Business Architecture Basics

1. Business Architecture Basics Daniel Lambert, M Sc VP – Benchmark Consulting Email: dlambert@biz-architect.com Phone number: +1-514-798-2042 x2010Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Business Architekten Schweiz 4. Mai 2017

2. 1. Business Architecture Introduction slide 3 2. Business Architecture Guild slide 13 3. Business Architecture Books slide 18 4. Why Business Architecture Matters? slide 21 5. When Is Business Architecture Used? slide 27 6. Where Is Business Architecture in an OrgChart? slide 28 7. Strategy Maps slide 42 Presentation Overview 8. Value Maps slide 52 9. Capability Maps slide 57 10. Organization Maps slide 61 11. Other Maps slide 64 12. Requirement & Process Maps slide 68 13. Software Tools slide 72 14. Example 1 – Ford slide 75 15. Example 2 – TD Bank slide 82 16. Example 3 – USPTO slide 92 Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

4. Planning Marketing Plan Strategic Plan Operational Plan Delivery & Execution Operations Delivering Operating Source: Driving your BA Career - From Business Analyst to Business Architect by Craig Martin; Sept. 30 2014 on SlideShare; Slide 17 Enterprise Design Product & Service Design Enterprise Architecture Business Architecture Portfolio, Program & Project Management Business Planning Solutions Architecture Solutions Development Business Analysis The Place of Business Architects in Enterprise Design Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

5. • 66% of HR and IT organizations develop strategic plans that are not linked to the enterprise strategy. Sources: the first 2 bullets are derived from The Strategy-to-Execution Process: A Critical Component of Transient Competitive Advantage in the European Business Review on November 7, 2013 and the last bullet is derived from various additional studies made by Towers Watson, Harvard Business Review, and McKinsey & Co. Today’s Business Disconnects Benchmark Consulting Canada Copyright 2017 – All Rights Reserved • 95% of employees in most organizations do not understand their organisation’s strategy • Only 25% to 30% of business transformation initiatives are successful over the long term

6. Today’s IT vs Business Disconnects Benchmark Consulting Canada Copyright 2017 - All Rights Reserved Sources: http://image- store.slidesharecdn.com/3b0 f9b75-76aa-4898-91e9- 11fddf6c4911-large.jpeg. How users see IT and developers How IT and developers see users

7. Business architecture is defined as “A blueprint of the enterprise that provides a common understanding of the organization and is used to align strategic objectives and tactical demands." - BIZBOK® Guide, page 1 The Business Architecture Definition Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

9. Information Maps Strategy MapsStakeholders Maps Organization Maps Initiative Maps Product Maps Asset Maps Value Maps Capability Maps Process Maps (BPM) Requirements Maps Business Architecture Business Architecture: Another View Source: https://www.linkedin.com/pulse/align-your-requirements-corporate- strategies-using-business-lambert?trk=pulse_spock-articlesBenchmark Consulting Canada Copyright 2017 – All Rights Reserved

10. Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Business Architecture Stops Business Silos Source: figure in the article entitled “Beware the Business Silos! Fun Cartoons, Plus Helpful Solutions” in Tibbr on March 9, 2012

11. Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Business Architecture Implementation Schedule Source: https://www.linkedin.com/pulse/make-your-cio-more-relevant- using-business-daniel-lambert?trk=mp-author-card

13. The Business Architecture Guild is a professional association, which offers exclusive content to its members like the following: • the Business Architecture Body of Knowledge® (BIZBOK®) Guide. New Release Every 6 months • a certification program, called Certified Business Architect (CBA)® • newsletters • Webinars, Summits, etc. Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

14. Primary Authors • Tammy Adams, Chaosity LLC • Sue Alemann, Slalom Consulting • Verna Allee, ValueNet Works • Eric Aranow, Context Consulting • Alec Blair, Alberta Health Services • Ivan Blinow, BMASTER • Robert Bratulic, IBM • Amy Crockett, VF Corporation • Carol Deutschlander • Lloyd Dugan, Business Process Management • Steve DuPont, The Boeing Company • Eric Shayne Elliot, Digital Recognition Network • Karen Erwin, NTT Data Americas • Linda Finley, Leadership Advantage LLC • Russ Jackson, Export Development Canada • Navid Kheradmand, BC Pension • Whynde Kuehn, S2E Consulting Inc. • J. Bryan Lail, Raytheon • Mary Lloyd, MoneyGram International • Stephen Marshall, IBM Global • Chalon Mullins, Kaiser Permanente • Neal McWhorter, Strategic Value Partners • Judith Oja-Gillam, IAG Consulting • Chris Payne, IAG • Alain Picard, Benchmark Consulting • Alex Randell, Principal Financial Group • Jim Rhyne, Thematix • Michael Rosen, Wilton Consulting Group • Andrew Semple, CGI • Eric Spellman, Tata Consulting Services • Daniel St George, IBM • Cheryl Timko, Merck • William Ulrich, TSG, INC. • Taurai Ushewokunze, Vayase Consulting • Jeffrey Wallk, The Value Enablement Group The BIZBOK® Guide Involves Many Authors

