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Courtesy of Financial services company's Sandip Dhummad, below is a transcript of his speaking session on 'Utilizing EA and business capability modeling to drive strategy and strategic technology investments' to Build a Thriving Enterprise that took place at Enterprise Architecture Live.
Utilizing EA and business capability modeling to drive strategy and strategic technology investments
In today's world, where agility & time to market is considered gold for a product; companies requires a holistic digital transformation. Having a consistent, common language between business and technology takes care of 50% of the problem. Business capability map not only help in establishing a common language but also drives a future business vision, technology strategy, roadmap and future technology investments.
The mod who is here with us to share his journey of Enterprise architecture, Sandeep, is an enterprise architect with extensive experience of leading organization wide technology transformation initiatives.
Leading, defining, and executing, enterprise IT strategies like Cloud, API, and DevOps.
He has successfully defined organizational level cloud strategies, programs, roadmaps, and app migration to Cloud AWS.
He's an AWS Certified Solution Architect, and he's a developer evangelist, where he led or contributed to many communities of practice, delivered talks and workshops, at internal, as well as external, acknowledge events, for increasing developer awareness, sandip.
What a gift to have you with us. We're very much looking forward to your presentation today.
Thank you, Susan. Welcome everyone.
Welcome to the talk.
Um, today we're going to talk about utilizing EA and witness capability modeling to drive strategy and strategic technology investments.
Without further ado, let's dive right into the region. So we're gonna start off with introduction. We're going to talk a barbed wired into business capability. What is strategy? And then we'll get into how year and with this capability modeling, can help drive our strategy.
And in the end, in the last section, we will talk about various different ways you can use the business capability modeling for driving your strategy, investment decisions.
So introduction, let's give a dirty word in business capability.
Well, witness, given the lady is nothing, but it defines Board, your business is formed.
It basically talks only about the, what part of your business?
It doesn't talk about how, it doesn't talk about cool, the reason why, it doesn't talk about how this business capability is getting realized in your organization, and who really helps realize that is because these things are very fluid. They change all the time.
Fundamentally, what your business is doing that doesn't change.
Now, you might think that hey, you know, the business capability is all about what the business is doing.
Then, you know, why did so in Barton?
Know that the most important thing that business capability brings to a table is that it defines a common language between business and technology.
So when business and technology is having any interaction either on the requirements or on solution, let's give them really basically held it rescue's.
It basically removes a lot of confusion in the various people who are interacting in that conversation.
There are three types of witness capabilities.
Current capabilities are, as the name suggests, they are court. They are the core business. That's where you're adding the value to your customer.
Supplemental capabilities are built on top of Kubernetes, and enabling capabilities are the foundation for the curriculum.
Now, let us take an example to make it simple. Right.
Good. Keep it. If you are an investment, bank and core capabilities would be, how do you go about deciding what dogs you might be buying for your customer?
The supplemental capabilities would be, you know, the user interfaces and UI that you are building and giving your customers so that they can track their portfolio.
And the nibbling capabilities could be your Eyeball and Airborne systems like an accounting and layering system that helps enable building those.
Now, the nice thing is about strategy. I think we know what is strategy.
Well, simply speaking. strategy is nothing but a framework for making decision.
Now, No, you might see that lot of people get confused with strategy.
The list of, you know, you might have heard people saying, You know What, My strategy is to do X, and then Y, and then Z, Well, that's the plan.
Does the plan update you make a decision?
Now, you might also think in your mind that, you know, when we talk about strategy, is that something that only you knew they would be doing?
Are we also being strategic thinking in our daily life?
While we do strategy all the time, let's take a look, Take one example here.
Like if you wanted to visit your parents on Thanksgiving, know, you can use many different modes of crop rotation. You can do a drive, you can fly your plane ticket then, right? How you go about deciding that when you look at certain criteria, like speed, convenience, cost, and you make that decision for yourself, so we are doing strategic thinking all day long for various different things, though, is strategy is thing.
