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Enterprise Architecture as a “Discipline” for Putting Business Strategy into Action
Association for Strategic PlanningAnnual Conference
February 27, 2007
Proprietary & Confidential
Page 2Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Objectives
• Discover new insights into the strategy execution dilemma.
• Discover Enterprise Architecture (EA) as a “discipline” for strategy execution.
• Learn how to apply EA to solve the strategy execution dilemma.
• Learn the foundational steps to establishing an effective EA.
Page 3Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Agenda
• The “Strategy Execution” Dilemma
• Enterprise Architecture 101
• Applying EA to Solve the Strategy Execution Dilemma
• Six Steps to Developing an EA
Page 4Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
The “Strategy Execution” Dilemma:
We have an exceptionallywell-thought-out strategic plan
BUT(shhhh)
we still don’t know what to do!!!
Page 5Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
More on “The Dilemma”
• Many strategic planning efforts yield plans that are heavy on the financial goals and broad business targets but light on the planning
• Staff outside the board room find little useful content in the strategic plan and are left without real guidance on how to make the strategy happen
• Year-end success is determined based on financials since few/no other performance metrics are identified during the strategic planning process
Page 6Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Recognize the Signs
• When asked the same question about corporate priorities, different employees give different answers
• Operational decisions are difficult to make (e.g., enterprise purchases, project priorities and investments, resource allocation)
• More dollars go to initiatives that do not directly support the enterprise strategy than to initiatives that do directly support the enterprise strategy .. Remember, you are what you spend your money on!!!
• Chronic “mark missing”
• Many goals and objectives are in the plan but no plans are in the plan
• Support departments (HR, IT, Marketing, etc.) have their own, strategic plan for meeting their own strategic goals
Page 7Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
The Typical Culprits .. The 3 Ps
• The Process … the strategic planning process
• The Plan … the strategic plan itself
• The “People” … the planners and executors
Page 8Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Culprit #1: The Process
• Does not engage the right people
• Performed too infrequently (usually annually)
• Inadequate communication of the plan
• No (or ill-focused) performance measurements
• No governance .. no rules, no structure, no accountability
Page 9Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Culprit #2: The Plan
• Is not “actionable” .. no insight into how to make the strategy happen .. no roadmap .. no “how to”
• Does not make clear what the program priorities should be; too much left to interpretation
• Does not make allowances for having the right resources focused on the right priorities
• Does not consider downstream impacts
Page 10Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Culprit #3: The People
• Employees (the “executors of the plan) do not know the corporate strategy
• Employees do not feel accountable to the plan
• Employees do not know how their job contributes to the strategy
• Lack of organizational enablers (e.g., no executive champion, no funds, no resources)
• Organizational roadblocks .. resistant culture and/or no change management infrastructure
Page 11Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
The “Strategy Execution” Dilemma Question:
How do you make strategy actionable down to the lowest level of an
enterprise?
Page 12Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Enterprise Architecture 101
Page 13Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Where Did EA Come From?
• In the beginning there was …– the Zachman Framework for Enterprise
Architecture and Information Systems Architecture (John Zachman, 1987)
– the Spewak EA Planning Method (Steven Spewak, 1992)
• Then there was…– the Clinger-Cohen Act of 1996 (formerly the
Information Technology Management Reform Act)
• DODAF (Department of Defense, 2002 formerly C4ISR)
• TOGAF (The Open Group Architecture Framework)
• TEAF (Treasury Enterprise Architecture Framework)
Page 14Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Where Did EA Come From? (con’t)
• Now we also have …– EA3 (Dr. Scott Bernard, 2004)
– FEA (Federal Enterprise Architecture, 2002; replaced Federal Enterprise Architecture Framework)
– EA as Strategy (by Jeanne W. Ross, Peter Weill, David Robertson; Harvard Business School Press, 2006)
The discipline and practice of EA isconstantly evolving and maturing!
Page 15Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Enterprise Architecture Defined
• The Breakdown– “Enterprise”
• a business .. encompasses all aspects about the structure, operations and outputs of the organization
– “Architecture”• a structure or structural description
• Putting it All Together– “Enterprise Architecture”
• a structure or structural description of all aspects about the structure, operations and outputs of an organization
EA is a description of how a business works!
