 Let's look at the title first. We're implementing future, right? And we're talking about digital transformation and the SOAP or BT Guide. The reason the SOAP or BT Guide project was started was because it came out with a number of standards. Really good standards, but the community really started using them from a technology perspective but not from a business perspective. And things have changed from when we came out with a lot of our SOAP standards. And they are today in a different scenario where there is transformation, digital transformation, digital change. I've got to thank Chris for having introduced me. I do many things. I run APTSI. I'm also a chief strategist for everybody. I think there will be a 40 billion dollar organization too. SOAP or SOAP strategy, whatever you want to call it. Define my own term. Define my own title role. So, change is hard. And change is what is happening at a pace that organizations can't handle very easily today. Change is happening in ways which are disrupting business models. It's not just that laid off people because they automated something. That isn't what is the kind of change that is happening. The change that is happening is because they stopped doing business the way I did business before. And that has huge implications and implications culturally. A lot of you are senior level leaders. You probably don't have to deal with things such as the scale agile framework, right? And agile delivery. Because we are sitting further up the ladder. And we are not having to go and look at how things are done. But the reality is different. The folks on the ground, they are using agile technologies. So, structures now are becoming much more modular. How do you prevent that from becoming siloed? So, I'm going through a lot of slides. I'm going to start picking up some speed and we'll go through and throw. And to give you some context, I'll also be setting in a version of the deck with a lot of notes. So, you guys can always take a way to follow up. And there's my contact information on the deck too. But, one of the things that's happening is this change is difficult because it's culturally. It impacts the business. I give people I love in Boston. And it used to be a company called Wolverine Shoes. It's from there. They had, I think, 2,500 storefronts five years ago. They had no storefronts that I know of anymore. They're all online. Imagine a company that was there for a hundred years or something like that. Imagine the rate of change. Change the way they do business, change the way they do the numbers, change the way they do the jobs. Now, after that, agile delivery and you get structural issues, right? You're creating new silos. How do you manage that? Some of the questions we'll talk about as we go through this example and as we go through this presentation. And I'll touch on that later on. Changes per vision. Every one of these industries is going through radical change today. Everyone turns years, right? But let's talk about the life sciences sector. Four years ago, I presented in the SDM in Vegas. And people started laughing at me. And they said, oh, we're going to be focused on big data and analytics and AI. Last year, there was not one big life sciences company that did not commit itself to big data and AI. Every one of them. They were spending pretty much a significant, if not a large portion of their entire drug discovery, pharmacophageal, and entire life cycle process on that. I could go through every one of these sectors, just give these as two examples. So, when you look at this figure over here, we're talking about the ecosystem which has changed. Some of you are old enough to think about Corbaugh. Is anybody where Corbaugh is from? I was on there. You and Chris are not allowed to. Okay, well, you're not allowed to. And I also know about Corbaugh. So, it pays me. Anyways, the fact is that that's when it started to some extent. The IBM had a standard for that, right, Thomas? We had a product and that's when I first went IBM for the... But you had the DCE spec, right? For data communication and RPC communication. Well, that's actually contributed to the opening right now. DCE, open DCE. But I'm talking about the one that was out there in 1990s, early 1990s. So, DCE was the communications layer for COM and ECOM, which ended up being contributed so that we could do Corbaugh, which was component broker. It didn't work because it was all paper standard and nobody... No, we implemented it and it became hard to implement it because people were learning. Finch changed and I'm going to skip past one of my friends calling me a farmer. He was one of the creators, almost, of the AI space. And I remember running the AI practices in the early 2000s, late 1990s. And then you go all into what we face today. I'm drawing across here for a second. Microsoft has architectures, API, IoT, all those things. Why is that important? Because we're now dealing with a very different structure of how things work. How do I do that? How do I map it into how I run my business? I know it sounds kind of different because it's... I keep people, we don't care what the business runs, right? We should. Because rapidly we are more and more getting integrated in the conversation. So let's... Who's read the BFG? Those who are British happen, but most of those who are American. I read it because my kids read it. But anyways. So, Rolled Out was the author of the BFG. And he talked about... I mean, I can talk about it. Just use that to make sure that we understand you use the right terms. So just after some context, we talked about business services and things that corporations provide and companies provide, even if you're a 10-person company. Capabilities are what you need to be able to do these things. And in a solo world, in an API-centric world, those APIs form the runtimes of those capabilities. Things that folks don't think about normally. They don't believe in that last mile linkage. Business arguments make you define capabilities. Technology people don't care. Well, in this world, they do them together as linkage. And that linkage is going to make the difference in which companies survive and are agile to the risk that rapid change we talked about. Business functions are the operational things that keep things running when you're flying a