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Jan L.G. Dietz

DEMO Awareness

Lecture 1

DEMO Awareness Lectures 2013 - L1 - slide 2

BPM

SOA

GRC

EIS MIS

IAM

TQM

IT Enterprise Engineering

A persistent problem and the way out …


Enterprise Ontology

Enterprise Architecture Enterprise Design

Enterprise Governance

Almost all (94%) manifestations of inadequate enterprise performance are the inevitable results of how enterprises are designed.

William Edwards Deming

Enterprise Engineering (EE) is the scientific discipline that has enterprises as its object of study. EE considers enterprises to be designed systems, which consequently can be re-designed. Three foundational pillars are recognised:

What is Enterprise Engineering?


•  Intellectual manageability –  In order to bring about organisational changes, one must

keep insight and overview. This implies a well devised systematic reduction of complexity (Enterprise Ontology).

•  Organisational concinnity –  is the skillful and harmonious arrangement of organisational

parts, so that it constitutes a coherent and consistent whole. This implies well devised design (Enterprise Architecture).

•  Social devotion –  Enterprise Engineering takes a human centered view on

organisations. This implies a well devised distribution of authority and responsibility (Enterprise Governance).

The Enterprise Engineering goals

JAN L.G. DIETZ

RED GARDEN GNOMES DON’T EXIST

IN SEARCH OF THE ESSENCE OF ORGANISATION

©2011 Jan L.G. Dietz!JD230 pictures! 3!

ALICIA P.C. PERINFORMA

THE ESSENCE OF ORGANISATION

AN INTRODUCTION TO ENTERPRISE ENGINEERING

26!

actors transactions

business processes business events

business objects business facts

PRODUCTION COORDINATION

work instructions business rules

CM

FM PM

AM

JAN L.G. DIETZ

DEMO BASIS - GLOSSARY OF TERMS


RGGDE – Prolog (1)

This book tells the story of a student who is unsatisfied with the current status of her field of study, broadly identified by organisation and ICT (or IT). In her quest for a profound understanding of what she thinks are key notions in this field, notably communication, information, action, and organisation, she lands up in Gnome Land, where a seemingly infinite source of valuable ideas and insights opens up to her. After having found everything she was looking for, she returns to People Land, fully satisfied about her adventure and fully dedicated to the newfound mission of enterprise engineering. Like the main character, Alice, the reader will be rewarded with valuable new ideas about and insights in matters that are not only the concern of professionals and students in the field of organisation and ICT. It is in the interest and to the benefit of every human being to have a proper understanding of the role of ICT in modern societies. So many things go wrong nowadays, and so few people understand the real causes of the endless failures of enterprise transformation, business process management, information management, and software projects. The key to the same source of enlightenment as Alice has drunk from, is in your hands. The only thing you have to do is to continue reading.


RGGDE – Prolog (2) While reading, you will learn, among many other things, three basic human abilities, called performa, informa, and forma, of which the performa ability turns out to be the most important one, yet also the least understood. Deeply understanding it will lead you to the insight that communication, information, action, and organisation are only different appearances of this most human performa ability: the entering into and complying with commitments towards our fellow human beings regarding the things that we produce for each other. Communication is about sharing commitments. Information is about remembering and recalling them. Action is about performing communication acts as well as production acts. Organisation is about the units of authority, responsibility, and competence (called actor roles) that allow human beings to act, about the patterns of interaction in which production takes place (called transactions), and about the tree structures in which transactions and actor roles are connected (called business processes).


RGGDE – Prolog (3) This insight is nothing less than a paradigm shift; you must be prepared to grasp it. The price is that you have to throw off your current way of thinking about organisation and ICT. But that is not a high price, I would say, because it has proven not to be useful anyway. What has all this serious stuff to do with garden gnomes? That is a secret that will be unveiled while reading the book. You will discover that modern societies are crawling with blue and green garden gnomes, to the benefit of all of us. You must only look out for red garden gnomes because they cannot exist ...

THEORY

Enterprise Ontology


•  The operating principle of organisations is that human beings enter into and comply with commitments regarding the production of things. They do so in communication, and against a shared background of cultural norms and values.

•  Commitments occur in processes that follow the universal transaction pattern. This is a structure of coordination acts/facts between two actors, concerning some production act/fact. One is the initiator (consumer) and the other is the executor (producer).

•  An organisation is a network of actors and transactions. Every actor has a particular authority, assigned on the basis of competence. Actors are assumed to exercise their authority with responsibility. They operate autonomously.

ψ  (PSI) stands for Performance in Social Interaction. Primarily rooted in language philosophy, social action theory, and systemic ontology.

