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Digital Product-Centric Enterprise and Enterprise Architecture - Tan Eng Tsze

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Enterprises striving to unlock value through digital products face a pivotal shift towards product-centric management, a transformation that carries its share of challenges. To navigate this journey successfully, close collaboration between Enterprise Architects and Digital Product Managers is essential. Together, they can craft the ideal strategy to deliver digital products on a grand scale. Join us in this session as we shed light on the critical interactions and activities that foster synergy between Enterprise Architects and Digital Product Managers. Discover how this collaboration paves the way for effective product-centric management, enabling enterprises to harness the full potential of their digital offerings.

Digital Product-Centric Enterprise and Enterprise Architecture - Tan Eng Tsze

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Digital Product-Centric Enterprise and
Enterprise Architecture
Tan Eng Tsze
Principal Lecturer & Consultant
Digital Strategy and Leadership
2
Copyright National University of Singapore
isstet@nus.edu.sg
Enterprise Architect with many years of experience in Digital and IT.
• Experience in Enterprise Architecture, Agile Architecture, Business Architecture, Data
Architecture, Application Architecture & Security Architecture
• Consulted and developed Enterprise Architecture for public and private sector and the most
recent for a Healthcare company, Gaming and Energy operators in Singapore; and also
advised on architecture implementation strategies to modernise their architectures to
transition towards a Digital Enterprise
• Master and Bachelor degrees in Computer & Information Science, NUS
• Professional certifications in TOGAF, Agile Architecture, SABSA, DPBoK, COBIT and ITIL
Tan Eng Tsze
Learning Outcome
Upon completion of this session, you will be able to understand:
 The Digital-Product Centric Enterprise and Architecture
• EA in Digital Product-Centric Enterprise
Digital Enterprise
The Digital Enterprise is about applying digital
technology to adapt or change:
• The Strategy of the Enterprise
• The Product or Services it markets
• The Experience it delivers to customers,
employees and other stakeholders
• Its Operating Model
5
Copyright National University of Singapore
Architecting The Dual Transformation
Two major drivers of Digital and Agile Transformation:
• Customer Experience which drives Digital Transformation
• The Project-to-Product shift which epitomizes Agile Transformation
Source: The Open Group Agile Architecture Standard
6
Copyright National University of Singapore
Project Centric vs Product Centric Operating
Model
Project Centric Operating Model Product Centric Operating Model
Deliverable-oriented Outcome-oriented
Scope is agreed in advance Value delivery determined based on the
feedback
Limited time duration No specific time duration; lasts as long as
there is a need
Difficult to change scope or directions, unless
specifically set up to accommodate
Must accommodate market feedback and
directional change
Focus on delivering the plan Focus on delighting the customer
Resources are specifically planned for, but
their commitment is temporary (team is
“brought to the work”)
Resources are assigned long-term to the
product (work is “brought to the team”)

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Digital Product-Centric Enterprise and Enterprise Architecture - Tan Eng Tsze

  • 1. Digital Product-Centric Enterprise and Enterprise Architecture Tan Eng Tsze Principal Lecturer & Consultant Digital Strategy and Leadership
  • 2. 2 Copyright National University of Singapore isstet@nus.edu.sg Enterprise Architect with many years of experience in Digital and IT. • Experience in Enterprise Architecture, Agile Architecture, Business Architecture, Data Architecture, Application Architecture & Security Architecture • Consulted and developed Enterprise Architecture for public and private sector and the most recent for a Healthcare company, Gaming and Energy operators in Singapore; and also advised on architecture implementation strategies to modernise their architectures to transition towards a Digital Enterprise • Master and Bachelor degrees in Computer & Information Science, NUS • Professional certifications in TOGAF, Agile Architecture, SABSA, DPBoK, COBIT and ITIL Tan Eng Tsze
  • 3. Learning Outcome Upon completion of this session, you will be able to understand:  The Digital-Product Centric Enterprise and Architecture • EA in Digital Product-Centric Enterprise
  • 4. Digital Enterprise The Digital Enterprise is about applying digital technology to adapt or change: • The Strategy of the Enterprise • The Product or Services it markets • The Experience it delivers to customers, employees and other stakeholders • Its Operating Model
  • 5. 5 Copyright National University of Singapore Architecting The Dual Transformation Two major drivers of Digital and Agile Transformation: • Customer Experience which drives Digital Transformation • The Project-to-Product shift which epitomizes Agile Transformation Source: The Open Group Agile Architecture Standard
  • 6. 6 Copyright National University of Singapore Project Centric vs Product Centric Operating Model Project Centric Operating Model Product Centric Operating Model Deliverable-oriented Outcome-oriented Scope is agreed in advance Value delivery determined based on the feedback Limited time duration No specific time duration; lasts as long as there is a need Difficult to change scope or directions, unless specifically set up to accommodate Must accommodate market feedback and directional change Focus on delivering the plan Focus on delighting the customer Resources are specifically planned for, but their commitment is temporary (team is “brought to the work”) Resources are assigned long-term to the product (work is “brought to the team”)
  • 7. 7 Copyright National University of Singapore Which of your organisation has made the transition from Project to Product Centric Operating Model? ⓘ Start presenting to display the poll results on this slide.
