Many organizations with large legacy application landscapes can no longer postpone a major overhaul of their IT. But how do you avoid creating tomorrow’s legacy today all over again? And how do you spend your IT budget in the most sensible way? Next to appropriate design and development practices (e.g. enterprise architecture, agile and DevOps, as we addressed in our previous blog) you need to manage your application portfolio as a whole, to decide where it is most important to invest.
In a previous blog on the ‘Digital Customer Intimacy’ strategy of our example insurance company ArchiSurance, we outlined that they intend to use more detailed customer data to improve customer interaction and satisfaction, and to determine customized insurance premiums. To this end, they want to use the Internet of Things, acquiring data from smart, connected devices such as personal fitness trackers, black boxes in vehicles, home automation gateways, fleet management systems, in-store RFID devices, or smart building sensors.
As we have seen in the previous blog, ArchiSurance wants to establish several new capabilities to support its ‘Digital Customer Intimacy’ strategy, such as Digital Customer Management, Data-Driven Insurance, Data Acquisition, and Data Analysis. Positioning these in the context of its current capabilities leads to the following figure, using the ‘highlight’ function of Enterprise Studio to emphasize these new elements. Read more
In our previous blog, we outlined the relationship between business strategy and capabilities at a high level. But we have not given you any guidance yet as to how to create a good overview of your capabilities. In this blog we look at why identifying capabilities is important for organizations, how they can be defined, how to classify them, and how to include them in a capability map.
On June 14, The Open Group launched the new version of the ArchiMate modeling language for enterprise architecture at the Enterprise Architecture Conference 2016 in London. This is a new step in the development of a standard that started in Netherlands, but in the meantime has received broad international acceptance.
Agility has become a key ability of enterprises. The pace at which customers require changes, at which new laws and regulations affect services and introduce processes, and the ease with which competitors can disrupt your business, as Google and Apple do nowadays, leads to tremendous pressure. Pressure to change rapidly, to adopt new technologies, to generate growth, to scale up or to reduce cost. Read more
Two weeks ago, we wrote about the impact of multi-speed IT on the IT organization and enterprise architecture. Let us now talk about the different options for managing a multi-speed IT approach. Read more
Looking back to many discussions about Digital Strategy with different organizations, most of them have the challenge of going through a balancing act day by day. Firstly, a Digital Oriented Organization needs to accept that the roles and responsibilities of Business and IT will merge together, whilst both parties need to enable business and IT innovations towards digital business needs. Read more
In many organizations a mythical creature lays deep down in the catacombs, otherwise known as the server rooms. This dark monster has an obsessive-compulsive disorder. Normally these creatures are in search of gold. However, this kind doesn’t fancy gold, this one hoards applications!
Although Application Portfolio Management (APM) isn’t the newest kid on the block, it has had a tremendous growth in popularity lately. Due to the economic crisis and market pressures in general, IT managers and architects are constantly pushed by their CxO’s to reduce inefficiencies, improve agility of the enterprise and cut costs. The complexity of these tasks leads to an increasing need for tools and structures to help them handle their application landscape. Read more
Do you recognize the continuous balancing of urgent vs. important matters? I am often confronted with urgent matters that need to be resolved quickly such as an escalation within a project, deadlines and engaging in interactions through meetings, e-mails, phone calls and a dozen other channels. On the other hand, I am also often confronted with important matters that are not urgent such as developing my professional skills and working on relationships. Sound familiar? I bet it does. It is perfectly normal to prioritize between urgent and important matters and everybody does it. Organizations face many similar challenges of which one is ambidexterity.
Capital allocation, i.e., deciding on investments, is probably the most important responsibility of the top management of any organization. This is no easy matter. Warren Buffett, chairman and CEO of Berkshire Hathaway and probably the most successful investor of the 20th century, described this in his 1987 letter to shareholders: Read more
“Business Process Management is old school; Business Analysis is the new hype”. Huh…? With all terminology and current trends, it is easy to get confused. If you ask five different people to clear things up, you will probably get five different explanations. It is all about definitions. In this blog I will distinguish Business Analysis from Business Process Management. Read more
Strategy execution remains a challenging task for many organizations. The ‘Digital Enterprise’ requires major business transformations, delivered at speed. Most organizations are in a constant state of change. The ‘unfreeze-change-freeze’ model, reasoning from the current to a desired future state, no longer applies; the current state is always in flux and the future state is a moving target. Read more
As outlined in another blog, architecture-based enterprise portfolio management plays a crucial role in an integrated business transformation approach. Portfolio management is responsible for allocating investments to various asset categories and for creating a healthy project and program portfolio mix that realizes the organizational goals. There should be a balance in, for example, the types of projects (development, research, etc.) and long-term and short-term projects.
Imagine you wake up one day and suddenly there is a completely new technology available that outperforms your product or service in every way, and you didn’t see it coming. Sounds scary, right? Well, this is a reality for many companies. Take for example, navigation devices for your car. Garmin and TomTom were the major players dominating this market for several years, selling their products for hundreds of dollars each. However, that was before Google introduced Google Maps for mobile devices. As a result, Garmin’s and TomTom’s market values dropped dramatically, 85% in only 18 months.
Over centuries, we have seen architects and engineers leading innovation. The Romans building ingenious aqueducts, the construction of the Canal du Midi and the Eiffel Tower in France, or more recently the Norman Foster’s Millau viaduct or landmark buildings like the Guggenheim Museum in Bilbao by Frank Gehry. Buildings that inspire and stretch technological possibilities. Ideas that have literally shaped construction and design, and transformed their surroundings. Read more