www.hcltech.com Successfully migrating to the Oracle Meeting the demand for dynamic business solutions Enterprise Resource Planning AuthOr: Luis Weir Principal Architect & Global Lead for OFM Solutions, HCL Technologies WHITEPAPER September 2015
TABLE OF CONTENTS INTRODUCTION 3 ORACLE S OFFERING 3 THE JOURNEY TO THE CLOUD 5 THREE STEPS TO CLOUD SUCCESS 6 WHY HCL? 11 HCL S TOOLS AND OFFERINGS FOR ORACLE CLOUD 11 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 2
INTRODUCTION Business today is dynamic and digital. Whatever industry you look at the pace of change is accelerating. Driven by new technology developments such as cloud computing, the Internet of Things, and mobile apps, consumers and business buyers alike have become more informed, connected, discerning, and demanding than ever before. At the same time, these same technologies are driving new business and delivery models that are transforming how companies interact with employees, partners, suppliers, and consumers. You only have to look at companies like Google, Netflix, Amazon, and Facebook to see the transformation that is taking place. But for traditional companies this poses a problem. The organizations mentioned earlier were born digital. When it comes to the enterprise applications they use, they had the luxury of starting with a blank sheet of paper. So they were able to take advantage of new technologies that allow them to operate with unprecedented agility and automation. Traditional companies have to compete with the new upstarts. To level the playing field, digital transformation is essential. Indeed, 27% of senior executives think it is a matter of survival. But traditional companies don t have the luxury of starting from a blank sheet of paper. They have legacy systems and data, and they are often inflexible and hard to change. So how can these companies make the change? computing provides the answer. computing offers the opportunity to migrate legacy systems into a more adaptable, agile environment and allows organizations to take advantage of new emerging technologies such as mobile, integration, and the Internet of Things. Recognizing this Oracle, in particular, has embarked on a digital journey to transform its thousands of products into a set of comprehensive, cohesive, cloud-based digital offerings called Oracle Services. In this white paper we look at what those services comprise of and how companies can best take advantage of them. ORACLE S OFFERING Oracle s cloud ambitions are big. It is aiming to become one of the largest cloud vendors in the next few years. The company is already delivering many of its products through the cloud and these will shortly be extended to include all its current products and capabilities that are available on-premise. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 3
The Oracle cloud consists of three building blocks: APPLICATIONS as a SERVICE (SaaS) Oracle PLATFORM as a SERVICE (PaaS) Public Private INFRASTRUCTURE AS A SERVICE (IaaS) y Software as a Service (SaaS). All Oracle s next generation applications - including Oracle Customer Experience, Oracle HR, Oracle ERP, and Oracle SCM provided as cloud solutions. y Platform as a Service (PaaS). Oracle s Fusion middleware offerings, such as Oracle Mobile Service, Oracle Integration Service, SOA Service, and Oracle Process Service, migrated to the cloud. y Infrastructure as a Service (IaaS). Services here will include Oracle Infrastructure as a Service, services and solutions for Oracle s cloud elastic compute platform, and Database as a Service (DBaaS). In addition the Oracle supports two deployment models: y Public cloud: In this option Oracle s own infrastructure is leveraged, the stack is run and supported entirely by Oracle and access to core infrastructure components is restricted. This particular option is ideal for small or mid size organizations that don t have to deal with very high volumes of data and are not subject to several regulatory requirements regarding data security. It is also ideal for deploying development and test environments for organizations of any size. y Private : For organizations that deal with much larger volumes of data and also have to comply with several data regulations, a private cloud option is also available for implementing Oracle s engineered systems. With this option the stack doesn t have to reside in Oracle s data center and can be supported by a certified Oracle partner such as HCL. As a result, it delivers more flexibility and scalability than the public cloud option and is also more secure in nature. Very soon the transition will be completed and Oracle will have one of the largest end-to-end cloud capabilities, all with a single user experience. At HCL we believe that with this breadth of capabilities, Oracle will provide organizations with a solid foundation for transforming into digital enterprises. In addition, the possibility of adopting public cloud and/or private cloud options allows customers to cherry pick the solution that best fits their needs and budget. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 4
