Gartner

Gartner
Webinars
Gartner equips leaders like you with
indispensable insights, advice, and
tools to help you achieve your most
pressing objectives
Enhance your webinar experience
Ask a Download Share This

Question Attachments Webinar
RESTRICTED DISTRIBUTION
2 © 2021 Gartner, Inc. and/or its affiliates. All rights reserved.
Connect with Gartner
Re-Compose Your Future Business

With Today’s Enterprise Architecture
Philip Allega
VP Analyst
Enterprise Architecture
… is a discipline for proactively and

holistically leading enterprise responses to
disruptive forces by identifying and analyzing
the execution of change toward desired
business vision and outcomes.
This remains Gartner’s definition since 2009. Previous definitions w ere equally w ithout reference to technology alone.
A composable business is an
organization that is architected for real-
time adaptability and resilience in the
face of uncertainty.
- Gartner (2020)
See “Seize the Moment to Compose a Resilient Future: Key Insights From the 2020 Gartner IT Symposium/Xpo Keynote”
Today’s Agenda
Market State and Strategy Ontology Shape EA Response to

Federation/Distribution Composability
What’s Driving Us In This Direction?
Considering Composability with Supporting Models, Diagnostics, and Analytical
Processes
Moving Beyond The Four Walls of The Business
Additional Tools You’ll Need in Your Toolbox
Techniques to Vet the Appetite for Composable Business Support from the EA
Team
Market State and
Strategy Ontology
Shape EA Response to
Federation/Distribution
Composability
Federated PESTLE/STEEPLE Differences
Disruption Preparedness Response May
Vary By Trend Indicators
Storm
No Storm Clouds
Brewing
The The
Storm Storm has
Abates Landed
The
Storm
Continues
10
© 2021 Gartner, Inc. and/or its affiliates. All rights reserved. These may vary by market
PESTLE stands for Political, Economic, Social, Technological, Legal and Environmental. STEEPLE stands for Social, Technological, Economic, Environmental, Political, Legal, and Ethical.
Note: Don’t forget the demographics of people (e.g., customers, employees, partners, etc.)
ANSOFF’S MATRIX PORTER’S MATRIX BCG MATRIX
Grow your business by products in Find your competitive advantage Where to invest based upon market
markets performance
Markets Where Business Competes Relative Market Share
Existing Products New Products BROAD NARROW LOW HIGH
Markets
Existing
Market Product Cost QUESTION
COSTS
Sources of Competitive
HIGH
Cost Focus
Market Growth Rate

STAR
Penetration Development Leadership MARK
Price, Promotion, Differentiate for Sales
Advantage
Selling target customer Decline Invest
DIFFERENTIATION
Markets
LOW
Market Differentiation Differentiation
New
Diversification CASH COW DOG

Development Leadership Focus
Risk Increases Market Share
Here Increase
Treacy & Wiersema’s Value Disciplines

Variants
Private Equity: Investment Product Leadership
thesis, debt leverage assets, (Differentiation and Innovation)
cut costs, concentrate on
(primarily) cash flow, focus on
what dominates competitors
and sell off everything else
Operational Excellence Customer

(Cost Leadership, Execution) Intimacy
Deming, Hammer, Charan
Ontological philosophies of how business succeeds at the highest level of abstraction. The epistemology includes market participants, capabilities (internal and shared), and the content of the capabilities for
w hich people (and things?) engage in the elements (e.g., products, netw orks, value streams, processes, technologies). In turn, people’s behaviours have an aggregate impact upon the ecosystem.
Complicated by Forces Shaping Your Trajectory
• We'll be working in a hybrid environment through 2030 1.
• Covid variant spikes remain unpredictable.
• Autonomous electric vehicles are a part of our value stream. Environmental
• Social media fragments by 2030 by demographic and

regions. Operational
• The QWERTY keyboard is no longer a requirement for
computing.
Strategic
• Agriculture and mining will be the first 2 industries to
implement semi- and fully-autonomous operations.
• Ecosystem hubs to toolchain the IT that supports the
planning, developing, delivery, and production management
of I&T for business consumption will be in place by 20XX.
Note: These are all w ild illustrations of change, none of w hich are Gartner positions. For more on capturing forces see: “ Tool: Accelerate Digital Business With Workshop on Business Dynamics Mapping”
1See “The new frontiers of hybrid w ork take shape,” Financial Times, 21 April 2021
Do you know what you want to be when you grow up?
Do you have a plan as to how you’ll get there?
Do you have alternatives in mind in case one path or another is closed?
Or, are you leaving it to the winds of fate?
When’s
I want to snack
be a time?
I want to I want to police
be a lead my
I want to officer..
doctor.. country..
be a
lawyer..
Life Pivot Points

