Data Academy · Layer 2 · Understand & model

Logical Enterprise Model

The industry value chain and process hierarchy, mapped to data domains, personas, decisions and actions.

Lesson 4 of 17 · Find it on the platform map

01 What it is

What this layer does

The Logical Enterprise Model describes how the business works, from the industry value chain down through L1 value chains, L2 processes, L3 sub-processes and L4 activities and use cases. Each level is then mapped to the data domains it uses, the personas who carry it out, the decisions taken and the governed actions allowed.

02 Concepts

Four ideas to hold on to

1

Process hierarchy

Breaking the business into levels, from value chain to process, sub-process and activity. Each level adds detail while staying linked to the one above.

2

Value chain

The sequence of activities through which an industry or enterprise creates value for its customers. It is the top of the hierarchy and the frame for prioritising work.

3

Process-to-data mapping

Linking each process or activity to the data domains it reads and writes. It shows which data matters to which part of the business.

4

Governed action

An action an activity is permitted to take, recorded with its rules. Mapping actions to activities sets the bounds within which people and agents can act.

03 In SCIKIQ

What the layer contains

Industry value chainL1 value chainsL2 processesL3 sub-processesL4 activities and use casesMapping to data domainsMapping to personasMapping to decisionsMapping to governed actions

04 What good looks like

Signs it is working

  • Every L4 activity traces upward to an L3 sub-process, L2 process and L1 value chain.
  • For any process, the data domains, personas and decisions involved can be listed.
  • Each use case is attached to the activity it supports, so duplicates are visible.
  • Every governed action is linked to the activity and persona permitted to perform it.

05 Diagnostics

Questions to ask your team

  1. 1

    Can we show which of our processes each major data or AI initiative supports?

  2. 2

    Which decisions in our core value chain have no clearly mapped data behind them?

  3. 3

    Are we modelling to L4 where it matters, or stopping at a level too high to act on?

  4. 4

    Which actions should be governed, and who decides what is allowed at each activity?

06 Keep going

Related reading

— Questions

Frequently asked

Why is it called logical?

It describes the business independently of any system or database. The link to physical systems is made later, so the model stays stable when technology changes.

Do we have to model every process down to L4?

Not at once. Detail is usually added where use cases and decisions need it, while the upper levels give the full frame.

How does this model relate to AI agents?

Mapping activities to decisions and governed actions sets what an agent working in a process may decide or do, and under which rules.