  • 8. 8 Copyright National University of Singapore The Scaling Crisis Of 28 million US firms, the majority of firms (96%) never grow beyond a founder; a small percentage emerge as a viable team of 8-12, and even smaller numbers make it to the stable plateaus of 40-70 and 350-500. The “scaling crisis” is the challenge of moving from one major level to the next.
  • 9. 9 Copyright National University of Singapore The Role of Architecture Source: Digital Practitioner Body of Knowledge
  • 10. 10 Copyright National University of Singapore Context I – Individual Founder • The Individual/Founder context addresses “minimum essential concerns they must address to develop and sustain a basic digital product”. • This context represents the bare minimum requirements of delivering digital value.
  • 11. 11 Copyright National University of Singapore Context I Individual/Founder: The Role of Architecture and the Architect Architecture Role • Used as a communication medium. Architecture models communicate very well. • It provides the necessary descriptions to communicate the infrastructure available and its appropriate use for both development and delivery • Use to support and provide answers to questions about Agile development and continuous delivery. Architect Role • A communicator and considered a key enterprise networker. • Helps to identify existing infrastructure approaches that may be embedded in larger organizations, and to communicate vetted technical requirements to the infrastructure organization to ensure preparation for new workloads • Can be approached to provide guidance in these areas on demand, based on their practical experience
  • 12. 12 Copyright National University of Singapore Context II - Team • The team has a single mission and a cohesive identity, but does not need a lot of overhead to get the job done. • The Team context covers the basic elements necessary for a collaborative product team to achieve success while remaining at a manageable human scale. • Establishing team collaboration as a fundamental guiding value is essential to successful digital product development. • The team is all in the same location, and can still communicate informally, but there is enough going on that it needs a more organized approach to getting work done.
  • 13. 13 Copyright National University of Singapore Context II Team: The Role of Architecture and the Architect Architecture Role • Enterprise Architecture can assist Product Management by providing models that map to a given digital product profile. • It makes interdependencies explicit, assuring an holistic view of the digital product. • Used to depict processes and workflows in very simple to very complex levels of detail • Provides models to depict how operations are expected to run Architect Role • Can ensure efficacy of communication and collaboration. • Helps to communicate risks and mitigations • Able to deliver this support in an on-demand, service-oriented manner to meet the operating tempo of the team.
  • 14. 14 Copyright National University of Singapore Context III – Team of Teams • The Team of Teams context is a natural evolution of the Teams context, but one where the number of people and digital products involved generates complexity. • Coordinating across a team of teams is the main concern. • Communication is again key to ensure successful collaboration and value delivery.
  • 15. 15 Copyright National University of Singapore Context III Team of Teams: The Role of Architecture and the Architect Architecture Role • EA is used to depict - Portfolios of products - Processes and control mechanisms and to identify and eliminate choke points and for continuous process improvement - Interdependencies - Value Generation, and cost supporting portfolio management decision-making processes Architect Role • Continues to ensure that risk is understood and communication is effective. • Ensures that the digital products work together, leverage each other, and are appropriately coupled; thus, modeling and documenting the move from a specific digital product to portfolios of digital products that require interoperability.
  • 16. 16 Copyright National University of Singapore Context IV – Enduring Enterprise • The Enduring Enterprise context is about how to manage an enterprise that has been successful and is now faced with the realities of operating a sustainable business over periods of time longer than the next product cycle.
