<<So rather than as an end in itself, perhaps a better way to think of
SOA is as one of a number of techniques to be applied to achieve
transformation. For example, we may apply SOA techniques to only
limited parts of an application environment but to achieve a type of
transformation that would otherwise not be possible. So, one could say
that SOA principles and technologies may enable us to think of IT
systems and transformation tactics differently than we have before.
Some of the characteristics of these transformed systems can also
enable us to think of business organizational structures and business
transformation differently than we have before.

Aspects of Business Transformation

In thinking about business transformation there are opportunities for
business process improvements that can be brought about by the
separation of business process operations from the back end business
applications in which they have been historically embedded.

The use of SOA techniques and technologies allows these often volatile
processes to be moved out of the code of the applications and into an
external BPM layer. In effect moving them into a technology layer
means it is easier to manage their complexity and dynamism, than if
they had been written in the programming languages normally used for
business applications.

But there are other more intriguing possibilities for business
transformation that can be enabled by these techniques. These revolve
around the premise that, in the future, the boundaries and activities
that typically define any type of business are likely to change. This
is an example of the network effect and stems from the reality that
most businesses find it increasingly difficult to perform well in all
of the areas that historically defined their business. And if you
can't perform a task with market differentiating quality, then it may
be better to look at entering into collaborative arrangements with
others who can.  This results in a kind of restructuring of the value
chain and a rethink of the roles that organizations perform. This
strategy is of course common place in other industries today.

To do this however requires a degree of agility not always available
in financial services companies. Agility in this sense implies the
ability to move business processes or parts of business processes
around different locations either within existing corporate boundaries
or across them in collaborations with business partners. For example,
a financial services company may wish to locate part of its new
business process relating to employee benefits products within an
employer's HR operation. Similarly, different aspects of servicing
activities may be performed by distributors or consumers depending on
the capabilities and agreements with each.

Certain common activities may be centralized in a single `location'
and shared with multiple operating units. This requires the ability to
rapidly decompose and recompose the organization into different
combinations. To achieve this requires a kind of componentization of
the business itself.>>

You can read this at:

http://www.soa-world.com/FeatureRO.asp?FeatureId=195

Gervas








 
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