Now, the next thing is, you know, What is business strategy? B B, B A B heard here, a lot of Fair Board witness strategy all over the Internet.
Know, like the godfather of strategy, Michael Porter it says that business strategy is all about being different?
It's not about being best, it's all about being different.
it's all about building the unique value proposition for your customer. It's all about building those different activities that basically help deliver the unique value to your customer. So it's all about being different.
Business strategy by no means best practices. It no means it means downsizing a witness by no means it means the restructuring of your business.
These are the decisions that you might take for driving the you know the competitive advantage of your business, but these things are not the strategy.
The next important topic: you know how EA and Business Capability Modeling can drive a Strategy.
Now let's take an example, like if you are an investor. If you're a bank, there is an ABC Bank here on your screen.
And as as any bank, this bank has these capabilities, it does investment banking, it does commercial banking, for the business loans. It does retail banking for the people like those.
It does wealth management and does the insurance.
What is the goal of investment banking?
The goal of investment banking is to provide a higher rate of returns to the customer, with the better customer service.
Now, if we don't go, now, if we try to connect back with, you know, what is strategy, and, you know, what is business capability?
I think, you know, the, the, the biggest question is that for an investment bank, what should be an investment strategy? What are those differentiating capabilities that can help you provide better rate of return period of difference?
Traditionally, these differentiated capabilities, diversification of your portfolio, like, you know, there is a very important theory that has, is called modern portfolio theory.
And, in that theory, in gentlemen's aid, that you don't want to put all your eggs in one basket.
Or, you don't want to invest into a, into a script that can, you have written, but also, you also, it has a higher risk.
So, this is a very common strategy that any portfolio, any investment banks would use for, for managing the portfolio, the other differentiating capabilities. You need to have a solid quantitative research and analytics team that can help you do necessarily market research, and then provide you the details about, you know, What are these gifts that you should be investing in.
The, the, the problem with this is This is the traditional way of doing it.
Meaning, every bank on a street has mastered in these capabilities, and that's the way you look at it today.
These don't market is called highly efficient market.
Meaning it's very hard to make money, don't market until And unless you don't have a strong footing on the differentiating capabilities.
Now, the question would be that why did the modern way of doing it? What are those capabilities that those are considered to be a differentiating capabilities today?
So, one of the things would be that, using an AI and ML technique, like doing a robot reading, are doing a continuous risk management rather than, you know. We all know, 2008, but, Well, you know, the banks did not have a strong foundation on risk monitoring and management.
They fall flat.
The other differentiating capability is, you know, employing an alternate data.
No, in the traditional strategies that really looked at it.
You know, diversification of portfolio and the current research it goes largely based on the market data and companies financial data.
But in today's world, we all know the game stops and read it.
Saga. That happened a few days ago.
Last month, I renew.
No, you have to pay a lot of attention to social media, your web analytics, mobile app analytics, credit card data. There are a lot of different kinds of alternate data available. You should be using those alternate data in a while you are doing portfolio engineering.
And last, but not least, recently, there are a lot of pro in our discussions about being in our response devoted to the environment, as well as big as possible socially, so that you know, people are basically investing more on sustainable investments, which is called ESG.
So, what I, what I am trying to say is that: differentiating capabilities that used to be in traditional world for the investment banking has changed.
That's significantly in recent past.
What does that mean to you and to your strategy, thinking.
Is that, if you're a CTO, or if you're in the leadership position, what you would be doing is that you would be basically defining your business, an IT strategy around these new differentiating capabilities.
At the end of the day, these, you know, differentiating capabilities traditional or more than they help you do a trading, right?
If you look at the higher level of capability map, but it fundamentally changes how you go about doing trading.
So, you have to basically define your business and IT strategy, aligning to these new differentiating capabilities, and for that, and then, the strategy can help define your road map, your three year roadmap, or 4 or 5 year roadmap, for your program and portfolio, for the company, and how they find also operating model. You know, it, you have to decide, where do you want to do?
