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Modernizing Legacy in the Public SectorTed Venema – Director, Modernization Solutions

Oracle Modernization• We are a team of Modernization SMEs available to help you – at no charge

• We understand modernization and have extensive modernization experience in Public Sector

• We help you develop your modernization roadmap• We provide product independent:

• Modernization Discoveries (conf calls, half day sessions) and Insights (more formal 2 day sessions). Examples include:

• State: New Mexico, Colorado, Delaware, California, Minnesota• Other PS: Hennepin County, Miami Dade County, Dade County

• We know the partner eco-system that provides the means to get there• We understand the need to modernize incrementally to avoid project risk• We bring together shared experiences from other states

• Manage the Oracle Modernization Alliance (www.oracle.com/goto/oma) • System Integrators

• Work with them on their Modernization Practices• Specialty modernization vendors

• Advise you on who to check out• Advise on product vendors that add value to provide a complete Modernization

Architecture

Why Governments Need to ModernizeBusiness factors are forcing public sector to modernize!

• To increase agility• Slow better address ongoing legislative changes• To improve service and access for the general public – Citizen at the Center• To improve and automate interaction with other other government departments, external

agencies, and other levels of government

• To reduce risk• Eliminate complex environment created through years of island development• Eliminate reliance on critical legacy skills in an aging workforce that is retiring soon• Eliminate proprietary infrastructure – encourage re-use and “plug and play”• Eliminate reliance on unsupported products and technologies

• To decrease cost• Eliminate legacy software on proprietary O/S and expensive hardware• Reduce massive operational and maintenance costs (80% of budget)• Avoid need for high cost legacy skills and “hire back” consultants

How Did We Get Here?• Not aligning IT with Business

• Worry about data models instead of process models• Monolithic solutions that are hard to change.• Not externalizing those things that change most – legislation

• The RFP Process• Lack of balance in function (users) and architecture (IT)• One of everything• Bad short term vs. long term cost evaluation

• Funding issues• Color of money created strange application separation

• Misunderstanding of COTS and COTS Applications• COTS is excellent, but modified COTS (MOTS) may be the worst way to go• Just because you can buy it doesn’t make it good

• Buying someone else’s way of doing things may not fit• Buying someone else’s poor or old design

• Over-outsourcing - attempt to outsource responsibility for key components• Architecture• Re-Use/Shared Services• Technology choices

3 Main Modernization Requirements

3) The Means to Get There

IMS/DB

ISAM/VSAMRACF

Top Secret

Natural

CSP

ADSO

COBOL

PL/1

APPCLU6.2

3270

ISPFIDMS CA/7

JES

“C”

Adabas

Datacom

Z/OS

TPM

RMS

VT100

Legacy

CICS

IMS/DC

OS/400

VMS

RPG PowerBuilder

1) Open Target Architecture

Shared Technology Services

Work Flow

Content Management

Bus

ines

s In

telli

genc

eDatabase

Iden

tity

Man

agem

ent

Portals

Rules

Engine

Integration E

ngine

Orchestration

2) Proper Content

Shared Content Services

Content

Legacy Re-Arch

Content

MOTS

Content

Content

COTS

Public Sector Modernized Architecture

User Interface

Process

Function

Data

Hardware/OS

Web Portals

Mobile

Workflow Orchestration

Process Rules Agency-to Agency

TaxDMV

LaborHHS

Relational

GIS

UnstructuredDocuments

Computers

3270

Non-Relational

Networks

Operating Systems

Identity Mgmt

Security

Security

Why Architecture is Important• Needed as the basis for any cost savings

• Cost savings through shared services re-use• Of purchased COTS Technology• Of purchased COTS or MOTS Content• Of re-architected Content

• Cost savings though business/IT alignment• Better citizen service (web driven, flexible access, etc.)• Faster reaction to legislative change (externalizing rules, workflow, etc.)

