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11/20/2012 1 International Society of Service Innovation Professionals (http://www.issip.org/) SIG Education & Research presentation given by Haluk Demirkan on November 14, 2012 1 To Join ISSIP today, register at www.issip.org. Send ideas to [email protected]. Become an Ambassador, join or propose SIGs, create Chapters, share your story… To Join ISSIP today, register at www.issip.org. Send ideas to [email protected]. Become an Ambassador, join or propose SIGs, create Chapters, share your story… Haluk Demirkan, PhD & PMP [email protected] http://www.linkedin.com/in/halukdemirkan Transdisciplinary Research, Consulting and Executive Education Agenda: Service Science/Information Systems/Supply Chain Management/Sustainability Selected Awards and Honors 2011 Association for Infor. Sys. ranked 50 th in Top100 Worldwide IS Researchers 2010 IEEE Computing Society – Research on Sustainable IT Services 2011 Journal of Service Research – Research Priorities for the Science of Service 2011 Decision Sciences Journal of Innovative Education – Teaching Analytics & BI 2008 IBM Faculty Award – Research on Design Science for Self Service Systems Academic experiences 10+ years of research & higher education experiences Professional experiences 15+ years of consulting and executive education experiences Selected Academic Accomplishments Since 2002 150+ publications (such as journal articles, conference proceedings, reports) Research funded by the Intel, American Express, MicroStrategy, IBM and others CoEditor of two refereed Springer research books: 1) The Science of Service Systems; 2) Service Systems Implementation Haluk Demirkan©2012 2

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International Society of Service Innovation Professionals (http://www.issip.org/) 

SIG Education & Researchpresentation given by Haluk Demirkan

on November 14, 2012

1

To Join ISSIP today, register at www.issip.org.

Send ideas to [email protected].

Become an Ambassador, join or propose SIGs, create Chapters, share your story…

To Join ISSIP today, register at www.issip.org.

Send ideas to [email protected].

Become an Ambassador, join or propose SIGs, create Chapters, share your story…

Haluk Demirkan, PhD & [email protected]

http://www.linkedin.com/in/halukdemirkan

Transdisciplinary Research, Consulting and Executive Education Agenda:Service Science/Information Systems/Supply Chain Management/Sustainability

Selected Awards and Honors2011 ‐ Association for Infor. Sys. ranked 50th in Top‐100 World‐wide IS Researchers 

2010 ‐ IEEE Computing Society – Research on Sustainable IT Services 2011 ‐ Journal of Service Research – Research Priorities for the Science of Service2011 ‐ Decision Sciences Journal of Innovative Education – Teaching Analytics & BI2008 ‐ IBM Faculty Award – Research on Design Science for Self Service Systems

Academic experiences10+ years of research & higher education experiences

Professional experiences15+ years of consulting and executive education experiences

Selected Academic Accomplishments Since 2002150+ publications (such as journal articles, conference proceedings, reports)

Research funded by the Intel, American Express, MicroStrategy, IBM and othersCo‐Editor of two refereed Springer research books:  

1) The Science of Service Systems; 2) Service Systems Implementation

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Education and ResearchEducation• Ph.D. in Information Sys. & Operations Mng. (dual concentration), University of Florida (2002)• Master of Eng. (1995) & Post Master of Eng. (1997) in Industrial & Systems Eng., University of Florida• Bachelor of Science in Mechanical Eng., Istanbul Technical University (1991)

Received Certifications from • Project Management Professional (PMP) Certificate from the Project Management Institute• Program Management Certification from Citibank• Project Management Certification from AT&T• Process Management and Re-engineering Certification from AT&T Bell Labs• Business Intelligence, Data Warehousing & Customer Relationship Management Certifications from

MicroStrategy

A Member of the Advisory Boards for:• Research Faculty Fellow of Center for Services Leadership, ASU• Research Faculty Fellow of Center for Advancing Business through IT, ASU• International Society of Service Innovation Professionals• Teradata University Network • Institute for the Operations Research & the Management Sciences’ Service Section• Association for Information Systems Service Science Section• Global Text Project

