White paper The ARTe* of Enterprise Design

The ARTe* of Enterprise Design

Copyright © 2012-2015 ARTe Group B.V. – A l l r i g h t s r e se r v ed

P.O. Box 1366 - 6201 BJ MAASTRICHT - The Netherlands – +31(0)6 1147 1115 - [email protected] - www.ARTeGroup.net

White paper: The ARTe* of Enterprise Design




By combining Business Model Innovation with Lego® Serious Play® we unlock creativity, and in doing so enable business innovation. This white paper is a composite of multiple blog posts from our informational website enterprisedesign.info. It gives you an idea on how we apply methods like Design Thinking, LEGO® Serious Play®, Business Model Innovation, and TOGAF® during the ideation and feasibility phase of business transformation. Using concepts like playfulness and scenario play, the business is engaged and its creativity is unlocked. By capturing innovation in a structured way the hand-over to holistic architecture approaches and blueprinting is guaranteed. In this white paper the following questions are answered:

* Why do we need Enterprise Design Thinking? * What is added value of the Enterprise Design Canvas? * How do I unlock creativity by using Lego® Serious Play®? * Where does it holistically connect?

Enterprise Design Thinking A creative way of thinking is required to bring business architecture to its full potential. Just copying common practices from the enterprise architecture doesn’t work. If business and enterprise architecture were similar, this could be simple, but they are not. Information technology excels in systems thinking, and business decision-making is primarily based on intuition. David M. Kelley, founder of IDEO and Professor at Institute of Design at Stanford University, is known for adapting design thinking for business purposes - an organic approach combining intuitive and analytical thinking instead of the engineering way of thinking to design products and services. From a business point of view, we should never neglect the primary goal, which is the value proposition and creating/addressing the needs and wants of paying customers.

To be fair, we do see some design thinking being applied in IT workspace, primarily around user experiences. There is potential danger of losing intuitive thinking due to characteristics of IT Solutions, which could obstruct creative thinking within the business. Because business is both organic and organized, applying a structured approach will still be feasible and necessary. The fusion of design thinking and systems thinking is the way forward - simply stated adding holistic perspective and structure of systems thinking to design thinking. The term Enterprise Design Thinking describes it all: a way of thinking to create a business architecture that is value-focused, strategy-driven and process-oriented.

“Creativity is just connecting things. When you ask

creative people how they did something, they feel a little guilty because they

didn’t really do it, they just saw something. It seemed

obvious to them after a while”.

– Steve Jobs




Enterprise Design Thinking forces us to elaborate on the method of design thinking with additional steps and approaches. The common method of design thinking includes 5 steps: Empathize, Define, Ideate, Prototype and Test a product or service. A common systems thinking application like within enterprise architecture development processes comes down to: Plan, Identify, Create, Blueprint and Manage (implement and improve) value.

Combining both design thinking and systems thinking steps in the Enterprise Design Thinking process leads to: Empathize, Define, Ideate, Integrate, Reflect, Blueprint and Manage. à Read more at enterprisedesign.info Enterprise Design Canvas

The strength of Business Model Canvas is the value proposition with its primary focus on the customer. The canvas contains 9 major building blocks, basically with a delivery view (customer segments, value proposition, channels, customer relationships and revenue streams) and a planning view (value proposition, key resources, key activities, key partners and cost structures). To extend Business Model Canvas with the Enterprise Design Thinking approach we have created the Enterprise Design Canvas.




The Enterprise Design Canvas enlarges Business Model Canvas with relevant building blocks and required details to generate a conceptual Enterprise Design, which is a holistic design as a starting point for a combined business and information technology transformation plan.

The Enterprise Design Canvas exists of the following building blocks. Business Layer:

* Value Proposition – The Enterprise Design Canvas elaborates on products and business service classifications to address the big picture.

