Mid-Office On-Demand. iqcx Overview. Presented by Ron Childress
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1 Mid-Office On-Demand iqcx Overview Presented by Ron Childress
2 Presentation Objectives Definitions and Terminology Corporate Considerations Total Cost of Ownership (TCO) Considerations iqcx Re-engineering Considerations iqcx Integration Considerations iqcx Future Considerations iqcx Statistics Questions Appendix
3 Definitions and Terminology AS2 = Applicability Statement 2 EDI communication specifications ASP = Application Service Provider Bandwidth = Data Transfer Capacity Firewall = Tools to protect Private Network resources Hosted = Off-Premise Installation of all Hardware and Software Housed = On-Premise Installation of all Hardware and Software Intrusion Detection = Security Management Systems ISP = Internet Service Provider On-Demand Computing = 24/7/365 Application Availability SaaS = Software as a Service Service Bureau = Outsourcing All Software Services SOA = Service Oriented Architecture TCO = Total Cost of Ownership VTA = Vulnerability Threat Assessment Virtualization = No Defined Location Requirements Web Services = Software Components for Distributed Computing
4 Corporate Considerations Hosted Positive Effects (On Demand Environments) Housed Positive Opportunities (On Premise Environments) Lower Investment Requirements Lack of Existing Technical Expertise Overcome Shorter Deployment Cycle (months vs. years) Quicker Time to Benefits Easier Integration of New Technology Fewer Pain Points Greater Reliability Easier Upgrades Automated Monitoring Improved SLA contracts Vendor / Customer Alignment Systems Backup and Recovery Afford the Capital Investments Afford the Fixed Costs Availability of Existing Technical Expertise IT Infrastructure Available Maximum Application Control Customization Capabilities Data Accessibility Complexity of Integration Control Timing of Upgrades Control Highly Sensitive Data Specialized Data Structures
5 T.C.O. Considerations Expense and Risk Categories Technology Strategic Planning Software: Annual Costs of Purchase or Lease Software: Annual Costs for Updates or to Update Hardware: Costs for New or Replacement Hardware Procurement and Deployment Costs: Time and Effort IT Labor Support Costs: Technical / User / Administrative Outsourced Technical Consulting Hardware / Software Lease Costs IT Infrastructure and Housing Costs Downtime Consumables Formal Training and Professional Development
6 T.C.O. Considerations Annual PNR Transaction Volume Internet Connectivity Expense GDS Connectivity Expense GDS Hits Expenses People Expenses Hosted Housed Application Administrator Systems Administrator Database Administrator Software Subscription Hardware Expenses (Production and Testing) Software Expenses (Initial Fee, Annual License, S&M) Maintenance and Upgrades (Scheduling, Installing, Testing) Professional Services Downtime / Business Interruption Disaster Recovery (Backup, Offsite Storage, etc.) Facilities Overhead (Utilities, Floor Space, etc.) SLA
7 iqcx Re-engineering Considerations Planning for Growth and/or Acquisitions Better cost estimates for growing transaction base Load balancing for peak processing Flexible scheduling of operations Challenges of operating a 24/7 environment Costs for after hours services to baby-sit queues and ticketing Costs for after hours systems monitoring Costs for recovery when ticketing is interrupted outside business hours It ain t broke but does it really work for you? Systems and services designed to meet yesterdays needs Processes that fit yesterdays industry and business models How effective is your automation? Are your agents really more efficient with automated processes in place Monitoring of agent activity for consistent error tracking
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10 iqcx Integration Considerations Company Operations Professional Services Detailed Implementation Guidelines Staged Approach End to End Data Management Reservation Management Information Management Analytics Process Integration Document Delivery AutoTicket Travel Authorizations EasyFee Data Output Options Portal Information Web Services Data Requests (XML)
11 iqcx Future Considerations iqcx Web Services Ability to work with other reservation sources (G2, ITA, FareLOGIX, LCC-engines) Ability to call process from POS (ResMarker, Booking Engines) Creation of customized processes for customers iqcx WebTop iqcx Desktop Manager true POS QC iqcx Ticketing Manager control center for tracking PNR workflow iqcx Document Center control center for sending and formatting real-time itineraries iqcx Process Manager Work-flow based interface to iqcx Create processes by designing VISIO like charts iqcx Marketplace Ability to work with value added vendors and partners Integrate and deliver content to travelers that is strategic and important Ability to further push Online Integration
