Moving on in Service Management - Real ITSM Brian Scott & Chris Finden-Browne March-26
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1 Moving on in Service - Real ITSM Brian Scott & Chris Finden-Browne 2012-March-26
2 Introduction Information Technology is continually moving forward - whether infrastructure, application or delivery model. Service underpins how these components combine to deliver business value. ITSM itself needs to move forward in line with these. This session will discuss the core concepts and structures of ITSM, and the maturity stages required to match increasingly demanding business needs from IT services. It aims to demonstrate that "Whatever your role in IT - with Service, everyone's involved." Agenda Service Service Patterns of Development - Foundation - Service Delivery Resilience - Business Focus - Delivery Model Flexibility How do you develop and mature? Benefits of Service Some useful resources Monday 26th March 2012 Moving on in Service - Real ITSM 2
3 Foundation set by Adam Poppleton Getting started with ITIL What is IT Service? The benefits of IT Service What is ITIL? Key concepts The Service Lifecycle ISO/IEC Associated topics Further learning Questions Adam Poppleton, BrightOak Consultancy ITIL is a Registered Trade Mark, and a Registered Community Trade Mark of the Office of Government Commerce, and is Registered in the U.S. Patent and Trademark Office. Monday 26th March 2012 Moving on in Service - Real ITSM 3
4 SM Café Service Interactions Service Order coffee Shop Floor Front of House Product Service Customer Buy Coffee / Provide Great Coffee Take customer orders and payments Fulfill Orders Preparation Provide consumables Consumables Provision Source and deliver coffee, milk, sugar, etc Deliver coffee Prepare coffee and deliver to customers Provide coffee to customers Provide machinery Machine Provision Provide and maintain coffee machines SM Café Megabucks Inc. Monday 26th March 2012 Moving on in Service - Real ITSM 4
5 Service Understanding Service the Service Quality Model Communication Moment of Truth Δ4 Customer View Service Expectations Service Perception Service Delivery Service Design Δ2 Perceptions of Customer Expectations Service Provider View Δ5 Δ3 Δ1 Gaps that can lead to failure to meet customer expectations regarding the services delivered (Δ5): Δ1: Customer Expectations vs. Provider Perceptions - The customer s expectations are not understood or adequately considered Δ2: Provider Perceptions vs. Service Design - The service architecture and infrastructure is specified incorrectly and/or incomplete Δ3: Service Design vs. Service Delivery - The service delivery processes do not deliver the specified quality (service activities or processes are not aligned and/or the appropriate resources are not assigned) Δ4: Service Delivery vs. Customer Communications - The services delivered do not match the announced services Source: Delivering Quality Service, V. Zeithaml Monday 26th March 2012 Moving on in Service - Real ITSM 5
6 Positioning Service Customer View Service BUSINESS Moment of Truth SERVICE Service Provider View SYSTEM Operations View RESOURCE Monday 26th March 2012 Moving on in Service - Real ITSM 6
7 Service : IT Services metamodel as a basis for viewing the challenges Service Provides a high-level view of all the entities that need to be managed for effective IT Services External view of the available services appropriate to the needs of those buying and selling the services Internal view of available services appropriate to those who provide and deliver the service Describes the locations, roles and skills used to deliver service Organization Process Service Offering Service Provision Tools & Technology Data & Information Contains the entities for the data and information required to support IT Service Describes the tasks, activities and processes needed to deliver IT Service, and shows how they link together in specific flows Describes the hardware and software tools and technologies used in the delivery of service Monday 26th March 2012 Moving on in Service - Real ITSM 7 An integration model for organizing IT service management IBM Systems Journal Vol 46, Number 3, Page 405 (2007)
8 No single right way to go about adopting SM but some common patterns There is no single right way to adopt SM nor an ideal sequence to go through The right way for you will always depend on your starting point and the goals you are trying to achieve However we do see common patterns in the stages that many organisations go through: Wave 1 Foundation - In ITIL v2 speak: Service Support Wave 2 Service Delivery Resilience Wave 3 Business Focus - Considering service earlier in the lifecycle Wave 4 Delivery Model Flexibility Patterns of Development Waves 3 and 4 may be reversed or performed in parallel Common Stages in the Adoption of Service Monday 26th March 2012 Moving on in Service - Real ITSM 8
