Service management. The future. Colin Rudd FSM, FBCS, CITP, CEng, FLPI, (Lisbon October 2013)

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1 management The future (Lisbon October 2013) Colin Rudd FSM, FBCS, CITP, CEng, FLPI, Chairman itsmf UK Management consultant, mentor and coach ITIL Author IT Enterprise Management Ltd.

2 Agenda management practice management guidance management standards itsmf

3 management today

4 management today (theory) Five core books: Strategy Design Transition Operation Improvement ITIL Complementary books: Planning to implement service management Software asset management (SAM) Small Scale Implementation ITIL Lite: A Road Map to Full or Partial ITIL Implementation 27/09/2012 4

5 ISO/IEC Part1: management system requirements Part 2: Guidance on the application of service management systems Part 3: Guidance on scope definition and applicability Part 4: Process reference model Part 5: Exemplar implementation plan

6 Other guidance Standards: 27000, 19770, 9000, 38500,. COBIT Lean, Lean IT, Six Sigma Agile, DevOps, Continuous etom TOGAF Business frameworks..

7 management today (practice) Few service catalogues (services not defined) Little focus on services (mainly product and technology focus) Mainly reactive and active processes and activity Lack of business and service metrics (mainly process and technology metrics) Little understanding of the business value of IT (unable to identify and quantify) Mainly operational and transitional processes and activities (little strategy and design activity) Lack of governance and direction

8 Customers and users Desk management information & workflows provider Support Teams Desk System Incidents Requests Problems Changes

9 ISO/IEC Widely translated and used 622 certified organisations 69 countries Growing in use and popularity

10 Portuguese certified organisations (12) Caso - Consultores Associados de Organizações e Informática, Lda COMPTA - Equipamentos e Serviços de Informática, S.A. InCentea - Tecnologias de Gestão, S.A.; J. CANÃO, Lda MAXDATA Informática, LDA Portugal Telecom Sistemas de Informação, S.A. PORTUGAL TELECOM SISTEMAS DE INFORMAÇÃO, S.A. Prologica S.A. PT Comunicacoes, S.A. Serviços Municipalizados de Água e Saneamento de Oeiras e Amadora SIBS - Forward Payment Solution, S.A. Versão Integral, Lda.

11 management the future

12 The drivers for change Vitualisation Analytics Big data Innovation Flexibility Social communication and collaboration

13 The future of ITIL (The Norwich onion)

14 The future of ISO/IEC Part1: management system requirements Part 2: Guidance on the application of service management systems Part 3: Guidance on scope definition and applicability Part 4: Process reference model Part 5: Exemplar implementation plan Part 6: Requirements for bodies providing audit and certification Part 8: Application of service management to very small enterprises Part 7: Guidance on the application of ISO/IEC to the cloud Part 10: Concepts and technology Part 11: Guidance on the relationship between ISO/IEC and other frameworks

15 management and value Defining and measuring value: Quality (value) in a product or service is not what the supplier puts in. It is what the customer gets out and is willing to pay for. Peter Drucker "People don t buy products (services); they buy the expectation of benefits (value) Theodore Levitt, Harvard Business School

16 value Increased value and ROV Capabilities Management Organisation Processes Performance of customer assets Increase performance Coordinate, control and deploy Knowledge People Asset types Reduce risk Information Applications Infrastructure Resources Financial capital Crown Copyright reproduced under license from Crown the Cabinet Copyright Office reproduced under license from the Cabinet Office

17 What is value for your business? Financial: increased revenue or profit (or possibly reduced operating costs) Risk: reduced vulnerability Compliance: increased legal and regulatory conformance Shareholders: increased share value / image Customer: improved value, experience, quality and satisfaction Life saving: life support

18 culture Delighted Customers Level 4 Advocate Customers Level 5 Excellence Quality culture Customer experience culture the focus is on business value and customer delight and continual improvement of all aspects of the quality of services, products & customer experiences, are an inherent part of the organisation, culture & employees Loyal Customers Level 3 Legendary service and product quality is continually measured and improved service and product targets are driven by quality customer experience drives continual improvement Customer service culture Dissatisfied Customers Satisfied Customers Level 2 Adequate Superior Product /service culture service and product quality is measured and improved service and product targets are negotiated and defined customer feedback and satisfaction drive improvements service and product quality is measured service and product targets are negotiated and defined little customer feedback or measurement of customer satisfaction Level 1 Poor No culture focus services and products are produced, delivered but not measured little or no focus on customer or service quality no customer feedback or measurement of customer satisfaction

19 Plans policies Performance conformance Governance of IT / IT Governance Business pressures Corporate governance of IT Evaluate Business needs Direct Monitor Invest in value Enhance value Business demand Project delivery delivery Note: diagram based on ISO/IEC 38500

20 Business Value Building, capability and knowledge Predictive Pre-emptive Wisdom Reactive Active Proactive Data Information Knowledge Management maturity / capability

21 Wisdom 1. Identify: Vision, business need Strategy Tactical Goals Operational Goals 2. Define what you will measure. Data 7. Implement improvement PLAN 3. Gather the data. Who? How? When? Integrity of data 6. Present and use the information, assessment summary, action, plans, etc. ACT DO CHECK 5. Analyse the information and data. Relations? Trends? Targets met? Improvements required? 4. Process the data Frequency? Format? System? Accuracy? Knowledge Information

22 A value chain Customers IT service provider and suppliers

23 A value network Internal customers Customers External customers Customers IT service provider and suppliers

24 Internal customers Customers External customers Customers IT service provider Front office Back office Catalogue And Relationships Internal suppliers and partners External suppliers and partners

25 Internal customers Customers External customers Customers BRM IT Broker SLM Supplier Management

26 Customers and users Desk management information & workflows provider Support Teams Desk System System Catalogue Incidents Requests Problems Changes

27 portal Customers and users Desk desk information and workflows provider Support Teams Knowledge Management System (SKMS) Catalogue Incidents Requests Problems Changes

28 portal Customers and users Desk management architecture management system provider SKMS Incident Problem Request Event Change Knowledge SLM Supplier Shift left policy SCM Integrated management Tools CMS Catalogue SLAs Reports Contracts Incidents Requests Changes Problems Knowledge CIs Infrastructure Tools Infrastructure

29 New cloud based value networks Management system Provider Customers Customers Customers Management Hub Management systems

30 Other areas Leaner, more flexible processes that are adaptable, not one size fits all Greater exploitation of analytics Use fewer rather than more KPIs, focussed on demonstrating quality and value Creating a culture of value and performance

31 itsmf Move from being just the SM user group and become the true service management forum Improve industry practice and provide research, white papers, case studies, insight and leadership Provide region, country, regulatory and language specific guidance Collaborate with other major players within the service management industry Provide more guidance on the use of combined approaches

32 Summary Need to understand value from the customer and business perspective Focus on value, outcome and quality, both measurement and improvement Good relationships are essential in delivering service value, both customer and supplier Integrate and automate to provide end-to-end service and consistent and accurate information

33 management The future (Lisbon October 2013) Colin Rudd FSM, FBCS, CITP, CEng, FLPI, Chairman itsmf UK Management consultant, mentor and coach ITIL Author IT Enterprise Management Ltd.

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