[[Enterprise Architecture as a Strategy]] defines `operating models` as: > [!cite] Operating Model > The necessary level of business process **integration** and **standardization** for delivering goods and services to customers. > _- Enterprise Architecture as a Strategy_ There are metaphorical sliders for integration & standardization, the extremes of both ends are problematic. The set points should be carefully selected (by way of what actions you take), and those [[Paved Roads]] should be recognized & leveraged as assets for the business. > [!tip] Definitions > **Integration**: the extent to which business units utilize the same **data** > **Standardization**: the extent to which business units utilize the same **processes** There are [[Four Types of Company Operating Models]], based on having high or low integration and standardization levels. Tons of Integration: - 👍 Enables better end-to-end connectivity - 👍 Increases efficiency of the status quo - 👎 Requires shared understanding of data across business units - 👎 Change management becomes more complex Tons of Standardization: - 👍 Efficiencies created across business units - 👍 Reduction in variability - 👎 Limits localized efficiencies that could be had - 👎 Reduces the capability to innovate at the edges **** # More ## Source - [[Enterprise Architecture as a Strategy]] ## Related - [[Foundation for Execution]] - [[Standard Processes]]