Data at the heart of business strategy
With the goal of drastically reducing design times, Airbus has launched a transformation program to find efficiencies across the development cycle of new aircraft. The program is based on the principle of allowing different stakeholders to collaborate using the same data across departments and job functions.
This approach to representing business data, from the conceptual level to its logical and physical layers, forms the basis of the digital continuity program. It allows Airbus to aggregate data that was previously isolated from many stakeholders because it resided in silos. The approach forms part of a broader framework of enterprise architecture initiatives that are taking place across the organisation.
Definition of a common framework between business and IT
One of the major challenges Airbus faced was to bring business and IT employees together through the provision of a common representation of information and data. To do this, CIMPA implemented digital continuity in HOPEX, our integrated business transformation platform, by:
Agnostic representation – in other words making the data compatible with the different tools used and approaches used by different business units
Creation of the logical layer that links existing representations
The technology layer that defines how the data is stored.
This three-layer framework is part of a larger enterprise architecture framework and enables the business and IT to work on a common understanding of the data.
A model based on a semantic approach
Using a simplified example, Michel showed us how CIMPA, with the various actors involved in Airbus’ business divisions, managed to model a subset of the aircraft from a shared vision.
The challenge was to separate the business operating mode from silos. The solution chosen to describe the business model was then based on a consistent, common approach, "because it is the only way to unite employees around a common language taking into account use-cases and contexts".
The next step was to make these models understandable and usable by information systems (IS). This is firstly for people in different job functions to be able to understand and use these models, and secondly to enable IT to link the functions to the data in order to be able to interconnect the different information systems. This is why, "to formalize the implementation of digital continuity at Airbus, the business teams have been trained in MEGA's modeling practices."
Today, Airbus has several challenges still to overcome; ensuring the interoperability of models through the implementation of a single repository to centralize them, and to automate the linkage between the logical and technological layer.
Translation from the original French version.
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I am pleased to share our training offerings for October until the end of the year - please see the monthly schedules below. Please direct message me or email email@example.com with any questions or to book your courses.
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MEGA will be sponsoring the “Excellence in EA” conference in Amsterdam on 26-27 September, and one of the agenda items got me thinking about the actual core principles of EA and what it’s trying to achieve. I ended up also thinking about raw dog food and Dragons’ Den, but bear with me! On the afternoon of the conference, there will be a panel discussion (and no MEGA aren’t represented on the panel so it’s not just a roundabout attempt to promote it!) that discusses how to overcome struggles in justifying EA investments. To those "in the know", EA has many compelling benefits. So why can it be hard to get budget approved for it? Raw meat versus standard dog food Put simply, the problem starts if the pitch is focused on a tool, and there’s so many analogies inside and outside of IT that could be used to bring this problem to life. But just to pick one that springs to mind, a raw food is pitched to dog owners at a trade show. It focuses on the quality of the food, where it’s produced, and the flavours of it. Now while I love my dogs, I'm armed with the knowledge that they would pretty much eat and enjoy anything (almost literally – the only known exception I’ve found is raw garlic**). So I'm not sure that would justify it to me. However, if the pitch was something along the lines of how great the food is for their digestive system and coat as well as providing essential XYZ vitamins and minerals, then I might start paying attention. By that point once I’m on the hook I’d then ask the questions such as where is it produced, what quality standards, etc, and be willing to pay the extra price for the dogs’ benefit and also with an eye on peripheral benefits such as potentially reducing vet bills. “I’m out” Similarly, imagine if an EA tool was pitched on Dragons’ Den showing diagrams and pretty charts and asking for £100k a year in return for X% of the business. Without some amazing turnaround, I’m pretty sure it would get a resounding “I’m out” from all the Dragons. Perhaps this is the same within a company, given that many senior executives remain unconvinced about the value of EA because of experiences of it being oversold, under-delivered or any combination of the two. EA is a tool that is best used to solve specific problems. If you try to sell it to management from a tool perspective, it’s understandably unlikely to work. Or…. “I’m going to make you an offer….” Implementing an EA tool is no different to implementing any other IT system – you need to know the deliverables you’re looking to fulfil, what stakeholders will consume them, and in what format they will need them in (or would benefit from them being in). From there, the rest takes care of itself, and enables management to place realistic perspectives on what EA will deliver, find out any blind spots in what EA delivers, and most importantly of all, to be able to have the opportunity to establish business architecture-driven investment planning (the nutritional value of the dog food). That’s the point you present tooling options (the choice of which raw food to have as opposed to whether to choose raw food at all). But don’t stop there Once these deliverables have been achieved, the next challenge is to ensure EA becomes embedded throughout your organisation, and that it doesn’t just become “noisy”. To do this, it’s important to continuously focus on the next deliverable and working to ensure consistent value. Then repeat, repeat, repeat. Find out more We have a limited number of 20% discount codes for the conference in Amsterdam – please PM me if you would like information on those. Alternatively some of the following resources might be of interest: 6 step workbook to building a business case for EA Video series on how to take your EA practice from “Noisy to Influential" Infographic - the evolving role of an EA ** so far as of 21st August 2019!
