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LEF - Developing a Strategic Business/IT Architecture


An Engagement Model for Enterprise Architecture


Harry Strover, Director of Enterprise Architecture
London, 19th November 2008
The scope of enterprise architecture

Area                    Objectives                                   Deliverables
                           Develop an Architecture Framework           High level business process, information,
Architecture                covering business & IT architecture          IT product / domain & technology
Framework &                Recommend adoption of enabling               architectures
Deliverables                technologies                                Guidelines, principles, policies &
                           Govern and share models                      standards
                           Communicate & educate                       Architecture knowledge repository
                           Provide skills, tools and methods to        Project architecture scope
Business                    enable business transformation              Target business operating models /
Transformation              projects to be successful                    architectures
Enablement                 Evolve existing portfolio of installed      Application architectures
                            applications and products towards           Applicable principles, policies &
                            strategic architecture targets               standards
                           Governance for key / major projects to    Sign off / reviews of project
Project                     reduce risk, increase flexibility and      architectures
Engagement                  minimize long term total cost of          Additional components of the
                            ownership                                  Architecture Framework
                                                                      Other (as required by individual project)
                           Ensure that the IT Product Catalogue,    Domain Strategy & Planning Committee
Architecture                IT Service Catalogue and the installed      Consolidated view of IT product
Governance                  application portfolio are governed by        roadmaps
                            architecture policies, standards, and    Architecture Forum
                            principles                                  Approval for IT products & services

  DHL | November 2008                                                                                     Page   2
Enterprise architecture’s position in the operating model


                               Manage the     Develop Products
                                                                           Sell to the Customer         Deliver Solution                Operate Solution
                                Business        and Services



                               IT Strategy                                                                 IT Account Management


                                                                                                  ÌT Project Support & Control
                                Enterprise
                               Architecture
                                               IT Product
                                                Catalogue                  IT Business
                             IT Process &                                                            IT Project Delivery
                                                                           Development
IT Business Processes




                             Quality Mgmt.
                                                                                                                                           IT Product Removal
                                               IT Product                                                IT Product
                                                Creation/
                                              Enhancement                                              Implementation
                                                                                                                                   IT Service         Continual
                                                                                                                                                      IT Service
                                                                                                                                    Operation       Improvement
                                                 IT Service   IT Service
                                                 Catalogue                                           IT Service Transition
                                                                Design

                                                                            IT Risk & Continuity Management

                                                                                 IT Security Management

                                                                            IT Marketing & Communications

                                                                                   IT HR Management

                                                                                IT Finance & Controlling




                        DHL | November 2008                                                                                                                Page    3
Thank You!




DHL | November 2008   Page   4
BACKUP
Overview

●Enterprise Architecture practices should aim to ensure that the nature and timing of their
involvement with other business and IT disciplines provides the greatest opportunity for
success.
●Harry Strover proposes an Operating Model in which Enterprise Architects focus on
proactive engagement in the development of new capabilities, seeking to make projects
successful while simultaneously guiding the overall architecture of the enterprise.




DHL | November 2008                                                                     Page   6
DHL Overview

                 DHL’s parent company Deutsche Post World Net is the world’s leading logistics
                 group. With revenues of more than €63 billion and 500,000 employees in more
                 than 220 countries and territories it is one of the biggest employers worldwide.
                                       Largest Courier and Express provider in       8 million customers
                                        Europe, Asia Pacific and Middle East /Africa  36 Hubs and 4,700 bases
                                       Top 3 worldwide                               350 aircraft, 72,000 vehicles



                                       World’s No.1 in Warehousing, Distribution &  59 countries and territories
                                        Contract Logistics                           2,500 logistics centers, warehouses,
                                                                                          terminals
DHL LOGISTICS




                                                                                         23million m2 storage capacity

                                       World’s No.1 in Air and Ocean Freight            150 countries and territories
                                                                                         813 terminals & warehouses
                                                                                         4.4million t Air; 2.8miliion TEU Ocean


                                       Europe’s No. 2 in Road Freight                   30 countries and territories
                                                                                         160 terminals
                                                                                         2million full truck load movements

                                                                                         Cross-border solutions for business
                                       Largest worldwide network for Mail                mail, publication distribution, direct
                                                                                          marketing and merchandise
                                        Distribution

                DHL | November 2008                                                                                        Page    7
Why have an Architecture?

