repositioning the value of the architecture practice
DESCRIPTION
These slides were presented as a 1 hour global webcast in partnership with The Open Group. Summary: In an increasingly competitive landscape, organisations are becoming more aware how important it is to develop business services models that are aligned to customer values. Organisations that are not able to take a customer focused perspective are losing footing in the market as they attempt to understand what it means to architect for the customer. Topics include: - The Pressures caused by Disruption - Performance and Expectation Gaps at the CxO level - Improving Architecture Value - Discipline Confusion - Unifying the Enterprise - Architecture Services Design - Architecture Demand AnalysisTRANSCRIPT
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 1
PRESENTED BY:
Craig Martin Chief Architect, Enterprise Architects
The Practice of Architecture Thinking
RE-POSITIONING THE VALUE OF THE ARCHITECTURE PRACTICE
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 2
ABOUT E
zero
HOURS A DAYBACK OFFICEVENDOR ALIGNMENT
MORE THAN 1600 PEOPLE TRAINED IN ARCHITECTURE PRACTICES (AND RISING)
12YEARS IN BUSINESS 8
GLOBAL OFFICES1600
MORE THAN 10,000 DAYS OF ARCHITECTURE SERVICES DELIVERED LAST YEAR
10,000
one COMMON METHOD
20four
sixOPERATING IN6 CONTINENTS
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 3
OUR SERVICES
Servicing theStrategy and Architecture needs ofGlobal Organisations
STRATEGY CONSULTING
› Business Architecture› Strategic Services & Operating Model
Design:» Business Services & Capabilities» IT Services & Capabilities
› Segment Strategies and Roadmaps:» Customer Experience & Digital» Enterprise Information Management» Big Data Analytics» Applications» Cloud & Infrastructure» Security, Risk & Resilience» Innovation Management
PRACTICE DEVELOPMENT
› Architecture Service Model Design› Architecture Operating Model Design› Service and Capability Readiness
Assessment› Professional Training and Certification
(Business Architecture, Information Management, TOGAF®, CDMP®, ArchiMate® and Design Thinking)
› Project Architecture Resources› Architecture Talent Strategy and
Professional Development› Architecture Back Office Services
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 4
OUR CLIENTS
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 5K
WHY
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 6
* From Roger Martin (2009) The Design of Business
GOAL: Exploitation; Reliability
Produce consistent, predictable outcomes
GOAL: Exploration; Validity
Produce outcomes that meet an objective
THE RESULTS OF DISRUPTION A stronger focus on the exploration and intuitive aspects of business are producing a strong drive for innovation within the business and in corresponding business models
Unresolved Business
Challenges
HeuristicsRules of thumb
Robust, repeatable and replicable
processes
A reliable system will produce the same test
results every time
A valid system will produce a result that is shown, through the passage of time, to be
correct
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 7
THE KNOWLEDGE FUNNEL
Non-core but complex - Outsource
Innovation, chaos & unresolved mysteries
HIGH
HIGH
LOW
LOW
Must be done but adds little value to product or services
Very important to success, high value added to products and services
STRATEGIC IMPORTANCE & VALUE
COM
PLEX
ITY
AND
DYN
AMIC
S
Complex negotiation, design, or decision
process
Many business rules; expertise involved
Some business rules
Procedure or simple algorithm
Non -Core Competencies
Core Differentiating Competencies
Everyday, highly repeatable and
automated
Make repeatable and reliable to gain
efficiency
Core Competitive
Competencies
THE RESULTS OF DISRUPTIONTHE SPEED THROUGH THE KNOWLEDGE FUNNEL IS ALSO
INCREASING
Source: Adapted from “Business Process Change” by Paul Harmon
GOAL: Reliably produce consistent, predictable
outcomes
GOAL: Validity- Produce outcomes
that meet desired objectives
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 8
THE RESULTS OF DISRUPTIONTHE COMMODITY SPACE IS GROWING, MAKING THE
DIFFERENTIATION SPACE MORE COMPETIT IVE
Non-core but complex - Outsource
Innovation, chaos & unresolved mysteries
HIGH
HIGH
LOW
LOW
Must be done but adds little value to product or services
Very important to success, high value added to products and services
STRATEGIC IMPORTANCE & VALUE
COM
PLEX
ITY
AND
DYN
AMIC
S
Complex negotiation, design, or decision
process
Many business rules; expertise involved
Some business rules
Procedure or simple algorithm
Non -Core Competencies
Core Differentiating Competencies
Everyday, highly repeatable and
automated
Make repeatable and reliable to gain
efficiency
Core Competitive
Competencies
Non-core but complex - Outsource
Innovation, chaos &
unresolved mysteries
HIGH
HIGH
LOW
LOW
Must be done but adds little value to product or services
Very important to success, high value added to products and services
STRATEGIC IMPORTANCE & VALUE
COM
PLEX
ITY
AND
DYN
AMIC
S
Complex negotiation, design, or decision
process
Many business rules; expertise involved
Some business rules
Procedure or simple algorithm
Non -Core Competencies
Core Differentiating Competencies
Everyday, highly repeatable and automated
Make repeatable and reliable to gain
efficiency
Core Competitive
Competencies
Opportunity or Threat?
