BSM Focusing Service Management and IT on What Matters Most to YOUR Customers!

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1 THE PREMIER SERVICE MANAGEMENT EVENT 5 th May 2009 Copenhagen, Denmark BSM Focusing Service Management and IT on What Matters Most to YOUR Customers! Stuart Holliday Sales & Strategy Leader for Service Management 2009 IBM Corporation

2 Trademarks and disclaimers Intel, Intel logo, Intel Inside, Intel Inside logo, Intel Centrino, Intel Centrino logo, Celeron, Intel Xeon, Intel SpeedStep, Itanium, and Pentium are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries./ Linux is a registered trademark of Linus Torvalds in the United States, other countries, or both. Microsoft, Windows, Windows NT, and the Windows logo are trademarks of Microsoft Corporation in the United States, other countries, or both. IT Infrastructure Library is a registered trademark of the Central Computer and Telecommunications Agency which is now part of the Office of Government Commerce. ITIL is a registered trademark, and a registered community trademark of the Office of Government Commerce, and is registered in the U.S. Patent and Trademark Office. UNIX is a registered trademark of The Open Group in the United States and other countries. Java and all Java-based trademarks are trademarks of Sun Microsystems, Inc. in the United States, other countries, or both. Other company, product, or service names may be trademarks or service marks of others. Information is provided "AS IS" without warranty of any kind. The customer examples described are presented as illustrations of how those customers have used IBM products and the results they may have achieved. Actual environmental costs and performance characteristics may vary by customer. Information concerning non-ibm products was obtained from a supplier of these products, published announcement material, or other publicly available sources and does not constitute an endorsement of such products by IBM. Sources for non-ibm list prices and performance numbers are taken from publicly available information, including vendor announcements and vendor worldwide homepages. IBM has not tested these products and cannot confirm the accuracy of performance, capability, or any other claims related to non-ibm products. Questions on the capability of non-ibm products should be addressed to the supplier of those products. All statements regarding IBM future direction and intent are subject to change or withdrawal without notice, and represent goals and objectives only. Some information addresses anticipated future capabilities. Such information is not intended as a definitive statement of a commitment to specific levels of performance, function or delivery schedules with respect to any future products. Such commitments are only made in IBM product announcements. The information is presented here to communicate IBM's current investment and development activities as a good faith effort to help with our customers' future planning. Performance is based on measurements and projections using standard IBM benchmarks in a controlled environment. The actual throughput or performance that any user will experience will vary depending upon considerations such as the amount of multiprogramming in the user's job stream, the I/O configuration, the storage configuration, and the workload processed. Therefore, no assurance can be given that an individual user will achieve throughput or performance improvements equivalent to the ratios stated here. Prices are suggested U.S. list prices and are subject to change without notice. Starting price may not include a hard drive, operating system or other features. Contact your IBM representative or Business Partner for the most current pricing in your geography. Photographs shown may be engineering prototypes. Changes may be incorporated in production models. IBM Corporation All rights reserved. References in this document to IBM products or services do not imply that IBM intends to make them available in every country. Trademarks of International Business Machines Corporation in the United States, other countries, or both can be found on the World Wide Web at 1

3 Today s Agenda Challenges Facing Today s Operations The Visibility Gap The Need for Context Business Service Management: A Top-Down Approach Understanding What Matters Most Business Service Dashboards: Visibility & Context The Latest in Business Service Management 2

4 How is success measured in today s environment? Corporate Executive Management Objectives Line of Line Business of Objectives Business Operational Operations Objectives Executive Management: Grow revenue & manage risk Control OpEx & CapEx Maximize return from M&A Maximize shareholder value Lines of Business: Improve transactional revenue Reduce customer churn Manage operational risk Prioritize business investments Operations: Ability to support business initiatives Assure quality & deliver against SLA commitments Control Costs: Labor, Infrastructure, Power Manage risk & compliance 3

5 Roadblock to Business & IT Success: Service Visibility Gap Executives, LOBs & Operations require improved visibility into Business Services, Processes & Transactions to make effective decisions. Business Services, Processes & Transactions Customers & End-users Increasingly Complex & Dynamic: Distributed & Mainframe SOA & Virtualization Voice, Video & Data Networks Availability, Performance, Integrity Power & Heat IT & Smart Business Assets The question is - how do we improve service visibility across audiences? 4

