Bank of Ireland. Service Integration as a means to govern a multivendor. 11 th October 2013

Transcription

1 Bank of Ireland Integration as a means to govern a multivendor IT estate 11 th October 2013 Gerry Flanagan (Accenture) Sharon Donnelly (Bank of Ireland)

2 Agenda Introductions What is Introduction and why is it important? Integration in Bank of Ireland: The journey so far Q&A

3 What is Integration? Developing industry trends are demanding that IT organisations adopt a multi-vendor Strategy for the IT organisation. However, engaging multiple vendors who may offer fundamentally different services brings its own challenges. Integration has developed over the last number of years into a separate discipline to manage the increasing complexity of multi-vendor strategies. It is an emerging preferred practice as a key enabler in multivendor sourcing. Integration is a management approach to coordinating the different services provided through multiple Managed contracts. It is aligned with ITIL and leverages the ITIL based processes adopted by Vendors Each IT vender to an organisation provides its own service(s) defined in their Schedules The role of Integration is to coordinate these services and to govern them through a structured SLA/OLA Framework, to achieve the outcomes required by organisations In order to effectively manage a multi-vendor model, IT organisations must fundamentally change their DNA to become Integrators. The discipline of Integration is growing in adoption as a preferred IT model and will continue to do so in support of emerging technologies such as Cloud, BYOD, SaaS, IaaS, PaaS, etc. 3

4 What is a? To understand how to address these challenges it is important to understand what are services and value-add services. What is a service? A service is a configuration of the Assets configured in such a way as to provide the business with the means to achieve some desired outcome. For example a Payroll service is a configuration of an Application(s), Infrastructure on which to run it, the team (organisation) of People with the Skills (Knowledge) to support is, the budget (Financial Capital) for pay for it, etc, etc. This Payroll service satisfies the business need to pay its employees and agreed rate for their labour and fulfil its Tax and Legal obligations. Capabilities Resources Processes Information Applications People Organisation Knowledge Financial Capital Infrastructure Assets What are value-add services? With organisations increasingly seeking to differentiate through s that create enduring value for the Business and its Customers, IT value creation can be broken down into two distinct components: Utility: What the Customer gets + Warranty: How is it delivered = IT Value Creation Examples: I want to access up-to-date information pay bills and view accounts open accounts, etc service accounts, transfer funds, etc Examples: with 24 x 7 remote availability capacity for high transactions protected sensitive data service restoration within 1 hour availability through the internet The basis for business value generation

5 The Challenge for Bank of Ireland in a multi-vendor Sourcing Model Consumers Platinum s s Assets Customer A Customer B Customer C Application Support Application Maintenance Voice & Data s Internet s Infrastructure Desk The challenge for IT is to integrate the services of our vendors into a suite of IT service packages to deliver desired business outcomes which will generate value for our business Resources Capabilities Resources Capabilities Resources Capabilities Organisation Processes Knowledge People Information Financial Capital Applications Infrastructure Application s Organisation Processes Knowledge People Information Financial Capital Applications Infrastructure Telecoms Organisation Processes Knowledge People Information Financial Capital Applications Infrastructure Infrastructure Assets Assets Assets Each Provider can: Have their own Processes Have their own Process Owners Produce their own MI reporting Have differing SLAs and KPIs Have independent contracts Have no interoperability agreements with the other Providers Be subject to discrete Credits Have different business priorities Have individual contractual governance requirements Etc. 5

6 Integration Models There are 4 basic model options for Integration implementation. Each model assumes an Organisational split of the IT Organisation into Business Relationship and Integration Business Bundle 1 Delivery Business IT Retained Layer Bundle 2 Delivery Integration Bundle n Delivery Delivery Delivery Delivery Re-definition of processes is managed through a SLA/OLA framework Restructuring and re-skilling of staff Implementation of Integration supporting tools Enforcement of Governance Bundle 1 Delivery Business IT Retained Layer Business Integration Bundle 2 Delivery Bundle n Delivery Delivery Delivery Delivery Integrator takes integration responsibility from the IT Organisation 4th party contracts are owned by the IT Organisation but OLAs and SLAs are co-ordinated by the Integrator IT Organisation focuses on business relationship management through an SLA framework Model 1: In-House Integration with Managed s Model 2: Outsourced Integration with Managed s Business Bundle 1 Business IT Retained Layer Bundle 2 Integration Delivery Bundle n Delivery Delivery Delivery Integrator takes integration responsibility from the IT Organisation Integration manages delivery staff removing 4th party management layer Traditional processes deployed Bundle 1 Business IT Retained Layer Business Integration Delivery Bundle 2 Bundle n Delivery Delivery Delivery Integrator takes integration responsibility from the IT Organisation 4th party contracts are owned by the IT Organisation but OLAs and SLAs are co-ordinated by the Integrator Outsourced Integration manages delivery staff removing 4th party management layer IT Organisation focuses on business relationship management through an SLA framework Model 3: In-House Integration and Capacity s Model 4: Outsourced Integration with Capacity s

