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The Progress OpenEdge Platform

Business Application Platform

Niel Powers

(2)

© 2007 Progress Software Corporation 2

Today’s Message

OpenEdge meets evolving customer and

partner needs for scalability and performance

Announcing OpenEdge 10.1b

Software as a Service providing growth for

OpenEdge and our partners

Progress’s role in shaping SaaS futures

OpenEdge makes it easier to adopt

technologies and drive business change

BGN Case Study -21

st

Century Bookstore

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© 2007 Progress Software Corporation 3

Progress OpenEdge

ƒ Development

• Great Productivity

• Strong SOA Capabilities

• Easy to Learn & Use

ƒ Deployment

• Great Efficiency

• Reliable & Easy to Manage

• Scalable

OpenEdge Deployment Platform

OpenEdge

RDBMS ReplicationOpenEdge ManagementOpenEdge Open Clients (Non-OpenEdge) OpenEdge Clients SQL Clients OpenEdge DataServers Web Services OpenEdge Application Server OpenEdge Architect OpenEdge Development Environment ABL

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© 2007 Progress Software Corporation 4 200 GB 3 TB 100 GB 650 GB 900 GB 400 GB DB Size HP HP Solaris Solaris NT Solaris Platform $20B n/a $316M $247M $4.3B $1.4B Revenues 3,800,000,000 4,500 Wolseley 90,0000 4,000 IFDS 350,000 400 Fidelity Investments 9,000,000 1,100 OCWEN Financial 600,000 20,000 Australia Post 1,500,000,000 2,100 Earthlink Database Operations per Day Users Customer

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© 2007 Progress Software Corporation 5

Progress and Its Partners –

Leaders in Business Applications

Fr

ont Office

Back Office

Portfolio of Applications

Manufacturing & Distribution

Financial Services

Healthcare

Retail and E-Commerce Telecommunications

Government Education Industries E-Commerce CRM Customer Service Business Intelligence HR/Payroll Accounting Finance Manufacturing Supply Chain

ƒ

60,000 Customers using OpenEdge

Over 5,000 new customers added in 2006

ƒ

10,000 Customers using OpenEdge 10

225% increase 2006 over 2005

ƒ

Over 7,000 Developers registered with

PSDN

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Software as a Service

Providing growth for Progress OpenEdge and our Partners

Colleen Smith

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© 2007 Progress Software Corporation 7

The SaaS Evolution

Scope of Business Services Technology and Innovation Managed Services SOA Web

Services Business Services

Hosted Applications

Collaborative Services Web 2.0

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© 2007 Progress Software Corporation 8

Innovation and Growth via SaaS

ƒ

Develop a

business model

with focus

on new market/growth opportunities

ƒ

Apply

innovative technology

and

services

to differentiate applications from the

competition

ƒ

Participate in an

ecosystem

that increases

customer

value

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© 2007 Progress Software Corporation 9

The Progress SaaS Partner Ecosystem

Example: Law Firms with under 50 Lawyers

Vertical SaaS Ecosystem (Legal Sector)

SaaS Integration Platform

Content

Service Delivery Architecture

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© 2007 Progress Software Corporation 10

The Results

Over $300M in 2006 Sales Ecosystem Revenue SaaS Offerings in 17 Countries Worldwide Coverage Over 50 Partners in 2006 Enablement Programs 35% Royalty Increase 2006 over 2005 Growth 160 Partners Participating Over 400 Applications Partner Participation

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A new approach to bookselling

Matthijs van der Lely

Chief Executive Officer Boekhandels Groep Nederland

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company overview: BGN

„ largest booksellers in the Netherlands

„ our oldest store opened in 1753

„ 16 large consumer stores; 26 campus stores

„ 3 customer target groups:

consumers, businesses and students

„ number 2 bookseller on the Dutch internet

„ annual sales of over $ 240 million

„ 750 FTE employees

„ shareholders: NPM Capital (VC), Wolters

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challenges in bookselling

„ our store selexyz donner carries 240,000

titles, on 55,000 square feet selling space

„ books tend to “walk” through the store

„ we receive over 5,000,000 books per year

„ we buy identical titles from more suppliers

„ returns are common in our business

„ stocktake means closing down for 2 days

„ theft and shrinkage is a concern

„ exact in-stock position is usually not known

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a

few signals we found in the market

„ Gartners showed us an exciting look into the

store of the future

„ Borders tested kiosks and were open about

the results

„ METRO (Germany) opened a test store

„ the reasons not to use RFiD in a consumer

environment were plenty:

• different type of products

• too expensive

• consumer privacy concerns

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the answer to our challenges: RFiD

„ every single copy a unique identification „ exact location in the store always known „ exact in-stock position constant

„ very fast and simple receiving

„ returns are sent to the correct supplier

„ by using kiosks customer knows in stock

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challenges we faced before

we started

„ price of tags

„ HF or UHF

„ finding the correct partners

„ we wanted to be fast

„ the market claimed it could not be done „ privacy sentiments

„ all parties inclusive our own staff were

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„ we attended an “RFiD now!” conference in

August 2005

„ we were amazed that nobody jumped at it

„ books are simple, average price is high

„ we outsourced distribution to one party: CB „ we did not look at obstructions but

oversimplified on purpose

„ UHF, generation 2 came to the market on

time

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how does it work?

„ at CB every book is tagged

„ CB packs books into boxes and sends to store

„ in store, boxes are fed through scan tunnel „ administrative stock is automatically adjusted „ customer orders are identified and put aside

„ SMS or e-mail is generated for customer orders

„ all other books are placed on shelves

„ twice weekly shelves and books are scanned,

administrative stock checked and adjusted

„ returns to supplier are fed through same tunnel

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challenges we faced during

implementation

„ cupboards/shelves with metal components

„ books with metal, CD’s/DVD’s etc.

„ readability too wide, more than one shelf „ staff changes lay-out and shelf location

„ some of the equipment had to be designed from

scratch

„ suppliers of possible tie-in solutions are not ready „ it is the beginning of a long and winding road

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the results for now:

„ opened first smartstore in Almere in April, the

second in Maastricht in November

„ we received 40,000 books in a few hours

„ kiosks give exact information on availability

and location of titles

„ we scan the stock twice a week

„ shrinkage is traced on item level „ special orders (9%) are identified

before they go to the shelf

„ tags are tied in with security portals

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next steps

„ develop smart shelves throughout store to

overcome manual scanning

„ develop and roll out of loyalty program „ link with internet

„ use the vast amount of data in daily operations „ all other stores will follow in 2007 / 2008

„ cooperate nationally and internationally with

booksellers to set standards

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© 2007 Progress Software Corporation 28

Let’s Review…

OpenEdge meets evolving customer and

partner needs for scalability and performance

15,000 concurrent users and growing…

Software as a Service providing growth for

OpenEdge and our partners

160 partners and growing…

OpenEdge makes it easier to adopt

technologies and drive business change

SonicESB, Apama, EasyAsk and more…

1

2

3

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© 2007 Progress Software Corporation 29

We simplify the job of

We simplify the job of

creating the world

creating the world

s best

s best

business applications.

business applications.

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© 2007 Progress Software Corporation 30

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