IBM Systems and Technology Group Driving STG opportunities

IBM Systems and Technology Group Agenda § What is a Service Oriented Architecture (SOA) § Aligning SOA with the Systems Agenda § How do Virtualization, Grid and Linux enhance and SOA environment § How can you leverage SOA momentum for STG sales § Customer presentation 2 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Service Orientation gets IBM ahead of the competitors, and discussing a topic that our customer WANTS to hear! Market momentum around SOA today and for the future Value proposition of reuse & flexibility is powerful today and SOA = reuse & flexibility Large market opportunity: $1. 97 Billion in 2005 Source: IBM Market Intelligence We are building on our strength (leader in 8 SOA related Gartner Magic Quadrants) with new leading products in this space Real customers are doing it (2500+ SOA Summit attendees, 85 customer references, 10 customer videos, etc) – potential boost for “value net” Standards are finally in place & widely adopted "By 2008, SOA will provide the basis for 80 percent of new development projects. " Gartner 3 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group What is …. . ? 4 … a service? … service orientation? A repeatable business task – e. g. , check customer credit; open new account A way of integrating your business as linked services and the outcomes that they bring … service oriented architecture (SOA)? … a composite application? An IT architectural style that supports service orientation A set of related & integrated services that support a business process built on an SOA Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Customers need a flexible infrastructure that will allow them to integrate rapidly Critical success factors for Service Oriented Architecture Flexible, robust infrastructure that reuses existing assets Know how and best practices linked to business: Solution Accelerators Applications & adherence to standards Skills This is not new but an evolution – leveraging your current investments 5 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group STG has the products and technology for a robust flexible infrastructure Critical success factors for Service Oriented Architecture Requires … a flexible, robust infrastructure that facilitates reuse of existing assets … and leads to a Services Oriented Infrastructure (SOI) Virtualization : Logical representation of resources not constrained by physical limitations Grid : Leverage available resources to meet business needs Linux : Build a flexible infrastructure based on open standards 6 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group SOA aligned with the Systems Agenda § Virtualize Everything – SOA’s allow you to separate applications from services. An SOI needs to allow you to separate both applications and services from the underlying infrastructure. – Virtualization • Logical representation of resources not constrained by physical limitations • Create many virtual resources within single physical device • Reach beyond the box – see and manage many virtual resources as one • Dynamically change and adjust across the infrastructure – Virtualization Engine Platform and grid computing are key technologies. – Over 40% of IBM Linux deployments are in virtualized environments either on a single server, a cluster, or a grid 7 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group SOA aligned with the Systems Agenda § Commitment to Openness – Infrastructure standards allow customers to combine an SOI with an SOA in a consistent and uniform manner – The SOA world is dominated by standards such as BPEL and others. – Just as important, infrastructure and management standards: IBM is a leader in this space: • Linux across all platforms • Management standards – WS-CIM and WS-DM • Grid standards (OGSA, Globus) 8 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group SOA aligned with the Systems Agenda § Collaborate to Innovate – SOA enables the exposure of interfaces to customers and partners to enable collaboration – STG is committed to greater collaboration with customers, communities, and IBM Business Partners. Examples include: • The Linux community, and other open source projects, to bring about the standards in commercial grade open software. • Ready for Grid and Ready for Virtualization Engine (VE) programs • Design Center collaboration with partners and customers • LAGrid, World Community Grid/Aids, NDMA/Breast Cancer 9 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Virtualization Engine for SOI § Virtual Access - Common interface across virtual environment masks complexity – VE Console – Total Storage Productivity Center § Virtual Management - Allocate and repurpose resources based on business goals – Enterprise Workload Management – Resource Dependency Service – IBM Director § Virtualized resources - Finer granularity of allocation and management of capacity – Dynamic LPAR, Virtual Servers, Virtual LAN, Capacity Upgrade on Demand, SAN Volume Controller, SAN File System, Virtual Tape, etc…… STG has over 40 years experience developing innovative virtualization technology. 