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Enterprise Architecture and the
Data Viewpoint
(Enterprise Architecture IS353)
Lecture 6
Abdisalam Issa-Salwe
Taibah University
College of Computer Science & Engineering
Information Systems Department
Topic subject
īŽ EA and the Data Viewpoint
īŽ Purpose and Goals
īŽ Scope
īŽ Benefits and Advantages of EA
īŽ Improved Planning
īŽ Decision making
īŽ Communications
īŽ Using EA to raise Enterprise Value
īŽ Revenue Growth
īŽ Operating Margin
īŽ Asset Efficiency
īŽ Policy Objectives
īŽ Program Delivery
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
2
2
EA and the Data Viewpoint
īŽ In some architectures the data viewpoint could
include information, whereas in others it is
described separately or within the business
layer;
īŽ Still other architectures leave certain business or
mission aspects less than fully defined and
instead use capabilities or operational views as
surrogates for the typical business architecture
artefacts.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
3
EA and the Data Viewpoint (contâ€Ļ)
īŽ Some typical reasons for variations in EA
approaches include:
ī‚¨ Differing scales and scopes of EA
ī‚¨ Levels of complexity
ī‚¨ Business activity levels
ī‚¨ Desired degrees of detail
ī‚¨ COTS product implementation versus custom
components and configurations
ī‚¨ Ownership versus custodial boundaries influencing
layer content and aggregations
ī‚¨ “First attempt” versus mature documentation
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
4
3
EA and the Data Viewpoint (contâ€Ļ)
īŽ The EA is intended to describe critical features and
capabilities of a configuration.
īŽ It is also a baseline to support deliberate changes.
This set of adapted and approved changes make up
a portfolio of projects and a transition plan.
īŽ Every EA should have a transition plan (also known
as implementation or migration plan) which identifies
the set of initiatives to migrate the enterprise from
the baseline to the target state.
īŽ This transition plan should feed into the IT
investment portfolio or ultimately include or
constitute it.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
5
EA and the Data Viewpoint (contâ€Ļ)
īŽ In EA a framework provides a high level roadmap and
provides focus while permitting efficient change.
īŽ A methodology provides an efficient and effective
repeatable set of processes or steps to develop the EA
allowing the enterprise to implement change.
īŽ Almost all EA efforts recognize the need for the use of
both a framework and a methodology for guiding their
efforts.
īŽ We say almost because there are some who believe that
frameworks and specific processes (e.g. the Open
Group’s Architecture Framework {TOGAFTM}, Enterprise
Architecture Planning {EAPTM} or the process in the U.S.
Federal CIO Council’s Practical Guide) are no longer
necessary.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
6
4
EA and the Data Viewpoint (contâ€Ļ)
īŽ Many practitioners of Service Oriented
Architecture (SOA) believe that EA does not
need to be done or not very extensively,
because SOA to some extent incorporates the
reuse and sharing of an enterprise wide
approach.
īŽ It is not the intent here to resolve these issues
but to merely characterize them in the context of
EA concepts.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
7
Purpose and Goals
īŽ Every EA has a purpose and/or a goal or goals to
which it is being targeted by those sponsoring and
supporting it in the enterprise, even though these
are not often articulated in literature on EA.
īŽ The purpose should be expressed as a mission
statement, describing a broad range of
achievements that the EA targets (it may also be
accompanied by a vision statement, that describes
what the world will be like when the mission is
achieved).
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
8
5
Purpose and Goals (contâ€Ļ)
īŽ It is useful to think of the mission statement in three parts:
ī‚¨ Delivery: what is the EA delivering for the benefit of the
organisation (e.g., “enabling rapid deployment of
organisational change”);
ī‚¨ Foundation: what does the EA “believe in”.
īŽ This may summarise key principles to be achieved
(e.g., a “achieving a balance of stakeholder concerns,
optimised for the delivery of long-term value”);
ī‚¨ Practice: what mission does the EA set for itself (e.g.,
“being up-to-date, accessible, trusted”).
īŽ Goals then provide further refinement of the mission
statement and should be purposeful and qualified, in
that they should clearly define what is and is not
being targeted by the EA effort.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
9
Purpose and Goals (contâ€Ļ)
īŽ It is always a good practice to have the purpose
statement and the goal(s) written down and
agreed to by the EA sponsors.
