Kappelman - Becoming a 21st Century Enterprise

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Readying the 21st Century Enterprise with Architecture

Leon A. Kappelman, Ph.D.Professor of Information SystemsCollege of Business, University of North TexasFounding Chair, SIM Enterprise Architecture Working Group

Read ing the 21st Cent r Enterprise ith Architect re

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

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

Readying the 21st Century Enterprise with Architecture: Bridging Strategy and Execution

Founding Chair, Society for Information Management EA Working GroupFounding Chair, Society for Information Management 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

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

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Enterprise Architecture: Why Bother?•If you can’t “see” it, then you can’t ff ti l h it iteffectively 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 discovery consists not in finding new lands but in seeing with new eyes

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with new eyes. – Marcel Proust

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“know thyself”!– Socrates

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Organization,“know thyself”!

– Socrates Consulting

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What is an Organization?What is an Organization?

Physical

Logical

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y


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

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– Socrates


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

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

• What is an enterprise?

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• 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

i i f i lexamination of a particular enterprise in order to know its nature, essential properties and the

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properties, and the relationships among them.


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ArchitectureArchitecture “the set of descriptive representations about an object”. [J. Zachman]

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

representations about an object . [J. Zachman]

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

Enterprise ArchitectureEnterprise Architecture is modeling theis modeling the

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Enterprise Architecture Enterprise Architecture is modeling the is modeling the enterprise.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 (= not reality).

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Every model is imperfect ( not reality).• 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 shared languagelanguage (of words, images, and so on) (of words, images, and so on) to communicate about, think about, and to communicate about, think about, and manage the enterprisemanage the enterprisemanage the enterprise. manage the enterprise. If the If the peoplepeople in the enterprise in the enterprise cannot cannot communicatecommunicate well enough well enough to align their ideas to align their ideas and thoughts about the enterprise (e.g., and thoughts about the enterprise (e.g., strategy, goals, objectives, purpose, …), strategy, goals, objectives, purpose, …),

thenthen theythey cannot align the things they managecannot align the things they manage

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


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“A hit t i“Architecture is politics.” — Mitchell Kapor

17EA 202: © 2000‐2011 Leon A. Kappelman. All rights reserved.

“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)• Team learning (collaboration)

Organization

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Team learning (collaboration)• Shared mental models (shared language & models)• Building shared vision (shared goals)• Personal mastery (Senge, The Fifth Discipline, 1990)


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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)( f , p )

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

“top IT management concerns of CIOs in 2006 … the alignment of IT and business at their

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the alignment of IT and business at their companies …according to …survey by the Society for Information Management. ” (InformationWeek, 18Sep06)


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


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 6

B i P R i i 3 4 18 15 11 5 10 10 2Business 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 1

Revenue 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

Enterprise architecture 13 11 11 33 15 15 9 8 4 1 8

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

• SPECIFIC DETAILS OF A PARTICULAR OBJECTIVE, ACTIVITY AND/OR PROCESSIT human resource considerations 13 17

Knowledge management 13 17

Project management 13 11 10 23 5 10

Sourcing decisions 13 17

CIO leadership role 10 16 10

IT organization design 15

Societal implications of IT 20

ACTIVITY, AND/OR PROCESS.

• OVERALL CONTEXT – THE BIG PICTURE OF HOW IT ALL FITS TOGETHER.

• OR BOTHEA 202: © 2000‐2011 Leon A. Kappelman. All rights reserved.

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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

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

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


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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.

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“We shape our buildings —thereafter they shape us.”thereafter they shape us.

— Sir Winston Churchill

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

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shape us. — Leon Kappelman


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


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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)45% Design errors 20% Requirements errors25% Coding errors 30% Design errors20% Bad fixes 35% Coding errors5% Documentation errors 10% Bad fixes5% Administrative errors 5% Documentation errors

100% 100%

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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\33

Copyright © 2009 by Capers Jones. All Rights Reserved.


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 difficulties of that technology. Following Aristotle, I divide them into essence, the difficulties inherent in the nature of software, and accidents, those difficulties that today tt d it d ti b tattend 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.


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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 difficulties of

“The hardest single part of building a software system is deciding precisely what to build No other part of thethat technology. Following Aristotle, I divide them into essence, the difficulties inherent in the nature of software, and accidents, those difficulties that today tt d it d ti b t

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 moreattend 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

Defect Removal DeliveredDefect Origins Potential Efficiency Defects

(Data expressed in terms of defects per function point)

Requirements 1.00 77% 0.23Design 1.25 85% 0.19Coding 1.75 95% 0.09Documents 0.60 80% 0.12Bad Fixes 0.40 70% 0.12

TOTAL 5 00 85% 0 75

45% 56%

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(All defect sources ‐ not just coding defects)

SWQUAL08\36Copyright © 2009 by Capers Jones. All Rights Reserved.

