ea white paper 25052011

White paper

The need for an Enterprise Architecture

The demand for Enterprise Architecture and the use of Reference Architecture

The need for an Enterprise Architecture2

Contents

2 Abstract

3 Introduction3 Consumers going their own way3 The growing enterprise market4 OTT providers step up the challenge4 CSPs adapting for success4 Staying relevant in the new

communications industry

5 Considerations5 Enterprise wide5 Business Agility5 Modularity (and Service Oriented

Architecture)6 Using the business supporting ecosystem

as a key business competitive advantage

7 Nokia Siemens Networks Reference Architecture

7 About the Enterprise Architecture concept8 Enterprise Architecture and Nokia

Siemens Networks Reference Architecture8 Business Architecture viewpoint9 Process Architecture viewpoint10 Information Architecture viewpoint10 Application Architecture viewpoint11 Technology Architecture viewpoint12 Network Architecture viewpoint12 Nokia Siemens Networks Reference

Architecture ARIS Library

13 Nokia Siemens Networks Enterprise Architecture Approach

14 Nokia Siemens Networks Reference Architecture benefits

14 Improve Agility14 Improve operational efficiency 15 Improve customer satisfaction15 Assure business continuity15 Faster procurements, lower TCO

16 Bibliography

Abstract

A number of Communications Service Providers (CSPs) today have concerns related to Enterprise Architecture initiatives. In a business environment driven by constant changes, it is recommended to have close attention to all initiatives implying bigger changes on IT and telecom systems. Special focus is needed because the costs and impacts of the changes are often difficult to predict as the systems are typically huge and complex and many a times based on legacy technology.

This white paper explores some considerations on how to mitigate risks and make future proof changes. Final goal is to create an enterprise wide agile ecosystem fully aligned with the constantly changing business needs.

The need for an Enterprise Architecture 3

Introduction

Change has become endemic to the communications industry, with the rise of social networking, perhaps being one of the most dramatic – the total number of social networking users exceeded email users in 2007. Meanwhile, falling ARPU for voice and the opportunities represented by new technologies have increased competition in the industry, not only among communications service providers (CSPs) but also from cloud service providers, media and broadcast companies and consumer electronics vendors.

Looking at the industry in totality, we can see a number of challenges and opportunities that are redefining the expectations and ambitions of the four main protagonists in the arena – Consumers, Enterprises, OTT players and CSPs themselves.

Consumers going their own way

One of the key battlegrounds is the struggle to maintain consumer attention. Less than 50% of consumers are loyal, with churn being driven increasingly by dissatisfaction with network and service quality. Over and above this, users are becoming more individual in the way they consume online content and are frequently generating their own. With the increasing need for anytime, anywhere access, they are also becoming device independent as they look for the same content on PCs, laptops or smartphones.

The growing enterprise market

One of the major developments of recent years has been the improving prospects in the enterprise market. Cloud computing is a major growth area in the sector. Demand is being driven by the increasing use of multiple devices, anytime, anywhere access and the need for efficiency gains. More importantly, the rise of affordable bandwidth has made cloud services more viable.

More enterprises are adopting cloud computing and expecting financial benefits from it. Software as a Service (SaaS) and Infrastructure as a Service (IaaS) are driving this change. CSPs are well placed to take advantage of this trend, as cloud services need good, reliable networks.

Enterprises are also increasingly looking to web services to help raise their game. They are keen to work with CSPs that can integrate Web 2.0 services into the mobile Internet, giving them the opportunity to use Mobile 2.0 solutions to improve links both with their customers and employees. To make the most of this growing business, CSPs will need to either develop Web 2.0 solutions themselves or work with Web 2.0 application providers to create complete web and mobile solutions.

Vertical services are also gaining momentum, with a particular interest being shown in machine-to-machine managed services, as enterprises seek to drive efficiency by adopting mobile technology and applications.


