Enterprise Architecture, Project Management & Business Transformation Riaz A. Khan, BSc (Hons.) CS, TOGAF, ITAC-M Instructor, Course Designer, Faculty Advisor Practice Leader, Enterprise Architecture
Enterprise Architecture, Project Management & Business Transformation
Riaz A. Khan, BSc (Hons.) CS, TOGAF, ITAC-M
Instructor, Course Designer, Faculty Advisor
Practice Leader, Enterprise Architecture
Today’s FailuresWhat’s the problemDigital & TransformationEnterprise ArchitectureProject ManagementBest Practices for integration
Agenda
A bit about me
Dec ‘07 - Certified as a Open Group Master ITA & Appointed to the IBM ITA Profession Board
Dec ’13 Appointed as Instructor of Enterprise Architecture, University of TorontoProvided architecture consulting to senior executives across North AmericaVP & CA of Sears Canada – Enterprise Transformation Currently building out EY’s Enterprise Architecture capabilities in Canada.
Hons. Software Engineering/Computer Science Degree – University of Toronto
“Everybody has a plan before they get punched in the face”- Mike Tyson
SocialMobileAnalyticsCloudIoT
LOSERS
Transformation through Innovation is imperative if you are going to survive in the new Digital world
Technology shifts, alternative business models, and customer experience? Who’s Job is it?
Winners
Nike has made the transition with a move to Social Media and Digital Technologies like NikeID
Disney has made a strong transition to the Digital world
Ideas, products, services, money, relationships are crossing the globe at the speed of light.
What is Digital Transformation?
digital business transformation
customer experience
digitisation
“Anytime, anywhere access”“Create seamless experiences along the customer journey”
“Drive proactive customer acquisition”
“Drive digitally enabled customer engagement”
“Enhance cross sell ”
“Develop deep insight into customer behaviour”
“Deliver hyper personalised customer experience”
“Drive digital adoption across customer base”
“Digitise ‘channel to fulfilment’ through Business Service Redesign”
“Drive simplification and straight through processing”
“Deploy new way of working in Operations and IT”
value
customer delight, acquisition & retention reduced cost to serve & cycle time
CUSTOMER JOURNEY ENGINEERING
focused on shaping, designing and engineering delightful customer experience
will be anchored around key themesdelivering superior customer experience through technology enabled differentiation
digitally connect customers, employees, assets, suppliers and partners in real time irrespective of location
rapid fulfilment of customer and employee needs through adoption of straight-through processing and paperless operation
leverage network of partnerships and offer relevant products / services linked to customer life cycle and goals
insight driven actions, interactions and
decisions based on sound understanding
of customer behaviour, journey and goals
true multi-speed IT capable to flex and
deliver rapid business change and innovation, maintaining operational
and portfolio controls
future-proof technology infrastructure to ensure business agility, scalability, rapid provisioning and state of the art security
1990 1995 2000 2005 2010 2015
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Customer Journey Design ModelO
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Copyright © The Open Group 2015
Tmforum Customer Journey Reference Model
ARMU Average Revenue per market
ARPU Average Revenue per user
Cart Abandonment rate The loss of conversion of user journey end goal that
is not complete Churn
The rate of loss of customers from a service Click through rate
Percentage of user visit to next stage evaluation Conversion rate
The percentage of user activity that achieved the user journey outcome goal, for example, purchased the product in store.
Confidence Level level of percentage confidence limit probability
accuracy of location data point Latency
The speed of IOT response protocol e.g. Bluetooth LE 6 ms
Digital KPIs Location-based Attribution
The ability to ascribe a cause or effect from or to a location. Is able to be measured and attributed typically to a sale or an influencer that moved a customer from one stage to the next in a customer journey.
Net Promoter Score NPS A measure of the level of traffic movement towards a
brand or web site or touch point
Open Rate The percentage of user that accessed the product or
service from an event trigger, for example from a advert or email prompt.
Reoccurring Revenue Rate (RRR) Often taken as an average, it is is the level of repeat
business revenue from a user and or service, typically as a subscription
User Cadence (usage rate) The frequency a Touchpoint is activated
Valency index A measure of the attractiveness of a touch point
cluster driving convergence to it
Business Architecture for Business Transformation
A blueprint for the businessWould you build a skyscraper without a complete architecture?
