VCE > Value Chain Economies: micro economies for value-chain communities ( VCC )

Key Points   

Modern Platform for VCE is::  

  1. VCE - a flexible business architecture model to run Value Chain Economies as virtual communities
  2. WEB9 = SSM, SGS, AI, SLT, STS, ODP
  3. SSM = Smart Services Management
  4. SGS = Smart Governance Services
  5. AI = AI and Machine Learning services
  6. SLT = Smart Ledger Technology replacing DLT, Blockchain
  7. STS = Smart Trust Services covers more than security and privacy
  8. SDM = Smart Data Mgt
  9. SOM = Smart Object Mgt with information, behaviors, responsibilities
  10. SEM = Smart Economic Mgt - metrics, tokens, custody, payments
  11. ODP = Open Digital Platform
  12. open-source based
  13. multi network
  14. multi cloud
  15. multi layer
  16. multi tier
  17. async
  18. event driven message workflows
  19. software defined
  20. dynamically configurable: resources, assets, workflows, solutions, services, scoped, logic, privacy, permissions, roles, parties, party types, meta models
  21. supports ASCRUM capabilities
  22. Modern Platform provides a virtual service platform to support many VSN - Value Services Networks
  23. VSNs in turn support multiple VCE - Value Chain Economies with multiple stakeholder roles & VCP - Value Chain Providers
  24. the ODP maps to cloud and other resources through virtual service layer using Kubernetes, Containers, VM services and other control solutions
  25. ODP is dependent on the base environments it's landscape covers
  26. ODP provides independence from any specific cloud or on-premise implementation
  27. Lower level cloud environments are accessed via the secure virtual service layer adapters



References

Reference_description_with_linked_URLs_______________________Notes_________________________________________________________________
vce-mgt-notes1 gdocgdoc for notes
Web5

Web5 — the successor solution architecture to Web3: adds decentralized id, data store

Web5 concepts    Web5 explained

WEB9WEB9 = Web 3 + Web 5 + 1 >> supports VCE
SSMSSM - Smart Services Managers learn to automatically handle responsibilities
SGSSGS - Smart Governance Services understand priinciples, policies, rules dynamically
SLTSLT - Smart Ledger Technology solves scope, performance, integration for use cases
STS - Smart Trust Services: deliver trusted outcomesSTS - Smart Trust Services goes beyond security and privacy for events, outcomes
AIAI - AI and ML offer smart services to automate decisions, optimize results
ODPODP - Open Digital Platform stronger platform for Web9 and VCE solutions
WEB9 WEB9 = Web 3 + Web 5 + 1
m Business Process Solution Design Tools#BarryWright-BWIM-InvestmentManagementGovernance-perfectedVCRSinvestmentdeliverymodelBWIM Investment Management Governance for Solution Delivery Process ( SDP )
m Project Tools & Documentation#BasicProjectDocumentsChecklist-SimpleSPD-SupportsBWIMSDP summary for BWIM 
DLT concepts & principlesDetails on many DLT concepts & principles in a Google doc
m.Blockchain Use CasesBlockchain Use Cases
m Blockchain Use Cases MoreMore Blockchain Use Cases


s Blockchain Opportunity Assessment - BOA

s Blockchain Opportunity Assessment - BOA#BOA-%23SDP-SolutionDeliveryProcess

How to Assess the Value of a Blockchain Solution
m Hyperledger Fabric Solution ConceptsKey Blockchain Solution Design Concepts - read before design !
m Blockchain Use Cases More#9ReasonsBlockchainProjectsFail(AndHowtoSucceed)Why Blockchain Solutions often fail
m Blockchain Use Cases More#VCRSKeystoasuccessfulcommunityDLTsolutionKeys to Blockchain Solution success

m Consulting Process

m Consulting Process#VCRS-ValueCostRiskSuccess-Keys-BarryWrightversion

VCRS > General Consulting Methodologies for Change Design and Management


STS - Smart Trust Services: deliver trusted outcomes


m TOIP Trust Over IP
m TOIP Trust Over IP#TheTrustOverIPInteractiveModel
Core Trust Principles - Operations and Governance by Layer - interactive model
DvP Delivery vs Payment Settlement ConceptsDvP concepts with HTLC designs
m MessagingMessaging services and solutions
m Blockchain Financial Services - DeFi - NFTsBlockchain Financial Services concepts and solutions
m Blockchain Regulation TrendsBlockchain Regulation Trends