OTT providers step up the challenge

Over the top (OTT) providers, such as Google, Skype and Facebook, pose a major challenge to the traditional role of CSPs, with OTT services driving traffic volumes higher than ever. OTT IP traffic is dominated by the consumer Internet. Forecasters predict that this trend will increase, with consumer Internet traffic rising from something over 10 Petabytes per month in 2010 to more than 40 PB/month in 2014. What’s more, this estimate may be blown out of the water by step changes in services or customer behavior, such as the transfer of offline games to online environment or the rise of 3DTV.

Capacity, quality and pricing are all under enormous strain, driving CSPs to come up with innovative pricing models, unprecedented network efficiencies and new delivery models.

CSPs adapting for success

One of the challenges facing CSPs is the desire to move beyond connectivity and offer value added services with the right customer experience. In a bid to compete over content services with OTT players, CSPs are increasingly focusing on socially conscious services and advertising – with messaging innovations, flexible pricing and mobile payments also forming part of an increasingly dynamic landscape.

A consequence of this change in business focus is the increased need for flexibility in systems and decreased time-to-market for new services. One example is the customer experience area, where customers assume a new service or subscription will work on an immediate basis. This requires all systems involved in the ordering/provisioning and billing processes to be connected.

Another example where flexibility is required is in taking action on customer insights derived from the usage, subscriber and billing patterns.

Staying relevant in the new communications industry

Facing new demands and expectations from consumers and enterprises alike and the need to take complete advantage of innovations, CSPs are being challenged to navigate their way through to a new position in the industry – one that makes best use of their strengths.

From this mass of complex challenges, we can identify three critical areas that CSPs can focus on to strengthen their value and position in the changing communications arena – meeting insatiable demand, enhanced customer experience and transformational agility.

Whatever strategy they choose, tomorrow’s communications landscape will be populated by CSPs who are willing to adapt – constantly evolving themselves to meet the challenges and opportunities – and those that thrive on change. An adaptation and change that is based on a flexible organization, where business processes are supported by the architecture and tools used to run the business.


Area #1 + #2

e2e Business Process

2 3 41 5 6 7

Area #2Area #1

e2e Business Process

a2 a3 a4a1 b5 b6 b7 b8

Figure 1. Cross area optimization of processes and systems.

The high levels of customer service and satisfaction, greater flexibility and faster response with a tight cost control are a big challenge with the current (and many times) legacy systems. Only one action or focus on one functional area (e. g. billing) will not solve the issue. We need to have a holistic approach and tackle several dimensions in different areas in order to achieve a visible and highly valuable effect.

Enterprise wide

Earlier, the systems were designed by maximizing their benefits for each functional area, taking into account Cost, Risk and Quality.

While each one of the functional areas consisted of specific tools with similar components to satisfy the needs, there was very little communication between them, leading to a set of silo legacy systems. In order to maximize the value for the entire organization, instead of a specific area, the optimization and value prioritization needs to be enterprise-wide. From the organization point of view, the priorities and the value can lead to a completely different set of results.

For increasing the speed, we need to typically change or improve the systems, and for optimizing them, we need to tackle the process itself.

Business Agility

In order to be optimized, not for a specific area but for the whole Enterprise, a new dimension; agility must be taken into account. For instance, agility to support new business models, introduce new and more effective co-operation between different areas, connect to new partner systems, support new or changed business processes, and transform the supporting IT and network systems from costly operational system into a competitive business advantage.

Modularity (and Service Oriented Architecture)

Modularity is the key for loose coupling of all components in an ecosystem. Modularity minimizes risks, creates flexibility and agility for most situations. Furthermore, modularity is also required in developing step-by-step evolution of an optimized system from different legacy systems.

Considerations

There is a consensus by several independent organizations (the Open Group, TM Forum, analysts, etc.) on Service Oriented Architecture (SOA) as the recommended way of implementing modularity. In this white paper, we assume that the generic advantages of the SOA approach are understood, and therefore we emphasize only two special topics of SOA: time-to-market and investments. Firstly, time-to-market is the key attribute in agility, and is faster to cope with the business changes and needs. Time-to-market, on numerous occasions, is the needed competitive advantage for achieving success. Secondly, despite the financial crisis, companies are investing in SOA initiatives. From the market reports, the growth of SOA usage in 2008/2009 was 27%, (comparing survey results from Q42008 and Q42009 in Europe and North America), and 56% in 2009/2010 (Forrester Research, 2010).

