Faculty & Research
Architecture Matters: From Service-oriented to Data-Oriented Architecture
09 Jan
2026
10:00 am - 11:30 am
Jouy-en-Josas
English
Participate
Information Systems and Operations Management (ISOM)
Speaker: Youngjin Yoo from LSE (London School of Economics and Political Science)
Room Bernard Ramanantsoa
Abstract
"Layered modular architecture (LMA) has been instrumental in driving generative innovation by enabling the recombination of system-agnostic digital modules across layers, facilitating unprecedented creativity and scalability in digital platforms. However, as these platforms mature, the locus of value creation has decisively shifted from service-centric to data-centric, fundamentally altering the dynamics of value creation and capture. This shift has resulted in what I term architectural value misalignment, where the architecture remains service-centric even as value creation becomes increasingly data-centric. I argue that this misalignment is the primary source of the negative externalities associated with digital platforms, including privacy violations, monopolistic control, and inequitable value distribution. To address these challenges, I propose a paradigm shift toward a data-oriented architecture, where data remains decentralized with its rightful owner, preserving residual control rights over digital assets. Unlike centralized LMAs, where service providers aggregate and control user data and profiles, decentralized LMAs deploy services and models directly to the data. This reimagined architecture introduces additional layers for user identity, personal data, and the separation of models from the service layer, ensuring secure and equitable interactions. The proposed framework provides a foundation for mitigating negative externalities while preserving the generative potential of modular innovation. I conclude with implications for future IS research on digital innovation, emphasizing the need for novel approaches to governance, architecture, and the equitable distribution of value in digital ecosystems."