Critical Tool for Bisiness and ICT Managemnet

8/13/2019 Critical Tool for Bisiness and ICT Managemnet

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Michael Rosen

Architecture:

Critical Tool forBusiness and ICT

Management

Mike Rosen

Director, Enterprise Architecture

Cutter Consortium

[email protected]


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2012 Michael Rosen

Agenda

Why we need Architecture?

What is Architecture?

Management Processes

Decision Framework

Example

Project Portfolio Management

EA Programs

Conclusions

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2012 Michael Rosen

Mike Rosen Consultant

IT Architecture and Strategy

Chief Enterprise Architect for service- and component-based systems

EA, SOA, programs, implementation, strategy and training

30+ years experience in distributed systems, software and architecture

Author Cutter Consortium Reports

Business Capability MapsThe Rosetta Stone of IT Transformation

Architecture for the Sustainable Enterprise 10 Things an Architect Does to Add Value

EA by Example

Designing Service Oriented Applications

EAIts not Just for IT Anymore

Agile Methods and Enterprise Architecture

Enterprise Architecture Roll-out and Training

An Application Centric Approach to Enterprise Architecture

Books SOA Applied: Architecture and Design Strategies, 2008, Wiley

Developing e-Business Systems and Architecture: A Managers Guide,2000, Morgan-Kaufman

Integrating CORBA and COM Applications, 1998, Wiley

Member Business Architecture GuildFounding Member

Penn State Center for EA EducationAdvisor Board SOA InstituteEditorial Director

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2012 Michael Rosen

Banking Example

Merger of two banks with different lines of business

Need new payment mechanism that goes across lines of business

Payments implemented on existing mainframe applications

PolicyAdministration

Quoting

Pricing

Customer

Collect

ApplicationInformation

CreatePotential

Customer

Underwrite Price

CreateQuoteReceive

Request forQuote

Validate

Request

QuoteRequest

WithinLimits

Yes

ReceiveQuote

No

Policy

Business ProcessModel

Data

Data

Existing Systemsand Data

How do you get fromhere to there?

4


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2012 Michael Rosen

A Typical Integration Scenario

Data

OtherSystem

Data

AccountSystem

Data

LOB

System

Data

LOB 2 System

PolicyAdministration Q

uoting

Pricing

Customer

CollectApplication

Information

CreatePotential

Customer

Underwrite Price

Create QuoteReceive

Request forQuote

Validate

Request

QuoteRequest

WithinLimits

Yes

ReceiveQuote

No

Policy

Data

ApplicationSystem

Data

Application 2System

5


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2012 Michael Rosen

This Doesnt Scale

Data

OtherSystem

Data

AccountSystem

Data

Data

LOB

System

LOB 2System


Quoting

Pricing

Customer

CollectApplicationInformation

CreatePotentialCustomer

Underwrite Price

Create QuoteReceive

Request forQuote

ValidateRequest

QuoteRequest

WithinLimits

Yes

ReceiveQuote

No

Policy

Data

Data

Application 1System

Application 2System


Quoting

Pricing

Customer



Underwrite Price

Create QuoteReceive

Request forQuote

ValidateRequest

QuoteRequest

WithinLimits

Yes

ReceiveQuote

No

Policy

PolicyAdministration Q

uoting

Pricing

Customer



Underwrite Price

Create QuoteReceive

Request forQuote

ValidateRequest

QuoteRequest

WithinLimits

Yes

ReceiveQuote

No

Policy

6


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The Result: Enterprise Application Spaghetti

7



Complexity and Inconsistency

Multiple redundant applications and data

Application responsibility overlap and gaps

Proliferation of platforms and products

New devices and sourcing models

Virtualization, cloud computing

Proliferation of data

Inconsistency across data and application

Projects done in isolation

Wasted effort

Short-sighted approach leads to increased maintenance8



Business Complexity

IT will be complex when the business is complex.

Todays business environments: Businesses demanding agility and adaptability

Forays into new markets

Dramatically upsizing and downsizing

Mergers and acquisitions

and so on.

Complexity can be unavoidable or accidental

You cant escape the complexity of your business. Instead,you must address complexity where it exists, to understand itat its source, and to then make decisions based on thatunderstanding.

9



Technical Debt

Pay me now, or pay me later

Technical Debt refers to delayed technical work that is incurred when

technical short cuts are taken, usually in pursuit of calendar-driven

software schedules. Just like financial debt, some technical debts can

serve valuable business purposes. Other technical debts are simply

counterproductive.

Doing things the quick and dirty way sets up technical debt, which is

similar to a financial debt. Like financial debt, technical debt incurs interest

payments, in the form extra effort that we have to do in future

development because of the quick and dirty design choice. We can

choose to continue paying the interest, or we can pay down the principal

by refactoring the quick and dirty design into better design. Although it

costs to pay down the principal, we gain by reduced interest payments in

the future.

10



Enterprise Technical Debt

Technical debt accrues as we maintain and evolve systems without

refactoring them to accommodate the changes. This builds up fragile systemsthat cant be changed, and cant accommodate the evolving businessrequirements.

The Enterprise is also an evolving system. Enterprise complexity results intechnical debt in terms of system integration, system redundancy andinconsistency.

The cost of technical debt isnt simply the cost to fix it, it is also the cost to thebusiness in terms of inflexible and fragile IT systems that cant be changed tomeet current business needs, and the lost opportunities they present.

Architecture sets standards for platforms, data, security, and many otherthings. Not following the standards results in inconsistencies, redundancies,

and additional operational costs, all a kind of debt that will either continue toincur interest, or require expenditures to pay down the principle.

Architecture helps avoid and reduce technical debt, and address complexity,especially at the enterprise level (rather than the individual project level).

11



Important Questions

What is the root cause of these problems?

Does it have to be that way?

How can we prevent them in the future and still meet the increasing

demands on IT?

12



View of IT Architecture

EnterpriseSystems

Data

representations

Platforms andtechnologies

Applications,

services,

processes

Desktop and

business systemsnot controlled by IT

Source: Business Architecture:

The Art and Practice of Business Transformation 13



IT System Spectrum

Shadow Systems

Enterprise SystemsLow cost to procure

Unaccounted forHigh cost to procure

Managed

Management

OperationsHelp Desk

Availability

Reliability

Scalability

Integration

BackupDR / BCP

Security

Entitlements

Compliance

Audit

Tech. Refresh

High Risk High Cost

Where will Cloud Systems Fit?

14



Who Owns the Problem?

Application

A

Application

C

Application

B

Business

Unit A

Business

Unit C

Business

Unit B

CEO

15



Maintenance

Integration

New Applications

The Cost of Technical Debt

70-90%15-30%

5-15%

16



Executive Summary

Enterprise Architecture is essential for every modern

enterprise that wants to be competitive in the future.

The most vital [CIO level] decisions being made in companies today

concern enterprise architectureCIO Magazine, 9/2010

Technical Debt drives competitiveness down and costs up. But, is often overlooked by business planning processes

EA can help

Provide alignment with the business

Support Portfolio Management and decision making

Manage complexity

Reduce costs and increase flexibility

17



Architecture to the Rescue

The enterprise is not an application in isolation, it is the collection

of all applications

Put projects, applications, and data into context

Understand the relationship between projects

Align applications and projects to business and enterprise goals

Standardize to simplify and economize

Think ahead

Be practical

18



Is Architecture Necessary?

How can we address business complexity and avoid accidental

(unnecessary) complexity?

Business owners of any enterprise application:

I cant get the data I need from application x.

Enterprises require applications that: Support an enterprise value chain.

Applications must exchange information.

The enterprise needs common business semantics

Aggregate information to support executive decision making. Correlate and combine information from disparate applications.

The enterprise needs common business semantics.

Enterprise Architecture provides a common understanding of the

business, the processes and information that go into it, and how they

contribute to meeting goals and strategy.

19



Agenda




Decision Framework

Example


EA Programs

Conclusions

20



What is Enterprise Architecture?

Fundamentally, EA is about:

Managing complexity and change

Aligning present and future IT systems with business goals and strategy

Maximizing the business value of IT

Additional (tactical) goals are to: Reduce IT expenditures via common infrastructure and platforms

Provide integration of enterprise systems and data

Reduce redundancies and inconsistencies

Support IT portfolio management, decision making, and governance

Guide development and outsourcing of applications

Enterprise Architecture includes a wide range of topics

ArchitecturalDomains include: Business, Information, Applications, Technology,

Security, Performance

ArchitecturalPractices include: Architecture development, design, governance, trends,

portfolio management, planning, consulting, .