“It is not the strongest of the species, nor the most intelligent that survives. It is the one that is the most adaptable to change.”

– Charles Darwin (1809 – 1882), Naturalist, author of theory of evolution


Using the business supporting ecosystem as a key business competitive advantage

Usually a system is seen as a necessary cost to make the business – not anymore. With Enterprise Architecture (EA), new opportunities and capabilities will raise some real competitive advantages. As an example, let’s consider a set of typical (separated) systems:a) Automation system: The principle

behind this is to improve efficiency, automating several steps (or all steps) of certain tasks. Since the tasks are automatic, the delay is caused by latency of the system itself, leading to execution of thousands of tasks per second instead of seconds/minutes spent in each task.

b) Customer segmentation: Groups people according to attributes that store information relevant for understanding customer behavior, and can be used to predict the probability of acceptance or refusal of a certain product or probable churn.

c) CRM tool: Contains all customer information and supports the call center team in customer interactions.

All of the above add significant value to the business, but together they are even more valuable:• When receiving a call from the

customer, would it be useful to identify in less than 5 seconds why the call with a mobile phone did not succeed, and be able to reconfigure the mobile phone with one click?

• Would it be useful to identify that a customer has a high churning probability and receive a warning about that, with a set of recommended actions/offers to avoid the churn?

• Would it be useful and unique to have both above available while interacting with a customer?

Yes, it would be, but it is only possible when all the previously separated systems co-operate with each other, understanding their contribution to common enterprise processes and information. This capability provides a competitive advantage to a CSP’s relation with the customers. This increases customer retention and satisfaction at different levels, and furthermore, other CSPs cannot replicate, unless they transform their systems.

To create these capabilities effectively, an enterprise-wide architecture transformation is required, making it difficult for competition to achieve the same level of alignment between business and systems.

Nokia Siemens Networks Reference Architecture – facts

• Nokia Siemens Networks was the first company SID certified by TM Forum for the complete OSS/BSS area: network management, customer experience, charging and billing. (May 2010)

• Nokia Siemens Networks Process Architecture is based on best practices applied with hundreds of CSP customers, leveraging our Managed Services expertise.

• Process and Application Architecture have special focus on Customer Experience and Management, built on the TM Forum Frameworx (eTOM, TAM) and accommodates the ITIL best practices.

• Today, Nokia Siemens Networks’ Reference Architecture library consists of more than 3000 proven architecture artefacts, including 500 best-practice processes.

• Nokia Siemens Networks Technology Architecture is based on Service Oriented Architecture (SOA), standard interfaces such as 3GPP, TM Forum OSS/J and MTOSI.


There is no “one-fits-all” architecture: business changes, regulations change, customers change. However, there is a set of common functions, processes and building blocks shared in each industry.

About the Enterprise Architecture concept

Enterprise Architecture is a general concept. It is applied to different industries and may be refined to take into account the specifics of certain branches of industry or government. There are a number of generic enterprise architecture frameworks, e.g., TOGAF (The Open Group, 2010) and Zachman’s model (Zachman, 1987). Each of these frameworks has its own merits, and differs in the order of layer and views definitions, and respectively the targeted class of enterprise. A common denominator is the approach to enterprise change processes in a comprehensive and holistic manner. This is regardless of the changes to financial management systems, changes to processes when expanding telecom operations to new fields, or large scale next generation OSS/BSS renewals. One major benefit of these common frameworks is the fact that they help in sharing the best industry practices.

Nokia Siemens Networks Reference Architecture

The Enterprise Architecture describes the elements of business – strategy, business cases, business models, processes, supporting technologies, policies, and infrastructures that make up an enterprise. It also provides means for governing the enterprise

and its information systems, and planning changes to improve the integrity and flexibility. In other words, Enterprise Architecture crystallizes the organization – what it has to do and how – to be as efficient and productive as possible.