Value Stream Mapping & Engineering


https://www.linkedin.com/advice/0/how-do-you-align-your-value-stream-map-customer-requirements


Aritcles on Sustainable Value Stream Models


Andrea Frosinini on EFRAG's Implementation Guidance on Value Chains





Value Chain Concepts & Mapping


Zendesk on value chain

A value chain refers to the full lifecycle of a product or process, including material sourcing, production, consumption and disposal/recycling processes.

What is a value chain?

The value chain is a business model used to examine all company activities involved in taking a product or service from idea to sellable item.

Ideally, companies can use the value chain model to strengthen their point of view and widen their profit margin—more efficiency and fewer costs.

Generally speaking, there are two ways to improve the “value” in your value chain:

  1. Increase the social value of your company and products via product quality and brand credibility so consumers will purchase more.
  2. Decrease the costs of your product and production to encourage customers to purchase more and widen profit margins.

You can also use value chain analysis to help boost profit by searching for improvements in specific activities within the sales and production lines.

By either increasing value or decreasing costs based on your company’s value chain, you create a competitive advantage in the market and hone your sales strategies.

Value chain benefits

The value chain framework enables your company to understand and analyze where cost efficiency is good or poor within the organization. When you look at your company’s value chain analytically, you can:

  • Back-up decisions regarding various business activities
  • Pinpoint areas of ineffectiveness and correct them
  • Understand the links and responsibilities between different aspects of your business
  • Optimize efficiency while lowering expenses
  • Create a cost advantage over competitors
  • See exactly where your business is succeeding

It might seem like a lot of work to review every single company activity to determine your competitive edge, but that insight makes a difference. Just as KPIs and reporting inform your sales operations and strategies, a comprehensive value chain analysis informs decisions across your entire business.

Porter’s VCA components

The VCA chart is broken into two sections: primary activities and secondary (or support) activities. Primary activities focus on the manufacturing of goods and services, while secondary activities back up primary activities:

Primary activities

    • Inbound logistics: Availability of raw materials, warehousing, and distribution (essentially, anything in your supply chain)
    • Operations: Creating products from raw materials
    • Outbound logistics: Delivery of products to customers, including warehouse, transportation, and distribution
    • Marketing and sales: All advertising and sales interactions and activities

    • Service: All forms of customer support interaction and brand credibility

Secondary activities
  • Infrastructure: Any administrative, finance, management, planning, or legal operations needed to support primary activities
  • Technology development: Any technological improvements made to existing machinery, hardware, or software in the name of supporting primary activities
  • Human resource management: The process of hiring and managing workers
  • Procurement: Purchases related to buying raw materials or any fixed assets (for example, vendor fees and selection)


Porter’s model showcases that the key to a successful value chain analysis is identifying which processes could be run more efficiently and implementing fixes in a timely fashion.

Value chain model: How to create one
If you’re looking to boost your company’s efficiency and add value to your products or services, consider creating a value chain model. Building a value chain model for your company is a repeated, four-step process:

  1. Identify the sub-activities of each of your primary activities.
  2. Identify the sub-activities of each of your secondary activities.
  3. Find links between all activities.
  4. Discover opportunities to increase value or decrease costs.

see VCE model 

s Blockchain Opportunity Assessment - BOA#BOA-KeyQuestionsforVCE%3AValueChainEconomies



VCC - Value-Chain Communities - a group of VCO ( Value-Chain Organizations )

VCCs define a logical VCE ( Value-Chain Economy ) 

VCC is a logical model on different stakeholder roles, their goals & responsibiliities within the community 

The VCE has a sustained value focus on stakeholder capitalism for all parties in the VCE micro economy model

A Good example of a VCC partner is GAPP - Genuine Alaska Pollock Producers Association

While that group has formal membership for the commercial fishing companies, the association has a stakeholder view of the VCE that includes: 

consumers, retailers, wholesalers, food processors, distributors, employees, partners, local communiites, economies, Native American Tribes and the environment.

The association works to promote & grow the industry and improve the quality and efficiency of the entire distribution channel and help support it's associated stakeholder groups.