• Implementing a business transformation without an architecture is like building a skyscraper without plans.– You need specific models such as the floor
plans, electrical, plumbing, and HVAC schematics
– You need the models that show what the finished product will look like and how it will fit with its surroundings
• The business architecture ties the strategies, goals, and objectives of the organization to the systems and solutions that provide for them
Business modelOperating model
Capability modelIT architectures
Business Architecture for Business Transformation
An architecture provides clear benefitsA look at two examples approaching the same business problem
Without an architecture, projects and solutions become entangled, leading to:• Long, arduous, drawn out projects with no clear
end date or success criteria• Redundant, expensive systems and processes• Insufficient requirements traceability• Overly complex integrations and higher long
term maintenance cost• A “worn out” business that has no appetite for
change
Architecture-based execution, on the other hand:• Options and opportunities prioritized based on
business value and outcomes• Efficient, streamlined business processes
supported by data and applications with appropriate governance
• Traceability of solution components to business requirements and originating goals and objectives
• Targeted integrations using effective, repeatable patterns
Examples of aggregate spend reporting solutions from pharmaceutical industry
Leadership
It is clear – strong executive leadership, a clear objective and timeframe, and individual metric alignment are the key factors for success
Success demonstration Metric alignment & accountability definition Delivery & engagement
► There is a direct correlation between successful initiatives and executive sponsorship – in each case the initiative has been led by a C-level executive
► Furthermore these initiatives have been led by a single person as opposed to a team of people
► In cases where leadership has changed regularly or been passed from one role to another, the initiative has not enjoyed as much success
► Initiatives that clearly articulate the end-game are successful
► In each case where the initiative has been successful, the business architecture team has had a clear way to demonstrate success through the achievement of agreed outcomes with key stakeholders
► Teams that do not articulate how they will measure or demonstrate success are not considered as valuable
► Celebrating success is also a characteristic of better teams
► Success is this space involves articulating who is accountable for what across three areas:► Business architecture team
– defining what this team will do and what is responsible for
► Other teams and professions – specifically how the business architecture team will interact with them
► Individual metric alignment – specifically how individual roles and rewards will align to the (new) objective
► Successful business architecture delivers across shorter timeframes and communicates outcomes and status regularly
► It becomes the fulcrum around which other professions pivot, pulling in expertise as needed
► Use qualified and experienced professionals. Programs that use subject matter experts in place of architecture professionals have a much higher rate of failure than those who use both correctly
How to get it right: success criteriaGetting it right isn’t easy and requires qualified professionals
Despite different industries, geographies and business models some common themes have emerged within organizations to ensure successful business architecture initiatives
Enterprise Architecture & the Enterprise
Enterprise Strategy
Fire and hope!
Enterprise Architecture
Business Operating Environmentand IT Infrastructure
TransitionPlanning
Group IT Arc hitecture Defin itio n
Infrastructure Design & Planning
Establ ish IT Competency Centre
End U ser Infrastructure Upg rade
Inter-compan y WAN (imp le.)
Outso urce New Core systems
Outso urce Helpdesk and Deskto p
Outso urce netwo rk
Outsourcing Initiat ives
Competency Centre Initiatives
Ele ctronic Service Delivery
Data Wareho us e
Customer Service Centre
Re cog nise an d re po rt pro ble m
Dia gno se prob lem
Es cala te pro blem
An alys e prob lem
Log Pr oble m
Clo se p ro blem
Upd ate cus tom er
R esol ve prob lem
Byp ass and /or fix
Co nfig. Man ag eme nt
Ope rat ions Man ag eme nt
Cha ng e Man ag eme nt
Ca ll ma na gem en t
Ope rat ions man ag eme nt
Upd ate cus tom er
Pe rf an d C apa cit y man ag eme nt
WAN in fra st ruc tur e
In tra ne t/M ail inf ra str uc tur e
C us to me r S er viceDa ta Wa re ho us e
Gr ap hi cal IS
B.U . B. U.
D oc um en t Ma na ge m en t
S ys te ms M an a gem e nt
Mi dd lew ar e
NET WOR K
Planning/Design Initiatives
Infrastructure Initiatives
OtherBus in ess Un it SystemsKiosk sTel emetry s ys te mset c
Ini tiatives focused on migrating to the new delivery envi ronmen t
Plan ning/ Desi gnInfra str uctureOu tsourcing
Ini tiatives focused on implementing the vision
Plan ning/ designIT Compet ency centre
Key Group Decision Points
ArchitectureGovernance
Bus Architecture IT Architecture
AEICorporate
YankeeGroup
SaturnGroup
YarnDivision
KnitsDivision
SenecaPlan t
RaleighPlan t
CashManagement
Shippi ng
Accou nt ing
Co mponen tDesi gn
Yarn Buying
Order E ntry
Comp onentSchedu ling
YarnDyei ng
Inven tory
AssortmentPlanning
ComponentKni tting
Tagging & Packing
Business StructureBusiness Locations
Classically, EA is the “planning” function between strategy formulation and delivery…
Prog
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Strategy
Planning
Designand
Delivery
Change Programs
Soln Outline Macro Design Micro Design Devt, etc.