Enterprise Architecture and Nokia Siemens Networks Reference Architecture

TeleManagement Forum’s Frameworx (TM Forum, 2010) consists of four enterprise layers – Business Process Framework (eTOM), Information Framework (SID), Application Framework (TAM) and Integration Framework. Frameworx is the de facto Enterprise Architecture framework in the OSS/BSS industry, enabling standard language and vocabulary to ensure precise and accurate communication between the industry stakeholders (Garcia; Gramatikoff; & Wilmes, 2009).

eTOM, SID, TAM and the Integration Framework – are the foundation of the Nokia Siemens Networks Enterprise Architecture approach for CSPs. However, other best practices, most notably ITIL, Office of Government Commerce (OGC), 2010 for IT Service Management and TOGAF from Open Group, have been applied to complement Frameworkx. Due to its importance in CSP business services and capabilities, the network

architecture is handled by Nokia Siemens Networks as a specific domain.

The Nokia Siemens Networks Reference Architecture (see Figure 2) is the Nokia Siemens Networks proposed blueprint for the CSP Enterprise Architecture. The Reference Architecture is applied for each CSP in the specific context.

It is essential to notice that the six viewpoints shown in the above figure are subject to common governance in order to be able to align the architectural changes with the CSP’s strategy. In addition, the common change management process supports the control, implementation, and documentation of the changes.

To illustrate the Nokia Siemens Networks approach, in the following, the viewpoints of the Process Architecture, Information Architecture, Application Architecture and Technology Architecture are described in detail. The approach of applying the TM Forum Frameworx is especially highlighted as well as how the different

viewpoints are integrated with each other, enabling a holistic end-to-end approach. The chapter is concluded with how the Reference Architecture is governed with a market leading tool and library.

Business Architecture viewpoint

In the Enterprise Architecture, the Business Architecture viewpoint addresses the enterprise from the point of view of the ecosystem the enterprise operates in. It handles the value chain aspects relevant to the business as a whole: where to improve the business efficiency and develop new value propositions and how to increase efficiency and competitiveness of the business in the context of its environment: markets, competitors, legislative and environmental aspects, influences and impacts. Business Architecture defines the overall strategy and governance for the business.

Functional decomposition?Functionality of each entity?Interfaces between entities?Vendor mappings?

Technology

Network

Application

App

licat

ion

Business processes?What are roles involved?Governance?Needed KPIs to follow?

Proc

ess

Key technology choices?Interoperability?Vendor strategy?Roadmapping?

Needs and modeling?

Enabling capabilities Specific business needs

How info is synchronized?How to manage over life-cycle?Access and integrity rules?

Tech

nolo

gyIn

form

atio

n

What is the value chain scope?What businesses the firm is in?

What are business models?What is company structure?What is the strategy?

Bus

ines

s

Planning principles?Technologies used?Network structure/efficiency?Vendor strategies?

Net

wor

k

InformationProcess

Business

Figure 2. The main architecture viewpoints of an Enterprise Architecture (also part of the Reference Architecture).


Process Architecture viewpoint

The Process Architecture viewpoint captures “how” the organization executes its capabilities. It also considers stakeholders external to the enterprise (including customers, suppliers, and regulators) to ensure that flow in and out of the enterprise context is captured.

Nokia Siemens Networks Process Architecture is based on best practices applied with hundreds of CSP customers, leveraging its Managed Services expertise. The Process Framework has special focus on Customer Insight, Experience and Management, and builds on the TM Forum eTOM framework and accommodates the ITIL best practices. In particular, the Process Framework leverages both ITIL’s orientation towards internal service delivery and eTOM’s orientation towards external services (see Figure 3).

The Process Framework has been, especially designed to cope with future requirements of network architecture, and for different business models, such as Network Provider/Service Provider separation.

Nokia Siemens Networks process architecture is grouped into six areas, known as key business themes. Two additional areas (Serve Customer and Operate Service) highlight explicitly the organizational separation of serving the customer and operating the service views. In the next, more detailed levels of the Nokia Siemens Networks process architecture, these business themes and areas are mapped to eTOM processes.

