5 iasa iws essentials of enterprise architecture tools · essentials of enterprise architecture...

Module 6

Essentials of Enterprise

Architecture Tools

Process-Centric

Service-Oriented

Capability-Driven

IASA Global - India Chapter Webinar byVinu Jade

Information Systems Strategy Advisor

With Acknowledgement to Mr. Reed Taneja

MEGA – APAC

&

Gartner 2014 Assessment of Tools for EA

Understand the need and necessity for a EA Tool

Agenda

1. Discuss what are EA Tools, what do they

feature and High Level Requisites

2. Requisites of an EA suite

Process-Centric

Service-Oriented

Capability-Driven


3. Challenges Tools focus

4. Recommandations and Strength and

Weakness of Tools

2

What are EA Tools?

� Used effectively, EA tools enable organizations to meet the challenges facing business by capturing, integrating, and analyzing information to enable business decisions.

� The EA tool market is fragmented and has shown little change in the past year, with a few exceptions.past year, with a few exceptions.

� Enterprise architecture (EA) tools are software applications targeted primarily at supporting the direct participants and stakeholders of the EA discipline in their strategically driven planning through to execution.

� Support for strategic decision making is provided through capturing vital enterprise context, along with content development and analysis capabilities across the business, information, technology and solution architectures.

Quoted from Gartner

What does EA Tools Feature?

� EA tools capture, store, structure and analyze information pertaining to EA and present the information to enterprise stakeholders.

� The tools should facilitate the implementation of a business strategy focused on business outcomes and risk mitigation.

� The information must be presented to a variety of stakeholders set on transition-planning the future-state architecture across a number of viewpoints, including business, information, technology and solutions.

� This is done to enable business change that supports the direction and strategy of the organization while confronting many types of business disruptions.

� At a minimum, EA tools should integrate with project and portfolio management solutions to ensure the best investment mix of projects to execute on business direction, vision and strategy.

Quoted from Gartner

High - level Requisites for an EA

Tool

EA tools must address the requirements of a variety of business and IT stakeholders in the organization, and the tools must contain:

� A repository that supports, at a minimum, the business, information, technology and solution viewpoints and their information, technology and solution viewpoints and their relationships.

� The repository must also support business direction, vision and strategy, as well as business disruptions.

� Modelling capabilities that support the minimum viewpoints of business, information, solutions and technology.

� Decision analysis capabilities, such as gap analysis, impact analysis, scenario planning and system thinking.

Quoted from Gartner

� Presentation capabilities that are visual or interactive to meet the demands of a myriad of stakeholders.

� Administration capabilities that enable security, user management and other tasks.

High - level Requisites for an EA

Tool

� Configurability capabilities that are extensive, simple and straightforward to accomplish while supporting multiple environments.

� Support for frameworks and standards, often used while providing the flexibility to customize the framework.

� Usability, including intuitive, flexible and easy-to-learn user interfaces (UIs).

Quoted from Gartner

Agenda




Process-Centric

Service-Oriented

Capability-Driven




Weakness of Tools

7

1.Supply – Demand, 2. Business – IT, & 3. Strategic Execution

Lets Derive the Requisites of an EA Tool

BUSINESSBUSINESS CENTRICCENTRIC CHALLENGESCHALLENGES

�� MustMust HaveHave – An Approach and MethodologyMethodology forfor BusinessBusiness StrategyStrategy Modeling, helping in Agile

Business and Agile IT.

– Value thru Strategic Planning?

�� ImproveImprove the SupplySupply && DemandDemand AlignmentAlignment (SAD) with improved Product Utilization, Leverage

Levels (PULL) in market and meet AgileAgile CustomerCustomer ExperienceExperience (ACE)

– Qualitative Domain modeling?

ITIT && DATADATA CENTRICCENTRIC CHALLENGESCHALLENGES

� Technology Strategy ( IT inclusive and NOT conclusive!) to enableenable the consumerconsumer meetmeet thethe

productproduct. - Logical Process Modeling?

GRCGRC CENTRICCENTRIC CHALLENGESCHALLENGES

�� OperationalOperational StrategyStrategy for SupportSupport, SustainSustain and SucceedSucceed (ICE)(ICE) with agile Technology enablement?, , with

Governance and Process Model (GAP)

Should We Adopt Enterprise Architecture Tools ?

Quoted from MEGA

BUSINESS AND OPERATIONS

GOVERNANCE, RISK AND COMPLIANCE

Solutions for Business Leaders to Analyse, Manage and Transform their

Solutions for Leaders of Assurance functions – Risk, Control, Compliance and Internal Audit - to consistently manage the risk exposure of the organization in collaboration with the Business lines and the IT Function.