Artifactsproduced include: Specific architectures and models, standards, reference

models, roadmaps, processes, assessments, 21



BusinessCapabilities, Processes, Organizations

InformationData + Context

Drivers

Internal

Business

Objectives,

Goals,Strategies

External

IT Technologies

Economic Environment

Regulatory Environment

Drivers

InternalBusiness

Strategy + Tactics

Goals + Objectives

External ApplicationPortfolio of IT Solutions, Systems

TechnologyNetwork, Servers, Databases, Data Centers

EA Stack Domains and Disciplines

Technology

Costs, Complexity

Lifecycles

Business

Competition

Regulations Economy

Technology

Trends

Security

Performance

Metho

ds,

Tools,

Governance

Pe

ople,

Organizations

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Drivers

Internal

Business

Objectives,

Goals,Strategies

External

IT Technologies



Drivers

InternalBusiness

Strategy + Tactics

Goals + Objectives



Enable

Decisions

Manage

Information

Execute

Processes

Enable

Applications

EA Domain Relationships

Technology

Costs, Complexity

Lifecycles

Business

Competition

Regulations Economy

Technology

Trends

Security

Performance

Metho

ds,

Tools,

Governance

Pe

ople,

Organizations

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Drivers

Internal

Business

Objectives,

Goals,Strategies

External

IT Technologies



Drivers

InternalBusiness

Strategy + Tactics

Goals + Objectives



EA Change Drivers

Technology

Costs, Complexity

Lifecycles

Business

Competition

Regulations Economy

Technology

Trends

Security

Performance

Methods,

Tools,

Governance

Pe

ople,

Organizations

Busine

ssChangedrives

changed

ownintoeachlay

er

TechnologyChangeatthelo

werlevels

enable

schangesatthehig

herlevels

24


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Architecture Value Proposition

The agile, real-time enterprise. Enterprise wide processing and

value chain

Reduced costs to implement, maintain, evolve, and retire

applications

Improved customer satisfaction

Consistency across applications

Improved IT Operations

Common semantics and information

Interoperability between applications

Integration of applications

Reuse of infrastructure, frameworks, utilities

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User Interfaces

Improving Productivity and Consistency

Custom

Infrastructure

Architecture

Custom

Processes

Business

services, processes

and entities

Tools

User Interfaces

Infrastructure

and processes

Architecture

Tools

Business

services, processes

and entities

Cost of a

new

application

Dramatically

reduce costs

by utilizing

existing IT

assets

Typical application

Today

Built mostly from scratch

Infrastructure

and processes

Existing

New

Key: High productivity

Tomorrow

Built on an existing foundation

Each

application

needs

the sameparts. Dont

build

them all

each time.

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The Importance of Early Knowledge

Courtesy: Cutter Fellow Ken Orr

time

expenditure

expenditurescommitted

domain/technology knowledge

project costs

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Architecture Reduces Risk

Architecture determines: Flexibility or rigidity of the application

Ability to combine or reuse services

Ability of applications to integrate and interoperate

Ability to evolve the applications and infrastructure

Consistency of service implementations Consistency of operations and maintenance

Consolidation of infrastructure

Correct use of platform capabilities

Performance, security, reliability, availability

Achievement of QoS and non-functional requirements

Reference architecture provides these capabilities to everyapplication and allows them to concentrate on providingbusiness value

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Agenda




Decision Framework

Example


EA Programs

Conclusions

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ICT Management

S T R A T E G I C

T A C T I C A L

(MANAGERIAL CONTROL)

O P E R A T I O N A L

The

Business ICT

Demand

Supply


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The Tool Kit Needed (Competency)

The

Business ICT


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Projects

Planning

Architecture Domains

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Project Planning

Project Execution

(Business) Strategic IT Planning

(Technology) Strategic IT Planning

Architecture Domains

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Portfolio Management

Project Planning

Project Execution

(Business) Strategic IT Planning

(Technology) Strategic IT Planning

ApplicationPortfolio

Management

Project

Portfolio

Management

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Thinking Strategic

IT

Application,

Infrastructure

Portfolios

Business Gaps

Technical Debt

Performance Gaps

IT Strategic Intentions

and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and

Strategic Initiatives

Business Strategic

Requirements for IT

The thought process

begins with the business

intentions and identifies

the ICT required to meetneeds


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Thinking Strategic to Projects

IT

Application,

Infrastructure

Portfolios

Business Gaps

Technical Debt

Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


The thought process




The second process

considers gaps with

current as-is ICT.


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2012 Michael Rosen


IT

Application,

Infrastructure

Portfolios

Business Gaps

Technical Debt

Performance Gaps


and Strategic

Initiatives

Business Strategic

Intentions and


The thought process




The second process

considers gaps with

current as-is ICT.

The third translates

this into needed

ICT actions


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2012 Michael Rosen


IT

Application,

Infrastructure

Portfolios

Business Gaps

Technical Debt

Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

The thought process




The second process

considers gaps with

current as-is ICT.

The third translates

this into needed

ICT actions


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2012 Michael Rosen

Architecture

IT

Application,

Infrastructure

Portfolios

Business GapsTechnical Debt

Performance Gaps

IT Strategic Intentionsand Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

Architecture works at four levels:

1. Assessment.

This covers technical debt,

other architecture reviews.

2. Business plans for the use of

IT in the business.

Architecture provides

frameworks for process and

information.

3. Create the architecture

roadmap, standards and

references that formalize theIT strategic intentions.

4. Projects and initiatives.

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Architecture

IT

Application,

Infrastructure

Portfolios


Performance Gaps


Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT


1. Assessment.



2. Business plans for the use ofIT in the business.



information.


roadmap, standards and

references that formalize the

IT strategic intentions.


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Architecture

ITApplication,

Infrastructure

Portfolios


Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT


1. Assessment.






information.


roadmap, standards andreferences that formalize the



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Architecture

ITApplication,

Infrastructure

Portfolios


Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT


1. Assessment.






information.


roadmap, standards andreferences that formalize the



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Application Portfolio Management


assesses each application for:

1. Technical gaps with performance,

quality, risk; connection with

architecture vision and standards.

2. Business gaps with the as-is

applicationshow they support

current and future business

strategic requirements

3. Technical debt with theas-is applications

The same assessment applies to

infrastructure services.

ITApplication,

Infrastructure

Portfolios


Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

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assesses each project for:

1. Technical gaps with

performance, quality, risk;

connection with architecturevision and standards.

2. Project Management status,

risks

other mitigation issues

3. Business Case

4. Prioritization, Project

Selection,

Scheduling

ITApplication,

Infrastructure

Portfolios


Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

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Strategic IT Planning


focuses on business.

It begins with strategic intentions,

works with business capability /

strategic activities, andidentifies where IT is a critical

enabler.

It concludes with the

business strategic requirements.

These become initiativesand projects. ITApplication,

Infrastructure

Portfolios


Performance Gaps


and Strategic

Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

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The Process

Architecture+

IT Portfolio

Planning

Phase IStrategic BusinessIntentions:

Phase II

Use of IT:

Capabilities

Requirements Develop Gap

Assessments

Application Portfolio

ManagementPhase III

Supply of IT:

Current Application Assessment

Gap Analysis

Phase IVStrategicInitiative

Planning: Project Initiative

Proposals

Phase V

Annual Planning:

Process Prioritization and ITAlignment with SBIs

Project Portfolio

Management Desired Business Outcome

Metrics

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Agenda




Decision Framework

Example


EA Programs

Conclusions

47


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Context for Decisions

Business Plan(Annual)

IT Plan(Annual)

Business

Strategic

Intentions

(Strategic Business

Plan)


Projects

Performance Measurement Metrics

Annual IT Planning

Action

and

Results

Strategic IT

Requirements

Strategic IT

Agenda

Strategic IT Plan

Enterprise Architecture

Project Plan(Annual)

Projects Budget

Lights-OnBudget

The Business Enterprise Organization: Lines of Business, Departments1

12

42 11

10

86

9

7

5

3

AssessedPortfolios

(Alignment,

Service/Quality,

Technology)

2

1. Strategic Planning identifies demand; APM identifies

gaps

2. Architecture transforms demand into roadmap

3. IT Planning identifies resources

4. Project Portfolio Management balances projects

5. Architecture provides lens for evaluation

DEMAND

SUPPLY

5

a2

a

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Another View of an Overall Management Process

Context


IT Plan(Annual)

Business

Strategic

Intentions

(Strategic Business

Plan)


Projects


Annual IT Planning

Action

and

Results

Strategic IT

Requirements

Strategic IT

Agenda

Strategic IT Plan



Projects Budget

Lights-OnBudget


12

42 11

10

86

9

7

5

3

AssessedPortfolios

(Alignment,

Service/Quality,

Technology) 2

DEMAND

SUPPLY

49

WhatDecisions Are

Made at each

Phase ?