TOTAL 5.00 85% 0.75


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Defect Removal DeliveredDefect Origins Potential Efficiency Defects

(Data expressed in terms of defects per function point)

BEST IN CLASS SOFTWARE QUALITY

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

TOTAL 2.50 96% 0.13

40% 77%

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

TOTA .50 96% 0. 3

SWQUAL08\37Copyright © 2009 by Capers Jones. All Rights Reserved.

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)

3.33 Requirements practices & capabilities (15 questions)

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The SIM Guide to Enterprise Architecture: Creating the Information Age The SIM Guide to Enterprise Architecture: Creating the Information Age Enterprise, 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

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y


LOGICAL

PHYSICALPHYSICAL


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Strategist’s VisionBusiness ModelLogical Model

Physical Model

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Subcontractor’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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PORTA

SO

SCHEDU

GOAL

INFRAD A

LS/REP

FTWA

ULES /TIM

S

&

RU

ASTRUC

DATA

ORTS

RE

INGS

ULES

CTURE

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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)


Strategy

E tiExecution


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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… 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 efficiently and effectively:

• achieve those objectives;

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• achieve those objectives;• manage change and complexity;

• manage the enterprise & all its resourcesincluding its technologies.


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

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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

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

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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

What is EA?What is EA?

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

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setting, knowledge management, data warehousing, SOA, BPR, etc., etc., …BUT EA is much, much more than that.

You can build your EA practice on what you are already doing


Some graphical concepts for communicating with Zachman’s Enterprise OntologyScope about something is depicted by width 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 cell.

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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, (2nd

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Technologies, Clive Finkelstein, (2Edition, June 2011).

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Perfect World


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


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.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,standard setting, knowledge management, data warehousing, SOA, BPR, etc., etc., …

BUT EA is much, much more than that.You can build your EA practice on what you are already doing


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


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Software ArchitectureSystems AnalysisSystems DesignSoftware Portfolio


Strategic PlanningBusiness ModelingBusiness Architecture


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


Human ResourcesOrganization DesignJob Design


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Business Process ReengineeringProcess Improvement


N t k D iNetwork DesignNetwork Architecture


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Data DesignData ArchitectureData Warehousing


Rules ManagementBusiness RulesExpert Systems


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

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– John Zachman


http://zachman.com

Road to the Future: Institutionalizing EARoad to the Future: Institutionalizing EAThis 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 InvestmentCouncil

Change Management

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EA Architecture Council

ProjectManagementOffice


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Armstrong Process Group, Inc. http://www.aprocessgroup.com/offerings/index.asp


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 Enterprise.

Road to the Future: Institutionalizing EARoad to the Future: Institutionalizing EA

g g p j p

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 technical training a continuous process. It is easy to forget long‐term issues in the short‐term stress of daily life

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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 the processes and

Example of an EA development

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


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Implementation Guidelines: Getting StartedImplementation Guidelines: Getting StartedBuild 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 at all levels (as highGet participation & commitment from IT & business at all levels (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. Identify EA initiatives of most value to organization. Help the value creators, it creates champions and wins hearts and minds.

M it l t d i ti b i

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Monitor, evaluate, and improve on a continuous basis:Quantify the benefitsRegularly take a hard look at EA cost‐value proposition, and make it better.

Use EA in IT for CONTINUOUS IMPROVEMENT and COMMUNICATION WITH YOUR CUSTOMERS & STAKEHOLDERS


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

Dr W Edwards Deming– Dr. W. Edwards Deming


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

SIM Guide to Enterprise ArchitectureSIM Guide to Enterprise Architecture

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. Ballengee• Larry Burgess • Ed Cannon• Larry R DeBoever

• George S. Paras• Alex Pettit• Jeanne W. Ross• Brian Salmans

40% discount code = 542KA

at

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

• Brian Salmans• Anna Sidorova• Gary F. Simons• Kathie Sowell• Tim Westbrock• John A. Zachman

at CRCPress.com


Read ing the 21st Cent r Enterprise ith Architect re

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

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

Readying the 21st Century Enterprise with Architecture: Bridging Strategy and Execution

Founding Chair, Society for Information Management EA Working GroupFounding Chair, Society for Information Management 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