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Academic Experience• Present position: Professor of Service Science & Information Systems (transdisciplinary with

Supply Chain Management and Strategic Marketing & Services Leadership) (Clinical Track), Arizona State University

• 10+ years higher education interdisciplinary teaching experience (face-to-face & online) at the executive, graduate (e.g. MBA, MSIM, MAIS, PhD) and undergraduate levels at national and international universities

• Coordinator for CIS 593: Business Transformation through Information Technology (capstone IS innovation project course for the Evening MS Information Management Program) & MKT 580: Value Added Services-Strategic Projects (capstone strategic consulting/innovation project course for the Fulltime MBA Strategic Marketing, Services Leadership & Healthcare Services Programs), ASU.

• Research Faculty Fellow – Cent. for Services Leadership & Cent. for Advancing Business with IT• Honors Disciplinary Faculty - Barrett the Honors College, ASU• Co-Founder and Faculty Advisor - Project Management Student Organization, ASU• Committee Chair - W.P. Carey Executive Edu. & Distance/Online Edu. Information Systems Dept.• Track chair - Analytics, Mobile & Service Science at the Hawaii Int. Conf. on Sys. Science(HICSS)• Advisory Board Member - Teradata University Network, Service Research & Innovation Institute,

International Society of Service Innovation Professionals, Institute for the Operations Research & the Management Sciences, Assoc. for Information Systems Service Science Section, Global Text Project

• Editor of a Book Collection Service Systems & Innovations in Business and Society in Business Expert Press (with Jim Spohrer, Director of IBM Global University Programs).

• Editorial Board/Review Member for Informs-Service Science, the Electronic Commerce Research & Applications, Inf. Systems Frontiers, Int. J. of Services Sciences, J. of Management Information Systems, California Management Review, J. of Service Research, Decision Support Systems

• Editor of Refereed Research Books “The Science of Service Systems” & “Service Systems Implementation,” Springer, 2011.

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Academic/ResearchOngoing leadership in the emerging field of data-driven service science and innovation with 10+ years higher education interdisciplinary (e.g. IS, SCM, OM, MKT, IndEng.) teaching experience (face-to-face & online) at the executive, graduate (e.g. MBA, MSIM, MAIS, PhD) and undergraduate levels at national and international universities; well-established, rigorous and high-impact research record (39 journal and 100+ other publications in JMIS, JAIS, JSR, IEEE SMC, EJOR, ECRA, DSS, CACM, IJSS, and others; 2 research books; 700+ citations in Google Scholar, $230k research funding and collaborations with Intel, American Express, MicroStrategy, IBM, Premier Healthcare, MediServe, etc.); projects with 10 PhD students; international service roles (e.g. track chair for the Decision Analytics, Mobile Services and Service Science Track at the HICSS, journal guest-editorship, advisory board membership); various awards and honors (e.g. ranked 50th in the Top-100 World-wide Researchers by AIS, IBM Faculty, IEEE Computer Society, and the best article award from J. Service Research); 15+ years of professional work and executive education experiences on business-intelligence & analytics driven process innovation for Fortune 100 companies; and a trans-disciplinary education.

Research methods include analytical, design science, action, empirical research and combinations.Research topics• Service science & sustainable service innovations• Data science with active data warehousing and big data analysis• Decision science with business-, social-, mobile-, cloud- intelligence & analytics• Service-orientation, -transformation, -chain, -ecosystem, -operation• Project, process & service management, and process innovation• Co-creation of value -chains, -shops & -networks for complex adaptive service systems• Service-oriented technology & management (e.g. SOA, SOI, cloud computing, on-demand supply chain

management)• Strategic service transformation & information systems for sustainable competitive advantage, business

transformation & growth

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Professional Experience• 15+ years of professional work & executive education experiences on business intelligence &

analytics-driven process innovation; strategic service transformation & innovation; architectural and operational planning & implementation for best-in-breed service-oriented information systems, decision support systems, active data warehousing, big data analysis, business-, social-, mobile-, cloud- intelligence & analytics for Fortune 100 companies.

