ITIL Adoption in Australia: 2 years of itsmfa Surveys and Case Studies

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1 10th itsmfa National Conference Melbourne, August 2007 ITIL Adoption in Australia: 2 years of itsmfa Surveys and Case Studies Dr Aileen Cater-Steel

2 Slide 2 The research team Signing USQ/itSMFA research agreement June 2006 Dr Aileen Cater-Steel, Professor Mark Toleman, Dr Wui-Gee Tan Mr Peter Cross, Dr Kurt Timmins

3 Slide 3 Research output to date Cater-Steel, AP & Toleman, MA 2007, Education for IT Service Management, International Journal of IT Standards and Standardization Research, vol. 5, no. 2, pp Cater-Steel, AP, McBride, N 2007, IT Service Management Improvement an Actor- Network Perspective, European Conference on Information Systems, St Gallen, Switzerland. Cater-Steel, AP & Toleman, MA 2007 The Role of Universities in IT Service Management Education, 11th Pacific-Asia Conference on Information Systems, Auckland, NZ. Cater-Steel, AP, Toleman, MA & Tan, W 2006, Transforming IT Service Management the ITIL impact, 17th Australasian Conference on Information Systems, Adelaide. Cater-Steel, AP, Tan, W & Toleman, MA 2006, Challenge of adopting multiple process improvement frameworks, European Conference on Information Systems, Göteborg, Sweden. Cater-Steel, AP 2006 Subscribing to the infrastructure library, Information Age, 1 March. pp Cater-Steel, AP & Tan, W 2005, Implementation of IT infrastructure library (ITIL) in Australia: progress and success factors, paper presented to IT Governance International Conference, Auckland, NZ, pp itsmf Australia 2005 & 2006 Conferences: Summary of ITIL Adoption Survey Responses, technical reports. USQ. Free downloads available

4 Slide 4 Demographics Location of respondents NSW Qld Vic ACT WA SA Tas other Industry sector of organisation 0 Govt Admin & Defence Property & Business Education Finance & Insurance Other

5 Slide 5 ITIL adoption ITIL 2006 Starting Partially Largely Fully ITIL

6 Slide 6 Other popular frameworks No plans Starting Partially Largely Fully Int dev ITSM ISO 9001 BSC Prince 2 PMBOK No plans Starting Partially Largely Fully 5 0 Int dev ITSM ISO 9001 ISO BSC Prince 2 PMBOK Gov stds

7 Slide 7 Concurrent implementation 6 orgs: 4 frameworks 15 orgs: 3 frameworks 38 orgs: 2 frameworks

8 Slide 8 Service support Configuration Management Release Management Change Management Problem Management Incident Management Early stage Half way Advanced Completed Service Desk 2005 Configuration Management 0% 20% 40% 60% 80% 100% Release Management Change Management Problem Management Incident Management Service Desk % 20% 40% 60% 80% 100%

9 Slide 9 Service delivery IT Service Continuity Management Availability Management Capacity Management IT Financial Management Early stage Half way Advanced Completed Service Level Management 2005 IT Service Continuity Management 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Availability Management Capacity Management IT Financial Management Service Level Management % 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

10 Slide 10 Satisfaction with ITIL

11 Slide 11 Motivation to adopt ITIL Internal Compliance External Compliance Improve IT Service Focus To Reduce Costs Do not know Other

12 Slide 12 Critical Success Factors Commitment from senior management Champion to advocate and promote ITIL Ability of IT staff to adapt to change Quality of IT staff allocated to ITIL ITIL training for IT staff

13 Slide 13 Benefits Clear identification of roles and responsibilities 1 1 Coordinated organisation-wide IT service 2 8 Improved customer satisfaction 3 3 Improved IT service continuity 4 6 Improved systems/apps availability 5 4 Improved response & resolution 2

14 Slide 14 Case Studies

15 Slide 15 Understanding and working the audience was QUESTION: You want me to Standardisation We may To have really The used customer align far was more falling We important had these You than feral other had maverick things, like That s and a fancy [delays in purchasing do my job and this stuff? [Prior to ITIL ] there makes us more different terms, through the gaps electronic in great tool to register cowboy incidents practices or the beautiful Key Aspects different of ourselves names, with an groups doing their own a Configuration Management ANSWER: Your job is this Organisations was the odd policy efficient a industry big hole reference between dust-collecting two thing. There process whole was no handbook. thing would Engaging come Database the (CMDB)] our stuff [to record, monitor and document here and standard process different labels. framework processes. audience, formal it is process all about crashing the place. audience. down. biggest problem. continually improve]. there. for service.