Hence – An Overview of EA Tool

Requisites

ENTERPRISE REPOSITORY

IT AND DATA

Solutions for Business Leaders to Analyse, Manage and Transform theirOperating Model, in order to deliver on the Organizational and Strategicobjectives of the company.

Solutions for IT Leaders to Analyse, Manage and Transform their ITAssets, in order to support the Business Model, contribute to BusinessPerformance and navigate Digital Transformation.

9Quoted from MEGA

BUSINESS STRATEGY & EXECUTION

ENTERPRISE RISK MANAGEMENT

COMPLIANCE MANAGEMENT

Control and Manage Risk

Design – Analyse – Assess - Improve - Transform

Govern

INTERNAL AUDIT MANAGEMENT

Requisites of an EA suite

Assurance Functions

CxOs

Organization Design – Analyse – Assess - Improve - Transform

10

Business and Operations

IT and Data

Organization

OPERATIONAL GOVERNANCE

BUSINESS ARCHITECTURE

ENTERPRISEARCHITECTURE

IT PORFTFOLIO MANAGEMENT

Quoted from MEGA

One approach to key challenges

ERM Process … articulated with Business Lines

Compliance Management … balanced with performance

3 lines of defense … integrated and consistent

Internal Audit … risk driven and streamlined

Execution of the

Business Strategy

Operational Governance, Risk

& Compliance

Analysis and Improvement of

Business Processes

Transformation of

Operating Model

1

2

3

4

1

2

4

5

Go

ve

rna

nc

e, R

isk

& C

om

pli

an

ce

BU

SIN

ES

S

11

Development of

Business Capabilities

& Compliance Business Processes

Alignment of the

Business-IT partnership3 6

Go

ve

rna

nc

e, R

isk

& C

om

pli

an

ce

BU

SIN

ES

SIT

& D

ATA

Alignment and Agility of the

IT Landscape

Management of the

Application Portfolio

Digital Transformation

Solution Blueprint

Information Portfolio

Management

Mitigation of the

IT Risk Exposure1

2

3

4

5

6

Quoted from MEGA

Agenda




Process-Centric

Service-Oriented

Capability-Driven




Weakness of Tools

12

Challenges


a) Business & Operations centric

b) IT & Data centric

c) GRC centric

13

BUSINESS AND OPERATIONS CHALLENGES

Execution of the

Business Strategy

Evolution of Business

Operational Governance,

Risk and Compliance

Transformation of the

Business Centric Challenges


1 2

3 4Evolution of Business

Model capabilities

Analysis and Improvement

of Business Processes

Alignment of the

Business-IT Partnership


Operating Model

14

IT AND DATA

3 4

5 6

Quoted from MEGA

� Design and manage a robust strategic planning process� Align strategic intent, organizational objectives and KPIs� Identify the strategic contribution of organizational assets� Monitor the execution of strategy through programs and projects

Tools help CxOs to Design the business strategy and consistently Define its execution

through organizational objectives, transformation programs and improvement projects.

� Multiple business lines

� Sophisticated strategies

� Complex organization

Execution of

Business Strategy

Business Centric Challenges (1/3)

1

Operational governance,

Risk and Compliance

� Monitor the execution of strategy through programs and projects

Tools help Business Leaders to Ensure the compliance of their business practices with

external/internal regulations and Manage the risk exposure of their operations in line

with the risk appetite of the company.

� Manage the impact of regulations and policies on business operations� Assess the business risks and the risk of non-compliance� Implement preventive and corrective actions to mitigate risk exposure� Comply with external/internal requirements through controls

� Highly regulated environment

� Significant impact of risk

� High impact of non compliance

15

2

Tools help Business Architects to Analyze actual capabilities of the organization, Make

educated decision about changes needed to support new Business objectives and then

Roadmap the development of capabilities through projects, processes and IT applications

� Understand the existing business capability landscape � Identify capabilities required to support new business plans� Alignment the Business & IT Roadmaps on the expected capabilities� Review investments vs capability roadmap

� Fast changing business environment

� Complex business models

� Transformation too critical to fail


Evolution of

Business Model Capabilities3

� Review investments vs capability roadmap

� Merger & Acquisition

� Process Standardization Initiative

� Deployment of a major new IT System

� Review operating model and understand existing implementation� Identify and analyze potential transformation scenario� Define potential target operating model and make decisions� Analyse impact and communicate to facilitate change

Tools help Business Leaders to Understand the impact of a change –internal or external –

on existing operating models, Analyse the different potential implementation scenarios and

Manage the organizational transformation toward the Target Operating Model

16


Operating Model4

Quoted from MEGA

Tools help Business Architects to Analyze how the company’s value chain delivers on

customer’s expectations, Review the performance of key processes, Explore the support

they get from IT and Assess impact on key business informations.

