HOW DIGITAL TRANSFORMATION DISRUPTS ENTERPRISE ARCHITECTURE

André Christ, Co-CEO LeanIX

About

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• Co-Founder & Co-CEO

• Loves Tennis & Running

• SaaS-Provider for EA

• Founded in 2012 in Bonn

• Subsidiary in US

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Why would I quit my consulting job, invest all my money and start an own business in a niche market with > 15 well established players?

Key question in 2011

Everybody is talking Digital Transformation

4Source:GoogleTrends

What’s that: Enterprise Architecture still there?

5Source:GoogleTrends

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How digital transformationdisrupts enterprise architecture

Large potential for digitization in most sectors

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1 Knowledge intensive sectors already highly digitized across most dimensions

2 Capital intensive sectors digitize their assets

3 Service sectors to digitize customer transactions

4 B2B sectors with potential to digitally engage and interact with their customers

5 Labor intensive sectors with potential to provide digital tools to their workforce

6Quasi-public/highly localized sectors that lag across most dimensions

Source:McKinsey,https://hbr.org/2016/04/a-chart-that-shows-which-industries-are-the-most-digital-and-why

Examplesfollow

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Enterprise software used to be about making existing work more efficient. Now, the opportunity for software is to transform the work itself.

Aaron Levie, Founder of Box.com

Digitize Customer Transactions

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PAST NOWComplex Payment Architecture Stripe

à Payment via REST API

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Source:Stripe,NYTimes

Digitally engage and interact with customers

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DisconnectedCustomerCommunication IntercomPAST NOW

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Source:Intercom

Digital tools for the workforce

11Source:NYTimes,Slack

Email/semi-flexibleMessagingTools SlackPAST NOW

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Accelerated adoption of new technologies

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!ASSETS

" #

USAGE LABOR

• Public Cloud• Big data• Smart buildings

• Digital payment• Online marketing• Social platforms

• Productivity tools• Mobile Apps• Rea-time chat

Today

• Internet of Things• Drones

Tomorrow • Artificial Intelligence (AI)

• Wearables• Virtual Reality (VR)

Enterprise IT is facing paradigm shift

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Defined Industry Boundaries

Single-Purpose Products

Competition as Zero-Sum Game

Producer + User Roles

Buying Economy

Platforms & Business Economies

Connected, Multi-Purpose Products

Strategic Cooperation

User as Producer, Co-creation

Sharing Economy

DIGITAL AGEINFORMATION AGE

Digital Transformation increases complexity and speed

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+ IT Systems

+ Interfaces and APIs

+ Infrastructure

How do companies manage enterprise architectures?

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Wow!

• Made for experts

• No or limited SaaS (“ASP”)

• Client installation

• No mobile use cases

• Limited REST APIs

Source:EAVisualizationToolSurvey,TUMunich2014

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How digital transformationdisrupts enterprise architecture

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What are key success factors of digital champions compared to companies just starting digital transformation?

18From DVD-by-mail service …

Source:Netflix

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... to a TV program producer with81 million subscribers

Source:Netflix

20From pioneer of e-commerce …

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... to a global leading data centerprovider with > 70 services

22From online shoe retailer ...

Source:Zalando

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... to technology company with > 2000 developers

Source:Zalando

Digital champions not only disrupt in business models, but also in their enterprise IT

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Micro services Architecture(e.g. Netflix)

Flexible ecosystem of modular services

Containerized Deployment (e.g. Docker, Stups.io)

Fast scaling and continuous deployment

Iterative adaption to customers’ needs

AgileDevelopment(e.g. Scrum)

Launch fast and iterate quickly using mindset of Minimal Viable Products (MVP)

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“A Service oriented architecture composed of loosely coupled elements that have bounded contexts”*

26*MartinFowler

Elastic

View

Controller

Model

DB

Single Page App

REST-API

DB

REST-API

Single-PageApp / Mobile

BackendMicro services

InfrastructureServices

System of distributed services is the new monolith

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• 99.9930 = 99.7% uptime

• 0.3% of 1 billion requests = 3,000,000 failures

• 2+ hours downtime/month even if all dependencies ok

30 services, each 99,99 %

Source:Netflix

Smart mechanisms increase resilience (e.g. Hystrix)

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HYSTRIX

Source:Netflix

Packaging of software-components in self-contained, platform independent containers (e.g. Docker)

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Server

Host OS

Hypervisor

Guest OS

Libs

App A

Guest OS

Libs

App B

VIRTUALIZATION

VM VM

Server

Host OS

Docker Engine

eam mysql

Libs

Container Container

solr

Container

Libs

DOCKER

Continuous deployment to allow shipping of new releases in days, hours or minutes

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Load-Balancer (default = blue)

Svc Av1

Svc Bv1

Svc Cv1

DB, Index, Queue DB, Elastic

Continuous deployment to allow shipping of new releases in days, hours or minutes

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Load-Balancer (default = blue)

Svc Av1

Svc Av2

Svc Bv1

Svc Cv1

DB, Index, Queue DB, Elastic

Test

BLUE / GREEN DEPLOYMENT

Continuous deployment to allow shipping of new releases in days, hours or minutes

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Load-Balancer (default = blue)

Svc Av2

Svc Bv1

Svc Cv1

DB, Index, Queue DB, Elastic

Convenient and audit-compliant Platform-as-a-Service (PaaS) for multiple autonomous teams

33Source:Zalando,https://stups.io/

Change in enterprise architecture

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Micro services Architecture

Containerized Deployment

AgileDevelopment

DistributedAccesstoInformation

Largenumberofdependencies

Higherdegreeofautomation

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How digital transformationdisrupts enterprise architecture

Key activities in Enterprise Architecture Management

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Capture IT architecturein inventory

Collaborate withstakeholders and

experts

Plan targetarchitecture and

roadmaps

Modern EA needs to respond to new questions

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Agile

Microservices Dev-Ops

EA

How do users like the new feature in my

Application?

Will the backend be able to handle the user increase?

Which areas of the Application are

error prone?

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Dynamic business- and technology metricsin context of the architecture

Open interfaces ensure a smooth and rapid integration

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Roadmap

Integrations

Market leading companies already trust in LeanIX

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Media

Insurance

Industry

e-Commerce

Telecoms

Chemical

Advisory

Government

Manufacturing

Logistics

Education

Health

Energy

See more: https://www.leanix.net/en/customers/index

Start with enterprise architecture in less than 1 week

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INNOVATION IN EA-TOOL MARKET

Quick setup

EAM ‘Out-of-the box’ as SaaS

Seamless integration

Open REST-API and Integrations

Start < 1 week

Fast ramp-up

Modern, intuitive User Interface

http://bit.ly/LeanIXDemoS

Request free demohttp://bit.ly/LeanIXDemoS

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“You can’t build your IT architecture today with yesterday’s tools and stay in business tomorrow”

LeanIX Enterprise Architecture Management

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