Objective           Deliver a well structured and integrated enterprise architecture landscape that
                    reduces business complexity and increases flexibility of IT to support the
                    achievement of division's business goals


Scope               Global - across all sectors and business units

Description         • Manage a comprehensive and rigorous integrated enterprise architecture to
                      describe the current and/or future structure and behavior of DHL’s processes,
                      information, applications, and technology, in order that these resources and
                      knowledge align with the organization's core goals and strategic direction.
                    • Rationalize the installed inventory of IT Products, IT Services and other
                      applications and technology in order to optimize the total cost of ownership of
                      IT within the organization.




  DHL | November 2008                                                                          Page     8
The Enterprise Architecture Framework is a classification tool for the definition,
                                      governance and control of key principles, policies, standards, service levels
                                      and models that describe the enterprise's current state and roadmaps towards
                                      future states.

                                             Market         Represents business vision, operational goals, market and competitive drivers,
             Market




                                                            commercial relationships that define architectural principles and shape architectural
                                                            roadmap
             Business




                                           Business         Structures requirements and practices within organizational, process, and information
                                                            management architectural areas
Commercialized
 IT Products &




                                       Commericalized       IT Products and Services aligned to business operations and managed by domain
    Services




                                        IT Products
                                        and Services


                                           Enabling         Technology focus areas where DHL is deciding its own destiny and actively controlling
                                         Technologies       architecture, engineering, and to varying degrees, the operation of the infrastructure
                       Technologies
 Technology Services
                         Enabling




                                            Utility         Technology focus areas describing infrastructure that is usually supplier-managed &
                       Technologies




                                         Technologies       more commodity in nature. While control is retained and still critical to business
                         Utility




                                                            continuity, there may be less detailed specification of how a service is to be
                                                            implemented. Corresponding infrastructure may be managed exclusively through
                                                            SLAs
                                      DHL | November 2008                                                                                  Page     9
DHL Logistics Enterprise Architecture Framework
                                      Level 2 View

                                                        Geographical                         Logistics Solutions                 Trading Party                     Brand
                                                        Architecture
             Market




                                                                                                                 Sector /
                                                                                                   Solution
                                                                                       Products                 Industry
                                                                                                    Sets
                                                                                                                Solutions


                                                      Organization Architecture                      Business Process Architecture               Business Information Architecture
             Business




                                                                                                     Process           Process    Business
                                                      Capability              Organization
                                                                                                   Decomposition        Flows     Services


                                                                                                              IT Product Catalogue
Commercialized




                                      Management




                                                                                                                                                                                       Management
 IT Products &




                                                     Information                      Support                 Network Operations              Customer          Global Logistics
    Services




                                                                                                                                                                                        Security
                                       Service




                                                     Management                      Functions                                               Management            Solutions

                                                                                                    Composite IT Service Catalogue

                                                                                             Information Services
                                                                                                                                                                      Application
                       Technologies




                                                                                                                                                Identity &
 Technology Services
                         Enabling




                                                   Process                                                                                                 Technology Lifecycle
                                                                                                                                                 Access                 Mgmt
                                                   Services         Data            Integration                       Content     Portal                     Mgmt
                                                                   Services          Services
                                                                                                     Search
                                                                                                    Services          Services   Services         Mgmt                 Services
                       Technologies




                                                   Desktop & Collaboration                     Network &                                                   Infrastructure Shared
                         Utility




                                                                                                                                     Hosting                      Services
                                                        Technologies                         Communications

                                      DHL | November 2008                                                                                                                            Page 10
DHL Logistics Enterprise Architecture Framework
                                      Level 3 View
                                       Business              Geographical                                       Logistics Solutions Catalogue                                                   Trading Party                                                         Brand                             Information
                                        Service              Architecture                                                                                                                 Relationship                                                                                                    Security
                                                                                                Products         Solution Sets Sector / Industry Solutions                                                                                                    DHL
             Market




                                      Management
                                                      Site / Location    Country                   A`ir                 I2M          Healthcare/Life      Tech/Aero                  Customer           Supplier           Contact                 DHL Exel         DHL Global            Exel              User
                                                                                                                                                                                                                                                  Supply Chain      Forwarding
                                                         Region         Trade Lane                Ocean                 SPL               Consumer/     Engineering/                Competitor          Partner          Organization                                                    DPWN              Data &
                                                                                                Warehousing          ISC / CPM           Retail/Fashion Manufact/Auto              Reg. Authority                                                   DHL Freight    DHL Express                           Information


                                                          Organization Architecture                                                                           Business Process Architecture                                                                                         Business
             Business




