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ITIL: What is it? Why you should use it? How to use it?

ITIL: What is it? Why you should use it? How to use it?






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  • Unfortunately, there are many obstacles preventing effective engagement. As the arrows starting from the business and ending at IT indicate , every day, IT organizations face multiple and competing demands for services and projects from multiple lines of business. OVERWHELMING DEMAND Managing demand for most IT organizations is extremely difficult: demand comes from many different sources, is of vastly different levels of priority, from tactical to strategic, and because there’s no structured process in place to manage this demand. Even if all the demand is captured, there is often no process by which to make trade-off decisions with the business in terms of priority, timing and budget. Instead, these decisions are often made based on who screams the loudest or who has most influence. IT SEEN AS A BLACK BOX (LACK OF VISIBILITY) Further compounding the engagement problem is the lack of visibility that IT’s customers have into the status of their approved initiatives. Often, IT appears as a black box to those who rely on IT for their business technology. Finally, when IT does deliver new services to the business, there’s often a disconnect between what was envisioned and what was received. This results in customer satisfaction issues that can tarnish IT’s reputation in the organization. CONCLUSION No process, poor trade-off decisions, limited visibility and poor satisfaction all define an engagement process that is not working at its best.
  • Now let’s take a look within IT and the efficiency challenges being faced there. As an IT leader you are responsible for: - Delivering completed projects - Managing to a fixed budget - Managing people, whether within the IT org or outsourced Most IT organizations already have systems to manage all 3 categories: they may be using spreadsheets, Microsoft Project, custom-built apps, whiteboards, and emails to manage and communicate within and outside the IT organization. The problem is that these resources, systems, and applications are: - Disparate systems - not integrated - not scalable - lack a foundation of repeatable processes which results in having no system of record or system of support for decision-making. Once again, having no single system of record means no consolidated views, no control of your resources, and no way to make real-time intelligent decisions. Without a unified (and simplified) system most IT organizations we speak to today look like this.
  • What connects the business and IT is the process of IT Governance… Strong engagement begins with a solid IT Governance process. A key component of IT Governance is Clarity’s Portfolio Management module. Evaluating project and service requests in a systematic way that allows quick adaptation to changes in the business environment is not only good practice, its good governance. These multiple inputs to the PfM come from Demand… From the Business… … from existing Services…. ..and from within the IT organization, specifically from existing Projects… … and from existing Applications… Having the right facts is key and since all the Clarity modules are completely integrated, you are guaranteed that the facts you need to perform effective portfolio planning are accurate. A strong Portfolio process also establishes the foundation for a clear investment model. A clear investment model helps you get control of the organization. For example, Clarity customers that have been able to get the buy in from both business and IT on an agreed upon investment model have been able to decrease incoming demand between 50-80%. How? Only the demand that fits into the agreed upon strategic objectives gets filtered into the portfolio. Imagine how many hours and dollars that would save you per year!

ITIL: What is it? Why you should use it? How to use it? ITIL: What is it? Why you should use it? How to use it? Presentation Transcript

  • ITIL: What is it? Why you should use it? How to use it? August 9, 2007 T.C. Kaiser Senior Customer Solution Architect CA, Inc. Tampa Bay Technology Leadership Association
  • Agenda
    • The Big Picture
    • The IT Infrastructure Library – Definition, History, etc.
    • IT Service Management
    • ITIL v2 – Service Support and Service Delivery
    • ITIL v3 – The Service Lifecycle
    • The Benefits of ITSM
    • Real World Examples
    • Implementing ITIL – Recommendations, What Not to Do
    • Q&A
  • Obstacles Prevent Effective Engagement
    • IT Seen as Black Box:
    • Business lacks visibility
    • Poor customer satisfaction
    • Overwhelming Demand:
    • Unstructured capture of requests and ideas
    • No formal process for prioritization and trade-offs
    • Reactive vs. proactive
  • Disparate Systems Reduce Efficiency
    • No Single System of Record for Decision Making
    • Relevant Metrics Hard to Obtain
    • Disparate Systems Costly to Maintain and Upgrade
  • IT Governance Landscape
  • What is the Information Technology Infrastructure Library (ITIL)?
    • History and Definitions
  • What is the IT Infrastructure Library?
    • ITIL is the basis of the worldwide standard for quality IT Service Management, ISO 20000
    • ITIL was developed by the public and private sectors and globally adopted.
    • ITIL is in the public domain.
    “ The IT Infrastructure Library® (ITIL) is the most widely accepted approach to IT service management in the world. ITIL is a cohesive best practice framework, drawn from the public and private sectors internationally. It describes the organisation of IT resources to deliver business value, and documents processes, functions and roles in IT Service Management (ITSM).” Source: UK Office of Government Commerce
  • The History of ITIL
    • 1980’s
    • British government determined that the level of IT service quality they received was not sufficient. The Central Computer and Telecommunications Agency (CCTA) was assigned to develop a framework for efficient and financially responsible use of IT resources. This was a joint effort between the government and private sector experts.
