Melvin Edward Conway, an American computer scientist, coined a law that generally guides the design of the applications built by an organization.
Any organization that designs a system (defined broadly) will produce a design whose structure is a copy of the organization's communication structure. – Melvyn Conway 1967
An important aspect of the law that should be noted is that the communication structure mentioned in the law is not the same as organizational hierarchy but rather how the various teams in the organization communicate with each other. For instance, an e-commerce company might have a product team and an invoicing team. Any application designed by this organization will have a product module and an invoicing module that will communicate with each other through a common interface.
For a large enterprise with many communication channels, the application architecture will be very complex and nearly impossible to maintain.
Using the law in conjunction with principles of domain driven design can actually help an organization enhance agility and design scalable and maintainable solutions. For instance, in an e-commerce company, teams may be structured around the domain components rather than the application layers that they specialize in, for instance, user interface, business logic, and database:
Team structure for Microservices development
Since the domains are clearly defined, the teams across domains will not need to interact too frequently. Also, the interfaces between teams would not be too complex and rigid. Such team layouts are commonly employed by large organizations such as Amazon, where each team is responsible for creating and maintaining a part of a domain.
Note
Amazon practices the two-pizza rule to limit the size of teams. According to the rule, no team can be larger in size than what two pizzas can feed. Amazon also does not practice heavy communication between teams and all teams are required to communicate with each other through APIs. For instance, if the marketing team needs statistical data from a product team, they can't ask them for it. They need to hit the product team's API to get the data.
Microservices work better when coupled with the principles of domain driven design rather than communication channels. In the application architecture that we designed earlier, we could have ignored the domains of the application and classified teams by communication structure; for instance, two Microservices may be created, each of which handles product listing and product inventory. Such a distribution might lead to each of the teams to develop components independently of each other and will make moving functionalities between them very difficult if the communication hierarchy changes, such as when the two services need to be merged.