Introduction

Frameworks for Enterprise Architecture cover different aspects of architecture practice. They may have, among others, any combination of the following ingredients:

The Open Group maintains two open standards for Enterprise Architecture: the TOGAF framework [1] and the ArchiMate modeling language [2]. The core of the TOGAF framework is a method for Enterprise Architecture development and implementation: the Architecture Development Method (ADM). The TOGAF framework also describes viewpoints, techniques, and reference models, as well as a content framework that identifies the types of building blocks that make up an architecture. However, the TOGAF framework does not prescribe the use of a specific modeling language to create architectural views.

The ArchiMate language is a graphical notation that provides a uniform representation for models that can support the complete architecture development cycle. The ArchiMate Specification [2] consists of a core language, aimed at the description of Business, Information Systems, IT, and physical Technology Architectures, and their inter-relationships. It also contains elements to model business and technology strategy, motivations driving architecture development, and plans for architecture implementation and migration.

Figure 1 sketches how the core language and additional elements support the TOGAF ADM. In addition, the ArchiMate language contains elements for modeling the physical aspects of an enterprise, such as facilities and equipment, which the TOGAF framework does not address. This Case Study considers physical elements part of the ArchiSurance Technology Architecture using viewpoints chosen from both the ArchiMate language and the TOGAF framework.

The ArchiMate and TOGAF Standards share a firm foundation in their core ideas and their use of viewpoints to capture and communicate different aspects of a single underlying architecture model. The standards complement each other in that the TOGAF Standard focuses on a method for developing and implementing architectures, while the ArchiMate language focuses on a uniform notation for modeling architectures.

The ArchiMate language [2] complements the TOGAF framework [1] in that it provides a vendor-independent set of concepts and relationships, including a graphical representation that helps to create a consistent, integrated model, which can be depicted in the form of views. While the ArchiMate language defines its own example viewpoints that serve as templates for a broad range of views, the language can also be used to construct the diagrams defined in the TOGAF Content Framework.

Figure 1: Approximate Correspondence between the ArchiMate Language and the TOGAF ADM

ArchiSurance [3, 4] is the result of a merger of three previously independent insurance companies:

The company now consists of three divisions with the same names and headquarters as their independent predecessors.

Figure 2: ArchiSurance: The Result of a Merger of Three Insurance Companies

ArchiSurance was formed to take advantage of numerous synergies between the three organizations. While the three pre-merger companies sold different types of insurance, they had similar business models. All three sold direct to consumers and businesses through the web, email, telephone, and postal mail channels. Although based in different cities, each was completely housed in a modern office complex in a major metropolitan area. Each had loyal customer bases and strong reputations for integrity, value, service, and financial stability. All three companies were privately held by interlocking groups of institutional and individual investors.

The lead investors of the three companies began merger talks after they noticed that lower-cost competitors were entering their markets, that there were new opportunities in high-growth regions, and that each company required significant new IT investments to remain competitive. They realized that only a larger, combined company could simultaneously control its costs, maintain its customer satisfaction, invest in new technology, and take advantage of emerging markets with high growth potential. The merger negotiations and regulatory approvals took 18 months, but two years ago the papers were signed and the merger was complete.

The new company offers all the insurance products of the three pre-merger companies, and intends to frequently adjust its offerings in response to changing market conditions. Like its three predecessors, ArchiSurance sells directly to customers (i.e., businesses and consumers) via web, email, telephone, and print and post channels, and indirectly via intermediaries (i.e., sales partners and insurance consultants).

The inflexibility of the ArchiSurance Application Architecture makes it difficult to adapt to changes in business conditions. Partly as a result of the merger, the application landscape has become scattered, resulting in data redundancy and functional overlap, as well as point-to-point application integration using a variety of data formats and methods. These problems cause internal instabilities, increased application maintenance costs, and obstacles to sharing information across the company and with partners. Consequently, the IT department has a sizable backlog of work requests. ArchiSurance top management is very concerned about the backlog, particularly an unmet need to share information automatically with high-volume contracted sales partners and influential insurance consultants.

The ArchiSurance Board of Directors and CEO support these initiatives on the condition that all changes are invisible to ArchiSurance customers and partners. Insurance products and services must not be affected, and all customer and partner interactions must continue.

As part of this effort, the technical infrastructure will also be simplified. The separate back-office servers will be replaced by a shared server cluster located in the data center at Home & Away headquarters. However, to ensure business continuity, there will also be a back-up server cluster located in the data center at PRO-FIT headquarters.

In addition to the more immediate goals related to post-merger integration, ArchiSurance also sees the fast pace of change in technology and the adoption of disruptive technologies as both a challenge and an opportunity. It wants to embark on a Digital Transformation and has defined a new Digital Customer Intimacy strategy, which employs a combination of Big Data and the Internet of Things (IoT). ArchiSurance intends to acquire more detailed customer data and use it to improve customer interaction and satisfaction, and to adjust insurance premiums based on risk.

To this end, for insurance products sold to consumers, ArchiSurance intends to use data from smart, connected devices such as fitness trackers, vehicle tracking systems, or home automation gateways. In various B2B markets ArchiSurance intends to use data from sources such as fleet management systems, energy networks, in-store RFID^[1] devices, or smart building sensors. Ultimately, this may result in real-time insurance products where customers receive direct feedback on the financial consequences of their behavior, and advice on adjusting this behavior to lower their insurance premium.

The next sections describe how ArchiSurance approaches the Rationalization and Digital Transformation change scenarios.