Enterprise Architecture (EA) is used to align IT systems with your business strategy and objectives (for more details see my book: E-Book: ‘How to Align IT with your Business’, Direct Link: http://www.amazon.com/dp/B009E6U8Z8). It has proven a very difficult and cumbersome process.

My experience has taught me that when implementing enterprise architecture for your own company and business environment the most important issue for success is to manage the human aspects (so called ‘soft controls’) permeating any such difficult and cumbersome effort.

All of these soft controls relate to tone at the top, understanding of the organization by the board, culture, structure of reporting relationships, morale, integrity and ethical values, operational philosophy, trust, ethical climate, empowerment, etc., and are directly linked to the emotional contracting issue, also referred to as 'the psychological contract'. This is the crucial and powerful link between the organizational performance intent (board and management planning to implement enterprise architecture), and the motivations, values and aspirations of the people (EA coordinator, enterprise architect, IT staff, etc.) instructed to carry out all implementation tasks.

This emotional contracting element is sometimes overlooked by organizations, board members and managers, and that is the reason that may explain why the people have failed to do what the organization expected and asked them to do.

Soft internal controls (trust, integrity, values and beliefs, etc.) should be part of the organizational process of strategy setting and ethical environment establishment. Corporate policies and procedures, vision and mission statements, strategic planning, ethics codes, job descriptions, training and coaching of staff, compliance programs, etc., are the tools and the hard controls that help define whether an organization consistently will do (supposedly ) the right thing.

An organization (private or public) might have written codes of conduct and other value defining type documents (vision, mission, values, social responsibility, etc.) but that does not guarantee whether they are actually followed consistently. Most of the real understanding will not be expressly written in any document but better evidenced in the day-to-day discharge of everyday duties and interactions. For example, the ethical culture can only rise as high as the tone set by the board and the senior executive management. If management distributes the message about ethics poorly or worst yet, delegates the message to subordinate levels, then the effectiveness of the ethical culture is greatly diminished.

The best way to reinforce soft controls and therefore ensure better EA implementation for your business is to (probably) formalize them. I recommend this to be the task of a senior board member of your company. This can be accomplished by Soft Controls Management Action Plan, as described next.

Action 1. Establish and monitor the implementation of an ethics code and a fraud policy and associated procedures.

Action 2. Ensure that your EA process is well communicated to all parties within your company.

Action 3. Interview key organization personnel and select the best for the EA implementation project.

Action 4. Implement training, coaching and mentoring programs for all critical staff involved in your EA implementation.

Action 5. Certify critical personnel (finance, IT, audit, purchasing, etc.) to ensure success of your EA process.

Action 6. Certify, if needed, all your critical functions (finance, IT, audit, purchasing, quality, customer service, etc.) related to EA.

Action 7. Review and improve all soft controls and particularly pay attention to how these are related to your EA project and to the linking of your IT strategy to your business objectives.

It is your duty, as a board member or senior executive, to handle all these successfully and therefore avoid any potential failures.

Friday, September 21, 2012

IT-Business Alignment Book

BOOK: ‘How to Align IT with your Business’

Publication date: 21 Sept. 2012

Author: John Kyriazoglou

Available at: http://www.amazon.com/dp/B009E6U8Z8

Summary description of the Book

This book deals with the issues of linking and aligning your IT application systems and services with your business goals to achieve your business objectives in a more effective and efficient way by the use of the Enterprise Architecture (EA) approach. Its contents describe four processes, several controls, activities, documents, checklists and procedures necessary for an effective EA implementation. Also seven recommendations are offered to streamline your EA efforts.

Detail Contents of the Book

The contents of this book are:

Chapter 1: Current Business Operating Environment

Description of the economic, social and technological factors and conditions (e.g., failure of corporate IT systems to be aligned and linked to the business objectives of the company.) affecting 21^st century business organizations. Outline of the need for better business controls in all areas: governance, risk, strategy, IT, production, enterprise architecture (EA), etc.

Chapter 2: Business Controls and Enterprise Architecture

Description of the role of business controls making up a Business Control Framework to improve strategy and operations. Outline of the way enterprise architecture fits into this to satisfy your business needs and expectations in terms of IT systems and services.

Chapter 3: Why is Enterprise Architecture (EA) important?

Description of the importance of EA (e.g., failure of strategic plans for various reasons, IT systems not linked to business strategy, etc.). How the EA approach resolves the ‘flexibility’ issue in business planning. Outline of the terms ‘enterprise’ and ‘architecture’.

Chapter 4: Definition and Processes of the EA Approach

Description of the role and purposes of the EA approach. Formal definitions of ‘Enterprise Architecture’. Description of the main types of EA Processes (EA Management Plan, EA Resources, EA Components and EA Improvement) making up the EA approach.

Chapter 5: Process 1 - EA Management Plan

Description of the 12 steps (needs analysis, employing resources, selecting an EA framework, etc.), controls and end results (products created) in creating and executing the EA management plan (EA Process 1) for achieving EA and its benefits for your business. Listing out the products of this process: ‘EA Feasibility Study’, ‘EA policy’, ‘EA Communication Plan’, ‘EA Requirements Study’, ‘Business Model Changes’, ‘Enterprise Architecture Repository’, ‘EA Implementation Plan’, etc.

Chapter 6: Process 2 - EA Resources

Description of the role and responsibilities of the required corporate human resources (board, management, EA technical, IT, etc.) and the application of segregation of duties (EA Process 2) to implement EA for your company.

Chapter 7: Process 3 - EA Components

Description of the technical and procedural components (EA Process 3) which required for the effective establishment, implementation and administration of your EA: EA framework, business model, goals, EA repository, installation procedure, security procedure, etc. Also outline of various examples related to these components: Business process narrative, business strategic plan, strategy, goals and objectives, etc.

Chapter 8: Process 4 - EA Improvement

Description of an EA Improvement Plan and examples of performance measures, compliance indicators and EA checklists (Business Processes, Overall Corporate Business Data Management, Overall Corporate Business Strategy, etc.) which may be used to review and improve your EA processes, controls and components (EA Process 4).

Chapter 9: Benefits of Enterprise Architecture

Description of the benefits of the EA approach to your business organization, in terms of: Better alignment of your business strategy and business processes with your IT systems, better control of business data and faster and more seamless flow of information, more efficient control of your IT operation (systems, projects, data, etc.) fully supporting your business, etc.

Chapter 10: Concluding Remarks

Description of the latest data on how the enterprise architecture approach changes and improves the management and operation of IT systems to serve your business better. Also presentation of seven recommendations related to planning and implementing EA for your business in a more efficient and effective way.

Appendix 1: EA Case Study

Description of how enterprise architecture has been implemented to solve real-life business problems related to corporate operational and performance information issues and demands in IT-enabled company operations.

Appendix 2: EA Frameworks

Short description of the main standard-industry EA frameworks.

Further Resources

Listing of various books related to EA for anyone wanting to delve more into this subject.