Business Process Level 2 represents Finance and Human Resources

Business Process Level 3 Process with the Sub-Process Level 2 Stakeholders (functions)

The business of any business anywhere in the world.

Subject of the reference architecture at the root;  “Process”

Business Process Reference Architectures

This level of the business process hierarchy can be identified through the pages across the top of this blog series.  The intent of the Enterprise Business Data Series will identify common positions that the various phases will take on certain enterprise business data topics for architecture, execution of the architecture and use in running the business.

You can assume the business process hierarchy has the following dependencies in operational architecture the components that running the business use to perform the activities.  For this reason; Business Process Management modeled for Enterprise Architecture value will be the primary framework for the design and optimal re-use for recovery and security.

The removal of Architecture resources spending a great deal of time performing administrative task in the governance of IT projects shall be systemic and predictable for any level skill working on a new IT project.   The business process framework will be contained to five global capabilities.  Three of the capabilities are going to converge your Financial stakeholders with your Business and Quality Management systems.

Drilling down on Sub-Process 1 Stakeholder Actors “Engineering”

Offer Management Capability

The strategy decomposed for the party worker segments in the planned strategy

  1. Offer Setup the business of orchestrating the Business Process in a business service under expense transaction capabilities aligned to the execution of strategy in an investment. Forecast spend by business group-an expense transaction capability investment.
    1. Assume the forms in applications are structured content; each process sub-process level has a unique task either enriching the offer or when the task have met the criteria for public release-your offer becomes an item on the opportunity or plan in Sub-Process Level 3 Sales.
    2. The audience sales will target looks a bit like the marketing and engineering target shown-in sales I must understand the customer contact who best meets the offers value stream.

Major component selection

  1.  On the highway – I am performing task in the middle lane of the south bound travelers.
  2. As the diagram work flow moves from left to right the sequence provides a conceptual process with all 3 management capabilities
  3. Upon completion of the task – A record for the management activities will be the outcome

Non-Discreet facts to guide your service delivery model and remove the risk of the unknown in terms of the impacts and dependencies of any change.

Using the process sequence at the highest level Process Level 2 with – Process 1-5 as your guide in any vertical market, with any size company should meet greater than 80% of the business models in the world.

The dependency and impact assessments never change in execution the dependency and acquisition of information created earlier will reduce the complexity in your integration across the life cycle.

Your outcome of this prescribed design should allow a checklist that must be followed in any phase of the project to enable each lane on the highway to exit South Bound and once a driver commits to the purchase the driver can begin North Bound travel with the offer.

Process and People

Highlights the business service based on trends and design pattern identification.  Common cross-functional use of an expense transaction capability.

Drills into a sub-process 1

  • Stakeholders Engineering
  • Expense Transaction Capability
  • Notice the bold line introduces the cross-departmental reviewer

Remaining at the 5 capabilities; the following process flow infers that the manager approved the spend in the amount allocated in the investment;

QUESTION: My question for the auditor (s) would be that it seemsto require another purchase approval from a manager in cases where a signed or authorization was based on direction and cannot be paid without a manager with the appropriate level of authority.

Solution: All request must be sent to the managers work file to allow intervention in the fewer exception scenarios.  REVERSE ENGINEER address the 20% or less focus on manager accountability to act.

when a cross-function approval is going to verify the expense allocation approved by the two senior managers in annual planning.  Visibility for the manager in their dashboard would suffice to intervene in cases of potential fraud.

Note: The next approval would be appropriately require the manager approver or signatory authorized to pay the expense higher in the same organization hierarchy.

Each year the values may change in a new strategy; the framework for delivery MUST be static.

  • Only major shifts in the industry would promote a change to the framework.

The task will be more detailed in the fit for purpose world; while in the Real World for Executives and Board of Directors we have the context for external conversations.

Enterprise Architecture from an Outside In or Real World perspective retains it’s value by being tightly coupled to various corporate policies and by design manages a very coarse grain structure at the processes which serves as the way business services will be repeated for the hundreds of daily events recorded in your record management domain.

