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AUTHOR: Gaurav Jain

Is Cloud Middleware the Way Ahead?
Contents

1 Executive Summary ....................................................................................................... 2

2 Cloud Integration & Need ............................................................................................. 3

3 Middleware Options & Considerations ......................................................................... 5

4 SAP Middleware Platforms and Usage Recommendations ........................................... 8

5 Conclusion................................................................................................................... 10

6 References .................................................................................................................. 11

About the Author .............................................................................................................. 12

About L&T Infotech........................................................................................................... 13

This White Paper presents Cloud integration needs. the challenges. hosting application on Cloud stands to realize high growth opportunities and to expand business horizons. various applications and their integration requirements. given that Cloud applications are not a complete replacement of on-premise traditional applications. Cloud integration provides efficient means to overcome these challenges. overtaking the annual revenue growth of traditional application integration suites on the way. Gartner report says. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 2 of 13 . Between the various best-of-breed Cloud applications.” Organizations should choose their Cloud strategy by considering their business model. Decision should be made wisely before moving to the Cloud platform. 1 Executive Summary As the world steers towards Automation and Digitization. current landscape. However. “By 2019. enterprises struggle to achieve seamless integration between diverse sources of data to realize their business objectives. The paper also compares the options available and recommends the way ahead. as well as integration options available. iPaaS (Integration Platform as a Service) will be the integration platform of choice for new integration projects.

Organizations follow hybrid approach by keeping few applications on Cloud and few On-premises. SAP has more than 24% global ERP software market share. APO. which enables one to surpass the above mentioned challenges effectively. There are subcategories of the Cloud functionality such as Infrastructure as a Service (IAAS). Mobilization. SAP Salesforce for Marketing & Sales. Hybrid IT landscapes across On-premise and Cloud have become the norm. No single Cloud services provider can fulfill all of the various requirements of an enterprise. Big Data and Internet of Things. Consumer-grade User Experience. SAP provides Software-as-a- Service (SaaS) Cloud solutions such as Ariba for Procurement. Different Cloud or On-premise solutions address the needs of the business. vendors and partners  API Management . SAP strategy is also aligned with the market trend and business needs. fully built today on an in-memory platform i. and other third-party solutions like Vertex for Tax Calculation. Typical Integration features required are:  Real-time or near real-time integration – Master and Transactional data/process integration  Extract. integrate and orchestrate Cloud applications with one another and with On-premise and Legacy applications. namely SAP S/4HANA On-premise edition and SAP S/4HANA Cloud edition. Need for Integration of Cloud Applications Migrating all applications to the Cloud platform is not always the best solution for all enterprises. CRM. Transform. promoting and overseeing Application Programming Interfaces (APIs) in a secure. 2 Cloud Integration & Need Movement Towards Cloud Applications With the world moving towards Digitization. to provide the above mentioned cloud benefits to the customer. it is imperative to implement these technologies in a cost. Cloud for Customer (C4C).e. Customers and partners can build specific capabilities. Load (ETL) – Multiple database synchronization. nor is continuing with out-of-date Legacy systems. extending the scope of SAP S/4HANA by integrating non-SAP solutions or developing new capabilities using the whitelisted APIs. SAP has come up with a SaaS platform for next generation SAP ERP. huge data transfer  Business to Business Integration (B2B) – Integration with customers.Process of publishing. Platform as a Service (PAAS) and Software as a Service (SAAS). Hybris for eStore. SAP HANA Cloud Platform (HCP) serves as an extension platform for SAP S/4HANA. Furthermore. Lower Total Cost of Ownership (TCO) and the Best-of-breed Applications for supporting business processes. As more applications move to this new architecture. which comes in two deployment options. SuccessFactors for People Management. along with the modern user experience by Fiori. Organizations are choosing Cloud solutions for Faster Innovations. It’s a new product. Concur for Travel Managment. Furthermore. SAP Financial Services Network. SRM. Fieldglass for Labor. PLM to mention a few. Automation. SAP also provides On-premise applications like ERP. there is a growing need to seamlessly connect. ERP SaaS platform named SAP S/4HANA. it has become the core requirement for an organization to cope with the changing technological world. Cloud Computing is one of the recent developments in technology. time and resource-effective manner. scalable environment  Prepackaged Integration Flow – Preconfigured content helps reduce development efforts L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 3 of 13 . SAP HANA.

