5 benefits of an architected Target Operating Model

Every single organisation, whether a commercial, non-profit or government body, has an operating model. The operating model concept is not limited to organisations of, or above, certain size. An architected operating model – that is, a model that has been especially developed and fine-tuned for an organisation in line with its strategic priorities has wo distinguishing features.

Understanding of Business Capability Is the Key to the Architecture of Business Practice

An Architecture of Business concept defines and utilises a connotation of business capability to deliver, to do something in the continuously changing market, i.e., tomorrow and then after. The architecture of a successful corporation hooks into the future because current knowledge and skills can become obsolete by the EOD. The article defines the Capability benefits via business functionality and information; just data without business meaning is useless.

Architecture of Business and IT Enterprise Architecture: an architecture from the Business perspectives

While an Architecture of business organisation includes an Intrinsic Architecture and a Practice of Architecture, the Enterprise and even Business Archtiectures, defined by TOG, are predominantly a practice or implementation of an undefined architecture at the enterprise (rather than an IT) level. From the IT viewpoint, the enterprise is constituted by the corporate-wide technology; from the corporate-wide business viewpoint, technology and its architectural practice (EA) are just types of resources Business Capabilities may utilise to reach the strategic objectives of the business.

How BUSINESS CAPABILITY may be built

Describes a process of bulding Business Capabilities for the Architecture of Business organisation. The Business Capabilities are abilities of the business to deliver a certain result by a given time in a defined execution context. IT and EA are just resources for this delivery.

BUSINESS CAPABILITY and API ECONOMY: beware of a man-trap

The fundamental meaning of business capability can be explained as an ability to do/build/construct/gain/provide/deliver certain business value in the given business context. Microservices and API constitute an API Economy. According to the Amazon’s “AWS Service Terms”, October 16, 2017, it denies real support.while all problems with the data files are always claimed on the API-customer organisation.

BUSINESS CAPABILITIES: reflection of Wardley Diagrams at Corporate Business level

One of the major tasks in the Practice of the Architecture of Business (AoB) is an understanding of the corporate strategy by decomposing the strategic goals and objectives into fine-grained sub-tasks. In other words, this structure defines what the company should have done in order to reach its strategic goal. This method focuses on the business needs; in contrast, looking similarly, Wardley’s Value Chain Mapping focuses on the user need. In a dynamic market and several user bases, this becomes a business scalability problem.

Heat-mapping value: Identifying where to invest effort for Operating Model Design

The first time published on MARCH 26, 2018, with Kirill Derevenski In the earlier article we spoke about placing value delivery chains at the heart of a Target Operating Model. We continue in this post with clear identification of necessary prerequisites for subsequent detailed operating model design using the Operating Model Canvas methodology. What actually creates value? …

Putting value delivery chains at the heart of an organic Target Operating Model

Value delivery chains are quite simply the steps that need to be done by an organisation to deliver its intended proposition to each beneficiary group. Mapping the value delivery chain for any organisation – existing or envisioned, for- or not-for-profit, government or private – justifies the Target Operating Models. The latter are delivered via Business Capabilities in the Architecture of Business concept.

Minefield of IT’s Capability Mapping Method

One of the major problems that separate corporate business from corporate technology is not only in the functions they have and represent in the corporate structure but also in the languages these two realms use. Mimicking the term names leads rather to misinformation because the semantics of similarly sounding terms may be basically different.

Steps of Transition to an Organic Business

The first time published on MAY 27 – JUNE 8, 2018 Understanding the Subject: Part 1 Introduction In our previous articles “The Major Principles of the Organic Business Design” and “Results of Applying Principles of Organic Business Design” we discussed how an Organic Business organisation looks like from inside. This article aims to explain how to …

Results of Applying Principles of Organic Business Design

It demonstrates the results of applying Principles of Organic Business Design to the organisation of business. A few of Organic Business Organisation theory definition elements require a new understanding and reinterpretation. A real-world example for one of the retail giants is analysed.

Agile Business Capability

An enterprise behaviour is expressed via two types of business capabilities – managerial and actionable. The businesses need an additional mechanism of keeping them agile to the economic environment. Such a mechanism has to be self-adjusting to the market dynamics. This is not about new competitive capabilities and technologies (Web 3.0, Web 4.0…), but about a new model of the business capability itself that can naturally link with the market where the pace of external changes attains or even exceeds the pace of their adoption inside the company.

The Major Principles of the Organic Business Design

Dynamics of market changes as well as internal transformation in the organisations are quite high and accelerating. They have reached the degree where the traditional hierarchical business structure (mechanical model) steadily and speedily loses its efficiency and effectiveness. Though known for a long time, the organic business model proves that it is the most adequate for dynamic business transformations.

Five Characteristics of an Organic Business

Little doubt exists that there ought to be a direct connection between the external environment in which a company (or any organisation) operates and its internal makeup. Every optimal organisation is dependent on prevailing dynamics in its external (and to some extent internal) environment. Organically organised business is the most adequate for management in highly dynamic economic and technical environments.

RISKS OF BUILDING SHARED SERVICES IN A “BROWN FIELD”

Shared Service (SS) is not a new concept and we have a lot of publications about this subject. I hope that many would agree that a SS appears differently from the business and technology perspectives. Since every service is valuable to its consumers by the service functionality and outcomes, this is all that is needed …

SHARED SERVICES IN A NUTSHELL

When recently I moved from banking to the public domain, I found with surprise that UK Government is currently focusing on “#shared #services” (#ShaSer) while this topic had been addressed in banking for a decade, at least, ago. So, what the heck is ShaSer? Wikipedia states, “Shared services is the provision of a service by one …

Optimising a Target Operating Model through an Architecture of Business

by Michael Poulin & Kirill Derevenski Abstract This paper describes a comprehensive – and revolutionary – approach to effective organisational adaptation to change in a dynamic market environment. Disruption is all around and even the most established players are no longer guaranteed relevance. Business and operating models are in constant change and in order to …

Architecture of Business: Architectural Governance

Part 1. Architectural Governance: What and Why A concept of an Architecture of Business organisation (AoB) includes four fundamental artefacts, one of which is an Architectural Governance (AG). The Architecture of Business’s AG is defined as a set of principles, policies and procedures or activities, by which The AG is designed in compliance with existing …

Extending Zachman Framework™ for new Market Realities

Architecture of Business/Enterprise requires extension of Zachman Framework/Ontology to add contextual and ‘by whom’ dimensions