Education Qualifications Children Mortgage Economic Disruption Winning the Lottery
13
RESTRICTED DISTRIBUTION It’s Imperative to Envision Your Future State
© 2021 Gartner, Inc. and/or its affiliates. All rights reserved.
Traditional Composable
Business Business
1 Strategy Long-Term Strategy Continuous Strategy
2 Customer Siloed Customer Functions Everything Customer
3 Value Enterprise to Customer Ecosystem to Customer
4 Technologies Static Technologies Composable Technologies
5 Workforce Human Workforce Human & Machine Workforce
6 Operations Stable Operations Adaptive Operations

Is this a future you can imagine for your business? Are your leaders w illing to consider such a w orld?
Polling Question 1 of 3
How to participate in our polling
My organization primary views “strategy” as:
If you are in full screen mode – click Esc
The poll question is on the “Vote” tab.
Please click the box to make your selection.
A. Non-existent Upon voting you will see the results.
B. A once-a-year exercise looking out into the Thank you!

future to identify some innovations for
investment consideration
C. Next year’s fiscal cycle budget of work to be
Q. Polling Question
funded
(please choose 1 answer)
D. 3-5 year planning of work to be done and
A. Answer
results to be gained
B. Answer
E. Future State Visioning 5+ years to set target
goals and conditions which anticipate change C. Answer
D. Answer
E. Answer
What’s Driving Us In
This Direction?
Uncertainty.
A New Appetite for IT.
A Lesson We All Know, But Have We Learned?
Disruption Radar Map Example From DHL:
Taking Positions and Adjusting Desirability
Source: “Logistics Trend Radar,” DHL
Strategy and
Influences
Innovation Analysis Visual Roadmap
Business/Market
Product/Service/
Influences Capability/Systems
Technology/Skills/
Disruption Radar Map Competences/Resources
Today Future
Source: EIRMA (1997), Gartner Modifications (2019)
What is Your Board Expecting of Digital from You?
Impact of COVID-19 Disruptions on Organizations’ Digital Business Initiatives
1 Accelerate Digital Business Initiatives 69%
Increased Focus on Improving Operational
2 Excellence Through Digital Business
60%
Increased Focus to Drive Higher Levels of Cost
3 50%
Optimization Through Digital Initiatives
4 Increase Investment in Digital Business 48%
Increased Focus to Completely Transform the
5 39%
Business Model Through Digital Business
No Change in Enterprise Behavior With
8%
Respect to Digital Business
Reduce Investment in Digital Business 3%
Decelerate Digital Business Initiatives 3%
We Do Not Have a igital Business Initiative 1%
0% 50% 100%
Source: 2021 Gartner View From the Board of Directors (n = 260, all respondents, excluding “Don’t Know ”), multiple responses allow ed),
Q02: ”What kind of impact do disruptions caused by COVID-19 have on your organization’s digital business initiatives?”
CEOs See CIOs Key Drivers of Business Strategy
Looking ahead 3-5 years, who do you anticipate will be/will need
to be the key driver of business strategy (other than
yourself/CEO) for your organization?
CIO
40%
Board
26%
CFO
11%
CMO
CDO 3%
RESTRICTED DISTRIBUTION COO
21 © 2021 Gartner, Inc. and/or its affiliates. All rights reserved. 10%
Source: May 2020 Deloitte and WSJ Intelligence global survey (n=100) 10%
“The past 12 months have
shown how crucial the
chief information officer
is; now the focus is on
building seamless
customer journeys and
delivering growth”
- Sean Hargrave, former innovation editor of The Sunday Times
(28 March 2021)
The Primary Focus of EA for Composability:
Are you asked to focus here, or there?
IT Executive EA
Asset Costs TA, Standards
E2E Costs/IT Processes AA, SA
ITaaBusiness IA, Innovation
ITaaRevenueGenerator BA
Leads Strategic Planning Business Design

