Architecture of E-Commerce

1. Architecture of E-Commerce Group 5 June 20, 2000

2. Architecture is the arrangement of hardware and software elements that fit together to deliver an application.

3. Increase in E-Business

4. Evolutionary

5. Starbucks CoffeeStarbucks.com

18. Architecture of E-Commerce Sun Microsystems

19. SUN MICROSYSTEMS

20. Background Launches a storefront in 1996. First architectural design is a modularized, distributed system. Redesigns configuration in 1998. Sun Microsystems had various geographical groups expecting different volumes of users. Based on this, they assumed that individualized site architectures could be scaled up or down by local implementers and that they would distribute the processing load and bandwidth demand across multiple points of operation. They also assumed that development work could be conducted by separate groups across the enterprise. However, this proved to be a costly architectural solution that significantly increased hardware and maintenance costs, and added several levels of complexity to site management. Sun Microsystems had various geographical groups expecting different volumes of users. Based on this, they assumed that individualized site architectures could be scaled up or down by local implementers and that they would distribute the processing load and bandwidth demand across multiple points of operation. They also assumed that development work could be conducted by separate groups across the enterprise. However, this proved to be a costly architectural solution that significantly increased hardware and maintenance costs, and added several levels of complexity to site management.

21. Centralized vs. Distributed High costs of maintaining a centralized design. Performance Problems During Heavy Demand. Solutions. In order to provide a fully secure environment in each location and meet their own strict security guidelines, each environment had to undergo a lengthy security review and certification process at every significant site change, operating system upgrade, or hardware addition. It became apparent that the cost of maintaining separate sites was very high. These costs involved extra machines--each requiring an individual proxy server--many of which were underutilized. Maintenance costs, as well as licensing issues for software, were also a factor. Sun�s European bandwidth was sometimes limited by Internet infrastructure issues and was costlier. Additional performance problems arose from their proxy server configuration, which had been very secure, but had created severe bandwidth bottlenecks when sites experienced heavy demand. By serving their sites from partial-T3 connections available at Sun's East Coast Data Center in the U.S., 80% of Sun's European customer base--who share their pipe with the same Internet providers--was likely to experience an actual performance increase. Using Sun's Solstice Firewall-1 product, they were able to deliver the same level of security without the same requirements for proxy hosting, and reduce maintenance overhead. In order to provide a fully secure environment in each location and meet their own strict security guidelines, each environment had to undergo a lengthy security review and certification process at every significant site change, operating system upgrade, or hardware addition. It became apparent that the cost of maintaining separate sites was very high. These costs involved extra machines--each requiring an individual proxy server--many of which were underutilized. Maintenance costs, as well as licensing issues for software, were also a factor. Sun�s European bandwidth was sometimes limited by Internet infrastructure issues and was costlier. Additional performance problems arose from their proxy server configuration, which had been very secure, but had created severe bandwidth bottlenecks when sites experienced heavy demand. By serving their sites from partial-T3 connections available at Sun's East Coast Data Center in the U.S., 80% of Sun's European customer base--who share their pipe with the same Internet providers--was likely to experience an actual performance increase. Using Sun's Solstice Firewall-1 product, they were able to deliver the same level of security without the same requirements for proxy hosting, and reduce maintenance overhead.

22. Centralized vs. Distributed Sun�s initial architecture had divided front office functionality on the site from the back office functionality. Future enhancements to Sun's commerce sites will include a tightly integrated multiple-storefront capability. Their back office, which includes our secure servers as well as the large majority of transaction applications and database server interface code, is installed on different physical machines. As Sun developed new subsites and related sister sites, the initial plan was for each site to have a unique front and back office machine. Sun now uses a single server base. However, they still segregate the front and back office applications, the new servers allow them to combine multiple storefronts on one set of servers, and will allow them to add new storefronts as necessary. Their back office, which includes our secure servers as well as the large majority of transaction applications and database server interface code, is installed on different physical machines. As Sun developed new subsites and related sister sites, the initial plan was for each site to have a unique front and back office machine. Sun now uses a single server base. However, they still segregate the front and back office applications, the new servers allow them to combine multiple storefronts on one set of servers, and will allow them to add new storefronts as necessary.

23. New Configuration Sun migrates to their top-of-the-line Enterprise 450 Workgroup Servers (Surprise!) performance scalable to 4 UltraSparc II 300MHz processors hot swappable storage up to 8.4 GB internally (with optional external storage extending to 6 terabytes), support for up to 4 GB of main memory After studying the specifications, Sun realized that for an investment in Sun's new servers, they could reduce the number of servers in their architecture by 12 while simultaneously provide greater performance than all of them combined. They could also achieve a simpler, overall architecture with a host of benefits--from lower maintenance costs, to a more streamlined, developer-friendly platform for site development. After studying the specifications, Sun realized that for an investment in Sun's new servers, they could reduce the number of servers in their architecture by 12 while simultaneously provide greater performance than all of them combined. They could also achieve a simpler, overall architecture with a host of benefits--from lower maintenance costs, to a more streamlined, developer-friendly platform for site development.