ORACLE CLOUD SERVICES Mobile Services (mbaas) Integration/ SOA & BPM Services (ipaas) Application Services (SaaS) Platform Services (PaaS) Infrastructure Services (IaaS) Identity Federation Services Database as a Service (dbaas) 90% of businesses have adopted cloud computing to some degree of whom 82% report cost savings as a result. Source: Frank Palermo, 2015 Forecast: The Sun Is Out for Computing, CMSWire, December 16, 2014, http://cmswire.com/cms/information-management/ 2015-forecast-the-sun-is-out-for-cloud-computing-027501.php#null 70% of companies plan to adopt Platform as a Service (PaaS) solutions by 2017. Source: North Bridge 2013 Future of Computing Survey http://www. northbridge.com/2013-future-cloud-computing-survey-reveals-business-drivingcloud-adoption-everything-service-era-it THE JOURNEY TO THE CLOUD However, at the same time, our experience tells us that a headlong rush to cloud solutions can be counter-productive. The Oracle promises organizations the ability to quickly deploy new applications, often with minimal investment in IT infrastructure. As they can typically be accessed anytime, anywhere from multiple devices the applications also allow companies to rapidly take advantage of mobility. However, the danger lies in their very ease of deployment, as it is all too easy for business users to put in place their own systems and bypass IT. Left unchecked, this can lead to multiple cloud solutions that neither integrate with each other or corporate applications and cause security problems and potential data privacy breaches. Another hidden challenge lies within the size of the Oracle itself. Although generally speaking this can be a good thing, the many options available can some times overwhelm customers and, in some cases, drive them away from adopting an Oracle solution. To avoid this issue, HCL created the Oracle Reference Model. The model delivers a comprehensive approach for organizations to choose the 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 5
capabilities they need from the Oracle. Then, based on this input, it determines which cloud components are required. This not only takes any complexity away from the client but also accelerates the process of adopting cloud solutions. OMNI-CHANNEL ENABLERS WEB : ORACLE ADF ALTA MOBILE: ORACLE MAF SOCIAL: ORACLE SOCIAL CLOUD PARTNERS: ORACLE B2B & APIM CLOUD DEVICES & MACHINES: ORACLE JAVA & OEP EMBEDDED MULTIMEDIA & CONTENT: ORACLE MULTIMEDIA SOFTWARE as a SERVICE : ORACLE CLOUD APPLICATIONS as a SERVICE OMNI-CHANNEL EXPERIENCE DELIVERY : ORACLE CX CLOUD SEAMLESS OMNI-CHANNEL DELIVERY RICH MEDIA DELIVERY WEB EXPERIENCE DELIVEY CONTENT SYNDICATION CUSTOMER ENGAGEMENT EXPERIENCE PERSONALIZATION (PREDICTIVE ANALYTICS) BRAND ENGAGEMENT MARKETING AUTOMATION: ORACLE MARKETING CLOUD (ELOQUA) CUSTOMER RELATIONSHIP MANAGEMENT: ORACLE SALES CLOUD CUSTOMER SERVICE MANAGEMENT: ORACLE SERVICE CLOUD SUPPLY CHAIN MANAGEMENT: ORACLE SCM CLOUD HUMAN CAPITAL MANAGEMENT: ORACLE HCM CLOUD ENTERPRISE PERFORMANCE MANAGEMENT: ORACLE EPM CLOUD BUSINESS INTELIGENCE: ORACLE ANALYTICS CLOUD FINANCE: ORACLE FINANCIALS CLOUD DEVOPS : ORACLE DEVELOPER CLOUD SERVICE PLATFORM as a SERVICE: ORACLE CLOUD PLATFORM as a SERVICE IGaaS: ORACLE IoT CLOUD SERVICE MBaaS: ORACLE MOBILE CLOUD SERVICE IPaaS: ORACLE INTEGRATION & SOA CLOUD SERVICE BPaaS: ORACLE PROCESS CLOUD SERVICE JaaS: ORACLE JAVA CLOUD SERVICE DaaS: ORACLE DATABASE CLOUD SERVICE INFRASTRUCTURE as a SERVICE : ORACLE CLOUD INFRASTRUCTURE AS A SERVICE COMPUTE POWER TOPOLOGY NETWORKING Furthermore, at HCL we believe that organizations need to take a holistic approach to adopting Oracle cloud solutions, ensuring they have a cohesive strategy that supports the company s goals in both the short and long term. At HCL we advocate a three-step approach. THREE STEPS TO CLOUD SUCCESS Current Landscape Transition (Hybrid Architecture) Future State