See “What Is an I&T Operating Model, and How Do You Accelerate Its Design Process?” and “Toolkit: Enterprise Architecture Value and the I&T Operating Model Optimizing Patterns”
What should be the primary focus of If you are in full screen mode – click Esc
“architects?” The poll question is on the “Vote” tab.
Please click the box to make your selection.
Upon voting you will see the results.
A. Technology Standards and Debt Management
B. Supporting Application Delivery Thank you!
C. Guiding Innovation Decision-Making

D. Determining the Future State of the
Organization in Response to Disruptions Q. Polling Question
(please choose 1 answer)
E. Using I&T to Digitize and Transform the
A. Answer
Organization
B. Answer
C. Answer
D. Answer
E. Answer
Considering
Composability with
Supporting Models,
Diagnostics, and
Analytical Processes
What Is Composable in Your Business?
Customer
A Business Model reflects
why value is created and delivered to Value
Financials
customers or constituents. Proposition
Business capabilities are the linchpin that links these together, Business
Capabilities
telling us what the organization must do for the how to deliver the why. Capabilities
An Operating Model reflects Value Governance
how value is created and delivered. Streams
Resources
Are Teams of People Composable? Qualifications
Experience
Cultural Adaptability
Belief Systems
Dexterity
Results Location
Country Knowledge
Language
Time Zone
27
The Most Important Operating Model Resource?
See “IBM: A history of inclusiveness” (2015), “Diversity as Strategy” (2004), “Building an Equal Opportunity Workforce” (2021, looking back to the 1950s at IBM),
The Culture Map: Decoding How People Think, Lead, and Get Things Done Across Cultures (Meyer, 2015)
Since Brexit (2016), this EA Principle states:
“Architect for …
… Reconfigurability … … Not, Indestructability”

A Key Learning: Don’t Wait, Anticipate
Resurgence
3 Types of Investments Everyone Must Consider
Bets on the future. Requires a

Faith Future State Vision beyond the
current fiscal cycle.
Investments with a predictable

Fact outcome. ROI, EVA, IRR – music
to the ears of the financial minded.
Things we must do to remain in

Fear business. Keeping the regulator
happy, protecting the brand, etc.
See “3 Essential Steps to Evaluate the Business Case for New Product Investments ”
Support Resilience in the Face of Disruptions
Before During After
**Heatmap **Strategic
Roadmapping
**Anchor 4 5
Model(s) 1
**Portfolio 3 6 IMT
Assessment
Decisions
Planning
2 8 7
9 10
**Trends
Mitigation Mitigation **Debt Clean-Up
Assessment
Results Execution Management
** Bold = Key Deliverables EA can provide and maintain for decision-makers

Planning Beyond Scenarios? XYZ-Casting Analysis
Now Possible “might”
Plausible “could”
Probable “likely”
Projected “expected”
Preferable “wanted”
Potential
“Everything beyond
the current moment”
Time
Note: These options w ill be show n on Business Capability Models (and their substitutes) and Roadmaps communicating the state of change
As Conditions Change, Fitness Changes
25% 75%
Probability Probability 100% Certainty
# Trend # Trend # Trend
Triggers Likely Triggers Likely Triggers Likely
Core ERP System
• Domain Guidance
Customer Service Chatbot Solution • Reference Model
• Domain Guidance
Robotic Warehouse Solution • Reference Model
Core Billing System
High Fitness
Low Fitness
No Fitness
Federated Model: A Common Complication
Fo
I Core
Common Distinct F
Distinct E
M&A
Distinct D Divest
Separate
Distinct C
LOB/BU
Distinct A Architectures
Distinct B
Complicated by:
• Layers of abstraction
• Breadth of content
• EA Methods/Services Ownership
• Business/IT Span of Control
A • Fo = Degrees of Freedom
• Local Maturity/Skills
• Perceptions of IT Role
34
• Expectations of Governance
See “Use Enterprise Architecture to Build Collaboration and Cooperation in Federated Organizations” and “Balancing Your Approach to IT Centralization, Decentralization and Federation ” and “Take a Decision
Matrix Approach to Balancing IT Decision Rights in a Federated Enterprise ” and “Market Trends: Telecom BSS Evolving as a Set of Federated Capabilities”
Federation & Business Capabilities:
Mashing Up Categorization Schemas
Deliver Personalized Customer Experience Develop Market and Brand Create "Next Payments" R&D
Support Personalized Risk, Operate
Contextualized Develop Product Develop Crowdsource
Personalized Reputation and Market Products Customer Create Sandbox
Interactions Strategy Risk Models Innovation
Campaigns Fraud Management Intelligence
Create and Manage Operate Develop Develop

