Instructor: David Schuff, Section 003

Why enterprise architecture maximizes organizational value

Many CIOs are currently focused on blockchain, artificial intelligence, and cognitive computing. However, there is a powerful reason forCIOs to spend time talking about enterprise architecture enabling applications, host infrastructure, business services, and reference architecture. A rock-solid enterprise architecture can transform an organization. Enterprise architecture can increase agility, reduce solution delivery time and create a shared vision for a company. It defines how an organization will meet future business problems and forces a decision based on outcomes. Businesses should switch from silo-based systems to a unified and integrated enterprise ecosystem. An integrated ecosystem gives a business additional flexibility to respond quickly to market conditions that change your competitive landscape. Can an organization successfully change its strategic goals, business model, data and applications without a sound enterprise architecture? Is it just as important for small and medium sized companies to have a strong enterprise architecture or can they be just as productive without one?

Source: https://www.cio.com/article/3253335/enterprise-architecture/why-enterprise-architecture-maximizes-organizational-value.html

2 Responses to Why enterprise architecture maximizes organizational value

  • I agree with your argument that business should switch from silo-based systems to unified and integrated enterprise systems, because there are many benefits to enterprise architecture. According to a Gartner article, the three major benefits of enterprise architecture are cost reduction and technology standardization, process improvement, and strategic differentiation. Taking this into consideration, I do not think an organization can successfully change its strategic goals, business model, data and applications without a sound enterprise architecture, because enterprise architecture plays a huge role in a business’s strategy. When implementing such changes as you suggested across the entire organization, in order for those changes to stick and to be successful/beneficial for the business, they must align with the business’s strategy. Enterprise architecture practices aid in an organization’s ability to identify and achieve change, and it is therefore important for organizations to have a strong enterprise architecture when implementing these types of changes. Going off of this, in response to the question you posed on if it is just as important for small and medium sized companies to have strong enterprise architecture, I do believe it is important for organizations of any size to have strong enterprise architecture in place, though perhaps at a less sophisticated level for smaller organizations. Changes about key businesses processes take place at organizations of all sizes, and having a strong enterprise architecture is essential to making these changes successfully. Additionally, having a strong enterprise architecture in place at a business’s origin can help tremendously as the business evolves and grows, as it will set precedent for how to identify and achieve changes in the business’s future.

    Source: https://www.gartner.com/document/388268

  • I think regardless of size or industry, all businesses must have a sound enterprise architecture to succeed in today’s world. The enterprise architecture within a business is essentially the backbone of information flow and the completion of business processes throughout the firm. Therefore, if a company’s enterprise architecture is disconnected or restrictive, it will be very difficult for the firm to change its strategic goals, business model, data, or applications. For small and medium sized organizations, a strong enterprise architecture is equally as crucial as in large organizations. Now, this is not to say that a “mom and pop” shop should have an enterprise architecture that resembles the likes of SAP or Oracle. The complexity in the enterprise architecture of an SAP or Oracle is obviously greater than the “mom and pop” shop, but both must be strong and meet the business’ internal needs for the company to succeed.

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