Disjointed User Experience Partly Jointed User Experience Seamless User Experience Financials Partners ERP Mobile Apps EAM Mobile Apps Web Applications Partners On-Premise Integration Orders Mobile Apps CRM Web Applications Customer Mng HCM Financials Service Integration ERP EAM Marketing On-Premise Integration Orders Mobile Apps CRM Web Applications Partners Customer Mng Software as a Service (SaaS) Financials HCM Service Marketing SCM Analytics Mobile Apps Web Apps Devices Partners Platform as a Service (PaaS) Integration Mobile Java IoT Human Capital Data Hubs Cases Marketing Human Capital Data Hubs Cases Marketing Infrastructure as a Service (IaaS) Supply Chain BI Service Management Campaigns Supply Chain BI Service Management Campaigns On-Premise Integration EAM Data Hubs Start the journey by creating a cloud adoption strategy to: Elaborate detail understanding of current technology landscape Define a cloud migration strategy Identifying cloud quick wins (low risk high value use cases) Look at SOA as an enabler to move to cloud (decoupling systems) Implement a cloud migration pilot to show early results Start to rationalise on-premise systems Start moving some functionality to the cloud (low risk high value) Implement hybrid integration: adopt Platform as a Service (PaaS) to support cloud integration and SOA for on-premise integration Continue to move functionality to the cloud, including analytics Introduce disruptive technologies to enable: mobile workforce, Internet of things, social analytics, business APIs Leverage hybrid integration solution to integrate with on-premise systems 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 6
STEP 1: DEFINE A STRATEGY The start of any journey to the Oracle is the adoption of a clear cloud adoption strategy. This needs to be based on both a detailed understanding of the current technology landscape and the future aims of the company. From this a plan can be drawn up that articulates the future state that will meet the needs of the business, highlights the quick wins that are possible, and describes how the candidate systems for migration to the cloud can be decoupled from other applications. STEP 2: MIGRATION The second step is to implement an Oracle migration pilot. Showing early results will help to gain the buy-in of senior executives and line of business managers for the overall strategy and eliminate the possibility of rogue IT occurring. At this stage the company would be running a hybrid model, with some functionality in the cloud and some still on-premise. As a result, we would expect to see Oracle PaaS - like Integration Service (ICS) and on-premise solutions based on Oracle SOA Suite and Oracle Data Integrator - adopted in order to support the integration of cloud and on-premise systems. Plus, the rationalization of on-premise applications can begin. STEP 3: FUTURE STATE In the third step functionality continues to be moved to the Oracle, including analytics. We would also expect the introduction of disruptive technologies to support mobile working, the Internet of things, social analytics, and business APIs. By this stage the integration of systems should be complete and should be almost entirely on the cloud supported by Oracle PaaS components. This also means that there would be a seamless user experience rather than the disjointed experience in step one. It is important to note that the future state is not necessarily a totally Oracle cloud environment. For all sorts of legal, compliance, or business reasons, companies may need to keep some systems and/or data on premise, in private clouds or even in other clouds, resulting in a hybrid environment. KEY CONSIDERATIONS In our experience there are a number of key issues that needs to be taken into consideration when developing a cloud strategy. Addressing these issues at the initial stages can save significant effort later. DATA With data, one of the primary considerations that rises above all else is regulatory compliance. Many regulations stipulate the jurisdiction that data can be held in. Even if the data is not subject to regulations there is also the question of the legal rights some territories may have over the data held within their borders. Before making a decision about whether to migrate applications it is vital to understand where the data will be held and under what rules. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 7