The ψ-theory: coordination


Every coordination act has this structure: <performer> <intention> <addressee> <product> <production time> Ex: Alicia ‘ requests ‘ Celestine ‘ for a bouquet of red tulips ‘ asap

Coordination acts

Performer: a subject (human being in the role of social individual). Intention: the kind of the commitment that the performer engages in

towards the addressee. Examples: request, promise, … Addressee: a subject (human being in the role of social individual). Product: an original production fact. Production time: the requested, promised, … time that the product

has been or must be produced.


Subjects apply three abilities when performing coordination acts: Forma The ability to utter sentences (using some medium) and to perceive sentences (from their imprints in some medium). Informa The ability to formulate thoughts (and subsequently express them in sentences) and to interpret thoughts (from perceived sentences). Performa The ability to expose commitment (through formulated thoughts) and to evoke commitment (from interpreted thoughts).

The human abilities in coordination


The process a coordination act

performa level

informa level

forma level

formulate thought

educe thought

perceive sentence

utter sentence

(social correspondence)

expose commitment

evoke commitment

(cognitive correspondence)

(notational correspondence)

medium level

physical interaction

realise decision

decide on response Alicia Celestine


Me


You


We


In my blue me I hear the words that you speak


In my green me I grasp the thought from the sentence that you convey


In my red me I comprehend your intention: you want me to help you


In my blank me I decide by my wisdom and love: I believe you I trust you I will help you


I promise my help in my red me


I form the thought in my green me


I utter the words in my blue me


and hope that you will hear me


13!

The basic transaction pattern

proposition requested

proposition promised

result stated

result accepted

result produced

<initial status>

consumer producer

The basic transaction pattern


Alicia: I’d like to have a bouquet of red tulips

Alicia : request : Celestine : order 387 is fulfilled

Celestine: Just a moment

Celestine : promise : Alicia : order 387 is fulfilled

Celestine: Here you are

Celestine : state : Alicia : order 387 is fulfilled

Alicia: Thanks

Alicia : accept : Celestine : order 387 is fulfilled

Example of a transaction


Vraag

Wat is het product (productiefeit) in dit voorbeeld? Wanneer bestaat dat feit (is het feit het geval)?


Vraag

Wie is de eigenaar (of bron) van het feit? Heeft een feit altijd een eigenaar (of bron)?


COMMUN ICATION

information

action

communication is the thread of which organisation is woven

What does the ψ-theory accomplish?

organisation


promise

request

quit

stop

state

accept

initiator

decline

revokepromise

revokerequest

revokeacceptance

revokestatement

executorexecutor

allow

allow

refuse

refuse

initiator

allow

refuse

allow

refuse

executorinitiator

reject

initiator executor initiator executor

The complete transaction pattern (1)


promise

request

quit

stop

state

accept

initiator

decline

revokepromise

revokerequest

revokeacceptance

revokestatement

executorexecutor

allow

allow

refuse

refuse

initiator

allow

refuse

allow

refuse

executorinitiator

reject




promise

request

quit

stop

state

accept

initiator

decline

revokepromise

revokerequest

revokeacceptance

revokestatement

executorexecutor

allow

allow

refuse

refuse

initiator

allow

refuse

allow

refuse

executorinitiator

reject




promise

request

quit

stop

state

accept

initiator

decline

revokepromise

revokerequest

revokeacceptance

revokestatement

executorexecutor

allow

allow

refuse

refuse

initiator

allow

refuse

allow

refuse

executorinitiator

reject




initiator executor

Every (elementary) actor role is the executor of exactly one transaction kind, and initiator of 0, 1 or more transaction kinds.

A transaction symbol has two interpretations: In the process interpretation it represents the transaction process of the transaction kind.

In the state interpretation it represents its transaction bank, i.e. the conceptual container of all coordination facts of all transactions that are created in the course of time.

©2011 Jan L.G. Dietz!JD230 pictures! 19!

The complete transaction pattern

promise

request

quit

stop

state

accept

initiator

decline

revokepromise

revokerequest

revokeacceptance

revokestatement

executorexecutor

allow

allow

refuse

refuse

initiator

allow

refuse

executorinitiator

reject


allow

refuse

>

>

<

<

The organisational building block


A business process is a tree of transactions

rq pm

ac st


A business process is a tree of transactions

Note. Component transactions may also be carried out in parallel

rq pm

ac st


Vraag

Hoe diep is een ‘transactieboom’ meestal, denkt u?


The three human abilities (performa, informa, and forma) also apply to production:

The ψ-theory: production

Performa The ability to perform original production acts, such as to create (manufacture, transport, observe), decide, judge.

Informa The ability to perform informational production acts, such as to remember, recall, compute (facts)

Forma The ability to perform documental production acts, such as to store, retrieve, transmit, copy (sentences, documents).