It is referred to as “Integration Platform as a Service “. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 4 of 13 . in the paper we have mentioned this is as iPaaS.  On-Premise Middleware – Leveraging existing investment using On-premise Middleware.  Web-Services – Consuming web-services in a Subscriber application. Henceforth.  Hybrid Approach – Installing On-premise software agents to enable secure communication between On-premise systems and the Cloud platform environment. Given below are four Middleware options an organization can use to integrate multiple Clouds or On- premise applications:  Cloud Integration Platform – Integration solution is available on the Cloud. it gives all benefits provided by the Cloud solution.

future expected growth.  Selecting a Public or Private Cloud platform is dependent on the number of integration scenarios.1. we compare this option and mention considerations.1 Usage of iPaaS platform  Customer’s main focus is on Cloud strategy. on-premise-to-on-premise and B2B integrations. Transform and Load (ETL). The current footprint of many organizations has either standardized on a middleware backbone or has multiple products in the landscape. On-Premise Middleware. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 5 of 13 . with few or limited cloud presence  Few or no needs for integration of other cloud applications  In-house skills exist for the existing Middleware platform 3. 3. and hybrid is the preferred option for an organization. whether or not to make use of such solutions. 3.like Transformation. Routing. altough used for On-Premise integrations. Reliable Messaging and Secure Transfer) and Orchestration (BPM. SAP Process Orchestration (PO) is the option from SAP for all Integration (Transformation.1 On-premise Middleware On-premise Middleware have been in existence for almost 20 years now. It is a multi-tenant platform that supports cloud-to-cloud. Extract. It is not recommennded from security prespective to open all applications to the outside world. In the Tables below.  Have the leading system(s) within the Cloud. Routing. Reliability. or the current maintenance cost is very high. Mobile and New Dimension Products  Applications/Systems needed to be integrated are mainly on-premise. cloud- to-on-premise. and on-premise integration platforms & considerations.  Do not have existing on-premise license. There are multiple vendors delivering On-Premise Middlewares. Cloud application challenges and complexities that need to be addressed:  Security is a crucial concern for any cloud-based solution and has major impact on the business decision of enterprises. Monitoring and Prepackaged Integration Flow. known as iPaaS (Integration Platform as a Service). 3 Middleware Options & Considerations Organizations have to choose from four options listed above. 3. Purpose of this White Paper is to help organizations provide elementary knowledge on Cloud. Administration. It supports real-time integration and scales to meet the high-volume demands of Mobile. Process. BRM) needs. Connectivity. and Service-Oriented Architecture (SOA) integration scenarios. This section will cover the mostly used On- premise Middleware and Cloud platform. and Electronic Data Interchange (EDI) environments.1 Usage of On-Premise Middleware  If the customer already has on-premise Middleware License  Middleware has capability to integrate Cloud. hence it is crucial for the organization to decide which option to choose from. These toolshave all middleware functionalities. Data.2. can also be used for Cloud integrations.2 iPaaS Platform iPaas is a Cloud Integration Platform to support Application. cost involved and the possibility of sharing tenant with other clients. Process Orchestration.  API Management (Need for Pay-per-Use kind of model)  Middleware capabilities should be present .

