Respect as an architectural issue - a case-study in business survival Tom Graves , Tetradian Consulting IRM-EAC London, June 2011 info@tetradian.com / www.tetradian.com 12 Jun 2011 (c) Tom Graves / Tetradian 2011
Scope of enterprise-architecture (this, we’re often told, is the entire scope of enterprise-architecture )
Scope of enterprise-architecture (complete EA includes many other intersecting  ‘ architectures ’  – security, process, brand, organisation etc)
Enterprise-architecture beyond IT EA often starts with  IT infrastructure , but... IT tech-architecture   depends on  applications Applications-architecture   depends on   data Data-architecture  depends on  business-info need Information-architecture   depends on   business Business-architecture   depends on   enterprise Enterprise-architecture   defines  the  context An enterprise-architecture must have whole-of-enterprise scope – it ’ s not just detail-level IT!
A question of maturity 12 Jun 2011 (c) Tom Graves / Tetradian 2010 (adapted from maturity-model in TOGAF 9, chapter 51)
TOGAF scope in maturity-model 12 Jun 2011 (c) Tom Graves / Tetradian 2010 TOGAF 8.1 TOGAF 9 (...everything else is just  ‘detail stuff’) Main emphasis of TOGAF, for IT-architecture only ‘ Big-picture’ strategy Pain-points +  wicked-problems But business most wants us to work on these...
The business problem “ Loss of respect ” –  fallen from most-respected bank in region to least-respected bank
Symptoms … Deterioration in customer relations Deterioration in government relations Deterioration in community relations Severe loss of morale in all staff areas Difficulties in recruiting and retention Unresolved operational, technical and cultural problems from previous merger with other bank No real strategy to address any of this... All of these having significant, identifiable impacts on bottom-line performance
… and requests Request is from Organizational Development unit: Identify the problem-areas Identify ‘anchors to unify the tribes’ Create experience in use of whole-enterprise view and whole-system techniques Prepare executive-team for real strategy-work Combined effort of business-transformation and enterprise-architecture (will include IT-architectures etc at a later date, when business-issues have been identified)
Stage 1: Meeting with executive-team
First meeting … One-day offsite for 32-person executive team,  but : Participants wander in at random, up to half an hour after scheduled start People answer their phones, texting, jump out of meeting to take calls CEO is worst offender in this – probably >10 times... CIO sits off to one side, isolated from the team, using her laptop throughout most of the day A simple question: how does this reflect  respect  within org itself?
Five Elements in all organisations (adapted from classic Group Dynamics project-lifecycle)
Five Elements workshop Provides a quick,  experiential  means to introduce systems-thinking to practical business-folk: Describe roles within each ‘element’ Describe the ‘other’ roles from each role “ we’re right, everyone else is wrong” “ All move round one” – suddenly feels ‘unfair’ Different views, roles, time-perspectives these arise  from the work itself What happens if one ‘element’ dominates? What happens if no-one keeps the balance?
Working with Five Elements (Five Element workshop in progress, for a different organisation)
Functional Business Model (typical Functional Business Model, for a different organisation) Describe the structure of the work, how each part relates to other parts, and who is responsible
How is this business structured? (Functional Business Model process, with photos, for a different client)
Music as metaphor Powerful  experience  of interdependence in org’n Basic exercises – hit the beat, simple sequence need to listen to each other, and to instructions Complications – orchestrating multiple sequences align with own team, yet also listen to others Complexity – interweaving patterns respond as a collective to natural ‘unorder’ Freeform ‘chaos’ – adapting in the moment real-time responsibility for ‘feel’ of the whole Aligns strongly with Latin culture, though can also be used elsewhere
Music as metaphor (music as metaphor for team-coordination – executive-team from another organisation)
Stage 2: Set-piece with frontline staff
Out in the firing-line … (workshop-facilitator in theatre with 400 frontline staff)
Getting issues out into the open … (each group described their issues and challenges at work)
What ’ s going on for the front line? A very broad range of unaddressed issues: Loss of morale – e.g. “I’m embarrassed to tell my friends that I work for the bank...” Clashing imperatives – e.g. issue credit-cards vs withdraw credit, confused risk-management Clashing performance-metrics between teams Cultural mismatch – individual vs collective Operational / IT-issues – e.g. multiple apps needed for single task, manual crosslinks needed ...all with real impacts on business effectiveness
Stage 3: Back with the executive-team
Back to the future... Another one-day offsite with the executive... Report from the frontline – ‘bad news’ that they could not afford to ignore Organisation vs enterprise – create a better understanding of their place in business world The market-cycle – where respect and trust come from, and why they’re crucial for business The structure of strategy – why their current ‘non-strategy’ could not create success – and what to do next to make it work ...and this time they  did  turn up on time!
