firm to deliver the product to end customers • “Business Process Utilities are an emerging form of business process outsourcing. BPU is useful when a more standardized solution is sought that can be paid for on a transactional basisâ€?, Gartner http://www.gartner.com/DisplayDocument?id=527120

The evolution to the Cloud Enterprise The Monolithic Enterprise Marketing

R&D Product Development HR

Sales & Service

Distribution

The Virtual Enterprise Company Marketing 1

Company 7

Corporate

Finance Payroll

IT

R&D

Manufacturing

Product Development

Supply Chain

Company 2

Distribution Sales & Service Compan

The Firm Corporate Finance

y3 Manufacturing

Supply Chain

IT

Company 6

HR

Company 8 Compan Marketing y1

Compan y R&D 7

The Cloud Enterprise

Product Development Compan HR y6

BPU

Sales & Service

The Firm Corporate Company Finance 9 CoPayroll 5

Compan

Distribution y2 Compan

Manufacturing y3 Supply Chain Comp IaaS/ 4

PaaS Data Center

The Cloud Enterprise and EA • The Business Architecture layer rests on top of the computing cloud consisting of the IT Application and Technology layers • The Cloud Enterprise Architecture (EA) consists mostly of Business Architecture, rather than technology detail • The Data Center, its virtualization become the concern of the cloud services providers

The EA layers and current outsourcing types The Enterprise

Outsourcing type Call Centre (people) outsourcing

People Business Information BPU Applications Infrastructure

SaaS

Application outsourcing (SaaS) BPUtility outsourcing Managed Services (Apps,Infra) Data Centre outsourcing

The increasing EA layers virtualization • But virtualization increasingly occurs at interfaces between the EA layers (business, applications...) progressively abstracting and decoupling them, enabling as such business and IT outsourcing • The UI becomes technology neutral (Rich Interface Web2.0) • Business service orchestration is technology transparent • Enterprise Information Integration abstracts physical data • SOA abstracts technology behind interfaces • Technology virtualization abstracts physical infrastructure

The EA layers interfaces virtualization

Human Interface virtualisation: Web 2.0 Business layer virtualisation: orchestration (BPMS/BPEL) Information virtualisation: EII, MDM Aplication layer virtualisation: SOA Infrastructure layer virtualization: Servers and storage, network...

People Business Information Applications Infrastructure

The Cloud Enterprise The core Firm

Cloud Computing BPO/BPU

The Cloud Enterprise structure & operation • The Cloud Enterprise consists of the firm and all its business (Business Process Utilities) and IT (Cloud Computing) services and their providers • The Cloud Enterprise processes operate as an orchestration of services in the Cloud • The transformation of the Virtual Enterprise into a Cloud Enterprise is enabled by Internet, Web Services, SOA, BPMS, B2B... technologies

Cloud Enterprise (CE), SOA and EA • SOA enables all: Cloud Computing, Business Process Utilities and the Cloud Enterprise • SOA offers transparent distribution, loose coupling, technology transparency and interfaces making the CE integration easy, preparing the Enterprise for the Cloud distribution • The virtualization/abstraction of EA layers enables both business and technology outsourcing and, as such, makes possible the Cloud Enterprise

The integration in the Enterprise • The EAI (Enterprise Application Integration) integrated the IT of before • The ESB (Enterprise Service Bus) serves the today’s SOA integration paradigm • The Web Services technology + SOA and the Cloud Computing business model integrate the largely distributed Cloud Enterprise of tomorrow.

The Cloud roadblocks • Integration of current systems with cloud apps • Information integration between in-house and cloud • Security and availability of infrastructure • Data ownership and legislation demanding incountry data hosting • Cultural barriers

Read more on Adrian’s Grigoriu blog at http://it.toolbox.com/blogs/ea-matters/ Adrian is known for his Enterprise Architecture book available on Amazon, articles and EA training course.