6 Operational Transformation is a must... Tracking technology, people, and costs in isolation is not enough. Just siloes of information. What does it mean to the business? Operational transformation from cost center to business enabler is a must. Drive new Agility, Revenue & Differentiation Role out services more quickly Improve productivity through improved business process efficiency Assure revenue streams & compliance 5

7 Context must drive alignment, prioritization & investment!! What do we mean by context: Business services, processes & transactions Revenue or productivity Service quality Service costs Regulatory & compliance 6

8 Context: Revenue & Quality What are my top business services, processes & transactions in terms of revenue or productivity? Link to customers & revenue End-user productivity What are the expectations or commitments for service quality? Availability, Performance, Integrity Internal/external SLA commitments Infrastructure linkage to service quality problems Required investment to assure service quality Revenue By Service Revenue By ATM IT Dependencies by Service 7

9 Context: Costs & Compliance What does it cost to deliver them? Technology hardware, software, services People deploying & maintaining Usage LoB, customer, etc Power energy Are there any regulatory or compliance mandates that should drive priorities? Will problems with business service quality impact shareholders? SOX Basel II Security impact on shareholders, investors, patients, users 8

10 The Role of Business Service Management BSM is a top down approach to IT service management which begins with and centers around the ability of IT Operations to measure and continually improve delivery against operational objectives and business commitments as a means of prioritizing and maximizing the positive impact of IT investments and assets on the business. Increases Visibility & Value of IT Corporate Objectives Line of Business Objectives Operational Objectives Supports Alignment of Objectives 9

11 Understanding What Matters Most Revenue Line of Business Customers Who Cares Most? Business Service Management Who Matters Most? Delivery Who Makes it Work? Operations Support 10

12 An integrated approach to managing What Matters Most IBM Service Management Value Accelerators Customer Expectations Business Service Dashboards Business Objectives Visualization Service Impact Analysis Key Performance Indicators SLA Indicators Context Risk & Compliance Priority Usage & Financial Service Configuration & Automation Navigation Service Impact Service Catalog Security Event & Root Cause Service Desk Asset Lifecycle Data Model Service Model CMDB Reporting Quality & Predictive Analytics Automation Workflow Customer Experience Power & Usage Health & Activity Discovery Provisioning Workload & System Applications System Network Mainframe Storage Voice Security Transportation Production Facilities Distribution Information People 11

13 Business Service Dashboard: Integrated Visibility & Context Role-based dashboards LoB, Operations Mgmt, Operators. Customizable/sharing common context Launch in context views & automations. Realtime & Historical reporting across KPIs, event & performance. Web & Mobile Support Visibility across: Services, Processes, Transactions Distributed & Mainframe SOA & Virtualization Service Tree Urgent Services Service Maps Service Model Event Summary Mobile Access 12

14 Business Service Dashboard: Integrated Visibility & Context Common Tooling Visualization Navigation Single Sign-On Automation Data warehouse Real-time & Historical Reporting Out of the box reports Costs Time series SLAs In-context launch from dashboard Charts & Graphs Business & Service KPIs Drag & Drop Layout Realtime & Historical 13

15 Business Service Dashboard: Integrated Visibility & Context Measuring & Improving Delivery Against Objectives: Key Performance Indicators: E.g. Transactions, Revenue, MTTR, Call Volume SLA Indicators: E.g. Customer Experience, Service Uptime, Transaction Rate, Infrastructure Risk & Compliance Indicators: E.g. Cobit, ISO, SOX, Basel II Usage & Financial Indicators: E.g. Service usage by LOB, Power by Service, IT cost per service Key Performance Indicators Applications / Databases Business Service Dashboard SLA Indicators Monitoring / CMDB Risk & Compliance Inventory / Asset Usage & Financial Service Desk 14

16 Business Service Dashboard: Integrated Visibility & Context Baseline Current Week 15

17 Business Service Dashboard: Integrated Visibility & Context Costs By LoB Costs By Service Power Consumption by Service 16

18 Context: Automated Service Mapping & Maintenance Real-time Dependency Mapping: Discovery tools CMDBs BPEL Asset/Inventory Enriched Events Automated Impact & Root Cause Analysis Services, Processes, Transactions Predictive Impact & Root Cause Physical & Logical Dependencies Launch in context to configuration details panels Cross tier application maps Configuration changes Breadth of discovery: Transactions Distributed & Mainframe SOA & Virtualization Storage Network Security Topology Mapping: Periodic Partial/Full Manual Configuration Details & Change History 17

