An Introduction to Coherency Management: A keynote with Gary Doucet @ ITU 2009.

10 03 2010

The Basics of Coherency Management

Enterprise Architecture is a discipline is about 30 years old. Based on a paper by John Zachman who worked at IBM at the time. Enterprise Architecture is evolving over time and currently it is improving the coherence of enterprises to bridge gaps in organizations and enterprises. Coherency Management is for using Enterprise Architecture to advance the alignment, agility and assurance. It might lead to that IT will help the enterprise in doing its business. To explicitly manage coherency which is a new perspective within this discipline. Coherency Management as a concept is not about if the company is a success or not but a way to investigate the enterprise to find factors that enables the organization is coherent with its goal and processes.

The explicit architecture will assist the management on future development of the organization, its processes and its way to function as an organism.

People is the key in relation to rapid change (and a barrier). This perspective is supported by the view that Chris Potts introduces in his “fruITion strategy”.

Enterprise Architecture is about people” – Chris Potts, IT University of Copenhagen 2010.

Enterprise Architecture is often a Chief Information Office lead project. The main purpose of the Enterprise Architecture is building good IT systems and the Enterprise Architecture project is disconnected from the rest of the organization. Every organization has an architecture. The purpose of the Enterprise Architecture is to make the architecture better.

Ross and Weill (2005) fell into a trap with their definition of Enterprise Architecture since it is way to technology orientated. It should be on how to improve the way the organization does its business.” – Gary Doucet, IT University of Copenhagen 20091.

In general there are four forms of architectures. The first is formalized architecture and the second the un-formalized architecture. There are however three modes of Enterprise Architecture where the more advanced form is called foundation (the extended mode of Enterprise Architecture) where the architects is focusing on understanding the business. The most advanced form is called embedded Enterprise Architecture where you find the process owner and make them modifying the processes.

An example of harvesting artifacts is the government of Canada where the chief of treasure wanted to know about the services they provided for the aboriginal community (first nations) and he therefore asked the best analysts in his administration to find the information; however it took about six months before they finished the process to understand what happened.

Enterprise Architecture is the inherent (existing as permanent and separate) design and management (management and control) approach (you need an approach that works for your organization) essential for organizational coherence leading to alignment (aligning the components of the organization with one another), agility (the ability to change quickly) and assurance (to check up that the products and services and administration is done correctly and accordingly to the corporate strategy).

People always focus on projects but the steady state should be the focus. The Enterprise Architecture is a continuous improvement model. If the organization gets a coherent view then the management and the employees eventually do better decisions. Coherency Management is a new concept but it incorporates existing elements, applications and objectives of Enterprise Architecture but in particular new aspects in particular:

  • Incorporating other process owners.

  • Managing coherency explicitly.

  • Enterprise Architecture as a continuous improvement agent, not simple “AS IS”, “TO BE” and the way to get there.

  • The coherency planning office should be in charge of the coherency project(s).

It is not a new name for Enterprise Architecture. It should be considered a practice within Enterprise Architecture. It is not a project. It is not a demotion for chief architects. It is not an attempt to control all management functions. It is not a quick fix. It is not something that only pays back in 15 to 20 years.

The next thing which has to be implemented in Coherency Management is a measuring model and the involvement with consultancy community.

1The 18th of September 2009 a Keynote at the E-business Association at the IT University of Copenhagen.

Download the paper here.





The New Age of Management: The Focus on Coherency Management!

16 01 2010

The Development of the Organizations:

As you know that the organizations have evolved over time from once in the 19th century where the organizations (companies etc.) where small and insufficient. The organizations in the United States were of the size of 1 – 4 employees who were not selected on their ability but through their social network.

The 20th century formed organizations and created tendencies and pressures in the market that demanded that the organizations had to adapt to create the goods of a high quality for a low price so new markets could be reached. The 20th century introduced a scientific approach to management which was introduced by Frederick W. Taylor. This approach led to the creation of Taylorism and the core principle of Taylorism was to eliminate ineffective work processes.

This led to the construction of a management paradigm which has led to the foundation of the current management approach for the organizations.

Today we see organizations that are multinational or global and these have thousands if not hundreds of thousands of employees e.g., International Business Machines, Ford Motors, Microsoft, Google etc.

All of these works with a specific organizational design typically these have been hierarchical and this has led to specialization, productions increase, profit maximization etc.; however since the end of the production economy by this I mean the economy which was dominated by companies that produced physical products e.g., Cars (Ford). The Western economies evolved from focusing on physical products into providing services and later to focus on how to produce knowledge. The knowledge economy is characterized by the employees are those who are the asset. Their knowledge is the asset which is used to create products and services; however the products and the services are normally produced or provided by a different company in the third world e.g., India, China, Vietnam or Indonesia. Since the employees are the most valued asset then the goal is to make sure that the employees don’t leave the organization and enable them to create more creative and sustainable solutions of which the organization will be able to capitalize on.