The primary regulation governing the Alaska Pollock Fishing industry is The American Fisheries Act of 1998

The American Fisheries Act was signed into law in October 1998. The purpose of the AFA was to tighten U.S. ownership standards that had been exploited under the Anti-reflagging Act, and to provide the Bering Sea and Aleutian Islands (BSAI) pollock fleet the opportunity to conduct their fishery in a more rational manner while protecting non-AFA participants in the other fisheries.


VCO - Value Chain Organization - a sustained value focus on stakeholder capitalism

A VCO is an organization with a sustained focus built on a "stakeholder" view for a value chain that includes customers, employees, partners, communiites, economies and the environment. Look at the VCE concepts and stakeholder value mapping to see how a VCO can successfully participate in and contribute to a VCE micro economy

VCO Examples include: 


GAPP - Genuine Alaska Pollock Producers Association


https://www.futurefoodcast.io/podcast/superior-quality-sustainability-and-traceability/

Youtube interview > Craig Morris, CEO of Genuine Alaska Pollock Producers


Paramount Software Solutions

Congratulations to the sustained focus the Paramount team has had over the years to build a VCO ( value chain organization ) with a "stakeholder" view that includes customers, employees, partners, communiites, economies and the environment.

Since the year Paramount Software Solutions was established, Pramod Sajja, our Founder and CEO, envisioned a company that not only excels in its market space, but also focuses on innovation to make this planet a better place for all its people.

https://www.linkedin.com/posts/paramount-software-solutions_companiesthatcare-peoplemagazine-greatplacetowork-activity-7232012758479777792--TN9?utm_source=share&utm_medium=member_desktop



People article on VCOs 

VCO-2024-Peoples 100 Companies that Care in 2024.pdf  link

VCO-2024-Peoples 100 Companies that Care in 2024.pdf. file


VCE Concepts & Mapping


A VCE is a logical community of independent parties forming an economic model with goals, roles, relationships between the parties defined formally and informally.

As the performance, roles, goals change and mature, the resulting relationships also change 

Changes in market leadership follow ( eg Netscape > Microsoft Internet Explorer > Google Chrome > ?? )


Each organization ( or business ) has 1 or more roles in the community and has:

  1. operates a business model
  2. has business opportunities and threats
  3. has business strategies
  4. has business plans
  5. has business operations
  6. has business performance against goals

VSDP - Value-drive Solution Delivery Process: Discover > Define > Deliver > Improve > Monetize


"99% of the world's weath started from the same source - the discovery of a common problem" - Jim Mason

"the other 1% won the lottery" - Jim Mason

The process to define your part in a VCE has these key steps for success: 

Discover your value opportunity in the VCE

Define your value opportunity in the VCE

Deliver on your value opportunity in the VCE

Improve on your value opportunity in the VCE

Monetize your value opportunity in the VCE


Key Concepts


VCE Foundations


BWI BEP - Business Excellence Process Management

BWI: Barry Wright BEP - Business Excellence Program

SDP >> Areas to Manage on SDP - Solution Delivery Process

B - EAIRG - Business Events, Activities, Investment, Returns, Governance

P - EAIRG - Project Events, Activities, Investment, Returns, Governance

T - EAIRG - Technical Events, Activities, Investment, Returns, Governance


SOM >> Areas to Manage on SOM - Solution Operations Management

B - EAIRG - Business Events, Activities, Investment, Returns, Governance

O - EAIRG - Operations Events, Activities, Investment, Returns, Governance

T - EAIRG - Technical Events, Activities, Investment, Returns, Governance


Consensus VCRS = Value > Cost > Right > Success Keys

The #BWC version > Nat Caruso

  • Values = what's the net value for all stakeholder groups for the solution scope?
  • Costs = what are the actual, expected, intangible costs for all stakeholders for the scope?
  • Right = What does it take to do this Right?  This is a lot larger challenge then simple risk management
  • Success = What support do you need from me ( your manager ) to succeed? What are the success keys for the deliverables in scope?