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2012 Michael Rosen

Context for Decisions


IT Plan(Annual)

Business

Strategic

Intentions

(Strategic Business

Plan)


Projects


Annual IT Planning

Action

and

Results

Strategic IT

Requirements

Strategic IT

Agenda

Strategic IT Plan



Projects Budget

Lights-OnBudget


12

42 11

10

86

9

7

5

3

AssessedPortfolios

(Alignment,

Service/Quality,

Technology) 2

a

1. Strategic Planning identifies demand; APM identifies

gaps

2. Architecture transforms demand into roadmap

3. IT Planning identifies resources

4. Project Portfolio Management balances projects

5. Architecture provides lens for evaluation

DEMAND

SUPPLY2

5

a

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A Process View

BU Use of IT

to Achieve

Strategic

Performance

Agency Demand for IT IT Supply of Information, Automation

Agency

Strategic

Intentions

StrategicObjectives

Business Unit

Objectives

for Strategic

Intentions

How will the

BU achieve

strategic

objectives?

Initiativesfor Strategic

Intentions

How will the

BU and

Agency Use IT

to Achieve

StrategicIntentions

IT Strategic

Intentions

Strategic

Objectives

Strategic

Intiatives

(Programs)

Strategic

Roadmap

Strategic

Activities for

the BU


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2012 Michael Rosen

The Process Integration

The Strategies

Needed for IT

The IT

StrategicIntentions

The Strategic

Roadmap

Initiatives,

Timelines andBudgets

Business Demand for IT IT Supply of Information, Automation

Defined

Strategic

Objectives

The Business

Strategic

Intentions

Each Business

Unit's Strategic

Objectives for

addressing each

of the Strategic

Intentions

HowtheBusiness Unit

will address the

Strategic

Intentions

The Business

Initiatives being

takenThe Strategic

Initiatives

(Programs,

Projects)

required

Howthe BUswill use IT

(Information,

Automation,

Communi-

cations) to

achieve the

Strategic

Objectives

Howthe BUs

will use IT

(Information,

Automation,

Communi-

cations) to

improve the

"Strategic

Activities"

The "Strategic

Activities" that

have to be

done well, to

achieve the

Strategic

Intentions

The Strategies

Needed for IT

The IT

Strategic

Intentions

The Business-

Focused

Strategic

Initiatives

(Programs,

Projects)

required

The Strategic

Roadmap

Initiatives,

Timelines and

Budgets

APM

How IT will

Achieve the

Strategic

Intentions

The Initiatives

To Be Taken

1 2 3 4


IT Plan(Annual)

Business

Strategic

Intentions

(Strategic BusinessPlan)


Projects


Annual IT Planning

Actionand

Results

Strategic IT

Requirements

Strategic IT

Agenda

Strategic IT Plan



Projects Budget

Lights-On

Budget

The Business Enterprise Organization: Lines of Business, Departments

1

12

42 11

10

86

9

7

5

3

Assessed

Portfolios

(Alignment,Service/Quality,

Technology)

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The Strategies

Needed for IT

The IT

StrategicIntentions

The Strategic

Roadmap

Initiatives,



Defined

Strategic

Objectives

The Business

Strategic

Intentions

Each Business

Unit's Strategic

Objectives for

addressing each

of the Strategic

Intentions

HowtheBusiness Unit

will address the

Strategic

Intentions

The Business

Initiatives being

takenThe Strategic

Initiatives

(Programs,

Projects)

required


(Information,

Automation,

Communi-

cations) to

achieve the

Strategic

Objectives

Howthe BUs

will use IT

(Information,

Automation,

Communi-

cations) to

improve the

"Strategic

Activities"

The "Strategic

Activities" that

have to be

done well, to

achieve the

Strategic

Intentions

The Strategies

Needed for IT

The IT

Strategic

Intentions

The Business-

Focused

Strategic

Initiatives

(Programs,

Projects)

required

The Strategic

Roadmap

Initiatives,

Timelines and

Budgets

APM

How IT will

Achieve the

Strategic

Intentions

The Initiatives

To Be Taken

1 2 3 4

Planningfor

a Business

Planningfor the

Enterprise

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The Strategies

Needed for IT

The IT

StrategicIntentions

The Strategic

Roadmap

Initiatives,



Defined

Strategic

Objectives

The Business

Strategic

Intentions

Each Business

Unit's Strategic

Objectives for

addressing each

of the Strategic

Intentions

HowtheBusiness Unit

will address the

Strategic

Intentions

The Business

Initiatives being

takenThe Strategic

Initiatives

(Programs,

Projects)

required


(Information,

Automation,

Communi-

cations) to

achieve the

Strategic

Objectives

Howthe BUs

will use IT

(Information,

Automation,

Communi-

cations) to

improve the

"Strategic

Activities"

The "Strategic

Activities" that

have to be

done well, to

achieve the

Strategic

Intentions

The Strategies

Needed for IT

The IT

Strategic

Intentions

The Business-

Focused

Strategic

Initiatives

(Programs,

Projects)

required

The Strategic

Roadmap

Initiatives,

Timelines and

Budgets

APM

How IT will

Achieve the

Strategic

Intentions

The Initiatives

To Be Taken

1 2 3 4

Enterprise

Architecture

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Application

Portfolio

Management


The Strategies

Needed for IT

The IT

StrategicIntentions

The Strategic

Roadmap

Initiatives,



Defined

Strategic

Objectives

The Business

Strategic

Intentions

Each Business

Unit's Strategic

Objectives for

addressing each

of the Strategic

Intentions

HowtheBusiness Unit

will address the

Strategic

Intentions

The Business

Initiatives being

takenThe Strategic

Initiatives

(Programs,

Projects)

required


(Information,

Automation,

Communi-

cations) to

achieve the

Strategic

Objectives

Howthe BUs

will use IT

(Information,

Automation,

Communi-

cations) to

improve the

"Strategic

Activities"

The "Strategic

Activities" that

have to be

done well, to

achieve the

Strategic

Intentions

The Strategies

Needed for IT

The IT

Strategic

Intentions

The Business-

Focused

Strategic

Initiatives

(Programs,

Projects)

required

The Strategic

Roadmap

Initiatives,

Timelines and

Budgets

APM

How IT will

Achieve the

Strategic

Intentions

The Initiatives

To Be Taken

1 2 3 4

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Application

Portfolio Management

Objectives

The Application Portfolio

Management (APM) Framework

Process is intended to answer the

following questions: What exactly are we spending on

applications?

How well do our applications achieve

our business goals?

Are we effectively using our

applications? Are our applications performing at the

quality and service levels needed?

Are there significant technical or

business risks hidden in our current

applications?

The desired outcome of the

APM Framework Process is

better decisions:

Achievement of the businessobjectives

Cost Management

Service level performance to

attain higher quality applications

Technology Risk Management

Security Management

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Agenda




Decision Framework

ExampleAngus Financial Services


EA Programs

Conclusions

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Business Strategic Intentions

Customer Relationship - Provide information and tools to

strengthen the relationship with every customer.

Branch Support - Provide the branch with tools, managementprocesses, and products to grow the business in the community.

Personnel and Staffing - Provide tools to enhance theperformance of staff and reduce the requirements for staff.

Integrated Financial Services - Strengthen the transition of AFSto an integrated financial services organization.

Technology Business Support - Simplify, reduce complexity, andincrease speed of response to business requirements.

Performance and SecurityOperate effectively in bankoperations, compliance and security areas.

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Strategic IT Intentions

Business Focus. Maintain a consistent business focus for IT

planning and decisions at AFS.

360 View Establish a complete, comprehensive view of everycustomer.

Integrated Processes Integrate information and businessprocesses for all AFS business areas.

Reduce complexity throughout AFS in both technology andbusiness process areas.

Respond quickly and effectively to business change andopportunity.

Quality of services Provide the highest quality of technologyservices throughout AFS.

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Analysis

/ Reporting

Security

Tools

Presentation

ChannelsInformation

Mgmt

Business

Capabilities

(SOA)

Business

Processes

Internal

Processes

IT ManagementDW

ODS

Prime

Info.