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While the fines themselves and the subsequent appeals are making the headlines, the real question to ask is how can other organisations avoid such situations and take a more programmatical approach to regulatory compliance? In this article we look at the causes of both breaches, and propose some practical solutions.
What caused the breaches?
One of the main reasons cited for both breaches was the presence of unpatched legacy applications and shadow IT platforms that serve as a perfect ‘way in’ for cyber criminals to route traffic elsewhere in order to harvest the personal data.
Because of the nature of British Airways and Marriott and the levels of complexity of both organisations, their networks of content management systems, websites, mobile apps and online services can represent a weak point in cyber security and subsequently GDPR and other regulatory compliance requirements.
This is especially evident in the case of Marriott which acquired the Starwood Hotels Group in 2016, but the latter’s IT systems have since been found to have been compromised as early as 2014. Yet following the acquisition it still took until 2018 for the breaches to become known. In terms of GDPR compliance, the ICO felt that “Marriott had failed to undertake significant due diligence when it acquired Starwood and should have done more to make sure its IT systems were secure”.
Uranium or oil?
For some observers, the solution to GDPR compliance is for a firm to delete its data. In response to exposing the personal information of over 650,000 of its customers, the UK pub chain Wetherspoon for example took the somewhat nuclear approach to data privacy by deleting most of its client data as its solution to avoiding further breaches.
While this solution worked for Wetherspoons, to some firms, data is more like oil in that it requires careful handling, but at the same time is a vital commodity and cannot simply be deleted either for compliance reasons or for understanding customers’ requirements and purchasing history. For those organisations, compliance can be architected through the transformation of processes, applications and systems without sacrificing market agility. Instead of treating data as a threat to their business, they can gain competitive advantage by building customer loyalty based on data privacy.
At the time of writing this article, it should be said that both British Airways and Marriott have stated intention to appeal to the ICO against their respective fines. However, irrespective of the outcome of those appeals there is simply no reversing the negative press and the adverse impacts on share prices and brand that have already occurred.
Just like a good house, data privacy needs to be built on strong foundations, not a patchwork of solutions to paper over the cracks.
The core to the principle of GDPR compliance-by-design is an adherence to a 6-step methodology with data privacy at the centre. This begins with the performing of initial assessments across an organisation to identify all stakeholders, and which data processing activities require a Data Protection Impact Assessment (DPIA). With this knowledge, data can be categorised and identified for its sensitivity in order to form orders of priority based on analysis.
Using the compliance-by-design approach, the process of carrying out DPIAs becomes automated and includes business process documentation, assessment of the regulatory risks, and most importantly, a description of the mitigation measures that have been adopted. The ability to provide this level of information in a timely fashion is also evident from the fact that British Airways’ response to its breach was praised, and in particular the fact that it alerted affected customers and the Information Commissioner’s Office (ICO) within the 72 hours mandated to do so by the GDPR regulations.
To avoid Wetherspoons-style treatment of your organisation’s data, the remediation plan is also a crucial aspect of the compliance-by-design approach. This enables the securing of processes and applications that control or handle personal data – without impacting business ability or agility. It also facilitates the ability to document and communicate with and between compliance stakeholders, and enables any person within a business to report compliance incidents in order that the DPO and other leaders can centrally review, assign severity and notate remediation activities.
Look after your data
To most organisations, data is oil – it’s extremely valuable, even essential to the business. With a comprehensive solution that enables organisations to quickly assess GDPR needs, generate the required documentation such as DPIAs, and centrally manage compliance changes for the entire business, there is no need to treat data like uranium.
You can read more about MEGA’s approach to GDPR compliance-by-design in our 6-step guide
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tech UK's Cloud Campaign Week 2019 has got me thinking about the perception of cloud, and whether it's now viewed as a challenge or an opportunity by businesses and public sector organisations.
For me, it's interesting how the perception of cloud has changed so much in just 2-3 years. As recently as 2015/16 I remember it still being looked at with scepticism by our customers and prospects (in my previous company) - but now the question seems to have shifted to "why not cloud?" as opposed to "why cloud?".
Yet I agree with my colleague @ElsbethMcSorley that while the destination may be in sight, getting to the cloud (public or private) requires doing your homework and due diligence to make sure your IT portfolio has been modernized and is cloud ready. Depending on your organisational complexity, business priorities and regulatory requirements, that's not an easy task.
Whatever the journey there looks like, the evidence is increasingly suggesting that organisations that see cloud as a challenge instead of an opportunity are gradually being left behind. As @gabrielgomane discusses in his article (Cloud, Mobile and Social: A Strategic Challenge for Enterprise Architecture), Borders, previously one of the largest bookstore chains in the US, went out of business because it failed to make an effective transition into online to compete with Amazon. We've also seen several other examples such as Blockbuster's failure to compete with Netflix, and also in several UK retailers such as ToysRUs.
This digital disruption does not happen in just a few industries, but everywhere, and not only in the consumer industry. For example, many b2b software companies are moving from a perpetual licensing model to a subscription model by developing applications in the cloud. This transition allows them to develop new services and to deploy their applications more easily for customers.