* Customer Relations – The Enterprise Design Canvas is reusing the Business Model Canvas scope for this building block

* Business Channels - The Enterprise Design Canvas explicitly calls this building block business channel to distinguish it from application channels (i.e. interfaces) and technology channels (i.e. devices)

* Resources (incl. People & Information) – The Enterprise Design Canvas highlights the human and knowledge resources involved in the execution of the activities.

* Activities – The Enterprise Design Canvas drills down the key business activities into main, supporting and management processes and process activities which are involved in realizing the business services and products

Application Layer:

* Application Functions & Data Objects – The Enterprise Design Canvas addresses the application functions required to (partly) automate the processes and the data objects involved in the storage of the Information part of these automated processes

* Application (& Data) Services - The Enterprise Design Canvas captures the Application Services, which expose the application functions to automate the business services. The required data services expose the data objects to the business services and products.

* Interfaces – The Enterprise Design Canvas explicitly mentions the interfaces connecting users to the application services

Technology Layer:

* Technology Functions - The Enterprise Design Canvas highlights the Technology Functions required to deploy and host the application functions and data objects

* Platform & Infrastructure Services - The Enterprise Design Canvas captures the platform services and infrastructure services required to support the business services, application services and data services.

* Devices - The Enterprise Design Canvas records the technology devices involved in consuming application services by the user

Contextual (Passé Partout):

* Goal & Objective (incl. Strategy, Rules) - The Enterprise Design Canvas adds a building block to capture drivers, goals, objectives, rules and requirements

* Customer & User Segments – The Enterprise Design Canvas adds User segments to the customer segments. The main reason is to address the different types of users using interfaces via devices

* Partners & Stakeholders - The Enterprise Design Canvas elaborates key partners into all relevant partners and stakeholders involved or impacted

* Performance - The Enterprise Design Canvas stretches cost structures to performance of the business operation. It focuses on all aspects of efficiency

* Value - The Enterprise Design Canvas prolongs revenue streams to the value generated by business operations. It focuses on all aspects of effectiveness

à Read more at enterprisedesign.info




Creative Problem Solving Before we have a deeper look at how to apply Lego® Serious Play® a reflective practice for the process of problem solving, we start with a set of high-level definition of two types of thinking:

* Creative Thinking: Generation of new ideas and breach from established thoughts, theories, rules and procedures.

* Critical Thinking: Analysis and evaluation of available information, beliefs, or knowledge.

Different skills associated with the two types of thinking are involved with Creative Problem Solving. This simplified diagram illustrates the skills of Creative Thinking vs. Critical Thinking. The overlap between them shows the core of the Creative Problem Solving process. The numeric identifiers within the diagram are based on the thinking skills model developed by Puccio, Murdock, and Mance (2005).

In this illustration the same numeric identifiers are used. It is a circular representation of the Creative Problem Solving thought process. The vortex of the process contains the role of the facilitator. The facilitator will master the Creative Problem Solving process by using the characteristics and behaviors of Critical Thinking and Creative Thinking. à Read more at enterprisedesign.info

“The true sign of intelligence is not knowledge but imagination. We cannot solve our problems with the same thinking we used

when we created them. No problem can be solved from the

same level of consciousness that created it. The only real valuable thing is intuition.”

– Albert Einstein




LEGO® Serious Play® LEGO® Serious Play® triggers and enhances the skills for Creative Problem Solving. It includes imagination and reasoning by metaphors, as well as integration, analysis and evaluation, which are all powerful tools to unlock creativity to surprising and realistic solutions. It includes a facilitated meeting in which participants are led through a series of questions, probing deeper and deeper into the subject. Each participant builds his or her own 3D LEGO® model in response to the facilitator's questions using specially selected LEGO® bricks. These LEGO® 3D models serve as a basis for group discussion, knowledge sharing, problem solving and decision-making. As a group you will continue with building shared models and landscape, giving them meaning through story-making, and playing out various possible scenarios – a process which deepens understanding, sharpens insight, and socially "bonds" together the group as it "plays" together. The method serves as a shared language regardless of culture or position.

