Lecture on Enterprise Architecture by Former Chief Architect at Allianz

Introduction

• Third appearance at Busy Hour event
• Currently transitioning both geographically (Munich to Singapore) and professionally
• Reflecting on 5 years as Chief Architect at Allianz
• Initial uncertainty about the role of Enterprise Architecture

Challenges in Enterprise Architecture

Common Misconceptions

1. Ivory Tower Perception:
   • Often seen as drawing diagrams and giving speeches, disconnected from implementation
   • This perception can sometimes be reality but is not what true Enterprise Architecture should be
2. Decision Making:
   • Seen as the sole decision-maker, which can make the Chief Architect a scapegoat
   • True Enterprise Architecture is much more collaborative

True Role of Enterprise Architecture

• Align IT and business strategies
• Act as a connector and translator between IT and business functions
• Ensure that systems architecture aligns with business needs

Understanding Business Context

Business and IT Alignment

• IT is often cost-driven; seen as a necessary expense to automate manual processes
• Difference in roles between IT architects and business executives
  • Business executives act as de facto 'business architects'

Various Views on IT

1. Cost Center: Minimize costs; susceptible to outsourcing
2. Asset: Invest to return value; involves some reporting to CFO or COO
3. Enabler of New Opportunities: Drives innovation and new business models; often involves a Chief Digital Officer (CDO)

Impact on Architect's Role

• Align message to the business view of IT (cost, asset, enabler)
• Sell benefits of architecture in terms business leaders understand (e.g., hardware utilization for cost-driven views)

Formulating Strategies

• Understand the business strategy
• Avoid strategies that are broad and unclear (e.g., 'faster, better, cheaper')
• Be wary of letting vendor roadmaps dictate the strategy
• Align IT strategy to business operating models (standardization vs. integration)

Transparency and Reality Check

• Importance of mapping current state of IT systems
• Transparency is crucial for creating a realistic roadmap to the target state
• Example: Insurance business with diverse and duplicated IT systems

Governance and Implementation

• Effective governance ensures alignment with strategy
• Governance often seen as a hurdle but can add value

Practical Examples

1. Governance Example:
   • Allying with procurement to ensure alignment with IT strategy
2. Architecture Review Boards:
   • Help provide support, defend decisions, and sometimes reduce costs

Feedback and Adjustment

• Continuous feedback is crucial
• Integration of Enterprise Architects across technical layers
• Real-world feedback helps recalibrate strategies

Importance of People

• Investing in mentoring, coaching, and skill development
• Importance of human elements in successful implementation

Key Takeaways for Architects

• Connections:
  • Align IT and business strategies
  • Integrate different systems and functions
• Abstractions:
  • Use models to manage complexity and make decisions
  • Ensure models serve a purpose (answer questions, facilitate decisions)
• Decisions:
  • Meaningful decisions are driven by principles and involve trade-offs
  • Effective decisions focus on areas where tangible outcomes can be achieved

Conclusion

• Effective Enterprise Architecture isn’t black magic but requires discipline
• Importance of maintaining focus amidst complexity
• Diverse career perspectives enrich the practice of Enterprise Architecture
• Recommended Reading: "37 Things One Architect Knows About IT Transformation"