The document summarizes an architecture initiative undertaken by Action Research Foundation to transform an organization's IT operating model. The initiative involved applying TOGAF and IT4IT frameworks to architect the next generation service provider organization. Key aspects included establishing an architecture capability, governance processes, and iteratively developing visions and architectures. The delivered solution established function and people management services to improve alignment and establish an innovation ecosystem needed for the target operating model of a customization studio.
Horngren’s Cost Accounting A Managerial Emphasis, Canadian 9th edition soluti...
Architecting Next Generatio IT Operating Models Using IT4IT and SFIA
1. Architecting the next generation IT
Service Provider Organisation using
TOGAF® with IT4ITTM RA and SFIA 6TM
An Action Research Foundation Case Study
Sukumar Daniel, Principal Architect & CEO,
Action Research Foundation
1
2. Agenda
• Architecture Initiative – Background
• 4 Questions for the Architects to Answer
• Delivered Solution Overview
• Conclusion
2
3. Strategic Objective for the Architecture
“Create a paradigm
shift and transform
ways of working; to
meet evolving
customer
requirements while
improving business
results and achieving
people happiness”
33
“If you don’t know where you are going, you will end up some place else” – Campbell.
Mechanic Shop
Mentality
Customisation
Studio Mentality
5. Architecture Driven Transformation
5
Needs an
Integrated
Approach in
Architecting,
Construction &
Deployment
Source: Defining “IT Service” for the IT4IT Reference Architecture, Keith Jahn – HP, Charlie Betz – Armstrong Process Group
We Used TOGAF
6. Key questions to be answered
• What impact does technology disruption have on a customer’s business
environment and on the ‘Business – IT’ relationship?
– Changing needs of business driven by competition deploying disruptive technologies is forcing
organisations into the digital age where the fundamentals of customer relationship and service delivery
models are changing.
• What could the next generation CIO organisation, IT operating model, look like?
– for customer CIO organisations transitioning to 2 Speed IT, and operating a multi-sourced it service
delivery model; that leverages disruptive technologies required for transitioning to a digital era?
• What could the next generation ESPO organisation, IT operating model, look like?
– If the CIO organisation is required to divest itself of Legacy Integration Responsibilities and become a
broker; there is a powerful opportunity for an SPO to move up the value chain; become the service
owner; take over the service’s supply chain; and manage the service outcome across the multi-sourced
delivery model.
• What are the required changes to people mindset and ways of working?
– By adopting the Next Generation IT Operating Model. Businesses expects IT to transform from a Repair
Shop to a Customisation Studio and become a strategic asset. People are the key to the success of this.
This requires a shift in mindsets, it requires the establishment of an Innovation Eco-System 6
7. TECHNOLOGY DISRUPTION IMPACT
ON BUSINESS – IT RELATIONSHIP?
- Changing needs of business driven by competition deploying
disruptive technologies is forcing organisations into the Digital Age
where the fundamentals of Customer Relationship and Service
delivery models are changing.
7
10. 2 Speed IT – Strategy for dealing with
disruption
10
Speed 1 Speed 2
According to Gartner, “Bimodal
(2 Speed) IT is getting a lot of
focus as CIOs and IT leaders strive
to build IT organizations capable
of responding to the threats and
opportunities of the digital
economy; While maintaining and
enhancing traditional
infrastructure and services…
• 3 out of 4 organisations in the
next few years
• Mode 1 is traditional IT; Mode
2 is Agile, New Gen IT.”
11. WHAT COULD THE NEXT GENERATION
CIO ORGANISATION, IT OPERATING
MODEL, LOOK LIKE?
- for Customer CIO organisations, transitioning to 2 Speed IT, and
operating a Multi-Sourced IT Service Delivery Model; that leverages
disruptive technologies, required for transitioning to a Digital Era?
11
12. Legacy Technology Delivery Silo Organisation
12
Service Consumers
CIO Organisation as Service Owner (Integrator)
CIO App Support SILO
APP Support Service
Provider
Infra Support Service
Provider
Network Support
Service Provider
Business Governance
Business Service
Management
Service Provider
Governance
Service Provider
Management
CIO Infra Support SILO CIO Network Support Silo
Service Provider
Governance
Service Provider
Governance
Service Provider
Management
Service Provider
Management
CIO App Development
SILO
APP Development
Service Provider
Service Provider
Governance
Service Provider
Management
Next Generation Operating Models
moving from a technology delivery silo
organisation to a value chain model that
promotes value-based consumption, greater
cost transparency and multi-sourced delivery
of a broad-based service portfolio.
