Kevin Vertrees & Richard Owen Our Background Kevin Vertrees - VP / Enterprise Architect for Forest City Enterprises. Prior to this role, he was the CIO for Forest City Ratner Companies and served as the overall technical lead for their SAP implementation. He is TOGAF 9 certified and is also a musician, farmer, and on the board of several creative and environmental organizations. Rich Owen - An IT professional with 35 years of Business and Technology experience; Enterprise Architect (TOGAF 9 certified), SAP Professional (SAP ASAP, Value Management Academy, R3, ABAP), PMI PMP / PMO, ITIL, etc. Co-developed EA organizations starting in 2008 to date, ran multiple PMOs prior and SAP Consulting practices as well; gear head otherwise. Forest City Enterprises, Inc. is an owner, developer and manager of a diverse portfolio of premier real estate property located throughout the United States. We have assets of approximately $10.7 billion as of 10/31/12 and operate under three strategic business units; The Commercial Group is Forest City's largest business unit, with 96 retail, office, arena, hotel and mixed-use properties; The Residential Group owns and/or manages rental units in urban and suburban apartment communities; Core Markets Boston, New York City, San Francisco, Philadelphia, Los Angeles, Washington, D.C./Baltimore, Denver, Chicago and Dallas. Community Property System As architecture influences FCEs ability to envision, develop and support our communities, properties and building support systems and infrastructure... Level of detail Enterprise Architecture
Why would I form an architecture group ?
What methodology or framework should I consider ?
Is specific automated tooling essential for success ?
Any other tips or things to potentially avoid ?
Why form an architecture group ? What is the purpose of Architecture ? Why form an architecture group ? What happens when form, fit or function is not fully considered ?
Why form an architecture group ? What is the cost over time when this is not addressed ? The Typical IT PMO Process ? Business & IT Boards
Some Level of Strategy and Integration PMO
Conditions for Success F i n a n c e
Strategic Planning Solution Deployment Missed Opportunities Information sharing IT Review Board(s) / Budget Review
Drives IT Strategy and Priorities L o g i s t i c s
S a l e s
M a n u f a c t u r i n g
O t h e r
Solution Development Why form an architecture group ? Business Value approach
Resulting in Underachieving Projects and Portfolios A missed opportunity for many organizations is their inability to systematically generate value from all investments, including SAP. Expected Value Poor Selection and Prioritization Inefficient Project Execution Poor Absorption and Value Tracking Realized Value 100% 5% 10% 10% 15% 20% 25% 50-65% Source: Corporate Executive Board -Applications Executive Council Research Focusing on business outcomes throughout the lifecycle of a project reduces Value Leakage Building the Right Things Building Things Right Exploiting What We Built Governance
Fitting Value Management in the organization Value management process owner VMO mission:
Enterprise process transformation IT portfolio capabilities & TCO Shareholder value Competitive advantage Decision rights go hand in hand with who owns the budget Autonomy drives complexity VS KPI's - Value to Executives Consistent KPI definition Inconsistency in KPI definition Detail Aggregate Architecture Layers Process Input 1 Output 1 Input 2 Input 3 Process Output 2 Maintenance Work Completion - Dash3000 (As Is) Analyze Work Records Submission Record Work Perform Work Plan Work R e lia b ility T e c h P u b s M tc e C re w M tc e C o n tro l S a b re B o rn e m a n n J D E d w a rd s H P S y s te m Operational Budget Schedule A/C Maintenance Control Finances Perform A/C Maintenance Analyze Data Record A/C Maintenance Create & Maintain Task Cards Develop A/C Maintenance Program Work Effectiveness Mtce Reqts Flight Times Payroll Processing B u s i n e s s
D a t a
A p p l i c a t i o n
T e c h n o l o g y
Maturity, knowing where to start Business Architecture approach
BEST PRACTICES SAP Value Management
BEST PRACTICES SAP Value Management BEST PRACTICES SAP Value Management BEST PRACTICES TOGAF v9 BEST PRACTICES TOGAF v9 BEST PRACTICES TOGAF v9 BEST PRACTICES TOGAF v9 An Enterprise Architecture is only as good as the decision making framework that is established around its governance. Architecture Review Board IT Prioritization Committee BI Steering Committee Business Case Review Board Business Context Architecture Principles Portfolio / Project Management Change Management Architecture Repository Business Application Information Technology
Future State OP EX Working Committee Business Case Development. Review and evaluation of initiatives. Operation Excellence Steering Committee Governance Aligning Frameworks (Framework Soup) ! BEST PRACTICES Tooling and Frameworks ARIS The ARIS house ARIS ARchitecture of Integrated information Systems
Conceptual framework used to describe organizations and application software
Developed by Prof. Dr. August Wilhelm Scheer
Modeling method and tool ARIS Platform for Process Excellence Visualization of Strategy Balanced Scorecard Planning of KPIs From Model to Execution From Process to Application From Design to Implementation and Operation Modeling Analysis Reporting Publication Measuring Performance Monitoring Risks and Controls Support in all phases of the BPM lifecycle Business Architecture approach
So the suggested starting point for Enterprise Architecture is the Business Architecture.
The Business Architecture includes: Business Models Business processes / Business capabilities Organization structure Business terms Metrics / KPIs Enterprise Architecture approach
Areas in which ARIS is used Capability Model Mission: To be a leading owner, operator & developer of distinctive and diversified real estate projects in select core markets, which create value for our customers, shareholders, and communities through place create, sustainable practices, and a long term investment perspective.
Modeling: visualizing business aspects Process Modeling Information Architecture Conceptual model of key subject areas Dimensions Facts Subject/Content areas Documents and unstructured data Inventory of existing reporting solutions, cubes and ETL processes Classification Map of key data/information points to the capability model Future state organizational vision, decision trees, and Roadmap of BI, ECM and big data/social media initiatives. Decision trees and product roadmaps Application Architecture Organized by application class / business capability System Lifecycle: outlook, when to retire Business and Technical attributes System of innovation, differentiation, record
portfolio attributes reporting Some key points to take away
IT Program and Project management can be cost not value driven. The right KPIs at the proper level defines value. Portfolio and Value Management are EA themes. Language and Governance is the key to architecture. Value is ultimately measured by business outcomes. Dont shoot where the bird is, but where you anticipate is going to be. EA will be measured by the Value it provides
THANK YOU FOR PARTICIPATING
Please provide feedback on this session by completing a short survey via the event mobile application.
SESSION CODE: 2303
For ongoing education on this area of focus, visit www.ASUG.com