The following diagram supplies two areas of the business that serve as the root cause for many lower valued supply chain or risk related to access rights for many organizations.  The ability to create an expense transaction was once a procurement task; therefore you would work with procurement alone.  I have yet to meet a procurement resource who realizes the function supports every business process and therefore every function in the company.  The reality is; procurement itself is a global requirement.  In any case the function either ties to the cost of goods or would be an offset expense to a revenue transaction event record.

In most cases; even the operating expenses for a company get allocated across the organization based on headcount and location?  Which leads us to the second focus area of this design; design patterns indicate the least understood and highest threat to your organizations information assets result from a resource expense.

Design Patterns in an Enterprise Architecture

Re-use and recovery of vital business services with the same service.

Expense Transaction Capability

How do you acquire the information for the audience? You ask each function about the purpose of the 5 capabilities. You capture the terms they use and insert them in the service dictionary and stakeholder matrix.


Plainly said, architecture defines the way unrelated “things” connect to enable a system of “things”.

Business Architecture includes the business requirements which are multi-faceted or has various parts of a system which must be connected with dependencies in a specific sequence unlike database or data warehouse conversations.

Enterprise Architecture includes the technology, systems and information from various technology sources which enable the business architecture.

Information Architecture supplies both real time data structured (hierarchical) in operational systems differently than the metadata whether technical definition or business semantics alter the name of information for another process.

Starting with the operational architecture players for financial business management

These subjects have different practice leads with different objectives and the vital part of the puzzle includes each  understanding the differences in practice as they relate to the same goal each contributes to as part of a system.

The technical sequence for recovery and change management testing

Service Management 

Configuration Management 

Scale and control your environment – decisions about the companies enterprise business data and copies of this information are your organizations vital information.   

We have far to often created a new checklist on a project and simply mark or claim no to anything that may increase the scope.   

I’ve seen a major deviance between resources specifically the gap in how we once responded honestly and how different cultures in terms of execution, the lines get blurry and people suddenly see a roadblock that MUST be documented to prevent the delay.  Many people simply change the documented response and rarely use version control.    

When a project has cleared all gates – you should have already answered many of the questions on a project.   

DO NOT insert files for the sake of inserting a task.  

Challenge Statement

Mental models are different by person

People absorb information and new concepts differently

The truth in each person’s mind becomes rather subjective — The outcomes and measures must be objective.   

Test my theory-how many project folders do you have in an IT service providers directory?  

Check application and data teams separately

How many of the folders have documents in the folder?  

How many of the documents have been completed in their entirety?  

How many of the documents are accurate?  

How many documents ask the same question repeatedly?  example; what is the business value and what is the project scope

If you have any response other than ALL complete and accurate

MOST PEOPLE have never been asked to learn a new application (people struggle with new technology and tools)  Then think about your process in terms of whether a task, activity and who you work with in each process.  

Post project Issue Management

You close the project after go live – A few days have passed.

Users report a problem and most systems apply the issue reports to the organization reporting the problem.  

The new software vendor service contract was supposed to cover the application.  You probably pre-paid for the entire project under a single solution.  

The issue reported relates to the 3rd party component that failed becuase you customized the inputs and caused the solution to fail.  

Change Management 

Your accounting vendor releases a patch and your IT needs to update the system.  

You are unable to apply the update – your custom 3rd party vendor and their proprietary code requires a 100,000.00 worth of development and scope EVERY TIME you have an update or make a minor change to the accounting system.   

People on projects have no way to understand and honestly they are wired to make the project happen. 

Part IV Risk


2.0 Develop products and services

(AQPC business process framework)


Engineering – The create, read and update accountable functional system; an offer management capability.


Marketing – The update of the data points for external market and audience purposes.

User Centered Design

Business Groups should be a selection of types of tangible and intangible items in a grouping to allow re-use.

The technology which allows the create, update and read capability of atomic items; requires the master record in ERP as the system of record.

The management capability group typically begins in the Engineering System as a development business process activity.  A second financial validation will be performed to ensure a segregation of duties.

The offer another offer management sub-capability would require the offer composition to be enabled in the quoting application.

In the following diagram we supply the top graphic as a left to right workflow.

The groupings along the lowest part of the graphic supply different stakeholders (without the functional type associated) grouped by leverage points.

What’s an offer anyway?