19 Context: Service Oriented Architectures Drill down to SOA services & servlets Auto-discovery and mapping of SOA-based business services & processes (BPEL) Access Business Events, KPIs & views from SOA platforms & middleware SLA Tracking by service and sub-service components including best case, downtime, penalty 18

20 Context: Service Oriented Architectures Rapidly identify the service impact on SOA-based business services, processes or transactions. Pinpoint Serviceimpacting root cause. LIC to Operation flow diagrams & details. 19

21 Context: Virtualized Environments Visualize physical & virtual machines including status from VMWare. Visualize physical & Logical Partitions on Unix, including LPARs on mainframe. See serviceimpacting root cause events for prioritized response. 20

22 Context: Predictive Analytics Service impact triggered by events & KPIs: availability change performance predictive security business 3 Business Event: Trade volume below normal. Result: Service turns critical. Predictive rules enable state change prior to customer impact & service degradation. 2 1 Predictive Event: Transaction time 20% above normal. Change Event: New JVM version installed. 21

23 Context: Integrated View of Distributed Intelligence Collects Data From Any IBM & 3 rd Party Source: Databases, Flat Files, Message Busses, SOA, CMDBs Configuration Details Change Details Contact Details Launch in context and trigger automations in context. Knowledge Library Details Access Knowledge Libraries, Trouble Tickets, Config, Details and more. Events or Incidents 22

24 Context: Auto-population of context into Incidents IBM Service Desk 3 rd Party Service Desk Support staff can: Leverage the same contextual intelligence & views as Ops staff Log in once and access additional information, from specialized tools. Select from their own set of incontext automations. Real-time Policy Engine Automations can include: Log in to configuration items Run tests on configuration items Trigger automated corrective actions Automate change requests or provisioning steps Close incidents & autoclear events Applications / Databases CMDB / Discovery Inventory / Asset Knowledge Library Note: Automations can be defined in a way that enforces an organizations specific workflow policies. 23

25 Context: Automating Resolution Runbook Automation 24

26 IBM BSM: Top-down Management of What Matters Most Leading Retail Bank: We must be able to understand, in detail, service performance levels experienced by customers at each branch. In other words, we must aggregate service insight from over twenty-five million IT datapoints every day. We went to IBM with an idea and our requirements. They helped us understand how to use the solution capabilities to our advantage. Leading Financial Services: - Project Manager, Enterprise Operations Before heading down this path, we decided to step back and look at whether we were in a position to deliver what business clients were looking for. We had the basics monitoring, incident tracking, problem resolution in place; it was a matter of bringing everything together from a service experience perspective. IBM was the right partner with the right toolset to help us along the path. Leading Telecommunications Service Provider: - Manager Enterprise Systems Management By understanding the user experience, we now have a comprehensive view of problems and their causes, rather than a simple alarm or call from a user. As a result, our engineers can immediately begin work to fix a problem. - Service Development Manager 25

27 Banner Year for Business Service Management within Tivoli! IT Optimization with Service Impact Analysis Tivoli Business Service Manager v4.2 IT Automation with Service Correlation Tivoli Netcool/Impact v5.1 Strong market growth with Tivoli BSM solution Scalability +144% New modular architecture Deep System Z value Single Tivoli interface with TIP and TCR Webtop Webtop TBSM Omnibus Impact Impact What Matters Most! Plug-in engine for increased value in other Tivoli products Processing +350% on same hardware! IT Cost reductions with built in Runbook automations Strong market growth IT Simplification with Manager of Managers: Tivoli Netcool/OMNIbus v7.2.1 Lower TCO, Broader coverage, deeper out of the box knowledge Single Tivoli interface with TIP and TCR for Event Management z/linux and 32-bit/64-bit platform expansion faster with same footprint! Success in simplicity and solution focus! 26

28 Tivoli Business Service Manager v4.2 IT Optimization of Service Impact Analysis. 1. Unified visibility and control for end-to-end service mgmt. Same look, Same access, Same service different resources 2. Aligns business owner and IT staff priorities Service Intelligence KPI analytics, SLA tracking, Real-time and Historical services 3. Optimizes IT costs through simplicity, relevance, usability Service affecting events prioritized by business severity Drag/drop interface to assemble data to derive new meaning Navigator Task List Service Tree Scorecard Service Tree Scorecard Chart Portlets Drag-Drop Layout ITM Charting Service Viewer TBSM v4.2 - Highlights: TIP-based UI provides Web 2.0 interface across many data sets Advanced scalability, security compliance, and architecture deployment options (server split) Deep System Z management, discovery, and transaction support. GA: Sept 2008 Urgent Services Hotlist Business Service KPI charting Leading Global Financial Service Firm: We must be able to understand, in detail, service performance levels experienced by customers at each branch. In other words, we must aggregate service insight from over twenty-five million IT data-points every day. Real-time & OMNIbus Historical Active Event List 27