plane, that engine, that's the business function. So, business functions are the organizational structure and how things run. Business processes are how these business functions get executed. And the service-oriented enterprise measures things. So, when we keep talking about KPIs, anybody heard about OKRs here? Okay, so if you study in the Scale I Dell framework, you'll talk OKRs. It's another way of measuring, I call them reach goals, the old days. You're measuring what you do, and now it's pervasive. But they're having a big struggle linking them to what the business does. Business functions are determined in terms of if we hit that already. But remember, we're shifting to a new kind of enterprise service or a new enterprise. So what's in it for me, and I'll go for this. Hopefully you all have a reason to be here. But I, the executives, have a reason to start thinking, and this is something you need to communicate. I don't know how many of you deal with business executives. But I've sat on the board members' side in a large company. And when I talk to my CEO, I think it's much bigger to me. But anyway, but basically when I ask him questions or ask him questions, I look at a store card. I didn't know that any video walk was doing this. I really didn't want to because I found out in the hardware one day. And if I ask questions, those questions become things you have to work on, and spend a lot of money. So I had to figure out a different way to ask questions. That's basically the answer. The second thing is, I keep executives in implementation. A lot of times now, as we go through things, we don't know how to link them together. And this is a myth of their purpose that we're establishing to link them together. What do enterprise architects get out of this? Enterprise architects have to be able to talk to different stakeholders, plan ahead. Somebody was talking to this morning's leader who was there once for how you need to plan ahead. If you don't have the capability based view of your company, you really are running around trying to address organizational structural change and technical issues. Capabilities endure. They don't go away. Capabilities will remain there whether you're open shoes, shoes at the storefront, or on the way. Because those are things that you need to know. There's certain capabilities you require for this storefront. So we'll talk about those in a moment. So we'll talk about basically the SOFRBTC reference model, walk through a process to start realizing it and go through an example. So this is the reference model that we've been creating. We call it the left pillar, the strategy of the strategic pillar. What does it do? It defines what the company is about. The mission to be involved. How many of you get involved in mission to be involved in mapping? So when you do a mission to be involved in mapping, you're quantified to some metrics, some KPA, something that's measurable. Then do you take that down and ask your business units to give you some map values today? And do you create a top-level scorecard or something that goes up to the C-level? We're going to create a balance scorecard here. We're going to create a balance scorecard here that's got some of the standard top-level metrics and some of those that you're using to create a line of business, right? Patient mortality. And this top-level care code could be something else. So that's important to understand that that initial step is handled and how that links the capabilities is also handled. And describe and define those capabilities and kind of create a context model that's like the technical reference model in Tokyo, business reference model which tells you what are your capabilities. Why does that matter? Five years ago, we had siloed applications which supported those capabilities. Today, those capabilities are supported by sense of service. That's just the reality not because so as cool but because the cloud is cool because the lingua franco of the cloud is basically two things. Streaming or services. So you really have not many options as you move forward. The second context about operational and the operational pillar. The operational pillar is about how we'll keep that plane flying while I'm making all my changes. And it really has some implications that touch on them in a moment but it's really about how I provide my business services to do the work and the oppositional structure that's supported. The operating model is important because of two fundamental reasons. One is it allows you to figure out what to focus on. And secondly, it tells you how to run it. The governance part of it and the hardware part of it. And it's important to understand how to focus. There's been so many scenarios that I've gone through in these last 20 years of doing this job and I've done a lot of technical roles. Where I've bought into companies senior leadership and they're trying to force a square peg into a rumble. And having a way to address that is critical for success and the way you could spend no two dollars. So this is a figure with a little more detail. We've talked about business capabilities to map them down to the technical capabilities. Right? Those are the things as anybody here who heard about the sorry friends architect I think it's okay. That's the standard came out of the open group. It's based on capabilities that we define to support how people took technical decisions in practical terms. And it takes the service or the world to split technical layers. Each layer has a set of capabilities and an architectural model. It's usually even useful because it also has a way to apply those the second the operational pillar when you look at it, you look at the left layer and it talks about business constraints the sorry friends architecture those two things along with technology constraints help me to determine solution architecture. It's a very simple group in a simple way to go about things. And that makes things faster and easier to do. The next thing you're looking at over there is again I'm flying this way have you ever heard about service cap calls or API catalogs? A lot of you have heard about API catalogs right? How do you use your API catalog? How do you address interoperability issues? You talk about categorization of the services do you address risk and gender security