Strategies for Migrating Legacy Enterprise Applications to the Cloud Using Business Architecture

Strategies for Migrating Government Legacy Enterprise Applications to the Cloud Using Business Architecture

Presentation made to a large information services company

Website: http://biz-architect.com/ Email: [email protected]

Phone: +1-514-798-2042 x2010 Benchmark Consulting Canada Copyright 2016– All Rights Reserved

2016-02-15

http://biz-architect.com/

http://biz-architect.com/

mailto:[email protected]

1. The Urgency of Modernizing Legacy Systems slide 3

2. The Cloud. What? Why? How? slide 8

3. Business Architecture slide 15

4. Strategic Mapping slide 23

5. Capability Mapping slide 29

6. Stakeholder/Organization Mapping slide 33

7. Value Mapping slide 38

Presentation Overview8. Process Mapping slide 42

9. Information Mapping slide 46

10. Initiative and Asset Mapping slide 49

11. Extracting Business Rules from Legacy Systems slide 54

12. Other Issues with the Cloud slide 59

13. Examples from the Guild slide 60

14. Government Example: USPTO slide 65

Benchmark Consulting Canada Copyright 2016 – All Rights Reserved

Section 1The Urgency of

Modernizing Legacy Systems

Benchmark Consulting Canada Droit d’auteur 2016 – Tous droits réservés

Transforming Legacy Systems: It’s Happening Now


“By 2017, 60% of Global 1000 organizations will execute on at least one revolutionary and currently unimaginable business transformation effort, which will involve throwing out old business models, old processes, and old information sources for new ones involving usually the cloud in some way.”

- Betsy Burton

Source: this video entitled “Applying Business Architecture to Lead Business Transformation” with Betsy Burton from Gartner and published on July 31, 2014.

https://www.youtube.com/watch?v=HV-je6CW0bg

https://www.linkedin.com/pub/betsy-burton/b/918/647

Reasons to Modernize Legacy Systems


• Key employees have retired or are about to leave• Operation and maintenance costs are high• More and more users complain that the legacy

system is hard to use• Business Process have changed• There’s no tight integration with future

applications• It’s not mobile ready

Source: this article entitled “Why Legacy IT is a Government Time Bomb” written by Mark Rockwell and published on November 16, 2015.

https://fcw.com/articles/2015/11/16/cio-tony-scott-time-bomb.aspx

Yet Many Legacy Systems Are Here to Stay


• Not every legacy system needs to be replaced• COBOL in particular is unmatched in supporting

large volumes of transactional data• Replacing legacy systems’ core business logic is

both costly and risky. • Legacy Systems often needs to work along with

the cloud

Which one should stick around? Which one should not? In what order?

Source: “IT Modernization Strategy: Reuse Rather than Replace” written by Ed Airey and published on March 18, 2015.

https://gcn.com/articles/2015/03/18/cobol-modernization.aspx

https://gcn.com/articles/2015/03/18/cobol-modernization.aspx

Managing Legacy Software Modernization

Business Architecture

- Capabilities- Organization- Values- Information- Initiatives- Strategies

- Products- Stakeholders- Assets- Requirements- Process- Measuring

Evolution &Impacts

- Requirements- User Stories- Schemas- Agile Methodologies

Business Architects

Business Analysts

Code Analysis- Recover & Understand- Extract Business Rules- Agile Methodologies

Software/Application Architects

- Tests- Documentation (basic)- Evaluate Impacts of Changes

- Design & Software Architecture- Software Code- Documentation (advanced)


Section 2The Cloud. What? Why?

How?


What is the Architecture of the Cloud?


• Everyone has their own opinion• One differentiation is Public, Private, Hybrid• Another is Infrastructure as a Service (IaaS),

Platform as a Service (PaaS), Software as a service (SaaS)

• One perspective is that the cloud is a new ‘sourcing’ strategy

• Here’s a more independent view: the National Technical Information Service (NTIS)

Government Cloud Computing Reference Architecture


Source of the NIST (a US Agency) Cloud Computing Reference Architecture: http://cloud-perspectives.com/?slide_id=111

http://cloud-perspectives.com/?page_id=111

http://cloud-perspectives.com/?page_id=111

Government Cloud Consumers/Citizens

Benchmark Consulting Canada Copyright 2016 – All Rights ReservedSource: the NIST (a US Federal Agency) http://www.nist.gov/

http://www.nist.gov/

http://www.nist.gov/

Public, Private, Hybrid Cloud

Benchmark Consulting Canada Copyright 2016 – All Rights Reserved Source: Wikipedia https://commons.wikimedia.org/wiki/File:Cloud_computing_types.svg

https://commons.wikimedia.org/wiki/File:Cloud_computing_types.svg

https://commons.wikimedia.org/wiki/File:Cloud_computing_types.svg

What Does the Cloud Mean to You?


