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Unpacking business-architecture

Jan 22, 2015

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Business

On extending TOGAF's business-architecture to a whole-of-enterprise scope (presentation at Biner/OpenGroup EA conference, Stockholm, December 2010)

  • *(c) Tom Graves / Tetradian 2010*Unpacking Business ArchitectureTom Graves, Tetradian ConsultingTOGAF Stockholm, November [email protected] / www.tetradian.com

  • Business architecture and the enterpriseor, What to do when the enterprise impacts on the business

  • What is business architecture?...and how does it differ from enterprise-architecture?No clear definition in TOGAF or elsewhere:TOGAF: strategy, business drivers, business capabilities, business processesknowledge of the Business Architecture is a prerequisite for architecture work in any other domain (Data, Application, Technology) but doesnt say what it is...Should it be the architecture of the business?but what is the business, anyway?

  • A real business problem......weve gone from the most-respected bank in our region to the least-respected bank and its starting to hurt everything we do...Serious impacts at whole-enterprise scalecustomer-relations, employee-relations, government-relations, business-processes, business-resultsAffects everywhere hence architectural issueeverything depends on everything elseYet what is the architecture of respect?and how would we describe it, with TOGAF?

  • Lets just step back a bit......think about this in strict architectural terms

  • *(c) Tom Graves / Tetradian 2010*Whole-of-enterprise architectureEach EA generation has had to extend the scope:Classic EA starts with IT infrastructureIT tech-architecture depends on applicationsApplications-architecture depends on dataData-architecture depends on business-info needInformation-architecture depends on businessBusiness-architecture depends on enterpriseEnterprise-architecture defines the contextAn enterprise-architecture must have whole-of-enterprise scope its not just detail-level IT!

  • *(c) Tom Graves / Tetradian 2010*Use the TOGAF maturity-model

  • *(c) Tom Graves / Tetradian 2010*TOGAF scope in maturity-modelTOGAF 8.1TOGAF 9(...everything else is just detail stuff)

  • Importance of Know your businessWe need that Stage 1 work (Know your business) as the anchor for the architecturehigh-level overview of what business are we in?TOGAF assumes this is business architecturebut TOGAFs handling of business-architecture is not well-suited for this purpose at present well come back to this laterFirst requirement: distinction between organisation and enterprisewe create an architecture for an organisation, but about an enterprise

  • Organisation and enterpriseOrganisation and enterprise are not the same!Enterprise: a social structure defined by vision, values, mutual commitmentsOrganisation: a legal structure defined by rules, roles, responsibilitiesThe enterprise is it provides motivationThe organisation does it provides actionTheyre fundamentally different dont mix them up!

  • Organisation as the enterpriseFrom a business perspective, this is the effective scope of TOGAFs business architecture

  • Business-model as the enterpriseTypical business-model or supply-chain view (complete supply-chain should extend beyond this)

  • Market as the enterpriseOverall market includes actors who do not yet have active transactions with us, or other transactions

  • The real scope of the enterpriseThe overall enterprise has many actors who may have only intangible transactions / interactions with us (yet can have major impacts on our business)

  • The architecture of respectMany of the sources for our banks problems were out in the extended-enterprisenot visible to a conventional IT-oriented architectureWe needed to surface those sources so as to resolve them in the business-architectureto do this, must be able to extend the architecture beyond the organisation, beyond the marketIdentify unifying factors to rebuild trustprovide customers etc reason-to-connect with bankpre-empt / minimise impact of anti-client incidents

  • A classic anti-client incidentUnited Breaks Guitars http://www.youtube.com/watch?v=5YGc4zOqozo Real business impacts for United Airlinesdirect cost (PR, media etc) in excess of $20m?contributed to short-term hit of c.$180m on share-valuelong-term damage to brand, reputation etc incalculableSocial-media gives anti-clients great leveragecomplaints can now spread faster, and wider(but with care, so can stories of customer-satisfaction)

  • The market-cycletransactions depend on (reaffirmed) reputation and trustboundary of marketin conventionalbusiness-models

  • So where does TOGAF fit into this?...or, how would we use TOGAF for this type of architecture?

  • We need a more balanced view...*(c) Tom Graves / Tetradian 2010*everywhere and nowhere is the centre of the enterprise-architecture

  • ...current TOGAF is too parochial?*(c) Tom Graves / Tetradian 2010*IT-infrastructure is the centre of the enterprise-architecture(but theres a whole world out there beyond IT...)