GAPP - Genuine Alaska Pollock Producers - 

GAPP - Genuine Alaska Pollock Producers - food cast - Craig Morris 

Craig Morris leads the GAPP organization

It is an architected VCE focused on a sustainable VCE model with all stakeholder groups part of the solution

GAPP provides not only a context, goals but also clear metrics to support continuous improvement of the community and consumer value


Modern Solutions

  • Use Modern Technologies
  • are delivered by Modern Teams, Processes and Tools
  • deployed by Modern Deployment
  • to run on Modern Platforms 
  • managed by Modern Operations


common access model for transactions


networks > topologies > protocols > directories > services > metadata > interfaces > profiles > routes > connections > authentication & authorizations > sessions > planes ( control, request, data ) > domains > governance > namespaces > requests > workflows > policies > trusts > data > decisions > events > transactions > object updates > formats > results > history
all requests are: async, batch processed


Value Streams and Value Stream Mapping


https://www.investopedia.com/terms/v/valuechain.asp

A company conducts a value chain analysis by evaluating the detailed procedures involved in each step of its business. The purpose of a value chain analysis is to increase production efficiency so that a company can deliver maximum value for the least possible cost.

KEY TAKEAWAYS

  • A value chain is a step-by-step business model for transforming a product or service from idea to reality.
  • Value chains help increase a business’s efficiency so the business can deliver the most value for the least possible cost.
  • The end goal of a value chain is to create a competitive advantage for a company by increasing productivity while keeping costs reasonable.
  • Value chain theory analyzes a firm’s five primary activities and four support activities.


#BVM - Business Value Model - reusable model that lowers time to market

a BVM COULD be derived from a VCE model


Infotech on a Business Value Model Process

VSDP-infotech-it_Map_Your_Business_Architecture_to_Define_Your_Strategy_Phases_1_3.pdf.  link

VSDP-infotech-it_Map_Your_Business_Architecture_to_Define_Your_Strategy_Phases_1_3.pdf file






Potential Value Opportunities


m Consulting Process


sth #bdc

There are standards, best practices and guides for each area


Better Business Management


Solution Delivery Capability Management


Service Delivery Capability Management


Customer Success Capability Management






Jim Mason on Value Chain Impacts from Responsible Forest Management

jmason-EU-environment-reporting-and-forest-impact-metrics.pdf  link

jmason-EU-environment-reporting-and-forest-impact-metrics.pdf. file

V1 - European Sustainability Reporting Standards (ESRS): A Comprehensive Report 3
1. Introduction 3
2. Purpose and Value 3
2.1 Purpose 3
2.2 Value Provided 3
3. Responsibility for Implementation, Operation, and Governance 3
3.1 Implementation 3
3.2 Operation 3
3.3 Governance 4
4. Examples of Organizations Implementing the Standards 4
4.1 Unilever 4
4.2 Siemens 4
4.3 BNP Paribas 4
5. Key Features of the Standards 5
6. Key Risks to Manage 5
7. Key Factors for Success 5
8. Conclusion 6


Andrea Frosinini on EFRAG's Implementation Guidance on Value Chains

I recently delved into the EFRAG IG 2: Value Chain Implementation Guidance, released in May 2024, which provides essential insights into navigating the European Sustainability Reporting Standards (ESRS) in the context of corporate sustainability.

Key highlights include:

1. Comprehensive Scope: The guidance emphasizes that sustainability statements should encompass all material impacts, risks, and opportunities (IROs) related to both upstream and downstream value chains, moving beyond just the company's own operations. This broader perspective is crucial for a more accurate depiction of a company's sustainability footprint.

2. Materiality Assessment: It stresses the importance of identifying material IROs within the value chain, taking into account relationships beyond direct contracts. Companies must ensure their materiality assessments effectively capture the nuances of their entire value chain, allowing for a thorough understanding of potential impacts.

3. Policies and Targets: Organizations are required to disclose relevant policies, actions, and targets concerning their value chains. This transparency not only enhances accountability but also demonstrates a commitment to sustainable practices throughout the supply chain.

4. Estimation of Data: The guidance acknowledges challenges in data collection from value chain actors and encourages companies to make reasonable estimates when primary data is unavailable. This pragmatic approach supports firms in fulfilling their reporting obligations while acknowledging the complexities of global supply chains.

5. Transition Period: A transitional phase allows companies to gradually adapt to these reporting requirements, underscoring the EFRAG’s commitment to easing the implementation process for businesses, particularly small and medium-sized enterprises (SMEs).

