Organizing the Tactical for Strategic Intent

Transcription

1 Organizing the Tactical for Strategic Intent Building an Adaptive Enterprise Roadmap for your enterprise Michael Uram, HP Adaptive Enterprise Pgm Dir Bill Stephenson, HP Sr. IT Business Consultant James Duff, Sr. IT Management Consultant 2004 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice

2 Three Big Ideas 1. Building an Adaptive Enterprise requires an architectural approach 2. Services are the language and building blocks of an Adaptive Enterprise 3. The journey to an Adaptive Enterprise requires synchronized progress across multiple disciplines 2

3 Adaptive Enterprise What is it? defined in technical infrastructure terms self-healing dynamically provisioned - self-adjusting $ / GB defined in cost / accounting terms IT value delivered on pay-per-consumption basis defined in terms of business processes embodied within IT functions and services SOAs driven by BPM with automated IT delivery strategic sourcing IT synchronized with the business 3

4 Business and IT not synchronized BuildCo case study example michael uram A building supplies manufacturer s three divisions make flooring, lighting, and electrical components. A builder wishes to purchase all of these items from a single supplier, a single salesman, with portfolio pricing and just-in-time delivery. 4

5 Business and IT not synchronized case study example michael uram internally. multiple sales forces $ multiple customer databases $ underutilized servers multiple builder $ wasted different schedules; time & OSes information manpower coordination Each siloed business process and it s underlying IT infrastructure and processes represents trapped cash that drains capital from the business and make decisions and transactions slower to execute $ $ 5

6 Change We Must - outdated demand management is -be rewarded IT heroism mustn t - with the business be synchronized by time, IT must - be defined by vendors, IT architecture mustn t 6

7 Adaptive Enterprise requires an architectural approach michael uram Engrg Mfg Sales Mgt Business Strategy Business Processes Mgt Mgt Mgt Mgt Business Business processes/ Business processes/ Applications Processes/ Applications Applications Business processes/ Applications Supply Information Application Services Infrastructure Services Supply Demand Resources Middleware Resources Resources Resources Virtualized Resources Resources 99% 60% 45% 35% Infrastructure Special management tools in each silo N*( N-1) integration across silos Much manual intervention Stranded capacity Darwin Reference Architecture simplify + standardize + modularize + integrate 7

8 Adaptive Enterprise requires more than technology Adaptive Enterprises = deliver services, not technology Adaptive Computing / Utility Computing. Being able to plug into computing power as you do electricity, paying only for the resources that are consumed Power plant vs. battery - CIO Magazine - defined processes (delivery, service restoration, billing, etc) - measured quality (availability, cleanliness, power levels) - defined price (consumption-based. Includes defined processes) - technology, no services - quality inferred by brand - defined price (acquisition cost) 8

9 What does service mean? We received great service at the restaurant last night For our wedding, we received lovely place settings - service for eight. I get my car serviced at Pep Boys. HP is our managed service provider. In 72, I was drafted into the service. I use the Jiffy Lube oil change service 9

10 Four Required Elements of a Service Business Strategy Business Processes 1. Defined deliverables Supply Information Application Services Infrastructure Services Supply Demand 2. Measured and reported quality Virtualized Resources 3. Defined price Infrastructure 4. Customer is the judge of value 10

11 Adaptive Enterprise services examples - moving up the stack Supply technology stack - exchange-based services - logistics services - fund transfer brokering & authentication services - SOA-based services - content and knowledge mgmt services - information lifecycle mgmt service - transactional integration (transfer business data between apps in a common manner) - database services - centralized development /test environment service - identity mgmt service - web single sign-on service - directory service - server provisioning service - SAN storage services - NAS file system storage services - network services 11

12 Adaptive Enterprise services example - moving across the value network HUD Education State Hwy Patrol Justice Agri culture Health Human Services Supply Legislative Branch Citizen Services Executive Branch DMB DMV Energy Commerce Interior DNR Customers (consumers of value) Internal biz processes external biz processes 12

13 Athp.htm Adaptive Enterprise Synchronizing IT with the Business high level of biz process automation high level of biz process automation Supply solution stack internal processes and customers employee portal low level of biz process automation internal processes and customers Internal biz processes athp.html Customers (consumers of value) external processes and customers Amazon marketplace low level of biz process automation external processes and customers early Dell external biz processes Amazon.htm 13

14 Delivering Services basis of Adaptive Enterprise Maturity Model Supply Business Strategy Business Processes Information Application Services Infrastructure Services Virtualized Resources Infrastructure 4 5 Supply Demand Service Maturity Ad-Hoc level 1 Stable level 2 Efficient level 3 Adaptive X-silo level 4 Adaptive X-value network level 5 defined deliverables best effort Hardware resources infrastructure services biz processes extend & link across silos within firewall biz processes extend & link across value network 14

15 A Model for Defining, Creating, Delivering any Service ITSM Transition Strategy HP ITSM Reference Model v3 15

16 IT Operational Process Model Service Creation Order 1 2 Service planning IT strategy and architecture planning Security management Customer management Continuity management Availability management IT business assessment Service-level management Problem management Incident & service request management 4 Change management Capacity management Financial management Configuration management Operations management Service build and test Release to production 3 HP ITSM Reference Model v3 16