Source: Applying Business Architecture to the Cloud slide Deck by Mike Rosen (June 2013) http://c.ymcdn.com/sites/www.businessarchitectureguild.org/resource/collection/0C09C473-059E-498D-906F-E98CE494AB00/basig-13-06-12.pdf

to IT ….. to managers …..

http://c.ymcdn.com/sites/www.businessarchitectureguild.org/resource/collection/0C09C473-059E-498D-906F-E98CE494AB00/basig-13-06-12.pdf



What Should the Cloud Strategy Be?



To answer this, we first need to answer several other questions.o How does it relate to the business strategy?o What capabilities are involved?o How will it affect stakeholder interactions?o What organizational units will be involved /

affected?o What will the costs / benefits tradeoff be?o How will we prioritize a roadmap and plan?

As an architect, how do we go about answering these questions?




Section 3Business Architecture


• 66% of HR and IT organizations develop strategic plans that are not linked to the enterprise strategy.

Sources: the first 2 bullets are derived from The Strategy-to-Execution Process: A Critical Component of Transient Competitive Advantage in the European Business Review on November 7, 2013 and the last bullet is derived from various additional studies made by Towers Watson, Harvard Business Review, and McKinsey & Co.

Today’s Business Disconnects


• 95% of employees in most organizations do not understand their organisation’s strategy

• Only 25% to 30% of business transformation initiatives are successful over the long term

http://www.europeanbusinessreview.com/?p=701

http://www.europeanbusinessreview.com/?p=701

http://www.forbes.com/sites/victorlipman/2013/09/04/new-study-explores-why-change-management-fails-and-how-to-perhaps-succeed/

http://hbswk.hbs.edu/item/5170.html

http://www.mckinsey.com/insights/organization/How_to_beat_the_transformation_odds

Today’s IT vs Business Disconnects

Benchmark Consulting Canada Copyright 2016 -All Rights Reserved

Sources: http://image-store.slidesharecdn.com/3b0f9b75-76aa-4898-91e9-11fddf6c4911-large.jpeg.

How users see IT and developers

How IT and developers see users

http://image-store.slidesharecdn.com/3b0f9b75-76aa-4898-91e9-11fddf6c4911-large.jpeg




Business architecture is defined as “A blueprint of the enterprise that provides a common understanding of the organization and is used to align strategic objectives and tactical demands."

- BIZBOK® Guide, slide 1

The Business Architecture Definition


Business Overview According to Business Architecture

Figure 1.1 of the BIZBOK® Guide on slide 2Benchmark Consulting Canada Droit d’auteur 2016 – Tous droits réservés

Information Maps

Strategy MapsStakeholders

Maps

Organization Maps

Initiative Maps

ProductMaps

Asset Maps

Value Maps

Capability Maps

Process Maps (BPM)

Requirements Maps

BusinessArchitecture

The BIZBOK® Maps of Business Architecture

Source: Figure 1 in the article entitled “Increase your Transformation Success Rate with Business Architecture” in LinkedIn on April 21, 2015. Benchmark Consulting Canada

Droit d’auteur 2016 – Tous droits réservés


Business Architecture Stops Business Silos

Source: figure in the article entitled “Beware the Business Silos! Fun Cartoons, Plus Helpful Solutions” in Tibbr on March 9, 2012

http://www.tibbr.com/blog/topics/unified-communications/beware-the-business-silos-funny-cartoons-how-enterprise-social-helps/

http://www.tibbr.com/blog/topics/unified-communications/beware-the-business-silos-funny-cartoons-how-enterprise-social-helps/


Stopping IT Silo Effect with Business ArchitectureEnterprise Architects

Business Analysts

Process Experts

Software/Appli-cation/IT/Network

Architects

Business Architecture

Section 4Business Motivation

Model / Strategy Mapping


Business Motivation Model



The Business Motivation Model answers key business questions:o Why are we doing this cloud initiative?o How will we know if it’s working?

What is the impact on our decisions with the cloud?

Which tactics can best be implemented where? How will they need to integrate together?

Will the cloud make it more or less difficult to measure success?