24. New Configuration Sun�s final configuration: three Enterprise 450 Workgroup Servers for front and back office applications and a database server. All systems are running Solaris 2.6 Operating System.

25. New Configuration

26. New Configuration Front Office Configuration E450 with 1 GB of memory four 300 MHz UltraSPARC processors eight 4.2 GB UltraSCSI disk drives

27. New Configuration Front Office Configuration over five SCSI controllers (good for performance and redundancy. All disks are hot swappable and everything is mirrored) 14 GB 8mm tape drive for backups

28. New Configuration Back Office Configuration E450 with 512 MB of memory two 300 MHz UltraSPARC processors eight 4.2 GB UltraSCSI disk drives

29. New Configuration Back Office Configuration over five SCSI controllers (good for performance and redundancy. All disks are hot swappable and everything is mirrored) 14 GB 8mm tape drive for backups

30. New Configuration Database Server Configuration E450 with 512 MB of memory two 300 MHz UltraSPARC processors twelve 4.2 GB UltraSCSI disk drives

31. New Configuration Database Server Configuration over five SCSI controllers (good for performance and redundancy. All disks are hot swappable and everything is mirrored) 14 GB 8mm tape drive for backups

32. Benchmark

33. Configuration Comparison Former Configuration US Front Office (SPARCTM 20) Back Office (SPARCTM 20) DB Server (UltraTM 1) ESD Server (UltraTM 1) Proxy Server for Front Office (SPARCTM 20) Proxy Server for Back Office (SPARCTM 20)

34. Configuration Comparison Former Configuration Europe Front Office (SPARCTM 20) Back Office (SPARCTM 20) DB Server (UltraTM 1) ESD Server (UltraTM 1) Proxy Server for Front Office (SPARCTM 20) Proxy Server for Back Office (SPARCTM 20)

35. Configuration Comparison Former Configuration Japan Front Office (SPARCTM 20) Proxy Server for Front Office (SPARCTM 20)

36. Configuration Comparison New Configuration Worldwide Front Office (EnterpriseTM 450) Back Office (EnterpriseTM 450) DB Server (EnterpriseTM 450) ESD Server (UltraTM 1)

37. Results Reduced servers from 14 to 4 Reduced maintenance of three international data centers into one centralized data center Increased performance by 80% for European customers with a US-based consolidated data center Simplified application development environments Delivered a scaleable infrastructure

38. Conclusion Sun Microsystem built an infrastructure that can scale to their most demanding traffic patterns and support them as they service increasing numbers of customers and businesses.

39. Conclusion Moreover, the improvements in consolidation--maintenance, serviceability and productivity gains, have helped Sun reduce overall delivery cost and increase customer satisfaction.

40. Business-To-Business (B2B)Architectures B2B Website Solutions account for billions of dollars in trade per year E-Business Is Business: �We are convinced that the name for E-business in the year 2000 will simply be: Business. That�s because the power of E-Business can only be fully realized when it�s integrated into a total business strategy. A strategy designed to transform your entire company.� PricewaterhouseCoopers www.ebusinessisbusiness.com

41. Benefits of B2B Web Solutions For Buyers optimize, manage and leverage all aspects of strategic buying replace inefficient, paper-based procurement processes with Internet-enabled buying systems gain dramatic competitive and financial advantage For Suppliers increased revenue, lowered costs new customer relationships, innovative branding create new types of customer service

42. For Market Makers Market makers power the B2B economy by bringing buyers and suppliers together for efficient online trade Can customize virtually every aspect of their marketplaces user interface, catalog management, transaction flow user administration, and supported business rules

43. B2B Solutions: Market Site Portal Solution 3.0 Allows Internet market makers to build open marketplaces and link them to the Commerce One Global Trading Web Enables transactions and communication among global trading partners Commerce One�s MarketSite Global Trading Portal uses this software www.marketsite.net The initial solution customers includes British Telecom, Nippon Telephone and Telegraph, SESAMi.net, Cable & Wireless Optus and General Motors Commerce One, Inc. is a provider of global e-commerce solutions for business. Its solutions are designed to create a network of interoperable marketplaces, trading communities and commerce portals called the Global Trading Web. The Commerce One e-procurement applications consisting of BuySite Enterprise Edition BuySite Portal Edition, and the MarketSite Portal Solution. Within the MarketSite Portal Solution, business services such as auction services and enhanced content services are offered. Commerce One, Inc. is a provider of global e-commerce solutions for business. Its solutions are designed to create a network of interoperable marketplaces, trading communities and commerce portals called the Global Trading Web. The Commerce One e-procurement applications consisting of BuySite Enterprise Edition BuySite Portal Edition, and the MarketSite Portal Solution. Within the MarketSite Portal Solution, business services such as auction services and enhanced content services are offered.