9 Foundation Traditional Service Linking IT Systems to Service The Help Desk becomes The Service Desk Link between users and techies a bridge and a barrier Systems or Services? Defining Services in terms of Systems, Assets, technology and teams Lists of applications and systems Inventory and topology become CMDB(s) Shelved SLA s are dusted off and renewed mapping to OLA s and U/Cs Incident handling but mainly silo d NOC, App teams and detached data centre staff handling faults and defects so Focus on Functions and Service Operations as the foundation Functions helps teams understand their place and their relationship to the Service Desk the foundation Service. Mapping Incidents to faults, events, alerts brings Service process close to NOC procedures ITSM mapped to FCAPS (Telecomms and System model Fault Mgt, Config Mgt, Availability Mgt, Performance Mgt and Security Mgt) for example Monday 26th March 2012 Moving on in Service - Real ITSM 9
10 Scenario across Process, Data, Organisation, and Tools Service Execution A62 Event Resolution Directive Operational Monitoring Data Event A64 Incident 1. Monitoring Data and Event Resolution 2. Event to Incident, resolved there 3. Incident to Problem Foundation 4. Incident or Problem requires an RFC for resolution Event Incident A65 Incident Information Incident_ Resolved Problem A66 Change Problem Information Change Request A51 Deployment A53 Solution_ Deployed Change Monday 26th March 2012 Moving on in Service - Real ITSM 10
11 Quality service delivery depends on integration Resilience Development View of IT Development Operations View of IT Help Desk Managing Changes IT Strategy Requirements Project Mgmt Act Surprised Testing Asset Mgmt Deployment Backup / Restore Analysis & Design Change Control Installation Throw over Wall Availability Mgmt System Operation Implementation Documentation System Admin Compliance Risk Mgmt Identity Mgmt Human Factors Test Continuity Financial Mgmt Architecture Packaging Capacity Planning Security Mgmt Problem Mgmt The lack of lifecycle integration between development and operations continues to drive costs up and operational service quality down Monday 26th March 2012 Moving on in Service - Real ITSM 11
12 Trace problems from operations into development Resilience Using open API linkage with development activity tracking products, operations tooling can create and track work items for the development organisation Data Centre Helps in managing coordinated actions with development Development Operations Requirements Control Development Workbench Service Desk Tool Operational Monitoring SOA Application Manager Monday 26th March 2012 Moving on in Service - Real ITSM 12
13 Identifying and prioritising essential IT capabilities and services Business Focus Customer Vision Of Ideal Value Delivery Customer Wants and Needs Customer-defined service vision Identify the value that the customers receive from this service Then, envision ideal performance or delivery of that value Essential IT Capabilities and IT Services IT Capabilities IT Services Fit for Purpose Services Portfolio Service and Performance Levels Enabling Infrastructure Enablers: Organisation structure IT Processes Measures, rewards, and culture Information Technology Fit for Purpose The dependencies that must be present to enable the essential capabilities Actionable Design Points Monday 26th March 2012 Moving on in Service - Real ITSM 13
14 Combining the service and process perspectives Business Focus Provides an understanding of how well IT services support those business capabilities Assessing the services is a useful way to prioritize future investigation of the underlying process or technology Factors indicating this perspective is lacking: There is a lack of focus on the IT customer or there are customer dissatisfaction issues There are conflicting requirements for new IT support Responsibilities are not clear for the delivery of IT services Set table Process 1 Welcome and offer seat Process 2 Processes Offer choice and take order Process 3 Preparation of order Process 4 Serve order and look after customer Process 5 Dine in pleasant atmosphere = Service Facility User Contact Service Marketing and Sales Solution Build IT Operational Service Customer Satisfaction Mgmt. Monday 26th March 2012 Moving on in Service - Real ITSM 14
15 Multiple service providers introduces both flexibility AND complexity Delivery Model Flexibility OLAs Integration External Supplier Enterprise Integrated Governance Std. Interface Internal AMD Service Local procedures Std. Interface Other AMD Other AMD Other AMD Services Local procedures Local procedures Local procedures Enterprise Business Units ETC ITIL / CMMI / Cobit Std. Interface Infrastr. Services Local procedures Std. Interface Service Desk Local procedures Std. Interface Client Services Local procedures IT Operations Integrator Function Integrated Operations Environment Tools Std. Interface Network Services Local procedures Standard process interfaces Standard integration interfaces Standard KPIs A G Std. Interface Other? Local procedures R E E M E N T S Monday 26th March 2012 Moving on in Service - Real ITSM 15
