Third Dimension - in Strategy and Roadmap

Incorporating Technology Outlook is an essential step in establishing IT Strategy for any organizations in today’s rapid changing business and technology landscape. Considering technology outlook in architecture development method can eliminate many risks and also can protect investment because of dynamic nature of today’s business. It is surprising to note that most methods do not incorporate Technology Outlook.

Enterprise has multiple line-of-businesses, therefore when we are thinking about strategy we need to know the business goals for each LoB along with their respective visions. Each LoB establishes their own goals based on market situation, market trend, and most of all they want to position themselves ahead of their competitors. These business goals are also need to align with the overall enterprise’s business goals. Establishing a strategy is a true art of employing stratagems towards the goal of the enterprise and can be accomplished by adopting a holistic approach. Therefore understanding enterprise’s goal, vision, and mission is an essential step in developing strategy that can fulfill overall enterprise’s goal. In today’s dynamic environment Technology Outlook plays a very critical role, I call it a third dimension. To establish a strategy, typically we consider where the enterprise is today and where they want to go by enabling capabilities that enterprise does not have. We align IT transformation to business requirements. This process primarily focuses on business, current architecture, technology, people, and processes to find the gaps. It is a two dimensional approach. Architectural thinking and architectural decisions should also be influenced by the Technology Outlook or the Third Dimension. We design blue print and the road map based on target architecture, but without considering the third dimension the strategy may not be effective for a future date. We must know how much today’s architecture decision will be able to sustain the future changes due to continuous innovation of new technology and customers’ demand.

The third dimension needs substantial research and trend analysis. If we look back we see the change in – 

1)    Foundation – Transformative Enterprise Computing

a.    New emerging applications require substantial improvements in system characteristics such as performance, power efficiency and cost/performance.

b.    Solution-optimized systems support aggregation of compute intensive, network optimized, application-specific, storage sub-systems, together with middleware and system software.

c.    Capturing the growth opportunities require fundamental innovation across the entire stack.

d.    Business has been transformed over time because of system improvements. Like transition from reactive to predictive analytics, from static to  streaming data,

2)    Foundation – Security,

a.    We see multitier containment security has emerged to complement perimeter based security architecture.

b.    The vulnerability and threat landscape is changing

c.    Rapid growth of information volume and fast adoption of new technologies making traditional perimeter defense obsolete.

d.    Far field fraud detection technologies providing early warnings about security breaches and fraudulent transactions before such incidents emerge to complement existing near field techniques. 

Similarly we find rapid change in Business Decision category

3)    Business decision – Digital Economy

a.    International and national government introduced new regulation and monitoring policy, therefore financial firms implement mechanism to comply transparency and reporting.

b.    Mobile Financial Services and expansion of mobile banking changing the concept of interactions of customers with the financial institute.

c.    Transparent Securitization

4)    Business decision – Data for smart decision

a.    Although analytics technology has a proven and growing ability to create value from data, new technology made the data usable for all decision makers, not just analysts.

b.    Huge amounts of heterogeneous data of variable quality require better tools to identify data that is relevant for smart decision making.

c.    Database technology has moved from traditional to new paradigm of data management using hardware and software integration techniques, fabric based computing model. Data access and storing techniques leveraging new technology that include operating systems, memory utilization, faster access path.

d.    The ability to pull value from massive amounts of data and respond to real-time information is becoming a crucial competitive differentiator.  Value is realized by making smart data-driven decisions.

We also see the revolution in quality of services and customer experiences.

Therefore, without considering technology outlook in defining strategy, deriving Road Map and Architecture Blue print from this process may not help an enterprise to move in the right direction. So our challenge is:

(1)    Integrating Technology outlook into Strategy development 

(2)    Strategy that will satisfy today’s need must accommodate tomorrow’s new technology.

(3)    How we synchronize and integrate Business Architecture, Information Architecture, Technology Architecture, future technology, and potential new computing model in this innovative dynamic new business world

(4)    How will you deliver strategy while protecting client’s investment and without reworking on any component of the framework.

(5)    How SOA implementation strategy can support future technology.

Value of Pattern in Fabric-based computing model

Almost two years back I wrote a small column about the value of pattern in Architecture Design, this is now more relevant in today’s fabric-based computing (FBC) model. IBM and Oracle have already adopted fabric-based computing, I am sure other vendors are also in the market or will adopt FBC model soon. Architect will now have to include pattern analysis in their architecture designing method. If we cannot establish the pattern correctly we will land up into old stove-pipe scenario. Pattern and non-functional requirements will be the standard for Architecture Design work for the new FBC model.

Pattern are not something new, it is around for a long time. Pattern landscape encompassing both structural architecture and behavioral architecture will help to determine the right configuration of FBC model. Please stay tune for detail on Pattern Landscape design.

