Introduction to Service Oriented Architecture in Banking


This weblog is the primary a part of a collection of 4 introducing the ideas and constructing blocks of a service oriented structure in a banking surroundings.

Half I. –  Introduction to Service Oriented Structure within the Banking Trade

II. SOA wants significant providers – The provisioning platform

III. Enterprise Service Bus in Banking SOA Structure

Half IV –  SOA in follow – Banking Account Origination



 I. Introduction to Service Oriented Structure within the Banking Trade 

Service Oriented Structure (SOA) has been a subject within the IT trade for fairly a while now. Over the past years, many (and someday virtually non secular) discussions have taken place in regards to the ideas of SOA, its applicability to a firms IT system panorama, whether or not it’s a revolutionary or an evolutionary method, whether or not it’s simply over-hyped and so forth.


Regardless of all discussions, Service Oriented Structure is actual and has itself confirmed to remain. On this Weblog collection I’d wish to share among the ideas we apply when implementing service oriented options within the banking trade. Nonetheless, we won’t deep dive into the three letter acronym world of IT expertise, however moderately take a look at the conceptual concepts and constructing blocks from an architectural perspective.


As talked about earlier than, there have been controversial discussions about SOA, so let’s look briefly on what it’s. Primarily, Service-Oriented Structure – because the identify implies – is an architectural fashion for constructing IT programs. Inside this paradigm, a service turns into the centerpiece of the design.

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Nonetheless, despite the fact that ultimately we are going to ship an IT answer, let’s not free the view on what the important goal of IT is: To allow an organization executing its enterprise processes extra effectively, with a better diploma of automation, extra agile and flexibly. A few of immediately’s processes wouldn’t even be doable with out the help of IT programs. Simply take into consideration the quantity of cost orders being processed throughout cost networks and between completely different banks every day.

So the architectural fashion of SOA is de facto in regards to the decomposition of enterprise performance into devoted enterprise domains and offering items of enterprise actions that make up enterprise processes as “providers”.  The good thing about having these providers is that the encapsulated enterprise performance can now be reused in a wide range of completely different processes inside and even outdoors the corporate boundaries.


As you may need notices, I’ve not talked about the phrase internet service but. That’s as a result of the ideas of SOA don’t essentially require the utilization of internet service expertise. Nonetheless, this expertise has been developed because the de-factor customary for SOA implementation, as there a many open internet service requirements that allow interoperability of programs throughout a heterogeneous panorama.


When implementing a SOA primarily based answer, there are sometimes 4 main constructing blocks that must be thought-about:

  • Service Provisioning: Completely different enterprise domains present enterprise stage performance in type of providers

  • Enterprise Service Bus: Infrastructure for calling and managing providers

  • Course of Composition: Allows utilization for varied providers to be composed into course of flows

  • Consumer Interfaces: Presentation layer figuring out how a step in a course of circulate is being offered to the consumer and the way the consumer interacts with the system inside a course of step

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So, how do these ideas apply to the banking trade?


A typical IT panorama in a financial institution is very heterogeneous. We discover core banking programs answerable for account administration and periodic operational processing. There are different programs specializing in the client going through processes (gross sales). On the whole, there are back-office, mid-office and front-office processes sometimes supported by kind of impartial programs. On prime of this, many banks have carried out varied channels to permit prospects to work together by way of completely different communication media (ATM, Department, Web, Cellphone Banking, Name Middle). These channels have developed over time on prime of the present system panorama and are sometimes carried out as vertical software silos. The processes reside within the software silos; heavy knowledge synchronization and replication is required. Many processes are batch pushed.


One of many advantages a Service Oriented Structure can supply on this scenario is supporting the event of a real multi-channel structure by re-using channel-agnostic providers and permitting course of execution transparently throughout varied channels resulting in a moderately real-time surroundings.


Within the following blogs we are going to take a look at the completely different constructing block of the structure


Half I. –  Introduction to Service Oriented Structure within the Banking Trade

Half II –  SOA wants significant providers – The provisioning platform

Half III – Enterprise Service Bus

Half IV –  SOA in follow – Banking Account Origination

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