10 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Grid for SOI § Grid extends the system and resource virtualization thought to the enterprise for optimizing application performance and information access – Think of distributed systems as one resource – Think of distributed information as a single collection § Grid allows organizations to extend the virtualization thought. It provides an enabler for the services oriented infrastructure – Workload Virtualization: efficiently bring a set of pooled resources to optimize a specific workload – Information Virtualization: aggregate and pool information from across heterogeneous resources § Grid Computing is synergistic with SOAs – An implementation of SOA that uses Web services – Use as a proof point of our expertise in the area 11 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Linux for SOI Flexibility Linux delivers flexibility: scales up and/or out, allowing for selecting the “right fit” for the application server hardware and software needs Reuse Web. Sphere on Linux can bridge among existing non-Linux and Linux environments for maximum reuse of existing business logic Alignment of business and IT Linux is a secure business choice for the best value, freedom of choice, simplification, and innovation. Linux: an open source and open standards platform for applications and middleware across the widest range of IBM and non-IBM hardware SOA+Linux = reuse and flexibility – maximized! 12 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group What do you need to do? § Leverage the momentum behind SOA to drive opportunities for Infrastructure Solutions and enabling technologies: – Virtualization Engine – Grid – Linux – e. Server and Total Storage § Be prepared when your customer asks about SOA § Team with SWG, BCS and ITS to clothe SOA deals with HW 13 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Drive virtualization opportunities Learn about your customer’s SOA plans If your customer is… You can…. …. planning an SOA assessment …. offer a virtualization assessment …. planning to implement SOA solutions from SWG …. discuss the advantages of building an SOA on a Services Oriented Infrastructure (SOI) …. unaware of what IBM has to offer …. team with SWG to tell them for SOA the story Contact the Virtualization black belts and the Grid team to assist 14 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Drive Linux opportunities Learn about your customer’s SOA plans If your customer is… You can…. …. planning an SOA assessment …. offer a Linux and open source assessment …. planning to implement SOA solutions from SWG …. discuss the advantages of building SOA on Linux with the appropriate IBM System and Storage …. unaware of what IBM has to offer …. team with SWG to tell them for SOA the Linux SWG and STG story Contact the Linux brand SWG specialists to assist 15 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Learn more about SOA (Must be in slide show mode for hyperlinks) § For Customer Videos/Webcasts of the story/Events – www. ibm. com/soa § SOA Readiness Assessment – http: //www. ibm. com/websphere/soa_assessment § SOA Customer Presentation – www. ibm. com/soa § SOA Enablement Sales Guide – http: //w 3103. ibm. com/software/xl/portal/viewcontent? type=doc&src. ID=X W&doc. ID=S 124431 L 21665 T 97 16 Virtualize Everything IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group References Web. Sphere and Systems case studies – Avis – z. Series – *Charles Schwab – z. Series and x. Series – Volkswagen - x. Series Additional references § p. Series – *Department for Environment, Food and Rural Affairs (DEFRA) (ST) § x. Series – *Vlaamse Radio- en Televisieomroep (includes p. Series ) * Linux case study 17 Virtualize Everything § z. Series – – – *Sumitomo Trust Bank Austrian Ministry of Justice Ohio Casualty Group Wachovia Alte Leipziger Versicherung Thailand’s Bank for Agriculture and Agricultural Cooperatives – National City Bank – SERPRO IBM Confidential - This educational piece is intended for your use in selling. It is NOT a deliverable for your customers. © 2003 IBM Corporation

