Unlimited web hosting - 10 Chapter 1 Why just stop at corporate

10 Chapter 1 Why just stop at corporate ITs? Even ISVs are thinking of providing their software as services. Prime examples of software as a service include Sales force.com and Siebel. Both these companies have made their enterprise soft ware available to customers as hosted services. Many other businesses such as Amazon.com and Google provide their core business services, E-commerce, and Web searching, as reusable services to customers and end-users. Reusable services are a very powerful concept, because: Businesses can focus on strategic software development. In cases where software functionality is horizontal and cuts across multiple business domains, it should be treated as commodity and hence procured from a specialized ISV in the form of services. For example, each business requires a corporate treasury management and cash management system. For such a commodity business need, it is best to acquire software from an outside vendor than to build it. This will relieve the IT staff from having to deal with complex treasury functions involving millions of regulations; it anyway does not have direct relevance to the business s core function. The business processes can be assembled faster. The autonomous and loosely coupled nature of services makes it easy to assemble them into business processes. This strength makes services the chosen paradigm for encapsulating business logic. There is a lower total cost of ownership. Businesses that build their software as services end up with a lower total cost of ownership in the long term because they are building software such that it can be easily reusable and assembled into business processes. This is a definite plus when businesses are required to adapt business processes to address the changing market demands or when they are required to support new customers and their IT systems. Businesses that sell software as services, on the other hand, can benefit their customers by offering flexible software licensing options, such as per-month billing or per-year billing, thereby enabling their customers to lower total cost of ownership. Remember that these services can and should be built using components. Therefore, the component architectures are very much here to stay. Figure 1.3 depicts such a Treasury management service built using EJB components. With this introduction to SOA and their relevance to EJB, let us further explore the EJB technology.
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