What is a Business Architect?
A Business Architect develops models and roadmaps to improve an organization. They focus improvements on the stakeholder's objectives - enterprise agility, new markets, productivity, digital transformation, improved efficiency.The business architect's business architecture models include operating models, capability models, value chains, are information models.
A business's transformation is led by a Business Architect, who also oversees the creation and implementation of crucial deliverables including value streams, business capability models, and business capabilities. An organization's operational demands are understood and developed by the Business Architect, who also creates an efficient IT architecture for business process management. The Business Architect assists in reorganizing and restructuring the company’s IT enablement process and develops business capability maps and value streams to connect strategy with execution. Key outputs include strategy summaries, operating and business model analyses, business entities, organization mapping, systems mapping, system footprint analysis, etc. are required for the Business Architect responsibilities.
Synergizing with other disciplines to accomplish company goals is a crucial component of the duties of a Business Architect. Business Architects work to integrate Business Architecture with other organizational components such as strategy creation, business analysis, process management, operations, and system analysis. They collaborate with other experts to improve various elements of the overall Business Architecture.
To put it simply, a Business Architect assists organizational leaders in identifying the causes of their organization's problems and the best course of action for addressing them. An organization's improvement is delivered through a Business Architect.
What Is Business Architecture?
Based on the aims of each department and the overarching corporate goals, Business Architecture is created. Planning, organizing, and putting into action an organization's business objectives requires a strong understanding of Business Architecture and strategic planning. It aids in the efficient operation of various organizational units both inside and outside the company.
Business Architecture is a type of planning based on the strategic vision of the organization that transitions from a narrative approach including tens of thousands of pages of text to a more visual approach that is simple to absorb and comprehend. It directs the firm's varied capabilities toward strategic goals and aids in creating synergy between them. A Business Architectural framework, as it is known, lays out a clear foundation of a company's structure, staff, and operations.
Business Architecture may do things that hundreds of pages of information about a company's performance cannot due to its visual and graphic effect. Business Architecture may both project a company's future ideal state and describe its current baseline condition. A target state represents a compromise between the ideal condition and the company's objectives.
Business Architecture is the process of defining how a set of independent, non-redundant artifacts can represent an organization's desired state and as-is state, as well as how they relate to one another. It also involves creating a list of capabilities that are prioritized and aligned with the company’s overall goals, presenting this understanding to its key stakeholders, and moving the company from its current existence to its desired future state. Business Architecture aids in outlining a clear framework for a company's organizational, technological, and commercial operations. Thus, Business Architecture gives a pictorial representation of how a company operates and aids in planning and developing for business optimization. It offers a thorough overview of an organization's policies, beliefs, services, and solutions as well as its standards and directives. It encourages and harmonizes IT projects across the company.
How do you Describe Business Architecture?
Like all enterprise architecture, Business Architecture is described in models.
- Business Model - How value is collected is described in the business model. For only one item or service, the business model canvas is effective. It struggles as a modeling approach with intricate business models. In actuality, the ability to spot areas where the business model is getting murky is one of the benefits of the business model canvas. Incorporating the enterprise's strategic views into strategy creation and business planning processes is made possible by the physical process of constructing a business model artifact. In this case, the architect and the models they develop are the link between strategy and architecture. This serves to increase the Enterprise Architecture's strategic alignment, the architecture's overall quality, and the architect's skills and value to the company. Phase B of the TOGAF ADM is when you would develop Business Models as a component of Business Architecture. The business model is particularly effective in showing the leadership team to how a fresh approaches addresses their operational problems. Business Architecture is more effective at coordinating the rest of the firm on what has to be done, both operationally and organizationally.
- Operating Model - Many individuals conflate what an operating model is with how they utilize it. An operating model explains how a company organizes its main operations. The operational model displays the distinctive skills that are in line with the business's strategy, as well as any talented leadership teams or distinctive investment profiles. An enterprise's anchor is the operating model. For the plan to be effective and last longer, it is essential. At Conexiam, we frequently employ a Kaplan Strategy Map to pinpoint the adjustments or concentrations needed in an operational model.
- Value Chain - A value chain diagram shows an organization's value-creation processes at a high level. Traditional Porter value chain diagrams distinguish between supporting and principal activities. Sequences that depict the hand-off of activity in a value chain are the main activity. Because every supporting action represents a load on the primary activity, we always place the supporting activity at the top of a Porter diagram. The primary activity must provide sufficient customer value to cover the costs of the ancillary operations. A value chain diagram shows an organization's interactions with the outside world at a high level. This graphic aims to quickly enroll and align stakeholders for a particular change endeavor so that all participants are aware of the high-level functional and organizational context of the architectural engagement. Providing a streamlined business process diagram and outlining the value components and modifications necessary for each operation is a typical strategy.