16 A Technology Framework is needed to minimise technology interdependencies Integrated Operations Environment Delivery Model Flexibility DASHBOARDS Integrated IT Service Catalog Service Operational Reporting Business IT - Visualization Federated CMDB WORKFLOW Enterprise Services Bus Application & Asset Discovery User Administration Silo Silo CMDB CMDB Monitoring & Alerting ENTERPRISE SERVICE BUS Universal Translator Bridge Building Tool Kit adaptors based, avoids point:point bridges Integration by Standards all tools, e.g. XML over SOAP Enhanced Agility New suppliers can be inserted quickly Tools can be replaced as needed Suppliers can change tools without affecting function Monday 26th March 2012 Moving on in Service - Real ITSM 16
17 Lifecycle of a Cloud Service new challenges Service Offering Subscription & Instantiation Select Service, specify parameters and SLA s Automatically instantiate the Service Service Offering Creation & Registration Define Service based on Template and register it in the Catalog Service Catalog Manager Subscriber (e.g. Line of Business) Offering Definition Subscription & Instantiation Cloud Service Delivery Model Flexibility Production Termination Administrator / SLM Manual or Autonomic Execution of Plans leveraging Automation and Virtualization Ensure SLA Conformance Service Instance Termination Service Template Definition Create Build- and Plans for Service Provider / IT Dept System z Ensemble Power Ensemble System x Ensemble LPAR / VM App App App App Virtualizers (e.g. z/vm) Virtualizers (e.g. PHYP) Virtualizers (e.g. Xen) Ensemble Hardware LPAR / VM App App App App OS OS OS OS OS OS Ensemble Hardware Ensemble Hardware Subscriber (e.g. Line of Business) Destroy Service and free up resources Individual Servers Storage Ensembles Monday 26th March 2012 Moving on in Service - Real ITSM 17 LPAR / VM App App App App
18 and increased scope for the SM Architecture Delivery Model Flexibility Cloud Service Consumer Cloud Service Provider Cloud Service Developer Consumer End user Cloud Services IT capability provided to Cloud Service Consumer Cloud Service Integration Tools (Virtualized) Infrastructure Server, Storage, Network, Facilities Infrastructure for hosting Cloud Services and Common Cloud Platform Common Cloud Platform Developer Consumer Business Manager Consumer In-house IT Consumer Administrator Service Delivery Portal API BSS Business Support Services OSS Operational Support Services Service Business Manager Offering Mgmt Order Mgmt General accounting Contract & agreement Mgmt Service Templates Service Request Provisioning Monitoring & Event Invoicing Customer Mgmt Entitlement Mgmt Opportunity to Order Metering, Analytics & Reporting Service Delivery Catalog Service Automation Change & Configuration Incident & Problem IT Asset & License Virtualization Mgmt Service Provider Portal Service Transition Manager Image Lifecycle IT Service Level Capacity & Performance Service Operations Manager Service Development Tools Service Definition Tools Image Creation Tools Monday 26th March 2012 Moving on in Service - Real ITSM 18 Security & Resiliency Billing Pricing & Rating Subscriber Mgmt Peering & Settlement Service Offering Catalog Service Security Manager Service Development Portal
19 Low High Measurement is core to continual improvement Influence on the business Current State Level 3 CAPABLE Process meet requirements Level 2 AWARE Weakness are identified Level 1 UNFOCUSED Process is documented and controlled Level 5 WORLD CLASS Process has become ingrained and adaptable Level 4 MATURE Process is competitive Level 2.5 Level 1.5 Level 3.5 Level 5 Level 4.5 How does SM develop and mature? VALUE CHAIN FOCUS The process is defect-free with no significant operational inefficiencies and is continuously improved BUSINESS FOCUS The process is both effective and efficient. The process is adaptable to business direction changes CUSTOMER SATISFACTION FOCUS The process is producing the desired results and is meeting customer requirements PRODUCT / SERVICE The weaknesses of the process have been identified and the basics of quality management for the process are being worked on TECHNOLOGY There are few stable processes in evidence, and performance can be predicted only by individual rather than organizational capability - "Hero-based success." Monday 26th March 2012 Moving on in Service - Real ITSM 19
20 Current State Measurement should cover all the dimensions How does SM develop and mature? Assessment Focus areas Unfocused (1) Aware (2) Capable (3) Mature (4) World Class (5) Process Foundation No mission defined. No agreement or understanding of objectives General awareness of mission and performance criteria Mission and objectives defined and understood by most Mission and objectives defined and understood by all Mission promoted by all and created together with users, objectives promoted by all Process Execution Not done or occasionally in a reactive mode Some activities done only during major events Some activities planned on a regular basis Many activities done, some measurement and reporting All activities done with involvement of all key players Process Integration No linkages Occasional interfaces as necessary Usually considered, some definition Generally defined and followed All interfaces well defined and well established Organizational Clarity No owner no role definitions few skills Multiple owners, no agreed to roles, skills limited Assigned Process Owner and roles, skills cover some technologies Single owner, roles documented, and authority understood, solid skill sets Owner does continuous improvement, roles kept current Tools None General tools, low usage, little automation Effective use of some tools, some tool integration Effective use of most tools with some automation and integration Effective use of a wide range of tools and technology basis Measurement & Control None Focus on quantity, not quality Emphasis on components routine processes have been optimized Emphasis on endto-end, most processes are optimized In line with business objectives, all processes optimized Monday 26th March 2012 Moving on in Service - Real ITSM 20