Any combination of items (products, services or value supplied to a consumer). 
  • Items are atomic in tech speak
  • Items can be sold ala cart or in group
  • Items are ala cart in the master records
  • Reference relationships are created between the master record as the master was at the point in time.
  • Many of our highly skilled workers from the business lack an ability to distinguish a way to adapt their current process and procedures into a different technology.
  • People by general nature will assume the software needs to be modified.
    • The majority of our best and most trusted resources have an invisible line in the sand that ends with the current known behaviors.
    • The mental models of their stakeholder would need to change in order to envision a different future.
    • The probability of this transfer would be unlikely.
    • Transfer current into new.
  • A strategy or design expert will have the best opportunity to make this connection;
    • Multi-million dollar initiatives may be much less extensive in cost and effort with a structured review performed by an open minded design expert.

Operational process instructions

How do master records an the outcomes of transactions “fact records” differ in terms of the companies performance?   

An organization has a set of procedures that a person in a position of authority has been directed by corporate policies to perform using pre-defined procedures to execute.

  • Certain inputs must be executed in a process activity based on pre-defined request criteria.  
    • The person isn’t authorized to create a record without a requestor.
  • Once created by the authorized user, a transaction user must create a transaction record based on referencing the master record created by the authorized user. 

Typically the master record isn’t going to be “on demand” capability

    • The three key impacts to your performance metrics in several directions “create, read or updates” to your master records. 
    • NEVER DELETE any of this vital information to your customer and supplier value streams.  The master records MUST be the lifeblood *(connected to the Transaction Capabilities) to your reference information stored in each record as a “Fact Record”. 
    • A change in the master record, doesn’t update the transactions that referenced the information earlier than the change to the master record. 
    • See the 7 waste radar for examples of the way this might look in a “worst case scenario” 

The management capabilities follows;

      1. Financial Management Capabilities
      2. Party Management Capabilities
      3. Offer Management Capabilities

An on demand request would be an exception in the transaction capabilities. 

  • Each of these capability categories make up the basis for your performance measurement systems. 
  • Each directly impacts quality and your organizations bottom line. 
  • Accuracy on your organizations ability to provide complete and valid transactions.  

The transaction capabilities include the following;

      1. An expense transaction capability
      2. A revenue transaction capability

This is where we get really confused, the requestor wants to update a master record, because someone in the workstream sees the master and isn’t allowing the transaction to flow through the system. 

What could be causing this situation?

  • The person made adjustments outside the system
  • The person looking at a different view isn’t recognizing the difference between the transaction at the time of the record being created
    • Grandfather rules should apply
    • People must understand the difference between reference captured in a record


The only update or create “a requestor” would have the authority to do perform would be to publish a request to the authorized user workstream.

    • Validation must be performed to meet the key control requirements in the 404 assurance performed by the CEO on each reporting period.

I’m afraid to read this one, potentially another hit and run from someones mountain without a sliver of consideration for the people who are trying to be good stewards of great executives ability to remain free.

NOT THE 5 Capability model

Would Demming and TQM or EA and Zachman be part of the same coin?

I have yet to find a single scenario to support either making claims that they represent the larger subjects they each are considered experts in parts of the system represented.

  • Only in the context that a parent represents all children; can we say these two are from the same coin.

If the coin were a silver dollar; then each system TQM would be a fifty cent coin and EA a quarter; while Demming and Zachman each represent a nickel each for the holistic scope of TQM and EA.



Stakeholder(s)- External Regulatory and International Standards Organization

Ensure financial, business and quality standards are part of the culture and applied according to industry standards.

  • Introduce the system dynamics with models and simulated views.
  • Minimize the knowledge gap through a systemic approach to the enterprise and business architecture.

Virtual Boundaries – Guide rather than force change

The people part of any organizational culture will require the introduction of known sequences of activities.

Challenge: people have grown to appreciate having everything their own way.  In fact, you will speak to people who will name a common thing differently in their space just to ensure no one can consume the information.  Functions are unlikely to trust the applications managed by others and force everyone to enter the entire transaction over in their application.  This forces restart at every new application, the data quality immediately get’s degraded and we are forcing waste.


To rectify the situation we must first agree to adopt a common generic framework.