These new technologies represent a real opportunity for companies, and lines of business now want to take advantage of them to generate new revenue streams. Today, to be successful, companies should understand customer journeys and identify key digital moments in the buying cycle. It is essential to engage with customers across the entire purchase process through these new services, otherwise, as proven, customers will simply move to your competitors.
While the cloud may have claimed ToysRUs, Borders and many other companies, the opportunites can far outweigh the challenges as the likes of Amazon, Netflix and many others have proven.
You can follow Cloud Week by using the #FutureOfCloud hashtag on Twitter.
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Newsflash - we're now at a tantalising 87% of our £3,000 target (that's £2,637.83 raised to save you reaching for the calculator!). Any last donations very welcome for this fantastic cause
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Thanks Elsbeth, interesting read! I especially liked the last sentence - I can see more and more reliance on the knowledge and insights of EA as digital and AI becomes even more embedded in big organisations
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NATO has recently adopted version 4 of its Enterprise Architecture Framework - NAFv4, which adopted UAF DMM as one of two meta-models for building NAF architectures. This complimentary information day on the morning of the 19th June in Amsterdam explores how to leverage MBSE with Architecture modelling in an integrated and disciplined approach, supporting NATO needs and enabling the modernisation of complex systems (Systems of Systems, C4I systems and complex industrial systems). The infoday brings together thought leaders from NATO, national governments, system integrators, the UAF development team, and practitioners. Discussion will address the challenges, strategies, current and emerging practices, and will inform the user community about the path forward. Attendees will have the opportunity to exchange experiences and ideas. MEGA's own Eugene McSheffrey will be presenting at the event on some of the challenges being addressed by the Open Group NAF-ArchiMate Mapping Group, in order to enable standardised NAF viewpoints to be implemented in a way that supports the use of the ArchiMate metamodel. This work will also be of interest to users creating architectures based on the UAF metamodel, because ultimately it is important to be able to demonstrate consistency between views created using the UAF and ArchiMate metamodels. You can find out more information about the event on this link, including the full agenda and how to register.
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I am pleased to share our training offerings for July and September (note there are no scheduled courses in August). Please direct message me or email firstname.lastname@example.org with any questions or to book.
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What's the walk all about?
Some months after we decided to do something as a team help us process our loss and raise some money in the process for a very worthwhile cause - the Brain Tumour Research charity. We’re now in our 6th year of what has become the annual MEGA Charity Walk. So far we’ve done:
Year 1 – MEGA 3 Peaks Challenge
Year 2 – MEGA Jurassic Coast Walk
Year 3 – MEGA West Highland Way – stage 1
Year 4 – MEGA West Highland Way – stage 2
Year 5 – MEGA West Highland Way – stage 3
This year we're going continental, and Italy is glad to host the event! The organisation of the Maggiore Lake Charity Walk, that will take place from 14th to 16th of June 2019 is in full progress!
As these walks and challenges have evolved we have seen an increasingly international team of walkers participate – some who knew and worked with Taylor, but many who now walk in his name as they feel the need to be part of this positive and extremely worthwhile cause.
The walks help us remember what a true force of nature Taylor was, raise money and become a stronger team!
Follow our progress and get involved!
Follow us on Twitter @Mega_Int with the hashtag #MEGAWalk2019, or visit our JustGiving fundraising page to donate.
Please share and let more people know about our charity walk and help us to raise more money for the great cause of the Brain Tumor Research charity!
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If you'd like to see a particular aspect of our HOPEX platform in action during the conference, or if you have a particular use case or pain point you'd like to discuss with us, please let us know with this form.
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I can confirm that Mr. Jan Eckhardt, Chief Enterprise Architect at Spar Nord Bank will present on how his organisation is using MEGA to maintain SIFI Bank (a.k.a "Too Big to Fail") status and IRB compliance to improve its competitive edge and level of appropriation reserves at 10:45 on the 4th June. If you have registered for the conference already you can use the app to build your agenda - if not, please contact me as we have some discounted passes available.
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We are excited to announce that during the Gartner conference our customer Mr. Jan Eckhardt, Chief Enterprise Architect at Spar Nord Bank will present on how his organisation is using MEGA to maintain SIFI Bank (a.k.a "Too Big to Fail") status and IRB compliance to improve its competitive edge and level of appropriation reserves. I'll share details of the day and time of this when they are announced by Gartner.
