1.
Strategic Architecture
Bas van Gils <bas@van-gils.org>
Strategic Architecture
Bas van Gils <bas@van-gils.org>

2.
Strategic Architecture 2
The name of the game
The name of the game is communication! A quick
overview of tools and techniques that help
Setting the scene
What is meant by strategy and architecture
Strategic architecture
How an architecture approach helps to add value in
organizations
Resources & contact information
References, links and contact information
Agenda

3.
In this section a high-level overview of strategic management and
architecture is given. Each discipline is introduced after which typical
questions are discussed and frameworks / models presented.
SETTING THE SCENE
Strategic Architecture 3

4.
Strategic Management
Strategic Architecture 4
Strategic management is the discipline concerned with the strategy of an organization.
It is mainly concerned with positioning the organization with respect to its environment
Goal: meaningful survival of the
organization by aligning it to its
environment
Process: the process of strategizing can be
both planned or incremental, rational or
intuitive.
Documentation: strategies may be
documented in a strategic plan. This does not
hold for the incremental perspective where a
“pattern of decisions” may be recognized in
hindsight

5.
• What is our product offering?
• With which activity system and resources base
do we realize this product offering?
• What markets are we in?
• What is our competitive advantage?
• Should we strive for synergy between business units, or
optimize market responsiveness?
• Should our strategic processes be logical and planned, or
creative and incremental?
• Should our strategic processes be bottom-up or top-down?
Strategic Architecture 5
Questions for strategists

6.
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In strategic decision making, there is a natural tension between an inside-out
perspective (building on your own strengths) and an outside-in perspective (look for
opportunities in the environment and adapt the business system)

7.
Strategic Architecture 7
For multi-business firms, there is a tension between maximizing responsiveness to the
markets for each of the business units at the cost of synergies or vice versa.

8.
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Porter’s value chain model is the model for analyzing the chain of value adding /
supporting activities of an organization.

9.
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In positioning a product offering (or set thereof), firms may adopt a different approach.

10.
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The traditional 5-forces model (Porter) and the PEST-drivers can be used to analyze the
relation of the organization to its environment

11.
Enterprise architecture
Strategic Architecture 11
Enterprise architecture is the discipline concerned with the constitution of the
organization. It answers the question: how should we organize ourselves?
Goal: there are many goals for `doing architecture’,
revolving around the question how we should be
organized (and how to get there)
Process: many approaches have been proposed for
doing architecture. A common trait is the rational,
planned approach that is taken
Documentation: every (organization) system has
an architecture, whether it is documented or not.
Architecture documentation tends to come in the
form of models and principles

12.
• What products and services do we offer to our
customers, and via which channels?
• How and where do we realize these products
and services?
• How is our organization structured, and who performs/
is responsible for what?
• What information is used by whom, and who is responsible for
managing this information?
• What IT support do we need, and which IT do we currently
have?
• Is our current organization efficient, or should we reorganize?
How? In what phases? Who are the stakeholders?
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Questions for architects

13.
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Strategic
Architecture
Segment
Architecture
Capability
Architecture
An architecture approach can be used at different levels of an organization. The TOGAF
standard distinguishes between strategic level, segment architecture, and capability
architecture

14.
Strategic Architecture 14
View-
points
Process Language
Enterprise Continuum, Repository,
Reference Models
Enterprise Continuum, Repository,
Reference Models
ArchiMateTOGAF
An architecture approach / framework consists of both a process and a language.
TOGAF and ArchiMate are complementary open standards that are both maintained by
the Open Group

15.
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The TOGAF standard consists of six components of which the Architecture Development
Method (ADM) is the core. The Architecture Content Framework can be mapped onto
the ArchiMate language

16.
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ArchiMate is the defacto architecture modeling language at the enterprise level. It
covers the business, application, and technology levels of an organization. Recent
additions cover the implementation/migration and motivation domains.

17.
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The ADM is the core of TOGAF. This process is iterative and incremental and combines
with ArchiMate. The original specification maps to phases B,C, and D. Extensions have
been developed for the other phases

18.
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The core concepts used in developing architectures are described in the architecture
content framework. This figure shows ho the ArchiMate concepts cover all areas of this
content framework in more detail.