The proposal must not be confused nor should we try to transfer blame from the current frameworks. Doing so would be like comparing apples to oranges and penalizing one for not being the same.  They are not designed for the same purposes.   This framework supplies a common way to guide an organization and ensure connections at the right time in a discreet manner.

Systems in an enterprise

Many experts refer to the business management system and then speak of the quality management system or business functional sub-systems.  Let me help us understand the most important systems in an any organization.

Business Management Systems

The ability to create, read, update and archive all records associated with 3 core Enterprise Business Data capabilities.

  • Party-Supplier, Customers, workers (employees)
  • Offer-Hardware, software and services includes professional services
  • Financial Accounts – segmentation of the company codes, location codes, general ledger codes, department codes and project or sub-account codes

Key controls design effectiveness

  • Segregation of duties requires any user in the business management system to not have create capabilities in the Quality Management System.

Gap -Today we simply monitor and report and use sudo access rights in conflict with the effectiveness control.

  • Validity and Integrity of the pricing, cost, sell and revenue as defined by GAAP will be at risk on each event record by each failure on each record.

Documented due diligence according to the organizations corporate policies

  • I used a template to create corporate policies in every ERP implementation in the 80’s structuring the policies according to ISO 9000 was the norm and my competitive advantage.
    • Business rules around corporate policies are generic and intended to be a guide.
    • We can apply 3 lanes to guide the different situations and aggregate the risk accordingly
  • The changes in software influenced the procedures NOT the policies themselves.
  • Functional Policies are not greater than a corporate policy
  • Corporate Policies must be honored by every employee its a condition of your employment.
    • Corporate Policies are crafted by the Board of Directors not employees of the organization
    • Timelines on a project are not likely to equal the time it takes to manage the changes through the Board of Directors.

Recovery testing Sequence with South or North Bound Stakeholders

The opportunity in this article intends to supply a common approach to meeting the corporate policies.  There are few if any business people who can tell you how the policies apply to the entire organization.

The graphic above presents both blue and green indicators;

  • When blue we can assume suppliers, employees and Expense Transaction Capabilities
  • When green we can assume customers, employees and Revenue Transaction Capabilities

Expense and Revenue transactions are vital to the record retention requirements and ideally are integrated to reduce the number of rows with any errors in columns being the multiplier for defects.

Connecting the system for fewer rework and less opportunity for error on risk portfolio

Connecting the system for fewer rework and less opportunity for error on risk portfolio

The following highlights the basis for the configuration items with Priority and both business and quality management dependencies.

Three Business Management Capabilities or Systems – Create, Read, Update and Archive never delete any of the party, offer  or financial account records.

Guaranteed to be on your retention schedule and an activity to protect

Guaranteed to be on your retention schedule and an activity to protect

Every function manages to acquire their own applications without any integration between and across the life of the transactions.   This solution enables us to acquire and integrate 14 data points across the functional boundaries.


Every company needs to understand the “as is” before moving or making more investments without understanding the problem.

Recognition of the fact that each company will have slightly different task and different offerings.

New Value proposition for any Enterprise and Business Architecture practitioner

Provides predictive and consistent reference architectures using event driven architectures to promote the expected behaviors first without constraints.

EA and BA Value 

Quality and Agility with Resilient and Sustainable Business, Operational, Systems and Technology.

Board of Directors and Officers

Inserts the boundaries in a virtual or logical grouping of your corporate policies; allowing fact based decision making without forcing disruptive changes.

Stakeholder Communication Strategy Internal and External

Internal – Value streams are dynamic and vary by functional team; this approach intends to supply a single point of reference for all future communications by inserting the known dependencies.   Ideally serving as the map to use for decision making based on the inputs and outputs across the boundaries whether hard or soft.

Example; If marketing elects to make a data type change we must include sales who’s systems must consume the outputs as their inputs to their work streams.

People, Process and Technology – Change Management 

Complexity of a project

A value stream to promote the known but often overlooked or left to the skill of each resource and their motivational factors which will often be subjective.  This prescription eliminates the unknowns on any proposed strategy or change by identification of a reference architecture that will promote the vital components of your configuration management domain.

Impact and Dependency Scope on all strategy and future projects

A capability to ensure the outputs from one function have consistently been transparent in any supplying visibility to all impacted stakeholders for any future changes to all impacted stakeholders during the Business Commit phase to pro-actively alert the impacted people, process and/or technology.