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 9
BUSINES
S MODEL
Markets
Indust
ries
Custom
ers
Market
Segm
ent
Chann
els
Custom
er Re
lation
ships
Value
Prop
ositio
n
Offering
:
Servi
ces/Pr
oduct
s
Proces
ses/ V
alue C
hains
Compe
tencie
s
Busine
ss Se
rvice
Functi
ons
Data
Applica
tions
Techn
ology
MARKET
MODEL
OPERA
TING
MODEL
SERV
ICE
MODEL
THIS ACCELERATION IS PUTTING PRESSURE ON
CURRENT BUSINESS MODELS
Technology commoditising from
below
Business roles taking on more architecture accountabilities
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 10
Utility(Foundation)
Innovate
Build Advantages
Assemble
Prolong Advantages
Mix
Reduce Disadvantag
es
THE CREATIVE COMMONS GROWTH
Differentiation
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 11
THE GROWTH OF BUSINESS UTILITY
Unique differentiators and offerings are becoming commonplace through new value exchange models
The Telecommunications PCF features processes for infrastructure planning, enterprise architecture management, defining channel strategy and service levels, new service development and rollout, supply chain management, service activation, and customer relationship management.
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 12
A GAP IS EMERGING BETWEEN THE UTILITY AND THE MIX ASPECTS OF
BUSINESS
Utility(Foundation)
Innovate
Build Advantages
Assemble
Prolong Advantages
Mix
Reduce Disadvantag
es
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 13
THE GAP BETWEEN THE C’S
37%
34%
29%
22%
Customer Loyalty
Increasing flexibility &
speed
Reducing Costs
Increasing Innovation
Percentage of CEOs reporting
COMMON DRIVERS FOR INCREASING BUSINESS FLEXIBILITY
1. Customer demand for quick turnaround and increased need for customisation
2. Shorter decision cycles
3. Increased need for product innovation
4. Globalisation of corporate footprint
Where are the CIO challenges?
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 14
THE GAP BETWEEN THE C’SYawning gap between the CEO and the traditional CIO landscape
*Infotech executive research
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 15
…IF HISTORY IS ANYTHING TO GO BY…
Business architecture holds the potential to impact organisations’ progress on strategic objectives.
Leverage business architecture to
mitigation failure points across the
cycle
One-third of firms fail to achieve
expected results from annual
strategic plans.
More than half of all business projects
fail.
Forty-six percent of business failures stem
from misguided strategies.
*Corporate Executive Board
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 16
BUSINESS WANTS TO MIX BETTER AND FASTER, AND IF DONE EFFECTIVELY, THE RESULTS SPEAK FOR
THEMSELVESCompanies with a High Level of Cohesion affect EBIT Directly
0 20 40 60 80 100 1204%
8%
12%
16%
20%
24%
28%
32%
EBIT
mar
gin,
200
3-20
07
Capabilities coherence score
Coca-Cola
Wrigley
PepsiCoKimberly-Clark
Sara Lee
ConAgra Merck
UnileverH.J. Heinz
Kraft
General Mills
Clorox
Campbell Soup Company
P&G
*Adapted from “The Coherence Premium” – Harvard Business Review, June 2010
A coherent organization is one that is thought of and executed as a whole
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 17
Improve project performance
Improve enterprise wide investment performance
Improve Business Performance
Improve Market Performance
AB
VALU
E
MANDATE
C
E
Improve Product and & Service PerformanceD
IMPROVING ARCHITECTURE VALUE
By EA is often stuck with an old mandate with diminishing utility value
*Adapted from Ruth Malan, Dana Bredemeyer
EA = IT Architecture
EA = Enterprise-WideIT Architecture (EWITA)Improve IT performance
EA = Business Architecture (BA) + EWITAImprove Business Performance
EA = Strategic Enabler + BA + EWITA(Shareholder Value)
EA = Product Architecture + BA + EWITAImprove Product/Service Performance
ReduceOperating Costs
Positioned For Growth & Change
Focus on Strategic Imperatives
EnhancedAdaptable
FrontierInfluential
Utility Predictable
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 18
EVIDENCE OF THE ERODING GOALS PATTERNS IS SEEN IN THE CIO AND CEO
RELATIONSHIP
*Infotech executive research
Catch 22:The CEO is looking for more value, but the CIO
has a mandate of diminishing value that’s often focussed on keeping the lights on
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 19
THIS AWARD IS TELLING OF THE SHIFT. CIO OF THE YEAR: ITNEWS BENCHMARK AWARD
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 20
THREAT OR OPPORTUNITY FOR THE
ARCHITECTURE FUNCTION?
