Fujitsu 2010 Annual Report Download - page 61

Tokyo AIM
Positioning of “arrowhead”
Distribution of
market
information
Share, CB trading
Transaction
settlements
(Integrated network platform)
Market User
Trader
Orders/contracts
Market
information
Settlement
information
New Derivatives System, etc.
Integrated Information Platform
Market Information System Settlement System
Futures, options
trading
Information
Platform
Sapporo Securities Exchange
Fukuoka Stock Exchange
Nagoya Stock Exchange
Regional exchanges
Orders/
contracts
Development of the Ultra-high-speed
Primesoft Server Middleware
One of the criteria that TSE specified for the
new trading system was that the order
execution time had to be 10 milliseconds or
less, so Fujitsu proposed developing ultra-
high-speed Primesoft Server middleware
from scratch as part of the system architec-
ture. The Primesoft Server at the heart of this
system keeps transaction data resident in
memory, which allows for rapid data process-
ing by eliminating the need to access the
disk during the transaction. However, as the
data are only memory resident, the system
also requires a mechanism to prevent data
loss if an error occurs during transaction
processing. Fujitsu therefore developed
middleware to provide a risk-hedging func-
tion that automatically triplicates the data.
TSE’s Rigorous Requirements and Testing
Because of past experience with system
failures, the TSE took responsibility as the
purchaser to define the system specifications
We decided to build this system in order to restore the TSE’s credibility after the system failure four years ago.
During the tendering process, which included vendors from outside Japan, Fujitsu’s proposal stood out for its
emphasis on creating a world-class trading system that would be both fast and reliable. There were some anxious
moments during the design and testing stages, but ultimately we achieved order execution times of 2 milliseconds,
significantly better than the 10-millisecond target, and had no problems when the system was launched. On a
100-point scale, Fujitsu scored 150.
Hiroaki Uji
Director of Equities Trading System,
IT Development Division
Tokyo Stock Exchange
and conduct testing
for quality control
purposes. The TSE
produced an external
vendor manual and a
specifications docu-
ment* some 4,000
pages long and ran
an extremely rigorous
testing program that
included handling
some 60,000 test cases. Fujitsu satisfied the
TSE’s requirements by transforming its project
management methods and having the TSE
sign off on all Fujitsu development processes.
* A specifications document clearly defines what functional-
ity is required in the development of systems or software.
1,000 Team Members
Working Together
In order to satisfy the rigorous performance
requirements for the new trading system,
Fujitsu decided to develop both middleware
and application programs from scratch
instead of using existing systems. Some
concerns were voiced over the development
of such a complex system, as 70–80% of the
Fujitsu team members had not been involved
in work on the previous TSE systems. To
address these concerns, Fujitsu set up a
third-party body to objectively check
On January 4, 2010, the Tokyo Stock Exchange (TSE) introduced a cutting-edge next-
generation trading system called “arrowhead.” Fujitsu developed every part of the system,
from the hardware to the applications, staking the prestige of the Fujitsu name on the ability
to deliver world-class speed and bedrock reliability. This is the story behind the development
of TSE’s “arrowhead” trading system.
Developing the Next-Generation “arrowhead” Trading System
World-class system brings 2-millisecond trading to Tokyo’s stock exchange
development progress and manage risk, the
first time the company has taken such a step
for a specific project. This was a major project
involving some 1,000 team members, includ-
ing partners, so Fujitsu employed systematic
quality control procedures, including con-
tracting an external organization to check
that coding and other protocols were fol-
lowed precisely. A major development project
like this, where the middleware and applica-
tions are developed from scratch at the same
time, only happens once every 20 years or so.
The Fujitsu team expected this to be a par-
ticularly difficult project, but were motivated
to develop one of the world’s most advanced
systems. Another critical success factor was
that many of the new team members in the
divisions involved had a strong desire to be
assigned to this project, which also made for
a highly motivated team.
“arrowhead”
STORY
CUSTOMER’S VOICE
Crucial Project for the TSE: “On a 100-point scale, Fujitsu scored 150”
Project managers reflecting on
development
059
FUJITSU LIMITED Annual Report 2010
Research & Development