Services

CORE

Strategic

Applications

Other Apps

Industry and

Market Data

Applications Information Processes Analysis Access / Users

Infrastructure

Overall Architectural Vision

Operational

Efficiency

Data

Management User

Relationship

Project

Enhancement

Management

and Planning

Security

Primary information flow

63

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Infrastructure

Next Gen

NetworkITIL Mgm t

Virtual Servers

(Wintel)

Security

Performance

MonitoringImaging

Analysis

/ Reporting

Executive

Dashboard

Customer

Relationship +

Opportunities

Risk

Compliance

Loan +

Product

Lifecycle

Document

Management

Direct

Customer

Branches

OperationsAudit

Security

Compliance

Marketing

LOBs

Credit Card

Wealth Mgmt

Mortgage

Holding

HR

Credit Admin

Finance

IT

Compliance

Tools

Financial Plan

Cost

Accounting

Risk Mgmt

Profitability

Presentation

(SharePoint)

Browser

Mobile

Spreadsheet

Document

. ..

Channels

ATM

Internet

Phone

Teller

.

Info. Mgmt Business

Capabilities

(SOA)

Business

Processes

Loan Orig.

Internal Process

HR

Resources

Training

KPI

KPI

IT ManagementPerformance

SubsystemKPI

DW

ODS

Customer

Product

Services

Employee

Prime

Info.

Services

(SOA)

CORE

Premier

CC

Trust

PV

Mortgage

Strategic

Applications

EZ Teller

Appro

LazerPro

360 View.

Other Apps

BCS

BAM

ABRA

.Industry Data

ConceptualTargetArchitecture

Version0.2

10-Dec-2009

SLA

SLA

SLA

Primary information flow64


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Reminder: Application Portfolio Management


assesses each application for:

1. Technical gaps with performance,

quality, risk; connection witharchitecture vision and standards.

2. Business gaps with the as-is

applicationshow they support

current and future business

strategic requirements

3. Technical debt with the

as-is applications

The same assessment applies to

infrastructure services.

IT

Application,

Infrastructure

Portfolios


Performance Gaps


Initiatives

Business and

Technical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

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Application Portfolio

AppNumber

ShortName

LongApplicationN

ame

1 360 View In-business CRM application

2 ACH Billing/ReturnsProcesses ACH Returns from PIM7000s and PIM3201. Unpaid items

are processed for billing and/or returns.

3 AppTracker

Credit Card application processing Access database program.

Receives applicants from Credit Time. Enables employee incentive

payments, letter genenrating and data analysis.

4 ATM Fraud UIUser interface for bank operations to monitor and manage fraud

issue relating to debit/atm cards.

5 ATM Web Admin

Sometime called the "180 day database," it is a web based UI for

bank operations personell to administer customer debit/atm cards.

Provides transaction history (180 days) and card management

functions.

6 Automate Key emulator program

7 AutoPrimeAutomates the creation and distribution of regularly scheduled prime

reports

8 BAM Anti money laundering and fraud detection system

9 BCS

Bank Control System - back office resolution, posting and

reconciliation automation.

10 BIL2006

Back end process that monitors merchant capture, branch capture

and Item processing systems for tracking duplicate deposit

item submissions; also used for customer billing of deposited

(Merchant Capture) items.

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Starting Point for Application Portfolio

S

hortName

TotalRun(OM)Costs

To

talGTCost

TotalRu

n(OM)+GTCost

Planned

NumberofUsers

Current

NumberofUsers

NumberofApplication

Interfaces

NumberofServers

#ofSev1and2

Brea

k/Fixes(2009)

BISPSecurity

Classification

InitialY

earofProduction

Last

MajorUpdate

Current

PlanstoUpdate

Minor

Enhancements

M

aintenance

360 View 167,241 55,200 222,441 1000 863 18 13 2 M 2002 2009 Y X X

ACH 9,128 29,325 38,453 250 191 4 9 2 M 2006 2010 Y X X

AppTracker 501,473 446,859 948,332 3550 3275 10 22 4 M 2002 2011 N X X

ATM Fraud UI 16,000 333 16,333 265 265 3 7 M 2005 2005 Y X

ATM Web Admin 150,000 308,000 458,000 300 300 3 4 1 L 1996 2007 Y X X

Automate 6,500 15,000 21,500 156 156 4 L 1998 2009 Y X

AutoPrime 16,000 16,000 1200 900 8 7 M 2010 2010 Y X X

BAM 442,839 384,328 827,167 3700 3195 5 4 1 M 2011 Y X X

BCS 105,000 187,000 292,000 200 200 4 4 L 2011 Y X

BIL2006 290,315 197,620 487,935 3250 3250 2 8 1 L 2006 2011 Y X X

CETO 1,626,118 198,474 1,824,592 600 470 3 61 3 M 2008 2011 Y X X

Check Kit 246,250 305,000 551,250 400 400 8 L 2003 2009 N X

Dealer Billing 630,620 630,620 2500 2500 13 7 M 2003 2009 N

Dealer Reserve 182,320 512,330 694,650 600 270 1 3 L 2010 2011 Y X X

DealerTrack 11,088 11,088 50 50 1 3 1 M 2001 2005 Y X X

Docuware 6,853 6,853 M 2009 2009 N

DTS Run 217,000 217,000 1000 250 H 2009 2009 N

DTSRun (DP) 249,407 527,383 776,790 5000 1500 1 8 M 2007 2010 Y X X

E3 0 19,300 19,300 600 500 1 M 1997 2009 Y X

eCAS 970,852 991,640 1,962,492 4000 4000 2 16 1 M 1997 2010 Y X X

eCom 304,783 228,176 532,959 4 21 L 1990 2006 N X X

EcomAdmin 246,250 246,250 600 600 1 20 M 2007 2010 Y X XEcomFocus 556,928 359,000 915,928 3000 3000 21 3 M 2007 2009 Y X X

ExactTMS 9,000 9,000 10 10 1 2 M 1992 2009 Y X

EZTeller 537,524 241,076 778,600 3000 3000 1 3 M 2003 2010 Y X X

Cash Balance 246,250 605,000 851,250 600 600 1 10 M 2001 2011 S X X

FIB Tickler 16,000 16,000 1200 900 8 7 M 2010 2010 Y X X

FIBLynx 1,671 109,610 111,281 5000 3650 2 7 3 L 2008 2011 Y X X

Focus 1,723,333 1,861,175 3,584,508 250 200 11 8 2 M 2007 2009 N X X

Focus-Credit Cards 246,250 250,000 496,250 600 600 1 20 M 2003 2010 N X X

Focus-Mortgage 464,775 185,130 649,905 100 100 2 10 M 2009 2009 N X X

GenerateHsaOutput 88,000 88,000 150 150 1 6 M 2002 2005 Y X X

ImageRPS/Lockbox 406,120 97,944 504,064 3000 2670 4 8 L 1998 2010 Y X X

10,691,889 8,114,903 18,806,791

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Application Portfolio Data

ApplicationNumber

ShortName

TotalRun(OM)+GTCost

CustomerRelationship

BranchSupport

PersonnelandStaffing

IntegratedFinancialServices

TechnologyBusinessSupport

PerformanceandSecurity

BusinessStrategicIntention

Index

BusinessStrategic

IntentionRank

RequrementforFuture

StrategicIntentionSupport

InvestmentforGreater

BusinessImpact

BusinessFocus

360View

IntegratedProcesses

ReduceComplexity

RespondQuickly

ServiceQuality

AdjustmentStrategic

IntentionSupport

ITStrategicIntentionSupport

Index

ITStrategicIntentionRank

OpportunityforGreater

TechnicalImpact

CostforGreaterTechnical

Impact

ImpactofArchitecture

Roadmap

CompliancewithCurrent

ArchitectureStandards

ArchitectureandTechnology

Fit

TECHNICALDEBT

AdjustmentITArchitecture

ArchitectureIndex

ArchitectureRank

Availability

Responsiveness

Reliability(Breakage)

PerformanceIndex

Functionality

EaseofUse

DataAvailability

DataAccuracy&Quality

DataTimeliness

TrainingRequirements

QualityIndex

Availability

Responsiveness


RemotePerformanceIndex

Functionality

EaseofUse

DataAvailability

DataAccuracy&Quality

DataTimeliness


RemoteQualityIndex

ICTAbilitytoSupport

VendorCommitmenttoSupp

QualityofVendorSupport

ImpactofVendorFailure

Complexity

(Old)SupportRiskRank

SupportRiskindex

SupportRiskRank

AvailabilityImpact

IntegrityImpact

ConfidentialityImpact

DataVulnerability

OtherVulnerability

SecurityIndex

SecurityRiskRank

3 2 1 2 1 1 10 1 2 1 1 2 3 10 1 2 1 5 1 10 1 1 1 3 1 1 1 1 1 1 6 1 1 1 3 1 1 1 1 1 1 6 1 1 1 1 1 10 1 1 1 1 1 6

