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Keep up with technology's impact on business. This blog provides summaries of the latest industry research.

 

 

April 2006 Archives

Service-oriented architecture (SOA) adoption continues to be strong, especially for the largest enterprises. Satisfaction with SOA runs very high: Nearly 70% of SOA users say they will increase their use of SOA, and 46% of large enterprise users of SOA use it for strategic business transformation. The more disciplined firms are, and the more they do with IT — hence, the more complex their environments — the more likely they are to be early adopters of SOA. Web services adoption overlaps with SOA adoption, but a notable population of firms reports using one or the other but not both. Most importantly, enterprises are adopting SOA in roughly equal numbers regardless of their business climate or whether they have extra budget available to fund a move to SOA. The message is clear: It is time to dispense with excuses and begin your move to SOA.

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Posted April 27, 2006 8:00 AM
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Eat right. Don't run with scissors. Exercise regularly. By definition, conventional wisdom about life seems intuitive, but the challenge is applying the advice in the real world. Likewise, risk management concepts may seem etched into the hallowed walls of the corporation — but often they aren't implemented and adapted to changing business conditions. Because IT outsourcing and business process outsourcing (BPO) touch financial, technical, and business aspects of risk, customers can be challenged by unfamiliar legal concepts, seemingly Byzantine business processes, and unclear compliance requirements. Forrester interviewed leading sourcing deal advisors to identify principles and tactics to take throughout the sourcing life cycle that can help build a foundation for risk management in an outsourced environment. This first document of the series focuses on how governance can be used to manage business risk in an outsourcing deal.

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Posted April 26, 2006 8:00 AM
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CIOs who report directly to their CEOs play a central role in business process improvements and IT innovation. They sit at the executive table and participate in strategic decision-making. Yet Forrester found that pharma CIOs typically play a more tactical role; they keep the IT lights on but are not considered innovators or enablers. To gain the clout needed to earn a seat in the executive inner circle, pharma CIOs must maintain proficiency as a trusted technologist but also leverage projects enterprisewide, lead the integration of business processes, skate ahead of new business requirements, and create a more strategic business role for themselves.

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Posted April 25, 2006 8:00 AM
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Forrester recently surveyed 20 federal enterprise architects to discover how they view the role of service-oriented architecture (SOA) in their agencies. They tell us that both the program areas and agency IT groups appreciate the value of SOA. More significantly, they report that their agencies have committed to SOA and incorporated it into their enterprise-level strategies to a far greater degree than Forrester's Business Technographics® surveys have found in most other enterprises. So is SOA a perfect fit for modernizing and transforming federal agencies? It's not a slam dunk. While agencies can work to fine-tune the interactions between program and IT staff to improve SOA planning, there is a fundamental obstacle: SOA changes the granularity of applications and provides an opportunity to reuse existing components, but procurement processes are geared toward entire solutions, not combinations of internal and external application components. Architects must make sure that their procurement processes are mature enough to exploit service repositories just as they have incorporated technology architecture standards into requests for proposals (RFPs).

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Posted April 24, 2006 8:00 AM
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As enterprise customers demand business agility in their new applications software, vendors are responding by embracing service-oriented architecture (SOA) and business process management (BPM). The result will be enterprise apps unlike any previous generation. The two largest vendors of enterprise apps are pursuing different paths to their next generation of apps, giving prospective customers a real choice. The differences are stark. Oracle will continue to build through acquisition; SAP will rely more on internal development and partnerships. Oracle's next-generation apps will run only on its own database; SAP's applications will run only on its own middleware. SAP promises to ship its next-generation business application suite in 2007, Oracle in 2008. The two competitors will battle over master data management (MDM), analytics, and repository architectures. SAP has stronger market momentum, better articulated value for next-generation apps, and a better partnership strategy than Oracle. But Oracle's strong middleware platform and greater support of standards make it a better choice than SAP for customers who will rely on custom development as well as packaged apps.

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Posted April 21, 2006 8:00 AM
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