29 Tivoli Netcool/Impact v5.1 Context-Driven Correlation, Intelligence and Automations. 1 Speeds mean-time-toresolution Context-driven Correlation: across applications and equipment 2 Improves decision-making, staff effectiveness Context-driven Intelligence - disparate information in single, interactive view 3 Maximizes operational staff productivity Context-driven Automation: trigger or automate workflow actions Netcool/Impact v5.1 - Highlights: AJAX UI providing faster time to action, staff effectiveness Easy automated actions and integrations with Web Services Automatic self-tuning providing 3.5x faster with same hardware and increased ROI GA: Oct 2008 Identify Service Impacting Events 3 Automate steps in workflow/processes Runbook Automation Engine US-based airline: Service Impacting Non Impacting Maintenance Maintenance Maintenance Right click to execute external actions Service Name (App) Add contextual information Device Location (Inventory) From UI, right-click to view data from any source in integrated views Configuration Info Change History Contact Details (Service Desk) Problem Resolution History We can now trace root causes quickly and easily; transfer information across related systems, including help desk Saved over $300K in outage avoidance in 1st three months 1 2 Enriched Events Contact Details SLA Details (CMDB) 28

30 Tivoli Netcool Omnibus v7.2.1 Market Leading Event Consolidation & Automation Maximize Service Availability - Leverage hundreds of out-of-thebox integrations, with included domain intelligent event reduction rules, to monitor end-to-end infrastructure status and health. Reduce Operational Costs. - Consolidate NOCs, tools and management sources into a single pane-of-glass and integrated management infrastructure. Improve Staff Productivity. - Utilize normalization, deduplication, aggregation, correlation capabilities, as well as time, device, and service based event reductions. Minimize human intervention. - Exchange information between peer systems and automate maintenance actions and procedures. Increase Confidence. - Leverage proven availability and reliability, with trusted system redundancy, failover and security. GA: Aug 2008 Netcool/Omnibus Highlights: TIP-based Web UI provides Web 2.0 interface Advanced scalability, FIPs security compliance, TEC equivalent features, Event Warehousing in TDW zseries hosting and native management (z/linux & Pump) 29

31 Tivoli Netcool Service Quality Manager v4.1.1 Broad Service Level Management and Quality Analytics for CSP 1. End to end Service Quality Management Near real time and historical analysis and detection of delivered service quality deviations 2. Service Level Agreement Management Predict/Forecast/Trend analysis of goal achievement & notification External, Internal and partner SLAs 3. Large library of Off the shelf Service Modules Allows fast introduction of new service in very cost effective way Delivers low cost of ownership as more customers and services are brought under management Leverages our service management expertise out of the box TNSQM v Highlights: Visual Service Model and SLA Web View Enhanced RCA Adaptive Thresholding Event forwarding to Omnibus Support for AIX GA: June 2008 Feedback from Major Wireless operator: By enabling integration of customer-facing and internal operations business processes, the solution enables the shift from networkcentric to customer-centric quality management. TNSQM acts as the centralized business repository that integrates the diverse organizational groups and workflows. 30

32 Tivoli Netcool Customer Experience Manager v4.1 Putting Customers at the Center of Service Management 1. Near real time visibility into an individual customer s experience Web dashboards with pre-packaged views to suit the needs of the different users within a Service Provider 2. Excel in detecting customer experience issues. Acts as an in context launch pad to drive root cause analysis of the end to end service availability and service quality to actually identify the problem causing the service degradation. 3. Enables CSPs to ensure the customer is the central focal point Link customer experience, network performance and service quality to their overall business objectives Customer, Group, Device TNCEM v4.1 - Highlights: Web based CEM dashboards Off the shelf CEM service modules Carrier grade scalability Advanced quality of experience analytics GA: June 2008 Major European Mobile operator: Over a 2 day period TNCEM discovered revenue opportunities for a large tier 1 carrier for GPRS and UMTS mobile data services subs willing but unable to connect due to wrong subscription 7000 subs had the right subscription but could not access the service due to wrong device settings. 31

33 THE PREMIER SERVICE MANAGEMENT EVENT 5 th May, 2009 Copenhagen, Denmark Questions? 32