2 Lesson Slide 1 ITSM as a Practice Topics Discussed The Practice of IT Service Management Good Practice Service Service Management Process Model Practice Summary
3 Slide 2 IT Service Management IT Service Management (ITSM) is the coordinated design, implementation and operation of several widely accepted frameworks, methods and standards as part of an enterprise IT continuous service improvement program. Organizational capabilities Functions Processes Specializations for managing services over their lifecycle Strategy Design Transition Operation Improvement
4 Slide 3 Critical Success Factors Strong executive leadership Maturity assessment of existing IT environment Well-defined adoption & continuous service improvement plan Clearly defined roles & responsibilities Clear purpose, goals & objectives Key performance indicators & metrics
5 Slide 4 ITIL History Best practice framework for managing IT Services Originated in United Kingdom late 80 s, early 90 s Owned by the Cabinet Office of the UK Government Built upon 5 books documenting IT Service Lifecycle Service Strategy Service Design Service Transition Service Operation Continual Service Improvement Continually refreshed & updated v1 to v books to 7 books v2 to v books to 5 books Updated July, 2011
6 Slide 5 ITIL Description Descriptive framework for IT service management lifecycle Describes the what not the how for IT service strategy, design, transition, operation & improvement ITIL framework includes: Strategic, tactical & operational processes & their interrelationships Organizational requirements in terms of roles & responsibilities Technology guidance End result for IT and business is: Establishment of culture of service Structured approach for launching and maintaining IT services Proactive management plan for assessing operational health Predictability & accountability for all IT services Communication path between IT and business
7 Slide 6 Need-to-Know ITSM Concepts Good practice Service IT Service Management Functions Processes Roles Generic process & its characteristics Service Owner & Process Owner
8 Slide 7 Good Practice Effective at delivering a specific outcome Fewer problems Fewer unforeseen complications Considered Most efficient Most effective Repeatable Proven over time Frameworks & Standards Proprietary Public Crown copyright 2011 Reproduced under license from the Cabinet Office
9 Slide 8 Customers Internal Customer Funding Funded internally Links to strategy Shared objectives & strategy Accounting CoS is driver Balance cost & quality Design Involved with design Transition & Operation Involved in test & deployment Drivers Impact on business Optimized balance Cost vs. Quality External Customer Funding Paid directly by customer Links to strategy Meet customer expectations Accounting Cost not shared with customer Service is primary driver Design Customers my provide feedback Transition & Operation Documented in contract Drivers Customer retention Profitability
10 Slide 9 Service A Service Facilitates desired outcomes Enhances performance of tasks Reduces effects of constraints Increases the probability of achieving the desired outcomes Service Types Supporting Internal facing External facing Service
11 Slide 10 Service Value Service Value = Utility + Warranty Utility Fit for purpose Increases performance average Warranty Fit for use Reduces performance variation
12 Slide 11 Utility Effect Relative Probability Utility Effect Avg 1 Avg 2 Performance Copyright AXELOS Limited 2014 All rights reserved. Material is reproduced under license from AXELOS Limited.
13 Slide 12 Warranty Effect Relative probability Warranty effect Performance Copyright AXELOS Limited 2014 All rights reserved. Material is reproduced under license from AXELOS Limited.
14 Slide 13 Function Process Role def. Function A team or group of people and the tools it uses to carry out one or more processes or activities. def. Process A structured set of activities designed to accomplish a specific objective. A process may include any of the roles, responsibilities, tools and management controls required to reliably deliver the desired output. def. Role A set of responsibilities, activities and authorities granted to a person or team. A role is defined within a process.
15 Slide 14 What is a Process? Process Model Copyright AXELOS Limited 2014 All rights reserved. Material is reproduced under license from AXELOS Limited.
