Transnet is the largest and most crucial part of the freight logistics chain that delivers goods to each and every South African. Every day Transnet delivers thousands of tons of goods around South Africa, through its pipelines and both to and from its ports. It moves that cargo on to ships for export while it unloads goods from overseas. In this presentation, Kevin Govender, Group Chief Enterprise Architect at Transnet, in Johannesburg, South Africa, shares the approach that Transnet uses to create business value through an ARIS based Enterprise Architecture Solution. Kevin shares that creating value through Enterprise Architecture involves planning and monitoring the performance of IT support of the business, throughout its entire lifecycle – ensuring that business strategy and demands are completely understood, prioritized and executed on and that the costs, quality and risks to IT support are known and considered during decision making. This presentation was a keynote address at Software AG's 2014 Innovation Forum, held in Johannesburg, South Africa.

1. ©2014 Software AG. All rights reserved.
Transnet, South Africa
Enterprise Architecture Value Creation
Customer Success Story
Kevin Govender
Group Chief Enterprise Architect

2. BUSINESS CONTEXT
Transnet is a public company, wholly owned by the Government of the Republic of South Africa and is the custodian of
rail, ports and pipelines. We are responsible for enabling the competitiveness, growth and development of the South
African economy through delivering reliable freight transport and handling services that satisfy customer demand. In
order to achieve our mandate, mission and vision, the Company is structured to provide the transport services as set out
below:

3. TRANSNET’S MANDATE, VISION AND MISSION
To assist in lowering the cost of doing business in South Africa and enabling economic growth through providing
appropriate ports, rail and pipeline infrastructure and operations in a cost-effective and efficient manner.
Vision
Transnet will meet customer demand for reliable freight transport and handling services through:
• Fully integrating and maximising the use of our unique set of assets
• Continuously driving cost efficiencies
• A demonstrated concern for sustainability in everything we do
To enable the competitiveness, growth and development of the South African economy by delivering reliable freight
transport and handling services that satisfy customer demand.
“We deliver freight reliably.”

4. BUSINESS OBJECTIVES
The shareholder has become increasingly articulate in respect of its expectations of Transnet. In the Statement of
Strategic Intent issued by the Minister of Public Enterprises on 19 November 2012, the overarching objectives for the
Company, in the context of the national transport system objectives, are defined as follows:

5. UNDERSTANDING TRANSNET’S BUSINESS ENVIRONMENT
In order to achieve operational excellence the optimisation of the freight value chain is a business imperative. The rail
and ports need to be integrated.

6. KEY BUSINESS CHALLENGES
1. Limited Integrated Planning, Scheduling and Forecasting
2. Disparate business processes across value chain
3. Limited visibility of the end-to-end value chain
4. Limited innovation due to high reliance and dependency on legacy business
applications and obsolete technology
5. Limited real-time information available for decision making
The key Business Challenges that we need to address:
Business challenges…

7. STRATEGIC BUSINESS IT ALIGNMENT
Transnet’s
Market Demand
Strategy
IT Strategy
Innovation
Opportunities
Business Vision
and Strategy
Applications
Architecture
Technology
Architecture
Enterprise Architecture
Security
Architecture
Information
Architecture
Integration
Architecture
Integration
Architecture
Future Business
Requirements
Future Business
Requirements
Corporate Plan
Innovation
Research
Strategic Initiatives
Business
Architecture

8. KEY ICT CHALLENGES
ICT’s aim is to enable Transnet’s objectives through collaborative thought leadership, with
strategic focus on:
 Business interruptions arising from lack of availability of systems, applications or
databases
 Changes in the regulatory environment (i.e. Protection of Personal Information (POPI
Act), and ensure conformance to the information management and compliance
requirements)
 Limited innovation due to high reliance and dependency on legacy business applications
and obsolete technology
 Limited real-time information available for decision making, hence management
decision-making capability not always occurring in a timely manner

9. ENTERPRISE ARCHITECTURE VISION
The key objective of Enterprise Architecture is to provide leadership and direction as
well as develops, maintains and leverages the Enterprise Architecture (EA) across the
organization to support the Transnet Strategy and focus on business outcomes.
The key objective of Enterprise Architecture is to translate Transnet’s vision and strategy
into effective business capabilities and services and to ensure the reliability,
interoperability and sustainability of business capability in accordance with the Transnet
Strategy.
Enterprise Architecture is important and the most common reasons are:
 A recognition that EA processes and methodologies can be used to help the
business make better decisions and deliver strategic planning;
 A desire to "align" or "integrate" IT and business initiatives and investments, and
 A need to demonstrate business impact and value from EA efforts.

