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Poster No 2: Enterprise maturity model
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Poster No 2: Enterprise maturity model


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Based on a consortium of industry benchmarks and best practices from more than 60 leading organizations from industry, academia and fortune 500 companies the authors have develop the Competency …

Based on a consortium of industry benchmarks and best practices from more than 60 leading organizations from industry, academia and fortune 500 companies the authors have develop the Competency Maturity model.

The Maturity model assess the current organization maturity and identifies the “precise” value in €, £ or $ that IT has created over the past 12 months and “predict” exactly how much future value you could create for your business by improving the way you do certain things based on industry benchmarks and best practices.

Please fee free to contact either of the authors Mark von Rosing or Henrik von Scheel

Published in: Business

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  • Based on a consortium of industry benchmarks and best practices from more than 60 leading organizations from industry, academia and fortune 500 companies the authors have develop the Competency Maturity model.

    The Maturity model assess the current organization maturity and identifies the “precise” value in €, £ or $ that IT has created over the past 12 months and “predict” exactly how much future value you could create for your business by improving the way you do certain things based on industry benchmarks and best practices.

    Please fee free to contact either of the authors Mark von Rosing or Henrik von Scheel
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  • 1. Enterprise Maturity Model Plan, identify, create and realize value with your competency developments Business Value - EMM-VM Business Performance - EMM-PM Business Model Business Model - EMM-BM IT – End-user Focus - EMM-EF 1 2 3 4 5 1 2 3 4 5 EMM-BM 1 2 3 4 5 1 2 3 4 5 Initial Repeatable Defined Managed Optimized Initial Repeatable Defined Managed Optimized Process & Process & Initial Repeatable Defined Managed Optimized Functional Functional & Process Process-centered Performance-oriented Value-orientedROI and business value of Some TCO reduction, value Value drivers are defined and Value Managed - Value Business Value Manage- Initial Performance -None, Some are developed, shared Performance metrics are Performance metrics are For continuous improve- IT At the Initial stage of the At the Repeatable Business At the Defined Business Business Model competen- At the Optimizing stage of Initial and chaotic end-user Repeatable end-user focus: Defined end-user focus: Managed end-user focus: Optimized end-user focus:local business initiatives: creation and realization is standards are established: planning, creation and ment are implemented undocumented or just local and are repeatable defined, documented and managed across the ments and optimization -E Business Model compe- Model competency stage, Model competency stage, cies are managed: Business Model, the focus: lue repeated across processes realization is managed across the value chain for performance metrics: performance metrics: standards are established: enterprise: performance management is tency, the organizational policies for building, the standard process for competency development Initiate end-user risk End-user actively involved Enhanced end-user risk End-user orientated nd Va No/Minimal established and functions: Standardized TCO, ROI across the enterprise: continuous value creation used across the value chain: focus is typically around developing and managing developing and maintaining The organizational focus are focused on continuous No established end-user management in risk management management mindset EM -use Value planning on and other Value drivers at and realization improve- No established perform- Basic/minimal operational Multiple operational The operational perform- functional and silo work: the business model are the Business Model is typically build around competency improvement, Governance structure strategic level Some basic/minimal the department level or Migrating to standardized ments and optimization: s established: competencies across the Process and optimization, innovation and es -VM ance practices and performance standards/ performance metrics KPIs ance metrics - Key From Strategic, tactical to Incorporating end-user End-user competencies End-user issue resolution Continuous improve- value standards/metrics above are defined enterprise value drivers standards metrics and practices managed Performance Indicators operational level, No/Minimal established organization is documented: Performance-oriented improvement: Ad hoc or informal issue resolution documented and is managed ments of end-user risk M rF sin M Value realized is in an ad and practices are with periodic updates Standardized enterprise established (KPI’s) are connected with corporate wide perform- Business Model The organizational focus work communications to communicated formally management 5 5 -E Bu EM F ocu hoc fashion as there is no established (e.g. Value competencies value processes with Leadership is only aware Performance competen- the tactical (CSF’s) and ance standards/ metrics is typically build around The organizational focus The organizational focus end-users Establish some end-user End-user or minimal link between TCO/ROI measurements documented and Value becomes subject to periodic updates of key milestones Some KPI’s managed cies documented and strategic (SBO’s) and practices are Organization structure functional and process is typically build around Business Model is typically build around communications within IT End-user issue resolution issues/feedback User Governance value planning and value realization initiated) communicated formally some degree of improvement over time Value Governance in Minimal corporate wide beyond cost and schedule communicated formally performance metrics established s established but not captured in a Business work process-centered work competency develop- ment determines with Process and Value oriented work No clearly defined end-user issue resolution projects, department, Competence of is defined monitored and analyzed. structure is incorporated in the Business Govern- Business units follow Established and place for Continuous reporting Established performance Implementing SLA’s to Formal training and Model There is some Business Standardized Business what and in which way process Excellence Formal end-user Managed end-user ance Management No value practices and basic formal value communicated value Value drivers defined improvement Formal key milestone measurement practices ensure performance communications of the Model standardization Model with detailed the company will Continuous business communications to communications plan and framework standards across practices practices and standards receive periodic updates Reporting generally within reporting to Leadership and standards commitments are realized performance practices HR time allocations and across enterprise competencies for the compete and how it will model competency Minimal end-user risk Understand and initiate stakeholders approach enterprise SLA’s