Note that as stated in the Oracle Hosting and Delivery Policies, as well as Oracle s Services Privacy Services, Oracle services are in alignment with the ISO/IEC 27001:2005 security standards and also adhere to the Safe Harbor Privacy Principles of notice, choice, onward transfer, security, data integrity, access, and enforcement. In addition the Oracle has been awarded TRUSTe s Privacy Seal. Although this alone should satisfy many data regulatory requirements, it is important to understand if these would be sufficient and comply with your organization s data security requirements. Once it has been decided that data can be moved the challenge is then how to deal with the hundreds of gigabytes in your on-premise systems. Our recommendation is to adopt a three stage approach. The first stage is to conduct a data discovery exercise to identify the sources of the organization s most critical data entities. In parallel, cloud and data architects should collaborate to define a common data model that can be used in the second and third stages. In the second stage, data is extracted from the identified source systems into a hub, where it is normalized and cleaned, removing duplicates, redundancy, and outdated information. The third stage involves the creation of another hub that is used to load the clean data into the target SaaS system. One factor that is often overlooked is the complexity of loading the data. SaaS APIs can be very complex so it is vital that whoever undertakes the migration has a sound understanding of how these work and, ideally, pre-built adaptors that will save time and effort. DATA MIGRATION 1 Financials Human Capital Supply Chain Orders Cases Service Management DISCOVER AND EXTRACT On-Premise Sources ERP s CRM s EAM Data Hubs BI Customer Mng Marketing Campaigns Other Legacy Oracle SOA Suite & Oracle Data Integrator E-LT SOA/EDA 2 DATA CONSOLIDATION 3 CLOUD INTEGRATION & CLEANSING Secure Network Zone Oracle Data Quality Manager (DQM) Cleansing Profiling Match & Merge - Customers - Vendors - Products - Items - Inventory Oracle Data Hubs - Orders - Reference data - Etc Oracle PaaS Integration Service (ICS) SSL Routing Transformation Adapters SaaS s Sales Service Marketing ERP Financial Other s 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 8
CONSOLIDATION Adopting cloud services offers plenty of opportunities for consolidating both applications and hardware. Such consolidation can significantly reduce administration, maintenance, and support costs. PRIVATE VS PUBLIC As we mentioned briefly earlier, existing legislation or industry compliance may be a hurdle to adopting public cloud solutions. However, that does not mean that companies cannot take advantage of the technologies involved. It is perfectly possible in the Oracle for organizations to embrace cloud characteristics such as on-demand self-service, broad network access, resource pooling, rapid elasticity, and measured services internally as a private cloud. As a result, they can gain all the benefits of cloud computing safe in the knowledge that they will be complying with regulatory demands. HIGH PERFORMANCE REQUIREMENTS Companies with extreme performance requirements that can only be satisfied by Oracle Engineered Systems such as Oracle Exadata, Exalogic, or Exalytics should consider a hybrid cloud model, where production workloads are provisioned from a private cloud hosted on Oracle Engineered Systems and non-production workloads are provisioned from the public cloud. SECURITY One of the key benefits of migrating enterprise applications to the cloud is that they typically allow companies to quickly and easily make them available in multiple locations and geographies, and on various mobile devices. As a result, organizations can empower employees to be more productive, collaborate better with partners and suppliers, and provide new services to customers. However, all these benefits also have security implications. In putting together a cloud migration strategy, organizations should consider the security of: 1. The service provider s data center. However, with any reputable service provider this should not be problem. 2. The network between the service provider and their company locations 3. Employee s mobile devices 4. Customer access to web applications. Security (36%), cloud computing (31%) and mobile devices (28%) are the top 3 initiatives IT executives are planning to have their organizations focus on over the next 12 months. Source: 2015 State of the Network Study 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 9
