Enterprise Architecture 202: Bridging Strategy & Execution

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Enterprise Architecture 202:Enterprise Architecture 202:Creating the Information Age Enterprise

andandBridging the Chasm Between Strategy & Execution

ITMPI005

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1-November-201111:00 AM – 12:30 PM EST

Leon A. Kappelman, Ph.D.

Mi h l Mil i

pp ,Professor of Information Systems

Director Emeritus, Information Systems Research CenterCollege of Business, University of North Texas

Fellow, Texas Center for Digital KnowledgeFounding Chair, Society for Information Management EA Working Group

[email protected]

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Michael MilutisDirector of Marketing

Computer Aid, Inc. (CAI)[email protected]

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About the Presenter

Leon A. Kappelman, Ph.D. is a research scientist, teacher, author, speaker, and consultant dedicated to helping organizations better manage their information, systems and technology assets He is Director Emeritus of the IS Research Centersystems, and technology assets. He is Director Emeritus of the IS Research Center and a Professor of Information Systems in the Information Technology & Decision Sciences Department of the College of Business at the University of North Texas, where he is also a Fellow of the Texas Center for Digital Knowledge. Dr. Kappelman is founding chair of the Society for Information Management’s (SIM) Enterprise Architecture Working Group. He has assisted many public and private organizations with technology management activities including strategic planning, governance, software development, project management, enterprise architecture, continuity of operations, and IT workforce management. He has given presentations and written articles on these and other IT management topics, and testified before the US

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a t c es o t ese a d ot e a age e t top cs, a d test ed be o e t e USCongress on technology legislation and IT management practices. Professor Kappelman has published several books, over 100 articles, and has lectured and conducted seminars and workshops on many management, business, and technology topics in North America, Europe, and Asia. His work has been reported in the Wall Street Journal, New York Times, BusinessWeek, Newsweek, Washington Post, LA Times, and scores of other newspapers and magazines; he has appeared on CNN, CNBC, PBS, ABC World News Tonight, as well as regional television and radio stations. He brought nearly $2.5 million in research contracts to the university.

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Enterprise Architecture 202:Creating the Information Age EnterpriseBridging the Chasm Between Strategy and Execution

Leon A. KappelmanLeon A. Kappelman, Ph.D., Ph.D.Professor of Information SystemsProfessor of Information Systems

Founding Chair, Society for Information Founding Chair, Society for Information Management EA Working GroupManagement EA Working Group

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Founding Chair, Society for Information Founding Chair, Society for Information Management EA Working GroupManagement EA Working GroupDirector Emeritus, Information Systems Research CenterDirector Emeritus, Information Systems Research Center

Fellow, Texas Center for Digital KnowledgeFellow, Texas Center for Digital KnowledgeInformation Technology & Decision Sciences DepartmentInformation Technology & Decision Sciences Department

College of Business, University of North TexasCollege of Business, University of North TexasWebsite: http://courses.unt.edu/kappelman/

Email: [email protected] Phone: 940-565-4698 Fax: 940-565-4935

EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

Enterprise Architecture:Why Bother?Enterprise Architecture:Why Bother?

If you can’t “see” it then

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If you can’t “see” it, then you can’t effectively change it or manage it. Especially if it’s complicated or big, or will grow, evolve, or change at some point in time.


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The act of discoveryThe act of discovery consists not in finding new lands but in seeing with new eyes.

– Marcel Proust


OrganizationOrganizationOrganization,“know thyself”!Organization,“know thyself”!

– Socrates– Socrates Consulting


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What is an Organization?What is an Organization?

Physical

Logical

Physical


“The beginning of e beg g owisdom is the definition of terms”

– Socrates


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OntologyThe metaphysical study of the nature of being and existence.being and existence.

Ontology applied to enterprises:• Study of the nature of their existence.y• Answers questions like:

• What is an enterprise?• What does it mean to be an enterprise?• What do I need to know about an organization if I want to know it?


The practice of Enterprise Architecture is the ontological gexamination of a particular enterprise in order to know its nature, essential properties, and the relationships among them.EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

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••ArchitectureArchitecture is “the set of descriptive representations

Architecture? What’s that?Architecture? What’s that?

about an object”. [John Zachman]

••Enterprise ArchitectureEnterprise Architecture is “the holistic set of descriptions about the enterprise over time“ [SIMEAWG]the enterprise over time . [SIMEAWG]

••Enterprise Architecture Enterprise Architecture is is modeling the enterprise.modeling the enterprise.