Organisation and enterprise We create an architecture  for  an organisation, but  about  an enterprise: Enterprise : a  social  structure   defined by  vision, values, mutual commitments Organisation : a  legal  structure   defined by   rules, roles, responsibilities The  enterprise  is  – provides  motivation ,  WHY The  organisation   does  – provides  action ,  HOW They’re fundamentally different – don ’ t mix them up!
Organisation as  ‘ the enterprise ’ From a business perspective, this is the effective scope of TOGAF ’ s  ‘ business architecture ’
Business-model as  ‘ the enterprise ’ Typical business-model or supply-chain view (complete supply-chain should extend beyond this)
Market as  ‘ the enterprise ’ Overall market includes actors who do not yet have active transactions with us, or have other transactions
The real scope of  ‘ the enterprise ’ The overall enterprise has many actors who may have only  ‘ intangible ’  transactions / interactions with us (yet can have major impacts on our business)
The market-cycle transactions depend on (reaffirmed) reputation and trust –  loss of trust creates anti-clients! boundary of  ‘market’ in conventional business-models
Strategy, tactics, operations (overall cycle and relationships need to be in balance)
The  ‘ quick-money ’  failure-cycle (common source of  ‘unexpected’ failure – focus only on immediate profit, with classic  “ last year +10% ”  used as a substitute for strategy)
Completions and the market-cycle Production-focus, market-focus, enterprise-focus? Focus only on  Production Focus on  Market  and its transactions
The structure of vision Vision is the overall anchor for everything ‘ vision ’  in the ISO9000 sense –  not   ‘ marketing puff ’ Vision-descriptor has distinct 3-part structure focus  [noun]: context or things of concern to everyone action  [verb]: what is to be done to or in the focus qualifier  [adjective]: why this is important to everyone Example:  ‘ ideas worth spreading ’   (TED conferences) ‘ ideas ’  (focus) ‘ worth ’  (qualifier) ‘ spreading ’  (action) Components may be in any order, but all must be present
Putting themselves on the line … Visioning was a huge struggle... Could not break free from self-centrism – kept reverting to standard ‘marketing puff’ After three hours... – finally arrived a vision-statement that was fully enterprise-inclusive ‘ creating better financial futures’ Another real challenge (but a happier one!) Performing music for families and colleagues simple percussion, as in the previous sessions ... provided a first-hand reminder of what it’s like to be out there on the business front-line
Business outcomes
What happens next? Practical outcomes for Organisational Development Executive  did  create a true business-strategy – for the first time ever, apparently... Leveraging vision – as a guide and descriptor for all enterprise relationships Rethinking culture – creating shared-learning between executive and front-line Rethinking performance-metrics – a joint effort between OrgDev, HR, BPM, IT and others ...and yes, some of this did link into the existing IT-centric ‘enterprise-architecture’
Summary The real key to enterprise-architecture is  enterprise culture Architecture is  for  an organisation, but is always  about  the whole enterprise Always start from a real business-problem in this case, the loss of respect in the marketplace Keep the focus on one area at a time, but always remain aware of the whole A real enterprise-architecture begins and ends with people –  not  solely the enterprise-IT
Many thanks!
Further detail: books by Tom Graves Doing Enterprise Architecture : process and practice in the real enterprise Everyday Enterprise Architecture : sensemaking, strategy, structures and solutions Mapping the Enterprise : modelling the enterprise as services with the Enterprise Canvas Bridging the Silos : enterprise architecture for IT-architects The Service Oriented Enterprise : enterprise architecture and viable systems Real Enterprise Architecture : beyond IT to the whole enterprise SEMPER and SCORE : enhancing enterprise effectiveness Power and Response-ability : the human side of systems ( see  tetradianbooks.com   for details ) 12 Jun 2011 (c) Tom Graves / Tetradian 2010

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Respect as an architectural issue: a case-study in business survival

  • 1. Respect as an architectural issue - a case-study in business survival Tom Graves , Tetradian Consulting IRM-EAC London, June 2011 info@tetradian.com / www.tetradian.com 12 Jun 2011 (c) Tom Graves / Tetradian 2011
  • 2. Scope of enterprise-architecture (this, we’re often told, is the entire scope of enterprise-architecture )
  • 3. Scope of enterprise-architecture (complete EA includes many other intersecting ‘ architectures ’ – security, process, brand, organisation etc)
  • 4. Enterprise-architecture beyond IT EA often starts with IT infrastructure , but... IT tech-architecture depends on applications Applications-architecture depends on data Data-architecture depends on business-info need Information-architecture depends on business Business-architecture depends on enterprise Enterprise-architecture defines the context An enterprise-architecture must have whole-of-enterprise scope – it ’ s not just detail-level IT!