As stated earlier the Oracle complies with several regulatory requirements, such as the ISO/IEC 27001:2005 security standards and Safe Harbor. Read the Oracle Hosting and Delivery Policies and the Oracle s Services Privacy Services for further information. INTEGRATION To provide a seamless user experience applications will need to be integrated. Careful consideration needs to be given to the technologies to achieve this. As discussed earlier, we would recommend using Oracle PaaS (Integration/SOA Services) and Oracle SOA Suite 12c for on-premise integrations. Plus, its vitally important to have a thorough understanding of the Oracle cloud solutions being adopted and how they integrate, what Integration Service (ICS) connectors are available, what APIs from the fusion apps enterprise repository can be used, and what limitations apply when consuming these APIs. IMPLEMENTATION One of the promises of Oracle solutions is that they are quick and easy to implement and this is certainly true if a single application is being implemented from scratch in isolation. However, as we saw in the data section above, there is rather more to implementing an integrated cloud strategy. In fact, around 50% of all cloud adoptions fail due to issues related to integration, data migration, or SaaS customizations. Vendors such as Oracle impose restrictions on how their products are configured, customized, extended and as previously mentioned, integrated. So unless companies are fully aware of these constraints and how to implement Oracle PaaS to deliver customizations, extensions, and integrations such as Java Service for SaaS Extensions, Process Service, and Integration Service (amongst other cloud services) - the chances are they will encounter issues during or after adoption. Consequently, companies will want to consider carefully whether they want to do it alone or whether it makes sense to partner with an organization that has developed tools and accelerators to help with the implementation process. EXPERTISE Companies will also have to think about how they acquire the knowledge they need to undertake a successful cloud migration strategy. Clearly they can develop expertise on the necessary technologies internally and, for large organizations, it almost certainly makes sense in the long term. However, to expedite adoption and reduce risk in the short term, it may make sense to turn to a partner that has both the expertise required and the necessary experience to avoid the pitfalls that can befall a cloud migration strategy. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 10
NEXT STEPS Adopting Oracle cloud solutions will help companies make the transformation and become digital businesses that can compete effectively in their chosen markets. However, for maximum success, cloud adoption has to be seen holistically and carefully considered before adoption starts. In this white paper we have outlined our thoughts on how organisations should approach adoption and the factors they need to take into consideration. If you would like to learn more about how HCL can help you please contact us using one of the methods below. To get in touch please: Email: Integrated.Applications@hcl.com Visit: www.hcltech.com WHY HCL? HCL is positioned as one of the global leaders in the IDC MarketScape Worldwide Professional Services 2014 vendor analysis. We offer a broad range of comprehensive cloud solutions that can be adopted either as a framework or individually to deliver specific solutions. HCL offers an end-to-end portfolio of Oracle applications and infrastructure services across industries. HCL S TOOLS AND OFFERINGS FOR ORACLE CLOUD HCL Consultancy Services for Oracle ORACLE CLOUD APPS as a SERVICE (SaaS) ORACLE CLOUD PLATFORM as a SERVICE (PaaS) ORACLE CLOUD INFRASTRUCTURE AS A SERVICE (IaaS) HCL Oracle Accelerators HCL Reference Platform for Oracle HCL Delivery and ASM Services for Oracle Consultancy Services: Whether you need help defining a cloud adoption strategy, a cloud business case, estimates, plans, or solution architectures our cloud consultants will work onsite to give you expert advice and support. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 11