Social Media - a pradigm shift

Social Media - a pradigm shift

Social Media has changed the Business Model for most enterprises. Business leaders are realizing that it is not possible to cut cost and grow the business at the same time by simply doing the same thing again and again. They are seeking new ideas and want to unlock new source of values within and outside their organization. They realized that they have to do new things that can produce different business results. Successful enterprises are making innovation their top priority. They understand that innovation is the only way to create sustainable competitive advantage in today’s changing world of new economy, and rising global competition. Enterprises are embracing new technology and new way of thinking. The Social Media Technology is now matured and has established itself as one of the incubators of innovation. In the past, businesses leaders felt they have to create everything themselves.  Today, social media technology has changed the way we used to think and do our businesses. It is helping enterprises to harvest innovation and uncover vast resources within the enterprise. The new technology showing us new forms of collaboration are possible—within a company, between companies, with online communities of experts and even with countless unknown individuals around the world. Employees can share ideas and work on projects with unprecedented ease. Experts of same or related subject area can team with those of another company. The open source software movement has delivered powerful operating system LINUX. This is just an example, it shows how widely distributed communities can come together virtually to create and improve products. Enterprise can engage with the entire networked world to learn, to capture feedback—or to turn their customers into co-creators, sharing thoughts and Ideas.  No matter which financial metric is used—revenue growth, operating margin growth or average profit over time will sharply increase by adopting social media and strong collaboration. Collaboration optimizes human side of the processes. It also shortens business processes cycle time. Most important of all it makes the human resources more productive and innovative.

Social Media is in the core of Social Business. It helps the enterprises become more innovative, helps to unlock untapped resources for better business outcome, revenue growth and increase in productivity. 

Successful colaboration strategy

How to increase employee productivity and grow business is the biggest challenge to the CEO, CFO and CIOs in today’s globally integrated business environment. Complex global economy, diverse types of users and usage are making these tasks more challenging. If we look closely, we will see collaboration technologies optimize human side of the processes. It also shortens processes cycle time. Most important of all it makes the human resources more productive and help to control cost. There are four types of users namely knowledge workers, task workers, power users, and data entry. Knowledge workers and task workers get maximum benefit out of collaboration. Enterprises are deploying collaboration tools to Partners, Customers, Knowledge workers, and task workers. Collaborative tools shorten processing cycle as well as unblock processes. It removes error through group activities, it also increase participation to an activities at global level. Overall it generates better business outcome. It drives overall growth of an enterprise, creates a culture of innovation, and helps to control cost. An open platform for collaboration should be built using flexible and open programmability technology. A successful collaboration must develop efficient means of working, it should create a culture of innovation, and helps innovate through collective talent. Collaboration also leverage and preserve tacit knowledge, establish strong relationship with business partners and customers. It should be an accelerator to business growth and control cost. Collaboration solutions can be categorized in to three areas: Collaborative environment, Collaboration enabled business processes, and role based portals. Successful integration of team collaborations, portals, messaging, communications, and social networking are the key to the successful implementation of collaboration. If we consider each collaboration capability component as a service and use service oriented architecture approach and select right products and delivery models to a business that best suited for them then it will add real value and will be considered as successful implementation of a collaboration strategy for any firm. Product agnostic thinking is the key. There are many products and tools available in the market place. It requires right approach and right viability study.

Third dimension in developing strategy

Strategy is the art of devising or employing plans or stratagems toward a goal according to Merriam Webster dictionary. In any organizations there are multiple business areas and each business area will have multiple line of businesses, therefore when we are talking about strategy we need to know goals for each line of businesses (LoB) along with that of Information Technology.  Each LoB will establish their own goals based on the market situation, market trend, and most of all how to position themselves at competitive edge. These LoBs goals are also need to align with the overall enterprise’s business goals. The establishing a strategy is a true art of devising or employing plans or stratagems towards the goal of the enterprise and can be accomplished by using a holistic approach. Therefore understanding company’s goal, vision, and mission is an essential step in developing IT strategy that can fulfill overall enterprise’s goal. Most consulting companies have created practices /offerings and developed competency specifically to support their clients in developing a strategy. Each firm has their own techniques and method to establish strategy. Most of us consider relationship and alignment of Enterprise Strategy with Enterprise Architecture, but the most critical piece I see missing everywhere, which I call the third dimension, the Technology Outlook or the new technology. We consider where the enterprise is today and where they want to go. Based on target architecture we design a blue print and road map without considering the third dimension that is technology outlook, new technology that will affect the future business. How do you know how much your today’s architecture decision will affect due to continuous evolution of new technology? The biggest challenge I see:

(1)    Integrating Technology outlook into Strategy development 

(2)    Strategy that will satisfy today’s need and will accommodate tomorrow’s new technology.

(3)    How will you synchronize and integrate Business Architecture, Information Architecture, Technology Architecture,  future technology, and potential new computing model in this innovative dynamic new business world

(4)    How will you deliver strategy while protecting client’s investment and without reworking on any component of the framework that you develop using this strategy.