1 360 View 222,441 3 3 3 3 4 2 30 7 1 5 4 4 5 4 3 34 4 2 3 5 5 4 3 34 10 3 3 3 9 5 5 4 3 3 3 23 3 3 3 9 5 5 4 3 3 3 23 5 3 4 19 8 5 3 3 5 3 19 16

2 ACH 38,453 4 5 4 4 4 2 40 1 3 5 4 4 1 4 3 4 - 3 35 2 3 3 2 3 3 2 21 23 4 5 4 13 2 3 3 2 5 4 19 5 2 4 11 2 3 3 2 5 4 19 4 3 18 18 17 3 3 3 5 3 17 26

3 AppTracker 948,332 4 4 4 1 3 3 32 5 5 3 5 5 4 1 4 28 10 3 2 4 5 3 4 37 4 4 4 4 12 4 5 3 4 4 4 24 4 4 4 12 4 5 3 4 4 4 24 5 3 4 19 8 3 3 3 1 2 12 33

4 ATM Fraud UI 16,333 1 1 4 4 13 27 5 3 2 4 1 4 3 3 -3 30 7 4 1 4 1 15 32 5 4 4 13 4 5 4 4 4 4 25 4 2 4 10 4 2 4 4 4 4 22 4 4 4 19 8 5 3 3 5 3 19 16

5 ATM Web Admin 458,000 4 4 4 4 3 35 3 4 2 5 1 1 3 3 2 -3 23 15 3 4 4 5 5 4 39 1 4 4 4 12 4 5 5 4 4 4 26 4 2 4 10 4 2 2 1 4 4 17 4 3 18 18 17 3 4 18 24

6 Automate 21,500 5 5 4 4 23 12 1 3 5 1 3 2 18 21 3 3 3 3 3 1 17 30 5 5 3 3 3 3 5 17 2 5 7 3 2 3 3 5 16 3 4 18 18 17 3 4 18 24

7 AutoPrime 16,000 3 4 5 3 25 8 1 2 5 4 1 4 3 24 14 3 3 4 1 4 5 35 7 3 4 1 8 4 5 4 5 4 1 23 4 2 1 7 4 2 4 5 4 1 20 4 3 18 18 17 5 3 3 5 4 20 10

8 BAM 827,167 1 3 3 8 32 2 1 5 4 1 4 23 15 3 2 4 1 3 4 29 16 3 3 1 7 4 5 3 4 3 1 20 3 2 1 6 4 5 3 4 3 1 20 5 3 4 19 8 3 3 3 1 3 13 31

9 BCS 292,000 4 3 1 20 18 1 1 2 1 1 3 1 14 26 4 2 4 1 4 1 15 32 1 3 1 5 4 4 4 4 3 1 20 3 2 1 6 4 4 4 1 3 1 17 4 4 5 3 3 15 19 16 5 4 23 3

10 BIL2006 487,935 1 4 4 1 3 19 20 1 3 2 1 4 1 2 1 - 2 16 25 4 3 4 1 4 3 25 21 1 5 1 7 4 4 4 3 5 1 21 5 5 1 11 4 4 2 1 2 1 14 4 4 4 4 4 4 2 0 4 5 3 3 5 4 20 1 0

11 CETO 1,824,592 5 1 5 1 22 14 3 4 2 1 4 1 4 1 - 2 20 19 4 2 4 4 5 4 37 4 1 5 1 7 4 4 5 4 5 1 23 5 1 1 7 4 1 5 1 5 1 17 4 4 5 2 2 30 17 30 5 3 3 1 5 1 7 26

12 Check Kit 551,250 4 3 4 3 17 21 3 4 1 1 4 4 4 -2 27 12 4 3 4 4 1 3 28 17 1 4 1 6 4 4 4 3 4 1 20 4 4 1 9 4 4 4 1 2 1 16 4 3 18 18 17 5 5 5 5 4 24 1

13 Dealer Billing 630,620 5 3 1 14 25 1 3 4 3 1 3 3 3 -3 29 8 4 3 1 3 26 19 1 5 1 7 4 3 4 4 5 1 21 5 5 1 11 4 1 4 1 5 1 16 5 2 3 4 1 31 15 31 5 3 3 5 3 1 9 16

14 Dealer Reserve 694,650 1 4 1 4 1 13 27 3 2 5 1 4 2 4 -3 31 6 3 3 5 5 1 1 21 23 5 5 4 14 5 5 5 4 5 4 28 5 1 4 10 5 5 5 4 5 4 28 4 4 5 3 4 4 20 4 5 4 23 3

15 DealerTrack 11,088 1 3 1 5 1 21 15 4 1 4 4 1 3 2 3 - 3 29 8 3 4 3 4 1 4 32 12 4 3 4 1 1 3 4 4 4 3 4 22 3 3 4 10 3 4 2 4 1 4 18 4 4 4 19 8 5 3 3 5 4 20 10

17 Docuware 6,853 5 1 2 1 21 15 2 2 4 4 2 4 28 10 2 4 2 3 1 3 24 22 5 4 9 2 3 4 3 4 16 4 4 2 1 4 3 1 4 15 3 4 18 18 17 5 3 3 5 5 21 5

18 DTS Run 217,000 4 5 1 23 12 3 5 4 1 4 1 1 14 26 3 3 4 3 7.0 26 19 4 5 4 13 4 4 5 4 17 5 5 4 14 4 1 5 4 14 5 5 2 3 16 19 1 5 5 3 3 1 1 13 3 1

19 DTSRun (DP) 776,790 4 4 8 32 5 3 4 1 1 2 1 14 26 5 3 5 5 5 3 35 7 4 5 4 13 5 5 5 4 5 4 28 5 1 4 10 5 5 5 4 5 4 28 4 4 5 3 2 17 18 29 5 3 3 5 4 2 0 10

20 E3 19,300 2 1 3 1 2 2 17 21 5 3 3 3 1 2 1 17 23 3 3 3 2 3 2 20 26 2 1 3 6 3 2 3 2 1 3 14 1 1 3 5 3 2 3 2 1 3 14 4 3 18 18 17 5 3 3 3 2 16 28

21 eCAS 1,962,492 4 5 4 3 24 9 4 2 4 1 1 2 1 -2 17 23 4 3 4 5 4 3 33 11 4 4 5 13 4 5 4 3 4 5 25 4 4 5 13 4 2 4 3 4 5 22 4 4 4 4 4 20 7 3 3 3 3 3 15 30

22 eCom 532,959 4 3 5 3 4 33 4 1 3 5 1 4 4 4 -3 35 2 3 2 5 1 4 4 31 13 4 3 5 12 5 5 4 4 3 5 26 3 3 5 11 5 2 4 4 3 5 23 5 5 5 4 4 1 2 3 1 5 5 5 3 5 23 2

23 EcomAdmin 246,250 1 1 4 1 12 29 1 2 5 1 5 1 5 - 3 33 5 4 3 4 4 4 3 31 13 4 4 4 12 4 4 4 3 4 4 23 4 4 4 12 4 2 2 3 4 4 19 4 3 18 18 17 3 3 3 5 5 19 16

24 EcomFocus 915,928 4 1 3 1 21 15 2 1 1 4 4 4 26 13 3 4 4 4 4 1 21 23 4 3 1 8 4 4 4 4 3 1 20 3 3 1 7 4 4 2 4 3 1 18 5 2 18 18 17 5 5 3 3 3 19 16

25 ExactTMS 9,000 4 1 1 4 1 20 18 1 1 3 1 4 1 4 23 15 3 4 4 1 3 2.7 27 18 4 1 1 6 4 4 4 1 1 14 1 1 1 3 4 2 4 1 1 12 3 5 4 1 2 31 15 31 5 3 3 5 5 2 1 5

26 EZTeller 778,600 3 1 3 4 15 24 1 3 1 1 4 1 1 1 - 2 13 31 3 3 4 5 1 3 30 15 4 1 1 6 4 5 5 4 1 1 20 1 1 1 3 4 1 2 1 1 1 10 5 3 4 19 8 3 3 3 3 4 16 28

27 Cash Balance 851,250 5 1 1 3 11 31 3 4 5 1 1 5 4 5 - 4 36 1 4 3 4 4 1 1 18 28 5 5 1 11 4 4 4 4 5 1 22 5 5 1 11 4 1 4 1 1 1 12 4 3 18 18 17 5 3 3 3 5 19 16

