IT Service. Demystifying ITIL. J. Andrew Atencio Andy. 1. Introduction and History. 2. Why Service Management/ITIL?
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1 IT Service Management: Demystifying ITIL J. Andrew Atencio Andy City of Greenwood Village Agenda 1. Introduction and History 2. Why Service Management/ITIL? 3. The How and the Challenges 4. Defining Success 5. Closing / Q&A 1
2 What is ITSM? Managing g Services to meet Customer Needs. Align IT with Business Processes Leveraging repeatable processes to deliver quality services that are cost-justified. The goal is to leverage & integrate: People Processes (best practice) Technology There are many ITSM frameworks: ITIL, MOF, MSF, CMMI, etc. What is ITIL? Information Technology Infrastructure Library Owned by the Office of Government Commerce (OGC) for public use ITIL is a best practices framework not a standard Historically the framework covers: Service Support Service Delivery Application Management Infrastructure Management Application and Service Development Security Management Complimentary guidance on: Case Studies, Business & Management skills, Business Continuity Management, Network Services Management, Business Perspective, Security 2
3 ITIL s Origins & Evolution Late 1980s UK government project started CCTA (OGC) involved in development plus practitioner and consulting organizations First books published Early 1990s The library completed Late 1990s Generally accepted as the de-facto standard for IT service management Introduced ITIL to North America Submission to ISO\IEC20000 fast tracked and accepted Vendor community begins to develop products in support of ITIL ITIL Version 3 commenced 2006 ITIL a global standard 2007 ITIL Version 3 released Terms and Acronyms Term Business Process Management CI CMDB Customer Incident Definition Activities performed by businesses to optimize and adapt their processes. Configuration Item The physical stuff Configuration Management Database(s) Where you store information about CIs The person that has monetary responsibility for the outcome provided by the service. Also responsible for defining the business need for a service. Any event that is not part of the standard operation of a service and that causes, or may cause, an interruption to, or a reduction in, the quality of that service. 3
4 Terms and Acronyms (Cont.) Term ITSM (IT Service Management) Known Error Problem Process Definition An integrated set of processes used in the management of services, which are needed to support the business objectives. An Incident or problem for which the root cause is known and for which a work-around or alternative has been identified. Unknown underlying cause of one or more incidents. A connected series of activities or action aimed at achieving a specific objective. Terms and Acronyms (Cont.) Risk A measure of the exposure to which an organization may be subjected. SLA Service Level Agreement A written agreement between a service provider and Customer that documents agreed service levels for a service UC Underpinning Contract A contract with an external supplier covering delivery of services that support the IT Organization. User The person that uses a service on a day-to-day basis 4
5 The Real World View? Screen Scrape Application Application Message Queue Download File Application Application Screen Scrape End User Network ORB Download File Sockets Message Application Application Screen Scrape IT Magic Application CICS Gateway Transaction File Transaction File Sockets APPC Message Transaction Queue Application File Screen Scrape Message CICS Gateway Transaction File RPC Download File Application APPC Application ORB Message Queue RPC Source: Gartner The Goal of ITIL Business Business Aligned IT IT 5
6 ITIL Model Version 2 ITIL V2 Management Processes Version 2 of ITIL is made up of 10 management processes separated by Service Delivery and Service Support. Service Desk (SS) Service Level (SD) Incident (SS) Availability (SD) Problem (SS) Financial (SD) Change (SS) Continuity (SD) Configuration (SS) Capacity (SD) Release (SS) 6
7 Moving from V2 to V3 V2: IT to Business Alignment ICT Infrastructure Management Service Support Service Delivery Applications Management Security Management Business Perspective Planning to Implement Service Mgmt. V3: Service Life-Cycle Approach Service Strategies: deciding on the services Service Design: requirements & design Service Transition: deployment & activation Service Operations: day-to-day operations Continual Service Improvement: how to improve Purpose of ITIL V3? Meet needs of today s technologies. Address practice gaps and missing processes. Move processes into a lifecycle. Stronger connections to other emerging g standards. 7
8 ITIL Model Version 3 Changes in ITIL V3 Expanded focus on business alignment. Inclusion of business value in the business alignment perspective. Service as a iterative lifecycle rather than a linear process. Inclusion of Continual Service Improvement across all processes. More prescriptive than simple guidance. Number of services expanded from 11 core to 26 to provide an expanded view of ITSM 8
9 Processes in Version 3 ITIL V3 Governance Processes There are seven processes that fall p under the governance function: Service Measurement (CSI) Service Reporting (CSI) Service Improvement (CSI) Demand Management (SS) Strategy Generation (SS) Service Portfolio Management (SS) IT Financial Management (SS) 9
10 ITIL V3 Operations Processes There are 19 processes that fall under the operations function Service Catalogue (SD) Service Level Mgmt. (SD) Capacity (SD) Availability (SD) Service Continuity (SD) Information Security (SD) Supplier Mgmt. (SD) Transition Planning & Support (ST) Change (ST) Asset and Config. (ST) Release and Deployment (ST) Service Validation (ST) Evaluation (ST) Knowledge Mgmt. (ST) Event (SO) Incident (SO) Request (SO) Problem (SO) Operation (SO) Why a lifecycle? Enabling integration with business processes Managing service from cradle to grave Removing process silos Providing for Service Management as a holistic lifecycle rather than as a linear path 10
11 Where is Service Support? Where is Service Delivery? 11
12 Updated Definition of a Service A service is a means of delivering value to customers by facilitating outcomes customers want to achieve without t the ownership of specific costs and risks Service Components 12
