Architecture is an important discipline these days. In information technology (IT), the title of Chief Architect is now viewed on the same level as that of Chief Technology Officer and other C-level officers. The IT architect has become strategically important in large organizations where the complexity, cost, and lack of interoperability of IT systems pose major challenges.

The discipline of managing IT resources has become very complex. The Clinger-Cohen Act of 1996 mandated that all federal agencies institute the role of CIO to oversee and manage procurement and architecture of IT systems. Today, architecture is a charged word. The concept of service-oriented architectures (SOAs) has focused attention on architecture and the notion of governance, which is essential for managing IT architecture.

However, architecture in the manufacturing world can be viewed from a richer and more diverse perspective. In this realm, there are many architectures that are critical to the enterprise: the architecture of the product, the manufacturing process, the supply chain, the business, and the IT components that weave through all of these. There is also an industry architecture, composed of the relationships among competitors, suppliers, and customers.

Consider product architecture for a moment. The very composition of products has dramatic implications for the cost, value chain participants, and supply chain structure of those products. In fact, the architecture of products within and across industries often sets the stage for how various firms will compete with one another. Think about the ramifications of the shift from tightly integrated products to modular products, and the increased use of outsourcing partners for design, production, and ultimately distribution and sales. What if IBM hadn't designed the PC with a modular architecture? Would IBM have retained control of the industry it created?

The relative modularity of product architectures has a major impact on product design, cost, the role of suppliers to OEMs, as well as the location of value within a given supply chain. There is a cyclical dynamic at work here: vertically integrating value chains and then modularizing them to involve more value chain partners based on product architecture, the structure of supply chains, and the nature of competition within the industry.

Moreover, product architectures have a direct bearing on the manufacturing process needed to create them. In addition, product architectures shape the corporate and organizational structures, internal business processes, and communication models necessary to manage disciplines such as product design and development, sourcing and manufacturing, and distribution, sales, and support.

One could argue that product architectures determine the overall structure of a manufacturing organization. Think about it: A product idea is conceived and a company is formed to manufacture and market that product. The initial product idea -- its architecture -- determines the suppliers, their interactions with the company, the manufacturing process associated with it, the cost of the supply chain, and the sales and service of the product. It even plays a major role in determining how companies compete with one another.

And, of course, product architecture also influences the IT architecture devoted to its creation. Hmm... Perhaps that means IT should report to the Chief Product Architect?