LEGO® Serious Play® is a tool operating in the vortex of Enterprise Design Thinking, it is the perfect tool to populate the Enterprise Design Canvas. In comparison to the classic approach of using post-its it adds creativity to the table. A simple answer put on a ‘post-it’ is based on the critical thinking thought process. It is like a short cut to “exploring solutions” and jumps to the thinking skills like identification, analysis or evaluation. By applying LEGO® Serious Play® we facilitate the thought process to start with exploring the vision or assessing the situation. The LEGO® Serious Play® core process consists of the following four sequenced steps: posing the question, construct (a model and a covering story), sharing and reflect. Within the core process all of the following seven application techniques are used:

1. Building individual Models 2. Building Shared Models 3. Creating a Landscape 4. Making Connections 5. Building a System 6. Playing Emergence and Decisions 7. Extracting Simple Guiding Principles

LEGO® 3D model of business activities, applied application techniques are building an individual Model (1) followed by creating a landscape (3).

Copyright © 2014 ARTe Group BV


LEGO® 3D model of customer segments, applied application techniques are building an individual Model (1) followed by creating a landscape (3).




Each of the application techniques is based on mastering the previous one(s). To illustrate the use of these application techniques to populate the Enterprise Design Canvas, the LEGO® 3D models in the white paper have the Enterprise Design Canvas building block mentioned and the applied application techniques.

Using a Creative Problem Solving method like LEGO® Serious Play® leads to creative and surprising, but realistic, solutions. By applying reasoning by metaphors to start telling your story around your 3D model new insights are shared, sharpened by other participants, and tested during playing out various scenarios. As a result, participants of the workshop are both confident and committed to implement the solutions discovered. The story which accompanies the shared models, landscapes or derived guiding principles are etched in the memory of the participants, which makes them believe and live the business transformation. For outsiders a transcript of the (end-) stories is required to gain the insights. à Read more at enterprisedesign.info



LEGO® 3D Model of a Value Proposition, applied application techniques are: building an individual Model (1) followed by building a shared models (2) and creating a landscape (3).


LEGO® 3D Model of Customer Relations, applied application techniques are: making connections (4) and building a system (5).




Enterprise Design Model With the Enterprise Design Canvas we have captured a conceptual design including both business and IT. Using creative and critical thinking we have formulated solutions. The next step is to holistically approve this design. Within enterprise architecture the common approach is the application of The Open Group Architecture Framework, in short TOGAF®. It is a sound approach to design a holistic perspective. Its core strength is the meta-model which describes in abstract an entire enterprise. The standard out-of-the-book meta-model consists of most entities needed and is focused on the interaction between these entities. It is essential to keep focused on the interaction between entities or self-contained groups of entities. This diagram illustrates our design meta-model applicable for business and organization. We named it Enterprise Design Model – Business, or Business Design Model. It is divided into three architectural type columns (i.e. Structure, Behavior, and Knowledge), which have been inspired by natural language, where a sentence has a subject (structure), a verb (behavior), and an object (knowledge). We use the following description as a starting point:

* Knowledge: describes the elements with which a behavior is executed. Usually these elements are business-, information- or data objects, but these could also represent physical objects like products or sources.

* Behavior: describes the dynamics of each element. How does it behave or how will its behavior be exposed?

* Structure: describes how all elements of the architecture will fit together to form a coherent whole. The structure concepts are assigned to behavioral concepts, to show who or what performs the behavior. The structure elements are the business actors, solutions and systems that generate the actual behavior, i.e., the ‘subjects’ of activity.