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 21K
WHO?
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 22
WHAT WE HAVE FOUND IN LARGE ACCOUNTS
Cohesion MandateUndefined - Enterprise Planning Ownership
An ownership gap for business architecture exists - Lines of responsibility around coherency and business architecture, are often unclear
Ente
rpris
e Pe
rfor
man
ce
Capa
bilit
ies
X-Fu
nctio
nal
Capa
bilit
ies
Func
tiona
l Ca
pabi
litie
s
CONTEXTMarkets
Industries
Customers
Market Segment
Channels
Customer Relationships
Value Proposition
Offering:Services/ProductsProcesses/ Value
Chains
Capabilities
Business Service
Functions
Data
Applications
Technology
MARKET MODEL
OPERATING MODEL
SERVICE MODEL
Strategic Architecture
Mandate – Business
Ownership
IT Architecture
Mandate – IT
Ownership
Business Architecture
MandateUndefined
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 23
DISCIPLINE CONFUSIONConfusion reigns around which disciplines are used for what situations
STRATEGIC PLAN
MARKETING PLAN
OPERATIONAL PLAN
DELIVERY & EXECUTION OPERATIONS
Planning Delivering
Operating
PORTFOLIO, PROGRAM AND PROJECT MANAGEMENTBUSINESS ARCHITECTURE
ENTERPRISE ARCHITECTUREPRODUCT & SERVICE DESIGN
BUSINESS PLANNING SOLUTIONS ARCHITECTURE
SOLUTIONS DEVELOPMENT
ENTERPRISE DESIGN
BUSINESS ANALYSIS
Environment analysis / SWOT, competitor / Business motivation / Product and portfolio analysis / Strategic Options
Market analysis and forecasting Model the business / Evaluate and select strategy / Risk and funding analysis
Project, portfolio and program management, solutions delivery
Daily operations, run the business
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 24
MISALIGNMENT OF DISCIPLINESIn navigating the minefield between strategy and execution there are multiple possible
failure points
STRATEGY PROJECTS Strategy not
sufficiently tied to operations
Needed capabilities not properly understood or
measured
Planners not accountable for
delivery
Benefits aren’t quantified or traced
back to original goals
The drivers of strategy are often
misaligned
This often leads to some typical stakeholder issues regarding transformation exercises
Are we investing in the right areas across the enterprise?
Is my investment portfolio balanced across all of the
economic value add dimensions?
Are the strategic programs aligned, or for that matter, are they the right
strategic programs?
There is a lot of activity going on out there, how do I know we are
doing the right things?
Where can we take advantage of synergies across the major
strategic programs?
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 25
FRAGMENTATION BEGINS IN STRATEGIC PLANNING
Scenario 1: Business improvement - spawning initiatives from the strategy map
STRATEGIC THEMES
Initiative 5
Initiative 6
STRATEGIC THEMES
Initiative 1
Initiative 2
STRATEGIC THEMES
Initiative 3
Initiative 4
Mandate: Improve enterprise wide program and portfolio performance
Business Unit 1
Program 1
Program 2
Business Unit 1
Program 1
Program 2
Business Unit 1
Program 1
Program 2
Initiatives straight from strategy often results in loss of cohesion
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 26
ARCHITECTURE AS AN AFTERTHOUGHT
Strategic Planning
Business Planning
Portfolio and Project
Management
Architecture
Solution Architecture
Solution Development
Scenario 1: Business improvement - spawning initiatives from the strategy map. PMO drives the
architecture efforts
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 27
MISALIGNMENT TENDS TO DELIVERY ISSUES
› General trend and perception is that projects, specifically those of an IT nature, did not deliver to expectations.