For getting these capabilities, are you going to buy a new startup, or are you going to establish and established a brand new team day that is completely focused on this?
So, anyway, so, what I wanted to say is that, everything that we talked about, the capabilities, are that driving your strategy.
Now, the next question is that, if the capability different driving your strategy, how do you think it can help building this capability map?
So, you know, if you look at a variant within an organization, developers or engineers are very busy in doing, in building out the different capabilities that business users want, no. They are working on the requirements.
Years are the people, they can come in, they can look at the outside in and inside out view, They can interact with the business, and they can help define this capability model, or the company, as you see on your right inside.
Like, you know, one of the capability model that I built off on my desk reference capability model, or the of banking, as the three level capability map, right?
That helps define, weren't, any investment awarded banks should be doing.
You can also go further down.
They can categorize these capabilities as, you know, whether they are cold capabilities, supplemental capabilities, and I never get them released, because those, that classification helps drive your IT portfolio investment.
Yeah. Yeah. You can also make your, because E, are the people where, you know, rubber meets the road.
What you can do is that they can go about defining these capabilities at the detail level possible so that the, you know, engineers can derive an associate, different technology products and services that they need to build.
Like, in this example that you see, on your right hand side, you know, it's a three level capability model where, you know, one of the capabilities up in the news and banking is already, we all know that.
How do you do, or trading that, fundamentally, various, what kind of asset type, Like, you know, whether you're trading in stock, whether you are trading on, you know, private investment.
They are fundamentally different things.
So, what you would do, is, that you can help define this capability model further level down, so that engineers have better understanding of what is required on them.
What did you expected from them?
Then, you can also help define a deeper architecture, which will basically talk about the application, beautiful component and services that companies should be building. What are the business practice processes that companies should be implementing as a workflow? And then what kind of data management company?
So, it can help big way in defining this capability map.
Now, once we have the capability map ready, which basically defines what we expect in the target state.
Then, you know, this, the diagram that you see on your right, is basically, our high level, you know.
diagram talks about how can you can work your organization into a capability, layed organization.
Meaning, you know, why don't you define your, once you assess your current capabilities, someone wants you to define. And then define your target configuration.
You can basically go about doing an current state assessment and define, and then compare it with the future state, like, you know, how they want to see the big data application, and can I connect to the future. And then, they can help do a gap analysis and then that diff analysis, basically how dry your portfolio strategy or three year roadmap?
Now, the next question is, you know, yeah, and capability modeling can help.
Drive is strategic technology investment.
So, what are the different ways this capability modeling can help drive your capability, your strategy, technology, investment, but there are so many different ways, You know, we can use these things for driving our technology investment, but I think the most important things are three.
In my mind, you know, the number one is that they're running an Effective IT project. Portfolio management, right? We talked about it. I think the biggest slice, you know, how capability modeling can help drive three year roadmap, et cetera.
The next thing is it can help reduce your applications, but all through an application portfolio, rationalization.
You know, many of the enterprises.
In fact, most of the enterprises avoid house some level up applications but all, no, you wouldn't be building so many applications, multiple applicants and doing the same thing, doesn't do a different implementation.
And one of the major drivers for that is that, you know, Conway's law, how is your organization structure and how it the budget is allocated to the different teams.
That basically defines how they go about implementing the systems, one of the organizers knowledge working with.
You know, we used to have so many different applications are doing nothing but Model Electrocution, they are just operating on different various types of portals. But at the end of the day, these are model education application. These are all analytical applications.
The third, uh, India, is that Capability modelings can also help re-use your technologies. You know, within an organization, you will always find that by doing one thing. There's so many different technologies that we're leveraging.
There is nothing wrong in that. But, you know, at some point in time, you know, you have to strike a balance, how many technologies are good for you?
You have to basically design.
And, you know, the capability model can help there because, you know, once you have a given regain modeling defined, it helps you tell that what are the different technology capabilities that you may need within an organization And you use them for deciding what are the technologies that are needed.
Let's dive into a greater number, More effective IT portfolio, project portfolio management.