16 Slide 15 Process Characteristics Specific results (why we do it) Process exists to produce desired outcome Customers (whom we do it for) Desired outcome delivered to customer Measurable (how we ensure it s right) Performance-driven to achieve desired outcome Event specific (what kicks it off) Something specific triggers the process
17 Slide 16 Service Owner & Process Owner Service Owner Accountable for a specific service Works across technical & process silos Responsibilities Include Owns a specific service In-Depth Understanding of the Service s Components Represents the Service across the Organization Process Owner Responsible for process execution Develop process Documentation & Communication Define & Review of KPIs Assists with Process Design Process Manager Ensure process execution Manage process resources Monitor & report on process performance Process Practitioner Carry out process activities Ensure accurate process inputs & outputs
18 Slide 17 The RACI Model Clearly Defines Four Main Roles Responsible Accountable Consulted Informed Expanded Version Includes Verifies Activity R Signs Off Role A1 1 AR RACI Model Example R 2 C R 3 C R 4 I R 5 I R 6 C R 7 C R 8 I A2 A3 A4 A5 A6 A7 A8 A R C C I I C I I A I R C C I C I C C AR C C I - C R A C I I C I I C A R - C C I I A C R I I C - A R C C I I C I
19 Slide 18 ITSM as a Practice Summary Purpose IT Service Management is the coordinated design, implementation and operation of several widely accepted frameworks, methods and standards within the context of a continuous IT service improvement program. Concepts Scope Activities Good practice IT Governance (COBIT) Describes what not how Service IT Service Lifecycle Strategic, tactical & IT Service Management Management (ITIL) operational processes Functions Processes IT Service Resource, Quality Organizational roles & Roles & Security Management responsibilities Generic process & its (PMI or PRINCE2, Six Technology guidance for characteristics Sigma, ISO 27002) configuration management, process workflow & task automation Value The end result for IT and business is a culture of service that provides a structured approach for launching and maintaining IT services, a proactive management plan for assessing operational health, predictability & accountability for all IT services, and a communication path between IT and business.
21 Slide 20 The IT Service Management Lifecycle Service Strategy Design, development & implementation Service Design Design & development Service Transition Development & improvement Service Operation Delivery & support Service Improvement Create & maintain value
22 Slide 21 Lifecycle-Oriented ITIL Strategy Management Service Portfolio Management Financial Management Demand Management Business Relationship Management Strategy Design Coordination Service Catalog Management Service Level Management Availability Management Capacity Management Continuity Management Security Management Supplier Design Management Improve Event Management Incident Management Request Fulfillment Problem Management Access Management Service Desk Technical Management Operations Management Application Management Operation Transition Planning & Support Change Management Service Asset & Configuration Transition Release & Deployment Service Validation & Testing Evaluation Knowledge Management
23 Slide 22 Service Lifecycle Processes Service Strategy Service Portfolio Financial Demand Business Relationship Design Coordination Service Level Mgt. Service Catalog Availability Capacity Continuity Information Security Supplier Planning & Support Change SACM Release & Deployment Service Validation Evaluation Knowledge Event Incident Request Fulfillment Problem Access Service Strategy (Product Mgmt) Service Design (Planning) Strategy Design Transition Operation 7-Step Improvement Continual Service Improvement Continual Service (Quality & Improvement Optimization) IT Service Lifecycle Service Transition (Implementation) Service Operation (Delivery Mgmt)
24 Slide 23 IT Governance & Service Lifecycle Governance Make decisions to define expectations Grant power Verify performance Examples Governmental exercise of authority or control System of government or management
25 Slide 24 The Service Lifecycle Value to the Business Improvement Design, transition & operate Facilitate incremental & large-scale improvements in service quality, operational efficiency & business continuity Operation Deliver & support effective & efficient services Realize strategic objectives Transition Realize Service Strategy objectives via Service Design Control risks of failure & disruption Design Convert strategic objectives into portfolios of services & service assets Increase or maintain value to customers over lifecycle of services by designing changes & improvements Strategy Ensure organizations are in position to handle costs & risks associated with their Service Portfolios Set up organizations for distinctive performance Improve Operation + Improve Transition + Operation + Improve Design + Transition + Operation + Improve Value and the ITSM Lifecycle Strategy + Design + Transition + Operation + Improve
26 Slide 25 ITSM Lifecycle Summary Continual Service Improvement 7-Step Improvement Service Operation Event, Incident, Request Fulfillment, Problem, Access Service Transition Planning & Support, Change, SACM, Release & Deployment, Service Validation, Evaluation, Knowledge Service Design Design Coordination, Service Level, Service Catalog, Availability, Capacity, Continuity, Information Security, Supplier Service Strategy Service Strategy, Service Portfolio, Financial, Demand, Business Relationship
28 Slide 27 ITSM Introduction Summary IT Service Management IT Service Management is the coordinated design, implementation and operation of several widely accepted frameworks, methods and standards as part of an enterprise IT continual service improvement program. ITSM Lifecycle Service Value Concepts Service Strategy Service Design Service Transition Service Operation Continual Service Improvement Service Value = Utility + Warranty Utility Fit for purpose Warranty Fit for use Good practice Service IT Service Management Functions-Processes-Roles Process Model Service Owner Process Owner Value Service Strategy ensures the organization can handle costs & risks associated with its Service Portfolios. Service Design converts strategic objectives into portfolios of services & service assets. Service Transition controls risks of failure & disruption. Service Operation ensures effective & efficient service delivery & support. Continual Service Improvement improves design, transition & operations.