› The gap between the CIO and the perception of success vs the CEO and the perception of success is telling of the growing divide between business and IT.
› The delivery trend, driven by quarterly reporting cycles, is not going anywhere, this makes PMO type activities valuable
The percentage of projects that exceeded, met, or failed to meet business expectations ? As well as those that were outright cancelled
CEO CIO
*Infotech executive research
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 28
UNIFYING THE ENTERPRISEScenario 2: Business Transition - developing the unified business model
STRATEGIC THEMES
Capability 5
Capability 6
STRATEGIC THEMES
Capability 1
Capability 2
STRATEGIC THEMES
Capability 3
Capability 4
Mandate: Improve Business Performance
Business Unit 1
Program 1
Program 2
Business Unit 1
Program 1
Program 2
Business Unit 1
Program 1
Program 2
Creating a single unified business model helps build cohesion across the enterprise
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 29
ARCHITECTURE FOR PORTFOLIO AND INVESTMENT ALIGNMENT
Strategic Planning
Business Planning
Architecture
Portfolio and Project
ManagementSolution
Architecture
Solution Development
As business architecture provides more value, its is being positioned above the delivery and execution space
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 30
PLANNING THE ENTERPRISE
Injecting Business Architecture into the strategic scenarios will Improve the Strategic Decisions as well as the execution of that strategy
Mandate: Improvemarket performance
Scenario 3: Planning and Performance - defining the business model for candidate strategic scenarios
Mission Vision VISIONARY
Stra
tegi
esGo
als
STRA
TEGI
C
Tactics Objectives TACTICAL
Semi Integrated Universal
Bank
Product Specialist
Customer Owner
Infrastructure
Provider
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 31
‘Enterprise Lifecycle's2014 © Enterprise Architects PTY LTD
PERO
RMAN
CE
TIME
ENTERPRISE
BRAND PLATFORM
BUSINESS MODEL
BUSINESS CAPABILITIES
PRODUCT
CONSTANT CHANGE IS MOVING UPWARDS FASTER
ORGANIZATIONS…AND ARCHITECTS NEED TO BE ABLE TO PROVIDE THE MEANS TO ENABLE THIS CHANGE
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 32
2007: CURRENT RECESSIONCOST MODEL, SERVICE MODEL, REVENUE MODEL,
PERFORMANCE MODEL, VALUE MODEL, OPERATING MODEL
Leading and Best Practice Research, 2011/2012Scope: 1765 CEO’s and 2936 business leaders representing all major countries and industries
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 33
ARCHITECTURE FOR INTEGRATION OF PLANNING EFFORTS
Strategic Planning
Architecture
Business Planning
Portfolio and Project
ManagementSolution
Architecture
Solution Development
Facilitating Business Architecture as a strategic tool in the planning process is where the greatest value lies
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 34
Enterprise Design
BRINGING HUMAN CENTRED DESIGN TO PLANNING AND ARCHITECTURE
Strategic Planning
Architecture
Service Design
Business Planning
Portfolio and Project
Management
Combining business architecture with design thinking provides a much broader value proposition where customer experience and value is linked directly to the architected components of the business. In other words the entire enterprise is architected to improve the experience the end customer has with the organization. Outside in as opposed inside out.
