How enterprise architecture leads to organisational benefits

Abstract

Enterprise architecture (EA) is an important IS management capability that has attracted much practitioner interest and has many claimed benefits. However, the mechanisms underpinning EA benefit realisation are not fully understood and have only relatively recently begun to receive research attention. Based on twenty-two expert interviews and two in-depth case studies, this theory building paper develops a new EA Benefit Mechanisms Model (the EABMM). It argues that EA benefits depend on the quality of EA service provision and are realised through three key mechanisms. First, EA helps improve IS decision-making by creating a transparent and structured decision process, by providing objective information to inform decisions, and by educating decision makers on good IS investment practices. Second, EA services help improve IS project delivery by improving project coordination through contextual awareness and by accelerating projects through guiding standards. Finally, EA services help an organisation to improve its IS platform by increasing platform alignment with business needs, platform flexibility, IS resource utilisation, and IS resource complementarity. Each of these three benefit mechanisms ultimately contributes to organisational benefits from EA, including higher return on IT investment, increased organisational agility, and competitive differentiation. The paper also highlights a conundrum in demonstrating value from EA.