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Can i use a proxy service without a business service while configuring message flows in Oracle service bus? If so is what scenarios would we use it?

A: 

I think you cannot create a proxy service without a business service call in OSB, but you can call dummy business services that publish on a JMS topic that nobody listens on. This kind of proxy service could implement data transformation (e.g. XSLT) between the request and response, or enrich the response with data retrieved from a lookup table (fn-bea:execute-sql()).
A service bus, like OSB is meant to provide a façade to back-end (business) services: route to and compose existing services. What you are asking for is to create new back-end services which is more suited for Java EE servers or Oracle BPEL.

Update: You can create stand-alone proxy service, if you use pipeline pair and stage, but no route steps.

Miklos
Thanks Miklos,Even i thought the same thing but you can always have a proxy service with only a pipeline pair(hence BS is not required), but then the basic question that remains is when do you use a pipeline pair and when do you use a route node, I am very much a newbie to SOA, the ALSB docs only talk about configurations without emphasizing on the "WHY?"..Would really appreciate if you could direct me to some good links if you know..
hakish
You are right, I haven't used OSB (ALSB) for a year now, and I did not remember you can create a proxy service without a route step. Of course in this case it is not a real 'proxy'. OSB can be useful when a company builds SOA, but by no means necessary or enough. SOA is as much a business and organizational paradigm as technical. You can learn about SOA on the website http://whatissoa.com. Regarding OSB best practices, I cannot recommend any links. Try google 'ALSB best practices'. Oracle has at least 2 OSB training courses (programming and administration) but I've not attended them.
Miklos
Appreciate your inputs.
hakish