Business Analysis
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 35
ARCHITECTURE SERVICES DESIGN
I N T E R N A L C U S T O M E
R
Cx ExO P.M O D EL
M A R K ET
M O D E L
Outside In
A R C H I T E C T U R E O R G A N I S AT I O N
S E R V I CE
M O D E L
Communication
Design
STAKEHOLDERSEXECUTIVEIT EXECUTIVEPRODUCT & SERVICE
Service (What)
Capability (How)
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 36
CROSS DISCIPLINE TEAMSCreation of a Unified Team of cross enterprise disciplines
Change Manager
Finance
PMO
Business Improvement
Strategy
Technology
• Combination of People, Process & technology to drive out an outcome through projects
Designers
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 37K
WHAT
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 38
THE BUSINESS OF ARCHITECTURE
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 39
ARCHITECTURE PRACTICE MATURITY
ISOLATED OPTIMIZING
LOSING FRAGMENTED
INTEGRATION IN THE ORGANIZATION
LEVE
L OF
ARC
HITE
CTUR
AL T
HINK
ING
L O W H I G H
LO
WH
IGH
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 40
ROLES & OP. MODEL
THE BUSINESS OF ARCHITECTURE
CAPABIL ITYMODEL ROADMAP
GOVERNANCE
* Closed feedback loop to Motivation Model
MEANS ASSESSMENT
MOTIVATION MODEL
INFLUENCERS
ASSESSMENT
MEANS ENDS
CATALOGUE
SERVICES
MANDATE
WHAT
WHY
COMMUNICATION
ENGAGEMENT MODEL
DEMAND ANALYSIS SOURCING
CURRENT FUTURE
BUSINESS CONTEXT
HOW
WHO
WHERE
WHEN
CAPABIL ITYASSESSMENT
ENABLES
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 41
SERVICE DESIGN
ARCHITECTURE PRACTICE DEVELOPMENT
CAPABILITY MODEL CAPABILITY ASSESSMENTPRACTICE MOTIVATION MODEL
INTERNAL COMMUNICATIONS
ARCHITECTURE ENGAGEMENT MODEL
ARCHITECTURE OPERATING MODEL
ARCHITECTURE DEMAND ANALYSIS
SOURCING STRATEGY PRACTICE IMPROVEMENT ROADMAP
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 42K
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 43
CO-DESIGN SERVICES THROUGH THE EYES, EMOTIONS AND NEEDS OF THE CUSTOMER
C U S T O M E R P E R S O N A S
S E R V I C E M O D E LE M PAT H Y M A P
V P C A N VA S
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 44K
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 45
COMMUNICATION STRATEGY
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 46
COMMUNICATION MANUAL
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 47K
HOW
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 48
A METHOD OF EXECUTIONTOGAF provides a more sophisticated method of the integration of the disciplines but does not provide the detailed
content and methods for the domains
Preliminary
A.Architecture
VisionB.
Business Architecture
C.Information
Systems Architectures
F.Migration Planning
D.TechnologyArchitecture
E.Opportunities &
Solutions
G.Implementation
Governance
H.Architecture
Change Management
Requirements Management
• The business “hat” is worn in these phases since it involves the innovate, mix and assemble activities
• The strength of the business architect in this space is understanding the context and applying the right tools for that context
• At this point it is advantageous to introduce the motivation model, with specific reference focus as to how the customer experience drives out the outcomes in the motivation model.
• The capability model often does not resonate here - so the introduction of the underlying resource mix is more effective e.g.. People, Process and tools
• A First iteration of these phases drives out the key enterprise differentiation resources required to reach the outcomes
• A Second iteration drives out the products and services model (4P’s - Product, Place, Price & Promotion) and what cross functional resources we need to deliver these
• Journey management is a crucial aspect of the business architect during this phase
• Some limited BABOK and BIZBOK techniques support this area
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 49
A METHOD OF EXECUTIONThe Business Architect wears two hats when executing through this method
Preliminary
A.Architecture
VisionB.
Business Architecture
C.Information
Systems Architectures
F.Migration Planning
D.TechnologyArchitecture
E.Opportunities &
Solutions
G.Implementation
Governance
H.Architecture
Change Management
Requirements Management
• The business architect wears the architecture “hat” in these phases since they involve the reliability and utility activities
• The business architect has to understand architecture in order to apply it and help the teams downstream
• This space requires more of the traditional architecture models - the people, process and tools resources can now be assembled and clustered into capabilities
• The architecture community is strong in this space but tends to be weak at requirements management across the whole process
• Techniques and resources within the BizBok will support the business architect efforts within these phases
• There are a number of techniques within the BABOK that the business analyst will use in supporting the business architect across these phases
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 50K
WHYWHATHOWWHO
WHEREWHEN
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 51K
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 52
CAPABILITY ASSESSMENT
Assess the readiness of your architecture capabilities to enable your services