The Business Design Model provides an overview of the business and organization architecture models. In total there are 14 or more models. This might sound like a lot, but considering this represents the holistic perspective of an entire enterprise it is a relatively small number of models. Also, each model illustrates a specific job, and many stakeholders will be interested in only one or two of these models. à Read more at enterprisedesign.info




When an organization decides to increase efficiency of the business by applying IT we see the following detailing of the Enterprise Design Model. * The business capability is partly realized with application capabilities, which consist of application services

exposing application functions. * The business solution is partly completed with application solutions, which consist of application modules

and application interfaces providing collaboration, access to application services and running organizations * The business component is partly fulfilled by technology components, which conduct of platform services

delivering technology functions. * The business system is partly built with technology systems, which consist of platform devices and

infrastructure nodes connecting networks, hosting technology components and deploying application solutions

à Read more at enterprisedesign.info Invitation This white paper provides a preview into our way of thinking. It captures a wide range of related topics in a dense format. We entrust you with the reason for Enterprise Design Thinking and the added value of the Enterprise Design Canvas. Our core message is to unlock creativity of people and organizations as a first step of business transformation. We hope you feel as excited about Creative Problem Solving with LEGO® Serious Play® as we are. We are more than happy to discuss it with you and help to plan the next steps for you and your organization.

"We don't stop playing because we

grow old, we grow old because we stop

playing." - George Bernard

Shaw




Acknowledgement of Contribution The following people have contributed to this white paper as author, and or through collaboration, experiments, reflection or education: Arjan Visser, Peter Paul Bominaar, Sascha Eijgenraam, Michelle Powell, David Martin, Massimo Mercuri, Jan McFarlane, Floris Sprengers, Aline Lidwell, Per Kristiansen, Steve Kirby, Stephan Hendriks, Michel Cloosterman, Peter Powell, Jan Koster, Bert de Hoop and Paul Boekhout. Terms of Use Terms of practice concerning usage of the Enterprise Design Tools. There have been some questions posted lately asking for guidance in using the tools associated with “the ARTe of Enterprise Design”, enterprisedesign.info and ARTe Group BV. Though the Enterprise Design Canvas is based upon the Business Model Canvas, which was released under Creative Commons, the requirements for use of these tools are really quite similar. Anyone may use the Enterprise Design Canvas for his or her own work or to support others in understanding, analyzing or changing their enterprise design. This includes people who use the tools within their own companies or in a consulting capacity. The requirement, under Creative Commons license, is full identification and credit of the source of the tool: enterprisedesign.info - based on businessmodelgeneration.com. The text and link should be clearly visible and legible under every canvas. So, the Enterprise Design Canvas is there for you to use without restriction in modeling your own or other people's businesses. If you wish to include the Enterprise Design Canvas in software solutions, it would be good business practice to first contact the Enterprise Design Canvas authors to discuss your intended use. The others tools, i.e. Enterprise Design Model, Enterprise Design Thinking, Business Design Model, Creative Problem Solving, are subject to copyright conditions. These tools are derivative work owned by ARTe Group BV and its owners, which shall retain all right, title and interest in the compositions and compilations. For any use beyond personal evaluation, for e.g. personal use, company use, commercial use, you must contact the copyright holders, ARTe Group BV, for further information concerning copyright conditions of derivative work and license conditions of sources. The requirement concerning evaluation, usage and any form of redistribution is full identification and credit of the origin of the tool: enterprisedesign.info, copyright holder: ARTe Group BV, and acknowledged sources. The text and link should be clearly visible and legible under every tool. If you wish to use the Enterprise Design Model, Enterprise Design Thinking, Business Design Model, Creative Problem Solving or any other tool for company use, or for commercial use, or in software, in original or adapted form, or sell it as a tool, you must contact the copyright holders, ARTe Group BV, for permission. Note: TOGAF® and Archimate® are registrated trademarks of The Open Group. LEGO® and LEGO® Serious Play® are registrated trademarks of The LEGO Group.

ARTe Group BV

P.O. box 1366 Maastricht

The Netherlands +31 (0)6 1147 1115

[email protected]

www.ARTeGroup.net

White paper The ARTe* of Enterprise Design

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