                                                         Capability     Organization                                                                                                                                                                                               Information
                                                                                                                                                 Process Decomposition         Process                                 Business
                                                                                                                                                                                                                                                                                   Architecture
                                                             Skills                  BUs                                                       Manage the Biz  Sell to Cust     Flows                                  Services
                                                                                                                                                                                            Order-to-Cash              Definitions                                                   Business
                                                          Experience            Functions                                                     Define Products          Operate                                                                                                       Taxonomy
                                                                                                                                                     Support the Enterprise                 Procure-to-Pay           Orchestrations
                                                          Resources              Roles/                                                                                                                                                                                           Info Management
                                                         (e.g. Human)        Responsibilities
                                                                                                                                                                                                                                                                                       Strategy
                                                                                                                                                                                                                                                                                                        Applications &
                                                                                                                                                                                                                                                                                                           System
                                       IT Service                                                                                                            IT Product Catalogue                                                                                                                       Development
                                      Management                                                                                              Business                                                                                                               Customer
Commercialized
 IT Products &




                                                           Information Management                               Support Functions                            Network Operations                                    Customer Mgmt                             Global Logistics Solutions
    Services




                                                                Business Intelligence                           HR                  IT                          Air                PU&D                        Sales          Cust Mgmt Suite              Cust Trans Sols       Value Add Sols
                                                               Portals & Collaboration                  Corporate              Finance &                     Ocean            Carrier Prcmt                  Marketing          Service Centre              Materials Mgt
                                                              Master Data Management                  Communications           Controlling                   Road             Compliance                                                                   Visibility & Event    Integration Mgt
                                                              Customer Information Mgt                    Procurement                                        X-dock           Ntwrk Plg/Op                                                                   Management             Solutions            IT Security
                                                                                                                                                                                                                                                                                                        Management

                                                                                                                                                     Composite IT Service Catalogue
                                                         Process            Data Services           Integration                  Information Services                                                Portal                      Identity&Access           Technology             Application  Technology
                                                         Services                                    Services                                                                                       Services                       Management              Management              Lifecycle
                                                                            Analysis/Reporting                            Search          Content Services                                                                                                                       Mgmt Services  Security
                       Technologies




                                                                                                                         Services
 Technology Services




                                                        Bus Process                                   Integration                                                                         User              ID & Access                 Identity              Disaster                                  Infrastructure
                         Enabling




                                       Deployment                             Data Access                                              Document    Web Content                                                                                                                        Registry/
                                                        Management                                    Backbone                                                                          Interface           Management                Management              Recovery
                                                                                                                        Search Broker         Management        Management                                                                                                           Repository
                                        Monitoring                            Data Storage
                                                       Business Rules                                     B2B                                 Doc Workflow       Compliance            Integration            Physical                   Role                 Utilization        Requiremnts Mgmt
                                                                               Data Mgmt              Integration       Search Engine                                                 Components             Realization              Management               Billing
                                                      Business Events                                                                         Print Output                                                                                                                            Assemble
                                                                            Master Data Mgmt              ETL                                                     eLearning          Administration          Interaction             Federation Mgmt
                                                                                                                                              Management                                                                                                                                Test
                                                                            Geographical Info                                                                                                                                         Access Mgmt
                                       Service Desk

                                                                                                                                       Network & Communications                                                                         Hosting                                  Infrastructure           Security
                       Technologies




                                                        Desktop & Collaboration Technologies                                                                                                                                                                                                           Implementation
                                                                                                                                                                                                                                                                                Shared Services
                                                      User Devices     Email        Groupware                                 Network Services     Internet Gateway                     Voice                       Platforms               Data           Backup /
                         Utility




                                                                                                                                                                                                                                                                                 Application Server       Desktop
                                                          Desktop           Directory               Portal
                                                                                                                          MAN/WAN              Remote           B to B Extranet        Services                    Wintel Servers          Centre          Recovery                                       Security
                                                                                                                                               Access                                                                                                                            Service Toolsets
                                                                            Services            Collaboration                 LAN                                Wireless & RF            Fixed                Midrange Servers           Storage            DBMS                                         Network
                                                         Blackberry                                                                            Services                                                                                                                          System Toolsets
                                                                        User Productivity Video Conference                    VPN                                                         Mobile                    Mainframe                                                                             Security
                                                                                                                                                              Perimeter Devices

                                                                                                                                                                      Format Key
                                      DHL | November 2008                                                                                                                                         Example                                                                                             Page 11

