Reference no: EM131311279

INTERNATIONAL TRUCK MAKES A HUGE BET ON A SERVICE - ORIENTED ARCHITECTURE

Service-oriented architectures (SoAs) do seem to be the future for integrated IT systems within an organization, bringing together both applications and information in a seamless fashion. But SoAs are still in their infancy, and some companies don't want to wait until they mature. They are willing to bet on a serviceoriented architecture right now. One such company is International Truck and Engine Corporation. International Truck's SoA resulted from needing more timely information so it could identify assembly-plant problems sooner.

Its current IT systems, all legacy information systems, didn't share information easily, and that led to bottlenecks in production, excessive defects and returns, shortfalls in inventory, and a host of other problems that can spell doom for a manufacturingintensive company like International Truck. So, the company forged ahead in embracing an SoA, knowing that it would be able to buy many of the software components that it needed and that others would have to be written from scratch by in-house IT specialists.

The first focus for International Truck was the Common Vehicle Tracking system, a system that tracks production according to a specific vehicle or vehicle type. International truck produces everything from RV motor homes to military transports. The Common Vehicle Tracking system was a highprofile, high-payoff project with a tight deadline. The company expected the system to save it at least $3 million annually. The system, now complete and installed in one factory, tracks in near real time all information relating to works-in-progress and finished inventory.

Prior to its implementation, Art Data, Vice President of Information Technology at International Truck, succinctly explained, "We weren't doing it very well." International Truck's legacy systems stored isolated data and information in applications such as computeraided manufacturing, in-house developed order management, and even commercial ERP software. The new system uses a combination of many different types of software, one of the primary goals of a service-oriented architecture. For example, it uses a data integration tool from SSA Global to extract information from International Truck's Baan ERP system.

From there, in-house developed software bridges to the order management system. International Truck is also working on an SoA extension to interface with the systems of its dealers. The company already has a centralized server that its 400 dealers use to access parts catalogs and sales tools. However, dealers can choose their own internal dealer management software systems. This makes communicating information in a common format problematic, at best. International Truck is currently working with automotive industry software vendors to create common services (i.e., software modules) that will communicate information in a standard format.

In the future, International Truck will even extend its SoA architecture perspective into the vehicles themselves. Using the vehicles' electronics system, GPS, and cellular technology, owners of the trucks will be able to track the location of their vehicles. 12

Questions

1. With respect to its customers (dealers in this case), how is International Truck using a serviceoriented architecture to meet their needs? How does using an SoA further help International Truck erect an entry barrier (from Chapter 1)?

2. With respect to information needs, what advantages and efficiencies is International Truck hoping to gain by using a service-oriented architecture? Why are these advantages and efficiencies not possible with its current legacy systems?

3. Recalling our discussion of software development methodologies in Chapter 6 that focus on component-based development (i.e., RAD, XP, and agile), how is International Truck able to integrate new software modules with existing ones?

4. What key infrastructure-centric metrics could International Truck use to justify its movement toward a service-oriented architecture? For each that you identify, provide a short description of why the metric is important.

5. How important is it for International Truck to have a good business continuity plan in place? What key IT systems and other IT resources do you believe would be at the top of the list for quick recovery? Why?