  • *(c) Tom Graves / Tetradian 2010*The TOGAF ADM: an old friend...Designed for IT-architectureFocus is IT/business alignmentBUT...Increasing consensus that EA is more than ITEA as the architecture of the enterpriseSO...How can we use TOGAF beyond IT?

  • *(c) Tom Graves / Tetradian 2010*...with an unfortunate kludge? Classic scope of IT-based enterprise architecture

  • TOGAFs business architecture......in essence, anything not-IT that might impact ITTo be blunt, ADM Phase B is not very usableinadequate context: where does everything fit?inadequate layering: big-picture strategy mixed in with ops-level process, scenarios are just use-casesinadequate instructions: provides lists of models that could be useful, but without explaining how or whyClean-up Step 1: describe context and patternsClean-up Step 2: clarify layeringClean-up Step 3: consistency for models

  • Step 1: Context and patterns ...or, rethinking the real pattern behind TOGAF Phases B, C and D

  • Look at pattern, not contentWe naturally focus on our own area of interestfor TOGAF 8/9, this is IT-infrastructurethe layers are actually layers of distance from selfPhases B/C/D successively focus in on our area of interest, each layer providing context for the next

  • Same pattern at larger scopeFor business-architecture, repeat the patternarchitecture of business becomes key focus (Phase D)layers are distance from business-organisationPhases B/C/D focus in on business-architecture, each layer providing context for the next

  • Scope of enterprise-architecture(complete EA includes many other intersecting architectures security, process, brand, organisation etc)

  • Step 2: Layering and cycles...or, where Zachman really works with TOGAF

  • *(c) Tom Graves / Tetradian 2010*Scope of enterprise-architectureBig-picture: vision, strategy, overview, business of businessCommon: interfaces etc common to all implementationsDetail: implementation-specific, context-specificAligns well with service-oriented architecture for the whole enterprise

    Big-picture [Business-purpose]Zachman rows 0-2

    Common / ConnectionZachman rows 2-3Design / DetailZachman rows 4-6[People](FEAF labels this as Human Capital)[Things](FEAF labels this as Other Fixed Assets)[Information]

  • Layers of abstraction(row-0 = always; rows 1-5 = far-future to near-future; row-6 = past)

  • Cycles of structural dependency(adapted from classic Group Dynamics project-lifecycle and VPEC-T framework)

  • Strategy, tactics, operations(overall cycle and relationships need to be in balance)

  • The quick-money failure-cycle(this was a key source of problems for the bank too short-term focus, with the classic last year +10% used as a substitute for strategy)

  • Step 3: Consistency for models ...or, service-oriented architecture for the whole enterprise

  • Everything serves the visionThe vision describes the shared aims of the entire enterpriseWe observe and learn from what we achieve in the real worldEverything in the enterprise is a service towards the vision (a literal service-oriented architecture

  • The structure of visionVision is the overall anchor for everythingvision in the ISO9000 sense i.e. not marketing puffVision-descriptor has distinct 3-part structurefocus [noun]: context or things of concern to everyoneaction [verb]: what is to be done to or in the focusqualifier [adjective]: why this is important to everyoneExample: ideas worth spreading (TED conferences)ideas (focus)worth (qualifier)spreading (action)Components may be in any order, but all must be present

  • All services have same structureService exists at intersection of value and supply-chainService creates value towards the vision of the enterpriseInteractions / flows before, during, after main transaction

  • Including guidance and investors(yes, I know it looks like Robbie-the-Robot, but thats just how it came out...)

  • *(c) Tom Graves / Tetradian 2010*Identify internal content of servicesUse extended-Zachman to support whole-EAAt Operations level, we should be able to describe every service as:-- this is an architecturally complete pattern or composite

  • Cross-links to market value-cycleMany interactions with extended-enterprise relate to Value-Proposition only Purpose, Values, People, Policies

  • Layers row-0 (vision)ZapaMex is a fictitious shoe-retailer (Las Zapaterias de Mexico) we developed this model-set as a demonstrator for the bank

  • Layers row-1 (scope)Row-1 consists only of lists of relevant entities for example, the Who section lists key actors in the overall enterprise

  • Layers row-2 (business-services)Row-2 describes the relationship between the selected relevant entities for the enterpr