� Analyse and drill-down processes, functions, IT and Data� Manage business performance through KPIs� Identify and simulate the improvement scenarios

� Numerous business processes

� Undocumented and unmanaged

� Looking for process improvement


Analysis and Improvement

of Business Processes5

� Provide transparency on how IT supports business operations� Increase business agility in safely analyzing impact of required IT changes� Analyse IT contribution to business to better drive the IT Investment process� Identify and assess the potential business benefits of untapped IT capabilities

Tools help Business Leaders to Identify the opportunities and fully Concretize the

benefits of IT as a competitiveness factor and a source of differentiation.

We help IT Leaders to Adapt Agilely IT Assets in order to Deliver business requirements,

while guaranteeing that IT investments sustainably Align with the Strategy.

� Complex and Heterogeneous IT Landscape

� IT and Business strongly intricate

� Major business impact of digital transformation

Alignment of the

Business - IT Partnership

17

6

Quoted from MEGA

IT AND DATA CENTRIC CHALLENGES


Alignment and Agility of

the IT LandscapeDigital Transformation

IT Centric Challenges


1 2

the IT Landscape

Management of the


Digital Transformation

Solution BlueprintInformation Portfolio

Management

18

Mitigation of

IT Risk Exposure

3 4

5 6

Quoted from MEGA

� Review scenario for “digitally modified business”� Identify business or IT capability expected or impacted� Analyse the impact on the existing organization and business model� Plan the development/adaptation of capabilities and the organizational transformation

Tools help CEOs or CIOs to Embrace digital transformation – Digitization, Mobility, Cloud,

Big Data, Social - by Analyzing organizational impact of digitally enabled change scenario

and by Providing insight to support the associated business and IT transformation.

� Industry with strategic IT role

� Risk of disruption by non traditional players

� Complex customers’ interaction and operating modelDigital Transformation

IT Centric Challenges (1/3)

1

Alignement and Agility of the

IT Landscape

� Plan the development/adaptation of capabilities and the organizational transformation

Tools help CIOs and IT Leaders to develop control over the IT Assets and dependencies

–Business, Application, Data, Infra - to safely Analyze the impact of project changes, to

Enable IT rationalization and to Develop the business agility of the Information System.

� Get a full insight into the Information System and the component IT Assets� Understand up- and downstream dependencies to analyze impact of change� Measure and guarantee alignment of IT Assets on Business Priorities� Support rationalization of IT capabilities and Technology standardization

� Heterogeneous IT Assets

� Various stakeholders – Vendors, Outsourcers, internal team

� Multiplication of interfaces

19

2

Quoted from MEGA

� Build and maintain a precise application inventory, with IT and Business stakeholders� Assess the portfolios vs numerous criteria such as cost, business, risk, technology� Identify improvements, rationalization opportunities and compare scenario

Tools help Head of Applications to manage a more and more complex Application Portfolio

– In House, Packaged Solutions, Shadow IT…-, to identify opportunities for freeing

investment capabilities and to make transparent IT investment decisions based on

indisputable data.

Management of the



3� Large number of applications

� Investments limited due to growing maintenance cost

� Delegated or decentralized ownership of applications

Mitigation of

IT Risk Exposure

� Identify improvements, rationalization opportunities and compare scenario� Develop the transparency of the IT investment Process based on reliable data

Tools help Head of IT Risks to manage and reduce the IT Risk Exposure of the

organization, by analyzing the business impacts of IT Risks and by implementing a sound

Risk Management Process for the IT Assets – from Identification to Mitigation.

� Build the risk library, identify the IT Assets� Assess risks, consolidate risk exposure and analyze the impact on business� Implement and test preventive and corrective measures� Monitor and Report on IT Risk Exposure and Business IT Risk Exposure

� Criticality of IT to support operations

� Multiplication of channels to access sensitive data

� Opened and integrated information system

20

4

Quoted from MEGA


Information Portfolio

Management5

� Understand context and nature of critical data and information sources in your organization� Get a clear view on data lineage, dependency of applications and business processes� Understand the end-to-end data flow and the potential risk to key data� Manage and consistently design information layers, from Business to conceptual to physical

Tools help Chief Data Officer to manage the portfolio of Information assets, to improve data

alignment through business dictionary and logical models, to control the lifecycle of key data

within the Business and IT processes and to identify potential risks.