Onboard Define Business Create Rapid
Maintain Customer Identify Competitive Set Pricing Innovation Customer as
Customers Direction POC Cycle
Reputation and Preferences Intelligence Channels Innovator
Provide Account Services Develop Multichannel Operate Business

Offer Corporate Support Govern
Offer Credit/Debit Service Support Dynamic Maximize Human Optimize
Service Deposits Loans and Make Multichannel Technology
Card Payments Facilities Capital Facilities
Deposits Payments Investment
Deliver Wealth Provide Develop

Provide Provide Credit Support Create Digital Manage
Management Corporate Credit Support Investors Strategic
Consumer Credit Services Universal BYOD Services Financial
Services (SMB) Planning
Develop Partner Ecosystem Proactively Detect and Resolve Risk Execute Investment Products
Manage Execute Manage
Define Partner Broker Manage Channel Deliver Corporate
Detect Fraud Evaluate Risk Information Consumer Corporate
Aggregators Crowd Funding Partners Financing
Security Investments Investments
Support Provide Execute

Use Credit New Channel Model New Balance Manage Privacy Offer Corporate
Peer-to-Peer Investment Fund
Brokers Partners Fraud Transparency Maxims Tax Services
Partners Services Management
Core
RESTRICTED DISTRIBUTION Common Distinct
Moving Beyond The
Four Walls of The
Business
From Business Model to Digital Ecosystem Model
Customer Participants
Value Value Rules of

Financials Exchange Engagement
Proposition
Business Shared
Capabilities
Capabilities
Capabilities Capabilities
Value Governance Value Governance

Streams Streams
Resources Resources
See “The Gartner Digital Ecosystem Framew ork: How to Describe Ecosystems in the Digital Age”
Ecosystems Need Style, Focus and Ambition:
Requires an Answer to Your Future State Vision
Transformation:
Ecosystem Style
Decentralized Lead an Ecosystem
Optimization:
Platform-Led Expand Your Ecosystem
Participate in Other Ecosystems
Digital Enablement:
Value Chain Improve Your Ecosystem
Goal Customer Cross-Industry

Ecosystem Focus
See “8 Ways Ecosystems Supercharge Digital Business Models”

Working Hypothesis:
Digitized Ecosystem Realizes All 3 Values
Treacy & Wiersema’s Value Disciplines
Product Leadership
Operational Excellence Customer Intimacy

Additional Tools
You’ll Need in Your
Toolbox
Simple View of Business Process Debt Types
Note: This is under development in Gartner Research and w ill be different upon publication
For Solution/Application/Information/Technical
Architects, The Internal Side of I&T is Changing
Composed Application Experiences
Application Composition Platform

Integration | Composition | Orchestration | Development | UX Development
Reference Insight
Action Reference Legacy Data

Legacy Insight Application PBC
Management
Business Reference
Insight Legacy
Application
Data PBC Analytics PBC
Analytics
Application
Data Fabric
Source Data | Metadata | Derived Data | Internal Processes | Rationalization | Logs
API/Event Interfaces User Interface Internal Data