28 FIB Tickler 16,000 4 1 1 1 12 29 3 4 1 1 1 2 1 - 1 11 33 3 3 4 5 1 4 35 7 4 4 3 11 4 5 4 4 4 3 24 4 4 3 11 4 1 4 1 1 3 14 4 3 18 18 17 5 3 3 5 4 20 10

29 FIBLynx 111,281 1 1 4 1 4 16 23 1 3 4 1 5 2 18 21 2 4 2 3 5 1 18 28 4 4 4 12 2 3 5 4 4 4 22 4 2 4 10 2 1 5 1 1 4 14 5 4 2 20 2 5 5 5 5 1 21 5

30 Focus 3,584,508 3 3 2 14 25 3 2 1 4 4 4 3 21 18 4 2 5 4 4 4.3 38 2 4 3 3 10 5 4 4 3 3 19 3 2 3 8 5 4 4 3 3 19 4 5 4 4 3 4 2 0 4 5 3 3 5 3 19 1 6

31 Focus-Credit Cards 4 96,250 3 1 3 4 3 24 9 4 1 1 5 1 1 2 14 26 4 4 5 4 4 4 37 4 3 4 3 10 5 4 4 4 4 3 24 4 2 3 9 5 4 2 4 4 3 22 4 3 18 18 17 5 3 3 5 5 21 5

32 Focus-Mortgage 649,905 3 4 3 4 24 9 2 2 1 4 5 4 1 20 19 1 4 5 1 4 1 16 31 3 4 3 10 5 5 4 3 4 3 24 4 2 3 9 5 5 4 3 1 3 21 5 4 2 20 2 5 3 3 5 5 21 5

33 GenerateHsaOutput 88,000 4 5 3 4 4 31 6 4 1 3 3 3 1 3 14 26 2 3 4 1 3 2 19 27 4 4 5 13 4 4 3 2 4 5 22 4 4 5 13 4 4 3 2 4 5 22 4 1 2 4 3 33 14 33 5 3 3 5 4 2 0 10

34 ImageRPS/Lockbox 5 04,064 4 4 3 4 3 3 37 2 2 2 3 3 2 1 2 1 3 31 5 1 4 5 4 4 38 3 4 4 3 11 4 5 4 4 4 3 24 4 4 3 11 4 5 4 4 4 3 24 5 3 4 19 8 5 5 1 18 23

Basic Information Business Stategic Intentions Quality in OfficePerformance In Office Performance Remote Quality RemoteIT Strategic Intentions IT Architecture Support Risk Security Risk

Business Strategic IntentionsIT Strategic Intentions

IT Architecture

PerformanceOffice

QualityOffice

PerformanceRemoteQualityRemote

Support Risk

Security Risk

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Business Assessment

Quality - Remote Application Portfolio Variance

Functionality 4.0 3.8

Ease of Use 3.9 3.7

Data Availability 4.0 3.8

Data Accuracy & Quality 4.1 3.9

Data Timeliness 3.9 3.9

Training Requirements 3.7 3.8

Performance - Remote Application Portfolio Variance

Availability 3.9 3.9

Responsiveness 3.7 3.7

Reliabilty (Breakage) 3.8 3.8

Quality In Office Application Portfolio Variance

Functionality 4.1 4.0

Ease of Use 4.1 3.9

Data Availability 4.1 4.0

Data Accuracy & Quality 4.1 3.9

Data Timeliness 3.9 3.9

Training Requirements 3.7 3.8

Performance In Office Application Portfolio Variance

Availability 4.2 4.3

Responsiveness 4.1 4.2

Reliabilty (Breakage) 4.1 4.2

Dependency (Use) Application Portfolio Variance

Dependency 4.5 3.8

Business Strategic Intentions Application Portfolio Variance

Promote Financial Stability 3.0 2.9

Effectively Supervise Financial Institutions 4.0 3.4

Protect Consumers 4.0 2.7Promote Compliance 2.0 2.7

Maintain Continuous Organizational Learning 2.0 2.1

The information seen to theright shows the assessment

results by category, for one

application.

This shows the absolute value

of the assessment, on a 5

point scale, and comparesthese scores to the portfolio

averages.

The Variance column flags

attributes where the

application is below the

portfolio average.

This information can be used

to determine the areas

needing focus for current and

future planning.

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So What ?

ApplicationNumber

ShortName

TotalRun(OM)+GTCost

CustomerRelationship

BranchSupport

PersonnelandStaffin

g

IntegratedFinancialS

ervices

TechnologyBusiness

Support

PerformanceandSec

urity

BusinessStrategic

Intention

Index

BusinessStrategic

IntentionRank

RequrementforFuture

StrategicIntentionSupport

InvestmentforGrea

ter

BusinessImpact

3 2 1 2 1 1 10

30 Focus 3,584,508 3 3 2 14 25 3 2

21 eCAS 1,962,492 4 5 4 3 24 9 4 2

11 CETO 1,824,592 5 1 5 1 22 14 3 4

3 AppTracker 948,332 4 4 4 1 3 3 32 5 5 3

24 EcomFocus 915,928 4 1 3 1 21 15 2 1

27 Cash Balance 851,250 5 1 1 3 11 31 3 4

8 BAM 827,167 1 3 3 8 32 2 1

26 EZTeller 778,600 3 1 3 4 15 24 1 3

19 DTSRun (DP) 776,790 4 4 8 32 5 3

14 Dealer Reserve 694,650 1 4 1 4 1 13 27 3 2

32 Focus-Mortgage 649,905 3 4 3 4 24 9 2 2

13 Dealer Billing 630,620 5 3 1 14 25 1 3

12 Check Kit 551,250 4 3 4 3 17 21 3 4

22 eCom 532,959 4 3 5 3 4 33 4 1 3

34 ImageRPS/Lockbox 504,064 4 4 3 4 3 3 37 2 2 2

31 Focus-Credit Cards 496,250 3 1 3 4 3 24 9 4 1

10 BIL2006 487,935 1 4 4 1 3 19 20 1 3

5 ATM Web Admin 458,000 4 4 4 4 3 35 3 4 2

9 BCS 292,000 4 3 1 20 18 1 1

23 EcomAdmin 246,250 1 1 4 1 12 29 1 2

1 360 View 222,441 3 3 3 3 4 2 30 7 1 5

18 DTS Run 217,000 4 5 1 23 12 3 5

29 FIBLynx 111,281 1 1 4 1 4 16 23 1 3

33 GenerateHsaOutput 88,000 4 5 3 4 4 31 6 4 1

2 ACH 38,453 4 5 4 4 4 2 40 1 3 5

6 Automate 21,500 5 5 4 4 23 12 1 3

20 E3 19,300 2 1 3 1 2 2 17 21 5 3

4 ATM Fraud UI 16,333 1 1 4 4 13 27 5 3

7 AutoPrime 16,000 3 4 5 3 25 8 1 2

28 FIB Tickler 16,000 4 1 1 1 12 29 3 4

15 DealerTrack 11,088 1 3 1 5 1 21 15 4 1

25 ExactTMS 9,000 4 1 1 4 1 20 18 1 1

17 Docuware 6,853 5 1 2 1 21 15 2 2

Basic Information Business Stategic Intentions

Customer Relationship - Provide information and tools to

strengthen the relationship with every customer.

Branch Support - Provide the branch with tools, management

processes, and products to grow the business in the community.

Personnel and Staffing - Provide tools to enhance the

performance of staff and reduce the requirements for staff.

Integrated Financial Services - Strengthen the transition of FIB to

an integrated financial services organization.

Technology Business Support - Simplify, reduce complexity, and

increase speed of response to business requirements.

Performance and Security Operate effectively in bank

operations, compliance and security areas.

3,325,137 4,037,234 3,277,278 2,747,190 2,655,723 938,478

31% 38% 31% 26% 25% 9%

0

20

40

60

80

100

120

Customer

Relationship

Branch Support Personnel and

Staffing

Integrated

Financial Services

Technology

Business Support

Strat Int

Count

Cost

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So What ?

