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Strategies for capability modelling: analysis based on initial experiences Sergio España, Janis Grabis, Martin Henkel, Hasan Koç, Kurt Sandkuhl, Janis Stirna, Jelena Zdravkovic Authors are ordered alphabetically to reflect equal contributions to this work

Strategies for capability modelling: analysis based on initial experiences

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Strategies for capability modelling: analysis based on

initial experiences

Sergio España, Janis Grabis, Martin Henkel, Hasan Koç, Kurt Sandkuhl, Janis Stirna, Jelena

Zdravkovic

Authors are ordered alphabetically to reflect equal contributions to this work

Agenda1. Introduction2. The three strategies3. Comparative analysis4. Conclusion

Strategies for capability modelling: analysis based

on initial experiences

Capability management tackles business adaptationStrategies for capability modelling Introduction

Businesses need a way to efficiently adapt not only their services but also the IT infrastructure for delivering them.

One of the key features is to explicitly capture the delivery context of customer services and to provide mechanisms for configuring or generating its delivery.

Capability-driven design and delivery (CDD) is an approach developed in the EU-FP7 project CaaS.

FP 7 ICT Programme Collaborative Project no: 611351, http://caas-project.eu 3

Background on Capability-driven design and delivery (CDD)

4

Strategies for capability modelling Introduction

A vision of the CDD methodology.

Berzisa,  Bravos,  González, Czubayko,  España et al. Capability Driven Development: An approach to designing digital enterprises. Business &

Information Systems Engineering 57(1): 15-25(2015)

A capability is the ability and capacity that enable an enterpriseto achieve a business goal in a certain context.

Method components: Capability design Enterprise modelling

Context modelling Reuse of capability design Run-time delivery adjustment

The research problem

5

Strategies for capability modelling Introduction

Recently, work on CDD has focused on strategies for capability management that so far have been designed and applied independently of each other.

The research problem

6

Strategies for capability modelling Introduction

Recently, work on CDD has focused on strategies for capability management that so far have been designed and applied independently of each other.

There is not enough knowledge about the differences among the strategies and their suitability for different enterprise contexts. What strategies for capability modelling have emerged during the

industrial use cases? What are the differences between these strategies? What are the preconditions of each strategy and the organisational

situation under which they are most convenient?

AgendaIntroductionThe three strategiesComparative analysisConclusion

Strategies for capability modelling: analysis based

on initial experiences

Overview of the strategies

8

Strategies for capability modelling The three strategies

The strategies are mainly related to the Design phase. Three strategies have emerged.

Overview of the strategies

9

Strategies for capability modelling The three strategies

The strategies are mainly related to the Design phase. Three strategies have emerged. Each strategy consists of three steps (only step 1 is different):

Step 1. Capability design Step 2. Capability evaluation Step 3. Development of capability delivery application

Overview of the strategies

10

Strategies for capability modelling The three strategies

Berzisa,  Bravos,  González, Czubayko,  España et al. Capability Driven Development: An approach to designing digital enterprises. Business &

Information Systems Engineering 57(1): 15-25(2015)

The three strategies are based on the CaaS metamodel (i.e. they share the same conceptual basis). class Capability metamodel

CapabilityGoal

Indicator

Context Indicator

KPI

Context Set

ProcessProcess VariantCapability Delivery Pattern

Context Element Range

Measurable Property

Context Element

Context Type

ResourceContext Situation

Context Element Value

0..*

↑ supports

1..*

0..*

↑ measured by

0..1

1..*

← measured by

0..1

1 1..*

1..*↓ influences

0..*

*

→ fulfills

1

0..*

↑ supports

1

1..*

↓ used for

1..*

1 *

1

↓ has

0..*

1..*

↓ motivates

1..*

1..*

↑ consists of

1

1

← designed for

0..*

1

↑ used for

0..1

11..*

1

↑ consists of

1..*

11..*

1

↓ has

1..*

1..*

→ measures

0..1

Goals-first capability design

13

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

14

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goal model

Experience:The starting point can either be goals / visions or existing issues.

Goals-first capability design

15

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goal model

KPI definitionGoal KPI How it is measured Expected value

G-RS-1 To optimize SOA platform

Aggregation of all goals that support

Adding the value of all the goals

4 out of 5 sub goals achieved

G-RS-2 To improve users satisfaction

Percentage of customers who rate

their experience with SOA platform as “Very good” or

“Good”

Percentage of customers who rates their

experience with SOA platform as “Very good” or “Good”/ Number of customers who rates.