As we move towards a more sustainable future, this guidance will be vital for companies aiming to enhance their reporting practices and align with EU sustainability objectives. Understanding and integrating these insights will empower organizations to create more responsible and transparent value chains.


EFRAG IG 2: Value Chain Implementation Guidance.pdf.  link 


ReImagine Financial Services - Value Chain Economy running on a Open Digital Platform

A Value Chain Economy of organizations and stakeholders operating solutions that are:

  1. Understood
  2. Valuable
  3. Distributed
  4. Trusted
  5. Governed
  6. Efficient
  7. Effective
  8. Regulated
  9. RAS - Reliable, Available, Serviceable







DeFi disrupted by ReFi ( Reimagine Finance ) with VCE, ODP, AI, SLT, STS

  1. DeFi only fits a small part of the financial world ( P2P Bitcoin )
  2. ReFi ( Re-imagine Finance ) fits over 90% of the financial world of tomorrow
  3. Re-imagine DLT differently as a flexible proof system to build better trust for counter party networks ( not your father's Bitcoin blockchain )
  4. ODP is an Open Digital Platform ( an FMI - Financial Market Infrastructure ) with modern services
  5. AI and Machine Learning can improve decision making, optimization with faster learning for specific use cases
  6. SLT - Smart Ledger Technology replaces DLT overcoming limitations on performance, scope, integration
  7. STS - Smart Trust Services go beyond simple security, cryptography to embrace ALL opportunities to improve trust in a VCE for all stakeholders, use cases
  8. Using DAN and a ReFi process new Value Chain Economies evolve from existing financial solutions that have comprehensive capabilities and better results





Conceptually this is similar to ReFi - Reimagining Finance as a combination of Defi, Classic Finance ( CeFi ) and Web3 adding some new models for VCE ( Value Chain Economies ) on DAN ( Digital Asset Networks ) and expanded trusts beyond just DLT and security.

Beyond the Finance / DLT world, similar work happens in other domains. MOBI is implementing ITN ( Integrated Trust Network ) building on some earlier standards work in MOBI ( Vehicle Identity, Connected Mobility Data Market etc ). Beyond technology, all solutions begin with standards, regulations, governance ( STEAR ), identity, credentials, consent management.

It's time to rethink some core limiting assumptions built into DLT which is why RLN and my focus on SLT ( Smart Ledger Technology ) both open some new doors.



VCE - Value Chain Economies are Communities in both the Digital and Real Worlds


VCE solutions run on:

  • Financial Solutions
  • Financial Network Services
  • Open Common Platform Services
  • Virtual Cloud resource layer
  • VSLN - Virtual Smart Ledger Networks

VCE expands over other DLT models:

  • extends concepts of DAO ( Decentralized Autonomous Organizations )
  • extends concepts of RLN ( Regulated Liability Network )


VCE solutions can operate on VSLN - Virtual Smart Ledger Networks

STS - Smart Trust Services: deliver trusted outcomes#,VSLN%20%2D%20Virtual%20Smart%20Ledger%20Networks,-VSLN%20concepts


Standard Interfaces for Service Implementations ( SI2 ) for each Service Layer

Services define standard interfaces for consumption by service clients

Services define adapters for custom service implementations


Value Chain Engineering Solution Process

STS - Smart Trust Services: deliver trusted outcomes#SmartTrustServices%3Adeliverbettertrustforbetteroutcomes-VCESolutionProcessforVSLN(VirtualSmartLedgerNet)



Value Chain Engineering is a sustainable governance model to deliver solutions aligned to Cutomer value

  1. Customer-centric or Business-centric model to deliver solutions that align to customer and community value ( vs product oriented )

  2. Align Client value to Business strategies & capabilities,  Align Business capabilities to IT strategies & capabilities
  3. Continuous cycle of
    Clients using solutions  > assessing value > defining new opportunities, strategies, capabilities > map to solutions > delivering new solutions

  4. VCE stakeholder metrics cover:  VCRS - Value, Costs, Risks, Success Keys planned & realized


Given a business use case with

    • A regulated community of stakeholders operating in various roles
    • A permissioned business virtual smart ledger network with consumer and provider roles 
    • Goals, scope, constraints, policies, governance, economics and regulations
    • Events, processes, trusts, contracts, transactions, data, ledgers, services, decisions, ABC parts