This leads us to the evolution of the concept of management.

The Evolution of Management:

Management is defined as:

“Management is the art to getting things done through people” – Mary Parker Follet (Barret 2003, p. 51).

Management has evolved over time like the organizations. There have been several views on how to manage organizations; however this blog post will only deal with what a Coherency Architect should conclude to be relevant.

As mentioned before then there are the first form of structured management is the Taylorism (as mentioned under Scientific Management). This form of management insufficient in the knowledge economy since knowledge workers needs other forms of stimulation than monetary incentives and written orders to perform.

Naturally there was a reaction to the Taylorist approach. This happened when the Japanese companies introduced cheaper products and of superior qualitative which meant that the Western companies had evaluate the way they managed and motivated their employees.

Since the 1970s have the Western companies in one way or the other tried to imitate Japanese companies by developing management and quality systems like Six Sigma, LEAN and Toyota Production System. The reason for why the Western companies haven’t been successful is that they so far have simplified the systemic approach the Japanese makes use of.

The Japanese have a very different approach than Western companies when it comes to management and motivation. First of all the Japanese companies make use of a bottom up approach when it comes to how the organization articulate and implement their strategies. Second of all the Japanese companies have been known for motivating their employees by making them proud of their work and putting an honor in quality. Third of all the Japanese companies are known for lifetime employment which means that they commit themselves to keep the employees employed and as a result of this they expect a higher degree of loyalty and commitment.

The IT waves in the 90s and early 2000s led to leadership and motivation; however to many organizations (typically IT related organizations) didn’t realize how to enable more productivity or for that matter crystallize better products by applying the new forms of leadership. As a result of that many of the organizations failed to survive the IT bobble which proved that to many organizations didn’t have the appeal of the market to survive or they simply didn’t understand their Enterprise Architecture. If these organizations had understood their Enterprise Architecture then a lot of them would have been able to scale the need of their consumption of resources and as result they would have survived.

The new paradigm is that the employees are the asset of the organizations and these should be encouraged to enable them to develop their own products.

Coherency Management:

All organizations have an architecture regardless if members of the organizations are aware of it or not (Doucet et al.).

Coherency Management then deals with how the organization can gain advantages by using Enterprise Architecture. This is done by maturing the organization by diffusing the knowledge of Coherency Management and the by applying the tools from Enterprise Architecture to other parts of the organization. This diffusion needs to be build upon the idea that these have to be embedded in the business processes and continuously be applied with the maturity of the Enterprise Architecture.

In many ways the concept of Enterprise Architecture is based on the same paradigm as the management systems of the 20th century which is defined as structuralism and according to Doucet (Doucet et al., 2009) Coherency Management and the underlying tools such as Enterprise Architecture are typically defused by the IT department to the rest of the organization. This is typically done by the Chief Information Officer who anchor the paradigm in the middle and top management of the organization and gives the members of the IT department the “necessary protection” to enable change within the organization.

Therefore it is safe to assume that the Coherency Management approach will lead to a top down approach as it was the case for many other Western styled organizations. This might lead to the conclusion that Coherency Management in some way will be in a different paradigm than those tools which are suggested by Gary Hamel. However Coherency Management do also have elements which needs to be diffused via the bottom up approach and it has to be embedded into the organizational culture and employees with many different backgrounds have to apply their own views onto the concepts of Enterprise Architecture.

When this come to the consideration of Coherency Management then the drive to implement the concepts of Coherency Management and Enterprise Architecture is defining what paradigm to make use of. If Coherency Management is build upon the idea that the employees should help define the framework and tools the Coherency Management Office will apply in the various processes in the organization. In the other hand quite a few people are scared of change and change anchored in the hands of employees won’t necessary led to change or innovation like Henry Ford mentions in relation the innovation of the mass produced car: “If I had asked them then they would have asked for faster horses”. Therefore should the Coherency Architect keep in mind that the only way to enable change in an organization is to influence the organization culture. The culture can be changed in many ways by the tools of many different paradigms.

In this article I will however only deal with a few frameworks for change.

The first framework is the structuralist approach which where Kotter’s framework will fit into. John P. Kotter presents in his article “Why Change Fails” and this could be supplemented by Kurt Lewin’s unfreeze, move and freeze approach.

The second framework is the interpretive paradigm where the organization constructs some form of “internal” economy where the members of the organization can influence the projects which the organizations initiates. This is done by establishing a form of stock exchange where all the members can invest a fictional amount of company-money to found the projects.