• Technical Principle Consultant, MicroStrategy, Inc.• Project Manager & Process Re-engineer, Citi Corp.• Software Process Engineer & Architect, AT&T Universal Card Services and Bell Labs

List of Value-added Collaborations• Banking & Financial Services (American Express, AT&T Universal Card Services, Bank of America, Citi Corp,

First Union Bank, Franklin Templeton, JC Bradford, Norwest Wells Fargo, Raymond James)• Consumer Packaged (Procter & Gamble)• Education (Adaptive Curriculum.com, Arizona State Univ., Sabanci Univ (TR), Sebit Inc. (TR))• ERP/Supply Chain Management/Logistics (Intel Corp, Tech Data, CSX Lines, Watkins Motor Lines, YRC

Worldwide)• Government (Korea Inst. for Industrial Economics & Trade, National Science Foundation, USA Dept. of

Education)• Healthcare & Pharmaceutical (Eckerd, Premier, Banner Healthcare, Columbia Healthcare, Mayo Clinic,

Parkstone)• IT Software Vendor (BISC, MicroStrategy Corp, Teradata Corp)• Manufacturing (Inci Aku (TR), Intel Corp, Michelin North America)• Retail (Discount Auto Parts, Harris Teeter, Home Shopping Network, Koton (TR), Lowe's, Stein Mart)• Sales & Marketing (Darden Restaurants, Office Depot, Universal Studios)• Telecommunications (AT&T, Telefonica (Puerto Rico), Turkcell (TR), Verizon), E-Commerce (Choice Point,

Lending Tree)

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Sample list of education topics on “services”Strategic Information Technology Services and Project ManagementThis course builds the foundations for information technology services and project management by focusing on key aspects of commoditization of hardware (e.g., service oriented infrastructure, on-demand, utility computing, cloud computing), software (e.g. service oriented architecture, the software-as-a-service model), and even business processes. The course introduces the IT product development and service delivery processes with sound management principles for on-budget and on-time projects that meet end users’ needs. The course also discusses the added complexity introduced by globalization and virtualization of IT projects.

Value Added Services: Strategic ProjectsThis course provides an opportunity for students to demonstrate their distinctive knowledge and skills to the business community through live consultative projects. Some of the objectives are to demonstrate competence in integrating, extending and applying strategic marketing and services leadership knowledge and skills in a “live” business context that is dynamic, complex and relatively unstructured; to develop an understanding of the application of the project management process; and to exhibit and enhance practical consultative skills. As part of this course, teams will produce and present comprehensive report including features for companies such as: Customer Analysis, Competitive Analysis, Mapping of Customers’ Experiences/Interactions With Client Organization, Service Quality Analysis, and Implementation Plan for Selected Recommendations.

Business Transformation through Information TechnologyThe main objective of this course is to create a setting in which students can apply the concepts, theories, and frameworks encountered in the information management program in an integrative fashion. To fulfill the requirements for the course, students create IT-enabled transformation plans for a company within a chosen industry segment. Students have 4 major deliverables: 1) Industry Analysis; 2) Company Analysis; 3) Transformation Plan; and 4) Technology Plan.

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Data, Information and Analytics as Services: This course provides a conceptual framework for service oriented managerial decision making process, and explains the potential impact of service oriented architecture and cloud computing on data, information and analytics. SOA, cloud computing, Web 2.0 and Web 3.0 are converging, and transforming the information technology ecosystem for the better while imposing new complexities. Large amount of structured and unstructured data is being created and shared over disparate networks and virtual communities. We are in need of finding new and more efficient ways to collect, store, transform, share, utilize and dispose data, information and analytics.

Exploring the Building Blocks of Service Innovation: Establishing a strong linkages between competitive advantage, service innovation, competencies (e.g. functional, collaboration, IT/IS) , new service development processes, dynamic capabilities, absorptive capacity, customer value requirements and the value-producing activities of the firm are the foundations on which the co-creation of value is based. The success of a new service can often depend on a small nuance that can be difficult to pinpoint. This course presents a systematic approach for assessing the value co-creations and service innovations in time & space complexity for service systems.