The, the most important thing, I always think about it, you know, of being a CTO, chief technology officer, he has to assure value to the organization.
What is that matrix that can help define that value?
And, obviously, there are so many different value matrix, you know, in terms of age, lady, in terms of, you know, enumerations, et cetera, et cetera.
I think, to me, what I think is, the one of the biggest matrix, that I would like to see is that, how did this take you are helping implement the business strategy. How is the CTO in his tenure help build those differentiating capabilities? That is being required by the business for driving the next growth.
And that's most important aspect.
And, no, we have seen so many times in our past life is that you know, if we look at the IIT or project portfolio management meeting, you know, what happens? There are a bunch of business users from the business team.
They have bunch of requirements specific to their need.
The needs are mainly the need of an hour.
No, They may not be always thinking strategically.
So, you would be implementing so many different application and services throughout the year.
And the net result would be that you might not be moving the needle of how much of the value that you are adding by creating the differentiating. one way of doing it, one way of reflecting on to this is that, you know, as you see here, you have, once, you have capability modeling diagram, like, you have it on the right hand side. What you may want to do is that you may want to compare this diagram with last five years of IT budget spending.
So, as you'll see here, in this year, this company has spent a lot of money on capabilities, like regulations and compliance, because, you know, after 2008 of all know, the government has become stricter. There are so many different, you know, regulatory. And compliance needs. That has been enforced, so companies are busy implementing it. But guess what?
That means companies are doing that.
Sacrifice off the core differentiating capabilities, which are required in today's day and age, which is, you know, bringing, as we talked about, you know, bringing the AI ML in your research, know, using the alternate data in your research, building your portfolio, and stuff like that.
So, So, if you see a picture like this, like, you know, you are spending more on the capabilities which are not that relevant, then, you know, that's the rings A bell in your mind, that OK, you know.
Don't we're not doing an effective IT portfolio management.
The other other way of looking at it is that the companies that says really depends on the resources, how best they are degree sourcing within the organization, by looking at this, You know, what?
What we have to see is that we can also map out our key resources and key talent along with your given radius and try to figure it out. Your is your KT sources engaged in building the key capabilities are differentiating capabilities for the success of the organization?
Nice news just application portfolio rationalization.
Well, on, this is very important topic because, you know, this is the place where most of the organizations had a lot of roma.
And, you know, the application sprawl indirectly means a lot of burden on your budget. Because, you know, you would be having a lot of people working for self supporting those applications.
And one of the biggest goals on IT is, you know the, the human capital costs, right?
So what we are saying is that, as an EA, and the capability model can help rectify this problem.
How it can all play out. So this is one of the things that we had done in one of my biggest organization, while driving the APR initiative. And I'll go about our entire study, what we had done, step by step.
So, what we had done was that, you know, we looked at each and every application, and we we try to look at applique application with six different dimensions. You know, What is the business architecture of the application, meaning, what are the different business blueprint is that this application is fulfilling? What is the technical architecture? Technical Architecture Assessment Winning.
This capability is implemented. What is the technology ordering? The archetypes implemented an architecture. Where did the solution architects are they are, They are aligning to a strategy way of doing stuff.
Know, you don't want to have our, build your application as part of your study strategy portfolio because you may not find them or supporting them.
Then you don't use the data architecture assessment of these applications. We also try to align these applications with an enterprise and strategic alignment when, you know, what are the capabilities are, the differentiating capabilities?
Are these applications aligned well with those strategic initiatives?
Then, obviously, Financial Assessment and the Organization Architecture, meaning, you know, who are all people, they are supporting these applications and how good they are, if there is any skill gap.
We use only different factors up an application and then, you know, drew them through a rationalization process, which is mainly based on a capability modeling up to the organization.
And then in the end, we decided to kind of find a disposition of the application, saying that whether you want to retain or tolerate this application, or you want to build new application, or you want to retire. What did the integer?
The Andes Region is you would have an application portfolio, but you have very low application sprawl and technologies.