in place and built project teams rather than and stakeholders (e.g. and standards cost are not measured entire company, with differentiate its compe- optimization and management some end-user Govern- Clear end-user communi- Some value KPI’s Formal value milestone Refined, targeted value with business with to all stakeholders Balance Score Card) Formal milestone and Performance is monitored Minimal Business Model periodic updates tencies from its competi- improvement ance structure Establishing end-user Clear end-user Govern- cation and issue None or initial local managed and metrics from realization managed, periodic reporting (as metrics reporting to and analyzed SLA’s in place and built Some business documentation tors End-user is not treated as Governance structure ance structure in place resolution process monitoring of value strategic to operational monitored and analyzed defined in SLA’s) People follow if at all any Performance is monitored Leadership and with business with processes identified Business Model is Business Model a customer and or No dedicated end-user Business case is used to level than informal or only and analyzed stakeholders Strategic Performance periodic reporting (as Ad hoc Business Model defined with core Business Model Governance in place for partner focus development team End-user treated as End-user treated as Fully aligned end-user Business units follow define value Value drivers Value lessons learned measure cost and Lessons learned defined in SLA’s) 4 4 No standardization communication competitive and core competencies are Continuous competency customers partner focus with Business informal practices or only Value reporting to documented, trained, incorporated for all schedule No dedicated Perform- Performance is monitored incorporated in major across Business Model differentiated. managed enterprise wide development People follow if at all any End-user focus teams Governance measure value on cost Local monitoring of value Leadership and shared, communicated changes ance development team and analyzed competency optimization Green processes are Some business than informal End-User and projects work with End-user development Strategic end-user and schedule stakeholders frequently Perfromance teams or and developments monitord and green Value the customer processes documented Business Model Migrating to the Enterprise wide Business focus practices centralized focus (virtual lessons learned is Lessons learned Focus of end-user team Value Documentation is Fully aligned value projects are ad hoc Performance teams and Performance lessons sustainability processes receives from the from and implimented competencies are used standardized enterprise Performance Manage- or not virtual) initiated incorporated in major SW is on ensuring end-user No dedicated team to minimal and not shared Business case is used to Implementing SLA’s to management witht projects work with learned is initiated Green processes are are incorporated into the the product or service is at the department level or wide business model ment incorporated in End-User focus teams changes value is received ensure value is received identify, create and realize ensure value commit- Business Model No dedicated perform- centralized focus (virtual managed Business Performance defined but not in a Value the customer above and documented business model are ad hoc Some end-user focus Defined end-user No dedicated team to value ments are realized innovation and transfor- ance teams or not virtual) Start of defining business model receives from the from and communicated Process Governance in competencies ownership ownership Focus of end-user team 5 5 People follow if at all any ensure value is created or mation Performance ownership Performance teams are Performance is monitored the product or service is formally place for Continuous No dedicated End-User is on ensuring end-user than informal or only received Value documented and Value lessons learned Some Performance (held at business level) dedicated to ensure and analyzed The company has captured in a business Business Model Enterprise wide Business focus team Dedicated end-user team performance and measure realized value communicated formally incorporated -major Green sustainability value ownership performance is received determined in what model Business process competency improve- Value Management satiesfaction (e.g ROI) Value teams and projects competency develop- drivers are in place for Dedicated Performance business segment the centered ment incorporated in business 3 3 work with centralized Value ownership held with ments Continuous sustainability team company does and will The Business Model model competency Metadata - EMM-MDM IT Co MM-I Value teams or projects focus (virtual or not the business improvement compete and how it will includes how the Business process Performance manage- innovation M- ion are ad hoc virtual) Green value expectations differentiate its product or business will produce, ownership from business ment in place for 1 2 3 4 5 e - S tenc E Value lessons learned is are managed Dedicated value (process) service from its competi- price, promote and Continuous Business Fully aligned business mp Or rvic SO No dedicated Value Some Value ownership initiated team to ensure value is tors – this is however not distribute that value to the HR time allocations and Model competency architecture and business Initial Repeatable Defined Managed Optimized 4 4 tat teams Focus of Value teams is received defined, innovated or customer and how the cost are measured for improvement Governance oft Enterprise Architecture - EMM-EA e Dedicated Value team are dedicated to ensure developed in a busines business receives value high-profile projects Manual mode: Siloed, but automated: Master Metadata Manage- Managed with integrated Optimized with full automa- Se innovation, transforma- model (payment) in return Sustainability is incorpo- Business Model lessons ien ment defined and exchange metadata architecture: tion of metadata exchange: wa es tion, and performance is Teams work with rated into the Business learned incorporated for received 1 2 3 4 5 No or Minimum integra- Metadata in some between silos: TS Teams are ad hoc Some business model centralized focus (virtual Model competencies all strategic decisions EM tion with other applica- business units (typically Standardized enterprise- Corporate wide MDM Initial Repeatable Defined Managed Optimized ownership or not virtual) tions limited to pilot) re MDM has been adapted wide MDM performance standards/ 2 No dedicated Business Strategic Lessons Dedicated Business i 2 as a strategic enterprise- metrics and practices are W Model development team No dedicated Business Business Model learned incorporated in Model competency 3 Initial informal IT architecture Repeatable IT architecture Defined IT architecture Managed and measured IT Continuous improvement of 3 Metadata methods are if Minimal metadata wide IT strategy MDM Migrating to established (integration, process underway: process in some business including detailed written architecture process: IT architecture process: Model development team competency develop- major business model innovation and transfor- at all ad hoc documented standardized enterprise relation, usgae, duplica- units (typically limited to key procedures and TRM: People are in ment lessons learned