Percentage of customers who rates their experience with SOA platform as “Very good” or “Good”/ Number of customers who rates >

75%

G-RS-9 To be able to provide the service registration

Registration service availability

To be able to provide the service(Yes/No) ,

available time service and received requests

Yes and time service available > 99% of time and to be able to handle > 95%

of received requests

G-RS-13 To provide a fair treatment with waiting lists

People in waiting list

Measuring the time people join the waiting

list compared to the order of it. The early the

citizen registers, the higher in the waiting list

Number of people in waiting list < 20

Goals-first capability design

16

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goal model

KPI definitionGoal KPI How it is measured Expected value

G-RS-1 To optimize SOA platform

Aggregation of all goals that support

Adding the value of all the goals

4 out of 5 sub goals achieved

G-RS-2 To improve users satisfaction

Percentage of customers who rate

their experience with SOA platform as “Very good” or

“Good”

Percentage of customers who rates their

experience with SOA platform as “Very good” or “Good”/ Number of customers who rates.

Percentage of customers who rates their experience with SOA platform as “Very good” or “Good”/ Number of customers who rates >

75%

G-RS-9 To be able to provide the service registration

Registration service availability

To be able to provide the service(Yes/No) ,

available time service and received requests

Yes and time service available > 99% of time and to be able to handle > 95%

of received requests

G-RS-13 To provide a fair treatment with waiting lists

People in waiting list

Measuring the time people join the waiting

list compared to the order of it. The early the

citizen registers, the higher in the waiting list

Number of people in waiting list < 20

Experience:Guidance needed!E.g. “What would be a lead indicator to show when there is a high risk that my capabilities will not fulfill the goals?”

Goals-first capability design

17

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Capability identification

Capability id Capability name Goal id

CP1 Dynamic Service Registration G-RS-9

CP1.1 Dynamic Marriage Registration G-RS-10

CP1.2 Dynamic Swimming Pool Registration G-RS-11

CP2 Safe Payment Provision G-RS-16

Simple view of the capability model

Goals-first capability design

18

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

19

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

20

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Context model (graphical)

Goals-first capability design

21

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Context model (graphical)

Context model (tabular)

Context Element C.E. Ranges Meas. property Value determination Capability

Online payment availability

[Available; Not available]

Online payment availability Nagios report

CP1 – Dynamic Service Registration

CP2 – Safe Payment Provision

Type of the day

[Working day; Weekend; National holiday]

Type of the day isWorkingDayDBQuery(Day, Municipality)

CP1 – Dynamic Service Registration

Temperature

[Cold; warm] Degree Centigrade

If DegreeCentigrade (date, location) >

20ºThen value = warm

Else value = cold

C1.2 – Dynamic Swimming Pool

Registration

Municipality size (Citizens) [Numeric] Number of

citizensnumberOfCitizens(M

unicipality)CP1 – Dynamic Service

Registration

Geo location [Numeric] Geo location SOA report CP1 – Dynamic Service Registration

Goals-first capability design

22

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

23

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Context model

Context model

Goals-first capability design

24

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Context model

Context model

Context-aware business process model

Goals-first capability design

25

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

26

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Goals-first capability design

27

Strategies for capability modelling The three strategies

G1. Analyse the overall business vision and goals

G2. Identify specific capabilities required by goals

G3. Analyse the existing business processes

G4. Identify and model the context affecting the identified capabilities

G5. Analyse and define process variants

G6. Model delivery adjustments

G7. Review and/or incorporate relevant patterns

not entirely sequential,

but iterative and incremental

Pattern specificationName Payment process

ProblemIf there is few payment options available, the risk is that the payment cannot be done, and the service will not be used.

Context Online payment availability

Solution

Usage guidelines

The process offers two options to provide a payment method, if the online method is not available, then a bill is printed.

Keywords Payment methods.