See “Use Gartner’s Reference Model to Deliver Intelligent Composable Business Applications” and “Strategic Architecture Roadmap for Composable Enterprise Applications (Presentation)”
As You Digitize, Measure
(Externally Facing, Average % Revenue/Turnover)
60%
50%
50%
Progress in digitizing processes is typically much easier
than progress in digital “business” as shown by faster
progress along the x-axis than the y-axis.
No industry has, on average, entered the upper-right
Digital "Business"
40% Financial Services (Banking &

quadrant of new, sustainable digital business models. Investment)
Insurance
30% Government
Healthcare and Other
Insurers
Higher Education
20% Life Sciences, Medical Equipment and Healthcare
Other Science-Based Manufacturers Providers
Transportation
10% Heavy Manufacturing
0%
0% 10% 20% 30% 40% 50% 60%
50%
Digital Processes
(Internally Facing, Average %)
n varies by segment
Q: y -axis — How much of your organization’s total turnover/budget/revenue can be attributed to fully digital services (or products) delivered to your external constituents (see Note 2)
Q: x-axis — What percentage of your organization’s processes (core and support) have been optimized (made more efficient) through digital means?
Source: 2020 Gartner CIO Survey
When it comes to composable business, I If you are in full screen mode – click Esc
would be classify my organization in the The poll question is on the “Vote” tab.
following stage: Please click the box to make your selection.
Upon voting you will see the results.
A. Uninterested
Thank you!
B. Curious, but doing nothing now
C. Planning to engage in this concept within the
next planning cycle
Q. Polling Question
D. Focused upon composable information (please choose 1 answer)
technology only
A. Answer
E. Working on this right now
B. Answer
C. Answer
D. Answer
E. Answer
Are YOU Ready?
Techniques to Vet the
Appetite for
Composable Business
Support from the EA
Team
“If you’re a CIO reporting to the COO,
you’ll only have conversations about
operations and if you’re reporting to the
CFO, you’re only ever going to be asked to
reduce costs. The trick is to get in front
of the CEO and see what they want to
achieve to grow the business. We have to
be entrepreneurial and see how you can
proactively fit in and deliver that growth.”
- Lyn Grobler, CIO, Howden Group, The Sunday Times (28 March 2021)
What’s the 1st Rule of Fight Club?
• Avoid the phrase “enterprise architecture,”
unless directly asked
• Don’t sell, educate
• Don’t “talk tech,” unless you can explain in terms
of business value and outcomes as part of the
strategic ontological beliefs of your executives
• Don’t mix up your aspirations with expectations
• Be clear on your value proposition to, minimally,
the IT executive
• Speak to how you (and your team) will help
others make smarter decisions
• Use storyboarding to vet acceptance of
composability to deliver value proposition to your
47
organization
Internal/External
Trends Radar Map Feeds Candidates to…
Business Ecosystem
Updates Model Engages
A/B
A. Leadership Team Named
Creates B. Technology Leaders Executive
Decision/On To Further Analysis Approves

An exercise
that supports
storytelling a
Enterprise Architect service to vet
Philip Allega Next Step target
Decision(s) consumer
appetites
See “Storytelling for Enterprise Architecture: How to Persuade Leaders of EA’s Value in Decision Making,” and “3 Steps to Creating Enterprise Architecture Services”
You can excite your
leadership with composability
There is more You can confront uncertainty

IT leaders can with future state visioning
do to drive You can add composability

composability to your strategy
than ever You can orient your

before. technology around PBCs
You can value composability
in daily decisions
“Homework” Recommendations
Use storyboarding to vet the appetite of others Trends
Radar Map Feeds Candidates to…
to perform work that supports value you need Business
Capability
from EA for you to be successful Updates Model Engages

A/B
A. Leadership Team Named
– See “Storytelling for Enterprise Architecture:

Creates B. Technology Leaders Executive
Decision/On To Further Analysis Approves
How to Persuade Leaders of EA’s Value in
Decision Making” Philip Allega
Distinguished Architect Decision
Understand your stakeholders view of where

they sit on the spectrum of being a traditional
business or a composable one, and be
prepared to act accordingly
– See “Toolkit: Composable Business Index
From the 2020 Gartner IT Symposium/Xpo
Keynote”
Did they shape their life, or did life shape them?
Ask your questions
Type your question here…
Send Question
The World’s Most Important Gathering
of CIOs and IT Executives™
18 – 21 October 2021 | Orlando, FL