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DHL Logistics - Enterprise Architecture

  • 1. LEF - Developing a Strategic Business/IT Architecture An Engagement Model for Enterprise Architecture Harry Strover, Director of Enterprise Architecture London, 19th November 2008
  • 2. The scope of enterprise architecture Area Objectives Deliverables  Develop an Architecture Framework  High level business process, information, Architecture covering business & IT architecture IT product / domain & technology Framework &  Recommend adoption of enabling architectures Deliverables technologies  Guidelines, principles, policies &  Govern and share models standards  Communicate & educate  Architecture knowledge repository  Provide skills, tools and methods to  Project architecture scope Business enable business transformation  Target business operating models / Transformation projects to be successful architectures Enablement  Evolve existing portfolio of installed  Application architectures applications and products towards  Applicable principles, policies & strategic architecture targets standards  Governance for key / major projects to  Sign off / reviews of project Project reduce risk, increase flexibility and architectures Engagement minimize long term total cost of  Additional components of the ownership Architecture Framework  Other (as required by individual project)  Ensure that the IT Product Catalogue, Domain Strategy & Planning Committee Architecture IT Service Catalogue and the installed  Consolidated view of IT product Governance application portfolio are governed by roadmaps architecture policies, standards, and Architecture Forum principles  Approval for IT products & services DHL | November 2008 Page 2
  • 3. Enterprise architecture’s position in the operating model Manage the Develop Products Sell to the Customer Deliver Solution Operate Solution Business and Services IT Strategy IT Account Management ÌT Project Support & Control Enterprise Architecture IT Product Catalogue IT Business IT Process & IT Project Delivery Development IT Business Processes Quality Mgmt. IT Product Removal IT Product IT Product Creation/ Enhancement Implementation IT Service Continual IT Service Operation Improvement IT Service IT Service Catalogue IT Service Transition Design IT Risk & Continuity Management IT Security Management IT Marketing & Communications IT HR Management IT Finance & Controlling DHL | November 2008 Page 3
  • 4. Thank You! DHL | November 2008 Page 4
  • 6. Overview ●Enterprise Architecture practices should aim to ensure that the nature and timing of their involvement with other business and IT disciplines provides the greatest opportunity for success. ●Harry Strover proposes an Operating Model in which Enterprise Architects focus on proactive engagement in the development of new capabilities, seeking to make projects successful while simultaneously guiding the overall architecture of the enterprise. DHL | November 2008 Page 6
  • 7. DHL Overview DHL’s parent company Deutsche Post World Net is the world’s leading logistics group. With revenues of more than €63 billion and 500,000 employees in more than 220 countries and territories it is one of the biggest employers worldwide.  Largest Courier and Express provider in  8 million customers Europe, Asia Pacific and Middle East /Africa  36 Hubs and 4,700 bases  Top 3 worldwide  350 aircraft, 72,000 vehicles  World’s No.1 in Warehousing, Distribution &  59 countries and territories Contract Logistics  2,500 logistics centers, warehouses, terminals DHL LOGISTICS  23million m2 storage capacity  World’s No.1 in Air and Ocean Freight  150 countries and territories  813 terminals & warehouses  4.4million t Air; 2.8miliion TEU Ocean  Europe’s No. 2 in Road Freight  30 countries and territories  160 terminals  2million full truck load movements  Cross-border solutions for business  Largest worldwide network for Mail mail, publication distribution, direct marketing and merchandise Distribution DHL | November 2008 Page 7
  • 8. Why have an Architecture? Objective Deliver a well structured and integrated enterprise architecture landscape that reduces business complexity and increases flexibility of IT to support the achievement of division's business goals Scope Global - across all sectors and business units Description • Manage a comprehensive and rigorous integrated enterprise architecture to describe the current and/or future structure and behavior of DHL’s processes, information, applications, and technology, in order that these resources and knowledge align with the organization's core goals and strategic direction. • Rationalize the installed inventory of IT Products, IT Services and other applications and technology in order to optimize the total cost of ownership of IT within the organization. DHL | November 2008 Page 8