Today, Nokia Siemens Networks’ reference process library consists of more than 500 processes and scenarios modeled with a market-leading tool.

Concept to MarketEnable CSPs to quickly and cost-effectively launch new and modified products and services based on end user needs and insights

Customer Insight ManagementProvides CSP with ability to build end user insights proactively and drives other processes with these insights

Enterprise ManagementEfficient corporate processes to help support other business processes and the enterprise in whole

Lead to CashEnable CSPs to sell, deliver & monetize products & services starting from prospect handling to revenue realization

Trouble to ResolveEnable CSP with ability to handle and resolve end customers faults, problems and incidents

ServeCustomer

OperateService

Plan to PayProvide CSP with customer centric solution for physical & logical resource management

Figure 3. Process areas.

Produce ResourceForecast

Develop Technology

Strategy

Build & Integrate

Resources

Best practices

3.BP.3 – Quarterly budget review – Planning team should run a quartely review to revise the annual budgets for any new requirements arriving during the year3.BP.4 – Change advisory board – Operator should introduce CAB to approve the budget so that only the changes which are critical and aligned with company strategy should be approved

Best practices

3.BP.5 – Reporting on capacity issues & upgrades – Planning teams should provide regular reports related for any capacity upgrades planned so that other impacted teams are informed3.BP.6 – Workshops with stakeholders – Monthly workshops with vendors, regional planning teams, core, transmission etc. ensure all the critical requirements are communicated to all

Managed Services services: Performance, Network Optimization and Assurance, related products like NPO Optimizer

Gain Investment Approval

Network Change

Management

Track & Manage Resource Planning

NP DP 01 –Enable

Resources for a Product

ResourceForecast

Project Budgets

Service/Resource Strategy, Architecture & Policies

Design Resources

Budget Approval

Resource Design

ProjectPlan

Figure 4. One example of a Nokia Siemens Networks “Plan and Design Resources” modeled in the tool.


Application & Vendor Specific Models

Vendor Specific Generic ModelsOracle Business Objects

Shared Data Model

Common Information Model for Enterprise Integration

NGOSS SID

SAP MDM

Vendor Independent Models3GPP Utran 3GPP Geran 3GPP Core TMF 608 QoS CIM

SDH, PDH

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NSN

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HLR

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EP Finance

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Vendor Specific Models

Telecom Specific IT Specific

E///R

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06

NSN

RU

20

NSN

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Figure 5. Multivendor and Multi-technology Management Data Model.

Application Architecture viewpoint

The Application Architecture viewpoint addresses the inter-dependencies of applications, the services an application provides, its components, and the building patterns that provide for scalability, reliability, availability, maintainability and manageability. It also addresses the development strategy and the application life cycle management. Functional correctness, design for cost and design for

Information Architecture viewpoint

The Information Architecture viewpoint addresses the analysis and design of the data, and how to turn them into information – both with respect to static and dynamic aspects. This view is about creation, transfer, storage and inquiry of data by information systems. It includes the modeling of information entities, their attributes and their inter-relationships, and also additional aspects such as data ownership, master data management, metadata repositories, and distribution of data stores. It is also related to patterns for information integration and information presentation.

The Nokia Siemens Networks Shared Information and Data Model (NSN SID) for applications and solutions is the basis of Information Architecture for OSS/BSS area. Nokia Siemens Networks’ Common Data Model is an extension of the TM Forum Information Framework SID. Figure 5 shows the NSN SID concepts for vendor-independent and vendor-specific models for telecommunications and IT network management in the multivendor and multi-technology environment.

Nokia Siemens Networks was the first company certified by TM Forum SID for its complete OSS/BSS data model.

reusability are important aspects. This involves patterns for application interworking as well as application integration.

The foundation for Application Architecture is the TM Forum Application Framework (TAM). As a complete view of all applications in one architecture diagram would be very complex, Nokia Siemens Networks chose to represent application architecture in views per functional area.

