Published on July 14, 2012
BUSINESS ANALYSISFORUMRichard Veryard July/October 2012Six Viewpoints ofBusinessArchitecture
MOTIVATIONVIEWWhat the business wantsCAPABILITYVIEWWhat the business doesCYBERNETICVIEWHow the business thinksACTIVITYVIEWHow the business doesKNOWEDGEVIEWWhat business knowsRESPONSIBILITYVIEWWhat the business isSix Views of Business
we wantOutcome OutcomeOutcomeOutcome-+-++££Motivation Viewpurpose, value &performance
Motivation View Corporate Goals andObjectives Nominal purpose Nominal strategy Business MotivationModel (BMM) Performance Outcomes Direct and Indirect Value Defacto purpose(POSIWID) Emergent strategy 360º Risk i* VPEC-TSingular PluralOMG: Strategic View
we canKey ActivitiesValuePropositionDistributionChannelsClientRelationshipsRevenueStructureDifferentiationIntegrationKey ResourcesCost StructureCapability Viewfunction, competence, capacityLoosely based on Osterwalder’s Business Canvas, but for a single capability
Capability View Operational Capabilities Business Components Hard Dependencies Coordination andManagement Capabilities Soft Dependencies Metacapabilities (e.g. thecapability to create newcapabilities)Singular PluralOMG: Capability View
we doUnit ofworkUnit ofworkUnit ofworkUnit ofworkEventActivity Viewevent, response, collaboration
Activity View OMG: Value Stream ViewTraditional ViewBusiness Process as Production LineNetwork ViewBusiness Process as Service NetworkLinear – designed as a series of steps Non-Linear – designed as a set of servicesChronological – steps executed in time-sequenceLogical – services put together in logicalcombinationsCumulative – adding value at each step Modulative– services modulating oneanotherSynchronous – each step dependent andwaiting upon the previous stepsAsynchronous – services executedindependentlyTransforming raw materials andcomponents into finished productTransmuting input services into outputservices
we knowgeneralization aggregation classificationHOTEL MOTELACCOMMODATIONMEAL TICKETTRAVEL &SUBSISTENCECHARGINGPOLICYTAXATIONRULEEXPENSE ITEMFrom complex world to simple schema … viaabstractionKnowledge Viewrecords, facts, patterns &ideas
Knowledge View Systems of Record (Formal Data) Systems of Engagement (Informal Information)Singular PluralOMG: Knowledge View
we mustTraditional PlatformConsumerRetailerFarmerManufacturerCatererConsumerRetailerFarmerManufacturerCaterer Economics of Scale, Scope Economics of Alignment, GovernanceIndirectrelationshipsResponsibility Viewrole, delegation &accountability
Responsibility View Enterprise Ecosystem Business as a PlatformOMG: Organization View
we learnfeedback, control, & governanceLearning& DevelopmentKnowledge& MemoryInformationGatheringDecision& PolicyWIGO(what is going on)Communication & CollaborationSense-MakingCybernetic Viewfeedback, control, &governance
Cybernetic View Goal-Directed Behaviour Single-Loop Learning (First Order Cybernetics) Intelligent Behaviour Double-Loop Learning (Second-OrderCybernetics)Singular PluralOMG: (omitted)
Which viewpoint reveals the differencesbetween these companies? Amazon Apple Facebook Google IBM Microsoft Oracle Salesforce Most of the activities are the same (e.g.marketing, software development, R&D)So we may not see much differencefrom the Activity Viewpoint. Significant differences in the way theyposition themselves in relation to theirecosystems and learn from experience.So we may see significantdifferences from the Responsibilityor Cybernetic Viewpoint.
Levels of Abstraction in Business Architecture• A model of the end-to-end businessprocess, regardless of organizationalboundariesCompany-IndependentModel• A model of a collaborative businessprocess, regardless of the specificcollaboration partners.Partner-IndependentModel• A model of a collaborative processshowing the specific collaborationpartners and their contractual servicerelationships (including SLAs)Partner-DependentmodelOutsourcingStrategyOutsourcingNegotiation
Simple ComplexMotivation ViewWhat the BusinessWantsNominal purposeNominal strategyDefacto purposeEmergent strategyCapability ViewHow the Business DoesOperational capabilityHard dependenciesTop-down leadershipSociotechnical capability andcompetencySoft dependenciesEdge leadershipActivity ViewWhat the Business DoesLinear synchronous process(value chain)Asynchronous collaboration(value network)Knowledge ViewWhat the BusinessKnowsFormal information systems Informal information systemsSensemakingAppreciative systemsCybernetic ViewHow the BusinessThinksGoal-directed behaviourManagement by objectivesSingle-loop learningFirst order cybernetics (VSM)Second-order cybernetics(Bateson/Maturana)Double-loop and deutero learningResponsibilityViewHow the BusinessEnterprise Business-as-a-PlatformEcosystem
Future EventsBusiness ArchitectureWorkshopbusinessarchitecture.eventbrite.co.uk/Organizational IntelligenceWorkshoporgintelligence.eventbrite.co.uk/RVsoapbox.BlogSpot.comtwitter.com/richardveryardFuture Events Other Material and Links
Six Views of Business Architecture. Posted on: June 7, 2012; By: Richard Veryard; ... See my previous post on the Five Views of Business Architecture ...
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