17 IT Operational Process Model Service Transformation Order Service planning Security mgmt IT strategy and 4 Continuity mgmt architecture planning Customer mgmt Availability mgmt IT bus. assessment Capacity mgmt Service-level mgmt Problem 1 Financial mgmt Change mgmt mgmt Configuration Service build Incident & service mgmt and test request mgmt Release to Operations 2 production mgmt 3 HP ITSM Reference Model v3 17

18 Difference between Processes and Services Difference between Processes and Services Characteristic Process Service cohesive set of activities yes yes designed to achieve yes yes predefined results results defined as process outputs customer deliverables recipient / consumer of results inside the organization measured & reported quality desired, not required outside the organization required defined price desired, not required required measures and accountability done internally - done externally, by within organization customer 18

19 hp adaptive enterprise technology enablers Supply OpenView Identity Mgmt NAS/SAN OpenView Storage Area Mgr OpenView Service Management HP Total Print Management Zero Latency Enterprise Supply Adaptive Application Architecture Adaptive Network Architecture Virtual Server Environment Common Intel Architecture Consolidated Client Infrastructure Blade Servers Utility Data Center 19

20 Adaptive Enterprise High Level Roadmap Adaptive Enterprise business agility Primary focus: IT services Stable stable, secure and extensible foundation business continuity and availability security Efficient Managed and integrated resources enterprise integration IT consolidation management Adaptive Dynamic and automated with business processes virtualization on demand managed services integrated support financing Primary focus: Business services IT adaptability 20

21 HP assists clients to identify agility hotspots michael uram Importance Agility 1 Sales 2 Order Handling 3 Service Planning and Development 4 Service Configuration 5 Resource Planning and Development 6 Resource Provisioning 7 Problem Handling 8 Customer QoS Management 9 Service Problem Management 10 Service Quality Management 11 Resource Inventory Management 12 Resource Maintenance and Restoration 13 Invoicing and collections 14 Rating and Discounting 15 Resource Data Management Hot Spots are indicated in the following processes: Order Handling, Service configuration, Problem Handling, Customer QoS Mgmt, and Service Problem Mgmt. 21

22 Adaptive Enterprise Mgmt of Change Dependencies adaptive, modular infrastructure depends on Engrg Special management tools in each silo N*( N-1) integration across silos Mfg Sales Mgt Mgt Mgt Mgt Business Business processes/ Business processes/ Applications Processes/ Applications Applications Business processes/ Applications Middleware Resources 99% Resources Resources 60% Resources Resources 45% 35% Much manual intervention Stranded capacity Siloed Computing Mgt LOB-IT relationship (trust & confidence) earned by IT ops processes executed credibly enabled by IT Strategy (governance, architecture, org, people, portfolio mgmt) Supply Adaptive Computing 22

23 Adaptive Enterprise Mgmt of Change Dependencies adaptive, modular infrastructure depends on infrastructure maturity virtualization technologies LOB-IT relationship (trust & confidence) earned by business IT relationship IT ops processes executed credibly enabled by service maturity IT service management model IT Strategy governance, architecture, people, organization, portfolio mgmt 23

24 Adaptive Enterprise Business IT Relationship BRM Stage Technocentric Transition Business-centric Customer-centric IT Focus tech infrastructure customer service new business LOB-IT relationship (LOB trust & confidence) Issues Concern Measure control cost availability response service quality satisfaction opportunity performance Nature unaware reactive proactive leadership Service technical fix SLAs customer need management IT Strategy project time to mkt Utilization / Integration Integration / Rationalization Business Svc Creation 24

25 Adaptive Enterprise IT & Business Strategy Strategy How IT will support business processes and enable business agility. Target value proposition of IT: stability, efficiency, adaptive Governance Defines the who, what and how of allocating limited IT resources to execute the IT Strategy. Governance needs to be matched with overall maturity of the organization. IT & Business Strategy Enterprise Architecture Organization Portfolio Mgmt Organizing logic for data, apps, and infrastructure captured in policies and technical choices to achieve desired technical & bus. standardization and integration. Roles, responsibilities, measures. How IT organizes itself: by LOB, by technical function; by IT services; by business services; by business process area Managing IT projects & assets with the same discipline as a financial portfolio. An integrated view of program risk and business value. Requires transparency of information and on-going measurement of results. 25

26 Organizing the Tactical for Strategic Intent An Approach to Building an Adaptive Enterprise Roadmap michael uram Darwin Alignment Filtering Portfolio Mapping Business Strategy goals Business Processes Information Application Services Infrastructure Services Virtualized Resources Infrastructure identify implement AE Blueprints roadmap inputs biz projects IT projects agility hotspots pain points group key Adaptive Enterprise disciplines AE Maturity Model Enterprise Architecture clarify AE Program Office portfolio mgmt Roadmap Multi-yr plan that maps required changes across Darwin Domains and AE Disciplines: IT strategy, governance, architecture, relationship, IT operational process, org, infrastructure, and portfolio management Blueprints EA Office Roadmap 26

27 Three Big Ideas 1. Building an Adaptive Enterprise requires an architectural approach 2. Services are the language and building blocks of an Adaptive Enterprise 3. The journey to an Adaptive Enterprise requires synchronized progress across multiple disciplines 27

28 Building an Adaptive Enterprise Roadmap Michael Uram Adaptive Enterprise Pgm Dir Naperville, IL Thank You James Duff Sr. IT Mgmt Consultant Nashua, NH Bill Stephenson Sr. IT Business Consultant 28

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