We're good as Malaysian grounds of look like, they the same. They think, well, does it give them stuff that you can bottle number one strategy. As we talked about, strategy is nothing but decision making favorite.
So, you need to define, at high level, what are the different things that people can do it, their application. And what is the guideline for them? To respect your options What are the different criteria that they can use for making those respective options as well?
The next next step is, you know, give already definition.
Here, you know, you basically work with your business, You look at, inside out and outside in perspective, and then come up with your targeted capability. That's going to help drive your business growth.
Once that is done, then you know, what we had done was, we looked at each, and every applications, and they think you've already analysis. Which is using those six dimensions that we just talked about.
And then, you know, the next steps. Once we know, what are these applications locally, and what are, what is their health in those different dimensions?
What we had done, like, we started defining an API. Like, you know, we kind of started a line of signing a petition with these application, defining whether something is going to stay, or it's gonna retire. And it was retired, and what is that other applications, or what are the set of capabilities, are going to replace this application.
And that's second high level.
These API roadmap were given to the product team, and the product team basically don't thumbs up with, you know, actionable product roadmap.
And, you know, in the end, there is an App Retirement project that basically helps drive retiring a bunch of these applications.
The PR Strategy, you know, we basically had three different things, you know, Call Build, Maintain, and Mature.
So either you build a new platform, rather than willing, one-off custom applications, You know, focused on building a platform, feature rich capability, rich platform that can help retire. So, many applications that you have in your portfolio, which are having the similar implementation.
You can also do something called maintain.
If you have some cards product, you have technical debt, like Power Bill application, but good job to get critical for your business today, you just maintain those applications, and the last, but not least, code mature.
There are some, with some application that you want to give, They are already in good shape. They are already falling to your architectural principles of being a modern application.
Then, you know, you may want to invest, in the application, you want to match your applications to basically be more cloud.
First, API. First off, first cloud portable and diesel vendor lock in.
So, with this guideline, and the capability definition that we talked about it earlier, what we had done was, you know, we're doing an capability analysis, and then application level, we built a dashboard, highly interactive dashboard, and this dashboard basically holds understand, what are the issues that we have in our application portfolio actor.
You see here, the number one thing, is that this matrix, that is very important, magics, to me.
Number of development is implemented, or application, as you see here is called zero point twenty eight. That means your application is implementing only zero point twenty eight capabilities, Is that good?
Obviously, not, you know, at least you should have one app.
You should have an application implementing at least one capability, if not more than that, but you know less than one capillaries clearly means that you have a lot of ambiguous role.
And that's really clear here. You know you look at it, you know there are two tiered capabilities and there are 200 foot obligations.
The other thing that we had learned is that, you know, we had 24.4% application portfolio on the retail bank incentive.
Now as we all know, you know, how many of you really go to bank and the banking center for doing your banking transactions?
Do you do that? You all do to technology.
Now, those things are, become, you know, like, non relevant. You know, you can also deposit your check from your mobile phone.
So, you know, all the systems and the, and the tools that you have been implementing for supporting your, you know, the branch offices like, we can monitor run.
Your business, kind of became irrelevant in today's day and age.
So, you know, it's like, low, high maintenance cost.
So, you should be trying to build platforms that can help shrink the application portfolio in this particular segment.
What we're also seeing is that, you know, we had high value product portfolio.
So, as you look at here, so, this is the chart based by is built by the product pillar. Like, you know, typically how the banks are organized front of a backbone, middle office, and the governance and compliance.
You know, we weren't having the maximum number of applications in the bank or back office.
What does that mean?
You know, most of the stuff that you do in the backup is either mundane tasks. You know, they are non-trivial task.
Oh, sorry, that.
You know, it's being implemented by each and every bank on the street. These are not your differentiating capabilities, so you should not be investing a lot on this back off as meaning. You know, you should try to basically buy a platform or implement a platform that can help reduce this application.
So, this, these kind of dashboard.
