define an ea operating model

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Define an EA Operating ModelRealize the benefits of EA by balancing the need for controls with the desire for business engagement.

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Architecture groups often start practicing EA based on the path of least resistance, which often results in an inability to deliver on a set of promises of value. EA groups need to create an operating model that positions them to best deliver on those promises of value while embedding the architectural activities in the broader enterprise.

Gopi Bheemavarapu, Director, CIO Advisory

Info-Tech Research Group

Structure the enterprise architecture (EA) function with the value proposition in mind.

ANALYST PERSPECTIVE

https://www.infotech.com/research/ss/define-an-ea-operating-model/define-an-ea-operating-model-phases-1-5



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Our understanding of the problem

CIOHead of enterprise architectureEnterprise architectsDomain architects – business, data,

application, infrastructure, and security

Operationalize the EA practice and ensure that the group is best positioned to deliver the value identified in the EA strategy.

Integrate EA activities into the broader organizational ecosystem to maximize value.

Develop an architectural framework tailored to your organizational needs.

Right-size architecture governance that is aligned to organizational goals.

Head of PMOSolution architectsIT application ownersBusiness process owners

Outline their roles and understand the expectations within the larger EA function.

Establish how the EA group will interact with the rest of the organization.




Resolution

Situation

Complication

Executive summary

• Organizations have invested significant resources into EA programs that promise decreased costs, reduced complexity, or increased agility.

• To achieve the promised benefits, EA serves as a centralized decision-making entity, with a holistic perspective of the organization.

• EA tends to rely heavily on frameworks such as TOGAF and Zachman.

• EA makes enterprise-affecting decisions in isolation as a result of an inability to effectively engage organizational stakeholders.

• Even after deciding what services to provide, EA groups lack a right-sized methodology to complete the necessary activities.

• An overreliance on frameworks makes it more difficult for EA to adapt and be flexible to organizational changes.

• EA program placement and structure matters. Ensure that it is best positioned to deliver enterprise value.• Create an engagement model to seamlessly integrate or embed EA activities into organizational processes.• Adopt a governance approach that encourages collaboration without being overly intrusive.• Configure an architecture development framework that works best for your organization while adapting the best practices

and industry frameworks.• Increase your chances of success by creating a practical operational plan.

Get your EA program strategy right before making operational process changes. The benefits of an EA program are only realized when the various operating model components enable the goals and objectives of the program. • Create a balance between governance

and motivational aspects when addressing structure and stakeholder relations.

• Beginning the project based on a framework is a good starting point, but it must be tailored to your organizational context.




Business strategy first, EA strategy second, and EA operating model third

Business Strategy

EA Strategy

EA Operating

Model

“Why does our enterprise exist in

the market?”

“What does EA need to be and do to

support the enterprise’s ability to meet its goals? What

is EA’s value proposition?”

“How does EA need to operate on a daily basis to deliver the value proposition?”




Key challenges that organizations face in improving EA maturity

Source: Burns, 2009

An effective EA operating model addresses these common challenges and unlocks the full potential of EA.

Strategic Alignment

Staff Competence

Performance Measurement

Organization Structure

Formal Process

40%

40%

24%

18%

7%

Percentage of organizations that report said element as an issue.




Both business and EA operating models seek to address how the entities achieve their set goals

Business Operating Model

“How do we compete?”

“How do we add value?”

“How do we interact?”

EA Operating Model

“How do we position our EA function?”

“How do we organize and staff EA?”

“How do we interact with the organization?”

“How do we ensure awareness of and adherence to architectural standards?”

“How do we deliver EA services?”




Elements of an EA operating model

EA Function Design• Placement of the EA function relative to the rest of the organization.• Roles and responsibilities needed to deliver EA services.• The staff to fill those roles and their needed competencies.

• Assess current governing bodies and identify points for architecture governance (architecture review boards).

• Define EA policy and the architectural review process.

• Integration of EA processes into existing organizational processes.• Identify and define stakeholder interactions.

• Tailor an architecture development process to your organizational context. • Analyze and select a minimum-viable set of architectural views that guide

decision making.

• Draft a communication plan to engage with stakeholders. • Create a change management plan to efficiently operationalize the EA

operating model.

EA Engagement Model

Architectural Development Framework

Architectural Governance

Operational Plan




SituationLife Inc., a major insurance company in North America, was looking to overhaul its business processes and modernize IT assets. The CIO gave the mandate to a senior IT leader (Head of EA) to set up an EA program and lead the transformation effort.

ComplicationThe organization had two previous failed attempts at starting an EA program because the guidance provided was top-down heavy and did not take into consideration practicalities. As a result, there was skepticism over the merit of the initiative. Furthermore, the previous attempts were mostly focused on technology transformation and were missing the business perspective. The organization did not have the internal skillsets to start a business-focused EA program.

ResolutionInfo-Tech worked with the organization to build an EA operating model that included business architecture and provided a platform to engage both business and technology stakeholders. Skill gaps were identified and talent was recruited to plan the business transformation. Since the operating model was built to be well grounded and tailored to the organization, the engagement levels were high, which resulted in a successful transformation.

The EA operating model covers the following components:

CASE STUDY Industry

Source

Insurance

Info-Tech

Component falls into the scope of the case study

Legend

EA organization structure

EA engagement model

EA governance

Architecture development framework

Operational plan

An insurance company created an operating model to kick-start a successful EA function




Metrics will help you connect changes to the operating model to business outcomes

Business Performance

• Increase the number of EA-enabled innovations that led to common shared solutions by X in the fiscal year.

• Increase the number of business processes (or business capabilities) that utilize EA-enabled services in the fiscal year.

IT Performance

• Increase the percentage of enterprise strategic goals and requirements supported by IT strategic goals by X percent in the fiscal year.

• Raise the satisfaction levels of business and IT executives with IT-related costs and capabilities by X percent.

Reduced Risk • Improve the rate of timely publishing for new regulations that are reliant on EA services.• Decrease the number of overdue regulatory filings that are reliant on EA services by X.

Customer

• Decrease the average customer wait time when receiving replies on EA services by X (could be call wait time or in-person wait time).

• Decrease the average handling time and average wrap-up time for EA service requests by X (could apply to customer service time or sales cycle time).

Metrics adapted from COBIT 5: A Business Framework for the Governance and Management of Enterprise IT




Additional operational metrics will help you track the changes to individual operating model elements

Process• Increase the dollar value of project benefits realized that can be traced back to EA

involvement.• Increase satisfaction with architecture program by X percent.

Organizational Structure

• Number of people trained in the EA methodology and tool set.• Percent of staff whose architecture skills are sufficient for the competencies required for

their role.

Governance• Decrease the number of exceptions to architecture standards and baselines applications

by X percent in the next three years.• Number of identified gaps in models across architectural domains.

Metrics adapted from COBIT 5: A Business Framework for the Governance and Management of Enterprise IT



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define an ea operating model

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