is changes mation team to ensure An enterprise-wide MDM drivers (business tion etc.) Some ad hoc and LOB or a pilot): Quality metrics associ- Fully aligned Business, silos/functional depart- Teams work with initiated value is received and Very little or just initial The organization moves model is defined and need/want) with periodic localized IT architecture The architecture ated with the architecture Enterprise and IT ments centralized focus (virtual Business Model competitive advantage is metadata standardization in some areas toward used - leveraging updates MDM Performance is processes are defined Basic IT architecture competencies are well process are captured Architecture with or not virtual) Defined Business Model competency develope- developed across enterprise some form of metadata structured, mature, data monitored and analyzed process is documented defined and communi- Business Model ownership ment team are dedicated standards modelling MDM monitored and Business Governance - EMM-BG There is no unified cated to IT staff and IT architecture documen- innovation and transfor- No dedicated Business to ensure innovation, Low metadata adoption, analyzed MDM SLA’s in place, with architecture process The architecture process business tation is updated on a mation Model development team Dedicated Business transformation, perform- 2 2 re-use and interoperabil- Metadata are not A set of MDM periodic reporting (as 1 2 3 4 5 across technologies or has developed clear roles regular cycle to reflect the ity. well-managed (eg. standards/principles have MDM standarts becomes defined in SLA’s) business processes and responsibilities The IT architecture updated IT architecture Concerted efforts to metadata monitoring been defined subject to some degree Initial Repeatable Defined Managed Optimized process is largely optimize and continu- 1 1 No metadata principles, infrastructure does not of improvement over time Dedicated MDM team Success of IT architec- IT vision, principles, followed Business, Data, ously improve architec- standards and own best exist) MDM architecture isInitial or very little local The need for committees to Governance initiatives are Governance standards are Governance roles, responsi- ture depends on business linkages, Application, and ture processGovernance is in place: define the Governance defined and clear roles and managed, where commit- bilities and initiatives are individual efforts baseline, and Target Gap analysis and Technology Architectures IT - Software Competencies - EMM-ITSW practices are available. Business units follow Lifecycle of metadata not initiated MDM documented, trained/ shared /data MDM lessons learned, incorporated major standards and processes responsibilities are starting tees are defined and work reviewed and optimized to Architecture are identified migration plan are defined by appropriate de A standards and waivers informal metadata defined appropriately. structure, and model is changes An MDM team is No/Minimal established are under development: to form: together: incorporate continuous IT architecture processes, completed jure and de facto process is used to 1 2 3 4 5 practices 1 established with a well communicated to 1 5 5 Governance changes to the overall documentation, and Architecture standards standards improve architecture Initial Repeatable Defined Managed Optimized Metadata structure and relevant places (incl. MDM benchmarks are defined MDM Govern- Some Governance Standardized Govern- Migrating to standardized Business Governance standards are established exist, but not necessarily Fully developed TRM and development process Metadata documentation automation benefits are strategic partners) performed ance model 4 4 Governance work across enterprise ance, with periodic Corporate Governance Framework: by a variety of ad hoc linked to Target Architec- Standards Profile Capital planning and is minimal / not shared not quantified. At the Initial stage of SW At the Repeatable stage, At the Defined stage, the At the Managed stage, the At the Optimizing stage of performed in an ad hoc updates with periodic updates means and are localized ture. Technical Reference investment are adjusted Architecture process 3 3 capabilities, the organization policies for managing a standard process for organization sets quantita- SW capabilities, the entire MDM competencies Implementing enterprise MDM is well-managed fashion Some established Business Model or informal Model (TRM) and IT goals and methods are based on feedback metrics are used to None or initial local No dedicated team for wide MDM SLA’s with measurable metrics, typically does not provide a software project and developing and maintaining tive quality goals for both organization is focused on lessons learned is Governance practices Governance ownership Different Governance Governance, Perform- 2 2 Standards Profile identified received and lessons optimize and drive stable environment for procedures to implement software across the software products and continuous SW process monitoring of metadata metadata initiated defined SLA and service No established Govern- and standards held with the business (IT, models initiated: ance Governance and Minimal or implicit linkage framework established learned from updated IT business linkages. Strategic MDM Lessons operations managed developing and maintaining those policies are organization is documented, processes: improvement: 1 1 ance practices and Corporate, Process, etc.) • Corproate Governance Value Governance is between IT architecture IT architecture is architecture Business involved in the People follow if at all any Metadata focus teams learned incorporated in software: established: including both software MDM lessons learned is standards Minimal Governance • IT Governance added to the Business and the business Explicit linkage to integrated with capital continuous process than informal informal and projects work with major IT changes engineering and manage- SW competency SW competency initiated documented Governance competen- • Architecture Govern- Governance Framework strategies and/or business strategies planning and investment Link between business improvements of IT metadata practices centralized focus (virtual When an organization Planning and managing ment processes: performance manage- Governance structure is Governance documenta- cies documented and ance business drivers control model and business architecture or not virtual) Focus of MDM team is on lacks sound management new projects is based on ment parameters are incorporated in the IT Defined MDM ownership tion is minimal and not No direct link between communicated formally • Service Governance The Business Govern- Management awareness architecture No dedicated team for ensuring MDM quality practices, the benefits of experience with similar Standard software identified and Governance framework shared corporate Governance • Process Governance ance Framework is used Limited management of architecture effort Senior management team Senior management metadata Some Metadata and performance good software engineer- projects process. implemented Dedicated MDM team and IT Governance Governance lessons • Sustainability Govern- as a part for Continuous team awareness or aware of and supportive Senior management team involvement in optimizing ownership ing practices are SW competency process Very little