Building a Foundation for Effective Service Delivery and Process Automation

Building a Foundation for Effective Service Delivery and Process Automation

Agenda Service Management World Tour IBM Service Management Customer Challenges Overview of Service Delivery and Process Automation Segment Solutions and case studies Service Request and Fulfillment Incident and Problem Management Asset, Change and Configuration Management Server and Application Provisioning and Release Management Why IBM?

Market Drivers: Businesses depend on service quality Service quality critical for: Business Growth Competitive advantage Customer retention Risk mitigation and compliance Operational and capital expense reduction Service quality impacted by: Change and complexity Rising operational costs Tougher compliance regulations Silos of information Lack of governance

IT Effectiveness is Decreasing An Example Up to 80% of problems are reported by users 80% Up to 85% of problems are caused by IT changing something 85% IT Users: Systems Test! Customers become the IT Systems Test Team Source: Tivoli Primary Research, 2005-2006

To maximize agility and efficiency, organizations must converge the management of business and technology 78% of CEOs believe integrating business and technology is fundamental for innovation Leaders conduct fully data-driven decision-making enabled by consistent, coordinated, integrated use of automation. Revenue and Earnings Comparisons, 2002-2006 Leaders Outperform in Revenue and Earnings 36% Leaders Earnings 12% Leaders Revenue 7% Industry Group Earnings Organizations with extensive integration of business technology grew faster than their peers 4% Industry Group Revenues Source: IBM Global CEO Study 2006 Source: BTM Institute, Business Technology Convergence Index, 2007.

Organizations need to Coordinate and Integrate Their Use of Automation Need Coordination of activities across operations Need Data Driven Decision Making Need fully integrated automation to eliminate errors Managing IT is a team effort more than one person is needed! Adam is preparing Paul is updating the a new version of Laura is tracking sales app database WebSphere down the owner of a CRM server Jeff is diagnosing the CRM app errors Sally is assessing the impact of a change Joe is patching Anne is doing a a server configuration audit according to ITIL John is scheduling changes for his team

But there are obstacles to success: Operational & Architectural complexity hinders agility & efficiency Process execution across silos increases costs and time at the expense of service quality Spectrum of operational processes Automate Business & IT interactions Govern the way processes are executed Automate tasks across domains Automate tasks within domains Operational domains and silos

Obstacles can be overcome with IBM capabilities, provided in a consumable architecture and designed for automating service delivery processes Incident & Problem Mgmt Service Request Mgmt Change Management Unified Solutions Common Data Model Knowledge Management Process Automation Service Delivery Configuration Management Processes that Work Together No Rip and Replace Asset Management Work Management Provisioning & Release Mgmt Lower Cost of Ownership

Service Delivery and Process Automation Optimize operational consistency and staff effectiveness Service Request Management & Fulfillment Automation Integration Automate Business & IT interactions Govern the way processes are executed Automate tasks across domains Automate tasks within domains Automated service delivery end to end using a unified architecture and workflow fully integrated with governance processes. Typical ROI: Cut service request costs by up to 50%. Incident & Problem Management Identify and Resolve incidents BEFORE they become a problem, ensure Process Compliance, improve satisfaction Typical ROI: Improve customer satisfaction and reduce problem resolution time by half Asset, Configuration & Change Mgt Integrating IT assets and configuration items with coordinated change management reduces service disruptions and meets compliance goals. Typical ROI: Reduce disruptions by 25% or more Server and Application Provisioning and Release Mgmt Use best practice processes to increase successful deployment rate through better planning, management and reporting on release deployment. Typical ROI: Reduce release deployment time by 50% and improve accuracy and auditability

Service Request Management & Fulfillment Problem: Most user service requests not automated, reducing time to value and increasing costs. Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels Solution: Automate service delivery end to end using a unified architecture and workflow fully integrated with governance processes ROI: Cut service request costs by up to 50%.

