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The Business Value of The Business Value of Reference Model Reference Model Architectures Architectures William A. Estrem Ph.D. William A. Estrem Ph.D. College of Business College of Business University of St Thomas University of St Thomas Minneapolis, MN USA Minneapolis, MN USA

The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

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Page 1: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

The Business Value of The Business Value of Reference Model Reference Model

ArchitecturesArchitecturesWilliam A. Estrem Ph.D.William A. Estrem Ph.D.

College of BusinessCollege of BusinessUniversity of St ThomasUniversity of St ThomasMinneapolis, MN USAMinneapolis, MN USA

Page 2: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

ObjectiveObjective

Explore the issues and customer priorities Explore the issues and customer priorities in the reference model architectures in the reference model architectures presented:presented: U.S. Department of DefenseU.S. Department of Defense Federal Information ArchitectureFederal Information Architecture Homeland SecurityHomeland Security Vendor FrameworksVendor Frameworks Customer Internal FrameworksCustomer Internal Frameworks

Page 3: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

God invented the heavens and the God invented the heavens and the earth in seven days…earth in seven days…

but he didn’t have an installed base…but he didn’t have an installed base…(p=0.8)(p=0.8)

Gartner GroupGartner Group

Page 4: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

An Important Reference ModelAn Important Reference Model

PHYSICAL

DATA LINK

NETWORK

TRANSPORT

SESSION

PRESENTATION

APPLICATION

Page 5: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Extending the Model to Reflect Extending the Model to Reflect Enterprise RealitiesEnterprise Realities

PHYSICAL

DATA LINK

NETWORK

TRANSPORT

SESSION

PRESENTATION

APPLICATION

POLITICS

RELIGION

Page 6: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Value of Reference ArchitecturesValue of Reference Architectures

Architecture must inform decision-makingArchitecture must inform decision-making Guiding technological evolution in alignment with Guiding technological evolution in alignment with

business objectivesbusiness objectives Structuring information content to meet business Structuring information content to meet business

needsneeds Defining the business logic and process flowDefining the business logic and process flow Defining the technology infrastructureDefining the technology infrastructure

Page 7: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Determinants of Technology Determinants of Technology StrategyStrategy

Source: Burgelman, et. al. (2001).

StrategicAction

IndustryContext

OrganizationalContext

TechnologyEvolution

TechnologyStrategy

External Environment

Internal EnvironmentG

ener

ativ

e M

echa

nism

s

Inte

graa

tive

Mec

hani

sms

Page 8: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

The CASA Wheel circa 1985The CASA Wheel circa 1985

The Society of Manufacturing The Society of Manufacturing Engineers (SME) and its Engineers (SME) and its Computers and Automated Computers and Automated Systems Association (CASA) Systems Association (CASA) created its original “CIM Wheel” created its original “CIM Wheel” Enterprise Model in 1985Enterprise Model in 1985 An architectural model for An architectural model for

Computer Integrated Computer Integrated ManufacturingManufacturing

Focused on tying technical Focused on tying technical systems across functional areassystems across functional areas

Rationale: Reducing islands of Rationale: Reducing islands of automation automation

IntegratedSystem

Architecture

Page 9: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

The CASA Wheel circa 1992The CASA Wheel circa 1992

CASA created the current CASA created the current Manufacturing Enterprise Manufacturing Enterprise Model in 1992 Model in 1992 Customer FocusedCustomer Focused Empowering PeopleEmpowering People Leveraging Shared Knowledge Leveraging Shared Knowledge

SystemsSystems Integrating ProcessesIntegrating Processes

Customer SupportCustomer Support Product/Process designProduct/Process design ManufacturingManufacturing

Extending the EnterpriseExtending the Enterprise External ResourcesExternal Resources Corporate ResponsibilityCorporate Responsibility

Page 10: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

LEGAL

SOCIETALENVIRONMENTAL

The CASA Wheel circa 2003The CASA Wheel circa 2003

PROCESSES

STAKEHOLDERS

Page 11: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Being VirtualBeing Virtual

Inward focused Core Business Processes and Applications

Production

Finance &Management

MarketingSalesCustomer Care

R&D &Engineering

Procurement Distribution Supply Chain Logistics

CUSTOMERS

PARTNERSSUPPLIERS

DISTRIBUTORS

Page 12: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Integrating the Virtual Integrating the Virtual EnterpriseEnterprise

I MARKETS

CUSTOMERLEGACY APPS

ENTERPRISE APPLICATIONS

VENDOR MGMT

VALUE/SUPPLY CHAIN

ENTERPRISE

Components

Page 13: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Toward the Boundaryless Toward the Boundaryless OrganizationOrganization

Cultivating a Healthy Hierarchy Cultivating a Healthy Hierarchy How much structure is needed?How much structure is needed? How flat should we be?How flat should we be? How many layers should there be?How many layers should there be? How centralized/decentralized?How centralized/decentralized?

How can we define an How can we define an architecture the enables thearchitecture the enables theorganization to adapt to organization to adapt to change over time?change over time?

Page 14: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

The Open Group Architecture Framework – The Open Group Architecture Framework – Technical Reference ModelTechnical Reference Model

Qualities

Qualities

Infrastructure Applications Business Applications

Communication Infrastructure

Communications Infrastructure Interface

Network Services

Operating System Services

System & Netw

ork M

anagement

Software Engineering

Application Programming Interface

Data Managem

ent

Location & D

irectory

Data Interchange

International Operations

Transaction Processing

Security

Graphics & Im

age

User Interface

Business Languages

Business Process

Page 15: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Directory ServicesDirectory Services

TOGAF TOGAF InIn33

MobilitMobilityy

Information Provider Services

ManagementUtilities

Brokering Services

DevelopmentTools

Information Consumer Services

PerformancPerformancee

ManageabilitManageabilityy

SecuritSecurityy

Page 16: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

““The great thing about standards is that The great thing about standards is that there are so many to choose from…”there are so many to choose from…”

Page 17: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

Architecture and Standards are Architecture and Standards are ComplimentaryComplimentary

Architecture without standards: Nobody knows what they should do.

Architecture-driven standards: Do what makes sense.

Standards without architecture:The standards police:

Enforcement of arbitrary rules.

Source: Bob LewisSource: Bob Lewis

Page 18: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference

““Make things as simple as Make things as simple as possible, and no simpler.”possible, and no simpler.”

Albert EinsteinAlbert Einstein

Page 19: The Business Value of Reference Model Architecturesarchive.opengroup.org/public/member/proceedings/q403/amm...Objective Explore the issues and customer priorities in the reference