ENTERPRISE ARCHITECTURE AND IT PORTFOLIO MANAGEMENT FOR INTEGRATION

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1 ENTERPRISE ARCHITECTURE AND IT PORTFOLIO MANAGEMENT FOR INTEGRATION Christopher Steel Chief Solutions Architect Software AG Government Solutions 14 April Software AG Government Solutions. All rights reserved.

2 AGENDA Enterprise Integration Enterprise Architecture Tools Portfolio Management Tools Conclusion Questions Software AG Government Solutions. All rights reserved.

3 ENTERPRISE INTEGRATION A HARD PROBLEM Integration projects have a much higher failure rate Most Enterprise Architects prefer to build redundant functionality rather than integrate with other systems Difficult to maps external: Functional requirements Non-functional requirements SLAs APIs System roadmap Software AG Government Solutions. All rights reserved.

4 ENTERPRISE INTEGRATION INTEGRATION CHALLENGES Integration needs are difficult to predict and solve Multiple release cycles to manage Difficult to determine and eliminate redundancies Hard to track system interdependencies Incremental integrations require longterm planning Non-functional requirements become exponentially more complex when integrating Software AG Government Solutions. All rights reserved.

5 ENTERPRISE INTEGRATION THE CHALLENGE OF MANAGING EA ACROSS PROJECTS Mission Strategy Strategy: PPT Business Business Processes: Drawing tool Landscape Map: PPT Hard to manage Application Architecture & Standards: MS Word, PDF IT Dependencies not transparent Software & Information Architecture: MS Visio Impossible to analyze SQL Access Access System Inventories: Multiple DBs, XLS, individual dev., Operation: CMDB Software AG Government Solutions. All rights reserved.

6 ENTERPRISE ARCHITECTURE TOOLS GOALS Adapt IT systems to meet new market requirements Estimate costs of technology modernization Identify areas for consolidating and reducing costs Improve executive decision making Increase the benefits from innovation Calculate potential financial and efficiency returns from the strategic mission plan Support new products and define new applications Document existing and to-be system structure for future understanding and adaptation Integrate existing silos of systems Software AG Government Solutions. All rights reserved.

7 ENTERPRISE ARCHITECTURE TOOLS WHAT TRADITIONAL EA TOOLS ARE GOOD AT Single system design Process & application modeling Defining project requirements Creating use cases Delivering project artifacts Improving project decision making Traditional EA tools provide great functionality for Architects Software AG Government Solutions. All rights reserved.

8 ENTERPRISE ARCHITECTURE TOOLS TYPICAL IT INTEGRATION OBJECTIVES & QUESTIONS How can an organization get more value out of IT with less investment? What applications are the most important to the processes they support? IT has to be fast, flexible and aligned to the business. How? What applications rely on which vendor? Which applications within my organization can be eliminated? CIO Deliver better ROI to the business with reduced risk! How can we drive standardization? Enterprise Architect Keep IT cost under control! How can we find redundancies? Traditional EA tools don t answer these questions Software AG Government Solutions. All rights reserved.

9 ENTERPRISE ARCHITECTURE TOOLS CAN YOUR EA TOOL ANSWER THE FOLLOWING? Where is my operating budget being spent, and how does that compare to the value of the systems I'm integrating? What are the critical capabilities I'm providing for the mission today, and where do they need to evolve to? Which systems/applications/services am I providing that are running at risk over the next 12 months, and which mission capabilities would be impacted? Given a set budget and a list of strategic priorities, what are the right projects I should be integrating and why? How much of my budget is spent just keeping the lights running vs. providing new strategic capabilities? Software AG Government Solutions. All rights reserved.

10 ENTERPRISE ARCHITECTURE TOOLS WHAT TRADITIONAL EA TOOLS ARE BAD AT Cross project planning Providing visibility across multiple systems Program road mapping What-if scenario analyses Cost-benefit analysis at the program level Identifying redundancy Showing system alignment to mission goals Change Impact Analysis Traditional tools do NOT provide great functionality for CIOs Software AG Government Solutions. All rights reserved.

11 ENTERPRISE ARCHITECTURE TOOLS CURRENT EA TOOLS LACK INTEGRATED INSIGHT Lack of insight hinders forecast reliability Lack of insight slows decision making Lack of insight adds costs The end result: The same arbitrary planning and budgeting processes based on limited information and with poor IT-mission alignment What s needed: A Different Set of Tools Software AG Government Solutions. All rights reserved.