25!

CM

FM PM

AM

CM

FM PM

AM

Process Model Fact Model

Construction Model

Action Model

B-organisation

I-organisation

D-organisation

creating deciding judging

remembering recalling computing

storing retrieving transmitting copying

The three aspect organisations


Actors (subjects fulfilling an actor role) influence each other in two ways: through interaction and through interstriction. In performing coordination acts, actors create coordination events to which (other) actors have to respond. This way of mutual influencing is called interaction. Interaction corresponds with the process interpretation of transactions. When responding to a coordination event, an actor takes the current state of the world into account. This state consists of facts that are created in earlier transactions. This way of mutual influencing is called interstriction. Interstriction corresponds with the state interpretation of transactions.

Interaction and interstriction


In the huge network of interacting subjects (across organisations), we make the next selections and abstractions: 1. We select a scope of interest: we see only (the part of) the organisation we want to investigate. 2. We put the building block ‘template’ on the organisation: we see only a network of transaction kinds and connected actor roles. 3. We only consider the performa level of coordination: we have got the ontological model of the (total) organisation, abstracted from implementation. 4. We only consider the B-organisation, abstracting from its I-organisation and its D-organisation through interstriction: we have got the essential model of the organisation.

The essential model of an organisation (1)

DEMO Awareness Lectures 2013 - L1 - slide 42 28!

actors transactions

business processes business events

business objects business facts

PRODUCTION COORDINATION

work instructions business rules

CM

FM PM

AM

The essential model of an enterprise (2)

MODELLING

Case Volley


One can become member of the tennis club Volley by sending a letter to the club by postal mail. In that letter one has to mention one’s surname and first name, birth date, sex, telephone number, and postal mail address (street, house number, zip code, and town). Adam, the administrator of Volley, empties the mailbox daily and checks whether the information provided is complete. If not, he makes a telephone call to the sender in order to complete the data. Once a letter is complete, Adam writes an incoming mail number and the date on the letter, records the letter in the letter book, and puts it in a folder. Every Wednesday evening, Adam takes the folder to Eve, the secretary of Volley. He also takes the member register with him. If Eve decides that an applicant can become member of Volley, she stamps ‘new member’ on the letter and writes the date below it. She then hands the letter to Adam in order to add the new member to the member register. This is a book with numbered lines. Each new member is entered on a new line. The line number is the number by which the new member is referenced in the administration.

Volley: analysis (1)

T1/rq

T1/pm



Next, Eve calculates the fee that the new member has to pay for the remaining part of the calendar year. She asks Adam for the annual fee, as decided at the general assembly, which Adam has recorded on a sheet of paper in his files. Then, she asks Adam to write down the amount in the member register. If Eve does not allow an applicant to become member (e.g., because he or she is too young or because the maximum number of members has been reached), Adam will send a letter in which he explains why the applicant cannot (yet) become member of Volley. If all applications are processed, Adam takes the letters and the member register home and prepares an invoice to all new members for the payment of the first fee. He sends these invoices by postal mail. Payments have to be performed by bank transfers. As soon as a bank statement is received, Adam prints a a card on which the membership number, the starting date, the name, the date of birth, the sex, and the residence are mentioned. The card is sent to the new member by postal mail.

T1/dc

T2/rq

T2/st

T1/st



From the analysis, two original transaction kinds can be identified: T1 membership start T2 membership payment

The corresponding product kinds are: P1 Membership is started P2 the first fee of Membership is paid


Vraag

Waarom is lidmaatschap (membership) gekozen als objectklasse en niet lid (member)?



From the description and analysis, we can identify the next persons as the initiator and executor of the two original transaction kinds: transaction initiator executor

T1 membership start applicant Eve T2 membership payment Adam applicant

The corresponding actor roles are: transaction initiator executor

T1 membership start CA1 aspirant member A1 membership starter

T2 membership payment A1 membership starter CA2 payer


Volley: Construction Model (1)

Organisation Construction Diagram

Transaction Product Table

©2012 Jan L.G. Dietz – DEMO-3 WoM Volley - slide 1

Volley: Construction Model (1)

Volley facts AT1 AT2

membership payment

membership start

T1

A1

membership starter

transaction kind product kind

T1 membership start T2 membership payment

P1 Membership is started P2 the first fee of Membership is paid

T2 CA1

aspirant member

CA2

payer

persons facts


Volley: Process Model

Process Structure Diagram

©2012 Jan L.G. Dietz – DEMO-3 WoM Volley - slide 2

Volley: Process Model

membership start

T1

membership payment

rq

rq

ac

pm

T01 T2

CA1 aspirant member

A1 membership starter

CA2 payer


www.ciaonetwork.org

www.ee-institute.com

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