Working with you they conduct discovery workshops with the aim of assessing your readiness to move to the cloud. Based on the outcomes of the readiness assessment, they can help you develop a cloud adoption strategy that best fits your organization s current technological and organizational landscape. Delivery Services: With more than 2,000 cloud-enabled subject matter experts, our cloud delivery capability, and global cloud Centers of Excellence (CoEs) we will work with you to deliver end-to-end or specific cloud solutions in the most cost-effective manner. Oracle Services offers the widest range of cloud-based solutions on the market. Fully understanding their potential can be a real challenge. However. our end-toend reference architecture removes the complexity and costs normally incurred at the initial stage of a project. In addition, we have created a wide-range of pre-built solutions and frameworks for the Oracle, aimed at de-risking, accelerating, and reducing the costs of a cloud implementation. Application Support and Maintenance Services: Maintaining and supporting services in the cloud is very different to the way it has been done traditionally. In the cloud, the customer is no longer in control of product upgrades. All product updates happen according to the vendor s release cycle, usually several times in a year. Our services team is fully conscious of these limitations and works closely with Oracle to ensure that best practices are followed when supporting and maintaining your cloud services. This ensures that any configuration, customization, or extensions are forward compatible. Regardless of whether you decide to adopt a public, private, or hybrid approach, your cloud solutions will need to be monitored. Our specialists will provide the expertise to ensure that your entire ecosystem is covered by a robust enterprise-class monitoring solution. In addition, we can provide Oracle PaaS as a pay-as-you go, fully managed service providing an even greater level of cloud flexibility. By licensing Oracle products from HCL you gain the advantage of an HCL managed infrastructure or private cloud in an end-to-end managed service from disk to applications. 2015, HCL TECHNOLOGIES. REPRODUCTION PROHIBITED. THIS DOCUMENT IS PROTECTED UNDER COPYRIGHT BY THE AUTHOR, ALL RIGHTS RESERVED. 12
ABOUT HCL About HCL Technologies HCL Technologies is a leading global IT services company working with clients in the areas that impact and redefine the core of their businesses. Since its emergence on the global landscape, and after its IPO in 1999, HCL has focused on transformational outsourcing, underlined by innovation and value creation, offering an integrated portfolio of services including software-led IT solutions, remote infrastructure management, engineering and R&D services and business services. HCL leverages its extensive global offshore infrastructure and network of offices in 31 countries to provide holistic, multi-service delivery in key industry verticals including Financial Services, Manufacturing, Consumer Services, Public Services and Healthcare & Life sciences. HCL takes pride in its philosophy of Employees First, Customers Second which empowers its 106,107 transformers to create real value for customers. HCL Technologies, along with its subsidiaries, had consolidated revenues of US$ 6 billion, for the Financial Year ended as on 30th June 2015 (on LTM basis). For more information, please visit www.hcltech.com About HCL Enterprise HCL is a $6.9 billion leading global technology and IT enterprise comprising two companies listed in India HCL Technologies and HCL Infosystems. Founded in 1976, HCL is one of India s original IT garage start-ups. A pioneer of modern computing, HCL is a global transformational enterprise today. Its range of offerings includes product engineering, custom & package applications, BPO, IT infrastructure services, IT hardware, systems integration, and distribution of information and communications technology (ICT) products across a wide range of focused industry verticals. The HCL team consists of over 110,000 professionals of diverse nationalities, who operate from 31 countries including over 505 points of presence in India. HCL has partnerships with several leading global 1000 firms, including leading IT and technology firms. For more information, please visit www.hcl.com Hello there! I am an Ideapreneur. I believe that sustainable business outcomes are driven by relationships nurtured through values like trust, transparency and flexibility. I respect the contract, but believe in going beyond through collaboration, applied innovation and new generation partnership models that put your interest above everything else. Right now 110,000 Ideapreneurs are in a Relationship Beyond the Contract with 500 customers in 31 countries. How can I help you?