Architecture of Business
An Architecture of Business is a new concept that explains why our business organisations are as they are and why they react to management and market changes in the way they do.
By business we mean any activity of people that is performed in order to provide real world effect, particularly, sutisfying a consumer demand, and provide a revenue – directly or indirectly. It may be a production of cars, or a charity for people suffering from a disease. In the former case, revenue is generated by the direct activities; in the latter case – the revenue comes indirectly, from the donating people that sponsor those who help others to fight the illness. Also, we consider that a business organisation is a formally organised group of people while an enterprise is an informal groups pf people collected together due to sharing some interests of problems. In the contrast, the IT language, particularly, TOGAF, reverses these definitions.
An Architecture of Business (AoB) is an overarching concept occupying all space between corporate strategy and target operating model. The AoB incorporate the Intrinsic (Organic) Business Architecture and adheres to the principles of Service Orientation, concept of Service-Oriented Ecosystem in the business realm and specifics of Dynamic Business Architecture. Technology and related architectures fit into the AoB via category of ‘resources’ – one of the three parts of any Business Capability, which is defined and described here. Preliminary idea is that AoB may be the same or a part of an Architecture of Enterprise though this requires a further investigation.
You may expects more publications on this topic as well as webinars, workshops and training cources coming soon.
The presentation “Architecture of Business: from corporate strategy to optimal Target Operating Model” preformed for the Enterprise Architecture Summer School 2016, Copenhagen, Denmark.
Dynamic business architecture is a Architecture of Business that is built with consideration of dynamic changes dictated by the economic environment.
Business architecture is at the point of split between the needs of slow moving markets and fast moving markets. A slow moving business architecture, also called Traditional Business Architrecture (TBA) can continue to perform and satisfy in certain sectors of economy and countries, but it cannot address the needs of fast moving markets that require dynamic capabilities by design, not by usage as the Dynamic Capability Theory of Prof. D. Tecee defines.
A dynamic environment does not leave enough time for correcting business architectural mistakes. If a company is successful in the dynamic market, this means that its business architects exercise the natural architecture embedded in the system of business organisation and known as an Intrinsic Buisness Architecture (IBA).
The presentation on IBA (organic business architecture) preformed for the BPM&CM Summit 2015, Washington, DC, USA
The presentation on the subject of Architecture of Business conducted for IASA on 20 April, 2016
Answers to the questions from the IASA audience may be found here.
One of the major instruments and outcomes of the work of buinsess architects is Business Capability. You can find a new book targeting a Business Capability for a dynamic market here.
BLOGs and Articles about Dynamic Business Architecture
BLOG 1: Organic Business Architecture and its Mission in the Business Organization
BLOG 2: SOA on a Rescue Mission to Business Architecture
BLOG 3: Where the Strategic Business Solutions come from?
BLOG 4: How to Sell Business Architecture to Corporate Executives?
BLOG 5: Anti-Pattern for the Modern Business Architecture?
Why Dynamic Business Architecture requires dynamic business management
Why Business Managers Cannot Create Corporate Business Architecture
Do We Do Architecture or Do We Not?
10 Questions to Business Architects
Natural Business Architecture vs. Business Routine
No Need to Sell Business Architecture to Executives
What Business Architecture Needs: Value Streams or Activity Streams?
The Subject and Discipline of Business Architecture