14. CIO As Broker
New Ways of Thinking and Being
• Consider the example of an Organisation which uses Service
Now in a SAS mode.
– What is the Role of the Business Process Owner?
– What is the CIO organisation role here?
– What are the Integration Requirements?
– What are the Orchestration Requirements?
– Who is the Service owner?
• Can a complete ERP like SAP be provided in the SAS Mode?
– CIO Organisations which are keen on releasing themselves from
Operational responsibilities of Service Ownership need to
establish new relationship paradigms with Enterprise Service
Providers.
14
By the Way Its
Already Available
15. NEW OPPORTUNITIES - NEXT
GENERATION, ESP ORGANISATION IT
OPERATING MODEL
What will be Likely Operating Model for the Next Generation Enterprise
Service Provider (ESP) who will play the role of Service owner or
Component Service Provider
15
16. ESPO as Service Owner / Component Service
Provider – Release CIO for Strategic Work
16
Legacy IT Operating Model
Next Generation Operating Model
Next Generation IT
Enterprise Service
Provider Organisation as
Service Owner
(Integrator)
In order to fulfill its changed
strategic responsibilities the
CIO organisation needs to be
less operational and more
strategic or become a broker
3rd Party Component
Service Provider
Organisations
17. IT4ITTM RA – Why, What, Who, When, How
17
Multi-Sourcing
Requires Function
Design at Each
Layer
IT Functions and Actors in Multi-Sourced Service
Delivery Model require appropriate RACI
19. What will be the New Multi-Sourced Technical
Function RACI
19
Scope of Control of Next Generation ESP –
R2D and D2C (DevOps would include R2D)
RACI for each IT4IT Function Component could
be Fully Owned, Repeated, Shared Partially
between CIO-Broker, ESPO – SO, ESPO – CSP
20. WHAT ARE THE REQUIRED CHANGES IN
PEOPLE MINDSET AND WAYS OF
WORKING?
Establishing a Customisation Studio mindset required an Innovation Eco-
System to be in place
By adopting the Next Generation IT Operating Model; Businesses expects IT
to transform from a Repair Shop to a Customisation Studio and become a
strategic asset. People are the key to the success of this. This requires a shift
in mindsets; it requires the establishment of an Innovation Eco-System
20
Change Challenge –
Customisation
Studios need an
Innovation Eco-
system
22. How the industry is reducing integration
instead of improving it
22
Performance Assessment Using
the Bell Curve
• Why have Google, Cisco, Infosys,
Capgemini etc., thrown it out of the
window?
• Why is there always dissatisfaction
amongst members and managers at the
end of an appraisal and reward fixing
cycle?
• What kind of trust can members have in
an organisation where performance and
reward are not always tightly coupled.
• Direct impact on Members – Do only
Minimum required.
25. FCM & PCM services designed to improve alignment
required for establishing Innovation Eco System
25
Higher the degree of
integration moves
individuals from doing
‘Minimum Required’
(Mechanic Shop
Mentality) to ‘Innovating
Value’ for customer,
organisation and self
(Customisation Studio
mentality)
Function Capability Management
Services (FCM)
People Career
Management Services
26. HOW PEOPLE CAREER MANAGEMENT
(PCM) SERVICES ADDRESSES
INDIVIDUAL NEEDS
26
27. Career Stages and Needs – A lifetime perspective
Based on SFIA – Responsibility and Skill Levels
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Retirement
Self Actualisation
Age 60
Architect / Consult / Coach /
Teach / Mentor
Safety, Security,
Physiological
Exploration
Age 20
Follower
0 – 2 Years
Establishment
Safety, Security
Age 25
Assist
Apply
Enable
2 – 4 Years
Advancement
Achievement,
Esteem, Autonomy
Age 30
Ensure
Advice
4 – 10 Years Maintenance
Esteem, Actualisation
Age 45
Initiate
Set Strategy
Inspire
Mobilise
10 – 40 Years
Life - Career Pathway
28. Information Age Skill & Career Focus Options
Based on SFIA – Skill Categories
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Strategy and architecture
• Information strategy
• Advice and guidance
• Business strategy and
planning
• Technical strategy and
planning
Change and transformation
• Business change
implementation
• Business change
management
Development and implementation
• Systems development
• User experience
• Installation and integration
Delivery and operation
• Service design
• Service transition
• Service operation
Skills and quality
• Skill management
• People
management
• Quality and
conformance
Relationships and engagement
