August 19, 2008

Aligning Enterprise Architecture and ERP

presented by Ben Berry, ODOT Chief Information [email protected]

August 19, 2008

CIO Council

2August 2008

Current State of Enterprise Programs

DAS & ODOT agree to Enterprise Resource Planning (ERP)

- DAS/ODOT create ERP Interagency Agreement.

- 09-11 Program Option Package (POP) created.

- RFP let for pre-implementation services to the Integrated System ERP.

- Joint DAS/ODOT Steering Committee and Charter established.

Oregon Enterprise Architecture (EA)

- 09-11 DAS POP requests creation of EA & Standards Program.

- Agency Directors in 2004 and 2006 documented need for effective, enterprise-level planning and IT-alignment.

- 2007-11 EIRMS endorsed by CIOC and Admin Business Directors calls for Enterprise business, technical architecture & standards.

- If approved by Legislature, EA and Standards Program would begin July 2009.

3August 2008

ERP EnterpriseResourcePlanning

Enterprise Architecture and ERP Alignment is Elusive

EAEnterprise

Architecture

Sustainable Business Architecture for Decisions• Alignment of EA to business needs.• A Repeatable EA framework• Architecture is visible across state agencies

• Define AS-IS & TO-BE functions for - Human Resources - Finance - Procurement

4August 2008

ERPEnterpriseResourcePlanning

Enterprise Architecture should Inform ERP

EAEnterprise

Architecture

5August 2008

Developing the Right Perspective is Critical!

ERPEnterpriseResourcePlanning

EAEnterprise

Architecture

Shared Interest

• Enterprise perspective

• Migration path to move toward target architectures

• Consistent EA methodology statewide

Targeted Interest

• Informed by EA

• Rich Reqts• Stake Holders

• Implement Bulletproof

Opportunities and Stewardship for: - Improved performance- Introduction of new capabilities- Expanded responsibilities- Reduced costs- Leverage new technology

6August 2008

DAS & ODOTIntegrated System ERP Program

Finance

HRIS

Procurement

Core ERP

LegacyApplication

LegacyApplication

LegacyApplication

Enterprise A

pplication Interfaces

Integrated System

AuthoritativeData Source

7August 2008

DAS to Provide; ODOT to

Pilot

ERP Proposed Scope and Release Strategyas of August 2008

8August 2008

Enterprise Architecture Definition

The process of translating business vision and strategy into effective enterprise change by creating, communicating and improving key requirements, principles and models that describe the enterprise’s future state and enable its evolution. (Gartner)

The practice of documenting the elements of business strategy, business case, business model and supporting technologies, policies and infrastructures that make up an enterprise. (Wikipedia)

Others

Integrated Data and Information from As-Is through “To Be State”

Forestry DCBSDAS DHSODOT

Using the FEA-DRM

Procurement Management

Other CentralServices Functions…

FinanceChart of Accounts

Procurement

Human ResourcesPersonnel Management

EA Supports Agency Requirements Gathering

10August 2008

What is the compelling business need for Enterprise Architecture?

Business: Value to the Business Facilitates business transformation throughout the enterprise. Formalizes and captures knowledge about the business that

helps identify new opportunities and clarify existing gaps. Provides a set of guidelines, standards, and blueprints that can

be used to acquire, build and deploy business solutions.

A properly designed and implemented enterprise architecture helps the enterprise implement processes and technology in harmony to achieve the business

objectives.

Technology: Value to the IT Organization Makes new initiatives easier to manage because they are

designed and implemented according to architecture guidelines.

Delivers a more manageable, agile IT environment. Aligns IT initiatives to business imperatives so that business

benefits justify the costs. Allows IT to stay ahead of the curve with respect to the

underlying technologies and infrastructure to support business applications.

11August 2008

Payr

oll /

Bud

get

Rec

ruit

/ Hire

Purc

hasi

ng

Agency Horizontal

CentralFunctions

Agency Vertical Core

Functions

Human ResourcesFinancial Management

Procurement

Forestry

Employment

Others

Revenue

DAS

DHS

ODOT

EA can Expose Core Business Functions

Statewide Enterprise Services

Agency Business Services

12August 2008

Enterprise Architecture can inform ERP

Infrastructure

Business

Technology

Application

Information (Data)

ODOTDAS

ERP

EA

ProcurementFinancials

Human ResTarget Business Architecture

Enterprise Information Architecture

Enterprise Application Architecture

Enterprise Technology Architecture

Fore

stry

Lotte

ryOEDDCBSDHS

13August 2008

For example: Incorporate Forestry Department EA into Statewide EA/ERP

Initi

ativ

e Sc

opin

g an

d A

sses

smen

t

Phase 1 – Initiative Planning

Technology Assessment Project

1. MS SQL Server 2005 as the Enterprise database

2. Develop an Enterprise common data model.

3. Establish a standard Application Development environment.

4. Continue to use Access to deliver single user, disconnected applications.

5. Establish a role of Bus Analyst/Data Architect

6. Make more use of remote control software to deploy applications

7. Develop a plan to use ArcGIS suite of software and database technology to integrate components of the ODF applications and enterprise IS.

