how can you shift from managing technology to driving new and innovative business services?

Transcription

1 SOLUTION BRIEF Portfolio Transformation: Make Smart Portfolio Decisions how can you shift from managing technology to driving new and innovative business services? agility made possible

2 Service Portfolio Management solutions from CA Technologies help you plan for growth, build and execute faster, and run services cost-effectively to increase business value. 2

3 Service Portfolio Management Challenge Cloud computing alongside many other new business service sourcing and delivery options, and the renewed focus on business growth have created a tipping point for today s business and IT leaders. At the same time, changing customer expectations such as BYOD Bring Your Own Device and the new service delivery models are driving fundamental changes in how individuals and organizations interact with and through technology. And while executives see flat budgets as the new normal, it is a fact that the demand for new technology innovations isn t flat, it s increasing. In the past organizations have predominantly focused on managing the business and IT service lifecycle from an operational perspective. This included the planning and executing of development projects and resource allocation, and by addressing production-related incidents, problems and changes. Focusing on these operational matters produced cost efficiencies in the high single-digits, which was satisfactory but is not enough moving forward. Increasingly executives are shifting their focus on making fact-based portfolio decisions, building business services that are well understood in terms of usage, value, price and cost, and the management of service performance at a business level. Opportunity To keep pace with rapidly changing business needs, organizations are beginning to focus on transforming their portfolio of investments and resources to become more agile and responsive to business needs and to drive double-digit cost and value efficiencies out of their current investments and resources and optimize the value of the portfolio of services they provide. Service Portfolio Management (SPM) solutions from CA Technologies provide organizations with portfolio planning and decision making, transparency into the cost and consumption of business services, and service performance management across the entire supply chain of enterprise, vendor and service providers. Providing organizations with the ability to better evaluate investment choices and gain visibility into the actual service usage and cost, and providing them with the business insight needed to drive operational efficiencies and business transformation strategies is critical. This will ensure that individual services and the entire portfolio of services are run in a cost-efficient and value-oriented way. Benefits Service Portfolio Management helps you make smarter, strategic portfolio decisions while ensuring great service performance throughout the lifecycle of your services, giving your organization the visibility and insight needed to optimize current investments and allocate more resources and budget to high growth initiatives and innovations. SPM is a prescriptive, three-step approach which helps you: Plan your portfolio by aligning investments and resources to meet business priorities Build services with greater transparency into their cost and consumption Run, measure and optimize the performance from a business perspective 3

4 Section 1: Challenge Manage your service portfolio from a strategic point of view, not from an operational point of view Organizations need the business insight to be able to transform their portfolio of services and drive business service innovation. A shift from run the business to grow the business has business and technology executives asking questions such as: Business What services is IT providing? How much do business services cost? Are we getting the level of service we are paying for? Are the services meeting our needs? IT What is the correct service mix? How much do our services cost? How can we demonstrate we re meeting defined SLAs? How are we performing against our commitments? Service Portfolio Management solutions from CA Technologies provide portfolio planning, service and cost transparency and optimized service performance to help stakeholders answer these questions and bridge key challenges from the business and IT. 4

5 Section 2: Opportunity Plan your service portfolio to meet business priorities Service Portfolio Management solutions from CA Technologies provide portfolio planning capabilities to help you make smart portfolio decisions using a fact-based approach to prioritizing services to meet your business needs. Portfolio planning To keep pace with rapidly changing business requirements, organizations need to foster collaboration with the business, customers and end users, capture business requirements and plan for the resources needed to execute and deliver new applications and services with greater speed and agility. Whether it is rationalizing their application portfolios or managing new strategic demands, executives are looking to improve collaboration with fact-based information to help them prioritize their investments and resources where the business needs it most. Being armed with comprehensive insight into demand, the full cost and investment of building and running services, the resource allocation and the prioritization against key business initiatives, is the foundation for any decision around a portfolio of services. Figure A. Plan your service portfolio to meet your business needs Decide what services to improve or re?re Decide what new products and services to deliver SPM from CA Technologies will enable you to: Decide what services need to be improved or re?red Decide what products and services need to be added in alignment with business priori?es Manage demand, services, resources, costs, in schedules in one place Increase efficiencies in project planning and resource alloca?ons Manage everything in one place Increase efficiencies in opera?onal planning 5

