Strategic Business Architecture Helix(TM) Framework

T H E F R A M E W O R K
F O R S U C C E S S F U L
D E V E L O P M E N T
A N D I M P L E M E N T A T I O N
O F O P T I M A L E N T E R P R I S E
T A R G E T O P E R A T I N G
M O D E L S
Copyright © 2016 Kirill Derevenski | www.strategicbusinessarchitecture.com

STRATEGIC BUSINESS ARCHITECTURE
is
the product and a process of contextualising, designing and
implementing optimal enterprise Target Operating Models

As the product, Strategic Business Architecture unites form and function of the enterprise organisation. It depicts Target Operating
Model blueprints, key processes and associated governance structures – optimally developed to address business environment and
objectives. Because all companies are unique,
OPTIMAL TARGET OPERATING MODELS ARE AS DIFFERENT AS BUILDINGS
(and ideally as elegant as the best of them)
AN OPTIMAL TARGET OPERATING MODEL SHOULD SATISFY THREE PRINCIPLES:
BE EFFECTIVE – SENSIBLE AND FIT TO DELIVER ON COMPANY’S STRATEGIC OBJECTIVES
BE EFFICIENT – WITH CLEARLY DEFINED PROCESSES AND RESPONSIBILITIES TO SERVE ITS PURPOSE
BE RESPONSIVE – FLEXIBLE TO RAPIDLY ADJUST TO CHANGES IN INTERNAL AND EXTERNAL CONTEXTS

STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK USES FORMALISED METHODOLOGIES TO RELATE
ENTERPRISE EXTERNAL AND INTERNAL CONTEXTS TO ITS BUSINESS OBJECTIVES AND BUILD AN OPTIMAL TARGET
OPERATING MODEL. IT THEN FACILITATES SUCCESSFUL ORGANISATIONAL TRANSFORMATION THROUGH
TRANSITION PLANNING AND ORCHESTRATION OF CHANGE MANAGEMENT ACTIONS
INDUSTRY
CONSUMER
POLITICAL
ECONOMIC
ORG.
ENTERPRISE
BUSINESS
MODEL
TARGET
OPERATING
MODEL
IMPLEMENTATION
PLANNING
CHANGE
MANAGEMENT
Copyright © 2016 Kirill Derevenski | www.strategicbusinessarchitecture.com | Triangle image design by Freepik.com

STEP 1. CONCEPTUALISATION
means
accurately grounding any future Target Operating Model within
the organisation’s external and internal contexts, making it
optimal for that company

ORGANISATIONAL
CONTEXT
CONSUMER
CONTEXT
INDUSTRY
CONTEXT
STRATEGIC BUSINESS ARCHITECTURE TAKES INTO ACCOUNT KEY EXTERNAL CONTEXTS –
IN ADDITION TO THE ENTERPRISE BUSINESS MODEL AND ITS ORGANISATIONAL
BACKGROUND – TO BUILD AN OPTIMAL TARGET OPERATING MODEL WHICH CAPTURES
PRAGMATIC CHOICES AND SOLUTIONS TO STRATEGIC NEEDS FOR THAT COMPANY
POLITICAL
AND/OR
ECONOMIC
CONTEXT
TARGET
OPERATING
MODEL
SCALABILITY
AND RESILIENCE
FLEXIBILITY
AND AGILITY
RESPONSIVENESS
AND RELEVANCE
CAPABILITY
AND ABILITY
ENTERPRISE BUSINESS MODEL

TARGET
OPERATING
MODEL
Architectural alignment
BUSINESS
MODEL
Present/future
growth and
productivity
strategies
MISSION
Fundamental purpose of
the company and how it
aims to achieve its vision
VISION
Direction of travel and
long-term view of the
company
VALUES
Guiding principles and
fundamental beliefs that
govern company’s actions
STARTING WITH THE VALIDATION OF THE ENTERPRISE BUSINESS MODEL AND ITS
GROWTH AND PRODUCTIVITY STRATEGIES, STRATEGIC BUSINESS ARCHITECTURE
DEVELOPS A VISION OF THE CAPABILITIES AND BUSINESS VALUE TO BE DELIVERED AS A
RESULT OF THE OPTIMAL TARGET OPERATING MODEL’S INTRODUCTION

REFLECTION OF WIDER POLITICAL AND/OR ECONOMIC CONTEXT ENSURES UP- AND
DOWN-SCALABILITY OF THE TARGET OPERATING MODEL AND ITS RESILIENCE TO CRISES
AND CYCLES. IMPACTFUL RELATIONSHIPS THAT EXIST BETWEEN DIFFERENT INDUSTRIES
WITHIN THE BROADER ECOSYSTEM ARE ALSO CAPTURED
SHORT TERM MEDIUM TERM LONG TERM
§  FACILITATION OF NEW
CAPABILITY INTEGRATION
§  CLARITY FOR CARVE-OUT
§  MODULARITY AND SELF-
CONTAINMENT FOR UP-/
DOWN-SCALING
§  BENEFIT FROM INTER-
INDUSTRY DYNAMICS
Target Operating Model (caeteris paribus)
Target Operating Model (context-aware)
Target Operating Model (context-aware)
SCENARIO A
Context-aware Target Operating
Model is developed and deployed.
Organic changes in the ecosystem
that are naturally occurring are
taken into account
As milestone event(s) take(s) place,
context-aware Target Operating Model is
dynamically adjusted
Through external context awareness,
Strategic Business Architecture
expands horizons so that the
resulting Target Operating Model
copes successfully with ecosystem’s
uncertainties and change
ILLUSTRATIVE USE OF SCENARIO PLANNING IN THE STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK