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It's that time of year again where we're building up to the "Gartner Enterprise Architecture & Technology Innovation Summit 2019", or just "Gartner EA" for short! This year it's taking place on 3-4 June in London, which being a Monday and a Tuesday is a departure from previous years when it's been later in the week, and immediately opens up some doors for a potential sightseeing weekend in London beforehand, especially for our many visitors from around Europe we're looking forward to meeting again. What are your expectations from the event this year and how did you find it last year? Hot topics - the value of EA For us at MEGA, we're really interested in the hot topics of this year's conference - especially the 'value of EA and business capabilities', and 'EA metric and business outcome measurement'. But why those two in particular? Because they fit perfectly into some work we've been doing with our customers and some potential customers around how to unlock the value of EA, and helping them with the process of moving their EA practices from being 'noisy to infuential' within an organisation. It's been really well received on several webinars and events so far this year, and we'll be discussing it further at Gartner - here's a teaser of our theme for the conference. You can read more about our survey results here, or watch this short video overview of where we're coming from with this. Do you still need a conference pass? We have a 10% discount code we'd be happy to share - just drop me a PM and I'll send it on along with instructions of how to apply it. Demo & meeting bookings I know it's always a busy schedule at the conference (here's the agenda in case you've missed it), which is why our customers and prospects ask us every year if we can arrange a specific time to book a demo or meeting during the two days. To make that a bit easier this year, we've created a quick form to choose a time that suits you, so let us know what suits and we'll get it arranged. What's next? I'll write another arcitle closer to the time to let you know about our networking reception prize draw, the delicious food and beverages we'll be offering during the day, our customer customer who will kindly be speaking on our behalf, and our survey if you'd like to get involved in the 'noisy to influential' mission to show the world the massive benefits EA can bring to organisations! Until then! #GartnerEA
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Last week a number of MEGA's customers and potential customers from all over Europe joined us at the spectacular 'Titanic Belfast' venue to discuss how to move EA departments from being noisy to influential within the business. From our work in the industry, we know that many EA programmes don't have the necessary influence in their organisations to drive change and add maximum value. EA can be seen as an intrusive cost centre that builds “architecture for the sake of architecture”, delivering nothing more than noise. But there is a clear path that can be followed where the efforts of the EA team will deliver value back to the business. During the workshop, we discussed where the delegates felt they currently are on the journey from being noisy to influential, and in doing so enjoyed some fun and productive conversation. For us, the stages can be broadly described as follows: In the build-up to the event we asked you for your input as to what stage you feel your EA practice is currently at in preparation for a whiteboarding session. The results were as follows, with none of the respondents indicating that they feel they currently fit into the 'influential' stage. This suggests that as an EA community we can all do more to work together on a mutual interest of demonstrating the profession's broader value to our organisations. You may also be interested to take a look at our 'noisy to influential' video below, or read the feedback from over 200 organisations we've surveyed so far globally. The presentation slides from the conference can also be downloaded from this link if you are interested to view them. Thank you to those that joined us at the event, and please contact us should you require any further information or a discussion on your requirements.
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We're pleased to offer a new series of training courses on our software products and methodology developed by our MEGA University. These courses are led by experienced MEGA consultants and will teach you everything you need to know about our products and services to help you in your EA, Business Process Analysis, IT Portfolio Management and Governance, Risk and Compliance projects.
This page outlines the format of our training, as well as forthcoming course offerings and availability.
Our training sessions are designed not only to transfer knowledge, but also to encourage discussion about new ideas and share prior experience – both with the consultant facilitating the course and among participants.
Our courses are available both in public and private sessions. For more information and if you are interested in organising training sessions on specific topics/languages that are not listed in this catalogue, please contact your MEGA account manager or send your inquiries to email@example.com.
Frequency in the catalogue
Every 2 months
English / Italian
Every 2 months
Every 2 months
English / Italian
Governance Risk and Compliance (to be confirmed)
Our offerings from April-June 2019 are detailed below, and are hosted in our Milan office. To enquire about offerings beyond these dates, please
Each class is confirmed at least 2 wks before if the minimum number of participants are reached.
Prices available on request from your MEGA account manager or firstname.lastname@example.org.
About MEGA University
MEGA University offers private and public company training designed to teach customers about our approach and methodology as well as the most effective ways to use our software.
“When deploying a new software solution, training is often key to your success. If the learning curve is too steep, users will quickly abandon the software and your project will be in danger. MEGA University is here to help get your staff up to speed on our HOPEX Solutions quickly.” Mark Finneran, MEGA University Program Manager
Click here for more information on MEGA University.
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Talent, red tape, risk, compliance, language and investment are all Nordic-specific challenges facing organisations aiming to deliver RPA and AI across their business transformation. If these challenges sound familiar to your business, or if you want to address them proactively before they become an issue, join MEGA's business partner Bizcon at the Intelligent Automation Nordics Summit on 18-20 March in Copenhagen. Bizcon will also use the event to outline how MEGA's HOPEX platform enables them to create an overview of key clients' entire end-to-end business process, a) by scoping the existing business process; b) identifying the main steps in the business process; c) identifying applications in the business process; d) identifying inputs and outputs in the business process; and e) creating a blueprint of the entire end-to-end business process. Bizcon's workshop will take place at 3:30pm on 18th March with the following discussion items: Business Process Discovery – scoping and process step identification, application identification, inputs, outputs and blueprint creation Business Process Analysis – how to ensure a detailed data driven AS-IS business process and analyze the process to identify business process challenges and automation candidates Business Process Redesign – why and how to go from AS-IS business process to the improved TO-BE business process to prevent automating an inefficient process and in order to select appropriate RPA candidates RPA Implementation – design and document RPA specifications based on previous steps. Business Process Monitoring – how to continually monitor, analyze and understand the process to ensure efficiency and enable continuous automation improvements To set up a private meeting with Bizcon, please send me an email .