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 53K
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 54K
WHEN
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 55
ARCHITECTURE DEMAND ANALYSIS
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 56
SOURCING STRATEGY
D E L E G AT E
PA RT N E R
M A N A G E
C O R E
LOW
HIGH
HIGH
RE
QU
IRE
D
OR
GA
NIS
AT
ION
AL
INT
IMA
CY
S E R V I C E D E M A N D
Solution design and review
Strategic
Planning
Vendor manageme
nt
Costing and
estimation
Technology manageme
nt
Technical SME
Business
Analysis
Portfolio Manageme
nt
LEGEND
RESOURCE POOL
Large(>10FTE)
Medium(<10FTE)
Small(<2FTE)
OWNERSHIP
Internal
External
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 57K
RoadmapCurrent Strategy and Architecture Team
Jan 14
Apr 14 Jul 14 Oct 14 Jan 15 Apr 15 Jul 15 Oct 15 Jan 16 Apr 16 Jul 16 Oct 16 Jan 17 Apr 17 Jul 17
Sample Strategy and Architecture Team Roadmap – Roles Services, and Capabilities Roadmap
Version: 1.0.0Created: 28/04/2014 by Enterprise ArchitectsUpdated: 14/05/2014 by Enterprise ArchitectsSources:
Description: Provides a view of the roadmap of activities necessary to realise the future state architecture. The primary intent of the roadmap is to inform the detailed program of work.Concerns Addressed: What does the program of work look like? Where are the dependencies across the program of work? How does the program of work align to the IT Department objectives and principles?Stakeholders: IT Executives, Strategy and Architecture Team Manager, Architects, Business Executives, Business Managers
© Enterprise Architects (Vic) Pty Ltd 2014
Horizon 1 · Understand what Business needs and the role IT should play· Fix internal process bottlenecks, deliver some quick wins· Design appropriate organisation & processes for future
Horizon 2· Build the IT capability to deliver what the
business needs (people, structure, governance, technology, focus)
· Support Transition Activities
Horizon 3· Put the IT capability into action to deliver
transformational results
Current Services
Current State Capabilities
Owns and governs
Strategy & Architecture Manager
Practice CoordinatorPrincipal IT Architect
Enterprise Architect – Digital & Analytics
Enterprise Architect - Security
Lead Architect / Senior Solution Architect
Solution Architect
Owns and governs Owns and governs Owns and governs Owns and governs
Business Solutions Architect
Enterprise Architect – Applications & Integration
Enterprise Architect – Technology
Enterprise Architect – Information
Strategy Development
Blueprint Management Roadmap Management
Strategic Change Program Development
IS Asset Lifecycle Management
Solution Delivery Management
Solution Architecture Delivery
Stakeholder Value Analysis
Architecture Governance
Principles Management
Standard Management
Policy Management
IT Architecture Project Governance
Architecture Requirements Management
Architecture Risk Assessment
Compliance Management
IT Architecture Review Board Management
Technology Watch
Trend Analysis
IT Architecture Change Management
Solution Architecture Options Analysis
Current State Application Architecture Management
Target State Application Architecture Development
Architecture Impact Assessment
Current State Information Architecture Management
Current State Technology Architecture Management
Current State Security Architecture Management
Target State Information Architecture Development
Target State Technology Architecture Development
Target State Security Architecture Development
Capture Current State Business Architecture
Capture Target State Business Architecture
IT Architecture Roadmap Development
IT Architecture Portfolio Management
IT Transition Architecture Management
Proposed Strategy & Architecture Team
Target Services
Target State Capabilities
Owns and governs
Strategy & Architecture Manager
Practice CoordinatorPrincipal IT Architect
Enterprise Architect – Digital & Analytics
Enterprise Architect – Security
Lead Architect / Senior Solution Architect
Solution Architect
Owns and governs Owns and governs Owns and governs Owns and governs
Business Solutions Architect
Enterprise Architect – Applications & Integration
Enterprise Architect – Technology
Enterprise Architect – Information
Strategy Development
Blueprint Management Roadmap Management
Strategic Change Program Development
IS Asset Lifecycle Management
Solution Delivery Management
Solution Architecture Delivery
Stakeholder Value Analysis
Architecture Governance
Principles Management
Standard Management
Policy Management
IT Architecture Project Governance
Architecture Requirements Management
Architecture Risk Assessment
Compliance Management
IT Architecture Review Board Management
Technology Watch
Trend Analysis
IT Architecture Change Management
Solution Architecture Options Analysis
Current State Application Architecture Management
Target State Application Architecture Development
Architecture Impact Assessment
Current State Information Architecture Management
Current State Technology Architecture Management
Current State Security Architecture Management
Target State Information Architecture Development
Target State Technology Architecture Development
Target State Security Architecture Development
Capture Current State Business Architecture
