Easier, faster more useful Enterprise Architectures may be possible with System Dynamics

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Enterprise Architecture ‘ is used by IT leaders to link IT to Strategy. LinkedIn Pulse article at http://sdl.re/LIPEA follows discussions with Open Group about the real possibility that living business models we could help with EA projects.

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Living Business Models: LinkedIn Pulse article

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http://sdl.re/dynamicbusinessmodels

Building on earlier posts about Business Models, this LinkedIn Pulse article clarifies how living, dynamic, quantified models can take us much further than is possible with qualitative frameworks. Better still – this is now easier, faster and more reliable than creating spreadsheet models that are way less useful.

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McKinsey: What’s a Business Model?

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You offer no definition, so when you tell us to “innovate”, what exactly is the thing we are to change? To be fair, no-one else provides a useful definition either – not even the most popular Business Model Canvas. All use abstract, inconsistent terminology, provide no causal explanation as to how a business model actually works and delivers performance, and with no quantification we have not the vaguest idea of the scale or growth of the enterprise the “business model” describes, or even if the model is viable ...

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Models help Behavioural Strategy (BS)

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BS says complex data, mental biases and emotions make good strategy choices hard to achieve, but these are not ‘givens’ or independent. An interesting debate at EURAM among academics who have studied these issues for decades rather implied

  • … that our ability to make sense of complex information is fundamentally limited (especially in Strategy with its multiplicity of elements and interconnectedness) … but it can be radically improved by better representation – even simplistic Balanced Scorecards help a lot.
  • … that biases are simply ...
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Enjoy low oil prices – for now?

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We have been here before – [1] economic growth drives up demand which [2] raises prices when supply gets tight which [3] makes oil companies/countries rich which [4] makes everyone look for more oil which [5] they eventually discover and start to pump, at just the time when [6] high prices kill the economy, so [7] we get over-supply so [8] oil prices collapse.

It won’t last, of course – eventually [9] production slows as reserves get depleted, and [10] low prices restart growth ...

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