Predicts the external risk management facts for decision making

Value streams for external stakeholders will vary based on the strategy.  in a manner that converges the dependencies and factors the known impacts.

Service Management Design

The tactics used to promote the adoption of such a generic model enables any company to realize their service management strategy through the definition of your priorities around recovery time objectives and record retention.

Configuration and Change Management 

Configuration Management Components

Core component for each of the service management work streams; highlights the financial and quality elements through the transition of tacit into explicit using industry and risk according to the industry.   Over time the dependency on tacit knowledge will be abandoned for the consistent methods designed into the system.

Incident and Problem Management 

Inserts the blueprint for the consistent measurement of risk and problem ranking with a consistent reference architecture that will highlight the dependencies across technology for accurate assessment of incidents on the organization.

Enabling Business and Quality Management System(s)

Inserts a generic approach which works without disruption; allowing a consistent way to determine your cultural conditions based on your management and risk appetite.

Any part of the world

If you can imagine we have highways all over the world.  Therefore this prescription would be applicable anywhere in the world.  The signs on the highway may allow you to see different things upon exiting in any scenario.

Any company in any industry

Therefore you have an opportunity to apply this model to any industry.

Risk Management and Entitlement for Access 

Each industry and each company will have different levels of risk and at the least 3 different business scenarios.  Logical grouping of three levels of risk-High, Medium and Low in either direction of the highway, translates into slow lane for high, middle lane for medium and fast lane for low risk.

Financial Statements

Your offers through the development and design phases when the offer has been matured according to market definitions will be in your fast lane and reported to the Security Exchange Commission or regional agency of the same type as a foundational cost (expense) or sell (revenue) in summary.

To ensure we never have a scenario where we might confuse the role of a supplier with customer and have the infrastructure to enable consistent access and entitlement for cases when the companies go to market strategy relies on a strategic alliance who has the role of both.  Our approach ensures we insert static supplier accounts on the south bound lanes of the highway for all cost related activities.

Using the entry and exit of the highway to control the fact that a northbound traveler represents the customer and offer value measurements.

A new driver will acquire a vehicle of any make and model.  

Based on the offers maturity (decided off road by various stakeholders including industry analyst); a vehicle (offer) merely applying logical or virtual groupings rather than assuming any forced constraints.

Design Patterns for any business model of any maturity

Any business or technology user can assume you must build and invest before you can sell an offer.

The lines we draw for the investment to develop, design, build and deliver an offer is an expense transaction capability with our supplier stakeholders; traveling SOUTH for a negative adjustment to your investment plan.

In order to sell your offers you must have invested and supplied the value to begin your revenue streams we start with the sales goal inputs and assume the trigger to revenue streams begins with a developed sale plan with a direct customer.

  • The line we must assume for north bound travelers should represent the revenue stream. 
    • We know a driver (customer) and vehicle (offer) will enter the north lanes and expect each company who adopts this approach will be in a position to inter operate their revenue according to quality standards with revenue recognition converging in the slow lane on high risk or new offers-NON-GAAP
    • While your SEC advanced types are in the middle lane-deferred revenue
    • Your resale and point of sale to consumers will travel in the fast lane.  Immediate revenue
    • for the new offers in the slow lane.  
  • Strategy is simply the vehicle and marketing creating the CUSTOMER CAPABILITY versus an enterprise architecture task to have value stream and mapping of capabilities as part of the internal Enterprise and Business Architecture.  
    • No change to technology strategy for this purpose
    • Some external dependencies may be proposed and warranted by industry trends. 

The following supplies the graphical representation in a manner for both business and technology audiences to understand.  The concepts in a very abstract form.

The details are going to follow in each subject:

Part Vi People 

Industry Specific prescriptions-If I were in education or the military branches of the government how I would transform to this model; The highway analogy applied to two vertical industry  types to show the way the model applies to any market.   

Education Scenario


Healthcare coming soon 


Copyright 2011 Lisa Marie Martinez

The views expressed in these pages and content are the individual perceptions and observations of a business process lady.

The information should not be considered inclusive or exclusive of all scenarios.

You may contact Lisa at 408.794.9016 for a consulting engagement.

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