īŽ The degree of specificity can vary and whatever
the goal(s) it should be in alignment with both
the EA scope and the principles.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
10
6
Purpose and Goals (contâ€Ļ)
īŽ Some examples to which EA purpose or goal
statements could be written include:
ī‚¨ Business Realignment
ī‚¨ Enterprise consolidations
ī‚¨ Enterprise expansion and new market penetrations
ī‚¨ Overall enterprise mission business efficiency
ī‚¨ Cost savings
ī‚¨ Enterprise restructuring and/or mergers
ī‚¨ For compliance
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
11
Scope
īŽ The scope of an EA is a critical component and input into
planning and structuring the approach, framework,
methods, support and tools for an EA project or program.
ī‚¨ For example an EA could be broad and encompass a very large
enterprise, but only cover a business architecture viewpoint
(e.g., by covering the “planner” and “owner” viewpoints of the
Zachman framework);
īŽ EA could be comprehensive and fairly deep in relation to
a specific subject thus enabling implementation quickly
after the EA (i.e., dealing with what Zachman calls a
“sliver” and which others refer to as a solutions EA or a
segment architecture).
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
12
7
Benefits and Advantages of EA
īŽ Depending on the extensiveness of the EA
approach, organisations have traditionally
considered the following to be benefits of EA:
ī‚¨ Improved planning
ī‚¨ Enhanced decision making, and
ī‚¨ Communications
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
13
Improved Planning
īŽ From a tactical (those immediate next steps in
the pursuit of the overall strategy) perspective,
EA can help to coordinate otherwise
architecturally disjoint or isolated program-level
planning activities, for example, to enhance
reuse of all enterprise assets and reduce
duplication of effort.
īŽ It provides the reference material to ensure
continuing business/IT alignment, better
solutions provisioning and improved
configuration management.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
14
8
Decision making
īŽ EA can uniquely provide comprehensive views
of current and planned enterprise capabilities
and resources as typically it is the sole function
with a remit to work across the whole
organisation with a broad goal to support the
overall enterprise in all its facets.
īŽ While some would consider other functions (e.g.,
HR and finance) to also be in such a position,
these other functions do so only in the context of
their areas of concerns, whereas the EA
potentially has all areas of concern within its
scope.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
15
Decision making (contâ€Ļ)
īŽ These views may be further enhanced through the
provision of online repositories that provide decision
makers with real-time access to EA information in
varying degrees of detail.
īŽ The views provide the relevant reference information
to help executive, operations and development staff
with planning, acquisition, deployment and
operational activities.
īŽ This visibility and availability of higher quality
information can also provide the basis for integrating
various governance processes, viz., strategic
planning, program delivery, procurement, and other
resource planning activities.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
16
9
Communications
īŽ Communications can be vastly improved by using
EA views to simplify the presentation of otherwise
complex architectures and regularly convey
integrated information on strategic goals, business
and technology.
īŽ A greater level of understanding is promoted with
staff able to view the enterprise from an end-to-end
perspective.
īŽ This greater level of understanding provides a richer
environment for innovation to flourish, breaks down
barriers and facilitates more meaningful
collaboration across the functions of the enterprise.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
17
Communication (cont...)
īŽ EA can also help facilitate the creation of a common
vocabulary across all staff, and with external
stakeholders, to ensure that there is full and
complete understanding during planning,
development and management of enterprise
resources.
īŽ This is invaluable in large and complex
environments.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
18
10
Using EA to raise Enterprise Value
īŽ When EA is regarded as a holistic method and
integrated business function with the objective of
analysing, documenting and shaping the entire
enterprise, the true value of EA is unlocked.
īŽ Using EA to capture and communicate the entire
intellectual capital of an enterprise can have a great
impact on the bottom line and hence raise value.
īŽ In a private sector organisation this could result in
increasing shareholder value, whereas in a public
sector organisation the equivalent would be raising
agency performance.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
19
Categories where EA can deliver views and facilitate decision
support activities that would provide direct benefits by raising
values.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
Category Private Sector
(Increased
Shareholder
Value)
Public Sector
(Raised
Agency
Performance)
Revenue Growth ī
Operating Margin ī
Asset Efficiency ī ī
Policy Objectives ī
Program Delivery ī ī
Operating Efficiency ī ī
20
11
Revenue Growth
īŽ Revenue growth is the key measure of a company's
operational effectiveness and involves increasing
the revenue received from the sale of company
products, services, and assets.
īŽ The opportunity to increase revenue growth can
come from the ability to create end-to-end models,
for example:
ī‚¨ representing how product and service offerings are
provisioned and how assets are effectively deployed;
ī‚¨ in order to improve account management and/or customer
relationship processes for different customer segments.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
21
Operating Margin
īŽ Operating Margin is the key measure of a company’s
operational efficiency and refers to the difference
between the revenues received from the sale of products
and services and the costs of providing those goods and
services.