  • 5. A question of maturity 12 Jun 2011 (c) Tom Graves / Tetradian 2010 (adapted from maturity-model in TOGAF 9, chapter 51)
  • 6. TOGAF scope in maturity-model 12 Jun 2011 (c) Tom Graves / Tetradian 2010 TOGAF 8.1 TOGAF 9 (...everything else is just ‘detail stuff’) Main emphasis of TOGAF, for IT-architecture only ‘ Big-picture’ strategy Pain-points + wicked-problems But business most wants us to work on these...
  • 7. The business problem “ Loss of respect ” – fallen from most-respected bank in region to least-respected bank
  • 8. Symptoms … Deterioration in customer relations Deterioration in government relations Deterioration in community relations Severe loss of morale in all staff areas Difficulties in recruiting and retention Unresolved operational, technical and cultural problems from previous merger with other bank No real strategy to address any of this... All of these having significant, identifiable impacts on bottom-line performance
  • 9. … and requests Request is from Organizational Development unit: Identify the problem-areas Identify ‘anchors to unify the tribes’ Create experience in use of whole-enterprise view and whole-system techniques Prepare executive-team for real strategy-work Combined effort of business-transformation and enterprise-architecture (will include IT-architectures etc at a later date, when business-issues have been identified)
  • 10. Stage 1: Meeting with executive-team
  • 11. First meeting … One-day offsite for 32-person executive team, but : Participants wander in at random, up to half an hour after scheduled start People answer their phones, texting, jump out of meeting to take calls CEO is worst offender in this – probably >10 times... CIO sits off to one side, isolated from the team, using her laptop throughout most of the day A simple question: how does this reflect respect within org itself?
  • 12. Five Elements in all organisations (adapted from classic Group Dynamics project-lifecycle)
  • 13. Five Elements workshop Provides a quick, experiential means to introduce systems-thinking to practical business-folk: Describe roles within each ‘element’ Describe the ‘other’ roles from each role “ we’re right, everyone else is wrong” “ All move round one” – suddenly feels ‘unfair’ Different views, roles, time-perspectives these arise from the work itself What happens if one ‘element’ dominates? What happens if no-one keeps the balance?
  • 14. Working with Five Elements (Five Element workshop in progress, for a different organisation)
  • 15. Functional Business Model (typical Functional Business Model, for a different organisation) Describe the structure of the work, how each part relates to other parts, and who is responsible
  • 16. How is this business structured? (Functional Business Model process, with photos, for a different client)
  • 17. Music as metaphor Powerful experience of interdependence in org’n Basic exercises – hit the beat, simple sequence need to listen to each other, and to instructions Complications – orchestrating multiple sequences align with own team, yet also listen to others Complexity – interweaving patterns respond as a collective to natural ‘unorder’ Freeform ‘chaos’ – adapting in the moment real-time responsibility for ‘feel’ of the whole Aligns strongly with Latin culture, though can also be used elsewhere
  • 18. Music as metaphor (music as metaphor for team-coordination – executive-team from another organisation)
  • 19. Stage 2: Set-piece with frontline staff
  • 20. Out in the firing-line … (workshop-facilitator in theatre with 400 frontline staff)
  • 21. Getting issues out into the open … (each group described their issues and challenges at work)
  • 22. What ’ s going on for the front line? A very broad range of unaddressed issues: Loss of morale – e.g. “I’m embarrassed to tell my friends that I work for the bank...” Clashing imperatives – e.g. issue credit-cards vs withdraw credit, confused risk-management Clashing performance-metrics between teams Cultural mismatch – individual vs collective Operational / IT-issues – e.g. multiple apps needed for single task, manual crosslinks needed ...all with real impacts on business effectiveness
  • 23. Stage 3: Back with the executive-team
  • 24. Back to the future... Another one-day offsite with the executive... Report from the frontline – ‘bad news’ that they could not afford to ignore Organisation vs enterprise – create a better understanding of their place in business world The market-cycle – where respect and trust come from, and why they’re crucial for business The structure of strategy – why their current ‘non-strategy’ could not create success – and what to do next to make it work ...and this time they did turn up on time!
