Using Business Architecture to align Capital Markets Business Transformation with our Target Picture November 2016

Transcription

1 Using Business Architecture to align Capital Markets Business Transformation with our Target Picture November 2016 Andreas Kiaer, Business Architect Annika Brännmark, Business Architect

2 What we would like you to remember How we work with Business Architecture How we have used Business Architecture to create a Target Picture An example of how to use Business Architecture to guide change Main challenges applying Business Architecture To change mindsets just go do it!

3 Our story Introduction & Background Case Study - Creating a Target Picture and work with it in action Lessons Learned Q & A

4 Introduction & Background

5 As of 2016 Nordea is the largest financial services group in the Nordics Nordea home market Customers - Approx. 10 million personal customers corporate customers Branches - Approx. 600 branch office locations Services - Corporate & institutional banking - Retail banking - Private banking - Life & pensions Number of Employees approx Financial strength - EUR 10 bn in full year income (2015) - EUR 671 bn of assets (Q2 2016) - EUR 30 bn in equity capital (Q2 2016) EUR ~30.5bn in market capitalisation - One of the largest Nordic corporations - A top-10 European retail bank

6 Nordea was created through a string of mergers Pre banks 1970 s 80 banks 1980 s 30 banks 1990 s 4 banks 2000 s 1 Nordea

7 Financial & Risk Control Capital Markets Part of Wholesale Banking Part of 1 st Line of Defence Role to ensure the credibility in the financial, capital and risk reporting Risk Management, Profit and Loss controlling, and Balance Sheet reporting tasks for Capital Markets 160 employees Main stakeholders Senior Management Nordea Board of Directors Group Finance Group Risk Capital Markets

8 Nordea group strategy We have an ambitious vision for Nordea and is on a transformation journey to reach this goal by AGILE EASY RELEVANT PERSONALISED CUSTOMER FACING TRUST ANYTHING, ANYTIME, ANYWHERE Changing customer experience Digitalizing the front-end Building a new infrastructure RELIABLE WELL- STRUCTURED DIGITAL FACTORY ONE OPERATING MODEL FOR PRODUCT AND SERVICE DELIVERY END-TO-END AUTOMATED COMMON PROCESSES SCALABLE INNOVATIVE COST EFFECTIVE Changing the operating model Changing behaviour and culture

9 Our situation main business problem Strategic issues Business Culture Information issues No common structured overview of current business No strategy on processes or architecture Silo mindset Database thinking Too much time fixing rather than solving issues Scattered data Inconsistency in data leading to quality issues

10 It is crucial for us as an organisation to have a coherent picture of the requirements and interdependence related to our capabilities, processes and infrastructure in order to deliver value add efficiently and avoid ending up in multiple independent solutions only covering single parts of our value chain Thomas Skytte Petersen, Head of Financial & Risk Control

11 Case study Creating a Target Picture and work with it in action

12 Why Business Architecture Bridging strategy and execution Guide Transformation Solve business problems Build Target Picture based on Business Architecture Execute on strategy Align Business & services Speak with one voice Common target Create structure Efficiency through transparency Strategic fit Starting point

13 How did we build our Target Picture? Value Propositions and Business Services Defined Target Business Processes Described Business Capabilities Link models in Enterprise Architecture tool Viewable Business Architecture website Change Management activities & roadshows Workshops & governance

14 The Business Architecture Blueprint Business Capability Value Proposition Financial Control Ability to efficiently comply with current and future external and internal requirements in financial reporting Business Service Legal Reporting Legal disclosures Statutory reporting Statutory reports Legal notes FINREP MFI3 report Statutory Reports Business Process Perform Legal and Statutory reporting Information Regulatory requirements Trade information Principles and Business rules IFRS Stakeholder receiving the Business service

15 Example of Target Business Processes

16 Example of Target Business Process Link to Capability blueprint Financial control

17 Example of Target Business Process

18 Target Picture Portal

19 The Business Architecture Journey Start up High level Process Business Capabilities Business Architecture role Group Business Architecture The journey continues Value Proposition & Business Services Detailed Process EA tool & website Projects & Business Architecture

20 Working with Business Architecture in action Business Transformation Phase 1 Business Transformation Phase 2 Business Transformation Phase 3 Business Capability 1 Business Capability 2 Business Capability 1 Business Capability 1 New Capabilities Business Architecture blueprints guide Business Transformation New Capabilities

21 How do we ensure we are driving towards our Target Picture? Used in projects & daily work BUSINESS ARCHITECTURE Senior stakeholder engagement Group Business Architecture Business Culture Data Governance & Information Architecture

22 Lessons Learned

23 Lessons Learned Do not oversell the benefits or underestimate the time to build it Have a business perspective Agree on a clear purpose and adopt Management buy in at all levels is required Show progress fast and feed the inputs to projects early No magic formula just go do it It is relatively easy to create a Target Picture The challenge is to change mindset and to act according to it

24 What we would like you to remember How we work with Business Architecture How we have used Business Architecture to create a Target Picture An example of how to use Business Architecture to guide change Main challenges applying Business Architecture To change mindsets just go do it!

25 Q & A

26 Thank you for listening! Annika Brännmark Business Architect, Financial & Risk Control, Capital Markets Phone annika.brannmark@nordea.com Andreas Kiær Business Architect, Financial & Risk Control, Capital Markets Phone andreas.kiar@nordea.com