or just local learned initiated ance improvement Perform M involvement in the Responsibilities are of the enterprise-wide involved in the architec- process improvements in undermined by ineffective An objective in achieving Processes are used and Productivity and quality monitoring and perform- DM 1 Governance No dedicated Govern- 1 architecture process assigned and work is architecture process ture review process architecture development ta Busine planning and reaction- stage 2 is to institutional- changed, as appropriate are measured for ance ance team Green sustainability Different Governance Business Governance underway and governance EMM-P People follow if at all any governance is defined models documented, lessons learned Little operating unit Management actively The entire operating unit driven commitment ize effective management to help the software important software IT - System Competencies - EMM-ITS Metada systems processes for software managers and technical process activities across The organization has the than informal Governance Governance teams and trained, shared, incorporated for all acceptance of the IT The IT security architec- supports architectural actively participates in the Feedback on architecture EMM-M standards projects work with Dedicated Governance communicated frequently changes architecture process ture has defined clear standards IT architecture process process from all During a crisis, projects projects, which allow organizations to repeat staff perform more effectively all projects as part of an organizational measure- means to identify weaknesses and 1 2 3 4 5 centralized focus (virtual team 2 2 roles and responsibilities operating unit elements is typically abandon successful practices ment program strengthen the process Initial Repeatable Defined Managed Optimized Governance teams or or not virtual) Different Governance Focus of Governance None or minimal Most elements of Architecture documents used to drive architecture 1 1 planned procedures and developed on earlier The organization exploits proactively, with the goal projects are ad hoc models measured and team is value creation ance communication exists Governance of a few operating unit show updated regularly, and process improvements ss revert to coding and projects, although the effective software An organization-wide of preventing the Local IT applications Shared technical Company-wide standard- Plug-and-play IT business Seamless merging with Some Governance managed periodically and realization about the IT architecture architectural standards acceptance of or are often reviewed for latest testing specific processes engineering practices software process occurrence of defects process modules 1 platforms ized IT processes and/or partners’ systems No dedicated Govern- ownership process and possible and some adherence to actively participating in architecture develop- Architecture documents implemented by the when standardizing its database is used to Mostly uses “what is databases ance teams process improvements existing Standards Profile the IT architecture ments or standards are used by every 3 3 Success depends entirely projects may differ software processes collect and analyze the Data on the effectiveness available” rather than Plan for migration from IT Platforms centralized IT and Process monitor- process decision-maker in the on having an exceptional data available from the of the software process is “what is best” “what is available” to the IT Platforms minimized ing and performance IT security considerations Little or no formal Periodic re-examination organization for every manager and a seasoned An effective process can There is a group that is projects defined software used to perform cost Centralized technical better shared system are ad hoc and localized governance of IT Architecture documents of business drivers IT-related business work and effective software be characterized as responsible for the processes benefit analyses of new Methods are ad hoc for Functional and technical Standardized and investment and acquisi- updated regularly on DoC decision team practiced, documented, organizations software technologies and Hot Packs up-to-date / Ad hoc methods for Hot work defined, planned, Hot Packs up-to-date optimized IT system Little or no adherence to tion strategy IT architecture web page Performance metrics 4 4 enforced, trained, process activities, eg. a Software processes are proposed changes to the upgrades Packs updates budgeted and managed with planned approach across enterprise existing standards associated with IT Feedback from IT security 2 2 Occasionally, capable measured, and able to software engineering instrumented with organizations software Operating unit demon- IT security architecture security architecture are architecture metrics are and forceful software improve process group well-defined and process Instance consolidation Very little or just initial IT Documented, planned Hot Packs up-to-date / IT system Governance is No explicit governance of strates some adherence Standards Profile is fully captured used to drive architecture managers can withstand consistent measurements plan prepared and system standardization shared approach for upgrade path followed incorporated in the architecture to existing Standards developed and is process improvements the pressures to take Projects in stage 2 An organization-wide Teams analyze defects to executed across enterprise upgrades Business Governance Service Orientation - EMM-SO Profile integrated with IT Explicit governance of all 5 shortcuts in the software organizations have training program is These measurements determine their causes 5 2 IT Governance is aligned Management framework Little or no involvement of architecture IT investments Explicit governance of all process; but when they installed basic software implemented to ensure establish the quantitative IT Governance is Documentation is minimal Plans, method, and with corporate Govern- 1 2 3 4 5 strategic planning and acquisition personnel in Some EA reseources but not a dedicated EA Explicit documented Formal processes for IT investments. A standards and waivers leave the project, their management controls that the staff and foundation for evaluating Software processes are / not shared approach documented / ance incorporated with the process Governance IT system aligned with Initial Repeatable Defined Managed Optimized stabilizing influence managers have the the projects software evaluated to prevent shared structure performance manage- the enterprise architec- development team governance of majority of managing varying process is used to make leaves with them Realistic project knowledge and skills processes and products known types of defects IT system teams are ad IT system development ment & governance ture process IT investments feedback into IT governance-process commitments are based required to fulfill their from recurring, andInitial and Incomplete Repeatable Services and Services defined and Managed Services: Simple Optimized Services: hoc No dedicated IT system lessons learned is IT system fully aligned EA teams and projects architecture improvements Even a strong engineer- on the results observed assigned roles Projects achieve control lessons learned are with EAServices: Integrated (application componentized (functional services (process integra- Virtualized