- Capability Model - To concentrate attention, capability models are utilized. A strong process model is thorough. A good functional model is thorough and cognizant of organizational structure. A portion of the activities and organization constitutes a strong capacity model. The actions that need to be maintained or enhanced in order to achieve the intended result should be the subset's main emphasis. The planning, engineering, and delivery of the enterprise's strategic business capabilities are the main topics of capability-based planning. It is directed and led by the business and combines all the firm's operations to reach the necessary capacity. Capacity-based planning may fit the majority, if not all, corporate business models, which is especially helpful in organizations where a latent ability to adapt is necessary and we employ the same resources for diverse capacities. The need for these abilities is commonly identified and refined using business scenarios.
- Information Model - The business information model, according to TOGAF Framework, does not represent a database design but rather the semantics of an organization's data. It lists the things that are significant to a company and that it is likely to collect data on (as entities), as well as connections between pairs of those significant things (as relationships). It is simpler to comprehend than a logical data model since it avoids several system-level components. It includes not just digital information but all corporate information. Most of the time, each company has a single Business Information Model that defines all pertinent data across the board. To represent all or a portion of the information model graphically, we may use one or more diagrams.
To summarize: The models of Business Architecture include the business model, the operating model, the value chain, the capacity model, and the information model. Changes or Target Architecture are described in Views. Views require good analysis by the Business Architect. A View describes the Architecture in terms of a Concern. A Concern is something like the effect on Customer Intimacy or Agility. Analyzing the target in these terms ensures we are not looking at a simple list of costs/benefits usually financial. While important decisions are made for more than short-term financial reasons.
What are the components of a Business Architecture?
We mentioned a few components in the previous section, but the following includes the entirety of Business Architecture components or models:
- Operating Model - The Operating Model outlines how a company organizes its primary operations.
- Business Model - Value capture is explained by the business model, which is used to guide decisions.
- Value Chain - The value chain diagram shows the actions that a business engages in to create value at a high level.
- Capacity Model - The Capacity Model is employed to concentrate attention.
- Information Model - The Information Model, not database architecture, represents the semantics of an organization's data.
- Process Model - The Process Model aims to illustrate how many linked business operations are grouped together under particular business functions.
- Organizational Model - The Organizational Model is concerned with bringing the entire business into alignment.
- Functional Model - A functional model is any organization-aware, complete Business Architecture model.
- Domain/Risk Architecture Model - The risk or domain architecture aims to control uncertainty and foresee possible issues throughout the process of digital transformation.
Why do you need Business Architecture?
Business Architecture serves as the foundation for connecting what a company does to how it operates and how technology should and shouldn't support those aims. This connection is necessary for IT to make it possible to translate strategy into action.
When going to execution, Business Architecture and enterprise architecture work best together. The Business Architecture demonstrates how the stagey may be implemented within the framework and bounds provided by a thoroughly well-defined enterprise architecture, which also offers the framework and necessary boundaries within which the architect can deliver the desired strategy results. The limits will probably be created by the requirements for governance, compliance, business execution capabilities, and maturity.
Basically, Business Architecture is necessary for effect and positive change.
To summarize: Business Architecture is the foundation of all best practice enterprise architecture. Like all enterprise architecture domains, Business Architecture simplifies the organization, process, and design of the enterprise. One can use the simplification to design a change that improves their organization.
How Do You Use a Business Architecture?
There are so many ways to use a Business Architecture. Here are a few examples and use cases:
- Help an enterprise scale further by focusing on customer experience.
- Integrate all individuals, processes, tech stacks, and culture through the process of mergers or acquisitions.
- Revitalize a federal government program to be more modern and contextually relevant and helpful.
- Launch a brand new startup or a sister company to an existing enterprise.
- Identify a new potential market or product offering.
- Completely restructure (i.e. digitally transform) an existing business.
- Modernize legacy tech and equipment.
- Completely reinvent the identity and market of an existing, successful company.
Basically, Business Architecture is used to plan the improvements of your business. The use case of change will create a different use of the Business Architecture. A Business Architecture is critical in all Enterprise Architecture Use Cases. There are a few different ways that Business Architecture can be implemented and used:
- Architecture to Support Strategy – How do you translate your strategy into action?