19.
In this section the relation between strategic management and
architecture is discussed. The goal is to show how the two disciplines can
reinforce each other.
STRATEGIC ARCHITECTURE
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20.
Overlap in scope
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Products &
services
Products &
services
ProcurementProcurement SalesSales ProductionProduction……
Supporting functions: HR, IT, …Supporting functions: HR, IT, …
Competitors Partners CustomersSuppliers
Strategy:aligningthe
organizationwithitsenvironment
Architecture:aligning&
structuringtheorganization
Strategic management is concerned with external positioning, whereas architecture is
concerned with internal design. The disciplines overlap in touching e.g. products and
services, as well as high-level structuring.

21.
Overlap in models
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In strategic management the Value Chain model by
Porter plays an important role in assessing how an
organization is organized
In enterprise architecture, the function model can be
used to represent the same information
In strategic management, products and services relate
the organization to its environment
In enterprise architecture, a product architecture
represents the same information. Even more, details are
provided with respect to their realization.
Business function
Business function Business role
Business actor
Business object
Business service
Contract
Business product
Business interface
Application service
Application functionData object
Applicationcomponent
Application interface
Infrastructure service Infrastructure interface
System software
Device
Node
Artifact

22.
Value chain & function model
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23.
Example: service realization
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24.
Mutual reinforcement
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In the light of long term, meaningful survival of the organization, strategists and
architects should join forces in aligning the organization to its environment &
developing a suitable / effective organization.
Strategic
Management
Enterprise
Architecture
• Provide guidance and
direction
• Leading discipline
• Set qualitative and
quantitative goals for
the organization
• Give insight in
architecture of org.
• Present “evidence” to
guide decision making
• Develop solution
alternatives for
(future) strategic
directions
• Impact analysis of
choices

25.
The name of the game is communication. In many cases, the relation
between architects and strategists is hampered by misunderstanding.
This section provides insight in aligning architecture processes to existing
frameworks in the enterprise and improving communication.
THE NAME OF THE GAME
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26.
Conflicting worldviews
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Architecture:
Systemic perspective
The organization is a legal entity and
uses resources to achieve (fixed) goals
The organization can be governed,
changed etc. as if it were a machine
The organization is a `thing’ that exists
on its own and has a clear boundary
Architecture:
Systemic perspective
The organization is a legal entity and
uses resources to achieve (fixed) goals
The organization can be governed,
changed etc. as if it were a machine
The organization is a `thing’ that exists
on its own and has a clear boundary
Strategy:
societal perspective
The organization is a society of
individuals forming alliances to
achieve goals
Maximize freedom to adapt to
changing conditions, goals, society;
non-deterministic
No clear boundaries of the
organization; employees are not “part
of” the organization
Strategy:
societal perspective
The organization is a society of
individuals forming alliances to
achieve goals
Maximize freedom to adapt to
changing conditions, goals, society;
non-deterministic
No clear boundaries of the
organization; employees are not “part
of” the organization
The predominant way of considering organization differs greatly between the fields of
strategic management and enterprise architecture. This causes many communication
problems between practitioners.

27.
Keeping options vs optimization
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In order for the organization to survive, strategists
keep their options open in aligning the organization
to its environment
In order for the organization to survive, strategists
keep their options open in aligning the organization
to its environment
In order to function, an organization must be
organized. Architecting implies creating a structure
and therefore limits strategic options
In order to function, an organization must be
organized. Architecting implies creating a structure
and therefore limits strategic options

28.
Dialog instead of debate
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Like many practitioners, architects tend to have a natural
reaction to “want to be right”
Like many practitioners, architects tend to have a natural
reaction to “want to be right”
Being right is less important than meaningful survival of the
organization
Being right is less important than meaningful survival of the
organization
Rather than debating who’s right (debate), communicate
and help! Without communication there is no alignment
between strategy and architecture
Rather than debating who’s right (debate), communicate
and help! Without communication there is no alignment
between strategy and architecture

