The Art of Architecture Transformation. Copyright 2012, Oracle and/or its affiliates. All rights reserved.

Transcription

1 The Art of Architecture Transformation

2 Oracle Safe Harbor The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remains at the sole discretion of Oracle.

3 Welcome Hello and welcome to our webcast in enterprise architecture. I am Peter Heller, a Senior Director, in Oracle Technology Marketing. Our topic today is The Art of Architecture Transformation. As we all know, large scale transformations can be very challenging. These challenges are not only compounded by a wide array of new technology components and high business expectation to get it right the first time, but also for planning and executing something that your organization or you - have never done! Today, we want to explore the art and science of large scale architecture planning. Our speakers are practicing enterprise architects, and will share their experiences and lessons learned in rebuilding entire IT organizations and infrastructure. They will discuss this in terms of a standardized approach that includes business-led architecture planning, change management, and business communication. All of which are critical to ensure that your projects stay supported and funded! Let me introduce our speakers.

4 Your Oracle Speakers Alan Levine Senior Director Oracle Enterprise Architect Advanced Technology Services Hank Margolis Senior Director Oracle Business Architecture Enterprise Solutions Group

5 Introductions Joining me today is Alan Levine, Senior Director, and Oracle Enterprise Architect from Oracle s Advanced Technology Services group. Alan has 25 years experience in the IT industry, including 17 years as a technology and architecture leader in Oracle Consulting. Alan advises large enterprises through complex IT transitions including, leading technology architecture assessments, developing future state architectures, and implementation roadmaps tightly aligned with an organization s business goals. Alan s experience spans a wide variety of industries and technology domains. Welcome Alan. <Alan acknowledges> And also joining us is Hank Margolis, Senior Director, Oracle Business Architecture from Oracle s Enterprise Solutions group. Hank has 8 years working in Oracle s Enterprise Solutions Group, and is a founding member of the Oracle Business Architecture team. Prior to joining Oracle, Mr. Margolis served as CEO of two internet start-up companies, was VP of IT, Operations, and Consulting for a wireless company, and ran the consulting practice at an applications vendor. Welcome Hank. <Hank acknowledges>

6 Agenda Why Architecture Transformation? How can Enterprise Architecture Help? A Methodology for Architecture Transformation Summary

7 Architecture Transformation Architecture The fundamental organization of a system, embodied in its components, their relationships to each other and the environment, and the principles governing its design and evolution. ANSI/IEEE Std Transformation The act of changing form, appearance, or structure. Random House

8 IT Driven Architecture Transformation IT has been setting the course IT has been driving technology change for the last 30 years Businesses adopted technology innovations because they could afford to or out of necessity to keep up with their competitors Transformation was mostly focused on new initiatives, driving an ever expanding IT portfolio Client Server N-tier Internet Grid Cloud

9 Business Driven Architecture Transformation Has IT been too aligned with the business? Line of business centric deployments Redundant applications and technology platforms Stove-piped infrastructure with underutilized resources High levels of investment in integration to tie systems together limits ability to invest in innovation Growing challenges with maintaining agility and responsiveness to changing business conditions

10 Business as Usual is No Longer an Option 2008 The global financial crisis and US recession changed everything Limited refresh and investment over the last 4 years Many organizations now have a short term cost cutting focus adding increased pressure on IT without adding resources Competitive business pressures continue to drive new technology initiatives

11 IT Operating Structures are Outdated A move towards simplicity is required The stove pipes we created during the age of technology exuberance have become significant obstacles to realigning IT to meet today s business needs IT and Business leaders must come together and create more efficient ways to architect, plan, build, and operate technology We need transformational approaches to replace the complexity we have created

12 The New IT Operating Model Empower and Measure IT held accountable to an Enterprise Strategy IT empowered to innovate IT results measured by business capabilities delivered, agility, and transparency Business embraces IT ability deliver both innovation and cost savings Note: Innovation and cost savings are NOT mutually exclusive!

13 Agenda Why Architecture Transformation? How can Enterprise Architecture Help? A Methodology for Architecture Transformation Summary

14 Enterprise Architecture is a Science Tools Methods Reference Architectures One size Fits All Architecture Cookbook based Enterprise Architecture leads to Architecture Shelfware EA practitioners must not lose site of the core principle of Business Alignment Corporate culture and the IT Operating Model have a significant impact on an organization s ability to embrace and effect change

15 Enterprise Architecture is an Art Understanding your organization heavily influences EA People Organization Industry Budgets Regulatory Corporate culture Tolerance for risk

16 Is It A Problem We Should Solve? Real? Are business capabilities impacted? Are critical service level agreements being missed? Win? Can IT deliver an actionable strategy in alignment with the direction of the business? Do we have the methods and tools to be successful? Worth it? What is the financial impact of the problem? What will it cost to fix? How long will it take?