29 Slide 28 ITSM Introduction Checkpoint
31 Review Questions: 1. What makes a good practice good? A. It is the basis of ISO B. It forces everyone to do things in the best possible way regardless of industry C. It has been widely adopted by industry, thus proving its usefulness D. It is well documented within the IT Infrastructure Library 2. Which of the following is a potential source of a good practice? A. The IT Infrastructure Library (ITIL) B. CobiT C. Generally accepted industry practices D. Academic research E. Training and education, on-the-job training and practical experience F. All of the above 3. Which of the following are characteristics of a service? A. Facilitates desired outcomes B. Enhances the performance of tasks C. Reduces delivery times D. Reduces the effects of constraints E. Ensures the lowest cost of delivery F. Delivers value to customers G. A, B, C & D H. A, B, D & F I. B, C, E & F 4. In what form does Service Management bring value to an organization? A. High availability B. Outsource vendor management C. Services D. Economies of scale 5. True or False: A function can only have responsibility for a single process. A. True B. False
32 6. Match the definitions to the terms. A. Function B. Process C. Role 1. A set of connected behaviors or actions performed by a person, team or group in a specific context. 2. The people and automated measures that execute a defined process, an activity or a combination of processes. 3. A structured set of activities designed to accomplish a specific objective. A. A-2, B-3, C-1 B. A-1, B-3, C-2 C. A-3, B-1, C-2 7. In which part of a process does the process owner play a role? A. Trigger B. Process C. Enabler D. Control 8. What is the correct order to implement the IT Service Lifecycle? A. Service Strategy, Design, Transition, Operation & Continual Service Improvement B. Implementation should be based on organizational capability and need C. Service Support, then Service Delivery D. Continual Service Improvement, Operation, Transition, Design & Strategy 9. True or False: A primary driver for a Service Provider with an external customer is the impact its services have on the customer s business and how well balanced the service is with respect to cost vs. quality. A. True B. False 10. True or False: Activities of a process can be performed by more than one function. A. True B. False
33 Answer Key: 1. C A good practice is widely adopted and proven most efficient & effective through practice. 2. F All of the answers represent potential sources of a good practice. 3. H A service delivers value to customers, enhances the performance of tasks, facilitates desired outcomes and reduces the effects of constraints. 4. C Service Management is a set of specialized organizational capabilities for providing value to customers in the form of services. 5. B A function can have responsibility for more than one process. 6. A A function is the people and automated measures that execute a defined process, activity or a combination of processes or activities. A process is a structured set of activities designed to accommodate a specific objective, and a role is a set of connected behaviors or actions performed by a person, team or group in a specific context. 7. D The process owner exerts control (governance) over the process. 8. B There is no specific order of implementation. 9. B A driver for a Service Provider with an external customer is the retention of that customer and the profitability of the service provided. Whereas, the Service Provider s deriver for an internal customer is focused on the impact the service has on the business and the optimized balance of cost and quality.
34 10. A A process activities may be performed by one or more functions.
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