services (virtual 3 development team initiated Dedicated Business People follow if at all any work with centralized IT acquisition strategy 3 ing process cannot on previous projects and over their products and disseminated to other integration): integration): tion) and/or Composite infrastructure) and/or No dedicated IT system Model competency than informal EA focus (virtual or not exists and includes All planned IT acquisitions No unplanned IT overcome the instability on the requirements of Projects tailor the processes by narrowing projects Strategic Lessons No/Minimal established services (supply-chain Dynamically reconfigurable development team IT system teams and Defined IT system innovation and transfor- practices virtual) compliance measures to and purchases are investment or acquisition created by the absence the current project organizations standard the variation in their learned incorporated in services Service in some business Service has been integration: services (eco-system projects work with ownership mation team to ensure IT enterprise architecture incorporated into the IT activity of sound management software process to process performance to Continuously improving major IT system changes units (typically limited to adapted within IT and integration): centralized focus (virtual value is received and EA teams or projects are Some EA ownership architecture governance practices The software managers develop their own defined fall within acceptable SW capabilities - improve Initial web services or key IT projects/LOB or a processes as a strategic Service has been or not virtual) IT system team focuses Green IT systems are competitive advantage is ad hoc Cost benefits are Value planning, identifica- for a project track software process, which quantitative boundaries the range of their process service-based (eg. silo-ed pilot) enterprise-wide architec- institutionalized in the Service enablement goes on optimization and identified and green developed considered in identifying Architecture lessons tion and creation is 3 The software process software costs, sched- accounts for the unique competency, thereby integration) activities that tural strategy enterprise (IT and beyound IT and process Some IT system performance sustainability processes No dedicated EA team projects learned are incorporated implemented across competency of Level 1 ules, and functionality; characteristics of the Meaningful variations in improving the process are project-centric, Minimal Services processes) and includes bsuiness ownership are incorporated into the in all major changes architecture development organizations is problems in meeting project. (projects defined process performance can performance of their IT system experimental and often documented in an An enterprise-wide SOA model competency Architecture Governance unpredictable because commitments are software process) be distinguished from projects SOA technology-focused enterprise-wide service service model is defined Standardized enterprise- service is fully integrated with IT Architecture Governance Architecture Governance 4 4 the software process is identified when they arise random variation (noise), catalogue - EVP form and used - leveraging wide service consump- Governance is fully integrated with: is integrated with Value constantly changed or A defined software particularly within Value planning, identifica- M ten em The organization starts (Excel, Visio, Powerpoint) mature, integrated tion internally or externally The organization now TS es • Corporate Gov. Governance Business Process - EMM-BP Bu er -B modified as the work Software requirements process contains a established product lines tion and creation is G EM from proprietary and quite process and data - not quite on a large creates a virtualized EA lessons learned is • Service Gov. progresses (i.e., the and the work products coherent, integrated set implemented across the -I ci EM pe yst ov M ad-hoc integration, The organization moves modelling scale -- but it acts as a infrastructure to run initiated • Process Gov. si na G rendering the architecture toward some form of service provider, applications. It achieves • Performance Gov. process is ad hoc). Schedules, budgets, developed to satisfy them are baselined, and their of well-defined software engineering and The risks involved in moving up the learning SW developement and mainatance planning and 1 2 3 4 5 ne nc brittle in the face of SOA - EAI (Enterprise A set of SOA nonetheless this level after decoupling Defined EA ownership Initial Repeatable Defined Managed om S functionality, and product integrity is controlled management processes curve of a new applica- execution change Application Integration), standards/principles have the application, its quality are generally tion domain are known ss e C IT - albeit with proprietary been defined Service extension into the services, components, Dedicated EA team 4 unpredictable Software project A well-defined process and carefully managed SW competency SLA’s in Initial and chaotic: Some processes are Defined and documented Managed processes: Optimized - continually Service work performed connections and value chain and service and flows standards are defined, can be characterized as place and built with repeatable: standard processes improving process perform- in an ad hoc fashion integration points At this level, the eco-system Green processes are ance through both organization componen- Dynamically 5 5 Performance depends on and the organization including readiness Trend predicion in business with periodic No/Minimal established established and subject to Migrating to standardized Optimized defined and green the capabilities of ensures they are faithfully criteria, inputs, standards process and product reporting (as defined in processes Minimal documented, some degree of improve- enterprise processes with incremental and innovative Silo services (data Services are not tizes and modularizes Services form a contract re-configurable software sustainability processes technological individuals and varies with followed and procedures for quality within the SLA’s) implemented processes ment over time: periodic updates integration) well-managed (eg. major or critical parts of among suppliers, architecture can are incorporated into the changes/improvements: their innate skills, performing the work, quantitative bounds of Work performed in an ad with owners identified service monitoring its application portfolio consumers, and brokers compose services at EA knowledge, and The software project verification mechanisms these limits SW competency lessons hoc fashion Standardized processes, Process ownership held Processes Governance is Service documentation is infrastructure does not who can build their own run-time using external- motivations works with its subcon- (such as peer reviews), learned incorporated for Some process standardi- at the department level or with the business used for continuous minimal and not shared exist, SLA not tracked, The service integration eco-system for ized policy descriptions, tractors, if any, to outputs, and completion When these limits are all changes No standardization zation across enterprise above, with periodic improvement lifecycle of services not between components is on-demand interaction management, and There are few stable establish a strong criteria