 Do not want to invest into On-Premise Middleware and bear the costs associated with it. hybrid landscape with few applications run On-Cloud and few On-premise. Vendor-specific pre-packaged content Vendor-specific pre-packaged content Pre-packaged Content available.  Organizations having existing On-premise Middleware license and most of the applications. build-up know how. data Single tenant solution. the Middleware capability gets enriched with more functionality. Some typical situations  Organization have existing Middleware/s.3 Integration Platform Selection Considerations Each organization is unique in terms of its business process. Therefore. Local monitors Maintenance/Support Integrated with service provider cockpit. Operations Cloud Managed Services. Reasons behind such an architecture are that few applications are tightly coupled with a particular Middleware or messaging systems application. run on Cloud  Organizations do not have any Middleware. the overall IT landscape. Automated failover. Partner. are also allowed to build content. 3.  Prefer subscription fee-based license model. failover to software update. Partner. maintenance and operations. In our experience. and so on. integration. no built-in Architecture isolation. there are high chances that an organization should take decision in order to consolidate Middleware systems to reduce the TCO. be configured by a customer.4 Comparison The below Table help clients choose whether On-premise Middleware or iPaaS platform is more suitable for their organization. By customer. 3. Local monitors L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 6 of 13 . multi-tenancy. iPaaS Platform On-Premise Middleware Cloud-based service offerings On-Premise installation in customer Deployment landscape Responsibility of Platform provider Customer Configuration & Operations License Model Subscription Fee Product License & Annual Fees Virtualization. security requirement perspective and finally. Rolling virtualization capabilities. third-party vendors are also allowed to build content. application. organizations do spend a lot of money on implementation & support of various Middleware platforms. third-party vendors available. many organizations have more than one Middleware license. In such cases. as movement occurs towards the cloud platform usage. such as system setup. Over a period of time. data.  Organizations do not have a single specific Middleware. most of the solutions are on-premise. all applications typically run On-premise.

5 Key Considerations  Sizing for on-premise software needs to be performed before system installations. This will help reduce business analyst and development cost.g. Cloud provides flexibility to customer with pay-per-use.  Development Platform for integration Flow (iFlow). developments have to be considered.How fast can you move the data between applications. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 7 of 13 . as well as the ease of use and availability of skills. hence system capacity doesn’t get used to the fullest. and what limitations are there on the volume of data that can be moved?  Upgrade or Maintained cost should be considered with response to On-premise & Cloud platform. which in turn saves the customer’s money.  Speed .  Security Costs e. 3.  Pre-packaged Integration Content called iFlows is available for On-premise and Cloud solutions. SSL certificate signed by a Certification Authority (CA).

4 SAP Middleware Platforms and Usage Recommendations The below-mentioned integration solutions provided by SAP can meet the various integration needs of a customer like real-time data transfer.  SAP BusinessObjects Data Services is a Data Integration tool.  NetWeaver Process Orchestration is SAP’s On-premise Middleware. this is mainly used to orchestrate business process. and connecting to mobile devices. ETL. process integration and business rules management software to help companies create system-to-system integrations and seamless business processes. below are some observations:  Process Integration: Also called HCI-PI. system to system integration (A2A and B2B Integrations) and for real-time or near real-time integration. mainly used to organize and analyze hetrogeneous sets of plant data. which combines business process management. connecting to various plant systems. batch data transfer. which helps organizations integrate cloud applications with On-premise solutions. from SAP and other vendors. Transform and Load (ETL) processes.  SAP HANA Cloud Integration is SAP’s iPaaS offering. process monitoring. and social and collaborative platforms. It offers both. process (System2System) and data (batch data & ETL tool) integration features.  SAP MII provides direct connection between shop-floor and business operations. tuned primarily for batch data transfer and for Extract. allowing to connect SAP service or transactions from mobile devices. Benefits – Pre-packaged scenarios – Number of pre-packaged content available with SAP/Non-SAP – Easy-to-use tooling – Effective and responsive support from SAP – Smooth version upgrade L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 8 of 13 .  SAP NetWeaver Gateway is a set of SAP add-ons. Based on our experience of HANA Clould Integration in various Customer Projects. web applications.