Case Study Large US Financial Company Business Challenge: Inefficient Service definition and delivery Multiple points of contact and processes for delivering IT services. Escalating service delivery costs. No visibility into service delivery status Poor customer experience. Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels IBM Solution: Tivoli Service Request and Fulfillment Provides a single point of contact for IT service definition and delivery Define and document process workflow Integrate procurement, supply chain and billing Manage to Service Levels Automatically provision new services Track, manage and measure improvements via key performance indicators and Reporting Business Benefits: Improved end to end service Delivery Reduced labor costs Improved customer satisfaction, overall efficiency, service delivery and asset management Realtime visibility of order status

Incident and Problem Management Problem: Up to 80% of problems are reported by end users. High Mean Time to Repair impacts the business and service quality Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels Solution: Identify and Resolve incidents BEFORE they become a problem, maintain Process Compliance, and improve Customer Satisfaction by automating the user experience ROI: Improve customer satisfaction, reduce incident tickets by 22% and reduce incident resolution time by 10% or more. Create and Gather Incidents Self Service Automated Problem Determination Automated Resolution Consolidated Operations

Case Study United Space Alliance We became very good at fighting fires when, in fact, the problems shouldn t have escalated to that point. We now have the tools to anticipate and address issues before they escalate and to plan for major projects. That is the kind of efficiency the IBM platform will deliver. Mike Schnoke, Project Manager, United Space Alliance Business Challenge Server and Application Provisioning and Release Mgmt Eliminate disparate, siloed service manage-ment organization and tools. Customer needed early warning of problems before customer impact, in order to improve the customer experience. Solution IBM provided a platform to unify disparate IT systems and give staff a single real-time view of asset and service management Business Benefits Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels Quick solutions to common problems via Self-service Web access to all employees Reduced repair times and improved IT service Staff has minimized downtime, Can now plan ahead and budget; will help staff efficiently meet and exceed SLAs.

Asset, Change and Configuration Management Problem: Lack of visibility and control over assets and their impact on the business Integrated Asset Lifecycle Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels Solution: Integrating IT assets and configuration items with coordinated change management reduces service disruptions and meets compliance goals. ROI: Reduce disruptions by 25% or more Certify compliance with internal & regulatory requirements PLAN ACQUIRE DEPLOY MANAGE RETIRE Procure and Assign Assets Asset Lifecycle (Configuration Item Lifecycle) Identify Configuration Items Implement Change Control Audit Assets and their configurations

Case Study Merkur Group By providing a single platform for asset and service management, Tivoli software enables us finally to understand the true costs of our IT services and the impact of these costs on profitability. Simon Znidar, Ph.D., Chief Information Officer, Merkur Group Business Challenge Streamline service management processes to reduce operational costs while maintaining service quality Solution A unified platform that cost effectively manages the entire lifecycle of IT assets and strengthens service management Business Benefits Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Projected 25% increase in staff productivity Reduced costs Improved decision making 60% first-call resolution rate better alignment of IT with business requirements Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels

Server and Application Provisioning & Release Management Problems: Unscheduled outages, redeployment of failed application rollouts and poor customer satisfaction which all drive higher operational costs Solution: Use best practice processes aligned with ITIL and other frameworks to increase successful deployment rate through better planning, management and reporting on all aspects of release deployment. ROI: Reduce release deployment time by 50% Improve accuracy, auditability and customer satisfaction Structured Release Management Process Structured Application Development and Automated Version Control Automated Deployment Service Request Management & Fulfillment Most user service requests not automated, reducing time to value and increasing costs. Solution Benefit: Cut service request costs, and improve customer satisfaction Incident and Problem Management Customers find problems before operations. High problem resolution times impact the business Solution Benefit: Improve problem resolution time and improve productivity Asset, Change & Configuration Mgt. Most disruptions caused by operations changing something. Visibility to assets and application relationships plague improvement efforts. Solution Benefit: Less business disruptions Server and Application Provisioning and Release Mgmt Testing, deploying, patching, and managing applications not done consistently, leading to mistakes and disruptions Solution Benefit: Reduce disruptions and improve service levels Ongoing Management, Control, and Audit

Our solutions are delivered via an integrated approach that provides faster time to value, grows easily with your needs, and preserves your investments Unified Solution A solution that represents the full management of data, processes, tooling and people Common Data Model The core solutions share a common data subsystem for simple data sharing Processes Working Together The core solutions share a process workflow automation engine No Rip and Replace Leverage existing investments in IBM and 3rd party IT management tools Lower Cost of Ownership Lower infrastructure and training costs, simple upgrade model Service Request and Fulfillment Management Assets Attributes Relationships Process Artifacts Related to CIs and Assets Process Definitions Server & Application Provisioning & Release Mgmt CIs Attributes Relationships Configuration Data IBM Tivoli Process Automation engine Common applications Common workflow Common reporting Common User Interface Incident and Problem Management Asset, Change & Configuration Management