25 – 27 October 2021 | Sydney, Australia
8 – 11 November 2021 | Barcelona, Spain
16 – 18 November 2021 | Tokyo, Japan
30 November – 2 December 2021 | Kochi, India
Discuss key topics like smarter spending,
data and analytics, customer experience,
At this year’s conference, you will:
cybersecurity and more. At Gartner IT
Symposium/Xpo® you’ll reimagine your Discover tools and techniques to enhance
your IT and business strategies
approach to leadership, technology and
business strategy.
Examine the opportunities and risks in
adopting emerging and innovative
#GartnerSYM technologies
Challenge how you think about leadership

Learn more: gartner.com/conf/cio and discover new approaches to lead

2021 Gartner
conferences
Access more research-backed
insights to master your role and
transform your business.
View the global Gartner

conference calendar at:
gartner.com/cal
Top Priorities for IT:
Leadership Vision
for 2021
Emerging trends, expected challenges and
next steps for enterprise architecture
leaders in 2021
Download
Keep
learning
@Gartner_IT Gartner for IT
Gartner can help you
achieve your most
critical priorities
Essential insights and advice for every
leader across the enterprise.
Contact Us
U.S.: 1 800 213 4848

International: +44 (0) 3331 306 809
Get more Gartner insights
Download the research slides
View upcoming and on-demand Gartner webinars

at gartner.com/webinars
Rate this webinar

Gartner - Re-Compose Your Future Business With Todays Enterprise Architecture

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Gartner - Re-Compose Your Future Business With Todays Enterprise Architecture

Uploaded by

Copyright:

Available Formats

Ask a Download Share This

Re-Compose Your Future Business

… is a discipline for proactively and

Market State and Strategy Ontology Shape EA Response to

Market Product Cost QUESTION

Market Growth Rate

Diversification CASH COW DOG

Treacy & Wiersema’s Value Disciplines

Operational Excellence Customer

• Social media fragments by 2030 by demographic and

Life Pivot Points

1 Strategy Long-Term Strategy Continuous Strategy

2 Customer Siloed Customer Functions Everything Customer

3 Value Enterprise to Customer Ecosystem to Customer

4 Technologies Static Technologies Composable Technologies

5 Workforce Human Workforce Human & Machine Workforce

6 Operations Stable Operations Adaptive Operations

B. A once-a-year exercise looking out into the Thank you!

Decelerate Digital Business Initiatives 3%

We Do Not Have a igital Business Initiative 1%

E2E Costs/IT Processes AA, SA

ITaaBusiness IA, Innovation

Leads Strategic Planning Business Design

C. Guiding Innovation Decision-Making

… Reconfigurability … … Not, Indestructability”

Bets on the future. Requires a

Investments with a predictable

Things we must do to remain in

** Bold = Key Deliverables EA can provide and maintain for decision-makers

Core Billing System

Create and Manage Operate Develop Develop

Provide Account Services Develop Multichannel Operate Business

Deliver Wealth Provide Develop

Support Provide Execute

Value Value Rules of

Value Governance Value Governance

Decentralized Lead an Ecosystem

Goal Customer Cross-Industry

See “8 Ways Ecosystems Supercharge Digital Business Models”

Operational Excellence Customer Intimacy

Application Composition Platform

Action Reference Legacy Data

API/Event Interfaces User Interface Internal Data

40% Financial Services (Banking &

Decision/On To Further Analysis Approves

There is more You can confront uncertainty

do to drive You can add composability

than ever You can orient your

from EA for you to be successful Updates Model Engages

– See “Storytelling for Enterprise Architecture:

Understand your stakeholders view of where

Type your question here…

18 – 21 October 2021 | Orlando, FL

Challenge how you think about leadership

© 2021 Gartner, Inc. and/or its affiliates. All rights reserved.

View the global Gartner

U.S.: 1 800 213 4848

Download the research slides

View upcoming and on-demand Gartner webinars

Rate this webinar

You might also like