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Business Architecture
Definition
Business Architecture is the structured representation of how an organization creates value through its capabilities, processes, governance, organizational structure, information, and strategic objectives. It provides a holistic view of the business independent of specific technologies, enabling leaders to understand how different parts of the organization interact to support long-term strategy.
Business Architecture identifies the organization's core capabilities, customer value streams, business functions, information requirements, organizational relationships, and strategic priorities. Unlike an organizational chart, which describes reporting relationships, Business Architecture describes how the business operates as an integrated system.
The discipline serves as a bridge between Business Strategy and Enterprise Architecture by translating strategic objectives into operational capabilities and organizational design. It supports transformation initiatives by identifying capability gaps, duplicated activities, inefficient structures, and opportunities for simplification.
Business Architecture evolves continuously as organizations expand into new markets, develop new capabilities, adopt emerging technologies, or redesign their operating models.
Why It Matters
Organizations often implement change without understanding how one area affects another. Business Architecture provides a structured view of the enterprise, improving strategic alignment, transformation planning, investment prioritization, and long-term organizational effectiveness.