Making Leaders Successful Every Day
Business 2.0: It May Be Good Enough Today But Is It Good Enough for Tomorrow?
Derek Miers, Principal Analyst
@bpmfocus
September 10th, 2012
© 2012 Forrester Research, Inc. Reproduction Prohibited
4© 2012 Forrester Research, Inc. Reproduction Prohibited
5© 2012 Forrester Research, Inc. Reproduction Prohibited
Holiday reading …If you are like me …
More to come … suggestions?
6© 2012 Forrester Research, Inc. Reproduction Prohibited
Whatever “it” is that you do … If it’s good enough today, it’s probably not going to be good enough tomorrow.
“Band-Aid” approach or “Wellness Program”
8© 2012 Forrester Research, Inc. Reproduction Prohibited
Each change program/project coexists with others:• Varying objectives, sponsors, scope and
methods.• Usually treated separately from the last
project.• At best, there is ad-hoc sharing of data, models,
methods or insights.• Little reusability of artifacts leading to
inconsistent language.Some change initiatives succeed – due to visibility and sponsorship – while others flounder regardless of merit.
How many projects/programs/initiatives do you have?
Business Architecture
An organized and repeatable approach
to describe and analyze an
organization’s business and operating
models to support a wide variety of
organizational change purposes; from
cost reduction and restructuring, to
process change and transformation.
10© 2012 Forrester Research, Inc. Reproduction Prohibited
How does business architecture support innovation?
Business architecture provides:• A framework for managing change.• A way of thinking about your
business outside-in.• A way of engaging people.
How can you support the organization to coordinate change?
Business architecture integrates organizational silos
Brand Definition, Service and Product Design & Customer Experience Design
CMO
Business Process Management, ERP,
Workflow, Business Rules, Events, SOA,
BI, MDM
CIO
Lean, Six SigmaContinuous
Improvement, Performance Improvement
COO
Future State or TargetOperating Model
Strategic Intent
Useful Abstractions
Realization
12© 2012 Forrester Research, Inc. Reproduction Prohibited
Strategic Intent
Dimension Description
Corporate structure Legal entities relationships
Markets Brand experience; Compete where?
Customer segments
Which types of customers?
Distribution channels
How will we reach them?
Value proposition What products and services?
Goals What metrics will we track to get there
How are we going to win
13© 2012 Forrester Research, Inc. Reproduction Prohibited
Abstractions
Dimension Description
Products and Services
What is the customer’s journey and experience ?
Business capabilities
Both those we have and those we need to develop?Which ones to scale/reduce?
Processes To both implement and configure capabilities?
Governance What are the key responsibilities and how have we structured them?
Provide ways of articulating the operating model
14© 2012 Forrester Research, Inc. Reproduction Prohibited
Implementation
Dimension Description
Organization How will we structure those responsibilities?
Sourcing Partners, suppliers
Location Where will we operate
Data How can we ensure we manage the language
Applications What are the implications for business applications
Infrastructure And where are we going to invest – cloud, on premise?
How is that going to work in reality?
Key perspectives
Business Architecture Perspectives
Strategy
Value
CapabilitiesServices
Processes
Integrate external pressures
B
Manager
Team ATeam BTeam C
Business Architecture
Internal ExternalStrategicdirectives
CustomerExpectations
NewRegulations
CompetitorActions
Balanced and consistent view
App portfolio
Newprogramcharter
PrioritizedBPM
initiativeCustomer
experience Servicedesign
Orgstructure
© 2012 Forrester Research, Inc. Reproduction Prohibited
Lots of different uses for business architecture • Executing on top level business
strategy.• Optimizing enterprise performance.• Consistent process architecture.• Designing and coordinating change
programs such as new market/product lines, geographic expansion, and M&A
• Understanding costs and drivers.• Optimizing business and IT
investment decisions; Associated project portfolios.
• Organizational design and resource deployment.
© 2012 Forrester Research, Inc. Reproduction Prohibited
In summary
1. Most organizational change is silo’d: business architecture integrates them
2. Business architecture relies on multiple perspectives to boost insight.
3. Business architecture value: a framework that guides coherent business change
Recommended