� Diversification of products, channels, customer segments…

� Multiplication of sources of data

� Master Data Management initiative

� Manage business needs and keep track of corresponding IT requirements,� Streamline the design process by leveraging standards and industry best practices� Support IT Governance and enforce architecture standards throughout the IT Projects

Tools help IT Project Leader to turn business scenario into transparent traceable solution

requirements to ensure customer satisfaction. We help Solution Architect to blueprint

solutions relying on the existing Information System and complying with the Architecture

rules defined by IT Governance to protect the IT agility.

Solution Blueprint

21

6� Complex solutions built over the time

� Difficulties in tracking of business requirements impacts

� Tumultuous Interactions User/IT Project team

� Manage and consistently design information layers, from Business to conceptual to physical

GRC Centric Challenges

GOVERNANCE, RISK AND COMPLIANCE CHALLENGES

ERM Process…

articulated with Business Lines

Compliance Management…

3 lines of defense…

integrated and consistent

Internal Audit…

1 2

43


22

IT AND DATA


balanced with performance

Internal Audit…

risk driven and streamlined

Quoted from MEGA

Tools help the Board to Implement and Guarantee a sound collaboration between the

Assurance Functions through a common platform that centralizes key Risk & Control Data,

supports consistent practices and consolidates reporting.

� Silo effect among Risk, Compliance and Audit

� Difficulties to build a consistent Risk reporting for the board

� Duplication of information, inconsistency of practices

3 lines of defense …

integrated and consistent

GRC Challenges (1/2)

� Support collaborative workflow between Risk, Audit and Compliance� Centralize risk & control data in a common secured repository� Implement consistent practices to guarantee consistency of assessment� Ensure the relevance of reporting based on a single framework

1

23

� Facilitates risk mapping, assessment, and control� Support collaborative risk identification & assessment with Business Lines� Analyse business impact analysis of risk on the organization� Automate the consolidation and communication of exposure to risk

Tools help the Risk Management Department to Assess the organization’s exposure to

risk, Ensure that risks are controlled appropriately by all departments and sustainably

Include business lines as active stakeholders of the Enterprise Risk Management Process.

� Multiple business lines

� Sophisticated strategies

� Complex organization

ERM Process …

articulated with Business Lines

� Ensure the relevance of reporting based on a single framework

2

� Multiplication of regulation and policies

� Frequent changes of business practices and regulations

� Increasing cost of controls, decreasing business agility


balanced with Business Performance

GRC Challenges (2/2)

Tools help the Compliance Department to Manage the regulatory and policy

requirements of the company, Analyse their impact on the organization, Ensure a sound

communication of standard practices and Test their implementation.

� Manage and maintain libraries of regulation, requirements and policies� Analyse the impact on the Business, Operations & IT� Collaboratively design and deploy practices balancing control and performance� Assess and Improve the compliance to standard practices

3

24

� Build risk driven audit plan and optimize allocation of resources� Automate low-added value activities to increase audit capabilities� Monitor execution to optimize effectiveness� Follow-up on recommendation to guarantee improvement of business practices

Tools help the Internal Audit to Improve the quality of the Audit process by enabling to

Plan and Execute Risk Driven Audits, and to Increase the execution capabilities of the

department through automation of activities and monitoring.

� Highly regulated environment

� Multiplication and diversity of business practices

� Limited Internal Audit resources

Internal Audit …

risk driven and streamlined

� Assess and Improve the compliance to standard practices

4

Quoted from MEGA

Agenda




Process-Centric

Service-Oriented

Capability-Driven




Weakness of Tools

25

Use tools for Assessment & Transformation

Easily deploy a best practice

portfolio management process

Take advantage of out-of-the

box reports and dashboardBusiness alignementEnd-to-end out-of-the-box process workflow

Transformation Roadmap

Cost AnalysisTechnology standardization

Gartner Recommends!

� Business-outcome-driven EA is a practical approach to supporting EA that starts and ends with a focus on delivering signature-ready recommendations to business and IT leaders for adjusting policies and projects to achieve target business outcomes, based on the business direction that capitalizes on relevant business disruptions

� (see "EA Practitioners Must Focus on Outcome-Oriented Deliverables," "Define � (see "EA Practitioners Must Focus on Outcome-Oriented Deliverables," "Define the Business Outcome Statement to Guide Enterprise Architecture Efforts" and "Stage Planning a Business-Outcome-Driven Enterprise Architecture").

� By putting business direction (strategy and operations), disruptions (opportunities and risks) and outcomes first in developing EAsignature-ready guidance and actions, chief enterprise architects will become empowered to drive enterprise change, deliver high-impactvalue and lead the business forward in a competitive environment

� (see "Enterprise Architecture Leaders Focus on Business Impact").

Quoted from MEGA

Magic QuadrantMagic QuadrantGartner 2014

Software AG

End of Module 6

Questions, Discussions

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