Business Architecture – Linking Strategic Themes To Tactical Demand

In a recent blog post, Aligning Strategy to Business Capabilities,  we discussed how vital it is for leaders to agree on what the company needs the ABILITY TO DO in order to achieve a set of defined strategic priorities or themes.  In this post, we’ll explore that it is equally important for leaders to have a clear understanding of what the organization does TODAY.  The ability to view the enterprise with this second lens enables leaders to link strategic objectives to tactical operational demands while continuing to focus on the organization’s operational processes and the existing demand on IT.

Business Architecture is the discipline that makes these links visible by creating a “blueprint” of the enterprise that offers a common understanding of the organization and tees up how the business executes its capabilities.  As a result, the most important value proposition of Business Architecture is the ability to build a bridge between strategy and execution and facilitate successful enterprise-wide change.

Creating the  Blueprint

In order to facilitate alignment between strategic themes and a shared understating of the current state, a common vocabulary is needed.  Too often, misunderstanding and misalignment result from the lack of a shared language and mental model. Business Architecture’s primary focus is to provide that common language and promote a shared understanding of the enterprise.  Definitions for words like ‘customer’, ‘order’, ‘product’, ‘vendor’, ‘supplier’, ‘contract’, etc.  are frequently assumed. This can cause confusion and disagreement when it comes to organizational and functional scope, operational practices, and technology implementations.

By using a common vocabulary an enterprise blueprint can be originated, and a framework developed, for impact assessment, planning, prioritization, and execution. The common language that is agreed upon is represented in a capability model, which defines ‘what an organization must be able to do to successfully execute its business model’ (as depicted in the graphic below).  The capability model expedites a common understanding of the organization and its business model, and allows architectural facts like business data and applications to be gathered and used to facilitate the identification and assessment of business impacts and architectural gaps. The completion of the capability model enables the team to build an enterprise blueprint based on these facts and any business or technology shifts needed to achieve business goals.

Capability Relationships chart

The Role of a Business Architect

Business architects take on the role of leading and facilitating this critical cross-enterprise conversation and blueprint/framework creation. By creating a 360-degree view of the enterprise, business architects enable an understanding and analysis of the interconnections, overlaps, and synergies that may exist so that functional silos can be identified and broken down, in order to become a more ‘agile’ business.

Business Architecture is a discipline that falls within the scope of Enterprise Architecture. Just as enterprise architects should possess perspective, leadership skills, and the ability to act, as described in this recent blog post, so too should business architects.  The business architect’s role is strategic. It requires both a broad view of the business and its use of technology when interpreting and conceptualizing strategies, and a more detailed view when assessing the impacts of the organization.  Business architects work to reconcile the decisions for implementation across business units, and develop artifacts and deliverables to ensure that the gaps in implementations are not only well understood but also well planned for.  Effective business architects must be strong communicators, facilitators, negotiators, and collaborators.  These skills are required to be a game-changer in today’s dynamic and disruptive business environment.

Standing Up A Practice

To stand up a business architecture practice, an organization can begin by first looking internally at their own existing business analyst or systems/functional analyst communities.  The business or functional analyst roles primarily focus on execution, such as requirements management and operational process, or on system impacts supporting day-to-day development team activities.  Within these communities are analysts that, with the right support and coaching, can become excellent business architects.  The question is, can they make the leap from specific solutions, or business units, to overall reuse and enterprise blueprinting?  They already have the in-depth, enterprise-specific knowledge that is invaluable in this role, and are usually well-positioned to grow into a business architect. In order to supplement internal resources, organizations may consider hiring experienced business architects, from outside the organization, as an effective way to round out the business architecture team and practice.

Business Architecture in Practice

Within The Feld Group Institute Transformation Framework, business architects play a critical role in setting the business agenda as defined by business & technical leaders. In fact, you will find a business architect’s DNA in the capture of artifacts that represent the business model, business systems model, and technical systems model.

It is clear that Business Architecture plays a significant role in achieving cross-functional alignment and can set the stage for business agility and transformation.  Creating an integrated business agenda, a common vocabulary, and an enterprise blueprint, allows business and IT leaders access to the facts that matter, and provides them with the transparency necessary to make complex decisions with confidence.  An effective Business Architecture practice enables leaders to not only increase their speed to market but also increases their potential to improve profitability.  Finding the right individuals to take on this work, and supporting them with the resources they need to be effective,  is not only critical in linking strategic themes to tactical demand but crucial to enterprise-wide success.

Author:  Mary Contreras, Affiliate,  The Feld Group Institute, and President of Contreras Consulting, LLC.

 


 

Further Learning

If you would like to learn more about Business Architecture for Enterprise Architecture, The Feld Group Institute offers Operationalizing Enterprise Architecture. This specialized class is designed for enterprise architects, leaders of enterprise architecture, portfolio/domain architects and business architects, and delves into the enterprise architecture required to achieve business agility. For an even deeper dive, we are planning to offer a new class on Operationalizing BUSINESS Architecture in the second half of 2020, so Stay Connected.

 


 

Photo by boris misevic on Unsplash

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Russell Villemez

Affiliate, The Feld Group Institute

Head of Technology Strategy, Dialexa – a Feld Group Institute partner

Highly regarded CTO and change agent with IT strategy and enterprise architecture expertise.

Russell Villemez is an Affiliate with the Feld Group Institute and the head of Technology Strategy at Dialexa, a Technology Research, Design and Creation firm that works with organizations on initiatives such as Operational Transformation, Business Growth, and New Venture Creation.

During 17 years in operational roles and 15 years in consulting roles, Russell has worked across a variety of industries in both executive leadership positions and as a subject matter expert. Russell thrives on the scale and complexity of leading major change agendas in large corporate environments.

Recent consulting clients include AmerisourceBergen, the American Automobile Association, Brinker International, Cubic, Equifax, and Cox Automotive. A common thread is the client’s need for strong leadership during a period of change—whether motivated by acquisitions, spin-offs, competitive pressures, or other factors. Clients also benefit from Russell’s expertise in enterprise architecture, agile development, application portfolio rationalization, technology and architecture strategy, as well as business strategy and commercial software product development.

Recognized as a versatile IT executive, adept at solving complex problems with innovative solutions, Russell’s capabilities and achievements span a continuum from business-strategy formation to hands-on IT solution development. His extensive career achievements include pioneering the first use of relational databases in high-volume transaction systems in the ‘80s, applying voice recognition DSPs in public intelligent network services for consumer markets in the ‘90s, and leading large-scale adoptions of open systems, object technology, and middleware frameworks in complex business environments, often in advance of commercially available software products.

Prior to joining Dialexa, Russell served at HP as Enterprise Services Chief Technology Officer for the Americas, leading a global capability for embedded Account CTOs in large enterprises. Russell began his career at Accenture, where he first crafted his consultative problem-solving approach, later honed at A.T. Kearny and the Feld Group. Russell’s deep telecom experience is built upon numerous director and enterprise architect positions at AT&T, Bell Atlantic, Telstra, US West, Pacific Bell, and Sprint, and as V.P. and CIO for WebLink Wireless.

Russell has a BS in Business Administration from Louisiana State University and an MBA from Vanderbilt University. In his spare time, Russell participates in amateur auto racing, and is a driving instructor with the Porsche Club of America.