17 Agenda Why Architecture Transformation? How can Enterprise Architecture Help? A Methodology for Architecture Transformation Summary

18 Business Architecture Why is the business investing? What does the business need to do that it can t do today? Why do they need to do that? (What benefits will the organization enjoy?) What changes need to occur in order to meet the business requirements? Why should they be confident this will work? How we help them justify the investment needed?

19 Achieving Architecture Financial Objectives Art: Balancing end state with investment and payback Maturing Payback Period Earning Investment

20 Architecture Vision What happens if you don t have an architecture vision?

21 What is an Architecture Vision? A Transformative Architecture Vision Starts with a big idea Is aligned with a set of business challenges Includes a technology and financial perspective Is grounded in architecture principles Solves a real problem

22 Architecture Vision Example: IT Simplification Example Large Global Financial Institution Business Drivers Reduce costs Reduce IT complexity Architecture Vision Build a private cloud for databases and middleware based on Oracle s engineered systems Simplify IT via standardization and consolidation to replace an aging infrastructure

23 Current State Analysis A business case for architecture transformation requires reliable current state financial data Current state information helps determine if the problem is worth solving Current state analysis helps answer questions such as: How big is the problem? How much is the problem costing me today? Do I really have a problem? How near or far am I from my Architecture Vision A technology roadmap needs to have a starting point Current state analysis helps identify the best targets to start with

24 Current State Example: Infrastructure Consolidation Line of business based deployment models have given rise to huge inefficiencies in today s IT portfolios Server sprawl Underutilized server capacity Complex multi-vendor environments with redundant technologies deployed Collecting the right data points can help us make the case for Architecture Transformation Lack of good data leads to ineffective IT decision making

25 Future State benefits should be measurable, deliver business value, and align with our Architecture Vision How much will we save the business? Where have we reduced costs and complexity? Are we enabling new capabilities? Have we replaced aging and inefficient ones? Consolidated Database Servers

26 Leverage Proven Architectures Speed to delivery drives the business case Eliminate redundancy and complexity by building on proven reference architectures

27 Roadmap When do we start realizing the benefits? What do we do first? When do we realize the financial benefits? Where have we realized improved capabilities? Where is the finish line? Today s future state is tomorrow s current state

28 Governance How do we sustain the value over the long term? Value needs to impact the business If it s cost takeout, it needs to take out their cost, too Be realistic about roles and responsibilities For example, the value of data stewardship needs to be clearly understood Measure, measure, measure Establish performance metrics which demonstrates the value created and report on it frequently to key stakeholders Insure enrollment from impacted people by including them in the business and enterprise architecture

29 A Practical Approach to Architecture Transformation Oracle Architecture Development Process provides prescriptive guidance to help you move forward An iterative approach enables rapid adoption of changing business conditions We stay focused on delivering results Oracle Architecture Development Process It might take more than one iteration

30 Agenda Why Architecture Transformation? How can Enterprise Architecture Help? A Methodology for Architecture Transformation Summary

31 Architecture Transformation is a Journey

32 What Works? Maximize your likelihood of success Fix Problems that Need to be Fixed Problem is real, we can do it, it has a financial payback Demonstrable cost savings with reasonable payback periods, time, and level of investment Functional changes to specific business processes yielding improved efficiencies or customer service Top Down Strategy Executive sponsorship and mandate Corporate strategy alignment Bottom Up Strategy Guarantee quality of services Economics will win them over Speed Leverage automation and change management As money gets more expensive, payback periods get shorter

33 Summary Understand and measure the business impact of architecture transformation Align closely with culture, change and risk tolerance, and financial realities Fit within your organization s operational model Take the initiative! Develop clear measurable impact and provide a mechanism for reporting on this impact

34 Key Takeaways Leverage Oracle s Portfolio of EA Assets People Process Portfolio Certified Architects, Experienced Advisors Best Practices, Practical Methodology Tested Principles, Trusted Artifacts

35 To Learn More Twitter twitter.com/oracleeas Facebook facebook.com/oracleea LinkedIn Oracle Enterprise Architects A Public Discussion Forum Oracle s EA Blog blogs.oracle.com/enterprisearchitecture Oracle EA Projects & Papers: oracle.com/goto/ea Oracle Reference Architectures: oracle.com/goto/itstrategies

36 Thank You