USAA: Journey to the Business Side of Enterprise Architecture

bg outline

 describe the image

To ensure your EA initiative delivers business value, focus on the needs of the business community from analysts to middle managers to senior leaders. Present the information using visualizations they find useful, rather than trying to teach them EA models. Let business users describe architecture components using terms they are comfortable with, and make sure you can quickly deliver finished architectures when users demand them.

Those are the lessons USAA’s architecture team has learned in its five year push to move EA from an IT-centered function to a vital solution for business planning and strategy at the financial services giant. As USAA has grown to 23,000 employees and 8.2 million members, the rate and magnitude of change has resulted in a level of complexity that requires a single cross-discipline, cross-organization architecture team.

In a June 15 Webinar for Troux, Michael Pemberton, Enterprise Architect in Transformation and Integration, suggested that EA and Business Technology Management practitioners focus on the following areas: 

Find Your Proper Place in the Organization: Instead of an “Information Architecture Steering Committee” or a “Business Architecture Steering Committee”, USAA established a “Unified Architecture Steering Committee” that represents business architecture, information architecture, process architecture, IT architecture, change management, and organizational design. 

To closely align Business Architecture with both business strategy and IT partners, the architecture team is part of the Transformation and Integration group, which along with the Strategy team is part of the Enterprise Strategy and Planning organization reporting to the CEO.  IT Architecture lives within the CTO organization, reporting to the chief administrative officer who also reports to the CEO. While EA and IT do not report to the same organization, they work closely together daily – a key success factor.

Think Through Your Model: Correctly “architecting the architecture” improves the accuracy and maintainability of the models over time. Pemberton recommends, for example, using one model only for processes, another only for data, and another only for information. That way, he says, each model “will be simple as it can be, with the simplest mappings” but represent the complexity of the organization through “the relationships among the elements of each model.” He also recommends using a metamodel, like Troux’s that limits flexibility within each model, but allows flexibility among models. “That forces you to have better architectural practices,” he says.

USAA is using Troux to build a common repository and metamodel designed to unify the architects into a single, cohesive community.

Visualizations: Pemberton jokes about the pain the architecture team experienced trying to teach business managers to use EA models, rather than “enlightening” them with well-done visualizations that answer their critical business questions. After being told in no uncertain terms they weren’t useful, he says, the architecture team will “never again show one of our primitive models to the business. Our visualizations must be highly graphical, and show things like context, rather than content, and convey understanding and meaning, rather than information.”

Let the Business Use Its Own Vocabulary: The architecture team has very rigorous rules for naming functions with its models, but allows business executives to use more familiar names for functions within visualizations. “We maintain aliases to our strict definitions, but let the business use the terms with which it’s comfortable.” That way, business users get the answers they need, while the architecture team can enforce the rules that assure consistency and accuracy over time. Similarly, “If we are presenting a methodology to the business and use the word ‘architecture’ eyes glaze over,” he says. “We’ve learned to use the phrase ‘business design’ and business users respond ‘Ah ha! You are helping me design my business.’”

Build Your Capacity:  Watch out for what Pemberton calls “killer demand curves” where business users suddenly demand lots of full architectures – immediately. “If you don’t have an EA practice that’s built to scale up to deliver quickly on demand, the business becomes disenchanted and sees you as an ivory tower, and what you do as vaporware.” Rather than deliver only visualizations, USAA’s architecture team is creating other deliverables such as a “Unified Business Design Playbook” that documents common methods for aligning deliverables across the organization. That’s among the ways it is attempting to scale the architecture by turning it into a multi-disciplinary, collaborative team sport.

As USAA’s EA/BTM practice continues to progress, he says, “the biggest benefit will be through the delivery of better business outcomes, through the reduction of redundancy and risks and sharing costs”.

It’s a far cry from being seen as an ivory tower exercise – and the key has been focusing on the needs of business users at all levels and delivering architectures in a form they can use.

To watch a replay of Michael Pemberton’s webinar, click here

Categories Uncategorized

Simple is Better: How EA is Boosting Business Agility at Dell

 
Dell’s entrepreneurial culture helped it grow into a global enterprise. But as Dell grew, disparate applications and processes made it harder to meet competitive challenges and comply with stricter financial regulations.
Using a “sim…

Categories Uncategorized

What do we mean by ‘business-architecture’?

One of the keys to breaking free from IT-centric ‘enterprise’-architecture lies in reclaiming the meaning of the term ‘business-architecture’.
In TOGAF and other ‘classic’ enterprise-architecture, everything revolves around IT: the IT is deemed to be the sole centre of meaning within the enterprise. Hence ‘business’-architecture is defined as a subset of ‘enterprise’-architecture, which itself is defined […]

Cloud Computing "Silver Lining" – Business Value Matters. Technology Not!