Service Oriented Project Management & Systems Development: Service-oriented systems development can improve IT project process agility and facilitate both plan-driven and agile techniques in the same project life cycle. SOSD requires modularizing the systems development process into the basic activities of individuals and groups, storing standardized service definitions and the requirements for each activity, and storing choreographies of these service activities (used in past projects) in a format which improves the process of planning and requirements analysis for future projects.

Strategic Value Configuration for Competitive Advantage: Co-creation of value -chains, -shops & -networks for product service systems. Client co-production in knowledge-intensive business services with the accumulation, creation or dissemination of the knowledge for the purpose of developing a customized service or product solution to satisfy the client needs. Some of the topics are managing customer service, how to sell more services, customer entry, customer value, competitive advantage, delivery efficiency, service business, and innovation and learning.

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Sample list of education topics on “services”

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Strategic IT Services & Project Management

Introduction to Course

Haluk Demirkan

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Summary of this course• This course builds the foundations for information technology

services and project management by focusing on key aspects ofcommoditization of hardware (e.g., on-demand, utility computing,cloud computing), software (the software-as-a-service model), andeven business processes. The course introduces the IT productdevelopment and service delivery processes with soundmanagement principles for on-budget and on-time projects that meetend users’ needs (high quality of service). The course alsodiscusses the added complexity introduced by globalization andvirtualization of IT projects. The main objectives are to review thefundamentals and to offer practical solutions for these challenges.

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Learning Objectives• Understanding the link between organizations’ strategies and IT.

• Managing IT as a portfolio of services and projects.

• Understanding of project environment complexities andentities.

• Introduction to IT product development, project management andservice management processes.

• Review of IT service design and delivery processes, and keyproject management knowledge areas.

• Develop a project schedule, estimates, resource plan and budget.

• Practice the concepts in one of the mostly used project planningtools, MS Project.

• Review and practice of tools, techniques and skills.

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Programs & Profile of Students

• Part-time graduate students

• Most students have 5+ years IT background

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Sample list of cases that I use• Volkswagen of America: Managing IT Priorities. Robert D. Austin, Warren Ritchie,

Greggory Garrett, Harvard Business School, Revision Date: Jun 14, 2007, PublicationDate: Oct 05, 2005, Product number:606003-PDF-ENG, Length: 19p

• Providian Trust: Tradition and Technology (A), Publication Date: Aug 22, 1997,Availability: In Stock, Author(s): F. Warren McFarlan, Melissa Dailey Type: Case(Field) Product Number: 9-398-008, Revision Date: Jun 7, 1999, Length: 20p,Discipline: Management of information systems

• Dragonfly: Developing a Proposal for an Uninhabited Aerial Vehicle (UAV). Kavadias,Stylianos; Loch, Christoph; De Meyer, Arnoud. Case No. 4885. Published 02/00,2000. INSEAD, (9 pages).

• A&D High Tech (A): Managing Projects for Success, Mark Jeffery, Derek Yung, AlexGershbeyn Product Type: Case (Field), Product#: KEL156 Pub. Date: January 01,2006, Revision Date: Mar 01, 2008, Product number: KEL156-PDF-ENG, Length:20p Discipline: Competitive strategy

• Siemens AG: Global Development Strategy (A). Thomke, Stefan; Nimgade, Ashok. InHarvard Business Review, Case No. 9-602-061. Published 10/16/2001, Revised03/18/2002. Harvard Business School Publishing, (27 pages).

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Sample list of articles that I use• You Need to Focus on Tactics, and IT Needs Strategic Alignment: How to Derive an

IT-Enabled Business Strategy by Susan Cramm, 25 pages. Publication date: Mar 29,2010. Prod. #: 5829BC-HCB-ENG, HBS PRESS CHAPTER

• Managing IT as a Portfolio of Services, Joe Peppard, European ManagementJournal, Volume (Year): 21 (2003), Issue (Month): 4 (August), Pages: 467-483.

