Business Capability Model A Starting Point for Enterprise Architecture

Transcription

1 Business Capability Model A Starting Point for Enterprise Architecture Huw Morgan [email protected] Head Enterprise Architecture City of Toronto, Ontario Canada Salah Sharieh [email protected] SAP Lead ivedha

2 Agenda Brain Teasers Background About City of Toronto About Architecture in the City of Toronto Business Capabilities Model Business Capability Model City of Toronto Case Study City of Toronto Q & A

3 Brain Teasers

4 Alphabets: Questions H I J K L M N O

5 Alphabets: Answer H I J K L M N O H O H 2 O

6 Numbers: Question Roman Numerals How do you make this equal 6?

7 Numbers: Answer S

8 Brain Teasers Provide Context About City of Toronto About Architecture in the City of Toronto Business Capabilities Model Business Capability Model City of Toronto Case Study City of Toronto Q & A

9 Facts about the City of Toronto Canada's largest city and sixth largest government Population: 2.7M (5.1M GTA) 40 Divisions $9.4B Operating Budget & Capital Budget of $14.8 billion 37,000 Employees ~150 Services (+500 Sub Services)

10 Brain Teasers Background About City of Toronto Business Capability Model Explained Business Capability Model City of Toronto Case Study City of Toronto Q & A

11 Key Points Using the Business Capability Model to Create the Enterprise Architecture 1. Capabilities Provide Context 2. Represents the next level of detail beneath the business strategy 3. Establishes an Environment of Co-creation

12 What is a Capability Model A structured model to capture the core elements of an organization Describes what the business does (or needs to do) in order to fulfill its objectives and responsibilities

13 Why a Capability Model The organization needs a map to see what it does Puts capabilities in context of the ecosystem Connections to other Capabilities Puts everyone on the same page Focus on the WHAT Not the HOW

14 How it is Used For investment planning As the source to identify the business purpose of all Business Applications in the IT Portfolio

15 Business capability map FINANCIAL MANAGEMENT Financial Planning and Monitoring Business architectu re Accounts Payable Revenue Financial Accounting Forecasting & Budgeting Investment/Debt Mgmt. Invoice Processing Tax Billing & Collection Fee Collection Point of Sale General Ledger Controlling Business capabilities represent an organization's business, independent of organization structure, processes, or people. The Capability Model is the City s anchor model. Business Architecture The business architecture designs the overall structure of solutions that implement and embody a given business capability. At the lowest level they are represented as business processes Logical architecture The logical architecture shows the system components needed to enable the capability. The goal is to create shared or reuseable components. Physical architecture The plan for operational production implementation of solutions (e.g., how many of everything, physical configurations, etc.)

16 The City of Toronto business capability model A three tiered hierarchical model made up of Business Domains, Capability Groups and Capabilities. The capabilities are logically grouped together and organized so they can easily be found and understood. Business Domain Capability Group Capabiliites It has been structured so as to be intuitive and manageable.

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18 SAP FI SAP HCM SAP PM

19 SAP HCM Module (Components) Capabilities System Capabilities Business Capabilities Business Domain Service delivery Employee portal Manager portal TALENT MANAGEMENT Competency management Recruitment Employee performance management Talent assessment and review Employee development Enterprise learning management Succession management Compensation management Talent management analytics Business Scenarios Staff Registration & Enrolment Personnel Records Mgmt. Employee Self Service Scheduling and Shift Planning Time Recording & Admin. Time Evaluation Salary Management Benefits Tracking Payroll Processing Attendance Monitoring Recruitment Employee Performance Mgmt. Staff Skills Development Workforce Management HUMAN RESOURCE MANAGEMENT

