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EA @ Alfa Laval- the first 360 days -
SWEAN #15, 9-10/12
Hans TroizaChief Enterprise Architect+46 709 [email protected]
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Agenda
• Alfa Laval
• One Alfa Laval
• New Corporate IT
• The EA initiative
© Alfa Laval
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ALFA LAVAL
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Gustaf de Laval (1845-1913)
“The Man of High Speeds”
• 200 projects and inventions
• 92 patents, including the milk separator (1878) and the steam turbine (1883)
• Started 37 companies
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Alfa Laval is a leading global provider of specialized products andengineered solutions.
The company
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Activities
We help customers to heat, cool, separate and transport products such as oil, water, chemicals, beverages, foodstuff, starch and pharmaceuticals.
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Our corporate mission
To optimize the performance of our customers’ processes. Time and time again.
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Beverages
Biofuels
Biotech
Chemicals
Food
Heating and ventilation
Hydraulics
Industrial fermentation
Latex
Machinery
Marine and diesel
Metal working
Mining
Oil and gas
Pharmaceutical
Oil refinery
Power
Pulp and paper
Refrigeration and cooling
Semiconductor systems
Textiles
Waste water treatment
We serve most industries
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Key Technologies
SeparationFluid Handling
Heat Transfer
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Key technologies
Our key technologies are adapted to each customer segment and offered separately or combined into optimized solutions.
Separation
Fluid Handling
Heat Transfer
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ONE ALFA LAVAL
© Alfa Laval
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The legacy- Up to year 2000 -
• Product-oriented BAs– Separation
– Thermal
– Flow
– Automation
– Food
• Market companies– Sales
– IT
– HR
– Finance
– Etc.
• IT – organized per business area
What is good for the Business Area is good for Alfa Laval!
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The Journey- The start of the latest change -
• Industri Kapital main owner from mid 2000
• Product-oriented BAs replaced by customer-centric Segments grouped into Divisions in January 2001
• Alfa Laval re-introduced at Stockholm stock exchange in May 2002
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The Journey- Beyond expectations -
• Started -00• ”WHAT we are doing is not that different – what differs is HOW we do it!”
– A learning from the past• Organisation per main Business Type rather than per Product
• Process Technology Division– Long sale´s cycle – projects– Engineered solutions– Relatively few orders, high value per sale
• Equipment Division– Short sale´s cycles– Commodities– Low value per sale
• Operations Division– Manufacturing centres– Distribution centres
- we need effective low cost processes -
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The Journey - Centralization & Focus -
• IT Corporate functions with resources centrally organised
• From ”Market Companies” to ”Sales Companies”• Focus on sales only• Finance, and IT organised in ”Shared Service” (WE Sales
Companies only)
- we need effective low cost processes -
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NEW CORPORATE IT
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New Corporate C-IT organization- pre-study -
• Based on findings from the– Centralization from year 2000– Large initiatives like
• One4AL, PULSE & new .com site
– Offshore initiatives– ITIL implementation– Interviews with C-IT & LoB
• Topics– Enterprise architecture– Sourcing– Project office– IT Governance– ITIL compliance
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Some answers from the business
- It would have been easier to control an external part than C-IT because then we could refuse to pay the bill
- Bad delivery precision in cost
- C-IT too introvert
- Result of face to face meeting with C-IT seldom result in solutions with business value
- When the IT solutions are delivered the strategy or business goals have changed.
- No long term view on solutions approved in project specifications.
- Improvements needed in Testing and Training- Bad delivery precision in time
- Service Desk tickets are closed without having confirmed with users that the problem is solved
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New C-IT organization- Basic Concept -
Governance
SupplyDemand
Enterprise Architecture
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THE EA INITIATIVE
© Alfa Laval
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Challenges- for Alfa Laval & IT -
• To optimize our processes – time and time again– IT: More cost effective and robust solutions
• Different industries have different behavior which needs to be satisfied– IT: Business support for different sales & supply demands
• Many combinations of products in our offerings– IT: Many business support solutions – one view for the user
• Global presence– IT: Global business processes needs global support
• Lead time for changes have shortened – substantially– IT: Business support needs to be implemented more rapidly
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EA@ Alfa Laval- the first 100 days -
• Re-vitalize the pre-study– Together with Gartner
• Build a communication package for LoB– Communicate, Communicate, Communicate, …
• Create a virtual team & organization– Training by Gartner
• Make an initial prioritization
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Business projects- Initial prioritization from EA-
Increase the e-commerce scope
Global Quote to Order process
One4AL – Order to Cash
Improved Claim processes
Life Cycle mgmt of products
TTM
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EA@ Alfa Laval- the next 260 days -
• Get EA included in the Alfa Laval's project process
– Established an IT Design authority – facilitated by EA
• Start to work with the prioritized initiatives
– Get buy in for how to prioritize
– Engage the virtual team
• IT board foot print
– Business information requirements for prioritized projects
– First road map for Corporate agenda projects
• Continue to,
– Communicate, Communicate, Communicate, …
• First set of guiding principles
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CorporateAgenda
Prioritized initiatives
• The EA work focuses on the main processes and projects extrapolated from the Corporate Agenda that has a direct IT impact.
People Process Innovation Customer
Inititatives
Prime Performance Time to market Prime PerformanceE-Business
Pricing
Projects
Intranet IntranetClaims
TaxonomyGEDS
Quote2Ordere-Commerce
Intranete-Commerce
Quote2Ordere-Commerce
BullseyeOne4AL
GEDS
The intention is to expand the EA future Roadmap as new projects are initiated and prioritized
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© Alfa Laval
The IT Board foot print
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First set of guiding principles- Challenge -
• We do recognize that this focus implies that we define common shared processes, we create non-redundant information, and we group technology requirements where possible and we reduce solution duplication
Business ChangeDon´t plan to change
the same process more than once
Information Change
Don´t plan to create redundant databases
Technology Change
Consider grouping closely related
technology changes
Solution ChangeReduce (or
eliminate) whole or partial solution redundancies
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Next steps- 2011 Outlook -
Some activities• Constitute & Run the IT Design Authority as agreed in IT Board
– Secure target architecture according to a Service oriented approach.
• Develop, Deliver & Communicate strategic project portfolios in a road map format
• Secure Platform/Application roadmaps from Competence centers
• Deliver input to project portfolios to demand
• Support and participate in governance activities
• Run the EA office and its virtual team
• Communicate & Sell
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QUESTIONS
Tack!
© Alfa Laval