• Why Bad Projects Are So Hard to Kill. Royer, Isabelle. In Harvard Business Review.Published 02/01/2003, Harvard Business School Publishing, (8 pages)

• Stopping Runaway IT Projects. Awazu, Yukika; DeSouza, Kevin C.; Evaristo, J.Roberto. In Business Horizons. Published 01/15/2004, Indiana University KelleySchool of Business, (8 pages).

• Lost Roots: How Project Management Came to Emphasize Control Over Flexibilityand Novelty, Sylvain Lenfle, Christoph H. Loch, Publication Date:Nov 01, 2010,Source:California Management Review Product number: CMR469-PDF-ENG,Length:25p

• Putting the Service-Profit Chain to Work (HBR Classic), James L. Heskett, ThomasO. Jones, Gary W. Loveman, W. Earl Sasser Jr., Leonard A. Schlesinger, PublicationDate:Jul 01, 2008, Source:Harvard Business Review Product number: R0807L-PDF-ENG, Length:14p

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1a module is about

Managing IT as a portfolio of services and projects.

Managing IT as a Portfolio of Services, Joe Peppard, EuropeanManagement Journal, Volume (Year): 21 (2003), Issue (Month): 4(August), Pages: 467-483.

• Available at http://www.som.cranfield.ac.uk/som/dinamic-content/media/ISRC/Managing%20IT%20as%20a%20Portfolio%20of%20Services.pdf

Impact of service-oriented architecture on enterprise systems,organizational structures, and individuals, N. Bieberstein, S. Bose, L.Walker, A. Lynch, IBM Systems Journal, Volume 44 Issue 4, 2005,Pages 691 – 708.

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Basic Characteristics of IT Services

– IT services are more or less intangible

– There can be high involvement of people inthe delivery process

– Many IT services are at least to some extentproduced and consumed simultaneously

– Inability to place in inventory

– Many IT services cannot readily be displayed,demonstrated or communicated

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Assessing the Value of IST Services

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Managing IT as a Portfolio of Services, Joe Peppard, European Management Journal, Volume (Year): 21 (2003), Issue (Month): 4 (August), Pages: 467-483.

1b module is about

• Putting the Service-Profit Chain to Work (HBR Classic), James L.Heskett, Thomas O. Jones, Gary W. Loveman, W. Earl Sasser Jr.,Leonard A. Schlesinger, Publication Date:Jul 01, 2008,Source:Harvard Business Review Product number: R0807L-PDF-ENG, Length:14p

• Impact of services on project business, Karlos Arttoa, KimWikströmb, Magnus Hellströmb, Jaakko Kujalad, InternationalJournal of Project Management, Volume 26, Issue 5, July 2008,Pages 497–508.http://www.sciencedirect.com/science/article/pii/S0263786308000744

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Impact of services on project business

• Abstract

Project supplier firms are solution providers. A solution may consist of acore project delivery with specific service contents, and/or of separateservice deliveries. This paper analyzes the role of services in thebusiness model of a project-based firm. ……..

The impact types are: customer entry, customer value, competitiveadvantage, delivery efficiency, service business, and innovation andlearning.

Impact of services on project business, Karlos Arttoa, Kim Wikströmb, Magnus Hellströmb, JaakkoKujalad, International Journal of Project Management, Volume 26, Issue 5, July 2008, Pages 497–508.http://www.sciencedirect.com/science/article/pii/S0263786308000744

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1c module is about

• Service orientation and cloud computing services

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a sample service: financial

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a sample service: cell phone + musicFragmentation in valueNetworks

The new network play

Next - in the movies?Apple’s profits

Value network linkages

…a value chain, too…

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• Partners have access toa computer simulationmodel outside thecorporate firewall

• In that simulation,partners can virtually testparts’ compatibilities; thisreplaces the ‘design toblueprint’ approach