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As you know, business transformation boils down to the following 3 things. From our work in the industry, we know that many EA programmes haven’t earned the trust of their organisations … yet. EA can be seen as an intrusive cost centre that builds “architecture for the sake of architecture”, delivering nothing more than noise. But there is a clear path that can be followed where the efforts of the EA team will deliver value back to the business. During our workshop in Belfast on 4th April, we'll assess where you currently are on the journey from noisy to influential, and in doing so enjoy some fun and productive conversation. For us, the stages can be broadly described as follows: In the build-up to the event we'll ask you for your input as to what stage you feel your EA practice is currently at in preparation for a whiteboarding session to kick off the day. From this we'll discuss what it means to be at your current stage of maturity, how to progress, and the business benefits of doing so. To secure your place at the event, please register here or message me if you have any further questions. In the meantime you may be interested to take a look at our short 'noisy to influential' video below, or read the feedback from over 200 organisations we've surveyed so far. We'd be delighted to see you in Belfast!
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In this blog, I look at two polarised examples of M&As and how IT can play a key role in their success or failure.
The bad & the ugly
One example of an M&A gone awry was the case of Banco Sabadell’s acquisition of TSB from Lloyds in 2015. In April 2018 in a project to migrate 1.3 billion data records as part of the acquisition process, TSB customers reported glitches in the online system, and customers unable to access their online banking, or in some extreme cases, being able to view the accounts of other TSB users.
The episode would ultimately cost TSB’s chief executive his job, while losing the bank 12,500 customers, an estimated £176 million additional migration costs and further losses on waived banking fees. In addition to the tangible losses for the bank, the failed migration has also led to a range of regulatory investigations and public scrutiny.
While this is of course an extreme example, it does provide food for thought in evaluating the role of IT in M&As. In this case, it certainly appears from the outside looking in as though the integration of the organisations’ operations and technologies proved difficult, and, as in other examples, it perhaps demonstrates that IT did not receive sufficient emphasis during the phase of due diligence.
For McKinsey, one reason for this could be that “executives from IT and operations often aren’t included in the due diligence process, preventing them from offering valuable input on the costs and practical realities of integration”.
Specifically, it seems unlikely that a successful merge of supply chains and their associated operational processes would be fully effective without input from the very earliest stages of a process without a detailed understanding being formed of the two organisations’ IT systems. According to McKinsey, this key aspect in an M&A process is often overlooked despite the finding that 50-60% of initiatives to capture synergies as part of an M&A cycle are ‘strongly related’ to IT, but yet “most IT issues are not fully addressed during due diligence or the early stages of post-merger planning”.
Although an obvious statement to make, the more knowledge that a company can gain about a potential merger or acquisition at the beginning of the process represents significant advantage, and this is another key area M&A that IT should be playing a big role.
One example of this is Unilever’s acquisition of hair and beauty manufacturer Alberto Culver in 2010. During and even before this process, “rather than decide on the target and then commission a big four consultancy to check their decision was a good one, which is standard practice, they started by building a performance model using third-party data to construct a rich picture of their market”.
In other words, firstly Unilever did not just hire an external consultancy to tell them how great a move they were making, they began modelling the opportunity for themselves in order to make a data-driven decision. In addition to the clear benefit of deep analysis into whether Alberto Culver was indeed the right target for Unilever, this process also enabled the firm to build in analysis of additional targets in order to evaluate their suitability for acquisition.
Getting IT right
Based on this analysis, one of the keys is not only getting IT right, but figuring out the central role that IT needs to play in the crucial period after a merger or acquisition. This comes from getting the CIO’s office involved early – very early – with big projects.
While this is easier said than done in times of uncertainty, it’s an increasingly vital component, and, along with the obvious financial factors, can ultimately make the difference between success and failure of the overall venture. In extreme situations such as the TSB online banking outages, there were clearly integration shortcomings between the organisations even after 3 years of the original acquisition.
The complexity of the M&A process is encapsulated by the need for effective intertwining of strategy, assessment, negotiation, and the integration of corporate entities to all come together in harmony with the objective of maintaining and building business value. While IT departments can traditionally be restricted to carrying out due diligence and smooth integrations, this approach can significantly limit the broader roles that IT teams can play in such processes.
One example of this is the approach that Unilever took to the acquisition of Alberto Culver; the complex data-driven modelling it undertook before, during and after that transaction would have required IT to build effective quantitative data models based on the input of accurate information. With a combination of publicly available data and that sourced from third parties, scenario planning can be conducted by IT in order to more accurately assess the business impact of different decisions.
From this, effective ‘what if’ planning can be conducted that not only increases the search for potential acquisitions but can also decrease time to market through the provision of reliable and accurate scenario-based outputs based on real data.
Another key role that IT can play in such a project is the key assessment of what systems to keep, which to re-asses, and which to retire. According to Myles F. Suer, Chief Platform Evangelist, CIO, in a recent article, such ventures are a prime opportunity to “put in place a smart, holistic IT architecture”, and the chance to “leave legacy dinosaurs behind”.
Has your organisation been through periods such as this when an effective enterprise architecture could have made a massive difference to a merger or acquisition? And what role did IT play in this process – was it as central as it could have been?