And the capability analysis was basically, very important. They gave us a lot of insight portfolio. And now, continuing on the other day, obviously, other screen on the same dashboard. In fact, you know, we have so many screens and so many different ways we analyze this data.
But the other other screen on the dashboard widget, called value stream Analysis.
You can see that I didn't know in front of this, We had only 19 capabilities, and for supporting 19 capabilities. We have 72 applications, what does that mean?
That means that we had a lot of application doing the same thing, like, you know, we had, let's say, 10 application doing training.
Do we really need an Epic isn't doing dirty, right?
The other thing that we're seeing is that, you know, non optimized app portfolio, you know, so as you see here, the commercial and goodness, banking sector, that has about, you know, 35 ish capability, but it has 100 applications. Now, this is one of the segment where, you know, you don't have a big, You don't have a lot of transaction happening, whatever transaction happens out, the big transactions, but you don't have a lot of transactions happening.
So, I think the question is that, do we really need 100 plus applications supporting this particular agent?
So, by looking at all these things, you know, all these observations, you know, we kind of come up with three different things as part of our API strategies that we wanted to do and we want to build a platform that can do an application consolidation. You want to optimize our portfolio by reducing our risk.
And also, doing a rationalization of our capabilities and features of an application. Because, sometimes, you know, there are some applications implementing some of the capabilities are not relevant anymore but you still have them as part of that because we still have the users are using it.
The third thing is that high yielding foil product portfolio.
So, with that, you know, then the next step, defining an API roadmap. So, what we had done. Well, you know, we had defined, we had built the next question that we heard was, OK, so that's fine, this is all great all inside.
But, you know, the major question is, how am I going to replace Epic? Isn't a application one, epic one with application do, and what are their that big? Isn't there, shouldn't be in place with each other?
So what we had done well, you know, so you can do, with the help of capability modeling, again, Everything is basically give everybody model.
Each line here that you see is basically, basically, the number of capabilities are similar between these two applications.
And the width of that represent the number of capability and line impedance if they're implementing same capability, we have done this, this kind of chart, and that basically gave us a lot of insight, you know, what are the biggest, and they should be merged together.
We also did, but as part of a Roadmap, to better define, remember, we talked about capability definition, and then, coming up with a target date, Like, Oh, so, beyond the point, this dog is a platform, as part of our portfolio, that, we need an analytical platform for reducing our trading application into one. We need some sort of data platform. We need some sort of risk platform auto management platform, or KYC, etcetera.
And we've kind of tied these platforms with a given radius.
And we did, this nice thank you chart reading on the application, are automatically linked to a capability, particularly, tells me that, How is this application should be retired, or merge, or replace?
So with that, you know, What I would like to say is that capability modeling, basically, house, drive a lot of business decision and the strategy that you can make within an organization.
And companies like McKinsey has publish this very nice code there, saying that not all my transformation and the organizational excellence program succeed.
But on an average, those companies they will succeed, they basically build, they give their programs based on capability.
Meaning, they are they are investing in building the capabilities which are important to them.
And they always think when they give already Mindset pro-life mindset, they have 4.1 times higher likely success ratio compared to their other companies operating in the same organization.
So, capability modeling is very important for, you know, defining an IT portfolio strategy or a PR strategy or your technology portfolio strategy.
And it's key to the success of your business is key to help you.
They find those differentiating capabilities.
Now, you might wonder, that OK, you know, if I have a small company, and we don't have this year function, or E, how am I going to do it? If I'm a startup?
Well, you know, to me, I always think that it is just a function.
It's not at all.
That function can be done by a specific group, dedicated to specific set of people like us in enterprises.
Or it can be done, like, if you're a startup, it can be done by the startup owner, the CEO and safety of the company. We are always doing started, thinking, they are always thinking about what are the capabilities that makes more sense to their customer, and how should they go about implementing those capabilities? And what does that product roadmap look like?
Is all about the, the foundational thought process of critical thinking, of driving your success, of your startup.
So, again, no, Or whatever I just talked about, that may sound like, you know, too much.