20 Employee Administration Offers advanced features for Employee Administration, e.g., Transfers or Employee Status Change. Provides the central repository for employee data in SAP ERP HCM; data stored here is used throughout SAP ERP HCM. Integrates the information in Personnel Administration fully with other SAP business applications, especially Financials and Logistics Organizational Management Lets users easily manage and communicate information about organizational structures and policies. Provides tools for constructing and maintaining an accurate model of the organization and gives users unmatched insight into the staff and structural environment of the company. Uses the Organizational Management capabilities of SAP ERP HCM to drive workflow and support activities in personnel cost planning, compensation management, employee development and recruitment, SAP CRM, and SAP SEM. Delivers Organizational Development capabilities including Organizational Planning & Simulation, Organizational Development, Activity Analysis, and Job Analysis. Provides the ability to simulate, analyze, and experiment with proposed organizational changes and previous organizational models on a centralized or decentralized basis. An additional organization management process - based on Duet - enables employees and managers to use the Microsoft Outlook Contacts interface access for up-to-date human resource information such as compensation, organizational structure, open positions and training opportunities. Employees can access their own human resource records from the SAP ERP application such as current address, job position information and payroll data. Access to specific information is managed and controlled to by the SAP standard security and authentication privileges. Managers can view their team members information in greater detail, such as their compensation, letters of recommendation and resumes. Managers can also use Duet s analytics capabilities and contextual information, allowing them to drill into corporate human resource information such as average enterprise-wide compensation by job title. Global Employment Delivers capabilities necessary for managing international transfers and assignments. Included are global reporting and analytics, improving and aligning negotiation processes for international assignments, and supporting geographically dispersed users with up to the minute information. Benefits Management Provides a flexible framework for creating and managing tailor-made benefits packages. Versatile configuration options let you offer a diverse range of benefits to accommodate even complex plan definitions. There is powerful support for all administrative benefits-related tasks, and standard and flexible reports let you summarize and analyze benefits data. Support for self-services enables your employees to view and change their benefit selections online. SAP Product Available SAP Product Available with Future Releases Future Focus Partner Product Available Partner Product Available with Future Releases

21 Leave of Absence (LOA) Administration Process Flow Diagram

22 Brain Teasers Background About City of Toronto About Architecture in the City of Toronto Business Capabilities Model Business Capability Model City of Toronto Case Study - City of Toronto Q & A

23 Case Study Examples of How We Have Used the Capability Model

24 Work Management Cities are big work management organizations Service Requests and Work Orders are the vehicle for work origination Traditional approach has been to focus on time entry Using a capability model we have provided the business a context to build around

25 Work Management Current State Challenges - Examples Budget/Financial Tracking Divisions are not doing activity or asset based costing (ABC) Work history is not used for budget preparation Management of Work Cannot benchmark work performance / cost Work Orders are not always associated with the Service Request if the work is contracted Crews sometimes show up to the same site as another Division Might undo/redo work done by other Division Might create interference for other Division 2 5

26 Business Capability Context 2 6

27 Work management includes both operational and recurring work and includes the following common steps: This pattern is a best practice Two major types of operational and recurring work in the City are: Asset Maintenance Management (break/fix and preventative maintenance) Service Delivery Operations (routine, daily maintenance, service levels)

28 Mapping to Business Capability Model Primary Capabilities Service Delivery Operation Operations Work Identification Operations Planning/Scheduling Operations Work Reporting Work Performance Monitoring Asset Maintenance Management Maintenance Work Identification Maintenance Planning/Scheduling Maintenance Work Reporting Asset Performance Monitoring 2 8

29 Reference Architecture Scope The scope of the work management system logical reference architecture is Work Management functionality in the context of both Service Delivery and Asset Maintenance. Processes from the approved Work Management Business Reference Architecture 2 9

30 IT Portfolio Alignment Supply Chain & Inventory Management 55 Financial Management 113 Service Delivery Management 249 Human Resource Management 107 Rules Management 20 Risk Management 46 Information Management 325 Relationship Management 200 Program and Service Management 24 Process Management 13 Physical Asset Management 80 Land and Property Stewardship 99 30

31 Mapping to Technology

32 Poor Fit Good Fit

33 Capital vs. Operating Investment

34 The Value The Business Capability Model is the starting point for the Enterprise Architecture 1. Provides Context 2. Establishes Baseline 3. Establishes an Environment of Co-creation

35 Questions? Huw Morgan Head Enterprise Architecture City of Toronto, Ontario Canada Salah Sharieh Executive Lead ivedha Canada