Business Process

Modeling

Phase 2 – Initiative Execution

ODF FBII Steering Committee -Initiative and Project Management

DA

S EI

SPD

–

Initi

ativ

e C

onsu

ltatio

n &

Coo

rdin

atio

n

DocumentsMngt &

Records Mngt

Business Applications:

Forest / Fire Operations & Activities (FACTS)

ODF Financial Processing

Timber Revenue Accounting

On-Scene Fire Financial Processing

Forestry Business Improvement Initiative

Ente

rpris

e Da

ta

DocumentsMngt &

Records Mngt

BOF/ODF

Decision

Support

Business Applications:

Forest / Fire Operations & Activities (FACTS)

ODF Financial Processing

Timber Revenue Accounting

On-Scene Fire Financial Processing

14August 2008

So, what might an Action Path look like for aligning EA/ERP?

CATEGORY / TASKRELATIONSHIP SYMBOLSR – Responsible for taskA - Approves task to be performedC – Consulted and coordinated withI - Informed

CCR9. Establish governance structure to promote and manage architecture as an ongoing process.

CCR8. Refine an architecture development methodology for continued ongoing use.

RACC7. Develop a target architecture that reflects the

enterprise’s need to evolve its information resources.

CRAC6. Develop a migration plan to move towards the target Financial architecture.

RAC/$CC5. Create Financial segment architecture for the enterprise.

CRAC4. Develop a migration plan to move towards the “To-Be” target HR architecture.

RCAC/$C3. Create HR segment architecture for the enterprise.

RCCAC/$2. Identify enterprise mission, vision, principles and

environmental trends for enterprise administrative systems.

ACACR1. Complete SOW and RFP to acquire contractor to

develop “As-Is” EA for administrative functions and segment architectures for HR and Finance.

ContractorFinancialHRISEAActivities

CCR9. Establish governance structure to promote and manage architecture as an ongoing process.

CCR8. Refine an architecture development methodology for continued ongoing use.

RACC7. Develop a target architecture that reflects the

enterprise’s need to evolve its information resources.

CRAC6. Develop a migration plan to move towards the target Financial architecture.

RAC/$CC5. Create Financial segment architecture for the enterprise.

CRAC4. Develop a migration plan to move towards the “To-Be” target HR architecture.

RCAC/$C3. Create HR segment architecture for the enterprise.

RCCAC/$2. Identify enterprise mission, vision, principles and

environmental trends for enterprise administrative Systems (Finance, HR and Procurement).

ACACR1. Complete SOW and RFP to acquire contractor to

develop “As-Is” EA for administrative functions and segment architectures for HR and Finance.

Contractor Support

Finance Team

HRIS Team

EA TeamActivities

I

Governing Body

I

15August 2008

16August 2008

Enterprise Architecture Consulting Project Approach and Milestones

Planning Status andRequirements

ArchitecturePrinciples

ArchitectureModeling

ArchitectureManagement

ManagementAction Plan

PlanningSessions

Gather andSummarize

Inputs

DocumentKey

Requirements

PrinciplesDefinition

Workshops

DevelopConceptual

Model

GapAnalysis

Workshops

DevelopEvaluation

Criteria

DefineArchitectureManagementProcesses

DevelopTransition

Plan

FinalPresentation

Set expectations Review contract Identify ARB members Identify key stakeholders Schedule interviews Schedule Workshops Team orientation Other logistics

locations space communications Intranet Access

Strategic documents Business models User groups Pilots Sourcing position Baseline assessment

Architecture Review Board Kickoff (half day) EA Principles--------------- EA Visioning EA Roles/Responsibilities EA Metrics--------------- EA Processes EA Tools--------------- EA Transition Plan ---------------

Conceptual Model Access, Security Applications Data Common ServicesApplication Development,Cross-Function Applications Systems MgtNetwork, Platforms,Peripherals Autonomic/Grid/UMI

EA Processes Evaluation Criteria Arch Review Board Technical Steering Committee EA in a Box