• Boeing claims it hasmoved up the valuestream to become a“large-scale systemsintegrator”

a sample service: building an airplaneFragmentation in valueNetworks, e.g. Boeing's Dreamliner

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Distributors & Resellers

Increased Competition

Partner NetworkGetting More

Complex

Accelerated Quoting

DistributedProduct Design

Multiple Sales & Support

Channels

Reducedtime-to-market

Shorter ProductLife Cycles

Outsourced manufacturing &

fragmented inventory

Flexibility and agility to respond to changing business needs and

to harness resources across global value chain partners

Support / Retention

Customized Solutions & Consignment

Contractors

Component Suppliers

AcceleratedTechnology

Advancement

Focus Shiftingto End

Customers

Globalization

PoliticalIntegration/

Disintegration

Regulationand Activism

NaturalResource

Availability WildcardsLow Probability/

High Impact

Given there is ongoing pressures for agility and virtualization….

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…which Business Inflections are driving Today’s Changes & Challenges?

FROM

• Function oriented

• Build to last

• Prolonged development cycles

• Application silos

• Tightly coupled

• Object oriented

• Known implementation

• Governance model

• Approval process

• Value calculation

TO

• Coordination oriented

• Build to change

• Incrementally built and deployed

• Enterprise solutions

• Loosely coupled

• Message oriented

• Abstraction

• Federated

• Judge common needs but allow for innovation

• Hedging options and flexibility

Shift To A Service-Oriented Architecture Microsoft; By Jean-Jacques Dubray, 2004

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Towards a Services-based Ecosystem Approach: From Biological to Organizational

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Demirkan, H. and Goul, M. (2006) “Towards the Service Oriented Enterprise Vision: Bridging Industry and Academics,” The Communications of the Association for Information Systems, 18 (26), 546-556.

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What is Service Oriented Enterprise?

For clarity, we use definitions of SOA and SOE from OASIS (theOrganization for the Advancement of Structured InformationStandards).

Service orientation is based on modularity (i.e. decomposing systems)(Baldwin & Clark, 2000). “Service-oriented” means the independentelements are described, discovered, and negotiated for in terms of the“services” they provide.

OASIS defines SOA as the following: “A paradigm for organizing andutilizing distributed capabilities that may be under the control ofdifferent ownership domains. It provides a uniform means to offer,discover, interact with and use capabilities to produce desired effectsconsistent with measurable preconditions and expectations” (OASIS,2006). Basically, SOA does not mean only web services orarchitecture or technology. However, it is a new of thinking aboutprocesses that reinforces the value of reuse and commoditization.

• Service-Oriented Architectures (SOA) and cloud computing aretechnical constructs designed to organize services, catalog serviceblueprints, and support dynamic service composition and execution.

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Building Blocks of a Service Oriented Enterprise

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Demirkan, H., Goul, M. and Brown, G.W., “Seeding the Cloud by Re-Aligning People, Process and Technology,” Arizona State University, Working Paper, 2012.

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Intra-enterprise Business Process Execution Stack

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Inter-enterprise Business Process Execution Stack

Haluk Demirkan©2012

Goul, M., Demirkan, H. and Nichols, J. “Inter-Enterprise Business Process Execution in Logistic Network Services with On-demand Healthcare Supply Chain Management,” Arizona State University, Working Paper, 2012.

Enterprise Grid

Services

Internet

Firewall

Firewall

MachineServices

RFIDEdge DeviceAcquisition

Data Filtering

Security / Identity

(IdM) Services

Services which

Traverse firewalls

Exposed Services

& Composites

EdgeDevices

New Service-Oriented

applications which

understand and can

characterize elements of Mobilized Software;

Reliable Msg,Policy Mgmnt,

Robust Queuing,

Multi-Radio Transport Mgmnt,

Battery & Processor

Management

UserServices

MobilizedSoftware Proxy

Network & Application

Authentication

Network & Application Persistence

IdentityFederation

Firewall

Service-Oriented Enterprise Framework

Business Integration

Services

Orchestrating and managing

data & application

events / requests & msgs

Data Transformation &

Normalization

IdentityServices

Managing Accountability,

Trust & Federation

Enterprise DataServices

Database, Storage, XML

CompositeServices

CoarseGrain

WS-SMgmnt

Fine GrainServices

Managing WS

Access, Service levels,

Policy andGovernance

WS-MAN

Which finer grain WS

need to be run to

support the requestor?