do you do interoperability lineage? You may think about that but not many people do that many companies are still wondering about these things. And the reason it's important is just a little while ago was the GDPR meeting and guess what if I don't know where my data came from if I relive in a world where you sell things in a platform of service, look at Amazon look at even small stores So these partnerships that sell things in a platform of service you could expose your services out into the world there's security controls right? authentication, authorization OCI and AAA traffic the next thing so having a service catalog well managed is critical for success and not many people focus on that as much Finally, we'll talk a little bit about the operational operating model here I just want to stop for a second on this slide because the slide is important these quadrants came from an original support by Ross and Bill, adapted the service already without protection so Ross and Bill are here but I might get the names right I'm sure I live in the same area so I'm probably going to run a little bit about it The short answer is that these different models help you determine where you're going to focus your efforts, your money and your time How many times have you struggled with the business or the technology teams over cultural and political battles trying to get things done because you were trying to make sure there was a common enterprise standard well it didn't work right? many times and this kind of helps you curate that and helps you try to develop a focused filter which I'm going to call it We are coming out with the definition what we call the SO for business maturity model it's evolving but we do have the dimensions and the functional areas defined the address of the author of the OSIN sitting back there that thing to a large extent is still the technology side of things but we came out with the business vision in the beginning and what you're going to use is you're going to use these two maturity models to kind of assess from a business context where you focus on the technology context where you focus on how you realize your role This is a process model so keep in mind that over here I'm going through a lot of sites but this content is covered in a lot of detail in the guide there's no way that I would cover 90 pages in this presentation but it covers these different aspects you talk about business capabilities we talk about driver alignment we talk about the functional the curation of the runtime expression of those capabilities we talk about ownership of those capabilities we talk about roadmap aspects for that so when you look at the soil for a business maturity model there are certain things that we have identified over time it's an evolving definition we have still not flushed it out as a formal standard and we will eventually kick that up and then we determine the business we do basically capability mapping I'm assuming a lot of you have done capability mapping in your organization so far because that's not a new concept for about a decade and a half and then you tailor those capability models how much do you experience the capabilities and like all the items very low very low you're just getting started Andres the abilities have been around for a long time with CMM but what's your experience using them from a business context one of those things that it is very difficult to quantify I think the exercise of trying to understand capabilities and actually realizing a capability the execution is really where higher higher because it involves capability and our quality so think about now different capabilities what I understand and how you quantify them both technically and business wise because that's a point of alignment and in the case of services it now becomes more tangible easier to quantify that's why we talk about services in the runtime the other part about it is capabilities in the context of durable capabilities of how the business is run and enabled my experience is very often structures change every three months and a lot of EA organizations run out of the structural aspects this group is doing that well this group will be full bar of room next week doesn't matter technical capabilities the reason we came out of the SORA we spent a long time across the entire industry looking at it and if you look in practice the cloud is not very different it's just an expression of it in a different way in fact there's a slide in the supporting materials which shows that to some extent you determine your technical roadmap and you remember this is kind of a waterfall in the picture but these steps can be very often working concurrently you're defining your business roadmap and your technical roadmap and you're kind of working in tandem on both of them and then you have a face of execution based on capabilities with a particular government structure the process governance structure helping you determine where and you want to rebalance in the case of things that just say it's going to be like okay I have a lead portfolio and I have my capability model and my technical capability roadmap and I balance my services against the lead portfolio there is a SORA vitality guide SORA governance framework out in the open room there's a figure there which talks to that it doesn't express it in these terms but that figure is one I've used a lot so this is a quick snapshot of the different aspects of the conciliaries and the dimensions of these are the maturity levels and there's a new dimension frame there's a figure with all the details but if I put that in here it would be really granular and you won't be able to see it so there's a slide at the end of the deck which provides the details when you're talking about mission vision metrics give a building map where are you in this journey you've just started right and we'll talk and we'll go with the example we'll talk about that once you're done with that your OSIM is giving you a technological view where are you in the company and I have a figure of the OSIM also in the back you map that to the SORA of its architecture and you use this metamodel over there to help determine what your commitments are and that's what I have in the API world that's the way your Salesforce for CRM or your sugar CRM or what am I doing