Business Motivation Model


Source: From the BMM and TOGAF 9.1 toward SOA - capitalizing on the Business Capabilities - http://goobiz.com/From_BMM_to_SOA.htm

http://goobiz.com/From_BMM_to_SOA.htm

http://goobiz.com/From_BMM_to_SOA.htm

Business Motivation Model Subset






Other Strategy Map Methods: SWOT Analysis & Balance Scorecard

Source: http://picgalaxy.net/swot-analysis/ Source: http://blog.bizzdesign.com/business-performance-management-balanced-scorecards-and-the-decision-model/

Balance Score Card


http://bmimatters.com/tag/business-model-canvas-examples/




Other Strategy Map Methods: Business Model Canvas

Source: http://bmimatters.com/tag/business-model-canvas-examples/ Benchmark Consulting Canada Droit d’auteur 2016 – Tous droits réservés



Section 5Capability Map


Detailed Capability Diagram (Level 1 & 2)

Source: Business Architecture in a Merger & Acquisition Context – Part 1

https://www.linkedin.com/pulse/business-architecture-merger-acquisition-context-part-daniel-lambert?trk=mp-author-card



Capabilities and the Cloud



Strategic or Direction Setting (Top)o Provide differentiation or set directiono Reflect executive prioritieso Could you run these in the cloud?o Would you if you could?

– What are the decision criteria?

Supporting (Bottom)o Abilities that an organization must have to function as a

businesso Traditional targets for outsourcingo Cloud is a good alternativeo Why would you not move these to the cloud?

– What are the decision criteria?




Core Capabilities



Value Add, Core (Middle)o The heart of what an enterprise does to ensure viability and

thrive in the marketo Can be thought of as a customer facing view of the business

Which ones are critical to success? How comfortable are we with them in the cloud? Could we

do them better ourselves? How do they have to work together?

o End-to-end value streamso Information integration

What are the implications? How do we make a decision?




Section 6Organization/Stakeholders

Map



Apple Republic Org Chart (level 1 and 2)





Org Chart with Capabilities (Level 1 only)




Organization/Stakeholder Analysis



The interaction with each stakeholder can be expressed in a value stream. There will usually be several value streams for each stakeholder. Analysis of the stages of a value stream provide insight into the

opportunities for new interactions via the cloud (e.g. mobile devices, social networks) and to evaluate the potential value (internal & external).

Having identified beneficial areas for new interaction, we then identify the new capabilities that we need to support them.

Each affected stage of the value stream may require one or more new capabilities.

Of course, many of these capabilities would be common for multiple value streams and multiple stakeholders.

For each new or enhanced capability, there is a need to identify different sourcing options. Some capabilities may be available from the cloud, some as commercial off-the-shelf (COTS) products, and others as customized implementations.




Organization Maps



How will the cloud affect organization structure? What might a new organization structure look like? What will the political implications be? Do the organizations have the skills to source via the

cloud and manage those apps? How do you avoid silos and redundancies?




Section 7Value Maps


Value Streams Diagram





Value Stages to Capabilities





About Value Streams & Value Stages



Value Streams tell us:o ‘How’ things are done for a specific stakeholder and scenarioo How different processes fit together to support a stakeholdero What information must be shared between processes

‘Stages’ of a value stream require specific capabilities Stages of a value stream may be implemented by processes Value Streams identify capabilities that are critical to the

delivery of value (satisfaction) to our most important stakeholders.

Value Streams tell us about the integration requirements of capabilities, processes and information and about an organization’s decision to source on the cloud.




Section 8Process Maps


Process Model – Internal Activities






Process Model – External Activities






Business Processes in the Cloud



Move entire process to the cloud Source some of the tasks from the cloud What does that mean?

o Loss of control– Collaboration versus Coordination

o Data integration and transformationo Visibilityo Activity Monitoring (BAM)o Auditing and Reporting




Section 9Information Maps


Information to Capabilities Linkage

Figure 2.5.2 of the BIZBOK® Guide on slide 162Benchmark Consulting Canada Droit d’auteur 2016 – Tous droits réservés

Enterprise Information Concerns



What is the critical enterprise information? How is that information characterized and classified? What information is critical to efficient end-to-end

integration? What information are you comfortable keeping on the

cloud? What information are you comfortable having under the

control of another business? How much integration / transformation will be required for

consistent and efficient end-to-end interactions? What information semantics do you need to own?