Applicatio

nNumber

Applicatio

nName

TotalRu

n(OM)Costs

RankebasedonValue-SI

Support

Index

Availab

ility

Respon

siveness


Functio

nality

EaseofUse

DataAvailability

DataAccuracy&

Quality

DataTimeliness


RankPerformanceand

Quality

5 2 3 5 4 3 3 4 1

2 ACH 9,128 1 4 5 4 2 3 3 2 5 4 23

34 ImageRPS/Lockbox 406,120 2 4 4 3 4 5 4 4 4 3 7

5 ATM Web Admin 150,000 3 4 4 4 4 5 5 4 4 4 4

22 eCom 304,783 4 4 3 5 5 5 4 4 3 5 5

3 AppTracker 501,473 5 4 4 4 4 5 3 4 4 4 7

33 GenerateHsaOutput 88,000 6 4 4 5 4 4 3 2 4 5 16

1 360 View 167,241 7 3 3 3 5 5 4 3 3 3 15

7 AutoPrime 16,000 8 3 4 1 4 5 4 5 4 1 14

21 eCAS 970,852 9 4 4 5 4 5 4 3 4 5 6

31 Focus-Credit Cards 246,250 9 3 4 3 5 4 4 4 4 3 12

32 Focus-Mortgage 464,775 9 3 4 3 5 5 4 3 4 3 10

6 Automate 6,500 12 5 3 3 3 3 5 32

18 DTS Run 217,000 12 4 5 4 4 4 5 4 29

11 CETO 1,626,118 14 1 5 1 4 4 5 4 5 1 18

15 DealerTrack 11,088 15 4 3 4 3 4 4 4 3 4 17

17 Docuware 6,853 15 5 4 2 3 4 3 4 30

24 EcomFocus 556,928 15 4 3 1 4 4 4 4 3 1 20

9 BCS 105,000 18 1 3 1 4 4 4 4 3 1 27

25 ExactTMS 9,000 18 4 1 1 4 4 4 1 1 31

10 BIL2006 290,315 20 1 5 1 4 4 4 3 5 1 21

12 Check Kit 246,250 21 1 4 1 4 4 4 3 4 1 26

20 E3 0 21 2 1 3 3 2 3 2 1 3 33

29 FIBLynx 1,671 23 4 4 4 2 3 5 4 4 4 19

26 EZTeller 537,524 24 4 1 1 4 5 5 4 1 1 25

13 Dealer Billing 630,620 25 1 5 1 4 3 4 4 5 1 23

30 Focus 1,723,333 25 4 3 3 5 4 4 3 3 27

4 ATM Fraud UI 16,000 27 5 4 4 4 5 4 4 4 4 3

14 Dealer Reserve 182,320 27 5 5 4 5 5 5 4 5 4 1

23 EcomAdmin 246,250 29 4 4 4 4 4 4 3 4 4 13

28 FIB Tickler 16,000 29 4 4 3 4 5 4 4 4 3 7

27 Cash Balance 246,250 31 5 5 1 4 4 4 4 5 1 108 BAM 442,839 32 3 3 1 4 5 3 4 3 1 21

19 DTSRun (DP) 249,407 32 4 5 4 5 5 5 4 5 4 2

Basic Information Performance and Quality (in Office)Valu

0

20

40

60

80

100

120

Availability

Responsiveness


Functionality

EaseofUse

DataAvailability

DataAccuracy&

Quality

DataTimeliness


Perform

Count

Cost

6,449,980 6,820,799 2,961,325 8,707,315 9,820,117 9,643,949 8,195,724 9,643,949 2,961,325

Availability

Responsivene

ss

Reliability

(Breakage)

Functionality

EaseofUse

Data

Availability

Data

Accuracy&

Quality

Data

Timeliness

Training

Requirements

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Architecture

ApplicationNumber

ApplicationName

TotalGTCost

TotalRun(OM)C

osts

ImpactofArchitecture

Roadmap

CompliancewithCurrent

ArchitectureStan

dards

Architectureand

TechnologyFit

TECHNICALDEB

T

ArchitectureRank

1 2 1 5

5 ATM Web Admin 308,000 150,000 4 5 5 4 1

30 Focus 1,861,175 1,723,333 5 4 4 2

34 ImageRPS/Lockbox 97,944 406,120 4 5 4 4 3

11 CETO 198,474 1,626,118 4 4 5 4 4

31 Focus-Credit Cards 250,000 246,250 5 4 4 4 43 AppTracker 446,859 501,473 4 5 3 4 4

19 DTSRun (DP) 527,383 249,407 5 5 5 3 7

7 AutoPrime 16,000 4 1 4 5 7

28 FIB Tickler 16,000 4 5 1 4 7

1 360 View 55,200 167,241 5 5 4 3 10

21 eCAS 991,640 970,852 4 5 4 3 11

15 DealerTrack 11,088 3 4 1 4 12

22 eCom 228,176 304,783 5 1 4 4 13

23 EcomAdmin 246,250 4 4 4 3 13

26 EZTeller 241,076 537,524 4 5 1 3 15

8 BAM 384,328 442,839 4 1 3 4 16

12 Check Kit 305,000 246,250 4 4 1 3 17

25 ExactTMS 9,000 4 1 3 18

18 DTS Run 217,000 4 3 19

13 Dealer Billing 630,620 4 3 1 3 19

10 BIL2006 197,620 290,315 4 1 4 3 21

17 Docuware 6,853 2 3 1 3 22

14 Dealer Reserve 512,330 182,320 5 5 1 1 23

24 EcomFocus 359,000 556,928 4 4 4 1 23

2 ACH 29,325 9,128 2 3 3 2 23

20 E3 19,300 0 3 2 3 2 26

33 GenerateHsaOutput 88,000 4 1 3 2 27

27 Cash Balance 605,000 246,250 4 4 1 1 28

29 FIBLynx 109,610 1,671 2 3 5 1 28

6 Automate 15,000 6,500 3 3 3 1 30

32 Focus-Mortgage 185,130 464,775 5 1 4 1 31

4 ATM Fraud UI 333 16,000 4 1 4 1 32

9 BCS 187,000 105,000 4 1 4 1 32

Basic Information IT Architecture

0

10

20

30

40

50

60

70

80

90

Impact of

Architecture

Roadmap

Compliance with

Current

Architecture

Standards

Architecture and

Technology Fit

TECHNICAL DEBTPercentageofApplic

ationsand

Cost

Architecture Profile

% of Applications Rated "Good" or

Excellent"

% of Applications Rated "Deficient" or

Unacceptable"

% of Total Portfolio OM Cost for

Applications Rated "Good or

"Excellent"

% of Total Portfolio OM Cost for

Applications Rated "Deficient" or

"Unacceptable"

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Context: APM

ApplicationNumber

ShortName

TotalRun(OM)+GTCost

ImpactofArchitectu

re

Roadmap

CompliancewithCu

rrent

ArchitectureStanda

rds

ArchitectureandTe

chnology

Fit

TECHNICALDEBT

ArchitectureRank

1 2 1 5

30 Focus 3,584,508 5 4 4 2

21 eCAS 1,962,492 4 5 4 3 11

11 CETO 1,824,592 4 4 5 4 4

3 AppTracker 948,332 4 5 3 4 4

24 EcomFocus 915,928 4 4 4 1 23

27 Cash Balance 851,250 4 4 1 1 288 BAM 827,167 4 1 3 4 16

26 EZTeller 778,600 4 5 1 3 15

19 DTSRun (DP) 776,790 5 5 5 3 7

14 Dealer Reserve 694,650 5 5 1 1 23

32 Focus-Mortgage 649,905 5 1 4 1 31

13 Dealer Billing 630,620 4 3 1 3 19

12 Check Kit 551,250 4 4 1 3 17

22 eCom 532,959 5 1 4 4 13

34 ImageRPS/Lockbox 504,064 4 5 4 4 3

31 Focus-Credit Cards 496,250 5 4 4 4 4

10 BIL2006 487,935 4 1 4 3 21

5 ATM Web Admin 458,000 4 5 5 4 1

9 BCS 292,000 4 1 4 1 32

23 EcomAdmin 246,250 4 4 4 3 131 360 View 222,441 5 5 4 3 10

18 DTS Run 217,000 4 3 19

29 FIBLynx 111,281 2 3 5 1 28

33 GenerateHsaOutput 88,000 4 1 3 2 27

2 ACH 38,453 2 3 3 2 23

6 Automate 21,500 3 3 3 1 30

20 E3 19,300 3 2 3 2 26

4 ATM Fraud UI 16,333 4 1 4 1 32

7 AutoPrime 16,000 4 1 4 5 7

28 FIB Tickler 16,000 4 5 1 4 7

15 DealerTrack 11,088 3 4 1 4 12

25 ExactTMS 9,000 4 1 3 18

17 Docuware 6,853 2 3 1 3 22

Basic Information IT Architecture

IT

Application,

InfrastructurePortfolios

Business Gaps

Technical Debt

Performance Gaps


and Strategic

Initiatives

Business andTechnical

Strategic Projects,

Project Portfolio

Business Strategic

Intentions and


Business Strategic

Requirements for IT

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Agenda




Decision Framework



EA Programs

Conclusions

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EA Engagement with Project Portfolio Management

Strategic

Intentions(CIO)

Project

Requests

Future State

Architectureand standards

Plan View(PMO)

Architecture

Assessment

Design

Review(If significant)

Project

Deployed

Solution

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Project Lifecycle Value Stream - EA Mapping

A

Identify

idea

B

Evaluate

idea

D

Project

kickoff

E

Analyze and

Design

F

Imple-

ment

G

Deploy

H

Monitor

I

Maintain

Business

architecture

workshop

Arch.

assess-

ment

Arch.

consulting

Guide-

lines

Repos.

