Managed Evolution (eBook)

Stephan Murer was born 1963 in Switzerland. He graduated with an information technology engineering diploma and a Ph.D. in computer science from the ETH in Zürich in 1992. After that he continued his academic career at the International Computer Science Institute of the University of California, Berkeley. 1994 Stephan joined Credit Suisse, where he held a number of different positions. In 2000 he completed his MBA from the University of St. Gallen. Since 2000 he has been managing director and chief architect, responsible for the overall design of Credit Suisse's Information systems. Stephan Murer can be reached at stephan.murer@credit-suisse.com. Bruno Bonati was born 1949 in Switzerland and studied Economics at the University of St.Gallen. He graduated as lic.oec.HSG in 1973. After graduation he worked in several companies and in 1996 he became Member of the Executive Board and Head of IT and Operations in Credit Suisse. In 1997 Credit Suisse started the managed evolution strategy in IT and developed the Service Oriented Architecture for the Swiss IT Platform. In 2005 after retirement from Credit Suisse he worked as an independent consultant for IT and Banking. He has been the senior consultant for the Industry Value Network, an initiative led by SAP with 40 member companies (20 large banks and 20 vendors) with the goal to develop SOA in banking, which shifted, in 2008, into an independent organization in order to enable the standardization of services in banking. He is a member of several non executive boards of directors, among them Tieto Helsinki/Stockholm and Swisscom IT Services. Bruno Bonati can be reached at bruno@bonati-consulting.com. Frank J. Furrer was born 1945 in Switzerland and studied electrical engineering at the Swiss Federal Institute of Technology in Zurich (ETH Zurich). He graduated as Master of Science in 1969. After graduation he worked as a research assistant at the Institute of Technical Physics at the Swiss Federal Institute of Technology in Zurich (Prof. Dr. E. Baumann) and earned his Ph.D. in advanced communications engineering in the year 1975. In the following years he worked in several consulting firms. 1997 he started his own consulting practice, focussed on applications architecture and security for very large information systems. Frank J. Furrer is the author of several books on industrial communications and information system security and works as an independent consultant. Frank J. Furrer can be reached at frank.j.furrer@villa-aurora.ch.

Foreword 6
Preface 8
Context 8
Challenge 9
The Message in This Book 9
Side-Stories 10
Intended Audience 10
Structure of the Book 11
Acknowledgments 12
About the Authors 14
Contents 16
List of Figures 20
List of Tables 22
List of Side Stories 24
Part I: Structure, Properties, Challenges and Architecture of Very Large Information Systems 26
Chapter 1: Very Large Information System Challenge 27
1.1 Background 27
1.2 Complexity of Very Large Information Systems 29
1.3 Properties of Very Large Information Systems 33
1.4 Strategic Approaches for Very Large Information Systems 38
1.4.1 Opportunistic Approach 41
1.4.2 Replacement Approach 43
1.4.3 Greenfield Approach 46
1.5 The Core Idea of Managed Evolution 47
1.6 Elements of Managed Evolution 54
1.7 Where to Start with Managed Evolution 56
Chapter 2: Architecture Management 59
2.1 What is IT Architecture and Why Is It Important to Managed Evolution 59
2.2 Architecture Principles 61
2.3 Architecture Layers and Models 63
2.4 Business Architecture 66
2.5 Application Architecture 69
2.6 Technical Architecture 81
2.7 Vertical Architectures 84
2.8 Architecture as an Activity: The Architecture Process 89
2.9 Architecture Organization: Federated Architecture Process 95
Chapter 3: Integration Architecture 102
3.1 Enabling Managed Evolution 102
3.2 Challenges for Integration Architecture 104
3.3 Composing Systems from Components 106
3.3.1 Functional Composition 107
3.3.2 Desktop Integration 108
3.3.3 Process Orchestration 109
3.3.4 Layering Components 109
3.4 Choosing the Right Interfaces 114
3.4.1 Adequate Degree of Coupling 115
3.4.2 Adequate Integration Scope 117
3.4.3 Avoid Redundancy 118
3.4.4 Formal Syntax and Rich Semantics 119
3.4.5 Adequate Granularity and Reuse 122
3.4.6 Bridging Technical Heterogeneity and Network Distance 123
3.4.7 Use Industry Standards Where Applicable 124
3.5 Interfaces and Service Contracts 125
3.5.1 Interfaces and Services 126
3.5.2 Non-Functional Properties of Services 129
3.5.3 Contracts as Active Relationships 130
3.5.4 Service Versioning 132
3.6 Service Management Process 134
3.7 Service Delivery Infrastructure 139
3.8 Consuming Foreign Services 142
3.9 Evolutionary Decomposition of Monolithic Systems 147
Chapter 4: Infrastructure 152
4.1 Managed Evolution of Infrastructure 152
4.2 Technology Portfolio 154
4.3 Platforms 161
4.3.1 Platform Concept 161
4.3.2 Platforms as Infrastructure Service Providers 162
4.3.3 Application Development Support Processes 164
4.3.4 Platforms Operation Processes 165
4.3.5 Platform Management Processes 169
4.3.6 Application Platforms and Runtime Platforms 171
4.4 Operations 175
4.4.1 Operational Challenge of Managed Evolution 176
4.4.2 Componentization for Operations 176
4.4.3 Autonomic Computing 178
4.4.4 Configuration Management Database 181
Part II: Organization and Management Processes for the Execution of Managed Evolution 183
Chapter 5: Business-IT Alignment 184
5.1 Managed Evolution and Business-IT Alignment 184
5.2 Limitations of Hierarchical IT Governance 188
5.3 Matching Roles: Balance of Power 189
5.4 Governance Models for Project Portfolio Management 194
5.5 Business-IT Alignment Processes 199
5.5.1 Strategic Business-IT Alignment Process 199
5.5.2 Project Portfolio Management Process 204
5.5.3 Project Management Process 206
Chapter 6: People, Culture and Organization 208
6.1 People and Skills 208
6.2 Culture and Values 213
6.3 IT Organization 217
6.3.1 IT Organization Embedding 217
6.3.2 Interaction of IT Functions 219
6.3.3 Strengthening System-Wide Consistency Through Organization 222
6.3.4 Checks and Balances 223
Chapter 7: Measuring the Managed Evolution 224
7.1 Introduction 224
7.2 Measuring Change Drivers and Enablers 226
7.3 Measuring System Properties 231
7.4 Measuring Managed Evolution Strategy 237
7.5 Impact Factors on Agility 245
Part III: Summary, Conclusions and Outlook 248
Chapter 8: Conclusions and Outlook 249
8.1 Summary of Key Points 249
8.2 Outlook 252
References 255
Glossary 267
Abbreviations 276
Index 278