exceeded, action is taken across enterprise updates Processes documented, Low service adoption, defined appropriately, through their interfaces monitoring software processes in customer-supplier to correct the situation Fully aligned SW Processes documented, trained/ shared / Standardized enterprise re-use and interoperability etc.) and the contracts Service business and processes with periodic evidence, and perform- relationship Management has good competency develop- Process ownership communicated as they Processes competencies communicated frequently between them technology benchmarks Business processes are updates ance can be predicted insight into technical Software products are of ment and innovation with partially defined are approved or documented and No service principles, Service benefits are not managed/automated 5 only by individual rather Disciplined software progress on all projects predictably high quality Business Model periodically (ad hoc communicated formally Processes measured and standards and best quantifiable An enterprise-wide The service portfolio is based on quantitative Process lessons learned than organizational process competency, innovation and transfor- Documentation is minimal fashion) managed periodically practices are available service catalogue/registry well-managed with feedback, optimizing incorporated for all competencies because planning and SW product lines, cost, Value planning, identifica- mation and not shared Process lessons learned changes No dedicated service is in place measurable metrics, business goals tracking of the software schedule, and functional- tion is implemented No dedicated Business is initiated Process lessons learned People follow if at all any orientation development defined SLA and service Bus e People are in project is stable and ity are under control, and across the SW develope- Process teams are ad process development incorporated -major r p r i s re than informal service team A Service Orientation operations managed Service design includes Processes fully aligned in silos/functional depart- earlier successes can be software quality is ment and mainatance hoc team Process ownership held changes with performance P ro c e s s Ente ectu orientation practices team is established with a intelligent mechanisms for ments repeated tracked planning and execution with the business management & govern- Service orientation teams well defined Governance Strategic Service real-time changes in ance Process projects and Process teams and Process competency EMM ess t Service enablement and projects work with model Orientation Lessons service abilities based on rc h i - E A The projects process is Understanding of the IT SW competency teams are ad hoc projects work with Green processes are developement team are teams are ad hoc centralized focus (virtual learned incorporated in activity monitoring and Enterprise-wide Business A under the control of a PM activities, roles, and developement team are centralized focus (virtual identified and green dedicated to ensure or not virtual) Service Orientation major competency performance and value Value Management No dedicated Service enablement team Some service orientation lessons learned is initiated developments management -BP EMM system, following plans based on the perform- responsibilities in a defined software process dedicated to ensure innovation, transforma- No dedicated Business process development or not virtual) sustainability processes are incorporated innovation, transforma- tion, performance and is incorporated in business process optimization and ance of previous projects tion, performance and is team Some business process received innovation ownership Service Team focus is on SW development lessons received ownership Dedicated Business Defined service owner- service innovation, learned is initiated process team Process Governance is Business Processes fully ship transformation and fully integrated with: aligned with business performance architecture and Value • Corproate Governance • IT Governance Governance = Core Competitive = Core Differentiated = As-Is = To-Be = Revenue (H, M, L) = Cost (H, M, L) = Value Opportunity = Performance Opportunity • Service Governance Process team has • Enterprise Arc. Gov. ownershipMaturity Models About the AuthorsThe Capability Maturity Model (CMM) was developed from 1987 to 1997. CMMI is the successor achieve a higher maturity level would be far greater than the possible gain. This may effectively • Business Process competencies - called EMM-BP The Enterprise Maturity Framework with the Enterprise Maturity Wheel and thereby all the Many organizations find value in measuring their progress by using one or many of the men- Author: Prof. Dr. Mark von Rosing Author: Henrik von Scheel Contributor: Prof. Dr. Karin Gräslundof the CMM, or software CMM. In 2002, CMMI Version 1.1 was released. CMMI was developed by “blind” an organization to the most effective use of its capabilities and resources. • Business Model competencies - called EMM-BM different Enterprise Maturity Models and the Competency Maturity Development approach is a tioned CMM models. The different CMM models are typically used for one or more of the follow- As the Managing Director for Value Team ApS, specialized in strategic management and market With more than 15 years experience in leading the transformation of the businesses, strategies, As a Professor for Business Information Management at the Wiesbaden Business School of Rheinthe CMMI project, which aimed to improve the usability of maturity models by integrating 3 • Value Management competencies - called EMM-VM holistic enterprise maturity and competency development concept – taking all major business ing reasons: analysis, Prof. Mark von Rosing has been serving the top 5 consulting companies and many of the processes and technologies of numerous Fortune 500 companies and recognised for his proven Main University, Germany, Karin Gräslund teaches Masters of Art s in Finance specifically indifferent models into one framework. The project consisted of members of the industry, the This narrow focus makes CMM/CMMI limited to real essential improvement (e.g. effectiveness • Performance Management competencies - called EMM-PM and technology competency perspectives into consideration. Such a holistic framework with • You learn from the different competency best practice. fortune 500 companies over the years. He is in every way an entrepreneur with a proven track track record of profitable growth and ability to adopt to constant changing environment by devel- Enterprise Information and Performance Management since 2007. She educates her Bachelorgovernment and the Carnegie Mellon Software Engineering Institute (SEI). The main sponsors and efficiency). In 2009, four universities therefore joined their combined forces to further inno- • Business Governance competencies - called EMM-BG usable methods and approaches is not only a powerful tool for performance, value creation and • Your visibility into the organizations activities is increased to help you ensure that you record for delivering results. Worth mentioning is: oping, implementing strategies and organizational changes needed to penetrate mature and emerg- Students of Business Administration in 3rd and 6th Semester in basic and advanced course ofincluded the Office of the Secretary of Defense (OSD) and