in the context of office platforms do you use open office do I use Azure for certain things do I use AWS how do I deal with interoperability what's my infrastructure service capability what's my platform of service capability what's the stages defining how you get to be that service-oriented enterprise what that does tell you if you look at our definition of service-oriented enterprise is for your services and your capability you start defining metrics they're going to evolve and as you do things you're going to update this definition and a real example I wouldn't say we're all going to qualify but it's not real it's really hypothetical it's at me it's at me so this around the time that the ACA the organization worked with the assessment and guidance and strategy for three of the largest insurance companies healthcare providers in the country their idea so they do insurance and they do hospital services provider, fare, etc you started looking at your business guidance and strategy nobody wants the patient to die patient mortality has been a metric in the capital in your capital decades but you no longer think because the science has changed and this is true many things that have been evolving the last decade and a half you no longer think in terms of wellness but in terms of you know in terms of centers we're thinking in terms of wellness change the business model changes your financial model there are a number of different criteria that you start addressing and as you go through those criteria you start making decisions on what that feature is going to start looking at right these are technical decisions but you're going to also come up with business decisions if you look at what the person is going to look like for acne healthcare company anybody from the healthcare sector is from maybe I should use a different example but anyway we'll continue with the healthcare sector example if I were to go if I were to go to any like a blue cross or an edna or a sigma every system they built for 50 years was all built around the plan and the employer the person who paid for the bills was the plan and the employer and you had a member they didn't know how to kill people they knew that had number x, y, z that is all they cared about since the late 90s and now employers can't pay those bills anymore Obamacare started shifting that even more to the individual and that's not because of legal reasons and ideological reasons it's because of practical, physical reasons employers could afford those bills Ford nearly went bankrupt largely because of healthcare bills today I worked with Jim in the GM and the UAC and I know how famous it's common knowledge there in the corporate boards how big the debt load was so the science has changed we're dealing with longings I don't want to go over that but basically healthcare space and the way we do things has changed when we look at all of that how do you link that in to a company which never knew what the person was I could take the same figure by the way I replaced that with financial planning I've been calling to at least mutual funds to take a look at things to do the same same problem we don't know about the person we had a retirement plan all of these different participants in this ecosystem all of them have to interact and think about a person we used to talk about this guy here it was a bit red and so what you have today when acne starts adjoining is a number of side load groups based on focus on organizational units and basically based on who pays the bill so I have a group which deals with G, GM or what volume and so on and so forth I don't know about the individual who can now shift and move to different plans now I'm in trouble I have to sell to the individual data is not alive not available etc so now I have to start thinking about what business capabilities do I need what drivers do I need what metrics do I need so if you look at the strategy pillar what is our scorecard today what are the KPIs and metrics we measure what are the mission vision goals they are no longer in sync with the reality of today and they have no roadmap no capability based model a lot of companies don't have no capability based models and are limiting the journey what are the operational pillars say again silence I measure the salary and the payments to my senior executives based on how they sell anybody from an insurance company here oh boy first time in the financial services but I don't care that's the first open group but if you were from an insurance company almost anyone of you would be saying oh we kind of measured it by having large corporate clients because one group SMB is another group so on and so forth and each of those groups would then be settled into find X, find Y, find Z that has to change and I have to pay my C levels differently think about that think about the organization the disruption you just caused but the operating model never surprised because I'll give an example of a large I don't know if you want to call it a utility but an embedded systems company then I have to work with them and set up their enterprise architecture and subsidiaries all competing against each other to be paid so what justification and reason and rationale is there for them to share anything so you have to look at it if I had gone and told them to share your services and if they wanted to just say I'm sorry you have no idea what you're doing you have to dress and cover that gap you have to look at that operating model that filter and say where should I focus where should my information architecture investment be I have 32 32 different service systems across the company we reduced it to 3 which is a lot less than 32 that was easy for them to align on because they were saving money and everybody looked good so as part of what we've done with the SO for BT is we've actually created a model a taxonomy for drivers there's a lot more detail with each of these boxes where does this help as you look at your drivers you can start quantifying and embed and start linking them because we also have a model which links them to the kit yet and the kinds of kit yet that you want to capture so here's a standard taxonomy anybody who has a lot of MDAs over here 5 force model order 5 force model this is our with some other stuff which is like specific regulatory