44. XML or eXtensible Markup Language Allows functionality not available with HTML Supports links that point to multiple documents XML allows structured exchanges of data between Web servers Companies value XML�s ability for B2B solutions Manufacturers and merchants can quickly swap data: pricing, stock-keeping numbers transaction terms, product descriptions

45. Commerce One's Common Business Library (xCBL) 2.0 The first open XML specification for the cross-industry exchange of business documents such as: product descriptions, purchase orders, invoices, shipping schedules. Software is free! xCBL 2.0 is a set of XML building blocks and a document framework for E-commerce. Based on a broad range of Internet and commerce-related industry standards and specifications Endorsed by industry leaders including Microsoft's BizTalk initiative, OASIS, the UN/CEFACT Techniques and Methodologies Working Group http://www.commerceone.com/xml/cbl/index.html xCBL 2.0 represents more than two years of research and development by Commerce One and Veo Systems, which was acquired by Commerce One in January 1999.xCBL 2.0 represents more than two years of research and development by Commerce One and Veo Systems, which was acquired by Commerce One in January 1999.

46. Linking Buyers and Suppliers

47. B2B E-Commerce in DoD Federal Electronic Commerce Coalition working with DoD on mission of change Formed in 1999 to provide consolidated voice from industry to government in e-business Working groups include industry and DoD subject matter experts DoD and industry have the ability and need to learn from each other, partner for change

48. Architecture of Government E-Commerce XML puts it all together Federal Office of Electronic Commerce at the forefront of e-commerce efforts Deputy Associate Administrator, Mary Mitchell Leading the way in establishing on-line, networked partnerships B2B within government Traditional B2B with government - industry XML proposed as standard model to support syndication in data delivery

49. XML Background Open standard for describing data HTML uses predefined tags, but XML allows tags to be defined by page developer Virtually any data item, like products or amounts due, can be identified, allowing Web pages to function like database records XML is descended from HTML and SGML, but is less confusing HTML will open any �ugly� web page, but if the page is not properly formatted, XML won�t

50. XML Nearly every major software company supports XML, including Microsoft Becoming standard for data exchange Uses http to move data across networks Saves $$ in distributing data, real time inventory and manufacturing functions IBM created Xeena, a visual interface for creating XML documents and vocabularies

51. HTML vs. XML HTML uses a loose coding style, tolerant of coding errors; XML pages must be well formed and comply with rigid schema HTML lines deal with fonts and boldface �How it looks� XML statements define data content �What it is�

52. HTML vs. XML XML is a metalanguage (defines and describes the language) not intended to replace XML While HTML is easy, XML can be tough Development tools, called parsers (like Xeena), can be used to make sure documents conform precisely to DTDs and schemas

53. Tech Standards Before transferring data and managing relationships, both ends need common protocol and management model XML fits the bill Government uses XML.org to establish an open, distributed system for using XML Reference repository for SML specs -- vocabularies, DTDs, schemas

54. Standards and Frameworks Teaming with CommerceNet, OASIS, and RosettaNet Promotes open document standards and process standards for B2B supply chain communication Establish common structures for interops ebXML, BizTalk, and OAG Global business specs to bring together competing XML efforts, guidelines for schemas Crucial for DoD and government best value

55. Standards Roadmaps GSA working to help agencies understand open standard choices for e-commerce Open standards key to interoperability Federal XML working group formed Align with voluntary standards efforts (W3C, OASIS, RosettaNet, CommerceOne) Identify business practices that can be improved with proper use of XML

56. Will XML Work in DoD? Descendant of language (SGML) invented to let IRS and DoD define own markups Universal language and open standards Endorsing emerging standards Systems now recognize supplier catalog content -- helps with stocklisted parts Eliminates one-to-one relationships common between buyers and sellers

57. Public Key Infrastructure Uses digital IDs and on-line certificates Security applicable to wide range of DoD electronic commerce functions DoD has issued about 1 million certificates through 14 Jul 00 PKI certificates aren�t easily transferrable Agencies/businesses working together to handle each other�s certificates -- slow progress

58. Defense Trading Exchanges Big 4 Planned Trading Exchange MyAircraft.com PartsBase.com Airlines and defense industry have spent $$ on their IT systems, so they need an architecture/system that works XML or CommerceOne�s xCBL?

59. Planned Trading Exchange Boeing, Lockheed Martin, Raytheon, and BAE Systems teaming with CommerceOne B2B aircraft parts exchange between contractors and government agencies Provide �best value� for DoD CommerceOne�s xCBL potentially a big player

60. MyAircraft.com Honeywell partnered with United Technologies and i2 Technologies E-marketplace for aerospace products and services for all industry participants (airlines, repair depots, DoD) Buy, sell, trade parts; supply chain management Real time vendor interaction--sound like XML? Site uses 128 bit encryption and PKI for security

61. P@rtsBase.com Internet company-led e-commerce marketplace for aerospace and defense Highlighted in Forbes� �Best of the Web� list of 200 most promising web sites Members range in sizes; conduct B2B and government exchanges Emphasis on security; log on required

62. E-Commerce Will customers want vendors to provide all the pieces? Will their be more inhouse IT done? Will most IT be outsourced?

63. Time is of the Essence