the National Defense Industrial Asso- vate and develop the maturity models. These four universities are part of the Global SAP Univer- • Service Orientation competencies - called EMM-SO business governance, but a unique ability to analyze, define, standardize, optimize or innovate meet the customers expectations. • He just received IBM’s prestigious “Growth Award 2009” for contributing as the ing markets. modern and value-oriented Business Process and Enterprise Performance Management:ciation. CMMI currently addresses three areas of process interest: sity Alliance which consists of more than 900 universities. From all theses universities four • IT – End-user Focus competencies - called EMM-EF ones business competencies, but also the underlying processes and activities. • Link your organizations business model to your activities and enterprise architecture. strongest growth enabler across EMEA • She is responsible SAP University Alliance Representative of the Rhein Main University 1. CMMI for Development - adresses product and service development processes universities (both IT universities and business schools) dedicated their time and resources in • IT - Software competencies - called EMM-ITSW • To develop the business model with all the different competencies (resources and • The Co-developer of SAPs global Business Process Management Framework and Henrik is co-author of SAP Press New Business Performance Management book: Applying real- • She is involved in the Business By Design Activities of the Wiesbaden Business School 2. CMMI for Acquisition - adresses supply chain management, acquisition, and three different countries with vested research interest in Business Process Management, Strategy, • Metadata competencies - called EMM-MDM LEVEL 1: INITIAL LEVEL 2: REPEATABLE LEVEL 3: DEFINED LEVEL 4: MANAGED LEVEL 5: OPTIMIZED capabilities) which produce internal and external values and map processes, value and approach world BPM in an SAP environment as well as the book: Strategies of the future. He is a guest • She trains the SAP TERP10 Certification Program for SAP Education since the beginning outsourcing Economics, Business Modelling, Value Management, Performance Management, IT and Enter- • IT - System competencies - called EMM-ITS General Administration General Administration General Administration General Administration General Administration performance drivers. • Designer and co-developer of the new SAP BPX certification program for associate and lecturer at the Copenhagen Business School on Performance and Value Management. of the TERP10 Pilot project 3. CMMI for Services - adresses guidance for delivering services prise Architecture. They brought together a rich blend of both academic and industry experience Strategic Planning Strategic Planning Strategic Planning Strategic Planning Strategic Planning • Define which core competencies (Differentiated and Competitive) should be service professional • She cooperates with SAP in the area of Applied Sciences within her master curriculum The Enterprise Maturity Model Wheel Build company vision Build company vision Build company vision Build company vision Build company vision 4. CMMI Product Suite (includes development, acquisition, and services) to contribute to a maturing field in Business and IT. The research and development team was Business unit planning Business unit planning Business unit planning Establish KPI’s enabled. • Main author of SAP Press New Business Performance Management book on Applying Henrik is currently the Vice President of IBM Software Group for NorthEast Europe and serves as • She is a member of the BPM Roundtable and the BI Roundtable at SAP University lead by Prof. Dr. Mark von Rosing (Copenhagen Business School and IT University, Denmark), L H M M H M H M H M • Link IT system, software, end-user focus, enterprise architecture with your processes and real-world BPM in an SAP environment Board of Director at Qosmos SA, Collax GmbH, SIRIUS advisor and WebiCoNet Holding GmbH. AlliancesCapability Maturity Models (CMM) are in general improvement approaches that helps organiza- Siavash Moshiri (Sheffield Business School, United Kingdom), Prof. Dr. Karin Gräslund This Enterprise Maturity Wheel (EMW) approach aims to help prioritize and align IT investments 1-3 months 3-6 months 6-9 months 9-12 months 12-18 months your business model. • Author of numerable publications in the area of Business Model Management, Businesstions improve their performance. CMMI can be used to guide process improvement across a (Wiesbaden Business School, Germany) and Ann Rosenberg (SAP and IT University, Denmark). – to realize values that matter the most in reaching strategic business objectives – both short and Underperformers Followers Performers Outperformers • To determine how well the organization’s capability compare to the different CMM best Process Management, Value Management & Sustainability Contact information: Prof. Dr. Helmut Krcmar (today Business Information Management at TU Munich) recruitedproject, a division, or an entire organization. CMMI in software engineering and organizational long term. This concept of combining the different maturity models has proven to be an impor- Effectiveness Efficiency Innovation practices, and to identify areas where improvement can be made. • Head and founder of the Global University Alliance BPM and Enterprise Architecture E-mail: or Phone: +45 28 80 92 81 Karin Gräslund as research associate at the University of Hohenheim, Stuttgart from 1994 anddevelopment is a trademarked process improvement approach that provides organizations with The maturity model development had the following focus: tant differentiator when planning, identifying, creating and realizing the wanted value and = Core Competitive = As-Is = Revenue (High, Medium, Low) = Value Opportunity • To inform external customers and suppliers of how well the organization’s competencies curriculum program (consist of 900 Universities) employed her as head of Publice Service Consulting team in his Enterprise ITM 1997.the essential elements for process improvement. • Enterprise maturity models where a company can focus not only on capabilities but on performance. The competency maturity models can be used (e.g., by a business model, process, = Core Differentiated = To-Be = Cost (High, Medium, Low) = Performance Opportunity compare to different CMM best practices. • Member and co-developer of the Global TOGAF Business Architecture development Contributor: Ann Rosenberg 2000 she began to work for SAP Germany as consultant and project manager for ERP Planning capabilities and resources. performance, value, governance or architecture group – depending on which maturity model in • To meet the contractual requirements of one or more customers Group As a Global Business Process Management Lead at SAP, Ann Rosenberg is responsible for the Busi- and Business Information Warehouse, from 2004 as Sales Executive and Solution Expert for SAPEven though the adoption rate is high, CMM and CMMI have been heavily criticized both in • Interlink between other competency maturity models. the wheel is used) to plan for improvements of the organization. For the combination and map- • Founder of the Global BPM Roundtable/User Group, which consists of over 200 ness Process Management, Business Architecture, Enterprise Architecture, SAP implementation NetWeaver. Meanwhile