21 ISO/IEC provides an excellent structure How does SM develop and mature? Monday 26th March 2012 Moving on in Service - Real ITSM 21
22 and a body of knowledge such as ITIL provides building materials How does SM develop and mature? Strategy Design Transition Operation Continual Improvement Strategy for IT Services Service Catalogue Transition Planning & Support Event Service Measurement Demand Service Level Change Incident Service Reporting Financial for IT Services Capacity Service Asset and Configuration Request Fulfillment (standard changes) The 7-Step Improvement Process Service Portfolio Availability Release and Deployment Problem Business Relationship IT Service Continuity Service Validation and Testing Access Information Security (ISO 27K, ISO 20K) Supplier Change Evaluation Knowledge Service Desk Technical Design Coordination IT Operations Processes Application Functions Monday 26th March 2012 Moving on in Service - Real ITSM 22
23 Cost of fixing design vs. post deployment Services and Service hooks in design and development SM Benefits Cost of quality difference between price of non-conformance and conformance cost of doing things wrong 20 to 35% of revenues cost of doing things right 3 to 4% of revenues Source: Roberta Russell & Bernard W. Taylor, III For example, in Software Engineering: A Practitioner's Approach, author Robert Pressman shows that for every dollar spent to resolve a problem during product design, $10 would be spent on the same problem during development and $100 or more if the problem had to be solved after the product's release. Simply stated, the lesson is clear: It is far less expensive to prevent a problem occurring in the first place than to fix it later. One of the best ways to prevent problems from occurring, and to protect your development investment at the same time, is to keep your users and customers involved through the entire development cycle. Quality and User Centred design must apply to ITSM design and the design of Services it follows that Service is designed in line with Product, Application and System! Monday 26th March 2012 Moving on in Service - Real ITSM 23
24 SM Benefits A focus upon improved management practices is the key to improving productivity and service quality Impact of Practices on Productivity IT expenditures have little impact on productivity unless they are accompanied by first rate management practices. Indeed, companies can significantly raise their productivity solely by improving the way they operate. Stephen Dorgan and John Dowdy When IT Lifts Productivity McKinsey Quarterly, 2004 Improving management practices increases productivity more than investing in IT 75th percentile and above 25th percentile and below - Practices Score + + 8% + 20% 0% + 2% Intensity of IT Deployment 25th percentile and below while doing both yields highest increase 75th percentile and above Per cent Increase in Total Factor Productivity + Source: London School of Economics McKinsey survey and analysis of 100 companies in France, Germany, UK and US Monday 26th March 2012 Moving on in Service - Real ITSM 24
25 Resources 1 Rather than interpreting the ITIL volumes from scratch look at available process reference models, some are freely available Monday 26th March 2012 Moving on in Service - Real ITSM 25
26 Resources 2 Rather than interpreting the ITIL volumes from scratch look at available process reference models, some are freely available Monday 26th March 2012 Moving on in Service - Real ITSM 26
27 Resources 3 Rather than interpreting the ITIL volumes from scratch look at available process reference models, some are freely available Monday 26th March 2012 Moving on in Service - Real ITSM 27
28 Resources 4 (Resources 3) (Resources 2) (Resources 1) Monday 26th March 2012 Moving on in Service - Real ITSM 28
29 SMSG Past Events CSI Improved - How the 2011 refresh will benefit IT ITIL An Invitation to review and discuss the impact of IT Service Mastering IT Service Continuity Software Asset (SAM) and ITIL Service - together driving efficiency Better Demand : An Integrated Approach Service - Service Design, instrumentation and monitoring Demonstrating value from IT - using service catalogues and portfolio management to deliver business-focused IT services International Rescue: Service across a Global Organisation + AGM Managing the key IT Production Resource = People Multi-sourcing - How Ready Are You? Problem - Making a Difference to Stability Monday 26th March 2012 Moving on in Service - Real ITSM 29
30 Q&A
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