08-Business Architecture

James Smith’s Java Oracle Blogs – Author

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Business Architecture

In practical terms, the Business Architecture [BA] is also often necessary as a means of demonstrating the business value of subsequent architecture work to key stakeholders, and the return on investment to those stakeholders from supporting and participating in the subsequent work.

Objectives

To understand baseline Business Architecture , understand Business Goals , Objectives , Drivers and Principles in detail , understand Business Strategies, Do a gap analysis and based on gaps develop Target Business Architecture to meet the goals and strategies, To get Acceptance on Target Business Architecture from the stake holders ensuring that their goals and objectives will be met. Have necessary tools and infrastructure in place to accomplish the task

 

Inputs

  1. Request for Architecture Work
  2. Business Principles, Goals, Drivers
  3. Approved SOW [Statement of Work]
  4. Capability Assessment
  5. SOW to Include
  6. —> Refined Stake holders
  7. —> Baseline Business Architecture Vision
  8. —> Baseline Data Architecture Vision
  9. —> Baseline Technology and Application Architecture Vision
  10. —> Target Business and Data Architecture Vision

 

Outputs

  1. SOW updated
  2. Business Principles Update if necessary
  3. Detailed Baseline and Target Business Architectures

Steps on Business Architecture Process

  1. Select Reference Models, Viewpoints, and Tools
  2. Develop Baseline Business Architecture Description
  3. Develop Target Business Architecture Description
  4. Perform Gap Analysis
  5. Define Roadmap Components
  6. Resolve Impacts Across the Architecture Landscape
  7. Conduct Formal Stakeholder Review
  8. Finalize the Business Architecture
  9. Create Architecture Definition Document

Business Modelling

Activity Models /  Business Process Models : They capture the activities performed in a business process, and the ICOM ‘s (inputs, controls, outputs, and mechanisms/resources used) of those activities

Use Case Models: They describe the business processes of an enterprise in terms of use-cases and actors corresponding to business processes and organizational participants (people, organizations, etc.)

Node Connectivity Diagram: A node can represent a role (e.g., a CIO); an organizational unit; a business location or facility and so on. An arrow indicating the direction of information flow is annotated to describe the characteristics of the data or information

Information Exchange Matrix: They identify who exchanges what information with whom, why the information is necessary, and in what manner.

Business Strategies

  1. Where is the business trying to get to in the long-term (direction)
  2. Which markets should a business compete in and what kind of activities are involved in such markets? (markets /  scope)
  3. How can the business perform better than the competition in those markets? (advantage)?
  4. What resources (skills, assets, finance, relationships, technical competence, facilities) are required in order to be able to compete? (resources)?
  5. What external, environmental factors affect the businesses’ ability to compete? (environment)?
  6. What are the values and expectations of those who have power in and around the business? (stakeholders)

( Reference : http://tutor2u.net/business/strategy/what_is_strategy.htm )

Concepts of Business Functions

Business Function is a concept used in the Organisation Architecture domain and represents what work is done by that organisation, organisation unit or business role.  An organisation can be designed as a set of Business Functions and usually the structure of the organisation units within an organisation is closely based on the business functions.

Those Business Functions are more stable than the organisation structure itself and often an Organisation Unit or Business Role may be responsible for multiple business functions.  A Business Function is only ever carried out by a single Business Role/Organisation Unit within an organisation.

Examples of Business Functions include: Sales, Mаrketing, Supply Chаin Management, Finаnciаl Mаnаgement, Operations, Customer Relationship Management, Product Management, Supplier/Pаrtner Relаtionship Mаnаgement.

( reference : http://ingenia.wordpress.com/2009/04/29/how-do-you-differentiate-between-a-business-function-and-a-capability/ )

Examples of  Business Organization

Sole Proprietorship: A sole proprietorship is one person alone.

General Partnership: In a general partnership, each of the two or more partners will have unlimited liability for the debts of the business

Limited Partnership: With a limited partnership, each of the general partners has unlimited liability for the debts of the partnership,

Corporation: A corporation provides limited liability for the investors

Limited Liability: A limited liability company provides limited liability for all of its members, but typically can be treated as a partnership for federal income tax purposes.

Architecture Definition Document – BA

Architecture Def Doc Domain = Business + Data + Applications + Technology

Identifies States = baseline / inter mediate ( vision ) / target

  • Scope
  • Goals , Objectives , Constraints, Out of Scope
  • Architecture Principles ( remember by now we have passed Phase A , so we should be clear on Principles )
  • Business , Data, Application , Technology Models
  • Rationale and Justification of Approach
  • Mapping into Arch Repository
  • Gap and Impact Analysis

Business Architecture – Architecture Definition Document

– Covers following

  1. Architecture Principles
  2. Baseline Business Architecture
  3. Target Business Architecture to include Org Structure , Business Locations ,
  4. Business Goals and Objectives
  5. Business functions – Major Functions and sub functions
  6. Business Services, Business Processes
  7. Business Data Models.
  8. View points addressing stakeholders concerns

Oracle Enterprise Architecture Framework [ OEA ]

The Oracle Enterprise Architecture Framework (OEAF) is a streamlined EA framework based on the TOGAF and FEA industry EA frameworks. OEAF provides a business-centric, results oriented, practical approach to EA that leverages the strengths of industry EA frameworks, while marrying it with unique Oracle EA assets and IP (such as an Oracle Technical Reference Model, proven industry and technical reference architectures, etc.) and provides prescriptive guidance for developing high quality architectures that are fully aligned with business and IT strategies.

Business Architecture – OEA Framework

Any architectural discussion should begin with Business Architecture. The Business Architecture aligns an organization’s operating model, strategies, and objectives with IT; it also creates a business case for IT transformations and provides a business-centric view of the enterprise from a functional perspective.

Business Strategy:  Key business requirements, objectives, strategies, key performance indicators, business risks, and the business-operating model (how processes and systems are centralized versus decentralized across the business).

Business Function: The key business services, processes, and capabilities that will be affected by the enterprise architecture effort.

Business Organization: The high-level nature of the organizational structures, business roles

(internal audiences, external customers and partners), the decision-making process, and the organizational budget information.

( Reference on OEA Framework )

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