16 Slide 16 In 3 years My we boss reduced said 2 our years that went on for days We push were to process- decentralise. If we Key We Aspects are going to use of downtime the ago from ITIL over Five Organisations a 12,000 fad we know start looking at ITIL that it was never This is a huge We just can t do it We had a lot of outage I believe undertaking ITIL will We ve avert and got this we to really Overall less aggregation anymore, we ve got and confrontation in the to keep the lights on..provided trigger for driven can but give we a all consistent have and environment as to why ITIL because it is the minutes wont per month hear about to 2,000 it in 2 going to we happen haven t made much as well! (ITIL ITIL introduction. our measurable own processes!. minutes level of service. wasn t I informed. industry standard years time. business progress as usual. on it. project participants)

17 Slide 17 Key findings to date What is the impact of ITIL adoption? Organisations are convinced of the positive impact of ITIL. Examples: More rigorous control of testing and system changes More predictable infrastructure Improved consultation with IT groups within organisation Smoother negotiation of SLAs Documented and consistent IT service management processes across the organisation Effective CAB Quick wins strategy adopted by organisations is consistent with findings from Hochstein et al. s study of six German firms (2005)

18 Slide 18 Key findings Do organisations follow a consistent pattern when implementing ITIL processes? Substantial variation exists among the organisations in the ITIL implementations Change management consistently treated as a high priority Incident, problem and config management also early choices Sequence of adoption of IT processes are dictated by specific business strategy and benefits sought In some cases, previous attempts had been abandoned due to lack of senior management commitment and resources

19 Slide 19 Key findings What are the challenges to successful ITIL adoption? Progress at some organisations are hampered by: Lack of management support Resistance from technical staff Delays in establishing an appropriate tool set Some organisations have difficulty quantifying the benefits, which is consistent with Praeg and Schnabel s findings (2006)

20 Slide 20 4-level ITSM framework Strategic level Support from senior management is crucial to Obtain funding for resources Endorse policy and enforce compliance to the standard processes A business case was presented in seven cases Tendency by some organisations to view ITIL as business as usual rather than a project

21 Slide 21 Business process level SLAs and ITIL workshops provided opportunities for business people to recognise importance of IT fulfilling the business needs of the client General recognition that BPR must be undertaken in conjunction with ITIL implementation ITIL provided a convenient starting point for IT service managers to set and monitor achievable service quality standards Findings show that ITIL is providing the means to compensate for the gaps between users expectations and their perceptions of the service provided by the IS dept (Pitt et al. 1998)

22 Slide 22 IT service level New terminology, policies, procedures, and employee performance evaluations were modified to reflect ITIL adoption Process owners were appointed to champion development and implementation of new processes Various teams within IT must integrate their services in order to achieve end-toend service Informal meetings via itsmf and vendorfree itsmug provided important networking opportunities for IT service managers

23 Slide 23 Tool level In all organisations ITIL Foundations course provided a consistent and detailed introduction to the core processes ITIL manuals were considered an essential and useful resource Most organisations found it a challenge to optimise their software tools Delays were experienced in the spec, purchase and implementation of the software packages for logging incidents at the service desk and CMDB Best approach was to continue with a hybrid mix of current tools

24 Slide 24 Conclusion Summary of findings: ITIL can lead to positive impacts for organisations when effectively implemented There is no single sequence to implementing IT processes Most effective implementation strategy is to look for quick wins during the initial stage Major challenges faced by organisations relate mostly to: Support from senior management Engagement of stakeholders Managing organisational resistance BPR is needed for ITIL implementation to be effective

25 Slide 25 In progress and future research activities Norway itsmf survey conducted Canada itsmf interested in replicating survey Denmark, Thailand, Hawaii, Germany, Switzerland ARC LP application benefits realisation project Top tier journal publications ITSM in Information Systems Curriculum ITSMF 2007 have you completed a survey? Special thanks to Bob Arthars, Peter Cross, and all the itsmf family.

26 Slide 26 References Hochstein, A., Tamm, G. & Brenner, W. (2005) Service- Oriented IT Management: Benefit, Cost and Success Factors. IN Bartmann, D., Rajola, F., Kallinikos, J., Avison, D., Winter, R., Ein-Dor, P., Becker, J., Bodendorf, F. & Weinhardt, C. (Eds.) European Conference on Information Systems. Regensburg, Germany. Pitt, L., Berthon, P. & Lane, N. (1998) Gaps within the IS department: barriers to service quality. Journal of Information Technology, 13:3, Praeg, C.-P. & Schnabel, U. (2006) IT-Service Cachet - managing IT-service performance and IT-service quality. Proceedings of the 39th Annual Hawaii International Conference on System Sciences (HICSS'06).

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