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Also, if anyone is interested in finding out more, we also explored these stages and perceptions of EA practices in an Open Group webinar earlier this year - the recording is available on this link if you'd like to listen back to it.
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Cost breakdown of a nuclear build
The ETI’s report demonstrates that European and North American plants incur significantly higher costs on impact the costs of supply chain, labour, project governance, project development, construction execution, political and regulatory context, equipment and materials.
Should improvements be made to these 8 key factors by nuclear build projects, the same report takes the view that there are realistic cost savings of at least 35% to be made. So there is clearly an incentive for nuclear builders to take notice of and execute such improvements, but what has prevented it from happening already?
With the well-publicised challenges of the Hinkley Point C project to draw upon in recent years, the UK government has prioritised cost reductions and learnings from this to be incorporated into future projects that are being touted to fill out its ambitious clean energy plan.
From the cost perspective, the factors the ETI lays out as being most important are also telling from a process perspective. These included the need to lay out factual and/or measurable indicators, in addition to establishing more clearly defined processes that are critical to plant completion, or ‘realisation’.
It should also be noted that the report states that while ‘contextual’ factors such as more experience in project delivery, less expensive and more productive labour, and more relaxed regulatory conditions could benefit developers in China, South Korea and Japan, “none of them would prevent an effective cost reduction programme from being implemented in new build markets such as the UK”. In other words, the cost and delivery differences between European and North American projects and those in other continents cannot be attributed to contextual factors alone.
So how could European nuclear build projects become more efficient from a process and cost point of view?
How enterprise architecture can help reduce nuclear build costs
With the complexity of the projects and the number of contractors, sub-contractors, staff, management layers, regulatory and political considerations to name just a few, a well crafted oversight strategy is clearly required.
Get a single source of truth to well-informed decisions and drive the projects
In Enterprise Architecture (EA) terms, this complex landscape could benefit from the ability to generate appropriate information sets for different stakeholders for the purpose of clear ongoing management reporting, mid-management oversight, and the monitoring of performance and timescales of the project’s many moving parts.
This need to manage and monitor such a range of risks, variables and different factions of a project is also integral to the role that enterprise architecture (EA) can play in a successful large-scale project delivery – the ability to provide a primary through-lifecycle reference and generate consistent views from a single source of truth could be the difference maker programmes of such scale.
From a cost-reduction perspective, the ETI’s report also emphasises that “fleet deployment by itself does not necessarily guarantee cost reduction unless developers implement a well-designed and intentional programme that incorporates multiple cost reduction opportunities by all principal actors”. With this, EA’s capability to build coherent transition plans, evaluate and prioritise specific projects, and foresee the impact of decisions in a complex environment could be invaluable to the nuclear sector’s ability to be agile and overcome in-project challenges.
Enhance collaboration and alignment
Yet as we have briefly established, it is precisely how to align and manage all these principle actors that is the main problem with delivering projects on this scale, and the recommendations underline this complexity. With the report identifying a total of 35 cost reduction opportunities for UK nuclear builds including a need to follow contracting best practices, the need to innovate new methods for developing alignment with labour around nuclear projects, and for government support to be conditional “based on systematic application of best practices and cost reduction measures”, the need for better and more effective alignment across the different silos of a project becomes all the more apparent. With the analysis and outputs generated from effective enterprise architecture tooling, this collaboration and alignment would be made all the more easier.
If you would like to explore the concepts introduced in this article in more detail you can listen to a presentation given at the recent Nuclear Decommissioning 2018 conference in Manchester, in which MEGA’s Simon Bobbitt outlined ‘modelling an enterprise, and what modelling gives us’. We’d be interested to know your experiences with modelling similar scale projects, and whether you agree that a greater focus on business modelling would generate positive cost outcomes for European and North American nuclear builds.
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Nice article Dan, thanks. I agree that there's a lot of "wait and see" approaches going on now, but examples such as the recent £125,000 fine Heathrow Airport was issued for data breach will begin to send the signal that the GDPR is for real. For me, one of the problems in the build-up to it was the sheer level of online "noise" and the failure of the authorities to formally recommend solutions in addition to the penalties.
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In our recent webinar hosted by The Open Group and MEGA, we shared tips on how you can demonstrate the value of enterprise architecture (EA) to key executives within your organisation.
The session covered some ideas on how to create excitement for EA outside of the IT department, and illustrating the link between EA and business outcomes that your executives may not understand or appreciate.
Our MEGA expert Alan Bradley shared insight into:
Creating visibility into the business landscape (because you can’t change what you can’t see…)
Understanding the priorities of your executive team and demonstrate how EA can help the business achieve them
Translate strategy into action by identifying objectives and selecting appropriate criteria that support business outcomes
The webina also outlined an approach based on The Open Group TOGAF® framework to position EA as a critical component in the pursuit of digital transformation.
To listen to a recording of the session, please follow this link. Please message me should you have any further questions.
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The programme is designed to provide a “more productive, more lethal, harder-hitting Joint Force able to counter conventional threats and deal with the new challenges of asymmetric conflict”. Core to the programme is building on existing plans, as well as integrating advanced new equipment, and using technology to harness and co-ordinate operations by and between land, sea, air, space and cyber functions.