12 PORTFOLIO MANAGEMENT TOOLS WHAT IS PORTFOLIO MANAGEMENT Portfolio management is the art and science of making decisions about investment mix and policy, matching investments to objectives, asset allocation for individuals and institutions, and balancing risk against performance. 1 Portfolio management tools: Target the entire IT organization, not just a project Incorporate cost information at every layer Provide future as well as past system state information Designed to aid in Enterprise Integrations Software AG Government Solutions. All rights reserved.

13 PORTFOLIO MANAGEMENT TOOLS A MORE HOLISTIC VIEW What are my applications per business process? Capabilities Business Where does What does the our strategy future state change? look like? Do we have pro-active indicators of obsolescence? Strategies Demands Finance & Risk Applications Risks Technologies Regulations What interfaces exist between my apps? Architecture Devices What technology should we invest in? Roadmaps Projects Projects Skills Budgets Do we have synergies between components? What is my cost per application? Software AG Government Solutions. All rights reserved.

14 PORTFOLIO MANAGEMENT TOOLS PROGRAM EFFICIENCY: MISSION STRATEGY ALIGNMENT Strategy operationalization and IT value contribution, strategic IT road-mapping Capabilities Implementation of capability management processes Strategy and IT value analytics Best-practice road-mapping processes Benefits Greater transparency over IT value contribution Common Business/IT language Better alignment of IT to business strategy Software AG Government Solutions. All rights reserved.

15 PORTFOLIO MANAGEMENT TOOLS IT FINANCE MANAGEMENT Application TCO, budgeting, value-of-it controlling Capability Transparency of full app. lifecycle costs Capability driven portfolio analysis Business aligned IT budgeting & control Benefits Better transparency of IT cost drivers Faster reaction to priority changes Optimized budget allocation Software AG Government Solutions. All rights reserved.

16 PORTFOLIO MANAGEMENT TOOLS SEE THE CURRENT STATE TO PLAN FOR THE FUTURE What is the current state of target architecture implementation? Software AG Government Solutions. All rights reserved.

17 PORTFOLIO MANAGEMENT TOOLS IT ROAD-MAPPING Business support maps, program roadmapping, technology and standards roadmapping Capabilities Transfer of best practices and roadmap analytics Support of info gathering and analysis Implement road-mapping processes Benefits Faster and more reliable IT delivery Improved communication of IT transformation Reduced effort for road-map maintenance Software AG Government Solutions. All rights reserved.

18 PORTFOLIO MANAGEMENT TOOLS INTEGRATED MANAGEMENT Understand mission priorities Define & manage transformation plan MISSION RELATIONSHIP MANAGEMENT IT PLANNING Transparency & What if Analysis INTEGRATED MANAGEMENT Understand Risk & financial context ENTERPRISE ARCHITECTURE MANAGEMENT IT RISK & FINANCIAL MANAGEMENT Software AG Government Solutions. All rights reserved.

19 PORTFOLIO MANAGEMENT TOOLS COMBINED DATA SOURCE INTEGRATION User LDAP Active Directory Budgets Demand/Project Business Process Models Costs Software Development CMDB Software AG Government Solutions. All rights reserved.

20 PORTFOLIO MANAGEMENT TOOLS APPROACH TO INTEGRATION CONSOLIDATION Principle data: applications & their life-cycles, business domains, business supports & their life-cycles, organizations, people, roles, demands, KPIs Roles identify areas for consolidation enterprise architects business lines domain architects application owners identify consolidation strategy domain architects application owners technology architects business lines domain architect solution architect application architect program manager sustain consolidation CIO office stakeholders and data owners Activities domain portfolio analysis capability analysis support map analysis application portfolio analysis business function/data analysis roll-out impact analysis definition of stages deduce demands establish application-data management processes processes define reporting needs implement architecture approval processes Deliverables list of domains for attention strategic support map (target landscape) understanding of target landscape requirements tactical support map migration stages demands reliable information standard management reports & processes Value propose roll-out strategy Software AG Government Solutions. All rights reserved.

21 CONCLUSION PORTFOLIO MANAGEMENT SIMPLIFIES INTEGRATION Provides a holistic view of IT landscape Provides cross project planning Provides visibility across multiple systems Provides IT road mapping Provides What-if scenario analyses Provides cost-benefit analysis at the program level Helps identify redundancy Aligns projects and programs to mission goals Provides impact analysis Software AG Government Solutions. All rights reserved.

22 2016 Software AG Government Solutions. All rights reserved. QUESTIONS?

23 Chris Steel Chief Solutions Architect (703)

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