• Needed as the basis for any consolidation goals• Lack of common architecture caused the current problems• Stop making the problem worse

• Needed as the foundation for shared services• Grid Computing• Cloud Computing

• Needed to provide a way to “stage” the way to savings

• Architecture is NOT about J2EE or .net – it IS about SOA and shared services• Therefore also a key to consolidation efforts

Example – State of Colorado

• Is mandated by legislation to consolidate and has developed a “high level” plan and basic architecture• Savings increase as you move “up the architecture stack”• Gets harder as you move “up the architecture stack”

• Issued RFI for “shared services” environment• Recognize that shared services are the root of cost reduction and

use of modern environments such as grid and cloud computing• Shared services further expanding on architecture needs• Recognize that shared services are not just about data

• Has worked with Oracle on developing a roadmap for their modernizing their extensive NATURAL/ADABAS environment

Shared Technology Services

Work Flow

Content Management

Bus

ines

s In

telli

genc

e

Database

Iden

tity

Man

agem

ent

Portals

Rules

Engine

Integration E

ngine

Orchestration

COTS Technology Can Replace

Legacy Content

Modernizing Public Sector Content

Shared Content Services

Shared services save cost – but only if you have

them! Content

Legacy

Modernization Environment

needs to include Legacy

Re-ArchC

ontent

Re-Architecting is not “Rip and

Replace” and less costly than you

think

MOTS

Content

Be careful with MOTS – it isn’t

COTS and can be the most expensive

alternativeContent

COTS

COTS Content is Superb – provided it is “off-the-shelf”

Three Main Things to Consider for Content Replacement

• What you have• Its driving the business today• It can’t be “left behind”

• What architecture you need to save money• Technical consolidation, cloud computing, etc.• Process and SOA architecture for ease of change

• What functionality you need• Compared to what you have

COTS Driven Modernization

Legacy

Legacy Processes

Legacy Dialogs

Legacy Batch

Legacy Online

Legacy Data Model

2) Recover content and needs

1) Define New Architecture (wide)

3) Replace/Re-factor content

COTS Driven Modernization Benefits

• Understand what you have – “no requirement left behind”

• Maximize the value of COTS Technology and COTS Content with the right architecture and shared services

• Make the right content choices

• Evaluate RFPs in the right context• Cover functionality• Address architecture• Don’t make the problem worse

Nova Scotia Registry of Motor Vehicles

•NS RMV provides vehicle registrations, drivers’ licenses, and related services via 19 offices across the province.

CHALLENGES/OPPORTUNITIES:

• Comply with the Canadian Drivers’ License Act (CDLA) which is equivalent to the US Real ID Act in requirements

• Provide increased self-serve capabilities

• Provide single driver record visualization including systems such as alcohol conviction tracking

• Modernize business processes and technical environment (NATURAL/ADABAS, COBOL, green screen moved to Java/Oracle)

• Reduce Cost SOLUTIONS• Oracle Modernization Advising• Tool Driven Re-Architecting: MAKE

Technologies• 2 year project with 2 year payback

RESULTSLegacy Profile:

• 2.4m lines of Natural code• 4,100+ green screens• 1,100 legacy reports• 332 batch jobs• 100+ external interfaces• $330K/mo operating cost

Java/J2EE Outcome:

•Single Driver Record• 450K LOC Java•190K LOC XHTML• 650 screens (~16%)• 490 BI reports• 0 batch jobs• 100+ external interfaces

Completely new design based on SOA

Used COTS properly

60% cost savings

Half the cost of “MOTS”

Summary• Modernization is something every public sector organization needs to be

concerned about

• You can’t successfully modernize what you don’t understand – assessment is important

• There is a cost to doing nothing

• What to consider?

• An architecture based on shared services is necessary – start now

• COTS is about both technology and content

• Evaluate closely the cost/benefits of MOTS

• COTS Driven Modernization is an approach that works well for Public Sector

Thank You!

For more information, contact: joe.mudroch@oracle.com (314-984-5312)

ted.venema@oracle.com (604-637-4460)

www.oracle.com/goto/modernization

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