7 Successful management of Integration requires 5 key levers Successful Integration relies on 5 key levers. which must be configured in a way that is appropriate to your IT organisation. Most organisations have elements of these levers in place but too often they lack the necessary Lever maturity Definition or their interdependencies are not effectively Description recognised. Governance Processes Customer Organisation Tools Providing direction, leadership and decision making to deliver Business value The means to measure, monitor, review, report on and drive continual improvement of Provider performance Business involvement in the definition of and prioritisation of tasks to support that The segregation of activities and definition of responsibilities organised to delivery value The use of technology to gather, store, manipulate, use and report Information A framework of decision processes and underlying accountabilities that align the delivery of integrated IT services to business objectives. At the oversight/governance level, a service integrator replaces separate, vendor-specific delivery models with a comprehensive approach that consolidates service management and metrics reporting across all service providers. A consistently applied suite of redefined best practices to integrate, escalate, evaluate and facilitate the outputs from Managed providers own application of ITIL best practices in order to deliver a unified service portfolio, lessen risk, control costs and manage quality. A comprehensive MI Reporting Suite for managing performance and continual improvement of service delivery and support and in achieving client satisfaction by reinforcing accountability for result focused attention on areas that drive value. A business leadership team equipped and motivated to lead the use of IT through regular Reviews, prioritisation of business service demand, championing best practice on behalf of IT and championing service improvement on behalf of the business to deliver services which are responsive to the needs of our customers A set of clearly defined roles & responsibilities setting out how accountability and responsibility for all IT tasks is apportioned across all IT service providers both internal and external including reporting lines An overall integrated toolset to support and Integration processes consisting of ticket management system, overall service information repository e.g. KEDB, CMDB, KMDB, etc., Workflow, end-to-end measurement and reporting, for use by all Providers, Suppliers and key authorised business users

8 Agenda Introductions What is Introduction and why is it important? Integration in Bank of Ireland: The journey so far Q&A

9 Background & Context As part of the transition of Infrastructure Operations to an infrastructure service provider 2 years ago, the Bank took on overall accountability for IT Integration. We have continued our journey to an IT multi-vendor managed service model. Infrastructure April 2011 Focus Oct 2011/12 Applications Oct 2012 Applications Nov 2013 (Target) Network Transformation Programme 2013 Application Dec 2013 (Target) Following an initial assessment in 2011 we engaged Accenture to support us in driving maturity Phase 1: Focus on core processes Incident, Problem, Change, Release & Deployment Improves customer engagement Operations Governance Refocused Process owners roles and responsibilities Phase 2: Integration More holistic focus across the banks run organisation Additional processes Capacity, Availability, IT Continuity, Asset & Configuration Governance Roles & Responsibilities (Bank & vendor) 9

10 Phase 1: Improvements in Governance and Processes Governance Implemented a suite of Operational governance meetings for Weekly & Monthly Performance dashboard for integrated service reporting Technology Forum established IT Model defined and agreed for Technology s IT Model Processes Matured Incident, Problem, Change and Release & Deployment processes. Assessment scores improved from 1.8 to 2.85 Initiated ticket handling improvements at the Desk e.g. End-to-end ownership by the Desk Agreed ticket hierarchical promotion on breaching to prohibit the development of backlogs for Severity 2,3 & 4 tickets Agreement on a common set of Severity definitions Introduction and Acceptance Criteria drafted for Transition Planning & Support Significant improvement in Branch deployments resulting in remediation cost reduction Before Absent 0 Informal 1 Repeatable Defined 2 3 Controlled 4 Optimising 5 After Absent 0 Informal 1 Repeatable Defined 2 3 Controlled 4 Optimising 5 Incident 1.9 Incident 2.8 Problem 1.5 Problem 3.2 Change 2.0 Change 2.9 Release & Deployment 1.7 Release & Deployment 2.5 Overall Assessment 1.8 Overall Assessment 2.85 Current Assessment Target Maturity Level Current Assessment Target Maturity Level