IBM Systems and Technology Group Customer charts with speaker notes 18 Virtualize Everything ©

IBM Systems and Technology Group Service Oriented Architecture A flexible infrastructure with IBM Systems

IBM Systems and Technology Group Agenda § What is a Service Oriented Architecture (SOA) § SOA alignment with IBM’s Systems Agenda – Virtualize Everything – Commitment to Openness – Collaborate for Innovation § IBM Systems and the SOA life cycle 20 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group What is …. . ? 21 … a service? … service orientation? A repeatable business task – e. g. , check customer credit; open new account A way of integrating your business as linked services and the outcomes that they bring … service oriented architecture (SOA)? … a composite application? An IT architectural style that supports service orientation A set of related & integrated services that support a business process built on an SOA Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Confronting the hair ball Actual application architecture for a

IBM Systems and Technology Group A typical application architecture Hardwired connections between services inhibit change. Applications are platform dependent. Services are protocol dependent. Check inventory Process invoice Approve/ reject credit Receive. Check order PO status Collect A/R Ship goods Hardwired connections Custom interface SAP Order to Cash Customers 23 Virtualize Everything Oracle Financials Business partners Red Prairie Logistics Suppliers © 2003 IBM Corporation

IBM Systems and Technology Group Better: a service-oriented architecture An SOA frees service components from applications. . . …so you can expose them to customers and partners. Check inventory Process invoice Approve/ reject credit Receive. Check order PO status Collect A/R Ship goods Hardwired connections SAP Order to Cash Oracle Financials Customers 24 Virtualize Everything Business partners Red Prairie Logistics Suppliers © 2003 IBM Corporation

IBM Systems and Technology Group Breakthrough: SOA based on open standards Web services apply a common interface across the entire environment… Apply for Check for credit outstanding A/R Process invoice Approve/ reject credit Receive. Check order PO status Collect A/R Check print history Check inventory Ship goods Hardwired connections Open standards SAP Order to Cash WSDL Customers 25 Virtualize Everything XML Oracle SOAP Financials UDDI Business partners Red Prairie Logistics Suppliers © 2003 IBM Corporation

IBM Systems and Technology Group Customers need a flexible infrastructure that will allow them to integrate rapidly Critical success factors for Service Oriented Architecture Flexible, robust infrastructure that reuses existing assets Know how and best practices linked to business: Solution Accelerators Applications & adherence to standards Skills This is not new but an evolution – leveraging your current investments 26 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group The Systems Agenda for SOA § Virtualize Everything – Applying virtualization capabilities across the entire infrastructure in a holistic manner to create a logical representation of resources not constrained by physical limitations – A Virtualized server and storage infrastructure is the most flexible option for a service oriented architecture § Commitment to Openness – Going beyond just designing and building products based on standards but sharing in such a way that systems can integrate better and more easily. – An SOA based on standards enables more integration, including integration with existing assets § Collaborate to Innovate – Based on the fundamental principle that working together enables better problem solving and decision making than working in isolation. Realizing opportunities to collaborate that extend from within a department to the entire company and even beyond to industry-based communities and clients. – SOA enables the exposure of interfaces to customers and partners to enable collaboration 27 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group “Virtualize Everything” for a flexible, robust infrastructure SOA frees service components from applications and provides a common interface across the enterprise Virtualization frees system resource function from physical device characteristics. It provides a common interface to resources, increasing the flexibility to combine diverse technology Services allow for more granularity of control, can be distributed easily and reused as necessary Virtualization creates a pool of virtual resources that can be shared and managed through common tools and interfaces. This pool of resources can be within a single physical device or span the enterprise. 28 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Value of a Virtualized Infrastructure Improve TCO Decrease management cost Increase asset utilization Link infrastructure performance to business goals Access Through Shared Infrastructure Leverage common tools across many systems Improve business resilience and security Establish Service Oriented Infrastructure Foundation Increase Flexibility Create pools of system resources Maintain freedom of choice with open standards Simplify by masking complexity 29 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group IBM Virtualization Engine™ solution is end -to-end Virtual Access Virtualization Planning Tools Programmatic Interface 30 Virtual View Virtual Management Workload & performance managers Resource management, modeling, mapping Virtual Resources Resource virtualizers Partitioning, virtual machines, I/O, networks, VTS Virtualized view - Common interface across virtual environment masks complexity Virtualized management - Allocate and repurpose resources based on business goals Virtualized resources - Finer granularity of allocation and management of capacity IBM Systems & Storage Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group IBM Total. Storage Productivity Center Virtual Access Virtualization Planning Tools Programmatic access 31 Virtual view VE Console Virtual Management Workload & performance managers Resource management, modeling, mapping Enterprise workload management Virtual Resources Resource Workload virtualization management Resource dependency & mapping Total. Storage® i. Series ™ Resource virtualizers Partitioning, virtual machines, I/O, networks, VTS x. Series® IBM Systems & Storage System z 9™ z. Series® Virtualize Everything Blade. Center™ p. Series® Open. Power® © 2003 IBM Corporation

