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Architecture Value

A4

Define, measure, and communicate the business value of enterprise architecture.

Improvement Planning

Practices-Outcomes-Metrics (POM)

Representative POMs are described for Architecture Value at each level of maturity.

1Initial
  • Practice
    Start to define and articulate the possible impact of EAM on specific projects or within pockets of IT.
    Outcome
    Start to articulate the value of architecture and architecture function within the organization.
    Metric
    The IT budget with any details of allocation to Enterprise Architecture.
2Basic
  • Practice
    Understand the impact of EAM during the budgeting process. Develop some domain-specific architecture metrics (for example # of server vendors, # of operating systems, # of HR platforms).
    Outcome
    Value of architecture is perceived in the context of broader value of IT, however there are no specific and distinctive measures of value for architecture. CIO typically questions: do we need so many architects? Do we get any value from the investment in our architecture function?
    Metric
    The EA budget as a % of the IT budget # of architects % of architecturally significant project with architecture coverage
3Intermediate
  • Practice
    Define and measure the architecture impact on the IT organization by using metrics that are relevant to the broader IT portfolio, for example by assessing the architecture impact on: cost reduction, compliance, project delivery time, improved technical performance. Conduct satisfaction surveys across the IT organization to measure the effectiveness of the architecture function to the IT stakeholders.
    Outcome
    Value of architecture is perceived as a key contributor to the overall value of IT, and some specific and distinctive measures of value for architecture are in place. Architecture Balanced Scorecard established. CIO typically asks how can we increase/optimise the value from the investment in our architecture function?
    Metric
    Approximate measure of value, expressed in monetary terms ($) delivered by the overall investment in Architecture Subjective measure of Value of architects as perceived by key stakeholders
4Advanced
  • Practice
    Jointly measure (Business and IT) the architecture impact and value delivered across the organization. Develop architecture metrics with IT and business stakeholders that define and measure the impact of architecture in business terms e.g. operational improvements, new capabilities enabled, flexibility and time to market. Conduct satisfaction surveys across IT and the business, to measure the effectiveness of architecture on the business value delivered.
    Outcome
    The value of architecture is perceived as a major contributor to the overall value of IT. Specific and distinctive measures of the value of architecture are in place and are used to actively communicated that value. All senior IT stakeholders genuinely value the contribution of the architecture function. CIO typically demands that more architecture initiatives are put forward and prioritised for funding.
    Metric
    Accurate measure of value, expressed in monetary terms ($) delivered by the overall investment in Architecture, and formally accepted/recognized by CIO and CFO - % IT capital spend influenced or driven by architecture - reduction in IT operational spend as result of architecture decision or architecture funded projects - % of time reduction in delivering new IT systems
5Optimized
  • Practice
    Jointly define and measure the architecture impact and value delivered across the business ecosystem. Develop architecture metrics with IT, Business, Partners and Suppliers that define and measure the impact of architecture in business terms across the business ecosystem. Use satisfaction surveys across the business ecosystem, to measure the effectiveness of architecture on the business value delivered.
    Outcome
    The value of architecture is perceived as a key contributor to the overall value of IT, both within and outside the business. The value of architecture is perceived as a key contributor to the overall value of IT and the business. All senior IT and business stakeholders genuinely value the contribution of the architecture function. The CEO and external partners typically demands that more architecture initiatives are put forward and get prioritised funding.
    Metric
    Business value metrics (e.g. re-use, commonality, reliability) Business value metrics (e.g. increased business growth, M&A success, reduced business outages, etc.)