  • 17. Context IV Enduring Enterprise: The Role of Architecture and the Architect Architecture Role • Helps managing risk • Guide on Information Management through business, data, application and technology architecture Architect Role • Supports the Enduring Enterprise in operating a sustainable business over periods of time longer than the next product cycle
  • 18. 18 Copyright National University of Singapore Enterprise Architecture – Describing Coherence
  • 19. Learning Outcome Upon completion of this session, you will be able to understand: • The Digital-Product Centric Enterprise and Architecture  EA in Digital Product-Centric Enterprise
  • 20. 20 Copyright National University of Singapore How many of you know what is Enterprise Architecture? ⓘ Start presenting to display the poll results on this slide.
  • 21. 21 Copyright National University of Singapore Enterprise Architecture “the city plan” System Architecture “the building design” Business Strategy Information Technology Strategy Business Opportunity Technology Availability IT Architecture - Information - Application - Technology Planning Design and Delivery Enterprise wide focus Project focus Strategy Business Operating Environment and IT Infrastructure IT Solutions Enterprise Architecture Business Architecture - Processes - Information - People - Locations Transition Planning and Governance EA provides a mechanism to instill discipline and control (governance) to business and their enabling IT infrastructures Source: The Esplanade Company Limited Source: The Esplanade Company Limited Governance & Management Enterprise Architecture
  • 22. 22 Copyright National University of Singapore Enterprise Architecture The process of translating business vision and strategy into effective enterprise change by creating, communicating, and improving the key principles and models that describe the enterprise’s future state and enable its evolution. (Source: Gartner®)
  • 23. 23 Copyright National University of Singapore Without EA in Digital Product-Centric Enterprise, what happens? 77 million customer details stolen Service down for X days Costed USD $250 million Source: Designed for Digital, MIT Press, Jeanne W. Ross etc, 2019,
  • 25. 25 Copyright National University of Singapore Innovation Dynamics In the Digital Era Have Changed… 77 million customer details stolen Service down for X days Costed USD $250 million
  • 26. 26 Copyright National University of Singapore Changes in an Application is Inevitable 77 million customer details stolen Service down for X days Costed USD $250 million We need to support: • New business requirements • New non-functional requirements • Updates to existing technologies • New technologies
  • 27. 27 Copyright National University of Singapore In the Product-Centric Enterprise, Enterprise Architects are Challenged! “If we’re going to have to do a heavy-weight architecture which plans for two to five years into the future, how can we be agile? “ “Ideally, that pool of seniors in your team act as a kind of proxy architecture committee and we don’t need to go to someone who supposedly got the title sitting in an ivory tower for approval” Though the architecture discipline is still needed, the architect’s role has to evolve otherwise they are at risk of being marginalized. EA as a Centralised function is no longer fit-for-purpose – EA must evolve their practices into Federated and Loosely-Coupled disciplines
  • 28. 28 Copyright National University of Singapore BDUF? 77 million customer details stolen Service down for X days Costed USD $250 million Requirements Architect Design / Develop Release Make all the important architecture decisions here Easy stuff here How hard is that? What appears important here may not be important We learn a lot more about the problem space and false assumptions Much harder that we thought
  • 29. 29 Copyright National University of Singapore Intentional Architecture • Definition: A purposeful set of statements, models and decisions that represent some future architectural state • Although Big Design Up-Front (BDUF) is incompatible with Agile ways of working, Intentional Architecture is needed and valuable • Some up-front intentional architecture prevents waste and accelerates decision-making • Intentional architecture should be simple, focused and compact because: • It is likely to evolve so investing in a detailed model would be wasteful • It is guided by guardrails imposed by governance
  • 30. 30 Copyright National University of Singapore Emergent Architecture • The best architectures, requirements, and designs emerge from self- organizing teams ~ Agile Manifesto Principle 11 • Emergence refers to what appears, materializes, or surfaces when a complex system operates; desired or undesirable functions or outcomes emerge • Process of producing deliverables without defining the design or architecture upfront and allow the architecture to materialize over time in order to be able to respond to change quicker
  • 31. 31 Copyright National University of Singapore Product Architecture (and Continuous Product Development) MVA Least possible set of architecture done to support the MVP to be released MVP Facilitates incremental changes to the product architectures