IBM Systems and Technology Group Grid Computing The Next Level of Virtualization Grid Computing Application Virtualization Service Oriented Architecture Workload Information Standards and Open Source Resource Virtualization 32 Virtualize Everything Service Oriented Infrastructure © 2003 IBM Corporation

IBM Systems and Technology Group Grid Computing: Elements of an SOI Service Oriented Architecture Workload Virtualization Provisioning Manager Intelligent Orchestrator Business Grid Information Virtualization Workload Scheduler Load Leveler Information Integrator SAN File System Universal Database General Parallel File Sys Standards and Open Source Virtual Access and Management Servers Storage Networks Service Oriented Infrastructure 33 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Commitment to Openness § IBM has an active, leadership role in infrastructure and management standards that are essential for successful SOA deployment – Linux on all IBM Systems – Management standards: To manage resources in a consistent way across management tools and platforms. – WS-CIM (Common Information Model) – WS-DM (Distributed Management) – Resource allocation services such as WS-RF (Resource Framework) – Globus toolkit for SOA based grids § Rapid product innovation grows from IBM’s support of industry standards and communities. 34 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Collaborate to Innovate – Linux and Open Source § IBM’s leadership within the Linux and open source community with customers and partners helps to drive innovation through open source and open standards to accelerate SOA implementations: – – – OSDL (Linux) Apache, Derby, and Geronimo Eclipse Mozilla and Firefox Blade. org Power. org – – – Open Invention Network Aperi Globus W 3 C and WS-I OASIS § IBM is committed to greater collaboration with customers, communities, and IBM Business Partners to deliver client focused solutions. 35 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group Linux for SOI Flexibility Linux delivers flexibility: scales up and/or out, allowing for selecting the “right fit” for the application server hardware and software needs Reuse Web. Sphere on Linux can bridge among existing non-Linux and Linux environments for maximum reuse of existing business logic Alignment of business and IT Linux is a secure business choice for the best value, freedom of choice, simplification, and innovation. Linux: an open source and open standards platform for applications and middleware across the widest range of IBM and non-IBM hardware SOA+Linux = reuse and flexibility – maximized! 36 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group SOA is not just for new development Bank of Montreal assembles mainframe-based assets What is the business challenge? Revitalize customer relationship management across multiple banking channels Benefits § Unified view of customer for personal banking line of business § Existing investments preserved and re-used Action taken § Re-used and assembled CICS assets with new Web services interfaces into new CRM business process § Used Web. Sphere Studio Application Developer-Integration Edition and CICS Transaction server § Deployed on Web. Sphere Application Server for z/Series 37 Virtualize Everything © 2003 IBM Corporation

IBM Systems and Technology Group SOA on z. Series – Modernizing your most valuable assets! Extend and enrich core CICS, IMS and Web. Sphere applications B 2 D d n S a r SOA M I S, d fo CIC nable y! e toda are Creates opportunities for new business processes with … 70 percent of business data is processed by mainframe applications. For asset reuse. . § time to value § lower risk § lower cost. . and service integrity § security § availability § recoverability 38 Virtualize Everything Unlocks the value of… Ru inc nning lud ing on an z/O y pl S a atfo r nd z. Li m, nux Web. Sphere SOA platform products For advanced services. . § user interaction § process management § information integration § enterprise service bus © 2003 IBM Corporation

IBM Systems and Technology Group IBM Systems in the SOA Lifecycle § Virtualized test environment using EWLM and server and storage virtualization § Deploy on the a flexible infrastructure based on e. Server, Total. Storage and Virtualization Engine Platform § Implement SOA using a Grid, leveraging Grid services that exist today § Resource Dependency Service uses Web Services standards to model resources § IBM Director provides system platform management across a heterogeneous environment 39 Virtualize Everything © 2003 IBM Corporation