Integrated Service Management Scenario: Automating Problem Detection and Resolution 3 4 Scenario Incident & Problem Change & Release 1 2 3 4 Monitoring detects a problem. Event management filters redundant events and creates an incident ticket when needed. Incident Analyst uses ITM / TEP to see how infrastructure resources are running. If problem detected require provisioning action (e.g. patch distribution, new resource allocation, virtual server expansion), Change Request is kicked off 2 Change and Configuration Mgmt Database (With Application Dependency Mapping) 1 Monitoring Monitoring Provisioning Provisioning 5 5 Release Deployment Management invokes provisioning tools to take automated action, & reports back completion status to CCMDB. Physical and Virtual Resources Servers Network Storage

Graphical Workflow Designer Example

IT Service Management KPIs Example

Enabling Innovation with IBM Service Management Visibility: See your Business Control: Manage your Business Automation: Improve your Business IBM Service Management Best Practices, Methodologies & Services Service Management Platform

IBM s Comprehensive Approach to ITIL Education and Planning Self-directed and consultative tools and assessments Solutions: IBM Service Management Software supports the Service Management Lifecycle, simplifying the transition from ITIL V2 to V3 Implementation and Services Over 3000 ITIL certified professionals worldwide providing strategy, planning, and implementation services IBM Process Accelerators Custom implementation services available

IBM Tivoli Unified Process (ITUP): Best- Practices to Speed Adoption and Implementation of Service Management ITUP Family of Tools ITSM Assessment ITUP ITUP Composer Free -- online 30-minute assessment identifies priorities in your organization Free - downloadable Read-only tool providing actionable, navigable best practices aligned with ITIL v3, etom and other frameworks IBM product Allows customization of ITUP content to document operational model http://www-306.ibm.com/software/tivoli/governance/servicemanagement/itup/tool.html

We continue to add to our implementation services portfolio Our suite of Tivoli Accelerators complements our overall implementation capabilities NEW Orchestration and Provisioning Application Dependency and Discovery Service Desk Change and Configuration Asset Management for IT Event Management and Monitoring Automated Test Facility

Why IBM Service management solution is unique? Upgradeability Configuration information is stored in meta data to readily upgrade from one version to the next. Unified Platform The platform combines asset management and service management in one environment. Ease of Configuration Built-in configuration tools allow for easy, on the fly changes to UI, workflows, processes, reports. IT and Enterprise Assets Leading, standards-based technology Built ground up on the ITIL framework Breadth of Service Management offering All critical assets that drive the business IT and non-it are managed through the same interface. Web-architected platform built on J2EE with advanced business process management; based on SOA, web services and XML. Supports ITIL processes out of the box: Incident, Problem, Change, Release and Configuration. IBM offers full breadth of end-to-end asset and service management solutions that operate on a common web services infrastructure.

Getting started based on immediate needs Maximize asset utilization, reduce cost, mitigate risk, exploit asset convergence Asset, Change & Configuration Mgt Server & Application Provisioning Release Mgmt Adds Automated Deployment of Service Requests Incident and Problem Mgmt Adds self-help to LOB for reduced costs and call volume Adds Awareness, Change and Cost Control of Deployment Service Request and Fulfillment Incident and Problem Mgmt Adds proactive awareness of incidents due to changes Server & Application Provisioning Release Mgmt Adds Automated Changes to Configurations Adds automation of service deployment reducing errors Service Request and Fulfillment Asset, Change & Configuration Mgt Add Control and Discovery, reducing errors due to changes Adds automation of service deployment reducing errors Server & Application Provisioning Release Mgmt Adds Automated Changes to Configurations further reducing errors Service Request and Fulfillment Automate end user requests into IT Start Here! Asset, Change & Configuration Mgt Discovery and App. Mapping to understand environment Start Here! Incident and Problem Mgmt Identify and Resolve incidents BEFORE they become a problem Start Here!

Customer and Analyst Accolades IBM is recognized by Forrester Leader in Service Desk Market Wave Leader in Data Center Automation Wave Market Share Leader #1 in Configuration Management Gartner #1 in Server Provisioning IDC EMA feels that IBM has an outstanding service management strategy and portfolio to enable improved collaboration and organizational automation by linking the CMDB with best practice workflows. By unifying the management of all our IT and operational assets using IBM solutions, we can maintain an industry leadership position and improve quality of service for travelers. IBM asset management software has also helped us realize a higher percentage of recoverable fees and directly improve revenue as a result. Doug Wardle, Enterprise Resource Planning Systems Consultant McCarran International Airport

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