īŽ Some examples of raising value in this category could be
the ability to create end-to-end models on, for example:
ī‚¨ logistics processes with a view to improvement and offset
selling, general and administrative costs;
ī‚¨ customer-facing business processes to reduce the cost of
customer interactions across all interaction channels (such as
Internet, call center, field service, and interactive voice
response);
ī‚¨ shared processes, to enhance reuse, and hence reduce the cost
of corporate-wide services.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
22
12
Asset Efficiency
īŽ Asset efficiency is about the management of the
organizations assets to maximize their utility with
minimal cost. Performance excellence is driven by the
ability to effectively and efficiently manage intellectual,
physical and people assets.
īŽ The EA can provide value in the management of
assets by, for example:
ī‚¨ Providing an inventory of intellectual property to
help facilitate the effective and efficient
management of intellectual property;
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
23
Asset Efficiency (cont...)
ī‚¨ Promoting an understanding of current and future
state staffing requirements, and hence can help
provide a baseline reference for improving the
enterprise workforce development strategy, improving
visibility of enterprise strategy to provides for easier
identification of training needs and facilitating the
alignment and adjustment of workforce requirements
with each of the architectural domains
ī‚¨ Improving the visibility and governance of physical IT
assets and their alignment with business goals
depends, in part, on depth of modelling. It can also
facilitate optimization of inventory by improving
procurement, management, analysis, and turnover
performance.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
24
13
Policy Objectives
īŽ Outcome-focused approaches can help translate
policies into tactical program plans that deliver
measurable results. Combined with program
delivery, EA processes can help measures an
agency’s performance around its core programs
and services and can help answer the question,
“Does the agency effectively achieve its
mission?”
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
25
Policy objectives (cont...)
īŽ Through enhanced EA modelling, performance in
achieving policy objectives can be improved through:
ī‚¨ Policy execution – facilitates improved governance by
modelling the alignment of architectural components with policy
goals and objectives. The resulting greater clarity of description
and understanding of enterprise components improves
intergovernmental liaison and communication in terms of policy
implementation;
ī‚¨ Strategic alignment – facilitates better strategic planning by
providing demonstrable alignment between strategic planning
and policy/programme goals and metrics. In turn, this promotes
a clear definition, description and understanding of end-to-end
performance measures;
ī‚¨ Accountability implementation – improves accountability by
facilitating improved governance and strategic budgeting.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
26
14
Program Delivery
īŽ Successful programs are those that deliver real results
and essential services within their program parameters
(e.g., budget, time, impact etc). Programs should be
designed to meet or exceed the agency’s strategic goals
around effectiveness, efficiency, and increased
constituent satisfaction.
īŽ Effectiveness is the degree to which a predetermined
objective or target is met. EA facilitates alignment of
programme goals to mission by enabling strategic and
business planning. It also helps facilitate business
planning across agencies. It can also enhance program
impact by facilitating improved communication to enable
programme innovation
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
27
Program delivery (cont...)
īŽ Efficiency is the relative amount of inputs used to
achieve a given level of output. EA facilitates process
reengineering to achieve costs and cycle time efficiency.
Reuse of architectural components also promotes
efficiency.
īŽ Program delivery is also enabled, as alluded to at the top
of this sub-chapter, by providing direct support to the
program manager and team, such as through the
provision of existing EA artefacts, through the cross-
function/agency perspective EA brings, through quality
assurance and control, through risk mitigation, and
through the provision of enterprise facilities (e.g., the
repository) that program can (re)use.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
28
15
Operating Efficiency
īŽ Operating efficiency is not restricted to public sector
organizations, but applies equally to the private
sector.
īŽ Operating efficiency is one of the key measures used
to evaluate performance and refers to delivering
maximum value for money in terms of service levels,
product quality and/or operational support.
īŽ It ties closely to meeting budget goals.
īŽ It is important because it has a large impact on the
financial resources required to run the enterprise.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
29
Operating Efficiency (cont...)
īŽ Operating Efficiency adds benefits in these areas as follows:
ī‚¨ Technology – EA (and associated governance) helps to
create value by aligning IT strategies and operations with
program goals and organization objectives. It also helps
improve the management and utilization of integrated IT
programs and systems to add value to the overall
management.
ī‚¨ Procurement – EA (transition planning) provides reference
information to facilitate improved procurement efficiency.