The organizations that adapt this framework needs a strong Enterprise Architecture and move towards Coherency Management; otherwise will the entire change effort be in wane.

The third framework is based on the idea that the employees themselves should be able to choose their leaders and regulate their own production schedules etc.. This kind of coordination needs like the second framework a strong focus on their Enterprise Architecture and thereby also on Coherency Management to assist the employees and the management with keeping the organization on track.

The New Age of Management: A Focus on Coherency Management!$





Architecture Maturity

21 12 2009

Coherency Management is about gaining agility, assurance and alignment and these gains are closely linked to the maturity state of the architecture of the organization. All organizations have an architecture the question is how matured it is.

It is therefore desirable for most organizations to one way or the other to identify, mature and monitor the process. Before the identification takes place then the various characteristics of the architectures have to be dealt with.

The Architectures

In this section I will shortly deal with the architectures that are presented by Doucet et al. (Doucet et al. 2009)

The architecture that hasn’t been exposed to Enterprise Architecture and as a result of this the management or other actors in the organization are not aware of how the organization, its processes and its various layers are designed and interacts. This includes that the organizations isn’t aware of how their IT is used to support the various business processes.

The Foundation Architecture is an architecture that has been exposed to Enterprise Architecture; however this has only been applied for the IT side of the organization to bridge the gap between business processes and IT. In this state the Chief Information Officer (CIO) and the IT department has a great influence on how the Coherency Management tools are applied though this a downside and that is that the rest of the organization rarely understands the idea of Enterprise Architecture.

The Extended Architecture is bit more mature in the context of applying Enterprise Architecture. In context this means that other departments in the organization have identified that Enterprise Architecture tools can be made use of to improve the ability of the organization. In relation to who is in charge for the Coherency Management implementation then it is likely that this has passed from the CIO.

The Embedded Architecture is the so far the most mature level an organization can reach by applying Enterprise Architecture tools and change management. This means that the entire organization make use of Enterprise Architecture tools identify, initiate and implement new processes. This means that the organization has enforced a framework that has to be taken into consideration when new processes have been applied.

In addition to the above mentioned architectures the Balanced Architecture (Doucet et al 2009 p. 224) can be added. This is a future state within the Coherency Management concept.

I will therefore discuss the tools that can be applied.

Why Should Architectures be Matured?

When an architecture matures then the organizations that make use of them also become more agile and better in the sense that the organization easily can implement new processes, flows, systems etc.

This means that the organization can gain value for its stakeholders if the organization apply Enterprise Architecture tools to mature its architecture.

The Tools

There are several tools that can be applied to identify and monitor the state of the organization architecture. I have chosen to make use of Barnard & Grasso (Doucet et al. 2009) that have written a chapter which deals with how Enterprise Architecture can be matured.

According to Barnard & Grasso then these factors are useful to measure:

  • Enterprise Budget & Procurement Strategy.

  • Strategic Governance.

  • Extended Enterprise Architecture Architecture Results.

  • Extended Enterprise Architecture Developments.

  • Extended Architecture Program Office.

  • Business Units Involvement.

  • Executive Management Involvement.

  • Extended Enterprise Involvement.

  • Business & Technology Strategy Alignment.

The above mentioned indicators can be used to identify on what state the organization is on. If the organization is pre-dominantly in the un-mature part of the scale e.g., that the organization has an un-mature architecture. If the organization in any way has indicators that indicates that the organization is on a better level than the sublevel then the Coherency Architect should assume that the organization is maturing its architecture (perhaps implicitly).

There are methods that can be used to mature the architecture. For this the EAAM approach can made use of. The EAMM approach deals with how the Coherency Architect can measure and audit the architecture of the organization.

Control

As with all plans then it is a necessity to work with auditing and control which deals with controlling if the various goals used in the EA programs have been realized. This process is mandatory for every Enterprise Architecture project as it is for every strategic approach.

For this an Enterprise Architecture Audit Program should be established. According to Barnard & Grasso there are to forms for such a program. The first form is the light edition that consist of one to two persons who audit the EA programs in the organization. The analysis of the organization is build upon a superficial (high impact) analysis. The other is the advanced program where two to five persons go through a complete analysis of the EA program.

Coherency Maturity MindMap

Coherency Maturity MindMaps

Sources

Gary Doucet et al., Coherency Management: Architecting the Enterprise for Alignment, Agility and Assurance (International Enterprise Architecture Institute, 2009).

Further Reading

Extended Enterprise Architecture Model (E2AMM v.2.0) (www.enterprise-architecture.info)