Enterprise ArchitectureEnterprise Architecture
Note: for references cited in this section see “references ”.
“Knowledge is the only meaningful resource today.” (Drucker, 1993)
“I see organizational learning as the principal process by which management innovation occurs. In fact, I would argue that the rate at which individuals and organizations learn may become the only sustainable competitive advantage, especially in knowledge-intensive industries.” (Stata, 1989)
Learning capability is a business’s ability to generate new ideas multiplied by it’s adeptness at generalizing them throughout the company. (Stewart, 1994)
Organisational learning occurs through shared insights, knowledge, and mental models. It builds on past knowledge and experience - that is, on memory. Organisational memory, depends on explicit models to retain knowledge. (Stata, 1989) This involves the development of a (communicable) knowledge base, integrated into working procedures. (Duncan & Weiss, 1978; Shrivastava, 1983)
The ‘business learning loop’ consists of an iterative sequence of: sense; interpret; decide; act. An enterprise model for a business that incorporates learning is one that systematically creates and links learning loops. (Haeckel & Nolan, 1993)
Unless the learning is shared (or sharable) it is individual learning, not organisational learning. In order for the learning or knowledge to be shared it must be accessible; in order for it to accessible it must be structured into a framework that is understandable.
Human cognitive capabilities limit our ability to understand what is actually going on in complex organisations, which are like giant networks of interconnected nodes. Changes intended to improve performance in one part of the organisation can affect other parts with surprising consequences. (Stata, 1989) Sterman (1989) showed that decision makers consistently misjudge complex systems.
Clearly we need to learn about our organisations to increase our understanding. This learning must consider the whole, not isolated parts; and the knowledge derived must be recorded in such a way as to reduce complexity and facilitate understanding.
By explicitly revealing our mental models about how we believe the organisation, should work, we create a precise language with which to share our understanding, providing a mechanism to converge on a shared model and to communicate the organisations’ stored experience and knowledge. (Stata, 1989)
Enterprise Architecture provides the shared set of interrelated and integrated models which foster a common understanding of the organisation and reduce complexity by means of abstraction. Enterprise Architecture preserves the learning (structural intellectual assets) of the organisation, by explicitly recording it. It can record knowledge about visions, goal and strategies; governance principles and models; business terms and organisation structures; processes and data; application systems and technical infrastructure.
“Large companies need a coherent enterprise model to raise their corporate IQ.” (Haeckel & Nolan, 1993)
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