Program ArchitectureGrou p I T Archi tect u re Def in it ion
Inf ra st ruc tu re De si gn & Pl an nin g
E st abl ish I T C ompet enc y C ent re
E nd User I nf rast ru ctu re U pgrade
I n ter-c ompany W AN (i mpl e.)
O ut sourc e Ne w C ore s ys t ems
O ut sourc e H elp desk and D eskt op
Ou t so urce net w ork
Ou tsou rci ng I ni ti at ive s
Co mp eten cy Cent re Ini ti at iv es
El ect ro ni c Servi ce D el i ve ry
Da t a Ware house
Cu st omer Se rvi ce C ent re
WAN in frast ructureIntrane t/Mai l infrast ructu reCust omer S erviceData Ware house
Gra phical IS
B.U. B.U.Docu men t Mana gem ent
Syst ems M anag ementMid dlewa re
N ET WO R K
Pla nnin g/ Desi gn Init i at iv es
I nf rast ruc ture I ni ti ati ves
Ot herB u s in es s U ni t
S y st emsK io s ksT e le met ry s ys te mse tc
In i ti at ive s f ocus ed on mi grat ing t o t he ne w de li very environ ment
P la n nin g /D es ig nIn fr a str uc tu re
O u ts ou rc in g
In i ti at ive s f ocus ed on im pl eme nti ng th e vis ion
P la n nin g /d es ig nIT Co m pe te n cy c e nt re
Key G rou p D ecisi on Poi nt s
Soln Outline Macro Design Micro Design Devt, etc.
Program ArchitectureG ro up IT A rc hi t ec ture D ef ini ti o n
I nf ras truct ure De sig n & Pl ann ing
Est abl ish IT Co mpe ten cy Cent re
En d User Inf rast ruc t ure Up grad e
Int er- compa ny WAN (i mp le. )
O ut so urc e N ew C ore s yst ems
O ut so urc e H el pdesk and D eskt op
O ut sourc e ne tw ork
O ut sourci ng I nit i ati ves
Com pet ency Cent re In it ia ti ves
E lect roni c S ervi ce De liv er y
D at a Wareho us e
C usto mer S ervi ce Ce ntre
WA N infra struct ureIntr anet/M ail inf rastruc tureCustom er S erviceDa ta Wa rehous e
Grap hical IS
B.U. B.U. Docu ment Mana gemen t
Syste ms M anage mentMidd lewa re
NE T WO R K
Plan nin g/ Desi gn In it i at ive s
Inf ra str uctu re I ni ti at iv es
O th erB u si ne s s U ni t S y st ems
K io s ksT el eme t ry s ys te mse tc
I ni t ia ti ves fo cuse d on mi grat i ng to t he new del ivery env ironme nt
P la nn in g /D es ig nIn fr as tr uc tu re
O u tso u rc in g
I ni t ia ti ves fo cuse d on i mpl emen tin g t he v isi on
P la nn in g /d es ig n
IT C o m pe te n cy c e nt re
Ke y Gr oup D ecisi on Po int s
Enterprise Architecture
= “the city plan”
System Design= “the buildings”
Strategy = “the city’s purpose & goals”Technology
AvailabilityBusiness
OpportunityBus Strategy IT Strategy
“Do the Right Things”
“Do the Right Things Right”
PROJECT MANAGEMENT CORE PROCESSES
Quality
Cost
Human Resources
Communication
Project Risk
Procurement
IntegrationScope
Schedule
Core Processes explained
Stakeholder Management
Making sure that people concerned with the project are continuously engaged and their expectations met.
Core Processes continued
Shared Industry Challenges
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The business will fund the EA functions it believes are delivering value and jettison the rest to partners and vendors The focus will be on the Business and Information layers in the Architecture domain stack because this is where EA has the most impact on the bottom line.
How to translate business and IT strategies into
execution?
Shared Industry Challenges
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For the PMO, the focus is on maturing strategic capabilities and implementing a more robust investment portfolio. Increase knowledge of Business and Information Architecture.
Deliver pragmatic and immediate benefits.
How to deliver projects that are pragmatic and
directly linked to realized value?