4. more than one HCI Agents is the preferred option. – Namespace prefix defined by SOAP Adapter internally before the call. Also. security and encryption handling is maintained by SAP on Cloud. transform. load) tasks to move data between On-premise and the Cloud systems. – The entire communication.1 TCO Considerations Parameter HANA Cloud Integration (HCI) SAP Process Orchestration (SAP PO) Development Efforts Typical tools for development are Eclipse The eclipse flavor is still in the and usage of standards like BPML. Observations – Encoding option is available to zip (Compress) the file. Upgrade or Included in Cost of License Upgrade and support cost involved Maintenance Skill Required JAVA developer JAVA + BPM developer *This impact of license is not included here. separate resources(d/b schema. As the SAP Support towards Cloud foundry improves. mainly used for synchronization of bulk data transfer using batch jobs. – Lower TCO: Cost-effective as hardware is owned by SAP. restart functionality is not available. re-process or restart failed message is not possible. Integration with Comparatively easier development BPM and BRM uses the Eclipse toolset. well integrated with BPM and BRM The Swing client is pretty matured needs. – Exactly Once-in-Order scenarios are currently not supported. and needs a good understanding of the SAP PI concepts. maturing stage. but specifying file name during configuration is not supported. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 9 of 13 . memory) are allocated. customized namespace prefix not allowed in the current release. since it depends on the scenario for which the solution needs to be deployed. Benefits – Direct read from ABAP Tables / Extractors & flexibility without coding.  Data Service: Also called HCI-DS. – Monitoring tool required more functionality to analyze the data load. Observations – In case a huge volume of data needs to be fetched from more than 30-50 tables at same time. is a Cloud ETL tool. – If asynchronous message failed in HCI. – In case of data load failure. the toolset is expected to mature. – Efficiently and securely performing ETL (extract. – Use delta extraction for high volume data load. – Tenant Isolation: For each customer system connected to SAP HCI. – Should provide options to test mapping during development in Eclipse. CPU. toolset.

can certainly help clients choose the right options for Cloud integration. and can decide when to move to the Cloud platform. This will help organizations achieve their organization goals. On-premise system. Clients can evaluate their business need. with its experience across multiple clients and verticals. stakeholder need and also reduce TCO. 5 Conclusion Given the thrust and focus in terms of Cloud applications. L&T Infotech. in-house skill set & cost factor. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 10 of 13 . iPaaS platform would certainly be the area of focus.

https://www. Worldwide.forbes.pdf  Integration Capabilities S/4HANA: https://websmp201.com/sites/louiscolumbus/2014/05/12/gartners-erp-market-share- update-shows-the-future-of-cloud-erp-is-now/#1f7f0cd274a1  SAP HCI Innovation Pack Price: https://www.Magic Quadrant for Enterprise Integration Platform as a Service.com/media/cms_page_media/336/PE4AD_ HCP-ePaaS_ValProp_13Jan_2016_9to16.de/~sapidp/012002523100012384722015E.pdf L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 11 of 13 .gartner.sapappsdevelopmentpartnercenter.sap- ag.com/doc/reprints?id=1-31XRY2I&ct=160325&st=sb  Gartner – ERP Market share update 2013 - http://www. 6 References  Gartner .

His overall experience ranges from Solution Architecture and Solution Deployment to Developing value-added tools in SAP space. About the Author Gaurav Jain is Integration Architect. Gaurav managed and delivered integration solutions for multiple clients across the globe. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 12 of 13 . He is a certified PMP and SAP NetWeaver PI consultant. with more than 12 years of integration experience.

enhance operational efficiencies and create captivating customer experiences. We solve complex business challenges at the convergence of digital and physical with our real-world expertise and client centricity. We enable our clients to build innovative business models. L&T Infotech Proprietary Is Cloud Middleware the Way Ahead? Page 13 of 13 . About L&T Infotech Larsen & Toubro Infotech is a global IT services and solutions provider with presence in 23 countries.