29.
5 commandments for architects
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11 Be relevant: make sure that what you do adds value to the organization. A nice
architecture (drawing) is nice, but no more than that!
22
Be prepared: make sure you know what you’re talking about. Do the work. Gather
information about the architecture of the enterprise, structure and store it for later
reuse.
33
Walk the walk and talk the talk: learn how to communicate in the language of the
people you’re helping. Answers to questions and a summary of findings may be of
more use to strategists than the models on which they are based
44
Less is more: at the strategic level of an organization, detailed architecture models
and diagrams contain too much information. Condense the information, provide
guidance and insight (and be prepared to follow up!)
55
Ask and inspire: improving communication takes commitment of both parties. It
takes time. When things are unclear – ask for more information, and inspire
strategists to join in the dialogue!

30.
Example: BriteLite
• BriteLite is a manufacturer of lighting
products based in the Netherlands. BriteLite
currently has two production facilities in
Veghel and Dordrecht. Traditional light bulbs
will disappear in the next 5-10 years.
• BriteLite’s strategy therefore is to actively
promote LED lighting systems and phase out
production of traditional bulbs.
• The Architectecture department is asked to
come up with a roadmap for the
organization to make this happen in order
for marketing to come up with new
campaigns in line with the new strategic
direction
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31.
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Step 1 - analysis
A first step for the architects is to analyze which business functions are executed at
which locations. IT is only in Dordrecht, Marketing, Sales, HR, and Procurement is only in
Veghel. Productsion and Logistics are at both locations

32.
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Proposition – phase 1
In the first phase, production capacity in Dordrecht is used to continue production of
old bulbs. New products are developed in Veghel.

33.
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Proposition – phase 2
In the second phase, both facilities produce LED-products.
All “old” production capacity related to light bulbs is phased out

34.
The advice
Strategic Architecture 34
Architects advice to do a phased migration. Further analysis shows that LEDs are
relatively easy to customize. New IT will make it easier to track orders through
production and diversification (light solution consulting) is considered
After careful consideration,
the proposal is accepted and
BriteLite enters a new
market
After careful consideration,
the proposal is accepted and
BriteLite enters a new
market

35.
• BriteLite is not a “real” company and the
analysis presented here is greatly simplified
• Architectural analysis based on only business
functions is very high-level. More detailed
analysis includes among other things:
• Roles and responsibilities related to processes
• Information use and management, both in
business and IT terms
• Flow of information and goods
• Application and infrastructure support
• TOGAF and ArchiMate combined can be used
to add value to strategic decision making
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Remarks

36.
RESOURCES &
CONTACT INFORMATION
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37.
Resources
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B. De Wit & R. Meyer. Strategy Synthesis, Revolving Strategy Paradoxes to
Create Competitive Advantage - Concise version. Thomson, 2006 . ISBN:
1408018993
The Open Group. TOGAF version 9. Van Haren Publishing, 2009.
ISBN: 9789087535995
The Open Group. ArchiMate 1.0 Specification. Van Haren Publishing, 2009 .
ISBN: 9789087535025
B. van Gils. Strategy and Architecture - Reconciling Worldviews. In: First NAF
Academy Working Conference on Practice-Driven Research on Enterprise
Transformation. LNBIP, vol: 28, pp: 181-196. Springer Verlag, 2009

38.
Dr. Bas van Gils
• Email: bas@van-gils.org
• Web: http://www.van-gils.org/~bas
• Blog: http://strategic-architecture.bpogspot.com
• Twitter: http://twitter.com/basvg
Strategic Architecture 38
Bas is an enterprise architect with a passion for business and IT. His first involvement
in this field was in his studies in Information management and technology at Tilburg
University. After receiving his MSc from Tilburg University (the Netherlands) and his
PhD from Radboud University (Nijmegen, the Netherlands) he has continued to
explore this field. His experience ranges from enterprise architecture to strategic
management and leadership. A balance between adding value in practice and
continuous learning is an essential ingredient of his attitude towards work. His
ambition is to work on complex issues in the field of strategic architecture. Bas is
currently active as consultant, researcher and trainer/lecturer for BiZZdesign.