6 Build your services with greater cost transparency Service Portfolio Management solutions from CA Technologies allow executives to optimize their IT investments and resources in the face of margin pressures by exposing the all-in cost of services, measuring consumption and enabling charging based on service usage. Service catalog management Once the services have been built or improved through the operational capabilities of SPM, they need to be composed and constructed with their various ordering options to allow them to be published to the service catalog and to be offered for ordering and provisioning by your business or customers. An important part of the service catalog design is to reflect the accurate costs that will be used to charge the business. This will allow executives to optimize their IT investments and resources in the face of margin pressures by exposing the all-in cost of services. Financial management Accounting for IT resources is a major challenge for many IT organizations. Organizations looking to improve overall service cost accounting are looking to replace countless cost allocation spreadsheets and estimates. To understand the cost of delivering services, organizations need a method to relate asset costs, software costs, project costs, and direct and indirect costs to defined services offerings and facilitate chargeback or showback where appropriate. With the ability to report on software, hardware, development time and staff support hours consumed by your major application services; you will be able to do this across both base and incremental investments. This will enable you to understand if you are delivering the right services at the right cost to maximize the value and align to customer needs. Figure B. Build services with greater cost transparency Set prices Construct service offerings Provision and charge SPM from CA Technologies will enable you to: Construct service offerings and publish them to a catalog for ordering and provisioning Allocate service costs and set fair prices Account for IT resources and costs consumed during service delivery Provision services and charge for them Provide financial transparency 6

7 Run, measure and optimize the performance of your services Service Portfolio Management solutions from CA Technologies provide service performance capabilities to help you manage performance commitments and obligations across enterprise, vendor and service provider partners. Service performance Increasingly, technology executives are becoming the service brokers within their organizations, establishing shared service models and managing an increasingly complex supply chain of vendors, partners and platforms. These executives need to ensure that suppliers are meeting their performance commitments, streamline management of supplier contracts, leases and maintenance agreements, and govern obligations with internal departments, subsidiaries, and divisions. CA Technologies solutions allow you to manage obligations between IT and other departments, subsidiaries, or business units, and to create a collaborative environment between the IT supplier and consumer such that you are able to monitor and report on service performance and SLA commitments over the reporting period. This helps ensure that they meet their commitments to your organization and to ensure that you do not violate the terms of your license and asset based contracts. Figure C. Run, measure and optimize the performance of services Service performance collabora;on Supplier contracts SPM from CA Technologies will enable you to: Create collabora;ve service performance management environment between all involved par;es Manage service supplier contracts Ensure that suppliers meet their service commitments Ensure that you adhere to the service performance per your service contract obliga;ons Supplier commitments Manage your obliga;ons 7

8 Section 3: Benefits Optimize and re-invest in new and innovative services Transformational changes in business are driving the need for new insights into how technology investment decisions support business goals. Leading organizations are making smart portfolio decisions to optimize existing investments and create capacity for growth in areas such as: Software rationalization to identify redundant applications or those with poor business & technical fit Measuring service consumption and retiring unused or sub-optimized services Managing service performance for internal and external obligations and avoiding unnecessary SLA penalties or fees Much of these result in savings that are then re-invested into budgets and resources to develop new and innovative services, helping executives to leverage technology as a catalyst for growth in their organizations. Some organizations have identified and redirected 10-15% of their IT budgets from operational run the business expenses to transformational grow the business initiatives. Executives responsible for areas like portfolio management, service offerings and their financial management and service performance will help all stakeholders make smart portfolio decisions, increase cost transparency, and ensure value is created through business outcomes. 8

9 Section 4: The CA Technologies advantage CA Technologies is an IT management software and solutions company with expertise across all IT environments from mainframe and distributed, to virtual and cloud. CA Technologies manages and secures IT environments and enables customers to deliver more flexible IT services. CA Technologies innovative products and services provide the insight and control essential for IT organizations to power business agility. The majority of the Global Fortune 500 rely on CA Technologies to manage their evolving IT ecosystems. Service Portfolio Management solutions from CA Technologies play a critical role in helping executives meet these challenges head on to help customers innovate, transform and optimize the value of their investments and resources, and address their most pressing business imperatives. Service Portfolio Management from CA Technologies includes market leading solutions such as: CA Clarity Project and Portfolio Management, CA Service Catalog, CA IT Asset Manager, CA Service Desk Manager, and CA Business Service Insight. For additional information, visit us at ca.com. CA Technologies is an IT management software and solutions company with expertise across all IT environments from mainframe and distributed, to virtual and cloud. CA Technologies manages and secures IT environments and enables customers to deliver more flexible IT services. CA Technologies innovative products and services provide the insight and control essential for IT organizations to power business agility. The majority of the Global Fortune 500 rely on CA Technologies to manage their evolving IT ecosystems. For additional information, visit CA Technologies at ca.com. Copyright 2012 CA. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. This document is for your informational purposes only. CA assumes no responsibility for the accuracy or completeness of the information. To the extent permitted by applicable law, CA provides this document as is without warranty of any kind, including, without limitation, any implied warranties of merchantability, fitness for a particular purpose, or non-infringement. In no event will CA be liable for any loss or damage, direct or indirect, from the use of this document, including, without limitation, lost profits, business interruption, goodwill or lost data, even if CA is expressly advised in advance of the possibility of such damages. CS2446_0612