  • 32. 32 Copyright National University of Singapore Big Design Up Front vs No Big Design Up Front? Provide some examples in which you should do the following: 1. Big Design Up Front 2. No Big Design Up Front
  • 33. 33 Copyright National University of Singapore Big Design Up Front Here are some examples for which you should do more design up front: • Those with extremely stable requirements, with no changes expected on the order of years • Ones for highly isolated environments (for example, space travel, underwater exploration), for safety reasons • You've written the exact same piece of software before, with the same group of people, with no scope changes (You'll get a deadly accurate estimate for this one) • For highly constrained environments, such as embedded systems, to make sure that you consider the constraints for that environment
  • 34. 34 Copyright National University of Singapore No Big Design Up Front Examples for which you should not do too much up-front design include: • Highly variable, changing requirements (on the order of months or weeks), like most business applications • Those that need to respond to external factors, such as market conditions • When you're not yet sure about many of the business or technical details
  • 35. 35 Copyright National University of Singapore EA in Product-Centric Digital Enterprise (1) Source: How can EA support Product Management, Gartner
  • 36. 36 Copyright National University of Singapore EA in Product-Centric Digital Enterprise (2) • EA to support enterprise wide strategy and decisions to define and support the product portfolio and products • The goal of EA is to maintain alignment between business strategy and digital systems helping business and technology leaders and Product teams balance wide-scale innovation at speed with architectural integrity. The goal is not to achieve 100% enforcement at all times; in fact, allowing acceptable levels of deviation and even duplication amongst Product teams will be the only way to avoid slowing critical innovation. • EA acts as an Advisory function and not as a central approver for digital innovation which has sometimes been the case in traditional management models • The EA function ensures the enterprise-wide perspective is maintained to help align activities across product portfolios, foster collaboration between teams, and prevent large-scale duplication or deviation from architectural standards.
  • 37. 37 Copyright National University of Singapore Enterprise Architecture and Product-Centric Enterprise Architecture designed in an agile context: • Provides the Vision (Intentional Architecture) where the team fits in with their development work • Gives clear boundaries and guardrails for the agile product teams to make their own decisions ( Emerging Architecture) • Evolves with the cadence of iterative and incremental development along the agile journey (Evolutionary Architecture) and ensures a proper alignment between intentional architecture (top-down) and the architecture emerging from the agile product teams (bottom-up) Enterprise Architecture Product Architecture Product Portfolio
  • 38. 38 Copyright National University of Singapore EA in Product-Centric Digital Enterprise (3) • Reposition and embed Enterprise Architects as product architects to form a Product Architecture function within product lines to support Product Managers, Product Owners and delivery teams • Create a Platform Architecture as a solid foundation and reference implementations that support the shared capabilities that cut across product lines
  • 39. 39 Copyright National University of Singapore Project Model and the Traditional Architecture Organization
  • 40. 40 Copyright National University of Singapore Product Model and Realigned Architecture Organization
  • 41. 41 Copyright National University of Singapore Platform Architecture • A thoughtful product and platform design underpins the transformation • Platform Architecture defining the digital foundations or platforms on which products sit Source: The Big Product and Platform Shift: 5 Actions to get the Transformation Right, McKinsey
  • 42. 42 Copyright National University of Singapore Evolving Governance… 42 Integrated Business/IT Governance 1.Quarterly Business Reviews verify that tribes fulfil their commitments 2.Tribes are monitored by their sponsors, who progressively release resources to match market growth needs 3.Tribes evolve autonomously, paced by Agile ceremonies 4.Post mortems are conducted during business reviews; resource reallocation decisions take team performance and business situations into account 5.The integrated governance model does not isolate IT investment decisions anymore. IT investments are a subset of the investments made by the business to develop new products or journeys. Investment decisions are evaluated against business outcome metrics. 6.The Agile governance features need to be adapted to fit the context, culture and maturity level of each enterprise.
  • 43. 43 Copyright National University of Singapore Enterprise Architecture Practitioner Course
  • 44. 44 Copyright National University of Singapore Mastering Digital Architecture Course
  • 45. Thank you Tan Eng Tsze isstet@nus.edu.sg
  • 46. We’d Love to Hear From You Speakers’ decks will be shared with attendees who completed the post event survey.
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