- Architecture to Support Portfolio – How do you manage the improvement programs?
- Architecture to Support Project – How can you create improvements within a discrete project? Note: It can be a large project or a small project-- it is simply something with a defined scope.
What is a Business Architect’s Job?
All other architectural fields are built on a foundation created by Business Architecture. The operational procedures, operating theories, organizational structure, and information flow of the corporation will all be covered by the Business Architecture domain. It assists the enhancement of corporate operations and helps the desired state evolve.
Being able to fundamentally connect business and technology makes a Business Architect a crucial role in an organization. Business Architects play a crucial role in connecting business strategy with the reorganization and restructuring of both business and IT processes, among other duties, as firms are constantly forced to adapt to shifting IT landscapes.
Business capability models, business capabilities, and value streams are just a few examples of the crucial deliverables that a Business Architect is in charge of managing. Leading the architecture of new companies or re-architecting portions of existing ones is the primary role of a Business Architect. A Business Architect will assume a leadership position in the planning and creation of a comprehensive, multifaceted Business Architecture to realize the objectives and solutions of an organization.
Business Architects have a variety of roles, but their fundamental goal is to match tactical needs with strategic objectives. They are also responsible for operational and business model analyses, collaborating with other commercial organizations, creating capability maps and other artifacts, and helping to enable essential capabilities and value streams through technology. Enterprise and technical architects frequently collaborate with Business Architects to manage and plan business capabilities.
What does a Business Architect do?
Leading the architecture of new companies or re-architecting portions of existing ones is the primary role of a Business Architect. A Business Architect will assume a leadership position in the planning and creation of a comprehensive, multifaceted Business Architecture to realize the objectives and solutions of an organization.
Business Architect Skill Sets
There are a few essential abilities and credentials you should work toward obtaining if you want to develop into a great Business Architect. The majority of Business Architects have backgrounds in consulting or business analysis, although some also have backgrounds in enterprise architecture or solutions.
The following skills are used by Business Architects to do their jobs properly:
- Holding a bachelor's degree or a comparable qualification. Conexiam's business architect's have had degrees in Political Science, Business, even MBAs.
- Having worked in business operations - purchasing, supply chain, production, service delivery, or design.
- Knowledge of using modelling for analysis.
- Knowledge of modeling software for corporate architecture.
- Hard talents include company management and architecture, design expertise and credentials.
- The capacity to create high-level models for future analysis and the maturation of the existing Business Architecture.
- Ability to collaborate with stakeholders to explain and record the benefits brought about by new skills and procedures
- Strong communication and interpersonal abilities.
- The capacity to convert difficult concepts into practical advice.
- Experience leading change projects that developed capabilities or were transformational.
Are Business Architects in demand?
Yes, actually! There has been significant growth in demand for Business Architects simply because so many enterprises and large businesses are investing in total digital transformation, which necessitates the employment of a Business Architect.
What is a Business Architect’s salary?
In terms of earnings, successful Business Architects are priceless. For a senior architect, Glassdoor reports a total compensation between $142,00 and 230,000, with a median of $179,000. Higher incomes are with consulting organizations. The highest income business architects are engaged in transformation initiatives and can directly articulate the value of change activity.
Business Architect Roles
To better understand the roles of the Business Architect, it helps to understand the differences between a business analyst and a Business Architect.
Better computer systems and productive staff help businesses achieve their efficiency goals and boost revenue. Both business analysts and Business Architects provide answers to inefficiency; however, business analysts place a greater emphasis on upgrading technology, whereas Business Architects develop management strategies to unite people and enable them to work successfully. To better understand the requirements of the business, both talk to employees and examine data, although business analysts are more interested in information from computer systems, such as crash reports. Business Architects delve deeper into data that provide clues about the structure of the organization and the distribution of the task.
To put it simply, business analysts mostly work towards execution but rarely ever in direction, which is the domain of the Business Architect.
Can a business analyst become an architect?
Absolutely, it is possible. There is some overlap between the two roles, and both professionals use many of the same skills. However, a business analyst needs to switch their focus from working on change that is underway to assessing change options with stakeholders. When we develop architects, we explain that architects work before a decision to change. Everyone else executes the change.
What is the difference between an Enterprise Architect and a Business Architect?
Both specialists frequently collaborate to support corporate executives. They frequently work together to align the business' technological resources with its core operational processes, such as order fulfillment or data collecting. The Business Architect assists in creating an organization's financial goals, business-to-business relationships, and workflow standards. They are very focused on "the business."