And it would require, you might think, that, you know, it would require a complete year organization for doing it.
Well, that's not always true. It can be done by any person who is assuming that a function.
With that, thank you so much. I'll pass it back to Susan.
It's already over fantastic. Sanjay Poll. What a lot of great insight on great insights and presentation on Unreal, the, the process of Enterprise architecture that you have coverage so well. So I'll ask you to stop showing your presentation screen to the audience, so that I can bring my camera back on.
And we had several questions that have come up, but again, thank you so much. Wonderful. reveal of the steps that are necessary, kind of the discipline approach, really, that you presented here so well. And the very first question that came up was that, you know, first, thank you for the presentation. This seems to be an effective approach to getting enterprise architecture, right?
It'll also operate, appears to require discipline, resources and time. And the question is, what resistance do you find when you are trying to implement a discipline approach? Like the one you have just share with us as a first question and then how do you overcome that? So the, the, this comes from William Fuller in Oregon, and he's, he's basically saying that, you know, this looks great, and it does. But anytime that, we tried to do a discipline approach in a larger organization, or does very well, there'll be, people will say, oh, that sounds very good. But I have a better way of doing it. We can get it done real quick, and now you're just use the zapper. We're gonna solve world hunger. And the How do you deal with that when you're trying to be disciplined about the approach?
Fantastic question. You know, this is the crux of everything, right? That's where the rubber meets the road. You know, that's where, you know, I will take one example.
Know, when, when I was working for a financial organization, you're working on finding that analytical platform.
You know, the whole idea was that the analytical platform can help basically consolidate so many different applications that help to the model electrocution into one platform.
There are so many different stakeholders, you know, the individual business user will basically do, you know, the budget for implementing this application is very near and dear to their heart, right?
Didn't want to lose control of that application. Didn't want that application to be the guide.
But, at the same time, you know, is that the scalable approach? Obviously, not.
So, what we had done was that we kind of define a working group between ID, like technology, and the business, and that working group, the responsibility, is to define a charter.
We basically define.
We talked among each other.
When they find out how the business modeling team will go about doing a business model development and how we, on a technology will go about onboarding those models on our platform.
And that, that conversation between these two groups, that basically like the ... Enable, you know, at the end of the day?
You know, it's all about no people differences will get rectified when we start talking to each other in the right setup for the bottom.
So we started doing this honor, Jason.
That corners isn't, you know, it basically asks, come on the same alignment, and that alignment on, both from the business and technology side, and also from the senior management team, obviously.
Magically hub, drive the technology, platform, implementation, and that, in turn, help retire some of the applications.
So, I think this is all basically building that strategy, partnership with the business, with the right for them.
That helps, you know, getting to success.
Yeah, so, this is such a great point, because you are talking about governance now and this sounds what it sounds like, a bit of a stirring type of committee or whatever name in the organization you want to call it. That communication can be quite challenged Sunday, because you have sometimes people who are very knowledgeable on the technical side, and then people who are very knowledgeable on the business side and did not speak the same language. And then you get them in the room and you want them to agree on things.
And as we know, it's, it's easier to add things than to remove things from the system because it just takes one person to companies, just say that this application is critical. So that for us to have a real hard time, you know, to get rid of the application. Because if any may be that you shouldn't get rid of the application. So, I remember in the organizations I work with every 3 or 4 years we will have like this big, no cleanup of the hundreds of applications that were no longer used, and there will always be someone out there somewhere in the world that says, all know this application is so, so, so needed. So tell us a little bit more about the collaborative process, how do you engage and collaborate effectively, You know, in such a complex environment.
Well the major driver here is the coming, coming up with the common language of capability modeling. You know, I'll give you a very practical experience.
We, when we started this conversation with our business partners, in this ballroom No, I think first 10, 15 days.
Know, we had an organization, I think we were just kind of aligning to the term that we are using, on the technology, as well as on the business side. Because you know, we were using different molecular's and Douglas getting lot of very simple thing, you know, we do, when you are using board like UI.