Customer experience

management

Cross Functional Areas

Operations support & readiness

Customer Management Domain

CRM

Corporate Domain

Enterprise Supplier/Partner Market/Sales Product management

Service Management Domain

Service fulfillment Service assurance

Network and Service Control Domain

Device control Service control Service delivery and VAS

Connectivity

Resource Management Domain

Network management

Fulfillment Assurance Billing

Customer information

management

Policy based management

Security management

Charging and billing

Figure 6. Application Area Views of the Application Architecture.


Charge settlement adjustment notifications

Servicetopology

Service threshold alarms, Service

availability data,

Service performance

data

Servicetraffic data

Servicetraffic data

Servicetraffic data

Trouble tickets, Status updates

Serviceperformance

kQIs

L0 Service management

Service specification and inventory management

Service traffic

monitoring

Service problem

management

L0 Charging and billing

Service level agreement management

Customer experience managementL0 CRM

L1 Resource inventory management L1 Resource assurance management

Customer order management

Service order

management

Service quality monitoring & impact analysis

Service performance management

SLAparameters

SLAparameters

SLAalarms

SLAreports

SLAreports

SLAparameters

Service quality data

Service performance parameters

SLAreports

Service traffic data

Service performance

data

Trouble tickets, status updates

Trouble tickets, status updates

Online monitoring data

Batch/ondemand resource inventory updates

Batch/ondemand inventory updates

Service topology

Raw/KPI performance data

Raw/correlated alarms

Batch/ondemand resource inventory updates

SLAalarms

Service performance

SLA data

Figure 7. One example of a logical view on Service Assurance area of the Application Architecture.

Despite each area represented by the needed logical components/applications, each view maintains its integrity, and whenever a logical component/application appears in more than one view, its integrity is ensured.

Each area defines a logical architecture for relevant CSP applications. Cross functional areas tackle typically more than one functional area (Service Assurance, Charging and Billing, etc.), creating additional views over the same applications. This would be difficult when done manually, for instance, PowerPoints, which emphasizes the advantages of using a tool for defining the different views and architectures within an Enterprise Architecture project.

The Nokia Siemens Networks Application Architecture extends TAM, especially with the interaction of applications and with new key components/applications not yet fully covered by TAM. As an example, the TM Forum report “Exploiting Analytics” from September 2010 concluded that CSPs are increasingly focusing on customer experience initiatives driven by the recognition of the connection between customer experience and profitability (Rich, 2010). Nokia Siemens Networks’ Reference Architecture acknowledges this recent development both in the Process Architecture (Customer Insight Management process) and the Application Architecture (Customer Experience Management application area).

A key concept of the logical Application Architecture is modularity, supporting several configurations and set of implementations with different products from various vendors. Above is an example of the Service Assurance area (Figure 7). The figure shows the highest level of logical Application Architecture for the Service Assurance area.

The implementation architectures of logical Application Architecture are composed of market-leading industry components supplied by Nokia Siemens Networks or partners. These implementation architectures follow the best practices and expertise from Nokia Siemens Networks implementations and leverage the reuse of existing and/or legacy systems of CSPs.


Technology Architecture viewpoint

The Technology Architecture viewpoint addresses the selection of platforms, middleware, and infrastructure along with issues of relevant standards. This includes the communication infrastructure and IT services, the strategy for selecting HW and SW platforms, operating systems, and middleware and programming languages.

Nokia Siemens Networks Technology Architecture is based on Service Oriented Architecture (SOA), standard interfaces such as 3GPP and TM Forum OSS/J and MTOSI, and common platforms across its product and solution portfolio.

Network Architecture viewpoint

The Network Architecture viewpoint addresses the network technologies, planning principles, network structure, and vendor strategies. Network Architecture, by its own, has its standards and specific solutions, designs and can follow its own principles, depending on each vendor and/or CSP.

The key topic of the network architecture is how the network is interlinked to the other architecture viewpoints. In most architecture approaches, the network and the

OSS/BSS integration is considered from the protocol integration viewpoint. However, using the Nokia Siemens Networks Reference Architecture, the information and process architecture viewpoints are also considered, which provides a holistic approach to the integration of the network to the business systems.