Corporate architecture is frequently misunderstood to be limited to information technology. The separation between business and enterprise architecture should then be established. All areas of business, information systems, technology, and security are covered by enterprise architecture. Enterprise architecture is a notion that transcends technology. The phrase implies the company or organization includes the setting in which it operates.
The biggest misconception about Business Architecture is that it only applies to the tasks that a company completes. Processes are only one aspect of Business Architecture. Although crucial, processes are not the only component of a Business Architecture. The primary goal of enterprise architecture is to provide a strategy for organizational reorganization and change. Procedures are fundamentally comprehensively intended to attain strategic goals.
On the other side, Business Architecture is best understood as a blueprint providing a structured, model-driven approach to founding and managing a firm. Business Architecture offers insight into the organizational structure, operational processes, and supporting data, as well as the company's business strategy and value streams. Business Architecture doesn't just define the outcomes; it also helps them be achieved.
Business Architects provide a corporate understanding of how company strategy and value streams are operationalized via the integration of organizational, procedural, and informational components. The Business Architecture enables the accomplishment of the strategic objectives; it does not establish the strategy.
It's important to note that these two categories of professions frequently collaborate. A frequent practice today is to employ a Business Architect who reports to IT. This architect has to have a thorough knowledge of people, technology, and business in addition to business. For these Business Architects, even the TOGAF Framework certification is a necessity. However, business analysts who deal with requirements and process modeling are frequently assigned to Business Architect jobs and serve as translators because IT does not require Business Architects. The second alternative is to employ a Business Architect who does report to the enterprise architecture team in order to coordinate the Enterprise Architect in a cross-functional effort. However, a Business Architect has to have strong architectural skills and a thorough grasp of how to build a firm using Business Architecture models. We associate a particular mindset with the role of the architect. The finest Business Architects have a tendency toward analysis, synthesis, and methodical thinking in pursuit of general abstraction and patterns.
Business Architect vs IT Architect
Business Architects and IT architects both require a high level of technical expertise, although there are key variations between the two. While IT architects concentrate on developing technological solutions and their execution, Business Architects concentrate on business strategy and needs.
Business Architect vs Project Manager
A project manager simply leads a project, which would be considered an “execution” rather than a focus on “direction.” Project managers work after the decision to change, while Business Architects work on the decision to change.
How Do You Become a Business Architect?
Understanding what a Business Architect does is the first step toward becoming one of the best. We believe we have provided a response. The next phase of being a great Business Architect is professional growth. A Business Architect is a member of a strong enterprise architecture team that works inside an enterprise architecture. They call for knowledge, discretion, and specialized abilities.
At Conexiam, we can’t quite help you with the experience side of becoming a Business Architect. We can, however, assist you in hastening the development of your judgment and skills. We provide both one-on-one mentoring and pre-packaged mentoring as part of our free Personal Enterprise Architect Kick-start program. To join or learn more, click here.
Conexiam offers specialized training in Business Architecture. Our course is centered on creating common Business Architecture Models. With the help of our Enterprise Architecture with TOGAF and Navigate or TOGAF certification training courses, we provide online and on-demand training in enterprise architecture. Once you've received the fundamental training, you'll need a solid set of tools to do analysis and communicate. We include tools and methods for navigating the EA Community as part of our training.
Get in contact with our team today if you're interested in learning more about how we can help you launch your career as a Business Architect!
Business Architect Training
As part of its specialized enterprise architecture training, Conexiam offers Business Architecture training. A one-size-fits-all approach to business design is impossible given the variety of relevant Business Architecture. To directly help your Business Architects, we modify our Business Architecture training. They could be assisting with divisional development, digital transformation, strategic change, or other business change. With the help of Conexiam's Business Architecture training, you may develop the knowledge and skills necessary to express how to improve your company most successfully in the real world.
You may acquire the methods and tools needed to gain a comprehensive grasp of the company through Business Architecture training. You will learn how to apply this knowledge to identify your organization's weaknesses and areas in need of improvement. Various components of Business Architecture, including strategy, capabilities, information, operations, organization, and geography, will be covered in detail. To get started, get in touch with the Conexiam team today.
Business Architect Certification
Certification may seem like a necessity, but it actually doesn’t quite work that way. In today’s business world, Business Architect certification isn’t very useful. Your best bet would simply be to invest in trading from enterprise architecture mentorship programs like Conexiam and to build a solid portfolio.
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