We all know on technology side, you know what UI means, If the user interface, you know, some sort of web application or mobile application, know, the the understanding of U Y versus X was very different from the business side.
So the capability modeling particularly helps drive the honor system where you actually, but one thing that I would like to add on that APR, and then the point that you made, is that, you know, when you are, that, sometimes happens within an organization, like, you know, let's clean up a bunch of application.
You, as well, you know, you would end up cleaning up non value applications. Can I prevent this portfolio, like API to introduce?
I've seen that when we go and talk to people in the dogwood capability, you know, we identify the day, you know, that your mapping goal is given to the people, by end of this year. We want to get rid of 10% of an application from our board.
What did the 10% going to look like?
A, nobody using the application B, That application is being used by very limited set of people.
At the end of the day, you know, what is the value of it as an image here with the organization is next to nothing.
And that's, that's the very bottom magic, you know? Whenever you do this, you want to make sure that you bring value to the table. Otherwise, you know, people would be like, hey, you know what, we did all this effort and what we get.
You know, the, the one important metric that my, one of my CTO, he always used to be used to take into account is called how much you think capacity that I'm going to get back by doing this.
Like, if somebody says, OK, go to cloud, Let's go to dev ops, do ..., it's all important.
It's all about bringing the efficiency to the table.
Where does that efficiency translates to me? Am I able to build more capabilities?
Am I able to build more applications and the requirements that isn't looking for?
If not, then it just, of news.
That's very good. Very good insights and examples, and Sandeep appreciate that. And the very tactical question that has come up has to do with the frequency of, this reveals how often, what type of cadence you have of getting the team to reveal what's going on. You know, how often does that happen?
Yeah, so, I mean, it depends on companies to convince. You know, what we were doing was that, you know, obviously one of the ...
function is doing it, I mean, that's the core function, one of the core functions of B.
So, for those people who are in the function, we are continuously looking at, the, the application, the way we manage it, is that, you know, we have something called application review board.
Thanks to an architecture review board, if you think that way. So, any new project that comes into play, you know, they come to an architecture review board or getting the perfect, you know, whether it is called design permit initiation, or make release permit, et cetera. That's how we get the visibility into what are we building?
And how are we building?
And when we release, we also know that whatever we are releasing is that application good enough architecturally so that we can, we don't run into trouble later on in A two scenario.
So, so, you know, it's like continuous process and as part of this ERP, it gives us an opportunity to basically look at the documents and the, and then being part of the congregation with the business and you know, what is the business started trying to get. Where are they trying to take the business in the next two years?
And that, that opportunity of getting engaged into that discussion, and also, according to your getting engagement, that technology team, which, we're going to implement this application, that basically helps us become a glue in making sure that we get our IT strategy right, aligning to a business strategist, and a continuous process.
That's very good. So, deep what an insightful session loves the. This is the strategic veal with a very tactical approach on how to execute on that strategy, on behalf of our global community. Today we'd like to say thank you for sharing your expertise and wisdom with us.
Thank you so much.
Ladies and gentlemen, that's Sandip Dumont there.
An Enterprise Architect Lid leader in Global Leading organizations who do it and apply this best practices to their strategy and deployment of Enterprise Architecture. So you've heard directly from one of the best, again, a true practitioner. Now we're going to take a break now. And at the top of the hour, we're going to be coming back with another tremendous industry and thought leader, who is implementing excellence innovation enterprise Architecture at his organization. And I'm talking about ..., who is a global e-commerce enterprise architect, and innovations strategy for Mars. So we'll see you all at the top of the hour for this wonderful presentation. On how Enterprise architecture framework is creating value using digital ventures innovation. So I'll see you back soon.
Director, Enterprise Architecture,
Financial services company.
Enterprise Architect with extensive experience of leading organization wide technology transformation initiatives, defining target state enterprise architecture vision, understanding business requirements/plans and converting them to strategic road map. Experience of defining EA operating & engagement models for enterprise in today's agile world. Published international/national conference papers.
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