  • Clients 
    • Set use cases, roles, outcomes, value streams, needs, requirements > search- find- use solutions

  • Providers
    • Use use cases, user value streams > solution strategies > capabilities > offer products & services

VCE continuous process

  1. analyze & measure the client value streams
  2. define solution strategies
  3. enable solution capabilities that support the strategies
  4. deliver solutions ( products & services ) that fulfill the capabilities required
  5. so clients can use them to realize value




Assessments integrate Clients and Providers on Solution Engineering


CMP - Capability Maturity Program


Capability Assessments

Based on defined client user cases and related value chains and streams defined,

the solution strategies define the requirements, opportunities and manage the challenges

A capability assessment includes:

a capability profile, supported use cases, enterprise features & NFRs, client feedback, implementing solutions



Solution Assessments

Based on defined client strategies and capabilities defined, 

a solution assessment defines how the solution supports required features, capabilities

A solution assessment includes:

a solution profile, supported use cases,  supported capabilities, enterprise features & NFRs, client feedback, client usage data, support experience




Use Assessments in Value Chain Engineering ( VCE )

Use Solutions >> Clients Realize Value

Use Value Streams, Strategies, & Capabilities

To create Solutions and realize Value by clients

Capability & Product Assessments help clients & providers: 

  1. ID if capabilities, solutions are ready for client use cases
  2. ID the best solution for a client use case & capability
  3. ID where to invest in capabilities & solutions
  4. Where solutions overlap for a capability
  5. Where reuse opportunities exist for solutions and a capability
  6. ID the maturity level of the capability and solutions
  7. ID candidate remediations for capability, solution gaps


Define Assessments in Value Chain Engineering ( VCE ) 

Define Solutions = Continuous Process

Value Chain engineering = sustainable solutions process

Use Value Streams, Strategies, & Capabilities


To create Solutions that can realize Value for clients

  1. Assess current strategies, capabilities, solutions results
  2. Assess value gaps for strategies, capabilities, solutions 
  3. Automation adds usage, issues on assessments
  4. Set new strategies, capabilities, solutions with target results
  5. Clients test new capabilities, solutions
  6. Clients give assessment feedback on capabilities, solutions
  7. Providers update strategies, capabilities, solutions
  8. Providers release new strategies, capabilities, solutions





Align Value Stream Maps to Customer Requirements

https://www.linkedin.com/advice/0/how-do-you-align-your-value-stream-map-customer-requirements



Map Requirements to IT Capabilties


 

 

Oversight of Financial Market Infrastructures by the Federal Reserve

https://www.federalreserve.gov/paymentsystems/over_about.htm

Financial market infrastructures (FMIs) play a critical role in the U.S. and global financial system. FMIs are multilateral systems among participating financial institutions, including the system operator, used for the purposes of clearing, settling, or recording payments, securities, derivatives, or other financial transactions. These systems include payment systems, securities settlement systems, central securities depositories, central counterparties, and trade repositories. Such FMIs often give rise to risks and interdependencies among financial institutions both within and across national borders, creating the potential for widespread financial disruptions if an FMI fails to perform as expected. Central banks, with their mandates for macro-economic stability, are particularly interested in the smooth functioning of these FMIs and their strong and robust oversight.

The Federal Reserve supervises and oversees certain FMIs under several authorities and in several contexts.

Principles for Financial Market Infrastructures (PFMI)

https://www.bis.org/cpmi/info_pfmi.htm

The Principles for financial market infrastructures are the international standards for financial market infrastructures, ie payment systems, central securities depositories, securities settlement systems, central counterparties and trade repositories. Issued by the CPMI and the International Organization of Securities Commissions (IOSCO), the PFMI are part of a set of 12 key standards that the international community considers essential to strengthening and preserving financial stability.