Page 16Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Enterprise Architecture IS…
• A blueprint of an organization and serves as
– a communication tool that provides need-to-know information about an enterprise in an easy-to-understand format
– a management aid that enables resource alignment and promotes governance
– a decision-making framework that provides a roadmap for what actions are necessary to align with the mission and execute strategy at all levels of an enterprise
– an operational resource for illustrating how all enterprise pieces contribute to the big picture
Page 17Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Enterprise Architecture IS…
• A process for
– maintaining “views” of the enterprise
– validating the data and information captured about an enterprise
– managing strategic initiatives (budget, schedule, resources, dependencies)
– ensuring compliance with the enterprise’s target position (strategically, operationally and technically)
Page 18Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Why the “Blueprint” Analogy?
• Like a Blueprint …– an Enterprise Architecture provides an actionable
illustration of what has been and needs to be built
– an Enterprise Architecture is comprehensible by all who need to “build” from it
– an Enterprise Architecture is accessible by all who need to work from it
Page 19Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
So What’s in the Blueprint?
• A snapshot of what an organization looks like today .. called an “As-Is” architecture;
• A design for what an organization should look like in the pre-defined future .. called a “To-Be” architecture AND …
• A plan that depicts how an organization will move from the “As-Is” state to the “To-Be” state .. called a Transition Plan.
Page 20Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
To-Be Architecture + Transition Plan=
EA Enabled Strategy Execution
Page 21Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Simply Stated …
• An EA presents a logical, executable path to a pre-determined desired state (“To-Be” architecture) from the many viewpoints of “actors” within an enterprise.
• These “viewpoints” are represented from an integrated strategy, business and technology perspective.
Page 22Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Enterprise Architecture is about mission and strategy alignment with enterprise operations and resources.
Page 23Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
What Does an EA Look Like?
• An EA illustrates …
– how critical business processes and rules relate to one another and to the enterprise mission and strategies
– how information flows to enable the business processes which, in turn, enable mission and strategy execution
– who the users, actors and stakeholders are
– what resources are used by whom, for what and when
– strategic priorities and their impact to the enterprise financially, operationally, technically and strategically
Page 24Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
What Does an EA Look Like? (con’t)
• Can be in the form of models, diagrams, text, flows, dashboards or any combination that works!
• Should have many views– for techies, it may be a collection of system diagrams, data
models, etc.– for management, it may include org charts, conceptual
diagrams, an enterprise dashboard, what-if scenarios, etc.– for project managers, it may include an enterprise project
plan and a portfolio of initiatives– for the workforce it should include a combination of all views!
EA is tailored to the perspectives of the executors!!!
Page 25Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
.. For Executive Management
Page 26Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
.. For the IT Professional
Source: Zachman Institute for Framework Advancement www.zifa.org
Page 27Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
.. For the Project ManagerGoals Objectives Strategies Actions Jan
2007
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Action #1
Prerequisites: xxx
Dependencies: xxx
Resources Needed: xxx
Owner/Actor: xxx
Action #2
Prerequisites: xxx
Dependencies: xxx
Resources Needed: xxx
Owner/Actor: xxx
Strategy #1
Justification: xxx
Corrective Measures: xxx
Action #3
Prerequisites: xxx
Dependencies: xxx
Resources Needed: xxx
Owner/Actor: xxx
Action #1
Prerequisites: xxx
Dependencies: xxx
Resources Needed: xxx
Owner/Actor: xxx
Exp
and
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ith
in E
xist
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Bas
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Objective #1
Justification: xxxx
Baseline: xxxx
Performance Metrics: xxx
Strategy #2
Justification: xxx
Corrective Measures: xxx
Action #2
Prerequisites: xxx
Dependencies: xxx
Resources Needed: xxx
Owner/Actor: xxx
Decision Point: xxx Considerations: Players:
Decision Point: xxx Considerations: Players:
Decision Point: xxx Considerations: Players:
Decision Point: xxx Considerations: Players:
Page 28Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
.. For the Workforce
Source: “Using the Living Enterprise Design”, Dr. Scott Bernard http://btmg.biz/enterprisearchitecture.htm
Page 29Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
The Key to an Actionable EA ..
.. is to have as many views at as many different levels as is necessary to enable
effective operational decision-making throughout the enterprise.
Page 30Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Applying Enterprise Architecture to Solve the “Strategy Execution”
Dilemma!