Microsoft and The Telegraph hosted the “Cloud Computing” Silver Lining event earlier this evening in London. It was a good mix of panel discussions, round-table and networking event. It was hosted at one of the City’s most prestigious landmarks – The Gherkin which with its magnificent views from the 40th floor across the London skyline, was the perfect location to discuss the matters of “Cloud” computing. I was one of the fortunate 50 people who received the invite to listen and engage with a panel of Microsoft, Telegraph and other Industry speakers. I am trying to summarise some of the key thoughts from the evening in this blog post. The headline message which I would like to give here is that, “In Cloud Computing, Business Value Matters, Technology Does Not


Cloud Computing is about Business Innovation – John Jester of Microsoft noted that, Cloud Computing is turning a new corner in 2011. CIOs, CTOs are no longer adopting Cloud Computing purely for cost savings purposes. Increasing number of organisations are now turning to Cloud Computing to gain new capabilities to make business successful. Cloud Computing is leading to new customer engagement models externally while also boosting new ways of employee engagement internally. He cited example of Global Microsoft CIO Summit to drive home the point. While in 2008 most CIOs reported CEO mandate of Cost Reduction, in 2010 most CIOs reported that, now their CEOs are demanding IT to play an Innovation Role. CEOs are now demanding CIOs and CTOs to drive revenue generation and maximisation opportunities. And Cloud Computing is a leading enabler of these innovative business models.

Cloud Computing Liberates IT Consumers – Dr James Bellini, Author and Futurologist commented on how the Cloud Computing paradigm is working on end user computing levels. He likened the Cloud Computing phenomenon as an enabler to free employees to become individuals again and approach and use IT as tool which which liberated not locked them in. He predicted that, “Work prisons of 20th century will disappear by 2020 thanks to the Cloud Computing phenomenon“. But Cloud Computing is not something entirely new. IT industry has seen a number of variations and forms of this over past decades. Close to my heart, the Airline industry has been a pioneer of Cloud Computing for a number of decades when it started to consume the Airline Booking processes per transaction model. Large mainframe operators such as IBM and Unisys served the airlines per Mips based on their consumption. On consumer level, Microsoft Hotmail Service has been in place since 1996 which is prime example of email and collaboration service in cloud. This was one of the question which I posed to the panel. 


So What is New about Cloud Computing Now? – Probably nothing is new in terms of concept. As I outlined in few examples above, the paradigm is around for decades. The major difference driving the adoption (and to some extent Hype) is that Industry has finally caught up with Technology, Tools and Instrumentation required to make Cloud Computing work at mass scale. We agreed at the round-table as well as during networking session that two factors have contributed in a major way to drive the Cloud uptake and popularity. 

  • As John Jester of Microsoft noted, “Anyone is now Connected Anywhere“. The power of network makes cloud consumption easy for large end user computing as well as B2C markets

  • Secondly, as I theorise, the Mobile and Tablet devices have finally crossed the threshold of affordability, intuitiveness, usability and desirability which has enabled business models which demand mass consumption of IT services of various forms on the go

  • Thirdly as  Phill Robinson, CEO, IRIS and Alan Lee-Bourke, CIO, The Wise Group noted the Cloud Computing is a better economic model for enterprises. It allows CIOs and CTOs to pass on the worry of say Server Management, Patching, Wiring, Cabling, Backing up etc to the likes of Microsoft and Fujitsu while they focus on tasks of higher business value for their organisations. Alan for instance noted emphasis on Data Modeling, Reuse and Effective Churn of Information to help business move forward.  
  •  

    Major Cloud Computing Adoption Challenges – Matt Warman of The Telegraph noted and the panel and round-table acknowledged that, Security and Data Integrity are some of the biggest blockers for free-flowing Cloud adoption. Access and Control of Information is a major source of wealth creation of 21’st century hence it is little surprise that data and information assets are targeted by hackers and groups with not so noble intent. But we believe that collectively as industry and individually as responsible organisations these aspects will be sorted with priority. Some of the message from Microsoft Cloud Forum demanded Industry players to work closer together on security standards. While there are now also demands for Government to work a lot closer with Industry on boosting Public Sector Cloud Adoption. 

    The other notable issue raised was difference between commercial models for applications in cloud computing environment vs the collaboration services in cloud. For instance operational, governance and commercial model for making Microsoft Azure and Amazon web services work are of different complexity than say making Office 365 work for enterprise. Both present respective set of challenges but operating model for Cloud in these instances are different. 


    To summarise, momentum seems to be gathering around the fact that Cloud is now seen to enable business rather than just technology development. A great debate at a great location. Many thanks to Matt Warman of the Telegraph and John Jester of Microsoft for hosting a fantastic event!

    Innovation in an Enterprise Architecture Context: Innovating the Business Processes, Technological Services and Corporate Strategies.

    Innovation This blog post deals with innovation in regards to the Enterprise Architecture program. I’ve been able to identify two different approaches to innovation. The first approach to innovation is what I define as incremental innovation. The second approach to … Continue reading