    • 2000
    • The CCTA merged into the Office for Government Commerce (OGC). Microsoft used ITIL as the basis to develop the Microsoft Operations Framework (MOF).
    • 2001
    • Version 2 of ITIL is released. The Service Support and Service Delivery books were redeveloped.
    • 2007
    • Version 3 of ITIL is released which adopts a lifecycle approach to Service Management with a better emphasis on IT-Business integration
  • IT Service Management
    • IT Service Management is concerned with delivering and supporting IT services that are appropriate to the business requirements of an organization. This improves efficiency and effectiveness and reduces the risks of managing IT services.
    • Services are a means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks. Outcomes are possible from the performance of tasks and are limited by the presence of certain constraints
  • What is a Service? Source: OGC – “ITIL Refresh: Vendor pre-release briefing”, May 2007
  • Anatomy of a Service (technical view) Applications Firewall Network Switch Load Balancer Portal Identity Manager Web Servers Router SAP PSFT Siebel 3 rd Party Applications Databases Mainframe Database Web Services
  • ITIL Service Management (v2) Service Management is the best known and most mature aspect of ITIL. It is comprised of two volumes: Service Support and Service Delivery. Service Management Service Support
    • Service Desk
    • Incident Management
    • Problem Management
    • Configuration Management
    • Change Management
    • Release Management
    Service Delivery
    • Service Level Management
    • Financial Management
    • Availability Management
    • Continuity Management
    • Capacity Management
  • Core ITIL v3 Library Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • ITIL v2 Service Support mapping to v3 Service Transition Knowledge Management (NEW in the sense of service desk) Service Operation Fault Management (ICT Volume) Service Transition CMBD is part of the Configuration Management system (CMS) Service Asset and Configuration Management including the CMDB Service Operation Service Desk Service Transition Release Management Service Operation Problem Management Service Operation Incident Management Service Transition Configuration Management Service Transition Change Management Primary ITIL V3 Book ITIL V2 Process
  • ITIL v2 Service Delivery mapping to v3 Service Strategies Financial Management Service Design Service Catalogue Management Service Design Service Level Management Service Design Referenced in Service Transition, Service Operation and Continual Service Improvement IT Service Continuity Management Service Design Capacity Management Service Design Availability Management Primary ITIL V3 Book ITIL V2 Process
  • ITIL Service Management (v3) Source: OGC – “ITIL Refresh: Vendor pre-release briefing”, May 2007
  • Service Lifecycle Source: OGC – “ITIL Refresh: Vendor pre-release briefing”, May 2007
  • Service Strategy
    • Practical Decision making
    • Business Eco systems
    • From value chains to value nets
    • Adaptive processes for customers, services and strategies
    • Linking to external practices and standards
    • Managing uncertainty and complexity
    • Increasing the economic life of services
    • Selecting, adapting and tuning the best IT service strategies
    Provides the guidance on how to design, develop, and implement service management as a strategic asset. Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Service Design
    • Pragmatic Service Blueprint
    • Policies, Architecture, Portfolios, service models
    • Effective technology, process and measurement design
    • Outsource, shared services, co-source models? How to decide & how to do it
    • The service package of utility, warranty, capability, metrics tree
    • Triggers for re-design
    Guides the design and development of services and service management processes Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Service Transition
    • Managing Change, Risk and Quality Assurance
    • Newly designed Change, Release & Configuration processes
    • Risk and quality assurance of design
    • Managing organization & cultural change during transition
    • Service knowledge management system
    • Integrating projects into transition
    • Creating & selecting transition models
    Provides guidance for the development and improvement of capabilities necessary to transition new and/or changed services into operations Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Service Operation
    • Responsive, stable services
    • Robust end to end operations practices
    • Redesigned, incident and problem processes
    • New functions and processes
    • Event, technology and request management
    • Influencing strategy, design, transition and improvement
    • SOA, virtualization, adaptive, agile service operation models
    Tailors guidance on achieving effectiveness and efficiency in the delivery and support of services such that value is achieved for the customer and captured by the service provider Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Continual Service Improvement
    • Measurements that mean something and improvements that work
    • The business case for ROI
    • Getting past just talking about it
    • Overall health of ITSM
    • Portfolio alignment in real-time with business needs
    • Growth and maturity of SM practice
    • How to measure, interpret and execute results
    Sustains the creation and maintenance of customer value through better design, introduction, and operation of services Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Shifting Focus Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007
  • Why ITIL?
    • Why should you implement processes based on the ITIL Framework?
  • The Case for IT Service Management
    • The Business is more and more dependent on IT.
    • Complexity of IT constantly increases.
    • Customers are demanding more for less.