ī‚¨ Financial Management – EA (governance) can help
improve financial management by providing the reference
information necessary to integrate governance processes to
reduce financial risks and enhance strategies for risk
management. The reference information can also facilitate
improved budget execution.
Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University
30

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Lecture6 is353(ea&data viewpoint )

  • 1. 1 Enterprise Architecture and the Data Viewpoint (Enterprise Architecture IS353) Lecture 6 Abdisalam Issa-Salwe Taibah University College of Computer Science & Engineering Information Systems Department Topic subject īŽ EA and the Data Viewpoint īŽ Purpose and Goals īŽ Scope īŽ Benefits and Advantages of EA īŽ Improved Planning īŽ Decision making īŽ Communications īŽ Using EA to raise Enterprise Value īŽ Revenue Growth īŽ Operating Margin īŽ Asset Efficiency īŽ Policy Objectives īŽ Program Delivery Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 2
  • 2. 2 EA and the Data Viewpoint īŽ In some architectures the data viewpoint could include information, whereas in others it is described separately or within the business layer; īŽ Still other architectures leave certain business or mission aspects less than fully defined and instead use capabilities or operational views as surrogates for the typical business architecture artefacts. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 3 EA and the Data Viewpoint (contâ€Ļ) īŽ Some typical reasons for variations in EA approaches include: ī‚¨ Differing scales and scopes of EA ī‚¨ Levels of complexity ī‚¨ Business activity levels ī‚¨ Desired degrees of detail ī‚¨ COTS product implementation versus custom components and configurations ī‚¨ Ownership versus custodial boundaries influencing layer content and aggregations ī‚¨ “First attempt” versus mature documentation Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 4
  • 3. 3 EA and the Data Viewpoint (contâ€Ļ) īŽ The EA is intended to describe critical features and capabilities of a configuration. īŽ It is also a baseline to support deliberate changes. This set of adapted and approved changes make up a portfolio of projects and a transition plan. īŽ Every EA should have a transition plan (also known as implementation or migration plan) which identifies the set of initiatives to migrate the enterprise from the baseline to the target state. īŽ This transition plan should feed into the IT investment portfolio or ultimately include or constitute it. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 5 EA and the Data Viewpoint (contâ€Ļ) īŽ In EA a framework provides a high level roadmap and provides focus while permitting efficient change. īŽ A methodology provides an efficient and effective repeatable set of processes or steps to develop the EA allowing the enterprise to implement change. īŽ Almost all EA efforts recognize the need for the use of both a framework and a methodology for guiding their efforts. īŽ We say almost because there are some who believe that frameworks and specific processes (e.g. the Open Group’s Architecture Framework {TOGAFTM}, Enterprise Architecture Planning {EAPTM} or the process in the U.S. Federal CIO Council’s Practical Guide) are no longer necessary. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 6
  • 4. 4 EA and the Data Viewpoint (contâ€Ļ) īŽ Many practitioners of Service Oriented Architecture (SOA) believe that EA does not need to be done or not very extensively, because SOA to some extent incorporates the reuse and sharing of an enterprise wide approach. īŽ It is not the intent here to resolve these issues but to merely characterize them in the context of EA concepts. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 7 Purpose and Goals īŽ Every EA has a purpose and/or a goal or goals to which it is being targeted by those sponsoring and supporting it in the enterprise, even though these are not often articulated in literature on EA. īŽ The purpose should be expressed as a mission statement, describing a broad range of achievements that the EA targets (it may also be accompanied by a vision statement, that describes what the world will be like when the mission is achieved). Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 8
  • 5. 5 Purpose and Goals (contâ€Ļ) īŽ It is useful to think of the mission statement in three parts: ī‚¨ Delivery: what is the EA delivering for the benefit of the organisation (e.g., “enabling rapid deployment of organisational change”); ī‚¨ Foundation: what does the EA “believe in”. īŽ This may summarise key principles to be achieved (e.g., a “achieving a balance of stakeholder concerns, optimised for the delivery of long-term value”); ī‚¨ Practice: what mission does the EA set for itself (e.g., “being up-to-date, accessible, trusted”). īŽ Goals then provide further refinement of the mission statement and should be purposeful and qualified, in that they should clearly define what is and is not being targeted by the EA effort. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 9 Purpose and Goals (contâ€Ļ) īŽ It is always a good practice to have the purpose statement and the goal(s) written down and agreed to by the EA sponsors. īŽ The degree of specificity can vary and whatever the goal(s) it should be in alignment with both the EA scope and the principles. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 10