Stephen Hawking

“All we ever know is our models ”“All we ever know is our models.”"Our models may get closer and closer, but we will never reach direct perception of reality.”

• Every model is imperfect.• But models are all we have.• Even language is a model.


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EAEA is about the creation of a is about the creation of a shared languageshared language (of (of words, images, and so on) to communicate words, images, and so on) to communicate about think about and manage the enterpriseabout think about and manage the enterprise

In terms of the whole organization…In terms of the whole organization…

about, think about, and manage the enterprise. about, think about, and manage the enterprise. If the If the peoplepeople in the enterprise in the enterprise cannot communicatecannot communicate

well enough well enough to align their ideas to align their ideas and thoughts and thoughts about the enterprise (e.g., strategy, goals, about the enterprise (e.g., strategy, goals, objectives, purpose, …), objectives, purpose, …),

thenthen theythey cannot align the things they managecannot align the things they manage (e g(e gthen then theythey cannot align the things they manage cannot align the things they manage (e.g., (e.g., applications, data, projects, goods and services, applications, data, projects, goods and services, jobs, vehicles, people, …).jobs, vehicles, people, …).


“Architecture is“Architecture is politics.” — Mitchell Kapor


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“Information Age Organization”

EA is all about Peter Senge’s “technologies” of a Learning Organization “where people are continually learning to see the whole together”:

• Holistic/systems thinking (big picture & connections)i ( i )

Organization

• Team learning (collaboration)• Shared mental models (shared language & models)• Building shared vision (shared goals)• Personal mastery

(Senge, The Fifth Discipline, 1990)


Do we really need a “shared language”?

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No EA = no shared language = you get …

• “IT and business alignment remains CIO's top concern.… Some things never change.” (InformationWeek, 3Sept08)

• “Yet again, alignment is the top priority for CIOs.” Business Alignment: The Eternal Priority” (CIO Insight, 22Mar07)

• “top IT management concerns of CIOs intop IT management concerns of CIOs in 2006 … the alignment of IT and business at their companies …according to …survey by the Society for Information Management. ” (InformationWeek, 18Sep06)


“KEY ISSUES FOR IT EXECUTIVES 2005” MISQuarterly Executive, 2006, Luftman, Kempaiah, & Nash.


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Top IT Management Concerns 1980Top IT Management Concerns 1980--20102010IT Management

Concerns2010

2009

2008

2007

2006

2005

2004

2003

1994

1990

1986

1985

1983

1980

Business productivity & cost reduction 1 1 7 4

Business agility and speed to market 2 3 13 17 7 5 7

IT and business alignment 3 2 1 2 1 1 1 1 9 7 5 2 7 9

IT reliability and efficiency 3 6IT reliability and efficiencyBusiness Process Reengineering 3 4 18 15 11 5 10 10 2

IT Strategic planning 6 7 3 8 4 4 4 2 10 3 1 1 1 1Revenue generating IT innovations 6 8

IT cost reduction 8 5 7 4

Security and privacy 9 9 8 6 3 2 3 3 19 18 6 14 12

Globalization 10 15

Change management 11 14 6 7 3 2 3 3 19 18 6 14 12

Outsourcing/vendor management 12 11

THIS IS SYMPTOMATIC OF NOT SUFFICIENTLY UNDERSTANDING THE “REQUIREMENTS”):

• SPECIFIC DETAILS OF A PARTICULAR OBJECTIVE ACTIVITY AND/OR PROCESSEnterprise architecture 13 11 11 33 15 15 9 8 4 1 8

IT human resource considerations 13 17

Knowledge management 13 17

Project management 13 11 10 23 5 10Sourcing decisions 13 17

CIO leadership role 10 16 10IT organization design 15

Societal implications of IT 20

OBJECTIVE, ACTIVITY, AND/OR PROCESS. • OVERALL CONTEXT – THE BIG PICTURE OF HOW IT ALL FITS TOGETHER.• OR BOTH


Moreover,


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• “Alignment,” “flexibility,” “nimbleness,” “simplicity,” “agility,” and so on are design objectives or goals. They answers questions like “what do we want it to look like?”

• The answer to the question “how do we accomplish it?” – Most call “planning” or “strategic planning” and

“execution” or “implementation”; – A few, but only those thinking in a very

comprehensive and holistic sense of the term, call it “enterprise architecture.”

– It will be called ……?...... in 20 years.


