Business Transformation at the Texas Health and Human Services Agency

Dr. Raj Ramesh

Business Transformation Consultant

TopSigma Consulting, LLC.

Business Transformation at the Texas Health and Human Services Agency

Welcome to Transformation and Innovation 2007 The Business Transformation Conference Welcome

Organization

Medicaid

Children's Health Insurance Program (CHIP)

Temporary Assistance for Needy Families

Food Stamps and Nutritional Programs

Family Violence Services

Refugee Services

Disaster Assistance

Eligibility Determination

System Planning and Evaluation

Policy Development and Rule-making

Fraud and Abuse Prevention and Detection

Border Affairs

Early Childhood Coordination

Ombudsman Services

Programs Functions $15 billion annual budget 8500 employees Health & Human Services DADS DSHS DARS DFPS HHSC

Governance Management Portal

Role based application access available from a single point – for Business, IT, Finance, HR and Executive Management.

Key Functions: Strategic Business and IT Planning/Governance And Operations Management

Bring the “silos” closer by allowing applications to “integrate”

Share resources, documents, processes across functional areas

Integrate information & performance reporting across functional silos

Governance & Compliance

BT Strategy

Quick wins

Drive the Business Transformation Portal Mock

Integration two or three applications to show proof-of-concept using only UI integration

Use this to get buy-in from senior management

Long-term wins

Help define the SOA architectural needs

Develop the methodology – Strategy to Execution

Program Objectives

Better governance

Business agility

Faster, cheaper, better

Increase operational effectiveness

Transparency

(Competitive advantage, profitability)

Organizational Silos Efficient within Inefficient between 1200 applications

Plan Execute Govern Executive Business Technology Strategy Roadmap Business Architecture Technology Architecture Portfolio Management Program Management Project Management Process Management Balanced Scorecard Process Implementation System Integration Business Metrics Compliance Monitoring Business Performance Balanced Scorecard Metrics IT Performance Management Business Transformation

General Tenets

Leverage existing assets

Don’t reinvent the wheel

Iterative development

Align with the culture

Get executive level buy-in

Facilitate collaboration

Focus and follow through

Define performance metrics

Business drives requirements

Business Architecture Strategy : goals, objectives, measures Market : partners, organization, roles Products : product and service portfolios Information : terminology, knowledge, terms Process : tasks, activities, rules, events Finance : income, profits, debt, balance sheet Communication : marketing, branding Compliance : SOX, controls, governance Assets : people, technology, equipment, time ITIL COBIT drives Strategy Market & Customer Information Process Finance Compliance Assets Products Communications IT Strategy Operations Infrastructure Applications Services

Business Architecture Thin-slice approach Strategy Market & Customer Information Process Finance Compliance Assets Products Communications

Time Alignment & Performance R 1 R 2 R 3 R 4 Strategy Market & Customer Information Process Finance Compliance Assets Products Communications Strategy Market & Customer Information Process Finance Compliance Assets Products Communications Strategy Market & Customer Information Process Finance Compliance Assets Products Communications Strategy Market & Customer Information Process Finance Compliance Assets Products Communications

Enterprise Internet Solutions Agency Executive Leadership Strategy directive Context Diagram Role Authorization Business Context Roles Data Services Portal Services Market & Customer Customer data Customer services X Customer relationship manager X Supervisor X X Administrator X X Logged in customer X Potential customer X Internet browser Underwriting research Customer data DB access Restricted access Open access Agency Application Tom Bodie Vice President Kent Marr Director Kristi Choban Director Mathew Davis Director Jeff Edwards Manager Tim Robbins Staff Bob Raner Analyst Kent Clark Manager Vishi Cook Staff Brian Trafas Analyst Portal Admin

High-level Architecture ESB: routing, security, reliability, invocation, mediation, process orchestration, CEP, adapters, QoS, mgmt App 1 App 2 App n J2EE: JCA, JMS, web services, JDBC, EJB, Servlet, security, caching Composite Apps: Business Process Management Portlet Integration: JSR-168, WSRP Portal Container: Search, personalization, audit, Workflow, admin & security, logging, SSO,… Security & Access Control Web service based Service invocation

Portal Integration PSFT UI PSFT Application PSFT Transactional DB B&P UI B&P Application B&P Transactional DB Portal

Application Integration (common code base) PSFT UI PSFT Application PSFT Transactional DB B&P UI B&P Application B&P Transactional DB

Application Integration (low granularity SOA) PSFT UI PSFT Application PSFT Transactional DB B&P UI B&P Application B&P Transactional DB

Application Integration (high granularity SOA) PSFT UI PSFT Application PSFT Transactional DB B&P UI B&P Application B&P Transactional DB

Orchestration through BPMS PSFT UI PSFT Application PSFT Transactional DB B&P UI B&P Application B&P Transactional DB

Agency #1 Agency #2 Agency #3 Business Architecture Technology Architecture Service Registry BPMN BPEL Enterprise Service Bus Business Services BPMS Business Transformation: From Strategy to Execution Governance Cross organizational Process Process & Rules Engine SOA based Composite Application Business Strategy Business Architecture Integration Architecture Process Architecture Implementation & Deployment Technical Architecture Application Architecture Operational Effectiveness Business Activity Monitoring Transformation Stack Business Transformation Framework Web services System task Human task IT Asset Mgmt. External Service Provider SLAs Business Rules Application Application DB Common Services Data Access Layer DB Process Engine/Modeler Rules Engine User Interface BI Security User Mgmt. Strategy Market & Customer Information Process Finance Compliance Assets Products Communications Strategy Market & Customer Information Process Finance Compliance Assets Products Communications Strategy Market & Customer Information Process Finance Compliance Assets Products Communications IT Strategy Operations Infrastructure Applications Services IT Strategy Operations Infrastructure Applications Services IT Strategy Operations Infrastructure Applications Services

Business Strategy Business Architecture Integration Architecture Process Architecture Business Services Framework Implementation & Deployment Technical & Data Architecture Application Architecture Operational Effectiveness Business Activity Monitoring Model Strategy Monitor & Control Executive Business Technology Business Best customer relationship in industry Customer experience consistency Enhanced channel management Internet update synchronized across enterprise Customer-centric enterprise Highest cradle-to-grave resolutions Semantic interoperability Global customer schema Single point access of interrelated customer data Customer single sign on for web access One time authentication for all services All updates access through common services Web-based implementation exploits standards Web-access for customer Best customer experience with channels Implementation ensures security Scalable deployment Monitor customer web activity relative to total activity Scale functionality with increasing usage Adapt to changing customers demographics Define service interfaces Manage services through a registry Create a governance framework Implement SOA meta-model Tie to business process Composite application service orchestration Services discovery Profile update service Profile update part of account management process Monitor KPIs to evaluate alignment with strategy Monitor performance metrics relative to other channels Offer more segment based personalization 10 Step Business Transformation Implement Design Strategy Market & Customer Information Process Finance Compliance Assets Products Communications

Key Messages Power of BA/BPM/SOA is in the Unification. Critical Success Factor: People Transformation Needs to be Driven By The Business

Thank Y