This very short, highly informative video, summarizes two high-level starting points for business architecture.
Thank you - Raj Ramesh
The plan for an organisation is its business architecture.
Overview
Business architecture is the blueprint of the organisation. This blueprint basically shows the different parts of the organisation and how they work together to show how the customer gets value and how money is made.
There are two primary ways to think of your organization:
The first is from a customer perspective - the business operating model;
and the second is from an executive perspective, where all the parts of the organization are grouped logically to define different capabilities that the company has - the business capability model.
Video
Summary
One can look at the organisation either from the point of view of how it works or from the point of view of what it can do. The operational models are meant to make sure that different parts of the business work together to meet the needs of the customer. The capability models, on the other hand, talk about the different capabilities of the organisation and which ones need to be improved in order to put the business strategy into action. These two models are just two different ways to look at the organisation.
The first step in building a business architecture would be to decide whether you want to build an operating model or a capability model. You might want to start out small by building out just one of them. Instead of modelling the whole organisation, you might want to focus on certain parts while keeping in mind that the framework can be expanded. Start with the operating model if the most important problem you're trying to solve is how to better meet customer needs. If, on the other hand, leaders want to figure out how to grow in emerging economies, they should start with the capability model.
Reference
- YouTube, How to start using Business Architecture? - Raj Ramesh
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