In addition to these standards, the CPMI and IOSCO have published a number of related documents and further guidance on how to implement the standards


VCE runs in the business layer as a Value Chain Economy, maps to the operations layer nodes

  1. A Digital Asset Network based on DLT is managed by a Consortium organization providing governance, operations, compliance and economic value
  2. the Network layer can be implemented as nodes ( physical or virtual ) for layers 1 & 2. 
  3. Layer 3 can be implemented logically vs physical nodes if that implementation fits the use case better


DAN - Digital Asset Network is a conceptual Financial Market Infrastructure ( FMI )

The diagram below shows Business Digital Communities running on a conceptual Financial Services Network

Key Features for the Open DAN - Open Digital Asset Network:

  • Features are segregated into service layers:  
    • VCN - Virtual Cloud Network provides a common infrastructure interface instead of consuming directly from individual cloud platforms
    • ODS - Open Digital Services provides a suite of technical services consumable across the VCN layer many of which are Enterprise Open Source services
    • FSF - Financial Services Features are a common set of financial services that can be reused by multiple solutions or directly consumed by businesses
    • FAS - Financial Application Solutions can be consumed by businesses enrolled in a community
  • The Capabilities listed are defined differently by layer
    • The economic incentives and costs to operate the ODP layer are different than the incentives and costs to operate the FAS layer for example
    • The regulations and governance that apply to the VCN layer are different than the regulations and governance for the FSF layer
  • The simple Business Operations view for Bank A
    • The top section is a simple view of multiple business communities with a focus on the Payment community
    • From a client focus ( Bank A ) uses the FSN by joining the FSN, enrolling in the payment community and then sending payments locally or cross border

Key question for FSN - who finds, uses, owns, controls, governs, operates, manages, pays for EACH layer in the FSN?




Some Key Concepts on DAN


Key - Define the stakeholder groups, their roles and the VCRS model for each group in the target communities

q>> what is the value proposition for each group, role in the solutions and platform?


Key - Define the key solutions and related business use cases in scope for the platform solutions and services

model as BDD

create executable BDDs using Expando DSL, JEPL, Karate,

create generator for Plantuml DSL files to show diagrams automatically from code



Key - Define Each stakeholder group role for the solution and the platform capabilities


Key question for FSN - who finds, uses, owns, controls, governs, operates, manages, pays for EACH layer in the FSN?

Who finds the solutions and platform? How ? Why ?
Who uses the solutions and platform? How ? Why ?
Who owns the solutions and platform? How ? Why ?
Who controls the solutions and platform? How ? Why ?
Who governs the solutions and platform? How ? Why ?
Who operates the solutions and platform? How ? Why ?
Who manages the solutions and platform? How ? Why ?
Who pays the solutions and platform? How ? Why ?

For each of these questions and stakeholder groups, identify the VCRS
- Value, Cost, Risks and Success Keys - for that group and role in the solutions and the platform

Why are these solutions, this platform the best alternative for the stakeholder groups to use?


Key - Segregation of Services & Responsibilities into Layers to improve reuse, lower platform costs & risks and adapt to change


Key - Separation of Business Logic from Platform Service Software

look at business rule and policy engines that allow business users to own business logic ( see JEPL DSL concepts )


Key - Integrate all processes with Global Event Management Services - GEMS

GEMS - Global Event Management Services integrates the majority of capabilities in each layer

Think IBM I CPF9898 that is distributed across message queues on all platforms for all layers - WOW ! > dynamic global event driven behavior


Key - Define a valid economic model to operate each layer based on stakeholder roles, value, costs, risks, success keys ( VCRS )

Look at token types for:

payment ( p tokens ) and their mapping to supported crypto types

utility ( u tokens ) for rewards and fees on the solutions and platform 

assets ( a tokens ) digitized assets represented by fungible tokens ( CBDC or stablecoins ) and non-fungible tokens ( art work etc )


Key - Given the business use cases, economic model and services, define the data and trust models

for each use case, who are the counter parties?  what data do they share? how? what trusts are needed?

the data model is derivative from the use cases, economic model and services

the trust model defines the trusts required for all features and capabilities in the system based on the parties roles

( is the asset a valid digital asset?  is the transaction approved by the correct party? etc )


Key - Define Services in each layer as metadata and access via component registries for easy composition, smart runtimes


Key - Common Standards to Operate Platform Services at each layer


Key - Rethink Key Performance Bottlenecks as concurrent asynchronous services to improve throughput and capacity at each layer