Page 31Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
EA Addresses the “Process” Culprit
The Issues:
Does not engage the right people
Performed too infrequently (usuallyannually)
Inadequate communication of theplan
No (or ill-focused) performancemeasurements
No governance .. no rules, nostructure, no accountability
EA as the Solution:
Engages the entire organization in thedevelopment and maintenance activities ..promotes ownership and accountability
An EA is a “living” resource requiring continuousupdates in order to remain current and effective
An effective EA is published and accessible toeveryone within an organization
Metrics by which progress against the To-BeState and the targeted results are captured
An embedded governance structure ensuresproper maintenance of and compliance with theEA
Page 32Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
EA Addresses the “Plan” CulpritThe Issues:
Is not “actionable” .. no insight into how tomake the strategy happen.. no roadmap ..no “how to”
Does not make clear what the programpriorities should be; too much is left tointerpretation
Does not make allowances for having theright resources focused on the right priorities
Does not consider downstream impacts
EA as the Solution:
Transition Plan provides a decision-makingframework that presents a path from thecurrent state to the target
“To-Be” Architecture combined with theTransition Plan clarifies the direction of theorganization and provides details about theinitiatives required to make the transition areality
Enables focus of the right resources on theright priorities by depicting what needs tooccur when and outlining what resourcesare needed
Aligns operations across the organizationby identifying the “tentacles” andconsidering downstream impacts in the
plan
Page 33Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
EA Addresses the “People” Culprit
The Issues:
Employees (the “executors” of the plan)do not know the corporate strategy
Employees do not own or feel accountableto the plan
Employees do not know how their jobcontributes to the strategy
Lack of organizational enablers
No executive champion, no funds, noresources
Organizational roadblocks .. resistantculture and/or no change managementinfrastructure
EA as the Solution:
The EA contains tailored “views” forvarious levels and functions of theenterprise
Makes clear who owns/is responsible forwhat
EA must begin with the identification andendorsement of an executive champion
andan organizational culture ripe fortransformation
Page 34Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Six Steps to Developing an EA
• Obtain Executive Buy-In• Select Methodology &
Toolset (process and tools for developing & maintaining EA)
• Design “To-Be” Picture (business, data, systems, technology)
• Document “As-Is” Picture (business, data, systems, technology)
• Develop Transition Plan (gaps, close-gap initiatives, implementation plan)
• Maintain the EA (update “As-Is”, “To-Be” and Transition Plan as initiatives are implemented and business strategies change)
Obtain Executive
Buy-in(step 1)
Select Methodology
& Toolset(step 2)
Design/ Refine “To-Be” Picture
(step 3)
Document/ Update “As-Is” Picture
(step 4)
Develop the Transition
Plan(step 5)
Continuously Maintain the
EA(step 6…)
Revisit“As -Is”
&“To-Be”
Regularly &Update as
needed
Page 35Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Objectives Revisited• Discover new insights into the strategy execution dilemma.
– The Typical Culprits .. the 3Ps.
• Discover Enterprise Architecture (EA) as a “discipline” for strategy execution.– EA is a blueprint for how an enterprise “works” with an embedded
process for proactively managing the views of an organization.
• Learn how to apply EA to solve the strategy execution dilemma.– Maintain EA as a “living” resource for depicting where an enterprise
is today, where it will be in the future and an actionable plan for making the transition.
• Learn the foundational steps to establishing an effective EA.– Six steps to developing an Enterprise Architecture.
Page 36Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Suggested Resources• Bernard, Dr. Scott. An Introduction to Enterprise Architecture.
Bloomington: AuthorHouse, 2004.
• Ross, Jeanne W., Peter Weill, David Robertson. Enterprise Architecture as Strategy. Boston: Harvard Business School Press, 2006.
• Association for Enterprise Architecture www.aeajournal.org
• EA Community www.eacommunity.com
• The Federal Enterprise Architecture www.egov.gov
• The Zachman Framework www.zifa.com
Page 37Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Questions???
Page 38Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
Tanaia Parker is President of T. White Parker and the National Capital Area
Chapter of the Association for Strategic Planning
www.twhiteparker.com
tanaia.parker@twhiteparker.com
703-753-5430
Page 39Copyright © 2006-2007 T. White Parker Associates, Inc. | twhiteparker.com
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