Industry Response – System IntegrationSoft skills and Business understanding Complete project metadataRudimentary inventory of IT assets and servicesLack technical knowledge of business information architectures.Inconsistent data and vocabulary to the business
Lack soft skillsLimited project metadata collected to begin to understand transformationComplete inventory of business and IT assets related across multiple portfoliosTechnical knowledge of business and information architecturesInconsistent data and vocabulary to the business
PPM(PMO)
EA
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EA vs PPMBusiness Expectations EA & PPM Challenges• Increase focus on Business
Value• Increase knowledge of
Business & Information Architecture
• More collaboration, less silos• Focus on prioritization• Focus on delivering pragmatic
& immediate benefits
• Must understand & translate business value into execution
• Soft skills are critical • Understand enterprise
strategic priorities• Architect for the business • Work differently
EA vs. PPMInterdependent Process
EA Role PPM Role
Strategy Ensures Business & IT Strategy align Supports Strategic Planning
Investment Influences investment decisions & IT budget formulation
Supports budget formulation process & monitors investments
Investment Support
Integral member of integrated project team developing business case & solution
Provides standards, tools, assists with scope, schedules, budget, risks & communications
Investment Review Process
Member of review process, project portfolio planning & review board which monitors portfolio & project performance against scope, schedule, costs, risks, etc.
Leads review process. Adds new projects to portfolios, monitors & reports demand, risks/issues & performance problems
Acquisition Oversight
Ensures IT acquisitions align with target architectures & Technology Standards lifecycle. Promotes RE-USE.Provides acquisition support (lab & governance process)
Supports development of acquisition package (alternative analysis, cost estimates, RFPs & selection plan.
EA vs. PPM
Current & TargetArchitecture
Enterprise Architecture
Business Strategy
Business Direction
Capability Planning
Portfolio Management
Structured Direction
Program Management
Project Management
Stra
tegy
Exe
cutio
n
Aligning PMO and EA Functions
Demand Management
Enterprise Architecture
Portfolio Management
Project Initiation
Project Planning Project Closure EA
Governance
Enterprise Architecture
ProjectExecution
Project Monitoring and
Control
Architecture Development
Implementation Governance
EAGovernance
1 2
3
4
5
6
1
2
3
4
5
6
Implementation Roadmap
Architecture Definition Document Implementation Roadmap
Updated EA Content Framework
Existing Capabilities Domain Expertise
Architecture Compliance Checks Step Outs
Updated EA Content Enhanced EA Practice
EA’s Specific Contribution to Portfolio Management
Initial PortfolioAssessment
Detailed Portfolio
Assessment
PortfolioPrioritization
Enterprise Architecture
1
1
2
Existing Capabilities Domain Expertise
Implementation RoadmapDomain Expertise
EnterpriseArchitecture
2
Demand Management
Portfolio Management
Project Initiation
Project Planning Project Closure
ProjectExecution
Project Monitoring and
Control
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Industry Response – System Intergation
PPMEAMS
BusinessSuccessful companies are beginning to integrate their systems.
Shuffling stewarded data back and forth between systems.
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Industry Response- System Integration Extend and integrate systems for a 360°view of Project and Architecture metadata
Extend EAMS to fully enable the execution of project data and
apply to applications
Extend PPM dimensions to include business capabilities and risk
• Common language/taxonomy - establish consistency.• Leverage system of record data and metrics to improve portfolio decisions, analysis &
execution.• Support integrated bi-directional use cases e.g., compliance, impact analysis, financial,
and demand management
Industry Response – System Integration
38
Establish Integrated Premise – Systems of Record
Compliance
PPM EAMS
Industry Response
Portfolio and Resource
Management
Capability and Technology
Management
Strategy andInvestments
Products
Applicationsand Services
Projects
Technology
BusinessCapabilities
Independent solutions or Integrated into one portfolio.
Integrated Strategic Planning and Execution
Optimize Your
Resources
PPM EA
40
Best Practice
Improve project selection decisions• Prioritize by determining which future business capability is
supported and align with strategy and architectures.
Improve strategic leverage of technology• Leverage technologies by linking to business outcomes.
Increase business value delivery• Reuse of reference models, patterns and technical standards
(assets).
Build a Case for Integration – Focused on Business Value Outcomes
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Best Practice
• Proposed Project/Business Cases• Project Dependencies Report• Project Fulfillment of EA Requirements• PPM/EA Governance Process• Project Design Reviews• PPM Training for EA staff
Ensure PPM Provides Key Deliverables to EA
Best Practice
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Actionable and Diagnostic Deliverables; • Enterprise context• Collaborative new project or project
change proposals: • Project architectural assessments• EA road maps • Project Waivers • EA training for PPM staff
Ensure EA Provides Key Deliverables to PPM