Speedy Business Architecture, Part 1 — Accelerating Business Architecture Development With Reference Models

With all of this Olympic spirit in the air, let’s talk about speed. We know that the business architecture knowledgebase is fundamental to the enterprise insights, analysis and ways of designing that are unique only to architecture. But how do we build our knowledgebase fast—especially if we’re just starting our business architecture practice? StraightTalk Posts No. 22 and 23 can help. Here in No. 22, we’ll talk about how we can leverage reference models to accelerate the development of a business architecture knowledgebase, so here goes.

P.S. Post No. 12, A Map of the World — Part 1, is a super helpful refresher about how to document those core domains of business architecture, including capabilities and value streams.

Where do we start?

First the basics. The most important ways to speed up the development of your business architecture knowledgebase in the first place is to:

1. Know what you’re doing (or get some help to accelerate you)
2. Build it out in the smartest way over time

How do we build the business architecture knowledgebase in the smartest way?
As we discussed in Post No. 12, capabilities and value streams are at the heart of every business architecture. Once you have a capability map, a set of value streams, and both of them cross-mapped to each other, now you have a strong foundation that you can actually start using. From this point forward, you can document any other business architecture domains (information, organization, strategies, policies, products, stakeholders, metrics, and initiatives) opportunistically over time for the relevant scope of the business scenarios you are focused on.

BTW, good news, you don’t even need to have a complete capability map or set of value streams to start. The absolute minimum baseline is:

  • A capability map (enterprise scope) that includes all level 1 capabilities and then level 2s and level 3s for any key focus areas (e.g. your tier 2 customer-facing / core capabilities)
  • A set of your most key value streams (e.g. your externally facing ones for customers and partners)
  • Both items above cross-mapped to each other

What are reference models and where do they come in?
In this context, a reference model refers to a set of standard architecture content published by various organizations, usually specifically tailored to an industry (which is why you often hear them called industry reference models). There are various types of reference models, but some key ones are capability maps, information maps and vocabulary, and value streams.

Reference models can be extremely handy as accelerators because they provide content you can use when building your organization’s capability map, value streams, etc. This has helped business architecture teams to save weeks or even months of trying to figure out what content to include and how to structure it. Time saved building the business architecture is time you can spend using it to provide business value instead.

Where do we find industry reference models?

The Business Architecture Guild® has industry-specific reference models available in the BIZBOK® Guide (primarily capability maps and value streams) for financial services, manufacturing, healthcare, insurance and member-based associations. There is also a common reference model which contains capability and value stream content that applies across all industries. While these reference models are continuing to evolve and expand (including for new industries), there are some key benefits to using them:

  • They are fully BIZBOK® Guide aligned, which means they can more readily be used “out of the box”
  • They are developed by a worldwide community of business architecture practitioners so many different aspects of industries and geographies are represented—and collaboration is the only motive behind their creation, not profit

A number of other reference models are available from different organizations for a variety of industries, such as insurance, banking, telecommunications and retail. You are probably familiar with any that pertain to your industry.

Using industry reference models sounds like a good idea. What’s the catch?

There are two—

1. Reference models shouldn’t be used “off the shelf” – While you can leverage content from reference models, you can’t exactly use them as is. They still need to be adapted to the language, business model and scope of your organization.

2. Not all reference models are created equal – While reference models provide you with lots of fantastic ideas for what your capability maps and value streams might contain, they may actually be collections of other things, like processes, organizational functions or services (even if they are called a capability map). When using a reference model other than one from the BIZBOK® Guide, leverage all of that great content, but structure your capability map and value streams according to the best practice methods described in the BIZBOK® Guide. That’s the key.

How do we use industry reference models?

It’s pretty simple—

To build a capability map for your organization:

  1. Leverage one or more industry-specific capability map from the BIZBOK® Guide (if you have a hybrid business model, like you offer both insurance and financial services, you may need to use more than one). Focus on the customer-facing / core capabilities in tier 2 in particular.
  2. Leverage the capability map from the common reference model from the BIZBOK® Guide. Focus on the strategic and supporting capabilities in tiers 1 and 3 in particular, since these apply to most organizations.
  3. Put #1 and #2 together—and supplement with ideas from other non-BIZBOK® Guide reference models—to create your organization’s capability map.

To build a set of value streams for your organization:

  1. Leverage one or more industry-specific value streams from the BIZBOK® Guide. Focus on the external value streams for customers and partners (e.g. Acquire Product) in particular.
  2. Leverage the value streams from the common reference model from the BIZBOK® Guide. Focus on the internal value streams (e.g. Onboard Human Resource) in particular.
  3. Put #1 and #2 together—and supplement with ideas from other non-BIZBOK® Guide reference models—to create your organization’s full set of value streams.

Here’s a handy diagram for you on how to build your capability map and value streams leveraging reference models.


Leveraging-Business-Architecture-with-Reference-Models


Anything else?

Remember that involving the business in the creation of your business architecture is absolutely critical for success. The best way to use industry reference models during this process is to leverage them to get smart and prepare for your facilitated sessions with the business. Don’t make your business people study the reference models.

Are there opportunities to get involved in creating industry reference models?

Yes! There is no better way to contribute and learn than getting hands-on. See More Good Stuff for ways to get involved in the Business Architecture Guild® reference model building activities.

Best of luck building your organization’s business architecture knowledgebase—and to whatever teams you are cheering on in these Winter Olympics as well!