  • 6. 6 Purpose and Goals (contâ€Ļ) īŽ Some examples to which EA purpose or goal statements could be written include: ī‚¨ Business Realignment ī‚¨ Enterprise consolidations ī‚¨ Enterprise expansion and new market penetrations ī‚¨ Overall enterprise mission business efficiency ī‚¨ Cost savings ī‚¨ Enterprise restructuring and/or mergers ī‚¨ For compliance Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 11 Scope īŽ The scope of an EA is a critical component and input into planning and structuring the approach, framework, methods, support and tools for an EA project or program. ī‚¨ For example an EA could be broad and encompass a very large enterprise, but only cover a business architecture viewpoint (e.g., by covering the “planner” and “owner” viewpoints of the Zachman framework); īŽ EA could be comprehensive and fairly deep in relation to a specific subject thus enabling implementation quickly after the EA (i.e., dealing with what Zachman calls a “sliver” and which others refer to as a solutions EA or a segment architecture). Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 12
  • 7. 7 Benefits and Advantages of EA īŽ Depending on the extensiveness of the EA approach, organisations have traditionally considered the following to be benefits of EA: ī‚¨ Improved planning ī‚¨ Enhanced decision making, and ī‚¨ Communications Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 13 Improved Planning īŽ From a tactical (those immediate next steps in the pursuit of the overall strategy) perspective, EA can help to coordinate otherwise architecturally disjoint or isolated program-level planning activities, for example, to enhance reuse of all enterprise assets and reduce duplication of effort. īŽ It provides the reference material to ensure continuing business/IT alignment, better solutions provisioning and improved configuration management. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 14
  • 8. 8 Decision making īŽ EA can uniquely provide comprehensive views of current and planned enterprise capabilities and resources as typically it is the sole function with a remit to work across the whole organisation with a broad goal to support the overall enterprise in all its facets. īŽ While some would consider other functions (e.g., HR and finance) to also be in such a position, these other functions do so only in the context of their areas of concerns, whereas the EA potentially has all areas of concern within its scope. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 15 Decision making (contâ€Ļ) īŽ These views may be further enhanced through the provision of online repositories that provide decision makers with real-time access to EA information in varying degrees of detail. īŽ The views provide the relevant reference information to help executive, operations and development staff with planning, acquisition, deployment and operational activities. īŽ This visibility and availability of higher quality information can also provide the basis for integrating various governance processes, viz., strategic planning, program delivery, procurement, and other resource planning activities. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 16
  • 9. 9 Communications īŽ Communications can be vastly improved by using EA views to simplify the presentation of otherwise complex architectures and regularly convey integrated information on strategic goals, business and technology. īŽ A greater level of understanding is promoted with staff able to view the enterprise from an end-to-end perspective. īŽ This greater level of understanding provides a richer environment for innovation to flourish, breaks down barriers and facilitates more meaningful collaboration across the functions of the enterprise. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 17 Communication (cont...) īŽ EA can also help facilitate the creation of a common vocabulary across all staff, and with external stakeholders, to ensure that there is full and complete understanding during planning, development and management of enterprise resources. īŽ This is invaluable in large and complex environments. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 18
  • 10. 10 Using EA to raise Enterprise Value īŽ When EA is regarded as a holistic method and integrated business function with the objective of analysing, documenting and shaping the entire enterprise, the true value of EA is unlocked. īŽ Using EA to capture and communicate the entire intellectual capital of an enterprise can have a great impact on the bottom line and hence raise value. īŽ In a private sector organisation this could result in increasing shareholder value, whereas in a public sector organisation the equivalent would be raising agency performance. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 19 Categories where EA can deliver views and facilitate decision support activities that would provide direct benefits by raising values. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University Category Private Sector (Increased Shareholder Value) Public Sector (Raised Agency Performance) Revenue Growth ī Operating Margin ī Asset Efficiency ī ī Policy Objectives ī Program Delivery ī ī Operating Efficiency ī ī 20
  • 11. 11 Revenue Growth īŽ Revenue growth is the key measure of a company's operational effectiveness and involves increasing the revenue received from the sale of company products, services, and assets. īŽ The opportunity to increase revenue growth can come from the ability to create end-to-end models, for example: ī‚¨ representing how product and service offerings are provisioned and how assets are effectively deployed; ī‚¨ in order to improve account management and/or customer relationship processes for different customer segments. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 21 Operating Margin īŽ Operating Margin is the key measure of a company’s operational efficiency and refers to the difference between the revenues received from the sale of products and services and the costs of providing those goods and services. īŽ Some examples of raising value in this category could be the ability to create end-to-end models on, for example: ī‚¨ logistics processes with a view to improvement and offset selling, general and administrative costs; ī‚¨ customer-facing business processes to reduce the cost of customer interactions across all interaction channels (such as Internet, call center, field service, and interactive voice response); ī‚¨ shared processes, to enhance reuse, and hence reduce the cost of corporate-wide services. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 22