she has 10 years industrial experinces in BPM and Information Manage- The mentioned alignment always relies on effective and efficient integration of competenciestheory as well as in practice. CMM/CMMI reveres the institutionalization of process for its own • Best practice from different industry leaders - to be a foundation of best practice ping of these different maturity models, Prof. Dr. Mark von Rosing, combined the different matu- Adoption Rate: companies and Value Management methodology/governance frameworks which are offered and used in the ment Consulting cooperating with consulting partners like bearing point, Deloitte, Accenture, within organization, technology and processes, but many organizations do not have a clear linksake. This guarantees nothing and in some cases, the institutionalization of processes may lead to standardization. rity models into the Enterprise Maturity Wheel. In February 2010 the combined EMM Framework and EMM Wheel was incorporated into the SAP community globally. She has designed the SAP BPX certification program for associates and Steria Mummert among others. between their different competencies. An organization’s strategy may be gaining a competitiveoversimplified public processes, ignoring the actual successful practice of the organization. For • Importance of people (e.g. teams, groups, projects, departments) involved with the global Business Process Management University curriculum which was rolled out to 225 Academ- Mark is a Professor in Business Model Management, Business Process Management and Value professionals which is being taught globally to the SAP Community, and she is the head and founder advantage, innovation, growth, acquisitions, differentiation, increasing profitability, or gainingone can’t look at a process in itself, without taking into consideration which other capabilities are processes. Step 1. Asses As-Is competency stage (level 1 to Level 5) ics and Universities worldwide. In March 2010 it was decided by The Open Group (TOGAF) that Management at the Copenhagen Business School and IT University, Denmark, lecturing on both of the SAP Global University Alliance BPM and Enterprise Architecture curriculum which are being Contributor: Siavash Moshiri market share, meanwhile all of these strategies require suitable and integrated business compe-attached to the process and activity. In order to consider which other capabilities are attached to • Modelling from “As-Is” and “To-Be” of competencies with interlink of other competency Step 2. Identify Core Competitive and Core Differentiated competencies it will be incorporated into the Business Architecture curriculum development and there certifica- Bachelor and Masters level. rolled out to 900 universities globally. As a senior lecturer and academic developer at Sheffield Business School (SBS), Siavash lectures tencies that are embedded in adequate organizational structures and aligned with the processesthe process and activity, other capability maturity models would have to be interlinked and meas- development and the identification of Core Competitive and Core Differentiated Step 3. All Competencies are both rated with their Revenue and Cost: High, Medium or Low tion. SAP AG incorporated it in May 2010 into their SAP Business Process Expert and Enterprise in Business Operations and Process Management, Strategic Information and Knowledge Manage- and supported by people and technology.ured to the process capabilities, which the CMM/CMMI does not address. CMM/CMMI further- competencies as well as Value areas/drivers. Step 4. Value opportunities/drivers are identified Architecture Training and Certification, where thousands of consultants, companies and employ- He has coached and helped numerable companies create and realize value. His developed Ann Rosenberg is Vice Chairman of the Open Group Business Architect Group and external lecturer ment, Business-IT Alignment and Digital Innovation. Siavash is a co-developer and member ofmore ignores the importance of people involved with the process by assuming that processes can • Effective use of its competencies as they are rated with their Revenue and Cost: High, Step 5. Performance opportunities/drivers are identified ees are trained to use the combined EMM Framework and EMM Wheel. approaches within Business Modelling, Process Management and Business Value Management, in Business Process Management at the IT University of Copenhagen, and lecturing assistant at the Global University Alliance BPM as well as EA curriculum Program. In this unique competency development approach you will not have to start from scratch. Thesomehow render individual excellence less important. Medium or Low. To ensure the cost to achieve a higher maturity level would not exceed Step 6. Define “To-Be” competency stage has helped hundreds of companies over the world. Copenhagen Business School. different competency maturity models and frameworks are linked – you just have to map them to the possible gain. This may effectively “blind” an organization to the most effective use your needs. The approach is designed to address key decision makers like CEO’s, CFO’s, COO’s, Siavash has founded the Enterprise Systems Competence Center (ESCC). The centre aims toCMM/CMMI’s focus is only on capabilities, which is only one side of the coin, for a company can’t of its capabilities and resources. Level 1 Level 2 Level 3 Level 4 Level 5 CIO’s, CMO’s and CHRO’s. For each role the angle varies and so does the view upon the Contact information: Ann Rosenberg has published the book “Business Process Management – The SAP Roadmap” and foster teaching, learning, research and practice excellence in the area of Enterprise Systems, BPMseparate ones capabilities from the resources, for combined they are the company’s competencies. challenges the company faces. However, there is a strong need by all C-level executives to better E-mail: or Phone: +45 28 88 89 01 will in July 2010 publish the book “Real World BPM in an SAP Environment”. and Enterprise Architectures. Siavash holds an MSc in IT and Management, is a certified SAP Initial Repeatable Defined Managed OptimizedTherefore a company should not only look at its capability maturity model but rather competency During 2010, SAP, IBM, Cap Gemini, Danish Defense and The Open Group (TOGAF) joined the understand what IT investments to prioritize in order to realize the most value to their business. consultant and has more than 10 years of experience in industry and higher education as a consul-maturity model (e.g. capabilities and resources). CMM/CMMI encourages the achievement of a development to build competency maturity models, some of these with more business focus while A major trend is to shift funding from non-strategic competencies to strategic competencies in tant, IT practitioner and academic. He is currently leading the development of Masters levelhigher maturity level in some cases by displacing the true mission, which is improving the process others with more technology focus: order to drive value realization and growth. courses with specific reference to BPM and EA at SBS. He takes active (research) interest (non-ITand overall competency in lowering the cost and increasing the revenue. In most cases the cost to inclusive) in BPM, EA, Business-IT Alignment, Open Source, Technology Innovation and Educa- tional Leadership. © Value Team ApS