11 Phase 1: Improvements in Customer interactions and Organisation Customer Dedicated IT Managers refocused on customer relationship management Review Score for Branch Network improved Revised monthly Regional Sales Managers reporting pack and addition of Problem status reporting Organisation Availability Manager Weekly workshops run to increase and Integration capability in the team Redefined roles based on Integration Model for BOI Incident Manager BOI Problem Manager BOI Problem Champion (Application s) BOI Change Manager Drafted new role descriptions based on Integration Model for Delivery Manager IT Managers Head of Integration IT Process Map matrix & new Technology s Team Position paper on Integration drafted IT Activity Mapping T Manager, Group IT, Bank of Ireland Needs to Do. Identify service improvements that could be Needs to Have Build strong relationships within the Business made within to improve Strong oral and written communication Unit and IT including senior bank officials the quality of the service provided and/or the Strong facilitation and negotiation skills Review service quality with senior managers efficiency of the processes. Strong leadership skills within the Business Unit on a regular basis, Develop and maintain open communications Strong interpersonal skills. conduct formal meetings, communicate with senior managers within the Business Unit Ability to build productive working performance, and gather user feedback. and users. Compile Weekly and Monthly relationships with others. Manage the interface between the Review reports Customer focus Team and senior managers Liaise with project managers in delivery of Strong Project skills within the Business Unit, Support Teams, project milestones affecting the business Unit ITIL Trained to Manager Level IT Incident Manager, IAS users,, and third party service Bank providers. of Ireland Open attitude to change Own, manage and drive resolutions on behalf Needs to Do. Conduct post incident reviews/ lessons Needs to Have Good experience working in an multi- vendor of the Business Unit across a mix of internal outsourced environment Own and drive an efficient and externally effective learned sessions provided support groups Excellent interpersonal skills Positive personal impact Incident process Spend through 2-3 days the per IT week (approx) Produce on the road the incident Monthly Scorecard Strong oral and written communication Providers Incident Champions/Team meeting with customers/branch Monitor performance against SLA Strong facilitation and negotiation skills Leads Needs to Be representatives and 2-3 days per Provide week input to continual improvement Ability to recognise and develop process Good communicator/ administrator Provide improvement recommendations (approx) in Cabinteely to progressing programme issues improvements Highly Customer Focused and highly the Provider responsible Assist for in the managing on- going development Contribute of to audits as required Good person management motivated skills the management tool within Group IT and Review metrics reports and provide input into Good team management Successful skills implementer of change Monitor and track the effectiveness championing of 3 rd dashboards within the and Balanced Scorecards as Business awareness Experienced Project Manager party and internal Incident Business Champions Unit required Customer focus Effective leader T Manager, Group Participate IT, Bank in the of Ireland development Assist and the use of Team Provide in management information on IT Ability to work under Confident pressure in dealing with all levels within an Needs to Do. standardised communications defining, process managing, Identify service measuring, improvements and service meeting that quality could and be customer Needs satisfaction to Have Good experience working organization in multi- vendor Build strong relationships Act as within escalation the Business point for users expectations Provider made within Own management to improve review process Strong of incidents oral and written communication outsourced environment Welcomes new responsibilities and challenges Unit and IT including Incident senior bank Champions officials Communicate the quality and articulate of the service business that provided are not and/or resolved the through the Strong standard facilitation and negotiation skills Decisive and inclusive Review service requirements and opportunities to the quality Monitor with senior and measure managers efficiency of the processes. the effectiveness of the Incident & Request Strong leadership skills Team. Needs to Be within the Business Incident Unit on a regular basis, Develop and maintain open communications process process Strong interpersonal skills. conduct formal meetings, communicate with senior managers within the Business Unit ITIL Trained to Manager Level Investigate cross- functional incident trends Ensure adequate process training Ability is available to build productive working performance, and gather user feedback. and users. Compile Weekly and Monthly Good communicator/ administrator through formal trend analysis to support for the organization relationships with others. Manage the interface between the Review reports Highly Customer focused and highly Problem Customer focus Team and senior managers Liaise with project managers Establish in delivery targets of for Incident Strong Project motivated skills within the Business Identify Unit, Support potential Teams, problems and assign project them milestones affecting process the improvement business Unit ITIL Trained to Manager Level Successful implementer of change users, and third party to service the Problem providers. Manager to raise as problem Provide SME input and guidance to Open attitude to change Effective leader Own, manage and drive records resolutions on behalf Providers Incident Champions Good experience working in Confident an multi- vendor in dealing with all levels within an of the Business Unit Schedule across a mix and of chair internal Incident outsourced environment organization and externally provided Governance support groups meetings and share minutes Positive personal impact Welcomes new responsibilities and challenges Spend 2-3 days per Chair week (approx) the daily on the road review meeting Decisive and inclusive meeting with customers/branch Participate in relevant governance Needs to Be representatives and Open attitude to change meetings 2-3 days per (e.g. week Adhoc Major Incident review, Good communicator/ administrator (approx) in Cabinteely Problem progressing, issues SPB) as required Highly Customer Focused and highly Assist in the on- going development of motivated within Group IT and Successful implementer of change championing within the Experienced Project Manager Business Unit Effective leader Assist the Team in Confident in dealing with all levels within an defining, managing, measuring, and meeting organization users expectations Welcomes new responsibilities and challenges Communicate and articulate business Decisive and inclusive requirements and opportunities to the Team. New/revised Role Descriptions