• Stakeholder management
• Sales and marketing
29. Using SFIA to establish a Career Position and
Capability Growth Ladder (Horizontal)
29
IT Skill Levels
Growth
Level
30. 4 Attributes of an Individual Capability Growth
Based on SFIA – Level Attributes
31. Technical Function Positions
31
TF Growth
Path
FlexModeFunctionCapabilityArchitecture
1 position
I Position
3 Positions
7 Positions
TechnicalFunctionPositions
33. HOW FCM MEETS ORGANISATIONAL
DEMANDS
The FlexMode Function Capability Architecture – Meeting Organisational
Demands for establishing an Innovation Eco System and establish a
Customisation Studio Operating Model
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34. Normative Standard is not Prescriptive on
Function capability Architecture
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Functional Component from IT Value Chain
Capability Component from FlexMode Technical Function Value Chain
36. PUTTING IT TOGETHER -
RECOMMENDED FUNCTION ROLE
PROFILE LATTICE AND SUB-PROCESS
ROLES
36
37. FlexMode Recommended Role Profile Lattice –
Integrates 3 Core ABB
37
Horizontal Rows Identify
Positions in the SPO
Function Architecture –
Technical Function is SFIA
Level 1 - 4
VerticalColumnsIdentifythe
FunctionValueStreamCapability
Requirements
Sub-ProcessRolesdrawn
fromIT4ITfortifiedwith
CSIcomponentsfrom
FlexMode
38. Who are you? Find your position in the
Recommended Function Role Profile
Your Position
Your SPR
Your SPRYour SPR
Your SPR
Your SPR
Your SPR
Your SPRYour SPR
Your SPR
40. A VIEW OF THE DELIVERABLES
The Architecture Team delivered the following.
• Selected Documents for iterative application of TOGAF ADM
• Archimate illustrations and views of Business Architecture, Data Architecture, Application Architecture. (Existing
Infrastructure Architecture was deployed)
• Architecture Validation Model with library content for various Capability Parameters
• Detailed Application Requirements
• Staged Capability Increment Road Map and Prototype Roll Out Plan
• Train the trainer Programs for Function Capability Management delivered to Prototype Team Managers
• Train the trainer Programs for People Career Management delivered to Prototype Team Members
• Library Content Validation, including validation of Task Descriptions and applicability in the Application Management
Service Area
• Validation and Scaling Plans
40
42. OUTCOME - CREATING VALUES FOR
CUSTOMER, BUSINESS AND SELF
Knowing yourself, is the first step in a Career Journey…
Knowing what you want and how to get there systematically is the
capability Phoenix provides members
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43. Proto Roll Out – Low Hanging Fruit Gathering
• Establish a Baseline Capability for Prioritized Function Value Streams, take
systematic action to demonstrate improvement of Capability by operating the
FCM and MCM Services.
– Members Understand the activities in the Job Description, area able to accurately assess their
Capability for assuming the RASCI responsibilities documented in the activities list of
prioritized Value Stream SPR.
– Members and their Managers are able to identify L&D plans to ensure that required
capabilities are developed, where they are already in existence, provide opportunities for
evidencing the capability
– Demonstrate Outcomes through the Identification of Improvement Opportunities.
• Identify and Record actionable and valuable Improvement opportunities with
special focus on Automation opportunities for Self-Help, Diagnosis,
Remediation, Health Check, Process Improvement
• Propose Innovative solutions for improving Business Results or eliminating
waste in a Business Process
43
Click To
See Proto
Result
Fresher
Click To
See Proto
Result
SME
44. Paradigm Shift in Performance driven by the
Innovation Eco-System
44
FlexMode – Transparent Continual Assessment
Individual performance in BAU and Improvement actions evaluated
continuously through delivery quality assessment and meeting targets
Every action and contribution is evaluated and performance scores (stars)
are assigned at the time of delivery objectively.
All contributions are objectively tracked and records maintained for
transparency, these include IOR lifecycle activities including mentoring
No normalization process, evaluation is rated and delivery ranking is
visible to all members including the records of Contribution.
Results are visible to members in real time and provides impetus to
contribute and improve delivered value.