How does an EA ow does ashared language help IT perform better?


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Artwork by Russell Douglas in The SIM Guide to Enterprise Architecture: Creating the Information The SIM Guide to Enterprise Architecture: Creating the Information Age Enterprise, Age Enterprise, 2010, CRC Press, Taylor and Francis Group, NYC, (www.crcpress.com).Enterprise Architecture As Strategy: Creating a Foundation for Business Execution, Jeanne

Ross, Peter Weill, & David Robertson, Harvard Business Press, 2006.EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

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Artwork by Russell Douglas in The SIM Guide to Enterprise Architecture: Creating the Information The SIM Guide to Enterprise Architecture: Creating the Information Age Enterprise, Age Enterprise, 2010, CRC Press, Taylor and Francis Group, NYC, (www.crcpress.com).Enterprise Architecture As Strategy: Creating a Foundation for Business Execution, Jeanne

Ross, Peter Weill, & David Robertson, Harvard Business Press, 2006.EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

“We shape our buildings —thereafter they shape us.”t e ea te t ey s ape us.

— Sir Winston Churchill

“We shape our enterprises and their systems — thereafter they shape us ”shape us.

— Leon Kappelman


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System Requirements? We know how to do that! Don’t we?t at o t e


INDUSTRY DATA ON DEFECT ORIGINSBecause defect removal is such a major cost element, studying defect origins is a valuable undertaking.

IBM Corporation (MVS) SPR Corporation (client studies)p ( ) p ( )45% Design errors 20% Requirements errors25% Coding errors 30% Design errors20% Bad fixes 35% Coding errors

5% Documentation errors 10% Bad fixes5% Administrative errors 5% Documentation errors

100% 100%

TRW Corporation Mitre Corporation Nippon Electric Corp.60% Design errors 64% Design errors 60% Design errors40% Coding errors 36% Coding errors 40% Coding errors

100% 100% 100%

SWQUAL08\34Copyright © 2009 by Capers Jones. All Rights Reserved.


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Brooks on the difficulties of software development …Brooks on the difficulties of software development …

“To see what rate of progress one can expect in software technology, let us examine the

“The hardest single part of building a software system is deciding precisely what to build No other part of thegy

difficulties of that technology. Following Aristotle, I divide them into essence, the difficulties inherent in the nature of software, and accidents, those difficulties

build. No other part of the conceptual work is as difficult as establishing the detailed technical requirements…. No other part of the work so cripples the system if done wrong No other part is morethat today attend its

production but are not inherent.”

"No Silver Bullet - Essence & Accidents of Software Engineering”1986 in Information Processing 86. H.J. Kugler, ed., Elsevier, 1069-1076. (Invited paper, IFIP Congress '86, Dublin) Reprinted in The Mythical Man-Month, 20th Anniversary Edition, Frederick P. Brooks, Jr., Addison-Wesley, 1995.

wrong. No other part is more difficult to rectify later.”


U.S. AVERAGES FOR SOFTWARE QUALITY

(Data expressed in terms of defects per function point)

Defect Removal DeliveredDefect Origins Potential Efficiency Defects

Requirements 1.00 77% 0.23Design 1.25 85% 0.19Coding 1.75 95% 0.09Documents 0.60 80% 0.12

45% 56%

(All defect sources - not just coding defects)


Bad Fixes 0.40 70% 0.12

TOTAL 5.00 85% 0.75


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Defect Removal Delivered

(Data expressed in terms of defects per function point)

BEST IN CLASS SOFTWARE QUALITY

Defect Removal DeliveredDefect Origins Potential Efficiency Defects

Requirements 0.40 85% 0.08Design 0.60 97% 0.02Coding 1.00 99% 0.01Documents 0.40 98% 0.01Bad Fixes 0.10 95% 0.01

40% 77%

OBSERVATION: Most often found in systems software > SEI CMM Level 3

TOTAL 2.50 96% 0.13


17% of US avg.

50% of US avg.


SIMEAWG IT Management Practices StudyAverages (Scale: 1[=awful] to 5 [=superior])

SIMEAWG IT Management Practices StudyAverages (Scale: 1[=awful] to 5 [=superior])

• 3.67 Overall average (64 questions)

• 3.92 Purpose / function of EA (7 questions)• 3.90 Potential benefits of EA (20 questions)• 3.68 ISD CMM practices and capabilities (12 questions)• 3.53 Use of requirements artifacts (10 questions)q ( q )• 3.33 Requirements practices & capabilities (15 questions)

The SIM Guide to Enterprise Architecture: Creating the The SIM Guide to Enterprise Architecture: Creating the Information Age Enterprise, Information Age Enterprise, 2010, edited by Leon A. Kappelman, CRC Press, Taylor and Francis Group, NYC, (www.crcpress.com).