(5)    SOA implementation strategy that can support future technology.

We need a pattern based approach that can satisfy all these questions and factor-in all five challenges.

For technique paper and approach please contact me. I will be happy to discuss further and will provide you the intellectual capitals that I have created for strategy and road map development.

Technology outlook a paradigm shift

We are in the midst of transformation phase of information technology. Enterprises are shifting their focus on digitizing their enterprise. As the economy goes more and more digital managing the value created by the digital economy becoming more and more challenging.  We see emerging mobile financial services, mobile banking services using non-banking infrastructure like the merger of super telecom technology with banking services. Enterprises are becoming more and more dependable on data, as the data transforming enterprise to smarter decision. Enterprises are digitizing their enterprise to increase service quality as well as increase in revenue growth. Definition of IT transformation has changed to digitizing enterprise. Cloud Computing has transformed the old IT architecture into new paradigm. Near Field Communication (NFC), Unified Threat Management (UTM), next generation firewall, Cloud computing, web services, and Service orientation immensely contributed to this new business process landscape.  This is not new news, but most enterprises are started realizing the value of new generation information technology.       

It is very clear that the technology is blending with the business to support dynamic nature of the new economy.  The mobile web is now matured, the rise of social networking, globalization and the availability of global resources as well as the onset of real time data streaming and access to information are changing the traditional datacenter concept. These are all becoming interconnected and the advancements in technology are driving this at a greater speed. One new approach that is helping to address these issues is Cloud computing. We see this trend as one that will greatly change the way people acquire, deploy and manage IT services. 

Therefore the scope of IT Strategy and road map has been extended. The following picture depicts the logical view of the new landscape of enterprise information technology services and delivery model. This highly integrated, flexible, real time interaction, and catalyst for rapid innovation are enabled by architecture design style and cloud computing infrastructure.

Physical consolidation, virtualization of server, storage, network along with right provisioning and workload management technologies can be leveraged to accomplish an optimized and efficient underpinning cloud computing infrastructure. Therefore, augmenting existing strategy and road map may suffice to fulfill the current transformation need. But delivery channel and web component need significant architecture work. That includes social media strategy, collaboration, governance for the new added fabric, and security. For detail approach and how to create a measureable and actionable road map for this transformation please contact me. I will be happy to provide you all relevant artifacts and reference materials that can be used as a framework and reference architecture model.     

Business and Technology become more and more entwine...

Correctly speaking, IT is aligning with other Line of Businesses of an enterprise to achieve IT’s contribution level to the overall enterprise objective. IT is just like any other Line of Business. Remember Business is not IT’s customer. "Business is a customer of IT" is an old concept. To make simple I will refer IT LoB as IT and other LoBs as Business.

Business and Technology become more and more entwine. IT is trying to align with the business, but it is become more and more challenging, because enterprises are expecting IT to take lead in IT and Business convergence process.

So, we need to focus on business side design and processes. While analyzing the business issues, it is essential to tighten the linkage between Technology and the Business, specifically integrating the IT with business to support today’s business need.  The dynamic nature of the business implies rapid change.  For business leaders, the impact of change is profound.  They must contend with an increasingly diverse set of emerging competitors, an unpredictable socio-economic environment, and an increasingly demanding and fickle customer set.  In addition to all of these challenges, they must meet the expectation of financial markets that their organization will deliver consistent growth in profitability, despite the dynamic environment in which they operate. The characteristics of the IT operating environment must create superior competitive capabilities and will be able to focus on defining and managing their differentiating capabilities. The environment needs to build flexible business and technology structures to allow IT infrastructure to be more responsive to market changes – and do so at lower costs in near real-time.  This can be accomplished by creating enterprise architecture using TOGAF framework. It will be most effective, proven and efficient approach. We will discuss starting from Business Architecture, Phase B of TOGAF.

Most enterprises have representative business processes and design, but elaboration of corresponding business architecture may not exist. It will be appropriate if the enterprise adopt a two prong approach. Implementing such architecture will create competitive advantages for the organization and enable it to realize operational efficiencies and overall improvement. Careful orchestrated Enterprise Architecture design will pay back. Business Architecture is not a waste in a project. A typical business reference model (BRM) uses a three tiered hierarchy with Business Areas at the highest level, followed by Line of Business and finally business sub-function.  One should review business process and design when working on each tier of BRM and design a cohesive Business Architecture. Designing Data Architecture using Data Reference Module in conjunction with Business Architecture will pay off in the long run. Analyzing Business context for data categorization and analyzing data element for data structure need business architecture documents as input. Compromising BA documents is not a good idea. Go to Basics… Business Architecture, Data Architecture, and together with Use Case documents can help to create an underpinning system that will pay back and truly eliminate the complexity. Following picture depicts the flow of BA, UML diagram, and then uses these artifacts as an input to Information architecture. For detail explanation and white papers please contact me.

Business Architecture Components

Reference use: Open group and TOGAF .