In outlining the programme in March, the Defence Secretary stated the objectives of “In practice this will mean taking our intelligence, surveillance and reconnaissance capability to the next level, hoovering up information from beneath the waves, from space, from across the increasingly important electro-magnetic spectrum finding out what our enemies are doing in high-definition and providing artificial intelligence – enabling analysis that can stay ahead in a fast-moving world”.
What will this mean in practice?
Because of its sheer scale, the initiative carries a number of risks and opportunities.
For the independent think tank the Royal United Services Institute (RUSI), “officials in the Ministry of Defence charged with delivery of the UK Modernising Defence Programme would do well to heed the title and take a robust programmatic approach to their task”.
Upon closer examination of the scale of work involved, this need becomes even more apparent. With work strands split into organisational development and reform, efficiency management, commercial and financial management, and capability development, the programme is indicative of the convergence being witnessed in both the private and public sector in which IT and business operations are increasingly becoming one and the same thing. And with enduring questions as to the Ministry of Defense’s commercial management acumen and operational efficiencies of previous programmes, the need to approach this challenge in a different way could not be clearer.
A programmatical approach
The first three work-strands of the programme, organisational development and reform, efficiency management, commercial and financial management, fall under the remit of the MOD’s COO and Financial Director. From a programme management perspective, this already throws up the potential for the programme to become dysfunctional given the potentially different interpretations that these two offices could apply to the programme from the outset.
It therefore becomes all the more important for a clear programmatic objective to establish the goals in the early stages. Broad terms and political buzzwords such as ‘protect, project and promote’ that were laid out in a 2015 Strategic Defence and Security review of do not offer value in programme management terms as they are not specific or measurable in the way that process models, capability maps, ecosystem designs require.
Given this, RUSI recommends the government adopts a portfolio or programme management approach to provide the 2018 iteration with a stronger footing on which to build success. In line with good programme management principles, this led RUSI to recommend that the project be approached from the starting point of generating defence capabilities, which then leads to forming an understanding of which capabilities will be developed or retained. With these requirements established, the focus can then move to delivering them in the most efficient and optimal ways possible, and sub-projects for delivering, sustaining, continuously refreshing and tweaking those capabilities as needs arise.
Transforming the organisation
In RUSI’s approach, the principles of sound programme management are clear – senior leadership identifies the end-game and requirements, before working together to align staff, funding, equipment and materials, knowledge and skills, and time to deliver what is required.
During this process, the risks and opportunities involved in the delivery of the programme would be effectively captured, developed and managed throughout its lifecycle. For this to be achieved effectively, the four work strands identified earlier would need to merge so as to give primacy to the capability strand in order for it to inform the three enabling work strands.
This approach, if executed correctly, mitigates the limitations of previous such efforts the MOD has embarked on, and avoids the exercise becoming one of political soundbites, short-term thinking, capability cuts and resulting inefficiencies.
What end is being sought?
If the programme is a means to an end, what end is actually being sought? Is it sufficiently specific and measurable so as to give the programme the potential to be a game-changing one, or just another glossy policy initiative?
The MOD’s stated goals for the initiative are to deliver wider economic and international value and national security objectives, help UK industry be internationally competitive, innovative and secure, and make it easy to do business with the MOD.
But can this be translated into effective programme management? The answer will depend on whether these goals can be translated into what effects are required in practical terms, and what inputs are needed to create the appropriate effects. The fundamentals of good business process analysis come to the fore – understanding where the MOD is now, where it wants to go, and how it is going to get there.
Taking just one of the stated objectives – making it easier to do business with the MOD – demonstrates just how an effective business process analysis approach could help in achieving this. The MOD’s ‘customer’ in this case would be a supplier. Strong business process in this case would enable effective mapping of that supplier’s touchpoints and interactions involved in selling to the MOD, identifying ‘moments of truth’ at which the supplier may risk exiting the process, personalise the process to that supplier depending on various defined factors, ranking those touchpoints based on what the supplier feels about each one, and then linking those touchpoints to internal processes and align them to support the goal of facilitating easier business with the MOD.
There is no doubt that this is a big challenge. But with the right programmatical approach, there is certainly the potential to go further than previous incarnations of defence modernisation.
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Over the weekend of the 23rd and 24th June the MEGA team will be trekking the trail of the West Highland Way in Scotland for the next section of the story in what is now the traditional annual walk in aid of Brain Tumour Research and in memory of Taylor Emery.
Now in its 5th year and having raised almost £10,000 during that time, the walk has now expanded to include new colleagues not just from the UK team but from France and Italy. Here’s a little about the reasons for the walk and the charity it helps support – if you’d like to donate to Brain Tumour Research you can do so here.
In early 2014 Taylor Emery lost his fight with brain cancer. Taylor was working for MEGA in the UK when this happened, and he had worked in the company for several years.
The loss of Taylor and its effect on our team was huge. To suddenly have a close colleague, friend and larger than life character removed from the team with almost no notice left everyone shocked and upset. Taylor was self-opinionated, stubborn and worked hard at anything he decided to do both in and out of work.
