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Ea As Strategy Ver1 0

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Unpacking of EA as Strategy

Unpacking of EA as Strategy

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  • Three Elements:Key Customers ( i.e. Segments and/or channels) the company servesKey Processes to be standardised and integratedShared Data – to integrate processes and and serve customers
  • When developing a Diversification model core diagram, start with the technologies that can be shared to provide economies of scale, standardisation, or other benefits. Incorporate the remaining elements – key customer types, business processes, and data – only when needed for the operating model.
  • When designing a Coordination model core diagram, start with the key customers (e.g. Segments and channels) to be shared across business units. Next, identify the subset of the company data that must be shared across the business units to serve key customers. Then, identify any technology that is key to the data integration. Finally, consider whether to include business process elements.
  • When designing a Replication model, start with the key processes to be standardised and replicated across the business units. Next, identify the technologies automating those key processes. Then consider what linking technologies, if any, can be shared across the business units.
  • Shift from local optimisation to global optimisation – this has an implication on organisation flexibility.
  • Shift from local optimisation to global optimisation – this has an implication on organisation flexibility.

Transcript

  • 1. Enterprise Architecture as Strategy – Unpacked ver. 1-0
    Creating a Foundation for Business Execution
  • 2. Think Change
    What seems like only a ripple today...
    Can become the wave of the future
  • 3. Overall Model – Foundation for Execution
    The Enterprise Architecture is the organising logic for business processes and IT infrastructure, reflecting the integration and standardisation requirements of the organisations operating model
    The operating model is the necessary level of business integration and standardisation for delivering goods and services to customers
    The IT engagement model is the system of governance mechanisms that ensure business and IT projects achieve both local and company wide objectives
  • 4. Four Operating Models
  • 5. Applying the Operating Model
  • 6. Implementing the Operating Model via Enterprise Architecture
  • 7. Enterprise Architecture for a Unification Model
    Linked and standard (core) processes
    Shared Data
    Process
    Key Customers
    Linking and automating technologies
    Automating Technologies
    Required
    Optional
    Linking Technologies
    Business Process
    Outcome
    Data
    Technology
    Customer Types
  • 8. Enterprise Architecture for a Diversification Model
    Shared Processes
    Business-unit-specific data
    Process
    Shared Technologies
    Business-unit-specific customers
    Required
    Optional
    Business Process
    Technology
    Outcome
    Data
    Stack
    Technology
    Customer Types
  • 9. Enterprise Architecture for a Coordination Model
    Shared Data
    Integrating Technology
    Process
    Shared Customers
    Linked Processes
    Required
    Optional
    Business Process
    Outcome
    Data
    Technology
    Customer Types
  • 10. Enterprise Architecture for a Replication Model
    Automating and linking technologies
    Business-unit-specific data
    Process
    Standardised Processes
    Business-unit-specific customers
    Required
    Optional
    Business Process
    Outcome
    Data
    Technology
    Customer Types
  • 11. Navigate the Stages of Enterprise Architecture Maturity
  • 12. Stages of Enterprise Architecture Maturity
    Business Silos Architecture:
    Where companies look to maximize individual business unit needs of functional needs
    Standardised Technology Architecture:
    Providing IT efficiencies through technology standardisation and, in most cases, increased centralisation of technology management
    Optimised Core Architecture:
    Which provides company wide data and process standardisation as appropriate for the operating model
    Business Modularity Architecture:
    Where companies manage and reuse loosely coupled IT-enabled business process components to preserve global standards while enabling local differences
  • 13. Architecture Maturity Stages
  • 14. Changes in organisational flexibility through Architecture Stages
  • 15. Learning requirements of the Architecture Stages
  • 16. How to apply Architecture Maturity Stages in Your Company
    Focus architecture on strategic organisational processes
    No company can afford to eliminate all its silos
    Move incrementally
    Skipping stages leads to either failures or delayed benefits
    Recognise that complex organisations have enterprise architectures at multiple levels
    Architectures at different levels of the company support different business objectives
    Build an architecture capability-in-house
    Business Strategy and IT Architecture requires a close relationship
    Aim for Business Modularity
    More-mature architectures reported greater success in achieving strategic goals
  • 17. Cash In on the Learning
  • 18. The Benefits of Enterprise Architecture
    Reduced IT Costs
    IT Operations unit costs
    Application maintenance costs
    Increased IT Responsiveness
    Improved Risk Management
    Reduced business risk
    Increased disaster tolerance
    Reduced security breaches
    Increased Management Satisfaction
    Greater senior management satisfaction
    Greater business unit leader satisfaction
    Enhanced Strategic Business Outcomes
    Better operational excellence
    More customer intimacy
    Greater product leadership
    More Strategic agility
  • 19. Enterprise Architecture Management Practices
  • 20. Enterprise Architecture Management Practices
  • 21. How Architecture Management Practices Evolve
  • 22. Build the Foundation One Project at a Time
  • 23. The IT Engagement Model
    Companywide IT Governance:
    Decision rights and accountability framework to encourage desirable behaviour in the use of IT
    Project Management:
    Formalised project methodology, with clear deliverables and regular checkpoints
    Linking Mechanisms:
    Processes and decision-making bodies that align incentives and connect the project-level activities to the overall IT Governance
  • 24. The IT Engagement Model
    ALIGNMENT
    Business
    IT
    Company Level
    Companywide IT Governance
    Company strategy and operations
    Enterprise Architecture
    CORDINATION
    Business unit Level
    Linking mechanisms
    Business unit strategy and operations
    Business unit architecture
    Project Management
    Project team Level
    Project Plan
    Project IT architecture
  • 25. Types of Linking Mechanisms
    Business
    IT
    Business Linkage
    • Program Prioritisation
    • 26. Business sponsors for projects
    • 27. Early stage involvement of people representing companywide objectives (e.g. Hot housing)
    • 28. Regular project reviews conducted by company level office
    • 29. Post-Implementation review tied to company goals
    • 30. Bonuses and incentives tied to company goals
    • 31. Process owners
    Enterprise Level
    Companywide IT Governance
    Business unit Level
    Project Management
    Architecture Linkage
    • Project Teams including architect
    • 32. Architecture exception management
    • 33. Architecture Training
    • 34. Project Funding and continuation dependent upon architecture compliance
    Project Level
    Alignment Linkage
    • Business-IT relationship managers
    • 35. Project Management Office
    • 36. Project Management Training
  • Use Enterprise Architecture to Guide Outsourcing
  • 37. Outsourcing Objectives
  • 38. Three Outsourcing Models
    Three mutually exclusive outsourcing Models
  • 39. Different outsourcing relationships are suited to different stages
  • 40. Sources of Reference
    J.W.Ross, P. Weill, D.C. Robertson, Enterprise Archictecture as Strategy, 2006, Havard Business School Press. ISBN: 1-59139-839-8
    http://www.architectureasstrategy.com
  • 41. If you have one last breadth use it to say...