Redesigning the Australian Digital Health Agency’s Operating Model

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The Challenge

The Australian Digital Health Agency (ADHA) delivers digital healthcare systems and the national digital health strategy for Australia. To operate as effectively as possible, it sought to eliminate capability duplication, uplift its corporate capabilities and facilitate new ways of working.

ADHA engaged the E&A team to ensure all business areas were aligned, working together and operating efficiently.

Designing the Business

To model how ADHA produces value for its stakeholders and identify the capabilities required to realise this value, we leveraged existing materials, such as ADHA’s strategic plan and related documents, and engaged with business areas.

We used business motivation models and business operations models to produce a holistic and integrated view of ADHA’s business capability requirements.

We also produced a view of the target state needed to achieve them.

Designing Value Creation

We identified information management as critical to delivering value to stakeholders. With this in mind, we then assessed the end-to-end value chain for areas in which information management was a required capability. We also assessed the maturity of each work area to manage information.

We worked closely with ADHA business users to engage them in the business architecture journey.

Users validated value chain maps and helped to identify capability gaps and overlaps.

Operations Modelling

The value chain assessment guided the development of a roadmap to support ADHA’s investment decisions. This informed a sourcing strategy to achieve the target operating model. The sourcing strategy was flexible enough for the market to educate the ADHA on the most effective ways to achieve outcomes and was scoped to ensure business objectives could be met.

Transformation Modelling

We drew on our technical and business expertise to design a modular business that is agile, responsive and can adapt well to change. We focused on demonstrating the relationships between individual components and highlighting meaningful insights that could inform investment decisions.

Using contemporary tools and frameworks, we designed a simple and clear target operating model. This ensured the model was easy to maintain, sufficient to guide investment and valuable over the long term.

The Benefits

The target operating model now supports ADHA’s business objectives, capabilities and delivery approaches. With the model in place, its business needs are better considered in sourcing decisions.

ADHA has benefited from increased responsiveness and agility, less duplication and reduced ICT complexity.

The operating model has also demonstrated the need for a change program to strengthen its core capabilities.