The walk is born
The MEGA team decided that they needed to do something to both honour Taylor’s memory and to ‘take a stand’ against this horrible disease. We talked about the sort of thing that Taylor would be part of and agreed it had to be tough, involve a team and raise money for charity.
After some discussion, we decided we would attempt the UK Three Peaks Challenge. This involves both climbing the three highest peaks in the UK and more importantly doing so within a 24-hour period. Any of the three mountains are a significant walk in themselves, but the three together, the logistics of getting between them and the inevitable lack of sleep within the 24-hours means it’s a true test of both fitness and resolve.
I’m proud to say the UK team completed the challenge successfully and raised significant funds in the process. It’s also worth noting that many of the team that took part in the challenge weren’t necessarily ‘outdoors people’, hadn’t undertaken serious hill walking before, or in some cases ever been to Scotland! A combination of training walks, fitness training and a close-knit team all pulled together to both prepare and execute on the day. It was a draining and emotional experience, but above all proud team that completed the challenge and vowed to keep Taylor’s name alive.
The next few years
In 2015 a team again formed and walked a significant section of the UK’s Jurassic Coast. Continual gradients, changeable weather and serious distances were all overcome by the team whilst raising funds in the process for Brain Tumour Research. Of note by this stage is that the team was no longer just made up of people who knew Taylor or who are based in the UK… now we had people walking in Taylor’s memory and reputation from both the UK and MEGA headquarters in Paris.
Summer 2016 saw a new international team from both MEGA UK and headquarters assemble and attack the top third of the 95mile long Scotland’s West Highland Way. This route runs from just outside Glasgow to Fort William. The route is made up of non-surfaced tracks and covers a huge variety of gradients with the ever-changeable Scottish weather adding an air of excitement! 19 miles of walking on the first day and 17 on the second saw the team across the finish line. More charity funds were raised and many new friendships and bonds were formed – Taylor I’m sure is proud.
In August 2017 we chipped away at the “second to last” stretch of the West Highland Way, this time covering the 19 miles from the Bridge of Orchy to Inverarnan on day 1 and a gruelling 14 miles from Inverarnan to Rowerdennan on day 2.
Although we experienced some difficulties with inaccurate maps, double booked packed lunches, mistakenly cancelled puddings, blisters and even a sudden bout of dehydration and tiredness following the post-walk whiskey session, we all pulled through with the help of some Haggis Pakora (?!), Scotch, and half the world supply of plasters all in the spirit of doing our best to keep Taylor’s memory alive.
What have we got planned for this year and how can you get involved?
This year we will to return to Scotland and to walk the final section of the West Highland Way – we feel that we have some ‘unfinished business’ and recognise that many others have expressed an interest in taking part from across the company. This stretch will take us a mere 27 miles across the two days from Rowerdennan to Milngavie.
Money as always will be raised for the Brain Tumour Research – if you’d like to donate, here’s that link again.
About Brain Tumour Research
Brain tumours kill more children and adults under the age of 40 than any other cancer … yet just 1% of the national spend on cancer research has been allocated to this fight devastating disease. This is unacceptable!
The Brain Tumour Research charity works hard to make a difference - funds raised will help develop the charity’s network of world-class brain tumour research centres in the UK.
That’s all for now…
Thanks for reading – I’m off to start work on the level 2 fitness programme that’s apparently required to complete the walk! We’ll be sure to post updates and photos after the walk.
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It's that time of the year again when we're heading into town for Gartner EA London. To help make the event extra special this year we've got a bumper line-up of activities on and around our booth (number PL2 in case you want to make a note...) this year, so here's a few highlights to help you plan your week. A sneak preview of the MEGA booth... Ready to expand the boundaries of EA? Let us know if you'd like a software demo during the conference. Please send me a message in the Community using the button on this page and we'll arrange a good time with you during the conference. See how MEGA is integral to NATS NATS, the UK's leading provider of air traffic control services, will be on-site to discuss the role MEGA’s HOPEX platform plays in their Architecture Framework. Katie Duffy, EA at NATS, will present on Wednesday at 12:00 in the 'Westminster A' room. Right this way for more details on what Katie's session will cover. MEGA and the art of EA Accenture's Peter McElwaine-Johnn will also be discussing how enterprise architects can prepare for the next wave of technology-driven change - he'll be presenting on Tuesday at 16:00 in 'Westminster B' and at our booth during the networking reception if you would like to discuss anything from his session. The best goodies in town We've got some cool (and practical) freebies including RFID cards to keep your cash safe, cloths to keep your screen clean, and a few other cool bits and bobs. Pop over to say hi and grab yours! Evening fun The MEGA stand will really be coming into its own on Tuesday evening - it will literally be magic! The world famous master magician Dean Nicholas is here for the networking reception with some of his newest trickery to show you! A true master of his craft, Dean learned from some of the best in the business including Paul Daniels, Tony Slydini and David Copperfield. Here's a sneak preview of Dean at his finest during another event - that £5 note was mine so I can assure you it's genuine! We’ve also got some tasty cheeses, canapes and meats to enjoy with a cold beer – stand PL2 is genuinely the place to be! We look forward to meeting you at the conference, and feel free to message me if you'd like to meet or have any questions.
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