Process-first capability design

29

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Process-first capability design

30

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Experience:Select the business service with a high quality of process description

Process-first capability design

31

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Process-first capability design

32

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Process-first capability design

33

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Process-first capability design

34

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Goals Model

Process-first capability design

35

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Simplified view of capability-goal-process relation

Process-first capability design

36

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

P3. Identify processes/ activities/ tasks

Experience:Guidance needed!Distinguish variability from standard decisions

Experience:Guidance needed! Differentiate between process variables and context elements: Both originate during process execution

Context Model (Tabular)

Context Model (Graphical)

Process-first capability design

37

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Process-first capability design

38

Strategies for capability modelling The three strategies

P1. Define scope P2. Define level of granularity

P3. Identify processes/ activities/ tasks

P4. Analyse exiting BPM and refine if necessary

P5. Identify/ name capability to be delivered

(P6) Update or (P7) develop goal models and KPI

P8. Relate goals, capabilities, processes

P9. Identify and model context

P10. Model delivery adjustments

P11. Link components

Concept-first capability design

40

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Concept-first capability design

41

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Concept-first capability design

42

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Experience:Capability definition slightly more complex, since both process and goal models have an inherent level of hierarchy

Concept-first capability design

43

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Experience:Complexity of mapping capabilities to goals and processes: One identified capability was mapped to several goals.

Concept-first capability design

44

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Context Model (Graphical)

Concept-first capability design

45

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Concept-first capability design

46

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

Concept-first capability design

47

Strategies for capability modelling The three strategies

C1. Analyse the existing concepts

C2. Elicit candidate capabilities

C3. Analyse dependencies between identified capabilities and existing business processes & goals

C4. Identify the context affecting the identified capabilities

C5. Analyse and define process variants

C6. Model delivery adjustments

C7. Review and/or incorporate relevant patterns

AgendaIntroductionThe three strategiesComparative analysisConclusion

Strategies for capability modelling: analysis based

on initial experiences

Strategies for capability modelling Comparative analysis

Aspect of comparison Strategy

Goal-first Process-first Concept-first

Primary view on capabilities

A capability fulfils key organisational goals

A capability are operationalised as set of processes

A capability encompass the management of key concepts

Preconditions with respect to models

Ideally, top-level organisational goals should be defined.

Pre-existing business process specifications or process-oriented culture.

Pre-defined management structures, product structures or other conceptual models.

Stakeholders required

Different levels of management personnel

Domain experts, product owners, strategic management.

Product managers/owners

Effects on the succeeding steps

Provides a comprehensive base for capability monitoring by the use of KPIs.

Provides a detailed specification for context-aware variability management.

Provides a base for having the concept of capabilities as the main subject for organisational analysis and change management.

49

Strategies for capability modelling Comparative analysis

Aspect of comparison Strategy

Goal-first Process-first Concept-first Characteristics of enterprise

Organisations with a high degree of adaptable/non-routine work.

Mature organisations with well-established processes.

Organisations with a well-defined and stable organisational or product structure.

Degree of flexibility of the strategy

Can also start with visions or existing issues. Highly iterative and incremental modelling process.

The strategy can cope with ill specified goal or concept models. Process reengineering requires thorough revision of capability designs.

Can cope with different levels of concept granularity. The drivers for capability definition are slightly more complex. Is flexible with regard to the degree of specification of business processes.

Impact on the organisational culture

Reinforces strategic vision and clarifies the IT-business alignment.

Improves the perspective of the enterprise (or service) context.

It brings perspective over the organisational concepts by identifying (highly-cohesive and lowly-coupled) groups of concepts.

50

AgendaIntroductionThe three strategiesComparative analysisConclusion

Strategies for capability modelling: analysis based

on initial experiences

Conclusion

52

Strategies for capability modelling Conclusion

Capability Management tackles business adaptation Capability-driven design and delivery (CDD) is an approach for

capability management developed in the EU-FP7 project CaaS CDD approach is supported by a set of method components Recently, work on CDD has focused on strategies for capability

management Each strategy consists of three steps, capability design, capability

evaluation and development of capability delivery application. They share the same conceptual basis, namely the CaaS-meta model There is not enough knowledge about the differences among the

strategies and their suitability for different enterprise contexts

Conclusion

53

Strategies for capability modelling Conclusion

Proposal and comparison of three different strategies for capability modelling. Goals-first strategy: Capabilities exist as a way to fulfil long-term business

objectives. Suits organisations with a high degree of adaptable/non-routine work.

Process-first strategy: Capabilities delivered through enacting business processes. Suits organisations with well-conceived and stable business processes

Concept-first strategy: Capability identification via a group of concepts and their relation to other groups. Suits organisations with well-defined products or organisational structures

Future work Goals-first strategy: Guidelines for the identification of KPIs that can be used for

the monitoring of capability delivery Process-first strategy: Guidelines to identify context elements, to distinguish

variation points from decision logic and to model process variability efficiently Concept-first strategy: Guidelines to identify capabilities and relate them with

goals/ processes

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