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What is an Enterprise?What is an Enterprise?

Physical

Logical

Physical


LOGICAL

PHYSICALPHYSICAL


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Strategist’s VisionBusiness ModelLogical Model

Physical ModelSubcontractor’s View

Functioning Enterprise

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BEHAVIORSRESOURCES


WHO

HO

WH

WHY

WH

WHA O

?W?

EN?

Y?

ERE?

AT?

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Things | Behaviors| | |

Logical

___________________________________________

Physical

|||||Physical || |||


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A hit t /R i tArchitecture/Requirements(Strategy, Design, & Plans)

Instantiation / Operations(Functioning Enterprise)

Project Management (Execution & Implementation)


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Strategy

E tiExecution


Zachman’s Framework for EA …… is an ontology, a data model (schema) for all the knowledge about the enterprise.… is process and method agnostic. It doesn’t care how you get the knowledge.… posits that if you want to be aligned, agile, optimized, or whatever your enterprise design objectives, then these are the data you must have and use in order to effectively:have and use in order to effectively:

• achieve those objectives;• manage change and complexity;• manage the enterprise & all its resources

including its technologies.EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

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http://zachman.comEA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

By whatever means you get them, these are the data you must have and use …

EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved. http://zachman.com

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By whatever means you get them, these are the data you must have and use …

“Someday you’re going to really wish you had all those models; so you

EA 202: © 2000-2011 Leon A. Kappelman. All rights reserved. http://zachman.com

might as well get started now.”– John Zachman

• EA is a different way of seeing, communicating about, & managing the enterprise & all of its assets, including IT.

• EA gets to essence of IT success: Knowing &

What is EA?What is EA?

communicating the organization’s requirements. • EA is key to:

– achieving & keeping business-IT alignment & other objectives.– helping the organization create value.

• EA includes many things you are already do; such as requirements analysis, system design, strategic planning, network design, standard setting, knowledge management, data warehousing, SOA, BPR, etc., etc., …– BUT EA is much, much more than that.– Still, you can build your EA practice on what

you are already doingEA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

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Some graphical concepts for communicating with Zachman’s Enterprise Ontology• Scope about something is depicted by width

in a cell.in a cell.– A “sliver” is indicative of narrow or limited scope –

as in a stovepipe or a particular application.– Example: Run

• Level of detail about something is depicted by depth in a cellby depth in a cell. – It depicts how much you know about it– What you don’t know you must assume.

ntation12-2



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Enterprise Architecture for Integration: Rapid Delivery Methods and Technologies, Clive Finkelstein,and Technologies, Clive Finkelstein, (2nd Edition, June 2011).


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Perfect World


More often than we’d like to admit practice: IT System Acquisition


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Typical Practice: IT System Acquisition



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Assessment: Strategic Alignment




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Audit of Controls & Compliance





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What is EA?What is EA?• EA is a different way of seeing, communicating about, &

managing the enterprise & all of its assets, including IT. • EA gets to essence of IT success: Knowing &

communicating the organization’s requirements.communicating the organization s requirements. • EA is key to:

– achieving & keeping business-IT alignment & other objectives.– helping the organization create value.

• EA includes many things you are already do; such as requirements analysis, system design, strategic planning, network design, standard setting, knowledge management,network design, standard setting, knowledge management, data warehousing, SOA, BPR, etc., etc., …– BUT EA is much, much more than that.– Still, you can build your EA practice on what

you are already doingEA 202: © 2000-2011 Leon A. Kappelman. All rights reserved.

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So how do you buildSo how do you build an EA practice on what you are already doing?

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doing?


Software ArchitectureSystems AnalysisSystems DesignSoftware PortfolioSo t a e o t o o


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Strategic PlanningBusiness ModelingBusiness Architectureus ess c tectu e


Disaster RecoveryContinuity of Operations (COOP)Continuity of Government (COG)


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Human ResourcesOrganization Designg gJob Design


Business Process ReengineeringProcess Improvement


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Net ork DesignNetwork DesignNetwork Architecture


Data DesignData ArchitectureData Warehousing


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Rules ManagementBusiness RulesExpert Systems


“Someday you’re going to reallygoing to really wish you had all those models.

http://zachman.com

– John Zachman


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Road to the Future: Institutionalizing EARoad to the Future: Institutionalizing EA• This is a new way of life: There is no quick fix; no silver bullet.