  • 25. Organisation and enterprise We create an architecture for an organisation, but about an enterprise: Enterprise : a social structure defined by vision, values, mutual commitments Organisation : a legal structure defined by rules, roles, responsibilities The enterprise is – provides motivation , WHY The organisation does – provides action , HOW They’re fundamentally different – don ’ t mix them up!
  • 26. Organisation as ‘ the enterprise ’ From a business perspective, this is the effective scope of TOGAF ’ s ‘ business architecture ’
  • 27. Business-model as ‘ the enterprise ’ Typical business-model or supply-chain view (complete supply-chain should extend beyond this)
  • 28. Market as ‘ the enterprise ’ Overall market includes actors who do not yet have active transactions with us, or have other transactions
  • 29. The real scope of ‘ the enterprise ’ The overall enterprise has many actors who may have only ‘ intangible ’ transactions / interactions with us (yet can have major impacts on our business)
  • 30. The market-cycle transactions depend on (reaffirmed) reputation and trust – loss of trust creates anti-clients! boundary of ‘market’ in conventional business-models
  • 31. Strategy, tactics, operations (overall cycle and relationships need to be in balance)
  • 32. The ‘ quick-money ’ failure-cycle (common source of ‘unexpected’ failure – focus only on immediate profit, with classic “ last year +10% ” used as a substitute for strategy)
  • 33. Completions and the market-cycle Production-focus, market-focus, enterprise-focus? Focus only on Production Focus on Market and its transactions
  • 34. The structure of vision Vision is the overall anchor for everything ‘ vision ’ in the ISO9000 sense – not ‘ marketing puff ’ Vision-descriptor has distinct 3-part structure focus [noun]: context or things of concern to everyone action [verb]: what is to be done to or in the focus qualifier [adjective]: why this is important to everyone Example: ‘ ideas worth spreading ’ (TED conferences) ‘ ideas ’ (focus) ‘ worth ’ (qualifier) ‘ spreading ’ (action) Components may be in any order, but all must be present
  • 35. Putting themselves on the line … Visioning was a huge struggle... Could not break free from self-centrism – kept reverting to standard ‘marketing puff’ After three hours... – finally arrived a vision-statement that was fully enterprise-inclusive ‘ creating better financial futures’ Another real challenge (but a happier one!) Performing music for families and colleagues simple percussion, as in the previous sessions ... provided a first-hand reminder of what it’s like to be out there on the business front-line
  • 37. What happens next? Practical outcomes for Organisational Development Executive did create a true business-strategy – for the first time ever, apparently... Leveraging vision – as a guide and descriptor for all enterprise relationships Rethinking culture – creating shared-learning between executive and front-line Rethinking performance-metrics – a joint effort between OrgDev, HR, BPM, IT and others ...and yes, some of this did link into the existing IT-centric ‘enterprise-architecture’
  • 38. Summary The real key to enterprise-architecture is enterprise culture Architecture is for an organisation, but is always about the whole enterprise Always start from a real business-problem in this case, the loss of respect in the marketplace Keep the focus on one area at a time, but always remain aware of the whole A real enterprise-architecture begins and ends with people – not solely the enterprise-IT
  • 40. Further detail: books by Tom Graves Doing Enterprise Architecture : process and practice in the real enterprise Everyday Enterprise Architecture : sensemaking, strategy, structures and solutions Mapping the Enterprise : modelling the enterprise as services with the Enterprise Canvas Bridging the Silos : enterprise architecture for IT-architects The Service Oriented Enterprise : enterprise architecture and viable systems Real Enterprise Architecture : beyond IT to the whole enterprise SEMPER and SCORE : enhancing enterprise effectiveness Power and Response-ability : the human side of systems ( see tetradianbooks.com for details ) 12 Jun 2011 (c) Tom Graves / Tetradian 2010

Editor's Notes

  • #2: Tetradian Consulting Unit 215, Communications House 9 St Johns Street Colchester Essex CO2 7NN England www.tetradian.com weblog.tetradian.com [email_address] Twitter: @tetradian © Tom Graves / Tetradian 2010