right but those are the things it's kind of funny when I talk to company after company after company after company after the school grads and people are not Western and they don't think that when we're applying this it doesn't apply only to that this strategy level because in today's world if you don't swivel and you can't pivot and start going to say you can't compete with Salesforce to create a CR platform and you have a legacy platform you need to be able to pivot fast and how do you pivot fast here pivot for those APIs and does the guy sitting in the room understand that he needs to we've talked about corporate but in this case these are how we started measuring hospitals and doctors because before we paid a doctor based on the procedure you went in you had a cold you paid a doctor's visit you paid him $100 and then you did five procedures so you paid him $1000 now you have to get paid by the insurance company until the blood pressure drops to a certain level if not the amount of money is paid is cut that's why a lot of physicians started quitting their jobs that's a fundamental change in the way they do business but hospitals also went bankrupt because of that so being able to start getting ready the hospital and the IVNs that have survived the physicians that are surviving are making that leak that adaptation so let's start using capability mapping we need a pretty UI because you don't want folks to go to sleep on the stuff you need to be able to be secure to do business that should become capability all of you must be having that right secure to do business more than you would have to be sure I like it right you need to be able to have channel independence so here do you can appeal with channel independence and I don't like your role so maybe that's not a good question software so maybe channel right and you have to deal with make sure that you're not locked into a particular vendor and you're able to shift or you know you have front end situations they can be demand or you have a vendor that does not evolve new technologies and you don't want to be left nowhere so these are examples of different capabilities and you need to start figuring out what's going to happen what are the metrics you're going to capture all that data starts to need to get captured when you do that it becomes easy because when you do that and you have a few spreadsheets or whatever tool you like now you can map it into whatever tool you use for I'm going to take myself again for project planning whatever tool you use MS project whatever you now have an ability to know where you are if you talk about DevOps I did not put in a whole process governance framework model here because that worked much longer but you need to be able to think of strategy portfolio management and think about the context of where your troops on the ground are any of you guys from the military just because you have a lot of us so you have the concept of platoon you have the concept of regiment and the concept of division platoon, independent unit can operate on itself a regiment has an R&O, quarter master operate on itself logistics in NL a division has some more specializations did you build that F-35 uniquely for a regiment part of platoon you could never afford it so think about it and let's jump out best out but they work but if you look at your IT teams well you want to do whatever our team feels is the right thing right? that's okay but you need to start factoring that dynamic and how do you manage that dynamic you manage that dynamic through both principles and policies which you then quantify and link your measure of success of the employees each other now they have incentives their leaders have incentives so that's one aspect of that operating model here that we talked about the operational as we start evolving things you start defining what your new world is going to look like and what those business functions are going to look like what those APIs are going to look like and you start building out your service plan which you can map to your lean portfolio on that model now you are empowered to move faster you have to avoid this okay so I'll grab it up in two we've talked a bit about these so I'm going to skip this and this and I'm going to go this is way more right? and we have assigned some maturity levels to the sort of business maturity model and if you look at it that's against each dimension right? we'll start determining certain key things and you'll see that a lot of them exist and you're going to reach to some levels where you have a service this is of course the idea most companies will stop at a line of services they won't get there to be service-oriented it's not fast now most companies which are not trivially sized if you're five people in the company there's a competition and we'll get back to change his heart you know we've talked about Sears he was out of Detroit he came out he didn't get home we've talked about and Chicago and we've talked about how it is sudden and disruptive anybody from the manufacturing sector anybody heard about industry 4.0 and digital manufacturing how much of it I can't ask you how much you're spending I believe that you're spending a lot I was originally from Detroit so I still have my feet out of Detroit I know I don't think there's a single OEM a single tier one provider in any fashion who is not considering digital manufacturing transformation in their company not one and they're spending 500, 600 million a billion and more that adds up my notes you'll see you throw these at all that's the level that we face today so I've given a kind of reference model and a journey what I'd like to do is have a quick set of questions and answers and reach out feel free to ask for more detail we will also have more detail as we roll out a guide which we hope to have out by Colorado which is in July but I'd love to have the dialogue right now we talk about digital transformation and digital evolution by the way we talk about digital evolution we talk about digital transformation but if you look at today's world you're dealing with it all the time the change is not stopping you don't transform and stop you're always a slight continuous improvement something you're going to be facing all the time with that I'll lay the questions out to the audience any questions?