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Example of an EA governance integrated into all governance structures …

VA ExecutiveBoard

Organizational Change

Strategic ManagementCouncil

Information TechnologyBoard

Office of Cyber Security

Capital I t t

Change Management

Board

EA Architecture Council

InvestmentCouncil

ProjectManagementOffice


“Integrated Business Technology Landscape”Armstrong Process Group, Inc. http://www.aprocessgroup.com/offerings/index.asp


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Road to the Future: Institutionalizing EARoad to the Future: Institutionalizing EA• This is a new way of life: There is no quick fix; no silver bullet.• This will take time and determination, as well as vision,

courage and commitment: Do not underestimate the difficulty and complexity of architecting and engineering one of humankind’s most complex objects the Enterprisehumankind s most complex objects – the Enterprise.

• Do not get discouraged: This is a revolution in thinking, a discipline, an engineering process. Change of this magnitude takes time and perseverance.

• Set realistic expectations: Things have to be implemented and modified periodically so you have to accept some risk of “scrap and rework." Progress trumps perfection.

• Don't assume anything: Make executive education and• Don t assume anything: Make executive education and technical training a continuous process. It is easy to forget long-term issues in the short-term stress of daily life.

• Learn!: The state of the art is only about 25 years old and the "playing field" still pretty level – there is still much to learn & discover, & many opportunities to create advantage & value.



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You will also need some EA processes and governance bodies that integrate EA into theEA into the processes and governance activities for everything else (IT and business).

http://pubs.opengroup.org/architecture/togaf8-doc/arch/chap03.html

Example of an EA development process: TOGAF Architecture Development Method (ADM) cycle


Implementation Guidelines: Getting StartedImplementation Guidelines: Getting Started• Build on what you’re already doing (including projects).• Use collaborative approaches to doing & governing EA:

– Organize an EA working group or EA council. – Learn together & work toward agreement about language, models, methods

• Get participation & commitment from IT & business p pmanagement:– At all levels (but start as high as possible). Leadership counts!

• Determine the goals, focus, scope, and priorities:– Aim for completeness & comprehensiveness. Deal with day-to-day needs.

• Embrace continuous change, learning, & communication:– Remember, it’s a journey and a process.– Evangelize. Have an “elevator speech”. Get your “converters” one at a time.

• Start small and show early success. Then build on it. y– Identify EA initiatives of most value to organization. – Help the value creators, it creates champions and wins hearts and minds.

• Monitor, evaluate, and improve on a continuous basis:– Quantify the benefits– Regularly take a hard look at EA cost-value proposition, and make it better.

• Use EA in IT for CONTINUOUS IMPROVEMENT and to COMMUNICATE WITH YOUR CUSTOMERS & STAKEHOLDERS


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“No one has to change. Survival is optional.”

– Dr. W. Edwards Deming


A project of the Society for Information Management’s EA Working Group (SIMEAWG). Free shipping & 40% discount with code “542KA” for purchase at

SIM Guide to Enterprise ArchitectureSIM Guide to Enterprise Architecture

http://www.crcpress.com.

All author royalties go to further the work of the not-for-profit SIMEAWG.

Edited by: Leon A. Kappelman, Ph.D.Foreword by: Jeanne W. Ross, Ph.D.

Contributing Authors, Panelists, & Artists (alphabetically):

• Bruce V. BallengeeLarr B rgess

• George S. ParasAle Pettit

40% discount d 542KA • Larry Burgess

• Ed Cannon• Larry R. DeBoever• Russell Douglas• Randolph C. Hite• Leon A. Kappelman• Mark Lane• Thomas McGinnis

• Alex Pettit• Jeanne W. Ross• Brian Salmans• Anna Sidorova• Gary F. Simons• Kathie Sowell• Tim Westbrock• John A. Zachman

code = 542KAat

CRCPress.com


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Questions?

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Leon A. Kappelman, Ph.D.pp ,Professor of Information Systems

Director Emeritus, Information Systems Research CenterCollege of Business, University of North Texas

Fellow, Texas Center for Digital KnowledgeFounding Chair, Society for Information Management EA Working Group

[email protected]

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Michael MilutisDirector of Marketing

Computer Aid, Inc. (CAI)[email protected]