REGARDLESS OF A B2B OR A B2C FOCUS, MASTERY OF FINAL CONSUMER CONTEXT
ENSURES RESPONSIVENESS AND SERVICE ORIENTATION OF THE TARGET OPERATING
MODEL THROUGH APPROPRIATE ORGANISATIONAL DESIGN, CLEAR INTERCONNECTED
PROCESSES, AND TECHNOLOGY AND DATA SPECIFICATIONS
CONSUMERS
TARGET
OPERATING
MODEL
CONSUMER TRENDS AND BEHAVIOURS…
§  Brand/quality/image perceptions
§  Alternative choices
§  Lifestyle preferences
§  Societal beliefs
§  Information needs
§  Communication requirements
§  Attitudes to digitalisation
…THAT DRIVE STRATEGY...
§  Vision and Mission
§  Strategic objectives
§  Strategic choices
…AND BUSINESS MODEL...
§  Value proposition
§  Revenue streams
§  Cost bases
…ARE REFLECTED IN THE TOM
§  Capabilities/functions
§  Processes
§  Governance
§  Infrastructure
§  Data
§  Safety/Security

COMPETITION MOVES
Established players
Wild cards
New entrants from other industries
OUTER
SPACE
WHITE
SPACE
NEAR-
CORE
SPACE
CORE
SPACE
TARGET
OPERATING MODEL
INDUSTRY CONTEXT CONTRIBUTES TO DESIGN OF AN OPTIMAL OPERATING MODEL
THAT SUPPORTS MONITORING AND DEVELOPMENT OF OPPORTUNITIES THROUGH ITS
FLEXIBILITY AND AGILITY OF RESPONSE, AND INTERCONNECTIVITY TO CHANNEL
KNOWLEDGE, EXPERIENCE AND RESOURCES TO WHERE NEEDED
REGULATORY OVERSIGHT
Labour legislation
Financial regulations
Health/Safety/Environmental
requirements
INDUSTRY DYNAMICS
Consumers (directly and indirectly)
Clients/Distribution channels
Suppliers/Vendors
Partners/Investors
Other industries
TECHNOLOGICAL ADVANCES
Digitalisation
Knowledge diﬀusion
Information accessibility
Media proliferation
FLEXIBILITY
AGILITY
INTERCONNECTIVITY
BUSINESS
DEVELOPMENT
SCANS

ORGANISATIONAL CONTEXT IS A SOURCE OF PRAGMATISM FOR THE TARGET
OPERATING MODEL. IT SUPPLIES UNDERSTANDING OF ORGANISATION’S BASELINE
CAPABILITIES, ITS COLLECTIVE MEMORIES AND CULTURE, AND ITS INNATE ABILITY TO
ADAPT TO CHANGE NECESSITATED BY THE OPERATING MODEL’S REDESIGN
ARCHITECTURAL SIGNIFICANCE
WILLINGNESSTOPURSUE
KEEP
and manage distractions
to stay focused on
important deliverables
ANCHOR
and re-emphasise beneﬁts
to build up ownership of
the target model
REMOVE
or postpone for later
review
CHALLENGE
stakeholder concerns or
organisational
capabilities to
understand key reasons
for resistance
TARGET OPERATING MODEL
n Realistic in scope
n Functional in implications and
implementation
ILLUSTRATIVE USE OF A KAIZEN-INSPIRED APPROACH IN THE STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK
HL
L
H
COMPANY
BASELINE
CAPABILITIES
MEMORIES
CULTURE
EXPERIENCE
‘CLEAN SLATE’
ORGANISATION

STEP 2. PLAN & DESIGN
covers
the development of detailed architectural designs and
operational blueprints of the target operating model and its
intermediary states