For instance, the context for the 3GPPP policy execution of Nokia Siemens Networks’ Reference Architecture is the CSP policy management business processes. Another example is subscriber data management, which is a network domain not well standardized. In this context, information architecture plays a central role, i.e. how the subscriber and customer information of CRM systems are integrated in order to support the customer insight business process and customer experience management applications.

Nokia Siemens Networks Reference Architecture ARIS Library

The chosen enterprise architecture modeling tool of Nokia Siemens Networks was ARIS (Davis & Brabänder, 2007). According to Gartner Magic Quadrant for Business Process Analysis Tools (Norton, Blecher, & Jones, 2010), ARIS is the market leading tool in the Business Process Analysis tool market segment.

The tool allows modeling and creation of the relations between different architectures, for instance applications, processes and information. As an example, it is possible to navigate from a process to the required information and supporting application(s). Also, Nokia Siemens Networks uses the tool for mapping each logical building block to possible solutions/products. On a specific Enterprise Architecture of a CSP, this can be linked to the implementations, allowing complete understanding from business to the supporting assets.

As described earlier, all architecture viewpoints are connected to each other as well as to the industry Reference Models. The library is complemented with the Nokia Siemens Networks best practice implementations.

Figure 8 shows examples of the Process Architecture and Application Architecture represented in the tool.

Figure 8. Nokia Siemens Networks Process and Application Reference Architectures on ARIS.


Technology

Network

Application

InformationProcess

Business

Technology

NetworkNetwork

Information

Process

Process

Application

Process Business

BusinessPro

P Technology

Network

Application

InformationProcess

BusinessInformationProcess

Business

Informatio

TechnologyApplication

Network

Understand...Current legacy

ecosystem

Start with...Reference

Architecture

Build...Enterprise

Architecture Vision

...and deploy itStepwise

Prioritization

Current ecosystem

Reference Architecture

Enterprise Architecture

Transition Systems

Technology

Network

Application

InformationProcess

Business

Technology

Network

Application

InformationProcess

Business

Figure 9. Nokia Siemens Networks stepwise approach.

Nokia Siemens Networks Enterprise Architecture Approach

The starting point is the business vision defined by each customer (CSP). Following the strategy, the focus areas and priorities need to be defined (ROI, strategic area, core business, business focus area, etc.).

Working with the CSP, Nokia Siemens Networks facilitates business needs analysis, assessing the current capabilities, and defining an Enterprise Architecture vision for the chosen area(s) using the Reference Architecture. Typically, special focus is on aligning all the architectures with the CSP Business Architecture, as this is crucial for the success of any Enterprise Architecture initiative.

Nokia Siemens Networks is able to support the decision-making process of CSPs by supplying impact analysis of the changes and the risks involving each step of the process. In addition, as important as having a vision of the needed future systems, is to understand the existing systems. A smooth prioritized migration plan will be developed in order to be able to leverage the current assets and maximize the return value with each step.


Semi-Manual Error

Analysis

CreateTT

CloseTT

CallCenter

1st LevelCustomer Care

2nd Level

3rd Level

“Old” Process “Open TT”

“New” Process “Open TT”

New system

Legacy/Silo systems

Automated Error

Analysis

Automated error

detection

Automated error

recovery

Automated Verification

CloseTT

CreateTT

CallCenter

Figure 10. Improving first call resolution and productivity on customer care due to new capabilities.

Nokia Siemens Networks Reference Architecture benefits

Here, we will state some of the direct benefits of partnering with Nokia Siemens Networks and using the approach and principles for transforming a set of systems into an agile and flexible ecosystem that supports the CSP business and creates competitive advantages.

Improve Agility

The building blocks defined by Nokia Siemens Networks’ Reference Architecture are aligned with the state-of-the-art practices of the industry and the market. In the end-to-end approach of the Reference Architecture, the architecture in itself is considered from integrated viewpoints, providing full transparency to the steps from business innovation to implementation. The approach, thus not only leverages

the reuse of existing systems, but also minimizes the necessary time and investment in each step of the architecture, maximizing the immediate ROI with each new step.

