How Do You Measure Up? A Case Study in Determining What Metrics Matter Most
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1 How Do You Measure Up? A Case Study in Determining What Metrics Matter Most Wayne Turnbow IT Services Department Manager TID Water & Power Sacramento HDI
2 Agenda Who we are IT Service Management ITIL Measurement & Control OLA creations Case Conclusion
3 TID History Founded in 1887, first Irrigation District in the State of California, identified as a Special District Irrigation Delivery beginning in 1900 Electric Delivery beginning in 1923 TID is one of only four Irrigation District s in California that provides water and electricity Governed by a 5-member publicly elected Board of Directors
4 TID 662 square miles of Electric Service Area 307 square miles in Irrigation Service Area
5 IT Service Management What is IT Service Management? Service Management is a set of specialized organizational capabilities for providing value to customers in the form of IT services. Body of knowledge ITIL (Information Technology Infrastructure Library) COBIT (Control Objectives for Information Technology) ISO (International Code of Practice) PMBOK (Project Management Body of Knowledge) Six Sigma (Quality Management) Based on Best (Good) Practices
6 ITIL Developed by the British Government 1980 s Measured Well run IT organizations vs. Less than ideally run IT organizations Developed a framework of Best Practices in the use of IT resources ITIL V2 Released in 2001 Process focused best practices in IT Service Management ITIL V3 Released in 2007 Lifecycle approach to IT Service Management Emphasis on IT to Business integration Customer Focused
7 ITIL Key Concepts Value Utility Warranty Processes Defined Repeatable Documented Service Level Management SLA (Service Level Agreement) Outward facing OLA (Operational Level Agreement) Inward facing UC (Under Pinning Contract) With Third Parties Continuous Improvement
8 Deming Cycle
9 ITIL Service Lifecycle
10 Measurement and Control Defined What is not defined cannot be controlled Controlled What is not controlled cannot be measured Measured What is not measured cannot be managed Therefore What is not defined, controlled, measured and managed cannot be improved!
11 Metrics Triangle Productivity Customer Satisfaction Effectiveness
12 Where Do I Start? Business Needs What are the Business needs for specific applications Customer Needs Interview Attend their meetings Automated Measures ACD system Ticketing systems Identify Components to Baseline Markers or stating points for later comparison Measure it as it is today! Develop Internal Standards OLA s
13 Talk to the Customers Survey your Customers Find any pain points Verify the known issues with IT Find any known unknown issues with IT Determine Their Needs SLA Development Determine Internal Capabilities OLA Development
14 Operating Level Agreement (OLA) Similar to an SLA (Service Level Agreement) Internal Agreement Identifies Who does what How they are to do it How quickly ID s how to measure performance Internal Standard of Service
15 Operating Level Agreement (OLA) General Overview Purpose, Goals and Objectives of agreement Service Description Technical description of service provided Parties Responsible Who are the Stakeholders Customer Requirements Their Hours of operation, how they will act and when and how they will request service Service Provider Requirements Who they are, how they will act and respond to requests Hours of Coverage, Response Times and Escalation Providers hours, how to contact them, response times Reporting, Reviewing and Auditing Who reviews services and how often
16 Case Study
17 BIA - Critical Functions Mapping
18 Survey Listening to my Customers I leave messages, but no one calls back Can t get anyone on the phone Don t know what is happening to my requests Didn t get what I really wanted Identify Pain Points Communications to IT was difficult Communications from IT was Poor Inconsistent service levels Inconsistent service delivery
19 Help Desk Call Stats - Baseline
20 Houston, We have a problem!
21 Houston, We have a problem!
22 Hourly Volume during Baseline Study
23 Develop Internal Service Contract Recognize the Customer Understand why we are here Identify the Stakeholders Identify the Business needs Identify what we can deliver Identify what we will measure Document, Document, Document
24 Baseline Comparison Before After
25 Hourly Call Volume
26 Incident Prioritization SLA Development How fast should we respond to Incident calls? Do all calls get the same prioritization? Is it based on Who called?
27 Business Impact
28 Business Urgency
29 Incident Prioritization
30 Conclusion Understand the Business Needs Measure Your Performance Act on Your Measurements Develop Internal Standards Identify what is important to the Company Develop Agreements with Customers Commit to Continuous Improvement Start the process over again and again and again
31 Key Performance Indicator Suggestions % of service requests resolved within an agreed-upon period of time SLA / OLA lagging indicator Costs of operating call center / service desk Total cost to run the Service Desk Average overdue time of overdue service requests Aging of requests Service request backlog older than xx days Requests in the pipe line Availability Time a system is usable by customer [MTBF/(MTBF+MTTR)] x 100
32 References Help Desk Institute (HDI) ITSMF ITIL Online Survey tool KPI Library kpilibrary.com Six Sigma
33 Questions? Contact Information Wayne Turnbow IT Services Department Manager
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