12 Phase 1 Benefits Increased control over processes Reduced deployment costs Specific areas of increased Availability Improved customer satisfaction Greater clarity on roles and accountably Proved the case for implementing Integration (Phase 2) 12

13 Phase 2: Improvements in Governance As-Is Governance Model To-Be Governance Model Governance Terms of Reference As-Is review of current service governance model highlighting areas for improvement Proposed a To-Be Governance Framework mapped to the Capability Model with comprehensive terms of reference based on Integration approach Implementation Plan to revitalise the Governance function across all Technology s areas Status tracker of governance meetings Automated Balanced Scorecard (Draft) to present a service view of service delivery effectiveness Created OLA Template to facilitate multi-vendor inter-operability Governance Implementation Plan Balanced Scorecard 13

14 Phase 2: Improvements in Processes Capacity Capacity Policy Capacity Processes Capacity Governance Model and ToR s Component and Performance Capacity Plan Templates BOI Capacity Roadmap Template Design Report template Coaching and Mentoring Preparing KT plan for knowledge transfer to BOI Capacity Manager Introduction Introduction Policy Introduction Processes Acceptance Criteria Introduction Toolkit Introduction Governance Model and ToR s Communications Deck & Overview Deck IT Model Extended Impact Assessment Template Design processes Coaching and Mentoring of Availability, ITSCM, Asset and Configuration Medium & Long term plans for Design Team Introduction Toolkit 14

15 What is our view of success? Our intent is to work collaboratively with our vendors to develop a Integration model which will deliver the value proposition of our multi-vendor strategy to the Bank Lever Definition What might this look like Governance Providing direction, leadership and decision making to deliver Business value A Governance Framework of decision processes and underlying accountabilities Less meetings but more effective meetings Governance meetings which include attendance by all vendors Apply a partnership approach based on stakeholder accountabilities and ownership Processes The means to measure, monitor, review, report on and drive continual improvement of Provider performance Redefined processes and roles based on stakeholder responsibilities and commitments Unrelenting focus to lessen risk, control costs and manage quality A comprehensive MI Reporting Suite for managing performance and continual improvement A consolidated Balanced Scorecard representing a collaborative view of Delivery A revised Level Framework to support Integration Customer Business involvement in the definition of and prioritisation of tasks to support that A Manager team equipped and motivated to develop effective customer relationships Regular Reviews with business customers supported by periodic surveys Prioritisation of business service demand based on agreed prioritisation criteria Champions of IT within the business and champions of service improvement for the business Realistic and achievable continual improvement plans to close service delivery commitments Organisation The segregation of activities and definition of responsibilities organised to delivery value Clearly defined roles & responsibilities based on stakeholder accountability and responsibility Creation of opportunities to reskill and rotate staff An all vendor inclusive partnership model based on understanding what the Bank needs Segregation of activities required to deliver on the Banks Integrations strategy Tools The use of technology to gather, store, manipulate, use and report Information An integrated fit-for-purpose toolset with required reporting capability Effective use of service information repositories to support Analytics.g. KEDB, CMDB, KMDB, Comprehensive end-to-end service measurement and reporting for all vendors and key authorised business users Analysis of reported data by vendors to provide usable information to GTaC 15

16 Overall Benefits to the Bank Consistent approach and understanding of integration across Bank of Ireland and vendors Multi-vendor service governance ensuring the right people make the right decisions at the right time Refocused roles based on high value activities and concentration of skill sets. Balanced Scorecard to enable Based Reporting Industry best practice for additional complementary service management processes Introduction toolkit for more robust SI to protect live service and enable support Increased value add from vendor relationships Increased ownership within vendors Increased discretionary capacity to flex resources Building blocks for optimising Multi-vendor sourcing model 16

17 Lessons learned Our journey to Integration maturity is on-going. In our development of Integration as a means to govern a multi-vendor estate we have learned or confirmed some lessons All about people and behaviours on-going engagement is key Integration cannot be achieved in pockets Must be grounded in customer benefits Cultural shifts Doing to managing Escalation is not failure Not crossing the line Managing vendors through Governance Governance must be collaborative Strong sponsorship is required 17

18 Thank You 18