As stated before, modularity is, by design, aligned with the industry best practices. Nokia Siemens Networks’ solution approach is based on SOA, not because of the technology as such, but because the promised benefits are real and can be measured today. For instance, the results of a key survey (Forrester Research, 2010) shows that among all enterprises only 1–3% have found little or no benefit of SOA, while 75–80% have found enough benefits and are expanding the SOA scope. These figures do not represent isolated cases of success, but an evidence of return on investments using the SOA approach.

As in any other industry, the problems are not solved by technology or products, and SOA is not different. Results from the survey (Forrester Research, 2010) indicate that the use of governance practices on implementation guarantee much more satisfaction than the specific technology used.

Improve operational efficiency

The audience of the Reference Architecture covers all management layers, and its approach and modularity allows bringing the right information, at the right time, to the right person.

As an example, a new automation system (Networks, 2010) of a customer care department supports the customer care on first call by


troubleshooting and correcting the problem. This is much more effective, transforming a potential negative interaction with a customer into a quick and pleasant experience, also improving CSP brand image. Figure 10 from the Nokia Siemens Networks automation project shows how these new capabilities can improve the operations in a critical contact point with the customer.

Please note that the new/improved system creates new capabilities by automation, but in conjunction with processes redesign, the resulting return on investment will be much higher. This clearly reinforces our earlier statement about having an enterprise-wide approach on Enterprise Architecture initiatives, even with a stepwise deployment.

Before this automation project, this European CSP had 15 errors per 1000 subscribers analyzed manually. With a growing number of errors, more than 50% were being escalated to level 2 support. Since the deployment, the manual error resolution decreased 20%, and the total amount of errors declined 36%. Furthermore, with less escalation to level 2, the SLA failures decreased 20%. Finally, the total amount of hours in error analysis decreased, improving productivity.

Improve customer satisfaction

From the introduced Nokia Siemens Networks automation project (Networks, 2010), we were able to see

how customer satisfaction improves the customer care response time and quality. These successful results raise an additional question about the approach: why not improve the service level using the same system, would it be possible to receive proactive alerts about customers that might churn, and would it be possible to create campaigns with offers to maintain the customers?

All these contribute to positive interactions with customers, decreasing churn and differentiating vis-a-vis competition.

Assure business continuity

Nokia Siemens Networks’ approach lowers the necessary investments in the CSP’s journey to agile and flexible systems through a stepwise approach. Nokia Siemens Networks contributes not only with its Reference Architecture and knowledge, but also by working with CSPs to help take the best decisions and defining the right priorities for each step of the Enterprise Architecture journey, and lowering the risks of transformations.

Nokia Siemens Networks’ Customer Solution Architecture (CSAM) methodology is an Enterprise Architecture methodology based on the existing industry frameworks, most notably TOGAF. The CSAM and Reference Architecture have been designed together and are complemented with the supporting tools, allowing Nokia Siemens

Networks to leverage and share its best practices based on an extensive and formally modeled architecture knowledge asset.

Finally, the use of Reference Architecture triggers the validation of the existing CSP processes, functions and systems, and formalizes their importance and impact on the business. This lowers the risk of losing critical non-documented processes and improving inefficiencies and ad-hoc solutions.

Faster procurements, lower TCO

Enterprise Architectures developed based on Nokia Siemens Networks’ Reference Architecture are aligned with the telecommunications market, making procurement decisions simpler and quicker. Also, the modularity allows step-wise decisions, decreasing the risks, without sacrificing architectural coherence, when using heterogeneous, multi-vendor components.

The described benefits have a direct impact on the total cost of ownership of each component and also on the overall system, lowering the costs on integration, increasing the efficiency of the operations, reducing complexity and duplication of systems, improving processes and agility to make, buy or outsource each component of the Enterprise Architecture. Also, the future investments due to new business needs have reduced risks.

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