The figure shows two nodes, one active and one passive. Each node has local storage. Oracle Fail Safe are installed on each local storage. You install Oracle Fail Safe on each local storage before installing the middle tier. There is also a shared storage, which is where the Oracle home for the middle tier is installed.

Each node is also associated with an alias: cfcwebcache.mydomain.com.

During runtime, the active node is associated with a virtual hostname and IP address. The active node also has access to the shared storage.

If node 1 (the active node) fails, node 2 takes over. The virtual hostname and IP address becomes associated with node 2, and node 2 gets access to the shared storage.