Key - Transparent Governance to govern each layer



Key - use 3 B sourcing model to provide capabilities - Borrow, Buy, Build

borrow from existing internal assets that can be reused or repurposed productively

borrow from enterprise open source projects

buy if the product is priced reasonably for the value, it's based on open standards and can be isolated from the client services using wrappers or adapters to minimize future migration costs and risks

build if the other options don't work


Consider EOS ( Enterprise Open-Source ) solutions first - lower cost, better portability


Some EOS alternatives to AWS to provide lower costs, better portability and parity across platforms

https://github.com/guenter/aws-oss-alternatives



Key - Use of Enterprise Open Source software where feasible

The dual license or an open source foundation license are preferable.

Enterprise Open Source solutions are often have a Community-Edition open-source version and license that provides almost all core features and capabilities. The corresponding Enterprise version builds on the Community edition and adds key usability features, more integrations and better commercial support to fit enterprises needed quality production service capabilities.

Key - Follow the Software Architecture Themes to improve quality, flexibility, value delivered with lower risk

see m Enterprise Architecture

m.Enterprise Architecture and Services

m Data Architecture


Other Platform Concepts

Modern Solutions

Use Modern Technologies

are delivered by Modern Teams, Processes and Tools

deployed by Modern Deployment

to run on Modern Platforms 

managed by Modern Operations



common access model for transactions

networks > topologies > protocols > directories > services > metadata >  interfaces > profiles > routes > connections > authentication & authorizations > sessions > planes ( control, request, data ) > domains > governance > namespaces > requests > workflows > policies > trusts > data > decisions > events > transactions > object updates > formats >  results > history

all requests are:  async, batch processed



Value Chain Engineering Concepts for VSLN - Virtual Smart Ledger Networks



VCE Operations Models 


Models


  1. Parties with Identities
  2. Operations Roles
  3. Economic model
  4. Community Sustainable Engagement
  5. Governance model
  6. Regulatory model
  7. Network Platform model
  8. Standards 
  9. Services models by layer:   application > financial > technical > network > security
  10. Operations process model
  11. Trusts model
  12. Decisions model
  13. Events model 
  14. Technical Architecture

VCE Service Capabilities support Consortium Models


VCN Service Registry covers:


Consortium Services 

Governance Services

Regulatory Services

Gateway Services

Protocol Services

Network Services and Connections

Micro Profile Services

Communication Services and Protocols

Container Services

Directory Services

Registry Services

Metadata Services

Master data Services

Data Services

Data Analytics Services

Identity Access Management Services

Discovery Services

Event Management Services

Workflow Orchestration Services

Asset Services

Token Services

Entity Services

Transaction Services with Signatures

Messaging Services

Smart Contract Services

Governance Services

Monitoring Services

Management Services

Proxy Services and Aliases

Documentation Services

Policy Management Services



ODP Technology Capabilities


RDD for use case requirements

CDD for object services capabilities

FDD for feature driven design to enhance object services to meet RDD


Design Factors for VCE to model

Members, Roles, Identity, Authorizations, Access


Domains

Use Cases

Objects

Process

Technologies

Services

Trusts

Decisions

Events




SDP Life Cycle


Circular process to manage a Community Solution Space


Operations Plans

Operations Metrics

Operations Results 

Opportunities for Improvements

Opportunity Value Assessments

Opportunity Designs

Opportunity Plans

Opportunity Investments

Opportunity Delivery

Solution Implementation

Solution Operation

Solution Support




Potential Challenges



Dependencies for virtual ODP and DLT solutions


For a given virtual environment:


virtual cloud operations management

global event management

global metadata management services

global remote process management ( via API, DLT, GRPC, P2P, Sockets etc )

accepted standards for event management, DLT interoperability, RPM, cloud operations, regulations



Candidate Solutions



DLT use cases that can add value, not risk


DLT as an accurate data ledger ( provenance, proof historical data not changed )


DLT as an automated enforcement of contract terms between parties


DLT as a multi-party data validation system


DLT as a data distribution system



DLT as a Reference Architecture


inter-organization use cases



intra-organization use cases

generally less likely to add value where the organization is seen as a central. trusted source of truth











Step-by-step guide for Example



sample code block

sample code block
 



Recommended Next Steps