  • 12. 12 Asset Efficiency īŽ Asset efficiency is about the management of the organizations assets to maximize their utility with minimal cost. Performance excellence is driven by the ability to effectively and efficiently manage intellectual, physical and people assets. īŽ The EA can provide value in the management of assets by, for example: ī‚¨ Providing an inventory of intellectual property to help facilitate the effective and efficient management of intellectual property; Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 23 Asset Efficiency (cont...) ī‚¨ Promoting an understanding of current and future state staffing requirements, and hence can help provide a baseline reference for improving the enterprise workforce development strategy, improving visibility of enterprise strategy to provides for easier identification of training needs and facilitating the alignment and adjustment of workforce requirements with each of the architectural domains ī‚¨ Improving the visibility and governance of physical IT assets and their alignment with business goals depends, in part, on depth of modelling. It can also facilitate optimization of inventory by improving procurement, management, analysis, and turnover performance. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 24
  • 13. 13 Policy Objectives īŽ Outcome-focused approaches can help translate policies into tactical program plans that deliver measurable results. Combined with program delivery, EA processes can help measures an agency’s performance around its core programs and services and can help answer the question, “Does the agency effectively achieve its mission?” Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 25 Policy objectives (cont...) īŽ Through enhanced EA modelling, performance in achieving policy objectives can be improved through: ī‚¨ Policy execution – facilitates improved governance by modelling the alignment of architectural components with policy goals and objectives. The resulting greater clarity of description and understanding of enterprise components improves intergovernmental liaison and communication in terms of policy implementation; ī‚¨ Strategic alignment – facilitates better strategic planning by providing demonstrable alignment between strategic planning and policy/programme goals and metrics. In turn, this promotes a clear definition, description and understanding of end-to-end performance measures; ī‚¨ Accountability implementation – improves accountability by facilitating improved governance and strategic budgeting. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 26
  • 14. 14 Program Delivery īŽ Successful programs are those that deliver real results and essential services within their program parameters (e.g., budget, time, impact etc). Programs should be designed to meet or exceed the agency’s strategic goals around effectiveness, efficiency, and increased constituent satisfaction. īŽ Effectiveness is the degree to which a predetermined objective or target is met. EA facilitates alignment of programme goals to mission by enabling strategic and business planning. It also helps facilitate business planning across agencies. It can also enhance program impact by facilitating improved communication to enable programme innovation Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 27 Program delivery (cont...) īŽ Efficiency is the relative amount of inputs used to achieve a given level of output. EA facilitates process reengineering to achieve costs and cycle time efficiency. Reuse of architectural components also promotes efficiency. īŽ Program delivery is also enabled, as alluded to at the top of this sub-chapter, by providing direct support to the program manager and team, such as through the provision of existing EA artefacts, through the cross- function/agency perspective EA brings, through quality assurance and control, through risk mitigation, and through the provision of enterprise facilities (e.g., the repository) that program can (re)use. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 28
  • 15. 15 Operating Efficiency īŽ Operating efficiency is not restricted to public sector organizations, but applies equally to the private sector. īŽ Operating efficiency is one of the key measures used to evaluate performance and refers to delivering maximum value for money in terms of service levels, product quality and/or operational support. īŽ It ties closely to meeting budget goals. īŽ It is important because it has a large impact on the financial resources required to run the enterprise. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 29 Operating Efficiency (cont...) īŽ Operating Efficiency adds benefits in these areas as follows: ī‚¨ Technology – EA (and associated governance) helps to create value by aligning IT strategies and operations with program goals and organization objectives. It also helps improve the management and utilization of integrated IT programs and systems to add value to the overall management. ī‚¨ Procurement – EA (transition planning) provides reference information to facilitate improved procurement efficiency. ī‚¨ Financial Management – EA (governance) can help improve financial management by providing the reference information necessary to integrate governance processes to reduce financial risks and enhance strategies for risk management. The reference information can also facilitate improved budget execution. Abdisalam Issa-Salwe, College of Computer Science & Engineering, Taibah University 30