13 Service Design Constraints Values and ethics Standards and regulations 2007 Metaphor Systems. All rights reserved. Updated Definition of a Service A service is a means of delivering value to customers by facilitating outcomes customers want to achieve without t the ownership of specific costs and risks 13
14 What is Value? What is Value? Value is determined by the customer Value is variable Value changes over time and context Value has to be negotiated t Value can be managed Value is not always financial 14
15 Measuring Value If value is not realized, value added is equal to money spent Value Realized must be greater than money spent Value added internally is not value until it is realized What does this mean for IT? If IT wants to demonstrate value it has to link its services to where value is realized, not where value is added If IT can not do this it will always be viewed as money spent not value added 15
16 Why ITSM? Increase Customer Satisfaction Ability to Provide Cost Justification Gain Efficiency and Eliminate Duplicate Efforts Competitive Advantage Process Reengineering for IT Industry What do each of these mean? Customer Satisfaction Customers want anytime, anywhere Services This is same for internal and external Just think how often you have to worry about getting to the bank before closing? Set Clear Expectations (this is iterative) Define expectations Monitor them Meet them Change them 16
17 Level of Expectation Cost Justification Being able to define what services cost? Holistic view: the total cost of a service Business focused cost justification Allows you to communicate with customers in their terms Provides customers the ability to clearly communicate their expectations of what level of service they are willing to pay for (or accept) 17
18 Improved Efficiency Ability to reduce or even eliminate duplication across silos Sharing of resources and knowledge Repeatable process allows re-use, improvement More efficient application of resources to existing workload Ability to incorporate quality improvement More effective collection information for planning &d decision-making i Continuous ongoing repeatable processes Examples: Six Sigma, Deming, 7-step, Waterfall and ITIL, etc. The Application Management Lifecycle Requirements Optimize Design Operate Build Deploy 18
19 Competitive Advantage Outsourcing Research can it help us? IT groups shift from managing technology (the stuff) to managing end-to-end services. Customers, even government customers, have option to go somewhere else! Decision-making to drive the vision and goals of the organization Process Reengineering BPR (Business Process Reengineering) g) The business has been reengineered, but has IT kept pace? Complex, distributed technology systems need to build in and leverage Disciplined processes that align with business outcomes Integration of processes, technology, people and culture 19
20 ITIL = Common Sense Common sense is the knack of seeing things as they are, and doing things as they ought to be done. C. E. Stowe Find out if you are already doing ITSM Assess yourself Determine what are you doing well versus what can be improved This is know as the DOH! effect Where to Start? Leverage Quick Wins (Keep it Simple) g Q ( p p ) Incident or Change easiest because it typically exists already in some form Problem and Configuration are typically more complex but doable Depends on environment Service Level Management Service Delivery processes are a must (Availability, Capacity, Continuity) Don t forget about them 20
21 Where to Start? Find your Champions Empower the Champions Let them use their expertise to get you there! Top-down, bottom-up approach Create your roadmap and communicate consistently and often! Revisit planning (Continual Service Improvement) Re-plan (the ITIL Lifecycle) Where Does ITIL Take You? Where are you now & where do you want to be (2, 4, 6 years)? This should be viewed within the context of the business! A mission and vision, which are aligned with the business, are critical to setting the stage and managing culture change. Put it in writing so you can communicate it 21
22 Bumps in the Road Leadership/Management Buy-in Write a business case that is effective and concise Align the business case with the business outcomes Participation across IT Sell it What are we already doing? Identify champions Let them be the ones to get people excited Showing success will keep momentum moving forward The Bumps in the Road Are People! Organizational Change Management (OCM) is: The critical process of preparing, motivating, and equipping people to meet new business challenges associated with technological changes. RWD Technologies OCM is a proactive, disciplined, repeatable approach to Organizational Change 22
23 Changing the Organization Important aspects of handling change: Identifying the potential for individual and/or group resistance Based on organizational culture find the best ways to mitigate the risks created by resistance Include technology driven organizational change planning in the current project management methodology Definition of metrics capable of measuring and proving the gains of the changes, in understandable terms Making ITIL Successful Leadership/management buy-in (if doing top down) OR technology staff buy-in (if doing bottom up) The higher the better Organizational culture change driven by leadership Focus on awareness and communication This is a continual and on-going effort Go after the low hanging fruit to build momentum and show quick wins Immediate pain that can be fixed fast? Education, education, and even more education! Formal training and certification Educate everyone to the appropriate level 23
24 Where to Get Help Connect with your itsmf USA Local Interest Group (LIG). Meeting today! Visit Attend the itsmf USA Fusion 08 Conference and Expo San Francisco September 7-10, 2008 Visit On-line resources including: The official ITIL web site Article based sites like: Giving Credit Information in this presentation has come from many sources including the expertise of: David Cannon CA Ivor McFarlane IBM George Spalding Pink Elephant Theresa Compton State Farm ITIL is a registered trademark owned and licensed by the Office of Government Commerce (OGC) 24
25 QUESTIONS? Andy Atencio 25
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