What composite application or WS does

the requestor

need to run?

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A sample service life cycle

Ref: Jeng, JJ “System Dynamics Modeling for SOA Project Management” IEEE International Conference on Service-Oriented Computing and Applications, 2007

Predictions

• Pike Research expects the growth in cloudcomputing revenue to continue worldwidebetween now and 2015 at a compoundannual growth rate of 28.8%, with themarket increasing from $46.0 billion in2009 to $210.3 billion by 2015.

(http://www.pikeresearch.com/research/cloud-computing-energy-efficiency)

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Definitions: Cloud Computing

Concept generally incorporates combinations ofthe following:

Infrastructure as a service (IaaS): The keycharacteristics include

• Resources delivered as a service includingservers, network equipment, memory, CPUs,disk space, data center facilities, etc.

• Dynamic scaling of infrastructure - scales upor down based on resource needs

• Usually billed at a variable cost where theremay be fixed costs per resource component

• Multiple tenants typically exist on the sameinfrastructure resources

• Allows companies to benefit from aggregatecompute resource pools

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Definitions: Cloud Computing (continued)

Platform as a service (PaaS): the delivery of a computing platform as a serviceincluding

• The entire solution ‘stack’ is typically provided• Usually includes a software development capability at the top of the stack

which is cloud-based• There are usually services to develop, test, deploy, host and maintain

applications in the same integrated development environment• Usually supports development team collaboration• Utility-grade instrumentation; provide developers insight into the inner

workings of their applications, and the behavior of their users - usesinformation about user behavior to enable pay-per-use billing

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Definitions: Cloud Computing (continued)

Software as a service (SaaS): a model of software deployment where anapplication is hosted as a service provided to customers across the Internetand

• There is network-based access to, and management of, commerciallyavailable software

• Activities are managed from central locations rather than at each customer'ssite, enabling customers to access applications remotely via the Web

• Application delivery is typically closer to a one-to-many model (singleinstance, multi-tenant architecture) than to a one-to-one model, includingarchitecture, pricing, partnering, and management characteristics

• There is centralized feature updating, which obviates the need for end-usersto download patches and upgrades

• The software as a service is frequently integrated into a larger network ofcommunicating software - either as part of a mashup or as a plug-in to aplatform as a service

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Context - National Institute of Standards and Technology (NIST) Perspectives• NIST defines cloud computing as “... a model for enabling

convenient, on-demand network access to a shared pool ofconfigurable computing resources (for example, networks, servers,storage, applications, and services) that can be rapidly provisionedand released with minimal management effort or service providerinteraction.”

• NIST defines four cloud deployment models:– public clouds (cloud infrastructure made available to the general public

or a large industry group)– private clouds (cloud infrastructure operated solely for an organization)– community clouds (cloud infrastructure shared by several organizations)– hybrid clouds (cloud infrastructure that combines two or more clouds)

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OASIS Perspective: Ultimate Convergence of Cloud, SOA and SLA-driven Business Process Execution

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From Modi, T., “The Cloud Ecosystem,” EBIZQ, http://www.ebizq.net/topics/soa_management/features/11787.html?page=2

Haluk Demirkan©2012

Challenges/Issues/Barriers

• Losing control over IT governance• Application performance• Delivering adequate security• Preventing runaways costs• Complying with regional and sector regulations• Vendors lacking• Multi tenancy issues• Resource allocation• Inter-organizational application processing• and many more…

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Haluk Demirkan, PhD & PMP

Please contact Haluk for any questions and comments

[email protected]://www.linkedin.com/in/halukdemirkan http://www.issip.org/about/whos‐who/#haluk

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Thank you!