Today’s service-oriented organizations must embrace variation and learn to adapt to an externally driven environment. They also must deal with increasing complexity among entities business processes, internal/external organizations, enterprise software and assets. We refer to enabling methods, such as Adaptive Complex Enterprise (ACE) architecture. The holistic ACE architecture here is based on complete dynamic performance traceability of interacting entities as they produce value. The architecture is operationalized through the related co-engineering methodology of this chapter. With traceability, the business agents have the information for decision-making and adaptation, using information technology (IT) as needed. The unified business-IT architecture approach here is easier than applying a plethora of disconnected business, system engineering and IT frameworks. We use examples to show the resulting analysis for continuous improvement both in the immediate and longer time frames. Benefits occur from the roles of all stakeholders—the business, internal, and external organizations, as well as IT.