Update

Perform

F/W

Monitor

change

BPM

workshop

Align-

mentreport

Modeling Harvest

arch.

Data

model

A rc h. V is io n D es ig n r ev ie w P er fo rm

F/W

D/W

Reference

arch.

Patterns

Standards D a ta m o de l S O A r e po s.

Evaluate Kickoff MaintainIdentify ImplementAnalyze

+DesignDeploy Monitor

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Sample Streamlined Review Process

80


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Architecture Review Template

Architecture Advisory Review

Project Name:

Description

Architecture Review of xxx Project

Is the project architecturally significant?

No no further action needed

Yes

- Requires design review

- Requires architecture participation

- Provides opportunity to implement Strategic Vision

Is an information component required?

Does the Business Architecture align with strategic goals and objectives?

Will the proposed application integrate with the target architecture?

What is the anticipated technology platform for the project?

Will the proposed solution meet Security, Risk Management, and Compliance requirements?81


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Sample Design Review Checklist (excerpt)DESIGN REVIEW CHECK-LIST

DESIGN SUGGESTED A RTIFAC T

1 ) D e s c r ib e t h e h i g h l e v e l d e s i g n i n c l ud i n g t h em ajor subsystem s and com ponents. Should

depict users, system s, prject com ponent,

infrastructure and scope. Generally laid out

with user on the left and system s are to the

right.

C o n c e p t u al D r a w i n g ( V i si o o r t o o l o f

choice)

2 ) What architectural layers are encom passedwithin the project design? Describe the

m apping of architectural layers to technologies.

C o n c e p t u al D r a w i n g o r U M L P a c ka g e

Diagram

3 ) Describe m easures taken to ensure ex tensibilityand m aintainability.

Short description during design

review m eeting.

ARCH ITECTURE

4 ) What is the design of any ex ternal interfacesex posed by this project?

UML Class Diagram

5 ) If the application integrates with anothersystem , how is this integration accom plished?

UML Sequence Diagram

D ATA

6 ) What is the source of data? What DataMovem ent Patterns have been im plem ented?

List sources and patterns; can use

diagram s for data m ovem ent or

descriptions.

7 ) Identify Ex tract Transform Load (ETL) processand corresponding process nam e.

SSIS Control Flow

8 ) How/where is data being stored? Is it using acom m on data store? If not, why not?

List data stores

9 ) W h a t i s t h e c o n c e p t ua l d a t a m o d e l ? C o n c e p t u al D a t a M o d e l ( C D M )1 0 )Define the Ex trinsic Metadata. List, m ay be part of the CDM1 1 )Does the project ex port data? List destinationsSECURITY AND RISK

1 2 )How does the project design address concernsregarding Security and Risk Managem ent?

TBD (need to consult with S& R)

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Example of Project Portfolio Management

Slide 83

Individual

ProjectLife Cycle

Project

Portfolio

Management

PRE-

CONCEPT CONCEPT DESIGN BUILD

IDEA

ASSESS-

MENT

CONCEPT

PAPERCHARTER

USE

Manager

Project Name

Curren

tPhase

New

Pro

jec

tIndica

tor

Urgency

Class

Pay

bac

kRan

k

Ran

kBase

don

AllRisk

Ran

kbase

don

Va

lero,

BU

,IT

Stra

teg

icInten

tions

Curren

tQuar

terDec

ision

Priori

ty

Percen

tage

Comp

leted

Sc

he

du

leStatus

Cos

tStatus

Scope

Status

Forecas

tCos

t(in

000)

3Year

Bene

fits(000)

Pay

bac

k(Years

)

Bus

iness

Depen

dency

Brea

dtho

fUsage

-

-

-

-

Stokes, Glenn xMII2008 Operations CenterDashboard Develop 18 13 1 30 On Time Unchanged Expanding $ 2,877 $ 4,000 2.16 5 5Medina, Glenn RefineryVoice/Network Tech Refresh Develop 6 34 2 50 Unchanged Unchanged $ 852 $ 6,000 0.43 5 2Cheng, Michael MDM-Material Cleans/Catalog Basel in Mngt Design 35 39 3 10 Late Unchanged Unchanged $ 1,417 $ 1,000 4.25 5 1Z esch, H. A dvanced Process Control -A nnua l Ma in t Proposed New 17 27 4 $ 1,920 $ 4,000 1.44 4 3Soi leau, Shawn 2008 FiberOptic Upgrade -SCRF Proposed New 9 17 5 $ 953 $ 3,000 0.95 4 4Wilson, James (WFRF)2008 I/S GeneratorSystem - WFRF Design Tech 3 23 6 10 On Time Unchanged Unchanged $ 333 $ 5,000 0.20 3 2

Westbrook, Gary KrotzDivesti ture & Transition ServiceScheduled

5 20 7 5 On Time Unchanged Unchanged$ 512 $ 4,000

0.38 2 4Gunte r, Dana 2008 I /S Genera to rS ys tem -T RRF Scheduled 4 2 8 25 On Time Expanding Unchanged $ 392 $ 4,000 0.29 3 3Barnfield, Matthew E-Sourcing-Contract Lifecycle-TRACK Intf Develop Other 14 1 9 Late Unchanged $ 1,248 $ 3,000 1.25 4 3Stokes, Glenn Operation DB Dri l ldown Implementation Design 8 15 10 30 On Time Unchanged Unchanged $ 408 $ 2,000 0.61 5 5Davenport, H. ProcHist -KrotzSprings Foxboro OMS Upg Design 13 35 34 30 On Time Unchanged Unchanged $ 132 $ 329 1.20 3 4Gordon, Michael Analyze and Develop Oil Loss Report Develop 16 32 35 50 L ate Unchanged $ 159 $ 335 1.43 4 4Soi leau, Shawn Oil Mvmt System Off Platform -SCRF/HORF Design 15 8 36 10 Late Unchanged Unchanged $ 160 $ 344 1.40 3 3Wilson, James (WFRF)2008 Desktop H/W Replacement -WFRF Idea New 1 16 37 $ 0$ 0 4 4G ri ff in , R . L im a R ef in er y Tr an si ti on Idea New 1 9 38 $ 0$ 0 5 3Stokes, Glenn Aruba xMIIRefineryOperations Dashboard Not Scheduled 11 3 39 10 Late Unchanged Unchanged $ 150 $ 408 1.11 5 4Barnfield, Matthew Electronic PO Enhancement & Rol l-out Not Scheduled 12 10 40 10 Late Unchanged Unchanged $ 138 $ 349 1.19 4 4

Project information Status Priority Decision Project Status Project Cost / Benefit Usage

Primary Input Updates


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Agenda




Decision Framework



EA Programs

Conclusions

84

C


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Architecture Extends How We Consider Projects

The Project in isolation

The Project within the Enterprise

The Project connected to the Infrastructure

91

P j t i I l ti


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Total Value Vt = Vu

Vu = Value to User

Project by itself

Vu = Value to user

Project in Isolation

92

P j t Withi th E t i


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Project Within the Enterprise

Ve = Value to Enterprise

Total Value Vt = Vu + Ve

Vu = Value to User

Project within the Enterprise

93

P j t C t d t I f t t


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Project Connected to Infrastructure

Project connected to Infrastructure

Vi = Value to Infrastructure

Total Value Vt = Vu + Ve+ Vi

Ve = Value to Enterprise

Vu = Value to User

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T Eiff l


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Tour Eiffel

Built in 1889 for Universal

Exposition

Worlds most visited paid

tourist attraction

Over 220M visitors

300m high, 125m wide

Cost: 7.7M francs

Paid for itself in 1 year

What is the Value?

95

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Tour Eiffel Construction

18,038 parts prefabricated in

the workshop by 100 workers

Assembled on site by 132

workers using 2.5M rivets

Revolutionized buildingconstruction

First major structure built using

prefabricated parts

What was the value?

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Questions?

Critical Tool for Bisiness and ICT Managemnet

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