  • 9. The Enterprise Architecture Framework is a classification tool for the definition, governance and control of key principles, policies, standards, service levels and models that describe the enterprise's current state and roadmaps towards future states. Market Represents business vision, operational goals, market and competitive drivers, Market commercial relationships that define architectural principles and shape architectural roadmap Business Business Structures requirements and practices within organizational, process, and information management architectural areas Commercialized IT Products & Commericalized IT Products and Services aligned to business operations and managed by domain Services IT Products and Services Enabling Technology focus areas where DHL is deciding its own destiny and actively controlling Technologies architecture, engineering, and to varying degrees, the operation of the infrastructure Technologies Technology Services Enabling Utility Technology focus areas describing infrastructure that is usually supplier-managed & Technologies Technologies more commodity in nature. While control is retained and still critical to business Utility continuity, there may be less detailed specification of how a service is to be implemented. Corresponding infrastructure may be managed exclusively through SLAs DHL | November 2008 Page 9
  • 10. DHL Logistics Enterprise Architecture Framework Level 2 View Geographical Logistics Solutions Trading Party Brand Architecture Market Sector / Solution Products Industry Sets Solutions Organization Architecture Business Process Architecture Business Information Architecture Business Process Process Business Capability Organization Decomposition Flows Services IT Product Catalogue Commercialized Management Management IT Products & Information Support Network Operations Customer Global Logistics Services Security Service Management Functions Management Solutions Composite IT Service Catalogue Information Services Application Technologies Identity & Technology Services Enabling Process Technology Lifecycle Access Mgmt Services Data Integration Content Portal Mgmt Services Services Search Services Services Services Mgmt Services Technologies Desktop & Collaboration Network & Infrastructure Shared Utility Hosting Services Technologies Communications DHL | November 2008 Page 10
  • 11. DHL Logistics Enterprise Architecture Framework Level 3 View Business Geographical Logistics Solutions Catalogue Trading Party Brand Information Service Architecture Relationship Security Products Solution Sets Sector / Industry Solutions DHL Market Management Site / Location Country A`ir I2M Healthcare/Life Tech/Aero Customer Supplier Contact DHL Exel DHL Global Exel User Supply Chain Forwarding Region Trade Lane Ocean SPL Consumer/ Engineering/ Competitor Partner Organization DPWN Data & Warehousing ISC / CPM Retail/Fashion Manufact/Auto Reg. Authority DHL Freight DHL Express Information Organization Architecture Business Process Architecture Business Business Capability Organization Information Process Decomposition Process Business Architecture Skills BUs Manage the Biz Sell to Cust Flows Services Order-to-Cash Definitions Business Experience Functions Define Products Operate Taxonomy Support the Enterprise Procure-to-Pay Orchestrations Resources Roles/ Info Management (e.g. Human) Responsibilities Strategy Applications & System IT Service IT Product Catalogue Development Management Business Customer Commercialized IT Products & Information Management Support Functions Network Operations Customer Mgmt Global Logistics Solutions Services Business Intelligence HR IT Air PU&D Sales Cust Mgmt Suite Cust Trans Sols Value Add Sols Portals & Collaboration Corporate Finance & Ocean Carrier Prcmt Marketing Service Centre Materials Mgt Master Data Management Communications Controlling Road Compliance Visibility & Event Integration Mgt Customer Information Mgt Procurement X-dock Ntwrk Plg/Op Management Solutions IT Security Management Composite IT Service Catalogue Process Data Services Integration Information Services Portal Identity&Access Technology Application Technology Services Services Services Management Management Lifecycle Analysis/Reporting Search Content Services Mgmt Services Security Technologies Services Technology Services Bus Process Integration User ID & Access Identity Disaster Infrastructure Enabling Deployment Data Access Document Web Content Registry/ Management Backbone Interface Management Management Recovery Search Broker Management Management Repository Monitoring Data Storage Business Rules B2B Doc Workflow Compliance Integration Physical Role Utilization Requiremnts Mgmt Data Mgmt Integration Search Engine Components Realization Management Billing Business Events Print Output Assemble Master Data Mgmt ETL eLearning Administration Interaction Federation Mgmt Management Test Geographical Info Access Mgmt Service Desk Network & Communications Hosting Infrastructure Security Technologies Desktop & Collaboration Technologies Implementation Shared Services User Devices Email Groupware Network Services Internet Gateway Voice Platforms Data Backup / Utility Application Server Desktop Desktop Directory Portal MAN/WAN Remote B to B Extranet Services Wintel Servers Centre Recovery Security Access Service Toolsets Services Collaboration LAN Wireless & RF Fixed Midrange Servers Storage DBMS Network Blackberry Services System Toolsets User Productivity Video Conference VPN Mobile Mainframe Security Perimeter Devices Format Key DHL | November 2008 Example Page 11