Capture Target State Business Architecture
IT Architecture Roadmap Development
IT Architecture Portfolio Management
IT Transition Architecture Management
Enga
gem
ent
Prac
tice
Bui
ldin
gEx
ecut
ion
& D
eliv
ery
Gov
erna
nce
1/06/2014 - 1/03/2015
Communications Strategy1/03/2015 - 1/12/2015
IT Department Socialisation and Awareness Campaign
1/03/2014 - 1/06/2014
Operating Model Development
Roles – Existing Roles – Non-Existent
Services – Offered Services – Partially Offered Services – Not Offered
Capability Maturity – Non-Existent
Capability Maturity – initial
Capability Maturity – Developing
Capability Maturity – Defined
Capability Maturity – Managed
Capability Maturity –Optimising
Roles – Non-Existent
Services – Offered Services – Partially Offered Services – Not Offered
Capability Maturity – Non-Existent
Capability Maturity – initial
Capability Maturity – Developing
Capability Maturity – Defined
Capability Maturity – Managed
Capability Maturity –Optimising
Roles – Existing1/06/2014 - 1/09/2014
Onboarding and Provisioning Approach
1/03/2015 - 1/09/2015
Knowledge Management and Architecture Repository strategy
1/12/2015 - 1/09/2016
Mature Portfolio Management
1/06/2015 - 1/12/2015
Current State Blueprinting
15/09/2015 - 1/03/2016
Target state Blueprinting
1/03/2016 - 1/09/2016
Architecture Roadmapping
1/12/2014 - 1/06/2015
Enrich Architecture Governance
1/12/2015 - 1/12/2016
Business Socialisation
1/03/2017 - 1/09/2017
1/12/2016 - 1/09/2017
Business Embedment
1/09/2014 - 1/03/2015
Architecture Process Specification
1/03/2016 - 1/09/2016
1/12/2015 - 1/09/20161/03/2015 - 1/12/2015
Build Program Architecture Capability
1/06/2015 - 1/03/2016
Uplift Solution Architecture Capability
1/12/2015 - 1/06/2016
Architecture Strategy Definition
1/09/2016 - 1/03/2017
Embed Technology Innovation
ProjectsProjects Continuous Improvement Activities
InitiativeDependency
Iteration and Collaboration
PrinciplesObjectives & ThemesArchitecture Principles
Principle BP01: Apply Principles Universally
Principle BP02: Proactive Business Leadership
Principle BP03: Recognise IT Department Responsibility
Principle BP04: Manage Enterprise Debt Value (EDV)
Principle BP05: Protect organisation DNA
Principle BP06: Think Strategically
Principle BP07: Business Continuity, Disaster Recovery and Contingency Planning
Principle BP08: Compliance
Principle BP09: Have a Sound Business case
Principle BP10: Reduce Complexity
Principle BP11: Avoid Under/Over Engineering
Principle BP12: Be Service Oriented
Principle BP13: Reduce Repetitive Manual Processes
Principle BP14: Open Integration
Principle AP01: Ease-of-Use
Principle AP02: Configure before Customisation
Principle AP03: Reuse before Lease before Buy before Build
Principle AP04: Application Security
Principle DP01: Data is an Asset
Principle DP02: Data Sharing
Principle DP03: Data Accessibility
Principle DP04: Common Vocabulary
Principle DP05: Data Security
Principle TP01: Increase Technology Independence
Principle TP02: Reduce Technology Diversity
Business Principles Application Principles
Data Principles
Technology Principles
Strategy Architecture Team
Drivers
Vision
Mission
The Strategy and Architecture team applies IT architectural thinking across the enterprise, and enables sustainable competitive advantage by identification and design of the organisation’s IT assets ensuring they are fully leveraged to
add value and meet the strategic agenda.
The Strategy & Architecture team will be a valued partner of the Business Units, and
contribute to business value by enabling the enterprise though provision of differentiated
and innovative IT services and solutions to achieve the organisation’s vision.
The IT Department needs to effectively respond to, influence and deliver the strategic IT needs of the organisation’s Business Units
Develop an architecture that supports the target TCO for the organisation
Minimise the operational risk associated with the organisation’s architecture
S&A a trusted advisor to the business units, maximising leverage and growth of new and existing IT assets, to enable competitive differentiation and realisation through strong alignment of IT and Business group strategies.
Remove redundancy through rationalisation across the architecture
Realise operational efficiency through the simplification of the architecture
Introduce flexibility, agility and opportunity to innovate through an architecture that enables the organisation to effectively and proactively respond to the business environment and demands
Establish manageable IT controls to effectively respond to market factors
Draw attention and focus to the role of IT in the context of Strategic , Business Critical and Differentiation opportunities and initiatives . S&A a key influencer in Business Capability planning and realisation , ensuring alignment of the project portfolio to enterprise goals .
Enable differentiated Technology and Business service offerings that are aligned to Business and Customer criticality and impact .
Provide a sustainable architecture for the organisation delivering operational stability
Trusted advisor during procurement of Vendor and Partner IT services, providing insight and governance into organisational fit , impact and operational and architecture risk profiling.
