Business/IT alignment engineering

BUSINESS/IT ALIGNMENT ENGINEERING Date Title Interop > Geneva > October 6-7, 2006 Geneva October 6-7, 2006 Dr Eric Dubois, CRPHT, Luxembourg Dr Michael Petit, FUNDP, Belgium Dr Yves Pigneur, HEC Lausanne

Abstract

This workshop will deal with the business/IT alignment, its "strategic fit" between the strategic aspects and the organizational or process view, and its "function integration" between the business and the technology sides. The workshop is based on the assumption that an explicit business model and strategy map should help to align the business strategy, the organization structure and business processes, and the IS applications and IT infrastructure.

The workshop is structured according three main concepts, and mappings. The “business model” and "strategy map" provide a declarative view of the business in terms of financial aspects, value proposition for customers, and value configurations. The "application requirements" correspond to the user needs and specifications for designing and implementing applications. The “business processes” provide a more operational view on the how the business model is implemented in terms of transactions, actors in charge of the execution of these processes, and information flows between these processes. The workshop will also investigate the transformation and mappings between business model, application requirements, and business processes, according to different options related to the type of market, the trust existing between stakeholders, and the associated risk analysis, etc.

Business/IT alignment > business model, process and application ORGANIZATION infrastructure IT infrastructure BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure From business model to enterprise architecture BUSINESS MODEL BUSINESS PROCESS From business model To goal-based requirements BUSINESS APPLICATION Function integration Strategic fit From business model to transaction

Agenda

From business model to enterprise architecture

Business model and strategic map

IT and enterprise architecture

e-business patterns and IT infrastructure

From business model to application requirements

Value-based modeling (with e 3 value)

From value-based models to goal-based requirements (with i*)

From business model to business process

Introduction to the B2B context

B2B Transaction development and animation (with Efficient)

From business models to transactions

Managing as designing [Boland and Collopy, 2004] http://weatherhead.cwru.edu/visiting.htm l Frank Gehry

Design and innovation > IDEO http://www.ideo.com /methodcards/MethodDeck/MethodCardsHTML.htm

DESIGN APPROACH > application > design loop Requirement Analysis Design Validation GOAL TASK analysis USABILITY PROTOTYPE Transaction Decision (& cognition) Interaction TECHNIQUES: Scenario-based design Pattern-based Conceptual modeling Action Information Interaction source: [Rosson and carroll, 2002]

Design approach > application > requirement analysis

Goal-based requirement engineering

Task analysis

source: [Rolland, 2003] [Yu, 1994] [Patern ò , 2002]

Design approach > application > IT solution design

Action design

Focus on functionality

Information design

Information provided to the users by the systems

Interaction design

Details of user action and feedback

http://guir.berkeley.edu/projects/denim Scenario use case hand sketch …

Design approach > application > prototype

Design approach > application > usability evaluation

Usability testing with user model-based > service quality

source: [Rosson and carroll, 2002]

BUSINESS/IT ALIGNMENT BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure IS infrastructure ORGANIZATION infrastructure Architecture Processes Skills Technology scope System competencies IT governance Administrative structure Business processes Skills Business scope Distinctive competencies Governance source: [Henderson and Venkatraman, 1993] Function integration Strategic fit

PART 1 - From business model to enterprise architecture Date Title Interop > Geneva > October 6-7, 2006 Geneva October 6-7, 2006 Dr Yves Pigneur, HEC Lausanne

From business model to enterprise architecture > Agenda

Business model and strategy map

BUSINESS MODEL | ENTERPRISE ARCHITECTURE | E-BUSINESS PATTERNS

BUSINESS MODEL > design loop Requirement Analysis Design Validation BUSINESS MODEL (strategy map) analysis ALIGNMENT Analyses Strategy Innovation IS Planning TECHNIQUES: Reference model Building blocks & PATTERNS Ontologies Application portfolio IT infrastructure ENTERPRISE ARCHITECTURE

1. Business model Financial perspective Customer perspective Activity perspective Resource perspective Value proposition Customer Value configuration Partner Capability Cost Revenue Relationship Channel What are our revenues? What are our costs? Who are our customers? How do we reach them? How do we get & keep them? How do we operate & deliver? How do we collaborate? What are our competencies? What do we offer to our customers?