10. ENTERPRISE ARCHITECTURE OBJECTIVES
 Agility - Rapid and controlled response to change, based on an understanding of evolving business
needs, is critical to the Transnet’s ability to fulfill its mission under changing conditions.
 Innovation - Creation of business value and the ability to respond to new and unforeseen
challenges in new ways by leveraging new ideas, products, services, processes, work practices, and
technologies.
 Usability - An environment that provides technology transparency, intuitiveness and easy access
which enables the users to focus on the creation of business value.
 Cost Effectiveness - Maximise the business value of IT investments.
 Risk Management - The ability to effectively conduct Transnets business operations in a manner
that minimises the exposure of Transnet as well as provide a safe and secure environment to
operate in.
 Scalability – Ability to scale solutions using the existing design to cater for evolving business
needs.

11. HIGH LEVEL ENTERPRISE ARCHITECTURE STRATEGY
Agility
EA
Objectives
Innovation
Roadmaps
EA
Domains
Usability
Risk
Management
Cost
Effectiveness
Applications Security Technology
Data /
Information
Business
Drivers
Technology Innovation
Program Content
… …
… …
… …
Program Content
… …
… …
… …
Framework
Enterprise
Architecture
Baseline
Environment
Implementation
Drivers
EA Program
Gap Analysis
Business
Implementation Analysis
Metrics
Scalability

12. ENTERPRISE ARCHITECTURE FRAMEWORK

13. ENTERPRISE ARCHITECTURE MODEL

14. Recognized as a Leader in the EA Management Suites Market
RECOGNITION BY ANALYSTS

15. ARIS ENTERPRISE ARCHITECTURE TOOL
Market-leading software
Proven methodology
Leading practices
 Integrate IT architecture and process
management in a single repository
 Create a uniform inventory of systems and
technologies
 Generate views of current and target
Architecture
 Ensure consistency and transparency in the
documentation of your IT landscape
 Reduce costs and complexity of your IT
environment
 Quickly document, analyze and monitor your
current situation
 Reduce the complexity of your IT environment
 Understand the impact IT system changes have
on your processes and organization

16. ENTERPRISE ARCHITECTURE USE CASES
IT Transformation
Definition and analysis of architecture
scenarios, impact analysis, creation of
roadmaps, timelines and building of
application portfolios.
IT Governance, Risk & Compliance
Impact analysis of technological risk
on business, integration with
information architecture addresses
corporate data security, insights into
information security risks and threats.
IT Architecture Management
Application harmonization,
technology standardization, IT
portfolio transparency, IT
infrastructure consolidation.

17. BUSINESS BENEFITS
Align
Business IT
Achieve
IT
Transparency
Improve
IT Agility
Reduce IT
Improve
Flexibility
&
Cost
& Complexity

18. RESULTS

19. RESULTS – ENTRY MODEL

20. RESULTS – ORGANISATION STRUCTURE DIAGRAMS

21. RESULTS – ORGANISATION STRUCTURE DIAGRAMS

22. RESULTS – BUSINESS CAPABILITY

23. NETWORK DIAGRAMS

24. SERVER DIAGRAMS

25. ENTERPRISE ARCHITECTURE MODEL

26. KEY BENEFITS
 Using ARIS Enterprise Architecture we adopted the standard framework, Open
Group Architecture Framework (TOGAF®)
 Uniform inventory of systems, applications and technologies
 Consistency and transparency in the documentation of our IT landscape
 Generate views of current and target Architecture
 Help manage complexity of our IT environment

27. SUMMARY
“EA is successful when it is actually
being used by the business and by IT to
make better decisions that impact
business value.”
Betsy Burton, VP Distinguished Analyst, Gartner

28. 28 |
Thank You