15. Industry Specific Reference Model Committees: • Financial Services • Insurance • Manufacturing • Healthcare • Transportation (starting in June 2017) • Government (soon) Benchmark Consulting USA LLC Copyright 2017 – All Rights ReservedIB

18. Business Architecture: The Art and Practice of Business Transformation • Written by: o William Ulrich o Neil McWhorter • Published on October 31, 2010 Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

19. Business & Dynamic Change: The Arrival of Business Architecture • Written by: o Frank F Kowalkowski o Gil Laware o William Ulrich o Dr Michael Poulin o Michael S Connor o Keith D Swenson (Foreword) • Published on June 3, 2015 • 226 pages Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

21. Why Business Architecture Matters? 1. Business Architecture helps to focus and align corporate strategies to all its business units down and across the entire organization Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

23. Why Business Architecture Matters? 3. Business Architecture increases employee engagement by setting proper boundaries, making it safe and productive for employees to take independent actions and make them more autonomous Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

25. Why Business Architecture Matters? 5. Business Architecture makes it possible to increase your agility in both your business and IT execution Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

35. When Is Business Architecture Used? 9. Investment Analyses 10. New product offering or service roll-out 11. Globalization 12. Business capacity outsourcing 13. Supply chain streamlining Other reasons 14. Regulatory compliance 15. Joint-venture 16. Restructuring 17. Implementing Customer-Centric Approach 18. Divestiture Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

37. OrgChart for Business Architecture CIO VP – Enterprise Architecture Director – Business Architecture Software/ Application Architects Director – Business Analysts VP – IT Projects Etc. Director - Business Process VP – Networks Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

38. Business Architecture Under Enterprise Architecture VP – Enterprise Architecture Business Architect Enterprise Architect Enterprise Architect Enterprise Architect Etc.Enterprise ArchitectEnterprise Architect Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Enterprise / Business Architect

39. Business Architecture within Governance Chief Governance Officer Corporate Strategy Director – Business Architecture Compliance Management Corporate Communication Performance Management Etc.Ethics ManagementRisk Management Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

40. Business Architecture under the COO President & COO Marketing Director – Business Architecture Sales Human Resources CIO Etc.Business Unit 1Manufacturing Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

42. Business Motivation Model Source: http://goobiz.com/From_BMM_to_SOA.htm

43. Vision + Objectives + Goals IRIS Business Architect Copyright 2017 – All Rights Reserved Source: http://www.slideshare.net/DanielLambert4/from-insurance-business- strategies-to-it-execution-using-business-architecture

44. Strategies & Tactics IRIS Business Architect Copyright 2017 – All Rights Reserved Source: http://www.slideshare.net/DanielLambert4/from-insurance-business- strategies-to-it-execution-using-business-architecture

45. Business Model Canvas: a Banking Example Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: https://www.linkedin.com/pulse/bridging-business-model-canvas- architecture-daniel-lambert?trk=pulse_spock-articles Alexander Osterwalder Stategyzer

46. Customer Value Map: a Financial Service Example Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

47. Customer Journey Map: a Financial Service Example Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

48. Strategy Map: Balance Scorecard Source: http://blog.bizzdesign.com/business-performance-management- balanced-scorecards-and-the-decision-model/ Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

49. SWOT Assessments Source: https://www.slideshare.net/DanielLambert4/from-business- strategies-to-it-execution-using-business-architecture-in-financial-institutions Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved

50. Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Business Architecture & Measurements Source: https://www.linkedin.com/pulse/art-measurement-business- architecture-daniel-lambert?trk=pulse_spock-articles

52. Value Streams: Financial Services Example Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal

53. 100% 47% 12% Opportunities Churn Rate 2% 4% Acquire Customer for a Product (Funnel) Value Stream Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal

54. Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal Acquire Customer for a Product (Funnel) Detailed Value Stream

55. Value Steam with Enabling Capabilities Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: Article entitled “Enabling Innovations Using Business Architecture” to be published in May 2017 in Cutter Technology Business Journal