1b. Strategy map source: [Kaplan and Norton, 2004]

2. Enterprise architecture Business layer Application layer Technology layer source: [Lankhorst, 2004]

3. Design patterns

from atomic e-business model to IT infrastructure

source: [Weill and Vitale, 2002]

Business/IT alignment engineering BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure IS infrastructure ORGANIZATION infrastructure Function integration Strategic fit BUSINESS MODEL ENTERPRISE ARCHITECTURE DESIGN PATTERNS

From business model to enterprise architecture > Books

Strategy Maps

Kaplan, R. and Norton, D. (2004). Strategy Maps - Converting Intangible Assetts into Tangible Outcomes. Harvard Business School Press.

Enterprise architecture

Lankhorst, M. (2005). Enterprise Architecture at Work . Springer.

Ross, J., Weill, P., and Robertson, D. (2006). Enterprise Architecture as Strategy. Harvard Business School Press.

Patterns

Adams, J., Koushik, S., Vasudeva, G., and Galambos, G. (2001). Patterns for eBusiness - A Strategy for Reuse. IBM Press.

Weill, P. and Vitale, M. (2001). Place to Space - Migrating to eBusiness Models. Harvard Business School Press.

From business model to enterprise architecture > Articles

Business models and Strategy Maps

Osterwalder, A. and Pigneur, Y. (2005). Clarifying business models: Origins, present and future of the concept. Comm. Association for Information Systems , 15:751–775.

Kaplan, R. and Norton, D. (2000). Having trouble with your strategy? then map it. Harvard Business Review , 78(5):167–76.

Enterprise architecture

Lankhorst, M. (2004). Enterprise architecture modelling - the issue of integration. Advanced Engineering Informatics , 18:205–216.

Patterns

Weill, P. and Vitale, M. (2002). What it infrastructure capabilities are needed toimplement e-business models? MIS Quarterly Executive , 1(1):17–34.

4. Environment assessment BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure IS infrastructure ORGANIZATION infrastructure source: [Camponovo and Pigneur, 2005] Function integration Strategic fit BUSINESS environment IT environment Disruptive technology Competition analysis Scenario planning Environment adaptation

PART 2 - From business model to application requirements Date Title Interop > Geneva > October 6-7, 2006 Geneva October 6-7, 2006 Dr Michael Petit, FUNDP, Belgium

Agenda

VALUE-BASED | GOAL-BASED

Business/IT alignment > from business model to application requirements ORGANIZATION infrastructure IT infrastructure BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure BUSINESS MODEL From business model To goal-based requirements BUSINESS APPLICATION Function integration Strategic fit

4. Value-based modeling (with e 3 value) source: [Gordijn and Akkermans, 2002]

5. Goal-based requirements (with i*) source: [Yu and Mylopoulos, 2002]

5b. From value-based models to goal-based requirements (with i*) source: [Gordijn and Petit, 2002]

PART 3 - From business model to business process Date Title Interop > Geneva > October 6-7, 2006 Geneva October 6-7, 2006 Dr Eric Dubois, CRPHT, Luxembourg

Agenda

B2B | EFFICIENT | MAPPING

Business/IT alignment > from business model to business process ORGANIZATION infrastructure IT infrastructure BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure BUSINESS MODEL BUSINESS PROCESS BUSINESS APPLICATION Function integration Strategic fit From business model to transaction

6. Introduction to the B2B context

7. B2B Transaction development and animation (with Efficient )

8. From business models to transactions

Business/IT alignment > business model, process and application ORGANIZATION infrastructure IT infrastructure BUSINESS strategy IT strategy BUSINESS IT strategy infrastructure From business model to enterprise architecture BUSINESS MODEL BUSINESS PROCESS From business model To goal-based requirements BUSINESS APPLICATION Function integration Strategic fit From business model to transaction

Agenda