More Good Stuff…

Business Architecture Reference Models (BIZBOK® Guide): You can currently view business architecture reference model content in Part 8 of the BIZBOK® Guide (Business Architecture Guild® membership required). Downloadable content will be made available by the Business Architecture Guild® in the future.

Getting Involved In Business Architecture Guild® Reference Model Building Activities: The Guild offers Reference Model Workshops, which are in-person, hands-on events where business architecture practitioners learn how to create capability maps and value streams while simultaneously contributing to the global body of knowledge related to reference models. Check out the Guild Events page for upcoming workshops. For reference, here’s a deck from one of the previous Workshops with loads of great information you can use. Also, you can contribute to the ongoing efforts to build reference models by joining a Guild Collaborative Team. Go to the Join a Guild Group page and then click on one of the Industry Reference Model Teams.

20 Minute Capability Mapping and 20 Minute Value Stream Mapping (Business Architecture Guild® webinars): Two of the most listened to webinars on capability and value stream mapping. These will fill in any gaps you have on the exact steps to take when building a capability map and value streams for your organization. These are Guild classics.

 The 25 Most Inspiring Olympic Moments of All Time (Greatist): Just for fun and inspiration. A collection of some top awe-inspiring moments that captured us during the Olympics (up until 2014 anyway).

Tales of Passion (TED Talk): More fun and inspiration. A funny and moving TED Talk by author and activist Isabel Allende on carrying the Olympic flag in the 2006 Winter Olympics in Turin, Italy. She may not have competed in the Olympics, but this talk where she shares her “four minutes of fame” and her humanitarian perspective on women is pure gold.

By The Numbers: How To Measure Business Architecture Success


In our last installment, Post No. 20, we looked at how to mature a business architecture practice with intention. On a related note, here in Post No. 21, we will talk about one of those million dollar questions: how to measure business architecture success.

Why do we need to measure our business architecture results in the first place?

Some business architecture teams have a lot of pressure to both build their practice and prove its value simultaneously. Even if you are not in this situation, there are many good reasons for you to measure and communicate your results. For example, all of your great stories and metrics will:

  • Increase awareness and adoption of business architecture across the organization
  • Expand the usage of and advocacy for business architecture in the organization
  • Secure funding, resources and priority for business architecture activities
  • Demonstrate the value of the investment to business architecture stakeholders (i.e. the business architecture leader(s) and other related teams)

Makes sense. So what do we measure?

In StraightTalk-style simplicity, generally two categories of things:

1. The value business architecture provides to the organization – This is the biggie that everyone wants to know about. This includes metrics like what overall impact business architecture is making in the organization (e.g. on customer satisfaction, revenue, cost savings, quality, etc.), how it improves planning and solution development, and generally how valuable people in the organization who use it say it is.

Super important: The metrics you choose here should align with the value proposition and scenarios you defined for business architecture in your organization. If you are struggling to identify the right metrics, it is likely because the way you’ve defined business architecture’s value to the organization was kind of fuzzy to start with. Post No. 2, Start With Why, can help.

2. The maturity of the business architecture practice – Not as hot of a topic as #1, but still really important. This includes metrics like how mature your business architecture practice is and how much progress you’ve made to establish it. It also includes how well it is embedded in and scaled across the organization.

How do we measure all of this?

There are different ways you can approach this and you will likely need a combination of formal and informal methods. For example, you can use metrics and surveys to help you get some hard data while supplementing it with success stories and anecdotes. From a practice perspective of course you have the maturity assessment (remember good ol’ Post No. 20) and even industry benchmarking to help you there.

Check out the handy diagram here to help you make sense of these categories of measurement (with just a few sample metric ideas to get you thinking) and the methods used to capture each. (Note: expanded diagram requires your name and email address for PDF download. Subscribe to StraightTalk to get the premium content without interruption!)

Measuring Business Architecture Success (summary version)

Sounds good, but this seems a bit overwhelming.

Don’t let it be. As with any aspect of your business architecture practice, keep it practical and take it one step at a time. A few tips:

  • Focus. Identify who really needs what information, when and how.
  • Keep it simple to start. Just pick a few simple metrics that you care about and start measuring them. You can always get fancy later.
  • Capture both qualitative and quantitative results. Don’t stress about getting perfect and robust metrics because that is just difficult to do with this discipline. Being able to tell success stories and quote advocates can be just as valuable as the numbers.

Share more about that.

While measuring the maturity and progress of a business architecture practice is relatively straightforward, on the other hand, measuring the value business architecture provides can be a little bit of a challenge. For example:

  • Some business architecture results are intangible, like when it helps to inform decisions or create clarity
  • Business architecture can lead to the avoidance of negative results, like that misaligned investment that you didn’t make or like that compliance issue which didn’t happen
  • Business architecture results can be hard to isolate, because it is one discipline among many working together across the strategy execution ecosystem
  • Business architecture results can create unwanted visibility for some people, so proceed with sensitivity when sharing results

Anything else?

Start measuring your business architecture results and successes from the very beginning—even if this just includes writing down a short success story of each engagement (e.g. what was the situation, how was business architecture used and what results were achieved).

If you approach measuring business architecture success in a simple manner, it is very doable and you will be glad to have the information in the future. And others in the business architecture community will love to learn from you. Happy measuring!

More Good Stuff…

Five Ways to Measure Business Architecture Performance (Jeff Scott): Industry Thought Leader Jeff Scott shares a number of methods used by business architects to measure success. 

Measuring What Makes Life Worthwhile (TED Talk): A talk from Chip Conley on a business model based on happiness and how he learned that success comes from what you count.