ULTIMATELY, STRATEGIC BUSINESS ARCHITECTURE TRANSLATES ENTERPRISE BUSINESS
MODEL AND ITS EXTERNAL AND INTERNAL CONTEXTS INTO TARGET OPERATING
MODEL, A SET OF ACTIONABLE BLUEPRINTS THAT CREATE COMMON VIEWS AND
UNDERSTANDING OF THE ‘WHY’, ‘WHAT’ AND ‘HOW’ ACROSS THE ENTIRE COMPANY
CLIENT RETENTION
STRATEGIC BUSINESS OBJECTIVES
(e.g. shareholder/stakeholder value)
ILLUSTRATIVE USE OF CUSTOMISED STRATEGY MAPPING AND TOGAF ADM IN THE STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK
PRODUCTIVITY STRATEGIES GROWTH STRATEGIES
COST OPTIMISATION CROSS/UP SELL NEW DEVELOPMENT
CLIENT SATISFACTION SERVICE/OFFER PORTFOLIO SERVICE/OFFER AVAILABILITY
KEY INTEGRATED CROSS-ENTERPRISE PROCESSES (e.g. Sales, Contract management, Mobilisation, Investment, HR…) AND DELEGATIONS
SERVICE ORIENTATION SERVICE/OFFER INNOVATION
BUSINESSMODELTARGETOPERATINGMODEL
TARGET ORGANISATION ARCHITECTURE
•  Execution capabilities and partnerships
•  Business support functions
•  Organisation structure and governance
•  Roles and responsibilities
•  Shared objectives and KPIs
TARGET INFORMATION SYSTEM ARCHITECTURE
•  Data architecture
•  Application architecture
TARGET TECHNOLOGY ARCHITECTURE
•  Components and platforms
•  Performance and maintainability
•  Environments and locations
•  Hardware and networks

DEPENDING ON DESIGN NEEDS, THE STRATEGIC BUSINESS ARCHITECTURE HELIX™
FRAMEWORK BUILDS ON SERVICE ORIENTED ARCHITECTURE PRINCIPLES TO ENSURE
SMOOTH DELIVERY OF INTERACTION AND SERVICE ELEMENTS OF THE TARGET
OPERATING MODEL
OPERATING
UNIT 1
OPERATING
UNIT 2
OPERATING
UNIT 3
SHARED SUPPORT FUNCTIONS (HR, FINANCE ETC)
SLA
A
SLA
B
SLA
C

STEP 3. TRANSFORM
orchestrates
managed transition to the Target Operating Model through
meticulous yet ﬂexible planning, stakeholder monitoring and
proactive change management actions

TARGET
OPERATING
MODEL
THROUGH STRUCTURED APPROACH TO THE TARGET OPERATING MODEL’S ROLLOUT, AGREED GOVERNANCE,
STAKEHOLDER MANAGEMENT PLANNING AND PROGRESS MONITORING, THE STRATEGIC BUSINESS
ARCHITECTURE ANSWERS CRITICAL CHANGE QUESTIONS, PROVIDES TRANSPARENCY AND STREAMLINES
BUSINESS TRANSFORMATION ACROSS THE ORGANISATION
SPEED OF ADAPTATION
§  How long should it take to
transition to the target model?
§  Can we go faster or need to slow
down in some areas?
COMPLIANCE OF ADAPTATION
§  How to ensure that we are getting the agreed
target model by the end of transition?
COST OF ADAPTATION
§  How to make the change aﬀordable?
§  What are the plans not to lose existing
clients or new business opportunities
during transition?
§  Are our teams on-board?
SHORT TERM MEDIUM TERM LONG TERM
CHANGEANDSTAKEHOLDERMANAGEMENT

ADVANTAGES OF APPLYING
THE STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK
•  This comprehensive framework clearly defines stages of translating corporate strategies into
optimised operating models through flexible architectural solutions, which allows an accurate
estimate of the degree of effort required.
•  This is an inclusive framework covering business, organisational, and technological aspects of
the modern enterprise. Analysis of architectural alternatives makes sure that there are no stones
left unturned in search of optimisation for the target operating model.
•  This is a change management-aware framework that deals not only with structures and
systems, but also with the people aspects of the transformation equation.
•  This is a delivery-focused framework that has governance, issue escalation, and resolution
mechanisms built in to ensure the successful transformation journey.
THE STRATEGIC BUSINESS ARCHITECTURE HELIX™ FRAMEWORK HAS BEEN DEFINED, REFINED AND TESTED ON
A NUMBER OF PROJECTS RANGING FROM BUSINESS UNIT OPTIMISATION TO A COMPLETE REDESIGN OF A
TARGET OPERATING MODEL FOR AN ENTIRE GLOBAL COMPANY. ITS BENEFITS OF REALISATION OF STRATEGIC
DECISIONS WITH MAXIMUM EFFICIENCY ARE APPLICABLE TO FOR- AND NOT-FOR-PROFITS ALIKE

KIRILL DEREVENSKI
e: kirill.derevenski@gmail.com
l: www.linkedin.com/in/derevenski
w: strategicbusinessarchitecture.com

Strategic Business Architecture Helix(TM) Framework

Empfohlen

Empfohlen

Weitere ähnliche Inhalte

Andere mochten auch

Andere mochten auch (20)

Ähnlich wie Strategic Business Architecture Helix(TM) Framework

Ähnlich wie Strategic Business Architecture Helix(TM) Framework (20)

Strategic Business Architecture Helix(TM) Framework