57. Capability Map (Level 1) Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: https://www.slideshare.net/DanielLambert4/from-business- strategies-to-it-execution-using-business-architecture-in-financial-institutions

58. Tier-2 Customer Facing Capabilities (level 1 & 2) Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: https://www.slideshare.net/DanielLambert4/from-business- strategies-to-it-execution-using-business-architecture-in-financial-institutions

59. Tier-2 Customer Facing Capabilities (level 1 & 2) Benchmark Consulting USA LLC Copyright 2017 – All Rights Reserved Source: https://www.slideshare.net/DanielLambert4/from-business- strategies-to-it-execution-using-business-architecture-in-financial-institutions

61. Source: https://www.linkedin.com/pulse/business-architecture- merger-acquisition-context-part-daniel-lambert?trk=mp-author-card Apple Republic Org Chart (level 1 and 2)

62. Source: https://www.linkedin.com/pulse/business- architecture-merger-acquisition-context-part-daniellambert?trk=mp-author-card Org Chart with Capabilities (Level 1 only)

64. Initiatives to Purchase Company AB IRIS Business Architect Copyright 2017 – All Rights Reserved Source: http://www.slideshare.net/DanielLambert4/from-insurance- business-strategies-to-it-execution-using-business-architecture

65. Capability/Information Concept Cross Mapping IRIS Business Architect Copyright 2017 – All Rights Reserved Source: http://www.slideshare.net/DanielLambert4/from-insurance-business- strategies-to-it-execution-using-business-architecture

68. Avoiding Confusion in User Stories with Business Architecture Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Capabilities Stakeholders Value The User Story of the Requirement “A-198” The Loan Officer(S1) wants to set(V1) the terms(I1) of the agreement(I2) to reduce(V2) the monthly minimal payment(I3) of its Personal Client(S2) who wants to Acquire a Loan(V3), involving decisions(P1) from a Loan Administrator (S3), a Loan Manager(S4) and a Contract Manager(S5) and involving the capability of Agreement Structuring(C1) and its children Agreement Terms Management(C2) to Approve a Loan(V4)» • Agreement Structuring (level 3) (C1) • Agreement Terms Management (level 4) (C2) • Loan Officer (S1) • Personal Client (S2) • Loan Administrator (S3) • Loan Manager (S4) • Contract Manager (S5) • Set the terms of the agreement (value item) (V1) • Reduce the monthly minimal payment (value item (V2) • Acquire a Loan (value stream) (V3) • Approve a Loan (value stage) (V4) Information • Terms of loan (I1) • Loan Agreement (I2) • Monthly Minimal Payment of Loan (I3) Process • Process B-231 – Change Terms of a Loan (P1) Source: http://www.slideshare.net/DanielLambert4/from-retail-business- strategies-to-it-execution-using-business-architecture

72. Enterprise Architecture Software Tools Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Mostly good enterprise architecture tools with difficult to use Business Architecture modulesSource: http://www.slideshare.net/DanielLambert4/from- retail-business-strategies-to-it-execution-using-business- architecture

73. Business Architecture Software Tools Benchmark Consulting Canada Copyright 2017 – All Rights Reserved Only IRIS Business Architect is aligned to TOGAF and BIZBOK. Others allow mostly capability and project mapping. Not much else.Source: http://www.slideshare.net/DanielLambert4/from- retail-business-strategies-to-it-execution-using-business- architecture

74. Section 14 Example 1 Business Architecture Ford Source: http://c.ymcdn.com/sites/www.businessarchitectureguild.org/resource/ collection/0C09C473-059E-498D-906F-E98CE494AB00/basig-13-06- 11.pdf Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

81. Section 15 Example 2: Using Business Architecture to Facilitate a North American Business Model at the TD Bank TD Bank Source: http://www.slideshare.net/DanielLambert4/using-business-architecture-to- facilitate-a-north-american-business-model-at-the-td-bank Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

82. Section 16 Example 3: Leveraging Business Architecture for Business Requirements Management US Patent & Trademark Office Source: http://www.omg.org/cgi-bin/doc?basig/2015-03-06 Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

88. Our Clients PE Business Consulting

89. Vielen Dank! Daniel Lambert Email: dlambert@biz-architect.com Phone numbers: (855) 798-2042 x2010 (USA & Canada) +1-514-798-2042 x2010 (elsewhere) Benchmark Consulting Canada Copyright 2017 – All Rights Reserved

Business Architecture Basics

Daniel Lambert, M. Sc.

Business Architecture Basics