Section 10Initiative Map & Asset

Map


Initiatives Diagram


Initiative Roadmap Example










Assets Map & Linkage to Other Maps

List of Assets complying to TOGAF

List of Business Architecture Map Compliant to BIZBOK


Section 11Extracting Technical

Artifacts, Business Rules & the Application

Architecture from Legacy Systems


Technical Artifacts and Key Business Benefits

Extracted Assets Quality Characteristics Business Benefits Application

Architecture Functionality

Duplication Supported Business

Capability Data and Control Flows Architectural Issues Revenue Generated Business Logic Logic Complexity Market Growth

Potential Code Metrics Code Weaknesses Cost Saving

Defects Lower Risk

Technical Artifacts


High Level Extraction Process

Code Model

Conditions of Interest

Conceptual Model

Business Rules

Business Object Model Business Rules

IRIS Code Analyzer

Source Code


How Do We Find Rules?

• Data-driven approach• Based on the usage of Database fields (what we

call Variables of Interest (VOI)) in Conditions of Interest (COI)

• Can filter based on those (implement in stages)• Uses both control and data flow (program slicing)


Impacts of Proper Design and Analytical Software Code Usage

Extracted Assets Quality Characteristics Business Benefits Code Changes Code Changes Time-to-Completion:

Analysis Task Happen as Much as 90% Faster

Business Logic Extraction

Business Logic Extraction

Lower Cost: Less Time = Less Money

Code Re-Architecting Data Changes Accuracy: Automation Reduces Risk of Error and Improves Output

Data Changes Software Removal Software Removal


Section 12Other Issues with the

Cloud


Issues with the Cloud



Availability / Reliability Security Incident Management Accountability Semantics Integration Regulatory Compliance Visibility




Lock-In & Interoperability



What happens if you want to move to a different Cloud provider?o Mergers and Acquisitionso Out of businesso Poor performance (cost, SLA, technical)

Can you move to a new platform?o What level of features / functions have you used?o Is everything assessable through an API?o Are industry standards followed? Do they exist?

What about your data?o Can I get my data out at all?o How much is it going to cost to get my data out?o How much of my time is it going to take to get my data out?

Cloud relationships will come to an end. Have an exit strategy!




Business Decision Matrix






Section 13Examples from the

Business Architecture Guild


Examples from the Business Architecture Guild

Source: http://www.businessarchitectureguild.org/?slide=002


http://www.businessarchitectureguild.org/?page=002

http://www.businessarchitectureguild.org/?page=002

Section 14The US Patent & Trademark Office

ExampleLeveraging Business Architecture for

Major Portfolio Initiatives and Business Requirements Management

Source: 1- http://www.omg.org/cgi-bin/doc?basig/2015-03-06 and 2- http://c.ymcdn.com/sites/www.businessarchitectureguild.org/resource/collection/31E9670C-D71F-44C0-BF8F-964DF37090E2/basig-14-03-18.pdf


http://www.omg.org/cgi-bin/doc?basig/2015-03-06



http://c.ymcdn.com/sites/www.businessarchitectureguild.org/resource/collection/31E9670C-D71F-44C0-BF8F-964DF37090E2/basig-14-03-18.pdf




PaaS Cloud Transformation

Initiative


PaaS Cloud Transformtion

Avoiding Confusion in User Stories with Business Architecture


Capabilities Stakeholders Value

The User Story of the Requirement “A-198”The Loan Officer(S1) wants to set(V1) the terms(I1) of the agreement(I2) to reduce(V2) the monthly minimal payment(I3) of its Personal Client(S2) who wants to Acquire a Loan(V3), involving decisions(P1) from a Loan Administrator (S3), a Loan Manager(S4) and a Contract Manager(S5) and involving the capability of Agreement Structuring(C1) and its children Agreement Terms Management(C2) to Approve a Loan(V4)»

• Agreement Structuring (level 3) (C1)• Agreement Terms

Management (level 4) (C2)

• Loan Officer (S1)• Personal Client (S2)• Loan Administrator (S3)• Loan Manager (S4)• Contract Manager (S5)

• Set the terms of the agreement (value item) (V1)

• Reduce the monthly minimal payment (value item) (V2)

• Acquire a Loan (value stream) (V3)

• Approve a Loan (value stage) (V4)

Information• Terms of loan (I1)• Loan Agreement (I2)• Monthly Minimal Payment

of Loan (I3)

Process

• Process B-231 – Change Terms of a Loan (P1)

Thanks!

IRIS Business ArchitectWeb site: http://biz-architect.com

Email: [email protected]: +1-514-798-2042 x2010

Strategies for Migrating Legacy Enterprise Applications to the Cloud Using Business Architecture

Software

Transcript of Strategies for Migrating Legacy Enterprise Applications to the Cloud Using Business Architecture