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13 iqcx Statistics 1 st Quarter 2007 System Processing System Availability = 99.2% Scheduled Maintenance (Systems = 3 hours) (Applications = 4 hours) Unscheduled Downtime (Systems = 10 hours) (Sabre outage February 23) Average QC time per PNR = 30 seconds Average time from QC thru AT = 7 minutes 15 seconds (includes all scheduled pause times) Average time from QC thru DD = 11 minutes 45 seconds (includes all scheduled pause times) PNR Processing Unique PNRs = 165,675 Total PNRs = 926,699 Average Touches = 5.59 per PNR Module Processing Samples Fare Checking (PNRs Checked = 239,957) (Lower Fares = 6,263) (Possible Savings = $2,383,340) Seat Checking (PNRs Checked = 24,457) (Seats Cleared = 6,969) (Seats Improved = 7,640) Tickets Issued (PNRs Auto Ticketed = 36,253) Most Common PNR Errors found by ResRules Incorrect/Invalid TAW/TAU Line Missing Form of Payment Missing Savings Code Missing Low Fare/Full Fare
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16 Data Flow Diagram Logical Map JAN 2007 Confidential & Proprietary - Cornerstone Information Systems NOTE: This map is not intended to diagram tiered architecture Scheduling Servers Web Servers ~ Inbound ~ ~ Outbound ~ Load Balancing Quality Control Tools Fiber Fiber Client Terminal Automated Booking Tools Sabre Pseudo Cities (Agency Queues via Web Services) Galileo/Apollo Pseudo Cities (Agency Queues via TCP/IP or Web Services) Internet (Secure Sockets - HTTPS ) Router (ACLs) Firewall Fiber Firewall Engine Servers Network IDS Firewall Mail Servers Router (ACLs) Internet (Secure Sockets - HTTPS/SMTP) Quality Control Tools Router (ACLs) Database Complex Client Terminal Automated Booking Tools Quality Control Tools Amadeus Offices (Agency Offices via Structured Data) Internet IPSEC Private Tunnel (AH, ESP, ISAKMP) Application Servers - ibank - Document Delivery - AutoTicket - EasyFee - Travel Authorizations Web Services Thin Client Web Portal Hosted Data Capture --- Origin of Passenger Name Records & Booking Confirmations Client Terminal Automated Booking Tools Worldspan Pseudo Cities (Agency Queues via Structured Data) Quality Control Automated Tools Booking Tools Client Terminal
17 Web Services Resources The New Web Interface Web Services: Explanation of Web Services General: Web services (sometimes called application services) are services (usually including some combination of programming and data, but possibly including human resources as well) that are made available from a business's Web server for Web users or other Webconnected programs. Providers of Web services are generally known as application service providers. Web services range from such major services as storage management and customer relationship management (CRM) down to much more limited services such as the furnishing of a stock quote and the checking of bids for an auction item. The accelerating creation and availability of these services is a major Web trend. Technical: The term Web services describes a standardized way of integrating Web-based applications using the XML, SOAP, WSDL and UDDI open standards over an Internet protocol backbone. XML is used to tag the data, SOAP is used to transfer the data, WSDL is used for describing the services available and UDDI is used for listing what services are available. Used primarily as a means for businesses to communicate with each other and with clients, Web services allow organizations to communicate data without intimate knowledge of each other's IT systems behind the firewall. Unlike traditional client/server models, such as a Web server/web page system, Web services do not provide the user with a GUI. Web services instead share business logic, data and processes through a programmatic interface across a network. The applications interface, not the users.
18 RightNow Technologies Graph
19 Program Guide Program Guide: Custom Applications On Premise Licensed Applications On-Demand / Subscription Applications Three (3) Methods For Delivering Software Created in-house or by external developers exclusively for a specific business, which then owns the product Developed by commercial software publishers for a wide range of businesses, usually running on the licensee's own servers Accessed by clients via the Internet (or web-services clients) and run on the servers supplied by the software provider or an authorized third party Initial software cost High Moderate Low Client owns the software Yes No No Client's ability to customize the software High Moderate Low to Moderate Upfront hardware costs High High Low Software maintenance / upgrade costs High Moderate Low Compliance protection High Moderate Low Vendor lock-in High Moderate Low
20 Salesforce.com vs. Conventional CRM Salesforce.com CRM Conventional CRM Professional Edition Enterprise Edition Number of Users Application License and Subscription $300,000 $117,000 $225,000 Support / Upgrade Costs $54,000 $0 $0 Implementation and Customization $900,000 $29,250 $56,250 IT Infrastructure / Hosting Costs $125,000 $0 $0 IT Personnel Support $150,000 $0 $0 Training Costs (Admin and End Users) $45,000 $11,700 $22,500 Totals ($) $1,574,000 $157,950 $303,750 Costs (%) 100% 10% 19%
21 Hierarchy of IT Metrics IT Value Index IT Agility Strategic Value Tier IT Cost Alignment Enterprise Architecture Total Cost of Ownership IT Control Vision and Control Tier Leveraging Resources Budget Variance Compliance Resource Utilization Project Benefits Realization Security / Disaster Readiness Service Costs Service Levels IT Output Quality Infrastructure Capacity Skills Development Operational Excellence Tier Vendor Quality Process Effectiveness Customer Satisfaction Project Schedule Variance Vendor Alignment Measurable Repeatable Processes
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