The organisation’s IT architecture enables compliance with industry , regulatory and contractual obligations.
creates
creates
creates
creates
createscreates
creates
createscreates
creates
Theme 10: Adhere to Risk & Regulatory Compliance
T10
Theme 9: Inform Vendor Procurement
T9
Theme 8: Uplift Governance Processes
T8
Theme 7: Foster Innovation Agenda
T7
Theme 6: Mature the S&A Practice
T6
Theme 5: Reduce IT Department Operational Costs
T5
Theme 4: Drive “Fit for Purpose” Design and Focus
T4
Theme 3: Improve Portfolio Planning & Design
T3
Theme 2: Influence Strategy Development
T2
Theme 1: Organisational Engagement
T1 The S&A Mandate and Service offering are well communicated and understood across the organisation.
S&A viewed as 'key advisors' by Business stakeholders and provide advice on best practice to apply Technology solutions to solve business problems .
Focus is shifted to initiatives and opportunities that target major business value.
Able to identify key gaps in IT Department capabilities and develop a business case for investment prioritisation to resolve .
S&A is able to optimally shape the Portfolio Planning Design to maximise investment and business outcomes .
Defined a useable Reference Architecture to support Portfolio planning.
Identifies business critical Systems and Applications . Applications enhancements are aligned with Criticality.
Opportunities to reduce the IT Department’s cost profile and complexity are identified and are built into investment and portfolio plans .
Define how to build and represent enterprise architecture across the organisation.
Improvement opportunities are identified and improve use, quality and efficiency across Applications, Technologies and Information.
Deep awareness of Technology Industry Trends, practices and Solutions. S&A able to proactively match innovation opportunities to business problems.
The Enterprise architecture influences procurement and negotiations with Vendors.
S&A leads a culture change across the IT Department and 'fosters' an innovation culture.
Provide Technology solutions that match Business Needs .
Establishes the Strategic Steering committee with a purpose to govern strategy and roadmaps.
Defines a fit for purpose Architecture to meet regulatory and compliance requirements and agreed risk profiles.
T1 T1 T1 T1
T10T9T5T4
T5T4
T9T5T3
T7
T2
T6
T3
T6T4
T8
T6
T6
T6
T6
Architecture Engagement Management
Architecture Practice Management
Architecture Support for Enterprise Strategy Architecture Support for Projects
Architecture Support for Programs & Portfolio Management
Architecture Governance
Solution Architecture Development
Program Architecture Governance
Project Architecture Governance
Architecture Quality Assurance Management
Technology Research
Technology Innovation
Architecture Blueprint Development Management
Architecture Roadmap Development & Management
Program Architecture Development
Architecture Support Program Inception
Architecture Budget & Estimate Development
Architecture Practice Governance
Architecture Repository Management
Architecture Demand Management
Architecture SLA Management
Architecture Performance Management
Architecture Talent & Resource Management
Strategic Vendor Engagement
Architecture Stakeholder Management
Architecture Communication Strategy & Execution
Architecture Practice Improvement
Architecture Partner Management
Architecture Practice Risk Management
Strategy Development
Architecture Engagement Management
Architecture Practice Management
Architecture Support for Enterprise Strategy Architecture Support for Projects
Architecture Support for Programs & Portfolio Management
Architecture Governance
Solution Architecture Development
Program Architecture Governance
Project Architecture Governance
Architecture Quality Assurance Management
Technology Research
Technology Innovation
Architecture Blueprint Development Management
Architecture Roadmap Development & Management
Program Architecture Development
Architecture Support Program Inception
Architecture Budget & Estimate Development
Architecture Practice Governance
Architecture Repository Management
Architecture Demand Management
Architecture SLA Management
Architecture Performance Management
Architecture Talent & Resource Management
Strategic Vendor Engagement
Architecture Stakeholder Management
Architecture Communication Strategy & Execution
Architecture Practice Improvement
Architecture Partner Management
Architecture Practice Risk Management
Strategy Development
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 58
ARCHITECTURE PRACTICE MATURITY
ISOLATED OPTIMIZING
LOSING FRAGMENTED
INTEGRATION IN THE ORGANIZATION
LEVE
L OF
ARC
HITE
CTUR
AL T
HINK
ING
L O W H I G H
LO
WH
IGH
Incrementally work on your practice vertically and then begin to roll this out to your business to move horizontally along this axis
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 59K
Q&A
C A PA B I L I T Y S TAT E M E N T - E N T E R P R I S E A RC H I T E C T S © 2 0 1 4 | PAGE 60
OUR LOCATIONS