Quantifying Enterprise Coherence: A Design Based Comparison of Calculation Methods

Coherence between various enterprise facets is essential for optimal performance. A quantitative expression for enterprise coherence has therefore the opportunity to function as a leading indicator for enterprise performance, but is currently lacking. This research focuses on the quantification of ‘enterprise coherence’, in order to aid enterprise architecture governance and realize more sustainable enterprises. The Enterprise Coherence Index (the EC-index) to measure enterprise coherence is proposed. Design development of the EC-index is guided by a well-established design science methodology. One of the identified components of the EC-index is an enterprise coherence calculation engine. The enterprise coherence calculation engine requires a quantification method in order to calculate coherence. Quantification models from different domains exist. Four different candidate quantification models are selected, and the selection is made plausible through a literature overview based on key search terms. All approaches are based on a graph model. For the domain of the enterprise a bipartite network of ‘direction statements’ versus enterprise decisions is chosen. To aid in developing the EC-index, quantification methods are compared with data from two historical cases. It is shown that some models can already be eliminated based on these cases, and that other methods can be unified. It will be shown that coherence contribution of individual decisions can be expressed as a number, based on their supportiveness of the enterprise’s purpose. This paper aims to contribute to the domain of governance and policy modeling as well as to organizational decision making.