    • Global competitiveness growing at a rapid rate requiring a more flexible approach to integration.
    • Stronger focus on controlling the costs of IT.
    • Low customer satisfaction levels.
  • Benefits to the Organization
    • Improve Resource Utilization
    • Be more competitive
    • Decrease rework
    • Eliminate redundant work
    • Improve upon project deliverables and time
    • Improve availability, reliability and security of mission critical IT services
    • Justify the cost of service quality
    • Provide services that meet business, customer, and user demands
    • Integrate central processes
    • Document and communicate roles and responsibilities in service provision
    • Learn from previous experience
    • Provide demonstrable performance indicators
    • Source: Pink Elephant – “The Benefits of ITIL® White Paper”, March 2006
  • Real World Benefits
    • Procter & Gamble
      • Started using ITIL in 1999 and has realized a 6% to 8% cut in operating costs. Another ITIL project has reduced help desk calls by 10%. In four years, the company reported overall savings of about $500 million.
    • Caterpillar
      • Embarked on a series of ITIL projects in 2000. After applying ITIL principles, the rate of achieving the target response time for incident management on Web-related services jumped from 60% to more than 90%.
    • Nationwide Insurance
      • Implementing key ITIL processes in 2001 led to a 40% reduction of its systems outages. The company estimates a $4.3 million ROI over the next three years.
    • Capital One
      • An ITIL program that began in 2001 resulted in a 30% reduction in systems crashes and software-distribution errors, and a 92% reduction in “business-critical” incidents by 2003.
    • Source: Pink Elephant – “The Benefits of ITIL® White Paper”, March 2006
  • Why Implement ITIL
    • Streamline service delivery and support processes
    • Develop repeatable procedures to aid first level support groups
    • Reduce number of service incidents and outages
    • Implement standards to do things right the first time
    • Perform proactive analysis, prevention and resolution
    • Plan for and ensure future capacity
    • Define clear services and service targets
    • Accurately allocate and recover costs
    • Audit, manage and improve IT processes
    Ultimately IT Service Management is about maximizing the ability of IT to provide services that are cost-effective and meet the expectations and needs of the business. Reduce Cost of Operations Improve Service Quality Improve Compliance Improve User Satisfaction
  • The How
    • ITIL Implementation Best Practices
  • ITIL is not a step-by-step process
    • “ ITIL Processes can be difficult to implement since ITIL in it's current form describes the "what" but not the "how" of IT service delivery. In other words, a lack of implementation tools and best practices are increasing costs and timelines related to ITIL implementation.”
  • Each ITIL Initiative is Unique Source: OGC – “ITIL Refresh: Vendor pre-release briefing”, May 2007
  • What NOT to do
    • Insufficient Management Buy-in or Budget.
    • Ignoring the need to market and communicate within & outside IT.
    • Training internal staff to the Foundation level with the expectation they can then implement ITIL successfully.
    • No External Baseline Assessment or adoption of a maturity model to Create a valid roadmap.
    • Thinking that technology alone can address the requirement for ITIL i.e. migrating bad process to new technology so automation is therefore not efficient enough to address IT needs.
    • Confusing Process with Procedures.
    • Not dedicating enough resources to the development effort.
    • Thinking process development equates to process implementation.
    • Weak documentation effort leads to inconsistent approach with very little chance of repeatability amongst IT Staff.
    • Failure to address IT Governance alignment.
  • Recommendations
    • Create a sense of urgency!
    • Decide/Declare Service Management Strategy
    • Engage all employees
    • Create Communications and Awareness campaigns
    • Focus on areas of pain
    • Create a Program to transform the organization
    • Appoint program sponsors and key players
    • Assess, Design, Build and Implement process refinement
    • Create an ITSM adoption program with a charter
  • Recommendations
    • Develop a phased approach, which includes repeatable and consistent standards for all processes to follow
    • Breakdown work into “manageable chunks”
    • Appoint process owners
    • Begin remediation process
    • Utilize/Establish program management
  • Iterative Process What is the vision? Where are we now? Where do we want to be? How do we get there? How do we check we got there? High Level Objectives Assessments Measurable Targets Process Improvements Measurement And Metrics How do we keep the momentum going?
  • Helpful Links
    • www.itsmf.net – IT Service Management Forum.
      • Tampa Bay Local Interest Group (LIG) meeting – Sept. 22, 2pm.
    • www.itsmfusion.com – itSMF USA Conference, Sept. 16-19, Charlotte, NC.
    • www.ogc.gov.uk – UK Office of Government and Commerce.
    • www.pinkelephant.com – ITSM consulting, events, education.
    • www.exin.org – Independent education institute.
    • www.itpreneurs.com – Training solutions for IT Management and IT Governance.
  • Questions? For More Information: T.C. Kaiser Sr. Customer Solution Architect CA, Inc. [email_address] 813-731-7720 mobile