Complete Documentation Initiatives B&P

Wk 3-5

Wk 6-9

Wk 9-12

Wk 2-12Wk 1

Wk 1-3 Wk 2-12

Set expectations Review contract Identify ARB members Identify key stakeholders Schedule interviews Schedule Workshops Team orientation Other logistics

locations space communications Intranet Access

Strategic documents Business models User groups Pilots Sourcing position Baseline assessment

Architecture Review Board Kickoff (half day) EA Principles--------------- EA Visioning EA Roles/Responsibilities EA Metrics--------------- EA Processes EA Tools--------------- EA Transition Plan ---------------

Conceptual Model Access, Security Applications Data Common Services Application Development,Cross-Function Applications Systems Mgt Network, Platforms,Peripherals Autonomic/Grid/UMI

EA Processes Evaluation Criteria Arch Review Board Technical Steering Committee EA in a Box

Complete Documentation Initiatives B&P

Wk 3-5

Wk 6-9

Wk 9-12

Wk 2-12Wk 1

Wk 1-3 Wk 2-12

17August 2008

Enterprise Architecture Consulting Estimated Timeline for a 12-week engagement. A simple project duration typically runs up to 16 weeks and can be requested for any duration and volume of content is estimated separately.

Week 1 2 3 4 5 6 7 8 9 10 11 12

Plan & Kickoff EA ProjectGather & Summarize Business & IT InputsArchitecture Baseline Assessment (Deliverable)

Define Enterprise Architecture Vision Define Enterprise Architecture PrinciplesInitiate Development of EA ManagementConfirm EA Vision,Principles & Mgmt. Definitions IT Architecture Context (Deliverable)Complete EA Management DefinitionsReview/Update Decision Model Evaluation CriteriaConfirm Development of EAMApplication Architecture, Architecture Management, It Architecture (Deliverables)PHASE 3 - Develop EA Enterprise - ETF and Transition PlanInitiate EA Architecture DevelopmentDefine Application-Data & Users RelationshipsDevelop EA-ETF Models Conceptual and other ModelsInitiate Transition Plan ActivitesDefine Technology Transition Initiative and PlanAssemble & Deliver Final Report and Close Project

IT Architecture Transition Considerations/ (Deliverables)Architecture Management/IT Architecture/IT Architecture Context/IT Architecture Final Report/

PHASE 1- Initiate EA Project and Understand Context

PHASE 2 - Develop EA Vision, Principles, and Management

Executive Briefing Package - Architecture Baseline Assessment/Application Architecture/ Architecture Gap Analysis/

< An interim report will provide early feedback on the team's findings and recommendations. < The final report will be presented at the end of the engagement.

18August 2008

How EA/ERP creates value for the enterprise

• Agency Directors

• ABSD• CIOs

• ERP Stakeholders

• Segment Owners

• Business Mgrs

19August 2008

Remember, the 09-11 DAS POP already defines the work of the EA Core Team

Enterprise Build architecture models for core statewide functions, e.g. HR, finance, &

procurement. Prepare for dedicated EA resources in 2009-11. Promote EA concepts for and report to business community. Establish a infrastructure for collaboration and sharing information across agency

boundaries. ERP Segment Architecture

Inform ERP program. Support the ERP effort by creating reusable EA methods, templates, tools, etc. Use segment architecture effort to jump-start cross-agency business

understanding.Agency Support

Inform and promote Enterprise Architecture and ERP architecture to agencies. Develop methods, tools, and assistance for agency or segment architecture work. Work to ensure that agency needs are recognized in both models. Work with agencies to influence projects that contribute to enterprise

architecture. Assist agencies to promote project concepts.

Architect Community Build architect’s community to share experiences, build skills, and reuse products. Continue to build EA infrastructure, web accessible repository and support.

20August 2008

Expected Outcomes: Top Down, Across and Bottom Up

EnterpriseVision

AgencyArchitectures

Architects

Build target architecture models for core statewide functions, e.g. HR, finance, and procurement.Promote EA concepts for business community.Establish a infrastructure for collaboration and sharing information across agency boundaries. Prepare for dedicated EA resources in 2009-11.

Reuse agency’s EA to ensure that their needs are recognized in a target statewide enterprise architecture model for core statewide functions.Work with agencies to influence projects that contribute to enterprise architecture.Assist agencies in promoting EA concepts.

Establish a community of architects to share experiences, build skills, and reuse architectural products.

21August 2008

Contributors to this presentation• CIO Management

Council • Ron Winterrowd ERP Program Manager (ODOT)

• Steve Schafer HRIS Project Manager (DAS HR)

• Tim Avilla IS Process Improvement (ODOT)• Ed Arabas EISPD Administrative Services • Scott Riordan EISPD Administrative Services

22August 2008

CIO Council ”Aligning Enterprise Architecture and ERP”